Cancellation of Equity Contracts Sample Clauses

Cancellation of Equity Contracts. In the event that the Corporation should exercise its right to redeem the Debentures pursuant to Article Twelve of the Indenture, the Equity Contracts then outstanding, and the obligations and rights of the Corporation and the Obligors thereunder and under any Collateral Agreements entered into with respect to Collateralized Equity Contracts, shall be cancelled on the date on which the Debentures are redeemed (the "Cancellation Date"). Upon such cancellation, the Obligor under such Equity Contracts shall receive an amount (the "Cancellation Payment") equal to one percent (1%) of the principal amount of the purchase obligation under each Equity Contract; provided, however, that if the Debentures are redeemed on or after July 1, 2010, or after the occurrence of an Adverse Tax Determination (as defined in the Indenture), or an Adverse Capital Determination (as defined in the Indenture), no Cancellation Payment will be made; and provided, further, that if the Debentures are redeemed after an Adverse Tax Determination or an Adverse Capital Determination, holders of Equity Contracts shall have the right to purchase the Shares purchasable thereunder at a price equal to the lower of: (i) ninety-four percent (94%) of the average current market price of the Common Stock, as that term is defined in Section 3.01(d), for the 10 business days prior and 10 business days after the Adverse Tax Determination or Adverse Capital Determination (but not less than $5.00 per share subject to adjustment as provided in Section 3.01) or (ii) the designated Equity Contract purchase price. In no event shall a Cancellation Payment be made to the extent Common Stock is purchased prior to cancellation of the Equity Contract.