Cycle Country Accessories Corp. announced that it has received a significant increase of preseason orders for its products for the 2011-12 season. Based on these preseason sales levels, the company reports that it expects sales for the remainder of fiscal year 2011 and fiscal year 2012 to continue the recovery shown so far this year, and it expects total revenue to be up year-over-year.
In addition, Cycle Country announced that it has signed a term sheet with a new lender to provide a larger working capital credit facility for an aggregate amount of $5 million, replacing the company’s current $2 million working capital facility. The new credit facility will be used to repay the existing line of credit and to provide working capital for its ongoing operations. The funding is expected to close within 30 days.