MATURITY EXTENSION GUARANTEE

Guarantee whereby a Commercial Bank grants a loan to the Project Company at standard market conditions (e.g. 7-year maturity). However, the loan is amortized over a longer period (e.g. 14 or 21 years) by the project company, thereby lowering the loan repayment charges. In the sixth year, the bank informs the guarantor whether or not to renew the loan. Loans can only be refused if the project’s performance does not deteriorate in relation to the baseline scenario. If the loan is not renewed, the guarantor and the project company have one year to find another partner to refinance the loan. If the loan is not renewed, the loan is refinanced by the guarantor under contractually agreed conditions.