UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
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Current Report
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report
(Date of Earliest Event Reported): Commission File Number:
July 27, 2006 0-17449
PROCYON CORPORATION
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(Exact name of Registrant as specified in its charter)
Colorado 59-3280822
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(State of incorporation) (I.R.S. Employer
Identification Number)
1300 S HIGHLAND
CLEARWATER, FL 33756
727-447-2998
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(Address of principal executive
offices and telephone number)
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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:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 1.01 Entry into a Material Definitive Agreement
On July 27, 2006, Procyon Corporation (the "Company") closed on the
purchase of its previously leased office property located at 1300 S. Highland
Ave., Clearwater, FL 33756, from G.E.A.P. Corporation, in the amount of $550,000
, pursuant to a Lease Agreement, attached hereto as Exhibit 10.1, which contains
a purchase option. In addition, at the same time, the Company closed on a loan
provided by Bank of America, N.A. in the amount of $508,000. The Company's
promissory note to Bank of America dated July 21, 2006 is attached as Exhibit
10.2. Further, the purchase and loan were secured by a Mortgage, also dated July
21, 2006, between the Company and Bank of America, which is attached as Exhibit
10.3.
Item 8.01 Other Events
On July 27, 2006, the Company closed on the purchase of property located at
1300 S. Highland Ave., Clearwater, FL, which the Company previously had been
leasing from the seller. In addition, to fund the purchase, the Company entered
into a loan evidenced by a promissory note (Exhibit 10.2) to Bank of America,
N.A. in the amount of $508,000 at 7.25% interest fixed over a 15 year period.
Further, the loan is secured by a Mortgage (Exhibit 10.3) between the Company
and Bank of America.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
Exhibit No. Description
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*10.1 Office Lease dated September 23, 2003.
10.2 Promissory Note dated July 21, 2006.
10.3 Mortgage, dated July 21, 2006.
* Incorporated by reference to the Company's Form 10-QSB for the
period ending September 30, 2003.
SIGNATURES
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.
Procyon Corporation
Date: August 1, 2006 By: /s/ Regina W. Anderson
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Regina W. Anderson, Chief Executive
Officer