Borrowing Base Indebtedness Clause Samples

The Borrowing Base Indebtedness clause defines the specific types and amounts of debt that are permitted to be incurred based on the value of a borrowing base, typically calculated from eligible assets such as accounts receivable or inventory. In practice, this clause sets limits on how much a borrower can owe under credit facilities that are secured by these assets, often requiring regular reporting and recalculation of the borrowing base to ensure compliance. Its core function is to control the borrower’s leverage and protect the lender by tying the amount of allowable debt to the value of liquid, easily monitored collateral.
Borrowing Base Indebtedness. The calculation of Borrowing Base Indebtedness at any time shall be determined by reference to the most recent Compliance Certificate delivered to the Administrative Agent; provided that if the Administrative Agent notifies the Borrower within five (5) Business Days of receipt of the Compliance Certificate that it disagrees with the calculation of Borrowing Base Indebtedness contained in such Compliance Certificate (including a reasonable description of the basis upon which it disagrees and its reasonable calculation of the Borrowing Base Indebtedness), the Borrowing Base Indebtedness shall be calculated as so reasonably determined by Administrative Agent based on the Compliance Certificate and the statements, reports and information provided to Administrative Agent pursuant to Section 6.01.
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Borrowing Base Indebtedness. The following figures are as of the Statement Date: 1. Loan $_______ 2. Revolving Loans
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Borrowing Base Indebtedness. The following figures are as of the Statement Date: 1. The aggregate principal amount of indebtedness for borrowed money (including, without limitation, the Senior Notes) $ 2. Letter of Credit Usage with respect to Financial Letters of Credit that are not Cash Collateralized or Letter of Credit Collateralized (computed as if all Financial Letters of Credit were Letters of Credit issued under the Agreement) $ 3. Total Borrowing Base Indebtedness (Lines I.B.1+2) 7 $ 3 Such Tower Unsold Units shall be excluded from computation in the Borrowing Base on and after that date which is one hundred and eighty (180) days from the Tower Completion Date for such Tower Units. 4 Line I.A.9 shall not exceed 45% of the amount in Line I.A.11. The value of (i) any unentitled land or land under option and (ii) the assets securing the loans under the Stonegate Agreement, in each case, shall not be included in the Borrowing Base. 5 In no event shall the percentage of the Borrowing Base attributable to (i) all Tower Construction Projects under Lines I.A.5, I.A.6 and I.A.7 exceed (x) 20% of the Borrowing Base, if the Consolidated Leverage Ratio, calculated on a pro forma basis with any Loan, Letter of Credit or other Borrowing Base Indebtedness deemed to be incurred as of the end of the most recent Fiscal Quarter for which financial statements have been delivered (or were required to have been delivered) pursuant to Section 7.1(a) or (b) (or, to the extent more recent, the last fiscal month for which internal financial statements are available), is less than 0.30 to 1.00 and (y) 15% of the Borrowing Base, otherwise, and (ii) any single Tower Construction Project under Lines I.A.5, I.A.6 and I.A.7 exceed 10% of the Borrowing Base. 6 Prior to the commencement of any Tower Construction Project, the value of any land designated for such Tower Construction Project shall, to the extent constituting Land Held For Future Development under the Credit Agreement, be included in the Borrowing Base under Line I.A.9. From and after the commencement of a Tower Construction Project, the value of the land upon which such Tower Construction Project has commenced shall no longer be included in the Borrowing Base pursuant to Line I.A.9, but instead, subject to the requirements set forth in Section 2.8(c) of the Credit Agreement, the components of such Tower Construction Project shall be included under Lines I.A.5, I.A.6 and I.A.7, as applicable. 7 Line I.B.3 shall not include (i) any Non-Recourse In...
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Borrowing Base Indebtedness. The following figures are as of the Statement Date: (i) The aggregate principal amount of indebtedness for borrowed money (including, without limitation, the Senior Notes) $ (ii) Letter of Credit Usage with respect to Financial Letters of Credit that are not Cash Collateralized or Letter of Credit Collateralized (computed as if all Financial Letters of Credit $ (1) Line I.A.6 shall not exceed 45% of the amount in Line I.A.8. The value of (i) any unentitled land or land under option, (ii) the vertical construction of any Tower, (iii) the land on which a Tower is constructed, but only after the construction of such Tower has commenced and (iv) the assets securing the loans under the Stonegate Agreement, in each case, shall not be included in the Borrowing Base. were Letters of Credit issued under the Agreement) (iii) other Borrowing Base Indebtedness(2) $ (iv) Total Borrowing Base Indebtedness (Lines I.B.1+2+3) $
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Borrowing Base Indebtedness. The following figures are as of the Statement Date: 1. Loans $ 2. Letter of Credit Usage with respect to Financial Letters of Credit that are not Cash Collateralized or Letter of Credit Collateralized (computed as if all Financial Letters of Credit were Letters of Credit issued under the Agreement) $ 1 Line I.A.4 shall not exceed 40% of the amount in Line I.A.6. The value of any unentitled land or land under option shall not be included in the Borrowing Base. 3. other Borrowing Base Indebtedness2 $
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Related to Borrowing Base Indebtedness

