Date: 11 February 2003
Halifax Plaza Associates, L.P.
c/o Cedar Bay Realty Advisors, Inc.
44 South Bayles Avenue - Suite 304
Port Washington, New York 11050
Dear Sirs:
Our Reference: CMD00081
Re: USD Amortizing Interest Rate Swap
The purpose of this document is to set forth the terms and conditions of the
transaction entered into between Citizens Bank of Pennsylvania ("CBPA") and
yourselves ("Counterparty") on the trade date specified below (the
"Transaction"). This document will constitute a "Confirmation" as referred to in
the ISDA Master Agreement specified below.
The definitions and provisions contained in the 2000 ISDA Definitions,(the
"Definitions"), as published by the International Swaps and Derivatives
Association, Inc.("ISDA")are incorporated into this Confirmation. In the event
of any inconsistency between the Definitions and provisions and this
Confirmation, this Confirmation will govern.
This Confirmation evidences a complete and binding agreement between
Counterparty and CBPA as to the terms of the Transaction to which this
Confirmation relates. In addition, Counterparty and CBPA agree to use all
reasonable efforts promptly to negotiate, execute and deliver an agreement in
the form of the ISDA Master Agreement (Multicurrency-Cross Border) (the "ISDA
Form") published by the ISDA, with such modifications as Counterparty and CBPA
shall in good faith agree (the "Agreement"). Upon the execution by Counterparty
and CBPA of such Agreement, this Confirmation will supplement, form part of, and
be subject to the Agreement. Until we execute and deliver that Agreement, this
Confirmation, together with all other documents referring to the ISDA Form (each
a "Confirmation") confirming transactions (each a "Transaction") entered into
between us (notwithstanding anything to the contrary in a Confirmation), shall
supplement, form part of, and be subject to an agreement in the form of the ISDA
Form as if we had executed an agreement in such form (but without any Schedule)
on the Trade Date of the first such Transaction between us. For purposes
thereof, the Second Method and Loss shall apply. All provisions contained in the
Agreement shall govern this Confirmation except as expressly modified below. In
the event of any inconsistency between this Confirmation and either the ISDA
Form or the Agreement, this Confirmation will govern for the purpose of this
transaction.
The terms of the particular transaction to which this confirmation relates are
as follows:
Notional Amount See Schedule A
Trade Date 06 February 2003
Effective Date 10 February 2003
Termination Date 06 February 2010, subject to adjustment in
accordance with the Modified Following Business Day
Convention.
Fixed Amounts
- -------------
Fixed Rate Payer Halifax Plaza Associates, L.P.
Fixed Rate Payer Payment Dates The 6th day of each month from and including
06 March 2003 to and including the Termination
Date subject to adjustment in accordance with
the Modified Following Business Day Convention.
Fixed Rate 4.33 pct
Fixed Rate Day Count Fraction Actual / 360
Floating Amounts
- ----------------
Floating Rate Payer CBPA
Floating Rate Payer Payment Dates The 6th day of each month from and including
06 March 2003 to and including the Termination
Date subject to adjustment in accordance with
the Modified Following Business Day Convention.
Floating Rate for initial Calculation Period 1.34 pct
Floating Rate Option USD-LIBOR-BBA
Designated Maturity 1 Month
Spread None
Floating Rate Day Count Fraction Actual / 360
Reset Dates The first day of each Calculation Period.
Business Days New York and London
Calculation Agent CBPA
Payments to Counterparty:
Account Number: 6202093157
Account Name: Halifax Plaza Associates, L.P.
Bank: CBPA
So long as no Event of Default or Termination Event shall have occurred and then
be continuing with respect to [Party B], the parties hereto agree that [Party B]
may terminate this Transaction by at least [5] Business days prior notice to
Party A of its intention to do so, whereupon (a) the obligations of the parties
to make any further payments under Section 2(a)(i) of the Agreement in respect
of such Transaction shall terminate, (b) the Calculation Agent shall determine a
Settlement Amount in accordance with the provisions of the ISDA Master Agreement
and provide a statement with respect thereto, and (c) a termination payment
shall be made on the Early Termination Date as if such Transaction were a
Terminated Transaction and Party B was the Affected Party.
Counterparty and CBPA represent that each party is acting for its own account
and, that each party has made its own independent decisions to enter into this
Transaction and as to whether this transaction is appropriate or proper for it
based on its own judgement and upon advice from such advisors as it has deemed
necessary. Neither party is relying upon any communication (written or oral)
from the other party as investment advice or as a recommendation to enter into
this Transaction. Information and explanations related to the terms and
conditions of this Transaction shall not be considered investment advice or a
recommendation to enter into this Transaction. No assurances or guarantees
(written or oral) as to the expected results of this Transaction have been
received by either party. Each party is capable of evaluating and understanding
the terms, risks and conditions of this Transaction. Each party is capable of
assuming, and assumes, the financial and other risks of this Transaction.
Counterparty understands that the Transaction entered into under this agreement
does not constitute a deposit and is not insured by the Federal Deposit
Insurance Corporation, Federal Reserve Board, Office of the Comptroller of the
Currency or any state or federal banking agency.
All inquiries regarding payments and/or rate re-settings should be sent to:
CBPA:
Citizens Bank of Pennsylvania
One Citizens Plaza
Providence, RI 02903
Attn: Treasury
Michael Smith Phone 401-282-7250
Fax 401-282-7718
Counterparty:
Halifax Plaza Associates, L.P.
c/o Cedar Bay Realty Advisors, Inc.
