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Maximum Credit
Maximum Credit contract clause examples
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Issue” means, with respect to any Letter of Credit, to issue, extend the expiry of, amend, renew or increase the maximum face amount (including by deleting or reducing any scheduled decrease in such maximum face amount) of, such Letter of Credit. The terms “Issued”, “Issuing” and “Issuance” shall have a corresponding meaning.

shall be deemed to be the maximum amount of such Letter of Credit after giving effect to all such increases, whether or not such maximum amount is available to be drawn at such time.

letter of credit fees with respect to all Letters of Credit (the “L/C Fee”) equal to # the Applicable Rate for Revolving Loans that are Eurocurrency Rate Loans (prior to the Amendment No. 4 Effective Date) or SOFR Loans (on and after the Amendment No. 4 Effective Date), times # the average aggregate daily maximum amount available to be drawn under all Letters of Credit (regardless of whether any conditions for drawing could then be met and determined as of the close of business on any date of determination and whether or not such maximum amount is then in effect under such Letter of Credit if such maximum amount increases periodically pursuant to the terms of such Letter of Credit).

Maximum Credit” means, at any time, the lesser of # the Revolving Credit Commitments in effect at such time and # the Borrowing Base at such time.

Revolving Credit Loans – Payment of Principal and Interest; Revolving Nature. The unpaid principal amount of each Portion of the Revolving Credit Loans shall, subject to the following sentence and [Section 2.7(g)], bear interest at the applicable Interest Rate. If at any time such rate of interest would exceed the Maximum Rate but for the provisions thereof limiting interest to the Maximum Rate, then any subsequent reduction shall not reduce the rate of interest on the Revolving Credit Loans below the Maximum Rate until the aggregate amount of interest accrued on the Revolving Credit Loans equals the aggregate amount of interest which would have accrued on the Revolving Credit Loans if the interest rate had not been limited by the Maximum Rate. All accrued but unpaid interest on the principal balance of the Revolving Credit Loans shall be payable on each Payment Date and on the Maturity Date, provided that interest accruing at the Default Interest Rate pursuant

Loan Limit” shall mean the lesser of # the Total Borrowing Base or # the Maximum Credit.

Borrower Agent may, at any time, deliver a written request to Agent to increase the Maximum Revolver Amount. Any such written request shall specify the amount of the increase in the Maximum Revolver Amount that Borrowers are requesting, provided, that, # in no event shall the aggregate amount of any such increase cause the Maximum Revolver Amount to exceed $200,000,000, # such request shall be for an increase of not less than $5,000,000, # any such request shall be irrevocable, # in no event shall there be more than one such increase in any calendar quarter, # in no event shall there be more than three such increases during the term of this Agreement, # no Default or Event of Default shall exist or have occurred and be continuing and # in no event shall there be any such increase after the date on which the Commitments have been reduced pursuant to Section 2.4(c) of this Agreement.

Maximum Total Net Leverage Ratio. The Borrower will not, as of the last day of any Fiscal Quarter (commencing with the Fiscal Quarter ending June 30, 2018), permit the Total Net Leverage Ratio to be greater than:

Maximum Amount of Certain Indemnification. Subject in all respects to [Section 10.4(a)(iii)], the Sellers shall not be obligated to indemnify any Buyer Indemnified Party # with respect to any Losses pursuant to Section 10.1(a) (other than resulting from, in connection with or arising from any inaccuracy in or breach of any Selected Seller Representation) that exceed, in the aggregate, the amount of the Indemnity Escrow Funds remaining in the Escrow Account at any given time; # with respect to any Losses pursuant to Section 10.1(a) resulting from, in connection with or arising from any inaccuracy in or breach of any Selected Seller Representation that exceed, in the aggregate, the Final Adjusted Purchase Price; and # with respect to any Losses relating to the Janesville Acoustics Contract Issues that exceed, in the aggregate, Four Million Two Hundred Fifty Thousand Dollars (US $4,250,000) (for the avoidance of doubt, this cap shall have no evidentiary bearing on the actual Losses that may arise out of the Janesville Acoustics Contract Issues).

Stated Amount” means at any time the maximum amount for which a Letter of Credit may be honored.

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