Swap Exposure Sample Clauses
The Swap Exposure clause defines how the parties measure and manage the financial risk arising from their swap transactions. It typically outlines the methods for calculating exposure, such as using mark-to-market values or specified formulas, and may set limits or require collateral to mitigate potential losses. This clause is essential for ensuring both parties understand their ongoing obligations and for controlling credit risk associated with fluctuations in the value of swaps.
Swap Exposure. During the entire Security Period the Swap Exposure shall be secured by the security listed in Clause 12 hereof, provided, however, that all moneys received by the Lenders under this Agreement and the Security Documents set forth in this Clause 12 shall be applied in accordance with Clause 10.9.
Swap Exposure. Parent shall not, and shall not permit any of its Subsidiaries to, enter into or become liable in respect of any Interest Hedge Agreement other than (a) with respect any Interest Hedge Agreement entered into solely to manage risk associated with interest to accrue with respect to Funded Debt of Parent or such Subsidiary of Parent, Interest Hedge Agreements pursuant to which the aggregate notional amount (together with the aggregate notional amount of all other Interest Hedge Agreements) does not exceed the aggregate principal amount of all Funded Debt, (b) the Currency Swap (1998) (excluding any amendment which increases the obligations of CA Canada), and (c) other Interest Hedge Agreements entered into by Parent or any of its Subsidiaries solely to manage risk associated with interest rate and currency value fluctuations (and not for any speculative purpose such as making a profit (or incurring a loss) solely as a result of interest rate or currency value fluctuations or timing of payments).
(l) Section 5.20(b) is deleted and the following is substituted in lieu thereof:
Swap Exposure. Parent shall not, and shall not permit any of its Subsidiaries to, enter into or become liable in respect of any Interest Hedge Agreement pursuant to which the aggregate notional amount (together with the aggregate notional amount of all other Interest Hedge Agreements) exceeds the aggregate principal amount of all Advances.
Swap Exposure. Enter into (i) any program for reducing exposure to currency exchange fluctuations or (ii) any program for hedging of interest rate risk covering Borrowed Money Indebtedness unless, in either such case, such program is entered into for protection against currency exchange or interest rate risks, and not for speculative purposes.