BlueLinx Holdings Inc.BXC
BlueLinx Holdings Inc. Debt Disclosure
Debt and Finance Lease Obligations
As of January 3, 2026, and December 28, 2024, outstanding debt and finance leases consisted of the following:
| As of | |||||||||||
| January 3, 2026 | December 28, 2024 | ||||||||||
| (In thousands) | |||||||||||
Senior secured notes (1) | $ | 300,000 | $ | 300,000 | |||||||
Revolving credit facilities (2) | — | — | |||||||||
Unamortized debt issuance costs (1) | (1,349) | (2,437) | |||||||||
Unamortized bond discount (1) | (1,991) | (2,502) | |||||||||
| 296,660 | 295,061 | ||||||||||
Finance lease obligations (3) | 321,279 | $ | 292,543 | ||||||||
| Less: current portions of finance leases | 22,348 | 12,541 | |||||||||
| Total debt and finance leases, net of current portions | $ | 595,591 | $ | 575,063 | |||||||
(1) As of January 3, 2026 and December 28, 2024, long-term debt was comprised of $300 million of senior secured notes issued in October 2021. These notes are presented under the Long-term debt caption of the Company’s consolidated balance sheets at $296.7 million and $295.1 million as of January 3, 2026 and December 28, 2024, respectively. This presentation is net of unamortized bond discount of $2.0 million and $2.5 million and unamortized debt issuance costs of $1.3 million and $2.4 million as of January 3, 2026 and December 28, 2024, respectively. The senior secured notes are presented in the above table at face value and have an annual interest rate of 6.0% through maturity.
(2) No borrowings were outstanding during fiscal 2025 or fiscal 2024. Available borrowing capacity under revolving credit facilities was $340.1 million and $346.2 million on January 3, 2026 and December 28, 2024, respectively. Available borrowing capacity is net of undrawn letters of credit commitments.
(3) Refer to Note 13, Lease Commitments, to the consolidated financial statement for interest rates associated with finance lease obligations.
Interest expense, net on the Company’s consolidated statements of operations consisted of the following components:
| (in thousands) | Fiscal Year Ended | |||||||||||||||||||
| January 3, 2026 | December 28, 2024 | December 30, 2023 | ||||||||||||||||||
| (53 weeks) | (52 weeks) | (52 weeks) | ||||||||||||||||||
| Interest expense | $ | 49,680 | $ | 47,169 | $ | 44,654 | ||||||||||||||
| Less: interest income | 17,326 | 27,805 | 20,908 | |||||||||||||||||
| Interest expense, net | $ | 32,354 | $ | 19,364 | $ | 23,746 | ||||||||||||||
Interest expense for the reporting periods presented in the above table primarily reflects interest expense for the 2029 Notes, interest expense on finance lease obligations, certain ongoing fees for the revolving credit facilities that are classified as interest expense, amortization of debt issuance costs for the 2029 Notes and revolving credit facilities, and amortization of original-issue bond discount on the 2029 Notes. Total amortization of debt issuance costs plus bond discount costs was $1.5 million, $1.3 million, and $1.3 million for fiscal year 2025, 2024, and 2023, respectively. Interest income for fiscal year 2025 and 2024 included $0.5 million and $2.7 million, respectively, received and related to retroactive adjustments associated with certain antidumping duties for imported wood moulding and millwork products (see Note 1, Summary of Significant Accounting Policies, to the consolidated financial statements, under the heading Inventory). Interest expense for fiscal year 2025 and 2024 included $0.8 million and $1.2 million, respectively, of estimated interest expense related to import duties that the Company believes it may owe (see Note 14, Commitments and Contingencies, to the consolidated financial statements).
Senior Secured Notes
In October 2021, the Company and certain subsidiaries completed a private offering of $300.0 million of 6.0 percent senior secured notes due November 2029 (the “2029 Notes”), and in connection therewith entered into an indenture (the “Indenture”) with the subsidiary guarantors and Truist Bank, as trustee and collateral agent. The 2029 Notes were issued to investors at 98.625 percent of their principal amount. The 2029 Notes are secured by a first-priority security interest in substantially all of the Company’s assets, other than accounts receivables, inventory, deposit accounts, securities accounts, business interruption insurance and other related assets. The majority of net proceeds from the offering of the 2029 Notes were used to repay borrowings under the Company’s Revolving Credit Facility, as described below. The 2029 Notes will mature on November 15, 2029, however at the sole discretion of the Company, the notes may be redeemed, in whole or in part, prior to scheduled maturity. Early redemptions made by the Company prior to November 15, 2026 could require the Company to pay a redemption premium, as defined in the Indenture. Interest expense for the 2029 Notes totaled $18.0 million in each of the fiscal years 2025, 2024, and 2023.
