RadioShack Lender Claims Retailer Broke Loan Agreement
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RadioShack Corp. lender Salus Capital Partners LLC claimed the retailer defaulted on a borrowing agreement by accepting an October bailout from shareholder Standard General LP, according to a regulatory filing.
Salus, which holds part of RadioShack’s $250 million second-lien term loan due December 2018, said in a notice sent to the company that the retailer breached four sections of the credit agreement governing the loan, according to the filing today. The notice demands immediate payment of the debt.