Resolution of the Common Council Relating to Steel Warehouse Co. Inc.

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development, diversification of industry and promotion of job opportunities in and near the Issuer. 2. The Common Council of the City of South Bend approves, determines, ratifies and confirms that the issuance and sale of economic development revenue bonds in an amount of $3,000,000 of the Issuer under the Act for the acquisition and expansion of the Project and the sale or leasing of the Project to the Applicant or the loan of the proceeds of the revenue bonds to the Applicant, will serve the public purposes referred to above, in accordance with the Act. 3. In order to induce the Applicant to proceed with the acquisition and expansion of the Project, the Common Council of the City of South Bend hereby approves, deter- mines, ratifies and confirms that (i) it will take or cause to be taken such actions pursu- ant to the Act as may be required to implement the aforesaid financing, or as it may deem appropriate in pursuance thereof; provided that all of the foregoing shall be mutu- ally acceptable to the Issuer and the Applicant; and (ii) it will adopt such ordinances and resolutions and authorize the execution and delivery of such instruments and the taking of such action as may be necessary and advisable for the authorization, issuance and sale of said economic development revenue bonds; and (iii) it will use its best efforts at the request of Applicant to authorize the issuance of additional bonds for refunding and refinancing the outstanding principal amount of the bonds, for completion of the Project and for additions to the Project, including the costs of issuance (providing that the financing of such addition or additions to the Project is found to have a public purpose [as defined in I.C. 36-7-12-1] at the time of authorization of such additional bonds), and that the aforementioned purposes comply with the provisions of I.C. 36-7-11.9 and 12. 4. All costs of the Project incurred after the adoption of this inducement resolu- tion, including reimbursement or repayment to the Applicant of moneys expended by the Applicant for planning, engineering, interest paid during construction, underwriting ex- penses, attorney and bond counsel fees, acquisition and equipping of the Project will be permitted to be included as part of the bond issue to finance the Project, and the Issuer will sell or lease the same to the Applicant or loan the proceeds from the sale of the bonds to the Applicant for the same purposes. Also, certain indirect expenses, including but not limited to, planning, architectural work and engineering incurred prior to this inducement resolution will be permitted to be included as part of the bond issue to fi- nance the Project. - 2 -