ACCOUNTS AND ACCOUNTS RECEIVABLE AT BORROWER'S EXPENSE AND AT BANK'S
SOLE AND EXCLUSIVE DISCRETION AND WITHOUT NOTIFICATION AND AUTHORIZATION FROM
BORROWER.
(D)
UPON BANK'S REQUEST, PROVIDE A WRITTEN REPORT RESPECTING ANY
FINANCED RECEIVABLE, IF PAYMENT OF ANY FINANCED RECEIVABLE DOES NOT OCCUR BY ITS
DUE DATE AND INCLUDE THE REASONS FOR THE DELAY.
(E)
PROVIDE BANK WITH, AS SOON AS AVAILABLE, BUT NO LATER THAN THIRTY
(30) FOLLOWING EACH RECONCILIATION PERIOD, AN AGED LISTING OF ACCOUNTS
RECEIVABLE AND ACCOUNTS PAYABLE BY INVOICE DATE, IN FORM ACCEPTABLE TO BANK.
(F)
PROVIDE BANK WITH, AS SOON AS AVAILABLE, BUT NO LATER THAN THIRTY
(30) FOLLOWING EACH RECONCILIATION PERIOD, A DEFERRED REVENUE REPORT, IN FORM
ACCEPTABLE TO BANK.
8
6.3
TAXES.
BORROWER SHALL MAKE, AND CAUSE EACH SUBSIDIARY TO MAKE,
TIMELY PAYMENT OF ALL MATERIAL FEDERAL, STATE, AND LOCAL TAXES OR ASSESSMENTS
(OTHER THAN TAXES AND ASSESSMENTS WHICH BORROWER IS CONTESTING IN GOOD FAITH,
WITH ADEQUATE RESERVES MAINTAINED IN ACCORDANCE WITH GAAP) AND WILL DELIVER TO
BANK, ON DEMAND, APPROPRIATE CERTIFICATES ATTESTING TO SUCH PAYMENTS.
6.4
INSURANCE.
BORROWER SHALL KEEP ITS BUSINESS AND THE COLLATERAL
INSURED FOR RISKS AND IN AMOUNTS,
AND AS BANK MAY REASONABLY REQUEST.
INSURANCE POLICIES SHALL BE IN A FORM, WITH COMPANIES, AND IN AMOUNTS THAT ARE
SATISFACTORY TO BANK.
UNLESS OTHERWISE WAIVED BY BANK, ALL PROPERTY POLICIES
SHALL HAVE A LENDER'S LOSS PAYABLE ENDORSEMENT SHOWING BANK AS AN ADDITIONAL
LOSS PAYEE AND ALL LIABILITY POLICIES SHALL SHOW BANK AS AN ADDITIONAL INSURED
AND ALL POLICIES SHALL PROVIDE THAT THE INSURER MUST GIVE BANK AT LEAST TWENTY
(20) DAYS NOTICE BEFORE CANCELING ITS POLICY.
AT BANK'S REQUEST, BORROWER SHALL
DELIVER CERTIFIED COPIES OF POLICIES AND EVIDENCE OF ALL PREMIUM PAYMENTS.
PROCEEDS PAYABLE UNDER ANY POLICY SHALL, AT BANK'S OPTION, BE PAYABLE TO BANK ON
ACCOUNT OF THE OBLIGATIONS.
IF BORROWER FAILS TO OBTAIN INSURANCE AS REQUIRED
UNDER THIS SECTION OR TO PAY ANY AMOUNT OR FURNISH ANY REQUIRED PROOF OF PAYMENT
TO THIRD PERSONS AND BANK, BANK MAY MAKE ALL OR PART OF SUCH PAYMENT OR OBTAIN
SUCH INSURANCE POLICIES REQUIRED IN THIS SECTION AND TAKE ANY ACTION UNDER THE
POLICIES BANK DEEMS PRUDENT.
6.5
ACCOUNTS.
(A)
IN ORDER TO PERMIT BANK TO MONITOR BORROWER'S FINANCIAL
PERFORMANCE AND CONDITION, BORROWER, AND ALL BORROWER'S SUBSIDIARIES, SHALL
MAINTAIN BORROWER'S, AND SUCH SUBSIDIARIES, PRIMARY DEPOSITORY AND OPERATING
ACCOUNTS AND SECURITIES ACCOUNTS WITH BANK.
(B)
BORROWER SHALL IDENTIFY TO BANK, IN WRITING, ANY BANK OR
SECURITIES ACCOUNT OPENED BY BORROWER WITH ANY INSTITUTION OTHER THAN BANK.
IN
ADDITION, FOR EACH SUCH ACCOUNT THAT BORROWER OR GUARANTOR AT ANY TIME OPENS OR
MAINTAINS, BORROWER SHALL, AT BANK'S REQUEST AND OPTION, PURSUANT TO AN
AGREEMENT IN FORM AND SUBSTANCE ACCEPTABLE TO BANK, CAUSE THE DEPOSITORY BANK OR
SECURITIES INTERMEDIARY TO AGREE THAT SUCH ACCOUNT IS THE COLLATERAL OF BANK
PURSUANT TO THE TERMS HEREUNDER.
THE PROVISIONS OF THE PREVIOUS SENTENCE SHALL
NOT APPLY TO DEPOSIT ACCOUNTS EXCLUSIVELY USED FOR PAYROLL, PAYROLL TAXES AND
OTHER EMPLOYEE WAGE AND BENEFIT PAYMENTS TO OR FOR THE BENEFIT