Supplemental Debt Sample Clauses
The Supplemental Debt clause defines the terms under which a borrower may incur additional debt beyond the primary loan agreement. Typically, this clause outlines the conditions, limits, and approval processes for taking on extra loans, such as requiring lender consent or restricting the amount and type of supplemental borrowing. Its core function is to protect the lender by controlling the borrower's overall debt exposure, thereby reducing the risk that the borrower becomes overleveraged and jeopardizes their ability to repay the original loan.
Supplemental Debt. The Borrower shall not incur Supplemental Debt prior to the Credit Agreement Maturity Date unless each of the conditions in Section 2.6 (Supplemental Debt) of the Common Terms Agreement are complied with and:
(i) no Default or Event of Default has occurred and is continuing or could reasonably be expected to occur after giving effect to and as a result of the incurrence of the Supplemental Debt;
(ii) the aggregate principal amount of all Supplemental Debt (other than Funding Shortfall Debt) at any time outstanding does not exceed $400,000,000;
(iii) the Borrower shall have demonstrated by delivery of an updated Base Case Forecast that (after taking into account the incurrence of such Supplemental Debt) the Credit Agreement Projected DSCR commencing on the Initial Principal Payment Date and for each rolling four Fiscal Quarter period (as of the end of each Fiscal Quarter) through the Notional Amortization Period shall not be less than 1.45:1.00; provided, that, for purposes of this Section 9.4(f), the Debt Service used to calculate the Credit Agreement Projected DSCR shall assume that all commitments for Supplemental Debt will be fully drawn as of the date on which such Supplemental Debt is incurred;
(iv) the weighted average life to maturity of the Supplemental Debt shall be longer than the weighted average life to maturity of the then outstanding Construction/Term Loans prior to the incurrence of such Supplemental Debt;
(v) the final maturity date of the Supplemental Debt shall occur after the Credit Agreement Maturity Date; and
(vi) such Supplemental Debt is denominated in Dollars.
Supplemental Debt. (a) Without limiting the provisions of Section 2.3, Section 2.4, and Section 2.5, and subject to the provisions of this Section 2.6, the Borrower may incur additional senior secured Indebtedness to finance (i) P1 Project Costs, (ii) the costs in respect of Permitted Capital Improvements (including any such costs allocable to the Borrower pursuant to the CFAA), or (iii) any Extraordinary Distributions to the Pledgor in accordance with (A) Section 3.1(c) (P1 Construction Account) and clause (g) or (i) of the definition of P1 Project Costs, (B) Section 3.12(b) (P1 Capital Improvement Account), or (C) Section 3.3(a) of the P1 Accounts Agreement, and for the other purposes described in Section 2.6(b)(i) (“Supplemental Debt”).
(b) The Borrower may incur Supplemental Debt at its sole discretion, only if, on the date of incurrence thereof, the following conditions are satisfied or waived by the P1 Intercreditor Agent (acting upon the direction of the Required Senior Secured Debt Holders):
(i) the principal amount of such Supplemental Debt does not exceed: (A) the amounts included in Section 2.6(a)(i)-(iii), as applicable, plus (B) all premiums, fees, costs, expenses and reserves (including any incremental increase in any DSRA Reserve Amounts resulting from the incurrence of such Supplemental Debt) associated with arranging, issuing and incurring such Supplemental Debt plus (C) 105% of the P1 IR Hedge Termination Amounts reasonably projected as of such date of incurrence to be due and payable by the Borrower with respect to any Senior Secured IR Hedge Agreement to be terminated in connection with any such incurrence;
(ii) simultaneously with the incurrence of any Supplemental Debt, the Borrower shall use a portion of the proceeds of such Supplemental Debt to fund any reserves (including any incremental increase in any DSRA Reserve Amounts resulting from the incurrence of such Supplemental Debt);
(iii) no CTA Default or CTA Event of Default shall have occurred and be continuing or shall result from the incurrence of such Supplemental Debt; and
(iv) the Senior Secured Debt Holder Representative for the Supplemental Debt shall have entered into a Common Terms Accession Agreement and a CIA Accession Confirmation in accordance with Section 2.7.
(c) Prior to the incurrence of Supplemental Debt, the Borrower shall deliver to the P1 Intercreditor Agent a certificate from an Authorized Officer of the Borrower, substantially in the form set out in Exhibit F, which certificat...
Supplemental Debt. (a) The Borrower may incur senior secured, subordinate or unsecured Indebtedness (which, if secured on a pari passu basis, shall constitute Senior Debt) or enter into agreements with Persons who commit to provide additional Indebtedness (“Supplemental Debt”), so long as and provided that the Borrower certifies that such Supplemental Debt meets all of the conditions set forth in any one of sub-clause (i) (Permitted Relevering Debt) (such Supplemental Debt, “Permitted Relevering Debt”), sub-clause (ii) (Permitted Completion Senior Debt) (such Supplemental Debt, “Permitted Completion Senior Debt”), sub-clause (iii) (PDE Senior Debt) (such Supplemental Debt, “PDE Senior Debt”) or sub-clause (iv) (Restoration Debt) (such Supplemental Debt, “Restoration Debt”) below (with the incurrence of such Senior Debt under one such clause not being preclusive of the later permitted incurrence of such Senior Debt under the same or other such clauses assuming compliance with sub-clauses (i) through (iv), as applicable);
Supplemental Debt. (a) Without limiting the provisions of Section 2.3, Section 2.4, and Section 2.5, and subject to the provisions of this Section 2.6, the Borrower may incur additional senior secured Indebtedness to finance (i) P1 Project Costs, (ii) the costs in respect of Permitted Capital Improvements (including any such costs allocable to the Borrower pursuant to the CFAA), or (iii) any Extraordinary Distributions to the Pledgor in accordance with (A) Section 3.1(c) (P1 Construction Account) and clause (g) or (i) of the definition of P1 Project Costs, (B) Section 3.12(b) (P1 Capital Improvement Account), or (C) Section