Derivative Exposure definition
Derivative Exposure in relation to any Person (the “relevant party”) and any counterparty of the relevant party at any time means the amount which would be payable by the relevant party to that counterparty, or by that counterparty to the relevant party, as the case may be, pursuant to all Risk Management Agreements entered into between them and in effect at that time if the transactions governed thereby were to be terminated as the result of the early termination thereof. If the Derivative Exposure would be payable by the relevant party to the counterparty of the relevant party at the relevant time of determination, it is referred to herein as “Out-of-the-Money Derivative Exposure”.
Derivative Exposure means the maximum liability (including costs, fees and expenses), based upon a liquidation or termination as of the date of the applicable covenant compliance test, of any Person under any interest rate swap, collar, cap or other interest rate protection agreements, treasury locks, equity forward contracts, foreign currency exchange agreements, commodity purchase or option agreements or other interest or exchange rate or commodity price hedging agreements.
Derivative Exposure in relation to any person (the “relevant party”) and any counterparty of the relevant party at any time means the amount which is or would be payable by the relevant party to that counterparty, or by that counterparty to the relevant party, as the case may be, pursuant to the agreement governing the Derivatives entered into between them and in effect at that time if those Derivatives have been or were to be terminated at such time. If the Derivative Exposure is payable by the Borrower to any counterparty of the Borrower, it is referred to herein as “Out-of-the-Money Derivative Exposure”. If Derivative Exposure is payable by any counterparty of the Borrower to the Borrower, it is referred to herein as “In-the-Money Derivative Exposure”.
Examples of Derivative Exposure in a sentence
Unless otherwise specified, all calculations of Hedging Transaction Exposure, Special Derivative Exposure, Excess Hedging Transaction Exposure and Excess Special Derivative Exposure will be made by the Group Valuation Agent in accordance with current market and banking practices.
The Payers, NSCFL and the Administration Agent shall consult the Group Valuation Agent to determine if the Aggregate Hedging Transaction Exposure will exceed CAD 150,000,000 or if the Aggregate Special Derivative Exposure will exceed the Permitted Special Derivative Exposure or if there will be any Excess Credit Agreement Exposure Amount.
The Group Valuation Agent shall immediately notify each Hedging Party as soon as the Aggregate Special Derivative Exposure is equal to or exceeds CAD 135,000,000 (or any lower amount established in accordance with Section 5(e) below).
Proceeds paid with respect to the Derivative Exposure Reserve shall be used only in connection with the Borrower’s exposure under BOA Derivative Instruments.
However, the Hedging Transaction Exposure or the Special Derivative Exposure, as applicable, with respect to any particular Hedging Party may be reduced by up to CAD 1,000,000 less than the amount required by the preceding sentence if the Excess Credit Agreement Exposure Amount, the Excess Hedging Transaction Exposure or the Excess Special Derivative Exposure, as applicable, is entirely eliminated as a result of reductions with other Hedging Parties being greater than the required minimums.
More Definitions of Derivative Exposure
Derivative Exposure means the maximum liability (including costs, fees and expenses), based upon a liquidation or termination as of the date of the applicable covenant compliance test, of any Person under any interest rate swap, collar, cap or other interest rate protection agreements, treasury locks, foreign currency exchange agreements, commodity purchase or option agreements or other interest or exchange rate or commodity price hedging agreements. For purposes of purchase obligations, repurchase obligations and forward commitments, the amount of Total Liabilities of a Person at any given time in respect of a contract to purchase real property shall be determined as follows: (x) if, at such time, the seller of such real property would be entitled to specific enforcement of the contract against such Person, then the amount of Total Liabilities shall equal the total purchase price payable by such Person under the contract, otherwise, (y) the amount of Total Liabilities shall equal the aggregate amount of due diligence deposits, ▇▇▇▇▇▇▇ money payments and other similar payments made by such Person under the contract which, at such time, would be subject to forfeiture upon termination of such contract. For purposes of purchase obligations, repurchase obligations and forward commitments, the amount of Total Liabilities of a Person at any given time in respect of a contract to purchase a property being renovated or developed by a third party shall equal the maximum amount reasonably estimated to be payable under such contract during the remaining term of such contract.
Derivative Exposure means an approach which makes reference to the Current Exposure Method (CEM) which is used under the Basel II framework to calculate CCR exposure amounts associated with derivative exposures.
Derivative Exposure means derivatives used for the calculation of the leverage ratio according to the applicable provisions in 2014 and calculated according to Article 429(6-8) of the CRR.
Derivative Exposure for any Person at any time means the amount, if any, which would be payable by such Person to its counterparty (determined by the Agent or (if it is the relevant counterparty) a Hedging Lender in accordance with the Agent's or such Hedging Lender's customary practices) pursuant to Section 6(e) of the Master ISDA Agreement governing such Derivatives in respect of all Derivatives entered into between such Person and such counterparty if an Early Termination Date (as defined in Section 14 of the Master ISDA Agreement) were to occur at such time and such Derivatives were governed by a Master ISDA Agreement;
Derivative Exposure means, for any date with respect to any Derivative Contract, the greater of (a) zero and (b) the amount that would be payable by the Borrower pursuant to such Derivative Contract if all transactions thereunder were being terminated as of such date and without taking into account any margin, collateral or other amounts (however characterized) posted with respect to such Derivative Contract.
Derivative Exposure in relation to any Person (the “relevant party”) and any counterparty of the relevant party at any time means the amount, if any, which is or (as the case may be) would be payable by the relevant party to that counterparty pursuant to the agreement governing the Derivatives entered into between them and in effect at that time if those Derivatives have been or (as the case may be) were to be terminated at such time as the result of the default of the relevant party;
Derivative Exposure for any Person at any time means the amount, if any, which would be payable by such Person to its counterparty (determined in accordance with customary market practices) pursuant to Section 6(e) of the Master ISDA Agreement governing such Derivatives in respect of all Derivatives entered into between such Person and such counterparty if an Early Termination Date (as defined in Section 14 of the Master ISDA Agreement) were to occur at such time as a result of that Person being a Defaulting Party (as defined in said Section 14) and such Derivatives were governed by a Master ISDA Agreement;