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Texas, to keep the Plant's diaper and pant production lines state-of-the-art in efficiency,
<br />speed and quality. Said Improvements are more particularly set forth in Exhibit C,
<br />attached hereto and incorporated herein by reference, and are related to new
<br />machinery and improvements to existing machinery at the Plant which will allow Owner
<br />to remain competitive with competing product offerings in the market. Capital spending
<br />investments will be made annually for a period of five (5) years, as is shown below and
<br />in Exhibit C attached hereto, and the Improvements completed in each year will
<br />become eligible for tax abatement beginning on January 15t of the calendar year after
<br />said Improvements are completed. A detailed list of the Improvements proposed to be
<br />installed by the Owner in the years 2018 through 2022 is set out in Exhibit C, with an
<br />estimated yearly investment as follows:
<br />Year
<br />Amount of Investment
<br />Years of Tax Abatement
<br />2018
<br />$25,225,000.00
<br />Abated for ten (10) years
<br />2019
<br />$24,442,800.00
<br />Abated for nine (9) years
<br />2020
<br />$19,602,500.00
<br />Abated for eight (8) years
<br />2021
<br />$22,142,100.00
<br />Abated for seven (7) years
<br />2022
<br />$30,101,700.00
<br />Abated for six (6) years
<br />All of said Improvements will be described in the City's Certificate of Completion defined
<br />in section X. Reporting Requirements. The Improvements will cost approximately
<br />$121,000,000.00 in the aggregate and shall be substantially completed in various
<br />phases prior to December 31, 2022, as is shown on the chart attached hereto as
<br />Exhibit E and incorporated herein by reference; provided that, however, Owner shall
<br />have such additional time to complete the Improvements as may be required in the
<br />event of 'force majeure" if Owner is diligently and faithfully pursuing completion of the
<br />Improvements. For this purpose, "force majeure" shall mean any contingency or cause
<br />beyond the reasonable control of Owner including, without limitation, acts of God, any
<br />natural disaster, war, riot civil commotion, insurrection, governmental or de facto
<br />governmental action unless caused by acts or omissions of Owner, fires, explosions,
<br />accidents, floods, and labor disputes or strikes. The date of completion of the
<br />Improvements shall be defined as the date a Certificate of Occupancy is issued by the
<br />city of Paris, or as otherwise agreed in writing by the parties.
<br />3.2 The Owner agrees and covenants that it will diligently and faithfully, in
<br />good and workmanlike manner, pursue the completion of the Improvements. As a good
<br />and valuable consideration for this Agreement, Owner further covenants and agrees
<br />that all construction of the Improvements will be in accordance with all applicable state
<br />and local laws, codes and regulations, or Owner will procure a valid waiver thereof. In
<br />further consideration, Owner shall thereafter, from the date a Certificate of Occupancy is
<br />issued or the Improvements are completed as agreed until the expiration of this
<br />Agreement, continuously operate and maintain the Property and the Improvements,
<br />including the specific units of new equipment as identified herein, as a production and
<br />manufacturing plant.
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