84 Lumber seeks state financing

Officials at 84 Lumber, the industry’s third largest pro dealer, have met with the Pennsylvania Department of Community and Economic Development about debt financing, according to the Associated Press and other media outlets.

Aspokesperson for the department confirmed that 84 Lumber representatives “were interested in seeing what DCED has to offer."

"We will have no further comment about speculative issues," said Jeff Nobers, vp-marketing and public relations.

Sales at the privately owned lumberyard chain plummeted last year. The Eighty-Four, Pa.-based company reported $2.1 billion in revenues for 2008, down from $3.1 billion in 2007.

Last April, 84 Lumber entered into two new five-year financing packages, allowing it to borrow up to $590 million. At the time, company president Maggie Hardy Magerko said that the loans, arranged through Sun Trust Bank and Wachovia Bank, contained no earnings covenants.