10. DEBT

On October 9, 2014, the Company entered into a Credit Agreement (the "Credit Agreement") with various financial institutions, and Bank of America, N.A. as administrative agent. The Credit Agreement provides for a $127.5 million term loan facility, a 6.6 billion Japanese yen term loan facility and a $187.5 million revolving credit facility, each with a term of five years. On October 10, 2014, the Company drew the full amount of the term loan facilities, and as of March 31, 2016 and December 31, 2015, the Company had outstanding balances of $62.5 million and $47.5 million on the revolving credit facility. Any additional amounts drawn under the revolving credit facility will bear interest at rates that will be determined in accordance with the Credit Agreement. The Credit Agreement requires that the Company maintain a consolidated leverage ratio not exceeding 2.25 to 1.00 and a consolidated interest coverage ratio of no less than 3.00 to 1.00. The Company believes these covenants provide it with greater flexibility to pay dividends and repurchase stock. The Company is in compliance with its debt covenants.

The following table summarizes the Company's debt facilities as of December 31, 2015 and March 31, 2016:

Facility or Arrangement	Original Principal Amount	Balance as of December 31, 2015	Balance as of March 31, 2016⁽¹⁾⁽²⁾	Interest Rate	Repayment terms

Credit Agreement term loan facility:
U.S. dollar denominated:	$127.5 million	$118.7 million	$116.3 million	Variable 30 day: 2.69%	One half of the principal amount payable in increasing quarterly installments over a five-year period that began on December 31, 2014, with the remainder payable at the end of the five-year term.

Japanese yen denominated:	6.6 billion yen	6.1 billion yen ($51.1 million as of December 31, 2015)	6.0 billion yen ($53.4 million as of March 31, 2016)	Variable 30 day: 2.25%	One half of the principal amount payable in increasing quarterly installments over a five-year period that began on December 31, 2014, with the remainder payable at the end of the five-year term.

Credit Agreement revolving credit facility:
		$47.5 million	$62.5 million	Variable 30 day: 2.69%	Revolving line of credit expires October 2019.

Korea subsidiary loan:
	$20.0 million	$20.0 million	$20.0 million	1.12%	One half of the principal amount payable on March 17, 2017 and the remainder payable on March 16, 2018.

Japan subsidiary loan:
	2.0 billion yen	2.0 billion yen ($16.6 million as of December 31,2015)	1.7 billion yen ($14.8 million as of March 31, 2016)	0.66%	Payable in semi-annual installments over three years that began on January 31, 2016.

(1)

As of March 31, 2016, the current portion of the Company's debt (i.e. becoming due in the next 12 months) included $73.7 million of the balance of its U.S. dollar-denominated debt under the Credit Agreement term loan facility, $5.1 million of the balance of its Japanese yen-denominated debt under the Credit Agreement facility, $10.0 million of the Korea subsidiary loan and $5.9 million of the Japan subsidiary loan. The Company has classified the amount borrowed under the Credit Agreement revolving credit facility as short term because it is the Company's intention to use this line of credit to borrow and pay back funds over short periods of time.

(2)	The carrying value of the debt reflects the amounts stated in the above table less a debt discount of $4.0 million, which is not reflected in this table.