Document:

Exhibit 10.1

Exhibit 10.1

SIGNATURE VERSION

CREDIT FACILITY AGREEMENT

of 18 May 2011

IN THE AMOUNT OF EUR 124,500,000

between

FIRST SOLAR MANUFACTURING GMBH

as Borrower

and

COMMERZBANK AKTIENGESELLSCHAFT

acting as Arranger

COMMERZBANK AKTIENGESELLSCHAFT, LUXEMBOURG BRANCH

acting as Facility Agent

COMMERZBANK AKTIENGESELLSCHAFT, LUXEMBOURG BRANCH

acting as Security Agent

and

additional Finance Parties

 

 

 

Table of Contents

	 	 	 	 	 
	1. DEFINITIONS AND INTERPRETATION
	 	 	1	 
	 
	 	 	 	 
	2. CREDIT FACILITY
	 	 	12	 
	 
	 	 	 	 
	3. PURPOSE
	 	 	12	 
	 
	 	 	 	 
	4. CONDITIONS OF UTILIZATION
	 	 	12	 
	 
	 	 	 	 
	5. UTILIZATION IN THE FORM OF LOANS
	 	 	13	 
	 
	 	 	 	 
	6. REPAYMENT
	 	 	14	 
	 
	 	 	 	 
	7. PREPAYMENT AND CANCELLATION
	 	 	14	 
	 
	 	 	 	 
	8. INTERST
	 	 	18	 
	 
	 	 	 	 
	9. INTEREST PERIODS
	 	 	19	 
	 
	 	 	 	 
	10. BREAK COSTS AND ALTERNATIVE INTEREST CALCULATION
	 	 	20	 
	 
	 	 	 	 
	11. FEES
	 	 	21	 
	 
	 	 	 	 
	12. TAXES
	 	 	21	 
	 
	 	 	 	 
	13. INCREASED COSTS
	 	 	23	 
	 
	 	 	 	 
	14. INDEMNITIES
	 	 	24	 
	 
	 	 	 	 
	15. MITIGATION
	 	 	25	 
	 
	 	 	 	 
	16. COSTS
	 	 	25	 
	 
	 	 	 	 
	17. PAYMENTS
	 	 	26	 
	 
	 	 	 	 
	18. REPRESENTATIONS
	 	 	29	 
	 
	 	 	 	 
	19. INFORMATION COVENANTS
	 	 	33	 
	 
	 	 	 	 
	20. FINANCIAL RATIOS (Financial Covenants)
	 	 	37	 
	 
	 	 	 	 
	21. GENERAL COVENANTS
	 	 	37	 

 

 

 

	 	 	 	 	 
	22. EVENTS OF DEFAULT
	 	 	43	 
	 
	 	 	 	 
	23. SYNDICATION AGREEMENT
	 	 	47	 
	 
	 	 	 	 
	24. SECURITY POOL
	 	 	53	 
	 
	 	 	 	 
	25. CONDUCT OF BUSINESS BY THE FINANCE PARTIES
	 	 	59	 
	 
	 	 	 	 
	26. CERTIFICATES AND CALCULATIONS
	 	 	59	 
	 
	 	 	 	 
	27. AMENDMENTS AND WAIVERS
	 	 	60	 
	 
	 	 	 	 
	28. CHANGES TO THE PARTIES
	 	 	61	 
	 
	 	 	 	 
	29. DISCLOSURE OF INFORMATION
	 	 	63	 
	 
	 	 	 	 
	30. PROVISIONS RELATING TO THE DEFICIENCY GUARANTY
	 	 	64	 
	 
	 	 	 	 
	31. TERMS OF FEDERAL/STATE GUARANTOR DECISION
	 	 	68	 
	 
	 	 	 	 
	32. SEVERABILITY
	 	 	68	 
	 
	 	 	 	 
	33. NOTICES
	 	 	68	 
	 
	 	 	 	 
	34. GOVERNING LAW AND JURISDICTION
	 	 	69	 
	 
	 	 	 	 
	35. CONCLUSION OF THIS AGREEMENT
	 	 	70	 

Schedules

	 	 	 	 	 
	SCHEDULE 1 — THE ORIGINAL PARTIES
	 	 	71	 
	 
	 	 	 	 
	Part I — The Borrower
	 	 	71	 
	 
	 	 	 	 
	SCHEDULE 2 - AUSZAHLUNGSVORAUSSETZUNGEN
	 	 	73	 
	 
	 	 	 	 
	Part I — Original conditions precedent to disbursement
	 	 	73	 
	 
	 	 	 	 
	Part II — Security agreements prior to initial utilization
	 	 	76	 
	 
	 	 	 	 
	SCHEDULE 3 — UTILIZATION REQUEST AND SELECTION NOTICE
	 	 	77	 
	 
	 	 	 	 
	Part I — Specimen of a utilization request
	 	 	77	 
	 
	 	 	 	 
	Part II — Specimen of selection notice
	 	 	78	 

 

 

 

	 	 	 	 	 
	SCHEDULE 4 — FORM OF TRANSFER CERTIFICATE
	 	 	79	 
	 
	 	 	 	 
	SCHEDULE 5 - FINANZKENNZAHLEN
	 	 	82	 
	 
	 	 	 	 
	Part I — Form of compliance certificate
	 	 	82	 
	 
	 	 	 	 
	Partl II — Financial ratios
	 	 	83	 
	 
	 	 	 	 
	SCHEDULE 6 — GROUP ORGANIZATIONAL CHART
	 	 	84	 
	 
	 	 	 	 
	SCHEDULE 7 — FEDERAL/STATE GUARANTOR DECISION
	 	 	85	 
	 
	 	 	 	 
	Partl I — Federal/State Guarantor Decision
	 	 	85	 
	 
	 	 	 	 
	Partl II — General terms and conditions for the assumption of guarantees by the German Bund
	 	 	91	 
	 
	 	 	 	 
	Part III —  Item B of the instructions for applying for federal loan guaranties in connection with parallel state guaranties
	 	 	95	 
	 
	 	 	 	 
	SCHEDULE 8 — PROCEDURE FOR CALCULATING MANDATORY COSTS
	 	 	97	 
	 
	 	 	 	 
	SCHEDULE 9 — FORM OF GUARANTY
	 	 	100	 

 

 

 

THIS AGREEMENT (hereinafter referred to as the “Agreement”) relating to a credit facility,
which is partially secured by a government guaranty, was entered into by the following parties on
18 May 2011:

	1.	 	FIRST SOLAR MANUFACTURING GMBH, a German limited liability company with its principal place
of business in Frankfurt/Oder and recorded in the Commercial Register of the Municipal Court
of Frankfurt/Oder under registration number HRB 11116, as borrower (hereinafter referred to as
the “Borrower”);

	2.	 	COMMERZBANK AKTIENGESELLSCHAFT, acting as arranger (in this capacity, hereinafter referred to
as the “arrangeur”);

	3.	 	the FINANCIAL INSTITUTIONS listed in Part II (The Original Lenders) of Schedule 1 (The
Original Parties), as lenders (hereinafter individually referred to as an “Original
Lender”);

	4.	 	COMMERZBANK AKTIENGESELLSCHAFT, LUXEMBOURG BRANCH, acting as facility agent (in this
capacity, hereinafter referred to as the “Facility Agent”); and

	5.	 	COMMERZBANK AKTIENGESELLSCHAFT, LUXEMBOURG BRANCH, acting as security agent (in this
capacity, hereinafter referred to as the “Security Agent”).

IT IS AGREED AS FOLLOWS:

1. DEFINITIONS AND INTERPRETATION

1.1 Definitions

In this Agreement, the terms set forth below shall have the following meanings:

Acceptable Bank means:

	a)	 	a financial institution that has a rating for its long-term unsecured and non-credit-enhanced
debt obligations of A- or higher by Standard & Poor’s Rating Services or Fitch Ratings or
Fitch Ratings Ltd, or A-3 or higher by Moody’s Investor Services Limited; or

	b)	 	any other financial institution that was approved by the Facility Agent (acting at
the instruction of the Majority Lenders).

Adjustment Payment has the meaning given to that phrase in subsection 17.11 (Adjustment
payment).

Administrative Party means the Arranger and each Agent.

Affiliate is an affiliated enterprise within the meaning of §15 of the German Stock
Corporation Act (Aktiengesetz — AktG).

Agent means the Security Agent and the Facility Agent.

Audit Period means every twelve (12) month period that ends on the last day of a fiscal
year or the last day of a quarter of a fiscal year of the Borrower.

Authorizations and Approvals means any authorizations, consents, approvals, resolutions,
licenses, permits, exemptions, registrations, concessions and notarizations.

Break Costs means the amount that a Lender can draw upon pursuant to section
10.4.

Business Day means a day (except Saturday or Sunday) on which banks in Frankfurt am Main
and Luxembourg are open for ordinary business operations and which also is a TARGET Day.

 

 

 

Business Plan means the Borrower’s finance planning for fiscal year 2011, as of 3
Febraury 2011, as well as any business plan that is submitted in accordance with subsection 19.4 a)
(Business Plan).

Capital Preservation Covenant means the covenant by First Solar Holding GmbH for the
benefit of the State Guarantors and the Lenders, which includes, inter alia, the
obligation not to bring about a resolution to reduce the share capital of the Borrower or
to effectuate a payment from the capital reserves that would lead to the equity capital of the
Borrower falling short of — the higher of the two following amounts:

a) EUR 27,189,000; or

b) EUR 173,216,596 reduced by the (i) investment subsidies and investment grants that have been
disbursed or are still expected as well as (ii) loan amounts advanced under this Agreement and the
outstanding Total Commitments.

Change of Control means that (i) one or more persons acting in concert acquire(s) a
(direct or indirect) interest in the Guarantor representing 35% or more of all shares
and/or voting rights, or (ii) the Guarantor (directly or indirectly) does not hold 100% of
all shares and voting rights of the Borrower.

Commitment means the Commitment of the respective Lender listed in Part II (The
Original Lenders) of Schedule 1 (The Original Parties) under the heading, “Commitment”, except
insofar as such Commitment has been canceled or reduced in accordance with this Agreement.

Compliance Certificate means a confirmation that corresponds in material respects to
Schedule 5 Part I (Form of Compliance Certificate) and from which, among other things, the
calculation of the Financial Ratios is derived in accordance with section 20 (Financial
Ratios (Compliance Certificate).

Confidential Information has the meaning given to that term in section 29 (Disclosure of
Information).

Debt Service Reserve Account means the account described in subsection 21.22 (Debt Service
Reserve Account) and pledged to the Security Agent.

Default means an event described in section 22 (Default).

Deficiency Guarantee means the deficiency guarantee [Ausfallsbürgschaft] granted by the
Federal Republic of Germany and the German federal state of Brandenburg in accordance with the
Federal/State Guarantor
Decision [Bürgschaftsentscheidung] with respect to this
Agreement for 70% of the total amount of the Facility.

Differential has the meaning given to that term in subsection 7.4 b) (Mandatory
prepayments).

Disruption means either:

	a)	 	a material disruption to those payment or communications systems or to those financial
markets which are, in each case, required to operate in order for payments to be made in
connection with the Facility (or other the transactions contemplated by the
Finance Documents), which disruption is not caused by, and is beyond the control of,
any of the Parties; or

	b)	 	any event that leads to a technical or systematic disruption of the treasury or payments
operations of a Party and prevents that or another Party from:

	 	(i)	 	performing its payment obligations under the Finance Documents; or

	 	(ii)	 	communicating with other Parties in accordance with the terms of the
Finance Documents,

and which, in either such case, is not caused by, and is beyond the control of, the Party
whose operations are disrupted.

Ebitda has the meaning given to that term in Schedule 5 Part II (Financial
Ratios).

 

- 2 -

 

Element of Default means a Potential Event of Default or an
Event of
Default.

Environmental Approvals means all Authorizations and Approvals and the filing of
any notifications, reports or assessments required under the Environmental Laws for the
operation of the business by the Borrower in connection with Production Facility FFO2.

Environmental Claims means all claims, proceedings, formal notices or investigations of a
person in respect of any Environmental Law.

Environmental Laws means all applicable laws, regulations and other generally binding
legal norms relating to:

	a)	 	pollution or protection of the environment;

	 
	b)	 	workplace conditions; or

	c)	 	the generation, handling, storage, use, release or spillage of substances that, alone
or in combination with other substances, are capable of causing harm to the environment
including, without limitation, waste.

Equity Capital has the meaning given to it in Part II puff Schedule 5 (Financial Ratios).

EURIBOR, with respect to an Interest Period of a Loan or an overdue amount in
EUR, is:

	a)	 	the applicable Screen Rate; or

	b)	 	if no Screen Rate is available for the respective Interest Period of a
Loan or the overdue amount, then the arithmetic mean of such interest rates (rounded
upward to four decimal places) that are quoted by the Reference Banks to leading
banks in the European interbank market and that are supplied to the Facility Agent at
its request,

as of 11:00 a.m. Brussels time on the Quotation Day for the offering of deposits of a
comparable amount in euro for a period that is comparable to the Interest Period of the
relevant loan.

EUR means the common currency of the Member States of the European Union that participated in the
third stage of the currency union.

Existing Lender has the meaning given to that term in subsection 28.3 (Transfers by
Lender).

Facility means the loan facility described in section 2.1 (Amortizable loan).

Facility Office means any business office that a Lender designates to the
Facility Agent (i) no later than the day on which it becomes a Lender, or (ii) in
the event of a change after such date, upon advance notice of at least five (5) Business
Days as the business office through which such Lender intends to perform its
obligation under this Agreement.

Federal/State Guarantor Decision [Bürschaftsentscheidung], means
the
federal/state guarantor decision of 9 and 13 December 2010 relating to the Deficiency
Guarantee (Ausfallsbürgschaft), as appended in Schedule 7 (Federal/State Guarantor
Decision),  including the “Instructions for Applying for Federal Loan Guarantees in
Connection with Parallel State Guarantees” [“Hinweise für die Beantragung von Bundesbürgschaften
unter Einbindung paralleler Landesbürgschaften”] in the version dated 10 May 2010.

Fee Letter means

	a)	 	any letter between the Borrower and an Administrative Party relating to the
fees set forth in subsections 11.2 (Arrangement fee), 11.3 (Administrative fee for the
Facility Agent) and 11.4 (Administrative fee for the Security Agent); and

	b)	 	the Mandate Letter between the Borrower and Commerzbank Aktiengesellschaft dated 8
October 2010, as amended.

 

- 3 -

 

Final Maturity Date means the day that is eight years and six months after the signing of
this Agreement.

Finance Documents means:

	a)	 	this Agreement;

	 
	b)	 	any Security Document;

	 
	c)	 	any Fee Letter;

	 
	d)	 	any Compliance Certificate;

	 
	e)	 	any Utilization Request;

	 
	f)	 	any Selection Notice;

	 
	g)	 	the Deficiency Guaranty and the Federal/State Guarantor Decision; and

	 
	h)	 	any other document designated as a Finance Document by mutual agreement of the
Facility Agent and the Borrower.

Finance Party means the Lenders and each Administrative Party.

Financial Indebtedness means any indebtedness for or in respect of:

	a)	 	loans and borrowings;

	 
	b)	 	bonds, debentures, commercial paper or comparable financial instruments;

	 
	c)	 	acceptance of drawn bills of exchange and the issuance of own bills of exchange;

	d)	 	lease agreements insofar as the leased asset is required to be recorded as a financial lease
under the applicable Generally Accepted Accounting Principles;

	e)	 	the sale of receivables (except for sales of receivables without recourse, including
so-called “echtem Factoring“ [“genuine” / non-recourse factoring”]) as well as Recourse
Factoring;

	f)	 	derivative transactions insofar as they hedge against fluctuations of markets, interest
rates, prices or yields or produce proceeds (where the value of the derivative transaction is
calculated on a marked-to-market basis);

	g)	 	any other transaction that has the economic effect of a loan (including credit extended to
suppliers under terms of payment greater than 360 days), whereas indebtedness under vendor
financing with terms of payment less than 360 days shall not constitute financial indebtedness
within the meaning of this Agreement; and

	h)	 	any guaranty, bond, surety or indemnity, or any compensation or expense reimbursement claims
for the benefit of any person with respect to the indebtedness described in the preceding
paragraphs a) to g).

Financial Ratios means Minimum Liquidity, EBITDA and the Gearing Ratio.

First Utilization Date is the date on which the first Utilization occurs.

Gearing Ratio has the meaning given to that term in Schedule 5 Part II (Financial
Ratios).

Generally Accepted Accounting Principles means, with respect to the annual financial
statements of the Borrower and the German Group Companies, the generally accepted
accounting principles in accordance with the German Commercial Code (Handelsgesetzbuch or “HGB”)
and, with respect to the Business Plan, the quarterly financial statements of the
Borrower and the consolidated financial statements of the Guarantor, US GAAP.

Group means the Guarantor, the Borrower, First Solar Holdings GmbH and
First Solar GmbH.

Group Company means a member company of the Group.

 

- 4 -

 

Group Organizational Chart means the organizational chart of the Group appended
in Schedule 6 (Group Organizational Chart), which reflects:

	a)	 	all of the Group Companies and, except in the case of the Guarantor, their
shareholders;

	b)	 	the registered offices of the Group Companies set forth therein;

	c)	 	the respective equity interests and, if different, voting rights (in each case in percent)
within the Group; and

	d)	 	all inter-company agreements concluded among Group Companies.

Guaranty means the unconditional and irrevocable guaranty under German law, which is
issued by the Guarantor prior to the first Utilization and corresponds in
material respects to the form appended in Schedule 9 (Form of Guaranty).

Guarantor means First Solar Inc., a corporation organized under the laws of the state of
Delaware in the United States of America and which has its principal place of business in Tempe,
Arizona.

Hedging Transactions means all derivative transactions that are entered into for the
purpose of hedging against, or profiting from, interest rate or price fluctuations including, in
particular, interest rate or currency swaps transactions, contracts capping interest rates,
financial or commodities futures or contracts or options, agreements on fixed interest for future
deposits or granted loans and similar agreements.

HGB means the German Commercial Code (Handelsgesetzbuch).

Impaired Facility Agent means the Facility Agent insofar as:

	a)	 	such Facility Agent has not made a payment when due, though obligated to do so
pursuant to the Finance Documents (or has advised a Party that it does not intend to make such
a payment), unless

	 	(i)	 	the delay in payment is due to technical or administrative causes or a
Disruption and the payment is made within three (3) Business Days
after falling due; or

	 	(ii)	 	such Facility Agent disputes in good faith that it is contractually
obligated to make the respective payment;

	b)	 	such Facility Agent otherwise formally seeks to void a Finance Document or
disavows or withdraws from such document;

	c)	 	(if such Facility Agent is also simultaneously a Lender) such Facility
Agent is a “Lender in Default” within the meaning of paragraph (a) or (b) of
such definition; or

	d)	 	such Facility Agent is in Insolvency.

Increased Costs means:

	a)	 	any decrease in the yield of a Facility or of the rate of return of a Finance
Party;

	 
	b)	 	all additional or increased costs; and

	 
	c)	 	any decrease of the amount due and payable under a Finance Document,

to the detriment of a Finance Party or any of its Affiliates, if and insofar as
such costs are related to a Commitment or the performance of obligations under the
Finance Documents.

 

- 5 -

 

Industrial Property Rights means:

	a)	 	all rights to domestic, European or other international current and future industrial
property rights to which the Borrower is entitled. Industrial Property Rights shall
include, in particular, the following: patents, supplementary protection certificates, utility
models, industrial designs (including registered and unregistered community designs),
topographies,
plant variety protections, trademarks, company marks (to the extent separately
transferable), titles of works, domain names, copyrights and related ancillary copyrights,
database rights, know-how (insofar as such know-how can be the subject of separate rights)
and all other intangible rights of the Borrower protected by German, European or
any applicable state laws, including the registration of such rights; and

	b)	 	all rights of use and licenses to Industrial Property Rights to which the Borrower
is entitled.

Information Memorandum means the document dated 11 October 2010 in the form approved by
the Borrower which, at the request of the Borrower and on its behalf, was
prepared in relation to its business operations, Production Facility FFO2 and the use of
the Facility and distributed by the Arranger on 12 October 2010 to selected banks
and financial institutions.

Information Package means the Information Memorandum, the Original Financial
Statements and the Business Plan, which was presented to the Facility Agent
prior to the signing of this Agreement.

Insolvency means that:

	a)	 	a Finance Party institutes or has instituted against it an insolvency proceeding or
similar proceeding with respect to its assets or has applied for its dissolution or
liquidation, or any such action has been taken by a government body, regulatory authority or
similar institution in a jurisdiction in which such Finance Party was established or
has its principal place of business or which has general jurisdiction over the Finance
Party in matters relating to insolvency, supervisory issues or regulatory offenses;

	b)	 	a Finance Party is over-indebted or insolvent or makes a written admission of
insolvency;

	c)	 	a Finance Party takes action seeking a moratorium, restructuring, a general
composition or comparable accords with, or for the benefit of, its creditors;

	d)	 	an insolvency proceeding or similar proceeding has been instituted with respect to the assets
of a Finance Party, or a petition seeking the dissolution or liquidation of such
Finance Party has been filed;

	e)	 	an order has been issued relating to the liquidation, winding-up or receivership of a
Finance Party;

	f)	 	an administrator, preliminary liquidator, conservator, receiver, trustee, custodian or other
similar official has been appointed for all or substantially all of the assets of a
Finance Party;

	g)	 	an event occurs that under the applicable laws has an effect on the Finance Party
that is analogous to any of the events described in paragraphs a) to g); or

	h)	 	a Finance Party takes any action in furtherance of, or indicating its consent to, or
acquiescence in, any of the aforementioned events.

Interest Period means each period under this Agreement during which interest is
charged for a Loan.

IFRS means the “International Accounting Standards” within the meaning of IAS Regulation
1606/2002, to the extent applicable to the preparation of the relevant financial statements.

Joint Venture means any joint venture company, irrespective of its form of organization,
whether as a company, unincorporated firm, undertaking, association, joint venture or partnership
or any other entity.

Legal Reservations means all qualifications and reservations as to matters of law
described in the Legal Opinions presented in accordance with subsection 4.1 (Required documents)
including, in particular, such reservations that generally affect creditors’ rights in the event of
insolvency, liquidation, restructuring or similar processes.

 

- 6 -

 

Lender means

	a)	 	any Original Lender; and

	b)	 	any person that, after the execution of this Agreement in accordance with section 28
(Changes to the Parties) becomes a Lender,

in each case to the extent that the Original Lender or such person has not transferred all
of its rights and obligations under this Agreement in accordance with the provisions of
this Agreement.

Lender in Default is a Lender:

	(a)	 	that has failed to make available its share of a Loan by the respective
Utilization Date in accordance with subsection 5.4 b) (Loan disbursement) or has
advised the Facility Agent that it will not make available its share of the
Loan by the Utilization Date, unless

	 	(i)	 	the payment default is due to technical or administrative causes or a
Disruption and the payment is made within three (3) Business Days
after falling due; or

	 	(ii)	 	such Lender disputes in good faith that it is contractually obligated
to make the respective payment;

	(b)	 	such Lender has otherwise formally sought to void a Finance Document or
disavows or has withdrawn from such Finance Document; or

	 
	(c)	 	such Lender is in Insolvency.

Loan, unless provided otherwise in this Agreement, means the principal amount of
any utilization as a loan under the Facility or the outstanding principal amount of such
utilization.

Majority Lenders means:

	a)	 	as long as all Lenders are only the Original Lenders, Lenders:

	 	(i)	 	whose aggregate Commitments are at least 59% of the Total
Commitments; or

	 	(ii)	 	insofar as the Total Commitments have been reduced to zero, whose
Commitments immediately prior to the reduction totaled at least 59% of the
Total Commitments; or

	b)	 	as soon as an Original Lender has undertaken a Transfer to a New
Lender, Lenders:

	 	(i)	 	whose aggregate Commitments are at least 662/3%
of the Total Commitments; or

	 	(ii)	 	insofar as the Total Commitments have been reduced to zero, whose
Commitments immediately prior to the reduction totaled at least
662/3% of the Total Commitments.

Mandatary means PricewaterhouseCoopers Aktiengesellschaft
Wirtschaftsprüfungsgesellschaft, Lise-Meitner Str. 1, 10598 Berlin, or any other duly appointed
mandatary of the State Guarantors with respect to the Deficiency Guaranty (in
each case, individually or collectively).

Mandatory Costs means:

	a)	 	in respect of any Loan as to which interest is to be charged in accordance with this
Agreement, the percentage rate per annum calculated by the Facility Agent in
accordance with Schedule 9 (Mandatory Costs) as the weighted average of the additional
costs incurred by the Lenders; and

	b)	 	in respect of any other amount as to which interest is to be charged in accordance with this
Agreement, the percentage rate per annum calculated by the Facility Agent by
analogous application of the provisions of clause a), above.

Margin means the margin payable pursuant to this Agreement for Loans in
the amount of 1.35% per annum.

 

- 7 -

 

Market Disruption Event has the meaning given to that phrase in subsection 0 (Market
Disruption).

Material Adverse Change means any material adverse change with respect to:

	a)	 	the business, the operations, the property or the condition (financial or otherwise) of the
Borrower, the Guarantor or the Group;

	b)	 	the ability of the Borrower or Guarantor to perform its material
obligations under the Finance Documents; or

	c)	 	the validity or enforceability of the Finance Documents or the rights of a
Finance Party thereunder, or the validity and ranking of any Security actually or
apparently perfected in accordance with the Transaction Security or a Finance
Document.

Minimum Liquidity means the existing substantiated liquidity in available cash, with the
exception of funds set aside in the Debt Service Reserve Account.

Net Financial Indebtedness has the meaning given to that term in Schedule 5 Part
II (Financial Ratios).

Net Proceeds means the aggregate proceeds or income actually received in relation to any
disposition of assets and the collection of insurance proceeds, but after deducting all (i)
reasonable external costs and expenditures, (ii) Taxes and fees incurred and paid or to be
paid by the Borrower, the amount of which is communicated to the Facility Agent,
and (iii) any retention, reserves and provisions for warranties, guarantees and indemnities in
connection with such disposition.

New Lender has the meaning given to that term in subsection 28.3 (Transfers by the
Lender).

Original Financial Statements means

	a)	 	with respect to the Borrower, (i) its most current audited and certified
unconsolidated annual financial statements, which the banks had in their possession before or
at the time this Agreement was executed and (ii) its most current unaudited and
unconsolidated quarterly financial statements, which the banks had in their possession before
or at the time this Agreement was executed (including an income statement, cash flow
statement and balance sheet); and

	b)	 	with respect to the Guarantor, its most recent certified and audited consolidated
financial statements (together with the utilized reporting package prepared in accordance with
US GAAP) that were presented to the banks prior to or upon execution of this
Agreement; and

	c)	 	with respect to First Solar Holdings GmbH and First Solar GmbH, their (to the extent
available) audited and certified annual financial statements for the fiscal year ended 31
December 2009.

Participant has the meaning given to it in section 29 (Disclosure of Information).

Participating Member State means any Member State of the European Community that, at the
time of the execution of this Agreement, has adopted the euro as its lawful currency in
accordance with the legislation of the European Union relating to Economic and Monetary Union.

Party means a Party to this Agreement.

Payment has the meaning given to that term in subsection 17.11 (Adjustment payment).

Potential Event of Default is an event that would constitute an Event of Default
after expiration of a deadline or after delivery of a notice or after a determination to be made
pursuant to the Finance Documents.

Preferred Lender has the meaning given to that phrase in subsection 17.11 (Adjustment
payment).

 

- 8 -

 

Production Facility FFO2 means the facility for the production of thin-film solar modules
that will be constructed by the Borrower at the Production Site.

Production Site means the land parcels located at Marie Curie Straße in Frankfurt/Oder on
which the Production Facility FFO2 will be constructed.

Progress of the Project means the progress of the construction in accordance with the
project progress plan developed in consultation with the Facility Agent.

Pro Rata Share means:

	a)	 	for the purpose of determining a Lender’s share of a Loan to be disbursed,
the ratio of such Lender’s available Commitment to the aggregate of the
available Commitments of all Lenders; and

	 
	b)	 	for all other purposes:

	 	(i)	 	the ratio of such Lender’s Commitment to the Total
Commitments; or

	 	(ii)	 	if the Total Commitments have been canceled, then the ratio borne by
such Lender’s Commitment to the Total Commitments
immediately prior to their Cancellation.

Quasi-Security means the agreements and transactions listed in subsection 21.4 b)
(Negative pledge).

Quotation Day means the second TARGET Day before the first day of an Interest
Period or, if different, the day, as determined by the Facility Agent, on which
quotations would normally be given in accordance with the market practices in the relevant
interbank market.

Recourse Factoring [unechtes Factoring] means any factoring agreement pursuant to which
the del credere function is retained by the factoring client or the factoring company is entitled
to corresponding recourse or damages claims against the factoring client in case of a del credere
event.

Reference Banks means Commerzbank Aktiengesellschaft, [Landesbank
Baden-Württemberg and Norddeutsche Landesbank Girozentrale] as well as any other Lender
that is designated by the Facility Agent pursuant to this Agreement after
consultation with the Borrower.

Relevant Jurisdictions, with respect to the Borrower, means:

	a)	 	the jurisdiction in which the Borrower is organized;

	 
	b)	 	the jurisdiction in which the Borrower has its registered office;

	c)	 	any jurisdiction in which an asset subject to, or intended to be subject to, a
Transaction Security created or intended to be created is situated;

	 
	d)	 	any jurisdiction in which the Borrower conducts its business;

	e)	 	any jurisdiction the laws of which govern the creation (or elements of the creation) of a
Transaction Security created or intended to be created by the Borrower.

Repeating Representations are all representations in section 18 (Representations) except
subsection 18.7 a) (Threat of insolvency), subsection 18.10 (No registration or stamp taxes),
subsection 18.11 (Tax withholding), paragraphs a), c), d) and e) of subsection 18.12 (No Misleading
Information), subsection 18.13 (Financial statements), subsection 18.14 (Litigation), subsection
18.15 (No breaches or violations), subsection 18.16 (Environmental law), 18.17 (Security) and
subsection 18.19 (Industrial property rights).

Secured Parties means the Lenders, the State Guarantors and the
Administrative Parties.

 

- 9 -

 

Security Documents means:

	a)	 	The security agreements specified in Part II (Security Agreements before the First
Utilization) of Schedule 2 (Conditions of Utilization), and

	b)	 	any other document by which security was or are intended to be created in order to secure
claims of the Finance Parties against the Borrower under the Finance
Documents.

	c)	 	Screen Rate means the percentage rate per annum displayed on the appropriate
page of the Reuters screen (EURIBOR01) for EUR and the applicable Interest
Period. If the relevant page is replaced or the service ceases to be available, then
the Facility Agent (after consultation with the Borrower and the
Lenders) may specify a different page or service that displays the appropriate
percentage rate.

Selection Notice means a notice that conforms in material respects to Schedule 3 Part II
(Specimen of Selection Notice) by which the Interest Periods for Loans are
extended.

State Guarantors means the Federal Republic of Germany as well as the Federal German State
of Brandenburg.

Tax means any tax, levy, duty, fee or other charge or withholding of a similar nature
(including any related late payment penalties and/or interest charges).

Tax Credit is a credit, discount, abatement or refund of a Tax.

Tax Payment is a payment by the Borrower to a Finance Party, made in
connection with a Tax Withholding or indemnity that the Borrower pays in respect
of Taxes under a Finance Document.

Tax Withholding is a deduction or withholding of Taxes from a payment under a
Finance Document.

TARGET means the Trans-European Automated Real-time Gross Settlement Express Transfer
payment system for the settlement of payments in euro which utilizes a common platform and has been
available since 19 November 2007.

Target Day means any day on which TARGET is open for the settlement of payments in euro.

Total Commitments means the aggregate of all Commitments of the Lenders listed in
Part II (The Original Lenders) of Schedule 1 (The Original Parties) under the heading “Commitment”,
except insofar as such Commitment has been canceled or reduced in accordance with this
Agreement.

Transaction Security means the security created and to be created in accordance with the
Security Documents and the other Finance Documents.

Transfer has the meaning given to it in subsection 28.3 (Transfers by the Lender).

Transfer Date in connection with an novation [Vertragsübernahme] of the agreement pursuant
to subsection 28.5 (Transfer procedure) means the date contemplated in the Transfer Certificate
or, if later, the date on which the Facility Agent countersigns the Transfer
Certificate.

Transfer Certificate means a certificate that corresponds in material respects to the form
appended as Schedule 4 (Form of Transfer Certificate).

US GAAP means the generally accepted accounting principles used in the United States of
America insofar as they are applicable to the preparation of the relevant annual financial
statements.

US Credit Agreement means the Amended and Restated Credit Agreement between, inter alia,
the Guarantor as borrower, JPMorgan Chase Bank, N.A. as Administrative Agent and J.P.
Morgan Securities LLC and Banc of America Securities LLC as Joint Lead Arrangers with respect to a
loan amount of USD 600,000,000 dated 15 October 2010 and modified pursuant to an amendment
agreement dated 6 May 2011.

Utilization means every utilization of the Facility in the form of a
Loan.

 

- 10 -

 

Utilization Date is any day on which a Loan is disbursed or on which any other
Utilization occurs.

Utilization Request means a request that corresponds in material respects to the form
appended in Schedule 3 (Specimen of Utilization Request).

Utilization Period means, with respect to the Facility, the period that begins on
the date of signing of this Agreement and ends seventeen (17) months later.

1.2 Construction

	a)	 	Unless provided otherwise, any reference in this Agreement to the following terms
shall be construed as follows:

	 	(i)	 	A “person” includes any individual, corporate entity or partnership.

