LOAN AGREEMENT
1. Parties: The undersigned is Heilongjiang Zhongqiang Power Tech. Co.,
Ltd, the Borrower, and the Lender is China Financial Bank Harbin Branch.
2. Date of Agreement: Nov. 20, 2004.
3. Term, Principal amount and Purpose.
3.1. Total loan amount is: 16,000,000.00 RMB ($1,932,368.00 USD).
3.2. Purpose: These money use for purchasing machines and
equipments for manufacturing battery only.
3.3. Term: From Nov. 23, 2004 to Nov. 22, 2006.
3.4. Lender promises to give Borrower this amount of money within
5 hours after this agreement is signed.
3.5. Borrower promises to repay by using the money as following
(but not limited to):
a). Sales income
b). Other incomes
c). Sell off guaranty
3.6. Borrower promises to repay both principal and interest to
Lender after the term finished.
4. Interest Rate and Payment on Principal:
4.1. The interest rate on this loan is 0.672% per month.
4.2. The interest will start calculating after the Principal reach
to the Borrower's account. The borrower will pay the interest by
month.
4.3. Prepayment .Borrower has the right to prepay the whole
outstanding amount at any time. If Borrower pays early, or if this
loan is refinanced or replaced by a new note, Lender will calculate
the interest to the date that Borrower repays the whole Principal.
5. Guaranty. Borrower uses it's properties, including workshops and
office buildings, as Guaranty.
6. Responsibility.
6.1. Borrower's Responsibility
a). Borrower promises to use the Principal only as the Purpose
described above(3.2).
b). Borrower will not use the Principal for any illegal operations.
c). Before Borrower repays the Principal, any big
management actions occurred by Borrower, such as Merge, Split,
Acquire etc, need to report to Lender within 30 days.
d). If Borrower faces a serious situation such as Dissolution or
Shutout, Borrower promises to repay the Principal at once.
e). Borrower should send monthly financial report and bank statement
to Lender, and cooperate with Lender in investigating and
checking Borrower's manufacture, operating and financial status.
6.2. Lender's Responsibility
a). Lender promises to give the money to Borrower on time.
b). Lender shall not disclose any confidential information received
from Borrower, including Borrower's debts, financial statement,
manufacture and operating status.
7. Changes
7.1. If for any reasons Borrow wants to extend the Loan Term, Borrower
needs to send an application to Lender in writing within 30
days before the Principal Repay Date.
7.2. If Borrower wants to transfer the debt under this agreement
(the Principal) to a third Party, Borrower will need an agreement in
writing from Lender. Before Lender and the third Party sign the new
Loan Agreement, this agreement is still survive.
7.3. Each Party need to inform the other Party in writing if they want to
change any items in this agreement and then sign another agreement.
8. If Borrower use the Principal for purpose other than it mentioned
in this agreement (3.2), Lender has the right to stop this Loan and
take back all the Principal and Interest at once. Plus, Lender has the
right to charge a penalty fee for 0.0448% multiply the Principal per day.
9. If Borrower couldn't repay the Principal and Interest on time, Lender has
the right to change an extra Interest Rate at 0.0336% per day.
10. If Lender couldn't obey Item 5 in this agreement to lend the Principal to
Borrower on time, Lender will pay Borrower a penalty fee for 0.01%
multiply the Principal per day.
11. If there is any disagreement between two Parties during the Term, they
should negotiate on that. If it doesn't work, each Party has the right to
lawsuit the other Party.
12. If Borrower changes the address, mailing address, aitificial person and
other registration information, Lender will need a written notice within
7 days.
13. After negotiation, Borrower agrees to repay the principal as following
step:
13.1. Borrower will repay half of the Principal, 8 million RMB
($966,184.00 USD) by Nov. 23, 2005.
13.2. Borrower will repay the rest of the Principal, 8 million RMB
($966,184.00 USD) by Nov. 23, 2006.
14. This agreement has two copies. Each Party has one and shall be an original.
Borrower: Heilongjiang Zhongqiang Power Tech. Co., Ltd
Address: 0 Xxxxxx Xxxx, Xxxxxxxxxxx Xxxx, Xxxxxx, Xxxxx. 150100
Tel: 00-000-00000000
Lender: China Financial Bank Harbin Branch
Address: 000 Xxxxxxx Xxxxxx, Xxxxxxx Dist. Harbin, China. 150001
Tel: 00-000-00000000
LOAN AGREEMENT
1. Parties: The undersigned is Heilongjiang Zhongqiang Power Tech. Co.,
Ltd, the Borrower, and the Lender is China Financial Bank Harbin Branch.
