Neiman Marcus 2003 Annual Report Download - page 229

Section 2.12. General Provisions as to Payments.
(a) The Borrower shall make each payment of principal of, and interest on, the Loans, of Letter of Credit Liabilities
and interest thereon and of fees hereunder not later than 2:00 P.M. (New York City time) on the date when due, in Federal or other
funds immediately available in New York City, to the Administrative Agent at its address specified in or pursuant to Section 9.01 and
without reduction by reason of any set-off or counterclaim. The Administrative Agent will promptly distribute to each Lender its
ratable share of each such payment received by the Administrative Agent for the account of the Lenders. Whenever any payment of
principal of, or interest on, the Base Rate Loans or of fees shall be due on a day which is not a Domestic Business Day, the date for
payment thereof shall be extended to the next succeeding Domestic Business Day. Whenever any payment of principal of, or interest
on, the Euro-Dollar Loans shall be due on a day which is not a Euro-Dollar Business Day, the date for payment thereof shall be
extended to the next succeeding Euro-Dollar Business Day unless such Euro-Dollar Business Day falls in another calendar month, in
which case the date for payment thereof shall be the next preceding Euro-Dollar Business Day. Whenever any payment of principal
of, or interest on, the Competitive Bid Loans shall be due on a day which is not a Euro-Dollar Business Day, the date for payment
thereof shall be extended to the next succeeding Euro-Dollar Business Day. If the date for any payment of principal is extended by
operation of law or otherwise, interest thereon shall be payable for such extended time.
(b) Unless the Borrower notifies the Administrative Agent before the date on which any payment is due to the Lenders
hereunder that the Borrower will not make such payment in full, the Administrative Agent may assume that the Borrower has made
such payment in full to the Administrative Agent on such date and the Administrative Agent may, in reliance on such assumption,
cause to be distributed to each Lender on such due date an amount equal to the amount then due such Lender. If and to the extent that
such payment shall not have been so made by the Borrower, each Lender shall repay to the Administrative Agent forthwith on demand
the amount so distributed to such Lender together with interest thereon, for each day from the date such amount is distributed to such
Lender until the date such Lender repays such amount to the Administrative Agent, at the Federal Funds Rate.
Section 2.13. Funding Losses. If the Borrower makes any payment of principal with respect to any Fixed Rate Loan or
any Fixed Rate Loan is converted to a different type of Loan (whether such payment or conversion is pursuant to Article 2, 6 or 8 or
otherwise) on any day other than the last day of an Interest Period applicable thereto, or if the Borrower fails to borrow, prepay,
convert or continue any Fixed Rate Loan after notice has been given to any Lender in accordance with Section 2.04(a), 2.08(c) or
2.11(c), the Borrower shall reimburse each Lender within 15 days after demand for any resulting loss or expense incurred by it (or by
an existing or prospective Participant in the related Loan), including (without limitation) any loss incurred in obtaining, liquidating or
employing deposits from third parties, but excluding loss of margin for the period after such payment or conversion or failure to
borrow, prepay, convert or continue; provided that such Lender shall have delivered to the Borrower a certificate as to the amount of
such loss or expense, which certificate shall be conclusive in the absence of manifest error. Such certificate shall be accompanied by
such information as the Borrower may reasonably request as to the computation set forth therein.
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