MINNEAPOLIS, April 26 /PRNewswire/ -- Intrepid U.S.A., Inc. (Intrepid), a leading health care service company, announced today that it has retained Crossroads, LLC, a nationally renowned consulting firm specializing in financial restructuring, as its financial advisor to spearhead the reorganization of the company’s operations. Effective March 23, 2004, Dennis I. Simon, Managing Principal of Crossroads, LLC assumed the role of President and CEO of Intrepid and Todd Garamella became the Chairman of the Board.
On January 29, 2004 Intrepid filed for Chapter 11 reorganization in the U.S. Bankruptcy Court for the District of Minnesota following the bankruptcy of its primary lenders, DVI Business Credit Corporation, and DVI Financial Services. An Interim DIP loan, which will be provided by CapitalSource Finance LLC, a leading middle market finance company with significant healthcare expertise, was approved by the U.S. Bankruptcy Court for the District of Minnesota last week.
“Dennis’ appointment will greatly enhance the depth of our existing management team. As Managing Principal of Crossroads, Dennis has led the successful reorganization of many major and mid-market companies,” said Todd Garamella, Chairman of the Board of Intrepid. “Dennis has considerable experience in the healthcare industry that will enable him to quickly identify and embark on a course of action that should help Intrepid emerge from bankruptcy quickly and in a stronger position going forward.”
“Intrepid is a solid organization with a strong reputation that has been impacted by a unique set of circumstances that has led to our retention,” said Dennis Simon. “I am excited to be joining Todd Garamella and the company and am confident that working with Intrepid’s talented management, Crossroads will be able to help the company achieve a return to prosperity. “
Dean Graham, Managing Director of CapitalSource, said, “The Crossroads management team greatly facilitated the smooth execution of this deal and we are confident in its ability to direct Intrepid’s successful emergence from bankruptcy. “This kind of fast-track, complex deal plays to our core strengths of speed and agility. That’s why DIP loans have become an integral part of our healthcare business.”
“The competition for the DIP financing was intense and we made the right choice in selecting CapitalSource, especially since we were under such severe time constraints,” commented Simon. “Because of its deep understanding of the bankruptcy process and its healthcare expertise, CapitalSource was able to provide us financing in just two weeks.”
About Intrepid U.S.A.
Intrepid U.S.A. is a $160-200 million revenue health care service company that provides home health care and supplemental staffing services, independent living services, and rehabilitation and assisted living options throughout the U.S., primarily in the Midwest, East and Southeastern regions.
About Crossroads LLC
Crossroads, LLC, is a national restructuring firm specializing in workouts with distressed companies and representatives of debtors and creditors. The firm provides specialized services in Financial Advisory; Investment Banking; Turnaround Management; Operations Improvement; and Litigation Analytics, Valuation and Investigative Services, as well as Value Management and Claims Administration. In addition to New York, the firm has offices in Irvine, Dallas, Houston, and Kansas City.
About CapitalSource
CapitalSource is a specialized commercial finance company offering asset-based, senior, cash flow, and mezzanine financing to small and mid-sized borrowers through three focused lending groups: Corporate Finance, Healthcare Finance, and Structured Finance. By offering a broad array of financial products, CapitalSource has issued more than $4 billion in loan commitments. Headquartered in Chevy Chase Md., CapitalSource has a national network of offices in Atlanta, Boston, Buffalo, Chicago, Columbus, Dallas, Los Angeles, Nashville, New York, Philadelphia, and San Francisco. The company has more than 300 employees. More information is available at http://www.capitalsource.com/ or toll free at 866-876-8723.
Crossroads, LLC
CONTACT: Gina Farinich, Crossroads LLC, +1-949-567-1603; PublicRelations, Robert Solomon, Rubenstein Associates, Inc., +1-212-843-8050, forCrossroads, LLC
