Delta Airlines 2012 Annual Report Download - page 281

“Hedge Agreement” means any agreement evidencing Hedging Obligations.
“ Hedging Obligations ” means, with respect to any specified Person, the obligations of such Person under:
(1)
interest rate swap agreements (whether from fixed to floating or from floating to fixed), interest rate
cap agreements and interest rate collar agreements;
(2) other agreements or arrangements designed to manage interest rates or interest rate risk; and
(3)
other agreements or arrangements designed to protect such Person against fluctuations in currency
exchange rates, fuel prices or other commodity prices, but excluding clauses in purchase agreements and
maintenance agreements pertaining to future prices.
“ Indebtedness ” means, with respect to any specified Person, any indebtedness of such Person (excluding air traffic
liability, accrued expenses and trade payables), whether or not contingent:
(1)
in respect of borrowed money;
(2)
evidenced by bonds, notes, debentures or similar instruments or letters of credit (or reimbursement
agreements in respect thereof);
(3) in respect of banker's acceptances;
(4)
representing Capital Lease Obligations;
(5)
representing the
balance deferred and unpaid of the purchase price of any property or services due more
than six months after such property is acquired or such services are completed, and excluding in any event trade
payables arising in the ordinary course of business; or
(6) representing any Hedging Obligations,
if and to the extent any of the preceding items (other than letters of credit and Hedging Obligations) would appear as a
liability upon a balance sheet of the specified Person prepared in accordance with GAAP. In addition, the term
“Indebtedness” includes all Indebtedness of others secured by a Lien on any asset of the specified Person (whether or not
such Indebtedness is assumed by the specified Person) and, to the extent not otherwise included, the Guarantee by the
specified Person of any Indebtedness of any other Person. Indebtedness shall be calculated without giving effect to the
effects of Statement of Financial Accounting Standards No. 133 and related interpretations to the extent such effects would
otherwise increase or decrease an amount of Indebtedness for any purpose under this Agreement as a result of accounting for
any embedded derivatives created by the terms of such Indebtedness.
For the avoidance of doubt, Banking Product Obligations do not constitute Indebtedness.
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