AMD 2004 Annual Report Download - page 426

Article 19 (Insurance)
1 The Lessee shall, at its own responsibility and cost, at all times during the Lease Term, enter into the insurance agreements covering the loss or damage of
the Equipment as insured person (beneficiary) with insurance companies which the Lessor recognizes as insurers of international reputation and shall keep
such insurance agreements.
2 The insured amount under the insurance as provided in the immediately preceding clause shall not be less than 100% of the Stipulated Loss Value as of the
Lease Rent Payment Date immediately preceding the date on which such insurance is carried.
3 The Lessee shall promptly give notice to the Lessor if any insured event occurs (whether total loss or partial damage) to the Equipment or each Unit.
4 The insurance proceeds payable for any restorable or repairable damage (partial damage) occurred to the Equipment or each Unit shall be received by the
Lessee. If the Lessee receives such insurance proceeds, the Lessee shall spend all of such insurance proceeds for the payment to restore or repair such
damage of the Equipment or such Unit unless the Lessee has not already restored or repaired such damage. If an Event of Total Loss occurs to the
Equipment or any Unit, the Lessee shall immediately assign the right to claim the insurance to the Lessor or arrange the procedures to cause the insurers to
pay the insurance proceeds to the Lessor, and the Lessor shall treat the insurance proceeds following Clause 3 of Article 9.
5 The Lessee shall obtain a certificate of the existence of insurance policy to be compliant with the foregoing conditions from the insurance companies set
forth in Clause 1 of Article 19 and deliver such certificate to the Lessor on or before the initial Delivery Date under Article 4 and at the time of
commencement of each insurance period (at least once a year) during the period for which the insurance under this Article 19 is required.
6 The terms of insurances set forth in this Article 19 shall at all times and in all respects not be less favorable than the terms of the insurances which the
Lessee maintains for the similar equipment used by it. If the terms of insurances under this Article 19 become less favorable than the terms of any such
other insurance, the terms of insurances under this Article 19 shall be raised to the extent of the terms of such other insurances, and the Lessee shall
promptly comply with the terms so raised.
Article 20 (Representations and Warranties)
1 The Lessee hereby represents and warrants to the Lessor as of the execution date of this Agreement that:
(1) the Lessee has full power and authority, and has taken all necessary action, to enter into, to exercise its rights, and to perform all of its obligations
under the Related Agreements to which it is a party, under the laws and regulations and its internal rules;
(2) neither of the execution and delivery nor the performance by the Lessee of the Related Agreements to which it is a party will violate, in any respect,
any law, regulation, the Lessee’s articles of incorporation or other organizational document, or any agreement to which it is a party;
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Source: ADVANCED MICRO DEVIC, 10-K, March 01, 2005