	 	(ii)	 	Any reference to a Finance Document or other document is a reference
to the most recent version of such document;

	 
	 	(iii)	 	An asset is any present or future non-current asset or current asset;

	 
	 	(iv)	 	References to the time of day refer to German time;

	 	(v)	 	Words expressed in the singular include the plural, and words expressed in
plural include the singular;

	 	(vi)	 	The headings and the table of contents are provided solely for ease of
reference and shall not be taken into account in the construction of the terms;

	 	(vii)	 	All schedules to this Agreement are an integral part of, and
incorporated by reference into, this Agreement;

	 	(viii)	 	Except as expressly provided otherwise in any given case, all references to laws,
contracts or other documents refer to their respective versions even if they were
referred to by date. Corresponding references also extend to new laws, contract
amendments or other documents that add to or replace the originally referenced laws,
contracts or other documents, with the exception of the “Instructions for Applying for
Federal Loan Guarantees in Connection with Parallel State Guarantees“, which always
relate to and are based on the version of 10 May 2010; and

	 	(ix)	 	If one or more persons act in concert, this shall have the meaning as defined
in subsection 2 (5) of the German Securities Acquisition and Takeover Act
(Wertpapiererwerbs- und Übernahmegesetz or “WpÜG”).

	b)	 	A reference to a month or several months shall mean a period that begins on one day of a
calendar month and ends on the same day of the following or relevant subsequent calendar
month, except:

	 	(i)	 	insofar as such same day is not a Business Day, the period shall end
on the next day of such calendar month (if applicable) and otherwise on the preceding
Business Day;

	 	(ii)	 	insofar as there is no same day of the relevant calendar month, the period
shall end on the last Business Day of such calendar month; and

	 	(iii)	 	irrespective of the foregoing subparagraph (i), a period that commenced on the
last Business Day of a calendar month shall end on the last Business
Day of the following or the relevant calendar month.

	c)	 	A Potential Default or, as the case may be, a Default is continuing if it
has not been cured or if no waiver declaration has been delivered with respect thereto by the
applicable deadline.

 

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2. CREDIT FACILITY

2.1 Amortizable loan

Subject to the terms of this Agreement, the Lenders shall make available to the
Borrower an amortizable Loan in the amount of EUR 124,500,000 (“one hundred
twenty four million five hundred thousand euro”) that can be utilized in the form of Loans
in EUR.

2.2 Finance Parties’ rights and obligations

	a)	 	The Finance Parties are not jointly and severally liable with respect to the
obligations under the Finance Documents. The failure of a Finance Party to
perform its obligations under the Finance Documents or its failure to do so on time
shall not affect the obligations of the other Parties under the Finance
Documents. No Finance Party is responsible for the performance of the
obligations of any other Finance Party under the Finance Documents.

	b)	 	Except as provided otherwise in the Finance Documents, any Finance Party
can separately enforce its rights under the Finance Documents.

3. PURPOSE

	a)	 	The purpose of the Facility is to finance and/or refinance the acquisition of a land
parcel at the location of the Production Site, the construction of buildings at the
location of the Production Site, the acquisition and installation of Production
Facility FFO2 at the location of the Production Site, as well as the financing
and/or refinancing of the assembly costs of the Production Facility.

	b)	 	No Finance Party is obligated to monitor or otherwise verify the application of any
Utilization under this Agreement.

	c)	 	Upon request by a Finance Party or a State Guarantor (acting through the
Facility Agent), the Borrower shall without undue delay furnish reasonable
proof that a Utilization was applied in accordance with this section 3.

4. CONDITIONS OF UTILIZATION

4.1 Required documents

A Utilization Request may be submitted only when the Facility Agent has received
all documents and evidence in accordance with Schedule 2 Part I (Original Conditions
Precedent to Disbursement), in form and substance satisfactory to the Facility Agent. The
Facility Agent shall without undue delay notify the Borrower and the
Lenders as soon as the above-described conditions have been satisfied.

4.2 Further conditions of utilization

Subject to subsection 4.1 (Required documents), the obligation of each Lender under
the Facility to make available its share of a Loan in respect of any disbursement
of such Loan shall be subject to the further condition that, both on the date of
submission of the Utilization Request and on the proposed Utilization Date:

	 	(i)	 	no Element of Default is continuing or would result from the proposed
Utilization;

	 
	 	(ii)	 	no Change of Control has occurred;

	 	(iii)	 	a summary of all invoices, as well as copies of all invoices, that exceed EUR
1,000,000 have been presented that thus reflect the costs incurred for Production
Facility FFO2; and

	 	(iv)	 	the Repeating Representations (or, in the event of a
Utilization on the First Utilization Date, the Representations in
section 18 (Representations)) are true.

 

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5. UTILIZATION IN THE FORM OF LOANS

5.1 Utilization Request

	a)	 	The Borrower can utilize the Facility in the form of a Loan by
delivering a duly completed Utilization Request to the Facility Agent.

	b)	 	Except as otherwise agreed with the Facility Agent, a Utilization Request
must have been received by the Facility Agent by no later than 11:00 a.m. three (3)
Business Days before the requested Utilization Date.

	 
	c)	 	A Utilization Request is irrevocable.

5.2 Limits on Utilization

Except as otherwise agreed with the Facility Agent, no more than ten (10) Loans
may be outstanding at any time.

5.3 Proper Form of a Utilization Request

A Utilization Request will be deemed to have been duly made only if:

	a)	 	the Utilization Date is a Business Day that falls within the
Utilization Period of the Facility;

	 
	b)	 	the amount of the Loan:

	 	(i)	 	is at least EUR 10,000,000 or, if less, then the amount of the outstanding
Total Commitments, and

	 	(ii)	 	when aggregated with the sum of the nominal amounts of all outstanding
Loans (including all other Loans that are pending on or before the
scheduled date of granting the requested Loan for disbursement, but not
including any Loans that are due to be repaid on or before the scheduled date
of grant of the requested Loan), does not exceed the total amount of
the Facility at such time;

	c)	 	the requested Interest Period is in accordance with section 9 (Interest Periods);
and

	 
	d)	 	the Loan is denominated in EUR.

5.4 Loan disbursement

	a)	 	The Facility Agent shall without undue delay inform the Lenders of the
details of a duly received Utilization Request and the amount of their respective
share of the utilized Loan.

	b)	 	Insofar as the conditions set forth in this Agreement have been satisfied, each
Lender shall make available to the Facility Agent such Lender’s
share of the Loan for the Borrower on the respective Utilization
Date.

	c)	 	Each Lender’s share of a Loan shall be determined by reference to its
Pro Rata Share on the proposed Utilization Date multiplied by the amount of
the utilized Loan.

 

- 13 -

 

6. REPAYMENT

6.1 Repayment

The Borrower shall repay the Facility in semi-annual installments in accordance
with the following amortization schedule on the last Business Day of the respective month:

	 	 	 	 	 
	Repayment Date	 	Amortization Amount (EUR)	 
	November 2012
	 	 	8,300,000	 
	May 2013
	 	 	8,300,000	 
	November 2013
	 	 	8,300,000	 
	May 2014
	 	 	8,300,000	 
	November 2014
	 	 	8,300,000	 
	May 2015
	 	 	8,300,000	 
	November 2015
	 	 	8,300,000	 
	May 2016
	 	 	8,300,000	 
	November 2016
	 	 	8,300,000	 
	May 2017
	 	 	8,300,000	 
	November 2017
	 	 	8,300,000	 
	May 2018
	 	 	8,300,000	 
	November 2018
	 	 	8,300,000	 
	May 2019
	 	 	8,300,000	 
	November 2019
	 	 	8,300,000	 

In any event, the Facility shall be repaid in full on the Final Maturity Date.

7. PREPAYMENT AND CANCELLATION

7.1 Mandatory prepayment — Illegality

	a)	 	If, after the conclusion of this Agreement, a Lender’s performance of its
obligations under a Finance Document or the grant or perpetuation of such
Lender’s share of a Loan would be illegal under the laws of any applicable
jurisdiction and such Lender has informed the Borrower and the Facility
Agent of such illegality, then

	 	(i)	 	the obligation of the Lender to participate in further
Utilizations shall cease and the Lender’s Commitment shall
automatically be cancelled; and

	 	(ii)	 	the Borrower shall prepay such Lender’s share of every
outstanding Loan, unless the Borrower replaces the Lender in
accordance with paragraph c).

	b)	 	Subject to the provisions of paragraph c), the prepayment of a Lender’s share of a
Loan shall be effectuated

	 	(i)	 	either on the last day of the current Interest Period of the
respective Loan; or

	 	(ii)	 	if earlier, the day that the Lender has specified in its notice
pursuant to paragraph a), above which, however, may not fall earlier than the last day
of any applicable statutory grace period.

	c)	 	If the conditions of paragraph a) are met, then the Borrower may notify the
Facility Agent and the respective Lender upon advance notice of 5
Business Days that

	 	i)	 	the respective Lender is being replaced and demand of the respective
Lender (and such Lender shall comply with such demand insofar as
legally permissible) to transfer the entirety of its rights and obligations under this
Agreement by way of a
transfer of the Agreement in accordance with section 28 (Changes to the
Parties) to another Lender or another bank, financial institution, trust,
fund or other entity selected by the Borrower that has consented to such
transfer for a purchase price in cash payable at the time of the transfer equal to
the respective Lender’s share of the nominal amount of the outstanding
Loan, accrued interest, Break Costs and all other amounts payable
pursuant to the Finance Documents, or

 

- 14 -

 

	 	ii)	 	the Borrower intends to take on additional Financial
Indebtedness in order to obtain an additional commitment in the amount of the
Commitment canceled pursuant to subsection 7.1a)(i) and/or to refinance the
repayment of Loans in accordance with subsection 7.1a)(ii). Such additional
Financial Indebtedness is not a part of this Agreement and the
respective lenders of such additional Financial Indebtedness will not
participate in the Transaction Security. 

The Borrower shall use its best efforts to first replace the relevant
Lender in accordance with subparagraph i) above. Only after this effort has failed
and the Borrower has confirmed to the Facility Agent in writing that
despite the appropriate efforts, it was not in a position to replace the relevant
Lender, may the Borrower take on additional Financial Indebtedness
 in order to make the repayment pursuanrt to subparagraph ii) above.

7.2 Mandatory prepayment — Change of Control

	a)	 	The Borrower shall promptly notify the Facility Agent when it becomes aware
of a Change of Control.

	b)	 	In the event of a Change of Control, any Lender, at the earliest upon
expiration of a thirty (30) day period but no later than sixty (60) days after notice of the
occurrence of the Change of Control is made pursuant to paragraph a) above,
upon notice to the Borrower and the Facility Agent, may

	 	(i)	 	terminate all of such Lender’s Commitments with immediate effect; and

	 	(ii)	 	demand that its share of the outstanding Loans, including accrued interest and
all other amounts payable under the Finance Documents, be repaid.

Upon receiving notice of the termination by the respective Lender, the
Borrower shall promptly pay the amounts due pursuant to subparagraph (ii).

7.3 Mandatory prepayment — Sales and insurance proceeds

	a)	 	The Borrower shall ensure that the Net Proceeds from the sale of its
assets, with the exception of:

	 	(i)	 	proceeds from dispositions described in subsection 21.5 b)(i) to (iv) and (v)
(Sales/ Disposals);

	 	(ii)	 	proceeds from all sales that do not exceed a total of EUR 10,000,000 (if
applicable after conversion to EUR) per fiscal year of the Borrower and EUR
50,000,000 (if applicable after conversion to EUR) during the entire term of this
Agreement; or

	 	(iii)	 	Net Proceeds that are reinvested within 360 days (or within a
different period agreed to with the Facility Agent) in comparable or higher
value assets of like kind that serve the core business of the Borrower or
that, in respect of proceeds from the sale of receivables, are invested in the core
business of the Borrower or with respect to their corresponding application
the Borrower has entered into a binding contractual commitment within 120 days
(or within a different period agreed to with the Facility Agent) and has
furnished evidence thereof to the Facility Agent;

will be used in accordance with subsection 7.4 (Application of mandatory prepayments).

 

- 15 -

 

	b)	 	The Borrower shall ensure the same for Net Proceeds from insurance
proceeds insofar as they

	 	(i)	 	are not needed and applied to satisfy liability to third parties arising out of
the insured event;

	 	(ii)	 	not applied within 360 days after receipt of the proceeds to the restoration of
the asset damaged or destroyed in the insured event or to the acquisition of another
comparable or higher-value asset of like kind that serves the core business of the
Borrower, provided that the Borrower has entered into a binding
contractual commitment within 180 days of receipt of the proceeds with respect to the
restoration or acquisition and has furnished evidence thereof to the Facility
Agent;

	 	(iii)	 	are not less than EUR 50,000 per insured event and less than EUR 2,500,000 per
fiscal year of the Borrower; or

	 
	 	(iv)	 	relate to benefits under a business interruption insurance policy.

7.4 Application of mandatory prepayments

Every amount to be applied toward mandatory prepayments pursuant to subsection 7.3 (Mandatory
Prepayment — Sales and insurance proceeds) shall be credited as follows:

	a)	 	If and insofar as Net Proceeds are required to be applied toward mandatory
prepayments of the Facility pursuant to this section 7 (Prepayment and Cancellation),
the Facility shall be reduced by such amount. If and insofar as the amount of Net
Proceeds that is required to be applied toward mandatory prepayments of the Facility
exceeds the available Total Commitments, the Borrower shall repay the
appropriate differential (Differential) by repaying the outstanding Loans.

	b)	 	Any amount to be credited pursuant to this subsection 7.4 by reason of mandatory prepayments
shall also be applied toward a repayment already undertaken pursuant to subsection 6.1
(Repayment).

	c)	 	Mandatory prepayments pursuant to subsection 7.4 (Mandatory prepayment — Sales and insurance
proceeds) shall be due for repayment without undue delay after receipt by the Borrower
of the Net Proceeds. Unless there is an Element of Default, the
Borrower may specify that the mandatory prepayment occur on the last day of the
respective Interest Period of a Loan. If the Borrower so specifies,
then the Loan shall be due for repayment in the amount of the respective mandatory
prepayment on the last day of such Interest Period. If the Borrower has so
specified and subsequently a Element of Default occurs, then the corresponding
mandatory prepayment shall be immediately due for repayment.

	d)	 	With respect to mandatory prepayments by reason of the reinvestment periods provided in
paragraphs a)(iii) and b)(ii) of subsection 7.3 (Mandatory prepayment — Sales and insurance
proceeds), notwithstanding the preceding paragraph c) and as long as there is no Element
of Default, mandatory prepayments shall be made on the last day of the respective
Interest Period in which the respective reinvestment periods expire.

7.5 Automatic cancellation

The unutilized Total Commitments shall expire automatically at the close of business on
the last day of the respective Utilization Period.

7.6 Voluntary cancellation

	a)	 	The Borrower may voluntarily cancel the unutilized portion of the Total
Commitments, either in whole or in part, by giving at least ten (10) Business
Days advance notice thereof to the Facility Agent.

	b)	 	Partial cancellations of the Total Commitments must be made in the amount of at
least EUR 2,500,000 and whole multiples of EUR 500,000.

	c)	 	Each partial cancellation shall be allocated pro rata to the Commitment of each
Lender.

 

- 16 -

 

7.7 Voluntary prepayment

	a)	 	The Borrower may voluntarily prepay a Loan at any time, either in whole or
in part, prior to the last day of the current Interest Period of the respective
Loan by giving at least ten (10) Business Days advance notice thereof to the
Facility Agent.

	b)	 	Partial prepayments of the respective Loans must be made in the amount of at least
EUR 2,500,000 and whole multiples of EUR 500,000.

7.8 Prepayment and cancellation with respect to individual lenders

	a)	 	If the Borrower is required to make a Tax Payment to a Lender in
accordance with section 12 (Taxes) or pay Increased Costs in accordance with section
13 (Increased Costs) or the Lender becomes a Lender in Default, then the
Borrower, by notice to the Facility Agent, may cancel such Lender’s
Commitments and inform such Lender that the Borrower intends to
repay such Lender’s share of the Facility or, as the case may be, replace
the Lender in accordance with paragraph d).

	 
	b)	 	After the notice described in paragraph a) above:

	 	(i)	 	the Borrower must repay (or, if applicable, prepay) the respective
Lender’s share of all Utilizations at the time specified in paragraph
c), below; and

	 
	 	(ii)	 	the respective Lender’s Commitment will be reduced to zero.

	c)	 	Repayment (or, as the case may be, prepayment) shall occur:

	 	(i)	 	either on the last day of the current Interest Period; or

	 
	 	(ii)	 	if earlier, then on the day specified by the Borrower in its notice.

	d)	 	If the conditions of paragraph a) are satisfied, then the Borrower may,

	 	(i)	 	upon notice of 5 Business Days, advise the Facility Agent and
the respective Lender that the respective Lender is being replaced
and demand of the respective Lender (and such Lender shall comply
with such demand insofar as legally permissible) to transfer the entirety of its rights
and obligations under this Agreement by way of an transfer of the
Agreement in accordance with section 28 (Changes to the Parties) to another
Lender or another bank, financial institution, trust, fund or other entity
selected by the Borrower, which has consented to such transfer, for a purchase
price in cash payable at the time of the transfer equal to the respective
Lender’s share of the nominal amount of the outstanding Loan, accrued
interest, Break Costs and all other amounts payable pursuant to the Finance
Documents; or

	 	(ii)	 	the Borrower intends to take on additional Financial
Indebtedness in order to obtain an additional commitment in the amount of the
Commitment canceled pursuant to subsection 7.8d)(i) and/or to refinance the
repayment of Loans in accordance with subsection 7.8d)(ii). Such additional
Financial Indebtedness is not a part of this Agreement and the
respective lenders of such additional Financial Indebtedness will not
participate in the Transaction Security.

	e)	 	The replacement of a Lender pursuant to paragraph d)(i) shall be subject to the
following conditions:

	 	(i)	 	the Borrower may not replace any Administrative Party;

	 	(ii)	 	neither the Facility Agent nor a Lender shall be required to
find a replacement for a Lender; and

	 	(iii)	 	the outgoing Lender pursuant to paragraph d)(i) is in no event
obligated to repay or reimburse the fees and commissions received by such Lender
under the Finance Documents.

 

- 17 -

 

7.9 Miscellaneous

	a)	 	Insofar as facts exist that trigger a mandatory prepayment pursuant to subsection 7.3
(Mandatory prepayment — Sales and insurance proceeds), the Borrower shall promptly
notify the Facility Agent thereof with an explanation of the underlying facts. Such
notice shall also indicate how the mandatory prepayment in accordance with subsection 7.4
(Application of mandatory prepayments) will be applied.

	b)	 	Any notice of prepayment and any cancellation by the Borrower under this
Agreement is irrevocable and must specify the relevant dates and the specific
Loans and Commitments. The Facility Agent shall without undue delay
notify the affected Lender(s) of the receipt of such a notice.

	c)	 	All prepayments under this Agreement must be made together with the interest accrued
upon the prepaid amounts. Except as expressly provided otherwise, in the event of a payment
that is not made on the last day of an Interest Period, Break Costs, if any,
shall be reimbursed. No surcharges or contractual penalties shall be payable in respect of
prepayments.

	d)	 	The Majority Lenders may approve a shorter notice period for a voluntary prepayment
or voluntary cancellation.

	e)	 	The
Majority Lenders may waive a mandatory prepayment pursuant to subsection 7.3 b)
(Mandatory prepayment — Sales and insurance proceeds) before such prepayment comes due. After
such prepayment is due, it can be waived only with the consent of all Lenders.

	f)	 	Any sum repaid in respect of a Commitment pursuant to this Agreement may
not be drawn down again.

	g)	 	No amount of a Commitment cancelled pursuant to this Agreement may be
subsequently reinstated.

7.10 Effect of cancellation and prepayment on regular payments and reductions

	a)	 	If the Borrower cancels the Commitments, either in whole or in part
pursuant to subsection 7.6 (Voluntary cancellation), subsection 7.8 (Prepayment and
cancellation with respect to individual lenders) or if the Commitment of a
Lender is reduced pursuant to subsection 7.1 (Mandatory prepayment — Illegality) or
subsection 7.2 (Mandatory prepayment — Change of Control), then the amount of all subsequent
Installments shall be reduced pro rata.

	b)	 	If a Loan is repaid in accordance with subsection 7.1 (Mandatory prepayment -
Illegality), subsection 7.2 (Mandatory prepayment — Change of Control), subsection 7.7
(Voluntary prepayment) or subsection 7.8 (Prepayment and cancellation with respect to
individual lenders), then the amount of all subsequent installments shall be reduced
pro rata.

	c)	 	In the event of a prepayment of the Loan pursuant to subsection 7.3b (Mandatory
prepayment — Sales and insurance proceeds), the amount of all subsequent installments
shall be reduced pro rata.

8. INTERST

8.1 Calculation and payment of interest

	a)	 	The interest rate for each Interest Period of a Loan corresponds to a
percentage rate per annum which is the sum of the Margin and EURIBOR and
Mandatory costs, if any.

	b)	 	Except as otherwise provided in this Agreement, the Borrower shall pay the
accrued interest on each Loan on the last day of the respective Interest
Period.

	c)	 	If an Interest Period greater than six (6) months has been agreed, then the accrued
interest shall nevertheless be payable every 6 months from the date of disbursement and on the
last day of the Interest Period.

 

- 18 -

 

8.2 Default interest

	a)	 	If the Borrower fails to pay any amount (other than interest) owed by it under the
Finance Documents on its due date, then the Borrower shall, upon demand of
the Facility Agent, immediately pay interest on the overdue amount (other than
interest) as of the due date until the date of the actual payment. The rate of interest on an
overdue amount (other than interest) shall be determined in accordance with § 288 of the
German Civil Code (BGB).

	b)	 	If the Borrower fails to satisfy its obligations to pay interest when due pursuant
to this Agreement, then the Borrower shall owe default damages as provided
in §§ 247, 288 and 280 BGB.

	c)	 	Any Finance Party may assert claims for greater damages with appropriate evidence.
In a case under paragraph b), the Borrower shall be entitled to prove lesser damages.

8.3 Notification of Interest Rates

The Facility Agent shall without undue delay notify the affected Party of the
determination of an interest rate under this Agreement.

9. INTEREST PERIODS

	a)	 	Each Loan has successive Interest Periods. The first Interest
Period of a Loan shall be specified by the Borrower in the respective
Utilization Request, and every subsequent Interest Period shall be specified
in an irrevocable Selection Notice that must have been received by the Facility
Agent [Konsortialführer] no later than 11:00 a.m. three (3) Business Days before
the Quotation Day for the relevant Interest Period. If a Selection
Notice is not duly delivered, then the Interest Period for the respective
Loan shall be (3) months.

	b)	 	Subject to the following provisions of this section, the Interest Period for any
Loan shall be three (3) or six (6) months, or any other period as agreed by the
Borrower and all Lenders (acting through the Facility Agent).

	 
	c)	 	Interest Periods may not expire after the Final Maturity Date.

	d)	 	Upon full Utilization of the Facility or, as the case may be, no later than the last
day of the Utilization Period, all then outstanding Loans shall be
consolidated in consultation with the Facility Agent into a single Loan with
one Interest Period.

	e)	 	The Facility Agent and the Borrower can reach additional agreements as
necessary relating to the consolidation and/or division of Loans (including with
respect to the Interest Periods). The Lenders hereby consent to any
accordingly shorter Interest Periods during the Utilization Period.

	f)	 	If the last day of an Interest Period is a day that is not a Business Day,
then the Interest Period shall end instead on the following Business Day of
the same month or, if there is no such Business Day in the respective month, then on
the preceding Business Day, or if an Interest Period otherwise ends after
the Final Maturity Date, then on the Final Maturity Date or, if the
Final Maturity Date is not a Business Day, then on the preceding
Business Day.

10. BREAK COSTS AND ALTERNATIVE INTEREST CALCULATION

10.1 Absence of quotations by a Reference Bank

If EURIBOR is to be determined by reference to quotations by the Reference Banks and if a
Reference Bank has not supplied a quotation by 12:00 p.m. on the Quotation Day,
then the applicable EURIBOR shall be determined on the basis of the quotations of the remaining
Reference Banks, subject to the following provisions.

 

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10.2 Market Disruption

	a)	 	If a Market Disruption Event occurs in relation to a Loan in respect of any
Interest Period, then the interest rate on each Lender’s share of that Loan
for the relevant Interest Period shall be the sum of:

	 	(i)	 	the applicable Margin;

	 	(ii)	 	the interest rate that is notified to the Facility Agent by the
respective Lender as soon as possible and, in any event, prior to the date on
which interest is due to be paid in respect of that Interest Period and that
expresses as a percentage rate per annum the costs to that Lender of funding
its participation in such Loan from whatever source such Lender deems
reasonable; and

	 
	 	(iii)	 	Mandatory Costs.

	b)	 	In this subsection 10.2 (Market Disruption), any of the following events shall be deemed a
Market Disruption Event:

	 	(i)	 	EURIBOR is to be determined by reference to quotations by the Reference
Banks and if none or only one of the Reference Bank has supplied a
quotation by 12:00 p.m. on the Quotation Day; or

	 	(ii)	 	before the close of business on the Quotation Day, the Facility
Agent receives notification from at least two Lenders whose participation
in the relevant Loan exceeds 30% of such Loan that their costs of
obtaining congruent funding in the interbank market for the respective Interest
Period would be in excess of EURIBOR.

10.3 Alternative basis of interest rates or funding

	a)	 	If a Market Disruption Event occurs and the Facility Agent or the
Borrower so demands, then the Borrower and the Facility Agent shall
enter into negotiations for a period of not more than thirty (30) days with a view to agreeing
on a substitute basis for determining the rate of interest and/or obtaining the funds for the
relevant Loan. If no agreement is reached, the interest rate shall continue to be
calculated as provided in subsection 10.2 (Market Disruption).

	b)	 	Any alternative basis so agreed shall, with the prior consent of all Lenders and the
Borrower, be binding on all Parties.

10.4 Break Costs

	a)	 	If the Borrower repays a Loan on a day other than the last day of an
Interest Period, then the Borrower shall repay the relevant Lenders
any Break Costs for the current Interest Period.

	b)	 	Break Costs shall be the Differential, as calculated in each case by such
Lender, between

	 	(i)	 	the interest (excluding the Margin) that such Lender would
have received on its share of the prepaid Loan from the Business Day
after the prepayment of the Loans to the last day of the current Interest
Period of such Loan,

and

	 	(ii)	 	the amount that such Lender would be able to obtain by depositing a
sum equal to the prepaid amount with a leading bank in the European interbank market
starting on the Business Day after the prepayment of the Loan to the
last day of the current Interest Period of such Loan.

	c)	 	Each Lender, at the request of the Facility Agent, shall deliver to the
Facility Agent and the Borrower a confirmation in respect of the Break
Costs incurred by such Lender in the respective Interest Period. At the
request of the Borrower, the Facility 
Agent shall demand that the respective Lender provide a certificate of
such confirmation.

 

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11. FEES

11.1 Commitment fee

	a)	 	The Borrower shall pay the Facility Agent for the account of the
Lenders as of the day of signing of this Agreement to the end of the
Utilization Periods a commitment fee equal to 35% of the Margin on the
unutilized current total amount of the Total Commitments.

	b)	 	Accrued commitment fees shall be payable quarterly in arrears or, as the case may be, at the
end of the respective Utilization Period. Commitment fees that were accrued on such
parts of the Total Commitments as were canceled or reversed shall be paid at the time
that the cancellation or reversal becomes effective.

	c)	 	A Lender in Default shall have no right to the commitment fee with respect to such
Lender’s share of the unutilized Commitment for the period that such Lender is a
Lender in Default, and the amount to be paid by the Borrower
pursuant to subsection 11.1a) shall be reduced accordingly.

11.2 Arrangement fee

The Borrower shall pay the Facility Agent for the account of the
Arranger the fees and charges as provided in the respective Fee Letter.

11.3 Administrative fee for the Facility Agent

The Borrower shall pay the Facility Agent for its own account a fee as provided
in the respective Fee Letter.

11.4 Administrative fee for the Security Agent

The Borrower shall pay the Security Agent a fee as provided in the respective Fee Letter.

11.5 Participation fee

The Borrower shall pay the Facility Agent for the account of the Lenders
a fee as agreed in the respective Fee Letters.

11.6 Waiver fee/ Change fee

For any change to the agreement or waiver granted at the request of the Borrower, the
Borrower shall pay to the Facility Agent a waiver fee or, as the case may be, a
change fee in the amount of EUR 2,500 per Lender to be paid over to the Lenders.
The Lenders shall have the right to assert claims for fees in excess of such amount if the
waiver or the change relates to matters that are material and/or involve lending criteria.

12. TAXES

12.1 Tax gross-up

	a)	 	The Borrower shall make any and all payments owed under the Finance
Documents without any Tax Withholding unless Tax Withholding is
required by law.

	b)	 	Upon the Borrower’s becoming aware that it is required to effectuate a Tax
Withholding (or that there is any change in the rate or basis of a Tax
Withholding), the Borrower shall without undue delay notify the Facility
Agent thereof. Similarly, a Lender shall notify the Facility Agent upon
becoming so aware in respect of a payment payable to that Lender. If the Facility
Agent receives such notification from a Lender, then it shall notify the
Borrower accordingly.

 

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	c)	 	If the Borrower is required by law to make a Tax Withholding, then the
amount of the payment required to be made by the Borrower under this Agreement shall
be increased to an amount which is necessary to insure that after making all Tax
Withholdings, the amount received is the same amount that would have been received if the
Borrower were not required to make such Tax Withholdings. The preceding
sentence shall not apply if and insofar as a Tax Withholding would not be required,
but is required as a consequence of a transfer as provided in subsection 28.3 (Transfer by the
Lender) because the transferee is a party deemed to be resident for tax purposes in a country
that has not entered into a double taxation agreement with the Federal Republic of Germany
that provides for a partial or full exemption of interest payments. The preceding sentence
shall also not apply if and insofar as the payee has failed to perform contractual or
statutory obligations, or has failed to do so sufficiently and if, upon performance or
sufficient performance of such obligations, the Borrower would not have been required
to make the Tax Withholding.

	d)	 	If the Borrower is required to make a Tax Withholding, then such Tax
Withholding shall be effectuated in the amount and within the time required by law.

	e)	 	Within thirty (30) days after making a Tax Withholding or any payment required in
connection with that Tax Withholding, the Borrower shall deliver to the
Facility Agent for the Finance Party entitled to the payment evidence
satisfactory to such Finance Party (in its reasonable discretion) that the Tax
Withholding was made or that the appropriate Payment was paid to the relevant tax
authority.

12.2 Tax indemnity

	a)	 	Except as provided otherwise below, the Borrower shall pay each Finance
Party an amount equal to any loss and indemnify such Finance Party for any
liability that the respective Finance Party, in its determination, has incurred,
directly or indirectly, by reason that a Tax is required to be paid in respect of a
payment owed or made under the Finance Documents.

	 
	b)	 	Paragraph a) above does not apply:

	 	(i)	 	to Taxes that

	 	(A)	 	a Finance Party is required to pay under the laws of
the jurisdiction in which that Finance Party has its registered office
or, if different, the jurisdiction in which that Finance Party is
treated as a resident for tax purposes; or

	 	(B)	 	a Finance Party is required to pay under the laws of
the jurisdiction in which that Finance Party’s Facility
Office or business office is located in respect of amounts received or
receivable by that Finance Party, to which its share of the Loan
belongs;

to the extent that such Tax is imposed on, or calculated by reference to,
the net income received or receivable by that Finance Party, provided that
income deemed merely received or receivable shall not be taken into account; or

	 	(ii)	 	insofar as a loss or liability is already being compensated for by a tax
gross-up as provided in subsection 12.1 (Tax gross-up), or would have been compensated
for had there not been a ground for exclusion under subsection 12.1c) (Tax gross-up);
or

	 	(iii)	 	to taxes, which are imposed pursuant to § 49 no. 5 c (aa) of the German Income
Tax Act (“EStG”).

	c)	 	Each Finance Party making or intending to make a claim under paragraph a) above
shall without undue delay notify the Facility Agent of the event that will give, or
has given, rise to the claim, after which the Facility Agent shall notify the
Borrower.

	d)	 	A Finance Party, upon receiving a payment from the Borrower under this
subsection 12.2 (Tax indemnity), shall notify the Facility Agent.

	e)	 	This subsection 12.2 does not apply to a Finance Party’s value-added tax claims or
pre-tax compensation claims. Subsection 12.4 (Value-added tax) definitively governs matters
related to value-added tax.

 

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12.3 Tax credit

If the Borrower has made a Tax Payment and the relevant Finance Party
thereupon determines that:

	a)	 	a Tax Credit is attributable to such Tax Payment; and

	 
	b)	 	that the Finance Party has received and utilized that Tax Credit,

then the Finance Party shall pay the Borrower an amount that such Finance
Party determines will leave it in the same after-Tax position as it would have been
in, had the Tax Payment not been required to be made by the Borrower.

12.4 Value-added tax

	a)	 	Any amount owed by the Borrower under a Finance Document shall be paid
exclusive of value-added tax (“VAT”) or any comparable Taxes that could be assessed
in connection with such amounts. If any such VAT or comparable Tax is assessable,
then the Borrower shall pay to the Finance Party, in addition to the amount
owed, an amount equal to the amount of such tax. In such event, the respective Finance
Party shall provide the Borrower with an invoice that satisfies the applicable
legal requirements. Sentence 1 shall not apply in the event that the Borrower owes
the tax in the context of a reversal of the tax liability as provided in §13b(5) of the VAT
Act (Umsatzsteuergesetz) or any similar provision of law. A Finance Party shall not,
without the consent of the recipient of a service, elect to have VAT apply with respect to a
non-taxable service under a Finance Document.

	b)	 	Where a Finance Document requires a Party to reimburse or indemnify a
Finance Party for any cost or expense, such obligation shall also encompass in this
respect VAT or comparable Taxes paid by that Finance Party insofar as no tax
credit or refund can be obtained in respect of such amount.

13. INCREASED COSTS

13.1 Increased costs

Except as provided otherwise below, the Borrower shall pay a Finance Party an
amount equal to any Increased Costs with respect to Interest Periods beginning on
the day of the notice pursuant paragraph a) second sentence of subsection 13.2 (Claims) that the
Finance Party or one of its Affiliates incurred as a result of:

	a)	 	the enactment of, or any change to, a law or regulation or a change of interpretation or
application of any law or regulation after the date of this Agreement; or

	 
	b)	 	compliance with any law or regulation enacted after the date of this Agreement.

13.2 Claims

	a)	 	Each Finance Party intending to make a claim for Increased Costs shall notify the
Facility Agent of the amount of the claim as well as the circumstances giving rise to
the claim. The Facility Agent shall thereupon without undue delay notify the
Borrower.

	b)	 	Each Finance Party must, as soon as possible after a demand by the Facility
Agent, present a certificate confirming the amount of its Increased Costs and
must reasonably substantiate its calculation of the amount of such Increased Costs.

