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| {{ISDA New York Law Credit Support Annex 2016 12}} | | {{ISDA New York Law Credit Support Annex 2016 12}} |
| {{ISDA New York Law Credit Support Annex 2016 13}} | | {{ISDA New York Law Credit Support Annex 2016 13}} |
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| ===Paragraph {{nyvmcsaprov|6}} '''{{nyvmcsaprov|Holding and Using Posted Collateral (VM)}}'''===
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| {{nyvmcsaprov|6(a)}} '''{{nyvmcsaprov|Care of Posted Collateral (VM)}}'''. Without limiting the {{nyvmcsaprov|Secured Party}}’s rights under Paragraph 6(c), the {{nyvmcsaprov|Secured Party}} will exercise reasonable care to assure the safe custody of all {{nyvmcsaprov|Posted Collateral (VM)}} to the extent required by applicable law, and in any event the {{nyvmcsaprov|Secured Party}} will be deemed to have exercised reasonable care if it exercises at least the same degree of care as it would exercise with respect to its own property. Except as specified in the preceding sentence, the {{nyvmcsaprov|Secured Party}} will have no duty with respect to {{nyvmcsaprov|Posted Collateral (VM)}}, including, without limitation, any duty to collect any {{nyvmcsaprov|Distributions}}, or enforce or preserve any rights pertaining thereto.<br>
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| {{nyvmcsaprov|6(b)}} '''{{nyvmcsaprov|Eligibility to Hold Posted Collateral (VM); Custodians (VM)}}'''.<br>
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| :{{nyvmcsaprov|6(b)(i)}} '''General'''. Subject to the satisfaction of any conditions specified in Paragraph {{nyvmcsaprov|13 }} for holding {{nyvmcsaprov|Posted Collateral (VM)}}, the {{nyvmcsaprov|Secured Party}} will be entitled to hold {{nyvmcsaprov|Posted Collateral (VM)}} or to appoint an agent (a “'''{{nyvmcsaprov|Custodian (VM)}}'''”) to hold {{nyvmcsaprov|Posted Collateral (VM)}} for the {{nyvmcsaprov|Secured Party}}. Upon notice by the {{nyvmcsaprov|Secured Party}} to the {{nyvmcsaprov|Pledgor}} of the appointment of a {{nyvmcsaprov|Custodian (VM)}}, the {{nyvmcsaprov|Pledgor}}’s obligations to make any {{nyvmcsaprov|Transfer}} will be discharged by making the {{nyvmcsaprov|Transfer}} to that {{nyvmcsaprov|Custodian (VM)}}. The holding of {{nyvmcsaprov|Posted Collateral (VM)}} by a {{nyvmcsaprov|Custodian (VM)}} will be deemed to be the holding of that {{nyvmcsaprov|Posted Collateral (VM)}} by the {{nyvmcsaprov|Secured Party}} for which the {{nyvmcsaprov|Custodian (VM)}} is acting.<br>
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| :{{nyvmcsaprov|6(b)(ii)}} '''{{nyvmcsaprov|Failure to Satisfy Conditions}}'''. If the {{nyvmcsaprov|Secured Party}} or its {{nyvmcsaprov|Custodian (VM)}} fails to satisfy any conditions for holding {{nyvmcsaprov|Posted Collateral (VM)}}, then upon a demand made by the {{nyvmcsaprov|Pledgor}}, the {{nyvmcsaprov|Secured Party}} will, not later than five {{nyvmcsaprov|Local Business Day}}s after the demand, {{nyvmcsaprov|Transfer}} or cause its {{nyvmcsaprov|Custodian (VM)}} to {{nyvmcsaprov|Transfer}} all {{nyvmcsaprov|Posted Collateral (VM)}} held by it to a {{nyvmcsaprov|Custodian (VM)}} that satisfies those conditions or to the {{nyvmcsaprov|Secured Party}} if it satisfies those conditions.<br>
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| :{{nyvmcsaprov|6(b)(iii)}} '''Liability'''. The {{nyvmcsaprov|Secured Party}} will be liable for the acts or omissions of its {{nyvmcsaprov|Custodian (VM)}} to the same extent that the {{nyvmcsaprov|Secured Party}} would be liable hereunder for its own acts or omissions.<br>
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| {{nyvmcsaprov|6(c)}} {{nyvmcsaprov|Use of Posted Collateral (VM)}}. Unless otherwise specified in Paragraph {{nyvmcsaprov|13}} and without limiting the rights and obligations of the parties under Paragraphs {{nyvmcsaprov|3}}, {{nyvmcsaprov|4(d)(ii)}}, {{nyvmcsaprov|5}}, {{nyvmcsaprov|6(d)}} and {{nyvmcsaprov|8}}, if the {{nyvmcsaprov|Secured Party}} is not a {{isdaprov|Defaulting Party}} or an {{isdaprov|Affected Party}} with respect to a {{nyvmcsaprov|Specified Condition}} and no {{isdaprov|Early Termination Date}} has occurred or been designated as the result of an {{isdaprov|Event of Default}} or {{nyvmcsaprov|Specified Condition}} with respect to the {{nyvmcsaprov|Secured Party}}, then the {{nyvmcsaprov|Secured Party}} will, notwithstanding Section 9-207 of the New York Uniform Commercial Code, have the right to:<br>
