TripAdvisor 2014 Annual Report Download - page 95

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Total outstanding borrowings under the Credit Agreement consist of the following:
December 31, December 31,
2014 2013
(in millions)
Short-Term Debt:
Term Loan .......................................................................................... $ 40 $ 40
Total Short-Term Borrowings ................................................................. $ 40 $ 40
Long-Term Debt:
Term Loan .......................................................................................... $ 260 $ 300
Total Long-Term Borrowings .................................................................. $ 260 $ 300
The future minimum principal payment obligations due under the Credit Agreement related to our Term Loan is as follows:
Principal Payments
December 31, (in millions)
2015 ............................................................................................................................ $ 40
2016 ............................................................................................................................ 260
Total ................................................................................................................................. $ 300
Prepayments
We may voluntarily repay any outstanding borrowing under the Credit Agreement at any time without premium or penalty,
other than customary breakage costs with respect to Eurocurrency loans.
Guarantees
All obligations under the Credit Agreement are unconditionally guaranteed by us and each of our existing and subsequently
acquired or organized direct or indirect wholly-owned domestic and foreign restricted subsidiaries, subject to certain exceptions for
subsidiaries that are controlled foreign corporations, foreign subsidiaries in jurisdictions where applicable law would otherwise be
violated, and non-material subsidiaries.
Covenants
The Credit Agreement contains a number of covenants that, among other things, restrict our ability to: incur additional
indebtedness, create liens, enter into sale and leaseback transactions, engage in mergers or consolidations, sell or transfer assets, pay
dividends and distributions, make investments, loans or advances, prepay certain subordinated indebtedness, make certain
acquisitions, engage in certain transactions with affiliates, amend material agreements governing certain subordinated indebtedness,
and change our fiscal year. The Credit Agreement also requires us to maintain a maximum leverage ratio and a minimum cash interest
coverage ratio, and contains certain customary affirmative covenants and events of default, including a change of control. If an event
of default occurs, the lenders under the Credit Agreement will be entitled to take various actions, including the acceleration of all
amounts due under Credit Agreement and all actions permitted to be taken by a secured creditor.
As of December 31, 2014 we are in compliance with all of our debt covenants.
Chinese Credit Facilities
In addition to our borrowings under the Credit Agreement, we maintain our Chinese Credit Facilities. As of December 31, 2014
and 2013, we had short-term borrowings outstanding of $38 million and $28 million, respectively.
Certain of our Chinese subsidiaries are entered into a RMB 189,000,000 (approximately $30 million), one-year revolving credit
facility with Bank of America (the “Chinese Credit Facility—BOA”) that is currently subject to review on a periodic basis with no-
specific expiration period. We had $19 million of outstanding borrowings from the Chinese Credit Facility—BOA as of December 31,
2014. Our Chinese Credit Facility—BOA currently bears interest at a 100% of the People’s Bank of China’s base rate which was
5.6% as of December 31, 2014.