Graco Inc. (NYSE:GGG) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01. Entry into a Material Definitive Agreement
Third Amendment to Credit Agreement that amends its Credit
Agreement with U.S. Bank National Association, as administrative
agent and a lender, and the other lenders that are parties
thereto (the Credit Agreement). The amended agreement, among
other things, extends the maturity of the Companys
$500>million unsecured revolving credit facility from June 26,
2019 to December 15, 2021; increases the accordion feature in the
facility from $150 million to $250 million; and provides
mechanisms for two further one-year extensions of the maturity,
subject to the consent of the extending banks.
in U.S. Dollars or certain other currencies. Outstanding loans in
currencies other than U.S. Dollars cannot exceed $200 million in
the aggregate. Loans denominated in U.S. Dollars may bear
interest, at the Companys option, at either a base rate or a
LIBOR-based rate. Loans denominated in currencies other than U.S.
Dollars will bear interest at a LIBOR-based rate. The base rate
is an annual rate equal to a margin ranging from 0.00% to 0.75%
(down from 0.00% to 0.875%), depending on the Companys cash flow
leverage ratio, plus the highest of (i) the rate of interest from
time to time announced by the Agent as its prime rate, (ii) the
federal funds effective rate plus 0.50%, or (iii) one-month LIBOR
plus 1.50%. In general, LIBOR-based loans bear interest at a rate
per annum equal to LIBOR, plus a margin ranging from 1.00% to
1.75% (down from 1.00% to 1.875%), depending on the Companys cash
flow leverage ratio.
Company is required to pay a facility fee on the unused amount of
the loan commitments at a rate per annum ranging from 0.125% to
0.25% (down from 0.15% to 0.30%), depending on the Companys cash
flow leverage ratio.
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10.1
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Third Amendment to Credit Agreement, dated December 15,
2016, amending the Credit Agreement among Graco Inc., the borrowing subsidiaries from time to time party thereto, the banks from time to time party thereto and U.S. Bank National Association, as administrative agent. |
About Graco Inc. (NYSE:GGG)
Graco Inc. (Graco) is a manufacturing company. The Company designs, manufactures and markets equipment to pump, meter, mix and dispense fluid and powder materials. The Company operates through three segments: Industrial, Process and Contractor. The Industrial segment markets equipment and pre-engineered packages for moving and applying paints, coatings, sealants, adhesives and other fluids. The Process segment markets pumps, valves, meters and accessories to move and dispense chemicals, oil and natural gas, water, wastewater, petroleum, food, lubricants and other fluids. The Contractor segment markets sprayers for architectural coatings for painting, corrosion control, texture and line striping. Its equipment is used in the construction, automotive, mining, oil and natural gas, process, public works and other industries. Graco sells its products in North, Central and South America (the Americas), Europe, Middle East and Africa (EMEA) and Asia Pacific. Graco Inc. (NYSE:GGG) Recent Trading Information
Graco Inc. (NYSE:GGG) closed its last trading session down -0.23 at 83.90 with 163,541 shares trading hands.