Zhone Technologies – ZHNE – To continue investing in the development of leading technologies for customers

Zhone Technologies, Inc. (NASDAQ: ZHNE), a global pioneer in FTTx network access solutions, today announced that it has entered into a new credit facility arrangement with Wells Fargo Capital Finance, part of Wells Fargo & Company (NYSE: WFC).

This facility provides working capital financing of up to $25.0 million to support borrowings and letters of credit. The term of the facility extends for two years through March 2014. This credit facility replaces Zhone’s previous facility with Silicon Valley Bank. Details of the arrangement can be found in the loan agreement and disclosures to be included in Zhone’s Annual Report on Form 10-K for the year ended December 31, 2011.

“This new credit facility allows us to continue investing in the development of leading technologies for our customers,” stated Kirk Misaka, chief financial officer of Zhone Technologies. “We’re pleased to work with the Business Credit team at Wells Fargo Capital Finance, who is providing us with flexible financing to meet the changing needs of our business.” “We are excited to be able to support Zhone Technologies in the execution of their global business plan, beginning a relationship that we hope will continue for many years,” stated Kimberly Jablonski, senior vice president of the Business Credit Division of Wells Fargo Capital Finance. “This facility provides the company with a flexible and expandable financing solution supporting both U.S. and international sales activities and assisting Zhone in realizing their goals.”

About Zhone Technologies

ZHNE is a global leader in all IP multi-service access solutions, serving more than 750 of the world’s most innovative network operators.

The IP Zhone is the only solution that enables service providers to build the network of the future…today, supporting end-to-end Voice, Data, Entertainment Social Media, Business, Mobile Backhaul and Mobility service.

ZHNE is committed to building the fastest and highest quality All IP Multi-Service solution for its customers.

ZHNE is headquartered in California and its products are manufactured in the USA in a facility that is emission, waste-water and CFC free.

About Wells Fargo Capital Finance

Wells Fargo Capital Finance is the trade name for certain asset-based lending, accounts receivable and purchase order finance services of Wells Fargo & Company and its subsidiaries, and provides traditional asset-based lending, specialized senior secured financing, accounts receivable financing, purchase order financing and channel finance to companies across the United States and internationally. Dedicated teams within Wells Fargo Capital Finance provide financing solutions for companies in specific industries such as retail, software publishing and high-technology, commercial finance, staffing, government contracting and others.

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Post Written By: Ed Liston Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.