Asset Coverage Ratio

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Asset Coverage Ratio

The ratio of the value of a company's assets less current liabilities to the company's total debt outstanding. These liabilities may include preferred dividends and rent. The asset coverage ratio measures how easily a company can maintain its operations with its level of debt. See also: Cash flow coverage ratio, Debt service coverage ratio.
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NYSE: KYE) today provided a summary unaudited balance sheet and announced its net asset value and asset coverage ratios under the Investment Company Act of 1940 as of October 31, 2011.
The fund does not adhere to explicit minimum credit quality guidelines, although material negative credit migration would result in the fund breaching its asset coverage ratios and therefore require the fund to rebalance the portfolio or deleverage to restore appropriate asset coverage.
The funds' asset coverage ratios for the preferred shares, as calculated in accordance with the Investment Company Act of 1940, were in excess of the minimum threshold of 225% required by the VMTP governing documents (Preferred Shares Asset Coverage Test).
At the time of the issuance of series C senior unsecured notes, the fund's asset coverage ratios, as calculated in accordance with the Investment Company Act of 1940 (1940 Act), was in excess of 300%, which is the minimum asset coverage required by the 1940 Act.
At the time of the rating affirmations of the senior unsecured notes, the fund's asset coverage ratios, as calculated in accordance with the Investment Company Act of 1940 (1940 Act), was in excess of 300%, which is the minimum asset coverage required by the 1940 Act with respect to debt.
As of the same date, the fund's asset coverage ratios, as calculated in accordance with the Fitch total and net overcollateralization tests (Fitch OC tests) per the 'AAA' rating guidelines outlined in Fitch's applicable criteria, were in excess of 100%, which is the minimum asset coverage amount deemed consistent with an 'AAA' rating.
At the time of the rating affirmations of the series A and B notes, the fund's asset coverage ratios, as calculated in accordance with the Investment Company Act of 1940 (1940 Act), was in excess of 300%, which is the minimum asset coverage required by the 1940 Act.
31, 2010, the funds' asset coverage ratios for total outstanding AMPS and trust certificates of tender options bonds, as calculated per Fitch's updated criteria were in excess of 100% for an 'AAA' rating level, which is a minimum asset coverage required by the funds' amended and restated statement of preferences.
the "Fund") (NYSE: KYE) today provided a summary unaudited balance sheet and announced its net asset value and asset coverage ratios under the Investment Company Act of 1940 (the "1940 Act") as of June 30, 2010.
As of March 31, 2010, the funds' asset coverage ratios for total outstanding ARPS and other fund leverage, as calculated per Fitch's updated criteria were in excess of 100% for an 'AAA' rating level, which is a minimum asset coverage required by the funds' amended and restated bylaws.
Also, at the time of issuance, the fund's pro forma asset coverage ratios with respect to the senior notes and MRPS, as calculated in accordance with the overcollateralization test as per Fitch's rating criteria are expected to be in excess of 100%, which are the minimum asset coverage levels deemed consistent with the expected ratings to be assigned to the senior notes and MPRS.
As of March 12, 2010, each funds' asset coverage ratios for total outstanding preferred shares, as calculated per Fitch's closed-end fund criteria were in excess of 100%, consistent with an 'AAA' rating level.