Common use of Mandatory Reduction or Termination of Commitments Clause in Contracts

Mandatory Reduction or Termination of Commitments. (i) The Total Commitment shall be automatically and permanently reduced by an amount equal to the maximum amount that would be required to be applied as a mandatory prepayment of the Swing Line Loans and the Revolving Loans pursuant to Section 2.06(c)(iii) if the Effective Amount of such Loans was then equal to the amount of such Commitment (but without regard to the actual usage of such Commitment), such reduction to be effective on the date of the required prepayment. (ii) The Total Commitment shall be automatically and permanently reduced to zero on the Maturity Date. (iii) If, at any time, the Borrower is required to make any mandatory prepayment of the Loans pursuant to Sections 2.06(c)(iii), then the Total Commitment shall be automatically and permanently reduced by the amount of such mandatory prepayment of the Loans.

Appears in 2 contracts

Samples: Credit Agreement, Credit Agreement (Wild Oats Markets Inc)

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Mandatory Reduction or Termination of Commitments. (i) The Total Revolving Loan Commitment shall be automatically and permanently reduced by an amount equal to the maximum amount that would be required to be applied as a mandatory prepayment of the Swing Line Loans and the Revolving Loans pursuant to Section 2.06(c)(iii2.07(c)(iii), (iv), (v) if the Effective Amount of such Loans was then equal to the amount of such Commitment or (but vi) (without regard to the actual usage of such Commitment), such reduction to be effective on the date of the required prepayment. (ii) The Total Revolving Loan Commitment shall be automatically and permanently reduced to zero on the Revolving Loan Maturity Date. (iii) If, at any time, the Borrower is required to make any mandatory prepayment of the Loans pursuant to Sections 2.06(c)(iii), then the The Total Term Loan Commitment shall be automatically and permanently reduced by to zero at the amount close of such mandatory prepayment of business on the LoansFunding Date.

Appears in 2 contracts

Samples: Credit Agreement (Sands Regent), Credit Agreement (Sands Regent)

Mandatory Reduction or Termination of Commitments. (i) The Total Revolving Loan Commitment shall be automatically and permanently reduced by an amount equal to the maximum amount that would be required to be applied as a mandatory prepayment of the Swing Line Loans and the Revolving Loans pursuant to Section 2.06(c)(iii2.07(c)(iii) if the Effective Amount of such Loans was then equal to the amount of such Revolving Loan Commitment (but without regard to the actual usage of such Revolving Loan Commitment), such reduction to be effective on the date of the required prepayment. (ii) The Total Revolving Loan Commitment shall be automatically and permanently reduced to zero on the Revolving Loan Maturity Date. (iii) If, at any time, the Borrower is required to make any mandatory prepayment Each of the Loans pursuant to Sections 2.06(c)(iii), then Total Term Loan A Commitment and the Total Term Loan B Commitment shall be automatically and permanently reduced by to zero at the amount close of such mandatory prepayment business on the earlier of (A) the LoansClosing Date and (B) November 24, 2003.

Appears in 1 contract

Samples: Credit Agreement (Varsity Brands Inc)

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Mandatory Reduction or Termination of Commitments. (i) The Total Commitment shall be automatically and permanently reduced by an amount equal to the maximum amount that would be required to be applied as a mandatory prepayment of the Revolving Loans and the Swing Line Loans and the Revolving Loans as applicable pursuant to Section 2.06(c)(iii2.06(c)(ii) if the Effective Amount of such and (iii) (whether or not any Revolving Loans was or Swing Line Loans shall then equal to the amount of such Commitment (but without regard to the actual usage of such Commitmentbe outstanding), such reduction to be effective on the date of the required prepayment. (ii) The Total Commitment shall be automatically and permanently reduced to zero on the Revolving Loan Maturity Date. (iii) If, at any time, the Borrower is required to make any mandatory prepayment of the Loans pursuant to Sections 2.06(c)(iii), then the Total Commitment shall be automatically and permanently reduced by the amount of such mandatory prepayment of the Loans.

Appears in 1 contract

Samples: Credit Agreement (Coldwater Creek Inc)

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