Common use of Effective Tangible Net Worth Clause in Contracts

Effective Tangible Net Worth. Permit Effective Tangible Net Worth, as of the end of any fiscal quarter of the Borrower, to be less than the sum of (i) $12,500,000, (ii) on a cumulative basis, on the date the Lender receives (or should have received) the financial statements referred to in Section 5.1(b) with respect to any quarter (beginning with such statements delivered for the fiscal quarter ended September 30, 2003), 75% of the Net Income of the Borrower and the Subsidiaries (disregarding any loss) in such fiscal quarter and (iii) on a cumulative basis, 100% of the Net Proceeds of any Equity Offering consummated by the Borrower or any Subsidiary during such fiscal quarter.

Effective Tangible Net Worth. Permit Effective Tangible Net Worth, as of the end of any fiscal quarter of the Borrower, to be less than the sum of (i) $12,500,00050,000,000, plus (ii) on a cumulative basis, on the date the Lender Administrative Agent receives (or should have received) the financial statements referred to in Section 5.1(b) with respect to any quarter (beginning with such statements delivered for the fiscal quarter ended September 30, 20032005), 75% of the Net Income of the Borrower and the Subsidiaries (disregarding any loss) in such fiscal quarter and quarter, plus (iii) on a cumulative basis, 100% of the Net Issuance Proceeds of any Equity Offering consummated by the Borrower or any Subsidiary during such fiscal quarter, minus (iv) 100% of goodwill or other intangible assets that result from a Permitted Acquisition.