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| :{{nyvmcsaprov|6(c)(i)}} sell, pledge, rehypothecate, assign, invest, use, commingle or otherwise dispose of, or otherwise use in its business any {{nyvmcsaprov|Posted Collateral (VM)}} it holds, free from any claim or right of any nature whatsoever of the {{nyvmcsaprov|Pledgor}}, including any equity or right of redemption by the {{nyvmcsaprov|Pledgor}}; and<br>
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| :{{nyvmcsaprov|6(c)(ii)}} register any {{nyvmcsaprov|Posted Collateral (VM)}} in the name of the {{nyvmcsaprov|Secured Party}}, its {{nyvmcsaprov|Custodian (VM)}} or a nominee for either.<br>
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| For purposes of the obligation to {{nyvmcsaprov|Transfer}} {{nyvmcsaprov|Eligible Credit Support (VM)}} or {{nyvmcsaprov|Posted Credit Support (VM)}} pursuant to Paragraphs 3 and 5 and any rights or remedies authorized under this Agreement, the {{nyvmcsaprov|Secured Party}} will be deemed to continue to hold all {{nyvmcsaprov|Posted Collateral (VM)}} and to receive {{nyvmcsaprov|Distributions}} made thereon, regardless of whether the {{nyvmcsaprov|Secured Party}} has exercised any rights with respect to any {{nyvmcsaprov|Posted Collateral (VM)}} pursuant to (i) or (ii) above.<br>
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| {{nyvmcsaprov|6(d)}} '''{{nyvmcsaprov|Distributions}}, {{nyvmcsaprov|Interest Amount (VM)}} and {{nyvmcsaprov|Interest Payment (VM)}}'''.<br>
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| :{{nyvmcsaprov|6(d)(i)}} '''{{nyvmcsaprov|Distributions}}'''. Subject to Paragraph {{nyvmcsaprov|4(a)}}, if the {{nyvmcsaprov|Secured Party}} receives or is deemed to receive {{nyvmcsaprov|Distributions}} on a {{nyvmcsaprov|Local Business Day}}, it will {{nyvmcsaprov|Transfer}} to the {{nyvmcsaprov|Pledgor}} not later than the following {{nyvmcsaprov|Local Business Day}} any {{nyvmcsaprov|Distributions}} it receives or is deemed to receive to the extent that a {{nyvmcsaprov|Delivery Amount (VM)}} would not be created or increased by that {{nyvmcsaprov|Transfer}}, as calculated by the {{nyvmcsaprov|Valuation Agent}} (and the date of calculation will be deemed to be a {{nyvmcsaprov|Valuation Date}} for this purpose).<br>
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| :{{nyvmcsaprov|6(d)(ii)}} {{nyvmcsaprov|Interest Amount (VM)}} and {{nyvmcsaprov|Interest Payment (VM)}}. Unless otherwise specified in Paragraph {{nyvmcsaprov|13 }} and subject to Paragraph {{nyvmcsaprov|4(a)}}, in lieu of any interest, dividends or other amounts paid or deemed to have been paid with respect to {{nyvmcsaprov|Posted Collateral (VM)}} in the form of {{nyvmcsaprov|Cash}} (all of which may be retained by the {{nyvmcsaprov|Secured Party}}),<br>
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| ::{{nyvmcsaprov|6(d)(ii)(A)}} if “Interest {{nyvmcsaprov|Transfer}}” is specified as applicable in Paragraph {{nyvmcsaprov|13}}, the {{nyvmcsaprov|Interest Payer (VM)}} will {{nyvmcsaprov|Transfer}} to the {{nyvmcsaprov|Interest Payee (VM)}}, at the times specified in Paragraph {{nyvmcsaprov|13}}, the relevant {{nyvmcsaprov|Interest Payment (VM)}}; provided that if “Interest Payment Netting” is specified as applicable in Paragraph {{nyvmcsaprov|13}}: <br>
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| :::{{nyvmcsaprov|6(d)(ii)(A)(I)}} if the {{nyvmcsaprov|Interest Payer (VM)}} is entitled to demand a {{nyvmcsaprov|Delivery Amount (VM)}} or {{nyvmcsaprov|Return Amount (VM)}}, in respect of the date such {{nyvmcsaprov|Interest Payment (VM)}} is required to be {{nyvmcsaprov|Transfer}}red:<br>
