Sysco Announces $1.1 Billion Debt Reduction in Anticipation of Market Recovery
Sysco announced it has reduced its outstanding debt by a total of $1.1 billion. The company repaid the remaining $700 million in outstanding borrowings under its long-term revolving credit facility that expires on June 28, 2024. In addition, Sysco’s United Kingdom-based subsidiary, Brake Bros Limited, repaid £300 million of its £600 million in aggregate principal amount of notes outstanding under its commercial paper program, equating to approximately $417 million in debt reduction.
“We are increasingly confident of the impending market recovery and believe now is a prudent time to begin reducing debt levels. We have strong liquidity and continue to invest against both the market recovery and our transformation efforts,” said Aaron Alt, Sysco’s executive vice president and chief financial officer. “With recent momentum in vaccine approvals and administration, we expect operational restrictions impacting the foodservice industry will begin to ease.”