Too Big to Get a Small-Business Loan? Think Again…
Thu, 05/07/2009 - 12:31
The U.S. Small Business Administration (SBA) has temporarily expanded the size requirements for SBA-backed 7(a) loans in order to help insert more liquidity into the marketplace. The SBA estimates that more than 70,000 small businesses across the country will be eligible for new loans between now and the time the program ends on September 30, 2010, including many auto-sector businesses.

The temporary loan size standard will allow businesses to qualify based on net worth and average income (rather than by the number of employees). The net worth for the company and its affiliates cannot be in excess of $8.5 million and average net income after federal income taxes (excluding any carry-over losses) for the preceding two completed fiscal years cannot be more than $3 million.

The 7(a) program is the SBA’s most popular loan program. The volume of newly approved 7(a) loans sold on the secondary market has increased dramatically in recent months as a result of two other rule changes in March, a temporary reduction in fees charged to borrowers along with an increase in the maximum federal guarantee, from 85% to 90%.

For more information about the SBA’s 7(a) loan program, visit http://www.sba.gov/services/financialassistance/sbaloantopics/7a. For additional information, contact Stuart Gosswein at stuartg@sema.org.
Too Big to Get a Small-Business Loan? Think Again…
Thu, 05/07/2009 - 12:31
The U.S. Small Business Administration (SBA) has temporarily expanded the size requirements for SBA-backed 7(a) loans in order to help insert more liquidity into the marketplace. The SBA estimates that more than 70,000 small businesses across the country will be eligible for new loans between now and the time the program ends on September 30, 2010, including many auto-sector businesses.

The temporary loan size standard will allow businesses to qualify based on net worth and average income (rather than by the number of employees). The net worth for the company and its affiliates cannot be in excess of $8.5 million and average net income after federal income taxes (excluding any carry-over losses) for the preceding two completed fiscal years cannot be more than $3 million.

The 7(a) program is the SBA’s most popular loan program. The volume of newly approved 7(a) loans sold on the secondary market has increased dramatically in recent months as a result of two other rule changes in March, a temporary reduction in fees charged to borrowers along with an increase in the maximum federal guarantee, from 85% to 90%.

For more information about the SBA’s 7(a) loan program, visit http://www.sba.gov/services/financialassistance/sbaloantopics/7a. For additional information, contact Stuart Gosswein at stuartg@sema.org.
Too Big to Get a Small-Business Loan? Think Again…
Thu, 05/07/2009 - 12:31
The U.S. Small Business Administration (SBA) has temporarily expanded the size requirements for SBA-backed 7(a) loans in order to help insert more liquidity into the marketplace. The SBA estimates that more than 70,000 small businesses across the country will be eligible for new loans between now and the time the program ends on September 30, 2010, including many auto-sector businesses.

The temporary loan size standard will allow businesses to qualify based on net worth and average income (rather than by the number of employees). The net worth for the company and its affiliates cannot be in excess of $8.5 million and average net income after federal income taxes (excluding any carry-over losses) for the preceding two completed fiscal years cannot be more than $3 million.

The 7(a) program is the SBA’s most popular loan program. The volume of newly approved 7(a) loans sold on the secondary market has increased dramatically in recent months as a result of two other rule changes in March, a temporary reduction in fees charged to borrowers along with an increase in the maximum federal guarantee, from 85% to 90%.

For more information about the SBA’s 7(a) loan program, visit http://www.sba.gov/services/financialassistance/sbaloantopics/7a. For additional information, contact Stuart Gosswein at stuartg@sema.org.
Too Big to Get a Small-Business Loan? Think Again…
Thu, 05/07/2009 - 12:31
The U.S. Small Business Administration (SBA) has temporarily expanded the size requirements for SBA-backed 7(a) loans in order to help insert more liquidity into the marketplace. The SBA estimates that more than 70,000 small businesses across the country will be eligible for new loans between now and the time the program ends on September 30, 2010, including many auto-sector businesses.

The temporary loan size standard will allow businesses to qualify based on net worth and average income (rather than by the number of employees). The net worth for the company and its affiliates cannot be in excess of $8.5 million and average net income after federal income taxes (excluding any carry-over losses) for the preceding two completed fiscal years cannot be more than $3 million.

The 7(a) program is the SBA’s most popular loan program. The volume of newly approved 7(a) loans sold on the secondary market has increased dramatically in recent months as a result of two other rule changes in March, a temporary reduction in fees charged to borrowers along with an increase in the maximum federal guarantee, from 85% to 90%.

For more information about the SBA’s 7(a) loan program, visit http://www.sba.gov/services/financialassistance/sbaloantopics/7a. For additional information, contact Stuart Gosswein at stuartg@sema.org.
Too Big to Get a Small-Business Loan? Think Again…
Thu, 05/07/2009 - 12:31
The U.S. Small Business Administration (SBA) has temporarily expanded the size requirements for SBA-backed 7(a) loans in order to help insert more liquidity into the marketplace. The SBA estimates that more than 70,000 small businesses across the country will be eligible for new loans between now and the time the program ends on September 30, 2010, including many auto-sector businesses.

