Company: TISI
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0000318833-25-000070
Chunk: 106

Company: TEAM INC
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 8
Chunk 106
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5.50 to 1.00 for the fiscal quarters ending thereafter; and•the modification of certain affirmative and negative covenants and mandatory prepayment requirements, in each case, to permit greater financial flexibility for the Company and its subsidiaries. The terms of the Initial First Lien Term Loan are described in the table below (dollar amounts are presented in thousands):  Maturity date3/12/2030Stated interest rateSOFR+applicable margin (or base+applicable margin)Principal payments$438 quarterlyEffective interest rate9/30/202512.70%Actual interest rate9/30/202510.73%Interest paymentsLast day of borrower-selected interest period, but no later than quarterlyCash paid for interestYTD 9/30/2025$8,098Balances at 9/30/2025Principal balance $174,125Unamortized balance of debt discount and issuance cost1$(7,774)Net carrying balance$166,3511    Consists of debt discount of $3,644 and debt issuance cost of $4,130. The First Lien Term Loan Agreement contains certain conditions to borrowings, events of default and affirmative and negative covenants (including a financial covenant prohibiting the Company from exceeding a maximum First Lien Net Leverage Ratio (as defined therein), tested as of the end of each fiscal quarter). Further, the First Lien Term Loan Agreement includes certain events of default, the occurrence of which may require that we pay an additional 2.0% interest on the outstanding loans and other obligations under the First Lien Term Loan Agreement. As of September 30, 2025, we are in compliance with the covenants.A&R Term Loan Credit Agreement / Second A&R Second Lien Term Loan Credit Agreement  

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      On March 12, 2025, we entered into a Second Amended and Restated Second Lien Term Loan Credit Agreement with the lenders party thereto (“Corre and affiliates”) and Cantor Fitzgerald Securities, as Agent (as amended by the Second Lien Amendment (defined below), the “Second A&R Second Lien Term Loan Agreement”), which amended and restated the existing Amended and Restated Term Loan Credit Agreement, dated June 16, 2023 (the “Existing A&R Term Loan Agreement”). The Existing A&R Term Loan Agreement included a term loan credit agreement entered into on November 9, 2021, as amended through March 29, 2023