Eligible Commodity Hedging Agreement means any Commodity Hedging Agreement entered into by any Credit Party with respect to natural gas which, at the time such Commodity Hedging Agreement is entered into, (a) is structured such that the Counterparty’s exposure, when combined with all other Commodity Hedging Agreements outstanding with such Counterparty, is expected to respond to broad changes in commodity prices in the same direction as the value of the underlying commodities, services or other property or assets that are subject to such Commodity Hedging Agreements and (b) has a term that shall not extend more than two years from the date such Commodity Hedging Agreement is entered into.
Eligible Commodity Hedging Agreement means any Commodity Hedging Agreement entered into by the Borrower or any Subsidiary Guarantor with an Eligible Commodity Hedging Counterparty, which, individually or together with other Commodity Hedging Agreements (other than Commodity Hedging Agreements that are either unsecured, are supported by letters of credit or Guarantees from Persons that are not Loan Parties (but, in each case, not secured by all or substantially all of the assets of any Loan Party)) entered into or being entered into with such counterparty or its affiliates, is at the time entered into reasonably expected to hedge the anticipated exposure of the Borrower or the relevant Subsidiary Guarantor(s) to one or more commodity price risks relating to the business and operations of the Borrower or the relevant Subsidiary Guarantor; provided that any Commodity Hedging Agreement that is entered into to offset all or any portion of an outstanding Eligible Commodity Hedging Agreement shall constitute an Eligible Commodity Hedging Agreement so long as, at the time entered into, such offsetting Commodity Hedging Agreement, together with all other outstanding Eligible Commodity Hedging Agreements, in the aggregate, are reasonably expected to hedge the anticipated exposure of the Borrower or the relevant Subsidiary Guarantor(s) to one or more commodity price risks relating to the business and operations of the Borrower or the relevant Subsidiary Guarantor.
Eligible Commodity Hedging Agreement any Commodity Agreement entered into by any Loan Party from time to time which (i) is intended to reduce risk to the Company or any Restricted Subsidiary associated with fluctuations in the price or availability of any emissions or fuel-related or energy- or capacity-related commodity or service (“commodity”), and (ii) is structured such that the net xxxx-to-market credit exposure of (a) the counterparties to such Commodity Agreements (taken as a whole) to (b) the Company or any other Loan Party, is (x) positively correlated with the price of the relevant commodity or (y) positively correlated with changes in the relevant fuel to energy spread.
Examples of Eligible Commodity Hedging Agreement in a sentence
If either Borrower or any other Loan Party secures its obligations under any Eligible Commodity Hedging Agreement by granting a Lien on assets not constituting Collateral, then this Agreement shall not apply to such Eligible Commodity Hedging Agreement and the rights and remedies of the counterparty thereto (including rights of foreclosure, setoff and netting) shall not in any way be limited by this Agreement.
For the avoidance of doubt, any calculation of a Hedge Outstanding Amount in respect of an Eligible Commodity Hedging Agreement involving the purchase of fuel or the sale of power shall include, without limitation, consideration of the contractual value of any fuel or power, as applicable, which has been delivered on or before the date of the relevant calculation, but for which payment has not been made by the buyer of such fuel or power.
More Definitions of Eligible Commodity Hedging Agreement
Eligible Commodity Hedging Agreement means any Commodity Hedging Agreement entered into by a Person or any Subsidiary with an Eligible Commodity Hedging Counterparty, which, individually or together with other Commodity Hedging Agreements (other than Commodity Hedging Agreements that are either unsecured, are supported by letters of credit or third-party Guarantees (and, in each case, not secured by all or substantially all of the assets of the Person or the relevant Subsidiary)) entered into or being entered into with such counterparty or its affiliates, is at the time entered into reasonably expected to hedge the anticipated exposure of the Person or the relevant Subsidiary to one or more commodity price risks relating to the business and operations of the Person or the relevant Subsidiary; provided that any Commodity Hedging Agreement that is entered into to offset all or any portion of an outstanding Eligible Commodity Hedging Agreement shall constitute an Eligible Commodity Hedging Agreement so long as, at the time entered into, such offsetting Commodity Hedging Agreement, together with all other outstanding Eligible Commodity Hedging Agreements, in the aggregate, are reasonably expected to hedge the anticipated exposure of the Person or the relevant Subsidiary to one or more commodity price risks relating to the business and operations of the Person or the relevant Subsidiary.
