Rates and Payment of Interest. (a) The Obligations shall bear interest as follows: 10% per annum will be payable by adding such accrued interest to the principal amount of the Loans on the last day of the Fiscal Quarter then ended; provided, that Borrowers may elect, at their option, so long as Excess Availability (as defined in the Revolver Agreement, as in effect on the date hereof) is not less than $45,000,000, to pay a portion of such interest equal to 5% per annum in cash. Interest shall accrue from the date the Loans are advanced or the Obligation is incurred or payable, until paid by Borrowers.
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Samples: Term a Loan Agreement (Apparel Holding Corp.), Loan Agreement (Apparel Holding Corp.), Term a Loan Agreement (Apparel Holding Corp.)