Common use of Securities Account Activity Clause in Contracts

Securities Account Activity. So long as no Event of Default exists, Debtor, or any party authorized by Debtor to act with respect to the Securities Account, may (a) receive payments of interest and/or cash dividends earned on financial assets maintained in the Securities Account, (b) trade financial assets maintained in the Securities Account, and (c) withdraw financial assets from the Securities Account; provided, however, that no such payment, trade or withdrawal shall be made if the Collateral Value of the Securities Account is or would be less than the amount required hereunder. Without Bank’s prior written consent, except as permitted by the preceding sentence, neither Debtor nor any party other than Bank may withdraw or receive any distribution of any Collateral from the Securities Account. The Collateral Value of the Securities Account shall at all times be equal to or greater than one hundred percent (100%) of the outstanding principal balance of the Indebtedness, including the amount of all issued and outstanding letters of credit, if any, secured hereby. In the event that the Collateral Value, for any reason and at any time, is less than one hundred percent (100%) but more than ninety-one percent (91%) of the required amount, Debtor shall within thirty (30) days make a principal reduction on the Indebtedness or deposit additional assets of a nature satisfactory to Bank into the Securities Account, in either case in amounts or with values sufficient to achieve the required Collateral Value. In the event that the Collateral Value, for any reason and at any time, is less than ninety-one percent (91%) of the required amount, Debtor shall within twenty-four (24) hours make a principal reduction on the Indebtedness or deposit additional assets of a nature satisfactory to Bank into the Securities Account, in either case in amounts or with values sufficient to achieve the required Collateral Value.

Securities Account Activity. So long as no Event of Default exists, Debtor, or any party authorized by Debtor to act with respect to the Securities Account, may (a) receive payments of interest and/or cash dividends earned on financial assets maintained in the Securities Account, (b) trade financial assets maintained in the Securities Account, so long as each trade of a financial asset is for an investment property of the same type as the financial asset being traded, and (c) withdraw financial assets from the Securities Account; provided, howeverso long as after giving effect to such withdrawal, that no such payment, trade or withdrawal shall be made if (i) the Collateral Value of the Securities Account is or would be not less than the amount required hereunderbelow, and (ii) the market value of the Securities Account is not less than $14,550,000.00, which minimum market value may be reduced in accordance with the terms and conditions of this Section. Without Bank’s Lender's prior written consent, except as permitted by the preceding sentence, neither Debtor nor any party other than Bank thank Lender may withdraw or receive any distribution of any Collateral from the Securities Account. The Collateral Value of the Securities Account shall at all times be equal to or greater than one hundred percent (100%) $14,550,000.00, which minimum market value may be reduced if the principal amount of the outstanding principal balance Loan is reduced in accordance with Section 1.5 of the Indebtedness, including Credit Agreement. Any reduction of the minimum market value of the Securities Account shall be made in an increment to correspond to a reduction in the principal amount of all issued and outstanding letters of credit, if any, secured herebythe Loan. In the event that the Collateral Value, for any reason and at any time, is less than one hundred percent (100%) but more than ninety-one percent (91%) of the required amount, Debtor shall within thirty (30) days promptly make a principal reduction on the Indebtedness or deposit additional assets of a nature satisfactory to Bank into the Securities Account, in either case in amounts or with values sufficient to achieve the required Collateral Value. In the event that the Collateral Value, for any reason and at any time, is less than ninety-one percent (91%) of the required amount, Debtor shall within twenty-four (24) hours make a principal reduction on the Indebtedness or deposit additional assets of a nature satisfactory to Bank Lender into the Securities Account, in either case in amounts or with values sufficient to achieve the required Collateral Value.

Securities Account Activity. So long as no Event of Default exists, Debtor, or any party authorized by Debtor to act with respect to the Securities Account, may (a) receive payments of interest and/or cash dividends earned on financial assets maintained in the Securities Account, (b) trade financial assets maintained in the Securities Account, so long as each trade of a financial asset is for an investment property of the same type as the financial asset being traded, and (c) withdraw financial assets from the Securities Account; provided, howeverso long as after giving effect to such withdrawal, that no such payment, trade or withdrawal shall be made if (i) the Collateral Value of the Securities Account is or would be not less than the amount required hereunderbelow, and (ii) the market value of the Securities Account is not less than $14,550,000.00 plus three months of interest at the rate set forth in the Promissory Note secured by this Agreement, which minimum market value may be reduced in accordance with the terms and conditions of this Section. Without Bank’s Lender's prior written consent, except as permitted by the preceding sentence, neither Debtor nor any party other than Bank thank Lender may withdraw or receive any distribution of any Collateral from the Securities Account. The Collateral Value of the Securities Account shall at all times be equal to or greater than one hundred percent (100%) $14,550,000.00 plus three months of interest at the rate set forth in the Promissory Note secured by this Agreement, which minimum market value may be reduced if the principal amount of the outstanding principal balance Loan is reduced in accordance with Section 1.5 of the Indebtedness, including Credit Agreement. Any reduction of the minimum market value of the Securities Account shall be made in an increment to correspond to a reduction in the principal amount of all issued and outstanding letters of credit, if any, secured herebythe Loan. In the event that the Collateral Value, for any reason and at any time, is less than one hundred percent (100%) but more than ninety-one percent (91%) of the required amount, Debtor shall within thirty (30) days promptly make a principal reduction on the Indebtedness or deposit additional assets of a nature satisfactory to Bank into the Securities Account, in either case in amounts or with values sufficient to achieve the required Collateral Value. In the event that the Collateral Value, for any reason and at any time, is less than ninety-one percent (91%) of the required amount, Debtor shall within twenty-four (24) hours make a principal reduction on the Indebtedness or deposit additional assets of a nature satisfactory to Bank Lender into the Securities Account, in either case in amounts or with values sufficient to achieve the required Collateral Value."