Initial Borrowing Bases Clause Samples
The 'Initial Borrowing Bases' clause defines the starting amounts or limits that a borrower can draw under a credit facility at the outset of the agreement. Typically, this clause specifies how the initial borrowing base is calculated, often based on the value of certain assets such as inventory or receivables, and may outline the documentation or verification required to establish these values. Its core function is to set clear, objective parameters for the initial amount of credit available, thereby providing both lender and borrower with certainty and a framework for managing credit risk from the beginning of the lending relationship.
Initial Borrowing Bases. As of the Section 3 Effective Date, the parties hereto agree that the Borrowing Base shall be equal to $500,000,000 until such time as the Borrowing Base is redetermined in accordance with this Agreement and the EPL Borrowing Base shall be equal to $150,000,000 until such time as the EPL Borrowing Base is redetermined in accordance with this Agreement. The foregoing shall be deemed to be the Borrowing Base determination pursuant to Section 2.8.3 for March 2015.”
Initial Borrowing Bases. As of the Eighth Amendment Effective Date, the parties hereto agree that the Borrowing Base shall be equal to $1,500,000,000 until such time as the Borrowing Base is redetermined in accordance with this Agreement and the EPL Borrowing Base shall be equal to $475,000,000 until such time as the EPL Borrowing Base is redetermined in accordance with this Agreement.
Initial Borrowing Bases. As of the Eighth Amendment Effective Date, the parties hereto agree that the Borrowing Base shall be equal to $1,500,000,000 until such time as the Borrowing Base is redetermined in accordance with this Agreement and the EPL Borrowing Base shall be equal to $475,000,000 until such time as the EPL Borrowing Base is redetermined in accordance with this Agreement. 284. Section 2.8.2 of the Credit Agreement is hereby amended by (x) deleting the phrase “aggregate Loan Commitments” and inserting in place thereof the phrase “aggregate of the Loan Commitments” and (y) deleting the phrase “any Lender that has not communicated” and inserting in place thereof the phrase “any Lender has not communicated”.