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2006-07-20 LOC Notice of Extension 401I A\Ibertville SmaV Town living. Ift titV Ufs. 5975 Main Avenue NE P.O. Box 9 Albertville, MN 55301 July 20, 2006 Sterns Bank NA 4191 2"d Street South St. Cloud, MN 56301 RE: Extension of Letter of Credit No. 401 Dated June 16, 2005 Finken Water, Prairie Run Dear Steve Domine: Our records indicate that the letter of credit for this agreement is expired and notification was sent. Therefore, accept this as an official notification that the City of Albertville is giving notice to extend the Letter of Credit No. 401 for one (1) year in the amount of One Hundred One Thousand Eight Hundred Seventy -Six and 00/100 Dollars ($101,876.00). The City of Albertville understands there is a letter requesting reduction, but until that is authorized the required letter of credit must be the full amount. Submit the new letter of credit to the City of Albertville immediately. If the City of Albertville doesn't not receive the letter of credit by July 25, 2006 we will consider the development agreement in default and will turn it over to the City Attorney. Please be advised if this is turned over to the attorney all attorney costs will be the responsibility of the developer. Should you have any questions or if the letter of credit cannot be submitted to the City of Albertville by the set date, please contact Tina at (763) 497-3384. Sincerely, Tina L. Lannes Finance Director Cc: Mike Couri, City Attorney Finken Water 3423 County Road 74 P O Box 7190 St. Cloud, MN 56301