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<br />For and in consideration of the mutual covenants and <br /> <br />agreements herein contained, the LCRA and Distributor agree <br /> <br />as follows: <br /> <br />1. <br /> <br />Term of Agreement: This agreement shall be for a <br /> <br />term of thirteen (13) <br /> <br />years from the effective date hereof <br /> <br />and successive periods of ten <br /> <br />(10) years thereafter unless <br /> <br />either party has notified the other in writing prior to the <br /> <br />end of the eighth (8) year of the original or any succeeding <br /> <br />term <br /> <br />that <br /> <br />it <br /> <br />intends <br /> <br />to <br /> <br />terminate <br /> <br />this <br /> <br />agreement. <br /> <br />Immediately following the end of the eighth (8) year of the <br /> <br />original <br /> <br />or <br /> <br />any <br /> <br />succeeding <br /> <br />term, <br /> <br />LCRA <br /> <br />will <br /> <br />notify <br /> <br />Distributor <br /> <br />of <br /> <br />the <br /> <br />right <br /> <br />of <br /> <br />termination. <br /> <br />The <br /> <br />initial <br /> <br />thirteen year term will expire on June 25, 1999. <br /> 2. Power Supply: Beginning with the effective date of <br />this agreement and for the term thereof, LCRA will supply <br /> <br />electric power and energy to Distributor for its own use and <br /> <br />for resale to customers of its electric distribution system, <br /> <br />and <br /> <br />Distributor <br /> <br />agrees <br /> <br />to <br /> <br />purchase <br /> <br />from <br /> <br />LCRA, <br /> <br />and <br /> <br />LCRA <br /> <br />agrees to furnish the electric power and energy requirements <br /> <br />of Distributor up to a maximum number of kilowatts <br /> <br />(Kw) <br /> <br />as <br /> <br />set <br /> <br />forth <br /> <br />in <br /> <br />Exhibit <br /> <br />A, <br /> <br />subject <br /> <br />to <br /> <br />all <br /> <br />the <br /> <br />terms <br /> <br />and <br /> <br />conditions of this agreement. <br /> <br />The electric energy to be delivered hereunder shall be <br /> <br />at a frequency of approximately 60 Hertz (cycles per second) <br /> <br />and <br /> <br />shall <br /> <br />be <br /> <br />delivered <br /> <br />at <br /> <br />the <br /> <br />voltage <br /> <br />as <br /> <br />stipulated <br /> <br />in <br /> <br />Exhibit <br /> <br />A <br /> <br />(wi th <br /> <br />reasonable <br /> <br />variations) . <br /> <br />The <br /> <br />points <br /> <br />of <br /> <br />delivery, the delivery voltages, and the contract loads (Kw) <br /> <br />-2- <br />