ANN ARBOR, Michigan, February 6, 2013 /PRNewswire/ --
Arotech Corporation (NasdaqGM: ARTX), a provider of quality defense and security products for the military, law enforcement and homeland security markets, announced today that FAAC Incorporated, part of Arotech's Training and Simulation Division, has received a substantial increase in its credit line.
Fifth Third Bank in Eastern Michigan has increased FAAC's credit line by 50%, from $10 million to $15 million, and the term length of the credit line was extended to May 31, 2015.
"Financial strength and flexibility are a key component to our future growth plans," commented Robert S. Ehrlich, Chairman and CEO of Arotech. "This growth in available funds provides our Simulation Division with increased working capital and provides us with increased flexibility to execute on Arotech's growth strategy. I thank Fifth Third for their long-term support as well as their strong belief in our business and its potential."
David Girodat, Affiliate President, Fifth Third - Eastern Michigan, said, "Fifth Third Bank is pleased to provide additional financing to support FAAC Incorporated's growth. FAAC has had consistent revenue and EBITDA growth over the years and we are excited to be their financial partner in continuing that trend in 2013 and beyond."
About Arotech Corporation
Arotech Corporation is a leading provider of quality defense and security products for the military, law enforcement and homeland security markets, including multimedia interactive simulators/trainers and advanced zinc-air and lithium batteries and chargers. Arotech operates through two major business divisions: Training and Simulation, and Battery and Power Systems.
Arotech is incorporated in Delaware, with corporate offices in Ann Arbor, Michigan and research, development and production subsidiaries in Alabama, Michigan and Israel.
Except for the historical information herein, the matters discussed in this news release include forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect management's current knowledge, assumptions, judgment and expectations regarding future performance or events. Although management believes that the expectations reflected in such statements are reasonable, readers are cautioned not to place undue reliance on these forward-looking statements, as they are subject to various risks and uncertainties that may cause actual results to vary materially. These risks and uncertainties include, but are not limited to, risks relating to: product and technology development; the uncertainty of the market for Arotech's products; changing economic conditions; delay, cancellation or non-renewal, in whole or in part, of contracts or of purchase orders (including as a result of budgetary cuts resulting from automatic sequestration under the Budget Control Act of 2011); and other risk factors detailed in Arotech's most recent Annual Report on Form 10-K for the fiscal year ended December 31, 2011 and other filings with the Securities and Exchange Commission. Arotech assumes no obligation to update the information in this release. Reference to the Company's website above does not constitute incorporation of any of the information thereon into this press release.
Investor Relations Contacts:
Ehud Helft & Kenny Green at CCG
SOURCE Arotech Corporation