Cone Mills gets breathing room

By Staff -- Home Textiles Today, 5/30/2003 2:46:00 PM

Greensboro, NC — Winning some breathing space from its lenders, Cone Mills Corp. said it has cut a deal extending its credit facility and senior note obligations through March 15, 2004.

Under the terms of the deal, the outstanding balance of the senior note is $22 million, with an interest rate of 14.2 percent. The existing revolver is split into two pieces, $25 million at 12 percent and $31 million at a current rate of about 8.1 percent. The company will be required to pay down $833,333 monthly, beginning in July 2003.