Debt

9 Months Ended

Mar. 29, 2024

Debt Disclosure [Abstract]

Debt

Debt

REVOLVING CREDIT FACILITY

On February 28, 2022, the Company amended the revolving credit facility (the "Revolver") to increase and extend the borrowing capacity to a $1,100,000, 5-year revolving credit line, with the maturity extended to February 28, 2027. As of March

29, 2024, the Company's outstanding balance of unamortized deferred financing costs was $4,431, which is being amortized to Other expense, net in the Consolidated Statements of Operations and Comprehensive (Loss) Income on a straight line basis over the term of the Revolver and includes the costs incurred in conjunction with the November 2023 amendment to the Revolver.

On November 7, 2023, due to the uncertainty surrounding a government shutdown or prolonged continuing resolution and the potential impact on the second quarter and fiscal 2024 results, the Company proactively executed Amendment No. 5 to the Revolver, as amended to date, with a syndicate of commercial banks and Bank of America, N.A acting as the administrative agent allowing for a temporary increase in the Consolidated Total Net Leverage Ratio covenant requirement from 4.50 to 5.25 for the second quarter ended December 29, 2023. In conjunction with Amendment No. 5 to the Revolver, the Company incurred $1,931 of new deferred financing costs that will be amortized over the remaining term of the Revolver. Refer to exhibit 10.1 on Form 8-K filed by the Company with the SEC on November 7, 2023.

During the third quarter ended March 29, 2024, the Company did not have any additional borrowings. During the nine months ended March 29, 2024, the Company borrowed $105,000. As of March 29, 2024, the Company was in compliance with all covenants and conditions under the Revolver and there were outstanding borrowings of $616,500 against the Revolver, resulting in interest expense of $9,319 and $25,856 for the third quarter and nine months ended March 29, 2024. The borrowing capacity as defined under the Revolver as of March 29, 2024 is approximately $750,000 less outstanding borrowings of $616,500. There were outstanding letters of credit of $963 as of March 29, 2024.