PULTEGROUP, INC. (NYSE:PHM) Files An 8-K Entry into a Material Definitive AgreementITEM 1.01 ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT
On June 22, 2018, PulteGroup, Inc. (the “Company”), entered into the Second Amended and Restated Credit Agreement ("Amended Credit Agreement") providing for a senior, unsecured revolving credit facility among Bank of America, N.A., as Administrative Agent; JPMorgan Chase Bank, N.A. as Syndication Agent; Citibank, N.A., Mizuho Bank, Ltd., and SunTrust Bank, as Documentation Agents; and the other Lenders party thereto. The Amended Credit Agreement replaces the Company's previous credit agreement, most recently amended October 13, 2017, that contained substantially similar terms and extends the maturity date from June 28, 2019 to June 22, 2023. The Amended Credit Agreement has an uncommitted accordion feature under which the Company may increase the aggregate commitment amount from $1.0 billion to $1.5 billion, subject to certain conditions and availability of additional bank commitments. The Amended Credit Agreement also provides for the issuance of letters of credit with a sublimit equal to 50% of the aggregate commitment amount, for an initial sublimit of $500 million.
Similar to the previous credit agreement, the Amended Credit Agreement contains financial covenants that require the Company to maintain a minimum Interest Coverage Ratio and Tangible Net Worth and to maintain a Debt to Capitalization Ratio below a maximum level as defined therein. Outstanding borrowings under the Facility are guaranteed by the Company’s wholly-owned subsidiaries listed as guarantors to the Amended Credit Agreement.
A copy of the Amended Credit Agreement is attached as Exhibit 10.1 hereto and is herein incorporated by reference. The above referenced summary of the material terms of the Amended Credit Agreement is qualified in its entirety by reference to Exhibit 10.1.
ITEM 2.03 CREATION OF A DIRECT FINANCIAL OBLIGATION OR AN OBLIGATION UNDER AN OFF-BALANCE SHEET ARRANGEMENT OF A REGISTRANT
All the information set forth above under Item 1.01 is hereby incorporated by reference into this Item 2.03.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS
(d) Exhibits
PULTEGROUP INC/MI/ ExhibitEX-10.1 2 ex101phm-2ndamendmenttorca.htm EXHIBIT 10.1 – SECOND AMENDMENT TO AMENDED CREDIT AGREEMENT 6-22-2018 Exhibit Published CUSIP Number: 74587JAG9SECOND AMENDED AND RESTATED CREDIT AGREEMENT Dated as of June 22,…To view the full exhibit click here
About PULTEGROUP, INC. (NYSE:PHM)
PulteGroup, Inc. is a homebuilder operating in the United States. The Company, through Pulte Mortgage LLC, is engaged in mortgage banking operations and title operations. The Company’s subsidiaries are also engaged in the homebuilding business. The Company operates through Homebuilding and Financial Services segments. The Company’s homebuilding business, includes the acquisition and development of land primarily for residential purposes within the United States and the construction of housing on that land. The Company’s brands include Pulte Homes, Del Webb and Centex. The Company, through its brands, offer a range of home designs, including single-family detached, townhouses, condominiums and duplexes. Its Homebuilding Operations segment operates through six geographical segments: Northeast, Southeast, Florida, Midwest, Texas and West. The Company conducts its Financial Services operations, which includes mortgage and title operations, through Pulte Mortgage LLC and other subsidiaries.
