Restricted Payments; Restricted Investments. Holdings will not, directly or indirectly, through any Subsidiary or otherwise, (a) pay or declare any dividend on any class of its capital stock (but may declare and pay dividends payable solely in capital stock or warrants, rights or options to acquire capital stock) or make any other distribution on account of any class of its capital stock; retire, redeem, purchase or otherwise acquire, directly or indirectly, any shares of any class of its capital stock or any warrants, rights or options to acquire any such shares (other than any such redemption, retirement, purchase or other acquisition in which the consideration paid by Holdings or such Subsidiary consists solely of shares of capital stock of Holdings); or make or provide for any mandatory sinking fund payments required in connection with any class of its capital stock (all of the foregoing being called “Restricted Payments”) or (b) make any Restricted Investment, unless after giving effect to any Restricted Payment or Restricted Investment the cumulative aggregate amount of all Restricted Payments and Restricted Investments made by Holdings and its Subsidiaries after September 30, 1992 would not exceed the sum of: (i) $2,000,000, plus (ii) 50% of cumulative Consolidated Net Income from September 30, 1992 through the date of determination (or if Holdings and its Subsidiaries on a consolidated basis have a cumulative Consolidated Net Loss for such period, then minus 100% of such Consolidated Net Loss), plus (iii) the net proceeds from the issuance or sale of any shares of any class of equity securities of Holdings which are not mandatorily redeemable or otherwise subject to repurchase, retirement, call, put or other reacquisition prior to or on the maturity date of the Notes (and not subject to acceleration or redemption repurchase, retirement, call, put or other reacquisition prior to the maturity date of the Notes) received after September 30, 1992; provided that at the time of any such Restricted Payment or Restricted Investment, both immediately before and immediately after giving effect thereto, (a) no Default or Event of Default shall have occurred and be continuing, and (b) Holdings, the Borrower and their Subsidiaries shall be able to incur, pursuant to Section l1.2(C)(ii) above, at least $1 of additional Funded Debt. So long as no Default or Event of Default has occurred or would be continuing after giving effect thereto, this Section 11.5 shall not prevent (a) the payment of any dividend wi...
Restricted Payments; Restricted Investments. 7.2.6.1 The Loan Parties shall not pay or make Restricted Payments or Restricted Investments from and after January 31, 2001 which exceed in the aggregate the sum of: (i) $45,000,000; (ii) 50% of net income of Hovnanian (calculated and consolidated in accordance with GAAP) for all fiscal quarters commencing on February 1, 2001 and thereafter; and (iii) 50% of the proceeds (less costs of issuance) of any issuance or sale of equity of Hovnanian to any Person other than a Loan Party during all fiscal quarters commencing on February 1, 2001 and thereafter. 7.2.6.2 Each of the Loan Parties shall not enter into or carry out any transaction with any Affiliate (including purchasing property or services from or selling property or services to any Affiliate of any Loan Party or other Person but excluding transactions between Loan Parties) unless such transaction is not otherwise prohibited by this Agreement, is entered into in the ordinary course of business upon fair and reasonable arm's-length terms and is in accordance with all applicable Law. Without limiting the foregoing, the aggregate amount of all Indebtedness for owed or borrowed money owing to any Loan Party by any officer or director, or relative thereof, shall not exceed $4,000,000 in the aggregate owing at any one time and all such Indebtedness shall bear interest at a rate not less than the coupon rate on six month U.S. Treasury bills as of the date such Indebtedness is incurred. 7.2.6.3 The Loan Parties shall not pay or make (i) any Restricted Payment in respect of Dividends and Capital Stock Retirement during the period commencing on February 1, 2001 which, in the aggregate, exceed an amount equal to (x) $25,000,000 plus (y) 50% of Hovnanian's consolidated net income (calculated and consolidated in accordance with GAAP) generated after January 31, 2002 or (ii) any Restricted Payment in respect of the Subordinated Debt in excess of $25,000,000 in the aggregate after January 31, 2001. 7.2.7.
