Item 1.01 Entry into a Material Definitive Agreement.
Third Amendment to Credit Agreement
The Amendment amends the Credit Agreement to increase the amount of indebtedness
that the Company's subsidiary,
The foregoing description of the Amendment is qualified in its entirety by reference to the Amendment attached as Exhibit 10.1 to this Current Report on Form 8-K and is incorporated herein by reference.
Paycheck Protection Program Liquidity Facility Letter of Agreement
On
PPPLF Loans advanced under the PPPLF Agreements must be secured by a pledge of PPP Loans originated or purchased by Square Capital. Each PPPLF Loan shall be in a principal amount equal to the aggregate principal amount of PPP Loans pledged by Square Capital to secure such PPPLF Loan. Advances under the PPPLF shall incur interest at a per annum rate of 0.35%.
The maturity date of any PPPLF Loan (the "Maturity Date") will be the maturity
date of the PPP Loan pledged to secure such PPPLF Loan. The Maturity Date of any
PPPLF Loan will be accelerated on and to the extent of (i) the date of any loan
forgiveness reimbursement by the
PPPLF Loans may be prepaid in full or in part, without penalty. Square Capital shall prepay PPPLF Loans (i) on the date and to the extent of the payment by the SBA for the amount of covered loan forgiveness for any PPP Loan securing such PPPLF Loan; (ii) on the date of purchase by the SBA from Square Capital of a PPP Loan securing such PPPLF Loan to realize on the SBA's guarantee of such PPP Loan; or (iii) on the date and to the extent a borrower under a PPP Loan repays or prepays such PPP Loan, in each case, so that the amount of any PPPLF Loans outstanding does not exceed the outstanding amount of PPP Loans pledged to secure such PPPLF Loans.
--------------------------------------------------------------------------------
The foregoing description of the PPPLF Agreement is qualified in its entirety by reference to the PPPLF Agreement attached as Exhibit 10.2 to this Current Report on Form 8-K and is incorporated herein by reference.
Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an
Off-Balance Sheet Arrangement of a Registrant.
The disclosure in Item 1.01 of this report is incorporated into this Item 2.03 by reference.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits. Exhibit No. Description 10.1 Third Amendment to Credit Agreement, dated as ofJanuary 28, 2021 , by and amongSquare, Inc. , the lenders party thereto, andGoldman Sachs Bank USA , as administrative agent. 10.2 Paycheck Protection Program Liquidity Facility Letter of Agreement, dated as ofJanuary 29, 2021 . 104 Cover Page Interactive Data File (embedded within the Inline XBRL document).
--------------------------------------------------------------------------------
© Edgar Online, source