Categories: Investor Definitions

Item 1.01 – Entry into a Material Definitive Agreement | 8-K Explained

This item requires disclosure of certain material agreements not made in the ordinary course of business, or material amendments to those agreements. For example, if a company takes out a five-year loan with a bank or signs a long-term lease, and the loan or lease is material to the company, the agreement must be reported here. But if a retailer already has a chain of stores and signs a lease for one more, the new lease generally would be in the ordinary course of business and would not be reported here.

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