Common use of PREREQUISITES TO ADVANCES Clause in Contracts

PREREQUISITES TO ADVANCES. The Government shall be under no obligation to advance funds from time to time on account of the Loan, unless and until the Borrower shall have (a) complied with the provisions of section 2.1 of the Loan Contract (or such other section thereof as is headed "Prerequisites to Advances"), and (b) delivered to the Administrator, in form and substance satisfactory to him, evidence that the Borrower has duly adopted a tariff which (1) will provide for such grades of service as the Administrator may approve, (2) does not include mileage or zone charges for the lowest grade of service provided in each central office area and (3) is designed to produce revenues sufficient to meet all necessary expenditures, including all interest and principal payments under the Notes.

PREREQUISITES TO ADVANCES. The Government shall be under no obligation to advance funds from time to time on account of the Loan, unless and until the Borrower shall have (a) complied with the provisions of section 2.1 of the Loan Contract (or such other section thereof as is headed "Prerequisites to Advances"), and (b) delivered to the Administrator, in form and substance satisfactory to him, evidence that the Borrower has duly adopted a tariff which (1) will provide for such grades of service as the Administrator may approve, (2) does not include mileage or zone charges for the lowest grade of service provided in each central office area and (3) is designed to produce revenues sufficient to meet all necessary expendituresexpendi-tures, including all interest and principal payments under the Notes.