Exhibit 10.1
Approval Notice of Credit Line
I. Regarding the related transactions between your company and the Bank, the transaction conditions approved by the Bank are as follows:
Amount Unit: one thousandNTD
| Transaction Type | Credit Line | Interest Rate | Usage/Note |
1.General credit extension comprehensive credit line | 300,000 | | |
(1) Short term loan - Import0/A | (300,000) | Negotiable on a case-by-case basis | 1.Revolving loans 2. 120-dayrepayment period 3.The current reference rate for120-day period is1.95% 4.A copy of theInvoice must be obtained before the loan can be issued; credited in full amount; the remittance restricted only to the suppliers (must not be enterprises/individuals) |
| (2) Short term loan | (100,000) | Negotiable on a case-by-case basis | 1.Revolving loans 2. 90-dayrepayment period 3.The current reference rate for90-day period is2% |
| Total | 300,000 | | 1. Maturity Date:5/31/2019 |
Additional (special) conditions: 1. For case 1, the loan can only be issued once the received remittance (must not be enterprises/individuals) reachesNTD 50,000,000. And starting from the1st day of the month following the loan being issued for the first time, remittances received during each quarter shall reachUSD 10,000,000, so that the loan being issued can exceedNTD 200,000,000 forcase 1. 2. For case 1, starting from the1st day of the month following the loan being issued, the amount of average deposit during each quarter shall take a proportion of30% in the average credit amount, if not,30% of the credit balance shall be collected through the cash deposited in the account or pledge of a a banking deposit. 3. For case 1, an accountant's statement shall be obtained before the loan can be issued, stating that the accountant's check report for the2017 financial statements shall be issued beforeJuly 31, 2018. And your company shall be required to provide the2017 financial statements and the latest interim report of2018 to the Bank beforeJuly 31, 2018. 4.Before the loan can be issued, aletter of responsibility issued byPrime World International Holdings Ltd. shall be required. 5.At the end of each quarter (March,May,August,and November), theApplied Optoelectronics, Inc.'s shareholding in Prime World International Holdings Ltd. shall be checked, which must not be less than100%. |
II. Under the above-mentioned conditions, if there are difficulties obtaining the funds due to market factors, or these conditions cannot properly reflect the costs of the Bank's acquisition for the related funds, the Bank reserves the rights to make the adjustments in a timely manner to the amounts of the loan, usage, and the re-determination of the loan interest rates.
III. We kindly request your company/your good self to check with the relevant documents for signing and other matters.
| | Customer Confirmation with Signature |
| | The company/I have fully understood the above content and agreed that it is a part of the agreement signed with the Bank. |
Kind Regards
Prime World International Holdings Ltd.
Taiwan Branch
Date:June 12,2018
Version1041127
