LG 2000 Annual Report Download - page 63

Annual interest rate (%)
In millions at December 31, 2000 2000 1999
Foreign currency loans
Korea Development Bank Libor + 0.5 - 1.95 W 94,753 W 45,816
Libor + 2.95 10,565 12,022
Korea Exchange Bank Libor + 0.45 188,955 171,810
Kookmin Bank Libor + 2.5 896 1,987
Libor + 0.75 79 –
Hanvit Bank Libor + 0.4 - 2.5 11,111 66,386
Korea First Bank Libor + 1.5 15,080 10,205
Export-Import Bank of Korea Libor + 0.625-1.175 7,115 4,503
Chohung Bank Libor + 0.6 34,012 –
––96,848
Development Bank of Singapore Libor + 1.6 12,507 –
NOVASCOTIA Libor + 1.5 26,626 –
Banque Paribas Libor + 0.7 8,257 9,384
Societe General Libor + 0.6 18,443 21,561
Sumitomo Bank Libor + 0.65 11,389 14,903
Bank One Libor + 2.5 4,206 11,472
Libor + 1.4 5,039 –
Citi Bank – –13,678
Bank of Tokyo-Mitsubishi Libor + 0.74 13,479 1,626
462,512 482,201
US$ 367 US$ 415
¥ – ¥ 646
804,244 615,783
Less : current maturities (261,197) (217,800)
W543,047 W397,983
In relation to guaranteed debentures, the Company pays guarantee fees of 0.1% ~ 0.5% per annum.
Treasury debentures of W17,171 million held by the Company as of December 31, 2000 are a portion of exchangeable bonds, and
Won currency convertible bond of W100,000 million was cancelled in 2000.
(*1) In 2000, the Company issued U.S. dollar denominated floating rate notes aggregating US$221 million, which are due in 2002.
(*2) In 2000, the foreign currency convertible bond issued in 1991 has been redeemed earlier than its maturity.
(*3) In 1996, the Company issued foreign currency denominated convertible bonds aggregating US$40 million, bearing interest at 1.25% per
annum. The bonds are convertible into common stock through October 2006, unless previously redeemed, at a specified conversion price,
subject to adjustment based on the occurrence of certain events as provided for in the offering agreement. The adjusted conversion price as of
December 31, 2000 is W22,174 per share. The fixed rate of exchange applicable to the exercise of the conversion rights is W827.40 per
US$1.00. The bonds will mature on November 26, 2006 at par value, unless previously converted or redeemed. Any bondholder may redeem all
or some of the bonds held on November 26, 2001 at 133.20% of the principal amount of such bonds, together with interest accrued to the date of
redemption.
(*4) In 1997, the Company issued foreign currency denominated exchangeable bonds totaling US$ 75 million bearing interest at 0.25% per annum.
The bonds are exchangeable into common stock of Hyundai Electronics Industries Co., Ltd. (“Hyundai Electronics,” formerly “LG Semicon
Co., Ltd.”) through November 2007, unless previously redeemed. Each bond can be exchanged for 250 shares of Hyundai Electronics common
stock with a par value of W5,000. The exchange price was initially determined to be W35,430 per share based on a fixed exchange rate for U.S.
dollars of US$1.00 = W888.30. The terms and conditions of the exchangeable bonds are as follows :
* Basic exchange price for each share of Hyundai Electronics common stock : US$ 39.88 (W35,430 / W888.30)
* Payment of interest : At the end of each year
* Final redemption : Unless previously redeemed, purchased or exchanged, the bonds will be redeemed on December 31, 2007 at their
principal amount, plus accrued interest.
* Redemption at the option of the Company : The Company may redeem any or all of the bonds at their principal amount, plus accrued
interest. However, no such redemption can be made before July 9, 2002, unless the closing price (converted into U.S. dollars at the
prevailing exchange rate) for each of the 30 consecutive trading days, the last of which occurs not more than 30 days prior to the date upon
which the notice of redemption is published, has been at least 135% of the exchange price in effect on each such trading day converted into
U.S. Dollars at a fixed exchange rate of US$1.00 : W888.30.
* Redemption at the option of the bondholders : The bondholders may require the Company to redeem any or all (in multiples of US$ 10,000)
of the bonds held by such holders on July 8, 2002 at 133.67% of the principal amount of such bonds, plus accrued interest.
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