These mechanisms include control, staged financing, information sharing, the duty to cooperate,
negative covenants, and operational efficiencies.
The restricted payments baskets contained in the
negative covenants target IP collateral in a similar fashion: one basket limits investments in restricted subsidiaries and joint ventures (JVs) that are not guarantors (i.e.
The facility includes its affirmative and
negative covenants.
Southern Water's financing structure benefits from structural enhancements, including trigger mechanisms (such as dividend lock-up provisions tied to financial, positive and
negative covenants) and debt service reserve liquidity.
Also, the secured nature of the group's financing structure benefits from structural enhancements, including trigger mechanisms (such as dividend lock-up provisions tied to financial, positive and
negative covenants) and debt service reserve liquidity.
In addition, the
negative covenants of the term loan were amended to substantially mirror the covenants contained in the company's 5 3/8% senior notes due 2022.
EarthLink expects this new facility to contain customary affirmative and
negative covenants with which EarthLink would be required to comply.
Failure to maintain a rating of Aa3 by Moody's or AA- by S&P invokes several
negative covenants requiring the bank's permission to incur additional debt, guarantees, liens, release property, or reorganize.
The new facility has a stated interest rate of LIBOR plus a margin of 1.40%, needs an annual facility fee payment that is currently equal to 0.30% of the total loan commitments, provides for up or down interest rate margin and facility fee adjustments within stated ranges as per changes in the credit ratings of CRLP's senior unsecured debt, and contains customary representations, financial and other affirmative and
negative covenants, events of defaults and remedies.
