01—Abstract
Summary
Summary of the 8-K filed October 2, 2026. Cited figures are marked; the original filing is the authoritative source.
US Foods, Inc. entered into the Fourteenth Amendment to its Amended and Restated Term Loan Credit Agreement (dated as of June 27, 2016) on October 2, 2026.
The amendment provides for a single new tranche of incremental senior secured term loans (the 2026 Term Loan Facility) in an aggregate principal amount of $810 milliona, scheduled to mature on October 2, 2033. The company stated that proceeds, together with cash on hand, were used to repay in full (other than amounts rolled on a cashless basis into the new loans) its existing term loans maturing November 22, 2028, to prepay in part its existing term loans maturing October 3, 2031, to prepay certain revolving loans under its asset-based facility, and to pay related fees and expenses. The 2026 Term Loans bear interest at either Term SOFR plus a 1.50% margin or an alternative base rate plus a 0.50% margin, at the company's option.
They amortize in equal quarterly installments at 1%b per annum of original principal, with the balance due at maturity. Voluntary prepayments are permitted without penalty or premium, except for customary breakage costs on SOFR-based borrowings and a 1.00% premium on any "repricing transaction" within six months of the closing date. The obligations are guaranteed by certain subsidiaries and secured by the capital stock of the company and its subsidiaries and substantially all non-real estate assets of the company and certain subsidiaries.
The filing also describes the Credit Agreement's customary covenants, which restrict asset dispositions, additional indebtedness, restricted payments, liens, affiliate transactions, and mergers or sales of substantially all assets, along with customary events of default including cross-default and change of control. The full terms are set out in Exhibit 10.1, the Fourteenth Amendment, which is incorporated by reference.
02—Key points
Key Highlights
- On October 2, 2026, US Foods, Inc. entered into the Fourteenth Amendment to its Credit Agreement, establishing $810 million of new incremental senior secured term loans.
- The 2026 Term Loans mature on October 2, 2033, with 1% annual amortization paid in equal quarterly installments.
- Pricing is Term SOFR plus 1.50% or an alternative base rate plus 0.50%, at the company's option.
- Proceeds, together with cash on hand, were used to repay in full (apart from cashless rolled amounts) term loans due November 22, 2028, partially prepay term loans due October 3, 2031, prepay certain asset-based revolving loans, and pay fees and expenses.
- A 1.00% prepayment premium applies to any repricing transaction within six months of the closing date; otherwise voluntary prepayments are made without penalty or premium aside from breakage costs.
- The new loans are guaranteed by certain subsidiaries and secured by the company's and its subsidiaries' capital stock and substantially all non-real estate assets.
- The Credit Agreement's covenants restrict dispositions, additional debt, restricted payments, liens, affiliate transactions, and mergers or sales of substantially all assets.
03—Questions
Frequently Asked Questions
How much new debt did US Foods take on under the amendment?
The Fourteenth Amendment provides for a single new tranche of incremental senior secured term loans in an aggregate principal amount of $810 million.
When do the new term loans mature?
The 2026 Term Loans are scheduled to mature on October 2, 2033.
How is interest priced on the new term loans?
At the company's option, borrowings bear interest at either Term SOFR plus a 1.50% margin or an alternative base rate plus a 0.50% margin.
What were the proceeds used for?
Along with cash on hand, proceeds were used to repay in full (other than cashless rolled amounts) term loans scheduled to mature on November 22, 2028, to prepay in part term loans maturing October 3, 2031, to prepay certain asset-based revolving loans, and to pay related fees and expenses.
Are there penalties for prepaying the new loans?
Voluntary prepayments may be made without penalty or premium, other than customary breakage costs on SOFR-based borrowings and a 1.00% premium on any repricing transaction within six months of the closing date.
04—Continue