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<p><b><font size="2">UNITED STATES<br>
SECURITIES AND EXCHANGE COMMISSION<br>
WASHINGTON, D.C. &nbsp;20549<br>
</font>
<br>
FORM 8-K</b></p>
<p align="center"><b>CURRENT REPORT<br>
Pursuant to Section 13 or 15(d) of the Securities Exchange Act
of 1934</b></p>
<p align="center"><br>
Date of Report (Date of earliest event reported) &nbsp;&nbsp;&nbsp;<u>April 28,
2008 (April 23, 2008)</u><br>
<br>
</p>
<table border="0" cellspacing="1" width="450">
  <tr>
    <td>
    <p align="center"><b><font size="5">KIMBALL INTERNATIONAL, INC.</font></b></td>
  </tr>
  <tr>
    <td><hr SIZE="1"></td>
  </tr>
  <tr>
    <td>
    <p align="center"><font size="2">(Exact name of registrant as specified in
    its charter)</font></td>
  </tr>
</table>
<p align="center"></p>
<center>
<table cellSpacing="0" width="624" border="0">
  <tr>
    <td width="33%">&nbsp;</td>
    <td width="33%">&nbsp;</td>
    <td width="33%">&nbsp;</td>
  </tr>
  <tr>
    <td>
    <p align="center">Indiana</td>
    <td>
    <p align="center">0-3279</td>
    <td>
    <p align="center">35-0514506</td>
  </tr>
  <tr>
    <td>
    <p align="center"></p>
    <hr width="90%" SIZE="1"></td>
    <td>
    <p align="center"></p>
    <hr width="48%" SIZE="1"></td>
    <td>
    <p align="center"></p>
    <hr width="90%" SIZE="1"></td>
  </tr>
  <tr>
    <td align="center"><font size="2">(State or other jurisdiction of</font></td>
    <td align="center"><font size="2">(Commission File</font></td>
    <td align="center"><font size="2">(IRS Employer Identification No.)</font></td>
  </tr>
  <tr>
    <td align="center"><font size="2">incorporation)</font></td>
    <td align="center"><font size="2">Number)</font></td>
    <td>&nbsp;</td>
  </tr>
</table>
<table cellSpacing="0" width="624" border="0">
  <tr>
    <td width="55%">&nbsp;</td>
    <td width="4%">&nbsp;</td>
    <td width="41%">&nbsp;</td>
  </tr>
  <tr>
    <td>
    <p align="center">&nbsp;</td>
    <td>&nbsp;</td>
    <td>
    <p align="center">&nbsp;</td>
  </tr>
  <tr>
    <td>
    <p align="center">1600 Royal Street, Jasper, Indiana</td>
    <td>&nbsp;</td>
    <td>
    <p align="center">47549-1001</td>
  </tr>
  <tr>
    <td>
    <p align="center"></p>
    <hr width="64%" SIZE="1"></td>
    <td>&nbsp;</td>
    <td>
    <p align="center"></p>
    <hr width="48%" SIZE="1"></td>
  </tr>
  <tr>
    <td align="center"><font size="2">(Address of principal executive offices)</font></td>
    <td>&nbsp;</td>
    <td align="center"><font size="2">(Zip Code)</font></td>
  </tr>
</table>
</center>
<p align="center">Registrant's telephone number, including area code &nbsp;&nbsp;<u>(812)
482-1600</u></p>
<table border="0" cellspacing="1" width="350">
  <tr>
    <td>
    <p align="center">Not Applicable</td>
  </tr>
  <tr>
    <td><hr SIZE="1"></td>
  </tr>
  <tr>
    <td>
    <p align="center"><font size="2">(Former name or former address, if changed
    since last report)</font></td>
  </tr>
</table>
</center>
<p align="left"><font size="2">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 (see General Instruction A.2.
below):</font></p>
<p align="left"><font size="2">[&nbsp;&nbsp; ] Written communications pursuant
to Rule 425 under the Securities Act (17 CFR 230.425)</font></p>
<p align="left"><font size="2">[&nbsp;&nbsp; ] Soliciting material pursuant to
Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</font></p>
<p align="left"><font size="2">[&nbsp;&nbsp; ] Pre-commencement communications
pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))</font></p>
<p align="left"><font size="2">[&nbsp;&nbsp; ] Pre-commencement communications
pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))</font></p>
<p align="center">&nbsp;</p>
<p align="center">1</p>
<hr SIZE="1"><div style="page-break-before:always"></div>
<p align="left"><b>Item 1.01 Entry into a Material Definitive Agreement</b></p>
<p align="left">On April 23, 2008, Kimball International, Inc. (the &quot;Company&quot;)
entered into a credit agreement (&quot;New Credit Agreement&quot;) with the lenders party
thereto and JPMorgan Chase Bank, N.A. (&quot;JPMorgan&quot;) as Agent and Letter of Credit
Issuer. The New Credit Agreement provides a five-year revolving credit facility
which expires April 23, 2013 and allows for up to $100 million in borrowings,
with an option to increase the amount available for borrowing to $150 million at
the Company's request, subject to participating banks' consent. </p>
<p align="left">The revolving credit loans under the New Credit Agreement may
consist of, at the Company's election, advances in US dollars or advances in any
other currency that is agreed to by all of the lenders. A portion of the New
Credit Agreement, not to exceed $30 million of the principal amount, will be
available for the issuance of letters of credit. The proceeds of the revolving
credit loans shall be used for acquisitions and general corporate purposes of
the Company. A commitment fee on the unused portion of principal amount of the
New Credit Agreement is payable at a rate that ranges from 12.5 to 15.0 basis
points per annum as determined by the Company's leverage ratio. </p>
<p align="left">For non-US dollar advances, interest accrues over the selected
period of the advance at the London Interbank Offered Rate (&quot;LIBOR&quot;) in effect
two business days prior to the advance (adjusted upwards to reflect bank reserve
costs), plus an applicable margin which can range from 62.5 to 75.0 basis points
based on the Company's leverage ratio. For US dollar advances, the Company
shall, at the Company's election, pay interest at (1) LIBOR plus the applicable
margin as described above or, (2) a fluctuating rate per annum equal to the
higher of, (a) JPMorgan's prime rate in effect at its principal office in New
York City, NY; (b) 1% per annum above the three-month secondary certificates of
deposit rate (adjusted upwards to reflect bank reserve costs); or (c) 1/2% per
annum above the Federal funds rate.</p>
<p align="left">US dollar advances outstanding subject to the fluctuating
interest rate described above may be repaid to the lenders at any time prior to
the expiration date of the New Credit Agreement without penalty or premium.
Other advances may be paid prior to the last day of the selected period of
advance however, the Company will indemnify the lender for any cost incurred for
the early payment. </p>
<p align="left">The New Credit Agreement contains certain debt covenants similar
to those of the previous credit agreement mentioned in Item 1.02 below, such as
a minimum interest coverage ratio of 3.0 and a minimum net worth of $362 million
that, if violated, could accelerate the payment of the amounts borrowed. </p>
<p align="left">The Company borrowed funds under the New Credit Agreement in the
amount of $47.7 million to repay the existing credit agreement mentioned in Item
1.02 below which is now terminated.</p>
<p align="left">This summary is not intended to be complete and is qualified in
its entirety by reference to the Credit Agreement, dated as of April 23, 2008,
among the Company, the lenders party thereto and JPMorgan Chase Bank, N.A.,
included as Exhibit 10.1 to this report and incorporated herein by reference.</p>
<p align="center">2</p>
<p align="center"></p>
<hr SIZE="1"><div style="page-break-before:always"></div>
<p align="left"><b>Item 1.02 Termination of a Material Definitive Agreement<br>
</b><br>
On April 23, 2008, the Company terminated a credit agreement (&quot;Terminated
Agreement&quot;), dated as of May 20, 2004, among the Company, the lenders party
thereto and Bank
One, NA, as amended by the First Amendment to Credit Agreement, dated as of December 7, 2005
by and among the Company, the lenders party thereto and JPMorgan Chase Bank, and
the Second Amendment to Credit Agreement dated as of December 7, 2007, by and among
the Company, the lenders party thereto and JPMorgan Chase Bank. The
Terminated Agreement provided a five-year revolving credit facility which was to
expire in May 2009 and provided for up to $75 million in borrowings, with an
option to increase the amount available for borrowing to $125 million at the
