ROCHESTER HILLS, Mich., Feb. 5 /PRNewswire-FirstCall/ -- Energy Conversion Devices, Inc. (ECD) (Nasdaq: ENER) announced today that its wholly owned subsidiaries, United Solar Ovonic LLC and United Solar Ovonic Corporation, have entered into a new secured revolving credit facility, with an aggregate commitment of up to $55 million, pursuant to a Credit Agreement and a separate Fast Track Export Loan Agreement, each with JPMorgan Chase Bank, N.A. The new credit facility consists of two separate lines of credit, a $30 million revolving line, with availability determined by reference to a borrowing base comprised of domestic inventory and receivables, and a separate $25 million revolving line, which is provided under the United States Export-Import Bank's fast track guarantee program, with availability determined by reference to a borrowing base comprised of foreign inventory and receivables. The Export- Import line has a three-year term. The domestic line has a five-year term, which will be reduced to three years in the event that the Export-Import line is not extended for an additional two-year term on or before July 5, 2010. The facilities contain an aggregate $10 million sub-limit for standby letters of credit. Both lines are secured by, among other assets, all inventory and receivables of United Solar Ovonic. ECD will guarantee the loans on an unsecured basis, and JPMorgan Chase will serve as Administrative Agent.
About Energy Conversion Devices
Energy Conversion Devices, Inc. (NASDAQ: ENER) manufactures and sells thin-film solar laminates that convert sunlight to energy using proprietary technology. Distributed globally under the UNI-SOLAR(R) brand, the company's products are ideally suited for cost-effective solar roofing solutions because they are lightweight, durable, flexible, can be integrated directly with building materials, and generate more energy in real-world conditions. ECD also pioneers other alternative technologies, including a new type of non- volatile digital memory that is significantly faster and less expensive, and is ideal for a variety of applications including cell phones, digital cameras and personal computers. For more information, please visit http://www.ovonic.com.
This release may contain forward-looking statements within the meaning of the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on assumptions which ECD, as of the date of this release, believes to be reasonable and appropriate. ECD cautions, however, that the actual facts and conditions that may exist in the future could vary materially from the assumed facts and conditions upon which such forward-looking statements are based. The risk factors identified in the ECD filings with the Securities and Exchange Commission, including the company's most recent Annual Report on Form 10-K and most recent Quarterly Report on Form 10-Q, could impact any forward-looking statements contained in this release.
|SOURCE Energy Conversion Devices, Inc.|
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