ELKIN, N.C. -- Brendle's Stores Inc. said it has obtained bankruptcy court approval for a $25 million debtor-in-possession credit line from CIT Group/Business Credit Inc.

The retailer said it anticipates minimal borrowings, but intended to provide an "insurance policy" to suppliers.

Brendle's said it has $1.50 of coverage for every $1 of trade credit. It can borrow up to 55% of eligible inventory, and $6 million of the credit is for letters of credit to overseas suppliers.

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