On July 29, 2022, Paycom Software, Inc. entered into a credit agreement among the Company, its wholly owned subsidiary, Paycom Payroll, LLC, and certain other subsidiaries of the Company as guarantors of the obligations under the loan documents related to the Credit Agreement, JPMorgan Chase Bank, N.A., as a lender, swingline lender and issuing bank, the lenders from time to time party thereto, and JPMorgan Chase Bank, N.A., as the administrative agent. The Credit Agreement provides for a senior secured revolving credit facility (the “ Revolving Credit Facility”) in the aggregate principal amount of up to $650.0 million, and the ability to request an incremental facility of up to an additional $500.0 million, subject to obtaining additional lender commitments and certain approvals and satisfying certain other conditions. The Credit Agreement includes a $25.0 million sublimit for swingline loans and a $6.5 million sublimit for letters of credit.

The Credit Agreement also provides for a senior secured delayed draw term loan in the aggregate amount of up to $750.0 million. All loans under the Credit Agreement will mature on July 29, 2027. On the Closing Date, the Borrower borrowed $29.0 million under the Term Loan Facility to repay the outstanding indebtedness under the credit agreement, dated as of May 4, 2022, by and among the Company, the Borrower, certain other subsidiaries of the Company, Bank of America, N.A., as a lender, swingline lender and letters of credit issuer, the lenders from time to time party thereto and Bank of America, N.A., as the administrative agent (as amended from time to time, the “ Existing Revolving Credit Agreement”), along with accrued interest, expenses and fees.

The loan on the Closing Date will bear interest at the term Secured Overnight Financing Rate, plus 0.10% plus 1.25%. In connection with the repayment of the outstanding indebtedness under Existing Revolving Credit Agreement, the Existing Revolving Credit Agreement was terminated on July 29, 2022.