Capital Debt. As defined in section 3.08(a) of the Partnership Agreement.
Capital Debt. On or before the Closing Date, the Stockholder shall pay the outstanding principal and all accrued but unpaid interest on the notes payable set forth on Schedule 1.5 (which notes payable had an outstanding principal balance of Three Million Five Hundred Thirty-Five Thousand Dollars ($3,535,000) as of June 30, 1997) (the "Capital Debt") in full satisfaction of the Companies' obligations arising out of or relating to the Capital Debt. If the Companies, or any of them, have any liabilities or obligations relating to the Capital Debt as of the Closing, then the Base Price shall be reduced by an amount equal to any remaining outstanding principal and all accrued but unpaid interest on the Capital Debt as of such time.
