OF THE PRESENCE OF
SUCH HAZARDOUS MATERIAL, IN THE STATE, AND UNDER THE CONDITIONS, THAT IT THEN
EXISTS IN THE BUILDING OR ON THE PROJECT, WOULD HAVE THEN REQUIRED THE REMOVAL,
REMEDIATION OR OTHER ACTION WITH RESPECT TO SUCH HAZARDOUS MATERIAL;
(XXXV)
ANY ENTERTAINMENT, DINING OR TRAVEL EXPENSES FOR ANY PURPOSE, EXCEPT
TO THE EXTENT COMPARABLE EXPENSES ARE INCLUDED IN THE BASE YEAR CALCULATION OF
OPERATING EXPENSES;
(XXXVI)
IN THE EVENT ANY FACILITIES, SERVICES OR UTILITIES USED IN
CONNECTION WITH THE PROJECT ARE PROVIDED FROM ANOTHER BUILDING OWNED OR OPERATED
BY LANDLORD OR VICE VERSA, THE COSTS INCURRED BY LANDLORD IN CONNECTION
THEREWITH SHALL BE ALLOCATED TO OPERATING EXPENSES BY LANDLORD ON A REASONABLY
EQUITABLE BASIS;
(XXXVII)
ANY RESERVES RETAINED BY LANDLORD; AND
(XXXVIII)
COSTS INCURRED TO CORRECT ANY VIOLATIONS OR NON-COMPLIANCE WITH
APPLICABLE LAW, PROVIDED THAT COMPLIANCE WITH SUCH APPLICABLE LAWS IS NOT THE
RESPONSIBILITY OF TENANT UNDER THIS LEASE AND SUCH VIOLATIONS OR NON-COMPLIANCE
WERE IN EXISTENCE IN THE BUILDING OR ON THE PROJECT PRIOR TO THE LEASE
COMMENCEMENT DATE, AND WERE OF SUCH A NATURE THAT A FEDERAL, STATE OR MUNICIPAL
GOVERNMENTAL OR QUASI-GOVERNMENTAL AUTHORITY, IF IT HAD THEN KNOWLEDGE OF THE
VIOLATIONS OR NON-COMPLIANCE, IN THE STATE, AND UNDER THE CONDITIONS THAT THEY
THEN WERE OCCURRING IN THE BUILDING OR ON THE PROJECT, WOULD HAVE THEN REQUIRED
CORRECTION WITH RESPECT TO SUCH VIOLATIONS OR NON-COMPLIANCE.
IT IS UNDERSTOOD THAT OPERATING EXPENSES SHALL BE REDUCED BY ALL
CASH DISCOUNTS, TRADE DISCOUNTS, OR QUANTITY DISCOUNTS TAKEN BY LANDLORD OR
LANDLORD'S MANAGING AGENT IN THE PURCHASE OF ANY GOODS, UTILITIES, OR SERVICES
IN CONNECTION WITH THE OPERATION OF THE BUILDING OR THE PROJECT.
IF CAPITAL
ITEMS WHICH ARE CUSTOMARILY PURCHASED BY LANDLORDS OF FIRST-CLASS OFFICE
BUILDINGS IN THE LONG BEACH AREA ARE LEASED BY LANDLORD, RATHER THAN PURCHASED,
THE DECISION BY LANDLORD TO LEASE THE ITEM IN QUESTION SHALL NOT SERVE TO
INCREASE TENANT'S SHARE OF OPERATING EXPENSES BEYOND THAT WHICH WOULD HAVE
APPLIED HAD THE ITEM IN QUESTION BEEN PURCHASED.
IN THE CALCULATION OF ANY
EXPENSES HEREUNDER, IT IS UNDERSTOOD THAT NO SPECIFIC EXPENSE SHALL BE CHARGED
MORE THAN ONCE.
LANDLORD SHALL USE ITS REASONABLE EFFORTS TO EFFECT AN
EQUITABLE PRORATION OF BILLS FOR SERVICES RENDERED TO THE BUILDING OR THE
PROJECT AND TO ANY OTHER PROPERTY OWNED OR MANAGED BY LANDLORD.
LANDLORD AGREES
TO KEEP BOOKS AND RECORDS SHOWING THE OPERATING EXPENSES IN ACCORDANCE WITH A
SYSTEM OF ACCOUNTS AND ACCOUNTING PRACTICES CONSISTENTLY MAINTAINED BY LANDLORD
ON A YEAR-TO-YEAR BASIS IN COMPLIANCE WITH SUCH PROVISIONS OF THIS LEASE AS MAY
AFFECT SUCH ACCOUNTS.
ADJUSTMENTS TO TENANT'S SHARE.
SHOULD ADDITIONAL OFFICE OR
COMMERCIAL RENTABLE AREAS OR ANY ADDITIONAL BUILDINGS BE CONSTRUCTED OR
INCORPORATED BY LANDLORD INTO AND AS A PART OF THE BUILDING OR THE PROJECT, AS
LANDLORD MAY ELECT AT LANDLORD'S SOLE DISCRETION, WHETHER AT DATE OF COMPLETION
OF CONSTRUCTION, DATE OF SUBSTANTIAL OCCUPANCY, OR AT A LATER DATE, OR SHOULD
THE BUILDING OR THE PROJECT BE JOINED WITH OR SUBSEQUENTLY SEVERED FROM AN
ADJACENT