Fixed Charge Coverage Covenant Sample Clauses
A Fixed Charge Coverage Covenant is a contractual provision that requires a borrower to maintain a minimum ratio of earnings to fixed financial obligations, such as interest and lease payments. This covenant typically mandates that the borrower's cash flow or EBITDA must be a certain multiple of its fixed charges, ensuring the borrower generates enough income to cover these recurring expenses. By imposing this requirement, the clause helps lenders monitor the borrower's financial health and reduces the risk of default by ensuring ongoing ability to meet essential payment obligations.
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Fixed Charge Coverage Covenant. Oct-02 (0.90) ---------------------- Nov-02 (1.18) ---------------------- Dec-02 (1.34) ---------------------- Jan-03 (1.48) ---------------------- Feb-03 (1.72) ---------------------- Mar-03 (2.04) ---------------------- Apr-03 (2.63) ---------------------- May-03 (1.66) ---------------------- Jun-03 (1.12) ---------------------- Jul-03 (0.54) ---------------------- Aug-03 (0.07) ---------------------- Q1 2004 1.43 ---------------------- Q2 2004 2.18 ---------------------- Q3 2004 2.40 ---------------------- Q4 2004 2.04 ---------------------- Q1 2005 1.59 ---------------------- Q2 2005 1.34 ---------------------- Q3 2005 1.32 ---------------------- Q4 2005 1.24 ---------------------- Q1 2006 1.19 ---------------------- Q2 2006 1.27 ---------------------- Q3 2006 1.14 ---------------------- Q4 2006 1.02 ---------------------- Q1 2007 1.19 ---------------------- Q2 2007 1.36 ---------------------- Q3 2007 1.54 ---------------------- Q4 2007 1.72 ----------------------
Fixed Charge Coverage Covenant. The Borrower will not permit the ratio, determined as of the last day of any fiscal quarter for the period of four fiscal quarters ending on such day, of (i) Consolidated EBITDA for such period minus Consolidated Capital Expenditures made or incurred in cash during such period to (ii) Consolidated Fixed Charges for such period to be less than 3.0:1
Fixed Charge Coverage Covenant. The Borrower will not permit the ratio of (1) Consolidated EBITDA minus Consolidated Capital Expenditures to (2) Consolidated Fixed Charges at any time during any test period set forth below to be less than the ratio set forth opposite such test period below: ============================================================= Test Period Interest Coverage Ratio ------------------------------------------------------------- 2002 1.50 ------------------------------------------------------------- 2003 1.50 ------------------------------------------------------------- 2004 1.50 ------------------------------------------------------------- 2005 1.75 ------------------------------------------------------------- 2006 1.75 ------------------------------------------------------------- 2007 1.75 =============================================================
Fixed Charge Coverage Covenant. So long as the Facilities remain outstanding, Milacron B.V. shall procure that the ratio of EBITDA to Total Fixed Charges in respect of the European Group is maintained for each Review Period at a minimum of 1:1.
Fixed Charge Coverage Covenant. The Borrower will not permit the ratio of (1) Consolidated EBITDA minus Consolidated Capital Expenditures to (2) Consolidated Fixed Charges at any time during any test period set forth below to be less than the ratio set forth opposite such test period below: ============================= =============================== Test Period Fixed Charge Coverage Ratio ----------------------------- ------------------------------- 2002 1.50 ----------------------------- ------------------------------- 2003 1.50 ----------------------------- ------------------------------- 2004 1.50 ----------------------------- ------------------------------- 2005 1.75 ----------------------------- ------------------------------- 2006 1.75 ----------------------------- ------------------------------- 2007 1.75 ============================= ===============================
Fixed Charge Coverage Covenant. Section 10.3 of the Loan Agreement is hereby amended and restated in its entirety to read as follows:
Fixed Charge Coverage Covenant. The Borrower shall not permit the ratio of (i) Adjusted NOI for the period of four consecutive fiscal quarters of the Borrower most recently ended to (ii) Fixed Charges for such period, to be less than 2.00 to 1.00 as of the last day of such period. TTM Adjusted NOI Calculations of Fixed Charges Interest Expense Principal Payments Preferred Dividends Total Fixed Charges Ratio Pass or Failed Test
Fixed Charge Coverage Covenant. Section 6(b)(ii) of the Loan Agreement is hereby deleted in its entirety and amended and restated as follows:
Fixed Charge Coverage Covenant. TIMET shall not permit the ratio of Adjusted EBITDA to Fixed Charges to be less than 1.20 to 1.00 for the 12-month period ending March 31, 2006, or on the last day of each calendar quarter thereafter.