Kraft Heinz Taps as Much as $4 Billion of Credit Line
- The iconic food giant was downgraded to junk last month
- Drawdown comes amid virus pandemic disrupting credit markets
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Kraft Heinz Co. is planning to draw down as much as $4 billion from its revolving credit facility, a month after the food giant’s credit rating was cut to junk, according to people familiar with the matter.
The move comes as companies from planemaker Boeing Co. to casino operator Wynn Resorts Ltd. tap into their backup credit lines and other loans to bolster cash positions amid the worst credit-market turmoil since the 2008 financial crisis. Firms are stockpiling cash as the coronavirus pandemic shuts down broad swaths of the economy.