Lenders Give CKE Extensions to Jan. 31

CKE Restaurants Inc., operator of Hardee’s and Carl’s Jr. fast-food restaurants, said Wednesday its lenders have agreed to extend waivers through Jan. 31 on most financial obligations, including the company’s line of credit.

The previous waiver extension was scheduled to expire April 30.

As part of the arrangement, the Anaheim-based company said it would limit capital expenditures to $55 million for fiscal 2002 and would not exceed $20 million in any quarter. CKE also said it must meet certain minimum cash-flow provisions.

CKE, which through subsidiaries and licensees operates more than 3,700 restaurants, said it is working to refinance the credit facility as soon as possible.

Last month, CKE said it was selling its Taco Bueno unit for $72.5 million, using the proceeds to help lower debts that once stood at $300 million.

The stock closed Wednesday at $2.05, off 2 cents a share, on the New York Stock Exchange.