FMXL | Foamex Announces Significant Debt Reduction On Closing Of Rights Offering And Second Lien Term Loan Aug. 15

Penny Stock News Roundup

Jul 28, 2008 9:47:00 AM

Foamex International Inc. (OTC:FMXL), a leading producer of polyurethane foam-based solutions and specialty comfort products, announced that it is extending its rights offering and second lien term loan offering to August 12, 2008 at 5:00 p.m. New York time. The offerings were previously scheduled to expire on July 24, 2008.

As previously announced, the Company's total debt as of June 29, 2008 was approximately $417.6 million, down from approximately $629 million as of April 1, 2007. In the second lien term loan offering, the Company has already received assignments of second lien term loans in the amount of approximately $20.4 million. Upon closing of the offerings, total debt is anticipated to be less than $400 million, significantly strengthening the Company's balance sheet since April 1, 2007. The rights offering and second lien term loan offering are anticipated to close on August 15, 2008.