VARIABLE RATE HEDGE REQUIREMENTS Sample Clauses
VARIABLE RATE HEDGE REQUIREMENTS. If an issue of Related Bonds is issued bearing interest at the Variable Rate, a Hedge must be in place on the Bond Transaction Closing Date with respect to such issue for a period of time equal to or in excess of the Required Hedge Term. Effective not later than the last day of any Hedge Period, or the last day of any other period that the Variable Rate and a Hedge are in effect, or the last day of any Reset Period where the Related Bonds will subsequently bear interest at the Variable Rate, the Borrowers shall either (i) secure a new Hedge for a period of time equal to or in excess of the Required Hedge Term, (ii) adjust the Related Bonds to a Reset Rate equal to or less than the Hedge Rate for a period equal to or greater than the Subsequent Hedge Period, or (iii) convert the Related Bonds to a Fixed Rate equal to or less than the Hedge Rate. Any adjustment or conversion under the preceding clauses (ii) or (iii) shall be in accordance with the Related Bond Documents and the related Bond Property Loan Documents.
VARIABLE RATE HEDGE REQUIREMENTS. If an issue of Related Bonds is issued bearing interest at the Weekly Variable Rate, a Hedge must be in place on the Bond Transaction Closing Date with respect to such issue for a period of not less than seven (7) years from the Bond Transaction Closing Date (the "INITIAL HEDGE PERIOD"). Effective not later than the last day of the Initial Hedge Period, or the last day of any other period that the Weekly Variable Rate and a Hedge are in effect, or the last day of any Reset Period where the Related Bonds will subsequently bear interest at the Weekly Variable Rate, Owner shall either (i) secure a new Hedge for an additional period (a "HEDGE PERIOD") ending not earlier than the earliest of (A) the date which is not earlier than the fifth (5th) anniversary of the effective date of the new Hedge, (B) the date on which the Related ▇▇▇▇▇▇ Mae Collateral Agreement terminates or (C) the maturity date of the Related Bonds, (ii) adjust the Related Bonds to a Reset Rate equal to or less than the Hedge Rate, or (iii) convert the Related Bonds to a Fixed Rate equal to or less than the Hedge Rate, in each case under clauses (ii) and (iii) above in accordance with the Related Bond Documents and the related Bond Property Loan Documents.