Revolving Credit Facility and Prior Revolving Credit Facility
On August 27, 2025, the Company entered into a new credit agreement with certain of the Company’s subsidiaries, as borrowers (together with the Company, the “Borrowers”) or guarantors thereunder, Bank of America, National Association, in its capacity as administrative agent and swing line lender (“BofA”), and certain other financial institutions party thereto (the “Credit Agreement”). The Credit Agreement matures August 27, 2030 and initially provides for a senior secured revolving loan and letter of credit facility of up to $350 million (the “Revolving Credit Facility”). The Revolving Credit Facility also includes a $35 million swing line subfacility and letters of credit in an aggregate amount of up to $30 million are available under the Revolving Credit Facility. Subject to certain conditions and consents, the Borrowers have the option to increase the facility by an aggregate additional principal amount of up to $300 million. If the Borrowers obtain the full amount of the additional increases in commitments, the Revolving Credit Facility could allow total borrowings of up to $650 million. The Company capitalized new debt issuance costs of $3.1 million in connection with execution of the Credit Agreement on August 27, 2025. On the Company’s consolidated balance sheet, the unamortized balance of these debt issuance costs is included within Other non-current assets.
In connection with the execution of the Credit Agreement, the Company and certain of the Company’s subsidiaries also entered into a Guaranty and Security Agreement with BofA (the “Revolving Guaranty and Security Agreement”). Pursuant to the Revolving Guaranty and Security Agreement, the Borrowers’ obligations under the Credit Agreement are secured by a security interest in substantially all of the Company’s and its subsidiaries’ assets (other than real property), including inventories, accounts receivable, and proceeds from those items. A collateral agent is used by the Borrowers.
Any borrowings under the Credit Agreement are subject to availability under the Borrowing Base (as such term is defined in the Credit Agreement). The Borrowers will be required to repay revolving loans thereunder to the extent that such revolving loans exceed the Borrowing Base then in effect. The Revolving Credit Facility may be prepaid in whole or in part from time to time without penalty or premium, but including all breakage costs incurred by any lender thereunder.
If borrowings are outstanding under the Credit Agreement, interest accrues at a rate per annum equal to (i) the then-current Secured Overnight Financing Rate (“SOFR”) plus a margin ranging from 1.25% to 1.75%, with the amount of such margin determined based upon the average of the Borrowers’ excess availability (as defined) for the immediately preceding fiscal quarter as calculated by the administrative agent, for loans based on SOFR, or (ii) the administrative agent’s base rate plus a margin ranging from 0.25% to 0.75%, with the amount of such margin determined based upon the average of the Borrowers’ excess availability (as defined) for the immediately preceding fiscal quarter as calculated by the administrative agent, for loans based on the base rate.
In the event excess availability falls below the greater of (i) $30 million and (ii) 10% of the lesser of (a) the borrowing base and (b) the aggregate revolver commitments of all lenders at such time, the Credit Agreement requires maintenance of a fixed charge coverage ratio of 1.0 to 1.0 until such time as the Borrowers’ excess availability has been at least the greater of (i) $30 million and (ii) 10% of the lesser of (a) the borrowing base and (b) the maximum permitted credit at such time for a period of 30 consecutive days.
The Credit Agreement replaced the Borrowers’ existing $350 million secured revolving credit facility, dated April 13, 2018, as amended, by and among the Company, certain of the Company’s subsidiaries, as borrowers or guarantors thereunder, Wells Fargo Bank, National Association, in its capacity as administrative agent, and certain other financial institutions party thereto (the “Prior Revolving Credit Facility”). No borrowings were outstanding on the Prior Revolving Credit Facility on August 27, 2025 and the balance of its unamortized debt issuance costs was not material.
As of January 3, 2026, we had zero outstanding borrowings and excess availability, including cash in qualified accounts, of $725.9 million under our Revolving Credit Facility. As of December 28, 2024, we had zero outstanding borrowings on the Prior Revolving Credit Facility and excess availability, including cash in qualified accounts, of $851.8 million under our Prior Revolving Credit Facility. Available borrowing capacity under our Revolving Credit Facility and Prior Revolving Credit Facility was $340.1 million and $346.2 million on January 3, 2026 and December 28, 2024, respectively.
During fiscal 2025, fiscal 2024, and fiscal 2023, the Company incurred no interest expense for the Revolving Credit Facility or Prior Revolving Credit Facility since no borrowings were outstanding during those fiscal years. During fiscal 2025, 2024, and 2023, the Company incurred $0.9 million, $1.0 million, and $1.0 million respectively, of fees associated with the Revolving Credit Facility, primarily unused line fees. These expenses are included in Interest expense, net on the Company‘s consolidated statement of operations.
Debt Covenants
The Revolving Credit Facility and the 2029 Notes contain various covenants and restrictions, including customary financial covenants. The Company’s right to make draws on the Revolving Credit Facility may be conditioned upon, among other things, compliance with these covenants. The Company was in compliance with all covenants as of January 3, 2026. These covenants also limit the Company’s ability to, among other things incur additional debt, grant liens on assets, make investments, repurchase stock, pay dividends and make distributions, sell or acquire assets, including certain real estate assets, outside the ordinary course of business, engage in transactions with affiliates, and make fundamental business changes.
Finance Lease Obligations
The Company’s finance lease liabilities consist of leases related to vehicles, real estate, and equipment. For more information on the Company’s finance lease obligations, refer to Note 13, Lease Commitments, to the consolidated financial statements.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2026 | Feb 24, 2026 | Showing above |
| 2024 | Feb 18, 2025 | |
| 2023 | Feb 20, 2024 | |
| 2022 | Feb 21, 2023 | |
| 2021 | Mar 3, 2021 | |
| 2019 | Mar 11, 2020 | |
| 2018 | Mar 13, 2019 | |
| 2016 | Mar 28, 2016 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.