1999 AGN JUN 15 I16 - Laserfiche WebLink

Browse Search

1 market prices for the remaining term either quoted by a bona fide third -party offer 2 or which are reasonably expected to be available in the market under a 3 replacement contract for each terminated transaction. To ascertain the market 4 prices of a replacement contract, the Non -Defaulting Party may consider, among 5 other valuations, any or all of the settlement prices of NYMEX Power futures 6 contracts, quotations from leading dealers in energy swap contracts and other 7 bona fide third party offers, all adjusted for the length of the remaining term and 8 differences in transmission. It is expressly agreed that a Party shall not be 9 required to enter into replacement transactions in order to determine the 10 Termination Payment. The Non -Defaulting Party shall aggregate such Gains, 11 Losses and Costs with respect to all Transactions into a single net amount 12 ("Termination Payment") and notify the Defaulting Party. If the Non -Defaulting 13 Party's aggregate Losses and Costs exceed its aggregate Gains, the Defaulting 14 Party shall, within five (5) Business Days of receipt of such notice, pay the net 15 amount to the Non -Defaulting Party, which amount shall bear interest at the 16 Interest Rate from the Early Termination Date until paid. If the Non -Defaulting 17 Party's aggregate Gains exceed its aggregate Losses and Costs, if any, resulting 18 from the termination of the Terminated Transactions, the Termination Payment 19 shall be zero. If the Defaulting Party disagrees with the calculation of the 20 Termination Payment, the issue shall be submitted to arbitration and the resulting 21 Termination Payment shall be due and payable within three (3) Business Days 22 after the award. 23 Power Sales Agreement, City of Colton and American Utility Network June 8, 1999 Page 9 of 18