CONFIRMATION
Exhibit 10.2
CONFIRMATION
DATE: | October 27, 2004 |
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TO: | Boise Southern Company | |
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| Telephone No.: | 208 ###-###-#### |
| Facsimile No. : | 208 ###-###-#### |
| Attention : | Wayne Rancourt |
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FROM: | J. Aron & Company |
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SUBJECT: | Swap Transaction |
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REF NO: | NUUS410F0 (600000000) / (006 436 281) |
The purpose of this communication is to set forth the terms and conditions of the above referenced transaction entered into on the Trade Date specified below (the Transaction) between J. Aron & Company (ARON), and Boise Southern Company (Counterparty), guaranteed by Boise Cascade Corporation. This communication constitutes a Confirmation as referred to in paragraph 2. below.
1. The definitions and provisions contained in the 2000 ISDA Definitions (the Definitions), as published by the International Swaps and Derivatives Association, Inc. are incorporated into this Confirmation.
2. This Confirmation evidences a complete and binding agreement between you and us as to the terms of the Transaction to which this Confirmation relates. In addition, you and we 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), with such modifications as you and we will in good faith agree. Upon the execution by you and us of such an agreement or if such an agreement or other form of ISDA master agreement has already been executed by you and us, this Confirmation will supplement, form a part of, and be subject to that 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 a part of, and be subject to an agreement (which shall survive the termination of this Transaction) in the form of the ISDA Form as if we had executed an agreement in such form effective as of the Trade Date of the first Transaction between us (but without any Schedule except for (i) the election of Loss and Second Method, New York law (without regard to the conflicts of law principles) as the governing law and US Dollars as the Termination Currency, (ii) the election that subparagraph (ii) of Section 2(c) will not apply to Transactions, and (iii) the replacement of the word third in the last line of Section 5(a)(i) with the word first). In the event of any inconsistency between the Definitions, the ISDA Form and this Confirmation, this Confirmation will govern.
3. The terms of the particular Transaction to which this Confirmation relates are as follows:
Notional Amount: | USD 232,000,000 |
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Trade Date: | October 27, 2004 |
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Effective Date: | December 20, 2004 |
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Termination Date: | December 20, 2019, subject to adjustment in accordance with the Modified Following Business Day Convention and, subject to early termination as set forth under Additional Provisions below. | |
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Floating Rate Amounts: |
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Floating Rate Payer: | ARON | |
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Floating Rate Payer Payment Dates: | Quarterly, on each March 20th, June 20th, September 20th, and December 20th, commencing on March 20, 2005 and ending on the Termination Date, subject to adjustment in accordance with the Modified Following Business Day Convention. | |
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Floating Rate Option: | USD-LIBOR-BBA | |
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Floating Rate Designated Maturity: | 3 Months | |
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Floating Rate Spread: | None | |
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Floating Rate Reset Dates: | The first day of each Calculation Period | |
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Floating Rate Day Count Fraction: | Actual/360 | |
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Floating Rate Period End Dates: | Adjusted in accordance with the Modified Following Business Day Convention. | |
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Fixed Amounts: |
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Fixed Rate Payer: | Counterparty | |
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Fixed Rate Payer Payment Dates: | Semi-annually, on each June 20th and December 20th, commencing on June 20, 2005 and ending on the Termination Date, subject to adjustment in accordance with the Modified Following Business Day Convention. | |
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Fixed Rate: | 4.9744% | |
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Fixed Rate Day Count Fraction: | 30/360 | |
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Fixed Rate Period End Dates: | Unadjusted | |
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Business Days: | New York and London | |
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Calculation Agent: | ARON | |
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4. Documentation: | ISDA Master Agreement with ARON Schedule | |
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5. Additional Provisions: |
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| (a) Early Termination |
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| Mandatory Early Termination: | Applicable |
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| (b) Settlement Terms |
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Mandatory Early Termination Date: | The Effective Date | |
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Business Day Convention for Mandatory Early Termination Date: | Modified Following | |
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Cash Settlement Valuation Time: | 11:00 a.m. New York time | |
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Cash Setttement Valuation Date: | The second Valuation Business Day preceding the Mandatory Early Termination Date | |
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Valuation Business Days: | New York and London | |
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Cash Settlement Method: | Cash Price | |
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Cash Settlement Reference Banks: | To be agreed on the Mandatory Early Termination Date | |
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Quotation Rate: | To be determined by Calculation Agent on the Mandatory Early Termination Date | |
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6. Credit Support Documents: | (a) Standard Guaranty of The Goldman Sachs Group, Inc. | |
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| (b) Guaranty of Boise Cascade Corporation | |
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7. Account Details: |
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Payments to ARON: |
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For the Account of: | J. Aron & Company | |
Name of Bank: | Citibank, N.A. New York | |
Account No: | 09292521 | |
SWIFT No: | 021000089 | |
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GSCM Inquiries | Swap Operations | |
| J. Aron & Company | |
| Telephone No.: 212 ###-###-#### | |
| Facsimile No.: 212 ###-###-#### | |
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Payments to Counterparty: | In accordance with Counterpartys written instructions as set forth below or otherwise delivered to ARON. ARON shall make no payments without having received (i) such written instructions and (ii) a fully executed facsimile copy of this Confirmation or other written acceptance of the terms hereof. | |
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For the Account of: | OfficeMax Incorporated | |
Name of Bank: | JP Morgan Chase NY | |
Account No: | 304-153346 | |
SWIFT CODE: | 021 000 021 |
8. Offices:
(a) The Office of ARON for this Transaction is 85 Broad Street, New York, New York, 10004.
(b) The Office of Counterparty for this Transaction is 1111 West Jefferson Street, Boise, Idaho, 83728
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9. Counterparty hereby agrees (a) to check this Confirmation (Reference No.: NUUS410F0 (600000000)) carefully and immediately upon receipt so that errors or discrepancies can be promptly identified and rectified and (b) to confirm that the foregoing correctly sets forth the terms of the agreement between ARON and Counterparty with respect to the particular Transaction to which this Confirmation relates, by manually signing this Confirmation and providing the other information requested herein and immediately returning an executed copy to Swap Administration, facsimile No. 212 ###-###-####.
| Very truly yours, | ||
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| J. ARON & Company | ||
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| By: | /s/ Carlos A. Landaure |
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| Name: | ||
| Title: |
Agreed and Accepted By:
BOISE SOUTHERN COMPANY
By: | /s/ Ted Crumley |
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Name: | ||
Title: | ||
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Counterparty Reference No.: |
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