Collateral Substitution definition

Collateral Substitution has the meaning specified in Section 3.13.

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Collateral Substitution means (i) with respect to a Corporate Unit, (x) the substitution for the Pledged Senior Note included in such Corporate Unit by Treasury Securities or portions thereof in an aggregate principal amount at maturity equal to the aggregate principal amount of such Pledged Senior Note, or (y) the substitution for the Pledged Applicable Ownership Interest in the Treasury Portfolio included in such Corporate Unit by Treasury Securities or portions thereof in an amount equal to such Pledged Applicable Ownership Interest in the Treasury Portfolio, or (ii) with respect to a Treasury Unit, (x) the substitution for the Pledged Treasury Securities included in such Treasury Unit (if the Applicable Ownership Interest in the Treasury Portfolio has not replaced the Senior Note as a component of the Corporate Unit) by Senior Notes in an aggregate principal amount equal to the aggregate principal amount at stated maturity of the Pledged Treasury Securities, or (y) the substitution for the Pledged Treasury Securities included in such Treasury Unit (if the Applicable Ownership Interest in the Treasury Portfolio has replaced the Senior Note as a component of the Corporate Unit) by the appropriate Applicable Ownership Interest in the Treasury Portfolio.

Collateral Substitution means the substitution of the pledged components of one type of Unit for pledged components of the other type of Unit (i.e., either Corporate Unit or Treasury Unit) in connection with the creation or recreation of Treasury Units or Corporate Units, as described in Section 3.13 and Section 3.14.

Examples of Collateral Substitution in a sentence

• Subject to, and in compliance with, the terms and conditions set forth in the Purchase Contract and Pledge Agreement, the Holder of Treasury Units may effect a Collateral Substitution.

• From and after such substitution, each Unit for which Pledged Applicable Ownership Interests in Notes secure the Holder’s obligation under the Purchase Contract shall be referred to as a “Corporate Unit.” Subject to certain exceptions described in the Purchase Contract and Pledge Agreement, a Holder may make such Collateral Substitution only in integral multiples of 40 Treasury Units for 40 Corporate Units.

• Holders who elect to separate the Notes by substituting Treasury Securities for Applicable Ownership Interests in Notes shall be responsible for any taxes, governmental charges or other fees or expenses (including, without limitation, fees and expenses payable to the Collateral Agent) attributable to such Collateral Substitution, and neither the Company nor any Agent shall be responsible for any such taxes, governmental charges or other fees or expenses.

• Holders who elect to recreate Corporate Units shall be responsible for any taxes, governmental charges or other fees or expenses (including, without limitation, fees and expenses payable to the Collateral Agent) attributable to such Collateral Substitution and neither the Company nor any Agent shall be responsible for any such taxes, governmental charges or other fees or expenses.

More Definitions of Collateral Substitution

Collateral Substitution means the substitution of Treasury Securities, for a Holder's Debt Securities, pursuant to Section 3.13 of this Agreement and Section 5.2 of the Pledge Agreement, and the substitution of a Holder's Debt Securities for Treasury Securities, pursuant to Section 3.14 of this Agreement and Section 5.3 of the Pledge Agreement.

Collateral Substitution means (i) with respect to the Corporate Units, the substitution of the Pledged Applicable Ownership Interests in Notes included in such Corporate Units with Treasury Securities in an aggregate principal amount at maturity equal to the aggregate principal amount of such Pledged Applicable Ownership Interests in Notes, or (ii) with respect to the Treasury Units, the substitution of the Pledged Treasury Securities included in such Treasury Units with Notes in an aggregate principal amount equal to the aggregate principal amount at stated maturity of the Pledged Treasury Securities.

Collateral Substitution has the meaning set forth in the Purchase Contract and Pledge Agreement.

Collateral Substitution means (i) with respect to a Normal Unit, (x) the substitution for the Pledged Applicable Ownership Interest in Senior Notes included in such Normal Unit by Treasury Securities in an aggregate principal amount at maturity equal to the aggregate principal amount of Senior Notes underlying such Pledged Applicable Ownership Interest in Senior Notes, or (y) the substitution for the Pledged Applicable Ownership Interest in the Treasury Portfolio included in such Normal Unit by Treasury Securities in an aggregate principal amount at maturity equal to the aggregate principal amount at maturity of such Pledged Applicable Ownership Interest in the Treasury Portfolio, or (ii) with respect to a Stripped Unit, (x) the substitution for the Pledged Treasury Securities included in such Stripped Unit (if the Applicable Ownership Interest in the Treasury Portfolio has not replaced the Applicable Ownership Interest in Senior Notes as a component of a Normal Unit) by Senior Notes having an aggregate principal amount equal to the aggregate principal amount at stated maturity of the Pledged Treasury Securities, or (y) the substitution for the Pledged Treasury Securities included in such Stripped Unit (if the Applicable Ownership Interest in the Treasury Portfolio has replaced the Applicable Ownership Interest in Senior Notes as a component of a Normal Unit) by the appropriate Applicable Ownership Interest in the Treasury Portfolio.

Collateral Substitution means (i) with respect to the Corporate Units, the substitution of the Pledged Applicable Ownership Interests in Debentures included in such Corporate Units with Treasury Securities in an aggregate principal amount at maturity equal to the aggregate principal amount of such Pledged Applicable Ownership Interests in Debentures, or (ii) with respect to the Treasury Units, the substitution of the Pledged Treasury Securities included in such Treasury Units with Debentures in an aggregate principal amount equal to the aggregate principal amount at stated maturity of the Pledged Treasury Securities.

Collateral Substitution means the substitution of the pledged components of one type of Security for pledged components of the other type of Security in connection with establishment or reestablishment of Growth PRIDES or Income PRIDES, as described in Sections 3.13 and 3.14 hereof.

Collateral Substitution means (i) with respect to the Corporate Units, the substitution of each 10 Pledged Applicable Ownership Interests in Convertible Preferred Stock included in such Corporate Units with a Treasury Security or (ii) with respect to the Treasury Units, the substitution of a Treasury Security with a share of Convertible Preferred Stock for each 10 Treasury Units for which Collateral Substitution is being effected.