AMD 2015 Annual Report Download - page 68

First Amendment to Amendment and Restated Loan and Security Agreement
On June 10, 2015, the Loan Parties entered into a First Amendment to the Amended and Restated Loan and
Security Agreement (the “First Amendment”) by and among the Loan Parties, the Lenders and the Agent, which
modifies the Amended and Restated Loan Agreement. Amendments to the Amended and Restated Loan
Agreement effected by the First Amendment include the addition of exceptions to the liens and asset sale
covenants to permit the Loan Parties to enter into certain supply chain finance arrangements, as well as the
addition of certain definitions related thereto.
At December 26, 2015 and December 27, 2014, the Secured Revolving Line of Credit had an outstanding
loan balance of $230 million and $130 million, respectively, at an interest rate of 4.00% and 4.25%,
respectively. At December 26, 2015, the Secured Revolving Line of Credit also had $16 million related to
outstanding Letters of Credit, and up to $87 million available for future borrowings. We report our intra-period
changes in our revolving credit balance on a net basis in our consolidated statement of cash flows as we intend
the period of the borrowings to be brief, repaying borrowed amounts within 90 days. As of December 26, 2015,
we were in compliance with all required covenants stated in the Loan Agreement.
The agreements governing the 6.75% Notes, 7.75% Notes, 7.50% Notes, 7.00% Notes and the Secured
Revolving Line of Credit contain cross-default provisions whereby a default under one agreement would likely
result in cross defaults under agreements covering other borrowings. The occurrence of a default under any of
these borrowing arrangements would permit the applicable note holders or the lenders under the Secured
Revolving Line of Credit to declare all amounts outstanding under those borrowing arrangements to be
immediately due and payable.
Other Long-Term Liabilities
Other long-term liabilities in the contractual obligations table above primarily consisted of $40 million of
payments due under certain software and technology licenses that will be paid through 2018.
Other long-term liabilities in the contractual obligations table above exclude amounts recorded on our
consolidated balance sheet that do not require us to make cash payments, which, as of December 26, 2015,
primarily consisted of $18 million of deferred gains resulting from certain real estate transactions that occurred in
Sunnyvale, California in 1998, in Markham, Ontario, Canada in 2015 and 2008 and in Singapore in 2013.
Accruals related to facility consolidation and site closure costs under our restructuring plans of $7 million,
deferred rent related to our facilities in Sunnyvale, California of $6 million and operating lease accruals of $5
million are excluded from other long-term liabilities in the contractual obligations table above as they are
included in the operating leases obligations. Also excluded from other long-term liabilities in the contractual
obligations table above are $4 million of environmental reserves and $4 million of non-current unrecognized tax
benefits, which represent potential cash payments that could be payable by us upon settlements with the related
authorities. We have not included these amounts in the contractual obligations table above because we cannot
make reasonably reliable estimates regarding the timing of the settlements with the related authorities, if any.
Capital Lease Obligations
We terminated our capital lease obligations and entered into a non-cancelable operating lease agreement
related to one of our facilities in Markham, Ontario, Canada during 2015. As of December 26, 2015, we did not
have any capital lease obligations outstanding.
Operating Leases
We lease certain of our facilities, and in some jurisdictions, we lease the land on which these facilities are
built under non-cancelable lease agreements that expire at various dates through 2028. We lease certain
manufacturing and office equipment for terms ranging from one to five years. Total future non-cancelable lease
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