Common use of Supporting Letter of Credit; Cash Collateral Clause in Contracts

Supporting Letter of Credit; Cash Collateral. If, notwithstanding -------------------------------------------- the provisions of Section 2.7(b), any Letter of Credit is outstanding upon the -------------- termination of this Agreement, then upon such termination Borrower shall deposit with Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata Shares, with respect to each Letter of Credit then outstanding, as the Majority Lenders, in their discretion shall specify, either (i) a standby letter of credit (a "Supporting Letter of Credit") in form and substance satisfactory --------------------------- to Agent, issued by an issuer satisfactory to Agent in an amount equal to the greatest amount for which such Letter of Credit may be drawn, under which Supporting Letter of Credit Agent is entitled to draw amounts necessary to reimburse Agent and the Lenders for payments made by Agent and the Lenders under such Letter of Credit or under any credit support or enhancement provided through Agent with respect thereto, or (ii) cash in amounts necessary to reimburse Agent and the Lenders for payments made by Agent or the Lenders under such Letter of Credit or under any credit support or enhancement provided through Agent with respect thereto. Each such Supporting Letter of Credit or deposit of cash shall be held by Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata Shares, as security for, and to provide for the payment of, the aggregate undrawn amount of such Letters of Credit remaining outstanding.

Appears in 2 contracts

Samples: Loan and Security Agreement (Pac-West Telecomm Inc), Loan and Security Agreement (Pac-West Telecomm Inc)

AutoNDA by SimpleDocs

Supporting Letter of Credit; Cash Collateral. If, notwithstanding -------------------------------------------- the provisions of Section 2.7(b), 2.4(b) any Letter of Credit is outstanding upon the -------------- termination of this Agreement, then upon such termination the Borrower shall deposit with the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesLenders, with respect to each Letter of Credit then outstanding, as the Majority Lenders, in their discretion shall specify, either (ix) a standby letter of credit (a "Supporting Letter of Credit") in form and substance satisfactory --------------------------- to the Agent, issued by an issuer satisfactory to the Agent in an amount equal to the greatest amount for which such Letter of Credit may be drawn, under which Supporting Letter of Credit the Agent is entitled to draw amounts necessary to reimburse the Agent and the Lenders for payments made by the Agent and the Lenders under such Letter of Credit or under any credit support or enhancement provided through the Agent with respect thereto, or (iiy) cash in an amount equal to the greatest amount for which such Letter of Credit may be drawn, which amounts necessary shall be used to reimburse the Agent and the Lenders for payments made by the Agent or the Lenders under such Letter of Credit or under any credit support or enhancement provided through the Agent with respect thereto. Each such Such Supporting Letter of Credit or deposit of cash shall be held by the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesLenders, as security for, and to provide for the payment of, the aggregate undrawn amount of such Letters of Credit remaining outstanding.

Appears in 1 contract

Samples: Loan and Security Agreement (LDM Technologies Inc)

Supporting Letter of Credit; Cash Collateral. If, -------------------------------------------- notwithstanding -------------------------------------------- the provisions of Section 2.7(b)1.4(b) and Section 10.1, any Letter of -------------- ------------ Credit or Credit Support is outstanding upon the -------------- termination of this Agreement, then upon such termination Borrower the Borrowers shall deposit with the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesAgent and the Lenders, with respect to each such Letter of Credit or Credit Support then outstanding, as the Majority Lenders, Agent in their its discretion shall specify, either (i) a standby letter of credit (a "Supporting Letter of -------------------- Credit") ), in form and substance satisfactory --------------------------- to the Agent, issued by an issuer ------ satisfactory to the Agent in an amount equal to the greatest amount for which such Letter of Credit or Credit Support may be drawndrawn plus any fees and expenses associated with such Letter of Credit or Credit Support, under which Supporting Letter of Credit the Agent is entitled to draw amounts necessary to reimburse the Agent and the Lenders for payments to be made by the Agent and the Lenders under such Letter of Credit or under Credit Support and any credit support fees and expenses associated with such Letter of Credit or enhancement provided through Agent with respect thereto, Credit Support or (ii) cash in amounts an amount necessary to reimburse the Agent and the Lenders for payments to be made by the Agent or and the Lenders under such Letter of Credit or under Credit Support and any credit support fees and expenses associated with such Letter of Credit or enhancement provided through Agent with respect theretoCredit Support. Each such Such Supporting Letter of Credit or deposit of cash shall be held by the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesAgent and the Lenders, as security for, and to provide for the payment of, the aggregate undrawn amount of such Letters of Credit or Credit Support remaining outstanding.

