Pool 2 REMIC Companion Component definition
Pool 2 REMIC Companion Component. An uncertificated "interest-only" regular interest in the Upper Tier REMIC that, on each Distribution Date, has a notional principal amount equal to the Class Principal Amount of the Class A-2 Certificates immediately prior to such Distribution Date and bears interest at a rate equal to the excess of the Pool 2 Adjusted Net WAC over the Certificate Interest Rate on the Class A-2 Certificates on such Distribution Date. For federal income tax purposes, the Pool 2 REMIC Companion Component is represented by the Class X-A-2 Certificates.
Pool 2 REMIC Companion Component. An uncertificated "interest-only" regular interest in the Upper Tier REMIC that, on each Distribution Date, has a notional principal amount equal to the Class Principal Amount of the Class A-2 Certificates immediately prior to such Distribution Date and bears interest at a rate equal to the excess of the Pool 2 Adjusted Net WAC over the Certificate Interest Rate on the Class A-2 Certificates on such Distribution Date. For purposes of determining the interest rate on the Pool 2 REMIC Companion Component for the first Distribution Date only, the Class A-2 Certificates shall be treated as having a Certificate Interest Rate equal to the product of (i) the initial Certificate Interest Rate of the Class A-2 Certificates (as determined without regard to this sentence) and (ii) a fraction, the numerator of which is the number of days in the initial Accrual Period for the Class A-2 Certificates and the denominator of which is 30. For federal income tax purposes, the Pool 2 REMIC Companion Component is represented by the Class X-A-2 Certificates.