Francesca's Holdings Corporation (NASDAQ:FRAN) Q2 2019 Earnings Conference Call - Final Transcript
Sep 10, 2019 • 08:30 am ET
entered into a $10 million three-year term loan with Tiger Finance, LLC. We used the proceeds from the term loan to pay the $10 million outstanding under our existing ABL. As of August 31, 2019, we had approximately $16.3 million borrowing availability under our ABL. Note that the fixed charge coverage ratio requirement has been removed through an amendment of the ABL agreement.
Our capital expenditures for the year-to-date period totaled $3.4 million comprised of $1.6 million for remodel, $0.7 million for existing boutiques, $0.6 million for new boutique and $0.4 million for technology and corporate initiatives. Note, that our spending for remodels were related to payments of previously accrued construction costs, as we did not have any boutique remodels during the period. We have minimal planned capex for the remainder of fiscal year 2019, as our focus remains on the execution of our turnaround plan.
During the quarter we opened one new boutique and closed five, bringing our total boutique count to 718. We plan to open one more boutique in the third quarter. We now expect to close at least 10 existing boutiques for the remainder of 2019. The boutiques we expect to close are those with a negative contribution margin that are at the kick-out period or at least in. Overall, the progress we are making across strategic initiatives led to improved financial performance and we look forward to building on this momentum.
This concludes the financial review and I'll now turn the call back over to Michael for his closing remarks.
Thank you, Cindy. In closing, I'd like to thank Cindy, and Senior Leadership team, and the entire organization for their hard work and dedication to executing the turnaround plan. We have accomplished a significant amount of improvements in a very short period of time, and I look forward to enhancing our performance and continuing the early momentum that we have created. Thank you for your time today.
[Operator Closing Remarks]