Carriage Services, Inc. (NYSE: CSV) has entered into a new senior secured revolving credit facility, as disclosed in a Form 8-K filed on September 30, 2026. The agreement, executed on the Closing Date of September 30, 2026, involves the Company, its subsidiaries, various lenders, and JPMorgan Chase Bank, N.A., which serves as the Administrative Agent.
The new facility, referred to as the Revolving Credit Facility, has an aggregate principal amount of up to $300,000,000. This replaces the Company's previous credit agreement, which had a capacity of $250,000,000. The new agreement increases the Company's committed borrowing capacity by $50,000,000.
Borrowings under the facility are subject to interest rates determined by the Company's Total Net Leverage Ratio. The interest options include the Alternate Base Rate plus an Applicable Rate or the Term SOFR Rate plus an Applicable Rate. The Applicable Rate ranges from 0.25% to 1.00% depending on the leverage tier.
The obligations under the Credit Agreement are secured by a first-priority security interest in substantially all of the Company's personal property assets and the equity interests of its subsidiaries. The facility is guaranteed by certain material domestic subsidiaries of the Company.
The Credit Agreement includes covenants that limit the Company's ability to incur debt, incur liens, make investments, engage in mergers, and pay dividends. The Company is required to maintain a maximum Total Net Leverage Ratio not to exceed 5.00 to 1.00 and a minimum Fixed Charge Coverage Ratio of at least 1.20 to 1.00.
The facility matures on the fifth anniversary of the Closing Date, or February 14, 2029, if the Company's Senior Notes are not refinanced by February 13, 2029, to include a maturity date of December 30, 2031 or later.
Proceeds from the facility may be used to repay, prepay, repurchase, or redeem indebtedness, for working capital and acquisitions, for capital expenditures, and for general corporate purposes.
