UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
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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): April 3, 2006
KADANT INC.
(Exact Name of Registrant as Specified in its Charter)
Delaware 1-11406 52-1762325
(State or Other (Commission File Number) (IRS Employer
Jurisdiction Identification No.)
of Incorporation)
One Acton Place
Acton, Massachusetts 01720
(Address of Principal Executive Offices) (Zip Code)
(978) 776-2000
Registrant's telephone number, including area code
Not Applicable
(Former Name or Former Address, if Changed Since Last Report)
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:
[ ] Written communications pursuant to Rule 425 under the Securities
Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange
Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
KADANT INC.
Item 1.01 Entry into a Material Definitive Agreement.
On April 3, 2006, Kadant Inc., a Delaware corporation ("Kadant" and the
"Borrower"), entered into a Third Amendment (the "Amendment") to the Credit
Agreement dated as of May 9, 2005 (as amended to date, the "Credit Agreement"),
among Kadant, the Foreign Subsidiary Borrowers from time to time parties
thereto, the several lenders from time to time parties thereto, and JPMorgan
Chase Bank, N.A., as Administrative Agent. This Amendment increases the total
borrowing capacity under the revolving line of credit from $25 to $35 million,
increases the letter of credit and multi-currency borrowing sublimit to the full
amount of the facility ($35 million), and adds an additional lending participant
to the Credit Agreement, Bank of China, New York branch. The amount we are able
to borrow under the revolving line of credit is the total borrowing capacity
less any outstanding letters of credit and multi-currency borrowings issued
under the Credit Agreement.
This Amendment was entered into in anticipation of our proposed
acquisition of Jining Huayi Light Industry Machinery Co., Ltd. for a purchase
price of approximately $20 million, subject to adjustment. This acquisition is
expected to close in the second quarter of 2006 and we plan to finance the
acquisition through a combination of cash and borrowings. The completion of the
acquisition is subject to a number of conditions and there is no assurance that
the acquisition will be completed.
The forgoing description of the Amendment does not purport to be a
complete statement of the terms and conditions of the Amendment and is qualified
in its entirety by reference to the full text of the Amendment filed with this
report as Exhibit 99.1.
Item 9.01 Financial Statements and Exhibits.
(c) Exhibits
No. Description
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99.1 Third Amendment to the Credit Agreement dated April 3,
2006, among Kadant, the Foreign Subsidiary Borrowers from
time to time parties thereto, the several lenders from time
to time parties thereto, and JPMorgan Chase Bank, N.A., as
Administrative Agent.
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KADANT INC.
SIGNATURE
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.
KADANT INC.
Date: April 7, 2006 By: /s/ Thomas M. O'Brien
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Thomas M. O'Brien
Executive Vice President and
Chief Financial Officer
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