EBITDA TEST Sample Clauses
The EBITDA Test clause sets a financial benchmark based on a company's earnings before interest, taxes, depreciation, and amortization (EBITDA) to assess compliance with certain contractual obligations. Typically, this clause requires the company to maintain a minimum EBITDA level over specified periods, and failure to meet this threshold may trigger consequences such as default, renegotiation, or additional reporting requirements. Its core function is to provide a clear, quantifiable measure of financial health, thereby protecting parties by ensuring the company remains financially stable throughout the contract term.
POPULAR SAMPLE Copied 1 times
EBITDA TEST. From and after the Trigger Date, the Borrower Group will no permit the EBITDA Test to be more than the following ratios for the following dates (when calculating Consolidated Debt less cash and Permitted Investments) and quarterly and annual periods (when calculating EBITDA) ending on such dates: PERIOD PERIOD ENDING ON EBITDA RATIO ------ ---------------- ------------ Annual December 31, 2003 8:1 Quarterly March 31, June 30 and September 30, 2004 8:1 Annual December 31, 2004 and each December 31 thereafter 6:1 Quarterly March 31, June 30 and September 30 of each year, commencing March 31, 2005 and thereafter 6:1 All calculations made for purposes of determining compliance with this financial covenant shall be based on financial statements reconciled to U.S. GAAP; provided, that for purposes of this Section 6.09, Consolidated Debt and Permitted Investments shall be calculated in Dollars on the date of any determination.
EBITDA TEST. Commencing with the Fiscal Quarter ending March 31, 2024, with respect to any given Fiscal Quarter, the Company’s Adjusted EBITDA for such Fiscal Quarter shall exceed the amount set forth opposite such Fiscal Quarter in the following table (the “Minimum Adjusted EBITDA Test”): March 31, 2024 $ 500,000 June 30, 2024 $ 667,000 September 30, 2024 $ 834,000 December 31, 2024 and on the last day of each Fiscal Quarter thereafter $ 1,000,000
EBITDA TEST. 1. In the event that the weighted average EBITDA of SQM (as reported on an audited consolidated basis under Chilean GAAP) for the two years ended 31 December 2003 is equal to or greater than US$ 205 million, the sum of US$ 6 million shall be subscribed;
2. In the event that the test set forth in the preceding paragraph is not met but the weighted average EBITDA of SQM (as reported on an audited consolidated basis under Chilean GAAP) for the three years ended 31 December 2003 is equal to or greater than US$ 132.5 million, the sum of US$ 4 million shall be subscribed; and
3. In the event that the weighted average EBITDA for the three years ended 31 December 2003 is less than US$ 132.5 million, no subscription shall be made. For purposes of the EBITDA Test in paragraph (1) the weighted average EBITDA for the 2 years ended 31 December 2003 shall be the sum of (a) 50% of the EBITDA for 2002 plus (b) 50% of the EBITDA for 2003 and for purposes of the EBITDA Test in paragraphs (2) and (3) the weighted average EBITDA for the 3 years ended 31 December 2003 shall be the sum of (x) 20% of the EBITDA for 2001 (y) 30% of the EBITDA for 2002 and (z) 50% of the EBITDA for 2003. Any payment in respect of the EBITDA Test shall be made on the same date as provided in paragraph 3.1.(b)(i) with respect to the Debt Ratio.
EBITDA TEST. Have for each fiscal quarter during the periods set forth on Schedule 7.19E, Adjusted EBITDA of not less than the amounts shown on such Schedule 7.19E -------------- for the applicable period.
EBITDA TEST. Seller shall be entitled to receive, as a component of the Contingent Payments, cash in an amount determined in accordance with this Section 4.3(c), in respect of growth in EBITDA ("EBITDA Payments").
