Cleveland Clinic Health System Obligated Group - FMSbonds.com

Cleveland Clinic Health System Obligated Group - FMSbonds.com Cleveland Clinic Health System Obligated Group - FMSbonds.com

09.07.2015 Views

amount equal to the unmatured and unredeemed principal amount of, and bearing interest at the same rate andmaturing on the same date or dates as, the Series 2008A Bonds presented and surrendered for transfer.The exchange or transfer shall be made without charge; provided that the Commission and the Registrar orAuthenticating Agent, as the case may be, may make a charge for every exchange or transfer of Series 2008A Bondssufficient to reimburse them for any tax or excise imposed, with respect to the exchange or transfer.Neither the Commission, the Registrar nor any Authenticating Agent, as the case may be, shall be requiredto make any exchange or transfer of a Series 2008A Bond during a period beginning at the opening of business 15days before the day of the mailing of a notice of redemption of Series 2008A Bonds and ending at the close ofbusiness on the day of the mailing or to transfer or exchange any Series 2008A Bonds selected for redemption, inwhole or in part, following the mailing.AMENDMENTS AND SUPPLEMENTS TO THE BOND INDENTUREThe Bond Indenture provides that the Commission and the Bond Trustee, with the written consent of theHolders of not less than a majority in aggregate principal amount of the Outstanding Series 2008A Bonds, may enterinto such other Supplemental Bond Indenture or Supplemental Bond Indentures as shall be deemed necessary ordesirable by the Bond Trustee for the purpose of modifying, amending, adding to or rescinding, in any particular,any of the terms or provisions contained in the Bond Indenture or in any Supplemental Bond Indenture so long asthe action does not result in, without the consent of the affected Holders of all of the Series 2008A Bonds thenOutstanding: (a) an extension of the maturity of the principal of or the scheduled date of payment of interest on anySeries 2008A Bond; (b) a reduction in the principal amount or interest or any redemption premium payable on anySeries 2008A Bond; (c) a privilege or priority of any Series 2008A Bond over any other Series 2008A Bond; or (d) areduction in the aggregate principal amount of Series 2008A Bonds the Holders of which are required for consent toany such Supplemental Bond Indenture.The Commission and the Bond Trustee may from time to time, without the consent of or notice to any ofthe Bondholders, enter into one or more Supplemental Bond Indentures, for any one or more of the followingpurposes:(a) for any purpose not inconsistent with the terms of the Bond Indenture or to cure anyambiguity or to correct or supplement any provision contained in the Bond Indenture or in anySupplemental Bond Indenture which may be defective or inconsistent with any other provision contained inthe Bond Indenture or in any Supplemental Bond Indenture, or to make such other provisions in regard tomatters or questions arising under the Bond Indenture that shall not be inconsistent with the provisions ofthe Bond Indenture and that shall not adversely affect the interests of the Holders of the Series 2008ABonds, or to release property that was included by reason of an error or other mistake;(b) to grant to or confer upon the Bond Trustee for the benefit of the Bondholders anyadditional rights, remedies, powers of the Commission that may lawfully be granted to or conferred uponthe Bondholders or the Bond Trustee or either of them;(c)(d)to more precisely identify a Project or to substitute or add additional property thereto;to subject to the Bond Indenture additional revenues, properties or collateral;(e) to modify, amend or supplement the Bond Indenture or any indenture supplementalthereto in such manner as to permit the qualification of the Bond Indenture under the Trust Indenture Act,or any similar federal statute in effect or to permit the qualification of the Series 2008A Bonds for saleunder the securities laws of any state of the United States;(f)to provide for the refunding or advance refunding of any Series 2008A Bonds;C-44

