LOS ANGELES, Jan. 7, 2010 (GLOBE NEWSWIRE) -- Unified Grocers ("Unified" or the "Company"), the largest wholesale grocery distributor in the western United States, announced that it has exercised a provision in its current revolving credit agreement that increases the total committed funds available to the Company from $250 million to $275 million. The provision allows Unified to expand the capacity of its existing credit agreement to a maximum of $300 million without changing the favorable terms and conditions of its existing revolving credit agreement, which expires in 2012.
Providing Unified with additional borrowing capacity was Fifth Third Bank, Cincinnati, Ohio, which entered the credit facility with a commitment of $25 million.
"We believe it is prudent to increase our borrowing capacity when we have the opportunity to do so and the terms are favorable," said Al Plamann, president and chief executive officer, Unified Grocers. "This transaction meets that criteria and will provide us with greater flexibility in the future. We are delighted to have Fifth Third Bank join our family of respected banks and lending institutions and we are looking forward to this mutually beneficial relationship over the long-term."
Founded in 1922, Unified Grocers, Inc. is a retailer-owned wholesale grocery distributor that supplies independent retailers throughout the western United States. Unified and its subsidiaries, which generated approximately $4.1 billion in sales during fiscal 2009, offer independent retailers all the resources they need to compete in the supermarket industry.
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Safe Harbor Statement
This press release contains forward-looking statements about the future performance of Unified Grocers based on Management's assumptions and beliefs in light of information currently available to it. There are a variety of factors that could cause actual and future results to differ materially from those anticipated by the statements made above. These factors are outlined in the Company's Form 10-K and other interim reports filed with the Securities and Exchange Commission. Furthermore, Unified undertakes no obligation to update, amend or clarify forward-looking statements whether as a result of new information, future events, or otherwise.