Appears in 1 contract

Samples: Credit Agreement (Encore Medical Corp)

Supporting Letter of Credit; Cash Collateral. (i) If, notwithstanding -------------------------------------------- the provisions of Section 2.7(b), 2.2(b) any Letter of Credit is outstanding upon the -------------- termination of this Agreement, then upon such termination Borrower the Borrowers shall deposit with the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesSecured Creditors, with respect to each Letter of Credit then outstanding, as the Majority Lenders, in their discretion Agent shall specify, either (iA) a standby letter of credit (a "Supporting Letter of Credit") in form and substance satisfactory --------------------------- to the Agent, issued by an issuer satisfactory to the Agent in an amount equal to the greatest amount for which such Letter of Credit may be drawn, under which Supporting Letter of Credit the Agent is entitled to draw amounts necessary to reimburse the Agent and the Lenders for payments made by the Agent and the Lenders under such Letter of Credit or under any credit support or enhancement provided through the Agent with respect thereto, or (iiB) cash in amounts necessary to reimburse the Agent and the Lenders for payments made by the Agent or the Lenders under such Letter of Credit or under any credit support or enhancement provided through the Agent with respect thereto. Each such Such Supporting Letter of Credit or deposit of cash shall be held by the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesSecured Creditors, as security for, and to provide for the payment of, the aggregate undrawn amount of such Letters of Credit remaining outstanding. (ii) The Borrowers shall, upon the request of the Agent, which may be made at any time that (A) an Event of Default has occurred and is continuing, or (B) Availability is less than zero, deliver to the Agent cash collateral for any Letter of Credit outstanding.

Appears in 1 contract

Samples: Loan and Security Agreement (Laclede Steel Co /De/)

Supporting Letter of Credit; Cash Collateral. If, notwithstanding -------------------------------------------- the provisions of Section 2.7(b2.5(b), any Letter of Credit is outstanding upon -------------- the -------------- termination of this Agreement, then upon such termination Borrower shall deposit with Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesLender, with respect to each Letter of Credit or Credit Support then outstanding, as the Majority Lenders, at Lender in their its discretion shall specify, either (iA) a standby letter of credit (a "Supporting Letter of Credit") in form --------------------------- and substance satisfactory --------------------------- to AgentLender, issued by an issuer satisfactory to Agent Lender in an amount equal to the greatest amount for which such Letter of Credit or such Credit Support may be drawndrawn plus any fees and expenses associated with such Letter of Credit or such Credit Support, under which Supporting Letter of Credit Agent Lender is entitled to draw amounts necessary to reimburse Agent and the Lenders Lender for payments to be made by Agent and the Lenders Lender under such Letter of Credit or under Credit Support and any credit support fees and expenses associated with such Letter of Credit or enhancement provided through Agent with respect theretoCredit Support, or (iiB) cash in amounts necessary to reimburse Agent and the Lenders Lender for payments made by Agent or the Lenders Lender under such Letter of Credit or under such Credit Support and any credit support or enhancement provided through Agent fees and expenses associated with respect theretosuch Letter of Credit. Each such Such Supporting Letter of Credit or deposit of cash shall be held by Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata Shares, Lender as security for, and to provide for the payment of, the aggregate undrawn amount of such Letters of Credit or such Credit Support remaining outstanding.

