8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report
(Date of earliest event reported):	June 5, 2006

InFocus Corporation

(Exact name of registrant as specified in its charter)

Oregon	000-18908	93-0932102
(State or other jurisdiction of incorporation)	(Commission file number)	(IRS employer identification number)

27700B SW Parkway Avenue, Wilsonville, Oregon 97070

(Address of principal executive offices, including zip code)

(503) 685-8888

(Registrant’s telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report)

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:

oWritten communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

oSoliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

oPre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

oPre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

InFocus Corporation

FORM 8-K

INDEX TO CURRENT REPORT ON FORM 8-K

Item	Description
1.01	Entry into a Material Definitive Agreement
8.01	Other Events
9.01	Financial Statements and Exhibits

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Item 1.01               Entry into a Material Definitive Agreement

Amendment to Line of Credit.

On June 5, 2006, InFocus Corporation (the “Company”) closed the sale of its undeveloped land located adjacent to the Company’s corporate headquarters in Wilsonville, Oregon.  The land was sold to Wilsonville 2006 SE, LLC and Wilsonville 2006 NW, LLC, limited liability companies organized in the State of Washington.  The gross purchase price was $5.5 million.  Net proceeds taking into account costs of the transaction were approximately $5.1 million, resulting in a gain on the sale of approximately $0.6 million.

In connection with the land sale, on June 7, 2006, the Company and Wells Fargo Foothill, Inc. entered into a Fifth Amendment to the Credit Agreement governing the Company’s $25 million line of credit.  The Credit Agreement previously provided that the aggregate funds available for the company to borrow under the line of credit were to be reduced upon the sale of the vacant land noted above. The amendment kept the aggregate funds available at $25 million notwithstanding the land sale.

A copy of the amendment is attached as Exhibit 10.1 to this report and is incorporated herein.  The foregoing description of the amendment does not purport to be complete and is qualified in its entirety by reference to such exhibit.

Item 8.01               Other Events

On June 8, 2006, the Company issued a press release announcing its expanded relationship with Texas Instruments.  A copy of the press release is attached as Exhibit 99.1 to this report.

Item 9.01               Financial Statements and Exhibits

(d)Exhibits.  The following exhibit is attached hereto and this list is intended to constitute the exhibit index.

10.1Fifth Amendment to Credit Agreement by and between InFocus Corporation and Wells Fargo Foothill, Inc. dated June 7, 2006.

99.1Press Release dated June 8, 2006 announcing InFocus Corporation’s expanded relationship with Texas Instruments.

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SIGNATURES

                Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed by the undersigned thereunto duly authorized.

	INFOCUS CORPORATION
Dated: June 9, 2006	By	/s/ C. Kyle Ranson
		C. Kyle Ranson
		President and Chief Executive Officer
	By	/s/ Roger Rowe
		Roger Rowe
		Vice President Finance, Chief Financial Officer and Secretary

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EX-10.1

EXHIBIT 10.1

FIFTH AMENDMENT TO CREDIT AGREEMENT

THIS FIFTH AMENDMENT TO CREDIT AGREEMENT (this “Amendment”), dated as of June 7, 2006 is entered into by and among the lenders identified on the signature pages hereof (such lenders, together with their respective successors and permitted assigns, are referred to hereinafter each individually as a “Lender” and collectively as the “Lenders”), WELLS FARGO FOOTHILL, INC., a California corporation, as administrative agent for the persons designated in the Credit Agreement referred to below (in such capacity, together with its successors and assigns in such capacity, “Agent”), and INFOCUS CORPORATION, an Oregon corporation (“Borrower”).

RECITALS

A.            Borrower, Agent and the Lenders have previously entered into that certain Credit Agreement dated as of October 25, 2004, as amended by that certain First Amendment to Credit Agreement, Security Agreement and Waiver, dated as of December 3, 2004, that certain Second Amendment to Credit Agreement, dated as of December 13, 2004, that certain Third Amendment to Credit Agreement and Waiver dated May 6, 2005 and that certain Fourth Amendment to Credit Agreement, Second Amendment to Security Agreement and Waiver dated November 4, 2005 (as so amended or otherwise modified or supplemented from time to time, the “Credit Agreement”), pursuant to which the Lenders have made certain loans and financial accommodations available to Borrower.  Terms used herein without definition shall have the meanings ascribed to them in the Credit Agreement.

B.            The Lenders, Agent and Borrower now wish to further amend the Credit Agreement on the terms and conditions set forth herein

C.            Borrower is entering into this Amendment with the understanding and agreement that, except as specifically provided herein, none of Agent’s or any member of the Lender Group’s rights or remedies set forth in the Credit Agreement or any other Loan Document is being waived or modified by the terms of this Amendment.

AGREEMENT

NOW, THEREFORE, in consideration of the foregoing and the mutual covenants herein contained, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows:

1.             Amendments to Credit Agreement.

(a)           The defined term “Availability Block” contained in Schedule 1.1 to the Credit Agreement is hereby amended and restated to read as follows:

“ ‘Availability Block’ means the amount of $15,000,000.”

