PRILIMINARY OFFIC STATEMENT 11-15-2001 44.

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Amounts shall be deposited in the Repair and Replacement Fund as provided in Section 5.01 of the Indenture. On any date on which amounts in the Repair and Replacement Fund are less than the amount required to be deposited therein,the amount of such deficiency (to the extent of available funds and after any transfers required to be made to the Senior Debt Service Account, the Taxes and Insurance Fund or the Debt Service Reserve Fund) shall be transferred: first, from amounts in the Surplus Fund, second, from amounts in the Subordinate Debt Service Account,and third,from amounts in the Operating Reserve Fund. The Trustee shall deposit in the Repair and Replacement Fund all amounts paid by the Borrower under Section 4.02(d)of the Loan Agreement and all other amounts required to be deposited into the Repair and Replacement Fund under the Indenture or the Loan Agreement. Amounts shall be transferred to the Senior Debt Service Account for the payment of principal,premium or interest on the Senior Bonds,to the Taxes and Insurance Fund,and to the Debt Service Reserve Fund. In addition,if a Majority of Holders shall consents or if(i) no Event of Default has occurred and is continuing,(ii)all reports of the Borrower required to be provided to the Trustee under Section 6.02 of the Loan Agreement have been so provided, and iii) the budget as required by the Loan Agreement has been provided to the Trustee and the Original Purchaser, and (iv) all deposits to the Taxes and Insurance Fund., the Bond Fund and its accounts, the Debt Service Reserve Fund, and the Repair and Replacement Fund are current (or credit for such deposits shall have been given in accordance herewith for other amounts in such funds),the Trustee shall disburse any amount in the Repair and Replacement Fund to the Borrower or the Manager to pay any costs of capital improvements or extraordinary items of maintenance with respect to the Project Facilities upon the Trustee's receipt of written certification by the Authorized Borrower Representative that amounts therefor are due and payable, and a written statement from an independent certified public accounting firm that such costs are properly payable from the Repair and Replacement Fund. Amounts may also be disbursed to the Borrower to reimburse such costs previously paid by or on behalf of the Borrower (but only if the payment of such costs was not credited against a Monthly Repair and Replacement Deposit otherwise due under Section 5.01(a) of the Indenture). Operating Reserve Fund On the Date of Issuance, the Trustee shall deposit in the Operating Reserve Fund a bank letter of credit equal to the Operating Reserve Requirement. Such bank letter of credit will have a stated expiration date of April 1, 2003. Commencing after the Date of Issuance, the Trustee shall deposit to Operating Reserve Fund (i) all rental income and fees arising from the operation of the Project Facilities and received on or before April 1,2003, and(ii) the amounts transferred from the Revenue Fund, until such deposits equal the Operating Reserve Requirement. As amounts are deposited therein,the stated amount of the bank letter of credit will be reduced by a corresponding amount, and the Trustee will release such portion of the bank letter of credit from the Trust Estate. If the rental income and the transfers from the Revenue Fund do not equal the Operating Reserve Requirement and are not sufficient to fully replace the bank letter of credit on April 1, 2003, the Manager shall loan the difference to the Borrower,who shall transfer the proceeds of the loan to the Trustee