Financial Letters of Credit definition

Financial Letters of Credit any Letter of Credit issued to any Person other than an Affiliate of the Borrower to secure the payment by any such Person of its financial obligations, or to provide counter or “back-up” guarantees in support of bank guarantees, letters of credit or other credit facilities afforded to the Borrower or any of its Subsidiaries, or to support local currency borrowings outside the United States.

Financial Letters of Credit means any Letter of Credit which either the Agent or the Issuing Bank determines is required under applicable law (including regulations and guidelines established by banking regulators) relating to reserve requirements to be classified as a financial letter of credit.

Financial Letters of Credit has the meaning defined in Section 2.1.3.

Examples of Financial Letters of Credit in a sentence

• To the extent practicable, each partial reduction in the Financial Letter of Credit Sublimit shall be allocated ratably among the L/C Issuers in accordance with their respective Letter of Credit Commitments with respect to Financial Letters of Credit (or as otherwise agreed among the Company and the L/C Issuers).

• After the replacement of an Issuing Lender hereunder, the replaced Issuing Lender shall remain a party hereto and shall continue to have all the rights and obligations of an Issuing Lender under this Agreement with respect to Financial Letters of Credit issued by it prior to such replacement, but shall not be required to issue additional Financial Letters of Credit.

• Any Domestic Revolving Lender designated as Issuing Lender pursuant to this paragraph (l)(i) shall be deemed to be an “Issuing Lender” for the purposes of this Agreement (in addition to being a Domestic Revolving Lender) with respect to Financial Letters of Credit issued by such Domestic Revolving Lender.

• As specified on Schedule 1.1E, certain Existing Letters of Credit shall be deemed to be “Financial Letters of Credit” for all purposes of this Agreement and the other Loan Documents, and the Parent Borrower shall be obligated to reimburse the applicable Issuing Lender hereunder for any drawings under such Financial Letters of Credit.

• At no time shall (i) the aggregate outstanding principal amount of the Revolving Advances of all of the Lenders plus the aggregate LC Exposure (or the Dollar Equivalent thereof) of all of the Lenders exceed the Aggregate Commitments or (ii) the aggregate outstanding principal amount of the Revolving Advances of all of the Lenders plus the aggregate LC Exposure (or the Dollar Equivalent thereof) in respect of Financial Letters of Credit exceed the Revolving Facility Sublimit.

More Definitions of Financial Letters of Credit

Financial Letters of Credit means Letters of Credit issued to support obligations of Borrower or any of its Restricted Subsidiaries in respect of Indebtedness that is included in Consolidated Indebtedness (but excluding, for the avoidance of doubt, any Letter of Credit in the nature of performance bonds, bid bonds or customs bonds).

Financial Letters of Credit means, collectively, (i) all standby letters of credit issued for the account of the Borrower or any of its Subsidiaries, other than standby letters of credit supporting obligations incurred in the ordinary course of business of the types referred to in clauses (iii) and (iv) of the definition of Permitted Encumbrances, as well as liability insurance, and (ii) all direct pay letters of credit issued for the account of the Borrower or any of its Subsidiaries supporting financing arrangements, including industrial development revenue bonds; provided, however, that the term Financial Letters of Credit shall exclude all trade letters of credit issued for the account of the Borrower or any of its Subsidiaries.

Financial Letters of Credit means any letters of credit other than Performance Letters of Credit.

Financial Letters of Credit has the meaning assigned thereto in Section 3.01(a).

Financial Letters of Credit means standby Letters of Credit issued for the account of Borrower under which the Issuing Lender is irrevocably obligated to pay a third party beneficiary when Borrower fails to repay an outstanding obligation.

Financial Letters of Credit means a letter of credit classified as a financial letter of credit for regulatory reporting purposes by the Issuing Bank, which classification shall be conclusive and binding on the Company and the Banks if reasonably determined.

Financial Letters of Credit has the meaning specified in the Parent Credit Agreement.