PROFITS/LOSSES. For financial accounting and tax purposes, the Company's net profits or net losses shall be determined on an annual basis and shall be allocated to the Members in proportion to each Member's relative capital interest in the Company as set forth in Schedule 2 as amended from time to time in accordance with U.S. Department of the Treasury Regulation 1.704-1.
PROFITS/LOSSES. For accounting and tax purposes, the Company's net profits or net losses will be determined annually. As provided in Section 6.03, below, profits and losses will be allocated to the Members in proportion to each Member's economic interest in the Company as set forth in Exhibit 1 and in accordance with Treasury Regulation 1.704-1.
PROFITS/LOSSES. For accounting and tax purposes, net profits or net losses shall be determined on an annual basis. Profits and losses will be distributed in proportion to each Member’s relative proportion of total capital in the Company, as set forth in Exhibit 1.
PROFITS/LOSSES. Pursuant to Section 503 of the Law, for accounting and tax purposes, the Company's net profits or net losses will be determined annually. As provided in Section 6.03, below, profits and losses will be allocated to the Member in accordance with Treasury Regulation 1.704-1.
PROFITS/LOSSES. For accounting and tax purposes, net profits or net losses shall be determined on an annual basis. For tax purposes only, the Company shall be treated as a partnership.
PROFITS/LOSSES. For financial accounting and tax purposes the Company's net profits or net losses shall be determined on an annual basis and shall be allocated to the Members in proportion to each Member's relative capital interest in the Company as set forth in Exhibit 3 as amended from time to time.
PROFITS/LOSSES. (a) Allocation of Income and Loss.
(i) Net Profits shall be allocated among the Members in proportion to their Percentage Interests.
(ii) Net Losses shall be allocated among the Members in proportion to their Percentage Interests.
(iii) Whenever a proportionate part of the Net Profits or Net Losses is allocated to a Member, every item of income, gain, loss, deduction or credit entering into the computation of such Net Profits or Net Losses or arising from the transactions with respect to which such Net Profits or Net Losses were realized shall be credited or charged, as the case may be, to such Member in the same proportion; provided, however, that "recapture income", if any, shall be allocated to the Members who were allocated the corresponding depreciation deductions.
(iv) If any Member Transfers all or any portion of its Membership Units during any Fiscal Year, Net Profits and Net Losses attributable to such transferred Membership Units for such Fiscal Year shall be apportioned between the transferor and the transferee or computed as to such Members on the basis of an interim closing of the books and records of the Company, provided in all events that any apportionment described above shall be permissible under the Code and applicable regulations thereunder.
(b) Tax credits, if any, shall be allocated among the Members in proportion to their Percentage Interests.
(c) When the Gross Asset Value of a Company asset differs from its basis for federal or other income tax purposes, solely for purposes of the relevant tax and not for purposes of computing Capital Account balances, income, gain, loss, deduction and credit with respect to such asset shall be allocated among the Members under the remedial allocation method under Treasury Regulation Section 1.704-3(d). The Members agree that, as of October 31, 1998, all such differences related to goodwill, and the corresponding remedial allocations shall be made ratably over a fifteen (15) year period.
PROFITS/LOSSES. For accounting and tax purposes, the DAO's net profits or net losses will be determined annually. Pursuant to Section 00-00-000 of the Supplement, and as provided in Section 6.03, below, profits and losses will be allocated to the Members in proportion to each Member's economic interest in the DAO and in accordance with Treasury Regulation 1.704-1.
PROFITS/LOSSES. Tax Credits, Distributions and Capital Accounts59 10.1 Profits, Losses and Tax Credits......................59 10.2 Cash Distributions Prior to Dissolution..............60 10.3
PROFITS/LOSSES. (a) (i) Except as otherwise provided in this Agreement, the Net Profits of the Company (and items thereof) for each Accounting Period shall be allocated:
(A) first, except for any Net Profits resulting from any adjustment to the Gross Asset Value of Company assets pursuant to Section 10.1(e), 10.7(a), 10.8 and paragraph (ii) of the definition of "Gross Asset Value," to the extent that an amount of Net Losses previously allocated pursuant to Section 4.4(a)(ii)(A) and (C) exceeds aggregate Net Profits allocated pursuant to Section 4.4(a)(i)(A) and (C), to the Members in proportion to, and in an amount equal to, the unrecovered amount of such Net Loss (and, if there is an unrecovered Net Loss for more than one Accounting Period or that has been allocated pursuant to Section 4.4(a)(ii)(C) or Section 4.4(a)(ii)(A), then this Section 4.4(a)(i)(A) shall be applied first to the Net Losses arising in the most recent Accounting Period until that Net Loss is recovered fully, and thereafter successively to each preceding Accounting Period for which there is an unrecovered Net Loss, ending with the first such Accounting Period, in each case offsetting Net Losses allocated pursuant to Section 4.4(a)(ii)(C) before those allocated pursuant to Section 4.4(a)(ii)(A));
(B) second, to the Members an amount of any Net Profits resulting from any adjustment to the Gross Asset Value of Company assets pursuant to Sections 10.1(e), 10.7(a), 10.8 and paragraph (ii) of the definition of "Gross Asset Value," so that, to the extent possible, each Member's relative Capital Account corresponds with its Percentage Interest following the event causing the adjustment to Gross Asset Value; and
(C) third, to all of the Members on a pro rata basis in proportion to their respective Percentage Interests at the beginning of such Accounting Period.
