Authorizing Issurance $6,000,000 Economic Development First Mortgage Revenue Bonds - South Bend Forge Inc

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it will diligently and promptly proceed in good faith and use its best efforts to enforce the Agreement, and that, should there be an event of default under the Agreement, the Issuer shall fully cooperate with the Trustee and with the Bondholders to fully protect the rights and security of the Bondholders hereunder. Nothing herein shall be construed as requiring the Issuer to use or apply to the payment of Bond service charges any funds or revenues from any source other than Pledged Receipts. The Issuer covenants and agrees, whenever the moneys and investments in the Bond Fund (or otherwise held by the Trustee for such purpose) are sufficient in amount to redeem all of the Bonds then outstanding and to pay interest to accrue thereon to the date or dates of such redemption, to take and cause to be taken the necessary steps to redeem all of said Bonds on the next succeeding redemption date or dates for which the required notice of call for redemption may be given. Section 10. Additional Bonds. The Issuer, at the request of the Company if the Company is not then in default under the Agreement with the consent of all the bondholders, to the extent then permitted by law and for purposes consistent with the Act: (a) shall to the extent reasonably deemed necessary by the Issuer to create or maintain the character or significance of the Project as furthering the purpose of the Act use its best efforts to issue Additional Bonds from time to time to provide a loan of the proceeds thereof to the Company for its use for: (i) completion of the Project, or (ii) the acquisition for the Project of additional real estate or interests therein within the boundaries of the Issuer, repairs to the Project of a major nature arising from casualty or unanticipated conditions, or the acquisition, construction, enlargement, improvement, equipping and furnishing of property to be used in connection with the Project and to be located on the Project Site as defined in the Agreement, or any combination thereof, or (iii) any combination of (i) and (ii), and (b) may issue Additional Bonds from time to time to provide for its use for: - 16 -