(b)           Section 11 of the Credit Agreement is hereby amended by replacing the notice party Morrison & Foerster LLP appearing therein with the following notice party:

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BINGHAM MCCUTCHEN LLP
355 South Grand Avenue, Suite 4400
Los Angeles, California 90071
Attn:  Sandra L. Montgomery, Esq.
Fax No. (213) 680-6499

2.             Effectiveness of this Amendment.  Agent must have received the following items, in form and content acceptable to Agent, before this Amendment, and the waivers provided for herein are effective.

(a)           Executed Amendment.  This Amendment fully executed in a sufficient number of counterparts for distribution to all parties.

(b)           Representations and Warranties.  The representations and warranties contained herein shall be true and correct as of the date hereof.

(c)           Other Documents and Legal Matters.  All other documents and legal matters in connection with the transactions contemplated by this Amendment shall have been delivered or executed or recorded.

3.             Representations and Warranties.  Borrower represents and warrants as follows:

(a)           Authority.  Borrower has the requisite corporate power and authority to execute and deliver this Amendment, and to perform its obligations hereunder and under the Loan Documents (as amended or modified hereby and by any amendments thereto referenced herein) to which it is a party.  The execution, delivery and performance by Borrower of this Amendment and any amendment to any other Loan Document referenced herein have been duly approved by all necessary corporate action and no other corporate proceedings are necessary to consummate such transactions.

(b)           Enforceability.  This Amendment and any amendment to any other Loan Document referenced herein have been duly executed and delivered by Borrower.  This Amendment and each Loan Document (as amended or modified hereby and by any amendments thereto referenced herein) are the legal, valid and binding obligation of Borrower, enforceable against Borrower in accordance with its terms, and is in full force and effect.

(c)           Representations and Warranties.  After giving effect to this Amendment, the representations and warranties contained in each Loan Document (other than any such representations or warranties that, by their terms, are specifically made as of a date other than the date hereof) are correct on and as of the date hereof as though made on and as of the date hereof.

(d)           Due Execution.  The execution, delivery and performance of this Amendment and any amendment to any other Loan Document referenced herein are within the power of Borrower, have been duly authorized by all necessary corporate action, have received all necessary governmental approval, if any, and do not contravene any law or any contractual restrictions binding on Borrower.

(e)           No Default.  No event has occurred and is continuing that constitutes a Default or an Event of Default.

(f)            No Duress.  This Amendment and any amendment to any other Loan Document referenced herein have been entered into without force or duress, of the free will of Borrower.  Borrower’s

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decision to enter into this Amendment and any amendment to any other Loan Document referenced herein is a fully informed decision and Borrower is aware of all legal and other ramifications of such decision.

(g)           Counsel.  Borrower has read and understands this Amendment and any amendment to any other Loan Document referenced herein, has consulted with and been represented by legal counsel in connection herewith and therewith, and has been advised by its counsel of its rights and obligations hereunder and thereunder.

4.             Choice of Law.  The validity of this Amendment, its construction, interpretation and enforcement, the rights of the parties hereunder, shall be determined under, governed by, and construed in accordance with the internal laws of the State of New Yorkgoverning contracts only to be performed in that State.

5.             Counterparts.  This Amendment may be executed in any number of counterparts and by different parties and separate counterparts, each of which when so executed and delivered, shall be deemed an original, and all of which, when taken together, shall constitute one and the same instrument.  Delivery of an executed counterpart of a signature page to this Amendment by telefacsimile or other similar method of electronic transmission shall be effective as delivery of a manually executed counterpart of this Amendment.

6.             Reference to and Effect on the Loan Documents.

(a)           Upon and after the effectiveness of this Amendment, each reference in the Credit Agreement to “this Agreement”, “hereunder”, “hereof” or words of like import referring to the Credit Agreement, and each reference in the other Loan Documents to “the Credit Agreement”, “thereof” or words of like import referring to the Credit Agreement, shall mean and be a reference to the Credit Agreement as modified and amended hereby.

(b)           Except as specifically amended above, the Credit Agreement and all other Loan Documents, are and shall continue to be in full force and effect and are hereby in all respects ratified and confirmed and shall constitute the legal, valid, binding and enforceable obligations of Borrower to the Lender Group.

(c)           The execution, delivery and effectiveness of this Amendment shall not, except as expressly provided herein, operate as a waiver of any right, power or remedy of the Agent  and Lender Group under any of the Loan Documents, nor constitute a waiver of any provision of any of the Loan Documents.

(d)           To the extent that any terms and conditions in any of the Loan Documents shall contradict or be in conflict with any terms or conditions of the Credit Agreement, after giving effect to this Amendment, such terms and conditions are hereby deemed modified or amended accordingly to reflect the terms and conditions of the Credit Agreement as modified or amended hereby.

