Gresham Capital CLO IV B.V. - Irish Stock Exchange

(a) is a Business Day;
(b) is or falls after the relevant due date for payment or, if the due date is not or was not a Business Day in
The Netherlands, is or falls after the next following Business Day which is a business day in The
Netherlands; and
(c) is a Business Day in the place in which the account specified by the payee is open.
“Principal Balance” means, with respect to any Collateral Debt Security, Eligible Investment or any
Defaulted Equity Security, as of any date of determination, the outstanding principal amount thereof
(excluding any capitalised interest accruing after the purchase of such Collateral Debt Security); provided,
however, that:
(a) the Principal Balance of any Defaulted Equity Security shall be deemed to be zero;
(b) unless otherwise specified, the Principal Balance of:
(i)
(ii)
any Collateral Debt Security received upon acceptance of an Offer for another Collateral Debt
Security which Offer expressly states that failure to accept such Offer may result in a default
under the Collateral Debt Security or applicable Underlying Instruments; or
any Collateral Debt Security which is or has become a Non-Performing Security,
shall be the lesser of its Market Value and the applicable Recovery Percentage multiplied by the principal
balance of each such Collateral Debt Security;
(c) the Principal Balance of any Collateral Debt Security that is a Synthetic Security or a Participation or
Collateral Debt Security loaned pursuant to a Securities Lending Agreement shall be deemed to be the
principal or notional amount of such Synthetic Security or Participation or Collateral Debt Security
loaned pursuant to a Securities Lending Agreement (in the case of a Synthetic Security, as reduced
from time to time in accordance with the terms thereof including as a result of the occurrence of any
“credit event” thereunder) unless either (i) the Collateral Manager or the Rating Agencies determines
otherwise and the Rating Agencies confirm that such determination will not adversely affect the ratings
assigned to the Senior Notes and the other Rated Notes; or (ii) if the Reference Obligation or
underlying Collateral Debt Security in respect thereof is a Collateral Debt Security which falls within
(a) and (b) above, in which event the Principal Balance shall be deemed to be zero until such time as
Interest Proceeds or Principal Proceeds, as applicable, are received in cash when due with respect to
such Collateral Debt Security;
(d) the Principal Balance of any PIK Security will include any amount of such PIK Security representing
previously deferred or capitalised interest (excluding any deferred interest which has been capitalised
and/or accrued up to the date of acquisition thereof);
(e) the Principal Balance of any cash shall be the amount of such cash; and
(f)
the Principal Balance of a Non-Euro Collateral Debt Security the subject of an Asset Swap Transaction
shall be an amount equal to the notional amount of such Asset Swap Transaction.
The Principal Balance of a Sterling Collateral Debt Security shall be converted into Euro at the Issue Date
Spot Rate and the Principal Balance of a Non-Euro Collateral Debt Security shall be converted into Euro at
the Asset Swap Transaction Exchange Rate, provided that for the purposes of calculating the Coverage
Tests, the Reinvestment OC Test and any Collateral Quality Test, the Principal Balance of a Sterling
Collateral Debt Security shall be converted into Euro at the Spot Rate.
“Principal Collection Account” means Euro account so named of the Issuer held with the Account Bank
into which Euro Principal Proceeds are to be paid.
“Principal Proceeds” means the Euro Principal Proceeds and the Sterling Principal Proceeds.
“Priorities of Payment” means:
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