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): October 6, 2015
_______________
Quantum Corporation
(Exact name of Registrant
as Specified in its Charter)
Delaware |
1-13449 |
94-2665054 |
(State or Other Jurisdiction |
(Commission File |
(I.R.S. Employer |
of Incorporation) |
Number) |
Identification
No.) |
224 Airport
Parkway
San Jose, CA 95110
(Address of Principal Executive Offices)
(408) 944-4000
(Registrants
telephone number, including area code)
_______________
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 13e-4(c) under the Exchange Act (17 CFR
20.13e-4(c)) |
Item 2.02 Results of
Operations and Financial Condition.
Item 7.01 Regulation FD
Disclosure.
On October 6, 2015, Quantum
Corporation (the Company) issued a press release announcing preliminary total
revenue for its fiscal second quarter (ended Sept. 30, 2015), which is attached
hereto as Exhibit 99.1.
The information in this
report furnished pursuant to Items 2.02 and 7.01, including Exhibit 99.1
attached hereto, shall not be deemed filed for the purposes of Section 18 of
the Securities and Exchange Act of 1934, as amended (the Exchange Act), or
otherwise subject to the liabilities of that section. It may only be
incorporated by reference in another filing under the Exchange Act or the
Securities Act of 1933, as amended, if such subsequent filing specifically
references the information furnished pursuant to Items 2.02 and 7.01 of this
report.
Item 8.01 Other Events.
The Company also announced
its repayment of approximately $81 million of its 3.5% convertible notes due
November 15, 2015 at a price equal to the par amount of the notes plus interest
to maturity. The Company used approximately $66 million from its revolving $75
million credit facility with Wells Fargo Capital Finance LLC and approximately
$16 million of cash on hand to fund the repayment.
Item 9.01 Financial
Statements and Exhibits.
(d) Exhibits.
Exhibit No. |
|
Exhibit
Description |
99.1 |
|
Press Release, dated October 6,
2015 |
2
SIGNATURES
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, thereunto duly
authorized.
Date: October 6, 2015 |
Quantum Corporation |
|
|
By: |
/s/ Shawn D. Hall |
|
Name: |
Shawn D. Hall |
|
Its: |
Senior Vice President, General Counsel and
Secretary |
Exhibit Index
Exhibit
No. |
|
Exhibit
Description |
99.1 |
|
Press Release, dated October 6,
2015 |
|
News Release |
Contact: |
For
Release: |
Brad Cohen |
Oct. 6,
2015 |
Public Relations |
5:05 a.m.
PDT |
Quantum
Corp. |
|
(408) 944-4044 |
|
brad.cohen@quantum.com |
|
Brinlea Johnson or Allise
Furlani
Investor Relations
The
Blueshirt Group
(212)
331-8424
or (212)
331-8433
brinlea@blueshirtgroup.com or allise@blueshirtgroup.com
Quantum Repays $81 Million
in Convertible Notes Due November 2015
Company Also Reports Preliminary Revenue for
Fiscal Second Quarter
SAN JOSE, Calif. Oct. 6,
2015 Quantum
Corp.
(NYSE: QTM) today announced that on Oct. 5,
2015, it
repaid
approximately $81 million in convertible
notes
due Nov.
15, 2015, at par, and approximately $1 million in interest.
To repay
the
notes all of which were held by one holder
the
company
used approximately $66
million
from its revolving $75 million credit facility
with
Wells Fargo Capital Finance, LLC. In
addition, Quantum used
approximately $16 million of the more than $60 million
it had
in total
cash on hand to cover
approximately $15 million in notes plus interest. The
company
will repay holders of the remaining $3
million
of the convertible notes no
later
than the Nov. 15 maturity
date.
In conjunction
with the
debt repayment announcement,
Quantum
reported that it expects total
revenue
for its fiscal second quarter (ended Sept.
30, 2015) to be in the range of $116 million to $118
million. This is approximately
2-3
percent below the low end of the $120
million
to $130 million range the company
provided
in its July guidance, primarily
driven
by a quarter-end sales backlog
of
approximately $8 million to $9
million,
which is
significantly stronger than
the
companys typical quarterly
backlog
of approximately $1 million.
