Coca-Cola Consolidated has entered into significant credit agreements on June 10, 2024, securing $1.3 billion in term loan facilities with Wells Fargo Bank. The facilities include an $800 million three-year term loan maturing in 2027 and a $500 million five-year term loan maturing in 2029. The company can potentially increase the term loan facilities by an additional $500 million subject to lender commitments.The company simultaneously established a new $500 million five-year revolving credit facility, replacing its existing credit agreement from July 2021. This facility includes provisions for swingline loans up to $50 million and letters of credit up to $75 million, with potential expansion by $250 million. The proceeds may be used for general corporate purposes, including stock repurchases, working capital, dividends, and capital expenditures.Both agreements include...Show More

Coca-Cola Consolidated has entered into significant credit agreements on June 10, 2024, securing $1.3 billion in term loan facilities with Wells Fargo Bank. The facilities include an $800 million three-year term loan maturing in 2027 and a $500 million five-year term loan maturing in 2029. The company can potentially increase the term loan facilities by an additional $500 million subject to lender commitments.The company simultaneously established a new $500 million five-year revolving credit facility, replacing its existing credit agreement from July 2021. This facility includes provisions for swingline loans up to $50 million and letters of credit up to $75 million, with potential expansion by $250 million. The proceeds may be used for general corporate purposes, including stock repurchases, working capital, dividends, and capital expenditures.Both agreements include customary financial covenants requiring the company to maintain a consolidated cash flow/fixed charges ratio of 1.5:1.0 or higher and a consolidated funded indebtedness/cash flow ratio of 6.0:1.0 or lower. Interest rates for the facilities are based on the company's debt rating, with Term SOFR rate loans ranging from 0.75% to 1.50% plus applicable adjustments.