HomeMy WebLinkAbout86853003013741
Prepared by and after
recording return to:
Shearman Sterling
599 Lexington Avenue
New York, New York 10022
Attn: Sheri P. Chromow, Esq.
NYDOCS03/535540.5
to
Mortgagee
RECEIVED
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BOOK 452 FR PAGE__
MORTGAGE, LEASEHOLD MORTGAGE, ASSIGNMENT,
ASSIGNMENT OF RENTS, FIXTURE FILING AND FINANCING STATEMENT
Dated September I 2000
ASTARIS PRODUCTION LLC
Mortgagor
BANK OF AMERICA N.A., as administrative agent for the Lenders listed
on Exhibit C hereto and as provided herein,
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SECTION 5.01. Continuous Ownership 20
ARTICLE VI DEFAULTS AND REMEDIES
SECTION 6.01.
SECTION 6.02.
SECTION 6.03.
SECTION 6.04.
SECTION 6.05.
SECTION 6.06.
SECTION 6.07.
ARTICLE VII RELEASE OF LIEN
SECTION 7.01. Release of Lien 28
ARTICLE VIII ADDITIONAL PROVISIONS
SECTION 8.01.
SECTION 8.02.
SECTION 8.03.
SECTION 8.04.
SECTION 8.05.
SECTION 8.06.
SECTION 8.07.
SECTION 8.08.
SECTION 8.09.
SECTION 8.10.
SECTION 8.11.
SECTION 8.12.
SECTION 8.13.
SECTION 8.14.
SECTION 8.15.
SECTION 8.16.
SECTION 8.17.
SECTION 8.18.
SECTION 8.19.
SECTION 9.01. Fixture Filing 34
Exhibit A -1
Exhibit A -2
Exhibit B
Exhibit C
Events of Default 20
Remedies 21
Rights Pertaining to Sales 23
Expenses 25
Application of Proceeds 25
Additional Provisions as to Remedies 26
Waiver of Rights and Defenses 26
Provisions as to Payments, Advances 29
Separability 29
Notices 29
Right to Deal 29
Continuation of Subordinate Lease 29
Applicable Law 30
Sole Discretion of Mortgagee 30
Provisions as to Covenants and Agreements 30
Matters to be in Writing 30
Submission to Jurisdiction 30
Construction of Provisions 30
Successors and Assigns 31
Counterparts 32
Agency 32
The Security Agreement and other Loan Documents 32
No Merger 32
WAIVER OF JURY TRIAL 32
WAIVER OF MORTGAGOR'S RIGHTS 33
Cross- Collateralization 33
ARTICLE IX FIXTURE FILING
Description of Land
Description of Leased Land
Permitted Encumbrances
List of Lenders as of the Date of this Mortgage
NYDOCS03 /535540.5 Il
O 68 530
GRANTING CLAUSES
NYDOCS03/535540.5 2
NOW, THEREFORE, in consideration of the premises and other good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged, to secure
the punctual payment by Mortgagor when due, whether at stated maturity, by acceleration or
otherwise, of the Secured Obligations and the performance and observance of all other
covenants, obligations and liabilities of Mortgagor under this Mortgage, as the same may be
extended, modified or renewed or repledged, Mortgagor does hereby grant, bargain, sell,
mortgage, warrant, convey, alien, remise, release, assign, transfer, set over, deliver, confirm and
convey unto Mortgagee, upon the terms and conditions of this Mortgage, with power of sale and
right of entry as provided hereinbelow, each and all of the real properties described in the
Granting Clauses herein (which, together with all other property located therein or described in
the Granting Clauses herein, is hereinafter collectively called the "Mortgaged Property
All the estate, right, title and interest of Mortgagor in, to and under, or derived
from, the plots, pieces and parcels of land more particularly described in Exhibit A hereto (the
"Land
TOGETHER with the tenements, hereditaments, appurtenances and all the estates
and rights of Mortgagor in and to the Land;
TOGETHER with all buildings and improvements now or hereafter located on the
Land (hereinafter collectively referred to as the "Improvements and all right, title and interest,
if any, of Mortgagor in and to the streets, roads, sidewalks and alleys abutting the Land, and
strips and gores within or adjoining the Land, the air space and right to use said air space above
the Land and any transferable development or similar rights appurtenant thereto, all rights of
ingress and egress by motor vehicles to parking facilities on or within the Land, all easements
now or hereafter affecting the Land, royalties and all rights appertaining to the use and
enjoyment of the Land, including alley, drainage, mineral, water, oil and gas rights;
TOGETHER with all fixtures and all appurtenances and additions thereto and
substitutions or replacements thereof owned by Mortgagor and now or hereafter attached to the
Premises (as hereinafter defined);
TOGETHER with all property, tangible and intangible, and all additions thereto
and substitutions or replacements thereof owned by Mortgagor and now or hereinafter contained
in, or used in connection with the Premises or placed on any part thereof though not attached
thereto, to the extent the same constitutes real property in the state in which the Mortgaged
Property is located (all of the foregoing, including the items hereinafter enumerated, collectively
referred to as the "Equipment including all removable window and floor coverings, furniture
and furnishings, heating, lighting, plumbing, ventilating, air conditioning, refrigerating,
incinerating and elevator plants, cooking facilities, vacuum cleaning systems, call systems,
sprinkler systems and other fire prevention and extinguishing apparatus and materials, motors,
machinery, pipes, appliances, equipment, fittings and fixtures (the Land, together with the
Improvements and the Equipment, are hereinafter collectively referred to as the "Premises
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further mortgage, conveyance, assignment or other act by Mortgagor, shall become subject to the
lien of this Mortgage as fully and completely, and with the same effect, as though now owned by
Mortgagor and specifically described herein.
TO HAVE AND TO HOLD the Mortgaged Property unto Mortgagee and its
successors and assigns, forever.
NYDOCS03 /535540.5
ARTICLE I
Certain Definitions
G
SECTION 1.01. Certain Definitions. Capitalized terms used herein and not
defined herein shall have the meanings given them in the Credit Agreement. As used herein, the
following terms shall have the meanings set forth opposite them below:
"Action" has the meaning set forth in Section 8.11.
"Administrative Agent" has the meaning set forth in the Recitals.
"Awards" has the meaning set forth in the Granting Clauses.
"Bankruptcy Law" has the meaning set forth in Section 2.02.
"Borrower" has the meaning set forth in the Recitals.
"Contest" has the meaning set forth in Section 3.11.
"Credit Agreement" has the meaning set forth in the Recitals.
"Equipment" has the meaning set forth in the Granting Clauses.
"Impositions" means all taxes, assessments, vault, water and sewer rents, rates, charges
and assessments, levies, permits, inspection and license fees and other governmental and
quasi governmental charges and any penalties or interest for non payment thereof,
heretofore or hereafter imposed which may become a lien upon the Mortgaged Property.
"Improvements" has the meaning set forth in the Granting Clauses.
"Land" has the meaning set_ forth in the Granting Clauses.
"Lender" has the meaning set forth in the Recitals.
"Maximum Amount" has the meaning set forth in Section 2.01.
"Mortgage" has the meaning set forth in the Recitals.
"Mortgaged Property" has the meaning set forth in the Recitals.
4
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ARTICLE III
6
Representations, Warranties and Covenants of Mortgagor
SECTION 3.01. Payment of Secured Obligations. Mortgagor shall
punctually pay when due, and timely perform, the Secured Obligations, and will perform and
observe all of its obligations under the Loan Documents in accordance with the terms of the
Credit Agreement.
SECTION 3.02. Legal Status, Authority and Other Matters. (a) Legal
Status. Mortgagor represents and warrants that it is a limited liability company duly organized
and existing in good standing under the laws of Delaware and has the full power and authority to
own the Mortgaged Property and carry out its business in the state in which the Mortgaged
Property is located.
