NAPERVILLE, Ill., Sept. 29, 2010 (GLOBE NEWSWIRE) -- Broadwind Energy, Inc. (Nasdaq:BWEN) today announced that it has entered into a new secured borrowing arrangement with Wells Fargo Business Credit, a division of Wells Fargo Bank, N.A. ("Wells Fargo"). The new facility, which has a three-year term, provides committed funding of up to a $10 million aggregate limit, tied to accounts receivable. The borrowing rate is based on 90-day Libor, with an all-in borrowing cost today of approximately 6.1%.
Coincident with the establishment of the new borrowing facility, Broadwind will move its primary commercial banking relationship to Wells Fargo, which includes centralization of cash management activities across the corporation.
"This is an important step for Broadwind," said Stephanie Kushner, Executive Vice President and CFO. "We are pleased to partner with Wells Fargo. They offer a suite of products and services that will support Broadwind's transition from a decentralized cash management and capital structure to more efficient centralized treasury operations."
About Broadwind Energy, Inc.
Broadwind Energy, Inc., based in Naperville, Illinois, provides technologically advanced high-value products and services to the U.S. wind energy industry. Broadwind's product and service portfolio provides customers, including wind turbine manufacturers, wind farm developers and wind farm operators, with access to a broad array of wind component and service offerings. These product and service offerings include wind turbine gearing systems, wind turbine structural towers, industrial products, technical services, Precision Repair and Engineering services, and logistics. For more information on Broadwind Energy, please visit http://www.bwen.com.
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Forward-Looking Statements
This news release includes "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995 — that is, statements related to future, not past, events. Forward-looking statements are based on current expectations and include any statement that does not directly relate to a current or historical fact. In this context, forward-looking statements often address our expected future business and financial performance, and often contain words such as "anticipate," "believe," "intend," "expect," "plan," "will" or other similar words. These forward-looking statements involve certain risks and uncertainties that ultimately may not prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. The Company's forward looking statements may include or relate to the Company's plans to grow its business and its expectations regarding its operations and the business of its customers; the sufficiency of the Company's working capital; and the Company's expectations regarding the state of the wind energy market generally, as well as the Company's expectations relating to the economic downturn and the potential impact on its business and the business of its customers. For further discussion of risks and uncertainties, individuals should refer to the Company's SEC filings. The Company undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this news release. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this news release. All forward-looking statements are qualified in their entirety by this cautionary statement.
CONTACT: Broadwind Energy, Inc. Media & Investor Contact John Segvich +1.630.637.0315 john.segvich@bwen.com