Business Context and Reporting Period
Company: Medallion Financial Corp.
Filing Type: Form 8-K (Current Report)
Date of Report: August 11, 2016
Event: Entry into a Material Definitive Agreement (Amendment to Loan and Security Agreement).
Key Financial Metrics
This filing does not report revenue, profit, cash flow, or operating margins. It specifically addresses debt facility terms:
- Facility Commitment Amount: Decreased from $22.135 million to $19.25 million.
- Current Outstanding Amount: $19.25 million (matches the new commitment).
- Lender: Sterling National Bank.
- Borrowers: Medallion Financial Corp., Medallion Funding LLC, and Medallion Fine Art, Inc.
Material Changes Versus Prior Period
The filing details the Ninth Amendment to the Amended and Restated Loan and Security Agreement (originally dated March 28, 2011). Key changes include:
- Maturity Extension: The facility maturity date was extended to June 30, 2018.
- Commitment Reduction: The total commitment was reduced to align with the current outstanding balance.
- Technical Adjustments: Other technical changes were implemented as part of the amendment.
Guidance, Outlook, and Risks
The filing contains no forward-looking guidance, management commentary on future performance, or specific risk factors beyond the standard incorporation of the amendment exhibit. The primary focus is the restructuring of existing debt terms.
Investor Verification Checklist
- Verify the full text of the Ninth Amendment (Exhibit 10.1) for covenants or interest rate changes not summarized in the 8-K.
- Confirm the company's ability to service the $19.25 million debt obligation through the new maturity date of June 30, 2018.
- Review subsequent filings for any further amendments or defaults related to the Sterling National Bank facility.