Common use of L/C Commitments Clause in Contracts

L/C Commitments. (a) Subject to the terms and conditions hereof, the Issuing Lender, in reliance on the agreements of the other Lenders set forth in Section 3.4(a), agrees to issue standby and trade Letters of Credit for the account of the Borrowers on any Business Day from the Closing Date through but not including the tenth (10th) Business Day prior to the Revolving Credit Termination Date in such form as may be approved from time to time by the Issuing Lender; provided, that the Issuing Lender shall have no obligation to issue any Letter of Credit if, after giving effect to such issuance, (a) the L/C Obligations would exceed the L/C Commitment or (b) the Available Revolving Credit Commitment of any Lender would be zero or less than zero. Each Letter of Credit (other than the Existing Letter of Credit) shall (i) be denominated in Dollars in a minimum amount of $15,000, (ii) be a standby letter of credit or trade letter of credit issued to support obligations of the Borrowers or any of their Subsidiaries, contingent or otherwise, incurred in the ordinary course of business, (iii) expire on a date satisfactory to the Issuing Lender, which date shall be no later than the earlier of (a) one (1) year after its date of issuance and (b) the tenth (10th) Business Day prior to the Revolving Credit Termination Date and (iv) be subject to the Uniform Customs and/or ISP 98, as set forth in the Application or as determined by the Issuing Lender and, to the extent not inconsistent therewith, the laws of the State of North Carolina. (b) Subject to the terms and conditions hereof, the Issuing Lender, in reliance on the agreements of the other Lenders, if any, set forth in Section 3.4(b), agrees to maintain the Existing Letter of Credit for the account of the Company from the Closing Date through and including July 31, 2005; provided, that, so long as (i) no default or event of default shall have occurred under the Existing Letter of Credit and (ii) no Default or Event of Default has occurred under this Agreement, the Issuing Lender, may in its sole discretion, annually renew the Existing Letter of Credit for a period ending July 31, 2008 (the "Existing L/C Termination Date"). The Existing Letter of Credit shall (i) be denominated in Dollars in the initial amount of $126,849,316 and (ii) be a standby letter of credit issued to support obligations of the Company to the trustee under the Trust Indenture, dated as of July 1, 1998 between the Company, as Borrower and First Union National Bank (now Wachovia), as Trustee. The Existing Letter of Credit shall be deemed to be a Letter of Credit issued under and pursuant to the terms of this Agreement. (c) The Issuing Lender shall not at any time be obligated to issue or maintain any Letter of Credit hereunder if such issuance or maintenance would conflict with, or cause the Issuing Lender or any L/C Participant to exceed any limits imposed by, any Applicable Law. References herein to "issue", "maintain" and derivations thereof with respect to the Letters of Credit shall also include extensions or modifications of any existing Letters of Credit, unless the context otherwise requires.

L/C Commitments. (a) Subject to the terms and conditions hereof, the Issuing Lender, in reliance on the agreements of the other Lenders set forth in Section 3.4(a), agrees to issue standby and trade letters of credit ("New Letters of Credit Credit") for the account of the Borrowers on any Business Day from the Closing Date through but not including the tenth fifth (10th5th) Business Day prior to the Revolving Credit Termination Date in such form as may be approved from time to time by the Issuing Lender; provided, that the Issuing Lender shall have no obligation to issue any New Letter of Credit if, after giving effect to such issuance, (a) the L/C Obligations under New Letters of Credit would exceed the New L/C Commitment Sublimit or (b) the Available Revolving Credit Commitment of any Lender would be zero or less than zero. Each New Letter of Credit (other than the Existing Letter of Credit) shall (i) be denominated in Dollars in a minimum amount of $15,000, (ii) be a standby letter of credit or trade letter of credit issued to support obligations of the Borrowers or any of their Subsidiaries, contingent or otherwise, incurred in the ordinary course of business, (iii) expire on a date satisfactory to the Issuing Lender, which date shall be no later than the earlier of (a) one (1) year after its date of issuance and (b) the tenth fifth (10th5th) Business Day prior to the Revolving Credit Termination Date and (iv) be subject to the Uniform Customs and/or ISP 98, as set forth in the Application or as determined by the Issuing Lender and, to the extent not inconsistent therewith, the laws of the State of North Carolina. (b) Subject to the terms and conditions hereof, the Issuing Lender, in reliance on the agreements of the other Lenders, if any, set forth in Section 3.4(b), agrees to maintain the Existing Letter of Credit for the account of the Company from the Closing Date through and including July 3123, 20052003; provided, that, so long as (i) no default or event of default shall have occurred under the Existing Letter of Credit and (ii) no Default or Event of Default has occurred under this Agreement, the Issuing Lender, may in its sole discretion, annually renew the Existing Letter of Credit for a period ending July 31, 2008 (the "Existing L/C Termination Date")2005. The Existing Letter of Credit shall (i) be denominated in Dollars in the initial amount of $126,849,316 and (ii) be a standby letter of credit issued to support obligations of the Company to the trustee under the Trust Indenture, dated as of July 1, 1998 between the Company, as Borrower and First Union National Bank (now Wachovia)Bank, as Trustee. The Existing Letter of Credit and the letters of credit described on Schedule 3.1(b) shall be deemed to be a Letter Letters of Credit issued under and pursuant to the terms of this Agreement. (c) The Issuing Lender shall not at any time be obligated to issue or maintain any Letter of Credit hereunder if such issuance or maintenance would conflict with, or cause the Issuing Lender or any L/C Participant to exceed any limits imposed by, any Applicable Law. References herein to "issue", "maintain" and derivations thereof with respect to the Letters of Credit shall also include extensions or modifications of any existing Letters of Credit, unless the context otherwise requires.

L/C Commitments. (a) Subject to the terms and conditions hereof, the --------------- each U.S. Issuing Lender, in reliance on the agreements of the other U.S. Revolving Credit Lenders set forth in Section 3.4(a6.4(a), agrees to issue standby and trade letters of credit ( "U.S. Letters of Credit Credit") for the account of the Borrowers U.S. Borrower on any ---------------------- Business Day from during the Closing Date through but not including the tenth (10th) Business Day prior to the U.S. Revolving Credit Termination Date Commitment Period in such form as may be approved from time to time by the such Issuing Lender; provided, that the no -------- Issuing Lender shall have no any obligation to issue any U.S. Letter of Credit if, after giving effect to such issuance, (ai) the U.S. L/C Obligations would exceed the U.S. L/C Commitment or (bii) the aggregate amount of the Available U.S. Revolving Credit Commitment of any Lender Commitments would be less than zero or less than zero(iii) the Aggregate U.S. Revolving Extensions of Credit would exceed the Borrowing Base of the U.S. Borrower. Each U.S. Letter of Credit (other than the Existing Letter of Credit) shall (i) be denominated in U.S. Dollars in a minimum amount of $15,000, and (ii) be a standby letter of credit or trade letter of credit issued to support obligations of the Borrowers or any of their Subsidiaries, contingent or otherwise, incurred in the ordinary course of business, (iii) expire on a date satisfactory to the Issuing Lender, which date shall be no later than the earlier of (ax) one (1) year after the first anniversary of its date of issuance and (by) the tenth (10th) date which is five Business Day Days prior to the U.S. Revolving Credit Termination Date and Date, provided that any U.S. Letter of Credit with -------- a one-year term may provide for the renewal thereof for additional one-year periods (ivwhich shall in no event extend beyond the date referred to in clause (y) be subject to the Uniform Customs and/or ISP 98, as set forth in the Application or as determined by the Issuing Lender and, to the extent not inconsistent therewith, the laws of the State of North Carolinaabove). (b) Subject to the terms and conditions hereof, the each Canadian Issuing Lender, in reliance on the agreements of the other Lenders, if any, Canadian Revolving Credit Lenders set forth in Section 3.4(b6.4(a), agrees to maintain issue letters of credit ( "Canadian Letters of Credit"; together with the Existing Letter U.S. Letters of Credit Credit, the -------------------------- "Letters of Credit") for the account