Inventory Covenant Sample Clauses

Inventory Covenant. If, at any time during which Incremental Term Loans are outstanding, the Reported Value of the Loan Parties’ Inventory (as determined on the basis of the then most recent Borrowing Base Certificate delivered pursuant to Section 5.01(h), including any Borrowing Base Certificate delivered after the occurrence of an Inventory Shortfall) shall be less than the Total Outstandings (any such occurrence being an “Inventory Shortfall”), the Company shall, on or before the expiration of the Inventory Grace Period, cause the Total Outstandings to be not more than the Reported Value of the Loan Parties’ Inventory.