Common use of Mandatory Repayments and Prepayments Clause in Contracts

Mandatory Repayments and Prepayments. (a) The Working Capital Commitment of each Lender shall terminate at the opening of business on the earlier of (i) May 1, 2004 and (ii) the date on which the Term Notes shall have been paid in full (the "Termination Date"), and there shall become due and each Company shall pay on the Termination Date, the entire outstanding principal amount of each Working Capital Loan made to such Company, together with accrued and unpaid interest thereon to but excluding the Termination Date. (b) If at any time the aggregate Working Capital Outstandings exceed the lesser of the Borrowing Base and the aggregate Working Capital Commitments of the Lenders, then, on the next succeeding Business Day, the Companies shall apply an amount equal to such excess to repay the Working Capital Loans or cash collateralize Letter of Credit Liabilities, or both, as and to the extent required by Section 3.07(b), and to the extent the Companies fail to make any such payment, the Companies shall provide for the replacement or cancellation of any outstanding Letters of Credit until the aggregate Working Capital Outstandings do not exceed