(b) No Actions Pending. There is no action, suit or proceeding, judicial,
administrative or otherwise, pending or, to the best of Mortgagor's knowledge, threatened or
contemplated against or affecting Mortgagor or the Mortgaged Property that would reasonably be
expected to have a Material Adverse Effect (as such term is defined in the Credit Agreement).
SECTION 3.03. Warranty of Title. Mortgagor warrants that it has good and
marketable title to the Mortgaged Property in each case free and clear of all liens, charges and
encumbrances of every kind and character, subject only to the encumbrances set forth on
Exhibit B hereto "Permitted Encumbrances has and will continue to have full power and
lawful authority to encumber and convey the Mortgaged Property as provided herein; this
Mortgage is and will continue to remain a valid and enforceable first mortgage lien on and
security interest in the Mortgaged Property, subject only to Permitted Encumbrances. Mortgagor
further covenants that it will preserve such title and will forever warrant and defend the title to
the Mortgaged Property unto Mortgagee against all lawful claims whatsoever and will forever
warrant and defend the validity, enforceability and priority of the lien of this Mortgage against
the claims of all persons and parties whomsoever.
SECTION 3.04. Operation and Maintenance. (a) Repair and Maintenance.
Mortgagor will operate and maintain the Premises as provided in Section 5.01(g) of the Credit
Agreement.
(b) Status of the Premises. The Premises is not located in an area identified
by the Secretary of Housing and Urban Development or a successor thereto as an area having
special flood hazards pursuant to the terms of the National Flood Insurance Act of 1968, or the
Flood Disaster Protection Act of 1973, as amended, or any successor law; or if the Premises is
located in such an area, Mortgagor will obtain and maintain insurance against damage or loss by
flood on such basis and in such amounts as shall be reasonably required by Mortgagee; (ii) the
Premises is served by all utilities required for the current use thereof; (iii) all streets necessary to
serve the Land, and the Improvements for the current use thereof have been completed and are
serviceable and have been dedicated or accepted by the appropriate governmental entities and
Mortgagor has access from public roads to the Land, and the Improvements; and (iv) the
NYDOCS03 /535540.5 6
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OS CS 30
risks as may be now or hereafter embraced by an "all- risk" form of insurance policy. The
amount of such insurance shall be not less than one hundred percent (100 of the full insurable
value of the Improvements excluding foundations footings, piers and similar Improvements
customarily excluded from such insurance policies, without reduction for depreciation. The
determination of the insurable value shall be adjusted annually to comply with the requirements
of the insurer issuing such coverage or, at Mortgagee's election, by reference to such indices,
appraisals or information as Mortgagee determines in its reasonable discretion in order to reflect
increased value due to inflation. Mortgagor shall also maintain insurance against loss or damage
to furniture, furnishings, fixtures, equipment and other items (whether personalty or fixtures)
included in the Mortgaged Property and owned by Mortgagor from time to time to the extent
applicable.
(ii) Commercial General Liability Insurance against claims for personal
injury, bodily injury, death and property damage occurring on, in or about the Premises in
amounts not less than $1,000,000 per occurrence and $2,000,000 in the aggregate plus umbrella
coverage in an amount not less than $50,000,000. Mortgagee hereby retains the right to
periodically review the amount of said liability insurance and to require an increase in the
amount of said liability insurance should Mortgagee deem an increase to be reasonably prudent
under then existing circumstances.
(iii) Boiler and machinery insurance (including explosion coverage), if steam
boilers or other pressure -fired vessels are in operation at the Premises. Minimum liability
coverage per accident must equal the greater of the replacement cost (insurable value) of the
Improvements housing such boiler or pressure -fired machinery or $5,000,000. If one or more
HVAC units are in operation at the Premises, "Systems Breakdowns" coverage shall be required,
as determined by Mortgagee. Minimum liability coverage per accident must equal the
replacement value of such unit(s).
(iv) If the Improvements or any part thereof is situated in an area designated by
the Federal Emergency Management Agency "FEMA as a special flood hazard area (Zone A
or Zone V), flood insurance in an amount equal to the lesser of: (a) the minimum amount
required, under the terms of coverage, to compensate for any damage or loss on a replacement
basis (or the unpaid balance of the Obligations if replacement cost coverage is not available for
the type of building insured), or (b) the maximum insurance available under the appropriate
National Flood Insurance Administration program. The deductible shall be $1,000,000 per
occurrence or a higher minimum amount as required by FEMA or other applicable law.
(v) During the period of any construction, renovation or alteration of the
existing Improvements which exceeds the lesser of 10% of the principal amount of the Note or
$2,000,000, at Mortgagee's request, a completed value, "Course of Construction" insurance
policy or endorsement to an existing policy in non reporting form, in an amount reasonably
approved by Mortgagee, may be required or equivalent coverage under other insurance policies.
During the period of any construction of any addition to the existing Improvements, a completed
value, "Course of Construction" insurance policy or endorsement to an existing policy in non
reporting form, in an amount reasonably approved by Mortgagee, shall be required.
NYDOCS03 /535540.5 8
6
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antum jjugS (D) too Bons Jo aznutajzoj ut ijnsaz astmzaglo upuz 4aitjm uosaad zagjo Cu u
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M.F _39r 9
OS ,85 3O t6E
"Demolition Cost" and Coverage C: "Increased Cost of Construction" coverages; (E) unless
otherwise specified above, shall have a maximum deductible of one million dollars ($1,000,000)
per occurrence, a general aggregate deductible of two million dollars ($2,000,000) and
earthquake coverage deductible of five percent (5 of the total insured value of the Premises;
(F) shall contain a replacement cost endorsement and either an agreed amount endorsement (to
avoid the operation of any co- insurance provisions) or a waiver of any co insurance provisions,
all subject to Mortgagee's approval; and (G) may be in the form of a blanket policy, provided
that Mortgagor hereby acknowledges and agrees that failure to pay any portion of the premium
therefor which is not allocable to the Mortgaged Property or any other action not relating to the
Mortgaged Property which would otherwise permit the issuer thereof to cancel the coverage
thereof, would require the Mortgaged Property to be insured by a separate, singleLproperty
policy and the blanket policy must properly identify and fully protect the Mortgaged Property as
if a separate policy were issued for 100% of insurable value at the time of loss and otherwise
meet all of Mortgagee's applicable insurance requirements set forth in this Section 3.05. The
delivery to Mortgagee of the certificates of insurance as provided above shall constitute an
assignment of all proceeds payable under such insurance policies relating to the Mortgaged
Property by Mortgagor to Mortgagee as further security for the Secured Obligations. In the event
of the foreclosure of this Mortgage, or other transfer of title to the Mortgaged Property in
extinguishment in whole or in part of the Secured Obligations, all right, title and interest of
Mortgagor in and to all proceeds payable under such policies then in force concerning the
Mortgaged Property shall thereupon vest in the purchaser at such foreclosure, or in Mortgagee or
other transferee in the event of such other transfer of title. Approval of any insurance by
Mortgagee shall not be a representation of the solvency of any insurer or the sufficiency of any
amount of insurance. In the event Mortgagor fails to provide, maintain or keep in force the
policies of insurance required by this Mortgage or evidence of their replacement or renewal as
required herein, Mortgagee may, upon at least ten (10) days' prior written notice to Mortgagor,
but shall not be obligated to, procure such insurance and Mortgagor shall pay all amounts
advanced by the Mortgagee therefor, together with interest thereon at the Default Rate from and
after the date advanced by Mortgagee until actually repaid by Mortgagor promptly upon demand
by Mortgagee. Mortgagee shall not be responsible for nor incur any liability for the failure of the
insurer to perform, even though Mortgagee has caused the insurance to be placed with the insurer
after failure of Mortgagor to furnish such insurance. Mortgagor shall not obtain insurance for the
Mortgaged Property in addition to that required by Mortgagee without the prior written consent
of Mortgagee, which consent will not be unreasonably withheld provided that (A) Mortgagee is a
named insured on such insurance, (B) Mortgagee receives complete copies of all policies
evidencing such insurance, and (C) such insurance complies with all of the applicable
requirements set forth herein.
