Monarch Dental Reaches Preliminary Agreement With Lenders

Apr 17, 2001, 01:00 ET from SOURCE Monarch Dental Corporation

    DALLAS, April 17 /PRNewswire/ -- Monarch Dental Corporation (Nasdaq:   MDDS)
 today announced that it has entered into a preliminary agreement with its
 lenders specifying the terms upon which they have agreed to extend the term of
 its existing credit facility.  The agreement extends the maturity of
 $80,150,000 to July 1, 2002.  This agreement is subject to final bank approval
 and the negotiation and execution of definitive documentation encompassing the
 terms set forth in this preliminary, non-binding agreement.  Upon the
 execution of the definitive documentation, Monarch Dental will cease to be in
 default under its loan agreement.  Monarch Dental also announced that it will
 delay the filing of its annual report on Form 10-K pending the completion of
 the definitive documentation with its lenders.  Monarch Dental currently
 expects that it will complete the definitive documentation with its lenders
 and file its annual report on Form 10-K by April 27.  Monarch Dental cannot
 provide any assurances that it will be successful in completing the definitive
 documentation with its lenders by April 27 or at all or that it will be
 successful in eliminating the existing default under its loan agreement.
 
     Monarch Dental Corporation currently manages 189 dental offices serving 20
 markets in 14 states.
 
     This press release contains certain statements that are "forward-looking
 statements" as that term is defined under the Private Securities Litigation
 Reform Act of 1995 and releases issued by the Securities and Exchange
 Commission, including statements with regard to the completion of the
 definitive documentation for amending Monarch Dental's loan agreement, the
 extension of the term of its credit facility or the elimination of the default
 under its credit facility.  Such statements are subject to uncertainties and
 risks that could cause the actual results, performance or achievements of
 Monarch Dental to differ materially from anticipated future results,
 performance or achievements expressed or implied by such forward-looking
 statements.  These uncertainties and risks include the risk that Monarch
 Dental and its lenders will not be able to negotiate mutually acceptable
 definitive documentation encompassing the terms set forth in the non-binding
 agreement in a timely manner or at all, uncertainties regarding the impact of
 the events disclosed in this release on the Company's operations and its stock
 price, and other risks detailed in the Company's Securities and Exchange
 Commission filings.
 
  

SOURCE Monarch Dental Corporation
    DALLAS, April 17 /PRNewswire/ -- Monarch Dental Corporation (Nasdaq:   MDDS)
 today announced that it has entered into a preliminary agreement with its
 lenders specifying the terms upon which they have agreed to extend the term of
 its existing credit facility.  The agreement extends the maturity of
 $80,150,000 to July 1, 2002.  This agreement is subject to final bank approval
 and the negotiation and execution of definitive documentation encompassing the
 terms set forth in this preliminary, non-binding agreement.  Upon the
 execution of the definitive documentation, Monarch Dental will cease to be in
 default under its loan agreement.  Monarch Dental also announced that it will
 delay the filing of its annual report on Form 10-K pending the completion of
 the definitive documentation with its lenders.  Monarch Dental currently
 expects that it will complete the definitive documentation with its lenders
 and file its annual report on Form 10-K by April 27.  Monarch Dental cannot
 provide any assurances that it will be successful in completing the definitive
 documentation with its lenders by April 27 or at all or that it will be
 successful in eliminating the existing default under its loan agreement.
 
     Monarch Dental Corporation currently manages 189 dental offices serving 20
 markets in 14 states.
 
     This press release contains certain statements that are "forward-looking
 statements" as that term is defined under the Private Securities Litigation
 Reform Act of 1995 and releases issued by the Securities and Exchange
 Commission, including statements with regard to the completion of the
 definitive documentation for amending Monarch Dental's loan agreement, the
 extension of the term of its credit facility or the elimination of the default
 under its credit facility.  Such statements are subject to uncertainties and
 risks that could cause the actual results, performance or achievements of
 Monarch Dental to differ materially from anticipated future results,
 performance or achievements expressed or implied by such forward-looking
 statements.  These uncertainties and risks include the risk that Monarch
 Dental and its lenders will not be able to negotiate mutually acceptable
 definitive documentation encompassing the terms set forth in the non-binding
 agreement in a timely manner or at all, uncertainties regarding the impact of
 the events disclosed in this release on the Company's operations and its stock
 price, and other risks detailed in the Company's Securities and Exchange
 Commission filings.
 
  SOURCE  Monarch Dental Corporation