Common use of Guarantee Facility - interest before demand Clause in Contracts

Guarantee Facility - interest before demand. If the Borrower shall be obliged to reimburse the Issuing Bank for a Settlement Amount on the relevant Settlement Date pursuant to clause 2.10.2 but shall fail to do so, it shall pay to the Agent for the account of the Issuing Bank interest on that Settlement Amount from the relevant Settlement Date to the date the Issuing Bank is reimbursed by the Borrower hereunder or the date on which the Agent makes demand on the Banks pursuant to clause 2.14 (whichever shall be earlier) at a rate per annum (as determined by the Agent) equal to the Issuing Bank's cost of funding such amount (expressed as a percentage of such amount). If any amount remains unpaid after demand has been made on the Banks, clause 3.4 shall apply.