Summary
Ford Motor Company (F) announced on April 26, 2018, a material definitive agreement through the Fourteenth Amendment to its Credit Agreement. This amendment effectively extends the maturity dates of its revolving credit facilities by one year, providing greater financial flexibility. The total revolving commitments remain unchanged at $13.4 billion. Specifically, 75% of the commitments, previously maturing in April 2022, will now mature in April 2023. The remaining 25% of commitments, previously maturing in April 2020, are now extended to April 2021. The $3 billion allocation to Ford Motor Credit Company remains in place on an irrevocable and exclusive basis. This extension of credit facility maturities is a positive development for Ford, indicating continued access to liquidity and a strengthening of its financial position.
Key Highlights
- 1Ford entered into the Fourteenth Amendment to its Credit Agreement on April 26, 2018.
- 2The total revolving credit commitments remain at $13.4 billion.
- 3Maturity dates for the revolving credit commitments have been extended by one year.
- 475% of the commitments will now mature on April 30, 2023 (extended from April 30, 2022).
- 525% of the commitments will now mature on April 30, 2021 (extended from April 30, 2020).
- 6The allocation of $3 billion in commitments to Ford Motor Credit Company remains unchanged.
- 7The amendment was filed as an exhibit to the 8-K report.