Common use of Terms of Subordination Clause in Contracts

Terms of Subordination. For the purpose of calculating the financial covenants under this clause 18, the Borrower may procure any Inter-Group Borrowing or any Third Party Borrowing be deemed and treated as Subordinated Indebtedness pursuant to a Group Subordination Deed or, as the case may be, a Third Party Subordination Deed. In either case, the Borrower may subsequently at its option de-subordinate any such Subordinated Indebtedness in accordance with the terms of the Group Subordination Deed or, as the case may be, the Third Party Subordination Deed relating thereto provided that such de-subordination applies to all but not part only of such Subordinated Indebtedness and provided further that the following conditions have been satisfied: (A) the Borrower has given to the Agent not less than 30 Business Days' (or such shorter period as the Majority Lenders may agree) prior written notice of the date on which such de-subordination is to become effective (the "Release Date"); (B) together with the notice referred to above, the Borrower has delivered a confirmation in writing to the Agent certifying that it is in compliance with the financial covenants contained in and calculated in accordance with this clause 18 and would remain in compliance notwithstanding the proposed de-subordination and confirming that no Default has occurred and is Continuing or would result from the proposed de-subordination. For the avoidance of doubt, the relevant amount of the Subordinated Indebtedness to be de-subordinated on the Release Date shall, as from and as at such date, be treated as and included in the calculation of Total Debt or, as the case may be, Interest for the purposes of this clause 18; and (C) no Default is Continuing on the Release Date. The Borrower shall not be entitled to de-subordinate any Subordinated Indebtedness except as provided for in this clause 18.3.

Terms of Subordination. For the purpose of calculating the financial covenants under this clause 18, the Borrower may procure any Inter-Group Borrowing or any Third Party Borrowing be deemed and treated as Subordinated Indebtedness pursuant to a Group Subordination Deed or, as the case may be, a Third Party Subordination Deed. In either case, the Borrower may subsequently at its option de-subordinate any such Subordinated Indebtedness in accordance with the terms of the Group Subordination Deed or, as the case may be, the Third Party Subordination Deed relating thereto provided that such de-subordination applies to all but not part only of such Subordinated Indebtedness and provided further that the following conditions have been satisfied: (A) the Borrower has given to the Facility Agent not less than 30 Business Days' (or such shorter period as the Majority Lenders may agree) prior written notice of the date on which such de-subordination is to become effective (the "Release Date"); (B) together with the notice referred to above, the Borrower has delivered a confirmation in writing to the Facility Agent certifying that it is in compliance with the financial covenants contained in and calculated in accordance with this clause 18 and would remain in compliance notwithstanding the proposed de-subordination and confirming that no Default has occurred and is Continuing or would result from the proposed de-subordination. For the avoidance of doubt, the relevant amount of the Subordinated Indebtedness to be de-subordinated on the Release Date shall, as from and as at such date, be treated as and included in the calculation of Total Debt or, as the case may be, Interest for the purposes of this clause 18; and (C) no Default is Continuing on the Release Date. The Borrower shall not be entitled to de-subordinate any Subordinated Indebtedness except as provided for in this clause 18.3.