Common use of Interest; Maturity Clause in Contracts

Interest; Maturity. Interest on the Notes shall be paid semi-annually in arrears on each Interest Payment Date to Holders of record on the Record Date immediately preceding such Interest Payment Date. Interest on the Notes (and any interest added to the Principal Amount as Capitalized Interest) will accrue at a rate equal to 10% per annum, subject to increase as set forth in the following paragraphs below, from September [•], 2007 until maturity on September 30, 2012, subject to increase as set forth in the following paragraphs of this Section 1 of this Note and the Indenture. The Company will pay interest semi-annually in arrears on March 31 and September 30 of each year, or if any such day is not a Business Day, on the next succeeding Business Day (each, an “Interest Payment Date”). Interest will be computed on the basis of a 360-day year comprised of twelve 30-day months. Interest on the Notes (and any interest added to the Principal Amount as Capitalized Interest) shall accrue from the most recent date to which interest has been paid, or if no interest has been paid, from September 28, 2007, until the Principal Amount is paid or duly made available for payment; provided that the first Interest Payment Date shall be March 31, 2008. The interest rate to be borne by this Note shall be subject to increase based on the following; (i) Pursuant to, and as set forth in, the Registration Rights Agreement and the Indenture, the Company may be required to pay Additional Interests. (ii) Pursuant to, and as set forth in, the Indenture, the Company may be required to pay Special Interest. (iii) On any Interest Payment Date after September 30, 2009, if the Company’s consolidated cash flow, calculated on a trailing twelve month basis preceding the relevant Interest Payment Date, is equal or less than $10 million and the Equity Conditions has been satisfied (unless the applicable Holder has waived the satisfaction of such Equity Conditions), the Company may elect to add the Interest (other than Additional Interest, Special Interest and Late Charges) due on such Interest Payment Date to the Principal Amount of the Notes as Capitalized Interest at an interest rate per annum equal to 12% for such portion of the Interest that is paid as Capitalized Interest. (iv) The Company shall pay interest (including post petition interest in any proceeding under the Bankruptcy Law) on overdue principal, installments of interest or any other amounts due at the rate of 2% above the interest rate in effect to the extent lawful.