Document:

Guarantee Issuance Facility Agreement

 Exhibit 10.2 
  
 EXECUTION COPY 
  
 DATED JUNE 21, 2004 
  
 KULICKE & SOFFA (S.E.A.) PTE. LTD. 
 (Registration No. 199503535R) 
 as Borrower 
  
 NATEXIS BANQUES POPULAIRES, SINGAPORE BRANCH 
 as Issuing Bank 
  
 NATEXIS BANQUES POPULAIRES, SINGAPORE BRANCH 
 and 
 ARAB BANK plc, SINGAPORE BRANCH

 as Initial Lenders 
  
 NATEXIS BANQUES POPULAIRES, SINGAPORE BRANCH 
 as Facility Agent 
  
 NATEXIS BANQUES POPULAIRES,
SINGAPORE BRANCH 
 as Security Agent 
  
 GUARANTEE ISSUANCE FACILITY AGREEMENT 
 US$17,000,000 
  
 BAKER & McKENZIE.WONG & LEOW

 1 Temasek Avenue #27-01 
 Millenia Tower 
 Singapore 039192 
 Telephone: (65) 6338 1888 
 Facsimile: (65) 6337 5100 

 CONTENTS 
  

					
	 Number

	  	 Clause Heading

	  	Page

	 1.
	  	Interpretation	  	1
	 2.
	  	The Facility	  	7
	 3.
	  	Conditions Precedent	  	8
	 4.
	  	Issue of Guarantee	  	11
	 5.
	  	Indemnities	  	13
	 6.
	  	Change of Law or Circumstances	  	16
	 7.
	  	Taxes and Other Deductions	  	17
	 8.
	  	Fees and Expenses	  	17
	 9.
	  	Payments and Evidence of Debt	  	19
	 10.
	  	Representations and Warranties	  	21
	 11.
	  	Undertakings	  	23
	 12.
	  	Events of Default	  	28
	 13.
	  	Default Interest	  	31
	 14.
	  	Set-off and Pro Rata Sharing	  	31
	 15.
	  	The Finance Parties	  	32
	 16.
	  	Amendment	  	39
	 17.
	  	Waiver and Severability	  	40
	 18.
	  	Miscellaneous	  	40
	 19.
	  	Assignment and Lending Offices	  	40
	 20.
	  	Notices	  	42
	 21.
	  	Governing Law and Jurisdiction	  	43
			
	 Schedules
	  	 	  	 
			
	 Schedule 1
	  	The Initial Lenders	  	44
	 Schedule 2
	  	Financial Undertakings	  	45
	 Schedule 3
	  	The Charged Accounts	  	48
			
	Execution	  	 	  	49
			
	 Appendix 1
	  	Form of Guarantee Request	  	51

 THIS AGREEMENT is made on the 21 day of June 2004 
  
 BETWEEN: 
  
 (1) KULICKE & SOFFA (S.E.A.) PTE. LTD., a company incorporated in Singapore (Registration No. 199503535R) whose registered office is at 6 Serangoon North Avenue 5,
#03-16, Singapore 554910 as borrower (the “Borrower”); 
  
 (2) NATEXIS
BANQUES POPULAIRES, SINGAPORE BRANCH as issuing bank (in such capacity, the “Issuing Bank”); 
  
 (3) NATEXIS BANQUES POPULAIRES, SINGAPORE BRANCH and ARAB BANK plc, SINGAPORE BRANCH whose addresses are set out in Schedule 1 (each an “Initial Lender” and collectively, the “Initial Lenders”);

  
 (4) NATEXIS BANQUES POPULAIRES, SINGAPORE BRANCH as facility agent acting for
and on behalf of the Finance Parties (in such capacity, the “Facility Agent”); and 
  
 (5) NATEXIS BANQUES POPULAIRES, SINGAPORE BRANCH as security agent and trustee acting for and on behalf of the Finance Parties (in such capacity, the “Security Agent”). 
  
 IT IS AGREED as follows: 
  
 1. Interpretation 
  
 1.1 Definitions. In this Agreement, unless the context requires otherwise: 
  
 “Acceptance Date” means 15 March 2004. 
  
 “ACRA” means the Accounting Corporate Regulatory Authority of Singapore (formerly known as the Registry of Companies and Businesses of Singapore). 

 
 “AFW” means American Fine Wire Limited, a corporation established under the laws
of the Cayman Islands acting through its Singapore Branch at 5002 Ang Mo Kio Avenue 5, #04-05, Techplace II Singapore 569871. 
  
 “AFW Debenture” means the charge dated 31 December 1992 (registered as Charge No. 9300051) and executed by AFW in favour of Rothschild pursuant to which AFW had
charged and assigned certain of its existing and future assets in favour of Rothschild to secure all the obligations expressed to be secured therein and upon the terms and conditions set out therein. 
  
 “AFW Further Debenture” means the charge dated 2 October 1995 (registered as Charge
No. 9506220) and executed by AFW in favour of Rothschild pursuant to which AFW had charged and assigned certain of its existing and future assets in favour of Rothschild to secure all the obligations expressed to be secured therein and upon the
terms and conditions set out therein. 
  

 1 

 “AFW Payables Amount” means the purchase consideration of S$48,420,000 due and payable by the Borrower to AFW
under the AFW Purchase Agreement. 
  
 “AFW Purchase Agreement” means the
sale and purchase agreement dated 21 June 2004 and made between AFW and the Borrower under which AFW has agreed to sell to the Borrower, and the Borrower has agreed to purchase from AFW, the business of AFW carried on in Singapore through its
Singapore registered branch, including the business of AFW carried on under AFW’s name and under the business name, “K&S Packaging Materials”, upon the terms and conditions set out therein. 
  
 “Availability Period” means the period commencing on the date of this Agreement and
ending on the earlier of (a) the date twenty-four (24) months after the date of this Agreement and (b) the date on which the Facility is fully utilized or terminated under the provisions of this Agreement. 
  
 “Beneficiary” means AGR Matthey (ABN 33 824 096 614), being a partnership between
WA Mint (ABN 44 590 221 751) (The Perth Mint), Australian Gold Alliance Pty Ltd (ABN 67 095 743 703) and Johnson Matthey (Aust) Ltd (ABN 62 004 146 838), of Horrie Miller Drive, Newburn, Western Australia. 
  
 “Business Day” means a day (excluding Saturday) on which banks are open for
business in Singapore and, if on that day a payment is to be made under this Agreement, in New York City. 
  
 “Charged Accounts” means collectively, all the Dollar and Singapore Dollar denominated accounts of the Borrower and/or K&S Packaging Materials (as the case may be) with the Facility Agent more
particularly described in Schedule 3 into which the proceeds of the getting in or realisation of the Receivables (as such term is defined in the Debenture) are to be paid from time to time and all additions to or renewals or replacements thereof (in
whatever currency) and: 
  
 (i) all sums now or in future deposited thereto;

  
 (ii) all interest or other sums which may accrue from time to time thereon;
and 
  
 (iii) all rights of the Borrower and/or K&S Packaging Materials to
repayment of any of the foregoing by the Facility Agent. 
  
 “Commitment” means, in relation to each Initial Lender, the principal amount set opposite the Initial Lender’s name in Schedule 1 and, in relation to each New Lender, the amount indicated as its Commitment in the Facility in
the relevant assignment document, in each case as reduced by its Participation in the Guarantee(s) issued from time to time, an assignment and/or transfer made by it pursuant to Clause 19.3 (Assignment and Transfer by Lender) or otherwise in
accordance with this Agreement, being the maximum amount from time to time which that Lender is committed to make available under the Facility. 
  

 2 

 “Contingent Liability” means, at any relevant time, the aggregate amount payable or which may become payable
under any outstanding Guarantee. 
  
 “Debenture” means the debenture
incorporating a fixed and floating charge and assignment of insurances executed or to be executed by the Borrower in favour of the Security Agent over all of Borrower’s existing and future assets, and which shall be in form and substance
satisfactory to the Security Agent. 
  
 “Dollars” and “US$”
mean the lawful currency for the time being of the United States of America. 
  
 “Encumbrance” means: 
  
 (a) any mortgage, charge, pledge,
lien, encumbrance, hypothecation or other security interest or security arrangement of any kind; 
  
 (b) any arrangement whereby any rights are subordinated to any rights of any third party; and 
  
 (c) any contractual right of set-off; and 
  
 (d) the interest of a vendor or lessor under any conditional sale agreement, lease, hire purchase agreement or other title retention arrangement other than an interest in
a lease or hire purchase agreement which arose in the ordinary course of business. 
  
 “Event of Default” means any event or circumstance specified as such in Clause 12 (Events of Default). 
  
 “Facility” means the guarantee facility to be made available under this Agreement. 
  
 “Final Expiry Date” means the date falling twenty-four (24) months after the date of the issue of the first Guarantee. 

 
 “Finance Documents” means this Agreement, any Security Document and any other
document designated as such by the Facility Agent and the Borrower and “Finance Document” means any one of them. 
  
 “Finance Parties” means the Facility Agent, the Security Agent, the Issuing Bank and the Lenders and “Finance Party” means any one of them.

  
 “Gold” means any gold metals in any physical form (including without
limitation, in the form of granule, scrap, bar or wire). 
  
 “Gold
Inventories” means all Gold and products and other materials (whether in completed form, semi-completed form or otherwise) derived or manufactured from Gold or have a gold content now or at any time hereafter belonging to the Borrower and
whether located at the Borrower’s premises or elsewhere (including without limitation, work-in-progress, finished goods, semi-finished goods, inventories and raw materials). 
  

 3 

 “Gold PM Fix” means the Gold price in Dollars as determined by the London Bullion Market Association Fixing
Members at 3 pm (London time) daily and displayed as such on Reuters. 
  
 “Group” means the Borrower and its Subsidiaries for the time being. 
  
 “Guarantee” means a guarantee issued or to be issued by the Issuing Bank in respect of the obligations of the Borrower under the SBFMA. 
  
 “Guarantee Period” means the period commencing on the date of the issue of the first Guarantee and ending on the date twenty-four (24) months after such date.

  
 “Guarantee Request” means an issue request in the form set out in
Appendix 1. 
  
 “K&S Packaging Materials” means K&S Packaging
Materials (Registration No. 52868080C) of 5002 Ang Mo Kio Avenue 5, #04-05, Techplace II, Singapore 569871, a sole proprietorship of which the Borrower is the sole proprietor. 
  
 “Lenders” means: 
  
 (a) the Initial Lenders; and 
  
 (b) each New Lender, 
  
 provided that, if a
Lender does not have either a Commitment or a Participation in the Loan, it shall cease to be a Lender for the purposes of any provision of this Agreement which might otherwise require any person to consult or obtain a consent from or comply with an
instruction of that Lender. 
  
 “Lending Office” means: 
  
 (a) in relation to the Initial Lenders, their respective offices at the addresses specified
in Schedule 1; and 
  
 (b) in relation to any New Lender, its office at the
address specified in the relevant assignment document and notified to the Facility Agent, 
  
 or such other offices as the relevant Lender may later select pursuant to Clause 19.6 (Lending Offices). 
  
 “Majority Lenders” means: 
  
 (i) at any time prior to any effective assignment being made by any of the Initial Lenders pursuant to Clause 19.3 (Assignment and Transfer by Lender), the Initial
Lenders; and 
  
 (ii) at any time after an effective assignment has been made by
any of the Initial Lenders pursuant to Clause 19.3 (Assignment and Transfer by Lender), the Lenders whose aggregate Commitments exceed sixty-six and two-thirds per cent (66 2/3%) of all the Commitments. 
  

 4 

 “Market Value” of any Gold on any day means the price per Troy Ounce of Gold in Dollars as determined by the
latest Gold PM Fix prior to that day. 
  
 “Material Adverse Effect”
means, in the opinion of the Majority Lenders, a material adverse effect on: 
  
 (a) the ability of the Borrower to perform its obligations under any of the Finance Documents; 
  
 (b) the business, operations, assets, financial or other condition or prospects of the Group taken as a whole; or 
  
 (c) the validity or enforceability of any Finance Document, the value of any security under any Security Document or the rights or remedies of any Finance Party under the
Finance Documents. 
  
 “New Lender” means any assignee lender (other
than an Initial Lender) (as defined in Clause 19.3 (Assignment and Transfer by Lender) to which an effective assignment and/or transfer has been made pursuant to Clause 19.3 (Assignment and Transfer by Lender). 
  
 “Participation” means in relation to each Lender, in respect of any amount owing to
the Lenders hereunder, the proportion of such amount which is owing to that Lender or, in respect of any amount payable by the Lenders to the Issuing Bank in respect of any Guarantee, the proportion of that sum which is to be paid by that Lender and
“Participation in the Facility” shall be construed accordingly. 
  
 “Potential Event of Default” means any event or circumstance which with the giving of notice, the passage of time, any determination of materiality or the satisfaction of any applicable condition (or any combination of them) would
reasonably be expected to become an Event of Default. 
  
 “Rothschild”
means NM Rothschild & Sons (Australia) Limited (ABN 32 008 458 366), a corporation established under the laws of Australia, with its registered office at Level 16, 1 0’Connell Street, Sydney, NSW 2000. 
  
 “Rothschild Charge” means the charge dated 28 November 2002 (registered as Charge
No. 200205559 with ACRA) and executed by the Borrower in favor of Rothschild pursuant to which the Borrower had charged and assigned certain of its existing and future assets in favor of Rothschild to secure all the obligations expressed to be
secured therein and upon the terms and conditions set out therein. 
  
 “SBFMA” means the Sale and Buyback of Fine Metal Agreement dated 21 June 2004 and entered into between the Beneficiary and the Borrower relating to the supply of Gold by the Beneficiary to the Borrower to support the
Borrower’s production of gold bonding wire. 
  

 5 

 “Security Documents” means the Debenture and any other document executed from time to time by whatever person
as a further guarantee of or security for all or any part of the Borrower’s obligations under this Agreement. 
  
 “Singapore Dollars” and “S$” mean the lawful currency of Singapore. 
  
 “Subsidiary” in relation to any company means any other company or other entity directly or indirectly under the control of the
first-mentioned company; for this purpose “control” means ownership of more than fifty per cent (50%) of the voting share capital or equivalent right of ownership of such company or entity, or power to direct its policies and management
whether by contract or otherwise and “Holding Company” in relation to any company means the company of which such last-mentioned company is a Subsidiary. 
  
 “Troy Ounce” or “Toz” means 31.1035 grams. 
  
 “Trust Property” means the undertaking of the Borrower contained in Clause 15.3 (Covenant to Pay) and all or any part of
the assets, rights, interests and benefits which may now or at any time in the future be mortgaged, charged, assigned or granted or the subject of an Encumbrance in favour of the Security Agent pursuant to this Agreement or any Security Document
and, for the avoidance of doubt, the proceeds of any of the foregoing. 
  
 “Ultimate Holding Company” means Kulicke & Soffa Industries, Inc. of 2101 Blair Mill Road, Willow Grove PA 19090. 
  
 1.2 Construction. In this Agreement, unless the context requires otherwise, any reference to: 
  
 an “authorization” includes any approvals, consents, licenses, permits, franchises, permissions, registrations, resolutions,
directions, declarations and exemptions; 
  
 an Event of Default or Potential
Event of Default which is “continuing” means an Event of Default or Potential Event of Default which has not been remedied or waived; 
  
 “including” or “includes” means including or includes without limitation; 
  
 “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; 
  
 “law” and/or
“regulation” includes any constitutional provisions, treaties, conventions, statutes, acts, laws, decrees, ordinances, subsidiary and subordinate legislation, orders, rules and regulations having the force of law and rules of civil and
common law and equity; 
  
 an “order” includes any judgment, injunction,
decree, determination or award of any court, arbitration or administrative tribunal; 
  

 6 

 a “person” includes any individual, company, body corporate or unincorporate or other juridical person,
partnership, firm, joint venture or trust or any federation, state or subdivision thereof or any government or agency of any thereof; and 
  
 “tax” includes any tax, levy, duty, charge, impost, fee, deduction or withholding of any nature now or hereafter imposed, levied, collected, withheld or
assessed by any taxing or other authority and includes any interest, penalty or other charge payable or claimed in respect thereof and “taxation” shall be construed accordingly. 
  
 1.3 Successors and Assigns. The expressions “Issuing Bank”, “Borrower”, “Lenders”, “Facility
Agent”, “Security Agent” and “Finance Party” shall, where the context permits, include their respective successors and permitted assigns and any persons deriving title under them. 
  
 Where the context permits, references to the “Facility Agent” include the person
acting as Facility Agent in its capacity as Security Agent. 
  
 1.4
Miscellaneous. In this Agreement, unless the context requires otherwise, references to provisions of any law or regulation shall be construed as references to those provisions as replaced, amended, modified or re-enacted from time to time;
words importing the singular include the plural and vice versa and words importing a gender include every gender; references to this Agreement or any other Finance Document shall be construed as references to such document as the same may be
amended, supplemented or novated from time to time; unless otherwise stated, references to Clauses, Schedules and Appendices are to clauses of and schedules and appendices to this Agreement and references to this Agreement include its Schedules and
Appendices. Clause headings are inserted for reference only and shall be ignored in construing this Agreement. 
  
 1.5 Third Party Rights. The Contracts (Rights of Third Parties) Act (Chapter 53B) shall not apply to this Agreement and, unless expressly provided to the contrary in this Agreement, no person not party to this
Agreement shall have or acquire any right to enforce any term of it pursuant to that Act. This Clause 1.5 shall not affect any right or remedy of any third party which exists or is available otherwise than by reason of that Act and shall prevail
over any other provision of this Agreement which is inconsistent with it. 
  
 2.
The Facility 
  
 2.1 Amount and Participations. Subject to the
provisions of this Agreement: 
  
 (a) the aggregate principal amount of the
Facility available to the Borrower is the lesser of: 
  
 (i)
US$17,000,000; and 
  
 (ii) that amount which is equivalent to
one hundred and eleven percent (111%) of the value of Gold supplied by the Beneficiary to the Borrower under the SBFMA, calculated in accordance with the terms of the SBFMA; 
  

 7 

 (b) each Lender will participate in the Facility in the proportion which its Commitment bears to the aggregate
Commitments of all the Lenders. 
  
 2.2 Purpose. The Guarantee(s) issued
under this Facility to the Beneficiary shall be for the purpose of guaranteeing the obligations of the Borrower to the Beneficiary under the SBFMA. 
  
 2.3 Finance Parties’ Several Liability. The rights and obligations of the Finance Parties hereunder are several and accordingly: 
  

	(a)	the amount at any time outstanding hereunder to each Finance Party by the Borrower shall be a separate and independent debt and each Finance Party shall be entitled to protect and
enforce its respective rights arising out of this Agreement; 

  

	(b)	the failure of any Finance Party to perform its obligations hereunder shall not relieve any other Finance Party or the Borrower of any of its respective obligations, nor shall any
Finance Party be responsible for the obligations of any other Finance Party. 

  
 3. Conditions Precedent 
  
 3.1
Conditions. The Lenders shall not be obliged to procure the issue of any Guarantee, and the Issuing Bank shall not be obliged to issue any Guarantee, unless and until the Facility Agent shall have received: 
  
 Guarantee Issuance Facility Agreement 
  
 (a) this Agreement duly executed by all the parties; 
  
 Corporate Documents 
  
 (b) in relation to the Borrower, certified true copies of: 
  
 (i) its certificate of incorporation and memorandum and articles of association; 
  
 (ii) a list of its directors; 
  
 (iii) a list of its shareholders and their respective shareholdings;

  
 (iv) resolutions of its board of directors approving the
terms of this Agreement and the Security Documents and authorizing a person or persons to execute this Agreement, the relevant Security Documents, the Guarantee Request and any other notices or documents required in connection herewith or therewith,
and the specimen signature(s) of such person(s); 
  

 8 

 Security Documents 
  
 (c) the Debenture duly executed by the Borrower including all other documents required pursuant thereto; 
  
 Charged Accounts 
  
 (d) evidence that the Charged Accounts have been opened by the Borrower with the Facility Agent; 
  
 Rothschild Charge 
  
 (e) a certified true copy of the deed of release and discharge satisfactory to the Lenders duly executed by the Borrower and Rothschild in respect of the Rothschild
Charge; and 
  
 (f) a letter of undertaking from the Borrower addressed to the
Facility Agent that the Borrower will, within five (5) Business Days (or such other period as may be agreed by the Facility Agent) from the date of the deed of release and discharge referred to in paragraph (e) above, file such deed of release and
discharge with ACRA to notify ACRA of the release and discharge in full of the Rothschild Charge; 
  
 AFW Debenture and AFW Further Debenture 
  
 (g) a
certified true copy of the deed of release and discharge satisfactory to the Lenders duly executed by AFW and Rothschild in respect of the AFW Debenture and AFW Further Debenture; and 
  
 (h) a letter of undertaking from AFW addressed to the Facility Agent that AFW will, within five (5) Business Days (or such other period as
may be agreed by the Facility Agent) from the date of the deed of release and discharge referred to in paragraph (g) above, file such deed of release and discharge with ACRA to notify ACRA of the release and discharge in full of the AFW Debenture
and the AFW Further Debenture; 
  
 AFW Purchase Agreement 
  
 (i) a certified true copy of the AFW Purchase Agreement duly executed by AFW and the
Borrower; 
  
 (j) a certified true copy of the resolutions of the board of
directors of the Borrower approving the terms of the AFW Purchase Agreement and the execution by the Borrower of the AFW Purchase Agreement; 
  

 9 

 (k) certified true copies of : 
  

(i) the resolution of the board of directors of the Borrower convening an Extra-Ordinary General Meeting of the Borrower (the “EGM”) to
approve the increase in the authorized share capital of the Borrower (and where relevant, to confer power on the directors to allot new shares); 
  
 (ii) the Notice of the EGM; 
  
 (iii) the Agreement to Shorter Notice by K&S Interconnect, Inc., the sole shareholder of the Borrower; 
  
 (iv) the Minutes by the Representative of Holding Company relating to
proceedings of subsidiary company; 
  
 (v) the Certificate of
Appointment of the corporate representative of K&S Interconnect, Inc.; 
  
 (vi) the share application form for 48,420,000 number of shares in the Borrower duly executed by AFW; and 
  
 (vii) the resolution of the board of directors of the Borrower approving the allotment of shares (the “New Shares”) to AFW; 
  
 (l) a letter of confirmation from the Borrower that the New Shares are allotted to AFW as
consideration under the AFW Purchase Agreement and that the New Shares are allotted as fully paid up shares; 
  
 (m) a letter of undertaking from the Borrower that it will file with ACRA and the relevant authorities all the relevant documents relating to the increase in the share capital of the Borrower and the allotment of
shares in the share capital of the Borrower to AFW within one (1) month of the date of the issuance of the first Guarantee; 
  
 (n) a letter from AFW in form and substance satisfactory to the Facility Agent to the effect that, AFW, agrees and undertakes to the Borrower that all obligations of the
Borrower to AFW under the AFW Purchase Agreement shall, until the occurrence of the conversion of the AFW Payables into issued and paid-up share capital in the Borrower, be subordinated to all the obligations of the Borrower under the Finance
Documents; 
  
 Miscellaneous 
  
 (o) evidence that the Borrower has taken out policies of insurance in form and substance
satisfactory to the Facility Agent in respect of all the Gold Inventories and has named the Facility Agent as a loss payee under each such policy; 
  
 (p) a copy of the report on the form, quantity and state of all the Gold Inventories prepared two (2) weeks before the issue of the first Guarantee audited and certified
without qualification by an internationally recognized firm of independent accountants acceptable to the Facility Agent; 
  

 10 

 (q) evidence that all authorizations have been obtained and that all necessary filings, registrations and other
formalities have been or will be completed in order to ensure that the Finance Documents are valid and enforceable and to preserve the Security Agent’s priority under any Security Document; 
  
 (r) legal opinions covering such matters of Singapore and other laws relevant to this
transaction as the Facility Agent may request; and 
  
 (s) such other documents
relating to any of the matters contemplated herein as the Facility Agent may reasonably request. 
  
