Contract
Summary of Loan Agreement
Entered into by and between Shenzhen BAK Battery Co., Ltd. (“the Company”) and
Shenzhen Eastern Branch, Agricultural Bank of China (“the Creditor”) dated
September 19, 2008
Main
contents
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Contract
number: NO.81101200800001465;
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Loan
principal: RMB 131 million;
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Loan
term: from the date loan is provided to December 31,
2008;
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Floating
interest rate: annually 6.21%, adjusted every 3
months;
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Penalty
interest rate for delayed repayment: 6.21% plus 50%
*6.21%;
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Penalty
interest rate for embezzlement of loan proceeds: 6.21%
*1;
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Purpose
of the loan is to provide working capital for purchasing raw
materials;
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Advanced
repayment of loan needs to be approved by the
Creditor;
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Breach
of contract penalties: correct the breach of contract; suspension of loan
un-provided, demand prepayment of loan principal and interest before
maturity; imposition of punitive interest incurred due to delayed loan;
imposition of punitive interest for embezzlement of loan; imposition of
plural interest for unpaid interest; withdraw from any accounts of the
Company the loan principal and interest; compensation for the Creditor’s
expenses incurred due to the Company’s breach of contract such as lawyer’s
fee.
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Guarantee
contract for this loan agreement: Guarantee Contract of Maximum Amount
(No. 81905200800000212);
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Supplemental:
The Company undertakes to pledge the Land Use Right
Certificate(“Certificate”) of BAK Industrial Park to the Creditor as soon
as obtaining the Certificate;
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Headlines
of the articles omitted:
Ø Loan
arrangement
Ø Interest
clearing of the loan
Ø Payment
of the loan
Ø Interest
penalty of loan
Ø Rights
and obligation of the Company
Ø Rights
and obligations of the Creditor
Ø Breach
of contract responsibility
Ø Validity
Ø Text
