Granite City Food & Brewery Ltd. (OTCQB:GCFB) announced today that it has entered into an amended and restated credit agreement with various lender institutions and Fifth Third Bank as administrative agent. The agreement amends and restates a previous agreement and provides for a term loan in the amount of $16.0 million that refinances all existing indebtedness with the Bank, an acquisition line of up to $10.0 million, and a delayed draw term loan to be used to acquire improvements and assume the related ground leases for certain existing restaurant properties. The new facilities provide a reduced interest rate and mature on May 31, 2018.
“We are pleased to put this 5 year financing commitment in place with Fifth Third Bank,” said Rob Doran, CEO. “They have been a pleasure to work with and have been great partners in understanding our growth plans. We feel that this facility, along with our own internal cash flow, will help us nearly double the number of units we have today over the life of this financing commitment. This provides a great opportunity for all our hard working employees to be part of something special as the Company broadens its reach across the United States.”
About the Company
Granite City Food & Brewery Ltd. develops and operates two casual dining concepts: Granite City Food & Brewery and Cadillac Ranch All American Bar & Grill. Granite City Food & Brewery is a polished casual American restaurant that features a great dining experience with affordable, high-quality menu items prepared from made-from-scratch recipes, served in generous portions. There is a brewery onsite, serving hand-crafted and micro brews. Granite City opened its first restaurant in 1999 and is expanding nationwide; there are currently 28 Granite City restaurants in 13 states. Cadillac Ranch restaurants feature freshly prepared, authentic, All-American cuisine in a fun, dynamic environment. Its patrons enjoy a warm, Rock N’ Roll inspired atmosphere, with plenty of room for friends, music and dancing. The Cadillac Ranch menu is diverse with offerings ranging from homemade meatloaf to pasta dishes, all freshly prepared using quality ingredients. The Company purchased its first Cadillac Ranch in November 2011 and has since purchased five additional Cadillac Ranch restaurants along with its intellectual property. The Company currently operates six Cadillac Ranch restaurants in five states. Additional information about Granite City Food & Brewery can be found at www.gcfb.com.
Certain statements made in this press release of a non-historical nature constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated. Such factors include, but are not limited to, changes in economic conditions, changes in consumer preferences or discretionary consumer spending, a significant change in the performance of any existing restaurants, our ability to continue funding our operations and meet our debt service obligations, and the risks and uncertainties described in our Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on May 17, 2013.
James G. Gilbertson, 952-215-0676
Chief Financial Officer