Guarantor Cover Test definition
Guarantor Cover Test means the following obligation: the aggregate of earnings before interest, tax, depreciation and amortisation of the Guarantors (calculated on the same basis as EBITDA) and the aggregate gross assets, the aggregate net assets and the aggregate turnover of the Guarantors (in each case, calculated on an unconsolidated basis and excluding all intra-Group items and investments in Subsidiaries of any member of the Group) must equal or exceed 90% of EBITDA and 90% of the consolidated gross assets, net assets or turnover of the Group respectively;
Examples of Guarantor Cover Test in a sentence
The Company shall, at the request of the Agent, supply to the Agent a report issued by the Auditors stating which of its Subsidiaries are Material Companies and confirming that the Group is in compliance with the Guarantor Cover Test.