Common use of Additional Guarantees and Collateral; Guarantor Coverage Ratio Clause in Contracts

Additional Guarantees and Collateral; Guarantor Coverage Ratio. (a) Upon the formation or acquisition of any new direct or indirect US Subsidiary, Canadian Subsidiary or, subject to the Agreed Security Principles, any Required Foreign Subsidiary (other than an Excluded Subsidiary); provided that (i) any Subsidiary Redesignation resulting in an Unrestricted Subsidiary becoming a Restricted Subsidiary and (ii) any Excluded Subsidiary ceasing to be an Excluded Subsidiary but remaining a Restricted Subsidiary shall be deemed to constitute the acquisition of a Restricted Subsidiary for all purposes of this Section 7.12) by any Loan Party or upon a Restricted Subsidiary becoming a Guarantor pursuant to Section 7.12(d) or Section 7.12(e), the Borrowers shall, in each case, at the Borrowers’ sole expense:

Additional Guarantees and Collateral; Guarantor Coverage Ratio. (a) Upon the formation or acquisition of any new direct or indirect US Subsidiary, Canadian Subsidiary or, subject to the Agreed Security Principles, any Required Foreign Subsidiary (other than an Excluded Subsidiary); provided that (i) any Subsidiary Redesignation resulting in an Unrestricted Subsidiary becoming a Restricted Subsidiary and (ii) any Excluded Subsidiary ceasing to be an Excluded Subsidiary but remaining a Restricted Subsidiary shall be deemed to constitute the acquisition of a 146 |US-DOCS\126402975.16140630557.8|| 4885-9380-9411 v6 Restricted Subsidiary for all purposes of this Section 7.12) by any Loan Party or upon a Restricted Subsidiary becoming a Guarantor pursuant to Section 7.12(d) or Section 7.12(e), the Borrowers shall, in each case, at the Borrowers’ sole expense: