RFM Extends Revolving Line of CreditJanuary 4, 2012
The financial support will allow the company to continue operating with sufficient liquidity and availability while it focuses on growing revenue in its target markets.
DALLAS /BUSINESS WIRE/ -- RF Monolithics Inc. (RFM) announced that it has renewed and extended the existing $5,000,000 senior secured credit facility and $740,000 real estate mortgage with ViewPoint Bank, which is a wholly owned subsidiary of ViewPoint Financial Group.
The renewed and extended $5 million senior secured credit facility is a revolving line of credit secured by accounts receivable and finished goods inventory. The facility's maturity was extended from November 30, 2012 to November 30, 2013, and its interest rate floor was reduced from 7.0% to 5.25%. The real estate mortgage was extended from 2014 to 2021 and now has a fixed rate of 5.5% for the next five years, well below the floor previously in effect of 6.5%. Details of the renewals and extensions will be provided in our Form 10-Q for the first fiscal quarter of 2012.
"We are very pleased with the credit facility renewals and extensions with ViewPoint Bank," stated Buddy Barnes, Chief Financial Officer of RFM. "These renewed and extended credit facilities will allow RFM to continue operating with sufficient liquidity and availability while we focus on growing revenue in our target markets. We have worked well with ViewPoint since early 2009 and these renewals and extensions further enhance our relationship."
RF Monolithics Inc., headquartered in Dallas, TX, is a provider of solutions-driven, technology-enabled wireless connectivity for a broad range of wireless applications, from individual standard and custom components to modules for comprehensive industrial wireless sensor networks and machine-to-machine technology.
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