Hedge Requirements definition
Hedge Requirements means the requirements of the Borrower to (i) within two (2) Business Days of the Original Closing Date, each Funding Date, each Payment Date and the date of any Takeout Transaction, enter into forward-starting interest rate swap agreements with a Qualifying Hedge Counterparty with a forward start date no later than the Facility Maturity Date to an aggregate DV01 exposure of within +/- 5.0% of the then present value of such forward-starting interest rate swap agreement according to the aggregate Expected Amortization Profile of the Aggregate Outstanding Advances and, to the extent the expected notional balance of the Aggregate Outstanding Advances is equal to or greater than $[***], with an amortizing notional balance schedule which, after giving effect to such interest rate swap agreement, will cause not greater than [***]% and not less than [***]% of the aggregate Expected Amortization Profile to be subject to a fixed interest rate, with each such interest rate swap agreement being entered into at the market fixed versus SOFR (in such type as determined by the Administrative Agent) as at the date of the execution thereof and (ii) upon the election of the Borrower or no later than five (5) Business Days following the occurrence of a Hedge Trigger Event, each Funding Date, each Payment Date and the date of any Takeout Transaction, enter into one or more interest rate swap or cap agreements with a Qualifying Hedge Counterparty, under which the Borrower will expect to, at all times until the Facility Maturity Date, receive on or about each Payment Date, an amount required to maintain a fixed interest rate or interest rate protection at then current market interest rates on not greater than [***]% and not less than [***]% of the Expected Amortization Profile through the Facility Maturity Date (determined after giving effect to Advances and payments made on the applicable Funding Date) (it being understood that an interest rate swap agreement entered into under clause (i) of this definition of “Hedge Requirements” (to the extent the effective date thereof is earlier than the Facility Maturity Date) may be taken into account in determining whether the Borrower satisfies the requirements of this clause (ii)); provided, that, notwithstanding anything to the contrary contained in this Agreement, the Borrower shall be permitted to enter into other types of derivative agreements in order to satisfy the Hedge Requirements subject to the prior written approval of the ...
Hedge Requirements shall have the meaning specified in Section 3.03 of the Indenture and Servicing Agreement.
Hedge Requirements means the requirements of the Borrower to, within two (2) Business Days of each Borrowing Date, enter into and maintain according to the provisions hereof (for the avoidance of doubt, including breakage or modification to remain within the required amortizing schedule) one or more interest rate cap agreements for which the strike rate is not more than [***]%, [***]%, or [***]%, so long as all Hedge Agreements then in effect will have the same elected strike rate; provided that if the Borrower elects to reduce the strike rate across its Hedge Agreements, it must elect a rate no less than an amount equal to (i) the then current market rate of the expected amortization schedule minus (ii) [***]%, (x) entered into with a Qualifying Hedge Counterparty and (y) using an amortizing notional balance schedule that is not less than [***]% of the expected amortization schedule of the aggregate outstanding principal balance of the Loan Notes associated with the Advance made on such date (unless the notional amount of such interest rate cap agreements entered into in connection with prior Advances is sufficient to satisfy such notional balance requirement). Notwithstanding the foregoing, a Hedge Agreement may not contain additional termination dates based on the occurrence of a fixed date prior to the Maturity Date. Each interest rate cap agreement entered into in accordance with this definition shall have floating rate payments with a designated maturity of one month, and be on terms and conditions and pursuant to such documentation as shall be reasonably acceptable to the Administrative Agent. Notwithstanding the foregoing, the Borrower may enter into another type of derivative agreement in order to satisfy the Hedge Requirements that the Administrative Agent approves in writing prior to entering into such agreement, provided that such alternative derivative agreement is not materially adverse to the credit position of the Lenders as compared to the credit position of the Lenders under then existing Hedge Requirement.
Examples of Hedge Requirements in a sentence
The Borrower shall be in compliance with all applicable Hedge Requirements.
The Borrower shall comply with all Hedge Requirements and reporting obligations with respect thereto, including if the Borrower elects to change the strike rate among existing Hedge Agreements, they shall provide notice to the Administrative Agent by delivering an updated Borrowing Base Certificate demonstrating application of the new Advance Rate at least two (2) Business Days prior to the effective date of such Hedge Agreements, along with copies of the proposed Hedge Agreements.
