Common use of Prepayment and Repayment Clause in Contracts

Prepayment and Repayment. The Borrowers may make a prepayment of principal of any Loan accruing interest at the Adjusted Prime Rate at any time without penalty. Prepayment of any amounts of principal of any Loan bearing interest at a fixed rate shall not be permitted unless accompanied by the following prepayment premium equal to the amount, if any, by which the aggregate present value of scheduled principal and interest payments eliminated by the prepayment exceeds the principal amount being prepaid. Said present value shall be calculated by application of a discount rate determined by Bank in its reasonable judgment to be the yield-to-maturity at the time of prepayment on U.S. Treasury securities having a maturity which most closely approximates the final maturity date of the principal balance then outstanding. The determination of the foregoing prepayment premium by the Bank shall be final, binding and conclusive upon the Borrower, except to the extent of any manifest error in computation or transmission. All prepayments of the Loans shall be accompanied by the payment of accrued interest on the amount of such prepayment to the date thereof. Subject to the above prepayment premium, the Borrowers may make payments and prepayments of the Loans in whole or in part at any time and from time to time upon notification to the Bank not later than 10:00 a.

Prepayment and Repayment. The Borrowers may make a prepayment of principal of any Loan accruing interest at the Adjusted Prime Rate at any time without penalty. Prepayment of any amounts of principal of any Loan bearing interest at a fixed rate shall not be permitted unless accompanied by the following prepayment premium equal to the amount, if any, by which the aggregate present value of scheduled principal and interest payments eliminated by the prepayment exceeds the principal amount being prepaid. Said present value shall be calculated by application of a discount rate determined by Bank in its reasonable judgment to be the yield-to-maturity at the time of prepayment on U.S. Treasury securities having a maturity which most closely approximates the final maturity date of the principal balance then outstanding. The determination of the foregoing prepayment premium by the Bank shall be final, binding and conclusive upon the Borrower, except to the extent of any manifest error in computation or transmission. All prepayments of the Loans shall be accompanied by the payment of accrued interest on the amount of such prepayment to the date thereof. Subject to the above prepayment premium, the Borrowers may make payments and prepayments of the Loans in whole or in part at any time and from time to time upon notification to the Bank not later than 10:00 a.a.m. Philadelphia time one Business Day prior to the date of the proposed prepayment. Each such notice shall set forth (i) the date, which shall be a Business Day, on which the proposed prepayment is to be made; (ii) to which Loan such prepayment is to be applied; and (iii) the total amount of such prepayment which shall be in the amount equal to the lesser of the entire remaining principal balance of the Loan, or $500,000 or a multiple thereof. Such notice, once given to the Bank, shall be irrevocable.