of the Company Canadian Borrower on any Business ----------------- Day during the Canadian Revolving Credit Commitment Period in such form as may be approved from the Closing Date through and including July 31, 2005time to time by such Issuing Lender; provided, thatthat no Issuing -------- Lender shall have any obligation to issue any Canadian Letter of Credit if, so long as after giving effect to such issuance, (i) no default or event of default shall have occurred under the Existing Letter of Credit and Canadian L/C Obligations would exceed the Canadian L/C Commitment, (ii) no Default the aggregate amount of the Aggregate Available Canadian Revolving Credit Commitments would be less than zero, or Event (iii) the Aggregate Canadian Revolving Credit Outstanding would exceed the Borrowing Base of Default has occurred under this Agreement, the Issuing Lender, may in its sole discretion, annually renew the Existing Letter of Credit for a period ending July 31, 2008 (the "Existing L/C Termination Date")Canadian Borrower. The Existing Each Canadian Letter of Credit shall (i) be denominated in U.S. Dollars in the initial amount of $126,849,316 or Canadian Dollars and (ii) be a standby letter expire no later than the earlier of credit issued to support obligations (x) the first anniversary of its date of issuance and (y) the Company date which is five Business Days prior to the trustee under the Trust IndentureCanadian Revolving Credit Termination Date, dated as of July 1, 1998 between the Company, as Borrower and First Union National Bank (now Wachovia), as Trustee. The Existing provided that any Canadian Letter of Credit with a one-year -------- term may provide for the renewal thereof for additional one-year periods (which shall be deemed in no event extend beyond the date referred to be a Letter of Credit issued under and pursuant to the terms of this Agreementin clause (y) above). (c) The No Issuing Lender shall not at any time be obligated to issue or maintain any Letter of Credit hereunder if such issuance or maintenance would conflict with, or cause the such Issuing Lender or any L/C Participant to exceed any limits imposed by, any Applicable applicable Requirement of Law. References herein to "issue", "maintain" and derivations thereof with respect to the Letters of Credit shall also include extensions or modifications of any existing Letters of Credit, unless the context otherwise requires.

L/C Commitments. (a) Subject to the terms and conditions --------------- hereof, the each U.S. Issuing Lender, in reliance on the agreements of the other U.S. Revolving Credit Lenders set forth in Section 3.4(a6.4(a), agrees to issue standby and trade letters of credit ("U.S. Letters of Credit Credit") for the account of the Borrowers U.S. ---------------------- Borrower on any Business Day from during the Closing Date through but not including the tenth (10th) Business Day prior to the U.S. Revolving Credit Termination Date Commitment Period in such form as may be approved from time to time by the such Issuing Lender; provided, that the no Issuing Lender shall have no any obligation to issue any U.S. -------- Letter of Credit if, after giving effect to such issuance, (ai) the U.S. L/C Obligations would exceed the U.S. L/C Commitment or (bii) the aggregate amount of the Available U.S. Revolving Credit Commitment of any Lender Commitments would be less than zero or less than zero(iii) the Aggregate U.S. Revolving Extensions of Credit would exceed the Borrowing Base of the U.S. Borrower. Each Notwithstanding the foregoing, the letter of credit described on Schedule 6.1 shall, from and after the Closing Date, be deemed to be a U.S. Letter of Credit (other than issued pursuant to this Section 6.1(a) with the Existing Lender listed on such schedule being deemed to be the Issuing Lender in respect of such U.S. Letter of Credit) . Each U.S. Letter of Credit shall (i) be denominated in U.S. Dollars in a minimum amount of $15,000, and (ii) be a standby letter of credit or trade letter of credit issued to support obligations of the Borrowers or any of their Subsidiaries, contingent or otherwise, incurred in the ordinary course of business, (iii) expire on a date satisfactory to the Issuing Lender, which date shall be no later than the earlier of (ax) one (1) year after the first anniversary of its date of issuance and (by) the tenth (10th) date which is five Business Day Days prior to the U.S. Revolving Credit Termination Date and Date, provided that any U.S. Letter of Credit with a one-year term may provide -------- for