{"url_path":"/sec/domo/10-q/2026/item-5","section_key":"item-5","section_title":"Item 5 Other Information","topic":"sec","document":{"doc_type":"10-Q","doc_date":"2026-06-15","source_url":"https://www.sec.gov/Archives/edgar/data/1505952/0001628280-26-043173-index.html","accession_number":"0001628280-26-043173","cik":"0001505952","ticker":"DOMO","issuer_name":"DOMO, INC.","edgar_url":"https://www.sec.gov/Archives/edgar/data/1505952/0001628280-26-043173-index.html","primary_entity_key":"0001505952","primary_entity_name":"DOMO, INC."},"word_count":397,"has_tables":true,"body_markdown":"Item 5. Other Information\n\nSecurities Trading Plans of Directors and Executive Officers.\n\nDuring our last fiscal quarter, no director or officer, as defined in Rule 16a-1(f), adopted or terminated a “Rule 10b5-1 trading arrangement” or a “non-Rule 10b5-1 trading arrangement,” each as defined in Regulation S-K Item 408.\n\nCredit Facility Default and Entry into Forbearance Agreement\n\nThe Company's August 8, 2023 Amended and Restated Loan and Security Agreement, as amended (the \"Credit Facility\"), which is secured by substantially all of the Company's assets, contains financial covenants that include a minimum annualized recurring revenue covenant and a minimum trailing twelve month consolidated EBITDA covenant, each tested quarterly, and a minimum liquidity covenant tested monthly. On June 12, 2026, the Company determined that as of April 30, 2026, the Company was not in compliance with the minimum annualized recurring revenue covenant. As a result, the lenders have the right to declare the outstanding balance of $136.6 million of principal and related fees immediately due and payable.\n\n75\n\nThe Company had cash and cash equivalents of $39.1 million as of April 30, 2026, which would not be sufficient to repay the term loan upon any such acceleration.\n\nIn connection with the covenant noncompliance described above, on June 12, 2026, the Company entered into a forbearance agreement with the lenders from time to time party to the Credit Facility (the “Lenders”), Obsidian Agency Services Inc., as collateral agent for the Lenders, and Wilmington Trust, National Association, as administrative agent for the Lenders, under which the Lenders agreed to forbear from exercising their rights and remedies with respect to the noncompliance and certain other specified and anticipated defaults during a limited forbearance period, subject to certain conditions. The forbearance does not waive the underlying default, and upon its expiration the Lenders may exercise their rights and remedies, including acceleration. The forbearance period ends on the earliest of specified events, including the Company's failure to enter into a definitive agreement for a sale of the Company by July 31, 2026, the failure to consummate such a transaction by November 30, 2026, the failure to maintain $10.0 million of unrestricted cash on a consolidated basis deposited in pledged accounts located in the United States, and the occurrence of other events of default. In connection with the forbearance agreement, the Company paid legal and lender fees of approximately $5.9 million in cash upon effectiveness.\n\n76"}