Common use of Application of Applied Realized Loss Amounts Clause in Contracts

Application of Applied Realized Loss Amounts. On each Distribution Date, the Trust Administrator shall allocate any Applied Realized Loss Amount, first, to reduce the Class Principal Balances of the Class M-7, Class M-6, Class M-5, Class M-4, Class M-3, Class M-2 and Class M-1 Certificates, sequentially, in that order, in each case until their respective Class Principal Balances are reduced to zero, and second, to reduce the Class Principal Balances of the Class AC Certificates, pro rata, until their respective Class Principal Balances are reduced to zero. All Realized Losses on the Mortgage Loans shall be deemed to have been allocated in the specified percentages, as follows: first, to Uncertificated Accrued Interest payable to the REMIC II Regular Interest LTAA and REMIC II Regular Interest LTZZ up to an aggregate amount equal to the REMIC II Interest Loss Allocation Amount, 98% and 2%, respectively; second, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA and REMIC II Regular Interest LTZZ up to an aggregate amount equal to the REMIC II Principal Loss Allocation Amount, 98% and 2%, respectively; third, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM7 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively, until the Uncertificated Principal Balance of REMIC II Regular Interest LTM7 has been reduced to zero; fourth, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM6 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively until the Uncertificated Principal Balance of REMIC II Regular Interest LTM6 has been reduced to zero; fifth, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM5 and REMIC I Regular Interest LTZZ, 98%, 1% and 1%, respectively until the Uncertificated Principal Balance of REMIC II Regular Interest LTM5 has been reduced to zero; sixth, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM4 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively, until the Uncertificated Principal Balance of REMIC II Regular Interest LTM4 has been reduced to zero; seventh, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM3 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively, until the Uncertificated Principal Balance of REMIC II Regular Interest LTM3 has been reduced to zero; eighth, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM2 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively, until the Uncertificated Principal Balance of REMIC II Regular Interest LTM2 has been reduced to zero; and ninth, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM1 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively, until the Uncertificated Principal Balance of REMIC II Regular Interest LTM1 has been reduced to zero.

Application of Applied Realized Loss Amounts. On each Distribution Date, the Trust Administrator Trustee shall allocate any the Applied Realized Loss Amount, first, Amount to reduce the applicable Class Principal Certificate Balances of or the Class M-7A-1-B Swap Principal Amount, as applicable, in the following order of priority: (1) sequentially, to the Class M-6M-▇, ▇▇▇▇▇ ▇-▇, Class M-5, Class M-4, Class M-3, Class M-2 and Class M-1 Certificates, in that order, until their respective Class Certificate Balances are reduced to zero; (2) to the Class A-3 Certificates, until its Class Certificate Balance is reduced to zero; (3) to the Class A-2 Certificates, until its Class Certificate Balance is reduced to zero; and (4) concurrently, to the Class A-1-A and Class A-1-B Certificates and the Class A-1-B Swap Principal Amount, pro rata, based on the Class Certificate Balance or Class A-1-B Swap Principal Amount, as applicable, until each Class Certificate Balance or Class A-1-B Swap Principal Amount is reduced to zero. (i) Application of Subsequent Recoveries. If Subsequent Recoveries have been received with respect to a Liquidated Mortgage Loan, the amount of such Subsequent Recoveries will be applied to increase the applicable Class Certificate Balances or the Class A-1-B Swap Principal Amount, as applicable, in the following order of priority: (1) concurrently, to the Class A-1-A and Class A-1-B Certificates and the Class A-1-B Swap Principal Amount, if any, pro rata based on their respective Unpaid Realized Loss Amounts, in an amount up to their respective Unpaid Realized Loss Amounts; (2) to the Class A-2 Certificates in an amount up to its respective Unpaid Realized Loss Amount; (3) to the Class A-3 Certificates, in an amount up to its respective Unpaid Realized Loss Amount; and (4) sequentially, to the Class M-▇, ▇▇▇▇▇ ▇-▇, Class M-3, Class M-4, Class M-5, Class M-6 and Class M-7 Certificates, in that order, in each case until an amount up to their respective Class Principal Balances are reduced Unpaid Realized Loss Amounts. Holders of such Certificates will not be entitled to zero, and second, any payment in respect of Current Interest on the amount of such increases for any Interest Accrual Period preceding the Distribution Date on which such increase occurs. Any such increases shall be applied pro rata to reduce the Certificate Balance of each Certificate of such Class. The Swap Counterparty will not be entitled to any payment in respect of interest on the Class A-1-B Swap Principal Balances of Amount at the Class AC Certificates, pro rata, until their respective Class Principal Balances are reduced to zero. All Realized Losses related Pass-Through Rate on the Mortgage Loans shall be deemed to have been allocated in amount of such increases for any Interest Accrual Period preceding the specified percentages, as follows: first, to Uncertificated Accrued Interest payable to the REMIC II Regular Interest LTAA and REMIC II Regular Interest LTZZ up to an aggregate amount equal to the REMIC II Interest Loss Allocation Amount, 98% and 2%, respectively; second, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA and REMIC II Regular Interest LTZZ up to an aggregate amount equal to the REMIC II Principal Loss Allocation Amount, 98% and 2%, respectively; third, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM7 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively, until the Uncertificated Principal Balance of REMIC II Regular Interest LTM7 has been reduced to zero; fourth, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM6 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively until the Uncertificated Principal Balance of REMIC II Regular Interest LTM6 has been reduced to zero; fifth, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM5 and REMIC I Regular Interest LTZZ, 98%, 1% and 1%, respectively until the Uncertificated Principal Balance of REMIC II Regular Interest LTM5 has been reduced to zero; sixth, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM4 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively, until the Uncertificated Principal Balance of REMIC II Regular Interest LTM4 has been reduced to zero; seventh, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM3 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively, until the Uncertificated Principal Balance of REMIC II Regular Interest LTM3 has been reduced to zero; eighth, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM2 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively, until the Uncertificated Principal Balance of REMIC II Regular Interest LTM2 has been reduced to zero; and ninth, to the Uncertificated Principal Balances of REMIC II Regular Interest LTAA, REMIC II Regular Interest LTM1 and REMIC II Regular Interest LTZZ, 98%, 1% and 1%, respectively, until the Uncertificated Principal Balance of REMIC II Regular Interest LTM1 has been reduced to zeroDistribution Date on which such increase occurs.