During a Hedging Period which occurs solely as a result of clause (i) of the definition thereof, the Borrower may enter into one or more Hedge Transactions each with an Eligible Hedge Counterparty which satisfy the Hedge Requirements or exercise the Hedge Reserve Option as set forth in Section 5.03(c) hereof.
Upon the commencement of any Hedging Period and at all times thereafter during such Hedging Period, the Borrower shall be party to one or more Hedge Transactions which collectively satisfy the Hedge Requirements or shall provide Hedge Reserve Amounts as set forth in this Section 5.03.
Borrower has amended its existing Hedge Agreements to be in compliance with all Hedge Requirements in effect as of the Second Amendment and Restatement Date and has provided a schedule identifying all Hedge Agreements then in effect and their strike rate (as amended) and an updated Borrowing Base Certificate incorporating any corresponding changes to the applicable Advance Rates.
More Definitions of Hedge Requirements
Hedge Requirements means the requirements of the Borrower to (i) on the Second Amendment Effective Date, enter into an interest rate cap with a notional amount of no less than $[***] and a strike price of no greater than [***]%, and (ii) within two (2) Business Days of each Borrowing Date on or after the Second Amendment Effective Date, enter into additional interest rate caps or swaps to the extent necessary to cause the aggregate notional amount of the Borrower’s interest rate caps or swaps (including such additional interest rate caps or swaps) to be at least equal to one hundred percent (100%) of the Aggregate Outstanding Advances (after giving pro forma effect to the proposed borrowing on such Borrowing Date) upon terms and conditions reasonably acceptable to the Agent; provided, that, notwithstanding anything to the contrary contained in this Agreement, in connection with any interest rate swap or other types of interest rate derivative agreements entered into by the Borrower in order to satisfy the Hedge Requirements for aggregate notional amounts in excess of $[***], such interest rate swaps or other derivative agreements shall be provided by no more than one (1) additional Qualifying Hedge Counterparty and such interest rate swaps or other derivative agreements shall include such terms and conditions that are approved in writing by the Agent.
Hedge Requirements means the requirement that, at all times after the fifth Business Day following each Borrowing Date, Borrower shall have entered into one or more interest rate swap or cap agreements with a Qualifying Hedge Counterparty with an amortizing notional balance schedule, which, after giving effect to such interest rate swap or cap agreement, will cause not greater than 110.0% and not less than 80.0% of the aggregate Expected Amortization Profile of all outstanding Advances to be hedged to a fixed interest rate, with [***].
Hedge Requirements means the requirements of the Borrower to, within two (2) Business Days of each Borrowing Date, enter into and maintain according to the provisions hereof (for the avoidance of doubt, including breakage or modification to remain within the required amortizing schedule) one or more interest rate cap agreements for which the strike rate is not more than 0.89%, (x) entered into with a Qualifying Hedge Counterparty and (y) using an amortizing notional balance schedule that is not less than 90.0% of the expected amortization schedule of the aggregate outstanding principal balance of the Loan Notes associated with the Advance made on such date (unless the notional amount of such interest rate cap agreements entered into in connection with prior Advances is sufficient to satisfy such notional balance requirement). Each interest rate cap agreement entered into in accordance with this definition shall have floating rate payments with a designated maturity of one month, and be on terms and conditions and pursuant to such documentation as shall be reasonably acceptable to the Agent. Notwithstanding the foregoing, the Borrower may enter into another type of derivative agreement in order to satisfy the Hedge Requirements that the Agent approves in writing prior to entering into such agreement. [***] = Certain information has been excluded from this exhibit because it is both not material and would likely cause competitive harm to the company if publicly disclosed.
Hedge Requirements means the following requirements:
Hedge Requirements means the requirements of the Borrower to:
Hedge Requirements means the obligations of the Borrower set forth under Section 5.1(X).
Hedge Requirements means the requirements of the Borrower to (i) on the Second Amendment Effective Date, enter into an interest rate cap with a notional amount of no less than $25,000,000 and a strike price of no greater than 4.25%, and (ii) within two