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Commodity Swap

Permuta de materias primas

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gernoguera
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23 views

Commodity Swap

Permuta de materias primas

Uploaded by

gernoguera
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 3

[Date]

[Counterparty name]
[Counterparty address]

Attention: [Counterparty contact]

Re: Commodity Swap/Cash Settlement Agreement - Deal # [internal reference number]


Royal Bank of Canada ("Party A")/ [counterparty name] (“Party B”)
Dear Sirs:

The purpose of this letter agreement (this "Confirmation") is to confirm the terms and conditions of the transaction entered
into between us on the Trade Date specified below (the "Transaction”). This Confirmation constitutes a “Confirmation” as
referred to in the Agreement specified below.

The definitions and provisions contained in the 2005 ISDA Commodity Definitions (as published by the International
Swaps and Derivatives Association, Inc.) are incorporated into this Confirmation. In the event of any inconsistency
between those definitions and the provisions of this Confirmation, this Confirmation shall govern.

1. This Confirmation supplements, forms part of and is subject to, the ISDA Master Agreement dated [date of
agreement] as amended and supplemented from time to time (the “Agreement”), between you and us. All provisions
contained in the Agreement shall govern this Confirmation except as expressly modified below.

2. The terms of the particular Transaction to which this Confirmation relates are as follows:

General Terms

Commodity: [commodity type]


Trade Date: [transaction trade date]
Effective Date: [transaction effective date]
Termination Date: [transaction termination date]
Total Notional Quantity [amount/volume]
Notional Quantity per Calculation Period: See Schedule A
Calculation Periods: See Schedule A
Last Pricing Date: The Pricing Date or where there are two or more Pricing
Dates for each of the relevant Calculation Period, the later
Pricing Date to occur.
Business Day [cities for determining valid business days]

Schedule A.

Calculation Calculation Periods Notional Quantity Payment Date


Period No. per Calculation Period
[number of calculation [payment in respect of
[•] [amount/volume]
periods] calculation period]

Fixed Amount Details

Fixed Price Payer: [Party A / Party B]

Fixed Price: [price per unit]

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Fixed Amount: In respect of a Payment Date, the amount calculated as
follows:

Fixed Price x Notional Quantity per Calculation Period

Fixed Price Payer Payment Dates: [scheduled payment dates]

Floating Amount Details

Floating Price Payer: [Party A / Party B]

Floating Amount: In respect of a Payment Date, the amount calculated as


follows:

Floating Price x Notional Quantity per Calculation Period

Floating Price Payer Payment Dates: [scheduled payment dates]

Commodity Reference Price: [reference price as selected from ISDA Commodity


Definitions or otherwise agreed]

Pricing Date (s): [scheduled pricing dates]

Floating Price: [price]

Calculation Agent

Calculation Agent: [Party A], whose determinations and calculations shall be


binding on the parties hereto in absence of manifest error.

Business Day Convention: [business day convention for dates falling on days that are
not Business Days] which shall apply any date referred to
in the Confirmation that falls on a day that is not a
Business Day other than the dates referred to in regard to
the Pricing Dates which need not be Business Days.

Market Disruption Events & Disruption Fallbacks [list any applicable Market Disruption Events from ISDA
Commodity Definitions or define others]

Maximum Days of Disruption: [maximum number of days of disruption before next


applicable Market Disruption Event may apply]

Additional Provision: If confirmations are exchanged only matched terms, and


the terms of any applicable master agreement, are
binding.

Account Details

Payments to Party A: [payment delivery information]

Payments to Party B: [payment delivery information]


Offices

The Office of Party A Royal Bank of Canada


for the Transaction is: [contact details]

The Office of Party B [counterparty contact details]


for the Transaction is:

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This Confirmation may be executed and delivered in counterparts (including by facsimile transmission) or be created by an
exchange of telexes or by an exchange of electronic messages on an electronic messaging system, which in each case
upon your confirmation in the manner prescribed hereunder, will be deemed for all purposes to be a legally binding
Transaction.

Please confirm that the foregoing correctly sets forth the terms of our agreement by signing in the space provided
below and returning same to us by facsimile transmission, or send to us within two (2) Business Days a letter by facsimile
transmission or telex or electronic messaging system similar to this letter which sets forth the material terms of the
foregoing transaction to which this Confirmation relates and which indicates your agreement to those terms.

Yours sincerely, Confirmed as of the date first written by:


Royal Bank of Canada [counterparty name]

[SIGNATURE1]
_________________________ _____________________________
[name] Authorized Signing Officer
[title of authorized signatory]

_____________________________
Authorized Signing Officer

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