Reserve Surety definition

Reserve Surety shall have the meaning set forth in Section 5.5(g) hereof.

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Reserve Surety means, in lieu of cash and investments, any bond insurance, collateral, security, letter of credit, guaranty, surety bond or similar credit enhancement device providing for or securing the payment of all or part of the principal of and interest on Parity Bonds, issued by an institution which has been assigned a credit rating at the time that such Reserve Security is provided, in the two highest rating categories without regard to gradations within those categories (i.e., AAA or AA).

Reserve Surety has the meaning given that term in the Authority Indenture.

Examples of Reserve Surety in a sentence

• Any right conferred to the Note Insurer hereunder shall be suspended during any period in which the Note Insurer is in default in its payment obligations under the Debt Service Reserve Surety Bond or the Note Insurance Policy.

• For purposes of this Agreement, when the Note Paying Agent is entitled to draw on the second sub-account of the Reserve Account, the Note Paying Agent shall draw on the Debt Service Reserve Surety Bond in the manner provided in Section 4.9 of this Agreement.

• For the purpose of funding the second sub-account of the Reserve Account, the Trust shall deliver the Debt Service Reserve Surety Bond to the Note Paying Agent.

• The Notice or the Demand for Payment shall specify the total amount of the Insured Payment or Surety Bond Payment, as the case may be, to be paid on the applicable Payment Date, and shall constitute a claim for a Surety Bond Payment or an Insured Payment, as the case may be, pursuant to the Debt Service Reserve Surety Bond or the Note Insurance Policy, respectively.

• The Note Paying Agent shall serve as Insurance Paying Agent hereunder for so long as the Debt Service Reserve Surety Bond or the Note Insurance Policy shall remain in effect; provided, however, that the Insurance Paying Agent may be located in another jurisdiction with the written consent of the Note Insurer.

• The Notes also are entitled to the benefits of a Debt Service Reserve Surety Bond and Note Insurance Policy issued by MBIA Insurance Corporation (the "Note Insurer").

• On or prior to the date of Term-Conversion, the Lenders Debt Service Reserve Account shall have been funded (whether by cash, a DSR Letter of Credit, the Debt Service Reserve Surety or any combination of the foregoing) to the extent required in the Depositary Agreement.

• In connection with the foregoing, the Collateral Agent acknowledges its obligations under, and subject to the conditions specified in, Section 3.6(f) of the Depositary Agreement to return the Debt Service Reserve Surety to the Administrative Agent.

• For the avoidance of doubt, nothing done or not done by the Administrative Agent pursuant to this Section 10.02(d) shall in any way affect the Loan Insurance Policy or the Debt Service Reserve Surety (whether as to their validity, enforceability or otherwise) or the Loan Insurer’s obligations under the Loan Insurance Policy or the Debt Service Reserve Surety.

• Each payment made by the Surety Providers under this Surety Agreement shall constitute a Debt Service Reserve Surety Repayment Obligation under Section 3.05 of the Master Indenture and, as such, shall be repaid by the Trustee from available Revenues, at such times and in such amounts, as provided in accordance with the flow of funds under Sections 3.03 and 3.05 of the Master Indenture.