Company: MGRC
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0000950170-25-023116
Chunk: 25

Company: MCGRATH RENTCORP
Filing Date: 2025-02-19
Form: 10-K
Item: Item 8
Chunk 25
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 not otherwise defined herein have the meaning assigned to such terms in the Amended Credit Facility):•Permit the Consolidated Fixed Charge Coverage Ratio of EBITDA to fixed charges as of the end of any fiscal quarter to be less than 2.50 to 1.  At December 31, 2024 the actual ratio was 3.19 to 1.•Permit the Consolidated Leverage Ratio of funded debt to EBITDA at any time during any period of four consecutive fiscal quarters to be greater than 2.75 to 1.  At December 31, 2024, the actual ratio was 1.68 to 1.Amounts borrowed under the Credit Facility bear interest at the Company’s option at either:  (i) SOFR plus a defined margin, or (ii) the Agent bank’s prime rate (“base rate”) plus a margin.  The applicable margin for each type of loan is measured based upon the Consolidated Leverage Ratio at the end of the prior fiscal quarter and ranges from 1.00% to 1.75% for SOFR loans and 0% to 0.75% for base rate loans.  In addition, the Company pays an unused commitment fee for the portion of the $650.0 million credit facility that is not used.  These fees are based upon the Consolidated Leverage Ratio and range from 0.15% to 0.30%.  As of December 31, 2024 and 2023, the applicable margins were 1.25% for SOFR based loans, 0.25% for base rate loans and 0.20% for unused fees.  Amounts borrowed under the Sweep Service Facility are based upon the MUFG Union Bank, N.A. base rate plus an applicable margin and an unused commitment fee for the portion of the $20.0 million facility not used.  The applicable base rate margin and unused commitment fee rates for the Sweep Service Facility are the same as for the Amended Credit Facility.  The following information relates to the lines of credit for each of the following periods: 

        (dollar amounts in thousands)
         
        Year Ended December 31,

        2024

        2023

        Maximum amount outstanding
         
        $
        631,101

        $
        591,000

        Average amount outstanding
         
        $
        555,225

        $
        541,635

        Weighted