ASHS completes lease restructuring deal

American Shared Hospital Services announced last month that it has completed a restructuringof its leasing agreement with its major equipment lessor. ASHS,of San Francisco, sought the restructuring to reduce the company'sdebt load (SCAN 4/20/94).

Under the terms of the deal, equipment lease agreements weremodified to extend lease terms and reduce scheduled payments.About $3.2 million in past-due payments to the lessor have beenconverted to a $2 million secured promissory note repayable over86 months. The lessor also received a warrant to acquire about3.3% of American Shared common stock.

ASHS declined to name the identity of the lessor. ASHS hastraditionally focused on the supply of mobile and fixed/mobileservices using high-field GE Signa MRI systems.