Loan Agreement: Financial Covenants | Practical Law

Loan Agreement: Financial Covenants | Practical Law

A Practice Note discussing financial covenants typically found in loan agreements governed by New York law, the purpose of these covenants, and the consequences of a breach of a financial covenant. This Note also discusses elements for negotiation, including the definition of certain key terms (for example, indebtedness, EBITDA, and interest expense).

Loan Agreement: Financial Covenants

Practical Law Practice Note 3-384-0955 (Approx. 20 pages)

Loan Agreement: Financial Covenants

by Practical Law Finance, based on an original article by Pierre Maugüé, Debevoise & Plimpton LLP
MaintainedUSA (National/Federal)
A Practice Note discussing financial covenants typically found in loan agreements governed by New York law, the purpose of these covenants, and the consequences of a breach of a financial covenant. This Note also discusses elements for negotiation, including the definition of certain key terms (for example, indebtedness, EBITDA, and interest expense).