Document:

EX-4.61

 Exhibit 4.61 

Dated 28 December 2018 

VELVET SHIPPING CORPORATION 

GOLEM NAVIGATION LIMITED and 

COASTERS VENTURES LTD 
 as
joint and several Borrowers 
 and 

THE BANKS AND FINANCIAL INSTITUTIONS 

listed in Schedule 1 
 as
Lenders 
 and 
 NIBC BANK
N.V. 
 as Mandated Lead Arranger 

and 
 NIBC BANK N.V. 

as Agent and Security Trustee 

LOAN AGREEMENT 
 relating
to 
 a $28,500,000 term loan facility secured on 

m.vs. “Navios La Paix”, “Navios Soleil” and “Navios Christine B” 

 
 

 

 Index 
  

							
	Clause	  	 	  	Page	 
	 1
	  	 Interpretation
	  	 	1	 
	 2
	  	 Loan Facility
	  	 	23	 
	 3
	  	 Position of the Lenders
	  	 	23	 
	 4
	  	 Drawdown
	  	 	24	 
	 5
	  	 Interest
	  	 	26	 
	 6
	  	 Interest Periods
	  	 	28	 
	 7
	  	 Default Interest
	  	 	28	 
	 8
	  	 Repayment and Prepayment
	  	 	30	 
	 9
	  	 Conditions Precedent
	  	 	32	 
	 10
	  	 Representations and Warranties
	  	 	33	 
	 11
	  	 General Undertakings
	  	 	37	 
	 12
	  	 Corporate Undertakings
	  	 	42	 
	 13
	  	 Insurance
	  	 	43	 
	 14
	  	 Ship covenants
	  	 	50	 
	 15
	  	 Security Cover
	  	 	54	 
	 16
	  	 Payments and Calculations
	  	 	56	 
	 17
	  	 Application of Receipts
	  	 	58	 
	 18
	  	 Application of Earnings
	  	 	59	 
	 19
	  	 Events of Default
	  	 	62	 
	 20
	  	 Fees and Expenses
	  	 	67	 
	 21
	  	 Indemnities
	  	 	69	 
	 22
	  	 No Set-off or Tax Deduction
	  	 	72	 
	 23
	  	 Illegality, etc
	  	 	75	 
	 24
	  	 Increased Costs
	  	 	75	 
	 25
	  	 Set-off
	  	 	77	 
	 26
	  	 Transfers and Changes in Lending Offices
	  	 	77	 
	 27
	  	 Variations and Waivers by majority lenders
	  	 	81	 
	 28
	  	 Notices
	  	 	84	 
	 29
	  	 Supplemental
	  	 	85	 
	 30
	  	 Confidentiality
	  	 	87	 
	 31
	  	 Law and Jurisdiction
	  	 	91	 
	 32
	  	 Bail-In
	  	 	92	 
		
	 Schedules
	  			
		
	 Schedule 1 Lenders and Commitments
	  	 	93	 
	 Schedule 2 Drawdown Notice
	  	 	95	 
	 Schedule 3 Condition Precedent Documents
	  	 	96	 
	         Part A
	  	 	96	 
	         Part B
	  	 	98	 
	 Schedule 4 Transfer Certificate
	  	 	100	 
	 Schedule 5 Ship Details
	  	 	104	 
		
	 Execution
	  			
		
	 Execution Page
	  	 	105	 

  

 THIS LOAN AGREEMENT is made on 28 December 2018 

PARTIES 
  

	(1)	 VELVET SHIPPING CORPORATION, GOLEM NAVIGATION LIMITED and COASTERS VENTURES LTD, each a
corporation incorporated and existing under the laws of the Marshall Islands whose registered address is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960, as joint and several Borrowers.

  

	(2)	 THE BANKS AND FINANCIAL INSTITUTIONS listed in Schedule 1, as Lenders. 

 

	(3)	 NIBC BANK N.V., acting through its office at Carnegieplein 4, 2517 KJ, The Hague, Netherlands as
Mandated Lead Arranger. 

  

	(4)	 NIBC BANK N.V., acting through its office at Carnegieplein 4, 2517 KJ, The Hague, Netherlands
as Agent and Security Trustee. 

 WHEREAS 

The Lenders have agreed to make available to the Borrowers, in three advances, a senior secured term loan facility: 

 

	(A)	 Advance A shall be in an amount equal to the lesser of (a) $12,000,000 and (b) 55 per cent. of the Market
Value of Ship A which shall be made available for the purpose of refinancing the Existing Indebtedness relating to Ship A; 

  

	(B)	 Advance B shall be in an amount equal to the lesser of (a) $8,250,000 and (b) 55 per cent. of the Market
Value of Ship B which shall be made available for the purpose of refinancing the Existing Indebtedness relating to Ship B; and 

  

	(C)	 Advance C shall be in an amount equal to the lesser of (a) $8,250,000 and (b) 55 per cent. of the Market
Value of Ship C which shall be made available for the purpose of refinancing the Existing Indebtedness relating to Ship C. 

  

	(D)	 IT IS AGREED as follows: 

 

	1	 INTERPRETATION 

 

	1.1	 Definitions 

Subject to Clause 1.5, in this Agreement: 

“Account” means each of the Earnings Accounts, the Liquidity Account and the Retention Account and, in the plural, means all
of them; 
 “Account Bank” means: 
  

	 	(a)	 in relation to the Retention Account and the Liquidity account, NIBC BANK N.V., acting through its
office at Carnegieplein 4, 2517 KJ, The Hague, Netherlands; and 

  

	 	(b)	 in relation to the Earnings accounts, HSH Nordbank AG acting through its office at Gerhart-Hauptmann-Platz 50, D-20095 Hamburg, Germany; 

 “Account Pledge” means, in relation to each Earnings Account, the Liquidity
Account and Retention Account, a deed of pledge of that Account in such form as the Lenders may approve or require, and in the plural means all of them; 

“Advance A” means, in relation to Ship A, an amount equal to the lesser of (i) $12,000,000 and (b) 55 per cent. of the
Market Value of Ship A which shall be made available for the purpose of refinancing the Existing Indebtedness of Ship A; 
 “Advance
B” means, in relation to Ship B, an amount equal to the lesser of (i) $8,250,000 and (b) 55 per cent. of the Market Value of Ship B which shall be made available for the purpose of refinancing the Existing Indebtedness of Ship B; 

“Advance C” means, in relation to Ship C, an amount equal to the lesser of (i) $8,250,000 and (b) 55 per cent. of the
Market Value of Ship C which shall be made available for the purpose of refinancing the Existing Indebtedness of Ship C; 

“Advances” means, together, Advance A, Advance B and Advance C or the principal amount of each borrowing by the Borrowers
under this Agreement and, in the singular, means any of them; 
 “Agency and Trust Deed” means the agency and trust deed
executed or to be executed between the Borrowers, the Lenders, the Mandated Lead Arranger, the Agent and the Security Trustee in such form as the Lenders may approve or require; 

“Agent” means NIBC BANK N.V., acting through its office at Carnegieplein 4, 2517 KJ, The Hague, Netherlands, or any successor
of it appointed under clause 5 of the Agency and Trust Deed; 
 “Applicable Person” has the meaning given in Clause 29.4;

 “Approved Broker” means any of VesselsValue.com, Arrow Valuations Ltd, Braemar ACM Shipbroking, H Clarkson & Co.
Ltd., Fearnleys, Simpson Spencer & Young, Maersk Broker K.S. and Maritime Strategies International (to include, in each case, their successors or assigns and such subsidiary or other company in the same corporate group through which
valuations are commonly issued by each of these brokers), or such other first-class independent broker as the Borrowers and the Agent (acting on the instructions of the Majority Lenders) may agree in writing from time to time; 

“Approved Classification Society” means, in relation to a Ship, as at the date of this Agreement, Bureau Veritas, American
Bureau of Shipping, Lloyd’s Register, DNV-GL and Nippon Kaiji Kyokai or any other classification society which is a member of IACS approved in writing by the Agent acting with the authorisation of the
Majority Lenders; 
 “Approved Flag” means, in relation to a Ship, the flag of Panama or Liberia or the Marshall Islands or
such other flag as the Agent (acting on the instructions of the Lenders) may approve as the flag on which that Ship is or, as the case may be, shall be registered; 

“Approved Flag State” means, in relation to a Ship, the Republic of Panama, the Republic of Liberia, the Marshall Islands or
any other country in which the Agent (acting on the instructions of the Lenders) may approve that that Ship is or, as the case may be, shall be registered; 

  
 2 

 “Approved Manager” means in respect of the commercial and technical
management of each Ship, Kleimar and/or Navios Shipmanagement Inc., a corporation domesticated under the laws of the Marshall Islands having its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro MH96960, Marshall
Islands or any other company (for the avoidance of doubt, other than an affiliate of Navios Shipmanagement Inc.) which the Agent (acting on the instructions of the Majority Lenders) may approve from time to time as the commercial and technical
manager of any Ship; 
 “Approved Manager’s Undertaking” means, in relation to a Ship, a letter of undertaking
including, without limitation, an assignment of the Approved Manager’s rights, title and interest in the Insurances of the relevant Ship executed or to be executed by the Approved Manager in favour of the Security Trustee agreeing certain
matters in relation to the Approved Manager serving as the manager of that Ship and subordinating the rights of the Approved Manager against that Ship and that Borrower to the rights of the Creditor Parties under the Finance Documents, in such form
as the Security Trustee, with the authorisation of the Lenders, may approve or require and, in the plural, means all of them; 

“Availability Period” means the period commencing on the date of this Agreement and ending on: 

 

	 	(a)	 31 March 2019, excluding the period between 21 December 2018 to 31 December 2018 (both dates
inclusive), or such later date as the Agent may, with the authorisation of the Majority Lenders, agree with the Borrowers; or 

  

	 	(b)	 if earlier, the date on which the Total Commitments are fully borrowed, cancelled or terminated;

 “Bail-In Action” means the exercise of any Write-down and
Conversion Powers; 
 “Bail-In Legislation” means: 

 

	 	(a)	 in relation to an EEA Member Country which has implemented, or which at any time implements, Article 55 of
Directive 2014/59/EU establishing a framework for the recovery and resolution of credit institutions and investment firms, the relevant implementing law or regulation as described in the EU Bail-In Legislation
Schedule from time to time; and 

  

	 	(b)	 in relation to any other state, any analogous law or regulation from time to time which requires contractual
recognition of any Write-down and Conversion Powers contained in that law or regulation; 

 “Balloon
Instalment” has the meaning given to it in Clause 8.1; 
 “Basel III” means: 

 

	 	(a)	 the agreements on capital requirements, a leverage ratio and liquidity standards contained in “Basel III:
A global regulatory framework for more resilient banks and banking systems”, “Basel III: International framework for liquidity risk measurement, standards and monitoring” and “Guidance for national authorities operating the
countercyclical capital buffer” published by the Basel Committee on Banking Supervision in December 2010, each as amended, supplemented or restated; 

  
 3 

	 	(b)	 the rules for global systemically important banks contained in “Global systemically important banks:
assessment methodology and the additional loss absorbency requirement—Rules text” published by the Basel Committee on Banking Supervision in November 2011, as amended, supplemented or restated; and 

 

	 	(c)	 any further guidance or standards published by the Basel Committee on Banking Supervision relating to
“Basel III”; 

 “Borrower” means each of Borrower A, Borrower B and Borrower C, and, in the
plural, means all of them; 
 “Borrower A” has the meaning given to that term in Schedule 5; 

“Borrower B” has the meaning given to that term in Schedule 5; 

“Borrower C” has the meaning given to that term in Schedule 5; 

“Break Costs” means the amount (if any) by which: 
  

	 	(a)	 the interest, excluding the Margin, which a Lender should have received for the period from the date of receipt
of all or any part of its participation in an Advance or an Unpaid Sum to the last day of the current Interest Period in relation to that Advance, the relevant part of that Advance or that Unpaid Sum, had the principal amount or Unpaid Sum received
been paid on the last day of that Interest Period; 

 exceeds 

 

	 	(b)	 the amount which that Lender would be able to obtain by placing an amount equal to the principal amount or
Unpaid Sum received by it on deposit with a leading bank in the London interbank market for a period starting on the Business Day following receipt or recovery and ending on the last day of the current Interest Period; 

“Business Day” means a day on which banks are open in London, Athens and Amsterdam and in respect of a day on which a payment
is required to be made under a Finance Document, also in New York City; 
 “Change of Control” means, in relation to: 

 

	 	(a)	 a Borrower, a change in: 

 

	 	(i)	 the beneficial ownership of any of the shares in that Borrower; or 

 

	 	(ii)	 the legal ownership of any of those shares; or 

the Corporate Guarantor, change which results in the Designated Unitholders being the ultimate beneficial owner of, or having ultimate control
of the voting rights attaching to, less than 15 per cent. of all the Common Units in the Corporate Guarantor; 

“Charterparty” means, in relation to a Ship, any charterparty in respect of that Ship of a duration exceeding or capable of
exceeding 12 months, made on terms and with a charterer acceptable in all respects to the Lenders; 

  
 4 

 “Charterparty Assignment” means, in relation to a Ship, the deed of
assignment of any Charterparty in favour of the Security Trustee, in such form as the Lenders may approve or require; 

“Code” means the United States Internal Revenue Code of 1986; 

“Commitment” means, in relation to a Lender, the amount set opposite its name in Schedule 1 or, as the case may require, the
amount specified in the relevant Transfer Certificate, as that amount may be reduced, cancelled or terminated in accordance with this Agreement (and “Total Commitments” means the aggregate of the Commitments of all the Lenders);

 “Common Units” has the meaning given to such term in the Third Amended and Restated Agreement of Limited Partnership of
the Corporate Guarantor; 
 “Confidentiality Undertaking” means a confidentiality undertaking substantially in a recommended
form of the Loan Market Association (LMA) or in any other form agreed between the Borrowers and the Agent; 
 “Confidential
Information” means all information relating to the Borrowers, any Security Party, the Group, the Finance Documents or the Loan of which a Creditor Party becomes aware in its capacity as, or for the purpose of becoming, a Creditor Party or
which is received by a Creditor Party in relation to, or for the purpose of becoming a Creditor Party under, the Finance Documents or the Loan from either: 
  

	 	(a)	 any member of the Group or any of its advisers; or 

 

	 	(b)	 another Creditor Party, if the information was obtained by that Creditor Party directly or indirectly from any
member of the Group or any of its advisers, 

 in whatever form, and includes information given orally and any document,
electronic file or any other way of representing or recording information which contains or is derived or copied from such information but excludes: 
  

	 	(i)	 information that: 

  

	 	(A)	 is or becomes public information other than as a direct or indirect result of any breach by that Creditor Party
of Clause 30; or 

  

	 	(B)	 is identified in writing at the time of delivery as non-confidential by
any member of the Group or any of its advisers; or 

  

	 	(C)	 is known by that Creditor Party before the date the information is disclosed to it in accordance with
paragraphs (a) or (b) above or is lawfully obtained by that Creditor Party after that date, from a source which is, as far as that Creditor Party is aware, unconnected with the Group and which, in either case, as far as that Creditor Party is
aware, has not been obtained in breach of, and is not otherwise subject to, any obligation of confidentiality; and 

  

	 	(ii)	 any Funding Rate or any quotation supplied to the Agent by a Reference Bank; 

  
 5 

 “Confidential Rate” means any quotation supplied to the Agent by a
Reference Bank or any Funding Rate; 
 “Contractual Currency” has the meaning given in Clause 21.5; 

“Contribution” means, in relation to a Lender, the part of the Loan which is owing to that Lender; 

“Corporate Guarantee” means the guarantee to be given by the Corporate Guarantor in favour of the Security Trustee,
guaranteeing the obligations of the Borrowers under this Agreement and the other Finance Documents, in such form as the Lenders may approve or require; 

“Corporate Guarantor” means Navios Maritime Partners L.P. a limited partnership formed and existing under the laws of the
Marshall Islands whose registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands, MH96960 and listed on the New York Stock Exchange; 

“Creditor Party” means the Agent, the Security Trustee, the Mandated Lead Arranger or any Lender, whether as at the date of
this Agreement or at any later time; 
 “Designated Unitholders” means Mrs Angeliki Frangou either directly or indirectly
(through entities owned and controlled by her or trusts or foundations of which she is the beneficiary) and/or Navios Maritime Holdings Inc. or any of its affiliates being, either individually or together, the ultimate beneficial owner(s) of, or
having ultimate control of the voting rights attaching to, at least 15 per cent. of all the Common Units in the Corporate Guarantor and in the plural means all of them; 

“Dollars” and “$” means the lawful currency for the time being of the United States of America; 

“Drawdown Date” means, in relation to an Advance, the date requested by the Borrowers for the Advance to be made, or (as the
context requires) the date on which the Advance is actually made; 
 “Drawdown Notice” means a notice in the form set out in
Schedule 2 (or in any other form which the Agent approves or reasonably requires); 
 “Earnings” means, in relation to a
Ship, all moneys whatsoever which are now, or later become, payable (actually or contingently) to the Borrower owning that Ship or the Security Trustee and which arise out of the use or operation of that Ship, including (but not limited to): 

 

	 	(a)	 all freight, hire and passage moneys, compensation payable to that Borrower or the Security Trustee in the
event of requisition of the Ship owned by it for hire, remuneration for salvage and towage services, demurrage and detention moneys and damages for breach (or payments for variation or termination) of any charterparty or other contract for the
employment of that Ship; 

  

	 	(b)	 all moneys which are at any time payable under Insurances in respect of loss of earnings; and

  
 6 

	 	(c)	 if and whenever that Ship is employed on terms whereby any moneys falling within paragraphs (a) or (b)
above are pooled or shared with any other person, that proportion of the net receipts of the relevant pooling or sharing arrangement which is attributable to that Ship; 

“Earnings Account” means, in relation to a Ship, an account in the name of the Borrower owning that Ship with the Account Bank
which is approved by the Lenders in writing as the Earnings Account in respect of that Ship for the purposes of this Agreement, and, in the plural, means all of them; 

“EEA Member Country” means any member state of the European Union, Iceland, Liechtenstein and Norway; 

“Environmental Approval” means any present or future permit, ruling, variance or other consent required under Environmental
Laws; 
 “Environmental Claim” means: 
  

	 	(a)	 any claim by any governmental, judicial or regulatory authority which arises out of an Environmental Incident
or an alleged Environmental Incident or which relates to any Environmental Law; or 

  

	 	(b)	 any claim by any other person which relates to an Environmental Incident or to an alleged Environmental
Incident, 

 and “claim” means a claim for damages, compensation, fines, penalties or any other payment of
any kind whether or not similar to the foregoing; an order or direction to take, or not to take, certain action or to desist from or suspend certain action; and any form of enforcement or regulatory action, including the arrest or attachment of any
asset; 
 “Environmental Incident” means in relation to a Ship: 

 

	 	(a)	 any release of Environmentally Sensitive Material from that Ship; or 

 

	 	(b)	 any incident in which Environmentally Sensitive Material is released from a vessel other than that Ship and
which involves a collision between that Ship and such other vessel or some other incident of navigation or operation, in either case, in connection with which that Ship is actually or potentially liable to be arrested, attached, detained and/or
injuncted and/or that Ship and/or the Borrower which is the owner thereof and/or any operator or manager of that Ship is at fault or allegedly at fault or otherwise liable to any legal or administrative action; or 

 

	 	(c)	 any other incident in which Environmentally Sensitive Material is released otherwise than from that Ship and in
connection with which that Ship is actually or potentially liable to be arrested and/or where the Borrower which is the owner thereof and/or any operator or manager of that Ship is at fault or allegedly at fault or otherwise liable to any legal or
administrative action; 

 “Environmental Law” means any law relating to pollution or protection of the
environment, to the carriage of Environmentally Sensitive Material or to actual or threatened releases of Environmentally Sensitive Material; 

  
 7 

 “Environmentally Sensitive Material” means oil, oil products and any other
substance (including any chemical, gas or other hazardous or noxious substance) which is (or is capable of being or becoming) polluting, toxic or hazardous; 

“Existing Indebtedness” means: 
  

	 	(a)	 in relation to Borrower A, the relevant part of the Term B Loan relating to Ship A; 

 

	 	(b)	 in relation to Borrower B, the relevant part of the Term B Loan relating to Ship B; and 

 

	 	(c)	 in relation to Borrower C, the relevant part of the Term B Loan relating to Ship C; 

“EU Bail-In Legislation Schedule” means the document described as such and published
by the Loan Market Association (or any successor person) from time to time; 
 “Event of Default” means any of the events or
circumstances described in Clause 19.1; 
 “FATCA” means: 

 

	 	(a)	 sections 1471 to 1474 of the Code or any associated regulations; 

 

	 	(b)	 any treaty, law or regulation of any other jurisdiction, or relating to an intergovernmental agreement between
the US and any other jurisdiction, which (in either case) facilitates the implementation of any law or regulation referred to in paragraph (a) above; or 

  

	 	(c)	 any agreement pursuant to the implementation of any treaty, law or regulation referred to in paragraphs
(a) or (b) above with the US Internal Revenue Service, the US government or any governmental or taxation authority in any other jurisdiction; 

“FATCA Deduction” means a deduction or withholding from a payment under any Finance Document required by or under FATCA; 

“FATCA Exempt Party” means a party to a Finance Document that is entitled to receive payments free from any FATCA Deduction;

 “FATCA FFI” means a foreign financial institution as defined in section 1471(d)(4) of the Code which, if any Creditor
Party is not a FATCA Exempt Party, could be required to make a FATCA Deduction; 
 “Fee Letter” means any letter or letters
dated on or about the date of this Agreement made between any Creditor Party and any of the Borrowers and the other Security Parties setting out any of the fees referred to in Clause 20; 

“Finance Documents” means: 
  

	 	(a)	 this Agreement; 

  

	 	(b)	 the Agency and Trust Deed; 

 

	 	(c)	 the Corporate Guarantee; 

 

	 	(d)	 the General Assignments; 

  
 8 

	 	(e)	 the Mortgages; 

  

	 	(f)	 the Account Pledges; 

 

	 	(g)	 the Charterparty Assignments; 

 

	 	(h)	 the Approved Manager’s Undertakings; 

 

	 	(i)	 the Shares Pledges; and 

 

	 	(j)	 any other document (whether creating a Security Interest or not) which is executed at any time by a Borrower,
the Corporate Guarantor, the Approved Manager, the Shareholder or any other person as security for, or to establish any form of subordination or priorities arrangement in relation to, any amount payable to the Lenders under this Agreement or any of
the other documents referred to in this definition; 

 “Financial Indebtedness” means, in relation to a
person (the “debtor”), a liability of the debtor: 
  

	 	(a)	 for principal, interest or any other sum payable in respect of any moneys borrowed or raised by the debtor;

  

	 	(b)	 under any loan stock, bond, note or other security issued by the debtor; 

 

	 	(c)	 under any acceptance credit, guarantee or letter of credit facility or dematerialised equivalent made available
to the debtor; 

  

	 	(d)	 under a financial lease, a deferred purchase consideration arrangement or any other agreement having the
commercial effect of a borrowing or raising of money by the debtor; 

  

	 	(e)	 under any foreign exchange transaction, any interest or currency swap or any other kind of derivative
transaction entered into by the debtor or, if the agreement under which any such transaction is entered into requires netting of mutual liabilities, the liability of the debtor for the net amount; or 

 

	 	(f)	 under a guarantee, indemnity or similar obligation entered into by the debtor in respect of a liability of
another person which would fall within (a) to (e) if the references to the debtor referred to the other person; 

“Funding Rate” means any rate notified to the Agent by a Lender pursuant to Clause 5.9; 

“General Assignment” means, in relation to a Ship, a general assignment of the Earnings, the Insurances and any Requisition
Compensation, in such form as the Lenders may approve or require and in the plural means all of them; 
 “Group” means
together, the Borrowers, the Corporate Guarantor and their wholly- owned subsidiaries (direct or indirect) from time to time during the Security Period and “member of the Group” shall be construed accordingly; 

“IACS” means the International Association of Classification Societies; 

  
 9 

 “IFRS 9” means the International Financial Reporting Standard (IFRS) by the
International Accounting Standards Board (IASB) designated as “IFRS 9” and replacing IAS 39; 
 “Insurances” means
in relation to a Ship: 
  

	 	(a)	 all policies and contracts of insurance, including entries of that Ship in any protection and indemnity or war
risks association, which are effected in respect of that Ship, the Earnings or otherwise in relation to it whether before, on or after the date of this Agreement; and 

 

	 	(b)	 all rights and other assets relating to, or derived from, any of the foregoing, including any rights to a
return of a premium and any rights in respect of any claim whether or not the relevant policy, contract of insurance or entry has expired on or before the date of this Agreement; 

“Interest Period” means a period determined in accordance with Clause 6; 

“Interpolated Screen Rate” means, in relation to LIBOR for an Interest Period, the rate (rounded to the same number of decimal
places as the two relevant Screen Rates) which results from interpolating on a linear basis between: 
  

	 	(a)	 the applicable Screen Rate for the longest period (for which that Screen Rate is available) which is less than
that Interest Period; and 

  

	 	(b)	 the applicable Screen Rate for the shortest period (for which that Screen Rate is available) which exceeds that
Interest Period, 

 each as of 11.00 a.m. (London time) on the Quotation Date for the currency of the Loan; 

each at or about 11 a.m. (London time) on the relevant Quotation Date; 

“ISM Code” means, in relation to its application to the Borrowers, the Ships and their operation: 

 

	 	(a)	 ‘The International Management Code for the Safe Operation of Ships and for Pollution Prevention’,
currently known or referred to as the ‘ISM Code’, adopted by the Assembly of the International Maritime Organisation by Resolution A.741(18) on 4 November 1993 and incorporated on 19 May 1994 into chapter IX of the International
Convention for the Safety of Life at Sea 1974 (SOLAS 1974); and 

  

	 	(b)	 all further resolutions, circulars, codes, guidelines, regulations and recommendations which are now or in the
future issued by or on behalf of the International Maritime Organisation or any other entity with responsibility for implementing the ISM Code, including without limitation, the ‘Guidelines on implementation or administering of the
International Safety Management (ISM) Code by Administrations’ produced by the International Maritime Organisations pursuant to Resolution A.788(19) adopted on 25 November 1995, 

  
 10 

 as the same may be amended, supplemented or replaced from time to time; 

“ISM Code Documentation” includes, in relation to a Ship: 

 

	 	(a)	 the document of compliance (DOC) and safety management certificate (SMC) issued pursuant to the ISM Code within
the periods specified by the ISM Code; and 

  

	 	(b)	 all other documents and data which are relevant to the ISM SMS and its implementation and verification which
the Agent may require; and 

  

	 	(c)	 any other documents which are prepared or which are otherwise relevant to establish and maintain that
Ship’s or that Borrower’s compliance with the ISM Code which the Agent may require; 

 “ISM SMS”
means the safety management system which is required to be developed, implemented and maintained under the ISM Code; 
 “ISPS
Code” means the International Ship and Port Facility Security Code constituted pursuant to resolution A.924 (22) of the International Maritime Organisation (“IMO”) adopted by a Diplomatic conference of the IMO on Maritime
Security on 13 December 2002 and now set out in Chapter XI-2 of the Safety of Life at Sea Convention (SOLAS) 1974 (as amended) to take effect on 1 July 2004; 

“ISSC” means a valid and current International Ship Security Certificate issued under the ISPS Code; 

“Kleimar” means Kleimar N.V., a company incorporated in Belgium and having its registered office at 5 Suikerrui, 2000 Antwerp,
Belgium and is a wholly owned indirect subsidiary of Navios Maritime Holdings Inc.; 
 “Lender” means: 

 

	 	(a)	 a bank or financial institution listed in Schedule 1 and acting through its branch or office indicated in
Schedule 1 (or through another branch notified to the Borrowers under Clause 26.13) unless it has delivered a Transfer Certificate or Certificates covering the entire amounts of its Commitment and its Contribution; and 

 

	 	(b)	 the holder for the time being of a Transfer Certificate; 

“LIBOR” means, for an Interest Period: 
  

	 	(a)	 the applicable Screen Rate; 

 

	 	(b)	 (if no Screen Rate is available for that Interest Period) the Interpolated Screen Rate; or

  

	 	(c)	 if: 

  

	 	(i)	 no Screen Rate is available for the currency of the Loan; or 

 

	 	(ii)	 no Screen Rate is available for that Interest Period and it is not possible to calculate an Interpolated Screen
Rate, 

 the Reference Bank Rate, 

as of, in the case of paragraphs (a) and (c) above, 11.00 a.m. (London time) on the Quotation Date for the currency of the Loan and for a
period equal in length to that Interest Period and, if any such rate is below zero, LIBOR will be deemed to be zero; 

  
 11 

 “Liquidity Account” means an interest bearing account in the name of the
Borrowers with the Account Bank and is designated by the Agent as the Liquidity Account for the purposes of this Agreement; 

“Loan” means the principal amount for the time being outstanding under this Agreement; 

“Major Casualty” means, in relation to a Ship, any casualty to that Ship in respect of which the claim or the aggregate of the
claims against all insurers, before adjustment for any relevant franchise or deductible, exceeds $500,000 or the equivalent in any other currency; 

“Majority Lenders” means: 
  

	 	(a)	 before an Advance has been made, Lenders whose Commitments total 66.66 per cent. of the Total Commitments;
and 

  

	 	(b)	 after an Advance has been made, Lenders whose Contributions total 66.66 per cent. of the Loan;

 “Mandated Lead Arranger” means NIBC Bank N.V. acting through its office at Carnegieplein 4, 2517 KJ,
The Hague, Netherlands; 
 “Margin” means 2.75 per cent. per annum; 

“Market Value” means the market value of the Ship determined from time to time in accordance with Clause 15.4; 

“Material Adverse Effect” means in the reasonable opinion of the Majority Lenders a material adverse effect on:

  

	 	(a)	 the business, operations, property, condition (financial or otherwise) or prospects of the Group taken as a
whole; 

  

	 	(b)	 the ability of any borrower or the Corporate Guarantor to perform its obligations under any Finance Document;
or 

  

	 	(c)	 the validity or enforceability of, or the effectiveness or ranking of any Security granted or intended to be
granted pursuant to any of, the Finance Documents or the rights or remedies of any Creditor Party under any of the Finance Documents; 

“Material Adverse Change” means any event or series of events which, in the reasonable opinion of the Majority Lenders, is
likely to have a Material Adverse Effect; 
 “Maturity Date” means, in respect of each Advance, the earlier of: 

 

	 	(a)	 the date falling on the fifth anniversary of the relevant Drawdown Date; and 

 

	 	(b)	 15 December 2023; 

“Minimum Liquidity” has the meaning given in Clause 11.24; 

  
 12 

 “Mortgage” means, in relation to a Ship, the first preferred or, as the
case may be, priority ship mortgage and, if applicable, deed of covenant collateral thereto on that Ship, executed by the Borrower which is the owner thereof in favour of the Security Trustee or (as the case may be) the Lenders, in such form as the
Lenders may approve or require and in the plural means all of them; 
 “Negotiation Period” has the meaning given in Clause
5.9; 
 “Notifying Lender” has the meaning given in Clause 23.1 or Clause 24.2 as the context requires; 

“Financial Statements” means the annual unaudited consolidated financial statements of the Group for the quarter ended
30 September 2018 as publicly available on SEC (https://www.sec.gov); 
 “Payment Currency” has the meaning
given in Clause 21.5; 
 “Permitted Financial Indebtedness” means: 

 

	 	(a)	 any Financial Indebtedness incurred under the Finance Documents; and 

 

	 	(b)	 in relation to each Borrower, until the Drawdown Date of the relevant Advance, the Existing Indebtedness;

 “Permitted Security Interests” means: 

 

	 	(a)	 Security Interests created by the Finance Documents and, until the Drawdown Date of the relevant Advance, the
Term B Loan in relation to the Ship relating to such Advance; 

  

	 	(b)	 liens for unpaid crew’s wages in accordance with usual maritime practice; 

 

	 	(c)	 liens for salvage; 

  

	 	(d)	 liens arising by operation of law for not more than 2 months’ prepaid hire under any charter in relation
to a Ship not prohibited by this Agreement; 

  

	 	(e)	 liens for master’s disbursements incurred in the ordinary course of trading and any other lien arising by
operation of law or otherwise in the ordinary course of the operation, repair or maintenance of a Ship, provided such liens do not secure amounts more than 45 days overdue (unless the overdue amount is being contested by the relevant Borrower in
good faith by appropriate steps) and subject, in the case of liens for repair or maintenance, to Clause 14.13(f); 

  

	 	(f)	 any Security Interest created in favour of a plaintiff or defendant in any action of the court or tribunal
before whom such action is brought as security for costs and expenses where the relevant Borrower is prosecuting or defending such action in good faith by appropriate steps; and 

 

	 	(g)	 Security Interests arising by operation of law in respect of taxes which are not overdue for payment other than
taxes being contested in good faith by appropriate steps and in respect of which appropriate reserves have been made; 

  
 13 

 “Pertinent Jurisdiction”, in relation to a company, means: 

 

	 	(a)	 England and Wales; 

  

	 	(b)	 the country under the laws of which the company is incorporated or formed; 

 

	 	(c)	 a country in which the company’s central management and control is or has recently been exercised;

  

	 	(d)	 a country in which the overall net income of the company is subject to corporation tax, income tax or any
similar tax; 

  

	 	(e)	 a country in which assets of the company (other than securities issued by, or loans to, related companies)
having a substantial value are situated, in which the company maintains a permanent place of business, or in which a Security Interest created by the company must or should be registered in order to ensure its validity or priority; and

  

	 	(f)	 a country the courts of which have jurisdiction to make a winding up, administration or similar order in
relation to the company or which would have such jurisdiction if their assistance were requested by the courts of a country referred to in paragraphs (b) or (c) above; 

“Potential Event of Default” means an event or circumstance which, with the giving of any notice, the lapse of time, a
determination of the Majority Lenders and/or the satisfaction of any other condition, would constitute an Event of Default; 

“Quotation Date” means, in relation to any Interest Period (or any other period for which an interest rate is to be determined
under any provision of a Finance Document), the day on which quotations would ordinarily be given by leading banks in the London Interbank Market for deposits in the currency in relation to which such rate is to be determined for delivery on the
first day of that Interest Period or other period; 
 “Reference Bank” means, in relation to the determination of LIBOR and
any mandatory costs, ABN AMRO Bank N.V., ING Bank N.V., Coöperatieve Rabobank U.A. or such other bank as may be appointed by the Agent after consultation with the Borrowers; 

“Reference Bank Rate” means the arithmetic mean of the rates (rounded upwards to four decimal places) as supplied to the Agent
at its request by the Reference Banks, as the rate at which each Reference Bank could borrow funds in the London interbank market, in the relevant currency and for the relevant period, were it to do so by asking for and then accepting interbank
offers for deposits in reasonable market size in that currency and for that period; 
 “Related Fund” means in relation to a
fund (the “first fund”), a fund which is managed or advised by the same investment manager or investment adviser as the first fund or, if it is managed by a different investment manager or investment adviser, a fund whose investment
manager or investment adviser is an affiliate of the investment manager or investment adviser of the first fund; 
 “Relevant
Nominating Body” means any applicable central bank, regulator or other supervisory authority or a group of them, or any working group or committee sponsored or chaired by, or constituted at the request of, any of them or the Financial
Stability Board; 

  
 14 

 “Relevant Person” has the meaning given in Clause 19.9; 

“Repayment Date” means a date on which a repayment is required to be made under Clause 8; 

“Repayment Instalment” has the meaning given to it in Clause 8.1; 

“Replacement Benchmark” means a benchmark rate which is: 

 

	 	(a)	 formally designated, nominated or recommended as the replacement for a Screen Rate by: 

 

	 	(i)	 the administrator of that Screen Rate (provided that the market or economic reality that such benchmark rate
measures is the same as that measured by that Screen Rate); or 

  

	 	(ii)	 any Relevant Nominating Body, 

and if replacements have, at the relevant time, been formally designated, nominated or recommended under both paragraphs, the
“Replacement Benchmark” will be the replacement under paragraph (ii) above; 
  

	 	(b)	 in the opinion of the Majority Lenders and the Borrowers, generally accepted in the international or any
relevant domestic syndicated loan markets as the appropriate successor to that Screen Rate; or 

  

	 	(c)	 in the opinion of the Majority Lenders and the Borrowers, an appropriate successor to a Screen Rate.;

 “Representative” means any delegate, agent, manager, administrator, nominee, attorney, trustee or
custodian; 
 “Requisition Compensation” includes all compensation or other moneys payable by reason of any act or event
such as is referred to in paragraph (b) of the definition of “Total Loss”; 
 “Resolution Authority” means
any body which has authority to exercise any Write-down and Conversion Powers; 
 “Restricted Party” means a person: 

 

	 	(a)	 that is listed on any Sanctions List (whether designated by name or by reason of being included in a class of
person); 

  

	 	(b)	 that is domiciled, registered as located or having its main place of business in, or is incorporated under the
laws of, a country which is subject to Sanctions Laws; or 

  

	 	(c)	 that is directly or indirectly owned or controlled by a person referred to in (a) and/or (b) above;
or 

  

	 	(d)	 with which any Lender is prohibited from dealing or otherwise engaging in a transaction with by any Sanctions
Laws; 

  
 15 

 “Retention Account” means, in relation to a Ship, an account in the name of
the Borrowers with the Account Bank which is approved by the Lenders in writing as the Retention Account for the purposes of this Agreement; 

“Sanctions Authority” means The Netherlands, the United Nations, the European Union, the United Kingdom, the United States of
America, the Monetary Authority of Singapore and the Hong Kong Monetary Authority and any authority acting on behalf of any of them in connection with Sanctions Laws; 

“Sanctions Laws” means the economic or financial sanctions laws and/or regulations, trade embargoes, prohibitions, restrictive
measures, decisions, Executive Orders or notices from regulators implemented, adapted, imposed, administered, enacted and/or enforced by any Sanctions Authority; 

“Sanctions List” means any list of persons or entities published in connection with Sanctions Laws by or on behalf of any
Sanctions Authority; 
 “Screen Rate” means the London interbank offered rate administrated by ICE Benchmark Administration
Limited (or any other person which takes over the administration of that rate) for the relevant currency and period displayed on the relevant pages of the Reuters screen (or any replacement Reuters page which displays that rate or on the appropriate
page of such other information service which publishes that rate from time to time in place of Reuters). If such page or service ceases to be available, the Agent may specify another page or service displaying the relevant rate after consultation
with the Borrowers; 
 “Screen Rate Replacement Event” means, in relation to a Screen Rate: 

 

	 	(a)	 the methodology, formula or other means of determining that Screen Rate has, in the opinion of the Majority
Lenders, and the Borrowers materially changed; 

  

	 	(b)	 

  

	 	(i)	 

  

	 	(A)	 the administrator of that Screen Rate or its supervisor publicly announces that such administrator is
insolvent; or 

  

	 	(B)	 information is published in any order, decree, notice, petition or filing, however described, of or filed with
a court, tribunal, exchange, regulatory authority or similar administrative, regulatory or judicial body which reasonably confirms that the administrator of that Screen Rate is insolvent, 

provided that, in each case, at that time, there is no successor administrator to continue to provide that Screen Rate; 

 

	 	(ii)	 the administrator of that Screen Rate publicly announces that it has ceased or will cease, to provide that
Screen Rate permanently or indefinitely and, at that time, there is no successor administrator to continue to provide that Screen Rate; 

  
 16 

	 	(iii)	 the supervisor of the administrator of that Screen Rate publicly announces that such Screen Rate has been or
will be permanently or indefinitely discontinued; or 

  

	 	(iv)	 the administrator of that Screen Rate or its supervisor announces that that Screen Rate may no longer be used;
or 

  

	 	(c)	 in the opinion of the Majority Lenders and the Borrowers, that Screen Rate is otherwise no longer appropriate
for the purposes of calculating interest under this Agreement; 

 “Security Cover Ratio” means, at any
relevant time on or after the first Drawdown Date, the aggregate of (i) the aggregate of the Market Value of the Mortgaged Ships and (ii) the net realisable value of any additional security provided at that time under Clause 15, at that
time expressed as a percentage of the Loan; 
 “Secured Liabilities” means all liabilities which the Borrowers, the Security
Parties or any of them have, at the date of this Agreement or at any later time or times, under or by virtue of the Finance Documents or any judgment relating to the Finance Documents; and for this purpose, there shall be disregarded any total or
partial discharge of these liabilities, or variation of their terms, which is effected by, or in connection with, any bankruptcy, liquidation, arrangement or other procedure under the insolvency laws of any country; 

“Security Interest” means: 
  

	 	(a)	 a mortgage, charge (whether fixed or floating) or pledge, any maritime or other lien or any other security
interest of any kind; and 

  

	 	(b)	 the rights of the plaintiff under an action in rem in which the vessel concerned has been arrested or a
writ has been issued or similar step taken; 

 “Security Party” means the Corporate Guarantor, the
Approved Manager, the Shareholder and any other person (except a Creditor Party, the Approved Manager unless it is a wholly owned subsidiary of Navios Maritime Partners L.P. or any charterer) who, as a surety or mortgagor, as a party to any
subordination or priorities arrangement, or in any similar capacity, executes a document falling within the final paragraph of the definition of “Finance Documents”; 

“Security Period” means the period commencing on the date of this Agreement and ending on the date on which the Agent notifies
the Borrowers, the Security Parties and the other Creditor Parties that: 
  

	 	(a)	 all amounts which have become due for payment by a Borrower or any Security Party under the Finance Documents
have been paid in full; 

  

	 	(b)	 no amount is owing or has accrued (without yet having become due for payment) under any Finance Document;

  

	 	(c)	 no Borrower nor any Security Party has any future or contingent liability under Clause 20, 21 or 22 below or
any other provision of this Agreement or another Finance Document; and 

  
 17 

	 	(d)	 the Agent, the Security Trustee, the Mandated Lead Arranger and the Lenders do not consider that there is a
significant risk that any payment or transaction under a Finance Document would be set aside, or would have to be reversed or adjusted, in any present or possible future bankruptcy of a Borrower or a Security Party or in any present or possible
future proceeding relating to a Finance Document or any asset covered (or previously covered) by a Security Interest created by a Finance Document; 

“Security Trustee” means NIBC BANK N.V., acting through its office at Carnegieplein 4, 2517 KJ, The Hague, Netherlands or any
successor of it appointed under clause 5 of the Agency and Trust Deed; 
 “Shares Pledge” means, in respect of all the
issued shares in any Borrower, a pledge of such shares executed or to be executed by the Shareholder in favour of the Security Trustee, in such form as the Lenders may approve or require and in the plural means all of them; 

“Shareholder” means Navios Maritime Operating L.L.C., a limited liability company formed and existing under the laws of the
Republic of the Marshall Islands whose registered office is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH96960; 

“Ship” means each of Ship A, Ship B and Ship C, and, in the plural, means all of them; 

“Ship A” has the meaning given to that term in Schedule 5; 

“Ship B” has the meaning given to that term in Schedule 5; 

“Ship C” has the meaning given to that term in Schedule 5; 

“Term B Loan” means the credit agreement dated as of 14 March 2017 (as amended, restated, supplemented or otherwise
modified from time to time), by and among the Corporate Guarantor and Navios Partners Finance (US) Inc., a Delaware corporation, as borrowers, the lenders from time to time party thereto and Morgan Stanley Senior Funding, Inc., as administrative
agent for the lenders; 
 “Total Loss” means in relation to a Ship: 

 

	 	(a)	 actual, constructive, compromised, agreed or arranged total loss of that Ship; 

 

	 	(b)	 any expropriation, confiscation, requisition or acquisition of that Ship whether for full consideration, a
consideration less than its proper value, a nominal consideration or without any consideration, which is effected by any government or official authority or by any person or persons claiming to be or to represent a government or official authority,
excluding a requisition for hire for a fixed period not exceeding one year without any right to an extension unless that Ship is within 30 days redelivered to the full control of the Borrower owning that Ship; 

 

	 	(c)	 any condemnation of that Ship by any tribunal or by any person or person claiming to be a tribunal; and

  

	 	(d)	 any arrest, capture, seizure, confiscation or detention of that Ship (including any hijacking or theft) unless
it is within the Relevant Period redelivered to the full control of the Borrower owning that Ship; 

  
 18 

	 	(e)	 “Relevant Period” means: 

 

	 	(i)	 in the case of any arrest of a Ship, 1 month; and 

 

	 	(ii)	 in the case of piracy or capture, seizure, confiscation or detention of a Ship (including any hijacking or
theft), 90 days Provided that if the relevant underwriters confirm to the Agent in writing prior to the end of the 90-day period referred to in (i) above that the relevant Ship is subject to an
approved piracy insurance cover, the earlier of 270 days after the date on which that Ship is captured by pirates and the date on which the piracy insurance cover expires; 

“Total Loss Date” means in relation to a Ship: 
  

	 	(a)	 in the case of an actual loss, the date on which it occurred or, if that is unknown, the date when that Ship
was last heard of; 

  

	 	(b)	 in the case of a constructive, compromised, agreed or arranged total loss of that Ship, the earlier of:

  

	 	(i)	 the date on which a notice of abandonment is given to the insurers; and 

 

	 	(ii)	 the date of any compromise, arrangement or agreement made by or on behalf of the Borrower owning that Ship,
with that Ship’s insurers in which the insurers agree to treat that Ship as a total loss; and 

  

	 	(c)	 in the case of any other type of total loss, on the earlier of: 

 

	 	(i)	 the date at which a total loss is subsequently admitted by such insurers; 

 

	 	(ii)	 the date at which a total loss is subsequently adjudged by a competent court of law or arbitration tribunal to
have occurred, if such insurers do not immediately admit such claim; or 

  

	 	(iii)	 the date (or the most likely date) on which it appears to the Agent that the event constituting the total loss
occurred; 

 “Transfer Certificate” has the meaning given in Clause 26.2; 

“Trust Property” has the meaning given in clause 3.1 of the Agency and Trust Deed; 

“Unpaid Sum” means any sum due and payable but unpaid by a Borrower or any Security Party under the Finance Documents;

 “US” means the United States of America; 

“US GAAP” means generally accepted international accounting principles as from time to time in effect in the United States of
America; 
 “US Tax Obligor” means: 
  

	 	(a)	 a person which is resident for tax purposes in the United States of America; or 

 

	 	(b)	 a person some or all of whose payments under the Finance Documents are from sources within the United States
for US federal income tax purposes; 

  
 19 

 “Write-down and Conversion Powers” means: 

 

	 	(a)	 in relation to any Bail-In Legislation described in the EU Bail-In Legislation Schedule from time to time, the powers described as such in relation to that Bail-In Legislation in the EU Bail-In
Legislation Schedule; and 

  

	 	(b)	 in relation to any other applicable Bail-In Legislation:

  

	 	(i)	 any powers under that Bail-In Legislation to cancel, transfer or dilute
shares issued by a person that is a bank or investment firm or other financial institution or affiliate of a bank, investment firm or other financial institution, to cancel, reduce, modify or change the form of a liability of such a person or any
contract or instrument under which that liability arises, to convert all or part of that liability into shares, securities or obligations of that person or any other person, to provide that any such contract or instrument is to have effect as if a
right had been exercised under it or to suspend any obligation in respect of that liability or any of the powers under that Bail-In Legislation that are related to or ancillary to any of those powers; and

  

	 	(ii)	 any similar or analogous powers under that Bail-In Legislation.

  

	1.2	 Construction of certain terms 

In this Agreement: 

“approved” means, for the purposes of the definition of “Total Loss” in Clause 1.1 and in Clause 13, approved in
writing by the Agent; 
 “asset” includes every kind of property, asset, interest or right, including any present, future or
contingent right to any revenues or other payment; 
 “company” includes any partnership, joint venture and unincorporated
association; 
 “consent” includes an authorisation, consent, approval, resolution, licence, exemption, filing,
registration, notarisation and legalisation; 
 “contingent liability” means a liability which is not certain to arise
and/or the amount of which remains unascertained; 
 “document” includes a deed; also a letter or fax; 

“excess risks” means, in relation to a Ship, the proportion of claims for general average, salvage and salvage charges not
recoverable under the hull and machinery policies in respect of the Ship in consequence of its insured value being less than the value at which the Ship is assessed for the purpose of such claims; 

“expense” means any kind of cost, charge or expense (including all legal costs, charges and expenses) and any applicable value
added or other tax; 

  
 20 

 “law” includes any form of delegated legislation, any order or decree, any
treaty or international convention and any regulation or resolution of the Council of the European Union, the European Commission, the United Nations or its Security Council; 

“legal or administrative action” means any legal proceeding or arbitration and any administrative or regulatory action or
investigation; 
 “liability” includes every kind of debt or liability (present or future, certain or contingent), whether
incurred as principal or surety or otherwise; 
 “months” shall be construed in accordance with Clause 1.3; 

“obligatory insurances” means, in relation to a Ship, all insurances effected, or which the Borrower owning that Ship, is
obliged to effect, under Clause 13 or any other provision of this Agreement or another Finance Document; 
 “parent company”
has the meaning given in Clause 1.4; 
 “person” includes any individual, any entity, any company; any state, political sub-division of a state and local or municipal authority; and any international organisation; 

“policy”, in relation to any insurance, includes a slip, cover note, certificate of entry or other document evidencing the
contract of insurance or its terms; 
 “protection and indemnity risks” means the usual risks covered by a protection and
indemnity association managed in London, including pollution risks, freight demurrage and defence risks and the proportion (if any) of any sums payable to any other person or persons in case of collision which are not recoverable under the hull and
machinery policies by reason of the incorporation therein of clause 1 of the Institute Time Clauses (Hulls)(1/10/83) or clause 8 of the Institute Time Clauses (Hulls) (1/11/1995) or the Institute Amended Running Down Clause (1/10/71) or any
equivalent provision; 
 “regulation” includes any regulation, rule, official directive, request or guideline (either having
the force of law or compliance with which is reasonable in the ordinary course of business of the party concerned) of any governmental, intergovernmental or supranational body, agency, department or regulatory,
self-regulatory or other authority or organisation; 
 “subsidiary” has the meaning
given in Clause 1.4; 
 “successor” includes any person who is entitled (by assignment, novation, merger or otherwise) to
any other person’s rights under this Agreement or any other Finance Document (or any interest in those rights) or who, as administrator, liquidator or otherwise, is entitled to exercise those rights; and in particular references to a successor
include a person to whom those rights (or any interest in those rights) are transferred or pass as a result of a merger, division, reconstruction or other reorganisation of it or any other person; 

“tax” includes any present or future tax, duty, impost, levy or charge of any kind which is imposed by any state, any
political sub-division of a state or any local or municipal authority (including any such imposed in connection with exchange controls), and any connected penalty, interest or fine; 

“war risks” means the risks according to Institute War and Strike Clauses (Hull Time) (1/10/83) or (1/11/95), or equivalent
conditions, including, but not limited to risk of mines, blocking and trapping, missing vessel, confiscation, piracy and all risks excluded from the standard form of English or other marine policy; and 

  
 21 

 “which is continuing” or “is continuing”, a Potential
Event of Default is continuing if it has not been remedied or waived and an Event of Default is “continuing” if it has not been waived. 
  

	1.3	 Meaning of “month” 

A period of one or more “months” ends on the day in the relevant calendar month numerically corresponding to the day of the calendar
month on which the period started (“the numerically corresponding day”), but: 
  

	(a)	 on the Business Day following the numerically corresponding day if the numerically corresponding day is not a
Business Day or, if there is no later Business Day in the same calendar month, on the Business Day preceding the numerically corresponding day; or 

  

	(b)	 on the last Business Day in the relevant calendar month, if the period started on the last Business Day in a
calendar month or if the last calendar month of the period has no numerically corresponding day, 

 and
“month” and “monthly” shall be construed accordingly. 
  

	1.4	 Meaning of “subsidiary” 

A company (S) is a subsidiary of another company (P) if: 
  

	(a)	 a majority of the issued shares in S (or a majority of the issued shares in S which carry unlimited rights to
capital and income distributions) are directly owned by P or are indirectly attributable to P; or 

  

	(b)	 P has direct or indirect control over a majority of the voting rights attached to the issued shares of S;

 and any company of which S is a subsidiary is a parent company of S Provided that there shall be excluded from
this definition any subsidiaries which are listed on a public stock exchange. 
  

	1.5	 General Interpretation 

 

	(a)	 In this Agreement: 

  

	 	(i)	 references to, or to a provision of, a Finance Document or any other document are references to it as amended
or supplemented, whether before the date of this Agreement or otherwise; 

  

	 	(ii)	 references to, or to a provision of, any law include any amendment, extension,
re-enactment or replacement, whether made before the date of this Agreement or otherwise; and 

  

	 	(iii)	 words denoting the singular number shall include the plural and vice versa. 

  
 22 

	(b)	 Clauses 1.1 to 1.4 and paragraph (a) of this Clause 1.5 apply unless the contrary intention appears.

  

	(c)	 References in Clause 1.1 to a document being in the form of a particular Appendix include references to that
form with any modifications to that form which the Agent (with the authorisation of the Lenders in the case of substantial modifications) approves or requires. 

 

	(d)	 The clause headings shall not affect the interpretation of this Agreement. 

 

	2	 LOAN FACILITY 

 

	2.1	 Amount of loan facility 

Subject to the other provisions of this Agreement, the Lenders shall make available to the Borrowers a senior secured term loan facility in 3
Advances as follows: 
  

	(a)	 Advance A shall be in an amount equal to the lesser of (a) $12,000,000 and (b) 55 per cent. of the Market
Value of Ship A; and 

  

	(b)	 Advance B shall be in an amount equal to the lesser of (a) $8,250,000 and (b) 55 per cent. of the Market
Value of Ship B . 

  

	(c)	 Advance C shall be in an amount equal to the lesser of (a) $8,250,000 and (b) 55 per cent. of the Market
Value of Ship C . 

  

	2.2	 Lenders’ participations in Advances 

Subject to the other provisions of this Agreement, each Lender shall participate in each Advance in the proportion which, as at the Drawdown
Date, its Commitment bears to the Total Commitments. 
  

	2.3	 Purpose of Advances 

The Borrowers undertake with each Creditor Party to use each Advance to refinance the Existing Indebtedness relating to the Ship to which that
Advance. 
  

	3	 POSITION OF THE LENDERS 

 

	3.1	 Interests of Lenders several 

The rights of the Creditor Parties under this Agreement are several; accordingly each Lender shall be entitled to sue for any amount which has
become due and payable by the Borrowers to it under this Agreement without joining the Security Trustee or any other Creditor Party as additional parties in the proceedings, save that the Security Interests created by any of the Finance Documents
may only be enforced in accordance with Clause 19.2. 
  

	3.2	 Proceedings by individual Creditor Party 

However, without the prior consent of the Lenders, no Creditor Party may bring proceedings in respect of: 

 

	(a)	 any other liability or obligation of any Borrower or a Security Party under or connected with a Finance
Document; or 

  

	(b)	 any misrepresentation or breach of warranty by any Borrower or a Security Party in or connected with a Finance
Document. 

  
 23 

	3.3	 Obligations of Creditor Parties several 

The obligations of the Lenders under this Agreement are several; and a failure of a Lender to perform its obligations under this Agreement
shall not result in: 
  

	(a)	 the obligations of the other Lenders being increased; nor 

 

	(b)	 a Borrower, any Security Party or any other Lender being discharged (in whole or in part) from its obligations
under any Finance Documents, 

 and in no circumstances shall a Lender have any responsibility for a failure of another
Lender to perform its obligations under this Agreement. 
  

	3.4	 Parties bound by certain actions of Lenders 

Every Lender, any Borrower and each Security Party shall be bound by: 
  

	(a)	 any determination made, or action taken, by the Lenders under any provision of a Finance Document;

  

	(b)	 any instruction or authorisation given by the Lenders to the Agent or the Security Trustee under or in
connection with any Finance Document; and 

  

	(c)	 any action taken (or in good faith purportedly taken) by the Agent or the Security Trustee in accordance with
such an instruction or authorisation. 

  

	3.5	 Reliance on action of Agent 

However, any Borrower and each Security Party: 
  

	(a)	 shall be entitled to assume that the Lenders have duly given any instruction or authorisation which, under any
provision of a Finance Document, is required in relation to any action which the Agent has taken or is about to take; and 

  

	(b)	 shall not be entitled to require any evidence that such an instruction or authorisation has been given.

  

	3.6	 Construction 

In Clauses 3.4 and 3.5 references to action taken include (without limitation) the granting of any waiver or consent, an approval of any
document and an agreement to any matter. 
  

	4	 DRAWDOWN 

  

	4.1	 Request for Advance 

Subject to the following conditions, the Borrowers may request an Advance to be advanced by ensuring that the Agent receives a completed
Drawdown Notice not later than 11.00 a.m. (The Hague time) 3 Business Days prior to the intended Drawdown Date (or such other shorter period as the Lenders may agree). 

  
 24 

	4.2	 Availability 

The conditions referred to in Clause 4.1 are that: 
  

	(a)	 the Drawdown Date has to be a Business Day during the Availability Period; 

 

	(b)	 the amount of each Advance shall not exceed an amount equal to the lesser of: 

 

	 	(i)	 in respect of each Advance B and Advance C: 

 

	 	(A)	 55 per cent. of the Market Value of the Ship relevant to such Advance; and 

 

	 	(B)	 $8,250,000; and 

  

	 	(ii)	 in respect of Advance A: 

 

	 	(A)	 55 per cent. of the Market Value of Ship A relevant to such Advance; 

 

	 	(B)	 $12,000,000; and 

  

	(c)	 the aggregate amount of the Advances shall not exceed the Total Commitments. 

 

	4.3	 Notification to Lenders of receipt of a Drawdown Notice 

The Agent shall promptly notify the Lenders that it has received a Drawdown Notice and shall inform each Lender of: 

 

	(a)	 the amount of the Advance and the Drawdown Date; 

 

	(b)	 the amount of that Lender’s participation in the Advance; and 

 

	(c)	 the duration of the first Interest Period. 

 

	4.4	 Drawdown Notice irrevocable 

A Drawdown Notice must be signed by an officer or other authorised person of each Borrower; and once served a Drawdown Notice cannot be revoked
without the prior consent of the Agent, acting on the authority of the Majority Lenders. 
  

	4.5	 Lenders to make available Contributions 

Subject to the provisions of this Agreement, each Lender shall, on and with value on the Drawdown Date, make available to the Agent for the
account of the Borrowers the amount due from that Lender under Clause 2.2. 
  

	4.6	 Disbursement of Advance 

Subject to the provisions of this Agreement, the Agent shall on the Drawdown Date pay to the Borrowers the amounts which the Agent receives
from the Lenders under Clause 4.5; and that payment to the Borrowers shall be made: 
  

	(a)	 to the account which the Borrowers specify in the Drawdown Notice; and 

 

	(b)	 in the like funds as the Agent received the payments from the Lenders. 

  
 25 

	5	 INTEREST 

  

	5.1	 Payment of normal interest 

Subject to the provisions of this Agreement, interest on the Loan in respect of each Interest Period shall be paid by the Borrowers on the last
day of that Interest Period. 
  

	5.2	 Normal rate of interest 

Subject to the provisions of this Agreement, the rate of interest on each Advance in respect of an Interest Period shall be the aggregate of
(i) the Margin and (ii) LIBOR for that Interest Period subject to Clause 5.6 and 5.7. 
  

	5.3	 Payment of accrued interest 

In the case of an Interest Period longer than 3 months, accrued interest shall be paid every 3 months during that Interest Period and on the
last day of that Interest Period. 
  

	5.4	 Notification of Interest Periods and rates of normal interest 

The Agent shall notify the Borrowers and each Lender of: 
  

	(a)	 each rate of interest; and 

 

	(b)	 the duration of each Interest Period, 

as soon as reasonably practicable after each is determined. 
  

	5.5	 Obligation of Reference Bank to quote 

Each of the Reference Banks which is a Lender shall use all reasonable efforts to supply the quotation required of it for the purposes of
fixing a rate of interest under this Agreement unless that Reference Bank ceases to be a Lender pursuant to Clause 26.2. 
  

	5.6	 Absence of quotations by Reference Bank 

If any Reference Bank fails to supply a quotation, the relevant rate of interest shall be set in accordance with the following provisions of
this Clause 5. 
  

	5.7	 Market disruption 

The following provisions of this Clause 5 apply if: 
  

	(a)	 LIBOR is to be determined by reference to the Reference Banks and no Reference Bank does, before 1.00 p.m.
(London time) on the Quotation Date for an Interest Period, provide quotations to the Agent in order to fix LIBOR; or 

  

	(b)	 at least 1 Business Day before the start of an Interest Period, a Lender or Lenders (whose participation in an
Advance or the relevant part of such Advance exceeds 35 per cent of that Advance or the relevant part of such Advance) may notify the Agent that LIBOR fixed by the Agent would not accurately reflect the cost to that Lender or, as the case may
be, those Lenders of funding its or their respective Contribution(s) (or any part of it) during the Interest Period in the London Interbank Market at or about 11.00 a.m. (London time) on the Quotation Date for the Interest Period.

  
 26 

	5.8	 Notification of market disruption 

The Agent shall promptly notify the Borrowers and each of the Lenders stating the circumstances falling within Clause 5.7 which have caused its
notice to be given in which case Clause 5.9 shall apply. 
  

	5.9	 Cost of funds 

 

	(a)	 If this Clause 5.9 applies, the rate of interest on the relevant Advance or the relevant part of that Advance
for the relevant Interest Period shall be the percentage rate per annum which is the sum of: 

  

	 	(i)	 the Margin; and 

  

	 	(ii)	 the weighted average of the rates notified to the Agent by each Lender as soon as practicable and in any event
within 5 Business Days of the first day of that Interest Period (or, if earlier, on the date falling 3 Business Days before the date on which interest is due to be paid in respect of that Interest Period) to be that which expresses as a percentage
rate per annum the cost to the relevant Lender of funding its participation in that Advance or that part of that Advance from whatever source it may reasonably select. 

 

	(b)	 If this Clause 5.9 applies and the Agent or the Borrowers so require, the Agent, the Lenders and the Borrowers
shall enter into negotiations (for a period of not more than 30 days after the date on which the Agent serves its notice under Clause 5.8 (the “Negotiation Period”)) with a view to agreeing an alternative interest rate or (as the
case may be) an alternative basis for the Lenders to fund or continue to fund their or its Contribution during the Interest Period concerned. 

  

	(c)	 Any substitute or alternative basis agreed pursuant to paragraph (b) above shall, with the prior consent
of the Lenders and the Borrowers, be binding on all parties. 

  

	5.10	 Application of agreed alternative rate of interest 

Any alternative interest rate or an alternative basis which is agreed during the Negotiation Period shall take effect in accordance with the
terms agreed. 
  

	5.11	 Alternative rate of interest in absence of agreement 

If an alternative interest rate or alternative basis is not agreed within the Negotiation Period, and the relevant circumstances are continuing
at the end of the Negotiation Period, the Agent shall set an interest period, with the agreement of each Lender, and interest rate (which shall be determined in accordance with Clause 5.9(a)); and the procedure provided for by this Clause 5.11 shall
be repeated if the relevant circumstances are continuing at the end of the interest period so set by the Agent. 
  

	5.12	 Notice of prepayment 

If the Borrowers do not agree with an interest rate set by the Agent under Clause 5.11, the Borrowers may give the Agent not less than 10
Business Days’ notice of their intention to prepay at the end of the interest period set by the Agent. 

  
 27 

	5.13	 Prepayment; termination of Commitments 

A notice under Clause 5.12 shall be irrevocable; the Agent shall promptly notify the Lenders of the Borrowers’ notice of intended
prepayment; and on the last Business Day of the interest period set by the Agent, the Borrowers shall prepay (without premium or penalty) the relevant Advance or, as the case may be, part of such Advance, together with accrued interest thereon at
the applicable rate plus the Margin. 
  

	5.14	 Application of prepayment 

The provisions of Clause 8 shall apply in relation to the prepayment. 

 

	6	 INTEREST PERIODS 

 

	6.1	 Commencement of Interest Periods 

The first Interest Period applicable to an Advance shall commence on the Drawdown Date applicable to that Advance and each subsequent Interest
Period shall commence on the expiry of the preceding Interest Period. 
  

	6.2	 Duration of normal Interest Periods 

Subject to Clauses 6.3 and 6.4, each Interest Period shall be: 
  

	(a)	 3 months; or 

  

	(b)	 such other period as the Agent, with the authorisation of all Lenders, may agree with the Borrowers.

  

	6.3	 Duration of Interest Periods for Repayment Instalments 

In respect of an amount due to be repaid under Clause 8 on a particular Repayment Date, an Interest Period shall end on that Repayment Date.

  

	6.4	 Non-availability of matching deposits for Interest Period selected

 If, after the Borrowers have selected an Interest Period longer than 3 months, any Lender notifies the Agent by
11.00 a.m. (London time) on the third Business Day before the commencement of the Interest Period that it is not satisfied that deposits in Dollars for a period equal to the Interest Period will be available to it in the London Interbank Market when
the Interest Period commences, the Interest Period shall be 3 months. 
  

	7	 DEFAULT INTEREST 

 

	7.1	 Payment of default interest on overdue amounts 

The Borrowers shall pay interest in accordance with the following provisions of this Clause 7 on any amount payable by any Borrower under any
Finance Document which the Agent, the Security Trustee or the other designated payee does not receive on or before the relevant date, that is: 
  

	(a)	 the date on which the Finance Documents provide that such amount is due for payment; or 

  
 28 

	(b)	 if a Finance Document provides that such amount is payable on demand, the date on which the demand is served;
or 

  

	(c)	 if such amount has become immediately due and payable under Clause 19.4, the date on which it became
immediately due and payable. 

  

	7.2	 Default rate of interest 

 

	(a)	 If a Borrower fails to pay any amount payable by it under a Finance Document on its due date or if there is an
Event of Default related to a breach under Clause 15.1, interest shall accrue on the Unpaid Sum from the due date up to the date of actual payment (both before and after judgment) at a rate which, subject to paragraph (b) below, is 2 per
cent. per annum higher than the rate which would have been payable if the Unpaid Sum had, during the period of non-payment, constituted part of the relevant Advance in the currency of the Unpaid Sum for
successive Interest Periods, each of a duration selected by the Agent (acting on the instructions of the Lenders). Any interest accruing under this Clause 7.2 shall be immediately payable by the Borrowers on demand by the Agent.

  

	(b)	 If an Unpaid Sum consists of all or part of that Advance which became due on a day which was not the last day
of an Interest Period relating to that Advance or that part of that Advance: 

  

	 	(i)	 the first Interest Period for that Unpaid Sum shall have a duration equal to the unexpired portion of the
current Interest Period relating to the relevant Advance or that part of that Advance; and 

  

	 	(ii)	 the rate of interest applying to that Unpaid Sum during that first Interest Period shall be 2 per cent.
per annum higher than the rate which would have applied if that Unpaid Sum had not become due. 

  

	7.3	 Notification of interest periods and default rates 

 

	(a)	 The Agent shall promptly notify the Lenders and the Borrowers of the determination of a rate of interest under
Clause 7. 

  

	(b)	 The Agent shall promptly notify the Borrower of each Funding Rate relating to the relevant Advance, any part of
that Advance or any Unpaid Sum. 

  

	7.4	 Payment of accrued default interest 

Subject to the other provisions of this Agreement, any interest due under this Clause shall be paid on the last day of the period by reference
to which it was determined; and the payment shall be made to the Agent for the account of the Creditor Party to which the overdue amount is due. 
  

	7.5	 Compounding of default interest 

 

	(a)	 Default interest (if unpaid) arising on an Unpaid Sum will be compounded with the Unpaid Sum at the end of each
Interest Period applicable to that Unpaid Sum but will remain immediately due and payable. 

  
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	8	 REPAYMENT AND PREPAYMENT 

 

	8.1	 Amount of repayment instalments 

The Borrowers shall repay each Advance by: 
  

	(a)	 in respect of Advance B and Advance C, 20 equal consecutive quarterly instalments, each in the amount of
$305,000 and in respect of Advance A, 20 equal consecutive quarterly instalments, each in the amount of $255,000 (each a “Repayment Instalment” and, together, the “Repayment Instalments”); and

  

	(b)	 in respect of Advance B and Advance C, a balloon instalment in the amount of $2,150,000 and in respect of
Advance A, a balloon instalment in the amount of $6,900,000 (each, a “Balloon Instalment”), 

 Provided
that if: 
  

	(a)	 the amount made available in respect of each of Advance B and Advance C is less than $8,250,000, and in respect
of Advance C, $12,000,000, the aggregate amount of the Repayment Instalments and the Balloon Instalment in respect of the relevant Advance shall be reduced by an amount equal to the undrawn amount on a pro rata basis; and

  

	(b)	 the Drawdown Date in respect of any Advance falls [on or] after 15 March 2019, the Repayment Instalments
in respect of that Advance referred to in paragraph (a) above shall be reduced to 19 and the Balloon Instalment in respect of that Advance shall be increased by an amount equal to one Repayment Instalment in respect of that Advance.

  

	8.2	 Repayment Dates 

The first Repayment Instalment in respect of each Advance shall be repaid on the date falling 3 months after the Drawdown Date relating to that
Advance with the remaining Repayment Instalments (other than the last Repayment Instalment in respect of each Advance) to be repaid at 3-monthly intervals thereafter or such dates as the Agent may specify in
order to align the repayment schedule of all the Advances and the last Repayment Instalment together with the Balloon Instalment shall be paid on the relevant Maturity Date. 
  

	8.3	 Final Repayment Date 

On the final Repayment Date, the Borrowers shall additionally pay to the Agent for the account of the Creditor Parties all other sums then
accrued or owing under any Finance Document. 
  

	8.4	 Voluntary prepayment 

Subject to the following conditions, the Borrowers may prepay the whole or any part of the Loan on the last day of an Interest Period in
respect thereof. 

  
 30 

	8.5	 Conditions for voluntary prepayment 

The conditions referred to in Clause 8.4 are that: 
  

	(a)	 a partial prepayment shall be in a minimum amount of $500,000 or in integral multiple of $100,000 or such
lesser amount as is acceptable to the Agent (acting on the instructions of the Majority Lenders); 

  

	(b)	 the Agent has received from the Borrowers at least 5 Business Days’ prior written notice specifying the
amount to be prepaid and the date on which the prepayment is to be made (such date shall be the last day of an Interest Period); 

  

	(c)	 the prepayment shall be applied proportionately between each Advance and thereafter pro rata against the
Instalments in respect of each Advance which are at the time being outstanding and each Balloon Instalment; and 

  

	(d)	 the Borrowers have provided evidence satisfactory to the Agent that any consent required by the Borrowers or
any Security Party in connection with the prepayment has been obtained and remains in force, and that any requirement relevant to this Agreement which affects the Borrowers or any Security Party has been complied with and shall include a
representation to that effect in the notice referred to in (b) above. 

