Watsco completes $600M unsecured credit facility

Watsco signed a $600M unsecured revolving credit facility led by Bank of America, N.A. as Administrative Agent, JPMorgan Chase Bank, N.A. as Syndication Agent, and Wells Fargo Bank, National Association and U.S. Bank National Association as Documentation Agents including six other banks. In anticipation of the cessation of the London Interbank Offered Rate, this facility is linked to the new Secured Overnight Financing Rate. The new facility replaces Watsco’s existing $560M unsecured revolving credit facility. Borrowings under the five-year $600M unsecured credit facility will be used for working capital, acquisitions, dividends, and other general purposes and bear interest at different rates depending on the types of advances or loans the Company selects. Terms of the agreement include increased borrowing capacity, covenant flexibility, and greater sensitivity to the seasonal nature of our working capital requirements.