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| Steven Bridge | by www.tradingmarkets.com. All rights reserved. | 6.11 | 20:41 |
Headquartered in Phoenix, Arizona, ON Semiconductor said that the prepayment was in line with its strategy of reducing of overall debt. In the third quarter, the company also refinanced its loans with two Chinese banks following a series of transactions, thus extending the maturity from 2006 to 2009 for about $31 million of this bank debt. The balance amount of $12 million of Chinese bank debt matures in 2013.
Owing to the refinancing, the company was able to reduce the overall interest expense associated with its Chinese bank debt by about 30 basis points to LIBOR plus 120 basis points. During the last year, the company claimed that it has repaid $125 million debt. Donald Colvin, ON Semiconductor executive vice president and CFO said," The steps taken over the past month are further evidence of our intent to continue to reduce our overall debt levels and associated interest expense.
" ONNN is currently trading at $5.86, down $0.02 or 0.
34%, on a volume of 1,247,992 shares.
