Common use of DETERMINATION OF NET INCOME OF THE TRUST Clause in Contracts

DETERMINATION OF NET INCOME OF THE TRUST. In this Article 5, the "Net Income of the Trust" for the period ending on a Distribution Record Date shall be the amount calculated, for the period commencing immediately following the preceding Distribution Record Date (or, for the first Distribution Record Date, the period commencing on the date hereof) and ending on such Distribution Record Date, on the following basis: (a) any amounts received pursuant to the NPI and the Direct Royalties, any interest or other income from Permitted Investments, ARTC received by the Trust and other Crown charges that are not deductible by the Corporation for income tax purposes and that are reimbursed by the Trust to the Corporation shall be included in Net Income of the Trust on an accrual basis and shall accrue from day to day; (b) dividends on the Shares or any other dividends on securities of the Corporation shall be included in Net Income of the Trust when received including dividends deemed to have been received on such Shares or securities pursuant to the Tax Act; and (c) all expenses and liabilities of the Trust, including Debt Service Charges, which are due or accrued and which are chargeable to income shall be deducted in computing Net Income of the Trust. Items of income or expense not provided for above or in Section 5.3 shall be included in such calculation on such basis as may be considered appropriate by the Trustee upon the recommendation of the Corporation.

DETERMINATION OF NET INCOME OF THE TRUST. In this Article 5, the "Net Income of the Trust" for the period ending on a Distribution Record Date shall be the amount calculated, for the period commencing immediately following the preceding Distribution Record Date (or, for the first Distribution Record Date, the period commencing on the date hereof) and ending on such Distribution Record Date, on the following basis: (a) any amounts received pursuant interest income on the Series A Notes and, to the NPI extent permissible, the CT Note and the Direct Royalties, any other interest or other income from Permitted Investments, ARTC received by the Trust and other Crown charges that are not deductible by the Corporation for income tax purposes and that are reimbursed by the Trust to the Corporation shall be included in Net Income of the Trust on an accrual basis and shall accrue from day to day; (b) dividends on the Shares or any other dividends distributions on securities of held by the Corporation Trust shall be included in Net Income of the Trust when received including dividends deemed to have been received on such Shares or securities pursuant to the Tax Act; and (c) all expenses and liabilities of the Trust, including Debt Service Charges, Trust which are due or accrued and which are chargeable to income shall be deducted in computing Net Income of the Trust. Items of income or expense not provided for above or in Section 5.3 shall be included in such calculation on such basis as may be considered appropriate by the Trustee. The Trustee upon may rely on the recommendation of the CorporationAuditors in making such determinations.