Common use of PIK Option Clause in Contracts

PIK Option. The Issuer’s ability to make PIK Payments in respect of the Notes in lieu of paying interest in cash as set forth above (the “PIK Option”) may be exercised solely with respect to any Interest Period during the PIK Option Period, in up to the proportion of the total amount of interest due in such period as set forth in the table below: PIK Option Period Maximum Portion of Interest as PIK PIK Premium From (and including) the Issue Date through (and including) the second-year anniversary of the Issue Date 100.0% 50% of Cash Interest Rate From (but excluding) the second-year anniversary of the Issue Date through (and including) the third-year anniversary of the Issue Date 92.5% 50% of Cash Interest Rate From (but excluding) the third-year anniversary of the Issue Date through (and including) the fourth-year anniversary of the Issue Date 65.0% 50% of Cash Interest Rate PIK Option Period Maximum Portion of Interest as PIK PIK Premium From (but excluding) the fourth-year anniversary of the Issue Date through (and including) the fifth-year anniversary of the Issue Date 30.0% 75% of Cash Interest Rate In the event that the Issuer shall determine to pay PIK Interest with respect to any Interest Period, the Issuer shall deliver a notice (a “PIK Notice”) to the Trustee no later than the 15th calendar day immediately prior to the first day of such Interest Period, which notice shall state the total amount of cash interest to be paid on the Interest Payment Date in respect of such Interest Period and the amount of such interest to be paid as PIK Interest in accordance with the terms of the Notes, provided, however that with respect and for purposes of the first Interest Period, the Issuer shall deliver a PIK Notice to the Trustee within 15 Business Days after the Issue Date. The Trustee, on behalf of the Issuer, shall promptly upon receipt of the PIK Notice, and in no event later than the 10th calendar day immediately prior to the first day of such Interest Period, deliver a corresponding notice to the Holders. Interest on the Notes in respect of any Interest Period for which a PIK Notice is not delivered in accordance with the first sentence of this paragraph must be paid entirely in cash.

PIK Option. The Issuer’s ability to make PIK Payments in respect of the Notes in lieu of paying interest in cash as set forth above (the “PIK Option”) may be exercised solely with respect to any Interest Period during the PIK Option Period, in up to the proportion of the total amount of interest due in such period as set forth in the table below: PIK Option Period Maximum Portion of Interest as PIK PIK Premium From (and including) the Issue Date through (and including) [the second-year anniversary of the Issue Date Date] 100.0% 50% of Cash Interest Rate From (but excluding) [the second-year anniversary of the Issue Date Date] through (and including) [the third-year anniversary of the Issue Date Date] 92.5% 50% of Cash Interest Rate From (but excluding) [the third-year anniversary of the Issue Date Date] through (and including) [the fourth-year anniversary of the Issue Date Date] 65.0% 50% of Cash Interest Rate PIK Option Period Maximum Portion of Interest as PIK PIK Premium From (but excluding) [the fourth-year anniversary of the Issue Date Date] through (and including) [the fifth-year anniversary of the Issue Date Date] 30.0% 75% of Cash Interest Rate In the event that the Issuer shall determine to pay PIK Interest with respect to any Interest Period, the Issuer shall deliver a notice (a “PIK Notice”) to the Trustee no later than the 15th calendar day immediately prior to the first day of such Interest Period, which notice shall state the total amount of cash interest to be paid on the Interest Payment Date in respect of such Interest Period and the amount of such interest to be paid as PIK Interest in accordance with the terms of the Notes, provided, however that with respect and for purposes of the first Interest Period, the Issuer shall deliver a PIK Notice to the Trustee within 15 Business Days after the Issue Date. The Trustee, on behalf of the Issuer, shall promptly upon receipt of the PIK Notice, and in no event later than the 10th calendar day immediately prior to the first day of such Interest Period, deliver a corresponding notice to the Holders. Interest on the Notes in respect of any Interest Period for which a PIK Notice is not delivered in accordance with the first sentence of this paragraph must be paid entirely in cash.