(c) No Separate Insurance. Mortgagor shall not carry separate or additional
insurance concurrent in form or contributing, in the event of loss, with that required hereunder
unless endorsed in favor of Mortgagee as loss payee or additional insured, as applicable, and
otherwise reasonably acceptable to Mortgagee in all material respects.
(d) Transfer of Title. In the event of foreclosure of this Mortgage or other
transfer of title or assignment of the Premises in extinguishment, in whole or in part, of the
NYDOCS03 /535540.5
10
II
S'OPSSES /EOSDOOAN[
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ao iiat3unjon `poop 3sna3 `ogeSuouu `3sna3 jo poop Aut `joaaag3 Sutoujd amp siitp 0I utg3 ?M
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°;oajjo put OOaoj jjnj ut put OOUTd
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kern st amp. 01 amp uuoaj jjugs put `3oojja put OOaoj jjng ut put amid Jr! st s3uautnOOQ ueoq asp
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0868 130
5a
any such payment or reimbursement shall be unlawful or would constitute usury or render the
Secured Obligations wholly or partially usurious under applicable law, then Mortgagee may, at
its option, declare the Secured Obligations immediately due and payable or require Mortgagor to
pay or reimburse Mortgagee for payment of the lawful and non usurious portion thereof.
SECTION 3.08. Damage and Destruction. (a) Mortgagor's Obligations. In
the event of any damage to or loss or destruction of the Premises in an amount in excess of
$100,000, Mortgagor shall (i) promptly notify Mortgagee of such event, if such event would give
rise to a claim under the insurance policies required to be maintained by Mortgagor pursuant to
Section 3.05 (ii) take such steps as shall be necessary to preserve any undamaged portion of the
Premises and (iii) except as otherwise instructed by Mortgagee or as otherwise provided in
Subsection (d) below, regardless whether the insurance proceeds, if any, shall be sufficient for
the purpose or shall be otherwise applied by Mortgagee as provided herein, promptly commence
and diligently pursue to completion the restoration, replacement and rebuilding of the Premises
to the condition of the Premises affected thereby immediately prior to such damage, loss or
destruction.
(b) Mortgagee's Rights; Application of Proceeds. In the event that any portion
of the Premises is so damaged, destroyed or lost, and such damage, destruction or loss is covered,
in whole or in part, by insurance required by Section 3.05, then (i) Mortgagee may, but shall not
be obligated to, make proof of loss if not made promptly by Mortgagor and is hereby authorized
and empowered by Mortgagor to settle, adjust or compromise any claims for damage, destruction
or loss thereunder, (ii) each insurance company concerned is hereby authorized and directed to
make payment therefor directly to Mortgagee, and (iii) Mortgagee shall have the right to apply
the insurance proceeds, first, to reimburse Mortgagee and the holders of the Secured Obligations
for all costs and expenses, including adjustors' and attorneys' fees and disbursements, incurred in
connection with the collection of such proceeds, and, second, the remainder of such proceeds
shall be applied, at Mortgagee's option, in payment (without premium or penalty) of all or any
part of the Secured Obligations, in the order and manner determined by Mortgagee (provided that
to the extent that any portion of the Secured Obligations shall remain outstanding after such
application, such unpaid portion of the Secured Obligations shall continue in full force and effect
and Mortgagor shall not be excused from the payment thereof), or to the cure of any then current
default hereunder, or to the restoration, replacement or rebuilding, in whole or in part, of the
portion of the Premises so damaged, destroyed or lost, provided that any insurance proceeds held
by Mortgagee to be applied to the restoration, replacement or rebuilding of the Premises shall be
so held without payment or allowance of interest thereon and shall be paid out from time to time
upon compliance by Mortgagor with such provisions and requirements as may reasonably be
imposed by Mortgagee. In the event that Mortgagor shall have received or shall possess all or
any portion of the insurance proceeds, Mortgagor, upon demand from Mortgagee, shall pay to
Mortgagee an amount equal to the amount so received by Mortgagor, to be applied as Mortgagee
shall have the right pursuant to this subsection. Notwithstanding anything herein or at law or in
equity to the contrary, no insurance proceeds or payments in lieu thereof paid to Mortgagee shall
be deemed trust funds, and Mortgagee shall be entitled to dispose of such proceeds as provided
in this Section.
NYDOCS03 /535540.5
12
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defense of any such proceedings and (ii) shall not settle any such proceeding without
Mortgagee's consent not to be unreasonably withheld, conditioned or delayed.
(b) Mortgagee's Rights; Application of Awards. In the event that any portion
of the Premises is so taken or condemned, then (i) all governmental and other lawful authorities
concerned are hereby authorized and directed to make payment of all Awards therefor directly to
Mortgagee and (ii) Mortgagee shall have the right to apply such Awards, first, to reimburse
Mortgagee and the holders of the Secured Obligations for all costs and expenses, including
appraiser and attorneys' fees and disbursements, incurred in connection with the collection of
such Awards, and, second, the remainder of such Awards shall be applied, at Mortgagee's option,
in payment (without premium or penalty) of all or any part of the Secured Obligations, in the
order and manner determined by Mortgagee (provided that to the extent that any portion of the
Secured Obligations shall remain outstanding after such application, such unpaid portion of the
Secured Obligations shall continue in full force and effect and Mortgagor shall not be excused
from the payment thereof), or to the cure of any then current default hereunder, or to the
restoration, replacement or rebuilding, in whole or in part, of the portion of the Premises so taken
or condemned, provided that any Awards held by Mortgagee to be applied to the restoration,
replacement or rebuilding of the Premises shall be so held without payment or allowance of
interest thereon and shall be paid out from time to time upon compliance by Mortgagor with such
provisions and requirements as may reasonably be imposed by Mortgagee. In the event that
Mortgagor shall have received or shall possess all or any portion of such Awards, Mortgagor,
upon demand from Mortgagee, shall pay to Mortgagee an amount equal to the amount so
received by Mortgagor, to be applied as Mortgagee shall have the right pursuant to this
subsection. Notwithstanding anything herein or at law or in equity to the contrary, none of the
Awards paid to Mortgagee shall be deemed trust funds and Mortgagee shall be entitled to dispose
of the same as provided in this Section.
(c) Mortgagor's Rights if No Event of Default; Application of Proceeds.
Notwithstanding the foregoing, so long as no Event of Default shall have occurred and be
continuing, in the event of a condemnation of all or any portion of the Premises in connection
with which Awards shall have been paid, all such Awards received by the Mortgagee in
connection with any such condemnation will be released by the Mortgagee to the Mortgagor for
the restoration, replacement or rebuilding of the Premises, subject to such terms and conditions
with respect to the release thereof as the Mortgagee may reasonably require. Upon the
occurrence and during the continuance of any Event of Default or the actual or constructive total
loss (in excess of $5,000,000 per occurrence) of the Premises, all Awards in respect of the
Premises shall be paid to the Mortgagee and shall, in the Mortgagee's sole discretion, (i) be
released to the Mortgagor to be applied as set forth in the first sentence of this subsection (c) or
(ii) be held as additional Collateral (as defined in the Security Agreement) under the Security
Agreement or applied as specified in Section 3.09(b).
(d) Repair Uneconomic. Notwithstanding anything to the contrary in this
Section 3.09, where a substantial portion of the Premises is condemned or taken and Mortgagor
determines, consistent with a good faith business judgment, that (A) the portion of the Premises
subject to such condemnation or taking is no longer desirable for the operation of Mortgagor's
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NYDOCS03 /535540.5
16
SECTION 3.15. Compliance With Applicable Laws. The Premises and the
operation, use and occupancy thereof do not and will not violate in any material respect any
present or future federal, state, municipal or local laws, ordinances, rules, regulations,
requirements, judgments, decrees, determinations, awards or court orders, including all
environmental laws and zoning ordinances (collectively, "Applicable Laws as set forth in
Section 5.01(b) of the Credit Agreement.