(g) to evidence the appointment of a separate Bond Trustee or the succession of a new BondTrustee under the Bond Indenture;(h) to make any other change that, in the sole judgment of the Bond Trustee, does notmaterially adversely affect the interests of the Bondholders;(i)Period; orto make any other change in connection with a conversion to a different Interest Rate(j) to modify, eliminate or add to the provisions of the Bond Indenture to such an extent asshall be necessary to obtain, maintain or improve a rating of the Series 2008A Bonds by a Rating Agency.So long as the Cleveland Clinic is not in default under the Lease, a Supplemental Bond Indenture thataffects any rights of the Cleveland Clinic will not become effective unless and until the Cleveland Clinic hasconsented in writing to the execution and delivery of the Supplemental Bond Indenture.AMENDMENTS AND SUPPLEMENTS TO THE BASE LEASE AND LEASEWithout the consent of or notice to the Holders, the Commission and the Bond Trustee may consent to anyamendment of the Base Lease and Lease as may be required (i) to comply with the provisions of the Bond Indentureor the Master Indenture, (ii) to make necessary or advisable amendments or additions in connection with theincurrence of Indebtedness (as defined in and permitted under the Master Indenture), and which does not affectadversely the interests of the Holders of Outstanding Series 2008A Bonds, (iii) for the purpose of curing anyambiguity, inconsistency or formal defect or omission in the Base Lease or Lease, (iv) to release any real estate inaccordance with the Base Lease or Lease or to accept additional real estate or any interest therein which becomes apart of the real property included in the Leased Premises under the Base Lease or Lease, (v) in connection with anamendment or to effect any purpose for which there could be an amendment of the Bond Indenture not requiringconsent of the Bondholders pursuant to the provisions of the Bond Indenture summarized under the caption“SUMMARY OF BASIC DOCUMENTS – THE BOND INDENTURE – AMENDMENTS AND SUPPLEMENTS TO THEBOND INDENTURE” or (vi) in connection with any other change therein that does not materially, adversely affect theBond Trustee or the Holders of the Series 2008A Bonds, in the judgment of the Bond Trustee.Except for the amendments contemplated in the immediately preceding paragraph, the Commission or theBond Trustee cannot consent to (i) any amendment of the Base Lease or Lease that would change the amount ortime as of which Basic Rent is required to be paid, without the giving of notice of the proposed amendment andreceipt of the written consent thereto of the Holders of all of the then Outstanding Series 2008A Bonds, or (ii) anyother amendment of the Base Lease or Lease without the giving of notice of the proposed amendment and receipt ofthe written consent thereto of the Holders of not less than a majority in aggregate principal amount of the Series2008A Bonds then Outstanding.DEFEASANCEAny Series 2008A Bond or Series 2008A Bonds will be deemed paid and no longer outstanding under theBond Indenture and will cease to be entitled to any lien, benefit or security under the Bond Indenture if the Statepays or provides for the payment of such Series 2008A Bond or Series 2008A Bonds in any one or more of thefollowing ways: (i) by paying or causing to be paid the principal of and interest and any redemption premium onsuch Series 2008A Bond or Series 2008A Bonds, as and when the same become due and payable; (ii) by deliveringand surrendering to the Bond Trustee, for cancellation by it, such Series 2008A Bond or Series 2008A Bonds; or (iii)by depositing with the Bond Trustee, (A) in trust, money or noncallable United States Government Obligations, orboth, in such amounts and with maturities as the Bond Trustee determines will be, together with the income toaccrue thereon, without consideration of any reinvestment thereof, fully sufficient to pay (1) the principal of suchSeries 2008A Bond or Series 2008A Bonds at or before their respective maturity dates, (2) any redemption premiumpayable thereon if the Series 2008A Bonds are to be redeemed before their respective maturity dates, and (3) theinterest thereon as and when the same becomes due and payable, and (B) in the case of Series 2008A Bonds that donot mature or will not be redeemed within 90 days of the deposit to which reference is made in subparagraph (A)C-45

