Radnor amends, getting lenders to forbear from exercising rights through Thursday

By Sara Rosenberg

New York, July 24 - Radnor Holdings Corp. amended its credit facilities, getting lenders to agree to forbear from exercising their rights and remedies regarding certain existing defaults through July 27, according to an 8-K filed with the Securities and Exchange Commission Monday.

In addition, lenders under the company's credit facility with National City Business Credit, Inc. agreed to provide additional funding if certain conditions and covenants are met, including the company continuing to market its businesses and assets as part of its consideration of restructuring alternatives.

On July 15, Radnor failed to make an interest payment to lenders under its credit facility with Tennenbaum Capital Partners, LLC.

In addition, on July 1, WinCup Holdings, Inc., a wholly owned subsidiary of the company failed to make a scheduled principal and interest payment on a promissory note with Polar Plastics Inc, and on July 7, a notice of default was received. The amount outstanding under the unsecured note has not been accelerated.

The credit facility amendments were completed on July 18.

Radnor is a Radnor, Pa.-based foam cup, container and expandable polystyrene bead manufacturer.

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