Common use of Minimum required security cover Clause in Contracts

Minimum required security cover. Clause 29.2 (Provision of additional security; prepayment) applies if, the Facility Agent notifies the Borrowers that: (i) the aggregate Fair Market Value of each Ship then subject to a Mortgage and which has not become a Total Loss; plus (ii) the net realisable value of additional Security previously provided under this Clause 29 (Security Cover), is below 130 per cent. of the aggregate of the Loan and, in circumstances where a Hedging Agreement has been entered into with a Hedge Counterparty, the Hedging Close Out Liabilities. 127 ‌ EUROPE/73091764v9 ​