Application of DOE Guaranteed Interest Amounts. 4.4.1. DOE Guaranteed Interest Amounts deemed to be paid by the Guarantor on any Loan Payment Date will be applied in the following order of priority: (i) first, to the Lender in satisfaction of any Borrower shortfalls in the Component 1 Interest Distribution Amount on such Loan Payment Date, and (ii) second, any remaining amounts to be applied as a contribution from the Lender to the Borrower and distributed to the Lender as a pro rata payment of principal on Loan Component 1 and Loan Component 2 (based on the Initial Percentage Interest Distribution Methodology) on such Loan Payment Date, in each case after giving effect to the Borrower Priority of Payments.
