Document:

FIFTH AMENDED REPLACEMENT AND RESTATED CREDIT AGREEMENT

 

New York

August 19, 2021

 

	Borrower:  	Pike County Light & Power Company
	a(n) ☐ individual  ☒ corporation  ☐ general partnership   ☐ limited liability company   ☐
	organized under the laws of  	Pennsylvania  
	having its chief executive office at 	105 Schneider Lane, Milford, PA 18337

 

		Bank:	M&T BANK, a New York banking corporation with its chief executive office at One M&T Plaza,
Buffalo, NY 14203. Attention: Office of General Counsel.

 

The Bank and the Borrower agree as follows:

 

		1.	DEFINITIONS.

 

		a.	“Agreement” means this Fifth Amended Replacement and Restated Credit Agreement.

 

		b.	“Capital Expenditures” (“CAPEX”) means, at any time, all acquisitions of
machinery, equipment, land, leaseholds, buildings, improvements and all other expenditures considered to be for fixed assets under G.A.A.P.,
consistently applied. Where an asset is acquired under a capital lease, the amount required to be capitalized shall be considered a capital
expenditure during the first year of the lease.

 

		c.	“Cash Flow” means the sum of (i) net income after tax,
dividends and distributions, plus (ii) depreciation expense and amortization, plus (iii) Interest Expense, plus (iv )non-cash expenses
and minus (v) non-cash income, all determined in accordance with G.A.A.P. all determined in accordance with G.A.A.P.

 

		d.	“Cash Flow Coverage” means the ratio of Cash Flow to the sum of (i) the current portion
of all Long Term Debt as specified in the financial statement dated twelve (12) months prior, plus (ii) Interest Expense, all determined
in accordance with G.A.A.P

 

		e.	“Credit” means any and all credit facilities and any other financial accommodations
made by the Bank in favor of the Borrower whether now or hereafter in existence.

 

		f.	“Current Assets” means, at any time, the aggregate amount of all current assets, including,
but not limited to, cash, cash equivalents, marketable securities, receivables maturing within twelve (12) months from such time, and
inventory (net of LIFO Reserve), but excluding prepaid expenses and officer, stockholder, employee and related entity advances and receivables,
all as determined in accordance with G.A.A.P.

 

		g.	“Current Portion of Long-Term Debt” (“CPLTD”) means, for any period, the
scheduled principal loan or capital lease payments paid or required to be paid during the applicable period.

 

		h.	“Current Liabilities” means, at any time, the aggregate amount of all liabilities and
obligations which are due and payable on demand or within twelve (12) months from such time, or should be properly reflected as attributable
to such twelve (12) month period in accordance with G.A.A.P.

 

		i.	“Current Ratio” means the ratio of Current Assets to Current Liabilities.

 

		i-1.	“Debt Service Coverage Ratio” means the ratio of (i) net income after taxes, dividends/distributions,
plus (ii) interest expenses, plus/minus (iii) non-cash expenses/income plus (iv) depreciation/amortization to (v) the sum of CPLTD plus
interest expense.

 

		j.	“Distributions” means any dividend or other form of distribution (whether in cash,
securities or other property) with respect to any stock, membership or other form of equity interest in Borrower or any Subsidiary, or
any payment 

 

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		 	(whether in cash, securities or other property), including any sinking fund or similar deposit, on account of the purchase,
redemption, retirement, acquisition, cancellation or termination of any such interests or any option, warrant or other right to acquire
any such interests, in each case in accordance with the applicable governing documents of Borrower or Subsidiary, as the case may be,
or otherwise.

		k.	“EBITDA” shall mean net income after tax, plus depreciation, plus amortization, plus interest
expense, plus non-cash expenses, less non-cash income, all as determined in accordance with G.A.A.P.

 

		l.	“Fixed Charge Coverage Ratio” means, at any time, EBITDA less CAPEX less Distributions
(but not preferred dividends) plus rental and operating lease payments plus other defined fixed charges divided by CPLTD plus capital
leases plus Interest Expense plus rental and operating lease payments.

 

		m.	“G.A.A.P.” means, with respect to any date of determination, generally accepted accounting
principles as used by the Financial Accounting Standards Board and/or the American Institute of Certified Public Accountants consistently
applied and maintained throughout the periods indicated.

 

		n.	“Interest Expense” means all finance charges reflected on the income statement as interest
expense for all obligations of Borrower to any person, including, but not limited to, Bank, as shown on any properly prepared balance
sheet in accordance with G.A.A.P.

 

		o.	“Long Term Debt” means all obligations of Borrower to any person, including, but not
limited to, the Obligations, payable more than twelve (12) months from the date of their creation, which in accordance with G.A.A.P. are
properly shown on the balance sheet as a liability (excluding reserves for deferred income taxes) for the period then ended, and also
specifically the Replacement Term Note dated June 27, 2019 and any renewals, replacements and extensions thereof.

 

p.       “Obligations”
means any and all indebtedness or other obligations of the Borrower to the Bank in any capacity, now existing or hereafter incurred, however
created or evidenced, regardless of kind, class or form, whether direct, indirect, absolute or contingent (including obligations pursuant
to any guaranty, endorsement, other assurance of payment or otherwise), whether joint or several, whether from time to time reduced and
thereafter increased, or entirely extinguished and thereafter reincurred, together with all extensions, renewals and replacements thereof,
and all interest, fees, charges, costs or expenses which accrue on or in connection with the foregoing, including any indebtedness or
obligations (i) not yet outstanding but contracted for, or with regard to which any other commitment by the Bank exists; (ii) arising
prior to, during or after any pendency of any bankruptcy, insolvency, receivership or other similar proceeding, regardless of whether
allowed or allowable in such proceeding; (iii) owed by the Borrower to others and which the Bank obtained, or may obtain, by assignment
or otherwise; and (iv) payable under this Agreement, and (v) any amounts now or hereafter due and owing from Borrower to Bank arising
from or in connection with any interest rate swap agreement, now existing or hereafter entered into between Borrower and Bank, and any
costs incurred by bank in connection therewith, including without limitation, any interest, expenses, fees, penalties or other charges
associated with any obligations undertaken by Bank to hedge or offset Bank’s obligations pursuant to such swap agreement, or the
termination of any such obligations, shall be (i) deemed additional interest and/or a related expense (to be determined in the sole discretion
of Bank) due in connection with the principal amount of the Obligations subject to this Fifth Amended Replacement and Restated Credit
Agreement to the full extent thereof, and included in any judgment in any proceeding instituted by Bank or its agents against Debtor for
collection of any of the Obligations owed by Borrower to Bank.

 

		q.	“Permitted Distributions” has the meaning set forth in the Schedule.

 

		r.	“Permitted Guaranties” has the meaning set forth in the Schedule.

 

		s.	“Permitted Indebtedness” has the meaning set forth in the Schedule.

 

		t.	“Permitted Investments” has the meaning set forth in the Schedule.

 

		u.	“Permitted Liens” has the meaning set forth in the Schedule.

 

		v.	“Permitted Loans” has the meaning set forth in the Schedule.

 

		w.	“Quick Ratio” means the ratio of Current Assets less inventory (net of LIFO Reserve),
to Current Liabilities.

 

	 	w-1	“Revolver” Shall mean the Replacement Daily Adjusting LIBOR Revolving Line Note between Bank and Pike County Light &
Power Company dated October 13, 2020 in the maximum principal amount of $2,000,000.00

 

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		x.	“Schedule” means Schedule A, attached hereto and made a part hereof.

 

		y.	“Subordinated Debt” means all indebtedness of the Borrower which has been formally
subordinated to payment and collection of the Obligations on written terms approved by Bank in writing.

 

		z.	“Subsidiary” means any corporation or other business entity of which at least fifty
percent (50%) of the voting stock or other ownership interest is owned by the Borrower directly or indirectly through one or more Subsidiaries.

 

		aa.	“Tangible Net Worth” means the aggregate assets of Borrower
excluding all intangible assets, including, but not limited to, goodwill, licenses, trademarks, patents, copyrights, organization costs,
appraisal surplus, officer, stockholder, related entity and employee advances or receivables, mineral rights and the like, less liabilities,
plus Subordinated Debt, all determined in accordance with G.A.A.P. (except to the extent that under G.A.A.P. “tangible net worth”
excludes leasehold improvements which are included in “Tangible Net Worth” as defined herein).

 

		bb.	“Total Funded Debt” means as the sum of all obligations for borrowed money (including
Subordinated Debt and guaranties of obligations for borrowed money) plus all capital lease obligations, divided by EBITDA, in each
case calculated in accordance with G.A.A.P.

 

		cc.	“Total Liabilities” means the aggregate amount of all assets of the Borrower less the
sum of shareholder equity and Subordinated Debt (if any), as shown on the balance sheet properly prepared in accordance with G.A.A.P.

 

		dd.	“Transaction Documents” means this Agreement and all documents, instruments or other
agreements by the Borrower in favor of the Bank in connection (directly or indirectly) with the Obligations, whether now or hereafter
in existence, including, without limitation, promissory notes, security agreements, guaranties and letter of credit reimbursement agreements.

 

		ee.	“Unencumbered Liquid Assets” means cash, cash equivalents and/or publicly traded/quoted
marketable securities acceptable to Bank in its sole discretion, free of any lien or other encumbrance. Account assets held in a fiduciary
capacity by Borrower shall not qualify as Unencumbered Liquid Assets.

 

		ff.	“Unfunded Capital Expenditures” means, for any relevant period, the amount of Capital
Expenditures paid for out of ordinary operating cash flow and not financed through the incurrence of debt or the issuance of equity.

 

		gg.	“Working Capital” means that amount which is equal to the excess of Current Assets
over Current Liabilities.