  

	8.6	 Voluntary cancellation 

The Borrowers may, if they give the Agent not less than 5 Business Days’ (or such shorter period as the Majority Lenders may agree) prior
notice, cancel the whole or any part of an Advance. Any cancellation under this Clause 8.6 shall reduce the Commitments of the Lenders proportionally under that Advance. 
  

	8.7	 Effect of notice of prepayment 

A prepayment notice may not be withdrawn or amended without the consent of the Agent, given with the authority of the Majority Lenders, and the
amount specified in the prepayment notice shall become due and payable by the Borrowers on the date for prepayment specified in the prepayment notice. 
  

	8.8	 Notification of notice of prepayment 

The Agent shall notify the Lenders promptly upon receiving a prepayment notice, and shall provide any Lender which so requests with a copy of
any document delivered by the Borrowers under Clause 8.5(b). 
  

	8.9	 Mandatory prepayment 

The Borrowers shall be obliged to prepay the Relevant Amount: 
  

	(a)	 if a Ship is sold, on or before the date on which the sale is completed by delivery of that Ship to the buyer;
or 

  

	(b)	 if a Ship becomes a Total Loss, on the earlier of the date falling 90 days after the Total Loss Date and the
date of receipt by the Security Trustee of the proceeds of insurance relating to such Total Loss. 

 In this Clause 8.9
“Relevant Amount” means an amount equal to the higher of: 
  

	 	(A)	 the Advance to which the ship being sold or which has become a Total Loss relates; and 

  
 31 

	 	(B)	 an amount, which after giving credit to the prepayment required to be made pursuant to this Clause 8.9, results
in the Security Cover Ratio to be maintained pursuant to Clause 15.1 being no less than the greater of (1) 120 per cent and (2) the Security Cover Ratio which applied immediately prior to the applicable event described in paragraphs
(a) or (b) of this Clause 8.9. 

  

	8.10	 Amounts payable on prepayment 

A prepayment shall be made together with accrued interest (and any other amount payable under Clause 21 below or otherwise) in respect of the
amount prepaid and, if the prepayment is not made on the last day of an Interest Period together with any sums payable under Clause 21.1(b) but (subject to Clause 20.4) without premium or penalty. 

 

	8.11	 Application of partial prepayment 

Any prepayment shall be applied: 
  

	(a)	 if made pursuant to Clause 8.4, pro rata against the Repayment Instalments and of the Balloon Instalment of the
Advance being prepaid or in such other manner as the Agent (acting on the instructions of the Lenders) may agree with the Borrowers; 

  

	(b)	 if made pursuant to Clause 8.9: 

 

	 	(i)	 FIRSTLY: against the Advance which has been used in part financing the relevant Ship and thereafter any balance
shall be applied proportionally against the other Advances and in relation to each Advance, pro rata against the then outstanding Repayment Instalments and the Balloon Instalment of such other Advances; and 

 

	 	(ii)	 SECONDLY: pro rata towards repayment of any overdue interest, any Break Costs, any accrued interest relating to
the Loan, any other costs, fees, expenses, commissions due under this Agreement; and 

  

	 	(iii)	 THIRDLY: any surplus shall be released to the Borrowers Provided that no Event of Default or Potential
Event of Default has occurred or is continuing. 

  

	(c)	 If made pursuant to Clause 15.2, pro rata against the Advances and in relation to each Advance, pro rata
against the Balloon Instalment and the Repayment Instalments of the Advance being prepaid or in such other manner as the Agent (acting on the instructions of the Lenders) may agree with the Borrowers. 

 

	8.12	 No reborrowing 

No amount repaid, cancelled or prepaid may be reborrowed. 
  

	9	 CONDITIONS PRECEDENT 

 

	9.1	 Documents, fees and no default 

Each Lender’s obligation to contribute to an Advance is subject to the following conditions precedent: 

 

	(a)	 that on or before the date of this Agreement, the Lenders receive the documents described in Part A of Schedule
3 in a form and substance satisfactory to the Lenders and their lawyers; 

  
 32 

	(b)	 that the Agent has received the commitment fee and arrangement fee on behalf of the Lenders referred to in
Clauses 20.1 and 20.2 respectively and the first annual agency fee pursuant to Clause 20.3; 

  

	(c)	 that, on or before the service of each Drawdown Notice, the Agent receives the documents described in Part B of
Schedule 3 in form and substance satisfactory to the Agent and its lawyers; 

  

	(d)	 that at the date of each Drawdown Notice and at each Drawdown Date: 

 

	 	(i)	 no Event of Default or Potential Event of Default has occurred or is continuing or would result from the
borrowing of the relevant Advance; and 

  

	 	(ii)	 the representations and warranties in Clause 10 and those of the Borrowers or any Security Party which are set
out in the other Finance Documents would be true and not misleading if repeated on each of those dates with reference to the circumstances then existing; 

  

	 	(iii)	 none of the circumstances contemplated by Clause 5.7 has occurred and is continuing; and 

 

	 	(iv)	 there has been no material adverse change in the business, management, condition (financial or otherwise),
results of operations, state of affairs, operation, performance, prospects or properties of the Borrowers or any of them and/or the Corporate Guarantor and its affiliates since the Financial Statements; 

 

	(e)	 that, if the ratio set out in Clause 15.1 were applied immediately following the making of an Advance, the
Borrower would not be obliged to provide additional security or prepay part of the Loan under that Clause; and 

  

	(f)	 that the Agent has received, and found to be acceptable to it, any further opinions, consents, agreements and
documents in connection with the Finance Documents which the Agent may, with the authorisation of the Majority Lenders, request by notice to the Borrowers prior to the Drawdown Date. 

 

	9.2	 Waiver of conditions precedent 

If the Majority Lenders, at their discretion, permit an Advance to be borrowed before certain of the conditions referred to in Clause 9.1 are
satisfied, the Borrowers shall ensure that those conditions are satisfied within 5 Business Days after the Drawdown Date (or such longer period as the Agent may, with the authority of the Majority Lenders, specify). 

 

	10	 REPRESENTATIONS AND WARRANTIES 

 

	10.1	 General 

Each Borrower represents and warrants (which representations and warranties (other than the ones in Clauses 10.11 and 10.12) shall survive the
execution of this Agreement and shall be deemed to be repeated throughout the Security Period on the first day of each Interest Period with respect to the facts and circumstances then existing) to each Creditor Party as follows. 

  
 33 

	10.2	 Status 

Each Borrower is duly incorporated and validly existing and in good standing under the laws of the Republic of the Marshall Islands. 

 

	10.3	 Share capital and ownership 

Borrower A is authorised to issue 500 registered shares with a par value of one USD per share, all of which are fully paid and held by the
Shareholder free of any Security Interest other than Existing Indebtedness or other claim. Each of Borrower B and Borrower C is authorised to issue 500 registered and/or bearer shares, without par value all of which have been issued in registered
form and are fully paid and held by the Shareholder free of any Security Interest or other claim. The sole member of the Shareholder is the Corporate Guarantor. 
  

	10.4	 Corporate power 

Each Borrower has the corporate capacity, and has taken all corporate action and obtained all consents necessary for it to: 

 

	(a)	 continue to own the Ship owned by it under the relevant Approved Flag; 

 

	(b)	 execute the Finance Documents to which that Borrower is a party; and 

 

	(c)	 borrow under this Agreement and to make all the payments contemplated by, and to comply with, those Finance
Documents to which that Borrower is a party. 

  

	10.5	 Consents in force 

All the consents referred to in Clause 10.4 remain in force and nothing has occurred which makes any of them liable to revocation. 

 

	10.6	 Legal validity; effective Security Interests 

The Finance Documents to which that Borrower is a party, do now or, as the case may be, will, upon execution and delivery (and, where
applicable, registration as provided for in the Finance Documents): 
  

	(a)	 constitute that Borrower’s legal, valid and binding obligations enforceable against that Borrower in
accordance with their respective terms; and 

  

	(b)	 create legal, valid and binding Security Interests enforceable in accordance with their respective terms over
all the assets to which they, by their terms, relate, 

 subject to any relevant insolvency laws affecting creditors’
rights generally. 
  

	10.7	 No third party Security Interests 

Without limiting the generality of Clause 10.6, at the time of the execution and delivery of each Finance Document to which a Borrower is a
party: 
  

	(a)	 each Borrower will have the right to create all the Security Interests which that Finance Document purports to
create; and 

  
 34 

	(b)	 no third party will have any Security Interest (except for Permitted Security Interests) or any other interest,
right or claim over, in or in relation to any asset to which any such Security Interest, by its terms, relates. 

  

	10.8	 No conflicts 

The execution by a Borrower of each Finance Document to which it is a party, and the borrowing by that Borrower of the Loan, and its compliance
with each Finance Document to which it is a party will not involve or lead to a contravention of: 
  

	(a)	 any law or regulation; or 

 

	(b)	 the constitutional documents of that Borrower; or 

 

	(c)	 any contractual or other obligation or restriction which is binding on that Borrower or any of its assets.

  

	10.9	 No withholding taxes 

All payments which each Borrower is liable to make under the Finance Documents to which it is a party may be made without deduction or
withholding for or on account of any tax payable under any law of any Pertinent Jurisdiction. 
  

	10.10	 No default 

No Event of Default or Potential Event of Default has occurred and is continuing or would result from the entry into, the performance of, or
any transaction contemplated by, any Finance Document. 
  

	10.11	 Information 

All information which has been provided in writing by or on behalf of the Borrowers or any member of the Group to any Creditor Party in
connection with any Finance Document satisfied the requirements of Clause 11.5; all audited and unaudited accounts which have been so provided satisfied the requirements of Clause 11.7; and there has been no material adverse change in the financial
position or state of affairs, operation, performance or prospects of the Borrower or any of them or any Security Party (excluding the Approved Manager) as at 30 September 2018 from that disclosed to the Agent. 

 

	10.12	 No litigation 

No material, legal or administrative action involving any Borrower or any Security Party (excluding the Approved Manager) has been commenced or
taken or, to a Borrower’s knowledge, is likely to be commenced or taken. 
  

	10.13	 Compliance with certain undertakings 

At the date of this Agreement, each Borrower is in compliance with Clauses 11.2, 11.3, 11.9 and 11.13. 

  
 35 

	10.14	 Taxes paid 

Each Borrower has paid all taxes applicable to, or imposed on or in relation to that Borrower, its business or the Ship owned by it. 

 

	10.15	 No money laundering; anti-bribery 

None of the Borrowers, the Security Parties and the Designated Unitholders nor any of their subsidiaries, directors or officers, or, to their
best knowledge, any affiliate or employee of them, have engaged in any activity or conduct which would violate any applicable anti-bribery, anti-corruption or anti-money laundering laws, regulations or rules in any applicable jurisdiction and each
of the Borrowers, the Security Parties and the Designated Unitholders has instituted and maintains policies and procedures designed to prevent violation of such laws, regulations and rules. 

 

	10.16	 ISM Code, ISPS Code Compliance and Environmental Laws 

All requirements of the ISM Code, ISPS Code and Environmental Laws as they relate to the Borrowers, the Approved Manager and the Ships have
been complied with. 
  

	10.17	 No immunity 

No Borrower, nor any of its assets is entitled to immunity on the grounds of sovereignty or otherwise from any legal action or proceeding
(which shall include, without limitation, suit attachment prior to judgement, execution or other enforcement). 
  

	10.18	 Sanctions 

  

	(a)	 Each Borrower, each Security Party and each other member of the Group and to the best of their knowledge
(having made due inquiry), their joint ventures, and their respective directors, officers, employees, agents or representatives has been and is in compliance with Sanctions Laws; 

 

	(b)	 No Borrower, nor any Security Party, nor any other member of the Group, their joint ventures, and their
respective directors, officers, employees, agents or representatives: 

  

	 	(i)	 is a Restricted Party, or is involved in any transaction through which it is reasonably likely to become a
Restricted Party; or 

  

	 	(ii)	 is subject to or involved in any inquiry, claim, action, suit, proceeding or investigation against it with
respect to Sanctions Laws by any Sanctions Authority. 

  

	10.19	 Insolvency 

In relation to each Borrower, no corporate action, legal proceeding or other procedure or step described in Clause 19.1(h) or creditors’
process described in that clause has been taken or, to its knowledge, threatened in relation to it, and none of the circumstances described in Clause 19.1(h) applies to it. 

  
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	11	 GENERAL UNDERTAKINGS 

 

	11.1	 General 

Each Borrower undertakes with each Creditor Party to comply with the following provisions of this Clause 11 at all times during the Security
Period except as the Agent may, with the authority of the Majority Lenders, otherwise permit in writing. 
  

	11.2	 Title and negative pledge 

Each Borrower will: 
  

	(a)	 hold the legal title to, and own the entire beneficial interest in the Ship owned by it, the Insurances and
Earnings, free from all Security Interests and other interests and rights of every kind, except for those created by the Finance Documents and the effect of assignments contained in the Finance Documents; 

 

	(b)	 not create or permit to arise any Security Interest (except for Permitted Security Interests) over any other
asset, present or future; and 

  

	(c)	 procure that its liabilities under the Finance Documents to which it is party do and will rank at least pari
passu with all other present and future unsecured liabilities, except for liabilities which are mandatorily preferred by law. 

  

	11.3	 No disposal of assets 

 

	(a)	 No Borrower will transfer, lease or otherwise dispose of: 

 

	(b)	 all or a substantial part of its assets, whether by one transaction or a number of transactions, whether
related or not; or 

  

	(c)	 any debt payable to it or any other right (present, future or contingent right) to receive a payment, including
any right to damages or compensation, 

  

	(d)	 but paragraph (a) does not apply to any charter of a Ship as to which clause 14.13 applies.

  

	11.4	 No other liabilities or obligations to be incurred 

No Borrower will incur any liability or obligation except: 
  

	(a)	 liabilities and obligations under the Finance Documents to which it is a party; 

 

	(b)	 under the unsecured guarantee issued by that Borrower in respect of obligations of the Corporate Guarantor
under the Term B Loan; 

  

	(c)	 subject to other provisions of this Agreement, liabilities or obligations reasonably incurred in the ordinary
course of trading, maintaining, repairing, operating and chartering the Ship owned by it; and 

  

	(d)	 Save for the Permitted Financial Indebtedness to any other corporation which is a member of the Group or
individual who is a shareholder or majority shareholder in a member of the Group Provided that such Financial Indebtedness shall be fully subordinated to the Loan and the Borrower shall, promptly following the Agent’s demand, execute or
procure the execution of any documents which the Agent specifies to create or maintain the subordination of the rights of the relevant member of the Group against the relevant Borrower to those of the Creditor Parties under the Finance Documents.

  
 37 

	11.5	 Information provided to be accurate 

All financial and other information which is provided in writing by or on behalf of a Borrower under or in connection with any Finance Document
will be true, correct, accurate and not misleading and will not omit any material fact or consideration. 
  

	11.6	 Provision of financial statements 

Each Borrower will send or procure that they are sent to the Agent: 
  

	(a)	 as soon as possible, but in no event later than 90 days after the end of each
3-month period ending on 31 March, 30 June and 30 September in each financial year of the Corporate Guarantor (commencing with the 3-month period ending
on 31 March 2019), the quarterly unaudited consolidated accounts (including profit and loss statement, balance sheet and cash flow statement) of the Group duly certified as to their correctness by an officer of the Corporate Guarantor; and

  

	(b)	 as soon as possible, but in no event later than 180 days after the end of each financial year of the Corporate
Guarantor (commencing with the financial year ended on 31 December 2019), the annual audited consolidated financial statements of the Group; and 

	(c)	 promptly after each request by the Agent, such further financial information about that Borrower, the Ship
owned by it and the Corporate Guarantor or any other member of the Group (including, but not limited to, information regarding the charter arrangements, Financial Indebtedness and operating expenses) as the Agent may require. 

 

	11.7	 Form of financial statements 

All accounts (audited and unaudited) delivered under Clause 11.6 will: 

 

	(a)	 be prepared in accordance with all applicable laws and US GAAP or IFRS (as applicable);

  

	(b)	 give a true and fair view of the state of affairs of the relevant person at the date of those accounts and of
its profit for the period to which those accounts relate; and 

  

	(c)	 fully disclose or provide for all significant liabilities of the Group. 

 

	11.8	 Shareholder notices 

Each Borrower will send to the Agent following a request by the Agent, and at the same time as they are despatched, copies of all
communications which are despatched to that Borrower’s shareholders or any class of them. 
  

	11.9	 Consents 

Each Borrower will, and will procure that each Security Party will, maintain in force and promptly obtain or renew, and will promptly send
certified copies to the Agent of, all consents required: 

  
 38 

	(a)	 for that Borrower and that Security Party to perform its obligations under any Finance Document or any
Charterparty to which it is party; 

  

	(b)	 for the validity or enforceability of any Finance Document and any Charterparty to which it is party; and

  

	(c)	 for that Borrower to continue to own and operate the Ship owned by it, 

and that Borrower will, and will procure that each Security Party will, comply with the terms of all such consents. 

 

	11.10	 Maintenance of Security Interests 

Each Borrower will: 
  

	(a)	 at its own cost, do all that it reasonably can to ensure that any Finance Document validly creates the
obligations and the Security Interests which it purports to create; and 

  

	(b)	 without limiting the generality of paragraph (a) above, at its own cost, promptly register, file, record
or enrol any Finance Document with any court or authority in all Pertinent Jurisdictions, pay any stamp, registration or similar tax in all Pertinent Jurisdictions in respect of any Finance Document, give any notice or take any other step which, in
the opinion of the Majority Lenders, is or has become necessary or desirable for any Finance Document to be valid, enforceable or admissible in evidence or to ensure or protect the priority of any Security Interest which it creates.

  

	11.11	 Notification of litigation 

Each Borrower will provide the Agent with details of any legal or administrative action involving that Borrower, any Security Party, the
Approved Manager, the Ship owned by it, the Earnings or the Insurances in respect of that Ship as soon as such action is instituted or it becomes apparent to that Borrower that it is likely to be instituted, unless it is clear that the legal or
administrative action cannot be considered material in the context of any Finance Document. 
  

	11.12	 Principal place of business 

Each Borrower will maintain its place of business, and keep its corporate documents and records, at the address stated in Clause 28.2(a); and
no Borrower will establish, or do anything as a result of which it would be deemed to have, a place of business in the United States or the United Kingdom or in any place other than its current place of business. 

 

	11.13	 Confirmation of no default 

The Borrower will, within 2 Business Days after service by the Agent of a written request, serve on the Agent a notice which is signed by an
officer of the Borrower and which: 
  

	(a)	 states that no Event of Default or Potential Event of Default has occurred; or 

 

	(b)	 states that no Event of Default or Potential Event of Default has occurred, except for a specified event or
matter, of which all material details are given. 

 The Agent may serve requests under this Clause 11.13 from time to time;
this Clause 11.13 does not affect the Borrowers’ obligations under Clause 11.14. 

  
 39 

	11.14	 Notification of default 

Each Borrower will notify the Agent as soon as that Borrower becomes aware of the occurrence of an Event of Default or a Potential Event of
Default and will thereafter keep the Agent fully up-to-date with all developments. 
  

	11.15	 Provision of further information 

Each Borrower will, as soon as practicable after receiving the request, provide the Agent with any additional financial or other information
relating: 
  

	(a)	 to that Borrower, the Ship owned by it, the Insurances, the Earnings or the Corporate Guarantor; or

  

	(b)	 to any other matter relevant to, or to any provision of, a Finance Document; 

 

	(c)	 any information requested in respect of that Borrower, the Corporate Guarantor, the Shareholder and the
Designated Unitholders in connection with the Creditor Parties’ and/or the Account Bank’s “Know your customer” regulations, including, but not limited to information required pursuant to all applicable laws and regulations,
including, without limitation, the laws of the European Union, The Netherlands, United Kingdom and the United States of America in connection with that Borrower, the Corporate Guarantor and any other Security Party and their respective beneficial
owners, 

 which may be requested by the Agent, the Security Trustee or any Lender at any time. 

 

	11.16	 Provision of copies and translation of documents 

Each Borrower will supply the Agent with a sufficient number of copies of the documents referred to above to provide 1 copy for each Creditor
Party; if the Agent so requires in respect of any of those documents, that Borrower will provide a certified English translation prepared by a translator approved by the Agent. 

 

	11.17	 “Know your customer” checks. If: 

 

	(a)	 the introduction of or any change in (or in the interpretation, administration or application of) any law or
regulation made after the date of this Agreement; 

  

	(b)	 any change in the status of any Borrower or any Security Party after the date of this Agreement; or

  

	(c)	 a proposed assignment or transfer by a Lender of any of its rights and obligations under this Agreement to a
party that is not a Lender prior to such assignment or transfer, 

 obliges the Agent or any Lender (or, in the case of
paragraph (c), any prospective new Lender) to comply with “know your customer” or similar identification procedures in circumstances where the necessary information is not already available to it, the Borrowers shall promptly upon the
request of the Agent or any Lender supply, or procure the supply of, such documentation and other evidence as is reasonably requested by the Agent (for itself or on behalf of any Lender) or the Lender concerned (for itself or, in the case of the
event 

  
 40 

 
described in paragraph (c), on behalf of any prospective new Lender) in order for the Agent, the Lender concerned or, in the case of the event described in paragraph (c), any prospective new
Lender to carry out and be satisfied it has complied with all necessary “know your customer” or other similar checks under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents. 

 

	11.18	 Use of proceeds 

No proceeds of any Advance of the Loan shall be made available, directly or indirectly, to or for the benefit of a Restricted Person nor shall
they otherwise be applied in a manner or for a purpose prohibited by Sanctions Laws. 
  

	11.19	 Sanctions 

Each Borrower shall ensure that none of them, nor any Security Party, any other member of the Group or to the best of their knowledge (having
made due inquiry) any of their joint ventures, or their respective directors, officers employees, agents or representatives or any other persons acting on any of their behalf, is or will become a Restricted Party. 

 

	11.20	 Information: sanctions 

The Borrowers shall, and shall procure that the Security Parties shall, supply to the Agent: 

 

	(a)	 promptly upon becoming aware of them, the details of any inquiry, claim, action, suit, proceeding or
investigation pursuant to Sanctions Laws against it, any of its direct or indirect owners, subsidiaries, other members of the Group, any of their joint ventures or any of their respective directors, officers, employees, agents or representatives, as
well as information on what steps are being taken with regards to answer or oppose such. 

  

	(b)	 promptly upon becoming aware that it, any of its direct or indirect owners, subsidiaries, other members of the
Group, any of their joint ventures or any of their respective directors, officers, employees, agents or representatives has become or is reasonably likely to become a Restricted Party. 

 

	11.21	 Hedging of interest rate risks – Right of first refusal 

The Borrowers hereby grant to the Lenders a right of first refusal for the purpose of hedging any part of the interest rate risk under this
Agreement throughout the Security Period. In the event that the Borrowers decide to hedge their exposure under this Agreement, they shall enter into such documentation as may be required by the relevant Lender (in such capacity the “Swap
Bank”) and the provisions of this Agreement will be amended to incorporate the amendments required, including, but not limited to, Clause 17 reflecting pari passu sharing in the security and receipts between the Lenders and the Swap Bank.

  

	11.22	 Dividends 

The Borrowers may make or pay any dividend or other distribution (in cash or in kind) in respect of their share capital Provided
that (i) all conditions precedent listed in Schedule 3 are satisfied, (ii) no Event of Default has occurred or is continuing or will result from the making or payment of such dividend or distribution and (iii) compliance with
Clause 15 as certified in the compliance certificate provided on the quarter immediately preceding to the dividend. 

  
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	11.23	 No change in financial year 

No Borrower shall and shall procure that no Security Party will change the end of its financial year. 

 

	11.24	 Minimum Liquidity 

The Borrowers shall maintain in the Liquidity Account credit balances in an aggregate amount of not less than $250,000 in respect of each
Mortgaged Ship (amounting to $750,000 in aggregate) (“Minimum Liquidity”), to be placed in time deposit with the Account Bank, commencing from the Drawdown Date in respect of the Advance which will finance the relevant Ship and at
all times thereafter throughout the remainder of the Security Period. 
  

	12	 CORPORATE UNDERTAKINGS 

 

	12.1	 General 

Each Borrower also undertakes with each Creditor Party to comply with the following provisions of this Clause 12 at all times during the
Security Period except as the Agent may, with the authorisation of the Majority Lenders, otherwise permit. 
  

	12.2	 Maintenance of status 

Each Borrower will maintain its separate corporate existence as a corporation and remain in good standing under the laws of the Republic of the
Marshall Islands. 
  

	12.3	 Negative undertakings 

No Borrower will: 
  

	(a)	 carry on any business other than the ownership, chartering and operation of the Ship owned by it; or

  

	(b)	 provide any form of credit or financial assistance or issue guarantees in favour of any other corporation or
individual other than: 

  

	 	(i)	 in the normal course of its business; and 

 

	 	(ii)	 the unsecured guarantees issued by that Borrower in respect of obligations of the Corporate Guarantor under the
Term B Loan, 

 Provided that the corporation or individual to whom the of credit or financial assistance has been
granted or in favour of whom the guarantee has been issued fully subordinates its rights to the rights of the Creditor Parties under the Finance Documents on terms acceptable to the Agent; 

 

	(c)	 provide any form of credit or financial assistance to: 

 

	 	(i)	 a person who is directly or indirectly interested in that Borrower’s share or loan capital; or

  

	 	(ii)	 any company in or with which such a person is directly or indirectly interested or connected,

  
 42 

 or enter into any transaction with or involving such a person or company on terms which are,
in any respect, less favourable to that Borrower than those which it could obtain in a bargain made at arms’ length; or 
  

	(d)	 open or maintain any account with any bank or financial institution except accounts with the Account Bank for
the purposes of the Finance Documents and any accounts disclosed to the Agent on or prior to the date of this Agreement; or 

  

	(e)	 issue, allot or grant any person a right to any shares in its capital or repurchase or reduce its issued share
capital; or 

  

	(f)	 acquire any shares or other securities other than US or UK Treasury bills and certificates of deposit issued by
major North American or European banks, or enter into any transaction in a derivative; or 

  

	(g)	 enter into any form of amalgamation, merger or de-merger or any form of
reconstruction or reorganisation; or 

  

	(h)	 change its legal name and shall procure that no Security Party will change its legal name.

  

	13	 INSURANCE 

  

	13.1	 General 

Each Borrower undertakes with each Creditor Party to comply with the following provisions of this Clause 13 at all times during the Security
Period except as the Agent may, with the authority of the Majority Lenders, otherwise permit in writing. 
  

	13.2	 Maintenance of obligatory insurances 

Each Borrower shall keep the Ship owned by it, at all times during the Security Period, insured at the expense of that Borrower against: 

 

	(a)	 fire and usual marine risks (including hull and machinery and excess risks); and 

 

	(b)	 war risks including blocking and trapping; and 

 

	(c)	 protection and indemnity mean the usual risks including liability for oil pollution and excess war risk P&I
cover (including FD&D cover); and 

  

	(d)	 any other risks against which the Lenders consider, having regard to practices and other circumstances
prevailing at the relevant time, it would in the opinion of the Lenders be reasonable for that Borrower to insure and which are specified by the Security Trustee by notice to that Borrower. 

 

	13.3	 Terms of obligatory insurances 

Each Borrower shall effect such insurances: 
  

	(a)	 in Dollars; 

  

	(b)	 in the case of fire and usual marine risks, including hull and machinery, and war risks, on an agreed value
basis in such amounts as shall from time to time be approved by the Agent but in any event in an amount not less than the greater of (i) the Market Value of the Ship owned by it and (ii) an amount which, when aggregated with the amount for
which the other ship then subject to a Mortgage is insured, is equal to 120 per cent. of the Loan; and 

  
 43 

	(c)	 in the case of oil pollution liability risks, for an aggregate amount equal to the highest level of cover from
time to time available under basic protection and indemnity club entry (with the international group of protection and indemnity clubs) and the international marine insurance market (currently $1,000,000,000); 

 

	(d)	 in relation to protection and indemnity risks in respect of the relevant Ship’s full value and tonnage;

  

	(e)	 on such terms as shall from time to time be approved in writing by the Agent (including, without limitation, a
blocking and trapping clause); and 

  

	(f)	 through approved brokers and with approved insurance companies and/or underwriters or, in the case of war risks
and protection and indemnity risks, in approved war risks and protection and indemnity risks associations which are members of the International Group of Protection and Indemnity Associations. 

 

	13.4	 Further protections for the Creditor Parties 

In addition to the terms set out in Clause 13.3, each Borrower shall procure that the obligatory insurances shall: 

 

	(a)	 subject always to paragraph (b), name that Borrower as the sole named assured unless the interest of every
other named assured is limited: 

  

	 	(i)	 in respect of any obligatory insurances for hull and machinery and war risks; 

 

	 	(A)	 to any provable out-of-pocket
expenses that it has incurred and which form part of any recoverable claim on underwriters; and 

  

	 	(B)	 to any third party liability claims where cover for such claims is provided by the policy (and then only in
respect of discharge of any claims made against it); and 

  

	 	(ii)	 in respect of any obligatory insurances for protection and indemnity risks, to any recoveries it is entitled to
make by way of reimbursement following discharge of any third party liability claims made specifically against it; 

  

	(b)	 name (or be amended to name) the Security Trustee as mortgagee for its rights and interests, warranted no
operational interest and with full waiver of rights of subrogation against the Security Trustee, but without the Security Trustee thereby being liable to pay (but having the right to pay) premiums, calls or other assessments in respect of such
insurance; 

  

	(c)	 name the Security Trustee as sole loss payee with such directions for payment as the Security Trustee may
specify; 

  

	(d)	 provide that all payments by or on behalf of the insurers under the obligatory insurances to the Security
Trustee shall be made without set-off, counterclaim or deductions or condition whatsoever; 

  
 44 

	(e)	 provide that the insurers shall waive, to the fullest extent permitted by English law, their entitlement (if
any) (whether by statute, common law, equity, or otherwise) to be subrogated to the rights and remedies of the Security Trustee in respect of any rights or interests (secured or not) held by or available to the Security Trustee in respect of the
Secured Liabilities, until the Secured Liabilities shall have been fully repaid and discharged, except that the insurers shall not be restricted by the terms of this paragraph (d) from making personal claims against persons (other than any
Borrower or any Creditor Party) in circumstances where the insurers have fully discharged their liabilities and obligations under the relevant obligatory insurances; 

 

	(f)	 provide that such obligatory insurances shall be primary without right of contribution from other insurances
which may be carried by the Security Trustee; 

  

	(g)	 provide that the Security Trustee may make proof of loss if that Borrower fails to do so; and

  

	(h)	 provide that if any obligatory insurance is cancelled, or if any substantial change is made in the coverage
which adversely affects the interest of the Security Trustee, or if any obligatory insurance is allowed to lapse for non-payment of premium, such cancellation, charge or lapse shall not be effective with
respect to the Security Trustee for 30 days (or 7 days in the case of war risks) after receipt by the Security Trustee of prior written notice from the insurers of such cancellation, change or lapse. 

 

	13.5	 Renewal of obligatory insurances 

Each Borrower shall: 
  

	(a)	 at least 14 days before the expiry of any obligatory insurance: 

 

	 	(i)	 notify the Security Trustee of the brokers (or other insurers) and any protection and indemnity or war risks
association through or with whom that Borrower proposes to renew that insurance and of the proposed terms of renewal; and 

  

	 	(ii)	 in case of any substantial change in insurance cover, obtain the Lenders’ approval to the matters referred
to in paragraph (i) above; 

  

	(b)	 at least 7 days before the expiry of any obligatory insurance, renew the insurance; and 

 

	(c)	 procure that the approved brokers and/or the war risks and protection and indemnity associations with which
such a renewal is effected shall promptly after the renewal notify the Security Trustee in writing of the terms and conditions of the renewal. 

  

	13.6	 Copies of policies; letters of undertaking 

Each Borrower shall ensure that all approved brokers provide the Security Trustee with copies of all policies relating to the obligatory
insurances which they effect or renew and of a letter or letters or undertaking in a form required by the Lenders and including undertakings by the approved brokers that: 
  

	(a)	 they will have endorsed on each policy, immediately upon issue, a loss payable clause and a notice of
assignment complying with the provisions of Clause 13.3(f); 

  

	(b)	 they will hold such policies, and the benefit of such insurances, to the order of the Security Trustee in
accordance with the said loss payable clause; 

  
 45 

	(c)	 they will advise the Security Trustee immediately of any material change to the terms of the obligatory
insurances; 

  

	(d)	 they will notify the Security Trustee, not less than 14 days before the expiry of the obligatory insurances, in
the event of their not having received notice of renewal instructions from that Borrower or its agents and, in the event of their receiving instructions to renew, they will promptly notify the Security Trustee of the terms of the instructions; and

  

	(e)	 they will not set off against any sum recoverable in respect of a claim relating to the Ship owned by it under
such obligatory insurances any premiums or other amounts due to them or any other person whether in respect of that Ship or otherwise, they waive any lien on the policies or, any sums received under them, which they might have in respect of such
premiums or other amounts, and they will not cancel such obligatory insurances by reason of non-payment of such premiums or other amounts, and will arrange for a separate policy to be issued in respect of that
Ship forthwith upon being so requested by the Security Trustee. 

  

	13.7	 Copies of certificates of entry 

Each Borrower shall ensure that any protection and indemnity and/or war risks associations in which the Ship owned by it is entered provides
the Security Trustee with: 
  

	(a)	 a certified copy of the certificate of entry for that Ship; and 

 

	(b)	 a letter or letters of undertaking in such form as may be required by the Lenders; and 

 

	(c)	 where required to be issued under the terms of insurance/indemnity provided by that Borrower’s protection
and indemnity association, a certified copy of each United States of America voyage quarterly declaration (or other similar document or documents) made by that Borrower in relation to that Ship in accordance with the requirements of such protection
and indemnity association; and 

  

	(d)	 a certified copy of each certificate of financial responsibility for pollution by oil or other Environmentally
Sensitive Material issued by the relevant certifying authority in relation to that Ship. 

  

	13.8	 Deposit of original policies 

Each Borrower shall ensure that all policies relating to obligatory insurances are deposited with the approved brokers through which the
insurances are effected or renewed. 
  

	13.9	 Payment of premiums 

Each Borrower shall punctually pay all premiums or other sums payable in respect of the obligatory insurances and produce all relevant receipts
when so required by the Security Trustee. 
  

	13.10	 Guarantees 

Each Borrower shall ensure that any guarantees required by a protection and indemnity or war risks association are promptly issued and remain
in full force and effect. 

  
 46 

	13.11	 Restrictions on employment 

No Borrower shall employ the Ship owned by it, nor permit her to be employed, outside the cover provided by any obligatory insurances. 

 

	13.12	 Compliance with terms of insurances 

No Borrower shall either do or omit to do (or permit to be done or not to be done) any act or thing which would or might render any obligatory
insurance invalid, void, voidable or unenforceable or render any sum payable thereunder repayable in whole or in part; and in particular: 
  

	(a)	 each Borrower shall take all necessary action and comply with all requirements which may from time to time be
applicable to the obligatory insurances, and (without limiting the obligation contained in Clause 13.6(c) above) ensure that the obligatory insurances are not made subject to any exclusions or qualifications to which the Security Trustee has not
given its prior approval; 

  

	(b)	 no Borrower shall make any changes relating to the classification or classification society or manager or
operator of the Ship owned by it approved by the underwriters of the obligatory insurances; 

  

	(c)	 each Borrower shall make all quarterly or other voyage declarations which may be required by the protection and
indemnity risks association in which the Ship owned by it is entered to maintain cover for trading to the United States of America and Exclusive Economic Zone (as defined in the United States Oil Pollution Act 1990 or any other applicable
legislation); and 

  

	(d)	 no Borrower shall employ the Ship owned by it, nor allow it to be employed, otherwise than in conformity with
the terms and conditions of the obligatory insurances (including but not limited to any applicable laws and Sanctions), without first obtaining the consent of the insurers and complying with any requirements (as to extra premium or otherwise) which
the insurers specify. 

  

	13.13	 Alteration to terms of insurances 

No Borrower shall make or agree to any alteration to the terms of any obligatory insurance or waive any right relating to any obligatory
insurance without the prior written consent of the Security Trustee. 
  

	13.14	 Settlement of claims 

No Borrower shall settle, compromise or abandon any claim under any obligatory insurance for Total Loss or for a Major Casualty, and shall do
all things necessary and provide all documents, evidence and information to enable the Security Trustee to collect or recover any moneys which at any time become payable in respect of the obligatory insurances. 

 

	13.15	 Provision of copies of communications 

Each Borrower shall provide the Security Trustee, at the time of each such communication, copies of all written communications in case of, but
not limited to, an Event of Default, Total Loss or Major Casualty between that Borrower and: 
  

	(a)	 the approved brokers; and 

  
 47 

	(b)	 the approved protection and indemnity and/or war risks associations; and 

 

	(c)	 the approved insurance companies and/or underwriters, which relate directly or indirectly to:

  

	 	(i)	 that Borrower’s obligations relating to the obligatory insurances including, without limitation, all
requisite declarations and payments of additional premiums or calls; and 

  

	 	(ii)	 any credit arrangements made between that Borrower and any of the persons referred to in paragraphs (a) or
(b) above relating wholly or partly to the effecting or maintenance of the obligatory insurances. 

  

	13.16	 Provision of information 

In addition, each Borrower shall promptly provide the Security Trustee (or any persons which it may designate) with any information which the
Security Trustee (or any such designated person) requests for the purpose of: 
  

	(a)	 obtaining or preparing any report from an independent marine insurance broker appointed by the Agent as to the
adequacy of the obligatory insurances effected or proposed to be effected; and/or 

  

	(b)	 effecting, maintaining or renewing any such insurances as are referred to in Clause 13.17 below or dealing with
or considering any matters relating to any such insurances, 

 and that Borrower shall, forthwith upon demand, indemnify
the Security Trustee in respect of all fees and other expenses incurred by or for the account of the Security Trustee in connection with any such report as is referred to in paragraph (a) above. 

 

	13.17	 Mortgagee’s interest and additional perils insurances 

The Security Trustee shall be entitled from time to time to effect, maintain and renew all or any of the following insurances in such amounts,
on such terms, through such insurers and generally in such manner as the Majority Lenders may from time to time consider appropriate: 
  

	(a)	 a mortgagee’s interest marine insurance in relation to the Ships in an amount equal to 120 per cent.
of the Loan, providing for the indemnification of the Creditor Parties for any losses under or in connection with any Finance Document which directly or indirectly result from loss of or damage to a Ship or a liability of that Ship or of the
Borrower owning that Ship, being a loss or damage which is prima facie covered by an obligatory insurance but in respect of which there is a non-payment (or reduced payment) by the underwriters by reason of,
or on the basis of an allegation concerning: 

  

	 	(i)	 any act or omission on the part of that Borrower, of any operator, charterer, manager or sub-manager of that Ship or of any officer, employee or agent of that Borrower or of any such person, including any breach of warranty or condition or any non-disclosure
relating to such obligatory insurance; 

  

	 	(ii)	 any act or omission, whether deliberate, negligent or accidental, or any knowledge or privity of that Borrower,
any other person referred to in paragraph (i) above, or of any officer, employee or agent of that Borrower or of such a person, including the casting away or damaging of that Ship and/or that Ship being unseaworthy; and/or

  
 48 

	 	(iii)	 any other matter capable of being insured against under a mortgagee’s interest marine insurance policy
whether or not similar to the foregoing; 

  

	(b)	 a mortgagee’s interest additional perils policy in relation to the Ships in an amount equal to
120 per cent. of the Loan, providing for the indemnification of the Security Trustee against, among other things, any possible losses or other consequences of any Environmental Claim, including the risk of expropriation, arrest or any form of
detention of a Ship, the imposition of any Security Interest over that Ship and/or any other matter capable of being insured against under a mortgagee’s interest additional perils policy whether or not similar to the foregoing,

 and the Borrowers shall upon demand fully indemnify the Security Trustee in respect of all premiums and other expenses
which are incurred in connection with or with a view to effecting, maintaining or renewing any such insurance or dealing with, or considering, any matter arising out of any such insurance. 

 

	13.18	 Review of insurance requirements 

The Lenders shall be entitled to review the requirements of this Clause 13 from time to time in order to take account of any changes in
circumstances after the date of this Agreement which are, in the opinion of the Lenders, significant and capable of affecting any Borrower or any Ship and its or their Insurances (including, without limitation, changes in the availability or the
cost of Insurances or the risks to which the Borrower owning that Ship may be subject), and may appoint insurance consultants in relation to this review at the cost of the Borrowers, such review to be carried out at the Agent’s request, at any
time during the Security Period if the Agent (acting on the instructions of the Lenders) considers necessary (the reasonable fees of the insurance consultants to conduct such review shall be deducted from the Earnings Accounts (or any of them) and
each Borrower hereby irrevocably authorises the Agent to debit its Earnings Account in order to pay such fees) Provided that the Borrowers shall not be required to pay the fees of the insurance consultants to conduct such review more often
than once a year unless an Event of Default has occurred. 
  

	13.19	 Modification of insurance requirements 

The Security Trustee shall notify the Borrowers of any proposed modification under Clause 13.18 to the requirements of this Clause 13 which the
Lenders consider appropriate in the circumstances, and such modification shall take effect on and from the date it is notified in writing to the Borrowers as an amendment to this Clause 13 and shall bind the Borrowers accordingly. 

 

	13.20	 Compliance with mortgagee’s instructions 

The Security Trustee shall be entitled (without prejudice to or limitation of any other rights which it may have or acquire under any Finance
Document) to require a Ship to remain at any safe port or to proceed to and remain at any safe port designated by the Security Trustee until the Borrower owning that Ship implements any amendments to the terms of the obligatory insurances and any
operational changes required as a result of a notice served under Clause 13.19. 

  
 49 

	14	 SHIP COVENANTS 

 

	14.1	 General 

Each Borrower also undertakes with each Creditor Party to comply with the following provisions of this Clause 14 at all times during the
Security Period except as the Agent, with the authorisation of the Majority Lenders, may otherwise permit in writing. 
  

	14.2	 Ship’s name and registration 

Each Borrower shall keep the Ship owned by it registered in its name under an Approved Flag; shall not do or allow to be done anything as a
result of which such registration might be cancelled or imperilled; and shall not change the name or port of registry of that Ship. 
  

	14.3	 Repair and classification 

Each Borrower shall keep the Ship owned by it in a good, safe and seaworthy condition and state of repair: 

 

	(a)	 consistent with first-class ship ownership and management practice;

  

	(b)	 so as to maintain the highest class with an Approved Classification Society free of overdue recommendations and
conditions of such classification society; 

  

	(c)	 so as to comply with all laws and regulations applicable to vessels registered at ports of the Approved Flag
State or to vessels trading to any jurisdiction to which such Ship may trade from time to time, including but not limited to the ISM Code and the ISM Code Documentation and the ISPS Code; and 

 

	(d)	 each Borrower shall use its best efforts to allow the Agent (or its agents), at any time, to inspect the
original class and related records of that Borrower and the Ship owned by it electronically (through the classification society directly) and to take copies of such records. 

 

	14.4	 Modification 

No Borrower shall make any modification or repairs to, or replacement of, the Ship or equipment installed on the Ship owned by it which would
or might materially alter the structure, type or performance characteristics of that Ship or materially reduce its value. 
  

	14.5	 Removal of parts 

No Borrower shall remove any material part of the Ship owned by it, or any item of equipment installed on, that Ship unless the part or item so
removed is forthwith replaced by a suitable part or item which is in the same condition as or better condition than the part or item removed, is free from any Security Interest or any right in favour of any person other than the Security Trustee and
becomes on installation on the relevant Ship the property of that Borrower and subject to the security constituted by the relevant Mortgage Provided that each Borrower may install equipment owned by a third party if the equipment can be
removed without any risk of damage to its Ship. 

  
 50 

	14.6	 Surveys 

Each Borrower shall submit the Ship owned by it regularly to all periodical or other surveys which may be required for classification purposes
and, if so required by the Lenders provide the Security Trustee, with copies of all survey reports. 
  

	14.7	 Technical Survey 

Without prejudice to each Borrower’s obligations pursuant to Clause 14.6, each Borrower promptly following the request of the Agent
(acting on the instructions of the Majority Lenders) will, submit the Ship for a technical survey by an independent surveyor or surveyors appointed by the Agent (provided such technical survey does not interfere with the ordinary trading of the Ship
owned by it). All fees and expenses incurred in relation to the appointment of the surveyor or surveyors and the preparation and issue of all technical reports pursuant to this Clause 14.7 shall be for the account of the Borrowers. 

 

	14.8	 Inspection 

Each Borrower shall permit the Security Trustee (by surveyors or other persons appointed by it for that purpose) to board the Ship owned by it
at all times (but in any event without interfering with the ordinary trading of the Ship owned by it) to inspect its condition or to satisfy themselves about proposed or executed repairs, shall afford all proper facilities for such inspections and
pay to the Agent the amount of all fees, costs and expenses incurred in respect of such inspections Provided that so long as no Event of Default shall have occurred that Borrower shall not be obliged to pay any fees and expenses in respect of
more than one inspection of its Ship in any calendar year. 
  

	14.9	 Prevention of and release from arrest 

Each Borrower shall promptly discharge: 
  

	(a)	 all liabilities which give or may give rise to maritime or possessory liens on or claims enforceable against
the Ship owned by it, the Earnings or the Insurances; 

  

	(b)	 all taxes, dues and other amounts charged in respect of the Ship owned by it, the Earnings or the Insurances;
and 

  

	(c)	 all other outgoings whatsoever in respect of the Ship owned by it, the Earnings or the Insurances,

 and, forthwith upon receiving notice of the arrest of that Ship, or of her detention in exercise or purported exercise
of any lien or claim, that Borrower shall procure her release by providing bail or otherwise as the circumstances may require. 
  

	14.10	 Compliance with laws etc. 

The Borrowers shall (and shall ensure that each Security Party and each other member of the Group and their respective directors, officers,
employees, as well as any manager and charterer of any Ship): 
  

	(a)	 comply with all laws or regulations: 

 

	 	(i)	 applicable to its business; and 

 

	 	(ii)	 applicable to the Ship owned, chartered or managed by it, its ownership, employment, operation, management and
registration. 

  
 51 

 including the ISM Code, the ISPS Code, all Environmental Laws, all Sanctions Laws and the
laws of the state of registration of that Ship; 
  

	(b)	 obtain, comply with and do all that is necessary to maintain in full force and effect any Environment
Approvals; 

  

	(c)	 without limiting paragraph (a) above, not employ that Ship nor allow its employment, operation or
management in any manner contrary to any law or regulation including but not limited to the ISM Code, the ISPS Code, all Environmental Laws and all Sanctions Laws; and 

 

	(d)	 in the event of hostilities in any part of the world (whether war is declared or not), not cause or permit it
to enter or trade to any zone which is declared a war zone by any government or by that Ship’s war risks insurers unless the prior written consent of the Lenders has been given and that Borrower has (at its expense) effected any special,
additional or modified insurance cover which the Lenders may require. 

  

	14.11	 Provision of information 

Each Borrower shall promptly provide the Security Trustee with any information which the Lenders request regarding: 

 

	(a)	 the Ship owned by it, its employment, position and engagements; 

 

	(b)	 the Earnings and payments and amounts due to that Ship’s master and crew of that Ship;

  

	(c)	 any expenses incurred, or likely to be incurred, in connection with the operation, maintenance or repair of
that Ship and any payments made in respect of that Ship; 

  

	(d)	 any towages and salvages; 

 

	(e)	 any intended dry-docking of that Ship; 

 

	(f)	 that Borrower’s, the Approved Manager’s compliance or the compliance of that Ship with the ISM Code
and the ISPS Code; and 

  

	(g)	 any other information which the Creditor Parties (or any of them) may reasonably request,

 and, upon the Security Trustee’s request, provide copies of any current charter relating to that Ship, and copies
of that Borrower’s or the Approved Manager’s Document of Compliance or any other document issued under ISM Code Documentation. 
  

	14.12	 Notification of certain events 

Each Borrower shall immediately notify the Security Trustee by letter of: 

 

	(a)	 any casualty which is or is likely to be or to become a Major Casualty; 

 

	(b)	 any occurrence as a result of which the Ship owned by it has become or is, by the passing of time or otherwise,
likely to become a Total Loss; 

  
 52 

	(c)	 any requirement or recommendation made by any insurer or classification society or by any competent authority
which is not complied with in accordance with its terms; 

  

	(d)	 any arrest or detention of the Ship owned by it, any exercise or purported exercise of any lien on the Ship or
its Earnings or any requisition of such Ship for hire; 

  

	(e)	 any dry docking of the Ship owned by it; 

 

	(f)	 any Environmental Claim made against that Borrower or in connection with the Ship owned by it, or any
Environmental Incident; 

  

	(g)	 any claim for breach of the ISM Code or the ISPS Code being made against that Borrower, the Approved Manager or
otherwise in connection with the Ship owned by it; or 

  

	(h)	 any other matter, event or incident, actual or threatened, the effect of which will or could lead to the ISM
Code or the ISPS Code not being complied with, 

 and that Borrower shall keep the Security Trustee advised in writing on a
regular basis and in such detail as the Security Trustee shall require of that Borrower’s, the Approved Manager’s or any other person’s response to any of those events or matters. 

 

	14.13	 Restrictions on chartering, appointment of managers etc. 

No Borrower shall, in relation to the Ship owned by it: 
  

	(a)	 let that Ship on demise charter for any period; 

 

	(b)	 enter into any charter in relation to that Ship under which more than 2 months’ hire (or the equivalent)
is payable in advance; 

  

	(c)	 charter that Ship otherwise than on bona fide arm’s length terms at the time when that Ship is fixed;

  

	(d)	 appoint a manager of that Ship other than the Approved Manager or agree to any material alteration to the terms
of the Approved Manager’s appointment which could lead to an Event of Default (“material alterations” to include, without limitation, alterations concerning fees, duration and parties); 

 

	(e)	 de-activate or lay up that Ship; or 

 

	(f)	 put that Ship into the possession of any person for the purpose of work being done upon her in an amount
exceeding or likely to exceed $500,000 (or the equivalent in any other currency) unless that person has first given to the Security Trustee and in terms satisfactory to it a written undertaking not to exercise any lien on that Ship or her Earnings
for the cost of such work or otherwise. 

  

	14.14	 Notice of Mortgage 

Each Borrower shall keep the Mortgage relative to its Ship registered against its Ship as a valid first priority or the case may be preferred
mortgage, carry on board that Ship a certified copy of that Mortgage and place and maintain in a conspicuous place in the navigation room and the Master’s cabin of that Ship a framed printed notice stating that that Ship is mortgaged by that
Borrower to the Security Trustee. 

  
 53 

	14.15	 Sharing of Earnings 

No Borrower shall: 
  

	(a)	 enter into any agreement or arrangement for the sharing of any Earnings; 

 

	(b)	 enter into any agreement or arrangement for the postponement of any date on which any Earnings are due; the
reduction of the amount of any Earnings or otherwise for the release or adverse alteration of any right of that Borrower to any Earnings; or 

  

	(c)	 enter into any agreement or arrangement for the release of, or adverse alteration to, any guarantee or Security
Interest relating to any Earnings. 

  

	14.16	 Time Charter Assignment 

If a Borrower enters into any Charterparty, that Borrower shall, at the request of the Agent, execute in favour of the Security Trustee a
Charterparty Assignment, and shall deliver to the Agent such other documents equivalent to those referred to at paragraphs 3, 4 and 5 of Part A and 6 of Part B of Schedule 3 hereof as the Agent may require. 

 

	14.17	 ISM Code, ISPS Code compliance and Environmental Laws 

All requirements of the ISM Code, ISPS Code and Environmental Laws as they relate to each Borrower, the Approved Manager, the Ship owned by the
relevant Borrower shall be complied with at all times. 
  

	14.18	 Green scrapping 

 

	(a)	 Each Borrower shall and shall procure that the Corporate Guarantor shall ensure that any scrapping of a ship
owned by it (directly or indirectly) is carried out in accordance with the IMO Convention for the Safe and Environmentally Sound Recycling of Ships. 

  

	(b)	 Each Borrower shall obtain (in its first survey) and to maintain (in subsequent surveys) a green passport
notification (based on the inventory of hazardous materials) for the Ship owned by it from the Approved Classification Society. 

  

	15	 SECURITY COVER 

 

	15.1	 Minimum required security cover 

Clause 15.2 applies if the Agent (acting on the instructions of the Lenders) notifies the Borrowers that the Security Cover Ratio is below (i)
130 per cent. for the first nine financial quarters falling after the date of the first Drawdown Date and (ii) 140 per cent. thereafter. Compliance to this Clause is applicable at all times during the Security Period. 

 

	15.2	 Provision of additional security; prepayment 

If the Agent serves a notice on the Borrowers under Clause 15.1 the Borrowers shall prepay such part (at least) of the Loan as will eliminate
the shortfall on or before the date falling 45 days after the date on which the Agent’s notice is served under Clause 15.1 (the “Prepayment Date”) unless at least 1 Business Day before the Prepayment Date it has
provided, or ensured that a third party has provided, additional security which, in the reasonable opinion of the Lenders, has a net realisable value at least equal to the shortfall is documented in such terms as the Agent, acting reasonably, may
approve or require and, for this purpose, it is agreed that acceptable additional security shall include cash collateral in Dollars (which shall be valued at par). 

  
 54 

 In this Clause 15.2 “security” means a Security Interest over an asset or
assets (whether securing a Borrower’s liabilities under the Finance Documents or a guarantee in respect of those liabilities), or a guarantee, letter of credit or other security (including any cash pledged to the Security Trustee) in respect of
that Borrower’s liabilities under the Finance Documents. 
  

	15.3	 Requirement for additional documents 

The Borrowers shall not be deemed to have complied with Clause 15.2 above until the Agent has received in connection with the additional
security certified copies of documents of the kinds referred to in paragraphs 3, 4 and 5 of Schedule 3, Part A and such legal opinions in terms acceptable to the Majority Lenders from such lawyers as they may select. 

 

	15.4	 Valuation of Ship 

 

	(a)	 The market value of a Ship at any date is that shown (i) in a valuation or (ii) (at the Agent’s
request acting in its sole discretion) by taking the average of 2 valuations, in each case prepared: 

  

	 	(i)	 as at a date not more than 30 days previously; 

 

	 	(ii)	 by an Approved Broker selected by and appointed by the Borrower (unless the Borrower has not appointed an
Approved Broker within 14 days of the Agent’s request in which case the Agent will be entitled to select and appoint an Approved Broker); 

  

	 	(iii)	 with or without physical inspection of that Ship (as the Agent may require); and 

 

	 	(iv)	 on the basis of a sale for prompt delivery for cash on normal arm’s length commercial terms as between a
willing seller and a willing buyer, free of any existing charter or other contract of employment (as the Agent may require). 

  

	(b)	 In case 2 valuations are obtained, by taking the arithmetic average of the 2 valuations provided that if there
is a difference, of 10 per cent. or more between the 2 valuations, a third valuation from an Approved Broker shall be obtained by the Agent and the market value shall be determined as the arithmetic average of the two lowest valuations.

  

	15.5	 Value of additional security 

The net realisable value of any additional security which is provided under Clause 15.1 and which consists of a Security Interest over a vessel
shall be that shown by a valuation complying with the requirements of Clause 15.4. 
  

	15.6	 Valuations binding 

Any valuation under Clause 15.2, 15.4 or 15.5 shall be binding and conclusive as regards the Borrowers, as shall be any valuation which the
Majority Lenders make of a security which does not consist of or include a Security Interest. 

  
 55 

	15.7	 Provision of information 

The Borrowers shall promptly provide the Agent and any Approved Broker or expert acting under Clause 15.4 or 15.5 with any information which
the Agent or the Approved Broker or expert may request for the purposes of the valuation; and, if the Borrowers fail to provide the information by the date specified in the request, the valuation may be made on any basis and assumptions which the
Approved Broker or the Majority Lenders (or the expert appointed by them) consider prudent. 
  

	15.8	 Payment of valuation expenses 

Without prejudice to the generality of the Borrowers’ obligations under Clauses 20.4, 20.6 and 20.5, the Borrowers shall, on demand, pay
the Agent the amount of the fees and expenses of any Approved Broker or expert instructed by the Agent under this Clause and all legal and other expenses incurred by any Creditor Party in connection with any matter arising out of this Clause. 

 

	15.9	 Frequency of valuations 

The Borrowers acknowledge and agree that the Agent may commission valuation(s) of any Ship on a quarterly basis (for the purpose of this Loan
on 31 March, 30 June, 30 September, 31 December), including for the purposes of calculating the Relevant Amount in Clause 8.9 or at such times as the Agent may request on the occurrence of an Event of Default. 

 

	16	 PAYMENTS AND CALCULATIONS 

 

	16.1	 Currency and method of payments 

All payments to be made: 
  

	(a)	 by the Lenders to the Agent; or 

 

	(b)	 by any Borrower to the Agent, the Security Trustee or any Lender, 

under a Finance Document shall be made to the Agent or to the Security Trustee, in the case of an amount payable to it: 

 

	 	(i)	 by not later than 11.00 a.m. (Amsterdam time) on the due date; 

 

	 	(ii)	 in same day Dollar funds settled through the New York Clearing House Interbank Payments System (or in such
other Dollar funds and/or settled in such other manner as the Agent shall specify as being customary at the time for the settlement of international transactions of the type contemplated by this Agreement); 

 

	 	(iii)	 to the account of Agent, as the Agent may from time to time notify to the Borrowers and the other Creditor
Parties; and 

  

	 	(iv)	 in the case of an amount payable to the Security Trustee, to such account as it may from time to time notify to
the Borrowers and the other Creditor Parties. 

  
 56 

	16.2	 Payment on non-Business Day 

If any payment by any Borrower under a Finance Document would otherwise fall due on a day which is not a Business Day: 

 

	(a)	 the due date shall be extended to the next succeeding Business Day; or 

 

	(b)	 if the next succeeding Business Day falls in the next calendar month, the due date shall be brought forward to
the immediately preceding Business Day, 

 and interest shall be payable during any extension under paragraph (a) at
the rate payable on the original due date. 
  

	16.3	 Basis for calculation of periodic payments 

All interest and any other payments under any Finance Document which are of an annual or periodic nature shall accrue from day to day and shall
be calculated on the basis of the actual number of days elapsed and a 360 day year. 
  

	16.4	 Distribution of payments to Creditor Parties 

Subject to Clauses 16.5, 16.6 and 16.7: 
  

	(a)	 any amount received by the Agent under a Finance Document for distribution or remittance to a Lender or the
Security Trustee shall be made available by the Agent to that Lender or, as the case may be, the Security Trustee by payment, with funds having the same value as the funds received, to such account as the Lender or the Security Trustee may have
notified to the Agent not less than 5 Business Days previously; and 

  

	(b)	 amounts to be applied in satisfying amounts of a particular category which are due to the Lenders generally
shall be distributed by the Agent to each Lender pro rata to the amount in that category which is due to it. 

  

	16.5	 Permitted deductions by Agent 

Notwithstanding any other provision of this Agreement or any other Finance Document, the Agent may, before making an amount available to a
Lender, deduct and withhold from that amount any sum which is then due and payable to the Agent from that Lender under any Finance Document or any sum which the Agent is then entitled under any Finance Document to require that Lender to pay on
demand. 
  

	16.6	 Agent only obliged to pay when monies received 

Notwithstanding any other provision of this Agreement or any other Finance Document, the Agent shall not be obliged to make available to the
Borrowers or any Lender any sum which the Agent is expecting to receive for remittance or distribution to the Borrowers or that Lender until the Agent has satisfied itself that it has received that sum. 

 

	16.7	 Refund to Agent of monies not received 

If and to the extent that the Agent makes available a sum to the Borrowers or a Lender, without first having received that sum, the Borrowers
or (as the case may be) the Lender concerned shall, on demand: 

  
 57 

	(a)	 refund the sum in full to the Agent; and 

 

	(b)	 pay to the Agent the amount (as certified by the Agent) which will indemnify the Agent against any funding or
other loss, liability or expense incurred by the Agent as a result of making the sum available before receiving it. 

  

	16.8	 Agent may assume receipt 

Clause 16.7 shall not affect any claim which the Agent has under the law of restitution, and applies irrespective of whether the Agent had any
form of notice that it had not received the sum which it made available. 
  

	16.9	 Creditor Party accounts 

Each Creditor Party shall maintain accounts showing the amounts owing to it by the Borrowers and each Security Party under the Finance
Documents and all payments in respect of those amounts made by the Borrowers and any Security Party. 
  

	16.10	 Agent’s memorandum account 

The Agent shall maintain a memorandum account showing the amounts advanced by the Lenders and all other sums owing to the Agent, the Security
Trustee and each Lender from the Borrowers and each Security Party under the Finance Documents and all payments in respect of those amounts made by the Borrowers and any Security Party. 

 

	16.11	 Accounts prima facie evidence 

If any accounts maintained under Clauses 16.9 and 16.10 show an amount to be owing by a Borrower or a Security Party to a Creditor Party, those
accounts shall be prima facie evidence that that amount is owing to that Creditor Party. 
  

	17	 APPLICATION OF RECEIPTS 

 

	17.1	 Normal order of application 

Except as any Finance Document may otherwise provide, any sums which are received or recovered by any Creditor Party under or by virtue of any
Finance Document shall be applied: 
  

	(a)	 FIRST: in or towards satisfaction of any amounts then due and payable under the Finance Documents in the
following proportions: 

  

	 	(i)	 first, in or towards satisfaction pro rata of all amounts then due and payable to the Creditor Parties under
the Finance Documents other than those amounts referred to at (ii) and (iii) below (including, but without limitation, all amounts payable by any Borrower under Clauses 20, 21 and 22 of this Agreement or by any Borrower or any Security Party
under any corresponding or similar provision in any other Finance Document); 

  

	 	(ii)	 secondly, in or towards satisfaction pro rata of any and all amounts of interest or default interest payable to
the Creditor Parties under the Finance Documents; and 

  

	 	(iii)	 thirdly, in or towards satisfaction of the Loan; 

  
 58 

	(b)	 SECONDLY: in retention of an amount equal to any amount not then due and payable under any Finance Document but
which the Agent, by notice to the Borrowers (or any of them), the Security Parties and the other Creditor Parties, states in its opinion will or may become due and payable in the future and, upon those amounts becoming due and payable, in or towards
satisfaction of them in accordance with the foregoing provisions of this Clause 17.1(a); 

  

	(c)	 THIRDLY: in or towards satisfaction of any amounts representing management fees then due and payable by the
Borrowers (or any of them) to the Approved Manager in connection with the Ships; and 

  

	(d)	 FOURTHLY: any surplus shall be paid to the Borrowers (or any of them) or to any other person appearing to be
entitled to it. 

  

	17.2	 Variation of order of application 

The Agent may, with the authorisation of the Majority Lenders by notice to the Borrowers, the Security Parties and the other Creditor Parties
provide for a different manner of application from that set out in Clause 17.1 either as regards a specified sum or sums or as regards sums in a specified category or categories. 

 

	17.3	 Notice of variation of order of application 

The Agent may give notices under Clause 17.2 from time to time; and such a notice may be stated to apply not only to sums which may be received
or recovered in the future, but also to any sum which has been received or recovered on or after the third Business Day before the date on which the notice is served. 
  

	17.4	 Appropriation rights overridden 

This Clause 17 and any notice which the Agent gives under Clause 17.2 shall override any right of appropriation possessed, and any
appropriation made, by any Borrower or any Security Party. 
  

	18	 APPLICATION OF EARNINGS 

 

	18.1	 Payment of Earnings 

Each Borrower undertakes with each Creditor Party that, throughout the Security Period (and subject only to the provisions of the General
Assignment to which it is a party): 
  

	(a)	 it shall maintain the Earnings Accounts opened in its name (whether individually or jointly) with the Account
Bank; and 

  

	(b)	 it shall ensure that all Earnings of the Ship owned by it are paid to the Earnings Account for that Ship.

  

	18.2	 Application of Earnings 

Each Borrower undertakes with the Lenders that money from time to time credited to, or for the time being standing to the credit of, its
Earnings Account shall, unless and until an Event of Default shall have occurred (whereupon the provisions of Clause 17.1 shall be and become applicable), be available for application in the following manner: 

  
 59 

	(a)	 in or towards making payments of all amounts due and payable by the Borrowers under this Agreement (other than
payments of principal and interest); 

  

	(b)	 in or towards satisfaction of all amounts of interest or default interest payable to the Creditor Parties under
the Finance Documents; 

  

	(c)	 in or towards satisfaction of the Loan; 

 

	(d)	 in or towards making payments of all fees due to the Approved Manager and thereafter meeting the costs and
expenses from time to time incurred by or on behalf of a Borrower in connection with the operation of the Ship owned by it; and 

  

	(e)	 as to any surplus from time to time arising on an Earnings Account following application as aforesaid, to be
paid to the Borrower owning that Ship or to whomsoever it may direct. 

  

	18.3	 Location of account 

Each Borrower shall promptly: 
  

	(a)	 comply with any requirement of the Agent as to the location or
re-location of its Earnings Account; and 

  

	(b)	 execute any documents which the Agent specifies to create or maintain in favour of the Security Trustee a
Security Interest over (and/or rights of set-off, consolidation or other rights in relation to) its Earnings Account. 

  

	18.4	 Debits for expenses etc. 

The Agent shall be entitled (but not obliged) from time to time to debit the Earnings Accounts without prior notice in order to discharge any
amount due and payable under Clause 20 or 21 to a Creditor Party or payment of which any Creditor Party has become entitled to demand under Clause 20 or 21. 
  

	18.5	 Borrowers’ obligations unaffected 

The provisions of this Clause 18 (as distinct from a distribution effected under Clause Error! Reference source not found.18.7 do not
affect: 
  

	(a)	 the liability of the Borrowers to make payments of principal and interest on the due dates; or

  

	(b)	 any other liability or obligation of the Borrowers or any Security Party under any Finance Document.

  

	18.6	 Monthly retentions 

The Borrowers undertake with each Creditor Party to ensure that, on and from the date falling one month after each Drawdown Date, and at
monthly intervals thereafter during the Security Period, there are transferred to the Retention Account out of the Earnings received in the Earnings Accounts during the preceding month: 

 

	(a)	 one-third of the amount of the Repayment Instalment falling due under
Clause 8.1 on the next Repayment Date; and 

  
 60 

	(b)	 the relevant fraction of the aggregate amount of interest on that Advance which is payable on the next due date
for payment of interest under this Agreement, 

  

	(c)	 and the Borrowers irrevocably authorise the Agent to make those transfers (in its sole discretion and without
any obligation) if the Borrowers fail to do so. 

 The “relevant fraction” in relation to paragraph (b),
is a fraction of which: 
  

	 	(i)	 the numerator is one; and 

 

	 	(ii)	 the denominator is: 

  

	 	(A)	 the number of months comprised in the then relevant current Interest Period; or 

 

	 	(B)	 if the amount Interest Period in respect of that Advance and after the next due date for payment of interest
under this Agreement, the number of months from the later of the commencement of the relevant current Interest Period in respect of that Advance or the last due date for payment of interest to the next due date for payment of interest of that
Advance under this Agreement. 

  

	18.7	 Restriction on withdrawal 

During the Security Period no sum may be withdrawn by a Borrower from the Liquidity Account or the Retention Account (other than interest
pursuant to Clause 18.10, provided that no Event of Default has occurred which is continuing), without the prior written consent of the Agent. 

The Borrowers may, in any calendar month, after having transferred and/or after having taken into account all amounts due or which will become
due to be transferred to the Retention Account in such calendar month in accordance with Clause 18.6, withdraw any surplus (a “Surplus”) from the Earnings Accounts (or any of them) as they may think fit for purposes permitted by
this Agreement and the other Finance Documents Provided always no Event of Default or Potential Event of Default has occurred which is continuing in which case any Surplus shall remain on the relevant Earnings Account and the Borrowers may
only withdraw the Surplus (or any part thereof) with the prior written consent of the Agent (acting upon the instructions of the Majority Lenders) in order to satisfy the documented and properly incurred operating expenses of the Ships (or any of
them). 
  

	18.8	 Minimum Liquidity 

Each Borrower shall maintain all Minimum Liquidity amounts pursuant to Clause 11.24 in the Liquidity Account. 

 

	18.9	 Interest accrued on the Liquidity Account 

Any credit balance on the Liquidity Account shall bear interest at the rate from time to time offered by the Account Bank to its customers for
Dollar deposits of similar amounts and for periods similar to those for which such balances appear to the Account Bank likely to remain on the Liquidity Account. 

  
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	18.10	 Release of accrued interest 

Interest accruing under Clause 18.9 shall be credited to the Liquidity Account and may be released to the Borrowers pursuant to Clause 18.7.

