Invacare announces amendment to credit agreement Invacare announced that it has "successfully" amended its credit agreement effective January 31. The amended agreement provides the company with additional flexibility on its maximum leverage ratio financial covenant through September 30. The company said, "Over the first nine months of 2013, we reduced our debt outstanding by $179.2M to a total debt outstanding of $58.9M as of September 30, 2013. We are confident that we will successfully exit this challenging period and begin to regain our custom power wheelchair market share." The new maximum leverage ratio for the first three quarters of 2014 has been increased as compared to the prior credit agreement. In calculating the company's EBITDA for purposes of determining the ratios, the credit agreement amendment also allows the company to add back to EBITDA up to $20M for one-time cash restructuring charges, representing an incremental increase of $5M from prior credit agreement terms. In order to align its debt capacity and related costs with anticipated needs, the company also has reduced its revolving credit facility to $100M from $250M through the October 2015 maturity date of the facility.
Invacare reports Q2 European net sales down 16.7% to $128.2M Reports Q2 North America/Home Medical Equipment net sales down 11.4% to $119M. Reports Q2 IPG sales up 6.1% to $27.4M. Reports Q2 Asia/Pacific sales down 9.3% to $11.7M.