LIQUIDITY GUIDELINES Clause Samples
The Liquidity Guidelines clause establishes the rules and standards for maintaining sufficient liquid assets within an organization or agreement. It typically outlines the minimum liquidity requirements, acceptable forms of liquid assets, and procedures for monitoring and reporting liquidity levels. By setting these parameters, the clause helps ensure that parties can meet their short-term financial obligations and reduces the risk of insolvency or cash flow shortages.
LIQUIDITY GUIDELINES. All Approved Investments shall be deemed to be liquid at time of purchase, with the exception of time deposits and repurchase agreements having a final maturity greater than 7 days, which shall be deemed to be illiquid for purposes hereof.
LIQUIDITY GUIDELINES. Excess cash is invested with liquidity in mind, and without any loss of principal. Daily liquidity is essential; restrictions on liquidity are:
1. Twice the amount of the monthly burn must be available each business day with no loss of principal. 1 Guidelines originally adopted by the Board on July 22, 2003; Amended and Restated Guidelines adopted by the Audit Committee on October 21, 2004
2. The remainders of the funds are to be invested, consistent with anticipated cash needs, in securities with maturities no longer than 24 months. The weighted-average-maturity cannot exceed 12-months. Repositioning of these securities before their maturity, generating small gains or losses, is permitted for managing liquidity requirements only. Any loss from such repositioning can only be incurred if the gain in the previous three months fully offsets this loss.
LIQUIDITY GUIDELINES. Excess cash is invested with liquidity in mind, and without any loss of principal. Daily liquidity is essential, restriction on liquidity are: At least $1,000,000 must be available each business day until 2:30 p.m. Eastern time with no loss of principal. At least $2,500,000 must be available within 30 days with no loss of principal. The remainder of the funds are to be invested, consistent with anticipated cash needs, in securities with maturities no longer than 4 years. Repositioning of these securities before their maturity, generating small gains or losses, is permitted for managing liquidity requirements only. Any repositioning of securities causing a gain or loss must be pre-approved by the V.P. Finance and Treasurer for fiduciary control purposes.
LIQUIDITY GUIDELINES. Excess cash is invested with liquidity in mind, and without any loss of principal. Daily liquidity is essential; restrictions on liquidity are: At least twice the amount of the monthly burn must be available each business day until 1:30 p.m. Eastern time with no loss of principal. The remainder of the funds are to be invested, consistent with anticipated cash needs, in securities with maturities no longer than 24 months. Repositioning of these securities before their maturity, generating small gains or losses, is permitted for managing liquidity requirements only. Any repositioning of securities causing a gain or loss must be pre-approved by Aspect Medical Systems' management for fiduciary control purposes.