
	December 31, 2021				December 31, 2020
	Principal		Debt Issuance Cost		Total		Principal		Debt Issuance Cost		Total
	(In thousands)

Euro Tranche	$	96,662	$	(713)	$	95,949	$	104,159	$	(996)	$	103,163


4.25% Senior Notes	400,000		(5,835)		394,165		400,000		(6,995)		393,005
5.25% Senior Notes	329,789		(3,526)		326,263		355,366		(4,221)		351,145
ABL Facility	—		—		—		—		—		—
KFPC Loan Agreement	17,853		—		17,853		52,730		(18)		52,712
KFPC Revolving Facilities	49,873		—		49,873		37,003		—		37,003
Finance lease obligations	3,163		—		3,163		835		—		835
Total debt	897,340		(10,074)		887,266		950,093		(12,230)		937,863
Less current portion of total debt	68,694		—		68,694		72,347		—		72,347
Long-term debt	$	828,646	$	(10,074)	$	818,572	$	877,746	$	(12,230)	$	865,516

Senior Secured Term Loan Facility. The Euro Tranche interest rate applicable margin is 2.0%. Our Term Loan Facility will mature on March 8, 2025. As of the date of this filing, the effective interest rate for the Euro Tranche is 2.8%. The Term Loan Facility contains a number of customary affirmative and negative covenants, and we were in compliance with those covenants as of the date of this filing.

4.25% Senior Notes due 2025. Kraton Polymers LLC and its wholly-owned financing subsidiary Kraton Polymers Capital Corporation issued $400.0 million aggregate principal amount of 4.25% Senior Notes due 2025 (the “4.25% Senior Notes”) in December 2020, which mature on December 15, 2025. The 4.25% Senior Notes are general unsecured, senior obligations, and are unconditionally guaranteed on a senior unsecured basis by each of Kraton Corporation and certain of our wholly-owned domestic subsidiaries. We pay interest on the Senior Notes at 4.25% per annum, semi-annually in arrears on June 15 and December 15 of each year.

5.25% Senior Notes due 2026. Kraton Polymers LLC and its wholly-owned financing subsidiary Kraton Polymers Capital Corporation issued €290.0 million, or approximately $329.8 million, aggregate principal amount of 5.25% Senior Notes due 2026 (the “5.25% Senior Notes”) in May 2018, which mature on May 15, 2026. The 5.25% Senior Notes are general unsecured, senior obligations, and are unconditionally guaranteed on a senior unsecured basis by each of Kraton Corporation and certain of our wholly-owned domestic subsidiaries. We pay interest on the Senior Notes at 5.25% per annum, semi-annually in arrears on May 15 and November 15 of each year.

ABL Facility. Our asset-based revolving credit facility provides financing of up to $300.0 million (the “ABL Facility”). The ABL Facility also provides that we have the right at any time to request up to $100.0 million of additional commitments, provided that we satisfy certain additional conditions. We had no outstanding borrowings under the ABL Facility as of December 31, 2021. The termination date of the ABL Facility is December 3, 2025 (subject to earlier termination if certain outstanding indebtedness under the Term Loan Facility or our senior unsecured notes is not previously refinanced).

Borrowing availability under the ABL Facility is subject to borrowing base limitations based on the level of receivables and inventory available for security. Revolver commitments under the ABL Facility consist of U.S. and Dutch revolving credit facility commitments, which may be reallocated subject to certain conditions, provided the Dutch revolver

commitments may not exceed $100.0 million. The ABL Facility contains a number of customary affirmative and negative covenants, and we were in compliance with those covenants as of the date of this filing.

KFPC Loan Agreement. As of December 31, 2021, 494.0 million new Taiwanese dollars (“NTD”), or approximately $17.9 million, was drawn on KFPC's syndicated loan agreement (the “KFPC Loan Agreement”). For the year ended December 31, 2021, the effective interest rate for borrowings on the KFPC Loan Agreement was 1.8%. The KFPC Loan Agreement contains certain financial covenants that change during the term of the KFPC Loan Agreement. KFPC was in

compliance with those covenants as of the date of this filing. Additionally, due to a waiver received from the majority of lenders, we are no longer subject to the remaining 2021 financial covenants. In each case, these covenants are calculated and tested on an annual basis at December 31st each year. The KFPC Loan Agreement matured and was paid off on January 17, 2022.

KFPC Revolving Facilities. KFPC also has four revolving credit facilities (the “KFPC Revolving Facilities”) to provide funding for working capital requirements and/or general corporate purposes, which allow for total borrowings of up to NTD 2.5 billion (or approximately $90.4 million). All of the KFPC Revolving Facilities are subject to variable interest rates. As of December 31, 2021, NTD 1.4 billion (or approximately $49.9 million) was drawn on the KFPC Revolving Facilities.

Debt Issuance Costs. We capitalize debt issuance costs related to issuing long-term debt and amortize these costs using the effective interest method, except for costs related to revolving debt, which are amortized using the straight-line method. Amortization is recorded as a component of interest expense and the accelerated write-off of debt issuance costs in connection with refinancing activities are recorded as a component of loss on extinguishment of debt.

We recorded a $40.8 million loss on extinguishment of debt during the year ended December 31, 2020, which includes a write off of $20.7 million related to the call premium on the redemption of our outstanding 7.0% Senior Notes, a write off of $13.9 million related to previously capitalized deferred financing costs on our Term Loan Facility and 7.0% Senior Notes, a write off of $4.9 million related to original issue discount on our USD Tranche, and a $1.3 million loss on the settlement of the ineffective portion of interest rate swaps.

We recorded a $3.5 million loss on extinguishment of debt during the year ended December 31, 2019, which includes a write off of $2.5 million related to previously capitalized deferred financing costs on our Term Loan Facility and 7.0% Senior Notes and a write off of $1.3 million related to original issue discount on our Term Loan Facility. These write offs were partially offset by a $0.3 million gain resulting from our repurchase of 7.0% Senior Notes.

We had net debt issuance cost of $14.0 million as of December 31, 2021, of which $3.9 million related to our ABL Facility, which is recorded as an asset (of which $0.5 million was included in other current assets) and $10.1 million is recorded as a reduction to long-term debt. We had net debt issuance cost of $14.4 million as of December 31, 2020, of which $2.2 million related to our ABL Facility, which is recorded as an asset (of which $0.4 million was included in other current assets) and $12.2 million is recorded as a reduction to long-term debt. We amortized $2.5 million, $3.0 million, and $4.7 million during the years ended December 31, 2021, 2020, and 2019, respectively.

See Note 9 Fair Value Measurements, Financial Instruments, and Credit Risk to the consolidated financial statements for fair value information related to our long-term debt.