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Booz Allen Hamilton Inc. Closes Ninth Amendment to Credit Agreement

Booz Allen Hamilton Holding Corporation (NYSE: BAH) today announced that on September 7, 2022, its wholly owned subsidiary, Booz Allen Hamilton Inc. (the “Company”), successfully closed the ninth amendment to its credit agreement, dated as of July 31, 2012. Key updates for the refinancing include, but are not limited to, raising $2,650 million under the Senior Secured Credit Facilities, reducing overall interest costs by transitioning Term Loan B (“TLB”) balances into the Term Loan A (“TLA”) market, extending maturities under the Company’s Revolving Credit Facility (“Revolver”) and TLA for a new five-year term, and converting to a SOFR-based loan. Under the credit agreement, as amended, the Company's Revolver and TLA mature on September 7, 2027, and the Company’s TLB will be extinguished.

In connection with the amendment, an additional approximately $425 million of the Company's TLA was borrowed with a portion of the proceeds used to prepay all of the outstanding TLB. The credit agreement, as amended, consists of a $1,000 million Revolver and $1,650 million TLA. Following the amendment, the interest rate for the outstanding indebtedness of approximately $1,650 million under the TLA is SOFR + 1.25%, plus a 10 basis points Credit Spread Adjustment as the Company transitions from a LIBOR-based agreement to SOFR-based (subject to adjustment based on the lower of (i) the applicable rate per annum determined pursuant to a leveraged based pricing grid and (ii) the applicable rate per annum determined pursuant to a ratings based pricing grid) with no SOFR floor.

The Company also amended the TLA amortization schedule from 5% per annum to 2.5% per annum prior to the two-year anniversary of the amendment closing date and 5% per annum thereafter. Certain other covenants and terms under the credit agreement were amended to provide for greater operational and financial flexibility to the Company.

Further information can be found in Booz Allen Hamilton Holding Corporation’s Current Report on Form 8-K filed with the Securities and Exchange Commission on September 7, 2022.

About Booz Allen Hamilton

For more than 100 years, military, government, and business leaders have turned to Booz Allen Hamilton to solve their most complex problems. As a consulting firm with experts in analytics, digital solutions, engineering, and cyber, we help organizations transform. We are a key partner on some of the most innovative programs for governments worldwide and trusted by its most sensitive agencies. We work shoulder-to-shoulder with clients, using a mission-first approach to choose the right strategy and technology to help them realize their vision.

With global headquarters in McLean, Virginia, our firm employs nearly 29,300 people globally as of June 30, 2022 and had revenue of $8.4 billion for the 12 months ended March 31, 2022. To learn more, visit (NYSE: BAH)



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