By Mike Boyer
The Cincinnati Enquirer

Milacron Inc., which is racing to find new financing by a March 15 deadline, said Monday it obtained a two-week extension of a separate receivables financing agreement that was to expire last Friday. The 120-year-old company, which employs about 1,000 in Greater Cincinnati, said it is continuing to talk with current and prospective lenders and investors about refinancing $115 million in senior notes and a $54 million revolving credit agreement that come due March 15.

At present, the company, which makes plastics processing equipment and industrial fluids, said it doesn't have the cash to satisfy the notes and credit agreement. Milacron's shares closed down 7 cents, or 2 percent, Monday to $2.76.

The company said previously that resolution of its financing squeeze likely will mean "significant dilution" of its existing equity.

Analysts speculate that any new financing agreement will give those providing it a sizable stake in the company. The only alternative would be a Chapter 11 bankruptcy filing, which would probably wipe out current stockholder equity.

The refinancing squeeze comes as the company said it sees signs that the long slump in its manufacturing markets is starting to turn around.

Milacron said its amended receivables agreement allows it to sell up to $30 million of its receivables. Before the extension, the program had been capped at $40 million, of which only $30 million was being used. PNC Bank is the agent for the receivables program.

Standard & Poor's Ratings Services said Monday it was continuing to watch Milacron's situation.

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E-mail mboyer@enquirer.com