WINNIPEG, Nov. 25 /CNW/ - Empire Industries Ltd. (TSX-V: EIL) ("Empire" or the "Company"), advised that HSBC Bank Canada ("HSBC") has consented to extend, to January 31, 2010, the previously announced Forbearance Agreement with the Company, subject to finalizing the legal terms of the extension. The Company believes that it will ultimately agree on the terms of such an extension with HSBC.
The Company also advised that the Royal Bank of Canada ("RBC") has consented to further extend its previously announced agreement not to enforce its rights under its credit agreement with the Company through to January 31, 2010 on the same terms and conditions as the original letter provided by Empire to RBC.
As previously announced, the Company's wholly-owned subsidiary, Petrofield Industries Inc., sold its combustion business on October 5, 2009 for $10.2 million, a portion of which was used to fully repay the operating line and term debt owed to the Bank of Montreal.
The Company intends to issue its third quarter results on or before November 30, 2009.
About Empire Industries Ltd.
Empire Industries Ltd. adds value to steel through its leading, Western Canadian engineered products manufacturing and steel fabrication groups and its Fort McMurray-based strategic partnership in the maintenance services sector. The Company's business operations are focused on the infrastructure, commercial and industrial construction marketplace of Western Canada and select niche markets internationally. Empire's common shares are listed on the TSX Venture Exchange under the symbol EIL.
This press release contains forward-looking statements, within the meaning of applicable securities legislation, concerning Empire's business and affairs. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". These forward looking statements are based on current expectations, and are naturally subject to uncertainty and changes in circumstances that may cause actual results to differ materially. Readers are cautioned not to place undue reliance on such forward-looking statements. Forward-looking information is provided as of the date of this press release, and Empire assumes no obligation to update or revise them to reflect new events or circumstances, except as may be required under applicable securities laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE EMPIRE INDUSTRIES LTD.
For further information: For further information: please visit our web-site at: www.empind.com or contact: Guy Nelson, Chairman & CEO, Empire Industries Ltd., Tel: (416) 366-7977, Email: email@example.com; David Carefoot, Chief Financial Officer, Empire Industries Ltd., Tel: (204) 589-9305, Email: firstname.lastname@example.org; Trevor Heisler, Investor Relations, The Equicom Group Inc., Tel: (416) 815-0700 x 270, Email: email@example.com