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Mandatory Payments
Mandatory Payments contract clause examples

Mandatory Payments. [Sections 2.12(b)(v), 2.12(b)(vi), and 2.12(b)(vii)])])] of the Credit Agreement are hereby deleted in their entirety and replaced with the following:

Application of Mandatory Payments. Unless otherwise designated by the Borrower, each prepayment pursuant to [Section 2.11] hereof shall be applied in the following order # first, on a pro rata basis for the Lenders, to outstanding Base Rate Loans, # second, on a pro rata basis for the Lenders, to outstanding RFR Loans, and # third, on a pro rata basis for the Lenders, to outstanding EurocurrencyRFR Loans and Other Interest Rate Loans using Payment Date interest mechanics, and # third, on a pro rata basis for the Lenders, to outstanding Term SOFR Loans, EURIBOR Loans, and Other Interest Rate Loans using Interest Period interest rate mechanics; provided that, if the outstanding principal amount of any Eurocurrency Loan or RFR Loan shall be reduced to an amount less than the minimum amount set forth in [Section 2.5(d)] hereof as a result of such prepayment, then such Eurocurrency Loan or RFR Loan shall be converted into a Base Rate Loan on the date of such prepayment. Any prepayment of a Eurocurrency Loan, RFR Loan or Swing Loan pursuant to this [Section 2.11] shall be subject to the prepayment provisions set forth in Article III hereof.

Application of Mandatory Payments. Unless otherwise designated by the Borrower, each prepayment pursuant to [Section 2.11] hereof shall be applied in the following order # first, on a pro rata basis for the Lenders, to outstanding Base Rate Loans, and # second, on a pro rata basis for the Lenders, to outstanding Eurocurrency Loans; provided that, if the outstanding principal amount of any Eurocurrency Loan shall be reduced to an amount less than the minimum amount set forth in [Section 2.5(d)] hereof as a result of such prepayment, then such Eurocurrency Loan shall be converted into a Base Rate Loan on the date of such prepayment. Any prepayment of a Eurocurrency Loan or Swing Loan pursuant to this [Section 2.11] shall be subject to the prepayment provisions set forth in Article III hereof.

Application of Mandatory Payments. Unless otherwise designated by the Borrower, each prepayment pursuant to [Section 2.11] hereof shall be applied in the following order # first, on a pro rata basis for the Lenders, to outstanding Base Rate Loans, # second, on a pro rata basis for the Lenders, to outstanding RFR Loans, and # third, on a pro rata basis for the Lenders, to outstanding Eurocurrency Loans; provided that, if the outstanding principal amount of any Eurocurrency Loan or RFR Loan shall be reduced to an amount less than the minimum amount set forth in [Section 2.5(d)] hereof as a result of such prepayment, then such Eurocurrency Loan or RFR Loan shall be converted into a Base Rate Loan on the date of such prepayment. Any prepayment of a Eurocurrency Loan, RFR Loan or Swing Loan pursuant to this [Section 2.11] shall be subject to the prepayment provisions set forth in Article III hereof.

. The failure to make the mandatory payments as required under [Section 4.2.2] and [Section 4.2.3] herein.

Mandatory Payments. If the Administrative Agent notifies the Company at any time that the Total Outstanding Amount of all Loans denominated in Alternative Currencies at such time exceeds an amount equal to 105% of the Alternative Currency Sublimit, then, within two Business Days after receipt of such notice, the Company shall prepay Loans in an aggregate amount sufficient to reduce such Total Outstanding Amount as of such date of payment to an amount not to exceed 100% of the Alternative Currency Sublimit.

