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U.S. 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): JUNE 29, 2005
STARTEK, INC.
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(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)
DELAWARE 1-12793 84-1370538
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(STATE OR OTHER JURISDICTION OF INCORPORATION OR ORGANIZATION) (COMMISSION FILE NUMBER) (I.R.S. EMPLOYER IDENTIFICATION NO.)
100 GARFIELD STREET STE 300, DENVER, COLORADO 80206
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(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES; ZIP CODE)
(303) 399-2400
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(REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE)
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(FORMER NAME, FORMER ADDRESS AND FORMER FISCAL YEAR,
IF CHANGED SINCE LAST REPORT)
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 SECURITIES 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))
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ITEM 1.01. ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT
On June 29, 2005 the Company amended and renewed its Revolving Line of Credit
agreement with Wells Fargo Bank, NA.
The amendment extends the last day under which the Bank will make advances under
the Line of Credit to June 30, 2007. The tangible net worth the Company must
hold at December 31, 2004 has been amended to $90,000,000. We must generate
minimum Net Profit After Tax of $1.00 on a rolling four-quarter basis, measured
quarterly, and are not permitted to incur net losses in any two consecutive
quarterly periods. At the close of each subsequent quarter, we will be required
to have a minimum tangible net worth equal to the minimum tangible net worth we
were required to have at the end of the prior fiscal period plus 25% of net
income (if positive). The outstanding principal balance of the Note shall bear
interest at either a fluctuating rate per annum 1% below the Prime Rate or at a
fixed rate per annum determined by Bank to be 1.5% above LIBOR. Interest is
payable on a monthly basis, and the maximum borrowing shall not exceed
$10,000,000. A copy of the amendment is attached as Exhibit 10.34 to this
Current Report on Form 8-K.
ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
EXHIBIT NO. DESCRIPTION
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10.34 Renewal and Amended Credit Agreement
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
STARTEK, INC.
Date: July 5, 2005 By: /s/ Steven D. Butler
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Steven D. Butler
President and Chief Executive Officer
EXHIBIT INDEX
EXHIBIT NO. DESCRIPTION
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10.34 Renewal and Amended Credit Agreement