UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): December 27, 2004
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Concurrent Computer Corporation
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(Exact name of registrant as specified in its charter)
Delaware
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(State or other jurisdiction of incorporation)
0-13150
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(Commission File Number)
04-2735766
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(IRS Employer Identification Number)
4375 River Green Parkway, Suite 100, Duluth, Georgia 30096
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(Address of principal executive offices)
Registrant's telephone number, including area code: (678) 258-4000
Not Applicable
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(Former Name or Former Address, if Changed Since Last Report)
ITEM 1.01. ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT.
On December 23, 2004, Concurrent Computer Corporation, a Delaware
corporation (the "Company" or the "Registrant"), executed a Loan and Security
Agreement by and between Silicon Valley Bank (the "Bank") and the Company (the
"Credit Agreement"). The Credit Agreement provides for a two year $10,000,000
revolving credit line (the "Revolver") and a three year $3,000,000 term loan
(the "Term Loan") and also provides that substantially all of the assets of the
Company will secure the Company's obligations to the Bank thereunder, including
the stock of three of the Company's domestic subsidiaries. The Revolver expires
on December 23, 2006, unless terminated earlier in accordance with its terms,
and the Term Loan expires on December 23, 2007, unless terminated earlier in
accordance with its terms. As of the date of closing of the Credit Agreement,
the Company had no amounts drawn under the Revolver and had drawn down the
entire $3,000,000 under the Term Loan.
Interest on all outstanding amounts under the Revolver is payable monthly
at the Bank's prime rate (5.25% at December 23, 2004) plus 3.25% per annum, and
interest on all outstanding amounts under the Term Loan is payable monthly at a
rate of 8% per annum. The Term Loan is repayable in 36 equal monthly principal
and interest installments of $93,701.40 and the outstanding principal of the
Revolver is due on December 23, 2006, unless the Revolver is terminated earlier
in accordance with its terms.
In addition, the Credit Agreement contains certain financial covenants,
including required financial ratios and a minimum tangible net worth, and
customary restrictive covenants concerning the Company's operations.
ITEM 2.03. CREATION OF A DIRECT FINANCIAL OBLIGATION OR AN OBLIGATION UNDER AN
OFF-BALANCE SHEET ARRANGEMENT OF A REGISTRANT.
The contents of Item 1.01 of this Current Report on Form 8-K are
incorporated into this Item 2.03 by reference.
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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 hereunto duly authorized.
Dated: December 27, 2004.
CONCURRENT COMPUTER CORPORATION
By: /s/ Steven R. Norton
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Steven R. Norton
Executive Vice President and
Chief Financial Officer
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