Mandatory Principal Prepayment Amount definition

Mandatory Principal Prepayment Amount means, with respect to an accrual period, the portion of a Security required to be prepaid to prevent such Security from being treated as an “applicable high yield discount obligation” within the meaning of Section 163(i)(1) of the Internal Revenue Code of 1986, as amended.

Mandatory Principal Prepayment Amount means, as of each AHYDO Prepayment Date, the portion of Loans required to be redeemed to prevent the Loans from being treated as an “applicable high yield discount obligation” within the meaning of Section 163(i)(1) of the Code.

Mandatory Principal Prepayment Amount will equal the portion of the Advance required to be prepaid to prevent the Advance from being treated as an AHYDO within the meaning of Section 163(i)(l) of the Code. The redemption price for the portion of the Advance prepaid will be 100% of the principal amount thereof, plus any accrued interest thereon to the date of prepayment. This provision is intended to cause each of the Advances not to be treated as an AHYDO and shall be interpreted consistently therewith.

Examples of Mandatory Principal Prepayment Amount in a sentence

• The Company shall be responsible for calculating the Mandatory Principal Prepayment Amount and the Mandatory Prepayment Price.

• The Trustee shall not at any time be under any duty or responsibility to any Holder to determine whether any Mandatory Principal Prepayment is payable, or with respect to the nature, extent, or calculation of the amount of any Mandatory Principal Prepayment Amount or Mandatory Prepayment Price is owed, or with respect to the method employed in such calculation of any Mandatory Principal Prepayment Amount or Mandatory Prepayment Price.

• Compensation and Indemnity...........................................................

• For the avoidance of doubt, the Initial Tranche B Mandatory Principal Prepayment Amount with respect to a tax accrual period shall represent the same percentage of the principal amount of each outstanding Initial Tranche B Term Loan with respect to such tax accrual period.

• In addition to the Mandatory Principal Prepayment Amount, the Maker shall also pay to the Payee, simultaneously with its payment of the Mandatory Principal Prepayment Amount, any applicable Prepayment Premium required pursuant to Paragraph 7 of this Note.

• For the avoidance of doubt, the Initial Mandatory Principal Prepayment Amount with respect to a tax accrual period shall represent the same percentage of the principal amount of each outstanding Initial Term Loan with respect to such tax accrual period.

• For the avoidance of doubt, the Initial Mandatory Principal Prepayment Amount with respect to a tax accrual period shall represent the same percentage of the principal amount of each outstanding Note with respect to such tax accrual period.

• The Maker shall pay to the Collateral Agent the Mandatory Principal Prepayment Amount in full as a condition precedent to the Collateral Agent's release of the Fourteenth Floor.

• The Maker shall pay to the Payee the Mandatory Principal Prepayment Amount in full as a condition precedent to the Payee’s release of the Fourteenth Floor.

• In addition to the Mandatory Principal Prepayment Amount, the Maker shall also pay to the Collateral Agent, simultaneously with its payment of the Mandatory Principal Prepayment Amount, any applicable Prepayment Premium required pursuant to Paragraph 7 of this Note.

More Definitions of Mandatory Principal Prepayment Amount

Mandatory Principal Prepayment Amount means the portion of a Loan required to be redeemed to prevent such Loan from being treated as an “applicable high yield discount obligation” within the meaning of Section 163(i)(1) of the Code. No partial prepayment of the Loans prior to the AHYDO Prepayment Date pursuant to any other provision of this Agreement will alter the Company’s obligation to make the Mandatory Principal Prepayment with respect to any Loans that remain outstanding on the AHYDO Prepayment Date. For the avoidance of doubt, the Mandatory Principal Prepayment Amount shall be determined by the Company and provided to the Administrative Agent in the form of an Officer’s Certificate on which the Administrative Agent may conclusively rely.