Summary
Caterpillar Inc. (CAT) filed an 8-K on April 6, 2009, reporting the creation of a new US$1.3 billion unsecured 364-day revolving credit facility, effective March 31, 2009. This facility, established with various financial institutions and administered by Citibank, N.A., is intended to serve as an alternative source of funds for general corporate purposes for Caterpillar Inc. and Caterpillar Financial Services Corporation. As of the filing date, no funds had been drawn under this new credit line.
Key Highlights
- 1Caterpillar Inc. secured a new US$1.3 billion unsecured 364-day revolving credit facility.
- 2The credit facility is effective from March 31, 2009, and expires on March 30, 2010.
- 3The facility is an unsecured revolving credit line, providing an alternative funding source for general corporate purposes.
- 4The credit agreement was entered into with a syndicate of financial institutions, with Citibank, N.A. acting as the Administrative Agent.
- 5As of the filing date, Caterpillar had not drawn any funds from this new credit facility.
- 6The agreement includes customary representations, warranties, covenants, and events of default.
- 7Borrowings under the facility will bear interest at an adjusted applicable rate plus a certain applicable margin.