Boeing Secures New $3 Billion Revolving Credit Facility
Summary
On August 25, 2025, Boeing entered into a new $3.0 billion, 364-day revolving credit agreement with Citibank and JPMorgan, replacing a previous facility. This agreement provides Boeing with continued access to a significant credit line. The interest rates and fees are variable, depending on Boeing's credit rating and the borrowing basis (SOFR or other rates). The facility is set to terminate on August 24, 2026, but includes options for conversion to term loans or extensions. It also contains standard covenants, including maintaining liquidity of at least $5.0 billion and restricting consolidated debt to 60% of total capital.
Why It Matters
This new credit agreement ensures Boeing maintains strong liquidity and financial flexibility, which is crucial for its operations and managing potential market fluctuations. The terms reflect current market conditions and Boeing's credit profile.
Key Quote
“This facility replaces Boeing's previous $3.0 billion, three-year revolving credit agreement, which was scheduled to terminate on August 25, 2025.”
— From Item 1.01
Filing Details
Reported Items
Additional Information
- CIK Number
- 0000012927
- Filing Date
- Thursday, August 28, 2025
- Filing Time
- 12:00 AM UTC
- Form Type
- 8-K
- Materiality Level
- medium
- Sentiment
- positive