0001104659-26-037831
SEC filingThe Cheesecake Factory Incorporated entered into a new $400 million unsecured revolving credit facility maturing March 2031, replacing its prior facility and including a $200 million accordion feature.
The Cheesecake Factory Incorporated has executed a comprehensive refinancing of its primary credit facility, entering into the Fifth Amended and Restated Loan Agreement on March 26, 2026. This new unsecured $400 million revolving credit facility replaces the previous Fourth Amended and Restated Loan Agreement from October 2022, extending the maturity by five years to March 26, 2031. The facility is structured with JPMorgan Chase Bank, N.A. as administrative agent and includes Bank of America, Wells Fargo, and BMO as co-syndication agents.
The facility offers significant financial flexibility through a $200 million accordion feature, potentially expanding total capacity to $600 million, alongside specific sublimits of $85 million for letters of credit and $10 million for swingline loans. Pricing is dynamic, linked directly to the company's Net Adjusted Leverage Ratio, with applicable margins ranging from 1.00% to 1.50% over Term SOFR. The company will also pay a commitment fee ranging from 0.125% to 0.225% on unused amounts.
Financial covenants include a maximum Net Adjusted Leverage Ratio of 4.25x and a minimum EBITDAR coverage ratio of 1.90x, tested quarterly. The unsecured nature of the facility and the explicit allowance for dividends and stock repurchases under the use of proceeds suggest management's confidence in maintaining a strong credit profile while returning capital to shareholders.