SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 21, 2023
THE DIXIE GROUP, INC.
(Exact name of registrant as specified in its charter)
|(State or other jurisdiction of incorporation)||(Commission File Number)||(I.R.S. Employer Identification No.)|
|475 Reed Road||Dalton||Georgia||30720|
|(Address of principal executive offices)||(Zip Code)|
|(Registrant's telephone number, including area code)|
(Former name or former address, if changed since last report.)
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 Instruction A.2. below):
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
|Title of each class||Trading Symbol(s)||Name of each exchange on which registered|
|Common Stock, $3 Par Value||DXYN||NASDAQ Stock Market, LLC|
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company o
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Item 8.01 Other Events
On July 26, 2023, The Dixie Group, Inc. announced termination of the previously announced agreement for the sale and leaseback of its distribution facility in Adairsville, Georgia. The Company will continue to pursue a sale leaseback opportunity for one of its facilities with other investors.
Item 9.01 Financial Statement and Exhibits.
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 hereunto duly authorized.
|Date: July 26, 2023||THE DIXIE GROUP, INC.|
By: /s/ Allen L. Danzey
|Allen L. Danzey|
|Chief Financial Officer|
CONTACT: Allen Danzey
Chief Financial Officer
THE DIXIE GROUP ANNOUNCES TERMINATION OF SALE AND LEASEBACK AGREEMENT
DALTON, GEORGIA (July 26, 2023) - The Dixie Group, Inc. (NASDAQ: DXYN) today announced termination of the previously announced agreement for the sale and leaseback of its distribution facility in Adairsville, Georgia. The termination of the agreement was the result of a proposed change in the terms of the purchase by the buyer that the Company deemed unacceptable.
In accordance with its previously announced plan, the Company will continue to pursue a sale leaseback opportunity for one of its facilities with other investors.
Commenting on the announcement, Dan Frierson, the Company’s Chief Executive Officer said, “Although it is unfortunate that our potential buyer for the Adairsville facility changed the terms of the agreement, to terms we did not find acceptable, we are moving forward with our plan to enter into a sale leaseback transaction. We are currently working with multiple parties who have expressed interest in purchasing one of our facilities. The funds expected to be generated by this transaction will be used to further strengthen our balance sheet by reducing the Company’s outstanding debt, better positioning us for future growth.”
This press release contains forward-looking statements. Forward-looking statements are based on estimates, projections, beliefs and assumptions of management and the Company at the time of such statements and are not guarantees of performance. Forward-looking statements are subject to risk factors and uncertainties that could cause actual results to differ materially from those indicated in such forward-looking statements. Such factors include the levels of demand for the products produced by the Company. Other factors that could affect the Company's results include, but are not limited to, availability of raw material and transportation costs related to petroleum prices, the cost and availability of capital, integration of acquisitions, ability to attract, develop and retain qualified personnel and general economic and competitive conditions related to the Company's business. Issues related to the availability and price of energy may adversely affect the Company's operations. Additional information regarding these and other risk factors and uncertainties may be found in the Company's filings with the Securities and Exchange Commission. The Company disclaims any obligation to update or revise any forward-looking statements based on the occurrence of future events, the receipt of new information, or otherwise.