New Issuance Prepayment. The Borrower shall pay to the Dollar Agent, for the accounts of the Dollar Banks (each, a "New Issuance Prepayment"), within ten (10) days after the completion by the Borrower of any issuance of additional common equity securities (other than issuances of common stock to employees or independent sales representatives of the Borrower and other than any Permitted Preferred Stock Replacement), an amount equal to one hundred percent 100% of the Net Proceeds received by the Borrower in connection with any such issuance by the Borrower of equity securities or warrants or subscription rights for equity securities; provided however, that no such New Issuance Prepayments shall be required from and after the occurrence of the Issuance Prepayment Termination Date. Each such New Issuance Prepayment shall be applied ratably against the remaining scheduled installments of principal due on the Term Loan.
Appears in 2 contracts
Sources: Revolving Credit, Term Loan and Gold Consignment Agreement (Commemorative Brands Inc), Revolving Credit, Term Loan and Gold Consignment Agreement (Commemorative Brands Inc)