BlueLinx Announces Closing Sale-Leaseback Transaction for Approximately $22 Million, Continued Progress on Real Estate Moneti...
June 24 2019 - 6:45AM
BlueLinx Holdings Inc. (NYSE: BXC), a leading distributor of
building and industrial products in the United States, today
announced that it has completed a sale-leaseback transaction for
its distribution facility in Yulee, Florida, for a purchase price
of $22 million. Net proceeds from the transaction were used to
repay indebtedness under the Company’s term loan and revolving
credit facility. The Company remains committed to its local markets
and will continue to operate out of its North Florida location
under a long-term lease with multiple renewal options.
Management CommentaryMitch Lewis, President and
Chief Executive Officer, stated, “We are pleased to continue making
strides in our deleveraging efforts with the completion of another
sale leaseback transaction. We previously indicated our intent to
monetize certain real properties earlier in the year and are
pleased with our execution on this commitment. We will remain
focused on reducing our leverage in the months ahead.” Additional
information regarding these transactions will be included in a
filing by the Company with the Securities and Exchange Commission
on Form 8-K, which investors are encouraged to read in its
entirety.
About BlueLinx Holdings Inc.BlueLinx
(NYSE: BXC) is a leading wholesale distributor of building and
industrial products in the United States with over 50,000 branded
and private-label SKUs, and a broad distribution footprint
servicing 40 states. BlueLinx has a differentiated distribution
platform, value-driven business model and extensive cache of
products across the building products industry. Headquartered in
Marietta, Georgia, BlueLinx has over 2,200 associates and
distributes its comprehensive range of structural and specialty
products to approximately 15,000 national, regional, and local
dealers, as well as specialty distributors, national home centers,
industrial, and manufactured housing customers. BlueLinx encourages
investors to visit its website, www.BlueLinxCo.com, which is
updated regularly with financial and other important information
about BlueLinx. CONTACT: Mary Moll, Investor
RelationsBlueLinx Holdings Inc.(866) 671-5138
Investor@BlueLinxCo.com
Forward-looking
StatementsThis press release contains forward-looking
statements. Forward-looking statements include, without limitation,
any statement that predicts, forecasts, indicates or implies future
results, performance, liquidity levels or achievements, and may
contain the words “believe,” “anticipate,” “expect,” “estimate,”
“intend,” “project,” “plan,” “will be,” “will likely continue,”
“will likely result” or words or phrases of similar meaning. The
forward-looking statements in this press release include statements
about our intention to pursue, and ability to consummate,
additional real estate transactions to reduce our leverage.
Forward-looking statements are based on estimates and assumptions
made by our management that, although believed by us to be
reasonable, are inherently uncertain. Forward-looking statements
involve risks and uncertainties that may cause our business,
strategy, or actual results to differ materially from the
forward-looking statements. These risks and uncertainties include
those discussed under the heading “Risk Factors” in Item 1A of our
Annual Report on Form 10-K for the year ended December 29, 2018,
and those discussed in our Quarterly Reports on Form 10-Q and in
our periodic reports filed with the Securities and Exchange
Commission from time to time. We operate in a changing environment
in which new risks can emerge from time to time. It is not possible
for management to predict all of these risks, nor can it assess the
extent to which any factor, or a combination of factors, may cause
our business, strategy, or actual results to differ materially from
those contained in forward-looking statements. Factors that may
cause these differences include, among other things: our ability to
integrate and realize anticipated synergies from acquisitions; loss
of material customers, suppliers, or product lines in connection
with acquisitions; our indebtedness and its related limitations;
sufficiency of cash flows and capital resources; changes in
interest rates; fluctuations in commodity prices; adverse housing
market conditions; disintermediation by customers and suppliers;
changes in prices, supply and/or demand for our products; inventory
management; competitive industry pressures; industry consolidation;
product shortages; loss of and dependence on key suppliers and
manufacturers; new tariffs; our ability to monetize real estate
assets; our ability to successfully implement our strategic
initiatives; fluctuations in operating results; sale-leaseback
transactions and their effects; real estate leases; exposure to
product liability claims; changes in our product mix; petroleum
prices; information technology security and business interruption
risks; litigation and legal proceedings; natural disasters and
unexpected events; activities of activist stockholders; labor and
union matters; limits on net operating loss carryovers; pension
plan assumptions and liabilities; risks related to our internal
controls; retention of associates and key personnel; federal,
state, local and other regulations, including environmental laws
and regulations; and changes in accounting principles. Given these
risks and uncertainties, we caution you not to place undue reliance
on forward-looking statements. We expressly disclaim any obligation
to update or revise any forward-looking statement as a result of
new information, future events or otherwise, except as required by
law.
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