NOT EXCEED THE L/C SUBLIMIT.
EACH REQUEST BY BORROWER
FOR THE ISSUANCE OR AMENDMENT OF A LETTER OF CREDIT SHALL BE DEEMED TO BE A
REPRESENTATION BY BORROWER THAT THE L/C CREDIT EXTENSION SO REQUESTED COMPLIES
WITH THE CONDITIONS SET FORTH IN THE PROVISO TO THE PRECEDING SENTENCE.
WITHIN
THE FOREGOING LIMITS, AND SUBJECT TO THE TERMS AND CONDITIONS HEREOF, BORROWER'S
ABILITY TO OBTAIN LETTERS OF CREDIT SHALL BE FULLY REVOLVING,
AND ACCORDINGLY
20
BORROWER MAY, DURING THE FOREGOING PERIOD, OBTAIN LETTERS OF CREDIT TO REPLACE
LETTERS OF CREDIT THAT HAVE EXPIRED OR THAT HAVE BEEN DRAWN UPON AND REIMBURSED.
(II)
THE L/C ISSUER SHALL NOT ISSUE ANY LETTER OF CREDIT, IF:
(A)
THE EXPIRY DATE OF SUCH REQUESTED LETTER OF CREDIT WOULD OCCUR MORE
THAN TWELVE MONTHS AFTER THE DATE OF ISSUANCE OR LAST EXTENSION, UNLESS THE
LENDER HAS APPROVED SUCH EXPIRY DATE; OR
(B)
THE EXPIRY DATE OF SUCH REQUESTED LETTER OF CREDIT WOULD OCCUR
AFTER THE L/C EXPIRATION DATE, UNLESS ALL THE LENDERS HAVE APPROVED SUCH EXPIRY
DATE.
(III)
THE L/C ISSUER SHALL BE UNDER NO OBLIGATION TO ISSUE ANY LETTER
OF CREDIT IF:
(A)
ANY ORDER, JUDGMENT OR DECREE OF ANY GOVERNMENTAL AUTHORITY OR
ARBITRATOR SHALL BY ITS TERMS PURPORT TO ENJOIN OR RESTRAIN THE L/C ISSUER FROM
ISSUING SUCH LETTER OF CREDIT, OR ANY LAW APPLICABLE TO THE L/C ISSUER OR ANY
REQUEST OR DIRECTIVE (WHETHER OR NOT HAVING THE FORCE OF LAW) FROM ANY
GOVERNMENTAL AUTHORITY WITH JURISDICTION OVER THE L/C ISSUER SHALL PROHIBIT, OR
REQUEST THAT THE L/C ISSUER REFRAIN FROM, THE ISSUANCE OF LETTERS OF CREDIT
GENERALLY OR SUCH LETTER OF CREDIT IN PARTICULAR OR SHALL IMPOSE UPON THE L/C
ISSUER WITH RESPECT TO SUCH LETTER OF CREDIT ANY RESTRICTION, RESERVE OR CAPITAL
REQUIREMENT (FOR WHICH THE L/C ISSUER IS NOT OTHERWISE COMPENSATED HEREUNDER)
NOT IN EFFECT ON THE CLOSING DATE, OR SHALL IMPOSE UPON THE L/C ISSUER ANY
UNREIMBURSED LOSS, COST OR EXPENSE WHICH WAS NOT APPLICABLE ON THE CLOSING DATE
AND WHICH THE L/C ISSUER IN GOOD FAITH DEEMS MATERIAL TO IT;
(B)
THE ISSUANCE OF SUCH LETTER OF CREDIT WOULD VIOLATE ONE OR MORE
POLICIES OF THE L/C ISSUER APPLICABLE TO LETTERS OF CREDIT GENERALLY;
(C)
EXCEPT AS OTHERWISE AGREED BY THE LENDER AND THE L/C ISSUER, SUCH
LETTER OF CREDIT IS IN AN INITIAL STATED AMOUNT LESS THAN $10,000;
(D)
SUCH LETTER OF CREDIT IS TO BE DENOMINATED IN A CURRENCY OTHER THAN
DOLLARS;
(E)
A DEFAULT OF THE LENDER'S OBLIGATIONS TO FUND UNDER SECTION
2.03(C) EXISTS, UNLESS THE L/C ISSUER HAS ENTERED INTO SATISFACTORY ARRANGEMENTS
WITH BORROWER OR THE LENDER TO ELIMINATE THE L/C ISSUER'S RISK WITH RESPECT TO
THE LENDER; OR
(F)
UNLESS SPECIFICALLY PROVIDED FOR IN THIS AGREEMENT, SUCH LETTER OF
CREDIT CONTAINS ANY PROVISIONS FOR AUTOMATIC REINSTATEMENT OF THE STATED AMOUNT
AFTER ANY DRAWING THEREUNDER.
(IV)
THE L/C ISSUER SHALL NOT AMEND ANY LETTER OF CREDIT IF THE L/C
ISSUER WOULD NOT BE PERMITTED AT SUCH TIME TO ISSUE SUCH LETTER OF CREDIT