MILTON, Ga., March 27, 2015 (GLOBE NEWSWIRE) -- Exide Technologies (OTCQB:XIDEQ) (www.exide.com) ("Exide" or the "Company"), a global leader in stored electrical-energy solutions, today announced that Judge Kevin J. Carey of the U.S. Bankruptcy Court for the District of Delaware entered an order confirming the Exide Plan of Reorganization (the "Plan").
The Plan had overwhelming creditor support. The Plan will become effective and Exide will emerge from Chapter 11 upon completion of necessary closing conditions, including obtaining closing on exit financing. On March 26, 2015, the Company obtained an amendment to its Debtor-in-Possession ("DIP") credit agreement, which extends the DIP credit facility's maturity date from March 31, 2015 to April 30, 2015.
"This is a great day for Exide," said Robert M. Caruso, President and Chief Executive Officer of Exide Technologies. "Thanks to the extraordinary hard work and focus of our dedicated employees and the tremendous support from our loyal customers, suppliers, key financial stakeholders and creditors, we are now poised to emerge successfully from Chapter 11 and implement our business plan. Upon consummation of the Plan, we will have dramatically realigned our capital structure, and that substantial reduction in our debt level, along with the extensive operational restructuring we executed over the last nearly two years, positions Exide to continue to make and market our premier line of stored electrical energy products and solutions for our customers around the world."
Bankruptcy Court filings, including the Plan and related Disclosure Statement, are available at http://www.exiderestructures.com. Interested parties may direct questions about the Exide bankruptcy using the following toll-free numbers: 888.985.9831 for U.S. suppliers or 855.291.0287 for all other groups.
About Exide Technologies
Exide Technologies, with operations in more than 80 countries, is one of the world's largest producers and recyclers of lead-acid batteries. The Company's global business groups provide a comprehensive range of stored electrical energy products and services for industrial and transportation applications. Transportation markets include original-equipment and aftermarket automotive, heavy-duty truck, agricultural and marine applications, and new technologies for hybrid vehicles and automotive applications. Industrial markets include network power applications such as telecommunications, electric utilities, railroads, photovoltaic (solar-power related) and uninterruptible power supply (UPS), and motive-power applications including lift trucks, mining and other commercial vehicles.
Forward Looking Statement
This press release contains forward-looking statements with respect to our Chapter 11 filing and related matters. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those expressed or implied by the forward-looking statements.
Factors that could cause actual results to differ materially from these forward looking statements include, but are not limited to, the following general factors such as: (i) there can be no assurance that the Company will satisfy the conditions of the PSA or the backstop commitment agreement, (ii) the Company may be unable to consummate the Plan, (iii) the risks associated with operating businesses under Chapter 11 protection, (iv) the ability of the Company to comply with the terms of the DIP financing facility, (v) the risk factors or uncertainties listed from time to time in the Company's filings with the Securities and Exchange Commission and with the U.S. Bankruptcy Court in connection with the Company's Chapter 11 filing, (vi) the Company may be unable to implement and fund business strategies based on current liquidity, (vii) the Company's substantial debt and debt service requirements may restrict the Company's operational and financial flexibility, as well as imposing significant interest and financing costs, (viii) the litigation proceedings to which the Company is subject could have a material adverse effect on the Company and its businesses, (ix) competitiveness of the battery markets in the Americas and Europe, (x) risks involved in foreign operations such as disruption of markets, changes in import and export laws, currency restrictions, currency exchange rate fluctuations and possible terrorist attacks against U.S. interests, (xi) the ability to acquire goods and services and/or fulfill later needs at budgeted costs, (xii) regulatory risks and uncertainties could affect the Company's businesses or profitability, or (xiii) general economic conditions.