Contract No.
3260402009610000000
MAXIMUM AMOUNT LOAN
AGREEMENT
Bank of
Communications
Printed in Sep. 2007
Contract No.
3260402009610000000
Maximum amount Loan
agreement
|
Important notice
Please be
advised to read carefully of this agreement, especially for the
Clause that marked as **. Should the borrower have any question,
please contact with lender for more information as soon as
possible.
|
Borrower:
Dongying
(Jiangsu) Pharmaceutical Co., Ltd.
|
Legal
representative:
|
Huang
Lequn
|
|
Legal
Address:
|
8 Zhong Tian
Road, Nantong Economical Development Zone
|
|
Mailing
address:
|
as
above.
|
|
Lender:
|
Bank of
Communications Nantong branch
|
|
Major
Manager:
|
Zhu
Weiping
|
|
Mailing
Address:
|
27 Renmin Zhong
Road, Nantong.
|
The Borrower
and Lender, after reaching an agreement through negotiations,
hereby enter into this contract pursuant to Borrower's
application to Lender for bank loan.
Article 1.
Quota
1.1
“quota” means the maximum amount of loan the lender can
release to the borrower in accordance with the contract.
“Remaining loan” means the net loan principle obtained
by the borrower which is still outstanding.
“Remaining quota” means the “quota”
deduct the “remaining loan”. “Credit term”
means the time that the lender releases loan to the borrower,
it’s the term during which the lender will release the loan,
not the term during which the borrower will use the loan. The loan
term shall be confirmed by both parties.
1.2. Type of
currency: RMB
; Amount:
Five million
1.3. The Loan
under this agreement shall be solely for current capital use
only and type of quota is revolving quota.
1.4 In case
there are multi currencies listed in the Clause above, each
currency shall not exceed its quota.
1.5. Loan term:
from January 19, 2009 to January 19, 2010
1.6 under
this contract, the quota is revolving quota. The borrower can apply
the loan in multi times in accordance with the contract. However,
the remaining loan shall not exceed the quota.
Article 2.
Using the Quota
2.1 When the
borrower needs to use the quota, the borrower has to apply from the
lender 5 working day’s advance. The borrower needs to fill
the “Quota Utilization Application” form. After the
lender approval the application, the borrower can start using
it.
2.2 The using
of the quota has to meet all the conditions below:
|
|
|
the remaining
loan shall not exceed the quota
|
|
|
|
applied loan
amount shall not exceed the remaining quota
|
|
|
|
application
must be within credit term
|
|
|
|
The purpose of
using the loan shall be only for current capital
|
|
|
|
The loan term
shall be less than 12 months and the due day for all
the loans shall be no later than April 19, 2010 .
|
|
|
|
The related
guarantee contract is currently in effect and shall maintain
effective. In case the guarantee contact is mortgage contract, the
guarantee right shall be establish and maintain
effective.
|
|
|
|
The borrower
has performed all legally-required procedures such as obtaining
government licenses, approvals and registration and other
procedures Lender may require of Borrower
|
|
|
|
There is
no big change of borrower’s financial situation and
operation situation after this agreement is in effect.
|
|
|
|
The
borrower’s application meets all the related policy and
constitution’s needs requested by lender.
|
|
|
The borrower
conducts no default activity.
|
2.3 If the
lender agrees to release the loan to borrower, the lender needs to
stamp and sign on “Quota Utilization Application” form.
The information of currency, amount, and purpose of using the
quota, interest rate, loan term, releasing date, and returning date
shall be base on the actual signed “Quota Utilization
Application” form.
2.4 The using
of quota will be monitored base on file, voucher and receipt
generated during performing the contract.
2.5 If the
currency shown in the application form is different from quota,
Bank of Communications’ daily foreign exchange rate shall be
used for calculation.
Article 3.
Interest Rate and Interest Calculation
3.1. The
interest shall be defined during each transaction in accordance
with the lender’s interest system policy. Daily interest rate
= monthly interest rate/30, monthly interest rate = annual interest
rate/12
In case
interest defined in the Quota Utilization Application form is fixed
interest, this fixed interest rate will be used for this
loan.
In case
interest defined in the Quota Utilization Application form is
variable interest, the variable interest rate will be used for this
loan, and this rate will be adjusted in accordance with the
published rate by the People’s Bank of China.
3.2 The
calculation of interest
3.2.1 Regular
interest= (the prescribed interest rate under this Loan Contract) x
(Loan principle amount) x (actual days of use), where actual days
of use is calculated from the day the Loan is issued.
3.2.2 In case
the borrower fails in returning the loan on time, the penalty
interest calculation depends on amount and actual overdue days. If
the currency of loan is RMB, the penalty interest rate for delay of
repaying the loan shall be 50% on top of interest rate; if
it is foreign currency, the penalty interest rate for delay of
repaying the loan shall ____ on top of interest rate from
“Quota Utilization Application” form
requested.
3.2.3 In case
the borrower uses the loan for other purpose than intended, penalty
interest calculation depends on amount and actual overdue days. If
the currency of loan is RMB, the penalty interest rate for delay of
repaying the loan shall be 100% on top of interest rate; if
it is foreign currency, the penalty interest rate for delay of
repaying the loan shall be _____ on top of interest rate
from “Quota Utilization Application” form
requested.
3.2.4 In case
the interest rate is adjusted by the People’s Bank of China
during the period when the borrower is in default activities
described in the above two clauses, the penalty interest shall be
adjusted accordingly. The effective date shall be the day when the
rate is adjusted.
3.3 Interest
rate should be calculated and paid on monthly basis. Cut off day is
20 th
of the each month.
**Article 4.
Borrower’s declaration and guarantee
|
|
Borrower shall
be legally registered enterprise which will legally exist during
the loan period, and has the authority to sign and perform the
obligation of this contract.
|
|
|
Signing and
performing this agreement is borrower’s true intention, and
doesn’t violate any applicable law
|
