Non-Commitment Short-Term Revolving Credit Facility Agreement (English Translation)
Exhibit
10.1
|
Date:
August 1, 2007
|
Contract
No.
750413070801
|
(English
Translation)
| (1) |
Citibank
(China) Co., Ltd., Shenzhen Branch (hereinafter referred as the
“Bank”)
|
Address:
▇/▇, ▇▇▇▇▇ ▇▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇ ▇▇▇▇, ▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇▇, ▇▇▇▇▇
| (2) |
Shenzhen
Ritar Power Co., Ltd., (hereinafter referred as “the
Client”)
|
Address:
No.9 Building of Fuqiao Second Industry Zone, Qiaotou village, Fuyong town,
Bao’an Area, Shenzhen, China
The
parties hereby enter into an agreement (the “Agreement”) as follows:
| 1. |
The
attached ordinary
terms and conditions of credit facility agreement and
any other attached documents are a part of the
Agreement.
|
| 2. |
Maximum
line of credit: US $5,000,000 or equivalent amount in Renminbi (“RMB”)
For the purpose of calculating
the maximum
amount of line of credit, the Bank shall be entitled to use an exchange
rate determined by itself. In any event that the outstanding balance
exceeds the maximum line of credit due to the fluctuation of the
exchange
rate, the Bank shall have the right to request an immediate repayment
of
the amount exceeding the maximum line of credit from the
Client.
|
| 3. |
Financing
Currency: US Dollar or RMB.
|
| 4. |
Types
of loan and amount:
|
| · |
Discount:
up to RMB 23,000,000
|
| · |
Account
Payables: up to RMB 23,000,000
|
| · |
Export
Financing: up to US$ 1,750,000
|
| · |
Pre-Clearing
Risk: up to US$ 200,000
|
Under
no
circumstance should the aggregate amount of outstanding balance of Discount
and
Account Payables exceed RMB 23,000,000. In no event should the aggregate amount
of outstanding balance of all the above types of loan exceed the maximum line
of
credit.
1
| 5. |
Terms
of loan:
|
| · |
Discount:
three months
|
| · |
Account
Payables: three months
|
| · |
Export
Financing: five months
|
| · |
Pre-Clearing
Risk: twelve months
|
| 6. |
Interest
Rate / Commission Rate
|
| · |
Discount:
the discount rate shall be determined pursuant to the relevant documents
attached
|
| · |
Account
Payables: the interest rate shall be determined pursuant to the relevant
documents attached.
|
| · |
Export
Financing: the interest rate shall be determined by relevant documents
attached.
|
| 7. |
Use
of loan:
|
| · |
Use
of loans of Discount, Account Payables and Export Financing: working
capital and purchase of raw
materials
|
| · |
Use
of loans of Pre-Clearing Risk: hedging transaction
|
| 8. |
Guaranty
and guarantor:
|
| · |
to
provide a cash guaranty by entering into a pledge agreement between
the
Client and the Bank
|
| · |
to
provide a guaranty by a letter of guarantee issued by Shanghai Ritar
Power
Co., Ltd.
|
| · |
to
provide a guaranty by a letter of guarantee issued by Jiada
Hu
|
| · |
to
provide a guaranty by a letter of guarantee issued by Hengying
Peng
|
| 9. |
Penalty
interest rate:
As set forth in Section 12 of
the ordinary
terms and conditions of credit facility agreement,
the penalty interest rate shall be equal to:
|
RMB:
the
minimum penalty rate permitted under relevant regulations of the People’s Bank
of China (including the principal and interest)
US
Dollar: the rate determined by the Bank.
| 10. |
Facility
fee: the Client shall pay the facility fee to the Bank in due course
according to the notice of facility fee issued by the Bank from time
to
time.
|
2
| 11. |
Special
conditions regarding Pre-Clearing
Risk:
|
In
any
event that the Bank has determined that the loss calculated based on a market
price reaches a fixed amount or rate (determined by the Bank), the Bank shall
have the absolute discretion to request for additional deposit security. The
Client hereby agrees that it will enter into a relevant pledge agreement within
two business days following receipt of such request from the Bank and deposit
required amount of money in the Bank according to relevant rules and regulations
of the Bank and the State.
IN
WITNESS WHEREOF, the authorized representatives of both parties hereto have
executed the Agreement as of the date first set forth above and the Agreement
comes into effect as of the execution date.
Bank:
Citibank
(China) Co., Ltd., Shenzhen Branch
By:
/s/
▇▇▇▇▇▇▇
▇▇▇▇▇
(Representative
of Bank)
Client:
Shenzhen
Ritar Power Co., Ltd.
By:
/s/
Jiada
Hu
(Representative
of Client)
Witnessed/Verified
by: /s/▇▇▇▇
▇▇▇▇
(Manager)
3