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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM 8-K
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CURRENT REPORT
Pursuant to Section 13 of the Securities Exchange Act of 1934.
Date of Report (Date of Earliest event reported): January 10, 1997
WSMP, INC.
(Exact name of registrant as specified in its charter)
NORTH CAROLINA 0-7277 56-0945643
(State or other (Commission File Number) (IRS Employer)
jurisdiction of Identification
incorporation) Number)
CLAREMONT, NORTH CAROLINA 28610
(Address of principal executive office) (Zip Code)
Registrant's telephone number, including area code: (704) 459-7626
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Item 1. Changes in Control of Registrant.
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None.
Item 2. Acquisition or Disposition of Assets.
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None.
Item 3. Bankruptcy or Receivership.
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None.
Item 4. Changes in Registrant's Certifying Accountant.
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None.
Item 5. Other Events.
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On January 10, 1997, WSMP, Inc. completed the refinancing of its long-term
indebtedness by executing a $5,000,000 five year term loan agreement with
SouthTrust Bank of North Carolina, located in Concord, North Carolina. This was
the third in a series of transactions by which WSMP acquired $13.5 million in
new financing, replacing $11.5 million in existing financing and providing $2
million in additional working capital.
On November 22, 1996, WSMP entered into a Financing and Security Agreement
with National Bank of Canada by which it acquired a $6,000,000 revolving credit
facility, replacing a $4,000,000 line of credit with NationsBank, N.A. This
credit facility is secured by a lien upon WSMP's food manufacturing inventory
and accounts receivable.
On December 31, 1996, WSMP entered into a Term Loan Agreement with First
Century Bank of Wytheville, Virginia by which WSMP acquired $1,900,000 in new
financing, secured by two restaurant properties and two vacant tracts of land
and by shares of Sagebrush, Inc. common stock. These proceeds, when added to
approximately $600,000 realized by the simultaneous sale of WSMP's Lexington
Park, Maryland restaurant, produced $2,500,000 which was applied to the
Company's existing term loan debt with its primary lenders, Aetna Life Insurance
Company and Phoenix Home Life Mutual Insurance Company.
On January 10, 1997, WSMP entered into a Term Loan Agreement with
SouthTrust for $5 million in financing, the proceeds of which were used to
complete the retirement of the Aetna and Phoenix term debt. The SouthTrust
indebtedness is secured by a lien upon ten restaurant properties located in
North Carolina, as well as four restaurant properties in other states, and the
Company's ham curing facility and corporate headquarters property in Claremont,
North Carolina.
Item 6. Resignations of Registrant's Directors.
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None.
Item 7. Financial Statements and Exhibits.
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(a) None.
(b) None.
(c) None.
Item 8. Change in Fiscal Year.
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None.
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.
WSMP, INC.
BOBBY G. HOLMAN
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Bobby G. Holman
Chief Financial Officer
January 29, 1997
