Common use of Total Funded Debt to Capitalization Clause in Contracts

Total Funded Debt to Capitalization. The Borrower will maintain a ratio of (i) Total Funded Debt to (ii) Capitalization at all times less than or equal to 0.65 to 1.0. In making the preceding calculation, the following shall be excluded: (A) Indebtedness incurred by the Borrower or any Subsidiary in connection with the issuance of Environmental Trust Bonds and interest thereon, (B) Trust Preferred Stock and other Hybrid Equity Securities, (C) Power the Future Capitalized Leases, and (D) variable interest entities whose financial statements are consolidated with those of the Borrower and its Subsidiaries solely because of Financial Accounting Standards Board Staff Position FIN 46R-5 Implicit Variable Interests under FASB Interpretations 46 (revised December 2003).

Total Funded Debt to Capitalization. The Borrower will maintain a ratio of (i) Total Funded Debt to (ii) Capitalization at all times less than or equal to 0.65 0.70 to 1.0. In making the preceding calculation, the following shall be excluded: (A) Indebtedness incurred by the Borrower or any Subsidiary in connection with the issuance of Environmental Trust Bonds and interest thereon, (B) Trust Preferred Stock and other Hybrid Equity Securities, (C) Power the Future Capitalized Leases, and (D) variable interest entities whose financial statements are consolidated with those of the Borrower and its Subsidiaries solely because of Financial Accounting Standards Board Staff Position FIN 46R-5 Implicit Variable Interests under FASB Interpretations Interpretation 46 (revised December 2003).