June 1, 2004
Interwoven, Inc.
803 11th Street
Sunnyvale, CA  94089
This letter is to confirm that WELLS FARGO BANK, NATIONAL ASSOCIATION (”Bank”),
subject to all terms and conditions contained herein, has agreed to make
available the credit described below to INTERWOVEN, INC. (”Borrower”):
1. A commitment for the issuance of standby letters of credit for the account of
Borrower (each, a “Letter [...]

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Understanding and Using Letters of Credit, Part I
Letters of credit accomplish their purpose by substituting the credit of the bank for that of the customer, for the purpose of facilitating trade. There are basically two types: commercial and standby. The commercial letter of credit is the primary payment mechanism for a transaction, whereas the standby [...]

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Understanding and Using Letters of Credit, Part II
CRF thanks Ron Borcky for his development of this section
Purpose
The purpose of this document is to provide a general understanding of letters of credit, their use and application. The topics covered are the following:

General background information;
Types of letters of credit;
Common problems with letters of credit;
Procedures for establishing letters [...]

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Letter of credit
After a contract is concluded between buyer and seller, buyer’s bank supplies a letter of credit to seller.
Seller consigns the goods to a carrier in exchange for a bill of lading.
Seller provides bill of lading to bank in exchange for payment. Seller’s bank exchanges bill of lading for payment from buyer’s bank. Buyer’s [...]

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