Target Corp Enters $4B Five-Year Revolving Credit Facility

What Happened
Target Corporation announced on August 14, 2026 that it entered into a Five-Year Credit Agreement providing a $4.0 billion unsecured revolving credit facility with Bank of America, N.A. as administrative agent (co-syndication agents: Citibank, N.A. and Wells Fargo Bank, N.A.; co-documentation agents: JPMorgan Chase Bank, N.A. and U.S. Bank National Association). The facility can be increased by up to $1.0 billion subject to conditions, matures on August 14, 2031 (with two one-year extension options), and replaces Target’s prior $3.0 billion five‑year credit agreement dated October 18, 2021.

Key Details

• Amount: $4.0 billion unsecured revolving credit facility, with an accordion option to increase commitments by up to $1.0 billion (potential total $5.0 billion).
• Date and maturity: Agreement entered August 14, 2026; maturity August 14, 2031 with two one-year extension options.
• Terms: Interest rates vary by loan type and Target’s debt ratings; includes customary reps, affirmative/negative covenants and a financial covenant tied to Target’s leverage ratio.
• Prior facility: The new agreement terminates the prior $3.0 billion five-year facility (originally dated Oct 18, 2021, amended in 2022 and 2023) that was scheduled to expire Oct 18, 2028.

Why It Matters
This credit agreement provides Target with committed liquidity and borrowing flexibility through 2031, increasing committed capacity relative to the prior facility. The presence of customary covenants (including a leverage-ratio financial covenant) and events of default means the facility affects Target’s borrowing terms and constraints on future debt. The full credit agreement is filed as an exhibit to the 8-K for investors who want the complete legal and financial details.