Leverage Coverage Ratio Sample Clauses

The Leverage Coverage Ratio clause defines a financial metric used to assess a borrower's ability to meet its debt obligations by comparing its earnings or cash flow to its outstanding debt. Typically, this clause specifies how the ratio is calculated, such as dividing EBITDA by total debt service, and may set minimum ratio requirements that the borrower must maintain throughout the term of a loan. Its core practical function is to provide lenders with a safeguard by ensuring the borrower maintains sufficient financial health, thereby reducing the risk of default.
Leverage Coverage Ratio. A. Total Debt $____________ B. Hedging Obligations $____________ C. Consolidated Debt (Item A minus Item B) $____________ D. Consolidated Net Worth $____________ E. Intangible Assets $____________ F. Capitalized Expenses $____________ G. Tangible Net Worth (Item D minus E minus F) $____________ H. Item C plus Item G $____________ I. Ratio of Item C to Item H ____________% Item I is not permitted to exceed 30%
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Leverage Coverage Ratio. Convertible debt to annualized quarterly earnings before interest, taxes, depreciation and amortization not to exceed 25 to 1, beginning first fiscal quarter 2008 (September 30, 2007); not to exceed 20 to 1, beginning the first quarter 2009 (September 30, 2008). No Event of Default shall be deemed to have occurred pursuant to the provisions of this Section 10.17(a) until the required ratios have not been met for two consecutive fiscal quarters.
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Leverage Coverage Ratio. The ratio of Total Funded Indebtedness divided by EBITDA, determined as at the end of each fiscal quarter for the preceding twelve month period, shall not exceed 1.25 to 1.00.
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Leverage Coverage Ratio. Section 9.3 of the Credit Agreement is amended by amending and restating such Section 9.3 in its entirety to read as follows:
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Related to Leverage Coverage Ratio

  • Cash Flow Coverage Ratio The ratio of (a) the Company’s Cash Flow to (b) the sum of (i) the Company’s consolidated Interest Expense plus (ii) the Company’s scheduled payments of principal (including the principal component of Capital Leases) to be paid during the 12 months following any date of determination shall at all times exceed (1) 1.5 to 1.0. Compliance with the ratio will be tested as of the last day of each month, with Cash Flow and Interest Expense being calculated for the twelve months then ended.

  • Leverage Ratios Notwithstanding anything to the contrary contained herein, for purposes of calculating any leverage ratio herein in connection with the incurrence of any Indebtedness, (a) there shall be no netting of the cash proceeds proposed to be received in connection with the incurrence of such Indebtedness and (b) to the extent the Indebtedness to be incurred is revolving Indebtedness, such incurred revolving Indebtedness (or if applicable, the portion (and only such portion) of the increased commitments thereunder) shall be treated as fully drawn.

  • Leverage Ratio The Borrower will not permit the Leverage Ratio to exceed 4.50 to 1.0 on the last day of any Fiscal Quarter.

  • Total Leverage Ratio The Borrowers will not permit the Total Leverage Ratio on the last day of any fiscal quarter to exceed 3.75 to 1.00.

  • Minimum Consolidated Fixed Charge Coverage Ratio The Consolidated Fixed Charge Coverage Ratio shall not be less than 1.50 to 1.00, determined based on information for the most recent fiscal quarter annualized.