There are a whole lot of unanswered questions - on both sides of this debate - and without those answers everything is speculation. If instead of saying "Well, if X, then certainly he's innocent/guilty", the real question is "What's the answer to X" (and "Y" and "Z" and more).
How big was this lounge? I worked in an A&P, a large one, and even in a union shop the "lounge" was a 15 x 10 converted store room with some chairs around a table. This is pertinent to just how threatened the LEOs would've felt as it'd be quite different to be seven feet away versus across a forty foot cafeteria.
Were there other civilians in the room who were in danger? Big question!
What, exactly, are we talking about when we say "knife". A Filippina with a machete is quite different from a Filippina with a bread knife.
How many officers were deployed in the confrontation? We know of at least one other because he/she got wounded by a ricochet. Again, see above questions, though. Two officers in a very tight space and a civilian being threatened is quite different from two or three or four officers in a large wide open space with no civilians nearby.
Was the ricochet a ricochet? We have only one account that it was. Was it or was it a wild shot?
What was the training/experience level of the officers?
What orders/instructions, if any, did they have from HQ/Command?
Without the answers to all of these (and other) questions, it's really impossible to make a call on this.