Pitney Bowes (NYSE: PBI) extends loans to 2031 as Fitch starts coverage
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Pitney Bowes Inc. amended its main bank Credit Agreement on May 18, 2026, extending the maturities of its revolving credit facility and Term Loan A to May 2031, which lengthens access to committed bank financing.
The revolving credit facility remains at $450 million and the Term Loan A at $152 million, with total loans outstanding unchanged on the amendment date. The updated agreement adds quarterly-tested financial covenants, including a Consolidated Interest Coverage Ratio of at least 2.00x, a Consolidated Secured Net Leverage Ratio no greater than 3.00x, and a tiered Consolidated Total Net Leverage Ratio tightening from 4.75x for fiscal 2026 to 4.00x from March 31, 2029 onward.
The facilities are guaranteed by certain domestic subsidiaries and secured by substantially all of their assets, with maturities subject to springing provisions tied to existing senior notes. Separately, Fitch initiated coverage, assigning Pitney Bowes a BB- long-term rating with a Stable Outlook and BB+ on senior secured debt.
Positive
- Extension of core bank facilities to May 2031 preserves a $450 million revolving credit line and $152 million Term Loan A, reducing near-term refinancing risk while keeping total borrowings unchanged at amendment.
Negative
- None.
Insights
Extending key bank loans to 2031 and adding structured covenants strengthens Pitney Bowes’ liquidity profile and clarifies leverage expectations.
Pitney Bowes extended its $450 million revolving credit facility and $152 million Term Loan A to May 2031. Keeping the sizes unchanged while pushing out maturities reduces near-term refinancing pressure and preserves committed bank funding backed by subsidiary guarantees and broad collateral.
The revised covenants require at least a 2.00x Consolidated Interest Coverage Ratio and cap secured net leverage at 3.00x. Total net leverage must fall from 4.75x in fiscal 2026 to 4.00x from March 31, 2029, aligning with management’s focus on deleveraging.
Fitch’s initiation of coverage with a BB- long-term rating, Stable Outlook, and BB+ on senior secured debt provides an external assessment of credit quality. Future disclosures in company filings can show how consistently Pitney Bowes operates within these leverage and coverage thresholds.
8-K Event Classification
4 items: 1.01, 2.03, 7.01, 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 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 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Revolving Credit Facility Size: $450 million
Term Loan A Size: $152 million
Consolidated Interest Coverage Ratio covenant: 2.00 to 1.00 (minimum)
+5 more
8 metrics
Revolving Credit Facility Size
$450 million
Amended facility size, maturity extended to May 2031
Term Loan A Size
$152 million
Amended term loan, maturity extended to May 2031
Consolidated Interest Coverage Ratio covenant
2.00 to 1.00 (minimum)
Quarterly-tested maintenance covenant under amended Credit Agreement
Consolidated Secured Net Leverage Ratio covenant
3.00 to 1.00 (maximum)
Quarterly-tested secured leverage limit
Total Net Leverage Ratio 2026
4.75 to 1.00 (maximum)
For fiscal quarters in 2026
Total Net Leverage Ratio from 2029
4.00 to 1.00 (maximum)
For each fiscal quarter ending on or after March 31, 2029
Fitch Long-Term Issuer Rating
BB- (Stable Outlook)
Initial coverage of Pitney Bowes
Fitch Senior Secured Debt Rating
BB+
Issue-level rating on senior secured debt
Key Terms
Consolidated Interest Coverage Ratio, Consolidated Secured Net Leverage Ratio, Consolidated Total Net Leverage Ratio, springing maturity provisions, +2 more
6 terms
Consolidated Interest Coverage Ratio financial
"required to maintain a Consolidated Interest Coverage Ratio of not less than 2.00 to 1.00"
A consolidated interest coverage ratio measures how easily a company and all its subsidiaries can pay the interest on their debt from their operating profits. It divides the group’s operating profit (earnings before interest and taxes) by the interest expenses; a higher number is like having more months of income set aside to cover loan payments, which matters to investors because it signals financial stability and lower default risk.
Consolidated Secured Net Leverage Ratio financial
"a Consolidated Secured Net Leverage Ratio of no greater than 3.00 to 1.00"
Consolidated Total Net Leverage Ratio financial
"a Consolidated Total Net Leverage Ratio of no greater than 4.75 to 1.00 for the fiscal quarters ending March 31, 2026"
springing maturity provisions financial
"subject to "springing" maturity provisions tied to the Company's existing senior notes"
senior secured debt financial
"Fitch also assigned issue-level ratings of ‘BB+’ to the Company’s senior secured debt"
Senior secured debt is a loan or bond that has first claim on specific company assets if the company cannot meet its obligations; “senior” means it ranks ahead of other debts and “secured” means it is backed by collateral. Investors care because it usually carries lower risk and lower interest than unsecured debt: in a default holders of senior secured debt are likeliest to recover some money, so this status affects expected returns and safety compared with other claims.
