Conversion to Exit Facility Clause Samples
The 'Conversion to Exit Facility' clause defines the process by which an existing loan or credit facility, typically provided during a restructuring or bankruptcy process, is converted into a longer-term exit facility upon the borrower's emergence from bankruptcy or completion of restructuring. In practice, this clause outlines the conditions, timing, and documentation required for the conversion, such as meeting certain financial milestones or obtaining necessary approvals. Its core function is to ensure a smooth transition from short-term, restructuring-related financing to stable, post-restructuring funding, thereby providing certainty and continuity for both the borrower and the lenders.
Conversion to Exit Facility. (a) Upon the satisfaction or amendment or waiver by the Required Lead Lenders (or, to the extent there are no Lead Lenders at the time, the Required Lenders) of the conditions precedent set forth in Section 3 of the Exit Loan Agreement, at the Company’s sole option, (i) the Company, in its capacity as reorganized ▇▇▇▇▇▇▇ Kodak Company, and each Guarantor, in its capacity as a reorganized Debtor, to the extent such Person is required under the Exit Loan Agreement o continue to be a guarantor of the Exit Facility, shall assume all Obligations in respect of the Loans h reunder and all other monetary obligations in respect hereof, (ii) all, but not less than all, outstanding First Lien Last OutNew Money Loans and all Junior Loans shall be continued as an Exit Loan (as defined in the Exit Loan Agreement) under the Exit Facility, (iii) each First Lien Last OutNew Money Lender and Junior Loan Lender hereunder shall be a Lender (as defined in the Exit Loan Agreement) under the Exit Facility, (iv) accrued and unpaid interest on the Loans shall be payable in cash on the Effective Date and (v) this Agreement and the Loan Documents shall be superseded and replaced by the Exit Facility Documentation. Notwithstanding anything herein to the contrary, concurrently with the consummation of the Acceptable Reorganization Plan, the Company may refinance all or a portion of the Junior Loans with Junior Loan Refinancing Indebtedness (as defined in the Exit Facility) and to continue First Lien Last OutNew Money Loans nd any Junior Loans that have not been refinanced under the Exit Facility; provided that any prepayment of the Junior Loans made with the proceeds of Junior Loan Refinancing Indebtedness shall be made together with all accrued and unpaid interest thereon and a premium in the amount of 2.00% of the principal amount of the Junior Loans so repaid. Each of the Loan Parties, the Agent and the Lenders shall take such actions and execute and deliver such agreements, instruments or other d cuments as the Agent and Loan Parties may agree to give effect to the provisions of this Section 2.22 and as are required to complete the Schedules to the Exit Facility Documentation.
Conversion to Exit Facility. Upon the satisfaction or waiver by the requisite parties of the conditions precedent set forth in Section 5 of the Exit Credit Agreement, automatically and without any further consent or action required by the Administrative Agent, any Lender or any Loan Party, (i) the Borrower, in its capacity as reorganized ▇▇▇▇ Corporation, and each Guarantor, in its capacity as a reorganized Debtor, to the extent such Person is required under the Exit Credit Agreement to continue to be a guarantor of the Exit Facility, shall assume all Obligations in respect of the Loans hereunder and all other monetary obligations in respect hereof, (ii) each outstanding Loan hereunder shall be continued as an Exit Loan (as defined in the Exit Credit Agreement) under the Exit Facility, (iii) each Lender hereunder shall be a Lender (as defined in the Exit Credit Agreement) under the Exit Facility, (iv) accrued and unpaid interest on the Loans shall be payable in cash on the Effective Date and (v) this Agreement and the Loan Documents shall be superseded and replaced by the Exit Facility Documentation. Each of the Loan Parties, the Administrative Agent and the Lenders shall take such actions and execute and deliver such agreements, instruments or other documents as the Administrative Agent may reasonably request to give effect to the provisions of this Section 2.24 and as are required to complete the Schedules to the Exit Facility Documentation; provided, however, that any such action by the Administrative Agent or any of the Lenders shall not be a condition precedent to the effectiveness of the provisions of this Section 2.24.
Conversion to Exit Facility. Upon the effective date of the Chapter 11 Plan, the outstanding principal balance of the DIP Term Loans shall automatically convert into term loans and commitments, as applicable, under the Exit Facility which shall be subject to the conditions set forth in the Exit Facility Term Sheet; provided that all guarantees, security interests and liens provided by any Non-Debtor DIP Guarantor and each Subsidiary Borrower that is not the Company shall be automatically released upon such conversion. Amortization: None.
Conversion to Exit Facility. (a) Upon the satisfaction or amendment or waiver by the Required Lead Lenders (or, to the extent there are no Lead Lenders at the time, the Required Lenders) of the conditions precedent set forth in Section 3 of the Exit Loan Agreement, at the Company’s sole option, (i) the Company, in its capacity as reorganized ▇▇▇▇▇▇▇ Kodak Company, and each Guarantor, in its capacity as a reorganized Debtor, to the extent such Person is required under the Exit Loan Agreement to continue to be a guarantor of the Exit Facility, shall assume all Obligations in respect of the Loans hereunder and all other monetary obligations in respect hereof, (ii) all, but not less than all, outstanding New Money Loans and all Junior Loans shall be continued as an Exit Loan (as defined in the Exit Loan Agreement) under the Exit Facility, (iii) each New Money Lender and Junior Loan Lender hereunder shall be a Lender (as defined in the Exit Loan Agreement) under the Exit Facility,