Common use of Dividend Restriction Clause in Contracts

Dividend Restriction. The Company shall not declare or pay any dividends (other than scrip or non cash dividends by way of a distribution of equity interests of the Company) where: (a) an Event of Default has occurred and is continuing; (b) the aggregate amount of such dividends would exceed 50 per cent. of the net aggregate profits of the Group (after adjusting for the tax effect of Special Items); or (c) the ratio of Net Debt to EBITDA as referred to in paragraph (b) of Clause 20.1 (Financial covenants) calculated on a pro-forma basis specified in the latest Compliance Certificate supplied pursuant to Clause 19.2 (Compliance Certificate) exceeds 4 to 1.

Dividend Restriction. The Company shall not declare or pay any dividends (other than scrip or non cash dividends by way of a distribution of equity interests of the Company) where: (a) an Event of Default has occurred and is continuing; (b) the aggregate amount of such dividends would exceed 50 per cent. of the net aggregate profits of the Group (after adjusting for the tax effect of Special Items); or (c) the ratio of Net Debt to EBITDA as referred to in paragraph (b) of Clause 20.1 21.1 (Financial covenants) calculated on a pro-forma basis specified in the latest Compliance Certificate supplied pursuant to Clause 19.2 20.2 (Compliance Certificate) exceeds 4 to 1.