Continental Graphics was composed of three separate businesses: Datagraphics, a leading provider of customized and specialized technical information to the aviation industry; CFI, which provided film services to the entertainment industry; and commercial printing operations.

At the time of the financing, Continental was over leveraged due to a complex, high rate, capital structure arising from an earlier buyout.  We, first, repurchased certain of the debt components at a discount and, then, structured and syndicated a new debt structure to refinance the former.

The revolving credit facility was primarily structured using Continental’s working capital assets as collateral while the term loan primarily relied on the enterprise value of Continental’s operations.

The several year maturity of the term loan allowed Continental to pursue longer term objectives while the availability under the revolving facility at closing ws sufficient for the company to operate through a hypothetical poor cycle that never occurred.