Blizzard 2015 Annual Report Download - page 93

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75
The Tranche A Term Loans are secured by the same collateral and guaranteed by the same guarantors that secure and guarantee the
existing Term Loans. The other terms of the Tranche A Term Loans are also generally the same as the terms of the existing Term
Loan.
Revolving Credit Facility As part of the Amendments, upon the closing of the King Acquisition, the Company’s existing revolving
credit facility under the Credit Agreement (as in effect prior to the closing of the King Acquisition) in an aggregate principal amount
of $250 million was replaced with a new revolving credit facility under the Credit Agreement in the same aggregate principal amount
(the “2015 Revolving Credit Facility”).
Borrowings under the 2015 Revolving Credit Facility may be borrowed, repaid and re-borrowed by the Company and are available for
working capital and other general corporate purposes. Up to $50 million of the 2015 Revolving Credit Facility may be used for letters
of credit.
The 2015 Revolving Credit Facility is scheduled to mature on October 11, 2020. Borrowings under the 2015 Revolving Credit Facility
bear interest, at the Company’s option, under the same terms as the Tranche A Term Loans. Additionally, the 2015 Revolving Credit
Facility is subject to the same financial maintenance covenant and is secured by the same collateral and guaranteed by the same
guarantors that secure and guarantee the Tranche A Term Loans. The other terms of the 2015 Revolving Credit Facility are generally
the same as the terms of the Revolver.
Debt Repayments
On February 2, 2016, the Board of Directors authorized repayments of up to $1.5 billion of our outstanding debt during 2016. On
February 25, 2016, we made a voluntary principal repayment of $500 million on our Term Loan, reducing the aggregate term loans
outstanding under the Credit Agreement, which includes the $2.3 billion of Tranche A Term Loans, to $3.7 billion. Since this
repayment was not a contractual requirement and was not authorized by the Board of Directors until February 2016, we did not reflect
the repayment as a “Current portion of long-term debt” in our consolidated balance sheet as of December 31, 2015.
10-K Activision_Master_032416_PrinterMarksAdded.pdf 75 3/24/16 11:00 PM