Term Loan A financial
"extended the Company’s Revolving Credit Facility and Term Loan A to 2031"
Term Loan A is a portion of a company’s syndicated bank loan that is paid down with regular principal installments over a set period, usually carries lower interest and a shorter maturity than other loan tranches. It matters to investors because its scheduled repayments and interest cost affect a company’s cash flow and borrowing needs; heavy near‑term payments can reduce cash available for dividends, investment or increase refinancing risk, much like a mortgage with larger monthly payments limits household flexibility.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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
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 or organization) | (Commission file number) | (I.R.S. Employer Identification No.) | ||||||
| Address: | ||||||||||||||||||||
| Telephone Number: | ||||||||||||||||||||
Not Applicable
(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 (see General Instruction A.2. below):
Securities registered pursuant to Section 12(b) of the Act:
| Title of Each Class | Trading Symbol(s) | 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☐
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 Securities Act. ☐
ITEM 1.01 ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT
On May 18, 2026 (the “Amendment Effective Date”), Pitney Bowes Inc. (the “Company”), and certain other subsidiaries of the Company, entered into an amendment (the “Amendment”) to its Credit Agreement, dated as of February 7, 2025 (as amended prior to the date hereof and as further amended by the Amendment, the “Credit Agreement”), among the Company, the Loan Parties party thereto, the Lenders and Issuing Banks party thereto and Bank of America, N.A., as the administrative agent.
The Amendment (i) extends the maturity date of the Company’s revolving credit facility and term loan A facility to the date that is five years from the Amendment Effective Date and (ii) makes certain other changes to the covenants, terms and conditions applicable to the credit facilities under the Credit Agreement, including amending the financial maintenance and other negative covenants applicable to the Company and its subsidiaries. Under the amended Credit Agreement, the Company is required to maintain (with maintenance tested quarterly) (i) a Consolidated Interest Coverage Ratio (as defined in the Credit Agreement) of not less than 2.00 to 1.00, (ii) a Consolidated Secured Net Leverage Ratio (as defined in the Credit Agreement) of no greater than 3.00 to 1.00 and (iii) a Consolidated Total Net Leverage Ratio of no greater than (a) 4.75 to 1.00 for the fiscal quarters ending March 31, 2026, June 30, 2026, September 30, 2026 and December 31, 2026, (b) 4.50 to 1.00 for the fiscal quarters ending March 31, 2027, June 30, 2027, September 30, 2027 and December 31, 2027, (c) 4.25 to 1.00 for the fiscal quarters ending March 31, 2028, June 30, 2028, September 30, 2028 and December 31, 2028 and (d) 4.00 to 1.00 for each fiscal quarter ending on or after March 31, 2029. The maturity of each of the credit facilities under the Credit Agreement is subject to "springing" maturity provisions tied to the Company's existing senior notes, as set forth in the Credit Agreement. The credit facilities under the Credit Agreement are guaranteed by certain domestic subsidiaries of the Company (the “Subsidiary Guarantors”) and secured by substantially all of the assets of the Company and the Subsidiary Guarantors, subject to customary exclusions and limitations set forth in the Credit Agreement and the related loan documents. The total loans outstanding under the Credit Agreement as of the Amendment Effective Date remained unchanged.
The foregoing description of the Amendment does not purport to be complete and is qualified in its entirety by reference to the Amendment, a copy of which is attached as Exhibit 10.1 to this Current Report on Form 8-K and incorporated into this Item 1.01 by reference.
ITEM 2.03 CREATION OF A DIRECT FINANCIAL OBLIGATION OR AN OBLIGATION UNDER AN OFF-BALANCE SHEET ARRANGEMENT OF A REGISTRANT
The information set forth in Item 1.01 of this Current Report on Form 8-K regarding the Amendment is incorporated herein by reference.
ITEM 7.01 REGULATION FD DISCLOSURE
On May 19, 2026, the Company issued a press release announcing the Company’s entry into the Amendment. A copy of the press release is furnished hereto as Exhibit 99.1 and incorporated into this Item 7.01 by reference.
