Common use of Use of Proceeds; Prohibited Uses of Project, etc Clause in Contracts

Use of Proceeds; Prohibited Uses of Project, etc. Neither the Issuer nor the Company shall cause any proceeds of the Bonds to be expended except pursuant to the Indenture and the Reimbursement Agreement. The Company shall not (1) requisition or otherwise allow any payment out of proceeds of the Bonds (A) if such payment is to be used for the acquisition of any property (or an interest therein) unless the first use of such property is pursuant to such acquisition, provided that this clause (A) shall not apply to any building (and the equipment purchased as a part thereof, if any,) if the "rehabilitation expenditures", as defined in Section 147(d) of the Code, with respect to the building equal or exceed 15% of the portion of the cost of acquiring the building (including such equipment) financed with the proceeds of the Bonds, (B) if as a result of such payment, 25% or more of the proceeds of the Bonds would be considered as having been used directly or indirectly for the acquisition of land (or an interest therein), (C) if, as a result of such payment, less than 95% of the net proceeds of the Bonds, expended at the time of such requisition would be considered as having been used for costs of the acquisition, construction, or reconstruction or improvement of land or property of a character subject to the allowance for depreciation within the meaning of Section 144(a)(1)(A) of the Code ("Qualifying Costs") or (D) if such payment is used to pay issuance costs (including counsel fees and placement fees) of the Bonds in excess of an amount equal to 2% of the principal amount of the Bonds; (2) take or omit, or permit to be taken or omitted, any other action with respect to the use of such proceeds the taking or omission of which would result in the loss of exemption of interest on the Bonds from Federal income taxation under Section 144 of the Code; or (3) take or omit, or permit to be taken or omitted, any other action the taking or omission of which would cause the loss of such exemption.

Use of Proceeds; Prohibited Uses of Project, etc. Neither the Issuer nor the Company shall cause any proceeds of the Bonds to be expended except pursuant to the Indenture and the Reimbursement AgreementIndenture. The Company shall not (1) requisition or otherwise allow any payment out of proceeds of the Bonds (A) if such payment is to be used for the acquisition of any property (or an interest therein) unless the first use of such property is pursuant to such acquisition, provided that this clause (A) shall not apply to any building (and the equipment purchased as a part thereof, if any,) if the "rehabilitation expenditures", as defined in Section 147(d) of the Code, with respect to the building equal or exceed 15% of the portion of the cost of acquiring the building (including such equipment) financed with the proceeds of the Bonds, (B) if as a result of such payment, 25% or more of the proceeds of the Bonds would be considered as having been used directly or indirectly for the acquisition of land (or an interest therein), (C) if, as a result of such payment, less than 95% of the net proceeds of the Bonds, expended at the time of such requisition would be considered as having been used for costs of the acquisition, construction, or reconstruction or improvement of land or property of a character subject to the allowance for depreciation within the meaning of Section 144(a)(1)(A) of the Code ("Qualifying Costs") or (D) if such payment is used to pay issuance costs (including counsel fees and placement fees) of the Bonds in excess of an amount equal to 2% of the principal amount of the Bonds; (2) take or omit, or permit to be taken or omitted, any other action with respect to the use of such proceeds the taking or omission of which would result in the loss of exemption of interest on the Bonds from Federal income taxation under Section 144 of the Code; or (3) take or omit, or permit to be taken or omitted, any other action the taking or omission of which would cause the loss of such exemption. Without limiting the generality of the foregoing, the Issuer and the Company shall not use the proceeds of the Bonds, or permit such proceeds to be used directly or indirectly, for the acquisition of land (or an interest therein) to be used for farming purposes, or to provide (x) any facility the primary purpose of which is retail food and beverage services, automobile sales or service or the provision of recreation or entertainment, (y) any airplane, skybox or other private luxury box, any health club facility, any facility primarily used for gambling, any store the principal business of which is the sale of alcoholic beverages for consumption off premises, any private or commercial golf course, country club, massage parlor, tennis club, skating facility (including roller skating, skateboard and ice skating), racquet sports facility (including any hand ball or racquet ball court), hot tub facility, suntan facility, or race track, or (z) single or multi-family residences. The Company shall not permit the use of the Project by any person to whom any part of the aggregate authorized face amount of the Bond would be allocated pursuant to Section 144(a)(10) of the Code if the amount so allocated when increased as provided in Section 144(a)(10) of the Code would exceed $40,000,000.

