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EXHIBIT 10.23
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[LAFARGE LOGO]
Paris, 9th December 1996
Xxxxxxx XXXXXX To Xxxxx XXXXX
Copy Xxxxx XXXXXXXX
Xxxx Xxx WILLOW
Xxxxxxxx XXXXX
Xxxxxxxx XXXXXX
SUBJECT : LAFARGE CORP. BORROWINGS FROM PARENT COMPANY
This is to confirm the agreement that Transbanque and Lafarge S.A. will put at
the disposal of Lafarge Corporation an uncommitted line of credit for $100
million for one year on the following basis:
- $ 15 million from Transbanque and $ 35 million from Lafarge S.A. to be drawn
down in early December, 1996.
- $ 50 million from Lafarge S.A. to be drawn down, if needed and if available,
in the first quarter of 1997.
- Pricing on a best efforts basis, with the understanding that the target
price will be LIBOR plus 1/15 % (6.25 basis points) for periods of up to 90
days. In all cases, at each drawdown or roll over, the pricing must be equal
to or better than arms length pricing available to Lafarge Corporation from
third party lenders, for tax purposes.
- In the event that Lafarge S.A. and/or Transbanque need to use available
credit for some other purpose, the unused portion of this line will be
withdrawn and outstanding drawdowns will be repaid at maturity and not
rolled over. Lafarge S.A. Treasury Department commits to inform Lafarge
Corp. at the earliest possible date if such an occurrence is likely.
I look forward to working with you over the coming year.
/s/ XXXXXXX XXXXXX
Xxxxxxx XXXXXX
