Enservco submits business plan to NYSE American to regain compliance
Enservco has submitted a business plan to the NYSE American exchange that outlines the Company's intention to regain compliance with listing standards. In addition, as previously announced in the Company's third quarter investor update, in October 2019 Enservco incurred $1.2M in over advances above its $29.7M borrowing base availability on its bank line of credit. The over advances related to the Company ramping up to fulfill customer demand for the 2019-20 heating season. On January 6, 2020, the bank provided Enservco with a notice of events of default and reservation of rights pertaining to the Company not having: immediately repaid the over advance; maintained minimum liquidity of $1.5M for the months of October and November 2019; maintained a minimum fixed charge coverage ratio of 1.1 to 1.0 for the months of October and November 2019. The bank has elected not to exercise, but has not waived, its right to immediate payment of this over advance and Enservco continues to work with the bank in seeking to resolve this issue.