Interest Rate; Advances. Subject to Section 2.3(b), the amounts outstanding under the Revolving Line shall accrue interest at a per annum rate based on Borrower’s Liquidity Ratio (as defined below), as follows: Equal to or greater than 1.75 to 1 Prime Rate plus 0.50% (the “Reduced Rate”) Less than 1.75 to 1 Prime Rate plus 2.0% (the “Regular Rate”) Interest shall be payable monthly.
Appears in 3 contracts
Samples: Loan and Security Agreement (Entropic Communications Inc), Loan and Security Agreement (Entropic Communications Inc), Loan and Security Agreement (Entropic Communications Inc)
Interest Rate; Advances. Subject to Section 2.3(b), the amounts outstanding under the Revolving Line shall accrue interest at a per annum rate based on Borrower’s Liquidity Ratio equal to the greater of (as defined below), as follows: Equal to or greater than 1.75 to 1 i) 0.75 percentage points above the Prime Rate plus 0.50% or (the “Reduced Rate”ii) Less than 1.75 to 1 Prime Rate plus 2.0% (the “Regular Rate”) Interest 8.50%, which interest shall be payable monthly; provided, however, such rate shall be the greater of (i) 2.0 percentage points above the Prime Rate or (ii) 9.75%, which interest shall be payable monthly, for any month in which the Liquidity Ratio Threshold (as defined in Section 13 hereof) is not in effect.
Appears in 1 contract
Samples: Loan and Security Agreement (Document Sciences Corp)
