AMD 2000 Annual Report Download - page 123

2. In view of substantial technological changes and the increased financing
requirements resulting therefrom, the financing obligations of AMD Holding
and of AMD Inc. agreed in connection with the Syndicated Loan Agreement as
well as other provisions of the Syndicated Loan Agreement and of the
related documentation were changed and supplemented on 6 February 1998
within the framework of Supplemental Agreements to the Syndicated Loan
Agreement and the Operative Documents referred to therein.
3. As a result of changes in the AMD Inc. Senior Secured Note Indenture, the
Syndicated Loan Agreement as well as the Sponsors' Support Agreement and
the Sponsors' Loan Agreement as amended on 6 February 1998 were again
changed and supplemented on 29 June 1999.
4. In view of the development that has meanwhile occurred in the
microprocessor production area and the further technical development of
the manufacturing processes, additional investments are required which
exceed the scope envisaged so far in the Syndicated Loan Agreement.
5. The parties hereto agreed, inter alia, on the following changes in
accordance with the terms of this Amendment Agreement. Facility B provided
for in the Syndicated Loan Agreement as a reserve for Cost Overruns will
not be drawn by AMD Saxonia but will be cancelled so that the total loan
facility granted under the Syndicated Loan Agreement will be reduced by DM
150,000,000 to DM 1,500,000,000. The total additional investment
requirements remaining as expected will be funded . as follows:
(i) from the Cash Flow of AMD Saxonia which will be generated within the
framework of the reimbursement obligations in accordance with the
terms of the AMD Holding and AMD Saxonia Wafer Purchase Agreements
as amended; and
(ii) by an additional interim financing to be provided by the Sponsors.
to AMD Saxonia in the form of a subordinated revolving loan facility
in an amount of up to US$ 500,000,000 (which may be provided in Euro
or in US$).
The Sponsors' Guaranty will not expire after Completion of the Project but
continue to apply for the whole term of the Syndicated Loan Agreement and
amount to the greater of (i) thirty-five per cent (35%) of the outstanding
amount of
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Source: ADVANCED MICRO DEVIC, 10-K405, March 20, 2001