PIK Loan. The PIK Loan, as evidenced by the PIK Note, continues to be outstanding as of the Restatement Date. The Borrower and Lenders acknowledge that the amount of the PIK Loan on the Restatement Date is $282,500.00. On and after the Restatement Date, this Agreement will govern the respective rights, duties and obligations of the Borrower, Administrative Agent and Lenders with respect to the PIK Loan but the PIK Loan will continue to be evidenced by the PIK Note and the PIK Loan shall mature on the Maturity Date. If all or a portion of the PIK Loan is paid or prepaid, then the amount so paid or prepaid may not be reborrowed. From and after the Restatement Date, interest shall accrue on the PIK Loan at the Adjusted Base Rate, as further provided in Section 2.07.
PIK Loan. A Loan to an Obligor, which provides that any portion of the interest accrued for a specified period of time or until the maturity thereof is, or at the option of the Obligor may be, added to the principal balance or otherwise deferred and accrued rather than being paid in cash, if such Loan (i) is a Fixed Rate Loan and requires payment of interest in cash at a rate of less than 6.0% per annum or (ii) is not a Fixed Rate Loan and requires payment of interest in cash at a rate of less than 3.5% per annum in excess of the applicable rate index. The principal balance of any PIK Loan will not include any principal amount of such PIK Loan representing previously deferred or capitalized interest.
