Credit Agreements and Covenants

Analyze sections of debt agreements and legal and financial covenants and understand the legal aspects of bank-issued debt and corporate bonds.

In this course, you will:

• Comprehend the major types of covenants found in credit agreements and bond indentures: affirmative, negative and financial. 

• Delve into maintenance and incurrence covenants, reps and warranties, indemnities, etc.

• Learn relevant credit agreement provisions and common related structural issues.

• Analyze senior credit agreements covenants and high-yield bond covenants.

• Understand the implications of covenants on “events of default” and differentiate between technical defaults.

• Compare and contrast “loose” and “tight” covenants and covenant-light and covenant-tight agreements.

Prerequisites: Familiarity with analytical thinking and approaches.

Who Should Attend?

Financial and credit analysts, debt capital markets professionals, investment advisors/consultants, high yield bond traders, hedge fund and capital structure arbitrage traders, distressed analysts, portfolio managers, and others interested in an advanced look at credit agreements and covenants.

Note: Bring your PC laptop with Microsoft Excel for PC (any version) installed and a working USB slot to copy template files from memory stick in class. Native Mac with Excel for Mac will not be as effective.