SiC Processing GmbH
SiC Processing GmbH: Deferral of payments agreed with major creditors to avoid pending liquidity shortfall
SiC Processing GmbH / Key word(s): Miscellaneous 05.11.2012 / 11:46 --------------------------------------------------------------------- Hirschau, November 5, 2012 - significant payment delays of certain customers, combined with substantial volume and price declines, pending liabilities from the expansion program of the last two years and a parent guarantee caused a situation, where SiC Processing GmbH (ISIN DE000A1H3HQ1) would not have been able to meet its payment obligations. The parent guarantee for a rental contract was called upon after the insolvency of REC Wafer Norway AS, the sole customer of SiC Processing AS. SiC Processing GmbH's liquidity difficulties came about in an extremely challenging situation for the solar industry exemplified by high price pressure and continued overcapacities. When the aforementioned difficulties emerged, the management board of SiC Processing GmbH initiated discussions for a deferral of payment with major creditors. These creditors - the Norwegian landlord of SiC Processing AS, a major supplier of SiC recycling lines and a shareholder of SiC Processing GmbH - agreed to defer their outstanding debits until February 28, 2013. This secures the solvency of SiC Processing GmbH until February 28, 2013 and ensures from today's perspective SiC's ability to pay its obligations to its suppliers due in this period in the ordinary course of business. To ensure liquidity after February 28, 2013, the management board of SiC Processing GmbH together with its shareholders will develop a restructuring plan in the coming weeks. This plan will subsequently be presented to major creditors as well as the holders of the SiC Processing bond. It is the intention to implement a restructuring plan, that ensures the long-term competitive position of SiC Processing in a market expected to be challenging for the foreseeable future, by February 28, 2013. Please register at our website http://www.sic-processing.com/index.php/Newsletter.html to automatically receive the latest news of SiC Processing group. SiC Processing GmbH SiC Processing GmbH is the leading provider for the recovery of used slurry from the photovoltaic and the semiconductor industry. With 773 employees worldwide (as of end September 2012) the group is located in 5 countries all over the world - production sites in Germany, China, Norway and US - Sales Office in Italy. The founder family holds a 25% stake beside the majority shareholder Nordic Capital Fund VII. Press Contact: Markus Kreuzer Head of Marketing and Communications Phone: 0049 (0) 9622 - 70 39 273 E-Mail: markus.kreuzer@sic-processing.de End of Corporate News --------------------------------------------------------------------- 05.11.2012 Dissemination of a Corporate News, transmitted by DGAP - a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- 191475 05.11.2012
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