Sonitrol Increases Credit Facility to $175 Million
(July 11, 2006) - Sonitrol Corporation,
the leader in verified electronic security, today announced an
amendment that raises its credit facility from $135 million to $175
million. The amended credit facility includes a $125 million term loan
and a $50 million revolver loan. The credit facility features improved
terms and conditions that are more in line with the best available on
the market, and it provides additional cash for acquisitions and
significantly reduces the Company's interest expense.
"This amended credit facility is the result of Sonitrol's strong
financial position," said Sonitrol Chairman and CEO Kevin Dowd. "It
simultaneously reduces our interest expense and increases our capacity
for further acquisitions, which we will continue to aggressively
pursue."
The amended credit facility provides Sonitrol with the ability to
invest its considerable cash flow into the core business at a reduced
interest rate from the prior financing. In addition, the revolver
provides the Company with a ready pool of capital for its acquisition
program and the ability to increase this pool as needed based on the
success of the program. The credit facility was arranged by Wachovia
Bank and placed with a syndicate of lenders including Merrill Lynch
Capital, Jeffries Babson Finance, Capital Source and LaSalle Bank.
About Sonitrol:
Sonitrol Corporation is the leading provider of Verified Response security solutions for
businesses and schools in North America. Founded by a policeman, the
company's technology was created to reduce false alarms and increase
apprehensions. Sonitrol's proprietary audio verification capability has
assisted local law enforcement in the apprehension of more than 155,000
suspects since 1977. Its integrated suite of offerings includes audio
intrusion alarms, access control, video surveillance and fire
detection. For more information on Sonitrol and its integrated security
solutions, please visit the company's website at www.sonitrol.com.