LCP Proudreed PLC - Irish Stock Exchange

• a copy of the relevant extract of the minutes of any property management meetings
relating to material matters with respect to the Secured Property in its Property
Portfolio held during that quarter;
• a summary of any rent reviews and lease renewals in progress or agreed during that
quarter;
• copies of all material correspondence with insurance brokers and insurers handling the
insurance of any Secured Property in its Property Portfolio, in respect of claims or
liabilities where the potential liabilities or claims exceed £250,000;
• details of any potential occupational tenant of any Secured Property in its Property
Portfolio if the value of the annual rent is in excess of £100,000 per annum and any
potential buyer of any Secured Property in its Property Portfolio;
• details of any proposed Minor Development the cost (excluding VAT) of which is
estimated to be, when aggregated with the cost (excluding VAT) of all other Minor
Developments in respect of the relevant Borrower’s Property Portfolio, in excess of
4 per cent. (in the case of LCP Real Estate) or 9 per cent. (in the case of Proudreed Real
Estate) of the applicable Reference Amount in respect of the relevant Borrower’s
Property Portfolio in any Reference Period;
• details of any proposed Development the cost (excluding VAT) of which is estimated to
be in excess of the greater of £250,000 and 10 per cent. of the Estimated Rental Value
of the relevant Secured Property;
• details of situations where it has become entitled to serve any notice on any former
tenant of any Occupational Lease; and
• the aggregate amount of due but outstanding payments relating to Secured Properties
within its Property Portfolio;
• if a Loan Event of Default or a Potential Loan Event of Default has occurred and is
continuing, obtain a full Valuation Report of the Secured Properties at the cost of the
Borrower, from an Approved Valuer appointed by the Borrower Security Trustee;
• forward to the Borrower Security Trustee written confirmation from the relevant insurer or
underwriter (or any broker acting for the relevant Borrower in connection with such
insurance) of any renewal of any Insurance Policy within one month of such renewal;
• supply to, inter alios, the Issuer, the Rating Agencies, the Liquidity Facility Provider, the
Hedging Providers and the Borrower Security Trustee, ongoing updated financial statements
and certain other information with respect to itself; and
• in the event that an Information Meeting is held, if requested and subject to appropriate
reasonable prior notice, send one or more representatives to that Information Meeting,
provided that it shall not be required to send any representatives to more than one meeting
per calendar year.
Each set of accounts, financial documents and certain other documents to be delivered by or on behalf of
the Borrowers as described above will also be delivered to, inter alios, the Rating Agencies, the Hedging
Providers, the Liquidity Facility Provider and (if so requested) the Issuer Security Trustee.
Financial Covenants
Pursuant to the terms of the relevant Commercial Mortgage Loan Agreement, each Borrower will
covenant and undertake to ensure that, from and including the Closing Date, in respect of the Historical
Calculation Period ended on the immediately preceding Loan Calculation Date or the Forward-Looking
Calculation Period beginning on the immediately preceding Loan Calculation Date, as the case may be,
neither the Historical ICR nor the Projected ICR is less than 1.2:1.
The Financial Covenants will be tested by or on behalf of each Borrower on each Loan Calculation Date
(and the results will be notified to, inter alios, the Borrower Security Trustee on the same day),
commencing on the Loan Calculation Date falling in February 2006, by reference to the financial
information delivered by the relevant Borrower.
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