SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): March 1, 2012
(Exact name of registrant as specified in its charter)
(Registrants telephone number, including area code)
(Former name or former address, if changed since last report)
Check the appropriate box if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Section 2 - FINANCIAL INFORMATION
ITEM 2.03. CREATION OF A DIRECT FINANCIAL OBLIGATION OR AN OBLIGATION UNDER AN OFF-BALANCE SHEET ARRANGEMENT OF A REGISTRANT.
On March 1, 2012, Cagles, Inc. and its wholly owned subsidiary Cagles Farms, Inc. (the Company) entered into a letter agreement substituting new Sale Transaction Benchmarks under the Debtor in Possession Credit and Security Agreement signed October 24, 2011 and amended by the First Amendment to Debtor in Possession Credit and Security Agreement on November 23, 2011, and by previous letter agreements dated December 22, 2011, January 26, 2012 and February 16, 2012 (the Agreement) with AgSouth Farm Credit, ACA, an agricultural credit association (the Lender).
The original Debtor in Possession Credit and Security Agreement defined the requirements for an acceptable reorganization plan. The First Amendment to Debtor in Possession Credit and Security Agreement also required the Company to initiate a process to sell a significant portion or substantially all of the Companys assets in 90 days and to meet certain progress benchmarks in connection with such sale. The previous letter agreements extended the benchmarks.
This letter agreement dated March 1, 2012, extends until March 16, 2012, the deadline for executing a Sale Transaction Agreement covering substantially all, or a significant portion of, the Companys assets. The deadline for filing a motion in bankruptcy court to approve the Sale Transaction is extended until March 19, 2012.
No other changes to the Agreement materially modify the description in the Companys previous 8-K filings.
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.