ANAHEIM, Calif/Nov. 20, 2002 -- MTI Technology Corp. (Nasdaq:MTIC), a premier provider of enterprise storage solutions, today announced the signing of a $7 million line of credit with the Technology and Life Sciences Division of Comerica Bank-California (NYSE:CMA), the fourth largest bank in the state of California.
Under the terms of the agreement, subject to certain conditions, MTI may borrow up to $7 million under the revolving line of credit. The bank line matures on Oct. 31, 2003, and it is secured by a letter of credit from Bank of America, which is guaranteed by The Canopy Group, a major stockholder of MTI.
The Comerica line of credit will replace the current $7 million credit line with The Canopy Group, which the company obtained on June 27, 2002. The company will repay The Canopy Group the current outstanding balance under that line of $1.6 million in short-term notes payable.
"We are excited about this new relationship with Comerica as we continue to grow our business," said Tom Raimondi, chief executive officer and president of MTI Technology. "We believe that this credit line will impart continuing confidence to our current and potential customer base in the company's ability to provide financial strength through the upcoming periods."
"As a financial services provider to the technology sector, we certainly realize the benefit of finding smarter ways to manage data, so we are pleased to provide MTI with this credit facility," said Bonnie Kehe, senior vice president and manager of Comerica's Orange County Technology and Life Sciences Division.
"Our team can leverage Comerica's resources to assist technology companies at all stages of their lifecycles, and we have the expertise to provide them with sound financial advice."
About MTI Technology
MTI's mission is to be at the forefront of developing and delivering storage solutions to customers -- through innovation, customer feedback and best practice.
A premier provider of enterprise storage products for more than 20 years, MTI Technology develops, integrates and manufactures high-performance, high-availability storage products for mid-range to Global 2000 companies worldwide.
MTI also services select third-party hardware and software, and its Professional Services organization provides planning, consulting and implementation support for storage products from other leading vendors. With headquarters in Anaheim, MTI may be reached by telephone (800) 999-9MTI (toll-free) or (714) 970-0300, fax (714) 693-2256, or visit the company's Web site at www.mti.com.
About Comerica's Technology and Life Sciences Division
Comerica's Technology and Life Sciences Division is one of the nation's leading technology banking practices, offering a wide range of financial services tailored to corporate customers, entrepreneurs and professionals.
Veteran bankers provide credit and financial services and products to young, growing, professionally backed technology and life sciences companies, as well as their more mature counterparts in the computer products, Internet services, telecommunications, life sciences and e-commerce industries.
From 19 offices located across the United States, Comerica's Technology and Life Sciences Division serves all major technology centers. Comerica is among the 20 largest banking companies in the nation, with $52.6 billion in assets.
Media Contacts:
Mark Franzen
MTI Technology Corp., Anaheim
(714) 693-2220
mfranzen@mti.com
or
Adrienne Moch
Pacifico (for Comerica's Technology and Life Sciences Division)
(408) 293-8600 ext. 319
amoch@pacifico.com
or
Keith Turner
Comerica Bank-California
(408) 556-5111
keith_turner@comerica.com