  

	19	 EVENTS OF DEFAULT 

 

	19.1	 Events of Default 

An Event of Default occurs if: 
  

	(a)	 any Borrower or any Security Party fails to pay when due or (if so payable) on demand any sum payable under a
Finance Document or under any document relating to a Finance Document unless payment is made within 3 Business Days of such date or, its failure to pay is caused by administrative or technical error, payment is made within 10 days; or

  

	(b)	 any breach occurs of Clause 9.2, 10.15, 10.18, 11.2, 11.3, 11.19, 11.20, 12.2, 12.3, 13.2, 13.3, 14.2, or 14.10
(insofar as that Clause relates to Sanctions Laws) and such default continues unremedied 20 Business Days of receipt of the notice from the Agent; or 

  

	(c)	 any breach under clause 15 or clause 12.3 (financial covenants) of the Corporate Guarantee and such default
continues unremedied 20 Business Days of receipt of the notice from the Agent; 

  

	(d)	 any breach by any Borrower or any Security Party occurs of any provision of a Finance Document (other than a
breach covered by paragraphs (a) or (b) above) if, in the opinion of the Majority Lenders, such default is capable of remedy, and such default continues unremedied 30 Business Days after the earlier of (i) written notice from the Agent
requesting action to remedy the same and (ii) any Borrower becoming aware of such breach; or 

  

	(e)	 (subject to any applicable grace period specified in the Finance Document) any breach by any Borrower or any
Security Party occurs of any provision of a Finance Document (other than a breach covered by paragraphs (a), (b), (c) or(d) above); or 

  

	(f)	 any representation, warranty or statement made or repeated by, or by an officer of, any Borrower or a Security
Party in a Finance Document or in a Drawdown Notice or any other notice or document relating to a Finance Document is untrue or misleading in any material respect when it is made or repeated; or 

 

	(g)	 any of the following occurs in relation to any Financial Indebtedness of a Relevant Person (for an amount
exceeding, in the case of the Corporate Guarantor $10,000,000 and in the case of the Borrowers $500,000 (or the equivalent in any other currency) in aggregate): 

 

	 	(i)	 any Financial Indebtedness of a Relevant Person is not paid when due or, if so payable, on demand; or

  

	 	(ii)	 any Financial Indebtedness of a Relevant Person becomes due and payable or capable of being declared due and
payable prior to its stated maturity date as a consequence of any event of default unless the Relevant Person is contesting the declaration of an event of default or of the Financial Indebtedness becoming due and payable in good faith and on
substantial grounds by appropriate proceedings and adequate reserves have been set aside for its payment if such proceedings fail; or 

  
 62 

	 	(iii)	 a lease, hire purchase agreement or charter creating any Financial Indebtedness of a Relevant Person is
terminated by the lessor or owner as a consequence of any termination event; or 

  

	 	(iv)	 any overdraft, loan, note issuance, acceptance credit, letter of credit, guarantee, foreign exchange or other
facility, or any swap or other derivative contract or transaction, relating to any Financial Indebtedness of a Relevant Person ceases to be available or becomes capable of being terminated as a result of any event of default, or cash cover is
required, or becomes capable of being required, in respect of such a facility as a result of any event of default; or 

  

	 	(v)	 any Security Interest securing any Financial Indebtedness of a Relevant Person becomes enforceable; or

  

	(h)	 any of the following occurs in relation to a Relevant Person: 

 

	 	(i)	 a Relevant Person becomes, in the reasonable opinion of the Lenders, unable to pay its debts as they fall due;
or 

  

	 	(ii)	 any assets of a Relevant Person are subject to any form of execution, attachment, arrest, sequestration or
distress (in respect of a sum of, or sums aggregating, $10,000,000 or more, in the case of the Corporate Guarantor, the equivalent in another currency) and such execution, attachment, arrest, sequestration or distress is not withdrawn or discharged
within thirty (30) days; or 

  

	 	(iii)	 any administrative or other receiver is appointed over any asset of a Relevant Person; or

  

	 	(iv)	 an administrator is appointed (whether by the court or otherwise) in respect of a Relevant Person; or

  

	 	(v)	 any formal declaration of bankruptcy or any formal statement to the effect that a Relevant Person is insolvent
or likely to become insolvent is made by a Relevant Person or by the directors or officers of a Relevant Person or, in any proceedings, by a lawyer acting for a Relevant Person; or 

 

	 	(vi)	 a provisional liquidator is appointed in respect of a Relevant Person, a winding up order is made in relation
to a Relevant Person or a winding up resolution is passed by a Relevant Person; or 

  

	 	(vii)	 a resolution is passed, an administration notice is given or filed, an application or petition to a court is
made or presented or any other step is taken by (aa) a Relevant Person, (bb) the members, shareholders, officers or directors of a Relevant Person, (cc) a holder of Security Interests which together relate to all or substantially all of the
assets of a Relevant Person, or (dd) a government minister or public or regulatory authority of a Pertinent Jurisdiction for or with a view to the winding up of that or another Relevant Person or the appointment of a provisional liquidator or
administrator in respect of that or another Relevant Person, or that or another Relevant Person ceasing or suspending business operations or payments to creditors, save that this paragraph does not apply to a fully solvent winding up of a Relevant
Person other than any Borrower or the Corporate Guarantor which is, or is to be, effected for the purposes of an amalgamation or reconstruction previously approved by the Majority Lenders and effected not later than 3 months after the commencement
of the winding up; or 

  
 63 

	 	(viii)	 an administration notice is given or filed, an application or petition to a court is made or presented or any
other step is taken by a creditor of a Relevant Person (other than a holder of Security Interests which together relate to all or substantially all of the assets of a Relevant Person) for the winding up of a Relevant Person or the appointment of a
provisional liquidator or administrator in respect of a Relevant Person in any Pertinent Jurisdiction, unless the proposed winding up, appointment of a provisional liquidator or administration is being contested in good faith, on substantial grounds
and not with a view to some other insolvency law procedure being implemented instead and either (aa) the application or petition is dismissed or withdrawn within 60 days of being made or presented, or (bb) within 60 days of the administration notice
being given or filed, or the other relevant steps being taken, other action is taken which will ensure that there will be no administration and (in both cases (aa) or (bb)) the Relevant Person will continue to carry on business in the ordinary way
and without being the subject of any actual, interim or pending insolvency law procedure; or 

  

	 	(ix)	 a Relevant Person or its directors or officers take any steps (whether by making or presenting an application
or petition to a court, or submitting or presenting a document setting out a proposal or proposed terms, or otherwise) with a view to obtaining, in relation to that or another Relevant Person, any form of moratorium, suspension or deferral of
payments, reorganisation of debt (or certain debt) or arrangement with all or a substantial proportion (by number or value) of creditors or of any class of them or any such moratorium, suspension or deferral of payments, reorganisation or
arrangement is effected by court order, by the filing of documents with a court, by means of a contract or in any other way at all; or 

  

	 	(x)	 any meeting of the members, shareholders or directors, or of any committee of the board or senior management,
of a Relevant Person is held or summoned for the purpose of considering a resolution or proposal to authorise or take any action of a type described in paragraphs (iv) to (ix) or a step preparatory to such action, or (with or without such a
meeting) the members, shareholders,directors or such a committee resolve or agree that such an action or step should be taken or should be taken if certain conditions materialise or fail to materialise; or 

 

	 	(xi)	 in a country other than England, any event occurs, any proceedings are opened or commenced or any step is taken
which, in the reasonable opinion of the Majority Lenders is similar to any of the foregoing; or 

  

	(i)	 any Borrower or any Security Party ceases or suspends carrying on its business or a part of its business which,
in the reasonable opinion of the Majority Lenders, is material in the context of this Agreement; or 

  

	(j)	 it becomes unlawful in any Pertinent Jurisdiction or impossible: 

 

	 	(i)	 for any Borrower or any Security Party to discharge any liability under a Finance Document or to comply with
any other obligation which the Majority Lenders consider material under a Finance Document; or 

	 	(ii)	 for the Agent, the Security Trustee or the Lenders to exercise or enforce any right under, or to enforce any
Security Interest created by, a Finance Document; or 

  
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	(k)	 any official consent necessary to enable any Borrower to own, operate or charter the Ship owned by it or to
enable any Borrower or any Security Party to comply with any provision which the Majority Lenders reasonably consider material of a Finance Document is not granted, expires without being renewed, is revoked or becomes liable to revocation or any
condition of such a consent is not fulfilled, unless the relevant Borrower contests any denial, expiration or revocation (other than with respect to a Finance Documents) and on the condition that, in the reasonable opinion of the Majority Lenders
(i) there are real prospects of such contest being successfully granted/upheld by the relevant Borrower (ii) such contest being made in good faith; or 

 

	(l)	 it appears to the reasonable opinion of the Majority Lenders that, without their prior written consent:

  

	 	(i)	 a change has occurred or probably has occurred after the date of this Agreement in the legal or direct
beneficial ownership of any of the shares in any Borrower or the Shareholder in the voting rights attaching to any of those shares; or 

  

	 	(ii)	 a Change of Control has occurred or probably has occurred after the date of this Agreement; or

  

	 	(iii)	 the Corporate Guarantor ceases being the direct legal and beneficial owner of the shares in the Shareholder and
the voting rights attaching to those shares; or 

  

	 	(iv)	 the units of the Corporate Guarantor cease to be listed on the New York Stock Exchange (NYSE) or any other US
or European stock exchange acceptable to the Agent; or 

  

	(m)	 any provision which the Majority Lenders consider material of a Finance Document proves to have been or becomes
invalid or unenforceable, or a Security Interest created by a Finance Document proves to have been or becomes invalid or unenforceable or such a Security Interest proves to have ranked after, or loses its priority to, another Security Interest or
any other third party claim or interest; or 

  

	(n)	 the security constituted by a Finance Document is in any way imperilled or in jeopardy; or

  

	(o)	 any other event occurs or any other circumstances arise or develop including, without limitation:

  

	 	(i)	 a Material Adverse Change in the business, condition (financial or otherwise), operation, state of affairs or
prospects of any Borrower, the Corporate Guarantor or the Group; or 

  

	 	(ii)	 any accident or other event involving any Ship or another vessel owned, chartered or operated by a Relevant
Person, 

 in the light of which the Majority Lenders reasonably consider that there is a significant risk that any
Security Party is, or will later become, unable to discharge its liabilities under the Finance Documents as they fall due or the enforceability of any Finance Document may be adversely affected; or 

  
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	(p)	 any Borrower, the Approved Manager or any Security Party or any other person (other than a Creditor Party)
repudiates any of the Finance Documents to which that Borrower, the Approved Manager or that Security Party or person is a party; or 

  

	(q)	 any litigation, arbitration or administrative proceedings or investigations of, or before, any court, arbitral
body or agency are started or threatened, or any judgment or order of a court, arbitral body or agency is made, in relation to any of the Finance Documents or the transactions contemplated in any of the Finance Documents or against any Borrower, the
Approved Manager or any Security Party or its assets which has a Material Adverse Effect. 

  

	19.2	 Actions following an Event of Default 

On, or at any time after, the occurrence of an Event of Default: 
  

	(a)	 the Agent may, and if so instructed by the Majority Lenders, the Agent shall: 

 

	 	(i)	 serve on the Borrowers a notice stating that all or part of the Commitments and all other obligations of each
Lender to the Borrowers under this Agreement are terminated; and/or 

  

	 	(ii)	 serve on the Borrowers a notice stating that all or part of the Loan, all accrued interest and all other
amounts accrued or owing under this Agreement are immediately due and payable or are due and payable on demand; and/or 

  

	 	(iii)	 take any other action which, as a result of the Event of Default or any notice served under paragraph
(i) or (ii) above, the Agent and/or the Lenders are entitled to take under any Finance Document or any applicable law; and/or 

  

	(b)	 the Security Trustee may, and if so instructed by the Agent, acting with the authorisation of the Lenders, the
Security Trustee shall take any action which, as a result of the Event of Default or any notice served under paragraph (a) (i) or (ii) above, the Security Trustee, the Agent, the Mandated Lead Arranger and/or the Majority Lenders are entitled
to take under any Finance Document or any applicable law. 

  

	19.3	 Termination of Commitments 

On the service of a notice under paragraph (a)(i) of Clause 19.2, the Commitments and all other obligations of each Lender to the Borrowers
under this Agreement shall terminate. 
  

	19.4	 Acceleration of Loan 

On the service of a notice under paragraph (a)(ii) of Clause 19.2, the Loan, all accrued interest and all other amounts accrued or owing from
the Borrowers or any Security Party under this Agreement and every other Finance Document shall become immediately due and payable or, as the case may be, payable on demand. 
  

	19.5	 Multiple notices; action without notice 

The Agent may serve notices under paragraphs (a) (i) and (ii) of Clause 19.2 simultaneously or on different dates and it and/or the
Security Trustee may take any action referred to in that Clause if no such notice is served or simultaneously with or at any time after the service of both or either of such notices. 

  
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	19.6	 Notification of Creditor Parties and Security Parties 

The Agent shall send to each Lender, the Security Trustee and each Security Party a copy or the text of any notice which the Agent serves on
the Borrowers under Clause 19.2; but the notice shall become effective when it is served on the Borrowers, and no failure or delay by the Agent to send a copy or the text of the notice to any other person shall invalidate the notice or provide the
Borrowers or any Security Party with any form of claim or defence. 
  

	19.7	 Creditor Party’s rights unimpaired 

Nothing in this Clause shall be taken to impair or restrict the exercise of any right given to individual Lenders under a Finance Document or
the general law; and, in particular, this Clause is without prejudice to Clause 3.1. 
  

	19.8	 Exclusion of Creditor Party Liability 

No Creditor Party, and no receiver or manager appointed by the Security Trustee, shall have any liability to the Borrowers or a Security Party:

  

	(a)	 for any loss caused by an exercise of rights under, or enforcement of a Security Interest created by, a Finance
Document or by any failure or delay to exercise such a right or to enforce such a Security Interest; or 

  

	(b)	 as mortgagee in possession or otherwise, for any income or principal amount which might have been produced by
or realised from any asset comprised in such a Security Interest or for any reduction (however caused) in the value of such an asset, 

except that this does not exempt a Creditor Party or a receiver or manager from liability for losses shown to have been caused by the gross
negligence or the wilful misconduct of such Creditor Party’s own officers and employees or (as the case may be) such receiver’s or manager’s own partners or employees. 

 

	19.9	 Relevant Persons 

In this Clause 19, a “Relevant Person” means a Borrower, a Security Party (excluding the Approved Manager), and any company
which is a subsidiary of any Borrower or of a Security Party or of which any Borrower is a subsidiary. 
  

	19.10	 Interpretation 

In Clause 19.1(h) references to an event of default or a termination event include any event, howsoever described, which is similar to an event
of default in a facility agreement or a termination event in a finance lease; and in Clause 19.1(i) “petition” includes an application. 
  

	20	 FEES AND EXPENSES 

 

	20.1	 Commitment fee 

The Borrowers shall pay to the Agent a non-refundable commitment fee, at the rate of 1.00 per
cent. per annum on the undrawn or un-cancelled amount of the Total Commitments, payable quarterly in arrears for distribution among the Lenders pro rata to their Commitments, during the period from (and
including) the date of this Agreement to the earlier of (i) the last Drawdown Date to occur under the Loan Agreement and (ii) the last day of the Availability Period (and on the last day of such period). 

  
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	20.2	 Arrangement fee 

The Borrowers shall pay to the Agent on the date of this Agreement, a non-refundable arrangement fee in
the amount set out in the Fee Letter. 
  

	20.3	 Agency fee 

The Borrowers shall pay to the Agent on the date of this Agreement and on each anniversary thereof a
non-refundable annual fee in the amount of $10,000 per Lender. 
  

	20.4	 Prepayment and cancellation fee 

 

	(a)	 Subject to paragraph (c) below, the Borrowers must pay to the Agent for distribution to each pro rata to
their Commitment Lender a prepayment and cancellation fee on the date of prepayment of all or any part of the Loan and on the date of cancellation of any part of the Total Commitments. 

 

	(b)	 The amount of the prepayment and cancellation fee is: 

 

	 	(i)	 if the prepayment or cancellation occurs on or before the first anniversary of the first Drawdown Date,
2 per cent. of the amount prepaid or cancelled; 

  

	 	(ii)	 if the prepayment or cancellation occurs after the first but on or before the second anniversary of the first
Drawdown Date, 1 per cent. of the amount prepaid or cancelled; and 

  

	 	(iii)	 if the prepayment or cancellation occurs after the second but on or before the third anniversary of the first
Drawdown Date, 0.5 per cent. of the amount prepaid or cancelled; and 

  

	 	(iv)	 if the prepayment occurs after the date falling on the third anniversary of the Drawdown Date, no amount of
prepayment and cancellation fee shall be payable; 

  

	(c)	 No prepayment or cancellation fee shall be payable under this Clause if the prepayment or cancellation is made
under Clause 5.7, 8.9(a) (on the basis that the sale of the relevant Ship is to a third party not affiliated to the Group), 8.9(b), cancellation of the Loan pursuant to Clause 4.2(b), Clause 15.2, Clause 24 or pursuant to a refinancing with NIBC
Bank N.V. or any other refinancing if NIBC Bank N.V. has been invited to refinance and is unable to. 

  

	(d)	 Provided however that if any Ship is refinanced by the Term B Loan or any Term B facility that
refinances in whole or in part the Term B Loan, the applicable prepayment fee shall be reduced by 50%. 

  

	20.5	 Costs of negotiation, preparation etc. 

The Borrowers shall pay to the Agent on its demand the amount of all expenses incurred by the Agent or the Security Trustee in connection with
the negotiation, preparation, execution or registration of any Finance Document or any related document or with any transaction contemplated by a Finance Document or a related document (including, without limitation, out of pocket expenses, legal
fees and any related VAT). 

  
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	20.6	 Costs of variations, amendments, enforcement etc. 

The Borrowers shall pay to the Agent, on the Agent’s demand, the amount of all documented expenses incurred by a Creditor Party in
connection with: 
  

	(a)	 any amendment or supplement to a Finance Document, or any proposal for such an amendment to be made;

  

	(b)	 any consent or waiver by the Lenders, the Majority Lenders or the Creditor Party concerned under or in
connection with a Finance Document, or any request for such a consent or waiver; 

  

	(c)	 the valuation of any security provided or offered under Clause 15 or any other matter relating to such
security; 

  

	(d)	 where the Agent, acting on the instructions of the Majority Lenders, considers that there has been a material
change to the insurances in respect of a Ship, the review of the insurances of a Ship pursuant to Clause 13.18; 

  

	(e)	 the opinions of the independent insurance consultant referred to in paragraph 5 of Part B, Schedule 3; and

  

	(f)	 any step taken by any Lender concerned with a view to the protection, exercise or enforcement of any right or
Security Interest created by a Finance Document or for any similar purpose. 

 There shall be recoverable under paragraph
(d) the full amount of all legal expenses, whether or not such as would be allowed under rules of court or any taxation or other procedure carried out under such rules. 
  

	20.7	 Documentary taxes 

The Borrowers shall promptly pay any tax payable on or by reference to any Finance Document, and shall, on the Agent’s demand, fully
indemnify each Creditor Party against any liabilities, claims losses and expenses resulting from any failure or delay by the Borrowers to pay such a tax. 
  

	20.8	 Certification of amounts 

A notice which is signed by two officers of a Creditor Party, which states that a specified amount, or aggregate amount, is due to that
Creditor Party under this Clause 20 and which indicates (without necessarily specifying a detailed breakdown) the matters in respect of which the amount, or aggregate amount, is due shall be prima facie evidence that the amount, or aggregate amount,
is due. 
  

	21	 INDEMNITIES 

  

	21.1	 Indemnities regarding borrowing and repayment of Loan 

The Borrowers shall fully indemnify the Agent and each Lender on the Agent’s demand and the Security Trustee on its demand in respect of
all claims, expenses, liabilities and losses which are made or brought against or incurred by that Creditor Party, or which that Creditor Party reasonably and with due diligence estimates that it will incur, as a result of or in connection with:

  
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	(a)	 an Advance not being borrowed on the date specified in the Drawdown Notice for any reason other than a default
by the Lender claiming the indemnity; 

  

	(b)	 the receipt or recovery of all or any part of the Loan or an overdue sum otherwise than on the last day of an
Interest Period or other relevant period including, without limitation, where such receipt or recovery is made as a result of the voluntary or mandatory repayment or prepayment of the Loan, or any part thereof; 

 

	(c)	 any failure (for whatever reason) by the Borrowers to make payment of any amount due under a Finance Document
on the due date or, if so payable, on demand (after giving credit for any default interest paid by the Borrowers on the amount concerned under Clause 7); 

  

	(d)	 any claim, action, civil penalty or fine against, any settlement, and any other kind of loss or liability, and
all reasonable costs and expenses (including reasonable counsel fees and disbursements) incurred by the Agent or any Lender as a result of conduct of any Borrower any Security Party or any of their partners, directors, officers, employees, agents or
advisors, that violates any Sanctions Laws; and 

  

	(e)	 the occurrence and/or continuance of an Event of Default and/or the acceleration of repayment of the Loan under
Clause 18.6, 

 and in respect of any tax (other than tax on its overall net income or a FATCA Deduction) for which a
Creditor Party is liable in connection with any amount paid or payable to that Creditor Party (whether for its own account or otherwise) under any Finance Document. 

Without prejudice to its generality, this Clause 21.1 covers any claims, expenses, liabilities and losses which arise, or are asserted, under
or in connection with any law relating to safety at sea, the ISM Code, the ISPS Code, any Environmental Law or any Sanctions Laws. 
  

	21.2	 Break costs 

  

	(a)	 The Borrowers shall, within 3 Business Days of demand by a Creditor Party, pay to that Creditor Party its Break
Costs attributable to all or any part of the relevant Advance or Unpaid Sum being paid by a Borrower on a day other than the last day of an Interest Period for that Advance, the relevant part of that Advance or that Unpaid Sum.

  

	(b)	 Each Lender shall, as soon as reasonably practicable after a demand by the Agent, provide a certificate
confirming the amount of its Break Costs for any Interest Period in which they accrue. 

  

	21.3	 Miscellaneous indemnities 

The Borrowers shall fully indemnify each Creditor Party severally on their respective demands in respect of all claims, demands, proceedings,
liabilities, taxes, losses and expenses of every kind (“liability items”) which may be made or brought against, or incurred by, a Creditor Party, in any country, in relation to: 

 

	(a)	 any action taken, or omitted or neglected to be taken, under or in connection with any Finance Document by the
Agent, the Security Trustee or any other Creditor Party or by any receiver appointed under a Finance Document; and 

  
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	(b)	 any other event, matter or question which occurs or arises at any time during the Security Period and which has
any connection with, or any bearing on, any Finance Document, any payment or other transaction relating to a Finance Document or any asset covered (or previously covered) by a Security Interest created (or intended to be created) by a Finance
Document, 

 other than claims, expenses, liabilities and losses which are shown to have been directly and mainly caused by
the dishonesty or wilful misconduct of the officers or employees of the Creditor Party concerned. 
  

	21.4	 Extension of indemnities; environmental indemnity 

Without prejudice to its generality, Clause 21.2(a) covers: 
  

	(a)	 any matter which would be covered by Clause 21.2(a) if any of the references in that Clause to a Lender were a
reference to the Agent or (as the case may be) to the Security Trustee; and 

  

	(b)	 any liability items which arise, or are asserted, under or in connection with any law relating to safety at
sea, pollution or the protection of the environment, the ISM Code, the ISPS Code or any Environmental Law. 

  

	21.5	 Currency indemnity 

If any sum due from a Borrower or any Security Party to a Creditor Party under a Finance Document or under any order or judgment relating to a
Finance Document has to be converted from the currency in which the Finance Document provided for the sum to be paid (the “Contractual Currency”) into another currency (the “Payment Currency”) for the purpose of:

  

	(a)	 making or lodging any claim or proof against a Borrower or any Security Party, whether in its liquidation, any
arrangement involving it or otherwise; or 

  

	(b)	 obtaining an order or judgment from any court or other tribunal; or 

 

	(c)	 enforcing any such order or judgment, 

the Borrowers shall indemnify the Creditor Party concerned against the loss arising when the amount of the payment actually received by that
Creditor Party is converted at the available rate of exchange into the Contractual Currency. 
 In this Clause 21.5, the “available
rate of exchange” means the rate at which the Creditor Party concerned is able at the opening of business (London time) on the Business Day after it receives the sum concerned to purchase the Contractual Currency with the Payment Currency.

 This Clause 21.5 creates a separate liability of each Borrower which is distinct from its other liabilities under the Finance Documents
and which shall not be merged in any judgment or order relating to those other liabilities. 

  
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	21.6	 Certification of amounts 

A notice which is signed by 2 officers of a Creditor Party, which states that a specified amount, or aggregate amount, is due to that Creditor
Party under this Clause 21 and which indicates (without necessarily specifying a detailed breakdown of the amounts due) the matters in respect of which the amount, or aggregate amount, is due shall be prima facie evidence that the amount, or
aggregate amount, is due. 
  

	21.7	 Sums deemed due to a Lender 

For the purposes of this Clause 21, a sum payable by the Borrowers to the Agent or the Security Trustee for distribution to a Lender shall be
treated as a sum due to that Lender. 
  

	21.8	 Sanctions 

  

	(a)	 The Borrowers shall, within three (3) Business Days of demand by a Creditor Party, indemnify each Creditor
Party against any cost, loss or liability incurred by it as a result of any civil penalty or fine against, and all reasonable costs and expenses (including reasonable counsel fees and disbursements) incurred in connection with the defence thereof
by, the Agent or any Lender as a result of conduct of the Borrowers or any Security Party or any of their partners, directors, officers, employees, agents or advisors, that violates any Sanctions. 

 

	(b)	 The indemnity in Clause 21.8(a) above shall cover any losses incurred by each Creditor Party in any
jurisdiction arising or asserted under or in connection with any law relating to any Sanctions. 

  

	22	 NO SET-OFF OR TAX DEDUCTION 

 

	22.1	 No deductions 

All amounts due from the Borrowers under a Finance Document shall be paid: 

 

	(a)	 without any form of set-off, cross-claim or condition; and

  

	(b)	 free and clear of any tax deduction except a tax deduction which a Borrower is required by law to make.

  

	22.2	 Grossing-up for taxes 

If a Borrower is required by law to make a tax deduction from any payment: 

 

	(a)	 that Borrower shall notify the Agent as soon as it becomes aware of the requirement; 

 

	(b)	 that Borrower shall pay the tax deducted to the appropriate taxation authority promptly, and in any event
before any fine or penalty arises; and 

  

	(c)	 the amount due in respect of the payment shall be increased by the amount necessary to ensure that each
Creditor Party receives and retains (free from any liability relating to the tax deduction) a net amount which, after the tax deduction, is equal to the full amount which it would otherwise have received. 

  
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	22.3	 Evidence of payment of taxes 

Within 1 month after making any tax deduction, the Borrower concerned shall deliver to the Agent documentary evidence satisfactory to the Agent
that the tax had been paid to the appropriate taxation authority. 
  

	22.4	 Exclusion of tax on overall net income 

In this Clause 22 “tax deduction” means any deduction or withholding for or on account of any present or future tax except tax
on a Creditor Party’s overall net income or a FATCA Deduction. 
  

	22.5	 FATCA information 

 

	(a)	 Subject to paragraph (c) below, each party to the Finance Documents shall, within 5 Business Days of a
reasonable request by another party to the Finance Documents: 

  

	 	(i)	 confirm to that other party whether it is: 

 

	 	(A)	 a FATCA Exempt Party; or 

 

	 	(B)	 not a FATCA Exempt Party; and 

 

	 	(ii)	 supply to that other party such forms, documentation and other information relating to its status under FATCA
as that other party reasonably requests for the purposes of that other party’s compliance with FATCA; and 

  

	 	(iii)	 supply to that other party such forms, documentation and other information relating to its status as that other
party reasonably requests for the purposes of that other party’s compliance with any other law, regulation or exchange of information regime; 

  

	(b)	 if a party to any Finance Document confirms to another party pursuant to
sub-paragraph (i) of paragraph (a) above that it is a FATCA Exempt Party and it subsequently becomes aware that it is not, or has ceased to be a FATCA Exempt Party, that party shall notify that other
party reasonably promptly; 

  

	(c)	 paragraph (a) above shall not oblige any Creditor Party, and paragraph (a)(iii) above shall not oblige any
other Party to a Finance Document, to do anything which would or might in its reasonable opinion constitute a breach of: 

  

	 	(i)	 any law or regulation; 

 

	 	(ii)	 any fiduciary duty; or 

 

	 	(iii)	 any duty of confidentiality; 

 

	(d)	 if a party to any Finance Document fails to confirm whether or not it is a FATCA Exempt Party or to supply
forms, documentation or other information requested in accordance with paragraph (a)(i) or (ii) above (including, for the avoidance of doubt, where paragraph (c) above applies), then such party shall be treated for the purposes of the
Finance Documents as if it is not a FATCA Exempt Party until such time as the party in question provides the requested confirmation, forms, documentation or other information. 

  
 73 

	(e)	 If a Borrower is or becomes a US Tax Obligor or a FATCA FFI, it shall as soon as reasonably practicable inform
the Agent of the same; 

  

	(f)	 Where the Agent reasonably believes that its obligations under FATCA require it, the relevant Borrower or the
relevant Security Party shall provide the Agent, upon request, with a W-8 BEN-E form (or any successor form) or any other forms or documentation the Agent may reasonably
require, as soon as reasonably practicable. The Agent shall not be liable for any action which it takes or refrains from taking under or in connection with this paragraph (f); 

 

	(g)	 If a Borrower is or becomes a US Tax Obligor or a FATCA FFI, or where the Agent reasonably believes that its
obligations under FATCA require it, each Creditor Party shall, within 10 Business Days of the date of a request from the Agent supply to the Agent: 

  

	 	(i)	 a withholding certificate on Form W-8 or Form W-9 (or any successor form) (as applicable); and/or 

  

	 	(ii)	 any withholding statement and other documentation, authorisations and waivers as the Agent may require to
certify or establish the status of such Creditor Party under FATCA, 

 the Agent shall provide any withholding certificate,
withholding statement, documentation, authorisations and waivers it receives from a Creditor Party pursuant to this paragraph (g) to that Borrower or the relevant Security Party and shall be entitled to rely on any such withholding certificate,
withholding statement, documentation, authorisations and waivers provided without further verification. The Agent shall not be liable for any action which it takes or refrains from taking under or in connection with this paragraph (g); and 

 

	(h)	 The Borrowers, each Security Party and each Creditor Party agrees that if any withholding certificate,
withholding statement, documentation, authorisations and waivers provided to the Agent pursuant to paragraphs (f) to (g) above is or becomes materially inaccurate or incomplete, it shall promptly update such withholding certificate, withholding
statement, documentation, authorisations and waivers or promptly notify the Agent in writing of its legal inability to do so. The Agent shall, if applicable, provide any such updated withholding certificate, withholding statement, documentation,
authorisations and waivers to the Borrowers or the relevant Security Party. The Agent shall not be liable for any action which it takes or refrains from taking under or in connection with this paragraph (h). 

 

	22.6	 FATCA Deduction 

 

	(a)	 Each party to a Finance Document may make any FATCA Deduction it is required to make by FATCA, and any payment
required in connection with that FATCA Deduction, and shall not be required to increase any payment in respect of which it makes such a FATCA Deduction or otherwise compensate the recipient of the payment for that FATCA Deduction.

  

	(b)	 Each party to a Finance Document shall promptly, upon becoming aware that it must make a FATCA Deduction (or
that there is any change in the rate or the basis of such FATCA Deduction), notify the party to a Finance Document to whom it is making the payment and, in addition, shall notify the Borrowers and the Agent and the Agent shall notify the other
Creditor Parties. 

  
 74 

	23	 ILLEGALITY, ETC 

 

	23.1	 Illegality 

This Clause 23 applies if a Lender (the “Notifying Lender”) notifies the Agent that it has become, or will with effect from a
specified date, become: 
  

	(a)	 unlawful or prohibited as a result of the introduction of a new law, an amendment to an existing law or a
change in the manner in which an existing law is or will be interpreted or applied; or 

  

	(b)	 contrary to, or inconsistent with, any regulation, 

for the Notifying Lender to maintain or give effect to any of its obligations under this Agreement in the manner contemplated by this
Agreement. 
  

	23.2	 Notification of illegality 

The Agent shall promptly notify the Borrowers, the Security Parties, the Security Trustee and the other Lenders of the notice under Clause 23.1
which the Agent receives from the Notifying Lender. 
  

	23.3	 Prepayment; termination of Commitment 

On the Agent notifying the Borrowers under Clause 23.2, the Notifying Lender’s Commitment shall terminate; and thereupon or, if later, on
the date specified in the Notifying Lender’s notice under Clause 23.1 as the date on which the notified event would become effective the Borrowers shall prepay the Notifying Lender’s Contribution in accordance with Clause 8. 

 

	24	 INCREASED COSTS 

 

	24.1	 Increased costs 

 

	(a)	 Each Borrower shall, within 3 Business Days of a demand by the Agent, pay for the account of a Creditor Party
the amount of any Increased Costs incurred by that Creditor Party or any of its affiliates as a result of: 

  

	 	(i)	 the introduction of or any change in (or in the interpretation, administration or application of) any law or
regulation; or 

  

	 	(ii)	 compliance with any law or regulation made, 

after the date of this Agreement. 
  

	(b)	 In this Agreement, “Increased Costs” means: 

 

	 	(i)	 a reduction in the rate of return from the Loan or on a Creditor Party’s (or its affiliate’s) overall
capital; 

  

	 	(ii)	 an additional or increased cost; or 

 

	 	(iii)	 a reduction of any amount due and payable under any Finance Document, 

  
 75 

 which is incurred or suffered by a Creditor Party or any of its affiliates to the extent
that it is attributable to that Creditor Party having entered into its Commitment or funding or performing its obligations under any Finance Document and, for the avoidance of doubt, includes any Increased Costs incurred or suffered by a Creditor
Party or any of its affiliates as a result of or with connection to Basel III, IFRS-9 or any other changes in relevant reporting standards, 

but not an item attributable to a change in the rate of tax on the overall net income of the Notifying Lender (aa) (or a parent company of it)
or (bb) an item covered by the indemnity for tax in Clause 21.1 or by Clause 22 or (cc) a FATCA Deduction. 
  

	24.2	 Increased cost claims 

 

	(a)	 A Creditor Party (the “Notifying Lender”) intending to make a claim pursuant to Clause 24.1
shall notify the Agent of the event giving rise to the claim, following which the Agent shall promptly notify the Borrower. 

  

	(b)	 Each Creditor Party shall, as soon as practicable after a demand by the Agent, provide a certificate confirming
the amount of its Increased Costs. 

  

	24.3	 Notification to Borrowers of claim for increased costs 

The Agent shall promptly notify the Borrowers and the Security Parties of the notice which the Agent received from the Notifying Lender under
Clause 24.2. 
  

	24.4	 Payment of increased costs 

The Borrowers shall pay to the Agent, on the Agent’s demand, for the account of the Notifying Lender the amounts which the Agent from time
to time notifies the Borrowers that the Notifying Lender has specified to be necessary to compensate the Notifying Lender for the increased cost. 
  

	24.5	 Notice of prepayment 

If the Borrowers are not willing to continue to compensate the Notifying Lender for the increased cost under Clause 24.4, the Borrowers may
give the Agent not less than 15 days’ notice of their intention to prepay the Notifying Lender’s Contribution at the end of an Interest Period and/or to cancel the Notifying Lender’s Available Commitment. 

 

	24.6	 Prepayment; termination of Commitment 

A notice under Clause 24.5 shall be irrevocable; the Agent shall promptly notify the Notifying Lender of the Borrowers’ notice of intended
prepayment; and: 
  

	(a)	 on the date on which the Agent serves that notice, the Commitment of the Notifying Lender shall be cancelled;
and 

  

	(b)	 on the date specified in its notice of intended prepayment, the Borrowers shall prepay (without premium or
penalty) the Notifying Lender’s Contribution, together with accrued interest thereon at the applicable rate plus the Margin. 

  
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	24.7	 Application of prepayment 

Clause 8 shall apply in relation to the prepayment. 
  

	25	 SET-OFF 

 

	25.1	 Application of credit balances 

Each Creditor Party may without prior notice: 
  

	(a)	 apply any balance (whether or not then due) which at any time stands to the credit of any account in the name
of a Borrower at any office in any country of that Creditor Party in or towards satisfaction of any sum then due from that Borrower to that Creditor Party under any of the Finance Documents; and 

 

	(b)	 for that purpose: 

  

	 	(i)	 break, or alter the maturity of, all or any part of a deposit of that Borrower; 

 

	 	(ii)	 convert or translate all or any part of a deposit or other credit balance into Dollars; and

  

	 	(iii)	 enter into any other transaction or make any entry with regard to the credit balance which the Creditor Party
concerned considers appropriate. 

  

	25.2	 Existing rights unaffected 

No Creditor Party shall be obliged to exercise any of its rights under Clause 25.1; and those rights shall be without prejudice and in addition
to any right of set-off, combination of accounts, charge, lien or other right or remedy to which a Creditor Party is entitled (whether under the general law or any document). 

 

	25.3	 Sums deemed due to a Lender 

For the purposes of this Clause 25, a sum payable by the Borrowers to the Agent or the Security Trustee for distribution to, or for the account
of, a Lender shall be treated as a sum due to that Lender; and each Lender’s proportion of a sum so payable for distribution to, or for the account of, the Lenders shall be treated as a sum due to such Lender. 

 

	25.4	 No Security Interest 

This Clause 25 gives the Creditor Parties a contractual right of set off only and does not create any equitable charge or other Security
Interest over any credit balance of any Borrower. 
  

	26	 TRANSFERS AND CHANGES IN LENDING OFFICES 

 

	26.1	 Transfer by Borrowers and the Corporate Guarantor 

No Borrower will: 
  

	(a)	 transfer any of its rights or obligations under any Finance Document; or 

 

	(b)	 enter into any merger, de-merger or other reorganisation, or carry out
any other act, as a result of which any of its rights or liabilities would vest in, or pass to, another person. 

  
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	26.2	 Transfer by a Lender 

Subject to Clause 26.4, a Lender (the “Transferor Lender”) may, without the prior consent of the Borrowers and without having
to consult any of them, at any time allow: 
  

	(a)	 its rights in respect of all or part of its Contribution; or 

 

	(b)	 its obligations in respect of all or part of its Commitment; or 

 

	(c)	 a combination of (a) and (b), 

to be (in the case of its rights) transferred to, or (in the case of its obligations) assumed by, (i) another bank or financial
institution or (ii) a trust, fund or other entity which is regularly engaged in or established for the purpose of making, purchasing or investing in loans, securities or other financial assets which is advised by or the assets of which are
managed or serviced by the Lender, (a “Transferee Lender”), by delivering to the Agent a completed certificate in the form set out in Schedule 4 with any modifications approved or required by the Agent (a “Transfer
Certificate”) executed by the Transferor Lender and the Transferee Lender. 
 However any rights and obligations of the Transferor
Lender in its capacity as Agent or Security Trustee will have to be dealt with separately in accordance with the Agency and Trust Deed. 
  

	26.3	 Transfer Certificate, delivery and notification 

As soon as reasonably practicable after a Transfer Certificate is delivered to the Agent, it shall (unless it has reason to believe that the
Transfer Certificate may be defective): 
  

	(a)	 sign the Transfer Certificate on behalf of itself, each Borrower, the Security Parties, the Security Trustee
and each of the other Lenders, upon completion of its “know your customer” checks in relation to the relevant Transferee Lender; 

  

	(b)	 on behalf of the Transferee Lender, send to each Borrower and each Security Party letters or faxes notifying
them of the Transfer Certificate and attaching a copy of it; and 

  

	(c)	 send to the Transferee Lender copies of the letters or faxes sent under paragraph (b) above.

  

	26.4	 Effective Date of Transfer Certificate 

A Transfer Certificate becomes effective on the date, if any, specified in the Transfer Certificate as its effective date Provided that
it is signed by the Agent under Clause 26.3 on or before that date. 
  

	26.5	 No transfer without Transfer Certificate 

No assignment or transfer of any right or obligation of a Lender under any Finance Document is binding on, or effective in relation to, any
Borrower, any Security Party, the Agent or the Security Trustee unless it is effected, evidenced or perfected by a Transfer Certificate. 

  
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	26.6	 Effect of Transfer Certificate 

A Transfer Certificate takes effect in accordance with English law as follows: 

 

	(a)	 to the extent specified in the Transfer Certificate, all rights and interests (present, future or contingent)
which the Transferor Lender has under or by virtue of the Finance Documents are assigned to the Transferee Lender absolutely, free of any defects in the Transferor Lender’s title and of any rights or equities which the Borrowers or any Security
Party had against the Transferor Lender; 

  

	(b)	 the Transferor Lender’s Commitment is discharged to the extent specified in the Transfer Certificate;

  

	(c)	 the Transferee Lender becomes a Lender with the Contribution previously held by the Transferor Lender and a
Commitment of an amount specified in the Transfer Certificate; 

  

	(d)	 the Transferee Lender becomes bound by all the provisions of the Finance Documents which are applicable to the
Lenders generally, including those about pro-rata sharing and the exclusion of liability on the part of, and the indemnification of, the Agent and the Security Trustee and, to the extent that the Transferee
Lender becomes bound by those provisions (other than those relating to exclusion of liability), the Transferor Lender ceases to be bound by them; 

  

	(e)	 any part of the Loan which the Transferee Lender advances after the Transfer Certificate’s effective date
ranks in point of priority and security in the same way as it would have ranked had it been advanced by the transferor, assuming that any defects in the transferor’s title and any rights or equities of any Borrower or any Security Party against
the Transferor Lender had not existed; 

  

	(f)	 the Transferee Lender becomes entitled to all the rights under the Finance Documents which are applicable to
the Lenders generally, including but not limited to those relating to the Majority Lenders and those under Clause 5.7 and Clause 20, and to the extent that the Transferee Lender becomes entitled to such rights, the Transferor Lender ceases to be
entitled to them; and 

  

	(g)	 in respect of any breach of a warranty, undertaking, condition or other provision of a Finance Document or any
misrepresentation made in or in connection with a Finance Document, the Transferee Lender shall be entitled to recover damages by reference to the loss incurred by it as a result of the breach or misrepresentation, irrespective of whether the
original Lender would have incurred a loss of that kind or amount. 

 The rights and equities of any Borrower or any
Security Party referred to above include, but are not limited to, any right of set off and any other kind of cross-claim. 
  

	26.7	 Maintenance of register of Lenders 

During the Security Period the Agent shall maintain a register in which it shall record the name, Commitment, Contribution and administrative
details (including the lending office) from time to time of each Lender holding a Transfer Certificate and the effective date (in accordance with Clause 26.4) of the Transfer Certificate; and the Agent shall make the register available for
inspection by any Lender, the Security Trustee and the Borrowers during normal banking hours, subject to receiving at least 3 Business Days prior notice not more than once a month. 

  
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	26.8	 Reliance on register of Lenders 

The entries on that register shall, in the absence of manifest error, be conclusive in determining the identities of the Lenders and the
amounts of their Commitments and Contributions and the effective dates of Transfer Certificates and may be relied upon by the Agent and the other parties to the Finance Documents for all purposes relating to the Finance Documents. 

 

	26.9	 Authorisation of Agent to sign Transfer Certificates 

The Borrowers, the Security Trustee and each Lender irrevocably authorise the Agent to sign Transfer Certificates on its behalf. 

 

	26.10	 Registration fee 

In respect of any Transfer Certificate, the Agent shall be entitled to recover a registration fee of $2,500 (and all costs, fees and expenses
incidental to the transfer (including, but not limited to legal fees and expenses)) from the Transferor Lender or the Transferee Lender (as agreed by them). 
  

	26.11	 Sub-participation; subrogation assignment 

A Lender may sub-participate all or any part of its rights and/or obligations under or in connection
with the Finance Documents without the consent of, or any notice to, the Borrowers, any Security Party, the Agent or the Security Trustee; and the Lenders may assign, in any manner and terms agreed by the Majority Lenders, the Agent and the Security
Trustee, all or any part of those rights to an insurer or surety who has become subrogated to them. 
  

	26.12	 Disclosure of information 

Subject to Clause 26.4, a Lender may, disclose to a potential Transferee Lender or to any
sub-participant or to a person through whom that Lender assigns or transfers or may potentially transfer or assign all or any of its rights and obligations, any information which the Lender has received in
relation to the Borrowers and the Security Parties or their affairs under or in connection with any Finance Document, unless the information is clearly of a confidential nature in which case the consent of the Corporate Guarantor would be required
Provided that a potential Transferee Lender or any sub-participant to whom disclosure is made agrees to be bound by the terms of the confidentiality undertaking in this Clause 26.12 by way of a
confidential agreement in a form acceptable to the Borrowers in the event that the potential Transferee Lender is a fund, such disclosure shall include disclosure to any prospective holders of obligations owed, or securities issued, by that fund and
any rating agency or its professional advisers. 
 The Borrowers agree that the terms and conditions of this Agreement shall remain
confidential and shall not, or shall procure that the Corporate Guarantor shall not, disclose (whether, without limitation, in writing or orally) to third parties (other than any disclosure to the Corporate Guarantor’s shareholders, officers,
employees or professional advisers Provided that the person to whom disclosure is made agrees to be bound by the terms of the confidentiality undertaking in this Clause 26.12 any information required to be disclosed by law, regulation or any
governmental or competent regulatory authority (including without limitation, any securities exchange), provided that, to the extent reasonably practicable, the Corporate Guarantor shall inform the Agent on the proposed form, timing, nature and
purpose of the disclosure) the existence of this Agreement or the terms and conditions contained herein without the prior written consent of the Lenders. 

  
 80 

	26.13	 Change of lending office 

A Lender may change its lending office by giving notice to the Agent and the change shall become effective on the later of: 

 

	(a)	 the date on which the Agent receives the notice; and 

 

	(b)	 the date, if any, specified in the notice as the date on which the change will come into effect.

  

	26.14	 Notification 

On receiving such a notice, the Agent shall notify the Borrowers and the Security Trustee; and, until the Agent receives such a notice, it
shall be entitled to assume that a Lender is acting through the lending office of which the Agent last had notice. 
  

	26.15	 Security over Lenders’ rights. 

In addition to the other rights provided to Lenders under this Clause 26, each Lender may without consulting with or obtaining consent from any
Borrower or any Security Party, at any time charge, assign or otherwise create a Security Interest in or over (whether by way of collateral or otherwise) all or any of its rights under any Finance Document to secure obligations of that Lender
including, without limitation: 
  

	(a)	 any charge, assignment or other Security Interest to secure obligations to a federal reserve or central bank;
and 

  

	(b)	 in the case of any Lender which is a fund, any charge, assignment or other Security Interest granted to any
holders (or trustee or representatives of holders) of obligations owed, or securities issued, by that Lender as security for those obligations or securities; 

except that no such charge, assignment or Security Interest shall: 
  

	 	(i)	 release a Lender from any of its obligations under the Finance Documents or substitute the beneficiary of the
relevant charge, assignment or Security Interest for the Lender as a party to any of the Finance Documents; or 

	 	(ii)	 require any payments to be made by the Borrowers or any Security Party or grant to any person any more
extensive rights than those required to be made or granted to the relevant Lender under the Finance Documents. 

  

	27	 VARIATIONS AND WAIVERS BY MAJORITY LENDERS 

 

	27.1	 Variations, waivers etc. by Lenders 

Subject to Clause 27.2, a document shall be effective to vary, waive, suspend or limit any provision of a Finance Document, or any Creditor
Party’s rights or remedies under such a provision or the general law, only if the document is signed, or specifically agreed to in writing, by the Borrowers and the Agent and/or the Security Trustee (acting on behalf of the requisite Lenders)
and, if the document relates to a Finance Document to which a Security Party is party, by that Security Party. 

  
 81 

	27.2	 Variations, waivers etc. requiring agreement of all Lenders 

However, as regards the following, Clause 27.1 applies as if the words “by the Agent on behalf of the Majority Lenders” were replaced
by the words “by or on behalf of every Lender”: 
  

	(a)	 a change in the purpose of the Loan; 

 

	(b)	 a reduction in the Margin; 

 

	(c)	 a postponement to the date for, or a reduction in the amount of, any payment of principal, interest, fees or
other sum payable under this Agreement; 

  

	(d)	 an increase in any Lender’s Commitment; 

 

	(e)	 a change to the definition of “Majority Lenders”; 

 

	(f)	 a change in any of the provisions in Clause 8.9 dealing with circumstances in which a mandatory prepayment
arises; 

  

	(g)	 a change to the financial covenants set out in clause 12.3 (Financial Covenants) of the Corporate
Guarantee; 

  

	(h)	 a change to the Security Cover Ratio to be maintained pursuant to clause 15.1; 

 

	(i)	 a change to Clause 3, Clause 23 or this Clause 27; 

 

	(j)	 a change of the currency of any amount payable under the Finance Documents; 

 

	(k)	 a waiver of any breach of any of the provisions set out in Clause 10.18, Clause 11.18, Clause 11.19 or Clause
11.20; 

  

	(l)	 any release of, or material variation to, a Security Interest, guarantee, indemnity or subordination
arrangement set out in a Finance Document; and 

  

	(m)	 any other change or matter as regards which this Agreement or another Finance Document expressly provides that
each Lender’s consent is required. 

  

	27.3	 Exclusion of other or implied variations 

Except for a document which satisfies the requirements of Clauses 27.1 and 27.2, no document, and no act, course of conduct, failure or neglect
to act, delay or acquiescence on the part of the Creditor Parties or any of them (or any person acting on behalf of any of them) shall result in the Creditor Parties or any of them (or any person acting on behalf of any of them) being taken to have
varied, waived, suspended or limited, or being precluded (permanently or temporarily) from enforcing, relying on or exercising: 
  

	(a)	 a provision of this Agreement or another Finance Document; or 

 

	(b)	 an Event of Default; or 

 

	(c)	 a breach by any Borrower or a Security Party of an obligation under a Finance Document or the general law; or

  
 82 

	(d)	 any right or remedy conferred by any Finance Document or by the general law, 

and there shall not be implied into any Finance Document any term or condition requiring any such provision to be enforced, or such right or
remedy to be exercised, within a certain or reasonable time. 
  

	27.4	 Replacement of Screen Rate 

 

	(a)	 If a Screen Rate Replacement Event has occurred in relation to the Screen Rate for Dollars, any amendment or
waiver which relates to: 

  

	 	(i)	 providing for the use of a Replacement Benchmark in relation to (or in addition to) that currency in place of
that Screen Rate; and 

  

	 	(ii)	 

  

	 	(A)	 aligning any provision of any Finance Document to the use of that Replacement Benchmark; 

 

	 	(B)	 enabling that Replacement Benchmark to be used for the calculation of interest under this Agreement (including,
without limitation, any consequential changes required to enable that Replacement Benchmark to be used for the purposes of this Agreement); 

  

	 	(C)	 implementing market conventions applicable to that Replacement Benchmark; 

 

	 	(D)	 providing for appropriate fallback (and market disruption) provisions for that Replacement Benchmark; or

  

	 	(E)	 adjusting the pricing to reduce or eliminate, to the extent reasonably practicable, any transfer of economic
value from one Party to another as a result of the application of that Replacement Benchmark (and if any adjustment or method for calculating any adjustment has been formally designated, nominated or recommended by the Relevant Nominating Body, the
adjustment shall be determined on the basis of that designation, nomination or recommendation), 

 may be made with the
consent of the Agent (acting on the instructions of the Majority Lenders) and the Borrowers. 
  

	(b)	 If any Lender fails to respond to a request for an amendment or waiver described in paragraph (a) above
within 5 Business Days (or such longer time period in relation to any request which the Borrowers and the Agent may agree) of that request being made: 

  

	 	(i)	 its Commitment shall not be included for the purpose of calculating the Total Commitments when ascertaining
whether any relevant percentage of Total Commitments has been obtained to approve that request; and 

  

	 	(ii)	 its status as a Lender shall be disregarded for the purpose of ascertaining whether the agreement of any
specified group of Lenders has been obtained to approve that request. 

  
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	28	 NOTICES 

  

	28.1	 General 

Unless otherwise specifically provided, any notice under or in connection with any Finance Document shall be given by letter or fax; and
references in the Finance Documents to written notices, notices in writing and notices signed by particular persons shall be construed accordingly. 
  

	28.2	 Addresses for communications 

A notice shall be sent: 
  

					
	(a)        	  	to a Borrower:	  	c/o Navios Shipmanagement Inc.
		  		  	85 Akti Miaouli
		  		  	Piraeus 185 38
		  		  	Fax No: +30 210 4172070
			
		  	for the attention of:	  	Vassiliki Papaefthymiou
			
		  		  	E-mail: vpapaefthymiou@Navios.com
			
	(b)	  	to a Lender:	  	At the address below its name in Schedule 1 or (as the case
		  		  	may require) in the relevant Transfer Certificate.
			
	(c)	  	to the Agent	  	Carnegieplein 4
		  	and the Security Trustee:	  	2517 KJ The Hague
		  		  	Netherlands 
		  		  	E-mail: maritime@nibc.com
			
		  	For the attention of:	  	Shipping & Intermodal

 Frederik de Haas van Dorsser / Petro Zyuber or to such other address as the relevant party may notify the Agent
or, if the relevant party is the Agent or the Security Trustee, the Borrowers, the Lenders and the Security Parties. 
  

	28.3	 Effective date of notices 

Subject to Clauses 28.4 and 28.5: 
  

	(a)	 a notice which is delivered personally or posted shall be deemed to be served, and shall take effect, at the
time when it is delivered; and 

  

	(b)	 a notice which is sent by fax shall be deemed to be served, and shall take effect, 2 hours after its
transmission is completed. 

  

	28.4	 Service outside business hours 

However, if under Clause 28.3 a notice would be deemed to be served: 
  

	(a)	 on a day which is not a business day in the place of receipt; or 

 

	(b)	 on such a business day, but after 5 p.m. local time, 

the notice shall (subject to Clause 28.5) be deemed to be served, and shall take effect, at 9 a.m. on the next day which is such a business
day. 

  
 84 

	28.5	 Illegible notices 

Clauses 28.3 and 28.4 do not apply if the recipient of a notice notifies the sender within 1 hour after the time at which the notice would
otherwise be deemed to be served that the notice has been received in a form which is illegible in a material respect. 
  

	28.6	 Valid notices 

A notice under or in connection with a Finance Document shall not be invalid by reason that its contents or the manner of serving it do not
comply with the requirements of this Agreement or, where appropriate, any other Finance Document under which it is served if: 
  

	(a)	 the failure to serve it in accordance with the requirements of this Agreement or other Finance Document, as the
case may be, has not caused any party to suffer any significant loss or prejudice; or 

  

	(b)	 in the case of incorrect and/or incomplete contents, it should have been reasonably clear to the party on which
the notice was served what the correct or missing particulars should have been. 

  

	28.7	 English language 

Any notice under or in connection with a Finance Document shall be in English. 

 

	28.8	 Meaning of “notice” 

In this Clause “notice” includes any demand, consent, authorisation, approval, instruction, waiver or other communication. 

 

	29	 SUPPLEMENTAL 

  

	29.1	 Rights cumulative, non-exclusive 

The rights and remedies which the Finance Documents give to each Creditor Party are: 

 

	(a)	 cumulative; 

  

	(b)	 may be exercised as often as appears expedient; and 

 

	(c)	 shall not, unless a Finance Document explicitly and specifically states so, be taken to exclude or limit any
right or remedy conferred by any law. 

  

	29.2	 Severability of provisions 

If any provision of a Finance Document is or subsequently becomes void, unenforceable or illegal, that shall not affect the validity,
enforceability or legality of the other provisions of that Finance Document or of the provisions of any other Finance Document. 

  
 85 

	29.3	 Third party rights 

A person who is not a party to this Agreement has no right under the Contracts (Rights of Third Parties) Act 1999 to enforce or to enjoy the
benefit of any term of this Agreement. 
  

	29.4	 Waiver of Banking Secrecy 

The Borrowers hereby irrevocably authorise and give consent to each Creditor Party and, each of its affiliates, and their respective
subsidiaries, branches and representative offices and their respective directors, officers, employees and agents (the “Authorised Persons” and each an “Authorised Person”), to disclose and transmit to the Applicable
Persons, whether orally, in writing or by any other means, information and documents which relates to, or are connected with, the Borrowers, their beneficial owner, any other member of the Group, their business, dealings or assets (the
“Information”), from time to time and to the extent that the Authorised Person deems such disclosure or transmission to be necessary or desirable for or incidental to the carrying out of its duties, obligations, commitments and
activities whether arising under contract or by operation of law and/or consolidated supervision and risk management policy, to the extent that the Information is covered by banking secrecy under any applicable law in general and banking secrecy
rules in England and the Netherlands in particular and/or: 
  

	(a)	 necessary or desirable for the purposes of its internal cross-selling enabling the Borrowers and/or any other
member of the Group to benefit from the Creditor Party’s or any other Authorised Person’s business activities; and/or 

  

	(b)	 necessary or desirable to insure a risk related to the Borrowers and/or any other member of the Group; and/or

  

	(c)	 necessary or desirable to syndicate a risk related to the Borrowers and/or any other member of the Group;
and/or 

  

	(d)	 necessary or desirable to securitise a risk related to the Borrowers and/or any other member of the Group;
and/or 

  

	(e)	 necessary or desirable to open an account or to start a business relation with the Creditor Party’s or any
other Authorised Person’s parent company or any of its subsidiaries or branches. 

 In this Clause 29.4,
“Applicable Person” means any or all of the following persons: 
  

	 	(i)	 any authority or person against which, pursuant to any applicable law, administrative order or court ruling,
banking secrecy may not be validly asserted by an Authorised Person; 

  

	 	(ii)	 each Creditor Party or any other Authorised Person’s parent company, any of its subsidiaries, branches or
representative offices; 

  

	 	(iii)	 any rating agency, auditor, insurance and reinsurance company, broker or professional adviser, to the extent
such entity or person is bound by a statutory or contractual duty of confidentiality; 

  

	 	(iv)	 any financial institution and institutional or other investor who is or might be involved in securitisation
schemes, hedging agreements, participations, credit derivatives or any other risk transfer or sharing arrangements, including, inter alia, a bank and/or other financial institution’s participation in, or syndication in respect of, the Loan;

  
 86 

	 	(v)	 any potential assignee or transferee or person who has entered into or is proposing to enter into contractual
arrangements with the Authorised Person in relation to a Borrower; and 

  

	 	(vi)	 any external computer services provider, for the purpose of maintenance or repair of a Creditor Party’s or
any other Authorised Person’s computer systems and date provided that such external computer services provider is bound by the confidentiality policy of such Creditor Party. 

 

	29.5	 Reference Banks 

If a Reference Bank (or, if a Reference Bank is not a Lender, the Lender of which it is an affiliate) ceases to be a Lender, the Agent may (in
consultation with the Borrowers) appoint another Lender or an affiliate of a Lender to replace that Reference Bank. 
  

	29.6	 Role of Reference Banks 

 

	(a)	 No Reference Bank is under any obligation to provide a quotation or any other information to the Agent but may
do so at the Agent’s request. 

  

	(b)	 No Reference Bank will be liable for any action taken by it under or in connection with any Finance Document,
or for any quotation provided to the Agent. 

  

	(c)	 No Party (other than the relevant Reference Bank) may take any proceedings against any officer, employee or
agent of any Reference Bank in respect of any claim it might have against that Reference Bank or in respect of any act or omission of any kind by that officer, employee or agent in relation to any Finance Document, or to any quotation provided to
the Agent, and any officer, employee or agent of each Reference Bank may rely on this clause subject to clause 29.3 and the provisions of the Third Parties Act. 

 

	29.7	 Third party Reference Banks 

Any Reference Bank which is not a party to this Agreement may rely on Clause 29.6 subject to Clause 29.3 and the provisions of the Third
Parties Act. 
  

	29.8	 Counterparts 

A Finance Document may be executed in any number of counterparts. 
  

	30	 CONFIDENTIALITY 

 

	30.1	 Confidential Information 

Each Creditor Party agrees to keep all Confidential Information confidential and not to disclose it to anyone, save to the extent permitted by
Clauses 30.2 and 30.3 and to ensure that all Confidential Information is protected with security measures and a degree of care that would apply to its own confidential information taking also into account the public nature of the Corporate
Guarantor. 

  
 87 

	30.2	 Disclosure of Confidential Information 

Any Creditor Party may disclose: 
  

	(a)	 to any of its affiliates and Related Funds and any of its or their officers, directors, employees, professional
advisers, auditors, partners and Representatives such Confidential Information as that Creditor Party shall consider appropriate if any person to whom the Confidential Information is to be given pursuant to this paragraph (a) is informed in
writing of its confidential nature and that some or all of such Confidential Information may be price-sensitive information except that there shall be no such requirement to so inform if the recipient is subject to professional obligations to
maintain the confidentiality of the information or is otherwise bound by requirements of confidentiality in relation to the Confidential Information; 

  

	(b)	 to any person: 

  

	 	(i)	 to (or through) whom it assigns or transfers (or may potentially assign or transfer) all or any of its rights
and/or obligations under one or more Finance Documents or which succeeds (or which may potentially succeed) it as Agent and, in each case, to any of that person’s affiliates, Related Funds, Representatives and professional advisers;

  

	 	(ii)	 with (or through) whom it enters into (or may potentially enter into), whether directly or indirectly, any sub-participation in relation to, or any other transaction under which payments are to be made or may be made by reference to, one or more Finance Documents and/or the Borrowers and/or any Security Party and to any
of that person’s affiliates, Related Funds, Representatives and professional advisers; 

  

	 	(iii)	 appointed by any Creditor Party or by a person to whom paragraph (b)(i) or (ii) above applies to receive
communications, notices, information or documents delivered pursuant to the Finance Documents on its behalf; 

  

	 	(iv)	 who invests in or otherwise finances (or may potentially invest in or otherwise finance), directly or
indirectly, any transaction referred to in paragraph (b)(i) or (b)(ii) above; 

  

	 	(v)	 to whom information is required or requested to be disclosed by any court of competent jurisdiction or any
governmental, banking, taxation or other regulatory authority or similar body, the rules of any relevant stock exchange or pursuant to any applicable law or regulation; 

 

	 	(vi)	 to whom information is required to be disclosed in connection with, and for the purposes of, any litigation,
arbitration, administrative or other investigations, proceedings or disputes; 

  

	 	(vii)	 to whom or for whose benefit that Creditor Party charges, assigns or otherwise creates a Security Interest (or
may do so) pursuant to Clause 26; 

  

	 	(viii)	 who is a party to a Finance Document, a member of the Group or any related entity of the Borrowers or any
Security Party; or 

  

	 	(ix)	 with the consent of the Borrowers; 

  
 88 

 in each case, such Confidential Information as that Creditor Party shall consider
appropriate if: 
  

	 	(A)	 in relation to paragraphs (b)(i), (b)(ii) and (b)(iii) above, the person to whom the Confidential Information
is to be given has entered into a Confidentiality Undertaking except that there shall be no requirement for a Confidentiality Undertaking if the recipient is a professional adviser and is subject to professional obligations to maintain the
confidentiality of the Confidential Information; 

  

	 	(B)	 in relation to paragraph (b)(iv) above, the person to whom the Confidential Information is to be given has
entered into a Confidentiality Undertaking or is otherwise bound by requirements of confidentiality in relation to the Confidential Information they receive and is informed that some or all of such Confidential Information may be price-sensitive
information; 

  

	 	(C)	 in relation to paragraphs (b)(v), (b)(vi) and (b)(vii) above, the person to whom the Confidential Information
is to be given is informed of its confidential nature and that some or all of such Confidential Information may be price-sensitive information except that there shall be no requirement to so inform if, in the opinion of that Creditor Party, it is
not practicable so to do in the circumstances; 

  

	(c)	 to any person appointed by that Creditor Party or by a person to whom paragraph (b)(i) or (b)(ii) above applies
to provide administration or settlement services in respect of one or more of the Finance Documents including without limitation, in relation to the trading of participations in respect of the Finance Documents, such Confidential Information as may
be required to be disclosed to enable such service provider to provide any of the services referred to in this paragraph (c) if the service provider to whom the Confidential Information is to be given has entered into a confidentiality
agreement substantially in the form of the LMA Master Confidentiality Undertaking for Use With Administration/Settlement Service Providers or such other form of confidentiality undertaking agreed between the Borrowers and the relevant Creditor
Party; and 

  

	(d)	 to any rating agency (including its professional advisers) such Confidential Information as may be required to
be disclosed to enable such rating agency to carry out its normal rating activities in relation to the Finance Documents and/or the Borrowers and/or the Security Parties. 

 

	30.3	 Disclosure to numbering service providers 

 

	(a)	 Any Creditor Party may disclose to any national or international numbering service provider appointed by that
Creditor Party to provide identification numbering services in respect of this Agreement, the Loan and/or the Borrowers and/or the Security Parties the following information: 

 

	 	(i)	 names of the Borrowers and the Security Parties; 

 

	 	(ii)	 country of domicile of the Borrowers and the Security Parties; 

 

	 	(iii)	 place of incorporation of the Borrowers and the Security Parties; 

 

	 	(iv)	 date of this Agreement; 

  
 89 

	 	(v)	 governing law; 

  

	 	(vi)	 the names of the Agent and the Mandated Lead Arranger; 

 

	 	(vii)	 date of each amendment and restatement of this Agreement; 

 

	 	(viii)	 amount of the Loan; 

  

	 	(ix)	 amount of Total Commitments; 

 

	 	(x)	 currency of the Loan; 

 

	 	(xi)	 type of facility; 

  

	 	(xii)	 ranking of facility; 

 

	 	(xiii)	 final Repayment Date; 

 

	 	(xiv)	 changes to any of the information previously supplied pursuant to paragraphs (i) to (xiii) above; and

  

	 	(xv)	 such other information agreed between such Creditor Party and the Borrowers, 

to enable such numbering service provider to provide its usual syndicated loan numbering identification services. 

 

	(b)	 The parties to this Agreement acknowledge and agree that each identification number assigned to this Agreement,
the Loan and/or the Borrowers and/or any Security Party by a numbering service provider and the information associated with each such number may be disclosed to users of its services in accordance with the standard terms and conditions of that
numbering service provider. 

  

	(c)	 The Borrowers represent that none of the information set out in paragraphs (a)(i) to (a)(xv) above is, nor will
at any time be, unpublished price-sensitive information. 

  

	(d)	 The Agent shall notify the Borrowers and the other Creditor Parties of: 

 

	 	(i)	 the name of any numbering service provider appointed by the Agent in respect of this Agreement, the Loan and/or
the Borrowers and/or the Security Parties; and 

  

	 	(ii)	 the number or, as the case may be, numbers assigned to this Agreement, the Loan and/or the Borrowers and/or the
Security Parties by such numbering service provider. 

  

	30.4	 Entire agreement 

This Clause 30 constitutes the entire agreement between the parties to this Agreement in relation to the obligations of the Creditor Parties
under the Finance Documents regarding Confidential Information and supersedes any previous agreement, whether express or implied, regarding Confidential Information. 

  
 90 

	30.5	 Inside information 

Each of the Creditor Parties acknowledges that some or all of the Confidential Information is or may be price-sensitive information and that
the use of such information may be regulated or prohibited by applicable legislation including securities law relating to insider dealing and market abuse and each of the Creditor Parties undertakes not to use any Confidential Information for any
unlawful purpose. 
  

	30.6	 Notification of disclosure 

Each of the Creditor Parties agrees (to the extent permitted by law and regulation) to inform the Borrowers: 

 

	(a)	 of the circumstances of any disclosure of Confidential Information made pursuant to paragraph (b)(v) of Clause
30.2 except where such disclosure is made to any of the persons referred to in that paragraph during the ordinary course of its supervisory or regulatory function; and 

 

	(b)	 upon becoming aware that Confidential Information has been disclosed in breach of this Clause 30.

  

	30.7	 Continuing obligations 

The obligations in this Clause 30 are continuing and, in particular, shall survive and remain binding on each Creditor Party for a period of 12
months from the earlier of: 
  

	(a)	 the date on which all amounts payable by the Borrowers and the Security Parties under or in connection with
this Agreement have been paid in full and all Commitments have been cancelled or otherwise cease to be available; and 

  

	(b)	 the date on which such Creditor Party otherwise ceases to be a Creditor Party. 

 

	31	 LAW AND JURISDICTION 

 

	31.1	 English law 

This Agreement and any non-contractual obligations arising out of or in connection with it shall be
governed by, and construed in accordance with, English law. 
  

	31.2	 Exclusive English jurisdiction 

Subject to Clause 31.3, the courts of England shall have exclusive jurisdiction to settle any Dispute. 

 

	31.3	 Choice of forum for the exclusive benefit of the Creditor Parties 

Clause 31.2 is for the exclusive benefit of the Creditor Parties, each of which reserves the right: 

 

	(a)	 to commence proceedings in relation to any Dispute in the courts of any country other than England and which
have or claim jurisdiction to that Dispute; and 

  
 91 

	(b)	 to commence such proceedings in the courts of any such country or countries concurrently with or in addition to
proceedings in England or without commencing proceedings in England. 

 No Borrower shall commence any proceedings in any
country other than England in relation to a Dispute. 
  

	31.4	 Process agent 

Each Borrower irrevocably appoints Hill Dickinson LLP at their office for the time being, presently at The Broadgate Tower, 20 Primrose Street,
London EC2A 2EW, England to act as its agent to receive and accept on its behalf any process or other document relating to any proceedings in the English courts which are connected with a Dispute. 

 

	31.5	 Creditor Party rights unaffected 

Nothing in this Clause 31 shall exclude or limit any right which any Creditor Party may have (whether under the law of any country, an
international convention or otherwise) with regard to the bringing of proceedings, the service of process, the recognition or enforcement of a judgment or any similar or related matter in any jurisdiction. 

 

	31.6	 Meaning of “proceedings” and “Dispute” 

In this Clause 31, “proceedings” means proceedings of any kind, including an application for a provisional or protective
measure and a “Dispute” means any dispute arising out of or in connection with this Agreement (including a dispute relating to the existence, validity or termination of this Agreement) or any
non-contractual obligation arising out of or in connection with this Agreement. 
  

	32	 BAIL-IN 

 

	32.1	 Contractual recognition of bail-in 

Notwithstanding any other term of any Finance Document or any other agreement, arrangement or understanding between the parties to a Finance
Document, each party hereto acknowledges and accepts that any liability of any party to a Finance Document under or in connection with the Finance Documents may be subject to Bail-In Action by the relevant
Resolution Authority and acknowledges and accepts to be bound by the effect of: 
  

	(a)	 any Bail-In Action in relation to any such liability, including
(without limitation): 

  

	 	(i)	 a reduction, in full or in part, in the principal amount, or outstanding amount due (including any accrued but
unpaid interest) in respect of any such liability; 

  

	 	(ii)	 a conversion of all, or part of, any such liability into shares or other instruments of ownership that may be
issued to, or conferred on, it; and 

  

	 	(iii)	 a cancellation of any such liability; and 

 

	(b)	 a variation of any term of any Finance Document to the extent necessary to give effect to any Bail-In Action in relation to any such liability. 

 THIS AGREEMENT has been entered into on the
date stated at the beginning of this Agreement. 

