Loans and Letters of Credit Clause Samples
The "Loans and Letters of Credit" clause defines the terms under which a party may borrow funds or obtain letters of credit from a lender. It typically outlines the conditions for requesting loans, the procedures for issuing letters of credit, and any limitations or requirements such as collateral or repayment schedules. By clearly specifying these mechanisms, the clause ensures both parties understand their rights and obligations regarding borrowing and credit support, thereby reducing the risk of disputes and facilitating smooth financial transactions.
Loans and Letters of Credit. On the Closing Date:
Loans and Letters of Credit. 2.1. [Reserved].
Loans and Letters of Credit. Borrower shall make all payments of all amounts payable to the Lenders and the Issuing Bank hereunder and under the Loan Notes net, free and clear of all Taxes, and shall reimburse each Lender and the Issuing Bank for the cost of any Taxes imposed on it or on any payment under or with respect to any aspect of any Loan, the Loan Notes or the Letters of Credit, as applicable, or the making, execution or enforcement thereof. Payments to each of the Lenders and the Issuing Bank as of the date hereof are currently not subject to any Taxes, and payments to any Lender or Issuing Bank at the time it becomes a Lender or Issuing Bank shall similarly not be subject to Taxes, and Borrower shall receive from Agent on the Amendment Execution Date (unless already received on the Closing Date), with respect to the Issuing Bank and each institution which is a Lender on the Amendment Execution Date, and as soon as practicable thereafter for each other Lender, a copy of the forms prescribed to evidence such exemptions. If Borrower is prohibited or prevented by Law or otherwise from making any such payment net, free and clear of any Taxes or from reimbursing any Lender or the Issuing Bank for the cost of any such Taxes (as provided above), then the amount of such payment to be made by Borrower shall be increased by such additional amount or amounts as may be necessary to ensure that each Lender or the Issuing Bank, as applicable, shall receive a net amount which after payment of any Taxes imposed shall be equal to the amount each such Lender or the Issuing Bank, as applicable, would have received had no such imposition been made. Borrower shall provide evidence that all Taxes imposed on all payments under or with respect to any Loan, the Loan Notes, the Letters of Credit or any related instrument shall have been paid in full to the appropriate authorities by delivery of official receipts or notarized copies thereof to Agent within 30 days after payment thereof. Borrower shall be entitled to make all filings, pursue all remedies and appeals and take such other lawful action to prevent or challenge the imposition of any Taxes, or to procure a refund of any Taxes paid; provided that Borrower shall indemnify and hold the Lenders and the Issuing Bank harmless, to the reasonable satisfaction of Agent, for such Taxes (and any penalties, interest or other charges attached thereto) and for any liabilities, costs or expenses incurred by the Lenders and the Issuing Bank (including reaso...
Loans and Letters of Credit. 4 2.1 Revolving Facility.................................................................... 4 2.2 Revolving Loans....................................................................... 6 2.3
Loans and Letters of Credit. 1.1 Amount of Loans / Letters of Credit.
Loans and Letters of Credit. Subject to all of the terms and conditions contained in this Agreement, the Agent and the Lenders severally and not jointly agree to make the following extensions of credit to or for the benefit of Borrower:
Loans and Letters of Credit. 44 Section 2.1 Revolving Loans and Term Loan A.................................................................... 44 Section 2.2 Swingline Loans ................................................................................................. 48 Section 2.3 Issuances of Letters of Credit and Purchase of Participations Therein .............
Loans and Letters of Credit. Each Revolving Loan advance, each payment or prepayment of principal of any Revolving Loan (other than Swingline Loans) or reimbursement obligations arising from drawings under Letters of Credit, each payment of interest on the Revolving Loans or reimbursement obligations arising from drawings under Letters of Credit, each payment of Unused Fees, each payment of the Standby Letter of Credit Fee, each reduction of the Aggregate Revolving Committed Amount and each conversion or extension of any Revolving Loan (other than Swingline Loans), shall be allocated pro rata among the Banks in accordance with the respective Revolving Commitment Percentages.
Loans and Letters of Credit. Subject to the terms and conditions of this Agreement, (a) the Revolving Credit Lenders hereby establish in favor of the Borrowers a revolving credit facility pursuant to which the Revolving Credit Lenders severally agree (to the extent of each Revolving Credit Lender’s Revolving Credit Percentage up to such Revolving Credit Lender’s Revolving Commitment) to make Revolving Loans to the Borrowers in accordance with Section 2.2; (b) the Issuing Bank agrees to issue Letters of Credit for the account of the Borrowers in accordance with Section 2.6; (c) the Swingline Lender agrees to make Swingline Loans in accordance with Section 2.4; (d) each Revolving Credit Lender severally agrees to purchase a participation interest in the Letters of Credit and the Swingline Loans pursuant to the terms and conditions hereof; provided, that in no event shall the aggregate amount of Revolving Credit Exposure exceed at any time the Aggregate Revolving Commitments from time to time in effect; and (e) each Term Loan Lender severally agrees to make a Term Loan to the Borrowers in a principal amount not exceeding such Term Loan Lender’s Term Loan Commitment on the Closing Date.
Loans and Letters of Credit. Each Lender severally agrees, on the terms of this Agreement, to make the following Loans to the Company, and the Issuing Bank on behalf of the Lenders agrees to issue, reissue, renew and extend Letters of Credit for the account of the Company in accordance with the following:
(a) Revolving Credit Loans - during the period from and including the Closing Date to and including the Drawdown Termination Date, Revolving Credit Loans in an aggregate principal amount at any one time outstanding up to, but not exceeding, the amount of such Lender's Commitment as then in effect; provided, however, that the aggregate principal amount of all Revolving Credit Loans made by all Lenders hereunder at any one time outstanding shall not exceed, in the aggregate (A) the lesser of (1) the Borrowing Base or (2) the aggregate Commitments, as then in effect, minus (B) the sum of (1) the LC Exposure and (2) the utilization of performance bonds in excess of $5,000,000 pursuant to Section 9.01(g). Subject to the terms of this Agreement, during the period from the Closing Date to and including the Drawdown Termination Date, the Company may borrow, repay and reborrow the amount of the Commitments, as then in effect. Subject to the other terms and provisions of this Agreement, at the option of the Company unless otherwise provided herein, the Loans may be Base Rate Loans or Fixed Rate Loans (each a "type" of Loan). For purposes of this Section 2.01(a), Fixed Rate Loans having different Interest Periods, regardless of whether they commence on the same date, shall be considered separate Loans. Borrowings of more than one type of Loan may be outstanding at the same time; provided that there shall not at any time be more than a total of five (5) Fixed Rate Loans outstanding.