Availability Reserve Sample Clauses
Availability Reserve. A reserve against Availability determined by Bank in its sole discretion from time to time to reflect events, conditions, contingencies or risks or other loans of Bank which without limitation do or may affect the Collateral Loan Value, the business prospects of Borrower or any Account Debtor, or the security interest of Bank, including enforceability, perfection and the priority thereof.
Availability Reserve. Reference is made to that certain Amendment to Account Purchase Agreement and Other Documents entered into, effective as of October 1, 2012, by and between the Customer and WFBC (the “CHOICE Amendment”). Section 2(a)(2) of the CHOICE Amendment states that WFBC may establish reserves, in its sole discretion, with respect to the Available Amount (as that term is defined in the CHOICE Amendment). The Customer acknowledges that, as of the date hereof, for the purpose of determining the Available Amount (as that term is defined in the CHOICE Amendment) under this Agreement and each Affiliate Account Purchase Agreement, WFBC is establishing a reserve in an aggregate amount equal to $2,000,000, which amount may be increased or decreased by WFBC from time to time in its sole discretion.
Availability Reserve. Agent shall have the right, at any time and from time to time after the Closing Date in its Permitted Discretion to establish, modify or eliminate reserves upon at least five (5) Business Days’ prior written notice (which may be by email) to Borrower, which notice shall include a description of such reserve being adjusted or established (during which period Agent shall, if requested, discuss any such reserve or change with Borrower and Borrower may take such action as may be required so that the event, condition or matter that is the basis for such reserve or change no longer exists or exists in a manner that would result in the establishment of a lower reserve or result in a lesser or no change, in each case, in a manner and to the extent reasonably satisfactory to Agent); provided, that, in no event shall such prior notice be required for changes to any reserves resulting solely by virtue of mathematical calculations of the amount of the Availability Reserve in accordance with the methodology of calculation previously utilized. Notwithstanding any other provision of this Agreement to the contrary, (i) the amount of any reserve (or change in reserve) shall (A) have a reasonable relationship to the event, condition or other matter that is the basis for such reserve or change and (B) with respect to dilution reserves, be a reasonable quantification of the incremental dilution of the Borrowing Base attributable to such contributing factors and (ii) in no event shall any reserve (or change in reserve) with respect to any component of the Borrowing Base duplicate any reserve or adjustment already expressly accounted for through eligibility criteria set forth in this Agreement. Agent and Lenders shall not be required to make any Loan or issue any Letter of Credit during any five (5) Business Day notice period set forth in this Section if such Loan or Letter of Credit would result in an Overadvance after giving effect to such implementation of, or change in, reserves.
Availability Reserve. Lender agrees that the Availability Reserve -------------------- established to address discrepancies in inventory reporting by the Borrowers shall be reduced from One Million Dollars ($1,000,000.00) to Five Hundred Thousand Dollars ($500,000.00).
Availability Reserve. Pursuant to Section 2.3 of the Loan Agreement and as a condition to the forbearance provided herein, Lender hereby establishes an availability reserve under the Credit Facility in the amount of One Hundred Thousand Dollars ($100,000.00) for the duration of the Forbearance Period.
Availability Reserve. The Agent hereby reduces the amount of the 2008 Reserve from $900,000 to $488,800. The excess availability created by this reduction of the 2008 Reserve shall be utilized to payoff in full the Term Loan, the Equipment Loans and the Converted Equipment Loans.
Availability Reserve. The definition of “Availability Reserve” set forth in the Loan Agreement is hereby amended by deleting such definition in its entirety and replacing it with the following: “ ‘Availability Reserve’ means the amount of $2,000,000; provided, that, such amount shall increase by $50,000 on the first Business Day of each week (commencing on the first Business Day of the first week following the Sixth Amendment Effective Date) until such time as the amount of the Availability Reserve equals $3,000,000.”
Availability Reserve. An Availability Reserve shall be established in the amount of Thirty Five Thousand Dollars ($35,000) per month beginning on August 1, 2002 and continuing for each month until December 1, 2002.
Availability Reserve. The Loan Parties are hereby notified that the Administrative Agent shall implement an Availability Reserve as described on Schedule 2.03 attached hereto.
Availability Reserve. Notwithstanding anything to the contrary set forth herein or in the Credit Agreement, as of the Third Amendment Effective Date, the Agent shall remove any Availability Reserve for the “Event Payments” (as such term is defined in the Securities Purchase Agreement), until earlier to occur of (a) October 31, 2013, and (b) if Agent elects, the occurrence and continuance of a Default or Event of Default, provided, that once the Convertible Notes are converted into Equity Interests in accordance with Section 3(a) of such Convertible Notes and the Loans are prepaid in accordance with Section 6.13(g) any such Availability Reserve shall be removed.