Common use of Allocation of Calculated Recovery Principal to the Reference Tranches Clause in Contracts

Allocation of Calculated Recovery Principal to the Reference Tranches. On each Payment Date on or prior to the Termination Date, after the allocation of the Calculated Tranche Write-down Amount and Principal Reduction Amount, if any, for that Payment Date as described above, the Calculated Recovery Principal, if any, for that Payment Date shall be allocated to reduce the Class Notional Amount of each Class of Reference Tranche in the following order of priority, in each case until its Class Notional Amount is reduced to zero: (i) first, to the Class A-H Reference Tranche, and (ii) second, to the Class B Reference Tranche.