Pangaea Prospectus - Irish Stock Exchange

eing so purchased will receive payment from the Issuer in priority to the holders of Notes of the same Class or
Classes of Notes who do not have their Notes purchased by the Issuer.
For the purposes of subordination, the Class S1 Combination Notes shall not be treated as a separate Class of
Notes, but rather the Components of the Class S1 Combination Notes will be treated as Notes of the Classes to
which such Components relate and, therefore, the above description of subordination will apply to each such
Component.
2.4 Amount and Timing of Payments
Investment in the Notes of any Class involves a degree of risk arising from fluctuations in the amount and
timing of receipt of the principal and interest on the Portfolio Collateral by or on behalf of the Issuer and the
amounts of the claims of creditors of the Issuer ranking in priority to the holders of each Class of the Notes. In
particular, prospective purchasers of such Notes should be aware that the amount and timing of payments of the
principal and interest on the Portfolio Collateral will depend upon the detailed terms of the documentation
relating to each of the items of Portfolio Collateral and, in the case of a Synthetic Security, on whether or not
any Reference Entity thereunder defaults in its obligations.
There can be no assurance that the distributions on the Portfolio and other Collateral charged and assigned by
the Issuer to secure the Notes will be sufficient to enable the Issuer to make payments of interest and principal
on the Class B Notes, the Class C Notes, the Class D Notes, the Class E Notes, the Class F Notes and the
Subordinated Notes after making payments which rank senior to such payments pursuant to the Priorities of
Payment, including payments in respect of the Class A Notes (in the case of the Class B Notes, the Class C
Notes, the Class D Notes, the Class E Notes, the Class F Notes and the Subordinated Notes), payments in
respect of the Class B Notes (in the case of the Class C Notes, the Class D Notes, the Class E Notes, the Class F
Notes and the Subordinated Notes), payments in respect of the Class C Notes (in the case of the Class D Notes,
the Class E Notes, the Class F Notes and the Subordinated Notes), payments in respect of the Class D Notes (in
the case of the Class E Notes, the Class F Notes and the Subordinated Notes), payments in respect of the Class E
Notes (in the case of the Class F Notes and the Subordinated Notes) and payments in respect of the Class F
Notes (in the case of the Subordinated Notes). The Issuer’s ability to make payments of interest and principal in
respect of the Class B Notes will be constrained by the terms of the Class A Notes and, in the case of the Class
C Notes, by the terms of the Class A Notes and the Class B Notes and, in the case of the Class D Notes, by the
terms of the Class A Notes, the Class B Notes and the Class C Notes and, in the case of the Class E Notes, by
the terms of the Class A Notes, the Class B Notes, the Class C Notes and the Class D Notes and, in the case of
the Class F Notes, by the terms of the Class A Notes, the Class B Notes, the Class C Notes, the Class D Notes
and the Class E Notes and, in the case of the Subordinated Notes, by the terms of the Senior Notes, by the level
of distributions received in respect of the Portfolio Collateral and, in certain circumstances, by any interest rate
mismatch.
2.5 Prepayment upon Mandatory Redemption
If the Class C Coverage Test, the Class D Coverage Test and/or Interest Coverage Test is not satisfied on any
Measurement Date then, on the Payment Date following such Measurement Date, Interest Proceeds, and
thereafter Principal Proceeds, will be used, subject to the Priorities of Payment, to the extent necessary and
available, to redeem the Class A Notes and, following redemption in full thereof, the Class B Notes, and,
following redemption in full thereof, the Class C Notes, and (in the case of the Class D Coverage Test),
following redemption in full thereof, the Class D Notes in each case on a pro rata basis until the Class C
Coverage Test, the Class D Coverage Test and Interest Coverage Test are each satisfied if recalculated
following such redemption. If the Class E Coverage Test is not satisfied on any Measurement Date then, on the
Payment Date following such Measurement Date, Interest Proceeds, and thereafter Principal Proceeds, will be
used, subject to the Priorities of Payment, to the extent necessary and available, to redeem the Class A Notes
and, following redemption in full thereof, the Class B Notes and, following redemption in full thereof, the Class
C Notes and, following redemption in full thereof, the Class D Notes and, following redemption in full thereof,
the Class E Notes, in each case on a pro rata basis until the Class E Coverage Test is met. If the Class F
Coverage Test is not satisfied on any Measurement Date then, on the Payment Date following such
Measurement Date, Interest Proceeds, and thereafter Principal Proceeds, will be used, subject to the Priorities of
Payment, to the extent necessary and available, to redeem the Class A Notes and, following redemption in full
thereof, the Class B Notes and, following redemption in full thereof, the Class C Notes and, following
redemption in full thereof, the Class D Notes and, following redemption in full thereof, the Class E Notes and,
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