Viad Corp (NYSE:VVI) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01
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ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT |
Effective December 28, 2016, Brewster Inc. (Brewster), a
wholly-owned subsidiary of Viad Corp (the Company), entered into
a credit agreement (the Credit Agreement) for a $38 million
revolving credit facility (the Revolving Credit Facility), with
BMO Harris Bank N.A. (the Lender), one of the lenders under the
Companys existing $300,000,000 credit facility (the Viad Credit
Facility).Loans under the Credit Agreement have a maturity date
of December 28, 2017, and proceeds from the loans made under the
Credit Agreement will be used in connection with the Companys
acquisition of the business of FlyOver Canada, potential future
acquisitions in Canada, and other general corporate purposes of
Brewster.The Lender will have a first perfected security interest
in all of the personal property of Brewster under the Revolving
Credit Facility and a guaranty from Brewster Travel Canada, Inc.,
the immediate parent of Brewster, (secured by its present and
future personal property), the Company, and all current or future
subsidiaries of the Company that are required to be guarantors
under the Viad Credit Facility.
The Credit Agreement contains representations and warranties
customary for similar transactions, and the affirmative and
negative covenants are substantially the same as those contained
in the credit agreement for the Viad Credit Facility.The Credit
Agreement contains certain events of default customary for credit
facilities of this type (with customary grace periods, as
applicable), including, but not limited to: material
incorrectness of a representation or warranty when made;
nonpayment of principal or interest when due; breach of covenants
or other terms; acceleration or payment default on other material
indebtedness; unstayed material judgment beyond specified
periods; change of control of the Company; invalidation of any
guaranty or collateral document under the Credit Agreement; and
any default under the credit agreement for the Viad Credit
Facility.If any events of default occur and are not cured within
applicable grace periods or waived, the outstanding loans under
the Credit Agreement may be accelerated and the Lenders
commitments may be terminated.The occurrence of a bankruptcy or
insolvency event of default will result in the automatic
termination of commitments and acceleration of outstanding loans
under the Credit Agreement.
Other than in respect of the Credit Agreement, the Viad Credit
Facility, and an existing commercial banking relationship, the
Company and its affiliates do not have any material relationships
with the Lender.The foregoing description is qualified by
reference to the full text of the Credit Agreement, a copy of
which is attached hereto as Exhibit 4 and is incorporated by
reference herein.
Item 2.03CREATION OF A DIRECT FINANCIAL OBLIGATION OR AN
OBLIGATION UNDER AN OFF-BALANCE SHEET ARRANGEMENT OF A REGISTRANT
The information set forth under Item 1.01 above is incorporated
herein as if fully set forth herein.
Item 9.01FINANCIAL STATEMENTS AND EXHIBITS
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(d) |
Exhibits |
4 Credit Agreement dated as of December 28, 2016 between Brewster
Inc. and BMO Harris
Bank N.A.
About Viad Corp (NYSE:VVI)
Viad Corp is an international experiential services company. The Company has operations in the United States, Canada, the United Kingdom, continental Europe and the United Arab Emirates. The Company conducts its operations through three business segments: the Marketing & Events U.S. Segment (U.S. Segment), the Marketing & Events International Segment (the International Segment) (collectively, the Marketing & Events Group), and the Travel & Recreation Group. The Marketing & Events Group, which includes the operations of Global Experience Specialists, Inc. (GES), is a global provider for live events. The Travel & Recreation Group provides experiential travel services in iconic locations. The Marketing & Events Group, through GES, produces exhibitions, congresses and conferences, corporate events, consumer events, exhibits and entertainment experiences. The Travel & Recreation Group has a collection of hotels, lodges, recreational attractions and transportation services. Viad Corp (NYSE:VVI) Recent Trading Information
Viad Corp (NYSE:VVI) closed its last trading session up +0.05 at 44.10 with 75,638 shares trading hands.