Template:Nutshell 2002 ISDA Applicable Deferral Rate

“Applicable Deferral Rate” means:—

(a) under Section 9(h)(i)(3)(A) [payments deferred under Section 2(a)(iii)], the rate, reflecting prevailing market conditions, the payer certifies it was offered by a major bank it selected in good faith in the interbank market for overnight deposits in the applicable currency;

(b) under Section 9(h)(i)(3)(B) [payments deferred during a Waiting Period] and clause (a)(iii) of Applicable Close-out Rate, the rate, reflecting prevailing market conditions, the payer certifies it was offered by a major bank it selected in good faith in consultation with the other party in the interbank market for overnight deposits in the applicable currency; and

(c) under Section 9(h)(i)(3)(C) [payments not made after a Waiting Period expires while the Illegality or Force Majeure subsists] and clauses (a)(iv), (b)(i)(3) and (b)(ii)(l) of Applicable Close-out Rate, the arithmetic mean of the rate determined pursuant to clause (a) above and an annual rate equal to the cost certified by the relevant payee if it were to fund or of funding the relevant amount.