Conditional Reduction of L-C Amount. To the extent that on each of the “Dates of Reduction” identified below, Tenant is not then in default of this Lease (beyond the applicable notice and cure period set forth in this Lease), Tenant shall have the right to reduce the L-C Amount as follows: Date of Reduction Amount of Reduction L-C Amount First day of the forty-third (43rd) full calendar month of the Lease Year $ 500,000.00 $ 2,000,000.00 First day of the fifty-fifth (55th) full calendar month of the Lease Year $ 500,000.00 $ 1,500,000.00 First day of the sixty-seventh (67th) full calendar month of the Lease Year $ 500,000.00 $ 1,000,000.00 First day of the seventy-ninth (79th) full calendar month of the Lease Year $ 500,000.00 $ 500,000.00 In the event of any increase in the L-C Amount pursuant to the terms of Section 30.3.3, below, then the L-C Amount shall be increased accordingly, and the amount of the L-C Amount reductions above shall be appropriately and proportionally recalculated.
Conditional Reduction of L-C Amount. If, at any time during the Lease Term, Tenant, based on its most recent audited financial statements, has (i) adjusted EBITDA (as defined in the company’s S-1 filings with the SEC) of Four Million Dollars ($4,000,000.00), for each of four (4) consecutive fiscal quarters, or (ii) achieved an average Market Capitalization (i.e., the closing price of Tenant’s publicly traded common stock multiplied by the number of outstanding shares of such common stock) of Two Billion Five Hundred Million Dollars ($2,500,000,000.00) over a ten (10) consecutive trading day period, and provided that Tenant is not then in default under the terms of this Lease, then the L-C Amount shall be reduced to Zero Dollars ($0.00) for the remainder of the initial Lease Term and any Option Term.
Conditional Reduction of L-C Amount. The L-C Amount shall be ----------------------------------- reduced as follows: (A) to fifty percent (50%) of the Initial L-C Amount if Tenant maintains the Minimum Financial Requirements, for four (4) consecutive financial quarters, or (B) to $0.00 if Tenant maintains the Minimum Financial Requirements for eight (8) consecutive financial quarters, or (C) to $0.00 in the event Tenant achieves either (i) an investment grade rating of no less than "BBB" (Standard & Poor's) or "Baa3" (Xxxxx'x), or (ii) a Market Capitalization of $1,000,000,000 or greater and Working Capital of no less than $100,000,000.
Conditional Reduction of L-C Amount. Landlord and Tenant hereby acknowledge and agree that the L-C Amount is subject to a conditional reduction throughout the Lease Term depending upon a determination of Tenant's financial condition at the end of each financial quarter as more particularly set forth in this Section 21.2.3. Tenant shall be entitled to a reduction of the L-C Amount, as set forth below, only to the extent (A) Tenant has a "Net Worth," as determined by generally accepted accounting principles, in excess of One Hundred Twenty-Five Million and No/100 Dollars ($125,000,000.00), and (B) Tenant has positive "Net Income," as determined by generally accepted accounting principles (such thresholds to be, collectively, the "Required Thresholds"). In the event Tenant maintains such Required Thresholds for two (2) consecutive financial quarters, Tenant shall be entitled to a fifty percent (50%) reduction of the L-C Amount. In the event Tenant maintains such Required Thresholds for four (4) consecutive financial quarters, Tenant shall be entitled to a one hundred percent (100%) reduction of the L-C Amount. Following the completion of each financial quarter throughout the Lease Term, in the event that (i) Tenant has failed to satisfy the Required Thresholds, or (ii) Tenant is in economic default under the Lease (beyond any applicable notice and cure periods), then Tenant shall, upon its receipt of written notice from Landlord (the "Reestablishment Notice"), cause the L-C to be reestablished with an L-C Amount equal to what such L-C Amount would have been (subject to the reduction schedule set forth in Section 21.2.2, above), had there been no conditional reduction pursuant to the terms of this Section 21.2.3.
Conditional Reduction of L-C Amount. Provided that Tenant meets the "L-C Reduction Condition", as set forth below, the amount of the letter of credit, which the parties acknowledge shall be in the initial amount of $11,000,000, shall be reduced during the Lease Term as follows: Reduction Date Amount of Reduction New L-C Amount First day of 4th Lease Year $3,000,000 $8,000,000 First day of 5th Lease Year $1,000,000 $7,000,000 First day of 6th Lease Year $1,000,000 $6,000,000 First day of 7th Lease Year $1,000,000 $5,000,000 First day of 8th Lease Year $1,000,000 $4,000,000 First day of 9th Lease Year $1,000,000 $3,000,000 First day of 10th Lease Year $300,000 $2,700,000 Notwithstanding anything to the contrary in this Section 21.6, the amount of the letter of credit shall only decrease as set forth above if, as of the applicable Reduction Date, (i) Tenant is not in Default under this Lease, and (ii) Tenant demonstrates to the reasonable satisfaction of Landlord that over the twelve (12) month period prior to the applicable reduction date, Tenant has both (a) revenues (as determined in accordance with generally accepted accounting principles (GAAP)) of not less than $250,000,000, and (b) net income, excluding stock based compensation, as determined in accordance with GAAP, of not less than $20,000,000. In the event Tenant does not satisfy both of the foregoing conditions as of a particular Reduction Date (collectively, the "L-C Reduction Condition"), the L‑C shall not be reduced as of such Reduction Date but if Tenant thereafter satisfies the LC Reduction Condition, the L-C shall be decreased upon such satisfaction of the LC Reduction Condition. Notwithstanding anything contained herein to the contrary, in no event shall any decrease in the L‑C occur pursuant to the terms of this Section 21.6 in the event this Lease is terminated due to a Default by Tenant. Not more than thirty (30) days prior to each of the applicable reduction dates, Tenant shall deliver Landlord a Notice (the "Reduction Request") requesting that Landlord provide the bank issuing the L-C a notice confirming 760812.06/WLA375983-00004/11-2-16/ejs/ejs 47 COLORADO CENTER[2400 Broadway][Kite Pharam, Inc.] that the applicable reduction is to occur on the reduction date (the "Reduction Certification"). Within five (5) business days after Landlord's receipt of the Reduction Request, and provided that Tenant meets the L-C Reduction Condition, Landlord shall deliver the Reduction Certification to the bank in the form required by the te...
Conditional Reduction of L-C Amount. In the event Tenant maintains the "Minimum Financial Requirements," as that term is defined below, for four (4) consecutive financial quarters, the L-C Amount shall be reduced by an amount equal to the product of (i) Thirty-One Thousand Five Hundred and No/100 Dollars ($31,500.00); and (ii) the number of Lease Years which have elapsed during the Lease Term. For the purposes of this Lease, the "Minimum Financial Requirements" means (A) Tenant maintains a net worth, as defined by applicable law, of no less than Ten Million Dollars ($10,000,000.00), and (B) Tenant provides to Landlord financial statements and an opinion of a reputable certified public accounting firm, reasonably satisfactory to Landlord, evidencing that Tenant maintains a positive "EBITDA".
