perfectly matching contracts included in the netting agreement may be taken into account as a single contract with a notional principal equivalent to the net receipts, the notional principal amounts are multiplied by the percentages given in Table 2,

If and to the extent that any provisions of the Agreement (other than the provisions of this annex) or the ECB Master Netting Agreement dated as of [date] (the Master Netting Agreement) between the ECB and the Counterparty, including any other supplemental terms and conditions, annex or schedule to the Agreement, contain provisions inconsistent with or to the same or similar effect as the provisions of this Annex, the provisions of this Annex shall prevail and apply in place of those provisions.

For the calculation of the potential future credit exposure according to the above formula perfectly matching contracts included in the netting agreement may be taken into account as a single contract with a notional principal equivalent to the net receipts.

a codend and any extension piece constructed of more than one sheet of netting material such that the linear dimensions of the top half or top sheet of said codend and extension piece are not equal to the linear dimensions of the bottom half or bottom sheet;

In fact, netting is implicit in various transaction categories, the most outstanding example being 'changes in inventories', which underlines the analytically significant aspect of overall capital formation rather than tracking daily additions and withdrawals.

If it is necessary to constitute all transactions under the agreement as a single contractual arrangement and/or to constitute the agreement as a master agreement in order to allow effective close-out and termination netting, such provision should be included.

If, depending on the positive or negative market value of these contracts, their inclusion in another netting agreement can result in an increase or decrease of the capital requirements, competent authorities must oblige their credit institution to use a consistent treatment.

It is prohibited to carry on board or deploy any beam trawl of mesh size equal to or greater than 80 mm unless the entire upper half of the anterior part of such a net consists of a panel of netting material of which no individual mesh is of mesh size less than 180 mm attached:

Should a default termination occur, the ECB shall, as soon as is reasonably practicable, take an account of what is due from each party to the other under each netting agreement (including under Appendix 2 of this Agreement) in respect of which default termination has occured and aggregate the sums due from each party to the other under such netting agreements (including under Appendix 2 to this Agreement), in every case in or converted into the base currency, and only the net balance of the account shall be payable by the party owing the larger aggregate sum.

Should a default termination occur, the ECB shall, as soon as is reasonably practicable, take an account of what is due from each Party to the other under each netting agreement (including under Appendix 2 to this Agreement) in respect of which default termination has occurred and aggregate the sums due from each Party to the other under such netting agreements (including under Appendix 2 to this Agreement), in every case in or converted into the base currency, and only the net balance of the account shall be payable by the Party owing the larger aggregate sum.

It shall be prohibited to carry on board or deploy any beam trawl of mesh size equal to or greater than 70 mm unless the entire upper half of the anterior part of such a net consists of a panel of netting material of which no individual mesh is of mesh size less than 180 mm attached:

PCEgross = the sum of the figures for potential future credit exposure for all contracts with a given counterparty which are included in a legally valid bilateral netting agreement and are calculated by multiplying their notional principal amounts by the percentages set out in Table 1,

The parties acknowledge that the terms of this Agreement, all transactions governed by this Agreement, any amendments to the terms of such transactions, and the single net balance payable under any netting agreement constitute a single business and contractual relationship and arrangement.

The Parties acknowledge that the terms of this Agreement, all transactions governed by this Agreement, any amendments to the terms of such transactions, and the single net balance payable under any netting agreement constitute a single business and contractual relationship and arrangement.

The relevant contractual or regulatory arrangements applied by the NCB should provide that certain events (as to which, see point 30) should lead to a closing-out of all outstanding transactions and must provide for the way in which such a closing-out (including termination netting) would take place.

The competent authorities may recognise as risk-reducing contractual-netting agreements covering foreign-exchange contracts with an original maturity of 14 calendar days or less written options or similar off-balance-sheet items to which this Annex does not apply because they bear only a negligible or no credit risk.

However, Community vessels and Norwegian vessels are permitted in 2002 to fish in Community waters of ICES Sub-area IV using demersal towed nets, other than beam trawls, incorporating codends within which no individual mesh shall be of mesh size less than 70 mm and which are constructed entirely of square-meshed netting material.

This applies for example to the position-closing agreements and netting agreements to be found in such systems as well as to the sale of securities and to the guarantees provided for such transactions as governed in particular by Directive 98/26/EC of the European Parliament and of the Council of 19 May 1998 on settlement finality in payment and securities settlement systems (1).