Company's request, subject to participating banks' consent. The Company used
this facility for acquisitions and general corporate purposes. Borrowings under
the Terminated Agreement bore interest at a floating rate based, at the
Company's option, upon LIBOR plus an applicable percentage or the greater of
the federal funds rate plus an applicable percentage and the prime rate. The
Company was subject to debt covenants requiring it to maintain certain
debt-to-total capitalization, interest coverage ratio, minimum net worth, and
other terms and conditions, all of which the Company was in compliance with at
the date of termination. There were no material early termination penalties
incurred as a result of the termination of this agreement. The Terminated
Agreement was replaced by the New Credit Agreement discussed in Item 1.01. <br>
<br>
<b>Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an
Off-Balance Sheet Arrangement of a Registrant</b><br>
<br>
The information set forth under Item 1.01 above is incorporated into this Item
2.03 by reference.<br>
<br>
<b>Item 9.01 Financial Statements and Exhibits</b><br>
<br>
(d) Exhibits<br>
<br>
10.1 Credit Agreement, dated as of April 23, 2008, among the Company, the
lenders party thereto and JPMorgan Chase Bank, N.A., as Agent and Letter of
Credit Issuer</p>
<p align="center">3</p>
<p align="center"></p>
<hr SIZE="1"><div style="page-break-before:always"></div><center>
<p><b>SIGNATURES</b></p>
</center>
<p>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. </p>
<div align="right">
  <table cellSpacing="0" border="0" cellpadding="0">
    <tr>
      <td width="30">&nbsp;</td>
      <td width="300">&nbsp;</td>
    </tr>
    <tr>
      <td width="30">&nbsp;</td>
      <td width="300">KIMBALL INTERNATIONAL, INC.</td>
    </tr>
    <tr>
      <td width="30">&nbsp;</td>
      <td width="300">&nbsp;</td>
    </tr>
    <tr>
      <td width="30">&nbsp;</td>
      <td width="300">&nbsp;</td>
    </tr>
    <tr>
      <td width="30">
      <p align="center">By:</td>
      <td width="300">/s/ Robert F. Schneider</td>
    </tr>
    <tr>
      <td width="30">&nbsp;</td>
      <td width="300"><hr align="left" width="70%" SIZE="1"></td>
    </tr>
    <tr>
      <td width="30">&nbsp;</td>
      <td width="300">ROBERT F. SCHNEIDER<br>
      Executive Vice President, <br>
      Chief Financial Officer</td>
    </tr>
  </table>
</div>
<p><br>
Date: April 28, 2008</p>
<p align="center">4</p>
<hr size="1"><div style="page-break-before:always"></div>

<p><b>Kimball International, Inc.<br>
Exhibit&nbsp;Index</b><br>
</p>
<table cellspacing="0" border="0" cellpadding="0" width="90%" id="table1">
  <tr>
    <td width="185">Exhibit No.</td>
    <td>Description</td>
  </tr>
  <tr>
    <td width="185"><hr width="70" align="left" size="1"></td>
    <td><hr width="220" align="left" size="1"></td>
  </tr>
  <tr>
    <td width="185">&nbsp;</td>
    <td>&nbsp;</td>
  </tr>
  <tr>
    <td valign="top" width="185">10.1</td>
    <td valign="top">Credit Agreement, dated as of April 23, 2008, among the
	Company, the lenders party thereto and JPMorgan Chase Bank, N.A., as Agent
	and Letter of Credit Issuer</td>
  </tr>
</table>
<p align="center">5</p>
<hr size="1">

</body>

</html>
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{"company-data": {"conformed-name": "KIMBALL INTERNATIONAL INC", "cik": "0000055772", "assigned-sic": "2520", "irs-number": "350514506", "state-of-incorporation": "IN", "fiscal-year-end": "0630"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-03279", "film-number": "08781031"}, "business-address": {"street1": "1600 ROYAL ST", "city": "JASPER", "state": "IN", "zip": "47549", "phone": "8124821600"}, "mail-address": {"street1": "1600 ROYAL STREET", "city": "JASPER", "state": "IN", "zip": "47549"}, "former-company": {"former-conformed-name": "JASPER CORP", "date-changed": "19740826"}}
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)
April 28,
2008 (April 23, 2008)
KIMBALL INTERNATIONAL, INC.
(Exact name of registrant as specified in
    its charter)
Indiana
0-3279
35-0514506
(State or other jurisdiction of
(Commission File
(IRS Employer Identification No.)
incorporation)
Number)
1600 Royal Street, Jasper, Indiana
47549-1001
(Address of principal executive offices)
(Zip Code)
Registrant's telephone number, including area code
(812)
482-1600
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 (see General Instruction A.2.
below):
[   ] 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))
1
Item 1.01 Entry into a Material Definitive Agreement
On April 23, 2008, Kimball International, Inc. (the "Company")
entered into a credit agreement ("New Credit Agreement") with the lenders party
thereto and JPMorgan Chase Bank, N.A. ("JPMorgan") as Agent and Letter of Credit
Issuer. The New Credit Agreement provides a five-year revolving credit facility
which expires April 23, 2013 and allows for up to $100 million in borrowings,
with an option to increase the amount available for borrowing to $150 million at
the Company's request, subject to participating banks' consent.