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| ::::{{nyvmcsaprov|6(d)(ii)(A)(I)(a)}} such {{nyvmcsaprov|Delivery Amount (VM)}} or {{nyvmcsaprov|Return Amount (VM)}} will be reduced (but not below zero) by such {{nyvmcsaprov|Interest Payment (VM)}}; provided that, in case of such {{nyvmcsaprov|Return Amount (VM)}}, if the amount of {{nyvmcsaprov|Posted Collateral (VM)}} which is comprised of {{nyvmcsaprov|Cash}} in the {{nyvmcsaprov|Base Currency}} is less than such {{nyvmcsaprov|Interest Payment (VM)}}, such reduction will only be to the extent of the amount of such {{nyvmcsaprov|Cash}} which is {{nyvmcsaprov|Posted Collateral (VM)}} (the “'''{{nyvmcsaprov|Eligible Return Amount (VM)}}'''”); and<br>
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| ::::{{nyvmcsaprov|6(d)(ii)(A)(I)(b)}} the {{nyvmcsaprov|Interest Payer (VM)}} will {{nyvmcsaprov|Transfer}} to the {{nyvmcsaprov|Interest Payee (VM)}} the amount of the excess, if any, of such {{nyvmcsaprov|Interest Payment (VM)}} over such {{nyvmcsaprov|Delivery Amount (VM)}} or Eligible {{nyvmcsaprov|Return Amount (VM)}}, as applicable; and<br>
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| :::{{nyvmcsaprov|6(d)(ii)(A)(II)}} if under Paragraph {{nyvmcsaprov|6(d)(ii)(A)(I)(a)}} a {{nyvmcsaprov|Delivery Amount (VM)}} is reduced (the amount of such reduction, the “'''{{nyvmcsaprov|Delivery Amount Reduction (VM)}}'''”) or a {{nyvmcsaprov|Return Amount (VM)}} is reduced (the amount of such reduction, the “'''{{nyvmcsaprov|Return Amount Reduction (VM)}}'''”), then for purposes of determining {{nyvmcsaprov|Posted Collateral (VM)}}, the {{nyvmcsaprov|Secured Party}} (a) will be deemed to have received an amount in {{nyvmcsaprov|Cash}} in the {{nyvmcsaprov|Base Currency}} equal to any{{nyvmcsaprov| Delivery Amount Reduction (VM)}}, and such amount will constitute {{nyvmcsaprov|Posted Collateral (VM)}} in such {{nyvmcsaprov|Cash}} and will be subject to the security interest granted under Paragraph {{nyvmcsaprov|2}} or (b) will be deemed to have {{nyvmcsaprov|Transfer}}red an amount in {{nyvmcsaprov|Cash}} in the {{nyvmcsaprov|Base Currency}} equal to any {{nyvmcsaprov|Return Amount Reduction (VM)}}, as applicable, in each case on the day on which the relevant {{nyvmcsaprov|Interest Payment (VM)}} was due to be {{nyvmcsaprov|Transfer}}red, as applicable; and<br>
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| ::{{nyvmcsaprov|6(d)(ii)(B)}} if “'''{{nyvmcsaprov|Interest Adjustment}}'''” is specified as applicable in Paragraph {{nyvmcsaprov|13}}, the {{nyvmcsaprov|Posted Collateral (VM)}} will be adjusted by the {{nyvmcsaprov|Secured Party}}, at the times specified in Paragraph {{nyvmcsaprov|13}}, as follows:<br>
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| :::{{nyvmcsaprov|6(d)(ii)(B)(I)}} if the {{nyvmcsaprov|Interest Amount (VM)}} for an {{nyvmcsaprov|Interest Period}} is a positive number, the {{nyvmcsaprov|Interest Amount (VM)}} will constitute {{nyvmcsaprov|Posted Collateral (VM)}} in the form of {{nyvmcsaprov|Cash}} in the {{nyvmcsaprov|Base Currency}} and will be subject to the security interest granted under Paragraph {{nyvmcsaprov|2}}; and<br>
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| :::{{nyvmcsaprov|6(d)(ii)(B)(II)}} if the {{nyvmcsaprov|Interest Amount (VM)}} for an {{nyvmcsaprov|Interest Period}} is a negative number and any {{nyvmcsaprov|Posted Collateral (VM)}} is in the form of {{nyvmcsaprov|Cash}} in the {{nyvmcsaprov|Base Currency}}, the {{nyvmcsaprov|Interest Amount (VM)}} will constitute a reduction of {{nyvmcsaprov|Posted Collateral (VM)}} in the form of such {{nyvmcsaprov|Cash}} in an amount (such amount, the “'''{{nyvmcsaprov|Interest Adjustment Reduction Amount (VM)}}'''”) equal to the absolute {{nyvmcsaprov|Value}} of the {{nyvmcsaprov|Interest Amount (VM)}}; provided that if the amount of {{nyvmcsaprov|Posted Collateral (VM)}} which is comprised of such {{nyvmcsaprov|Cash}} is less than the {{nyvmcsaprov|Interest Adjustment Reduction Amount (VM)}}, such reduction will only be to the extent of the amount of such {{nyvmcsaprov|Cash}} which is {{nyvmcsaprov|Posted Collateral (VM)}} and the {{nyvmcsaprov|Pledgor}} will be obligated to {{nyvmcsaprov|Transfer}} the remainder of the {{nyvmcsaprov|Interest Adjustment Reduction Amount (VM)}} to the {{nyvmcsaprov|Secured Party}} on the day that such reduction occurred.<br>
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| ===Paragraph {{nyvmcsaprov|7}} '''{{nyvmcsaprov|Events of Default)}}'''=== | | ===Paragraph {{nyvmcsaprov|7}} '''{{nyvmcsaprov|Events of Default)}}'''=== |