 

- 23 -

 

13.3 Exceptions

The Borrower shall not be required to make any payment for Increased Costs
pursuant to subsection 13.1 (Increased costs) if such costs:

	a)	 	are attributable to a Tax Withholding required by law to be made by the
Borrower, given that the tax gross-up is covered only by subsection 12.1 (Tax
gross-up);

	b)	 	were compensated for by paragraph c) of subsection 12.1 (Tax gross-up) or subsection 12.2
(Tax indemnity) (or should have been compensated for but was not so compensated because of the
exclusions in paragraph b) of subsection 12.2 (Tax indemnity));

	 
	c)	 	were already compensated for by the payment of the Mandatory Costs; or

	d)	 	are attributable to the willful violation of any law or regulation by a Finance
Party or its Affiliate.

14. INDEMNITIES

14.1 Indemnity for foreign exchange losses

	a)	 	The Borrower shall indemnify any Finance Party for all losses and
liabilities incurred by such Finance Party arising out of the circumstance that
latter receives a sum in a currency other than that owed under this Agreement or the
Borrower has been found liable judicially or extrajudicially for an amount under the
Finance Documents in a currency other than that owed under this Agreement.

	b)	 	To the extent permitted by law, the Borrower waives all rights (irrespective of the
jurisdiction) to pay any amount under the Finance Documents in a currency other than
the currency contractually agreed.

14.2 Other indemnities

The Borrower shall indemnify each Finance Party for all expenditures, costs or
losses and hold such Finance Party harmless from liability (or, as the case may be, shall
ensure that the Borrower indemnifies each Finance Party for all expenditures,
costs or losses and holds such Finance Party harmless from liability), which such
Finance Party incurs as a result of

	a)	 	the occurrence of an Event of Default;

	b)	 	the Borrower’s failure to pay any amount due under a Finance Document on
its due date, including any loss or liability arising as a result of subsection 17.11
(Adjustment payment);

	c)	 	the failure to disburse a Loan after submission of a Utilization Request
for such Loan, if the failure to disburse was based on one or more provisions of this
Agreement (provided this was not attributable to the culpable conduct o that
Finance Party); or

	d)	 	a Loan is not prepaid (either in whole or in part) in accordance with a notice of
prepayment delivered to the Facility Agent.

14.3 Indemnification of the Agent

The Borrower shall indemnify the Agent for all expenditures, costs and losses and
hold the Agent harmless from all liability incurred by the Agent as a result of

	a)	 	an investigation of any circumstance and event that an Agent reasonably believes
would constitute a Default; or

	 
	b)	 	acting or relying on any notice that the Agent fairly believes to be genuine.

 

- 24 -

 

14.4 Indemnification of the Administrative Parties

	a)	 	The Borrower shall indemnify the Administrative Parties and the
Mandatary for all expenditures, costs and losses and hold them harmless from all
liability reasonably incurred by them

	 	(i)	 	with respect to or as a result of

	 	(A)	 	the creation, holding, defense or execution of the
Transaction Security;

	 	(B)	 	the exercise of any of their statutory or contractual rights in
accordance with the Finance Documents, powers of attorney and
remedies; or

	 	(C)	 	any failure by the Borrower or the Guarantor
to perform its obligations under the Finance Documents; or

	 	(ii)	 	in connection with encumbered property or the performance of the requirements
of the Finance Documents (except insofar as sustained as a result of gross
negligence [grobe Fahrlässigkeit] or an intentional act or omission [Vorsatz]).

	b)	 	In priority to any payment to the Lenders from the proceeds of any enforcement on
the Transaction Security, the Security Agent may itself retain all sums
necessary to give effect to the this section 14. The Security Agent shall have a lien
on the Transaction Security and on the proceeds from the sale of the Transaction
Security for all monies payable to the Security Agent.

15. MITIGATION

	a)	 	Each Finance Party shall, in consultation with the Borrower, take all
reasonable steps to prevent or mitigate the occurrence or detrimental effects of any matter
described in subsection 7.1 (Mandatory prepayment — Illegality), subsection 12.1 (Tax
gross-up), subsection 12.2 (Tax indemnity), subsection 13.1 (Increased costs) or subsection 3
of Schedule 8 (Mandatory Costs). This shall also include, to the extent reasonable, a
transfer of its rights and obligations under the Finance Documents to an
Affiliate or a change of the Facility Office.

	b)	 	Paragraph a) above does not in any way limit the obligations of the Borrower under
the Finance Documents.

	c)	 	The Borrower must without undue delay indemnify each Finance Party for all
costs and expenses reasonably incurred by that Finance Party as a result of steps
taken by it on this basis of this section.

	d)	 	A Finance Party is not obliged to take any action pursuant to this section if it
reasonably believes that such action could be prejudicial to it.

16. COSTS

The Borrower shall reimburse every Administrative Party for:

	a)	 	all reasonable, external costs and expenditures (including agreed legal costs and costs for
persons engaged by any Administrative Party) that were incurred by them in connection
with the negotiation, preparation, printing, execution and formal adoption of this
Agreement, every document named herein, the Transaction Security as well as
every other Finance Document (including any Finance Documents executed after
the execution of this Agreement);

	b)	 	all reasonable, external costs and expenditures (including agreed legal costs and costs for
persons engaged by any Administrative Party) that were incurred by them in connection
with any amendments, waivers or consents requested by the Borrower;

	c)	 	all costs and expenditures (including agreed legal costs and costs for persons engaged by any
Administrative Party) that were incurred by them in connection with the enforcement
or protection of rights under any Finance Document (including the realization of the
Transaction Security);

 

- 25 -

 

	d)	 	all external costs and expenditures (including agreed legal costs and costs for persons
engaged by any Administrative Party) that were incurred by them in connection with
the inspection and realization of the Transaction Security as well as potential
Transaction Security; and

	e)	 	all external costs and expenditures (including agreed legal costs and costs for persons
engaged by any Administrative Party) that were incurred by them in connection with
the exercise of the ongoing work of the Security Agent in this capacity as a result
of the occurrence of a Default or as a result of a request by the Borrower
or the Majority Lenders.

17. PAYMENTS

17.1 Payments to Facility Agents

Each time that the Borrower or a Lender is required to make a payment under a
Finance Document, the Borrower or Lender shall make this payment to the
Facility Agent (unless a contrary indication appears in a Finance Document) for
value on the due date.

17.2 Location

Except as otherwise provided in a Finance Document, all payments, which are required to be
made by a Party to the Facility Agent under a Finance Document, must be
made to the bank account specified for this purpose in advance by the Facility Agent.

17.3 Funds

Payments, which are made under the Finance Documents to the Facility Agent for
value on the due date, shall be made at such times and in such funds specified by the Facility
Agent of the affected Party as being customary at the time for settlement of
transactions in the relevant currency in the place of payment.

17.4 Currency

	a)	 	Payments for Taxes, fees, costs and expenditures must be made in the currency of the
relevant expenses.

	 
	b)	 	All other amounts payable under the Finance Documents must be paid in EUR.

17.5 Business Days

If, based on the Finance Documents, a payment is due to be made on a day that is not a
Business Day, then it shall be made on the next Business Day in the same calendar
month (if there is one) or the preceding Business Day (if there is not).

17.6 Payment dates

If any Finance Document does not specify the due date for a specific payment by the
Borrower to a Finance Party, then the payment shall be due three (3) Business
Days after it is requested by the relevant Finance Party.

17.7 Distribution

	a)	 	Each payment received by the Facility Agent under the Finance Documents for
another Party shall, except as otherwise stipulated, be transferred by the
Facility Agent as soon as possible after it is received in the relevant Party’s
account, which that Party must disclose to the Facility Agent for that
purpose no less than five Business Days’ in advance.

	b)	 	Repaid credit amounts (including voluntary unscheduled repayments), interest and commitment
fees must be distributed pro rata to the Lenders. Reductions of the
Commitments must also be carried out on a pro rata basis.

 

- 26 -

 

	c)	 	The Facility Agent may credit any amount it receives on behalf of the
Borrower against any amount due that is owed by the Borrower under the
Finance Documents, or it may use this amount to purchase any currency required for
this purpose.

	d)	 	If a sum is paid to the Facility Agent under this Agreement for another
Party, then the Facility Agent is under no obligation to pay that sum to
that other Party until it has been able to establish to its satisfaction that it has
actually received that payment. The Facility Agent may, however, assume that the
payment to the Facility Agent has actually been effected and, relying on this
assumption, make a corresponding amount available to the other Party. If it proves to
be the case that the Facility Agent had not actually received that amount, then the
Party, to whom that amount was paid by the Facility Agent, shall on demand
without undue delay refund the same to the Facility Agent together with interest on
that amount from the date of payment to the date of receipt by the Facility Agent,
calculated by the Facility Agent to reflect its cost of funds.

17.8 Impaired Facility Agent

	a)	 	If, at any time, the Facility Agent becomes an Impaired Facility
Agent, the Borrower or Lender, which is required to make a payment under the Finance
Documents to the Facility Agent in accordance with section 17.1 (Payments to
the Facility Agent), may instead either pay that amount directly to the recipient entitled
thereto or pay that amount to an interest-bearing account held with an Acceptable
Bank within the meaning of paragraph a) of the definition of “Acceptable Bank”
in the name of the Borrower or Lender making the payment and designated as a
trust account [Treuhandkonto] for the benefit of the Party or Parties
beneficially entitled to that payment under the Finance Documents. In each case,
such payments must be made on the due date for payment under the Finance Documents.

	b)	 	All interest accrued on the amount standing to the credit of the trust account shall be for
the benefit of the beneficiaries of that trust account pro rata to their respective claims.

	c)	 	A Party, which has made a payment in accordance with this section 17.8, shall be discharged
of the relevant payment obligation under the Finance Documents and shall therefore not be
exposed to any credit risk with respect to the amounts standing to the credit of the trust
account.

	d)	 	Promptly upon the appointment of a new Agent in accordance with section 23.11 (Resignation
of the Facility Agent), each Party which has made a payment to a trust account in
accordance with this subsection 17.8 shall give instructions to the bank with whom the trust
account is held to transfer the amounts (together with any accrued interest) to the new
Facility Agent.

17.9 No set-off or assertion of a retention right

All payments by the Borrower on the basis of the Finance Documents shall be made
without any set-off or the assertion of a retention right, unless, (i) the Borrower has an
undisputed or legally established claim or asserts a retention right in this respect or (ii) the
set-off or assertion of a retention right is vis-à-vis a Lender that falls into the
category of subsection (c) of the definition of Lender in Default.

17.10 Partial Payments

If the Facility Agent receives a payment that is insufficient to discharge all the amounts
then due and payable by the Borrower under the Finance Documents, then the
Facility Agent shall apply that payment towards the obligations under the Finance
Documents in the following order (and among the Lenders based on their Pro Rata
Share):

	 	(i)	 	first, as pro rata payment of any unpaid fees, costs and expenses of the
Administrative Parties;

	 	(ii)	 	secondly, as pro rata payment of any accrued interest and fees under this
Agreement; and

 

- 27 -

 

	 	(iii)	 	thirdly, as pro rata payment of the accured amortization amounts owed under
this Agreement; and

	 	(iv)	 	fourthly, as pro rata payment of any other amounts due under the Finance
Documents.

This provision will override any repayment appropriation [Tilgungsbestimmung] made by the
Borrower.

17.11 Adjustment payment

If any amount owed by the Borrower under this Agreement to any
Lender
(the Preferred Lender) is settled through payment, set-off or in any other manner other
than via the Facility Agent pursuant to the payment provisions of this Agreement
(the Payment), then:

	a)	 	the Preferred Lender must inform the Facility Agent of the details
regarding the Payment within three (3) Business Days;

	b)	 	the Facility Agent must determine whether the Payment was higher than the
amount that the Preferred Lender would have received if the Facility Agent
had received the Payment and distributed it in accordance with this
Agreement; and

	c)	 	the Preferred Lender must pay any such surplus amount to the Facility Agent
(the Adjustment Payment).

17.12 Effect of the Adjustment Payment

	a)	 	The Facility Agent shall treat the Adjustment Payment as if it were a
payment by the Borrower pursuant to this Agreement and shall transfer it to
the Finance Parties (with the exception of the Preferred Lender).

	b)	 	After transferring the Adjustment Payment pursuant to subsection a) above, every
Finance Party (with the exception of the Preferred Lender) shall assign to
the Preferred Lender that portion of their own claim that is equivalent to their
portion of the Adjustment Payment, so that after carrying out the assignments, the
Borrower shall owe the Preferred Lender an amount which is equivalent to the
Adjustment Payment and is immediately payable and of the same kind as the originally
paid debt.

	c)	 	If the Preferred Lender must later pay back a payment or any sum assessed in
reference to the payment, and the Preferred Lender had made an Adjustment
Payment in respect of this payment, then each Finance Party shall reimburse
the Preferred Lender for the corresponding portion of the Adjustment Payment
made to it and it shall rescind the assignments under subsection b).

17.13 Exceptions

Notwithstanding the other provisions of this section, a Preferred Lender is not required
to make an Adjustment Payment, if:

	a)	 	after making the Adjustment Payment, it would not have a valid claim against the
Borrower in the amount of the Adjustment Payment; or

	b)	 	it must share an amount received as a result of court or arbitration proceedings with another
Finance Party and:

	 	(i)	 	the Preferred Lender had informed Facility Agent about the
court or arbitration proceedings; and

	 	(ii)	 	the other Finance Party had the opportunity to participate in these
proceedings but refrained from so doing and also did not file any separate court or
arbitration proceedings.

 

- 28 -

 

18. REPRESENTATIONS

The Borrower (unless otherwise provided below) hereby makes with respect to itself the
representations, which are set forth in this section 18 (Representations), to each Finance
Party as of the date of this Agreement and the first Utilization.

18.1 Status

	a)	 	The Borrower is a limited liability company [Gesellschaft mit beschränkter Haftung],
duly incorporated and validly existing under the laws of Germany.

	b)	 	The Borrower has the legal power and authority to sue or be sued in its own name,
and has the right to dispose of its own assets and to carry on its business in each
jurisdiction in which it holds assets or conducts business.

18.2 Binding obligations

Subject to the Legal Reservations:

	a)	 	the obligations which it has assumed under the Finance Documents have been legally
concluded and establish legally binding, lawful and enforceable obligations of the
Borrower; and

	b)	 	(without limiting the proposition set forth in paragraph a) above), each Security
Document, to which it is a party, creates the security, which the relevant Security
Document purports to create, and this security is valid and enforceable.

18.3 Power and authority

It has the power and authority to execute and perform the Finance Documents, to which it
is or will become a party, and to enter into and perform the legally binding transactions
contemplated therein, and it has taken any and all action required under company law and other
steps in order to approve the execution and performance of the Finance Documents and the
legally binding transactions contemplated therein.

18.4 No violation of legal duties

The conclusion and the performance of the Finance Documents and the creation of the
Transaction Security do not violate:

	a)	 	any laws or other regulations that apply to it;

	 
	b)	 	any provisions of its articles of association; or

	c)	 	any other agreement, under which it or its assets are bound, and do not establish cause for
termination under any such contract or give rise to an obligation to provide security in favor
of third parties under such contract (with the exception of the Transaction
Security);

to the extent that any such violation would lead to a Material Adverse Change, unless the
conflicting provision is subject to the prior consent of a governing body within the company, a
third party or some other person in order to conclude and perform or create items serving as
Transaction Security and such consent had been previously obtained.

18.5 Approvals and authorizations

	a)	 	All Authorizations and Approvals, which are necessary in order to:

	 	(i)	 	allow it to lawfully sign the Finance Documents to which it is a
party, and to exercise its rights and discharge its duties; and

	 	(ii)	 	to make the Finance Documents, to which it is a party, an admissible
form of evidence,

have been obtained and are in full force and effect. The foregoing does not apply, however,
to registrations and filings made under subsection 18.10 (No filing or stamp taxes), which
were carried out without undue delay following the conclusion of this Agreement.

 

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	b)	 	All Authorizations and Approvals, which it requires

	 	(i)	 	in connection with its business operation and the construction of the
Production Facility FFO2; and

	 	(ii)	 	in connection with the execution, performance, legal validity and
enforceability of the Finance Documents as well as the transactions
contemplated therein,

have been obtained or were issued and are lawfully available, unless it is reasonably likely
that the missing Authorizations and Approvals will not lead to a Material
Adverse Change.

18.6 Governing aw and enforcement

Subject to the Legal Reservations:

	a)	 	the courts of the Relevant Jurisdiction of the Borrower will recognize and
enforce, as the governing law, the law that is stipulated in the Finance Documents;
and

	b)	 	any judgment, which is issued with respect to the Finance Documents, will be
recognized and enforced in the Relevant Jurisdiction of the Borrower, and it
is not entitled to assert in that jurisdiction any immunity that could protect it against
set-offs, lawsuits, seizures, compulsory enforcement actions and other judicial proceedings.

18.7 Threat of Insolvency and Insolvency

There have been:

	 	(i)	 	no actions taken under company law, judicial proceedings or any other steps,
which are listed in subsection 22.7 (Insolvency proceedings), and

	 	(ii)	 	no compulsory enforcement as described in section 22.8 (Compulsory
enforcement)

	a)	 	threatened in writing against the Borrower to the best of the Borrower’s
knowledge, or

	b)	 	instituted against it, and none of the facts described in subsection 22.6 (Insolvency)
pertain to it.

18.8 Pari passu ranking

Its payment obligations under the Finance Documents rank at least pari passu with all of
its other current and future, unsecured and unsubordinated payment obligations, except for those
payment obligations that must be given preference by operation of the law.

18.9 No Element of Default

	c)	 	There has been no Default, and as of the date this Agreement is concluded
and the first Utilization Date, there will have been no Element of Default
(Kündigungstatbestand), and the execution of the Finance Documents and the
performance of the transactions contemplated therein (including the Utilizations)
will not lead to an Element of Default.

	d)	 	There are no other facts or circumstances that constitute cause for terminating (however
described) another contract, to which it is bound, and that, either individually or
collectively, are reasonably likely to lead to a Material Adverse Change.

18.10 No registration or stamp taxes

Under the laws of its Relevant Jurisdiction at the time this Agreement is
concluded, there is no requirement either that the Finance Documents be filed, recorded or
entered with any court or other government authority or that, in connection with the Finance
Documents or the transactions contemplated therein (except for the enforcement of
Transaction Security), a stamp tax, registration fees, notary fees or similar taxes or
fees be paid, except for the filing and registration fees levied to transfer and create security
interests on land [Grundpfandrechte] situated in Germany
pursuant to Schedule 2 (Conditions of Utilization), Part II (Security Agreements prior the
Initial Utilization) together with the notary fees or court costs related thereto.

 

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18.11 Tax withholding

Payments under the Finance Documents to a Lender may be made without having to
engage in any Tax Withholding.

18.12 No Misleading Information

	a)	 	The Borrower has provided the Finance Parties with all facts and
information which, in the
Borrower’s opinion, are material for the decision by the
Finance Parties to grant the credit.

	b)	 	All written factual information (including annual and quarterly financial statements), which
the Borrower or its advisors has disclosed to the Finance Parties or any of
its advisors, is — in all material respects — true, correct and not misleading with respect to
the date of its disclosure or the date to which the disclosure relates.

	c)	 	The factual information contained in the Information Package was in all material
respects true and correct as of the date the Information Package was produced or, if
applicable, as of the date to which the factual information relates. The forecast figures
contained in the Information Package were generated on the basis of the current
information available at the time the Information Package was prepared and on the
basis of assumptions, which the Borrower could have reasonably been expected to make
as of the Information
Package’s date following a reasonable estimation and after
careful consideration and review, and these figures were approved by
the Borrower’s
managing directors. The Borrower believes that the forecast figures are realistic.

	d)	 	Each financial projection contained in the Information Package was prepared after
careful consideration and review as of the time it was made and on the basis of information
then current and was predicated on reasonable assumptions.

	e)	 	No circumstances have arisen and no information has been omitted from the Information
Package, which if disclosed, would result in the information, opinions, expectations or
projections contained in the Information Package being untrue or misleading in any material
respect.

18.13 Financial statements

	a)	 	Its annual and quarterly financial statements (including the Original Financial
Statements), which were most recently delivered to the Facility Agent:

	 	(i)	 	were continuously prepared on the basis of the Generally Recognized
Accounting Principles and principles of recognized bookkeeping that are applicable
in the country of its registered office; and

	 	(ii)	 	give a true and fair view of its financial condition and results of operations
as of the record of date of the financial statements;

unless information in the financial statements indicates otherwise in any given case.

	b)	 	The Borrower represents that it has no material liabilities other than those
disclosed in the Original Financial Statements, in the most recent quarterly
financial statements or in the Information Memorandum.

	c)	 	The Borrower represents that each business plan, which was delivered
pursuant to this Agreement, was prepared after careful consideration and review and
in good faith on the basis of assumptions which, from the Borrower’s perspective,
were realistic as of the time the business plan was generated and delivered.

	d)	 	Since the Date of the Original Financial Statements, no facts or circumstances have
arisen that would lead to a Material Adverse Change.

 

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18.14 No proceedings pending or threatened

	a)	 	It is not the subject matter of any pending or — to the best its knowledge — threatened
litigation, arbitration or administrative proceedings (including proceedings before cartel
authorities) or investigations which, if adversely decided, could with a reasonable likelihood
lead to a Material Adverse Change.

	b)	 	It has not breached any provision of another document to which it is bound, nor violated any
order or judgment issued by a court, arbitrator or regulatory agency, nor violated any law,
regulation, directive or rule issued by a government agency, to the extent that such breach or
violation could, either individually or collectively, lead to a Material Adverse
Change.

18.15 No breaches or violations

	a)	 	It is in full compliance with any and all applicable laws and regulatory/judicial orders, the
violation of which could lead to a Material Adverse Change.

	b)	 	To the best of its knowledge (after having duly and thoroughly inquired into the matter), the
Borrower is not subject to any current or imminent labor disputes, which could lead
to a Material Adverse Change.

18.16 Environmental law

	a)	 	It is in compliance with subsection 21.3 (Environmental compliance) and to the best of its
knowledge (after having duly and thoroughly inquired into the matter), there are no facts or
circumstances that could jeopardize compliance to such extent that it could result in a
Material Adverse Change.

	b)	 	No Environmental Claims have been brought against it or threatened to be brought
against it (to the best of its knowledge after having duly and thoroughly inquired into the
matter), to the extent that such claims, if substantiated, could lead to a Material
Adverse Change.

18.17 Security

Subject to the Legal Reservations, each Security Document creates a
first priority security in rem/security interest [erstrangige dingliche Sicherheit] in the assets
to which the Security Document relates, and there are no other security interests with
higher or pari passu ranking, except where the respective Security Document has expressly
permitted such priority (senior) rights.

18.18 Holder of assets and rights

	a)	 	At any given time, it is the holder of all assets (as owner, tenant, lessee or licensee) that
it requires in order to manage and maintain its current business operation and to construct
and operate the Production Facility FFO2.

	b)	 	It is the sole and lawful owner of its assets that, in accordance with the provisions of the
Security Documents and subject to any exceptions therein such as retentions of title,
are or are expected to be the subject matter of the Transaction Security.

18.19 Industrial Property Rights

It:

	a)	 	is the sole lawful owner of, or has licenses under customary terms and conditions to,
Industrial Property Rights, which are material for its business operation and for the
construction of the Production Facility FFO2 and which are needed to continue
managing the business operation, as it is currently being managed and as it is expected to be
managed in the future;

	b)	 	does not infringe the Industrial Property Rights of a third party to the extent that
the infringement could lead to a Material Adverse Change; and

	c)	 	has taken all formal steps (including paying fees and royalties) which are required in order
to maintain the Industrial Property Rights which belong to it, provided that the
maintenance of such Industrial Property Rights is necessary for its business
operation.

 

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18.20 Economic beneficiary

The Borrower represents that each Utilization, which it makes, will be undertaken
solely for its own account.

18.21 COMI

The center of its main business interests (as defined in Article 3 (1) of the Council Regulation
(EC) No. 1346/2000 of 29 May 2000 on Insolvency Proceedings) is at the place of its registered
office, and the Borrower maintains no establishment (within the meaning of Article 2 (h)
of the aforementioned Regulation) in any other jurisdiction.

18.22 Times when representations made

	a)	 	The Borrower makes with respect to itself the Repeating
Representations as set forth in this paragraph a) to each Finance Party as
of the times in this paragraph a), and the Repeating Representations relate
to the circumstances existing as of the date of each Utilization Request and each
first day of an Interest Period. In addition, the Repeating
Representations will be deemed to have been made anew by the Borrower on the
Utilization Date and the first date of each Interest Period.

	b)	 	If a representation is made, it will relate to the facts and circumstances existing on the
date that the representation was made.

19. INFORMATION COVENANTS

The obligations contained in this section 19 will remain binding and enforceable from the date
this Agreement is concluded until all outstanding amounts under the Finance Documents
have been fully repaid and as long as a Commitment is in force.

19.1 Financial statements and reports

The Borrower shall provide the Facility Agent with the following documents, both
as originals (at the Facility Agent’s request, in sufficient quantities for the
Lenders) and as electronic copies thereof (and with respect to the Guarantor’s
documents, in either the German language or the English language):

	a)	 	the annual financial statements (balance sheet, income statement and, in the case of
subparagraph (i), the notes, management report and cash flow statement) for each fiscal year
beginning with fiscal year 2010 for:

	 	(i)	 	the Guarantor (consolidated and audited together with the audit and
management reports);

	 	(ii)	 	the Borrower (unconsolidated individual financial statements, but
audited together with the audit and management report); and

	 	(iii)	 	First Solar Holdings GmbH and First Solar GmbH (in each case the
unconsolidated individual financial statements, but — if available — audited and/or
consolidated);

with those documents being provided as soon as they become available but, in any case, no
later than within 120 days following the end of each fiscal year: and

	b)	 	a report on the use and processing of the Loan within 90 days after the end of each
half-year; and

 

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	c)	 	the unaudited and unconsolidated quarterly financial statements (balance sheet, income
statement) of the Borrower and the consolidated quarterly financial statements
(balance sheet, income statement) of the Guarantor for each quarter as soon as those
documents
become available but, in any case, no later than within 90 days following the end of each
quarter of the Borrower’s fiscal year. Each of these quarterly financial statements
must contain, inter alia, information on the quarter in question, the year-to-date balance
[Jahressaldo], the same quarter of the previous year and the year-to-date balance for the
previous fiscal year. In addition, a report from the managing director(s) regarding the
Progress of the Project must accompany each quarterly financial statement of the
Borrower during the construction phase of the Production Facility FFO2.

All audited financial statements, which are submitted under this Agreement, must be
audited by an independent and recognized auditor and certified with an unqualified audit report.

19.2 Auditor’s certificate

The Borrower’s auditor shall render an opinion in the context of its audit of the
respective annual financial statements as to the extent to which the provision of goods and
services between the Borrower and the Borrower’s or Guarantor’s Affiliates
occurred on customary market terms. With respect to the loans between the Borrower
and its or the Guarantor’s Affiliates, the auditor must merely certify that such
loans were concluded on terms and conditions that are customary for intra-group lending
transactions.

19.3 Requirements as to the financial statements

	a)	 	In connection with the financial statements to be delivered in accordance with subsection
19.1 (Financial statements and reports), at least one managing director with sole
representational authority or a registered attorney-in-fact (Prokurist) who is responsible
for finance at the company in question must certify that the financial statements present a
true and fair view of the financial condition and results of operation [vermittelt ein den
tatsächlichen Verhältnissen entsprechendes Bild der Vermögens,- Finanz- und Ertragslage] as of
the date on which the financial statements were prepared. Such certification may either be
contained in the relevant financial statement or be a separate certification.

	b)	 	The Borrower shall ensure that all financial statements, which it is required to
deliver pursuant to subsection 19.1 (Financial statements and reports), were prepared in
accordance with the Generally Accepted Accounting Principles and, in the
Borrower’s case, the commerical law principles for large corporations and using the
accounting practices and financial reference periods consistent with those applied to the
respective Original Financial Statements, unless the Borrower informs the
Facility Agent about any changes.

19.4 Business Plan

	a)	 	The Borrower shall provide the Facility Agent (at the Facility
Agent’s request, in sufficient quantities for the Lenders) with the Business
Plan for a given fiscal year as soon as it becomes available but no later than thirty
(30) days after the commencement of that fiscal year, whereby the first delivery of the
Business Plan must be made prior to the first Utilization.

	 
	b)	 	The Borrower  shall ensure that each Business Plan:

	 	(i)	 	in terms of its form and content matches the sample form agreed to before the
conclusion of this Agreement and is acceptable to the Facility Agent and
contains in sufficient detail its budgeted unconsolidated (or, if available,
consolidated) quarterly income statement, annual balance sheet and cash flow statement,
information on budgeted capital expenditures and a comparison to the previous
Business Plan;

	 	(ii)	 	was prepared on the basis of the Generally Acceptable Accounting
Principles and using the accounting practices and financial reference periods
consistent with those applied for the annual financial statements set forth under
subsection 19.1 (Financial statements and reports); and

	 	(iii)	 	was approved by one managing director with sole representational authority or
by the registered attorney-in-fact who is responsible for finance at the
Borrower.

 

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19.5 Financial ratio — confirmation (Compliance Certificate)

	a)	 	The Borrower shall provide to the Facility Agent a Compliance
Certificate as well as all financial statements that the Guarantor is obligated
to file pursuant to subsection 19.1 (Financial statements and reports) (a)(i) or (b), and
such certificate shall (in reasonable detail) describe the following:

	 	(i)	 	the calculation of the Financial Ratios provided in section 20
(Financial Ratios) as of the record date for each respective financial statement plus a
detailed accounting signed by the CFO or treasurer of the Guarantor; and

	 
	 	(ii)	 	confirmation that no Element of Default exists.

	b)	 	Each Compliance Certificate, which must be submitted together with the consolidated
annual financial statements of the Guarantor, shall be based on the annual financial
statements audited and confirmed by an independent and recognized auditor with respect to the
calculation in (a)(i) of this subsection 19.5 and shall contain a list of the Guarantor’s
Affiliates that were included in the calculation.

19.6 Miscellaneous information

The Borrower shall provide the Facility Agent with the following information
either in a quantity sufficient for all Lenders or in electronic form:

	a)	 	- at the same time as they are sent — any and all documents that the Borrower sends
to all creditors generally;

	b)	 	- without undue delay upon becoming aware of them — any details concerning all significant
insurance cases and significant changes in the project workflow or project structure;

	c)	 	- without undue delay upon the Borrower becoming aware of them — any details
concerning any violations of the law and any judicial, arbitral or administrative proceedings
of the Borrower (especially also with respect to Environmental Claims) or
the Guarantor, which have arisen or are pending and which could reasonably be
expected to lead to a Material Adverse Change;

	d)	 	- without undue delay upon the Borrower becoming aware of it — any and all
information regarding an earnestly threatened, written petition to commence bankruptcy or
insolvency proceedings against the Borrower’s assets by a third party;

	e)	 	- if demanded, then without undue delay — any and all additional information and documents
relating to the financial situation and business activities of the Borrower and
Guarantor which a Finance Party (through the Facility Agent) may
demand in its discretion;

	f)	 	- if demanded, then without undue delay — any and all additional information, which could be
required under bank regulations and legislation;

	g)	 	- without undue delay after becoming aware of them — any and all details concerning all
receivables and sales or other transactions, which could result in a mandatory prepayment
under this Agreement, including a Change of Control or a forthcoming
Change of Control;

	h)	 	- without undue delay — any and all information and documents, which a Finance Party
(through the Facility Agent) in its discretion demands with respect to assets that
are the subject matter of the Transaction Security or are related to the contractual
performance of the obligations of the Borrower or of the Guarantor under the
Security Documents;

 

- 35 -

 

	i)	 	- without undue delay after they have been received — copies of any opinions relating to
the Financial Ratios issued by auditors engaged by the Guarantor, insofar as
the Guarantor makes them available to one of its other creditors; and

	j)	 	- without undue delay after they have been sent — copies of all correspondence with the
Mandatary, acting in its capacity as the mandatary of the Federal Government and the
German State Government of Brandenburg in connection with the Federal/State Guarantor
Decision, the Deficiency Guaranty or this Agreement.

19.7 Notification of an Element of Default

	a)	 	The Borrower shall notify the Facility Agent of the existence of an
Element of Default without undue delay after learning thereof, and the
Borrower shall without undue delay explain what measures it has taken or initiated in
order to remedy this Element of Default.

	b)	 	Without undue delay following the Facility Agent’s demand, the Borrower
shall deliver a confirmation, which is signed either by a managing director with sole
representational authority or by two managing directors with joint representational authority
or by one managing directing and registered attorney-in-fact collectively and which states
that no Element of Default is continuing (or, if an Element of Default is
continuing, then indicates which Element of Default is present and what measures were
taken or initiated to eliminate it).

19.8 “Know your customer” checks

	a)	 	Without undue delay after the Facility Agent’s request, each Lender shall
provide any and all documents and other evidence, which the Facility Agent has
reasonably requested, to the Facility Agent so that the Facility Agent can
engage in the “know your customer” check or other identification process which, under the
rules for preventing money laundering, is required for the transactions contemplated in the
Finance Documents, and in the reviews mandated under the German Banking Act or
comparable foreign rules.

	b)	 	The Borrower shall ensure that it itself as well as the Guarantor shall —
without undue delay after the request is made by the Facility Agent or a Lender
— provide all documents and evidence, which the Facility Agent (for itself or
for a Lender) or a Lender (or a potential new Lender) has
reasonably requested, so that the Facility Agent, the Lender or the
contemplated new Lender can engage in the identification measures which, under the
provisions for preventing money laundering, are required for the transactions contemplated in
the Finance Documents and in the reviews mandated under the German Banking Act or
comparable foreign rules.

19.9 Electronic disclosure of the information

The Borrower may discharge its obligations to submit information in accordance with
paragraph a) of subsection 19.1 (Financial statements and reports) by publishing that information
electronically on a website, which the Borrower would specifically designate for that
purpose, provided that the Borrower discloses to the Facility Agent the IP
address (and if necessary any related passwords) of such a website (which the individual
Lenders will receive from the Facility Agent). If a Lender objects to
the provision of the information electronically or if it cannot access the website designated by
the Borrower either generally or under specific circumstances, then that Lender
may demand through the Facility Agent that a copy of the information be furnished in hard
copy form. Upon such a demand, the Borrower shall furnish a hard copy of the information
to the Facility Agent (in sufficient copies for each Lender that makes such a
request) within five (5) Business Days. The Borrower shall in any case provide to
the Facility Agent at least one hard copy of the information required to be submitted
under paragraph a) of subsection 19.1 (Financial statements and reports).

