Stanley Black & Decker Amends Credit Agreements to Adjust EBITDA and Interest Coverage Covenants

STANLEY BLACK & DECKER, INC.

Amended $1.5B 364-day, $500M 364-day, and 5-year credit agreements on Feb 23, 2023.
EBITDA definition expanded to allow addbacks for restructuring, M&A, Russia closure, and other charges up to $500M per period.
Interest coverage ratio requirement reduced from 3.50x to 1.50x for four fiscal quarters ending Q3 2023 through Q2 2024.
Lenders received a one-time amendment fee of 3 basis points of their commitment.
Amendments involve Citibank as agent and multiple lenders including Bank of America, JPMorgan, Wells Fargo.

Key facts

Extracted from this filing and checked against the source text.

Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.95

STANLEY BLACK & DECKER, INC. amended Amendment No. 1 to $1,500,000,000 364-Day Credit Agreement with Citibank, N.A., as administrative agent for the lenders valued at Amends definition of EBITDA to permit certain adjustment addbacks up to $500 million per Adjustment (effective 2023-02-23).

Action: amendment
Agreement: credit facility
Counterparty: Citibank, N.A., as administrative agent for the lenders
Value: Amends definition of EBITDA to permit certain adjustment addbacks up to $500 million per Adjustment
Effective: 2023-02-23

Exact text from the filing

On February 23, 2023, the Company, the lenders identified on the signature pages thereto, and Citibank, N.A., as agent for the lenders, entered into (i) Amendment No. 1 to the $1,500,000,000 364-Day Credit Agreement, which amends the Syndicated 364-Day Credit Agreement (“ Amendment No. 1 to Syndicated 364-Day Credit Agreement ”), (ii) Amendment No. 1 to the $500,000,000 364-Day Credit Agreement, which amends the Club 364-Day Credit Agreement (“ Amendment No. 1 to Club 364-Day Credit Agreement ”), and (iii) Amendment No. 2 to the Amended and Restated Five Year Credit Agreement, which amends the 5-Year Credit Agreement (“ Amendment No. 2 to 5-Year Credit Agreement ” and, together with Amendment No. 1 to Syndicated 364-Day Credit Agreement and Amendment No. 1 to Club 364-Day Credit Agreement, the “ Amendments ”).

View on SEC.gov

Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.95

STANLEY BLACK & DECKER, INC. amended Amendment No. 1 to $500,000,000 364-Day Credit Agreement with Citibank, N.A., as administrative agent for the lenders valued at Amends definition of EBITDA to permit certain adjustment addbacks up to $500 million per Adjustment (effective 2023-02-23).

Action: amendment
Agreement: credit facility
Counterparty: Citibank, N.A., as administrative agent for the lenders
Value: Amends definition of EBITDA to permit certain adjustment addbacks up to $500 million per Adjustment
Effective: 2023-02-23

Exact text from the filing

On February 23, 2023, the Company, the lenders identified on the signature pages thereto, and Citibank, N.A., as agent for the lenders, entered into (i) Amendment No. 1 to the $1,500,000,000 364-Day Credit Agreement, which amends the Syndicated 364-Day Credit Agreement (“ Amendment No. 1 to Syndicated 364-Day Credit Agreement ”), (ii) Amendment No. 1 to the $500,000,000 364-Day Credit Agreement, which amends the Club 364-Day Credit Agreement (“ Amendment No. 1 to Club 364-Day Credit Agreement ”), and (iii) Amendment No. 2 to the Amended and Restated Five Year Credit Agreement, which amends the 5-Year Credit Agreement (“ Amendment No. 2 to 5-Year Credit Agreement ” and, together with Amendment No. 1 to Syndicated 364-Day Credit Agreement and Amendment No. 1 to Club 364-Day Credit Agreement, the “ Amendments ”).

View on SEC.gov

Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.95

STANLEY BLACK & DECKER, INC. amended Amendment No. 2 to Amended and Restated Five Year Credit Agreement with Citibank, N.A., as administrative agent for the lenders valued at Amends definition of EBITDA to permit certain adjustment addbacks up to $500 million per Adjustment (effective 2023-02-23).

Action: amendment
Agreement: credit facility
Counterparty: Citibank, N.A., as administrative agent for the lenders
Value: Amends definition of EBITDA to permit certain adjustment addbacks up to $500 million per Adjustment
Effective: 2023-02-23

Exact text from the filing

On February 23, 2023, the Company, the lenders identified on the signature pages thereto, and Citibank, N.A., as agent for the lenders, entered into (i) Amendment No. 1 to the $1,500,000,000 364-Day Credit Agreement, which amends the Syndicated 364-Day Credit Agreement (“ Amendment No. 1 to Syndicated 364-Day Credit Agreement ”), (ii) Amendment No. 1 to the $500,000,000 364-Day Credit Agreement, which amends the Club 364-Day Credit Agreement (“ Amendment No. 1 to Club 364-Day Credit Agreement ”), and (iii) Amendment No. 2 to the Amended and Restated Five Year Credit Agreement, which amends the 5-Year Credit Agreement (“ Amendment No. 2 to 5-Year Credit Agreement ” and, together with Amendment No. 1 to Syndicated 364-Day Credit Agreement and Amendment No. 1 to Club 364-Day Credit Agreement, the “ Amendments ”).

View on SEC.gov

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STANLEY BLACK & DECKER, INC. filing history →

Source: SEC EDGAR

accession 0001193125-23-046483

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