Quarterly report pursuant to Section 13 or 15(d)

SHORT-TERM BORROWINGS AND LONG-TERM DEBT

v3.20.2
SHORT-TERM BORROWINGS AND LONG-TERM DEBT
6 Months Ended
Sep. 26, 2020
Debt Disclosure [Abstract]  
SHORT-TERM BORROWINGS AND LONG-TERM DEBT SHORT-TERM BORROWINGS AND LONG-TERM DEBT
Revolving Credit Facility
In April 2020, VF entered into Amendment No. 1 to its $2.25 billion senior unsecured revolving line of credit (the "Global Credit Facility") (the “Amendment”). The Amendment provides for (i) an increase in VF’s consolidated indebtedness to consolidated capitalization ratio financial covenant to 0.70 to 1.00 (from 0.60 to 1.00) through the last day of the fiscal quarter ending March 31, 2022, (ii) calculation of consolidated indebtedness (and, thereby consolidated capitalization) net of
unrestricted cash of VF and its subsidiaries and (iii) testing of such financial covenant solely as of the last day of each fiscal quarter during such period. In addition, the Amendment requires VF and its subsidiaries to maintain minimum liquidity in the form of unrestricted cash and unused financing commitments of not less than $750.0 million at all times during such period. As of September 2020, VF was in compliance with all covenants.
Senior Notes Issuance
In April 2020, VF issued senior unsecured notes, as outlined in the table below:
(Dollars in thousands)
Scheduled Maturity Aggregate Principal Effective Annual Interest Rate Interest Payments
2.050% notes, due 2022
$ 1,000,000  2.277  % Semiannually
2.400% notes, due 2025
750,000  2.603  % Semiannually
2.800% notes, due 2027
500,000  2.953  % Semiannually
2.950% notes, due 2030
750,000  3.071  % Semiannually
Total Issuance $ 3,000,000 
VF used a portion of the net proceeds from this offering to repay borrowings under its Global Credit Facility. The aggregate outstanding balance of these notes was $2.98 billion at September 2020, which was net of unamortized original issue discount and debt issuance costs.