Physical Settlement Entitlement definition
Physical Settlement Entitlement means, in respect of each Note, a pro rata share of the amount of the Deliverable Obligations deliverable to, or to the order of, the Issuer pursuant to the Credit Default Swap. If the aggregate Physical Settlement Entitlement of a Noteholder in respect of all of its Notes is not a transferable amount of the Deliverable Obligations, the Issuer shall deliver an amount of Deliverable Obligations equal to such Physical Settlement Entitlement rounded down to the nearest whole Deliverable Obligation and shall pay such Noteholder a cash amount (converted if necessary into the currency of issue of the Notes at the then prevailing spot rate) equal to the market value of the remainder of the Physical Settlement Entitlement, as determined by the Swap Counterparty in its absolute discretion and references to the “Physical Settlement Entitlement” shall include any such cash amount.
Physical Settlement Entitlement means, in respect of each Note, a pro rata share of the Collateral Nominal Amount of the Collateral. If the aggregate Physical Settlement Entitlement of a Noteholder in respect of all of its Notes is not a transferable amount of the Collateral, the Issuer shall deliver an amount of Collateral equal to such Physical Settlement Entitlement rounded down to the nearest whole Collateral and shall pay such Noteholder a cash amount (converted if necessary into the currency of issue of the Notes at the then prevailing spot rate) equal to the market value of the remainder of the Physical Settlement Entitlement, as determined by the Swap Counterparty in its absolute discretion and references to the “Physical Settlement Entitlement” shall include any such cash amount. If the Collateral is redeemed for any reason prior to physical delivery thereof to the Noteholders, the Physical Settlement Entitlement of each Note shall comprise such Note’s pro rata share of the redemption proceeds thereof.