  • Outstanding Indebtedness For the avoidance of doubt, to the extent that any Indebtedness is repaid, redeemed, repurchased, defeased or otherwise acquired, retired or discharged, in each case, in accordance with the terms of the documentation governing such Indebtedness, such Indebtedness shall be deemed to be paid off and not to be outstanding for any purpose hereunder to the extent of the amount of such repayment, redemption, repurchase, defeasance, retirement or discharge.

  • Investments; Indebtedness PNU shall not, and shall not permit any of its Subsidiaries to, other than in connection with actions permitted by Section 4.1(e), (i) make any loans, advances or capital contributions to, or investments in, any other Person, other than (x) by PNU or a direct or indirect wholly owned Subsidiary of PNU to or in PNU or any direct or indirect wholly owned Subsidiary of PNU, (y) pursuant to any contract or other legal obligation of PNU or any of its Subsidiaries as in effect at the date of this Agreement or (z) in the ordinary course of business consistent with past practice in an aggregate amount not in excess of the aggregate amount specified in Section 4.1(g) of the PNU Disclosure Schedule or (ii) create, incur, assume or suffer to exist any indebtedness, issuances of debt securities, guarantees, loans or advances not in existence as of the date of this Agreement except pursuant to the credit facilities, indentures (but not in excess of amounts authorized for issuance thereunder as of the date of this Agreement) and other arrangements in existence on the date of this Agreement or trade debt and commercial finance in the ordinary course of business consistent with past practice, in each case as such credit facilities, indentures and other arrangements and other existing indebtedness may be amended, extended, modified, refunded, renewed or refinanced after the date of this Agreement which does not increase the aggregate principal amount or amount of the facility, as the case may be.

  • Borrowing Base Agent shall have received evidence from Borrowers that the aggregate amount of Eligible Receivables and Eligible Inventory is sufficient in value and amount to support Advances in the amount requested by Borrowers on the Closing Date;

  • Permitted Indebtedness Neither the Company nor any Subsidiary ---------------------- will create, incur or assume any Indebtedness other than: (a) Indebtedness represented by or incurred under the Notes and the Purchase Agreement and the Revolving Credit Facility; (b) Indebtedness incurred to prepay or repay in full the remaining outstanding principal amount of Notes and all other amounts due thereon or under the Purchase Agreement; (c) Indebtedness existing on the Closing Date and identified on the Disclosure Schedule; (d) Indebtedness incurred solely as an extension, renewal, refinancing or replacement of Indebtedness of the Company or of its Subsidiaries under clause (iii) above (but excluding any Indebtedness under clause (iii) above to the extent such Indebtedness is repaid with the proceeds from the sale of the Notes and Warrants), provided that any such extension, renewal or refinancing (A) shall be on terms which on balance are substantially as favorable to the Company (or the relevant Subsidiary) as the terms of such existing Indebtedness (other than changes in the amount of the interest rate and other than the imposition of additional Liens permitted by Section 9.10(f) hereof) and (B) shall not be in a greater principal amount or have a shorter average life or earlier maturity than such existing Indebtedness; (e) Indebtedness in an aggregate principal amount outstanding not exceeding $20,000,000 incurred solely to finance the purchase price of additional towers and related facilities and equipment; (f) Interest Rate Protection Agreements required by the Revolving Credit Facility or incurred for hedging purposes in the ordinary course of business; and (g) Additional Indebtedness in an amount which , together with sale and leaseback obligations permitted under Section 9.11, does not exceed $2,000,000.

  • Secured Indebtedness The Borrower shall not permit the ratio of (i) Secured Indebtedness of the Borrower and its Subsidiaries to (ii) Total Asset Value to be greater than 0.40 to 1.00 at any time.