FITCHBURG, Mass., June 23, 2015 (GLOBE NEWSWIRE) -- Arrhythmia Research Technology, Inc. (NYSE:HRT) and its wholly-owned subsidiary, Micron Products, Inc., a diversified contract manufacturing organization that produces highly-engineered, innovative medical device technologies requiring precision machining and injection molding (collectively the “Company”), announced that, effective June 19, 2015, it has executed a two-year extension to its $4.0 million revolving line of credit (“Revolver”), now maturing June 30, 2017. Concurrently, the Company also closed on a new $1.0 million equipment line of credit (“ELOC”) with a maximum one-year draw period ending June 26, 2016.
The Revolver provides for borrowing up to 80% of eligible accounts receivable and 50% of eligible raw materials inventory. The ELOC is for six years, maturing June 26, 2021, inclusive of the maximum one-year draw period. Advances on the ELOC must remain less than 80% of the invoice amount of the equipment being purchased.
“The extension of our revolver and the new equipment line provide the financial flexibility to continue to pursue growth opportunities, and further support our strategy of penetrating the contract manufacturing services market for medical devices and components,” said Derek T. Welch, Chief Financial Officer.
About Arrhythmia Research Technology, Inc.
Arrhythmia Research Technology, Inc., through its wholly-owned subsidiary, Micron Products, Inc., is a diversified contract manufacturing organization that produces highly-engineered, innovative medical device technologies requiring precision machining and injection molding. The Company also manufactures components, devices and equipment for military, law enforcement, industrial and automotive applications. In addition, the Company is a market leader in the production and sale of silver/silver chloride coated and conductive resin sensors used as consumable component parts in the manufacture of integrated disposable electrophysiological sensors. The Company’s strategy for growth is to build a best-in-class quality organization and capitalize on its engineering design expertise and reliable, proprietary manufacturing processes to further penetrate the medical device contract manufacturing market.
The Company routinely posts news and other important information on its websites:
http://www.arthrt.com, http://www.micronproducts.com and http://www.micronmedical.com.
Safe Harbor Statement
Forward-looking statements made herein are based on current expectations of Arrhythmia Research Technology, Inc. (“our” or the “Company”) that involve a number of risks and uncertainties and should not be considered as guarantees of future performance. The factors that could cause actual results to differ materially include our ability to retain order volumes from customers who represent significant proportions of net sales; our ability to maintain our pricing model, offset higher costs with price increases and/or decrease our cost of sales; variability of customer delivery requirements; the level of sales of higher margin products and services; our ability to renew our credit facility and manage our level of debt and provisions in the debt agreements which could make the Company sensitive to the effects of economic downturns and limit our ability to react to changes in the economy or our industry; failure to comply with financial and other covenants in our credit facility; volatility in commodity and energy prices and our ability to offset higher costs with price increases; continued availability of supplies or materials used in manufacturing at competitive prices; variability of customer delivery requirements; variations in the mix of products sold; and the amount and timing of investments in capital equipment, sales and marketing, engineering and information technology resources. More information about factors that potentially could affect the Company’s financial results is included in the Company’s filings with the Securities and Exchange Commission.
CONTACT: For more information, contact: Investor and Media Contact: Deborah K. Pawlowski Kei Advisors LLC 716.843.3908 dpawlowski@keiadvisors.com Company Contact: Derek T. Welch Chief Financial Officer 978.345.5000 Help employers find you! Check out all the jobs and post your resume.