(g) to evidence the appointment of a separate Bond Trustee or the succession of a new BondTrustee under the Bond Indenture;(h) to make any other change that, in the sole judgment of the Bond Trustee, does notmaterially adversely affect the interests of the Bondholders;(i)Period; orto make any other change in connection with a conversion to a different Interest Rate(j) to modify, eliminate or add to the provisions of the Bond Indenture to such an extent asshall be necessary to obtain, maintain or improve a rating of the Series 2008A Bonds by a Rating Agency.So long as the <strong>Cleveland</strong> <strong>Clinic</strong> is not in default under the Lease, a Supplemental Bond Indenture thataffects any rights of the <strong>Cleveland</strong> <strong>Clinic</strong> will not be<strong>com</strong>e effective unless and until the <strong>Cleveland</strong> <strong>Clinic</strong> hasconsented in writing to the execution and delivery of the Supplemental Bond Indenture.AMENDMENTS AND SUPPLEMENTS TO THE BASE LEASE AND LEASEWithout the consent of or notice to the Holders, the Commission and the Bond Trustee may consent to anyamendment of the Base Lease and Lease as may be required (i) to <strong>com</strong>ply with the provisions of the Bond Indentureor the Master Indenture, (ii) to make necessary or advisable amendments or additions in connection with theincurrence of Indebtedness (as defined in and permitted under the Master Indenture), and which does not affectadversely the interests of the Holders of Outstanding Series 2008A Bonds, (iii) for the purpose of curing anyambiguity, inconsistency or formal defect or omission in the Base Lease or Lease, (iv) to release any real estate inaccordance with the Base Lease or Lease or to accept additional real estate or any interest therein which be<strong>com</strong>es apart of the real property included in the Leased Premises under the Base Lease or Lease, (v) in connection with anamendment or to effect any purpose for which there could be an amendment of the Bond Indenture not requiringconsent of the Bondholders pursuant to the provisions of the Bond Indenture summarized under the caption“SUMMARY OF BASIC DOCUMENTS – THE BOND INDENTURE – AMENDMENTS AND SUPPLEMENTS TO THEBOND INDENTURE” or (vi) in connection with any other change therein that does not materially, adversely affect theBond Trustee or the Holders of the Series 2008A Bonds, in the judgment of the Bond Trustee.Except for the amendments contemplated in the immediately preceding paragraph, the Commission or theBond Trustee cannot consent to (i) any amendment of the Base Lease or Lease that would change the amount ortime as of which Basic Rent is required to be paid, without the giving of notice of the proposed amendment andreceipt of the written consent thereto of the Holders of all of the then Outstanding Series 2008A Bonds, or (ii) anyother amendment of the Base Lease or Lease without the giving of notice of the proposed amendment and receipt ofthe written consent thereto of the Holders of not less than a majority in aggregate principal amount of the Series2008A Bonds then Outstanding.DEFEASANCEAny Series 2008A Bond or Series 2008A Bonds will be deemed paid and no longer outstanding under theBond Indenture and will cease to be entitled to any lien, benefit or security under the Bond Indenture if the Statepays or provides for the payment of such Series 2008A Bond or Series 2008A Bonds in any one or more of thefollowing ways: (i) by paying or causing to be paid the principal of and interest and any redemption premium onsuch Series 2008A Bond or Series 2008A Bonds, as and when the same be<strong>com</strong>e due and payable; (ii) by deliveringand surrendering to the Bond Trustee, for cancellation by it, such Series 2008A Bond or Series 2008A Bonds; or (iii)by depositing with the Bond Trustee, (A) in trust, money or noncallable United States Government Obligations, orboth, in such amounts and with maturities as the Bond Trustee determines will be, together with the in<strong>com</strong>e toaccrue thereon, without consideration of any reinvestment thereof, fully sufficient to pay (1) the principal of suchSeries 2008A Bond or Series 2008A Bonds at or before their respective maturity dates, (2) any redemption premiumpayable thereon if the Series 2008A Bonds are to be redeemed before their respective maturity dates, and (3) theinterest thereon as and when the same be<strong>com</strong>es due and payable, and (B) in the case of Series 2008A Bonds that donot mature or will not be redeemed within 90 days of the deposit to which reference is made in subparagraph (A)C-45

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