the renewal thereof for additional one-year periods (ivwhich shall in no event extend beyond the date referred to in clause (y) be subject to the Uniform Customs and/or ISP 98, as set forth in the Application or as determined by the Issuing Lender and, to the extent not inconsistent therewith, the laws of the State of North Carolinaabove). (b) Subject to the terms and conditions hereof, the each Canadian Issuing Lender, in reliance on the agreements of the other Lenders, if any, Canadian Revolving Credit Lenders set forth in Section 3.4(b6.4(a), agrees to maintain issue letters of credit ("Canadian Letters of Credit"; together with the Existing Letter U.S. Letters of Credit Credit, the -------------------------- "Letters of Credit") for the account of the Company Canadian Borrower on any Business ----------------- Day during the Canadian Revolving Credit Commitment Period in such form as may be approved from the Closing Date through and including July 31, 2005time to time by such Issuing Lender; provided, thatthat no Issuing -------- Lender shall have any obligation to issue any Canadian Letter of Credit if, so long as after giving effect to such issuance, (i) no default or event of default shall have occurred under the Existing Letter of Credit and Canadian L/C Obligations would exceed the Canadian L/C Commitment, (ii) no Default the aggregate amount of the Aggregate Available Canadian Revolving Credit Commitments would be less than zero, or Event (iii) the Aggregate Canadian Revolving Credit Outstanding would exceed the Borrowing Base of Default has occurred under this Agreement, the Issuing Lender, may in its sole discretion, annually renew the Existing Letter of Credit for a period ending July 31, 2008 (the "Existing L/C Termination Date")Canadian Borrower. The Existing Each Canadian Letter of Credit shall (i) be denominated in U.S. Dollars in the initial amount of $126,849,316 or Canadian Dollars and (ii) be a standby letter expire no later than the earlier of credit issued to support obligations (x) the first anniversary of its date of issuance and (y) the Company date which is five Business Days prior to the trustee under the Trust IndentureCanadian Revolving Credit Termination Date, dated as of July 1, 1998 between the Company, as Borrower and First Union National Bank (now Wachovia), as Trustee. The Existing provided that any Canadian Letter of Credit with a one-year -------- term may provide for the renewal thereof for additional one-year periods (which shall be deemed in no event extend beyond the date referred to be a Letter of Credit issued under and pursuant to the terms of this Agreementin clause (y) above). (c) The No Issuing Lender shall not at any time be obligated to issue or maintain any Letter of Credit hereunder if such issuance or maintenance would conflict with, or cause the such Issuing Lender or any L/C Participant to exceed any limits imposed by, any Applicable applicable Requirement of Law. References herein to "issue", "maintain" and derivations thereof with respect to the Letters of Credit shall also include extensions or modifications of any existing Letters of Credit, unless the context otherwise requires.

L/C Commitments. (a) Subject to the terms and conditions hereof, the US Issuing Lender, in reliance on the agreements of the other US$ Revolving Credit Lenders set forth in Section subsection 3.4(a), agrees to issue standby and trade letters of credit ("US Letters of Credit Credit") for the account of the Borrowers Company on any Business Day from during the Closing Date through but not including the tenth (10th) Business Day prior to the US Revolving Credit Termination Date Commitment Period in such form as may be approved from time to time by the US Issuing Lender; provided, provided that the US Issuing Lender shall have no obligation to issue any US Letter of Credit if, after giving effect to such issuance, (ai) the US L/C Obligations would exceed the US L/C Commitment or (bii) the Available US Revolving Credit Commitment of any Lender would be zero or less than zero. On the Closing Date all US Letters of Credit (as defined in the Existing Credit Agreement) then outstanding on such date under the Existing Credit Agreement shall automatically be deemed to be US Letters of Credit hereunder. (b) Subject to the terms and conditions hereof, the Canadian Issuing Lender, in reliance on the agreements of the other Canadian Revolving Credit Lenders set forth in subsection 3.4(b), agrees to issue letters of credit ("Canadian Letters of Credit"; together with the US Letters