Business Context and Reporting Period
Company: Coffee Holding Co., Inc.
Filing Type: Form 8-K (Current Report)
Date of Report: January 4, 2013
Event: Entry into a Material Definitive Agreement (First Amendment to Trademark License Agreement with Del Monte Corporation).
Key Financial Metrics
This filing does not contain financial statements, revenue, profit, cash flow, margin, debt, or liquidity data. The document focuses exclusively on the terms of a contractual amendment.
Material Changes Versus Prior Period
- Product Scope Expansion: The amendment broadens the exclusive license to use Del Monte Marks in the United States. Previously limited to roasted whole bean and ground coffee, the license now includes instant coffee, tea, and hot cocoa.
- Royalty Modifications: The agreement modified certain royalty payments made by the Company for the use of the Marks, though specific figures are not disclosed in this text.
Guidance, Outlook, and Risks
- Term and Renewal: The initial term of the agreement expires on December 31, 2014. It includes provisions for automatic renewal for up to two additional five-year terms unless either party provides written notice of non-renewal six months prior to the current term's expiration.
- Confidentiality: Portions of the full amendment text are subject to confidential treatment requests with the SEC and will be filed as an exhibit to the Form 10-K for the fiscal year ended October 31, 2012.
Investor Verification Checklist
- Verify the specific royalty rate changes in the full text of the Amendment (filed as an exhibit to the 2012 Form 10-K).
- Confirm the financial impact of expanding product lines to include instant coffee, tea, and hot cocoa in upcoming quarterly reports.
- Monitor the December 31, 2014 expiration date and the six-month notice window for potential non-renewal.