Estee Lauder Terminates Agreement, Incurs New Obligation

TL;DR

ELC terminated a deal and took on new debt. Details TBD.

AI Summary

On June 7, 2024, The Estée Lauder Companies Inc. filed an 8-K report detailing the termination of a material definitive agreement and the creation of a direct financial obligation. The specific details of the agreement terminated and the new financial obligation were not disclosed in the provided text, but the filing indicates these events occurred on or before June 7, 2024.

Why It Matters

This filing signals a change in Estée Lauder's contractual and financial standing, which could impact its future operations and financial obligations.

Risk Assessment

Risk Level: medium — The termination of a material agreement and the creation of a new financial obligation introduce uncertainty regarding the company's strategic direction and financial health.

Key Players & Entities

• The Estée Lauder Companies Inc. (company) — Registrant
• June 7, 2024 (date) — Date of earliest event reported

FAQ

Key Financial Figures

• $2.5 billion — substantially similar to, the Company's $2.5 billion revolving credit facility entered into
• $2.5 b — ely, the "Borrowers"), in the amount of $2.5 billion, of which the entire amount is cu
• $750 million — the Agreement. Up to the equivalent of $750 million of the Facility will be available for m
• $150 million — A portion of the Facility not to exceed $150 million will be available for the issuance of l
• $500 million — t the election of the Company, by up to $500 million in accordance with the terms set forth

Filing Documents

• tm2416690d1_8k.htm (8-K) — 32KB
• tm2416690d1_ex10-1.htm (EX-10.1) — 692KB
• 0001104659-24-069731.txt ( ) — 1039KB
• el-20240607.xsd (EX-101.SCH) — 3KB
• el-20240607_lab.xml (EX-101.LAB) — 33KB
• el-20240607_pre.xml (EX-101.PRE) — 22KB
• tm2416690d1_8k_htm.xml (XML) — 3KB

01. Entry into a Material Definitive Agreement

Item 1.01. Entry into a Material Definitive Agreement. On June 7, 2024, The Este Lauder Companies Inc. (the "Company") entered into a senior unsecured credit agreement (the "Agreement") among the Company, the Eligible Subsidiaries of the Company party thereto from time to time, as defined therein (the "Eligible Subsidiaries"), the lenders party thereto (the "Lenders"), and JPMorgan Chase Bank, N.A., as administrative agent. The Facility (as defined below) created by the Agreement replaced, and is substantially similar to, the Company's $2.5 billion revolving credit facility entered into on October 22, 2021. On June 7, 2024, there were no loans outstanding under such facility. The Agreement provides for a 5-year revolving credit facility (the "Facility") to the Company and the Eligible Subsidiaries (collectively, the "Borrowers"), in the amount of $2.5 billion, of which the entire amount is currently undrawn and available. The proceeds of the loans made under this Agreement will be used by the Borrowers for general corporate purposes as shall be determined by the Company from time to time. The Facility commenced on June 7, 2024 and expires by its terms on June 7, 2029, unless extended for up to two additional years in accordance with terms set forth in the Agreement. Up to the equivalent of $750 million of the Facility will be available for multicurrency loans in Pounds Sterling, Euros, Japanese Yen and Swiss Francs. A portion of the Facility not to exceed $150 million will be available for the issuance of letters of credit. The Facility may be increased, at the election of the Company, by up to $500 million in accordance with the terms set forth in the Agreement. The Company will guarantee the obligations of the Borrowers, other than itself, under the Agreement, pursuant to the terms set forth in the Agreement. Interest and fees payable under the Agreement shall be determined pursuant to the terms set forth in the Agreement. The Agreement also contains certai

02. Termination of a Material Definitive Agreement

Item 1.02. Termination of a Material Definitive Agreement. As described in Item 1.01, in connection with entering into the new Agreement, the Company terminated on June 7, 2024, the credit agreement dated as of October 22, 2021, by and among the Company, the Eligible Subsidiaries of the Company, as defined therein, the lenders party thereto, JPMorgan Chase Bank, N.A., as administrative agent (the "2021 Agreement"). A brief description of the material terms of the 2021 Agreement and of the material relationships with the parties is contained in Item 1.01 of the Form 8-K filed with the SEC by the Company on October 22, 2021 , which is incorporated herein by reference.

03. Creation of a Direct Financial Obligation or an Obligation

Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. The disclosure required by this item is included in Item 1.01 and is incorporated herein by reference.

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits. See Exhibit Index below, incorporated herein by reference. Exhibit Index Exhibit No. Description 10.1 Credit Agreement, dated as of June 7, 2024, among The Este Lauder Companies Inc., the Eligible Subsidiaries of the Company, as defined therein, the lenders party thereto, and JPMorgan Chase Bank, N.A., as administrative agent 104 Cover Page Interactive Data File (embedded with Inline XBRL document) 3

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. THE ESTE LAUDER COMPANIES INC. Date: June 7, 2024 By: /s/ Tracey T. Travis Name: Tracey T. Travis Title: Executive Vice President and Chief Financial Officer 4