TO BE RESPONSIBLE FOR ANY OF BORROWER'S OBLIGATIONS UNDER ANY CONTRACT OR
AGREEMENT GIVING RISE TO AN ACCOUNT.
NOTHING HEREIN SHALL, HOWEVER, RELIEVE
BANK FROM LIABILITY FOR ITS OWN GROSS NEGLIGENCE OR WILLFUL MISCONDUCT.
6.4
EXIM INSURANCE.
IF REQUIRED BY BANK, BORROWER WILL OBTAIN, AND PAY
WHEN DUE ALL PREMIUMS WITH RESPECT TO, AND MAINTAIN UNINTERRUPTED FOREIGN CREDIT
INSURANCE.
IN ADDITION, IF REQUESTED BY BANK, BORROWER WILL EXECUTE IN FAVOR OF
BANK AN ASSIGNMENT OF PROCEEDS OF ANY INSURANCE POLICY OBTAINED BY BORROWER AND
ISSUED BY EXIM BANK INSURING AGAINST COMPREHENSIVE COMMERCIAL AND POLITICAL RISK
(THE "EXIM BANK POLICY").
THE INSURANCE PROCEEDS FROM THE EXIM BANK POLICY
ASSIGNED OR PAID TO BANK WILL BE APPLIED TO THE BALANCE OUTSTANDING UNDER THIS
EXIM AGREEMENT.
BORROWER WILL IMMEDIATELY NOTIFY BANK AND EXIM BANK IN WRITING
UPON SUBMISSION OF ANY CLAIM UNDER THE EXIM BANK POLICY.
6.5
FURTHER ASSURANCES.
EXECUTE ANY FURTHER INSTRUMENTS AND TAKE
FURTHER ACTION AS BANK REASONABLY REQUESTS TO PERFECT OR CONTINUE BANK'S LIEN IN
THE COLLATERAL OR TO EFFECT THE PURPOSES OF THIS EXIM AGREEMENT.
7
NEGATIVE COVENANTS
Borrower shall not do any of the following without Bank's prior written consent:
7.1
DOMESTIC LOAN DOCUMENTS.
VIOLATE OR OTHERWISE FAIL TO COMPLY WITH
ANY PROVISIONS OF THE DOMESTIC LOAN DOCUMENTS, WHICH PROVISIONS ARE INCORPORATED
INTO THIS EXIM AGREEMENT BY REFERENCE, AND SHALL SURVIVE THE TERMINATION OF
DOMESTIC AGREEMENT.
7.2
EXIM BORROWER AGREEMENT.
VIOLATE OR OTHERWISE FAIL TO COMPLY WITH
ANY PROVISION OF THE EXIM BORROWER AGREEMENT, INCLUDING, WITHOUT LIMITATION, THE
NEGATIVE COVENANTS SET FORTH THEREIN.
7.3
EXIM GUARANTY.
TAKE ANY ACTION, OR PERMIT ANY ACTION TO BE TAKEN,
THAT CAUSES OR, WITH THE PASSAGE OF TIME, COULD CAUSE, THE EXIM GUARANTY TO
CEASE TO BE IN FULL FORCE AND EFFECT.
8
EVENTS OF DEFAULT
Any one of the following shall constitute an event of default (an "Event of
Default") under this EXIM Agreement:
7
8.1
PAYMENT DEFAULT.
BORROWER FAILS TO (A) MAKE ANY PAYMENT OF
PRINCIPAL OR INTEREST ON ANY CREDIT EXTENSION ON ITS DUE DATE, OR (B) PAY ANY
OTHER OBLIGATIONS WITHIN THREE (3) DAYS AFTER SUCH OBLIGATIONS ARE DUE AND
PAYABLE (WHICH THREE (3) DAY GRACE PERIOD SHALL NOT APPLY TO PAYMENTS DUE ON THE
MATURITY DATE).
DURING THE CURE PERIOD, THE FAILURE TO CURE THE PAYMENT DEFAULT
IS NOT AN EVENT OF DEFAULT (BUT NO CREDIT EXTENSION WILL BE MADE DURING THE CURE
PERIOD);
8.2
COVENANT DEFAULT.
(a) Borrower fails or neglects to perform any obligation in Sections 6.2, 6.5,
6.7, 6.8, 6.9, 6.12 of the Domestic Agreement (incorporated herein by reference)
or violates any covenant in Section 7; or
(B) BORROWER FAILS OR NEGLECTS TO PERFORM, KEEP, OR OBSERVE ANY OTHER TERM,
PROVISION, CONDITION, COVENANT OR AGREEMENT CONTAINED IN THIS EXIM AGREEMENT OR
ANY LOAN DOCUMENTS, AND AS TO ANY DEFAULT (OTHER THAN THOSE SPECIFIED IN THIS
SECTION 8) UNDER SUCH OTHER TERM, PROVISION, CONDITION, COVENANT OR AGREEMENT
THAT CAN BE CURED, HAS FAILED TO CURE THE DEFAULT WITHIN TEN (10) DAYS AFTER THE
OCCURRENCE