Leverage Covenant definition

Leverage Covenant has the meaning specified in Section 7.13(a).

Leverage Covenant shall have the meaning assigned to such term in Section 6.11(a).

Leverage Covenant. The financial covenant set forth in Section 15(b) of the Guarantee Agreement.

Examples of Leverage Covenant in a sentence

• There shall be no pro forma reduction in Consolidated Total Funded Indebtedness as a result of any prepayments of Indebtedness with the proceeds of any Equity Cure Contribution for determining compliance with the Total Leverage Covenant under Section 6.08 as of and for the Test Period ending on the last day of the Cure Quarter; provided that such Equity Cure Contribution shall reduce Consolidated Total Funded Indebtedness in future fiscal quarters to the extent used to prepay any applicable Indebtedness.

• Permit the Interest Coverage Ratio as of the last day of any Test Period to be less than 3.50 to 1.00 (commencing with the Test Period ending on the last day of the fiscal quarter ending December 31, 2016) (such compliance to be determined on the basis of the financial information most recently delivered to the Administrative Agent pursuant to Section 6.01(a) and Section 6.01(b) for such Test Period) (together with the Leverage Covenant, the “Financial Covenants”).

• Permit the Interest Coverage Ratio as of the last day of any Test Period to be less than 3.50 to 1.00 (commencing with the Test Period ending on the last day of the fiscal quarter ending September 30, 2021) (such compliance to be determined on the basis of the financial information most recently delivered to the Administrative Agent pursuant to Section 6.01(a) and Section 6.01(b) for such Test Period) (together with the Leverage Covenant, the “Financial Covenants”).

• Upon the expiration of the Step-Up Election, the maximum Total Net Leverage Ratio permitted under the Leverage Covenant shall revert to the Total Net Leverage Ratio set forth above for at least two consecutive Test Periods before the Borrower may make another Step-Up Election.

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

More Definitions of Leverage Covenant

Leverage Covenant has the meaning set forth in Section 5.03(a).

Leverage Covenant shall have the meaning set forth in Section 9.13(d).

Leverage Covenant means the financial covenant set forth in Section 6.10(a).

Leverage Covenant is calculated as follows: ((total assets less total liabilities) plus aggregate bank borrowings)/aggregate bank borrowings. If at any time a Borrower is in violation of the Leverage Covenant, that Borrower is required within three (3) business days to repay Loans in an amount sufficient to achieve compliance with the Leverage Covenant. Each Borrower hereby promises to pay the principal and interest of each Loan made to it and related fees on the day when due to the Bank at its address stated above. Each Borrower hereby authorizes the Bank, if and to the extent a payment is owed by that Borrower, to charge against the Borrower's deposit account with the Bank any amount so due on the 15th business day of the following month.

Leverage Covenant the covenant set forth in Section 7.1 of the Credit Agreement, without giving effect to the Leverage Covenant Waiver.

Leverage Covenant has the meaning specified in Section 7.08. “Lien” means, with respect to any asset, any mortgage, lien, pledge, hypothecation, charge, security interest, preference, priority or encumbrance of any kind in respect of such asset, whether or not filed, recorded or otherwise perfected under applicable law (including any conditional sale or other title retention agreement, any lease in the nature thereof, any option or other agreement to give a security interest in and any filing of or agreement to give any financing statement under the Uniform Commercial Code (or equivalent or similar statutes) of any jurisdiction); provided that in no event shall an operating lease (or any precautionary filing made in connection therewith) or an agreement to sell be deemed to constitute a Lien. “Limited Purpose Subsidiary” has the meaning specified in the definition of “Excluded Property.” “Loan” means an extension of credit by a Lender to the Borrower under Article II in the form of a Term Loan, a Revolving Credit Loan or a Swingline Loan. “Loan Documents” means, collectively, (i) this Agreement, (ii) the Notes, (iii) the Guaranty, (iv) the Collateral Documents, (v) the Equal Priority Intercreditor Agreement, (vi) any other intercreditor agreement required to be entered into pursuant to the terms of this Agreement, (vii) any agreement creating or perfecting rights in Cash Collateral pursuant to the provisions of Section 2.16 of this Agreement and (viii) any Refinancing Amendment. “Loan Parties” means, collectively, the Borrower and each Guarantor.

Leverage Covenant has the meaning specified in the recitals hereto.