Common use of Operating Profit Clause in Contracts

Operating Profit. A. Operating Profit, to the extent available, shall be distributed to Owner and to Manager in the following order of priority: 1. An amount up to the maximum amount of Owner's Priority shall be paid to Owner; 2. The Incentive Management Fee shall be paid to Manager; and 3. Any remaining balance of Operating Profit shall be paid to Owner. Owner's Priority is not cumulative from one Fiscal Year to the next, and to the extent the maximum amount of Owner's Priority is unpaid in any Fiscal Year, such unpaid amount shall not accrue or otherwise be payable in any subsequent Fiscal Year. B. To the extent of available Operating Profit with respect to each Accounting Period, Manager shall distribute a prorated portion of the Owner's Priority to Owner for each such Accounting Period in accordance with Section 4.01.A., and shall be entitled to retain a prorated portion of the Incentive Management Fee, which shall be retained by Manager from Operating Profit in accordance with Section 3.02 and Section 4.01 for each such Accounting Period based on its good faith estimate of the Incentive Management Fee for the full Fiscal Year.

Operating Profit. A. Operating Profit, to the extent available, shall be distributed to Owner and to Manager in the following order of priority: 1. An amount up to the maximum amount of Owner's ’s Priority shall be paid to Owner; 2. The Incentive Management Fee shall be paid to Manager; and 3. Any remaining balance of Operating Profit shall be paid to Owner. Owner's ’s Priority is not cumulative from one Fiscal Year to the next, and to the extent the maximum amount of Owner's ’s Priority is unpaid in any Fiscal Year, such unpaid amount shall not accrue or otherwise be payable in any subsequent Fiscal Year. B. To the extent of available Operating Profit with respect to each Accounting Period, Manager shall distribute a prorated portion of the Owner's ’s Priority to Owner for each such Accounting Period in accordance with Section 4.01.A., and shall be entitled to retain a prorated portion of the Incentive Management Fee, which shall be retained by Manager from Operating Profit in accordance with Section 3.02 and Section 4.01 for each such Accounting Period based on its good faith estimate of the Incentive Management Fee for the full Fiscal Year.