Letters of Credit and Acceptances. (i) The Borrowers agree to pay to the Lenders, on the day on which the Agent shall honor a draft or other demand for payment presented or made under any Letter of Credit and on the maturity date of each Bankers' Acceptance, an amount equal to the amount paid by the Agent in respect of such draft or other demand under such Letter of Credit, an amount equal to the face value of each Bankers' Acceptance accepted by such Lender maturing on that day (notwithstanding that a Lender may be the holder thereof at maturity) and all reasonable expenses paid or incurred by the Agent relative thereto. Unless the Borrowers shall have made such payment to the Lenders on such day, upon each such payment by the Agent with respect to a Letter of Credit and each such maturity date of each Banker's Acceptance, the Agent shall be deemed to have disbursed to the relevant Borrowers, and such Borrowers shall be deemed to have elected to satisfy its reimbursement and payment obligation by, a Revolving Credit Borrowing bearing interest at the Floating Rate for the account of the Lenders in an amount equal to the amount so paid by the Agent in respect of such draft or other demand under such Letter of Credit or in the face value of such Banker's Acceptance then maturing. Such Revolving Credit Borrowing shall be disbursed notwithstanding any failure to satisfy any conditions for disbursement of any Loan set forth in Article II hereof and, to the extent of the Revolving Credit Borrowing so disbursed, the reimbursement and payment obligation of the Company under this Section 3.3(a)(i) shall be deemed satisfied; provided, however, that nothing in this Section 3.3 shall be deemed to constitute a waiver of any Default or Event of Default caused by the failure to the conditions for disbursement or otherwise.
(ii) If, for any reason (including without limitation as a result of the occurrence of an Event of Default with respect to the Company pursuant to Section 6.1(g)), Floating Rate Loans may not be made by the Lenders as described in Section 3.3(a)(i), then (A) the Borrowers agree that each amount not paid pursuant to the first sentence of Section 3.3(a)(i) shall bear interest, payable on demand by the Agent, at the interest rate then applicable to Floating Rate Borrowings, and (B) effective on the date each such Floating Rate Borrowing would otherwise have been made, each Lender severally agrees that it shall unconditionally and irrevocably, without regard to the occurrence of any Default...
Letters of Credit and Acceptances. Subject to the terms and conditions hereof, Agent shall (a) issue or cause the issuance of standby and trade Letters of Credit ("Letters of Credit") on behalf of any Borrower, or (b) accept, or cause to be accepted Acceptances; provided, however, that Agent will not be required to issue or cause to be issued any Letters of Credit or accept or cause to be accepted any Acceptances to the extent that the issuance of such Letters of Credit or acceptance of such Acceptances would then cause the sum of (i) the outstanding Revolving Advances plus (ii) the Maximum Undrawn Amount of outstanding Letters of Credit plus (iii) outstanding Acceptances to exceed the lesser of (x) the Maximum Revolving Advance Amount or (y) the Formula Amount. The Maximum Undrawn Amount of outstanding Letters of Credit and Acceptances shall not exceed $15,000,000 in the aggregate at any time. The maximum amount of outstanding Acceptances shall not exceed $15,000,000 in the aggregate at any time. All disbursements or payments related to Letters of Credit and Acceptances shall be deemed to be Domestic Rate Loans consisting of Revolving Advances and shall bear interest at the Revolving Interest Rate for Domestic Rate Loans; Letters of Credit that have not been drawn upon shall not bear interest. All letters of credit issued and outstanding under the Existing Credit Facility, as further described 23 on Schedule 2.9, shall from and after the Closing Date be deemed to be Letters of Credit issued and outstanding pursuant to this Agreement, including without limitation, Sections 2.9 through 2.18.
Letters of Credit and Acceptances a. So long as no Event of Default or Potential Default exists and remains uncured, Lender agrees, subject to the terms and conditions of this Agreement, to issue from time to time from the date hereof to and including the 30th day immediately preceding the Revolving Credit Loan Maturity Date, its Letters of Credit and Acceptances, for the account of Obligors in an amount which, when added to: (i) the aggregate amount of all other outstanding Letters of Credit at the proposed issuance date and (ii) all outstanding Advances, will not exceed the Revolving Credit Loan Commitment.
b. The issuance by the Lender of each Letter of Credit and Acceptance shall, in addition to the conditions precedent set forth elsewhere in this Agreement, be subject to the ------------------------------------------------------- LOAN AGREEMENT IN FAVOR OF BANK OF AMERICA, N.A. PAGE 12 conditions that such Letter of Credit or Acceptance shall be in such form, contain such terms, and support such transactions or obligations as shall be reasonably satisfactory to the Lender, consistent with the Lender's then current practices and procedures with respect to similar letters of credit or acceptances. All Letters of Credit and Acceptances shall be issued pursuant to and subject to the Uniform Customs and Practice for Documentary Credits, 1993 revision, International Chamber of Commerce Publication No. 500, and all subsequent amendments and revisions thereto. In addition, Obligors shall pay to the Lender such fees in connection with the issuance and maintenance of Letters of Credit and Acceptances in accordance with Lender's fee schedule in effect from time to time.
c. Obligors agree that the Lender may, in its sole discretion, accept or pay, as complying with the terms of any Letter of Credit or Acceptance, any drafts or other documents otherwise in order which may be signed or issued by an administrator, executor, trustee in Bankruptcy, debtor in possession, assignee for the benefit of creditors, liquidator, receiver, attorney in fact or other legal representative of a party who is authorized under such Letter of Credit or Acceptance to draw or issue any drafts or other documents.
d. No Letter of Credit may have an expiration date later than five (5) Business Days prior to the Revolving Credit Loan Maturity Date. Each drawing under a Letter of Credit (an "L/C Advance"), shall be payable by Obligors, without demand or notice of any kind, in full, on the date the beneficiary of the Letter of...
