Common use of Make-up Funding Curves Clause in Contracts

Make-up Funding Curves. In the event a Default Declaration is made against a‌ Party on the basis of the Party’s failure to fund its Reclamation Trust (including making required Reclamation Recovery Deposits and Reclamation Correcting Deposits) in the manner provided for in this Mine Reclamation Agreement, the Reclamation Investment Committee will act promptly to provide the non-defaulting Parties with appropriate funding curves for their Make-up Reclamation Trust Funds (“Make-up Funding Curves”). 6.4.1 Investments in a Make-up Reclamation Trust Fund will be subject to the same Permitted Investment limitations as those applicable to each Party’s respective Principal Reclamation Trust Fund. 6.4.2 With regard to Pre-2017YE Reclamation Liability, the Reclamation Investment Committee will develop two sets of Make-up Funding Curves: the first, applicable to Opt-in Participants, will assume the return and discount rates of Exhibit 1A; the second, applicable to Opt-out Participants, will assume the return and discount rates of Exhibit 1B. However, after December 31, 2017, Opt-out Participants will have no further liability for defaulting Parties and any shortfalls in the Make-up Reclamation Trust Funds of the Opt-out Participants will be made up by non-defaulting Opt-in Participants as described in Section 11.3. Subject to Section 4.9, such Opt-out Participant Make-up Reclamation Trust Funds will remain available to pay any relevant invoices. After December 31, 2017, a set of Make-up Funding Curves for Opt-out Participants is not necessary. 6.4.3 With regard to Post-2017YE Reclamation Liability, the Reclamation Investment Committee will develop two sets of Make-up Funding Curves: the first, applicable to Opt-in Participants, will assume the return and discount rates of Exhibit 1D; the second, applicable to Remaining Opt-out Participants, will assume the return and discount rates of Exhibit 1E. After December 31, 2017, Remaining Opt-out Participants will have no further liability for defaulting Parties and any shortfalls in the Make-up Reclamation Trust Funds of the Remaining Opt-out Participants will be made up by non- defaulting Opt-in Participants as described in Section 11.3. Subject to Section 4.9, such Remaining Opt-out Participant Make-up Reclamation Trust Funds will remain available to pay any relevant invoices. 6.4.4 The Make-up Funding Curves will be based on the defaulting Party’s projected reclamation liability remaining after all funds in the defaulting Party’s Reclamation Trust are exhausted when using the reclamation costs underlying Exhibit 1A and Exhibit 1B, or Exhibit 1D and Exhibit 1E, as the case may be, at the time of the Default Declaration. 6.4.5 The Make-up Funding Curves will be revised when revisions and updates are made to Exhibit 1A and Exhibit 1B or Exhibit 1D and Exhibit 1E, as the case may be. 6.4.6 The same general financial analysis principles will be applied to the calculation of the Make-up Funding Curves as were applied in developing the Reclamation Funding Curves of Exhibit 1A and Exhibit 1B, or Exhibit 1D and Exhibit 1E, as the case may be, as set forth in Exhibit 4. 6.4.7 As to Make-up Funding Curves that are established before the expiration of the CSA (as extended or replaced), the Make-up Funding Curves will be calculated to reach full principal funding upon expiration of the CSA (as extended or replaced); and such Make-up Funding Curves will be developed by assuming equal annual payments for the period between the Default Declaration and the expiration of the CSA, with the exception that the first year’s Make-up funding target will be modified to reflect the existing balance in the defaulting Party’s Reclamation Trust, i.e., any funding shortage should be made up in the year of the Default Declaration. For Opt-out Participants, the date of expiration, extension, or replacement of the CSA for purposes of this Section 6.4.7 will be fixed at December 31, 2017. From the Effective Date until December 31, 2017, for Opt-in Participants, the date of expiration, extension, or replacement of the CSA, for purposes of this Section 6.4.7, will be fixed at December 31, 2022. After December 31, 2017, Opt-in Participants may request the Reclamation Trust Investment Committee to modify their Make-up Funding Curves to reflect any extension or replacement of the CSA with an expiration date subsequent to December 31, 2022. 6.4.8 With respect to Make-up Funding Curves for Defaults that occur after the expiration of the CSA (as extended or replaced), the Make-up Funding Curves will be developed by assuming a single, lump sum contribution is made by December 31 of the year in which the Make-up Reclamation Trust Funds are established to fully fund the shortfall in the defaulting Party’s Reclamation Trust. 6.4.9 Annual funding requirements for Make-up Reclamation Trust Funds will be analogous to the provisions of Sections 4.6 and 4.7. The Make-up Reclamation Funding Floor Curve will be one hundred percent (100%) of the Make-up Funding Target Curve by the expiration date of the CSA (or any extension or replacement thereof) for Opt-in Participants and by December 31, 2017 for Opt-out Participants.

