Covenant and pricing changes were two most amended
provision in 2Q20 US middle market
Refinitiv LPC tracked 50 US middle market publicly filed 8K summaries that involved a loan amendment in 2Q20. The most changed provision according to those summaries was to financial covenants, where 48% of the amendments involved a change. Borrowers either received a covenant relief period, whereby financial covenants were suspended to a later date, or loosened the existing covenant levels.