UFP INDUSTRIES INC Debt Disclosure
E.DEBT
As of December 6, 2022, we entered into a five-year, $750 million unsecured revolving credit facility with a syndicate of U.S. banks. This facility includes up to $60 million which may be advanced in the form of letters of credit, and up to $100 million (U.S. dollar equivalent) which may be advanced in Canadian dollars, Australian dollars, Sterling, Euros and such other foreign currencies as may subsequently be agreed upon among the parties. Cash borrowings are charged interest based upon an index selected by the Company, plus a margin that is determined based upon the index selected and upon the financial performance of the Company and certain of its subsidiaries. We are charged a facility fee on the entire amount of the lending commitment, at a per annum rate ranging from 15.0 to 30.0 basis points, also determined based upon our performance. The facility fee is payable quarterly in arrears.
Outstanding letters of credit extended on our behalf on December 27, 2025 and December 28, 2024 aggregated $40.4 million and $39.7 million, respectively. These letters of credit as of December 27, 2025 are comprised of $39.2 million issued under the revolving credit facility, including approximately $3.3 million related to industrial development revenue bonds, and $1.2 million issued outside of the facility. We had no amount outstanding on the revolver at December 27, 2025, and December 28, 2024. After considering letters of credit, we had $710.8 million and $712.7 million in remaining availability on the revolver on December 27, 2025, and December 28, 2024, respectively. Letters of credit have one-year terms, include an automatic renewal clause, and are charged an annual interest rate of 112.5 to 122.5 basis points, based upon our financial performance.
Long-term debt obligations are summarized as follows on December 27, 2025 and December 28, 2024 (amounts in thousands):
| 2025 | | 2024 | |||
Series 2020 Senior Notes E, due on August 10, 2032, interest payable semi-annually at 3.04% | $ | 50,000 | $ | 50,000 | ||
Series 2020 Senior Notes F, due on August 10, 2033, interest payable semi-annually at 3.08% | 50,000 | 50,000 | ||||
Series 2020 Senior Notes G, due on August 10, 2035, interest payable semi-annually at 3.15% | 50,000 | 50,000 | ||||
Series 2018 Senior Notes C, due on June 14, 2028, interest payable semi-annually at 4.20% | 40,000 | 40,000 | ||||
Series 2018 Senior Notes D, due on June 14, 2030, interest payable semi-annually at 4.27% |
| 35,000 |
| 35,000 | ||
Series 1999 Industrial Development Revenue Bonds, due on August 1, 2029, interest payable monthly at a floating rate (2.65% on December 27, 2025 and 3.32% on December 28, 2024) |
| 3,300 |
| 3,300 | ||
Finance leases and foreign affiliate debt |
| 1,698 |
| 5,732 | ||
| 229,998 |
| 234,032 | |||
Less current portion |
| (899) |
| (4,125) | ||
Less debt issuance costs |
| (240) |
| (77) | ||
Long-term portion | $ | 228,859 | $ | 229,830 | ||
Financial covenants on the unsecured revolving credit facility and unsecured notes include minimum interest coverage tests and a maximum leverage ratio. The agreements also restrict the amount of additional indebtedness we may incur and the amount of assets which may be sold among other industry standard covenants. We were within all of our lending requirements on December 27, 2025 and December 28, 2024.
On December 27, 2025, the principal maturities of long-term debt and finance lease obligations are as follows (in thousands):
2026 | | $ | 800 |
2027 |
| 127 | |
2028 |
| 40,199 | |
2029 |
| 3,549 | |
2030 |
| 35,090 | |
Thereafter |
| 149,993 | |
Total | $ | 229,758 |
On December 27, 2025, the estimated fair value of our long-term debt, including the current portion, was $210.1 million, which was $19.9 million less than the carrying value. The estimated fair value is based on rates anticipated to be available to us for debt with similar terms and maturities. We consider the valuations of our long-term debt, including the current portion, to be Level 2 liabilities which rely on quoted prices in markets that are not active or observable inputs over the full term of the liability.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 25, 2026 | Showing above |
| 2024 | Feb 26, 2025 | |
| 2023 | Feb 28, 2024 | |
| 2022 | Mar 1, 2023 | |
| 2021 | Feb 23, 2022 | |
| 2020 | Mar 3, 2021 | |
| 2019 | Feb 26, 2020 | |
| 2018 | Feb 27, 2019 | |
| 2017 | Feb 28, 2018 | |
| 2016 | Mar 1, 2017 | |
| 2015 | Feb 24, 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.