Austria - Second Industrial Credit Project : Loan 0237 - Loan Agreement - Conformed

LOAN NUMBER 237 AUA Loan Agreement (Second Industrial Credit Project) BETWEEN INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT AND OESTERREICHISCHE INVESTITIONSKREDIT AKTIENGESELLSCHAFT DATED SEPTEMBER 25, 1959 LOAN NUMBER 237 AUA Loan Agreement (Second Industrial Credit Project) BETWEEN INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT AND OESTERREICHISCHE INVESTITIONSKREDIT AKTIENGESELLSCHAFT DATED SEPTEMBER 25, 1959 Toan Agremrut AGREEMENT, dated September 25, 1959, between INTER- NATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (hereinafter called the Bank) and OESTERREICHISCHE INVES- TITIONSKREDIT AKTIENGESELLSCHAFT (hereinafter called the Borrower), a company organized and existing under the laws of the Republic of Austria (hereinafter called the Guarantor). WHEREAS by a loan agreement dated April 28, 1958, be- tween the Bank and the Borrower, the Bank made a loan to the Borrower to finance part of the Borrower's program of providing credit's to, and making other productive invest- ments in, enterprises in Austria; and WHEREAS the Borrower has requested the Bank to make a further loan for said program; Now THEREFORE, the parties hereto hereby agree as follows: ARTICLE I Loan Regulations; Special Definition SECTION 1.01. The parties to this Loan Agreement accept all the provisions of Loan Regulations No. 4 of the Bank dated June 15, 1956, subject, however, to the modifications thereof set forth in Schedule 1 to this Agreement (said Loan Regulations No. 4 as so modified being hereinafter called the Loan Regulations), with the same force and effect as if they were fully set forth herein. SECTION 1.02. Wherever used in this Aoreement or any Schedule thereto, the term "Counterpart Funds Loan Agreement" shall mean the agreement dated August 7, 4 1958, between the Republic of Austria and the Borrower, providing for a loan by the Republic of Austria to the Borrower in an agregate principal amount of eighty million Austrian Schillings (S80,000,000), and shall include such changes in said agreement as may from time to time be agreed by the parties thereto and the Bank. ARTICLE II The Loan SECTION 2.01. The Bank agrees to lend to the Borrower, on the terms and conditions in this Agreement set forth 'r referred to, an amount in various currencies equivalent to nine million dollars ($9,000,000). SECTION 2.02. (a) The Bank shall open a Loan Account on its books in the name of the Borrower. (b) When any investment project shall be approved by the Bank as in Section 3.02 provided, there sh,all be credited to the Loan Account, in respect of such investment project, such part of the Loan as the Bank shall approve. (c) The Loan Account may, by agreement between the Bank and the Borrower, be reduced by any amount credited thereto pursuant to paragraph (b) of this Section which will not be required for the investment project in respect of which it was so credited. No such reduction shall be deemed ipso facto to be a cancellation of any portion of the Loan. SECTION 2,03. Amounts credited to the Loan Account in respect of an investment project may be withdrawn from the Loan Account as provided in, and subject to the rights of cancellation and suspension set forth in, the Loan Regu- lations and this Agreement, and shall be applied exclusively for credits for, or investments in, the investment project in respect of which such amounts were credited to the Loan Account. 5 SECTION 2.04. The Borrower shall pay to the Bank a commitment charge at the rate of three-fourths of one per cent (/4 of 1%) per annum on amounts of the Loan standing to the credit of the Borrower from time to time in the Loan Account. Such commitment charge shall accrue from the several dates on which amounts shall be credited to the Loan Account to the respective dates on which ('a) they are withdrawn from the Loan Account or are cancelled pursu- ant to Article V of the Loan Regulations or (b) the Loan Account ils reduced in respect of such amounts pursuant to Section 2.02 (c) hereof. SECTION 2.05. The Borrower shall pay interest on the principal amount of each part of the Loan withdrawn from the Loan Account -and outstanding from time to time at such rate as shall have been notified by the Bank to the Borrower at the time when such part of the Loan was credited to the Loan Account, or at such other time or times as shall have been agreed upon between the Bank and the Borrower, as being the rate then generally applicable to new Bank loans of the same maturity. SECTION 2.06. Interest and other charges shall be pay- able semi-annually on April 1 and October 1 in each year. SECTION 2.07. The Borrower shall repay the principal of each part of the Loan in accordance with an amortization schedule, including provisions for premiums on prepay- ment of principal in advance of maturity, to be agreed upon between the Bank and the Borrower at the time when the Loan Account is credited with such part of the Loan, as the same may be amended from time to time by agree- ment between the Bank