UNITED STATES
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 10, 2007
ASTA FUNDING, INC.
(Exact name of registrant as specified in its charter)
Delaware
(State or other jurisdiction of incorporation)
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| 0-26906
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22-3388607 |
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| (Commission File Number)
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(IRS Employer Identification No.) |
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| 210 Sylvan Avenue, Englewood Cliffs, New Jersey
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07632 |
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| (Address of principal executive offices)
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(Zip Code) |
Registrant’s telephone number, including area code: 201-567-5648
Check the appropriate box below if the Form 8-K is intended to simultaneously satisfy the
filing obligation of the registrant under any of the following provisions (see General Instruction
A.2 below): N/A
o Written communications pursuant to Rule 425 under the Securities Act
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act
TABLE OF CONTENTS
Item 1.01 Entry into a Material Definitive Agreement
On
December 4, 2007, Asta Funding, Inc. (the “Company”)
and certain of its subsidiaries entered into the Sixth Amendment to
the Fourth Amended and Restated Loan Agreement (the “Sixth
Amendment”) with a consortium of banks.
The Sixth Amendment modifies the Fourth Amended and Restated Loan
Agreement by
providing for a temporary increase in the revolving loan
commitment from $175,000,000 to $185,000,000. The temporary increase
amount of $10,000,000 (the “Temporary Line Increase
Amount”) is required to be reduced to zero by February
29, 2008. In the event the Temporary Line Increase Amount is not fully reduced to zero by
February 29, 2008, the revolving loan commitment shall nevertheless be reduced to $175,000,000 and the then outstanding portion of the Temporary
Line Increase Amount is required to be
reduced over a six month period in substantially equal monthly amounts.
Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet
Arrangement of a Registrant.
The information set forth above in Item 1.01 of this current report on Form 8-K regarding the
Credit Facility is hereby incorporated into this Item 2.03 by reference.
Item 9.01 Financial Statements and Exhibits
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| Exhibit |
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Description |
10.1
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Sixth Amendment to the Fourth Amended and Restated Revolving Note |