* Cuts 2009 EPS view to $0.27-$0.33
* Sees Q3 rev $117-$119 mln
* Says amends credit agreement with lenders
* To take one-time charge of $0.05/shr to $0.07/shr * Shares down as much as 21 pct
Oct 6 (Reuters) - American Reprographics Co (ARP.N), which provides document-management services, cut its 2009 earnings outlook, citing weaker sales in the back half of the year, and amended its credit agreement with lenders, sending its shares down as much as 21 percent.
The company cut its earnings outlook for 2009 and said it now expects earnings to range between 27 cents a share and 33 cents a share, excluding items. It had previously forecast earnings of 50 cents a share to 70 cents a share.
The forecast excludes one-time charges of 5 cents a share to 7 cents a share, relating to the amendment of its credit agreement, American Reprographics said in a statement.
For the third quarter, revenue is expected to be between $117 million to $119 million.
The company said it amended its credit agreement to secure financial covenant relief and is now subject to a $35 million prepayment on its term loans.
American Reprographics said it could have violated some of the covenants in its credit agreement due to lower revenue, which would have resulted in substantial increases in interest charges.
The company expects interest payments on its term loans to increase by about $600,000 per quarter, beginning in the fourth quarter of 2009.
Shares of the company fell as much as 21 percent to $7.64 in early morning trade Tuesday on the New York Stock Exchange, making it one of the top percentage losers on the exchange.
They pared some losses later in the session and were trading up at $7.99. (Reporting by Amulya Nagaraj in Bangalore; Editing by Unnikrishnan Nair)
Tuesday, 6 October 2009
UPDATE 1-American Reprographics cuts '09 EPS view, shares fall
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