Post-Distribution Fixed Charge Coverage Ratio Clause Samples

The Post-Distribution Fixed Charge Coverage Ratio clause sets a minimum financial threshold that a borrower must maintain after making distributions, typically to shareholders or partners. It requires that, following any such distribution, the borrower's earnings are sufficient to cover fixed charges like debt payments, rent, or lease obligations by a specified ratio. This clause ensures that the borrower remains financially stable and able to meet ongoing obligations, thereby protecting lenders from increased risk due to excessive distributions.
POPULAR SAMPLE Copied 2 times
Post-Distribution Fixed Charge Coverage Ratio. Maintain a consolidated Post-Distribution Fixed Charge Coverage Ratio of not less than 1.1 to 1.00. For purposes of this Agreement, the Post-Distribution Fixed Charge Coverage Ratio shall be calculated quarterly as of the end of each fiscal quarter of Borrower for the four fiscal quarter period most recently ended, commencing with the fiscal quarter of ending as of December 31, 2017.
View Source

Related to Post-Distribution Fixed Charge Coverage Ratio

  • Fixed Charge Coverage Ratio The Borrower will not permit the Fixed Charge Coverage Ratio as of the last day of any fiscal quarter to be less than 2.00 to 1.0.

  • Minimum Fixed Charge Coverage Ratio Maintain a Fixed Charge Coverage Ratio of at least 1.25:1.00 measured at the end of each Fiscal Quarter for the four consecutive Fiscal Quarters then ended.

  • Minimum Consolidated Fixed Charge Coverage Ratio The Consolidated Fixed Charge Coverage Ratio shall not be less than 1.50 to 1.00, determined based on information for the most recent fiscal quarter annualized.

  • Consolidated Fixed Charge Coverage Ratio Permit the Consolidated Fixed Charge Coverage Ratio as of the end of any Measurement Period ending as of the end of any fiscal quarter of the Borrower to be less than 1.25 to 1.00.

  • Fixed Charge Coverage As of the last day of each calendar quarter, the ratio of (x) Annual EBITDA, less reserves for Capital Expenditures of (i) $.25 per square foot per annum for each Real Property Asset that is an office or retail property and (ii) $250 per unit for each Real Property Asset that is a multi-family residential property, to (y) the sum of (i) Total Debt Service and (ii) dividends or other payments payable by the General Partner with respect to any preferred stock issued by the General Partner and distributions or other payments payable by the Borrower with respect to any preferred partnership units of the Borrower, will not be less than 1.5:1.0.