Common use of NETTING OF PAYMENT OBLIGATIONS Clause in Contracts

NETTING OF PAYMENT OBLIGATIONS. The Company is making payments to Parent pursuant to Sections 1 and 2(c) hereof in an aggregate amount equal to $16,212,000 ($8,262,000 PLUS $7,950,000), and Parent is making payments to the Company pursuant to Sections 4(a) and 4(b) hereof in an aggregate amount equal to $337,500 ($250,000, PLUS $87,500). For the convenience of the parties and in full satisfaction of all of the payment obligations of the parties under such Sections, simultaneously with the execution and delivery of this letter the Company is paying Parent $15,874,500 ($16,212,000 LESS $337,500) by wire transfer of immediately available funds.