STEIN MART, INC. (NASDAQ:SMRT) Files An 8-K Entry into a Material Definitive Agreement
ITEM 1.01 ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT
The information under Item 2.03 herein is incorporated herein by reference.
ITEM 2.03 CREATION OF A DIRECT FINANCIAL OBLIGATION OR AN OBLIGATION UNDER AN OFF-BALANCE SHEET ARRANGEMENT OF A REGISTRANT
On June 23, 2020, Stein Mart, Inc. (“Stein Mart,” or the “Company”) entered into an agreement to receive a U.S. Small Business Administration Loan (“SBA Loan”) from Harvest Small Business Finance, LLC related to the COVID-19 pandemic in the amount of $10.0 million. The SBA Loan has a fixed interest rate of 1% and a maturity date five years from the date on which the Company applies for loan forgiveness under section 1106 of the CARES Act. to the terms of the SBA Loan, the Company may apply for forgiveness of the amount due on the SBA Loan in an amount equal to the sum of the following costs incurred by the Company during the period commencing on the date of first disbursement of the Loan and ending upon the earlier of (i) 24 weeks after the date of the first disbursement of the Loan and (ii) December 31, 2020 (such period, the “Covered Period”): payroll costs, payment on a covered rent obligation, and any covered utility payment. The amount of SBA Loan forgiveness shall be calculated in accordance with the requirements of the Paycheck Protection Program, including the provisions of Section 1106 of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), although no more than 40% of the amount forgiven can be attributable to non-payroll costs.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS
STEIN MART INC Exhibit
EX-10.1 2 ex101smrtppploan.htm EX-10.1 DocumentharvestNOTESBA Loan #8605087910SBA Loan NameStein Mart,…
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About STEIN MART, INC. (NASDAQ:SMRT)
Stein Mart, Inc. is a national retailer offering the fashion merchandise, service and presentation of a department or specialty store. The Company offers apparel for women and men, as well as accessories, shoes and home fashions. The Company’s target customers are women over 45 years old. The Company operates approximately 280 stores in over 30 states and an Internet store. Its stores are located in the Northeast, Midwest, Southeast, Texas and the Southwest. It is concentrated in the Southeast and Texas where over 180 of its stores are located. The Company’s stores offer a range of services, such as merchandise locator service, a Preferred Customer program, co-branded and private label credit card programs, and electronic gift cards. The Company’s merchants purchase products from approximately 1,200 vendors. It leases all of its store locations, generally for approximately 10 years with options to extend the lease term for over two or five year periods.
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