NIKE sets new $1B 364‑day revolving credit line
NIKE, Inc. entered into a new 364-day unsecured revolving credit facility providing up to $1 billion in borrowings for working capital and general corporate purposes, including supporting commercial paper.
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Form Type
8-K
Rhea-AI Filing Summary
NIKE, Inc. entered into a new 364-day unsecured revolving credit facility providing up to $1 billion in borrowings for working capital and general corporate purposes, including supporting commercial paper. The facility, arranged with Bank of America and other lenders, matures on March 5, 2027, when all unpaid amounts are due.
The company may increase total commitments to $1.5 billion, request renewal for another 364 days, or convert outstanding amounts into a term loan of up to one year. Borrowings in U.S. Dollars will bear interest at either Term SOFR plus 0.595% or a base rate tied to prime, the federal funds rate, or one‑month Term SOFR. The agreement includes restrictive covenants on liens, mergers, acquisitions, dispositions, and use of proceeds, but it has no financial covenants.
On the same date, NIKE terminated its prior 364‑day $1.0 billion revolving credit agreement dated March 7, 2025. No amounts were outstanding under the prior facility as of March 6, 2026.
Insights
NIKE refreshes a short-term revolving credit line, maintaining liquidity without adding drawn debt.
NIKE has established a new 364‑day unsecured revolving credit facility for up to $1 billion, replacing a prior facility of the same size that had no outstanding borrowings as of March 6, 2026. The line can support working capital and commercial paper, and may be upsized to $1.5 billion.
Interest is based on Term SOFR plus a modest 0.595% margin or an alternative base rate, indicating investment‑grade style terms. The agreement includes typical negative covenants and customary default provisions, but no financial covenants, giving NIKE flexibility while preserving lender protections.
This step keeps NIKE’s short‑term liquidity backstop in place rather than signaling a change in leverage strategy. Actual balance sheet impact will depend on future borrowings under the facility, which are not indicated in the disclosure.
8-K Event Classification
4 items: 1.01, 1.02, 2.03, 9.01
4 items
Item 1.01
Entry into a Material Definitive Agreement
Business
The company signed a significant contract such as a merger agreement, credit facility, or major partnership.
Item 1.02
Termination of a Material Definitive Agreement
Business
A significant contract was terminated, which may affect business operations or revenue.
Item 2.03
Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement
Financial
The company incurred a new significant debt or off-balance-sheet obligation.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What new credit facility did NIKE (NKE) enter into on March 6, 2026?
NIKE entered into a 364‑Day Credit Agreement providing up to $1 billion in unsecured revolving borrowings. The facility supports working capital and general corporate purposes, including commercial paper issuance, and is arranged with Bank of America as administrative agent and a syndicate of other lenders.
When does NIKE’s new 364-day credit facility mature and can it be extended?
The 364‑day credit facility matures on March 5, 2027, when all unpaid amounts are due. NIKE may request renewal for an additional 364‑day period or convert outstanding borrowings into a term loan of up to one year, maturing no later than the anniversary of the then termination date.
What are the borrowing costs under NIKE’s new 364-day credit facility?
Borrowings in U.S. Dollars will bear interest, at NIKE’s option, at Term SOFR plus an applicable margin of 0.595% or a base rate. The base rate equals the highest of Bank of America’s prime rate, the federal funds effective rate plus 0.50%, or one‑month Term SOFR plus 1.00%.
Can NIKE increase the size of its new 364-day credit facility?
NIKE may increase commitments under the 364‑Day Credit Facility to up to $1.5 billion, subject to agreement by existing lenders or additional banks. This feature allows the company to expand available short‑term liquidity if needed, while keeping the structure as an unsecured revolving credit line.
Did NIKE terminate any prior credit agreement when entering the new 364-day facility?
Yes. On March 6, 2026, NIKE terminated its prior 364‑day unsecured revolving credit agreement dated March 7, 2025, which also allowed up to $1.0 billion of U.S. Dollar borrowings. No amounts were outstanding under the prior facility at the time of termination.
Does NIKE’s new 364-day credit agreement include financial covenants?
The new 364‑Day Credit Agreement does not include financial covenants. It does contain negative covenants that limit or restrict additional liens, mergers, acquisitions, dispositions, and use of loan proceeds, along with customary events of default that could accelerate repayment obligations.
AI-generated analysis. How Rhea-AI works. Not financial advice.
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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)
(Exact name of registrant as specified in its charter)
(State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | |||||||||
(Address of principal executive offices and zip code)
(503 ) 671-6453
Registrant's telephone number, including area code
NO CHANGE
(Former name or former address, if changed since last report.)
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:
Securities registered pursuant to Section 12(b) of the Act:
| (Title of each class) | (Trading Symbol) | (Name of each exchange on which registered) | ||||||
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.
