Text extracted via OCR from the original document. May contain errors from the scanning process.
2.
2.1
From time to time, DB shall provide a notice to Client (each, a "Required Reconciliation Date
Notice') in which DB represents that, in its good faith belief. DB is required to perform a Data
Reconciliation. A Required Reconciliation Date Notice will specify (i) whether such Data
Reconciliation shall be performed daily or weekly in the case of a financial counterparty or a
NFC+ or quarterly or annually, as applicable in respect of other Clients and (ii) if applicable, one
or more Data Delivery Dates.
3.
3.1
Subject to Section 4 below, the following shall apply to all portfolio reconciliations between DB
and Client:
(a)
The Required Reconciliation Date Notice will specify one or more Data Delivery Dates,
provided that the first such date will be a day no earlier than the second Joint Business
Day following the date on which such notice is given to Client, and provided further that
if, prior to the first such date, Client requests one or more different Data Delivery Datcs,
the relevant Data Delivery Dates will be as agreed between DB and Client.
(b)
On each Data Delivery Date, DB will provide Portfolio Data to Client (or its agent) for
verification by Client. For these purposes, Portfolio Data will be considered to have been
provided to Client (and Client will be considered to have received such Portfolio Data)
if it has been provided (i) in accordance with the notice provisions set out in the
Addendum, or (ii) to a third-party service provider agreed to between the DB and Client
for this purpose.
(c)
On or as soon as reasonably practicable after each Data Delivery Date, and in any event
not later than the close of business on the second Joint Business Day following the Data
Delivery Date, Client will review the Portfolio Data delivered by DB with respect to each
relevant swap against Client's own books and records and Valuation for such swap and
notify DB whether it affirms the relevant Portfolio Data or has identified any
Discrepancy. Client shall notify. DB of all Discrepancies identified with respect to the
Portfolio Data provided.
(d)
If Client has notified DB of any Discrepancies in Portfolio Data in respect of any
Material Terms or Valuations, then DB and Client agree to consult with the other in an
attempt to resolve all such Discrepancies in a timely fashion.
4.
4.1
DB and Client hereby agree that a difference in Valuations in respect of a swap that is less than
the Discrepancy Threshold Amount shall not be deemed a "discrepancy" for purposes of CFTC
Regulation 23.502 and DB shall not be required by these procedures to notify Client of such a
difference or consult with Client in an attempt to resolve such a difference. The foregoing shall
be without prejudice to any right either party may have under applicable law or regulation, any
term of the Protocol (other than these procedures) or any other agreement to dispute or require
reconciliation of any such difference.
5.
2
CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e)
DB-SDNY-0093394
CONFIDENTIAL
SDNY GM_00239578
EFTA01389102