Mandatory Cash Collateralization Sample Clauses

The Mandatory Cash Collateralization clause requires a party to provide cash as collateral under certain specified conditions. Typically, this means that if a party's exposure exceeds a set threshold or if certain credit events occur, they must post cash rather than other forms of collateral such as securities or letters of credit. This ensures that the collateral is highly liquid and readily available, reducing credit risk and providing greater security to the counterparty in the event of default or market volatility.
Mandatory Cash Collateralization. If at any time the aggregate amount of the Letter of Credit Obligations plus the Unused LC Commitment exceeds the LC Commitment, the Borrower shall, promptly after receipt of written notice thereof from the Bank, Cash Collateralize the Letter of Credit Obligations in an amount equal to such excess.
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Mandatory Cash Collateralization. Each Loan Party (or, in the case of BWXT, either MII or BWXT) shall, not later than the third Business Day after the date of receipt of the Net Cash Proceeds by such Loan Party or any of its Subsidiaries from (A) the sale, lease, transfer or other disposition of any assets of such Loan Party or any of its Subsidiaries (other than assets described in clause (C) of this sentence or any sale, lease, transfer or other disposition of assets pursuant to clause (i), (v), (vi), (vii), (viii) or (x) of Section 5.02(e)), (B) the incurrence or issuance by any Loan Party or any of its Subsidiaries of any Debt (other than Debt incurred or issued pursuant to Section 5.02(b)), (C) the sale or issuance by any Loan Party or any of its wholly-owned Subsidiaries of any Equity Interests (including, without limitation, receipt of any capital contribution, but excluding any sale or issuance of any Equity Interest in any Person (1) which is an Investment specifically permitted under Section 5.02(f)(iii), (2) as required under the terms of the Settlement Agreement) or (3) pursuant to any incentive compensation or other benefit plan or arrangement) and (D) any Extraordinary Receipt received by or paid to or for the account of any Loan Party or any of its Subsidiaries and not otherwise included in clause (A), (B) or (C) above, deposit an amount in a segregated cash collateral account maintained with the Administrative Agent to collateralize the Facilities equal to (x) the amount of such Net Cash Proceeds, in the case of Net Cash Proceeds arising from clause (B) above, and (y) 50% of the amount of such Net Cash Proceeds in the case of any Net Cash Proceeds arising from any of clauses (A), (C) or (D) above; provided that net cash proceeds of BWXT that are required to be used to cash collateralize the Facilities shall be applied solely to cash collateralize the obligations of BWXT under the Facilities; provided, further that no cash collateralization shall be required under clauses (A) or (D) above (1) in respect of the first $30,000,000 of such Net Cash Proceeds or (2) in connection with any transaction or series of related transactions from which the aggregate Net Cash Proceeds do not exceed $500,000.
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Mandatory Cash Collateralization 
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Related to Mandatory Cash Collateralization

  • Cash Collateralization If any Event of Default shall occur and be continuing, or if the Revolving L/C Exposure is otherwise required to be cash collateralized pursuant to this Agreement, on the Business Day following the date on which the Borrower receives notice from the Administrative Agent (or, if the maturity of the Loans has been accelerated, Revolving Facility Lenders with Revolving L/C Exposure representing greater than 50% of the total Revolving L/C Exposure) demanding the deposit of cash collateral pursuant to this paragraph, the Borrower shall deposit in an account with or at the direction of the Administrative Agent, in the name of the Administrative Agent and for the benefit of the Lenders, an amount in cash in Dollars equal to 103% (or, with respect to Alternate Currency Letters of Credit not cash collateralized in the Alternate Currency, 115%) of the Revolving L/C Exposure as of such date plus any accrued and unpaid interest thereon; provided that, upon the occurrence of any Event of Default with respect to the Borrower described in clause (h) or (i) of Section 8.01, the obligation to deposit such cash collateral shall become effective immediately, and such deposit shall become immediately due and payable, without demand or other notice of any kind. Each such deposit pursuant to this paragraph shall be held by the Administrative Agent as collateral for the payment and performance of the obligations of the Borrower under this Agreement. The Administrative Agent shall have exclusive dominion and control, including the exclusive right of withdrawal, over such account. Such deposits shall not bear interest. Moneys in such account shall be applied by the Administrative Agent to reimburse each Issuing Bank for L/C Disbursements for which such Issuing Bank has not been reimbursed and, to the extent not so applied, shall be held for the satisfaction of the reimbursement obligations of the Borrower for the Revolving L/C Exposure at such time or, if the maturity of the Loans has been accelerated (but subject to the consent of Revolving Facility Lenders with Revolving L/C Exposure representing greater than 50% of the total Revolving L/C Exposure), be applied to satisfy other obligations of the Borrower under this Agreement. If the Borrower is required to provide an amount of cash collateral hereunder as a result of the occurrence of an Event of Default, such amount (to the extent not applied as aforesaid) shall be returned to the Borrower within three Business Days after no Event of Default is continuing.

