Common use of Other Payments to Existing External VEBA Clause in Contracts

Other Payments to Existing External VEBA. The Approval Order shall provide that any obligation of GM related to the amounts called for in the “Benefit Change Profits” or the “Incremental Amount,” as set forth and defined in section 13.B of the Hxxxx I Settlement Agreement, shall cease upon the Initial Effective Date. In the event that any amounts related to such items have been paid by GM to the Existing External VEBA prior to the Final Effective Date, the required payments set forth in Section 8 of this Settlement Agreement will be reduced by such amount plus interest at 6% per annum (computed on the basis of a 360-day year consisting of twelve 30-day months and the number of days elapsed in any partial month), credited and compounded annually. The Approval Order shall also provide that if the aggregate amount of the payments related to “Increase in Stock Value” and “Dividends” as set forth in section 13.D and 13.E of the Hxxxx I Settlement Agreement is less than $240 million, then GM will pay to the New VEBA on September 1, 2009 the amounts set forth in Section 7.D(iii) of this Settlement Agreement. If the aggregate amount of the payments related to “Increase in Stock Value” and “Dividends” as set forth in section 13.D and 13.E of the Hxxxx I Settlement Agreement is more than $240 million, GM shall deduct from the amount required to be transferred from the TAA to the New VEBA under Sections 8 and 12 of this Settlement Agreement (i) the amount of aggregate cash payments paid to the Existing External VEBA in excess of $240 million plus (ii) Interest on the portion of the first such cash payment that resulted in the aggregate exceeding $240 million from and including the date of its payment and on the amount of each of the following cash payments from and including their respective payment dates, in each case to but excluding the date of transfer of the amounts from the TAA to the New VEBA under Sections 8 and 12 of this Settlement Agreement.

Other Payments to Existing External VEBA. The Approval Order shall provide that any obligation of GM related to the amounts called for in the “Benefit Change Profits” or the “Incremental Amount,” as set forth and defined in section 13.B of the Hxxxx Xxxxx I Settlement Agreement, shall cease upon the Initial Effective Date. In the event that any amounts related to such items have been paid by GM to the Existing External VEBA prior to the Final Effective Date, the required payments set forth in Section 8 of this Settlement Agreement will be reduced by such amount plus interest at 6% per annum (computed on the basis of a 360-day year consisting of twelve 30-day months and the number of days elapsed in any partial month), credited and compounded annually. The Approval Order shall also provide that if the aggregate amount of the payments related to “Increase in Stock Value” and “Dividends” as set forth in section 13.D and 13.E of the Hxxxx Xxxxx I Settlement Agreement is less than $240 million, then GM will pay to the New VEBA on September 1, 2009 the amounts set forth in Section 7.D(iii) of this Settlement Agreement. If the aggregate amount of the payments related to “Increase in Stock Value” and “Dividends” as set forth in section 13.D and 13.E of the Hxxxx Xxxxx I Settlement Agreement is more than $240 million, GM shall deduct from the amount required to be transferred from the TAA to the New VEBA under Sections 8 and 12 of this Settlement Agreement (i) the amount of aggregate cash payments paid to the Existing External VEBA in excess of $240 million plus (ii) Interest on the portion of the first such cash payment that resulted in the aggregate exceeding $240 million from and including the date of its payment and on the amount of each of the following cash payments from and including their respective payment dates, in each case to but excluding the date of transfer of the amounts from the TAA to the New VEBA under Sections 8 and 12 of this Settlement Agreement.