Insulet Corporation announced that it entered into a Credit Agreement by and among the Company, the lenders and other parties from time to time party thereto and Morgan Stanley Senior Funding Inc., as administrative agent and collateral agent, which provides for senior secured financing of up to $560 million, consisting of a term loan facility in an aggregate principal amount of $500 million and a revolving credit facility and, together with the Term Loan Facility, the in an aggregate principal amount of up to $60 million, including a letter of credit sub-facility of up to $10 million. Proceeds of loans borrowed and letters of credit issued under the Senior Facilities will be used for working capital and other general corporate purposes of the Company and its subsidiaries, including to retire indebtedness and/or to fund investments. The Company borrowed the full amount of the Term Loan Facility on the Closing Date, and as of the Closing Date, the Revolving Credit Facility was undrawn. The Senior Facilities are guaranteed by each of the Company’s wholly owned domestic subsidiaries, and are secured by substantially all assets of the Company and of each subsidiary guarantor, in each case subject to certain exceptions. Borrowings under the Senior Facilities bear interest at a rate per annum equal to, at the Company’s option, either (a) a LIBO rate, subject to a 0.50% floor for the Term Loan Facility and a 0.00% floor for the Revolving Credit Facility, or (b) a base rate, in each case, plus an applicable margin of, in the case of borrowings under the Term Loan Facility, 3.25% for LIBOR loans and 2.25% for base rate loans and, in the case of borrowings under the Revolving Credit Facility, initially, 3.25% for LIBOR loans and 2.25% for base rate loans. The applicable margin for borrowings under the Revolving Credit Facility varies depending on the Company’s adjusted total leverage ratio, as defined in the Credit Agreement. The Company is also required to pay a commitment fee initially equal to 0.50% per annum to the lenders under the Revolving Credit Facility in respect of the unutilized commitments thereunder. The commitment fee under the Revolving Credit Facility varies depending on the Company’s adjusted total leverage ratio. The Term Loan Facility matures on the seven year anniversary of the Closing Date and amortizes in equal quarterly installments of 0.25% of the initial principal amount, starting with the first full fiscal quarter after the Closing Date. The Revolving Credit Facility matures on the three year anniversary of the Closing Date. In addition, the Company is required to prepay outstanding loans under the Term Loan Facility, subject to certain exceptions, with up to 50% of the Company’s annual excess cash flow, as defined in the Credit Agreement, and 100% of the net cash proceeds of certain recovery events and non-ordinary course asset sales.