and the Borrower. Except as the Bank and the Borrower may otherwise agree, such amor- tization schedule shall conform substantially to the amor- tization schedule 'applicable to the investment project for which such part of the Loan is to be used; provided, 6 however, that payments due hereunder shall be made on the dates specified in Section 2.06 hereof, and that full repayment shall be made in any case not later than Octo- ber 1, 1974. ARTICLE III Description of the Project; Use of Proceeds of the Loan SECTION 3.01. The Project for which the Loan is granted is a program to contribute to the industrial development of Austria by providing credits for productive purposes to enterprises in Austria, and by making other productive investments in such enterprises, for specific investment projects, all in accordance with the statutes (Satzung) of the Borrower, as amended from time to time, land in further- ance of the purposes of the Borrower as therein set forth. (Such enterprises are herein called "investment enter- prises" and such specific investment projects are herein called "investment projects ".) SECTION 3.02. The proceeds of the Loan shall be applied exclusively to expenditures on such investment projects as shall from time to time be approved in writing by the Bank. Notwithstanding the provisions of Section 4.01 of the Loan Regulations, except as the Bank and the Borrower shall otherwise agree, no withdrawals shall be made on account of expenditures made for any such investment project more than 90 days prior to the submission of the investment proj- ect to the Bank for approval. SECTION 3.03. (a) When submitting an investment proj- ect to the Bank for approval, the Borrower shall furnish to the Bank an application, in form satisfactory to the Bank, containing a description of such investment project and such other information as the Bank shall reasonably request. (b) Except as the Bank and the Borrower shall otherwise agree, requests for approval of investment projects shall be submitted on or before December 31, 1961. 7 SECTION 3.04. Any credit granted by the Borrower to, or other investment made by the Borrower in, an investment enterprise for an investment project to be financed out of the proceeds of the Loan, shall be granted or made on terms whereby the Borrower shall obtain, by the written agree- ment of such investment enterprise or other appropriate legal means, rights adequate to protect the interests of the Borrower and the Bank, including the right to require sueh investment enterprise to carry out and -operate the invest- ment project with due diligence and efficiency and in accord- ance with sound engineering and financial standards, includ- ing the maintenance of adequate records; the right to require that the proceeds of the Loan shall be applied exclusively to expenditures on such investment project; the right of the Bank and the Borrower to inspect the sites, works and construction included in such investment project, the operation thereof and any relevant records and docu- ments; the right -to require that such investment enterprise shall take out and maintain such insurance, against such risks and in such amounts, as shall be consistent with sound business practice; and the right to obtain all such informa- tion as the Bank and the Borrower shall reasonably request relating to the foregoing and to the operations and financial condition of !such investment enterprise. Such rights shall include appropriate provision whereby further access by such enterprise to use of the proceeds of the Loan may be suspended or terminated by the Borrower upon failure by such investment enterprise to carry out the terms of such credit or other investment. ARTICLE IV Bonds SECTION 4.01. The Borrower shall execute and deliver Bonds representing the principal amount of the Loan as provided in the Loan Regulations. SECTION 4.02. Two Directors (Vorstandsmitglieder) of the Borrower and such person or persons as they shall jointly appoint in writing are designated as authorized representatives of the Borrower for the purposes of Sec- tion 6.12 (a) of the Loan Regulations. ARTICLE V Particular Covenants SECTION 5.01. The Borrower shall carry out the Project and conduct its operations and affairs in accordance with sound financial 'and investment standards and practices, with qualified and experienced management and in accord- ance with its statutes (Satzung), 'as amended from time to time. SECTION 5.02. (a) The Borrower shall furnish to the Bank all such information 'as the Bank shall reasonably request concerning the expenditure of the proceeds of the Loan, the Project, the investment enterprises, the invest- ment projects and the operations and financial condition of the Borrower. (b) The Borrower shall maintain records adequate to record the progress of the Project and of each investment project (including the cost thereof) and to reflect in accord- ance with consistently maintained sound accounting prac- tices the operations and financial condition of the Borrower. The Borrower shall enable the Bank's representatives to examine