Ratio, calculated as of the occurrence of such Covenant Compliance Event and as
of the last day of each month thereafter based upon the most recent Measurement
Period, to be less than 1.0 to 1.0.
7.16
Availability.
Permit Availability at any time to be less than an
amount equal to the lesser of (a) the product of (i) the amount generated by
adding clauses (a) through (d) of the Borrowing Base multiplied by (ii) seven
and one-half percent (7.50%) or (b) the product of (i) the Aggregate Commitments
then in effect multiplied by (ii) seven and one-half percent (7.50%).
ARTICLE VIII.
EVENTS OF DEFAULT AND REMEDIES
8.01
Events of Default.
Any of the following shall constitute an Event
of Default:
(A)
NON-PAYMENT.
THE BORROWERS OR ANY OTHER LOAN PARTY FAILS TO PAY
WHEN AND AS REQUIRED TO BE PAID HEREIN, (I) ANY AMOUNT OF PRINCIPAL OF ANY LOAN
OR ANY L/C OBLIGATION, OR DEPOSIT ANY FUNDS AS CASH COLLATERAL IN RESPECT OF L/C
OBLIGATIONS, OR (II)
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ANY INTEREST ON ANY LOAN OR ON ANY L/C OBLIGATION, OR ANY FEE DUE HEREUNDER, OR
(III) ANY OTHER AMOUNT PAYABLE HEREUNDER OR UNDER ANY OTHER LOAN DOCUMENT; OR
(B)
SPECIFIC COVENANTS.
ANY LOAN PARTY FAILS TO PERFORM OR OBSERVE ANY
TERM, COVENANT OR AGREEMENT CONTAINED IN ANY OF SECTIONS 6.01, 6.02(A), 6.02(B),
6.02(E), 6.03(A), 6.05 (BUT ONLY AS IT PERTAINS TO THE OBLIGATION OF EACH LOAN
PARTY TO MAINTAIN ITS LEGAL EXISTENCE), 6.07, 6.10, 6.11, 6.12, 6.13, 6.20 OR
ARTICLE VII; OR
(C)
OTHER DEFAULTS.
ANY LOAN PARTY FAILS TO PERFORM OR OBSERVE ANY
OTHER COVENANT OR AGREEMENT (NOT SPECIFIED IN SUBSECTION (A) OR (B) ABOVE)
CONTAINED IN ANY LOAN DOCUMENT ON ITS PART TO BE PERFORMED OR OBSERVED AND SUCH
FAILURE CONTINUES FOR THIRTY (30) DAYS; OR
(D)
REPRESENTATIONS AND WARRANTIES.
ANY REPRESENTATION, WARRANTY,
CERTIFICATION OR STATEMENT OF FACT MADE OR DEEMED MADE BY OR ON BEHALF OF ANY
BORROWER OR ANY OTHER LOAN PARTY HEREIN, IN ANY OTHER LOAN DOCUMENT, OR IN ANY
DOCUMENT DELIVERED IN CONNECTION HEREWITH OR THEREWITH (INCLUDING, WITHOUT
LIMITATION, ANY BORROWING BASE CERTIFICATE) SHALL BE INCORRECT OR MISLEADING IN
ANY MATERIAL RESPECT WHEN MADE OR DEEMED MADE; OR
(E)
CROSS-DEFAULT.
(I) ANY LOAN PARTY OR ANY SUBSIDIARY THEREOF
(A) FAILS TO MAKE ANY PAYMENT WHEN DUE (WHETHER BY SCHEDULED MATURITY, REQUIRED
PREPAYMENT, ACCELERATION, DEMAND, OR OTHERWISE) IN RESPECT OF ANY MATERIAL
INDEBTEDNESS (OTHER THAN INDEBTEDNESS HEREUNDER AND INDEBTEDNESS UNDER ANY SWAP
CONTRACT PROVIDED TO ANY LOAN PARTY BY A LENDER OR ANY OF ITS AFFILIATES), OR
(B) FAILS TO OBSERVE OR PERFORM ANY OTHER AGREEMENT OR CONDITION RELATING TO ANY
SUCH MATERIAL INDEBTEDNESS OR CONTAINED IN ANY INSTRUMENT OR AGREEMENT
EVIDENCING, SECURING OR RELATING THERETO, OR ANY OTHER EVENT OCCURS, THE EFFECT
OF WHICH DEFAULT OR OTHER EVENT IS TO CAUSE, OR TO PERMIT THE HOLDER OR HOLDERS
OF SUCH MATERIAL INDEBTEDNESS (OR A TRUSTEE OR AGENT ON BEHALF OF SUCH HOLDER OR
HOLDERS) TO CAUSE, WITH THE GIVING OF NOTICE IF REQUIRED, SUCH MATERIAL