Allocation of Net Profit Sample Clauses
The Allocation of Net Profit clause defines how the net profits of a business or partnership are distributed among its stakeholders, such as partners or shareholders. Typically, this clause outlines the specific percentages or formulas used to divide profits, and may address timing, conditions, or adjustments for distributions. Its core practical function is to ensure transparency and prevent disputes by clearly specifying how profits are shared, thereby aligning expectations and reducing the risk of misunderstandings.
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Allocation of Net Profit. After applying the provisions of Section 5.4 and except as otherwise provided in Section 9.9, Net Profit for any Adjustment Period will be allocated in the following order and priority:
(a) first, if the aggregate amount of Net Loss previously allocated to any Partner exceeds the aggregate amount of Net Profit previously allocated to such Partner (for the current and all previous Adjustment Periods), then to such Partner, or among such Partners, so as to reverse the effect of the prior allocation of Net Loss in the following order and priority:
(i) first, to the extent Net Loss was allocated to the General Partner pursuant to Subsection 5.2(d) for any prior Adjustment Period, Net Profit shall be allocated to the General Partner to the extent of such previously allocated Net Loss;
(ii) second, to the extent Net Loss was allocated to any Partner(s) pursuant to Subsection 5.2(c) for any prior Adjustment Period, Net Profit shall be allocated to Partner(s) to the extent of such previously allocated Net Loss (among the Partner(s) in proportion to their respective shares of Net Loss being offset);
(iii) third, to the extent Net Loss was allocated to the General Partner pursuant to Subsection 5.2(b) for any prior Adjustment Period, Net Profit shall be allocated to the General Partner to the extent of such previously allocated Net Loss;
(b) second, to the Partners in accordance with their Sharing Ratios.
Allocation of Net Profit. After giving effect to the special allocations set forth in Sections 8.2 and 8.3, the Net Profit for any fiscal year of the Company shall be allocated among the Members as follows:
(i) First, among the Members in proportion to their Percentage Interests until the cumulative amount of Net Profits allocated to the Members pursuant to this Section 8.1(a)(i) from the Effective Date of this Agreement is equal to the cumulative amount of Net Losses allocated to the Members pursuant to Section 8.1(b)(iii) (other than as the result of any revaluation of Company assets pursuant to Section 8.5(b)(ii)) from the Effective Date of this Agreement;
(ii) Second, among the Members to the extent of the excess, if any, of the cumulative amount of Net Losses allocated to the Members pursuant to Section 8.1(b)(ii) from the Effective Date of this Agreement over the cumulative amount of Net Profits previously allocated to the Members pursuant to this Section 8.1(a)(ii) from the Effective Date of this Agreement with such allocation being made proportionately among all Members based on the relative excess for each Member; and
(iii) Third, among the Members entitled to participate in such allocation in proportion to their relative Percentage Interests.
Allocation of Net Profit a. The annual Net Profit from the operation of the Amphitheatre will be divided between MEMI and the City such that the City shall receive the first One Hundred Thousand Dollars ($100,000) from the operation of the Amphitheatre and the remaining Net Profit shall be divided between MEMI and the City such that the City receives an amount equal to sixty percent (60%) of the Net Profit and MEMI receives an amount equal to forty percent (40%) of the Net Profit. “Net Profit” shall be defined as all Revenue less all Expenses directly related to or arising from the operation of the Amphitheatre.
Allocation of Net Profit. Except as otherwise provided in the further provisions of this Article IV, Net Profit of the Company for any fiscal year shall be allocated as follows and in the following order of priority:
(a) First, to LVSI to the extent of any deficit balance in its Capital Account;
(b) Next, to Interface Holding until it has received aggregate allocations of Net Profit pursuant to this Section 4.2(b) for the current and all prior years equal to the cumulative Net Loss allocated to such Member pursuant to Section 4.3(b) for all prior periods;
(c) Next, if a Conversion has occurred, to Interface Holding until it has received aggregate allocations of Net Profit pursuant to this Section 4.2(c) for the current and all prior years equal to the cumulative accrued Preferred Return;
(d) Next, to LVSI until it has received aggregate allocations of Net Profit pursuant to this Section 4.2(d) for the current and all prior years equal to the cumulative Net Loss allocated to such Member pursuant to Section 4.3(a) for all prior periods;
(e) Thereafter, to LVSI.
