UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 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) June 29, 1998
WORK RECOVERY, INC.
(Exact Name of Registrant as Specified in its Charter)
Delaware
(State or Other Jurisdiction of Incorporation)
0-18695 86-0848910
(Commission File Number) (IRS Employer
Identification No.)
1121 East Missouri Avenue, Suite 100, Phoenix, Arizona 85014
(Address of Principal Executive Offices) (Zip Code)
(602) 274-6707
(Registrant's Telephone Number, Including Area Code)
Not Applicable
(Former Name or Former Address, if Changes Since Last Report)
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ITEM 5 OTHER EVENTS
ITEMS DEEMED OF IMPORTANCE TO SHAREHOLDERS
Subsequent to emerging from bankruptcy, Work Recovery, Inc. ("the Company")
has received a total of $2,000,000 from a $2,000,000 line of credit from
Allsup Inc. and Quest Trading, Inc. (collectively, "the Lenders"). The loan
is secured by a security interest in all of the Company's personal property,
including its intellectual property. The Lenders previously extended the loan
maturity date from December 31, 1997 to April 16, 1998 and then to May 15, 1998.
However, the Company has subsequently received a notice of default from the
lenders and is currently attempting to negotiate an additional extension of
the loan maturity date. There can be no assurance such extension will be
granted. If the Company is unable to obtain an extension of the loan maturity
date, the Lenders may enforce their right to foreclose on their security
interest.
In addition, the Company is continuing in its attempts to obtain additional
investment capital. However, such efforts may not be successful considering
the tenuous financial condition of the Company.
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.
WORK RECOVERY, INC.
(Registrant)
By /s/ VERNON S. SCHWEIGERT
Vernon S. Schweigert
President and Chief Operating Officer
Date June 29, 1998