Annex III takes account of the work of an international forum of banking supervisors on the supervisory recognition of bilateral netting, in particular the possibility of calculating the own-funds requirements for certain transactions on the basis of a net rather than a gross amount provided that there are legally binding agreements which ensure that the credit risk is confined to the net amount.

a credit institution must have a contractual netting agreement with its counterparty which creates a single legal obligation, covering all included transactions, such that, in the event of a counterparty's failure to perform owing to default, bankruptcy, liquidation or any other similar circumstance, the credit institution would have a claim to receive or an obligation to pay only the net sum of the positive and negative mark-to-market values of included individual transactions;

Each party represents and warrants to the other that it is a financial institution for purposes of the US Deposit Insurance Corporation Improvement Act of 1991 (hereinafter referred to as FIDICIA), and the parties agree that this Agreement shall be a netting contract, as defined in FDICIA, and that each receipt or payment obligation under the Agreement shall be a covered contractual payment entitlement or covered contractual payment obligation respectively, as defined in and subject to FDICIA.

it has the power to execute and deliver this Agreement and any other documentation relating to this Agreement to which it is a party and that it is required to deliver; it has the power to perform its obligations under this Agreement and any obligations under any netting agreement to which it is a party; it has taken all necessary action to authorise such execution, deliery and performance, including authorisations required under the US Federal Deposit Insurance Act, as amended, including amendments effected by the US Federal Institutions Reform, Recovery and Enforcement Act of 1989, and under any agreement, writ, decree or order entered into with a party's supervisory authorities; and

The purpose of this Agreement (hereinafter referred to as the Agreement) is to ensure that the ECB is able to net all existing positions under all outstanding transactions made between the ECB and the Counterparty, regardless of any agent or agents authorised to act on behalf of the ECB through whom the transactions giving rise to those positions may have been effected, including the central bank of any Member State of the European Union which has adopted the euro as its currency, and regardless of which office (including the head office and all branches) of the Counterparty may be involved in such transactions, and after taking into account the effect of any existing netting provisions in master or other agreements between the ECB and the Counterparty and/or provisions of mandatory law that operate with similar effect that may apply to certain of such transactions.

In this Agreement, a "netting agreement" means any agreement for the time being in effect between the Parties (and including, without limitation, this Agreement and agreements of the kind listed in Appendix 1 to this Agreement), including such modifications and additions thereto as may be agreed between the ECB and the Counterparty (hereinafter referred to as the Parties) from time to time, which contains provisions to the effect that, should any event of default as defined for the purposes of such agreement occur, there may be an early termination, liquidation, closing-out or acceleration of transactions or obligations under transactions or any analogous event (a "default termination") and the respective obligations of the Parties under such agreement may be combined, aggregated or set-off against each other so as to produce a single net balance payable by one Party to the other.

In this Agreement, a "netting agreement" means any agreeement for the time being in effect between the Parties (and including, without limitation, this Agreement and agreements of the kind listed in Appendix 1 to this Agreement), including such modifications and additions thereto as may be agreed between the ECB and the Counterparty (hereinafter referred to as the Parties), from time to time, which contains provisions to the effect that, should any event of default as defined for the purposes of such agreement occur, there may be an early termination, liquidation, closing-out or acceleration of transactions or obligations under transactions or any analogous event (a "default termination") and the respective obligations of the parties under such agreement may be combined, aggregated or netted against each other so as to produce a single net balance payable by one Party to the other.

each piece of netting:

'(ii) Other netting agreements

Recognition of close-out netting provisions

technical rules relating to netting materials,

Made-up articles of netting (heading No 56.08);

technical rules relating to square-meshed netting,

The windows shall be rectangular sections of netting in the codend.

Twines in square mesh netting shall be assessed, as shown in Annex II, as follows:

Twines in diamond mesh netting shall be assessed, as shown in Annex II, as follows:

multiple twine netting shall mean netting constructed of two or more twines, where the twines can be separated between the knots without damage to the twine structure;

This definition of mesh size shall not be applied to mesh size of square-meshed netting;

shall be constructed of knotless netting or of netting constructed with non-slip knots, and shall be inserted in such a way that the meshes remain fully open at all times while fishing;

this netting shall have a mesh size not less than that specified for the codend in Article 10;

The length of netting is restricted to 800 m and the drop to 120 m, except in the case of tuna seines.

The only method of fishing authorized shall be drift netting with nets of a minimum mesh size of 54 mm.

in the case of single twine netting, the twine on opposite sides of 10 meshes selected shall be assessed;

Member States shall ensure that a close-out netting provision can take effect in accordance with its terms:

square-meshed netting shall mean a construction of netting mounted so that of the two sets of parallel lines formed by the mesh bars, one set is parallel to, and the other at right angles to, the long axis of the net;

NETS AND NETTING MADE OF TWINE , CORDAGE OR ROPE , AND MADE UP FISHING NETS OF YARN , TWINE , CORDAGE OR ROPE

knotless netting shall mean netting which is composed of meshes of four sides of approximately equal length in which the corners of the meshes are formed by the interweaving of the twines of two adjacent sides of the mesh;

Nets and netting made of twine, cordage or rope, and made up fishings nets of yarn, twine, cordage or rope China

A strengthening bag is a cylindrical piece of netting completely surrounding the codend and the lengthening piece.

the aggregate length of all the pieces of netting so attached does not exceed two-thirds of the length of the codend.

The netting shall be mounted such that the bars run parallel and perpendicular to the length of the codend (Figure 2).

in the case of double twine netting, each strand of twine on opposite sides of five meshes selected shall be assessed.