dilution risk definition

dilution risk means the risk that an amount receivable is reduced through cash or non-cash credits to the obligor;
dilution risk means the possibility that the amount of a receivable is reduced through cash or non-cash credits to the receivable’s obligor.
dilution risk means the possibility that the receivable amount is reduced through cash or non-cash credits to the receivables obligor.

More Definitions of dilution risk

dilution risk means the risk to the bank, as the transferee of a receivable, that the legal position of the debtor will be upheld after the transfer of the receivable or that the bank has not been adequately informed about the transferred receivable;
dilution risk means the risk that an amount receivable is reduced through cash or non-cash credits to the obligor;” [11, Article 4(1)(53)].
dilution risk means the risk that the amount of purchased receivables is reduced due to the agreement between the seller of receivables and the receivables’ obligor. For example, the seller of receivables offers discount to the receivables’ obligor when the obligor makes payment within a specified period of time, or returns of goods sold within a specified period of time due to disputes regarding product quality, or any other obligations between the seller and the obligor.
dilution risk means the risk that the size of the receivable will decrease due to the provision of monetary or non-monetary payment to the obligor,

Related to dilution risk

  • Dilution Percent the percent, determined for Borrowers’ most recent Fiscal Quarter, equal to (a) bad debt write-downs or write-offs, discounts, returns, promotions, credits, credit memos and other dilutive items with respect to Accounts, divided by (b) gross sales.

  • Dilution Reserve means, as of any date of determination, an amount sufficient to reduce the advance rate against Eligible Accounts by 1 percentage point for each percentage point by which Dilution is in excess of 5%.

  • Economic loss means any economic detriment suffered by a victim as a direct and proximate result of the commission of an offense and includes any loss of income due to lost time at work because of any injury caused to the victim, and any property loss, medical cost, or funeral expense incurred as a result of the commission of the offense. "Economic loss" does not include

  • Risk Weighted Assets means the risk weighted assets or total risk exposure amount, as calculated by the Company in accordance with the Capital Regulations applicable to the Regulatory Group as at that point in time.