WALNUT CREEK, CA -- (Marketwired) -- 07/10/13 -- ARC Document Solutions (NYSE: ARC) today announced that the company has concluded the open-market repurchase of approximately $7 million in aggregate principal amount of its 10.5% senior unsecured notes due December 15, 2016. The repurchase was intended to reduce ARC's long-term debt and annual interest obligations, and made no use of the Company's $50 million revolving credit facility which remains undrawn.
"As expected, our cash position through the second quarter has strengthened and we have worked through the majority of the costs associated with the restructure we implemented in the fourth quarter of 2012," said
K. "Suri" Suriyakumar, Chairman, President and CEO of
ARC Document Solutions. "While we have a number of opportunities to invest our excess cash, the most compelling was to deleverage the company by repurchasing a portion of our debt. We may consider additional steps to further reduce our debt and interest obligations in the future provided conditions favor the company, and our performance and the economy continue to improve."
ARC's high-yield bonds were issued on December 1, 2010, in the aggregate principal amount of $200 million and are due inDecember 2016. The bonds are senior unsecured obligations of the Company, and bear an interest rate of 10.5% per annum, payable semi-annually on June 15 and December 15. The bonds contain an optional call provision dated December 15, 2013.
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