Financing ·
CarMax borrows $500M in term loan from MUFG Bank to pay down revolving credit facility and for general corporate purposes
KMXCarmax Inc
CarMax, Inc. and its subsidiary, CarMax Auto Superstores, Inc., entered into a $500,000,000 term loan credit agreement with MUFG Bank, Ltd. on June 15, 2026. The facility matures on June 15, 2029, and proceeds were utilized to pay down borrowings under a $2.0 billion unsecured revolving credit facility and for general corporate purposes. The agreement includes a consolidated net leverage ratio covenant of 3.75 to 1.00 and a consolidated interest and rent coverage ratio of at least 2.00 to 1.00. Interest rates are based on Daily SOFR or a Base Rate plus an applicable margin. CarMax, Inc. is an automotive retailer.