Adjustable Margin definition
Adjustable Margin means, with respect to any Initial Purchaser Note, 1.50%; provided, however, that from June 30, 2003 until the Maturity of the Securities represented by such Initial Purchaser Note, in the event that either of Moody’s or S&P publicly announces a change (whether upwards, reflecting an increase in creditworthiness, or downwards, reflecting a decrease in creditworthiness) in the senior unsecured debt rating of the Company, the number of basis points representing the Adjustable Margin immediately prior to the time of such public announcement shall be adjusted as follows: (i) for each increase in rating category by Moody’s the Adjustable Margin shall be adjusted downward by 25 basis points; (ii) for each increase in rating category by S&P the Adjustable Margin shall be adjusted downward by 25 basis points; (iii) for each decrease in rating category by Moody’s the Adjustable Margin shall be adjusted upward by 25 basis points; and (iv) for each decrease in rating category by S&P the Adjustable Margin shall be adjusted upward by 25 basis points; provided, that any such rating change which results in the Company either ceasing to be Investment Grade or ceasing to be non-Investment Grade shall (in lieu of a 25 basis point change) result in an increase or decrease, as the case may be, of 37.5 basis points. Notwithstanding the proviso in the immediately preceding sentence, any upwards rating change shall only effect a reduction in the Adjustable Margin to the extent of any previous increase in the Adjustable Margin resulting from a ratings downgrade by Moody’s and/or S&P.