Tropitone Closes A Nearly $30 Milion Refinancing Agreement

Furniture World Magazine

Tropitone Furniture Co., Inc., a leading manufacturer of casual furniture, announced that it has closed a refinancing agreement with Fleet Capital, a FleetBoston financial company, and Catalyst Equity Partners, LLC, nearly a year prior to the maturity date of an earlier agreement entered into in November 2001. The refinancing provides for $25.0 million in senior revolving and term loan facilities with Fleet and a $4.0 million subordinated debt facility with Catalyst. According to Michael Echolds, Chief Executive Officer of Tropitone, the new financing will support both ongoing operations, including product development, as well as future growth, such as the expansion of Sun West Creations, a leading manufacturer of high quality, solid urethane tabletops, which Tropitone acquired in August 2001. Among the factors, Echolds said, that have contributed to the ongoing confidence of the company’s lenders in Tropitone’s market opportunities and operational strategies are: 877-370-3688A proven manufacturing process that delivers superior results both in product quality and time-to-market. •The successful acquisition of Sun West Creations and the effective integration of this operation into Tropitone’s ongoing business. •The strong interest among both retail and contract customers for Tropitone’s newly introduced products, including new lounge seating, such as the Lisbon, Opus and Torino slings, innovative solid surface table tops as well as a new line of pedestal tables in the Stoneworks Collection, and several addition and improvements to the Basta Sole shade solutions which include the Aluminum Garden Pavilion. About Tropitone Furniture: Founded in 1954, Tropitone is based in Irvine, California, and is recognized throughout the casual furniture marketplace for its design leadership as well as its commitment to service and value. The company sells its products to retailers, designers and the hospitality trade under the Tropitone and Basta Sole trademarks. In addition to its headquarters and manufacturing plant in Irvine, the company operates a manufacturing facility in Sarasota, Florida. For more information about the company, visit www.tropitone.com.