Credit-Linked Deposit Account. (a) The Credit-Linked Deposits shall be held by the Administrative Agent in the Credit-Linked Deposit Account, and no party other than the Administrative Agent shall have a right of withdrawal from the Credit-Linked Deposit Account or any other right or power with respect to the Credit-Linked Deposits. Notwithstanding anything herein to the contrary, the funding obligation of each Lender in respect of its participation in Letters of Credit shall be satisfied in full upon the funding of its Credit-Linked Deposit. (b) Each of the Administrative Agent, each Issuing Bank issuing any Letter of Credit and each Lender hereby acknowledges and agrees that each Lender is funding its Credit-Linked Deposit to the Administrative Agent for application in the manner contemplated by SECTION 2.5(d) and that the Administrative Agent has agreed to invest the Credit-Linked Deposits so as to earn a return (subject to SECTION 2.12) for the Lenders equal at any time to the LIBID Rate for the Interest Period in effect for the Credit-Linked Deposits at such time. Such Interest will be paid to the Lenders by the Administrative Agent at the applicable LIBID Rate (or at an amount determined in accordance with clause (iv) of SECTION 2.12, if applicable) in arrears on the last day of each Interest Period applicable to the Credit-Linked Deposits. (c) The Borrower shall have no right, title or interest in or to the Credit-Linked Deposits and no obligations with respect thereto, it being acknowledged and agreed by the parties hereto that the making of the Credit-Linked Deposits by the Lenders, the provisions of this Section 2.6 and the application of the Credit-Linked Deposits in the manner contemplated by SECTION 2.5(d) constitute agreements among the Administrative Agent, each Issuing Bank and each Lender with respect to the funding obligations of each Lender in respect of its participation in Letters of Credit and do not constitute any loan or extension of credit to the Borrower. (d) Any amount of Credit-Linked Deposits remaining on deposit in the Credit-Linked Deposit Account will be returned to the Lenders on the date on which all Obligations are paid in full, all Letters of Credit are cancelled or otherwise terminated and the credit facilities provided hereby are terminated.
Appears in 1 contract
Sources: Credit Agreement (Aquila Inc)
Credit-Linked Deposit Account. (a) The Credit-Linked Deposits shall be held by the Administrative Agent in the Credit-Linked Deposit Account, and no party other than the Administrative Agent shall have a right of withdrawal from the Credit-Linked Deposit Account or any other right or power with respect to the Credit-Linked Deposits, except as expressly set forth in Section 2.02(f), 2.09(b) or 2.09(d). Notwithstanding anything herein any provision in this Agreement to the contrary, the sole funding obligation of each Funded L/C Lender in respect of its participation in Funded Letters of Credit shall be satisfied in full upon the funding of its Credit-Linked DepositDeposit on the Restatement Date.
(b) Each of the Borrowers, the Administrative Agent, each the Issuing Bank issuing any Letter of Credit and each Funded L/C Lender hereby acknowledges and agrees that each Funded L/C Lender is funding its Credit-Linked Deposit to the Administrative Agent for application in the manner contemplated by SECTION 2.5(dSection 2.02(f) and that the Administrative Agent has agreed to invest the Credit-Linked Deposits so as to earn a return (subject to SECTION 2.12Section 2.08) for the Funded L/C Lenders equal at any time to (i) the LIBO Rate (without giving effect to the LIBID Rate last proviso in the definition thereof) for the Interest Period in effect for the Credit-Linked Deposits at such timetime (the “Benchmark LIBO Rate”) minus (ii) 0.10%. Such Interest interest will be paid to the Funded L/C Lenders by the Administrative Agent at quarterly in arrears when Letter of Credit fees are payable pursuant to Section 2.05(d). In addition to the applicable LIBID Rate foregoing payments by the Administrative Agent, the Borrowers agree to make payments to the Funded L/C Lenders quarterly in arrears when Letter of Credit fees are payable pursuant to Section 2.05(d) (or at and together with the payment of such fees) in an amount determined in accordance with clause (iv) of SECTION 2.12, if applicable) in arrears equal to 0.10% on the last day average daily amount of each Interest Period applicable to the Credit-Linked DepositsDeposit during the applicable Interest Period.