 

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20. FINANCIAL RATIOS (Financial Covenants)

20.1 Covenants to comply with the Financial Ratios

The Borrower shall ensure that the Group on a consolidated basis will comply with
the Financial Ratios set forth in Part II (Financial Ratios) of Schedule 5
beginning on the date this Agreement is signed and throughout the periods indicated in
Part II (Financial Ratios) of Schedule 5.

20.2 Monitoring compliance with the Financial Ratios

	a)	 	The Financial Ratios must be tested for each Audit Period by reference to
the quarterly or annual financial statements of the Guarantor, which must be made
available in accordance with subsection 19.1 (Financial statements and reports), as of the
last day of the financial quarter. The period-base figures factored into the Financial
Ratios (e.g., EBITDA) relate on a rolling basis to each preceding 12-month period.

	b)	 	All Financial Ratios must be calculated on the basis of the the provisions of the 15
October 2010 version of the US Credit Agreement as modified by the Amendment
Agreement dated 6 May 2011.

	c)	 	The compliance with the Financial Ratios must also be tested and confirmed by the
Guarantor on the basis of the the provisions of the 15 October 2010 version of the
US Credit Agreement as modified by the Amendment Agreement dated 6 May 2011once each
fiscal year by reference to the consolidated financial statements of the Guarantor
certified by an independent and recognized auditor. In the event that there are any
discrepancies between the calculation of the Financial Ratios on the basis of the
quarterly reports and the one based on the certified consolidated balance sheet of the
Borrower, then the testing based on the certified figures will control.

	d)	 	All accounting, reporting and consolidation principles as well as the accounting terms and
concepts, which are not separately defined in this Agreement, must be construed in
accordance with their meaning under the German Commercial Code (HGB) / US GAAP.

21. GENERAL COVENANTS

The Borrower shall satisfy the general covenants contained in this section 21 until any
and all outstanding amounts under the Finance Documents have been fully repaid and all
Commitments have been reduced to zero.

21.1 Authorizations

The Borrower shall without undue delay

	a)	 	obtain, preserve and comply with the Authorizations and Approvals that are required
by law or other regulations of any applicable Relevant Jurisdiction; and

	b)	 	and upon reasonable request made, provide to the Facility Agent certified copies of
the Authorizations and Approvals, which are required by law or other regulations of
an applicable Relevant Jurisdiction and

which are needed

	 	(i)	 	to perform its obligations under the Finance Documents;

	 	(ii)	 	to ensure the legal validity and enforceability of the Finance
Documents; and

	 	(iii)	 	to continue conducting its operation in the ordinary course of its business
and to construct the Production Facility FFO2 (whereby only short-term
interruptions to operations and construction activities are not encompassed by the
foregoing).

21.2 Compliance with laws and contracts

The Borrower shall:

	a)	 	comply with all applicable laws and regulatory/judicial orders; and

	 
	b)	 	discharge all obligations under contracts with third parties,

to the extent that any failure to do so would, with reasonable likelihood, result in a Material
Adverse Change.

 

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21.3 Environmental compliance

The Borrower shall:

	a)	 	comply with all Environmental Laws;

	b)	 	obtain, preserve and ensure the compliance with all required Environmental
Approvals; and

	c)	 	monitor the compliance with the Environmental Laws and set up the monitoring
structures in order to avoid any liability under an Environmental Law,

to the extent that an omission or violation would, with reasonable likelihood, lead to a
Material Adverse Change.

21.4 Negative pledge

	a)	 	Unless otherwise provided under paragraph c) below, the Borrower shall not create,
or permit the creation of, any security in rem in its assets.

	 
	b)	 	Unless otherwise provided in paragraph c) below, the Borrower shall not:

	 	(i)	 	sell, transfer or otherwise conditionally relinquish possession of any assets;
or

	 	(ii)	 	sell, transfer or otherwise surrender any receivables by way of Recourse
Factoring;

to the extent such agreements or transactions are concluded primarily for the purpose of
borrowing outside funds (Quasi-Security).

	c)	 	Paragraphs a) and b) do not apply to:

	 	(i)	 	the Transaction Security;

	 	(ii)	 	security provided in ordinary banking transactions by the Borrower for
the purposes of netting debit and credit account balances or Quasi-Security
established on current account balances including any netting and set-off agreements;

	 	(iii)	 	liens on bank accounts that are established under standard terms and
conditions of any banks or savings banks [Sparkassen] or other financial institutions
in Germany or another applicable jurisdiction, with which the Borrower has a
banking relationship in the ordinary course of its business;

	 	(iv)	 	security or Quasi-Security provided in connection with leases
(specifically security deposits) used in the Borrower’s ordinary course of
business;

	 	(v)	 	title retentions (for security purposes) [Eigentumsvorbehalte] and extended
title retentions, which are stipulated in customary agreements with suppliers within
the scope of the Borrower’s business purpose and/or under the standard terms
and conditions of suppliers;

	 	(vi)	 	security or Quasi-Security with respect to an asset, which the
Borrower purchases after today’s date, provided that:

	 	(A)	 	such security or such Quasi-Security was not created
in connection with the purchase of that asset;

	 	(B)	 	the Borrower did not increase the nominal value of the
secured liabilities in connection with or since the purchase of that asset; and

	 	(C)	 	such security or such Quasi-Security is repaid or
released within six months following the acquisition of that asset;

 

- 38 -

 

	 	(vii)	 	security, which is created, or must be provided, by operation of the
law;

	 	(viii)	 	security or Quasi-Security, which was created on the basis of a
judgment, a seizure or an arbitral award, irrespective of whether this constitutes a
Default;

	 	(ix)	 	security or Quasi-Security in favor of the Customs office or the
financial authorities, which must be posted under legal requirements to secure payment
of any import duties and other payments in the ordinary course of business;

	 	(x)	 	security created in German real property, to the extent the limitation of such
encumbrance would be void pursuant to §1136 BGB; and

	 	(xi)	 	security or Quasi-Security, which was provided in connection with
factoring transactions permitted in accordance with subsection 21.5b)(iv)
(Sales/Disposals); and

	 	(xii)	 	security or Quasi-Security, which was provided or may continue to
exist with the consent of the Majority Lenders.

21.5 Sales/Disposals

	a)	 	Unless otherwise provided under paragraph b) below, the Borrower shall neither sell
nor otherwise dispose of assets, whether in one or more transactions.

	 
	b)	 	Subsection a) does not apply to sales or other disposals:

	 	(i)	 	of current assets (including any cash or cash equivalents) in connection with
the ordinary business activities of the Borrower;

	 	(ii)	 	of assets (excluding shares of companies, business units, real estate,
trademarks, patents) in exchange for other assets of the same kind and of comparable or
high value;

	 	(iii)	 	of assets (excluding shares of companies, business units, real estate,
trademarks, patents), which are no longer needed for the Borrower’s business
operation;

	 
	 	(iv)	 	factoring transactions, which do not constitute Recourse Factoring;

	 	(v)	 	and which are allowed under paragraph c) of subsection 21.4 (Negative
pledges);

	 
	 	(vi)	 	of real estate, if the restraint on alienation would be void under §1136 BGB;

	 	(vii)	 	for any payments made as consideration for a disposal or measure permitted
under this Agreement and any payments to Affiliates which are permitted under
this Agreement;

	 
	 	(viii)	 	made with the prior consent of the Majority Lenders; and

	 	(ix)	 	of assets (excluding shares of companies, business units, real estate,
trademarks, patents), for which the market value or the consideration paid, whichever
is higher, does not exceed a total amount (for all sales and disposals that are not
allowed under the foregoing subparagraphs (i) through (vii)) of EUR 10,000,000 (if
applicable, following conversion into euro) in the Borrower’s respective
fiscal year.

21.6 Reorganizations

In the absence of the Majority Lenders’ consent, the Borrower shall not carry out
any asset transfer within the meaning of the Corporate Reorganization Act (Umwandlungsgesetz),
merger or spin-off or any other change in its legal form, with the exception of any existing
control and/or profit transfer contracts between the Borrower and First Solar Holding
GmbH, and shall not execute any additional control and/or profit transfer contract or file an
application with a stock exchange to admit its shares to trading.

 

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21.7 Taxes

	a)	 	The Borrower shall pay the Taxes, which it owes, in a timely and punctual
manner (in accordance with any payment periods granted), unless

	 	(i)	 	there are grounds for disputing the tax liability;

	 	(ii)	 	an adequate provision has been set aside for such Taxes and for the
costs of the proceedings and any such provision has been recorded in the financial
statements delivered to the Facility Agent pursuant to subsection 19.1
(Financial statements and reports); and

	 	(iii)	 	a non-payment or late payment of such Taxes would not lead to a
Material Adverse Change.

	b)	 	The Borrower will keep its tax domicile in the Federal Republic of Germany.

21.8 Business activity

The Borrower undertakes to ensure that the nature of its business activity, as it exists
or is intended at the time that this Agreement is concluded, will not change
significantly.

21.9 Preservation of assets and protection of rights

The Borrower shall maintain any and all assets, which are required for its business
operation and for constructing and operating the Production Facility FFO2, in good working
order and condition (ordinary wear and tear excepted).

21.10 Pari passu ranking

The Borrower shall ensure that its payment obligations based on the Finance
Documents will at all times rank at least pari passu with all its other current and future,
unsecured and unsubordinated payment obligations, except with respect to those that are required to
be given preference by operation of the generally applicable law.

21.11 Arm’s Length Basis

Any and all agreements, which the Borrower concludes with the Guarantor,
Affiliates of the Guarantor and third parties and which involve transactions in
goods and services, must meet the arm’s length test and must be made at market value. The loans
between the Borrower and its or the Guarantor’s Affiliates must be made on terms and conditions
that are customary for intra-group lending transactions.

21.12 Dividends, distributions and share buybacks

As long as a Potential Event of Default pursuant to section 20 (Financial Ratios),
subsection 21.22 (Debt service reserve account) or subsection 21.23 (Minimun liquidity) or a
Default is continuing, the Borrower shall not:

	a)	 	adopt resolutions authorizing the payment of, or pay, dividends or other distributions or
other payments (or interest on unpaid dividends, distributions or other payments) (whether in
cash or in kind) with respect to, its share capital or its shares;

	b)	 	distribute or pay out dividend reserves or premiums or undertake other distributions of
earnings, capital accounts or reserves;

	c)	 	pay management, advisory or other fees to or for the benefit of shareholders or affiliates of
the Guarantor; or

	d)	 	reduce share capital, dissolve capital reserves, cancel shares, buy back shares or adopt
resolutions with respect thereto.

If, at the time of the relevant distribution or other measure, the sum of the Borrower’s
Minimum Liquidity and any amounts standing to the credit of the Debt Service Reserve
Account exceeds all of the Finance Parties’ claims that are still outstanding under
this Agreement, then the restriction under this subsection 21.12 will not apply with
respect to the amount by which the sum of Borrower’s Minimum Liquidity and any amounts
standing to the credit of the Debt Service Reserve Account at that point in time exceeds
the sum of all amounts owed to the Finance Parties hereunder.

 

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21.13 Financial Indebtedness

	a)	 	Except as provided in paragraph b) below, the Borrower shall not incur, or allow to
remain outstanding, any Financial Indebtedness.

	 
	b)	 	Paragraph a) does not apply to:

	 	(i)	 	Financial Indebtedness under the Finance Documents;

	 	(ii)	 	Financial Indebtedness, which is created as a result of a measure
allowed under subsection 21.12 (Grant of loans) or a guaranty or security in personam
(third party credit support) allowed under subsection 21.15 (No guarantees or
indemnities);

	 	(iii)	 	Financial Indebtedness, which is allowed under subsections 7.1c)(ii)
or 7.9d)(ii);

	 
	 	(iv)	 	Financial Indebtedness owed to Affiliates;

	 	(v)	 	Financial Indebtedness, which is allowed under subsection 21.21
(Hedging Transactions)

	 	(vi)	 	other Financial Indebtedness, which is not allowed under the foregoing
subparagraphs (i) through (v), but which at no time exceeds the total amount of EUR
10,000,000; and

	 	(vii)	 	Financial Indebtedness, which was incurred with the consent of the
Majority Lenders.

21.14 Grant of loans

	a)	 	Except as provided in paragraph b) below, the Borrower shall not grant any loans or
engage in any transactions for the economic purpose of granting a loan.

	 
	b)	 	Paragraph a) does not apply to:

	 	(i)	 	any agreement to extend the payment terms in the course of business relating to
the sale and production of solar modules by up to one hundred and eighty (180) days;

	 	(ii)	 	prepayments in the course of business relating to the sale and production of
solar modules, but no earlier than one hundred and eighty (180) days before their due
date;

	 	(iii)	 	granting loans to Affiliates insofar as a dividend in the same amount
would have been permissible in accordance with section 21.12 (Dividends, distributions
and share buybacks);

	 
	 	(iv)	 	other loans, which at no time exceed the total amount of EUR 10,000,000; and

	 	(v)	 	the grant or extension of loans with the consent of the Majority
Lenders.

21.15 No guarantees or indemnities

	a)	 	Except as provided in paragraph b) below, the Borrower shall not incur, or allow to
remain outstanding, any guarantees, suretyships [Bürgschaften] or other security in personam
provided to support the obligations of another person (not even for an Affiliate).

	 
	b)	 	Paragraph a) will not apply to the following security in personam:

	 	(i)	 	security in personam, which is based on Finance Documents;

	 	(ii)	 	warranties, guarantees on characteristics, indemnities and other liabilities,
which are provided in customary sales documentation for any sale or disposal allowed
under subsection 21.5 (Sales/Disposals) and which are assumed in a customary form,
subject to customary restrictions and in a form considered customary for such
transaction;

	 	(iii)	 	guarantees, suretyships or other guarantee-like promises made by the
Borrower, which are intended to guarantee the performance duty that is owed by
the Borrower under a contract and incurred in the course of its ordinary
business dealings;

	 	(iv)	 	endorsed negotiable instruments executed in the ordinary course of business;

 

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	 	(v)	 	other security in personam, which at no time exceeds a total amount of EUR
10,000,000; or

	 	(vi)	 	security in personam, which was granted with the consent of the Majority
Lenders.

21.16 Acquisitions and joint ventures

	a)	 	Except as permitted under paragraph b) below, the Borrower shall not, without the
consent of the Majority Lenders,

	 	(i)	 	acquire the shares of a company or business operation, or participate therein;

	 	(ii)	 	invest or otherwise participate in, or acquire the shares of, any Joint
Ventures; or

	 	(iii)	 	transfer or loan-out assets to a Joint Venture or grant a guarantee,
suretyship or other indemnity, security or Quasi-Security to support the
liabilities of a Joint Venture or, in any other manner, preserve the solvency
of a Joint Venture or supply of working capital to a Joint Venture
(in each case including the Group’s Joint Ventures existing at the
time of this Agreement).

	b)	 	Paragraph a) does not apply, to the extent that:

	 	(i)	 	the acquisition involves registered shell companies (Mantelgesellschaften) or
 shares of other companies that engage in the business of producing or selling solar
modules and operating solar facilities or, as the case may be, in closely related
fields connected to the solar industry; and

	 	(ii)	 	the Borrower’s potential liability under a piercing the corporate veil
theory has been excluded, either contractually or by law, to the extent such liability
has not been expressly allowed under this Agreement.

21.17 Insurance

The Borrower must insure its business and its assets (above all, the Production
Facility FFO2) in the same manner as companies, which engage in the same or substantially
similar business, typically do so. All insurance policies must be with reputable insurance
companies.

21.18 Industrial property rights

The Borrower:

	 	(i)	 	must maintain the validity of the Industrial Property Rights that are
necessary for its business (specifically operating the Production Facility
FFO2);

	 	(ii)	 	must take reasonable steps to prevent any infringement of the Industrial
Property Rights;

	 	(iii)	 	must make all registrations and pay all fees and Taxes that are
necessary to maintain its Industrial Property Rights and must record its
entitlement to those Industrial Property Rights;

	 	(iv)	 	must ensure that its Industrial Property Rights are not used in a way
that could have a material adverse effect on the existence or value of the
Industrial Property Rights or that could imperil the right of any Group
Company to use such Industrial Property Rights; and

 
	 	(v)	 	may not discontinue the use of its Industrial Property Rights;

to the extent that a failure to do so would, with reasonable likelihood, lead to a Material
Adverse Change.

 

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21.19 Access right

The Borrower shall, at its own expense, grant to one or more representatives, agents or
professional advisors of the Facility Agent and the Security Agent, free access
to, and the right to inspect, its business assets, books, documentation and business premises:

	 	(i)	 	at any time during normal business hours even without prior notice in the event
that there is an Element of Default; and

	 	(ii)	 	during normal business hours and following prior consent of at least 5
Business Days, but no more than twice per calendar year in order to avoid
unreasonable disruptions to business operations, in the event that such access is
fairly demanded by the Facility Agent or the Security Agent, but only
as long as no Default or Potential Default persists,

and shall permit copies to be made or extracts to be taken.

21.20 Subsidiaries

	a)	 	Unless otherwise permitted in paragraph b), the Borrower shall not allow any newly
formed company or acquired shell company to commence business activities or to manage assets.

	 
	b)	 	Paragraph a) does not apply, to the extent that:

	 	(i)	 	the companies, which are formed or whose business operations are commenced, are
companies that engage in the business of producing and selling solar modules and
operating solar facilities or, as the case may be, in closely-related fields with
connections to the solar industry; and

	 	(ii)	 	the Borrower’s potential liability under a piercing the corporate veil
theory has been excluded, either contractually or by law, to the extent such liability
has not been expressly allowed under this Agreement.

21.21 Hedging transactions

The Borrower shall not engage in any Hedging Transactions for speculative purposes.

21.22 Debt Service Reserve Account

The Borrower shall open a euro-denominated account with Commerzbank Aktiengesellschaft
under the designation “Debt Service Reserve Account” (the “Debt Service Reserve
Account”). The Borrower shall ensure that (i) the Debt Service Reserve
Account at all times shows a positive account balance in the amount of at least the next two
repayment installments as stipulated in subsection 6.1 (Repayment); (ii) the Debt Service
Reserve Account is pledged in favor of the Finance Parties; and (iii) the account
credit balance is available solely to pay any interest and principal repayments under the
Finance Documents which are owed but not yet paid by the Borrower.

21.23 Minimum Liquidity

The Borrower shall ensure that its Minimum Liquidity at no time is less than the
lower of the following amounts:

	(i)	 	EUR 30,000,000; or

	(ii)	 	the sum of all claims, which are held by all of the Finance Parties and which are
still outstanding under this Agreement, less the positive account balance available on the
Debt Service Reserve Account.

21.24 COMI

The Borrower shall keep the center of its main interests (as defined in Article 3 (1) of
the European Insolvency Code (Regulation (EC) No. 1346/2000)) in the country of its registered
office.

22. EVENTS OF DEFAULT

Each of the events listed below in this section is a Default, except for subsection 22.20
(Acceleration).

 

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22.1 Non-payment

The
Borrower or the Guarantor does not pay an amount due under the
Finance
Documents on the due date, unless the payment delay is due to a technical or administrative
reason, and the payment is subsequently made within three (3) Business Days after the due
date.

22.2 Financial ratios

A covenant under section 20 (Financial Ratios) is breached.

22.3 Breach of other obligations

	a)	 	The funds provided by the Facility are used for purposes other than those described
in section 3 (Purpose).

	b)	 	The Borrower or the Guarantor breaches other Finance Document
provisions that are not listed in subsection 22.1 (Non-payment) and subsection 22.2
(Financial ratios).

	c)	 	A Default pursuant to the foregoing paragraphs a) and b) will not be deemed to
occur, if the breach can be cured and is cured within fifteen (15) Business Days
after the Facility Agents give the Borrower notice of the breach or from the
date the Borrower learns of the breach, whichever is sooner.

22.4 Misrepresentation

	a)	 	A representation or statement [Feststellung], which is contained in the Finance
Documents and which was made, or is deemed to have been made, by the Borrower or
the Guarantor, is or proves to be incorrect or misleading.

	b)	 	A Default in accordance with the foregoing paragraph a) will not be deemed to
occur, if the breach can be cured and is cured within fifteen (15) Business Days
after the Facility Agents give the Borrower notice of the breach or from the
date the Borrower learns of the breach, whichever is sooner.

22.5 Cross default

	a)	 	Any Financial Indebtedness of the Borrower or of the Guarantor is
not paid when due or within the originally applicable grace period.

	b)	 	Any Financial Indebtedness of the Borrower or of the Guarantor is
declared to be, or otherwise becomes, due and payable prior to its specified maturity as a
result of a Default (however described, including a contractual breach).

	c)	 	Any commitment for any Financial Indebtedness of the Borrower or of the
Guarantor is revoked, reduced or suspended by the creditor as a result of a
Default (however described, including a contractual breach).

	d)	 	Any creditor of the Borrower or of the Guarantor is entitled to declare a
Financial Indebtedness due and payable prior to its specified maturity (however
described, including a contractual breach) as a result of a Default.

	e)	 	No Default will be deemed to occur in accordance with this subsection 22.5, if with
respect to

	 	(i)	 	the Borrower, the aggregate sum of all Financial Indebtedness
under the foregoing paragraphs a) through d) is less than EUR 5,000,000 (if applicable,
following conversion into euro); or

	 	(ii)	 	the Guarantor, the aggregate amount of the Financial
Indebtedness under the foregoing paragraphs a) through d) is less than USD
20,000,000 (if applicable, following conversion into euro).

 

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22.6 Insolvency

	a)	 	The Borrower

	 	(i)	 	is unable to pay its debts as they fall due within the meaning of § 17
(Inability to Pay Current Debts) of the Insolvency Code (InsO);

	 
	 	(ii)	 	is over-indebted within the meaning of § 19 InsO (Over-Indebtedness);

	 	(iii)	 	suspends payments towards its liabilities in general or announces such course
of action; or

	 	(iv)	 	due to current or threatened financial difficulties, commences negotiations
with one or more major creditors with respect to restructuring or rescheduling its
indebtedness (even partial).

	b)	 	The Guarantor is unable to pay its debts as they fall due or gives notice of such
inability, suspends payments towards its liabilities or, due to current or threatened
financial difficulties, commences negotiations with one or more of its creditors with a view
to rescheduling its indebtedness.

	c)	 	A moratorium is declared with respect to any indebtedness of the Borrower or of the
Guarantor. If a moratorium occurs, the ending of the moratorium will not remedy any
Default caused by that moratorium.

22.7 Insolvency proceedings

With respect to the Borrower or the Guarantor, an action under company law,
judicial proceedings or other measures are taken in relation to:

	a)	 	a suspension of payments, a moratorium of indebtedness, liquidation, dissolution or
restructuring (by way of voluntary arrangements, scheme recommendations, bankruptcy plan or
similar measures) or another settlement or arrangement is made with creditors in each case
with a view towards avoiding insolvency of the Borrower;

	 
	b)	 	a decision by the shareholders or managing directors to file a petition for insolvency;

	c)	 	the filing of a petition for insolvency with the competent insolvency court, unless the
petition was filed by a third party creditor, is contested on reasonable grounds (to be
furnished to the Facility Agent) and is withdrawn or rejected within twenty (20)
Business Days;

	 
	d)	 	protective measures as taken by a court pursuant to § 21 InsO;

	 
	e)	 	an order to commence insolvency as issued pursuant to § 27 InsO; or

	f)	 	the appointment of a preliminary insolvency administrator, an insolvency administrator, a
special custodian [Sachwalter] or a comparable administrator.

22.8 Compulsory enforcement (Creditors’ process)

Individual compulsory enforcement measures [Massnahmen der Einzelzwangsvollstreckung] are taken
against the assets of the Borrower or of the Guarantor which, in the case of the
Borrower amount to an aggregate of at least EUR 2,500,000 and in the case of the
Guarantor amount to an aggregate of at least EUR 10,000,000 (if applicable, following
conversion into euro), and such measures are not retracted within twenty (20) Business
Days.

22.9 Validity of the Finance Documents

	a)	 	It is or becomes unlawful for the Borrower or the Guarantor to perform any
of its obligations under the Finance Documents.

	b)	 	A Finance Document or a provision contained therein becomes invalid, except for the
factual situations referenced in the Legal Reservations, and that invalidity
materially and adversely prejudices (either alone or cumulatively) the interests of the
Lender under the Finance Documents, or one of the items serving as the
Transaction Security loses its lawfulness, validity, binding effect or enforceability
or a party to a Finance Document (with the exception of a Finance Party)
alleges such invalidity.

	c)	 	The Borrower or the Guarantor refuses to perform a material obligation
under a Finance Document, announces its intention not to perform, or seeks to
formally rescind (void) a Finance Document.

 

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22.10 Cessation of business, loss of permits

The Borrower or the Guarantor (i) discontinues all or part of its business in
connection with the production and sale of solar modules or threatens to do so; or (ii)
definitively and conclusively loses a permit, an Intellectual Property Right or an
environmental permit, which is material for operating its business.

22.11 Change in legal form

The shareholders of the Borrower resolve to change its legal form.

22.12 Reduction of equity capital

The Borrower or the shareholders of the Borrower breach the obligations under the
Capital Preservation Covenant.

22.13 Qualified or revoked audit opinion

The auditors of a Group Company qualifies its audit opinion with respect to any annual
financial statements of that Group Company, or any such audit opinion is revoked and, in
the reasonable assessment of the Majority Lenders, the qualification would have a material
adverse effect on the Lender’s interests.

22.14 Action to rescind contracts

The Borrower or the Guarantor (or any other party) acts to formally rescind
(void) a Finance Document or a Transaction Security or gives written notice of
its intent to void a Finance Document or a Transaction Security.

22.15 Litigation

	a)	 	Litigation, arbitration or other proceedings or investigations are commenced in relation to
the Borrower, its assets, the Finance Documents or any legally binding
transactions contained therein, and the Borrower is reasonably likely not to prevail
in those proceedings and investigations, and if it indeed does not prevail, those proceedings
and investigations will, with reasonable likelihood, lead to a Material Adverse
Change.

	b)	 	The Borrower fails to satisfy an enforceable judgment or arbitral award or a
regulatory order, or it otherwise averts compulsory enforcement, and the aggregate amount of
the payments required to satisfy such obligations or expenditures exceeds EUR 2,500,000 (if
applicable, following conversion into euro) and is not paid within fifteen (15) Business
Days.

22.16 Material Adverse Change

Any one or more events or circumstances occur, which the Majority Lenders reasonably
believe will lead or is reasonably likely to lead to a Material Adverse Change and the
result is or would be that the Borrower’s ability to pay its debts would be impaired.

22.17 Sale and encumbrance of real properties

The Borrower encumbers or sells a land parcel, upon which an abstract land charge
[Grundschuld] or a mortgage [Hypothek] was created in favor of the Security Agents and/or
the other Finance Parties, unless it is expressly allowed under subsection 21.4 (Negative
pledge) in the case of an encumbrance or it is expressly allowed under subsection 21.5
(Sales/Disposals) in the case of a sale, except where such encumbrance or sale is permissible only
on the basis of the provision under paragraph c) (x) of subsection 21.4 (Negative pledge) or the
provision under paragraph b) (v) of subsection 21.5 (Sales/Disposals).

 

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22.18 Withdrawal, Revocation or Invalidity of the Deficiency Guaranty

The Deficiency Guaranty is withdrawn, revoked or declared invalid, unless a Finance
Party is solely responsible for such withdrawal, declaration of invalidity or revocation.

22.19 Approvals

A significant government authorization and approval, which is required by law or other regulations
of the Relevant Jurisdiction in order to engage in its ordinary business activity or to
construct the Production Facility FFO2, is revoked, withdrawn (and not immediately
replaced by an Authorization or Approval that satisfies the Borrower’s
requirements) or modified in such a manner that the modification leads to, or would with a
reasonable degree of probability lead to, a Material Adverse Change.

22.20 Acceleration

Notwithstanding any statutory right to call in the loan by the Lender, the Facility
Agent may, when there has been a Default and at any time thereafter, and indeed must,
when directed by the Majority Lenders, upon giving notice to the Borrower

	a)	 	refuse any additional Utilization under the Facility;

	 
	b)	 	terminate all or some of the Commitments, which will immediately extinguish them;

	c)	 	accelerate all Loans, together with all accrued interest, as well as all other
payments still outstanding under the Finance Documents, either in whole or in part
with immediate effect, which will render such payments immediately due and payable; or

	d)	 	exercise all rights, remedies, powers of attorney and its discretion under the Finance
Documents, including the enforcement of any Transaction Security in accordance
with the terms and conditions of the Security Documents or shall direct then
Security Agent to do so.

23. SYNDICATION AGREEMENT

23.1 Appointment of the Facility Agent 

	a)	 	Each Finance Party (with the exception of the Facility Agent):

	 	(i)	 	hereby appoints the Facility Agent to act as its representative in
connection with the Finance Documents;

	 	(ii)	 	authorizes the Facility Agent to exercise all rights, powers and
discretionary decisions, which were granted to it under or in connection with the
Finance Documents or which are related thereto; and

	 	(iii)	 	hereby exempts the Facility Agent from the self-dealing restrictions
of § 181 BGB and from similar limitations under any other applicable law, to the extent
this is legally possible for the Finance Party in question. If, based on its
articles of association, a Finance Party does not have the authority to grant
an exemption from § 181 BGB (or from similar limitations under other laws), then it
shall inform the Facility Agent thereof.

	c)	 	The Facility Agent is authorized to grant substitute powers of attorney. If the
Facility Agent grants a substitute power of attorney, then it will be authorized to
exempt the substitute agents from the self-dealing restrictions under § 181 BGB (or from
similar limitations under other laws).

23.2 Duties of the Facility Agent

	a)	 	Subject to the provision under paragraph b) below, the Facility Agent shall without
undue delay forward to another Party the original or copy of any document, which it
has received on that Party’s behalf from another Party.

 

- 47 -

 

	b)	 	Notwithstanding the provisions under subsection 28.5 (Transfer procedure), paragraph a) will
not apply to Transfer Certificates.

	c)	 	Unless specifically provided otherwise in a given Finance Document, the Facility
Agent will not be obligated to review the documents, which it forwards to another
Party, or to assess their reasonableness, completeness or accuracy.

	 
	d)	 	If the Facility Agent:

	 	(i)	 	in referencing this Agreement, receives from a Party a notice
describing the circumstances of an Element of Default and is informed that
they constitute an Element of Default; or

	 	(ii)	 	learns of the non-payment of nominal amounts, interest or fees or other costs,
which are owed to a Finance Party (with the exception of the
Administrative Parties) under this Agreement,

then it shall inform the other Finance Parties thereof without undue delay.

	e)	 	The Facility Agent will have only those duties that are expressly stipulated in the
Finance Documents. These duties are merely of a technical and administrative nature.

	f)	 	The Facility Agent is under no obligation to monitor or research whether an
Element of Default has occurred. It may not be assumed that the Facility
Agent has knowledge that an Element of Default has occurred.

23.3 The Arranger

Unless expressly stipulated otherwise in the Finance Documents, the Arranger will
owe no duties to any other Party in connection with the Finance Documents.

23.4 No fiduciary duties

	a)	 	No provision under this Agreement shall be construed as an appointment of the
Facility Agent or the Arranger to act as fiduciary or trustee [Treuhänder]
for another Party. No Administrative Party will owe a financial or
commercial duty of care [Vermögensfürsorgepflicht] to another person.

	b)	 	Neither the Facility Agent nor the Arranger is under any obligation to
account to the other Finance Party about an amount defined for its invoice or the
gain it may derive therefrom.

23.5 Business activity with the Group

Each Administrative PARTY may accept deposits from any Group Company, grant any
such company a loan and generally maintain a banking or other business relationship with such
company (including working as Facility Agent or Security Agent in connection with
another financing).

23.6 Rights and discretion of the Facility Agent 

	a)	 	The Facility Agent may:

	 	(i)	 	rely on any representation, notice or document which it considers to be
genuine, true and duly signed by a person with signing authority; and

	 	(ii)	 	rely on any statement, which is given by a managing director, authorized
signatory or employee of a person with respect to matters, about which it may be
assumed, upon reasonable assessment, that those matters fall within that person’s
sphere of knowledge or that they could have been reviewed by such person.

	b)	 	To the extent that it has not, in its capacity as agent for the Lender, received any
notice to the contrary, the Facility Agent may assume that

	 	(i)	 	no Element of Default  has occurred, unless it has actual knowledge of
a non-payment pursuant to subsection 22.1 (Non-payment);

 

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	 	(ii)	 	neither a Party nor the Majority Lenders have exercised their
rights, powers or discretion; and

	 	(iii)	 	each notice or inquiry made by the Borrower (with the exception of
the Utilization Request) has also been also given for the other Group
Companies with their knowledge and consent.

	c)	 	The Facility Agent may retain, pay and rely on attorneys, auditors, experts and
other advisors.

	d)	 	The Facility Agent may discharge its responsibilities under the Finance
Documents through employees and representatives.

	e)	 	The Facility Agent is entitled, in its discretion, to forward to each Party
under this Agreement any information, which it can fairly assume was received by it
in its role as agent under this Agreement.

	f)	 	Above all, the Facility Agent may, in its discretion, disclose the identity of a
Lender in Default to the Lenders and the Borrower. If the
Majority Lenders or the Borrower demand that it make a disclosure, then it
will be obligated to do so.

	g)	 	Notwithstanding any other provisions under this Agreement, the Facility Agent
and the Arranger may elect not to act (including disclosing information) if, in
their opinion, such an act would lead to a violation of a law, a regulation, its financial or
commercial duties of care or confidentiality obligations or to prosecution and may take any
and all action which, in their opinion, is necessary or conducive for complying with all laws,
regulations, financial or commercial duties of care or confidentiality obligations.

	h)	 	The Facility Agent is not obligated to provide a Finance Party with
information concerning the interest rate that is communicated by a Lender pursuant to
subsection 0 (Market disruption) a) (ii).