such records. SECTION 5.03. The Borrower shall exercise its rights in relation to each investment project financed out of the proceeds of the Loan in such manner as to protect the inter- ests of the Bank and the Borrower. SECTION 5.04. (a) The Bank and the Borrower shall cooperate fully to assure that the purposes of the Loan will be accomplished. To that end, each of them shall furnish 9 to the other all such information as it shall reasonably request with regard to the general status of the Loan. (b) The Bank and the Borrower shall from time to time exchange views through their representatives with regard to matters relating to the purposes of the Loan and the naintenance of the service thereof. The Borrower shall promptly inform the Bank of any condition which inter- feres with, or threatens to interfere with, the accomplish- ment of the purposes 'of the Loan or the maintenance of the service thereof. SECTION 5.05. Except as the Bank shall otherwise agree, the Borrower shall not incur, assume or guarantee any debt, if at the time or as a result thereof the totial amount of debt incurred, assumed and guaranteed by the Borrower and then outstanding (including that portion only of the loan from the Guarantor pursuant to the Counterpart Funds Loan Agreement which shall at that time have become due for payment) would exceed an amount equal to three and one-half times the aggregate of (1) the unimpaired capital, surplus and general reserves of the Borrower, determined in accordance with sound accounting practices, and (2) the amount of the loan from the Guarantor pursuant to the Counterpart Funds Loan Agreement at the time outstand- ing but not yet due for payment. SECTION 5.06. The Borrower undertakes that, except as the Bank shall otherwise agree, if any lien shall be created on any assets 'of the Borrower as security for any debt, such lien will ipso facto equally and ratably secure the pay- ment of the principal of, and interest and other charges on, the Loan and the Bonds, and that in the creation of any such lien express provision will be made to that effect; provided, however, that the foregoing provisions 'of this Section shall not apply to: (i) any lien created on property, at the time of purchase thereof, solely as security for the payment of the purchase price of such property; (ii) any lien on commercial goods to secure a debt maturing not S 10 more than one year after the date on which it is originally incurred and to be paid out of the proceeds of sale of such commercial goods; or (iii) any lien arising in the ordinary course of banking transactions land securing a debt maturing not more than one year after its date. SECTION 5.07. The Borrower shall pay or cause to be paid all taxes or fees, if any, imposed under the laws of the Guarantor or laws in effect in the territories of the Guaran- tor on or in connection with the execution, issue, delivery or registration of this Agreement, the Guarantee Agree- ment or the Bonds, or the payment of principal, interest or other charges thereunder; provided, however, that the pro- visions of this Section shall not apply to taxation of, or fees upon, payments under any Bond to a holder thereof other than the Bank when such Bond is beneficially owned by an individual or corporate resident of the Guarantor. SECTION 5.08. The Borrower shall pay or cause to be paid all taxes or fees, if any, imposed under the laws of the country or countries in whose currency the Loan and the Bonds are payable 'or laws in effect in the territories of such country or countries on or in connection with the execution, issue, delivery 'or registration of this Agreement, the Guar- antee Agreement or the Bonds. SECTION 5.09. (a) The Borrower shall not amend its statutes (Satzung) without the 'approval 'of the Bank. (b) The Borrower shall duly perform all its obligations under the Counterpart Funds Loan Agreement. Except as the Bank and the Borrower shall otherwise agree, -the Borrower shall not take or concur in any action which would have the effect of amending, 'abrogating, assigning or waiving 'any provision of the Counterpart Funds Loan Agreement, without the approval of the Bank. SECTION 5.10. Without the approval of the Bank no repayment in advance of maturity shall be made in respect 11 of the loan from the Guarantor pursuant to the Counterpart Funds Loan Agreement. SECTION 5.11. Unless otherwise agreed between the Bank and the Borrower, if any investment enterprise shall repay to the Borrower in advance of maturity, a part or all of any indebtedness resulting from the relending of the pro- ceeds of a part of the Loan, the Borrower shall repay, in advance of maturity, an equivalent amount of such part of the Loan. To any repayment by the Borrower in accord- ance with this Section, all the provisions of the Loan Regu- lations relating to repayment in advance of maturity shall apply. ARTICLE VI Modifications of Loan Agreement Dated April 28, 1958 SECTION 6.01. The loan agreement, dated April 28, 1958, between the Bank and the Borrower is amended by the deletion of Section 5.05 thereof. SECTION 6.02. For