Common use of Asset Dispositions; Events of Loss Clause in Contracts

Asset Dispositions; Events of Loss. If the aggregate amount of the Net Proceeds received by a Credit Party in connection with a Disposition or an Event of Loss and all other Dispositions and Events of Loss occurring during any Fiscal Year exceeds $500,000, then (i) Borrower Representative shall promptly notify Agent of such proposed Disposition or Event of Loss (including the amount of the estimated Net Proceeds in respect thereof) and (ii) promptly upon receipt by a Credit Party of the Net Proceeds of such Disposition or Event of Loss, Borrowers shall deliver or cause to be delivered to Agent for distribution to Lenders as a prepayment of the Obligations, an amount equal to the lesser of (A) such Net Proceeds or (B) the outstanding Obligations. If no Default or Event of Default has occurred and is continuing, such prepayment shall not be required to the extent a Credit Party reinvests the Net Proceeds of such Disposition or Event of Loss in productive assets (other than Inventory) of a kind then used or usable in the business of a Borrower, within 180 days after the date of such Disposition or Event of Loss; provided, that Borrower Representative notifies Agent of such Credit Party’s intent to reinvest, the proposed date of such reinvestment at the time such proceeds are received and the date reinvestment occurs. Pending such reinvestment, an amount equal to the lesser of (A) such Net Proceeds or (B) the outstanding Obligations, shall be delivered to Agent, for distribution first, to Swingline Lender as a prepayment of any Swing Loans and thereafter to Lenders, as a prepayment of any Revolving Loans, but, in either case, not as a permanent reduction of the Aggregate Revolving Commitment.

Asset Dispositions; Events of Loss. If the aggregate amount of the Net Proceeds received by a Credit Party or any Subsidiary in connection with a Disposition or an Event of Loss and all other Dispositions and Events of Loss occurring during any the Fiscal Year exceeds $500,000250,000, then (i) Borrower Representative shall promptly notify Agent of such proposed Disposition or Event of Loss (including the amount of the estimated Net Proceeds in respect thereof) and (ii) upon Agent’s request, promptly upon receipt by a Credit Party and/or such Subsidiary of the Net Proceeds of such Disposition or Event of Loss, Borrowers shall deliver deliver, or cause to be delivered delivered, such excess Net Proceeds to Agent for distribution to Lenders as a prepayment of the Obligations, an amount equal to the lesser of (A) such Net Proceeds or (B) the outstanding ObligationsLoans. If no Default or Event of Default has occurred and is continuing, such prepayment shall not be required to the extent a Credit Party or such Subsidiary reinvests the Net Proceeds of such Disposition or Event of Loss in productive assets (other than Inventory) of a kind then used or usable in the business of a BorrowerBorrower or such Subsidiary, within 180 days after the date of such Disposition or Event of Loss; provided, provided that Borrower Representative notifies Agent of such Credit Party’s or such Subsidiary’s intent to reinvest, the proposed date of such reinvestment at the time such proceeds are received and the date reinvestment occurs. Pending such reinvestment, an amount equal to the lesser of (A) such Net Proceeds or (B) the outstanding Obligations, shall be delivered to Agent, for distribution first, to Swingline Lender as a prepayment of any Swing Loans and thereafter to Revolving Lenders, as a prepayment of any Revolving Loans, but, in either case, not as a permanent reduction of the Aggregate Revolving Commitment.