 

		2.	REPRESENTATIONS AND WARRANTIES. The Borrower makes the following representations and warranties
and any “Additional Representations and Warranties” on the Schedule, all of which shall be deemed to be continuing representations
and warranties as long as this Agreement is in effect:

 

		a.	Good Standing; Authority. The Borrower and each Subsidiary (if either is not an individual) is
duly organized, validly existing and in good standing under the laws of the jurisdiction in which it was formed. The Borrower and each
Subsidiary is duly authorized to do business in each jurisdiction in which failure to be so qualified might have a material adverse effect
on its business or assets and has the power and authority to own each of its assets and to use them in the ordinary course of business
as contemplated now and in the future.

 

		b.	Compliance. The Borrower and each Subsidiary conducts its business and operations and the ownership
of its assets in compliance with each applicable statute, regulation and other law, including environmental laws. All approvals, including
authorizations, permits, consents, franchises, licenses, registrations, filings, declarations, reports and notices (the “Approvals”)
necessary for the conduct of the Borrower’s and each Subsidiary’s business and for the Credit have been duly obtained and
are in full force and effect. The Borrower and each Subsidiary is in compliance with the Approvals. The Borrower and each Subsidiary (if
either is not an individual) is in compliance with its certificate of incorporation, by-laws, partnership agreement, articles of organization,
operating agreement or other applicable organizational or governing document as may be applicable to the Borrower or a Subsidiary depending
on its organizational structure (“Governing Documents”). The Borrower and each Subsidiary is in compliance with each agreement
to which it is a party or by which it or any of its assets is bound.

 

		c.	Legality. The execution, delivery and performance by the Borrower of this Agreement and all related
documents, including the Transaction Documents, (i) are in furtherance of the Borrower’s purposes and within its power and authority;
(ii) do not (A) violate any statute, regulation or other law or any judgment, order or award of any court, agency or other governmental
authority or of any arbitrator with respect to the Borrower or any Subsidiary or (B) violate the Borrower’s or any Subsidiary’s
Governing Documents (if either is not an individual), constitute a default 

 

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	 	 	under any agreement binding on the Borrower or any Subsidiary
or result in a lien or encumbrance on any assets of the Borrower or any Subsidiary; and (iii) if the Borrower or any Subsidiary is not
an individual, have been duly authorized by all necessary organizational actions.
	 	 	 
		d.	Fiscal Year. The fiscal year of the Borrower is the calendar year unless the following blank states
otherwise: year ending September 30th.

 

		e.	Title to Assets. The Borrower and each Subsidiary has good and marketable title to each of its
assets free of security interests, mortgages or other liens or encumbrances, except as set forth on the Schedule titled “Permitted
Liens” or pursuant to the Bank’s prior written consent.

 

		f.	Judgments and Litigation. There is no pending or threatened claim, audit, investigation, action
or other legal proceeding or judgment, order or award of any court, agency or other governmental authority or arbitrator (any, an “Action”)
which involves the Borrower, its Subsidiaries or their respective assets and might have a material adverse effect upon the Borrower or
any Subsidiary or threaten the validity of the Credit, any Transaction Document or any related document or action. Borrower will immediately
notify the Bank in writing upon acquiring knowledge of any such Action.

 

		g.	Full Disclosure. Neither this Agreement nor any certificate, financial statement or other writing
provided to the Bank by or on behalf of the Borrower or any Subsidiary contains any statement of fact that is incorrect or misleading
in any material respect or omits to state any fact necessary to make any such statement not incorrect or misleading. The Borrower has
not failed to disclose to the Bank any fact that might have a material adverse effect on the Borrower or any Subsidiary.

 

		3.	AFFIRMATIVE COVENANTS. So long as this Agreement is in effect, the Borrower will comply, and cause
each of its Subsidiaries to comply, with the following covenants and any other “Additional Affirmative Covenant” contained
in the Schedule:

 

 

a.       Financial
Statements and Other Information. Promptly deliver to the Bank (i) within sixty (60) days after the end of each of its first three
fiscal quarters, an internally prepared financial statement of the Borrower and each subsidiary as of the end of such quarter,
which financial statement shall consist of income and cash flows for the quarter, for the corresponding quarter in the previous fiscal
year and for the period from the end of the previous fiscal year, with a consolidating and consolidated balance sheet as of the fiscal
year end all in such detail as the Bank may request; (ii) Borrower shall cause Corning Natural Gas Holding Corporation (“Holding”)
to promptly deliver to the Bank copies of all annual reports, proxy statements and similar information distributed to shareholders,
partners or members and of all filings with the Securities and Exchange Commission and the Pension Benefit Guaranty Corporation
and shall provide in form satisfactory to the Bank: (i) within sixty (60) days after the end of each of its first three fiscal
quarters, consolidating and consolidated statements of income and cash flows for the quarter, for the corresponding quarter in the previous
fiscal year and for the period from the end of the previous fiscal year, with a consolidating and consolidated balance sheet as of the
quarter end; and (ii) within one-hundred twenty days (120) after the end of each fiscal year, consolidating and consolidated statements
of Holding’s income and cash flows and its consolidating and consolidated balance sheet as of the end of such fiscal year,
setting forth comparative figures for the preceding fiscal year and to be:

 

☒
audited          ☐
reviewed          ☐
compiled

 

by an independent certified public accountant acceptable
to the Bank; all such statements shall be certified by Holding’s chief financial officer or partner to be correct, not misleading
and in accordance with Holding’s records and to present fairly the results of Holding’s operations and cash
flows and if annual its financial position at year end in conformity with generally accepted accounting principles. If no box is checked,
Holding shall deliver financial statements and information in the form and at the times satisfactory to the Bank. Holding
represents that its assets are not subject to any liens, encumbrances or contingent liabilities except as fully disclosed to the Bank
in such statements. Holding authorizes the Bank from time to time to obtain, verify and review all financial data deemed appropriate
by the Bank in connection with the Obligations, including without limitation credit reports from agencies. Holding understands
this requirement and has satisfied itself as to its meaning and consequences and acknowledges that it has made its own arrangements
for keeping informed of changes or potential changes affecting the Borrower including the Borrower’s financial condition; within
one hundred twenty (120) days after the end of each fiscal year, internally prepared statement of the Borrower and internally prepared
consolidating and consolidated statements of income and cash flows and its consolidating and consolidated balance sheet as of the
end of such fiscal year, setting forth comparative figures for the preceding fiscal year; all such statements shall be certified by the
Borrower’s chief financial officer to be correct and in accordance with the Borrower’s and each Subsidiary’s records
and to present fairly the 

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results of the Borrower’s and each Subsidiary’s operations and cash flows and its financial position
at year end; and (iii) with each of the financial statements set forth above in clauses (i) and (ii) statement of income, a certificate
executed by the Borrower’s chief executive or chief financial officers or other such person responsible for the financial management
of the Borrower (A) setting forth the computations required to establish the Borrower’s compliance with each financial covenant,
if any, during the statement period, (B) stating that the signer of the certificate has reviewed this Agreement and the operations and
condition (financial or other) of the Borrower and each of its Subsidiaries during the relevant period and (C) stating that no Event of
Default occurred during the period, or if an Event of Default did occur, describing its nature, the date(s) of its occurrence or period
of existence and what action the Borrower has taken with respect thereto; and (iv) prior to December 31 of each year, Borrower’s
operating and capital budgets for the succeeding year. The Borrower shall also promptly provide the Bank with copies of all annual reports,
proxy statements and similar information distributed to shareholders, partners or members, and copies of all filings with the Securities
and Exchange Commission and the Pension Benefit Guaranty Corporation, and shall provide, in form satisfactory to the Bank, such additional
information, reports or other information as the Bank may from time to time reasonably request regarding the financial and business affairs
of the Borrower or any Subsidiary. If the Borrower is an individual, the Borrower shall provide annually a personal financial statement
in form and detail acceptable to the Bank and such other financial information as the Bank may from time to time reasonably request. Promptly
upon the request of the Bank from time to time, Borrower shall supply all additional information requested and permit the Bank’s
officers, employees, accountants, attorneys and other agents to (x) visit and inspect each of Borrower’s premises, (y) Upon no less
than seven (7) days advance written notice to Borrower Bank may, at Bank’s sole expense, examine, audit, copy and extract from Borrower’s
records and (z) discuss Borrower’s or its affiliates’ business, operations, assets, affairs or condition (financial or other)
with its responsible officers and independent accountants.

 

		b.	Accounting; Tax Returns and Payment of Claims. Maintain a system of accounting and reserves in
accordance with generally accepted accounting principles, has filed and will file each tax return required of it and, except as disclosed
in the Schedule, has paid and will pay when due each tax, assessment, fee, charge, fine and penalty imposed by any taxing authority upon
it or any of its assets, income or franchises, as well as all amounts owed to mechanics, materialmen, landlords, suppliers and the like
in the normal course of business. Borrower shall notify Bank of any pending assessments or adjustments of its income tax payable with
respect to any year.

 

		c.	Inspections. Promptly upon the Bank’s request permit the Bank’s officers, attorneys
or other agents to inspect its and its Subsidiary’s premises, examine and copy its records and discuss its and its Subsidiary’s
business, operations and financial or other condition with its and its Subsidiary’s responsible officers and independent accountants.

 

		d.	Operating Accounts. Maintain all bank accounts with the Bank.

 

		e.	Changes in Management and Control. Immediately upon any change in the identity of the Borrower’s
chief executive officers or in its beneficial ownership, the Borrower will provide to the Bank a certificate executed by its senior individual
authorized to transact business on behalf of the Borrower, specifying such change.

 

		f.	Borrower Notices. Immediately upon acquiring reason to know of (i) any Event of Default, (ii) any
event or condition that might have a material adverse effect upon the Borrower or any Subsidiary or (iii) any change of its address or
of the location of any collateral securing the Obligations, the Borrower will provide to the Bank a certificate executed by the Borrower’s
senior individual authorized to transact business on behalf of the Borrower, specifying the date(s) and nature of the event and what action
the Borrower or its Subsidiary has taken or proposes to take with respect to it.

 

		g.	Insurance. Maintain its property in good repair and will on request provide the Bank with evidence
of insurance coverage satisfactory to the Bank, including fire and hazard, liability, workers’ compensation and business interruption
insurance and flood hazard insurance as required.

 

		h.	Additional Closing Conditions. As an additional condition to any advance of new funds to Borrower on
or after the date of this Agreement to be evidenced by the Multiple Disbursement Term Note: (i) Borrower must provide to Bank evidence
that it has contributed from working capital the amount of not less than 30% of the cost of any capital expenditure project financed with
such advance; and (ii) Borrower must provide a copy of its most current capital expenditure tracking report submitted to the State of
Pennsylvania Public Utility Commission with any request for advance.

 

		4.	NEGATIVE COVENANTS. As long as this Agreement is in effect, the Borrower shall not violate, and
shall not suffer or permit any of its Subsidiaries to violate, any of the following covenants and any “Additional Negative Covenant”
on the Schedule. The Borrower shall not:

 

		a.	Intentionally Omitted.

 

		b.	Intentionally Omitted.

 

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		c.	Intentionally Omitted.

 

		d.	Intentionally Omitted. 

 

		e.	Intentionally Omitted.

 

		f.	Intentionally Omitted. 

 

		g.	Changes in Form or Control. (i) Transfer or dispose of substantially all of its assets, (ii) acquire
substantially all of the assets of any other entity, (iii) do business under or otherwise use any name other than its true name or (iv)
make any material change in its business, structure, ownership, purposes or operations. If the Borrower or any Subsidiary is not an individual,
(i) participate in any merger, consolidation or other absorption or (ii) make, terminate or permit to be revoked any election pursuant
to Subchapter S of the Internal Revenue Code.

 

		h.	Sale of Assets. Sell, transfer lease or otherwise dispose of any assets (including, without limitation,
pursuant to any sale/leaseback transaction, securitization transaction, or with respect to any equity interest owned by it) other than
sales, transfers and dispositions of (y) inventory in the ordinary course of business and (z) used, obsolete, worn out or surplus equipment
or property in the ordinary course of business;

 

		5.	FINANCIAL COVENANTS. During the term of this Agreement, the Borrower shall not violate, and shall
not suffer or permit any of its Subsidiaries to violate, any of the following covenants (complete applicable financial covenant) or any
Additional Financial Covenants on the Schedule. For purposes of this Section, if the Borrower has any Subsidiaries all references to
the Borrower shall include the Borrower and all of its Subsidiaries on a consolidated basis. Unless a different measurement period
is specified, compliance for the financial covenants shall be required at all times.

 

☐       A.       Borrower
shall maintain Tangible Net Worth of not less than $_________________, measured (select one: quarterly or annually) ______________ as
of each (select one: quarter or fiscal year) ___________ end.

 

☒       B.       Borrower
shall maintain a ratio of Total Funded Debt, excluding the then principal balance on the Revolver, to Tangible Net Worth of not
greater than 1:40:1.0, measured quarterly based on Borrower’s trailing twelve (12) month operating performance
as reflected in Borrower’s fiscal quarterly financial statements.

 

☐       C.       Borrower
shall maintain a Fixed Charge Coverage Ratio of not less than [___.___] to 1.00 measured quarterly on a trailing twelve month basis, commencing
with the period ending [__________________].

 

☒       D.       Borrower
shall maintain a ratio of Total Funded Debt, (excluding the then principal balance due on the Revolver) to EBITDA of not greater
than 3.75:1.0, measured quarterly based on Borrower’s trailing twelve (12) month operating performance as reflected
in Borrower’s fiscal quarterly financial statements

 

☐       E.       Borrower
shall not have suffered a net loss as of each fiscal year end, as determined in accordance with G.A.A.P., as reflected on its financial
statements furnished to Bank pursuant to the requirements of this Agreement.

 

☐       F.       Borrower
shall maintain a Current Ratio of not less than ________________:______________, measured (select one: quarterly or annually) ______________
as of each (select one: quarter or fiscal year) ___________ end.

 

☐       G.       Borrower
shall maintain a Quick Ratio of not less than ________________ to 1.00, measured [quarterly/annually] as of each quarter/fiscal year]
end.

 

☐       H.       Borrower
shall maintain Working Capital of not less than $______________________________, measured (select one: quarterly or annually) ______________
as of each (select one: quarter or fiscal year)___________ end.

 

☒       I.       Minimum
Debt Service Coverage Ratio. Borrower shall maintain a Minimum Debt Service Coverage Ratio of not less than 1.10:1.0, measured
quarterly based on Borrower’s trailing twelve (12) month operating performance as reflected in Borrower’s fiscal quarterly
financial statements.

 

☐       J.       Without
the prior written consent of Bank, Borrower shall not make any Capital Expenditures in excess of $______________ in the aggregate during
any fiscal year of Borrower.

 

☐       K.       Borrower
shall not pay or accrue during any fiscal year compensation (including but not limited to all salary, bonuses, consulting, management
or other fees, rentals and other payments to any person owning or managing 5%or more of the Borrower or any relative or cohabitant of
such a person, and to any entity under common control with or controlling the Borrower) exceeding $_______________ in the aggregate.

 

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☐       L.       Borrower
shall not become obligated as lessee pursuant to operating leases exceeding $_______________ in the aggregate during any fiscal year.

 

		6.	DEFAULT.

 

		a.	Events of Default. Any of the following events or conditions shall constitute an “Event of
Default”: (i) failure by the Borrower to pay when due (whether at the stated maturity, by acceleration or otherwise) the Obligations,
or any part thereof, or there occurs any event or condition which after notice, lapse of time or both will permit acceleration of any
Obligation; (ii) Borrower defaults in the performance of any obligation, condition, covenant or other provision of this Agreement, the
other Transaction Documents or any other agreement with the Bank or any of its affiliates or subsidiaries (collectively, “Affiliates”);
(iii) failure by the Borrower to pay when due (whether at the stated maturity, by acceleration, upon demand or otherwise) any indebtedness
or obligation owing to any third party or Affiliate or the occurrence of any event which could result in acceleration of payment of any
such indebtedness or the failure to perform any agreement with any third party or Affiliate; (iv) the sale, assignment transfer or delivery,
by operation of law or otherwise, of all or substantially all of the assets of the Borrower or the ownership interest in Borrower
to a third party; (v) a non-individual Borrower, without the Bank’s prior written consent, engages in, agrees to or approves a plan
for (a) reorganization, (b) merger or consolidation, (c) division into (or of) one or more entities or series of entities or allocation
or transfer of any of Borrower’s assets or liabilities as a result of such a division, (d) conversion to another form of business
entity, or (e) dissolution of Borrower or cessation by Borrower as a going business concern; (vi) the death or judicial declaration of
incompetency of Borrower, if an individual; (vii) failure by Borrower to pay, withhold or collect any tax as required by law; the service
or filing against Borrower or any of its assets of any lien (other than a lien permitted in writing by the Bank), judgment, garnishment,
order or award which Bank in good faith determines shall have a material adverse effect on the Borrower or the Borrower’s ability
to pay or perform the Obligations; (viii) if Borrower becomes insolvent or is generally not paying its debts as such debts become
due; (ix) the making of any general assignment by Borrower for the benefit of creditors; the appointment of a receiver or similar trustee
for Borrower or its assets; or the making of any, or sending notice of any intended, bulk sale; (x) Borrower commences (or has commenced
against it and not dismissed or stayed within forty-five (45) days) any proceeding or request for relief under any bankruptcy, insolvency
or similar laws now or hereafter in effect in the United States of America or any state or territory thereof or any foreign jurisdiction
or any formal or informal proceeding for the dissolution or liquidation of, settlement of claims against or winding up of affairs of Borrower;
(xi) any representation or warranty made in this Agreement, any other Transaction Documents, any related document, any other agreement
between Borrower and the Bank or any Affiliate or in any financial statement of Borrower or elsewhere was misleading in any material respect
when made; Borrower omits to state a material fact necessary to make the statements made in this Agreement, any other Transaction Document,
any related document, any other agreement between Borrower and the Bank or any Affiliate or any financial statement of Borrower or elsewhere
not misleading in light of the circumstances in which they were made; or, if upon the date of execution of this Agreement, there shall
have been any material adverse change in any of the facts disclosed in any financial statement, representation, warranty or elsewhere
that was not disclosed in writing to the Bank at or prior to the time of execution hereof; (xii) any pension plan of Borrower fails to
comply with applicable law or has vested unfunded liabilities that, in the opinion of the Bank, might have a material adverse effect on
Borrower’s ability to repay its debts; (xiii) an adverse change in the Borrower, its business, assets, operations, management, ownership,
affairs or condition (financial or otherwise) or the Bank’s collateral from the status shown on any financial statement or other
document submitted to the Bank or any Affiliate, and which change the Bank determines will have a material adverse effect on (a) the Bank’s
collateral, the Borrower, its business, assets, operations or condition (financial or otherwise), or (b) the ability of the Borrower to
pay or perform any obligation to the Bank; (xiv) any indication or evidence received by the Bank that the Borrower may have directly or
indirectly engaged in any type of activity which, in the Bank’s discretion, might result in the forfeiture of any property of the
Borrower to any governmental authority; (xv) the occurrence of any event described in sub-paragraph (i) through and including (xiv) hereof
with respect to any Subsidiary, endorser, guarantor or any other party liable for, or whose assets or any interest therein secures, payment
of any of the Obligations; (xvi) Borrower fails to supply new or additional collateral within ten (10) days of request by the Bank; or
(xvii) the Bank in good faith deems itself insecure with respect to payment or performance of the Obligations.

 

		b.	Rights and Remedies Upon Default. Upon the occurrence of any Event of Default, the Bank without
demand of performance or other demand, presentment, protest, advertisement or notice of any kind (except any notice required by law) to
or upon the Borrower, any Subsidiary or any other person (all and each of which demands, presentments, protests, advertisements and notices
are hereby waived), may exercise all rights and remedies under the Borrower’s or its Subsidiaries’ agreements with the Bank
or its Affiliates, applicable law, in equity or otherwise and may declare all or any part of any Obligations not payable on demand to
be immediately due and payable without demand or notice of any kind and terminate any obligation it may have to grant any additional loan,
credit or other financial accommodation to the Borrower or any Subsidiary. All or any part of any Obligations whether or not payable on
demand, shall be immediately due and payable automatically upon the occurrence of an Event of Default in sub-paragraphs (ix) or (x) 

 

    7 

     

    

	 	 	 
	 	 	above.
The provisions hereof are not intended in any way to affect any rights of the Bank with respect to any Obligations which may now or hereafter
be payable on demand.

 

		7.	EXPENSES. The Borrower shall pay to the Bank on demand all costs and expenses (including all fees
and disbursements of counsel retained for advice, suit, appeal or other proceedings or purpose and of any experts or agents it may retain),
which the Bank may incur in connection with (i) the administration of the Obligations, including any administrative fees the Bank may
impose for the preparation of discharges, releases or assignments to third-parties; (ii) the enforcement and collection of any Obligations
or any guaranty thereof; (iii) the exercise, performance, enforcement or protection of any of the rights of the Bank hereunder; or (iv)
the failure of the Borrower or any Subsidiary to perform or observe any provisions hereof. After such demand for payment of any cost,
expense or fee under this Section or elsewhere under this Agreement, the Borrower shall pay interest at the highest default rate specified
in any instrument evidencing any of the Obligations from the date payment is demanded by the Bank to the date reimbursed by the Borrower.
All such costs, expenses or fees under this Agreement shall be added to the Obligations.

 

		8.	TERMINATION. This Agreement shall remain in full force and effect until (i) all Obligations outstanding,
or contracted or committed for (whether or not outstanding), shall be finally and irrevocably paid in full and (ii) all Transaction Documents
have been terminated by the Bank.

 

		9.	RIGHT OF SETOFF. If an Event of Default occurs, the Bank shall have the right to set off against
the amounts owing under this Agreement and the other Transaction Documents any property held in a deposit or other account or otherwise
with the Bank or its Affiliates or otherwise owing by the Bank or its Affiliates in any capacity to the Borrower, its Subsidiary or any
guarantor of, or endorser of any of the Transaction Documents evidencing, the Obligations. Such setoff shall be deemed to have been exercised
immediately at the time the Bank or such Affiliate elect to do so.

 

		10.	USA PATRIOT ACT NOTICE. Bank hereby notifies the Borrower that pursuant to the requirements of
the USA PATRIOT Act (“Patriot Act”), it is required to obtain, verify and record information that identifies the Borrower,
which information includes the name and address of the Borrower and other information that will allow Bank to identify the Borrower in
accordance with the Patriot Act.  The Borrower agrees to, promptly following a request by Bank, provide all such other documentation
and information that Bank requests in order to comply with its ongoing obligations under applicable “know your customer” and
anti-money laundering rules and regulations, including the Patriot Act.

 

		11.	MISCELLANEOUS.

 

		a.	Notices. Any demand or notice hereunder or under any applicable law pertaining hereto shall be
in writing and duly given if delivered to Borrower (at its address on the Bank’s records) or to the Bank (at the address on page
one and separately to the Bank officer responsible for Borrower’s relationship with the Bank). Such notice or demand shall be deemed
sufficiently given for all purposes when delivered (i) by personal delivery and shall be deemed effective when delivered, or (ii) by mail
or courier and shall be deemed effective three (3) business days after deposit in an official depository maintained by the United States
Post Office for the collection of mail or one (1) business day after delivery to a nationally recognized overnight courier service (e.g.,
Federal Express). Notice by e-mail is not valid notice under this or any other agreement between Borrower and the Bank.

 

		b.	Generally Accepted Accounting Principles. Any financial calculation to be made, all financial statements
and other financial information to be provided, and all books and records, system of accounting and reserves to be kept in connection
with the provisions of this Agreement, shall be in accordance with generally accepted accounting principles consistently applied during
each interval and from interval to interval; provided, however, that in the event changes in generally accepted accounting principles
shall be mandated by the Financial Accounting Standards Board or any similar accounting body of comparable standing, or should be recommended
by Borrower’s certified public accountants, to the extent such changes would affect any financial calculations to be made in connection
herewith, such changes shall be implemented in making such calculations only from and after such date as Borrower and the Bank shall have
amended this Agreement to the extent necessary to reflect such changes in the financial and other covenants to which such calculations
relate.

 

		c.	Indemnification. If after receipt of any payment of all, or any part of, the Obligations, the Bank
is, for any reason, compelled to surrender such payment to any person or entity because such payment is determined to be void or voidable
as a preference, an impermissible setoff, or a diversion of trust funds, or for any other reason, the Transaction Documents shall continue
in full force and the Borrower shall be liable, and shall indemnify and hold the Bank harmless for, the amount of such payment surrendered.
The provisions of this Section shall be and remain effective notwithstanding any contrary action which may have been taken by the Bank
in reliance upon such payment, and any such contrary action so taken shall be without prejudice to the Bank’s rights under the Transaction
Documents and shall be deemed to have been conditioned upon such payment having become final and irrevocable. The provisions of this Section shall
survive the termination of this Agreement and the Transaction Documents.

 

    8 

     

    
		d.	Further Assurances. The Borrower shall take, and cause its Subsidiaries and affiliates to take,
such action and execute and deliver to the Bank such additional documents, instruments, certificates, and agreements as the Bank may reasonably
request from time to time to effectuate the purposes of the Transaction Documents and the transactions contemplated thereby, including,
without limitation, causing any Subsidiary, affiliate, entity or series of entities it may create hereafter through merger, division or
otherwise, to execute agreements, in form and substance acceptable to the Bank, (i) assuming or guarantying the Borrower’s obligations
under this Agreement and all related agreements and (ii) pledging assets to the Bank to the same extent as the Borrower.

 

		e.	Cumulative Nature and Non-Exclusive Exercise of Rights and Remedies. All rights and remedies of
the Bank pursuant to this Agreement and the Transaction Documents shall be cumulative, and no such right or remedy shall be exclusive
of any other such right or remedy. In the event of any unreconcilable inconsistencies, this Agreement shall control. No single or partial
exercise by the Bank of any right or remedy pursuant to this Agreement or otherwise shall preclude any other or further exercise thereof,
or any exercise of any other such right or remedy, by the Bank.

 

		f.	Governing Law; Jurisdiction. This Agreement has been delivered to and accepted by the Bank and
will be deemed to be made in the State of New York. Except as otherwise provided under federal law, this Agreement will be interpreted
in accordance with the laws of the State of New York excluding its conflict of laws rules. BORROWER HEREBY IRREVOCABLY CONSENTS TO
THE EXCLUSIVE JURISDICTION OF ANY STATE OR FEDERAL COURT IN THE STATE OF NEW YORK IN A COUNTY OR JUDICIAL DISTRICT WHERE THE BANK MAINTAINS
A BRANCH AND CONSENTS THAT THE BANK MAY EFFECT ANY SERVICE OF PROCESS IN THE MANNER AND AT BORROWER’S ADDRESS SET FORTH ABOVE FOR
PROVIDING NOTICE OR DEMAND; PROVIDED THAT NOTHING CONTAINED IN THIS AGREEMENT WILL PREVENT THE BANK FROM BRINGING ANY ACTION, ENFORCING
ANY AWARD OR JUDGMENT OR EXERCISING ANY RIGHTS AGAINST BORROWER INDIVIDUALLY, AGAINST ANY SECURITY OR AGAINST ANY PROPERTY OF BORROWER
WITHIN ANY OTHER COUNTY, STATE OR OTHER FOREIGN OR DOMESTIC JURISDICTION. Borrower acknowledges and agrees that the venue provided
above is the most convenient forum for both the Bank and Borrower. Borrower waives any objection to venue and any objection based on a
more convenient forum in any action instituted under this Agreement.

 

		g.	Joint and Several; Successors and Assigns. If there is more than one Borrower, each of them shall
be jointly and severally liable for all amounts, which become due, and the performance of all obligations under this Agreement, and the
term “the Borrower” shall include each as well as all of them. This Agreement shall be binding upon the Borrower and upon
its heirs and legal representatives, its successors and assignees, and shall inure to the benefit of, and be enforceable by, the Bank,
its successors and assignees and each direct or indirect assignee or other transferee of any of the Obligations; provided, however, that
this Agreement may not be assigned by the Borrower without the prior written consent of the Bank.

 

		h.	Waivers; Changes in Writing. No failure or delay of the Bank in exercising any power or right hereunder
shall operate as a waiver thereof, nor shall any single or partial exercise of any such right or power, or any abandonment or discontinuance
of steps to enforce such a right or power, preclude any other or further exercise thereof or the exercise of any other right or power.
The Borrower expressly disclaims any reliance on any course of dealing or usage of trade or oral representation of the Bank (including
representations to make loans to the Borrower) and agrees that none of the foregoing shall operate as a waiver of any right or remedy
of the Bank. No notice to or demand on the Borrower in any case shall entitle the Borrower to any other or further notice or demand in
similar or other circumstances. No waiver of any provision of this Agreement or consent to any departure by the Borrower therefrom shall
in any event be effective unless made specifically in writing by the Bank and then such waiver or consent shall be effective only in the
specific instance and for the purpose for which given. No modification to any provision of this Agreement shall be effective unless made
in writing in an agreement signed by the Borrower and the Bank.

 

		i.	Interpretation. Unless the context otherwise clearly requires, references to plural includes the
singular and references to the singular include the plural; references to “individual” shall mean a natural person and shall
include a natural person doing business under an assumed name (e.g., a “DBA”); the word “or” has the inclusive
meaning represented by the phrase “and/or”; the word “including”, “includes” and “include”
shall be deemed to be followed by the words “without limitation”; and captions or section headings are solely for convenience
and not part of the substance of this Agreement. Any representation, warranty, covenant or agreement herein shall survive execution and
delivery of this Agreement and shall be deemed continuous. Each provision of this Agreement shall be interpreted as consistent with existing
law and shall be deemed amended to the extent necessary to comply with any conflicting law. If any provision nevertheless is held invalid,
the other provisions shall remain in effect. The Borrower agrees that in any legal proceeding, a photocopy of this Agreement kept in the
Bank’s course of business may be admitted into evidence as an original.

 

    9 

     

    

		j.	Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be
deemed an original, but all of which together shall constitute one and the same instrument.

 

		k.	Waiver of Jury Trial. The Borrower and the Bank hereby knowingly,
voluntarily, and intentionally waive any right to trial by jury the Borrower and the Bank may have in any action or proceeding, in law
or in equity, in connection with this Agreement or any transactions related hereto. The Borrower represents and warrants that no representative
or agent of the Bank has represented, expressly or otherwise, that the Bank will not, in the event of litigation, seek to enforce this
jury trial waiver. The Borrower acknowledges that the Bank has been induced to enter into this Agreement by, among other things, the provisions
of this Section.

 

This Fifth Amended
Replacement and Restated Credit is intended to supersede and fully replace the previous Fourth Amended Replacement Credit Agreement which
was executed by the parties hereto on June 27, 2019. This Fifth Amended Replacement and Restated Credit Agreement shall govern the Replacement
Term Note between Borrower and Bank in the principal amount of $11,200,000.00 dated May 23, 2018, the Multiple Disbursement Term Note
between Borrower and Bank in the principal amount of $2,072,000.00 dated June 27, 2019, the Replacement Term Note between Borrower and
Bank in the principal amount of $489,739.84 dated June 27, 2019, the Replacement Daily Adjusting Libor Revolving Line Note dated October
13 , 2020 between Borrower and Bank in the amount of $2,000,000.00, the Multiple Disbursement Term Note in the principal amount of $1,315,000.00
dated October 13, 2020, the Multiple Disbursement Term Note in the principal amount of $150,000.00 dated August 19, 2021, the Multiple
Disbursement Term Note in the principal amount of $2,211,000.00, including extensions or modifications thereto, and Letter(s) of Credit
that may be issued by the Bank for the benefit of Borrower in an amount up to $2,500,000.00.

 

 

 

Acknowledgment. Borrower acknowledges that
it has read and understands all the provisions of this Agreement, including the Governing Law, Jurisdiction and Waiver
of Jury Trial, and has been advised by counsel as necessary or appropriate.

 

	 	 	M&T BANK
	 	 	 	 
	 	 	By	/s/ William Hoffmann
	Signature of Witness	 	 	 
	 	 	Name:	William Hoffmann
	Typed Name of Witness	 	 	 
	 	 	Title:	Relationship Manager
	 	 	 	 
	 	 	 	 
	 	 	PIKE COUNTY LIGHT & POWER COMPANY
	 	 	 	 
	 	 	 	 
	 	 	By	/s/ Charles Lenns
	Signature of Witness	 	 	 
	 	 	Name:	Charles Lenns
	Typed Name of Witness	 	 	 
	 	 	Title:	Vice President/Chief Financial Officer
	 	 	 	 

 

ACKNOWLEDGMENT

 

	STATE OF NEW YORK 	 )
	  	: SS.
	COUNTY OF BROOME	 )

 

On the 18th day of
August in the year 2021, before me, the undersigned, a Notary Public in and for said State, personally appeared WILLIAM HOFFMANN,
personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within
instrument and acknowledged to me that he executed the same in his capacity, and that by his signature on the instrument, the individual,
or the person upon behalf of which the individual acted, executed the instrument.

 

	 	/s/ Kelly J Anderson
	 	Notary Public

 

 

    10 

     

    

ACKNOWLEDGMENT

 

	STATE OF NEW YORK 	 )
	  	: SS.
	COUNTY OF BROOME	 )

 

 

On the 19th day of
August in the year 2021, before me, the undersigned, a Notary Public in and for said State, personally appeared CHARLES LENNS,
personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within
instrument and acknowledged to me that he executed the same in his capacity, and that by his signature on the instrument, the individual,
or the person upon behalf of which the individual acted, executed the instrument.

 

	 	/s/ Kelly J Anderson
	 	Notary Public

 

 

BANK USE ONLY

 

	Authorization Confirmed:  	 
	 	Signature

 

    11MULTIPLE DISBURSEMENT TERM
NOTE

New York

 

	August 19, 2021	$2,211,000.00

 

BORROWER (Name): Pike County Light &
Power Company 

(Organizational Structure): Corporation 

(State Law organized under): Pennsylvania 

(Address of residence/chief executive office): 105
Schneider Lane, Milford, PA 18337

 

		BANK:	M&T BANK, a New York banking corporation with its banking offices at One M&T Plaza, Buffalo, NY
14203. Attention: Office of the General Counsel.

 

Definitions. The following terms shall have
the indicated meanings in this Note:

 

		1.	“Amortization Commencement Date” s hall mean the first day of the Permanent Loan Period,
which shall be October 31, 2021.

		2.	“Amortization Period” shall be ten (10) years, and shall mean the approximate
number of years, starting on the Amortization Commencement Date, needed to result in the full repayment of the Principal Amount, if all
regularly scheduled payments are made at the required intervals over that period. The Amortization Period may be longer than the remaining
term of this loan and shall not compromise the enforceability of the Maturity Date.

		3.	“Disbursement Period” shall mean the period from the date of this Note to, but not
including, the Amortization Commencement Date, during which the Bank may advance funds to Borrower in accordance with the terms of this
Note and/or a Loan Agreement, if applicable.

		4.	“First Installment Payment Date” shall mean the first Payment Due Date following the
Amortization Commencement Date.

		5.	“Loan Agreement” shall mean any supplementary agreement, if any, between Borrower and
the Bank dated on or about the date hereof and/or in connection herewith, providing for the disbursement of funds under this Note, as
the same may be amended, modified or replaced from time to time.

		6.	“Maturity Date” shall mean the Payment Due Date in the 120th month
following the Amortization Commencement Date.

		7.	“New York Business Day” shall mean any day other than Saturday, Sunday or other day
in which commercial banking institutions in New York, New York are authorized or required by law or other governmental action to remain
closed for business.

		8.	“Payment Due Date” shall mean the 31st day of the applicable calendar
month (or if no date is inserted in the previous blank or there is no numerically corresponding day in a particular month, the last calendar
day of such month).

		9.	“Permanent Loan Period” shall mean the period from and including the Amortization Commencement Date to the Maturity
Date, during which Borrower shall repay the outstanding Principal Amount, with interest, as set forth below.

		10.	“Principal Amount” shall mean the amount actually advanced, which sum shall not exceed Two Million Two Hundred
Eleven Thousand and 00/100 ($2,211,000.00)

 

Promise to Pay. For value received, intending
to be legally bound, Borrower promises to pay to the order of the Bank, on the dates set forth below, the Principal Amount plus interest
as agreed below, all payments required by the Bank to fund any escrow accounts for the payment of taxes, insurance and/or other charges
(collectively, “Escrow”), and all fees and costs (including without limitation attorneys’ fees and disbursements whether
for internal or outside counsel) the Bank incurs in order to administer, service or modify the credit facility evidenced by this Note,
to collect any amount due under this Note, to negotiate or document a workout or restructuring, or to preserve its rights or realize upon
any guaranty or other security for the payment of this Note (“Expenses”).

 

Authorized Representatives. During the Disbursement
Period, the Bank may fund loan proceeds hereunder in reliance upon any oral, telephonic, written, teletransmitted or other request (the
“Request(s)”) that the Bank in good faith believes to be valid and to have been made by Borrower or on behalf of Borrower
by Michael I. German as President or Charles Lenns as Vice President and Chief Financial Officer  (include name(s) and title(s),
as appropriate) or any other officer, employee or representative of Borrower who is authorized or designated as a signer of loan documents
under the provisions of Borrower’s most recent resolutions or similar documents on file with the Bank (each an “Authorized
Person”). Notwithstanding that individual names may have been provided to the Bank, the Bank shall be permitted at any time to rely
solely on an individual’s title to ascertain whether that individual is an Authorized Person. The Bank may act on the Request of
any Authorized Person until the Bank shall have received from Borrower, and had a reasonable time to act on, written notice revoking the
authority of such Authorized Person. Borrower acknowledges that the transmission between Borrower and Bank of any Request or other instructions
involves the possibility of errors, omissions, misinterpretations, fraud and mistakes, and agrees to adopt such internal measures and
operational procedures as may be necessary to prevent such occurrences. By reason thereof, Borrower hereby assumes all risk of loss and
responsibility for, and releases and discharges the Bank from any and all responsibility or liability for, and agrees to indemnify, reimburse
on demand and hold Bank harmless from, any and all claims, actions, damages, losses, liability and expenses by reason of, arising out
of, or in any way connected with or related to: (i) Bank’s accepting, relying on and acting upon any Request or other instructions
with respect to the loan evidenced by this Note; or (ii) any such error, omission, misinterpretation, fraud or mistake, provided such
error, omission, misinterpretation, fraud or mistake is not directly caused by the Bank’s gross negligence or willful misconduct.
The Bank shall incur no liability to Borrower or to any other person as a direct or indirect result of funding any advance pursuant to
this paragraph.

