Business Context and Reporting Period
Company: Avnet, Inc.
Filing Type: Form 8-K (Current Report)
Date of Report: August 23, 2012
Event: Entry into a Material Definitive Agreement regarding an accounts receivable securitization program.
Key Financial Metrics
This filing does not report revenue, profit, cash flow, margins, or general debt levels. It specifically addresses a change in the capacity of a financing facility:
- Receivables Securitization Program Capacity: Increased from $750 million to $800 million.
- Facility Type: Revolving basis for selling undivided interests in eligible receivables.
Material Changes Versus Prior Period
On August 23, 2012, Avnet, Inc. and its subsidiary, Avnet Receivables Corporation, executed Amendment No. 4 to the Second Amended and Restated Receivables Purchase Agreement. The primary material change is the expansion of the eligible receivables limit under the securitization program by $50 million.
Guidance, Outlook, and Risks
Management Commentary: The filing notes that parties to the securitization program (or their affiliates) have provided and may continue to provide investment or commercial banking services to Avnet for customary fees.
Risks and Contingencies: No specific risks or contingencies are detailed in this summary text beyond the standard disclosure regarding related-party banking services.
Unusual Items: None reported in this filing.
Important Facts for Investor Verification
- Verify the full terms of Amendment No. 4 attached as Exhibit 10.1 to the filing.
- Confirm the impact of the increased $800 million facility on the company's liquidity and leverage ratios in subsequent quarterly reports.
- Review the identity of the Financial Institutions and JPMorgan Chase Bank, N.A. (as agent) involved in the agreement.