(c) The Borrower Subject to Section 2.09(d), the Borrowers shall have no right, title or interest in or to the Credit-Linked Deposits and no obligations with respect thereto, it being acknowledged and agreed by the parties hereto that the making of the Credit-Linked Deposits by the Funded L/C Lenders, the provisions of this Section 2.6 2.24 and the application of the Credit-Linked Deposits in the manner contemplated by SECTION 2.5(dSection 2.02(f) constitute agreements among the Administrative Agent, each the Issuing Bank and each Funded L/C Lender with respect to the funding obligations of each Funded L/C Lender in respect of its participation in Funded Letters of Credit and do not constitute any loan or extension of credit to the BorrowerBorrowers, subject to the provisions of Section 2.02(f).
(d) Any amount of Subject to the Borrowers’ compliance with the cash-collateralization requirements set forth in Section 2.09, the Administrative Agent shall return any remaining Credit-Linked Deposits remaining on deposit in the Credit-Linked Deposit Account will be returned to the Funded L/C Lenders on following the date on which all Obligations are paid in full, all Letters occurrence of the Funded Letter of Credit are cancelled or otherwise terminated and the credit facilities provided hereby are terminatedMaturity Date.
Appears in 1 contract
Sources: Credit Agreement (NRG Energy, Inc.)
Credit-Linked Deposit Account. (a) The Credit-Linked Deposits shall be held by the Administrative Agent Deposit Bank in the Credit-Linked Deposit Account, and no party other than the Administrative Agent Deposit Bank shall have a right of withdrawal from the Credit-Linked Deposit Account or any other right or power with respect to the Credit-Linked Deposits, except as expressly set forth in the second paragraph of Section 2.02(f), the second sentence of 2.09(b) or Section 2.09(d). Notwithstanding anything herein any provision in this Agreement to the contrary, the sole funding obligation of each Funded L/C Lender in respect of its participation in Funded Letters of Credit shall be satisfied in full upon the funding of its Credit-Linked DepositDeposit on the Closing Date.
(b) Each of the Borrower, the Deposit Bank, the Administrative Agent, each the Issuing Bank issuing any Letter of Credit and each Funded L/C Lender hereby acknowledges and agrees that each Funded L/C Lender is funding its Credit-Linked Deposit to the Administrative Agent Deposit Bank for application in the manner contemplated by SECTION 2.5(dthe second paragraph of Section 2.02(f) and that the Administrative Agent Deposit Bank has agreed to invest the Credit-Linked Deposits so as to earn a return (subject to SECTION 2.12Section 2.08) for the Funded L/C Lenders equal at any time to (i) the LIBID LIBO Rate for the Interest Period in effect for the Credit-Linked Deposits at such timetime (the “Benchmark LIBO Rate”) minus (ii) 0.10% per annum. The Borrower shall not be liable under any circumstance for the payment of the return described in the immediately preceding sentence. Such Interest interest will be paid by the Deposit Bank to the Lenders by the Administrative Agent at who shall pay the applicable LIBID Rate same to the Funded L/C Lenders quarterly in arrears when Letter of Credit fees are payable pursuant to Section 2.05(d). In addition to the foregoing payments by the Deposit Bank, the Borrower agrees to make payments to the Administrative Agent for payment to the Funded L/C Lenders quarterly in arrears when Letter of Credit fees are payable pursuant to Section 2.05(d) (or at and together with the payment of such fees) in an amount determined in accordance with clause (iv) of SECTION 2.12, if applicable) in arrears equal to 0.10% per annum on the last day average daily amount of each Interest Period applicable to the Credit-Linked DepositsDeposit during the applicable Interest Period.
(c) The Subject to Section 2.09(d), the Borrower shall have no right, title or interest in or to the Credit-Linked Deposits and no obligations with respect theretothereto (including with respect to payment of the Benchmark LIBO Rate), it being acknowledged and agreed by the parties hereto that the making of the Credit-Linked Deposits by the Funded L/C Lenders, the provisions of this Section 2.6 2.24 and the application of the Credit-Linked Deposits in the manner contemplated by SECTION 2.5(dSection 2.02(f) constitute agreements among the Deposit Bank, the Administrative Agent, each the Issuing Bank and each Funded L/C Lender with respect to the funding obligations of each Funded L/C Lender in respect of its participation in Funded Letters of Credit and do not constitute any loan or extension of credit to the Borrower, subject to the provisions of Section 2.02(f).
