Template:DRVF 3

3 Payments and Performance of other Obligations

3(1) Each party shall make to the other party each payment owed and perform any other obligation no later than on the Due Dates specif ied in respect of the relevant Transaction.

3(2) All payments shall be made to the payee’s account specified in the contractual currency pursuant to the terms of the Transaction, free of all costs, in the manner customary for payments in such currency and in funds which are freely available on the Due Date.

3(3) If both parties are required to make payments under the Agreement in the same currency on the same day, the party which owes the higher amount shall pay to the other the difference between the amounts owed. The Bank shall, in due time before such payment becomes due, notify the Counterparty of the difference to be paid.

3(4) If a party fails to make a payment in due time, interest shall accrue on the amount outstanding, until such amount is received, at a rate which shall be equal to the interbank interest rate charged by prime banks to each other for call deposits at the place of payment and in the currency of the amount outstanding for each day on which such interest is to be charged, plus the interest surcharge referred to in Clause 12(3). The right to make further claims for damages is not hereby excluded.

3(5) If a Due Date is not a Banking Day, each payment shall be made and any other obligation performed, as specified in the terms of the relevant Transaction, on any of the following:

3(5)(a) the immediately preceding Banking Day, or

3(5)(b) the immediately following Banking Day, or

3(5)(c) if the immediately following Banking Day falls within the next calendar month, the immediately preceding Banking Day.