Permitted Hedge Agreement definition

Permitted Hedge Agreement means any Hedge Agreement engaged in by a Person as part of its normal business operations with the purpose and effect of hedging and protecting such Person against fluctuations or adverse changes in the prices of electricity, gas, fuel or other commodities, interest rates or currency exchange rates, which Hedge Agreement is part of a risk management strategy and not for purposes of speculation and not intended primarily as a borrowing of funds.

Permitted Hedge Agreement means any Hedge Agreement that is required or permitted by the Credit Agreement to be entered into by the Borrower.

Permitted Hedge Agreement means a transaction in futures, forwards, swaps, options or other similar contracts (including both physical and financial settlement transactions), engaged in by a Person as part of its normal business operation with the purpose and effect of fixing prices as a risk management strategy or hedge against adverse changes in the prices of electricity, gas or fuel or interest rates (including commodity price xxxxxx, swaps, caps, floors, collars and similar agreements designed to protect such Person against fluctuation in commodity prices or any option with respect to any such transaction), and not for purposes of speculation and not intended primarily as a borrowing of funds.

Examples of Permitted Hedge Agreement in a sentence

• If any Lender or Affiliate thereof that is a party to a Permitted Hedge Agreement or Guaranteed Cash Management Agreement (the obligations of the applicable Consolidated Entity under which are Guaranteed Obligations) ceases to be a Lender or Affiliate thereof, such former Lender or Affiliate thereof shall nevertheless continue to be a Guaranteed Party hereunder with respect to the Guaranteed Obligations under such Permitted Hedge Agreement or Guaranteed Cash Management Agreement.

• Role descriptions of the Core Administration are described in Schedule 2 – Role descriptions of Core Administration.

• If any Lender or Affiliate thereof that is a party to a Permitted Hedge Agreement or Cash Management Agreement with any Consolidated Entity (the obligations of such Consolidated Entity under which are Secured Obligations) ceases to be a Lender or Affiliate thereof, such former Lender or Affiliate thereof shall nevertheless continue to be a Secured Party hereunder with respect to the Secured Obligations under such Permitted Hedge Agreement or Cash Management Agreement.

• If any Lender or Affiliate thereof that is a party to a Permitted Hedge Agreement or Cash Management Agreement with the Borrower (the obligations of the Borrower under which are Guaranteed Obligations) ceases to be a Lender or Affiliate thereof, such former Lender or Affiliate thereof shall nevertheless continue to be a Guaranteed Party hereunder with respect to the Guaranteed Obligations under such Permitted Hedge Agreement or Cash Management Agreement.

More Definitions of Permitted Hedge Agreement

Permitted Hedge Agreement means any Hedge Agreement which is a Permitted Commodity Hedge or a Permitted Interest Hedge.

Permitted Hedge Agreement means any Hedge Agreement which Borrower enters into with or through a counterparty that has a credit rating of at least "A-" by Standard and Poors or "A3" by Moodx'x Xxxestment Service, together with the confirmations which Borrower may hereafter enter into with or through such counterparty covering in the aggregate, among all such Hedge Agreements, not more than seventy percent (70%) of the Proved Reserves attributable to Borrower's interest in its Borrowing Base Oil and Gas Properties.

Permitted Hedge Agreement means a “swap agreement” (as that term is defined in Section 101(53B)(A) of the Bankruptcy Code) entered into by a Loan Party and a Permitted Hedge Provider in connection with a Permitted Hedge.

Permitted Hedge Agreement means a Hedge Agreement entered into by the Borrower for bona fide purposes of an Interest Hedge or hedging currency risk and not for speculative purposes that is in form and substance satisfactory to the Lender in its sole and absolute discretion.

Permitted Hedge Agreement means any Hedge Agreement which Borrower enters into with or through a counterparty that has a credit rating of at least "A-" by Standard and Poors or "A(3)" by Moodx'x Xxxestment Service, together with the confirmations which Borrower may hereafter enter into with or through such counterparty covering, in the aggregate, among all such Hedge Agreements, not more than seventy percent (70%) of the Proved Reserves that are (i) attributable to Borrower's interest in the Borrowing Base Oil and Gas Properties and (ii) projected to be produced during the term(s) of such Hedge Agreement(s). Article I, DEFINITIONS, of the Credit Agreement is hereby further amended by adding thereto the following defined terms:

Permitted Hedge Agreement means any Hedge Agreement related to either (i) Borrower's production and sale of its hydrocarbons or (ii) interest rates pertaining to the Loan, in each case which the Borrower enters into (x) as part of its normal business operations (recognizing that Borrower has not done so in the past) with the purpose and effect of fixing prices or hedging variable interest rates as a risk-management strategy, and not for purposes of speculation and not intended primarily as a borrowing of funds, and (y) with any Person as counterparty reasonably acceptable to the Lender.

Permitted Hedge Agreement means any interest rate swap, cap, collar or ------------------------- similar agreement entered into between Borrower and any of the Lender Parties in respect of notional amounts corresponding to the obligations under this Credit Agreement.