Poland-Głogów: Credit granting services

The subject-matter of the contract is to select the Bank for the purpose of granting a long-term investment loan to Spółka Komunikacja Miejska Sp. z o. o. in Głogowo with a grace period for repayment of capital during the period of implementation of the investment. The planned duration of the investment is 18 months from the date of conclusion of the contract with the selected contractor.
The amount of the loan is up to PLN 16.000.000. The loan will be used for the implementation of the investment entitled
Construction of a bus depot in Głogowo
2. The conditions and requirements for performance of the subject matter of the contract.
1) Loan of up to PLN 16.000.000.00. The final amount of the loan will be determined after the selection of the contractor and the replacement investor. The actual value of the credit and the final repayment schedule of the credit (taking into account the provisions of paragraph). (3)) they will be incorporated into the contract with the Bank in the form of a written addendum.
(2) The loan may be granted only without commission.
3 Period of repayment of principal up to 15 years, provided that:
(a) a penalty on repayment of capital from the date of disbursement of the first tranche to the date of completion of the investment, for a period of 18 months,
(b) starting repayment of principal and interest after completion of construction – for a period of 162 months,
It was assumed that the construction will start on 1 September 2013 and be completed by 3 March 2015. The first instalment to be paid by Komunikacja Miejska Sp. z o. o. will take place by 31 May 2015.
4) Principal and interest instalments will be paid on a quarterly basis on the 20th of each last month of the quarter. The last quarterly instalment for a given year shall be 30 November at the latest.
(5) Degressing rates. Repayment of fixed capital of PLN 296.296. Repayment of interest in the amount of the principal outstanding on a fixed and unaltered basis over the duration of the loan and repayment of the credit.
6) Planned total investment up to PLN 18.500.000.
7)The contract in question is partly financed by the Contracting Authority’s own resources, whose own contribution shall not be less than 10 %.
8) The loan will be released by the selected Bank in successive instalments according to the progress of the works and in accordance with the material and financial schedule drawn up by the selected building contractor. The Bank will transfer further instalments of the loan to the account of the Contracting Authority. The percentage amounts of each tranche to be released are assumed:
(a) first tranche – 5 % payable by 11.10.2013
(b) second tranche – 20 % payable until 29/01/2014
(C) third tranche – 8 % payable until 14/03/2014
(D) fourth tranche – 13 % payable until 24/05/2014
(e) fifth tranche – 11 % payable by 22/06/2014
(F) sixth tranche – 16 % payable by 18.10.2014
(g) seventh tranche – 7 % payable until 26.11.2014
(H) eighth tranche – 16 % payable by 22 February 2015
(I) ninth tranche – 4 % payable until 17/03/2015
9) The Bank will charge interest at the interest rate for loans on the Polish interbank market WIBOR 3M (three months) plus a fixed and unchanged loan period (the duration of the investment during the life of the investment and the duration of the repayment of the principal after the completion of the investment) the Bank’s margin.
10) The change in the borrowing rate will follow the change in the 3M WIBOR rate.
11) Where the credit and interest due date fall on a public holiday, the Contracting Authority shall pay the required instalment on the first working day following the scheduled repayment date.
(12) The Contractor will not request: commissions on the credit granted, fees for early repayment of the credit, administrative management fees, for submitting a loan application and other fees.
(13) The Contracting Party reserves the right to:
(a) changes in the amounts and dates on which the loan instalments are drawn down or the amount of credit reduced, at no additional cost, by means of an addendum to the agreement,
(b) early repayment of the credit without additional costs related to early repayment.
14) The contracting authority reserves the right to early repayment of principal. A bank may not claim interest other than on outstanding capital. The rescheduling of principal repayments should take place without additional charges.
15) The Bank may not require the Contracting Authority to take over the current account (the credit agreement may not be combined with the current account management agreement).
(16) Credit security shall be provided by:
(a) the guarantee of a loan to the Company by the City Council of Głogowa,
(b) the promise of a mortgage and, after the construction of the bus depot in Głogowo, a mortgage on the buildings built,
(C) a blank promissory note with a promissory note declaration signed by the Chairman of the Management Board.
(17) For the preliminary examination of the contracting authority’s creditworthiness by the Bank, the following documents are made available on the Public Information Bulletin at www.km.glogow.pl:
(a) Resolution of the City Council of Głogow on a guarantee for the Company to take out a loan,
(18) The Contractor may not subcontract the execution of the contract to subcontractors.

66113000 - Credit granting services