ML18030A742

Irrevocable Standby Letter of Credit (Redacted)

ML18030A742
Person / Time
Site:	Aerotest
Issue date:	07/14/2017
From:	Aerotest, Bank of the West
To:	Office of Nuclear Reactor Regulation
Helvenston E, NRR/DLP
References
Download: ML18030A742 (2)

Text

DATE: 07/14/2017 BANK OF THE WEST GlOBAl TRADE OPERATIONS 13300 CROSSROADS PKWY N.

CITY OF ~NDUSTRY, CA 91746 SC-XRD-2W-G SWIFT: BWSTUSSSLAX iRREVOCABlE STAtr\\JJIDIBV lETTER Of CREDrr WE HEREBY ESTABLISH OUR IRREVOCABLE STANDBY LETTER OF CREDIT NO.

IN FAVOR OF BENEFICIARY:

US NUCLEAR REGULATORY COMMISSION WASHINGTON, DC 20555 FOR AC.COUNT OF (APPUCANT):

AEROTEST OPERATIONS INC.

3455 FOSTORIA WAY SAN RAMON, CA 94583 AMOUNT:

USO 300,000.00

~HREEHUNDREDTHOUSANDANDNOMOOUS DOLLARS)

EXPIRY DATE I PLACE: JULY 14, 2018 AT 5:00 P.M. IN CITY OF INDUSTRY, AT OUR ABOVE ADDRESS.

DEAR SIR OR MADAM:

WE HEREBY ESTABLISH OUR STANDBY LETTER OF CREDIT NO.

IN YOUR FAVOR, AT THE REQUEST AND FOR THE ACCOUNT OF AEROTEST OPERATIONS INC, UP TO THE AGGREGATE AMOUNT OF THREE HUNDRED THOUSAND AND 00/100 U.S. DOLLARS, (US$300,000.00) AVAILABLE UPON PRESENTATION OF:

(1) YOUR SIGHT DRAFT, BEARING THE CLAUSE: "DRAWN UNDER CREDIT NO.

OF BANK OF THE WEST, CITY OF INDL)STRY, CALIFORNIA."

(2) YOUR STATEMENT SIGNED AND DATED BY AN AUTHORIZED OFFICER READING AS FOLLOWS:

"I CERTIFY THAT THE AMOUNT OF THE DRAFT IS PAYABLE PURSUANT TO REGULATIONS ISSUED UNDER AUTHORITY OF -----

WE HAVE BEEN ADVISED BY THE APPLICANT THEAT THIS LETTER OF CREDIT IS ISSUED IN ACCORDANCE WITH REGULATIONS ISSUED UNDER THE AUTHORITY OF THE U.S. NUCLEAR REGULATORY COMMISSION (NRC), AN AGENCY OF THE U.S. GOVERNMENT, PURSUANT TO THE ATOMIC ENERGY ACT OF 1954, AS AMENDED, AND THE ENERGY REORGANIZATION ACT OF 1974. THE NRC HAS PROMULGATED REGULATIONS IN TITLE 10, PART 50, OF THE CODE OF FEDERAL REGULATIONS (10 CFR PART 50), WHICH REQUIRE THAT A HOLDER OF, OR AN APPLICANT FOR, A LICENSE ISSUED UNDER 10 CFR PART 50 PROVIDE ASSURANCE THAT FUNDS WILL BE AVAILABLE WHEN NEEDED FOR DECOMMISSIONING.

THIS LETTER OF CREDIT IS EFFECTIVE AS OF JULY 14, 2017 AND SHALL EXPIRE ON JULY 14, 2018, AND SHALL BE DEEMED AUTOMATICALLY EXTENDED WITHOUT AMENDMENT FOR ADDITIONAL PERIODS OF ONE YEAR EACH FROM THE CURRENT EXPIRATION DATE OR ANY FUTURE ANNIVERSARY OF SUCH DATE, UNLESS AT LEAST NINETY (90)

DAYS PRIOR TO THE EXPIRY DATE OR ANY EXPIRY DATE ANNIVERSARY WE SEND WRITTEN l\\JOTICE BY CERTIFIED MAIL OR COURIER SERVICE TO BENEFICIARY AT THE ABOVE ADDRESS THAT WE ELECT NOT TO CONSIDER THIS LETTER OF CREDIT EXTENDED FOR ANY SUCH ADDITIONAL PERIOD. IN SUCH EVENT, BENEFICl(\\RY MAY DRAW ON US AT SIGHT FOR AN AMOUNT NOT TO EXCEED THE BALANCE REMAINING IN THIS IRREVOCABLE LETTER OF CREDIT PRIORTHE THEN APPLICABLE EXPIRY DATE, AS EXTENDED BY THE FOREGOING, BY PRESENTATION OF BENEFICIARY'S DRAFT AND BENEFICIARY'S SIGNED AND DATED STATEMENT WORDED AS FOLLOWS:

'THIS CERTIFIES THAT THE UNDERSIGNED IS ENTITLED TO THE AMOUNT SPECIFIED UNDER CREDIT NO.

OF BANK OF THE WEST AS WE HAVE RECEIVED AN NONEXTENSION NOTICE FROM BANK OF THE WEST OF THEIR DECISION NOT TO AUTOMATICALLY EXTEND CREDIT NO.

Al'IJD AEROTEST OPERATIONS INC HAS NOT SECURED ALTERNATIVE FINANCIAL ASSURANCE TO REPLACE THIS LETTER OF CREDIT WITHIN 30 DAYS AND THE UNDERLYING OBLIGATION REMAINS OUTSTANDING."

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WHENEVER THIS LEDER OF CREDIT IS DRAWN ON, UNDER, AND IN COMPLIANCE WITH THE TERMS OF THIS LEDER OF CREDIT, WE SHALL DULY HONOR SUCH DRAFT UPON ITS PRESENTP,TION TO US WITHIN 30 DAYS, AND WE SHALL DEPOSIT THE AMOUNT OF THE DRAFT DIRECTLY INTO THE STANDBY TRUST FUND OF AEROTEST OPERATIONS INC, IN ACCORDANCE WITH.YOUR INSTRUCTIONS.

WE HEREBY ENGAGE WITH YOU THAT DRAFTS DRAWN AND PRESENTED IN CONFORMITY WITH THE TERMS OF THIS CREDIT WILL BE DULY HONORED ON PRESENTATION TO BANK OF THE WEST, GLOBAL TRADE SERVICES, SC-XRD-2W-G, 13300 CROSSROAD PARKWAY NORTH, CITY OF INDUSTRY, CA 91746 OR SUCH OTHER ADDRESS AS WE MAY ADVISE YOU IN WRITING.

THIS LETTER OF CREDIT IS SUBJECT TO AND GOVERNED BY THE 2007 REVISION OR UNIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY CREDITS OF THE INTERNATIONAL CHAMBER OF COMMERCE (PUBLICATION 600)~

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