SECTION 3.16. Further Assurances. Mortgagor shall:
(i) at Mortgagor's sole cost and expense and at the request of Mortgagee,
(A) promptly correct any defect or error which may be discovered in the contents of this
Mortgage or in its execution, acknowledgment or recordation and (B) promptly do, execute,
acknowledge and deliver any and all such further acts, deeds, conveyances, mortgages, deeds of
trust, trust deeds, assignments, estoppel certificates, financing statements and continuations
thereof, notices of assignment, transfers, certificates, assurances and other instruments that may
be necessary or desirable or that Mortgagee may reasonably request from time to time in order to
carry out more effectively the purposes of this Mortgage, to subject to the lien and security
interest hereby created any of Mortgagor's properties, rights or interests covered or now or
hereafter intended to be covered hereby, to perfect and maintain said lien and security interest,
and to better assure, convey, grant, assign, transfer and confirm unto Mortgagee the rights
granted or now or hereafter intended to be granted to Mortgagee hereunder or under any other
instrument executed in connection with this Mortgage or which Mortgagor may be or become
bound to convey, mortgage or assign to Mortgagee in order to carry out the intention or facilitate
the performance of the provisions of this Mortgage; and
(ii) at the request of Mortgagee, promptly record and re-record, file and refile
and register and re- register this Mortgage, any financing or continuation statements and every
other instrument in addition or supplemental to any thereof that shall be required by any present
or future law in order to perfect and maintain the validity, effectiveness and priority of this
Mortgage and the lien and security interest intended to be created hereby, or to subject
after acquired property of Mortgagor to such lien and security interest, in such manner and places
and within such times as may be necessary to accomplish such purposes and to preserve and
protect the rights and remedies of Mortgagee. Upon any failure by Mortgagor to do so after
request by Mortgagee, Mortgagee may make, execute, record, file, re- record or refile any and all
such mortgages, instruments, certificates and documents for and in the name of Mortgagor, and
Mortgagor hereby irrevocably appoints Mortgagee the agent and attorney -in -fact of Mortgagor to
do so, which appointment will terminate upon the satisfaction of record of this Mortgage.
Mortgagor will furnish to Mortgagee evidence satisfactory to Mortgagee of every such recording,
filing or registration. Mortgagee may, at Mortgagor's sole expense, file copies or reproductions
of this instrument as financing statements at any time and from time to time at Mortgagee's
option without further authorization from Mortgagor.
SECTION 3.17. Subordinate Leases. (a) Assignment. Mortgagor hereby
absolutely and presently bargains, sells, transfers, assigns and sets over to Mortgagee, as further
security for the payment of the Secured Obligations, all of its right, title and interest in and to the
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(c) Mortgagor will (i) perform or cause to be performed all the lessor's
obligations under any Subordinate Lease, (ii) enforce (including the termination and cancellation
of any Subordinate Lease, so long as the same is a bona fide enforcement of Mortgagor's right as
lessor under any such Subordinate Lease and such termination or cancellation, either by itself or
in the aggregate with other terminations and cancellations, will not diminish or impair the
security of this Mortgage) the performance by the lessee under its respective Subordinate Lease
of all of said lessee's obligations thereunder and (iii) give Mortgagee prompt notice and a copy
of any notice of default, Event of Default, termination or cancellation sent or received by
Mortgagor; but nothing contained herein shall preclude Mortgagor from modifying,
supplementing or amending any existing Subordinate Lease or, subject to subsection (d)(i)
hereof, preclude Mortgagor from entering into additional Subordinate Leases which may, from
time to time, be modified, supplemented, amended, terminated or canceled by Mortgagor subject
to the provisions of subsection (d) below.
(d) (i) Mortgagor will not, without Mortgagee's consent, (1) assign,
mortgage, pledge or otherwise transfer, dispose of or encumber, whether by operation of law or
otherwise, any Subordinate Lease or the Rents, (2) accept or permit the acceptance of a
prepayment of any amounts payable under such Subordinate Lease for more than one month in
advance of the due date therefor, (3) enter into, amend, modify, cancel, terminate or accept a
surrender of any Subordinate Lease or (4) enter into any Subordinate Lease (A) with Mortgagor
or any affiliate of Mortgagor or its constituent partners or (B) which would be a "disqualified
lease as defined in Section 168(h)(1)(B)(ii) of the Internal Revenue Code of 1986, as
amended.
(ii) Supplementing the provisions of paragraph (i) of this subsection (d), if the
lessee under any Subordinate Lease (or any receiver, trustee, custodian or other party who
succeeds to the rights of any lessee) rejects or disaffirms such Subordinate Lease pursuant to any
Bankruptcy Law, Mortgagor hereby assigns to Mortgagee the proceeds of any claims (including
the right to retain or apply any security deposits) that Mortgagor may have against the lessee (or
receiver, trustee, custodian or other party who succeeds to the rights of any lessee) and any
guarantor of any of the Subordinate Leases, under any one or more of the Subordinate Leases or
any guaranty thereof based upon (1) any breach by such lessee of the terms and provisions of the
applicable Subordinate Lease (including any claim that Mortgagor may have by reason of a
termination, rejection or disaffirmance of such Subordinate Lease pursuant to any Bankruptcy
Law), and (2) the use and occupancy of the premises demised thereby, whether or not pursuant to
the applicable Subordinate Lease (including any claim for use and occupancy arising under any
Bankruptcy Law). Mortgagor, promptly upon obtaining knowledge of any such breach or use by
any such lessee, will notify Mortgagee of any such breach or use.
(iii) Unless there is an Event of Default continuing after notice, Mortgagor will
proceed in Mortgagor's and Mortgagee's behalf in which event Mortgagee may participate in any
such proceedings, and Mortgagor from time to time will deliver to Mortgagee all instruments
requested by Mortgagee or as may be required to permit such participation. Mortgagor shall, at
its expense, diligently prosecute any such proceedings, shall deliver to Mortgagee copies of all
papers served in connection therewith and shall consult and cooperate with Mortgagee, its
NYDOCS03 /535540.5
18
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luautaoaoJua JO OSIOJOxa oul (it) `zapunazati z0201aoyAI iiq lingJau Jo luang zo linnjap ,iuu (t) tlltm
uotioauuoo ut paunout (sluautaszngsip pun saaj ,siiauzollg ajgguosuaz Sutpniout) sasuadxa .10 slsoo
iIg pug Aug jo luauand aril zoj suotlaTTgO pamoas aril jo aapioti Xuu JO aaalaoJA asznquttaz
`purtuap uo `zo /Cud !pm z00 allow •sasuadxg z01.po •ZO•t7 NOI.LOIS
lunouuV tunuttxuyAI
all ugtll azout log Jo luglxa gill of `papuaum Xq zaljnazaq iiuuu until jo Xuu sg `a2221zow
still JO XlugaunO Xzuipisgns aril luatuaaav lipazj aril jo lno 0utstzu zo 41!m paloauuoo `astmzatllo
JO luautluoo `ganinj `loaztput `loazip zatllat[M `ssaupalgaput iuuoiltppu TTu pun ssaupalgaput
lipazo 2utnionaa alp jo saougnpu aznlnj He osp lnq `ssaupalgaput ltpazo Outnionaz lions
3o saauunpu iutltut Apo log saznoas aalzow gm' °mozaogaa pug /igdaz `mozaoq Xgut zamoIog
tioitlm of luunsznd luatuaaay Itpat Oral zapun ssaupalgaput ltpazo 0utnionaz palnitlsuoo
aq !pm tgotrimdo uotizod g `suotlaiigO pamoas IIg saznoas aalaoys siq (q)
sumlatiqo pamoas zatilzni ou angtl Tigris =BalzoJ, pug patuzojzad pug pied `pagstlus
XITn3 aq !lugs suotln$tig0 pamoas agljo TTu !pun aiquoonazzt aq !Tugs Isamu! ug 41!m paidnoo
2utaq luauulutoddn stta jo jjuriaq uo pug aumu aril ut suotstnozd pmsazojt aql Xq
palgiduzaluoo aouguuojzad aril loan° pug swam/cud all alum of lain- ut- Xauzollu TnJmul pug anal
sit aaalzoj, slutoddn 4aza4 aoSaIzoJA •a2alzoj, still Xq pamoas aq Tugs pug luaruaa1SV
Itpa1D Otll ut paptnozd su pug Null lingjaQ aril Ig ISaIOlut zgaq !Tugs`suopaligo pamoas
ail Jo laud aq Hugs (lou JO aapunazaq pagtutuaput zatllarim pug p uotldo JO paztnbaz zatilatlm) mg!
