Business Wire, March 08, 2010
SAN FRANCISCO — Banks.com, Inc. (NYSE Amex: BNX),
leading operator of financial services focused media properties and
search related websites, announced today that ithas paid off the
remaining balance on its mezzanine debt notes held by CapitalSouth
Partners and Harbert Management Corporation. The company also announced
it has secured a $2.5 million Working Capital Facility through Silicon
Valley Bank.
Reestablishing our credit facility with Silicon Valley Bank allows us
to pay off the balance of our mezzanine debt, remove the overhang of the
balloon payment we had coming due in June and provides us with greater
working capital flexibility for growth, said Dan O’Donnell, President
and CEO of Banks.com, Inc. Silicon Valleys vote of confidence and our
ability to pay off our mezzanine debt much sooner than anticipated is
further evidence that our turnaround has fully taken root.
Vince Vallejos of Silicon Valley Bank commented, Banks.com is a long
time client of Silicon Valley Bank and were happy to have the
opportunity to expand the scope of our relationship with the Banks.com
team again. Silicon Valley Bank provides diversified financial services
to emerging growth and mature companies in the technology, life science,
venture capital and premium wine markets. The company serves more than
11,000 clients globally through 27 domestic offices in five countries
and has an extensive venture capital network.
In the face of very challenging business conditions, we appreciate that
Banks.com has managed to work through those conditions and satisfy its
notes in advance of their original maturity date, added Joe Alala,
President and CEO of CapitalSouth Partners Funds. Based in Charlotte,
CapitalSouth Partners Funds currently has $600 million of available
capital and primarily provides junior mezzanine capital to middle
market companies for growth financings, management and leveraged
buyouts, acquisitions and recapitalizations.
Forward Looking Statements
This press release contains forward looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995 that
involve substantial risks and uncertainties. Forward looking statements,
which are based on managements current expectations, are generally
identifiable by the use of terms, such as anticipates, believes,
could, estimates, expects, intends, may, plans, possible,
potential, predicts, projects, should, would and similar
expressions. The forward looking statements in this press release
include statements regarding: managements expectations regarding our
strategy, managements expectations regarding our growth, the effect of
recent events, liquidity, andthe outlook for our business.
The potential risks and uncertainties that could cause actual results to
differ materially from those expressed or implied herein include, among
others, slowdown in the financial services vertical; market acceptance
of the enhanced version of the Banks.com website; introduction of
additional competitors in the Internet search services space; diversion
of advertising dollars away from the Internet; slower than anticipated
growth rate of our advertising base; dependence on our search providers;
market development of Internet advertising and paid search services;the
stability of our infrastructure; and continued weak economic conditions.
Further information on the factors that could affect our financial
results is included in our filings with the Securities and Exchange
Commission, including our Annual Report on Form 10-K/A for the fiscal
year ended December31, 2008, our quarterly reports on Form 10-Q and our
Current Reports on Form 8-K. Except as required by law, we assume no
responsibility to update these forward looking statements publicly, even
if new information becomes available in the future.
About Banks.com
Banks.com, Inc. operates an Internet media property that provides
targeted online advertising and services in the financial services
sector. Through the Banks.com network, the Company provides access to
financial content, including financial news, blogs, business articles,
interest-rate tables, stock quotes, stock tracking and financial
calculators. It also provides users access to online financial services,
including tax preparation through the Banks.com Tax Center and stock
brokerage through MyStockFund.com,
its online broker-dealer subsidiary. In addition to Banks.com, it
operates other search related websites including Look.com
mezzanine floor
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