 3.2 Facility Agent’s Approval. All the documents and evidence referred to in Clause 3.1 (Conditions) shall be in form and substance satisfactory to the Facility Agent and shall be supplied in such
number of copies or counterparts as the Facility Agent may require. Copies required to be certified shall be certified in a manner satisfactory to the Facility Agent by a director or responsible officer of the Borrower or other party concerned.

  
 3.3 Notice. Upon receipt of all the documents and evidence referred to
in Clause 3.1 (Conditions), the Facility Agent shall give notice of that fact to the Borrower, the Lenders and the Issuing Bank. 
  
 4. ISSUE OF GUARANTEE 
  
 4.1 Availability of Guarantee. Subject to Clause 4.2 (Conditions of Issue) and the other terms and conditions of this Agreement, the Borrower may on any Business Day during the Availability Period
request the issue of a Guarantee in favor of the Beneficiary, provided that: 
  
 (a) Guarantee Request: not more than three (3) requests may be made by the Borrower and the first request must be made on the date of this Agreement; 
  

(b) Number: only one Guarantee may be issued and outstanding at any one time; 
  

(c) Amount: the face value of the Guarantee issued under this Agreement shall not exceed the aggregate principal amount of the Facility available under this Agreement;
and 
  
 (d) Expiry Date: all the Guarantees issued under this Agreement shall
expire on the Final Expiry Date. 
  
 4.2 Conditions of Issue. The issuance
of any Guarantee is also subject to the following conditions that: 
  
 (a) the
requirements of Clause 3 (Conditions Precedent) shall have been satisfied; 
  

 11 

 (b) the Facility Agent shall have received at least two (2) Business Days before the proposed date of issue, a duly
completed and signed original Guarantee Request except that, in respect of the issuance of the first Guarantee, the Lenders and the Issuing Bank hereby agree that this paragraph (b) shall be deemed to have been satisfied if the Facility Agent shall
have received a duly completed and signed original Guarantee Request for the first Guarantee on the same day as the day of the proposed issue of such Guarantee; 
  

(c) no Guarantee shall have been issued which would result in the face value of the Guarantee issued hereunder exceeding the principal amount of the Facility;

  
 (d) the second Guarantee (if requested) shall not become effective unless and
until the first Guarantee has been returned to the Issuing Bank for cancellation; 
  
 (e) the third Guarantee (if requested) shall not become effective unless and until the second Guarantee has been returned to the Issuing Bank for cancellation; 
  
 (f) no Event of Default or Potential Event of Default shall have occurred (or would be likely to occur as a result of the Guarantee being
issued) and all representations and warranties made by the Borrower in or in connection with this Agreement shall be true and correct as at the date of the issue of the Guarantee with reference to the facts and circumstances then subsisting; and

  
 (g) not later than 11:00 a.m. (Singapore time) on the date on which the
Guarantee is to be issued, the Facility Agent shall have received and found satisfactory such additional information, legal opinions and documents relating to the Borrower or any Finance Document as the Facility Agent acting on the instructions of
the Majority Lenders may reasonably require as a result of circumstances arising or becoming known to the Facility Agent or the Lenders since the date of the issuance of the previous Guarantee or, if no previous Guarantee has been issued, the date
of this Agreement. 
  
 4.3 Notification and Manner of Issue. Upon receipt
of the Guarantee Request complying with the terms of this Agreement and upon the satisfaction of all the requirements of Clause 3 (Conditions Precedent) and Clause 4.2 (Conditions of Issue), the Facility Agent shall forthwith notify
the Lenders and the Issuing Bank and, subject to the terms of this Agreement, the Issuing Bank shall issue the Guarantee in the amount and on the requested date of issue, in each case, as specified in the Guarantee Request, in favour of the
Beneficiary. 
  
 4.4 Irrevocable. The Guarantee Request once given shall be
irrevocable and shall not be postponed, cancelled or revoked by the Borrower, and subject as otherwise provided in this Agreement, the Lenders shall be entitled to procure the issuance by the Issuing Bank, and the Issuing Bank shall be entitled to
issue, the Guarantee in accordance therewith, except as otherwise provided under this Agreement. If notwithstanding the giving of the Guarantee Request, the Guarantee should not have been issued, the Borrower shall be liable to pay to the Facility
Agent for the account of the Lenders and/or the Issuing Bank, on demand, such amount (if any) as the Facility Agent, the Issuing Bank and/or any relevant Lender shall certify to be necessary to compensate it for any actual loss sustained or expense
reasonably and properly incurred by it as a consequence of the Guarantee having been issued in accordance with the Guarantee Request. 
  

 12 

 4.5 Cancellation. If no Guarantee is issued by the end of the Availability Period, the Facility shall be cancelled
and the Lenders shall be under no further obligation to procure the issuance of any Guarantee and the Issuing Bank shall be under no further obligation to issue any Guarantee. 
  
 5. INDEMNITIES 
  
 5.1 Liability. Each of the Borrower and the Lenders hereby irrevocably authorizes the Issuing Bank to pay in accordance with the
terms thereof any sum which is demanded under any Guarantee, forthwith, without investigation or enquiry or requiring any evidence or proof that such sum is due and payable and notwithstanding that the Borrower or any Lender may dispute the validity
of such demand or the amount thereof, and any sum so paid shall be deemed to have been properly paid pursuant to the relevant Guarantee. In particular, neither the Issuing Bank, the Lenders nor the Facility Agent shall be responsible for, and the
obligations of the Borrower and the Lenders under this Agreement shall not be affected by, the propriety of any claim or demand made under any Guarantee or the form, legal effect, validity, accuracy, sufficiency or genuineness of any documents
tendered or given to any person in connection with any claim or demand made under any Guarantee or as to any misrepresentation as to any matter stated therein or related thereto or the fact that the Issuing Bank was or might have been justified in
refusing payment in full or in part under or in respect of any Guarantee. 
  
 5.2
Lenders’ Liability. Each Lender agrees to indemnify the Issuing Bank, upon its first demand in writing, to the extent of its Commitment of any relevant amount, from and against any and all payments made by the Issuing Bank under any
Guarantee and against all direct or indirect costs, losses, liabilities, claims, actions, penalties, orders, suits, damages and expenses (including legal fees and disbursements on a full indemnity basis) of any nature whatsoever which may be imposed
on, incurred by or asserted against the Issuing Bank in any way relating to or arising out of any Guarantee, or arising from any act or omission of the Issuing Bank acting in its capacity as such under this Agreement, save and except in the case of
negligence or willful misconduct of the Issuing Bank, its servants or agents. 
  
 5.3 The Borrower’s Indemnity. The Borrower agrees to indemnify each Lender forthwith on demand, from and against any and all sums which such Lender may pay or be required to pay to the Issuing Bank pursuant to Clause 5.2
(Lenders’ Liability) above and against any and all direct or indirect costs, losses, liabilities, claims, actions, penalties, orders, suits, damages and expenses (including legal fees and disbursements on a full indemnity basis) of any
nature whatsoever which may be imposed on, incurred by or asserted against such Lender in any way relating to or arising out of the issue or payment under any Guarantee or its obligations pursuant to Clause 5.2 (Lenders’ Liability)
above, save and except in the case of negligence or willful misconduct of such Lender, its servants or agents. The Borrower further agrees to indemnify the Issuing Bank (to the extent that the Issuing Bank has not been fully indemnified by the
Lenders pursuant to Clause 5.2 (Lenders’ Liability)) forthwith on demand, from and against any and all sums which the Issuing Bank pay or may be required to pay under any Guarantee and against any and all direct or indirect costs,
losses, liabilities, claims, actions, penalties, orders, suits, damages and expenses (including legal fees and disbursements on a full indemnity basis) of any nature whatsoever which may be imposed on, incurred by or asserted against the Issuing
Bank in any way relating to or arising out of the issue or payment under any Guarantee, save and except in the case of negligence or willful misconduct of the Issuing Bank, its servants or agents. 
  

 13 

 5.4 General Indemnity. The Borrower shall indemnify each Finance Party against all losses, liabilities, damages,
costs and expenses which such Finance Party may incur as a consequence of any circumstance contemplated by any Event of Default or Potential Event of Default. 
  

5.5 Currency Indemnity. Dollars shall be the currency of account and of payment in respect of sums payable under this Agreement. If an amount is received by any
Finance Party in another currency, pursuant to a judgment or order or in the liquidation of the Borrower or otherwise, the Borrower’s obligations under this Agreement shall be discharged only to the extent that such Finance Party may purchase
Dollars with such other currency in accordance with normal banking procedures upon receipt of such amount. If the amount in Dollars which may be so purchased, after deducting any costs of exchange and any other related costs, is less than the
relevant sum payable under this Agreement, the Borrower shall indemnify such Finance Party against the shortfall. This indemnity shall be an obligation of the Borrower independent of and in addition to its other obligations under this Agreement and
shall take effect notwithstanding any time or other concession granted to the Borrower or any judgment or order being obtained or the filing of any claim in the liquidation, dissolution, judicial management or bankruptcy (or analogous process) of
the Borrower. 
  
 5.6 Unconditional Obligations. The Borrower’s
liability, pursuant to Clauses 5.3 (Borrower’s Indemnity), 5.4 (General Indemnity) and 5.5 (Currency Indemnity) above, is an absolute and unconditional obligation and shall not be affected by: 
  
 (a) the amount paid by the Issuing Bank under any Guarantee, and in respect of which the
Lenders made payment pursuant to Clause 5.2 (Lenders’ Liability), not being properly due under the relevant Guarantee, whether because the corresponding amount was not properly due to the Beneficiary under the Guarantee or for any other
reason (other than in the case of the Issuing Bank’s negligence or willful misconduct); or 
  
 (b) the SBFMA and/or any Guarantee being void or invalid or not being binding on or enforceable against the Borrower or the Issuing Bank, respectively, for any reason whatsoever, whether known to the Issuing Bank or
any Lender or not, including the effect of any enactment, any legal limitation, illegality, disability, lack of corporate capacity or lack of powers of any party thereto. 
  
 5.7 No Liability. Neither Finance Party shall, in any circumstances whatsoever (except where it has acted in bad faith or with
negligence) be liable to the Borrower in respect of any loss or damage suffered by the Borrower by reason of any payment having been made under any Guarantee. 
  

 14 

 5.8 No Discharge. The liabilities and obligations of the Borrower under this Agreement shall remain in full force
and effect notwithstanding any act, omission, neglect, event or matter whatsoever, except the full, prompt and complete performance of all the terms of this Agreement, including the proper and valid payment of all amounts which become due to the
Issuing Bank, the Facility Agent and each Lender hereunder and, subject to Clause 5.9 (Conditional Discharge) below, an absolute discharge or release of the Borrower signed by the Facility Agent; and without prejudice to its generality, the
foregoing shall apply in relation to anything which would have discharged the Borrower (wholly or in part) or which would have afforded the Borrower any legal or equitable defense and in relation to any winding-up or dissolution of, or any change in
corporate identity by any relevant person. 
  
 5.9 Conditional Discharge.
Any such discharge or release referred to in Clause 5.8 (No Discharge) above, and any composition or arrangement which the Borrower may effect with the Issuing Bank, the Facility Agent or any Lender shall be deemed to be made subject to the
condition that it will be void if any payment or security which the Issuing Bank, the Facility Agent or such Lender may previously have received or may thereafter receive under this Agreement, any Security Document or the Guarantee, is void,
voidable or set aside for any reason whatsoever under any law (including, without limitation, under any law relating to preferences, bankruptcy, insolvency, liquidation, administration, judicial management or winding up) or proves to have been for
any reason invalid. 
  
 5.10 No Waiver. Without prejudice to the generality
of Clause 5.8 (No Discharge) and Clause 5.9 (Conditional Discharge) above, none of the liabilities or obligations of the Borrower under this Agreement shall be impaired by (without limitation): 
  
 (a) any misrepresentation or non-disclosure with respect to the affairs or condition of the
Beneficiary or the SBFMA made to the Borrower by any person other than where such misrepresentation or non disclosure arises from any Finance Party and is not due to any act or omission by the Borrower; 
  
 (b) the Beneficiary releasing or granting any time or any indulgence whatsoever to, or making
any settlement, composition or arrangement with, the Borrower, the Issuing Bank or any other person; 
  
 (c) any Finance Party releasing or granting any time or any indulgence whatsoever or making any settlement, composition or arrangement with the Beneficiary, the Borrower or any other person; 
  
 (d) the Beneficiary or any Finance Party (or any of them) asserting or pursuing, failing or
neglecting to assert or pursue, or delaying in asserting or pursuing, or waiving, any of their rights or remedies (arising under or by virtue of the SBFMA, any Guarantee, any Security Agreement, this Agreement or otherwise) against the Beneficiary,
the Borrower, any other Finance Party or any other person; 
  

 15 

 (e) the Beneficiary or the Issuing Bank or any Lender (or all or any of them) with or without the Borrower’s consent
making, whether expressly or by conduct, any variation to the SBFMA, any Guarantee or this Agreement; 
  
 (f) the Beneficiary, the Borrower or any Finance Party (or any of them) taking, accepting, varying, dealing with, enforcing, abstaining from enforcing, surrendering or releasing any security in relation to the
Beneficiary, the Borrower, or any other person, in such manner as it or they think fit, or claiming, proving for, accepting or transferring any payment in respect of the liabilities of the Beneficiary and/or Borrower under the SBFMA, any Security
Document or any Guarantee and any composition by, or winding up of the Borrower and/or any third party, or abstaining from so claiming, proving, accepting or transferring. 
  
 6. Change of Law or Circumstances 
  
 6.1 Unlawfulness. If it becomes, or it becomes apparent that it is or will be, unlawful or contrary to any requirement of any
governmental, fiscal, monetary or other authority (whether or not having the force of law) for any Finance Party to give effect to its obligations hereunder, such Finance Party shall through the Facility Agent so notify the Borrower, whereupon such
Finance Party’s outstanding Commitment shall be cancelled and such Finance Party shall not thereafter be obliged to participate in any Guarantee or issue any Guarantee. If a Guarantee has been issued under this Agreement and the Facility Agent
on behalf of such Finance Party so requires, the Borrower shall on such date as the Facility Agent shall have specified ensure that the liabilities of such Finance Party under or in respect of such Guarantee are reduced to zero or otherwise secured
in an amount equal to such Finance Party’s maximum actual and contingent liabilities under such Guarantee. 
  
 6.2 Increased Cost. If a Finance Party determines that the introduction of, or any change in, any applicable law or regulation or in the interpretation or
application thereof or compliance by such Finance Party with any applicable direction, request or requirement (whether or not having the force of law, and including any such direction, request or requirement which affects the manner in which such
Finance Party or any Holding Company of such Finance Party is required to or does allocate or maintain capital in support of its assets or liabilities) of any competent governmental, fiscal, monetary, or other authority does or will: 
  
 (a) subject such Finance Party or any Holding Company of such Finance Party to any tax or
other payment with reference to sums payable by the Borrower under this Agreement (except (i) tax on such Finance Party’s overall net income in the jurisdiction of its principal office or Lending Office) or (ii) as referred to in Clause 7
(Taxes and Other Deductions)); or 
  
 (b) impose on such Finance Party or
any Holding Company of such Finance Party any other condition the effect of which is to (i) increase the cost to such Finance Party or its Holding Company of such Finance Party participating in the Facility or (ii) reduce the amount of any payment
receivable by, or the effective return to, such Finance Party in respect of the Facility or (iii) impose a cost on such Finance Party or any Holding Company of such Finance Party resulting from such Finance Party’s participation in the
Facility, 
  

 16 

 such Finance Party may through the Facility Agent so notify the Borrower, and the Borrower shall from time to time upon
demand pay to the Facility Agent for the account of such Finance Party such amounts as such Finance Party may certify to be necessary to compensate it or its Holding Company for such tax, payment, increased cost or reduction (each an “increased
cost”). Where such increased cost arises from circumstances contemplated above which affect the Finance Party’s business generally or the manner in which or extent to which that Finance Party allocates capital resources, the Finance Party
shall be entitled to such increased cost as it determines and certifies is fairly allocable to its participation in the Facility. Nothing in this Clause 6.2 (Increased Cost) shall require any Finance Party to disclose confidential information
relating to the organization of its business or the business of any Holding Company. The Borrower and the Facility Agent, in consultation with such Finance Party, shall discuss whether any alternative arrangement may be made to avoid such increased
cost. 
  
 7. Taxes and Other Deductions

  
 7.1 No Deductions or Withholdings. All sums payable by the Borrower
under this Agreement shall be paid in full without set-off or counterclaim or any restriction or condition and free and clear of any tax or other deductions or withholdings of any nature. If the Borrower or any other person is required by any law or
regulation to make any deduction or withholding (on account of tax or otherwise) from any payment for the account of any Finance Party, the Borrower shall, together with such payment, pay such additional amount as will ensure that such Finance Party
receives (free and clear of any tax or other deductions or withholdings) the full amount which it would have received if no such deduction or withholding had been required. The Borrower shall promptly forward to the Facility Agent copies of official
receipts or other evidence showing that the full amount of any such deduction or withholding has been paid over to the relevant taxation or other authority. 
  
 7.2 Advance Notification. If at any time the Borrower becomes aware that any such deduction, withholding or payment contemplated by Clause 7.1 (No Deductions or
Withholdings) is or will be required, it shall immediately notify the Facility Agent and supply all available details thereof. 
  
 8. Fees and Expenses 
  
 8.1 Basic Issuance Fee: The Borrower shall pay to the Facility Agent, for the pro rata account of the Lenders in Dollars, a basic issuance fee of US$270,000
(the “Basic Issuance Fee”) which shall be payable in advance in two equal annual installments: 
  
 (i) First Installment: the first installment of the Basic Issuance Fee shall be paid on the date which is the earlier of (i) the date of the issue of the first Guarantee and (ii) the date six (6) months after the
Acceptance Date (such date being the “First Payment Date”); and 
  

 17 

 (ii) Second Installment: the second installment of the Basic Issuance Fee shall be paid on the first anniversary of the
First Payment Date (such date being the “Second Payment Date”). 
  
 8.2
Additional Issuance Fee: In the event that the face value of any Guarantee exceeds US$15,000,000, the Borrower shall pay to the Facility Agent, for the pro rata account of the Lenders in Dollars, an additional fee for the issuance of
such Guarantee (the “Additional Issuance Fee”), calculated at the rate of zero point nine percent (0.9%) per annum on the face value of such Guarantee which is in excess of US$15,000,000 and for the period commencing on and including the
date of the issue of such Guarantee (the “Issuance Date”) up to and including the last day of the Guarantee Period. The Borrower shall pay any such Additional Issuance Fee in two equal installments: 
  
 (i) First Installment: the first installment of any Additional Issuance Fee shall be paid on
the relevant Issuance Date of such Guarantee; and 
  
 (ii) Second Installment: the
second installment of any Additional Issuance Fee shall be paid on the Second Payment Date, 
  
 provided that if the Issuance Date in respect of any Guarantee occurs after the Second Repayment Date, the Additional Issuance Fee payable in respect of such Guarantee shall instead be paid in one lump sum on the
Issuance Date of such Guarantee. 
  
 The Additional Issuance Fee shall be
calculated on the basis of the actual number of days elapsed and a 360 day year. 
  
 8.3 Expenses. The Borrower shall forthwith on demand and whether or not any Guarantee is issued pay to or reimburse each of the Finance Parties and the Issuing Bank for its own account for all costs, charges and expenses (including
legal and other fees on a full indemnity basis and printing, translation, communication, advertisement, travel and all other out-of-pocket expenses and any applicable goods and services, value added or other similar taxes) incurred: 
  
 (a) Documents: by the Facility Agent (acting on behalf of itself and the other Finance
Parties) in connection with the negotiation, preparation, execution and (where relevant) registration of: 
  
 (i) this Agreement, the Debenture and any other documentation required in connection herewith or therewith executed on or around the date of this
Agreement (up to the maximum amount as agreed between the Borrower and the Facility Agent); and 
  
 (ii) any other documents required in connection with any Finance Document executed after the date of this Agreement; 
  
 (b) Amendment: by it in connection with any amendment of this Agreement or any other
Finance Document; and 
  

 18 

 (c) Consents: by it in connection with any inspection, calculation, approval, consent or waiver to be made or
given by the Lenders or any other Finance Party pursuant to or in respect of any provision of this Agreement or any other Finance Document. 
  
 8.4 Enforcement Costs. The Borrower shall from time to time forthwith on demand pay to or reimburse each of the Finance Parties and the Issuing Bank for all costs,
charges and expenses (including legal and other fees on a full indemnity basis and all other out-of-pocket expenses) incurred by it in investigating any event which it reasonably believes is an Event of Default or Potential Event of Default or in
exercising any of its rights or powers under any Finance Document or in suing for or seeking to recover any sums due under any Finance Document or otherwise preserving or enforcing its rights under any Finance Document or in defending any claims
brought against it in respect of any Finance Document or in releasing or re-assigning any Security Document. 
  
 8.5 Taxes. The Borrower shall pay all present and future stamp and other like duties and taxes and all notarial, registration, recording and other like fees which may be payable in respect of any Finance
Document and shall indemnify each of the Finance Parties and the Issuing Bank against all liabilities, costs and expenses which may result from any default in paying such duties, taxes or fees. 
  
 9. Payments and Evidence of Debt 
  
 9.1 Payments by the Lenders. All payments to be made by the Lenders under this
Agreement shall be made available to the Facility Agent not later than 11:00 a.m. (Singapore time) on the relevant due date by remittance to the Facility Agent (Bank Account No: 001255-02-01) (or to such other account in Singapore as the Facility
Agent may designate). The Facility Agent shall make available to the Issuing Bank or the Borrower, as the case may be, the amounts received by it from the Lenders by payment to Bank Account No: 001255-02-01 of the Issuing Bank with Natexis Banques
Populaires, New York City (in the case of the Issuing Bank) and Bank Account No.: 015 149 0202 of the Borrower with Natexis Banques Populaires, Singapore Branch (in the case of the Borrower) or to such other account in Singapore or New York City (as
the case may be) as the Issuing Bank or the Borrower shall have previously agreed with the Facility Agent). 
  
 9.2 Payments by Borrower. All payments by the Borrower under this Agreement shall be made to the Facility Agent not later than 11:00 a.m. (Singapore time) on the relevant due date by remittance to the Facility
Agent to Bank Account No: 001255-02-01 of the Facility Agent with Natexis Banques Populaires, New York City (or to such other account in New York City as the Facility Agent may designate). The Facility Agent shall forthwith distribute to each Lender
its due proportion (if any) of the amounts received by it in like funds as are received by the Facility Agent and to such account in New York City as such Lender shall have previously notified to the Facility Agent. 
  
 9.3 Allocation of Receipts. If any amount received by the Facility Agent hereunder is
less than the full amount due, the Facility Agent in consultation with the other Finance Parties shall have the right to allocate the amount received towards principal, interest and/or other sums owing under this Agreement as it considers
appropriate. 
  