  
 92 

 SCHEDULE 1 

EXECUTION PAGE 
  

			
	 BORROWERS
	  	
		
	 SIGNED by             Maria
Trivela
	  	) /s/ Maria Trivela
	 for and on behalf of
	  	)
	 COASTERS VENTURES LTD
	  	)
		
	 SIGNED by             Maria
Trivela
	  	) /s/ Maria Trivela
	 for and on behalf of
	  	)
	 GOLEM NAVIGATION LIMITED
	  	)
		
	 SIGNED by             Maria
Trivela
	  	) /s/ Maria Trivela
	 for and on behalf of
	  	)
	 VELVET SHIPPING CORPORATION
	  	)
		
	 LENDERS
	  	
		
	 SIGNED by             Ilias
Vassilios Tsigos
	  	) /s/ Ilias Vassilios Tsigos
	 for and on behalf of
	  	)
	 NIBC BANK N.V.
	  	)
		
	 MANDATED LEAD ARRANGER
	  	
		
	 SIGNED by             Ilias
Vassilios Tsigos
	  	) /s/ Ilias Vassilios Tsigos
	 for and on behalf of
	  	)
	 NIBC BANK N.V.
	  	)
		
	 AGENT
	  	
		
	 SIGNED by             Ilias
Vassilios Tsigos
	  	) /s/ Ilias Vassilios Tsigos
	 for and on behalf of
	  	)
	 NIBC BANK N.V.
	  	)

  
 93 

			
	 SECURITY TRUSTEE
	  	
		
	 SIGNED by Ilias Vassilios Tsigos
	  	) /s/ Ilias Vassilios Tsigos
	 for and on behalf of
	  	)
	 NIBC BANK N.V.
	  	)
		
	 Witness to all the above
	  	)
	 Signature
	  	) /s/ Aikaterina Dimitriou
	 Name: Aikaterina Dimitriou
	  	
	 Address: Watson Farley & Williams
	  	
	     348 Syngrou Avenue
	  	
	     17674 Kallithea
	  	
	     Athens, Greece
	  	

  
 94EX-4.62

 Exhibit 4.62 

US$66,000,000 
 FACILITY
AGREEMENT 
 Dated 12 February 2019 

for 
 KOHYLIA SHIPMANAGEMENT
S.A. 
 FLORAL MARINE LTD. 

IANTHE MARITIME S.A. 

CUSTOMIZED DEVELOPMENT S.A. 

as joint and several Borrowers 

guaranteed by 
 NAVIOS MARITIME
PARTNERS L.P. 
 as Guarantor 

arranged by 
 DVB BANK SE

 as Arranger 
 with 

DVB BANK SE 
 acting as
Facility Agent 
 DVB BANK SE 

acting as Security Agent 
 and 

DVB BANK SE 
 acting as
Account Bank 
 FACILITY AGREEMENT 

relating to 
 the refinancing of
certain existing indebtedness secured on m.vs. “NAVIOS LUZ”, “NAVIOS BUENA 
 VENTURA”, “NAVIOS ASTER” and
“NAVIOS FULVIA” 
  
 

 

 Index 
  

							
	Clause	 	 	  	Page	 
	Section 1 Interpretation	  	 	5	 
	1	 	 Definitions and Interpretation
	  	 	5	 
	Section 2 The Facility	  	 	33	 
	2	 	 The Facility
	  	 	33	 
	3	 	 Purpose
	  	 	33	 
	4	 	 Conditions of Drawdown
	  	 	33	 
	Section 3 Drawdown	  	 	35	 
	5	 	 Drawdown
	  	 	35	 
	Section 4 Repayment, Prepayment and Cancellation	  	 	37	 
	6	 	 Repayment
	  	 	37	 
	7	 	 Prepayment and Cancellation
	  	 	38	 
	Section 5 Costs of Drawdown	  	 	41	 
	8	 	 Interest
	  	 	41	 
	9	 	 Interest Periods
	  	 	42	 
	10	 	 Changes to the Calculation of Interest
	  	 	43	 
	11	 	 Fees
	  	 	45	 
	Section 6 Additional Payment Obligations	  	 	46	 
	12	 	 Tax Gross Up and Indemnities
	  	 	46	 
	13	 	 Increased Costs
	  	 	51	 
	14	 	 Other Indemnities
	  	 	52	 
	15	 	 Mitigation by the Finance Parties
	  	 	55	 
	16	 	 Costs and Expenses
	  	 	56	 
	Section 7 Guarantee and Joint and Several Liability of Borrowers	  	 	57	 
	17	 	 Guarantee and Indemnity
	  	 	57	 
	18	 	 Joint and Several Liability of the Borrowers
	  	 	59	 
	Section 8 Representations, Undertakings and Events of Default	  	 	62	 
	19	 	 Representations
	  	 	62	 
	20	 	 Information Undertakings
	  	 	69	 
	21	 	 Financial Covenants
	  	 	74	 
	22	 	 General Undertakings
	  	 	74	 
	23	 	 Insurance Undertakings
	  	 	80	 
	24	 	 Vessel Undertakings
	  	 	86	 
	25	 	 Security Cover
	  	 	92	 
	26	 	 Accounts and Application of Earnings
	  	 	94	 
	27	 	 Events of Default
	  	 	96	 
	Section 9 Changes to Parties87	  	 	102	 
	28	 	 Changes to the Lenders
	  	 	102	 
	29	 	 Changes to the Transaction Obligors
	  	 	107	 
	Section 10 The Finance Parties	  	 	108	 
	30	 	 The Facility Agent, the Arranger and the Reference Banks
	  	 	108	 
	31	 	 The Security Agent
	  	 	119	 
	32	 	 Conduct of Business by the Finance Parties
	  	 	135	 
	33	 	 Sharing among the Finance Parties
	  	 	135	 
	Section 11 Administration	  	 	137	 
	34	 	 Payment Mechanics
	  	 	137	 
	35	 	 Set-Off
	  	 	140	 
	36	 	 Bail-In
	  	 	140	 

							
	37	 	 Notices
	  	 	141	 
	38	 	 Calculations and Certificates
	  	 	143	 
	39	 	 Partial Invalidity
	  	 	143	 
	40	 	 Remedies and Waivers
	  	 	143	 
	41	 	 Settlement or Discharge Conditional
	  	 	144	 
	42	 	 Irrevocable Payment
	  	 	144	 
	43	 	 Amendments and Waivers
	  	 	144	 
	44	 	 Confidential Information
	  	 	147	 
	45	 	 Confidentiality of Funding Rates and Reference Bank Quotations
	  	 	151	 
	46	 	 Counterparts
	  	 	153	 
	Section 12 Governing Law and Enforcement	  	 	154	 
	47	 	 Governing Law
	  	 	154	 
	48	 	 Enforcement
	  	 	154	 

 Schedules 
  

					
	 Schedule 1 The Parties
	  	 	152	 
	 Part A The Obligors
	  	 	152	 
	 Part B The Original Lenders
	  	 	153	 
	 Part C The Servicing Parties
	  	 	154	 
	 Schedule 2 Conditions Precedent and Subsequent
	  	 	156	 
	 Part A Conditions precedent to Initial Drawdown Request
	  	 	156	 
	 Part B Further Conditions Precedent
	  	 	158	 
	 Part C Conditions Subsequent
	  	 	160	 
	 Schedule 3 Requests
	  	 	161	 
	 Part A Drawdown Request
	  	 	161	 
	 Part B Selection Notice
	  	 	163	 
	 Schedule 4 Form of Transfer Certificate
	  	 	164	 
	 Schedule 5 Form of Assignment Agreement
	  	 	167	 
	 Schedule 6
	  	 	169	 
	 Schedule 7 Form of Compliance Certificate
	  	 	169	 
	 Schedule 8 Timetables
	  	 	170	 
	 Schedule 9 Details of the Vessels
	  	 	171	 
		
	Execution	  			
		
	 Execution Pages
	  	 	155	 

 THIS AGREEMENT is made on 12 February 2019 

PARTIES 
  

	(1)	 KOHYLIA SHIPMANAGEMENT S.A., a corporation incorporated in the Republic of the Marshall Islands whose
registered address is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960 as a borrower (“Borrower A”) 

 

	(2)	 FLORAL MARINE LTD., a corporation incorporated in the Republic of the Marshall Islands whose registered
address is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960 (“Borrower B”) 

  

	(3)	 IANTHE MARITIME S.A., a corporation incorporated in the Republic of the Marshall Islands whose
registered address is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960 (“Borrower C”) 

  

	(4)	 CUSTOMIZED DEVELOPMENT S.A., a corporation incorporated in the Republic of Liberia whose registered
address is at 80 Broad Street, Monrovia, Liberia (“Borrower D”) 

  

	(5)	 NAVIOS MARITIME PARTNERS L.P., a limited partnership formed in the Republic of the Marshall Islands
whose registered address is at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960 as guarantor (the “Guarantor”) 

 

	(6)	 DVB Bank SE, Amsterdam Branch, a societas europaea incorporated with limited liability in the Federal
Republic of Germany, acting through its principal place of business in The Netherlands at WTC Schiphol Tower F, 6th Floor, Schiphol Boulevard 255, 1118 BH Schiphol, The Netherlands, as arranger
(the “Arranger”) 

  

	(7)	 THE FINANCIAL INSTITUTIONS listed in Part B of Schedule 1 (The Parties) as lenders (the
“Original Lenders”) 

  

	(8)	 DVB BANK SE, Amsterdam Branch, a societas europaea incorporated with limited liability in the
Federal Republic of Germany, acting through its principal place of business in The Netherlands at WTC Schiphol Tower F, 6th Floor, Schiphol Boulevard 255, 1118 BH Schiphol, The Netherlands, as
agent of the other Finance Parties (the “Facility Agent”) 

  

	(9)	 DVB BANK SE, Amsterdam Branch, a societas europaea incorporated with limited liability in the
Federal Republic of Germany, acting through its principal place of business in The Netherlands at WTC Schiphol Tower F, 6th Floor, Schiphol Boulevard 255, 1118 BH Schiphol, The Netherlands, as
security agent for the Creditor Parties (the “Security Agent”) 

  

	(10)	 DVB BANK SE, a societas europaea incorporated with limited liability in the Federal Republic of Germany,
whose registered office is at Platz der Republik 6, 60325 Frankfurt am Main, Germany as account bank (the “Account Bank”) 

OPERATIVE PROVISIONS 

  
 4 

 SECTION 1 

INTERPRETATION 
  

	1	 DEFINITIONS AND INTERPRETATION 

 

	1.1	 Definitions 

In this Agreement: 

“Account Bank” means DVB Bank SE acting through its office at Platz der Republik 6, 60325, Frankfurt/Main, Germany. 

“Accounts” means: 
  

	 	(a)	 the Earnings Account; 

 

	 	(b)	 the Time Deposit Account; and 

 

	 	(c)	 with the express written consent of the Facility Agent, any other accounts opened by the Borrowers or the
Shareholder with the Account Bank, the Facility Agent or the Security Agent for the purposes of the Finance Documents. 

“Account Security” means a document creating Security over any Account in agreed form. 

“Advance” means a borrowing of all or any part of a Tranche under this Agreement. 

“Affiliate” means, in relation to any person, a Subsidiary of that person or a Holding Company of that person or any other
Subsidiary of that Holding Company. 
 “Anti-Corruption Laws” means (i) the US Foreign Corrupt Practices Act of 1977,
as amended, (ii), the Bribery Act 2010 of the UK, and (iii) any other applicable anti-bribery or anti-corruption law or regulation in any Relevant Jurisdiction. 

“Anti-Money Laundering Laws” means the applicable money laundering statutes and regulations of all jurisdictions in which each
Transaction Obligor, Charterer and members of its Group conduct business, the rules and regulations made under them and any applicable related or similar rules, regulations or guidelines issued, administered or enforced by any governmental or
regulatory agency. 
 “Approved Broker” means any firm or firms of insurance brokers approved in writing by the Facility
Agent, acting with the authorisation of the Lenders. 
 “Approved Classification” means, in relation to a Vessel, as at the
date of this Agreement, the classification in relation to that Vessel specified in Schedule 8 (Details of the Vessels) with the relevant Approved Classification Society or the equivalent classification with another Approved Classification
Society. 
 “Approved Classification Society” means, in relation to a Vessel, as at the date of this Agreement, the
classification society in relation to that Vessel specified in Schedule 8 (Details of the Vessels) or any other classification society approved in writing by the Facility Agent acting with the authorisation of the Lenders. 

  
 5 

 “Approved Flag” means, in relation to a Vessel, as at the date of this
Agreement, the flag of the Republic of Panama, the Republic of Liberia or the Republic of the Marshall Islands or such other flag approved in writing by the Facility Agent acting with the authorisation of the Lenders. 

“Approved Manager” means, in relation to a Vessel, as at the date of this Agreement Navios Shipmanagement Inc., a corporation
domesticated under the laws of the Republic of the Marshall Islands having its registered address at Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960 and/or, or any Affiliate of Navios Maritime Holdings Inc.
or any other person approved in writing by the Facility Agent, acting with the authorisation of the Lenders, as the commercial and technical manager of that Vessel. 

“Approved Valuer” means any one of VesselsValue, Clarkson Platou, Arrow Valuations Ltd, Fearnleys, Braemar ACM Shipbroking,
Barry Rogliano and Salles (BRS), Maritime Strategies International Ltd. and Maersk Broker K/S (or, in each case, any Affiliate of such person through which valuations are commonly issued) and any other firm or firms of independent sale and purchase
shipbrokers approved in writing by the Facility Agent, acting with the authorisation of the Lenders. 
 “Assignable Charter”
means any time charterparty, consecutive voyage charter or other contract of affreightment in respect of a Vessel of a duration of more than 13 months (or capable of exceeding a duration of 13 months taking into account any extension options),
including any bareboat charter in respect of a Vessel and any guarantee of the obligations of the Charterer under such bareboat charter, entered or to be entered into by a Borrower and a Charterer or, as the context may require, bareboat charterer
and, in the plural, means all of them. 
 “Assignment Agreement” means an agreement substantially in the form set out in
Schedule 5 (Form of Assignment Agreement) or any other form agreed between the relevant assignor and assignee. 

“Authorisation” means an authorisation, consent, approval, resolution, licence, exemption, filing, notarisation, legalisation
or registration. 
 “Availability Period” means, in relation to each Tranche, the period from and including the date of this
Agreement to and including 31 March 2019, or such later date as may be agreed by the Facility Agent in writing. 
 “Available
Commitment” means a Lender’s Commitment minus: 
  

	 	(a)	 the amount of its participation in the outstanding Loan; and 

 

	 	(b)	 in relation to a proposed Drawdown, the amount of its participation in any Advance that is due to be made on or
before the proposed Drawdown Date. 

 “Available Facility” means the aggregate for the time being of each
Lender’s Available Commitment. 
 “Available Tranche” means, in relation to a Tranche, the aggregate for the time being
of each Lender’s Available Commitment in respect of that Tranche. 
 “Bail-In
Action” means the exercise of any Write-down and Conversion Powers. 

  
 6 

 “Bail-In Legislation” means: 

 

	 	(a)	 in relation to an EEA Member Country which has implemented, or which at any time implements, Article 55 of
Directive 2014/59/EU establishing a framework for the recovery and resolution of credit institutions and investment firms, the relevant implementing law or regulation as described in the EU Bail-In Legislation
Schedule from time to time; and 

  

	 	(b)	 in relation to any other state, any analogous law or regulation from time to time which requires contractual
recognition of any Write-down and Conversion Powers contained in that law or regulation. 

 “Borrower”
means each of Borrower A, Borrower B, Borrower C and Borrower D and in the plural means all of them. 
 “Break Costs” means
the amount (if any) by which: 
  

	 	(a)	 the interest which a Lender should have received for the period from the date of receipt of all or any part of
its participation in the Loan or an Unpaid Sum to the last day of the current Interest Period in relation to the Loan, the relevant part of the Loan or that Unpaid Sum, had the principal amount or Unpaid Sum received been paid on the last day of
that Interest Period 

 exceeds 
  

	 	(b)	 the amount which that Lender would be able to obtain by placing an amount equal to the principal amount or
Unpaid Sum received by it on deposit with a leading bank in the Relevant Interbank Market for a period starting on the Business Day following receipt or recovery and ending on the last day of the current Interest Period. 

“Business Day” means a day (other than a Saturday or Sunday) on which banks are open for general business in Amsterdam and
Athens and: 
  

	 	(a)	 (in relation to funding of the Loan only) Frankfurt; 

 

	 	(b)	 (in relation only to any date for payment or purchase of dollars) New York; 

 

	 	(c)	 and (in relation only to any date for the fixing of an interest rate using LIBOR) London.

 “Charter” means, in relation to a Vessel, any charter relating to that Vessel, or other contract for
its employment, whether or not already in existence, including (without limitation) any Assignable Charter. 
 “Charter
Guarantee” means any guarantee, bond, letter of credit or other instrument (whether or not already issued) supporting a Charter. 

“Charterparty Assignment” means, in relation to a Vessel, the assignment creating Security over the rights of the relevant
Borrower under any Assignable Charter and any Charter Guarantee relative thereto in the agreed form. 
 “Charterer” means
any person approved in writing by the Facility Agent, acting with the authorisation of the Majority Lenders, as a charterer under a Charter. 

  
 7 

 “Code” means the US Internal Revenue Code of 1986. 

“Commitment” means each of Tranche A Commitment, Tranche B Commitment, Tranche C Commitment and Tranche D Commitment. 

“Compliance Certificate” means a certificate in the form set out in Schedule 6 (Form of Compliance Certificate) or in
any other form agreed between the Guarantor and the Facility Agent. 
 “Confidential Information” means all information
relating to any Transaction Obligor, the Group, the Finance Documents or the Facility of which a Finance Party becomes aware in its capacity as, or for the purpose of becoming, a Finance Party or which is received by a Finance Party in relation to,
or for the purpose of becoming a Finance Party under, the Finance Documents or the Facility from either: 
  

	 	(a)	 any member of the Group or any of its advisers; or 

 

	 	(b)	 another Finance Party, if the information was obtained by that Finance Party directly or indirectly from any
member of the Group or any of its advisers, 

 in whatever form, and includes information given orally and any document,
electronic file or any other way of representing or recording information which contains or is derived or copied from such information but excludes: 
  

	 	(a)	 information that: 

  

	 	(i)	 is or becomes public information other than as a direct or indirect result of any breach by that Finance Party
of Clause 44 (Confidential Information); or 

  

	 	(ii)	 is identified in writing at the time of delivery as non-confidential by
any member of the Group or any of its advisers; or 

  

	 	(iii)	 is known by that Finance Party before the date the information is disclosed to it in accordance with paragraphs
(a) or (b) above or is lawfully obtained by that Finance Party after that date, from a source which is, as far as that Finance Party is aware, unconnected with the Group and which, in either case, as far as that Finance Party is aware, has not
been obtained in breach of, and is not otherwise subject to, any obligation of confidentiality; and 

  

	 	(b)	 any Funding Rate or Reference Bank Quotation. 

“Confidentiality Undertaking” means a confidentiality undertaking in substantially the appropriate form recommended by the LMA
from time to time or in any other form agreed between the Borrowers and the Facility Agent. 
 “Corresponding Debt” means
any amount, other than any Parallel Debt, which an Obligor owes to a Creditor Party under or in connection with the Finance Documents. 

“Creditor Party” means each Finance Party from time to time party to this Agreement, a Receiver or any Delegate. 

“Deed of Release” means, in respect of the Term B Loan, a deed releasing the Existing Security in a form acceptable to the
Security Agent. 

  
 8 

 “Default” means an Event of Default or a Potential Event of Default. 

“Delegate” means any delegate, agent, attorney or co-trustee appointed by the Security
Agent. 
 “Disruption Event” means either or both of: 

 

	 	(a)	 a material disruption to those payment or communications systems or to those financial markets which are, in
each case, required to operate in order for payments to be made in connection with the Facility (or otherwise in order for the transactions contemplated by the Finance Documents to be carried out) which disruption is not caused by, and is beyond the
control of, any of the Parties or, if applicable, any Transaction Obligor; or 

  

	 	(b)	 the occurrence of any other event which results in a disruption (of a technical or systems-related nature) to
the treasury or payments operations of a Party or, if applicable, any Transaction Obligor preventing that, or any other, Party or, if applicable, any Transaction Obligor: 

 

	 	(i)	 from performing its payment obligations under the Finance Documents; or 

 

	 	(ii)	 from communicating with other Parties or, if applicable, any Transaction Obligor in accordance with the terms
of the Finance Documents, 

 and which (in either such case) is not caused by, and is beyond the control of, the Party or,
if applicable, any Transaction Obligor whose operations are disrupted. 
 “Document of Compliance” has the meaning given to
it in the ISM Code. 
 “dollars” and “$” mean the lawful currency, for the time being, of the United States
of America. 
 “Drawdown” means a drawdown of an Advance. 

“Drawdown Date” means the date of a Drawdown, being the date on which the relevant Advance is to be made. 

“Drawdown Request” means a notice substantially in the form set out in Part D of Schedule 3 (Requests). 

“Earnings” means, in relation to a Vessel, all moneys whatsoever which are now, or later become, payable (actually or
contingently) to a Borrower or the Security Agent and which arise out of or in connection with or relate to the use or operation of that Vessel, including (but not limited to): 

 

	 	(a)	 the following, save to the extent that any of them is, with the prior written consent of the Facility Agent,
pooled or shared with any other person: 

  

	 	(i)	 all freight, hire and passage moneys including, without limitation, all moneys payable under, arising out of or
in connection with a Charter or a Charter Guarantee; 

  

	 	(ii)	 the proceeds of the exercise of any lien on sub-freights;

  
 9 

	 	(iii)	 compensation payable to a Borrower or the Security Agent in the event of requisition of that Vessel for hire or
use; 

  

	 	(iv)	 remuneration for salvage and towage services; 

 

	 	(v)	 demurrage and detention moneys; 

 

	 	(vi)	 without prejudice to the generality of sub-paragraph (i) above,
damages for breach (or payments for variation or termination) of any charterparty or other contract for the employment of that Vessel; 

  

	 	(vii)	 all moneys which are at any time payable under any Insurances in relation to loss of hire;

  

	 	(viii)	 all monies which are at any time payable to a Borrower in relation to general average contribution; and

  

	 	(b)	 if and whenever that Vessel is employed on terms whereby any moneys falling within sub-paragraphs (i) to (vii) of paragraph (a) above are pooled or shared with any other person, that proportion of the net receipts of the relevant pooling or sharing arrangement which is attributable to
that Vessel. 

 “Earnings Account” means an account in the name of the Shareholder with the Account Bank
with account number 2910063917. 
 “EBITDA” means, in respect of the Guarantor for any Relevant Period, the aggregate amount
of combined pre-tax profits of the Group before extraordinary or exceptional items, interest, depreciation and amortisation as shown, at any relevant time, by the Latest Accounts. 

“EEA Member Country” means any member state of the European Union, Iceland, Liechtenstein and Norway. 

“Environmental Approval” means any present or future permit, ruling, variance or other Authorisation required under
Environmental Laws. 
 “Environmental Claim” means any claim by any governmental, judicial or regulatory authority or any
other person which arises out of an Environmental Incident or an alleged Environmental Incident or which relates to any Environmental Law and, for this purpose, “claim” includes a claim for damages, compensation, contribution,
injury, fines, losses and penalties or any other payment of any kind, including in relation to clean-up and removal, whether or not similar to the foregoing; an order or direction to take, or not to take,
certain action or to desist from or suspend certain action; and any form of enforcement or regulatory action, including the arrest or attachment of any asset. 

“Environmental Incident” means: 
  

	 	(a)	 any release, emission, spill or discharge into any Vessel or into or upon the air, sea, land or soils
(including the seabed) or surface water of Environmentally Sensitive Material within or from any Vessel; or 

  

	 	(b)	 any incident in which Environmentally Sensitive Material is released, emitted, spilled or discharged into or
upon the air, sea, land or soils (including the seabed) or surface water from a vessel other than any Vessel and which involves a collision between any 

  
 10 

	 	
Vessel and such other vessel or some other incident of navigation or operation, in either case, in connection with which a Vessel is actually or potentially liable to be arrested, attached,
detained or injuncted and/or a Vessel and/or any Transaction Obligor and/or any operator or manager of a Vessel is at fault or allegedly at fault or otherwise liable to any legal or administrative action; or 

 

	 	(c)	 any other incident in which Environmentally Sensitive Material is released, emitted, spilled or discharged into
or upon the air, sea, land or soils (including the seabed) or surface water otherwise than from a Vessel and in connection with which a Vessel is actually or potentially liable to be arrested and/or where any Transaction Obligor and/or any operator
or manager of a Vessel is at fault or allegedly at fault or otherwise liable to any legal or administrative action, other than in accordance with an Environmental Approval. 

“Environmental Law” means any present or future law relating to pollution or protection of human health or the environment, to
conditions in the workplace, to the carriage, generation, handling, storage, use, release or spillage of Environmentally Sensitive Material or to actual or threatened releases of Environmentally Sensitive Material. 

“Environmentally Sensitive Material” means and includes all contaminants, oil, oil products, toxic substances and any other
substance (including any chemical, gas or other hazardous or noxious substance) which is (or is capable of being or becoming) polluting, toxic or hazardous. 

“EU Bail-In Legislation Schedule” means the document described as such and published
by the Loan Market Association (or any successor person) from time to time. 
 “Event of Default” means any event or
circumstance specified as such in Clause 27 (Events of Default). 
 “Existing Facility Agreement” means the facility
agreement dated 28 June 2017 (as amended and/or supplemented from time to time) and entered into between, amongst others, Borrower D and the Existing Vessel D Lender as lender to secured on, inter alia, Vessel D. 

“Existing Vessel D Lender” means DVB Bank SE. 

“Existing Indebtedness” means: 
  

	 	(a)	 in relation to Borrower A, the relevant part of the Term B Loan relating to Vessel A; 

 

	 	(b)	 in relation to Borrower B, the relevant part of the Term B Loan relating to Vessel B; 

 

	 	(c)	 in relation to Borrower C, the relevant part of the Term B Loan relating to Vessel C; and

  

	 	(d)	 in relation to Borrower D, the outstanding Financial Indebtedness on that date under the Existing Facility
Agreement amounting to $12,250,000 at the date of this Agreement. 

 “Existing Security” means any
Security created to secure the Existing Indebtedness. 
 “Facility” means the term loan facility made available under this
Agreement as described in Clause 2 (The Facility). 

  
 11 

 “Facility Office” means the office or offices notified by a Lender to the
Facility Agent in writing on or before the date it becomes a Lender (or, following that date, by not less than 5 Business Days’ written notice) as the office or offices through which it will perform its obligations under this Agreement. 

“FATCA” means: 
  

	 	(a)	 sections 1471 to 1474 of the Code or any associated regulations; 

 

	 	(b)	 any treaty, law or regulation of any other jurisdiction, or relating to an intergovernmental agreement between
the US and any other jurisdiction, which (in either case) facilitates the implementation of any law or regulation referred to in paragraph (a) above; or 

  

	 	(c)	 any agreement pursuant to the implementation of any treaty, law or regulation referred to in paragraphs
(a) or (b) above with the US Internal Revenue Service, the US government or any governmental or taxation authority in any other jurisdiction. 

“FATCA Application Date” means:  

 

	 	(a)	 in relation to a “withholdable payment” described in section 1473(1)(A)(i) of the Code (which relates
to payments of interest and certain other payments from sources within the US), 1 July 2014; or 

  

	 	(b)	 in relation to a “passthru payment” described in section 1471(d)(7) of the Code not falling within
paragraph (a) above, the first date from which such payment may become subject to a deduction or withholding required by FATCA. 

“FATCA Deduction” means a deduction or withholding from a payment under a Finance Document required by FATCA.  
 “FATCA Exempt Party” means a Party that is entitled to receive payments
free from any FATCA Deduction.  
 “Fee Letter” means any letter or
letters dated on or about the date of this Agreement between any of the Arranger, the Facility Agent and the Security Agent and any Obligor setting out any of the fees referred to in Clause 11 (Fees). 

“Finance Document” means: 
  

	 	(a)	 this Agreement; 

  

	 	(b)	 any Fee Letter; 

  

	 	(c)	 each Drawdown Request; 

 

	 	(d)	 any Security Document; 

 

	 	(e)	 any other document which is executed for the purpose of establishing any priority or subordination arrangement
in relation to the Secured Liabilities; or 

  

	 	(f)	 any other document designated as such by the Facility Agent and the Borrowers. 

  
 12 

 “Finance Party” means the Arranger, the Facility Agent, the Security Agent,
the Account Bank or a Lender. 
 “Financial Indebtedness” means any indebtedness for or in relation to: 

 

	 	(a)	 moneys borrowed; 

  

	 	(b)	 any amount raised by acceptance under any acceptance credit facility or dematerialised equivalent;

  

	 	(c)	 any amount raised pursuant to any note purchase facility or the issue of bonds, notes, debentures, loan stock
or any similar instrument; 

  

	 	(d)	 the amount of any liability in relation to any lease or hire purchase contract which would, in accordance with
GAAP, be treated as a balance sheet liability; 

  

	 	(e)	 receivables sold or discounted (other than any receivables to the extent they are sold on a non-recourse basis); 

  

	 	(f)	 any amount raised under any other transaction (including any forward sale or purchase agreement) of a type not
referred to in any other paragraph of this definition having the commercial effect of a borrowing; 

  

	 	(g)	 any derivative transaction entered into in connection with protection against or benefit from fluctuation in
any rate or price (and, when calculating the value of any derivative transaction, only the marked to market value (or, if any actual amount is due as a result of the termination or close-out of that derivative
transaction, that amount) shall be taken into account); 

  

	 	(h)	 any counter-indemnity obligation in relation to a guarantee, indemnity, bond, standby or documentary letter of
credit or any other instrument issued by a bank or financial institution; and 

  

	 	(i)	 the amount of any liability in relation to any guarantee or indemnity for any of the items referred to in
paragraphs (a) to (f) above. 

 “Fleet Vessel” means any ship (including the Vessels) from time to
time owned by the Guarantor (directly or indirectly). 
 “Funding Rate” means any individual rate notified by a Lender to
the Facility Agent pursuant to sub-paragraph (ii) of paragraph (a) of Clause 10.4 (Cost of funds). 

“GAAP” means generally accepted accounting principles in the US. 

“General Assignment” means, in relation to a Vessel, the general assignment creating Security over: 

 

	 	(a)	 the Earnings, the Insurances and any Requisition Compensation in relation to that Vessel; and

  

	 	(b)	 any Charter and any Charter Guarantee, 

in agreed form. 

  
 13 

 “Group” means the Guarantor and its Subsidiaries for the time being
(excluding any Subsidiaries whose shares are listed on any public stock exchange or whose financial statements are not consolidated into the financial statements of the Guarantor) and “member of the Group” shall be construed
accordingly. 
 “Guarantee” means the guarantee of the Guarantor contained in this Agreement. 

“Holding Company” means, in relation to a person, any other person in relation to which it is a Subsidiary. 

“Indemnified Person” has the meaning given to it in Clause 14.2 (Other indemnities). 

“Initial Market Value” means the Market Value of a Vessel determined in accordance with the valuations provided pursuant to
paragraph 3.3 of Schedule 2, Part B. 
 “Insurances” means, in relation to a Vessel: 

 

	 	(a)	 all policies and contracts of insurance, including entries of that Vessel in any protection and indemnity or
war risks association, effected in relation to that Vessel, the Earnings or otherwise in relation to that Vessel whether before, on or after the date of this Agreement; and 

 

	 	(b)	 all rights and other assets relating to, or derived from, any of such policies, contracts or entries, including
any rights to a return of premium and any rights in relation to any claim whether or not the relevant policy, contract of insurance or entry has expired on or before the date of this Agreement. 

“Interest” means, in respect of the Guarantor for any Relevant Period, the aggregate amount of interest, commissions, fees,
discounts, prepayment fees, premiums, charges or other finance payments paid or payable during the Relevant Period in respect of any borrowings by the Guarantor and its Subsidiaries as shown in or determined from its Latest Accounts or otherwise as
would be determined in accordance with GAAP. 
 “Interest Cover Ratio” means, by reference to a Test Date, the ratio of
EBITDA to Interest on a trailing four-quarter basis. 
 “Interest Payment Date” has the meaning given to it in paragraph
(a) of Clause 8.2 (Payment of interest). 
 “Interest Period” means, in relation to the Loan or any part of the
Loan, each period determined in accordance with Clause 9 (Interest Periods) and, in relation to an Unpaid Sum, each period determined in accordance with Clause 8.3 (Default interest). 

“Interpolated Screen Rate” means, in relation to the Loan or any part of the Loan, the rate (rounded to the same number of
decimal places as the two relevant Screen Rates) which results from interpolating on a linear basis between: 
  

	 	(a)	 the applicable Screen Rate for the longest period (for which that Screen Rate is available) which is less than
the Interest Period of the Loan or that part of the Loan; and 

  

	 	(b)	 the applicable Screen Rate for the shortest period (for which that Screen Rate is available) which exceeds the
Interest Period of the Loan or that part of the Loan, 

  
 14 

 each as of the Specified Time for dollars. 

“ISM Code” means the International Safety Management Code for the Safe Operation of Ships and for Pollution Prevention
(including the guidelines on its implementation), adopted by the International Maritime Organisation, as the same may be amended or supplemented from time to time. 

“ISPS Code” means the International Ship and Port Facility Security (ISPS) Code as adopted by the International Maritime
Organization’s (IMO) Diplomatic Conference of December 2002, as the same may be amended or supplemented from time to time. 

“ISSC” means an International Ship Security Certificate issued under the ISPS Code. 

“KYC Documentation” means any documentation which a Finance Party requires for its “know your customer” due
diligence regulation purposes, including but not limited to: 
  

	 	(a)	 certificate of incorporation, 

 

	 	(b)	 proof of registered address, 

 

	 	(c)	 list of directors; and 

 

	 	(d)	 list of shareholders (unless the company is listed on a recognised stock exchange). 

“Latest Accounts” means, in respect of any financial quarter or year of the Group, the latest unaudited (in respect of each
financial quarter) or audited (in respect of each financial year) financial statements required to be prepared pursuant to Clause 20.2 (Financial statements). 

“Lender” means: 
  

	 	(a)	 any Original Lender; and 

 

	 	(b)	 any bank, financial institution, trust, fund or other entity which has become a Party in accordance with Clause
28 (Changes to the Lenders), 

 which in each case has not ceased to be a Party in accordance with this Agreement.

 “LIBOR” means, in relation to the Loan or any part of the Loan: 

 

	 	(a)	 the applicable Screen Rate as of the Specified Time for dollars and for a period equal in length to the
Interest Period of the Loan or that part of the Loan; or 

  

	 	(b)	 as otherwise determined pursuant to Clause 10.1 (Unavailability of Screen Rate), 

and if, in either case, that rate is less than zero, LIBOR shall be deemed to be zero. 

“Liquid Funds” means, by reference to a Test Date or, as the case may be, for any accounting period, the aggregate of any cash
deposits legally or beneficially held by all members of the Group and including any funds held with the Facility Agent and other banks from time to time to satisfy minimum liquidity requirements. 

“LMA” means the Loan Market Association. 

  
 15 

 “Loan” means the aggregate amount of the Advances to be made available
under the Facility or the aggregate principal amount outstanding for the time being of the borrowings under the Facility and a “part of the Loan” means an Advance, a Tranche or any other part of the Loan as the context may require.

 “Major Casualty” means, in relation to a Vessel, any casualty to that Vessel in relation to which the claim or the
aggregate of the claims against all insurers, before adjustment for any relevant franchise or deductible, exceeds $500,000 or the equivalent in any other currency. 

“Majority Lenders” means: 
  

	 	(a)	 if no Advance has yet been made, a Lender or Lenders whose Commitments aggregate more than 662⁄3 per cent. of the Total Commitments; or 

  

	 	(b)	 at any other time, a Lender or Lenders whose participations in the Loan aggregate more than 662⁄3 per cent. of the amount of the Loan then outstanding or, if the Loan has been repaid or prepaid in full, a Lender or Lenders whose participations in the Loan
immediately before repayment or prepayment in full aggregate more than 662⁄3 per cent. of the Loan immediately before such repayment. 

“Management Agreement” means, in relation to a Vessel, the agreement entered into between the Borrower owning that Vessel and
the Approved Manager regarding the commercial and technical management of that Vessel. 
 “Manager’s Undertaking”
means, in relation to a Vessel, the letter of undertaking from the Approved Manager subordinating the rights of the Approved Manager against that Vessel and the relevant Borrower to the rights of the Finance Parties and assigning the rights and
interests of the Approved Manager in the Insurances in relation to that Vessel to the Finance Parties in agreed form. 

“Margin” means 2.60 per cent. per annum. 

“Market Value” means, in relation to a Vessel or any other vessel, at any date, the market value of that Vessel or vessel
determined in accordance with Clause 25.7 (Provision of valuations) and, prepared: 
  

	 	(a)	 unless otherwise specified by the Facility Agent, as at a date not more than 30 days previously;

  

	 	(b)	 by an Approved Valuer or Approved Valuers; 

 

	 	(c)	 with or without physical inspection of that Vessel or vessel (as the Facility Agent may require); and

  

	 	(d)	 on the basis of a sale for prompt delivery for cash on normal arm’s length commercial terms as between a
willing seller and a willing buyer, free of any Charter. 

 “Market Value Adjusted Leverage” means, at any
relevant time, the ratio of: 
  

	 	(a)	 the Total Liabilities Adjusted; to 

 

	 	(b)	 the Market Value Adjusted Total Assets. 

  
 16 

 “Market Value Adjusted Total Assets” means, at any time, Total Assets
adjusted to reflect the difference between the book values of all Fleet Vessels and the aggregate market value of all Fleet Vessels as provided in the Latest Accounts. 

“Material Adverse Effect” means in the reasonable opinion of the Majority Lenders a material adverse effect on: 

 

	 	(a)	 the business, operations, property, condition (financial or otherwise) or prospects of the Group as a whole; or

  

	 	(b)	 the ability of any Transaction Obligor to perform its obligations under any Finance Document; or

  

	 	(c)	 the validity or enforceability of, or the effectiveness or ranking of any Security granted or intended to be
granted pursuant to any of, the Finance Documents or the rights or remedies of any Finance Party under any of the Finance Documents. 

“Maturity Date” means, in relation to each Tranche, the earlier of (i) the date falling 60 months after the Drawdown Date
in respect of that Tranche and (ii) 6 February 2024. 
 “Month” means a period starting on one day in a calendar month
and ending on the numerically corresponding day in the next calendar month, except that: 
  

	 	(a)	 (subject to paragraph (c) below) if the numerically corresponding day is not a Business Day, that period
shall end on the next Business Day in that calendar month in which that period is to end if there is one, or if there is not, on the immediately preceding Business Day; 

 

	 	(b)	 if there is no numerically corresponding day in the calendar month in which that period is to end, that period
shall end on the last Business Day in that calendar month; and 

  

	 	(c)	 if an Interest Period begins on the last Business Day of a calendar month, that Interest Period shall end on
the last Business Day in the calendar month in which that Interest Period is to end. 

 The above rules will only apply to
the last Month of any period. 
 “Mortgage” means, in relation to a Vessel, a first preferred Panamanian (as the case may)
ship mortgage on that Vessel in agreed form. 
 “Net Worth” means the amount by which the Total Assets exceed the Total
Liabilities. 
 “Obligor” means a Borrower or the Guarantor. 

“Original Financial Statements” means the annual audited consolidated financial statements of the Group for its financial year
ended 31 December 2017. 
 “Original Jurisdiction” means, in relation to a Transaction Obligor, the jurisdiction under
whose laws that Transaction Obligor is incorporated as at the date of this Agreement. 
 “Overseas Regulations” means the
Overseas Companies Regulations 2009 (SI 2009/1801). 

  
 17 

 “Parallel Debt” means any amount which an Obligor owes to the Security
Agent under Clause 31.2 (Parallel Debt (Covenant to pay the Security Agent)) or under that clause as incorporated by reference or in full in any other Finance Document. 

“Participating Member State” means any member state of the European Union that has the euro as its lawful currency in
accordance with legislation of the European Union relating to Economic and Monetary Union. 
 “Party” means a party to this
Agreement. 
 “Permitted Charter” means, in relation to a Vessel, a Charter: 

 

	 	(a)	 which is a time, voyage or consecutive voyage charter; 

 

	 	(b)	 the duration of which does not exceed and is not capable of exceeding, by virtue of any optional extensions, 13
months; 

  

	 	(c)	 which is entered into on bona fide arm’s length terms at the time at which that Vessel is fixed;
and 

  

	 	(d)	 in relation to which not more than two months’ hire is payable in advance, 

and any other Charter which is approved in writing by the Facility Agent acting with the authorisation of the Majority Lenders. 

“Permitted Financial Indebtedness” means: 
  

	 	(a)	 any Financial Indebtedness incurred under the Finance Documents; 

 

	 	(b)	 in relation to each Borrower, until the Drawdown Date of the relevant Advance, the Existing Indebtedness; and

  

	 	(c)	 any Financial Indebtedness (including without limitation, any shareholder or intra-Group loans made available
to the Borrowers (or any of them) in the normal course of its business of trading and operating any Vessel) that is subordinated to all Financial Indebtedness incurred under the Finance Documents in writing in a manner acceptable to the Facility
Agent in all respects. 

 “Permitted Security” means: 

 

	 	(a)	 Security created by the Finance Documents; 

 

	 	(b)	 any netting or set-off arrangement entered into by any member of the
Group in the ordinary course of its banking arrangements for the purpose of netting debit and credit balances; 

  

	 	(c)	 liens for unpaid master’s and crew’s wages in accordance with usual maritime practice;

  

	 	(d)	 liens for salvage; 

  

	 	(e)	 liens for master’s disbursements incurred in the ordinary course of trading; and 

  
 18 

	 	(f)	 any other lien arising by operation of law or otherwise in the ordinary course of the operation, repair or
maintenance of any Vessel and not as a result of any default or omission by any Borrower and subject, in the case of liens for repair or maintenance, to Clause 24.17 (Restrictions on chartering, appointment of managers etc.).

 “Potential Event of Default” means any event or circumstance specified in Clause 27 (Events of
Default) which would (with the expiry of a grace period, the giving of notice, the making of any determination under the Finance Documents or any combination of any of the foregoing) be an Event of Default. 

“Prohibited Person” means any person (whether designated by name or by reason of being included in a class of persons) against
whom Sanctions are directed. 
 “Protected Party” has the meaning given to it in Clause 12.1 (Definitions). 

“Quotation Day” means, in relation to any period for which an interest rate is to be determined, two Business Days before the
first day of that period unless market practice differs in the Relevant Interbank Market in which case the Quotation Day will be determined by the Facility Agent in accordance with market practice in the Relevant Interbank Market (and if quotations
would normally be given by leading banks in the Relevant Interbank Market on more than one day, the Quotation Day will be the last of those days). 

“Relevant Nominating Body” means any applicable central bank, regulator or other supervisory authority or a group of them, or
any working group or committee sponsored or chaired by, or constituted at the request of, any of them or the Financial Stability Board. 

“Receiver” means a receiver or receiver and manager or administrative receiver of the whole or any part of the Security
Assets. 
 “Reference Bank Quotation” means any quotation supplied to the Facility Agent by a Reference Bank. 

“Reference Bank Rate” means the arithmetic mean of the rates (rounded upwards to four decimal places) as supplied to the
Facility Agent at its request by the Reference Banks: 
  

	 	(a)	 if: 

  

	 	(i)	 the Reference Bank is a contributor to the Screen Rate; and 

 

	 	(ii)	 it consists of a single figure, 

as the rate (applied to the relevant Reference Bank and the relevant currency and period) which contributors to the Screen Rate are asked to
submit to the relevant administrator; or 
  

	 	(b)	 in any other case, as the rate at which the relevant Reference Bank could fund itself in dollars for the
relevant period with reference to the unsecured wholesale funding market. 

 “Reference Banks” means the
principal London offices of any three banks from the ICE LIBOR panel or such other entities as may be appointed by the Facility Agent in consultation with the Borrowers. 

  
 19 

 “Related Fund” in relation to a fund (the “first fund”),
means a fund which is managed or advised by the same investment manager or investment adviser as the first fund or, if it is managed by a different investment manager or investment adviser, a fund whose investment manager or investment adviser is an
Affiliate of the investment manager or investment adviser of the first fund. 
 “Relevant Interbank Market” means the London
interbank market. 
 “Relevant Jurisdiction” means, in relation to a Transaction Obligor: 

 

	 	(a)	 its Original Jurisdiction; 

 

	 	(b)	 any jurisdiction where any asset subject to, or intended to be subject to, any of the Transaction Security
created, or intended to be created, by it is situated; 

  

	 	(c)	 any jurisdiction where it conducts its business; and 

 

	 	(d)	 the jurisdiction whose laws govern the perfection of any of the Security Documents entered into by it.

 “Relevant Period” means, by reference to a Test Date, each period of three months ending on that Test
Date. 
 “Repayment Date” means each date on which a Repayment Instalment is required to be paid under Clause 6.1
(Repayment of Loan). 
 “Repayment Instalment” has the meaning given to it in Clause 6.1 (Repayment of Loan).

 “Repeating Representation” means each of the representations set out in Clause 19 (Representations) except Clause
19.10 (Insolvency), Clause 19.11 (No filing or stamp taxes), Clause 19.12 (Deduction of Tax), Clause 19.17 (No proceedings pending or threatened), Clause 19.35 (Sanctions, Anti-Corruption Laws, Anti-Money Laundering
Laws) and any representation of any Transaction Obligor made in any other Finance Document that is expressed to be a “Repeating Representation” or is otherwise expressed to be repeated. 

“Replacement Benchmark” means a benchmark rate which is: 

 

	 	(a)	 formally designated, nominated or recommended as the replacement for a Screen Rate by: 

 

	 	(i)	 the administrator of that Screen Rate (provided that the market or economic reality that such benchmark rate
measures is the same as that measured by that Screen Rate); or 

  

	 	(ii)	 any Relevant Nominating Body, 

and if replacements have, at the relevant time, been formally designated, nominated or recommended under both paragraphs, the “Replacement
Benchmark” will be the replacement under paragraph (ii) above; 
  

	 	(b)	 in the opinion of the Majority Lenders and the Borrowers, generally accepted in the international or any
relevant domestic syndicated loan markets as the appropriate successor to that Screen Rate; or 

  
 20 

	 	(c)	 in the opinion of the Majority Lenders and the Borrowers, an appropriate successor to a Screen Rate.

 “Representative” means any delegate, agent, manager, administrator, nominee, attorney, trustee or
custodian. 
 “Requisition” means, in relation to a Vessel: 

 

	 	(a)	 any expropriation, confiscation, requisition (excluding a requisition for hire or use which does not involve a
requisition for title) or acquisition of that Vessel, whether for full consideration, a consideration less than its proper value, a nominal consideration or without any consideration, which is effected (whether de jure or de facto) by any government
or official authority or by any person or persons claiming to be or to represent a government or official authority; and 

  

	 	(b)	 any capture or seizure of that Vessel (including any hijacking or theft) by any person whatsoever.

 “Requisition Compensation” includes all compensation or other moneys payable to a Borrower by reason of
any Requisition or any arrest or detention of the Vessel owned by that Borrower in the exercise or purported exercise of any lien or claim. 

“Resolution Authority” means any body which has authority to exercise any Write-down and Conversion Powers. 

“Safety Management Certificate” has the meaning given to it in the ISM Code. 

“Safety Management System” has the meaning given to it in the ISM Code. 

“Sanctions” means any sanctions, embargoes, freezing provisions, prohibitions or other restrictions relating to trading, doing
business, investment, exporting, financing or making assets available (or other activities similar to or connected with any of the foregoing): 
  

	 	(a)	 imposed by law or regulation of the United Kingdom, the Council of the European Union, the United Nations or
its Security Council or the United States of America; or 

  

	 	(b)	 otherwise imposed by any law or regulation. 

“Sanctions Target” means a target or subject of any Sanctions, including, without limitation, any person or entity, 

 

	 	(a)	 listed on the OFAC Specially Designated Nationals and Blocked Persons List, the OFAC Foreign Sanctions Evaders
List, the OFAC Sectoral Sanctions Identification List, or any other OFAC list of OFAC sanctioned persons or entities, or any entity that is owned 50% or more, directly or indirectly, by such a person or entity; 

 

	 	(b)	 listed by the US Department of State or the US Department of Commerce on any of the lists published by them of
export restricted persons where such restrictions apply to the export or operation of the Vessel, its engines, machinery, boats, tackle, outfit, spare gear, fuel, consumable or other stores, belongings and appurtenances whether on board or ashore
and whether owned as at the date of this Deed or later acquired; 

  
 21 

	 	(c)	 listed on any similar list maintained by the United Nations, the EU or, in the UK, Her Majesty’s Treasury;

  

	 	(d)	 based, organised or resident in a country or territory that is the subject of comprehensive country-wide or
territory-wide sanctions; or 

  

	 	(e)	 controlled by or acting on behalf of any person or entity falling within (a), (b), (c) or (d).

 “Screen Rate Contingency Period” means 10 Business Days. 

“Screen Rate Replacement Event” means, in relation to a Screen Rate: 

 

	 	(a)	 the methodology, formula or other means of determining that Screen Rate has, in the opinion of the Majority
Lenders, and the Borrowers materially changed; 

  

	 	(b)	 

  

	 	(i)	 

  

	 	(A)	 the administrator of that Screen Rate or its supervisor publicly announces that such administrator is
insolvent; or 

  

	 	(B)	 information is published in any order, decree, notice, petition or filing, however described, of or filed with
a court, tribunal, exchange, regulatory authority or similar administrative, regulatory or judicial body which reasonably confirms that the administrator of that Screen Rate is insolvent, 

provided that, in each case, at that time, there is no successor administrator to continue to provide that Screen Rate; 

 

	 	(ii)	 the administrator of that Screen Rate publicly announces that it has ceased or will cease, to provide that
Screen Rate permanently or indefinitely and, at that time, there is no successor administrator to continue to provide that Screen Rate; 

  

	 	(iii)	 the supervisor of the administrator of that Screen Rate publicly announces that such Screen Rate has been or
will be permanently or indefinitely discontinued; or 

  

	 	(iv)	 the administrator of that Screen Rate or its supervisor announces that that Screen Rate may no longer be used;
or 

  

	 	(c)	 the administrator of that Screen Rate determines that that Screen Rate should be calculated in accordance with
its reduced submissions or other contingency or fallback policies or arrangements and either: 

  

	 	(i)	 the circumstance(s) or event(s) leading to such determination are not (in the opinion of the Majority Lenders
and the Borrowers) temporary; or 

  
 22 

	 	(ii)	 that Screen Rate is calculated in accordance with any such policy or arrangement for a period no less than the
Screen Rate Contingency Period; or 

  

	 	(d)	 in the opinion of the Majority Lenders and the Borrowers, that Screen Rate is otherwise no longer appropriate
for the purposes of calculating interest under this Agreement. 

 “Screen Rate” means the London
interbank offered rate administered by ICE Benchmark Administration Limited (or any other person which takes over the administration of that rate) for dollars for the relevant period displayed on page LIBOR01 or LIBOR02 of the Thomson Reuters screen
(or any replacement Thomson Reuters page which displays that rate) or on the appropriate page of such other information service which publishes that rate from time to time in place of Thomson Reuters. If such page or service ceases to be available,
the Facility Agent may specify another page or service displaying the relevant rate after consultation with the Borrowers. 

“Secured Liabilities” means all present and future obligations and liabilities, (whether actual or contingent and whether owed
jointly or severally or in any other capacity whatsoever) of each Transaction Obligor to any Creditor Party under or in connection with each Finance Document. 

“Security” means a mortgage, pledge, lien, charge, assignment, hypothecation or security interest or any other agreement or
arrangement having the effect of conferring security. 
 “Security Assets” means all of the assets of the Transaction
Obligors which from time to time are, or are expressed to be, the subject of the Transaction Security. 
 “Security Cover
Ratio” means, at any relevant time, the aggregate of (i) the aggregate of the Market Value of the Vessels subject to a Mortgage and (ii) the net realisable value of any additional security provided at that time under Clause 25
(Security Cover), at that time expressed as a percentage of the Loan; 
 “Security Document” means: 

 

	 	(a)	 any Shares Security; 

 

	 	(b)	 any Mortgage; 

  

	 	(c)	 any General Assignment; 

 

	 	(d)	 any Charterparty Assignment; 

 

	 	(e)	 any Account Security; 

 

	 	(f)	 any Manager’s Undertaking; 

 

	 	(g)	 any other document (whether or not it creates Security) which is executed as security for the Secured
Liabilities; or 

  

	 	(h)	 any other document designated as such by the Facility Agent and the Borrowers. 

  
 23 

 “Security Period” means the period starting on the date of this Agreement
and ending on the date on which the Facility Agent is satisfied that there is no outstanding Commitment in force and that the Secured Liabilities have been irrevocably and unconditionally paid and discharged in full. 

“Security Property” means: 
  

	 	(a)	 the Transaction Security expressed to be granted in favour of the Security Agent as trustee for the Creditor
Parties and all proceeds of that Transaction Security; 

  

	 	(b)	 all obligations expressed to be undertaken by a Transaction Obligor to pay amounts in relation to the Secured
Liabilities to the Security Agent as trustee for the Creditor Parties and secured by the Transaction Security together with all representations and warranties expressed to be given by a Transaction Obligor or any other person in favour of the
Security Agent as trustee for the Creditor Parties; 

  

	 	(c)	 the Security Agent’s interest in any turnover trust created under the Finance Documents;

  

	 	(d)	 any other amounts or property, whether rights, entitlements, choses in action or otherwise, actual or
contingent, which the Security Agent is required by the terms of the Finance Documents to hold as trustee on trust for the Creditor Parties, 

except: 
  

	 	(i)	 rights intended for the sole benefit of the Security Agent; and 

 

	 	(ii)	 any moneys or other assets which the Security Agent has transferred to the Facility Agent or (being entitled to
do so) has retained in accordance with the provisions of this Agreement. 

 “Selection Notice” means a
notice substantially in the form set out in Part E of Schedule 3 (Requests) given in accordance with Clause 9 (Interest Periods). 

“Servicing Party” means the Facility Agent or the Security Agent. 

“Shareholder” means, in relation to each Borrower, Navios Maritime Operating L.L.C., a limited liability company formed and
existing under the laws of the Republic of the Marshall Islands whose registered address is at Trust Company Complex, Ajeltake Road, Ajeltake Island Majuro, Marshall Islands MH 96960. 

“Shares Security” means, in relation to a Borrower, a document creating Security over the share capital in that Borrower in
agreed form. 
 “Specified Time” means a day or time determined in accordance with Schedule 7 (Timetables). 

“Subsidiary” means that a company (S) is a subsidiary of another company (P) if 

 

	 	(a)	 a majority of the issued shares in S (or a majority of the issued shares in S which carry unlimited rights to
capital and income distributions) are directly owned by P or are indirectly attributable to P; and 

  
 24 

	 	(b)	 P has direct or indirect control over a majority of the voting rights attached to the issued shares of S;

 and any company of which S is a subsidiary is a parent company of S. 

“Tax” means any tax, levy, impost, duty or other charge or withholding of a similar nature (including any penalty or interest
payable in connection with any failure to pay or any delay in paying any of the same). 
 “Tax Credit” has the meaning given
to it in Clause 12.1 (Definitions). 
 “Tax Deduction” has the meaning given to it in Clause 12.1
(Definitions). 
 “Tax Payment” has the meaning given to it in Clause 12.1 (Definitions). 

“Term B Loan” means the credit agreement dated as of 14 March 2017 (as amended, restated, supplemented or otherwise
modified from time to time), by and among the Guarantor and Navios Partners Finance (US) Inc., a Delaware corporation, as borrowers, the lenders from time to time party thereto and Morgan Stanley Senior Funding, Inc., as administrative agent for the
lenders; 
 “Terms and Conditions” means the Special Conditions for Time Deposit Account for Commercial Clients (including
but not limited to the Account Bank’s General Terms and Conditions of Business) as set out in the Application for Opening of the Time Deposit Account. 

“Test Date” means 31 March, 30 June, 30 September and 31 December, being the last day of the financial
quarter to which the Latest Accounts relate. 
 “Third Parties Act” has the meaning given to it in Clause 1.5 (Third
party rights). 
 “Time Deposit Account” means an account in the name of the Shareholder with the Account Bank with
account number 5900000042. 
 “Total Assets” means, as at the date of calculation or, as the case may be, for any accounting
period, the total assets of the Group (including, without limitation, the Vessels) as at that date (based on book values) or for that period (which shall have the meaning given thereto under the GAAP) as shown in the Latest Accounts. 

“Total Commitments” means the aggregate of the Tranche A Commitment, Tranche B Commitment, Tranche C Commitment and
Tranche D Commitment being $66,000,000 at the date of this Agreement. 
 “Total Debt” means, as at the date of calculation
or, as the case may be, for any accounting period, the total debt of the Group as at that date or for that period (which shall have the meaning given thereto under GAAP) as shown in the most Latest Accounts. 

“Total Liabilities” means, as at the date of calculation or, as the case may be, for any accounting period, the total
liabilities of the Group as at that date or for that period (which shall have the meaning given thereto under GAAP) as shown in the Latest Accounts. 

“Total Liabilities Adjusted” means, the Total Liabilities excluding the amount which appears as deferred revenue and relates
to the compensation received in respect of m.vs. “HYUNDAI BUSAN”,” HYUNDAI SINGAPORE”, “ HYUNDAI SHANGHAI”, “HYUNDAI TOKYO” and “HYUNDAI HONG KONG”, in each case, as such amount reduces from time to
time. 

  
 25 

 “Total Loss” means, in relation to a Vessel: 

 

	 	(a)	 actual, constructive, compromised, agreed or arranged total loss of that Vessel; or 

 

	 	(b)	 in the case of any of the events described in paragraph (a) of the definition “Requisition”, any
such Requisition of a Vessel unless that Vessel is returned to the full control of the relevant Borrower within 60 days of such Requisition; and 

  

	 	(c)	 in the case of any of the events described in paragraph (b) of the definition “Requisition”, any
such Requisition of a Vessel unless that Vessel is returned to the full control of the relevant Borrower within 90 days of such Requisition, provided that in the case of hijacking, if the relevant underwriters confirm to the Facility Agent in
writing (in customary terms) prior to the end of the 30 day period that that Vessel will be covered by that Borrower’s war risk insurance, the shorter of 12 months and the period for which such cover is confirmed to attach.

 “Total Loss Date” means, in relation to the Total Loss of a Vessel: 

 

	 	(a)	 in the case of an actual loss of that Vessel, the date on which it occurred or, if that is unknown, the date
when that Vessel was last heard of; 

  

	 	(b)	 in the case of a constructive, compromised, agreed or arranged total loss of that Vessel, the earlier of:

  

	 	(i)	 the date on which a notice of abandonment is given to the insurers; and 

 

	 	(ii)	 the date of any compromise, arrangement or agreement made by or on behalf of the relevant Borrower with that
Vessel’s insurers in which the insurers agree to treat that Vessel as a total loss; and 

  

	 	(c)	 in the case of any other type of Total Loss, the date (or the most likely date) on which it appears to the
Facility Agent that the event constituting the total loss occurred. 

 “Tranche” means each of Tranche A,
Tranche B, Tranche C and Tranche D. 
 “Tranche A” means that part of the Loan made or to be made available to the
Borrowers in respect of Vessel A in a principal amount not exceeding, subject to Clause 5.3(b)(v), the lesser of (i) $16,500,000 and (ii) 57 per cent. of the Initial Market Value of Vessel A. 

“Tranche A Commitment” means: 
  

	 	(a)	 in relation to an Original Lender, the amount set opposite its name under the heading “Tranche A
Commitment” in Part B of Schedule 1 and the amount of any other Tranche A Commitment transferred to it under this Agreement; and 

  

	 	(b)	 in relation to any other Lender, the amount of any Tranche A Commitment transferred to it under this Agreement,

 to the extent not cancelled, reduced or transferred by it under this Agreement. 

  
 26 

 “Tranche B” means that part of the Loan made or to be made available
to the Borrowers in respect of Vessel B in a principal amount not exceeding, subject to Clause 5.3(b)(v), the lesser of (i) $16,500,000 and (ii) 57 per cent. of the Initial Market Value of Vessel B. 

“Tranche B Commitment” means: 
  

	 	(a)	 in relation to an Original Lender, the amount set opposite its name under the heading “Tranche B
Commitment” in Part B of Schedule 1 and the amount of any other Tranche B Commitment transferred to it under this Agreement; and 

  

	 	(b)	 in relation to any other Lender, the amount of any Tranche B Commitment transferred to it under this Agreement,

 to the extent not cancelled, reduced or transferred by it under this Agreement. 

“Tranche C” means that part of the Loan made or to be made available to the Borrowers in respect of Vessel C in a
principal amount not exceeding, subject to Clause 5.3(b)(v), the lesser of (i) $16,500,000 and (ii) 57 per cent. of the Initial Market Value of Vessel C. 

“Tranche C Commitment” means: 
  

	 	(a)	 in relation to an Original Lender, the amount set opposite its name under the heading “Tranche C
Commitment” in Part B of Schedule 1 and the amount of any other Tranche C Commitment transferred to it under this Agreement; and 

  

	 	(b)	 in relation to any other Lender, the amount of any Tranche C Commitment transferred to it under this Agreement,

 to the extent not cancelled, reduced or transferred by it under this Agreement. 

“Tranche D” means that part of the Loan made or to be made available to the Borrowers in respect of Vessel D in a
principal amount not exceeding, subject to Clause 5.3(b)(v), the lesser of (i) $16,500,000 and (ii) 57 per cent. of the Initial Market Value of Vessel D. 

“Tranche D Commitment” means: 
  

	 	(a)	 in relation to an Original Lender, the amount set opposite its name under the heading “Tranche D
Commitment” in Part D of Schedule 1 and the amount of any other Tranche D Commitment transferred to it under this Agreement; and 

  

	 	(b)	 in relation to any other Lender, the amount of any Tranche D Commitment transferred to it under this Agreement,

 to the extent not cancelled, reduced or transferred by it under this Agreement. 

“Transaction Document” means: 
  

	 	(a)	 a Finance Document; 

  

	 	(b)	 a Management Agreement; 

 

	 	(c)	 any Assignable Charter and any related Charter Guarantee; or 

 

	 	(d)	 any other document designated as such by the Facility Agent and the Borrowers. 

  
 27 

 “Transaction Obligor” means an Obligor, the Shareholder and the Approved
Manager who is a member of the Group or any other member of the Group who executes a Transaction Document. 
 “Transaction
Security” means the Security created or evidenced or expressed to be created or evidenced under the Security Documents. 

“Transfer Certificate” means a certificate in the form set out in Schedule 4 (Form of Transfer Certificate) or any
other form agreed between the Facility Agent and the Borrowers. 
 “Transfer Date” means, in relation to an assignment or a
transfer, the later of: 
  

	 	(a)	 the proposed Transfer Date specified in the relevant Assignment Agreement or Transfer Certificate; and

  

	 	(b)	 the date on which the Facility Agent executes the relevant Assignment Agreement or Transfer Certificate.

 “UK Establishment” means a UK establishment as defined in the Overseas Regulations. 

“Unpaid Sum” means any sum due and payable but unpaid by a Transaction Obligor under the Finance Documents. 

“US” means the United States of America. 

“US Tax Obligor” means: 
  

	 	(a)	 a person which is resident for tax purposes in the US; or 

 

	 	(b)	 a person some or all of whose payments under the Finance Documents are from sources within the US for US
federal income tax purposes. 

 “VAT” means:  

 

	 	(a)	 any tax imposed in compliance with the Council Directive of 28 November 2006 on the common system of value
added tax (EC Directive 2006/112); and 

  

	 	(b)	 any other tax of a similar nature, whether imposed in a member state of the European Union in substitution for,
or levied in addition to, such tax referred to in paragraph (a) above, or imposed elsewhere. 

 “VAT
Group” means two or more companies or limited liability partnerships which register as a single taxable entity for VAT purposes. 

“Vessel” means each of Vessel A, Vessel B, Vessel C and Vessel D and in the plural means all of them. 

“Vessel A” has the meaning given to that term in Schedule 8 (Details of the Vessels). 

  
 28 

 “Vessel B” has the meaning given to that term in Schedule 8 (Details of
the Vessels). 
 “Vessel C” has the meaning given to that term in Schedule 8 (Details of the Vessels). 

“Vessel D” has the meaning given to that term in Schedule 8 (Details of the Vessels). 

“Write-down and Conversion Powers” means: 
  

	 	(a)	 in relation to any Bail-In Legislation described in the EU Bail-In Legislation Schedule from time to time, the powers described as such in relation to that Bail-In Legislation in the EU Bail-In
Legislation Schedule; and 

  

	 	(b)	 in relation to any other applicable Bail-In Legislation:

  

	 	(i)	 any powers under that Bail-In Legislation to cancel, transfer or dilute
shares issued by a person that is a bank or investment firm or other financial institution or affiliate of a bank, investment firm or other financial institution, to cancel, reduce, modify or change the form of a liability of such a person or any
contract or instrument under which that liability arises, to convert all or part of that liability into shares, securities or obligations of that person or any other person, to provide that any such contract or instrument is to have effect as if a
right had been exercised under it or to suspend any obligation in respect of that liability or any of the powers under that Bail-In Legislation that are related to or ancillary to any of those powers; and

  

	 	(ii)	 any similar or analogous powers under that Bail-In Legislation.

  

	1.2	 Construction 

  

	(a)	 Unless a contrary indication appears, a reference in this Agreement to: 

 

	 	(i)	 the “Account Bank”, the “Arranger”, the “Facility
Agent”, any “Finance Party”, any “Lender”, any “Obligor”, any “Party”, any “Creditor Party”, the “Security Agent”, any
“Transaction Obligor” or any other person shall be construed so as to include its successors in title, permitted assigns and permitted transferees to, or of, its rights and/or obligations under the Finance Documents;

  

	 	(ii)	 “assets” includes present and future properties, revenues and rights of every description;

  

	 	(iii)	 a liability which is “contingent” means a liability which is not certain to arise and/or the
amount of which remains unascertained; 

  

	 	(iv)	 “document” includes a deed and also a letter, fax or telex; 

 

	 	(v)	 “expense” means any kind of cost, charge or expense (including all legal costs, charges and
expenses) and any applicable Tax including VAT; 

  

	 	(vi)	 a “Finance Document”, a “Security Document” or “Transaction
Document” or any other agreement or instrument is a reference to that Finance Document, Security Document or Transaction Document or other agreement or instrument as amended or novated; 

  
 29 

	 	(vii)	 “indebtedness” includes any obligation (whether incurred as principal or as surety) for the
payment or repayment of money, whether present or future, actual or contingent; 

  

	 	(viii)	 “law” includes any order or decree, any form of delegated legislation, any treaty or
international convention and any regulation or resolution of the Council of the European Union, the European Commission, the United Nations or its Security Council; 

 

	 	(ix)	 “proceedings” means, in relation to any enforcement provision of a Finance Document,
proceedings of any kind, including an application for a provisional or protective measure; 

  

	 	(x)	 a “person” includes any individual, firm, company, corporation, government, state or agency of
a state or any association, trust, joint venture, consortium or partnership or other entity (whether or not having separate legal personality); 

  

	 	(xi)	 a “regulation” includes any regulation, rule, official directive, request or guideline
(whether or not having the force of law) of any governmental, intergovernmental or supranational body, agency, department or regulatory, self-regulatory or other authority or organisation; 

 

	 	(xii)	 “close of business” means 5:00 pm in the relevant location; 

 

	 	(xiii)	 a provision of law is a reference to that provision as amended or
re-enacted; 

  

	 	(xiv)	 a time of day is a reference to Amsterdam time; 

 

	 	(xv)	 any English legal term for any action, remedy, method of judicial proceeding, legal document, legal status,
court, official or any legal concept or thing shall, in respect of a jurisdiction other than England, be deemed to include that which most nearly approximates in that jurisdiction to the English legal term; 

 

	 	(xvi)	 words denoting the singular number shall include the plural and vice versa; and 

 

	 	(xvii)	 “including” and “in particular” (and other similar expressions) shall be
construed as not limiting any general words or expressions in connection with which they are used. 

  

	(b)	 The determination of the extent to which a rate is “for a period equal in length” to an
Interest Period shall disregard any inconsistency arising from the last day of that Interest Period being determined pursuant to the terms of this Agreement. 

  

	(c)	 Section, Clause and Schedule headings are for ease of reference only and are not to be used for the purposes of
construction or interpretation of the Finance Documents. 

  

	(d)	 Unless a contrary indication appears, a term used in any other Finance Document or in any notice given under,
or in connection with, any Finance Document has the same meaning in that Finance Document or notice as in this Agreement. 

  
 30 

	(e)	 A Potential Event of Default is “continuing” if it has not been remedied or waived and an
Event of Default is “continuing” if it has not been waived. 

  

	1.3	 Construction of insurance terms 

In this Agreement: 

“approved” means, for the purposes of Clause 23 (Insurance Undertakings), approved in writing by the Facility Agent;

 “excess risks” means the proportion of claims for general average, salvage and salvage charges not recoverable under the
hull and machinery policies in respect of a Vessel in consequence of its insured value being less than the value at which that Vessel is assessed for the purpose of such claims; 

“obligatory insurances” means all insurances effected, or which each Borrower is obliged to effect, under Clause 23
(Insurance Undertakings) or any other provision of this Agreement or of another Finance Document; 
 “policy”
includes a slip, cover note, certificate of entry or other document evidencing the contract of insurance or its terms; 
 “protection
and indemnity (“P & I”) risks” means the usual risks covered by any protection and indemnity association which is a member of the International Group of Protection and Indemnity Associations (or, if the
International Group ceases to exist, any other leading protection and indemnity association or other leading provider of protection and indemnity insurance) including, (without limitation) excess war risks P&I cover, pollution risks and the
proportion (if any) of any sums payable to any other person or persons in case of collision which are not recoverable under the hull and machinery policies. 

“war risks” means all usual war, P&I and strike risks covered by a recognised mutual War Risks Club or Association
extended to include (without limitation) (a) war protection and indemnity cover on insuring conditions as wide as that provided by the P&I clubs under their excess war P&I cover; (b) piracy, should piracy be excluded under the
hull & machinery insurance; (c) the London Blocking and Trapping addendum or its equivalent; and (d) all risks excluded by clauses 29, 30 or 31 of the International Hull Clauses (1/11/02), clauses 29 or 30 of the International
Hull Clauses (1/11/03), clauses 24, 25 or 26 of the Institute Time Clauses (Hulls) (1/11/95) or clauses 23, 24 or 25 of the Institute Time Clauses (Hulls)(1/10/83) or any equivalent provision. 

 

	1.4	 Agreed forms of Finance Documents 

References in Clause 1.1 (Definitions) to any Finance Document being in “agreed form” are to that Finance Document: 

 

	(a)	 in a form attached to a certificate dated the same date as this Agreement (and signed by the Borrowers and the
Facility Agent); or 

  

	(b)	 in any other form agreed in writing between the Borrowers and the Facility Agent acting with the authorisation
of the Majority Lenders or, where Clause 43.2 (All Lender matters) applies, all the Lenders. 

  
 31 

	1.5	 Third party rights 

 

	(a)	 Unless expressly provided to the contrary in a Finance Document, a person who is not a Party has no right under
the Contracts (Rights of Third Parties) Act 1999 (the “Third Parties Act”) to enforce or to enjoy the benefit of any term of this Agreement. 

