Dilution Reserves means a Borrowing Base Reserve in amounts established by the Administrative Agent from time to time in its Permitted Discretion as being appropriate to reflect that the Dilution Percent is or is reasonably anticipated to be greater than five percent (5%);
Dilution Reserves means reserves against the principal balance of Receivables of the Loan Parties, reflecting a variety of items including expected pricing disputes, returned goods, short shipments, freight claims, bad debts, and warranty deductions that exceed an amount equal to 5% of the aggregate balance at such time of all Eligible Receivables prior to giving effect to such Dilution Reserves.
Dilution Reserves means, as of any date of determination, such reserves as Agent may from time to time establish and revise with respect to the Loan Parties in its Permitted Discretion in such amounts as Agent may determine in its Permitted Discretion to reflect the Dilution as of such date with respect to the Accounts of such Loan Parties for the immediately preceding three-month period to the extent such Dilution exceeds five percent (5%).
Examples of Dilution Reserves in a sentence
Such a container shall be subject to approval by the City’s Director of Environmental Services.
More Definitions of Dilution Reserves
Dilution Reserves means, at any date, the dollar amount equal to the applicable Dilution Percentage multiplied by the aggregate value of the Eligible Accounts on such date.
Dilution Reserves means, as of any date of determination based upon Agent’s then current field examination or other financial information as reported to Agent, an amount sufficient to reduce the Net Amount of Eligible Accounts (as calculated prior to any deduction therefrom of Dilution Reserves) by one percentage point or more, in the reasonable exercise of Agent’s discretion, for each percentage point by which dilution of Accounts exceeds 5%.
Dilution Reserves means a reserve against dilution of Borrower’s Receivables calculated by the Borrower in accordance with the formula provided in the Initial Field Exam for the month in which the applicable Borrowing Base is being calculated and delivered to the Administrative Agent, as the same may be adjusted from time to time by the Administrative Agent in its reasonable discretion in consultation with the Borrower.
Dilution Reserves means: in the event that dilution of Eligible Accounts exceeds either: (a) seven and one-half percent (7.5%) in any immediately preceding three (3) month period, or (b) twelve percent (12%) in any immediately preceding thirty (30) day period, a percentage equal to two (2) times the amount by which the dilution of Eligible Accounts exceeds seven and one-half percent (7.5%).
Dilution Reserves means, in the event that Dilution with respect to the Accounts of the Borrowers for the immediately preceding twelve month period exceeds five and one quarter percent (5.25%), the reserves which shall be established by the Agent in an amount equal to such excess over five and one quarter percent.
Dilution Reserves means, as of any date of determination, the sum of (i) such reserves as Agent may from time to time establish and revise with respect to any Loan Party in its Permitted Discretion in such amounts as Agent may determine in its Permitted Discretion to reflect the Dilution as of such date with respect to the Accounts of such Loan Party for the immediately preceding twelve-month period to the extent such Dilution exceeds five percent (5%) plus (ii) Seasonal Dilution Reserves for such Loan Party. For purposes ---- hereof, "Seasonal Dilution Reserves" means, as of any date of determination for any Loan Party, such seasonal reserves as Agent may from time to time establish and revise with respect to such Loan Party in its Permitted Discretion in such Seasonal Dilution Reserve Amount as Agent may determine in its Permitted Discretion to anticipate and reserve for higher Dilutions with respect to the Accounts of such Loan Party for future months. For purposes hereof, "Seasonal Dilution Reserve Amount" means, as of any date of determination with respect to any Loan Party, the percentage equal to the greater of (i) zero and (ii) that percentage which allows Agent to reserve for higher Anticipated Dilution in future months in four equal incremental increases (by way of illustration and without limiting the generality of the foregoing, if the Anticipated Dilution for January, February, March and April are 0%, 0%, 0% and 40%, respectively, the Seasonal Dilution Reserve Amounts for such months would be 10%, 20%, 30% and 40%, respectively). For purposes hereof, "Anticipated Dilution" means for any Loan Party, for any current or future month, the anticipated Dilution for such month for such Loan Party, which shall be calculated as follows: (a) in the event the historical Dilution for such Loan Party for the twenty-fourth month preceding such month is unavailable, then such anticipated Dilution shall equal the historical Dilution for such Loan Party for the twelfth month preceding such month, and (b) otherwise, such anticipated Dilution shall equal the average of the historical Dilutions for such Loan Party for the twelfth month preceding such month and the twenty-fourth month preceding such month.