1. The subject of the contract is to grant a long-term bank loan to cover the planned deficit and repay previously incurred liabilities of the budget of the Inowłódz Commune in 2022 up to PLN 3,500,000.00 (in words: three million five hundred thousand zlotys 00/100).

2. The Ordering Party reserves the right to reduce the amount of the loan granted.

3. The planned date of taking out the loan is October 20, 2022. The loan will be activated in a maximum of three tranches. NOTE: To calculate the loan price, it is planned to take out a loan in one tranche on 20.10.2022.

4. The loan will be repaid in the years 2023-2038 in monthly installments payable on the last business day of the month, starting from 31.03.2023 to 31.08.2038, in accordance with the loan repayment schedule.

5. Grace period for repayment of capital installments until 30.03.2023

Continuing: II.2.4) Description of the order

1. The credit shall be mobilised in tranches. The Ordering Party determines each time the amount of the loan tranche and the date of its launch. The launch of individual tranches of the loan will take place after the ordering party submits a written payment order, without submitting a separate loan application subject to consideration. The Contractor is obliged to activate the loan no later than ...* working days from the date of submission of the application by the ordering party in writing or by e-mail.

2. Loan repayment schedule: the loan will be repaid in 2023-2038 in monthly installments.

3. The Ordering Party reserves the right not to charge a credit in full amount. The contracting authority does not allow the contractor to charge any additional fees and bank commissions on the unused part of the loan. In this case, the contractor will not charge the contracting authority with the costs of the loan not collected.

4. The Contractor will not charge a commission for starting the loan and launching individual tranches.

5. The Ordering Party reserves the right to extend the loan repayment period without incurring fees and commissions.

6. The cost of the loan will consist only of interest resulting from the variable WIBOR interest rate and a fixed margin. Interest will be charged on the amount of the actual debt.

7. Apart from the interest rate on the loan, the Bank will not charge any additional fees and commissions for the contract awarded.

8. The loan will bear interest at a variable amount consisting of a fixed margin of ...% and a variable base rate of ...% on the date of conclusion of the contract ...% on an annual basis. The total interest rate on the loan on the day of conclusion of the contract will be ...% on an annual basis.

9. The WIBOR 1M rate will be set for each accounting period according to quotations on two calendar days preceding the beginning of a given accounting period. In the absence of quotations of the WIBOR 1M rate for two calendar days preceding the beginning of a given accounting period, the quotations from the last day preceding the beginning of the accounting period in which the WIBOR 1M rate was recorded will be used accordingly to calculate the interest rate.

10. The Bank shall notify the Borrower in writing about the amount of interest to be paid for a given month at least 2 days before the payment date. Written notification is also considered to be notification by e-mail: finanse@inowlodz.pl

11. Interest for the period from the starting point of credit to the end of the entire credit period shall be payable on a monthly basis on the last working day of each month to which it relates. Interest for the entire loan period should be calculated using a method based on the actual number of days in each month and the actual number of days in a year, i.e. 365 or 366.

12. The borrower reserves the right to repay all or part of the loan before the end of the loan period, i.e. before the end of August 2038, as well as the possibility of repayment of the loan in installments and dates other than those presented in the repayment schedule, with the proviso that early repayment of capital requires prior notification to the bank. For the above activities, the contractor will not charge additional commissions or fees. In the event of such a change, the schedule and repayment date of the loan will change.

13. The base interest rate will be based on the WIBOR 1M rate increased by the contractor's margin.

14. The interest rate on the loan is the cost of the loan.

A detailed description is included in the SWZ: Chapter 4: Subject of the contract.