Toronto Stock Exchange Symbol: GIN
OAKVILLE, ON, Nov. 2 /CNW/ - Glendale International Corp. (TSX: GIN)
today reported that it provided total financing of approximately $5 million to
the shareholders of 1586603 Ontario Inc. ("MBO Company") as part of their debt
restructuring with a Canadian Chartered Bank ("the Bank") and G.P. Metal
Products Limited ("GP Metals"). MBO Company is a company formed in September
2003 by a group of Glendale's senior managers to purchase common shares of
Glendale from GP Metals, a company controlled by Morgan Firestone, a Director
The financing consists of $4.45 million in debt which is secured by a
first priority interest in the common shares of MBO Company, is interest
bearing and repayable on demand. The remainder of the financing consists of an
equity investment by Glendale in MBO Company whereby Glendale purchased 11% of
the issued and outstanding common shares of MBO Company. The shareholders of
MBO Company will use the $5 million in proceeds to retire an equal amount of
debt. MBO Company currently holds 3,620,000 common shares of Glendale with a
market value of approximately $10.6 million which secures the $4.45 million
due to Glendale pursuant to this financing.
Additionally, as part of the debt restructuring and the full satisfaction
of the Bank debt by the shareholders of the MBO Company the $5.0 million
guarantee provided by Glendale in 2003 as part of the original MBO Company
financing has been canceled.
"This loan enables management to maintain its ownership position in
Glendale and emphasizes their long term commitment to increasing shareholder
value," said Ed Hanna, President and CEO of Glendale.
About Glendale International Corp.
Glendale International Corp. manages businesses that provide the
opportunity for superior long-term value creation through the application of
proven managerial expertise and innovative business strategies. The
Corporation owns growth businesses in the recreational vehicles and
electronics industries, and will seek to acquire complementary businesses that
support its value-building proposition.
Glendale's core business, Glendale Recreational Vehicles/Travelaire
Canada, is the largest Canadian manufacturer of recreational vehicles. The
Corporation also owns a controlling position in Firan Technology Group
Corporation, a leading North American manufacturer of high technology printed
circuit boards and precision illuminated display systems.
Glendale International's common shares are listed on the Toronto Stock
Exchange ("TSX") under the symbol "GIN". The Corporation has approximately
12.5 million common shares outstanding.
To reach Glendale International via the worldwide web logon to
This press release contains "forward-looking" statements related to
future events or future performance and reflect the expectations of Glendale
International Corp., regarding its growth, results of operations, performance
and business prospects, and opportunities and trends affecting the
recreational vehicles, and electronics industries. Such forward-looking
statements reflect current beliefs of management and are based on information
currently available. In certain cases, forward-looking statements can be
identified by the use of words such as "believe", "expects", "will",
"intends", "projects", "anticipates", "estimates", "continues" or similar
words or the negative of these or other comparable terminology. Readers are
cautioned that forward-looking information involves known and unknown risks,
uncertainties and other factors that may cause actual results, performance or
achievements to be materially different from any future results, performance
or achievements expressed or implied by the forward-looking information.
Accordingly, investors should not place undue reliance on forward-looking
information. Any forward-looking statements included in this press release are
made as of the date of this press release and Glendale International Corp.
assumes no obligation to update or revise them to reflect new events or
For further information:
For further information: Edward C. Hanna, Chief Executive Officer and
Chairman, Glendale International Corp., (905) 844-2870, (905) 844-2907 fax,
Email: firstname.lastname@example.org; Brian Jennings, Chief Financial Officer,
Glendale International Corp., (905) 844-2870, (905) 844-2907 fax, Email: