and general corporate needs and for any other purpose not prohibited hereunder,
and Borrower may use the proceeds of the U.S. Revolving Loan to finance
Permitted Acquisitions, subject to the terms and conditions set forth herein.
Borrower shall use the proceeds of the Schaublin Revolving Loan to fund the
Schaublin Intercompany Loans and Schaublin shall use the proceeds of the
Schaublin Intercompany Loans for the ordinary working capital and general
corporate needs of Schaublin and for the making of Intercompany Loans to the
French Operating Companies.
9
1.5
INTEREST AND APPLICABLE MARGINS.
(A)
BORROWER SHALL PAY INTEREST TO AGENT, FOR
THE RATABLE BENEFIT OF LENDERS IN ACCORDANCE WITH THE VARIOUS LOANS BEING MADE
BY EACH LENDER, IN ARREARS ON EACH APPLICABLE INTEREST PAYMENT DATE, AT THE
FOLLOWING RATES:
(I) WITH RESPECT TO THE REVOLVING CREDIT ADVANCES, THE INDEX
RATE PLUS THE APPLICABLE REVOLVER INDEX MARGIN PER ANNUM OR, AT THE ELECTION OF
BORROWER, THE APPLICABLE LIBOR RATE PLUS THE APPLICABLE REVOLVER LIBOR MARGIN
PER ANNUM, BASED ON THE AGGREGATE REVOLVING CREDIT ADVANCES OUTSTANDING FROM
TIME TO TIME;
(II) WITH RESPECT TO THE TERM LOAN, THE INDEX RATE PLUS THE
APPLICABLE TERM LOAN INDEX MARGIN PER ANNUM OR, AT THE ELECTION OF BORROWER, THE
APPLICABLE LIBOR RATE PLUS THE APPLICABLE TERM LOAN LIBOR MARGIN PER ANNUM; AND
(III) WITH RESPECT TO THE SWING LINE LOAN, THE INDEX RATE PLUS THE APPLICABLE
REVOLVER INDEX MARGIN PER ANNUM.
The Applicable Margins are as follows:
Applicable Revolver Index Margin
1.25
%
Applicable Revolver Index Margin
1.25
%
Applicable Revolver LIBOR Margin
2.25
%
Applicable Term Loan Index Margin
1.25
%
Applicable Term Loan LIBOR Margin
2.25
%
(B)
IF ANY PAYMENT ON ANY LOAN BECOMES DUE AND
PAYABLE ON A DAY OTHER THAN A BUSINESS DAY, THE MATURITY THEREOF WILL BE
EXTENDED TO THE NEXT SUCCEEDING BUSINESS DAY (EXCEPT AS SET FORTH IN THE
DEFINITION OF LIBOR PERIOD) AND, WITH RESPECT TO PAYMENTS OF PRINCIPAL, INTEREST
THEREON SHALL BE PAYABLE AT THE THEN APPLICABLE RATE DURING SUCH EXTENSION.
(C)
ALL COMPUTATIONS OF FEES CALCULATED ON A
PER ANNUM BASIS AND INTEREST SHALL BE MADE BY AGENT ON THE BASIS OF A 360-DAY
YEAR, IN EACH CASE FOR THE ACTUAL NUMBER OF DAYS OCCURRING IN THE PERIOD FOR
WHICH SUCH INTEREST AND FEES ARE PAYABLE.
THE INDEX RATE IS A FLOATING RATE
DETERMINED FOR EACH DAY.
EACH DETERMINATION BY AGENT OF AN INTEREST RATE AND
FEES HEREUNDER SHALL BE PRESUMED TO BE CORRECT.
(D)
SO LONG AS AN EVENT OF DEFAULT HAS OCCURRED
AND IS CONTINUING UNDER SECTION 8.1(A), (H) OR (I), OR SO LONG AS ANY OTHER
DEFAULT OR EVENT OF DEFAULT HAS OCCURRED AND IS CONTINUING AND AT THE ELECTION
OF AGENT (OR UPON THE WRITTEN REQUEST OF REQUISITE LENDERS) CONFIRMED BY WRITTEN
NOTICE FROM AGENT TO BORROWER, THE INTEREST RATES APPLICABLE TO THE LOANS AND
THE LETTER OF CREDIT FEES SHALL BE INCREASED BY TWO PERCENTAGE POINTS (2%) PER
ANNUM ABOVE THE RATES OF INTEREST OR THE RATE OF SUCH FEES