GOOD TIMES RESTAURANTS INC. : Entry into a Material Definitive Agreement, Creation of a Direct Financial Obligation or an Obligation under an…

Item 1.01. Entry Into a Material Definitive Agreement.

On January 8, 2021 (the "Effective Date"), Good Times Restaurants Inc. (the"Company") and each of its wholly-owned subsidiaries, as guarantors, enteredinto a Fifth Amendment to Credit Agreement and Waiver (the "Amendment") withrespect to the Company's Credit Agreement with Cadence Bank, N.A., as lender("Cadence") entered into on September 8, 2016, as amended on September 11, 2017by the First Amendment to Credit Agreement (the "First Amendment"), as furtheramended on October 31, 2018 by the Second Amendment to Credit Agreement (the"Second Amendment"), as further amended on February 21, 2019 by the ThirdAmendment to Credit Agreement (the "Third Amendment"), and further amended onDecember 9, 2019 by the Fourth Amendment to Credit Amendment (the "FourthAmendment" and, together with the First Amendment, the Second Amendment and theThird Amendment, the "Credit Agreement").

The Amendment, among other things, modifies the Credit Agreement as follows: (a)extends the Maturity Date (as defined in the Credit Agreement) to January 31,2023; (b) provides that the commitments of the lenders will be reduced from$11,000,000 as of the Effective Date of the Amendment to: (i) $10,000,000 onMarch 31, 2021; and (ii) $8,000,000 on July 1, 2021; (c) provides that therequired Consolidated Leverage Ratio (as defined in the Credit Agreement) as ofthe end of any fiscal quarter is greater than 5.15 to 1.00; and (d) providesCadence's formal waiver of the event of default caused by the Company's failureto comply with the required Consolidated Leverage Ratio then in effect for thefiscal quarter ended March 31, 2020.

The forgoing description of the Amendment is qualified in its entirety byreference to the full text of the Amendment, a copy of which is filed in Exhibit10.1 to this current report on Form 8-K and is incorporated by reference herein.

The information contained in Item 1.01 regarding the Amendment is incorporatedby reference herein.

Item 9.01. Financial Statements and Exhibits.

*Filed herewith

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GOOD TIMES RESTAURANTS INC. : Entry into a Material Definitive Agreement, Creation of a Direct Financial Obligation or an Obligation under an...