Announcement
GENERAL: ARB: ArborGen receives second PPP loan
02:31pm
ARB
02/03/2021 14:31
GENERAL
NOT PRICE SENSITIVE
REL: 1431 HRS ArborGen Holdings Limited
GENERAL: ARB: ArborGen receives second PPP loan
2 March 2021
ArborGen Holdings announced today that its wholly owned subsidiary in the US,
ArborGen Inc., has received approval and funding from the Small Business
Administration (SBA) under the CARES Act Paycheck Protection Program (PPP)
for a second loan in the amount of US$1.95 million. The funds are to be used
to fund payroll costs including benefits and other business related costs due
to the uncertainties caused by COVID-19.
The SBA will forgive loans if all employees are kept on the payroll for eight
weeks and the money is used for payroll costs, rent, mortgage interest, or
utilities payments over the 8 weeks after receiving the loan. At least 60% of
the forgiven amount must have been used for payroll costs which includes
employee salaries, hourly wages, sick or medical leave, and group health
insurance premiums.
As announced previously, ArborGen applied for a PPP loan early last year,
subsequently receiving $2.335 million in May 2020. This funding allowed
ArborGen to retain all employees and avoid any lay-offs during a period of
significant uncertainty. ArborGen applied for forgiveness of this first PPP
loan in accordance with the guidelines late last year. While this forgiveness
application is still being processed, ArborGen believes it has provided the
documents necessary to support the full forgiveness of the loan.
____________________
ArborGen
ArborGen is the largest commercial global seedling supplier and a leading
provider of advanced genetics, for the forest industry. Employing
state-of-the-art technology, ArborGen is developing high-value products that
significantly improve the productivity of a given acre of land by enabling
our customers to grow trees that yield more wood per acre with greater
consistency and quality in a shorter period of time. For more information,
please visit ArborGen's website at www.arborgen.com.
End CA:00368486 For:ARB Type:GENERAL Time:2021-03-02 14:31:22
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