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OHL USA, INC. AND SUBSIDIARIES
<br />NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
<br />DECEMBER 31, 2020
<br />Note 14 - Intangible Assets
<br />Amortization expense related to intangible assets was $4,926,807 for the year ended
<br />December 31, 2020, and accumulated amortization totaled $49,268,415 at December 31,
<br />2020.
<br />Remaining
<br />Amortization Gross Carrying Accumulated Net Carrying
<br />Period Amount Amortization Amount
<br />Customer list 5.5 Years $ 76,3615,846 $ 49,268,415 $ 27,097,431
<br />Future intangible asset amortization is as follows:
<br />Years Endina December 31:
<br />2021
<br />$ 4,927,000
<br />2022
<br />4,927,000
<br />2023
<br />4,927,000
<br />2024
<br />4,927,000
<br />2025
<br />4,927,000
<br />Thereafter
<br />2,462,431
<br />$ 27,097,431
<br />Note 15 - Lines of Credit - Parent
<br />USA entered into a line of credit with its parent company, OHL Cl, SLU with a credit limit of
<br />$280,849,964, in addition to a $15,000,000 equipment line. The main line of credit bears
<br />interest at 5.28%, and the equipment lire bears interest at 3.73%. Effective December 24,
<br />2020, the parent company recapitalized the $54,336,595 outstanding debt balance at that
<br />date by converting the debt to capital. At December 31, 2020, there was no outstanding
<br />balance on either line of credit.
<br />Note 16 - Lines of Credit
<br />Pursuant to an arrangement with a financial institution, Judlau may borrow up to $35,000,000
<br />under a line of credit, with a sublimit of $20,000,000 for standby letters of credit (see Note 19).
<br />Interest is payable at either the bank's prime rate (3.25% at December 31, 2020) or 1.75%
<br />above the one-, three-, or six-month LIBOR rate (for a combined rate of 1.90%, 1.98%, or
<br />2.01%, respectively, at December 31, 2020). The line expires on March 31, 2021 and is
<br />secured by substantially all of Judlau's assets. The line is subject to maintenance of certain
<br />minimum financial conditions determined solely by the financial institution. At December 31,
<br />2020, there were no outstanding borrowings against the line.
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