Common use of Loan Limit Clause in Contracts

Loan Limit. Each Lender, severally and not jointly, agrees to make its Pro Rata Share of such Loans as Borrower shall request from time to time from the date hereof, subject to the terms and conditions set forth in this Agreement, up to the sum of the following sublimits (the "Loan Limit"): a. Up to eighty-five percent (85%) of the face amount (less maximum discounts, credits and allowances which may be taken by or granted to Account Debtors in connection therewith) of Borrower's Eligible Accounts; plus b. Up to sixty-five percent (65%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of finished goods (other than finished goods which are in transit); plus c. Up to fifty percent (50%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of finished goods or finished components of goods which are in transit or Five Hundred Thousand Dollars ($500,000), whichever is less; plus d. Up to fifty percent (50%), of the lower of the costs or market value of Borrower's Eligible Inventory consisting solely of raw materials less than one (1) year old; plus e. Up to forty percent (40%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of work-in-process or Two Million Dollars ($2,000,000), whichever is less; plus f. Subject to Paragraph (2) of this Exhibit A, up to fifty percent (50%) against the face amount of commercial Letters of Credit issued by Issuing Bank for the purpose of purchasing Inventory, provided that such commercial Letters of Credit are in form and substance satisfactory to Collateral Agent; plus g. Subject to Paragraphs (3)(a) and (3)(c) hereof, up to Four Million One Hundred Sixty-Six Thousand Six Hundred Sixty-Six and 70/100 Dollars ($4,166,666.70) with respect to Borrower's Equipment; plus h. Subject to Paragraphs (3)(b) and (3)(d) hereof, up to Two Million Five Hundred Thousand Dollars ($2,500,000) with respect to Borrower's real property located at 000 Xxxxxx Xxxxxx, Tarboro, North Carolina; plus i. Subject to Paragraph (3)(f) hereof, up to Nine Million Dollars ($9,000,000) as a special accommodation; minus j. Such reserves as Collateral Agent elects, in its reasonable discretion, to establish from time to time, including, without limitation, a reserve to pay royalties or other licensee fees with respect to patents, trademarks and copyrights licensed by Borrower in connection with the production or sale of Inventory, in the event that Collateral Agent becomes aware that such license fees or royalties are not being paid in a timely fashion or following the occurrence and during the continuance of an Event of Default and a reserve of ten percent (10%) with respect to Eligible Accounts as a result of the high level of dilution of Borrower's Accounts; provided that the advances at subparagraphs (b), (c), (d), (e) and (f) above shall in no event exceed the aggregate amount of Twenty-Five Million Dollars ($25,000,000); and further provided, that the aggregate amount of Loans outstanding at any time shall in no event exceed Forty Million Dollars ($40,000,000) (the "Aggregate Maximum Loan Amount").

Loan Limit. Each Lender, severally and not jointly, agrees to make its Pro Rata Share of such Loans as Borrower shall request from time to time from the date hereof, subject to the terms and conditions set forth in this Agreement, up to the sum of the following sublimits (the "Loan Limit"): a. (a) Up to eighty-five percent (85%) of the face amount (less maximum discounts, credits and allowances which may be taken by or granted to Account Debtors in connection therewith) of Borrower's Eligible Accounts; plus b. (b) Up to sixty-five percent (65%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of finished goods (other than finished goods which are in transit); plus c. (c) Up to fifty percent (50%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of finished goods or finished components of goods which are in transit or Five Hundred Thousand Dollars ($500,000), whichever is less; plus d. (d) Up to fifty percent (50%), of the lower of the costs or market value of Borrower's Eligible Inventory consisting solely of raw materials less than one (1) year old; plus e. (e) Up to forty percent (40%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of work-in-process or Two Million Dollars ($2,000,000), whichever is less; plus f. (f) Subject to Paragraph (2) of this Exhibit A, up to fifty percent (50%) against the face amount of commercial Letters of Credit issued by Issuing Bank for the purpose of purchasing Inventory, provided that such commercial Letters of Credit are in form and substance satisfactory to Collateral Agent; plus g. (g) Subject to Paragraphs (3)(a) and (3)(c) hereof, up to Four Five Million One Hundred Sixty-Six Thousand Six Hundred Sixty-Six and 70/100 Dollars ($4,166,666.705,000,000) with respect to Borrower's Equipment; plus h. (h) Subject to Paragraphs (3)(b) and (3)(d) hereof, up to Two Three Million Five Hundred Thousand Dollars ($2,500,0003,000,000) with respect to Borrower's real property located at 000 Xxxxxx Xxxxxx501 Daniel Street, Tarboro, North Carolina; plus i. Subject (i) Xxxxxxx to Paragraph (3)(f) hereof, up to (i) for the period from April 1, 1998 through August 30, 1998, Nine Million Dollars ($9,000,000) as a special accommodation, (ii) subject to the consent of Lenders as described below for the period from April 1, 1999 through August 30, 1999, Five Million Dollars ($5,000,000) as a special accommodation, and (iii) subject to the consent of Lenders