Company: AAOI
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001437749-25-025450
Chunk: 22

Company: APPLIED OPTOELECTRONICS, INC.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 22
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 2025, Global entered into a one-year credit facility with China Construction Bank Co., Ltd., in Ningbo, City, China ("CCB"), totaling 96,800,000 RMB (the "CCB Credit Facility"), or approximately $13.5 million at that time. Borrowing under the CCB Credit Facility will be used to repay the certain amounts outstanding under the Renewed SPD Credit Line. Borrowing under the CCB Credit Facility will mature on  June 16, 2026, and will bear interest equal to the CCB's published twelve (12) month prime loan rate, minus 0.05%. As of the date of execution of the CCB Credit Facility, the CCB's published 12-month prime rate was 3%. Under the CCB Credit Facility, Global will make monthly payments of accrued interest and the principal shall be repaid upon maturity.
    
   On  June 26, 2025, Global entered into a five-year revolving credit line agreement with CCB, totaling 162,260,000 RMB (the "CCB Credit Line"), or approximately $22.7 million at that time, as well as a related security agreement (the "Security Agreement"). Borrowing under the CCB Credit Line will be used for general corporate and capital investment purposes. Global  may draw on the CCB Credit Line at any time from  June 26, 2025 through  June 26, 2030. The amount available under the CCB Credit Line is inclusive of the CCB Credit Facility previously granted by CCB on  June 12, 2025. Each draw is subject to a separate application and approval by CCB and will bear interest equal to CCB's commercial banking interest rate effective on the day of the applicable draw. Global's obligation under the CCB Credit Line will be secured by certain real property owned by Global and mortgaged to CCB pursuant to the terms of the Security Agreement. As of  June 30, 2025, $13.5 million was outstanding under the CCB Credit Line.
    
   As of  June 30, 2025 and  December 31, 2024, the Company had $31.2 million and $24.8 million of unused borrowing capacity, respectively.
    
   As of  June 30, 2025 and  December 31, 2024, there was $22.5 million and $8.5 million of restricted