Make-up Funding Curves. In the event a Default Declaration is made against a‌ a Party on the basis of the Party’s failure to fund its Reclamation Trust (including making required Reclamation Recovery Deposits and Reclamation Correcting Deposits) in the manner provided for in this Mine Reclamation Agreement, the Reclamation Investment Committee will act promptly to provide the non-defaulting Parties with appropriate funding curves for their Make-up Reclamation Trust Funds (“Make-up Funding Curves”). 6.4.1 Investments in a Make-up Reclamation Trust Fund will be subject to the same Permitted Investment limitations as those applicable to each Party’s respective Principal Reclamation Trust Fund. 6.4.2 With regard to Pre-2017YE Reclamation Liability, the Reclamation Investment Committee will develop two sets of Make-up Funding Curves: the first, applicable to Opt-in Participants, will assume the return and discount rates of Exhibit 1A; the second, applicable to Opt-out Participants, will assume the return and discount rates of Exhibit 1B. However, after December 31, 2017, Opt-out Participants will have no further liability for defaulting Parties and any shortfalls in the Make-up Reclamation Trust Funds of the Opt-out Participants will be made up by non-defaulting Opt-in Participants as described in Section 11.3. Subject to Section 4.9, such Opt-out Participant Make-up Reclamation Trust Funds will remain available to pay any relevant invoices. After December 31, 2017, a set of Make-up Funding Curves for Opt-out Participants is not necessary. 6.4.3 With regard to Post-2017YE Reclamation Liability, the Reclamation Investment Committee will develop two sets of Make-up Funding Curves: the first, applicable to Opt-in Participants, will assume the return and discount rates of Exhibit 1D; the second, applicable to Remaining Opt-out Participants, will assume the return and discount rates of Exhibit 1E. After December 31, 2017, Remaining Opt-out Participants will have no further liability for defaulting Parties and any shortfalls in the Make-up Reclamation Trust Funds of the Remaining Opt-out Participants will be made up by non- defaulting Opt-in Participants as described in Section 11.3. Subject to Section 4.9, such Remaining Opt-out Participant Make-up Reclamation Trust Funds will remain available to pay any relevant invoices. 6.4.4 The Make-up Funding Curves will be based on the defaulting Party’s projected reclamation liability remaining after all funds in the defaulting Party’s Reclamation Trust are exhausted when using the reclamation costs underlying Exhibit 1A and Exhibit 1B, or Exhibit 1D and Exhibit 1E, as the case may be, at the time of the Default Declaration. 6.4.5 The Make-up Funding Curves will be revised when revisions and updates are made to Exhibit 1A and Exhibit 1B or Exhibit 1D and Exhibit 1E, as the case may be. 6.4.6 The same general financial analysis principles will be applied to the calculation of the Make-up Funding Curves as were applied in developing the Reclamation Funding Curves of Exhibit 1A and Exhibit 1B, or Exhibit 1D and Exhibit 1E, as the case may be, as set forth in Exhibit 4. 6.4.7 As to Make-up Funding Curves that are established before the expiration of the CSA (as extended or replaced), the Make-up Funding Curves will be calculated to reach full principal funding upon expiration of the CSA (as extended or replaced); and such Make-up Funding Curves will be developed by assuming equal annual payments for the period between the Default Declaration and the expiration of the CSA, with the exception that the first year’s Make-up funding target will be modified to reflect the existing balance in the defaulting Party’s Reclamation Trust, i.e., any funding shortage should be made up in the year of the Default Declaration. For Opt-out Participants, the date of expiration, extension, or replacement of the CSA for purposes of this Section 6.4.7 will be fixed at December 31, 2017. From the Effective Date until December 31, 2017, for Opt-in Participants, the date of expiration, extension, or replacement of the CSA, for purposes of this Section 6.4.7, will be fixed at December 31, 2022. After December 31, 2017, Opt-in Participants may request the Reclamation Trust Investment Committee to modify their Make-up Funding Curves to reflect any extension or replacement of the CSA with an expiration date subsequent to December 31, 2022. 6.4.8 With respect to Make-up Funding Curves for Defaults that occur after the expiration of the CSA (as extended or replaced), the Make-up Funding Curves will be developed by assuming a single, lump sum contribution is made by December 31 of the year in which the Make-up Reclamation Trust Funds are established to fully fund the shortfall in the defaulting Party’s Reclamation Trust. 6.4.9 Annual funding requirements for Make-up Reclamation Trust Funds will be analogous to the provisions of Sections 4.6 and 4.7. The Make-up Reclamation Funding Floor Curve will be one hundred percent (100%) of the Make-up Funding Target Curve by the expiration date of the CSA (or any extension or replacement thereof) for Opt-in Participants and by December 31, 2017 for Opt-out Participants.

