Item 1.01 Entry into a Material Definitive Agreement.
Amendment of Existing Private Placement Shelf Facilities
On June 23, 2020, Henry Schein, Inc. (the "Company") amended its (i) Second
Amended and Restated Multicurrency Private Shelf Agreement, dated as of June 29,
2018, by and among the Company, PGIM, Inc. ("Prudential") and each Prudential
affiliate which becomes party thereto, (ii) Second Amended and Restated Master
Note Facility, dated as of June 29, 2018, by and among the Company, NYL
Investors LLC (as successor in interest to New York Life Investment Management
LLC) ("New York Life") and each New York Life affiliate which becomes party
thereto, and (iii) Second Amended and Restated Multicurrency Master Note
Purchase Agreement, dated as of June 29, 2018, by and among the Company,
Metropolitan Life Insurance Company ("MLIC"), MetLife Investment Management, LLC
(as successor in interest to MetLife Investment Advisors Company, LLC) ("MLIAC,"
and together with MLIC, "MetLife") and each MetLife affiliate which becomes
party thereto (the amendments listed in clauses (i) through (iii) above,
collectively, the "Private Shelf Amendments"), in each case, to, among other
things, (A) extend the scheduled facility termination dates to June 23, 2023,
(B) temporarily modify the financial covenant from being based on total leverage
ratio to net leverage ratio until March 31, 2021, (C) increase the maximum
maintenance leverage ratio through March 31, 2021, but with a 1.00% interest
rate increase on the outstanding notes if the net leverage ratio exceeds 3.0x,
which will remain in effect until the Company delivers financials for a
four-quarter period ending on or after June 30, 2021 showing compliance with the
total leverage ratio requirement, and (D) make certain other changes conforming
to the Revolving Credit Agreement, dated as of April 18, 2017 (as amended by
that certain First Amendment, dated as of June 29, 2018, and that certain Second
Amendment, dated as of April 17, 2020), by and among the Company, JPMorgan Chase
Bank, N.A., as administrative agent, and the lenders and other agents party
thereto.
The above description of the Private Shelf Amendments is not complete and is
qualified in its entirety by the actual terms of the Private Shelf Amendments,
copies of which are attached hereto as Exhibit 4.1, Exhibit 4.2 and Exhibit 4.3,
respectively, and are incorporated herein by reference.
Amendments to Existing Receivables Purchase Agreement
On June 22, 2020, the Company amended its Receivables Purchase Agreement, dated
as of April 17, 2013 (as amended by that certain Omnibus Amendment No. 1, dated
as of July 22, 2013, that certain Omnibus Amendment No. 2, dated as of April 21,
2014, that certain Amendment No. 1 to Receivables Purchase Agreement, dated as
of September 22, 2014, that certain Amendment No. 2 to Receivables Purchase
Agreement, dated as of April 14, 2015, that certain Amendment No. 3 to
Receivables Purchase Agreement, dated as of June 1, 2016, that certain Amendment
No. 4 to Receivables Purchase Agreement, dated as of July 6, 2017, and that
certain Amendment No. 5 to Receivables Purchase Agreement, dated as of March 13,
2019), by and among the Company, as servicer, HSFR, Inc., as seller, the
existing lender, as agent and the various purchaser groups from time to time
party thereto, to, among other things, extend the scheduled facility termination
date to June 12, 2023 and adjust certain covenant levels, in particular for the
second and third quarters of 2020 (the "Receivables Amendment").
The foregoing description of the Receivables Amendment in this Form 8-K is not
complete and is qualified in its entirety by the actual terms of the Receivables
Amendment, a copy of which is attached hereto as Exhibit 10.1 and is
incorporated herein by reference.
Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an
Off-Balance Sheet Arrangement of a Registrant.
The information required by this Item is included in Item 1.01 of this Current
Report on Form 8-K and is incorporated herein by reference.
Item 7.01 Regulation FD Disclosure.
On June 25, 2020, the Company issued a press release announcing the Private
Shelf Amendments and the Receivables Amendment.
A copy of the press release is attached as Exhibit 99.1 to this Current Report
on Form 8-K. Such press release shall not be deemed "filed" for any purpose,
including for the purposes of Section 18 of the Securities Exchange Act of 1934,
as amended (the "Exchange Act"), or otherwise subject to the liabilities of that
Section. The information in Item 7.01, including Exhibit 99.1, shall not be
deemed incorporated by reference into any filing under the Exchange Act or the
Securities Act of 1933, as amended, regardless of any general incorporation
language in such filing.
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Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
4.1 First Amendment to Second Amended and Restated Multicurrency
Private Shelf Agreement, dated as of June 23, 2020, by and among
the Company, PGIM, Inc. and each Prudential affiliate which
becomes party thereto
4.2 First Amendment to Second Amended and Restated Master Note
Facility, dated as of June 23, 2020, by and among the Company,
NYL Investors LLC and each New York Life affiliate which becomes
party thereto
4.3 First Amendment to Second Amended and Restated Multicurrency
Master Note Purchase Agreement, dated as of June 23, 2020, by and
among the Company, Metropolitan Life Insurance Company, MetLife
Investment Management, LLC and each MetLife affiliate which
becomes party thereto
10.1 Amendment No. 6 dated as of June 22, 2020, to the Receivables
Purchase Agreement, dated as of April 17, 2013, by and among the
Company, as servicer, HSFR, Inc., as seller, Lender, as agent and
the various purchaser groups from time to time party thereto, as
amended
Exhibit 99.1 Press Release dated June 25, 2020
Exhibit 104 Cover Page Interactive Data File (embedded within the Inline XBRL
document)
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