44 South Bayles Avenue - Suite 304
Port Washington, New York 11050
Please confirm that the foregoing correctly sets forth the terms of our
agreement by executing a copy of this Confirmation enclosed for that purpose and
returning it to us via mail at the address listed above.
For and on behalf of Citizens Bank of Pennsylvania
By:___________________________
Name:
Title: Authorized Signatory
Halifax Plaza Associates, L.P.
By:___________________________
Name:
Title:
2
SCHEDULE A - CMD00081
Calculation Period Notional Amount (USD)
10 February 2003 to 06 March 2003 300,000.00
06 March 2003 to 06 April 2003 299,472.00
06 April 2003 to 06 May 2003 298,944.00
06 May 2003 to 06 June 2003 298,416.00
06 June 2003 to 06 July 2003 297,888.00
06 July 2003 to 06 August 2003 297,360.00
06 August 2003 to 06 September 2003 296,832.00
06 September 2003 to 06 October 2003 296,304.00
06 October 2003 to 06 November 2003 295,776.00
06 November 2003 to 06 December 2003 295,248.00
06 December 2003 to 06 January 2004 294,720.00
06 January 2004 to 06 February 2004 294,192.00
06 February 2004 to 06 March 2004 293,664.00
06 March 2004 to 06 April 2004 293,136.00
06 April 2004 to 06 May 2004 292,608.00
06 May 2004 to 06 June 2004 292,080.00
06 June 2004 to 06 July 2004 291,552.00
06 July 2004 to 06 August 2004 291,024.00
06 August 2004 to 06 September 2004 290,496.00
06 September 2004 to 06 October 2004 289,968.00
06 October 2004 to 06 November 2004 289,440.00
06 November 2004 to 06 December 2004 288,912.00
06 December 2004 to 06 January 2005 288,384.00
06 January 2005 to 06 February 2005 287,856.00
06 February 2005 to 06 March 2005 287,328.00
06 March 2005 to 06 April 2005 286,800.00
06 April 2005 to 06 May 2005 286,272.00
06 May 2005 to 06 June 2005 285,744.00
06 June 2005 to 06 July 2005 285,216.00
06 July 2005 to 06 August 2005 284,688.00
06 August 2005 to 06 September 2005 284,160.00
06 September 2005 to 06 October 2005 283,632.00
06 October 2005 to 06 November 2005 283,104.00
06 November 2005 to 06 December 2005 282,576.00
06 December 2005 to 06 January 2006 282,048.00
06 January 2006 to 06 February 2006 281,520.00
06 February 2006 to 06 March 2006 280,992.00
06 March 2006 to 06 April 2006 280,464.00
06 April 2006 to 06 May 2006 279,936.00
SCHEDULE A - CMD00081
Calculation Period Notional Amount (USD)
06 May 2006 to 06 June 2006 279,408.00
06 June 2006 to 06 July 2006 278,880.00
06 July 2006 to 06 August 2006 278,352.00
06 August 2006 to 06 September 2006 277,824.00
06 September 2006 to 06 October 2006 277,296.00
06 October 2006 to 06 November 2006 276,768.00
06 November 2006 to 06 December 2006 276,240.00
06 December 2006 to 06 January 2007 275,712.00
06 January 2007 to 06 February 2007 275,184.00
06 February 2007 to 06 March 2007 274,656.00
06 March 2007 to 06 April 2007 274,128.00
06 April 2007 to 06 May 2007 273,600.00
06 May 2007 to 06 June 2007 273,072.00
06 June 2007 to 06 July 2007 272,544.00
06 July 2007 to 06 August 2007 272,016.00
06 August 2007 to 06 September 2007 271,488.00
06 September 2007 to 06 October 2007 270,960.00
06 October 2007 to 06 November 2007 270,432.00
06 November 2007 to 06 December 2007 269,904.00
06 December 2007 to 06 January 2008 269,376.00
06 January 2008 to 06 February 2008 268,848.00
06 February 2008 to 06 March 2008 268,320.00
06 March 2008 to 06 April 2008 267,792.00
06 April 2008 to 06 May 2008 267,264.00
06 May 2008 to 06 June 2008 266,736.00
06 June 2008 to 06 July 2008 266,208.00
06 July 2008 to 06 August 2008 265,680.00
06 August 2008 to 06 September 2008 265,152.00
06 September 2008 to 06 October 2008 264,624.00
06 October 2008 to 06 November 2008 264,096.00
06 November 2008 to 06 December 2008 263,568.00
06 December 2008 to 06 January 2009 263,040.00
06 January 2009 to 06 February 2009 262,512.00
06 February 2009 to 06 March 2009 261,984.00
06 March 2009 to 06 April 2009 261,456.00
06 April 2009 to 06 May 2009 260,928.00
06 May 2009 to 06 June 2009 260,400.00
06 June 2009 to 06 July 2009 259,872.00
06 July 2009 to 06 August 2009 259,344.00
SCHEDULE A - CMD00081
Calculation Period Notional Amount (USD)
06 August 2009 to 06 September 2009 258,816.00
06 September 2009 to 06 October 2009 258,288.00
06 October 2009 to 06 November 2009 257,760.00
06 November 2009 to 06 December 2009 257,232.00
06 December 2009 to 06 January 2010 256,704.00
06 January 2010 to 06 February 2010 256,176.00
Please be advised that all dates will be subject to adjustment in accordance
with the Modified Following Business Day Convention.