Nautilus 2009 Annual Report Download - page 281

( m) A Commercial Account Receivable as to which the account debtor’s obligation to Borrower is denominated and payable
in United States currency;
(n) A Commercial Account Receivable to the extent that it does not consist of Retainage;
(o) A Commercial Account Receivable to the extent that it does not relate to work-in-process or result from or consist of
progress billings in excess of the amount permitted by the terms of the applicable contract;
(p) A Commercial Account Receivable that does not arise out of (i) a consignment transaction, (ii) a sale or return agreement,
(iii) a transaction in which goods are delivered on a bill-and-hold basis, (iv) a sale with cash-on-delivery terms, (v) a guaranteed sale, or
(vi) other sale terms by reason of which the payment by the account debtor is or may be conditional;
(q) A Commercial Account Receivable that is not subject to an agreement providing for Dating of the account debtor’s
obligation to pay for the goods or services in question;
(r) A Commercial Account Receivable from a Tier I Account Debtor as to which not more than 25 percent of the total amount
owed by such Tier I Account Debtor to Borrower is more than 120 days old (as measured from the date of invoice) or a Commercial Account
Receivable from an account debtor other than a Tier I Account Debtor as to which not more than 10 percent of the total amount owed by such
account debtor to Borrower is more than 90 days old (as measured from the date of invoice);
(s) A Commercial Account Receivable from a Tier I Account Debtor as to which the total amount owed by such debtor to
Borrower does not exceed 25 percent of Borrower’s total Eligible Commercial Accounts Receivable at the time in question or a Commercial
Account Receivable from an account debtor other than a Tier I Account Debtor as to which the total amount owed by such debtor to Borrower
does not exceed 10 percent of Borrower’s total Eligible Commercial Accounts Receivable at the time in question;
(t) A Commercial Account Receivable as to which the account debtor’s financial condition is acceptable to Lender in its
Permitted Discretion; and
(u) A Commercial Account Receivable that is not a Commercial Account Receivable that Lender determines in its Permitted
Discretion to be ineligible in whole or in part and has provided Borrower written notice thereof.
Lender’s calculation and determination of Eligible Commercial Accounts Receivable shall be binding and conclusive, absent manifest error.
“ Eligible Consumer Finance Accounts Receivable ” means all Consumer Finance Accounts Receivable of Borrower meeting all of
the following criteria and in which Lender has a valid, perfected first priority security interest:
(v) A Consumer Finance Account Receivable that arose from a bona fide sale of goods by Borrower, or as a result of services
performed by Borrower under an enforceable contract, provided that such goods have been shipped to the appropriate account debtor (or the sale
otherwise has been consummated), and, in the case of services, the services have been performed for the account debtor in question substantially
in accordance with the contract or agreement governing such services;
-
8
-