DEBT

6 Months Ended

Dec. 27, 2025

Debt Disclosure [Abstract]

DEBT

DEBT

On September 5, 2025, Sysco entered into a new long-term revolving credit facility, which replaces the $3.0 billion senior revolving credit facility that was originally entered into on April 29, 2022. The aggregate commitments of the lenders under the new long-term credit agreement are $3.0 billion, with an option to increase such commitments to $4.0 billion. The new facility includes a covenant requiring Sysco to maintain a ratio of consolidated EBITDA to consolidated interest expense of 3.0 to 1.0 over four consecutive fiscal quarters, which is consistent with our previous revolving credit facility. The new revolving credit facility expires on September 5, 2030. As of December 27, 2025, there were no borrowings outstanding under this facility.

We have a commercial paper program allowing the company to issue short-term unsecured notes in an aggregate amount not to exceed $3.0 billion. Any outstanding amounts are classified within long-term debt, as the program is supported by the long-term revolving credit facility noted above. As of December 27, 2025, there were $795 million in U.S. commercial paper issuances outstanding under this program. We also have commercial paper issuances outstanding under this program in Europe. In December 2025, Sysco entered into an agreement to increase the maximum allowable principal amount of the commercial paper issuances in Europe, with borrowings not to exceed €750 million. As of December 27, 2025, there were €440 million (the equivalent of $518 million) in commercial paper issuances outstanding in Europe.

The total carrying value of our debt was $13.6 billion as of December 27, 2025 and $13.3 billion as of June 28, 2025. The increase in the carrying value of our debt during the 26-week period ended December 27, 2025 was due to new commercial paper issuances, partially offset by a senior note that matured in October 2025.

Information regarding the guarantors of our registered debt securities is contained in the section captioned Guarantor Summarized Financial Information in “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Item 2 of Part I of this Form 10-Q.