 

	(b)	 Subject to Clause 42.3 (Other exceptions) but otherwise notwithstanding any term of any Finance
Document, the consent of any person who is not a Party is not required to rescind or vary this Agreement at any time. 

  

	(c)	 Any Receiver, Delegate, Affiliate or any other person described in paragraph (d) of Clause 14.2 (Other
indemnities), paragraph (b) of Clause 30.11 (Exclusion of liability), Clause 30.21(a) (Role of Reference Banks), Clause 30.23 (Third Party Reference Banks) or paragraph (b) of Clause 31.11 (Exclusion of
liability) may, subject to this Clause 1.5 (Third party rights) and the Third Parties Act, rely on any Clause of this Agreement which expressly confers rights on it. 

  
 32 

 SECTION 2 

THE FACILITY 
  

	2	 THE FACILITY 

  

	2.1	 The Facility 

Subject to the terms of this Agreement, the Lenders agree to make available to the Borrowers a dollar term loan facility in an aggregate amount
not exceeding the Total Commitments. 
  

	2.2	 Finance Parties’ rights and obligations 

 

	(a)	 The obligations of each Finance Party under the Finance Documents are several. Failure by a Finance Party to
perform its obligations under the Finance Documents does not affect the obligations of any other Party under the Finance Documents. No Finance Party is responsible for the obligations of any other Finance Party under the Finance Documents.

  

	(b)	 The rights of each Finance Party under or in connection with the Finance Documents are separate and independent
rights and any debt arising under the Finance Documents to a Finance Party from a Transaction Obligor is a separate and independent debt in respect of which a Finance Party shall be entitled to enforce its rights in accordance with paragraph
(c) below. The rights of each Finance Party include any debt owing to that Finance Party under the Finance Documents and, for the avoidance of doubt, any part of the Loan or any other amount owed by a Transaction Obligor which relates to a
Finance Party’s participation in the Facility or its role under a Finance Document (including any such amount payable to the Facility Agent on its behalf) is a debt owing to that Finance Party by that Transaction Obligor. 

 

	(c)	 A Finance Party may, except as specifically provided in the Finance Documents, separately enforce its rights
under or in connection with the Finance Documents. 

  

	3	 PURPOSE 

  

	3.1	 Purpose 

The Borrowers shall apply all amounts borrowed by them under the Facility only for the purpose of the refinancing of the relevant Existing
Indebtedness. 
  

	3.2	 Monitoring 

No Finance Party is bound to monitor or verify the application of any amount borrowed pursuant to this Agreement. 

 

	4	 CONDITIONS OF DRAWDOWN 

 

	4.1	 Conditions precedent to signing 

This Agreement shall not be signed by the Parties until the Agent has received all KYC Documentation in respect of each Transaction Obligor as
applicable, in form and substance satisfactory to the Agent. 

  
 33 

	4.2	 Conditions precedent to delivery of a Drawdown Request 

The Borrowers may not deliver a Drawdown Request unless the Facility Agent has received all of the documents and other evidence listed in Part
A of Schedule 2 (Conditions Precedent and Subsequent) in form and substance satisfactory to the Facility Agent. 
  

	4.3	 Further conditions precedent 

The Lenders will only be obliged to comply with Clause 5.4 (Lenders’ participation) if: 

 

	(a)	 on the date of a Drawdown Request and on the proposed Drawdown Date and before an Advance is made available:

  

	 	(i)	 no Default is continuing or would result from the proposed Advance; 

 

	 	(ii)	 the Repeating Representations to be made by each Transaction Obligor are true; and 

 

	(b)	 on or before the relevant Drawdown Date, the Facility Agent has received, or is satisfied that it will receive
when the relevant Advance is made available, all of the documents and other evidence listed in Part B of Schedule 2 (Conditions Precedent and Subsequent) in form and substance satisfactory to the Facility Agent (acting on the instructions of
all the Lenders). 

  

	4.4	 Conditions subsequent 

Save in the case of documentary evidence which must be provided when the relevant Advance is made available (as a same day condition
subsequent) that the relevant Mortgage has been duly registered on such date (as required under paragraph 2.1 of Part B of Schedule 2 (Conditions Precedent and Subsequent)), the Borrowers undertake to deliver or cause to be delivered to the
Facility Agent within five Business Days after that Drawdown Date, the additional documents and other evidence listed in Part C of Schedule 2 (Conditions Precedent and Subsequent) in form and substance satisfactory to the Facility Agent. 

 

	4.5	 Notification of satisfaction of conditions precedent 

 

	(a)	 The Facility Agent shall notify the Borrowers and the Lenders promptly upon being satisfied as to the
satisfaction of the conditions precedent and subsequent referred to in Clause 4.1 (Conditions precedent to delivery of a Drawdown Request), Clause 4.3 (Further conditions precedent) and Clause 4.4 (Conditions subsequent).

  

	(b)	 Other than to the extent that the Majority Lenders notify the Facility Agent in writing to the contrary before
the Facility Agent gives the notification described in paragraph (a) above, the Lenders authorise (but do not require) the Facility Agent to give that notification. The Facility Agent shall not be liable for any damages, costs or losses
whatsoever as a result of giving any such notification. 

  

	4.6	 Waiver of conditions precedent 

If the Lenders, at their discretion, permit an Advance to be prepositioned or released before any of the conditions precedent referred to in
Clause 4 (Conditions of Drawdown) or Clause 4.3 (Further conditions precedent) has been satisfied, the Borrowers shall ensure that that condition is satisfied within five Business Days after the relevant Drawdown Date or such later
date as the Facility Agent, acting with the authorisation of the Lenders, may agree in writing with the Borrowers. 

  
 34 

 SECTION 3 

DRAWDOWN 
  

	5	 DRAWDOWN 

  

	5.1	 Delivery of a Drawdown Request 

 

	(a)	 The Borrowers may utilise the Facility by way of Advances by delivery to the Facility Agent of a duly completed
Drawdown Request not later than the Specified Time. 

  

	(b)	 The Borrowers may not deliver more than one Drawdown Request under each Tranche. 

 

	5.2	 Completion of a Drawdown Request 

 

	(a)	 Each Drawdown Request is irrevocable and will not be regarded as having been duly completed unless:

  

	 	(i)	 it identifies the Tranche to be utilised; 

 

	 	(ii)	 the proposed Drawdown Date is a Business Day within the Availability Period; 

 

	 	(iii)	 the currency and amount of a Drawdown comply with Clause 5.3 (Currency and amount); and

  

	 	(iv)	 the proposed Interest Period complies with Clause 9 (Interest Periods). 

 

	(b)	 Only one Advance may be requested in each Drawdown Request and only up to four Drawdown Requests may be
delivered. 

  

	5.3	 Currency and amount 

 

	(a)	 The currency specified in a Drawdown Request must be dollars. 

 

	(b)	 The amount of the proposed Advance must be an amount which is not more than: 

 

	 	(i)	 in respect of the Advance under Tranche A, the Tranche A Commitment; 

 

	 	(ii)	 in respect of the Advance under Tranche B, the Tranche B Commitment; 

 

	 	(iii)	 in respect of the Advance under Tranche C, the Tranche C Commitment; 

 

	 	(iv)	 in respect of the Advance under Tranche D, the Tranche D Commitment; and 

 

	 	(v)	 in the event that all Tranches are drawn down simultaneously, the lesser of: 

 

	 	(A)	 $66,000,000; and 

  

	 	(B)	 57 per cent of the aggregate Initial Market Value of the Vessels. 

 

	(c)	 The amount of the proposed Advance must be an amount which would not oblige the Borrowers to provide additional
security or prepay part of any Advance if the ratio set out in Clause 25 (Security Cover) were applied and notice was given by the Facility Agent under Clause 25.1 (Minimum required security cover) immediately after that Advance was
made. 

  
 35 

	5.4	 Lenders’ participation 

 

	(a)	 If the conditions set out in this Agreement have been met, each Lender shall make its participation in each
Advance available by the relevant Drawdown Date through its Facility Office. 

  

	(b)	 The amount of each Lender’s participation in each Advance will be equal to the proportion borne by its
Commitment to the Total Commitments immediately before making that Advance. 

  

	(c)	 The Facility Agent shall notify each Lender of the amount of each Advance and the amount of its participation
in that Advance by the Specified Time. 

  

	5.5	 Cancellation of Commitments 

The Commitments in respect of any Tranche which are unutilised at the end of the Availability Period for such Tranche shall then be cancelled.

  
 36 

 SECTION 4 

REPAYMENT, PREPAYMENT AND CANCELLATION 
  

	6	 REPAYMENT 

  

	6.1	 Repayment of Loan 

The Borrowers shall repay each Tranche by 20 consecutive quarterly instalments, the first 8 such instalments each in an amount of $585,000, the
following 11 instalments each in an amount of $485,000 and the twentieth and final such instalment in the sum of $6,485,000 (comprising an instalment in the amount of $485,000 and a balloon payment in the amount of $6,000,000), the first of which
shall be repaid on the date falling three Months after the relevant Drawdown Date in respect of that Tranche and the last, payable by no later than the relevant Maturity Date in respect of that Tranche and each such instalment shall be a
“Repayment Instalment”. 
  

	6.2	 Effect of cancellation and prepayment on scheduled repayments 

 

	(a)	 If the Available Commitment of any Lender is cancelled under Clause 7.1 (Illegality) then the Repayment
Instalments falling after that cancellation will reduce pro rata by the amount of the Available Commitments so cancelled. 

  

	(b)	 If the whole or any part of any Available Commitment is cancelled in accordance with Clause 7.2 (Voluntary
and automatic cancellation) or if the whole or part of any Commitment is cancelled pursuant to Clause 5.5 (Cancellation of Commitments), the Repayment Instalments for each Repayment Date falling after that cancellation will reduce pro
rata by the amount of the Commitments so cancelled. 

  

	(c)	 Any partial prepayment under Clause 7.1 (Illegality) shall reduce in inverse chronological order the
amount of each Repayment Instalment and relevant the balloon payment in respect of each Tranche falling after that prepayment by the amount prepaid. 

  

	(d)	 If any part of the Loan is prepaid in accordance with Clause 7.3 (Voluntary prepayment of Loan) then
such partial prepayment shall reduce in chronological order the amount of each Repayment Instalment of the Tranche selected by the Borrowers in their notice or, in the absence of such Tranche selection, the Repayment Instalments of all Tranches,
falling after that prepayment. 

  

	(e)	 If any part of the Loan is prepaid in accordance with Clause 7.4 (Mandatory prepayment on sale, arrest or
Total Loss), the amount of the Loan prepaid shall be applied against the Tranche which has been used in respect of the relevant Vessel and thereafter any balance shall reduce pro rata the then outstanding Repayment Instalments of the other
Tranches. 

  

	6.3	 Maturity Date 

On each Maturity Date the Borrowers shall additionally pay to the Facility Agent for the account of the Finance Parties all other sums then
accrued and owing under the Finance Documents relevant to the Tranche in question. 
  

	6.4	 Reborrowing 

No Borrower may reborrow any part of the Facility which is repaid. 

  
 37 

	7	 PREPAYMENT AND CANCELLATION 

 

	7.1	 Illegality 

If it becomes unlawful in any applicable jurisdiction for a Lender to perform any of its obligations as contemplated by this Agreement or to
fund or maintain its participation in an Advance or the Loan or it becomes unlawful for any Affiliate of a Lender for that Lender to do so: 
  

	(a)	 that Lender shall promptly notify the Facility Agent upon becoming aware of that event; 

 

	(b)	 upon the Facility Agent notifying the Borrowers, the Available Commitment of that Lender will be immediately
cancelled; and 

  

	(c)	 the Borrowers shall prepay that Lender’s participation in the Loan on the last day of the Interest Period
for the Loan occurring after the Facility Agent has notified the Borrowers or, if earlier, the date specified by the Lender in the notice delivered to the Facility Agent (being no earlier than the last day of any applicable grace period permitted by
law) and that Lender’s corresponding Commitment shall be cancelled in the amount of the participation prepaid. 

  

	7.2	 Voluntary and automatic cancellation 

 

	(a)	 The Borrowers may, if they give the Facility Agent not less than 5 Business Days’ (or such shorter period
as the Majority Lenders may agree) prior notice, cancel the whole or any part (being a minimum amount of $500,000 or a multiple of that amount) of the Available Facility. Any cancellation under this Clause 7.2 (Voluntary and automatic
cancellation) shall reduce the Commitments of the Lenders rateably and the amount of the relevant Tranche(s). 

  

	(b)	 The unutilised Commitment (if any) of each Lender in respect of a Tranche shall be automatically cancelled at
close of business on the date on which that Tranche is made available. 

  

	7.3	 Voluntary prepayment of Loan 

 

	(a)	 Subject to paragraph (b) below, the Borrowers may, if they give the Facility Agent not less than five
Business Days’ (or such shorter period as the Majority Lenders may agree) prior notice, prepay the whole or any part of the Loan (but, if in part, being an amount that reduces the amount of the Loan by a minimum amount of $500,000 or a multiple
of that amount). 

  

	(b)	 A Tranche may only be prepaid after the last day of the Availability Period (or, if earlier, the day on which
the Available Facility is zero). 

  

	7.4	 Mandatory prepayment on sale, arrest or Total Loss 

If a Vessel is sold, arrested or becomes a Total Loss, the Borrowers shall prepay the Relevant Amount. Such repayment shall be made: 

 

	(a)	 in the case of a sale of that Vessel, on or before the date on which the sale is completed by delivery of that
Vessel to the buyer; or 

  
 38 

	(b)	 in the case of any arrest of that Vessel, where that Vessel is not within 30 days redelivered to the full
control of the relevant Borrower, on or before the date falling 37 days after the date of the arrest of that Vessel, but this shall not extend to a hijacking of that Vessel for a period not exceeding twelve months Provided that the relevant
underwriters confirm to the Facility Agent in writing (in customary terms) within 30 days of the piracy event that adequate war risks insurance cover has been effected and is in place in respect of that Vessel; or 

 

	(c)	 in the case of a Total Loss, on the earlier of (i) the date falling 180 days after the Total Loss Date and
(ii) the date of receipt by the Security Agent of the proceeds of insurance relating to such Total Loss. 

 In this
Clause 7.4 “Relevant Amount” means an amount equal to the higher of: 
  

	 	(A)	 the Tranche to which the Vessel being sold or which has become a Total Loss relates; and 

 

	 	(B)	 an amount, which after giving credit to the prepayment required to be made pursuant to this Clause 7.4
(Mandatory prepayment or sale, arrest or Total loss), results in the Security Cover Ratio to be maintained pursuant to Clause 25.1 (Minimum required security cover) being no less than the Security Cover Ratio which applied immediately
prior to the applicable event described in paragraphs (a) or (c) of this Clause 7.4 (Mandatory prepayment or sale, arrest or Total loss). 

  

	7.5	 Mandatory Prepayment 

 

	(a)	 If the Mortgages have not been registered on all Vessels by the last day of the Availability Period, the
Borrowers shall prepay the Loan in full within 7 days from the last day of the Availability Period unless the Lenders agree otherwise in their sole discretion. 

 

	(b)	 If Term B Loan has not been refinanced 3 months prior to its maturity (excluding the maturity date itself) (the
“Last Available Date”), the Borrowers shall repay the Loan in full within 60 days from the Last Available Date. 

  

	7.6	 Restrictions 

  

	(a)	 Any notice of cancellation or prepayment given by any Party under this Clause 7 (Prepayment and
Cancellation) shall be irrevocable and, unless a contrary indication appears in this Agreement, shall specify the date or dates upon which the relevant cancellation or prepayment is to be made and the amount of that cancellation or prepayment.

  

	(b)	 Any prepayment under this Agreement shall be made together with accrued interest on the amount prepaid and all
other amounts accrued under the Finance Documents and, subject to the fee provided for in Clause 11.3 (Prepayment fee) and any Break Costs, without premium or penalty. 

 

	(c)	 No Borrower may reborrow any part of the Facility which is prepaid. 

 

	(d)	 No Borrower shall repay or prepay all or any part of the Loan or cancel all or any part of the Commitments
except at the times and in the manner expressly provided for in this Agreement. 

  

	(e)	 No amount of the Total Commitments cancelled under this Agreement may be subsequently reinstated.

  
 39 

	(f)	 If the Facility Agent receives a notice under this Clause 7 (Prepayment and Cancellation) it shall
promptly forward a copy of that notice to either the Borrowers or the affected Lender, as appropriate. 

  

	(g)	 If all or part of any Lender’s participation in the Loan is repaid or prepaid, an amount of that
Lender’s Commitment (equal to the amount of the participation which is repaid or prepaid) will be deemed to be cancelled on the date of repayment or prepayment. 

 

	7.7	 Application of prepayments 

Any prepayment of any part of the Loan (other than a prepayment pursuant to Clause 7.1 (Illegality)) shall be applied pro rata to each
Lender’s participation in that part of the Loan. 

  
 40 

 SECTION 5 

COSTS OF DRAWDOWN 
  

	8	 INTEREST 

  

	8.1	 Calculation of interest 

The rate of interest on the Loan or any part of the Loan for each Interest Period is the percentage rate per annum which is the aggregate of:

  

	(a)	 the Margin; and 

  

	(b)	 LIBOR. 

  

	8.2	 Payment of interest 

 

	(a)	 The Borrowers shall pay accrued interest on the Loan or any part of the Loan on the last day of each Interest
Period (each an “Interest Payment Date”). 

  

	(b)	 If an Interest Period is longer than three Months, the Borrowers shall also pay interest then accrued on the
Loan or the relevant part of the Loan on the dates falling at three Monthly intervals after the first day of the Interest Period. 

  

	8.3	 Default interest 

 

	(a)	 If a Transaction Obligor fails to pay any amount payable by it under a Finance Document on its due date,
interest shall accrue on the Unpaid Sum from the due date up to the date of actual payment (both before and after judgment) at a rate which, subject to paragraph (b) below, is 2 per cent. per annum higher than the rate which would have
been payable if the Unpaid Sum had, during the period of non-payment, constituted part of the Loan in the currency of the Unpaid Sum for successive Interest Periods, each of a duration selected by the Facility
Agent. Any interest accruing under this Clause 8.3 (Default interest) shall be immediately payable by the Obligors on demand by the Facility Agent. 

  

	(b)	 If an Unpaid Sum consists of all or part of the Loan which became due on a day which was not the last day of an
Interest Period relating to the Loan or that part of the Loan: 

  

	 	(i)	 the first Interest Period for that Unpaid Sum shall have a duration equal to the unexpired portion of the
current Interest Period relating to the Loan or that part of the Loan; and 

  

	 	(ii)	 the rate of interest applying to that Unpaid Sum during that first Interest Period shall be 2 per cent.
per annum higher than the rate which would have applied if that Unpaid Sum had not become due. 

  

	(c)	 Default interest (if unpaid) arising on an Unpaid Sum will be compounded with the Unpaid Sum at the end of each
Interest Period applicable to that Unpaid Sum but will remain immediately due and payable. 

  
 41 

	8.4	 Notification of rates of interest 

 

	(a)	 The Facility Agent shall promptly notify the Lenders and the Borrowers of the determination of a rate of
interest under this Agreement. 

  

	(b)	 The Facility Agent shall promptly notify the Borrowers of each Funding Rate relating to the Loan, any part of
the Loan or any Unpaid Sum. 

  

	9	 INTEREST PERIODS 

 

	9.1	 Selection of Interest Periods 

 

	(a)	 The first Interest Period for the Loan or a Tranche as specified in the Drawdown Request for the Loan or that
Tranche shall be three Months from that Drawdown Date. 

  

	(b)	 Subject to this Clause 9 (Interest Periods), each subsequent Interest Period in respect of the Loan or a
Tranche shall be three Months, unless otherwise agreed by the Facility Agent (acting on the instructions of all the Lenders) in writing. 

  

	(c)	 Each Selection Notice is irrevocable and must be delivered to the Facility Agent by the Borrowers not later
than the Specified Time. 

  

	(d)	 If the Borrowers fail to deliver a Selection Notice to the Facility Agent in accordance with paragraphs
(b) and (c) above, the relevant Interest Period will, subject to Clause 9.2 (Changes to Interest Periods) and paragraph (f) below, be three Months. 

 

	(e)	 An Interest Period in respect of a Tranche shall not extend beyond the Maturity Date of that Tranche.

  

	(f)	 In respect of a Repayment Instalment, an Interest Period for a part of the Loan equal to such Repayment
Instalment shall end on the Repayment Date relating to it if such date is before the end of the Interest Period then current. 

  

	(g)	 The first Interest Period for the first Tranche to be advanced or the Loan shall start on the relevant Drawdown
Date and each subsequent Interest Period shall start on the last day of the preceding Interest Period. 

  

	(h)	 The first Interest Period for the second Advance shall start on the Drawdown Date of such Tranche to which that
Advance relates and end on the last day of the Interest Period applicable to the balance of the Loan following the date on which such Tranche is made. 

  

	(i)	 Except for the purposes of paragraphs (f) and (h) above and Clause 9.2 (Changes to Interest
Periods) below, the Loan shall have one Interest Period only at any time. 

  

	9.2	 Changes to Interest Periods 

 

	(a)	 In respect of a Repayment Instalment, prior to determining the interest rate for the Loan, the Facility Agent
may establish an Interest Period for a part of the Loan equal to such Repayment Instalment to end on the Repayment Date relating to it and the remaining part of the Loan shall have the Interest Period selected in the relevant Selection Notice,
subject to paragraph (b) of 9.1 (Selection of Interest Periods). 

  
 42 

	(b)	 If after the Borrowers have selected and the Lenders have agreed an Interest Period longer than three Months,
any Lender notifies the Facility Agent within two Business Days after the Specified Time relating to the relevant Drawdown Request or Selection Notice that it is not satisfied that deposits in dollars for a period equal to the Interest Period will
be available to it in the Relevant Interbank Market when the Interest Period commences, the Facility Agent shall shorten the Interest Period to three Months. 

  

	(c)	 If the Facility Agent makes any change to an Interest Period referred to in this Clause 9.2 (Changes to
Interest Periods), it shall promptly notify the Borrowers and the Lenders. 

  

	9.3	 Non-Business Days 

If an Interest Period would otherwise end on a day which is not a Business Day, that Interest Period will instead end on the next Business Day
in that calendar month (if there is one) or the preceding Business Day (if there is not). 
  

	10	 CHANGES TO THE CALCULATION OF INTEREST 

 

	10.1	 Unavailability of Screen Rate 

 

	(a)	 Interpolated Screen Rate: If no Screen Rate is available for LIBOR for the Interest Period of the Loan
or any part of the Loan, the applicable LIBOR shall be the Interpolated Screen Rate for a period equal in length to the Interest Period of the Loan or that part of the Loan. 

 

	(b)	 Reference Bank Rate: If no Screen Rate is available for LIBOR for: 

 

	 	(i)	 dollars; or 

  

	 	(ii)	 the Interest Period of the Loan or any part of the Loan and it is not possible to calculate the Interpolated
Screen Rate, 

 the applicable LIBOR shall be the Reference Bank Rate as of the Specified Time and for a period equal in
length to the Interest Period of the Loan or that part of the Loan. 
  

	(c)	 Cost of funds: If paragraph (b) above applies but no Reference Bank Rate is available for dollars
or the relevant Interest Period there shall be no LIBOR for the Loan or that part of the Loan (as applicable) and Clause 10.4 (Cost of funds) shall apply to the Loan or that part of the Loan for that Interest Period. 

 

	10.2	 Calculation of Reference Bank Rate 

 

	(a)	 Subject to paragraph (b) below, if LIBOR is to be determined on the basis of a Reference Bank Rate but a
Reference Bank does not supply a quotation by the Specified Time, the Reference Bank Rate shall be calculated on the basis of the quotations of the remaining Reference Banks. 

 

	(b)	 If at or about noon on the Quotation Day none or only one of the Reference Banks supplies a quotation, there
shall be no Reference Bank Rate for the relevant Interest Period. 

  
 43 

	10.3	 Market disruption 

If before close of business in London on the Quotation Day for the relevant Interest Period the Facility Agent receives notification from a
Lender or Lenders (whose participations in the Loan or the relevant part of the Loan exceed 10 per cent. of the Loan or the relevant part of the Loan as appropriate) (the “Relevant Lender”) that the cost to it of funding its
participation in the Loan or that part of the Loan from whatever source it may reasonably select would be in excess of LIBOR then Clause 10.4 (Cost of funds) shall apply to the Loan or that part of the Loan (as applicable) for the relevant
Interest Period. 
  

	10.4	 Cost of funds 

 

	(a)	 If this Clause 10.4 (Cost of funds) applies, the rate of interest on each Lender’s share of the
Loan or the relevant part of the Loan for the relevant Interest Period shall be the percentage rate per annum which is the sum of: 

  

	 	(i)	 the Margin; and 

  

	 	(ii)	 the rate notified to the Facility Agent by that Lender as soon as practicable and in any event before interest
is due to be paid in respect of that Interest Period to be that which expresses as a percentage rate per annum the cost to the relevant Lender of funding its participation in the Loan or that part of the Loan from whatever source it may reasonably
select. 

  

	(b)	 If this Clause 10.4 (Cost of funds) applies and the Facility Agent or the Borrowers so require, the
Facility Agent and the Borrowers shall enter into negotiations (for a period of not more than 30 days) with a view to agreeing a substitute basis for determining the rate of interest or (as the case may be) an alternative basis for funding.

  

	(c)	 Subject to Clause 43.4 (Replacement of Screen Rate), any substitute or alternative basis agreed pursuant
to paragraph (b) above shall, with the prior consent of all the Lenders and the Borrower, be binding on all Parties. 

  

	(d)	 If paragraph (e) below does not apply and any rate notified to the Facility Agent under sub-paragraph (ii) of paragraph (a) above is less than zero, the relevant rate shall be deemed to be zero. 

  

	(e)	 If this Clause 10.4 (Cost of funds) applies pursuant to Clause 10.3 (Market disruption) and a
Lender’s Funding Rate is less than LIBOR the cost to that Lender of funding its participation in the Loan or the relevant part of the Loan for that Interest Period shall be deemed, for the purposes of paragraph (a) above, to be LIBOR.

  

	(f)	 Any distributions to the Lenders pursuant to this Clause 10.4 (Cost of funds) shall be made on the basis
of that Lender’s Funding Rate. 

  

	10.5	 Notification to Borrower 

If Clause 10.4 (Cost of funds) applies the Facility Agent shall, as soon as is practicable, notify the Borrowers. 

 

	10.6	 Break Costs 

  

	(a)	 The Borrower shall, within three Business Days of demand by a Finance Party, pay to that Finance Party its
Break Costs attributable to all or any part of the Loan or Unpaid Sum being paid by the Borrower on a day other than the last day of an Interest Period for the Loan, the relevant part of the Loan or that Unpaid Sum. 

  
 44 

	(b)	 Each Lender shall, as soon as reasonably practicable after a demand by the Facility Agent, provide a
certificate confirming the amount of its Break Costs for any Interest Period in which they accrue. 

  

	11	 FEES 

  

	11.1	 Commitment fee 

 

	(a)	 The Borrowers shall pay to the Facility Agent (for the account of each Lender) a fee computed at the rate of
1 per cent. per annum on that Lender’s Available Commitment from time to time for the Availability Period. 

  

	(b)	 The accrued commitment fee is payable on the last day of each successive period of three Months which ends
during the Availability Period, on the last day of the Availability Period and, if cancelled, on the cancelled amount of the relevant Lender’s Commitment at the time the cancellation is effective. 

 

	11.2	 Arrangement fee 

The Borrowers shall pay to the Arranger an arrangement fee in the amount and at the times agreed in a Fee Letter. 

 

	11.3	 Prepayment fee 

 

	(a)	 If the Borrowers proceed in refinancing the Facility or a Tranche after the relevant Drawdown Date with an
entity which is not affiliated to any of the Lenders, the Borrowers shall pay to the Facility Agent for each Lender a prepayment fee on the date of prepayment of all or any part of the Loan. 

 

	(b)	 The amount of the prepayment fee is: 

 

	 	(i)	 if the prepayment occurs on or before the first anniversary of the relevant Drawdown Date, two per cent. of the
amount prepaid; and 

  

	 	(ii)	 if the prepayment occurs after the first but on or before the second anniversary of the relevant Drawdown Date,
one per cent. of the amount prepaid. 

  

	(c)	 No prepayment fee shall be payable under this Clause if the prepayment is made under Clause 7.1
(Illegality), Clause 7.4 (Mandatory prepayment on sale or Total Loss), or if such prepayment is made in order to release a Vessel so that Security may be taken over that Vessel under or in connection with Term Loan B, or after the
second anniversary of the relevant Drawdown Date. 

  
 45 

 SECTION 6 

ADDITIONAL PAYMENT OBLIGATIONS 
  

	12	 TAX GROSS UP AND INDEMNITIES 

 

	12.1	 Definitions 

  

	(a)	 In this Agreement: 

“Protected Party” means a Finance Party which is or will be subject to any liability, or required to make any payment, for or
on account of Tax in relation to a sum received or receivable (or any sum deemed for the purposes of Tax to be received or receivable) under a Finance Document. 

“Tax Credit” means a credit against, relief or remission for, or repayment of any Tax. 

“Tax Deduction” means a deduction or withholding for or on account of Tax from a payment under a Finance Document, other than
a FATCA Deduction. 
 “Tax Payment” means either the increase in a payment made by an Obligor to a Finance Party under
Clause 12.2 (Tax gross-up) or a payment under Clause 12.3 (Tax indemnity). 
  

	(b)	 Unless a contrary indication appears, in this Clause 12 (Tax Gross Up and Indemnities) reference to
“determines” or “determined” means a determination made in the absolute discretion of the person making the determination. 

  

	12.2	 Tax gross-up 

 

	(a)	 Each Obligor shall make all payments to be made by it without any Tax Deduction, unless a Tax Deduction is
required by law. 

  

	(b)	 The Borrowers shall promptly upon becoming aware that an Obligor must make a Tax Deduction (or that there is
any change in the rate or the basis of a Tax Deduction) notify the Facility Agent accordingly. Similarly, a Lender shall notify the Facility Agent on becoming so aware in respect of a payment payable to that Lender. If the Facility Agent receives
such notification from a Lender it shall notify the Borrowers and that Obligor. 

  

	(c)	 If a Tax Deduction is required by law to be made by an Obligor, the amount of the payment due from that Obligor
shall be increased to an amount which (after making any Tax Deduction) leaves an amount equal to the payment which would have been due if no Tax Deduction had been required. 

 

	(d)	 If an Obligor is required to make a Tax Deduction, that Obligor shall make that Tax Deduction and any payment
required in connection with that Tax Deduction within the time allowed and in the minimum amount required by law. 

  

	(e)	 Within 30 days of making either a Tax Deduction or any payment required in connection with that Tax Deduction,
the Obligor making that Tax Deduction shall deliver to the Facility Agent for the Finance Party entitled to the payment evidence reasonably satisfactory to that Finance Party that the Tax Deduction has been made or (as applicable) any appropriate
payment paid to the relevant taxing authority. 

  
 46 

	12.3	 Tax indemnity 

 

	(a)	 The Obligors shall (within three Business Days of demand by the Facility Agent) pay to a Protected Party an
amount equal to the loss, liability or cost which that Protected Party determines will be or has been (directly or indirectly) suffered for or on account of Tax by that Protected Party in respect of a Finance Document. 

 

	(b)	 Paragraph (a) above shall not apply: 

 

	 	(i)	 with respect to any Tax assessed on a Finance Party: 

 

	 	(A)	 under the law of the jurisdiction in which that Finance Party is incorporated or, if different, the
jurisdiction (or jurisdictions) in which that Finance Party is treated as resident for tax purposes; or 

  

	 	(B)	 under the law of the jurisdiction in which that Finance Party’s Facility Office is located in respect of
amounts received or receivable in that jurisdiction, 

 if that Tax is imposed on or calculated by reference to the net
income received or receivable (but not any sum deemed to be received or receivable) by that Finance Party; or 
  

	 	(ii)	 to the extent a loss, liability or cost: 

 

	 	(A)	 is compensated for by an increased payment under Clause 12.2 (Tax
gross-up); or 

  

	 	(B)	 relates to a FATCA Deduction required to be made by a Party. 

 

	(c)	 A Protected Party making, or intending to make, a claim under paragraph (a) above shall promptly notify
the Facility Agent of the event which will give, or has given, rise to the claim, following which the Facility Agent shall notify the Obligors. 

  

	(d)	 A Protected Party shall, on receiving a payment from an Obligor under this Clause 12.3 (Tax indemnity),
notify the Facility Agent. 

  

	12.4	 Tax Credit 

If an Obligor makes a Tax Payment and the relevant Finance Party determines that: 

 

	(a)	 a Tax Credit is attributable to an increased payment of which that Tax Payment forms part, to that Tax Payment
or to a Tax Deduction in consequence of which that Tax Payment was received; and 

  

	(b)	 that Finance Party has obtained and utilised that Tax Credit, 

the Finance Party shall pay an amount to the Obligor which that Finance Party determines will leave it (after that payment) in the same after-Tax position as it would have been in had the Tax Payment not been required to be made by the Obligor. 

  
 47 

	12.5	 Stamp taxes 

The Obligors shall pay and, within three Business Days of demand, indemnify each Creditor Party against any cost, loss or liability which that
Creditor Party incurs in relation to all stamp duty, registration and other similar Taxes payable in respect of any Finance Document. 
  

	12.6	 VAT 

  

	(a)	 All amounts expressed to be payable under a Finance Document by any Party to a Finance Party which (in whole or
in part) constitute the consideration for any supply for VAT purposes are deemed to be exclusive of any VAT which is chargeable on that supply, and accordingly, subject to paragraph (b) below, if VAT is or becomes chargeable on any supply made
by any Finance Party to any Party under a Finance Document and such Finance Party is required to account to the relevant tax authority for the VAT, that Party must pay to such Finance Party (in addition to and at the same time as paying any other
consideration for such supply) an amount equal to the amount of the VAT (and such Finance Party must promptly provide an appropriate VAT invoice to that Party). 

 

	(b)	 If VAT is or becomes chargeable on any supply made by any Finance Party (the “Supplier”) to
any other Finance Party (the “Recipient”) under a Finance Document, and any Party other than the Recipient (the “Relevant Party”) is required by the terms of any Finance Document to pay an amount equal to the
consideration for that supply to the Supplier (rather than being required to reimburse or indemnify the Recipient in respect of that consideration): 

  

	 	(i)	 (where the Supplier is the person required to account to the relevant tax authority for the VAT) the Relevant
Party must also pay to the Supplier (at the same time as paying that amount) an additional amount equal to the amount of the VAT. The Recipient must (where this sub-paragraph (i) applies) promptly pay to
the Relevant Party an amount equal to any credit or repayment the Recipient receives from the relevant tax authority which the Recipient reasonably determines relates to the VAT chargeable on that supply; and 

 

	 	(ii)	 (where the Recipient is the person required to account to the relevant tax authority for the VAT) the Relevant
Party must promptly, following demand from the Recipient, pay to the Recipient an amount equal to the VAT chargeable on that supply but only to the extent that the Recipient reasonably determines that it is not entitled to credit or repayment from
the relevant tax authority in respect of that VAT. 

  

	(c)	 Where a Finance Document requires any Party to reimburse or indemnify a Finance Party for any cost or expense,
that Party shall reimburse or indemnify (as the case may be) such Finance Party for the full amount of such cost or expense, including such part of it as represents VAT, save to the extent that such Finance Party reasonably determines that it is
entitled to credit or repayment in respect of such VAT from the relevant tax authority. 

  

	(d)	 Any reference in this Clause 12.6 (VAT) to any Party shall, at any time when that Party is treated as a
member of a group or unity (or fiscal unity) for VAT purposes, include (where appropriate and unless the context otherwise requires) a reference to the person who is treated at that time as making the supply, or (as appropriate) receiving the
supply, under the grouping rules (provided for in Article 11 of Council Directive 2006/112/EC (or as implemented by the relevant member state of the European Union)) so that a reference to a Party shall be construed as a reference to that Party or
the relevant group or unity (or fiscal unity) of which that Party is a member for VAT purposes at the relevant time or the relevant representative member (or representative or head) of that group or unity at the relevant time (as the case may be).

  
 48 

	(e)	 In relation to any supply made by a Finance Party to any Party under a Finance Document, if reasonably
requested by such Finance Party, that Party must promptly provide such Finance Party with details of that Party’s VAT registration and such other information as is reasonably requested in connection with such Finance Party’s VAT reporting
requirements in relation to such supply. 

  

	12.7	 FATCA Information 

 

	(a)	 Subject to paragraph (c) below, each Party shall, within 10 Business Days of a reasonable request by
another Party: 

  

	 	(i)	 confirm to that other Party whether it is: 

 

	 	(A)	 a FATCA Exempt Party; or 

 

	 	(B)	 not a FATCA Exempt Party; and 

 

	 	(ii)	 supply to that other Party such forms, documentation and other information relating to its status under FATCA
as that other Party reasonably requests for the purposes of that other Party’s compliance with FATCA; and 

  

	 	(iii)	 supply to that other Party such forms, documentation and other information relating to its status as that other
Party reasonably requests for the purposes of that other Party’s compliance with any other law, regulation, or exchange of information regime. 

  

	(b)	 If a Party confirms to another Party pursuant to sub-paragraph
(i) of paragraph (a) above that it is a FATCA Exempt Party and it subsequently becomes aware that it is not, or has ceased to be a FATCA Exempt Party, that Party shall notify that other Party reasonably promptly. 

 

	(c)	 Paragraph (a) above shall not oblige any Finance Party to do anything and
sub-paragraph (iii) of paragraph (a) above shall not oblige any other Party to do anything which would or might in its reasonable opinion constitute a breach of: 

 

	 	(i)	 any law or regulation; 

 

	 	(ii)	 any fiduciary duty; or 

 

	 	(iii)	 any duty of confidentiality. 

 

	(d)	 If a Party fails to confirm whether or not it is a FATCA Exempt Party or to supply forms, documentation or
other information requested in accordance with sub-paragraphs (i) or (ii) of paragraph (a) above (including, for the avoidance of doubt, where paragraph (c) above applies), then such Party shall
be treated for the purposes of the Finance Documents (and payments under them) as if it is not a FATCA Exempt Party until such time as the Party in question provides the requested confirmation, forms, documentation or other information.

  

	(e)	 If a Borrower is a US Tax Obligor, or the Facility Agent reasonably believes that its obligations under FATCA
or any other applicable law or regulation require it, each Lender shall, within 10 Business Days of: 

  
 49 

	 	(i)	 where that Borrower is a US Tax Obligor and the relevant Lender is an Original Lender, the date of this
Agreement; 

  

	 	(ii)	 where that Borrower is a US Tax Obligor on a Transfer Date and the relevant Lender is a New Lender, the
relevant Transfer Date; or 

  

	 	(iii)	 where that Borrower is not a US Tax Obligor, the date of a request from the Facility Agent,

 supply to the Facility Agent: 
  

	 	(iv)	 a withholding certificate on Form W-8, Form W-9 or any other relevant form; or 

  

	 	(v)	 any withholding statement or other document, authorisation or waiver as the Facility Agent may require to
certify or establish the status of such Lender under FATCA or that other law or regulation. 

  

	(f)	 The Facility Agent shall provide any withholding certificate, withholding statement, document, authorisation or
waiver it receives from a Lender pursuant to paragraph (e) above to the Borrowers. 

  

	(g)	 If any withholding certificate, withholding statement, document, authorisation or waiver provided to the
Facility Agent by a Lender pursuant to paragraph (e) above is or becomes materially inaccurate or incomplete, that Lender shall promptly update it and provide such updated withholding certificate, withholding statement, document, authorisation
or waiver to the Facility Agent unless it is unlawful for the Lender to do so (in which case the Lender shall promptly notify the Facility Agent). The Facility Agent shall provide any such updated withholding certificate, withholding statement,
document, authorisation or waiver to the Borrowers. 

  

	(h)	 The Facility Agent may rely on any withholding certificate, withholding statement, document, authorisation or
waiver it receives from a Lender pursuant to paragraph (e) or (g) above without further verification. The Facility Agent shall not be liable for any action taken by it under or in connection with paragraphs (e), (f) or (g) above.

  

	12.8	 FATCA Deduction 

 

	(a)	 Each Party may make any FATCA Deduction it is required to make by FATCA, and any payment required in connection
with that FATCA Deduction, and no Party shall be required to increase any payment in respect of which it makes such a FATCA Deduction or otherwise compensate the recipient of the payment for that FATCA Deduction. 

 

	(b)	 Each Party shall promptly, upon becoming aware that it must make a FATCA Deduction (or that there is any change
in the rate or the basis of such FATCA Deduction), notify the Party to whom it is making the payment and, in addition, shall notify each Obligor and the Facility Agent and the Facility Agent shall notify the other Finance Parties.

  
 50 

	13	 INCREASED COSTS 

 

	13.1	 Increased costs 

 

	(a)	 Subject to Clause 13.3 (Exceptions), the Borrowers shall, within three Business Days of a demand by the
Facility Agent, pay for the account of a Finance Party the amount of any Increased Costs incurred by that Finance Party or any of its Affiliates as a result of: 

 

	 	(i)	 the introduction of or any change in (or in the interpretation, administration or application of) any law or
regulation; or 

  

	 	(ii)	 compliance with any law or regulation made, 

in each case after the date of this Agreement; or 
  

	 	(iii)	 the implementation, application of or compliance with Basel III or CRD IV or any law or regulation that
implements or applies Basel III or CRD IV. 

  

	(b)	 In this Agreement: 

  

	 	(i)	 “Basel III” means: 

 

	 	(A)	 the agreements on capital requirements, a leverage ratio and liquidity standards contained in “Basel III:
A global regulatory framework for more resilient banks and banking systems”, “Basel III: International framework for liquidity risk measurement, standards and monitoring” and “Guidance for national authorities operating the
countercyclical capital buffer” published by the Basel Committee on Banking Supervision in December 2010, each as amended, supplemented or restated; 

  

	 	(B)	 the rules for global systemically important banks contained in “Global systemically important banks:
assessment methodology and the additional loss absorbency requirement—Rules text” published by the Basel Committee on Banking Supervision in November 2011, as amended, supplemented or restated; and 

 

	 	(C)	 any further guidance or standards published by the Basel Committee on Banking Supervision relating to
“Basel III”. 

  

	 	(ii)	 “CRD IV” means: 

 

	 	(A)	 Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential
requirements for credit institutions and investment firms and amending regulation (EU) No. 648/2012; 

  

	 	(B)	 Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 on access to the
activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC; and 

 

	 	(C)	 any other law or regulation which implements Basel III. 

 

	 	(iii)	 “Increased Costs” means: 

  
 51 

	 	(A)	 a reduction in the rate of return from the Facility or on a Finance Party’s (or its Affiliate’s)
overall capital; 

  

	 	(B)	 an additional or increased cost; or 

 

	 	(C)	 a reduction of any amount due and payable under any Finance Document, 

which is incurred or suffered by a Finance Party or any of its Affiliates to the extent that it is attributable to that Finance Party having
entered into its Commitment or funding or performing its obligations under any Finance Document. 
  

	13.2	 Increased cost claims 

 

	(a)	 A Finance Party intending to make a claim pursuant to Clause 13.1 (Increased costs) shall notify the
Facility Agent of the event giving rise to the claim, following which the Facility Agent shall promptly notify the Borrowers. 

  

	(b)	 Each Finance Party shall, as soon as practicable after a demand by the Facility Agent, provide a certificate
confirming the amount of its Increased Costs. 

  

	13.3	 Exceptions 

Clause 13.1 (Increased costs) does not apply to the extent any Increased Cost is: 

 

	(a)	 attributable to a Tax Deduction required by law to be made by an Obligor; 

 

	(b)	 attributable to a FATCA Deduction required to be made by a Party; 

 

	(c)	 compensated for by Clause 12.3 (Tax indemnity) (or would have been compensated for under Clause 12.3
(Tax indemnity) but was not so compensated solely because any of the exclusions in paragraph (b) of Clause 12.3 (Tax indemnity) applied); 

  

	(d)	 compensated for by any payment made pursuant to Clause 14.3 (Mandatory Cost); or 

 

	(e)	 attributable to the wilful breach by the relevant Finance Party or its Affiliates of any law or regulation.

  

	14	 OTHER INDEMNITIES 

 

	14.1	 Currency indemnity 

 

	(a)	 If any sum due from an Obligor under the Finance Documents (a “Sum”), or any order, judgment
or award given or made in relation to a Sum, has to be converted from the currency (the “First Currency”) in which that Sum is payable into another currency (the “Second Currency”) for the purpose of:

  

	 	(i)	 making or filing a claim or proof against that Obligor; or 

 

	 	(ii)	 obtaining or enforcing an order, judgment or award in relation to any litigation or arbitration proceedings,

 that Obligor shall, as an independent obligation, on demand, indemnify each Creditor Party to which that Sum is due
against any cost, loss or liability arising out of or as a result of the conversion including any discrepancy between (A) the rate of exchange used to convert that Sum from the First Currency into the Second Currency and (B) the rate or
rates of exchange available to that person at the time of its receipt of that Sum. 

  
 52 

	(b)	 Each Obligor waives any right it may have in any jurisdiction to pay any amount under the Finance Documents in
a currency or currency unit other than that in which it is expressed to be payable. 

  

	14.2	 Other indemnities 

 

	(a)	 Each Obligor shall, on demand, indemnify each Creditor Party against any cost, loss or liability incurred by it
as a result of: 

  

	 	(i)	 the occurrence of any Event of Default; 

 

	 	(ii)	 a failure by a Transaction Obligor to pay any amount due under a Finance Document on its due date, including
without limitation, any cost, loss or liability arising as a result of Clause 33 (Sharing among the Finance Parties); 

  

	 	(iii)	 funding, or making arrangements to fund, its participation in an Advance or the Loan requested by the Borrowers
in a Drawdown Request but not made by reason of the operation of any one or more of the provisions of this Agreement (other than by reason of default or negligence by that Creditor Party alone); or 

 

	 	(iv)	 the Loan (or part of the Loan) not being prepaid in accordance with a notice of prepayment given by the
Borrowers. 

  

	(b)	 Each Obligor shall, on demand, indemnify each Finance Party, each Affiliate of a Finance Party and each officer
or employee of a Finance Party or its Affiliate (each such person for the purposes of this Clause 14.2 (Other indemnities) an “Indemnified Person”), against any cost, loss or liability incurred by that Indemnified Person
pursuant to or in connection with any litigation, arbitration or administrative proceedings or regulatory enquiry, in connection with or arising out of the entry into and the transactions contemplated by the Finance Documents, having the benefit of
any Security constituted by the Finance Documents or which relates to the condition or operation of, or any incident occurring in relation to, any Vessel unless such cost, loss or liability is caused by the gross negligence or wilful misconduct of
that Indemnified Person. 

  

	(c)	 Without limiting, but subject to any limitations set out in paragraph (b) above, the indemnity in
paragraph (b) above shall cover any cost, loss or liability incurred by each Indemnified Person in any jurisdiction: 

  

	 	(i)	 arising or asserted under or in connection with any law relating to safety at sea, the ISM Code, any
Environmental Law or any Sanctions; or 

  

	 	(ii)	 arising as a result of any breach of Clause 19.35 (Sanctions, Anti-Corruption Laws, Anti-Money Laundering
Laws) or Clause 24.12 (Sanctions, Anti-Corruption Laws and Anti-Money Laundering Laws); 

  

	 	(iii)	 in connection with any Environmental Claim. 

 

	(d)	 Any Affiliate or any officer or employee of a Finance Party or of any of its Affiliates may rely on this Clause
14.2 (Other indemnities) subject to Clause 1.5 (Third party rights) and the provisions of the Third Parties Act. 

  
 53 

	14.3	 Mandatory Cost 

Each Borrower shall, on demand by the Facility Agent, pay to the Facility Agent for the account of the relevant Lender, such amount which any
Lender certifies in a notice to the Facility Agent to be its good faith determination of the amount necessary to compensate it for complying with: 
  

	(a)	 in the case of a Lender lending from a Facility Office in a Participating Member State, the minimum reserve
requirements (or other requirements having the same or similar purpose) of the European Central Bank or any other authority or agency which replaces all or any of its functions in respect of loans made from that Facility Office; and

  

	(b)	 in the case of any Lender lending from a Facility Office in the United Kingdom, any reserve asset, special
deposit or liquidity requirements (or other requirements having the same or similar purpose) of the Bank of England (or any other governmental authority or agency) and/or paying any fees to the Financial Conduct Authority and/or the Prudential
Regulation Authority (or any other governmental authority or agency which replaces all or any of their functions), 

which, in each case, is referable to that Lender’s participation in the Loan. 

 

	14.4	 Indemnity to the Facility Agent 

Each Obligor shall, on demand, indemnify the Facility Agent against: 
  

	(a)	 any cost, loss or liability incurred by the Facility Agent (acting reasonably) as a result of:

  

	 	(i)	 investigating any event which it reasonably believes is a Default; or 

 

	 	(ii)	 acting or relying on any notice, request or instruction which it reasonably believes to be genuine, correct and
appropriately authorised; or 

  

	 	(iii)	 instructing lawyers, accountants, tax advisers, surveyors or other professional advisers or experts as
permitted under the Finance Documents; and 

  

	(b)	 any cost, loss or liability incurred by the Facility Agent (otherwise than by reason of the Facility
Agent’s gross negligence or wilful misconduct) or, in the case of any cost, loss or liability pursuant to Clause 34.11 (Disruption to Payment Systems etc.) notwithstanding the Facility Agent’s negligence, gross negligence or any
other category of liability whatsoever but not including any claim based on the fraud of the Facility Agent in acting as Facility Agent under the Finance Documents. 

 

	14.5	 Indemnity to the Security Agent 

 

	(a)	 Each Obligor shall, on demand, indemnify the Security Agent and every Receiver and Delegate against any cost,
loss or liability incurred by any of them: 

  

	 	(i)	 in relation to or as a result of: 

 

	 	(A)	 any failure by a Borrower to comply with its obligations under Clause 16 (Costs and expenses);

  
 54 

	 	(B)	 acting or relying on any notice, request or instruction which it reasonably believes to be genuine, correct and
appropriately authorised; 

  

	 	(C)	 the taking, holding, protection or enforcement of the Finance Documents and the Transaction Security;

  

	 	(D)	 the exercise of any of the rights, powers, discretions, authorities and remedies vested in the Security Agent
and each Receiver and Delegate by the Finance Documents or by law; 

  

	 	(E)	 any default by any Transaction Obligor in the performance of any of the obligations expressed to be assumed by
it in the Finance Documents; 

  

	 	(F)	 any action by any Transaction Obligor which vitiates, reduces the value of, or is otherwise prejudicial to, the
Transaction Security; and 

  

	 	(G)	 instructing lawyers, accountants, tax advisers, surveyors or other professional advisers or experts as
permitted under the Finance Documents. 

  

	 	(ii)	 acting as Security Agent, Receiver or Delegate under the Finance Documents or which otherwise relates to any of
the Security Property or the performance of the terms of this Agreement or the other Finance Documents (otherwise, in each case, than by reason of the relevant Security Agent’s, Receiver’s or Delegate’s gross negligence or wilful
misconduct). 

  

	(b)	 The Security Agent and every Receiver and Delegate may, in priority to any payment to the Creditor Parties,
indemnify itself out of the Security Assets in respect of, and pay and retain, all sums necessary to give effect to the indemnity in this Clause 14.5 (Indemnity to the Security Agent) and shall have a lien on the Transaction Security and the
proceeds of the enforcement of the Transaction Security for all monies payable to it. 

  

	15	 MITIGATION BY THE FINANCE PARTIES 

 

	15.1	 Mitigation 

  

	(a)	 Each Finance Party shall, in consultation with the Borrowers, take all reasonable steps to mitigate any
circumstances which arise and which would result in any amount becoming payable under or pursuant to, or cancelled pursuant to, any of Clause 7.1 (Illegality), Clause 12 (Tax Gross Up and Indemnities), Clause 13 (Increased
Costs) or paragraph (a) of Clause 14.3 (Mandatory Cost). 

  

	(b)	 Paragraph (a) above does not in any way limit the obligations of any Transaction Obligor under the Finance
Documents. 

  

	15.2	 Limitation of liability 

 

	(a)	 Each Obligor shall, on demand, indemnify each Finance Party for all costs and expenses reasonably incurred by
that Finance Party as a result of steps taken by it under Clause 15.1 (Mitigation). 

  

	(b)	 A Finance Party is not obliged to take any steps under Clause 15.1 (Mitigation) if either:

  

	 	(i)	 a Default has occurred and is continuing; or 

 

	 	(ii)	 in the opinion of that Finance Party (acting reasonably), to do so might be prejudicial to it.

  
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	16	 COSTS AND EXPENSES 

 

	16.1	 Transaction expenses 

The Obligors shall, on demand, pay the Facility Agent, the Security Agent and the Arranger the amount of all costs and expenses (including
legal fees) reasonably incurred by any Creditor Party in connection with the negotiation, preparation, printing, execution, syndication and perfection of: 
  

	(a)	 this Agreement and any other documents referred to in this Agreement or in a Security Document; and

  

	(b)	 any other Finance Documents executed after the date of this Agreement. 

 

	16.2	 Amendment costs 

If: 
  

	(a)	 a Transaction Obligor requests an amendment, waiver or consent; or 

 

	(b)	 an amendment is required pursuant to Clause 34.9 (Change of currency); or 

 

	(c)	 a Transaction Obligor requests, and the Security Agent agrees to, the release of all or any part of the
Security Assets from the Transaction Security, 

 the Obligors shall, on demand, reimburse each of the Facility Agent and
the Security Agent for the amount of all costs and expenses (including legal fees) reasonably incurred by each Creditor Party in responding to, evaluating, negotiating or complying with that request or requirement. 

 

	16.3	 Enforcement and preservation costs 

The Obligors shall, on demand, pay to each Creditor Party the amount of all costs and expenses (including legal fees) incurred by that Creditor
Party in connection with the enforcement of, or the preservation of any rights under, any Finance Document or the Transaction Security and with any proceedings instituted by or against that Creditor Party as a consequence of it entering into a
Finance Document, taking or holding the Transaction Security, or enforcing those rights. 

  
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 SECTION 7 

GUARANTEE AND JOINT AND SEVERAL LIABILITY OF BORROWERS 
  

	17	 GUARANTEE AND INDEMNITY 

 

	17.1	 Guarantee and indemnity 

The Guarantor irrevocably and unconditionally: 
  

	(a)	 guarantees to each Finance Party punctual performance by each Borrower of all that Borrower’s obligations
under the Finance Documents; 

  

	(b)	 undertakes with each Finance Party that whenever a Borrower does not pay any amount when due under or in
connection with any Finance Document, the Guarantor shall immediately on demand pay that amount as if it were the principal obligor; and 

  

	(c)	 agrees with each Finance Party that if any obligation guaranteed by it is or becomes unenforceable, invalid or
illegal, it will, as an independent and primary obligation, indemnify that Finance Party immediately on demand against any cost, loss or liability it incurs as a result of a Borrower not paying any amount which would, but for such unenforceability,
invalidity or illegality, have been payable by it under any Finance Document on the date when it would have been due. The amount payable by the Guarantor under this indemnity will not exceed the amount it would have had to pay under this Clause 17
(Guarantee and Indemnity) if the amount claimed had been recoverable on the basis of a guarantee. 

  

	17.2	 Continuing guarantee 

This Guarantee is a continuing guarantee and will extend to the ultimate balance of sums payable by any Transaction Obligor under the Finance
Documents, regardless of any intermediate payment or discharge in whole or in part. 
  

	17.3	 Reinstatement 

If any discharge, release or arrangement (whether in respect of the obligations of any Transaction Obligor or any security for those
obligations or otherwise) is made by a Creditor Party in whole or in part on the basis of any payment, security or other disposition which is avoided or must be restored in insolvency, liquidation, administration or otherwise, without limitation,
then the liability of the Guarantor under this Clause 17 (Guarantee and Indemnity) will continue or be reinstated as if the discharge, release or arrangement had not occurred. 

 

	17.4	 Waiver of defences 

The obligations of the Guarantor under this Clause 17 (Guarantee and Indemnity) and in respect of any Transaction Security will not be
affected or discharged by an act, omission, matter or thing which, but for this Clause 17.4 (Waiver of defences), would reduce, release or prejudice any of its obligations under this Clause 17 (Guarantee and Indemnity) or in respect of
any Transaction Security (without limitation and whether or not known to it or any Creditor Party) including: 
  

	(a)	 any time, waiver or consent granted to, or composition with, any Transaction Obligor or other person;

  
 57 

	(b)	 the release of any other Transaction Obligor or any other person under the terms of any composition or
arrangement with any creditor of any member of the Group; 

  

	(c)	 the taking, variation, compromise, exchange, renewal or release of, or refusal or neglect to perfect or delay
in perfecting, or refusal or neglect to take up or enforce, or delay in taking or enforcing any rights against, or security over assets of, any Transaction Obligor or other person or any non-presentation or non-observance of any formality or other requirement in respect of any instrument or any failure to realise the full value of any security; 

 

	(d)	 any incapacity or lack of power, authority or legal personality of or dissolution or change in the members or
status of a Transaction Obligor or any other person; 

  

	(e)	 any amendment, novation, supplement, extension, restatement (however fundamental and whether or not more
onerous) or replacement of any Finance Document or any other document or security including, without limitation, any change in the purpose of, any extension of or any increase in any facility or the addition of any new facility under any Finance
Document or other document or security; 

  

	(f)	 any unenforceability, illegality or invalidity of any obligation of any person under any Finance Document or
any other document or security; or 

  

	(g)	 any insolvency or similar proceedings. 

 

	17.5	 Immediate recourse 

The Guarantor waives any right it may have of first requiring any Creditor Party (or any trustee or agent on its behalf) to proceed against or
enforce any other rights or security or claim payment from any person (including without limitation to commence any proceedings under any Finance Document or to enforce any Transaction Security) before claiming or commencing proceedings under this
Clause 17 (Guarantee and Indemnity). This waiver applies irrespective of any law or any provision of a Finance Document to the contrary. 
  

	17.6	 Appropriations 

Until all amounts which may be or become payable by the Transaction Obligors under or in connection with the Finance Documents have been
irrevocably paid in full, each Creditor Party (or any trustee or agent on its behalf) may: 
  

	(a)	 refrain from applying or enforcing any other moneys, security or rights held or received by that Creditor Party
(or any trustee or agent on its behalf) in respect of those amounts, or apply and enforce the same in such manner and order as it sees fit (whether against those amounts or otherwise) and the Guarantor shall not be entitled to the benefit of the
same; and 

  

	(b)	 hold in an interest-bearing suspense account any moneys received from the Guarantor or on account of the
Guarantor’s liability under this Clause 17 (Guarantee and Indemnity). 

  

	17.7	 Deferral of Guarantor’s rights 

All rights which the Guarantor at any time has (whether in respect of this Guarantee, a mortgage or any other transaction) against any
Borrower, any other Transaction Obligor or their respective assets shall be fully subordinated to the rights of the Creditor Parties under the Finance Documents and until the end of the Security Period and unless the Facility Agent

  
 58 

 
otherwise directs, the Guarantor will not exercise any rights which it may have (whether in respect of any Finance Document to which it is a Party or any other transaction) by reason of
performance by it of its obligations under the Finance Documents or by reason of any amount being payable, or liability arising, under this Clause 17 (Guarantee and Indemnity): 

 

	(a)	 to be indemnified by a Transaction Obligor; 

 

	(b)	 to claim any contribution from any third party providing security for, or any other guarantor of, any
Transaction Obligor’s obligations under the Finance Documents; 

  

	(c)	 to take the benefit (in whole or in part and whether by way of subrogation or otherwise) of any rights of the
Creditor Parties under the Finance Documents or of any other guarantee or security taken pursuant to, or in connection with, the Finance Documents by any Creditor Party; 

 

	(d)	 to bring legal or other proceedings for an order requiring any Transaction Obligor to make any payment, or
perform any obligation, in respect of which the Guarantor has given a guarantee, undertaking or indemnity under Clause 17.1 (Guarantee and indemnity); 

  

	(e)	 to exercise any right of set-off against any Transaction Obligor;
and/or 

  

	(f)	 to claim or prove as a creditor of any Transaction Obligor in competition with any Creditor Party.

 If the Guarantor receives any benefit, payment or distribution in relation to such rights it shall hold that benefit,
payment or distribution to the extent necessary to enable all amounts which may be or become payable to the Creditor Parties by the Transaction Obligors under or in connection with the Finance Documents to be repaid in full on trust for the Creditor
Parties and shall promptly pay or transfer the same to the Facility Agent or as the Facility Agent may direct for application in accordance with Clause 34 (Payment Mechanics). 

 

	17.8	 Additional security 

This Guarantee and any other Security given by the Guarantor is in addition to and is not in any way prejudiced by, and shall not prejudice,
any other guarantee or Security or any other right of recourse now or subsequently held by any Creditor Party or any right of set-off or netting or right to combine accounts in connection with the Finance
Documents. 
  

	17.9	 Applicability of provisions of Guarantee to other Security 

Clauses 17.2 (Continuing guarantee), 17.3 (Reinstatement), 17.4 (Waiver of defences), 17.5 (Immediate recourse),
17.6 (Appropriations), 17.7 (Deferral of Guarantor’s rights) and 17.8 (Additional security) shall apply, with any necessary modifications, to any Security which the Guarantor creates (whether at the time at which it signs
this Agreement or at any later time) to secure the Secured Liabilities or any part of them. 
  

	18	 JOINT AND SEVERAL LIABILITY OF THE BORROWERS 

 

	18.1	 Joint and several liability 

All liabilities and obligations of the Borrowers under this Agreement shall, whether expressed to be so or not, be joint and several. 

  
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	18.2	 Waiver of defences 

The liabilities and obligations of a Borrower shall not be impaired by: 

 

	(a)	 this Agreement being or later becoming void, unenforceable or illegal as regards any other Borrower;

  

	(b)	 any Lender or the Security Agent entering into any rescheduling, refinancing or other arrangement of any kind
with any other Borrower; 

  

	(c)	 any Lender or the Security Agent releasing any other Borrower or any Security created by a Finance Document; or

  

	(d)	 any time, waiver or consent granted to, or composition with any other Borrower or other person;

  

	(e)	 the release of any other Borrower or any other person under the terms of any composition or arrangement with
any creditor of any member of the Group; 

  

	(f)	 the taking, variation, compromise, exchange, renewal or release of, or refusal or neglect to perfect, take up
or enforce, any rights against, or security over assets of, any other Borrower or other person or any non-presentation or non-observance of any formality or other
requirement in respect of any instrument or any failure to realise the full value of any security; 

  

	(g)	 any incapacity or lack of power, authority or legal personality of or dissolution or change in the members or
status of any other Borrower or any other person; 

  

	(h)	 any amendment, novation, supplement, extension, restatement (however fundamental, and whether or not more
onerous) or replacement of a Finance Document or any other document or security including, without limitation, any change in the purpose of, any extension of or any increase in any facility or the addition of any new facility under any Finance
Document or other document or security; 

  

	(i)	 any unenforceability, illegality or invalidity of any obligation or any person under any Finance Document or
any other document or security; or 

  

	(j)	 any insolvency or similar proceedings. 

 

	18.3	 Principal Debtor 

Each Borrower declares that it is and will, throughout the Security Period, remain a principal debtor for all amounts owing under this
Agreement and the Finance Documents and no Borrower shall, in any circumstances, be construed to be a surety for the obligations of any other Borrower under this Agreement. 
  

	18.4	 Borrower restrictions 

 

	(a)	 Subject to paragraph (b) below, during the Security Period no Borrower shall: 

 

	 	(i)	 claim any amount which may be due to it from any other Borrower whether in respect of a payment made under, or
matter arising out of, this Agreement or any Finance Document, or any matter unconnected with this Agreement or any Finance Document; or 

  
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	 	(ii)	 take or enforce any form of security from any other Borrower for such an amount, or in any way seek to have
recourse in respect of such an amount against any asset of any other Borrower; or 

  

	 	(iii)	 set off such an amount against any sum due from it to any other Borrower; or 

 

	 	(iv)	 prove or claim for such an amount in any liquidation, administration, arrangement or similar procedure
involving any other Borrower; or 

  

	 	(v)	 exercise or assert any combination of the foregoing. 

 

	(b)	 If during the Security Period, the Facility Agent, by notice to a Borrower, requires it to take any action
referred to in paragraph (a) above in relation to any other Borrower, that Borrower shall take that action as soon as practicable after receiving the Facility Agent’s notice. 

 

	18.5	 Deferral of Borrowers’ rights 

Until all amounts which may be or become payable by the Borrowers under or in connection with the Finance Documents have been irrevocably paid
in full and unless the Facility Agent otherwise directs, no Borrower will exercise any rights which it may have by reason of performance by it of its obligations under the Finance Documents: 

 

	(a)	 to be indemnified by any other Borrower; or 

 

	(b)	 to claim any contribution from any other Borrower in relation to any payment made by it under the Finance
Documents. 

  
 61 

 SECTION 8 

REPRESENTATIONS, UNDERTAKINGS AND EVENTS OF DEFAULT 
  

	19	 REPRESENTATIONS 

 

	19.1	 General 

Each Obligor makes and procures that each other Transaction Obligor makes the representations and warranties set out in this Clause 19
(Representations) to each Finance Party on the date of this Agreement. 
  

	19.2	 Status 

  

	(a)	 It is a corporation or limited partnership, duly incorporated or formed and validly existing in good standing
under the law of its jurisdiction of incorporation. 

  

	(b)	 It has the power to own its assets and carry on its business as it is being conducted. 

 

	19.3	 Share capital and ownership 

 

	(a)	 Borrower A has an authorised share capital of 500 registered shares with a par value of $1 per share, all of
which shares have been issued in registered form fully paid. 

  

	(b)	 Borrower B has an authorised share capital of 500 registered shares with a par value of $1 per share, all of
which shares have been issued in registered form fully paid. 

  

	(c)	 The legal title to the shares in each Borrower will be held from the first Drawdown Date free of any Security
or any other claim by the Shareholder and each Borrower is 100 per cent. owned, directly or indirectly (but if indirectly only through the Shareholder) by the Guarantor. 

 

	(d)	 None of the shares in a Borrower is subject to any option to purchase,
pre-emption rights or similar rights. 

  

	19.4	 Binding obligations 

The obligations expressed to be assumed by it in each Transaction Document to which it is a party are legal, valid, binding and enforceable
obligations. 
  

	19.5	 Validity, effectiveness and ranking of Security 

 

	(a)	 Each Finance Document to which it is a party does now or, as the case may be, will upon execution and delivery
and, where applicable, registration as provided for in that Finance Document create, the Security it purports to create over any assets to which such Security, by its terms, relates, and such Security will, when created or intended to be created, be
valid and effective. 

  

	(b)	 No third party has or will have any Security (except for Permitted Security) over any assets that are the
subject of any Transaction Security granted by it. 

  

	(c)	 The Transaction Security granted by it to the Security Agent or any other Creditor Party has or will when
created or intended to be created have first ranking priority or such other priority it is expressed to have in the Finance Documents and is not subject to any prior ranking or pari passu ranking security. 

  
 62 

	(d)	 No concurrence, consent or authorisation of any person is required for the creation of or otherwise in
connection with any Transaction Security. 

  

	19.6	 Non-conflict with other obligations 

The entry into and performance by it of, and the transactions contemplated by, each Transaction Document to which it is a party do not and will
not conflict with: 
  

	(a)	 any law or regulation applicable to it; 

 

	(b)	 the constitutional documents of any member of the Group; or 

 

	(c)	 any agreement or instrument binding upon it or any member of the Group or any member of the Group’s assets
or constitute a default or termination event (however described) under any such agreement or instrument. 

  

	19.7	 Power and authority 

 

	(a)	 It has the power to enter into, perform and deliver, and has taken all necessary action to authorise:

  

	 	(i)	 its entry into, performance and delivery of, each Transaction Document to which it is or will be a party and
the transactions contemplated by those Transaction Documents; and 

  

	 	(ii)	 in the case of a Borrower, its registration of the relevant Vessel under its Approved Flag.

  

	(b)	 No limit on its powers will be exceeded as a result of the borrowing, granting of security or giving of
guarantees or indemnities contemplated by the Transaction Documents to which it is a party. 

  

	19.8	 Validity and admissibility in evidence 

All Authorisations required or desirable: 
  

	(a)	 to enable it lawfully to enter into, exercise its rights and comply with its obligations in the Transaction
Documents to which it is a party; and 

  

	(b)	 to make the Transaction Documents to which it is a party admissible in evidence in its Relevant Jurisdictions,

 have been obtained or effected and are in full force and effect. 

 

	19.9	 Governing law and enforcement 

 

	(a)	 The choice of governing law of each Transaction Document to which it is a party will be recognised and enforced
in its Relevant Jurisdictions. 

  
 63 

	(b)	 Any judgment obtained in relation to a Transaction Document to which it is a party in the jurisdiction of the
governing law of that Transaction Document will be recognised and enforced in its Relevant Jurisdictions. 

  

	19.10	 Insolvency 

No: 
  

	(a)	 corporate action, legal proceeding or other procedure or step described in paragraph (a) of Clause 27.8
(Insolvency proceedings); or 

  

	(b)	 creditors’ process described in Clause 27.9 (Creditors’ process), 

has been taken or, to its knowledge, threatened in relation to a member of the Group; and none of the circumstances described in Clause 27.7
(Insolvency) applies to a member of the Group. 
  

	19.11	 No filing or stamp taxes 

Under the laws of its Relevant Jurisdictions it is not necessary that the Finance Documents to which it is a party be registered, filed,
recorded, notarised or enrolled with any court or other authority in that jurisdiction or that any stamp, registration, notarial or similar Taxes or fees be paid on or in relation to the Finance Documents to which it is a party or the transactions
contemplated by those Finance Documents, except registration of each Mortgage at the Ships Registry where title to each Vessel is registered in the ownership of the relevant Borrower and payment of associated fees, which registration and fees will
be made and paid promptly after the date of the relevant Finance Document. 
  

	19.12	 Deduction of Tax 

It is not required to make any Tax Deduction from any payment it may make under any Finance Document to which it is a party. 

 

	19.13	 No default 

  

	(a)	 No Event of Default and, on the date of this Agreement and on each Drawdown Date, no Default is continuing or
might reasonably be expected to result from the making of any Drawdown or the release of any Advance or the entry into, the performance of, or any transaction contemplated by, any Transaction Document. 

 

	(b)	 No other event or circumstance is outstanding which constitutes a default or a termination event (however
described) under any other agreement or instrument which is binding on a Borrower or any of its Subsidiaries or to which its (or any of its Subsidiaries’) assets are subject. 

