{"url_path":"/sec/snbr/8-k/2026-06-12/item-2-04","section_key":"item-2-04","section_title":"Item 2.04 Triggering","topic":"sec","document":{"doc_type":"8-K","doc_date":"2026-06-12","source_url":"https://www.sec.gov/Archives/edgar/data/827187/0000950103-26-008891-index.html","accession_number":"0000950103-26-008891","cik":"0000827187","ticker":"SNBR","issuer_name":"Sleep Number Corp","edgar_url":"https://www.sec.gov/Archives/edgar/data/827187/0000950103-26-008891-index.html","primary_entity_key":"0000827187","primary_entity_name":"Sleep Number Corp"},"word_count":352,"has_tables":true,"body_markdown":"**Item 2.04    Triggering\nEvents that Accelerate or Increase a Direct Financial Obligation or an Obligation Under an Off-Balance Sheet Arrangement.**\n\n \n\nAs discussed in Item 1.03,\non the Petition Date, the Debtors filed the Chapter 11 Cases in the Bankruptcy Court seeking relief under chapter 11 of title 11 of the\nBankruptcy Code. The Debtors continue to operate their business and manage their properties as “debtors-in-possession” under\nthe jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code and orders of the Bankruptcy\nCourt. The commencement of the Chapter 11 Cases constituted an event of default under the Prepetition Credit Agreement enumerated below,\nresulting in the acceleration of the Company’s payment obligations under those instruments. As such, substantially all of the Company’s\ndebt, with balances of approximately $672.5 million in the aggregate principal amount as of the Petition Date, is in default and accelerated,\nbut subject to the automatic stay under the Bankruptcy Code.\n\n \n\nThe filing of the Chapter\n11 Cases constituted an event of default that accelerated the Debtors’ obligations under that certain Amended and Restated Credit\nand Security Agreement, dated February 18, 2018 (as amended, restated, or otherwise modified or supplemented through that certain Forbearance\nAgreement and Thirteenth Amendment to the Amended and Restated Credit and Security Agreement, dated as of April 27, 2026, the “Prepetition\nCredit Agreement”), between, amongst others, the Company as Borrower, the Lenders named therein and U.S. Bank National Association\nas Administrative Agent.\n\n \n\nThe Prepetition Credit Agreement\ndescribed above provides that, as a result of the commencement of the Chapter 11 Cases, any principal amount, together with accrued interest\nthereon, are immediately due and payable. However, any efforts to enforce the payment obligations under the Prepetition Credit Agreement\nand such other instruments and agreements are automatically stayed as a result of the Chapter 11 Cases, and the creditors’ rights\nof enforcement in respect of the Prepetition Credit Agreement and such other instruments and agreements are subject to the applicable\nprovisions of the Bankruptcy Code.\n\n \n\nThe disclosure in Item 1.03\nof this Current Report on Form 8-K is incorporated herein by reference."}