The temporary loan size standard will allow businesses to qualify based on net worth and average income (rather than by the number of employees). The net worth for the company and its affiliates cannot be in excess of $8.5 million and average net income after federal income taxes (excluding any carry-over losses) for the preceding two completed fiscal years cannot be more than $3 million.

The 7(a) program is the SBA’s most popular loan program. The volume of newly approved 7(a) loans sold on the secondary market has increased dramatically in recent months as a result of two other rule changes in March, a temporary reduction in fees charged to borrowers along with an increase in the maximum federal guarantee, from 85% to 90%.

For more information about the SBA’s 7(a) loan program, visit http://www.sba.gov/services/financialassistance/sbaloantopics/7a. For additional information, contact Stuart Gosswein at stuartg@sema.org.
Industry Braces for Strengthened Car Roofs
Thu, 05/07/2009 - 12:31
After years of debate, the National Highway Traffic Safety Administration has revised the vehicle roof strength rule, Federal Motor Vehicle Safety Standard (FMVSS) No. 216. The new standard will require manufacturers to design vehicle roofs that withstand at least three times the weight of a light-duty vehicle (up to 6,000 lbs.) during a two-sided roof strength test. The current standard, which had remained unchanged since 1971, requires the roof to support at least 1.5 times the vehicle weight when tested on one side only.

The tests are conducted by pressing a metal plate down on the roof over the driver’s seat, then the passenger’s seat. The NHTSA will continue to rely on static tests rather than include a dynamic test to simulate a vehicle rollover.

For the first time, the NHTSA will also apply the rule to heavier vehicles weighing between 6,000 and 10,000 lbs. In this instance, the driver’s and passenger’s side must withstand 1.5 times the weight of the vehicle.

The requirements will be phased in over a four-year period between September 2012 and September 2016. The NHTSA estimates that compliance with the upgraded roof strength standard will increase lifetime consumer costs by $69 to $114 per vehicle.

During the rulemaking process, SEMA cautioned the NHTSA that a tougher standard must still accommodate installation of specialty-equipment sunroofs and other products that interact with the roof. The NHTSA responded that vehicles with sunroofs had been tested under the new requirements and passed and that the agency did not foresee any problems with specialty-equipment installations. For additional information, contact Stuart Gosswein at stuartg@sema.org.
Industry Braces for Strengthened Car Roofs
Thu, 05/07/2009 - 12:31
After years of debate, the National Highway Traffic Safety Administration has revised the vehicle roof strength rule, Federal Motor Vehicle Safety Standard (FMVSS) No. 216. The new standard will require manufacturers to design vehicle roofs that withstand at least three times the weight of a light-duty vehicle (up to 6,000 lbs.) during a two-sided roof strength test. The current standard, which had remained unchanged since 1971, requires the roof to support at least 1.5 times the vehicle weight when tested on one side only.

The tests are conducted by pressing a metal plate down on the roof over the driver’s seat, then the passenger’s seat. The NHTSA will continue to rely on static tests rather than include a dynamic test to simulate a vehicle rollover.

For the first time, the NHTSA will also apply the rule to heavier vehicles weighing between 6,000 and 10,000 lbs. In this instance, the driver’s and passenger’s side must withstand 1.5 times the weight of the vehicle.

The requirements will be phased in over a four-year period between September 2012 and September 2016. The NHTSA estimates that compliance with the upgraded roof strength standard will increase lifetime consumer costs by $69 to $114 per vehicle.

During the rulemaking process, SEMA cautioned the NHTSA that a tougher standard must still accommodate installation of specialty-equipment sunroofs and other products that interact with the roof. The NHTSA responded that vehicles with sunroofs had been tested under the new requirements and passed and that the agency did not foresee any problems with specialty-equipment installations. For additional information, contact Stuart Gosswein at stuartg@sema.org.
Source Interlink Companies Inc. Goes Private
Thu, 05/07/2009 - 12:31

Source Interlink Companies Inc., one of the largest publishers of magazines and online content for enthusiast audiences and a leading distributor of DVDs, CDs, magazines, video games and books announced it has reached a restructured agreement with its lenders to eliminate approximately $1 billion dollars of existing debt and privatize the company. Under the agreement, the company’s lenders will cancel nearly $1 billion of the company’s existing debt and provide approximately $100 million in additional liquidity. Source Interlink, in agreement with its lenders, will pay all of its vendors in full and on time if they agree to maintain current credit and payment terms.

To facilitate the restructuring, the company filed a lender-approved pre-packaged Plan of Reorganization under Chapter 11 in the U.S. Bankruptcy Code. The company anticipates it will emerge within 35 days.

Source Interlink Chairman and Chief Executive Officer Greg Mays said, “We couldn’t be more pleased. This restructuring will materially reduce our interest expense and debt levels, substantially improve free cash flow and allow us to capitalize on several operational opportunities to further improve and grow our business. Current management will remain in place, daily operations will continue as usual and our employees will continue to do what they do best—provide exceptional service to our customers. Importantly, all of our vendors will be paid in full for both pre-petition and ongoing charges according to our terms of trade. It’s business as usual at Source Interlink” Mays added.

