Exhibit 99.1
Nachman Hays Brownstein |
A Team of Leaders |
NHB Services: |
Turnaround and Interim Management |
Creditor and Lender Services |
Investment Banking |
Fiduciary Services |
Litigation Consulting, Investigations & Valuations |
Another opportunity from NachmanHaysBrownstein, Inc. Refinancing Opportunity moving manufacturing forward Spartan Corporation Aerospace Medical Devices Industrial Government Systems |
The Opportunity |
· Refinancing of existing lender to support on-going turnaround and growth o $40 million working capital credit line · Eligible AR $25 million · Inventory $58 million · Equipment $20 million cost, $1.7 million net book value · Mortgage or sale/leaseback of the company’;s real estate. o $15 million cross collateralized first lien financing · 8 facilities (6 in US, 1 in Canada, 1 in Vietnam) · 895,000 square feet of office, manufacturing and warehouse space · $25 million estimated market value |
The Company: Mid-west based, NYSE listed electronics supplier; $200 million revenue into the aerospace, medical and defense industries. |
Current Situation: |
· The company has retained NachmanHaysBrownstein, Inc. to assist in raising the capital needed to support its continued turnaround and future growth. |
The company has incurred losses for the past two years, but, under a new and experienced management team, is implementing an aggressive turnaround plan, projecting the following sales. Income,and EBITDA for the fiscal years ended 6/30: |
Fiscal Year Ended 6/30 |
$(000) 2009 2010 2011 2012 |
Sales205,046 195,365 189,004 197,468 |
Net Income (loss)(13,618) 472 9,073 10,295 |
EBITDA(9,891) 3,550 11,734 12,777 |
Building Blocks for the Turnaround |
· An experienced turnaround management team led by a CEO with a proven track record |
· $8.45 million of cost reduction actions have already been implemented as of February 17, 2009 |
· A $126 million backlog as of January 2009, equal to 65% of projected next 12 months revenue |
· A blue-chip customer base of long standing which respects Sparton’s reputation and expertise |
· Two of the Company’s three divisions are profitable, providing a firm foundation for rebuilding the company |
· A solid asset base providing collateral for secured financing to fund the on-going turnaround plan |
Additional information including a nondisclosure form and financing package may be obtained by contacting: |
Adrienne Gaul |
Marketing Coordinator |
NachmanHaysBrownstein, Inc. |
Email: agaul@nhbteam.com |
Office: 610.660.0060, ext.221 |
Facsimile: 610.664.7298 |
John Keefe |
Managing Director |
jkeefe@nhbteam.com |
Office: 718-625-3800 |
Mobile:917-270-6765 |
Howard Brownstein, CTP |
Principal |
hbrownstein@nhbteam.com |
Office: 610.660.0060, ext. 225 |
Mobile: (215) 280-0194 |
For accredited investors’ only, as defined by applicable law. This information is entirely that of the Company and has not been verified or audited by NHB.Independent investigation and due diligence is required before making any decisions with regard to the Company described. |