Letters of Credit and Acceptances. SECTION 4.1. Issuance of Letters of Credit and Creation of Acceptances. Letters of Credit shall be issued and Acceptances shall be created on the terms set forth below.
Letters of Credit and Acceptances. Subject to the terms and conditions hereof, Agent shall (a) issue or cause the issuance of standby and/or trade letters of credit (such letters of credit, the "Letters of Credit") for the account of any Borrower or (b) accept or cause to be accepted Acceptances; provided, however, that Agent will not be required to issue or cause to be issued any Letters of Credit or accept or cause to be accepted any Acceptances to the extent that the issuance or acceptance thereof would then cause the sum of (i) the outstanding Revolving Advances plus (ii) Maximum Undrawn Amount of outstanding Letters of Credit plus (iii) the outstanding Swing Loans plus (iv) outstanding Acceptances to exceed the lesser of (x) the Maximum Revolving Advance Amount less the Carve‑Out Reserve or (y) the Formula Amount (without giving effect to clause (iv) of the definition thereof). The Maximum Undrawn Amount of outstanding Letters of Credit plus the aggregate amount of outstanding Acceptances shall not exceed in the aggregate at any time the Letter of Credit Sublimit. All disbursements or payments related to Letters of Credit and Acceptances shall be deemed to be Eurodollar Rate Loans consisting of Revolving Advances and shall bear interest at the Revolving Interest Rate for Eurodollar Rate Loans; Letters of Credit that have not been drawn upon shall not bear interest.
Letters of Credit and Acceptances. 4.1. Issuance of Letters of Credit and Creation of Acceptances.........29 4.1.1. Letters of Credit.................................................29 4.1.2. Non-U.S. Letters of Credit........................................31 4.1.3. Acceptances.......................................................32 4.2. Issuances, Extensions and Creations...............................33 4.3. Destruction of Goods, etc.........................................34 4.4. Other Lenders' Participation......................................34 4.5.
Letters of Credit and Acceptances. Subject to the terms and conditions hereof, Lender shall (a) issue or cause the issuance of Letters of Credit (“Letters of Credit”) on behalf of any Borrower or (b) accept, or cause to be accepted Acceptances; provided, however, that Agent will not be required to issue or cause to be issued any Letters of Credit or accept or cause to be accepted any Acceptances to the extent that the face amount of such Letters of Credit and Acceptances would then cause the sum of (i) the outstanding Revolving Advances plus (ii) outstanding Letters of Credit plus (iii) outstanding Acceptances to exceed the lesser of (x) the Maximum Revolving Advance Amount or (y) the Formula Amount. All disbursements or payments related to Letters of Credit and Acceptances shall be deemed to be Revolving Interest Rate for Domestic Rate Loans; Letters of Credit that have not been drawn upon shall not bear interest.
Letters of Credit and Acceptances. (a) Letters of Credit Issued and Acceptances Created.
Letters of Credit and Acceptances. Issuance of Letters of Credit and Creation of Acceptances.....................................................-46- 4.1.1. Letters of Credit.............................................................................................-46- 4.1.2. Non-U.S. Letters of Credit....................................................................................-47- 4.1.3. Acceptances...................................................................................................-48- 4.2. Issuances, Extensions and Creations...........................................................................-50- 4.3. Destruction of Goods, etc.....................................................................................-50- 4.4. Other Lenders' Participation..................................................................................-51- 4.5. Disbursements and Maturities..................................................................................-52- 4.6. Reimbursement; Outstanding Letters, etc.......................................................................-52- 4.7. Deemed Disbursements..........................................................................................-55- 4.8. Nature of Reimbursement Obligations...........................................................................-56- 4.9. Existing Letters of Credit and Acceptances....................................................................-57- 4.10. Authentic Letters of Credit and Acceptances...................................................................-57- ARTICLE V CERTAIN LIBO RATE AND OTHER PROVISIONS
Letters of Credit and Acceptances. Require the Borrowers, jointly and severally, to pay immediately to the Bank, for application against drawings under any outstanding Letters of Credit and Acceptances, the outstanding principal amount of any such Letters of Credit which have not expired and the principal amount of any Acceptances which have not matured. Any portion of the amount so paid to the Bank which is not applied to satisfy draws under any such Letters of Credit or repayments on any such matured Acceptances or any other obligations of the Borrower to the Bank shall be repaid to the Borrowers without interest.
