The LC Borrowings Clause Samples

The LC Borrowings. (i) Each LC Lender agrees that, upon the issuance of the Letter of Credit, it shall automatically acquire a participation in the LC Fronting Bank’s liability thereunder in an amount equal to such LC Lender’s Pro Rata Share of the Aggregate LC Commitment, and each LC Lender thereby shall absolutely, unconditionally and irrevocably assume, as primary obligor and not as surety, and shall be unconditionally obligated to the LC Fronting Bank to pay and discharge when due, its Pro Rata Share of the LC Fronting Bank’s liability under the Letter of Credit. (ii) Upon receipt of a demand for a Drawing Payment, the LC Fronting Bank shall give telephonic notice (promptly confirmed in writing) to the Administrative Agent and each LC Lender of the amount to be paid by the LC Fronting Bank as a result of such demand, the date on which payment is to be made by the LC Fronting Bank in respect of such demand, and such LC Lender’s Pro Rata Share of the amount of such Drawing Payment. (iii) Unless a Reimbursement Payment in the full amount of the Drawing Payment is timely received by the LC Fronting Bank from Borrower or on behalf of Borrower in accordance with the Reimbursement Agreement, each LC Lender shall pay to the Administrative Agent for the account of the LC Fronting Bank in Dollars and in immediately available funds the amount of such Lender’s Pro Rata Share of the Aggregate LC Commitment of any Drawing Payment, together with interest thereon at a per annum rate equal to the Federal Funds Rate, as in effect from time to time, from the date of the Drawing Payment to the date on which such LC Lender makes payment; provided, that, if such LC Lender fails to pay the Administrative Agent for the account of the LC Fronting Bank within three (3) Business Days after the date of the Drawing Payment, such LC Lender shall pay interest to the Administrative Agent for the account of the LC Fronting Bank on such amount at a rate per annum equal to the Base Rate as in effect from time to time plus two percent (2%). Each LC Lender’s obligation to make such payments to the Administrative Agent for account of the LC Fronting Bank under this Section 2.2(d), and the LC Fronting Bank’s right to receive the same, shall be absolute and unconditional and shall not be affected by any circumstance whatsoever, including (a) the failure of any other LC Lender to make its payment under this Section 2.2(d), (b) the financial condition of Borrower, (c) the existence of any Default or Event of Def...