23.7 Directives of the Majority Lenders 

	a)	 	Unless otherwise provided in a Finance Document, (i) the Facility Agent
must exercise all rights, powers and discretionary decisions, to which it is entitled as
Facility Agent, in accordance with any directives issued by the Majority
Lenders or, as the case may be, refrain from such exercise and (ii) the Facility
Agent will not be held liable for any acts or omissions, which result from a directive
issued by the Majority Lenders.

	b)	 	Unless otherwise provided in a Finance Document, all instructions given by the
Majority Lenders will be binding upon all Lenders.

	c)	 	Before executing an instruction, the Facility Agent may request that the
Lenders provide adequate security to cover the possible costs, expenses, damages or
liabilities (including any value added tax that may apply), which could arise in connection
with fulfilling the instruction, and may refrain from executing an instruction of the
Majority Lenders (or, if applicable, all Lenders) until it has received the
security it requested.

	d)	 	In the absence of any directives from the Majority Lenders (or, if applicable, all
Lenders), the Facility Agent may act, or refrain from acting, in the
putative best interests of the Lenders.

	e)	 	The Facility Agent is not authorized, without the consent of the relevant
Lender, to represent that Lender in any judicial or arbitral proceedings in
connection with the Finance Documents.

 

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23.8 Responsibility for the documentation

No Administrative Party is responsible:

	a)	 	for the reasonableness, accuracy and/or completeness of any information (whether provided
orally or in writing) which is furnished by an Administrative Party, a Group
Company or any other person pursuant to or in connection with a Finance Document
or the Information Package;

	b)	 	for the lawfulness, validity, effectiveness, reasonableness or enforceability of a
Finance Document, a Transaction Security or other contract, agreement or
document which was signed or assumed in anticipation of, or in connection with, a Finance
Document or a Transaction Security; and

	c)	 	for determining whether the information, was or will be made available to a Finance
Party, was non-public information, the use of which is restricted or limited by law or
under the rules on insider trading or similar provisions.

23.9 Liability disclaimer

	a)	 	Notwithstanding paragraph b) below, an Administrative Party will be held liable for
breaching duties in connection with the Finance Documents or the Transaction
Security only if such breach was the result of an intentional act or omission and gross
negligence.

	b)	 	With the exception of the Facility Agent, no Party to this Agreement
may institute any proceedings against a governing body, an employee or an agent of the
Facility Agent with respect to a claim, to which it is entitled and which is based on
an act or omission of such person in connection with a Finance Document, and each
governing body, employee or agent of the Facility Agent will be entitled under this
subsection 23.9 to its own claim in accordance with § 328 (1) BGB (true third party
beneficiary contract).

	c)	 	The Facility Agent will not be liable for any delays (or the related consequences
thereof) in crediting an account with funds that must be paid by the Facility Agent
under a Finance Document, provided that the Facility Agent had taken, as
soon as possible, all steps necessary to comply with the rules or procedural regulations of a
recognized clearing or payment system used by the Facility Agent for this purpose.

	d)	 	No Administrative Party will be obligated to administer any identification duties or
other obligations under the applicable money laundering laws on behalf of another Finance
Party, and each Lender confirms to the Administrative Parties that it
alone is responsible for implementing such procedures and that it may not rely on the
information from the Administrative Parties regarding such inspections.

23.10 Liability release

	a)	 	Each Lender shall, in accordance with its Pro Rata Share and
within three (3) Business Days from receipt of the corresponding request,
indemnify each Agent with respect to, and hold each Agent harmless from, any
and all costs and damages which such Agent incurs in its capacity as Agent
under the Finance Documents (except in the event of an intentional act or omission
and gross negligence on the part of the respective Agent and only to the extent that
the relevant Agent was not indemnified by the Borrower under the terms of a
Finance Document).

	b)	 	To the extent that the Lender’s claims under the Finance Documents are
satisfied by utilizing the Deficiency Guarantee, the respective Lenders will
remain liable to the Agents within the scope set forth under this subsection 23.10
(Liability release), as if no such satisfaction has occurred. This will also apply to the
extent that the State Guarantor subrogates to the Lender’s receivables or
otherwise becomes a Party to a Finance Document.

23.11 Resignation of the Facility Agent 

	a)	 	The Facility AGENT may resign and name as its successor one of its
Affiliates upon notifying the other Finance Parties.

	b)	 	The Facility Agent may also resign by notifying the Lender and the
Borrower without naming a successor. In that case, the Majority Lenders
(after conferring with the Borrower) may stipulate a successor.

 

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	c)	 	If, within thirty (30) days after notification of the resignation, no successor has been
named by the Majority Lenders, then the resigning Facility Agent (after
conferring with the Borrower) may name a successor.

	d)	 	The resigning Facility Agent must furnish all documents and written materials to its
successor and provide support to the extent that the successor can fairly demand such support
in order to perform its role as the Facility Agent under the terms of the Finance
Documents. If the resigning Facility Agent is an Impaired Facility
Agent, then it must provide such support at its own expense.

	e)	 	The resignation of the Facility Agent will not become effective until its successor
has been appointed.

	f)	 	As soon as its successor is appointed, the resigning Facility Agent (subject to
paragraph d) above) will be released from all further obligations under the Finance
Documents. Nevertheless, the provisions under this subsection 23 (Syndication Agreement)
will continue to apply to its benefit. The rights and duties between the successor and each
other Party will then be the same as the rights and duties that would have existed
between them had the successor been a Party to this Agreement at the time it
was signed.

	g)	 	After conferring with the Borrower, the Majority Lenders may demand that
the Facility Agent resign in accordance with paragraph b) above and may in that case
determine a successor directly. The Facility Agent shall honor this request as of the
date of the successor appointment stipulated by the Majority LENDERS.

	h)	 	The Borrower agrees to indemnify and hold harmless the Finance Parties with
respect to the costs and expenses which they incurred in connection with this subsection
23.11 (Resignation of the Facility Agent).

23.12 Confidentiality

	a)	 	With respect to its actions as representative of the Finance Parties, the competent
department of the Facility Agent will be treated as an organizational unit that is
separate and distinct from the Facility Agent’s other units and departments.

	b)	 	Any information, which another department of the Facility Agent has received, will
be deemed confidential information of the effected department, and the Facility Agent
shall be deemed not to have had any notice thereof.

23.13 Relationship to the creditors

	a)	 	Each Agent may treat any person, who at the commencement of a business day (as
defined at the place, which the Facility Agent has indicated to the Finance
Parties is its principal place of business) is listed as a Lender in its
documents, as a Lender with a relevant facility Office and may assume that
it is authorized to take receipt of any notice, application, document or communication, which
is made on that day in accordance with the Finance Document, and to handle them
accordingly or make a decision or determination, until it is notified by the relevant
Creditor otherwise with at least five (5) Business Days prior notice and in
accordance with the terms and conditions of this Agreement.

	b)	 	Each Lender shall provide the Facility Agent with the information required
to calculate the Mandatory Costs.

	c)	 	The Facility Agent must maintain a list of all Parties and must provide
each Party with a copy of this list upon their request. The list will include the
Facility Office of each Lender as well as its address for purposes of this
Agreement.

 

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	d)	 	Each Lender may, upon giving notice to the Facility Agents, appoint for
itself an authorized recipient for purposes of the Finance Documents and therefore
any related written materials, information, notices and documents. This notice must contain
the address, fax number and (if communication is handled via email or other electronic mail
under subsection 33.1 (Communications in writing)) e-mail addresses and/or any other
information that is required in order to send and receive information by such means (as well
as the persons or departments to whose attention it should be sent). Any such notice shall be
deemed to replace the information, which the relevant Lender made for purposes of
subsection 33.2 (Addresses for communications), and the Facility Agent may treat
such persons as being an authorized recipient to the same extent as the Lender in
question.

	e)	 	If an Administrative Party is also a Lender, then it will have the same
rights and powers under the Finance Documents as any other Lender and may
exercise such rights and powers as if it were not an Administrative Party.

23.14 Lender’s own responsibility

Notwithstanding the responsibility of the Borrower for the accuracy of the information,
which is provided by it or for the Group Companies in connection with a Finance
Document, each Lender confirms to each Administrative Party that it alone is
and will remain responsible for its own independent review of all risks in connection with the
Finance Documents, including:

	a)	 	the financial conditions and affairs of the Borrower, Guarantor and each Group
Company;

	b)	 	the lawfulness, effectiveness, reasonableness or enforceability of the Finance Documents
and the Transaction Security or any other contract, agreement or document, which
was signed or assumed in anticipation of, or in connection with, a Finance Document
or Transaction Security;

	c)	 	the question of whether and — if yes — to what extent it would be entitled as a secured party
to have recourse against a Party or its assets pursuant to or in connection with the
Finance Documents, the Transaction Security or the other contracts,
agreements or documents, which were signed or assumed in anticipation thereof or in connection
therewith;

	d)	 	the reasonableness, accuracy and/or completeness of the Information Package, the
application documentation for the Deficiency Guaranty and any other information,
which was made available by an Administrative Party, a Party or any other
person pursuant to or in connection with the Finance Documents, the transactions
contemplated therein or other contracts, agreements or documents, which were signed or assumed
in anticipation thereof or in connection therewith;

	 
	e)	 	the identification and other duties imposed under the applicable money laundering laws; and

	f)	 	the ownership status in, and a person’s power of dominion over, the Transaction
Security, the appraisal or reasonableness thereof, the ranking of the Transaction
Security or any existing encumbrances of the Transaction Security caused by
security interests.

23.15 Reference banks

If a Reference Bank (or, if it is not a Lender, the
Lender to which it
is an Affiliate) withdraws as a Lender, then the Facility Agent (after
conferring with the Borrower) may stipulate another Lender or that
Lender’s Affiliate as the successor of such Reference Bank.

23.16 Administrative work of the Facility Agent 

Any amounts, which must be paid to the Facility Agent in accordance with subsection d)
(Indemnification of the Agent), 16 (Costs) and 23.10 (Liability release), should also cover the
costs which are incurred as a result of the administrative time expended or the use of other
resources of the Facility Agent. The costs will be calculated on the basis of reasonable
hourly and day rates, which the Facility Agent discloses to the Borrowers and the
Lenders and which will be charged in addition to the fees payable to the Facility
Agent under section 11 (Fees).

 

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23.17 Set off by the Facility Agent 

If the Facility Agent is entitled to an amount under the Finance Document, then
it may, after notifying the obligated Party, deduct the maximum amount, which it is owed,
from a payment which that Party is entitled to receive from the Facility Agent
under the Finance Document, and apply a set off against the payment owed to it. For the
purposes of the Finance Documents, such Party must be treated as if it had
received the amount which had been thereby deducted.

23.18 Deadline periods

If this Agreement provides for a minimum deadline period for any declaration to be
provided to an Agent, then each Agent may in its own discretion agree to and
accept a shorter deadline period.

24. SECURITY POOL

24.1 Appointment of the Security Agent

Each Finance Party (with the exception of the Security Agent):

	a)	 	hereby appoints the Security Agent as its trustee, representative and authorized
agent and hereby irrevocably authorizes the Security Agent (with the right to
delegate this authority) to administer and execute the rights of the Finance Parties
vis-à-vis the Borrower and the Guarantor and among Finance Parties
arising from the Transaction Security (including the creation, amendment,
supplementation, maintenance and release of the Transaction Security as well as all
acts in connection with the registration and deregistration);

	b)	 	hereby authorizes the Security Agent to undertake all tasks expressly assigned to
the Security Agent in the Security Documents and in the other Finance
Documents and thus all directly and indirectly associated tasks and necessary or
beneficial acts, to deliver declarations and exercise rights; and

	c)	 	hereby exempts the Security Agent from the self-dealing restrictions of § 181 BGB
and similar restrictions under other applicable law, provided that this is legally possible
for the relevant Finance Party. If any Finance Party, based on its articles
of association internal rules of procedure, is not authorized to grant an exemption from § 181
BGB (or similar limitations under other legal systems), it shall inform the Security Agent
thereof.

The Security Agent accepts this appointment and authorization.

24.2 No independent power of the Finance Parties to enforce or sell the Transaction Security

The Finance Parties are not entitled (i) to independently realize the Transaction
Security, to undertake other acts in relation to a realization thereof, to deliver or accept
notices in this regard, or (ii) to exercise rights or powers to which they are entitled under the
Security Documents, except through the Security Agent.

24.3 Administration of the Security

The Security Agent shall:

	a)	 	hold and administer non-accessory Transaction Security (including certain
“equitable” liens [Sicherungseigentum] and claims and rights assigned as security) in its own
name but for the account of the Finance Parties;

	b)	 	hold accessory Transaction Security (including liens [Pfandrechte] and suretyships)
in its own name (with reference to its own rights under the Finance Documents
particularly also section 24.13 (Abstract acknowledgment of debt)) and administer these forms
of security in its own name and in the name of the Finance Parties for the account of
the Finance Parties; and

	c)	 	provide electronic copies of the Security Documents to the other Finance
Parties on request for independent review.

 

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24.4 Rights and powers of the Security Agent

The Security Agent:

	a)	 	shall act in accordance with the instructions issued by the Majority Lenders or, if
so instructed by the Majority Lenders, shall refrain from exercising the rights and
powers to which it is authorized as Security Agent;

	b)	 	may rely on the fact that the (i) instructions of the Facility Agent or some or all
of the Lenders meet the terms and conditions of the Finance Documents and
(ii) that the instructions have not been cancelled, unless it has received such a
cancellation;

	c)	 	is entitled to request instructions or clarification of any instructions from the
Majority Lenders as to whether and how it should exercise its rights, powers and
discretion, or refrain therefrom, and it may refrain from action until it receives such
instructions or clarifications;

	d)	 	shall, within its discretion to exercise its rights or powers under this Agreement,
in cases where it has not received any instruction from the Majority Lenders with
respect to the exercising of its discretion, exercise its discretion taking into account the
interests of all Finance Parties;

	e)	 	is entitled in its sole discretion to forward to each Party to this
Agreement all information, which it can fairly assume it received as an agent under
this Agreement;

	f)	 	is entitled but not obligated to exercise all control and administration rights resulting
under the Security Documents in its own name; and

	g)	 	may place proceeds from the realization of security into short-term interest-bearing
investment, but shall return these as soon as possible to the Finance Parties
pursuant to this Agreement.

Subsection a) shall not apply:

	 	(i)	 	if this Agreement contains a provision to the contrary;

	 	(ii)	 	if this Agreement obligates the Security Agent to take a
specific course of action; or

	 	(iii)	 	with respect to provisions protecting the Security Agent’s own
interests (as opposed to its role as Security Agent for the Finance
Parties), including sections 24.7 (Discretion of the Security Agent) to 24.19
(Set-off by the Security Agent).

Other than in cases of 24.15 (Realization or sale of Security), instructions issued to the
Security Agent by the Majority Lenders shall override any conflicting
instructions from other Parties.

24.5 Relationship to the Lenders

	a)	 	The Security Agent is not entitled to represent a Lender in court or
arbitration proceedings in connection with the Finance Documents without the prior
consent of the affected Lender. This subsection a) shall not apply to court or
arbitration proceedings concerning the validity, maintenance or protection of the rights
resulting under the Security Documents or the enforcement thereof.

	b)	 	Every Lender shall provide the Security Agent with any information needed
or requested for the performance of its tasks.

24.6 Acts of the Security Agent

Notwithstanding sections 24.4 (Rights and powers of the Security Agent) and 24.15 (Realization or
sale of Security), the Security Agent is entitled, but not obligated, in the absence of
instructions to the contrary, to take the relevant actions according to its dutiful discretion. In
the absence of
instructions from the Facility Agent (or the Majority Lenders), the Security
Agent is entitled to take such action (or refrain from action) as seems reasonable to the
Security Agent to protect the interests of the Finance Parties.

 

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24.7 Discretion of the Security Agent

	a)	 	The Security Agent may:

	 	(i)	 	assume, unless the Facility Agent informs it otherwise, that (i) no
Default has occurred and the Borrower and the Guarantor are
in compliance with all terms and conditions of the Finance Documents, and (ii)
no Party or the Majority Lenders have exercised their rights,
authorizations or discretion;

	 	(ii)	 	assume, when he receives instructions with respect to the realization as per
section 24.15 (Realization or sale of Security), that the conditions necessary under
the Finance Documents to execute these instructions have occurred;

	 	(iii)	 	engage, pay and rely on auditors, experts, tax consultants or other
consultants (including consultants who work for another Party) whose advice or
services it deems necessary or desirable at that time;

	 	(iv)	 	rely on an assurance, notification or document, which it deems to be genuine,
correct and signed by an authorized signatory;

	 	(v)	 	rely on a declaration issued by a managing director, authorized signatory or
employees of a person with respect to matters which it can be reasonably assumed fall
into the sphere of knowledge of such person or could be verified by that person;

	 	(vi)	 	discharge its tasks under the Finance Documents through employees and
representatives; and

	 	(vii)	 	prior to carrying out an instruction (including prosecution or the institution
of court proceedings in connection with the Finance Documents) or any other
measure indicated by the Majority Lenders, request the provision of sufficient
security to it with respect to potentially incurring costs, expenditures, damages or
liability, and may abstain from executing an instruction of the Majority
Lenders (or, if applicable, all Lenders) until it receives the requested
security.

	b)	 	Notwithstanding any other provisions of this Agreement, the Security Agent
may elect not to act (including disclosing information) if, in their opinion (irrespective of
the applicable law), such an act would lead to a violation of a law, a regulation, its
financial or commercial duties of care or confidentiality obligations or to prosecution and
may take any and all action which, in their opinion, is necessary or conducive for complying
with all laws, regulations, financial or commercial duties of care or confidentiality
obligations.

	c)	 	With the exception of the Security Agent, no Party to this
Agreement may institute proceedings against a governing body, an employee or one of
the authorized agents of the Security Agent with respect to a claim to which it is
entitled due to an act or omission of this governing body/ person in connection with a
Finance Document or a Transaction Security and every governing body,
employee or authorized agent of the Security Agent is entitled to a claim pursuant to
§ 328 (1) BGB under this section 24.7 (true third party beneficiary contract).

24.8 Duties of the Security Agent

The Security Agent:

	a)	 	should without undue delay forward to the Facility Agent a copy of every notice or
every document it receives from the Borrower in connection with any Finance
Document;

	b)	 	shall forward the original or a copy of every document to that Party on behalf of
which the Security Agent received this from another Party. Except as
otherwise expressly provided in any Finance Document, the Security Agent is
not obligated to review the documents it
forwards to another Party, nor is it obligated to examine such documents for their
acceptability, completeness or correctness; and

 

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	c)	 	shall without undue delay inform the Facility Agent of the occurrence of an
Element of Default or if the Borrower does not comply with its obligations
under the Finance Documents in a timely manner, provided the Security Agent
is informed hereof by another Party.

24.9 Exceptions to the Duties of the Security Agent

Subject to any express provision to the contrary in any Finance Document, the Security
Agent is:

	a)	 	not obligated to monitor or investigate whether (i) a Element of Default has
occurred, (ii) realization measures should be taken with respect to the Transaction
Security, or (iii) the Borrower is in compliance with its obligations under the
Finance Documents or is in default or in breach thereof;

	b)	 	not obligated to render account to any other Party of any amount specified for the
account of the Security Agent or of the gain resulting therefrom;

	c)	 	not obligated to disclose to any other Party (including the Lender) (i)
confidential information or (ii) any other information, if such disclosure would result in, or
the Security Agent, in its reasonable estimation, may assume that this would result
in, a violation of the law or the breaching of a financial or commercial duty of care; and

	 
	d)	 	not to be deemed a trustee or representative of the Borrower.

24.10 Standard of care and liability

The Security Agent:

	a)	 	shall be liable for breaches of duty under this Agreement and the Security
Documents only in cases of intentional acts or omissions and gross negligence;

	b)	 	is not responsible for loss, devaluation or depreciation of the Transaction
Security. It is liable neither for safekeeping of collateral itself, nor for safekeeping
by a third party;

	c)	 	is not obligated to insure the collateral or to cause another person to insure it or ensure
that such person comply with its obligation under the Finance Documents to obtain
and/or maintain insurance coverage. It is not liable for damages incurred by any person due to
the lack of or inadequacy of the insurance coverage. If the Security Agent is
recorded as being an insured party in any insurance policy or if a risk coverage certificate
was issued for the Security Agent, then the Security Agent shall not be
responsible for damages incurred because it did not inform the insurer of a key fact
concerning the insurance risk of this insurer, unless the Facility Agent requested
that the Security Agent do so and the Security Agent did not comply with
this request within 14 days after the receipt of the request;

	d)	 	is not obligated to take measures to ensure the effectiveness of the Security
Documents or the provision of the Transaction Security, or to ask the
Borrower or the Guarantor to take such measures;

	e)	 	is not obligated to register the Transaction Security, file applications, protect
the order of priority, or to make notices or reports to any person regarding the conclusion of
the Finance Documents or the Transaction Security;

	f)	 	assumes no liability for the effectiveness or enforceability of the Transaction
Security or for the fact that the actual amount of the Transaction Security
suffices to secure the applicable claims of the Finance Parties; and

	g)	 	is not obligated to verify or investigate that the Borrower is the owner of the
collateral and may dispose freely thereof and is not required to ask the Borrower to
rectify any potentially existing defects in the ownership structure.

 

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24.11 Authorization to enter into Security Agreements

The Finance Parties hereby authorize the Security Agent, to represent them in the
provision, amendment, supplementation, maintenance and release (including all acts in connection
with registration and deregistration) of liens and other accessory and non-accessory
Transaction Security and to deliver or accept all necessary or useful declarations on
behalf of the Finance Parties in connection with the provision, amendment,
supplementation, maintenance and release (including all acts in connection with registration and
deregistration) of accessory and non-accessory Transaction Security. The Security
Agent is entitled to delegate this authority. At the request of the Security Agent,
the Finance Parties shall issue a separate written special power of attorney to the
Security Agent to sign agreements and documents in their name if necessary.

24.12 Applicable provisions

The Security Agent shall hold and administer the Transaction Security exclusively
in accordance with the provisions of this Agreement and of the Security Documents
on behalf of the Finance Parties. The Finance Parties and the other
Parties confirm that the rights and obligations of the Security Agent are
governed definitively and conclusively by this Agreement and by the Security
Documents.

24.13 Abstract acknowledgment of debt

	a)	 	The Borrower hereby agrees vis-à-vis the Security Agent by way of an
abstract and independent (non-accessary) acknowledgment of debt [abstrakte Schuldversprechen]
within the meaning of § 780 BGB to pay amounts to the Security Agent as an
independent creditor and not as a representative of the Finance Parties; the sum and
currency of such amounts shall equal the amounts owed by the Borrower to the
Finance Parties under the Finance Documents if and when these amounts become
due and payable.

	b)	 	The Security Agent has the independent right to demand and keep the complete or
partial payment of amounts owed by the Borrower under this section 24.13.

	c)	 	Every amount due under this subsection 24.12 and owed by the Borrower to the
Security Agent shall be reduced to the extent that the other Finance Parties
have definitively and conclusively received payment of a corresponding amount under the other
provisions of the Finance Documents, and the amounts owed under these other
provisions shall be reduced to the extent that the Security Agent has definitively
and conclusively received a corresponding amount under this section 24.12, whereas neither the
Borrower nor the Guarantor may fulfill an obligation vis-à-vis a Finance
Party through set-off or other similar defenses vis-à-vis the Security Agent.

	d)	 	The rights of the Finance Parties to the payment of amounts owned by the
Borrower under a Finance Document are independent of one another and without
prejudice to the payment claims of the Security Agent under this section 24.13.

24.14 Release of Security

	a)	 	The Security Agent is entitled to release all or some of the Transaction
Security with the consent of the Facility Agent (acting, where applicable, in
accordance with the reservations of consent set forth below). If Transaction Security
is released under a release obligation already prior to the repayment of all secured
obligations, then the consent of the Facility Agent is also required for the
selection of the security to be released.

	b)	 	The release of Transaction Security prior to complete satisfaction of the secured
claims requires (subject to the other provisions of this section 24.14) the consent of all
Lenders.

	c)	 	The Parties to this Agreement acknowledge that an authorization is granted
in individual Security Documents to dispose of certain collateral in the scope set
forth in the Finance Documents. For such dispositions, no separate release or
additional consent is required by the Lender in this respect. To the extent that,
based on the structure of the security right, it is
necessary that the Security Agent deliver a separate release declaration in this
respect, no additional consent by the Lender is required.

 

- 57 -

 

	d)	 	Release requests from the Borrower are required to be in writing and must be
directed to the Security Agent with a copy to the Facility Agents).

24.15 Realization or sale of Security

	a)	 	The Security Agent shall solely realize or sell the Transaction Security
upon written instruction of the Facility Agent in accordance with the provisions of
the Security Documents. In so doing, the Security Agent shall comply with
the instructions of the Facility Agent. The Security Agent is entitled, but
not obligated, to obtain instructions prior to realization negotiations. To the extent that no
instructions exist, the Security Agent shall take all necessary and useful measures
for the realization according to its dutiful discretion.

	b)	 	The proceeds from the sale or realization of Transaction Security must be
distributed according to the following order of priority:

	 	(i)	 	first, as a pro rata payment of the Administrative Parties’s costs and
expenditures that are still owed under the Finance Documents in connection
with the prosecution and enforcement of their respective claims;

	 	(ii)	 	secondly, as a pro rata payment of the accured interest owed under this
Agreement;

	 	(iii)	 	thirdly, as pro rata payment of the accured amortization amounts owed under
this Agreement (prinicpal); and

	 	(iv)	 	third, as a pro rata payment of miscellaneous amounts owed under the
Finance Documents and, above all, the fees, other costs and expenditures as
well as commissions owed and payable under section 11 (Fees) of this
Agreement.

The provisions of this paragraph (b) do not affect the provisions under the
Deficiency Guarantee on which amounts are secured by the Deficiency
Guarantee. To the extent costs, fees etc. are not secured under the terms of the
Deficiency Guarantee, the corresponding amounts are not taken into account for the
purpose of calculating the amounts payable under the Deficiency Guarantee.

24.16 Resignation of the Security Agent

	a)	 	The Security Agent may resign and, by notice to the other Finance Parties,
name one of its Affiliates as its successor.

	b)	 	Furthermore, the Security Agent may resign by notice to the Lender and the
Borrower without naming a successor. In this case, the Majority Lenders
shall appoint a successor to the Security Agent.

	c)	 	If no successor has been appointed by the Majority Lenders within thirty (30) days
after notice of resignation, then the resigning Security Agent may (after conferring
with the Facility Agent) may name a successor.

	d)	 	The resigning Security Agent must provide all documents and records to its successor
and provide enough support as can be fairly requested by the successor in order to fulfill its
role as Security Agent under the Finance Documents.

	 
	e)	 	The resignation of the Security Agent shall not take effect until:

(i) the successor has been appointed; und

	 	(ii)	 	the Transaction Security provided for the benefit of the Security
Agent as well as all rights and obligations under this Agreement and the
other Finance Documents to which the Security Agent is party have
been effectively transferred to its successor.

 

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	f)	 	As soon as its successor has been appointed, the resigning Security Agent (subject
to the foregoing subsection d)) shall be released from all further obligations under the
Finance Documents. However, the provisions of sections 23 (Syndication Agreement) and
24 (Security Pool) shall continue to apply for the benefit of the resigning Security
Agent. The rights and duties between the successor and each other Party will
then be the same as the rights and duties that would have existed between them had the
successor been a Party to this Agreement at the time it was signed.

	g)	 	The Security Agent is obligated, pursuant to subsection b) above, to resign if the
Majority Lenders (after conferring with the Borrower) requests it to do so.

	h)	 	After conferring with the Borrower, the Majority Lenders may ask the
Security Agent to resign pursuant to subsection b). The Security Agent
shall comply with this request.

	i)	 	The Borrower shall indemnify the Finance Parties for all costs and
expenditures incurred by them in connection with this section 24.16 (Resignation of
the Security Agent).

24.17 Confidentiality

	a)	 	In reference to its acts as representative of the Finance Parties, the appropriate
department of the Security Agent shall be treated as a separate organizational unit
from its other units and departments.

	b)	 	Information received by another department of the Security Agent shall be deemed to
be confidential information of the respective department and the Security Agent must
be treated as having no knowledge thereof.

24.18 Administrative Work of the Security Agent

Amounts to be paid to the Security Agent pursuant to sections d) (Indemnification of the
Agent), 16 (Costs) and 23.10 (Liability release) should also cover the costs incurred through the
expenditure of time on administrative tasks or the use of other resources of the Security
Agent. These costs shall be calculated on the basis of reasonable hourly or daily rates
specified by the Security Agent to the Borrower and the Lenders and
shall be incurred in addition to the charges for the Security Agent pursuant to section 11
(Fees).

24.19 Set-off by the Security Agent

If the Security Agent is entitled to an amount pursuant to the Finance Documents,
it may, after notice to the obligated Party of a payment which this Party should
receive from the Security Agent under the Finance Documents, deduct at most the
amount of the payment owed to it and set this off against the payment it owes. For the purposes of
the Finance Documents, this Party must be treated as if it had received the
amount thus deducted.

25. CONDUCT OF BUSINESS BY THE FINANCE PARTIES

No provision of this Agreement will:

	a)	 	limit the right of a Finance Party to arrange its affairs (including Taxes)
in its discretion;

	b)	 	obligate any Finance Party to investigate or enforce any claims for refund,
abatement, relief or repayment of a Tax or the scope, priority or manner of any such
claim; or

	c)	 	obligate any Finance Party to disclose any information relating to its own affairs
(including Taxes) or any computations with respect of Taxes.

26. CERTIFICATES AND CALCULATIONS

	a)	 	The account statements of every account maintained by a Finance Party in connection
with this Agreement shall be deemed prima facie evidence [Anscheinsbeweis] as to the
amount of
an funds owing. Any certification or determination by a Finance Party of a rate or
amount under any Finance Document shall be deemed prima facie evidence.

	b)	 	Any interest or fees accruing under this Agreement will be calculated on the basis
of the actual number of days elapsed and a year of 360 days.

 

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27. AMENDMENTS AND WAIVERS

27.1 Procedures

	a)	 	Unless otherwise provided hereinafter, any term of a Finance Document may be amended
or waived with the consent of the Borrower and the Majority of Lenders. The
Facility Agent or, with respect to the Security Documents, the Security
Agent are authorized to effect written amendments on behalf of each Finance
Party and to give written waivers permitted under this section 27.

	b)	 	Each Agent must inform the other Parties without undue delay of any
amendment or waiver that Agent has effected pursuant to the foregoing paragraph a).
Any such amendment or waiver will be binding on all Parties.

27.2 Exceptions

	a)	 	An amendment or waiver relating to:

	 	(i)	 	the definitions of Majority Lenders in subsection 1 (Definitions);

	 
	 	(ii)	 	subsection 2.2 (Finance Party’s rights and obligations);

	 	(iii)	 	an extension of the date for a payment to a Lender under the
Finance Documents;

	 	(iv)	 	a reduction in the Margin or a reduction in the amount of any payment
of principal, interest, fees or other form of payment owed to Lender under the
Finance Documents;

	 	(v)	 	an increase in or expansion of any Commitment or of the Total
Commitment;

	 
	 	(vi)	 	an extension to the Utilization Period;

	 	(vii)	 	the scope of the Security Documents referenced in Part II of
Schedule 2 (Conditions Precedent to Disbursement) (but subject to the express
exceptions stated in clause (viii));

	 	(viii)	 	release in part or in whole of a Transaction Security prior to satisfaction
of all secured claims (with the exception of a release expressly permitted under clause
24.14 (Release of security));

	 	(ix)	 	any provision of a Finance Document expressly requiring the consent of
all of the Lenders;

	 	(x)	 	the right of a Lender to assign its rights or delegate its obligations
under the Finance Documents; or

	 	(xi)	 	this section 27 shall be effective only with the consent of all of the
Lenders.

	b)	 	An amendment or waiver relating to the rights or obligations of any Administrative
Party shall require the consent of the Administrative Party in question.

	c)	 	To the extent that a Lender in Default has an available Commitment
and that Commitment of the Lender in Default is required for purposes
of calculating the Majority Lenders or of the percentage rate (including unanimity)
of the Total Commitment in order to grant a consent, a waiver or effect an amendment
or the like, then the Commitment of the Lender in Default will be reduced by
the amount of its available Commitment; where such a reduction causes the
Commitment of that Lender in Default
to be zero, then that Lender in Default shall not be considered a Lender
for purposes of calculation.

 

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For purposes of this section (c), the Facility Agent is entitled to assume that the
following Lenders are Lenders in Default:

	 	(i)	 	every Lender who has informed the Facility Agent that it is a
Lender in Default; or

	 	(ii)	 	every Lender as to which the Facility Agent is aware that one
of the facts listed in paragraphs (a), (b) or (c) of the definition of “Lender in
Default” applies to that Lender

provided that the Facility Agent has not received notice to the contrary from the
Lender in question (together with corresponding evidence reasonably requested by
the Facility Agent) or the Facility Agent has in some other manner become
aware that the Lender is no longer a Lender in Default.

27.3 Cumulative rights

The rights of each Finance Party under the Finance Documents:

	a)	 	may be exercised as often as necessary;

	b)	 	are cumulative in nature and do not preclude the rights of the Finance Party in
question under general provisions of law; and

	 
	c)	 	may be waived only by a written and express declaration of waiver.

Any delay in exercising or in failing to exercise a right shall not be deemed a waiver of that
right.

28. CHANGES TO THE PARTIES

28.1 Assignments and transfers by the Borrower

The Borrower may not assign, transfer or dispose of its rights under the Finance
Documents without the prior consent of all of Lenders. 

28.2 Group Companies as Lender

No Group Company or Affiliate of a Group Company may be a
Lender under one of the Facilities.

28.3 Transfers by the Lender

	a)	 	Any Lender (the Existing Lender) may at any time

	 	(i)	 	effect a change of its Facility Office without the prior consent of
the Borrower or of the Facility Agent by informing the Facility
Agent of the new Facility Office (which, in turn, shall inform the
Borrower thereof);

	 	(ii)	 	may transfer, assign, pledge or otherwise grant a security interest in all or
any part of its claims arising out of the Facilities to the European Central
Bank or another supra-national bank, a central bank, a member of the European Central
Bank system, a development bank, the European Investment Bank or any banking
institution corresponding thereto informally and without providing notice to, or
obtaining the consent of, any party to any Finance Document. However, this is
subject to the condition precedent that

	 	(A)	 	the Existing Lender is not (partially) released from
its obligations under this Agreement as a consequence of the transfer,
assignment, pledge or other security interest and the European Central Bank or
another supra-national bank, a central bank, a member of the European Central
Bank system, a development bank the European Investment Bank or any banking
institution corresponding
thereto does not accede as a party to this Agreement or another
Finance Document; and

 

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	 	(B)	 	on the basis of the transfer, assignment, pledge or other
security interest, the Lender or the Guarantor is not obliged
to make a payment and grant rights to any person exceeding the payments to be
made in each case to the Existing Lender or exceeding the rights to
which it is entitled under the Finance Documents;

	 	(iii)	 	may not, without the prior consent of the Lender, transfer its rights
and obligations under the Finance Documents to an Affiliate or to
another Existing Lender or to an Affiliate of another Lender
or transfer the same by way of novation [Vertragsübernahme]; and

	 	(iv)	 	may assign its rights or obligations under the Finance Documents with
the consent of the Lender to another bank or financial institution or transfer
the same by way of contract novation. If the Borrower fails to respond
favorably or unfavorably to an inquiry by the Existing Lender as to the
intended Transfer pursuant to this section a)(iv) within 5 Business
Days, then consent to the intended Transfer shall be deemed to have been
granted. In the context of this inquiry, reference shall be made to the constructive
consent after expiration of the 5 Business Day deadline without a response.
For as long as a Default is present and continuing, the Borrower’s
right of consent under this section a)(iv) shall not apply, and any Lender
is entitled to effect a Transfer without the need for consent to any third
party (including, in particular, to a trust, fund and other business enterprise that is
not affiliated with the Guarantor).

	b)	 	To the extent an Existing Lender transfers all or some of its rights and obligations
under this Agreement by way of novation to a new Lender (the New
Lender), a Transfer of this kind shall be effective only if it is
effected pursuant to subsection 28.5 infra (Transfer procedure). As a general principle, a
Transfer shall not require any further consent by the Borrower, provided
that the provisions of this subsection 28.3 are observed.

	c)	 	Unless otherwise agreed between the Borrower and Facility Agent, a
Transfer is possible only with respect to amounts of EUR [5,000,000] or more or, if a
lesser amount, then when the totality of rights and obligations of a Finance Party
under this Agreement are being transferred.

	d)	 	The aforementioned provisions on Transfer shall apply mutatis mutandis to any
assignment or transfer of rights and obligations arising out of the Finance Documents
to third parties by way of sub-participation and to the off-loading of credit risk through the
use of swaps or other derivatives.

28.4 Transfer fee

The New Lender shall pay a transfer fee of EUR 3,000 to the Facility Agent for
its own account no later than on the date of the Transfer.

28.5 Transfer procedure

	a)	 	A Transfer is effected when the Existing Lender and the New Lender
submit a duly completed and executed Transfer Certificate to the Facility
Agent (where appropriate with amendments which the Facility Agent has approved
or fairly requested), which the Facility Agent shall execute.

	b)	 	Subject to paragraph c), the Facility Agent shall execute without undue delay a
Transfer Certificate appearing on its face to be proper.

	c)	 	The Facility Agent shall be obliged to execute a Transfer
Certificate only once it is satisfied that it has complied with all necessary “know
your customer” checks with respect to the New Lender.

 

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	d)	 	Every Party hereby consents now and in advance to all Transfers under this
section section 28 provided that the procedure under subsection 28.3 a) has been observed.

	 
	e)	 	On the Transfer Date:

	 	(i)	 	the New Lender shall be deemed to assume the rights and obligations of
the Existing Lender which are the subject-matter of the Transfer
pursuant to the Transfer Certificate and shall be deemed to take the
place of the Existing Lender;

	 	(ii)	 	the Existing Lender shall be released from those rights and
obligations and shall lose and forfeit the same; and

	 	(iii)	 	the New Lender shall become a Party to this Agreement as a
Lender.

	f)	 	Notwithstanding paragraph e) above, the Parties hereby agree that the
Transfer shall not cause any existing right or obligation to be extinguished.

	g)	 	The Facility Agent shall inform the Borrower without undue delay about any
Transfer.

	h)	 	Each New Lender confirms by its execution of the Transfer
Certificate that the Facility Agent is authorized to execute amendments or
waivers on its behalf to which the required majority of Lenders pursuant to this
Agreement has consented prior to the Transfer Date and that the New
Lender shall by such consent be bound to the same extent as the Existing Lender.

29. DISCLOSURE OF INFORMATION

	a)	 	Every Finance Party bears an obligation to treat as confidential all
Confidential Information that it receives from or for Group Company in
connection with the Finance Documents.

For purposes of this section 29, Confidential Information is all information with
respect to the Borrower, the Group, the Finance Documents or the
Facilities that any Finance Party, in connection with this
Agreement in its capacity as a Finance Party

	 	(a)	 	receives from the Borrower or another Group Company (or one
of its advisors); or

	 	(b)	 	receives from another Finance Party, provided that that Finance
Party in turn received the information from the Borrower or another
Group Company (or from one of its advisors),

subject in each case to the exception of:

	 	(i)	 	information which is in the public domain (but not as a result of a breach of
this section 29 by the Finance Party);

	 	(ii)	 	information the Borrower or the respective Group Company (or
one of its advisors) has designated as non-confidential; and

	 	(iii)	 	information which was already known to the Finance Party before that
Party received the information pursuant to paragraph a) or b) hereof or which,
subsequent to its receipt pursuant to paragraph a) or b), lawfully received from
another source which is not associated with the Group, to the extent the
Finance Party does not positively know that this information was received as a
result of a breach of duties of confidentiality.

	b)	 	A Finance Party is authorized, however, to disclose information

	 	(i)	 	in court or arbitration proceedings in connection with the Finance
Documents;

	 	(ii)	 	where this is mandated by statute or other legal norms;

 

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	 	(iii)	 	to governmental authorities, bank regulators, tax authorities or other
supervisory authorities and rating agencies;

	 	(iv)	 	to its advisors (provided that they bear an obligation of confidentiality on
the basis of statutory or professional ethics rules/other rules customary in the
profession or on the basis of contract);

	 	(v)	 	to the other Finance Parties, the State Guarantor and the
Mandatary;

	 
	 	(vi)	 	to the extent permitted pursuant to paragraph c) above; or

	 	(vii)	 	to a trustee [Treuhänder] of a Finance Party (provided that they bear
an obligation of confidentiality on the basis of statutory or professional ethics
rules/other rules customary in the profession or on the basis of contract).

	c)	 	Any Finance Party is authorized to provide a copy of the Finance Documents
and any other information, which it has received in connection with the Finance
Documents, to any of its Affiliates or to any person with which it intends to
carry out or has carried out a Transfer, participation (including sub-participation),
hedging transaction, securitization (including synthetic securitization), any measure within
the meaning of paragraph a) of subsection 28.2 (Transfers by the Lenders) or any other
agreement referring to this Agreement, as well as to persons who, for technical,
organizational or legal reasons, must be involved in assessments of value or in completing a
measure of this kind (e.g., rating agencies, accountants, tax advisors, lawyers or notaries)
(each of which referred to as a Participant). Before any Participant may be
given any confidential information, it must agree with the Finance Party in question
that it shall treat this information as confidential pursuant to the terms of paragraph a)
above, unless an obligation of this kind already exists on the basis of statutory or
professional ethics/professional rules. Information may be provided both in hard-copy form and
by electronic means and by placing the information in a password-protected area of the
Internet. To such extent, the Borrower hereby releases the Finance Parties
from their obligations of banking secrecy.

	d)	 	This section 29 is deemed to replace and supersede all previous confidentiality obligations
of any Finance Party, which it entered into in connection with this
Agreement prior to becoming a Party to this Agreement.

30. PROVISIONS RELATING TO THE DEFICIENCY GUARANTY

30.1 Performance of obligations relating to the Federal/State Guarantor Decision

The Borrower hereby undertakes to perform and satisfy all such conditions, obligation and
requirements as are imposed upon it by the Deficiency Guaranty and the Federal/State
Guarantor Decision, and shall assume any and all obligations set forth therein and imposed on
it.

In particular:

	a)	 	the Borrower shall, at any time, permit the State Guarantor or its
Mandatary (either in person or by agents appointed by the foregoing) to conduct an
audit in order to examine the likelihood or the conditions precedent to any utilization of the
Deficiency Guaranty;

	b)	 	the Borrower hereby authorizes the Facility Agent, the Security Agent
and the Lenders to submit all Finance Documents and other documents
pertaining to the Facilities the Security Documents and the other
Finance Documents to the State Guarantor and the Mandatary, and
hereby undertakes to provide and make available to the State Guarantor and the
Mandatary any and all such documents as the latter may request in respect of the
Facilities, the Security Documents, the other Finance Documents and
the Federal/State Guarantor Decision;

 

- 64 -

 

	c)	 	the Borrower shall pay to the State Guarantor, in a timely fashion, all
such fees and in such amounts and at such times as are provided by the Federal/State
Guarantor Decision and the Deficiency Guaranty, including, above all, the
application fee described in Item B. I., the issuance fee described in Item B. II and the
guaranty fee described in Item B. III of the “Instructions for Applying for Federal Loan
Guarantees in Connection with Parallel State Guarantees” in the version of 10 May 2010 as
appended in Schedule 7;

	d)	 	the Borrower hereby expressly confirms that it has taken notice of the legal
significance of the subsidies arising out of the Federal/State Guarantor Decision;

	e)	 	the Borrower hereby releases the Finance Parties from their duties of
confidentiality vis-à-vis the State Guarantor and the Mandatary; and

	f)	 	the Borrower shall consent to disclosure of the grant decision, including the
material grounds of such decision, to the extent that disclosure is necessary in the
discretion of the Federal Ministry of Economic and Technology or of the Federal State of
Brandenburg Ministry of Commerce and Finance in order to keep the public informed.
Furthermore, the Federal Ministry of Economics and Technology and the Federal State of
Brandenburg Ministry of Commerce and Finance are authorized to provide information to the
competent committees of the German Bundestag and the respective Landtage bodies in a
confidential fashion.

30.2 Additional security

In order to secure the obligations under the present Agreement and the other Finance
Documents, the Borrower shall,

	a)	 	in the event the security deteriorates (above all through an impairment of value and/all
losses), provide additional security upon request; and

	b)	 	grant security interests in the real property, which is or should be at any one time used for
the operational purposes of the Production Facility FF02 and, in each case with the exception of
the land which is currently used for the production facility and which is located along the street
“Marie Curie Strasse” in Frankfurt/Oder (land register of the City of Frankfurt/Order, plat 133,
lot 1569).

30.3 Guaranty

The Guaranty shall be enforced first against the Deficiency Guranty and will not
lead to any recourse or adjustment claims against the State Guarantors.

30.4 Deficiency liability

The anount of the deficiency liability of the State Guarantors is based the amount assumed
by the State Guarantors under the Deficiency Guaranty.

30.5 Reclamation and recycling systems

	a)	 	The Borrower shall maintain the current reclamation and recycling system at all
times and shall ensure, in this respect, that the solar modules introduced into the market by
Affiliates of the Guarantor are capable of being returned, reclaimed and
recycled unconditionally, free of charge and even in the event of the Borrower’s
insolvency.

	b)	 	No later than 120 days after the end of every fiscal year, the Borrower shall
deliver to the Facility Agent a confirmation of its auditor that substantiates that a
reclamation and recycling system is being maintained in accordance with Decision BB 393 (B) of
30 June/4 July 2006 as well as the reasonableness of the invested amounts that will not become
part of the insolvency estate (insolvenzreif). An auditor may submit a confirmation containing
such content in connection with the annual financial statements.

 

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30.6 Duties of information

	a)	 	The Facility Agent shall provide, in electronic form pursuant to subsection 33.2 (Electronic
communication), the documents submitted by the Borrower pursuant to subsection 19.1
(Financial statements and reports), subsection 19.4 (Business Plan), subsection 19.5
(Compliance Certificate) and subsection 19.6 (Miscellaneous information) to the State
Guarantor.

	b)	 	The Facility Agent shall notify the State Guarantor without undue delay if

	 	(i)	 	it determines that the Borrower is in arrears in making its agreed
interest or principal payments on the Loan for a period in excess of three
months;

	 	(ii)	 	it determines that other material contractual credit obligations have been
breached;

	 	(iii)	 	it determines that material details of statements with respect to the assets
and income of the Borrower have been subsequently revealed to be incorrect or
incomplete;

	 	(iv)	 	it learns that the Borrower will cease to make payments or that an
petition is being made to commence insolvency proceedings over the assets of the
Borrower or that compulsory judicial enforcement is being levied on
significant portions of its assets;

	 	(v)	 	it gains knowledge of other circumstances that, in its opinion, would place
repayment of the guaranteed credit at risk.

30.7 Required approvals

In addition to the conditions precedent contemplated under the relevant provisions of this
Agreement, the following measures require the approval of the State Guarantors:

	a)	 	creation or preservation of security in rem pursuant to paragraph c)(xi) of subsection
21.4 (No encumbrances or security)

	b)	 	any alienation and/or disposition under paragraph b) (viii) of subsection 21.5
(Sales/Disposals);

	 
	c)	 	taking any measures falling under subsection 21.6 (Reorganisations);

	d)	 	incurring Financial Indebtedness pursuant to paragraph b) (iv) of subsection 21.13
(Financial Indebtedness) which would be owed to Affiliates (with the exception of the
Guarantor, First Solar GmbH and First Solar Holdings GmbH), to the extent that such
new financial indebtedness is not incurred in the ordinary course of business (provided that
transactions with companies other than those mentioned above, under which Financial
Indebtedness is incurred, shall up to an aggregate amount of EUR 50,000,000 in the
relevant fiscal year always in any event be deemed actions taken in the ordinary course of
business) and paragraph b) (vii) of subsection 21.13 (Financial Indebtedness);

	e)	 	granting or extendingloans and credits pursuant to paragraph b) (v) of subsection 21.14
(Grant of loans);

	f)	 	the provision of guarantees or indemnities under paragraph b)(vi) of subsection 21.15 (No
guarantees or indemnities);

	g)	 	any action falling within paragraph a) of subsection 21.16 (Acquisitions and joint ventures),
and

	h)	 	material new real investments for the FFO II Production Facility, subject to the following
agreed exceptions: (i) servicing, maintenance, repair and modernization measures; (ii) actions
or measures, which are included in the Business Plan that forms the basis of the
Federal/State Guarantor Decision; and /or (iii) real investments of less than EUR
10,000,000 in the relevant single case.

 

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30.8 Coordination of acceleration with State Guarantor

The Parties hereby agree that:

	a)	 	the Lenders hereby instruct the Facility Agent to take the actions
referenced in subsection 22.20 (Acceleration) where the State Guarantor asks it to
do so upon the occurrence of a Default, which is listed in Annex II (Model Loan
Agreement) of the State/Guarantor Guarantor Decision (taking account of the
justified concerns of the Lenders); and

	b)	 	any waiver of rights with respect to one of the Defaults referenced in paragraph a)
may be given only with the prior consent of the State Guarantor, except where the
waiver of rights pertains to deferrals of interest and principal payments which are
appropriate in the circumstances, up to a maximum deferral of six months and a maximum amount
of one due and payable installment of interest and principal.

30.9 Relations with Agents

	a)	 	The Facility Agent shall additionally notify the State Guarantor
where it bears a duty of information pursuant to subsection 23.2 (Duties of Facility Agent)
paragraph d).

	b)	 	The Security Agent shall forward electronic copies of the Security Documents
to the State Guarantor upon request for its independent review.

30.10 Release and realization of security

	a)	 	Prior to complete satisfaction of the secured claims, any release of Transaction
Security shall (subject to the further provisions of subsection 24.14 (Release of
security)) also requires the consent of the State Guarantors.

	b)	 	No consent of the State Guarantors is required in order to realize on security
pursuant to subsection 24.15 (Realization or sale of Security).

	c)	 	The Parties hereby recognize and acknowledge that the State Guarantors have
the right to engage authorized agents in the administration of the Deficiency
Guarantee.

30.11 Amendments to Finance Documents

	a)	 	A term of any Finance Document may be amended only with the consent of the State
Guarantors. The foregoing shall not apply to terms relating merely to the relations of
the Finance Parties inter se, as well as relating to deferrals appropriate under the
circumstances of interest and principal payments up to a maximum deferral of six months and a
maximum amount of one due and payable installment of interest and principal.

	b)	 	Prior to complete satisfaction of the secured claims, any amendments to the Security
Documents shall also require the consent of the State Guarantors.

30.12 Transfers by the Lenders

Any assignment or novation pursuant to paragraphs a) (iii) or a) (iv) of subsection 28.3
(Transfer by the Lenders) in respect of the Facility shall require the prior
consent of the State Guarantors. The foregoing shall also apply to any grant of
equitable sub-participation [wirtschaftliche Unterbeteiligung].

30.13 Written communications

All communications to the State Guarantors must be directed to the Mandatary at
the following address (unless the Mandatary provides written notice to the Parties to this
Agreement at a later point in time of a different address):

	 	 	 
	Mandatary

	 	PricewaterhouseCoopers AG Wirtschaftsprüfungsgesellschaft
	`

	 	Attention: Ms Solveig Gute
	 

	 	Lise-Meinter-Str 1
	 

	 	10598 Berlin 
	 

	 	Fax: + 49 30 2636-1221

 

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31. TERMS OF FEDERAL/STATE GUARANTOR DECISION

	a)	 	Subject to the provisions set forth below, the provisions of the Federal/State Guarantor
Decision (Bürgschaftsentscheidung) set out in Schedule 8 (Federal/State Guarantor
Decision) shall constitute an integral part of, and be incorporated by reference into, this
Agreement, even if they are not expressly covered by the present Agreement.
In the event of contradictions between the provisions of the Federal/State Guarantor
Decision and the terms of this Agreement, the provisions of the
Federal/State Guarantor Decision shall prevail.

	 
	b)	 	The following provision shall be construed as follows:

With respect to the requirement of the respective current planning, condition H.II b) of the
Federal/State Guarantor Decision shall be construed in such a manner that a proper
servicing of the guaranteed Loans shall be deemed to have been ensured if the
Borrower complies with the obligations under subsections 21.22 (Debt service reserve
account) and 21.23 (Minimum liquidity).

32. SEVERABILITY

	a)	 	Where any term of a Finance Document is deemed to be or become illegal, ineffective
or unenforceable under any legal system, this shall have no effect on the legality,
effectiveness or enforceability (i) of all of the other terms of the Finance
Documents in such legal system or (ii) of this or any other term of the Finance
Documents in other legal systems.

	b)	 	The illegal, ineffective or unenforceable term shall be deemed replaced by such lawful,
effective and enforceable term that most closely reflects, in commercial respects, the purpose
of the replaced term. The same shall apply where, in the course of performing a Finance
Document, a contractual gap requiring supplementation is identified.

33. NOTICES

33.1 Communications in writing

	a)	 	Each communication in connection with a Finance Document shall be made in writing
and may, unless otherwise provided:

	 	(i)	 	be made by personal delivery and by mail; or

	 	(ii)	 	unless a Party expressly objects thereto, also by e-mail (to at least
two addressees), fax or by means of other types of electronic communications.

The Facility Agent assumes no liability whatsoever for losses resulting from
dissemination of information by electronic means. The foregoing also applies in cases of
unauthorized access or breaches of duties of confidentiality.

	b)	 	Unless otherwise provided, every consent or agreement in connection with a Finance
Document must be in written form. For purposes of the Finance Documents,
electronic communications are deemed to be written communications.

	c)	 	Any communication to or from the Borrower relating to a Finance Document
(with the exception of the Transaction Securities) must be dispatched via the
Facility Agent.

	d)	 	All notices to or from the Borrower relating to the Transaction Securities,
must be dispatched via the Security Agent.

33.2 Electronic communication

An Agent may satisfy its obligations under the Finance Documents to submit
Finance Documents and information, communications and other documents in connection with
Finance Documents by publishing them on such electronic website as the Agent
shall designate for this
purpose, provided that the Agent notifies the Lenders and, to the extent
applicable, the State Guarantor and/or the Mandatary of the IP address (and,
where applicable, any associated passwords) for such a website.

 

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33.3 Addresses for communications

	a)	 	Unless otherwise provided below, all communications in connection with the Finance
Documents must be made to the address communicated by the Party in question for
this purpose to the Facility Agent by a date no later than the date on which that
party became a Party to a Finance Document.

	c)	 	Any Party may change its address by notifying the Facility Agent (in the
case of the Facility Agent: the other Parties) five (5) Working
Days in advance. Where a Finance Party designates a particular department or a
particular correspondent as the recipient for a communication, then a communication will not
be effective unless it is made to that department or that correspondent.

33.4 Effective delivery

	a)	 	Unless otherwise provided below, any communication in connection with a Finance Document
shall be deemed to have been received:

	 	(i)	 	if by delivery in person — on the date of personal delivery;

	 	(ii)	 	if by way of letter — when it has been deposited at the post office in a
correctly addressed envelope, postage prepaid; and

	 	(iii)	 	if by way of fax, e-mail or by other means of electronic communication — when
received in legible form.

	b)	 	Any communication under the foregoing paragraph a) which arrives at its destination on a
non-working day or outside of business hours shall be deemed delivered on the next working day
at that destination.

	c)	 	Any communication to the Facility Agent shall be effective only when actually
received.

33.5 Communication in the event of Impaired Facility Agent

If the Facility Agent becomes an Impaired Facility Agent, the Parties may,
instead of communicating with each other through the Facility Agent, communicate with each
other directly, and (while the Facility Agent remains an Impaired Facility Agent)
all of the provisions of the Finance Documents, which require communications to be
made or notices to be given to or by the Facility Agent, shall be varied so that
communications may be made directly to or by the relevant parties. This provision shall not operate
after a new replacement Facility Agent has been appointed.

33.6 Language

Any communication made in connection with a Finance Document shall be in German or
English. Any other document that is submitted in connection with a Finance Documents must
be in German or English or, unless otherwise agreed with the Facility Agent, shall be
submitted together with a German translation. In such case, the German translation will prevail
unless the document is an official document.

34. GOVERNING LAW AND JURISDICTION

	a)	 	This Agreement (and all extra-contractual rights and obligations in connection with
this Agreement) shall be governed by German law.

	b)	 	Jurisdiction and venue for all disputes in connection with this Agreement (including
all disputes in respect of extra-contractual rights and obligations in connection with this
Agreement) shall lie with the courts of Frankfurt am Main, Germany. However, the
Finance Parties are entitled to bring an action in any other court with jurisdiction.

 

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35. CONCLUSION OF THIS AGREEMENT

	a)	 	The Parties may choose to conclude this Agreement by an exchange of signed signature
pages, transmitted by means of telecommunication (telekommunikativer Übermittlung) by way of
fax or attached as an electronic photocopy (pdf., tif., etc.) to electronic mail.

	b)	 	If the Parties choose to conclude this Agreement in accordance with
paragraph (a) above, they will transmit the signed signature pages to White & Case LLP, c/o Ms
Sabine Schomaker/Mr Clemens Niedner, fax: +49 69 299 94 1444, E-mail:
sschomaker@whitecase.com/cniedner@whitecase.com (the Recipient). This agreement shall
be deemed concluded once the Recipient has actually received the executed signature
pages of all Parties to this Agreement and at the time of receipt of the last
outstanding signature page. The Parties agree to send six originals of the signature
pages to the Recipient.

	c)	 	For the purposes of this section 35 only, the Parties to this Agreement designate
the Recipient as the agent of receipt (Empfangsvertreter) and expressly permit the
Recipient to collect the executed signature pages from all and for all of the
Parties to this agreement. The Recipient shall have no further obligations
in its capacity as Recipient. The Recipient may assume that the signature
pages received by means of telecommunication comport with the originals, that the signatures
on the signature pages are genuine and that the signatories have signature authority.

	d)	 	This Agreement has been entered into on the date stated at the beginning of this
Agreement.

 

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SCHEDULE 1

THE ORIGINAL PARTIES

PART I

THE BORROWER

	 	 	 	 	 
	 	 	 	 	Commercial registration number
	Borrower	 	Jurisdiction	 	(or equivalent, if any)
	First Solar Manufacturing GmbH

	 	Germany
	 	HRB 11116, Frankfurt/Oder Municipal Court

 

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PART II

THE ORIGINAL LENDERS

	 	 	 	 	 
	 	 	Commitments	 
	Original Lender	 	(EUR)	 
	Commerzbank Aktiengesellschaft
	 	 	48,500,000	 
	 
	 	 	 	 
	Sachsen Bank
	 	 	38,000,000	 
	Norddeutsche Landesbank — Girozentrale
	 	 	38,000,000	 
	 
	 	 	 
	 
	 	 	 	 
	Total Commitment
	 	 	124,500,000	 
	 
	 	 	 

 

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SCHEDULE 2

PART I

ORIGINAL CONDITIONS PRECEDENT TO DISBURSEMENT

	A.	 	Corporate documents

	 
	1.	 	With respect to Borrower 

	 	a)	 	Current copies of Borrower’s corporate documents (certified articles
of association/incorporation [beglaubigter Gesellschaftsvertrag] / certified bylaws
[beglaubigte Satzung], certified extract from the Commercial Register and the internal
rules of procedure of the executive board and supervisory board, if any).

	 
	 	b)	 	A copy of the shareholder resolution of the Borrower

	 	(i)	 	consenting to conclusion of the Finance Documents, the
obligations and transactions contemplated therein and the terms thereof and
resolving to execute, deliver and perform the Finance Documents;

	 	(ii)	 	authorizing a particular person/particular persons to execute
the Finance Documents, to which the Borrower is a party, on
its behalf; and

	 	(iii)	 	authorizing a particular person/particular persons on behalf
of the Borrower to execute and deliver all documents and
communications (including any Notices of Utilization) that the
Borrower must execute/deliver in connection with the Finance
Documents to which the Borrower is a party.

	 	c)	 	Written confirmation (Formalities Certificate) of an authorized signatory of the
Borrower

	 	(i)	 	containing the name and specimen signature of the individuals
with authorization to execute the Finance Documents on behalf of the
Borrower; and

	 	(ii)	 	that the documents referenced in the foregoing paragraphs a)
and b) and attached to the certificate are correct, complete and fully in force
as of the First Utilization Date.

	2.	 	With respect to First Solar Inc.:

	 	a)	 	Current copies of the corporate constitutive documents (certificate or articles
of incorporation or organization or formation) and of its by-laws as well as all
agreements, official documents, applications and notices relating thereto, submitted to
the competent authorities of the country of formation in connection with the formation
or organization of First Solar Inc., and, where applicable, all constitutive documents
and/or constitutive agreements for the relevant legal entity.

	 
	 	b)	 	A copy of the resolution of First Solar Inc.’s board of directors

	 	(i)	 	consenting to entering into the Guaranty, consenting
to the obligations and transactions and the terms thereof contemplated therein,
and resolving to execute, deliver and perform the same, and

	 	(ii)	 	authorizing a particular individual and/or particular
individuals to execute and deliver the Guaranty on its behalf.

 

- 73 -

 

	 	c)	 	A current certificate of good standing for First Solar Inc. recently issued by
the competent office (Secretary of State or another competent official of a government
agency) in the legal system of formation of First Solar Inc.

	 
	 	d)	 	Formalities Certificate of an authorized signatory of First Solar Inc.

	 	(i)	 	containing the names and specimen signatures of those
individuals who are authorized to execute the Finance Documents on
behalf of First Solar Inc.; and

	 	(ii)	 	indicating that the documents listed in paragraphs a) through
c) and the documents attached to the certificate are correct, complete and
fully in force on the First Utilization Date.

	B.	 	Financial statements and business plan

	1.	 	The Original Financial Statements.

	2.	 	Business Plan for fiscal 2011.

	C.	 	Financing documents

	1.	 	This Agreement.

	2.	 	The Security Documents in executed form as listed in Schedule 2, Part II (Security
Agreements prior to Initial Utilization).

	3.	 	Executed Fee Agreements.

	4.	 	The executed deed with respect to the valid Deficiency Guaranty together with
Federal/State Guarantor Decision.

	D.	 	Legal opinions

The following legal opinions, each addressed to the Original Lenders, the Facility
Agent and the Security Agent:

	1.	 	A legal opinion of White & Case LLP as German legal advisors to the Facility Agent
with respect to this Agreement and the Security Documents under German law.

	2.	 	A legal opinion of White & Case LLP as German legal advisors to the Facility Agent
with respect to the notification obligation for the Deficiency Guaranty.

	3.	 	Legal opinion of White & Case LLP, as the German legal advisor of the Facility Agent
with respect to the Borrower’s execution of the Finance Documents.

	4.	 	Legal opinion of Cravath, Swaine & Moore LLP, as US legal advisor of the Guarantor
with respect to the Guarantor’s execution of the Guaranty.

	E.	 	Miscellaneous

	1.	 	The Group Organizational Chart.

	2.	 	Copy of the US Credit agreement;

	3.	 	Copies of the correspondence with the Mandatary in its capacity as the mandatary of
the Federal Government and of the German Federal State of Brandenburg, amending, specifying or
commenting on the Federal/State Guarantor Decision, the Deficiency Guarantee
or the terms of this Agreement, arising on or before the date of closing of this
Agreement;

 

- 74 -

 

	4.	 	Confirmation of the Borrower’s insurance broker with respect to the reasonableness
and completeness of the existing insurance package;

	5.	 	Evidence that all commissions, fees and costs which are due and payable by the
Borrower pursuant to the Finance Documents at this point in time have been
paid or shall be paid on the first Utilization Date.

	6.	 	Submission of the Preservation of Capital Statement.

	7.	 	Evidence that Borrower has equity capital available to it of at least EUR 27,189,000
at execution of this Agreement and was applied to the construction of Production
Facility FFO2.

	8.	 	Confirmation of M + W Germany GmbH, as the Borrower’s general contractor for the
construction of the Production Facility FFO2, particularly with respect to the
existence of all of the regulatory Authorizations and Permits required for the
construction of Production Facility FFO2.

	9.	 	Evidence that the investment subsidies and grants budgeted in connection with construction of
the FFO2 Production Facility and equaling EUR 22,500,000 (minus the value of the
State aid of the Deficiency Guaranty) have been accepted or can be claimed by the
Borrower in the case of a grant. Insofar as the investment subsidies have not yet been
disbursed in full, evidence shall be furnished that the differential is available to the
Borrower in the form of its own capital resources.

	10.	 	Evidence that the Debt Service Reserve Account has been opened and credited with an amount of
EUR 16,600,000 or is credited on the initial Utilization Date.

 

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SCHEDULE 2

PART II

SECURITY AGREEMENTS PRIOR TO INITIAL UTILISATION

	1.	 	GERMANY

	 	a)	 	First-ranking registered land charges [Buchgrundschulden] immediately
enforceable in rem and in personam (including the related declaration of the purpose
for creating the security interest) in the full amount of the loan with respect to the
Borrower’s real property located in the city of Frankfurt/Oder, along the
street “Marie Curie Strasse”, folio no. 17248, plat 133, lot 1682, and registered on
the Land Register of Frankfurt/Oder Municipal Court;

	 	b)	 	Creation of security interests [Sicherungsübereignung] in all movable goods
belonging to the FFO2 Production Facility.

	 	c)	 	Account pledge agreement relating to the Debt Service Reserve Account

	2.	 	USA

	 	a)	 	Unconditional and irrevocable Guaranty (guaranty agreement) of First Solar Inc.
in favor of the Security Agent pursuant to German law, in the amount of all
sums owed under the Finance Documents.

 

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SCHEDULE 3

UTILIZATION REQUEST AND SELECTION NOTICE

PART I

SPECIMEN OF A UTILIZATION REQUEST

	 	 	 
	To:

	 	[     ] Facility Agent
	 
	 	 
	From:

	 	First Solar Manufacturing GmbH
	 
	 	 
	Date:

	 	[Date]

EUR 124,500,000 credit agreement dated 18 May 2011 by and between, inter alia, First Solar
Manufacturing GmbH, as the Borrower, and Commerzbank Aktiengesellschaft, as the Arranger
(hereinafter Credit Agreement)

	1.	 	We refer to the Credit Agreement. This is a Utilization Request. All terms used in
this Utilization Request have the same meaning as in the Credit Agreement unless
given a different meaning herein.

	2.	 	We wish to utilize a cash Loan on the following terms:

	 	(i)	 	Utilization date: [     ]

	 
	 	(ii)	 	Amount: EUR [     ]

	 
	 	(iii)	 	Interest period: [     ]

	 
	 	(iv)	 	Purpose: [     ]

	3.	 	Our payment instructions are: [     ].

	4.	 	We hereby confirm that all conditions precedent to disbursement pursuant to subsection 4.1
(Required documents) of the Credit Agreement are met this day and, to our current
knowledge, will be met on the date of Utilization.

	5.	 	We hereby confirm that both today and on the date of Utilization there is no
Element of Default nor will any Default arise due to the Utilization.

	6.	 	We hereby confirm that [[Representations pursuant to section 18 (Representations)]/
[Repeating Representations1]] are correct on today’s date and, to our
present knowledge, will be correct on the date of Utilization, with respect to such
circumstances that exist on each such date.

	7.	 	This Utilization Request is irrevocable.

First Solar Manufacturing GmbH

	 	 	 	 	 	 	 	 	 
	Executed by:
	 	 	 	 	 	 	 	 
	 

	 	 

	 	 
	 	 

	 	 
	Name of
signatories:
	 	 	 	 	 	 	 	 
	 

	 	 

	 	 
	 	 

	 	 

 

	 	 	 
	1	 	Limitation on repeating representations does not apply
to utilizations on the First Utilization Date.

 

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PART II

SPECIMENT OF SELECTION NOTICE

	 	 	 
	To:

	 	[     ] as Facility Agent
	 
	 	 
	From:

	 	First Solar Manufacturing GmbH
	 
	 	 
	Date:

	 	[Date]

EUR 124,500,000 credit agreement dated 18 May 2011 by and between, inter alia, First Solar
Manufacturing GmbH, as the Borrower, and Commerzbank Aktiengesellschaft, as the Arranger
(hereinafter Credit Agreement)

	1.	 	We refer to the Credit Agreement. This is an Selection Notice. All terms
used in this Selection Notice have the same meaning as in the Credit
Agreement, unless a different meaning is given to them herein.

