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Another highly leveraged company seems poised to test the generosity of its lenders. Commercial printer Cenveo (NYSE:CVO) snuck the following language in its 10-K filing today, hoping nobody would notice and destroy its stock price ahead of "unprecedented economic uncertainty and volatility":

Capital Structure:

"We are in compliance with all of our debt covenants, as we ended 2008, with a reasonable level of debt-covenant cushion. Our management team is implementing a game plan to allow the Company to remain in compliance with our covenants going forward. However after much deliberation, and given the unprecedented uncertainty in the financial markets coupled with limited sales visibility, we have decided that exploring an amendment to our credit agreement is a prudent course of action. We are currently in discussions with our lead bank about modifying the terms of our credit facility to give the Company flexibility during this period of unprecedented economic uncertainty and volatility."

Probably not good news for other comparable companies, namely junk mail distributor Valassis (NYSE:VCI), whose loans, as pointed out recently, have seen an unprecedented two week run up for no particular reason.

Source: Cenveo Amending Its Credit Facility