Old dominion freight line, inc. enters into a five-year, $250.0 million senior unsecured revolving credit facility

Old dominion freight line, inc., on november 21, 2019 entered into a five-year, $250.0 million senior unsecured revolving credit facility pursuant to the terms of a second amended and restated credit agreement, dated as of november 21, 2019, with wells fargo bank, national association, as administrative agent, and the lenders named therein. the credit agreement amends and restates the terms of the company’s existing five-year, $300.0 million senior unsecured revolving credit facility, dated as of december 15, 2015, as amended on september 9, 2016. the following description is a summary of the material terms and conditions of the credit agreement. of the $250.0 million in line of credit commitments provided by the lenders, $100.0 million may be used for letters of credit and 10% of the aggregate commitments under the facility as of any date of determination may be used for swingline loans. in addition, the company shall have the right to request an increase in the aggregate commitments of up to $400.0 million, which may include one or more term loan commitments. at the company’s option, borrowings under the credit agreement shall generally bear interest at a rate based on either (i) libor (including applicable successor provisions) plus an applicable margin that shall range from 1.000% to 1.375%; or (ii) a base rate plus an applicable margin that shall range from 0.000% to 0.375%. the applicable margin for each of the above options is dependent upon the company’s consolidated debt to consolidated total capitalization ratio. the company intends to use any proceeds of the borrowings under the credit agreement for working capital, the issuance of letters of credit and general corporate purposes in accordance with the terms and provisions of the credit agreement. the company has normal banking relationships with the lenders.
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