the purposes of the loan agreement, dated April 28, 1958, between the Bank and the Borrower, paragraph (c) of Section 5.02 of Loan Regulations No. 4 of the Bank, dated June 15, 1956, is hereby amended to read as follows: "(c) A default shall have occurred in the performance of any other covenant or agreement on the part of the Borrower or the Guarantor under the Loan Agree- ment, the Guarantee Agreement or the Bonds, or under the loan agreement, dated September 25, 1959, between the Bank and the Borrower, the guarantee agreement of even date therewith or the bonds therein provided for. " and the term "Loan Regulations" as used for the purposes of the said loan agreement shall mean Loan Regulations No. 4 of the Bank, dated June 15, 1956, as modified by Schedule 3 to said loan agreement, and as further amended hereby. 12 ARTICLE VII Remedies of the Bank SECTION 7.01. (i) If any event specified in paragraph (a), paragraph (b), paragraph (e), paragraph (f) or para- graph (j) of Section 5.02 of the Lolan Regulations shall occur and shall continue for 'a period of thirty days, or (ii) if 'any event specified in paragraph (c) of Section 5.02 of the Loan Regulations shall occur 'and shall continue for a period of sixty days after notice thereof shall have been given by the Bank to the Borrower, then lat any 'subsequent time during the continuance thereof, the B'ank, at its option, may declare the principal of the Loan 'and of all the Bonds then outstanding to be due and payable immediately, and upon any such declaration such principal shall become due and payable immediately, anything in this Loan Agree- ment or in the Bonds to the contrary notwithstanding. ARTICLE VIII Miscellaneous SECTION 8.01. The Closing Date -shall be December 31, 1962. SECTION 8.02. The following addresses are specified for the purposes of Section 8.01 of the Loan Regulations: For the Bank: International Bank for Reconstruction and Development 1818 H Street, N.W. Washington 25, D. C. United States of America Alternative address for cablegrams and radiograms: Intbafrad Washington, D. C. 13 For the Borrower: Oesterreichische Investitionskredit Aktiengesellsehaft Am Hof 4 Vienna I Austria Alternative address for cablegrams and radiograms: Investored Vienna SECTION 8.03. A date 60 days after the date of this Loan Agreement is hereby specified for the purposes of Section 9.04 of the Loan Regulations. IN WITNESS WHEREOF, the parties hereto, acting through their representatives thereunto duly authorized, have caused this Loan Agreement to be signed in their respective names 14 and delivered in the District of Columbia, United States of America, as of the day and year first above written. INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT By /is/ EUGENE R. BLACK President OESTERREICHISCHE INVESTITIONSKREDIT AKTI1h7,GESELLSCHAFT By /,s/ E. KARLIK /s/ E. SCHMIDT Authorized Representatives 15 SCHEDULE 1 Modifications of Loan Regulations No. 4 For the purposes of this Agreement, the provisions of Loan Regulations No. 4 of the Bank, dated June 15, 1956, are modified as follows: (a) Section 2.01, Section 2.02 and Section 2.03 are deleted. (b) Paragraphs (a) and (b) of Section 2.05 are amended to read as follows: " (a) The principal of each part of the Loan with- drawn from the Loan Account shall be repayable in accordance with the amortization schedule agreed upon between the Bank and the Borrower in respect of such part of the Loan pursulant to Section 2.07 of the Loan Agreement; "(b) The Borrower shall have the right, upon pay- ment of all accrued charges for interest and payment of the premiums specified in 'the applicable amorti- zation schedule, and upon not less than 45 days' notice to the Bank to repay in advance of maturity (i) all of the principal amount of any part of the Loan 'at the time outstanding, or (ii) all of the prin- cipal amount of any one or more maturities of any part of the Loan, provided that on the date of such prepayment there shall not be outstanding any por- tion of such part of the Loan maturing after the por- tion to be prepaid. However, if Bonds shall have been delivered pursuant to Article VI in respect of any portion of any part of the Loan to be prepaid, the terms and conditions of prepayment of that por- tion of such part of the Loan shall be those set forth in Section 6.16 and in such Bonds." (c) The following new paragraph is added as paragraph (d) of Section 2.05: " (d) The Bank and 'the Borrower may from time to time 'agree upon arrangements for prepayment and 16 the application thereof in addition to, or in substitu- tion for, those set forth in the provisions of para- graph (b) of Section 2.05 and of Section 6.16 of these Regulations." (d) The first two sentences of Section 3.01 are deleted. (e) Section 3.02 is amended to read as follows: "Section 3.02. Currency in Which Principal Is Repayable; Amount of Repay nent; Maturities. The principal of each part of the Loan shall be repayable in the several currencies withdrawn from the Loan Account and the amount repayable in each currency shall be the amount withdrawn in that