Common use of Fronting Fee and Documentary and Processing Charges Payable to Issuing Bank Clause in Contracts

Fronting Fee and Documentary and Processing Charges Payable to Issuing Bank. U.S. Borrowers or Canadian Borrower, as applicable, shall pay directly to the applicable Issuing Bank for its own account a fronting fee with respect to each U.S. Letter of Credit or Canadian Letter of Credit, as applicable, at a rate equal to 0.125% per annum on the daily amount available to be drawn under each Letter of Credit. Such fronting fee shall be due and payable quarterly in arrears, on the first Business Day of each Fiscal Quarter, on the Letter of Credit Expiration Date and thereafter on demand. In addition, the applicable Borrower shall pay directly to the Issuing Bank for its own account, all customary charges associated with the issuance, amending, negotiating, payment, processing, transfer and administration of Letters of Credit, which charges shall be paid as and when incurred.