Common use of Payment and Transfer of Interest Clause in Contracts

Payment and Transfer of Interest. CPE shall pay interest on cash held as Performance Assurance, at the Interest Rate and on the Interest Payment Date. CPE will transfer to Provider all accrued Interest Amount on the unused cash Performance Assurance in the form of cash by wire transfer to the bank account specified under “Wire Transfer” in Appendix C (Notices). Eleven.5Letter of Credit . Performance Assurance provided in the form of a Letter of Credit (see Appendix D) is subject to the following provisions: (a) If Provider has provided a Letter of Credit pursuant to any of the applicable provisions in this ‎Article Eleven, then Provider shall renew or cause the renewal of each outstanding Letter of Credit on a timely basis in accordance with this Agreement. (b) In the event the issuer of such Letter of Credit at any time (i) fails to maintain the requirements of an Eligible LC Bank, (ii) indicates its intent not to renew such Letter of Credit, or (iii) fails to honor CPE’s properly documented request to draw on such Letter of Credit, Provider shall cure such occurrence by complying with either subsection 11.5(b)(A) or ‎11.5(b)(B) below, in an amount equal to the outstanding Letter of Credit, within five (5) Business Days after the date of CPE’s Notice to Provider of an occurrence listed in this subsection (Provider’s compliance with either subsections (A) or (B) below is considered the “Cure”): (A) providing a substitute Letter of Credit that is issued by an Eligible LC Bank, other than the bank which is the subject of CPE’s Notice to Provider in Section ‎11.5(b) above, or (B) posting cash. If Provider fails to Cure or if such Letter of Credit expires or terminates without a full draw thereon by CPE, or fails or ceases to be in full force and effect at any time that such Letter of Credit is required pursuant to the terms of this Agreement, then Provider shall have failed to meet the creditworthiness or collateral requirements of ‎Article Eleven.