CONSOLIDATED EDISON INC 8-K

What Happened

• Consolidated Edison Inc. (and subsidiaries Consolidated Edison Company of New York, Inc. “CECONY” and Orange and Rockland Utilities, Inc. “O&R”) announced a new Credit Agreement dated March 11, 2026 with Bank of America, N.A. as Administrative Agent and a syndicate of lenders. The new agreement replaces prior credit agreements dated March 27, 2023 and March 24, 2025.

Key Details

• Total committed capacity: up to $3.5 billion of revolving credit (full $3.5B available to CECONY; $800M available to Con Edison, subject to increase to $1B; $250M available to O&R, subject to increase to $300M).
• Letters of credit: up to $900 million included within the aggregate capacity.
• Extension and increase: lenders’ commitments terminate March 11, 2031 unless extended up to two one‑year terms; companies and lenders may increase aggregate availability by up to $500M (pro rata by company).
• Borrowing terms: generally variable interest rates; interest/fees tied to each company’s credit ratings. Each company is severally (not jointly) responsible for loans and letters of credit made on its behalf.
• Uses and conditions: intended to support commercial paper programs and general corporate purposes; draws subject to customary conditions and absence of Events of Default. Key covenants include a consolidated debt-to-total-capital ratio cap of 0.65 and a limit on liens to 10% of consolidated net tangible assets. Events of default include missed payments, covenant breaches, and acceleration triggers for material indebtedness.

Why It Matters

• This credit facility provides near-term liquidity and backup for the Companies’ commercial paper programs and other corporate needs, reducing short-term funding risk. The size and structure (separate allocations, rating‑linked pricing, and customary covenants) affect each company differently—CECONY has the largest availability. Investors should note the covenant limits and default triggers, which could affect financing flexibility if leverage increases or material payment problems arise.