CPS Announces Renewal and Doubling of Credit Facility
July 15 2022 - 7:30PM
Consumer Portfolio Services, Inc. (Nasdaq: CPSS) (“CPS” or the
“Company”) today announced that it renewed its two-year revolving
credit agreement with Citibank, N.A., and doubled the capacity from
$100 million to $200 million.
Loans under the renewed credit agreement will be
secured by automobile receivables that CPS now holds, will
originate directly, or will purchase from dealers in the future.
CPS may borrow on a revolving basis through July 15, 2024, after
which CPS will have the option to repay the outstanding loans in
full or to allow them to amortize for a one-year period.
About Consumer Portfolio Services,
Inc.
Consumer Portfolio Services, Inc. is an
independent specialty finance company that provides indirect
automobile financing to individuals with past credit problems, low
incomes or limited credit histories. We purchase retail installment
sales contracts primarily from franchised automobile dealerships
secured by late model used vehicles and, to a lesser extent, new
vehicles. We fund these contract purchases on a long-term basis
primarily through the securitization markets and service the
contracts over their lives.
Forward-looking statements in this news release
include the Company's expectation that the revolving period will
extend for two years, and that an amortization period may follow.
The revolving credit agreement amended and renewed on July 15, 2022
provides for both a revolving period and an amortization period to
follow, but it is possible that the Company may suffer certain
defaults or events of default that would terminate the revolving
period or result in acceleration of maturity of the credit
extended. In general, such defaults or events of default would
result from losses that the Company might incur in the future. In
turn, such losses might result from poor performance of receivables
acquired or to be acquired by the Company, from increases in the
rate of consumer bankruptcy filings, which could adversely affect
the Company’s rights to collect payments from its portfolio; from
changes in government regulations affecting consumer credit; or
from adverse economic conditions, either generally or in geographic
areas in which the Company's business is concentrated.
Investor Relations Contact
Jeffrey P. Fritz, Chief Financial Officer844 878-2777
Consumer Portfolio Servi... (NASDAQ:CPSS)
Historical Stock Chart
From May 2024 to Jun 2024
Consumer Portfolio Servi... (NASDAQ:CPSS)
Historical Stock Chart
From Jun 2023 to Jun 2024