(d) Any amount of Subject to the Borrower’s compliance with the cash-collateralization requirements set forth in Section 2.09(a), the Deposit Bank shall return any remaining Credit-Linked Deposits remaining on deposit in the Credit-Linked Deposit Account will be returned to the Administrative Agent for payment to the Funded L/C Lenders on a pro rata basis following the date on which all Obligations are paid in full, all Letters occurrence of the Funded Letter of Credit are cancelled or otherwise terminated and the credit facilities provided hereby are terminatedMaturity Date.
Appears in 1 contract
Sources: Credit Agreement (NRG Energy, Inc.)
Credit-Linked Deposit Account. (a) The Credit-Linked Deposits shall be held by the Administrative Agent Deposit Bank in the Credit-Linked Deposit Account, and no party other than the Administrative Agent Deposit Bank shall have a right of withdrawal from the Credit-Linked Deposit Account or any other right or power with respect to the Credit-Linked Deposits, except as expressly set forth in the second paragraph of Section 2.02(f), the second sentence of 2.09(b) or Section 2.09(d). Notwithstanding anything herein any provision in this Agreement to the contrary, the funding obligation of each Original Funded L/C Lender in respect of its participation in Funded Letters of Credit was satisfied in full upon the funding of its Credit-Linked Deposit on the Closing Date and the funding obligation of each New Funded L/C Lender in respect of its participation in New Funded Letters of Credit shall be satisfied in full upon the funding of its Credit-Linked DepositDeposit on the Restatement Date.
(b) Each of the Borrower, the Deposit Bank, the Administrative Agent, each the Issuing Bank issuing any Letter of Credit and each Funded L/C Lender hereby acknowledges and agrees that each Funded L/C Lender has funded or is funding (as applicable) its Credit-Linked Deposit to the Administrative Agent Deposit Bank for application in the manner contemplated by SECTION 2.5(dthe second paragraph of Section 2.02(f) and that the Administrative Agent Deposit Bank has agreed to invest the Credit-Linked Deposits so as to earn a return (subject to SECTION 2.12Section 2.08) for the Funded L/C Lenders equal at any time to (i) the LIBID LIBO Rate for the Interest Period in effect for the Credit-Linked Deposits at such timetime (the “Benchmark LIBO Rate”) minus (ii) 0.10% per annum. The Borrower shall not be liable under any circumstance for the payment of the return described in the immediately preceding sentence. Such Interest interest will be paid by the Deposit Bank to the Lenders by the Administrative Agent at who shall pay the applicable LIBID Rate same to the Funded L/C Lenders quarterly in arrears when Letter of Credit fees are payable pursuant to Section 2.05(d). In addition to the foregoing payments by the Deposit Bank, the Borrower agrees to make payments to the Administrative Agent for payment to the Funded L/C Lenders quarterly in arrears when Letter of Credit fees are payable pursuant to Section 2.05(d) (or at and together with the payment of such fees) in an amount determined in accordance with clause (iv) of SECTION 2.12, if applicable) in arrears equal to 0.10% per annum on the last day average daily amount of each Interest Period applicable to the Credit-Linked DepositsDeposit during the applicable Interest Period.
(c) The Subject to Section 2.09(d), the Borrower shall have no right, title or interest in or to the Credit-Linked Deposits and no obligations with respect theretothereto (including with respect to payment of the Benchmark LIBO Rate), it being acknowledged and agreed by the parties hereto that the making of the Credit-Linked Deposits by the Funded L/C Lenders, the provisions of this Section 2.6 2.24 and the application of the Credit-Linked Deposits in the manner contemplated by SECTION 2.5(dSection 2.02(f) constitute agreements among the Deposit Bank, the Administrative Agent, each the Issuing Bank and each Funded L/C Lender with respect to the funding obligations of each Funded L/C Lender in respect of its participation in Funded Letters of Credit and do not constitute any loan or extension of credit to the Borrower, subject to the provisions of Section 2.02(f).
