Inventory Coverage Ratio definition
Inventory Coverage Ratio means on a consolidated basis, ratio of Financial Statement Inventory of DSW and its consolidated Subsidiaries divided by the Revolving Credit Commitment. IRS shall mean the Internal Revenue Service. ISP98 shall have the meaning specified in Section 10.12.1 [Governing Law]. Joint Venture shall mean a corporation, partnership, limited liability company or other entity in which any Person other than the Loan Parties and their Subsidiaries holds, directly or indirectly, an equity interest.
Inventory Coverage Ratio means the ratio of (y) the Inventory Value to (x) the aggregate principal amount outstanding under the Pledged Installment Notes as of the date such Inventory Value was measured.
Inventory Coverage Ratio means (i) 60% of inventory (valued at the lower of cost or market value) in which Bank holds a perfected first-lien security interest (but subject, where applicable, to statutory landlord lien rights); divided by (ii) Funded Debt (as defined in Section 8.4(c)) plus outstanding letters of credit and acceptances.
Examples of Inventory Coverage Ratio in a sentence
To maintain on a consolidated basis an Inventory Coverage Ratio of at least 0.85 to 1 at the end of fiscal quarter 2 of each fiscal year, and of at least 1.0 to 1 as of every other fiscal quarter and fiscal year end.
At all times, on a consolidated basis, DSW and its Subsidiaries will maintain an Inventory Coverage Ratio of 3.00 to 1.00.
Maintain an Eligible Inventory Coverage Ratio of not less than 2.00 to 1.00 measured as of the last Business Day of each fiscal month commencing with the fiscal month ending January 29, 2005.