Beazer Homes USA disclosed late today that it had received a notice from one of its lenders on April 30 alleging the company has defaulted on its loan because it has not yet furnished financial reports, including annual audited and quarterly un-audited financial statements.
The notice was sent by The Bank of New York Trust Company National Association, which governs the company's outstanding $103.1 million in unsecured junior subordinated notes due July 2036, Beazer said in a filing late Tuesday with the Securities and Exchange Commission.
The notice says the default will become an "event of default" under the loan agreements if it isn't remedied within 30 days. It isn't clear when the 30-day clock began to tick, but Beazer said in the filing that it plans to "cure this default" on or before May 15.
Beazer was already facing a May 15 deadline for reporting its financials. Last fall, another group of creditors, holders of $1.4 billion of the company's debt declared the company was in default for not filing any official financial documents since March of '07.
Those creditors agreed to give the company an extension for filing the documents with the SEC after Beazer offered to collectively pay those who voted in favor of the extension $18,379,660.
Beazer has said it can't file full earnings reports until an independent auditor finishes work on the company's books. The auditor had uncovered accounting errors that require Beazer to restate its financial statements for 2004 through 2007, impacting financial results back to 1999.