Table of Contents
March 29, 2013, we entered into a promissory note in the principal sum of $7 millionwith a term of six years bearing interest at a rate of 5.29% per annum to finance the cost of certain information technology software licenses. The principal of note is to be repaid in equal monthly installments over its term. In December 2012, we entered into a CNY 250 million(approximately $40 million) 5 year secured credit facility available through December 2017(the " China BankFacility") with Agricultural Bank of China, Nantong Branch (" ABC Bank"). The China Bank Facility will be used for funding construction of our manufacturing facility in Nantong, China. The China Bank Facility is secured by land, property and machinery of our subsidiary Chemtura Advanced Materials (Nantong) Co., Ltd.At June 30, 2013, we had borrowings of $13 millionunder the ChinaBank Facility. Repayments of principal will be made in semi-annual installments from December 2014through December 2017.
For further discussion of the financing facilities, see Note 7 - Debt in our Notes to Consolidated Financial Statements.
Share Repurchase Program On
May 9, 2013, the Board authorized an increase in our share repurchase program by $41 millionto $141 millionof which $100 millionremains as of June 30, 2013and extended the program through March 31, 2014. The shares are expected to be repurchased from time to time through open market purchases. The program, which does not obligate us to repurchase any particular amount of common stock, may be modified or suspended at any time at the Board's discretion. The manner, price, number and timing of such repurchases, if any, will be subject to a variety of factors, including market conditions and the applicable rules and regulations of the Securities and Exchange Commission("SEC"). There were no purchases during the six months ended June 30, 2013. As of June 30, 2013, we had total re-purchases of 3.4 million shares for a cost of $41 millionunder this program.
Antioxidant Divestiture On
April 30, 2013, we completed the sale of our Antioxidant business to SK Blue Holdings, Ltd, ("SK") and Addivant USAHoldings Corp. ("Addivant") for consideration of $97 million, $9 millionin preferred stock issued by Addivant and a $1 millionseller note issued by an affiliate of Addivant and the assumption by SK and Addivant of pension, environmental and other liabilities totaling approximately $91 million. The cash consideration and seller note are subject to further adjustment depending on the finalization of pension assets and liabilities transferred to Addivant and a working capital adjustment. In connection with the sale, we entered into several ancillary agreements, including supply agreements, a distribution agreement, and a transition service agreement.