Capri Holdings Limited Amends Revolving and Term Loan Credit Agreement

Capri Holdings Limited (NYSE:CPRI), a global fashion luxury group, today announced it amended the Company’s Revolving and Term Loan Credit Agreement.

The maturity of Tranche A-1 Term Loans due in December 2020 was extended to December 2023 for $267 million of the outstanding balance of $315 million. The remaining $48 million for Tranche A-1 is the Company’s only debt maturity prior to 2023. The Tranche A-2 Term Loan, with a current balance of $700 million, and the Revolving Credit Facility continue to have maturity dates of December and November 2023, respectively.

In addition, the leverage ratio covenant metric for the Revolving Credit Facility has been modified to take into account operating lease liability as defined by the new lease accounting standard (ASC 842) instead of using 6x rent expense. Based on this updated measure, the Company’s leverage ratio at the end of the Third Quarter of Fiscal 2020 would have been 2.4 to 1, compared to a covenant level of 3.75 to 1.

The Company expects to end the Fiscal Fourth Quarter concluding March 28, 2020 with approximately $800 million of liquidity, comprised of approximately $500 million in cash and cash equivalents, as well as approximately $300 million of availability on the Revolving Credit Facility.

About Capri Holdings Limited

Capri Holdings Limited is a global fashion luxury group, consisting of iconic brands that are industry leaders in design, style and craftsmanship. Its brands cover the full spectrum of fashion luxury categories including women’s and men’s accessories, footwear and ready-to-wear as well as wearable technology, watches, jewelry, eyewear and a full line of fragrance products. The Company’s goal is to continue to extend the global reach of its brands while ensuring that they maintain their independence and exclusive DNA. Capri Holdings Limited is publicly listed on the New York Stock Exchange under the ticker CPRI.

Contacts

Investor Relations:

Jennifer Davis
(201) 514-8234
Jennifer.Davis@CapriHoldings.com

Media:
Press@CapriHoldings.com