Senior Secured Leverage Ratio Clause Samples
The Senior Secured Leverage Ratio clause sets a financial covenant that limits the amount of senior secured debt a borrower can have relative to a defined measure of earnings, typically EBITDA. In practice, this ratio is calculated by dividing the borrower’s outstanding senior secured debt by its EBITDA, and the result must not exceed a specified threshold during the term of the agreement. This clause is designed to ensure that the borrower maintains a manageable level of secured debt, thereby protecting lenders by reducing the risk of over-leverage and potential default.
POPULAR SAMPLE Copied 1 times
Senior Secured Leverage Ratio. Permit the Senior Secured Leverage Ratio as at the last day of any period of four consecutive fiscal quarters ending on or nearest to the date set forth below to exceed the ratio set forth below opposite such date: December 31, 2008 7.00 to 1.00 March 31, 2009 7.00 to 1.00 June 30, 2009 6.75 to 1.00 September 30, 2009 6.75 to 1.00 December 31, 2009 6.75 to 1.00 March 31, 2010 5.75 to 1.00 June 30, 2010 5.75 to 1.00 September 30, 2010 5.75 to 1.00 December 31, 2010 5.75 to 1.00 March 31, 2011 4.75 to 1.00 June 30, 2011 4.75 to 1.00 September 30, 2011 4.75 to 1.00 December 31, 2011 4.75 to 1.00 March 31, 2012 and each fiscal quarter thereafter 3.75 to 1.00
Senior Secured Leverage Ratio. The Borrower will not, as of the last day of the fiscal quarters ending December 31, 2012, March 31, 2013, June 30, 2013, and September 30, 2013, permit the Senior Secured Leverage Ratio to exceed 2.85 to 1.00.”
Senior Secured Leverage Ratio. As of the end of each fiscal quarter, the Borrower shall not permit the ratio of (i) Senior Secured Debt on such calculation date to (ii) Adjusted EBITDA, as of the last day of such fiscal quarter, to be greater than 3.00 to 1.00.
Senior Secured Leverage Ratio. The Borrower will maintain, as of the last day of each Fiscal Quarter, a Senior Secured Leverage Ratio of not greater than (a) for each Fiscal Quarter ending during the period from March 31, 2016 through September 30, 2017, 4.25:1.00 and (b) for each Fiscal Quarter ending after September 30, 2017, 4.00:1.00.
Senior Secured Leverage Ratio. The Borrowers shall not at any time permit the Senior Secured Leverage Ratio, calculated as of the end of each fiscal quarter, to exceed the maximum ratio set forth below for such fiscal quarter;
Senior Secured Leverage Ratio. Holdings and the Borrower will not permit the Senior Secured Leverage Ratio as of the end of any fiscal quarter to exceed the 2.75 to 1.00.
Senior Secured Leverage Ratio. Beginning at the end of the first fiscal quarter ending after the Closing Date, for any Test Period, permit the Senior Secured Leverage Ratio on the last day of any fiscal quarter, to be in excess of 3.75 to 1.00.
Senior Secured Leverage Ratio. Unless compliance herewith is waived by the Majority Lenders under the Revolving Facility, the Borrower will not permit for any Test Period ending on the last date of any Fiscal Quarter, the Senior Secured Leverage Ratio to exceed 3.75 to 1.00.
Senior Secured Leverage Ratio. Permit the Senior Secured Leverage Ratio as at the last day of any Measurement Period of the Borrower to exceed the ratio set forth opposite the applicable date:
Senior Secured Leverage Ratio. Permit the Senior Secured Leverage Ratio as of the end of any fiscal quarter of the Borrower to be greater than 2.00 to 1.00.