Business Context and Reporting Period
This Form 8-K Current Report was filed by Applied Optoelectronics, Inc. on June 23, 2015, covering events occurring on June 17, 2015. The filing discloses the entry into a material definitive agreement regarding the Company's office lease in Sugar Land, Texas.
Key Financial Metrics
This filing does not contain financial statements, revenue, profit, cash flow, margin, debt, or liquidity metrics. The document focuses exclusively on the terms of a lease amendment.
Material Changes
The Company entered into a Fourth Amendment to its Office Lease Agreement with 12808 W. Airport, LLC. Key changes include:
- Space Reduction: Termination of the "Second Amendment Expansion Premises," reducing leased space by 1,004 square feet.
- Space Expansion: Addition of the "Fourth Amendment Expansion Premises" in Suite 350, adding 6,898 square feet.
- Total Footprint: The aggregate leased space increased from approximately 8,781 square feet to 14,675 square feet.
- Lease Term: A 13-month term commencing June 1, 2015, and ending June 30, 2016.
- Rent Obligation: The total monthly rent obligation is set at $21,932.50.
Guidance, Outlook, and Risks
The filing contains no management guidance, outlook, or discussion of general business risks. The only contingency noted is the obligation to pay the specified rent for the 13-month term. The text explicitly states that the description of the amendment is not complete and is qualified by reference to the full text of the Fourth Amendment attached as Exhibit 10.1.
Investor Verification Checklist
- Verify the total monthly rent obligation of $21,932.50 against the Company's cash flow projections.
- Confirm the operational necessity of the net increase of 5,894 square feet (6,898 added minus 1,004 removed).
- Review the full text of the Fourth Amendment (Exhibit 10.1) for additional covenants, termination rights, or escalation clauses not summarized in this report.
- Check if the lease term ending June 30, 2016, aligns with the Company's long-term facility strategy.