Press Releases

Fieldcrest Cannon designs, manufactures and markets towels, bath rugs, sheets, comforters and furniture covers. The company's products are marketed under the Fieldcrest, Cannon, Royal Velvet, Charisma, Touch of Class, St. Marys, Cannon Royal Family, Caldwell, Sure Fit and private brand labels.

The company operates 15 manufacturing and distribution locations. Ten are located in North Carolina including eight in the Kannapolis area and one each in Eden and Laurel Hill.

Fieldcrest plans to use proceeds from its five-year credit facility to refinance existing debt and for general corporate purposes. First Union National Bank of North Carolina has a long-standing relationship with Fieldcrest Cannon, according to Richard J. Rizzo Jr., vice president in First Union's Corporate Banking Group's Greensboro office .

"We were very pleased with the expertise that First Union demonstrated and the speed by which it completed this transaction," said James Fitzgibbons, Fieldcrest's Chairman and CEO. "This financing will enhance the development of our current and future capital spending projects."

Syndicated transactions enable banks to distribute the risk associated with large corporate credits by selling portions of the loan to other lenders. Nine other financial institutions were involved in the transaction.

"We are excited about expanding our existing relationship with Fieldcrest Cannon and helping the company meet its financial objectives," said Robert E. Healy, managing director and head of FUCMC's Loan Syndication Group. "This transaction underlines First Union's commitment to Fieldcrest Cannon and reflects our ability to provide clients a full range of capital markets solutions to achieve their financial goals."

The Loan Syndication Group has experienced rapid expansion since its start-up in January 1994. In 1996, the group served as lead or co-agent on 129 transactions totaling more than $62 billion. That's up from 95 transactions totaling $37 billion in 1995.

FUCMC offers a broad range of products and services to corporate clients including loan syndications, private placements, merger and acquisition advisory, public finance, as well as investment grade and high-yield debt origination, trading and distribution.

Charlotte-based First Union Corp. provides financial products and services to more than 12 million corporate clients and retail customers nationwide. First Union is the nation's sixth-largest bank holding company with assets of approximately $140 billion as of Dec. 31, 1996.

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