Debt

9 Months Ended

Sep. 30, 2020

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


	September 30, 2020		December 31, 2019
	(In thousands)
Debt of Amkor Technology, Inc.:
Senior notes:
6.625% Senior notes, due September 2027	$	525,000	$	525,000
Other	3,250		—
Debt of subsidiaries:
Amkor Technology Korea, Inc.:
$30 million revolving credit facility, LIBOR plus the applicable bank rate (1)	—		—
$30 million revolving credit facility, applicable bank rate plus 1.51% (2)	—		—
Term loan, fund floating rate plus 1.60%, due June 2020 (3)	—		24,000
Term loan, fixed rate at 1.80%, due May 2021 (4)	—		—
Term loan, applicable bank rate plus 2.03%, due July 2022 (5)	—		40,000
Term loan, applicable bank rate plus 2.03%, due September 2022 (6)	100,000		60,000
Term loan, applicable bank rate plus 1.77%, due April 2023 (7)	128,187		—
Term loan, LIBOR plus 2.56%, due December 2023 (8)	20,000		200,000
Term loan, applicable bank rate plus 1.98%, due December 2028 (3)	90,000		66,000
Amkor Technology Japan, Inc.:
Short-term term loans, variable rate (9)	16,562		7,071
Term loan, fixed rate at 0.86%, due June 2022	16,591		23,018
Term loan, fixed rate at 0.60%, due July 2022	3,792		5,064
Term loan, fixed rate at 1.30%, due July 2023	147,895		179,541
Term loan, fixed rate at 1.35%, due December 2024 (8)	229,664		262,407
Amkor Assembly & Test (Shanghai) Co., Ltd.:
Term loan, LIBOR plus 1.60%, due March 2022	28,500		29,000
Term loan, LIBOR Plus 1.40%, due March 2022	18,750		19,250
Other:
$250.0 million senior secured revolving credit facility, LIBOR plus 1.25% - 1.75%, due July 2023 (Singapore) (10)	—		—
Credit facility, TAIFX plus the applicable bank rate, due December 2024 (Taiwan) (11)	—		20,000
	1,328,191		1,460,351
Less: Unamortized discount and deferred debt costs, net	(9,092)		(10,117)
Less: Short-term borrowings and current portion of long-term debt	(136,526)		(144,479)
Long-term debt	$	1,182,573	$	1,305,755

(1)In October 2019, we renewed our revolving credit facility agreement for a one-year term with availability of $30.0 million. Principal is payable at maturity, six months after draw of funds, and interest is payable monthly in arrears. During the nine months ended September 30, 2020, we borrowed $60.0 million and repaid the full $60.0 million. As of September 30, 2020, $30.0 million was available to be drawn. In October 2020, this revolving credit facility was renewed for one year with availability of $30.0 million.

(2)In May 2020, we entered into a revolving credit facility agreement with availability of $30.0 million which expires in December 2020. Principal is payable at maturity and interest is payable monthly in arrears, at an applicable bank rate plus 1.51%. During the nine months ended September 30, 2020, we borrowed the $30.0 million and repaid the full $30.0 million. As of September 30, 2020, $30.0 million was available to be drawn.

(3)In December 2018, we entered into a term loan agreement pursuant to which we may borrow up to $90.0 million for capital expenditures. Principal is payable in semiannual installments and interest is payable quarterly in arrears (fixed at a weighted average of 4.21% as of September 30, 2020). During the nine months ended September 30, 2020, we drew down the remaining $24.0 million to repay our term loan due June 2020.

(4)In May 2020, we entered into a KRW ₩60 billion term loan agreement with the option to re-borrow the funds through May 2021. Principal is payable at maturity and interest is payable monthly in arrears, at a fixed rate of 1.80%. During the nine months ended September 30, 2020, we borrowed and repaid ₩60 billion ($48.4 million). As of September 30, 2020, ₩60 billion was available to be drawn.

(5)In July 2019, we entered into a $40.0 million term loan due July 2022. During the nine months ended September 30, 2020, we repaid the full $40.0 million term loan.

(6)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 (fixed at a weighted average of 2.68% as of September 30, 2020). During the nine months ended September 30, 2020, we borrowed the remaining $80.0 million available under this loan and repaid $40.0 million.

(7)In April 2020, we entered into a KRW ₩150 billion term loan due April 2023. Principal is payable at maturity and interest is payable monthly in arrears (2.56% as of September 30, 2020). We immediately borrowed the full ₩150 billion.

(8)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. During the nine months ended September 30, 2020, we repaid an additional $60.0 million on the term loan due December 2023.

(9)We entered into various short-term term loans which mature semiannually. Principal and interest are payable in monthly installments. Interest as of September 30, 2020 is at TIBOR plus 0.15% to 0.30% (weighted average of 0.26% as of September 30, 2020). As of September 30, 2020, $4.7 million was available to be drawn.

(10)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%. During the nine months ended September 30, 2020, we borrowed and repaid $150.0 million. As of September 30, 2020, $250.0 million was available to be drawn.

(11)In December 2019, we entered into a $56.0 million borrowing arrangement. This arrangement includes a $20.0 million term loan and a $36.0 million revolving credit facility. During the nine months ended September 30, 2020, we borrowed $72.0 million and repaid $92.0 million. As of September 30, 2020, $36.0 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 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. These restrictions are determined in part by calculations based upon

cumulative net income or, in the case of our Singapore Revolver, borrowing availability. Dividend payments and stock repurchases are not currently restricted under our debt agreements.

We were in compliance with all debt covenants at September 30, 2020.