EACO Corporation (OTCMKTS:EACO) Files An 8-K Entry into a Material Definitive Agreement

Item 1.01

EACO Corporation (the Company) and
Bisco Industries, Inc., the Companys wholly-owned subsidiary
(Bisco), entered into a Change in Terms
Agreement (Amendment) on May 19, 2017
with its lender, Community Bank (the
Lender) to amend Biscos line of credit
with the Lender, which is evidenced by that certain Promissory
Note dated July 16, 2016, as amended (the
Note). to the Amendment, the maturity
date of the Note was extended from March 1, 2018 to March 1, 2019
and certain covenants were removed from the Note.

As previously reported, the Company entered into a Purchase
Agreement for Real Property and Escrow Instructions (the
Purchase Agreement) with a trust
beneficially owned and controlled by Mr. Glen F. Ceiley, the
Companys Chief Executive Officer, Chairman of the Board and major
stockholder (the Trust). to the
Purchase Agreement, the Trust agreed to sell the real property
located at 1500 North Lakeview Avenue, Anaheim, California (the
Existing Property), which currently
houses the Companys corporate headquarters and Anaheim
distribution center. In connection with this Amendment, Bisco
borrowed an additional $5.0 million under the Note, which was
used to fund part of the purchase price of the Existing Property.
Biscos purchase of the Existing Property was completed on May 19,
2017 in accordance with the terms of the Purchase Agreement
previously disclosed.

In addition, on May 19, 2017, Bisco also entered into a new
Commercial Security Agreement, a Deed of Trust and an Assignment
of Leases and Rents with the Lender to secure Biscos obligations
under the Note. to these agreements, Bisco granted Lender a
security in substantially all of Biscos assets, including, among
other things, the Existing Property and all personal property,
and assigned and granted a security interest to Lender in all
rents, income, profits, proceeds and other benefits from the
Existing Property.

The foregoing descriptions of the Amendment, Commercial Security
Agreement, the Deed of Trust and the Assignment of Leases and
Rents do not purport to be complete and are qualified in their
entirety by reference to the Amendment, the Commercial Security
Agreement, the Deed of Trust and the Assignment of Rents, which
are attached to this report as exhibits and are incorporated
herein by reference.

About EACO Corporation (OTCMKTS:EACO)

EACO Corporation (EACO) is a holding company. The Company, through its subsidiary, Bisco Industries, Inc. (Bisco), is engaged in the distribution of electronic components and fasteners. The divisions of the Company include Bisco industries, National-Precision and Fast-Cor. Bisco supplies parts used in the manufacture of products in a range of industries, including the aerospace, circuit board, communication, computer, fabrication, instrumentation, industrial equipment and marine industries. The Company operates in the United States and Canada. The National-Precision division sells electronic hardware and commercial fasteners to OEMs in the aerospace, fabrication and industrial equipment industries. National-Precision is the distributor of mil-spec and commercial fasteners, hardware and distribution services used in production. The Fast-Cor has access to the entire inventory of products that Bisco offers but focuses on selling to other distributors.

EACO Corporation (OTCMKTS:EACO) Recent Trading Information

EACO Corporation (OTCMKTS:EACO) closed its last trading session 00.00 at 8.22 with 900 shares trading hands.