Restricted Payments; Restricted Investments. The Borrowers will not, directly or indirectly (through a Restricted Subsidiary or otherwise), declare, order, pay, distribute, make, or set apart any sum or property for any Restricted Payment, and the Borrowers will not, and will not permit any Restricted Subsidiary to, make or become obligated to make any Restricted Investment, unless, both at the time of and immediately after effect has been given to any such proposed action:
Restricted Payments; Restricted Investments. The Company will not, and will not permit any Restricted Subsidiary to, declare, make, or incur any liability to declare or make, any Restricted Payment or Restricted Investment unless immediately after giving effect thereto no Default or Event of Default would exist.
Restricted Payments; Restricted Investments. (a)(i)(A) Declare or pay any dividend or make any distribution on account of its or such Material Subsidiary's Equity Interests or (B) purchase, redeem or otherwise acquire or retire for value any Equity Interests of the Borrower or any Affiliate of the Borrower that controls the Borrower, in each case unless permitted (and if permitted, only to the extent permitted) by Section 4.07 of the New Senior Notes Indenture (as in effect on the date hereof) or (ii) make or acquire any Investment unless permitted (and if permitted, only to the extent permitted) by the New Senior Notes Indenture (as in effect on the date hereof), including Section 4 .07 thereof, and, if applicable, by Sections 6.06(c), 6.06(d), 6.10 or 6.11 hereof; provided that the Borrower or such Material ------- ---- ---- Subsidiary shall not take any action permitted by this paragraph at any time that a Default has occurred and is continuing.
Restricted Payments; Restricted Investments. 74 ------------------------------------------- SECTION 8.06. Subsidiary Stock and Debt..............................76 ------------------------- SECTION 8.07. Consolidation, Merger, Sale of Assets, etc.............77 ------------------------------------------ SECTION 8.08. Transactions with Affiliates; Tax Consolidation........78 ----------------------------------------------- SECTION 8.09.
Restricted Payments; Restricted Investments. 72 SECTION 8.06. Subsidiary Stock and Debt...................................................74 SECTION 8.07. Consolidation, Merger, Sale of Assets, etc..................................75 SECTION 8.08. Transactions with Affiliates; Tax Consolidation.............................78 SECTION 8.09. Nature of Business..........................................................79 SECTION 8.10. Books and Records; Fiscal Year..............................................79 SECTION 8.11. Corporate Existence; Licenses...............................................79 SECTION 8.12. Payment of Taxes, Claims for Labor and Materials, etc.......................80 SECTION 8.13. Maintenance of Properties...................................................80 SECTION 8.14. Insurance...................................................................80 SECTION 8.15. Compliance with Laws........................................................81 SECTION 8.16.
Restricted Payments; Restricted Investments. 55 7.2.7. Subsidiaries, Partnerships and Joint Ventures.56 7.2.8. Continuation of or Change in Business.56 7.2.9. Plans and Benefit Arrangements56 7.2.10. Borrowing Base56 7.2.11. Minimum ATNW.56 7.2.12. Leverage Ratio. 56 7.2.13. Inventory and Land Purchase Limits. 57 7.2.14. Fiscal Year.57 7.2.15. Changes in Subordinated Debt Documents.57 7.3 Reporting Requirements. 58 7.3.1. Quarterly Financial Statements.58 7.3.2. Annual Financial Statements.58 7.3.3. Certificates of the Borrower.59 7.3.4. Notice of Default.59 7.3.5.
Restricted Payments; Restricted Investments. 7.2.6.1 The Loan Parties shall not pay or make Restricted Payments or Restricted Investments from and after January 31, 2001 which exceed in the aggregate the sum of:
Restricted Payments; Restricted Investments. 7.2.6.1 The Loan Parties shall not pay or make Restricted Payments or Restricted Investments from and after January 31, 2001 which exceed in the aggregate the sum of: (i) $45,000,000; (ii) 50% of net income of Hovnanian (calculated and consolidated in accordance with GAAP) for all fiscal quarters commencing on February 1, 2001 and thereafter; and (iii) 50% of the proceeds (less costs of issuance) of any issuance or sale of equity of Hovnanian to any Person other than a Loan Party during all fiscal quarters commencing on February 1, 2001 and thereafter.
