Common use of Voluntary Termination/Reduction of Commitments Clause in Contracts

Voluntary Termination/Reduction of Commitments. Upon at least three Business Days’ prior irrevocable written notice (or telephonic notice confirmed in writing) to the Administrative Agent at the Notice Office (which notice the Administrative Agent shall promptly transmit to each of the Lenders), the Borrower shall have the right to: (a) terminate in whole the Total Commitment, provided that (i) all outstanding Loans and Unpaid Drawings are contemporaneously prepaid in accordance with Section 4.2, and (ii) either there are no outstanding Letters of Credit or the Borrower shall contemporaneously cause all outstanding Letters of Credit to be surrendered for cancellation (any such Letters of Credit to be replaced by letters of credit issued by other financial institutions acceptable to each LC Issuer and the Lenders); or (b) partially and permanently reduce the Unutilized Total Commitment, provided that (i) any such reduction shall apply to proportionately and permanently reduce the Commitment of each of the Lenders; (ii) such reduction shall apply to proportionately and permanently reduce the LC Commitment Amount, but only to the extent that the Unused Total Commitment would be reduced below any such limits; (iii) no such reduction shall be permitted if the Borrower would be required to make a mandatory prepayment of Loans or cash collateralize Letters of Credit pursuant to Section 4.3(a), and (iv) any partial reduction of the Unutilized Total Commitment pursuant to this Section 3.3(b) shall be in the amount of at least $10,000,000 (or, if greater, in integral multiples of $500,000).