Template:Nutshell 2016 CSA 10

Paragraph 10. Definitions
In this Annex:
Template:Nutshell 2016 CSA Base Currency “Base Currency Equivalent” of an amount in a currency other than the Base Currency (the “Other Currency”) is the amount of Base Currency the Valuation Agent determines is needed to buy that Other Currency amount at the prevailing spot exchange rate on the Valuation Date.
A Transferor’s “Credit Support Balance (VM)” on a Valuation Date is the aggregate of all Eligible Credit Support (VM) that it has transferred to the Transferee (including any Distributions or redemption proceeds) as reduced by any Return Amounts transferred under Paragraph 2(b), exchanges made under Paragraph 3(c)(ii) or the default provisions under Paragraph 6 and as adjusted for interest accrual under Paragraph 5(c)(ii). Any Equivalent Distributions not transferred when due under Paragraph 5(c)(i) will form part of the Credit Support Balance (VM).
Template:Nutshell 2016 CSA Credit Support Eligibility Condition (VM) Template:Nutshell 2016 CSA Delivery Amount (VM) Template:Nutshell 2016 CSA Delivery Amount Reduction (VM) Template:Nutshell 2016 CSA Disputing Party Template:Nutshell 2016 CSA Distributions Template:Nutshell 2016 CSA Distributions Date “Eligible Credit Support (VM)” means, for a party, the items specified for that party in Paragraph 11(c)(ii), and where any securities are specified, includes their redemption proceeds.
Template:Nutshell 2016 CSA Eligible Currency Template:Nutshell 2016 CSA Eligible Return Amount (VM) Template:Nutshell 2016 CSA Equivalent Credit Support (VM) Template:Nutshell 2016 CSA Equivalent Distributions Template:Nutshell 2016 CSA Exchange Date A party’s “Exposure” means the amount it would pay (a positive Exposure) or receive (a negative Exposure) if all Covered Transactions other than this Credit Support Annex were terminated as at the Valuation Time following a Termination Event where the other party was the One Affected Party, the Base Currency was the Termination Currency and the Valuation Agent made the valuations on the party’s behalf using mid-market estimates of the amounts that would be required under the ISDA Master Agreement.
Template:Nutshell 2016 CSA Fungible Credit Support Type Template:Nutshell 2016 CSA FX Haircut Percentage Template:Nutshell 2016 CSA Interest Adjustment Reduction Amount (VM) Template:Nutshell 2016 CSA Interest Amount (VM) “Interest Payee (VM)” means the one who is not the Interest Payer (VM).
“Interest Payer (VM)” means the Transferee, unless “Negative Interest” applies in Paragraph 11(g)(iii) and there is a negative Interest Payment (VM) payable, in which case it will be the Transferor.
Template:Nutshell 2016 CSA Interest Payment (VM) “Interest Period” means the period from and including the date on which a Credit Support Balance (VM) is first transferred to a party to but excluding the first day on which interest becomes due on (or is applied to) that Credit Support Balance (VM), and from (and including) that day to but excluding the next one.
Template:Nutshell 2016 CSA Interest Rate (VM) Template:Nutshell 2016 CSA Legal Eligibility Requirements Template:Nutshell 2016 CSA Legal Ineligibility Notice “Local Business Day” means:

(i) Dematerialised securities: for securities transfers inside a clearance system, a day on which that clearance system executes settlement instructions;

(ii) Cash and other property: for cash and other transfers, a day on which commercial banks are open where the relevant account is located and in the principal financial centre for any relevant currency;

(iii) Resolution Time: for a Resolution Time, a day on which commercial banks are open in at least one Valuation Date Location for each Party; and

(iv) Notices: for any communication, a day on which commercial banks are open in the place specified for the recipient in the notices section.

Any “Minimum Transfer Amount” for a party will be specified in Paragraph 11. If not specified, it will be zero.
Template:Nutshell 2016 CSA New Credit Support (VM) “Notification Time” means 12 noon, London time, on a Local Business Day, unless otherwise specified in Paragraph 11(d)(iv).
Template:Nutshell 2016 CSA Original Credit Support (VM) Template:Nutshell 2016 CSA Other CSA Template:Nutshell 2016 CSA Other CSA Excluded Credit Support Template:Nutshell 2016 CSA Recalculation Date “Regular Settlement Day” means the Local Business Day on which one demands credit support.
Template:Nutshell 2016 CSA Resolution Time Template:Nutshell 2016 CSA Return Amount (VM) Template:Nutshell 2016 CSA Return Amount Reduction (VM) “Settlement Day” means, for any date:

(i) for cash transfers, the next Local Business Day; and

(ii) for securities transfers, the first Local Business Day after the date in which a securities trade made on that date would customarily settle (or, failing that, on the first Local Business Day after the date on which it is reasonably practicable to deliver the securities).

Template:Nutshell 2016 CSA Total Ineligibility Date “Transferee” means, on a Valuation Date, the party whose Exposure is positive and, who owes a Credit Support Balance (VM) to the other party.
“Transferor” means the guy who isn’t the Transferee.
Template:Nutshell 2016 CSA Transfer Ineligibility Date “Valuation Agent” is defined in Paragraph 11(d)(i).
“Valuation Date” means each day that is a business day in at least one Valuation Date Location for each of the parties.
“Valuation Date Location” is specified for each Party in Paragraph 11(d)(ii).
Template:Nutshell 2016 CSA Valuation Percentage “Valuation Time” means the time at which the Valuation Agent usually values derivatives transactions as at the end of the day (or as it otherwise determines in a commercially reasonable manner).
The “Value” of Eligible Credit Support on any Valuation Date is its Base Currency Equivalent, if cash, and, if securities, the Base Currency Equivalent of the bid price the Valuation Agent obtains, in each case multiplied by (Valuation Percentage – FX Haircut Percentage) (unless there has been a Default, in which case it will be just the Base Currency Equivalent of the amount in question). The Value of cash and securities in a Credit Support Balance that are not Eligible Credit Support at any time will be zero (also unless there has been a Default, in which case their Value will be determined as if they were Eligible Credit Support (VM)).