FairPoint Communications 2002 Annual Report Download - page 266

aggregate, (v) arrangements with directors, officers and employees not otherwise
prohibited by this Agreement, (vi) payment of customary legal fees and expenses
to Paul, Hastings, Janofsky & Walker LLP and (vii) the transactions set forth on
Annex VIII hereto.
7.11 INTEREST COVERAGE RATIO. The Borrower will not permit the
ratio of (i) Consolidated EBITDA for any Test Period ending on the last day of
any fiscal quarter of the Borrower to (ii) Consolidated Interest Expense for the
Test Period then ending to be less than 1.50:1.0.
7.12 LEVERAGE RATIO. The Borrower will not permit the Leverage
Ratio determined as at the end of any fiscal quarter set forth below to be more
than the ratio set forth opposite such fiscal quarter:
Fiscal Quarter Ended Ratio
-------------------- ------
June 30, 2003 6.50:1.0
September 30, 2003 6.50:1.0
December 31, 2003 6.50:1.0
March 31, 2004 6.50:1.0
June 30, 2004 6.25:1.0
September 30, 2004 6.25:1.0
December 31, 2004 6.25:1.0
March 31, 2005 6.00:1.0
June 30, 2005 6.00:1.0
September 30, 2005 6.00:1.0
December 31, 2005 5.75:1.0
March 31, 2006 5.75:1.0
June 30, 2006 5.75:1.0
September 30, 2006 5.50:1.0
December 31, 2006 5.50:1.0
March 31, 2007 5.50:1.0
7.13 SENIOR SECURED LEVERAGE RATIO. The Borrower will not permit
the Senior Secured Leverage Ratio determined as at the end of any fiscal quarter
set forth below to be more than the ratio set forth opposite such fiscal
quarter:
Fiscal Quarter Ended Ratio
-------------------- ------
June 30, 2003 1.75:1.0
September 30, 2003 1.75:1.0
December 31, 2003 1.75:1.0
March 31, 2004 1.75:1.0
June 30, 2004 1.50:1.0
September 30, 2004 1.50:1.0
December 31, 2004 1.50:1.0