Common use of FINANCIAL RESTRICTIONS Clause in Contracts

FINANCIAL RESTRICTIONS. The Borrower shall, on and after the Execution Date, and until this Agreement is terminated and the Borrower completes the performance of all of its obligations under this Agreement to each Lender B and the Agent, affirmatively covenant to comply with the following matters: (i) The Borrower will ensure its liabilities do not exceed its assets in its stand-alone basis balance sheets as of the close of each fiscal year and six-month (mid-year) period. (ii) The Borrower will maintain the Adjusted Tangible Net Worth at an amount not less than sixty billion (60,000,000,000) yen as of the last day of each fiscal quarter. (iii) The Borrower will maintain its total net income and depreciation at an amount not less than the amount set forth below as of the last day of each fiscal period set forth below: Fiscal year 2005 21,125 million yen (iv) The Borrower shall not cause, as of the last day of each period set forth below, the ratio of (a) the net income plus depreciation to (b) the sum of interest expenses, the amount of scheduled repayments of borrowings including Lease rentals, and maintenance capital expenditures for the Aizu Facility, for such period, to be less than the following percentages. Maintenance capital expenditures do not include capital expenditures for new facilities to enhance capacity, but instead are limited to the capital expenditures necessary to maintain and operate the existing facilities. Third - fourth fiscal quarter 2005 120 %

FINANCIAL RESTRICTIONS. The Borrower shall, on and after the Execution Date, and until this Agreement is terminated and the Borrower completes the performance of all of its obligations under this Agreement to each Lender B A and the Agent, affirmatively covenant to comply with the following matters: (i) The Borrower will ensure its liabilities do not exceed its assets in its stand-alone basis balance sheets as of the close of each fiscal year and six-month (mid-year) period. (ii) The Borrower will maintain the Adjusted Tangible Net Worth at an amount not less than sixty billion (60,000,000,000) yen as of the last day of each fiscal quarter. (iii) The Borrower will maintain its total net income and depreciation at an amount not less than the amount set forth below as of the last day of each fiscal period set forth below: Fiscal year 2005 21,125 million yen (iv) The Borrower shall not cause, as of the last day of each period set forth below, the ratio of (a) the net income plus depreciation to (b) the sum of interest expenses, the amount of scheduled repayments of borrowings including Lease rentals, and maintenance capital expenditures for the Aizu Facility, for such period, to be less than the following percentages. Maintenance capital expenditures do not include capital expenditures for new facilities to enhance capacity, but instead are limited to the capital expenditures necessary to maintain and operate the existing facilities. Third - fourth fiscal quarter 2005 120 %