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 15, 1997
Credit Acceptance Corporation
(Exact name of registrant as specified in its charter)
Michigan
(State or other jurisdiction of incorporation)
000-20202 38-1999511
(Commission File Number) (IRS Employer Identification No.)
25505 West Twelve Mile Road, Suite 3000, Southfield, Michigan 48034-8339
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (248) 353-2700
Not Applicable
(Former name or former address, if changed since last report)
ITEM 5. OTHER EVENTS.
On December 15, 1997, Credit Acceptance Corporation issued a press
release announcing that amendments to its loan agreements had been approved
by holders of its senior notes and by its bank lenders. The press release
is attached hereto as Exhibit 99 and is incorporated herein by reference.
ITEM 7: FINANCIAL STATEMENTS AND EXHIBITS
Exhibit 99:Press Release, dated December 15, 1997.
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.
December 17, 1997 CREDIT ACCEPTANCE CORPORATION
/s/ Brett A. Roberts
-----------------------------
By: Brett A. Roberts
Executive Vice President and
Chief Financial Officer
Exhibit 99
Credit Acceptance Corp. Announces Amendments to its
Loan Agreements Have Been Approved
SOUTHFIELD, Mich. -- Dec. 15, 1997 -- Credit Acceptance Corporation
(Nasdaq/ NMS: CACC) announced today that amendments to its loan agreements
had been approved by its holders of senior notes and its banks. Such
amendments were required as a result of the violation of a fixed charge
coverage covenant based on the Company's third quarter financial results.
The Company had previously announced that it had obtained a temporary waiver
of this covenant violation until a longer term amendment could be finalized.
The new amendments modify the required fixed charge coverage ratio and add
several new financial covenants to both its senior note and bank agreements.
The amendments to the Company's senior note agreements additionally provide
for a 50 basis point increase in the interest paid on such notes until such
time as the Company improves its debt ratings.
Credit Acceptance Corporation is a specialized financial services
company which provides funding, receivables management, collection, sales
training and related products and services to automobile dealers selling
vehicles to consumers with limited access to traditional sources of consumer
credit.
