Maine Credit Agreement between Southwest Royalties, Inc. and Bank One Texas

• Category: Corporations - Public - Credit
• State: Multi-State
• Control #: US-EG-9032
• Format: Word; Rich Text

Description

This is a multi-state form covering the subject matter of the title. Maine Credit Agreement is a legal contract entered into by Southwest Royalties, Inc., an energy company based in Texas, and Bank One Texas, a financial institution. This agreement outlines the terms and conditions for credit facilities extended by Bank One Texas to Southwest Royalties, Inc. for various purposes related to their business operations. The Maine Credit Agreement aims to establish a mutually beneficial relationship between the two parties, ensuring smooth financial transactions and providing a framework for managing credit requirements. It serves as a valuable tool for Southwest Royalties, Inc. to access funds and meet their working capital needs, while Bank One Texas benefits from the interest income generated through the credit facilities. Key provisions typically found in a Maine Credit Agreement include: 1. Definitions: Clearly defines terms used throughout the agreement, such as "credit facilities," "borrowings," "interest rates," and others, to avoid any ambiguity or misunderstanding. 2. Credit Facilities: Specifies the types and amount of credit facilities available to Southwest Royalties, Inc., which may include revolving lines of credit, term loans, letters of credit, or other financing arrangements. 3. Term and Termination: Outlines the duration of the credit agreement and the circumstances under which it may be terminated, such as breach of terms, bankruptcy, or mutual agreement between the parties. 4. Interest Rates and Fees: Details the applicable interest rates on borrowings, payment terms, fees, and commissions charged by Bank One Texas for extending credit facilities to Southwest Royalties, Inc. 5. Representations and Warranties: Contains statements made by Southwest Royalties, Inc. regarding their financial condition, solvency, and legal compliance to assure Bank One Texas of their ability to meet their obligations under the agreement. 6. Collateral and Security: Describes any collateral or security that Southwest Royalties, Inc. may provide to secure their borrowings, such as pledges on assets, liens on properties, or personal guarantees by the company's principals. 7. Conditions Precedent: Lists conditions that must be fulfilled before credit facilities are made available to Southwest Royalties, Inc., such as the submission of financial statements, insurance coverage, and compliance with regulatory requirements. 8. Events of Default: Specifies events that, if triggered, would allow Bank One Texas to declare Southwest Royalties, Inc. in default, enabling them to demand immediate repayment or take necessary legal actions to recover the outstanding debt. It is important to note that the term "Maine Credit Agreement" is not commonly used. Instead, the reference might be to a "Texas Credit Agreement" or specific types of credit agreements, such as "Revolving Credit Agreement," "Term Loan Credit Agreement," or "Letter of Credit Agreement," depending on the specific credit facility being utilized between Southwest Royalties, Inc. and Bank One Texas.

Maine Credit Agreement is a legal contract entered into by Southwest Royalties, Inc., an energy company based in Texas, and Bank One Texas, a financial institution. This agreement outlines the terms and conditions for credit facilities extended by Bank One Texas to Southwest Royalties, Inc. for various purposes related to their business operations. The Maine Credit Agreement aims to establish a mutually beneficial relationship between the two parties, ensuring smooth financial transactions and providing a framework for managing credit requirements. It serves as a valuable tool for Southwest Royalties, Inc. to access funds and meet their working capital needs, while Bank One Texas benefits from the interest income generated through the credit facilities. Key provisions typically found in a Maine Credit Agreement include: 1. Definitions: Clearly defines terms used throughout the agreement, such as "credit facilities," "borrowings," "interest rates," and others, to avoid any ambiguity or misunderstanding. 2. Credit Facilities: Specifies the types and amount of credit facilities available to Southwest Royalties, Inc., which may include revolving lines of credit, term loans, letters of credit, or other financing arrangements. 3. Term and Termination: Outlines the duration of the credit agreement and the circumstances under which it may be terminated, such as breach of terms, bankruptcy, or mutual agreement between the parties. 4. Interest Rates and Fees: Details the applicable interest rates on borrowings, payment terms, fees, and commissions charged by Bank One Texas for extending credit facilities to Southwest Royalties, Inc. 5. Representations and Warranties: Contains statements made by Southwest Royalties, Inc. regarding their financial condition, solvency, and legal compliance to assure Bank One Texas of their ability to meet their obligations under the agreement. 6. Collateral and Security: Describes any collateral or security that Southwest Royalties, Inc. may provide to secure their borrowings, such as pledges on assets, liens on properties, or personal guarantees by the company's principals. 7. Conditions Precedent: Lists conditions that must be fulfilled before credit facilities are made available to Southwest Royalties, Inc., such as the submission of financial statements, insurance coverage, and compliance with regulatory requirements. 8. Events of Default: Specifies events that, if triggered, would allow Bank One Texas to declare Southwest Royalties, Inc. in default, enabling them to demand immediate repayment or take necessary legal actions to recover the outstanding debt. It is important to note that the term "Maine Credit Agreement" is not commonly used. Instead, the reference might be to a "Texas Credit Agreement" or specific types of credit agreements, such as "Revolving Credit Agreement," "Term Loan Credit Agreement," or "Letter of Credit Agreement," depending on the specific credit facility being utilized between Southwest Royalties, Inc. and Bank One Texas.