Additional Financial Covenants Clause Samples
The "Additional Financial Covenants" clause sets out extra financial requirements or restrictions that a party, typically a borrower, must adhere to beyond standard covenants in an agreement. These may include maintaining certain financial ratios, limits on additional debt, or requirements for periodic financial reporting. By imposing these additional obligations, the clause helps ensure the financial stability of the party and provides the other party, often a lender, with greater assurance that the borrower's financial health will be maintained throughout the term of the agreement.
Additional Financial Covenants. If the Company shall at any time enter into one or more agreements pursuant to which Indebtedness in an aggregate principal amount greater than $25,000,000 shall be outstanding and such agreement contains one or more financial covenants which are more restrictive on the Company and its Subsidiaries than the financial covenants contained in Section 9.9 of this Agreement, then such more restrictive financial covenants and any related definitions (the “Additional Financial Covenants”) shall automatically be deemed to be incorporated into Section 9.9 of this Agreement by reference from the time such other agreement becomes binding upon the Company until such time as such other Indebtedness is repaid in full and all commitments related thereto are terminated; provided, that if at the time of any such repayment or the termination of any such commitment a Default or Event of Default shall exist under this Agreement, then such Additional Financial Covenants shall continue in full force and effect under this Agreement so long as such Default or Event of Default continues to exist. So long as such Additional Financial Covenants shall be in effect, no modification or waiver of such Additional Financial Covenants shall be effective unless the Required Holders shall have consented thereto pursuant to Section 17.1 hereof. Promptly but in no event more than 5 Business Days following the execution of any agreement providing for Additional Financial Covenants, the Company shall furnish each Holder with a copy of such agreement. Upon written request of the Required Holders, the Company will enter into an amendment to this Agreement pursuant to which this Agreement will be formally amended to incorporate the Additional Financial Covenants on the terms set forth herein.
Additional Financial Covenants. Financial covenants will be calculated on a trailing four quarters basis (and for ▇. ▇▇▇▇▇▇▇▇▇’▇ Holdings, LLC, and its subsidiaries on a consolidated basis) and will consist of:
Additional Financial Covenants. The Borrower and the Guarantor and all Subsidiaries shall at all times comply with the following additional financial covenants:
Additional Financial Covenants. Notwithstanding anything else contained herein to the contrary, in the event that any maintenance financial covenant is included in any SSLI Documentation (as defined in Schedule 1.01C), such covenant will be deemed to be added to Article VI of this Agreement automatically, without the need for any further action whatsoever.
Additional Financial Covenants. 7.5.1. Each Borrower, except those subject to pass-through tax classification, agrees and covenants with Lender that, at all times during the term of this Agreement:
Additional Financial Covenants. Notwithstanding anything else contained herein to the contrary, in the event that any maintenance financial covenant other than the financial covenants set forth in Sections 6.09 and 6.10 is included in the Second Lien Agreement, the Third Lien Agreement or any Senior Subordinated-Lien Document (as defined in Schedule 1.01C), such covenant will be deemed to be added to Article VI of this Agreement automatically, without the need for any further action whatsoever.
Additional Financial Covenants. The Loan Parties shall each deliver a report to the Administrative Agent on each Wednesday (or such later date as may be agreed to by the Administrative Agent in writing in its sole discretion) showing compliance with the following covenants as of the last day of the immediately preceding Measurement Period: (i) the aggregate amount of Loan Parties' actual cash expenses and disbursements during such Measurement Period shall not be more than 110% of the projected cash expenses and disbursements for such Measurement Period as set forth in the Approved Budget, (ii) the aggregate amount of Loan Parties' actual cash receipts during such Measurement Period shall not be less than 90% of the projected cash receipts for such Measurement Period as set forth in the Approved Budget, (iii) the Loan Parties' actual surgical cases performed during such Measurement Period shall not be less than 90% of the projected surgical cases for such Measurement Period as set forth in the Approved Budget, and on each Determination Date the Borrower shall provide such reports to the Administrative Agent evidencing such compliance with the foregoing obligations. The foregoing covenant calculations shall exclude (x) fees and expenses paid to (A) the Loan Parties' professionals (including attorneys and financial advisors) in connection with any restructuring, and (B) the Administrative Agent's and the Super Priority Agent’s professionals (including attorneys and attorney's financial advisors) and (y) all debt service payable in connection with the Credit Agreement and the Super Priority Credit Agreement. “Measurement Period” shall mean the one week period immediately preceding each Determination Date. The Loan Parties acknowledge and agree that a violation of the covenants set forth in this clause (dd) shall be deemed an immediate additional Event of Default under Article VIII of the Credit Agreement and will immediately terminate the Second Forbearance Period. SECOND LIMITED CONDITIONAL FORBEARANCE AGREEMENT --Page 24 502196916 v6 1205867.00001
Additional Financial Covenants. In addition to the other financial covenants required to be maintained by Borrower under the Loan Documents, Borrower agrees as follows:
Additional Financial Covenants. The following shall be deemed inserted in the Initial Loan Agreement as Paragraph 10.7:
Additional Financial Covenants. (a) Maximum Consolidated Leverage Ratio.