Company: PLPC
Filing Date: 2025-07-22
Form Type: 8-K
Source: 0000080035-25-000006
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Company: PREFORMED LINE PRODUCTS CO
Filing Date: 2025-07-22
Form: 8-K
Item: Item 1.01
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Item 1.01 Entry into a Material Definitive Agreement

On July 16, 2025, PLP Poland (Belos) S. A. ("PLP Poland"), a subsidiary of Preformed Line Products Company (the “ Company”), entered into a non-revolving investment loan with Bank Polska Kasa Opieki Spółka Akcyjna ("Bank Pekao S. A.") to finance the construction of a new manufacturing plant. The loan is guaranteed by the Company and secured by the current manufacturing plant owned by PLP Poland, the plant under construction and all fixed assets within both plants.

The loan allows for an amount up to PLN100.3 million ($27.4 million) and will bear interest at the one month Warsaw Interbank Offered Rate ("WIBOR") plus 1.0% per annum, unless the Company’s funded debt to Earnings before Interest, Taxes and Depreciation ratio exceeds 3.0 to 1, at which point the WIBOR spread becomes 1.5%. The loan agreement also contains, among other provisions, requirements for maintaining levels of net worth and profitability. The maturity date of the loan is January 31, 2035 and is payable in annual installments in the amounts of PLN5.3 million ($1.5 million) in 2026, PLN9.0 million ($2.5 million) in 2027, PLN9.6 million ($2.6 million) in 2028 through 2034, and PLN18.8 million ($5.2 million) in 2035.

The foregoing summary of the terms of the loan does not purport to be complete and is qualified in its entirety by reference to full text of the Investment Loan Agreement, which is filed as Exhibit 10.1 to this Current Report on Form 8-K and 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.