01—Abstract
Summary
Summary of the 8-K filed April 1, 2024. Cited figures are marked; the original filing is the authoritative source.
On March 29, 2024, Block, Inc. (formerly known as Square, Inc.) entered into the Eighth Amendment to its Revolving Credit Agreement with its lenders and Goldman Sachs Bank USA, as administrative agent.
The amendment modifies the Amended Credit Agreement, which originally dated from May 1, 2020 and had been amended seven times before, most recently by the Seventh Amendment dated June 9, 2023. The purpose of the Revolver Amendment is to give Block and its subsidiaries additional flexibility with respect to warehouse facilities, securitization facilities, and receivables financings involving accounts receivable or other rights to payment. The filing describes the change only in these terms and does not state the amended borrowing terms, amounts, or pricing.
The Revolver Amendment is filed as Exhibit 10.1 and is incorporated by reference, and the filing also includes the cover page interactive data file (Exhibit 104). Item 2.03 incorporates the Item 1.01 disclosure by reference, so the amendment is also treated as the creation of a direct financial obligation for reporting purposes.
02—Key points
Key Highlights
- Block, Inc. (formerly Square, Inc.) entered into the Eighth Amendment to its Revolving Credit Agreement on March 29, 2024.
- Goldman Sachs Bank USA serves as administrative agent under the amended facility, with the lenders party thereto.
- The Revolver Amendment amends the Revolving Credit Agreement originally dated May 1, 2020, which had been amended seven times previously, most recently on June 9, 2023.
- The amendment adds flexibility for Block and its subsidiaries regarding warehouse facilities, securitization facilities, and receivables financings involving accounts receivable or other rights to payment.
- The filing is disclosed under Item 1.01 (Material Definitive Agreement) and Item 2.03 (Creation of a Direct Financial Obligation), with Item 2.03 incorporating the Item 1.01 disclosure by reference.
- The full amendment is filed as Exhibit 10.1, and the filing states that the summary description is qualified in its entirety by that exhibit.
03—Questions
Frequently Asked Questions
What did Block, Inc. agree to on March 29, 2024?
Block entered into the Eighth Amendment to its Revolving Credit Agreement with its lenders and Goldman Sachs Bank USA, as administrative agent, amending the agreement originally dated May 1, 2020.
What is the purpose of the amendment?
The amendment is intended to provide Block and its subsidiaries additional flexibility with respect to warehouse facilities, securitization facilities, or receivables financings involving accounts receivable or other rights to payment.
Who is the administrative agent for the facility?
Goldman Sachs Bank USA is the administrative agent under the Amended Credit Agreement and the Revolver Amendment.
Why is this filing reported under Item 2.03?
Item 2.03 covers the creation of a direct financial obligation or an off-balance sheet arrangement. The filing incorporates the Item 1.01 disclosure about the amendment into Item 2.03 by reference.
Where can investors find the full terms of the amendment?
The filing states that the full text of the Revolver Amendment is filed as Exhibit 10.1 and that the summary description is qualified in its entirety by reference to that exhibit.
04—Continue