8447-93 Authorizing Economic Development Revenue (P.A.I. Properties $450,000)

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(iii) an amount, which after the deduction of all federal, state, or local taxes required to be paid by the Bondholders in respect of the receipt thereof (calculated at the maximum statutory rates applicable to the Bondholders) minus any tax benefit derived therefrom, shall be equal to the amount of any Additions to Tax that are not deductible by the Bondholders for Federal income tax purposes. The obligations of the Issuer, Bondholders and Borrower under this subsection (a) and subsection (b) below shall survive termination of this Agreement, payment of the Series 1993 Bonds, redemption of the Series 1993 Bond, and any purchase of the Series 1993 Bonds by or on behalf of the Borrower. (b) If the Issuer shall have made any payments to the Bondholder by reason of subsection (a) of this Section and if any Bondholder shall successfully claim for the taxable year in question that all or any part of the interest on the Bonds for such taxable year is excluded from the Bondholder's gross income for federal income tax purposes (for this purpose a claim shall be successful only upon expiration of the statute of limitations provided by Section 6501 or any successor provision of the Code with respect to such taxable year) , then such Bondholder shall pay to the Issuer for repayment to the Borrower the lesser of an amount equal to such payment with respect to such taxable year in question made by the Borrower, or the amount of the claim allowed, plus interest recovered by the Bondholder on the claim allowed. (c) After the occurrence of an Event of Taxability and until payment in full of the Series 1993 Note and the Series 1993 Bonds, interest will accrue and be payable on the Series 1993 Note and the Series 1993 Bonds at the Taxable Rate. Section 5.4 . Notice of Prepayment. The Borrower shall give the Trustee not less than thirty (30) days nor more than sixty (60) days prior written notice of any prepayment of the Notes which notice shall designate the date of prepayment and the amount thereof and direct the redemption of Bonds of the series and in the amounts corresponding to the Note or Notes to be prepaid; provided, however, that the Borrower shall have the right to rescind any election to prepay any Note or installment thereof prior to the time that the Trustee gives notice of the redemption of the Bonds to be redeemed from such prepayment. Such notice may be contained in any notice of election given pursuant to Section 4. 1 hereof. (End of Article V) -31-