November 18 - In a move to reassure key stakeholders, TBS International has announced that it is continuing its discussions with its consortium of bankers to restructure its bank debt and alleviate some of the pressure on its cash flow.
The company says that the discussions continue to focus on reaching agreements with all of its different lending syndicates.
An official statement notes that while discussions with lenders have not reached the stage where the terms of a restructuring have been fully agreed upon, TBS is continuing to meet all of its obligations to its
vendors, shippers and consignees even though its lenders have made it clear that they would not agree to a restructuring in which any value were attributed to our common equity, adding that although it cannot assure anyone that agreement will be reached, negotiations continue to take a positive tone.
Readers will note that TBS has a forbearance in place through December 15, 2011 and is exploring the possibilities for an extension thereof to allow the company and its bankers to continue negotiating a more permanent solution.
An official statement adds that: "During this period we want to remind all of our customers, vendors and business partners that our business continues as usual with all vendors being paid in the normal course on a timely basis."