 19 

 9.4 Payments by Facility Agent and Refunds. Where any sum is to be paid to the Facility Agent under any Finance
Document for the account of the Borrower, the Issuing Bank or any Finance Party, the Facility Agent shall not be obliged to pay that sum to the Borrower, the Issuing Bank or such Finance Party (as the case may be) or enter into or perform any
related exchange contract unless and until the Facility Agent has established to its satisfaction that it has actually received that sum. Where any sum is to be paid under this Agreement to the Facility Agent for the account of another person, the
Facility Agent may assume that the payment will be made when due and may (but shall not be obliged to) make such sum available to the person so entitled and: 
  
 (a) Amounts Due from Borrower: if the Facility Agent distributes to a Finance Party, an amount which the Facility Agent should have but has not in fact received from the
Borrower (or from any other person for the Borrower’s account), such Finance Party shall on request promptly refund such amount to the Facility Agent together with interest thereon for the relevant period at the rate per annum certified by the
Facility Agent to represent the cost to it of funding such amount for such period; 
  
 (b) Refunds to Borrower: if the Facility Agent has distributed to a Finance Party, an amount which is required to be repaid to the Borrower (or to any other person for the Borrower’s account), such Finance Party shall on request
promptly refund such amount to the Facility Agent together with such interest thereon (if any) as is required to be paid to the Borrower, as the case may be; and 
  
 (c) Amounts Due from Finance Parties: if the Facility Agent makes an amount available to the Borrower, as the case may be, which the
Facility Agent should have but has not in fact received from a Finance Party, as the case may be, the Borrower shall on request promptly refund such amount to the Facility Agent together with interest thereon for the relevant period at the rate per
annum certified by the Facility Agent to represent the cost to it of funding such amount for such period, 
  
 and, in each such case, the person by which such sum was payable shall indemnify the Facility Agent for all losses, liabilities, damages, costs and expenses which the Facility Agent may incur as a consequence of such
sum not having been paid when due. 
  
 9.5 Business Days. If any sum would
otherwise become due for payment on a non-Business Day that sum shall become due on the next following Business Day. 
  

 20 

 9.6 Evidence of Debt. The Facility Agent shall maintain on its books in accordance with its usual practice a set
of accounts recording the amounts from time to time owing by the Borrower hereunder. In any legal proceeding and otherwise for the purposes of this Agreement the entries made in such accounts (and showing the computation of such entries) shall, in
the absence of manifest error, be conclusive and binding on the Borrower as to the existence and amounts of the obligations of the Borrower recorded therein. 
  
 9.7 Certificate Conclusive and Binding. Where any provision of this Agreement provides that a Finance Party may certify or determine an amount or rate payable by
the Borrower, a certificate by such Finance Party as to such amount or rate (and showing the computation of such amount or rate) shall be conclusive and binding on the Borrower in the absence of manifest error. 
  
 10. Representations and Warranties 
  
 10.1 Representations and Warranties. The Borrower represents and warrants to each
Finance Party that: 
  
 (a) Status: the Borrower is a company duly
incorporated with limited liability and validly existing under the laws of Singapore, and has full power, authority and legal right to own its property and assets and to carry on its business; 
  
 (b) Power and authority: the Borrower has full power, authority and legal right to
enter into and engage in the transactions contemplated by the Finance Documents and has taken or obtained all necessary corporate and other action and consents to authorize the execution and performance of the Finance Documents; 
  
 (c) Binding obligations: the Finance Documents constitute, or when executed and
delivered will constitute, legal, valid and binding obligations of the Borrower enforceable in accordance with their terms; 
  
 (d) No conflict with other obligations: neither the execution of the Finance Documents nor the performance by the Borrower of any of its obligations or the
exercise of any of its rights thereunder will conflict with or result in a breach of any law, regulation, judgment, order, authorization, agreement or obligation applicable to it or cause any limitation placed on it or the powers of its directors to
be exceeded or result in the creation of or oblige the Borrower to create an Encumbrance in respect of any of its property or assets except in favor of the Security Agent under or pursuant to the Security Documents; 
  
 (e) Authorizations: all authorizations and any third party consent required from any
governmental or other authority or from any shareholders or creditors of the Borrower for or in connection with the execution, validity and performance of the Finance Documents have been obtained and are in full force and effect and there has been
no default under the conditions of any of the same; 
  
 (f) No filings or
taxes: it is not necessary in order to ensure the validity, enforceability, priority or admissibility in evidence in proceedings of any of the Finance Documents in Singapore or any other relevant jurisdiction that any of them or any other
document be filed or registered with any authority in Singapore or elsewhere or that any tax be paid in respect thereof except that the Debenture is required to be registered with the Singapore Accounting and Corporate Regulatory Authority within
thirty (30) days of their respective execution and the Debenture is required to be stamped with the relevant amount of stamp duty in Singapore; 
  

 21 

 (g) No litigation: no litigation, arbitration or administrative proceeding is currently taking place or pending
or, to the knowledge of the Borrower, threatened against the Borrower or its assets or revenues; 
  
 (h) No default: the Borrower is not in default under any law, regulation, judgment, order, authorisation, agreement or obligation applicable to it or its assets or revenues, the consequences of which default
could have a Material Adverse Effect, and no Event of Default or Potential Event of Default has occurred; 
  
 (i) No Encumbrances: no Encumbrance exists over all or any part of the property, assets or revenues of the Borrower to secure the indebtedness of its Holding Company, the Ultimate Holding Company or any other
person except as created by the Security Documents or liens arising by operation of law in the ordinary course of business or as previously disclosed in writing to and agreed by the Facility Agent; 
  
 (j) No indebtedness: the Borrower has no indebtedness to any party except indebtedness
arising in the ordinary course of its business or as previously disclosed in writing to and agreed by the Facility Agent; 
  
 (k) Financial statements: the most recent audited financial statements of the Borrower for the time being (including the audited profit and loss account and
balance sheet) were prepared in accordance with applicable laws and regulations of Singapore and generally accepted accounting principles and policies consistently applied and show a true and fair view of the financial position of the Borrower as at
the end of, and the results of its operations for, the financial period to which they relate and, as at the end of such period the Borrower did not have any significant liabilities (contingent or otherwise) or any unrealized or anticipated losses
which are not disclosed by or reserved against in, such financial statements, and there has been no material adverse change in the business or financial condition of the Borrower since the date of such financial statements; 
  
 (l) No misleading information: all information provided to the Finance Parties by or
on behalf of the Borrower in connection with the Facility is true and accurate in all material respects and all forecasts and projections contained therein were arrived at after due and careful consideration on the part of the Borrower and were, in
its considered opinion, fair and reasonable when made; the Borrower is not aware of any fact which has not been disclosed in writing to the Facility Agent which might have a Material Adverse Effect or which might affect the willingness of the
Lenders to lend upon the terms of this Agreement; 
  
 (m) No immunity: the
Borrower is generally subject to civil and commercial law and to legal proceedings and neither the Borrower nor any of its assets or revenues is entitled to any immunity or privilege (sovereign or otherwise) from any set-off, judgment, execution,
attachment or other legal process; 
  

 22 

 (n) Pari Passu: the Borrower’s obligations under this Agreement will at all times rank at least
pari passu in all respects with all its other unsecured and unsubordinated obligations, except those which in a winding-up of the Borrower would be preferred solely by operation of law; and 
  
 (o) Accuracy of Particulars: the particulars of the Charged Accounts set out in the
Schedule 3 are accurate. 
  
 10.2 Continuing Representation and Warranty.
The Borrower also represents and warrants to and undertakes with each of the Finance Parties that the foregoing representations and warranties will be true and accurate throughout the continuance of the Finance Documents with reference to the facts
and circumstances subsisting from time to time. 
  
 10.3 Acknowledgement of
Reliance. The Borrower acknowledges that each of the Finance Parties has entered into this Agreement in reliance upon the representations and warranties contained in this Clause. 
  
 11. Undertakings 
  

11.1 Affirmative Undertakings. The Borrower undertakes and agrees with each Finance Party throughout the continuance of the Finance Documents and so long as any
sum remains owing thereunder that the Borrower will, unless the Majority Lenders otherwise agree in writing: 
  
 (a) Financial and other information: supply to the Facility Agent in sufficient number for each Lender: 
  
 (i) as soon as they are available, but in any event within one hundred and eighty (180) days after the end of each financial year of the Borrower, copies
of its financial statements in respect of such financial year (including a profit and loss account and balance sheet) audited and certified without qualification by an internationally recognized firm of independent accountants acceptable to the
Facility Agent; 
  
 (ii) as soon as they are available, but in
any event within ninety (90) days after the end of each half of each financial year of the Borrower, copies of its unaudited financial statements (including a profit and loss account and balance sheet) prepared on a basis consistent with the audited
financial statements of the Borrower together with a certificate signed by the principal financial officer of the Borrower to the effect that such financial statements are true in all respects and present fairly the financial position of the
Borrower as at the end of, and the results of its operations for, such half-year period; 
  
 (iii) within thirty (30) days of each date for the provision of the accounts referred to in (i) and (ii) above, a certificate signed by one of the directors of the Borrower certifying that there did not exist any
Event of Default or Potential Event of Default as at the end of such half year (or if an Event of Default or Potential Event of Default did exist specifying the same). Each such certificate shall be accompanied by a certificate from the auditors of
the Borrower certifying whether or not the financial undertakings referred to in Clause 11.3 (Financial Undertakings) had been complied with throughout such half-year; 
  

 23 

 (iv) at the time of issue, copies of all statements and circulars to the shareholders or to any class of
creditors of the Borrower; 
  
 (v) promptly on request, such
additional financial or other information (including, but not limited to, cash flows and profit and loss projections) relating to the Borrower as the Facility Agent may from time to time reasonably request; 
  
 (b) Notification of default: promptly inform the Facility Agent of: 
  
 (i) the occurrence of any Event of Default or Potential Event of Default;

  
 (ii) any litigation, arbitration or administrative proceeding
as referred to in Clause 10.1(g) (No Litigation) which involves a claim against the Borrower in an amount not less than US$500,000; 
  
 (c) Compliance with laws: maintain its corporate existence and conduct its business in a proper and efficient manner and in compliance with all laws, regulations,
authorizations, agreements and obligations applicable to it and pay all taxes imposed on it when due; 
  
 (d) Ownership: procure that there is no change of the shareholdings in or ownership or control (direct or indirect) of the Borrower which would have a Material Adverse Effect; 
  
 (e) Amendments to constitution: procure that no amendment or supplement is made to the
memorandum or articles of association of the Borrower without the prior written consent of the Facility Agent (which consent shall not be unreasonably withheld); 
  
 (f) Authorizations: maintain in full force and effect all such authorizations as are referred to in Clause 10.1(e)
(Authorizations), and take immediate steps to obtain and thereafter maintain in full force and effect any other authorizations which may become necessary or advisable for the purposes stated therein and comply with all conditions attached to
all authorizations obtained; 
  
 (g) Ranking of obligations: ensure that
its obligations under this Agreement at all times rank at least pari passu in all respects with all other unsecured and unsubordinated obligations of the Borrower, except those which in a winding-up of the Borrower would be preferred solely
by operation of law; 
  

 24 

 (h) Use of proceeds: use the Facility exclusively for the purposes specified in Clause 2.2 (Purpose);

  
 (i) Payment obligations: punctually pay all sums due from it and
otherwise comply with its obligations under the Finance Documents; 
  
 (j)
Utilization of Gold: use the Gold supplied by the Beneficiary under the SBFMA exclusively for the purpose of supporting its production of gold bonding wire; 
  
 (k) Payment under SBFMA: pay all fees, interest, expenses, charges and all other amounts due and payable by it to the Beneficiary
under the SBFMA through the relevant Charged Accounts; 
  
 (l) Compliance with
SBFMA: at all time, comply with its obligations under the SBFMA; 
  
 (m)
Maintenance of Gold: at all times, maintain all the Gold owned by it (already purchased and settled in full by the Borrower), which does not form part of the Gold supplied or to be supplied by the Beneficiary under the SBFMA, at a minimum
Market Value of at least US$3,000,000; 
  
 (n) Books and records on Gold:
keep proper records and books of account in respect of its business including, without limitation, in respect of all the Gold Inventories and permit the Lenders, the Facility Agent and/or any professional consultants appointed by the Lenders or the
Facility Agent at any time to inspect and examine the records and books of account in respect of such Gold Inventories to verify the level of fully paid and/or unpaid Gold; 
  
 (o) Payment into Charged Accounts: maintain the Charged Accounts and pay or procure that all cash collections (whether principal,
interest or otherwise) and all other cash proceeds, revenues or receivables in relation to the sale or realization of any Gold Inventory are paid forthwith and directly into the relevant Charged Accounts; 
  
 (p) Undertakings relating to SBFMA: supply and/or provide to the Facility Agent
documentary evidence satisfactory to the Facility Agent showing: 
  
 (i) on a daily basis, the day-end Gold quantity under the SBFMA; and 
  
 (ii) on a daily basis, the day-end Gold quantity which has been purchased and paid for by the Borrower; 
  
 (iii) any fixings made by the Borrower with the Beneficiary for any purchase of Gold under the SBFMA with confirmation from the Beneficiary in relation
thereto; 
  
 (iv) any payments due and payable by it to the
Beneficiary for any purchase of Gold under the SBFMA; 
  
 (v) any
deliveries of Gold from the Beneficiary to the Borrower; and 
  
 (iv) any outgoing shipments of Gold from the Borrower; 
  

 25 

 (q) Undertakings relating to SBFMA: supply and/or provide to the Facility Agent: 
  
 (i) a copy of the SBFMA certified as a true copy by a director of the
Borrower; 
  
 (ii) weekly statements from the Beneficiary,
showing all daily trading movements and outstanding balances of the Gold (supplied under the SBFMA) in the Borrower’s possession and the daily fees/ amounts payable by the Borrower to the Beneficiary. The Borrower shall procure that such
statements are sent directly by the Beneficiary to the Facility Agent; 
  
 (iii) copies of the weekly projections provided by it to the Beneficiary showing the Borrower’s Gold requirement; 
  
 (iv) monthly summary statements prepared by the Beneficiary detailing the daily balances of Gold delivered to the Borrower (in troy ounces), invoices and
fees paid and fees due from the Borrower to the Beneficiary; 
  
 (v) quarterly top ten (10) customers aging report of the Borrower; 
  
 (vi) copies of any request from the Borrower to the Beneficiary for any replenishment of Gold; and 
  
 (vii) half-yearly report on the form, quantity and state of any outstanding Gold in the Borrower’s possession. 
  
 (r) Others: 
  
 (i) file with ACRA the deed of release and discharge in respect of the Rothschild Charge referred to in Clause 3.1(e) within
five (5) Business Days from the date of such deed of release and discharge to notify ACRA of the release and discharge in full of the Rothschild Charge; 
  
 (ii) file with ACRA and the relevant authorities all the relevant documents relating to the increase in the share capital of the Borrower and the
allotment of shares in the share capital of the Borrower to AFW within one (1) month of the date of the issuance of the first Guarantee; 
  
 (iii) procure that AFW file with ACRA the deed of release and discharge in respect of the AFW Debenture and the AFW Further Debenture referred to in
Clause 3.1(g) within five (5) Business Days from the date of such deed of release and discharge to notify ACRA of the release and discharge in full of the AFW Debenture and the AFW Further Debenture. 
  

 26 

 (s) K&S Packaging Materials: maintain its sole proprietorship of K&S Packaging Materials and not sell,
transfer or otherwise dispose of any of its rights, title and interest in the business name “K&S Packaging Materials”. 
  
 11.2 Negative Undertakings. The Borrower undertakes and agrees with each Finance Party throughout the continuance of the Finance Documents and so long as any sum
remains owing thereunder that the Borrower will not, unless the Majority Lenders otherwise agree in writing: 
  
 (a) Merger: merge or consolidate with any other entity or take any step with a view to dissolution, liquidation or winding-up; 
  
 (b) Reduction of capital: purchase or redeem any of its issued shares or reduce its share capital or make a distribution of assets or
other capital distribution to its shareholders or make a repayment in respect of any loans or other indebtedness owing to any of its shareholders; 
  
 (c) Dividends: declare or pay any dividend or make any other income distribution to its shareholders in excess of its net profit available for distribution in the
relevant financial year of the Borrower; 
  
 (d) Subsidiaries: establish or
acquire any Subsidiary or invest in any other entity or provide financing to any person the consequences of which would have a Material Adverse Effect; 
  
 (e) Change of business: materially change the nature of its business from that carried on at the date of this Agreement; 
  
 (f) Disposals: sell, transfer or otherwise assign, deal with or dispose of all or any
part of its business or (except for good consideration in the ordinary course of its business) its assets or revenues, whether by a single transaction or by a number of transactions whether related or not; 
  
 (g) Lending; guarantees: make or grant any loan or advance or guarantee or in any
other manner be or become directly or indirectly or contingently liable for any indebtedness or other obligation of any other person (including without limitation the Borrower’s Holding Company, the Ultimate Holding Company or the
Borrower’s related company(s), except as may be necessary in the ordinary course of the Borrower’s business; 
  
 (h) Negative pledge: create or attempt or agree to create or permit to arise or exist any Encumbrance over all or any part of its property, assets or revenues
except (i) any Encumbrance created under the Security Documents or (ii) any possessory lien arising by operation of law in the ordinary course of its business and not in connection with the borrowing or raising of money or credit and provided that
the debt which is thereby secured is paid when due or contested in good faith by appropriate proceedings and properly provisioned. For the purposes of this Clause 11.2(h) only, the term “Encumbrance” shall mean (a) any mortgage, charge,
pledge, lien, encumbrance, hypothecation or other security interest or security arrangement of any kind, (b) any arrangement whereby any rights are subordinated to any rights of any third party; and (c) any contractual right of set-off other than
those arising pursuant to contracts entered into in the ordinary course of business on normal commercial terms. 
  

 27 

 (i) Amendment to SBFMA: amend, vary or supplement the SBFMA without the prior written consent of the Facility
Agent (which consent shall not be unreasonably withheld); or 
  
 (j) Other
obligations: enter into any agreement or obligation which might materially and adversely affect its financial or other condition. 
  
 11.3 Financial Undertakings. The Borrower undertakes with each of the Finance Parties in the terms of Schedule 2. 
  
 12. Events of Default 
  
 12.1 Events of Default. Each of the following events and circumstances shall be an Event of Default: 
  
 (a) Non-payment: the Borrower fails to pay any sum payable under the SBFMA or any
Finance Document when due or otherwise in accordance with the provisions thereof and does not remedy such failure to the Facility Agent’s satisfaction within three (3) Business Days after receipt of written notice from the Facility Agent
requiring it to do so; 
  
 (b) Other obligations: the Borrower fails duly
and punctually to perform or comply with any of its obligations or undertakings under the SBFMA which in the opinion of the Lenders is material or the Borrower fails duly and punctually to perform or comply with any of its obligations or
undertakings under any Finance Document and, in each case, in respect only of a failure which in the opinion of the Facility Agent is capable of remedy and which is not a failure to pay money, does not remedy such failure to the Facility
Agent’s satisfaction within three (3) Business Days (or such longer period as the Facility Agent may approve) after receipt of written notice from the Facility Agent requiring it to do so; 
  
 (c) Misrepresentation: any representation or warranty made or deemed to be made by the
Borrower in or in connection with the SBFMA or any Finance Document proves to have been incorrect or misleading in any respect considered by the Majority Lenders to be material; 
  
 (d) Cross default: the Borrower defaults or receives notice of default under the SBFMA or any agreement or obligation relating to
borrowing or any indebtedness of the Borrower in an aggregate amount of not less than US$1,000,000 (or its equivalent in other currency) becomes payable or capable of being declared payable before its stated maturity or is not paid when due or any
Encumbrance, guarantee or other security now or hereafter created by the Borrower becomes enforceable unless such default or indebtedness is due to or arises as a result of a bona fide dispute which is being contested in good faith by the Borrower
and in respect of which appropriate reserves have been made; 
  

 28 

 (e) Authorization: any of the authorizations referred to in Clause 10.1(e) (Authorizations) is not granted
or ceases to be in full force and effect or is modified in a manner which, in the opinion of the Majority Lenders, might have a Material Adverse Effect, or if any law, regulation, judgment or order (or the repeal or modification of any of the
foregoing) suspends, varies, terminates or excuses performance by the Borrower of any of its obligations under the SBFMA or any Finance Document or purports to do any of the same; 
  
 (f) Creditors’ process: a creditor takes possession of all or any part of the business or assets of the Borrower or any
execution or other legal process is enforced against the business or any asset of the Borrower and is not discharged within fourteen (14) days; 
  
 (g) Damage to Gold: any of the Gold Inventories is seized, expropriated or made subject to any compulsory acquisition or requisition for use or is wholly or
substantially damaged or destroyed, or any loss or damage occurs in respect of any such Gold Inventory whether insured or not, and in the opinion of the Majority Lenders reasonably held, such loss or damage is substantial or the Borrower’s
ability to perform any of its obligations under any Finance Document has been or will be materially and adversely affected; 
  
 (h) Insolvency proceedings: a petition is presented or a proceeding is commenced or an order is made or an effective resolution is passed or a notice is issued
convening a meeting for the purpose of passing any resolution or any other step is taken by any person for the winding-up, insolvency, judicial management, administration, reorganization, reconstruction, dissolution or bankruptcy of the Borrower or
for the appointment of a liquidator, receiver, judicial manager, administrator, trustee or similar officer of the Borrower or of all or any part of its business or assets; 
  
 (i) Suspension of payments: the Borrower stops or suspends payments to the Beneficiary or any of its creditors generally or is unable
or admits its inability to pay its debts as they fall due or seeks to enter into any composition or other arrangement with its creditors or is declared or becomes bankrupt or insolvent; 
  
 (j) Analogous events: any event occurs which in the opinion of the Facility Agent appears to have an effect analogous to the matters
set out in paragraphs (f), (h) or (i) above in any jurisdiction in which the Borrower is incorporated or carries on business; 
  
 (k) Cessation of business; expropriation: the Borrower ceases or threatens to cease to carry on its business or any substantial part thereof or changes or
threatens to change the nature or scope of its business or the Borrower disposes of or threatens to dispose of or any governmental or other authority expropriates or threatens to expropriate all or any substantial part of its business or assets;

  

 29 

 (l) Other parties: any event which has an effect equivalent or similar to the events described in paragraphs (f),
(h), (i) or (j) occurs, mutatis mutandis, in relation to the Ultimate Holding Company or any Subsidiary of the Borrower; 
  
 (m) Unlawfulness: the SBFMA or any Finance Document or any provision thereof ceases for any reason to be in full force and effect or is terminated or jeopardized
or becomes invalid or unenforceable or if there is any dispute regarding the validity or enforceability of the same, which is the opinion of the Lenders is material or if there is any purported termination or repudiation of the same or it becomes
impossible or unlawful for the Borrower or any other party thereto to perform any of its obligations thereunder or for any Finance Party to exercise all or any of its rights, powers and remedies thereunder or any undertaking in Clause 11.1
(Affirmative Undertakings) is not enforceable as such and the Borrower fails to do, or fails to refrain from doing, the activity which it purported to undertake to do or, as the case may be, not to do; 
  
 (n) Material adverse change: any situation occurs which in the opinion of the Majority
Lenders gives reasonable grounds to believe that a material adverse change in the business of financial condition of the Borrower has occurred or that the ability of the Borrower to perform its obligations under the SBFMA or any Finance Document has
been or will be materially and adversely affected; 
  
 (o) Declared
Company: the Borrower is declared by the Minister of Finance to be a declared company under the provisions of Part IX of the Companies Act (Chapter 50) of the Statutes of the Republic of Singapore; or 
  
 (p) K&S Packaging Materials: the Borrower ceases to be the sole proprietor of
K&S Packaging Materials or otherwise disposes all or any part of its rights, title and interest in the business name “K&S Packaging Materials”. 
  
 12.2 Declarations. If an Event of Default has occurred the Facility Agent may, and upon written request by the Majority Lenders
shall, by written notice to the Borrower: 
  
 (a) declare the Facility terminated
whereupon the obligation of the Lenders to procure the issue of, and of the Issuing Bank to issue, any Guarantee (if none has been already been issued) shall immediately cease; and 
  
 (b) require the Borrower to pay to the Facility Agent, such amount as the Facility Agent shall certify to be equal to the Contingent
Liability of all the Lenders outstanding at the date of such notice (to the extent that such amount has not already been paid or reimbursed by the Borrower) and all other sums whatsoever, whether by way of fees, indemnities or otherwise, payable by
the Borrower under the Facility (or any part thereof), whereupon such amount shall become immediately or in accordance with such notice due and payable. 
  

