Canadian Transactions

Canadian Transactions. Shall mean, collectively, the following transactions: (a) the borrowing by the Company of Revolving Credit Loans, the proceeds of which are used solely to make a loan (the "KF Loan") in an amount not to exceed $16,000,000 to KF Industries, Inc., a Wholly Owned Subsidiary of the Company ("KF"), the proceeds of which are used solely to make a loan to Telford... evidenced by a promissory note (the 'Telford Note'), the proceeds of which shall be used by Telford solely to make a dividend payment to KF, the proceeds of which are used by KF solely to make a dividend payment to the Company; and (b) after the completion of the transactions described in the foregoing clause (a), the incurrence by a Foreign Subsidiary of Indebtedness in an aggregate principal amount not to exceed $16,000,000 (the 'Second Loan'), the proceeds of which are used solely to make a loan to another Foreign Subsidiary (the 'Second Foreign Subsidiary'), the Company entering into a Guarantee of the Second Loan to the lender of the Second Loan (the 'Company Guarantee'), the Second Foreign Subsidiary using the proceeds of the loan made to it to purchase from KF the Telford Note (the 'Telford Note Sale'), the proceeds of which are used by KF solely to repay the KF Loan. View More