|
Quotes & Info
|
| RELV > SEC Filings for RELV > Form 8-K on 6-Jul-2009 | All Recent SEC Filings |
6-Jul-2009
Creation of a Direct Financial Obligation or an Obligation under an Off-B
On June 29, 2009, the Registrant entered into a term loan with Southwest Bank, an M&I Bank (the "Bank") in the principal amount of $4.12 million. The term of the loan is for a period of two years with interest accruing on the outstanding principal balance at a floating interest rate based on the 30-day LIBOR plus 3.0%, subject to a 3.75% floor. Monthly principal and interest payments are based on a ten-year amortization. The aggregate outstanding balance of principal and interest is due and payable on June 29, 2011.
The terms of the new loan are reflected in a promissory note and a letter agreement dated June 29, 2009 between the Registrant and the Bank. The letter agreement amends and restates an earlier letter agreement dated October 1, 2008 between the parties which provided for a revolving credit facility.
Under the terms of the letter agreement, the Registrant has agreed to financial covenants under which the Registrant will (i) maintain at all times a tangible net worth of not less than $10 million and (ii) maintain at all times a ratio of Total Funded Debt to EBITDA of not greater than 2.5 to 1. The term loan and revolving credit facility are secured by all tangible and intangible assets of the Registrant and also by a mortgage on the Registrant's building and real estate located in Chesterfield, Missouri.
The proceeds of the term loan will be used to reduce the outstanding balance on the Registrant's revolving credit facility with the Bank.
(c) Exhibits.
The exhibits to this Current Report are listed in the Exhibit Index set forth elsewhere herein.
|
|