latest-news-headlines Market Intelligence /marketintelligence/en/news-insights/latest-news-headlines/update-coronavirus-related-us-revolving-credit-drawdowns-surge-to-275b-58518972 content esgSubNav
In This List

Update: Coronavirus-related US revolving credit drawdowns surge to $275B

Blog

Insight Weekly: US inflation soars; real estate faces slowdown; megadeals drive tech M&A

Blog

Commercial Banking: June 22nd Edition

Blog

Insight Weekly: Path to net-zero; US manufacturing momentum; China's lithium M&A frenzy

Blog

Commercial Banking Newsletter June Edition - 2022


Update: Coronavirus-related US revolving credit drawdowns surge to $275B

LCD on May 7 logged $7.2 billion in revolving credit facility drawdowns via 18 debt issuers. Roughly $274.9 billion across 630 borrowers has been recorded since March 5.

SNL Image

The activity reflects the intense corporate focus on liquidity, amid the economic shutdown due to the coronavirus pandemic. In more ordinary times these revolving credits might go largely undrawn.

SNL Image

Looking at broad industry sectors, Consumer Discretionary accounts for 43% of total RC drawdowns.

SNL Image

Within Consumer Discretionary, much of the volume is from borrowers in the Automobile Manufacturers segment.

SNL Image

Of the data so far, better-quality BBB issuers account for 42% of the overall volume by corporate credit rating.

SNL Image

The maturity wall for these revolving credit drawdowns for both the investment-grade and speculative-grade segments peaks in 2024.

This data is sourced from available SEC filings. It is not an exhaustive list of all RC drawdown activity. LCD updates revolving credit drawdown activity daily.