Financial Condition Covenant definition

Financial Condition Covenant as defined in Section 7.1(b)(i).
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Financial Condition Covenant and collectively, the “Financial Condition Covenants”) until the expiration of the day that is ten (10) Business Days after the earlier of (i) the date the Compliance Certificate calculating such covenants is required to be delivered pursuant to Section 6.2(a)(ii)(x) or (ii) the date such Compliance Certificate is actually delivered, Holdings shall have the right to issue Capital Stock (other than Disqualified Stock) for cash or otherwise receive cash contributions to the capital of Holdings (collectively, the “Cure Right”) in order to prepay the Term Loans, without penalty or premium, with such amounts as are necessary to be in compliance with the Financial Condition Covenants (the “Cure Amount”). In no event shall the Cure Amount be greater than the amount required for purposes of complying with the Financial Condition Covenants as set forth herein. The Cure Amount will be used solely to prepay the Term Loans and shall be applied to the prepayment of installments due in respect of the Term Loans in inverse order of maturity. The Cure Right may be exercised not more than two (2) two times in any four (4) consecutive fiscal quarters period (and may not be exercised in consecutive fiscal quarters), and not more than four (4) times prior to the later of (x) the Revolving Termination Date or (y) the Term Loan Maturity Date. Upon the Administrative Agent’s receipt of the Cure Amount, the Financial Condition Covenants shall be recalculated (for such period and shall be so calculated for any subsequent period that includes the fiscal quarter in respect of which the Cure Right was exercised) giving effect to the following pro forma adjustments: (a) Consolidated Adjusted EBITDA shall be increased by the lesser of (i) 20% of Consolidated Adjusted EBITDA (calculated prior to giving effect to the Cure Amount) and (ii) the Cure Amount and (b) if, after giving effect to the foregoing calculations, Borrower is in compliance with the requirements of the Financial Covenants, then Borrower shall be deemed to have satisfied such Financial Condition Covenant as of the relevant date of determination with the same effect as though there had been no failure to comply therewith at such date, and the applicable breach or default of the Financial Condition Covenants that occurred shall be deemed cured for the purposes of this Agreement. The resulting increase to Consolidated Adjusted EBITDA from the exercise of the Cure Right shall not result in any adjustment to Consolidated Adju...
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Financial Condition Covenant shall have the meaning set forth in Section 8.5(a).
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Examples of Financial Condition Covenant in a sentence

  • To the extent a fiscal quarter ended for which the Financial Condition Covenants are initially recalculated as a result of a Cure Right is included in the calculation of a Financial Condition Covenant in a subsequent fiscal period, the Cure Amount shall be included in the amount of Operating Cash Flow for such initial fiscal period.

  • Notwithstanding anything herein to the contrary, (a) in no event shall Parent be entitled to exercise the Cure Right in more than two consecutive fiscal quarters and (b) each Cure Amount shall not exceed the amount required to cure the applicable failure to comply with a Financial Condition Covenant.

  • Notwithstanding anything herein to the contrary, (a) in no event shall Holdco be entitled to exercise the Cure Right in more than two consecutive fiscal quarters and (b) each Cure Amount shall not exceed the amount required to cure the applicable failure to comply with a Financial Condition Covenant.

  • Notwithstanding anything in this Agreement to the contrary, to the extent a fiscal quarter ended for which the Financial Condition Covenant is initially recalculated as a result of a Cure Right is included in the calculation of the Financial Condition Covenant in a subsequent fiscal period, the Cure Amount shall be included in the amount of Consolidated EBITDA for such fiscal quarter when calculating the Financial Condition Covenant for such subsequent fiscal period.

  • In no event shall the Cure Amount be greater than the amount required for purposes of complying with the Financial Condition Covenant as set forth herein.

  • To the extent a fiscal quarter ended for which the Financial Condition Covenants are initially recalculated as a result of a Cure Right is included in the calculation of a Financial Condition Covenant in a subsequent fiscal period, the Cure Amount shall be included in the amount of Consolidated EBITDA for such initial fiscal period.


More Definitions of Financial Condition Covenant

Financial Condition Covenant the covenants set forth in Sections 7.13, 7.14 and 7.15.
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Financial Condition Covenant is defined in Section 7.1(bc). ​ ​
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Financial Condition Covenant means the covenant set forth in Section 6.7.
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Financial Condition Covenant each covenant set forth in Section 7.1.
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Related to Financial Condition Covenant

  • Financial Covenant means the covenant set forth in Section 7.09.

  • Financial Covenants means the covenants set forth in Section 6.2.

  • Special Condition means a condition of a Transporter's Licence or Shipper's Licence other than a Standard Condition;

  • Financial Covenant Default has the meaning assigned to such term in Section 8.01(6).

  • Special Conditions means Special Conditions of Contract, which override the General Conditions, also referred to as SCC.

  • Financial Performance Covenants means the covenants of the Borrower set forth in Sections 6.10 and 6.11.

  • Financial Performance Covenant means the covenant set forth in Section 6.10.

  • Financial Covenant Event of Default has the meaning specified in Section 8.01(b).

  • Maintenance Covenant A covenant by any borrower to comply with one or more financial covenants (including without limitation any covenant relating to a borrowing base, asset valuation or similar asset-based requirement) during each reporting period, that exists regardless of whether or not such borrower has taken any specified action and includes a covenant that applies only when the related loan is funded.

  • Previously Absent Financial Maintenance Covenant means, at any time, any financial maintenance covenant that is not included in the Loan Documents at such time.

  • Terminal condition means an incurable condition caused by injury, disease, or illness that according to reasonable medical judgment will produce death within six months, even with available life-sustaining treatment provided in accordance with the prevailing standard of medical care.

  • Financial Default means the total cessation or partial suspension of operations due to insolvency, with or without the filing of a bankruptcy petition by a tour operator, Cruise line, or airline.

  • Covenant Compliance Worksheet means a fully completed worksheet in the form of Attachment A to Exhibit C.