	 
	2.	 	We refer to the Loan [     ], the Interest Period of which ends on [     ].

	3.	 	The next Interest Period for the above-referenced Loan is intended to run
for [Duration of interest period].

	4.	 	We confirm that all of the Repeating Representations are correct as of the date of
this Selection Notice.

	 
	5.	 	This Interest Period Notice is irrevocable.

First Solar Manufacturing GmbH

	 	 	 	 	 	 	 	 	 
	Executed by:
	 	 	 	 	 	 	 	 
	 

	 	 

	 	 
	 	 

	 	 
	Name of
signatories:
	 	 	 	 	 	 	 	 
	 

	 	 

	 	 
	 	 

	 	 

 

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SCHEDULE 4

FORM OF TRANSFER CERTIFICATE

	 	 	 
	To:

	 	[     ] as Facility Agent
	 
	 	 
	From:

	 	[The Existing Lender] (the Existing Lender and
	 

	 	[The New Lender] (the New Lender)
	 
	 	 
	Date:

	 	[     ]

EUR 124,500,000 credit agreement dated 18 May 2011 by and between, inter alia, First Solar
Manufacturing GmbH as the Borrower and Commerzbank Aktiengesellschaft as the Arranger (hereinafter
Credit Agreement)

We refer to the Credit Agreement. This is a Transfer Certificate. All terms used in this
Transfer Certificate have the same meaning as in the Credit Agreement, unless they are
given a different meaning herein.

	1.	 	The Existing Lender hereby transfers to the New Lender, who accepts the
transfer, its rights and obligations under the Credit Agreement by way of novation
[Vertragsübernahme], to the scope and extent shown in the Schedule.

	2.	 	The proposed Transfer Date is [     ].

	3.	 	The administrative information of the New Lender needed for purposes of the
Credit Agreement are shown in the Schedule.

	4.	 	The New Lender hereby ratifies all legal acts undertaken by the Security
Agent under the Finance Documents for the New Lender prior to the date
of this Transfer Certificate.

	5.	 	The Existing Lender and the New Lender hereby agree that the Existing
Lender shall bear no liability to the New Lender with respect to the legality,
validity, reasonableness, correctness, completeness or performance:

	 	(i)	 	of a Finance Document or any other document related thereto; or

	 	(ii)	 	of written or oral details or information made or submitted in connection with
any Finance Document,

and that all statutory warranties have been disclaimed to the extent allowed by law.

	6.	 	The New Lender hereby confirms to the Existing Lender and the other
Finance Parties that it:

	 	(i)	 	has conducted its own independent review of all of the risks in connection with
the Finance Documents (including the financial situation and affairs of the
Borrower, of the Guarantor and its Affiliates as well as the
type and scope of any claim for recourse against a Party to this Credit
Agreement) and in connection with its participation therein and shall continue to
do so: and

	 	(ii)	 	has not relied on information provided to it by the Existing Lender in
connection with any Finance Documents.

	7.	 	The Existing Lender and the New Lender hereby agree that the Existing
Lender shall not be obliged under any Finance Document:

	 	(i)	 	to accept any re-assignment to it of the rights or obligations transferred by
this Transfer Certificate; or

 

- 79 -

 

	 	(ii)	 	to accept any share of losses the New Lender incurs on the basis of
non-performance of the Borrower’s obligations/of the Guarantor’s
obligations under the Finance Documents or otherwise.

	8.	 	The New Lender confirms that it is able to release the Agents2
from the limitations of § 181 of the German Civil Code.

	9.	 	The New Lender shall give all required notices in connection with the transfer of
the rights and obligations, Loans and/or Commitments listed in the Schedule.

	10.	 	This Transfer Certificate is governed by German law.

	11.	 	The New Lender’s VAT identification number is [•]3.

 

	 	 	 
	2	 	Where applicable, the word “not” should be added here.

	 
	3	 	This transfer certificate must be prepared taking into
account the consent requirements and constructive consent time periods of
subsections 28.3 and 30.10 of the Credit Facility Agreement.

 

- 80 -

 

Annex to Schedule 4

Rights and obligations being transferred by way of novation [Vertragsübernahme]

[insert relevant details, including the relevant Commitments]

Administrative details of New Lender

[Insert details of Facility Office, address for communications and payment details]

	 	 	 
	[Existing Lender]

	 	[New Lender]
	 
	 	 
	Executed by:

	 	Executed by:

The Facility Agent hereby confirms the Transfer Date as follows [DATE].

[Facility Agent]

Executed by:

 

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SCHEDULE 5

PART I

FORM OF COMPLIANCE CERTIFICATE

	 	 	 
	To:

	 	Commerzbank Aktiengesellschaft, Luxembourg branch as Facility Agent
	 
	 	 
	 

	 	25, Rue Edward Steichen 
	 

	 	L-2040 Luxembourg
	 

	 	Attn: [     ]
	 

	 	Fax: +352 346868 3222
	 
	 	 
	From:

	 	First Solar Manufacturing GmbH
	 
	 	 
	Date:

	 	[Date]

EUR 124,500,000 credit agreement dated 18 May 2011 by and between, inter alia, First Solar
Manufacturing GmbH, as the Borrower, and Commerzbank Aktiengesellschaft, as the Arranger
(hereinafter Credit Agreement)

	1.	 	We refer to the Credit Agreement. This is a Compliance Certificate.

	 
	2.	 	We confirm that on the [Reference Date] the figures and ratios were as follows:

	 	a)	 	Minimum Liquidity: USD [     ]

	 
	 	b)	 	EBITDA: USD [     ]

	 
	 	c)	 	Gearing Ratio

- EBITDA: [     ]

- Net Financial Indebtedness: [     ]

- Ratio of Net Financial Indebtedness to EBITDA: [     ] to 1

	3.	 	We attach the detailed calculations set forth below and a confirmation of First Solar Inc.
reflecting the foregoing financials.

	4.	 	We confirm that as of [Reference Date] no Default  had occurred.

First Solar Manufacturing GmbH

	 	 	 	 	 	 	 	 	 
	Executed by:
	 	 	 	 	 	 	 	 
	 

	 	 

	 	 
	 	 

	 	 
	Name of
signatories:
	 	 	 	 	 	 	 	 
	 

	 	 

	 	 
	 	 

	 	 

 

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SCHEDULE 5

PART II

FINANCIAL RATIOS

1. Minimum liquidity

The Minimum Liquidity of the Group (defined as “Liquidity Availability” in the US
Credit Agreement) may not at any time fall below USD 400,000,000.

2. EBITDA requirement

On the relevant testing dates for the preceding 12-month-period in each case, the consolidated
EBITDA (defined as “Consolidated EBITDA” in the US Credit Agreement) of the Guarantor and
certain group companies (defined as “Restricted Subsidiaries” in the US Credit Agreement)
may not fall below the value shown next to the respective period.

	 	 	 	 	 
	Period	 	 	 
	following the Closing Date (as defined in the	 	 	 
	US Credit Agreement)	 	EBITDA in USD	 
	 
	 	 	 	 
	in years 1 through 3
	 	 	400,000,000	 
	 
	 	 	 	 
	in year 4
	 	 	500,000,000	 
	 
	 	 	 	 
	beginning year 5
	 	 	600,000,000	 

3. Gearing ratio (Leverage)

The Gearing Ratio (defined as “Consolidated Leverage Ratio” in the US Credit
Agreement) (Net Financial Debt (defined as “Consolidated Total Debt” in the US
Credit Agreement) relative to consolidated EBITDA (defined as “Consolidated EBITDA” in the
US Credit Agreement)) may not at any point in time fall below 1.75:1.00.

Definitions

The calculation of the Financial Ratios shall in detail be made in accordance with
the provisions of the the US Credit Agreement in the version in force at the time
this Agreement is signed. The respective English terms defined in the US Credit
Agreement are added above in parenthesis.

 

- 83 -

 

SCHEDULE 6

GROUP ORGANIZATIONAL CHART

(to follow)

 

- 84 -

 

SCHEDULE 7

FEDERAL/STATE GUARANTOR DECISION

PART I

FEDERAL/STATE GUARANTOR DECISION

Decision

on the Application for Guaranty made by

First Solar Manufacturing GmbH

(Inter-ministerial meeting held on 2 November 2010 and 26 November 2010)

A. Borrower

First Solar Manufacturing GmbH, Marie-Curie-Straße 3, 15236 Frankfurt/Oder (FSM)

B. Lender

Syndicate under the management of Commerzbank AG Luxembourg Branch, 25, rue Edward Steichen, L-2540
Luxembourg.

C. Amount of loan

Investment credit: EUR 124,500,000

Unless this decision provides otherwise, the investment credit must be concluded on the basis of
the model loan agreement in accordance with the “instructions (version 10 May 2010) known to the
Borrower and the Lender, for the federal guaranty and the guaranty issued by the German Federal
State of Brandenburg.

D. Terms and conditions of the loan

	 	 	 
	Disbursement:

	 	100 % 
	 
	 	 
	Interest rate:

	 	EURIBOR plus margin equal to 135 basis points per annum
	 
	 	 
	Interest period:

	 	selectable, three or six months

 

- 85 -

 

	 	 	 
	Term:

	 	8.5 years from the signing of the credit agreement (term expected to run through 31 August 2019) 
	 
	 	 
	Commitment period:

	 	17 months from the signing of the credit agreement (utilization periods) 
	 
	 	 
	Commitment fee:

	 	35% of the margin per annum on the amount, which is not utilised during the utilization periods and is not terminated 
	 
	 	 
	Repayment:

	 	15 semi-annual instalments of EUR 8,300,000; beginning 18 months after the signing of the credit agreement (repayment period expected to commence on 31 August 2012) 
	 
	 	 
	Structuring fee:

	 	EUR 311,250 (0.25% of the loan amount)
	 
	 	 
	Arrangement fee:

	 	EUR 124,500 (0.10% of the loan amount)
	 
	 	 
	Participation fee:

	 	EUR 809,250 (0.65% of the loan amount)
	 
	 	 
	Agency/Security Fee:

	 	EUR 30,000 per annum
	 
	 	 
	Planned securitisation period:

	 	no later than 6 months after the guarantor decision is issued.

If the credit agreement is not executed within the aforementioned period, then the guaranty
commitment made by the Federal Government and the Federal State Government of Brandenburg will
expire. Upon well-grounded application, the guarantors may, however, extend the deadline.

E. Guarantees of the Federal Government and the German Federal State of Brandenburg

Investment credit: EUR 124,500,000 

A total of 70% of the deficiency existing after the realisation of security in accordance with the
form instrument BUND/LÄNDER deficiency guarantee (without a right to ex ante satisfaction
[Vorabbefriedigungsrecht]), pursuant to the “instructions” (version 10 May 2010) for the guaranty
of the Federal Government and the German Federal State of Brandenburg.

The guarantees are furnished in the form of proportionate parallel guarantees equal to 42% from the
Federal Government and 28% from the German Federal State of Brandenburg.

Notwithstanding the interest margin agreed to with the Borrowers, the guarantee coverage will
include merely a margin of 1.0% per annum.

The participation fee agreed to between the Lender and the Borrower will generally be applied to
reduce the deficiency in the event that the public deficiency guarantees issued by the Federal
Government and the German Federal State of Brandenburg are utilised. The basis for calculating the
deficiency will not be lowered, however, if the fee could have been collected in the form of a
correspondingly higher margin over the entire term of the loan until the date of the deficiency.

 

- 86 -

 

F. Use of credit

Partial funding for financing the land purchase and the construction of four additional production
lines at the Frankfurt/Oder location for the manufacture of solar modules, pursuant to the
financial needs and financing plan appended to this decision model (hereinafter referred to as
“Plant II”).

G. Security for the credit

	 	1.	 	A first-ranking abstract land charge [Grundschuld] on the still un-surveyed tract of
land at the grounds of Plant II, covering the full amount of the credit;

	 	2.	 	Grant of a security interest [Raumsicherungsübereignung] in the FSM assets that were
acquired in connection with the project, specifically the
machinery/equipment/installations financed with this credit;

	 	3.	 	Guaranty from the American holding company, First Solar Holdings Inc. (FSH Inc.).
This guaranty shall be enforced before the guaranty of the German Federal Government and
the Federal State of Brandenburg can be enforced, and it will not give rise to any
recourse or indemnity claims against the German Federal Government and the Federal State
of Brandenburg. In terms of priority, any such claims may be enforced only after the
claims based on the Federal and Federal State’s guarantees;

	 
	 	4.	 	Pledge of the debt service reserve account (see point H.II c of this decision).

H. Miscellaneous

I. Terms and conditions/Conditions precedent to validity

Prior to initial disbursement of the guarantee-backed credits, the Lender must receive evidence or
confirm that

	 	a)	 	equity capital of at least EUR 27.189 million has been fully paid in and has been
deployed in connection with the project,

	 	b)	 	the investment subsidies, which amount to EUR 22.5 million and were planned in
connection with this project, less the state-aid value of the guarantee, have been
approved.

II. Conditions and other rules

	 	a)	 	The Company’s equity capital must be preserved in the Company over the term of the
guarantee-backed loans (Capital Preservation Covenant).

 

- 87 -

 

	 	b)	 	FSM’s managing directors must ensure that no dividends are paid out if the annual debt
service for the guarantee-backed loans cannot be paid out of FSM’s available cash flow and,
on the basis of the Company’s planning (as updated from time to time), it likewise does not
appear that proper servicing of the guarantee-backed loans for the subsequent year is
assured.

	 	c)	 	From the outset and at any time during the term of the guarantee-backed loans, FSM
shall maintain minimum liquidity (in the form of a debt service reserve account which shall
be pledged) in an amount equal to one annual repayment instalment, not exceeding, however,
the outstanding loan amount.

	 	d)	 	Prior to disbursement of the guarantee-backed loans, the Lender shall verify, or
require evidence to be submitted to it showing, that the material permits required to
implement the subject project are in place. (To the extent it is not yet possible to submit
approvals, licenses and/or permits in this respect, the Company shall at least submit
confirmation of the relevant competent authority showing that, based on the documents
submitted to it and as of the current stage of processing, the authority has not made any
findings that would prevent the approval/permit/license from being granted).

	 	e)	 	The Lender shall verify that, over the term of the guarantee-backed loans, the existing
recovery and recycling system shall remain in place in compliance with the directives set
forth in the decision on BB 393 (B). In particular, the Company shall ensure that products
placed on the market for or on behalf of First Solar Group will be assured of a return
option and proper recycling or disposal option which is unconditional, free-of-charge and
insolvency-proof. Annual confirmation from an independent auditor must be provided that the
recycling system is being maintained in accordance with those requirements and that the
amounts placed in insolvency-proof investments are appropriate.

	 	f)	 	Goods and services transactions as between the Borrower and the other First Solar Group
companies and as between the Borrower and companies lying within First Solar Inc.’s sphere
of influence shall be on market terms; in connection with First Solar Manufacturing GmbH’s
annual financial statements, its financial auditors shall comment thereon.

	 	g)	 	In the event that the investment subsidies should not be available in a timely fashion,
First Solar Manufacturing GmbH shall pre-finance the amount of any shortfalls by providing
additional equity.

 

- 88 -

 

	 	h)	 	Acceptance of this guarantee decision is deemed a repeat confirmation of the Borrowers’
previous written confirmation that they have taken note of the advice on facts relevant
under state-aid law.

	 	 	 	 	 
	Berlin, 

9 December 2010

	 	For the Federal Ministry of 

Commerce and Technology
	 	For the Federal Ministry of
Finance
	 
	 	 	 	 
	 

	 	/signed/ Dr. Armgard Wippler
	 	/signed/ as agent Wellmann
	 
	 	 	 	 
	Potsdam, 

9/13 December 2010

	 	For the Ministry of Finance
and European Affairs of the
German Federal State of
Brandenburg
	 	For the Ministry of Finance
of the Federal State of
Brandenburg

	 
	 	 	 	 
	 

	 	/signed/ Steffen	 	/signed/ Dr. Menzel
	 
	 	 	 	 
	Berlin, 

9 December 2010

	 	For

PricewaterhouseCoopers AG
	 	For

PricewaterhouseCoopers AG
	 
	 	 	 	 
	 

	 	/signed/ Koch
	 	/signed/ Prokura Solveig Gute

 

- 89 -

 

Financial Needs/Financing Plan

Table 1: Financial Needs/Financing

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Use of funds	 	TEUR	 	 	in %	 	 	Source of funds	 	TEUR	 	 	in %	 
	Land parcel
	 	 	850	 	 	 	0.5	%	 	Equity capital	 	 	27,189	 	 	 	15.7	%
	Buildings and infrastructure
	 	 	60,650	 	 	 	35.1	%	 	Subsidies	 	 	21,311	 	 	 	12.3	%
	Technical equipment/machinery
	 	 	111,500	 	 	 	64.5	%	 	Debt capital (“Term Loan“)	 	 	124,500	 	 	 	72.0	%
	Total
	 	 	173,000	 	 	 	100.0	%	 	Total	 	 	173,000	 	 	 	100.0	%

 

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SCHEDULE 7

PART II

GENERAL TERMS AND CONDITIONS FOR THE ASSUMPTION OF GUARANTEES BY

THE GERMAN BUND

General terms and conditions for the assumption of guarantees by the government of the Federal
Republic of Germany [Bund] and by German Federal State [Länder] guarantors

I. Conditions and Requirements

	1.	 	Conditions and requirements, which the federal and state governments (Bund/Land) have
prescribed in writing, shall be deemed to constitute material parts of the Guaranty; to the
extent they relate to the credit relationship, they must be incorporated within the credit
agreement.

II.
Credit Agreement

	2.	 	Amendments to the credit agreement approved by the Bund/Land on the basis of the model credit
agreement in effect from time to time and on which the guaranty is based shall require the
prior consent of Bund/Land.

	3.	 	The Lender is authorized to grant deferrals of interest and principal payments appropriate in
the circumstances, up to a maximum deferral of six months and the maximum interest and
principal payment which is due and payable.

III. Assignment

	4.	 	No change of creditor shall be effective without the prior consent of the guarantor,
irrespective of the manner in which such change is brought about; in the event consent is
granted, the creditor must continue to act as a fiduciary or trustee to administer the rights
and obligations arising out of the credit/guarantee.

	5.	 	The grant of an equitable sub-participation [wirtschaftliche Unterbeteiligung] shall be
deemed the equivalent of an assignment.

IV. Obligations of the Lender

	6.	 	When granting credit and executing credit transactions, the Lender shall exercise the degree
of care of a reasonable merchant [die Sorgfalt eines ordentlichen Kaufmanns]. The fact that
there is a guaranty from the Bund/Land may not give rise to a reduction in the level of care.

	7.	 	Upon the occurrence of a deficiency, the Bund/Land shall be deemed released from the guaranty
vis-à-vis the Lender if the Lender breaches any obligation incumbent on it under this
guaranty. The foregoing shall not apply in the event of negligent breach [fahrlässige
Verletzung], to the extent the deficiency was not caused by the breach.

Prior to this point in time, the Bund/Land may terminate the guaranty vis-à-vis the Lender
with immediate effect if the Lender breaches any obligation incumbent on it under this
guaranty and, despite demand made on the Lender, fails to perform that obligation within a
reasonable, specified time.

	8.	 	The Lender shall notify the Bund/Land without undue delay if

	 	a)	 	the Borrower is in default for longer than three months in respect of a payment
of agreed interest or principal of the guaranteed credit;

	 	b)	 	the Lender ascertains that the Borrower has breached other material contractual
credit obligations;

 

- 91 -

 

	 	c)	 	the Lender ascertains that the Borrower’s statements with respect to its assets
and income have subsequently been revealed to be incorrect or incomplete in material
respects;

	 	d)	 	the Lender learns that the Borrower is ceasing to make payments or that a
petition has been filed for the commencement of insolvency proceedings on the
Borrower’s assets or compulsory judicial enforcement [Zwangsvollstreckung] is being
levied over significant portions of the Borrower’s assets;

	 	e)	 	other circumstances come to the Lender’s knowledge that, in the Lender’s view,
place repayment of the guaranteed credit at risk.

	9.	 	The Lender shall exercise its contractual right of termination upon request of the Bund/Land.
In this context, the Lender’s justified concerns shall be taken into account.

	10.	 	The credit must be secured pursuant to the terms of the credit agreement. The security to be
provided is intended to secure the total credit; it is not permitted to create separate
security covering the Lender’s share of the risk. The Lender shall reserve the right to demand
the provision of additional security by the Borrower in the event of deterioration of the
security, in particular in the event of collateral depreciation and/or losses.

	11.	 	As soon as and to the extent that the security created with respect to the credit and/or
available further security comports with the investment guidelines generally followed by the
Lender, the Lender shall inform the Bund/Land thereof; in that case, the Lender and the
Bund/Land shall coordinate with respect to the extent to which the Bund/Land may be released
from its guarantees based on the intrinsic value of such security.

	12.	 	To the extent that, following payment by the Bund/Land under their guarantees, the rights,
which arise under the security provided in exchange for the credit, fail to pass to Bund/Land
by operation of law (subrogation), the Lender shall transfer those rights (pro rata) to the
Bund/Land.

Where the Lender’s claims are satisfied by utilization of Bund/Land’s guarantees, the
Lender shall act as a fiduciary for the account of Bund/Land to administer and make
dispositions over such rights as pass to Bund/Land by operation of law or by assignment,
with no right to separate compensation therefor, but with entitlement to reimbursement of
expenses, exercising the care of a reasonable merchant.

V. Payment Delay

	13.	 	In the event of a delay of the Borrower with respect to payments which are due, from the date
of the delay, interest at such rate as may be asserted as a claim for compensatory damages
against the Borrower shall be deemed included within and covered by the guaranty. The amount
of the claim for compensatory damages shall be limited to the base interest rate from time to
time in effect pursuant to § 1 German Discount Rate Transitional Act
[Diskontsatz-Überleitungsgesetz], plus 3 percent per annum, except where a greater claim for
compensation is proven in the event of loss. Nevertheless, in no event may the agreed standard
interest rate approved by the Bund/Land be exceeded.

The guaranty is not deemed to cover other default damages, including acceleration
(prepayment) fees, compounded interest, deferral interest, interest on commissions, penalty
interest, overdraft interest, processing fees and auditing charges, and such claims may not
be indirectly included in the deficiency calculation provided to the Bund/Land.

 

- 92 -

 

VI. Deficiency

	14.	 	A deficiency will be deemed to have arisen on the guaranty-backed credit, if and to the
extent the inability of the Borrower to make payments is proven by its cessation of payments,
the commencement of insolvency proceedings, the provision of an affirmation in lieu of an oath
[eidesstattliche Versicherung] pursuant to § 807 German Code of Civil Procedure
[Zivilprozessordnung] or in some other manner, and significant proceeds from the realization
of the loan collateral or realization of other assets of the Borrower are not anticipated or
no longer anticipated. In addition, on the side of the German Federal Government, the
deficiency must be the subject of a determination by the inter-ministerial guarantee
committee [interministerieller Bürgschaftsausschuss] and on the side of the Länder by the
relevant guarantee committees of the Land [Landesbürgschaftsausschüsse] or the respective
inter-ministerial guarantee committee [interministerieller Bürgschaftsausschuss].

	15.	 	Even if the conditions precedent of para. 14 have not been met, a deficiency in the amount of
the entire, still outstanding or still uncollected loan receivable (inclusive of interest and
other costs) shall be deemed to have arisen where, within twelve months following written
demand for payment (made after such payment has fallen due), an amount of principal or
interest which has fallen due has not been paid. However, the residual receivable under the
credit must be due and payable for at least six months. The Lender shall continue to undertake
efforts to collect the receivable or to collect on it by forced execution, exercising the care
of a reasonable merchant, and shall, where appropriate, realize on the collateral and report
to the Bund/Land with respect thereto. This obligation shall be deemed suspended for as long
as the Bund/Land fails to issue reasonable instructions under the circumstances, which the
Lender has requested for this purpose. In addition, the pursuit of compulsory measures of
execution against the Borrower shall require the Bund/Land’s prior consent.

	16.	 	The Lender shall prepare a preliminary accounting statement of the deficiency upon request of
the Bund/Land.

	17.	 	The Bund/Land shall be entitled

	 	a)	 	to make partial payments against its tentatively payable guaranty obligation,
and if, following the making of partial payments, the receipt of collateral proceeds
results in an over-payment against the guarantor’s liability, then the amounts in
question shall be refunded to the Bund/Land. Such amounts shall bear interest at a rate
of 3% over the respective base interest rate under the German Civil Code from the date
of the over-payment;

	 	b)	 	to perform its guarantee obligations by making interest and principal payments
on the due dates provided under the credit agreement for proper loan repayment instead
of doing so in a single amount, subject to the proviso, however, that the Bund/Land’s
first payment must be made upon determination of the deficiency pursuant to paras. 14
and 15 hereof.

VII. Audit Rights 

	18.	 	The Lender shall impose an obligation on the Borrower to submit at any time to an audit by
the Bund/Land or its agent to investigate whether utilization of the guaranty may be required
or the conditions precedent to such utilization are met or have been met. The Lender shall
furthermore impose an obligation on the Borrower to provide such information to the Bund/Land
as they shall request in connection with the guaranty.

	19.	 	The foregoing rights of audit and information shall also apply with respect to the Lender,
but only with respect to such documents as pertain to the guaranty-backed credit. The Lender
shall impose an obligation on the Borrower to relieve it from any duty of non-disclosure
vis-à-vis the aforementioned offices.

	20.	 	The respective panel of auditors [Rechnungshöfe] shall be entitled to exercise rights of
audit and information under their respective financial regulations.

VIII. Costs of Audit and Fees for Guarantee 

	21.	 	In the credit agreement, the Lender shall impose an obligation on the Borrower to pay
guaranty fees to the Bund/Land pursuant to section B. of the “Notes”, with which Lender and
Borrower are familiar, as well as to bear the costs of an audit under paras. 18 and 19.

 

- 93 -

 

IX. Agents of the Bund/ Länder

	22.	 	PricewaterhouseCoopers AG, Wirtschaftsprüfungsgesellschaft, Berlin, has been engaged by the
Bund and the German Federal States of Brandenburg, Mecklenburg-Vorpommern, Niedersachsen,
Nordrhein-Westfalen, Sachsen, Sachsen-Anhalt and Thüringen to manage and administer the
Federal/State guarantees and is authorized to deliver and to receive all such declarations on
behalf of the Bund and the Länder as related thereto, to the extent they are not reserved to
the Office Administering the Federal Debt / the offices administering the debt of those Länder
[Bundes-/Landes-Schuldenverwaltung]. The other Federal States shall represent themselves or
shall be represented by such mandataries as they shall appoint. 

X. Place of Performance and Jurisdiction and Venue

	23.	 	The place of performance is Berlin; jurisdiction and venue shall lie with the courts of
Berlin.

 

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SCHEDULE 7

PART III

ITEM B OF THE INSTRUCTIONS FOR APPLYING FOR FEDERAL LOAN

GUARANTIES IN CONNECTION WITH PARALLEL STATE GUARANTIES

B. COSTS FOR ISSUING THE GUARANTIES

In exchange for issuing a guaranty, an application fee (I), an issuance fee (II) and a guaranty fee
(III) will be charged to the applicant/borrower pursuant to the following terms and conditions:

I. Application fee

In cases involving the application for a federal loan guaranty in connection with a state
guaranty from the German Federal States of Brandenburg, Mecklenburg-Vorpommern, Saxony,
Saxony-Anhalt, Thuringia or Berlin (“New Federal States”) pursuant to these instructions, a
one-time application fee in the amount of 0.5 per cent of the guaranty under application (but not
more than EURO 25,000.00) will be due and payable at the time the application is filed.

When applying for the federal loan guaranty in connection with a parallel state guaranty from one
of the German Federal States not mentioned above (“Old Federal States”), an application fee in
the amount of 0.5 per cent of the guaranty under application (but not more than EURO 25,000.00)
will be due and payable for the federal loan guaranty application. At the same time, another
application fee will be due and payable in an amount to be determined by the respective Federal
State.

II. Issuance fee

The Borrower must pay an issuance fee [Aushändigungsentgelt] for the guaranties from the time
that the Federal/State Guarantor Decision is handed down (commitment letter) until the time the
guaranty instrument or deed [Bürgschaftsurkunde] is issued.

At the time that the Federal/State Guarantor Decision is handed down, an amount of 0.5% of the
highest guaranty amount will be payable. On the immediately following 1 April and 1 October of
each given year, 0.5% of the highest guaranty amount relating to the principal must be paid for
each half-year period commencing on those dates.

III. Guaranty fee

The Borrower must pay a guaranty fee for the guaranties from the time that the guaranty
instrument or deed is issued and for the period of the guaranty’s term. For parallel state
guaranties, the guaranty fee will generally be 0.5% of the guaranty amount that exists or that
has been approved as of those dates and such fee will be due on or before 1 April and 1 October
of each year (half-year fee period), unless European rules require the imposition of higher fees.
In certain groups of cases (inter alia, companies facing difficulties), the guarantor reserves
the right to stipulate higher fees.

Different European rules could apply specifically with respect to guaranties that are granted on
the basis of so-called “Befristeten Regelung Bürgschaften” (Guarantee scheme under Temporary
Framework), “Bundesregelung Kleinbeihilfen” (Federal Framework — limited amounts of comparable
aid) as well as the “De-Minimus-Regelung” (Framework of de minimis aid) as well as the General
Block Exemption Regulation. The guaranty fees in those cases are based on the relevant EU
Commission “safe-harbour premiums” that are stipulated in the relevant rules or frameworks or
under the approved methods for calculating the value of aid in N 197/2007, N
541/2007 and N 762/2007. Regarding the documentation requirements, see Schedule V or the detailed
information in the testing matrix [Prüfraster] (see p. 1).

 

- 95 -

 

From the date that the guaranty instrument or deed is issued and on the immediately following 1
April and 1 October of each given year, generally 0.5% (or one-half of the percentage fee
applicable under the requirements of the government aid laws) of the guaranty sums that exist or
have been approved as of those dates (highest liability amount for the principal as set forth in
the guaranty instrument less any repayments of principal made, plus any owed and unpaid interest;
for usable revolving guaranties/partial guaranty amounts, any temporary loan repayments will not
be deemed repayments of principal) for each half-year commencing on those dates; and any issuance
fee that had been previously paid will be credited against the guaranty fee which may still be
owed in the same half-year fee period.

If, as part of the agreement, the guaranteed loan is divided and securitised into several tranches
relating to different half-year fee periods, then upon a well-founded request, tranche-based fee
arrangements may be established on a case-by-case basis. The Federal government and the relevant
Federal State would thereupon reserve the right to charge a processing or administrative fee in
accordance with the application fee rules, in the event that there are significant changes to a
guaranty that had been previously approved but not yet securitized.

With respect to the guaranties issued by the Federal government and by the Federal States of North
Rhine-Westphalia, Lower Saxony, Brandenburg, Mecklenburg Vorpommern, Saxony, Saxony Anhalt and
Thuringia, the application fee as well as the administrative or processing fee for significant
changes to a guaranty, which had been previously approved but not yet securitized, and the ongoing
fees must be paid by wire transfer to PricewaterhouseCoopers AG, Düsseldorf, and specifically to
its escrow account under the name “Federal Ministry of Finance”, account number 3 015 112, which is
held at WestLB AG, Düsseldorf (bank routing code 300 500 00) and the transfer order must include
the guaranty number. For guaranties issued by other Federal States, for which
PricewaterhouseCoopers AG does not act as mandatary, the fees owed must be remitted to the relevant
mandatary or to the accounts designated by the Federal States. Under the parallel state guaranties,
the foregoing rules regarding the ongoing fees will apply uniformly to the guaranties issued by the
Federal government and to the state guarantees of all Federal States5.

 

	 	 	 
	5	 	Exceptions apply to coastal Federal States in the sector of
shipbuilding finance.

 

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SCHEDULE 8 —MANDATORY COSTS

PROCEDURE FOR CALCULATING MANDATORY COSTS

	1.	 	Mandatory Costs are charged in addition to interest in order to compensate the
Lenders for the costs they incur by complying with (a) the requirements of the Bank
of England and/or of the British “Financial Services Authority” (and/or any other office
assuming the role of one of these authorities, either in whole or in part) or (b) the
requirements of the European Central Bank.

	2.	 	On the first day of each Interest Period (or as soon as possible thereafter), the
Facility Agent shall calculate a percentage (the Additional Cost Rate) for
each Lender pursuant to the provisions set forth hereinafter. The Facility
Agent calculates the Mandatory Costs as a weighted average of the Additional
Cost Rates of the Lenders (prorated by the percentage basis of each Lender’s
participation in the Loan in question), expressed as an annual percentage rate.

	3.	 	The Additional Cost Rate for a Lender, which disburses its loan via a
Facility Office of a Participating Member State, is such percentage rate
that the Lender communicates to the Facility Agent. In its communication to
the Facility Agent, that Lender shall confirm that percentage rate
(expressed as a percentage of that Lender’s participation in all of the
Loans disbursed by that Facility Office) to be a reasonable assessment of
the costs it incurs as a result of having to comply with the minimum reserve requirements of
the European Central Bank in respect of loans from that Facility Office.

	4.	 	The Facility Agent calculates the Additional Cost Rate for each
Lender which provides Loans from a Facility Office in the United
Kingdom as follows.

	 	(a)	 	for loans disbursed in GBP:

	 	(b)	 	for loans disbursed in currencies other than GBP:

It should be noted that:

	 	A	 	

is the percentage of the Eligible Liabilities (provided that they
exceed a stipulated minimum) which that Lender must maintain on a temporary
basis as a non-interest-bearing credit balance with the Bank of England in order to
satisfy cash ratio requirements.

	 	B	 	

is the percentage interest rate (exclusive of Margin and Mandatory
Costs and, where the loan is an amount which has not yet been paid, the additional
interest rate referenced in paragraph a) of subsection 8.2 (Default interest)) payable
for the relevant Interest Period on the Loan.

	 	C	 	

is the percentage rate of the Eligible Liabilities, which that
Lender must, in certain cases, maintain on a temporary basis as
interest-bearing Special Deposits with the Bank of England.

	 	D	 	

is the annual percentage rate payable by the Bank of England to the
Facility Agent on interest-bearing Special Deposits.

	 	E	 	

is intended to compensate the Lender for amounts payable under the
Fee rules, which the Facility Agent calculates as the
average of the most current fees submitted to it by
the Reference Banks pursuant to paragraph 7 below and expresses in GBP per
£1,000,000.

