TERMINATES ON THE
REVOLVING LINE MATURITY DATE, WHEN THE PRINCIPAL AMOUNT OF ALL ADVANCES, THE
UNPAID INTEREST THEREON, AND ALL OTHER OBLIGATIONS RELATING TO THE REVOLVING
LINE SHALL BE IMMEDIATELY DUE AND PAYABLE.
(C)
PREPAYMENT. BORROWER SHALL HAVE THE OPTION TO PREPAY THE
REVOLVING LINE AT ANYTIME, PROVIDED BORROWER (I) PROVIDES WRITTEN NOTICE TO BANK
OF ITS ELECTION TO PREPAY THE REVOLVING LINE, AND (II) PAYS, ON THE DATE OF SUCH
PREPAYMENT (A) ALL OUTSTANDING PRINCIPAL PLUS ACCRUED INTEREST, (B) THE MINIMUM
USAGE FEE WHICH WOULD BE DUE, AND (C) ALL OTHER SUMS, IF ANY, THAT SHALL HAVE
BECOME DUE AND PAYABLE.
2
2.1.2
LETTERS OF CREDIT SUBLIMIT.
(A)
AS PART OF THE REVOLVING LINE, BANK SHALL
ISSUE OR HAVE ISSUED LETTERS OF CREDIT FOR BORROWER'S ACCOUNT. THE FACE AMOUNT
OF OUTSTANDING LETTERS OF CREDIT (INCLUDING DRAWN BUT UNREIMBURSED LETTERS OF
CREDIT AND ANY LETTER OF CREDIT RESERVE) MAY NOT EXCEED $5,000,000.00. SUCH
AGGREGATE AMOUNTS UTILIZED HEREUNDER SHALL AT ALL TIMES REDUCE THE AMOUNT
OTHERWISE AVAILABLE FOR ADVANCES UNDER THE REVOLVING LINE. IF, ON THE REVOLVING
MATURITY DATE, THERE ARE ANY OUTSTANDING LETTERS OF CREDIT, THEN ON SUCH DATE
BORROWER SHALL PROVIDE TO BANK CASH COLLATERAL IN AN AMOUNT EQUAL TO 105% OF THE
FACE AMOUNT OF ALL SUCH LETTERS OF CREDIT PLUS ALL INTEREST, FEES, AND COSTS DUE
OR TO BECOME DUE IN CONNECTION THEREWITH (AS ESTIMATED BY BANK IN ITS GOOD FAITH
BUSINESS JUDGMENT), TO SECURE ALL OF THE OBLIGATIONS RELATING TO SAID LETTERS OF
CREDIT. ALL LETTERS OF CREDIT SHALL BE IN FORM AND SUBSTANCE ACCEPTABLE TO BANK
IN ITS SOLE DISCRETION AND SHALL BE SUBJECT TO THE TERMS AND CONDITIONS OF
BANK'S STANDARD APPLICATION AND LETTER OF CREDIT AGREEMENT (THE "LETTER OF
CREDIT APPLICATION"). BORROWER AGREES TO EXECUTE ANY FURTHER DOCUMENTATION IN
CONNECTION WITH THE LETTERS OF CREDIT AS BANK MAY REASONABLY REQUEST. BORROWER
FURTHER AGREES TO BE BOUND BY THE REGULATIONS AND INTERPRETATIONS OF THE ISSUER
OF ANY LETTERS OF CREDIT GUARANTIED BY BANK AND OPENED FOR BORROWER'S ACCOUNT OR
BY BANK'S INTERPRETATIONS OF ANY LETTER OF CREDIT ISSUED BY BANK FOR BORROWER'S
ACCOUNT, AND BORROWER UNDERSTANDS AND AGREES THAT BANK SHALL NOT BE LIABLE FOR
ANY ERROR, NEGLIGENCE, OR MISTAKE, WHETHER OF OMISSION OR COMMISSION, IN
FOLLOWING BORROWER'S INSTRUCTIONS OR THOSE CONTAINED IN THE LETTERS OF CREDIT OR
ANY MODIFICATIONS, AMENDMENTS, OR SUPPLEMENTS THERETO.
(B)
THE OBLIGATION OF BORROWER TO IMMEDIATELY
REIMBURSE BANK FOR DRAWINGS MADE UNDER LETTERS OF CREDIT SHALL BE ABSOLUTE,
UNCONDITIONAL, AND IRREVOCABLE, AND SHALL BE PERFORMED STRICTLY IN ACCORDANCE
WITH THE TERMS OF THIS AGREEMENT, SUCH LETTERS OF CREDIT, AND THE LETTER OF
CREDIT APPLICATION.
(C)
BORROWER MAY REQUEST THAT BANK ISSUE A
LETTER OF CREDIT PAYABLE IN A FOREIGN CURRENCY. IF A DEMAND FOR PAYMENT IS MADE
UNDER ANY SUCH LETTER OF CREDIT, BANK SHALL TREAT SUCH DEMAND AS AN ADVANCE TO
BORROWER OF THE EQUIVALENT OF THE AMOUNT THEREOF (PLUS FEES AND CHARGES IN
CONNECTION THEREWITH SUCH AS WIRE, CABLE, SWIFT OR SIMILAR CHARGES) IN DOLLARS
AT