Summary
Sherwin-Williams Company (SHW) has entered into a new three-year, $500 million Credit Agreement, effective January 8, 2010. This facility provides flexibility, allowing for potential increases up to $750 million, and matures on January 8, 2013, with options for two one-year extensions. The agreement is designed to support general corporate purposes, including working capital and commercial paper borrowings. This new credit facility replaces a previous $845 million agreement that was terminated on the same date and would have otherwise expired in July 2010. Notably, there were no outstanding borrowings under the prior agreement at the time of its termination, and as of the filing date, Sherwin-Williams had no outstanding borrowings under the new agreement. The terms and covenants within the new agreement are substantially similar to the previous one, indicating a continuity in the company's financing structure and risk management approach.
Key Highlights
- 1Entry into a new $500 million, three-year Credit Agreement effective January 8, 2010.
- 2The new credit facility has an accordion feature, allowing it to be increased up to $750 million.
- 3Maturity date is set for January 8, 2013, with two one-year extension options.
- 4The facility can be used for general corporate purposes, working capital, and commercial paper support.
- 5The new agreement replaces a prior $845 million credit facility that was terminated on January 8, 2010.
- 6No borrowings were outstanding under the prior facility at termination, and none under the new facility as of the filing date.
- 7Covenants and terms in the new agreement are substantially similar to the prior agreement.