7.             Ratification.  Borrower hereby restates, ratifies and reaffirms each and every term and condition set forth in the Credit Agreement, as amended hereby, and the Loan Documents effective as of the date hereof.

8.             Estoppel.  To induce Agent and Lender Group to enter into this Amendment and to continue to make advances to Borrower under the Credit Agreement, Borrower hereby acknowledges and

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agrees that, as of the date hereof, there exists no right of offset, defense, counterclaim or objection in favor of Borrower as against any member of the Lender Group with respect to the Obligations.

9.             Integration.  This Amendment, together with the other Loan Documents, incorporates all negotiations of the parties hereto with respect to the subject matter hereof and is the final expression and agreement of the parties hereto with respect to the subject matter hereof.

10.           Severability.  In case any provision in this Amendment shall be invalid, illegal or unenforceable, such provision shall be severable from the remainder of this Amendment and the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby.

11.           Submission of Amendment.  The submission of this Amendment to the parties or their agents or attorneys for review or signature does not constitute a commitment by Agent or any of the Lenders to waive any of their rights and remedies under the Loan Documents, and this Amendment shall have no binding force or effect until all of the conditions to the effectiveness of this Amendment have been satisfied as set forth herein.

[Signature Page Follows]

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IN WITNESS WHEREOF, the parties have entered into this Amendment as of the date first above written.

INFOCUS CORPORATION,
an Oregon corporation
By:	/s/ Roger Rowe
Name:	Roger Rowe
Title:	Chief Financial Officer
WELLS FARGO FOOTHILL, INC.,
a California corporation, as Agent and a Lender
By:	/s/ Thomas Forbath
Name:	Thomas Forbath
Title:	Vice President

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EX-99.1

EXHIBIT 99.1

For Immediate Release
Public Relations Contacts: Jennifer Fields InFocus Corporation 503.685.8923 jennifer.fields@infocus.com	Investor Relations Contact: Roger Rowe InFocus Corporation 503.685.8609 roger.rowe@infocus.com
Stacy Doyle		27700B SW Parkway Ave
Edelman		Wilsonville, Oregon
503.471.6806		97070-9215
stacy.doyle@edelman.com
		800.294.9400
		503.685.8888
		503.685.8887
		www.infocus.com

InFocus Announces Expanded Relationship with Texas Instruments at InfoComm

DLP selected as exclusive technology for InFocus projectors

WILSONVILLE, OR (June 8, 2006)—InFocus, the big picture solution provider that magnifies the impact of immersive audio-visual experiences, today launched an initiative to focus all development solely on Digital Light Processing (DLP®) technology from Texas Instruments®. This strategic decision streamlines InFocus’ product offerings and provides consumers with impressive, quality products for the most popular markets including home entertainment, gaming, conference and board rooms, small business applications and education.

“We see InFocus as an important ally, and this development validates our joint commitment to providing innovative projection solutions that are unmatched by the polysilicon competitors,” said John Van Scoter of Texas Instruments.  “From the boardroom to the living room, projectors with DLP technology promise outstanding picture quality, unmatched reliability and the ability to captivate audiences.”

The expansion of the relationship with Texas Instruments enables InFocus to streamline its product development process and amplify the superiority of its Play Big, Work Big and Learn Big projectors. In turn, DLP from Texas Instruments gains knowledge from InFocus’ extensive retail leadership experience and 20 years of pioneering firsts in projection.

“We are thrilled to deepen our relationship with Texas Instruments because they share our commitment to providing outstanding image quality and unrivaled product reliability,” said Kyle Ranson, President and CEO, InFocus Corporation. “Our expertise as the global industry leader in

projection combined with their reputation for excellence in quality and entertainment content enables us to set a new standard for projection solutions.”

InFocus’ relationship with Texas Instruments dates back to 1996 with the launch of the LP610 & LP620 projectors and encompasses over 15 platforms leading to over 30 distinct products being delivered to the market. For more information about InFocus Play Big and Work Big products powered by DLP, please visit www.infocus.com.

About InFocus Corporation

InFocus® Corporation (Nasdaq: INFS) is the industry pioneer and worldwide leader in the projection market today. Nearly twenty years of experience and engineering breakthroughs are at work here, constantly improving what you see in the marketplace, and delivering immersive audio visual impact in home entertainment, business and education environments. Being the inventor and leader is simply a great bonus of making the presentation of ideas, information, and entertainment a vivid, unforgettable experience.

With over 1.5 million projectors sold, in a category that is expected to grow to $10 billion in revenue and more than 9 million units in 2007, we believe our product contributions set the standard for what a big picture experience should be like. For more information, visit us at www.infocus.com or call us toll-free at 800.294.6400 (U.S. and Canada).

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InFocus, ASK, Proxima, ASK Proxima, LiteShow, ScreenPlay and LP are trademarks or registered trademarks of InFocus Corporation or its subsidiaries in the United States and other countries.  Digital Light Processing and DLP are trademarks of Texas Instruments.