Minimum Asset Coverage Ratio Clause Samples
The Minimum Asset Coverage Ratio clause requires a borrower or company to maintain a specified ratio of assets to debt, ensuring that the value of its assets remains sufficiently high relative to its outstanding obligations. In practice, this means the company must regularly calculate and report its asset coverage, and if the ratio falls below the agreed threshold, it may trigger a default or require corrective action. This clause serves to protect lenders or investors by reducing the risk that the borrower's assets become insufficient to cover its debts, thereby safeguarding their interests.
POPULAR SAMPLE Copied 1 times
Minimum Asset Coverage Ratio permit the Asset Coverage Ratio (measured monthly beginning at the end of the first full month after the Closing Date) to be less than (i) for the period beginning up to and including August 31, 2014, 0.90 to 1.00 at all times, (ii) for the period beginning up to and including June 30, 2015, 1.00 to 1.00 at all times, and (iii) thereafter, 1.10 to 1.00 at all times.”
Minimum Asset Coverage Ratio. The Borrower shall maintain at all times an Asset Coverage Ratio of at least 2.25:1.0.
Minimum Asset Coverage Ratio. At any time but measured as of each fiscal quarter end, permit the Asset Coverage Ratio to be less than 1.50 to 1.00.
Minimum Asset Coverage Ratio. The Company will not permit the Asset Coverage Ratio, as of the last day of each of its fiscal quarters, to be less than 1.50 to 1.00.
Minimum Asset Coverage Ratio. Borrower shall maintain an Asset Coverage Ratio, as measured as of the last day of each Fiscal Quarter of Borrower, of at least 1.0 to 1.0.
Minimum Asset Coverage Ratio. (Section 8.18 - minimum of 3.00 to 1.0): to
Minimum Asset Coverage Ratio. Borrower shall maintain a minimum ratio of unrestricted cash maintained at Bank plus all Eligible Accounts to all Obligations owing to Bank (the “Asset Coverage Ratio”) of at least 1.25 to 1.00, measured on a monthly basis; provided however that on and after the payment of any distribution permitted under Section 7.6 of this Agreement, Borrower shall maintain a minimum Asset Coverage Ratio of at least 1.50 to 1.00.
Minimum Asset Coverage Ratio. Permit the Asset Coverage Ratio on the last day of each Test Period ending after the Third Amendment Effective Date, to be less than 150%.
Minimum Asset Coverage Ratio. The Borrower will not permit, as of the last day of any fiscal quarter, commencing with the fiscal quarter ending March 31, 2025, the ratio of the (i) sum of (A) PDP PV-10 plus (B) the Specified C&J Component, as of such date to (ii) Total Net Debt, as of such date, to be less 1.30 to 1.00.
Minimum Asset Coverage Ratio. Borrower shall maintain, at all times and measured as of the last day of each month, a ratio of (i) Eligible Accounts plus Eligible Foreign Accounts plus Borrower's unrestricted cash maintained in accounts that are subject to an account control agreement in favor of Lender to (ii) all outstanding Obligations owing to Lender, of no less than 1.40 : 1.00.