The revolving credit loans under the New Credit Agreement may
consist of, at the Company's election, advances in US dollars or advances in any
other currency that is agreed to by all of the lenders. A portion of the New
Credit Agreement, not to exceed $30 million of the principal amount, will be
available for the issuance of letters of credit. The proceeds of the revolving
credit loans shall be used for acquisitions and general corporate purposes of
the Company. A commitment fee on the unused portion of principal amount of the
New Credit Agreement is payable at a rate that ranges from 12.5 to 15.0 basis
points per annum as determined by the Company's leverage ratio.
For non-US dollar advances, interest accrues over the selected
period of the advance at the London Interbank Offered Rate ("LIBOR") in effect
two business days prior to the advance (adjusted upwards to reflect bank reserve
costs), plus an applicable margin which can range from 62.5 to 75.0 basis points
based on the Company's leverage ratio. For US dollar advances, the Company
shall, at the Company's election, pay interest at (1) LIBOR plus the applicable
margin as described above or, (2) a fluctuating rate per annum equal to the
higher of, (a) JPMorgan's prime rate in effect at its principal office in New
York City, NY; (b) 1% per annum above the three-month secondary certificates of
deposit rate (adjusted upwards to reflect bank reserve costs); or (c) 1/2% per
annum above the Federal funds rate.
US dollar advances outstanding subject to the fluctuating
interest rate described above may be repaid to the lenders at any time prior to
the expiration date of the New Credit Agreement without penalty or premium.
Other advances may be paid prior to the last day of the selected period of
advance however, the Company will indemnify the lender for any cost incurred for
the early payment.
The New Credit Agreement contains certain debt covenants similar
to those of the previous credit agreement mentioned in Item 1.02 below, such as
a minimum interest coverage ratio of 3.0 and a minimum net worth of $362 million
that, if violated, could accelerate the payment of the amounts borrowed.
The Company borrowed funds under the New Credit Agreement in the
amount of $47.7 million to repay the existing credit agreement mentioned in Item
1.02 below which is now terminated.
This summary is not intended to be complete and is qualified in
its entirety by reference to the Credit Agreement, dated as of April 23, 2008,
among the Company, the lenders party thereto and JPMorgan Chase Bank, N.A.,
included as Exhibit 10.1 to this report and incorporated herein by reference.
2
Item 1.02 Termination of a Material Definitive Agreement
On April 23, 2008, the Company terminated a credit agreement ("Terminated
Agreement"), dated as of May 20, 2004, among the Company, the lenders party
thereto and Bank
One, NA, as amended by the First Amendment to Credit Agreement, dated as of December 7, 2005
by and among the Company, the lenders party thereto and JPMorgan Chase Bank, and
the Second Amendment to Credit Agreement dated as of December 7, 2007, by and among
the Company, the lenders party thereto and JPMorgan Chase Bank. The
Terminated Agreement provided a five-year revolving credit facility which was to
expire in May 2009 and provided for up to $75 million in borrowings, with an
option to increase the amount available for borrowing to $125 million at the
Company's request, subject to participating banks' consent. The Company used
this facility for acquisitions and general corporate purposes. Borrowings under
the Terminated Agreement bore interest at a floating rate based, at the
Company's option, upon LIBOR plus an applicable percentage or the greater of
the federal funds rate plus an applicable percentage and the prime rate. The
Company was subject to debt covenants requiring it to maintain certain
debt-to-total capitalization, interest coverage ratio, minimum net worth, and
other terms and conditions, all of which the Company was in compliance with at
the date of termination. There were no material early termination penalties
incurred as a result of the termination of this agreement. The Terminated
Agreement was replaced by the New Credit Agreement discussed in Item 1.01.
Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an
Off-Balance Sheet Arrangement of a Registrant
The information set forth under Item 1.01 above is incorporated into this Item
2.03 by reference.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits
10.1 Credit Agreement, dated as of April 23, 2008, among the Company, the
lenders party thereto and JPMorgan Chase Bank, N.A., as Agent and Letter of
Credit Issuer
3
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.
KIMBALL INTERNATIONAL, INC.
By:
/s/ Robert F. Schneider
ROBERT F. SCHNEIDER
Executive Vice President,
Chief Financial Officer
Date: April 28, 2008
4
Kimball International, Inc.
Exhibit Index
Exhibit No.
Description
10.1
Credit Agreement, dated as of April 23, 2008, among the
	Company, the lenders party thereto and JPMorgan Chase Bank, N.A., as Agent
	and Letter of Credit Issuer
5