In an attempt to strengthen their liquidity, The Walt Disney Company has entered into another credit agreement for $5 billion, which gives the company up to $13 billion in credit should it be needed.
The 364-day credit agreement with Citibank matures April 9, 2021, but can be extended with approval from the lender.
This is the third credit agreement that Disney has signed in the last month, following another 364-day agreement for $5.25 billion and a 5-year agreement for 3 billion.
Disney also raised $7.3 billion last month in two different debt offerings.
Disney is attempting to increase their access to cash while the theme parks and movie theaters are closed, giving them the ability to reopen quickly when prudent.
Source: The Hollywood Reporter
