Adjusted Texas Ratio definition
Adjusted Texas Ratio means a fraction, expressed as a percentage, where the numerator is Non-Performing Assets, and where the denominator is the sum of Bank’s Tier 1 Capital plus the entire balance of Bank’s loan loss reserve, all determined on a basis satisfactory to Lender.
Adjusted Texas Ratio means the ratio (expressed as a percentage rounded to two decimal places) of (a) Non-Performing Assets to (b) (i) the aggregate amount of total equity capital of the Borrower, each Financial Institution Subsidiary and its subsidiaries, on a consolidated basis, as at the date of determination, plus (ii) the Loan and Lease Allowance as at the date of determination minus (iii) the aggregate amount of all goodwill and other intangible assets of the Borrower, each Financial Institution Subsidiary and its subsidiaries, on a consolidated basis, as at the date of determination.
Examples of Adjusted Texas Ratio in a sentence
As of each Covenant Compliance Date Bank shall maintain an Adjusted Texas Ratio of not more than Twenty-Five Percent (25.00%).