 

	19.14	 No misleading information 

 

	(a)	 Any factual information provided by any member of the Group for the purposes of this Agreement was true and
accurate in all material respects as at the date it was provided or as at the date (if any) at which it is stated. 

  

	(b)	 The financial projections contained in any such information have been prepared on the basis of recent
historical information and on the basis of reasonable assumptions. 

  
 64 

	(c)	 Nothing has occurred or been omitted from any such information and no information has been given or withheld
that results in any such information being untrue or misleading in any material respect. 

  

	19.15	 Financial Statements 

 

	(a)	 The Original Financial Statements were prepared in accordance with GAAP consistently applied.

  

	(b)	 The Original Financial Statements give a true and fair view of the Group’s financial condition as at
31 December 2017 and results of operations during that financial year. 

  

	(c)	 There has been no material adverse change in the assets, business or consolidated financial condition of the
Group since 30 June 2018. 

  

	(d)	 The Guarantor’s most recent financial statements delivered pursuant to Clause 20.2 (Financial
statements): 

  

	 	(i)	 have been prepared in accordance with Clause 20.3 (Requirements as to financial statements); and

  

	 	(ii)	 give a true and fair view of (if audited) or fairly represent (if unaudited) the Group’s financial
condition as at the end of the relevant financial year and operations during the relevant financial year (consolidated in the case of the Guarantor). 

  

	(e)	 Since the date of the most recent financial statements delivered pursuant to Clause 20.2 (Financial
statements) there has been no material adverse change in the business or consolidated financial condition of the Group. 

  

	19.16	 Pari passu ranking 

Its payment obligations under the Finance Documents to which it is a party rank at least pari passu with the claims of all its other
unsecured and unsubordinated creditors, except for obligations mandatorily preferred by law applying to companies generally. 
  

	19.17	 No proceedings pending or threatened 

 

	(a)	 No litigation, arbitration or administrative proceedings or investigations (including proceedings or
investigations relating to any alleged or actual breach of the ISM Code or of the ISPS Code) of or before any court, arbitral body or agency which, if adversely determined, might reasonably be expected to have a Material Adverse Effect have (to the
best of its knowledge and belief (having made due and careful enquiry)) been started or threatened against it or any member of the Group. 

  

	(b)	 No judgment or order of a court, arbitral tribunal or other tribunal or any order or sanction of any
governmental or other regulatory body which might reasonably be expected to have a Material Adverse Effect has (to the best of its knowledge and belief (having made due and careful enquiry)) been made against it or any member of the Group.

  
 65 

	19.18	 Validity and completeness of the Transaction Documents 

 

	(a)	 Each of the Transaction Documents, to which any Charterer and each Transaction Obligor is a party constitutes
legal, valid, binding and enforceable obligations of that Charterer and that Transaction Obligor respectively. 

  

	(b)	 The copies of the Transaction Documents delivered to the Facility Agent before the date of this Agreement are
true and complete copies. 

  

	(c)	 No amendments or additions to the Transaction Documents have been agreed nor has any Charterer or any
Transaction Obligor waived any of its respective rights under the Transaction Documents. 

  

	19.19	 Valuations 

  

	(a)	 All information supplied by it or on its behalf to an Approved Valuer for the purposes of a valuation delivered
to the Facility Agent in accordance with this Agreement was true and accurate as at the date it was supplied or (if appropriate) as at the date (if any) at which it is stated to be given. 

 

	(b)	 It has not omitted to supply any information to an Approved Valuer which, if disclosed, would adversely affect
any valuation prepared by such Approved Valuer. 

  

	(c)	 There has been no change to the factual information provided pursuant to paragraph (a) above in relation
to any valuation between the date such information was provided and the date of that valuation which, in either case, renders that information untrue or misleading in any material respect. 

 

	19.20	 No breach of laws 

It has not (and no other member of the Group has) breached any law or regulation which breach has or is reasonably likely to have a Material
Adverse Effect. 
  

	19.21	 No Charter 

No Vessel is subject to any Charter other than a Permitted Charter. 
  

	19.22	 Compliance with Environmental Laws 

All Environmental Laws relating to the ownership, operation and management of each Vessel and the business of each member of the Group (as now
conducted and as reasonably anticipated to be conducted in the future) and the terms of all Environmental Approvals have been complied with. 
  

	19.23	 No Environmental Claim 

No Environmental Claim has been made or threatened against any member of the Group or any Vessel. 

 

	19.24	 No Environmental Incident 

No Environmental Incident has occurred and no person has claimed that an Environmental Incident has occurred. 

  
 66 

	19.25	 ISM and ISPS Code compliance 

All requirements of the ISM Code and the ISPS Code as they relate to each Borrower, the Approved Manager and each Vessel have been complied
with. 
  

	19.26	 Taxes paid 

  

	(a)	 It is not and no other member of the Group is materially overdue in the filing of any Tax returns and it is not
(and no other member of the Group is) overdue in the payment of any amount in respect of Tax. 

  

	(b)	 No claims or investigations are being, or to the best of its knowledge, are reasonably likely to be, made or
conducted against it (or any other member of the Group) with respect to Taxes. 

  

	19.27	 Financial Indebtedness 

No Transaction Obligor has any Financial Indebtedness outstanding other than as permitted by this Agreement or as disclosed in the Group’s
filings with the US Securities and Exchange Commission. 
  

	19.28	 Overseas companies 

No Transaction Obligor has delivered particulars, whether in its name stated in the Finance Documents or any other name, of any UK
Establishment to the Registrar of Companies as required under the Overseas Regulations or, if it has so registered, it has provided to the Facility Agent sufficient details to enable an accurate search against it to be undertaken by the Lenders at
the Companies Registry. 
  

	19.29	 Good title to assets 

It and each other member of the Group has good, valid and marketable title to, or valid leases or licences of, and all appropriate
Authorisations to use, the assets necessary to carry on its business as presently conducted. 
  

	19.30	 Ownership 

  

	(a)	 Each Borrower is the sole legal and beneficial owner of all rights and interests which any Charter creates in
favour of that Borrower. 

  

	(b)	 Each Borrower is the sole legal and beneficial owner of the Vessel owned by it, its Earnings and its
Insurances. 

  

	(c)	 With effect on and from the date of its creation or intended creation, each Transaction Obligor will be the
sole legal and beneficial owner of any asset that is the subject of any Transaction Security created or intended to be created by such Transaction Obligor. 

  

	(d)	 The constitutional documents of each Obligor do not and could not restrict or inhibit any transfer of the
shares of a Borrower on creation or enforcement of the security conferred by the Security Documents. 

  
 67 

	19.31	 Centre of main interests and establishments 

For the purposes of The Council of the European Union Regulation No. 1346/2000 on Insolvency Proceedings (the
“Regulation”), its centre of main interest (as that term is used in Article 3(1) of the Regulation) is not situated in the US (save for the Guarantor) or the United Kingdom. 

 

	19.32	 Place of business 

No Transaction Obligor has a place of business in the US (save for the Guarantor) or the United Kingdom and its head office functions are
carried out at the address stated in Schedule 1 Part A. 
  

	19.33	 No employee or pension arrangements 

No Obligor has any employees or any liabilities under any pension scheme. 

 

	19.34	 Sanctions 

  

	(a)	 No Transaction Obligor: 

 

	 	(i)	 and no director or officer, or to the best of its knowledge employee, of a Transaction Obligor, is a Prohibited
Person; 

  

	 	(ii)	 is owned or controlled by or acting directly or indirectly on behalf of or for the benefit of, a Prohibited
Person; or 

  

	 	(iii)	 owns or controls a Prohibited Person. 

 

	(b)	 No proceeds of the Loan shall be made available, directly or indirectly, to or for the benefit of a Prohibited
Person nor shall they be otherwise directly or indirectly, applied in a manner or for a purpose prohibited by Sanctions. 

  

	19.35	 Sanctions, Anti-Corruption Laws, Anti-Money Laundering Laws 

 

	(a)	 Neither it nor any member of its Group, any Approved Manager or any Charterer, any director, officer, nor, to
its knowledge, any agent, employee or Affiliate of such Obligor or any member of the Group is a Sanctions Target. 

  

	(b)	 Neither it, nor any member of its Group, derives any of its revenues and profits from business involving
Sanctions Targets. 

  

	(c)	 Neither it, nor any member of its Group, any director, officer, nor, to the Borrowers’ knowledge, any
agent, employee or Affiliate of such Obligor or any member of the Group, has knowingly violated or is violating any Sanctions, or is or has engaged in any conduct that would provide a basis for it to be designated as a Sanctions Target, and no
action, suit or proceedings by or before any court, governmental or regulatory agency, authority or body or any arbitrator involving any Obligor or any member of its Group with respect to an alleged or actual breach of Sanctions is pending or, to
its knowledge, threatened. 

  

	(d)	 Each Vessel (including, without limitation, its engines, machinery, boats, tackle, outfit, spare gear, fuel,
consumable or other stores, belongings and appurtenances whether on board or ashore and whether owned as at the date of this Agreement or later acquired) is not 

  
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currently subject to any Sanctions nor will the ownership, operation, possession, use, leasing or any other dealing in respect of a Vessel (including, without limitation, its engines, machinery,
boats, tackle, outfit, spare gear, fuel, consumable or other stores, belongings and appurtenances whether on board or ashore and whether owned as at the date of this Agreement or later acquired) by any Transaction Obligor or Charterer contravene any
Sanctions or provide a basis for any Transaction Obligor or Charterer, or any other member of the Group to be designated as a Sanctions Target. 

  

	(e)	 The making or receipt of any payments pursuant to the Transaction Documents does not contravene any Sanctions.

  

	(f)	 Neither it, nor any member of its Group, nor, to its knowledge, any director, officer, agent, employee or
Affiliate of an Obligor or of the Group has acted in breach of any applicable Anti-Corruption Laws and no action, suit or proceedings by or before any court, governmental or regulatory agency, authority or body or any arbitrator involving any
Obligor or any member of its Group with respect to an alleged or actual breach of Anti-Corruption Laws is pending or, to its knowledge, threatened. 

  

	(g)	 It has instituted and maintains policies and procedures designed to prevent bribery and corruption by the Group
and by persons associated with the Group. 

  

	(h)	 It and all members of its Group are and have conducted their operations at all times in material compliance
with applicable Anti-Money Laundering Laws and no action, suit or proceedings by or before any court, governmental or regulatory agency, authority or body or any arbitrator involving such Obligor or any member of its Group with respect to the
Anti-Money Laundering Laws are pending or, to its knowledge, threatened. 

  

	19.36	 US Tax Obligor 

No Transaction Obligor is a US Tax Obligor. 
  

	19.37	 Repetition 

The Repeating Representations are deemed to be made by each Obligor by reference to the facts and circumstances then existing on the date of
each Drawdown Request and the first day of each Interest Period. 
  

	20	 INFORMATION UNDERTAKINGS 

 

	20.1	 General 

The undertakings in this Clause 20 (Information Undertakings) remain in force throughout the Security Period unless the Facility Agent,
acting with the authorisation of the Majority Lenders (or, where specified, all the Lenders), may otherwise permit. 
  

	20.2	 Financial statements 

The Guarantor shall supply to the Facility Agent in sufficient copies for all the Lenders as the Facility Agent may request: 

 

	(a)	 as soon as the same become available, but in any event within 180 days after the end of its financial years,
commencing with the financial year ending on 31 December 2018, the annual audited consolidated financial statement of the Group for that financial year, 

  
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	(b)	 as soon as the same become available, but in any event within 60 days after the end of each quarter of each of
its financial years (ending 31 March, 30 June and 30 September), the unaudited consolidated quarterly financial statements of the Group for that financial quarter; and 

 

	(c)	 upon request by the Facility Agent, any supplemental information related to any vessels owned by any member of
the Group and such other information in respect of such vessels’ type, age, employment, debt and the operating expenses. 

including (without limitation) or supplemented by updated details of all off-balance sheet and time
charter hire commitments provided that in the case of the unaudited financial statements to be provided under paragraph (c), such unaudited financial statements shall not be required in relation to a quarter ending at the financial year end
in addition to the audited financial statements to be provided under paragraph (a) above. 
  

	20.3	 Compliance Certificate 

 

	(a)	 The Guarantor shall supply to the Facility Agent, with each set of financial statements delivered pursuant to
Clause 20.2 (Financial statements) (in the case of paragraphs (a) and (b) above in respect of each year and each quarter respectively), a Compliance Certificate setting out (in reasonable detail) computations as to compliance with Clause
21 (Financial Covenants) as at the date as at which those financial statements were drawn up. 

  

	(b)	 Each Compliance Certificate shall be signed by one officer of the Guarantor and, if required to be delivered
with the financial statements delivered pursuant to Clause 20.2 (Financial statements), shall be reported on by the Guarantor’s auditors in the form agreed by the Guarantor and all the Lenders before the date of this Agreement.

  

	20.4	 Requirements as to financial statements 

 

	(a)	 Each set of financial statements delivered by the Guarantor pursuant to Clause 20.2 (Financial
statements) shall be certified by an officer of the company as giving a true and fair view (if audited) or fairly representing (if unaudited) its financial condition and operations as at the date as at which those financial statements were drawn
up if it has not been filed with the US Securities and Exchange Commission. 

  

	(b)	 The Guarantor shall procure that each set of financial statements of the Group delivered pursuant to Clause
20.2 (Financial statements) is prepared using GAAP, accounting practices and financial reference periods consistent with those applied in the preparation of the Original Financial Statements for the Group unless, in relation to any set of
financial statements, it notifies the Facility Agent that there has been a change in GAAP, the accounting practices or reference periods, unless such change is described in the filings made with the US Securities and Exchange Commission, and its
auditors (or, if appropriate, the auditors of the Guarantor) deliver to the Facility Agent: 

  

	 	(i)	 a description of any change necessary for those financial statements to reflect the GAAP, accounting practices
and reference periods upon which the Original Financial Statements were prepared; and 

  

	 	(ii)	 sufficient information, in form and substance as may be reasonably required by the Facility Agent, to enable
the Lenders to determine whether Clause 21 (Financial Covenants) has been complied with and make an accurate comparison between the financial position indicated in those financial statements and the Original Financial Statements.

  
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 Any reference in this Agreement to those financial statements shall be construed as a
reference to those financial statements as adjusted to reflect the basis upon which the Original Financial Statements were prepared. 
  

	20.5	 Information: miscellaneous 

Each Obligor shall and shall procure that each other Transaction Obligor shall supply to the Facility Agent (in sufficient copies for all the
Lenders, if the Facility Agent so requests): 
  

	(a)	 all documents dispatched by it to any class of its shareholders generally at the same time as they are
dispatched unless the contents of such communication have already been disclosed in the filings made with the US Securities and Exchange Commission; 

  

	(b)	 promptly upon becoming aware of them, the details of any litigation, arbitration or administrative proceedings
or investigations (including proceedings or investigations relating to any alleged or actual breach of the ISM Code or of the ISPS Code) which are current, threatened or pending against any member of the Group, and which might, if adversely
determined, have a Material Adverse Effect; 

  

	(c)	 promptly upon becoming aware of them, the details of any judgment or order of a court, arbitral tribunal or
other tribunal or any order or sanction of any governmental or other regulatory body which is made against any member of the Group and which might have a Material Adverse Effect; 

 

	(d)	 promptly, its constitutional documents where these have been amended or varied unless, in respect of the
Guarantor, these changes have been disclosed in the filings with the US Securities and Exchange Commission; 

  

	(e)	 promptly, such further information and/or documents regarding: 

 

	 	(i)	 each Vessel, goods transported on each Vessel, its Earnings or its Insurances; 

 

	 	(ii)	 the Security Assets; 

 

	 	(iii)	 compliance of the Transaction Obligors with the terms of the Finance Documents; 

 

	 	(iv)	 the financial condition, business and operations of any member of the Group, 

as any Finance Party (through the Facility Agent) may reasonably request; 

 

	(f)	 annually on the anniversary of the date of this Agreement and promptly following a request for such information
as may be requested at any other time by the Facility Agent (acting on the instruction of any Lender): 

 up-to-date KYC Documentation for: 
  

	 	(i)	 each Transaction Obligor; 

 

	 	(ii)	 each shareholder in each Borrower as far as the ultimate beneficial owner of that Borrower; and

  
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	 	(iii)	 any other person from whom the Facility Agent shall receive any payments under the Finance Documents;

  

	(g)	 where the shares in a Transaction Obligor are bearer shares, annually on the anniversary of the date of this
Agreement and promptly following any change of ownership an up-to-date “Declaration of Ownership”; and 

 

	(h)	 promptly, such further information and/or documents as any Finance Party (through the Facility Agent) may
reasonably request so as to enable such Finance Party to comply with any laws applicable to it or as may be required by any regulatory authority. 

  

	20.6	 Notification of Event of Default 

 

	(a)	 Each Obligor shall, and shall procure that each other Transaction Obligor shall, notify the Facility Agent
(i) of any Event of Default (and the steps, if any, being taken to remedy it) promptly upon becoming aware of its occurrence (unless that Obligor is aware that a notification has already been provided by another Obligor); and (ii) promptly
upon becoming aware of the same, of any breach of any Sanctions applicable to any Vessel, any Transaction Obligor or any party to any agreement relating to any Vessel. 

 

	(b)	 Promptly upon a request by the Facility Agent, each Borrower shall supply to the Facility Agent a certificate
signed by one officer on its behalf certifying that no Event of Default is continuing (or if an Event of Default is continuing, specifying the Event of Default and the steps, if any, being taken to remedy it). 

 

	20.7	 Use of websites 

 

	(a)	 Each Obligor may satisfy its obligation under the Finance Documents to which it is a party to deliver any
information in relation to those Lenders (the “Website Lenders”) which accept this method of communication by posting this information onto an electronic website designated by the Borrowers and the Facility Agent (the
“Designated Website”) if: 

  

	 	(i)	 the Facility Agent expressly agrees (after consultation with each of the Lenders) that it will accept
communication of the information by this method; 

  

	 	(ii)	 both the relevant Obligor and the Facility Agent are aware of the address of and any relevant password
specifications for the Designated Website; and 

  

	 	(iii)	 the information is in a format previously agreed between the relevant Obligor and the Facility Agent.

 If any Lender (a “Paper Form Lender”) does not agree to the delivery of information electronically then
the Facility Agent shall notify the Obligors accordingly and each Obligor shall supply the information to the Facility Agent (in sufficient copies for each Paper Form Lender) in paper form. In any event each Obligor shall supply the Facility Agent
with at least one copy in paper form of any information required to be provided by it. 
  

	(b)	 The Facility Agent shall supply each Website Lender with the address of and any relevant password
specifications for the Designated Website following designation of that website by the Obligors or any of them and the Facility Agent. 

  

	(c)	 An Obligor shall promptly upon becoming aware of its occurrence notify the Facility Agent if:

  
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	 	(i)	 the Designated Website cannot be accessed due to technical failure; 

 

	 	(ii)	 the password specifications for the Designated Website change; 

 

	 	(iii)	 any new information which is required to be provided under this Agreement is posted onto the Designated
Website; 

  

	 	(iv)	 any existing information which has been provided under this Agreement and posted onto the Designated Website is
amended; or 

  

	 	(v)	 if that Obligor becomes aware that the Designated Website or any information posted onto the Designated Website
is or has been infected by any electronic virus or similar software. 

 If an Obligor notifies the Facility Agent under sub-paragraph (i) or (v) of paragraph (c) above, all information to be provided by the Obligors under this Agreement after the date of that notice shall be supplied in paper form unless and until the
Facility Agent and each Website Lender is satisfied that the circumstances giving rise to the notification are no longer continuing. 
  

	(d)	 Any Website Lender may request, through the Facility Agent, one paper copy of any information required to be
provided under this Agreement which is posted onto the Designated Website. The Obligors shall comply with any such request within 10 Business Days. 

  

	20.8	 “Know your customer” checks 

 

	(a)	 If: 

  

	 	(i)	 the introduction of or any change in (or in the interpretation, administration or application of) any law or
regulation made after the date of this Agreement; 

  

	 	(ii)	 any change in the status of a Transaction Obligor (including, without limitation, a change of ownership of a
Transaction Obligor (save for the Guarantor)) after the date of this Agreement; or 

  

	 	(iii)	 a proposed assignment or transfer by a Lender of any of its rights and obligations under this Agreement to a
party that is not a Lender prior to such assignment or transfer, 

 obliges a Finance Party (or, in the case of sub-paragraph (iii) above, any prospective new Lender) to comply with “know your customer” or similar identification procedures in circumstances where the necessary information is not already
available to it, each Obligor shall promptly upon the request of any Finance Party supply, or procure the supply of, such documentation and other evidence as is reasonably requested by a Servicing Party (for itself or on behalf of any other Finance
Party) or any Lender (for itself or, in the case of the event described in sub-paragraph (iii) above, on behalf of any prospective new Lender) in order for such Finance Party or, in the case of the event
described in sub-paragraph (iii) above, any prospective new Lender to carry out and be satisfied it has complied with all necessary “know your customer” or other similar checks under all
applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents. 

  
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	(b)	 Each Lender shall promptly upon the request of a Servicing Party supply, or procure the supply of, such
documentation and other evidence as is reasonably requested by the Servicing Party (for itself) in order for that Servicing Party to carry out and be satisfied it has complied with all necessary “know your customer” or other similar checks
under all applicable laws and regulations pursuant to the transactions contemplated in the Finance Documents. 

  

	21	 FINANCIAL COVENANTS 

 

	21.1	 Minimum liquidity 

Each Borrower will ensure that at all times commencing on the Drawdown Date of the Tranche relating to the Vessel owned by it and for the
remainder of the Security Period an amount of not less than $650,000 (“Minimum Liquidity Amount”) shall: 
  

	(a)	 unless paragraph (b) below applies, be credited in its entirety to the Earnings Account;

  

	(b)	 where any Borrower has elected to place funds on the relevant Time Deposit Account, be credited in its entirety
to the relevant Time Deposit Account. 

  

	21.2	 Guarantor’s financial covenants 

The Guarantor shall ensure that: 
  

	(a)	 the members of the Group will maintain Liquid Funds in an amount equal to at least the product of $650,000 and
the total number of Fleet Vessels at that time; 

  

	(b)	 the Market Value Adjusted Leverage shall be no greater than 75 per cent.; 

 

	(c)	 the Interest Cover Ratio shall be at least 2:1; and 

 

	(d)	 the Net Worth shall be at least $135,000,000. 

 

	21.3	 Test Dates 

The financial covenants under paragraphs (a) to (d) above shall be tested quarterly on each relevant Test Date. 

 

	22	 GENERAL UNDERTAKINGS 

 

	22.1	 General 

The undertakings in this Clause 22 (General Undertakings) remain in force throughout the Security Period except as the Facility Agent,
acting with the authorisation of the Majority Lenders (or, where specified, all the Lenders) may otherwise permit. 
  

	22.2	 Authorisations 

Each Obligor shall, and shall procure that each other Transaction Obligor will, promptly: 

 

	(a)	 obtain, comply with and do all that is necessary to maintain in full force and effect; and

  

	(b)	 supply certified copies to the Facility Agent of, 

  
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 any Authorisation required under any law or regulation of a Relevant Jurisdiction or the
state of the Approved Flag at any time of each Vessel to enable it to: 
  

	 	(i)	 perform its obligations under the Transaction Documents to which it is a party; 

 

	 	(ii)	 ensure the legality, validity, enforceability or admissibility in evidence in any Relevant Jurisdiction and in
the state of the Approved Flag at any time of each Vessel or any Transaction Document to which it is a party; and 

  

	 	(iii)	 own and operate each Vessel (in the case of the Borrowers). 

 

	22.3	 Compliance with laws 

Each Obligor shall, and shall procure that each other Transaction Obligor will, comply in all respects with all laws and regulations to which
it may be subject, if failure so to comply has or is reasonably likely to have a Material Adverse Effect. 
  

	22.4	 Environmental compliance 

Each Obligor shall, and shall procure that each other Transaction Obligor will, and the Guarantor shall ensure that each other member of the
Group will: 
  

	(a)	 comply with all Environmental Laws; 

 

	(b)	 obtain, maintain and ensure compliance with all requisite Environmental Approvals; 

 

	(c)	 implement procedures to monitor compliance with and to prevent liability under any Environmental Law,

 where failure to do so has or is reasonably likely to have a Material Adverse Effect. 

 

	22.5	 Environmental claims 

Each Obligor shall, and shall procure that each other Transaction Obligor will, (through the Guarantor), promptly upon becoming aware of the
same, inform the Facility Agent in writing of: 
  

	(a)	 any Environmental Claim against any member of the Group which is current, pending or threatened; and

  

	(b)	 any facts or circumstances which are reasonably likely to result in any Environmental Claim being commenced or
threatened against any member of the Group, 

 where the claim, if determined against that member of the Group, has or is
reasonably likely to have a Material Adverse Effect. 
  

	22.6	 Taxation 

  

	(a)	 Each Obligor shall, and shall procure that each other Transaction Obligor will, pay and discharge all Taxes
imposed upon it or its assets within the time period allowed without incurring penalties unless and only to the extent that: 

  

	 	(i)	 such payment is being contested in good faith; 

  
 75 

	 	(ii)	 adequate reserves are maintained for those Taxes and the costs required to contest them and both have been
disclosed in its latest financial statements delivered to the Facility Agent under Clause 20.2 (Financial statements); and 

  

	 	(iii)	 such payment can be lawfully withheld and failure to pay those Taxes does not have or is not reasonably likely
to have a Material Adverse Effect. 

  

	(b)	 No Obligor shall and the Obligors shall procure that no other Transaction Obligor will, change its residence
for Tax purposes. 

  

	22.7	 Overseas companies 

Each Obligor shall, and shall procure that each other Transaction Obligor will, promptly inform the Facility Agent if it delivers to the
Registrar particulars required under the Overseas Regulations of any UK Establishment and it shall comply with any directions given to it by the Facility Agent regarding the recording of any Transaction Security on the register which it is required
to maintain under The Overseas Companies (Execution of Documents and Registration of Charges) Regulations 2009. 
  

	22.8	 Pari passu ranking 

Each Obligor shall, and shall procure that each other Transaction Obligor will, ensure that at all times any unsecured and unsubordinated
claims of a Finance Party against it under the Finance Documents rank at least pari passu with the claims of all its other unsecured and unsubordinated creditors except those creditors whose claims are mandatorily preferred by laws of general
application to companies. 
  

	22.9	 Title 

  

	(a)	 Each Borrower shall hold the legal title to, and own the entire beneficial interest in: 

 

	 	(i)	 the Vessel owned by it, its Earnings and its Insurances; and 

 

	 	(ii)	 with effect on and from its creation or intended creation, any other assets the subject of any Transaction
Security created or intended to be created by that Borrower. 

  

	(b)	 The Guarantor shall hold the legal title to, and own the entire beneficial interest in with effect on and from
its creation or intended creation, any assets the subject of any Transaction Security created or intended to be created by the Guarantor. 

  

	22.10	 Negative pledge 

 

	(a)	 No Borrower shall create or permit to subsist any Security over any of its assets. 

 

	(b)	 No Borrower shall: 

  

	 	(i)	 sell, transfer or otherwise dispose of any of its assets on terms whereby they are or may be leased to or re-acquired by a Transaction Obligor or any other member of the Group; 

  

	 	(ii)	 sell, transfer or otherwise dispose of any of its receivables on recourse terms; 

  
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	 	(iii)	 enter into any arrangement under which money or the benefit of a bank or other account may be applied, set-off or made subject to a combination of accounts; or 

  

	 	(iv)	 enter into any other preferential arrangement having a similar effect, 

in circumstances where the arrangement or transaction is entered into primarily as a method of raising Financial Indebtedness or of financing
the acquisition of an asset. 
  

	(c)	 Paragraphs (a) and (b) above do not apply to any Permitted Security. 

 

	22.11	 Disposals 

Subject to Clause 24.16 (Restrictions on chartering, appointment of managers etc.), no Borrower shall enter into a single transaction or
a series of transactions (whether related or not) and whether voluntary or involuntary to sell, lease, transfer or otherwise dispose of any asset (including without limitation any Vessel, its Earnings or its Insurances and the shares in any
Borrower). 
  

	22.12	 Merger 

No Obligor shall enter into any amalgamation, demerger, merger, consolidation or corporate reconstruction except in circumstances where the
Guarantor is the surviving entity of any such event. 
  

	22.13	 Change of business 

 

	(a)	 The Guarantor shall procure that no substantial change is made to the general nature of the business of the
Guarantor or the Group from that carried on at the date of this Agreement. 

  

	(b)	 No Borrower shall engage in any business other than the ownership and operation of its Vessel.

  

	22.14	 Financial Indebtedness 

No Borrower shall incur or permit to be outstanding any Financial Indebtedness except Permitted Financial Indebtedness. 

 

	22.15	 Expenditure 

No Borrower shall incur any expenditure, except for expenditure reasonably incurred in the ordinary course of owning, operating, maintaining
and repairing its Vessel. 
  

	22.16	 Share capital 

No Borrower shall: 
  

	(a)	 purchase, cancel or redeem any of its share capital; 

 

	(b)	 increase or reduce its authorised share capital; 

 

	(c)	 issue any further shares except to the Shareholder and provided such new shares are made subject to the terms
of the Shares Security applicable to that Borrower immediately upon the issue of such new shares in a manner satisfactory to the Facility Agent and the terms of that Shares Security are complied with; 

  
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	(d)	 appoint any further director or officer of that Borrower (unless the provisions of the Shares Security
applicable to that Borrower are complied with). 

  

	22.17	 Dividends 

The Guarantor may only make or pay any dividend or other distribution (in cash or in kind) in respect of its share capital Provided that
no Event of Default has occurred or will result from the making or payment of such dividend or distribution. 
  

	22.18	 Accounts 

No Borrower shall open or maintain any account with any bank or financial institution except any accounts with the Account Bank, the Facility
Agent or the Security Agent for the purposes of the Finance Documents. 
  

	22.19	 Other transactions 

No Borrower shall: 
  

	(a)	 be the creditor in respect of any loan or any form of credit to any person other than another Obligor and where
such loan or form of credit is Permitted Financial Indebtedness; 

  

	(b)	 save for under the unsecured guarantee issued by that Borrower in respect of obligations of the Guarantor under
the Term B Loan, give or allow to be outstanding any guarantee or indemnity to or for the benefit of any person in respect of any obligation of any other person or enter into any document under which that Obligor assumes any liability of any other
person other than any guarantee or indemnity given under the Finance Documents; 

  

	(c)	 enter into any material agreement other than: 

 

	 	(i)	 the Transaction Documents; 

 

	 	(ii)	 any other agreement expressly allowed under any other term of this Agreement; and 

 

	(d)	 enter into any transaction on terms which are, in any respect, less favourable to that Borrower than those
which it could obtain in a bargain made at arms’ length; or 

  

	(e)	 acquire any shares or other securities other than US or UK Treasury bills and certificates of deposit issued by
major North American or European banks. 

  

	22.20	 Unlawfulness, invalidity and ranking; Security imperilled 

No Obligor shall, and the Obligors shall procure that no other Transaction Obligor will, do (or fail to do) or cause or permit another person
to do (or omit to do) anything which is likely to: 
  

	(a)	 make it unlawful for a Transaction Obligor to perform any of its obligations under the Transaction Documents;

  

	(b)	 cause any obligation of a Transaction Obligor under the Transaction Documents to cease to be legal, valid,
binding or enforceable; 

  

	(c)	 cause any Transaction Document to cease to be in full force and effect; 

 

	(d)	 cause any Transaction Security to rank after, or lose its priority to, any other Security; and

  

	(e)	 imperil or jeopardise the Transaction Security. 

  
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	22.21	 Separate corporate existence 

Each Borrower shall maintain separate corporate existence and identity, shall keep records and books on a consolidated basis with the Guarantor
and shall not co-mingle its assets nor become a member of a VAT Group. 
  

	22.22	 Accounting reference date 

No Obligor shall change its year end accounting reference date. 
  

	22.23	 Securitisation 

Each Obligor shall, and the Obligors shall procure that each other Transaction Obligor will, assist the Facility Agent and/or any Lender in
achieving a successful securitisation (or similar transaction) in respect of the Facility and the Finance Documents and such Transaction Obligor’s reasonable costs for providing such assistance shall be met by the relevant Lender. Each
Borrower, if requested by the Facility Agent, shall provide documentation evidencing the purchase price of the Vessel owned by it when acquired by that Borrower. 
  

	22.24	 Constitutional documents 

Without prejudice to Clause 22.16 (Share capital) and the terms of any Shares Security, no Obligor other than the Guarantor shall allow
any amendment or variation to its constitutional documents unless such amendment or variation would clearly be immaterial to this Agreement and the other Finance Documents. 
  

	22.25	 Further assurance 

 

	(a)	 Each Obligor shall (and the Guarantor shall procure that each member of the Group will) promptly, and in any
event within the time period specified by the Security Agent do all such acts (including procuring or arranging any registration, notarisation or authentication or the giving of any notice) or execute or procure execution of all such documents
(including assignments, transfers, mortgages, charges, notices, instructions, acknowledgments, proxies and powers of attorney), as the Security Agent may specify (and in such form as the Security Agent may require in favour of the Security Agent or
its nominee(s)): 

  

	 	(i)	 to create, perfect, vest in favour of the Security Agent or protect the priority of the Security or any right
of any kind created or intended to be created under or evidenced by the Finance Documents (which may include the execution of a mortgage, charge, assignment or other Security over all or any of the assets which are, or are intended to be, the
subject of the Transaction Security) or for the exercise of any rights, powers and remedies of any of the Creditor Parties provided by or pursuant to the Finance Documents or by law; 

 

	 	(ii)	 to confer on the Security Agent or confer on the Creditor Parties Security over any property and assets of that
Transaction Obligor located in any jurisdiction equivalent or similar to the Security intended to be conferred by or pursuant to the Finance Documents; 

  

	 	(iii)	 to facilitate or expedite the realisation and/or sale of, the transfer of title to or the grant of, any
interest in or right relating to the assets which are, or are intended to be, the subject of the Transaction Security or to exercise any power specified in any Finance Document in respect of which the Security has become enforceable; and/or

  
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	 	(iv)	 to enable or assist the Security Agent to enter into any transaction to commence, defend or conduct any
proceedings and/or to take any other action relating to any item of the Security Property. 

  

	(b)	 Each Obligor shall, and shall procure that each other Transaction Obligor will, take all such action as is
available to it (including making all filings and registrations) as may be necessary for the purpose of the creation, perfection, protection or maintenance of any Security conferred or intended to be conferred on the Security Agent or the Creditor
Parties by or pursuant to the Finance Documents. 

  

	(c)	 At the same time as an Obligor delivers to the Security Agent any document executed by itself or another
Transaction Obligor pursuant to this Clause 22.25 (Further assurance), that Obligor shall deliver, or shall procure that such other Transaction Obligor will deliver, to the Security Agent a certificate signed by one of that Obligor’s or
Transaction Obligor’s officers which shall: 

  

	 	(i)	 set out the text of a resolution of that Obligor’s or Transaction Obligor’s directors specifically
authorising the execution of the document specified by the Security Agent; and 

  

	 	(ii)	 state that either the resolution was duly passed at a meeting of the directors validly convened and held,
throughout which a quorum of directors entitled to vote on the resolution was present, or that the resolution has been signed by all of the directors and is valid under that Obligor’s or Transaction Obligor’s articles of association,
articles of incorporation or other constitutional documents. 

  

	23	 INSURANCE UNDERTAKINGS 

 

	23.1	 General 

The undertakings in this Clause 23 (Insurance Undertakings) remain in force on and from the relevant Drawdown Date and throughout the
rest of the Security Period except as the Facility Agent, acting with the authorisation of the Majority Lenders (or, where specified, all the Lenders) may otherwise permit. 
  

	23.2	 Maintenance of obligatory insurances 

Each Borrower shall keep the Vessel owned by it insured at its expense against: 

 

	(a)	 hull and machinery plus freight interest and hull interest and/or increased value and any other usual marine
risks (including excess risks); 

  

	(b)	 war risks (including the London Blocking and Trapping addendum or its equivalent); 

 

	(c)	 protection and indemnity risks (including liability for oil pollution for an amount of no less than
$1,000,000,000 and excess war risk P&I cover) on standard Club Rules, covered by a Protection and Indemnity association which is a member of the International Group of Protection and Indemnity Associations (or, if the International Group ceases
to exist, any other leading protection and indemnity association or other leading provider of protection and indemnity insurance) (including, without limitation, the proportion (if any) of any collision liability not covered under the terms of the
hull cover); 

  
 80 

	(d)	 freight, demurrage and defence; 

 

	(e)	 any other risks against which the Facility Agent acting on the instructions of the Majority Lenders considers,
having regard to practices and other circumstances prevailing at the relevant time, it would be reasonable for the Borrowers to insure and which are specified by the Facility Agent by notice to the Borrowers. 

 

	23.3	 Terms of obligatory insurances 

Each Borrower shall effect such insurances in respect of the Vessel owned by it: 

 

	(a)	 in dollars; 

  

	(b)	 in the case of hull and machinery and usual marine risks and war risks, in an amount on an agreed value basis
at least the greater of: 

  

	 	(i)	 an amount which (when aggregated with the amounts for which any other Vessels providing first priority security
for the Secured Liabilities are insured for such risks) equals 120 per cent. of the Loan; and 

  

	 	(ii)	 the Market Value of that Vessel; 

 

	(c)	 in the case of oil pollution liability risks, for an aggregate amount equal to the highest level of cover from
time to time available under basic protection and indemnity club entry and in the international marine insurance market but such amount shall not be less than $1,000,000,000; 

 

	(d)	 in the case of protection and indemnity risks, in respect of the full tonnage of its Vessel;

  

	(e)	 in the case of the hull and machinery insurance, on the basis that the deductible is not higher than the Major
Casualty figure; 

  

	(f)	 in the case where a Vessel is insured on a fleet policy, on the basis that each vessel insured on that fleet
policy is deemed to be insured on an individual basis; 

  

	(g)	 on approved terms; and 

 

	(h)	 through Approved Brokers and with approved insurance companies and/or underwriters or, in the case of war risks
and protection and indemnity risks, in approved war risks and protection and indemnity risks associations. 

  

	23.4	 Further protections for the Finance Parties 

In addition to the terms set out in Clause 23.3 (Terms of obligatory insurances), each Borrower shall procure that the obligatory
insurances effected by it shall: 
  

	(a)	 subject always to paragraph (b), name that Borrower as the sole named insured unless the interest of every
other named insured is limited: 

  

	 	(i)	 in respect of any obligatory insurances for hull and machinery and war risks; 

  
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	 	(A)	 to any provable out-of-pocket
expenses that it has incurred and which form part of any recoverable claim on underwriters; and 

  

	 	(B)	 to any third party liability claims where cover for such claims is provided by the policy (and then only in
respect of discharge of any claims made against it); and 

  

	 	(ii)	 in respect of any obligatory insurances for protection and indemnity risks, to any recoveries it is entitled to
make by way of reimbursement following discharge of any third party liability claims made specifically against it; 

 and
that it shall do all things necessary and provide all documents, evidence and information to enable the Security Agent to collect or recover any moneys which at any time become payable in respect of the obligatory insurances; 

 

	(b)	 whenever the Facility Agent requires, name (or be amended to name) the Security Agent as additional named
insured for its rights and interests, warranted no operational interest and with full waiver of rights of subrogation against the Security Agent, but without the Security Agent being liable to pay (but having the right to pay) premiums, calls or
other assessments in respect of such insurance; 

  

	(c)	 name the Security Agent as loss payee with such directions for payment as the Facility Agent may specify;

  

	(d)	 provide that all payments by or on behalf of the insurers under the obligatory insurances to the Security Agent
shall be made without set off, counterclaim or deductions or condition whatsoever; 

  

	(e)	 provide that the obligatory insurances shall be primary without right of contribution from other insurances
which may be carried by the Security Agent or any other Finance Party; and 

  

	(f)	 provide that the Security Agent may make proof of loss if that Borrower fails to do so. 

 

	23.5	 Renewal of obligatory insurances 

Each Borrower shall: 
  

	(a)	 at least 10 days before the expiry of any obligatory insurance effected by it: 

 

	 	(i)	 notify the Facility Agent of the Approved Brokers (or other insurers) and any protection and indemnity or war
risks association through or with which that Borrower proposes to renew that obligatory insurance and of the proposed terms of renewal; and 

  

	 	(ii)	 obtain the Facility Agents’ approval to the matters referred to in
sub-paragraph (i) of paragraph (a) above; 

  

	(b)	 at least 14 days before the expiry of any obligatory insurance, renew that obligatory insurance in accordance
with the Facility Agent’s approval pursuant to paragraph (a) above; and 

	(c)	 procure that the Approved Brokers and/or the approved war risks and protection and indemnity associations with
which such a renewal is effected shall promptly after the renewal notify the Facility Agent in writing of the terms and conditions of the renewal. 

  
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	23.6	 Copies of policies; letters of undertaking 

Each Borrower shall ensure that the Approved Brokers provide the Security Agent with: 

 

	(a)	 pro forma copies of all policies relating to the obligatory insurances which they are to effect or
renew; and 

  

	(b)	 a letter or letters or undertaking in a form required by the Facility Agent and including undertakings by the
Approved Brokers that: 

  

	 	(i)	 they will have endorsed on each policy, immediately upon issue, a loss payable clause and a notice of
assignment complying with the provisions of Clause 23.4 (Further protections for the Finance Parties); 

  

	 	(ii)	 they will hold such policies, and the benefit of such insurances, to the order of the Security Agent in
accordance with such loss payable clause; 

  

	 	(iii)	 they will advise the Security Agent immediately of any material change to the terms of the obligatory
insurances; 

  

	 	(iv)	 they will, if they have not received notice of renewal instructions from the relevant Borrower or its agents,
notify the Security Agent not less than 14 days before the expiry of the obligatory insurances; 

  

	 	(v)	 if they receive instructions to renew the obligatory insurances, they will promptly notify the Facility Agent
of the terms of the instructions; 

  

	 	(vi)	 they will not set off against any sum recoverable in respect of a claim relating to the Vessel owned by that
Borrower under such obligatory insurances any premiums or other amounts due to them or any other person whether in respect of that Vessel or otherwise, they waive any lien on the policies, or any sums received under them, which they might have in
respect of such premiums or other amounts and they will not cancel such obligatory insurances by reason of non-payment of such premiums or other amounts; and 

 

	 	(vii)	 they will arrange for a separate policy to be issued in respect of the Vessel owned by that Borrower forthwith
upon being so requested by the Facility Agent. 

  

	23.7	 Copies of certificates of entry 

Each Borrower shall ensure that any protection and indemnity and/or war risks associations in which the Vessel owned by it is entered provide
the Security Agent with: 
  

	(a)	 a certified copy of the certificate of entry for that Vessel; 

 

	(b)	 a letter or letters of undertaking in such form as may be required by the Facility Agent acting on the
instructions of Majority Lenders; and 

  

	(c)	 a certified copy of each certificate of financial responsibility for pollution by oil or other Environmentally
Sensitive Material issued by the relevant certifying authority in relation to that Vessel. 

  
 83 

	23.8	 Deposit of original policies 

Each Borrower shall ensure that all policies relating to obligatory insurances effected by it are deposited with the Approved Brokers through
which the insurances are effected or renewed. 
  

	23.9	 Payment of premiums 

Each Borrower shall punctually pay all premiums or other sums payable in respect of the obligatory insurances effected by it and produce all
relevant receipts when so required by the Facility Agent or the Security Agent. 
  

	23.10	 Guarantees 

Each Borrower shall ensure that any guarantees required by a protection and indemnity or war risks association are promptly issued and remain
in full force and effect. 
  

	23.11	 Compliance with terms of insurances 

 

	(a)	 No Borrower shall do or omit to do (or permit to be done or not to be done) any act or thing which would or
might render any obligatory insurance invalid, void, voidable or unenforceable or render any sum payable under an obligatory insurance repayable in whole or in part. 

 

	(b)	 Without limiting paragraph (a) above, each Borrower shall: 

 

	 	(i)	 take all necessary action and comply with all requirements which may from time to time be applicable to the
obligatory insurances, and (without limiting the obligation contained in sub-paragraph (iii) of paragraph (b) of Clause 23.6 (Copies of policies; letters of undertaking)) ensure that the
obligatory insurances are not made subject to any exclusions or qualifications to which the Facility Agent has not given its prior approval; 

  

	 	(ii)	 not make any changes relating to the classification or classification society or manager or operator of the
Vessel owned by it unless approved by the underwriters of the obligatory insurances; 

  

	 	(iii)	 make (and promptly supply copies to the Facility Agent of) all quarterly or other voyage declarations which may
be required by the protection and indemnity risks association in which the Vessel owned by it is entered to maintain cover for trading to the United States of America and Exclusive Economic Zone (as defined in the United States Oil Pollution Act
1990 or any other applicable legislation); and 

  

	 	(iv)	 not employ the Vessel owned by it, nor allow it to be employed, otherwise than in conformity with the terms and
conditions of the obligatory insurances, without first obtaining the consent of the insurers and complying with any requirements (as to extra premium or otherwise) which the insurers specify. 

  
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	23.12	 Alteration to terms of insurances 

No Borrower shall make or agree to any alteration to the terms of any obligatory insurance or waive any right relating to any obligatory
insurance. 
  

	23.13	 Settlement of claims 

Each Borrower shall: 
  

	(a)	 not settle, compromise or abandon any claim under any obligatory insurance for Total Loss or for a Major
Casualty; and 

  

	(b)	 do all things necessary and provide all documents, evidence and information to enable the Security Agent to
collect or recover any moneys which at any time become payable in respect of the obligatory insurances. 

  

	23.14	 Provision of copies of communications 

Each Borrower shall provide the Security Agent, at the time of each such communication, with copies of all written communications between that
Borrower and: 
  

	(a)	 the Approved Brokers; 

 

	(b)	 the approved protection and indemnity and/or war risks associations; and 

 

	(c)	 the approved insurance companies and/or underwriters, 

which relate directly or indirectly to: 
  

	 	(i)	 that Borrower’s obligations relating to the obligatory insurances including, without limitation, all
requisite declarations and payments of additional premiums or calls; and 

  

	 	(ii)	 any credit arrangements made between that Borrower and any of the persons referred to in paragraphs (a) or
(b) above relating wholly or partly to the effecting or maintenance of the obligatory insurances. 

  

	23.15	 Provision of information 

Each Borrower shall promptly provide the Facility Agent (or any persons which it may designate) with any information which the Facility Agent
(or any such designated person) requests for the purpose of: 
  

	(a)	 obtaining or preparing any report from an independent marine insurance broker as to the adequacy of the
obligatory insurances effected or proposed to be effected; and/or 

  

	(b)	 effecting, maintaining or renewing any such insurances as are referred to in Clause 23.16 (Mortgagee’s
interest, additional perils and mortgagee’s rights insurances) or dealing with or considering any matters relating to any such insurances, and the Borrowers shall, forthwith upon demand, indemnify the Facility Agent in respect of all fees
and other expenses incurred by or for the account of the Facility Agent in connection with any such report as is referred to in paragraph (a) above. 

  
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	23.16	 Mortgagee’s interest, additional perils and mortgagee’s rights insurances

 The Security Agent shall be entitled from time to time to effect, maintain and renew: 

 

	(a)	 a mortgagee’s interest insurance in an amount equal to 120 per cent. of the Loan;

  

	(b)	 a mortgagee’s interest additional perils insurance in an amount equal to 120 per cent. of the Loan;

  

	(c)	 a mortgagee’s rights insurance in an amount equal to 110 per cent. of the Loan,

 and the Borrowers shall upon demand fully indemnify the Finance Parties in respect of all premiums and other expenses
which are incurred in connection with or with a view to effecting, maintaining or renewing any such insurance or dealing with, or considering, any matter arising out of any such insurance. 

 

	24	 VESSEL UNDERTAKINGS 

 

	24.1	 General 

The undertakings in this Clause 24 (Vessel Undertakings) remain in force on and from the relevant Drawdown Date and throughout the rest
of the Security Period except as the Facility Agent, acting with the authorisation of the Majority Lenders (or, where specified, all the Lenders) may otherwise permit in writing. 

 

	24.2	 Vessel’s names and registration 

Each Borrower shall, in respect of the Vessel owned by it: 
  

	(a)	 keep that Vessel registered in its name under the Approved Flag from time to time at its port of registration;

  

	(b)	 not do or allow to be done anything as a result of which such registration might be suspended, cancelled or
imperilled; 

  

	(c)	 not enter into any dual flagging arrangement in respect of that Vessel; 

 

	(d)	 not change the name of that Vessel without prior notification to, and consent of, the Facility Agent.

  

	24.3	 Repair and classification 

Each Borrower shall keep the Vessel owned by it in a good and safe condition and state of repair: 

 

	(a)	 consistent with first class ship ownership and management practice; and 

 

	(b)	 so as to maintain the Approved Classification free of overdue recommendations and conditions affecting that
Vessel’s class. 

  
 86 

	24.4	 Modifications 

No Borrower shall make any modification or repairs to, or replacement of, the Vessel owned by it or equipment installed on it which would or
might materially alter the structure, type or performance characteristics of that Vessel or materially reduce its value. 
  

	24.5	 Removal and installation of parts 

 

	(a)	 Subject to paragraph (b) below, no Borrower shall remove any material part of the Vessel owned by it, or
any item of equipment installed on that Vessel unless: 

  

	 	(i)	 the part or item so removed is forthwith replaced by a suitable part or item which is in the same condition as
or better condition than the part or item removed; 

  

	 	(ii)	 the replacement part or item is free from any Security in favour of any person other than the Security Agent;
and 

  

	 	(iii)	 the replacement part or item becomes, on installation on that Vessel, the property of that Borrower and subject
to the security constituted by the Mortgage on that Vessel. 

  

	(b)	 A Borrower may install equipment owned by a third party if the equipment can be removed without any risk of
damage to the Vessel owned by that Borrower. 

  

	24.6	 Surveys 

Each Borrower shall submit the Vessel owned by it regularly to all periodic or other surveys which may be required for classification purposes
and, if so required by the Facility Agent acting on the instructions of the Majority Lenders, provide the Facility Agent, with copies of all survey reports. 
  

	24.7	 Inspection 

Each Borrower shall permit the Security Agent (acting through surveyors or other persons appointed by it for that purpose) to board the Vessel
owned by it at all reasonable times at the Facility Agent’s discretion to inspect its condition or to satisfy themselves about proposed or executed repairs and shall afford all proper facilities for such inspections provided that such
technical survey shall not interfere with the ordinary trading of the Vessel owned by it (unless an Event of Default is in existence at the relevant time). So long as no Event of Default has occurred and is continuing at the relevant time, the cost
of one inspection in respect of each Vessel per annum under this Clause 24.7 (Inspection) shall be for the account of the Borrowers. 
  

	24.8	 Prevention of and release from arrest 

 

	(a)	 Each Borrower shall, in respect of the Vessel owned by it, promptly discharge: 

 

	 	(i)	 all liabilities which give or may give rise to maritime or possessory liens on or claims enforceable against
that Vessel, its Earnings or its Insurances; 

  

	 	(ii)	 all Taxes, dues and other amounts charged in respect of that Vessel, its Earnings or its Insurances; and

  

	 	(iii)	 all other outgoings whatsoever in respect of that Vessel, its Earnings or its Insurances.

  
 87 

	(b)	 Each Borrower shall immediately upon receiving notice of the arrest of the Vessel owned by it or of its
detention in exercise or purported exercise of any lien or claim, take all steps necessary to procure its release by providing bail or otherwise as the circumstances may require. 

 

	24.9	 Compliance with laws etc. 

Without prejudice to Clause 24.12 (Sanctions, Anti-Corruption Laws and Anti-Money Laundering Laws), each Borrower shall (and shall
procure that the Approved Manager and the Guarantor, as applicable, shall): 
  

	(a)	 comply, or procure compliance with all laws or regulations: 

 

	 	(i)	 relating to its business generally; and 

 

	 	(ii)	 relating to the Vessel owned by it, its ownership, employment, operation, management and registration,

 including, but not limited to, the ISM Code, the ISPS Code, all Environmental Laws, all Sanctions and the laws of the
Approved Flag; 
  

	(b)	 obtain, comply with and do all that is necessary to maintain in full force and effect any Environmental
Approvals; 

  

	(c)	 without limiting paragraph (a) above, not employ the Vessel owned by it nor allow its employment,
operation or management in any manner contrary to any law or regulation including but not limited to the ISM Code, the ISPS Code, all Environmental Laws and all Sanctions; and 

 

	(d)	 not appoint any manager or agent to manage the Vessel owned by it unless such party undertakes to procure that
any agreement entered into relating to the management, employment or operation of that Vessel contains a clause in which the counterparty undertakes to comply with all Sanctions. 

 

	24.10	 ISPS Code 

Without limiting paragraph (a) of Clause 24.9 (Compliance with laws etc.), each Borrower shall: 

 

	(a)	 procure that the Vessel owned by it and the company responsible for that Vessel’s compliance with the ISPS
Code comply with the ISPS Code; and 

  

	(b)	 maintain an ISSC and an IAPPC for that Vessel; and 

 

	(c)	 notify the Facility Agent immediately in writing of any actual or threatened withdrawal, suspension,
cancellation or modification of the ISSC. 

  
 88 

	24.11	 Sanctions and Vessel trading 

Without limiting Clause 24.9 (Compliance with laws etc.), each Borrower shall procure: 

 

	(a)	 that the Vessel owned by it shall not be used by or for the benefit of a Prohibited Person;

  

	(b)	 that the Vessel owned by it shall not be used in trading in any manner contrary to Sanctions (or which could be
contrary to Sanctions if Sanctions were binding on each Transaction Obligor); and 

  

	(c)	 that the Vessel owned by it shall not be traded in any manner which would trigger the operation of any
sanctions limitation or exclusion clause (or similar) in the Insurances. 

  

	24.12	 Sanctions, Anti-Corruption Laws and Anti-Money Laundering Laws 

Without limiting Clause 24.9 (Compliance with laws etc.), 
  

	(a)	 each Obligor, and each member of its Group, shall comply with all applicable Sanctions, Anti-Corruption Laws
and Anti-Money Laundering Laws and shall not engage in any activity that could result in an Obligor becoming a Sanctions Target. 

  

	(b)	 each Obligor shall take all actions necessary, or which may be reasonably required by the Agent (or shall
refrain from taking any action as may be reasonably required by the Agent), so as not to cause any Creditor Party to violate any applicable Sanctions, Anti-Corruption Laws and/or any Anti-Money Laundering Laws in connection with the Transaction
Documents or the operation or use of a Vessel. 

  

	(c)	 each Obligor shall not, and shall procure that no member of its Group nor the Approved Manager shall:

  

	 	(i)	 directly or indirectly use, make available, apply or allow to be used, made available or applied, the proceeds
of any Loans, any leasing or any sale or other disposal of a Vessel (or any part of it) or the Earnings for any purpose which would violate or cause any Secured Party or any Transaction Obligor or Charterer to violate, when and as applicable, any
Sanctions, any Anti-Corruption Laws or any Anti-Money Laundering Laws; 

  

	 	(ii)	 directly or indirectly lend, invest, contribute or otherwise make available such proceeds to, or for the
benefit of, any current Sanctions Target; or 

  

	 	(iii)	 own, operate, possess, use, lease, dispose of or otherwise deal with, or procure or allow the ownership,
operation, possession, use, leasing, disposal of or any other dealing with, a Vessel, or part of it, for any purpose which would violate or cause any Secured Party or any Transaction Obligor or Charterer to violate, when and as applicable, any
Sanctions, any Anti-Corruption Laws or any Anti-Money Laundering Laws; 

  

	(d)	 each Obligor shall procure that the Charterer and each Approved Manager shall make equivalent representations
and give equivalent undertakings regarding compliance with all applicable Sanctions, Anti-Corruption Laws and Anti-Money Laundering Laws in respect of a Vessel and the leasing of it, including any sub-leasing
and managing of a Vessel. 

  

	24.13	 Trading in war zones 

In the event of hostilities in any part of the world (whether war is declared or not), no Borrower shall cause or permit any Vessel to enter or
trade to any zone which is declared a war zone by any government or by that Vessel’s war risks insurers unless: 

  
 89 

	(a)	 the prior written consent of the Security Agent (acting on the instructions of the Majority Lenders) has been
given; and 

  

	(b)	 that Borrower has (at its expense) effected any special, additional or modified insurance cover which the
Security Agent (acting on the instructions of the Majority Lenders) may require. 

  

	24.14	 Monitoring 

  

	(a)	 Each Borrower shall (or shall procure that any Charterer and the Approved Manager shall) allow the Security
Agent (or its agents), at any time and from time to time, to access all information pertaining to the Vessel owned by it and to monitor and/or track her position (including the movement of that Vessel) using any and all available means.

  

	(b)	 All costs incurred by the Security Agent (and any of its agents) under paragraph (a) of Clause 24.14
(Monitoring) above shall, prior to an Event of Default, be for the account of the Lenders and, following an Event of Default, be for the sole account of the Borrowers. 

 

	24.15	 Provision of information 

Without prejudice to Clause 20.5 (Information: miscellaneous) each Borrower shall, in respect of the Vessel owned by it, promptly
provide the Facility Agent with any information which it requests regarding: 
  

	(a)	 that Vessel, its employment, position and engagements; 

 

	(b)	 the Earnings and payments and amounts due to its master and crew; 

 

	(c)	 any expenditure incurred, or likely to be incurred, in connection with the operation, maintenance or repair of
that Vessel and any payments made by it in respect of that Vessel; 

  

	(d)	 any towages and salvages; and 

 

	(e)	 its compliance, the Approved Manager’s compliance and the compliance of that Vessel with the ISM Code and
the ISPS Code, 

 and, upon the Facility Agent’s request, each Borrower shall promptly provide copies of class
records, any inspection reports obtained for the Vessel owned by it, any current Charter relating to that Vessel, any current guarantee of any such Charter, that Vessel’s Safety Management Certificate and any relevant Document of Compliance.

  

	24.16	 Notification of certain events 

Each Borrower shall, in respect of the Vessel owned by it, immediately notify the Facility Agent by fax, confirmed forthwith by letter, of:

  

	(a)	 any casualty to that Vessel which is or is likely to be or to become a Major Casualty; 

 

	(b)	 any occurrence as a result of which that Vessel has become or is, by the passing of time or otherwise, likely
to become a Total Loss; 

  

	(c)	 any requisition of that Vessel for hire; 

  
 90 

	(d)	 any requirement or recommendation made in relation to that Vessel by any insurer or classification society or
by any competent authority which is not immediately complied with; 

  

	(e)	 any arrest or detention of that Vessel, any exercise or purported exercise of any lien on that Vessel or the
Earnings or any requisition of that Vessel for hire; 

  

	(f)	 any unscheduled dry docking of that Vessel; 

 

	(g)	 any Environmental Claim made against that Borrower or in connection with that Vessel, or any Environmental
Incident; 

  

	(h)	 any claim for breach of the ISM Code or the ISPS Code being made against that Borrower, the Approved Manager or
otherwise in connection with that Vessel; or 

  

	(i)	 any other matter, event or incident, actual or threatened, the effect of which will or could lead to the ISM
Code or the ISPS Code not being complied with, 

 and that Borrower shall keep the Facility Agent advised in writing on a
regular basis and in such detail as the Facility Agent shall require as to that Borrower’s, the Approved Manager’s or any other person’s response to any of those events or matters. 

 

	24.17	 Restrictions on chartering, appointment of managers etc. 

No Borrower shall, in relation to the Vessel owned by it: 
  

	(a)	 let that Vessel on demise charter for any period; 

 

	(b)	 enter into any time, voyage or consecutive voyage charter in respect of that Vessel other than a Permitted
Charter and any Assignable Charter, subject to the relevant Owner’s compliance with Clause 24.22 (Charterparty assignment); 

  

	(c)	 change in a material respect, cancel or terminate (or purport to so change, cancel or terminate), any
Assignable Charter and any Charter Guarantee relating to an Assignable Charter; 

  

	(d)	 change, cancel or terminate a Management Agreement; 

 

	(e)	 appoint a manager of that Vessel other than an Approved Manager; 

 

	(f)	 de activate or lay up that Vessel; or 

 

	(g)	 put that Vessel into the possession of any person for the purpose of work being done upon it in an amount
exceeding or likely to exceed US$500,000 (or the equivalent in any other currency) unless the relevant Borrower has exercised reasonable endeavours to ensure that that person has first given to the Security Agent and in terms satisfactory to it a
written undertaking not to exercise any lien on that Vessel or its Earnings for the cost of such work or for any other reason. 

  

	24.18	 Notice of Mortgage 

Each Borrower shall keep the relevant Mortgage registered against the Vessel owned by it as a valid first priority or preferred (as the case
may be) mortgage, carry on board that Vessel a certified copy of the relevant Mortgage and place and maintain in a conspicuous place in the navigation room and the master’s cabin of that Vessel a framed printed notice stating that that Vessel
is mortgaged by that Borrower to the Security Agent. 

  
 91 

	24.19	 Sharing of Earnings 

No Borrower shall enter into any agreement or arrangement for the sharing of any Earnings other than any profit sharing arrangements on
arm’s length terms. 
  

	24.20	 Nuclear materials 

No Borrower shall permit the Vessel owned by it to carry any nuclear material or any nuclear waste. 

 

	24.21	 Notification of compliance 

Each Borrower shall promptly provide the Facility Agent from time to time with evidence (in such form as the Facility Agent requires) that it
is complying with this Clause 24 (Vessel Undertakings). 
  

	24.22	 Charterparty Assignment 

Each Borrower shall, in respect of the Vessel owned by it, promptly after its entry into any Assignable Charter enter into a Charterparty
Assignment and the assignment contemplated thereunder shall be notified to the relevant Charterer and any charter guarantor in accordance with the terms of such Charterparty Assignment and each Borrower shall use its commercially reasonable
endeavours to obtain an acknowledgment of that Charterparty Assignment from the relevant Charterer and/or charter guarantor, and shall additionally deliver to the Facility Agent such other documents equivalent to those referred to at paragraphs 1.2,
1.3, 1.5 and 1.8 of Schedule 2, Part A as the Facility Agent may require. 
  

	25	 SECURITY COVER 

 

	25.1	 Minimum required security cover 

Clause 25.2 (Provision of additional security; prepayment) applies if the Facility Agent notifies the Borrowers that: 

 

	(a)	 the aggregate Market Value of the Vessels then subject to a Mortgage; plus 

 

	(b)	 the net realisable value of additional Security previously provided under this Clause 25.1 (Minimum required
security cover), is below 130 per cent. of the Loan. 

  

	25.2	 Provision of additional security; prepayment 

 

	(a)	 If the Facility Agent serves a notice on the Borrowers under Clause 25.1 (Minimum required security
cover), an Obligor shall, on or before the date falling one Month after the date on which the Facility Agent’s notice is served (the “Prepayment Date”), prepay such part of the Loan as shall eliminate the shortfall.

  

	(b)	 An Obligor may, instead of making a prepayment as described in paragraph (a) above, provide, or ensure
that a third party has provided, additional security which, in the opinion of the Facility Agent acting on the instructions of the Majority Lenders: 

  
 92 

	 	(i)	 has a net realisable value at least equal to the shortfall; and 

 

	 	(ii)	 is documented in such terms as the Facility Agent may approve or require, 

before the Prepayment Date; and conditional upon such security being provided in such manner, it shall satisfy such prepayment obligation. 

 

	25.3	 Value of additional vessel security 

The net realisable value of any additional security which is provided under Clause 25.2 (Provision of additional security; prepayment)
and which consists of Security over a vessel shall be the Market Value of the vessel concerned after deducting the amount of any indebtedness (other than Secured Liabilities) which is secured by Security over that vessel. Valuations binding. 

Any valuation under this Clause 25 (Security Cover) shall be binding and conclusive as regards each Borrower. 

 

	25.4	 Valuations binding 

Any valuation under this Clause 25 (Security Cover) shall be binding and conclusive as regards each Borrower. 

 

	25.5	 Provision of information 

 

	(a)	 Each Borrower shall promptly provide the Facility Agent and any shipbroker acting under this Clause 25
(Security Cover) with any information which the Facility Agent or the shipbroker may request for the purposes of the valuation. 

  

	(b)	 If a Borrower fails to provide the information referred to in paragraph (a) above by the date specified in
the request, the valuation may be made on any basis and assumptions which the shipbroker or the Facility Agent considers prudent. 

  

	25.6	 Prepayment mechanism 

Any prepayment pursuant to Clause 25.2 (Provision of additional security; prepayment) shall be made in accordance with the relevant
provisions of Clause 7 (Prepayment and Cancellation) and shall be treated as a voluntary prepayment pursuant to Clause 7.3 (Voluntary prepayment of Loan). 
  

	25.7	 Provision of valuations 

 

	(a)	 For the purpose of a Drawdown and subject to paragraph (b) below, the Market Value of any Vessel shall be
determined by reference to one valuation of that Vessel as given by an Approved Valuer selected and appointed by the Borrowers and addressed to the Facility Agent. 

 

	(b)	 If requested by the Facility Agent in relation to paragraph (a) above, a second Approved Valuer shall be
selected by the Facility Agent, appointed by the Borrowers and its valuation shall be addressed to the Facility Agent, and the Market Value of that Vessel shall be the arithmetic average of the two valuations. 

  
 93 

	(c)	 If one such valuation in respect of a Vessel obtained pursuant to paragraphs (a) and (b) above differs by
at least 10 per cent. from the lower valuation, then a third valuation for that Vessel shall be obtained from a third Approved Valuer selected and appointed by the Facility Agent and such valuation shall be addressed to the Facility Agent and
the Market Value of that Vessel shall be the arithmetic average of all three such valuations. 

  

	(d)	 The Facility Agent shall be entitled, after the first Drawdown Date, to test the security cover requirement
under Clause 25.1 (Minimum required security cover) by reference to the Market Value of any Vessel as determined in accordance with paragraphs (a) to (c) above, quarterly during the Security Period. 

 

	(e)	 The Facility Agent shall ascertain compliance with Clause 21 (Financial Covenants) by reference to the
market value of the Fleet Vessels as provided in the Latest Accounts. 

  

	(f)	 Each of the valuations referred to at paragraphs (a), (b) and (c) above shall be obtained not more than 30
days before the relevant Drawdown Date, while each of the valuations referred to in paragraph (d) above shall be obtained not more than 30 days before the Test Date of the relevant quarter. 

 

	(g)	 The Facility Agent may at any time after an Event of Default has occurred and is continuing obtain valuations
of any Vessel and any other vessel over which additional security has been created in accordance with Clause 25.2 (Provision of additional security; prepayment) from Approved Valuers to enable the Facility Agent to determine the Market Value
of that Vessel and any other vessel and also for the purpose of testing the security cover requirement under Clause 25.1 (Minimum required security cover). The Facility Agent shall be entitled to determine the Market Value of any Vessel at
any other time. 

  

	(h)	 The valuations referred to in paragraph (a) to (d) above shall be obtained at the cost and expense of the
Borrowers and the Borrowers shall within three Business Days of demand by the Facility Agent pay to the Facility Agent all costs and expenses incurred by it in obtaining any such valuation. The cost of the valuations referred to in paragraph
(d) for the Borrowers shall be limited to twice per annum, unless an Event of Default has occurred or the covenant contained in Clause 25.1 (Minimum required security cover) is not complied with, in which case the cost of all valuations
shall be borne by the Borrowers. 

  

	26	 ACCOUNTS AND APPLICATION OF EARNINGS 

 

	26.1	 Account bank 

Subject to Clause 26.8 (Location of Accounts), each Account must be held with the Account Bank. 

 

	26.2	 Accounts 

  

	(a)	 Each Borrower must operate each of its Accounts and must procure that the Shareholder operates each of its
Accounts in accordance with this Clause 26 (Accounts and Application of Earnings) and the provisions of the relevant Account Security. 

  

	(b)	 Account Security must be provided in respect of any Account opened after the date of this Agreement.

  
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	26.3	 Payments into the Time Deposit Account 

Upon the Shareholder opening the Time Deposit Account and the execution of Account Security in relation to each such Account, a Borrower may,
provided that there is no Event of Default which is continuing, transfer the Minimum Liquidity Amount from the Earnings Account to the Time Deposit Account. 
  

	26.4	 Payments out of the Time Deposit Account 

 

	(a)	 The Security Agent shall instruct the Account Bank to transfer any amount standing to the credit of a Time
Depos`it Account: 

  

	 	(i)	 on expiry of the term of the deposit on the Time Deposit Account, at the Shareholder’s request, in
accordance with the provisions of the Account Bank’s Terms and Conditions; or 

  

	 	(ii)	 at any time (subject to the payment of any break costs payable in accordance with the terms of the deposit), to
meet any Borrower’s prepayment obligations under any of Clauses 7.1 (Illegality) or 7.4 (Mandatory prepayment on sale, arrest or Total Loss), 

Provided that in each case: 
  

	 	(A)	 there is no Event of Default which is continuing; and 

 

	 	(B)	 no breach of Clause 21 (Financial Covenants) has occurred or will occur as a result of such transfer.

  

	(b)	 Where no transfer can be made as a result of the proviso under paragraph (a) above, interest shall be
payable on the amount then standing to the credit of the relevant Time Deposit Account at the Account Bank’s discretion and in accordance with market standard conditions at that time. 

 

	(c)	 In the event of any conflict between the provisions of the Terms and Conditions and this Agreement, this
Agreement shall prevail. 

  

	26.5	 Payment of Earnings 

Each Borrower shall ensure that, subject only to the provisions of the relevant General Assignment, all the Earnings in respect of the Vessel
owned by it are paid in to the Earnings Account. 
  

	26.6	 Application of Earnings 

Subject to paragraph (b) below, the Borrowers will transfer from the Earnings Account to the Facility Agent: 

 

	(a)	 on each relevant Repayment Date, the amount of the relevant Repayment Instalment then due on that Repayment
Date; and 

  

	(b)	 on the last day of each relevant Interest Period, the amount of interest then due on that date; and

  
 95 

	(c)	 on any day on which an amount is otherwise due from any Borrower under a Finance Document, an amount necessary
to meet that due amount, 

 and each Borrower irrevocably authorizes and instructs: 

 

	 	(i)	 the Account Bank to make those transfers in accordance with the instructions of the Facility Agent (copied to
the Security Agent, who, as security taker under the Account Security, agrees for itself and on behalf of the other pledgees that such transfers may be made); 

 

	 	(ii)	 the Facility Agent to apply the transferred amounts in payment of the relevant Repayment Instalment, interest
amount or other amount due. 

