Consolidated Container Company LLC Announces Proposed Debt Refinancing

[Ga Consolidated Containr via BizWire]

ATLANTA--(BUSINESS WIRE)--April 29, 2004--Consolidated Container
Company LLC (the "Company") announced today that it is seeking to
refinance debt outstanding under its existing senior credit
facilities. The refinancing is expected to be completed with the
proceeds from an institutional private placement of $170 million of
senior secured notes due in 2009, a $200 million senior secured term
loan facility due in 2008 and a capital contribution of $45 million
from its parent company, Consolidated Container Holdings LLC,
reflecting the proceeds of its sale of preferred stock to its existing
members, including affiliates of Vestar Capital Partners III, L.P. and
Dean Foods Company. In connection with the refinancing, the Company
also expects to enter into a $45 million senior secured revolving
credit facility. The refinancing is expected to close in May 2004,
subject to market and other customary closing conditions.
The senior secured notes will be secured on a second-lien basis
and will rank equally with all of the Company's existing and future
senior obligations and will rank senior to all of the Company's
existing and future subordinated indebtedness. The notes will be
guaranteed by all of the Company's domestic subsidiaries. The Company
expects that it will be permitted under the indenture governing the
senior secured notes, at its option, to pay interest on the notes with
additional notes, in lieu of cash, for the first three years.
This press release shall not constitute an offer to sell, nor a
solicitation of an offer to buy any securities of Consolidated
Container Company. The senior secured notes have not been registered
under the Securities Act of 1933, as amended, or any state securities
laws, and are being offered only to qualified institutional buyers
under Rule 144A of the Securities Act and to non-U.S. persons under
Regulation S of the Securities Act. Unless so registered, the notes
may not be offered or sold in the United States except pursuant to an
exemption from the registration requirements of the Securities Act and
applicable state securities laws.
This press release may contain "forward-looking statements" under
the Securities Act and the Securities Exchange Act of 1934, as
amended. These forward-looking statements involve a number of risks
and uncertainties. Among the important factors that could cause such
forward-looking statements include uncertainties relating to market
conditions for corporate debt securities generally, for the securities
of companies in our industry and for the senior secured notes in
particular. There can be no assurance that the proposed refinancing
will be completed as described herein or on any other terms.