Item
1.01. Entry into a Material Definitive Agreement.
On July
1, 2008, Vineyard National Bancorp (the “Company”) and First Tennessee Bank
National Association (“First Tennessee”) entered into that certain Fourth
Modification Agreement and Covenant Waiver (the “Modification Agreement”) which,
among other things, extended the maturity date of the Company’s loan from First
Tennessee from June 30, 2008 to August 29, 2008, granted and/or extended the
waiver by First Tennessee of certain financial and other covenant failures of
the Company through August 29, 2008, and increased the interest rate on the
outstanding balance under the loan by forty-five basis points to LIBOR plus
3.50%. The outstanding balance of the loan was $48,300,000 at June
30, 2008. The Company paid First Tennessee a lender fee equal to
0.25% of the outstanding balance of the loan, or $120,750, in connection with
the Modification Agreement.
The
foregoing description of the Modification Agreement is qualified in its entirety
by reference thereto, a copy of which is attached to this Current Report on Form
8-K as Exhibit 10.1 and incorporated herein by reference.
Item 9.01. Financial
Statements and Exhibits.
(d) Exhibits.
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Exhibit
Number
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Description
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10.1
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Fourth
Modification Agreement and Covenant Waiver dated July 1, 2008 between
Vineyard National Bancorp and First Tennessee Bank National
Association.
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SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, as amended, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
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Vineyard
National Bancorp
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(Registrant)
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Dated:
July 3, 2008
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By:
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/s/ Gordon Fong
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Name:
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Gordon
Fong
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Title:
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Executive
Vice President and Chief Financial
Officer
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EXHIBIT
INDEX
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Exhibit
Number
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Description
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|
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10.1
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Fourth
Modification Agreement and Covenant Waiver dated July 1, 2008 between
Vineyard National Bancorp and First Tennessee Bank National
Association.
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