Summary
Emerson Electric Co. (EMR) announced on May 1, 2014, the establishment of a new $3.5 billion, five-year revolving credit facility, referred to as the '2014 Facility', effective April 30, 2014. This new facility, which matures in April 2019, replaces a previous $2.75 billion facility. The primary purpose of this action is to bolster the company's financial flexibility and support general corporate needs, including potential commercial paper borrowings.
Key Highlights
- 1Emerson Electric entered into a new $3.5 billion, five-year revolving credit facility on April 30, 2014.
- 2The new facility expires in April 2019, extending its availability by one year compared to the previous facility.
- 3This new credit facility replaces a prior $2.75 billion, four-year revolving credit facility dated December 16, 2010.
- 4As of the filing date, there were no outstanding loans or letters of credit drawn under the new facility.
- 5The company stated it has no intention of incurring borrowings under this or prior similar facilities.
- 6The facility is unsecured and supports general corporate purposes, including commercial paper borrowings.
- 7The credit agreement contains standard representations, warranties, covenants, and events of default, typical for such financial arrangements.