Colt Defense announced yesterday that it struck an agreement with its secured lenders for $20 million in credit to allow ordinary business operations to continue during its chapter 11 bankruptcy proceedings, the Associated Press reported yesterday. Colt said that the financing will give it liquidity to meet all its obligations to customers, vendors, suppliers and employees during its court-supervised restructuring. The 179-year-old gun manufacturer filed for chapter 11 bankruptcy June 14. It estimates it owes up to $500 million to dozens of creditors.
