Letter of Credit Rate means, for any month, the following rates based upon the average daily Excess Availability (calculated without giving effect to the Revolving Loan Limit) during the immediately preceding month: (a) one and three quarters (1.75%) percent per annum if such average daily Excess Availability is less than or equal to $25,000,000; and (b) one and one half (1.50%) percent per annum if such average daily Excess Availability is greater than $25,000,000; provided, that, the Letter of Credit Rate shall be two (2.0%) percent per annum higher than the applicable rate set forth above, at Agent's option, without notice, (i) either (A) for the period on and after the date of termination or non-renewal hereof until such time as all Obligations are indefeasibly paid and satisfied in full in immediately available funds, or (B) for the period from and after the date of the occurrence of any Event of Default, and for so long as such Event of Default is continuing as reasonably determined by Agent or (ii) on the Letter of Credit Obligations at any time outstanding in excess of the Borrowing Base or the Revolving Loan Limit (whether or not such excess(es) arise or are made with or without Agent's or any Lender's knowledge or consent and whether made before or after an Event of Default).

Letter of Credit Rate has the meaning specified in Section 4.07.

Letter of Credit Rate has the meaning given to that term in clause 10.1 (Letter of Credit fee).

Examples of Letter of Credit Rate in a sentence

Any change in the L/C Fee as a consequence of a change in the Letter of Credit Rate shall be effective as of the date of such change in the Letter of Credit Rate.
Any change in the applicable Letter of Credit Rate as a consequence of the Banks' review of the aforesaid calculation after the effective date of such Letter of Credit Rate shall be retroactively applied to the first day such Letter of Credit Rate became effective.
Each letter of credit fee will be calculated on a daily basis (on the basis of a year of 360 days) based on the Drawing Amount of such Letter of Credit and the applicable Letter of Credit Rate in effect on each day and shall be payable quarterly in arrears and at the expiration or termination of such Letter of Credit.
The applicable Letter of Credit Rate shall be determined based upon the calculations submitted to the Banks pursuant to subsection 6.1(b) and shall be effective as of the first day of the fiscal quarter next following the date such calculations are submitted to the Banks.
In the event that the Letter of Credit Rate cannot be determined at any time because the Borrower's financial statements for the immediately preceding fiscal quarter are not available at such time, the L/C Fee shall be presumed to be the same as the L/C Fee as of the last FQED for which the Borrower's financial statements were available.

More Definitions of Letter of Credit Rate

Letter of Credit Rate shall have the meaning set forth in Section 2.2(b) hereof.

Letter of Credit Rate in Section 1.1 of the Loan Agreement shall be amended in its entirety to read as follows:

Letter of Credit Rate means one-half percent (0.5%) per annum.

Letter of Credit Rate means three percent (3.00%) per annum, provided that so long as no Default or Event of Default has occurred and is continuing, and subject to Agent's receipt of Borrower Agent's Form 10-K (as filed with the Securities and Exchange Commission) and its audited financial statements as required hereunder for the fiscal year ending December 31, 2004, and subject further to Agent's receipt of Borrower Agent's Form 10-Q or Form 10-K (as applicable and as filed with the Securities and Exchange Commission) and its financial statements as required hereunder for each fiscal quarter commencing with the fiscal quarter ending March 31, 2005, the Letter of Credit Rate shall be adjusted (effective as of the first day of the month immediately following Agent's receipt of those documents) as follows based upon the average daily Excess Availability hereunder during such fiscal quarter: Excess Availability Letter of Credit Rate ------------------------------------ --------------------- Greater than or equal to $10,000,000 2.50% Greater than or equal to $ 9,000,000 2.75% Greater than or equal to $ 8,000,000 3.00% Less than $8,000,000 3.25%" (d) Section 1.60 of the Loan Agreement is hereby amended and restated to read in its entirety as follows:

Letter of Credit Rate means the per annum rate as determined by the ratio of the Senior Debt to the consolidated EBITDA of the Borrower and its Subsidiaries for the twelve month period ending as of the end of the fiscal quarter most recently ended at the time of the issuance of a Letter of Credit, as set forth below: Ratio of Senior Debt to EBITDA Letter of Credit Rate Greater than or equal to 4.00 2.75% to 1.00 Greater than or equal to 3.50 2.50% to 1.00; less than 4.00 to 1.00 Greater than or equal to 2.75 2.25% to 1.00; less than 3.50 to 1.00 Greater than or equal to 2.00 2.00% to 1.00; less than 2.75 to 1.00 Less than 2.00 to 1.00 1.75%