  • Obligation to Cash Collateralize At any time there shall exist a Defaulting Lender, within one Business Day following the written request of the Administrative Agent or the L/C Issuer (with a copy to the Administrative Agent), the Borrower shall Cash Collateralize the L/C Issuer’s Fronting Exposure with respect to such Defaulting Lender (determined after giving effect to Section 2.15(a)(iv) and any Cash Collateral provided by such Defaulting Lender) in an amount not less than the Minimum Collateral Amount.

  • Cross-Collateralization No Mortgage Loan is cross-collateralized or cross-defaulted with any other mortgage loan that is outside the Mortgage Pool, except in the case of a Mortgage Loan that is part of a Whole Loan.

  • Cash Collateralize the delivery of cash to Agent, as security for the payment of any inchoate or other contingent Obligations, in an amount equal to 103% of the amount due or to become due, including fees, expenses and indemnification hereunder. "Cash Collateralization" has a correlative meaning. Cash Equivalents: (a) marketable obligations issued or unconditionally guaranteed by, and backed by the full faith and credit of, the United States government, maturing within 12 months of the date of acquisition; (b) certificates of deposit, time deposits and bankers' acceptances maturing within 12 months of the date of acquisition, and overnight bank deposits, in each case which are issued by a commercial bank organized under the laws of the United States or any state or district thereof, rated A-1 (or better) by S&P or P-1 (or better) by ▇▇▇▇▇'▇ at the time of acquisition, and (unless issued by a Lender) not subject to offset rights; (c) repurchase obligations with a term of not more than 30 days for underlying investments of the types described in clauses (a) and (b) entered into with any bank described in clause (b); (d) commercial paper rated A-1 (or better) by S&P or P-1 (or better) by ▇▇▇▇▇'▇, and maturing within nine months of the date of acquisition; and (e) shares of any money market fund that has substantially all of its assets invested continuously in the types of investments referred to above, has net assets of at least $500,000,000 and has the highest rating obtainable from either ▇▇▇▇▇'▇ or S&P. Cash Management Services: services relating to operating, collections, payroll, trust, or other depository or disbursement accounts, including automated clearinghouse, e-payable, electronic funds transfer, wire transfer, controlled disbursement, overdraft, depository, information reporting, lockbox and stop payment services. CECAFE: CECAFE SERVICOS ADMINISTRATIVOS LTDA. ME. Cerberus: has the meaning specified therefor in the preamble hereto. CERCLA: the Comprehensive Environmental Response Compensation and Liability Act (42 U.S.C. § 9601 et seq.).

  • Cash Collateral, Repayment of Swingline Loans If the reallocation described in clause (iv) above cannot, or can only partially, be effected, the Borrower shall, without prejudice to any right or remedy available to it hereunder or under law, (x) first, prepay Swingline Loans in an amount equal to the Swingline Lender’s Fronting Exposure and (y) second, Cash Collateralize the Issuing Lender’s Fronting Exposure in accordance with the procedures set forth in Section 3.10.