Debt

12 Months Ended

Dec. 31, 2020

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


	December 31,
	2020		2019
	(In thousands)
Debt of Amkor Technology, Inc.:
Senior notes:
6.625% Senior notes, due September 2027	$	525,000	$	525,000
Other	2,039		—
Debt of subsidiaries:
Amkor Technology Korea, Inc.:
$30 million revolving credit facility, applicable bank rate plus 1.11% (1)	—		—
Term loan, fund floating rate plus 1.60%, due June 2020	—		24,000
Term loan, fixed rate at 1.80%, due May 2021 (2)	—		—
Term loan, applicable bank rate plus 2.03%, due July 2022	—		40,000
Term loan, applicable bank rate plus 2.03%, due September 2022 (3)	—		60,000
Term loan, applicable bank rate plus 1.77%, due April 2023 (4)	51,541		—
Term loan, LIBOR plus 2.56%, due December 2023	—		200,000
Term loan, applicable bank rate plus 1.98%, due December 2028 (5)	50,000		66,000
Amkor Technology Japan, Inc.:
Short-term term loans, variable rate (6)	6,663		7,071
Term loan, fixed rate at 0.86%, due June 2022	14,528		23,018
Term loan, fixed rate at 0.60%, due July 2022	3,390		5,064
Term loan, fixed rate at 1.30%, due July 2023	138,499		179,541
Term loan, fixed rate at 1.35%, due December 2024	220,823		262,407
Term loan, fixed rate at 1.20%, due December 2025 (7)	105,569		—
Amkor Assembly & Test (Shanghai) Co., Ltd.:
Term loan, LIBOR plus 1.60%, due March 2022	28,000		29,000
Term loan, LIBOR Plus 1.40%, due March 2022	18,250		19,250
Other:
$250 million senior secured revolving credit facility, LIBOR plus 1.25%-1.75%, due July 2023 (Singapore) (8)	—		—
Credit facility, TAIFX plus the applicable bank rate, due December 2024 (Taiwan) (9)	—		20,000
	1,164,302		1,460,351
Less: Unamortized discount and deferred debt costs, net	(9,956)		(10,117)
Less: Short-term borrowings and current portion of long-term debt	(149,007)		(144,479)
Long-term debt	$	1,005,339	$	1,305,755

(1)In October 2020, we renewed this 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 year ended December 31, 2020, we borrowed $60.0 million and repaid the full $60.0 million. As of December 31, 2020, $30.0 million was available to be drawn.

(2)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 year ended December 31, 2020, we borrowed and repaid ₩60 billion ($48.4 million). As of December 31, 2020, ₩60 billion, or approximately $55 million, was available to be drawn.

(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. During the year ended December 31, 2020, we borrowed $80.0 million available under this loan and repaid the full $140.0 million.

(4)In April 2020, we borrowed KRW ₩150 billion (US$122.0 million) under a new term loan due April 2023. Principal is payable at maturity and interest is payable monthly in arrears. During the year ended December 31, 2020, we repaid KRW ₩94 billion ($86.0 million).

(5)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 3.88% as of December 31, 2020).

(6)We entered into various short-term term loans which mature semiannually. Principal and interest are payable in monthly installments. As of December 31, 2020, $4.8 million was available to be drawn.

(7)In December 2020, we borrowed ¥10.9 billion (US$105.0 million) under a new term loan agreement due December 2025, guaranteed by Amkor Technology, Inc. and our subsidiary, Amkor Technology Singapore Holding Pte, Ltd. Principal is due in 20 equal, quarterly installments plus accrued interest, through maturity.

(8)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. During the year ended December 31, 2020, we borrowed and repaid $150.0 million. As of December 31, 2020, $250.0 million was available to be drawn.

(9)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 year ended December 31, 2020, we borrowed $72.0 million and repaid $92.0 million. As of December 31, 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.

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,
	2020		2019
Amkor Technology Korea, Inc.:
Term loan, fund floating rate plus 1.60%, due June 2020	—		3.90	%
Term loan, applicable bank rate plus 1.77%, due April 2023	2.40	%	—
Term loan, LIBOR plus 2.56%, due December 2023	—		4.49	%
Amkor Technology Japan, Inc:
Short-term term loans, variable rate	0.27	%	0.22	%
Amkor Assembly & Test (Shanghai) Co., Ltd.:
Term loan, LIBOR plus 1.60%, due March 2022	1.83	%	3.53	%
Term loan, LIBOR Plus 1.40%, due March 2022	1.63	%	3.30	%
Amkor Technology Taiwan Ltd.:
Revolving credit facility, TAIFX plus the applicable bank rate, due December 2024	—		3.35	%

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. 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, and do not currently have a material impact on our ability to make dividend payments or stock repurchases.

We were in compliance with all debt covenants at December 31, 2020 and 2019.

Maturities


	Total Debt
	(In thousands)
Payments due for the year ending December 31,
2021	$	149,007
2022	182,373
2023	170,776
2024	81,461
2025	27,400
Thereafter	553,285
Total debt	$	1,164,302