Amendments to Section 7: Negative Covenants Clause Samples
This clause outlines the process and requirements for making changes to the negative covenants specified in Section 7 of an agreement. Typically, it will detail who must consent to any amendments, such as requiring written approval from all parties or a specified majority, and may set out the formal steps for proposing and enacting such changes. The core function of this clause is to ensure that any modifications to the restrictions placed on a party’s actions are deliberate and agreed upon, thereby protecting the interests of all parties and maintaining the integrity of the original agreement.
Amendments to Section 7: Negative Covenants. A. Section 7.02 of the Credit Agreement is hereby amended by deleting the reference to “10%” contained therein and substituting “5%” therefor.
B. Section 7.07 of the Credit Agreement is hereby amended by deleting it in its entirety and substituting the following therefor:
Amendments to Section 7: Negative Covenants. (a) Amendment to Section 7.1 (Financial Condition Covenant). Immediately upon the satisfaction of the Requisite Conditions, Section 7.1 of the Credit Agreement shall be amended by deleting such Section in its entirety and inserting the following in lieu thereof:
Amendments to Section 7: Negative Covenants. A. Section 7.1 of the Credit Agreement is hereby amended by (1) deleting the word “and” at the end of subsection (e), (2) deleting the period at the end of subsection (f) and substituting in lieu thereof a semi-colon, and (3) adding the following subsections (g) through (i):
Amendments to Section 7: Negative Covenants. A. Subsection 7.1 of the Credit Agreement is hereby amended by (i) deleting the "and" at the end of clause (xvii) thereof; (ii) deleting the "." at the end of clause (xviii) thereof and substituting therefor ";and" and (iii) adding new clause (xix) at the end thereof as follows:
Amendments to Section 7: Negative Covenants. A. Subsection 7.14(a) of the Credit Agreement is hereby amended by adding at the end thereof the following sentence:
(a) (including without limitation the calculation of each of the components set forth in clauses (i), (ii), (v), (w), (x), (y), and (z)) will not in any way be affected by either the cancellation of the unsecured demand promissory note payable by Borrower to Holdings that was issued as a dividend on or about August 6, 1999, in the original principal amount of $50,000,000, or the cancellation of such dividends.
B. Subsection 7.14(b) of the Credit Agreement is hereby amended by deleting such subsection in its entirety and substituting the following therefor:
Amendments to Section 7: Negative Covenants. Section 7 of the Credit Agreement is hereby amended as follows:
(a) Deleting the references to "$17,000,000", "$19,400,000", "$21,400,000" and "$22,500,000" contained in clause (b) subsection 7.7 (Capital Expenditures) and by substituting in lieu thereof "$20,000,000", "$25,000,000", "$27,500,000" and "$30,000,000", respectively.
(b) Deleting the reference to "Available Commitments" contained in clause (c) of subsection 7.9 (Limitation on Dividends) and by substituting in lieu thereof a reference to the term "Available Revolving Credit Commitments".
Amendments to Section 7: Negative Covenants. A. Subsection 7.1(iii)(d) of the Credit Agreement is hereby amended by deleting the text following clause (d) up to but excluding "; and" and substituting "[intentionally omitted]" therefor.
B. Subsection 7.1(viii) is hereby amended by deleting the reference to "$100,000,000" and substituting therefor "$50,000,000".
C. Subsection 7.1 of the Credit Agreement is hereby amended by (i) deleting the "and" at the end of clause (xii), (ii) deleting the "." at the end of clause (xiii) and substituting "; and" therefor, and (iii) adding the following clause (xiv) at the end thereof:
Amendments to Section 7: Negative Covenants. A. Subsection 7.4 of the Amended Loan Agreement is hereby amended by deleting clause (vii) of subsection 7.4 and replacing it with the following:
Amendments to Section 7: Negative Covenants. A. Subsection 7.1 of the Credit Agreement is hereby amended by (i) deleting the number "$25,000,000" from clause (v) thereof and substituting "$50,000,000" therefor and (ii) deleting the number $25,000,000" from clause (vi) thereof and substituting $100,000,000" therefor. The Indebtedness incurred pursuant to the Subordinated Indebtedness Documents is Indebtedness incurred pursuant to subsection 7.1(vi) of the Credit Agreement.
B. Subsection 7.2 of the Credit Agreement is hereby amended by (i) deleting the word "and" from the end of clause (iii) of subsection 7.2C and substituting the punctuation "," therefor; (ii) deleting the punctuation "." from the end of clause (iv) of subsection 7.2C and adding "and (v) the Subordinated Credit Agreement" immediately after the phrase "or otherwise" in such subsection and (iii) adding the phrase ", the Subordinated Credit Agreement" immediately after the phrase "this Agreement" in subsection 7.2D.
C. Subsection 7.4 of the Credit Agreement is hereby amended by (i) deleting the word "and" from the end of clause (v) thereof, (ii) deleting the punctuation "." from the end of clause (vi) thereof and substituting "," therefor and (iii) adding the following at the end thereof:
Amendments to Section 7: Negative Covenants. A. Section 7.13 of the Loan Agreement is hereby amended by deleting the reference to “Agent and Majority Revolving Lenders” in clause (i) thereof and substituting “Majority Revolving Lenders or Agent at the direction of Majority Revolving Lenders” therefor.
B. Section 7.20 of the Loan Agreement is hereby amended by deleting it in its entirety and substituting the following therefor: