VALLAURIS II CLO PLC - Irish Stock Exchange

Account and the Principal Account and out of which the amounts required to be paid on each
Payment Date each as provided pursuant to the Priorities of Payment shall be paid.
‘‘Payment Date’’ means 26 March and 26 September in each year, commencing 26 March 2007,
the Maturity Date and any Redemption Date. If any Payment Date would otherwise fall on a day
which is not a Business Day, it shall be postponed to the next day that is a Business Day.
‘‘Person’’ means an individual, corporation (including a business trust), partnership, joint
venture, association, joint stock company, trust (including any beneficiary thereof), unincorporated
association or government or any agency or political subdivision thereof.
‘‘Portfolio’’ means the Collateral Debt Obligations, Collateral Enhancement Obligations,
Defaulted Equity Securities and Eligible Investments held by or on behalf of the Issuer from time to
time.
‘‘Portfolio Profile Tests’’ means the Portfolio Profile Tests defined as such in the Collateral
Management Agreement.
‘‘Potential Event of Default’’ means any condition, event or act which, with the lapse of time
and/or the issue, making or giving of any notice, certification, declaration and/or request and/or the
taking of any similar action and/or the fulfilment of any similar condition would constitute an Event
of Default.
‘‘Pre-Approved Form’’ means the form of 1992 ISDA Master Agreement (Multicurrency Cross-
Border) or 2002 ISDA Master Agreement (or such ISDA pro forma Master Agreement as may be
published by ISDA from time to time), together with the Schedule and, where the context admits, the
Confirmations relating thereto to be entered into from time to time between the Issuer and any
Currency Swap Counterparty or, as the case may be, Interest Rate Hedge Counterparty in connection
with the Issuer’s payment obligations under the Notes evidencing the Currency Swap Transaction or,
as the case may be, Interest Rate Hedge Transactions entered into by the Issuer from time to time, in
respect of the form and terms of which Rating Agency Confirmation has been obtained, as such Pre-
Approved Form may be amended from time to time, subject to the receipt of Rating Agency
Confirmation in respect thereto.
‘‘Presentation Date’’ means a day which is a Business Day in the jurisdiction in which the
account specified by the payee is open and in which the Note is presented for payment.
‘‘Principal Account’’ means a sub-account of the Collection Account created in the ledgers of the
Account Bank to which Principal Proceeds are to be credited.
‘‘principal amount outstanding’’ of a Note of any Class on any date shall be (i) the initial
principal amount thereof, plus (ii) any Deferred Interest deferred pursuant to Condition 6(c) (Deferral
of Interest), less (iii) the aggregate of all principal payments (including Deferred Interest in respect of
such Note) thereof at such date.
‘‘Principal Balance’’ means, (1) with respect to any Collateral Debt Obligation as of any date of
determination, the outstanding principal amount thereof (including any par accretion amount linked
to Mezzanine Obligations and Purchased Accrued Interest) and (2) with respect to any Eligible
Investment, as of any date of determination, the principal amount outstanding thereof (including any
par accretion amount pursuant to the terms of such Eligible Investment), provided however that:
(a) the Principal Balance of any Defaulted Equity Security shall be deemed to be zero;
(b) the Principal Balance of any Collateral Debt Obligation which is or has become a
Defaulted Obligation shall be the lower of the Market Value and the Recovery Value
relating to such Defaulted Obligation;
(c) the Principal Balance of any Current Pay Obligation shall be deemed to be 95 per cent. of
its Market Value;
(d) the Principal Balance of any Collateral Debt Obligation or Eligible Investment (other than
a Collateral Debt Obligation or Eligible Investment of the type referred to in paragraph
(b) above) that is a zero coupon bond shall be the accreted value thereof;
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