Business Context and Reporting Period
This Form 8-K was filed by Burlington Stores, Inc. on March 3, 2020, reporting events occurring on February 26, 2020. The filing concerns Burlington Coat Factory Warehouse Corporation, an indirect wholly-owned subsidiary of the registrant.
Key Financial Metrics
The filing does not provide specific values for revenue, profit, cash flow, margins, total debt, or liquidity. The report focuses exclusively on a modification to the company's existing term loan facility.
Material Changes
On February 26, 2020, the subsidiary entered into Amendment No. 8 to its Term Loan Credit Agreement (originally dated February 24, 2011). The primary material change is a reduction in interest rate margins:
- Prime Rate Loans: Margin reduced from 1.00% to 0.75%.
- LIBOR Loans: Margin reduced from 2.00% to 1.75%.
- LIBOR Floor: Set at 0.00%.
JPMorgan Chase Bank, N.A. served as the administrative agent, lead arranger, and bookrunner for this amendment.
Guidance, Outlook, and Risks
The filing contains no management commentary, forward-looking guidance, or discussion of risks and contingencies beyond the execution of the credit agreement amendment. No unusual items were reported.
Investor Verification Checklist
- Verify the total outstanding principal balance of the Term Loan Credit Agreement to calculate the annual interest savings resulting from the margin reduction.
- Review the full text of Amendment No. 8 (Exhibit 10.1) for any new covenants, fees, or maturity date changes not summarized in this report.
- Confirm the current applicable prime rate and LIBOR benchmarks to determine the effective interest rate post-amendment.