XML 36 R20.htm IDEA: XBRL DOCUMENT
v3.19.2

Short-term Financing | 12 Months Ended
--- | ---
May 31, 2019
Financing [Abstract] |
Short-term Financing | Note M — Short-term Financing ﻿ The Company maintains credit facilities and letters of credit as part of its normal and recurring business operations. ﻿ Credit Facilities: The Company maintains three committed, unsecured credit facilities, as follows: ﻿ ﻿ ﻿ ﻿
﻿ |  |  |  |  |  |  |  |  |  |
﻿ |  |  |  |  |  |  |  |  |  |
﻿Bank |  | Borrower (1) |  | Date Entered |  | Expiration Date |  | Maximum Amount Available |  | Purpose
﻿JP Morgan Chase Bank, N.A.(2) |  | Paychex of New York, LLC |  | August 5, 2015 |  | August 5, 2020 |  | $1 Billion |  | To meet short-term funding requirements.
﻿JP Morgan Chase Bank, N.A.(2) |  | Paychex of New York, LLC |  | August 17, 2017 |  | August 17, 2022 |  | $500 Million |  | To meet short-term funding requirements.
﻿PNC Bank, National Association (“PNC”) |  | Paychex Advance, LLC |  | March 17, 2016 |  | March 17, 2020 |  | $150 Million |  | To finance working capital needs and general corporate purposes.
| (1) |  | Borrower is a wholly owned subsidiary of the Company.
﻿
| (2) |  | JP Morgan Chase Bank, N.A. (“JPM”) acts as the administrative agent for this syndicated credit facility.
﻿ For all credit facilities, obligations under any facility are guaranteed by the Company and certain of its subsidiaries and will bear interest at competitive rates based on options provided to the borrower. Upon the expiration date, any borrowings outstanding will mature and be payable on such date. ﻿ JPM $1 Billion Credit Facility: There were no borrowings outstanding under this credit facility as of May 31, 2019 or May 31, 2018. Details of borrowings under this credit facility during fiscal 2019 and fiscal 2018 are as follows: ﻿ ﻿ ﻿
﻿ |  |  |  |  |  |  |  |
﻿ |  |  |  |  |  |  |  |
﻿ |  | Year ended May 31,
﻿$ in millions |  | 2019 |  | 2018
﻿Number of days borrowed |  |  | 95 |  |  |  | 22 |
﻿Maximum amount borrowed |  | $ | 483.0 |  |  | $ | 700.0 |
﻿Weighted-average amount borrowed |  | $ | 387.7 |  |  | $ | 319.1 |
﻿Weighted-average interest rate |  |  | 3.64 | % |  |  | 4.27 | %
﻿ The Company typically borrows on an overnight basis. In addition to overnight borrowings, the Company also borrowed:
| · |  | Fiscal 2019 - $400.0 million for 84 day s at a weighted-average LIBOR-based interest rate of 3.45% to temporarily fund the acquisition of Oasis. This temporary borrowing was subsequently refinanced as outlined in Note N to the financial statements;
﻿
| · |  | Fiscal 2018 - $100.0 million for three-day period at a weighted-average 4.25%.
﻿ Subsequent to May 31, 2019, the Company borrowed two times, on an overnight basis, $187.8 million on a weighted-average basis under this line. ﻿ JPM $500 Million Credit Facility: There were no borrowings outstanding under this credit facility as of May 31, 2019 or May 31, 2018. Details of borrowings under this credit facility during fiscal 2019 and fiscal 2018 is as follows: ﻿ ﻿
﻿ |  |  |  |  |  |  |  |
﻿ |  | Year ended May 31,
﻿$ in millions |  | 2019 |  | 2018
﻿Number of days borrowed |  |  | 92 |  |  |  | 42 |
﻿Maximum amount borrowed |  | $ | 400.0 |  |  | $ | 400.0 |
﻿Weighted-average amount borrowed |  | $ | 375.6 |  |  | $ | 144.8 |
﻿Weighted-average interest rate |  |  | 3.55 | % |  |  | 2.80 | %
﻿ The Company typically borrows on an overnight basis. In addition to overnight borrowings, the Company also borrowed: ﻿
| · |  | Fiscal 2019 - $400 million for 84 days at a weighted-average LIBOR-based interest rate of 3.45% to temporarily fund the acquisition of Oasis. This temporary borrowing was subsequently refinanced as outlined in Note N to the financial statements;
﻿
| · |  | Fiscal 2018 - $300.0 million for seven days and $75.0 million for 30 days at weighted average LIBOR-based interest rates of 2.13% and 2.19%, respectively.
﻿ Subsequent to May 31, 2019, the Company borrowed two times, on an overnight basis, $178.0 million on a weighted-average basis under this line. ﻿ PNC $150 Million Credit Facility: There were no borrowings outstanding under this credit facility as of May 31, 2019 or May 31, 2018. Details of borrowings under this credit facility during fiscal 2019 and fiscal 2018 are as follows: ﻿ ﻿ ﻿
﻿ |  |  |  |  |  |  |  |
﻿ |  | Year ended May 31,
﻿$ in millions |  | 2019 |  | 2018
﻿Number of days borrowed |  |  | 359 |  |  |  | 358 |
﻿Maximum amount borrowed |  | $ | 58.9 |  |  | $ | 59.9 |
﻿Weighted-average amount borrowed |  | $ | 56.1 |  |  | $ | 57.2 |
﻿Weighted-average interest rate |  |  | 2.81 | % |  |  | 1.94 | %
﻿ Subsequent to May 31, 2019, the Company borrowed approximate ly $54.9 mil lio n under this line, which remains outstanding as of the date of this report. All of the Company’s credit facilities contain various financial and operational covenants that are usual and customary for such arrangements. The Company was in compliance with all of these covenants as of May 31, 2019. ﻿ Certain lenders under these credit facilities, and their respective affiliates, have performed, and may in the future perform for the Company, various commercial banking, investment banking, underwriting, and other financial advisory services, for which they have received, and will continue to receive in the future, customary fees and expenses. Letters of credit: The Company had irrevocable standby letters of credit outstanding totaling $148.9 million and $56.8 million as of May 31, 2019 and May 31, 2018, respectively, required to secure commitments for certain insurance policies. The letters of credit expire at various dates between July 2019 and July 2020. No amounts were outstanding on these letters of credit during fiscal 2019 or fiscal 2018, or as of May 31, 2019 and May 31, 2018. Subsequent to May 31, 2019, the letter of credit expiring in July 2019 was renewed through July 20 20. Lines of credit: Effective August 17, 2017, the Company terminated four uncommitted, secured, short-term lines of credit totaling $900.0 million. There were no amounts outstanding under these lines of credit during fiscal 2018, or as of May 31, 2018. The Company does not have any other open lines of credit as of the date of this report. ﻿

X
- References No definition available. + Details
Name: | us-gaap_DebtDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for short-term debt. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
Name: | us-gaap_ShortTermDebtTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration