SIFCO Industries Enters New Credit Agreement
Ticker: SIF · Form: 8-K · Filed: May 23, 2024 · CIK: 90168
Sentiment: neutral
Topics: credit-agreement, financing, debt
TL;DR
SIFCO just signed a new credit deal, locking in financing.
AI Summary
On May 21, 2024, SIFCO Industries, Inc. entered into a Material Definitive Agreement related to a credit facility. This agreement creates a direct financial obligation for the company, impacting its balance sheet and financial commitments.
Why It Matters
This new credit agreement is a significant financial event for SIFCO Industries, potentially affecting its operational flexibility and future borrowing capacity.
Risk Assessment
Risk Level: medium — New credit agreements can introduce new covenants and financial obligations that may pose risks if not managed effectively.
Key Players & Entities
- SIFCO Industries, Inc. (company) — Registrant
- May 21, 2024 (date) — Date of earliest event reported
- Ohio (jurisdiction) — State of incorporation
- Cleveland (location) — Principal executive offices
FAQ
What type of Material Definitive Agreement did SIFCO Industries enter into?
SIFCO Industries entered into an agreement related to a credit facility.
What is the date of the earliest event reported in this filing?
The date of the earliest event reported is May 21, 2024.
In which state is SIFCO Industries incorporated?
SIFCO Industries is incorporated in Ohio.
What is the address of SIFCO Industries' principal executive offices?
The address of SIFCO Industries' principal executive offices is 970 East 64th Street, Cleveland, Ohio 44103.
Does this filing create a direct financial obligation for SIFCO Industries?
Yes, the filing indicates the creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.
Filing Stats: 1,289 words · 5 min read · ~4 pages · Grade level 13.7 · Accepted 2024-05-23 16:00:59
Key Financial Figures
- $18,000,000 — under the Export Credit Agreement, (i) $18,000,000 through September 30, 2023, (ii) $19,00
- $19,000,000 — 00,000 through September 30, 2023, (ii) $19,000,000 from and including October 1, 2023 thro
- $22,000,000 — 1, 2023 through May 14, 2024, and (iii) $22,000,000 thereafter until, and reducing to zero
- $1,500,000 — is, at such time, minus (c) Reserves of $1,500,000, or such other amount, if any, as may b
Filing Documents
- sif-20240521.htm (8-K) — 39KB
- ex101sifcotenthamendment.htm (EX-10.1) — 33KB
- ex102sifcofifthamendmentex.htm (EX-10.2) — 29KB
- 0000090168-24-000020.txt ( ) — 235KB
- sif-20240521.xsd (EX-101.SCH) — 2KB
- sif-20240521_lab.xml (EX-101.LAB) — 21KB
- sif-20240521_pre.xml (EX-101.PRE) — 12KB
- sif-20240521_htm.xml (XML) — 3KB
01 Entry into Material Definitive Agreements
Item 1.01 Entry into Material Definitive Agreements. Tenth Amendment to Credit Agreement; Fifth Amendment to Export Credit Agreement. On May 21, 2024, SIFCO Industries, Inc. (the "Company") and certain of its subsidiaries (collectively, the "borrowers") entered into the Tenth Amendment (the "Tenth Amendment") to the Credit Agreement (as previously amended, the "Credit Agreement") and the Fifth Amendment (the "Fifth Amendment") to the Export Credit Agreement (the "Export Credit Agreement"), in each case, with JPMorgan Chase Bank, N.A. (the "Lender"). Capitalized terms used but not otherwise defined herein shall have the meanings ascribed to them in the Tenth Amendment. The Tenth Amendment amends the Credit Agreement to, among other things: (i) reflect the agreement of the Lender to make Revolving Loans to the borrowers from time to time during the Availability Period in an aggregate principal amount that will not result in the Revolving Exposure exceeding the least of (x) the Revolving Commitment, less the Availability Block, if applicable, (y) the Borrowing Base, and (z) in combination with the Export Revolving Loans under the Export Credit Agreement, (i) $18,000,000 through September 30, 2023, (ii) $19,000,000 from and including October 1, 2023 through May 14, 2024, and (iii) $22,000,000 thereafter until, and reducing to zero and terminating on, the Maturity Date, subject to the Lender's authority, in its sole discretion, to make Protective Advances pursuant to the terms of the Credit Agreement; (ii) reflect the agreement of the borrowers to continue to use good faith, commercially reasonable efforts to refinance and pay in full the Secured Obligations as soon as practicable and to provide periodic updates and other information with respect thereto as reasonably requested by the Lender, will notify the Lender of any refinancing proposals of any kind and will direct any advisors to respond to any inquiries by the Lender and to fully and candidly discuss with t
Financial Statements and Exhibits
Financial Statements and Exhibits. (d) Exhibits 10.1 Tenth Amendment to Credit Agreement, dated May 21, 2024, by and among SIFCO Industries, Inc., Quality Aluminum Forge, LLC, and JPMorgan Chase Bank, N.A . 10.2 Fifth Amendment to Export Credit Agreement, dated May 21, 2024, by and among SIFCO Industries, Inc., Quality Aluminum Forge, LLC, and JPMorgan Chase Bank, N.A. 104 Cover Page Interactive Data File (embedded within the Inline XBRL document).
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. SIFCO Industries, Inc. (Registrant) Date: May 23, 2024 /s/ Thomas R. Kubera Thomas R. Kubera Chief Financial Officer (Principal Financial Officer)