Item 1.01. Entry into a Material Definitive Agreement.
On February 3, 2022, Kirby Corporation ("Kirby") entered into a Note Purchase
Agreement with a group of institutional investors (the "Note Purchase
Agreement"). The Note Purchase Agreement provides for the issuance by Kirby of
$300 million of unsecured fixed-rate senior notes, consisting of $60 million of
3.46% senior notes ("Series A Notes") and $240 million of 3.51% senior notes
("Series B Notes"), each due January 19, 2033. The Series A Notes are scheduled
to be issued on October 20, 2022 and the Series B Notes are scheduled to be
issued on January 19, 2023. No principal payments are required until maturity.
Beginning in 2023, interest payments of $5,250,000 will be due semi-annually on
January 19 and July 19 of each year, with the exception of the first payment on
January 19, 2023, which will be $525,000. The Company intends to use the
proceeds from the issuance of the notes and cash provided by operations to repay
the 3.29% senior unsecured notes due February 27, 2023.
The Note Purchase Agreement contains certain covenants on the part of Kirby,
including an interest coverage covenant, a debt-to-capitalization covenant, and
covenants relating to liens, asset sales and mergers, among others. The Note
Purchase Agreement also specifies certain events of default, upon the occurrence
of which the maturity of the notes may be accelerated, including failure to pay
principal and interest, violation of covenants, or default on other
indebtedness, among others.
The foregoing summary of the terms of the Note Purchase Agreement is qualified
in its entirety by reference to a copy of the Note Purchase Agreement filed as
Exhibit 10.1 to this report.
Item 2.03. Creation of a Direct Financial Obligation or an Obligation Under an
Off-Balance Sheet Arrangement of a Registrant.
On February 3, 2022, Kirby entered into a Note Purchase Agreement for the
issuance of $300 million of unsecured fixed rate notes. The description of the
Note Purchase Agreement in Item 1.01 of this report is incorporated by reference
into this Item 2.03.
© Edgar Online, source Glimpses
KIRBY CORPORATION 
