AHYDO Payments. “applicable high yield discount obligations” (within the meaning of Section 163(i)(1) of the Code) “catch-up” payments in respect of any Indebtedness (including the Mezzanine Loans, any Permitted Subordinated Indebtedness and any Indebtedness incurred pursuant to Section 7.2(v)) the incurrence of which is not otherwise prohibited hereunder to the extent such Indebtedness provides for the payment of interest on all or any portion of the principal amount of such Indebtedness by adding such interest to the principal amount thereof.

AHYDO Payments means any cash interest payments of accrued interest on any applicable Junior Indebtedness (including interest paid in kind since the applicable issuance date) at such times (on or prior to the close of any accrual period ending after the date five years after the applicable issuance date of such Junior Indebtedness) and in such amounts as necessary so that such Junior Indebtedness will not have “significant original issue discount” and thus will not be treated as “applicable high yield discount obligations”, in each case, within the meaning of Section 163(i) of the Code.

AHYDO Payments means any cash interest payments of accrued interest on any applicable Debt (including interest paid in kind since the applicable issuance date) at such times (on or after the close of any accrual period ending after the date five years after the applicable issuance date) and in such amounts as necessary so that such Debt will not have “significant original issue discount” and thus will not be treated as “applicable high yield discount obligations”, in each case, within the meaning of Section 163(i) of the Code.

Examples of AHYDO Payments in a sentence

Notwithstanding the foregoing, nothing in this Section 7.8 shall prohibit any AHYDO Payments in respect of the Mezzanine Facility Indebtedness or any Permitted Subordinated Indebtedness or, in each case, any Permitted Refinancing thereof.
For the avoidance of doubt, the making of any AHYDO Payments shall be permitted so long as such AHYDO Payments are made after the fifth anniversary of the incurrence of the Junior Financing to which such AHYDO Payments apply.
Notwithstanding the foregoing, nothing in this Section 6.8 shall prohibit any AHYDO Payments in respect of any Permitted Subordinated Indebtedness or, in each case, any Permitted Refinancing thereof.
No AHYDO Payments (as defined in the Praesidian Subordination Agreement) are or will be owed in connection with the Praesidian Facility.

More Definitions of AHYDO Payments

AHYDO Payments means payments with respect to the Senior Notes (or any Permitted Refinancing thereof) that are necessary to avoid such financing as being treated as having “significant original issue discount” within the meaning of Section 163(i)(1)(C) of the Code.

AHYDO Payments means any payments made in cash in order to cause the amount of accrued but unpaid interest or original issue discount on any Debt, as of the end of any “accrual period” within the meaning of Internal Revenue Code §163(i)(2)(A) or any successor or similar provision, on such Debt not to exceed the product of (x) the issue price (as defined in Internal Revenue Code §§1273(b) and 1274(a) or any successor or similar provision) of such Debt and (y) the yield to maturity (within the meaning of Internal Revenue Code §163(i)(2)(B)(ii) or any successor or similar provision) of such Debt.

AHYDO Payments means, on any interest payment date in respect of the Subordinated Notes following the fifth anniversary of the issue date of the Subordinated Notes, payment of an additional amount on the Subordinated Debt equal to the excess, if any, of the Aggregate Amount (defined below) over the Maximum Accrual (defined below) if the aggregate amounts which would be includible in gross income of any holder of the Subordinated Debt with respect to such Subordinated Debt for all periods ending on or before such interest period date (the “Aggregate Amount”) would exceed an amount equal to the sum of (A) the aggregate amount of interest to be paid (within the meaning of Section 163(i) of the Internal Revenue Code of 1986, as amended or otherwise modified from time to time (the “IRC”)) on the Subordinated Debt (determined without regard to the amounts payable under this provision) before such interest period date and (B) the product of the issue price of the Subordinated Debt (as defined in sections 1273(b) and 1274(a) of the IRC) and its yield to maturity (interpreted in accordance with section 163(i) of the IRC) (such sum being the “Maximum Accrual”).

AHYDO Payments is hereby deleted in its entirety.

AHYDO Payments means, with respect to the Mezzanine Facility or any Permitted Refinancing thereof, payments on such Junior Financing that are necessary to avoid such Junior Financing being treated as having “significant original issue discount” within the meaning of Section 163(i)(1)(C) of the Code.

AHYDO Payments means, without duplication, with respect to any prepayment for then-outstanding Senior Subordinated Notes or the notes issued pursuant to a Permitted Additional Debt transaction (collectively, the “Relevant Notes”) for any “accrual period” (as defined in Treasury Regulation Section 1.1272-1(b)(1)(ii)) ending after five years from the date of issuance of the Relevant Notes, an aggregate amount equal to (a) the sum of all interest that would be includible in gross income with respect to such Relevant Notes before the close of such accrual period (including all original issue discount) minus (b) an amount equal to the sum of (i) all cash interest payments made with respect to such Relevant Notes before the close of such accrual period (including the aggregate amount of all payments previously made as AHYDO Payments) and (ii) the product of (x) the issue price (as defined in Section 1273(b) and 1274(a) of the Code) of the Relevant Notes and (y) the yield to maturity of the Relevant Notes, all such items to be calculated as required under Section 163(i) of the Code, the timely payment of which hereunder shall cause such Relevant Notes not to be an “applicable high yield discount obligation” within the meaning of Section 163(i)(1) of the Code.