Derivatives · glossary
The loan's measure of borrowing for its leverage test. It leaves out limb (f), so the swap's mark never moves that test, though the mark counts as Financial Indebtedness. FA definition: Total Net Debt · Chapter 13
Explained in Chapter 13, How the Loan Reads the Swap, of Derivatives.
The last column matters most to a treasurer. Total Net Debt is the figure behind the loan's leverage covenant. Its definition takes Financial Indebtedness other than limb (f), less free cash.Read Chapter 13, How the Loan Reads the Swap →
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