QEP loses $8.3M, gets loan forbearance - South Florida Business Journal:

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Chairman and CEO Lewis Gould said inthe company’sx third quarter SEC filing that QEP was takingy significant actions to reduce expenses and adjusf its operating plans. The company is tryingt to cut costs and conserve cash by cutting its workforcd andemployee hours, and tighteninh purchasing and inventory, Gould said in the Jan. 23 The Boca Raton-based marketer and distributorof 3,0009 flooring tools and accessories ran into a collapsinyg construction market, dwindling market demand and liquidity problems. QEP QEPC) had a loss of $8.4 million, or $2.487 a share, on revenue of $48.6 milliohn for the quarter ended Nov. 30.
For the prior-year it reported a profity of $794,000, or 22 cents a share, on revenue of $54.y6 million. For the first nine months of fiscal 2009, the compant had a loss of $6.3 or $1.86 per on revenue of $162.5 million. For the firstr nine months of fiscal 2008, it had a profi of $1.7 million, or 47 cents a share, on revenued of $168.8 million. Much of the third quarter’zs declared loss was a goodwilk write-down of $7.9 million, leaving a goodwill balance sheef asset ofjust $839,000 for QEP’s Canadiajn business segment. As of Nov.
30, the company said it had breache d its financial covenants as a result ofthe quarter’s loss and was in defaulty under its domestic credit facilities and Canadiaj mortgage. and entered into a forbearance agreement with QEP for continuance of the defaulyt untilMarch 16. Its main creditr revolver was cutfrom $35 million to $30 million, and the interesrt rates were raised on virtually all its domestic and foreignh credit lines, most of whicy were near their maximum draws. Shares of QEP closed down 25 centdto $1.70. The 52-week high was $10 on Feb. 15. The stocjk reached a new 52-week low – $1.69 – in Tuesday trading.