Agenda

SECTION 3.10. Water Rights, Title to Property, Etc. (A) Obtain and maintain water rights
in such amounts, priorities and qualities as are necessary at all times to meet the needs of its customers,
(8) obtain and maintain title to, valid leasehold interests in, or other valid interests finciuding easements,
licenses and servitudes) in, ail real property oa which all water wells, reservoirs, walter and wastewater
treatment piants, and warehouse and storage facilities ave located, (C) keep all water rights and discharge

(D) Annual Budgets. As soon as available, but in no event more than 90 days after
the beginning of each fiscal year of the Company, an annual budget and forecast of operations and capital
expenditures for the Company for such year, which budget must be in form and content reasonably
acceptable to CoBank.

SECTION 5.03. Insurance. Maintain insurance with financially sound and reputable
insurance companies or associations reasonably acceptable to CoBank in such amounts and covering
such risks as are usually carried by companies cngaged in the same business and similarly situated, and
make such increases in the amounts or coverage thereof as CoBank may from time to time require.
Without limiting the foregoing. in the event any property of the Company is located in a flaad zone, then

reasonable and realistic, and no fact has come to light, and no event has occurred. which would cause any
material assumption made therein to not be reasonable or realistic.

SECTION 4.08. Compliance with Law. Al: of the Company's properties and ail of its
Operations, are in compliance in ail material respects with 2] Laws. Without limiting the foregoing, al!
property owned or leased by the Company, all property proposed fo be acquired with the proceeds of the
Promissory Note and Supplement, and ali operations conducted thereon on al! such property, are in
compliance in ail material respects with ali Laws relating to the environment

satisfied all conditions and requirements set forth in the Promissory Note and Supplement relazing to that
loan.

ARTICLE 4
REPRESENTATIONS AND WARRANTIES

Te induce CoBank to enter into and make loans under each Promissery Note and Suppiement,
the Company represenzs and warrants that:

attaching and certifying as to each of the following, all of which must be in form and content acceptabie
to CoBank: (1) the Articles of Incorporation of the Company, certified by the Secretary of State of New
Hampshire within 30 days of the date hereof; (2) the Bylaws of the Company; and (3) a certificate of the
Secretary of State of New Hampshire issued within 30 days of the date hereof attesting to the duc
formation and good standing of the Company in the State of New Hampshire.

SECTION 2.63. Method of Payment. The Company shall make ail payments to CoBank
under this Agreement and each Promissory Notc and Supplement hereto by wire transfer of immediately
available funds, by check, or, if specified by separate agreement between the Company and CoBank, by
automated clearing house (ACH) or other similar cash handling processes. Wire transfers sha'l be made
to ABA No. 307088754 for advice to and credit of “CoBANK"” (or to such other account as CoBank may

Attachment A

MLA No. RX0848
MASTER LOAN AGREEMENT

THIS MASTER LOAN AGREEMENT (this “Agreement”) is entered into as of February 9,
2010, between PENNICHUCK EAST UTELITY, INC., a New Hampshire corporation (the
“Company"}, and CoBANK, ACB, a federally chartered instrumentality of the United States
(*CoBank”).

BACKGROUND

ATTACHMENT A

Master Loan Agreement between
Pennichuck East Utility, Inc. and CoBank, ACB