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) May 22, 2014

 

PSYCHEMEDICS CORPORATION

(Exact Name of Registrant As Specified In Its Charter)

 

 

Delaware

(State or Other Jurisdiction of Incorporation)

 

 

1-13738 58-1701987
(Commission File Number) (I.R.S. Employer Identification No.)
   
   
125 Nagog Park, Acton, Massachusetts 01720
(Address of Principal Executive Offices) (Zip Code)

 

 

(978) 206-8220

(Registrant’s Telephone Number, Including Area Code)

 

 

N/A

(Former name or former address, 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 Instructions 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 13e4(c) under the Exchange Act (17 CFR 240.13e-4(c))
 
 

 

ITEM 2.03CREATION OF A DIRECT FINANCIAL OBLIGATION OR AN OBLIGATION UNDER AN OFF-BALANCE SHEET ARRANGEMENT OF A REGISTRANT.

 

On May 22, 2014, Psychemedics Corporation (the “Company”), drew down under its equipment financing arrangement with Banc of America Leasing & Capital, LLC, which included a Master Loan and Security Agreement and related documentation (collectively the “Equipment Loan Arrangement”) an equipment loan evidenced by an Equipment Note in the principal amount of $1,935,241.38. The due date under the Equipment Note is May 22, 2019 and the Equipment Note bears interest each month at the then current 30-day LIBOR rate + 2.00% (which would amount to an annual rate of 2.15% as of the date of filing of this report). Principal and interest are payable over the 60-month repayment period and principal can be repaid without premium or penalty. The Equipment Note is secured by a first priority security interest in the equipment to be acquired with the proceeds of the Equipment Note. A description of the Equipment Loan Arrangement is provided under the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on March 26, 2014, and a copy of the documentation evidencing the Equipment Loan Arrangement was included as Exhibits 10.2 and 10.3 to the Company’s Quarterly Report on Form 10-Q for the First Quarter of 2014 filed on May 1, 2014.

 

 

 

SIGNATURE

 

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.

 

  PSYCHEMEDICS CORPORATION
Dated: May 23, 2014    
     
     
  By: /s/ Neil L. Lerner  
    Neil L. Lerner,
    Vice President – Finance