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Credit Agreement

 

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Title:

Credit Agreement

Entities:

Citigroup Global Markets Inc.; Isron Corp ; JPMorgan Chase Bank; U.S. Bank, NA; UBS Securities LLC; Bank of New York; Dechert LLP

Date:

2005

Size:

Preview shows 38KB of 457KB total

Price:

$99

ID:

#2086751

 

 

► Loans ► Credit Agreements
► Financial
► Financial ► Money Center Banks
► Services ► Legal

 

 

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Execution Version

 


 

$100,000,000

 

CREDIT AGREEMENT

 

dated as of December 23, 2004,

 

among

 

MAGNACHIP SEMICONDUCTOR S.A.

and

MAGNACHIP SEMICONDUCTOR FINANCE COMPANY

as Borrowers,

 

MAGNACHIP SEMICONDUCTOR LLC

and

THE OTHER GUARANTORS PARTY HERETO,

as Guarantors,

 

THE LENDERS PARTY HERETO

 

and

 

UBS SECURITIES LLC,

as Arranger, Bookmanager, Documentation Agent and Syndication Agent,

 

and

 

KOREA EXCHANGE BANK,

as Issuing Bank

 

and

 

UBS AG, STAMFORD BRANCH,

as Administrative Agent and Collateral Agent,

 

and

 

UBS LOAN FINANCE LLC,

as Swingline Lender

 

Latham & Watkins LLP

Sears Tower, Suite 5800

233 South Wacker Drive

Chicago, Illinois 60606-6401

 



 

TABLE OF CONTENTS

 

Section


        Page

ARTICLE I     
DEFINITIONS     
SECTION 1.01    Defined Terms    1
SECTION 1.02    Classification of Loans and Borrowings    34
SECTION 1.03    Terms Generally    34
SECTION 1.04    Accounting Terms; GAAP    35
SECTION 1.05    Resolution of Drafting Ambiguities    35
ARTICLE II     
THE CREDITS     
SECTION 2.01    Commitments    35
SECTION 2.02    Loans    35
SECTION 2.03    Borrowing Procedure    37
SECTION 2.04    Evidence of Debt; Repayment of Loans    37
SECTION 2.05    Fees    38
SECTION 2.06    Interest on Loans    39
SECTION 2.07    Termination; Reduction and Suspension of Commitments    40
SECTION 2.08    Interest Elections    40
SECTION 2.09    Optional and Mandatory Prepayments of Loans.    41
SECTION 2.10    Alternate Rate of Interest    44
SECTION 2.11    Yield Protection    44
SECTION 2.12    Breakage Payments    45
SECTION 2.13    Payments Generally; Pro Rata Treatment; Sharing of Setoffs    46
SECTION 2.14    Taxes    48
SECTION 2.15    Mitigation Obligations; Replacement of Lenders    49
SECTION 2.16    Swingline Loans    50
SECTION 2.17    Letters of Credit    51
SECTION 2.18    Increase in Commitments    57
ARTICLE III     
REPRESENTATIONS AND WARRANTIES     
SECTION 3.01    Organization; Powers    59
SECTION 3.02    Authorization; Enforceability    59
SECTION 3.03    No Conflicts    59
SECTION 3.04    Financial Statements; Projections    60
SECTION 3.05    Properties    61
SECTION 3.06    Intellectual Property    61
SECTION 3.07    Equity Interests and Subsidiaries    62
SECTION 3.08    Litigation; Compliance with Laws    62

 

-i-


Section


        Page

SECTION 3.09    Agreements    63
SECTION 3.10    Federal Reserve Regulations    63
SECTION 3.11    Investment Company Act; Public Utility Holding Company Act    63
SECTION 3.12    Use of Proceeds    63
SECTION 3.13    Taxes    63
SECTION 3.14    No Material Misstatements    63
SECTION 3.15    Labor Matters    64
SECTION 3.16    Solvency    64
SECTION 3.17    Employee Benefit Plans    64
SECTION 3.18    Environmental Matters    65
SECTION 3.19    Insurance    66
SECTION 3.20    Security Documents    66
SECTION 3.21    Anti-Terrorism Law    67
SECTION 3.22    Subordination of Senior Subordinated Notes    68
SECTION 3.23    UK Financial Assistance    68
ARTICLE IV     
CONDITIONS TO CREDIT EXTENSIONS     
SECTION 4.01    Conditions to Initial Credit Extension    68
SECTION 4.02    Conditions to All Credit Extensions    74
ARTICLE V     
AFFIRMATIVE COVENANTS     
SECTION 5.01    Financial Statements, Reports, etc.    75
SECTION 5.02    Litigation and Other Notices    78
SECTION 5.03    Existence; Businesses and Properties    78
SECTION 5.04    Insurance    79
SECTION 5.05    Obligations and Taxes    80
SECTION 5.06    Employee Benefits    80
SECTION 5.07    Maintaining Records; Access to Properties and Inspections; Annual Meetings    81
SECTION 5.08    Use of Proceeds    81
SECTION 5.09    Compliance with Environmental Laws; Environmental Reports    81
SECTION 5.10    Additional Collateral; Additional Guarantors    82
SECTION 5.11    Security Interests; Further Assurances    83
SECTION 5.12    Information Regarding Collateral    84
SECTION 5.13    Post-Closing Collateral Matters    84
SECTION 5.14    Affirmative Covenants with Respect to Leases    85
ARTICLE VI     
NEGATIVE COVENANTS     
SECTION 6.01    Indebtedness    85
SECTION 6.02    Liens    86

 

-ii-



 

Section


        Page

SECTION 6.03    Sale and Leaseback Transactions    88
SECTION 6.04    Investment, Loan and Advances    88
SECTION 6.05   

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