We discuss implications of a strong flare event observed in the Seyfert galaxy MCG-6-30-15 assuming that the emission is due to localized magnetic reconnection. We conduct detailed radiative transfer modeling of the reprocessed radiation for a primary source that is elevated above the disk. The model includes relativistic effects and Keplerian motion around the black hole. We show that for such a model setup the observed time-modulation must be intrinsic to the primary source. Using a simple analytical model we then investigate time delays between hard and soft X-rays during the flare. The model considers an intrinsic delay between primary and reprocessed radiation, which measures the geometrical distance of the flare source to the reprocessing sites. The observed time delays are well reproduced if one assumes that the reprocessing happens in magnetically confined, cold clouds.
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