Oct 27 2009
Associated Materials, LLC ("Associated") today announced its proposed offering of $200 million in aggregate principal amount of senior secured second lien notes due 2016. Associated plans to use the net proceeds from the offering to discharge and redeem its outstanding 9 3/4% senior subordinated notes due 2012 and its outstanding 15% senior subordinated notes due 2015, to pay related expenses and expenses of the offering and to repay amounts outstanding under its asset-based credit facility.
The notes will be senior obligations and will rank equally in right of payment with all of Associated's existing and future senior indebtedness. The notes will be co-issued by a finance subsidiary of Associated and will be guaranteed on a senior basis by all of Associated's existing and future U.S. domestic restricted subsidiaries that guarantee or are otherwise obligors under Associated's asset-based credit facilities. The notes and guarantees will be structurally subordinated to all of the liabilities of Associated's non-guarantor subsidiaries.
The notes and guarantees will be secured, subject to permitted liens, by second-priority liens on the assets that secure Associated's credit facility indebtedness. The collateral will consist of substantially all of the tangible and intangible assets of Associated and its domestic restricted subsidiaries.
The notes and guarantees have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration under, or an applicable exemption from such registration requirements. The notes will be offered and sold to qualified institutional buyers in the United States pursuant to Rule 144A and outside the United States pursuant to Regulation S under the Securities Act.
Source: http://www.associatedmaterials.com/