Common use of Interest on the Notes Clause in Contracts

Interest on the Notes. Interest (computed on the basis of a 360-day year of twelve 30-day months) shall accrue on the unpaid principal balance of the Notes at 7.05% per annum from the date of each Note, and shall be payable to the holders thereof semi-annually, on January 2 and July 2 in each year, commencing with the later of July 2,1998 and the payment date next succeeding the date of such Note, until the principal thereof shall have become due and payable, and, to the extent permitted by law in respect of any Note, on any overdue payment of principal, any overdue payment of interest and any overdue payment of Make-Whole Amount with respect thereto, payable, on demand, at a rate per annum equal to the Default Rate.