Superior Group of Companies, Inc. Announces $200M A&R Credit Facilities

What Happened

• On August 7, 2026, Superior Group of Companies, Inc. entered into an Amended and Restated Credit Agreement with PNC Bank as administrative agent and several lenders, creating senior secured credit facilities consisting of a $125 million revolving credit facility and a $75 million term loan (total initial capacity $200 million). The facilities have a five-year term and can be increased by up to an additional $75 million subject to lender commitments and conditions. Proceeds were used in part to refinance the Company’s prior credit agreement dated August 23, 2022.

Key Details

• Amounts: $125 million revolving credit facility + $75 million term loan; up to $75 million incremental capacity available.
• Pricing & fees: interest at SOFR + margin of 1.125%–2.125% (based on net leverage); unused commitment fee on revolver 0.125%–0.250% (quarterly); upfront fees paid at closing and an annual administrative fee payable to the agent.
• Covenants & term: five-year term; fixed charge coverage ratio of at least 1.25:1.0; net leverage ratio not to exceed 4.0:1.0; customary events of default and negative covenants.
• Security & guarantees: facilities are secured by substantially all operating assets of the Company and guaranteed by all domestic subsidiaries; obligations subject to acceleration on an event of default.
• Disclosure: Company issued a press release on August 11, 2026 announcing the A&R Credit Facilities (filed as Exhibit 99.1).

Why It Matters

• The new credit package establishes the Company’s near‑term borrowing capacity and refinances prior debt, affecting liquidity and capital structure. Interest costs will vary with SOFR plus a leverage‑based margin, so financing expense can change as leverage moves. The financial covenants (fixed charge coverage and net leverage limits) can restrict distributions, dividends or additional borrowing if not met. The secured nature of the facilities means operating assets back the debt and could be at risk upon a default. Investors should note these terms when evaluating Superior’s liquidity, leverage and flexibility going forward.