Asset Dispositions; Events of Loss. If the aggregate amount of the Net Proceeds received by a Credit Party in connection with Company or any Subsidiary shall at any time or from time to time make or agree to make a Disposition or shall suffer an Event of Loss and all other Dispositions and Events resulting in aggregate Net Proceeds in excess of Loss occurring during $500,000 in any Fiscal Year exceeds $500,000fiscal year of the Company, then (i) Borrower Representative the Company shall promptly notify the Agent of such proposed Disposition or Event of Loss (including the amount of the estimated Net Proceeds to be received by the Company or such Subsidiary in respect thereof) and (ii) promptly upon upon, and in no event later than five days after, receipt by a Credit Party the Company or the Subsidiary of the Net Proceeds of such Disposition or Event of Loss, Borrowers the Company shall deliver or cause to be delivered to Agent for distribution to Lenders as a prepayment of prepay the Obligations, Term Loans in accordance with Subsection 2.07(c) in an aggregate amount equal to 100% of the lesser amount of (A) such Net Proceeds in the case of a 39 48 Disposition and in an aggregate amount equal to 100% of such Net Proceeds in the case of an Event of Loss; provided in the case of each Disposition and Event of Loss, if the Company states in its notice of such event that the Company or (Bthe applicable Subsidiary intends to reinvest, within 90 days of the applicable Disposition or receipt of Net Proceeds from an Event of Loss, the Net Proceeds thereof in assets similar to the assets which were subject to such Disposition or Event of Loss, then the Company shall not be required to make a mandatory prepayment under this subsection 2.07(a) in respect of such Net Proceeds to the outstanding Obligations. If extent such Net Proceeds are actually reinvested in such similar assets within a 180-day period; provided, that as a result of giving effect to such reinvestment no Default or Event of Default then exists or would occur as a result of such reinvestment. Promptly after the end of such 180-day period, the Company will notify the Agent whether it has occurred reinvested such Net Proceeds in such similar assets, and is continuing, such prepayment shall not be required to the extent a Credit Party reinvests the Net Proceeds of such Disposition or Event of Loss in productive assets (other than Inventory) of a kind then used or usable in the business of a Borrower, within 180 days after the date of such Disposition or Event of Loss; provided, that Borrower Representative notifies Agent of such Credit Party’s intent to reinvest, the proposed date of such reinvestment at the time such proceeds are received and the date reinvestment occurs. Pending such reinvestment, an amount equal to the lesser of (A) such Net Proceeds or (B) have not been so reinvested, the outstanding Obligations, shall be delivered to Agent, for distribution first, to Swingline Lender as a prepayment Company will promptly prepay the Term Loans in the amount of any Swing Loans and thereafter to Lenders, as a prepayment of any Revolving Loans, but, in either case, such Net Proceeds not as a permanent reduction of the Aggregate Revolving Commitmentso reinvested.

Asset Dispositions; Events of Loss. If the aggregate amount of the Net Proceeds received by a Credit Party in connection with a Disposition or an Event of Loss and all other Dispositions and Events of Loss occurring during any Fiscal Year exceeds $500,000, then (i) Borrower Representative shall promptly notify Agent of such proposed Disposition or Event of Loss (including the amount of the estimated Net Proceeds in respect thereof) and (ii) promptly upon receipt by a Credit Party of the Net Proceeds of such Disposition or Event of Loss, Borrowers shall deliver or cause to be delivered to Agent for distribution to Lenders as a prepayment of the Obligations, an amount equal to the lesser of (A) such Net Proceeds or (B) the outstanding Obligations. If no Default or Event of Default has occurred and is continuing, such prepayment shall not be required to the extent a Credit Party reinvests the Net Proceeds of such Disposition or Event of Loss in productive assets (other than Inventory) of a kind then used or usable in the business of a Borrower, within 180 days after the date of such Disposition or Event of Loss; provided, that Borrower Representative notifies Agent of such Credit Party’s intent to reinvest, the proposed date of such reinvestment at the time such proceeds are received and the date reinvestment occurs. Pending such reinvestment, an amount equal to the lesser of (A) such Net Proceeds or (B) the outstanding Obligations, shall be delivered to Agent, for distribution first, to Swingline Lender as a prepayment of any Swing Loans and thereafter to Lenders, as a prepayment of any Revolving Loans, but, in either case, not as a permanent reduction of the Aggregate Revolving Commitment. Notwithstanding the foregoing, amounts otherwise payable pursuant to this Section 1.13(a) on account of Term Loan Priority Collateral (as defined in the Term Intercreditor Agreement), if any, shall not be payable hereunder to the extent that they are paid to the Term Lenders pursuant to the Term Credit Agreement.