Company: ACCO
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0000950170-25-024931
Chunk: 135

Company: ACCO BRANDS Corp
Filing Date: 2025-02-21
Form: 10-K
Item: Item 1B
Chunk 135
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 working capital and making our annual performance-based compensation payments when earned. Our third and fourth quarter cash flows come from completing the working capital cycle.

Debt

The $264.7 million of debt currently outstanding under our senior secured credit facilities has a weighted average interest rate of 5.15 percent as of December 31, 2024 and the $575.0 million outstanding principal amount of our senior unsecured notes due March 2029 ("Senior Unsecured Notes") has a fixed interest rate of 4.25 percent.

Our Third Amended and Restated Credit Agreement was amended by the seventh amendment effective October 30, 2024, (as amended, the "Credit Agreement") and currently provides for a senior secured credit facility, which consists of a €184.8 million (US$200.0 million based on October 30, 2024 exchange rates) term loan facility, and a US$467.5 million multi-currency revolving credit facility (the "Revolving Facility").

The current pricing for borrowings under the Credit Agreement is as follows:

    Consolidated Leverage Ratio
     
    Applicable Rate on Euro/AUD/CDN Dollar Loans
     
    Applicable Rate on Base Rate Loans
     
    Undrawn Fee

    > 4.25
     
    2.25 %
     
    1.25 %
     
    0.375 %

    > 3.5
     
    2.00 %
     
    1.00 %
     
    0.350 %

    > 2.5
     
    1.75 %
     
    0.75 %
     
    0.300 %

    ≤ 2.5
     
    1.50 %
     
    0.50 %
     
    0.250 %

As of December 31, 2024, the applicable rate on Euro, Australian and Canadian dollar loans was 2.00 percent and the applicable rate on Base Rate loans was 1.00 percent. Undrawn amounts under the Revolving Facility are subject to a commitment fee rate of 0.25 percent to 0.375 percent per annum, depending on the Company's Consolidated Leverage Ratio. As of December 31, 2024, the commitment fee rate was 0.35 percent. 

Financial Covenants

The current financial covenants under the Credit Agreement are as follows:

•Minimum Interest Coverage Ratio