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): February 29, 2008
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RCM Technologies, Inc.
(Exact Name of Registrant as Specified in Charter)
Nevada 1-10245 95-1480559
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(State or Other (Commission File (I.R.S. Employer
Jurisdiction of Number) Identification No.)
Incorporation)
2500 McClellan Avenue, Suite 350
Pennsauken, NJ 08109-4613
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: (856) 486-1777
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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):
[ ] Written communications pursuant to Rule 425 under the Section 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)).
Item 1.01 Entry into a Material Definitive Agreement.
On February 29, 2008, RCM Technologies, Inc. (the "Registrant") and RCM
Technologies Services Company, Inc. (together with the Registrant, "RCM"),
entered into a Repayment and Security Agreement (the "Agreement") with Ideal
Interiors, Inc. ("Ideal"), Creative Interiors Plus, LLC ("Creative"), DJJ, Inc.
("DJJ") and Ideal Structural Security, Inc. ("Structural," together with Ideal,
Creative and DJJ, collectively the "Trade Debtors"), and Frank S. DeGrande,
Ricardo R. Rivera, Cadil Rodriguez and Louis Serrante, as guarantors of the
obligations of the Trade Debtors (such guarantors, collectively, the
"Guarantors").
Under the Agreement, the Trade Debtors have agreed to the terms on which they
will pay in full their obligations to RCM for various services provided by RCM
pursuant to various agreements and orders referenced in the Agreement. The total
amount due from the Trade Debtors to RCM is $7,456,252.93, of which $1,000,000
was paid on the execution of the Agreement and $200,000 shall be paid to RCM on
or before March 14, 2008. Of the remaining $6,256,252.93, $1,250,000 will be
paid not later than July 1, 2008, with the remaining amount due in equal monthly
installments over the three years following that date. Outstanding amounts bear
interest at a rate of 6.00% per annum.
The payment of all amounts due under the Agreement by the Trade Debtors and the
performance of all other obligations of Trade Debtors referred to therein is
secured by a perfected security interest in and lien upon all of the Trade
Collateral (as defined in the Agreement) and all of Trade Debtors' right, title
and interest in and to all accounts.
Each of the Guarantors has unconditionally guaranteed and become surety for all
of the obligations of the Trade Debtors under the Agreement.
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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.
RCM TECHNOLOGIES, INC.
By: /S/Stanton Remer
Stanton Remer
Chief Financial Officer, Treasurer and
Secretary
Dated: March 4, 2008