Werner Enterprises, Inc. entered into a new unsecured credit agreement on October 5, 2026, replacing its previous facility. The new agreement, valued at $1.1 billion, matures on October 5, 2031. BMO Bank, N.A. serves as the Administrative Agent, Swingline Lender, and Issuing Lender, while Wells Fargo Securities, LLC and TD Securities (USA) LLC act as Joint Lead Arrangers and Joint Bookrunners.
The company borrowed $465 million under the new facility on the signing date at a weighted average interest rate of 5.54%. This rate is calculated using the Secured Overnight Financing Rate (SOFR) plus a margin of 1.50%. The 2026 Credit Agreement eliminates a 0.10% credit adjustment spread that was present in the previous agreement.
Proceeds from the new credit facility are designated for refinancing existing debt, paying related fees and expenses, and funding working capital, capital expenditures, permitted acquisitions, and general corporate purposes. Interest rates for the facility vary based on the type of loan drawn. Revolving credit loans can bear interest at the Base Rate or Term SOFR, while swingline loans bear interest at Daily Simple SOFR.
The agreement includes financial covenants requiring the company to maintain specific ratios of net funded debt to Covenant Defined EBITDA and Covenant Defined EBITDA to interest expense. As of October 5, 2026, the company’s outstanding debt totaled $840 million. The company has a remaining borrowing capacity of $603.1 million after accounting for existing borrowings and standby letters of credit.
Concurrently with entering the new agreement, the company terminated its previous $1.075 billion unsecured credit facility, dated December 20, 2022. The company used $431.7 million of the new borrowings to pay off the outstanding balances, accrued interest, and fees from the previous facility.
