Ames agrees to deal with GE Capital
January 29, 2001-- Home Textiles Today,
Northeastern discounter Ames Department Stores said it has signed a new three-year, $800 million financing pact with General Electric Capital Corp.
The new financial package replaces an existing $650 million credit facility and increases the retailer's borrowing power by 23 percent.
Ames said the terms of the new senior secured credit facility "include a higher borrowing base and advance rate which, along with other features, will significantly increase availability and strengthen the company's cash flow and financial flexibility."
Joseph Ettore, Ames chairman and ceo, commented: "The new facility will give us added flexibility to follow through on many of the new initiatives we have put into place over the last two years. In addition, it puts us in a position to enhance profitability even in this tough retail environment."