aiquotiddu zapun zo zapunazaq =Si iioj, Aq pannout sasuadxa JO paouunpu sums .10410 Hu pug
`suotlog JO smug/Tv dons 41!m uotloauuoo ut 000alaow pazznout sasuad ire pug paounnpu
sums iiv •0201041 loadsaz ultra ITIWJOU Jo luang Aug zo zaalaoyAI lingJap dons pat o
aim! of pauuaap aq Hulls aouutuzojzad JO aouunpg dons •suotlog paztnbaz Tie .10 ,Tun tuzojiad
of zo Sutmo slunotuu jo lzgd ,Cue 10 iig aouunpg of 100 allow 01 aotlou lnotiltm I40tz aril ang4
Hulls a =Sn lloj, uatll `zapunazaq suotlaggo sit jo Aug ut linujap Tigris zoSalzoyAI1t `ingl saa1Ou
zaalzoyAI (g) •sluatuaszngstu pug saouunpy IguotltppV 10 17 NOI.L31S
uotlou dons Jo aougzatlpnj
ut paztnbaz sluauunoop jig pug Aug alnoaxa !mils pug uotlou lions ut aaalzow tiltm aluzad000
O saaz2g z0201aow pug z0201aow aoj luau Su aumu S ut [O aumu maalzoyAI
ui `zapunazatll zossai pa-mu 041 Ozam 2! 3t Sg aolugzua JO aassai lions isutag paaoozd
02 242!.1 aios aql ang4 Iig4S aaalzoyq '001101.1.101p 2utnutlu0o l[ngjaQ Jo luting ut? St again
JI •luasuoo s Inotlltm zaalzoyAI apuuu aq Tigris Sutpaaoozd lions Iiue jo mammas
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61
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S'OVSS£S /£OSOOQAN
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SECTION 4.03. Interest After Default. If any payment due hereunder or
under the other Loan Documents is not paid in full when due, whether by acceleration or
otherwise, then the same shall bear interest hereunder at the Default Rate, and such interest shall
be added to and become a part of the Secured Obligations and shall be secured hereby.
SECTION 4.04. Indemnity. Mortgagor agrees to indemnify and hold
harmless Mortgagee, the holders of the Secured Obligations and their respective officers,
directors, employees, agents and shareholders (the "indemnified parties from and against any
and all losses, damages, claims, costs and expenses (including reasonable attorneys' fees and
disbursements) which may be imposed on, incurred by or asserted against any of the indemnified
parties in connection with any transaction in any way connected with the Mortgaged Property or
the Credit Agreement, except to the extent any such loss, damage, claim, cost or expense is the
result of the willful misconduct or gross negligence of the indemnified party. Any amount
payable under this Section shall be deemed a demand obligation, shall be added to and become a
part of the Secured Obligations, shall bear interest at the default rate as provided in the Credit
Agreement, and shall be secured by this Mortgage.
NYDOCS03 /535540.5
ARTICLE V
Sale or Transfer of the Premises
SECTION 5.01. Continuous Ownership. Mortgagor acknowledges that the
continuous ownership of the Mortgaged Property by Mortgagor, except as otherwise expressly
permitted in Section 5.02(b) of the Credit Agreement, is of a material nature to the transaction
hereinabove described and Mortgagee's agreement to create the Secured Obligations. Without
Mortgagee's prior written consent, Mortgagor will not, whether voluntarily or involuntarily
(other than as result of transfer described in Section 3.09 herein), (a) sell, grant, convey, assign or
otherwise transfer, by operation of law or otherwise, (b) permit to be the subject of any
transaction described in clause (a) above, (c) enter into an agreement for any transaction
described in clause (a) above, or (d) grant an option which or take any action which pursuant to
the terms of any agreement to which Mortgagor is a party may result in any transaction described
in clause (a) above of, the Mortgaged Property, or any legal, beneficial or equitable interest
therein (the foregoing, collectively or severally, "Transfer other than any specific Transfers
expressly permitted. by Section 5.02(b) of the Credit Agreement. The provisions of this Section
shall apply to each and every such Transfer of all or any portion of the Mortgaged Property or
any legal or equitable interest therein, regardless whether or not Mortgagee has consented to, or
waived by its action or inaction is rights hereunder with respect to any previous Transfer of all or
any portion of the Mortgaged Property or any legal or equitable interest therein.
ARTICLE VI
Defaults and Remedies
SECTION 6.01. Events of Default. The occurrence of an "Event of Default"
under the Credit Agreement shall be an Event of Default hereunder and upon acceleration of the
20
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jo put Xlzadozd Wallow ag13o uoissassod zapuauns of soaz& zoaalzow put `,fizadozd
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ioj `aslnn.Iaglo z0 mown!' `0uip0a0ozd JO Sutp0000zd u ainiilsut (e)
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`pusulap `00ilou wpm pug 'Aiwa 1no "i11m z0 1.11!M `sAauzO lg JO s111ag s11 'Coq JO niisuoszad
uotlou Irons o3rel `mei aigeoiidde ,iq pa111uuad imam all 01 pug sivautnoo j usoJ za410 0111 zapun
z0 zapuna10Ir 1! 01 am saipautaz JO s1141,iue 01 uoilippg ui ',cum ooat2 zow `1inejou 3o
sluang WOW JO MO Niue jo aouazzn000 all uodn •satpatuaN •Z0 NOI.LJHS
zo2u2por o1 aopou za4iznJ lnogltm aiqu,ied pug onp autooaq
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NYDOCS03 /535540.5
plans and specifications as Mortgagee deems appropriate; (ii) making, canceling,
enforcing or modifying leases; (iii) obtaining and evicting tenants; (iv) fixing or
modifying rents; (v) conducting the business of Mortgagor in its own name or in the
name of Mortgagor; (vi) using any and all of Mortgagor's properties and facilities relating
to the Premises; (vii) dealing with Mortgagor's creditors, debtors, tenants, lessees, agents,
employees and other Persons (as defined in the Credit Agreement) having any
relationship whatsoever with Mortgagor, and (viii) altering or amending any contracts
between them, in any manner Mortgagee may determine); and upon each such entry and
from time to time thereafter may, at the expense of Mortgagor and the Mortgaged
Property, without interference by Mortgagor and as Mortgagee may deem advisable,
(i) insure or reinsure the Premises, (ii) make all necessary or proper repairs, renewals,
replacements, alterations, additions, betterments and improvements thereto and thereon
and (iii) in every such case in connection with the foregoing have the right to exercise all
rights and powers of Mortgagor with respect to the Mortgaged Property, either in
Mortgagor's name or otherwise; or
(f) with or without the entrance upon the Premises, collect, receive, sue for
and recover in its own name all Rents and cash collateral derived from the Mortgaged
Property, and after deducting therefrom all costs, expenses and liabilities of every
character incurred by Mortgagee in collecting the same and in using, operating,
managing, preserving and controlling the Mortgaged Property, and otherwise in
exercising Mortgagee's rights under subsection (e) of this Section, including all amounts
necessary to pay Impositions, insurance premiums and other charges in connection with
the Premises, as well as compensation for the services of Mortgagee and their respective
attorneys, agents and employees, to apply the remainder as provided in Section 6.05; or
(g) release any portion of the Mortgaged Property for such consideration as
Mortgagee may require without, as to the remainder of the Mortgaged Property, in any
way impairing or affecting the lien or priority of this Mortgage, or improving the position
of any subordinate lienholder with respect thereto, except to the extent that the Secured
Obligations shall have been reduced by the actual monetary consideration, if any,
received by Mortgagee for such release and applied to the Secured Obligations, and may
accept by assignment, pledge or otherwise any other property in place thereof as
Mortgagee may require without being accountable for so doing to any other lienholder; or
(h) take all actions permitted under the Uniform Commercial Code in effect in
the jurisdiction in which the Mortgaged Property is located; or
(i) take any other action, or pursue any other right or remedy, as Mortgagee
may have under applicable law, and Mortgagor does hereby grant the same to Mortgagee.
