NOTE 14:- LONG TERM LIABILITIES TO BANKS AND OTHERS
| a. | Composition: |
| December 31, 2017 | Linkage Basis | Long-term liabilities | Current maturities | Total long-term liabilities net of current maturities | Total long-term liabilities net of current maturities | |||||||||||||
| Interest rate | December 31, 2017 | December 31, 2016 | ||||||||||||||||
| % | ||||||||||||||||||
| 2.5-5.81 | NIS (Unlinked) | $ | 175,592 | 42,839 | 132,753 | $ | 115,529 | |||||||||||
| 2-5 | USD (Unlinked) | 3,725 | 862 | 2,863 | - | |||||||||||||
| $ | 179,317 | 43,701 | 135,616 | $ | 115,529 | |||||||||||||
| i) | In November 2016, Magic obtained a loan in the amount of $31,356 linked to the New Israel shekel from an Israeli financial institution. The principal amount is payable in seven equal annual installments with the final payment due on November 2, 2023 and bears a fixed interest rate of 2.60% per annum, payable in two semi-annual payments. Under the terms of the loan with the Israeli financial institution, Magic has undertaken to maintain certain financial covenants (See note 19c(iv)). |
| ii) | On February 28, 2017, Sapiens (via its wholly-owned subsidiary, Sapiens Americas Corporation) entered into a secured credit agreement, with HSBC Bank USA, National Association, for the acquisition of StoneRiver. Pursuant to the credit agreement, Sapiens borrowed $40 million for a five-year term, at the rate of LIBOR plus 1.85%. Upon Sapiens’ consummation of a public offering and private placement of Sapiens Series B Debentures in September 2017, Sapiens utilized the proceeds received from the sale of the debentures for repayment of the entire outstanding term loan amount (including accrued interest) under the credit agreement with HSBC. |
| b. | Maturity dates: |
| December 31, | |||||||||
| 2016 | 2017 | ||||||||
| First year (current maturities) | $ | 40,054 | $ | 43,701 | |||||
| Second year | 33,803 | 53,645 | |||||||
| Third year | 37,836 | 34,270 | |||||||
| Fourth year | 21,663 | 19,066 | |||||||
| Fifth year and thereafter | 22,227 | 28,635 | |||||||
| Total | $ | 155,583 | $ | 179,317 | |||||
| c. | For details of liens, guarantees and credit facilities, see Note 19. |