Metalico, Inc. stated that it is not aware of any events dictating recent declines in its stock price amid unusually heavy volume but speculated they may be the results of aggressive short selling and/or stockholders not completely understanding the company’s recent debt restructuring.
The restructuring, asset sales and cost reductions should move Metalico appreciably toward its goal of reducing total debt by 30 to 40 percent over the next few months.
NYSE MKT has informed the company that the Exchange is aware of the recent unusual trading activity in Metalico stock. The company is in compliance will all of its debt covenants and is not in default under any of its credit arrangements. Principal and interest payments on debt have been made on time and all suppliers are being paid on agreed terms.
Published in the December 2014 Edition of American Recycler News
