Item 1.01. Entry into a Material Definitive Agreement.



On August 18, 2021, Cummins Inc. (the "Company") entered into an Amended and
Restated Credit Agreement (the "5-Year Credit Agreement") by and among the
Company, certain of its subsidiaries (together with the Company, the
"Borrowers"), the lenders named therein (the "5-Year Lenders") and JPMorgan
Chase Bank, N.A. ("JPMorgan"), as administrative agent. Under the 5-Year Credit
Agreement, which will mature on August 18, 2026 (the "Maturity Date"), the
Borrowers may obtain revolving and swingline loans and letters of credit, in
each case subject to certain amount limitations, in an amount up to $2.0 billion
in the aggregate outstanding at any time prior to the Maturity Date. The 5-Year
Credit Agreement amends and restates in its entirety that certain Credit
Agreement, dated as of August 22, 2018, by and among the Company, certain
subsidiaries referred to therein, the lenders party thereto and JPMorgan, as
administrative agent.
On August 18, 2021, the Company also entered into a Third Amended and Restated
364-Day Credit Agreement (the "364-Day Credit Agreement," together with the
5-Year Credit Agreement, the "Credit Agreements") by and among the Company, the
other Borrowers party thereto, the lenders named therein (the "364-Day Lenders,"
together with the 5-Year Lenders, the "Lenders") and JPMorgan, as administrative
agent. Under the 364-Day Credit Agreement, the Borrowers may obtain revolving
and swingline loans, in each case subject to certain amount limitations, in an
amount up to $1.5 billion in the aggregate outstanding at any time prior to
August 17, 2022 (the "Commitment Termination Date"). The 364-Day Credit
Agreement amends and restates in its entirety that certain Second Amended and
Restated 364-Day Credit Agreement, dated as of August 19, 2020, by and among the
Company, certain subsidiaries referred to therein, the lenders party thereto and
JPMorgan, as administrative agent.
The borrowings under the Credit Agreements will not be secured with liens on any
of the Company's or its subsidiaries' assets. The Company will guarantee all
borrowings by the subsidiary Borrowers under the Credit Agreements.
The Company may from time to time (a) request incremental term loans and/or
increase the maximum availability under the 364-Day Credit Agreement by up to
$750 million and (b) request incremental term loans and/or increase the maximum
availability under the 5-Year Credit Agreement by up to $1.0 billion, in each
case if certain conditions are satisfied, including (i) the absence of any
default or event of default under the applicable Credit Agreement, and (ii) the
Company obtaining the consent of the Lenders participating in each such
increase. In addition, prior to the Commitment Termination Date, the Company
may, by notice to the administrative agent and subject to certain other
conditions set forth in the 364-Day Credit Agreement including the absence of
any default or event of default thereunder, elect to convert all or a ratable
portion of the outstanding revolving loans under the 364-Day Credit Agreement
into term loans (the "Term-Out Option") that will mature on the first
anniversary of the Commitment Termination Date. The Borrowers will pay a fee to
the 364-Day Lenders equal to 0.5% of the aggregate principal amount of the
outstanding revolving loans converted into term loans pursuant to the Term-Out
Option.
Borrowings under the Credit Agreements will bear interest at varying rates,
depending on the type of loan and, in some cases, the rates of designated
benchmarks and the applicable Borrower's election. For all borrowings under the
Credit Agreements, the applicable Borrower may choose among the following
interest rates: (i) solely in the case of U.S. dollar-denominated loans, an
interest rate equal to the highest of (1) the prime rate in effect from time to
time, (2) the greater of (A) the federal funds effective rate in effect from
time to time and (B) the overnight bank funding rate in effect from time to
time, in each case plus 0.5% and (3) the Adjusted LIBO Rate for a one month
interest period in U.S. dollars plus 1.00%; (ii) an interest rate equal to (1)
solely in the case of U.S. dollar-denominated eurocurrency loans, the Adjusted
LIBO Rate or (2) solely in the case of euro-denominated eurocurrency loans, the
Adjusted EURIBO Rate, as applicable, in each case for the applicable interest
period plus a rate ranging from 0.50% to 1.00% depending on the credit rating of
the Company's senior unsecured long-term debt (the "Applicable Rate"); (iii)
solely in the case of pound sterling-denominated loans, an interest rate equal
to the Daily Simple RFR plus the Applicable Rate; or (iv) solely in the case of
swingline loans, another rate agreed to by the applicable Lender and the
applicable Borrower. The Adjusted LIBO Rate and the Adjusted EURIBO Rate are
rates determined by reference to the rate payable on deposits in the relevant
currency in the London interbank market and the Eurozone interbank market,
respectively. Daily Simple RFR is a rate determined by reference to the average
interbank rate payable on eligible deposits in pound sterling. Currently, the
Company's senior unsecured long-term debt is rated A2 by Moody's Investors
Service, Inc. and A+ by Standard & Poor's Financial Services LLC, which would
result in an Applicable Rate of 0.75% for purposes of (ii) and (iii) above.
Credit ratings are not recommendations to buy and are subject to change, and
each rating should be evaluated independently of any other rating. In addition,
the Company undertakes no obligation to update disclosures concerning its credit
ratings, whether as a result of new information, future events or otherwise.
The Credit Agreements contain customary events of default and financial and
other covenants, including a financial covenant requiring that the ratio of the
consolidated net debt of the Company and its subsidiaries to the consolidated
total capital of the Company and its subsidiaries as of the last day of each
fiscal quarter not be greater than 0.65:1.
The description of each Credit Agreement set forth above is qualified by
reference to the 364-Day Credit Agreement and the 5-Year Credit Agreement, as
applicable, filed herewith as Exhibits 10.1 and 10.2, respectively, and
incorporated herein by reference.


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Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

The information included in Item 1.01 above is incorporated herein by reference.

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