# Internal lender waiver policy

FICTIONAL EXERCISE POLICY. Effective January 1, 2026 through December 31, 2026. Applies to Evergreen Precision Works, Inc. and the request dated September 2, 2026.

## LQ-1 — Scope and verification

For a waiver limited to the single August 31, 2026 minimum-liquidity test, calculate historical Liquidity from the agreement's definition and source records. Define shortfall as the greater of zero and the applicable minimum minus verified Liquidity. Do not use later cash releases or unsupported borrower calculations to reduce the historical shortfall.

## LQ-2 — Internal authority

The deal team may consider a first minimum-liquidity waiver only when the verified shortfall is no greater than USD 2.0 million, no other Event of Default is continuing, and no waiver has been approved by this desk during the preceding twelve months.

A verified shortfall greater than USD 2.0 million must be referred to Investment Committee. A request to change payment dates or make an additional distribution must also be referred to Investment Committee. These are explicit internal authority rules; exceeding a threshold is not itself proof that a waiver should be granted.

## LQ-3 — Missing evidence and human decision

If missing records prevent a reliable calculation of Liquidity or prevent determining whether an authority condition is satisfied, obtain those records before recommending an approval route based on the numerical shortfall. An independently established mandatory escalation trigger may still be referred with its unresolved facts identified. Missing evidence by itself is not an instruction to guess Investment Committee routing.

All outputs from the reviewing agent are proposals. The authorized human decision and any separate written lender consent remain necessary. This policy does not grant a waiver.