U.S. Auto Parts Increases Credit Facility with Chase to $30 Million at Lower Interest Rate
CARSON, Calif., Feb. 9, 2016 /PRNewswire/ -- U.S. Auto Parts Network, Inc. (NASDAQ: PRTS), one of the largest online providers of aftermarket automotive parts and accessories, has amended its credit agreement with Chase Commercial Banking, which governs its revolving credit facility, to include more favorable terms.
As a result of U.S. Auto Parts' improved operating performance in recent quarters, U.S. Auto Parts and Chase have agreed to, among other things, reduce the borrowing rate and increase the facility by an additional $5 million to $30 million.
"The increased borrowing capacity and lowered rate speaks to the confidence our commercial banking partner has in our organization," said Neil Watanabe, CFO of U.S. Auto Parts. "We look forward to continuing our partnership with Chase as they provide us with the flexibility to support our growing business."
Additional details regarding U.S. Auto Parts' amended credit agreement can be found on the Form 8-K that U.S. Auto Parts is filing today with the Securities and Exchange Commission.
About U.S. Auto Parts
Established in 1995, U.S. Auto Parts is a leading online provider of automotive aftermarket parts, including body, engine, and performance parts and accessories. Through the Company's network of websites, U.S. Auto Parts provides consumers with a broad selection of competitively priced products, all mapped by a proprietary database with applications based on vehicle makes, models and years. U.S. Auto Parts' flagship websites include www.autopartswarehouse.com, www.jcwhitney.com, and www.AutoMD.com, as well as the Company's corporate website at www.usautoparts.net.
In addition to historical facts, this press release contains forward-looking statements that involve a number of risks and uncertainties, including statements regarding our expected growth, future revenues, and the improved terms of our credit facility. These forward-looking statements are subject to risks, uncertainties and assumptions including, but not limited to competitive pressures, our dependence on search engines to attract customers, demand for U.S. Auto Parts' products, the online market for aftermarket auto parts, the economy in general, the operating restrictions in our credit agreement, and the weather, as well as the other risks detailed in U.S. Auto Parts' periodic filings with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Actual results may materially differ from anticipated results described in these forward-looking statements. All forward-looking statements are qualified in their entirety by this cautionary statement, and U.S. Auto Parts undertakes no obligation to revise or update this press release to reflect events or circumstances after the date hereof. This caution is made under the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934.
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SOURCE U.S. Auto Parts Network, Inc.