 30 

 13. DEFAULT INTEREST 
  
 If the Borrower fails to pay any sum payable under this Agreement when due, the Borrower shall pay interest on such sum from and including the due date to the date of
actual payment (as well after as before judgment) at the rate per annum conclusively determined by the Facility Agent to be the aggregate of (i) two percent (2%) and (ii) the rate from time to time certified by each of the Lenders to be the rate
representing the cost to it of funding the unpaid sum. Interest at the rate or rates determined from time to time as aforesaid shall accrue from day to day, shall be calculated on the basis of the actual number of days elapsed and a 360 day year and
shall be payable from time to time on demand. 
  
 14. Set-off and Pro Rata
Sharing 
  
 14.1 Set-Off. If an Event of Default has occurred each
Finance Party shall have the right, without notice to the Borrower or any other person, to set off and apply any credit balance on any account (whether subject to notice or not and whether matured or not and in whatever currency) of the Borrower
with such Finance Party, and any other indebtedness owing by such Finance Party to the Borrower, against the liabilities of the Borrower under the Finance Documents to which it is a party, and each Finance Party is authorized to purchase with the
monies standing to the credit of any such account such other currencies as may be necessary for this purpose. This Clause shall not affect any general or banker’s lien, right of set-off or other right to which any Finance Party may be entitled.

  
 14.2 Pro Rata Sharing. If a Finance Party (a
“Recovering Finance Party”) receives or recovers any amount from the Borrower or otherwise in respect of sums due from the Borrower (other than in accordance with Clause 9.2 (Payments by Borrower)) and applies that amount to a
payment due under the Finance Documents then: 
  
 (a) the Recovering Finance
Party shall, within three (3) 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 9.2 (Payments by Borrower), 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 (3) 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 this Clause 14.2. 
  
 The Facility Agent shall
treat the Sharing Payment as if it had been paid by the Borrower and distribute it between the Finance Parties (other than the Recovering Finance Party) in accordance with this Clause 14.2. On a distribution by the Facility Agent under this Clause
14.2, the Recovering Finance Party will be subrogated to the rights of the Finance Parties which have shared in the redistribution. If and to the extent that the Recovering Finance Party is not able to rely on its rights of subrogation, the Borrower
shall be liable to the Recovering Finance Party for a debt equal to the Sharing Payment which is immediately due and payable. 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: 
  

 31 

 (i) each Finance Party which has received a share of the relevant Sharing Payment pursuant to this Clause 14.2 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); and 
  
 (ii) that Recovering Finance Party’s rights of subrogation in respect of any reimbursement shall be cancelled and the Borrower will be liable to the reimbursing
Finance Party for the amount so reimbursed. 
  
 This Clause 14.2 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 Borrower. 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 it notified that other Finance Party of the legal or arbitration proceedings and 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. 
  
 14.3 No Encumbrance. Clause 14.2 (Pro Rata Sharing) shall not constitute and
shall not be construed as constituting an Encumbrance by any Lender over all or any part of any sum received or recovered by it in the manner set out in Clause 14.2 (Pro Rata Sharing). 
  
 15. The Finance Parties 
  
 15.1 Appointment. Each of the other Finance Parties hereby appoints the Facility Agent to act as its agent in relation to the
administration of the Facility and the Security Agent to act as its agent and trustee in relation to the Security Documents and authorizes the Security Agent to enter into the Security Documents on its behalf and authorizes the Security Agent to
settle the rights, benefits and interests as described in each of the Security Documents on trust on its behalf and authorizes each of the Facility Agent and the Security Agent to take such action on its behalf and to exercise and enforce such
rights, powers and discretions as are expressly or by implication delegated to the Facility Agent or, as the case may be, the Security Agent by the terms of this Agreement and the Security Documents and such rights, powers and discretions as are
reasonably incidental thereto. 
  

 32 

 15.2 Declaration of Trust. The Security Agent hereby declares that it will hold the Trust Property upon trust for
the Finance Parties from time to time in accordance with the Finance Documents. The trusts of the Trust Property shall remain in full force and effect until such date as the Security Agent on the instructions of the Facility Agent shall specify on
which: 
  
 (i) all the obligations which are secured by the
Security Documents have been fully and finally discharged; and 
  
 (ii) no Finance Party is under any commitment, obligation or liability (whether actual or contingent) to make advances or provide any other financial accommodation to the Borrower under any Finance Document, 
  
 after which the trusts set out in this Agreement shall be wound up and the Security Agent
shall release, without recourse or warranty, all of the security created by the Security Documents. 
  
 15.3 Covenant to Pay. Without prejudice to its respective obligations to the Finance Parties under the other provisions of the Finance Documents to which it is a party, the Borrower undertakes to the Security
Agent to pay to the Security Agent from time to time on demand (any such demand being expressed to be made under this Clause) all amounts from time to time due and payable by it for the account of any other party to this Agreement pursuant to any
Finance Document to the extent not already paid. Any payment made pursuant to any such demand shall, to the extent of such payment, also discharge the Borrower’s obligation to make payment for the account of the person concerned. 
  
 15.4 Nature of Duties. The duties and functions of the Facility Agent and the Security
Agent shall be of a mechanical and administrative nature only. The Facility Agent shall not be deemed to be a trustee of any Finance Party except as specified in the Finance Documents and shall not be deemed to be an agent or trustee of the Borrower
for any purpose. The Facility Agent and the Security Agent shall have no duties or obligations except those expressly set out in the Finance Documents. 
  
 15.5 Specific Duties. The Facility Agent shall: 
  
 (a) promptly account to each Lender for its due proportion of all payments received by the Facility Agent from the Borrower or otherwise in connection with the Facility;

  
 (b) promptly inform each Lender of: 
  
 (i) the contents of any document which the Facility Agent receives in
respect of the Facility and which it considers to be material; and 
  
 (ii) any material Event of Default of which an officer of the Facility Agent acting in respect of the Finance Documents and in his capacity as such has actual knowledge; 
  

 33 

 (c) except as otherwise provided in this Agreement, take or refrain from taking any action in accordance with any lawful
and proper instructions given to it by the Majority Lenders, and any such instructions shall be binding on all the Finance Parties, and the Facility Agent shall have no liability to the Borrower or any other Finance Party if it acts (or refrains
from taking any action) in accordance with any lawful and proper instructions of the Majority Lenders; 
  
 (d) consult with the other Finance Parties to the extent practicable before making any declaration or demand under Clause 12.2 (Declarations) or effecting any amendment or waiver under Clause 16
(Amendment) and Clause 17 (Waiver and Severability) respectively. 
  
 15.6 Rights and Powers. The Facility Agent may: 
  
 (a) perform
any of its duties and functions through its directors, officers, employees or agents; 
  
 (b) engage and pay for the advice or services of lawyers, accountants or other professional advisers or experts as the Facility Agent may consider necessary or desirable and rely and act upon such advice; 
  
 (c) refrain from exercising any of its rights, powers and discretions unless and until
instructed to do so, and as to the manner of doing so, by the Majority Lenders, and refrain from acting upon any instructions to take enforcement action until it has been indemnified or secured to its satisfaction against any liabilities, costs and
expenses which it may incur; 
  
 (d) (but shall not be obliged to) in the absence
of any instructions from the Majority Lenders (or, if appropriate, the Lenders), act (or refrain from taking action) as it considers to be in the best interest of the Finance Parties; 
  
 (e) refrain from taking any action which in its opinion would or might contravene any law or regulation or render it liable to any person,
and do all things which in its opinion may be necessary in order to comply with any law or regulation; 
  
 (f) if any Finance Party owes an amount to the Facility Agent under any Finance Document, after giving notice to that Finance Party deduct an amount not exceeding the amount owed by the Finance Party from any payment
which the Facility Agent would otherwise be obliged to make to that Finance Party under the Finance Documents and apply the amount deducted in or towards satisfaction of the amount owed to the Facility Agent, and for the purposes of the Finance
Documents that Finance Party shall be regarded as having received any amount so deducted; 
  
 (g) disclose to the other Finance Parties any information which, in the opinion of the Facility Agent, is received by it in its capacity as the Facility Agent; 
  
 (h) deduct from any amount received by it for the account of the other Finance Parties pro
rata any unpaid fees, costs and expenses of the Facility Agent incurred by it in connection with the Finance Documents; 
  

 34 

 (i) assume that no Event of Default or Potential Event of Default has occurred, that any representation made by the
Borrower in or in connection with any Finance Document is true and that no party is in breach of its obligations under any Finance Document unless the Facility Agent receives specific written notice to the contrary; 
  
 (j) rely upon any communication or document which it believes to be genuine and, as to any
matters of fact which can reasonably be expected to be within the knowledge of any other party to any Finance Document, rely upon a certificate signed by or on behalf of that party; 
  
 (k) assume that each Lending Office is that identified in Schedule 1 until it has received from the relevant Lender or transferee a notice
designating another office as its Lending Office and may act upon such notice until the same is superseded by a further such notice; and 
  
 (l) deposit any instruments, documents or deeds delivered to it with any bank or professional custodian or with its or any Finance Party’s legal advisers and shall
not be liable for any loss thereby incurred in the absence of any negligence or willful default by it and the Facility Agent shall not be in any way liable for any loss incurred through the misconduct or default of such delegate. 
  
 15.7 No Liability to Finance Party. The Facility Agent shall have no liability or
obligation to any other Finance Party: 
  
 (a) as a result of any failure or
delay by the Borrower or any other party in performing its respective obligations under any Finance Document; 
  
 (b) for the authorization, execution, legality, validity, enforceability, effectiveness, genuineness or sufficiency of any Finance Document or any other document relevant to this transaction or for the collectability
of any sum payable under any Finance Document; 
  
 (c) for: 
  
 (i) the accuracy or completeness of any other information supplied by any person at any time
whether or not such information was or is circulated by the Facility Agent; 
  
 (ii) the accuracy of any representation, warranty or statement (whether written or oral) made in or at any time in connection with any Finance Document; 
  
 (d) to take any steps to ascertain whether an Event of Default or Potential Event of Default has occurred or whether the Borrower or any
other party is otherwise in breach of any of its respective obligations or any representation or warranty under any Finance Document; 
  

 35 

 (e) to provide any credit or other information relating to the Borrower or any member of the Group or otherwise relating
to the Facility, except as expressly stated in this Agreement; 
  
 (f) to account
for any sum received by the Facility Agent (other than for the account of the other Finance Parties) by way of fees or reimbursement of expenses in connection with any Finance Document or for any benefit received by it arising out of any present or
future banking or other relationship with the Borrower or any person connected with the Borrower; 
  
 (g) for any delay (or any related consequences) in crediting an account with any amount required to be paid by the Facility Agent under any Finance Document 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; 
  
 (h) as a result of any act or omission by the Facility Agent or any director, officer, employee or agent of the Facility Agent in connection
with the Facility, except in the case of the Facility Agent’s negligence or willful misconduct. 
  
 Each other Finance Party agrees that it will not seek to make any claim against any director, officer, employee or agent of the Facility Agent in respect of any of the matters described in this Clause 15.7.

  
 15.8 No Liability to Borrower. The Facility Agent shall have no
liability or obligation to the Borrower as a result of any failure or delay by any Finance Party or any other party in performing its respective obligations under any Finance Document. 
  
 15.9 Indemnity. The Lenders shall indemnify the Facility Agent upon demand from and against all claims, actions, liabilities,
damages, penalties, losses, costs and expenses (including legal fees) which the Facility Agent may incur in any way relating to or arising out of any Finance Document or relating to or arising out of any action taken or omitted to be taken by the
Facility Agent in seeking to protect, exercise or enforce the rights of the Finance Parties or otherwise in connection with the Facility, unless and to the extent that any of the foregoing results directly from the Facility Agent’s negligence
or willful misconduct. The Lenders shall be severally liable under the foregoing indemnity in proportion to their respective Commitments in the Facility. The Borrower shall immediately on demand reimburse each Lender for any payment made under this
Clause. 
  
 15.10 Acknowledgement by other Finance Parties. Each of the
other Finance Parties acknowledges to and agrees with the Facility Agent that: 
  
 (a) it has itself been and will continue to be solely responsible for making its own independent analysis of and investigations into the status, creditworthiness, prospects, business, operations, assets and condition of the Borrower, any
member of the Group and any other person referred to herein and for making its own decisions as to the entering into or the taking or not taking of any action in connection with this transaction; and 
  

 36 

 (b) it has not relied upon any representation or statement made by the Facility Agent as being an inducement to enter
into any of the Finance Documents. 
  
 15.11 Certifications by Facility
Agent. Where any provision of any Finance Document provides that the Facility Agent may certify or determine an amount or rate payable by the other Finance Parties or any of them, a certificate by the Facility Agent as to such amount or rate
shall be conclusive and binding on each such other Finance Party in the absence of manifest error. 
  
 15.12 No Restriction of Business. The Facility Agent shall have the same rights and powers in its capacity as a Lender as any other Lenders and may exercise such rights and powers as if it was not acting as an
agent in relation to any of the Finance Documents. The Facility Agent may engage in any banking or other business with the Borrower or any person connected with the Borrower and may treat as confidential, and shall not be obliged to disclose to any
other Finance Party, any information which it receives in connection with such other business. 
  
 15.13 Resignation of Facility Agent. The Facility Agent may resign at any time by giving not less than thirty (30) days’ prior written notice to the Lenders and the Borrower. The Majority Lenders, on
behalf of the Finance Parties, shall have the right to appoint a successor Facility Agent, but if they do not do so within the period of such notice the retiring Facility Agent may appoint a successor Facility Agent. The Facility Agent’s
resignation shall not take effect until a successor Facility Agent has been appointed. Upon such appointment the successor Facility Agent shall succeed to and become vested with all the rights, powers, discretions and duties of the retiring Facility
Agent and the retiring Facility Agent shall be discharged from any further duties and obligations hereunder. The parties to this Agreement agree to execute whatever documents may be necessary to effect such a change of Facility Agent. After any
retiring Facility Agent’s resignation the provisions of this Clause 15 shall continue in effect for its benefit in respect of any actions taken or omitted to be taken by it while it was acting as the Facility Agent. 
  
 15.14 Security Agent. The following provisions shall apply to the Security Agent in
its capacity as trustee in relation to any of the Security Documents: 
  
 (a) the
Security Agent: 
  
 (i) may accept without enquiry or objection
such title as the Borrower may have to any assets which are subject to any of the Security Documents and shall not be liable for any lack of or defect in such title, whether apparent or not and whether capable of remedy or not; 
  
 (ii) shall not be liable for any omission or delay in giving notice to any
third party, or effecting any filing or registration, or obtaining any authorization, or otherwise perfecting the security constituted by any of the Security Documents; 
  
 (iii) shall not be obliged to hold any share certificates, title or other documents relating to the assets charged under any
of the Security Documents in its own possession or to take any steps to protect or preserve such documents, and may permit the Borrower (or its lawyers or representatives) to retain such documents in its possession if it is reasonable in the
circumstances; 
  

 37 

 (iv) may procure that any investment or all or any part of the property and assets charged or assigned
under the Security Documents, or the proceeds thereof, is held and/or registered in the name of its nominee; 
  
 (b) unless provided otherwise in any Security Document, monies which are received by the Security Agent and held by it as trustee in relation to any of the Security Documents may be invested in the name of or under
the control of the Security Agent in any investment authorized by Singapore law for the investment of trust money by trustees or in any other investments which may be selected by the Security Agent, and if not otherwise invested such monies may be
placed on deposit in the name of or under the control of the Security Agent at such bank or institution (including the Security Agent) and upon such terms as the Security Agent may think fit; 
  
 (c) each of the other Finance Parties authorizes the Security Agent (by itself or by such
person(s) as it may nominate) to execute and enforce the Security Documents as trustee, as agent or as otherwise provided, and confirms that the Security Agent shall have an independent right to release from any Security Document any asset permitted
to be disposed of under this Agreement or the relevant Security Document and authorizes the Security Agent to execute any document which is reasonably required to achieve the release of any property or asset subject to the relevant Security Document
as permitted or required by the terms of this Agreement or the relevant Security Document; 
  
 (d) the Security Agent may appoint any person established or resident in any jurisdiction (whether a trust corporation or not) to act as a trustee or agent, either separately or jointly with the Security Agent, in
relation to any of the Security Documents if the Security Agent considers that such an appointment is necessary or desirable for the purpose of conforming with any legal requirement in any relevant jurisdiction or otherwise for the purpose of
holding, administering, protecting or enforcing any of the Security Documents, and any such trustee or agent shall have such powers and discretions (not exceeding those conferred on the Security Agent) and such obligations as shall be conferred or
imposed on it by the Security Agent; 
  
 (e) in relation to any Security Document
governed by a law other than Singapore law, each Finance Party: 
  
 (i) shall execute and deliver any Security Document which, under applicable law, cannot be entered into by the Security Agent on its behalf, for example, because the security constituted by the Security Document must be entered into by it
as creditor having a pro rata claim of the claims secured thereby; 
  

 38 

 (ii) grants the Security Agent power of representation in relation to the execution, enforcement and
administration of the Security Documents; and 
  
 (iii) shall
enter into such notarial deeds or other deeds or documents as are required under any applicable law relating to the security constituted by the Security Documents to enable the Security Agent or another attorney-in-fact to execute any Security
Document on such Finance Party’s behalf and administer and enforce such security; 
  
 (f) Clauses 15.6 to 15.13 shall also apply to the Security Agent as if references therein to the Facility Agent in its capacity as such were references to the Security Agent in its capacity as trustee in relation to any of the Security
Documents. 
  
 15.15 No Partnership. Nothing contained or implied in this
Agreement shall constitute or be deemed to constitute a partnership between any of the parties to this Agreement. 
  
 16. Amendment 
  
 Any amendment or waiver of any provision of this Agreement and any waiver of any default under this Agreement shall only be effective if made in writing and signed by or
on behalf of the party against whom the amendment or waiver is asserted. For these purposes, any amendment or waiver which is made in writing by the Facility Agent at the direction of the Majority Lenders shall be binding on all Finance Parties,
except that the written approval of all Lenders is required where that amendment or waiver relates to: 
  
 (a) an increase of the Facility or of any Lender’s Commitment or the length of the Availability Period or the Guarantee Period or the amount or currency of or the due date for any payment of principal or interest
on the Facility; 
  
 (b) a reduction in the rate or rates of interest or any
commitment or other fees or other amounts payable to the Lenders hereunder; 
  
 (c) any voluntary or mandatory prepayment; 
  
 (d) any amendment of the
definition of “Majority Lenders” or of the provisions of this Clause; 
  
 (e) the provision of any guarantee of or security for the Borrower’s obligations under this Agreement or the release or amendment of any Security Document or the release of any security created thereby; or 
  
 (f) any provision of this Agreement which expressly requires the consent of all Lenders.

  
 Any amendment affecting the rights of the Facility Agent or the Security Agent
shall also require the consent of the Facility Agent or the Security Agent as appropriate. 
  

 39 

 17. Waiver and Severability 
  
 Time is of the essence of this Agreement but no failure or delay by any Finance Party in exercising any right, power or remedy hereunder
shall impair such right, power or remedy or operate as a waiver thereof, nor shall any single or partial exercise of the same preclude any further exercise thereof or the exercise of any other right, power or remedy. The rights, powers and remedies
herein provided are cumulative and do not exclude any other rights, powers and remedies provided by law. If at any time any provision of this Agreement is or becomes illegal, invalid or unenforceable in any respect under the law of any jurisdiction,
the legality, validity and enforceability of such provision under the law of any other jurisdiction, and of the remaining provisions of this Agreement, shall not be affected or impaired thereby. 
  
 18. Miscellaneous 
  
 18.1 Execution. This Agreement shall become effective as of the date hereof. 
  
 18.2 Entire Agreement. The Finance Documents constitute the entire obligation of the
Finance Parties and supersede any previous expressions of intent or understandings in respect of this transaction. 
  
 18.3 Publicity. No announcement or other publicity in connection with this Agreement or relating in any way to the Facility shall be made or arranged except by the
Facility Agent or with the Facility Agent’s prior written consent. 
  
 18.4
Counterparts. This Agreement may be executed in any number of counterparts and by different parties on separate counterparts which when taken together shall be deemed to constitute one agreement. 
  
 19. Assignment AND Lending Offices 
  
 19.1 The Borrower. The Borrower shall not assign or transfer all or any part of its
rights or obligations under this Agreement. 
  
 19.2 The Issuing Bank. The
Issuing Bank shall not assign or transfer all or any part of its rights or obligations under this Agreement. 
  
 19.3 Assignment and Transfer by Lender. Any Lender (an “assignor lender”) may at any time, subject to (a) providing the Facility Agent with prior notice, and (b) the consent of the Issuing Bank assign
and/or transfer to any one or more banks or other financial institutions (an “assignee lender”) all or any part of the rights, benefits and obligations of the assignor lender under or arising out of this Agreement, Provided that:

  
 (a) if the assignor lender is an Initial Lender, it shall also obtain the
prior consent of the other Initial Lender; 
  

 40 

 (b) the assignee lender shall, by delivery of such undertaking or agreement as the Facility Agent and the Issuing Bank
may approve and prior to the assignment and/or transfer taking effect, agree to assume and perform that proportion of the assignor lender’s obligations hereunder as corresponds with the proportion of its rights hereunder so assigned and/or
transferred; 
  
 (b) the Borrower shall execute and do all such transfers,
assignments, assurances, acts and things as the Facility Agent or the Issuing Bank may require for perfecting and completing the assignment and/or transfer of such rights, benefits and obligations; and 
  
 (c) the assignor lender (and not the Borrower) shall reimburse the Facility Agent and the
Issuing Bank upon demand for all reasonable costs, charges and expenses (including legal fees) incurred by it in preparing or approving any document as aforesaid or otherwise in connection with such assignment and/or transfer. 
  
 Upon the assignment and/or transfer taking effect (i) the assignor lender shall be released
from such obligations and the Borrower and (if and to the extent applicable) the Finance Parties shall look only to the assignee lender in respect of such obligations and (ii) references in the Finance Documents to the assignor lender shall be
construed accordingly as references to the assignee lender or the assignor lender, as relevant. All agreements, representations and warranties made herein shall survive any assignments made pursuant to this Clause and shall inure to the benefit of
all assignee lenders as well as all assignor lenders. 
  
 19.4
Participations. A Lender may at any time grant one or more participations in its rights and/or obligations under the Finance Documents but no other party thereto shall be concerned in any way with any participation so granted. 
  
 19.5 Disclosure. A Finance Party may disclose to (a) any assignee, transferee or
participant or potential assignee, transferee or participant, (b) any Holding Company of such Finance Party or (c) any Subsidiary of such Finance Party or of its Holding Company on a confidential basis such information about the Borrower as such
Finance Party shall consider appropriate. Any Finance Party and any person to whom disclosure has been made pursuant to this Clause may also make such disclosures as may be required by any applicable law of Singapore or elsewhere. 
  
 19.6 Lending Offices. Each Lender shall act initially through its Lending Office
specified in Schedule 1 and may act subsequently through any of its other offices as selected by it from time to time. A Lender shall promptly notify the Facility Agent of any change of its Lending Office. 
  
 19.7 No Increased Cost, Taxes or Deductions. The Borrower shall not become liable to
pay any amount under Clause 7.1 (No Deductions or Withholdings) if and to the extent that the liability to pay that amount would arise at the time of, and solely as a result of, an assignment or transfer of rights, benefits or obligations or
a change of Lending Office pursuant to Clause 19.3 (Assignment and Transfer by Lenders) or Clause 19.6 (Lending Offices), unless: 
  
 (a) Approval: the Borrower shall have previously requested such assignment, transfer or change; or 
  

 41 

 (b) Unlawfulness: it would have been or would have become unlawful for the Lender which has transferred such rights,
benefits or obligations or changed its Lending Office to have continued to participate in the Facility or to have continued to do so through its previous Lending Office. 
  
