Common use of Restrictions on Ability of Subsidiaries to Pay Dividends Clause in Contracts

Restrictions on Ability of Subsidiaries to Pay Dividends. Permit any Subsidiary to, directly or indirectly, voluntarily create or otherwise voluntarily cause or suffer to exist or become effective any encumbrance or restriction on the ability of any Subsidiary to (a) pay dividends or make any other distributions on its capital stock or any other interest or (b) make or repay loans or advances to any Loan Party or any Canadian Subsidiary except for encumbrances or restrictions under (i) this Agreement and the other Loan Documents, (ii) the Existing Stone Loan Documents, (iii) the indentures governing the Subordinated Notes, the Senior Notes or the First Mortgage Notes (or any refinancing thereof pursuant to Section 7.01(e)), (iv) with respect to ---------------- FinSub, the Receivables Program Documents, (v) documentation governing the Indebtedness (including Indebtedness incurred after the date hereof) of Stone Container GmbH and its subsidiaries and (vi) any agreements identified on Schedule 7.12. -------------

Restrictions on Ability of Subsidiaries to Pay Dividends. Permit any Subsidiary to, directly or indirectly, voluntarily create or otherwise voluntarily cause or suffer to exist or become effective any encumbrance or restriction on the ability of any Subsidiary to (a) pay dividends or make any other distributions on its capital stock or any other interest or (b) make or repay loans or advances to any Loan Party or any Canadian Subsidiary except for encumbrances or restrictions under (i) this Agreement and the other Loan Documents, (ii) the Existing Stone Loan Documents, (iii) the indentures governing the Subordinated Notes, the Senior Notes or the First Mortgage Notes (or any refinancing thereof pursuant to Section 7.01(e)), (iv) with respect to ---------------- FinSub, the Receivables Program Documents, (v) documentation governing the Indebtedness (including Indebtedness incurred after the date hereof) of Stone Container GmbH and its subsidiaries and (vi) any agreements identified on Schedule 7.12. -------------.