INDEX OF DEFINED TERMS - Banca di Legnano

Level: 2 – From: 2 – Wednesday, July 21, 2010 – 12:23 – eprint6 – 4247 Section 09
pay to the relevant Noteholder the Failure to Deliver Settlement Price (as defined below) on
the fifth Business Day following the date the Failure to Deliver Notice (as defined below) is
given to the Noteholders in accordance with Condition 14. The Issuer shall give notice (such
notice a “Failure to Deliver Notice”) as soon as reasonably practicable to the Noteholders in
accordance with Condition 14 that the provisions of this Physical Delivery Condition 3 apply.
4. Option to Vary Settlement
If the applicable Final Terms indicate that the Issuer has an option to vary settlement in respect of
the Notes, the Issuer may at its sole and unfettered discretion in respect of each such Note, elect not to pay
the relevant Noteholders the Final Redemption Amount or to deliver or procure delivery of the Entitlement
to the relevant Noteholders, as the case may be, but, in lieu thereof to deliver or procure delivery of the
Entitlement or make payment of the Final Redemption Amount on the Maturity Date to the relevant
Noteholders, as the case may be. Notification of such election will be given to Noteholders in accordance
with Condition 14.
5. Definitions
For the purposes of these Physical Delivery Conditions:
“Cut-Off Date” means the date specified as such in the applicable Final Terms.
Physical Delivery Conditions
“Disruption Cash Settlement Price” means, in respect of each nominal amount of Notes equal to
the Specified Denomination, an amount equal to the fair market value of such Notes (but not taking into
account any interest accrued on such Note and paid pursuant to Condition 4 and Condition 5) on such day
as shall be selected by the Issuer in its sole and absolute discretion provided that such day is not more than
15 calendar days before the date that the Election Notice is given as provided above less the cost to the
Issuer and/or its Affiliates or agents of unwinding or adjusting any underlying or related hedging
arrangements (including the cost of funding in respect of such hedging arrangements), all as calculated by
the Calculation Agent in its sole and absolute discretion.
“Entitlement” means, in relation to a Physical Delivery Note, the quantity of the Relevant Asset or
the Relevant Assets, as the case may be, which a Noteholder is entitled to receive on the Maturity Delivery
Date in respect of each such Note following payment of the Expenses, which quantity will be rounded
down as provided in Physical Delivery Condition 1, as determined by the Calculation Agent and includes
any documents evidencing such Entitlement.
“Failure to Deliver Settlement Price” means, in respect of each nominal amount of the Notes
equal to the Specified Denomination, the fair market value of the Affected Relevant Assets in respect of
such Notes on the fifth Business Day prior to the date on which the Failure to Deliver Notice is given as
provided above, less the cost to the Issuer and/or its Affiliates or agents of unwinding or adjusting any
underlying or related hedging arrangements (including the cost of funding in respect of such hedging
arrangements), all as calculated by the Calculation Agent in its sole and absolute discretion.
“Settlement Disruption Event” means an event beyond the control of the Issuer as a result of
which, in the opinion of the Calculation Agent delivery of the Entitlement by or on behalf of the Issuer in
accordance with these Physical Delivery Conditions and/or the applicable Final Terms is not practicable.
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