 

Availability; Non-Revolving Credit. As a condition
to the advance of any funds hereunder, Borrower must demonstrate that it has funded 30% of the PSC approval capital expenditure costs
to be financed hereunder as described in the Revised Commitment Letter dated May 26, 2021 issued by Bank to Borrower. Borrower also agrees
that any request for an advance must be accompanied with a copy of a Pennsylvania Public Utility Commission capital expenditure tracker
report. Once the Disbursement Period ends, no further advances shall be Requested under this Note. The aggregate amount of all advances
made pursuant to this Note shall not exceed the Principal Amount, but in the event 

    1 

     

    

of any excess advances, the amount of any such excess
shall be due and payable immediately, with interest calculated at the applicable rate. Repayment of any portion of any advance made hereunder
shall NOT increase the remaining availability for future advances.

 

Interest. The unpaid Principal Amount of this
Note shall earn interest calculated on the basis of a 360-day year for the actual number of days of each year (365 or 366), from and including
the date the proceeds of this Note are disbursed to, but not including, the date all amounts hereunder are paid in full, at a rate per
year which shall be:

 

During the Disbursement Period:

 

Variable at 2.90 percentage points
above the greater of (a) One-Month LIBOR adjusting monthly, (b) .50% (the “LIBOR Index Disbursement Period Floor”).
See attached LIBOR Rate Rider, the terms of which are incorporated herein by reference, for definitions and additional provisions.

 

During the Permanent Loan Period:

 

Variable the greater
of (a) 2.90 percentage points above One-Month LIBOR with an effective Interest Period of equal duration, or (b) 2.90 percentage
points (the “Permanent Period Interest Rate Floor”). See attached LIBOR Rate Rider, the terms of which are incorporated herein
by reference, for definitions and additional provisions.

 

If no rate is specified above, interest shall accrue
at the Maximum Legal Rate (defined below) for the applicable period.

 

Maximum Legal Rate. It is the intent of the
Bank and Borrower that in no event shall interest be payable at a rate in excess of the maximum rate permitted by applicable law (the
“Maximum Legal Rate”). Solely to the extent necessary to prevent interest under this Note from exceeding the Maximum Legal
Rate, Borrower agrees that any amount that would be treated as excessive under a final judicial interpretation of applicable law shall
be deemed to have been a mistake and automatically canceled, and, if received by the Bank, shall be refunded to Borrower, without interest.

 

Default Rate. If an Event of Default (defined
below) occurs, the interest rate on the unpaid Principal Amount shall immediately be automatically increased to five (5) percentage points
above the otherwise applicable rate per year (“Default Rate”), and any judgment entered hereon or otherwise in connection
with any suit to collect amounts due hereunder shall bear interest at such Default Rate.

 

Payments. Payments shall be made in immediately
available United States funds at any banking office of the Bank.

 

Preauthorized Transfers from Deposit Account.
If a deposit account number is provided in the following blank, Borrower hereby authorizes the Bank to debit Borrower’s deposit
account #9864919171 with the Bank automatically for any amount which becomes due under this Note.

 

Interest Accrual; Application of Payments.
Interest will continue to accrue on the actual principal balance outstanding until the Principal Amount is paid in full. In connection
with any daily adjusting interest rate, payment invoices may reflect estimated interest accruals for a portion of each billing period
(to facilitate timely distribution of invoices in advance of each payment date), followed by appropriate interest accrual adjustments
reflected in the invoice for the succeeding billing period. All installment payments (excluding voluntary prepayments of principal) will
be applied as of the date each payment is received and processed. Payments may be applied in any order in the sole discretion of the Bank,
but, prior to an Event of Default, may be applied chronologically (i.e., oldest invoice first) to unpaid amounts due and owing, in the
following order: first to accrued interest, then to principal, then to Escrow, then to late charges and other fees, and then to all other
Expenses.

 

Repayment Terms. Borrower
shall pay to the Bank the Principal Amount and all interest owing pursuant to this Note in installments as follows:

 

During the Disbursement
Period:

 

All accrued and unpaid
interest, in amounts that may vary, on the Payment Due Date of each month, beginning on the first Payment Due Date following the date
of this Note, and continuing through and including the Amortization Commencement Date, or as otherwise invoiced by the Bank.

 

During the Permanent
Loan Period:

 

		(i)	119  consecutive monthly or quarterly (corresponding to the duration of the applicable Interest
Period; see attached LIBOR Rate Rider) installments of principal, each in the amount that would result in the outstanding Principal Amount,
as of the Amortization Commencement Date, being repaid in full over the course of the Amortization Period together with an equal number
of installments of interest payable in arrears in amounts that may vary, due and payable on the First Installment Payment Date and each
applicable Payment Due Date thereafter, and

 

		(ii)	ONE (1) FINAL INSTALLMENT, due and payable on the Maturity Date, in an amount equal to the outstanding
Principal Amount, together with all other amounts outstanding hereunder, including, without limitation, accrued interest, costs and expenses.

 

To the extent, if at all, that (i) the repayment
terms of this Note contemplate level installments of principal and interest during any period in which the applicable interest rate is
a variable rate (“Variable Rate P&I Period”), and (ii) during any such Variable Rate P&I Period, the applicable interest
rate changes in accordance with the terms of this Note, the Bank may, but shall be under no obligation to, recalculate and adjust at any
time the installment amount due and payable to the Bank, so as to appropriately reamortize the unpaid Principal Amount, as of the date
of such adjustment through the Maturity Date (or such other date as may be provided for herein). Borrower understands that non-adjustment
of the installment amount as described herein could result in a greater portion of the unadjusted installment amount being applied to
interest due, leaving less available to reduce the Principal Amount balance, resulting in a higher than expected Principal Amount balance
due and payable to the Bank on the Maturity Date. Absent manifest error, the Bank’s determination of any amount due in connection
herewith shall be conclusive.

 

    2 

     

    

Late Charge. If Borrower fails to pay, within
five (5) days of its due date, any amount due and owing pursuant to this Note or any other agreement executed and delivered to the Bank
in connection with this Note, including, without limitation, any Escrow payment due and owing, Borrower shall immediately pay to the Bank
a late charge equal to the greatest of (a) $50.00, (b) five percent (5%) of the delinquent amount or (c) the Bank’s then current
late charge as announced by the Bank from time to time. Notwithstanding the above, if this Note is secured by a one- to six-family owner-occupied
residence, the late charge shall equal 2% of the delinquent amount and shall be payable if payment is not received within fifteen days
of its due date.

 

Prepayment Premium. During the term of this
Note, Borrower shall have the option of paying the unpaid Principal Amount to the Bank in advance of the Maturity Date, in whole or in
part, at any time and from time to time upon written notice received by the Bank at least three (3) days prior to making such payment;
provided, however, as consideration for the privilege of making such prepayment, Borrower shall pay to the Bank a fee (the “Premium”)
equal to the amount provided for on the LIBOR Rate Rider. Any partial prepayment of principal shall be posted as of the date received
and applied in inverse order of maturity. With any prepayment in full of the Principal Amount balance, Borrower shall also pay to the
Bank all accrued interest and Expenses owing pursuant to this Note. In the event the Maturity Date of this Note is accelerated following
an Event of Default, the Bank’s right to collect the Premium, as liquidated damages, shall accrue immediately, with the amount of
the Premium to be determined in accordance with the terms of this Note at the time of any actual prepayment or other satisfaction, in
whole or in part, by any means, of the principal indebtedness evidenced by this Note. Any tender of payment by or on behalf of the Borrower
made after such Event of Default to satisfy or reduce the principal indebtedness shall be expressly deemed a voluntary prepayment, in
which case, to the extent permitted by law, the Bank shall be entitled to the amount necessary to satisfy the entire indebtedness, plus
the appropriate Premium calculated in accordance with the terms of this Note.

 

Increased Costs. If the Bank shall determine
that, due to either (a) the introduction of any change in (or in the interpretation of) any requirement of law or (b) compliance with
any guideline or request from any central bank or other governmental or regulatory authority (whether or not having the force of law),
there shall be any increase in the cost to the Bank of agreeing to make hereunder, then Borrower shall be liable for, and shall from time
to time, upon demand therefor by the Bank, pay to the Bank such additional amounts as are sufficient to compensate the Bank for such increased
costs.

 

Representations, Warranties and Covenants. Borrower
represents and warrants to and agrees and covenants with the Bank that now and until this Note is paid in full:

 

a.       Business
Purpose. The Loan proceeds shall be used only for a business purpose and not for any personal, family or household purpose.

 

b.       Good
Standing; Authority. Borrower is an entity or sole proprietor (i) duly organized and existing and in good standing under the laws
of the jurisdiction in which it was formed, (ii) duly qualified, in good standing and authorized to do business in every jurisdiction
in which failure to be so qualified might have a material adverse effect on its business or assets and (iii) has the power and authority
to own each of its assets and to use them as contemplated now or in the future.

 

c.       Legality.
The execution, issuance, delivery to the Bank and performance by Borrower of this Note (i) are in furtherance of Borrower’s purposes
and within its power and authority; (ii) do not (A) violate any statute, regulation or other law or any judgment, order or award of any
court, agency or other governmental authority or of any arbitrator or (B) violate Borrower’s certificate of incorporation or other
governing instrument, constitute a default under any agreement binding on Borrower, or result in a lien or encumbrance on any assets of
Borrower; and (iii) have been duly authorized by all necessary corporate or partnership action.

 

d.       Compliance.
The Borrower conducts its business and operations and the ownership of its assets in compliance with each applicable statute, regulation
and other law, including without limitation environmental laws. All approvals, including without limitation authorizations, permits, consents,
franchises, licenses, registrations, filings, declarations, reports and notices (the “Approvals”) necessary to the conduct
of Borrower’s business and for Borrower’s due issuance of this Note have been duly obtained and are in full force and effect.
The Borrower is in compliance with all conditions of each Approval.

