Zagg to keep $9.5 million PPP loan despite new Treasury guidance

NEW YORK (Reuters) – Zagg inc , a maker of screen protectors for mobile devices, said on Friday it plans to keep a $9.5 million loan granted under Treasury’s Payroll Protection Program (PPP), a day after new guidance that publicly traded firms would have a hard time proving they really needed the coronavirus relief funds.

“These funds will play a critical role in ensuring we have our team in place as the economy reopens,” a spokesman for Zagg said in an emailed statement.

U.S. companies on Thursday began refusing government loans they were just awarded, after the Treasury Department updated its guidance.

(Reporting by Joshua Franklin in New York; Editing by Chizu Nomiyama)