Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Item 1.01 Entry into a Material Definitive Agreement
Item 9.01 Financial Statements and Exhibits.
Signatures
Exhibit Index
Item 1.01. Entry into a Material Definitive Agreement.
Registrant and Global Investment Groups (“GIG”) made and entered into a third amendment to their 2004 Master License and Manufacturing Agreement and related Equipment Sales Agreements as of October 27, 2006. Registrant executed the third amendment on October 27, 2006, and GIG executed the third amendment on October 30, 2006. On October 30, 2006, the third amendment was also acknowledged and agreed to by Prevent LOK. The third amendment provides that the remaining $5.05 million due for equipment purchases is to be paid by November 10, 2006. In addition, the $12 million already paid to cover management support for the first five years will now be for the first four years ending on March 31, 2008.
Additional payments of $50,000 per month are due to Registrant on the last day of each month beginning October 31, 2006, until the “Ready Date” has been reached. The “Ready Date” is the date GIG notifies Registrant that its card manufacturing building is fully ready to have the card production equipment installed, including having the requisite electrical and other utility hook-ups in place and operative.
Additionally, the third amendment calls for a mandatory follow-on three-year support package, followed by 13 optional one-year support packages, all at a fee of $1 million annually. This replaces the mandatory follow-on fifteen-year support package previously called for.
The foregoing summary of the third amendment is qualified in its entirety by the third amendment itself which comprises Exhibit 10.11 to this Form 8-K.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
Exhibit Number Description of Exhibit
| Exhibit 10.11 | Modified Third Amendment to License and Equipment Agreements made and entered into as of October 27, 2006, by and between Registrant and GIG, as acknowledged and agreed by Prevent LOK.
|
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this Current Report on Form 8-K to be signed on its behalf by the undersigned, hereunto duly authorized on the 31st day of October, 2006.
LaserCard Corporation
(Registrant)
By: /s/ STEVEN G. LARSON
Steven G. Larson
Vice President, Finance and Chief Financial Officer
Exhibit Index
Exhibit Number Description of Exhibit
| Exhibit 10.11 | Modified Third Amendment to License and Equipment Agreements made and entered into as of October 27, 2006, by and between Registrant and GIG, as acknowledged and agreed by Prevent LOK.
|