Source’s business partners support the restructuring as well. Bob Castardi, president of Curtis Circulation Company said, “The Curtis Circulation Company is very encouraged about being a valued trading partner. Source Interlink Companies’ reorganization will reduce any concerns going forward as to their financial stability. We at Curtis embrace the fact Source got out in front of this!” Michael Sullivan, CEO of CMG, a national distributor of Source stated, “When Source presented their reorganization plan in detail, we were very relieved to understand the huge debt write-off. This will allow CMG to move forward with new initiatives knowing that Source Interlink Companies will be in a very favorable financial position.” As a result of this agreement, Source Interlink has cancelled its investor call previously scheduled for May 1, 2009.

For more information about the reorganization, go to www.sourceinterlink.com and click on the Reorganization Information tab.

Source Interlink Companies Inc. Goes Private
Thu, 05/07/2009 - 12:31

Source Interlink Companies Inc., one of the largest publishers of magazines and online content for enthusiast audiences and a leading distributor of DVDs, CDs, magazines, video games and books announced it has reached a restructured agreement with its lenders to eliminate approximately $1 billion dollars of existing debt and privatize the company. Under the agreement, the company’s lenders will cancel nearly $1 billion of the company’s existing debt and provide approximately $100 million in additional liquidity. Source Interlink, in agreement with its lenders, will pay all of its vendors in full and on time if they agree to maintain current credit and payment terms.

To facilitate the restructuring, the company filed a lender-approved pre-packaged Plan of Reorganization under Chapter 11 in the U.S. Bankruptcy Code. The company anticipates it will emerge within 35 days.

Source Interlink Chairman and Chief Executive Officer Greg Mays said, “We couldn’t be more pleased. This restructuring will materially reduce our interest expense and debt levels, substantially improve free cash flow and allow us to capitalize on several operational opportunities to further improve and grow our business. Current management will remain in place, daily operations will continue as usual and our employees will continue to do what they do best—provide exceptional service to our customers. Importantly, all of our vendors will be paid in full for both pre-petition and ongoing charges according to our terms of trade. It’s business as usual at Source Interlink” Mays added.

Source’s business partners support the restructuring as well. Bob Castardi, president of Curtis Circulation Company said, “The Curtis Circulation Company is very encouraged about being a valued trading partner. Source Interlink Companies’ reorganization will reduce any concerns going forward as to their financial stability. We at Curtis embrace the fact Source got out in front of this!” Michael Sullivan, CEO of CMG, a national distributor of Source stated, “When Source presented their reorganization plan in detail, we were very relieved to understand the huge debt write-off. This will allow CMG to move forward with new initiatives knowing that Source Interlink Companies will be in a very favorable financial position.” As a result of this agreement, Source Interlink has cancelled its investor call previously scheduled for May 1, 2009.

For more information about the reorganization, go to www.sourceinterlink.com and click on the Reorganization Information tab.

Source Interlink Companies Inc. Goes Private
Thu, 05/07/2009 - 12:31

Source Interlink Companies Inc., one of the largest publishers of magazines and online content for enthusiast audiences and a leading distributor of DVDs, CDs, magazines, video games and books announced it has reached a restructured agreement with its lenders to eliminate approximately $1 billion dollars of existing debt and privatize the company. Under the agreement, the company’s lenders will cancel nearly $1 billion of the company’s existing debt and provide approximately $100 million in additional liquidity. Source Interlink, in agreement with its lenders, will pay all of its vendors in full and on time if they agree to maintain current credit and payment terms.

To facilitate the restructuring, the company filed a lender-approved pre-packaged Plan of Reorganization under Chapter 11 in the U.S. Bankruptcy Code. The company anticipates it will emerge within 35 days.

Source Interlink Chairman and Chief Executive Officer Greg Mays said, “We couldn’t be more pleased. This restructuring will materially reduce our interest expense and debt levels, substantially improve free cash flow and allow us to capitalize on several operational opportunities to further improve and grow our business. Current management will remain in place, daily operations will continue as usual and our employees will continue to do what they do best—provide exceptional service to our customers. Importantly, all of our vendors will be paid in full for both pre-petition and ongoing charges according to our terms of trade. It’s business as usual at Source Interlink” Mays added.

Source’s business partners support the restructuring as well. Bob Castardi, president of Curtis Circulation Company said, “The Curtis Circulation Company is very encouraged about being a valued trading partner. Source Interlink Companies’ reorganization will reduce any concerns going forward as to their financial stability. We at Curtis embrace the fact Source got out in front of this!” Michael Sullivan, CEO of CMG, a national distributor of Source stated, “When Source presented their reorganization plan in detail, we were very relieved to understand the huge debt write-off. This will allow CMG to move forward with new initiatives knowing that Source Interlink Companies will be in a very favorable financial position.” As a result of this agreement, Source Interlink has cancelled its investor call previously scheduled for May 1, 2009.

For more information about the reorganization, go to www.sourceinterlink.com and click on the Reorganization Information tab.