Make-up Funding Curves. In the event a Default Declaration is made against a‌ Party a Participant on the basis of the PartyParticipant’s failure to fund its Reclamation Trust (including making required Reclamation Recovery Deposits and Reclamation Correcting Deposits) in the manner provided for in this Mine Reclamation Agreement, the Reclamation Investment Committee will shall act promptly to provide the non-defaulting Parties Participants with appropriate funding curves for their Make-up Reclamation Trust Funds (“Make-up Funding Curves”). 6.4.1 Investments in a Make-up Reclamation Trust Fund will shall be subject to the same Permitted Investment limitations as those applicable to each PartyParticipant’s respective Principal Reclamation Principle Trust Fund. 6.4.2 With regard to Pre-2017YE Reclamation LiabilityDuring the term of the PPA (or any extension or replacement thereof), the Reclamation Investment Committee will shall develop two sets of Make-up Funding Curves: the first, applicable to Opt-in Participants, will shall assume the return and discount rates of Exhibit 1A; the second, applicable to Opt-out Participants, will shall assume the return and discount rates of Exhibit 1B. However, after December 31, 2017, Opt-out Participants will have no further liability for defaulting Parties and any shortfalls in the Make-up Reclamation Trust Funds term of the Opt-out Participants will be made up by non-defaulting Opt-in Participants as described in Section 11.3. Subject to Section 4.9, such Opt-out Participant Make-up Reclamation Trust Funds will remain available to pay PPA (or any relevant invoices. After December 31, 2017extension or replacement thereof), a set of Make-up Funding Curves for Opt-out Participants is not necessary. 6.4.3 With regard to Post-2017YE Reclamation Liability, the Reclamation Investment Committee will develop two sets of Make-up Funding Curves: the first, applicable to Opt-in Participants, will assume the return and discount rates of Exhibit 1D; the second, applicable to Remaining Opt-out Participants, will assume the return and discount rates of Exhibit 1E. After December 31, 2017, Remaining Opt-out Participants will have no further liability for defaulting Parties and any shortfalls in the Make-up Reclamation Trust Funds of the Remaining Opt-out Participants will be made up by non- defaulting Opt-in Participants as described in Section 11.3. Subject to Section 4.9, such Remaining Opt-out Participant Make-up Reclamation Trust Funds will remain available to pay any relevant invoices. 6.4.4 The Make-up Funding Curves will shall be based on the defaulting PartyParticipant’s projected reclamation liability remaining after all funds in the defaulting PartyParticipant’s Reclamation Trust are exhausted when using the reclamation costs underlying Exhibit 1A and Exhibit 1B, or Exhibit 1D and Exhibit 1E, as the case may be, 1B at the time of the Default Declaration. 6.4.5 6.4.4 The Make-up Funding Curves will shall be revised when revisions and updates are made to Exhibit 1A and Exhibit 1B or Exhibit 1D and Exhibit 1E, as the case may be.1B. 6.4.6 6.4.5 The same general financial analysis principles will shall be applied to the calculation of the Make-up Funding Curves as were applied in developing the Reclamation Funding Curves of Exhibit 1A and Exhibit 1B, or Exhibit 1D and Exhibit 1E, as the case may be, as set forth in Exhibit 4.1B. 6.4.7 6.4.6 As to Make-up Funding Curves that are established before the expiration of the UG-CSA (as extended or replaced), the Make-up Funding Curves will shall be calculated to reach full principal funding upon expiration of the UG-CSA (as extended or replaced); and such Make-up Funding Curves will shall be developed by assuming equal annual payments for the period between the Default Declaration and the expiration of the UG-CSA, with the exception that the first year’s Make-up funding target will shall be modified to reflect the existing balance in the defaulting PartyParticipant’s Reclamation Trust, i.e., any funding shortage should be made up in the year of the Default Declaration. For Opt-out Participants, the date of expiration, extension, or replacement of the CSA for purposes of this Section 6.4.7 will be fixed at December 31, 2017. From the Effective Date until December 31, 2017, for Opt-in Participants, the date of expiration, extension, or replacement of the CSA, for purposes of this Section 6.4.7, will be fixed at December 31, 2022. After December 31, 2017, Opt-in Participants may request the Reclamation Trust Investment Committee to modify their Make-up Funding Curves to reflect any extension or replacement of the CSA with an expiration date subsequent to December 31, 2022Default. 6.4.8 6.4.7 With respect to Make-up Funding Curves for Defaults that occur after the expiration of the UG-CSA (as extended or replaced), the Make-up Funding Curves will shall be developed by assuming a single, lump sum contribution is made by December 31 of at the year in which time the Make-up Reclamation Trust Funds Accounts are established to fully fund the shortfall in the defaulting PartyParticipant’s Reclamation Trust. 6.4.9 6.4.8 Annual funding requirements for Make-up Reclamation Trust Funds will be analogous to the provisions of Sections 4.6 4.5 and 4.74.6. The Make-up Reclamation Funding Floor Curve will shall be one hundred percent (100%) of the Make-up Funding Target Curve by the expiration date of the CSA PPA (or any extension or replacement thereof) for Opt-in Participants and by December 31, 2017 for Opt-out Participants).