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Subsequent events
6 Months Ended
Jun. 30, 2017
Subsequent Events [Abstract]  
Subsequent events
Subsequent events

Amended and Restated Credit Agreement

On July 3, 2017, Belmond entered into an amended and restated credit agreement which previously consisted of (a) a seven-year $551,955,000 term loan facility consisting of a $345,000,000 U.S. dollar tranche and a €150,000,000 euro-denominated tranche (equivalent to $206,955,000 at drawdown), scheduled to mature on March 21, 2021; and (b) a $105,000,000 revolving credit facility scheduled to mature on March 21, 2019.

The amended and restated credit agreement provides the Company with (i) a seven-year $603,434,000 secured term loan (the “Term Loan Facility”) that matures on July 3, 2024; and (ii) a $100,000,000 revolving credit facility (the “ Revolving Credit Facility”) that matures on July 3, 2022 (together, the “Secured Credit Facilities”).

The proceeds from the Term Loan Facility were recognized as cash and used to repay all outstanding funded debt including the $45,000,000 that had previously been drawn under the prior revolving credit facility, but not the debt of Charleston Center LLC, a consolidated VIE, or the debt of Belmond’s unconsolidated joint venture companies.

The Term Loan Facility consists of two tranches, a $400,000,000 U.S. dollar tranche and a €179,000,000 euro-denominated tranche (equivalent to $203,434,000 at drawdown). The dollar tranche bears interest at a rate of LIBOR plus 2.75% per annum, and the euro tranche bears interest at a rate of EURIBOR plus 3.00% per annum. Both tranches are subject to a 0% interest rate floor. The annual mandatory amortization is 1% of the principal amount.

The Revolving Credit Facility has a maturity of five years and bears interest at a rate of LIBOR plus 2.50% per annum, with a commitment fee of 0.40% paid on the undrawn amount. The Revolving Credit Facility is undrawn as of August 8, 2017.

The term loan and revolving credit facility are secured by pledges of shares in certain Company subsidiaries and by security interests in tangible and intangible personal property. There are no mortgages over real estate.