Delta Airlines 2006 Annual Report Download - page 158

3.16 Environmental Matters.
(a) Except as set forth in Disclosure Schedule 3.16or for any matter for which notice has been given under Section 5.7, and except
for any matter that would not reasonably be expected to result in any Credit Party incurring Environmental Liabilities in excess of $500,000 individually or
$2,500,000 in the aggregate in a Fiscal Year, as of the Closing Date: (i) the Owned Real Estate is free of contamination from any Hazardous Material; (ii) no
Credit Party has caused or suffered to occur any material Release of Hazardous Materials on, at, in, under, above, to, from or about any of its Real Estate; (iii)
the Credit Parties are and have been in compliance with all Environmental Laws; (iv) the Credit Parties have obtained, and are in compliance with, all
Environmental Permits required by Environmental Laws for the operations of their respective businesses as presently conducted or as proposed to be
conducted, which compliance includes obtaining, maintaining and complying with required Environmental Permits and all such Environmental Permits are
valid, uncontested and in good standing; (v) no Credit Party knows of any existing circumstances or conditions, including any Releases of Hazardous
Materials, which is likely to result in an Environmental Liability; (vi) there is no unstayed Litigation arising under or related to any Environmental Laws,
Environmental Permits or Hazardous Material that seeks damages, penalties, fines, costs or expenses or injunctive relief against, or that alleges criminal
misconduct by, any Credit Party; (vii) no notice has been received by any Credit Party identifying it as a “potentially responsible party” or requesting
information under CERCLA or analogous state statutes; and (viii) the Credit Parties have provided to the Administrative Agent copies of all existing
environmental reports, reviews and audits in their possession, custody or control relating to the Owned Real Estate and material written information pertaining
to any Environmental Liabilities of any Credit Party.
(b) Each Credit Party hereby acknowledges and agrees that the Administrative Agent (i) is not now, and has not ever been, in
control of any of the Real Estate or any Credit Party’s affairs, and (ii) does not have the capacity through the provisions of the Loan Documents or otherwise
to influence any Credit Party’s conduct with respect to the ownership, operation or management of any of its Real Estate or compliance with Environmental
Laws or Environmental Permits.
(c) None of the items set forth on Disclosure Schedule 3.16either individually or in the aggregate would be reasonably likely to
have a Material Adverse Effect.
3.17 Insurance.
Part 1 of Disclosure Schedule 3.17lists all insurance policies of any nature maintained, as of the Closing Date, for current occurrences by
each Credit Party, as well as a summary of the scope and term of each such policy. Part 2 of Disclosure Schedule 3.17identifies those insurance policies which
relate to the Collateral.
3.18 Use of Proceeds.
The proceeds of the Loans and the Letters of Credit are being used by Borrower for general corporate purposes of the Credit Parties.
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