In the event that Mortgagee shall exercise any of the rights or remedies set forth in
subsections (e) and (f) of this Section, Mortgagee shall not be deemed to have entefed upon or
taken possession of the Mortgaged Property except upon the exercise of its option to do so,
evidenced by its demand and overt act for such purpose, nor shall it be deemed a beneficiary or
22
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(g) Upon any such sale or sales, Mortgagee may bid for and acquire the
Mortgaged Property and, in lieu of paying cash therefor, may make settlement for the
purchase price by crediting against the Secured Obligations the amount of the bid made
therefor, after deducting therefrom the expenses of the sale, the cost of any enforcement
proceeding thereunder, and any other sums which Mortgagee is authorized to deduct under
the terms hereof, to the extent necessary to satisfy such bid.
(h) In the event that Mortgagor, or any person claiming by, through or under
Mortgagor, shall transfer or refuse or fail to surrender possession of the Mortgaged
Property after any sale thereof, then Mortgagor, or such person, shall be deemed a tenant
at sufferance of the purchaser at such sale, subject to eviction by means of forcible entry
and unlawful detainer proceedings, or subject to any other right or remedy available
hereunder or under applicable law.
NYDOCS03 /535540.5
(d) Any and all statements of fact or other recitals made in any of the
instruments referred to in subsection (c) of this Section given by Mortgagee as to
nonpayment of the Secured Obligations, or as to the occurrence of any Event of Default,
or as to Mortgagee having declared all or any of the Secured Obligations to be due and
payable, or as to the request to sell, or as to notice of time, place and terms of sale and of
the property or rights to be sold having been duly given, or as to any other act or thing
having been duly done by Mortgagor or Mortgagee shall be taken as conclusive and
binding against all persons as to evidence of the truth of the facts so stated and recited.
Mortgagee may appoint or delegate any one or more persons as agent to perform any act
or acts necessary or incident to any sale so held, including the posting of notices and the
conduct of sale.
(e) The receipt of Mortgagee for the purchase money paid at any such sale, or
the receipt of any other person authorized to receive the same, shall be sufficient
discharge therefor to any purchaser of any property or rights sold as aforesaid, and no
such purchaser, or its representatives, grantees or assigns, after paying such purchase
price and receiving such receipt, shall be bound to see to the application of such purchase
price or any part thereof upon or for any trust or purpose of this Mortgage or, in any
manner whatsoever, be answerable for any loss, misapplication or nonapplication of any
such purchase money, or part thereof, or be bound to inquire as to the authorization,
necessity, expediency or regularity of any such sale.
(f) Any such sale or sales shall operate to divest all of the estate, right, title,
interest, claim and demand whatsoever, whether at law or in equity, of Mortgagor in and
to the properties and rights so sold, and shall be a perpetual bar both at law and in equity
against Mortgagor and any and all persons claiming or who may claim the same, or any
part thereof or any interest therein, by, through or under Mortgagor to the fullest extent
permitted by applicable law.
24
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5 82
Fifth: To the payment of any withholding tax requirements of the Foreign
Investment in Real Property Tax Act of 1980, as amended.
Sixth: To the payment of the surplus, if any, to whomsoever may be lawfully
entitled to receive the same.
SECTION 6.06. Additional Provisions as to Remedies. (a) No delay or
omission by Mortgagee to exercise any right or remedy hereunder upon any default or Event of
Default shall impair such exercise, or be construed to be a waiver of any such default or Event of
Default.
(b) The failure, refusal or waiver (by consent, waiver or otherwise) of
Mortgagee to assert any right or remedy hereunder upon any default or Event of Default or other
occurrence shall not be construed as waiving such right or remedy upon any other or subsequent
default or Event of Default or other occurrence.
(c) Mortgagee shall have no obligation to pursue any rights or remedies it
may have under any other agreement prior to pursuing its rights or remedies hereunder or under
the other Loan Documents.
(d) Acceptance of any payment after the occurrence of any default or Event of
Default shall not be deemed a waiver or a cure of such default or Event of Default, and
acceptance of any payment less than any amount then due shall be deemed an acceptance on
account only.
(e) In the event that Mortgagee shall have proceeded to enforce any right or
remedy hereunder by foreclosure, sale, entry or otherwise, and such proceeding shall be
discontinued, abandoned or determined adversely for any reason, then Mortgagor and Mortgagee
shall be restored to their former positions and rights hereunder with respect to the Mortgaged
Property, subject to the lien hereof.
(f) Each right of Mortgagee provided for in this Mortgage shall be cumulative
and shall be in addition to every other right provided for in this Mortgage or now or hereafter
existing at law or in equity, by statute or otherwise, and the exercise by Mortgagee of anyone or
more of such rights'shall not preclude the simultaneous or later exercise by Mortgagee of any
other such right.
SECTION 6.07. Waiver of Rights and Defenses. To the full extent
Mortgagor may lawfully do so, Mortgagor agrees with Mortgagee as follows:
(a) Mortgagor will not, at any time, insist on, plead, claim or take the benefit
or advantage of any statute or rule of law now or hereafter in force providing for any
appraisement, valuation, stay, extension, moratorium, redemption or reinstatement, or of
any statute of limitations, and Mortgagor, for itself and its heirs, devisees, representatives,
successors and assigns, and for any and all Persons ever claiming an interest in the
Mortgaged Property (other than Mortgagee), hereby, to the extent permitted by applicable
NYDOCS03 /535540.5
26
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NYDOCS03 /535540.5
584
of the Loan Documents (including a modification of any interest rate), and in any
such event Mortgagor shall continue to be obligated to pay the Secured
Obligations at the time and in the manner provided in the Loan Documents, as so
renewed, extended or modified, unless expressly released and discharged by
Mortgagee.
(e) Regardless of consideration, and without the necessity for any notice to or
consent by the holder of any subordinate lien, encumbrance, right, title or interest in or to
the Property, Mortgagee may release any Person at any time liable for the payment of the
Secured Obligations or any portion thereof or any part of the security held for the Secured
Obligations and may extend the time of payment or otherwise modify the terms of the
Loan Documents, including a modification of the interest rates payable on the principal
balance of the Notes without in any manner impairing or affecting this Mortgage or the
lien thereof or the priority of this Mortgage, as so extended and modified, as security for
the Secured Obligations over any such subordinate lien, encumbrance, right, title or
interest. Mortgagee may resort for the payment of the Secured Obligations to any other
security held by Mortgagee in such order and manner as Mortgagee, in its discretion, may
elect. Mortgagee may take or cause to be taken action to recover the Secured
Obligations, or any portion thereof, or to enforce any provision of the Loan Documents
without prejudice to the right of Mortgagee thereafter to foreclose or cause to be
foreclosed this Mortgage. Mortgagee shall not be limited exclusively to the rights and
remedies herein stated but shall be entitled to every additional right and remedy now or
hereafter afforded by law or equity. The rights of Mortgagee under this Mortgage shall
be separate, distinct and cumulative and none shall be given effect to the exclusion of the
others. No act of Mortgagee shall be construed as an election to proceed under any one
provision herein to the exclusion of any other provision.
