Common use of Limitation on Long Term Debt Clause in Contracts

Limitation on Long Term Debt. The ratio of long-term debt to total capitalization cannot exceed 65%. Long Term Debt Long Term Debt Plus Current Maturities (a),(1) Total Shareholders’ Equity (b),(2) Total Capitalization (a) + (b) (3) Consolidated Ratio = (1) / (3): Hurdle < 65% (Show calculation) PASS/FAIL

Appears in 3 contracts

Samples: Term Loan Agreement (RGC Resources Inc), Term Loan Agreement (RGC Resources Inc), Assignment and Assumption (RGC Resources Inc)

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Limitation on Long Term Debt. The ratio of long-term debt to total capitalization cannot exceed 65%. Long Term Debt Long Term Debt Plus Current Maturities (a),(1) Total Shareholders’ ' Equity (b),(2) Total Capitalization (a) + (b) (3) Consolidated Ratio = (1) / (3): Hurdle < 65% (Show calculation) PASS/FAIL

Appears in 1 contract

Samples: Loan Agreement (RGC Resources Inc)

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