EX-99
3
ex991to8k01224_05272005.htm
EX-99.1
sec document
Exhibit 99.1
NuCO2 Inc.
2800 SE Market Place, Stuart, Florida 34997
www.nuco2.com
email: investor_relations@nuco2.com
--------------------------------------------------------------------------------
FOR IMMEDIATE RELEASE CONTACTS: MICHAEL E. DEDOMENICO
CHAIRMAN AND CEO
ROBERT R. GALVIN
CFO AND EXECUTIVE VICE PRESIDENT
(772) 221-1754
NUCO2 INC. ANNOUNCES NEW $60 MILLION REVOLVING CREDIT
FACILITY
TO REPLACE EXISTING SENIOR BANK AGREEMENT
-----
TRANSACTION COMPLETES FINANCING PROGRAM, STRENGTHENS BALANCE SHEET AND
POSITIONS COMPANY FOR GROWTH
STUART, FLORIDA, June 2, 2005 - NuCO2 Inc. (NASDAQ: NUCO), the largest supplier
in the U.S. of bulk CO2 systems and services for carbonating fountain beverages,
today announced the refinancing of its existing senior bank agreement with a new
$60 million, five-year revolving credit facility underwritten by Bank of
America, N.A..
The interest rate on the new non-amortizing credit facility is Libor plus
150 basis points, which compares with Libor plus 350-375 basis points on the
previous senior bank agreement. Approximately $34.6 million has been drawn down
against the new facility, which was used to pay off all outstanding debt under
the senior bank agreement. At current rates, interest savings on the outstanding
amount of the new facility is estimated to approximate $700,000, or
approximately $0.05 per share, on an annualized basis.
"With today's announcement of the new revolving credit facility, and the
redemption on April 4, 2005 of the Company's 16.3% subordinated notes due 2009
following our successful common stock sale, our Company is strongly positioned
to further our strategic goals", said Michael E. DeDomenico, Chairman and CEO.
"These transactions significantly strengthen our balance sheet and reduce total
borrowing costs which provide NuCO2 with added capability to pursue selected
acquisitions designed to expand market coverage and increase density in existing
distribution locations, thus enhancing our Company's growth opportunities and
future profitability".
The Company stated that as a result of the termination of the prior senior
bank agreement and the early redemption of the 16.3% subordinated notes, results
for the fourth fiscal quarter ending June 30, 2005, will reflect a charge of
$5.9 million, of which $4.1 million is for non-cash charges relating to
unamortized origination fees and $1.8 million relates to the prepayment premium
on the 16.3% subordinated notes.
ABOUT NUCO2
NuCO2 Inc. is the leading and only national provider of bulk CO2 products
and services to the U.S. fountain beverage industry. With service locations
within reach of virtually all of the fountain beverage users in the Continental
U.S., NuCO2's experienced professionals comprise the largest network of sales
and support specialists in the industry serving national restaurant chains,
convenience stores, theme parks and sports and entertainment complexes, among
others. NuCO2's revenues are largely derived from the installation, maintenance
and rental of bulk CO2 systems and delivery of beverage grade CO2, which are
increasingly replacing high pressure CO2, until now the traditional method for
carbonating fountain beverages. The technology offers consistent quality,
greater ease of operation, and heightened efficiency and safety utilizing
permanently installed on-site cryogenic storage tanks. NuCO2 provides systems
and services that allow its customers to spend more time serving their
customers. Visit the Company's website at WWW.NUCO2.COM.
Statements contained in this press release concerning the Company's outlook,
competitive position and other statements of management's beliefs, goals and
expectations are "forward-looking statements" within the meaning of Section 27A
of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of
1934, and are subject to risks and uncertainties that could cause actual results
to differ materially from those expressed in or implied by the statements. With
respect to such forward-looking statements, we claim protection under the
Private Securities Litigation Reform Act of 1995. These risks and uncertainties
include, but are not limited to, the ability of the Company to add new accounts,
competition and future operating performance. The Company disclaims any
obligation to update any forward-looking statement as a result of developments
occurring after the date of this press release.