as described below for the period from April 1, 2000 through August 30, 2000, Three Million Dollars ($3,000,000) as a special accommodation; minus j. (j) Such reserves as Collateral Agent elects, in its reasonable discretion, to establish from time to time, including, without limitation, a reserve to pay royalties or other licensee fees with respect to patents, trademarks and copyrights licensed by Borrower in connection with the production or sale of Inventory, in the event that Collateral Agent becomes aware that such license fees or royalties are not being paid in a timely fashion or following the occurrence and during the continuance of an Event of Default and a reserve of ten percent (10%) with respect to Eligible Accounts as a result of the high level of dilution of Borrower's AccountsDefault; provided that the advances at subparagraphs (b), (c), (d), (e) and (f) above shall in no event exceed the aggregate amount of Twenty-Five Million Dollars ($25,000,000); and further provided, that the aggregate amount of Loans outstanding at any time shall in no event exceed Forty Fifty-Seven Million Dollars ($40,000,00057,000,000) (the "Aggregate Maximum Loan Amount"); and further provided, that the special accommodation advances set forth in subparagraphs (i)(ii) and (i)(iii) shall only be made if, on or before the last day of the calendar year before each such special accommodation is to go into effect, each Lender specifically agrees in writing to make its Pro Rata Share of each such special accommodation advance; but provided further, that if any Lender fails by such date to agree in writing to make its Pro Rata Share of any such special accommodation advance, Borrower shall have one hundred twenty (120) days from such date to prepay all of the Liabilities and terminate this Agreement without paying the prepayment fee set forth in Paragraph 10 of this Agreement; but provided further, that if Borrower fails to prepare all of the Liabilities within such one hundred twenty (120) day period, Borrower shall be obligated to pay the prepayment fee pursuant to the terms of Paragraph 10 of this Agreement.

Loan Limit. Each Lender, severally and not jointly, agrees to make its Pro Rata Share of such Loans as Borrower shall request from time to time from the date hereof, subject to the terms and conditions set forth in this Agreement, up to the sum of the following sublimits (the "Loan Limit"): a. (a) Up to eighty-five percent (85%) of the face amount (less maximum discounts, credits and allowances which may be taken by or granted to Account Debtors in connection therewith) of Borrower's Eligible Accounts; plus b. (b) Up to sixty-five percent (65%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of finished goods (other than finished goods which are in transit); plus c. (c) Up to fifty percent (50%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of finished goods or finished components of goods which are in transit or Five Hundred Thousand Dollars ($500,000), whichever is less; plus d. (d) Up to (i) for the period from November 15, 1996 through April 30, 1997, sixty percent (60%) and (ii) at all other times fifty percent (50%), of the lower of the costs or market value of Borrower's Eligible Inventory consisting solely of raw materials less than one (1) year old; plus e. (e) Up to forty percent (40%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of work-in-process or Two Million Dollars ($2,000,000), whichever is less; plus f. (f) Subject to Paragraph (2) of this Exhibit A, up to fifty percent (50%) against the face amount of commercial Letters of Credit issued by Issuing Bank for the purpose of purchasing Inventory, provided that such commercial Letters of Credit are in form and substance satisfactory to Collateral Agent; plus g. (g) Subject to Paragraphs (3)(a) and (3)(c) hereof, up to Four Nine Million One Hundred Sixty-Six Thousand Six Hundred Sixty-Six and 70/100 Dollars ($4,166,666.709,100,000) with respect to Borrower's Equipment; plus h. (h) Subject to Paragraphs (3)(b) and (3)(d) hereof, up to Two Three Million Five Hundred Thousand Dollars ($2,500,0003,000,000) with respect to Borrower's real property located at 000 Xxxxxx XxxxxxStreet, Tarboro, North Carolina; plus i. (i) Subject to Paragraph (3)(f) hereof, up to Nine Eight Million Five Hundred Thousand Dollars ($9,000,0008,500,000) as a special accommodationaccommodation with respect to the tax refund owing to Borrower or its Parent; minus j. (j) Such reserves as Collateral Agent elects, in its reasonable discretion, to establish from time to time, including, without limitation, a reserve to pay royalties or other licensee fees with respect to patents, trademarks and copyrights licensed by Borrower in connection with the production or sale of Inventory, in the event that Collateral Agent becomes aware that such license fees or royalties are not being paid in a timely fashion or following the occurrence and during the continuance of an Event of Default and a reserve of ten percent (10%) with respect to Eligible Accounts as a result of the high level of dilution of Borrower's AccountsDefault; provided that the advances at subparagraphs (b), (c), (d), (e) and (f) above shall in no event exceed the aggregate amount of Twenty-Five Million Dollars ($25,000,000); and further provided, that the aggregate amount of Loans outstanding at any time shall in no event exceed Forty Seventy-Five Million Dollars ($40,000,00075,000,000) (the "Aggregate Maximum Loan AmountLimit")."

