Common use of Limitation on Activities of Holdings Clause in Contracts

Limitation on Activities of Holdings. In the case of Holdings, notwithstanding anything to the contrary in this Agreement or any other Loan Document, (a) conduct, transact or otherwise engage in, or commit to conduct, transact or otherwise engage in, any business or operations other than those incidental to its ownership of the Capital Stock of the Borrower and Capital Stock of other entities, (b) incur, create, assume or suffer to exist any Indebtedness or other liabilities or financial obligations, except (i) nonconsensual obligations imposed by operation of law, (ii) pursuant to the Loan Documents to which it is a party, (iii) obligations with respect to its Capital Stock, and (iv) Indebtedness of Holdings issued to sellers of assets purchased by Holdings or a Subsidiary of Holdings (provided that (A) such Indebtedness is subordinated to the Term Loans, Revolving Credit Loans, Swing Line Loans and Reimbursement Obligations, (B) such Indebtedness shall provide for no payment of principal, and no payment of interest other than payments in kind, to be made thereunder until the date which is 91 days after the final maturity date of the Term Loans and (C) such Indebtedness shall have no covenants other than a covenant to pay principal and interest, covenants not to make any payment in respect of equity or junior debt prior to payment of such Indebtedness, and customary informational covenants, such as a covenant to provide financial statements) or (c) own, lease, manage or otherwise operate any properties or assets other than cash equivalents and shares of Capital Stock of the Borrower and other entities.

Limitation on Activities of Holdings. In the case of Holdings, notwithstanding anything to the contrary in this Agreement or any other Loan Document, (a) conduct, transact or otherwise engage in, or commit to conduct, transact or otherwise engage in, any business or operations other than those incidental to its ownership of the Capital Stock of the Borrower and Capital Stock of other entities, (b) incur, create, assume or suffer to exist any Indebtedness or other liabilities or financial obligations, except (i) nonconsensual obligations imposed by operation of law, (ii) pursuant to the Loan Documents to which it is a party, (iii) obligations with respect to its Capital Stock, and (iv) Indebtedness of Holdings issued to sellers of assets purchased by Holdings or a Subsidiary of Holdings (provided that (A) such Indebtedness is subordinated to the Term Loans, Revolving Credit Loans, Swing Line Loans and Reimbursement Obligations, (B) such Indebtedness shall provide for no payment of principal, and no payment of interest other than payments in kind, to be made thereunder until the date which is 91 days after the final maturity date of the Term Loans and (C) such Indebtedness shall have no covenants other than a covenant to pay principal and interest, covenants not to make any payment in respect of equity or junior debt prior to payment of such Indebtedness, and customary informational covenants, such as a covenant to provide financial statements) or (c) own, lease, manage or otherwise operate any properties or assets other than cash equivalents and shares of Capital Stock of the Borrower and other entities.