Ordinance 2557-01 - Laserfiche WebLink

Price. The payment of the Purchase Price for tendered Bonds under this Section 4.02 shall be made solely from remarketing proceeds and/or from the proceeds of drawing on the Letter of Credit and shall not constitute an obligation of the City in the event of an insufficiency of funds from the foregoing to pay the entire Purchase Price of tendered Bonds. (a) Notice of Mandatory Purchase Upon Substitution or Expiration of Letter of Credit. On or prior to the 25th day next preceding (1)the Substitution Date, or (2)the Expiration Date, if the City has failed to deliver to the Registrar an Alternate Credit Facility (unless the City has elected to convert the Bonds to a Fixed Mode on or prior to the Expiration Date), then the Registrar shall give notice to the Registered Owners and the other Notice Parties stating: (i) in the case of a Substitution Date, (A)that the existing Credit Facility is being replaced by an Alternate Credit Facility (specifying the identity of the issuer of the Alternate Credit Facility and the Substitution Date); (B) the expected rating or ratings on the Bonds as of the Substitution Date and whether such rating(s) are expected to or may (as applicable) be reduced, increased, withdrawn or suspended; and (C)that the Bonds are required to be tendered for purchase (specifying the Substitution Date and the procedures for tender, and stating that if not so tendered Bonds will be deemed tendered and interest thereon will cease to accrue on the Substitution Date); or (ii) in the case of an Expiration Tender Date, that (A)the then-existing Credit Facility is scheduled to expire (specifying the Expiration Date); (B)the City has not arranged for the extension of such Letter of Credit or Alternate Credit Facility, or an Alternate Credit Facility has not been delivered as of the date of such notice; and (C)the Bonds are required to be tendered for purchase (specifying the Expiration Tender Date and the procedures for tender, and -35- P\CMW\CMW4ZL 11/20/01