2. Date of Agreement: Nov. 20, 2004.
3. Term, Principal amount and Purpose.
3.1. Total loan amount is: 4,000,000.00 RMB ($483,092.00 USD).
3.2. Purpose: These money use for purchasing machines and equipments for
manufacturing battery only.
3.3. Term: From Nov. 23, 2004 to Nov. 22, 2006.
3.4. Lender promises to give Borrower this amount of money within 5 hours
after this agreement is signed.
3.5. Borrower promises to repay by using the money as following (but not
limited to):
a). Sales income
b). Other incomes
c). Sell off guaranty
3.6. Borrower promises to repay both principal and interest to Lender
after the term finished.
4. Interest Rate and Payment on Principal:
4.1. The interest rate on this loan is 0.672% per month.
4.2. The interest will start calculating after the Principal reach to the
Borrower's account. The borrower will pay the interest by month.
4.3. Prepayment .Borrower has the right to prepay the whole outstanding
amount at any time. If Borrower pays early, or if this loan is
refinanced or replaced by a new note, Lender will calculate the
interest to the date that Borrower repays the whole Principal.
5. Guaranty. Borrower uses part of it's land as Guaranty.
6. Responsibility.
6.1. Borrower's Responsibility
a). Borrower promises to use the Principal only as the Purpose
described above(3.2).
b). Borrower will not use the Principal for any illegal operations.
c). Before Borrower repays the Principal, any big management
actions occurred by Borrower, such as Merge, Split, Acquire
etc, need to report to Lender within 30 days.
d). If Borrower faces a serious situation such as Dissolution or
Shutout, Borrower promises to repay the Principal at once.
e). Borrower should send monthly financial report and bank
statement to Lender, and cooperate with Lender in investigating
and checking Borrower's manufacture, operating and financial
status.
6.2. Lender's Responsibility
a). Lender promises to give the money to Borrower on time.
b). Lender shall not disclose any confidential information received
from Borrower, including Borrower's debts, financial statement,
manufacture and operating status.
7. Changes
7.1. If for any reasons Borrow wants to extend the Loan Term, Borrower
needs to send an application to Lender in writing within 30
days before the Principal Repay Date.
7.2. If Borrower wants to transfer the debt under this agreement (the
Principal) to a third Party, Borrower will need an agreement in
writing from Lender. Before Lender and the third Party sign the new
Loan Agreement, this agreement is still survive.
7.3. Each Party need to inform the other Party in writing if they want to
change any items in this agreement and then sign another agreement.
8. If Borrower use the Principal for purpose other than it mentioned
in this agreement (3.2), Lender has the right to stop this Loan and
take back all the Principal and Interest at once. Plus, Lender has the
right to charge a penalty fee for 0.0448% multiply the Principal per day.
9. If Borrower couldn't repay the Principal and Interest on time, Lender has
the right to change an extra Interest Rate at 0.0336% per day.
10. If Lender couldn't obey Item 5 in this agreement to lend the Principal to
Borrower on time, Lender will pay Borrower a penalty fee for 0.01%
multiply the Principal per day.
11. If there is any disagreement between two Parties during the Term, they
should negotiate on that. If it doesn't work, each Party has the
right to lawsuit the other Party.
12. If Borrower changes the address, mailing address, aitificial person
and other registration information, Lender will need a written notice
within 7 days.
13. After negotiation, Borrower agrees to repay the principal as following
step:
13.1. Borrower will repay half of the Principal, 2 million RMB
($241,546.00 USD) by Nov. 23, 2005.
13.2. Borrower will repay the rest of the Principal, 2 million RMB
($241,546.00 USD) by Nov. 22, 2006.
14. This agreement has two copies. Each Party has one and shall be an original.
Borrower: Heilongjiang Zhongqiang Power Tech. Co., Ltd
Address: 0 Xxxxxx Xxxx, Xxxxxxxxxxx Xxxx, Xxxxxx, Xxxxx. 150100
Tel: 00-000-00000000
Lender: China Financial Bank Harbin Branch
Address: 000 Xxxxxxx Xxxxxx, Xxxxxxx Dist. Harbin, China. 150001
Tel: 00-000-00000000
