v3.25.1
Debt
 3 Months Ended
Mar. 29, 2025
Debt Disclosure [Abstract]  
Debt Debt
Debt consists of the following (in thousands):

March 29, 2025December 28, 2024
Amended Credit Agreement:  
Revolving Credit Facility (zero denominated in € at March 29, 2025 and December 28, 2024, respectively)
$155,000 $267,000 
Term A-1 facility396,000 397,000 
Less unamortized deferred loan costs(321)(366)
Carrying value Term A-1 facility395,679 396,634 
Term A-2 facility468,750 471,875 
Less unamortized deferred loan costs(444)(509)
Carrying value Term A-2 facility468,306 471,366 
Term A-3 facility297,000 297,750 
Less unamortized deferred loan costs(490)(560)
Carrying value Term A-3 facility296,510 297,190 
Term A-4 facility478,125 481,250 
Less unamortized deferred loan costs(579)(664)
Carrying value Term A-4 facility477,546 480,586 
6% Senior Notes due 2030 with effective interest of 6.12%
1,000,000 1,000,000 
Less unamortized deferred loan costs net of bond premium(5,386)(5,605)
Carrying value 6% Senior Notes due 2030
994,614 994,395 
5.25% Senior Notes due 2027 with effective interest of 5.47%
500,000 500,000 
Less unamortized deferred loan costs(2,081)(2,322)
Carrying value 5.25% Senior Notes due 2027
497,919 497,678 
3.625% Senior Notes due 2026 - Denominated in euro with effective interest of 3.83%
557,436 536,733 
Less unamortized deferred loan costs - Denominated in euro(1,314)(1,542)
Carrying value 3.625% Senior Notes due 2026
556,122 535,191 
Other Notes and Obligations79,806 101,958 
3,921,502 4,041,998 
Less Current Maturities116,629 133,020 
$3,804,873 $3,908,978 

As of March 29, 2025, the Company had no outstanding debt under the revolving credit facility denominated in euros and €515.0 million of outstanding debt under the Company’s 3.625% Senior Notes due 2026 denominated in euros. In addition, at March 29, 2025, the Company had finance lease obligations denominated in euros of approximately €5.5 million.

As of March 29, 2025, the Company had other notes and obligations of $79.8 million that consist of various overdraft facilities of approximately $37.8 million, Brazilian notes of approximately $18.6 million, and other debt of approximately $23.4 million, including U.S. finance lease obligations of approximately $2.7 million.

On January 6, 2014, Darling, Darling International Canada Inc. (“Darling Canada”) and Darling International NL Holdings B.V. (“Darling NL”) entered into a Second Amended and Restated Credit Agreement (as subsequently amended, the “Amended Credit Agreement”), restating its then existing Amended and Restated Credit Agreement dated September 27, 2013, with the lenders from time to time party thereto, JPMorgan Chase Bank, N.A., as Administrative Agent, and the other agents from time to time party thereto.

The interest rate applicable to any borrowings under the revolving credit facility will equal (i) the adjusted term secured overnight financing rate (SOFR) for U.S. dollar borrowings or the adjusted euro interbank rate (EURIBOR) for euro borrowings or the adjusted daily simple Sterling overnight index average (SONIA) for British pound borrowings, in each case plus 1.50% per annum or (ii) the base rate or the adjusted term SOFR for a one-month
interest period for U.S. dollar borrowings or Canadian prime rate for Canadian dollar borrowings or the adjusted daily simple European short term rate (ESTR) for euro borrowings or the adjusted daily SONIA rate for British pound borrowings, in each case plus 0.50% per annum, and in each case of clauses (i) and (ii), subject to certain step-ups or step-downs based on the Company’s total leverage ratio. The interest rate applicable to any borrowing under the term A-1 facility and term A-3 facility equals the adjusted term SOFR plus 1.625% per annum subject to certain step-ups and step-downs based on the Company’s total leverage ratio with a minimum of 1.50%. The interest rate applicable to any borrowing under the term A-2 facility and term A-4 facility equals the adjusted term SOFR plus 1.50% per annum subject to certain step-ups or step-downs based on the Company’s total leverage ratio with a minimum of 1.00%.

As of March 29, 2025, the Company had (i) $155.0 million outstanding under the revolver at SOFR plus a margin of 1.50% per annum for a total of 5.92719% per annum, (ii) $396.0 million outstanding under the term A-1 facility at SOFR plus a margin of 1.625% per annum for a total of 6.04884% per annum, (iii) $468.8 million outstanding under the term A-2 facility at SOFR plus a margin of 1.50% per annum for a total of 5.92384% per annum, (iv) $297.0 million outstanding under the term A-3 facility at SOFR plus a margin 1.625% per annum for a total of 6.04884% per annum, and (v) $478.1 million outstanding under the term A-4 facility at SOFR plus a margin 1.50% per annum for a total of 5.92384% per annum. As of March 29, 2025, the Company had revolving credit facility availability of $1,271.7 million, under the Amended Credit Agreement taking into account amounts borrowed, ancillary facilities of $72.6 million and letters of credit issued of $0.7 million. The Company also had foreign bank guarantees of approximately $11.6 million that are not part of the Company’s Amended Credit Agreement at March 29, 2025.

As of March 29, 2025, the Company is in compliance with all of the financial covenants under the Amended Credit Agreement, and believes it is in compliance with all of the other covenants contained in the Amended Credit Agreement, the 6% Senior Notes due 2030, the 5.25% Senior Notes due 2027 and the 3.625% Senior Notes due 2026.