  

	26.7	 Application of funds 

Until an Event of Default occurs, the Facility Agent shall on each Repayment Date and on each Interest Payment Date distribute to the Finance
Parties in accordance with Clause 34 (Payment Mechanics) so much of the then balance on the Earnings Account as equals: 
  

	(a)	 the Repayment Instalment due on that Repayment Date; and 

 

	(b)	 the amount of interest payable on that Interest Payment Date, 

in discharge of the Borrowers’ liability for that Repayment Instalment or that interest. 

 

	26.8	 Location of Accounts 

Each Borrower shall and shall procure that the Shareholder shall promptly: 

 

	(a)	 comply with any requirement of the Facility Agent as to the location or relocation of each of its Accounts; and

  

	(b)	 execute any documents which the Facility Agent specifies to create or maintain in favour of the Security Agent
Security over (and/or rights of set-off, consolidation or other rights in relation to) the relevant Account. 

  

	26.9	 Miscellaneous Accounts provisions 

 

	(a)	 No Finance Party is responsible or liable to any Obligor for: 

 

	 	(i)	 any non-payment of any liability of an Obligor which could be paid out
of moneys standing to the credit of the Earnings Account; or 

  

	 	(ii)	 any withdrawal wrongly made, if made in good faith. 

 

	27	 EVENTS OF DEFAULT 

 

	27.1	 General 

Each of the events or circumstances set out in this Clause 27 (Events of Default) is an Event of Default except for Clause 27.18
(Acceleration) and Clause 27.19 (Enforcement of security). 

  
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	27.2	 Non-payment 

A Transaction Obligor does not pay on the due date any amount payable pursuant to a Finance Document at the place at and in the currency in
which it is expressed to be payable unless: 
  

	(a)	 its failure to pay is caused by: 

 

	 	(i)	 administrative or technical error; or 

 

	 	(ii)	 a Disruption Event; and 

 

	(b)	 payment is made within five Business Days of its due date. 

 

	27.3	 Specific obligations 

A breach occurs of Clause 4.6 (Waiver of conditions precedent), Clause 21 (Financial Covenants), Clause 22.9 (Title),
Clause 22.10 (Negative pledge), Clause 22.20 (Unlawfulness, invalidity and ranking; Security imperilled), Clause 23.2 (Maintenance of obligatory insurances), Clause 23.3 (Terms of obligatory insurances), Clause 23.5
(Renewal of obligatory insurances), Clause 24.9 (Compliance with laws etc.) in relation to Sanctions, Clause 24.12 (Sanctions, Anti-Corruption Laws and Anti-Money Laundering Laws) or Clause 25 (Security Cover). 

 

	27.4	 Other obligations 

 

	(a)	 A Transaction Obligor does not comply with any provision of the Finance Documents to which it is a party (other
than those referred to in Clause 27.2 (Non-payment) and Clause 27.3 (Specific obligations)). 

  

	(b)	 No Event of Default under paragraph (a) above will occur if the failure to comply is capable of remedy and
is remedied within fifteen days of the Facility Agent giving notice to the Borrowers or (if earlier) any Transaction Obligor becoming aware of the failure to comply. 

 

	27.5	 Misrepresentation 

Any representation or statement made or deemed to be made by a Transaction Obligor in the Finance Documents or any other document delivered by
or on behalf of any Transaction Obligor under or in connection with any Finance Document is or proves to have been incorrect or misleading in any material respect when made or deemed to be made. 

 

	27.6	 Cross default 

 

	(a)	 Any Financial Indebtedness of any Transaction Obligor (other than the Approved Manager) is not paid when due
nor within any originally applicable grace period. 

  

	(b)	 Any Financial Indebtedness of any Transaction Obligor (other than the Approved Manager) is declared to be or
otherwise becomes due and payable prior to its specified maturity as a result of an event of default (however described) unless the Transaction Obligor (other than the Approved Manager) is contesting the declaration of an event of default or of the
Financial Indebtedness becoming due and payable in good faith and on substantial grounds by appropriate proceedings and adequate reserves (in the reasonable opinion of the Facility Agent) have been set aside for its payment if such proceedings fail.

  
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	(c)	 Any commitment for any Financial Indebtedness of any Transaction Obligor (other than the Approved Manager) is
cancelled or suspended by a creditor of that Transaction Obligor as a result of an event of default (however described). 

  

	(d)	 Any creditor of any Transaction Obligor (other than the Approved Manager) becomes entitled to declare any
Financial Indebtedness of that Transaction Obligor due and payable prior to its specified maturity as a result of an event of default (however described) unless the Transaction Obligor is contesting the declaration of an event of default or of the
Financial Indebtedness becoming due and payable in good faith and on substantial grounds by appropriate proceedings and adequate reserves (in the reasonable opinion of the Facility Agent) have been set aside for its payment if such proceedings fail.

  

	(e)	 No Event of Default will occur under this Clause 27.6 (Cross default) in respect of a person other than
a Borrower if the aggregate amount of Financial Indebtedness or commitment for Financial Indebtedness falling within paragraphs (a) to (d) above is less than $10,000,000 (or, in each case, its equivalent in any other currency).

  

	27.7	 Insolvency 

  

	(a)	 A Transaction Obligor (other than the Approved Manager): 

 

	 	(i)	 is unable or admits inability to pay its debts as they fall due; 

 

	 	(ii)	 is deemed to, or is declared to, be unable to pay its debts under applicable law; or 

 

	 	(iii)	 suspends or threatens to suspend making payments on any of its debts. 

 

	(b)	 A moratorium is declared in respect of any indebtedness of any Transaction Obligor (other than the Approved
Manager). If a moratorium occurs, the ending of the moratorium will not remedy any Event of Default caused by that moratorium. 

  

	27.8	 Insolvency proceedings 

 

	(a)	 Any corporate action, legal proceedings or other procedure or step is taken in relation to:

  

	 	(i)	 the suspension of payments, a moratorium of any indebtedness,
winding-up, dissolution, administration or reorganisation (by way of voluntary arrangement, scheme of arrangement or otherwise) of any Transaction Obligor (other than an Approved Manager who is not affiliated
to the Group); 

  

	 	(ii)	 a composition, compromise, assignment or arrangement with any creditor of any Transaction Obligor (other than
an Approved Manager who is not affiliated to the Group); 

  

	 	(iii)	 the appointment of a liquidator, receiver, administrator, administrative receiver, compulsory manager or other
similar officer in respect of any Transaction Obligor (other than an Approved Manager who is not affiliated to the Group) or any of its assets; or 

  

	 	(iv)	 enforcement of any Security over any assets of any Transaction Obligor (other than an Approved Manager who is
not affiliated to the Group), 

 or any analogous procedure or step is taken in any jurisdiction. 

 

	(b)	 Paragraph (a) above shall not apply to any winding-up petition
which is frivolous or vexatious and is discharged, stayed or dismissed within 30 days of commencement. 

  
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	27.9	 Creditors’ process 

Any expropriation, attachment, sequestration, distress or execution (or any analogous process in any jurisdiction) affects any asset or assets
of a Transaction Obligor (other than an arrest or detention of a Vessel in which case paragraph (b) of Clause 7.4 (Mandatory prepayment on sale, arrest or Total Loss) shall apply). 

 

	27.10	 Ownership of the Borrowers 

There is in respect of any Borrower, a change in its ownership which results in the Guarantor owning directly or indirectly (but if indirectly
only through companies with registered shares), less than 100 per cent. of the shares in that Borrower. 
  

	27.11	 Unlawfulness, invalidity and ranking 

 

	(a)	 It is or becomes unlawful for a Transaction Obligor to perform any of its obligations under the Finance
Documents. 

  

	(b)	 Any obligation of a Transaction Obligor under the Finance Documents is not or ceases to be legal, valid,
binding or enforceable. 

  

	(c)	 Any Finance Document ceases to be in full force and effect or to be continuing or is or purports to be
determined or any Transaction Security is alleged by a party to it (other than a Finance Party) to be ineffective. 

  

	(d)	 Any Transaction Security proves to have ranked after, or loses its priority to, any other Security unless by
operation of law. 

  

	27.12	 Security imperilled; flag instability 

 

	(a)	 Any Security created or intended to be created by a Finance Document is in any way imperilled or in jeopardy.

  

	(b)	 The state of the Approved Flag of any Vessel is or becomes involved in hostilities or civil war or there is a
seizure of power in such state by unconstitutional means, or any other event occurs in relation to that Vessel, the relevant Mortgage or its Approved Flag and in the reasonable opinion of the Facility Agent such event is likely to have a Material
Adverse Effect unless the relevant Borrower, within 30 days of the occurrence of such event (or such longer period as may be agreed by the Facility Agent acting with the authorisation of the Lenders)
re-registers that Vessel on an alternative flag approved pursuant to Clause 24.2 (Vessel’s names and registration) and subject to: 

 

	 	(i)	 that Vessel remaining subject to security securing the Security created by a first priority or preferred ship
mortgage on that Vessel and, if appropriate, a first priority deed of covenant collateral to that mortgage (or equivalent first priority security) on substantially the same terms as the relevant Mortgage and on such other terms and in such other
form as the Facility Agent, acting with the authorisation of the Lenders, shall reasonably approve or require; and 

  

	 	(ii)	 the execution of such other documentation amending and supplementing the Finance Documents, as the Facility
Agent, acting with the authorisation of the Lenders, shall reasonably approve or require. 

  
 99 

	27.13	 Cessation of business 

Any member of the Group suspends or ceases to carry on (or threatens to suspend or cease to carry on) all or a material part of its business.

  

	27.14	 Expropriation 

The authority or ability of any member of the Group to conduct its business is limited or wholly or substantially curtailed by any seizure,
expropriation, nationalisation, intervention, restriction or other action by or on behalf of any governmental, regulatory or other authority or other person in relation to any member of the Group or any of its assets other than: 

 

	(a)	 an arrest or detention of a Vessel (in which case paragraph (b) of Clause 7.4 (Mandatory prepayment on
sale, arrest or Total Loss) shall apply); or 

  

	(b)	 any Requisition. 

  

	27.15	 Repudiation and rescission of agreements 

A Transaction Obligor (or any other relevant party) rescinds or purports to rescind or repudiates or purports to repudiate a Transaction
Document or any of the Transaction Security or evidences an intention to rescind or repudiate a Transaction Document or any Transaction Security. 
  

	27.16	 Litigation 

Any litigation, arbitration, administrative, governmental, regulatory or other investigations, proceedings or disputes are commenced or
threatened, or any judgment or order of a court, arbitral tribunal or other tribunal or any order or sanction of any governmental or other regulatory body is made, in relation to any of the Transaction Documents or the transactions contemplated in
any of the Transaction Documents or against any member of the Group or its assets which has or is reasonably likely to have a Material Adverse Effect. 
  

	27.17	 Material adverse change 

Any event or circumstance occurs which has or is reasonably likely to have a Material Adverse Effect. 

 

	27.18	 Acceleration 

On and at any time after the occurrence of an Event of Default the Facility Agent may, and shall if so directed by the Majority Lenders, by
notice to the Borrowers: 
  

	(a)	 cancel the Total Commitments, whereupon they shall immediately be cancelled; 

 

	(b)	 declare that all or part of the Loan, together with accrued interest, and all other amounts accrued or
outstanding under the Finance Documents be immediately due and payable, whereupon it shall become immediately due and payable; and/or 

  
 100 

	(c)	 declare that all or part of the Loan be payable on demand, whereupon it shall immediately become payable on
demand by the Facility Agent acting on the instructions of the Majority Lenders, 

 and the Facility Agent may serve
notices under paragraphs (a), (b) and (c) above simultaneously or on different dates and the Security Agent may take any action referred to in Clause 27.19 (Enforcement of security) if no such notice is served or simultaneously with or
at any time after the service of any of such notice. 
  

	27.19	 Enforcement of security 

On and at any time after the occurrence of an Event of Default the Security Agent may, and shall if so directed by the Majority Lenders, take
any action which, as a result of the Event of Default or any notice served under Clause 27.18 (Acceleration). 

  
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 SECTION 9 

CHANGES TO PARTIES 
  

	28	 CHANGES TO THE LENDERS 

 

	28.1	 Assignments and transfers by the Lenders 

Subject to this Clause 28 (Changes to the Lenders), a Lender (the “Existing Lender”) may: 

 

	(a)	 assign any of its rights; or 

 

	(b)	 transfer by novation or, as the case may be, sub-participation any of
its rights and obligations, 

 under the Finance Documents to another bank or financial institution or to a trust, fund or
other entity which is regularly engaged in or established for the purpose of making, purchasing or investing in loans, securities or other financial assets (the “New Lender”). 

 

	28.2	 Conditions of assignment or transfer 

 

	(a)	 A notice or the consent of the Borrowers or the Guarantor is required for an assignment or transfer by an
Existing Lender, unless the assignment or transfer is: 

  

	 	(i)	 to another Lender or an Affiliate of Lender; 

 

	 	(ii)	 if the Existing Lender is a fund, to a fund which is a Related Fund; or 

 

	 	(iii)	 made at a time when an Event of Default has occurred. 

 

	(b)	 The consent of the Borrowers to an assignment or transfer may not be unreasonably withheld or delayed. The
Borrowers will be deemed to have given their consent five Business Days after the Existing Lender has requested it unless consent is expressly refused by the Borrowers within that time. 

 

	(c)	 The consent of the Borrowers to an assignment or transfer may not be withheld solely because the assignment or
transfer may result in an increase to any amount payable under Clause 14.3 (Mandatory Cost). 

  

	(d)	 The consent of the Facility Agent is required for an assignment or transfer by an Existing Lender, such consent
not to be unreasonably withheld. 

  

	(e)	 An assignment will only be effective on: 

 

	 	(i)	 receipt by the Facility Agent (whether in the Assignment Agreement or otherwise) of written confirmation from
the New Lender (in form and substance satisfactory to the Facility Agent) that the New Lender will assume the same obligations to the other Creditor Parties as it would have been under if it were an Original Lender; and 

 

	 	(ii)	 performance by the Facility Agent of all necessary “know your customer” or other similar checks under
all applicable laws and regulations in relation to such assignment to a New Lender, the completion of which the Facility Agent shall promptly notify to the Existing Lender and the New Lender. 

  
 102 

	(f)	 A transfer will only be effective if the procedure set out in Clause 28.5 (Procedure for transfer) is
complied with. 

  

	(g)	 If: 

  

	 	(i)	 a Lender assigns or transfers any of its rights or obligations under the Finance Documents or changes its
Facility Office; and 

  

	 	(ii)	 as a result of circumstances existing at the date the assignment, transfer or change occurs, a Transaction
Obligor would be obliged to make a payment to the New Lender or Lender acting through its new Facility Office under Clause 12 (Tax Gross Up and Indemnities) or under that clause as incorporated by reference or in full in any other Finance
Document or Clause 13 (Increased Costs), 

 then the New Lender or Lender acting through its new Facility Office is
only entitled to receive payment under those Clauses to the same extent as the Existing Lender or Lender acting through its previous Facility Office would have been if the assignment, transfer or change had not occurred. This paragraph
(g) shall not apply in respect of an assignment or transfer made in the ordinary course of the primary syndication of the Facility. 
  

	(h)	 Each New Lender, by executing the relevant Transfer Certificate or Assignment Agreement, confirms, for the
avoidance of doubt, that: 

  

	 	(A)	 the Facility Agent has authority to execute on its behalf any amendment or waiver that has been approved by or
on behalf of the requisite Lender or Lenders in accordance with this Agreement on or prior to the date on which the transfer or assignment becomes effective in accordance with this Agreement and that it is bound by that decision to the same extent
as the Existing Lender would have been had it remained a Lender; and 

  

	 	(B)	 it has received a copy of each of the Security Documents which are governed by German law and which are account
pledges, is aware of the contents of such account pledges and expressly consents to the declarations of the Security Agent made on behalf of the New Lender (as future pledgee) in such account pledges. 

 

	28.3	 Assignment or transfer fee 

The New Lender shall, on the date upon which an assignment or transfer takes effect, pay to the Facility Agent (for its own account) a fee of
$5,000. 
  

	28.4	 Limitation of responsibility of Existing Lenders 

 

	(a)	 Unless expressly agreed to the contrary, an Existing Lender makes no representation or warranty and assumes no
responsibility to a New Lender for: 

  

	 	(i)	 the legality, validity, effectiveness, adequacy or enforceability of the Finance Documents, the Transaction
Security or any other documents; 

  

	 	(ii)	 the financial condition of any Transaction Obligor; 

 

	 	(iii)	 the performance and observance by any Transaction Obligor of its obligations under the Finance Documents or any
other documents; or 

  
 103 

	 	(iv)	 the accuracy of any statements (whether written or oral) made in or in connection with any Finance Document or
any other document, 

 and any representations or warranties implied by law are excluded. 

 

	(b)	 Each New Lender confirms to the Existing Lender and the other Finance Parties and the Creditor Parties that it:

  

	 	(i)	 has made (and shall continue to make) its own independent investigation and assessment of the financial
condition and affairs of each Transaction Obligor and its related entities in connection with its participation in this Agreement and has not relied exclusively on any information provided to it by the Existing Lender or any other Finance Party in
connection with any Finance Document or the Transaction Security; and 

  

	 	(ii)	 will continue to make its own independent appraisal of the creditworthiness of each Transaction Obligor and its
related entities throughout the Security Period. 

  

	(c)	 Nothing in any Finance Document obliges an Existing Lender to: 

 

	 	(i)	 accept a re-transfer or
re-assignment from a New Lender of any of the rights and obligations assigned or transferred under this Clause 28 (Changes to the Lenders); or 

 

	 	(ii)	 support any losses directly or indirectly incurred by the New Lender by reason of the non-performance by any Transaction Obligor of its obligations under the Finance Documents or otherwise. 

  

	28.5	 Procedure for transfer 

 

	(a)	 Subject to the conditions set out in Clause 28.2 (Conditions of assignment or transfer), a transfer is
effected in accordance with paragraph (c) below when the Facility Agent executes an otherwise duly completed Transfer Certificate delivered to it by the Existing Lender and the New Lender. The Facility Agent shall, subject to paragraph
(b) below as soon as reasonably practicable after receipt by it of a duly completed Transfer Certificate appearing on its face to comply with this Agreement and delivered in accordance with this Agreement, execute that Transfer Certificate.
Upon execution by the Facility Agent, the Security Agent shall also execute the Transfer Certificate. 

  

	(b)	 The Facility Agent shall only be obliged to execute a Transfer Certificate delivered to it by the Existing
Lender and the New Lender once it is satisfied it has complied with all necessary “know your customer” or other similar checks under all applicable laws and regulations in relation to the transfer to such New Lender. 

 

	(c)	 Subject to Clause 28.9 (Pro rata interest settlement), on the Transfer Date: 

 

	 	(i)	 to the extent that in the Transfer Certificate the Existing Lender seeks to transfer by novation its rights and
obligations under the Finance Documents and in respect of the Transaction Security, each of the Transaction Obligors and the Existing Lender shall be released from further obligations towards one another under the Finance Documents and in respect of
the Transaction Security and their respective rights against one another under the Finance Documents and in respect of the Transaction Security shall be cancelled (being the “Discharged Rights and Obligations”);

  
 104 

	 	(ii)	 each of the Transaction Obligors and the New Lender shall assume obligations towards one another and/or acquire
rights against one another which differ from the Discharged Rights and Obligations only insofar as that Transaction Obligor and the New Lender have assumed and/or acquired the same in place of that Transaction Obligor and the Existing Lender;

  

	 	(iii)	 the Facility Agent, the Security Agent, the Arranger, the New Lender and other Lenders shall acquire the same
rights and assume the same obligations between themselves and in respect of the Transaction Security as they would have acquired and assumed had the New Lender been an Original Lender with the rights and/or obligations acquired or assumed by it as a
result of the transfer and to that extent the Facility Agent, the Security Agent, the Arranger and the Existing Lenders shall each be released from further obligations to each other under the Finance Documents; and 

 

	 	(iv)	 the New Lender shall become a Party as a “Lender”. 

 

	28.6	 Procedure for assignment 

 

	(a)	 Subject to the conditions set out in Clause 28.2 (Conditions of assignment or transfer) an assignment
may be effected in accordance with paragraph (c) below when the Facility Agent executes an otherwise duly completed Assignment Agreement delivered to it by the Existing Lender and the New Lender. The Facility Agent shall, subject to paragraph
(b) below, as soon as reasonably practicable after receipt by it of a duly completed Assignment Agreement appearing on its face to comply with the terms of this Agreement and delivered in accordance with the terms of this Agreement, execute
that Assignment Agreement. Upon execution by the Facility Agent, the Security Agent shall also execute the Assignment Agreement. 

  

	(b)	 The Facility Agent shall only be obliged to execute an Assignment Agreement delivered to it by the Existing
Lender and the New Lender once it is satisfied it has complied with all necessary “know your customer” or other similar checks under all applicable laws and regulations in relation to the assignment to such New Lender.

  

	(c)	 Subject to Clause 28.9 (Pro rata interest settlement), on the Transfer Date: 

 

	 	(i)	 the Existing Lender will assign absolutely to the New Lender its rights under the Finance Documents and in
respect of the Transaction Security expressed to be the subject of the assignment in the Assignment Agreement; 

  

	 	(ii)	 the Existing Lender will be released from the obligations (the “Relevant Obligations”)
expressed to be the subject of the release in the Assignment Agreement (and any corresponding obligations by which it is bound in respect of the Transaction Security); and 

 

	 	(iii)	 the New Lender shall become a Party as a “Lender” and will be bound by obligations equivalent to the
Relevant Obligations. 

  

	(d)	 Lenders may utilise procedures other than those set out in this Clause 28.6 (Procedure for assignment)
to assign their rights under the Finance Documents (but not, without the consent of the relevant Transaction Obligor or unless in accordance with Clause 28.5 (Procedure for transfer), to obtain a release by that Transaction Obligor from the
obligations owed to that Transaction Obligor by the Lenders nor the assumption of equivalent obligations by a New Lender) provided that they comply with the conditions set out in Clause 28.2 (Conditions of assignment or transfer).

  
 105 

	28.7	 Copy of Transfer Certificate or Assignment Agreement to Borrowers 

The Facility Agent shall, as soon as reasonably practicable after it has executed a Transfer Certificate or an Assignment Agreement, send to
the Borrowers a copy of that Transfer Certificate or Assignment Agreement. 
  

	28.8	 Security over Lenders’ rights 

In addition to the other rights provided to Lenders under this Clause 28 (Changes to the Lenders), each Lender may without consulting
with or obtaining consent from any Transaction Obligor, at any time charge, assign or otherwise create Security in or over (whether by way of collateral or otherwise) all or any of its rights under any Finance Document to secure obligations of that
Lender including, without limitation: 
  

	(a)	 any charge, assignment or other Security to secure obligations to a federal reserve or central bank; and

  

	(b)	 in the case of any Lender which is a fund, any charge, assignment or other Security granted to any holders (or
trustee or representatives of holders) of obligations owed, or securities issued, by that Lender as security for those obligations or securities, 

except that no such charge, assignment or Security shall: 
  

	 	(i)	 release a Lender from any of its obligations under the Finance Documents or substitute the beneficiary of the
relevant charge, assignment or Security for the Lender as a party to any of the Finance Documents; or 

  

	 	(ii)	 require any payments to be made by a Transaction Obligor other than or in excess of, or grant to any person any
more extensive rights than, those required to be made or granted to the relevant Lender under the Finance Documents. 

  

	28.9	 Pro rata interest settlement 

If the Facility Agent has notified the Lenders that it is able to distribute interest payments on a “pro rata basis” to
Existing Lenders and New Lenders then (in respect of any transfer pursuant to Clause 28.5 (Procedure for transfer) or any assignment pursuant to Clause 28.6 (Procedure for assignment) the Transfer Date of which, in each case, is after
the date of such notification and is not on the last day of an Interest Period): 
  

	(a)	 any interest or fees in respect of the relevant participation which are expressed to accrue by reference to the
lapse of time shall continue to accrue in favour of the Existing Lender up to but excluding the Transfer Date (“Accrued Amounts”) and shall become due and payable to the Existing Lender (without further interest accruing on them) on
the last day of the current Interest Period (or, if the Interest Period is longer than six Months, on the next of the dates which falls at six Monthly intervals after the first day of that Interest Period); and 

 

	(b)	 The rights assigned or transferred by the Existing Lender will not include the right to the Accrued Amounts, so
that, for the avoidance of doubt: 

  
 106 

	 	(i)	 when the Accrued Amounts become payable, those Accrued Amounts will be payable to the Existing Lender; and

  

	 	(ii)	 the amount payable to the New Lender on that date will be the amount which would, but for the application of
this Clause 28.9 (Pro rata interest settlement), have been payable to it on that date, but after deduction of the Accrued Amounts. 

  

	(c)	 In this Clause 28.9 (Pro rata interest settlement) references to “Interest Period” shall be
construed to include a reference to any other period for accrual of fees. 

  

	29	 CHANGES TO THE TRANSACTION OBLIGORS 

 

	29.1	 Assignment or transfer by Transaction Obligors 

No Transaction Obligor may assign any of its rights or transfer any of its rights or obligations under the Finance Documents. 

 

	29.2	 Release of security 

 

	(a)	 If a disposal of any asset subject to security created by a Security Document is made in the following
circumstances: 

  

	 	(i)	 the disposal is permitted by the terms of any Finance Document; 

 

	 	(ii)	 all the Lenders agree to the disposal; 

 

	 	(iii)	 the disposal is being made at the request of the Security Agent in circumstances where any security created by
the Security Documents has become enforceable; or 

  

	 	(iv)	 the disposal is being effected by enforcement of a Security Document, 

the Security Agent may release the asset(s) being disposed of from any security over those assets created by a Security Document. However, the
proceeds of any disposal (or an amount corresponding to them) must be applied in accordance with the requirements of the Finance Documents (if any). 
  

	(b)	 If the Security Agent is satisfied that a release is allowed under this Clause 29.2 (Release of
security) (at the request and expense of the Borrowers) each Finance Party must enter into any document and do all such other things which are reasonably required to achieve that release. Each other Finance Party irrevocably authorises the
Security Agent to enter into any such document. Any release will not affect the obligations of any other Transaction Obligor under the Finance Documents. 

  
 107 

 SECTION 10 

THE FINANCE PARTIES 
  

	30	 THE FACILITY AGENT, THE ARRANGER AND THE REFERENCE BANKS 

 

	30.1	 Appointment of the Facility Agent 

 

	(a)	 Each of the Arranger and the Lenders appoints the Facility Agent to act as its agent under and in connection
with the Finance Documents. 

  

	(b)	 Each of the Arranger and the Lenders authorises the Facility Agent to perform the duties, obligations and
responsibilities and to exercise the rights, powers, authorities and discretions specifically given to the Facility Agent under, or in connection with, the Finance Documents together with any other incidental rights, powers, authorities and
discretions. 

  

	30.2	 Instructions 

  

	(a)	 The Facility Agent shall: 

 

	 	(i)	 unless a contrary indication appears in a Finance Document, exercise or refrain from exercising any right,
power, authority or discretion vested in it as Facility Agent in accordance with any instructions given to it by: 

  

	 	(A)	 all Lenders if the relevant Finance Document stipulates the matter is an all Lender decision; and

  

	 	(B)	 in all other cases, the Majority Lenders; and 

 

	 	(ii)	 not be liable for any act (or omission) if it acts (or refrains from acting) in accordance with sub-paragraph (i) above (or, if this Agreement stipulates the matter is a decision for any other Finance Party or group of Finance Parties, in accordance with instructions given to it by that Finance Party or
group of Finance Parties). 

  

	(b)	 The Facility Agent shall be entitled to request instructions, or clarification of any instruction, from the
Majority Lenders (or, if the relevant Finance Document stipulates the matter is a decision for any other Finance Party or group of Finance Parties, from that Finance Party or group of Finance Parties) as to whether, and in what manner, it should
exercise or refrain from exercising any right, power, authority or discretion and the Facility Agent may refrain from acting unless and until it receives any such instructions or clarification that it has requested. 

 

	(c)	 Save in the case of decisions stipulated to be a matter for any other Finance Party or group of Finance Parties
under the relevant Finance Document and unless a contrary indication appears in a Finance Document, any instructions given to the Facility Agent by the Majority Lenders shall override any conflicting instructions given by any other Parties and will
be binding on all Finance Parties. 

  
 108 

	(d)	 Paragraph (a) above shall not apply: 

 

	 	(i)	 where a contrary indication appears in a Finance Document; 

 

	 	(ii)	 where a Finance Document requires the Facility Agent to act in a specified manner or to take a specified
action; 

  

	 	(iii)	 in respect of any provision which protects the Facility Agent’s own position in its personal capacity as
opposed to its role of Facility Agent for the relevant Finance Parties. 

  

	(e)	 If giving effect to instructions given by the Majority Lenders would in the Facility Agent’s opinion have
an effect equivalent to an amendment or waiver referred to in Clause 43 (Amendments and Waivers), the Facility Agent shall not act in accordance with those instructions unless consent to it so acting is obtained from each Party (other than
the Facility Agent) whose consent would have been required in respect of that amendment or waiver. 

  

	(f)	 In exercising any discretion to exercise a right, power or authority under the Finance Documents where it has
not received any instructions as to the exercise of that discretion the Facility Agent shall do so having regard to the interests of all the Finance Parties. 

  

	(g)	 The Facility Agent may refrain from acting in accordance with any instructions of any Finance Party or group of
Finance Parties until it has received any indemnification and/or security that it may in its discretion require (which may be greater in extent than that contained in the Finance Documents and which may include payment in advance) for any cost, loss
or liability (together with any applicable VAT) which it may incur in complying with those instructions. 

  

	(h)	 Without prejudice to the remainder of this Clause 30.2 (Instructions), in the absence of instructions,
the Facility Agent shall not be obliged to take any action (or refrain from taking action) even if it considers acting or not acting to be in the best interests of the Finance Parties. The Facility Agent may act (or refrain from acting) as it
considers to be in the best interest of the Finance Parties. 

  

	(i)	 The Facility Agent is not authorised to act on behalf of a Finance Party (without first obtaining that Finance
Party’s consent) in any legal or arbitration proceedings relating to any Finance Document. This paragraph (i) shall not apply to any legal or arbitration proceeding relating to the perfection, preservation or protection of rights under the
Security Documents or enforcement of the Transaction Security or Security Documents. 

  

	30.3	 Duties of the Facility Agent 

 

	(a)	 The Facility Agent’s duties under the Finance Documents are solely mechanical and administrative in
nature. 

  

	(b)	 Subject to paragraph (c) below, the Facility Agent shall promptly forward to a Party the original or a
copy of any document which is delivered to the Facility Agent for that Party by any other Party. 

  

	(c)	 Without prejudice to Clause 28.7 (Copy of Transfer Certificate or Assignment Agreement to Borrowers),
paragraph (b) above shall not apply to any Transfer Certificate or any Assignment Agreement. 

  

	(d)	 Except where a Finance Document specifically provides otherwise, the Facility Agent is not obliged to review or
check the adequacy, accuracy or completeness of any document it forwards to another Party. 

  
 109 

	(e)	 If the Facility Agent receives notice from a Party referring to any Finance Document, describing a Default and
stating that the circumstance described is a Default, it shall promptly notify the other Finance Parties. 

  

	(f)	 If the Facility Agent is aware of the non-payment of any principal,
interest, commitment fee or other fee payable to a Finance Party (other than the Facility Agent, the Arranger or the Security Agent) under this Agreement, it shall promptly notify the other Finance Parties. 

 

	(g)	 The Facility Agent shall have only those duties, obligations and responsibilities expressly specified in the
Finance Documents to which it is expressed to be a party (and no others shall be implied). 

  

	30.4	 Role of the Arranger 

Except as specifically provided in the Finance Documents, the Arranger has no obligations of any kind to any other Party under or in connection
with any Finance Document. 
  

	30.5	 No fiduciary duties 

 

	(a)	 Nothing in any Finance Document constitutes the Facility Agent or the Arranger as a trustee or fiduciary of any
other person. 

  

	(b)	 Neither the Facility Agent nor the Arranger shall not be bound to account to other Finance Party for any sum or
the profit element of any sum received by it for its own account. 

  

	30.6	 Application of receipts 

Except as expressly stated to the contrary in any Finance Document, any moneys which the Facility Agent receives or recovers in its capacity as
Facility Agent shall be applied by the Facility Agent in accordance with Clause 34.5 (Application of receipts; partial payments). 
  

	30.7	 Business with the Group 

The Facility Agent and the Arranger may accept deposits from, lend money to, and generally engage in any kind of banking or other business
with, any member of the Group. 
  

	30.8	 Rights and discretions 

 

	(a)	 The Facility Agent may: 

 

	 	(i)	 rely on any representation, communication, notice or document believed by it to be genuine, correct and
appropriately authorised; 

  

	 	(ii)	 assume that: 

  

	 	(A)	 any instructions received by it from the Majority Lenders, any Finance Parties or any group of Finance Parties
are duly given in accordance with the terms of the Finance Documents; and 

  

	 	(B)	 unless it has received notice of revocation, that those instructions have not been revoked; and

  

	 	(iii)	 rely on a certificate from any person: 

  
 110 

	 	(A)	 as to any matter of fact or circumstance which might reasonably be expected to be within the knowledge of that
person; or 

  

	 	(B)	 to the effect that such person approves of any particular dealing, transaction, step, action or thing,

 as sufficient evidence that that is the case and, in the case of paragraph (A) above, may assume the truth and
accuracy of that certificate. 
  

	(b)	 The Facility Agent may assume (unless it has received notice to the contrary in its capacity as agent for the
Finance Parties) that: 

  

	 	(i)	 no Default has occurred (unless it has actual knowledge of a Default arising under Clause 27.2 (Non-payment)); 

  

	 	(ii)	 any right, power, authority or discretion vested in any Party or any group of Finance Parties has not been
exercised; and 

  

	 	(iii)	 any notice or request made by any Borrower (other than a Drawdown Request or a Selection Notice) is made on
behalf of and with the consent and knowledge of all the Transaction Obligors. 

  

	(c)	 The Facility Agent may engage and pay for the advice or services of any lawyers, accountants, tax advisers,
surveyors or other professional advisers or experts. 

  

	(d)	 Without prejudice to the generality of paragraph (c) above or paragraph (e) below, the Facility Agent
may at any time engage and pay for the services of any lawyers to act as independent counsel to the Facility Agent (and so separate from any lawyers instructed by the Lenders) if the Facility Agent in its reasonable opinion deems this to be
desirable. 

  

	(e)	 The Facility Agent may rely on the advice or services of any lawyers, accountants, tax advisers, surveyors or
other professional advisers or experts (whether obtained by the Facility Agent or by any other Party) and shall not be liable for any damages, costs or losses to any person, any diminution in value or any liability whatsoever arising as a result of
its so relying. 

  

	(f)	 The Facility Agent may act in relation to the Finance Documents and the Security Property through its officers,
employees and agents and shall not: 

  

	 	(i)	 be liable for any error of judgment made by any such person; or 

 

	 	(ii)	 be bound to supervise, or be in any way responsible for any loss incurred by reason of misconduct, omission or
default on the part of any such person, 

 unless such error or such loss was directly caused by the Facility Agent’s
gross negligence or wilful misconduct. 
  

	(g)	 Unless a Finance Document expressly provides otherwise the Facility Agent may disclose to any other Party any
information it reasonably believes it has received as agent under the Finance Documents. 

  

	(h)	 Notwithstanding any other provision of any Finance Document to the contrary, neither the Facility Agent not the
Arranger is obliged to do or omit to do anything if it would or might, in its reasonable opinion, constitute a breach of any law or regulation or a breach of a fiduciary duty or duty of confidentiality. 

  
 111 

	(i)	 Notwithstanding any provision of any Finance Document to the contrary, the Facility Agent is not obliged to
expend or risk its own funds or otherwise incur any financial liability in the performance of its duties, obligations or responsibilities or the exercise of any right, power, authority or discretion if it has grounds for believing the repayment of
such funds or adequate indemnity against, or security for, such risk or liability is not reasonably assured to it. 

  

	30.9	 Responsibility for documentation 

Neither the Facility Agent nor the Arranger is responsible or liable for: 

 

	(a)	 the adequacy, accuracy or completeness of any information (whether oral or written) supplied by the Facility
Agent, the Security Agent, the Arranger, a Transaction Obligor or any other person in, or in connection with, any Transaction Document or the transactions contemplated in the Transaction Documents or any other agreement, arrangement or document
entered into, made or executed in anticipation of, under or in connection with any Transaction Document; or 

  

	(b)	 the legality, validity, effectiveness, adequacy or enforceability of any Transaction Document or the Security
Property or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with, any Transaction Document or the Security Property; or 

 

	(c)	 any determination as to whether any information provided or to be provided to any Finance Party or Creditor
Party is non-public information the use of which may be regulated or prohibited by applicable law or regulation relating to insider dealing or otherwise. 

 

	30.10	 No duty to monitor 

The Facility Agent shall not be bound to enquire: 
  

	(a)	 whether or not any Default has occurred; 

 

	(b)	 as to the performance, default or any breach by any Transaction Obligor of its obligations under any
Transaction Document; or 

  

	(c)	 whether any other event specified in any Transaction Document has occurred. 

 

	30.11	 Exclusion of liability 

 

	(a)	 Without limiting paragraph (b) below (and without prejudice to paragraph (e) of Clause 34.11
(Disruption to Payment Systems etc.) or any other provision of any Finance Document excluding or limiting the liability of the Facility Agent), the Facility Agent will not be liable for: 

 

	 	(i)	 any damages, costs or losses to any person, any diminution in value, or any liability whatsoever arising as a
result of taking or not taking any action under or in connection with any Transaction Document or the Security Property, unless directly caused by its gross negligence or wilful misconduct; 

  
 112 

	 	(ii)	 exercising, or not exercising, any right, power, authority or discretion given to it by, or in connection with,
any Transaction Document, the Security Property or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with, any Transaction Document or the Security Property; or

  

	 	(iii)	 any shortfall which arises on the enforcement or realisation of the Security Property; or

  

	 	(iv)	 without prejudice to the generality of paragraphs (i) to (iii) above, any damages, costs or losses to any
person, any diminution in value or any liability whatsoever arising as a result of: 

  

	 	(A)	 any act, event or circumstance not reasonably within its control; or 

 

	 	(B)	 the general risks of investment in, or the holding of assets in, any jurisdiction, 

including (in each case and without limitation) such damages, costs, losses, diminution in value or liability arising as a result of
nationalisation, expropriation or other governmental actions; any regulation, currency restriction, devaluation or fluctuation; market conditions affecting the execution or settlement of transactions or the value of assets (including any Disruption
Event); breakdown, failure or malfunction of any third party transport, telecommunications, computer services or systems; natural disasters or acts of God; war, terrorism, insurrection or revolution; or strikes or industrial action. 

 

	(b)	 No Party other than the Facility Agent may take any proceedings against any officer, employee or agent of the
Facility Agent in respect of any claim it might have against the Facility Agent or in respect of any act or omission of any kind by that officer, employee or agent in relation to any Transaction Document or any Security Property and any officer,
employee or agent of the Facility Agent may rely on this Clause subject to Clause 1.5 (Third party rights) and the provisions of the Third Parties Act. 

 

	(c)	 The Facility Agent will not be liable for any delay (or any related consequences) in crediting an account with
an amount required under the Finance Documents to be paid by the Facility Agent if the Facility Agent has taken all necessary steps as soon as reasonably practicable to comply with the regulations or operating procedures of any recognised clearing
or settlement system used by the Facility Agent for that purpose. 

  

	(d)	 Nothing in this Agreement shall oblige the Facility Agent or the Arranger to carry out: 

 

	 	(i)	 any “know your customer” or other checks in relation to any person; or 

 

	 	(ii)	 any check on the extent to which any transaction contemplated by this Agreement might be unlawful for any
Finance Party, 

 on behalf of any Finance Party and each Finance Party confirms to the Facility Agent and the Arranger
that it is solely responsible for any such checks it is required to carry out and that it may not rely on any statement in relation to such checks made by the Facility Agent or the Arranger. 

  
 113 

	(e)	 Without prejudice to any provision of any Finance Document excluding or limiting the Facility Agent’s
liability, any liability of the Facility Agent arising under or in connection with any Transaction Document or the Security Property shall be limited to the amount of actual loss which has been finally judicially determined to have been suffered (as
determined by reference to the date of default of the Facility Agent or, if later, the date on which the loss arises as a result of such default) but without reference to any special conditions or circumstances known to the Facility Agent at any
time which increase the amount of that loss. In no event shall the Facility Agent be liable for any loss of profits, goodwill, reputation, business opportunity or anticipated saving, or for special, punitive, indirect or consequential damages,
whether or not the Facility Agent has been advised of the possibility of such loss or damages. 

  

	30.12	 Lenders’ indemnity to the Facility Agent 

 

	(a)	 Each Lender shall (in proportion to its share of the Total Commitments or, if the Total Commitments are then
zero, to its share of the Total Commitments immediately prior to their reduction to zero) indemnify the Facility Agent, within three Business Days of demand, against any cost, loss or liability incurred by the Facility Agent (otherwise than by
reason of the Facility Agent’s gross negligence or wilful misconduct) (or, in the case of any cost, loss or liability pursuant to Clause 34.11 (Disruption to Payment Systems etc.) notwithstanding the Facility Agent’s negligence,
gross negligence or any other category of liability whatsoever but not including any claim based on the fraud of the Facility Agent) in acting as Facility Agent under the Finance Documents (unless the Facility Agent has been reimbursed by a
Transaction Obligor pursuant to a Finance Document). 

  

	(b)	 Subject to paragraph (c) below, the Borrowers shall immediately on demand reimburse any Lender for any
payment that Lender makes to the Facility Agent pursuant to paragraph (a) above. 

  

	(c)	 Paragraph (b) above shall not apply to the extent that the indemnity payment in respect of which the
Lender claims reimbursement relates to a liability of the Facility Agent to an Obligor. 

  

	30.13	 Resignation of the Facility Agent 

 

	(a)	 The Facility Agent may resign and appoint one of its Affiliates acting through an office as successor by giving
notice to the other Finance Parties and the Borrowers. 

  

	(b)	 Alternatively, the Facility Agent may resign by giving 30 days’ notice to the other Finance Parties and
the Borrowers, in which case the Majority Lenders may appoint a successor Facility Agent. 

  

	(c)	 If the Majority Lenders have not appointed a successor Facility Agent in accordance with paragraph
(b) above within 20 days after notice of resignation was given, the retiring Facility Agent may appoint a successor Facility Agent. 

  

	(d)	 If the Facility Agent wishes to resign because (acting reasonably) it has concluded that it is no longer
appropriate for it to remain as agent and the Facility Agent is entitled to appoint a successor Facility Agent under paragraph (c) above, the Facility Agent may (if it concludes (acting reasonably) that it is necessary to do so in order to
persuade the proposed successor Facility Agent to become a party to this Agreement as Facility Agent) agree with the proposed successor Facility Agent amendments to this Clause 30 (The Facility Agent, the Arranger and the Reference Banks) and
any other term of this Agreement dealing with the rights or obligations of the Facility Agent consistent with then current market practice for the appointment and protection of corporate trustees together with any reasonable amendments to the agency
fee payable under this Agreement which are consistent with the successor Facility Agent’s normal fee rates and those amendments will bind the Parties. 

  
 114 

	(e)	 The retiring Facility Agent shall, at its own cost, make available to the successor Facility Agent such
documents and records and provide such assistance as the successor Facility Agent may reasonably request for the purposes of performing its functions as Facility Agent under the Finance Documents. The Borrowers shall, within three Business Days of
demand, reimburse the retiring Facility Agent for the amount of all costs and expenses (including legal fees) properly incurred by it in making available such documents and records and providing such assistance. 

 

	(f)	 The Facility Agent’s resignation notice shall only take effect upon the appointment of a successor.

  

	(g)	 Upon the appointment of a successor, the retiring Facility Agent shall be discharged from any further
obligation in respect of the Finance Documents (other than its obligations under paragraph (e) above) but shall remain entitled to the benefit of Clause 14.4 (Indemnity to the Facility Agent) and this Clause 30 (The Facility Agent,
the Arranger and the Reference Banks) and any other provisions of a Finance Document which are expressed to limit or exclude its liability (or to indemnify it) in acting as Facility Agent. Any fees for the account of the retiring Facility Agent
shall cease to accrue from (and shall be payable on) that date. Any successor and each of the other Parties shall have the same rights and obligations amongst themselves as they would have had if such successor had been an original Party.

  

	(h)	 The Majority Lenders may, by notice to the Facility Agent, require it to resign in accordance with paragraph
(b) above. In this event, the Facility Agent shall resign in accordance with paragraph (b) above but the cost referred to in paragraph (e) above shall be for the account of the Borrowers. 

 

	(i)	 The consent of the Borrowers (or any other Transaction Obligor) is not required for an assignment or transfer
of rights and/or obligations by the Facility Agent. 

  

	(j)	 The Facility Agent shall resign in accordance with paragraph (b) above (and, to the extent applicable,
shall use reasonable endeavours to appoint a successor Facility Agent pursuant to paragraph (c) above) if on or after the date which is three months before the earliest FATCA Application Date relating to any payment to the Facility Agent under
the Finance Documents, either: 

  

	 	(i)	 the Facility Agent fails to respond to a request under Clause 12.7 (FATCA Information) and a Lender
reasonably believes that the Facility Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date; 

  

	 	(ii)	 the information supplied by the Facility Agent pursuant to Clause 12.7 (FATCA Information) indicates
that the Facility Agent will not be (or will have ceased to be) a FATCA Exempt Party on or after that FATCA Application Date; or 

  

	 	(iii)	 the Facility Agent notifies the Borrowers and the Lenders that the Facility Agent will not be (or will have
ceased to be) a FATCA Exempt Party on or after that FATCA Application Date; 

 and (in each case) a Lender reasonably
believes that a Party will be required to make a FATCA Deduction that would not be required if the Facility Agent were a FATCA Exempt Party, and that Lender, by notice to the Facility Agent, requires it to resign. 

  
 115 

	30.14	 Confidentiality 

 

	(a)	 In acting as Facility Agent for the Finance Parties, the Facility Agent shall be regarded as acting through its
agency division which shall be treated as a separate entity from any other of its divisions or departments. 

  

	(b)	 If information is received by a division or department of the Facility Agent other than the division or
department responsible for complying with the obligations assumed by it under the Finance Documents, that information may be treated as confidential to that division or department, and the Facility Agent shall not be deemed to have notice of it nor
shall it be obliged to disclose such information to any Party. 

  

	(c)	 Notwithstanding any other provision of any Finance Document to the contrary, neither the Facility Agent nor the
Arranger is obliged to disclose to any other person (i) any confidential information or (ii) any other information if the disclosure would, or might in its reasonable opinion, constitute a breach of any law or regulation or a breach of a
fiduciary duty. 

  

	30.15	 Relationship with the other Finance Parties 

 

	(a)	 Subject to Clause 28.9 (Pro rata interest settlement), the Facility Agent may treat the person shown in
its records as Lender at the opening of business (in the place of the Facility Agent’s principal office as notified to the Finance Parties from time to time) as the Lender acting through its Facility Office: 

 

	 	(i)	 entitled to or liable for any payment due under any Finance Document on that day; and 

 

	 	(ii)	 entitled to receive and act upon any notice, request, document or communication or make any decision or
determination under any Finance Document made or delivered on that day, 

 unless it has received not less than five
Business Days’ prior notice from that Lender to the contrary in accordance with the terms of this Agreement. 
  

	(b)	 Each Finance Party shall supply the Facility Agent with any information that the Security Agent may reasonably
specify (through the Facility Agent) as being necessary or desirable to enable the Security Agent to perform its functions as Security Agent. Each Finance Party shall deal with the Security Agent exclusively through the Facility Agent and shall not
deal directly with the Security Agent. 

  

	(c)	 Any Lender may by notice to the Facility Agent appoint a person to receive on its behalf all notices,
communications, information and documents to be made or despatched to that Lender under the Finance Documents. Such notice shall contain the address, fax number and (where communication by electronic mail or other electronic means is permitted under
Clause 37.5 (Electronic communication)) electronic mail address and/or any other information required to enable the transmission of information by that means (and, in each case, the department or officer, if any, for whose attention
communication is to be made) and be treated as a notification of a substitute address, fax number, electronic mail address (or such other information), department and officer by that Lender for the purposes of Clause 37.2 (Addresses) and sub-paragraph (ii) of paragraph (a) of Clause 37.5 (Electronic communication) and the Facility Agent shall be entitled to treat such person as the person entitled to receive all such notices,
communications, information and documents as though that person were that Lender. 

  
 116 

	30.16	 Credit appraisal by the Finance Parties 

Without affecting the responsibility of any Transaction Obligor for information supplied by it or on its behalf in connection with any
Transaction Document, each Finance Party confirms to the Facility Agent and the Arranger that it has been, and will continue to be, solely responsible for making its own independent appraisal and investigation of all risks arising under, or in
connection with, any Transaction Document including but not limited to: 
  

	(a)	 the financial condition, status and nature of each member of the Group; 

 

	(b)	 the legality, validity, effectiveness, adequacy or enforceability of any Transaction Document, the Security
Property and any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Transaction Document or the Security Property; 

 

	(c)	 whether that Finance Party has recourse, and the nature and extent of that recourse, against any Party or any
of its respective assets under, or in connection with, any Transaction Document, the Security Property, the transactions contemplated by the Transaction Documents or any other agreement, arrangement or document entered into, made or executed in
anticipation of, under or in connection with any Transaction Document or the Security Property; 

  

	(d)	 the adequacy, accuracy or completeness of any information provided by the Facility Agent, any Party or by any
other person under, or in connection with, any Transaction Document, the transactions contemplated by any Transaction Document or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection
with any Transaction Document; and 

  

	(e)	 the right or title of any person in or to or the value or sufficiency of any part of the Security Assets, the
priority of any of the Transaction Security or the existence of any Security affecting the Security Assets. 

  

	30.17	 Facility Agent’s management time 

Any amount payable to the Facility Agent under Clause 14.4 (Indemnity to the Facility Agent), Clause 16 (Costs and expenses) and
Clause 30.12 (Lenders’ indemnity to the Facility Agent) shall include the cost of utilising the Facility Agent’s management time or other resources and will be calculated on the basis of such reasonable daily or hourly rates as the
Facility Agent may notify to the Borrowers and the other Finance Parties, and is in addition to any fee paid or payable to the Facility Agent under Clause 11 (Fees). 
  

	30.18	 Deduction from amounts payable by the Facility Agent 

If any Party owes an amount to the Facility Agent under the Finance Documents, the Facility Agent may, after giving notice to that Party,
deduct an amount not exceeding that amount from any payment to that Party which the Facility Agent would otherwise be obliged to make under the Finance Documents and apply the amount deducted in or towards satisfaction of the amount owed. For the
purposes of the Finance Documents that Party shall be regarded as having received any amount so deducted. 

  
 117 

	30.19	 Reliance and engagement letters 

Each Creditor Party confirms that each of the Facility Agent and the Arranger has authority to accept on its behalf (and ratifies the
acceptance on its behalf of any letters or reports already accepted by the Arranger or the Facility Agent) the terms of any reliance letter or engagement letters or any reports or letters provided by accountants, auditors or providers of due
diligence reports in connection with the Finance Documents or the transactions contemplated in the Finance Documents and to bind it in respect of those, reports or letters and to sign such letters on its behalf and further confirms that it accepts
the terms and qualifications set out in such letters. 
  

	30.20	 Full freedom to enter into transactions 

Without prejudice to Clause 30.7 (Business with the Group) or any other provision of a Finance Document and notwithstanding any rule of
law or equity to the contrary, the Facility Agent shall be absolutely entitled: 
  

	(a)	 to enter into and arrange banking, derivative, investment and/or other transactions of every kind with or
affecting any Transaction Obligor or any person who is party to, or referred to in, a Finance Document (including, but not limited to, any interest or currency swap or other transaction, whether related to this Agreement or not, and acting as
syndicate agent and/or security agent for, and/or participating in, other facilities to such Transaction Obligor or any person who is party to, or referred to in, a Finance Document); 

 

	(b)	 to deal in and enter into and arrange transactions relating to: 

 

	 	(i)	 any securities issued or to be issued by any Transaction Obligor or any other person; or 

 

	 	(ii)	 any options or other derivatives in connection with such securities; and 

 

	(c)	 to provide advice or other services to the Borrowers or any person who is a party to, or referred to in, a
Finance Document, 

 and, in particular, the Facility Agent shall be absolutely entitled, in proposing, evaluating,
negotiating, entering into and arranging all such transactions and in connection with all other matters covered by paragraphs (a), (b) and (c) above, to use (subject only to insider dealing legislation) any information or opportunity, howsoever
acquired by it, to pursue its own interests exclusively, to refrain from disclosing such dealings, transactions or other matters or any information acquired in connection with them and to retain for its sole benefit all profits and benefits derived
from the dealings transactions or other matters. 
  

	30.21	 Capital Markets 

 

	(a)	 For the period between the date of this Agreement and until the last Maturity Date should the Guarantor
initiate, engage in, or otherwise enter into any public offering or private placement of any equity or debt securities or a combination thereof, or alternatively should the Guarantor pursue a structured financing not limited to asset backed
securities, (collectively the “Covered Transactions”), then the Agent or any of its Affiliates shall have the right, but not the obligation, to pitch for future business from the Guarantor, and to be considered in good faith when
doing so alongside other providers, to act as a lead underwriter, co-manager, placement agent, or similar role as the case may be, as well as the right to match quotes without the right to be awarded the
business automatically if it matches such quotes in connection with such Covered Transactions 

  
 118 

	(b)	 The role of the Agent (or its Affiliate as applicable) in such Covered Transactions will be subject to an
appropriate underwriting or placement agreement based on market terms and conditions mutually agreeable to the Agent (or its Affiliate as applicable) and the Guarantor, and the Agent (or its Affiliate as applicable) shall be entitled to obtain
customary fees in connection with such role, which shall be derived on the basis of the transaction economics paid on a per transaction basis. 

  

	30.22	 Role of Reference Banks 

 

	(a)	 No Reference Bank is under any obligation to provide a quotation or any other information to the Facility
Agent. 

  

	(b)	 No Reference Bank will be liable for any action taken by it under or in connection with any Finance Document,
or for any Reference Bank Quotation, unless directly caused by its gross negligence or wilful misconduct. 

  

	(c)	 No Party (other than the relevant Reference Bank) may take any proceedings against any officer, employee or
agent of any Reference Bank in respect of any claim it might have against that Reference Bank or in respect of any act or omission of any kind by that officer, employee or agent in relation to any Finance Document, or to any Reference Bank
Quotation, and any officer, employee or agent of each Reference Bank may rely on this Clause 30.21(a) (Role of Reference Banks) subject to Clause 1.5 (Third party rights) and the provisions of the Third Parties Act.

  

	30.23	 Third Party Reference Banks 

A Reference Bank which is not a Party may rely on Clause 30.21(a) (Role of Reference Banks), Clause 43.3 (Other exceptions) and
Clause 45 (Confidentiality of Funding Rates and Reference Bank Quotations) subject to Clause 1.5 (Third party rights) and the provisions of the Third Parties Act. 

 

	31	 THE SECURITY AGENT 

 

	31.1	 Trust 

  

	(a)	 The Security Agent declares that it holds the Security Property on trust for the Creditor Parties on the terms
contained in this Agreement and shall deal with the Security Property in accordance with this Clause 31 (The Security Agent) and the other provisions of the Finance Documents. 

 

	(b)	 Each other Finance Party authorises the Security Agent to perform the duties, obligations and responsibilities
and to exercise the rights, powers, authorities and discretions specifically given to the Security Agent under, or in connection with, the Finance Documents together with any other incidental rights, powers, authorities and discretions.

  

	31.2	 Parallel Debt (Covenant to pay the Security Agent) 

 

	(a)	 Each Obligor irrevocably and unconditionally undertakes to pay to the Security Agent its Parallel Debt which
shall be amounts equal to, and in the currency or currencies of, its Corresponding Debt. 

  
 119 

	(b)	 The Parallel Debt of an Obligor: 

 

	 	(i)	 shall become due and payable at the same time as its Corresponding Debt; 

 

	 	(ii)	 is independent and separate from, and without prejudice to, its Corresponding Debt. 

 

	(c)	 For the purposes of this Clause 31.2 (Parallel Debt (Covenant to pay the Security Agent)), the Security
Agent: 

  

	 	(i)	 is the independent and separate creditor of each Parallel Debt; 

 

	 	(ii)	 acts in its own name and not as agent, representative or trustee of the Finance Parties and its claims in
respect of each Parallel Debt shall not be held on trust; and 

  

	 	(iii)	 shall have the independent and separate right to demand payment of each Parallel Debt in its own name
(including, without limitation, through any suit, execution, enforcement of security, recovery of guarantees and applications for and voting in any kind of insolvency proceeding). 

 

	(d)	 The Parallel Debt of an Obligor shall be: 

 

	 	(i)	 decreased to the extent that its Corresponding Debt has been irrevocably and unconditionally paid or
discharged; and 

  

	 	(ii)	 increased to the extent that its Corresponding Debt has increased, 

and the Corresponding Debt of an Obligor shall be: 
  

	 	(A)	 decreased to the extent that its Parallel Debt has been irrevocably and unconditionally paid or discharged; and

  

	 	(B)	 increased to the extent that its Parallel Debt has increased, 

in each case provided that the Parallel Debt of an Obligor shall never exceed its Corresponding Debt. 

 

	(e)	 All amounts received or recovered by the Security Agent in connection with this Clause 31.2 (Parallel Debt
(Covenant to pay the Security Agent)) to the extent permitted by applicable law, shall be applied in accordance with Clause 34.5 (Application of receipts; partial payments). 

 

	(f)	 This Clause 31.2 (Parallel Debt (Covenant to pay the Security Agent)) shall apply, with any necessary
modifications, to each Finance Document. 

  

	31.3	 Enforcement through Security Agent only 

The Creditor Parties shall not have any independent power to enforce, or have recourse to, any of the Transaction Security or to exercise any
right, power, authority or discretion arising under the Security Documents except through the Security Agent. 

  
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	31.4	 Instructions 

  

	(a)	 The Security Agent shall: 

 

	 	(i)	 unless a contrary indication appears in a Finance Document, exercise or refrain from exercising any right,
power, authority or discretion vested in it as Security Agent in accordance with any instructions given to it by: 

  

	 	(A)	 all Lenders (or the Facility Agent on their behalf) if the relevant Finance Document stipulates the matter is
an all Lender decision; and 

  

	 	(B)	 in all other cases, the Majority Lenders (or the Facility Agent on their behalf); and 

 

	 	(ii)	 not be liable for any act (or omission) if it acts (or refrains from acting) in accordance with sub-paragraph (i) above (or if this Agreement stipulates the matter is a decision for any other Finance Party or group of Finance Parties, in accordance with instructions given to it by that Finance Party or
group of Finance Parties). 

  

	(b)	 The Security Agent shall be entitled to request instructions, or clarification of any instruction, from the
Majority Lenders (or the Facility Agent on their behalf) (or, if the relevant Finance Document stipulates the matter is a decision for any other Finance Party or group of Finance Parties, from that Finance Party or group of Finance Parties) as to
whether, and in what manner, it should exercise or refrain from exercising any right, power, authority or discretion and the Security Agent may refrain from acting unless and until it receives any such instructions or clarification that it has
requested. 

  

	(c)	 Save in the case of decisions stipulated to be a matter for any other Finance Party or group of Finance Parties
under the relevant Finance Document and unless a contrary indication appears in a Finance Document, any instructions given to the Security Agent by the Majority Lenders shall override any conflicting instructions given by any other Parties and will
be binding on all Finance Parties. 

  

	(d)	 Paragraph (a) above shall not apply: 

 

	 	(i)	 where a contrary indication appears in a Finance Document; 

 

	 	(ii)	 where a Finance Document requires the Security Agent to act in a specified manner or to take a specified
action; 

  

	 	(iii)	 in respect of any provision which protects the Security Agent’s own position in its personal capacity as
opposed to its role of Security Agent for the relevant Creditor Parties. 

  

	 	(iv)	 in respect of the exercise of the Security Agent’s discretion to exercise a right, power or authority
under any of: 

  

	 	(A)	 Clause 31.28 (Application of receipts upon enforcement); 

 

	 	(B)	 Clause 31.29 (Permitted Deductions); and 

 

	 	(C)	 Clause 31.30 (Prospective liabilities). 

 

	(e)	 If giving effect to instructions given by the Majority Lenders would in the Security Agent’s opinion have
an effect equivalent to an amendment or waiver referred to in Clause 43 (Amendments and Waivers), the Security Agent shall not act in accordance with those instructions unless consent to it so acting is obtained from each Party (other than
the Security Agent) whose consent would have been required in respect of that amendment or waiver. 

  
 121 

	(f)	 In exercising any discretion to exercise a right, power or authority under the Finance Documents where either:

  

	 	(i)	 it has not received any instructions as to the exercise of that discretion; or 

 

	 	(ii)	 the exercise of that discretion is subject to sub-paragraph
(iv) of paragraph (d) above, 

 the Security Agent shall do so having regard to the interests of all the Creditor
Parties. 
  

	(g)	 The Security Agent may refrain from acting in accordance with any instructions of any Finance Party or group of
Finance Parties until it has received any indemnification and/or security that it may in its discretion require (which may be greater in extent than that contained in the Finance Documents and which may include payment in advance) for any cost, loss
or liability (together with any applicable VAT) which it may incur in complying with those instructions. 

  

	(h)	 Without prejudice to the remainder of this Clause 31.4 (Instructions), in the absence of instructions,
the Security Agent may (but shall not be obliged to) take such action in the exercise of its powers and duties under the Finance Documents as it considers in its discretion to be appropriate. 

 

	(i)	 The Security Agent is not authorised to act on behalf of a Finance Party (without first obtaining that Finance
Party’s consent) in any legal or arbitration proceedings relating to any Finance Document. This paragraph (i) shall not apply to any legal or arbitration proceeding relating to the perfection, preservation or protection of rights under the
Security Documents or enforcement of the Transaction Security or Security Documents. 

  

	31.5	 Duties of the Security Agent 

 

	(a)	 The Security Agent’s duties under the Finance Documents are solely mechanical and administrative in
nature. 

  

	(b)	 The Security Agent shall promptly forward to a Party the original or a copy of any document which is delivered
to the Security Agent for that Party by any other Party. 

  

	(c)	 Except where a Finance Document specifically provides otherwise, the Security Agent is not obliged to review or
check the adequacy, accuracy or completeness of any document it forwards to another Party. 

  

	(d)	 If the Security Agent receives notice from a Party referring to any Finance Document, describing a Default and
stating that the circumstance described is a Default, it shall promptly notify the other Finance Parties. 

  

	(e)	 The Security Agent shall have only those duties, obligations and responsibilities expressly specified in the
Finance Documents to which it is expressed to be a party (and no others shall be implied). 

  
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	31.6	 No fiduciary duties 

 

	(a)	 Nothing in any Finance Document constitutes the Security Agent as an agent, trustee or fiduciary of any
Transaction Obligor. 

  

	(b)	 The Security Agent shall not be bound to account to any other Party for any sum or the profit element of any
sum received by it for its own account. 

  

	31.7	 Business with the Group 

The Security Agent may accept deposits from, lend money to, and generally engage in any kind of banking or other business with, any member of
the Group. 
  

	31.8	 Rights and discretions 

 

	(a)	 The Security Agent may: 

 

	 	(i)	 rely on any representation, communication, notice or document believed by it to be genuine, correct and
appropriately authorised; 

  

	 	(ii)	 assume that: 

  

	 	(A)	 any instructions received by it from the Majority Lenders, any Finance Parties or any group of Finance Parties
are duly given in accordance with the terms of the Finance Documents; 

  

	 	(B)	 unless it has received notice of revocation, that those instructions have not been revoked; and

  

	 	(C)	 if it receives any instructions to act in relation to the Transaction Security, that all applicable conditions
under the Finance Documents for so acting have been satisfied; and 

  

	 	(iii)	 rely on a certificate from any person: 

 

	 	(A)	 as to any matter of fact or circumstance which might reasonably be expected to be within the knowledge of that
person; or 

  

	 	(B)	 to the effect that such person approves of any particular dealing, transaction, step, action or thing,

 as sufficient evidence that that is the case and, in the case of paragraph (A) above, may assume the truth and
accuracy of that certificate. 
  

	(b)	 The Security Agent shall be entitled to carry out all dealings with the other Finance Parties through the
Facility Agent and may give to the Facility Agent any notice or other communication required to be given by the Security Agent to any Finance Party. 

  
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	(c)	 The Security Agent may assume (unless it has received notice to the contrary in its capacity as security agent
for the Creditor Parties) that: 

  

	 	(i)	 no Default has occurred; 

 

	 	(ii)	 any right, power, authority or discretion vested in any Party or any group of Finance Parties has not been
exercised; and 

  

	 	(iii)	 any notice or request made by a Borrower (other than a Drawdown Request or a Selection Notice) is made on
behalf of and with the consent and knowledge of all the Transaction Obligors. 

  

	(d)	 The Security Agent may engage and pay for the advice or services of any lawyers, accountants, tax advisers,
surveyors or other professional advisers or experts. 

  

	(e)	 Without prejudice to the generality of paragraph (d) above or paragraph (f) below, the Security Agent
may at any time engage and pay for the services of any lawyers to act as independent counsel to the Security Agent (and so separate from any lawyers instructed by the Facility Agent or the Lenders) if the Security Agent in its reasonable opinion
deems this to be desirable. 

  

	(f)	 The Security Agent may rely on the advice or services of any lawyers, accountants, tax advisers, surveyors or
other professional advisers or experts (whether obtained by the Security Agent or by any other Party) and shall not be liable for any damages, costs or losses to any person, any diminution in value or any liability whatsoever arising as a result of
its so relying. 

  

	(g)	 The Security Agent may act in relation to the Finance Documents and the Security Property through its officers,
employees and agents and shall not: 

  

	 	(i)	 be liable for any error of judgment made by any such person; or 

 

	 	(ii)	 be bound to supervise, or be in any way responsible for any loss incurred by reason of misconduct, omission or
default on the part of any such person, 

 unless such error or such loss was directly caused by the Security Agent’s
gross negligence or wilful misconduct. 
  

	(h)	 Unless a Finance Document expressly provides otherwise the Security Agent may disclose to any other Party any
information it reasonably believes it has received as security agent under the Finance Documents. 

  

	(i)	 Notwithstanding any other provision of any Finance Document to the contrary, the Security Agent is not obliged
to do or omit to do anything if it would or might, in its reasonable opinion, constitute a breach of any law or regulation or a breach of a fiduciary duty or duty of confidentiality. 

 

	(j)	 Notwithstanding any provision of any Finance Document to the contrary, the Security Agent is not obliged to
expend or risk its own funds or otherwise incur any financial liability in the performance of its duties, obligations or responsibilities or the exercise of any right, power, authority or discretion if it has grounds for believing the repayment of
such funds or adequate indemnity against, or security for, such risk or liability is not reasonably assured to it. 

  
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	31.9	 Responsibility for documentation 

None of the Security Agent, any Receiver or Delegate is responsible or liable for: 

 

	(a)	 the adequacy, accuracy or completeness of any information (whether oral or written) supplied by the Facility
Agent, the Security Agent, the Arranger, a Transaction Obligor or any other person in, or in connection with, any Transaction Document or the transactions contemplated in the Transaction Documents or any other agreement, arrangement or document
entered into, made or executed in anticipation of, under or in connection with any Transaction Document; or 

  

	(b)	 the legality, validity, effectiveness, adequacy or enforceability of any Transaction Document or the Security
Property or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with, any Transaction Document or the Security Property; or 

 

	(c)	 any determination as to whether any information provided or to be provided to any Creditor Party is non-public information the use of which may be regulated or prohibited by applicable law or regulation relating to insider dealing or otherwise. 

 

	31.10	 No duty to monitor 

The Security Agent shall not be bound to enquire: 
  

	(a)	 whether or not any Default has occurred; 

 

	(b)	 as to the performance, default or any breach by any Transaction Obligor of its obligations under any
Transaction Document; or 

  

	(c)	 whether any other event specified in any Transaction Document has occurred. 

 

	31.11	 Exclusion of liability 

 

	(a)	 Without limiting paragraph (b) below (and without prejudice to any other provision of any Finance Document
excluding or limiting the liability of the Security Agent or any Receiver or Delegate), none of the Security Agent nor any Receiver or Delegate will be liable for: 

 

	 	(i)	 any damages, costs or losses to any person, any diminution in value, or any liability whatsoever arising as a
result of taking or not taking any action under or in connection with any Transaction Document or the Security Property, unless directly caused by its gross negligence or wilful misconduct; 

 

	 	(ii)	 exercising, or not exercising, any right, power, authority or discretion given to it by, or in connection with,
any Transaction Document, the Security Property or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with, any Transaction Document or the Security Property; or

  

	 	(iii)	 any shortfall which arises on the enforcement or realisation of the Security Property; or

  

	 	(iv)	 without prejudice to the generality of paragraphs (i) to (iii) above, any damages, costs or losses to any
person, any diminution in value or any liability whatsoever arising as a result of: 

  

	 	(A)	 any act, event or circumstance not reasonably within its control; or 

  
 125 

	 	(B)	 the general risks of investment in, or the holding of assets in, any jurisdiction, 

including (in each case and without limitation) such damages, costs, losses, diminution in value or liability arising as a result of
nationalisation, expropriation or other governmental actions; any regulation, currency restriction, devaluation or fluctuation; market conditions affecting the execution or settlement of transactions or the value of assets (including any Disruption
Event); breakdown, failure or malfunction of any third party transport, telecommunications, computer services or systems; natural disasters or acts of God; war, terrorism, insurrection or revolution; or strikes or industrial action. 

 

	(b)	 No Party other than the Security Agent, that Receiver or that Delegate (as applicable) may take any proceedings
against any officer, employee or agent of the Security Agent, a Receiver or a Delegate in respect of any claim it might have against the Security Agent, a Receiver or a Delegate or in respect of any act or omission of any kind by that officer,
employee or agent in relation to any Transaction Document or any Security Property and any officer, employee or agent of the Security Agent, a Receiver or a Delegate may rely on this Clause subject to Clause 1.5 (Third party rights) and the
provisions of the Third Parties Act. 

  

	(c)	 The Security Agent will not be liable for any delay (or any related consequences) in crediting an account with
an amount required under the Finance Documents to be paid by the Security Agent if the Security Agent has taken all necessary steps as soon as reasonably practicable to comply with the regulations or operating procedures of any recognised clearing
or settlement system used by the Security Agent for that purpose. 

