Impact of the Chapter 11 Case on the Debtor Sample Clauses

Impact of the Chapter 11 Case on the Debtor. The Chapter 11 Case may affect the Debtor’s relationships with, and its ability to negotiate favorable terms with, creditors, customers, charterers, suppliers, vendors, employees, and other personnel and counterparties. While the Debtor expects to continue normal operations, public perception of its continued viability may affect, among other things, the desire of new and existing charterers and customers to enter into, or continue, charters or other agreements or arrangements with the Debtor. The failure to maintain any of these important relationships could adversely affect the Debtor’s business, financial condition, and results of operations. Because of the public disclosure of the Chapter 11 Case and concerns foreign vendors may have about liquidity, the Debtor’s ability to maintain normal credit terms with vendors may be impaired. Also, the Debtor’s transactions that are outside of the ordinary course of business are generally subject to the approval of the Court, which may limit the Debtor’s ability to respond on a timely basis to certain events or take advantage of certain opportunities. As a result, the effect that the Chapter 11 Case will have on the Debtor’s business, financial conditions, and results of operations cannot be accurately predicted or quantified at this time. Additionally, the terms of the DIP Credit Agreement limit Eagle’s ability to undertake certain business initiatives. These limitations include, among other things, Eagle’s ability to: (a) sell assets outside the normal course of business; (b) consolidate, merge, sell, or otherwise dispose of all or substantially all of its assets; (c) grant liens; and (d) finance its operations, investments, or other capital needs.