On March 23, 2026, Sonoco Products Company announced the execution of a Term Credit Agreement with various lenders, including Wells Fargo Bank, National Association, as the Administrative Agent. This agreement provides the company with a delayed draw term loan facility amounting to $300 million on an unsecured basis. The facility allows Sonoco to draw funds until September 13, 2026, subject to certain conditions. The loan will bear interest at a fluctuating rate based on the company's credit ratings, with margins ranging from 0.850% to 1.100% for Term SOFR Loans and from 0.000% to 0.100% for Base Rate Loans. Notably, there is no required amortization, and voluntary prepayments are permitted without penalty, which enhances the company's liquidity position. The agreement includes customary representations, warranties, and covenants, including maintaining a minimum Book Net Worth and a minimum Consolidated Interest Coverage Ratio. This financing is expected to provide Sonoco with the necessary capital to support its operational strategies and growth initiatives.

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