Skechers extends senior unsecured credit facility up to $1 billion
LOS ANGELES, December 16, 2021–(BUSINESS WIRE)–Skechers USA, Inc. (NYSE: SKX), The Comfort Technology Company™, today announced that it has extended its $750 million senior unsecured credit facility, which retains an accordion feature of $250 million which offers for total liquidity up to $1 billion. This is an amendment to the $500 million senior unsecured credit facility that Skechers entered into in 2019, which was scheduled to expire in November 2024. The amendment extends the maturity date of the credit facility until December 2026.
“Following our record third quarter results reflecting exceptional demand for our convenience technology products, we have sought to further strengthen our available cash and take advantage of favorable credit market conditions,” said John Vandemore, Chief Financial Officer from Skechers. “This transaction will serve to further support Skechers’ global growth strategy.”
The syndicate of lenders includes Bank of America NA, a subsidiary of Bank of America NA (NYSE: BAC), as lead arranger, and BofA Securities, Inc., a subsidiary of Bank of America Corporation, HSBC Bank USA, NA , a subsidiary of HSBC Holdings plc (NYSE: HSBC) and JPMorgan Chase Bank, NA, a subsidiary of JPMorgan Chase & Co. (NYSE: JPM) as joint lead arrangers for the facility. Other participants in the syndicate include Bank of China, City National Bank, Bank of Nova Scotia (Scotiabank) and Mizuho Bank.
About SKECHERS USA, Inc.
Skechers, The Comfort Technology Company based in Southern California, designs, develops and markets a diverse line of lifestyle and performance footwear, apparel and accessories for men, women and children. The Company’s collections are available in the United States and more than 170 countries and territories through department and specialty stores, and directly to consumers through 4,170 company-owned and third-party retail stores and commerce sites. electronic. The Company manages its international business through a network of global distributors, joint venture partners in Asia, Israel and Mexico, and wholly owned subsidiaries in Canada, Japan, India, Europe and Latin America. For more information, please visit about.skechers.com and follow us on Facebook, Instagram, Twitterand TikTok.
This announcement contains forward-looking statements that are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. . These forward-looking statements may include, but are not limited to, Skechers’ future domestic and international growth, financial results and operations, including expected sales and net profits, its development of new products, future demand for its products , its planned domestic and international expansion, new store openings and additional expenditures, and advertising and marketing initiatives. Forward-looking statements can be identified by the use of forward-looking language such as “believe”, “anticipate”, “expect”, “estimate”, “intend”, “plan”, “project ‘, ‘will’, ‘will continue’, ‘result’, ‘could’, ‘may’, ‘could’ or any variations of these words with similar meanings. Such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected in the forward-looking statements. Factors that could cause or contribute to such differences include disruption of business and operations due to the COVID-19 pandemic; delays or interruptions in our supply chain; international economic, political and market conditions, including challenging retail markets in the United States; maintain, manage and forecast appropriate costs and inventory levels; losing important customers; decline in demand from industry retailers and cancellation of order commitments due to lack of popularity of certain models and/or product categories; maintaining brand image and intense competition among shoe vendors for consumers, particularly in the highly competitive performance shoe market; anticipate, identify, interpret or forecast changes in fashion trends, consumer demand for the products and the various market factors described above; sales levels during the spring, back-to-school and holiday sales seasons; and other factors referenced or incorporated by reference in Skechers’ Annual Report on Form 10-K for the fiscal year ended December 31, 2020 and its Quarterly Report on Form 10-Q for the three months ended September 30, 2021. More Specifically, the COVID -19 pandemic has had and is currently having a significant impact on Skechers’ business, financial conditions, cash flow and results of operations. Forward-looking statements regarding the COVID-19 pandemic include, but are not limited to, Skechers’ plans in response to this pandemic. At this time, there is significant uncertainty regarding the COVID-19 pandemic, including, but not limited to, (i) the duration and extent of the impact of the pandemic, (ii) the responses governmental responses to the pandemic, including how those responses could impact Skechers business and operations, as well as the operations of its factories and other business partners, (iii) the effectiveness of Skechers actions taken in response to those risks , and (iv) Skechers’ ability to effectively and timely adjust its plans in response to rapidly changing business and economic environments. Taking into account these and other risk factors associated with the COVID-19 pandemic, the dynamic nature of these circumstances means that what is stated in this press release could change at any time and, accordingly, the results actual could differ materially from those envisaged. by such forward-looking statements. The risks included here are not exhaustive. Skechers operates in a highly competitive and rapidly changing environment. New risks emerge from time to time and we cannot predict all of these risk factors, or assess the impact of all of these risk factors on our business or the extent to which any one factor, or combination of factors, may cause a material difference between the actual results from those contained in the forward-looking statements. Given these risks and uncertainties, you should not place undue reliance on forward-looking statements to predict actual results. Further, published results should not be taken as an indication of future performance.
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