 

- 97 -

 

	5.	 	In connection with this schedule, the following shall apply:

	 	(a)	 	Eligible Liabilities and Special Deposits shall have the
meanings attributed to each of these terms under the Bank of England Act 1998 / by the
Bank of England;

	 	(b)	 	Fees rules means the rules contained in the Financial Services
Authority Fees Manual or any other statutes and rules which may be applicable and which
govern fees for the receipt of deposits;

	 	(c)	 	Fee Tariffs refer to the tariffs set forth in the Fees Rules
under group “A.1 Deposit Acceptors” (it should be noted that minimum fees or fees
set at zero are not taken into account, but any applicable discounts are);

	 	(d)	 	Tariff Base has the meaning set forth in the Fees rules and
is calculated in accordance with the rules set forth therein;

	 	(e)	 	Participating Member State refers to a Member State of the European
Community which is introducing or has introduced the euro as its statutory currency in
accordance with the laws of the European Union with respect to economic and currency
union.

	6.	 	In applying the formulas set forth above, A, B, C and D are expressed as percentages (i.e., 5
percent is inserted as “5” in the formula and not as 0.05). If subtracting B-D gives rise to a
negative difference, then 0 is inserted as the result. The results of the calculation are
rounded to four decimal places.

	7.	 	As soon as possible following publication by the Financial Service Authority, upon request of
the Facility Agent, each Reference Bank shall communicate the rate payable
to the Financial Services Authority by the relevant Reference Bank under the Fees
rules for the relevant fiscal year. The rate shall be expressed in GBP per £1,000,000 of
the Fee Basis of that Reference Bank.

	8.	 	Each Lender shall provide all such details as the Facility Agent shall
request for purposes of calculating the Additional Cost Rate. In particular, each
Lender shall provide the following information no later than on the date on which it
becomes a Lender:

	 	(a)	 	the legal jurisdiction in which its Facility Office is located; and

	 	(b)	 	all other details which the Facility Agent may reasonably request for
this purpose.

Each Lender shall inform the Facility Agent immediately with respect to
any changes of the details provided on the basis of this paragraph.

	9.	 	The Facility Agent shall calculate the percentage rates of each Lender to
be inserted as A and C in the formula and the fee rates of each Reference Bank for
purposes of E, on the basis of the information provided to it pursuant to paras. 7 and 8, and
on the assumption that, unless a Lender has informed the Facility Agent to
the contrary, the Lender‘s obligations in respect of minimum reserve deposits and
Special Deposits comport with those for a typical bank from its jurisdiction, the
Facility Office of which is located within the same legal jurisdiction as the
Facility Office of the Lender in question.

	10.	 	The Facility Agent assumes no liability whatsoever for any over- or
under-compensation to which any such calculation of the Additional Cost Rate for a
Lender may give rise, and the Facility Agent is entitled to assume that the
information provided by any Lender or any Reference Bank under paras. 3, 7
and 8 are correct in every respect.

	11.	 	On the basis of the information supplied by each Lender and each Reference Bank
pursuant to paras. 3, 7 and 8 hereof, the Facility Agent shall distribute the
additional amounts it collects as a result of the Mandatory Costs incurred by the
Lenders in accordance with the Additional Cost Rate for each Lender.

 

- 98 -

 

	12.	 	The Facility Agent’s determinations in connection with this schedule with respect to
any formula, Mandatory Costs, any Additional Cost Rate or any amount payable
by a Lender shall, in the absence of manifest error, be deemed final and binding on
all Parties to this Agreement.

	13.	 	Following prior consultation with the Borrower and Lenders, the
Facility Agent may from time to time make such adaptations or amendments to this
schedule as are necessary to comply with any changes of statute or regulations or of the
requirements of the Bank of England, the Financial Services Authority or the European Central
Bank (or of any other office assuming all or some of the roles of the foregoing) and
communicate the same to all of the Parties. All such determinations shall, in the
absence of manifest error, be deemed final and binding on all of the Parties to this
Agreement.

 

- 99 -

 

SCHEDULE 9

FORM OF GUARANTY

 

- 100 -

 

SIGNATURES

The Borrower

FIRST SOLAR MANUFACTURING GmbH

	 	 	 	 	 	 	 	 	 
	Executed by:

	 	/s/ David Brady
 

	 	 
	 	 

	 	 
	 
	 	 	 	 	 	 	 	 
	Name of
	 	 	 	 	 	 	 	 
	signatories in
	 	 	 	 	 	 	 	 
	block letters:
	 	David Brady	 	 	 	 	 	 
	 

	 	 

	 	 
	 	 

	 	 
	 
	 	 	 	 	 	 	 	 
	Address:

	 	First Solar Manufacturing GmbH	 	 	 	 	 	 
	 

	 	Mr. Burghard von Westerholt	 	 	 	 	 	 
	 

	 	Marie-Curie-Strasse 3	 	 	 	 	 	 
	 

	 	15236 Frankfurt (Oder) 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	With copies
 sent to:

	 	First Solar GmbH	 	 	 	 	 	 
	 

	 	Ms. Anja Lange	 	 	 	 	 	 
	 

	 	Rheinstr. 4B	 	 	 	 	 	 
	 

	 	55116 Mainz 	 	 	 	 	 	 

 

- i -

 

The Arranger:

COMMERZBANK AKTIENGESELLSCHAFT

	 	 	 	 	 	 	 	 	 
	Executed by:

	 	/s/ Raoul Hessling
 

	 	 
	 	/s/ Tatiana Novikova
 

	 	 
	 
	 	 	 	 	 	 	 	 
	Name of
	 	 	 	 	 	 	 	 
	signatories in
	 	 	 	 	 	 	 	 
	block letters:

	 	Raoul Hessling
	 	 	 	Tatiana Novikova	 	 
	 
	 	 	 	 	 	 	 	 
	Address:

	 	Commerzbank Aktiengesellschaft	 	 	 	 	 	 
	 

	 	Kaiserplatz	 	 	 	 	 	 
	 

	 	60311 Frankfurt am Main 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Tel. +49 6913642157	 	 	 	 	 	 
	 

	 	Fax. +49 69136629556	 	 	 	 	 	 
	 

	 	Email: Tatiana.Novikova@Commerzbank.com	 	 	 	 	 	 

 

- ii -

 

The Facility Agent

COMMERZBANK AKTIENGESELLSCHAFT, LUXEMBOURG BRANCH

	 	 	 	 	 	 	 	 	 
	Executed by:

	 	/s/ Marcus Goegler
 

	 	 
	 	/s/ Jőrn Tschentscher
 

	 	 
	 
	 	 	 	 	 	 	 	 
	Name of
	 	 	 	 	 	 	 	 
	signatories in
	 	 	 	 	 	 	 	 
	block letters:

	 	Marcus Goegler Jőrn Tschentscher	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Address:

	 	Commerzbank Aktiengesellschaft, Luxembourg Branch	 	 	 	 	 	 
	 

	 	Agency Department	 	 	 	 	 	 
	 

	 	25, Rue Edward Streichen 	 	 	 	 	 	 
	 

	 	L-2540 Luxembourg	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Tel. + 352 477 911 3108/3110/3112	 	 	 	 	 	 
	 

	 	Fax. + 352 477 911-3905	 	 	 	 	 	 
	 

	 	Email: joern.tschentscher@commerzbank.com	 	 	 	 	 	 
	 

	 	           agency@commerzbank.com	 	 	 	 	 	 

The Security Agent

COMMERZBANK AKTIENGESELLSCHAFT, LUXEMBOURG BRANCH

	 	 	 	 	 	 	 	 	 
	Executed by:

	 	/s/ Marcus Goegler
 

	 	 
	 	/s/ Jőrn Tschentscher
 

	 	 
	 
	 	 	 	 	 	 	 	 
	Name of
	 	 	 	 	 	 	 	 
	signatories in
	 	 	 	 	 	 	 	 
	block letters:

	 	Marcus Goegler	 	 	 	Jőrn Tschentscher	 	 
	 
	 	 	 	 	 	 	 	 
	Address:

	 	Commerzbank Aktiengesellschaft, Luxembourg Branch	 	 	 	 	 	 
	 

	 	Security Agencies Luxembourg	 	 	 	 	 	 
	 

	 	25, Rue Edward Steichen 	 	 	 	 	 	 
	 

	 	L-2540 Luxembourg	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Tel. +352 477 911 3108/3110/3112	 	 	 	 	 	 
	 

	 	Fax: +352 477 911-3905	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Email: SecurityAgenciesLux@commerzbank.com	 	 	 	 	 	 

 

- iii -

 

The Original Lenders

COMMERZBANK AKTIENGESELLSCHAFT

	 	 	 	 	 	 	 	 	 
	Executed by:

	 	/s/ Ruthenberg
 

	 	 
	 	/s/ Junior
 

	 	 
	 
	 	 	 	 	 	 	 	 
	Name of
	 	 	 	 	 	 	 	 
	signatories in
	 	 	 	 	 	 	 	 
	block letters:

	 	Ruthenberg
	 	 	 	Junior	 	 

The Lender hereby confirms that it is not able to release the
Agents from the self-dealing limitations of § 181 of the German Civil
Code.

SACHSEN BANK

	 	 	 	 	 	 	 	 	 
	Executed by:

	 	/s/ B. Schneider
 

	 	 
	 	/s/ B. Obermayer
 

	 	 
	 
	 	 	 	 	 	 	 	 
	Name of
	 	 	 	 	 	 	 	 
	signatories in
	 	 	 	 	 	 	 	 
	block letters:

	 	Beate Schneider
	 	 	 	Barbara Obermayer	 	 
	 
	 	 	 	 	 	 	 	 
	Address:	 	Sachsen Bank (dependent institution of Landesbank Baden-Württemberg)	 	 
	 

	 	Humboldtstraße 25	 	 	 	 	 	 
	 

	 	04105 Leipzig 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Tel. +49 341220-38542 341 220-39111	 	 	 	 	 	 
	 

	 	Fax: +49 341220-38519 341 220-6639111	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Email: beate.schneider@sachsenbank.de
	 	 	 	Barbara.obermayer@lbbw.de	 	 

The Lender hereby confirms that it is not able to release the Agents from
the self-dealing limitations of § 181 of the German Civil Code.

 

- iv -

 

NORDDEUTSCHE LANDESBANK — GIROZENTRALE

	 	 	 	 	 	 	 	 	 
	Executed by:

	 	/s/ Hellwig
 

	 	 
	 	/s/ Raab
 

	 	 
	 
	 	 	 	 	 	 	 	 
	Name of
	 	 	 	 	 	 	 	 
	signatories in
	 	 	 	 	 	 	 	 
	block letters:

	 	Hellwig
	 	 	 	Raab	 	 
	 
	 	 	 	 	 	 	 	 
	Address:	 	Norddeutsche Landesbank — Girozentrale	 	 
	 

	 	Friedrichswall 10	 	 	 	 	 	 
	 

	 	30159 Hannover 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 

	 	Tel. +49	 	 	 	 	 	 
	 

	 	Fax: +49	 	 	 	 	 	 
	 

	 	Email:	 	 	 	 	 	 

The Lender hereby confirms that it is not able to release the
Agents from the self-dealing limitations of § 181 of the German Civil
Code.

 

- v -Exhibit 10.2

Exhibit 10.2

EXECUTION COPY

GUARANTEE AGREEMENT

DATED 18 May 2011

between

FIRST SOLAR INC.

as Guarantor

FIRST SOLAR MANUFACTURING GMBH

as Borrower

and

COMMERZBANK AKTIENGESELLSCHAFT, FILIALE LUXEMBURG

as Security Agent

 

 

 

	 	 	 	 	 
	1. DEFINITIONS
	 	 	2	 
	 
	 	 	 	 
	2. GUARANTEE (Garantie) AND INDEMNITY (Ausfallhaftung)
	 	 	3	 
	 
	 	 	 	 
	3. NO DEFENCES
	 	 	4	 
	 
	 	 	 	 
	4. IMMEDIATE RECOURSE
	 	 	4	 
	 
	 	 	 	 
	5. ADDITIONAL SECURITY
	 	 	5	 
	 
	 	 	 	 
	6. APPROPRIATIONS
	 	 	5	 
	 
	 	 	 	 
	7. DEFERRAL OF GUARANTORS’ RIGHTS
	 	 	5	 
	 
	 	 	 	 
	8. SETTLEMENT CONDITIONAL
	 	 	6	 
	 
	 	 	 	 
	9. AMENDMENTS BINDING
	 	 	6	 
	 
	 	 	 	 
	10. ASSIGNMENT AND TRANSFER
	 	 	6	 
	 
	 	 	 	 
	11. REPRESENTATIONS AND WARRANTIES
	 	 	7	 
	 
	 	 	 	 
	12. POSITIVE UNDERTAKINGS
	 	 	7	 
	 
	 	 	 	 
	13. FINANCIAL COVENANTS
	 	 	8	 
	 
	 	 	 	 
	14. NEGATIVE UNDERTAKINGS
	 	 	8	 
	 
	 	 	 	 
	15. FURTHER ASSURANCE
	 	 	8	 
	 
	 	 	 	 
	16. LIABILITY FOR DAMAGES
	 	 	8	 
	 
	 	 	 	 
	17. WAIVER
	 	 	9	 
	 
	 	 	 	 
	18. AMENDMENTS
	 	 	9	 
	 
	 	 	 	 
	19. NOTICES AND LANGUAGE
	 	 	9	 
	 
	 	 	 	 
	20. LAW AND JURISDICTION
	 	 	10	 

 

 

 

THIS GUARANTEE AGREEMENT (the “Agreement”) is made on 18 May 2011 between the following parties:

	1.	 	FIRST SOLAR INC., a stock corporation established and organized under the laws of the State
of Delaware, United States of America, having its registered seat at 350 West Washington
Street, Suite 600, Tempe, Arizona 85281, USA, registered with the Secretary of State of the
State of Delaware under number 3658676 (the “Guarantor”)

	2.	 	FIRST SOLAR MANUFACTURING GMBH, a limited liability company established and organized under
the laws of the Federal Republic of Germany, having its registered office at Marie-Curie-Str.
3, 15236 Frankfurt (Oder), registered with the Commercial Register (Handelsregister) of the
Local Court (Amtsgericht) of Frankfurt/Oder under registration number HRB 11116 (the
“Borrower”); and

	3.	 	COMMERZBANK AKTIENGESELLSCHAFT, FILIALE LUXEMBURG, a company organised under German law,
whose registered office is at Kaiserstrasse 16, 60311 Frankfurt am Main, Germany, with
registration number HRB 32000, acting through its Luxembourg branch located at 25, rue Edward
Steichen, L-2540 Luxemburg with registration number B119317 and acting in its capacity as
Security Agent (acting for itself and for and on behalf of the Finance Parties) (the “Security
Agent” which expression includes its successors and assigns in title).

	(A)	 	WHEREAS, pursuant to a EUR 124,500,000 state guaranteed facilities agreement (Kreditvertrag)
dated 18 May 2011 between, inter alia, First Solar Manufacturing GmbH as borrower
(Kreditnehmer), Commerzbank Aktiengesellschaft as mandated lead arranger (Arrangeur),
Commerzbank Aktiengesellschaft, Filiale Luxemburg, as facility agent (Konsortialagent) and
security agent (Sicherheitenagent) and others as original lenders (as amended, varied,
supplemented, superseded, increased or extended from time to time) (the “Facilities
Agreement”), the lenders have agreed to grant certain facilities to the Borrower.

	(B)	 	WHEREAS it is a condition precedent to extending credit to the Borrower under the Facilities
Agreement that the Guarantor shall enter into this Agreement.

	(C)	 	WHEREAS, pursuant to a USD 600,000,000 facilities agreement dated 15 October 2010 as amended
on 6 May 2011, between inter alia JP Morgan Chase Bank N. A. as Administrative Agent and the
Guarantor as Borrower and others (the “US Credit Agreement”) the lenders have agreed to grant
certain facilities to the Guarantor and certain of its Affiliates.

 

 

 

	1.	 	DEFINITIONS

Capitalised terms used but not otherwise defined herein (including in the recitals), shall have the
meaning attributed thereto in the US Credit Agreement, as the context may require.

In addition, in this Agreement:

“Accounting Changes” refers to changes in accounting principles required by the promulgation of any
rule, regulation, pronouncement or opinion by the Financial Accounting Standards Board of the
American Institute of Certified Public Accountants or, if applicable, the SEC, or any change in the
application thereof. Notwithstanding any other provision contained herein, all terms of an
accounting or financial nature used herein shall be construed, and all computations of amounts and
ratios referred to herein shall be made, without giving effect to any election under Statement of
Financial Accounting Standards 159 (or any other Financial Accounting Standard having a similar
result or effect) to value any Indebtedness or other liabilities of the Company or any Subsidiary
at “fair value,” as defined therein.

“Administrative Agent” means JPMorgan Chase Bank, N.A., together with its affiliates, as the
arranger of the Revolving Commitments and as the administrative agent for the Lenders under the US
Credit Agreement and the other Loan Documents, together with any of its successors.

“Affiliate” means as to any Person, any other Person that, directly or indirectly, is in control
of, is controlled by, or is under common control with, such Person. For purposes of this
definition, “control” of a Person means the power, directly or indirectly, to direct or cause the
direction of the management and policies of such Person, whether by contract or otherwise.

“BGB” means the German Civil Code (Bürgerliches Gesetzbuch).

“Business Day” means a day defined as “Bankarbeitstag” in the Facilities Agreement.

“Event of Default” means an event defined as “Kündigungsgrund” in the Facilities Agreement.

“Finance Document” means a document defined as “Finanzierungsdokument” in the Facilities Agreement.

“Financing Party” means a party defined as “Finanzierungspartei” in the Facilities Agreement.

“GAAP” means generally accepted accounting principles in the United States as in effect from time
to time. In the event that any Accounting Change shall occur and such change results in a change in
the method of calculation of financial covenants, standards or terms in this Agreement, then, upon
notice by the Security Agent to the Guarantor or vice versa, the Guarantor and the Security Agent
agree to enter into negotiations in order to amend such provisions of this Agreement so as to
reflect equitably such Accounting Changes with the desired result that the criteria for evaluating
the Guarantor’s financial condition shall be the
same after such Accounting Changes as if such Accounting Changes had not been made. If any such
notice is given with respect to any Accounting Change then, until such time as such an amendment
shall have been executed and delivered by the Guarantor and the Security Agent, all financial
covenants, standards and terms in this Agreement shall continue to be calculated or construed as if
such Accounting Change had not occurred.

 

- 2 -

 

“GmbHG” means the German Limited Liability Companies Act (Gesetz betreffend die Gesellschaften mit
beschränkter Haftung).

“Guarantee” means the guarantee granted by the Guarantor in Clauses 2 (Guarantee (Garantie) and
Indemnity (Ausfallhaftung)) to 8 (Settlement Conditional) hereof.

“HGB” means the German Commercial Code (Handelsgesetzbuch).

“InsO” means the German Insolvency Code (Insolvenzordnung).

“Obligor” means the Borrower or the Guarantor.

“Potential Event of Default” means an event defined as “Potentieller Kündigungsgrund” in the
Facilities Agreement.

	2.	 	GUARANTEE (Garantie) AND INDEMNITY (Ausfallhaftung)

The Guarantor irrevocably and unconditionally guarantees (garantiert) by way of an independent
payment obligation (selbständiges Zahlungsversprechen) to each Financing Party:

	a)	 	to pay to that Financing Party within three (3) Business Days of receipt by it of a written
demand by a Financing Party (or the Security Agent on its behalf) the amount of principal,
interest, costs, expenses or other amount demanded in that demand, which demand shall state
that the sum demanded by that Financing Party under or in connection with the Finance
Documents is then due and owing but has not been fully and irrevocably paid by the Borrower;
and

	b)	 	to indemnify (schadloshalten) each Financing Party immediately within five (5) Business Days
of a written demand against any cost, loss or liability suffered by that Financing Party if
any obligation of the Borrower under or in connection with any Finance Document or any
obligation guaranteed by it hereunder is or becomes unenforceable, invalid or illegal. The
amount of the cost, loss or liability shall be equal to the amount which that Financing Party
would otherwise have been entitled to recover (Ersatz des positiven Interesses).

 

- 3 -

 

	3.	 	NO DEFENCES

	a)	 	The obligations of the Guarantor pursuant to this Agreement will not be affected by an act,
omission, matter or thing which relates to the principal obligation (or purported obligation)
of an Obligor and which would reduce, release or prejudice any of its obligations pursuant to
this Agreement, including any personal defences of the Borrower (Einreden des Hauptschuldners)
or any right of revocation (Anfechtung) or set-off (Aufrechnung) of any Obligor.

	b)	 	The obligations of the Guarantor pursuant to this Agreement are independent from any other
security or guarantee which may have been or will be given to the Financing Parties. In
particular, the obligations of the Guarantor pursuant to this Agreement will not be affected
by any of the following:

	 	(i)	 	the release of, or any time (Stundung), waiver or consent granted to, the
Borrower from or in respect of its obligations under or in connection with any Finance
Document;

	 	(ii)	 	the taking, variation, compromise, exchange, renewal or release of, or refusal
or neglect to perfect, take up or enforce, any rights against, or security over assets
of, any Obligor or any other person or any failure to realise the full value of any
security;

	 	(iii)	 	any incapacity or lack of power, authority or legal personality of or
dissolution or a deterioration of the financial condition of the Borrower; or

	 	(iv)	 	any unenforceability, illegality or invalidity of any obligation of the
Borrower under any Finance Document.

For the avoidance of doubt this guarantee does not constitute a guarantee upon first demand
(Garantie auf erstes Anfordern) and therefore nothing in this Agreement shall preclude any
defences that the Guarantor (in its capacity as Guarantor only) may have against a Financing
Party that the guarantee and indemnity does not constitute its legal, valid, binding or
enforceable obligations.

For the further avoidance of doubt, the Guarantor shall have no remaining obligations under
this Agreement after the obligations secured by it have been fully and permanently
discharged.

	4.	 	IMMEDIATE RECOURSE

No Financing Party will be required to proceed against or enforce any other rights or security or
claim payment from any person before claiming from the Guarantor pursuant to this Agreement. This
applies irrespective of any provision of a Finance Document to the contrary.

 

- 4 -

 

	5.	 	ADDITIONAL SECURITY

The obligations of the Guarantor contained herein shall be in addition to and independent of every
other Security or guarantee which any Financing Party may at any time hold in respect of any
Obligor’s obligations under the Finance Documents.

	6.	 	APPROPRIATIONS

Until all amounts which may be or become payable by the Obligors under or in connection with the
Finance Documents have been irrevocably paid in full, each Financing Party may:

	a)	 	refrain from applying or enforcing any other moneys, security or rights held or received by
that Financing Party in respect of those amounts, or apply and enforce the same in such manner
and order as it sees fit (whether against those amounts or otherwise) and the Guarantor shall
not be entitled to the benefit of the same; and

	b)	 	hold in an interest-bearing suspense account any moneys received from the Guarantor or on
account of the Guarantor’s liability pursuant to this Agreement.

	7.	 	DEFERRAL OF GUARANTORS’ RIGHTS

Until all amounts which may be or become payable by the Obligors under or in connection with the
Finance Documents have been irrevocably paid in full and unless the Security Agent otherwise
directs, the Guarantor will not exercise any rights which it may have by reason of performance by
it of its obligations under the Finance Documents:

	a)	 	to be indemnified by an Obligor;

	b)	 	to claim any contribution from any other guarantor of any Obligor’s obligations under the
Finance Documents; and/or

	c)	 	to take the benefit (in whole or in part and whether by way of legal subrogation or
otherwise) of any rights of the Financing Parties under the Finance Documents or of any other
guarantee or security taken pursuant to, or in connection with, the Finance Documents by any
Financing Party.

If the Guarantor receives any benefit, payment or distribution in relation to such rights it shall
hold that benefit, payment or distribution to the extent necessary to enable all amounts which may
be or become payable to the Financing Parties by the Obligors under or in connection with the
Finance Documents to be repaid in full on trust for the Financing Parties and shall promptly pay or
transfer the same to the Security Agent or as the Security Agent may direct for application in
accordance with the Facilities Agreement.

 

- 5 -

 

	8.	 	SETTLEMENT CONDITIONAL

Any settlement or discharge between the Guarantor and any Financing Party shall be conditional upon
no Security or payment to such Financing Party by the Guarantor or any other entity on behalf of
the Guarantor being avoided or reduced by virtue of any laws relating to bankruptcy, insolvency,
liquidation or similar laws of general application and, if any such Security or payment is so
avoided or reduced, each Financing Party shall be entitled to recover the value or amount of such
Security or payment from the Guarantor subsequently as if such settlement or discharge had not
occurred.

	9.	 	AMENDMENTS BINDING

Without prejudice to the other provisions of this Agreement, the Guarantor hereby confirms that if
the Borrower and any Financing Party enter into any agreement or other arrangement, including
(without limitation) any amendment or supplement to or restatement of any Finance Documents,
howsoever fundamental, then the Borrower’s execution of any such agreement or other arrangement,
whether or not expressly made or purportedly made on behalf of the Guarantor, shall bind the
Guarantor and the guarantee contained in this Agreement shall continue in full force and effect
without the need to obtain any confirmation or acknowledgement from the Guarantor that its
guarantee continues in full force and effect and applies to the Guarantor’s liabilities under the
Finance Documents as amended, supplemented or restated in accordance with the agreement of the
Borrower.

	10.	 	ASSIGNMENT AND TRANSFER

	a)	 	The Financing Parties shall have the right to assign, transfer or dispose of all or any part
of its rights and/or obligations under this Agreement but only together with their underlying
rights and/or obligations under the Facilities Agreement and only to the extent such
assignment, transfer or disposal is permitted under the Facilities Agreement. The Guarantor
shall execute all such documents and do all such acts and things which the Financing Parties
may reasonably require in order to validly effect such assignment, transfer, or disposal.

	b)	 	The Guarantor shall not be entitled to assign, transfer, or dispose of all or any part of its
rights and/ or obligations hereunder.

 

- 6 -

 

	11.	 	REPRESENTATIONS AND WARRANTIES

The Guarantor represents and warrants to the Financing Parties, such representation and warranty
being an independent guarantee (selbständiges Garantieversprechen) pursuant to
sections 241 and 311 BGB, that it has full knowledge of the entire contents of the Facilities
Agreements (including, without limitation, all exhibits and schedules thereto), all necessary
corporate action has been taken to authorise the execution of this Agreement and the performance of
its obligations hereunder and the exercise of its rights and performance of its obligations
hereunder will not violate any provision of any existing law or any indenture or other material
agreement or instrument to which the Guarantor is a party or which is binding on the Guarantor or
any of its assets and the choice of German law of this Agreement will be recognised and enforced in
its jurisdiction of incorporation and any judgment obtained in relation to a Finance Document in
Germany will be recognised and enforced in its jurisdiction of incorporation and this Agreement
creates, subject to any reservations contained in any legal opinion delivered to any Finance Party
in connection with the Facilities Agreement, legal, valid and binding obligations of the Guarantor
which are enforceable in accordance with their terms subject to applicable bankruptcy, insolvency,
reorganisation, moratorium or other laws affecting Financing Parties’ rights generally and subject
to general principles of equity, regardless of whether considered in a proceeding in equity or law.

	12.	 	POSITIVE UNDERTAKINGS

The Guarantor covenants with the Security Agent that it shall:

	a)	 	in relation to the Borrower, not allow the Borrower to take any action described in clause
21.12 (Dividenden, Ausschüttungen und Rückruf von Anteilen) of the Facilities Agreement unless
it is permitted thereunder and ensure that all financial statements, which the Borrower in
relation to the Guarantor is required to deliver pursuant to Clause 19.1 (Abschlüsse und
Berichte) of the Facilities Agreement, were prepared in accordance with the GAAP and using the
accounting practices and financial reference periods consistent with those applied, unless the
Guarantor informs the Security Agent about any changes and delivers an accurate comparison
between the financial position indicated in those financial statements and the latest
financial statements of the Guarantor applying the accounting practices and financial
reference periods applied as at the date hereof.

	b)	 	in relation to the Borrower, not (and will ensure that no other member of the Group will)
decide upon the distribution of or allow the Borrower to take any action described in Clause
21.12 (Dividenden, Ausschüttungen und Rückruf von Anteilen) of the Facilities Agreement unless
it is explicitly permitted under such Clause.

	c)	 	inform the Security Agent promptly of all events which may adversely affect the Guarantee;
and

	d)	 	take or participate in any action, the failure of which could impair the enforceability,
legality or validity of the Guarantee.

 

- 7 -

 

	13.	 	FINANCIAL COVENANTS

The Guarantor acknowledges that the Borrower is obliged to fulfil the financial covenants
(Finanzkennzahlen) relating to the Guarantor as set out in the Facilities Agreement.

	14.	 	NEGATIVE UNDERTAKINGS

The Guarantor covenants with the Security Agent that it shall:

	a)	 	not defeat, impair or circumvent in any way the rights of the Financing Parties hereunder; or

	b)	 	not take or participate in any action which could impair the enforceability, legality or
validity of the Guarantee.

	15.	 	FURTHER ASSURANCE

The Guarantor shall at its own expense do all such things as the Security Agent may reasonably
require:

	a)	 	to perfect or protect the Guarantee intended to be created hereby or any part thereof; or

	b)	 	to facilitate the exercise by the Security Agent of any of the rights, powers, authorities
and discretions vested in it.

	16.	 	LIABILITY FOR DAMAGES

The Security Agent shall not be liable for any loss or damage suffered by the Guarantor save in
respect of such loss or damage which is suffered as a result of the wilful misconduct or gross
negligence of the Security Agent.

 

- 8 -

 

	17.	 	WAIVER

No failure to exercise, nor any delay in exercising, on the part of the Financing Parties, any
right or remedy hereunder shall operate as a waiver thereof, nor shall any single or partial
exercise of any right or remedy prevent any further or other exercise thereof or the exercise of
any other right or remedy. The rights and remedies provided hereunder are cumulative and not
exclusive of any rights or remedies provided by law.

	18.	 	AMENDMENTS

Changes and amendments to and waivers of this Agreement including this Clause 18 shall be made in
writing (and in notarial form if required by law) and in accordance with the terms of the
Facilities Agreements.

	19.	 	NOTICES AND LANGUAGE

19.1 Notices

Any notice or communication under or in connection with this Agreement shall be in writing and
shall be delivered personally, by post or facsimile to the address or facsimile number of the party
and for the attention of the individual or department set out in the Schedule (Addresses for
Notices) hereto or such other substitute address or facsimile number and addressed to such other
individual or department as shall have been provided in writing by not less than 5 Business Days
prior notice to the Security Agent by that party for this purpose.

	19.2	 	Language

	a)	 	This Agreement is written in the English Language. In the event of any conflict between the
English text and a German term which has been inserted in the English text such German term
shall prevail.

	b)	 	Any notice or other communication under or in connection with this Agreement shall be in the
English language or, if in any other language, accompanied by a translation into English. In
the event of any conflict between the English text and the text in any other language, the
English text shall prevail provided that if a German term has been inserted in the English
text such German term shall prevail.

 

- 9 -

 

	20.	 	LAW AND JURISDICTION

	20.1	 	Law

This Agreement shall be governed by and construed in accordance with the laws of the Federal
Republic of Germany.

	20.2	 	Jurisdiction

The place of jurisdiction for the parties hereto shall be Frankfurt am Main, Federal Republic of
Germany. The Security Agent shall, however, also be entitled to take legal action against the
Guarantor before any other competent court of law having jurisdiction over the Guarantor or any of
its assets.

THIS AGREEMENT has been entered into on the date stated at the beginning of this Agreement.

 

- 10 -

 

SCHEDULE

ADDRESSES FOR NOTICES

	 	 	 	 	 
	1.

	 	The Guarantor
	 	FIRST SOLAR INC.
	 
	 	 	 	 
	 

	 	Address:
	 	350 West Washington Street

Suite 600

Tempe, Arizona 85281
	 
	 	 	 	 
	 

	 	Tel:
	 	+1 602 414-9362
	 
	 	 	 	 
	 

	 	Fax:
	 	+1 602 414-9462
	 
	 	 	 	 
	 

	 	Attention:
	 	Mr. David Brady
	 
	 	 	 	 
	 

	 	With a copy to:
	 	FIRST SOLAR INC.

350 West Washington Street

Suite 600

Tempe, Arizona 85281

Tel: (602) 414-9323

Fax: (602) 414-9423

Attention: Mr. Peter Bartolino, Esq.
	 
	 	 	 	 
	2.

	 	The Borrower
	 	FIRST SOLAR MANUFACTURING GMBH
	 
	 	 	 	 
	 

	 	Address:
	 	Marie-Curie-Straße 3

15236 Frankfurt (Oder)
	 
	 	 	 	 
	 

	 	Tel:
	 	+49 (0)335 52102-103
	 
	 	 	 	 
	 

	 	Fax:
	 	+49 (0)335 52102-199
	 
	 	 	 	 
	 

	 	Attention:
	 	Mr. Burghard von Westerholt
	 
	 	 	 	 
	 

	 	With a copy to:
	 	First Solar GmbH

Rheinstr. 4B;

55116 Mainz

Attention: Ms. Anja Lange

 

- 11 -

 

	 	 	 	 	 
	 

	 	With a copy to:
	 	FIRST SOLAR INC.

350 West Washington Street

Suite 600

Tempe, Arizona 85281

Tel: (602) 414-9362

Fax: (602) 414-9462

Attention: Mr. David Brady
	 
	 	 	 	 
	3.

	 	The Security Agent
	 	COMMERZBANK AKTIENGESELLSCHAFT, FILIALE LUXEMBURG
	 
	 	 	 	 
	 

	 	Address:
	 	25, Rue Edward Steichen, L-2540 Luxemburg
	 
	 	 	 	 
	 

	 	Tel:
	 	+352 477 911-3108/3110/3112
	 
	 	 	 	 
	 

	 	Fax:
	 	+352 477 911-3903
	 
	 	 	 	 
	 

	 	Attention:
	 	Mr. Joern Tschentscher

 

- 12 -

 

SIGNATURES

As Guarantor

FIRST SOLAR INC.

	 	 	 	 	 	 	 
	/s/ David Brady
 

	 	 
	 	 
 

	 	 

As Borrower

FIRST SOLAR MANUFACTURING GMBH

	 	 	 	 	 	 	 
	/s/ David Brady
 

	 	 
	 	 
 

	 	 

As Security Agent acting for itself and for and on behalf of the Finance Parties

COMMERZBANK AKTIENGESELLSCHAFT, FILIALE LUXEMBURG

	 	 	 	 	 	 	 
	/s/ Marcus Goegler
 

	 	 
	 	/s/ Jörn Tschentscher

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00190-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00190-of-00352.parquet"}]]