PRESS
RELEASE
Contact
Information
Raining
Data Corporation
Phone: (949) 442-4400
Fax: (949) 250-8187
Investor/Financial
Contact:
Brian C. Bezdek, Chief Financial Officer
brian.bezdek@rainingdata.com
Raining
Data Corporation Announces Debt Restructuring
IRVINE,
CA. – January 30, 2003 –
- Company
to Issue 5% Convertible Subordinated Note Due in 2008
-
Note Conversion price of $5.00 Per Share
Raining
Data Corporation (NASDAQ: RDTA) today announced it has entered
into a Note Exchange Agreement with Astoria Capital Partners,
L.P. (Astoria) to replace the existing Secured Promissory Note
dated November 30, 2000, as amended, held by Astoria. Under
the terms of the Note Exchange Agreement, Raining Data has issued
to Astoria a Convertible Subordinated Note having a principal
amount of approximately $22 million, which principal amount
is equal to the outstanding principal and accrued interest payable
on the Secured Promissory Note as of the date of the agreement.
The Convertible Subordinated Note is convertible into Common
Stock at a price of $5.00 per share. The Convertible Subordinated
Note matures May 30, 2008, extending the May 30, 2003 maturity
date of the Secured Promissory Note. The interest rate is 5%
per annum, versus a current interest rate of 10% per annum under
the Secured Promissory Note. The interest will be payable quarterly
at the Company’s option in cash or through increases to the
outstanding principal of the Convertible Promissory Note. Astoria
is the Company’s largest stockholder, holding approximately
58% of the Company’s outstanding Common Stock.
“The Company and the Board are very pleased to have reached
this agreement with Astoria,” said Geoffrey P. Wagner, Chairman
of the Board of Directors and General Partner of Rockport Group,
L.P., which controls 13% of the Company’s Common Stock. “The
long term nature and structure of this Note Exchange Agreement
reinforces the commitment and interest of the Company’s largest
stockholder and allows the Company and Management to focus on
the continued growth and development of the Company,” added
Wagner.
About
Raining Data
Raining
Data Corporation (NASDAQ: RDTA), headquartered in Irvine, California,
has been providing reliable data management and rapid application
deployment solutions for developers of database applications
for more than two decades. Raining Data's flagship products
include: 1) high-performance TigerLogic™ XML Data Management
Server (XDMS), which provides flexible, scaleable and extensible
storage and retrieval of critical business data across a variety
of structured and unstructured information sources, delivering
scalability and transactional integrity of enterprise databases
as well as dynamic extensibility and ease of use, mostly found
in repositories and file systems; 2) D3®, mvEnterprise®
and mvBase® family of powerful Pick® based hierarchical
multi-dimensional database management systems that are the choice
of more than a thousand application developers worldwide; 3)
mvDesigner®, an object-oriented rapid application development
(RAD) tool developed for use with multi-dimensional database
applications; and 4) Omnis Studio®, a powerful, cross-platform,
object-oriented RAD tool for developing sophisticated thick-client,
Web-client or ultra thin-client database applications.
The
Raining Data customer installed base includes more than 500,000
active users, representing over 20,000 customer sites worldwide
with a significant base of diverse vertical applications. With
over 140 employees in four countries, the company has an extensive
distribution channel, 24x7 customer support and a strong international
presence. More information about Raining Data and its products
can be found at www.rainingdata.com
###
The
statements contained in this release that are not historical
facts may constitute forward-looking statements and are subject
to risks and uncertainties. Actual results could differ materially
from those expressed in any such forward-looking statements.
Please consult the various reports and documents filed by Raining
Data Corporation with the U.S. Securities and Exchange Commission,
including but not limited to the Company’s most recent reports
on Form 10-KSB and Form 10-QSB for factors potentially affecting
the Company’s future financial results. All forward-looking
statements are made as of the date hereof and the Company disclaims
any responsibility to update or revise any forward-looking statement
provided in this news release.
Raining
Data, Pick, mvDesigner, D3, mvEnterprise, mvBase,
Omnis and Omnis Studio are registered trademarks and TigerLogic
is a trademark of Raining Data Corporation. All other trademarks
and registered trademarks are properties of their respective
owners.
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