###

EX - 99 3 ex991to8k01224 _ 05272005 . htm EX - 99 . 1 sec document Exhibit 99 . 1 NuCO2 Inc . 2800 SE Market Place , Stuart , Florida 34997 www.nuco2.com email : investor_relations@nuco2.com -------------------------------------------------------------------------------- FOR IMMEDIATE RELEASE CONTACTS : MICHAEL E . DEDOMENICO CHAIRMAN AND CEO ROBERT R. GALVIN CFO AND EXECUTIVE VICE PRESIDENT ( 772 ) 221 - 1754 NUCO2 INC . ANNOUNCES NEW $ 60 MILLION REVOLVING CREDIT FACILITY TO REPLACE EXISTING SENIOR BANK AGREEMENT ----- TRANSACTION COMPLETES FINANCING PROGRAM , STRENGTHENS BALANCE SHEET AND POSITIONS COMPANY FOR GROWTH STUART , FLORIDA , June 2 , 2005 - NuCO2 Inc . ( NASDAQ : NUCO ) , the largest supplier in the U . S . of bulk CO2 systems and services for carbonating fountain beverages , today announced the refinancing of its existing senior bank agreement with a new $ 60 million , five - year revolving credit facility underwritten by Bank of America , N . A . . The interest rate on the new non - amortizing credit facility is Libor plus 150 basis points , which compares with Libor plus 350 - 375 basis points on the previous senior bank agreement . Approximately $ 34.6 million has been drawn down against the new facility , which was used to pay off all outstanding debt under the senior bank agreement . At current rates , interest savings on the outstanding amount of the new facility is estimated to approximate $ 700,000 , or approximately $ 0.05 per share , on an annualized basis . " With today 's announcement of the new revolving credit facility , and the redemption on April 4 , 2005 of the Company 's 16 . 3 % subordinated notes due 2009 following our successful common stock sale , our Company is strongly positioned to further our strategic goals " , said Michael E . DeDomenico , Chairman and CEO . " These transactions significantly strengthen our balance sheet and reduce total borrowing costs which provide NuCO2 with added capability to pursue selected acquisitions designed to expand market coverage and increase density in existing distribution locations , thus enhancing our Company 's growth opportunities and future profitability " . The Company stated that as a result of the termination of the prior senior bank agreement and the early redemption of the 16 . 3 % subordinated notes , results for the fourth fiscal quarter ending June 30 , 2005 , will reflect a charge of $ 5.9 million , of which $ 4.1 million is for non - cash charges relating to unamortized origination fees and $ 1.8 million relates to the prepayment premium on the 16 . 3 % subordinated notes . ABOUT NUCO2 NuCO2 Inc . is the leading and only national provider of bulk CO2 products and services to the U . S . fountain beverage industry . With service locations within reach of virtually all of the fountain beverage users in the Continental U . S . , NuCO2 's experienced professionals comprise the largest network of sales and support specialists in the industry serving national restaurant chains , convenience stores , theme parks and sports and entertainment complexes , among others . NuCO2 's revenues are largely derived from the installation , maintenance and rental of bulk CO2 systems and delivery of beverage grade CO2 , which are increasingly replacing high pressure CO2 , until now the traditional method for carbonating fountain beverages . The technology offers consistent quality , greater ease of operation , and heightened efficiency and safety utilizing permanently installed on - site cryogenic storage tanks . NuCO2 provides systems and services that allow its customers to spend more time serving their customers . Visit the Company 's website at WWW.NUCO2.COM . Statements contained in this press release concerning the Company 's outlook , competitive position and other statements of management 's beliefs , goals and expectations are " forward - looking statements " within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 , and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in or implied by the statements . With respect to such forward - looking statements , we claim protection under the Private Securities Litigation Reform Act of 1995 . These risks and uncertainties include , but are not limited to , the ability of the Company to add new accounts , competition and future operating performance . The Company disclaims any obligation to update any forward - looking statement as a result of developments occurring after the date of this press release . # # #