SUBSEQUENT EVENT

9 Months Ended

Sep. 30, 2022

Subsequent Events [Abstract]

SUBSEQUENT EVENT

SUBSEQUENT EVENT

On October 28, 2022, the Company entered into a fourth amendment (“Amendment No.4”) to its existing credit agreement, dated December 19, 2019 by and among the Company and Harmonic International GmbH as co-borrowers, certain

subsidiaries of the Company from time to time party thereto, as guarantors, and JPMorgan Chase Bank, N.A., as lender (as amended, the “Credit Agreement”) to, among other things (i) extend the maturity date of the Credit Agreement to the earlier of (a) October 28, 2025 or (b) subject to certain exceptions, the date that is 90 days prior to the maturity date of the 2024 Notes (to the extent such notes remain outstanding as of such date), (ii) amend the interest rate provisions to replace LIBOR with SOFR as the interest rate benchmark and (iii) make certain other revisions as more fully set forth therein. As amended, the revolving loans bear interest, at the Company’s election, at a floating rate per annum equal to either (1) 2.00% plus the greater of (i) 2.50% and (ii) the prime rate as reported in the Wall Streat Journal from time to time, or (2) 3.00% plus adjusted term SOFR for an interest period of one, three or six months. The Credit Agreement provides for a secured revolving credit facility in an aggregate principal amount of up to $25 million. No amounts were drawn as of the date of this Quarterly Report on Form 10-Q.