Faced with liquidity issues from seasonal workingcapital needs in the second half and its leveraged balance sheet, Head isoffering its bond holders a new secured bond at a higher coupon rate in returnfor taking a serious haircut on the face value of the bond. The company alsosaid that in Q1, it now expects revenues to decline by more than 10% inconstant currency and added that visibility on a rebound in the sporting goodssector for the rest of the year is limited, but it expects full year sales tobe down.

Head warned that the cash squeeze will force it tomanage working capital ... Log in to view full article.