 

e.       
Financial Statements and Other Information. Promptly deliver to the Bank (i) within sixty (60) days after the end of each of its first
three fiscal quarters, an internally prepared financial statement of the Borrower and each subsidiary as of the end of such quarter, which
financial statement shall consist of income and cash flows for the quarter, for the corresponding quarter in the previous fiscal year
and for the period from the end of the previous fiscal year, with a consolidating and consolidated balance sheet as of the quarter end
all in such detail as the Bank may request; (ii) within one hundred twenty (120) days after the end of each fiscal year, internally
prepared consolidating and consolidated statements of the Borrower’s and each subsidiary’s income and cash flows and its
consolidating and consolidated balance sheet as of the end of such fiscal year, setting forth comparative figures for the preceding fiscal
year; all such statements shall be certified by the Borrower’s chief financial officer to be correct and in accordance with
the Borrower’s and each Subsidiary’s records and to present fairly the results of the Borrower’s and each Subsidiary’s
operations and cash flows and its financial position at year end; and (iii) with each of the financial statements set forth above in clauses
(i) and (ii) statement of income, a certificate executed by the Borrower’s chief executive or chief financial officers or other
such person responsible for the financial management of the Borrower (A) setting forth the computations required to establish the Borrower’s
compliance with each financial covenant, if any, during the statement period, (B) stating that the signer of the certificate has reviewed
the Credit Agreement and the operations and condition (financial or other) of the Borrower and each of its Subsidiaries during the relevant
period and (C) stating that no Event of Default occurred during the period, or if an Event of Default did occur, describing its nature,
the date(s) of its occurrence or period of existence and what action the Borrower has taken with respect thereto; and (iv) prior to December
31 of each year, Borrower’s operating and capital budgets for the succeeding year. The Borrower shall also promptly provide the
Bank with copies of all annual reports, proxy statements and similar information distributed to shareholders, partners or members, and
copies of all filings with the Securities and Exchange Commission and the Pension Benefit Guaranty Corporation, and shall provide, in
form satisfactory to the Bank, such additional information, reports or other information as the Bank may from time to time reasonably
request regarding the financial and business affairs of the Borrower or any Subsidiary. If the Borrower is an individual, the Borrower
shall provide annually a personal financial statement in form and detail acceptable to the Bank and such other financial information as
the Bank may from time to time reasonably request. Promptly upon the request of the Bank from time to time, Borrower shall supply all
additional information requested and permit the Bank’s officers, employees, accountants, attorneys and other agents to (x) visit
and inspect each of Borrower’s premises, (y) Upon no less than seven (7) days advance written notice to Borrower Bank may, at Bank’s
sole expense, examine, audit, copy and extract from Borrower’s records and (z) discuss Borrower’s or its affiliates’
business, operations, assets, affairs or condition (financial or other) with its responsible officers and independent accountants. Borrower
shall cause Corning Natural Gas Holding Corporation (“Holding”) to (i) promptly deliver to the Bank copies of all annual reports,
proxy statements and similar information distributed to shareholders, partners or members and of all filings with the Securities and Exchange
Commission and the Pension Benefit Guaranty Corporation, and (ii) provide in form satisfactory to the Bank: (a) within sixty (60) days
after the end of each of its first three fiscal quarters, consolidating and consolidated 

    3 

     

    

statements of income and cash flows for the quarter,
for the corresponding quarter in the previous fiscal year and for the period from the end of the previous fiscal year, with a consolidating
and consolidated balance sheet as of the quarter end; and (b) within one-hundred twenty days (120) after the end of each fiscal year,
consolidating and consolidated statements of Holding’s income and cash flows and its consolidating and consolidated balance sheet
as of the end of such fiscal year, setting forth comparative figures for the preceding fiscal year and to be:

 

☒
audited          ☐
reviewed          ☐
compiled

 

by an independent certified
public accountant acceptable to the Bank; all such statements shall be certified by Holding’s chief financial officer or partner
to be correct, not misleading and in accordance with Holding’s records and to present fairly the results of Holding’s operations
and cash flows and if annual its financial position at year end in conformity with generally accepted accounting principles. If no box
is checked, Holding shall deliver financial statements and information in the form and at the times satisfactory to the Bank. Holding
represents that its assets are not subject to any liens, encumbrances or contingent liabilities except as fully disclosed to the Bank
in such statements. Holding authorizes the Bank from time to time to obtain, verify and review all financial data deemed appropriate by
the Bank in connection with the Obligations, including without limitation credit reports from agencies. Holding understands this requirement
and has satisfied itself as to its meaning and consequences and acknowledges that it has made its own arrangements for keeping informed
of changes or potential changes affecting the Borrower including the Borrower’s financial condition.

 

 

f.       Accounting;
Tax Returns and Payment of Claims. Borrower will maintain a system of accounting and reserves in accordance with generally accepted
accounting principles, has filed and will file each tax return required of it and, except as disclosed in an attached schedule, has paid
and will pay when due each tax, assessment, fee, charge, fine and penalty imposed by any taxing authority upon Borrower or any of its
assets, income or franchises, as well as all amounts owed to mechanics, materialmen, landlords, suppliers and the like in the ordinary
course of business.

 

g.       Title
to Assets; Insurance. Borrower has good and marketable title to each of its assets free of security interests and mortgages and other
liens except as disclosed in its financial statements or on a schedule attached to this Note or pursuant to the Bank’s prior written
consent. Borrower will maintain its property in good repair and will maintain and on request provide the Bank with evidence of insurance
coverage satisfactory to the Bank including without limitation fire and hazard, liability, worker’s compensation and business interruption
insurance and flood hazard insurance as required.

 

h.       Judgments
and Litigation. There is no pending or threatened claim, audit, investigation, action or other legal proceeding or judgment, order
or award of any court, agency or other governmental authority or arbitrator (each an “Action”) which involves Borrower or
its assets and might have a material adverse effect upon Borrower or threaten the validity of this Note or any related document or transaction.
Borrower will immediately notify the Bank in writing upon acquiring knowledge of any such Action.

 

i.       Borrower
Notices. Borrower will immediately notify the Bank in writing (i) of any change in its address or of the location of any collateral
securing this Note, (ii) of the occurrence of any Event of Default defined below, (iii) of any material change in Borrower’s ownership
or management and (iv) of any material adverse change in Borrower’s ability to repay this Note.

 

j.       No
Transfer of Assets. Until this Note is paid in full, Borrower shall not without the prior written consent of the Bank (i) sell or
otherwise dispose of substantially all of its assets, (ii) acquire substantially all of the assets of another entity, (iii) if it is a
corporation, participate in any merger, consolidation or other absorption or (iv) agree to do any of these things.

 

k.       Further
Assurances. The Borrower shall, and shall cause its affiliates to take such action and execute and deliver to the Bank such additional
documents, instruments, certificates, and agreements as the Bank may reasonably request from time to time to effectuate the purposes and
intent of the transaction(s) contemplated hereby, including, without limitation, causing any affiliate, entity or series of entities it
may create hereafter through merger, division or otherwise, to execute agreements, in form and substance acceptable to Bank, (i) assuming
or guarantying the Borrower’s obligations under this Note and all related agreements and (ii) pledging assets to the Bank to the
same extent as the Borrower.

 

Events of Default. Any of the following events
or conditions shall constitute an “Event of Default”: (i) failure by the Borrower to pay when due (whether at the stated maturity,
by acceleration or otherwise) the Obligations, or any part thereof, or there occurs any event or condition which after notice, lapse of
time or both will permit acceleration of any Obligation; (ii) Borrower defaults in the performance of any obligation, condition, covenant
or other provision of this Agreement, the other Transaction Documents or any other agreement with the Bank or any of its affiliates or
subsidiaries (collectively, “Affiliates”); (iii) failure by the Borrower to pay when due (whether at the stated maturity,
by acceleration, upon demand or otherwise) any indebtedness or obligation owing to any third party or Affiliate or the occurrence of any
event which could result in acceleration of payment of any such indebtedness or the failure to perform any agreement with any third party
or Affiliate; (iv) the sale, assignment transfer or delivery, by operation of law or otherwise, of all or substantially all of the assets
of the Borrower or the ownership interests in Borrower to a third party; (v) a non-individual Borrower, without the Bank’s
prior written consent, engages in, agrees to or approves a plan for (a) reorganization,, (b) merger or consolidation, (c) division
into (or of) one or more entities or series of entities or allocation or transfer of any of Borrower’s assets or liabilities as
a result of such a division, (d) conversion to another form of business entity, or (e) dissolution of Borrower or cessation by Borrower
as a going business concern; (vi) the death or judicial declaration of incompetency of Borrower, if an individual; (vii) failure by Borrower
to pay, withhold or collect any tax as required by law; the service or filing against Borrower or any of its assets of any lien (other
than a lien permitted in writing by the Bank), judgment, garnishment, order or award which Bank in good faith determines shall have
a material adverse effect on the Borrower or the Borrower’s ability to pay or perform the Obligations; (viii) if Borrower becomes
insolvent or is generally not paying its debts as such debts become due; (ix) the making of any general assignment by Borrower for the
benefit of creditors; the appointment of a receiver or similar trustee for Borrower or its assets; or the making of any, or sending notice
of any intended, bulk sale; (x) Borrower commences (or has commenced against it and not dismissed or stayed within forty-five (45) days)
any proceeding or request for relief under any bankruptcy, insolvency or similar laws now or hereafter in effect in the United States
of America or any state or territory thereof or any foreign jurisdiction or any formal or informal proceeding for the dissolution or liquidation
of, settlement of claims against or winding up of affairs of Borrower; (xi) any representation or warranty made in this Agreement, any
other Transaction Documents, any related document, any other agreement between Borrower and the Bank or any Affiliate or in any financial
statement of Borrower or elsewhere was misleading in any material respect when made; Borrower omits to state a material fact necessary
to make the statements made in this Agreement, any other Transaction Document, any related document, any other agreement between Borrower
and the Bank or any Affiliate or any financial statement of Borrower or elsewhere not misleading in light of the circumstances in which
they were made; or, if upon the date of execution of this Agreement, there shall have been any material adverse change in any of the facts

