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/'.\R'l'ICLE III
<br />SCOPE OF GUARANTY
<br />Section 3,01. Guaranty of Payment of Principal of, Premium
<br />and Interest on the Bonds . The Guarantor hereby irrevocably and
<br />unconditionally 1uarantees to the Trustee, for the benefit of the
<br />Issuer, the 'l'rus tee and the Bondholders ( i) the Eull and prompt
<br />payment of the principal of and pret .. .Lum, if any, on each of the
<br />Bonds, including any renewals, modifications or extensions
<br />thereof, when and as the same shall become due, whether at the
<br />stated maturity thereof , by acceleration, oy call for redemption
<br />or otherwise, and (ii) the full and prompt payment of any
<br />interest on each of the !3onds when and as the same shall become
<br />due (including scheduled installments of interest and interest on
<br />any principal, premium, if any, and/or interest which is in
<br />default). In each and every case, the Guarantor hereby covenants
<br />and agrees, in the event of the failure of the Issuer to make
<br />such payments of principal, premium, if any, or interest on any
<br />Bond, it shal 1, upon demand of the holder of any !3on<l, irnme-
<br />dia tely make such payments to ti.e holder of such Bond: provided,
<br />however, that if such demand is made by the Trustee on behalf of
<br />one or more Bondholders and such <lemand so provides, such ray:nent
<br />shall be made by depositing with the Trustee an amount sufficient
<br />to pay all delinquent payments of principal, premium, if any, and
<br />interest and interest on any principal, premium and interest so
<br />in default. This guaranty is a guaranty of payment and not of
<br />collectibili ty or performance ,rnd is in no way conditioned or
<br />contingent upon any attempt to collect from the Issuer or to
<br />realize upon any property subject to the lien of the Indenture or
<br />to realize upon any property pledged as security thereunder or
<br />hereunder. The Guarantor hereby waives diligence, presentment,
<br />demand, notice or protest of any kind,
<br />Section 3.02. Indemnification of ·rrustee and Issuer.
<br />(a) To the extent not. pai.J by the Borr-ower, the Guarantor
<br />agrees to iy1y to the Trustee an.:1 to the Issuer on damanj all fees
<br />payable to them respectively (and to the Bond Regigtr~r an<.l any
<br />Paying Agent) under this f\.greement. and under-the documents and
<br />instru,nents herein referred to and all advances (and interest
<br />thereon as prov i<.led in the Loan Agreement or the In~lentllre) made
<br />by the 'l'rustee under the Loan Agreement and/or the Indenture, all
<br />costs anJ expenses in connection with the preparation, execution,
<br />delivery, filing, recordin3, and c1.dministratlon of the [nd enture,
<br />the Loan /\(Jreement, and all documents, agreements cl.nu instrumoants
<br />to be ,Jelivered under ~ny of the f:oregolng, including without
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