(f) Mortgagor hereby waives any defense to the recovery by Mortgagee
hereunder against Mortgagor or the Mortgaged Property of any deficiency after a
nonjudicial sale. Without limiting the foregoing, Mortgagor waives any defense arising
out of any such nonjudicial sale even though such sale operates to impair or extinguish
any right of reimbursement or subrogation or any other right or remedy of Mortgagor
against Borrower or any subsidiary of Borrower or against any collateral security.
ARTICLE VII
Release of Lien
SECTION 7.01. Release-of Lien. If all of the Secured Obligations shall be
fully satisfied, paid and performed, then and in that event only all rights and obligations
hereunder shall terminate. In such event Mortgagee shall, at the request of Mortgagor, deliver to
Mortgagor, in recordable form, all such documents as shall be necessary to release the
Mortgaged Property from the liens, security interests, conveyances and assignments created or
evidenced hereby. In addition, to the extent transferees are permitted under the Credit
28
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09 30
the application of the doctrine of merger and, in such event, Mortgagee shall continue to have
and enjoy all of the rights and privileges of Mortgagee hereunder as to each separate estate.
SECTION 8.06. Applicable Law. This Mortgage shall be governed by, and
construed in accordance with, the internal law of the State in which the Mortgaged Property is
located without regard to principles of conflicts of laws, except that the internal laws of the State
of New York (without regard to principles of conflicts of laws) shall govern (i) those terms and
conditions contained in the Credit Agreement which are incorporated by reference herein and
(ii) the resolution of issues arising under the Credit Agreement to the extent that such resolution
is necessary to the interpretation of this Mortgage.
SECTION 8.07. Sole Discretion of Mortgagee. (a) Whenever Mortgagee's
judgment, consent or approval is required hereunder for any matter, or either shall have an option
or election hereunder, such judgment, the decision whether or not to consent to or approve the
same or the exercise of such option or election shall be in the sole discretion of Mortgagee.
(b) Notwithstanding anything contained herein to the contrary, in the event
that Mortgagee fails or refuses to grant consent or approval when required hereunder for any
matter, the parties agree that the remedy of specific performance shall be the sole remedy of
Mortgagor with respect to such actions and Mortgagor hereby waives all claims for damages
with respect thereto.
SECTION 8.08. Provisions as to Covenants and Agreements. All of
Mortgagor's covenants and agreements hereunder shall run with the land and time is of the
essence with respect thereto.
SECTION 8.09. Matters to be in Writing. This Mortgage cannot be altered,
amended, modified, terminated, waived, released or discharged except in a writing signed by the
party against whom enforcement is sought.
SECTION 8.10. Submission to Jurisdiction. Without limiting the right of
Mortgagee to bring any action or proceeding against the undersigned or its property arising out
of or relating to the Secured Obligations (an "Action in the courts of other jurisdictions,
Mortgagor hereby irrevocably submits to the jurisdiction of the state court or Federal court in
each jurisdiction in which the Mortgaged Property is located, and Mortgagor hereby irrevocably
agrees that any Action may be heard and determined in such state or federal court. Mortgagor
hereby irrevocably waives, to the fullest extent that it may effectively do so, the defense of an
inconvenient forum to the maintenance of any Action in the jurisdiction. Mortgagor hereby
irrevocably agrees that the summons and complaint or any other process in any Action in any
jurisdiction may be served by mailing to any of the addresses set forth herein or by hand delivery
to a person of suitable age and discretion at any such address. Such service will be complete on
the date such process is so mailed or delivered.
SECTION 8.11. Construction of Provisions. The following rules of
construction shall be applicable for all purposes of this Mortgage and all documents or
instruments supplemental hereto, unless the context otherwise requires:
NYDOCS03 /535540.5
30
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SECTION 8.13. Counterparts. This Mortgage may be executed in
counterparts, each of which shall be deemed to be an original, but all of which shall constitute
one and the same agreement.
SECTION 8.14. Agency. Mortgagee may deal with the Mortgaged Property
and may issue any release to be given hereunder pursuant to Section 7.01 or grant any consent or
approval or take any other action required or permitted hereunder, without reference to or the
approval of the holders of the Secured Obligations and any third party (including any title
insurance company issuing a title insurance policy, or a commitment to issue a title insurance
policy, in connection with the Mortgaged Property) may conclusively rely on the due authority of
Mortgagee to do any or all of the foregoing.
SECTION 8.15. The Security Agreement and other Loan Documents. In the
event that a valid and enforceable security interest has been created in any of the Mortgaged
Property under the terms of the Security Agreement (as defined in the Credit Agreement) and the
terms of the Security Agreement are inconsistent with the terms of this Mortgage, then with
respect to such Mortgaged Property, the terms of the Security Agreement shall be controlling in
the case of Equipment and proceeds of insurance policies and the terms of this Mortgage shall be
controlling in all other cases. With respect to any other Loan Document, in the event of a
conflict between the provisions hereof and the provisions of such other Loan Document as they
relate to the Mortgaged Property, the provisions of this Mortgage shall control.
SECTION 8.16. No Merger. The assignments by Mortgagor in favor of
Mortgagee herein contained and the obligations of Mortgagor hereunder to (i) maintain the
insurance required to be maintained by Mortgagor hereunder and to pay all premiums in respect
thereof, (ii) to pay all Impositions, (iii) reimburse Mortgagee for all sums expended by
Mortgagee pursuant to this Mortgage to protect the lien of this Mortgage and to prevent waste to
the Mortgaged Property and (iv) to pay interest at the Default Rate on the aforementioned sums
from the date due until paid in full shall not be merged into any judgment of foreclosure and
shall survive any such judgment.
SECTION 8.17. WAIVER OF JURY TRIAL. MORTGAGOR AND
MORTGAGEE DO EACH HEREBY KNOWINGLY, VOLUNTARILY,
UNCONDITIONALLY, IRREVOCABLY AND INTENTIONALLY FOREVER WAIVE THE
RIGHT TO A TRIAL BY JURY IN EVERY JURISDICTION IN ANY ACTION,
PROCEEDING OR COUNTERCLAIM BROUGHT BY MORTGAGOR OR MORTGAGEE
AGAINST THE OTHER OR THEIR RESPECTIVE SUCCESSOR OR ASSIGNS IN
RESPECT OF ANY MATTER ARISING OUT OF, UNDER OR CONNECTED WITH
(INCLUDING, WITHOUT LIMITATION, ANY ACTION TO RESCIND OR CANCEL THIS
MORTGAGE OR THE OBLIGATIONS SECURED HEREBY, AND ANY CLAIMS
ASSERTING THAT THE NOTE OR THE LOAN SECURED HEREBY WAS
FRAUDULENTLY INDUCED OR OTHERWISE VOID OR VOIDABLE) IN ANY MANNER
WHATSOEVER THIS MORTGAGE, THE MORTGAGED PROPERTY, OR ANY OF THE
OTHER LOAN DOCUMENTS, OR ANY COURSE OF CONDUCT, COURSE OF DEALING,
STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTIONS OF ANY PERSON OR
NYDOCS03 /535540.5
32
588
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68
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os68530 590
Mortgagor acknowledges and agrees that the Mortgaged Property and the Additional Properties
are located in one or more States and counties, and therefore Mortgagee shall be permitted, to
enforce payment of the Secured Obligations and the performance of any term, covenant or
condition of the Subsidiary Guaranty, this Mortgage or the Additional Mortgages and exercise
any and all rights and remedies under the Security Agreements (as defined in the Credit
Agreement) this Mortgage or the Additional Mortgages, or as provided by law or at equity, by
one or more proceedings, whether contemporaneous, consecutive or both, to be determined by
Mortgagee, in its sole discretion, in any one or more of the States or counties in which the
Mortgaged Property or any of the Additional Properties is located. Neither the acceptance of this
Mortgage, the Loan Documents or the Additional Mortgages nor the enforcement thereof in any
one State or county, whether by court action, foreclosure, power of sale or otherwise, shall
prejudice or in any way limit or preclude enforcement by court action, foreclosure, power of sale
or otherwise, of this Mortgage, the Loan Documents or any Additional Mortgages through one or
more additional proceedings in that State or county or in any other State or county.
