14. Debt

Following is a summary of short-term borrowings and long-term debt:



	June 30, 2015		December 31, 2014
	(In thousands)
Debt of Amkor Technology, Inc.:
Senior secured credit facilities:
$200 million revolving credit facility, LIBOR plus 1.25%-1.75%, due December 2019 (1)	$	150,000	$	—
Senior notes:
7.375% Senior notes, due May 2018 (2)	—		345,000
6.625% Senior notes, due June 2021, $75 million related party	400,000		400,000
6.375% Senior notes, due October 2022	525,000		525,000
Debt of subsidiaries:
Amkor Technology Korea, Inc. (10):
$41 million revolving credit facility, foreign currency funding-linked base rate plus 1.60%, due June 2016 (3)	—		—
Term loan, LIBOR plus 2.60%, due May 2018 (4)	100,000		—
Term loan, LIBOR plus 2.70%, due December 2019 (5)	70,000		70,000
Term loan, foreign currency funding-linked base rate plus 1.55%, due May 2020 (6)	150,000		—
Term loan, foreign currency funding-linked base rate plus 1.55%, due May 2020 (7)	80,000		—
Term Loan, fund floating rate plus 1.60%, due June 2020 (8)	10,000		—
Term loan, LIBOR plus 3.70%, due June 2016 (9)	—		70,000
Term loan, foreign currency funding-linked base rate plus 1.80%, due March 2017 (7)	—		80,000
Term loan, LIBOR plus 3.70%, due July 2017 (9)	—		30,000
Term loan, foreign currency funding-linked base rate plus 1.75%, due September 2017 (8)	—		5,000
	1,485,000		1,525,000
Add: Unamortized premium	5,528		5,824
Less: Short-term borrowings and current portion of long-term debt	—		(5,000		)
Long-term debt (including related party)	$	1,490,528	$	1,525,824

(1)

In June 2015, we drew $150.0 million from the senior secured revolving credit facility. The facility has a letter of credit sub-limit of $25.0 million. Interest is payable monthly in arrears, at LIBOR plus 1.25% to 1.75% (1.44% as of June 30, 2015). The borrowing base for the revolving credit facility is based on the amount of our eligible accounts receivable, which exceeded $200.0 million as of June 30, 2015. As of June 30, 2015, $49.6 million was available to be drawn.

(2)

In June 2015, we redeemed all $345.0 million aggregate principal amount of our outstanding 7.375% Senior Notes due 2018 ("Notes"). In accordance with the terms of the indenture governing the Notes, the redemption price was 101.844% of the principal amount of the Notes. We recorded a $6.4 million loss on extinguishment related to the premium paid on the call of the Notes and a $2.5 million charge for the write-off of the associated unamortized debt issuance costs. The redemption of the Notes was funded with cash on hand and borrowings under our credit facilities.


(3)	In June 2012, we entered into a $41.0 million revolving credit facility with a Korean Bank. Principal is payable at maturity. In February 2015, the facility was amended to lower the interest rate. Interest is due monthly in arrears, at a foreign currency funding-linked base rate plus 1.60%. As of June 30, 2015, $41.0 million was available to be drawn.


(4)	In May 2015, we entered into a term loan agreement with a Korean bank pursuant to which we may borrow up to $120.0 million through May 2016 for working capital purposes. In June 2015, we borrowed $100.0 million. Principal is payable at maturity. Interest is payable quarterly in arrears, at LIBOR plus 2.60% (2.88% as of June 30, 2015). At June 30, 2015, $20.0 million was available to be borrowed.


(5)	In November 2012, we entered into a term loan agreement with a Korean bank pursuant to which we could borrow up to $100.0 million through March 2014. Principal is payable upon maturity. In April 2015, the term loan was amended and now bears interest at LIBOR plus 2.70%, payable quarterly in arrears (2.96% as of June 30, 2015).

(6)

In May 2015, we entered into a term loan agreement with a Korean bank pursuant to which we borrowed $150.0 million for the repayment of inter-company debt. Principal is payable in semiannual installments of $30.0 million beginning in May 2019, with the remaining balance due at maturity. Interest is due quarterly in arrears, at a foreign currency funding-linked base rate plus 1.55% (2.99% as of June 30, 2015).

(7)

In May 2015, we entered into a term loan agreement with a Korean bank pursuant to which we borrowed $80.0 million, replacing the existing term loan due March 2017 with that bank. Principal is payable in semiannual installments of $10.0 million beginning in May 2019, with the remaining due at maturity. Interest is due quarterly in arrears, at a foreign currency funding-linked base rate plus 1.55% (2.99% as of June 30, 2015).

(8)

In May 2015, we entered into a term loan agreement with a Korean bank pursuant to which we may borrow up to $150.0 million through November 2016 for capital expenditures and terminated the term loan due September 2017. In June 2015, we borrowed $10.0 million. Principal is payable at maturity. Interest is payable quarterly in arrears, at a fund floating rate plus 1.60% (2.18% as of June 30, 2015). At June 30, 2015, $140.0 million was available to be borrowed.


(9)	During the three months ended June 30, 2015, the outstanding balance was prepaid.


(10)	The loans in Korea are collateralized by substantially all the land, factories and equipment located at our facilities in Korea.

The debt of Amkor Technology, Inc. is structurally subordinated in right of payment to all existing and future debt and other liabilities of our subsidiaries. The agreements governing our indebtedness contain a number of affirmative and negative covenants which restrict our ability to pay dividends and could restrict our operations. We have never paid a dividend to our stockholders and we do not have any present plans for doing so. We were in compliance with all of our covenants at June 30, 2015.

Maturities



	Total Debt
	(In thousands)
Payments due for the year ending December 31,
2015	$	—
2016	—
2017	—
2018	100,000
2019	300,000
Thereafter	1,085,000
Total debt	$	1,485,000