7.03 The debt table keeps a nil 'Draw Note' row for a facility that expired in [date] and is no longer described

Company B · a US-listed transportation and logistics company · Drafting slip

DraftingLowEstablishedFinancial statements, US GAAP and Regulation S-X
Area of the 10-K
Notes: debt (Note 10), debt and lease obligations table
Year
Latest 10-K
Status
Established: Established from the company’s own documents; the requirement is clear.
Who acts
SEC Reporting
When
Next Form 10-K (fiscal 2026)

In brief

Note 10's debt table still carries a 'Borrowings under the Draw Note' row with dashes in every column. The [amount] line of credit could be drawn only until [date] and has expired; the fiscal 2025 10-K describes it nowhere, so the caption refers to a facility the reader cannot find.

The evidence, as filed

Masked extract: Form 10-K 2024 (prior year), page 72
Form 10-K 2024 (prior year), page 72Fiscal 2024 note: what the Draw Note was
Masked extract: Form 10-K 2024 (prior year), page 72
Form 10-K 2024 (prior year), page 72Fiscal 2024 note: drawable only until [date]
Masked extract: Form 10-K 2024 (prior year), page 72. The prior-year filing
Form 10-K 2024 (prior year), page 72The prior-year filingPrior year: The fiscal 2024 note explained the Draw Note and its availability period beneath the same table row.

2 further page extracts: screenshot withheld to protect the company’s identity. The rows below say what each shows.

What the filing shows, and what the rule requires

What the filing showsWhat the rule requires

Row 'Borrowings under the Draw Note' with dashes for both year ends; no description of the facility or of its expiry elsewhere in the 10-K.

Delete the row, or keep it for the 2024 column with a short footnote that the Draw Note expired on [date].

What we checked. The debt table and narrative of both [n]-Ks, the Form 10-Q for the third quarter of 2025, and a whole-report search for the facility's name and lender.

Why it matters

A reader sees a financing line in the debt table with no explanation of what it is or that it no longer exists.

Exposure

Presentation only; no figure or requirement is affected.

Our workings

Fact

the fiscal 2024 note described the [amount] Draw Note and said it could be drawn until [date]; the third-quarter 2025 Form 10-Q recorded its expiry. The fiscal 2025 table keeps the caption with no amounts, and the narrative that explained it has been removed.

Our inference

a presentation leftover; no figure is affected.

Management’s best defense, and our reply

The row shows nil in both columns, so it misstates nothing, and keeping a prior-year caption for one more year is common table practice. However, the narrative that explained the caption was removed, so the row now names a facility that the 10-K never describes.

The fix

  1. Remove the 'Borrowings under the Draw Note' row in the next Form 10-K, or footnote it: 'The Draw Note expired on [date].'

Evidence relied on

#What it showsTypeWhere
1Fiscal 2025 debt table: the nil Draw Note row is keptDocumentForm 10-K 2025, page 71
2Fiscal 2024 note: what the Draw Note wasDocumentForm 10-K 2024 (prior year), page 72
3Fiscal 2024 note: drawable only until [date]DocumentForm 10-K 2024 (prior year), page 72
4Third-quarter 2025 Form 10-Q records the expiryDocument

Absence check

Document
Form 10-K 2025
Where it would appear
Borrowings under the Draw Note
What is missing
Any description of the Draw Note or a statement that it expired on [date]
Pages looked at
p.28-42 (MD&A, liquidity), 111-112 (discontinued operations and the indemnification arrangement), 125-126 (debt note)
Result
'Draw Note' hits only the table row on p.71. '[date]' hits p.79 and [n], the 2008 date of the Credit Agreement and the 2020 date of its seventeenth amendment in the exhibit index, not the Draw Note. 'TBK' and 'line of credit' have no hits.

Prepared by Pramanex from the company’s public SEC filings, without the company’s involvement, to show how a 10-K Pre-filing Check reads. The company is not named, and nothing on this page is a statement about any identifiable company. Observations are not an audit, review or other attestation or assurance engagement, and not legal advice. An SEC-style question is a question, not a conclusion.

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