Allocation of Net Profit. Net Profit of the Partnership for ------------------------ each fiscal year shall, after giving effect to all Capital Account adjustments attributable to contributions and distributions made during such year, be allocated among the Partners as follows:
(a) First, to the Partners, in an amount not exceeding their aggregate negative Capital Account balances (i) first, so as to cause their respective negative Capital Account balances to be i the same proportions as are their respective Percentage Interests, and (ii) thereafter, in accordance with their respective Percentage Interests;
(b) Second, to the Partners, in proportion to their respective untaxed Preference Amounts (determined as of the end of such year), until the Net Profit so allocated, less the amount of Excess Depletion allocable to the Partners (pursuant to Section 7.2.2 hereof) with respect to the Gross Income underlying such Net Profit, equals their aggregate Untaxed Preference Amounts (as so determined); and
(c) Third, to the Partners in accordance with their respective Percentage Interests.
Allocation of Net Profit a. The annual Net Profit from the operation of the Facility will be divided between MEMI and the City such that the City shall receive the first One Hundred Fifty Thousand Dollars ($150,000) from the operation of the Facility and the remaining Net Profit shall be divided between MEMI and the City such that the City receives an amount equal to sixty percent (60%) of the Net Profit and MEMI receives an amount equal to forty percent (40%) of the Net Profit. “Net Profit” shall be defined as all Revenue less all Expenses directly related to or arising from the operation of the Facility.
Allocation of Net Profit. Except as provided elsewhere in this ------------------------ Section 8.2, until the occurrence of a Dissolution Event, as of the end of each Fiscal Year (or other period for which Net Profit or Net Loss was calculated), Net Profit (if any) shall be allocated to the Capital Accounts of the Members in proportion to their Percentage Interests.
Allocation of Net Profit and Net Loss --------------------------------------------------- For federal, state and local income tax purposes, the Partnership's income, gains, deductions and losses shall be allocated among the Partners as follows:
(a) For each fiscal year of the Partnership, the income and gains of the Partnership (other than Client reimbursement) shall be allocated among the parties in the same ratio as cash was distributed or would be distributable pursuant to Section 5.1
(a) for the fiscal year.
(b) For each fiscal year of the Partnership, the deductions and losses (other than the expenses reimbursed by Clients) of the Partnership shall be allocated as follows:
(i) first, to Leucadia, Inc. an amount of deductions and losses equal to, in respect of the Partnership's initial fiscal year, the sum of Leucadia, Inc.'s Initial Capital Contribution and Additional Capital Contributions pursuant to subsection (a) of Section 3.3 hereof to the Partnership for such fiscal year and, in respect of each fiscal year of the Partnership thereafter, the amount of Leucadia, Inc.'s Additional Capital Contributions pursuant to subsection (a) of Section 3.3 hereof to the Partnership for such fiscal year;
(ii) then, to the Partners to the extent of income and gains of the Partnership for such fiscal year, in the same manner as income and gains are allocated for such fiscal year; and
(iii) then, to the Partners (including Leucadia, Inc.) in the ratio of any other Additional Capital Contributions pursuant to Section 2.7 hereof by Partners to the Partnership for such fiscal year of the Partnership.
Allocation of Net Profit. AND LOSS As of the last day of each Accounting Period, Net Profits, Net Losses, aggregate Unrealized Gains and/or aggregate Unrealized Losses for the Accounting Period shall be allocated among and credited to or debited against the Capital Accounts of the Members in accordance with their respective Capital Percentages for such Accounting Period.
Allocation of Net Profit. The Net Profit for any fiscal period shall be allocated as follows:
(i) First, 100% of such Net Profit shall be allocated to those Partners, if any, whose Class A, Class B, Class C, or Class D Capital Account has a negative balance, to the extent of (and in proportion to) the amounts required to eliminate such negative Capital Account balances;
(ii) Second, the remaining Net Profit, if any, shall be allocated to the Class A Partner, to the extent of the amount required to increase its Class A Capital Account balance to an amount equal to its Class A Unrecovered Capital;
(iii) Third, the remaining Net Profit, if any, shall be allocated to the Class B Partner, to the extent of the amount required to increase its Class B Capital Account balance to an amount equal to its Class B Unrecovered Capital;
(iv) Fourth, the remaining Net Profit, if any, shall be allocated to the Class C Partner, to the extent of the amount required to increase its Class C Capital Account balance to an amount equal to its Class C Unrecovered Capital;
(v) Fifth, the remaining Net Profit, if any, shall be allocated to the Class A Partner and the Class C Partner, to the extent of (and in proportion to) the amount required (i) to increase the Class A Capital Account balance to an amount equal to the Liquidation Preference with respect to the Class A Interest as of such date and (ii) to increase the Class C Capital Account balance to an amount equal to the Liquidation Preference with respect to the Class C Interest as of such date;
(vi) Sixth, the remaining Net Profit, if any, shall be allocated to the Class B Partner, to the extent of the amount required to increase its Class B Capital Account balance to an amount equal to the Liquidation Preference with respect to the Class B Interest as of such date; and
(vii) Seventh, the remaining Net Profit, if any, shall be allocated 50% to the Class C Partner and 50% to the Class D Partner.