Lockheed Martin (NYSE: LMT) secures new $3.0B 364-day revolving credit line

Rhea-AI Filing Summary

Lockheed Martin Corporation entered into a new $3.0 billion 364‑day unsecured revolving credit facility with a syndicate of banks led by Bank of America as administrative agent. The facility can be used for any lawful corporate purpose, including supporting the company’s commercial paper borrowings.

The credit agreement matures on December 4, 2026, and Lockheed Martin may elect to convert any outstanding balance at that time into non‑revolving term loans for an additional year, payable on December 4, 2027. Borrowings bear interest at rates based on a Base Rate or SOFR, with a Term SOFR margin ranging from 0.585% to 1.085% per year, and a 0.04% quarterly facility fee applies to total commitments. The agreement includes customary covenants and events of default, and no borrowings were outstanding at closing.

Insights

Corporate Credit & Capital Structure Analyst

New $3B short-term credit facility enhances liquidity backstop with standard terms and no immediate increase in debt.

Lockheed Martin entered a new $3.0 billion unsecured 364-day revolving credit facility that can fund general corporate needs and support commercial paper. This facility runs to December 4, 2026, with an option to term out any outstanding balance for one extra year to December 4, 2027. No borrowings were outstanding at closing, so this arrangement currently functions as committed backup liquidity rather than used leverage.

Pricing is tied to reference rates (Base Rate, Term SOFR, or Daily Simple SOFR) plus a margin that ranges from 0.585% to 1.085%, depending on senior unsecured credit ratings. A facility fee of 0.04% per year applies to total commitments. Covenants and events of default are described as customary, including limits on asset liens, merger restrictions, cross-default to Material Debt, judgments above $300 million, and standard bankruptcy and change-of-control triggers.

This agreement adds flexibility to manage short-term funding and commercial paper programs through a diversified bank group led by Bank of America. Key items to watch over the next year are whether the facility is drawn, whether the company elects to convert any balance into a term loan at the December 2026 maturity, and any changes to credit ratings that could alter the SOFR margin and facility fee.

LOCKHEED MARTIN CORP false 0000936468 0000936468 2025-12-05 2025-12-05

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): December 5, 2025

LOCKHEED MARTIN CORPORATION

(Exact name of registrant as specified in its charter)

Maryland		1-11437		52-1893632
(State or other jurisdiction of incorporation)		(Commission file number)		(IRS Employer Identification No.)

6801 Rockledge Drive
Bethesda, Maryland		20817
(Address of principal executive offices)		(Zip Code)

(301) 897-6000

(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol		Name of each exchange on which registered
Common Stock, $1 par value		LMT		New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 1.01. Entry Into a Material Definitive Agreement.

On December 5, 2025, Lockheed Martin Corporation (the “Company”) entered into a new 364-Day Revolving Credit Agreement (the “364-Day Revolving Credit Agreement”), among the Company, as borrower, the lenders listed therein (the “Lenders”), JPMorgan Chase Bank, N.A., as syndication agent, Citibank, N.A., Crédit Agricole Corporate and Investment Bank, Mizuho Bank, Ltd. and Wells Fargo Bank, National Association, as documentation agents, and Bank of America, N.A. (“BofA”), as administrative agent. The 364-Day Revolving Credit Agreement consists of a $3.0 billion 364-day unsecured revolving credit facility. The 364-Day Revolving Credit Agreement is available for any lawful corporate purposes of the Company, including supporting commercial paper borrowings.

The 364-Day Revolving Credit Agreement matures on December 4, 2026, however, the Company may elect to have the entire principal balance of borrowings then outstanding continued as non-revolving term loans for a period of one additional year, payable on December 4, 2027.

Borrowings under the 364-Day Revolving Credit Agreement are unsecured and bear interest at rates, based, at the Company’s option, on (w) the “Base Rate” of interest in effect, (x) “Term SOFR,” which is a periodic fixed rate based on the Secured Overnight Financing Rate as administered by the Federal Reserve Bank of New York (“SOFR”) with a term equivalent to the interest period for such borrowing, plus the “Term SOFR Margin,” (y) “Daily Simple SOFR,” which is a daily fluctuating rate based on SOFR, plus the “Term SOFR Margin,” or (z) a rate determined by a competitive bid process with a margin over or under the applicable Term SOFR or at an absolute rate. The “Base Rate” of interest is the highest of (i) the Federal Funds Rate plus 0.50%, (ii) BofA’s prime rate, and (iii) Term SOFR for a one month interest period plus 1.00%. The “Term SOFR Margin” ranges from 0.585% to 1.085% per annum based upon the Company’s senior unsecured long-term debt securities credit ratings (the “Credit Ratings”). A facility fee accrues and is payable quarterly in arrears at a rate of 0.04% (based upon the Company’s Credit Ratings) on the aggregate commitments under the 364-Day Revolving Credit Agreement.

