Standard Motor Products' repurchases of 6.75% convertibles capped at $50 million by lenders

By Angela McDaniels

Tacoma, Wash., Dec. 22 - Standard Motor Products, Inc. said it can repurchase no more than $50 million of its $90 million 6.75% convertible debentures due July 15, 2009 in the open market.

The limit was imposed in connection with an amendment made to the company's revolving credit facility on Thursday and will remain in place until Standard Motor Products closes an additional debt financing transaction, according to an 8-K filing with the Securities and Exchange Commission.

Through Thursday, the company has repurchased $45.1 million of the convertibles.

Until the company redeems or repays the convertibles, it must maintain a borrowing availability reserve of $15 million under the revolver.

Standard Motor Products is a Long Island City, N.Y.-based automotive replacement parts manufacturer and distributor.

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