Company: DRH-PA
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001298946-25-000077
Chunk: 14

Company: DiamondRock Hospitality Co
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 1
Chunk 14
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 “Term 3 Loan”). The maturity date of the Revolving Credit Facility, Term 1 Loan and Term 3 Loan may be extended for two additional six-month periods upon the payment of applicable fees and satisfaction of certain standard conditions. The Company also has the right to increase the aggregate capacity of the Amended Credit Facility to $1.8 billion upon the satisfaction of certain standard conditions. The $300.0 million upsizing of the Amended Credit Facility fully funds the repayment of the Company’s three mortgage loans that matured or will mature in 2025. The mortgage loans secured by the Worthington Renaissance Fort Worth Hotel and the Hotel Clio, which together had a principal balance totaling approximately $125.0 million, were repaid on their respective maturity dates in May 2025 and July 2025 prior to the closing of the Amended Credit Facility. The Company intends to prepay the mortgage loan secured by the Westin Boston Seaport District in September 2025. Following this repayment, the Company will have no debt maturities until January 2028 and its portfolio will be fully unencumbered by secured debt.As of June 30, 2025, interest was paid on the periodic advances on the revolving credit facility and amounts outstanding on the term loans at varying rates, based upon the adjusted Secured Overnight Financing Rate (“SOFR”), as defined in the Credit Agreement and Amended Credit Facility, plus an applicable margin. The applicable margin is based upon our leverage ratio, as follows:

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Leverage RatioApplicable Margin for Revolving LoansApplicable Margin for Term LoansLess than 30%1.40%1.35%Greater than or equal to 30% but less than 35%1.45%1.40%Greater than or equal to 35% but less than 40%1.50%1.45%Greater than or equal to 40% but less than 45%1.60%1.55%Greater than or equal to 45% but less than 50%1.80%1.75%Greater than or equal to 50% but less than 55%1.95%1.85%Greater than or equal to 55%2.25%2.20% The Credit Agreement and Amended Credit Facility contain various financial covenants. These financial covenants are not changed or waived by the Amended Credit Facility. A summary of the most significant covenants is as follows