Debt Covenant. The Parties intend that (i) the distribution of the Borrowed Funds to Marketing LLC shall qualify as a “debt-financed transfer” under Treasury Regulations Section 1.707-5(b), and (ii) Marketing LLC’s share of the Partnership’s liabilities under the Credit Agreement with respect to the Borrowed Funds under Sections 1.752-2 and 1.707-5(a)(2)(i) of the Treasury Regulations shall be the entire amount of the Partnership’s liabilities under the Credit Agreement with respect to the Borrowed Funds. For purposes of this Section 6.1, Treasury Regulation Section 1.707-3(c) shall be applied by substituting the phrase “three-year” for the phrase “two-year” in each place the latter phrase appears therein. The Parties agree to act at all times in a manner consistent with the foregoing provisions of this Section 6.1, except with the prior written consent of Marketing LLC. For a period of three (3) years, the Partnership will not make any payment that would reduce the outstanding balance of the Partnership’s liabilities under the Credit Agreement below the amount of the Borrowed Funds, other than with the proceeds of a successor debt that (i) qualifies as, and is treated by the Partnership as, a continuation of the debt repaid under Section 1.707-5(c) of the Treasury Regulations, and (ii) is treated as allocable entirely to Marketing LLC under the principles of the debt-financed transfer exception to the disguised sale rules provided in Section 1.707-5(b) of the Treasury Regulations.
Debt Covenant. Section 10.1 of the Credit Agreement shall be amended to read in full as follows:
Debt Covenant. Section 5.02(b) of the Credit Agreement is hereby amended by striking the word “and” at the end of clause (vii) thereof, replacing “.” with “; and” at the end of clause (viii) thereof, and inserting the following new clause (ix) thereto:
Debt Covenant. At the date hereof ICP is able to incur at least $1.00 of additional Indebtedness (other than Permitted Indebtedness) pursuant to Section 4.03 of the Indenture dated as of May 13, 1998 among International Comfort Products Holdings, Inc., International Comfort Products Corporation and United States Trust Company of New York (the "Indenture"; the terms
Debt Covenant. Any provision of any Contract to which the ------------- Partnership is a party, or by which its assets are bound, which imposes one or more restrictions on the financial activities or transactions of the Partnership, including, but not limited to, the disbursement or other transfer of money or property to any Partner or an Affiliate of any Partner.
Debt Covenant. Section 5.02(b)(ix) of the Credit Agreement is hereby amended in its entirety to read as follows:
Debt Covenant. The Company covenants and agrees that the Company and its Subsidiaries shall not incur debt for borrowed money in violation of the debt incurrence limitations set forth in Section 10(a)(ii) and 10(a)(iii) of the Certificate of Designations, unless either (x) Ares shall have consented to such debt incurrence in writing or (y) a valid amendment, modification, or waiver of the provisions of Section 10(a)(ii) and/or 10(a)(iii) of the Certificate of Designations, or vote or consent by the holders of a majority of the outstanding Preferred Stock, permit the incurrence of such debt for borrowed money in excess of that currently permitted under Section 10(a); provided, however, that this Section 6.01 shall expire and be of no further force and effect upon the earlier to occur of (i) the expiration of Section 10(a)(ii) or 10(a)(iii) of the Certificate of Designations, as the case may be, in each case in accordance with Section 10(b) of the Certificate of Designations and (ii) Ares and its permitted assignees ceasing to beneficially own at least 5,555,556 shares of Purchased Securities.
Debt Covenant. Section 5.02(b) of the Credit Agreement shall be amended by substituting "prior to August 31, 2004" for "prior to May 31, 2002" in clause (B) of paragraph (viii) thereof.
Debt Covenant. CapitalSource acknowledges that the covenants regarding the limitation on additional Indebtedness set forth in Sections 3.11, 4.9, 5.9 and 6.11 of this Second Master Modification Agreement shall not apply to any other Loan or Borrower other than the Ocean City Loan, the Riverside Loan, the Avenue Plaza Loan and the St. Xxxxxx Loan, respectively, as provided therein.
Debt Covenant. (a) Section 9.02(h), Section 9.02(k) and Section 9.03(e) of the Credit Agreement are each hereby amended by deleting the reference to “$150,000,000” contained in each such Section and inserting in lieu thereof in each instance a reference to “the Maximum Junior Lien Debt Amount”.
