inTEST Corporation Provides COVID-19 Related Business Update

• Company Deemed Critical and Essential Business Operations;
• Closed on $7.5 Million Working Capital Line of Credit;
• Approved for $2.8 Million in Paycheck Protection Program Loans

MANSFIELD, Mass., April 22, 2020 (GLOBE NEWSWIRE) -- inTEST Corporation (NYSE American: INTT), a global supplier of precision-engineered solutions for use in manufacturing and testing across a wide range of markets including automotive, defense/aerospace, energy, industrial, semiconductor and telecommunications, today shared updates to its operations in response to the evolving challenges and government directives related to the Coronavirus (“COVID-19”) pandemic.

Business Operations
inTEST Corporation’s corporate offices and business units (inTEST EMS, inTEST Thermal Solutions, and Ambrell) are operational and have been deemed ‘critical and essential business operations’ under the various governmental COVID-19 mandates. The Company is taking all precautions to ensure the safety of its employees, customers, and business partners, while continuing to provide worldwide sales, service and support.

Line of Credit/ Paycheck Protection Program
On April 10, 2020, inTEST closed on a $7.5 million working capital line of credit (“line” or “LOC”) with M&T Bank. This line was put in place to provide the Company with additional working capital financing capability in response to the current business environment, as a result of the COVID-19 pandemic. Hugh T. Regan, Jr., inTEST’s CFO, commented, “The line will supplement our liquidity position, and thus we believe we will have the necessary liquidity to manage our operations on top of our existing cash balances, which were $7.3 million at March 31, 2020.” The LOC is secured by the Company’s assets and has a favorable interest rate on borrowing at 30 LIBOR plus 2.5%. The borrowers are inTEST Corporation and its domestic subsidiaries.

In addition to the working capital line, inTEST has been approved for Paycheck Protection Program (“PPP”) loans under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) totaling $2.8 million to support employee retention during the pandemic.

Mr. Regan added, “We anticipate that our new working capital line along with the PPP loans will ensure that we can support our business operations and customers as we navigate the nation’s recovery. Our teams are evaluating all new information to ensure we are positioned to make the best decisions for our employees and our business.”