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Short-Term Borrowings and Long-Term Debt
 9 Months Ended
Feb. 26, 2022
Debt Disclosure [Abstract]  
Short-Term Borrowings and Long-Term Debt Short-Term Borrowings and Long-Term Debt
Short-term borrowings and long-term debt as of February 26, 2022 and May 29, 2021 consisted of the following:
(In millions)February 26, 2022May 29, 2021
Debt securities, 4.95%, due May 20, 2030
$— $49.9 
Syndicated revolving line of credit, due August 2024— 225.0 
Syndicated revolving line of credit, due July 2026413.0 — 
Term Loan A, 1.875%, due July 2026
395.0 — 
Term Loan B, 2.125%, due July 2028
623.4 — 
Supplier financing program2.6 2.2 
Total debt$1,434.0 $277.1 
Less: Unamortized discount and issuance costs(20.3)— 
Less: Current portion of long-term debt(28.8)(2.2)
Long-term debt$1,384.9 $274.9 
As of May 29, 2021, the Company's syndicated revolving line of credit provided the Company with up to $500 million in revolving variable interest borrowing capacity and included an "accordion feature" allowing the Company to increase, at its option and subject to the approval of the participating banks, the aggregate borrowing capacity of the facility by up to $250 million. Outstanding borrowings bear interest at rates based on the prime rate, federal funds rate, LIBOR, or negotiated rates as outlined in the agreement. Interest is payable periodically throughout the period if borrowings are outstanding. The Company paid off the outstanding balance due on the syndicated revolving line of credit during the first quarter of 2022.
In connection with the acquisition of Knoll, in July, 2021, the Company entered into a credit agreement that provided for a syndicated revolving line of credit and two term loans. The revolving line of credit provides the Company with up to $725 million in revolving variable interest borrowing capacity that matures in July 2026, replacing the previous $500 million syndicated revolving line of credit. The term loans consist of a five-year senior secured term loan "A" facility with an aggregate principal amount of $400 million and a seven-year senior secured term loan "B" facility with an aggregate principal amount of $625 million, the proceeds of which were used to finance a portion of the cash consideration for the acquisition of Knoll, for the repayment of certain debt of Knoll, and to pay fees, costs, and expenses related thereto. Both term loans have a variable interest
rate. The Company also repaid $64 million of private placement notes due May 20, 2030. A loss on extinguishment of debt of approximately $13.4 million was recognized as part of the repayment of the private placement notes, which represented the premium on early redemption. The Company made principal payments on term loan "A" and "B" during the three months ended February 26, 2022 in the amount of $5.0 million and $1.6 million, respectively.
Available borrowings under the syndicated revolving line of credit were as follows for the periods indicated:
(In millions)February 26, 2022May 29, 2021
Syndicated revolving line of credit borrowing capacity$725.0 $500.0 
Less: Borrowings under the syndicated revolving line of credit413.0 225.0 
Less: Outstanding letters of credit15.4 9.8 
Available borrowings under the syndicated revolving line of credit
$296.6 $265.2 
Supplier Financing Program
The Company has an agreement with a third-party financial institution that allows certain participating suppliers the ability to finance payment obligations of the Company. Under this program, participating suppliers may finance payment obligations of the Company, prior to their scheduled due dates, at a discounted price to the third-party financial institution.
The Company has lengthened the payment terms for certain suppliers that have chosen to participate in the program. As a result, certain amounts due to suppliers have payment terms that are longer than standard industry practice and as such, these amounts have been excluded from the caption “Accounts payable” in the Condensed Consolidated Balance Sheets as the amounts have been accounted for by the Company as current debt, within the caption “Short-term borrowings and current portion of long-term debt”.