Agenda - 06-24-1986 - Laserfiche WebLink

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ARTICLE X PREPAYMENTS Section 10 . 1 . Optional Prepayments. (a) The Company is hereby granted, and shall have, the option to prepay, together with accrued interest, the unpaid principal of the Note in whole or in part at any time. In the event of a prepayment in part, amounts to be applied to the prepayment of installments of principal on the Note shall be applied to payments of principal in the inverse order of their scheduled maturities. Amounts to be applied to the prepayment of the Note pursuant to Section 3 of the Security Agreement shall be applied to the prepayment of installments of principal on the Note in the inverse order of their scheduled maturities in accordance with the provisions of subsection (b) of this Section and be deemed to have been an optional prepayment in accordance with the provi- sions of this subsection (a) . (b) To make a prepayment pursuant to this Section 10 . 1, the Company shall give written notice to the Authority and the Holder which shall specify therein ( i ) the date of the intended prepay- ment of the Note, which shall not be less than 10 nor more than 30 days from the date the notice is mailed and ( ii) the principal amount of the Note to be prepaid. Section 10 . 2. Mandatory Prepayment in Event of Taxability. In the event of a Determination of Taxability, the Company shall forthwith, and in any event within 90 days of any such Determina- tion, pay the following: (a) the entire unpaid principal balance of the Note; plus (b) accrued but unpaid interest on the entire unpaid principal balance of the Note, including interest thereon from the Date of Taxability at the Alternative Rate of Interest; plus (c) an amount equal to all penalties or interest paid by the Holder and all former Holders resulting from the failure to include interest on the Bond in the gross income of the Holder or such former Holders; plus 31.