(d) Any amount of Subject to the Borrower’s compliance with the cash-collateralization requirements set forth in Section 2.09(a), the Deposit Bank shall return any remaining Credit-Linked Deposits remaining on deposit in the Credit-Linked Deposit Account will be returned to the Administrative Agent for payment to the Funded L/C Lenders on a pro rata basis following the date on which all Obligations are paid in full, all Letters occurrence of the Funded Letter of Credit are cancelled or otherwise terminated and the credit facilities provided hereby are terminatedMaturity Date.
Appears in 1 contract
Sources: Credit Agreement (NRG Energy, Inc.)
Credit-Linked Deposit Account. (a) The Credit-Linked Deposits shall be held by the Administrative Agent in the Credit-Linked Deposit Account, and no party other than the Administrative Agent shall have a right of withdrawal from the Credit-Linked Deposit Account or any other right or power with respect to the Credit-Linked Deposits, except as expressly set forth in Section 2.02(f), 2.09(b) or 2.09(d). Notwithstanding anything herein any provision in this Agreement to the contrary, the sole funding obligation of each Term Lender in respect of its participation in Funded Letters of Credit shall be satisfied in full upon the funding of its Credit-Linked DepositDeposit on the Closing Date.
(b) Each of the Borrowers, the Administrative Agent, each the Issuing Bank issuing any Letter of Credit and each Term Lender hereby acknowledges and agrees that each Term Lender is funding its Credit-Linked Deposit to the Administrative Agent for application in the manner contemplated by SECTION 2.5(dSection 2.02(f) and that the Administrative Agent has agreed to invest the Credit-Linked Deposits so as to earn a return (subject to SECTION 2.12Section 2.08) for the Term Lenders equal at any time to (i) the LIBO Rate (without giving effect to the LIBID Rate last proviso in the definition thereof) for the Interest Period in effect for the Credit-Linked Deposits at such timetime (the "Benchmark LIBO Rate") minus (ii) 0.10%. Such Interest interest will be paid to the Term Lenders by the Administrative Agent at quarterly in arrears when Letter of Credit fees are payable pursuant to Section 2.05(d). In addition to the applicable LIBID Rate foregoing payments by the Administrative Agent, the Borrowers agree to make payments to the Term Lenders quarterly in arrears when Letter of Credit fees are payable pursuant to Section 2.05(d) (or at and together with the payment of such fees) in an amount determined in accordance with clause equal to the sum of (ivi) of SECTION 2.12, if applicable) in arrears 0.10% on the last day average daily amount of each Interest Period applicable to the Credit-Linked DepositsDeposit during the applicable Interest Period and (ii) if the Benchmark LIBO Rate for such preceding period was less than 1.50% per annum, the difference between 1.50% per annum and the Benchmark LIBO Rate for such period on the average daily amount of the Credit-Linked Deposit during the applicable Interest Period.
(c) The Borrower Subject to Section 2.09(d), the Borrowers shall have no right, title or interest in or to the Credit-Linked Deposits and no obligations with respect thereto, it being acknowledged and agreed by the parties hereto that the making of the Credit-Linked Deposits by the Term Lenders, the provisions of this Section 2.6 2.24 and the application of the Credit-Linked Deposits in the manner contemplated by SECTION 2.5(dSection 2.02(f) constitute agreements among the Administrative Agent, each the Issuing Bank and each Term Lender with respect to the funding obligations of each Term Lender in respect of its participation in Funded Letters of Credit and do not constitute any loan or extension of credit to the BorrowerBorrowers, subject to the provisions of Section 2.02(f).
(d) Any amount of Subject to the Borrowers' compliance with the cash-collateralization requirements set forth in Section 2.09, the Administrative Agent shall return any remaining Credit-Linked Deposits remaining on deposit in the Credit-Linked Deposit Account will be returned to the Term Lenders on following the date on which all Obligations are paid in full, all Letters occurrence of the Funded Letter of Credit are cancelled or otherwise terminated and the credit facilities provided hereby are terminatedMaturity Date.