NYDOCS03 /535540.5
Astaris Production LLC
c/o Astaris L.L.C.
622 Emerson Road
St. Louis, Missouri 63141
ARTICLE IX
Fixture Filing
SECTION 9.01. Fixture Filing. A portion of the Mortgaged Property is or is
to become fixtures upon the Premises. To the extent permitted by applicable law, Mortgagor
covenants and agrees that the filing of this Mortgage in the real estate records of the county in
which the Mortgaged Property is located shall also operate from the time of filing as a fixture
filing with respect to all goods constituting part of the Mortgaged Property which are or are to
become fixtures related to the real estate described herein. For such purpose, the following
information is set forth:
(a) Name, Address and Federal Employer Identification Number of Debtor:
Employer ID No.: 43- 1880838
(b) Name and Address of Secured Party:
Bank of America N.A.,
as Administrative Agent,
101 North Tryon Street
Charlotte, North Carolina 28255
(c) This document covers goods which are or are to become fixtures.
34
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IN WITNESS WHEREOF, the undersigned has executed this Mortgage the day first set
forth above.
STATE OF MISSOURI
SS.
COUNTY OF ST. LOUIS
.My Commission Expires:
gg MIIISCSTAM IliaMOMI
CHI99 3553387 1.057389.0011
ASTARIS PRODUCTION LLC,
a Delaware limited liability company
Bv:
592
M.4 gare c arvill, its Vice President
and Chief Financial Officer
I, the undersigned, a Notary Public in and for said County, in the State aforesaid, DO
HEREBY CERTIFY that MARGARET McCARVILL, personally known to me to be the Vice
President and Chief Financial Officer of ASTARIS PRODUCTION LLC, a Delaware limited
liability company, and personally known to me to be the same person whose name is subscribed
to the foregoing instrument, appeared before me this day in person and acknowledged that as
such Vice President and Chief Financial Officer, she signed, sealed and delivered said instrument
as Vice President and Chief Financial Officer of said company, pursuant to authority given to her
by the company as her free and voluntary act, and as the free and voluntary act and deed of said
company, for the uses and purposes therein set forth.
Given under my hand and official seal, this day of September, 2000.
it r rG. l y
Print N.
Notary Public
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PARCEL 1: All of Section 12, T20N, R117W, 6th P.M., Lincoln
County, Wyoming.
The land is situated in the
County of LINCOLN, State of Wyoming, and described
as follows:
5
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thence NO a dzstartce of 991.81 fat (NO •08'36" E, 991.54 f+ record) to the
NW 1/16 corner of said Section 13;
rheice S89 a distance of330.47 feet (S89'DT16"W, 330,41 fees record) to the
C- E -W-NW 1f256 corner of said Saxton 13;
the ace NO•09'26"l:, a &stance of 1192.50 feet (N0'09'10"E, 1192.68 fry record) to a
point on the boundary line of the FMC parcel as described in Book 165 P2., on Pane 333,
Exhibit "A" ou file with County Clerk of Lincoln County, Wyoming in Kemmerer,
Wyoazing,
theme S59'55'43" E along the boundary line of said FMC parcel, a distance of 2,551.93
feet (S59'55'55"E, 2551.97 feet record) to the southwest come of said FMC parcel;
thence N89'04'25"E, a distance of 249.92 feet (N8704'11"E, 249.92 feet record) to the
southeast corner of said FMC parcel;
thence NO'54 34"W a distance of 1443.67 feet (NO'S5'I9"W,1443.50 feet record) to the
northeast carne of said FMC parcel, said comer also being a point on the north boundary
line of said Section 13;
thence ■89'04'04"E along the north boundary line of said Session 13, a distance of
240.33 feet (N89°03'49"E, 240.46 flies record) m the Paint of Beginning.
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EXHIBIT B
Permitted Encumbrances
1. The lien of this Mortgage.
2. The leasehold interest of the tenants under the leases described on
Exhibit B -1 attached hereto and made a part hereof.
3. The permitted encumbrances listed on Schedule B -2 of that certain title
insurance policy relating to this mortgage issued by Commonwealth Land Title Insurance
Company, a form of which is attached hereto.
NYDOCS03 /535540.5
593
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SEP- 12- 2000
rra 12 32
Commonwealth
CoM oNweAMna IA. t Trtis INSURANcE CoHPwr
SCHEDULE B /Section 2
Commitment No.: 817- 326861
File No.: 03013741
GOO
9. Taxes for the year 2000 and subsequent years, not yet due and
payable. Taxes for the year 1999 were in the amount of
$92,207.71, Tax No. 20171240000100, $1,082.42, Tax No.
20171210000100, and $246.14, Tax No. 20171310000100. This is
for informational purposes only and the Company assumes no
liability for the amounts quoted.
10- Restrictions and resevations contained in the United,fitates
Patent to said land eta .3 "Deeds, PAw� 33� 1 4- gxf 43 Y. K. f Q X32.
nab.
12. Easement to Lincoln Service Corporation, recorded April 12,
1960, Book 43 P.R., Page 544, records of Lincoln County,
Wyoming.
13. Easement to Mountain State Telephone and Telegraph Company,
recorded December 9, 1974, Book 116 P.R., Page 202, records of
Lincoln County, Wyoming.
P.09/17
e wee
cad company, and FMC Co
Decemb
truotion of Res
in favor of FMC corporat
137 P.R., Pa •e
Form41 p
Pacific
Corporation, re
15. Certificate
of Co
a Delaware
975, Book 122 P.R, Page 424.
executed by State Board
toil, re June 28, 1977,
16. Easement to County of Lincoln, State of Wyoming, recorded
November 8, 1979, Book 161 P.R., Page 342, records of Lincoln
County, Wyoming.
17. Notice on Deed, executed by FMC Corporation,
1, 1989, Book 281 P.R., Page 14.
18. Notice on Dead, executed by FMC Corporation,
1, 1989, Book 281 P.R., Page 15.
-2-
recorded December
recorded December
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NYDOCS03 /535540.5
Name
EXHIBIT C
List of Banks As of the Date of this Mortgage
Address
Bank of America, N.A. 101 North Tryon Street
Charlotte, North Carolina 28255
The Chase Manhattan Bank 1 Chase Manhattan Plaza
New York, New York 10081
Citicorp USA, Inc. 2 Penn's Way
New Castle, Delaware 19720
ABN AMR() Bank N.V. 208 South LaSalle
Chicago, Illinois 60604
HSBC Bank USA 1 HSBC Center
Buffalo, New York 14203
Bank One, NA 1 Bank One Plaza
Chicago, Illinois 60670
The Industrial Bank of Japan, Limited 227 West Monroe Street
Chicago, Illinois 60606
National Westminster Bank plc 65 East 55th Street
New York, New York 10022
The Bank of Nova Scotia 600 Peachtree Street, N.E.
Atlanta, Georgia 30308
The Fuji Bank, Limited 2 World Trade Center
New York, New York 10008
The Northern Trust Company 50 South LaSalle Street
Chicago, Illinois 60675
60