Company: AMKR
Filing Date: 2025-05-13
Form Type: 8-K
Source: 0001047127-25-000092
Chunk: 1

Company: AMKOR TECHNOLOGY, INC.
Filing Date: 2025-05-13
Form: 8-K
Item: Item 1.02
Chunk 1
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 to maintain on a trailing four-quarter basis a Consolidated Interest Coverage Ratio of not less than 3.00:1.00. Consolidated Interest Coverage Ratio is defined as the ratio of (i) Consolidated EBITDA to (ii) Consolidated Interest Expense for such period.

The leverage ratio financial covenant provides that the Company will be required to maintain on a trailing four-quarter basis a Consolidated Leverage Ratio of not greater than 3.00:1.00. Consolidated Leverage Ratio is defined as the ratio of (i) Consolidated Total Indebtedness to (ii) Consolidated EBITDA for such period.

The Credit Agreement provides that if the Company achieves an Investment Grade Rating from at least two ratings agencies described in the Credit Agreement, then the Company may elect to have all liens securing the obligations under the Credit Agreement released (an “ Unsecured Covenants Period”). The Credit Agreement provides that such liens must be reinstated upon the subsequent occurrence of a ratings downgrade (if any) that results in the Company no longer having Investment Grade Ratings from at least two ratings agencies.

In addition, the Credit Agreement contains incurrence-based negative covenants that, subject to various exceptions, limit the ability of the Company or its subsidiaries to, among other things: incur debt (directly or by third party guarantees); grant liens; pay dividends; make investments; make acquisitions or dispositions; and prepay debt.

The Credit Agreement generally permits the Company to continue to pay its regular quarterly dividend, so long as no event of default has occurred or would result from the payment of such dividend, and to make other restricted payments (in addition to other customary exceptions and baskets) so long as it is in pro forma compliance with a Consolidated Leverage Ratio of 2.50 to 1.00 and no default has occurred or would result from such other restricted payment. In addition, the Company and its subsidiaries may (in addition to other customary exceptions and baskets) incur (i) secured indebtedness (x) other than during an Unsecured Covenants Period, in an unlimited amount so long as the pro forma Consolidated Leverage Ratio does not exceed 2.50:1.00 and no default has occurred or would occur from such incurrence of secured indebtedness and (y) during an Unsecured Covenants Period, in an aggregate principal amount at any time outstanding not to exceed $250 million and (ii) unsecured indebtedness (x) in an unlimited amount so long