currency. The foregoing provision is subject to one exception, name- ly: 'if withdrawal shall be made in any currency which the Bank shall have purchased with another currency for the purpose of such withdrawal, the portion of the Loan so withdrawn shall be repayable in such other currency 'and the amount so repayable shall be the amount paid by the Bank on such pur- chase. Except as the Bank and the Borrower shall otherwise agree, the portion of the Loan to be repaid, under the provisions of this Section, in any partic- ular currency shall be repayable in such instalments, not inconsistent with the instalments set forth in the amortization schedule applicable to the part of the Loan in respect of which the repayment is made, as the Bank shall specify. Any premium payable under Section 2.05 on prepayment of any portion of the Loan, or under Section 6.16 on redemption of any Bond, shall be payable in the currency in which the principal of such portion of the Loan, or of such Bond, is repayable." (f) Section 3.03 and Section 3.05 'are amended by substi- tuting for the word "part", wherever it occurs, the word "portion". 17 (g) The following sentence is added to Section 3.05: "If a withdrawal is applied for on account of expend- itures in the currency of the Guarantor, the value of the currency of the Guarantor in terms of the cur- rency or currencies to be withdrawn shall be as reasonably determined by the Bank." (h) Section 4.01 is changed to read as follows: "Section 4.01. Withdrawal from the Loan Ac- count. The Borrower shall be entitled, subject to the provisions of these Regulations, to withdraw from the Loan Account, in dollars or such other currencies (other than the currency of the Guarantor) as may be agreed upon between the Bank and the Borrower, the equivalent of such amounts as shall be required by it to finance amounts expended on investment proj- ects, provided that the Bank and the Borrower may make arrangements for advances on account of such withdrawals. Except as shall be otherwise agreed between the Bank and the Borrower, no withdrawals shall be made on account of expenditures in the terri- tories of any country which is not a member of the Bank or for goods produced in (including services supplied from) such territories.* " (i) Section 4.02 is deleted. (j) The second sentence of Section 4.03 is amended to read as follows: " Since the rate at which Loan proceeds are with- drawn affects the cost to the Bank of holding funds at the Borrower's disposal, applications for with- drawal, with the necessary documentation as herein- after in this Article provided, shall, except as the Bank and the Borrower shall otherwise agree, be made promptly in relation to expenditures on invest- ment projects." S 18 (k) Section 5.01 is amended to read as follows: " Section 5.01. Cancellation by the Borrower. The Borrower may by notice to the Bank (i) cancel all or any portion of the Loan which shall not have been credited to the Loan Account, or (ii) cancel all or any portion of any part or parts of the Loan which shall have been credited to the Loan Account and which the Borrower shall not have withdrawn prior to the giving of such notice. (1) The first five lines of Section 5.02 are lamended to read as follows: " Section 5.02. Suspension by the Bank. If any of the following events shall have happened and be continuing, the Bank may at any time or from time to time by notice to the Borrower suspend in whole or in part the right of the Borrower to make with- drawals from the Loan Account:" (m) Paragraph (c) of Section 5.02 is amended to read as follows: " (c) A default shall have occurred in the perform- ance of any other covenant or agreement on the part of the Borrower or the Guarantor under the Loan Agreement, the Guarantee Agreement or the Bonds, or under the loan agreement dated April 28, 1958, between the Bank and the Borrower, the guarantee agreement of even date therewith or the bonds there- in provided for." (n) Paragraph (j) of Section 5.02 is amended to read as follows: " (j) The loan provided for in the Counterpart Funds Loan Agreement shall have become due and payable pursuant to paragraph (1) of Article 4 thereof or for 'any other reason prior to the agreed maturity thereof." 19 (o) Thc last paragraph of Section 5.02 is amended to read as follows: "The right of the Borrower to make withdrawals from the Loan Account shall continue to be suspended in whole or in part, as the case may be, until the event or events which gave rise to such suspension shall have -ceased to exist or until the Bank shall have notified the Borrower that the right to make withdrawals has been restored, whichever is the ear- lier; provided, however, that in the case of lany such notice of restoration, the right to make withdrawals shall be restored only to the extent and subject to the conditions specified in such notice, and no such notice shall affect or impair 'any right, power or rem- edy of the Bank in respect of any other or subse- quent event described in this Section." (p) Section 5.03 is amended to read as follows: "'Section 5.03. Cancellation