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commitment fee

   Also found in: Legal, Financial 0.02 sec.
commitment fee
n
(Economics, Accounting & Finance / Banking & Finance) a charge made by a bank, in addition to interest, to make a loan available to a potential borrower


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The commitment fee included both refundable and nonrefundable portions.
35) Like cancellation fees, the commitment fee is to compensate the arbitrators for lost employment.
In connection with this amendment, interest rates applicable to the extended portion of the ABL revolving facility increase, commitment fees for unused borrowing availability under the extended portion of the facility increase and the borrowing availability threshold below which financial covenants apply under the ABL credit agreement decreases, as described in the company's Form 8-K filed today.
 
 
 
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