Common use of Cash Collateralization of Obligations Extending Beyond Maturity Clause in Contracts

Cash Collateralization of Obligations Extending Beyond Maturity. If Borrower has not secured to Bank’s satisfaction Borrower’s obligations with respect to any Letter of Credit by the Revolving Line Maturity Date, then, effective as of such date, the balance in any deposit accounts of Borrower held by Bank and the certificates of deposit or time deposit accounts issued by Bank in Borrower’s name (and any interest paid thereon or proceeds thereof, including any amounts payable upon the maturity or liquidation of such certificates or accounts), shall automatically secure such obligations to the extent of the then continuing or outstanding and undrawn Letters of Credit. Borrower authorizes Bank to hold such balances in pledge and to decline to honor any drafts thereon or any requests by Borrower or any other Person to pay or otherwise transfer any part of such balances for so long as the Letters of Credit are outstanding or continue. If the aggregate balance held in such accounts on the Revolving Line Maturity Date is insufficient to secure all of Borrower’s obligations with respect to any Letter of Credit on the Revolving Line Maturity Date, then Borrower shall pledge to Bank, and grant Bank a security interest in, such additional cash as Bank may request to secure such obligations fully and in cash.