 20. Notices 
  
 20.1 Delivery. Each notice, demand or other communication to be given or made under this Agreement shall be in writing and delivered or sent to the relevant party
at its address or fax number set out below (or such other address or fax number as the addressee has by five (5) days’ prior written notice specified to the other parties): 
  

					
	 To the Borrower:
	 	 KULICKE & SOFFA (S.E.A.) PTE. LTD.

	 	 	 6 Serangoon North Avenue 5

	 	 	 #03-16

	 	 	 Singapore 554910

  

					
	 	  	 Fax Number
	 	 : (65) 6880 9662

	 	  	 Attention
	 	 : Ho Siew Foong/ Conrad Wee

  

					
		
	 To the Facility Agent:
	 	 NATEXIS BANQUES POPULAIRES

	 	 	 SINGAPORE BRANCH

	 	 	 50 Raffles Place #41-01

	 	 	 Singapore Land Tower

	 	 	 Singapore 048623

  

					
	 	  	 Telephone No.
	 	 : (65) 6224 1455

	 	  	 Fax Number
	 	 : (65) 6224 8651

	 	  	 Attention
	 	 : Karen Lim/ Kelly Yan

  
 and to the Lenders at their respective
Lending Offices. 
  
 20.2 Deemed Delivery. Any notice, demand or other
communication so addressed to the relevant party shall be deemed to have been delivered (a) if given or made by letter, when actually delivered to the relevant address, (b) if given or made by fax, when despatched with electronic confirmation of
complete and error-free transmission, Provided that, if such day is not a working day in the place to which it is sent, such notice, demand or other communication shall be deemed delivered on the next following working day at such place. 

 
 20.3 Facility Agent. All communications between the Lenders and the Borrower and/or
the Issuing Bank in relation to this Agreement shall be made through the Facility Agent. 
  

 42 

 20.4 Language. Each notice, demand or other communication hereunder and any other documents required to be
delivered hereunder shall be either in English or accompanied by a certified translation thereof into the English language. 
  
 21. Governing Law and Jurisdiction 
  
 21.1 Law. This Agreement and the rights and obligations of the parties hereunder shall be governed by and construed in accordance with the laws of Singapore.

  
 21.2 Jurisdiction. The Borrower irrevocably agrees for the benefit of
each of the Finance Parties that any legal action or proceeding arising out of or relating to this Agreement may be brought in the courts of Singapore and irrevocably submits to the non-exclusive jurisdiction of such courts. 
  
 21.3 No Limitation on Right of Action. Nothing herein shall limit the right of the
Finance Parties to commence any legal action against the Borrower and/or its property in any other jurisdiction or to serve process in any manner permitted by law, and the taking of proceedings in any jurisdiction shall not preclude the taking of
proceedings in any other jurisdiction whether concurrently or not. 
  
 21.4
Waiver; Final Judgment Conclusive. The Borrower irrevocably and unconditionally waives any objection which it may now or hereafter have to the choice of Singapore as the venue of any legal action arising out of or relating to this Agreement
and agrees not to claim that any court thereof is not a convenient or appropriate forum. The Borrower also agrees that a final judgment against it in any such legal action shall be final and conclusive and may be enforced in any other jurisdiction,
and that a certified or otherwise duly authenticated copy of the judgment shall be conclusive evidence of the fact and amount of its indebtedness. 
  
 21.5 Waiver of Immunity. The Borrower irrevocably and unconditionally waives any immunity to which it or its property may at any time be or become entitled,
whether characterized as sovereign immunity or otherwise, from any set-off or legal action in Singapore or elsewhere, including immunity from service of process, immunity from jurisdiction of any court or tribunal, and immunity of any of its
property from attachment prior to judgment or from execution of a judgment. 
  
 IN
WITNESS whereof this Agreement has been executed by the parties hereto as of the date stated at the beginning of this Agreement. 
  

 43 

 SCHEDULE 1 
  
 THE INITIAL LENDERS 
  

					
			
	 Name and Lending Office
	  	 	  	 Commitment

			
	 NATEXIS BANQUES POPULAIRES
	  	 	  	 US$12,000,000

	 SINGAPORE BRANCH
	  	 	  	 
			
	 50 Raffles Place #41-01
	  	 	  	 
	 Singapore Land Tower
	  	 	  	 
	 Singapore 048623
	  	 	  	 
			
	 Telephone No.     :
	  	 (65) 6224 1455
	  	 
	 Fax No.                :
	  	 (65) 6224 8651
	  	 
	 Attention              :
	  	 Clara Hang
	  	 
			
	 ARAB BANK plc
	  	 	  	 US$5,000,000

	 SINGAPORE BRANCH
	  	 	  	 
			
	 Arab Bank plc, Singapore Branch
	  	 	  	 
	 80 Raffles Place #32-20
	  	 	  	 
	 UOB Plaza 2
	  	 	  	 
	 Singapore 048624
	  	 	  	 
			
	 Telephone No.     :
	  	 (65) 6533 0055
	  	 
	 Fax No.                :
	  	 (65) 6532 2150/ (65) 6435 5803
	  	 
	 Attn                     
:
	  	 Lynette Boey/ Wong Fook Keong
	  	 

  

 44 

 SCHEDULE 2 
  
 FINANCIAL UNDERTAKINGS 
  
 The Borrower undertakes and agrees with each of the Finance Parties throughout the continuance of this Agreement and so long as any sum remains owing hereunder that the Borrower will, unless the Majority Lenders
otherwise agree in writing, ensure that: 
  
 (a) the Total Net Worth shall not at
any time be less than twenty nine million United States of America Dollars (US$29,000,000); 
  
 (b) the ratio of Total Liabilities to Total Net Worth shall not at any time exceed 2:1; 
  
 (c) the ratio of EBITDA to Interest Expense shall not at any time be less than 2.25:1; 
  
 (d) the ratio of Total Current Assets to Total Current Liabilities shall at all times exceed 1.2:1. 
  
 The financial covenants set out in paragraphs (a) to (d) shall be tested on a semi-annual
basis based on the Borrower’s financial year. 
  
 “Borrowed Money”
means indebtedness (other than ordinary trade indebtedness) incurred in respect of (a) money borrowed or raised, (b) any bond, note, loan stock, debenture or similar instrument, (c) acceptance credit, documentary credit or commercial paper
facilities, (d) deferred payments for assets or services acquired, (e) rental payments under leases (whether in respect of land, machinery, equipment or otherwise) entered into primarily as a method of raising finance or of financing the acquisition
of the asset leased, (f) guarantees, bonds, standby letters of credit or other instruments issued in connection with the performance of contracts, (g) receivables sold or discounted otherwise than on a non-recourse basis, (h) any other transaction
having the commercial effect of borrowing or raising of money (including forward sale or purchase agreements) and (i) guarantees or other assurances against financial loss in respect of Borrowed Money of any person falling within any of (a) to (h)
above; 
  
 “EBITDA” means, in relation to the Borrower, in respect of
any financial year, its earnings before Interest Expense, taxation, depreciation and amortization after exceptional items, determined by reference to the Relevant Financial Statements; 
  
 “Relevant Financial Statements” means, at any particular time, the then latest financial statements of the Borrower delivered to
the Facility Agent pursuant to Clause 11.1(a) (Financial and other Information); 
  
 “Total Current Assets” means the amount equal to the aggregate of the assets of the Borrower which, in accordance with generally accepted accounting principles in Singapore, would be classified as current assets; 
  
 “Total Current Liabilities” means the amount equal to the aggregate of the
liabilities of the Borrower which, in accordance with generally accepted accounting principles in Singapore, would be classified as current liabilities; 
  

 45 

 “Total Interest Expense” means, for any period, the aggregate interest expense, fees and other payments of a
similar nature accrued or due from the Borrower in respect of Borrowed Money (determined in accordance with generally accepted accounting principles in Singapore), but in any event including: 
  
 (a) interest on bank borrowings, guaranteed convertible and exchangeable notes and other loan
payable; 
  
 (b) capitalized interest; 
  
 (c) the amount of all amortization, discounts and similar allowances on the issue or disposal
of guaranteed convertible and exchangeable notes and other debt instruments; 
  
 (d) all finance charges under finance leases, and hire purchase agreements of a financing nature; 
  
 (e) the amount in the nature of interest payable in respect of any shares other than equity share capital; 
  
 (f) the net amount payable in respect of any interest hedging arrangements of a financing nature; 
  
 (g) non-cash interest payments or accruals, or commissions, discounts, other fees and charges owed with respect to letters of credit and
bankers acceptance financing and net cost associated with swap agreements; and 
  
 (h) all other expenses and amounts that are required by generally accepted accounting principles in Singapore to be treated as interest, 
  
 but without deducting any Total Interest Income earned from any banks; 
  
 “Total Interest Income” means, for any period, the aggregate interest income in respect of indebtedness (determined in accordance with generally accepted
accounting principles in Singapore) owing to the Borrower, but in any event including interest income on redeemable convertible notes owned by the Borrower; 
  
 “Total Liabilities” means the total liabilities of the Borrower calculated by reference to the Relevant Financial Statements and in accordance with generally
accepted accounting principles in Singapore and shall, insofar as not otherwise taken into account, be deemed to include the following: 
  
 (a) all indebtedness of the Borrower, including indebtedness under this Agreement, but excluding shareholders’ loans to the Borrower which are subordinated to all
other indebtedness of the Borrower; 
  
 (b) all actual liabilities of whatsoever
nature of the Borrower including but not limited to any premium mandatorily payable on redemption of any indebtedness, all contingent liabilities incurred in respect of any indebtedness of any person other than the Borrower, and all other
liabilities in the nature of guarantees to the extent that such liabilities are required to be included under generally accepted accounting principles in Singapore, provided that no liability shall be included in the calculation of Total Liabilities
more than once; and 
  

 46 

 “Total Net Worth” means the aggregate of: 
  
 (a) the amount for the time being paid up or credited as paid up on the issued share capital of the Borrower; and 
  
 (b) the amounts for the time being standing to the credit of the capital and revenue reserves
of the Borrower including any share premium account, capital redemption reserve fund, property valuation reserve (where the revaluation in question is in accordance with a report of a professional valuer approved by the Facility Agent) and profit
and loss account; 
  
 (c) shareholders’ loans to the Borrower which are
subordinated to all other indebtedness of the Borrower, 
  
 (d) the sum equal to
the AFW Payables Amount; 
  
 all as shown in the Relevant Financial Statements,
but after: 
  
 (i) deducting therefrom (if not otherwise
deducted) any amounts attributable to intangible assets, including goodwill, distribution rights and intellectual property, and the amount of any debit balance on profit and loss account; 
  
 (ii) deducting therefrom a sum equal to the amounts by which the book value
of any assets (not being current assets) of the Borrower are written up (other than as a result of any change in currency exchange rates) after the date of this Agreement; for the purpose of this definition any increase in the book value of any
asset resulting from their transfer by any of its Subsidiaries to the Borrower shall be deemed to result from a writing up of the book value of such asset; 
  
 (iii) deducting therefrom any amount distributed or proposed to be distributed to persons other than the Borrower out of profits accrued on or before the
date of, and not provided for in, the Relevant Financial Statements; 
  
 (iv) making such other adjustments (if any) as the Borrower’s auditors consider appropriate. 
  

 47 

 SCHEDULE 3 
  
 THE CHARGED ACCOUNTS 
  

					
	 Name of Bank

	  	 Account Name

	  	Currency of Account

	 Natexis Banques
 Populaires, Singapore
 Branch
	  	Kulicke & Soffa (SEA) Pte Ltd	  	Singapore Dollar
			
	 Natexis Banques
 Populaires, Singapore
 Branch
	  	Kulicke & Soffa (SEA) Pte Ltd	  	Dollar
			
	 Natexis Banques
 Populaires, Singapore
 Branch
	  	Kulicke & Soffa (SEA) - (K&S Packaging Materials)	  	Dollar

  

 48 

 EXECUTION 
  

											
	 THE BORROWER
	 	 	 	 	  	 	 	 	 	 
						
	 SIGNED for and on behalf of
	 	 )
	 	 	  	 	 	 	 	 
	 KULICKE & SOFFA
	 	 )
	 	 	  	/s/ Ho Siew Foong	 	 	 	 
	 (S.E.A.) PTE. LTD.
	 	 )
	 	 	  	(Signature)	 	 	 	 
	 by
	 	 )
	 	 	  	 	 	 	 	 
						
	 THE ISSUING BANK
	 	 	 	 	  	 	 	 	 	 
						
	 SIGNED for and on behalf of
	 	 )
	 	 	  	 	 	 	 	 
	 NATEXIS BANQUES POPULAIRES
	 	 )
	 	 	  	/s/ Clara Hang	 	 	 	/s/ Philippe Petitgas
	 SINGAPORE BRANCH
	 	 )
	 	 	  	(Signature)	 	 	 	(Signature)
	 by
	 	 )
	 	 	  	 	 	 	 	 
						
	 THE INITIAL LENDERS
	 	 	 	 	  	 	 	 	 	 
						
	 SIGNED for and on behalf of
	 	 )
	 	 	  	 	 	 	 	 
	 NATEXIS BANQUES POPULAIRES
	 	 )
	 	 	  	/s/ Clara Hang	 	 	 	/s/ Philippe Petitgas
	 SINGAPORE BRANCH
	 	 )
	 	 	  	(Signature)	 	 	 	(Signature)
	 by
	 	 )
	 	 	  	 	 	 	 	 
						
	 SIGNED for and on behalf of
	 	 )
	 	 	  	 	 	 	 	 
	 ARAB BANK plc
	 	 )
	 	 	  	/s/ Loke Puh Lam	 	 	 	/s/ Christopher Cheong
	 SINGAPORE BRANCH
	 	 )
	 	 	  	(Signature)	 	 	 	(Signature)
	 by
	 	 )
	 	 	  	 	 	 	 	 

  

 49 

 THE FACILITY AGENT 
  

											
						
	SIGNED for and on behalf of	 	 )
	 	 	 	 	 	 	 	 
	NATEXIS BANQUES POPULAIRES	 	 )
	 	 	 	/s/ Clara Hang	 	 	 	/s/ Philippe Petitgas
	SINGAPORE BRANCH	 	 )
	 	 	 	(Signature)	 	 	 	(Signature)
	by	 	 )
	 	 	 	 	 	 	 	 
						
	THE SECURITY AGENT	 	 	 	 	 	 	 	 	 	 
						
	SIGNED for and on behalf of	 	 )
	 	 	 	 	 	 	 	 
	NATEXIS BANQUES POPULAIRES	 	 )
	 	 	 	/s/ Clara Hang	 	 	 	/s/ Philippe Petitgas
	SINGAPORE BRANCH	 	 )
	 	 	 	(Signature)	 	 	 	(Signature)
	by	 	 )
	 	 	 	 	 	 	 	 

  

 50 

 APPENDIX 1 
  
 FORM OF GUARANTEE REQUEST 
  

			
	 From:
	  	KULICKE & SOFFA (S.E.A.) PTE. LTD.
	 To:
	  	NATEXIS BANQUES POPULAIRES, SINGAPORE BRANCH
	 	  	 

  
                  200   
  
 Dear Sirs, 
  
 US$17,000,000 GUARANTEE ISSUANCE FACILITY AGREEMENT dated [            ] 200   
  
 We refer to the above Guarantee Issuance Facility Agreement, and hereby request that a Guarantee in the amount of
US$                 be issued on                  in favor of AGR Matthey
according to the following wording: 
  
 QUOTE: 
  

			
	 To:
	  	AGR Matthey
	 	  	Horrie Miller Drive
	 	  	Newburn
	 	  	Western Australia, 6104

  
 Guarantee No.
[            ] 
  
 In
consideration of AGR Matthey of Horrie Miller Drive, Newburn, Western Australia, 6104, granting a gold lease facility (pursuant to the Sale and Buyback of Fine Metal Agreement dated
            ) (the “SBFMA”) to Kulicke & Soffa (S.E.A.) Pte. Ltd. of 6 Serangoon North Avenue 5, #03-16, Singapore 554910 (hereinafter referred to as “the
Accountee”), we, Natexis Banques Populaires, Singapore Branch hereby unconditionally guarantee to pay to AGR Matthey on receipt of written demand from time to time any sum or sums which may be demanded by AGR Matthey up to a maximum aggregate
amount which is the lesser of: 
  
 (a) US$17,000,000; and 
  
 (b) that amount which is equivalent to one hundred and eleven percent (111%) of the value of
Gold supplied by AGR Matthey to the Accountee under the SBFMA, calculated in accordance with the terms of the SBFMA. 
  
 Demand under this Guarantee may be made only once. 
  
 Payment under this Guarantee may be made, at the sole discretion of Natexis Banques Populaires, Singapore Branch either in cash or in gold (in granule and/or scrap and/or
bar and/or wire form). Any gold delivered to AGR Matthey as payment under this Guarantee shall be valued on terms similar or better than that offered by AGR Matthey to the Accountee under the SBFMA. 
  

 51 

 This Guarantee shall remains in full force and effect until the Expiry Date, whereupon this Guarantee shall be void and
of no effect and Natexis Banques Populaires, Singapore Branch’s liability hereunder shall cease absolutely. All and any claims which has arisen and/or accrued prior to the Expiry Date must be presented to Natexis Banques Populaires, Singapore
Branch through tested telex/ authenticated swift at the latest within fifteen (15) days of the Expiry Date in order to be taken into consideration. 
  
 For the purposes of this Guarantee, the term “Expiry Date” means the date which is the earlier of: 
  

	(i)	[please insert the date which is 24 months after the date of the issue of the first Guarantee]; and 

  

	(ii)	the date on which a demand is made by AGR Matthey under this Guarantee. 

  
 This Guarantee is not transferable or assignable in whole or in part. 
  
 This Guarantee shall be governed by and construed in accordance with the laws of the Singapore and the courts of Singapore shall have exclusive jurisdiction. 

 
 (place and date) 
  
 Natexis Banques Populaires, Singapore Branch 
  
 UNQUOTE 
  
 We confirm that: 
  
 (a) the representations and warranties set out in
clause 10.1 of the Guarantee Issuance Facility Agreement, repeated with reference to the facts and circumstances subsisting at the date of this notice, remain true and correct; and 
  
 (b) no Event of Default or Potential Event of Default has occurred which remains unwaived or unremedied. 
  
 Terms defined in the Guarantee Issuance Facility Agreement have the same meanings when used
in this notice. 
  

	
	For and on behalf of
	KULICKE & SOFFA (S.E.A.) PTE. LTD.
	
	  

  

 52Debenture, incorporating Fixed and Floating Charges

 Exhibit 10.3 
  
 EXECUTION COPY 
  
 DATED JUNE 21, 2004 
  
 KULICKE & SOFFA (S.E.A.) PTE. LTD. 
 (Registration No. 199503535R) 
 as Chargor 
  
 and 
  
 NATEXIS BANQUES POPULAIRES, SINGAPORE BRANCH 
 as Security Agent 
 for the Lenders referred to herein 
  
 DEBENTURE 
 incorporating Fixed and Floating Charges 
 and Assignment of Insurances 
  
 BAKER & McKENZIE.WONG & LEOW 
 1 Temasek
Avenue, #27-01 
 Millenia Tower 
 Singapore 039192 
 Tel: (65) 6338-1888 
 Fax: (65) 6337-5100 

 CONTENTS 
  

					
	 Number

	  	 Clause Heading

	  	Page

	 1.
	  	Interpretation	  	1
	 2.
	  	Covenant to Pay	  	4
	 3.
	  	Fixed and Floating Charges	  	4
	 4.
	  	Continuing Security	  	7
	 5.
	  	Representations and Warranties	  	8
	 6.
	  	Undertakings	  	9
	 7.
	  	Chargor’s Liability	  	16
	 8.
	  	Enforcement of Security	  	16
	 9.
	  	Receipt and Application of Monies	  	21
	 10.
	  	Taxes and Other Deductions	  	21
	 11.
	  	Set-Off	  	22
	 12.
	  	Costs, Charges and Expenses	  	22
	 13.
	  	Indemnity	  	23
	 14.
	  	Evidence of Debt	  	24
	 15.
	  	Further Assurance	  	24
	 16.
	  	Power of Attorney	  	24
	 17.
	  	Other Encumbrances	  	25
	 18.
	  	Protective Clauses	  	25
	 19.
	  	Amendment, Waiver and Severability	  	27
	 20.
	  	Miscellaneous	  	27
	 21.
	  	Assignment	  	27
	 22.
	  	Notices	  	28
	 23.
	  	Governing Law and Jurisdiction	  	28
			
	 Schedules
	  	 	  	 
			
	 Schedule 1
	  	Particulars of Insurances as at the date hereof	  	30
	 Schedule 2
	  	Form of Notice	  	31
	 Schedule 3
	  	Form of Loss Payable and Notice of Cancellation Clause	  	33
			
	Execution	  	 	  	34

 THIS DEED is made the 21 day of June 2004 
  
 BETWEEN 
  
 (1) KULICKE & SOFFA (S.E.A.) PTE LTD, a company incorporated in Singapore (Registration No. 199503535R) whose registered office is at 6 Serangoon North Avenue 5,
#03-16, Singapore 554910 as chargor (the “Chargor”); and 
  
 (2) NATEXIS
BANQUES POPULAIRES, SINGAPORE BRANCH of 50 Raffles Place #41-01, Singapore Land Tower, Singapore 048623 as security agent and trustee for the Finance Parties (as defined in the Guarantee Issuance Facility Agreement referred to below) from time to
time (in such capacity, the “Security Agent”). 
  
 WHEREAS: 

 
 (A) Under a guarantee issuance facility agreement dated 21 June 2004 (the
“Guarantee Issuance Facility Agreement”) entered into between (1) the Chargor as borrower, (2) Natexis Banques Populaires, Singapore Branch and Arab Bank plc, Singapore Branch as initial lenders, (3) Natexis Banques Populaires, Singapore
Branch as issuing bank, (4) Natexis Banques Populaires, Singapore Branch as facility agent (the “Facility Agent”), and (5) Natexis Banques Populaires, Singapore Branch as security agent, the Lenders (as defined in the Guarantee Issuance
Facility Agreement) have agreed to make available to the Chargor a guarantee issuance facility of up to US$17,000,000 (the “Facility”) upon the terms set out therein. 
  
 (B) It is a condition precedent to the Lenders making the Facility available to the Chargor that the Chargor enters into
this Deed. 
  
 IT IS AGREED as follows: 
  

	1.	Interpretation 

  
 1.1 Definitions and Construction. In this Deed, unless the context requires otherwise, terms and expressions defined in or construed for the purposes of the Guarantee Issuance Facility Agreement and not defined
below shall have the same meanings or be construed in the same manner when used in this Deed, and the following terms shall have the following meanings: 
  
 “Charged Accounts” has the meaning ascribed to it in the Guarantee Issuance Facility Agreement. 
  
 “Charged Assets” means all or any part of the Equipment, Receivables, undertaking, property, assets and rights of the Chargor
hereby expressed to be charged or assigned including, without limitation, the Receivables Account and the Gold Inventories (and references to the Charged Assets shall include references to any part of it). 
  
 “CLPA” means the Conveyancing and Law of Property Act (Chapter 61) of the Statutes
of the Republic of Singapore. 
  

 1 

 “Debtor” means any person who is liable (whether as principal debtor or as surety and whether actually or
contingently) to pay or discharge a Receivable; 
  
 “Equipment” means
all items of plant, equipment and machinery now or hereafter owned by the Chargor and all replacements thereof and additions thereto. 
  
 “Gold Receivables” means all cash collections and proceeds of sale or other realization in respect of any Gold Inventories including, without limitation, all
account receivables and revenues of the Chargor in relation thereto. 
  
 “Insurances” means all policies or contracts of insurance which are now or may hereafter be effected in respect of the Gold Inventories or any part thereof (but expressly excluding any insurances arranged solely for the benefit of
third parties in accordance with legislative requirements), which as at the date hereof consist of the policies set out in Schedule 1, and all benefits and proceeds thereof, including all claims of whatever nature and returns of premiums.

  
 “Intellectual Property” means all rights in any intellectual
property or similar rights now or at any time in the future belonging to the Chargor, including patents, trade marks and brand names, service marks, designs, copyrights, design rights, computer software, applications for registration of (and the
right to apply for) any of the foregoing in any part of the world, improvements and extensions of any of the foregoing, moral rights, inventions, trade secrets and know-how and similar rights anywhere in the world together with the benefit of all
licences of any of the foregoing granted to or by the Chargor and all revenues and other rights derived from any of the foregoing. 
  
 “Receivables” means the Gold Receivables and all other present and future book and other debts and receivables, commissions, revenues, claims and chooses in
action of whatsoever nature and howsoever and wheresoever arising, due or owing or to become due or owing to or acquired by the Chargor including bank deposits and credit balances and the full benefit of all rights and remedies relating thereto
including, but not limited to, all claims for damages and other remedies for non-payment of the same and all claims against insurers and under Encumbrances, guarantees and other security and all proceeds and forms of remittance in respect of the
same. 
  
 “Receivables Account” means any of the Charged Accounts and/or
any other account opened and maintained in the name of the Chargor with the Facility Agent into which Receivables are paid, and all sums now or hereafter deposited into such account and all additions to or renewals or replacements thereof (in
whatever currency) and all interest or other sums which may accrue from time to time thereon. 
  
 “Receiver” means each and any receiver, manager, receiver and manager or other similar officer appointed by the Security Agent in respect of the security created by or pursuant to this Deed; 
  
 “Related Rights” means: 
  
 (a) all rights and benefits whatsoever deriving from or incidental to any Securities and all
dividends and interest paid or payable in relation thereto; 
  

 2 

 (b) all shares, securities, rights, monies or other assets accruing, offered or issued at any time by way of redemption,
conversion, exchange, substitution, bonus, preference, option or otherwise in respect thereof, 
  
 and the certificates representing any of the foregoing. 
  
 “Secured Indebtedness” means all monies, obligations and liabilities of any kind now or at any time in the future due, owing, incurred or payable (whether actually or contingently) by the Chargor under or pursuant to any Finance
Document (whether on account of principal, interest, fees, expenses, indemnity payments, losses, damages or otherwise) and all other monies hereby secured. 
  
 “Securities” means all stocks, shares, debentures, bonds, notes, warrants and other securities of any kind (including loan capital) now or at any time in the
future beneficially owned by Chargor or in which the Chargor has an interest (and all present and future rights of the Chargor against any clearance or settlement system or any custodian in respect of any of the foregoing); and 
  
 the expression “Security Agent” shall mean the Security Agent acting in its
capacity as trustee for itself and the other Finance Parties pursuant to the trust declared by clause 15.2 of the Guarantee Issuance Facility Agreement in respect of holding and releasing the rights, benefits and interests conferred by Clause 3.1
(Grant of Charge and Assignment). and, in all other contexts shall mean the Security Agent acting on its own behalf and in its capacity as agent and trustee for the Finance Parties, and the expression “Finance Parties” shall have
the meaning ascribed to it in the Guarantee Issuance Facility Agreement. 
  
 1.2
Successors and Assigns. The expressions “Chargor”, “Security Agent” and “Lender” shall, where the context permits, include their respective successors and permitted assigns and any persons deriving title under
them. 
  
 1.3 Miscellaneous. In this Deed, unless the context requires
otherwise: 
  
 (a) Statutes: references to provisions of any law or
regulation shall be construed as references to those provisions as amended, modified, re-enacted or replaced from time to time; 
  
 (b) Construction: words importing the singular include the plural and vice versa; words importing a gender include the other gender; 
  
 (c) Finance Documents: references to this Deed, the Guarantee Issuance Facility
Agreement, any other Security Document or any other document shall be construed as references to this deed or such document as the same may be amended, supplemented, restated or novated from time to time; 
  
 (d) Clauses, Etc: references to Clauses and the Schedules are to clauses of and the
schedule to this Deed and references to this Deed include the Schedules; and 
  
 (e) Headings: Clause headings are inserted for reference only and shall be ignored in construing this Deed. 
  

 3 

 1.4 Third Party Rights. The Contracts (Rights of Third Parties) Act (Chapter 53B) shall not apply to this Deed
and, unless expressly provided to the contrary in this Deed, no person not party to this Deed shall have or acquire any right to enforce any term of it pursuant to that Act. This Clause shall not affect any right or remedy of any third party which
exists or is available otherwise than by reason of that Act and shall prevail over any other provision of this Deed which is inconsistent with it. 
  
 2. COVENANT TO PAY 
  
 2.1 Covenant to Pay. In consideration of the Lenders agreeing to make the Facility available to the Chargor on the terms and conditions of the Guarantee Issuance Facility Agreement, the Chargor covenants that
it will pay to the Security Agent the Secured Indebtedness in accordance with the terms of the Guarantee Issuance Facility Agreement. 
  
 2.2 Interest. The Chargor shall with respect to all monies payable under this Deed pay interest from the due date to the date of payment (as well after as before
any demand or judgment and notwithstanding the liquidation or winding-up of the Chargor) at such rates determined by the Lenders in accordance with the provisions of clause 13 of the Guarantee Issuance Facility Agreement and all such interest shall
form part of the monies hereby secured. Any interest accruing under this Clause 2.2 shall be immediately payable by the Chargor to the Security Trustee in accordance with the terms of the Guarantee Issuance Facility Agreement. 
  
 3. Fixed and Floating Charges 
  
 3.1 Grant of Charge and Assignment. In consideration of the Lenders agreeing to make
the Facility available to the Chargor on the terms and conditions of the Guarantee Issuance Facility Agreement: 
  
 (a) Charge: the Chargor as beneficial owner charges and agrees to charge to the Security Agent: 
  
 (i) Fixed Charge: by way of first fixed charge the Charged Assets specified in Clause 3.2 (Fixed
Charge); 
  
 (ii) Floating Charge: by
way of first floating charge the Charged Assets specified in Clause 3.3 (Floating Charge) and all of the Chargor’s right, title, interest and benefit from time to time in and to the Receivables and the Receivables Account; and

  
 (b) Assignment: the Chargor as beneficial owner assigns and agrees to
assign to the Security Agent absolutely all the Chargor’s right, title, interest and benefit in and to the Insurances and the business name of “K&S Packaging Materials”, 
  
 as a continuing security for the due and punctual payment and discharge of the Secured
Indebtedness and the due and punctual observance and performance by the Chargor of all other obligations of the Chargor contained in the Guarantee Issuance Facility Agreement and/or any other Finance Documents. 
  

 4 

 3.2 Fixed Charge. The property charged by way of fixed charge is the following: 
  
 (a) Real Property: all estates and other interests in freehold, leasehold and other
immovable property wheresoever situate now or hereafter belonging to the Chargor and all buildings, trade and other fixtures, fixed plant and machinery from time to time on any such freehold, leasehold or other immovable property; 
  
 (b) Chattels: all chattels now or hereafter hired, leased or rented by the Chargor to any
person together in each case with the benefit of the related hiring, leasing or rental contract and any guarantee, indemnity or such other security for the performance of the obligations of any person under or in respect of such contract;

  
 (c) Equipment: the Equipment; 
  
 (d) Securities: the Securities and Related Rights; 
  
 (e) Intellectual Property: the Intellectual Property (which, to the extent that it
consists of copyrights and patents, shall be assigned by way of mortgage); 
  
 (f)
Licenses: the benefit of all present and future licenses, consents and authorizations (statutory or otherwise) held in connection with the Chargor’s business or the use of any of its assets, and the right to all compensation which may at
any time become payable to it in respect thereof; 
  
 (g) Agreements: (to
the extent that they do not fall within any other paragraph of this Clause 3.2) all of the Chargor’s rights and benefits under any distributorship, agency, partnership, joint venture or similar agreements, any letters of credit issued in its
favor and all bills of exchange and other negotiable instruments held by it; 
  
 (h) Records: all books of account, registers, records, vouchers, computer software, computer printouts and other documents relating in any way to the business of the Chargor; and 
  
 (i) Goodwill: the goodwill of the Chargor and its uncalled and called but unpaid
capital and premiums now or at any time hereafter in existence and future calls (whether made by the directors of the Chargor or by a receiver, administrator or liquidator). 
  
 3.3 Floating Charge. The property charged by way of floating charge is the whole of the Chargor’s undertaking and all its
present and future property and assets including without limitation the Gold Inventories (in each case, wherever situated), other than any property or assets from time to time or for the time being effectively charged by way of fixed charge to the
Security Agent by Clauses 3.1 (Grant of Charge and Assignment) and 3.2 (Fixed Charge). If any charge over any asset mentioned in Clause 3.2 (Fixed Charge) above does not take effect as, or ceases to be, a fixed charge, it shall instead
take effect as (or, as the case may be, become) a floating charge. 
  
 3.4
Conversion of Floating Charge to Fixed Charge. The Security Agent may at any time by notice in writing to the Chargor convert the floating charge hereby created into a fixed charge as regards any property, assets or rights specified in the
notice if: 
  
 (a) an event of Default or a Potential Event of Default has
occurred; 
  

 5 

 (b) the Security Agent reasonably considers that the relevant Charged Asset may be in jeopardy or in danger of being
seized or sold pursuant to any form of legal process; or 
  
 (c) the Security
Agent reasonably considers that it is desirable to do so in order to protect or preserve the security created by or pursuant to this Deed over that Charged Asset and/or its priority. 
  
 The service by the Security Agent of any notice pursuant to this Clause 3.4 (Conversion of Floating Charge to Fixed Charge) in
relation to any Charged Asset shall not be construed as a waiver or abandonment of the Security Agent’s rights to serve similar notices in respect of any other Charged Asset or of any other rights of the Security Agent under this Deed.

  
 3.5 Automatic Crystallization. Notwithstanding Clause 3.4
(Conversion of Floating Charge to Fixed Charge) and without prejudice to any rule of law which may have a similar effect, the floating charge under Clause 3.3 (Floating Charge) shall automatically be converted with immediate effect
into a fixed charge as regards all the property and assets subject to the floating charge and without notice from the Security Agent to the Chargor upon: 
  
 (a) the presentation of a petition for the compulsory winding up of the Chargor; 
  

(b) the convening of a meeting for the passing of a resolution for the voluntary winding up or judicial management of the Chargor; 
  
 (c) the presentation or making of an application for a warrant of execution, garnishee order,
charging order or other similar process in respect of any part of the property or assets of the Chargor subject to the floating charge; 
  
 (d) the occurrence of an Event of Default or a Potential Event of Default; or 
  
 (e) the Chargor creating, incurring or permitting to arise or submitting to any Encumbrance over any Charged Asset (except in favor of the Security Agent under or
pursuant to this Deed) or attempting or taking or suffering any steps so to do. 
  
 3.6 De-crystallization. If the floating charge over any Charged Assets becomes fixed in accordance with Clause 3.4 (Conversion of Floating Charge to Fixed Charge) or 3.5 (Automatic Crystallization) it shall again become
a floating charge over those Charged Assets if the Security Agent gives the Chargor a notice in writing to that effect. 
  
 3.7 Notice. The Chargor will, forthwith upon the execution of this Deed (or, if later, upon any policy or contract of insurance comprised in the Insurances coming
into force), give notice of the assignment of the Insurances herein contained to and obtain an acknowledgement from the relevant insurers substantially in the form set out in Schedule 2 and in any event in a form satisfactory to the Security Agent.

  
 3.8 Dealings with Parties. Notwithstanding the assignment of the
Insurances herein contained but otherwise subject to the terms of this Deed, the Security Agent authorizes the Chargor to continue to deal with the other parties to the Insurances and each of them in relation thereto as if the Chargor remained
solely entitled to all the right, title, interest and benefit thereunder but, save as herein provided, not directly to receive any moneys payable under the Insurances provided that if an Event of Default or Potential Event of Default occurs the
foregoing authority shall immediately cease to have effect. 
  

 6 

 3.9 Condition of Deposit. Notwithstanding any other terms on which any monies or Receivables may have been
deposited in any Receivables Account, it is a condition of such deposit that, throughout the subsistence of this Deed for so long as any Secured Indebtedness is or may become payable, unless the Security Agent otherwise agrees in writing or the
terms of the Guarantee Issuance Facility Agreement otherwise permit, no Receivables Account nor any part thereof shall be in any way assignable or transferable and no Encumbrance or trust shall be capable of being created over or in respect of any
Receivables Account or any part thereof. 
  
 3.10 Operation of Receivables
Accounts. 
  
 (a) Subject to paragraph (b) below, the Chargor shall be
entitled to receive, withdraw or otherwise transfer any credit balance from time to time on any Receivables Account in the ordinary course of its business; 
  
 (b) At any time after the declaration by the Security Agent of an Event of Default or a Potential Event of Default or, if earlier, the conversion of any floating charge
created by Clause 3.1(A)(b) (Floating Charge) into a fixed charge in accordance with Clause 3.4 (Conversion of Floating Charge to Fixed Charge) or Clause 3.5 (Automatic Crystallization), the Chargor shall not be entitled to
receive, withdraw or otherwise transfer any credit balance from time to time on any Receivables Account except with the prior consent of the Security Agent; and 
  

(c) The Chargor shall not release, grant time or indulgence or compound with any third party or suffer to arise any set-off or other adverse rights against any
Receivables Account nor do or omit to do anything which may delay or prejudice the right of the Security Agent to receive payment from any Receivables Account at any time after the security created by or pursuant to this Deed has become
enforceable. 
  
 3.11 Discharge. Upon payment in full of all the
Secured Indebtedness to the satisfaction of the Finance Parties, the Security Agent shall, at the request and cost of the Chargor, and in such form as the Security Agent shall approve, discharge the security created by this Deed, subject to Clause
18.5 (Release of Charge Conditional). 
  
 4. Continuing Security

  
 4.1 Continuing Security. This Deed shall be a continuing security and
shall remain in full force and effect until the Secured Indebtedness has been paid in full and the Finance Parties do not have any further obligation or liability (actual or contingent) under the Guarantee Issuance Facility Agreement or any Security
Document, notwithstanding the insolvency or liquidation or any incapacity or change in the constitution or status of the Chargor or any other person or any intermediate settlement of account or other matter whatsoever. 
  
 4.2 Independent Security. This Deed is in addition to, and independent of, any
Encumbrance, guarantee or other security or right or remedy now or at any time in the future held by or available to the Finance Parties. 
  

 7 

 5. Representations and Warranties 
  
 5.1 Memorandum and Articles. The Chargor hereby certifies that neither the execution of this Deed nor the creation of the charges
hereby constituted contravenes any of the provisions of the memorandum and articles of association of the Chargor. 
  
 5.2 Representations and Warranties. The Chargor represents and warrants to the Security Agent (as security agent and trustee for the Finance Parties) that:

  
 (a) Capacity: the Chargor is a company duly incorporated with limited
liability and existing under the laws of Singapore and has full power, authority and legal right and has taken all necessary corporate action and has obtained all necessary consents in order to incur the Secured Indebtedness and to create security
over the Charged Assets on the terms of this Deed and to perform its obligations under this Deed; 
  
 (b) Enforceability: this Deed constitutes legal, valid and binding obligations of the Chargor in accordance with its terms; 
  
 (c) No Encumbrances: the Charged Assets are or when acquired will be beneficially owned by the Chargor free from any Encumbrance
except as created under or pursuant to this Deed and (other than as disclosed to the Security Agent) no person other than the Chargor has the use, occupation or possession of the Charged Assets or any part thereof; 
  
 (d) No Litigation: no litigation, arbitration or administrative proceeding which
involves a claim against the Chargor for an amount not less than US$500,000 (other than those which are vexatious or frivolous) is currently taking place or pending or threatened against the Chargor or in relation to any of the Charged Assets;

  
 (e) Accuracy of Particulars: the particulars of the Insurances set out
in Schedule 1 are true and accurate in all respects; 
  
 (f) Validity: each
of the Insurances is valid and in full force and effect and enforceable in accordance with its terms against the parties thereto and is not void or voidable; 
  
 (g) Receivables: all Receivables are fully collectible in the ordinary course of business; 
  
 (h) Marketable Security: the Chargor has good title to all of the Charged Assets; and 
  
 (i) Payment: all premiums and other monies (if any) payable in respect of any of the
Insurances have been duly paid and all covenants, terms and conditions contained in each of the Insurances have been duly observed and performed. 
  
 5.3 Continuing Representation and Warranty. The Chargor also represents and warrants to and undertakes with the Security Agent (as security agent for the Finance
Parties) that the foregoing representations and warranties will be true and accurate throughout the continuance of this Deed with reference to the facts and circumstances subsisting from time to time. 
  

 8 

 6. Undertakings 
  
 The Chargor undertakes and agrees with the Security Agent (as security agent for the Finance Parties) that throughout the continuance of this Deed and so long as any
Secured Indebtedness is or may become payable that the Chargor will, unless the Security Agent otherwise agrees in writing: 
  
 General 
  
 (a) Information: provide the Security Agent with such information relating to the Charged Assets as the Security Agent may from time to time reasonably request; 
  
 (b) Litigation: forthwith upon becoming aware of the same, notify the Security Agent of any litigation, arbitration or administrative
proceedings which involves a claim against the Chargor for an amount not less than US$500,000 (other than those which are vexatious or frivolous) and which are brought or (to its knowledge) threatened against the Chargor or any material notices
issued to it by any person in relation to the Charged Assets; 
  
 (c) Conduct
of Business: conduct its business in a proper and efficient manner and not materially change the nature or scope of its business and keep proper books and records in respect thereof; 
  
 (d) Material Adverse Effect: as soon as it becomes aware of the same, notify the Security Agent of any occurrence which could
materially and adversely affect the ability of the Chargor to perform its obligations under this Deed; 
  
 (e) Payment of Debts: punctually pay and discharge all debts and obligations which by law have priority over the security hereby constituted; 
  
 (f) Punctual Payment: punctually pay all sums due from it to the Finance Parties and otherwise comply with its obligations under this
Deed 
  
 (g) Notification of Events: immediately inform the Security Agent
of: 
  
 (i) any damage, loss, theft, arrest, confiscation,
seizure or any other event which affects or might affect the rights of the Lenders under this Deed or involves any loss or reduction in value of any Charged Assets in an aggregate amount exceeding US$1,000,000; 
  
 (ii) any material notices issued to it by any person in relation to the
Charged Assets; 
  
 (h) Protection of Charged Assets: upon demand by the
Security Agent take or defend all such legal proceedings, and take all such other steps, as the Security Agent may reasonably require for the protection of any Charged Assets; 
  

 9 

 Charged Assets Generally 
  
 (i) Access: permit the Security Agent, the Receiver or any other person appointed by either of them at all reasonable times with prior appointment to have access
to and view the state, order and condition of the Charged Assets and take inventories thereof; 
  
 (j) Deposit of Documents: except as may be provided otherwise in the Guarantee Issuance Facility Agreement or any Security Document, deposit with the Security Agent or to its order all deeds, certificates and
documents (including original policies of insurance) which constitute or evidence title to any Charged Assets when required to do so by the Security Agent; 
  
 (k) Maintenance: keep all its property and assets including, but not limited to, all plant, equipment, machinery, buildings, fixtures, fittings, vehicles and other
effects in reasonable state of repair (fair and tear excepted) and in reasonable working condition and not pull down, dismantle or remove any of the same except in the ordinary course of use, repair, maintenance or improvement; 
  
 (l) Payments: punctually pay all rents, rates, taxes, duties, fees, transportation
costs, godown charges, impositions and outgoings whatsoever which may be payable in respect of the Charged Assets and observe and perform all the covenants, terms and conditions contained in any title deeds, leases or other documents of title under
which any property hereby charged is for the time being held provided that if the Chargor defaults in making any such payments or in the performance or observance of any of the above undertakings or in effecting insurance or in paying insurance
premiums or in repairing, the Security Agent or the Receiver may make such payments or perform and observe such undertakings, effect such insurance or repairs or pay such insurance premiums and the Chargor shall forthwith repay to the Security Agent
or the Receiver (as the case may be) on demand all monies expended by the Security Agent or the Receiver in so doing together with interest thereon at such rates determined by the Lenders in accordance with the provisions of clause 13 of the
Guarantee Issuance Facility Agreement from the time of the same having been paid or incurred and until such repayment such monies together with such interest shall be secured by this Deed; 
  
 (m) Laws and Notices: comply with all applicable laws and regulations in connection
with the Charged Assets and any notices or orders given thereunder and pay all outgoings and liabilities relating thereto immediately when due; 
  
 (n) Negative Pledge: not: 
  
 (i) create or attempt or agree to create or permit to arise or exist any Encumbrance over the Charged Assets or any interest therein (except under or
pursuant to this Deed or as may be permitted in the Guarantee Issuance Facility Agreement or any Security Document) and no Encumbrance purported to be created in breach of this restriction shall take priority over or rank pari passu with this
Deed and to the intent of affording the Security Agent further and better security the Chargor agrees and declares that the rule in Clayton’s Case or any other rule of law or equity shall not apply so as to affect or diminish in any way the
Security Agent’s rights under this Deed provided always that upon any such breach by the Chargor the Security Agent may open new or separate accounts in the name of the Chargor in the Security Agent’s books and if the Security Agent has
not in fact opened such new or separate accounts the Security Agent shall nevertheless be deemed to have done so at the time of such breach and as from that time all payments made by the Chargor to the Security Agent shall (notwithstanding any legal
or equitable rule or presumption to the contrary) be placed or deemed to have been placed to the credit of such new or separate accounts and shall not go in reduction of the amounts due by the Chargor to the Security Agent at the time of such breach
notwithstanding that such payments had been paid into the existing accounts of the Chargor or were shown to be credited to the Chargor’s existing accounts on the Security Agent’s statements and the Security Agent shall immediately after
the time of such breach have an absolute right of appropriation of such payments; 
  

 10 

 (ii) sell, transfer, part with possession of, factor or otherwise deal with or dispose of or grant any
option or right over any of the Charged Assets or attempt or agree to do so except as may otherwise be provided in the Guarantee Issuance Facility Agreement or any Security Document, except, in the case of stock-in-trade (and subject to the other
provisions of this Deed) by way of sale at full market value in the usual course of trading as now conducted by the Chargor and for the purpose of carrying on the Chargor’s business; or on normal commercial terms obsolete assets or assets no
longer required for the purpose of the Chargor’s business; or disposals for full consideration by cash, or the exchange for other assets of a similar nature and value, or the sale of the assets on normal commercial terms for cash, payable in
full on completion of such sale, which is to be and is approved towards the purchase of similar assets; or any disposal agreed by the Security Agent (such approval not to be unreasonably withheld); 
  
 (o) Not Prejudice: not do or permit to be done anything which may in any way depreciate,
jeopardise or otherwise prejudice the value of the security provided under this Deed or the value of the Charged Assets; 
  
 Intellectual Property 
  
 (p) Maintenance: maintain and preserve its Intellectual Property by all means available to it, not limited to registration and payment of fees and not abandon any of the same 
  
 (q) No Grant of Exclusive Rights: not grant any exclusive rights in relation to any of
its Intellectual Property; 
  
 (r) No License: not sell, transfer, license
or otherwise dispose of all of such Intellectual Property or any part thereof which is material to the conduct of the Chargor’s business; 
  

 11 

 (s) No Abandonment: not permit such Intellectual Property which is registered, or any part thereof which is
material to the conduct of the Chargor’s business, to be abandoned or cancelled, to lapse or to be liable to any claim of abandonment or cancellation for non-use or otherwise; 
  
 Insurances 
  
 (t) Insurances: insure and keep insured the Charged Assets of an insurable nature against loss or damage by fire and other usual risks and by such other risks and
contingencies as the Security Agent may reasonably require, in such amounts as may be agreed between the Chargor and the Security Agent or, in the absence of any such specification, in their full insurable values and maintain such other insurances,
including third party and public liability insurance, as are commonly maintained by prudent companies carrying on similar businesses or activities, in each case with such insurance company or office and through such insurance brokers as the Security
Agent shall approve (such approval not to be unreasonably withheld); 
  
 (u)
Insurers: ensure that all policies of insurance are issued by an insurer reasonably acceptable to the Security Agent; 
  
 (v) Loss Payee Clause: procure that a loss payable and notice of cancellation clause, substantially in the form of Schedule 3, and in any event in a form
satisfactory to the Security Agent, is included in each of the policies or contracts of insurance comprised in the Insurances; 
  
 (w) Consent: procure that, on or prior to any policy or contract of insurance comprised in the Insurances coming into force (or, if later, the execution of this
Deed), the insurance brokers and insurers in respect of such insurance give their written consent to the assignment of the Insurances pursuant to this Deed. 
  
