UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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 20, 2018
LAKE AREA CORN PROCESSORS, LLC | ||
(Exact name of registrant as specified in its charter) | ||
South Dakota | 000-50254 | 46-0460790 |
(State or other jurisdiction of incorporation or organization) | (Commission File Number) | (I.R.S. Employer Identification No.) |
46269 SD Highway 34 P.O. Box 100 Wentworth, South Dakota 57075 | ||
(Address of principal executive offices) | ||
(605) 483-2676 | ||
(Registrant's telephone number, including area code) | ||
Check the appropriate box below 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)) |
Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
o | Emerging Growth Company |
o | If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. |
Item 1.01 Entry into a Material Definitive Agreement
On December 20, 2018, Lake Area Corn Processors, LLC (the "Company") entered into a loan amendment to accommodate a change to the calculation of the debt service coverage ratio pursuant to the Company's loan agreement. We must maintain a debt service coverage ratio of 1.25:1.00. Debt service coverage ratio is defined as net profit plus depreciation and amortization, minus gain (loss) on sale of fixed assets divided by $1,000,000.00 for fiscal years 2018 and 2019 and divided by $4,500,000 for fiscal year 2020 and thereafter.
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.
LAKE AREA CORN PROCESSORS, LLC | |||
Date: | December 21, 2018 | /s/ Robbi Buchholtz | |
Robbi Buchholtz, Chief Financial Officer | |||