Debt

3 Months Ended

Mar. 31, 2020

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



	March 31, 2020			December 31, 2019
	(In thousands)
Debt of Amkor Technology, Inc.:
Senior notes:
6.625% Senior notes, due September 2027	$	525,000		$	525,000
Debt of subsidiaries:
Amkor Technology Korea, Inc. (8):
$30 million revolving credit facility, LIBOR plus the applicable bank rate (1)	15,000			—
Term loan, fund floating rate plus 1.60%, due June 2020 (2)	—			24,000
Term loan, applicable bank rate plus 2.03%, due July 2022	40,000			40,000
Term loan, applicable bank rate plus 2.03%, due September 2022 (3)	60,000			60,000
Term loan, LIBOR plus 2.56%, due December 2023 (4)	80,000			200,000
Term loan, applicable bank rate plus 1.98%, due December 2028 (2)	90,000			66,000
Amkor Technology Japan, Inc.:
Short-term term loans, variable rate (5)	12,005			7,071
Term loan, fixed rate at 0.86%, due June 2022	20,923			23,018
Term loan, fixed rate at 0.60%, due July 2022	4,649			5,064
Term loan, fixed rate at 1.30%, due July 2023	169,239			179,541
Term loan, fixed rate at 1.35%, due December 2024 (4)	251,767			262,407
Amkor Assembly & Test (Shanghai) Co., Ltd.:
Term loan, LIBOR plus 1.60%, due March 2022	29,000			29,000
Term loan, LIBOR Plus 1.40%, due March 2022	19,250			19,250
Other:
$250 million senior secured revolving credit facility, LIBOR plus 1.25%-1.75%, due July 2023 (Singapore) (6)	150,000			—
Revolving credit facility, TAIFX plus the applicable bank rate, due December 2024 (Taiwan) (7)	56,000			20,000
	1,522,833			1,460,351
Less: Unamortized discount and deferred debt costs, net	(9,811		)	(10,117		)
Less: Short-term borrowings and current portion of long-term debt	(141,521		)	(144,479		)
Long-term debt	$	1,371,501		$	1,305,755

(1)

In October 2019, we renewed our revolving credit facility agreement with availability of $30.0 million. Interest is payable monthly in arrears (2.97% as of March 31, 2020). In March 2020, we borrowed $15.0 million with the principal due in September 2020. As of March 31, 2020, $15.0 million was available to be drawn. In April 2020, we borrowed the remaining $15.0 million with the principal due in October 2020.

(2)

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, at a fund floating rate plus 1.60%. During the three months ended March 31, 2020, we repaid the full $24.0 million outstanding on this term loan using the proceeds from our term loan due December 2028.


(3)	In July 2019, we entered into a $140.0 million term loan due September 2022. Principal is payable at maturity and interest is payable quarterly in arrears (3.59% as of March 31, 2020). As of March 31, 2020, $80.0 million was available to be drawn. In April 2020, we borrowed an additional $40.0 million.


(4)	In January 2020, we used proceeds from our term loan due December 2024 to repay $120.0 million of our term loan due December 2023.


(5)	We entered into various short-term term loans which mature semiannually. Principal and interest are payable in monthly installments. Interest as of March 31, 2020 is at TIBOR plus 0.10% to 0.20% (weighted average of 0.21% as of March 31, 2020). As of March 31, 2020, $6.5 million was available to be drawn.

(6)

In July 2018, our subsidiary, Amkor Technology Singapore Holding Pte, Ltd., entered into a $250.0 million senior secured revolving credit facility, which is guaranteed by Amkor Technology, Inc. The availability for our revolving credit facility is based on the amount of eligible accounts receivable. Principal is payable at maturity. Interest is payable monthly at LIBOR plus 1.25% to 1.75% (2.85% as of March 31, 2020). As of March 31, 2020, $100.0 million was available to be drawn.

(7)

In December 2019, we entered into a $56.0 million revolving credit facility. Interest is payable monthly at TAIFX plus the applicable bank rate (3.41% as of March 31, 2020). In December 2019, we borrowed $20.0 million with the principal payable at maturity of the facility in December 2024. In the first quarter of 2020, we borrowed the remaining $36.0 million. In April 2020, we repaid $36.0 million of the revolving credit facility and immediately borrowed $36.0 million under the same agreement at a lower interest rate, with the principal payable in December 2024, based on incurring a certain level of qualified eligible transactions.


(8)	In April 2020, we entered into a term loan agreement pursuant to which we may borrow up to KRW ₩150.0 billion (approximately US $123 million). Principal is payable at maturity and the variable interest is payable monthly. We immediately borrowed $123.0 million at an interest rate of 2.87%.

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

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. and Amkor Technology Singapore Holding Pte, Ltd. guarantee certain debt of our subsidiaries. The agreements governing our indebtedness contain 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 debt covenants at March 31, 2020.