8-KMaterial AgreementsFinancial EventsExhibits & Filings

HORTON D R INC /DE/ 8-K Report, Material Agreement (Aug 25, 2014)

Filed August 25, 2014For Securities:DHI

Summary

D.R. Horton, Inc. (DHI) announced in an 8-K filing dated August 25, 2014, significant amendments to its Credit Agreement, primarily focusing on its revolving credit facility. The company, through its subsidiary, has successfully extended the maturity date of its Revolving Credit Facility Termination Date to September 7, 2019, providing a longer-term liquidity runway. Key to investor confidence, DHI also secured an increase in its Aggregate Revolving Credit Facility Limit from $1 billion to $1.25 billion. Furthermore, the amount of outstanding Revolving Credit Commitments was boosted from $725 million to $975 million, with the addition of new lenders. These changes indicate improved access to capital and enhanced financial flexibility for the homebuilder.

Key Highlights

  • 1Extended Revolving Credit Facility Termination Date to September 7, 2019.
  • 2Increased Aggregate Revolving Credit Facility Limit from $1 billion to $1.25 billion.
  • 3Raised outstanding Revolving Credit Commitments from $725 million to $975 million.
  • 4Added new lenders to the Series A Revolving Credit Commitments.
  • 5The amendments are effective as of August 22, 2014.
  • 6The filing relates to an amendment of the Credit Agreement dated September 7, 2012.

Frequently Asked Questions

This 8-K filing reports on the material definitive agreement entered into by D.R. Horton, Inc. concerning amendments to its Credit Agreement, specifically enhancing its revolving credit facility.

The company has extended the maturity date of its revolving credit facility to September 7, 2019, increased the total credit limit from $1 billion to $1.25 billion, and raised the amount of outstanding commitments to $975 million, supported by new lenders.

The increased credit limit and extended maturity suggest that D.R. Horton has secured greater financial flexibility and a stronger liquidity position, which can be beneficial for its operations and ability to navigate market conditions.

The key parties are D.R. Horton, Inc. (the Borrower), The Royal Bank of Scotland plc (acting as Administrative Agent, Issuing Bank, and Lender), and other Lenders party to the Credit Agreement and the Amendment.