Common use of Application to Master Agreement Clause in Contracts

Application to Master Agreement. For the avoidance of doubt, this Clause 7 does not apply to any amount payable under any Master Agreement in respect of any continuing Designated Transaction in respect of that Master Agreement as to which section 2(e) (Default Interest; Other Amounts) of that Master Agreement shall apply. REDUCTION, REPAYMENT AND PREPAYMENT 8.1 Amount of instalments and reductions In the case of: (a) Tranche A, the Borrowers shall repay that Tranche by: (i) 20 equal consecutive quarterly instalments (each an “Instalment A” and, together, the “Instalments A”), each in the amount of $2,221,055; and (ii) a balloon instalment in the amount of $82,178,900 (the “Balloon Instalment”), Provided that if the amount of Tranche A drawn down is less than $126,600,000 each Instalment A and the Balloon Instalment will be reduced pro rata by an amount in aggregate equal to the undrawn amount; and (b) Tranche B: (i) such Tranche shall be reduced on each Reduction Date by the applicable Reduction Amount; (ii) the Maximum Available Amount shall be reduced, in addition to any reduction arising pursuant to Clause 8.1(b)(i), by the amount of any prepayments required to be made under or pursuant to: (A) Clause 5.14; (B) Clause 8.8(c); (C) Clause 19.2(a); (D) Clause 23.3; and (E) Clause 24.6; (iii) the Maximum Available Amount shall, on the date on which a Mortgaged Ship is sold or on the applicable Total Loss Date (a “Disposal Date”), be reduced, in addition to any reduction arising pursuant to Clause 8.1(b)(i) and/or Clause 8.1(b)(ii), by an amount equal to the Maximum Available Amount which applied immediately prior to the relevant Disposal Date multiplied by a fraction whose: (A) numerator is the Market Value of the Mortgaged Ship being sold or which has become a Total Loss on the relevant Disposal Date; and (B) denominator is the aggregate Market Value of the Mortgaged Ships (including the Mortgaged Ship sold or lost) on the relevant Disposal Date; (iv) such Tranche shall be repaid on each Reduction Date by the lesser of: (A) the applicable Reduction Amount; and (B) the amount (if any) by which Tranche B exceeds the then applicable Maximum Available Amount on that Reduction Date; and (v) the Borrowers shall repay each Advance under Tranche B in full in the manner described in Clause 8.2(b)(iii). In this Clause 8.1:

Application to Master Agreement. For the avoidance of doubt, this Clause 7 does not apply to any amount payable under any Master Agreement in respect of any continuing Designated Transaction in respect of that Master Agreement as to which section 2(e) (Default Interest; Other Amounts) of that Master Agreement shall apply. REDUCTION, REPAYMENT AND PREPAYMENT 8.1 Amount of instalments and reductions In the case of: (a) Tranche A, the Borrowers shall repay that Tranche by: (i) 20 17 equal consecutive quarterly instalments (each an “Instalment A” and, together, the “Instalments A”), each in the amount of $2,221,055; and (ii) a balloon instalment in the amount of $82,178,900 86,621,010 (the “Balloon Instalment”), Provided that if the amount of Tranche A drawn down is less than $126,600,000 124,378,945 each Instalment A and the Balloon Instalment will be reduced pro rata by an amount in aggregate equal to the undrawn amount; and (b) Tranche B: (i) such Tranche shall be reduced on each Reduction Date by the applicable Reduction Amount; (ii) the Maximum Available Amount shall be reduced, in addition to any reduction arising pursuant to Clause 8.1(b)(i), by the amount of any prepayments required to be made under or pursuant to: (A) Clause 5.14; (B) Clause 8.8(c); (C) Clause 19.2(a); (D) Clause 23.3; and (E) Clause 24.6; (iii) the Maximum Available Amount shall, on the date on which a Mortgaged Ship is sold or on the applicable Total Loss Date (a “Disposal Date”), be reduced, in addition to any reduction arising pursuant to Clause 8.1(b)(i) and/or Clause 8.1(b)(ii), by an amount equal to the Maximum Available Amount which applied immediately prior to the relevant Disposal Date multiplied by a fraction whose: (A) numerator is the Market Value of the Mortgaged Ship being sold or which has become a Total Loss on the relevant Disposal DateDate ; and (B) denominator is the aggregate Market Value of the Mortgaged Ships (including the Mortgaged Ship sold or lost) on the relevant Disposal Date; (iv) such Tranche shall be repaid on each Reduction Date by the lesser of: (A) the applicable Reduction Amount; and (B) the amount (if any) by which Tranche B exceeds the then applicable Maximum Available Amount on that Reduction Date; and (v) the Borrowers shall repay each Advance under Tranche B in full in the manner described in Clause 8.2(b)(iii). In this Clause 8.1: