1994-06-21 Minutes - Laserfiche WebLink

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In the event that the Adjustable Long Rate for any Bond is not determined by the Remarketing Agent, the • rate of interest borne by such Bond shall be determined as described above under the heading "Modes of Operation of Bonds--Designation of Weekly and Adjustable Long Modes." . Fixed Mode. From and after the Conversion Date for any Bond, such Bond will bear interest at the Fixed Rate. The Fixed Rate is a fixed per annum interest rate equal to the lowest interest rate which, in the judgment of the Remarketing Agent, would enable such Bond to be remarketed at the principal amount thereof on the Conversion Date for such Fixed Mode. Purchase of Bonds on Demand of a Bondholder While any Bond bears interest at a Weekly Rate, such Bond (or portion thereof in an Authorized Denomination) (other than a Pledged Bond) will be purchased on a Demand Date upon the demand of the owner thereof, at a purchase price equal to 100 ~ of the principal amount thereof plus accrued interest, if any, to the Demand Date, upon irrevocable written notice (which may be given by telecopy) to the Tender Agent at its Principal Office, which notice must be received not later than 11:00 a.m., New York City time, in order to be effective on the day of receipt. The notice must specify (i) the principal amount and number of such Bond, the name and address of the owner and the taxpayer identification number, if any, of the owner and (ii) the Demand Date. The Demand Date shall be the Business Day specified in the notice upon which the owner intends to tender such Bond (or any portion thereof in an Authorized Denomination) for purchase, which Business Day shall not be less than seven calendar days after the date the notice is received by the Tender Agent. Any owner of Bonds who has so demanded purchase is required to deliver such Bonds (with all necessary endorsements) to the Tender Agent at its Principal Office prior to 10:00 am., New York City time, on the Demand Date. Owners of Bonds in the Adjustable Long Mode or the Fixed Mode will not have any right to demand • purchase of their Bonds. See "BOOK-ENTRY ONLY SYSTEM" herein for a discussion of the purchase of Bonds while the Bonds are in the book-entry .system. .Mandatory Purchase Bonds (other than Pledged Bonds and Bonds bearing interest at a Fixed Rate) are required to be tendered to the Tender Agent for purchase on the following dates with respect to such Bonds: (i) each Adjustment Date, including without limitation a proposed Conversion Date to a Fixed Rate, (ii) each Rate Change Date within an Adjustable Long Mode for such Bonds other than the Rate Change Date which is the first day of such Adjustable Long Mode, (iii) each Renewal Date, which is a date 20 days prior to the Stated Expiration Date of the Credit Facility at the time in effect (or the preceding Business Day if such day is not a Business Day), for which the Authority fails to furnish the Trustee with a Renewal Credit Facility or Alternate Credit Facility complying with the provisions of the Indenture by the tenth day preceding such Renewal Date and (iv) a Substitution Date, which is the Business Day upon which an Alternate Credit Facility is to be substituted for the Credit Facility then in effect, if the Authority has received a Rating Decline Notice with respect to such substitution. Furthermore, Bonds (other than Pledged Bonds and Bonds bearing interest at a Fixed Rate) are required to be tendered to the Tender Agent for purchase (i) if the Trustee receives written notice from the Credit Facility Issuer of the occurrence of a default under the Credit Facility Agreement and that the Credit Facility shall be terminated as set forth in the notice or (ii) if the Trustee receives notice from the Credit Facility Issuer within the applicable period specified in the Credit Facility that the Credit Facility Issuer is not reinstating the Credit Facility following a drawing under the Credit Facility to pay interest on the Bonds to the amount available thereunder immediately prior to such drawing less any reduction resulting from the payment of principal on the Bonds entitled to the benefits of the Credit Facility. The owners of Bonds required to be tendered as described in this paragraph may not elect to retain such Bonds. -11-