Use of Proceeds; Prohibited Uses of Project, etc. Neither the Issuer nor the Company The Lessee shall not cause any proceeds of the Bonds to be expended expended, except pursuant to the Indenture and the Reimbursement this Agreement. The Company Lessee shall not (1i) requisition or otherwise allow any payment out of proceeds of the Bonds (A) if such payment is to be used for the acquisition of any property (or an interest therein) unless the first use of such property is pursuant to such acquisition, provided that this clause (A) shall not apply to any building (and the equipment purchased as a part thereof, if any,) if the "rehabilitation expenditures", as defined in Section 147(d) of the Code, with respect to the building or equipment equal or exceed 15% of the portion of the cost of acquiring the building (including any such equipment) financed with the net proceeds of the Bonds, (B) if if, as a result of such payment, 25% or more of the proceeds of the Bonds and interest accrued thereon would be considered as having been used directly or indirectly for the acquisition of land (or an interest therein), (C) if, as a result of such payment, less than 95% of the net proceeds of the Bonds, expended at the time of such requisition Bonds and interest accrued thereon would be considered as having been used for costs of the acquisition, construction, or reconstruction or improvement of land or property of a character subject to the allowance for depreciation within the meaning of Section 144(a)(1)(A) of the Code ("Qualifying Costs") or ), (D) if such payment is used to pay issuance costs (including counsel fees and underwriting and placement fees) of the Bonds in excess of an amount equal to 2% of the principal amount of the Bonds; (2ii) take or omit, or permit to be taken or omitted, any other action with respect to the use of such proceeds the taking or omission of which has or would result in the loss of exemption the exclusion of interest on the Bonds from gross income of the owners thereof for Federal income taxation under Section 144 of the Codetax purposes; or (3iii) take or omit, or permit to be taken or omitted, any other action the taking or omission of which has or would cause the loss of such exemptionexclusion. Without limiting the generality of the foregoing, the Issuer and the Lessee will not use the proceeds of the Bonds, or permit such proceeds to be used directly or indirectly, for the acquisition of land (or an interest therein) to be used for farming purposes, or to provide (x) any facility the primary purpose of which is retail food and beverage services or automobile sales or service, (y) any airplane, skybox or other private luxury box, any facility primarily used for gambling, any store the principal business of which is the sale of alcoholic beverages for consumption off premises, any private or commercial golf course, country club, massage parlor, tennis club, skating facility (including roller skating, skateboard and ice skating), racquet sports facility (including any hand ball or racquet ball court), hot tub facility, suntan facility, or race track, or (z) single or multi-family residences. The Lessee shall not permit the use of the Project by any person to whom any part of the aggregate authorized face amount of the Bonds would be allocated pursuant to Section 144(a)(10) of the Code if the amount so allocated when increased as provided in Section 144(a)(10) of the Code would exceed $40,000,000.

Use of Proceeds; Prohibited Uses of Project, etc. Neither the Issuer Authority knowingly nor the Company Borrower shall cause any proceeds of the Bonds to be expended except pursuant to the Indenture and the Reimbursement AgreementIndenture. The Company Borrower shall not (1i) requisition or otherwise allow any payment out of proceeds of the Bonds (A) if such payment is to be used for the acquisition of any property (or an interest therein) unless the first use of such property is pursuant to such acquisition, provided that this clause (A) shall not apply to any building (and the equipment purchased as a part thereof, if any,) if the "rehabilitation expenditures", as defined in Section 147(d) of the Code, with respect to the building equal or exceed 15% of the portion of the cost of acquiring the building (including such equipment) financed with the proceeds of the Bonds, (B) if as a result of such payment, 25% or more of the proceeds of the Bonds would be considered as having been used directly or indirectly for the acquisition of land (or an interest therein), (C) if, as a result of such payment, less than 95% of the net proceeds of the Bonds, expended at the time of such requisition payment would be considered as having been used for costs of the acquisition, construction, or reconstruction construction or improvement of land or property of a character subject to the allowance for depreciation and for a "manufacturing facility," all within the meaning of Section 144(a)(1)(A) of the Code ("Qualifying Costs") or (D) if such payment is used to pay issuance costs (including counsel fees and placement fees) of the Bonds in excess of an amount equal to 2% of the principal amount of the Bonds; (2ii) take or omit, or permit to be taken or omitted, any other action with respect to the use of such proceeds the taking or omission of which would result in the loss of exemption of interest on the Bonds from Federal income taxation under Section 144 103(a) of the Code; or (3iii) take or omit, or permit to be taken or omitted, any other action the taking or omission of which would cause the loss of such exemption. Without limiting the generality of the foregoing, neither the Authority knowingly nor the Borrower shall use the proceeds of the Bonds, or permit such proceeds to be used directly or indirectly, for the acquisition of land (or an interest therein) to be used for farming purposes, or to provide (x) any facility the primary purpose of which is retail food and beverage services, automobile sales and service, the provision of recreation or entertainment, or banks, savings and loan institutions or mortgage companies, (y) any airplane, skybox or other private luxury box, any health club facility, any facility primarily used for gambling, any store the principal business of which is the sale of alcoholic beverages for consumption off premises, any private or commercial golf course, country club, massage parlor, tennis club, skating facility (including roller skating, skateboard and ice skating), racquet sports facility (including any hand ball or racquet ball court), hot tub facility, suntan facility, or race track, or (z) single or multi-family residences. None of the proceeds is to be used for office space. None of the net proceeds of the Bonds is to be used to provide facilities that are "directly related and ancillary" to the manufacturing operations conducted at the facility site.