Ameriprise Financial Enters into Fifth Amended and Restated Credit Agreement

On November 25, 2024, Ameriprise Financial, Inc. announced the execution of an Amendment to Amend and Restate Credit Agreement, constituting the Fifth Amended and Restated Credit Agreement. The agreement involved various lenders, including Wells Fargo Bank, National Association as Administrative Agent, Swingline Lender, and Issuing Lender, Bank of America, N.A., Citibank, N.A. as Co-Syndication Agents, and Barclays Bank PLC, Goldman Sachs Bank USA, JPMorgan Chase Bank, N.A., and U.S. Bank National Association as Co-Documentation Agents.

This Restated Credit Agreement replaces the fourth amended and restated credit agreement from June 11, 2021. It establishes an unsecured revolving credit facility with an initial aggregate principal commitment amount of up to $1 billion. Under certain conditions, the total commitment amount may be increased to $1.250 billion. The credit facility allows for extensions of credit for general corporate purposes, revolving loans, swingline loans, and letters of credit in various currencies.

Interest rates on the credit extensions are based on an identified market rate plus an applicable margin linked to the Company’s senior unsecured long-term debt rating. Additionally, the Company is subject to paying a quarterly facility fee on the total commitments by lenders, whether used or unused.

The Restated Credit Agreement includes standard representations, warranties, covenants, and events of default. Financial covenants mandate that the Company maintains an interest coverage ratio greater than 4.00 to 1.00 and keeps its consolidated leverage ratio below 3.25 to 1.00. Certain conditions, affirmative and negative covenants, and events of default are also outlined in the agreement.

The credit facility’s lending commitments are set to expire on November 23, 2029, with a provision for potential extensions for up to two additional one-year periods subject to mutual agreement. The Company will be required to settle all outstanding obligations at the end of the facility’s term.

For a comprehensive understanding of the Restated Credit Agreement, the interested parties are directed to the Exhibit 10.1, which provides the full text of the agreement. Ameriprise Financial has also engaged and may continue to engage parties related to the agreement for various financial services within the standard industry fees and commissions.

The disclosure under Item 1.01 is incorporated under Item 2.03, and Exhibit 10.1, along with a cover page embedded within the Inline eXtensible Business Reporting Language, is included under Item 9.01 for further reference.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Ameriprise Financial’s 8K filing here.

About Ameriprise Financial

Ameriprise Financial, Inc, together with its subsidiaries, provides various financial products and services to individual and institutional clients in the United States and internationally. It operates through four segments: Advice & Wealth Management, Asset Management, Retirement & Protection Solutions, and Corporate & Other.