 (x) Maintenance: take all steps which may be necessary or expedient to keep the Insurances in full force and effect and protect the interests of the Chargor, the
Security Agent and the other Finance Parties in the Insurances; 
  
 (y) Not
Prejudice: ensure that no such insurances becomes voidable, vitiated or liable to an increased premium and not do or fail to do anything to prejudice any claim thereunder or vary or terminate any policy; 
  
 (z) Premiums: punctually pay all premiums and other amounts due in respect of the
Insurances (and provide the Security Agent with receipts therefor) and deliver to the Security Agent certified true copies of all policies (including any alteration, addition or amendment thereto), cover notes and other relevant documents relating
to the Insurances; 
  
 (aa) Renewal: renew all policies or contracts of
insurance comprised in the Insurances no later than fourteen (14) days before the expiry of such policies or contracts; 
  
 (bb) Reimbursement: reimburse on demand to the Security Agent any amount paid by the Security Agent or any of the Finance Parties to any insurer of any of the
Insurances in respect of any premium or other amount due to such insurer in respect of the Insurances, together with interest thereon from the date of payment to the date of reimbursement at the rates determined by the Lenders in accordance with the
provisions of clause 13 of the Guarantee Issuance Facility Agreement; 
  

 12 

 (cc) Enforcement: do or permit to be done every act or thing which the Security Agent may from time to time
reasonably require for the purpose of enforcing the rights of the Security Agent hereunder; 
  
 (dd) Settlement: not, without the prior written consent of the Security Agent (such consent not to be unreasonably withheld), waive, release, settle, compromise or abandon any claim under the Insurances or do
or omit to do any other act or thing whereby the recovery in full of any amounts in respect of the Insurances as and when they become payable may be impeded 
  
 (ee) Insurance of Leasehold Property: in the case of any leasehold property where the landlord (or other third party) is obliged by the terms of the relevant lease
to insure the relevant property, procure (where it is empowered to do so), or otherwise use all reasonable endeavours to ensure that the landlord (or other third party) procures, insurance in accordance with the terms of the relevant lease;

  
 Receivables and Receivables Account 
  
 (ff) Variation: not permit or agree to any variation of rights attaching to any
Receivables Account or close any Receivables Account; 
  
 (gg) Realization:
get in and realize all Receivables in the ordinary course of business and pay into the Receivables Account all monies which it may receive in respect of the same; 
  
 (hh) Default: inform the Security Agent of any Debtor which is likely to be unable to pay debts immediately upon it being reasonable
to suspect the same; 
  
 (ii) Payment of Receivables: promptly deposit and
pay all monies which it may receive in respect of the Receivables into the Receivables Account, and ensure that each Debtor pays all monies in respect of the Receivables directly into the Receivables Account; 
  
 (jj) Dealing with Receivables Accounts: deal with the collected Receivables and any
other monies in the Receivables Accounts in accordance with Clause 3.10 (Operation of Receivables Accounts); 
  
 (kk) Recovery: use its best endeavours to recover the full amount of each Receivable in the ordinary course of trade and not: 
  
 (i) release any of the Receivables save upon a full discharge thereof or
otherwise commute the liability of any Debtor (whether by reducing the amount due, extending the time for payment or otherwise); or 
  
 (ii) grant any rebate, refund or adjustment of any Receivable, 
  
 except in the ordinary course of trade for the relevant Debtors. 
  

 13 

 Securities 
  
 (ll) No Lending: not lend any Securities to any person; 
  
 (mm) No Restrictions: not permit any Securities to be or become subject to restrictions on transfer and promptly pay all calls in respect of Securities and Related
Rights; and 
  
 (nn) Transfer: immediately inform the Security Agent on
each occasion when any Related Rights arise and transfer any Securities or Related Rights to the Security Agent or its nominee immediately when required to do so. 
  
 Equipment 
  
 (oo) Notification: forthwith notify the Security Agent if it acquires a new item of Equipment (whether by way of addition to or replacement of an existing item of
Equipment or otherwise howsoever) giving full details thereof and execute such deed, acknowledgment or other document as the Security Agent may reasonably require to ensure that such new item of Equipment is subject to a first fixed charge in favor
of the Security Agent upon the same terms and conditions as set out in this Deed; and 
  
 (pp) Markings: attach to each item of Equipment, if required by the Security Agent, a notice in such conspicuous place and in such form as the Security Agent may reasonably require stating that such item is subject to a charge in
favor of the Security Agent and shall not conceal, alter or remove such marking or permit it to be concealed, altered or removed; 
  
 Real Property 
  
 (qq) Observance of Law: at all times observe and perform the provisions of any planning legislation and comply with any conditions attached to any planning permissions relating to or affecting any part of the
Real Property and not carry out any development on all or any part of the Real Property or make any material change in the use thereof and not without the prior consent in writing of the Security Agent (such consent not to be unreasonably withheld)
or make any application for planning permission or implement any planning permission so obtained without in any such case the prior written consent of the Security Agent (such consent not to be unreasonably withheld); 
  
 (rr) Information: within seven (7) days after receipt of the same give full
particulars to the Security Agent of any material notice, order, direction, designation, resolution or proposal having application to the Real Property or the area in which it is situate which may be given or made by any planning authority or other
public or competent body or authority whatever which may materially and adversely affect such Real Property or its value as security and if reasonably required by the Security Agent as soon as practicable and at the Chargor’s cost take all
necessary steps to comply with such material notice, order, direction, designation, resolution or proposal or otherwise and at the reasonable request of the Security Agent and at the cost of the Chargor make such objection or representation against
or in respect of or relating to such material notice, order, direction, designation, resolution or proposal as aforesaid as the Security Agent shall reasonably deem expedient; 
  

 14 

 (ss) Rent: pay the rents reserved by and observe and perform all covenants, stipulations and obligations reserved
by or contained in any lease, agreement for lease or tenancy agreement under or subject to which any part of the Real Property may be held and neither take any step nor omit to take any step whatsoever if in consequence of the taking of or omission
to take such step such lease, agreement for lease or tenancy agreement may be surrendered or forfeited or the rent thereunder may be increased; 
  
 (tt) Letting: not without the prior consent in writing of the Security Agent (such consent not to be unreasonably withheld) confer on any other person any right or
license to assign or sub-let any part of the Real Property or grant, create or permit to be acquired any easement, right or privilege relating to or affecting the Real Property or any part thereof other than in the ordinary course of its business
and indemnify the Security Agent (and as a separate covenant any Receiver or Receivers appointed by it) against all existing and future rents, taxes, duties, fees, renewal fees, charges, assessments, impositions and outgoings whatsoever (whether
imposed by deed or statute or otherwise and whether in the nature of capital or revenue and even though of a wholly novel character) which now or at any time during the continuance of the security constituted by or pursuant to this Deed are payable
in respect of the Charged Assets or any part thereof or by the owner or occupier thereof; 
  
 (uu) Leasing: not exercise any of the powers reserved to a mortgagor by section 23 of the CLPA or otherwise grant or agree to grant any lease or tenancy of the Real Property or any part thereof or surrender or
accept or agree to accept a surrender of any lease or tenancy thereof other than in the ordinary course of its business; 
  
 (vv) Occupation: except with the prior consent in writing of the Security Agent (such consent not to be unreasonably withheld), not allow any person any license or
other right to occupy or share possession of the Real Property or any part thereof (save as may already exist) other than in the ordinary course of its business; and 
  
 (ww) Notification of Legal Mortgages: forthwith notify the Security Agent of any proposal or contract made by the Chargor for the
acquisition by the Chargor of any land or immovable property or any interest therein and, in the case of any such land or immovable property situated in Singapore, execute in favor of the Security Agent, or as it may reasonably direct, such further
or other legal assignments, transfers, mortgages, legal or other charges or securities as in each such case the Security Agent shall reasonably stipulate over the Chargor’s estate or interest in such land or immovable property for the purpose
of perfecting the security hereby created over or in respect of such land or immovable property, and, in the case of any such land or immovable property situated outside the Republic of Singapore, forthwith give notice thereof to the Security Agent
and such other information as the Security Agent may reasonably require and do all such acts as may, in the reasonable opinion of the Security Agent, be necessary or desirable for protecting or perfecting the security hereby created over or in
respect of such land or immovable property. 
  

 15 

 7. CHARGOR’S LIABILITY 
  
 Notwithstanding the assignment of the Insurances herein contained, the Chargor shall remain
liable under the Insurances to observe and perform all the obligations assumed by it thereunder and none of the Finance Parties shall have any obligation or liability thereunder. The Security Agent shall not be obliged to make any enquiry as to the
nature or sufficiency of any payment received by it or to make any claim or take any other action to collect any monies or to enforce any rights and benefits hereby assigned. 
  
 8. ENFORCEMENT OF SECURITY 
  
 8.1 Events of Default. Each of the following events and circumstances shall be an Event of Default: 
  
 (a) Event of Default: any event or circumstance which would constitute an Event of Default as that term is defined in the Guarantee Issuance
Facility Agreement; and/or 
  
 (b) Other Encumbrances: the Chargor purports or
attempts to create any Encumbrance over all or any part of the Charged Assets (except as created under or pursuant to this Deed) or any third party asserts a claim in respect thereof. 
  
 8.2 Enforceability. Immediately upon the occurrence of an Event of Default, the security created by or pursuant to this Deed shall
become enforceable in accordance with the provisions of this Deed. 
  
 8.3
Power of Security Agent. At any time after this security has become enforceable, the Security Agent may without further notice: (a) appoint a Receiver in accordance with Clause 8.4 (Appointment of Receiver); and/or (b) (whether or not
it shall have appointed a Receiver) exercise all the powers and discretions hereby conferred either expressly or by implication on a Receiver (but without any limitations imposed by his appointment, and in relation to express powers and discretions
as if any reference to the Receiver were a reference to the Security Agent) and all other powers conferred upon mortgagees by law or otherwise Provided that in the case of the exercise of a power of sale in respect of any Charged Asset other than
the Gold Inventories, such power shall only be exercised by the Security Agent upon the expiry of fourteen (14) day’s prior written notice from the Security Agent to the Chargor of its intention to exercise such power of sale. 
  
 8.4 Appointment of Receiver. At any time after the security hereby created has become
enforceable, or if the Chargor so requests (and notwithstanding that an order may have been made or a resolution passed for the winding-up of the Chargor) the Security Agent may appoint in writing any person(s) qualified as required by law to be a
receiver or receiver and manager or administrative receiver of all or any part of the Charged Assets on such terms as the Security Agent thinks fit. If two or more persons are so appointed, they may be appointed in respect of different parts of the
Charged Assets and each joint Receiver shall have power to act independently of any other joint Receiver (except to the extent specified to the contrary in the appointment). The Security Agent may remove a Receiver and may appoint another in his
place. 
  

 16 

 8.5 Agent of Chargor. The Receiver shall be the agent of the Chargor (which shall be solely liable for his acts,
defaults and remuneration) unless and until the Chargor goes into liquidation, after which he shall act as principal and shall not become the agent of the Finance Parties. 
  
 8.6 Powers of Receiver. Subject to any specific limitations placed upon him by the terms of his appointment or as provided herein,
the Receiver (whether or not an administrative receiver) shall have the following powers exercisable without further notice: 
  
 (a) Statutory Powers: all powers, rights and remedies: (i) conferred on an administrative receiver by the Singapore Companies Act (Chapter 50); (ii) conferred on a
receiver appointed under the CLPA; (iii) conferred on a mortgagee (including a mortgagee in possession) by the CLPA; and (iv) which the Chargor could (but for this Deed) exercise in relation to the Charged Assets, exercisable as if the Receiver were
the absolute beneficial owner of the Charged Assets; and 
  
 (b) Additional
Powers: without limiting the foregoing: 
  
 (i) to take
possession of, collect and get in all or any part of the Charged Assets, to receive the rents and profits thereof and for these purposes to take any proceedings in the name of the Chargor or otherwise; 
  
 (ii) to manage or carry on or concur in carrying on the business of the
Chargor or any part thereof as he may think fit without being responsible for loss or damage (except for loss or damage arising out of its negligence or willful misconduct); 
  
 (iii) to make and effect all repairs, renewals, alterations, improvements and developments to or in respect of the Charged
Assets; 
  
 (iv) to sell by public auction or private contract or
otherwise dispose of or deal with the Charged Assets in such manner, for such consideration and generally on such terms and subject to such conditions as the Receiver may think fit with full power to convey or otherwise transfer the Charged Assets
in the name of the Chargor or other legal or registered owner provided that in the case of the exercise of a power of sale in respect of any Charged Asset other than the Gold Inventories, such power shall only be exercised by the Receiver upon the
expiry of fourteen (14) day’s prior written notice from the Receiver to the Chargor of its intention to exercise such power of sale. Any consideration may be in the form of cash, debentures, shares, stock or other valuable consideration and may
be payable immediately or by instalments spread over such period as the Receiver shall think fit and so that any consideration received in a form other than cash shall forthwith on receipt be and become charged with the payment of the Secured
Indebtedness. Plant, equipment and machinery and other fixtures may be severed and sold separately from the premises containing them and the Receiver may apportion any rent and the performance of any obligations affecting such premises sold without
the consent of the Chargor; 
  
 (v) to lease or license the
Charged Assets, renew, terminate, surrender or accept the surrender of leases or licenses, in each case on such terms as the Receiver shall think fit (whether at a premium or otherwise) and without the restrictions set out in section 23 of the CLPA;

  

 17 

 (vi) to add or sever fixtures and sell them separately from the premises containing them and apportion
any rent, proceeds or obligations affecting such premises without the consent of the Chargor; 
  
 (vii) to surrender or transfer any of the Charged Assets to any governmental agency (whether for fair compensation or not), and to exchange (whether or not for fair value) any Charged Asset with any person (any asset
received being treated as part of the Charged Assets) and to make any settlement, arrangement or compromise with any person or enter into or cancel any contract which the Receiver considers expedient; 
  
 (viii) to insure and keep insured the Charged Assets of an insurable nature
against loss or damage by such risks and contingencies as the Receiver may think fit, in such manner in all respects as the Receiver may think fit, and to maintain, renew or increase any insurances in respect of the Charged Assets; 
  
 (ix) to make calls (conditionally or unconditionally) on the members of the
Chargor in respect of uncalled capital; 
  
 (x) to promote the
formation of companies with a view to the same purchasing all or any of the undertaking, property, assets and rights of the Chargor or otherwise; 
  
 (xi) to exercise all voting and other rights attaching to any Securities or Related Rights; 
  
 (xii) to institute, prosecute and defend any proceedings in the name of the Chargor or otherwise as may seem expedient;

  
 (xiii) to make any arrangement, settlement or compromise or
enter into any contracts which the Receiver shall think expedient in the interests of the Finance Parties; 
  
 (xiv) for the purpose of exercising any of the powers, authorities and discretions conferred on him by or pursuant to this Deed and of defraying any
costs, charges, losses or expenses (including his remuneration) which shall be incurred by him in the exercise thereof or for any other purpose in connection herewith, to raise and borrow money either unsecured or on the security of the Charged
Assets either in priority to this Deed or otherwise and generally on such terms and conditions as he may think fit provided that: 
  
 (i) no Receiver shall exercise such power without first obtaining the written consent of the Finance Parties and the Finance Parties shall incur no
liability to the Chargor or any other person by reason of its giving or refusing such consent whether absolutely or subject to any limitation or condition; and 
  

 18 

 (ii) no person lending such money shall be concerned to enquire as to the existence of such consent or
the terms thereof or as to the propriety or purpose of the exercise of such power or to see to the application of any money so raised or borrowed; 
  
 (xv) to appoint managers, agents, officers, solicitors, accountants, auctioneers, brokers, architects, engineers, workmen or other professional or
non-professional advisers, agents or employees for any of the aforesaid purposes at such salaries or for such remuneration and for such periods as the Receiver may determine and to dismiss any of the same or any of the existing staff of the Chargor
and to delegate to any person any of the powers hereby conferred on the Receiver; 
  
 (xvi) to give receipts for the Charged Assets and any rents and profits thereof and any other monies or assets coming into the Receiver’s hands; 
  
 (xvii) in the exercise of any of the above powers to expend such sums as the Receiver may think fit and the Chargor shall
forthwith on demand repay to the Receiver all sums so expended together with interest thereon at such rates determined by the Lenders in accordance with the provisions of clause 13 of the Guarantee Issuance Facility Agreement from the time of the
same having been paid or incurred and until such repayment such sums together with such interest shall be secured by this Deed; and 
  
 (xviii) to have access to and make use of the premises and the accounting and other records of the Chargor and the services of its staff for all or any of
the purposes aforesaid. 
  
 (c) Ancillary Powers: execute deeds and
documents on behalf of the Chargor and do all such other acts and things which the Receiver may reasonably consider to be incidental or conducive to any of the matters or powers referred to above or to the realization of the security created by this
Deed and to use the name of the Chargor in the exercise of all or any of the powers conferred by or referred to in this Deed. 
  
 All property of any kind acquired in the exercise of the powers conferred by this Deed shall be subject to the security hereby created. 
  
 8.7 Remuneration of Receiver. Each Receiver shall be entitled to remuneration for his
services at a rate to be fixed by agreement between him and the Security Agent (or, failing such agreement, to be fixed by the Security Agent) appropriate to the work and responsibilities involved upon the basis of charging from time to time adopted
in accordance with his current practice or the current practice of his firm. 
  
 8.8 No Restrictions on Power of Sale. No restrictions imposed by any ordinance or other statutory provision in relation to the exercise of any power of sale shall apply to this Deed. Provided that in the case of the exercise of a
power of sale in respect of any Charged Asset other than the Gold Inventories, such power shall only be exercised by the Security Agent or the Receiver (as the case may be) upon the expiry of fourteen (14) day’s prior written notice from the
Security Agent or the Receiver (as the case may be) to the Chargor of its intention to exercise such power of sale. 
  

 19 

 8.9 Receiver to Conform to Security Agent’s Directions. The Receiver shall in the exercise of the
Receiver’s powers, authorities and discretions conform to the directions and regulations from time to time given or made by the Security Agent. 
  
 8.10 Give up Possession. The Security Agent may give up possession of any Charged Assets at any time and may discontinue any receivership. 
  
 8.11 Not Mortgagee in Possession. Neither the Security Agent nor any Receiver shall by
reason of its entering into possession of any of the Charged Assets be liable to account as mortgagee in possession or for anything except actual receipts or be liable for any loss upon realization or for any default or omission for which a
mortgagee in possession might otherwise be liable except if such loss, default or omission arises as a result of the Security Agent’s or the Receiver’s negligence or willful misconduct. 
  
 8.12 Exclusion of Liability. Neither the Security Agent nor any Receiver shall be
responsible for any losses of any kind whatsoever (including, without limitation, negligence, default or dishonesty of any person employed by the Security Agent, any attorney of the Security Agent or any Receiver) which may occur in or about the
exercise, or purported exercise or non-exercise of any of the rights, powers or remedies of the Security Agent except if such loss arises as a result of the negligence or willful misconduct of the Security Agent or such Receiver. The Security Agent
and every Receiver shall be entitled to all the privileges and immunities conferred on mortgagees and receivers appointed thereunder by the CLPA. 
  
 8.13 Exclusion of Statute. Sections 29(6) (Rate of Remuneration) and (8) (Application of Monies Received by Receiver) of the CLPA shall not apply in
relation to the Receiver. 
  
 8.14 Purchaser Not Bound to Enquire. No
purchaser or other person shall be bound or concerned to see or enquire whether the right of the Security Agent or the Receiver to exercise any of the powers hereby conferred has arisen or not or be concerned with the propriety or regularity of the
exercise thereof or be concerned with notice to the contrary or be concerned or responsible for the application of any monies received by the Security Agent or the Receiver and the receipt of the Security Agent or the Receiver for any monies paid to
it shall be a good and sufficient discharge to the person paying the same 
  
 8.15
Acceptance of Payments. This Deed may be enforced notwithstanding that the Security Agent or any other Finance Parties may have accepted payment of any Secured Indebtedness after the occurrence of an Event of Default. 
  
 8.16 Extension and Variation of the CLPA. The foregoing powers conferred on the
Security Agent or a Receiver shall be in addition to and not to the prejudice of all statutory and other powers of the Security Agent or a Receiver under the CLPA or otherwise. The Security Agent or Receiver may exercise without any statutory
restrictions (in particular the restrictions in Section 25 of the CLPA) all of the powers conferred on the Security Agent or Receiver by the CLPA as hereby varied or extended, which power shall arise and may be exercised at any time after the
happening of an Event of Default without further notice. Provided that in the case of the exercise of a power of sale in respect of any Charged Asset other than the Gold Inventories, such power shall only be exercised by the Security Agent upon the
expiry of fourteen (14) day’s prior written notice from the Security Agent to the Chargor of its intention to exercise such power of sale. 
  

 20 

 9. Receipt and Application of Monies 
  
 9.1 Application of Monies. All monies received by the Security Agent or the Receiver hereunder shall be applied in or towards
satisfaction of the Secured Indebtedness in such order of priority as the Security Agent in its absolute discretion may determine (subject to the prior discharge of all liabilities having priority thereto by law) and subject to any such
determination in the following order of priority: 
  
 (f) in payment or
satisfaction of all costs, charges, expenses and liabilities incurred and payments made by or on behalf of the Security Agent or the Receiver in connection with the exercise of any powers hereunder and in preserving or attempting to preserve this
security or the Charged Assets and of all outgoings paid by the Security Agent or the Receiver; 
  
 (g) in payment to the Receiver of all remuneration as may be agreed between him and the Security Agent to be paid to him at the time of, or at any time after, his appointment; 
  
 (h) in payment or satisfaction of the remaining Secured Indebtedness (interest being
satisfied first) or such part thereof as the Security Agent may determine until the whole of the Secured Indebtedness shall have been certified by the Security Agent as having been discharged and so that if the Chargor is contingently liable or will
or might be so liable in respect of any monies, obligations or liabilities hereby secured all monies not dealt with under the preceding provisions of this Clause shall be placed on deposit in such separate account as the Security Agent in its
absolute discretion may think fit for the purpose of securing the contingent liabilities of the Chargor and shall become subject to this security, to be applied against such contingent liabilities as they fall due, 
  
 and the remaining balance (if any) shall be paid to the Chargor or other person entitled
thereto. 
  
 10. TAXES AND OTHER DEDUCTIONS 
  
 10.1 No Deductions or Withholdings. All sums payable by the Chargor under this Deed
shall be paid in full without set-off or counterclaim or any restriction or condition and free and clear of any tax or other deductions or withholdings of any nature. If the Chargor or any other person is required by any law or regulation to make
any deduction or withholding (on account of tax or otherwise) from any payment for the account of any Finance Party, the Chargor shall, together with such payment, pay such additional amount as will ensure that such Finance Party receives (free and
clear of any tax or other deductions or withholdings) the full amount which it would have received if no such deduction or withholding had been required. The Chargor shall promptly forward to the Security Agent copies of official receipts or other
evidence showing that the full amount of any such deduction or withholding has been paid over to the relevant taxation or other authority. 
  