This
large backlog reflected strong
end-of-quarter demand,
particularly in scale-out storage,
with an
unusually high number of customers placing orders
in the last three days of the quarter. Because of the magnitude and timing of
the orders received at quarter-end and a shortage of parts available from
Quantums disk suppliers, the company did not complete production of all the
orders received during the quarter but will ship these orders in the fiscal
third quarter.
-more-
Quantum Repays $81 Million in
Convertible Notes Due November 2015
Oct. 6, 2015, 5:05 a.m. PDT Page 2
Were pleased that weve repaid
nearly all of our November 2015 convertible notes and that we had strong demand
for our solutions in Q2, said Jon Gacek, president and CEO of Quantum. Our
scale-out storage momentum continued, and we also saw an uptick in data
protection revenue from Q1, including tape revenue. While we are disappointed
that we were unable to get everything shipped during the quarter, the strong
customer demand speaks to the power of our offerings and the value we deliver.
Looking ahead, we remain optimistic about our business and continue to target
full-year scale-out storage revenue growth of 50 percent. Finally, although
these are only preliminary results, we expect to have generated cash from
operations and increased total cash for Q2.
Fiscal Second Quarter
Earnings Conference Call and Audio Webcast Notification
Quantum will issue a news release on its fiscal
second quarter financial results on Thursday, Oct. 29, 2015, after the close of
the market. The company will also hold a conference call and live audio webcast
to discuss these results that same day at 2:00 p.m. PDT. Press and industry
analysts are invited to attend in listen-only mode.
Dial-in number: 719-457-2689 (U.S. and International);
access code: 532638
Replay number: 719-457-0820 (U.S. and International);
access code: 532638
Replay expiration: Tuesday, Nov. 3, 2015, at 5:00 p.m.
PST
Webcast site: www.quantum.com/investors
About Quantum
Quantum is a leading expert in
scale-out storage, archive and data protection, providing solutions for
capturing, sharing and preserving digital assets over the entire data lifecycle.
From small businesses to major enterprises, more than 100,000 customers have
trusted Quantum to address their most demanding data workflow challenges. With
Quantum, customers can Be Certain they have the end-to-end storage foundation
to maximize the value of their data by making it accessible whenever and wherever needed, retaining it
indefinitely and reducing total cost and complexity. See how at www.quantum.com/customerstories.
###
-more-
Quantum Repays $81 Million in
Convertible Notes Due November 2015
Oct. 6, 2015, 5:05 a.m. PDT Page 3
Quantum, the Quantum logo and
Be Certain are either registered trademarks or trademarks of Quantum Corporation
and its affiliates in the United States and/or other countries. All other
trademarks are the property of their respective owners.
Safe Harbor Statement: This
press release contains forward-looking statements. All statements other than
statements of historical fact are statements that could be deemed
forward-looking statements. Specifically, but without limitation, statements
that: i) we will repay holders of the remaining $3 million of the convertible
notes no later than the Nov. 15 maturity date, ii) relate to preliminary results
for the Companys fiscal second quarter (ended Sept. 30, 2015), including
expected total revenue, sales backlog, generation of cash from operations and
increasing total cash, iii) we will ship uncompleted orders in the fiscal third
quarter, and iv) we remain optimistic about our business and continue to target
full-year scale-out storage revenue growth of 50 percent, are forward-looking
statements within the meaning of the Safe Harbor. All forward-looking statements
in this press release are based on information available to Quantum on the date
hereof. These statements involve known and unknown risks, uncertainties and
other factors that may cause Quantums actual results to differ materially from
those implied by the forward-looking statements. More detailed information about
these risk factors are set forth in Quantums periodic filings with the
Securities and Exchange Commission, including, but not limited to, those risks
and uncertainties listed in the section entitled Risk Factors, in Quantums
Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission
on August 13, 2015 and in Quantums Annual Report on Form 10-K filed with the
Securities and Exchange Commission on June 12, 2015. Quantum expressly disclaims
any obligation to update or alter its forward-looking statements, whether as a
result of new information, future events or otherwise, except as required by
applicable law.
-end-