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Common use of Adjustment for Tax Purposes Clause in Contracts

Adjustment for Tax Purposes. The Company reserves the right to make such reductions in the Base Conversion Price in addition to those required in the foregoing provisions as it considers advisable in order that any event treated for federal income tax purposes as a dividend of stock or stock rights will not be taxable to the recipients. In the event the Company elects to make such a reduction in the Base Conversion Price, the Company will comply with the requirements of Rule 14e-1 under the Exchange Act, and any other securities laws and regulations thereunder if and to the extent that such laws and regulations are applicable in connection with the reduction of the Base Conversion Price.

Appears in 4 contracts

Samples: Indenture (Gene D. Yost & Son Inc.), Indenture (MidCon Compression LP), Indenture (Chesapeake Energy Corp)

Adjustment for Tax Purposes. The Company reserves the right to make such reductions in the Base Conversion Price in addition to those required in the foregoing provisions as it considers advisable in order that any event treated for federal income tax purposes as a dividend of stock or stock rights will not be taxable to the recipients. In the event the Company elects to make such a reduction in the Base Conversion Price, the Company will comply with the requirements of Rule 14e-1 under the Exchange Act, and any other securities laws and regulations thereunder if and to the extent that such laws and regulations are applicable in connection with the reduction of the Base Conversion Price.

Appears in 1 contract

Samples: Indenture (Chesapeake Energy Corp)