Increases Allowance for Capital Expenditures
CHANDLER, Ariz., Oct. 20 -- Amkor Technology, Inc. (Nasdaq: AMKR) has amended certain covenants under its $200 million senior secured credit facility consisting of a $170 million term loan maturing January 31, 2006 and a $30 million revolving line of credit that is available through October 31, 2005. Key modifications are summarized below:
* Maximum annual capital expenditures have been increased to the greater
of (i) $250 million or (ii) 50% of EBITDA (as defined), not to exceed
* The Company is permitted to repurchase or redeem any Senior Notes,
Senior Subordinated Notes or Convertible Notes with the net cash
proceeds of equity offerings.
* The basket for permitted investments has been increased from $25
million to $50 million.
There has been no change to the minimum EBITDA and minimum daily liquidity covenants.
"This amendment provides Amkor with added flexibility to make investments in leading-edge assembly and test equipment to support growing customer demand for advanced package and test solutions," said Ken Joyce, Amkor's Chief Financial Officer.
Amkor is the world's largest provider of contract semiconductor assembly and test services. The company offers semiconductor companies and electronics OEMs a complete set of microelectronic design, manufacturing and support services. More information on Amkor is available from the company's SEC filings and on Amkor's web site: www.amkor.com .
For more information, please contact Jeffrey Luth, VP Corporate Communications of Amkor Technology, Inc., +1-480-821-2408, ext. 5130, firstname.lastname@example.org .