Subject to Section 7.1 hereof, when any Loan Party sells or otherwise disposes of any Collateral other than Inventory in the Ordinary Course of Business, Borrowers shall repay the Advances in an amount equal to the Net Cash Proceeds received by such Loan Party in connection with such sale or disposition to the extent that the amount of Net Cash Proceeds received such by Loan Party exceeds # $250,000 for any such single sale or disposition or # $1,000,000 with respect to all such sales or dispositions occurring in any fiscal year, such repayments to be made promptly but in no event more than three (3) Business Days following receipt of such Net Cash Proceeds, and until the date of payment, such proceeds shall be held in trust for Agent. The foregoing shall not be deemed to be implied consent to any such sale otherwise prohibited by the terms and conditions hereof. Notwithstanding the foregoing and provided no Event of Default has occurred and is continuing, such Net Cash Proceeds shall not be required to be so applied to the extent # the Borrowing Agent delivers to the Agent concurrently with the consummation of such sale or other disposition, a certificate stating that Borrowers intend to use such Net Cash Proceeds to acquire fixed, capital or replacement assets used or useful in the Loan Parties' business within one hundred eighty (180) days of the receipt of such Net Cash Proceeds and # Borrowers in fact either # reinvest such Net Cash Proceeds within such one hundred eighty (180) day period or # enter into a binding commitment to reinvestment such Net Cash Proceeds within such one hundred eighty (180) day period and if so committed, make such reinvestment within ninety (90) days after such initial one hundred eighty (180) day period. Any Net Cash Proceeds not so reinvested shall be applied to prepay the Advances. Such repayments shall be applied # first, to the outstanding principal installments of the Term Loan in the inverse order of the maturities thereof and # second, to the remaining Advances (including cash collateralization of all Obligations relating to any outstanding Letters of Credit in accordance with the provisions of Section 3.2(b); provided however that if no Default or Event of Default has occurred and is continuing, such repayments shall be applied to cash collateralize any Obligations related to outstanding Letters of Credit last) in such order as Agent may determine, subject to Borrowers’ ability to reborrow Revolving Advances in accordance with the terms hereof .

Mandatory Payments Generally. Each Mandatory Prepayment made with respect to a Specific Commitment pursuant to [subsection (a) or (c)])] hereof shall be applied in the following order: # first, to the outstanding Base Rate Loans, # second, to the outstanding Daily Simple SOFR Loans, and # third, to the outstanding Term SOFR Loans, provided that, in each case, if the outstanding principal amount of any Term SOFR Loan shall be reduced to an amount less than the minimum amount set forth in [Section 2.6(d)] hereof as a result of such prepayment, then such Term SOFR Loan shall be converted into a Base Rate Loan on the date of such prepayment. Any prepayment of a Term SOFR Loan pursuant to this [Section 2.12] shall be subject to the prepayment provisions set forth in Article III hereof. Each Mandatory Prepayment made with respect to the Term Loan and an Additional Term Loan Facility (if any) shall be applied to the payments of principal in the inverse order of their respective maturities.

Mandatory Payments. The Loans shall be subject to mandatory repayment or prepayment (in the case of any partial prepayment conforming to the requirements as to the amounts of partial prepayments set forth in Section 2.13(a[[SunTrustTruist Bank:Organization]] above[[SunTrustTruist Bank:Organization]] and the LC Outstandings shall be subject to cash collateralization requirements in accordance with the following provisions:

Mandatory Payments Generally. Each Mandatory Prepayment made with respect to a Specific Commitment pursuant to [subsection (a) or (c)])] hereof shall be applied in the following order: # first, to the outstanding Base Rate Loans, and # second, to the outstanding Eurodollar Loans, provided that, in each case, if the outstanding principal amount of any Eurodollar Loan shall be reduced to an amount less than the minimum amount set forth in [Section 2.6(d)] hereof as a result of such prepayment, then such Eurodollar Loan shall be converted into a Base Rate Loan on the date of such prepayment. Any prepayment of a Eurodollar Loan pursuant to this [Section 2.12] shall be subject to the prepayment provisions set forth in Article III hereof. Each Mandatory Prepayment made with respect to the Term Loan and an Additional Term Loan Facility (if any) shall be applied to the payments of principal in the inverse order of their respective maturities.

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