SWAP TRANSACTION CONFIRMATION
EXHIBIT 10.8
SWAP TRANSACTION CONFIRMATION
| Date: | February 15, 2007 | |
| To: | Capital One Auto Finance Trust 2007-A (“Counterparty”) c/o Wilmington Trust Company, as Owner Trustee 1100 North Market Street Wilmington, DE ###-###-#### Attention: Jeanne Oller Telephone: (302) 636-6188 Facsimile: (302) 636-4140 | |
| With a copy to: Capital One Auto Finance, Inc. 1680 Capital One Drive McLean, Virginia 22102 Attention: Director of Securitization Telephone: (703) 720-1000 Facsimile: (703) 720-2121 | ||
| From: | Barclays Bank PLC (“Barclays”) | |
| Ref. No. | 1598281B | |
Dear Sir:
The purpose of this letter (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 ISDA Master Agreement specified below.
1. The definitions and provisions contained in (i) the 2000 ISDA Definitions (the “ISDA Definitions”), as published by the International Swaps and Derivatives Association, Inc., and (ii) the Indenture dated as of February 15, 2007 (the “Indenture”) between Counterparty and The Bank of New York, as Indenture Trustee relating to the issuance by Counterparty of certain debt obligations, are incorporated into this Confirmation. In the event of any inconsistency between the ISDA Definitions and this Confirmation, this Confirmation will govern. In the event of any inconsistency between the ISDA Definitions and the Indenture, the Indenture will govern. References herein to a “Transaction” shall be deemed to be references to a “Swap Transaction” for purposes of the ISDA Definitions. Capitalized terms used but not defined herein have the meanings ascribed to them in the Indenture.
| Trust Swap Confirmation Class A-4 Notes |
2. The terms of the particular Transaction to which the Confirmation relates are as follows:
| Transaction Type: | Interest Rate Swap | |
| Currency for Payments: | U.S. Dollars | |
| Notional Amount: | For the initial Calculation Period, the Notional Amount shall be equal to USD 447,000,000. For each subsequent Calculation Period, the Notional Amount shall be equal to the Note Balance of the Class A-4 Notes on the first day of such Calculation Period. With respect to any Payment Date, the Note Balance of the Class A-4 Notes will be determined using the Servicer’s Certificate for the related Determination Date (giving effect to any reductions of the Note Balance of the Class A-4 Notes reflected in such Servicer’s Certificate). | |
| Term: | ||
| Trade Date: | February 6, 2007 | |
| Effective Date: | February 15, 2007 | |
| Termination Date: | The earlier of (i) the November 2013 Payment Date and (ii) the date on which the Note Balance of the Class A-4 Notes is reduced to zero. | |
| Fixed Amounts: | ||
| Fixed Rate Payer: | Counterparty | |
| Period End Dates: | Monthly on the 15th of each month, commencing March 15, 2007, through and including the Termination Date; No adjustment. | |
| Payment Dates: | Monthly on the 15th of each month, commencing March 15, 2007, through and including the Termination Date. | |
| Business Day Convention: | Following | |
| Business Day: | New York | |
| Fixed Rate: | 5.128% | |
| Fixed Rate Day Count Fraction: | 30/360 | |
| Floating Amounts: | ||
| Floating Rate Payer: | Barclays | |
| Period End Dates: | Monthly on the 15th of each month, commencing March 15, 2007, through and including the Termination Date, subject to adjustment in accordance with the Following Business Day Convention. | |
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| Payment Dates: | Monthly on the 15th of each month, commencing March 15, 2007, through and including the Termination Date. | |
| Business Day Convention: | Following | |
| Business Day: | New York | |
| Floating Rate Option: | USD-LIBOR-BBA. In respect of the initial Calculation Period, the Floating Rate Option shall be equal to 5.32% (which rate was Determined two London Business Days prior to the Effective Date by the Calculation Agent by reference to the Floating Rate Option with a Designated Maturity of 1 Month). | |
| Designated Maturity: | 1 Month. | |
| Spread: | Plus 0 basis points. | |
| Floating Rate Day Count | Actual/360 | |
| Fraction: | The first day of each Calculation Period. | |
| Reset Dates: | Inapplicable | |
| Compounding: | ||
| Payments of Floating Amounts: | Barclays agrees that it will use commercially reasonable efforts to make any Floating Amount payments by 12:00 pm (New York City time) on any relevant Floating Amount Payment Date, provided, however, Counterparty agrees that any failure by Barclays to make any such payment by 12:00 pm (New York City time) on any relevant Floating Amount Payment Date shall not constitute an Event of Default under the Agreement unless and until Barclays fails to make such payment and such failure constitutes an Event of Default under the Agreement. | |
3. The additional provisions of this Confirmation are as follows:
| Calculation Agent: | Barclays | |
| Payments to Barclays: | Barclays Bank PLC New York FEED: 026002574 Beneficiary: BARCLAYS SWAPS Beneficiary Account: 050-01922-8 | |
| Payments to Counterparty: | The Bank of New York ABA: 021000018 Acct: 993331 Acct Name: Capital One Auto Finance Trust 2007-A Collection Account Attn: Karim Rochelle | |
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4. Documentation
This Confirmation supplements, forms a part of, and is subject to, the 1992 ISDA Master Agreement dated as of February 15, 2007 (including the Schedule thereto) as amended and supplemented from time to time (the “Agreement”) between you and us. All provisions contained in the Agreement govern this Confirmation except as expressly modified herein. Unless otherwise provided in the Agreement, this Confirmation is governed by the laws of the State of New York.
5. Calculation of Market Quotation or Loss following a designation of an Early Termination Date:
Upon designation of an Early Termination Date with respect to this Transaction, the relevant party in calculating the Market Quotation or Loss, as appropriate, for this Transaction shall take into account the anticipated amortization of the Note Balance of the Class A-4 Notes for all Calculation Periods that would otherwise have ended on Payment Dates that would otherwise have fallen after such Early Termination Date.
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Please confirm that the foregoing correctly sets forth the terms of our agreement by executing a copy of this Confirmation and returning it to us.
| Very truly yours, | ||
| BARCLAYS BANK PLC | ||
| By: | /s/ Jay Kim | |
| Name: | Jay Kim | |
| Title: | Managing Director | |
Accepted and confirmed as of the date first above written:
| CAPITAL ONE AUTO FINANCE TRUST 2007-A | ||
| By: | WILMINGTON TRUST COMPANY, not in its individual capacity but solely in its capacity as Owner Trustee | |
| By: | /s/ J. Christopher Murphy | |
| Name: | J. Christopher Murphy | |
| Title: | Financial Services Officer | |
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