Appears in 1 contract

Samples: Loan and Security Agreement (Acr Group Inc)

Supporting Letter of Credit; Cash Collateral. If, ------------------------------------------------------ notwithstanding -------------------------------------------- the provisions of Section 2.7(b), 2.4(b) and Section 12.1 any Letter of -------------- ------------ Credit is outstanding upon the -------------- termination of this Agreement, then upon such termination Borrower the Borrowers shall deposit with the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesAgent and the Lenders, with respect to each Letter of Credit then outstanding, as the Majority Lenders, in their discretion shall specify, either (iA) a standby letter of credit (a "Supporting Letter of Credit") in form and substance satisfactory --------------------------- to the Agent, issued by an issuer satisfactory to the Agent in an amount equal to the greatest amount for which such Letter of Credit may be drawndrawn plus any fees and expenses associated with such Letter of Credit, under which Supporting Letter of Credit the Agent is entitled to draw amounts necessary to reimburse the Agent and the Lenders for payments to be made by the Agent and the Lenders under such Letter of Credit or under any credit support or enhancement Credit Support provided through the Agent with respect theretothereto and any fees and expenses associated with such Letter of Credit, or (iiB) cash in amounts necessary to reimburse the Agent and the Lenders for payments made by the Agent or the Lenders under such Letter of Credit or under any credit support or enhancement Credit Support provided through the Agent with respect theretothereto and any fees and expenses associated with such Letter of Credit. Each such Such Supporting Letter of Credit or deposit of cash shall be held by the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesAgent and the Lenders, as security for, and to provide for the payment of, the aggregate undrawn amount of such Letters of Credit remaining outstanding.

Appears in 1 contract

Samples: Loan and Security Agreement (Envirosource Inc)

Supporting Letter of Credit; Cash Collateral. If, notwithstanding If -------------------------------------------- the provisions of Section 2.7(b), any Letter of Credit is outstanding upon the -------------- termination of this Agreement, then upon such termination the Borrower shall deposit with the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesLenders, with respect to each Letter of Credit then outstanding, as the Majority Lenders, in their sole discretion shall specify, either (iA) a standby letter of credit (a "Supporting Letter of Credit") --------------------------- in form and substance satisfactory --------------------------- to the Agent, issued by an issuer satisfactory to the Agent and in an amount equal to the greatest amount for which such Letter of Credit may be drawn, under which Supporting Letter of Credit the Agent is entitled to draw amounts necessary to reimburse the Agent and the Lenders for payments made by the Agent and the Lenders under such Letter of Credit or under any credit support or enhancement provided through the Agent with respect thereto, or (iiB) cash in amounts necessary to reimburse the Agent and the Lenders for payments made or to be made (including, without limitation, the amount that the Agent estimates will be necessary to cover its expenses and legal fees in connection therewith) by the Agent or the Lenders under such Letter of Credit or under any credit support or enhancement provided through the Agent with respect thereto. Each such Such Supporting Letter of Credit or deposit of cash shall be held by the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesLenders, as security for, and to provide for the payment of, the aggregate undrawn amount of such Letters of Credit remaining outstanding.

Appears in 1 contract

Samples: Credit Agreement (Motivepower Industries Inc)

AutoNDA by SimpleDocs

Supporting Letter of Credit; Cash Collateral. If, notwithstanding -------------------------------------------- the provisions of Section 2.7(b)1.4(b) and Section 10.1, any Letter of Credit is outstanding upon the -------------- termination of this Agreement, then upon such termination Borrower the Borrowers shall deposit with the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesAgent and the Lenders, with respect to each such Letter of Credit then outstanding, as the Majority Lenders, Agent in their its discretion shall specify, either (i) a standby letter of credit (a "Supporting Letter of Credit") ), in form and substance satisfactory --------------------------- to the Agent, issued by an issuer satisfactory to the Agent in an amount equal to the greatest amount for which such Letter of Credit may be drawndrawn plus any fees and expenses associated with such Letter of Credit, under which Supporting Letter of Credit the Agent is entitled to draw amounts necessary to reimburse the Agent and the Lenders for payments to be made by the Agent and the Lenders under such Letter of Credit or under and any credit support or enhancement provided through Agent fees and expenses associated with respect thereto, such Letter of Credit or (ii) cash in amounts an amount necessary to reimburse the Agent and the Lenders for payments to be made by the Agent or and the Lenders under such Letter of Credit or under and any credit support or enhancement provided through Agent fees and expenses associated with respect theretosuch Letter of Credit. Each such Such Supporting Letter of Credit or deposit of cash shall be held by the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesAgent and the Lenders, as security for, and to provide for the payment of, the aggregate undrawn amount of such Letters of Credit remaining outstanding.

