Camera Platforms Swaps Shares for Debt Relief

Camera Platforms International Inc., a Valencia maker of movie production equipment, said that it completed a previously announced stock-for-debt swap with a Connecticut tobacco company that is a major shareholder.

Prior to the deal, Camera Platforms owed $11.5 million to UST Enterprises Inc., a subsidiary of UST Inc., formerly known as United States Tobacco. UST had about $770 million in sales in 1990. Under the terms of the stock-for-debt swap, UST received 8.8 million shares of Camera Platforms common stock and forgave the $11.5 million in debt.

As a result, UST now owns 9.4 million shares, or 76% of Camera Platforms. In addition, UST holds an option to purchase an additional 500,000 shares of Camera Platforms stock owned by another principal shareholder.