by the Bank. (a) If any of the events described in Section 5.02 shall have happened and be continuing the Bank may by notice to the Borrower (i) cancel all or any por- tion of the Loan which shall not have been credited to the Loan Account, or (ii) cancel all or any portion of any part or parts of the Loan which shall have been credited to the Loan Account and which the Borrower shall not have withdrawn prior to the giv- ing of such notice. " (b) If the Borrower shall not at the Closing Date have withdrawn the full 'amount of the Loan, the Bank may by notice to the Borrower cancel the amount of the Loan not withdrawn." (q) Section 5.04 is deleted. (r) Section 5.05 is amended to read as follows: " Section 5.05. Application of Reduction of Loan Account and of Cancellation to Maturities. Except as 20 otherwise agreed between the Bank and the Borrow- er, any cancellation pursuant to this Article or any reduction of the Loan Account pursuant to Section 2.02 (c) of the Loan Agreement in respect of any part of the Loan credited to the Loan Account shall be applied in inverse order to the several maturities of the principal amount of such part of the Loan as set forth in the amortization schedule applicable thereto, except that no such cancellation shall be applied to Bonds theretofore delivered or requested pursuant to Article VI, or to Bonds or portions of the Loan which the Bank has theretofore sold or agreed to sell." (s) Section 6.01 is amended by inserting the words "of each part" after the word "amount". (t) Section 6.02 is amended by substituting the words "the part of the Loan represented by such Bonds" for the words "the Loan", wherever they occur. (u) Section 6.04 is amended to read: "'Section 6.04. Iterest on Bonds; Service Charge. Each Bond shall bear interest at such rate as the Bank shall request, not in excess, however, of the rate of interest on the part of the Loan represented by such Bond. If the rate of interest on any Bond shall be less than the rate of interest on the part of the Loan represented by such Bond, the Borrower shall, in addition to the interest payable on such Bond, pay to the Bank a service charge on the prin- cipal amount of such part of the Loan at a rate equal to the difference between the interest rate on such part of the Loan and the interest rate on such Bond. Such service ciarge shall be payable on the dates on which and in the currency in which such interest is payable." (v) Section 6.05 is amended to read as follows: "Section 6.05. Currency in. Which Bonds Are Payable. Bonds shall be payable as to principal and 21 interest in the several currencies in which the part of the Loan represented by such Bonds is repayable. Each Bond delivered pursuant to any request under Section 6.03 shall be payable in such currency as the Bank shall specify in such request except that the aggregate principal amount of Bonds representing a part of the Loan and payable in any currency shall at no time exceed the outstanding amount of such part of the Loan repayable in such currency." (w) The last sentence of Section 6.09 is amended by inserting the words "of the part" after the word ''amount''. (x) The first sentence of paragraph (a) of Section 6.11 is amended to read as follows: " (a) Bonds representing a part of the Loan and bearing interest at one rate may be exchanged for Bonds bearing interest at any other rate not in excess of the rate of interest on such part of the Loan." (y) Paragraph (b) of Section 6.16 is amended to read,as follows: ''(b) If any Bond so to be redeemed shall bear interest at a rate less than the rate of interest on the part of the Loan represented by such Bond, the Bor- rower shall pay to the Bank on the date fixed for redemption the service charge provided for in Sec- tion 6.04 accrued and unpaid to such date on the prin- cipal amount of such part of the Loan represented by such Bond.'' (z) Section 9.03 is amended to read as follows: "Section 9.03. Effective Date. Notwithstanding the provisions of Section 8.01, except as shall be otherwise agreed by the Bank and the Borrower, the Loan Agreement and Guarantee Agreement shall come into force and effect on the date upon which S 22 the Bank dispatches to the Borrower and to the Guar- antor notice of its acceptance of the evidence required by Section 9.01." (aa) Paragraph 4 of Section 10.01 is amended to read as follows: "The term 'Loan' means the loan provided for in the Loan Agreement, and the term 'part of the Loan' means the portion of the Loan credited to the Loan Account in respect of an investment project." (bb) Paragraph 11 of Section 10.01 is amended to read: "The term 'Loan Account' means the account on the books of the Bank to which the amount of each part of the Loan is to be credited a:s provided in the Loan Agreement." (cc) Paragraph 13 of Section 10.01 is deleted. (dd) Paragraph 14 of Section 10.01 is amended to read: " The term 'external debt' means any debt payable in any medium other than currency of the Guarantor, whether such debt is or may become payable abso- lutely or at the option of the creditor in such other medium."