iconix brand group, inc. - Investor Relations

Print Page Close Window

Candie's, Inc. Announces Commitment of $25 Million Financing and Agreement for $20 Million Interim Working Capital Facility with Tyco Capital

NEW YORK, Jan 16, 2002 (BUSINESS WIRE) -- Candie's, Inc. (NASDAQ: CAND) ("Candie's") announced today that it has executed a commitment letter for a $25 million credit facility with Tyco Capital Commercial Services (formerly CIT Commercial Services) ("Tyco"), the financial subsidiary of Tyco International, Ltd.

At the same time, Candie's announced that Tyco has agreed to an interim working capital facility of $20 million, effective immediately, until the committed facility is finalized.

The commitment calls for a three-year term loan facility of $12.5 million and a $12.5 million working capital facility. The financing commitment is subject to conditions including the completion of a satisfactory due diligence review of the Company by Tyco and the execution of definitive documentation.

Neil Cole, CEO and President of Candie's said, "We are pleased with this commitment from Tyco Capital and believe that the anticipated $25 million arrangement involving both the term loan and the revolving facility serves as a strong vote of confidence in our future. With good momentum in our wholesale business, continued positive results from our own stores, and a significantly strengthened balance sheet, we are poised to enter Fiscal 2003 in an excellent strategic position."

    About Candie's, Inc.

Candie's Inc. is a leading designer and marketer of young women's footwear, apparel and accessories. The Company distributes its products through better department and specialty stores nationwide, as well as through twelve company-owned stores and specialty stores internationally. Candie's also owns and markets footwear, accessories and apparel under the Bongo(R) trademark. Candie's also arranges for the manufacture of footwear products for mass market and discount retailers under the private label brand of the retailer or other trademarks owned or licensed by Candie's. Additionally, the Candie's brand is licensed for the manufacture, sale and distribution of fragrances and cosmetics, handbags, sunglasses, watches, apparel and cell phone accessories. Candie's Inc. operates www.candies.com. For investor information please visit the corporate web site at www.candiesinc.com.

    Forward Looking Statement Disclosure

The statements which are not historical facts contained in this press release are forward looking statements that involve a number of known and unknown risks, uncertainties and other factors all of which are difficult or impossible to predict and many of which are beyond the control of the Company, which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. Such factors include, but are not limited to the risks detailed in the Company's Securities and Exchange Commission filings, and uncertainty associated with the impact on the company in relation to recent events discussed in the Company's form 10-K for fiscal 2001. Readers are cautioned not to place undue reliance on these forward-looking statements.

CONTACT:          Candie's Inc.
                  Richard Danderline, 914/769-8600
                  or
                  Integrated Corporate Relations, Inc.
                  James R. Palczynski, 203/222-9145

Copyright (C) 2002 Business Wire.  All rights reserved.