Eligible Commodity Hedging Agreement means any Commodity Hedging Agreement entered into by any Opco Loan Party with an Eligible Commodity Hedging Counterparty from time to time in order to manage fluctuations in the price or availability to the Borrower or any Restricted Subsidiary of any commodity, which, individually or together with other Commodity Hedging Agreements (other than Commodity Hedging Agreements that are either unsecured, are supported by letters of credit or Guarantees (but not secured by all or substantially all of the assets of any Opco Loan Party) or constitute Parity Lien Obligations) entered into or being entered into with such counterparty or its affiliates, is structured such that the net mxxx-to-market credit exposure of (a) the counterparties to such Commodity Hedging Agreements (taken as a whole) to (b) the Company or any other Opco Loan Party, is positively correlated with the price of the relevant commodity or positively correlated with changes in the relevant spark spread.
Eligible Commodity Hedging Agreement means any Commodity Hedging Agreement entered into by any Loan Party with an Eligible Commodity Hedging Counterparty from time to time in order to manage fluctuations in the price or availability to the Borrower or any Restricted Subsidiary of any commodity, which, individually or together with other Commodity Hedging Agreements (other than Commodity Hedging Agreements that are either unsecured, are supported by letters of credit or Guarantees (but not secured by all or substantially all of the assets of any Loan Party) or constitute Parity Lien Obligations) entered into or being entered into with such counterparty or its affiliates, is structured such that the net mark-to-market credit exposure of (a) the counterparties to such Commodity Hedging Agreements (taken as a whole) to (b) the Borrower or any other Loan Party, is positively correlated with the price of the relevant commodity or positively correlated with changes in the relevant spark spread.
Eligible Commodity Hedging Agreement means an “Eligible Commodity Hedging Agreement” as defined in the Credit Agreement as in effect on the Closing Date.
Eligible Commodity Hedging Agreement means (a) the GS Commodity Hedging Agreement and the MS Commodity Hedging Agreement and (b) any other Commodity Hedging Agreement entered into by the Borrower or any Restricted Subsidiary that has both of the following characteristics: (i) the purpose of such Commodity Hedging Agreement is to protect the Borrower or such Restricted Subsidiary against fluctuations in power and/or gas prices; and (ii) such Commodity Hedging Agreement is structured such that the counterparty’s credit exposure and actual or projected xxxx-to-market exposure to the Borrower or such Restricted Subsidiary is positively correlated with power and/or gas prices.
Eligible Commodity Hedging Agreement means a Commodity Hedging Agreement between a Loan Party and an Eligible Hedging Counterparty which provides for payment of amounts owing upon the closing of such Commodity Hedging Agreement within eight days of such closing.
Eligible Commodity Hedging Agreement means any Commodity Hedging Agreement entered into by any Grantor with an Eligible Commodity Hedging Counterparty from time to time in order to manage fluctuations in the price or availability to any Borrower or any Restricted Subsidiary (under and as defined in the Credit Agreement) of any commodity, which, individually or together with other Commodity Hedging Agreements (other than Commodity Hedging Agreements that are either unsecured, are supported by letters of credit or Guarantees (but not secured by all or substantially all of the assets of any Grantor) or constitute Second Lien Obligations) entered into or being entered into with such counterparty or its affiliates, is structured such that the net xxxx-to-market credit exposure of (a) the counterparties to such Commodity Hedging Agreements (taken as a whole) to (b) a Borrower or any other Grantor, is positively correlated with the price of the relevant commodity or positively correlated with changes in the relevant spark spread.