Company: AMKR
Filing Date: 2025-04-29
Form Type: 10-Q
Source: 0001047127-25-000087
Chunk: 146

Company: AMKOR TECHNOLOGY, INC.
Filing Date: 2025-04-29
Form: 10-Q
Item: Part I, Item 8
Chunk 146
---
 million of assets were pledged as collateral.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., ATT, AATT, and ATSH 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 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 March 31, 2025.

12.    Pension Plans

Foreign Defined Benefit Pension PlansOur subsidiaries in Japan, Korea, Malaysia, the Philippines and Taiwan sponsor defined benefit pension plans.  Charges to expense are based upon actuarial analyses.  The components of net periodic pension cost for these defined benefit pension plans are as follows:For the Three Months Ended March 31,20252024 (In thousands)Service cost$3,261 $3,484 Interest cost1,434 1,459 Expected return on plan assets(1,279)(1,418)Recognized actuarial gain(119)(97)Net periodic pension cost$3,297 $3,428 Curtailment gain(434)— Total pension expense$2,863 $3,428 The components of net periodic pension cost other than the service cost component are included in other (income) expense, net in our Consolidated Statements of Income. Defined Contribution Pension PlansWe sponsor defined contribution pension plans in Korea, Malaysia, Taiwan and the U.S.  The following table summarizes our defined contribution expense: For the Three Months Ended March 31, 20252024 (In thousands)Defined contribution expense$9,304 $8,414 

-19-

Table of ContentsAMKOR TECHNOLOGY, INC.NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)(Unaudited)

13.    Derivatives 

We use foreign currency forward contracts to mitigate foreign currency risk of certain monetary assets and liabilities denominated in foreign currencies.  We do not enter into such contracts for trading or speculative purposes.  These derivative instruments are not designated as hedging instruments. We hedge certain net investment positions in foreign subsidiaries.  To accomplish this, we enter into