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Item 1.01 Entry into a Material Definitive Agreement
364-Day Credit Facility
On March 6, 2026, NIKE, Inc. (the “Company”) entered into a 364-Day Credit Agreement with Bank of America, N.A., as administrative agent, and the other financial institutions named therein as lenders (the “364‑Day Credit Agreement”). The 364‑Day Credit Agreement provides for up to $1 billion of borrowings pursuant to a 364-day unsecured revolving credit facility (the “364‑Day Credit Facility”), which is available for working capital and general corporate purposes, including supporting the issuance of commercial paper. In addition to loans in U.S. Dollars, borrowings under the 364‑Day Credit Facility will be available in Canadian Dollars, Euros, Sterling, Yen and any other currency that is freely convertible into U.S. Dollars and agreed to by the administrative agent and the then existing lenders. The 364-Day Credit Facility matures on March 5, 2027 and all unpaid amounts are repayable on that date, assuming the maturity date is not extended.
The Company may, upon the agreement of either the then existing lenders or of additional banks not currently party to the 364-Day Credit Agreement, increase the commitments under the 364-Day Credit Facility to up to $1.5 billion. The Company may also request renewal of the 364‑Day Credit Facility for an additional 364-day period or convert any amounts outstanding into a term loan for a period of up to one year, which term loan would mature no later than the anniversary of the then effective termination date.
As of March 6, 2026, the Company is the only borrower under the 364-Day Credit Facility. However, the 364‑Day Credit Agreement allows for the Company to designate additional subsidiary borrowers from time to time. In the event that any subsidiary of the Company becomes a borrower, the Company has agreed to provide a guarantee in respect of any such subsidiary’s obligations in relation with the revolving credit facility.
Borrowings in U.S. Dollars under the 364-Day Credit Facility will bear interest, at the Company’s option, at either (a) Term SOFR plus an applicable margin of 0.595% or (b) a base rate defined as the highest of (i) the Bank of America “prime rate”, (ii) the federal funds effective rate plus 0.50% and (iii) one month Term SOFR plus 1.00%. The Company may select interest periods of one, three or six months for Term SOFR loans, subject to availability. Interest shall be payable at the end of the selected interest period, but no less frequently than quarterly.
The 364-Day Credit Agreement contains covenants that, among other things, limit or restrict the ability of the Company and its subsidiaries to incur additional liens; engage in mergers, acquisitions and dispositions; and use proceeds of loans under the 364-Day Credit Facility. The 364‑Day Credit Agreement does not include any financial covenants. Payment of the loans, including any unpaid accrued interest, may be accelerated following certain customary events of default.
Certain of the parties to the 364-Day Credit Agreement and/or their affiliates have provided and in the future may provide investment banking, commercial banking and/or advisory services to the Company for which they receive customary fees and expenses.
Documentation
The description of the 364-Day Credit Agreement is qualified in its entirety by reference to the 364-Day Credit Agreement filed as Exhibit 10.1 and incorporated herein by reference.
Item 1.02 Termination of a Material Definitive Agreement
Termination of Prior 364-Day Credit Agreement
On March 6, 2026, concurrently with the Company’s entry into the 364-Day Credit Agreement described in Item 1.01 hereof, the Company terminated the existing Credit Agreement dated March 7, 2025, which provided for up to $1.0 billion of borrowings in U.S. Dollars pursuant to a 364‑day unsecured revolving credit facility, with the banks, financial institutions and other lenders signatory thereto (the “Prior 364‑Day Credit Agreement”). The Prior 364‑Day Credit Agreement contained covenants that, among other things, limited or restricted the ability of the Company and its subsidiaries to incur additional liens; engage in mergers, acquisitions and dispositions; and use proceeds of loans under the Prior 364-Day Credit Agreement. The Prior 364‑Day Credit Agreement did not include any financial covenants. No amounts were outstanding under this facility as of March 6, 2026. The Prior 364‑Day Credit Agreement would have expired on March 6, 2026.
Item 2.03 Creation of a Direct Financial Obligation or an Obligation Under and Off-Balance Sheet Arrangement
The information contained in Item 1.01 of this current report on Form 8-K is by this reference incorporated in this Item 2.03.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
The following exhibits are furnished with this Form 8-K:
| Exhibit No. | Exhibit | |||||||
| 10.1 | 364-Day Credit Agreement dated as of March 6, 2026, among NIKE, Inc., Bank of America, N.A., as Administrative Agent, Citibank, N.A. and JPMorgan Chase Bank, N.A. as Co-Syndication Agents, Deutsche Bank Securities Inc., HSBC Bank USA, National Association and Goldman Sachs Bank USA, as Co-Documentation Agents, and the other Banks named therein. | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURES
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.
| NIKE, Inc. (Registrant) | |||||||||||
| Date: | March 9, 2026 | By: | /s/ Matthew Friend | ||||||||
| Matthew Friend | |||||||||||
| Executive Vice President and Chief Financial Officer | |||||||||||