EX-10.2 Form of Confirmation Evidencing purchases of Nymex Unleaded Gasoline
EX-10.2 3 b69755weexv10w2.htm EX-10.2 FORM OF CONFIRMATION EVIDENCING PURCHASES OF NYMEX UNLEADED GASOLINE exv10w2
Following is the form of confirmation evidencing the purchase and sale by the Company of put and call option contracts from and to Wachovia Bank, N.A., on the price of Nymex Unleaded Regular Gasoline.
CONFIRMATION OF COMMODITY COLLAR OPTION
CASH SETTLED
CASH SETTLED
Date: | ||
To: | Wright Express Corporation (Counterparty) | |
Email: | ||
Attention: | ||
From: | Wachovia Bank, N.A. (Wachovia) | |
Ref. No: |
Dear Mr. Elder:
This confirms the terms of the Transaction described below between Counterparty and Wachovia. The definitions and provisions contained in the 2005 ISDA Commodity Definitions, as published by the International Swaps and Derivatives Association, Inc., are incorporated into this Confirmation. In the event of any inconsistency between those definitions and provisions and this Confirmation, this Confirmation will govern.
1. The terms of the particular Transaction to which the Confirmation relates are as follows:
Notional Quantity per | ||
Calculation Period: | For a Calculation Period, the amount set forth opposite that Calculation Period on Schedule I hereto. | |
Total Notional Quantity: | GAL | |
Commodity: | As per the Commodity Reference Price | |
Trade Date: | ||
Effective Date: | ||
Termination Date: | ||
Put Buyer/Call Seller: | Counterparty | |
Put Seller/Call Buyer: | Wachovia | |
Option Style: | Asian | |
Option Type: | Collar | |
Total Premium: | Inapplicable | |
Calculation Period: | As set forth on Schedule I hereto. | |
Commodity Reference | ||
Price: | GASOLINE RBOB-NEW YORK-NYMEX | |
Specified Price: | Settlement price | |
Pricing Date(s): | Each Commodity Business Day of the relevant Calculation Period. | |
From time to time, the Board of Directors of the New York Mercantile Exchange (the NYMEX Board) may change the termination date of the Commodity Reference Price Futures Contract or Commodity Reference Price Option expiration schedule. In the event that the NYMEX Board approves any changes to the date of the Commodity Reference Price Futures Contract or the Commodity Reference Price Option expiration schedule during the term of this |
transaction, the Pricing Dates contained herein shall automatically be adjusted to coincide with the changes approved by the NYMEX Board, without any further action or notice required by either party to this Transaction. | ||
Delivery Date: | First Nearby Month | |
Call Strike Price: | USD per GAL | |
Put Strike Price: | USD GAL | |
Procedure for Exercise: | ||
Expiration Date(s): | In respect of a Calculation Period, the Expiration Date is the last Pricing Date for the relevant Calculation Period. | |
Automatic Exercise: | Applicable | |
Cash Settlement: | Applicable | |
Cash Settlement Amount: | The following amounts shall be payable with respect to each Calculation Period: | |
If the Floating Price for a Calculation Period is greater than the Call Strike Price, then the Call Seller shall pay to the Call Buyer on the Settlement Date of that Calculation Period an amount equal to the product of (i) the difference between such Floating Price and the Call Strike Price, times (ii) the Notional Quantity for that Calculation Period. | ||
If the Floating Price for a Calculation Period is less than the Put Strike Price, then the Put Seller shall pay to the Put Buyer on the Settlement Date of that Calculation period an amount equal to the product of (i) the difference between such Floating Price and the Put Strike Price, times (ii) the Notional Quantity for that Calculation Period. | ||
Payment Date(s): | For a Calculation Period, the Payment Dates set forth opposite that Calculation Period on Schedule I hereto. | |
Business Day: | New York | |
Disruption Fallback(s): | 1) Negotiated Fallback | |
2) Calculation Agent Determination | ||
2. Rounding: | ||
All amounts resulting from the calculation of the Floating Price(s) shall be rounded to the nearest four decimal places with 0.00005 being rounded upwards (e.g. 0.33334 being rounded down to 0.3333 and 0.33335 being rounded up to 0.3334). | ||
3. The additional provisions of this Confirmation are as follows: | ||
Calculation Agent: | Wachovia | |
Payment Instructions: | Wachovia Bank, N.A. | |
CIB Group, ABA ###-###-#### | ||
Ref: Derivative Desk (Trade No: N376851) | ||
Account #: 04659360006116 | ||
Wachovia Contacts: | Settlement and/or Rate Resets: | |
Tel: 1 ###-###-#### | ||
Fax: 1 ###-###-#### | ||
Documentation: | ||
Tel: 704 ###-###-#### | ||
Fax: 704 ###-###-#### |
Collateral: | ||
Tel: (704)  ###-###-#### | ||
Please quote transaction reference number. | ||
Payments to Counterparty: | Per your standing payment instructions or debit authorization if provided to Wachovia, as relevant. If not provided, please contact us in order for payment to be made. | |
Phone: | 1 ###-###-#### Fax: 1 ###-###-#### | |
Documentation: |
This Confirmation supplements, forms part of, and is subject to, the Master Agreement between Wachovia and Counterparty dated as of July 18, 2007, as amended and supplemented from time to time (the Master Agreement). All provisions contained or incorporated by reference in the Master Agreement will govern this Confirmation except as expressly modified herein.
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, Wachovia
Bank, N.A.
Bank, N.A.
Ref. No. N376851
Accepted and Confirmed as of date first
written above:
Wright Express Corporation
By: /s/ Steve Elder
Name: Steve Elder
Title: Vice President, Corporate Finance
written above:
Wright Express Corporation
By: /s/ Steve Elder
Name: Steve Elder
Title: Vice President, Corporate Finance
Schedule I
Notional Quantity per | ||||||
Calculation Period | Calculation Period | Payment Dates | ||||
(from and including, to and including) | ||||||
to | GAL | |||||
to | GAL | |||||
to | GAL | |||||
to | GAL |