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12.04. Division of Award: The Lessor and the Lessee shall each be entitled to receive and retain separate <br />awards, or portions of lump sum awards, as are allocated to their respective interests in the <br />condemnation proceeding. Without limiting the generality of the preceding sentence, the Lessor <br />has no interest in any award made to Lessee for Lessee's moving and relocation expenses or for <br />the loss of Lessee's leasehold interest, fixtures, and other tangible personal property if a separate <br />award for such items is made to Lessee. The tennination of this Lease under this Paragraph shall <br />not affect the rights of the respective parties to such awards. <br />ARTICLE 13: DAMAGE BY CASUALTY <br />13.01. The Lessee shall give immediate verbal notice, and prompt written notice to the Lessor of any <br />damage caused to the Leased Premises by fire or other casualty. <br />13.02. In the event that any improvements on the Leased Premises are damaged or destroyed by fire or <br />other casualty covered under insurance, and the Lessee does not elect to terminate the Lease, the <br />Lessee shall proceed at its sole cost and expense to promptly and diligently rebuild and repair the <br />improvements. If the facility is damaged or destroyed by fire or other casualty that renders more <br />than fifty percent (50%) of the floor area of the hangar/facility unusable, then the Lessee may elect <br />either to terminate this Lease or to proceed to rebuild and repair the hangar/facility. The Lessee <br />shall give written notice to the Lessor of this election within ninety (90) days after the occurrence <br />of the casualty. If the Lessee elects to rebuild and repair, it shall proceed to do so with diligence <br />and at its sole cost and expense. If Lessee elects to terminate the Lease, Lessor may at its option <br />require Lessee to remove all remaining improvements and debris, and restore the Leased Premises, <br />at the Lessee's expense, as required at the expiration at the tern of the Lease, in accordance with <br />Article 4. <br />13.03. During any period of reconstruction or repair of the hangar/facility on the Leased Premises, this <br />Lease shall continue in full force and effect except that the rental shall be abated for the length of <br />time necessary for the reconstruction or repairs in proportion to the amount of floor area of the <br />Leased Premises rendered unusable, but there shall be no abatement of any other amounts payable <br />by the Lessee under the terms of this Lease. <br />13.04. Lessee shall maintain insurance coverage to cover all improvements on the Leased Premises against <br />perils of fire, explosion, wind, and storms. The amount of coverage provided under such policy <br />shall be reviewed and modified annually, so that the amount of such coverage is at all times 100% <br />of replacement cost (without deduction for depreciation). At all times during the lease term, Lessee <br />shall cause evidence of such coverage to be deposited with Lessor and Airport Manager which shall <br />include a certificate of insurance stating that the policy will not cancelled without prior notice to <br />Lessor and Airport Manager. <br />Page 15 of 21 <br />