SOURCE: Wells-Gardner Electronics Corp.

Wells-Gardner Electronics Corp.

September 16, 2009 14:00 ET

Wells-Gardner Announces Credit Agreement Extension With Wells Fargo to August 2013

CHICAGO, IL--(Marketwire - September 16, 2009) - Wells-Gardner Electronics Corporation (NYSE Amex: WGA) announced that they have signed an extension of their credit agreement with Wells Fargo Bank.

"We are delighted to have renewed our credit agreement with one of America's legendary banking institutions," said Anthony Spier, Wells-Gardner's Chairman and Chief Executive Officer "This extension is until August 2013 and supports our long term strategic direction."

"This Wells Fargo credit agreement extension gives the company continued financial flexibility," said Jim Brace, Vice President and CFO. "The credit agreement extension provides for a $12 million line and the same financial covenants as the original credit agreement. The extension has a higher interest rate but lower minimum monthly interest payments. Based upon current borrowing the immediate impact will be to reduce the Company's monthly interest expenses. "

Founded in 1925, Wells-Gardner Electronics Corporation is a distributor and manufacturer of color video monitors and other related distribution products for a variety of markets including, but not limited to, gaming machine manufacturers, casinos, coin-operated video game manufacturers and other display integrators. During 2000, the Company formed a 50/50 joint venture named Wells-Eastern Asia Displays ("WEA") to manufacture video monitors in Malaysia. In addition, the Company acquired American Gaming & Electronics, Inc. ("AGE"), a leading parts distributor to the gaming markets, which sells parts and services to over 700 casinos in North America with offices in Las Vegas, Nevada, Hammonton, New Jersey and McCook, Illinois. AGE also sells refurbished gaming machines on a global basis as well as installs and services some brands of new gaming machines in casinos in North America.

This press release contains forward-looking statements within the meaning of the federal securities laws. Those statements include statements regarding the intent, belief or expectations of the Company and its management. Readers are cautioned that the forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties, and that actual results could differ materially from those expressed in any forward-looking statement. Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements include, but are not limited to, development of competing technologies, availability of adequate credit, interruption or loss of supply from key suppliers, our ability to increase production at our Malaysian joint venture, increased competition, the regulatory process and regulatory and legislative changes affecting the gaming industry. Wells-Gardner assumes no obligation to update the information contained in this release to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events. For additional investor information, please contact Jim Brace - Wells-Gardner at (708) 290-2120 or Alan Woinski - Gaming Venture Corp., USA at (201) 599-8484.

Contact Information

  • Contact:
    Jim Brace
    Wells-Gardner
    (708) 290-2120

    Alan Woinski
    Gaming Venture Corp., USA
    (201) 599-8484