Loan Limit. Each Lender, severally and not jointly, agrees to make its Pro Rata Share of such Loans as Borrower shall request from time to time from the date hereof, subject to the terms and conditions set forth in this Agreement, up to the sum of the following sublimits (the "Loan Limit"): a. (a) Up to eighty-five percent (85%) of the face amount (less maximum discounts, credits and allowances which may be taken by or granted to Account Debtors in connection therewith) of Borrower's Eligible Accounts; plus b. (b) Up to sixty-five percent (65%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of finished goods (other than finished goods which are in transit); plus c. (c) Up to fifty percent (50%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of finished goods or finished components of goods which are in transit or Five Hundred Thousand Dollars ($500,000), whichever is less; plus d. (d) Up to (i) for the period from November 15, 1996 through April 30, 1997, sixty percent (60%) and (ii) at all other times fifty percent (50%), of the lower of the costs or market value of Borrower's Eligible Inventory consisting solely of raw materials less than one (1) year old; plus e. (e) Up to forty percent (40%) of the lower of the cost or market value of Borrower's Eligible Inventory consisting solely of work-in-process or Two Million Dollars ($2,000,000), whichever is less; plus f. (f) Subject to Paragraph (2) of this Exhibit A, up to fifty percent (50%) against the face amount of commercial Letters of Credit issued by Issuing Bank for the purpose of purchasing Inventory, provided that such commercial Letters of Credit are in form and substance satisfactory to Collateral Agent; plus g. (g) Subject to Paragraphs (3)(a) and (3)(c) hereof, up to Four Nine Million One Hundred Sixty-Six Thousand Six Hundred Sixty-Six and 70/100 Dollars ($4,166,666.709,100,000) with respect to Borrower's Equipment; plus h. (h) Subject to Paragraphs (3)(b) and (3)(d) hereof, up to Two Three Million Five Hundred Thousand Dollars ($2,500,0003,000,000) with respect to Borrower's real property located at 000 Xxxxxx Xxxxxx, Tarboro, North Carolina; plus i. (i) Subject to Paragraph (3)(f) hereof, up to Nine Four Million Dollars ($9,000,0004,000,000) as a special accommodation; minus j. (j) Such reserves as Collateral Agent elects, in its reasonable discretion, to establish from time to time, including, without limitation, a reserve to pay royalties or other licensee fees with respect to patents, trademarks and copyrights licensed by Borrower in connection with the production or sale of Inventory, in the event that Collateral Agent becomes aware that such license fees or royalties are not being paid in a timely fashion or following the occurrence and during the continuance of an Event of Default and a reserve of ten percent (10%) with respect to Eligible Accounts as a result of the high level of dilution of Borrower's AccountsDefault; provided that the advances at subparagraphs (b), (c), (d), (e) and (f) above shall in no event exceed the aggregate amount of Twenty-Five Million Dollars ($25,000,000); and further provided, that the aggregate amount of Loans outstanding at any time shall in no event exceed Forty Eighty-Five Million Dollars ($40,000,00085,000,000) (the "Aggregate Maximum Loan AmountLimit")."