Attached files
file | filename |
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EX-10.2 - MOD PAC CORP | v188031_ex10-2.htm |
EX-99.1 - MOD PAC CORP | v188031_ex99-1.htm |
EX-10.1 - MOD PAC CORP | v188031_ex10-1.htm |
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section 13 or 15(d) of The Securities Exchange Act of 1934
Date of
Report (Date of earliest event reported): June 9,
2010
MOD-PAC
CORP.
|
(Exact
name of registrant as specified in its
charter)
|
NEW YORK
|
0-50063
|
16-0957153
|
(State
or other jurisdiction of
incorporation)
|
(Commission
File Number)
|
(IRS
Employer Identification No.)
|
1801 Elmwood Avenue Way, Buffalo, New
York
|
14207
|
|
(Address
of principal executive offices)
|
(Zip
Code)
|
Registrant's
telephone number, including area code: (716)
873-0640
Not
Applicable
|
(Former
name or former address, if changed since last
report)
|
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions (see General Instruction A.2 below)
¨
Written communication pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
¨
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
¨
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act
(17 CFR 240.14d-2(b))
¨
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act
(17 CFR 240.13e-4(c))
Item
1.01. Entry into a Material definitive Agreement.
The disclosure set forth in Item 2.03
below is incorporated in this Item 1.01 by reference
Item
2.03. Creation of a Direct Financial Obligation or an Obligation
under an Off-Balance Sheet Arrangement of a Registrant.
On June 9, 2010, MOD-PAC CORP. (the
“Company”) obtained a revolving credit facility from Manufacturers and Traders
Trust Company by entering into a Revolving Credit Agreement, dated as of June 9,
2010 (the “Credit Agreement”) between the Company, as borrower, and
Manufacturers and Traders Trust Company, as lender (the
“Lender”). Under the Credit Agreement, the Company is permitted to
borrow up to $3,000,000 outstanding at any one time through the maturity date of
June 9, 2013. Outstanding loans under the Credit Agreement bear
interest at a per annum rate of one month LIBOR adjusted daily plus 275 basis
points, with an interest rate floor of 3.35% per annum. In addition, the Company
is required to pay a fee of .125% per annum on the unused portion of the maximum
$3,000,000 borrowing limit under the Credit Agreement. The Company
may allocate up to $1.5 million of its availability under the Credit Agreement
for the issuance of letters of credit. The Company’s obligations
under the Credit Agreement are secured by a security interest in all of the
Company’s assets (other than real estate) under the terms of a General Security
Agreement, dated June 9, 2010 between the Company and the Lender (the “General
Security Agreement”). If an event of default as defined in
the Credit Agreement (each an “Event of Default”) occurs, the Lender has the
option to declare all unpaid principal and any other amounts then due under the
Credit Agreement immediately due and payable and to exercise its rights and
remedies under the General Security Agreement. Events of Default
include, among others, the voluntary or involuntary bankruptcy of the Company,
the failure to make payments as they become due, the failure to meet the
financial covenant tests set forth in the Credit Agreement or a Change of
Control as defined in the Credit Agreement
A copy of the Credit Agreement is filed
as Exhibit 10.1 to this Current Report on Form 8-K and a copy of the General
Security Agreement is filed as Exhibit 10.2 to this Current Report on Form
8-K.
Item
8.01. Other Events.
On June 14, 2010, in connection with
the closing of its credit facility as described in Item 2.03 above, the Company
issued a press release. A copy of the press release is filed as
Exhibit 99.1 to this Current Report on Form 8-K.
Item
9.01. Financial Statements and Exhibits.
|
(d)
|
Exhibits.
|
|
10.1
|
Revolving
Credit Agreement, dated as of June 9, 2010, between MOD-PAC CORP., as
borrower, and Manufacturers and Traders Trust Company, as
lender.
|
10.2
|
General
Security Agreement, dated as of June 9, 2010 between MOD-PAC CORP. and
Manufacturers and Traders Trust Company.
|
|
99.1
|
Press
Release dated June 14, 2010.
|
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SIGNATURES
Pursuant to the requirements of the
Securities Exchange Act of 1934, the registrant has duly caused this report to
be signed on its behalf by the undersigned thereunto duly
authorized.
|
MOD-PAC
CORP.
|
||
|
|||
Date:
June 14, 2010
|
By:
|
/s/ Daniel G. Keane
|
|
|
Daniel
G. Keane
|
||
|
President
and Chief Executive
Officer
|
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