(i) Seller shall be entitled to receive EBITDA Payments in the event that EBITDA for the fiscal year ended December 31, 1997 ("1997 EBITDA") exceeds the Earnings Baseline in accordance with the following: 1997 EBITDA as a Percentage of Earnings Baseline Amount of EBITDA Payments less than 108% $0 108% $37.5 million greater than 108% but equal to or less inear increase from $37.5 million (at than 110% 108%) to $75 million (at 110%) greater than 110% but equal to or less linear increase from $75 million (at than 112% 110%) to $100 million (at 112%) greater than 112% $100 million
(ii) if 1997 EBITDA is less than 108% of the Earnings Baseline, but EBITDA for the fiscal year ended December 31, 1998 ("1998 EBITDA") is an amount equal to or greater than 116% of the Earnings Baseline, then EBITDA Payments shall be made in the amount of $75 million in respect of such period;
(iii) if (x) 1997 EBITDA is less than 108% of the Earnings Baseline, (y) 1998 EBITDA is an amount less than 116% of the Earnings Baseline, and (z) EBITDA for the fiscal year ended December 31, 1999 ("1999 EBITDA") is equal to or greater than 124% of the Earnings Baseline, then EBITDA Payments shall be made in the amount of $75 million in respect of such period;
(iv) if at least $37.5 million but less than $75 million is paid to Seller as EBITDA Payments in respect of the fiscal year ended December 31, 1997, then (x) if 1998 EBITDA is an amount equal to or greater than 116% of the Earnings Baseline, then EBITDA Payments shall be made in an amount such that the aggregate EBITDA Payments equals $75 million; or (y) if 1998 EBITDA is less than 116% of the Earnings Baseline, but 1999 EBITDA is an amount equal to or greater than 124% of the Earnings Baseline, then EBITDA Payments shall be made in an amount such that the aggregate EBITDA Payments equals $75 million;
(v) To the extent the aggregate EBITDA Payments made to Seller exceed $75 million, such excess is referred to herein as "Excess EBITDA Payments"; and
(vi) Set forth on Schedule II hereto is an example of application of the EBITDA Test to hypothetical facts.
EBITDA TEST. At the end of each Quarter commencing from 31 December 2001 up to and including 31 December 2003 the aggregate EBITDA in Euro of the immediately preceding two Quarters shall not negatively deviate more than 20% from the level set out in column headed "Aggregate EBITDA Base Case" in the table below. MAXIMUM NEGATIVE AGGREGATE AGGREGATE EBITDA EBITDA BASE EBITDA BASE CASE CASE (-20%) --------- ---- ------ Quarter IV 2001 -4,271,528 -7,397,292 -8,876,751 Quarter I 2002 -6,286,190 -10,557,719 -12,669,263 Quarter II 2002 -7,370,611 -13,656,801 -16,388,161 Quarter III 2002 -6,082,746 -13,453,357 -16,144,028 Quarter IV 2002 -5,922,727 -12,005,473 -14,406,568 Quarter I 2003 -2,494,642 -8,417,368 -10,100,842 Quarter II 2003 -1,450,262 -3,944,904 -4,733,885 Quarter III 2003 261,541 -1,188, 721 -1,426,465 Quarter IV 2003 -757,513 -495,972 -595,166
EBITDA TEST. Schedule III......................................................
EBITDA TEST. Once the Loan Commitment Conditions have been met, the Loan Parties will maintain at all times EBITDA, calculated on a rolling six-month basis and tested at the end of each month, of not less than $2,000,000.”.
3.12 As of the Amendment Effective Date, Exhibit C of the Credit Agreement is hereby amended by deleting paragraph 5 thereof in its entirety, and adjusting the remaining paragraph numbering accordingly.
3.13 As of the Amendment Effective Date, the Revolving Commitment Schedule to the Credit Agreement is hereby deleted and replaced, in its entirety, by the Revolving Commitment Schedule attached hereto as Schedule “B”.
3.14 As of the Amendment Effective Date, the Credit Agreement is hereby amended and modified in accordance with the provisions set out herein, and shall be read in its entirety in the form attached hereto as Schedule “C”.