The 364-Day Revolving Credit Agreement contains customary representations, warranties and covenants, including covenants restricting the Company’s and certain of its subsidiaries’ ability to encumber assets and the Company’s ability to merge or consolidate with another entity.

The Company may terminate, in whole or in part, the unused portion of the total commitments under the 364-Day Revolving Credit Agreement at any time during the term of the 364-Day Revolving Credit Agreement. Once terminated, a commitment may not be reinstated.

The obligation of the Company to pay amounts outstanding under the 364-Day Revolving Credit Agreement may be accelerated upon the occurrence of an “Event of Default” as defined in the 364-Day Revolving Credit Agreement. Such Events of Default include (1) the Company’s failure to pay when due the principal of, or within 5 days when due, the facility fee or the interest on borrowings under the credit facility, (2) the Company’s failure to comply with certain covenants contained in the 364-Day Revolving Credit Agreement (after expiration of any applicable grace periods), (3) any representation or warranty of the Company in the 364-Day Revolving Credit Agreement proving to be incorrect in any material respect when made, (4) the Company’s failure to pay, or the acceleration of, any Material Debt (as defined in the 364-Day Revolving Credit Agreement), (5) the bankruptcy or insolvency of the Company or a Material Subsidiary (as defined in the 364-Day Revolving Credit Agreement), (6) an unsatisfied judgment in excess of $300 million against the Company or a Restricted Subsidiary (as defined in the 364-Day Revolving Credit Agreement), or (7) a change in control of the Company.

The foregoing summary of the 364-Day Revolving Credit Agreement is qualified in its entirety by reference to the full text of the 364-Day Revolving Credit Agreement, which is filed as Exhibit 10.1 hereto and incorporated herein by reference.

No borrowings under the 364-Day Revolving Credit Agreement were made at closing.

In the ordinary course of their respective businesses, one or more of the Lenders, or their affiliates, have or may have various relationships with the Company and the Company’s subsidiaries involving the provision of a variety of financial services, including cash management, commercial banking, investment banking, trust or agency, foreign exchange, advisory or other financial services, for which they received, or will receive, customary fees and expenses.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.		Description
10.1		364-Day Revolving Credit Agreement dated as of December 5, 2025, among Lockheed Martin Corporation, the lenders listed therein, and Bank of America, N.A., as administrative agent.
104		Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

						Lockheed Martin Corporation
						(Registrant)
Date: December 9, 2025				By:		/s/ John E. Stevens
						John E. Stevens
						Vice President and Chief M&A and Securities Counsel

FAQ

What did Lockheed Martin (LMT) announce regarding new financing?

Lockheed Martin entered into a new 364‑Day Revolving Credit Agreement that provides a $3.0 billion unsecured revolving credit facility with a bank syndicate led by Bank of America as administrative agent.

What is the purpose of Lockheed Martin’s new $3.0 billion credit facility?

The facility is available for any lawful corporate purposes of Lockheed Martin, including supporting commercial paper borrowings, giving the company flexible short‑term liquidity.

When does Lockheed Martin’s new 364‑day revolving credit facility mature?

The revolving credit facility matures on December 4, 2026. At that time, Lockheed Martin may elect to continue the outstanding principal as non‑revolving term loans for one additional year, payable on December 4, 2027.

How is interest calculated under Lockheed Martin’s new revolving credit agreement?

Borrowings are unsecured and bear interest at rates based on the company’s option of a Base Rate, Term SOFR, Daily Simple SOFR, or a competitive bid rate, with a Term SOFR margin from 0.585% to 1.085% per year, depending on Lockheed Martin’s senior unsecured long‑term debt credit ratings.

Does Lockheed Martin pay any fees on the new 364‑day credit facility?

Yes. A facility fee of 0.04% per year, based on Lockheed Martin’s credit ratings, accrues on the aggregate commitments under the agreement and is payable quarterly in arrears.

Were there any borrowings outstanding when the new credit facility was signed?

No. The company disclosed that no borrowings under the 364‑Day Revolving Credit Agreement were made at closing, meaning the $3.0 billion capacity was fully available at inception.

What types of covenants and default events are included in Lockheed Martin’s new credit agreement?

The agreement includes customary representations, warranties and covenants, such as limits on encumbering assets and on mergers or consolidations, along with standard events of default like payment failures, covenant breaches, certain large judgments, bankruptcy events, and change in control.