Common use of Treatment of Draws Clause in Contracts

Treatment of Draws. Immediately upon the issuance of a Letter of Credit (which issuance shall be deemed to be the Closing Date in the case of Closing Date Letters of Credit constituting Letters of Credit) in accordance with the terms hereof, each Syndication Party (other than the Letter of Credit Bank) shall be deemed to, and hereby irrevocably and unconditionally agrees to, purchase from the Letter of Credit Bank a risk participation in such Syndication Party’s Applicable Percentage of such Letter of Credit, the obligations thereunder and in Borrower’s reimbursement obligations in respect of draws thereunder, which shall be funded in accordance with this Section. Such obligation to risk participate shall be absolute and unconditional irrespective of any setoff, counterclaim, recoupment, defense or other right which such Syndication Party may have. Each draw under a Letter of Credit shall be funded by each of the Syndication Parties pursuant to Section 2.3 as a 5-Year Advance under the 5-Year Facility in accordance with their respective Applicable Percentage. If and to the extent any such draw under a Letter of Credit is not fully funded as a 5-Year Advance pursuant to Section 2.3 within one Banking Day following such draw, Borrower shall immediately reimburse the Letter of Credit Bank for any unfunded or unreimbursed amounts of such draw. If and to the extent any such draw under a Letter of Credit is not funded as a 5-Year Advance or reimbursed by Borrower within two Banking Days following such draw, each Syndication Party shall, at the request of the Letter of Credit Bank, promptly fund its risk participation in such Letter of Credit directly to the Letter of Credit Bank.

Treatment of Draws. Immediately upon the issuance of a Letter of Credit (which issuance shall be deemed to be the Closing Date in the case of Closing Date Letters of Credit constituting Letters of Credit) in accordance with the terms hereof, each Syndication Party (other than the Letter of Credit Bank) shall be deemed to, and hereby irrevocably and unconditionally agrees to, purchase from the Letter of Credit Bank a risk participation in such Syndication Party’s Applicable Percentage of such Letter of Credit, the obligations thereunder and in Borrower’s reimbursement obligations in respect of draws thereunder, which shall be funded in accordance with this SectionSubsection 4.2.4. Such obligation to risk participate shall be absolute and unconditional irrespective of any setoff, counterclaim, recoupment, defense or other right which such Syndication Party may have. Each draw under a Letter of Credit shall be funded by each of the Syndication Parties pursuant to Section 2.3 as a 5-Year Advance under the 5-Year Facility in accordance with their respective Applicable Percentage. If and to the extent any such draw under a Letter of Credit is not fully funded as a 5-Year Advance pursuant to Section 2.3 within one Banking Day following such draw, Borrower shall immediately reimburse the Letter of Credit Bank for any unfunded or unreimbursed amounts of such draw. If and to the extent any such draw under a Letter of Credit is not funded as a 5-Year Advance or reimbursed by Borrower within two Banking Days following such draw, each Syndication Party shall, at the request of the Letter of Credit Bank, promptly fund its risk participation in such Letter of Credit directly to the Letter of Credit Bank.

Treatment of Draws. Immediately upon the issuance of a Committed Letter of Credit (which issuance shall be deemed to be the Closing Date in the case of Closing Date Letters of Credit constituting Committed Letters of Credit) in accordance with the terms hereof, each Syndication Party (other than the Letter of Credit Bank) shall be deemed to, and hereby irrevocably and unconditionally agrees to, purchase from the Letter of Credit Bank a risk participation in such Syndication Party’s Applicable Percentage Individual 5-Year Pro Rata Share of such Committed Letter of Credit, the obligations thereunder and in the Borrower’s reimbursement obligations in respect of draws thereunder, which shall be funded in accordance with this Section. Such obligation to risk participate shall be absolute and unconditional irrespective of any setoff, counterclaim, recoupment, defense or other right which such Syndication Party may have. Each draw under a Committed Letter of Credit shall be funded by each of the Syndication Parties pursuant to Section 2.3 as a 5-Year Advance under the 5-Year Facility in accordance with their respective Applicable PercentageIndividual 5-Year Pro Rata Share. If and to the extent any such draw under a Committed Letter of Credit is not fully funded as a 5-Year Advance pursuant to Section 2.3 within one Banking Day following such draw, the Borrower shall immediately reimburse the Letter of Credit Bank for any unfunded or unreimbursed amounts of such draw. If and to the extent any such draw under a Committed Letter of Credit is not funded as a 5-Year Advance or reimbursed by the Borrower within two Banking Days following such draw, each Syndication Party shall, at the request of the Letter of Credit Bank, promptly fund its risk participation in such Committed Letter of Credit directly to the Letter of Credit Bank.