Operating Cash-Flow to Total Fixed Charge Ratio. Maintain a ratio of operating cash flow to total fixed charges of not less than 1.15 to 1.00 as at the end of each fiscal quarter based on the preceding trailing twelve month period. Operating Cash Flow is defined as (i) net income (ii) less investment gains (losses) (iii) plus proceeds from the sale of Investments consistent with GAAP, (iv) less any other non-recurring income, (v) plus interest expense (excluding interest expense in respect of Short Term Line Financing secured by marketable securities) (vi) plus depreciation (vii) plus amortization, (viii) plus Lease Expense, (ix) plus charges incurred in connection with Lease and Leasehold abandonments, (x) less Cash Dividends paid after March 31, 2005, (xi) less Income Tax Benefit , and (xii) plus income tax expense to the extent it does not result in a required tax payment (xiii) less results related to and charges taken by the Borrower against income for discontinued operations of the Borrower in the amount of $7,292,000.00 for the period ending June 30, 2005; $2,766,000.00 for the period ending September 30, 2005; $1,500,000.00 for the period ending December 31, 2005, and $1,500,000.00 for the period ending March 31, 2006. Amortization is defined as (i) the amount of any expense(s) required to be recognized by the Borrower, in accordance with GAAP for any period and reflected in the Borrower’s financial statement for such period, for (a) the Borrower’s Intangible Assets, (b) the Borrower’s issuance of (1) any restricted stock, (2) notes, (3) warrants and/or (4) stock to match 401K contribution obligations, (c) cost incurred in the issuance of any options, (ii) less charges taken by the Borrower against income for a given period for discontinued operation of the Borrower. Total fixed charges are defined as Interest Expense (excluding interest expense in respect of Short Term Line Financing secured by marketable securities), plus Lease Expense plus current maturities on Long Term Debt/current maturities on long term Capital Leases plus maintenance CAPEX. Maintenance CAPEX is defined as CAPEX without a corresponding debt or lease financing commitment for the twelve month period under consideration.
Operating Cash-Flow to Total Fixed Charge Ratio. Borrower shall maintain a ratio of Operating Cash Flow to Total Fixed Charges of not less than 1.25 to 1:00, tested at the end of each fiscal quarter for the preceding 12-month period.
Operating Cash-Flow to Total Fixed Charge Ratio. Maintain a ratio of operating cash flow to total fixed charges of not less than 1.15 to 1.00 as at the end of each fiscal quarter based on the preceding trailing twelve month period. Operating cash flow is defined as net income less any other non-recurring income plus depreciation/amortization, plus Lease Expense, less Cash Dividends. DesCap’s officer’s compensation in excess of contractual compensation for the periods ending March 31, 2004, June 30, 2004, September 30, 2004 and December 31, 2004 will be added to operating cash flow. Total fixed charges are defined as Interest Expense, plus Lease Expense plus current maturities on Long Term Debt/current maturities on long term Capital Leases plus maintenance CAPEX. Maintenance CAPEX is defined as CAPEX without a corresponding debt or lease financing for the twelve month period under consideration.
Operating Cash-Flow to Total Fixed Charge Ratio. Borrower shall maintain a ratio of Operating Cash Flow to Total Fixed Charges of not less than 1.30 to 1.00; calculated at the end of each fiscal year end for the preceding 12-month period. The words "Operating Cash Flow" mean net income and taxes and exclusive of extraordinary gains and losses and gains on asset sales and other income, plus depreciation, amortization, interest expense and lease expense, less dividends and distributions. The words "Total Fixed Charges" mean interest expense, plus current maturities of long-term debt and current maturities of capital leases, plus leases expenses, plus preferred stock dividends, plus Capital Expenditures (calculated for the preceding twelve-month period). The words "Capital Expenditures" mean current period net fixed assets less prior period net fixed assets, plus current period depreciation. BORROWING PLAN. An exhibit, titled "BORROWING PLAN," is attached to this Agreement and by this reference is made a part of this Agreement [ILLEGIBLE], as if all the provisions, terms and conditions of the Exhibit had been fully set forth in this Agreement.