Appears in 1 contract

Samples: Credit Agreement (Brown Shoe Co Inc/)

Supporting Letter of Credit; Cash Collateral. If, notwithstanding -------------------------------------------- the provisions of Section 2.7(b), 2.4(b) any Letter of Credit is outstanding upon the -------------- termination of this Agreement, then upon such termination the Borrower shall deposit with the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesLenders, with respect to each Letter of Credit then outstanding, as the Majority Lenders, in their discretion shall specify, either (ix) a standby letter of credit (a "Supporting Letter of Credit") in form and substance satisfactory --------------------------- to the Agent, issued by an issuer satisfactory to the Agent in an amount equal to the greatest amount for which such Letter of Credit may be drawn, under which Supporting Letter of Credit the Agent is entitled to draw amounts necessary to reimburse the Agent and the Lenders for payments made by the Agent and the Lenders under such Letter of Credit or under any credit support or enhancement provided through the Agent with respect thereto, or (iiy) cash in amounts necessary to reimburse the Agent and the Lenders for payments made by the Agent or the Lenders under such Letter of Credit or under any credit support or enhancement provided through the Agent with respect thereto. Each such Such Supporting Letter of Credit or deposit of cash shall be held by the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesLenders, as security for, and to provide for the payment of, the aggregate undrawn amount of such Letters of Credit remaining outstanding.

Appears in 1 contract

Samples: Loan and Security Agreement (LDM Technologies Co)

Supporting Letter of Credit; Cash Collateral. If, notwithstanding -------------------------------------------- the provisions of Section 2.7(b)1.4(b) and Section 10.1, any Letter of Credit is outstanding upon the -------------- termination of this Agreement, then upon such termination Borrower the Borrowers shall deposit with the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesAgent and the Lenders, with respect to each such Letter of Credit then outstanding, as the Majority Lenders, Agent in their its discretion shall specify, either (i) a standby letter of credit (a "β€œSupporting Letter of Credit") ”), in form and substance satisfactory --------------------------- to the Agent, issued by an issuer satisfactory to the Agent in an amount equal to the greatest amount for which such Letter of Credit may be drawndrawn plus any fees and expenses associated with such Letter of Credit, under which Supporting Letter of Credit the Agent is entitled to draw amounts necessary to reimburse the Agent and the Lenders for payments to be made by the Agent and the Lenders under such Letter of Credit or under and any credit support or enhancement provided through Agent fees and expenses associated with respect thereto, such Letter of Credit or (ii) cash in amounts an amount necessary to reimburse the Agent and the Lenders for payments to be made by the Agent or and the Lenders under such Letter of Credit or under and any credit support or enhancement provided through Agent fees and expenses associated with respect theretosuch Letter of Credit. Each such Such Supporting Letter of Credit or deposit of cash shall be held by the Agent, for the ratable benefit of the Lenders in proportion to their Pro Rata SharesAgent and the Lenders, as security for, and to provide for the payment of, the aggregate undrawn amount of such Letters of Credit remaining outstanding.

Appears in 1 contract

Samples: Credit Agreement (Encore Medical Corp)

Draft better contracts in just 5 minutes Get the weekly Law Insider newsletter packed with expert videos, webinars, ebooks, and more!