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By
Reuters
Published
Mar 31, 2009
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Crocs extends credit facility by six months

By
Reuters
Published
Mar 31, 2009

SAN FRANCISCO, March 31 (Reuters) - Shoe maker Crocs Inc (CROX.O) said on Tuesday March 31 it received a six-month extension of its credit facility with Union Bank of California that was due to expire later this week. The existing facility will now mature Sept. 30 instead of April 2, the company said.


www.Crocs.com

"Crocs is currently continuing negotiations with other financial institutions to arrange longer term financing," the company said in a statement.

The company, which manufactures colorful casual shoes made of resin, had $51.6 million in cash and cash equivalents and $22.4 million in borrowings under its revolving credit facility as of Dec. 31.

Earlier this month, the company said that its existing cash resources and cash flows from operations would likely be enough to meet ongoing business needs through March 31.

Crocs, whose revenue has plummeted as consumer interest in its product has waned, has been trying to cut costs and lower inventory levels in recent months to better align with recent sales trends.

Shares of Crocs closed 3 cents higher, or 2.6 percent, at $1.19 on the Nasdaq. (Reporting by Alexandria Sage; Editing by Gary Hill)

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