01—Abstract
Summary
Summary of the 8-K filed January 26, 2026. Cited figures are marked; the original filing is the authoritative source.
Paychex, Inc. (PAYX) reported in this Form 8-K, filed January 26, 2026, that on January 23, 2026 it amended and extended its $750.0 milliona 2017 Credit Facility, with its subsidiary Paychex of New York LLC as borrower and Paychex, Inc. as parent.
The amendment increases the facility to $1.0 billionb, extends the maturity date from September 17, 2026 to January 23, 2031, and raises the incremental facility from $375 million to $500 million. The amendment also changes certain interest rate provisions and covenants. The same day, the parties amended the $1.0 billion 2019 Credit Facility, changing certain interest rate provisions and covenants.
The filing states that the 2019 Credit Facility continues to include an incremental facility of up to $500 millionc. Other terms of both facilities are described as substantially similar to the original terms, with customary restrictions on borrowing, liens, sale and leaseback transactions, and mergers or asset transfers.
In connection with these changes, Paychex Advance, LLC terminated its $250 milliond 2020 Credit Facility, effective January 23, 2026. The filing states that no loans were outstanding under that facility at termination.
02—Key points
Key Highlights
- 2017 Credit Facility upsized from $750 million to $1.0 billion and maturity extended from September 17, 2026 to January 23, 2031
- Incremental facility under the 2017 Credit Facility increased from $375 million to $500 million
- 2019 Credit Facility ($1.0 billion, five-year revolver) amended for interest rate and covenant provisions; it retains an incremental facility of up to $500 million
- Paychex Advance's $250 million 2020 Credit Facility terminated effective January 23, 2026, with no outstanding loans at termination
- Both amended facilities are syndicated with JPMorgan Chase Bank, N.A. as Administrative Agent
- Amendments include changes to certain interest rate provisions and covenants under both facilities
- Amendment No. 6 to the 2017 Credit Agreement and Amendment No. 4 to the 2019 Credit Agreement are filed as Exhibits 10.1 and 10.2
03—Questions
Frequently Asked Questions
What changed in Paychex's 2017 credit facility?
The facility's principal amount increased from $750 million to $1.0 billion, its maturity was extended from September 17, 2026 to January 23, 2031, and the incremental facility rose from $375 million to $500 million. Certain interest rate provisions and covenants were also amended.
Did the 2019 credit facility change?
Yes, the 2019 Credit Facility was amended to change certain interest rate provisions and covenants. The filing states the $1.0 billion facility still includes an incremental facility of up to $500 million.
Why was the 2020 credit facility terminated?
The filing states that Paychex Advance, LLC and Paychex, Inc. terminated the $250 million 2020 Credit Facility in connection with the amendment and extension of the 2017 Credit Facility and the amendment to the 2019 Credit Facility. No loans were outstanding under it at termination.
When do the amended credit facilities take effect and who are the lenders?
The amendments were entered into on January 23, 2026. The lenders are a syndicate for which JPMorgan Chase Bank, N.A. acts as Administrative Agent. The filing also notes that lenders and their affiliates have provided and may continue to provide commercial banking, investment banking, and other financial services to the company for customary fees.
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