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FORM 8-K
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported):
June 28, 1998
Commission File No.: 0-14685
GENICOM CORPORATION
(Exact name of registrant as specified in its charter)
DELAWARE 51 - 0271821
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
14800 CONFERENCE CENTER DRIVE
SUITE 400, WESTFIELDS
CHANTILLY, VIRGINIA 20151
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (703) 802-9200
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GENICOM CORPORATION AND SUBSIDIARIES
FORM 8-K
Item 5. Other Items
(a) Fourth Amendment to Amended and Restated Credit
Agreement and Waiver:
On July 2, 1998, the Company and its banks amended
the credit agreement with NationsBank of Texas, N.A.,
as agent for the group of banks. The amendment
adjusts the Company's required financial covenants,
limits capital expenditures to a maximum of $27
million for 1998, adjusts the borrowing base
percentages allowing the Company increased borrowing
ability and adjusts the interest rate upwards 1.50%
on the incremental increased borrowing against the
higher base.
(b) Arbitration Between Atlantic Design Company, Inc.,
Ogden Services Corporation and GENICOM Corporation:
On July 4, 1998, the Company, Atlantic Design
Company, Inc. ("ADC") and Ogden Services Corporation
settled the arbitration proceeding described in the
Company's prior SEC filings. Primary settlement terms
include settlement of all claims and counterclaims in
the arbitration, a $2.1 million payment to ADC for
which the Company was fully reserved, a price
increase effective for shipments after August 15,
1998, and a guarantee of orders for one year. ADC is
continuing as a supplier for the Company.
(c) Goodwill Write-Off:
Based upon recent review of long-lived assets, the
Company determined that the value of goodwill
associated with the acquisitions of Centronics,
Printer Systems Corporation and Harris Adacom was
impaired. In accordance with FAS 121, during the
second fiscal quarter of 1998, the Company took a
pre-tax charge associated with this impairment of
approximately $15 million.
Item 7. Exhibits
99.1 Press release dated July 7, 1998
99.2 Press release dated July 7, 1998
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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 thereunto duly authorized.
GENICOM Corporation
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Registrant
Date: July 8, 1998
/s/James C. Gale
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Signature
James C. Gale
Senior Vice President Finance and Chief
Financial Officer
(Mr. Gale is Chief Financial Officer and
has been duly authorized to sign on behalf
of the Registrant)