Business Context and Reporting Period
Company: Coffee Holding Co., Inc. (JVA)
Filing Type: Form 8-K (Current Report)
Date of Report: June 27, 2024
Event: Entry into a Material Definitive Agreement (Amendment to Loan Agreement)
Key Financial Metrics and Debt Structure
This filing details a modification to the Company's existing credit facility with Webster Bank. The filing does not provide current revenue, profit, cash flow, or margin data.
- Maximum Facility Amount: $10,000,000
- New Loan Maturity Date: June 29, 2025
- Applicable Margin Requirement: 2.25% for revolving loans
- Other Adjustments: Modifications to definitions and terms related to the borrowing base and leverage ratios
Material Changes Versus Prior Period
The filing reports the execution of the Tenth Loan Modification Agreement on June 27, 2024. This agreement amends the original Amended and Restated Loan and Security Agreement dated April 25, 2017. The primary changes extend the maturity date and adjust the interest margin and facility limits. No comparative financial performance data is provided in this document.
Guidance, Outlook, and Risks
Management Commentary: The filing states that, other than the specific modifications listed, the terms of the original Loan Agreement remain in full force and effect.
Risks and Contingencies: The filing notes that the summary of terms is qualified in its entirety by the full text of the Amendment (Exhibit 10.1). The creation of this direct financial obligation is disclosed under Item 2.03.
Key Facts for Investor Verification
- Verify the specific impact of the adjusted borrowing base and leverage ratios on the Company's ability to draw on the $10 million facility.
- Confirm the total outstanding principal balance under the facility as of June 27, 2024, which is not disclosed in this summary.
- Review the full text of the Tenth Loan Modification Agreement (Exhibit 10.1) for detailed covenants and default provisions.
- Check subsequent filings for any financial statements that may reflect the impact of the new margin rate on interest expense.