 10.2 Tax Credits. In the event that any Finance Party actually receives the benefit of a tax credit or allowance resulting solely and directly from a payment by
the Chargor under Clause 10.1 (No Deductions or Withholdings) then such Finance Party shall pay to the Chargor such part of that benefit as in the opinion of such Finance Party will leave it (after such payments) in no more and no less
favorable a position than it would have been if the Chargor had not been required under Clause 10.1 (No Deductions or Withholdings) to make payment on account of any deduction or withholding as referred to in Clause 10.1 (No Deductions or
Withholdings) Provided always that the Finance Party shall: 
  
 (a) be the
sole judge of the amount of any such benefit and of the date on which it is received; 
  

 21 

 (b) have an absolute discretion as to the order and manner in which it employs or claims tax credits and allowances
available to it; and 
  
 not be obliged to disclose to the Chargor any information
regarding its tax affairs or tax computations. 
  
 11. SET-OFF 

 
 11.1 Set-Off. Notwithstanding Clause 8 (Enforcement of Security), the
Chargor agrees that the Security Agent shall (without prejudice to any general or banker’s lien, right of set-off or any other right to which it may be entitled) have the right (but not the obligation), without notice to the Chargor or any
other person, at any time to set off and apply any credit balance on the Receivables Accounts (whether subject to notice or not and whether matured or not and in whatever currency) and any other indebtedness owing by the Security Agent to the
Chargor, against the Secured Indebtedness and any monies, obligations and liabilities of the Chargor to the Security Agent on any other account or in any other respect whether actual or contingent. The Security Agent may convert any such credit
balance or other indebtedness at the prevailing rate of exchange into such other currencies as may be necessary for this purpose. 
  
 11.2 Security Agent May Debit Account of Chargor. The Security Agent may, without prejudice to any other right, power or remedy of the Security Agent, at any time
and from time to time, without further authority or notice to the Chargor, debit and charge the Receivables Accounts with any of the monies payable to any of the Finance Parties under the Guarantee Issuance Facility Agreement or this Deed.

  
 12. Costs, Charges and Expenses 
  
 12.1 Expenses. The Chargor shall from time to time forthwith on demand pay to or
reimburse each Finance Party and the Receiver for: 
  
 (a) all reasonable costs,
charges and expenses (including legal and other fees on a full indemnity basis and all other out-of-pocket expenses) incurred by any Finance Party or the Receiver in connection with the preparation, execution and registration of this Deed, any other
documents required in connection herewith and any amendment to or extension of, or the giving of any consent or waiver in connection with, this Deed; 
  
 (b) all costs, charges and expenses (including legal and other fees on a full indemnity basis and all other out-of-pocket expenses) incurred by any Finance Party or the
Receiver in investigating any event which it reasonably believes is an Event of Default or Potential Event of Default or in exercising any of its or their rights or powers hereunder or in suing for or seeking to recover any sums due hereunder or
otherwise preserving or enforcing its or their rights hereunder or in connection with the preservation or attempted preservation of the Charged Assets or in defending any claims brought against it or them in respect of this Deed or the
Chargor’s interest in the Charged Assets or in releasing or re-assigning this Deed upon payment of all monies hereby secured; and 
  

 22 

 (c) all remuneration payable to the Receiver, 
  
 and, until payment of the same in full, all such costs, charges, expenses and remuneration shall be secured by this Deed. 
  
 12.2 Taxes. The Chargor shall pay when due all present and future stamp and other like
duties and taxes and all notarial, registration, recording and other similar fees which may be payable in respect of this Deed and any documentation required in connection with this Deed and shall indemnify each of the Finance Parties from and
against all liabilities, costs and expenses which may result from any delay or default in paying such duties, taxes or fees (unless such delay or default was caused by or resulted from any willful misconduct or negligence of any such Finance Party).

  
 13. Indemnity 
  
 13.1 General Indemnity. The Chargor shall indemnify each of the Finance Parties and
the Receiver (and any attorney or delegate of either of them) from and against all losses, liabilities, damages, costs and expenses reasonably incurred by it or them in the execution or performance of the terms and conditions hereof and against all
actions, proceedings, claims, demands, costs, charges and expenses which may be incurred, sustained or arise in respect of the non-performance or non-observance of any of the undertakings and agreements on the part of the Chargor herein contained or
in respect of any matter or thing done or omitted relating in any way whatsoever to the Charged Assets provided that the Chargor shall not be obliged to indemnify any person pursuant to this Clause 13.1 (General Indemnity) to the extent that
any such losses, liabilities, damages, costs or expenses were caused by the negligence or willful misconduct of that person. 
  
 13.2 Currency Indemnity. If an amount due to any Finance Party from the Chargor in one currency (the “first currency”) under this Deed is received by
such Finance Party in another currency (the “second currency”), the Chargor’s obligations to such Finance Party in respect of such amount shall only be discharged to the extent that such Finance Party may purchase the first currency
with the second currency in accordance with normal banking procedures. If the amount of the first currency which may be so purchased (after deducting any costs of exchange and any other related costs) is less than the amount so due, the Chargor
shall indemnify such Finance Party against the shortfall. This indemnity shall be an obligation of the Chargor independent of and in addition to its other obligations under this Deed. 
  
 13.3 Payment and Security. The Security Agent may retain and pay out of any money in the Security Agent’s hands all sums
necessary to effect the indemnities contained in this Clause and all sums payable by the Chargor under this Clause shall form part of the monies hereby secured. 
  

 23 

 14. Evidence of Debt 
  
 A certificate signed by an authorized officer of the Security Agent stating any amount or rate (and showing reasonable detail of the basis and the computation of such
amount or rate) for the purpose of this Deed shall, in the absence of fraud or manifest error, be conclusive and binding on the Chargor. 
  
 15. Further Assurance 
  
 15.1 Further Assurance. The Chargor shall at any time and from time to time (whether before or after the security hereby created shall have become enforceable) execute such further legal or other mortgages,
charges or assignments and do all such transfers, assurances, acts and things as the Security Agent may reasonably require to give effect to the securities created by this Deed over or in respect of all or any of the undertaking, property, assets
and rights both present and future of the Chargor to secure all monies, obligations and liabilities hereby covenanted to be paid or hereby secured or for the purposes of perfecting and completing any assignment of the Security Agent’s rights,
benefits or obligations hereunder and the Chargor shall also give all notices, orders and directions which the Security Agent may reasonably require. 
  
 15.2 Enforcement of Security Agent’s Rights. The Chargor will do or permit to be done everything which the Security Agent may from time to time reasonably
require to be done for the purpose of enforcing the Security Agent’s rights under this Deed and will allow its name to be used as and when reasonably required for that purpose. 
  
 16. Power of Attorney 
  
 The Chargor hereby irrevocably appoints the Security Agent, the Receiver and any persons deriving title under either of them by way of security jointly and severally to
be its attorney (with full power of substitution) and in its name or otherwise on its behalf and as its act and deed to sign, seal, execute, deliver, perfect and do all deeds, instruments, acts and things which may be required or which the Security
Agent or the Receiver shall reasonably think proper or expedient for carrying out any obligations imposed on the Chargor hereunder or, for carrying out any obligation imposed on for exercising any of the powers hereby conferred or in connection with
any sale or disposition of the Charged Assets or the exercise of any rights in respect thereof or for giving to the Security Agent the full benefit of this security and so that the appointment hereby made shall operate to confer on the Security
Agent and the Receiver authority to do on behalf of the Chargor anything which it can lawfully do by an attorney. Provided that the parties hereby agree that the Security Agent, the Receiver and any persons deriving title under either of them shall
not exercise the powers and authorities hereby conferred until the occurrence of an Event of Default or a Potential Event of Default. 
  
 The Chargor ratifies and confirms and agrees to ratify and confirm any deed, instrument, act or thing which such attorney or substitute may execute or do. 
  

 24 

 17. Other Encumbrances 
  

17.1 Tacking. All monies which are expressed to be secured by this Deed and which are advanced, paid or otherwise provided after any Finance Party receives
notice of the creation of any other Encumbrance shall be secured by this Deed in priority to any monies secured by that other Encumbrance, unless the Finance Parties specifically agree otherwise in writing. 
  
 17.2 Opening of New Account. If any Finance Party receives actual or constructive
notice, of any subsequent charge or other instrument affecting any part of the Charged Assets and/or the proceeds of realization thereof, such Finance Party may open a new account with the Chargor. If such Finance Party does not open a new account
it shall nevertheless be treated as if it had done so at the time when it received or was deemed to have received notice, and as from that time all payments made to it shall be credited or be treated as having been credited to the new account and
shall not operate to reduce the amount for which this Deed is security. 
  
 18.
Protective Clauses 
  
 18.1 Protective Clauses. Without limiting
Clause 4 (Continuing Security) neither the liability of the Chargor nor the validity or enforceability of this Deed shall be prejudiced, affected or discharged by: 
  
 (a) Other Encumbrances: any other Encumbrance, guarantee or other security or right or remedy being or becoming held by or available
to any Finance Party or by any of the same being or becoming wholly or partly void, voidable, unenforceable or impaired or by any Finance Party at any time releasing, refraining from enforcing, varying or in any other way dealing with any of the
same or any power, right or remedy any Finance Party may now or hereafter have from or against the Chargor or any other person; 
  
 (b) Time: the granting of any time or indulgence to the Chargor or any other person; 
  
 (c) Variation: any variation or modification of the Guarantee Issuance Facility Agreement, any of the other Finance Documents or any
other document referred to therein; 
  
 (d) Invalidity: the invalidity or
unenforceability of any obligation or liability of the Chargor under the Guarantee Issuance Facility Agreement or any of the other Finance Documents; 
  
 (e) Defective Execution: any invalidity or irregularity in the execution of this Deed, the Guarantee Issuance Facility Agreement or any of the other Finance
Documents; 
  
 (f) Defective Capacity: any deficiency in the powers of the
Chargor to enter into or perform any of its obligations under this Deed or under any of the other Finance Documents or any irregularity in the exercise thereof or any lack of authority by any person purporting to act on behalf of the Chargor;

  

 25 

 (g) Change in Constitution: any change in the constitution of the Chargor or any Finance Party or (in relation to
any of them) its absorption in or amalgamation with, or the acquisition of all or a part of its undertaking by, any other person; 
  
 (h) Insolvency: the insolvency or liquidation or any incapacity, disability or limitation of the Chargor; 
  
 (i) Waiver: any waiver, exercise, omission to exercise, compromise, renewal or release
of any rights against the Chargor or any other person or any compromise, arrangement or settlement with any of the same; and 
  
 (j) Other: any act, omission, event or circumstance which would or may but for this provision operate to prejudice, affect or discharge this Deed or the liability
of the Chargor under this Deed. 
  
 18.2 Unrestricted Right of Enforcement.
This Deed may be enforced without the Finance Parties first having recourse to any other security or rights or taking any other steps or proceedings against the Chargor or any other person or may be enforced for any balance due after resorting to
any one or more other means of obtaining payment or discharge of the monies obligations and liabilities hereby secured. 
  
 18.3 Restriction on Consolidation. Section 21(1) of the CLPA shall not apply to this Deed. 
  
 18.4 Release. The Security Agent may release any of the Charged Assets from the security hereby created at any time and any such
release shall not in any way affect, prejudice or invalidate the security created over any other Security Document or the obligations of the Chargor under this Deed or the Guarantee Issuance Facility Agreement or any other Security Document to which
it is a party. 
  
 18.5 Release of Charge Conditional. Any release,
settlement or discharge given or made by the Security Agent in consideration for any assurance, security, disposition or payment made by the Chargor or any other person shall be conditional upon such assurance, security, disposition or payment not
being void, voidable, set aside or ordered to be refunded for any reason whatsoever under any law (including, without limitation, any law relating to preferences, bankruptcy, insolvency, administration or winding up). If such condition is not
fulfilled: 
  
 (a) Enforcement: the Security Agent shall be entitled to
enforce the security created by or pursuant to this Deed subsequently to the same extent as if no such assurance, security, disposition or payment had been made and any such release, settlement or discharge had not occurred; 
  
 (b) Further Assurance: the Chargor shall, at its own expense, promptly do, execute and
deliver, and cause any relevant third person to do, execute and deliver, all such acts and instruments as the Security Agent may reasonably require to reinstate the security expressed to be constituted by this Deed; and 
  
 (c) Retention of Security: the Security Agent may retain this Deed, any security
hereby created and any document deposited with it hereunder until it is satisfied that such condition has been or will be fulfilled, and this Clause 18.5 shall survive the discharge of this Deed unless the Security Agent expressly agrees otherwise
in writing. 
  

 26 

 19. AMENDMENT, WAIVER AND SEVERABILITY 
  
 19.1 Amendment. Any amendment or waiver of any provision of this Deed and any waiver of any default under this Deed shall only be
effective if made in writing and signed by the Security Agent. 
  
 19.2
Waiver. No failure or delay by any Finance Party in exercising any of its right, power or remedy under this Deed shall impair such right, power or remedy or operate as a waiver thereof, nor shall any single or partial exercise of any right,
power or remedy preclude any further exercise thereof or of any other right, power or remedy. The rights, powers and remedies provided in this Deed are cumulative and do not exclude any other rights, powers or remedies provided by law. 

 
 19.3 Severability. If at any time any provision of this Deed is or becomes illegal,
invalid or unenforceable in any respect under the law of any jurisdiction, the legality, validity and enforceability of such provision under the law of any other jurisdiction, and of the remaining provisions of this Deed, shall not be affected or
impaired thereby. 
  
 20. Miscellaneous 
  
 20.1 Counterparts. This Deed may be executed in any number of counterparts and by the
different parties to this Deed on separate counterparts which when taken together shall constitute one and the same instrument. 
  
 20.2 Survival of Indemnities. The indemnities contained in this Deed are continuing obligations of the Chargor and are separate and independent from the other
obligations of the Chargor and shall survive the termination of this Deed. 
  
 21.
ASSIGNMENT 
  
 21.1 Successors and Assigns. This Deed shall be
binding upon and inure to the benefit of the parties to this Deed and their respective successors and permitted assigns. 
  
 21.2 Assignment by Chargor. The Chargor shall not assign or otherwise transfer the benefit of this Deed or any of its rights, duties or obligations under this Deed
without the prior written consent of the Security Agent. 
  
 21.3 Assignment by
Lenders. The Lenders may assign or grant participations in all or any part of their rights under this Deed in accordance with the provisions of clause 19.3 and clause 19.4 respectively of the Guarantee Issuance Facility Agreement. 
  
 21.4 Change of Security Agent. The Security Agent may assign and transfer all of its
rights to the Charged Assets and all of its rights and obligations under this Deed to a replacement Security Agent appointed in accordance with the Guarantee Issuance Facility Agreement and, when such assignment and transfer takes effect, the
replacement Security Agent shall be for all purposes acting as security agent and trustee in accordance with this Deed and the Guarantee Issuance Facility Agreement. 
  

 27 

 22. NOTICES 
  
 21.1 Delivery. Each notice, demand or other communication to be given or made under this Deed shall be in writing and delivered or sent to the relevant party at
its address or fax number set out below (or such other address or fax number as the addressee has by not less than five (5) days’ prior written notice specified to the other party): 
  

			
	 To the Chargor:
	 	 KULICKE & SOFFA (S.E.A.) PTE. LTD.

	 	 	 6 Serangoon North Avenue 5

	 	 	 #03-16

	 	 	 Singapore 554910

  

			
	 Fax Number
	 	 : (65) 6880 9662

	 Attention
	 	 : Ho Siew Foong/ Conrad Wee

  

			
		
	 To the Security Agent:
	 	 NATEXIS BANQUES POPULAIRES

	 	 	 SINGAPORE BRANCH

	 	 	 50 Raffles Place #41-01

	 	 	 Singapore Land Tower

	 	 	 Singapore 048623

  

			
	 Telephone Number
	 	 : (65) 6224 1455

	 Fax Number
	 	 : (65) 6224 8651

	 Attention
	 	 : Karen Lim/ Kelly Yan

  
 22.2 Deemed Delivery. Any
notice, demand or other communication so addressed to the relevant party shall be deemed to have been delivered (a) if given or made by letter, when actually delivered to the relevant address, (b) if given or made by fax, when despatched with
electronic confirmation of complete and error-free transmission, Provided that, if such day is not a working day in the place to which it is sent, such notice, demand or other communication shall be deemed delivered on the next following working day
at such place. 
  
 22.3 Language. Each notice or other communication under
this Deed shall be in English. Any other documents required to be delivered under this Deed shall be either in English or be accompanied by a certified translation into English. 
  
 23. GOVERNING LAW AND JURISDICTION 
  
 23.1 Law. This Deed and the rights and obligations of the parties hereunder shall be governed by and construed in accordance with the laws of Singapore.

  
 23.2 Jurisdiction. The Chargor irrevocably agrees for the benefit of
the Finance Parties that any legal action arising out of or relating to this Deed may be brought in the courts of Singapore and irrevocably submits to the non-exclusive jurisdiction of such courts. 
  

 28 

 23.3 No Limitation on Right of Action. Nothing in this Deed shall limit the right of any Finance Party to commence
any legal action against the Chargor and/or its assets in any other jurisdiction or to serve process in any manner permitted by law, and the taking of proceedings in any jurisdiction shall not preclude any Finance Party from taking proceedings in
any other jurisdiction whether concurrently or not. 
  
 23.4 Waiver; Final
Judgment Conclusive. The Chargor irrevocably and unconditionally waives any objection which it may now or hereafter have to the choice of Singapore as the venue of any legal action arising out of or relating to this Deed and agrees not to claim
that any court in that venue is not a convenient or proper forum. The Chargor also agrees that a final judgment against it in any such legal action shall be final and conclusive and may be enforced in any other jurisdiction, and that a certified or
otherwise duly authenticated copy of the judgment shall be conclusive evidence of the fact and amount of its indebtedness. 
  
 23.5 Waiver of Immunity. The Chargor irrevocably and unconditionally waives any immunity to which it or its assets may at any time be or become entitled, whether
characterized as sovereign immunity or otherwise, from any set-off or legal action in Singapore or elsewhere, including immunity from service of process, immunity from jurisdiction of any court or tribunal, and immunity of any of its assets from
attachment prior to judgment or from execution of a judgment. 
  
 THIS DEED has
been executed as a Deed by the parties hereto and is intended to be and is hereby delivered on the date stated at the beginning of this Deed. 
  

 29 

 Schedule 1 
  
 Particulars of Insurances as at the date hereof 
  

					
			
	 Policy No.
	  	:	 	MD0300409
			
	 Name of insurer
	  	:	 	Underwriting members of Lloyds
			
	 Insured
	  	:	 	Kulicke & Soffa Industries and/or its subsidiaries and/or American Fine Wire and/or N.M. Rothschild & Sons (Australia) Limited for their respective rights and
interests.
			
	 Period
	  	:	 	12 months at 1st October 2003
			
	 Insurances covered
	  	:	 	 
			
	 Type
	  	:	 	All Risks
			
	 Interest
	  	:	 	Gold and/or bullion and/or numismatic coins and/or precious metals and/or previous metals in whatever form or stage, whether or not specifically identifiable during processing and the process
thereof, the property of the Insured or for which they are legally of contractually responsible or for which they have received instruction to insure or deem themselves responsible to insure.
			
	 Limit of Liability
	  	:	 	US$18,000,000 any one loss any one location as per schedule sublimited to US$500,000 any one loss any one location in respect of any other Kulicke & Soffa location.

  

 30 

 Schedule 2 
  
 Form of Notice 
  
 To: [name of Insurer] 
  
                      200     
  
 Dear Sirs, 
  
 Re: [specify relevant policy or contract of insurance] 
  
 We refer to the above insurances (the “Insurances”) effected by you in favour of
[                            ] as detailed in a Debenture (the “Debenture”) dated
     2004, a copy of which is attached hereto. 
  
 We give you notice that by the Debenture we have assigned to Natexis Banques Populaires, Singapore Branch (the “Security Agent”) acting on its own behalf and as agent and security trustee for the Finance Parties all our right,
title, interest and benefit in and to the Insurances and all payments to be made by you thereunder. 
  
 We instruct you that until further notice all payments in respect of any claim for an amount which you may be required to make pursuant to the terms of the Insurances should be made in accordance with the terms set
out in the enclosed form of loss payable and notice of cancellation clause. 
  
 These instructions may not be altered or revoked by us without the prior written consent of the Security Agent. 
  
 Please acknowledge these instructions by signing as indicated and returning to the Security Agent the enclosed duplicate of this notice. 
  
 Yours faithfully, 
 For and on behalf of 
 KULICKE & SOFFA (S.E.A.) PTE. LTD. 
  

	
	

	 Name:

	 Title:

  
 [enclose form of Loss Payable and
Notice of Cancellation Clause] 
  

 31 

 [On duplicate] 
  

			
	 To:
	  	Natexis Banques Populaires, Singapore Branch
		
	 	  	Attn: [                ]
		
	 	  	    (on its own behalf and
	 	  	    as agent and security trustee for the Finance Parties
	 	  	    referred to above)

  
 We acknowledge receipt of the above
notice and confirm that we consent to the assignment set out in the above notice and that a loss payable and notice of cancellation clause in the form enclosed with the notice has been included in the Insurances and that we will comply with the
instructions contained therein. 
  
 Dated
                     200      
  
 For and on behalf of 
 [name of Insurer]

  
 Authorized Signature(s) 
 Name: 
 Title: 
  

 32 

 Schedule 3 
  
 Form of Loss Payable and Notice of Cancellation Clause 
  
 By a Debenture dated              200     , KULICKE & SOFFA
(S.E.A.) PTE. LTD. (the “Chargor”) assigned all its right, title, interest and benefit in and to this policy/contract of insurance and the benefits and proceeds hereof including all claims of whatever nature and returns of premiums to
NATEXIS BANQUES POPULAIRES, SINGAPORE BRANCH (the “Security Agent”) acting on its own behalf and as agent and security trustee for the Finance Parties (as defined therein). Until notice in writing to the contrary is received by the insurer
or insurance broker hereunder from the Security Agent, all proceeds payable hereunder shall be paid directly to the Security Agent. 
  
 The Security Agent shall be advised: 
  
 (i) if any insurer under this policy/contract gives notice of cancellation of any insurance hereunder, at least fourteen (14) days before any such
cancellation is to take effect; 
  
 (ii) of any proposed
alteration in or termination or expiry of any such insurance at least fourteen (14) days before such alteration, termination or expiry is to take effect; 
  
 (iii) promptly of any default in the payment of any premium or call; 
  
 (iv) promptly of any act or omission or of any event of which any insurer hereunder has knowledge and which might invalidate
or render unenforceable in whole or in part such insurance. 
  
 No cancellation,
termination or expiry of or alteration to any insurance hereunder shall be effective as against the Security Agent or the Finance Parties unless the relevant provisions of this Clause have been complied with in full. 
  
 The rights of the Security Agent and the Finance Parties under this policy/contract of
insurance shall not be prejudiced by any act or neglect of the Chargor or any other person nor by any foreclosure or other proceedings or notice of sale of the Gold or any other Charged Assets (as defined in the Debenture). 
  
 The Security Agent may, but shall not be required to, pay any insurance premiums unpaid by
the Chargor. 
  

 33 

 EXECUTION 
  
 THE CHARGOR 
  

			
	 THE COMMON SEAL of
	 	)
	 KULICKE & SOFFA (S.E.A.) PTE. LTD.
	 	)
	 was affixed to this Deed in
	 	)
	 the presence of:
	 	)

  

			
	 /s/ Ho Siew Foong
	 	 
	 Director
	 	 
	  
 /s/ Sabrina Ruskin
	 	 
	 Director/Secretary
	 	 

  
 THE SECURITY AGENT 
  

			
	 SIGNED by
	 	)
	 for and on behalf of
	 	)
	 NATEXIS BANQUES POPULAIRES
	 	)
	 SINGAPORE BRANCH
	 	)
	 in the presence of:
	 	)

  

			
	 /s/ Clara Hang
	 	 
	 (Signature)
	 	 
	  
 /s/ Philippe Petitgas
	 	 
	 (Signature)
	 	 

  

 34

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