Debt

Short-term borrowings and long-term debt consist of the following:



	December 31,
	2018			2017
	(In thousands)
Debt of Amkor Technology, Inc.:
Senior notes:
6.625% Senior notes, due June 2021 (1)	$	—		$	200,000
6.375% Senior notes, due October 2022	524,971			524,971
Debt of subsidiaries:
Amkor Technology Korea, Inc.:
$75 million revolving credit facility, foreign currency funding-linked base rate plus 1.60%, due September 2018 (2)	—			75,000
$30 million revolving credit facility, LIBOR plus the applicable bank rate, due October 2019 (3)	—			—
Term loan, LIBOR plus 2.70%, due December 2019	—			55,000
Term loan, foreign currency funding-linked base rate plus 1.32%, due May 2020 (2)	—			150,000
Term loan, fixed rate at 3.70%, due May 2020	120,000			120,000
Term loan, fund floating rate plus 1.60%, due June 2020 (4)	125,000			86,000
Term loan, LIBOR plus 2.56%, due December 2023 (2)	200,000			—
Term loan, applicable bank rate plus 1.98%, due December 2028 (4)	24,000			—
J-Devices Corporation:
Short-term term loans, variable rate (5)	8,232			30,455
Term loans, fixed rate at 0.53%, due April 2018	—			6,744
Term loan, fixed rate at 0.86%, due June 2022	31,908			39,933
Term loan, fixed rate at 0.60%, due July 2022	6,838			8,430
Term loan, fixed rate at 1.30%, due July 2023 (1)	225,180			—
Other:
$250 million senior secured revolving credit facility, LIBOR plus 1.25%-1.75%, due July 2023 (Singapore) (6)	—			—
Revolving credit facility, TAIFX plus the applicable bank rate, due November 2020 (Taiwan) (7)	20,000			20,000
Term loan, LIBOR plus 1.80%, due December 2019 (China)	48,000			49,000
	1,334,129			1,365,533
Less: Unamortized premium and deferred debt costs, net	(1,818		)	(1,104		)
Less: Short-term borrowings and current portion of long-term debt	(114,579		)	(123,848		)
Long-term debt	$	1,217,732		$	1,240,581

(1)

In August 2018, we redeemed all $200 million of our 6.625% Senior Notes due 2021 ("Notes"). In accordance with the terms of the indenture governing the Notes, the redemption price was 100% of the principal amount of the Notes, plus accrued and unpaid interest. We recorded a $0.8 million charge for the write-off of the associated unamortized debt issuance costs. The redemption of the Notes was funded with proceeds from our ¥26.0 billion ($233.2 million) term loan agreement entered into in July 2018 by J-Devices Corporation and guaranteed by Amkor Technology, Inc. Principal is payable in quarterly installments.


(2)	In June 2018, we extended our $75.0 million credit facility from June 2018 to September 2018 and in September 2018, we replaced it with a $75.0 million term loan due September 2021 at LIBOR plus 2.34%.

In December 2018, we entered into a $200.0 million term loan agreement to repay this $75.0 million term loan. The remaining proceeds along with cash on hand were used to repay the $141 million outstanding term loan due May 2020. Principal of the new term loan is payable at maturity date of December 2023.


(3)	In October 2018, we entered into a revolving credit facility agreement with availability of $30.0 million. Principal will be payable at the maturity date of October 2019. As of December 31, 2018, $30.0 million was available to be drawn.

(4)

In May 2015, we entered into a term loan agreement pursuant to which we may borrow up to $150.0 million for capital expenditures. Principal is payable at maturity in June 2020. Interest is payable quarterly in arrears. In the second quarter of 2018, we borrowed the remaining $64.0 million available under the term loan due June 2020 and repaid $55 million of the term loan due December 2019 and $9 million of the term loan due May 2020.

In December 2018, we entered into a term loan agreement pursuant to which we may borrow up to $90.0 million for capital expenditures. We borrowed $24.0 million of this new term loan and used the proceeds along with $1.0 million cash on hand to repay part of the term loan due June 2020. Principal of the new term loan is payable in semiannual installments beginning June 2022 and ending at maturity date of December 2028. As of December 31, 2018, $66.0 million was available to be drawn. In February 2019, we borrowed an additional $30.0 million of this new term loan and used the proceeds to repay $29.0 million of the term loan due June 2020.


(5)	We entered into various short-term loans which mature semiannually. Principal is payable in monthly installments. As of December 31, 2018, $4.6 million was available to be drawn.

(6)

In July 2018, the senior secured revolving credit facility of Amkor Technology, Inc. was terminated and replaced by a new facility entered into by our subsidiary, Amkor Technology Singapore Holding Pte, Ltd., and guaranteed by Amkor Technology, Inc. We recorded a $0.4 million charge for the write-off of the associated unamortized debt issuance costs relating to the terminated credit facility. The availability for the new revolving credit facility is based on the amount of eligible accounts receivable. As of December 31, 2018, we had availability of $250.0 million under the new senior secured revolving credit facility with no outstanding standby letters of credit.


(7)	In November 2015, we entered into a $39.0 million revolving credit facility. Principal is payable at maturity. As of December 31, 2018, $19.0 million was available to be drawn.

Certain of our foreign debt is collateralized by the land, buildings, equipment and accounts receivable in the respective locations. The carrying value of the collateral exceeds the carrying amount of the debt.

Interest Rates

Interest is payable semiannually on our senior notes and quarterly or monthly on our other fixed- and variable-rate debt. Refer to the table above for the interest rates on our fixed-rate debt and to the table below for the interest rates on our variable-rate debt.



	December 31,
	2018		2017
Amkor Technology Korea, Inc.:
$75 million revolving credit facility, foreign currency funding-linked base rate plus 1.60%, due September 2018	—		4.01	%
$30 million revolving credit facility, LIBOR plus the applicable bank rate, due October 2019	—		—
Term loan, LIBOR plus 2.70%, due December 2019	—		4.02	%
Term loan, foreign currency funding-linked base rate plus 1.32%, due May 2020	—		4.06	%
Term Loan, fund floating rate plus 1.60%, due June 2020	4.49	%	3.29	%
Term loan, LIBOR plus 2.56%, due December 2023	5.38	%	—
Term loan, applicable bank rate plus 1.98%, due December 2028	4.64	%	—
J-Devices Corporation:
Short-term term loans, variable rate	0.24	%	0.22	%
Amkor Technology Singapore Holdings Pte, Ltd.:
$250 million senior secured revolving credit facility, LIBOR plus 1.25%-1.75%, due July 2023	—		—
Amkor Technology Taiwan Ltd.:
Revolving credit facility, TAIFX plus the applicable bank rate, due November 2020	4.26	%	3.18	%
Amkor Assembly & Test (Shanghai) Co., Ltd.:
Term loan, LIBOR plus 1.80%, due December 2019	4.22	%	3.16	%

Compliance with Debt Covenants

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. From time to time, Amkor Technology, Inc. also guarantees certain debt of our subsidiaries. The agreements governing our indebtedness contain affirmative, negative and financial 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 debt covenants at December 31, 2018 and 2017.

Maturities



	Total Debt
	(In thousands)
Payments due for the year ending December 31,
2019	$	114,579
2020	323,346
2021	58,346
2022	581,723
2023	238,985
Thereafter	17,150
Total debt	$	1,334,129