3.3.2.40 Confirmation for Deliverable Currency Option without commentary

Following is a sample confirmation for a deliverable currency option, without commentary. A sample confirmation with commentary can be found in 3.3.2.30 "Confirmation for Deliverable Currency Option with commentary"

Note! The form of Confirmation has changed from the form recommended in AFMA's 1991 Australian ISDA Guide to bring it into line with the form of Confirmation recommended in the 1998 FX and Currency Option Definitions.

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Sample Confirmation for Deliverable Currency Option without commentary

[Letterhead of Party A]

[Date]

Reference Number [ ]

[Name and Address of Party B]

Dear

Currency Option

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

The definitions and provisions contained in the 1998 FX and Currency Option Definitions (as published by the International Swaps and Derivatives Association, Inc, the Emerging Markets Traders Association and the Foreign Exchange Committee), are incorporated into this Confirmation. In the event of any inconsistency between those definitions and provisions and this Confirmation, this Confirmation will govern.

1. This Confirmation supplements, forms a part of, and is subject to the Master Agreement dated as of [insert date], as amended and supplemented from time to time between [Name of Party A] ("Party A") and [Name of Party B] ("Party A") (the "Agreement"). All provisions contained in the Agreement govern this Confirmation except as expressly modified below.

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

(a)         General Terms:

 

Trade Date:

Buyer:

Seller:

Currency Option Style:

Currency Option Type:

Call Currency [and Call
Currency Amount]:

Put Currency [and Put
Currency Amount]:

[Strike Price]:

Expiration Date:

Expiration Time:

Settlement Date:

In-the-Money Amount
Settlement [Yes] [No]

[Premium:]

[Price:] [          ] [payable in [          ] [equal]

instalments on each Premium Payment Date] [as follows:          ]

[Premium Payment Date[s]:] [Specify date or dates]

 

3. Calculation Agent:

4. Account Details:

Account for payments to Party A:

 

Account for payments to Party B:

5. Offices

The Office of Party A for the Transaction is  ;

The Office of Party B for the Transaction is  ;

6. [Business Day:]

7. [Business Day Convention:]

This Confirmation supersedes and replaces any other confirmation (including a SWIFT MT300 or telephone confirmation), if any, sent in connection with this Transaction on or prior to the date hereof.

Please confirm that the foregoing correctly sets forth the terms of our agreement by executing the copy of this Confirmation enclosed for that purpose and returning it to us or by sending to us a letter substantially similar to this letter, which letter sets forth the material terms of the Transaction to which this Confirmation relates and indicates your agreement to those terms.

Yours sincerely

[name of party preparing Confirmation]

By:

Name:

Title:

Confirmed as of the date first written:

[name of other party]

By:            

Name:

Title:


Last Update Date 29 Jun 2011