...the initial principal repayment date beyond 2012 and makes further adjustments to the facility's financial and operating covenants. According to the amendment, the first repayment date will now be as late as June 2013 instead of June 2012. The precise date is dependent on the date of the Company's fourth launch of second-generation satellites and will be the earlier of June 2013 or eight months post-launch.
The amendment includes a significant reduction of the 2011 and 2012 Adjusted Consolidated EBITDA covenants and a change to the required date for the 24th second-generation satellite to be placed into service. Additional adjustments were made to align certain levels and dates with Globalstar's launch schedule. In June 2009, Globalstar entered into a $586.3 million senior secured credit facility agreement. Ninety-five percent of the Company's obligations under the facility agreement are guaranteed by COFACE, the French export credit agency. The facility bears interest at a floating six-month LIBOR rate, plus a margin of 2.07 percent through December 2012, increasing to 2.25 percent through December 2017 and 2.40 percent thereafter. Globalstar company information link.