SEC Contract Filing

Filing Date: 2019-09-13

Document Content:
<DOCUMENT>
<TYPE>EX-10.3
<SEQUENCE>6
<FILENAME>nt10002760x10_ex10-3.htm
<DESCRIPTION>EXHIBIT 10.3
<TEXT>
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 <p style="FONT-WEIGHT: bold; TEXT-ALIGN: right; MARGIN: 0px">E<font style="FONT-VARIANT: small-caps">xhibit</font> 10.3</p>
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 <p style="MARGIN-BOTTOM: 0pt; TEXT-ALIGN: center; MARGIN-TOP: 0pt">ADMINISTRATION AGREEMENT</p>
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 <p style="FONT: 10pt Times New Roman, Times, Serif; MARGIN: 0pt 0px; TEXT-INDENT: 1in">This ADMINISTRATION AGREEMENT, dated as of September 18, 2019 (this &#8220;<u>Administration Agreement</u>&#8221;), is entered into by and between AEP <font style="TEXT-TRANSFORM: uppercase">Texas INC. </font>(&#8220;<u>AEP Texas</u>&#8221;), as administrator (in such capacity, the &#8220;<u>Administrator</u>&#8221;), and AEP TEXAS RESTORATION FUNDING LLC, a Delaware limited liability company (the &#8220;<u>Issuer</u>&#8221;). Capitalized
 terms used herein and not otherwise defined herein shall have the meanings assigned to such terms in <u>Appendix A</u> to the Indenture (as defined below).</p>
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 <p style="TEXT-ALIGN: center; FONT: 10pt Times New Roman, Times, Serif; MARGIN: 0pt 0px">W I T N E S S E T H:</p>
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 <p style="FONT: 10pt Times New Roman, Times, Serif; MARGIN: 0pt 0px; TEXT-INDENT: 1in">WHEREAS, the Issuer is issuing System Restoration Bonds pursuant to that certain Indenture (including <u>Appendix A</u> thereto) dated as of the date hereof (the &#8220;<u>Indenture</u>&#8221;),

 by and between the Issuer and U.S. Bank National Association, a national banking association, in its capacity as indenture trustee (the &#8220;<u>Indenture Trustee</u>&#8221;) and in its separate capacity as a securities intermediary (the &#8220;<u>Securities
 Intermediary</u>&#8221;), as the same may be amended, restated, supplemented or otherwise modified from time to time, and the Series Supplement;</p>
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 <p style="FONT: 10pt Times New Roman, Times, Serif; MARGIN: 0pt 0px; TEXT-INDENT: 1in">WHEREAS, the Issuer has entered into certain agreements in connection with the issuance of the System Restoration Bonds, including (i) the Indenture, (ii) the
 Transition Property Servicing Agreement, dated as of September 18, 2019 (the &#8220;<u>Servicing Agreement</u>&#8221;), by and between the Issuer and AEP Texas, as Servicer, (iii) the Transition Property Purchase and Sale Agreement, dated as of September 18, 2019
 (the &#8220;<u>Sale Agreement</u>&#8221;), by and between the Issuer and AEP Texas, as Seller and (iv) the other Basic Documents to which the Issuer is a party, relating to the System Restoration Bonds (the Indenture, the Servicing Agreement, the Sale Agreement
 and the other Basic Documents to which the Issuer is a party, as such agreements may be amended and supplemented from time to time, being referred to hereinafter collectively as the &#8220;<u>Related Agreements</u>&#8221;);</p>
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 <p style="FONT: 10pt Times New Roman, Times, Serif; MARGIN: 0pt 0px; TEXT-INDENT: 1in">WHEREAS, pursuant to the Related Agreements, the Issuer is required to perform certain duties in connection with the Related Agreements, the System Restoration Bonds
 and the System Restoration Bond Collateral pledged to the Indenture Trustee pursuant to the Indenture;</p>
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 <p style="FONT: 10pt Times New Roman, Times, Serif; MARGIN: 0pt 0px; TEXT-INDENT: 1in">WHEREAS, the Issuer has no employees, other than its officers and managers, and does not intend to hire any employees, and consequently desires to have the
 Administrator perform certain of the duties of the Issuer referred to in the preceding clauses and to provide such additional services consistent with the terms of this Administration Agreement and the Related Agreements as the Issuer may from time to
 time request; and</p>
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 <p style="FONT: 10pt Times New Roman, Times, Serif; MARGIN: 0pt 0px; TEXT-INDENT: 1in">WHEREAS, the Administrator has the capacity to provide the services and the facilities required thereby and is willing to perform such services and provide such
 facilities for the Issuer on the terms set forth herein;</p>
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 <p style="FONT: 10pt Times New Roman, Times, Serif; MARGIN: 0pt 0px; TEXT-INDENT: 1in">NOW, THEREFORE, in consideration of the mutual covenants contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby
 acknowledged, the parties agree as follows:</p>
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