Rand Logistics gets reprieve from creditors

The Jersey City, N.J.-based Great Lakes bulk carrier has completed agreements with lenders to amend prior credit terms and waive certain default penalties, the company said in a statement.    Rand Logistics has completed agreements with lenders to amend prior credit agreements and waive certain default events in an effort to stay afloat, the company said in a statement.
   The Jersey City, N.J.-based Great Lakes bulk carrier defaulted on multiple loans earlier in the year due to a depreciation in the value of the Canadian dollar compared with the U.S. dollar.
   Prior to the completion of the latest creditor agreements, the company received a non-compliance letter from the Nasdaq Stock Market for failure to file its 10-Q Quarterly Report with the U.S. Securities and Exchange Commission in a timely manner, but has since regained compliance by filing the document Aug. 26.
   Chief Financial Officer Mark S. Hiltwein thanked Rand’s lenders for their support and confidence in the future of the company.
   “Combined with our available liquidity, which is currently over $40 million, our amended financial covenants have been reset to reflect the more than twenty percent decline in the Canadian dollar versus the U.S. dollar over the past two years, when the pre-amendment covenant levels were set,” said Hiltwein. “We remain focused on strengthening our balance sheet by reengineering various processes, including working capital management and capital expenditures, and implementing our cost reduction initiatives. We are making consistent progress on these initiatives and are continuing to focus on our deleveraging objectives.”
   Rand Logistics operates a fleet of three conventional bulk carriers and 12 self-unloaders, including three tug/barge units between U.S. and Canadian ports on the Great Lakes.