PILGRIM’S PRIDE CORPORATION (NASDAQ:PPC) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01. Entry Into a Material Definitive Agreement.
entered into a Third Amended and Restated Credit Agreement (the
Amended and Restated U.S. Credit Facility) with Coperatieve
Rabobank U.A., New York Branch (Rabobank), as administrative
agent and collateral agent, and the other lenders party thereto.
Among other things, the Amended and Restated U.S. Credit Facility
increased the revolving loan commitment from $700.0 million to
$750.0 million and increased the term loan commitment from $500.0
million to $800.0 million. In connection with the Amended and
Restated U.S. Credit Facility, the Company borrowed $300.0
million under the term loan commitment and applied the proceeds
to repay revolving loan borrowings.
date of the revolving loan commitment and the term loans was
extended from February 10, 2020 to May 6, 2022. to the Amended
and Restated U.S. Credit Facility, installments of principal on
the term loans are required to be made in an amount equal to
1.25% of the original principal amount of the term loans on a
quarterly basis prior to the maturity date of the term loans. In
addition, the minimum consolidated tangible net worth covenant
was amended.
Facility continue to be unconditionally guaranteed by certain of
the Companys subsidiaries and continue to be secured by a first
priority lien on (i) the accounts receivable and inventory of our
Company and its non-Mexico subsidiaries, (ii) 50% of the equity
interests in our domestic subsidiaries, To-Ricos, Ltd. and
To-Ricos Distribution, Ltd., and 65% of the equity interests in
our direct foreign subsidiaries and (iii) substantially all of
the assets of the Company and the guarantors under the Amended
and Restated U.S. Credit Facility.
Facility and the transactions contemplated by the Amended and
Restated U.S. Credit Facility does not purport to be complete and
is qualified in its entirety by reference to the text of the
Amended and Restated U.S. Credit Facility, which is filed as
Exhibit 10.1 hereto and incorporated into this report by
reference.
Obligation under an Off-Balance Sheet Arrangement of a
Registrant.
Form 8-K is incorporated by reference into this Item 2.03.
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Exhibit
Number
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Description
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10.1
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Third Amended and Restated Credit Agreement dated May
8, 2017 among Pilgrims Pride Corporation, the other loan parties thereto, and the lenders party thereto, and Coperatieve Rabobank U.A., New York Branch, as administrative agent and collateral agent. |
About PILGRIM’S PRIDE CORPORATION (NASDAQ:PPC)
Pilgrim’s Pride Corporation (Pilgrim’s) is a retail food store. The Company is a producer and seller of chicken products with operations in the United States, Mexico and Puerto Rico. The Company is engaged in the production, processing, marketing and distribution of fresh, frozen and value-added chicken products to retailers, distributors and foodservice operators. Pilgrim’s offers a range of products to its customers through various distribution channels. Pilgrim’s fresh chicken products include refrigerated (non-frozen) whole chickens, whole cut-up chickens and selected chicken parts that are either marinated or non-marinated. The Company’s prepared chicken products include fully cooked, ready-to-cook and individually frozen chicken parts, strips, nuggets and patties, some of, which are either breaded or non-breaded and either marinated or non-marinated. The Company serves its consumer products under the Gold Kist, County Post, Pierce Chicken, Pilgrim’s Pride and Pilgrim’s brands. PILGRIM’S PRIDE CORPORATION (NASDAQ:PPC) Recent Trading Information
PILGRIM’S PRIDE CORPORATION (NASDAQ:PPC) closed its last trading session down -0.51 at 24.20 with 1,540,876 shares trading hands.
