Lending Formula Clause Samples

Lending Formula. The aggregate stated amount outstanding pursuant to the Letters of Credit plus the aggregate unpaid principal balance of the Revolving Loan shall not exceed (a) 80% of the Companies' "Eligible Accounts," plus (b) 70% of the Companies' "Eligible Unbilled Accounts," plus (c) 50% of "Eligible Maintenance Inventory" (collectively the "Borrowing Base"), as defined below.

Lending Formula. Subject to and upon the terms and conditions contained herein, Lender agrees to make Revolving Loans under a line of credit (the "Line of Credit") from time to time in amounts requested by Borrower up to an aggregate outstanding principal amount equal to the lesser of: (i) the Maximum Amount; or (ii) the sum of: (A) eighty five percent (85%) of the Net Amount of Eligible Accounts so long as the dilution of Accounts, as described below, is 5% or less, and eighty percent (80%) if such dilution is greater than 5%); PLUS (B) the sum of (1) seventy percent (70%) of the Value of Eligible Inventory consisting of finished goods, other than apparel, (2) fifty percent (50%) of the Value of Eligible Inventory consisting of raw materials, other than apparel, (3) the lesser of (y) fifty percent (50%) of the Value of Eligible Inventory consisting of work-in-process, other than apparel, and (z) $1,500,000.00, for the fiscal year ending December 31, 1998, and $2,000,000.00 for each fiscal year thereafter, and (4) thirty percent (30%) of the Value of Eligible Inventory consisting of finished goods apparel; LESS (C) any Availability Reserves.

Lending Formula. All advances under the Equipment Loan shall be limited to 80% of the new equipment purchase price and will be further limited to 95% of the fair market value as determined by Bank from time to time of short term, high grade, interest bearing securities issued by the United States government, any agency thereof, or domestic corporations, acceptable to Bank and pledged to Bank pursuant to the Pledge Agreement (the "Qualified Securities") less a reserve of Qualified Securities with a Pledge Value (as defined below) and determined by the Bank at the time of such advance equal to the aggregate amount then outstanding under the MDC Loan. The sum of the value of the Qualified Securities determined in accordance with the preceding sentence is hereinafter referred to as the "Pledge Value." Advances under the Equipment Loans to MDC and Research will be aggregated for the purpose of this advance formula and in no event shall the aggregate of such advances exceed $600,000.

Lending Formula. Subject to and upon the terms and conditions contained herein, each Lender hereby severally agrees, on a pro rata basis, to make Revolving Advances (pursuant to Section 2.1 hereof) under the Line of Credit from time to time up to and including the Line Maturity Date in amounts requested by Borrower up to an aggregate outstanding principal amount equal to the lesser of: (i) the then Applicable Maximum Amount; or (ii) the sum of: (A) sixty percent (60%) of the Value of Eligible Inventory consisting of finished goods Inventory comprised of unopened products in original packages; plus (B) forty percent (40%) of the Value of Eligible Inventory consisting of "open box" and floor sample Inventory; less (C) any Availability Reserves.

Lending Formula. Each Capital Expenditure Advance shall be in an amount not to exceed the lesser of (i) eighty percent (80%) of the Hard Cost or (ii) one hundred percent (100%) of the Liquidation Value of Equipment purchased by Borrower from unrelated third parties with the proceeds of such Capital Expenditure Advance.

Lending Formula. Subject to and upon the terms and conditions contained herein, Lender agrees to make Revolving Loans (pursuant to Section 2.1 hereof) and issue Letters of Credit (pursuant to Section 2.2 hereof) under a line of credit (the "Line of Credit") from time to time in amounts requested by Borrower up to an aggregate outstanding principal amount equal to the lesser of: (i) the Maximum Amount; or (ii) the sum of: (A) eighty-five percent (85%) of the Net Amount of Eligible Accounts; plus (B) twenty-five percent (25%) of the Value of Eligible Inventory, less (C) any Availability Reserves.

Lending Formula. Subject to and upon the terms and conditions contained herein, Lender agrees to make Revolving Loans (pursuant to Section 2.1 hereof) under a line of credit (the "Line of Credit") from time to time in amounts requested by Borrower up to an aggregate outstanding principal amount equal to the lesser of: (i) the Maximum Amount; or (ii) the sum of: (A) eighty percent (80%) of the Net Amount of Eligible Accounts; PLUS (B) the lesser of (1) sixty percent (60%) of the Value of Eligible Inventory consisting of raw materials, or, (2) an amount equal to $2,500,000.00; PLUS (C) the Equipment Amount; LESS (D) any Availability Reserves.

Lending Formula. All advances under the MDC Loan will be limited to 95% of the fair market value as determined by Bank from time to time of short term, high grade, interest bearing securities issued by the United States government, any agency thereof, or domestic corporations, acceptable to Bank and pledged to Bank pursuant to the Pledge Agreement (the "Qualified Securities") less a reserve of Qualified Securities with a Pledge Value (as defined below) and EXHIBIT 10.41 determined by Bank at the time of such advance equal to the aggregate amount then outstanding under the Equipment Loans. The value of the Qualified Securities determined in accordance with the preceding sentence is hereinafter referred to as the "Pledge Value."

Lending Formula. Subject to and upon the terms and conditions contained herein, Lender agrees to make Term Loans from time to time in amounts requested by Borrower up to an aggregate outstanding principal amount equal to the lesser of (1) $10,000,000; or (2) eighty percent (80%) of the orderly liquidation value of the Equipment up to a maximum of one hundred percent (100%) of auction value of the Equipment, with such values to be determined by Lender and subject to reduction from time to time based on appraisals of the Equipment or otherwise in Lender's discretion.