8-KMaterial AgreementsExhibits & Filings

CINTAS CORP 8-K Report, Material Agreement (May 30, 2014)

Filed May 30, 2014For Securities:CTAS

Summary

Cintas Corporation (CTAS) announced on May 29, 2014, through its wholly-owned subsidiary Cintas Corporation No. 2, the execution of a Sixth Amendment to its Credit Agreement. This amendment, entered into with KeyBank National Association as agent and various financial institutions, primarily extends the maturity date of the credit facility from October 6, 2016, to May 28, 2019. The company and its specified subsidiaries provide guarantees for all amounts due under the agreement. In addition to extending the debt maturity, the Sixth Amendment also modifies the terms related to the applicable margin for calculating interest rates on outstanding loans and the facility fee. These changes indicate a proactive approach by Cintas to manage its debt structure and maintain financial flexibility. Investors should view this as a positive step towards securing longer-term financing and potentially optimizing borrowing costs.

Key Highlights

  • 1Cintas Corporation No. 2 entered into a Sixth Amendment to its Credit Agreement dated May 28, 2004.
  • 2The maturity date of the Credit Agreement has been extended from October 6, 2016, to May 28, 2019.
  • 3The amendment was executed with KeyBank National Association as agent and other financial institutions.
  • 4The Corporation and specified wholly-owned subsidiaries guarantee the payment obligations under the Credit Agreement.
  • 5The Sixth Amendment adjusts the applicable margin for interest rate calculations on outstanding loans.
  • 6The facility fee payable under the Credit Agreement has also been adjusted.

Frequently Asked Questions

The primary purpose of the Sixth Amendment is to extend the maturity date of Cintas Corporation's credit facility from October 6, 2016, to May 28, 2019, providing the company with longer-term access to financing.

The amendment involves Cintas Corporation No. 2 as the borrower, KeyBank National Association as the agent, and certain financial institutions as lenders. Cintas Corporation and its specified subsidiaries act as guarantors.

Yes, the Sixth Amendment adjusts the applicable margin used to calculate interest rates on outstanding loans and modifies the facility fee. Investors would need to review the details of these adjustments to assess the precise impact on borrowing costs.

This amendment suggests a proactive approach by Cintas to manage its debt profile and ensure continued financial flexibility. Extending the maturity of its credit facility indicates a commitment to maintaining a stable and accessible source of funding for its operations and growth initiatives.