Adient plc 8-K

What Happened Adient plc announced an amendment (effective January 15, 2026) to its Term Loan Credit Agreement (originally dated May 6, 2019). The amendment, among other changes, reduces the interest rate margin to 2.00% for Term SOFR loans and 1.00% for Base Rate loans. The total principal outstanding under the Credit Agreement remained $624,000,000. The Lead Borrower is Adient US LLC, the Agent is Bank of America, N.A., and the obligations continue to be secured and guaranteed by Adient plc and certain material wholly‑owned restricted subsidiaries.

Key Details

• Amendment effective date: January 15, 2026 (Amendment No. 5 to the May 6, 2019 Term Loan Credit Agreement).
• New interest margins: 2.00% on Term SOFR loans; 1.00% on Base Rate loans.
• Total loans outstanding as of the amendment: $624,000,000 (unchanged).
• Credit facility remains secured and guaranteed by the parent and certain subsidiaries; Bank of America, N.A. serves as administrative and collateral agent.

Why It Matters Lowering the interest margin reduces the cash interest expense Adient will pay on its term loan debt, which can modestly improve free cash flow and interest coverage without changing the outstanding principal or collateral structure. For investors, this is a financing cost improvement rather than an operational change—no new borrowing or repayment was reported and the debt remains secured and guaranteed as before. The full amendment text is attached to the 8‑K for anyone needing legal or covenant details.