Receivables Subsidiary. The Borrower will not, and will not permit any of its Subsidiaries to, permit the Receivables Subsidiary to engage in any business (including, without limitation, the incurrence of any Indebtedness or the creation of any Lien on any of its assets) other than the performance of its obligations under the Receivables Purchase Documents and all actions reasonably incidental thereto.
Receivables Subsidiary. Notice of the designation of a Receivables Subsidiary by the Board of Directors of the Borrower.
Receivables Subsidiary. The Borrower may at any time after the Closing Date designate any Obligor (other than a Principal Obligor) (or, following the formation or acquisition by any Obligor of a Subsidiary, such Subsidiary) as a Receivables Subsidiary, so long as (i) after giving pro forma effect thereto, the Borrower would be compliance with the covenants in Section 6.3 on the date of such designation and (ii) no Collateral Coverage Failure, Default or Event of Default has occurred and is continuing or would result therefrom. The designation of any Obligor (or, following the formation or acquisition by any Obligor of a Subsidiary, such Subsidiary) as a Receivables Subsidiary after the Closing Date shall constitute an Investment by the applicable Obligor therein at the date of designation in an amount equal to the fair market value of the applicable Obligor’s investment therein. In connection with the foregoing designation of a Receivables Subsidiary, (x) such designated Receivables Subsidiary shall be released from its Guarantee of the Obligations (whether pursuant to the Guaranty or otherwise) and (y) any Liens on such designated Receivables Subsidiary and any of the Collateral of such designated Receivables Subsidiary shall be released.
Receivables Subsidiary. Any Subsidiary of Zale, the principal purpose of which is to provide funds for working capital or other general corporate purposes to Zale Xxxaware and its Subsidiaries through the transfer of receivables created by Zale, Xxxx Xxxaware or their Subsidiaries (or of instruments received in consideration of receivables transferred pursuant to the Receivables Facility Documents).
Receivables Subsidiary. The Receivables Subsidiary was formed for the purpose of purchasing, and receiving contributions of, receivables from each of the Borrowers (other than Furniture Brands) and their respective Restricted Subsidiaries, and selling such receivables to, or obtaining secured loans from, the Receivables Purchasers, pursuant to the Receivables Facility and except in connection with the foregoing (and activities reasonably incidental thereto), the Receivables Subsidiary engaged in no business activities and had no significant assets or liabilities and in no event purchased receivables from any Unrestricted Subsidiary. On the Fourth Amendment Effective Date, and following the termination of the Receivables Facility, the Receivable Subsidiary has been liquidated.