    4 

     

    

disclosed in any financial statement, representation, warranty or elsewhere that was not disclosed in writing to the Bank at or prior
to the time of execution hereof; (xii) any pension plan of Borrower fails to comply with applicable law or has vested unfunded liabilities
that, in the opinion of the Bank, might have a material adverse effect on Borrower’s ability to repay its debts; (xiii) an adverse
change in the Borrower, its business, assets, operations, management, ownership, affairs or condition (financial or otherwise) or the
Bank’s collateral from the status shown on any financial statement or other document submitted to the Bank or any Affiliate, and
which change the Bank determines will have a material adverse effect on (a) the Bank’s collateral, the Borrower, its business, assets,
operations or condition (financial or otherwise), or (b) the ability of the Borrower to pay or perform any obligation to the Bank; (xiv)
any indication or evidence received by the Bank that the Borrower may have directly or indirectly engaged in any type of activity which,
in the Bank’s discretion, might result in the forfeiture of any property of the Borrower to any governmental authority; (xv) the
occurrence of any event described in sub-paragraph (i) through and including (xiv) hereof with respect to any Subsidiary, endorser, guarantor
or any other party liable for, or whose assets or any interest therein secures, payment of any of the Obligations; (xvi) Borrower fails
to supply new or additional collateral within ten (10) days of request by the Bank; or (xvii) the Bank in good faith deems itself insecure
with respect to payment or performance of the Obligations.

 

Rights and Remedies Upon Default. Upon the
occurrence of any Event of Default, the Bank without demand of performance or other demand, presentment, protest, advertisement or notice
of any kind (except any notice required by law) to or upon the Borrower or any other person (all and each of which demands, presentments,
protests, advertisements and notices are hereby waived), may exercise all rights and remedies under the Borrower’s agreements with
the Bank or its Affiliates, applicable law, in equity or otherwise and may declare all or any part of any amounts due hereunder not payable
on demand to be immediately due and payable without demand or notice of any kind and terminate any obligation it may have to grant any
additional loan, credit or other financial accommodation to the Borrower. All or any part of any amounts due hereunder whether or not
payable on demand, shall be immediately due and payable automatically upon the occurrence of an Event of Default in sub-paragraphs (ix)
or (x) above, or at the Bank’s option, upon the occurrence of any other Event of Default. The provisions hereof are not intended
in any way to affect any rights of the Bank with respect to any amounts due hereunder which may now or hereafter be payable on demand.

 

Right of Setoff. The Bank shall have the right
to set off against the amounts owing under this Note any property held in a deposit or other account with the Bank or any Affiliates or
otherwise owing by the Bank or any Affiliates in any capacity to Borrower or any Guarantor or endorser of this Note. Such set-off shall
be deemed to have been exercised immediately at the time the Bank or such Affiliate elects to do so.

 

USA PATRIOT Act Notice. Bank hereby notifies
the Borrower that pursuant to the requirements of the USA PATRIOT Act (“Patriot Act”), it is required to obtain, verify and
record information that identifies the Borrower, which information includes the name and address of the Borrower and other information
that will allow Bank to identify the Borrower in accordance with the Patriot Act.  The Borrower agrees to, promptly following a request
by Bank, provide all such other documentation and information that Bank requests in order to comply with its ongoing obligations under
applicable “know your customer” and anti-money laundering rules and regulations, including the Patriot Act.

 

Miscellaneous. Simultaneously herewith, the Borrower
and Bank have entered into a Fifth Amended Replacement and Restated Credit Agreement (the “Credit Agreement”), the terms of
which control and are incorporated in this Note. This Note, together with the Credit Agreement and this Note, together with
any related loan and collateral agreements and guaranties, contains the entire agreement between the Bank and Borrower with respect to
the Note, and supersedes every course of dealing, other conduct, oral agreement and representation previously made by the Bank. All rights
and remedies of the Bank under applicable law and this Note or amendment of any provision of this Note are cumulative and not exclusive.
No single, partial or delayed exercise by the Bank of any right or remedy shall preclude the subsequent exercise by the Bank at any time
of any right or remedy of the Bank without notice. No waiver or amendment of any provision of this Note shall be effective unless made
specifically in writing by the Bank. No course of dealing or other conduct, no oral agreement or representation made by the Bank, and
no usage of trade, shall operate as a waiver of any right or remedy of the Bank. No waiver of any right or remedy of the Bank shall be
effective unless made specifically in writing by the Bank. Borrower agrees that in any legal proceeding, a copy of this Note kept in the
Bank’s course of business may be admitted into evidence as an original. This Note is a binding obligation enforceable against Borrower
and its successors and assigns and shall inure to the benefit of the Bank and its successors and assigns. If a court deems any provision
of this Note invalid, the remainder of the Note shall remain in effect. Section headings are for convenience only. Singular number includes
plural and neuter gender includes masculine and feminine as appropriate.

 

Notices. Any demand or notice hereunder or
under any applicable law pertaining hereto shall be in writing and duly given if delivered to Borrower (at its address on the Bank’s
records) or to the Bank (at the address on page one and separately to the Bank officer responsible for Borrower’s relationship with
the Bank). Such notice or demand shall be deemed sufficiently given for all purposes when delivered (i) by personal delivery and shall
be deemed effective when delivered, or (ii) by mail or courier and shall be deemed effective three (3) business days after deposit in
an official depository maintained by the United States Post Office for the collection of mail or one (1) business day after delivery to
a nationally recognized overnight courier service (e.g., Federal Express). Notice by e-mail is not valid notice under this or any
other agreement between Borrower and the Bank.

 

Joint and Several. If there is more than one
Borrower, each of them shall be jointly and severally liable for all amounts and obligations that become due under this Note and the term
“Borrower” shall include each as well as all of them.

 

Governing Law; Jurisdiction. This Note has
been delivered to and accepted by the Bank and will be deemed to be made in the State of New York. Except as otherwise provided under
federal law, this Note will be interpreted in accordance with the laws of the State of New York excluding its conflict of laws rules.
Borrower hereby irrevocably consents to the exclusive jurisdiction of any state or federal
court in New York State in a County or Judicial district where the Bank maintains a branch and consents that the Bank may effect any service
of process in the manner and at Borrower’s address set forth above for providing notice or demand; provided that nothing contained
in this Note will prevent the Bank from bringing any action, enforcing any award or judgment or exercising any rights against Borrower
individually, against any security or against any property of Borrower within any other county, state or other foreign or domestic jurisdiction.
Borrower acknowledges and agrees that the venue provided above is the most convenient forum for both the Bank and Borrower. Borrower waives
any objection to venue and any objection based on a more convenient forum in any action instituted under this Note.

 

Waiver of Jury Trial. Borrower
and the Bank hereby knowingly, voluntarily, and intentionally waive any right to trial by jury Borrower and the Bank may have in any action
or proceeding, in law or in equity, in connection with this note or the transactions related hereto. Borrower represents and warrants
that no representative or agent of the Bank has represented, expressly or otherwise, that the Bank will not, in the event of litigation,
seek to enforce this jury trial waiver. Borrower Acknowledges that the Bank has been induced to enter into this note by, among other things,
the provisions of this Section.

 

    5 

     

    

☐       Amended
and Restated Note. The Borrower acknowledges, agrees and understands
that this Note is given in replacement of and in substitution for, but not in payment of, a prior note dated on or about ____________,
____, in the original principal amount of $__________, given by Borrower in favor of the Bank (or its predecessor-in-interest),
as the same may have been amended or modified from time to time (“Prior Note”), and further, that: (a) the obligations of
the Borrower as evidenced by the Prior Note shall continue in full force and effect, as amended and restated by this Note, all of such
obligations being hereby ratified and confirmed by the Borrower; (b) any and all liens, pledges, assignments and security interests securing
the Borrower's obligations under the Prior Note shall continue in full force and effect, are hereby ratified and confirmed by the Borrower,
and are hereby acknowledged by the Borrower to secure, among other things, all of the Borrower's obligations to the Bank under this Note,
with the same priority, operation and effect as that relating to the obligations under the Prior Note; and (c) nothing herein contained
shall be construed to extinguish, release, or discharge, or constitute, create, or effect a novation of, or an agreement to extinguish,
the obligations of the Borrower with respect to the indebtedness originally described in the Prior Note or any of the liens, pledges,
assignments and security interests securing such obligations.

 

Acknowledgment. Borrower acknowledges that
it has read and understands all the provisions of this Note, including the provisions relating to Governing Law, Jurisdiction
and Waiver of Jury Trial, and has been advised by counsel as necessary or appropriate.

 

	 	 	PIKE COUNTY LIGHT & POWER COMPANY
	 	 	 	 
	 	 	 	 
	 	By:	/s/ Charles Lenns
	 	 	Name:	Charles Lenns
	 	 	Title:	Vice President/Chief Financial Officer

 

 

 

ACKNOWLEDGMENT

 

	STATE OF NEW YORK 	 )
	  	: SS.
	COUNTY OF BROOME	 )

 

On the 19th day of
August, in the year 2021, before me, the undersigned, a Notary Public in and for said State, personally appeared CHARLES LENNS
personally known to me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within
instrument and acknowledged to me that he executed the same in his capacity, and that by his signature on the instrument, the individual,
or the person upon behalf of which the individual acted, executed the instrument.

 

 

	 	/s/ Kelly J Anderson
	 	Notary Public

 

 

 

BANK USE ONLY

 

	Authorization Confirmed:  	 	 	 	 	 	 	 
	Disbursement of Funds:	 	 	 	 	 	 
	 	 	 	 	 	 	 	 
	Credit A/C	# 	 	Off Ck	# 	 	Payoff Obligation	# 
	 	 	 	 	 	 	 	 
	 	$ 	 	 	$ 	 	 	$ 

    6

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