secwatch.observer — SEC 8-K summary
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Issuer:     KEY TRONIC CORP (KTCC)
CIK:        0000719733
Form:       8-K
Filed at:   2024-10-10T23:59:59+00:00
Accession:  0000719733-24-000105
Event type: debt
Sentiment:  negative
Materiality: 0.70
Item codes: 1.01, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

Key Tronic obtains waiver of loan defaults; interest rate up 50bps, availability block raised
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- Sixth amendment waives defaults for fixed-charge coverage ratio misses in June and July 2024 and late audited financials.
- Interest rate margins increased 50 bps: Base Rate loans now 3.50%, Term SOFR loans now 4.50%.
- Availability block (borrowing limit) raised from $8M to $10M effective Oct 9, 2024; to rise to $11M on Dec 31, 2024 and $12M on Mar 31, 2025.
- Existing defaults triggered by failing to maintain fixed-charge coverage ratio below 1.00:1.00 (June) and 1.05:1.00 (July) plus delayed audited statements.
- Amendment effective October 9, 2024; lenders include Bank of America as agent.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/719733/000071973324000105/0000719733-24-000105-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/719733/000071973324000105/ktcc-20241009.htm
  HTML page:      https://secwatch.observer/filing/0000719733-24-000105

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