{"schema_version":"secwatch.filing_event.v1","accession":"0000038723-23-000060","form_type":"8-K","ticker":null,"cik":"0000038723","company_name":"1st FRANKLIN FINANCIAL CORP","filed_at":"2023-05-16T23:59:59+00:00","discovered_at":"2026-05-14T18:03:41.835336+00:00","generated_at":"2026-06-15T00:12:09.628926+00:00","sec_items":["2.03","1.01","9.01"],"event_type":"debt","sentiment":"neutral","materiality_score":0.7,"calibrated_materiality_score":0.7,"confidence":"high","headline":"1st Franklin Financial obtains waiver of EBITDA covenant defaults; amends loan with Wells Fargo","bullets":["Waived existing defaults for Feb and Mar 2023 EBITDA ratio covenant violations.","EBITDA ratio minimum: 1.05x for Apr-Nov 2023, then 1.25x, then 1.50x thereafter.","Restricted payments amended: allows up to $10M or 25% net income for Cheek Family Foundation after Mar 2024.","As of Apr 30, 2023: $82M outstanding, $148M available, interest rate 7.65%.","Company paid $57,500 amendment fee to lenders."],"urls":{"canonical":"https://secwatch.observer/filing/0000038723-23-000060","json":"https://secwatch.observer/filing/0000038723-23-000060.json","markdown":"https://secwatch.observer/filing/0000038723-23-000060.md","text":"https://secwatch.observer/filing/0000038723-23-000060.txt","edgar_index":"https://www.sec.gov/Archives/edgar/data/38723/000003872323000060/0000038723-23-000060-index.htm","edgar_primary_document":"https://www.sec.gov/Archives/edgar/data/38723/000003872323000060/na-20230516.htm"},"model":{"generated_by":"deepseek-v4-flash:cloud@v2","generated_at":"2026-06-15T00:12:09.628926+00:00"},"review":{"review_status":"machine_generated","human_reviewed":false,"corrected":false,"correction_note":null,"correction_timestamp":null,"superseded_by":null,"related_filings":[]},"source_grounded_claims":[{"claim_id":"c48344af7ed1f8c325218a42612a20ea64c5dac3","claim":"1st FRANKLIN FINANCIAL CORP amended credit facility with Wells Fargo Bank, N.A..","evidence_excerpt":"The Fifth Amendment, among other things, waives existing events of default by the Company related to a financial covenant and amends the definition of “EBITDA Ratio”","evidence_source":"SEC 8-K Item 2.03/2.04","evidence_url":"https://www.sec.gov/Archives/edgar/data/38723/000003872323000060/0000038723-23-000060-index.htm","confidence":0.9,"family_label":"Debt Financings","details":[{"label":"Instrument","value":"credit facility"},{"label":"Counterparty","value":"Wells Fargo Bank, N.A."},{"label":"Event","value":"amendment"}],"fact_type":"debt_financing"},{"claim_id":"468935ac2e2f7ca68918e8bff2e779b9048810ca","claim":"1st FRANKLIN FINANCIAL CORP amended Fifth Amendment with Wells Fargo Bank, N.A., as agent, and the other financial institutions from time to time party thereto (effective 2023-05-12).","evidence_excerpt":"On May 12, 2023, 1 st Franklin Financial Corporation (the “Company”) entered into a Fifth Amendment (the “Fifth Amendment”) to the Amended and Restated Loan and Security Agreement dated as of November 19, 2019 (as amended from time to time, the “Amended Loan and Security Agreement”), by and among the Company, Wells Fargo Bank, N.A., as agent for the lenders (“the Agent”), and the other financial institutions from time to time party thereto.","evidence_source":"SEC 8-K Item 1.01/1.02","evidence_url":"https://www.sec.gov/Archives/edgar/data/38723/000003872323000060/0000038723-23-000060-index.htm","confidence":0.9,"family_label":"Material Agreements","details":[{"label":"Action","value":"amendment"},{"label":"Agreement","value":"credit facility"},{"label":"Counterparty","value":"Wells Fargo Bank, N.A., as agent, and the other financial institutions from time to time party thereto"},{"label":"Effective","value":"2023-05-12"}],"fact_type":"material_agreement"}],"license":"Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer"}