Finally some good news for Merrimack, NH-based PC Connection. The computer reseller, which announced that its General Services Administration (GSA) contract with the federal government had been terminated on Nov. 14, received a waiver of a technical default from its lenders regarding the loss of its contract.
Under terms of the original lending agreement, any event that adversely affects a subsidiary of PC Connection is grounds for default. PC Connection maintains a $45 million line of credit as well as key inventory purchase security agreements with its lenders.
PC Connection says its GSA contract accounted for $56 million in revenue and $4.8 million in gross profit for the first nine months of 2003.