AMHERST, N.Y., Feb. 23, 2015 (GLOBE NEWSWIRE) -- Columbus McKinnon Corporation (Nasdaq:CMCO) announced that it has redeemed all of its outstanding $150 million of 7.875% senior subordinated notes ("Notes") due February 1, 2019. The aggregate price paid for the redemption was $156.6 million, including a 3.938% call premium, or $5.9 million, and $0.7 million of accrued interest on the Notes. The redemption was funded by the Company's new $125 million delayed-draw senior secured term loan facility and cash on hand.
The restructuring provides lower cost debt and greater financial flexibility. It reduces cash interest expense by approximately $7.6 million annually. Interest expense savings are expected to result in approximately $0.27 of earnings per diluted share in fiscal 2016.
About Columbus McKinnon
Columbus McKinnon is a leading worldwide designer, manufacturer and marketer of material handling products, systems and services, which efficiently and ergonomically move, lift, position and secure materials. Key products include hoists, cranes, actuators and rigging tools. The Company is focused on commercial and industrial applications that require the safety and quality provided by its superior design and engineering know-how. Comprehensive information on Columbus McKinnon is available on its website at http://www.cmworks.com.
Safe Harbor Statement
This news release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements concerning future revenue and earnings, involve known and unknown risks, uncertainties and other factors that could cause the actual results of the Company to differ materially from the results expressed or implied by such statements, including general economic and business conditions, conditions affecting the industries served by the Company and its subsidiaries, conditions affecting the Company's customers and suppliers, competitor responses to the Company's products and services, the overall market acceptance of such products and services, the integration of acquisitions and other factors disclosed in the Company's periodic reports filed with the Securities and Exchange Commission. Consequently, such forward looking statements should be regarded as the Company's current plans, estimates and beliefs. The Company assumes no obligation to update the forward-looking information contained in this release.