PIK Option. The Issuer’s ability to make PIK Payments in respect of the Notes in lieu of paying interest in cash as set forth above (the “PIK Option”) may be exercised solely with respect to any Interest Period during the PIK Option Period, in up to the proportion of the total amount of interest due in such period as set forth in the table below: PIK Option Period Maximum Portion of Interest as PIK PIK Premium From (and including) the Issue Date through (and including) [the second-year anniversary of the Issue Date Date] 100.0% 50% of Cash Interest Rate From (but excluding) [the second-year anniversary of the Issue Date Date] through (and including) [the third-year anniversary of the Issue Date Date] 92.5% 50% of Cash Interest Rate From (but excluding) [the third-year anniversary of the Issue Date Date] through (and including) [the fourth-year anniversary of the Issue Date Date] 65.0% 50% of Cash Interest Rate PIK Option Period Maximum Portion of Interest as PIK PIK Premium From (but excluding) [the fourth-year anniversary of the Issue Date Date] through (and including) [the fifth-year anniversary of the Issue Date Date] 30.0% 75% of Cash Interest Rate In the event that the Issuer shall determine to pay PIK Interest with respect to any Interest Period, the Issuer shall deliver a notice (a “PIK Notice”) to the Trustee no later than the 15th calendar day immediately prior to the first day of such Interest Period, which notice shall state the total amount of cash interest to be paid on the Interest Payment Date in respect of such Interest Period and the amount of such interest to be paid as PIK Interest in accordance with the terms of the Notes, provided, however that with respect and for purposes of the first Interest Period, the Issuer shall deliver a PIK Notice to the Trustee within 15 Business Days after the Issue Date. The Trustee, on behalf of the Issuer, shall promptly upon receipt of the PIK Notice, and in no event later than the 10th calendar day immediately prior to the first day of such Interest Period, deliver a corresponding notice to the Holders. Interest on the Notes in respect of any Interest Period for which a PIK Notice is not delivered in accordance with the first sentence of this paragraph must be paid entirely in cash.

PIK Option. The Issuer’s ability to make PIK Payments in respect of the Notes in lieu of paying interest in cash as set forth above (the “PIK Option”) may be exercised solely with respect to any Interest Period during the PIK Option Period, in up to the proportion of the total amount of interest due in such period as set forth in the table below: PIK Option Period Maximum Portion of Interest as PIK PIK Premium From (and including) the Issue Date through (and including) the second-year anniversary of the Issue Date 100.0% 50% of Cash Interest Rate From (but excluding) the second-year anniversary of the Issue Date through (and including) the third-year anniversary of the Issue Date 92.5% 50% of Cash Interest Rate From (but excluding) the third-year anniversary of the Issue Date through (and including) the fourth-year anniversary of the Issue Date 65.0% 50% of Cash Interest Rate PIK Option Period Maximum Portion of Interest as PIK PIK Premium From (but excluding) the fourth-year anniversary of the Issue Date through (and including) the fifth-year anniversary of the Issue Date 30.0% 75% of Cash Interest Rate In the event that the Issuer shall determine to pay PIK Interest with respect to any Interest Period, the Issuer shall deliver a notice (a “PIK Notice”) to the Trustee no later than the 15th calendar day immediately prior to the first day of such Interest Period, which notice shall state the total amount of cash interest to be paid on the Interest Payment Date in respect of such Interest Period and the amount of such interest to be paid as PIK Interest in accordance with the terms of the Notes, provided, however that with respect and for purposes of the first Interest Period, the Issuer shall deliver a PIK Notice to the Trustee within 15 Business Days after the Issue Date. The Trustee, on behalf of the Issuer, shall promptly upon receipt of the PIK Notice, and in no event later than the 10th calendar day immediately prior to the first day of such Interest Period, deliver a corresponding notice to the Holders. Interest on the Notes in respect of any Interest Period for which a PIK Notice is not delivered in accordance with the first sentence of this paragraph must be paid entirely in cash.