Financially Distressed Borrower
Financially Distressed Borrower means an RUS-financed electric system determined by the Administrator to be either in default or near default on interest or principal payments due on loans made or guaranteed under the RE Act, and is making a good faith effort to increase rates and reduce costs to avoid or mitigate default; or (2) participating in a work out or debt restructuring plan with RUS, either as the borrower being restructured or as a borrower providing assistance as part of the work out or restructuring.
7 CFR § 1786.27
Definitions. For the purposes of this subpart, the following terms shall have the following meanings: