Inventory Equity Sample Clauses
Inventory Equity. The Dealership will maintain used vehicle inventory equity of at least 10%.
i. Includes all vehicles owned by the Dealership and covered by the Ally Parties’ security interest, including the Dealership’s wholesale vehicles.
ii. Net of inbound transportation costs, unpaid lien payoffs, sales tax payables, and other third party payables.
iii. Unrestricted cash and cash equivalents in excess of the Minimum Liquidity requirement may be used to satisfy this covenant.
Inventory Equity. Dealership will maintain Vehicle inventory equity of at least 10%, calculated as follows: The amount by which the value of Dealership’s Vehicle inventory exceeds Wholesale Outstandings, divided by the value of Dealership’s Vehicle inventory, must be equal to or greater than 10%, where:
i. Vehicle inventory includes all vehicles owned by Dealership and covered by the Ally Parties’ security interest, including wholesale vehicles, but excluding Vehicles held on consignment;
ii. Vehicle inventory value is net of unpaid lien payoffs (and excludes the value of Vehicles held on consignment); and
iii. unrestricted cash and cash equivalents (i.e., cash maintained in the Dealership’s bank account(s), plus outstanding deposits, less outstanding checks, less bank fees, plus any amounts maintained under the Credit Balance Agreement in excess of any amounts used to establish the Minimum Required Balance under such agreement, all as of the month-end for which the covenant applies) may be used to bolster Vehicle inventory value.
Inventory Equity. Dealership will maintain Vehicle inventory equity of at least 10%, calculated as follows: The amount by which the value of Dealership's Vehicle inventory exceeds Wholesale Outstandings, divided by the value of Dealership's Vehicle inventory, must be equal to or greater than 10%, where:
i. Vehicle inventory includes all vehicles owned by Dealership and covered by the Ally Parties' security interest, including wholesale vehicles, but excluding Vehicles held on consignment;
ii. Vehicle inventory value is net of unpaid lien payoffs (and excludes the value of Vehicles held on consignment); and
iii. unrestricted cash and cash equivalents in excess of the Minimum Liquidity requirement above may be used to bolster Vehicle inventory value.