  

	(d)	 Nothing in this Agreement shall oblige the Security Agent to carry out: 

 

	 	(i)	 any “know your customer” or other checks in relation to any person; or 

 

	 	(ii)	 any check on the extent to which any transaction contemplated by this Agreement might be unlawful for any
Finance Party, 

 on behalf of any Finance Party and each Finance Party confirms to the Security Agent that it is solely
responsible for any such checks it is required to carry out and that it may not rely on any statement in relation to such checks made by the Security Agent. 
  

	(e)	 Without prejudice to any provision of any Finance Document excluding or limiting the liability of the Security
Agent or any Receiver or Delegate, any liability of the Security Agent or any Receiver or Delegate arising under or in connection with any Transaction Document or the Security Property shall be limited to the amount of actual loss which has been
finally judicially determined to have been suffered (as determined by reference to the date of default of the Security Agent, Receiver or Delegate or, if later, the date on which the loss arises as a result of such default) but without reference to
any special conditions or circumstances known to the Security Agent, any Receiver or Delegate at any time which increase the amount of that loss. In no event shall the Security Agent, any Receiver or Delegate be liable for any loss of profits,
goodwill, reputation, business opportunity or anticipated saving, or for special, punitive, indirect or consequential damages, whether or not the Security Agent, the Receiver or Delegate has been advised of the possibility of such loss or damages.

  
 126 

	31.12	 Lenders’ indemnity to the Security Agent 

 

	(a)	 Each Lender shall (in proportion to its share of the Total Commitments or, if the Total Commitments are then
zero, to its share of the Total Commitments immediately prior to their reduction to zero) indemnify the Security Agent and every Receiver and every Delegate, within three Business Days of demand, against any cost, loss or liability incurred by any
of them (otherwise than by reason of the Security Agent’s, Receiver’s or Delegate’s gross negligence or wilful misconduct) in acting as Security Agent, Receiver or Delegate under the Finance Documents (unless the Security Agent,
Receiver or Delegate has been reimbursed by a Transaction Obligor pursuant to a Finance Document). 

  

	(b)	 Subject to paragraph (c) below, the Borrowers shall immediately on demand reimburse any Lender for any
payment that Lender makes to the Security Agent pursuant to paragraph (a) above. 

  

	(c)	 Paragraph (b) above shall not apply to the extent that the indemnity payment in respect of which the
Lender claims reimbursement relates to a liability of the Security Agent to an Obligor. 

  

	31.13	 Resignation of the Security Agent 

 

	(a)	 The Security Agent may resign and appoint one of its Affiliates acting through an office as successor by giving
notice to the other Finance Parties and the Borrowers. 

  

	(b)	 Alternatively, the Security Agent may resign by giving 30 days’ notice to the other Finance Parties and
the Borrowers, in which case the Majority Lenders may appoint a successor Security Agent. 

  

	(c)	 If the Majority Lenders have not appointed a successor Security Agent in accordance with paragraph
(b) above within 20 days after notice of resignation was given, the retiring Security Agent may appoint a successor Security Agent. 

  

	(d)	 The retiring Security Agent shall make available to the successor Security Agent such documents and records and
provide such assistance as the successor Security Agent may reasonably request for the purposes of performing its functions as Security Agent under the Finance Documents. The Borrowers shall, within three Business Days of demand, reimburse the
retiring Security Agent for the amount of all costs and expenses (including legal fees) properly incurred by it in making available such documents and records and providing such assistance. 

 

	(e)	 The Security Agent’s resignation notice shall only take effect upon: 

 

	 	(i)	 the appointment of a successor; and 

 

	 	(ii)	 the transfer, by way of a document expressed as a deed, of all the Security Property to that successor.

  

	(f)	 Upon the appointment of a successor, the retiring Security Agent shall be discharged, by way of a document
executed as a deed, from any further obligation in respect of the Finance Documents (other than its obligations under paragraph (b) of Clause 31.24 (Winding up of trust) and paragraph (d) above) but shall remain entitled to the
benefit of Clause 14.5 (Indemnity to the Security Agent) and this Clause 31 (The Security Agent) and any other provisions of a Finance Document which are expressed to limit or exclude its liability (or to indemnify it) in acting as
Security Agent. Any fees for the account of the retiring Security Agent shall cease to accrue from (and shall be payable on) that date. Any successor and each of the other Parties shall have the same rights and obligations amongst themselves as they
would have had if such successor had been an original Party. 

  
 127 

	(g)	 The Majority Lenders may, by notice to the Security Agent, require it to resign in accordance with paragraph
(b) above. In this event, the Security Agent shall resign in accordance with paragraph (b) above but the cost referred to in paragraph (d) above shall be for the account of the Borrowers. 

 

	(h)	 The consent of the Borrowers (or any other Transaction Obligor) is not required for an assignment or transfer
of rights and/or obligations by the Security Agent. 

  

	31.14	 Confidentiality 

 

	(a)	 In acting as Security Agent for the Finance Parties, the Security Agent shall be regarded as acting through its
trustee division which shall be treated as a separate entity from any other of its divisions or departments. 

  

	(b)	 If information is received by a division or department of the Security Agent other than the division or
department responsible for complying with the obligations assumed by it under the Finance Documents, that information may be treated as confidential to that division or department, and the Security Agent shall not be deemed to have notice of it nor
shall it be obliged to disclose such information to any Party. 

  

	(c)	 Notwithstanding any other provision of any Finance Document to the contrary, the Security Agent is not obliged
to disclose to any other person (i) any confidential information or (ii) any other information if the disclosure would, or might in its reasonable opinion, constitute a breach of any law or regulation or a breach of a fiduciary duty.

  

	31.15	 Credit appraisal by the Finance Parties 

Without affecting the responsibility of any Transaction Obligor for information supplied by it or on its behalf in connection with any
Transaction Document, each Finance Party confirms to the Security Agent that it has been, and will continue to be, solely responsible for making its own independent appraisal and investigation of all risks arising under, or in connection with, any
Transaction Document including but not limited to: 
  

	(a)	 the financial condition, status and nature of each member of the Group; 

 

	(b)	 the legality, validity, effectiveness, adequacy or enforceability of any Transaction Document, the Security
Property and any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection with any Transaction Document or the Security Property; 

 

	(c)	 whether that Finance Party has recourse, and the nature and extent of that recourse, against any Party or any
of its respective assets under, or in connection with, any Transaction Document, the Security Property, the transactions contemplated by the Transaction Documents or any other agreement, arrangement or document entered into, made or executed in
anticipation of, under or in connection with any Transaction Document or the Security Property; 

  
 128 

	(d)	 the adequacy, accuracy or completeness of any information provided by the Security Agent, any Party or by any
other person under, or in connection with, any Transaction Document, the transactions contemplated by any Transaction Document or any other agreement, arrangement or document entered into, made or executed in anticipation of, under or in connection
with any Transaction Document; and 

  

	(e)	 the right or title of any person in or to or the value or sufficiency of any part of the Security Assets, the
priority of any of the Transaction Security or the existence of any Security affecting the Security Assets. 

  

	31.16	 Security Agent’s management time 

 

	(a)	 Any amount payable to the Security Agent under Clause 14.5 (Indemnity to the Security Agent), Clause 16
(Costs and expenses) and Clause 31.12 (Lenders’ indemnity to the Security Agent) shall include the cost of utilising the Security Agent’s management time or other resources and will be calculated on the basis of such
reasonable daily or hourly rates as the Security Agent may notify to the Borrowers and the other Finance Parties, and is in addition to any fee paid or payable to the Security Agent under Clause 11 (Fees). 

 

	(b)	 Without prejudice to paragraph (a) above, in the event of: 

 

	 	(i)	 a Default; 

  

	 	(ii)	 the Security Agent being requested by a Transaction Obligor or the Majority Lenders to undertake duties which
the Security Agent and the Borrowers agree to be of an exceptional nature or outside the scope of the normal duties of the Security Agent under the Finance Documents; or 

 

	 	(iii)	 the Security Agent and the Borrowers agreeing that it is otherwise appropriate in the circumstances,

 the Borrowers shall pay to the Security Agent any additional remuneration (together with any applicable VAT) that may be
agreed between them or determined pursuant to paragraph (c) below. 
  

	(c)	 If the Security Agent and the Borrowers fail to agree upon the nature of the duties, or upon the additional
remuneration referred to in paragraph (b) above or whether additional remuneration is appropriate in the circumstances, any dispute shall be determined by an investment bank (acting as an expert and not as an arbitrator) selected by the
Security Agent and approved by the Borrowers or, failing approval, nominated (on the application of the Security Agent) by the President for the time being of the Law Society of England and Wales (the costs of the nomination and of the investment
bank being payable by the Borrowers) and the determination of any investment bank shall be final and binding upon the Parties. 

  

	31.17	 Reliance and engagement letters 

Each Creditor Party confirms that the Security Agent has authority to accept on its behalf (and ratifies the acceptance on its behalf of any
letters or reports already accepted by the Security Agent) the terms of any reliance letter or engagement letters or any reports or letters provided by accountants, auditors or providers of due diligence reports in connection with the Finance
Documents or the transactions contemplated in the Finance Documents and to bind it in respect of those, reports or letters and to sign such letters on its behalf and further confirms that it accepts the terms and qualifications set out in such
letters. 

  
 129 

	31.18	 No responsibility to perfect Transaction Security 

The Security Agent shall not be liable for any failure to: 
  

	(a)	 require the deposit with it of any deed or document certifying, representing or constituting the title of any
Transaction Obligor to any of the Security Assets; 

  

	(b)	 obtain any licence, consent or other authority for the execution, delivery, legality, validity, enforceability
or admissibility in evidence of any Finance Document or the Transaction Security; 

  

	(c)	 register, file or record or otherwise protect any of the Transaction Security (or the priority of any of the
Transaction Security) under any law or regulation or to give notice to any person of the execution of any Finance Document or of the Transaction Security; 

  

	(d)	 take, or to require any Transaction Obligor to take, any step to perfect its title to any of the Security
Assets or to render the Transaction Security effective or to secure the creation of any ancillary Security under any law or regulation; or 

  

	(e)	 require any further assurance in relation to any Security Document. 

 

	31.19	 Insurance by Security Agent 

 

	(a)	 The Security Agent shall not be obliged: 

 

	 	(i)	 to insure any of the Security Assets; 

 

	 	(ii)	 to require any other person to maintain any insurance; or 

 

	 	(iii)	 to verify any obligation to arrange or maintain insurance contained in any Finance Document,

 and the Security Agent shall not be liable for any damages, costs or losses to any person as a result of the lack of, or
inadequacy of, any such insurance. 
  

	(b)	 Where the Security Agent is named on any insurance policy as an insured party, it shall not be liable for any
damages, costs or losses to any person as a result of its failure to notify the insurers of any material fact relating to the risk assumed by such insurers or any other information of any kind, unless the Majority Lenders request it to do so in
writing and the Security Agent fails to do so within 14 days after receipt of that request. 

  

	31.20	 Custodians and nominees 

The Security Agent may appoint and pay any person to act as a custodian or nominee on any terms in relation to any asset of the trust as the
Security Agent may determine, including for the purpose of depositing with a custodian this Agreement or any document relating to the trust created under this Agreement and the Security Agent shall not be responsible for any loss, liability,
expense, demand, cost, claim or proceedings incurred by reason of the misconduct, omission or default on the part of any person appointed by it under this Agreement or be bound to supervise the proceedings or acts of any person. 

  
 130 

	31.21	 Delegation by the Security Agent 

 

	(a)	 Each of the Security Agent, any Receiver and any Delegate may, at any time, delegate by power of attorney or
otherwise to any person for any period, all or any right, power, authority or discretion vested in it in its capacity as such. 

  

	(b)	 That delegation may be made upon any terms and conditions (including the power to sub delegate) and subject to
any restrictions that the Security Agent, that Receiver or that Delegate (as the case may be) may, in its discretion, think fit in the interests of the Creditor Parties. 

 

	(c)	 No Security Agent, Receiver or Delegate shall be bound to supervise, or be in any way responsible for any
damages, costs or losses incurred by reason of any misconduct, omission or default on the part of any such delegate or sub delegate. 

  

	31.22	 Additional Security Agents 

 

	(a)	 The Security Agent may at any time appoint (and subsequently remove) any person to act as a separate trustee or
as a co-trustee jointly with it: 

  

	 	(i)	 if it considers that appointment to be in the interests of the Creditor Parties; or 

 

	 	(ii)	 for the purposes of conforming to any legal requirement, restriction or condition which the Security Agent
deems to be relevant; or 

  

	 	(iii)	 for obtaining or enforcing any judgment in any jurisdiction, 

and the Security Agent shall give prior notice to the Borrowers and the Finance Parties of that appointment. 

 

	(b)	 Any person so appointed shall have the rights, powers, authorities and discretions (not exceeding those given
to the Security Agent under or in connection with the Finance Documents) and the duties, obligations and responsibilities that are given or imposed by the instrument of appointment. 

 

	(c)	 The remuneration that the Security Agent may pay to that person, and any costs and expenses (together with any
applicable VAT) incurred by that person in performing its functions pursuant to that appointment shall, for the purposes of this Agreement, be treated as costs and expenses incurred by the Security Agent. 

 

	31.23	 Acceptance of title 

The Security Agent shall be entitled to accept without enquiry, and shall not be obliged to investigate, any right and title that any
Transaction Obligor may have to any of the Security Assets and shall not be liable for or bound to require any Transaction Obligor to remedy any defect in its right or title. 
  

	31.24	 Releases 

Upon a disposal of any of the Security Assets pursuant to the enforcement of the Transaction Security by a Receiver, a Delegate or the Security
Agent, the Security Agent is irrevocably authorised (at the cost of the Obligors and without any consent, sanction, authority or further confirmation from any other Creditor Party) to release, without recourse or warranty, that property from the
Transaction Security and to execute any release of the Transaction Security or other claim over that asset and to issue any certificates of non-crystallisation of floating charges that may be required or
desirable. 

  
 131 

	31.25	 Winding up of trust 

If the Security Agent, with the approval of the Facility Agent determines that: 

 

	(a)	 all of the Secured Liabilities and all other obligations secured by the Security Documents have been fully and
finally discharged; and 

  

	(b)	 no Creditor Party is under any commitment, obligation or liability (actual or contingent) to make advances or
provide other financial accommodation to any Transaction Obligor pursuant to the Finance Documents, 

 then 

 

	 	(i)	 the trusts set out in this Agreement shall be wound up and the Security Agent shall release, without recourse
or warranty, all of the Transaction Security and the rights of the Security Agent under each of the Security Documents; and 

  

	 	(ii)	 any Security Agent which has resigned pursuant to Clause 31.13 (Resignation of the Security Agent) shall
release, without recourse or warranty, all of its rights under each Security Document. 

  

	31.26	 Powers supplemental to Trustee Acts 

The rights, powers, authorities and discretions given to the Security Agent under or in connection with the Finance Documents shall be
supplemental to the Trustee Act 1925 and the Trustee Act 2000 and in addition to any which may be vested in the Security Agent by law or regulation or otherwise. 
  

	31.27	 Disapplication of Trustee Acts 

Section 1 of the Trustee Act 2000 shall not apply to the duties of the Security Agent in relation to the trusts constituted by this
Agreement and the other Finance Documents. Where there are any inconsistencies between (i) the Trustee Acts 1925 and 2000 and (ii) the provisions of this Agreement and any other Finance Document, the provisions of this Agreement and any
other Finance Document shall, to the extent permitted by law and regulation, prevail and, in the case of any inconsistency with the Trustee Act 2000, the provisions of this Agreement and any other Finance Document shall constitute a restriction or
exclusion for the purposes of the Trustee Act 2000. 
  

	31.28	 Application of receipts upon enforcement 

All amounts from time to time received or recovered by the Security Agent pursuant to the terms of any Finance Document, under Clause 31.2
(Parallel Debt (Covenant to pay the Security Agent)) or in connection with the realisation or enforcement of all or any part of the Security Property (for the purposes of this Clause 31 (The Security Agent), the
“Recoveries”) shall be held by the Security Agent on trust to apply them at any time as the Security Agent (in its discretion) sees fit, to the extent permitted by applicable law (and subject to the remaining provisions of this
Clause 31 (The Security Agent)), in the following order of priority: 

  
 132 

	(a)	 in discharging any sums owing to the Security Agent (in its capacity as such) other than pursuant to Clause
31.2 (Parallel Debt (Covenant to pay the Security Agent)) or any Receiver or Delegate; 

  

	(b)	 in payment or distribution to the Facility Agent, on its behalf and on behalf of the other Creditor Parties,
for application towards the discharge of all sums due and payable by any Transaction Obligor under any of the Finance Documents in accordance with Clause 34.5 (Application of receipts; partial payments); 

 

	(c)	 if none of the Transaction Obligors is under any further actual or contingent liability under any Finance
Document, in payment or distribution to any person to whom the Security Agent is obliged to pay or distribute in priority to any Transaction Obligor; and 

  

	(d)	 the balance, if any, in payment or distribution to the relevant Transaction Obligor. 

 

	31.29	 Permitted Deductions 

 

	(a)	 The Security Agent may, in its discretion: 

 

	 	(i)	 set aside by way of reserve amounts required to meet, and to make and pay, any deductions and withholdings (on
account of Taxes or otherwise) which it is or may be required by any applicable law to make from any distribution or payment made by it under this Agreement; and 

 

	 	(ii)	 pay all Taxes which may be assessed against it in respect of any of the Security Property, or as a consequence
of performing its duties, or by virtue of its capacity as Security Agent under any of the Finance Documents or otherwise (other than in connection with its remuneration for performing its duties under this Agreement). 

 

	(b)	 For the purposes of sub-paragraph (i) of paragraph (a) above,
if the Security Agent has become entitled to require a sum to be paid to it on demand, that sum shall be treated as due and payable, even if no demand has yet been served. 

 

	31.30	 Prospective liabilities 

Following acceleration, the Security Agent may, in its discretion, or at the request of the Facility Agent, hold any Recoveries in an interest
bearing suspense or impersonal account(s) in the name of the Security Agent with such financial institution (including itself) and for so long as the Security Agent shall think fit (the interest being credited to the relevant account) for later
payment to the Facility Agent for application in accordance with Clause 34.5 (Application of receipts; partial payments) in respect of: 
  

	(a)	 any sum to the Security Agent, any Receiver or any Delegate; and 

 

	(b)	 any part of the Secured Liabilities, 

that the Security Agent or, in the case of paragraph (b) only, the Facility Agent, reasonably considers, in each case, might become due or
owing at any time in the future. 

  
 133 

	31.31	 Investment of proceeds 

Prior to the payment of the proceeds of the Recoveries to the Facility Agent for application in accordance with Clause 34.5 (Application of
receipts; partial payments) the Security Agent may, in its discretion, hold all or part of those proceeds in an interest bearing suspense or impersonal account(s) in the name of the Security Agent with such financial institution (including
itself) and for so long as the Security Agent shall think fit (the interest being credited to the relevant account) pending the payment from time to time of those moneys in the Security Agent’s discretion in accordance with the provisions of
this Clause 31.31 (Investment of proceeds). 
  

	31.32	 Currency conversion 

 

	(a)	 For the purpose of, or pending the discharge of, any of the Secured Liabilities the Security Agent may convert
any moneys received or recovered by the Security Agent from one currency to another, at a market rate of exchange. 

  

	(b)	 The obligations of any Transaction Obligor to pay in the due currency shall only be satisfied to the extent of
the amount of the due currency purchased after deducting the costs of conversion. 

  

	31.33	 Good discharge 

 

	(a)	 Any payment to be made in respect of the Secured Liabilities by the Security Agent may be made to the Facility
Agent on behalf of the Creditor Parties and any payment made in that way shall be a good discharge, to the extent of that payment, by the Security Agent. 

  

	(b)	 The Security Agent is under no obligation to make the payments to the Facility Agent under paragraph
(a) above in the same currency as that in which the obligations and liabilities owing to the relevant Finance Party are denominated. 

  

	31.34	 Amounts received by Obligors 

If any of the Obligors receives or recovers any amount which, under the terms of any of the Finance Documents, should have been paid to the
Security Agent, that Obligor will hold the amount received or recovered on trust for the Security Agent and promptly pay that amount to the Security Agent for application in accordance with the terms of this Agreement. 

 

	31.35	 Application and consideration 

In consideration for the covenants given to the Security Agent by each Obligor in relation to Clause 31.2 (Parallel Debt (Covenant to pay
the Security Agent)) the Security Agent agrees with each Obligor to apply all moneys from time to time paid by such Obligor to the Security Agent in accordance with the foregoing provisions of this Clause 31 (The Security Agent). 

 

	31.36	 Full freedom to enter into transactions 

Without prejudice to Clause 31.7 (Business with the Group) or any other provision of a Finance Document and notwithstanding any rule of
law or equity to the contrary, the Security Agent shall be absolutely entitled: 
  

	(a)	 to enter into and arrange banking, derivative, investment and/or other transactions of every kind with or
affecting any Transaction Obligor or any person who is party to, or referred to in, a Finance Document (including, but not limited to, any interest or currency swap or other transaction, whether related to this Agreement or not, and acting as
syndicate agent and/or security agent for, and/or participating in, other facilities to such Transaction Obligor or any person who is party to, or referred to in, a Finance Document); 

  
 134 

	(b)	 to deal in and enter into and arrange transactions relating to: 

 

	 	(i)	 any securities issued or to be issued by any Transaction Obligor or any other person; or 

 

	 	(ii)	 any options or other derivatives in connection with such securities; and 

 

	(c)	 to provide advice or other services to the Borrowers or any person who is a party to, or referred to in, a
Finance Document, 

 and, in particular, the Security Agent shall be absolutely entitled, in proposing, evaluating,
negotiating, entering into and arranging all such transactions and in connection with all other matters covered by paragraphs (a), (b) and (c) above, to use (subject only to insider dealing legislation) any information or opportunity, howsoever
acquired by it, to pursue its own interests exclusively, to refrain from disclosing such dealings, transactions or other matters or any information acquired in connection with them and to retain for its sole benefit all profits and benefits derived
from the dealings transactions or other matters. 
  

	32	 CONDUCT OF BUSINESS BY THE FINANCE PARTIES 

No provision of this Agreement will: 
  

	(a)	 interfere with the right of any Finance Party to arrange its affairs (tax or otherwise) in whatever manner it
thinks fit; 

  

	(b)	 oblige any Finance Party to investigate or claim any credit, relief, remission or repayment available to it or
the extent, order and manner of any claim; or 

  

	(c)	 oblige any Finance Party to disclose any information relating to its affairs (tax or otherwise) or any
computations in respect of Tax. 

  

	33	 SHARING AMONG THE FINANCE PARTIES 

 

	33.1	 Payments to Finance Parties 

If a Finance Party (a “Recovering Finance Party”) receives or recovers any amount from a Transaction Obligor other than in
accordance with Clause 34 (Payment Mechanics) (a “Recovered Amount”) and applies that amount to a payment due to it under the Finance Documents then: 
  

	(a)	 the Recovering Finance Party shall, within three Business Days, notify details of the receipt or recovery, to
the Facility Agent; 

  

	(b)	 the Facility Agent shall determine whether the receipt or recovery is in excess of the amount the Recovering
Finance Party would have been paid had the receipt or recovery been received or made by the Facility Agent and distributed in accordance with Clause 34 (Payment Mechanics), without taking account of any Tax which would be imposed on the
Facility Agent in relation to the receipt, recovery or distribution; and 

  

	(c)	 the Recovering Finance Party shall, within three Business Days of demand by the Facility Agent, pay to the
Facility Agent an amount (the “Sharing Payment”) equal to such receipt or recovery less any amount which the Facility Agent determines may be retained by the Recovering Finance Party as its share of any payment to be made, in
accordance with Clause 34.5 (Application of receipts; partial payments). 

  
 135 

	33.2	 Redistribution of payments 

The Facility Agent shall treat the Sharing Payment as if it had been paid by the relevant Transaction Obligor and distribute it among the
Finance Parties (other than the Recovering Finance Party) (the “Sharing Finance Parties”) in accordance with Clause 34.5 (Application of receipts; partial payments) towards the obligations of that Transaction Obligor to the
Sharing Finance Parties. 
  

	33.3	 Recovering Finance Party’s rights 

On a distribution by the Facility Agent under Clause 33.2 (Redistribution of payments) of a payment received by a Recovering Finance
Party from a Transaction Obligor, as between the relevant Transaction Obligor and the Recovering Finance Party, an amount of the Recovered Amount equal to the Sharing Payment will be treated as not having been paid by that Transaction Obligor. 

 

	33.4	 Reversal of redistribution 

If any part of the Sharing Payment received or recovered by a Recovering Finance Party becomes repayable and is repaid by that Recovering
Finance Party, then: 
  

	(a)	 each Sharing Finance Party shall, upon request of the Facility Agent, pay to the Facility Agent for the account
of that Recovering Finance Party an amount equal to the appropriate part of its share of the Sharing Payment (together with an amount as is necessary to reimburse that Recovering Finance Party for its proportion of any interest on the Sharing
Payment which that Recovering Finance Party is required to pay) (the “Redistributed Amount”); and 

  

	(b)	 as between the relevant Transaction Obligor and each relevant Sharing Finance Party, an amount equal to the
relevant Redistributed Amount will be treated as not having been paid by that Transaction Obligor. 

  

	33.5	 Exceptions 

  

	(a)	 This Clause 33 (Sharing among the Finance Parties) shall not apply to the extent that the Recovering
Finance Party would not, after making any payment pursuant to this Clause, have a valid and enforceable claim against the relevant Transaction Obligor. 

  

	(b)	 A Recovering Finance Party is not obliged to share with any other Finance Party any amount which the Recovering
Finance Party has received or recovered as a result of taking legal or arbitration proceedings, if: 

  

	 	(i)	 it notified that other Finance Party of the legal or arbitration proceedings; and 

 

	 	(ii)	 that other Finance Party had an opportunity to participate in those legal or arbitration proceedings but did
not do so as soon as reasonably practicable having received notice and did not take separate legal or arbitration proceedings. 

  
 136 

 SECTION 11 

ADMINISTRATION 
  

	34	 PAYMENT MECHANICS 

 

	34.1	 Payments to the Facility Agent 

 

	(a)	 On each date on which a Transaction Obligor or a Lender is required to make a payment under a Finance Document,
that Transaction Obligor or Lender shall make an amount equal to such payment available to the Facility Agent (unless a contrary indication appears in a Finance Document) for value on the due date at the time and in such funds specified by the
Facility Agent as being customary at the time for settlement of transactions in the relevant currency in the place of payment. 

  

	(b)	 Payment shall be made to such account in the principal financial centre of the country of that currency (or, in
relation to euro, in a principal financial centre in such Participating Member State or London, as specified by the Facility Agent) and with such bank as the Facility Agent, in each case, specifies. 

 

	34.2	 Distributions by the Facility Agent 

Each payment received by the Facility Agent under the Finance Documents for another Party shall, subject to Clause 34.3 (Distributions to a
Transaction Obligor) and Clause 34.4 (Clawback and pre-funding) be made available by the Facility Agent as soon as practicable after receipt to the Party entitled to receive payment in accordance
with this Agreement (in the case of a Lender, for the account of its Facility Office), to such account as that Party may notify to the Facility Agent by not less than five Business Days’ notice with a bank specified by that Party in the
principal financial centre of the country of that currency (or, in relation to euro, in the principal financial centre of a Participating Member State or London), as specified by that Party or, in the case of an Advance, to such account of such
person as may be specified by the Borrowers in a Drawdown Request. 
  

	34.3	 Distributions to a Transaction Obligor 

The Facility Agent may (with the consent of the Transaction Obligor or in accordance with Clause 35
(Set-Off)) apply any amount received by it for that Transaction Obligor in or towards payment (on the date and in the currency and funds of receipt) of any amount due from that Transaction Obligor under
the Finance Documents or in or towards purchase of any amount of any currency to be so applied. 
  

	34.4	 Clawback and pre-funding 

 

	(a)	 Where a sum is to be paid to the Facility Agent under the Finance Documents for another Party, the Facility
Agent is not obliged to pay that sum to that other Party (or to enter into or perform any related exchange contract) until it has been able to establish to its satisfaction that it has actually received that sum. 

 

	(b)	 Unless paragraph (c) below applies, if the Facility Agent pays an amount to another Party and it proves to
be the case that the Facility Agent had not actually received that amount, then the Party to whom that amount (or the proceeds of any related exchange contract) was paid by the Facility Agent shall on demand refund the same to the Facility Agent
together with interest on that amount from the date of payment to the date of receipt by the Facility Agent, calculated by the Facility Agent to reflect its cost of funds. 

  
 137 

	(c)	 If the Facility Agent has notified the Lenders that it is willing to make available amounts for the account of
the Borrowers before receiving funds from the Lenders then if and to the extent that the Facility Agent does so but it proves to be the case that it does not then receive funds from a Lender in respect of a sum which it paid to the Borrowers:

  

	 	(i)	 the Facility Agent shall notify the Borrowers of the Lender’s identity and the Borrowers shall on demand
refund it to the Facility Agent; and 

  

	 	(ii)	 the Lender by whom those funds should have been made available or, if that Lender fails to do so, the Borrowers
shall on demand pay to the Facility Agent the amount (as certified by the Facility Agent) which will indemnify the Facility Agent against any funding cost incurred by it as a result of paying out that sum before receiving those funds from that
Lender. 

  

	34.5	 Application of receipts; partial payments 

 

	(a)	 If the Facility Agent or the Security Agent (as applicable) receives a payment that is insufficient to
discharge all the amounts then due and payable by a Transaction Obligor under the Finance Documents, the Facility Agent or the Security Agent (as applicable) shall apply that payment towards the obligations of that Transaction Obligor under the
Finance Documents in the following order: 

  

	 	(i)	 first, in or towards payment pro rata of any unpaid fees, costs and expenses of, and any other amounts
owing to, the Facility Agent, the Security Agent, any Receiver or any Delegate under the Finance Documents; 

  

	 	(ii)	 secondly, in or towards payment pro rata of any accrued interest and fees due but unpaid to the Lenders
under this Agreement; 

  

	 	(iii)	 thirdly, in or towards payment pro rata of any principal due but unpaid to the Lenders under this
Agreement; and 

  

	 	(iv)	 fourthly, in or towards payment pro rata of any other sum due to any Finance Party but unpaid under the
Finance Documents. 

  

	(b)	 The Facility Agent shall, if so directed by the Majority Lenders, vary, or instruct the Security Agent to vary
(as applicable), the order set out in sub-paragraphs (ii) to (iv) of paragraph (a) above. 

  

	(c)	 Paragraphs (a) and (b) above will override any appropriation made by a Transaction Obligor.

  

	34.6	 No set-off by Transaction Obligors 

All payments to be made by a Transaction Obligor under the Finance Documents shall be calculated and be made without (and free and clear of any
deduction for) set-off or counterclaim. 

  
 138 

	34.7	 Business Days 

 

	(a)	 Any payment under the Finance Documents which is due to be made on a day that is not a Business Day shall be
made on the next Business Day in the same calendar month (if there is one) or the preceding Business Day (if there is not). 

  

	(b)	 During any extension of the due date for payment of any principal or an Unpaid Sum under this Agreement
interest is payable on the principal or Unpaid Sum at the rate payable on the original due date. 

  

	34.8	 Currency of account 

 

	(a)	 Subject to paragraphs (b) and (c) below, dollars is the currency of account and payment for any sum due
from a Transaction Obligor under any Finance Document. 

  

	(b)	 Each payment in respect of costs, expenses or Taxes shall be made in the currency in which the costs, expenses
or Taxes are incurred. 

  

	(c)	 Any amount expressed to be payable in a currency other than dollars shall be paid in that other currency.

  

	34.9	 Change of currency 

 

	(a)	 Unless otherwise prohibited by law, if more than one currency or currency unit are at the same time recognised
by the central bank of any country as the lawful currency of that country, then: 

  

	 	(i)	 any reference in the Finance Documents to, and any obligations arising under the Finance Documents in, the
currency of that country shall be translated into, or paid in, the currency or currency unit of that country designated by the Facility Agent (after consultation with the Borrowers); and 

 

	 	(ii)	 any translation from one currency or currency unit to another shall be at the official rate of exchange
recognised by the central bank for the conversion of that currency or currency unit into the other, rounded up or down by the Facility Agent (acting reasonably). 

 

	(b)	 If a change in any currency of a country occurs, this Agreement will, to the extent the Facility Agent (acting
reasonably and after consultation with the Borrowers) specifies to be necessary, be amended to comply with any generally accepted conventions and market practice in the Relevant Interbank Market and otherwise to reflect the change in currency.

  

	34.10	 Currency Conversion 

 

	(a)	 For the purpose of, or pending any payment to be made by any Servicing Party under any Finance Document, such
Servicing Party may convert any moneys received or recovered by it from one currency to another, at a market rate of exchange. 

  

	(b)	 The obligations of any Transaction Obligor to pay in the due currency shall only be satisfied to the extent of
the amount of the due currency purchased after deducting the costs of conversion. 

  
 139 

	34.11	 Disruption to Payment Systems etc. 

If either the Facility Agent determines (in its discretion) that a Disruption Event has occurred or the Facility Agent is notified by the
Borrowers that a Disruption Event has occurred: 
  

	(a)	 the Facility Agent may, and shall if requested to do so by the Borrowers, consult with the Borrowers with a
view to agreeing with the Borrowers such changes to the operation or administration of the Facility as the Facility Agent may deem necessary in the circumstances; 

 

	(b)	 the Facility Agent shall not be obliged to consult with the Borrowers in relation to any changes mentioned in
paragraph (a) above if, in its opinion, it is not practicable to do so in the circumstances and, in any event, shall have no obligation to agree to such changes; 

 

	(c)	 the Facility Agent may consult with the Finance Parties in relation to any changes mentioned in paragraph
(a) above but shall not be obliged to do so if, in its opinion, it is not practicable to do so in the circumstances; 

  

	(d)	 any such changes agreed upon by the Facility Agent and the Borrowers shall (whether or not it is finally
determined that a Disruption Event has occurred) be binding upon the Parties and any Transaction Obligors as an amendment to (or, as the case may be, waiver of) the terms of the Finance Documents notwithstanding the provisions of Clause 43
(Amendments and Waivers); 

  

	(e)	 the Facility Agent shall not be liable for any damages, costs or losses to any person, any diminution in value
or any liability whatsoever (including, without limitation for negligence, gross negligence or any other category of liability whatsoever but not including any claim based on the fraud of the Facility Agent) arising as a result of its taking, or
failing to take, any actions pursuant to or in connection with this Clause 34.11 (Disruption to Payment Systems etc.); and 

  

	(f)	 the Facility Agent shall notify the Finance Parties of all changes agreed pursuant to paragraph (d) above.

  

	35	 SET-OFF 

A Finance Party may set off any matured obligation due from a Transaction Obligor under the Finance Documents (to the extent beneficially owned
by that Finance Party) against any matured obligation owed by that Finance Party to that Transaction Obligor, regardless of the place of payment, booking branch or currency of either obligation. If the obligations are in different currencies, the
Finance Party may convert either obligation at a market rate of exchange in its usual course of business for the purpose of the set-off. 

 

	36	 BAIL-IN 

Notwithstanding any other term of any Finance Document or any other agreement, arrangement or understanding between the parties to a Finance
Document, each Party acknowledges and accepts that any liability of any party to a Finance Document under or in connection with the Finance Documents may be subject to Bail-In Action by the relevant Resolution
Authority and acknowledges and accepts to be bound by the effect of: 

  
 140 

	(a)	 any Bail-In Action in relation to any such liability, including
(without limitation): 

  

	 	(i)	 a reduction, in full or in part, in the principal amount, or outstanding amount due (including any accrued but
unpaid interest) in respect of any such liability; 

  

	 	(ii)	 a conversion of all, or part of, any such liability into shares or other instruments of ownership that may be
issued to, or conferred on, it; and 

  

	 	(iii)	 a cancellation of any such liability; and 

 

	(b)	 a variation of any term of any Finance Document to the extent necessary to give effect to any Bail-In Action in relation to any such liability. 

  

	37	 NOTICES 

  

	37.1	 Communications in writing 

Any communication to be made under or in connection with the Finance Documents shall be made in writing and, unless otherwise stated, may be
made by fax or letter. 
  

	37.2	 Addresses 

The address and fax number (and the department or officer, if any, for whose attention the communication is to be made) of each Party for any
communication or document to be made or delivered under or in connection with the Finance Documents are: 
  

	(a)	 in the case of the Borrowers, that specified in Schedule 1 (The Parties); 

 

	(b)	 in the case of each Lender or any other Obligor, that specified in Schedule 1 (The Parties) or, if it
becomes a Party after the date of this Agreement, that notified in writing to the Facility Agent on or before the date on which it becomes a Party; 

  

	(c)	 in the case of the Facility Agent, that specified in Schedule 1 (The Parties); and

  

	(d)	 in the case of the Security Agent, that specified in Schedule 1 (The Parties), 

or any substitute address, fax number or department or officer as the Party may notify to the Facility Agent (or the Facility Agent may notify
to the other Parties, if a change is made by the Facility Agent) by not less than five Business Days’ notice. 
  

	37.3	 Delivery 

  

	(a)	 Any communication or document made or delivered by one person to another under or in connection with the
Finance Documents will only be effective: 

  

	 	(i)	 if by way of fax, when received in legible form; or 

 

	 	(ii)	 if by way of letter, when it has been left at the relevant address or five Business Days after being deposited
in the post postage prepaid in an envelope addressed to it at that address, 

 and, if a particular department or officer
is specified as part of its address details provided under Clause 37.2 (Addresses), if addressed to that department or officer. 

  
 141 

	(b)	 Any communication or document to be made or delivered to a Servicing Party will be effective only when actually
received by that Servicing Party and then only if it is expressly marked for the attention of the department or officer of that Servicing Party specified in Schedule 1 (The Parties) (or any substitute department or officer as that Servicing
Party shall specify for this purpose). 

  

	(c)	 All notices from or to a Transaction Obligor shall be sent through the Facility Agent unless otherwise
specified in any Finance Document. 

  

	(d)	 Any communication or document made or delivered to the Borrowers in accordance with this Clause will be deemed
to have been made or delivered to each of the Transaction Obligors. 

  

	(e)	 Any communication or document which becomes effective, in accordance with paragraphs (a) to (d) above,
after 5.00 p.m. in the place of receipt shall be deemed only to become effective on the following day. 

  

	37.4	 Notification of address and fax number 

Promptly upon receipt of notification of an address and fax number or change of address or fax number pursuant to Clause 37.2
(Addresses) or changing its own address or fax number, the Facility Agent shall notify the other Parties. 
  

	37.5	 Electronic communication 

 

	(a)	 Any communication to be made between any two Parties under or in connection with the Finance Documents may be
made by electronic mail or other electronic means (including, without limitation, by way of posting to a secure website) if those two Parties: 

  

	 	(i)	 notify each other in writing of their electronic mail address and/or any other information required to enable
the transmission of information by that means; and 

  

	 	(ii)	 notify each other of any change to their address or any other such information supplied by them by not less
than five Business Days’ notice. 

  

	(b)	 Any such electronic communication as specified in paragraph (a) above to be made between an Obligor and a
Finance Party may only be made in that way to the extent that those two Parties agree that, unless and until notified to the contrary, this is to be an accepted form of communication. Each Obligor and each Finance Party agreed that such electronic
communication is an accepted form of communication. 

  

	(c)	 Any such electronic communication as specified in paragraph (a) above made between any two Parties will be
effective only when actually received (or made available) in readable form and in the case of any electronic communication made by a Party to the Facility Agent or the Security Agent only if it is addressed in such a manner as the Facility Agent or
the Security Agent shall specify for this purpose. 

  

	(d)	 Any electronic communication which becomes effective, in accordance with paragraph (c) above, after 5.00
p.m. in the place in which the Party to whom the relevant communication is sent or made available has its address for the purpose of this Agreement shall be deemed only to become effective on the following day. 

 

	(e)	 Any reference in a Finance Document to a communication being sent or received shall be construed to include
that communication being made available in accordance with this Clause 37.5 (Electronic communication). 

  
 142 

	37.6	 English language 

 

	(a)	 Any notice given under or in connection with any Finance Document must be in English. 

 

	(b)	 All other documents provided under or in connection with any Finance Document must be: 

 

	 	(i)	 in English; or 

  

	 	(ii)	 if not in English, and if so required by the Facility Agent, accompanied by a certified English translation
prepared by a translator approved by the Facility Agent and, in this case, the English translation will prevail unless the document is a constitutional, statutory or other official document. 

 

	38	 CALCULATIONS AND CERTIFICATES 

 

	38.1	 Accounts 

In any litigation or arbitration proceedings arising out of or in connection with a Finance Document, the entries made in the accounts
maintained by a Finance Party are prima facie evidence of the matters to which they relate. 
  

	38.2	 Certificates and determinations 

Any certification or determination by a Finance Party of a rate or amount under any Finance Document is, in the absence of manifest error,
conclusive evidence of the matters to which it relates. 
  

	38.3	 Day count convention 

Any interest, commission or fee accruing under a Finance Document will accrue from day to day and is calculated on the basis of the actual
number of days elapsed and a year of 360 days or, in any case where the practice in the Relevant Interbank Market differs, in accordance with that market practice. 
  

	39	 PARTIAL INVALIDITY 

If, at any time, any provision of a Finance Document is or becomes illegal, invalid or unenforceable in any respect under any law of any
jurisdiction, neither the legality, validity or enforceability of the remaining provisions under the law of that jurisdiction nor the legality, validity or enforceability of such provision under the law of any other jurisdiction will in any way be
affected or impaired. 
  

	40	 REMEDIES AND WAIVERS 

No failure to exercise, nor any delay in exercising, on the part of any Creditor Party, any right or remedy under a Finance Document shall
operate as a waiver of any such right or remedy or constitute an election to affirm any Finance Document. No election to affirm any Finance Document on the part of a Creditor Party shall be effective unless it is in writing. No single or partial
exercise of any right or remedy shall prevent any further or other exercise or the exercise of any other right or remedy. The rights and remedies provided in each Finance Document are cumulative and not exclusive of any rights or remedies provided
by law. 

  
 143 

	41	 SETTLEMENT OR DISCHARGE CONDITIONAL 

Any settlement or discharge under any Finance Document between any Finance Party and any Transaction Obligor shall be conditional upon no
security or payment to any Finance Party by any Transaction Obligor or any other person being set aside, adjusted or ordered to be repaid, whether under any insolvency law or otherwise. 

 

	42	 IRREVOCABLE PAYMENT 

If the Facility Agent considers that an amount paid or discharged by, or on behalf of, a Transaction Obligor or by any other person in
purported payment or discharge of an obligation of that Transaction Obligor to a Creditor Party under the Finance Documents is capable of being avoided or otherwise set aside on the liquidation or administration of that Transaction Obligor or
otherwise, then that amount shall not be considered to have been unconditionally and irrevocably paid or discharged for the purposes of the Finance Documents. 
  

	43	 AMENDMENTS AND WAIVERS 

 

	43.1	 Required consents 

 

	(a)	 Subject to Clause 43.2 (All Lender matters) and Clause 43.3 (Other exceptions) any term of the
Finance Documents may be amended or waived only with the consent of the Majority Lenders and, in the case of an amendment, the Transaction Obligors and any such amendment or waiver will be binding on all Parties. 

 

	(b)	 The Facility Agent may effect, on behalf of any Finance Party, any amendment or waiver permitted by this Clause
43 (Amendments and Waivers). 

  

	(c)	 Without prejudice to the generality of Clause 30.8 (Rights and discretions), the Facility Agent may
engage, pay for and rely on the services of lawyers in determining the consent level required for and effecting any amendment, waiver or consent under this Agreement. 

 

	43.2	 All Lender matters 

Subject to Clause 43.4 (Replacement of Screen Rate), an amendment of or waiver or consent in relation to any term of any Finance
Document that has the effect of changing or which relates to: 
  

	(a)	 the definition of “Majority Lenders” in Clause 1.1 (Definitions); 

 

	(b)	 a postponement to or extension of the date of payment of any amount under the Finance Documents (other than in
relation to Clause 7.3 (Voluntary prepayment of Loan)) in respect of a prepayment made pursuant to Clause 25.2 (Provision of additional security; prepayment) or Clause 7.4 (Mandatory prepayment on sale, arrest or Total Loss);

  

	(c)	 a reduction in the Margin or the amount of any payment of principal, interest, fees or commission payable;

  

	(d)	 a change in currency of payment of any amount under the Finance Documents; 

  
 144 

	(e)	 an increase in any Commitment or the Total Commitments, an extension of any Availability Period or any
requirement that a cancellation of Commitments reduces the Commitments rateably under the Facility; 

  

	(f)	 a change to any Transaction Obligor; 

 

	(g)	 a change to the Approved Flag; 

 

	(h)	 a change to the Approved Classification Society; 

 

	(i)	 a change to Clause 2 (The Facility); 

 

	(j)	 any provision which expressly requires the consent of all the Lenders; 

 

	(k)	 this Clause 43 (Amendments and Waivers); 

 

	(l)	 any change to Clause 2 (The Facility), Clause 3 (Purpose), Clause 5 (Drawdown), Clause 6.2
(Effect of cancellation and prepayment on scheduled repayments), Clause 7.4 (Mandatory prepayment on sale, arrest or Total Loss), Clause 7.5 (Mandatory prepayment), Clause 8 (Interest), Clause 25.7 (Provision of
valuations), Clause 24.9 (Compliance with laws, etc.), Clause 24.12 (Sanctions and Vessel trading), Clause 24.13 (Sanctions, Anti-Corruption Laws and Anti-Money Laundering Laws), Clause 26 (Accounts and Application of
Earnings), Clause 28 (Changes to the Lenders), Clause 33 (Sharing among the Finance Parties), Clause 47 (Governing Law) or Clause 48 (Enforcement); 

 

	(m)	 any release of, or material variation to, any Transaction Security, guarantee, indemnity or subordination
arrangement set out in a Finance Document (except in the case of a release of Transaction Security as it relates to the disposal of an asset which is the subject of the Transaction Security and where such disposal is expressly permitted by the
Majority Lenders or otherwise under a Finance Document); 

  

	(n)	 (other than as expressly permitted by the provisions of any Finance Document) the nature or scope of:

  

	 	(i)	 the guarantee and indemnity granted under Clause 17 (Guarantee and Indemnity); 

 

	 	(ii)	 the Security Assets; or 

 

	 	(iii)	 the manner in which the proceeds of enforcement of the Transaction Security are distributed,

 (except in the case of sub-paragraphs (ii) and (iii) above, insofar as it
relates to a sale or disposal of an asset which is the subject of the Transaction Security where such sale or disposal is expressly permitted under this Agreement or any other Finance Document); 

 

	(o)	 the release of the guarantee and indemnity granted under Clause 17 (Guarantee and Indemnity) or of any
Transaction Security unless permitted under this Agreement or any other Finance Document or relating to a sale or disposal of an asset which is the subject of the Transaction Security where such sale or disposal is expressly permitted under this
Agreement or any other Finance Document, 

 shall not be made, or given, without the prior consent of all the Lenders. 

  
 145 

	43.3	 Other exceptions 

 

	(a)	 An amendment or waiver which relates to the rights or obligations of a Servicing Party or the Arranger or a
Reference Bank (each in their capacity as such) may not be effected without the consent of that Servicing Party, the Arranger or that Reference Bank, as the case may be. 

 

	(b)	 The Borrowers and the Facility Agent, the Arranger or the Security Agent, as applicable, may amend or waive a
term of a Fee Letter to which they are party. 

  

	43.4	 Replacement of Screen Rate 

 

	(a)	 Subject to Clause 43.3 (Other exceptions), if a Screen Rate Replacement Event has occurred in relation
to the Screen Rate for dollars any amendment or waiver which relates to: 

  

	 	(i)	 providing for the use of a Replacement Benchmark in relation to that currency in place of that Screen Rate; and

  

	 	(ii)	 

  

	 	(A)	 aligning any provision of any Finance Document to the use of that Replacement Benchmark; 

 

	 	(B)	 enabling that Replacement Benchmark to be used for the calculation of interest under this Agreement (including,
without limitation, any consequential changes required to enable that Replacement Benchmark to be used for the purposes of this Agreement); 

  

	 	(C)	 implementing market conventions applicable to that Replacement Benchmark; 

 

	 	(D)	 providing for appropriate fallback (and market disruption) provisions for that Replacement Benchmark; or

  

	 	(E)	 adjusting the pricing to reduce or eliminate, to the extent reasonably practicable, any transfer of economic
value from one Party to another as a result of the application of that Replacement Benchmark (and if any adjustment or method for calculating any adjustment has been formally designated, nominated or recommended by the Relevant Nominating Body, the
adjustment shall be determined on the basis of that designation, nomination or recommendation), 

 may be made with the
consent of the Facility Agent (acting on the instructions of the Majority Lenders) and the Borrowers. 
  

	(b)	 If any Lender fails to respond to a request for an amendment or waiver described in paragraph (a) above
within 2 Business Days (or such longer time period in relation to any request which the Borrowers and the Facility Agent may agree) of that request being made: 

 

	 	(i)	 its Commitment shall not be included for the purpose of calculating the Total Commitments when ascertaining
whether any relevant percentage of Total Commitments has been obtained to approve that request; and 

  

	 	(ii)	 its status as a Lender shall be disregarded for the purpose of ascertaining whether the agreement of any
specified group of Lenders has been obtained to approve that request. 

  
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	43.5	 Obligor Intent 

Without prejudice to the generality of Clauses 1.2 (Construction) and 17.4 (Waiver of defences) each Obligor expressly confirms
that it intends that any guarantee contained in this Agreement or any other Finance Document and any Security created by any Finance Document shall extend from time to time to any (however fundamental) variation, increase, extension or addition of
or to any of the Finance Documents and/or any facility or amount made available under any of the Finance Documents for the purposes of or in connection with any of the following: business acquisitions of any nature; increasing working capital;
enabling investor distributions to be made; carrying out restructurings; refinancing existing facilities; refinancing any other indebtedness; making facilities available to new borrowers; any other variation or extension of the purposes for which
any such facility or amount might be made available from time to time; and any fees, costs and/or expenses associated with any of the foregoing. 
  

	44	 CONFIDENTIAL INFORMATION 

 

	44.1	 Confidentiality 

Each Finance Party agrees to keep all Confidential Information confidential and not to disclose it to anyone, save to the extent permitted by
Clause 44.2 (Disclosure of Confidential Information) and Clause 44.3 (Disclosure to numbering service providers) and to ensure that all Confidential Information is protected with security measures and a degree of care that would apply
to its own confidential information. 
  

	44.2	 Disclosure of Confidential Information 

Any Finance Party may disclose: 
  

	(a)	 to any of its Affiliates and Related Funds and any of its or their officers, directors, employees, professional
advisers, auditors, insurers, insurance advisors, insurance brokers, partners and Representatives such Confidential Information as that Finance Party shall consider appropriate if any person to whom the Confidential Information is to be given
pursuant to this paragraph (a) is informed in writing of its confidential nature and that some or all of such Confidential Information may be price-sensitive information except that there shall be no such requirement to so inform if the
recipient is subject to professional obligations to maintain the confidentiality of the information or is otherwise bound by requirements of confidentiality in relation to the Confidential Information; 

 

	(b)	 to any person: 

  

	 	(i)	 to (or through) whom it assigns or transfers (or may potentially assign or transfer) all or any of its rights
and/or obligations under one or more Finance Documents or which succeeds (or which may potentially succeed) it as Facility Agent or Security Agent and, in each case, to any of that person’s Affiliates, Related Funds, Representatives and
professional advisers; 

  
 147 

	 	(ii)	 with (or through) whom it enters into (or may potentially enter into), whether directly or indirectly, any sub-participation in relation to, or any other transaction including a securitisation under which payments are to be made or may be made by reference to, one or more Finance Documents and/or one or more Transaction
Obligors and to any of that person’s Affiliates, Related Funds, Representatives and professional advisers; 

  

	 	(iii)	 appointed by any Finance Party or by a person to whom sub-paragraph
(i) or (ii) of paragraph (b) above applies to receive communications, notices, information or documents delivered pursuant to the Finance Documents on its behalf (including, without limitation, any person appointed under paragraph
(b) of Clause 30.15 (Relationship with the other Finance Parties)); 

  

	 	(iv)	 who invests in or otherwise finances (or may potentially invest in or otherwise finance), directly or
indirectly, any transaction referred to in sub-paragraph (i) or (ii) of paragraph (b) above; 

  

	 	(v)	 to whom information is required or requested to be disclosed by any court of competent jurisdiction or any
governmental, banking, taxation or other regulatory authority or similar body, the rules of any relevant stock exchange or pursuant to any applicable law or regulation including any applicable data protection laws; 

 

	 	(vi)	 to whom information is required to be disclosed in connection with, and for the purposes of, any litigation,
arbitrations, administrative or other investigations, proceedings or disputes; 

  

	 	(vii)	 to whom or for whose benefit that Finance Party charges, assigns or otherwise creates Security (or may do so)
pursuant to Clause 28.8 (Security over Lenders’ rights); 

  

	 	(viii)	 who is a Party, a member of the Group or any related entity of a Transaction Obligor; 

 

	 	(ix)	 as a result of the registration of any Finance Document as contemplated by any Finance Document or any legal
opinion obtained in connection with any Finance Document; or 

  

	 	(x)	 with the consent of the Guarantor; 

in each case, such Confidential Information as that Finance Party shall consider appropriate if: 

 

	 	(A)	 in relation to sub-paragraphs (i), (ii) and (iii) of paragraph
(b) above, the person to whom the Confidential Information is to be given has entered into a Confidentiality Undertaking except that there shall be no requirement for a Confidentiality Undertaking if the recipient is a professional adviser and
is subject to professional obligations to maintain the confidentiality of the Confidential Information; 

  

	 	(B)	 in relation to sub-paragraph (iv) of paragraph (b) above, the
person to whom the Confidential Information is to be given has entered into a Confidentiality Undertaking or is otherwise bound by requirements of confidentiality in relation to the Confidential Information they receive and is informed that some or
all of such Confidential Information may be price-sensitive information; 

  
 148 

	 	(C)	 in relation to sub-paragraphs (v), (vi) and (vii) of paragraph
(b) above, the person to whom the Confidential Information is to be given is informed of its confidential nature and that some or all of such Confidential Information may be price-sensitive information except that there shall be no requirement
to so inform if, in the opinion of that Finance Party, it is not practicable so to do in the circumstances; 

  

	(c)	 to any person appointed by that Finance Party or by a person to whom
sub-paragraph (i) or (ii) of paragraph (b) above applies to provide administration or settlement services in respect of one or more of the Finance Documents including without limitation, in relation
to the trading of participations in respect of the Finance Documents, such Confidential Information as may be required to be disclosed to enable such service provider to provide any of the services referred to in this paragraph (c) if the
service provider to whom the Confidential Information is to be given has entered in to a confidentiality agreement substantially in the form of the LMA Master Confidentiality Undertaking for Use With Administration/Settlement Service Providers or
such other form of confidentiality undertaking agreed between the Borrowers and the relevant Finance Party; and 

  

	(d)	 to any rating agency (including its professional advisers) such Confidential Information as may be required to
be disclosed to enable such rating agency to carry out its normal rating activities in relation to the Finance Documents and/or the Transaction Obligors if the rating agency to whom the Confidential Information is to be given is informed of its
confidential nature and that some or all of such Confidential Information may be price-sensitive information, 

 provided that such
disclosure would not constitute a breach of any rules and regulations of the SEC and the rules of the public stock exchange in which the Guarantor is listed (on the same basis if such disclosure had been made by the Guarantor). 

Any non-disclosure undertaking contained herein shall not prevent the Guarantor from disclosing any information
required to be disclosed by law, regulation or any governmental or competent regulatory authority (including without limitation, any securities exchange), provided that, to the extent reasonably practicable, the Guarantor shall inform the Facility
Agent on the proposed form, timing, nature and purpose of the disclosure. 
  

	44.3	 Disclosure to numbering service providers 

 

	(a)	 Any Finance Party may disclose to any national or international numbering service provider appointed by that
Finance Party to provide identification numbering services in respect of this Agreement, the Facility and/or one or more Transaction Obligors the following information: 

 

	 	(i)	 names of Transaction Obligors; 

 

	 	(ii)	 country of domicile of Transaction Obligors; 

 

	 	(iii)	 place of incorporation of Transaction Obligors; 

 

	 	(iv)	 date of this Agreement; 

 

	 	(v)	 Clause 47 (Governing Law); 

 

	 	(vi)	 the name of the Facility Agent; 

  
 149 

	 	(vii)	 date of each amendment and restatement of this Agreement; 

 

	 	(viii)	 amount of Total Commitments; 

 

	 	(ix)	 currency of the Facility; 

 

	 	(x)	 type of Facility; 

  

	 	(xi)	 ranking of Facility; 

 

	 	(xii)	 Maturity Date of the Facility; 

 

	 	(xiii)	 changes to any of the information previously supplied pursuant to
sub-paragraphs (i) to (xii) above; and 

  

	 	(xiv)	 such other information agreed between such Finance Party and the Borrowers, 

to enable such numbering service provider to provide its usual syndicated loan numbering identification services. 

 

	(b)	 The Parties acknowledge and agree that each identification number assigned to this Agreement, the Facility
and/or one or more Transaction Obligors by a numbering service provider and the information associated with each such number may be disclosed to users of its services in accordance with the standard terms and conditions of that numbering service
provider. 

  

	(c)	 Each Obligor represents, on behalf of itself and the other Transaction Obligors, that none of the information
set out in sub-paragraphs (i) to (xiv) of paragraph (a) above is, nor will at any time be, unpublished price-sensitive information. 

 

	(d)	 The Facility Agent shall notify the Guarantor and the other Finance Parties of: 

 

	 	(i)	 the name of any numbering service provider appointed by the Facility Agent in respect of this Agreement, the
Facility and/or one or more Transaction Obligors; and 

  

	 	(ii)	 the number or, as the case may be, numbers assigned to this Agreement, the Facility and/or one or more
Transaction Obligors by such numbering service provider. 

  

	44.4	 Entire agreement 

This Clause 44 (Confidential Information) constitutes the entire agreement between the Parties in relation to the obligations of the
Finance Parties under the Finance Documents regarding Confidential Information and supersedes any previous agreement, whether express or implied, regarding Confidential Information. 

 

	44.5	 Inside information 

Each of the Finance Parties acknowledges that some or all of the Confidential Information is or may be price-sensitive information and that the
use of such information may be regulated or prohibited by applicable legislation including securities law relating to insider dealing and market abuse and each of the Finance Parties undertakes not to use any Confidential Information for any
unlawful purpose. 

  
 150 

	44.6	 Notification of disclosure 

Each of the Finance Parties agrees (to the extent permitted by law and regulation) to inform the Borrowers: 

 

	(a)	 of the circumstances of any disclosure of Confidential Information made pursuant to sub-paragraph (v) of paragraph (b) of Clause 44.2 (Disclosure of Confidential Information) except where such disclosure is made to any of the persons referred to in that paragraph during the
ordinary course of its supervisory or regulatory function; and 

  

	(b)	 upon becoming aware that Confidential Information has been disclosed in breach of this Clause 44
(Confidential Information). 

  

	44.7	 Continuing obligations 

The obligations in this Clause 44 (Confidential Information) are continuing and, in particular, shall survive and remain binding on each
Finance Party for a period of 12 months from the earlier of: 
  

	(a)	 the date on which all amounts payable by the Obligors under or in connection with this Agreement have been paid
in full and all Commitments have been cancelled or otherwise cease to be available; and 

  

	(b)	 the date on which such Finance Party otherwise ceases to be a Finance Party. 

 

	45	 CONFIDENTIALITY OF FUNDING RATES AND REFERENCE BANK QUOTATIONS 

 

	45.1	 Confidentiality and disclosure 

 

	(a)	 The Facility Agent and each Obligor agree to keep each Funding Rate (and, in the case of the Facility Agent,
each Reference Bank Quotation) confidential and not to disclose it to anyone, save to the extent permitted by paragraphs (b), (c), (d) and (e) below. 

  

	(b)	 The Facility Agent may disclose: 

 

	 	(i)	 any Funding Rate (but not, for the avoidance of doubt, any Reference Bank Quotation) to the Borrower pursuant
to Clause 8.4 (Notification of rates of interest); and 

  

	 	(ii)	 any Funding Rate or any Reference Bank Quotation to any person appointed by it to provide administration
services in respect of one or more of the Finance Documents to the extent necessary to enable such service provider to provide those services if the service provider to whom that information is to be given has entered into a confidentiality
agreement substantially in the form of the LMA Master Confidentiality Undertaking for Use With Administration/Settlement Service Providers or such other form of confidentiality undertaking agreed between the Facility Agent and the relevant Lender or
Reference Bank, as the case may be. 

  

	(c)	 The Facility Agent may disclose any Funding Rate or any Reference Bank Quotation, and each Obligor may disclose
any Funding Rate, to: 

  
 151 

	 	(i)	 any of its Affiliates and any of its or their officers, directors, employees, professional advisers, auditors,
partners and Representatives if any person to whom that Funding Rate or Reference Bank Quotation is to be given pursuant to this sub-paragraph (i) is informed in writing of its confidential nature and
that it may be price sensitive information except that there shall be no such requirement to so inform if the recipient is subject to professional obligations to maintain the confidentiality of that Funding Rate or Reference Bank Quotation or is
otherwise bound by requirements of confidentiality in relation to it; 

  

	 	(ii)	 any person to whom information is required or requested to be disclosed by any court of competent jurisdiction
or any governmental, banking, taxation or other regulatory authority or similar body, the rules of any relevant stock exchange or pursuant to any applicable law or regulation if the person to whom that Funding Rate or Reference Bank Quotation is to
be given is informed in writing of its confidential nature and that it may be price sensitive information except that there shall be no requirement to so inform if, in the opinion of the Facility Agent or the relevant Obligor, as the case may be, it
is not practicable to do so in the circumstances; 

  

	 	(iii)	 any person to whom information is required to be disclosed in connection with, and for the purposes of, any
litigation, arbitration, administrative or other investigations, proceedings or disputes if the person to whom that Funding Rate or Reference Bank Quotation is to be given is informed in writing of its confidential nature and that it may be price
sensitive information except that there shall be no requirement to so inform if, in the opinion of the Facility Agent or the relevant Obligor, as the case may be, it is not practicable to do so in the circumstances; and 

 

	 	(iv)	 any person with the consent of the relevant Lender or Reference Bank, as the case may be.

  

	(d)	 The Facility Agent’s obligations in this Clause 45 (Confidentiality of Funding Rates and Reference Bank
Quotations) relating to Reference Bank Quotations are without prejudice to its obligations to make notifications under Clause 8.4 (Notification of rates of interest) provided that (other than pursuant to sub-paragraph (i) of paragraph (b) above) the Facility Agent shall not include the details of any individual Reference Bank Quotation as part of any such notification. 

 

	(e)	 The Guarantor may disclose such information as is required in connection with the Guarantor’s reporting
obligations under or in connection with the rules and regulations of the SEC and the rules of the public stock exchange in which the Guarantor is listed. 

  

	45.2	 Related obligations 

 

	(a)	 The Facility Agent and each Obligor acknowledge that each Funding Rate (and, in the case of the Facility Agent,
each Reference Bank Quotation) is or may be price sensitive information and that its use may be regulated or prohibited by applicable legislation including securities law relating to insider dealing and market abuse and the Facility Agent and each
Obligor undertake not to use any Funding Rate or, in the case of the Facility Agent, any Reference Bank Quotation for any unlawful purpose. 

  

	(b)	 The Facility Agent and each Obligor agree (to the extent permitted by law and regulation) to inform the
relevant Lender or Reference Bank, as the case may be: 

  

	 	(i)	 of the circumstances of any disclosure made pursuant to sub-paragraph
(ii) of paragraph (c) of Clause 45.1 (Confidentiality and disclosure) except where such disclosure is made to any of the persons referred to in that paragraph during the ordinary course of its supervisory or regulatory function; and

  
 152 

	 	(ii)	 upon becoming aware that any information has been disclosed in breach of this Clause 45 (Confidentiality of
Funding Rates and Reference Bank Quotations). 

  

	45.3	 No Event of Default 

No Event of Default will occur under Clause 27.4 (Other obligations) by reason only of an Obligor’s failure to comply with this
Clause 45 (Confidentiality of Funding Rates and Reference Bank Quotations). 
  

	46	 COUNTERPARTS 

Each Finance Document may be executed in any number of counterparts, and this has the same effect as if the signatures on the counterparts were
on a single copy of the Finance Document. 

  
 153 

 SECTION 12 

GOVERNING LAW AND ENFORCEMENT 
  

	47	 GOVERNING LAW 

This Agreement and any non-contractual obligations arising out of or in connection with it are governed
by English law. 
  

	48	 ENFORCEMENT 

  

	48.1	 Jurisdiction 

  

	(a)	 The courts of England have exclusive jurisdiction to settle any dispute arising out of or in connection with
this Agreement (including a dispute regarding the existence, validity or termination of this Agreement or any non-contractual obligation arising out of or in connection with this Agreement) (a
“Dispute”). 

  

	(b)	 The Obligors accept that the courts of England are the most appropriate and convenient courts to settle
Disputes and accordingly no Obligor will argue to the contrary. 

  

	(c)	 This Clause 48.1 (Jurisdiction) is for the benefit of the Creditor Parties only. As a result, no
Creditor Party shall be prevented from taking proceedings relating to a Dispute in any other courts with jurisdiction. To the extent allowed by law, the Creditor Parties may take concurrent proceedings in any number of jurisdictions.

  

	48.2	 Service of process 

 

	(a)	 Without prejudice to any other mode of service allowed under any relevant law, each Transaction Obligor (other
than a Transaction Obligor incorporated in England and Wales): 

  

	 	(i)	 irrevocably appoints Hill Dickinson LLP at its current address at The Broadgate Tower, 20 Primrose Street,
London EC2A 2EW, England, as its agent for service of process in relation to any proceedings before the English courts in connection with any Finance Document; and 

 

	 	(ii)	 agrees that failure by a process agent to notify the relevant Obligor of the process will not invalidate the
proceedings concerned. 

  

	(b)	 If any person appointed as an agent for service of process is unable for any reason to act as agent for service
of process, the Borrowers (on behalf of all the Transaction Obligors) must immediately (and in any event within seven days of such event taking place) appoint another agent on terms acceptable to the Facility Agent. Failing this, the Facility Agent
may appoint another agent for this purpose. 

 This Agreement has been entered into on the date stated at the beginning of this
Agreement. 
  

  
 154 

 EXECUTION PAGES 

 

			
	BORROWERS	  	
		
	SIGNED by	  	) /s/ Strati Sakellariou
	duly authorised	  	) Attorney-in-fact
	for and on behalf of	  	)
	KOHYLIA SHIPMANAGEMENT S.A.	  	)
	in the presence of:	  	)
		
	Witness’ signature:	  	) /s/ Aikaterina Dimitriou
	Witness’ name:	  	)
	Witness’ address:	  	) Watson Farley & Williams
		  	    348 Syngrou Avenue
		  	    17674 Kallithea
		  	    Athens, Greece
		
	SIGNED by	  	) /s/ Strati Sakellariou
	duly authorised	  	) Attorney-in-fact
	for and on behalf of	  	)
	FLORAL MARINE LTD.	  	)
	in the presence of:	  	)
		
	Witness’ signature:	  	) /s/ Aikaterina Dimitriou
	Witness’ name:	  	)
	Witness’ address:	  	) Watson Farley & Williams
		  	    348 Syngrou Avenue
		  	    17674 Kallithea
		  	    Athens, Greece
		
	SIGNED by	  	) /s/ Strati Sakellariou
	duly authorised	  	) Attorney-in-fact
	for and on behalf of	  	)
	IANTHE MARITIME S.A.	  	)
	in the presence of:	  	)
		
	Witness’ signature:	  	) /s/ Aikaterina Dimitriou
	Witness’ name:	  	)
	Witness’ address:	  	) Watson Farley & Williams
		  	    348 Syngrou Avenue
		  	    17674 Kallithea
		  	    Athens, Greece
		
	SIGNED by	  	) /s/ Strati Sakellariou
	duly authorised	  	) Attorney-in-fact
	for and on behalf of	  	)
	CUSTOMIZED DEVELOPMENT S.A.	  	)
	in the presence of:	  	)
		
	Witness’ signature:	  	) /s/ Aikaterina Dimitriou
	Witness’ name:	  	)
	Witness’ address:	  	) Watson Farley & Williams
		  	    348 Syngrou Avenue
		  	    17674 Kallithea
		  	    Athens, Greece

					
	 GUARANTOR
	  		  	
			
	 SIGNED by
	  		  	) /s/ Strati Sakellariou
	 duly authorised
	  		  	) Attorney-in-fact
	 for and on behalf of
	  		  	)
	 NAVIOS MARITIME PARTNERS L.P.
	  		  	)
	 in the presence of:
	  		  	)
			
	 Witness’ signature:
	  		  	) /s/ Aikaterina Dimitriou
	 Witness’ name:
	  		  	)
	 Witness’ address:
	  		  	) Watson Farley & Williams
		  		  	     348 Syngrou Avenue
		  		  	    17674 Kallithea
		  		  	    Athens, Greece
			
	 ORIGINAL LENDERS
	  		  	
			
	 SIGNED for and on behalf of
	  	)        	  	/s/ Christina Economides
	 DVB BANK SE, AMSTERDAM BRANCH
	  	)	  	________________________________
	 as
attorney-in-fact:
	  	)	  	________________________________
			
	 ARRANGER
	  		  	
			
	 SIGNED for and on behalf of
	  	)	  	/s/ Christina Economides
	 DVB BANK SE, AMSTERDAM BRANCH
	  	)	  	________________________________
	 as
attorney-in-fact:
	  	)	  	________________________________
			
	 FACILITY AGENT
	  		  	
			
	 SIGNED for and on behalf of
	  	)	  	/s/ Christina Economides
	 DVB BANK SE, AMSTERDAM BRANCH
	  	)	  	________________________________
	 as
attorney-in-fact:
	  	)	  	________________________________
			
	 ARRANGER
	  		  	
			
	 SIGNED for and on behalf of
	  	)	  	/s/ Christina Economides
	 DVB BANK SE, AMSTERDAM BRANCH
	  	)	  	________________________________
	 as
attorney-in-fact:
	  	)	  	________________________________

					
			
	 ACCOUNT BANK
	  		  	
			
	 SIGNED for and on behalf of
	  	)        	  	/s/ Christina Economides
	 DVB BANK SE
	  	) 	  	_______________________________
	
as attorney-in-fact:
	  	)	  	________________________________

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