Budgets and Corporate Planning. The Manager, in consultation with the President and the Chief Financial Officer, shall prepare and submit to the Board of Directors a draft budget for the each Fiscal Year in a format acceptable to the Board of Directors and generally used by the Manager. The Board of Directors may request further details and submit written comments on the draft budget. If, after reviewing the draft budget, the Company does not agree with any term thereof, the Company shall give the Manager notice of such disagreements and terms within a reasonable period of time following receipt of the draft budget and a proposal for resolution of each such questioned item. The Company and the Manager shall endeavor to resolve any such differences between them with respect to the questioned items. In resolving any questioned item, the Company and the Manager shall consider, among other things, the Company’s obligations under any relevant Charters, Credit Facility, or Other Financing Agreement. The Manager shall use its commercially reasonable efforts to prepare and deliver to the Company promptly a revised budget satisfactory to the Board of Directors. The Company acknowledges that the budget is only an estimate of the performance of the Vessels and the Manager makes no assurance, representation or warranty that the actual performance of the Vessels in the applicable Fiscal Year will correspond to the estimates contained in the budget for such Fiscal Year. The Parties acknowledge that any projections contained in the budget are subject to and may be affected by changes in financial, economic and other conditions and circumstances beyond the control of the Parties. The Manager may, from time to time, in any Fiscal Year propose amendments to the budget, in which event the Company shall have the right to approve the amendments in accordance with the process set out in this Section 4.4. Whenever, due to circumstances beyond the reasonable control of the Manager, emergency expenditures are required to ensure that any Vessels are operated and maintained as required under any applicable Charters, the Manager may make such emergency expenditures and reasonably request prompt reimbursement thereof, to the extent that such items are the responsibility of the Company, including pursuant to Sections 5.4 and 9.2, even if such expenditures are not included or reflected in the budget.
Budgets and Corporate Planning. NAVIG8 shall present to the Owner annually a proposed budget for the following twelve months in such form as the Owner requires. Annual budgets shall be prepared by NAVIG8 and submitted to the Owner not less than one month before the anniversary date of the NAVIG8’s financial year. The Owner shall indicate to NAVIG8 its acceptance and approval of the proposed annual budget within one month of presentation and in the absence of any such indication NAVIG8 shall be entitled to assume that the Owner has accepted the proposed budget. If Owner does not agree with any item of the proposed budget, it shall give NAVIG8 notice of such disagreement and a proposal for resolution. In resolving any disagreements Owner and NAVIG8 shall consider, among other things, Owner’s obligations under any relevant charters, credit facilities or other financing agreements and NAVIG8’s general obligations and general economic and market conditions. The Parties acknowledge that any projections contained in the proposed budget are subject to and may be affected by changes in financial, economic and other conditions and circumstances beyond the control of the Parties.
Budgets and Corporate Planning. (a) Draft Budgets
Budgets and Corporate Planning. The CSM shall present to the CC annually a budget for the following twelve months in such form as the CC requires. Annual budgets shall be prepared by the CSM and submitted to the CC not less than one month before the anniversary date of the CSM’s financial year. The CC shall indicate to the CSM its acceptance and approval of the annual budget within one month of presentation and in the absence of any such indication the CSM shall be entitled to assume that the CC has accepted the said budget. If CC does not agree with any term thereof it shall give CSM notice of such disagreement and a proposal for resolution. In resolving any disagreements CC and CSM shall consider, among other things, CC’s obligations under any relevant Charters, Credit Facility, or Other Financing Agreement and CSM’s general obligations and general economic and market conditions. The Parties acknowledge that any projections contained in the Approved Budget are subject to and may be affected by changes in financial, economic and other conditions and circumstances beyond the control of the Parties. Whenever, due to circumstances beyond the reasonable control of CSM, emergency expenditures are required to ensure that any Vessels are operated and maintained as required under any applicable Charters, CSM may make such emergency expenditures and reasonably request prompt reimbursement thereof Following the agreement of the budget, the CSM shall prepare and present to the CC it’s estimated for the working capital requirement of the Vessel and the CSM shall each month update this estimate.
Budgets and Corporate Planning