Appears in 1 contract
Sources: Credit Agreement (NRG Energy Inc)
Credit-Linked Deposit Account. (a) The Credit-Linked Deposits shall be held by the Administrative Agent Deposit Bank in the Credit-Linked Deposit Account, and no party other than the Administrative Agent Deposit Bank shall have a right of withdrawal from the Credit-Linked Deposit Account or any other right or power with respect to the Credit-Linked Deposits, except as expressly set forth in the second paragraph of Section 2.02(f), the second sentence of 2.09(b) or Section 2.09(d). Notwithstanding anything herein any provision in this Agreement to the contrary, (a) the sole funding obligation of each Continuing Funded L/C Lender in respect of its participation in Funded Letters of Credit shall be satisfied in full upon the funding continuing or re-evidencing of its Credit-Linked DepositDeposit on the Second Restatement Date and (b) the sole funding obligation of each Replacement Funded L/C Lender in respect of its participation in Funded Letters of Credit shall be satisfied in full upon the continuing of a Credit-Linked Deposit by such Replacement Funded L/C Lender on the Second Restatement Date.
(b) Each of the Borrower, the Deposit Bank, the Administrative Agent, each the Issuing Bank issuing any Letter of Credit and each Funded L/C Lender hereby acknowledges and agrees that each Funded L/C Lender has funded or is funding its Credit-Linked Deposit to the Administrative Agent Deposit Bank for application in the manner contemplated by SECTION 2.5(dthe second paragraph of Section 2.02(f) and that the Administrative Agent Deposit Bank has agreed to invest the Credit-Linked Deposits so as to earn a return (subject to SECTION 2.12Section 2.08) for the Funded L/C Lenders equal at any time to (i) the LIBID LIBO Rate for the Interest Period in effect for the Credit-Linked Deposits at such timetime (the “Benchmark LIBO Rate”) minus (ii) 0.10% per annum. The Borrower shall not be liable under any circumstance for the payment of the return described in the immediately preceding sentence. Such Interest interest will be paid by the Deposit Bank to the Lenders by the Administrative Agent at who shall pay the applicable LIBID Rate same to the Funded L/C Lenders quarterly in arrears when Letter of Credit fees are payable pursuant to Section 2.05(d). In addition to the foregoing payments by the Deposit Bank, the Borrower agrees to make payments to the Administrative Agent for payment to the Funded L/C Lenders quarterly in arrears when Letter of Credit fees are payable pursuant to Section 2.05(d) (or at and together with the payment of such fees) in an amount determined in accordance with clause (iv) of SECTION 2.12, if applicable) in arrears equal to 0.10% per annum on the last day average daily amount of each Interest Period applicable to the Credit-Linked DepositsDeposit during the applicable Interest Period. Notwithstanding any of the foregoing to the contrary, the Deposit Bank shall pay to each Funded L/C Lender holding a Credit-Linked Deposit (i) on the Second Restatement Date, all interest accrued on the Credit-Linked Deposit through the Second Restatement Date and (ii) on June 29, 2007, all interest accrued on the Credit-Linked Deposit from the Second Restatement Date through June 29, 2007 at a rate per annum equal to 5.22%.
(c) The Subject to Section 2.09(d), the Borrower and its Subsidiaries shall have no right, title or interest in or to the Credit-Linked Deposits and no obligations with respect theretothereto (including with respect to payment of the Benchmark LIBO Rate), it being acknowledged and agreed by the parties hereto that the making of the Credit-Linked Deposits by the Funded L/C Lenders, the provisions of this Section 2.6 2.24 and the application of the Credit-Linked Deposits in the manner contemplated by SECTION 2.5(dSection 2.02(f) constitute agreements among the Deposit Bank, the Administrative Agent, each the Issuing Bank and each Funded L/C Lender with respect to the funding obligations of each Funded L/C Lender in respect of its participation in Funded Letters of Credit and do not constitute any loan or extension of credit to the BorrowerBorrower or collection for the obligations of the Borrower hereunder, subject to the provisions of Section 2.02(f).
(d) Any amount of Subject to the Borrower’s compliance with the cash-collateralization requirements set forth in Section 2.09(a), the Deposit Bank shall return any remaining Credit-Linked Deposits remaining on deposit in the Credit-Linked Deposit Account will be returned to the Administrative Agent for payment to the Funded L/C Lenders on a pro rata basis following the date on which all Obligations are paid in full, all Letters occurrence of the Funded Letter of Credit are cancelled or otherwise terminated and the credit facilities provided hereby are terminatedMaturity Date.
Appears in 1 contract
Sources: Credit Agreement (NRG Energy, Inc.)