Sponsors
Billabong ▲ +0.025 | PPR ▲ +4.25 | American Apparel ▼ -0.015 | The Buckle ▼ -0.49 | Columbia ▼ 0.00 | Deckers Outdoor ▼ -1.20 | Dicks ▲ +0.71 | Foot Locker ▼ -2.45 | Genesco ▲ +1.13 | Iconix Brand Group ▲ +0.08 | Jarden Corp ▼ -0.14 | Nordstrom ▲ +0.12 | Luxottica ▲ +0.99 | Nike ▲ +0.12 | Pacific Sunwear ▲ +0.12 | Skullcandy ▲ +0.13 | Sport Chalet - 0 | Urban Outfitters ▼ -0.13 | VF Corp ▲ +0.25 | Quiksilver ▲ +0.01 | Zumiez ▲ +0.17 | Macys ▲ +0.48 | Tillys ▲ +0.09 |
Ticker Sponsor
Readers Say
I waited too long to sign up for Executive Edition
I waited too long to sign up for Executive Edition

I read Shop-Eat-Surf at every opportunity, and I waited too long to sign up for the Executive Edition. It’s timely, relevant and clearly “from the industry, for the industry.

- By Andy Laats, President, Nixon
I require all our executives to read it
I require all our executives to read it

There is no better publication that I am aware of that is so accurate and on top of any news and developments in our industry. I personally recommend it to many people that want to know and understand more about our industry. For the most part, shop-eat-surf.com gets the stories first. As a matter of fact, I require all the executives in our company to read it.

- By Hezy Shaked, President & CEO, Tilly's
Industry Insight

SIA SNOW SHOW: New "Industry + Intelligence" seminar on January 28.
FSG LAWYERS: Represented Brixton in recent transaction with Altamont Capital.
Details on Industry Insight.


Tiffany Montgomery
Print This Article

Orange 21 enters into promissory note with shareholder

By
November 02, 2010 5:47 AM

Press Release:

 

Orange 21 North America Inc. Enters Into Promissory Note With Shareholder Costa Brava III, L.P.

CARLSBAD, CA, Nov 02, 2010 (MARKETWIRE via COMTEX) --

 

Orange 21 Inc. (PINKSHEETS: ORNG), a leading designer, producer and distributor of sunglasses, prescription eyewear, snow and motocross goggles, and branded apparel and accessories for the action sports, motorsports, snowsports and lifestyle markets, announced today that effective November 1, 2010, its wholly owned subsidiary Orange 21 North America Inc. ("O21NA"), entered into a $1.0 million Promissory Note with one of Orange 21 Inc.'s shareholders, Costa Brava Partnership III, L.P. ("Costa Brava").

 

The Promissory Note is an enlargement of the $3.0 million and $1.0 million Promissory Notes entered into with Costa Brava in March 2010 and October 2010, respectively, to a total of $5.0 million and has similar terms and conditions. Each of the Promissory Notes are subordinated to O21NA's Loan and Security Agreement with BFI Business Finance ("BFI"), pursuant to the terms of a Debt Subordination Agreement, dated March 23, 2010 and amended on October 4, 2010 and October 29, 2010, by and between Costa Brava and BFI. The proceeds from the new Promissory Note are expected to be used for working capital purposes and other corporate expenses.

 

Interest under the Promissory Note accrues daily at the following rates from the date of receipt of funds under the Promissory Note at (i) 9% per annum on the last day of each calendar month and (ii) 3% per annum payable on the maturity date. In addition, the Promissory Note requires that O21NA pays a facility fee of .55% of the original principal amount on December 31, 2010 and the maturity date. The Promissory Note matures on July 29, 2011. The terms of the Promissory Note include customary representations and warranties, as well as reporting and financial covenants, customary for financings of this type.

 

Seth Hamot, Orange 21 Inc.'s Chairman of the Board of Directors, is the President and sole member of Roark, Rearden & Hamot, LLC, which is the sole general partner of Costa Brava. Mr. Hamot commented, "We are quite pleased to help our company grow. We believe Orange 21 and its portfolio of brands have lots of opportunity in front of them, and we look forward to being a part of that growth for a long time."

 

About Orange 21 Inc.

 

Orange 21 designs, develops, markets and produces premium products for the action sports, motorsports, snowsports and lifestyle markets under the brands Spy Optic(TM), O'Neil(TM), Margaritaville(TM) and Melodies by MJB(TM).

 

 


More on: Orange 21, Spy Optics

Articles You Might Have Missed