of Credit, the "Letters of Credit") for the account of the Canadian Borrower on any Business Day during the Canadian Revolving Credit Commitment Period in such form as may be approved from time to time by the Canadian Issuing Lender; provided that the Canadian Issuing Lender shall have no obligation to issue any Canadian Letter of Credit if, after giving effect to such issuance, (i) the Canadian L/C Obligations would exceed the Canadian L/C Commitment or (ii) the Available Canadian Revolving Credit Commitment would be less than zero. On the Closing Date all Canadian Letters of Credit (as defined in the Existing Credit Agreement) then outstanding on such date under the Existing Credit Agreement shall automatically be deemed to be Canadian Letters of Credit hereunder. (c) Each Letter of Credit (other than the Existing Letter of Credit) shall (i) in the case of the Company, be denominated in US Dollars in a minimum amount of $15,000, (ii) and shall be a standby letter of credit or trade stand-by letter of credit issued to support obligations finance the working capital and business needs of the Borrowers or any of their Subsidiaries, contingent or otherwise, incurred Company and its Restricted Subsidiaries (if any) in the ordinary course of business, and, in the case of the Canadian Borrower, be denominated in C$ and shall be a stand-by letter of credit issued to finance the working capital and business needs of the Canadian Borrower and its Restricted Subsidiaries in the ordinary course of business and (iiiii) expire on a date satisfactory to the Issuing Lender, which date shall be no later than the earlier of (ax) the one (1) year after anniversary of its date of issuance and (by) the tenth (10th) Business Day US Revolving Credit Commitment Termination Date, in the case of US Letters of Credit, or the Canadian Revolving Credit Commitment Termination Date, in the case of Canadian Letters of Credit; provided that so long as no Event of Default has occurred and is continuing, any Letter of Credit that expires prior to the US Revolving Credit Commitment Termination Date and or the Canadian Revolving Credit Commitment Termination Date, as applicable, may be renewed at the request of the applicable Borrower for a term of up to one year (ivor, if shorter, for a term expiring on the US Revolving Credit Commitment Termination Date, in the case of US Letters of Credit, or the Canadian Revolving Credit Commitment Termination Date, in the case of Canadian Letters of Credit). (d) Each Letter of Credit shall be subject to the Uniform Customs and/or ISP 98, as set forth in the Application or as determined by the Issuing Lender and, to the extent not inconsistent therewith, the laws of the State of North Carolina.New York, in the case of US Letters of Credit, and the laws of the Province of Ontario and the laws of Canada applicable thereto, in the case of Canadian Letters of Credit. 50 44 (be) Subject to the terms and conditions hereof, the Issuing Lender, in reliance on the agreements of the other Lenders, if any, set forth in Section 3.4(b), agrees to maintain the Existing Letter of Credit for the account of the Company from the Closing Date through and including July 31, 2005; provided, that, so long as (i) no default or event of default shall have occurred under the Existing Letter of Credit and (ii) no Default or Event of Default has occurred under this Agreement, the Issuing Lender, may in its sole discretion, annually renew the Existing Letter of Credit for a period ending July 31, 2008 (the "Existing L/C Termination Date"). The Existing Letter of Credit shall (i) be denominated in Dollars in the initial amount of $126,849,316 and (ii) be a standby letter of credit issued to support obligations of the Company to the trustee under the Trust Indenture, dated as of July 1, 1998 between the Company, as Borrower and First Union National Bank (now Wachovia), as Trustee. The Existing Letter of Credit shall be deemed to be a Letter of Credit issued under and pursuant to the terms of this Agreement. (c) The Neither Issuing Lender shall not at any time be obligated to issue or maintain any Letter of Credit hereunder if such issuance or maintenance would conflict with, or cause the such Issuing Lender or any L/C Participant to exceed any limits imposed by, any Applicable applicable Requirement of Law. References herein to "issue", "maintain" and derivations thereof with respect to the Letters of Credit shall also include extensions or modifications of any existing Letters of Credit, unless the context otherwise requires.

