Common use of Loans and Commitments Clause in Contracts

Loans and Commitments. Subject to the terms and conditions hereof, each Lender severally agrees to make, on the Closing Date, a Loan to Company in an amount equal to its pro rata portion of $20 million shown on Appendix A, such that the total Loans of all Lenders made on the Closing Date shall be $20 million. Any amount borrowed under this Section 2.1(a) and subsequently repaid or prepaid may not be reborrowed. Subject to Sections 2.13(a) and 2.14, all amounts owed hereunder with respect to the Loans shall be paid in full no later than the Maturity Date. Each Lender’s Loan made on the Closing Date shall automatically reduce such Lender’s Commitment in the principal amount funded. For the avoidance of doubt, the making of a Loan under this Section 2.1 and the consequent termination of such Lender’s Commitment on the Closing Date do not limit the obligation of such Lender to make a PIK Loan under Section 2.8(b).