Concentration Limits. The Borrower shall not permit for any period in excess of sixty (60) consecutive days: (i) the ratio of the Fair Market Value of the Equipment leased to Equipment Lessees that are not Approved Lessees to the aggregate Fair Market Value of all the Equipment to exceed 0.40 to 1.0, (ii) the ratio of the Fair Market Value of the Equipment subject to leases which are on a month-to-month term to the aggregate Fair Market Value of all the Equipment to exceed 0.05 to 1.0, (iii) the ratio of the Fair Market Value of the Equipment on lease to a single Equipment Lessee that is not an Approved Lessee to the aggregate Fair Market Value of all the Equipment to exceed 0.05 to 1.0, and (iv) the ratio of the Fair Market Value of the Equipment on lease to a single Equipment Lessee that is an Approved Lessee to the aggregate Fair Market Value of all of the Equipment to exceed 0.20 to 1.0 (the ratios specified in clauses (i) through (iv) collectively referred to as the “Concentration Ratios”).
Appears in 4 contracts
Samples: Loan Agreement, Loan Agreement (PLM Equipment Growth & Income Fund Vii), Loan Agreement (PLM Equipment Growth Fund Vi)
