Interlake Corp., in reporting fourth-quarter results that company officials described as the most encouraging since 1988, said Thursday it expects to be able to meet its debt-service obligations this year.
However, the company continues to negotiate with its banks to soften covenants on earnings covering $442.5 million in debt that have impaired its financial health, said Stephen Gregory, chief financial officer.
Interlake’s liquidity has improved to the point that it now expects to be able to cover operating costs and $24.6 million in debt payments due this year, he said.
Lisle-based Interlake, which makes engineered materials and packaging equipment, said its fourth-quarter loss widened to $33.9 million, or $1.54 a share, from a loss of $14.5 million, or 66 cents a share, a year earlier. However, the latest period included an operating profit of $300,000, which was erased by a one-time charge of $34.2 million, Gregory said. Sales rose to $207 million from $171 million.