L/C Commitments. (a) Subject to the terms and conditions hereof, the US Issuing Lender, in reliance on the agreements of the other US$ Lenders set forth in Section subsection 3.4(a), agrees to issue standby and trade letters of credit ("US Letters of Credit Credit") for the account of the Borrowers Company on any Business Day from during the Closing Date through but not including the tenth (10th) Business Day prior to the US Revolving Credit Termination Date Commitment Period in such form as may be approved from time to time by the US Issuing Lender; provided, provided that the US Issuing Lender shall have no obligation to issue any US Letter of Credit if, after giving effect to such issuance, (ai) the US L/C Obligations would exceed the US L/C Commitment or (bii) the Available US Revolving Credit Commitment of any Lender would be zero or less than zero. On the Closing Date all US Letters of Credit (as defined in the Existing Credit Agreement) then outstanding on such date under the Existing Credit Agreement shall automatically be deemed to be US Letters of Credit hereunder. (b) Subject to the terms and conditions hereof, the Canadian Issuing Lender, in reliance on the agreements of the other C$ Lenders set forth in subsection 3.4(b), agrees to issue letters of credit ("Canadian Letters of Credit"; together with the US Letters of Credit, the "Letters of Credit") for the account of the Canadian Borrower on any Business Day during the Canadian Revolving Credit Commitment Period in such form as may be approved from time to time by the Canadian Issuing Lender; provided that the Canadian Issuing Lender shall have no obligation to issue any Canadian Letter of Credit if, after giving effect to such issuance, (i) the Canadian L/C Obligations would exceed the Canadian L/C Commitment or (ii) the Available Canadian Revolving Credit Commitment would be less than zero. On the Closing Date all Canadian Letters of Credit (as defined in the Existing Credit Agreement) then outstanding on such date under the Existing Credit Agreement shall automatically be deemed to be Canadian Letters of Credit hereunder. (c) Each Letter of Credit (other than the Existing Letter of Credit) shall (i) in the case of the Company, be denominated in US Dollars in a minimum amount of $15,000, (ii) and shall be a standby letter of credit or trade stand-by letter of credit issued to support obligations finance the working capital and 52 47 business needs of the Borrowers or any of their Subsidiaries, contingent or otherwise, incurred Company and its Subsidiaries (if any) in the ordinary course of business, and, in the case of the Canadian Borrower, be denominated in C$ and shall be a stand-by letter of credit issued to finance the working capital and business needs of the Canadian Borrower and its Subsidiaries in the ordinary course of business and (iiiii) expire on a date satisfactory to the Issuing Lender, which date shall be no later than the earlier of (ax) the one (1) year after anniversary of its date of issuance and (by) the tenth (10th) Business Day US Revolving Credit Commitment Termination Date, in the case of US Letters of Credit, or the Canadian Revolving Credit Commitment Termination Date, in the case of Canadian Letters of Credit; provided that so long as no Event of Default has occurred and is continuing, any Letter of Credit that expires prior to the US Revolving Credit Commitment Termination Date and or the Canadian Revolving Credit Commitment Termination Date, as applicable, may be renewed at the request of the applicable Borrower for a term of up to one year (ivor, if shorter, for a term expiring on the US Revolving Credit Commitment Termination Date, in the case of US Letters of Credit, or the Canadian Revolving Credit Commitment Termination Date, in the case of Canadian Letters of Credit). (d) Each Letter of Credit shall be subject to the Uniform Customs and/or ISP 98, as set forth in the Application or as determined by the Issuing Lender and, to the extent not inconsistent therewith, the laws of the State of North CarolinaNew York, in the case of US Letters of Credit, and the laws of the Province of Ontario and the laws of Canada applicable thereto, in the case of Canadian Letters of Credit. (be) Subject to the terms and conditions hereof, the Issuing Lender, in reliance on the agreements of the other Lenders, if any, set forth in Section 3.4(b), agrees to maintain the Existing Letter of Credit for the account of the Company from the Closing Date through and including July 31, 2005; provided, that, so long as (i) no default or event of default shall have occurred under the Existing Letter of Credit and (ii) no Default or Event of Default has occurred under this Agreement, the Issuing Lender, may in its sole discretion, annually renew the Existing Letter of Credit for a period ending July 31, 2008 (the "Existing L/C Termination Date"). The Existing Letter of Credit shall (i) be denominated in Dollars in the initial amount of $126,849,316 and (ii) be a standby letter of credit issued to support obligations of the Company to the trustee under the Trust Indenture, dated as of July 1, 1998 between the Company, as Borrower and First Union National Bank (now Wachovia), as Trustee. The Existing Letter of Credit shall be deemed to be a Letter of Credit issued under and pursuant to the terms of this Agreement. (c) The Neither Issuing Lender shall not at any time be obligated to issue or maintain any Letter of Credit hereunder if such issuance or maintenance would conflict with, or cause the such Issuing Lender or any L/C Participant to exceed any limits imposed by, any Applicable applicable Requirement of Law. References herein to "issue", "maintain" and derivations thereof with respect to the Letters of Credit shall also include extensions or modifications of any existing Letters of Credit, unless the context otherwise requires.