Agenda - Council - 07/12/2022 - Laserfiche WebLink

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future claims for accidents at the School Facilities' site and the extent of insurance coverage for such claims; and other risks discussed in this Official Statement. No representation or assurance can be given that the Company will realize revenues in amounts sufficient to make the required payments under the Loan Agreement or that the Charter School will realize revenues in an amount sufficient to make the required payments under the Leases. No market study or demand analysis has been prepared for the Charter School to analyze the existing or future demand for the Charter School's educational services. The realization of future Revenues is dependent upon, among other things, the matters described in the foregoing paragraphs and future changes in economic and other conditions that are unpredictable and cannot be determined at this time. The Underwriter makes no representation as to the accuracy of the projections contained herein or as to the assumptions on which the projections are based. Additional Indebtedness The Loan Agreement places certain restrictions on the incurrence of indebtedness by the Company and requires the Company to impose certain restrictions on the Charter School pursuant to the Leases or the Pledge Agreement. The Company has covenanted in the Loan Agreement that it will not incur any indebtedness other than the Series 2022 Bonds or Additional Bonds issued pursuant to the Indenture without the prior written consent of the Majority Bondholder, and amendment to the Pledge Agreement and the Mortgage providing for such additional Indebtedness. In the Pledge Agreement, the Charter School has covenanted that it will only incur Long-Term Indebtedness, Short-Term Indebtedness, or Purchase Money Indebtedness in accordance with the restrictions imposed by the Loan Agreement and Pledge Agreement. See"SECURITY FOR THE SERIES 2022 BONDS—Additional Bonds"and"—Additional Indebtedness" in this Official Statement. Cybersecurity Risks The Charter School's services and systems may be critical to operations or involve the storage, processing and transmission of sensitive data, including valuable intellectual property, other proprietary or confidential data, regulated data, and personal information of employees, students and others. Successful breaches,employee malfeasance,or human or technological error could result in,for example,unauthorized access to, disclosure,modification, misuse, loss, or destruction of the Charter School's or other third party data or systems; theft of sensitive, regulated, or confidential data including personal information and intellectual property; the loss of access to critical data or systems; service or system disruptions or denials of service. Summary The foregoing is intended only as a summary of certain risk factors attendant to an investment in the Series 2022 Bonds. In order for potential investors to identify risk factors and make an informed decision, potential investors should be thoroughly familiar with this entire Official Statement and the appendices hereto. CHARTER SCHOOL FUNDING IN MINNESOTA State Payments As further described in "APPENDIX B — MINNESOTA LAWS RELATING TO CHARTER SCHOOLS — Funding for Charter Schools," State charter schools receive funding from state, local, and federal sources. The primary source of funding for State charter schools is State funding. The various 37