The information in this Item 7.01 of Form 8-K, including the accompanying Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), or otherwise subject to the liability of such section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless
of the general incorporation language of such filing, except as shall be expressly set forth by specific reference in such filing.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS
(d) Exhibits
| 10.1 | Third Amendment, dated as of May 18, 2026, among the Company, the other Loan Parties party thereto, the Issuing Banks party thereto, the Lenders party thereto and Bank of America, N.A., as administrative agent. | ||||
| 99.1 | Press release of Pitney Bowes Inc., dated May 19, 2026. | ||||
| 104 | The cover page of Pitney Bowes Inc.'s Current Report on Form 8-K, formatted in Inline XBRL. | ||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Pitney Bowes Inc. | ||||||||
| By: | /s/ Lauren Freeman-Bosworth | |||||||
| Name: Lauren Freeman-Bosworth | ||||||||
| Date: May 19, 2026 | Title: Executive Vice President, General Counsel and Corporate Secretary | |||||||
Exhibit 99.1
Pitney Bowes Announces Extension of Credit Facilities
Company’s Extension of Revolving Credit Facility and Term Loan A to 2031 Strengthens Liquidity and Financial Flexibility
Follows Fitch Initiating Coverage with a BB- Rating and Stable Outlook
Positive Developments Stem from Company’s Strong Financial Performance and Management’s Continued Focus on Strategic Capital Allocation, Including Leverage Reduction
SHELTON, Conn.--(BUSINESS WIRE)--May 19, 2026--Pitney Bowes Inc. (NYSE: PBI) (“Pitney Bowes” or the “Company”), a technology-driven company that provides digital shipping solutions, mailing innovation, and financial services to clients around the world, today announced that it has amended its Revolving Credit Facility (“RCF”) and Term Loan A and extended their maturities to May 2031. The size of the $450 million RCF and $152 million Term Loan A remain unchanged.
Additionally, Fitch Ratings, Inc. (“Fitch”) has initiated coverage of Pitney Bowes and assigned the Company a BB- Long-Term Issuer Default Rating with a Stable Outlook. Fitch also assigned issue-level ratings of ‘BB+’ to the Company’s senior secured debt and ‘BB-’ to its senior unsecured bonds.
Kurt Wolf, Chief Executive Officer and Director, commented:
“Thanks to the dedication and focus of our 6,000+ Pitney Bowes team members, we continue to make progress with respect to strengthening our already improved financial position. The extension of our RCF and Term Loan A reflects the continued confidence of our banking partners in Pitney Bowes’ strengthened balance sheet, enhanced operations and strategic direction. Additionally, the credit facility’s amendments give us greater flexibility to allocate capital strategically in a nimble and accretive manner over its five-year term. Fitch’s initiation of coverage with a BB- rating and Stable Outlook provides further validation of the progress we are making to advance our core objectives for 2026 and beyond.”
Additional details regarding the amended facilities will be filed in a Form 8-K with the Securities and Exchange Commission.
About Pitney Bowes
Pitney Bowes (NYSE: PBI) is a technology-driven company that provides digital shipping solutions, mailing innovation, and financial services to clients around the world – including more than 90 percent of the Fortune 500. Small businesses to large enterprises, and government entities rely on Pitney Bowes to reduce the complexity of sending mail and parcels. For the latest news, corporate announcements, and financial results, visit www.pitneybowes.com/us/newsroom. For additional information, visit Pitney Bowes at www.pitneybowes.com.
Forward-Looking Statements
This document contains “forward-looking statements” about the Company’s expected capital allocation flexibility and continued progress against strategic objectives expected or potential future business and financial performance. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that could cause actual results to differ materially from those projected. Forward-looking statements are more fully outlined in the Company's Annual Report on Form 10-K/A for the year ended December 31, 2025 and subsequent reports filed with the Securities and Exchange Commission. Pitney Bowes assumes no obligation to update any forward-looking statements contained in this document as a result of new information, events, or developments, except as required by law.
Contacts:
For Investors:
Alex Brown
investorrelations@pb.com
FAQ
What credit facilities did Pitney Bowes (PBI) extend in this 8-K?
Pitney Bowes extended the maturities of its $450 million revolving credit facility and $152 million Term Loan A to May 2031. Facility sizes remain unchanged, providing longer-term access to committed bank financing.
What new financial covenants does Pitney Bowes face under the amended Credit Agreement?
The amended agreement requires a Consolidated Interest Coverage Ratio of at least 2.00x, a Consolidated Secured Net Leverage Ratio no greater than 3.00x, and a tiered Consolidated Total Net Leverage Ratio tightening from 4.75x in 2026 to 4.00x from 2029.
How does the Pitney Bowes credit amendment affect leverage over time?
Pitney Bowes must keep its Consolidated Total Net Leverage Ratio at or below 4.75x for fiscal 2026, 4.50x for fiscal 2027, 4.25x for fiscal 2028, and 4.00x for each quarter from March 31, 2029 onward.
What ratings did Fitch assign to Pitney Bowes and its debt?
Fitch initiated coverage with a BB- Long-Term Issuer Default Rating and Stable Outlook for Pitney Bowes. It also assigned BB+ issue-level ratings to senior secured debt and BB- ratings to senior unsecured bonds.
Are Pitney Bowes’ amended credit facilities secured or guaranteed?
Yes. The facilities are guaranteed by certain domestic subsidiaries and secured by substantially all assets of Pitney Bowes and those subsidiaries, subject to customary exclusions and limitations specified in the Credit Agreement and related loan documents.