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"Replacement Proceeds" means amounts that have a sufficiently direct nexus to the Note or the governmental purpose of the Note to conclude that the amounts would have been used for that governmental purpose if the Proceeds of the Note were not used or to be used for that governmental purpose. For this purpose, governmental purposes include the expected use of amounts for the payment of debt service on a particular date. The mere availability or preliminary earmarking of amounts for a governmental purpose, however, does not in itself establish a sufficient nexus to cause those amounts to be Replacement Proceeds. Replacement Proceeds include, but are not limited to, amounts held in a sinking fund or a pledged fund. For these purposes, an amount is pledged to pay principal of or interest on the Note if there is reasonable assurance that the amount will be available for such purposes in the event that the issuer encounters financial difficulties. "Sale Proceeds" means any amounts actually or constructively received by the Issuer from the sale of the Note. Sale Proceeds shall also include, but are not limited to, amounts derived from the sale of a right that is associated with the Note and that is described in Section 1.148-4(b)(4) of the Regulations. "Tax -Exempt Investment" means (i) an obligation the interest on which is excluded from gross income pursuant to Section 103 of the Code, (ii) United States Treasury -State and Local Government Series, Demand Deposit Securities, and (iii) stock in a tax-exempt mutual fund as described in Section 1.150-1(b) of the Regulations. Tax -Exempt Investment shall not include a specified private activity bond as defined in Section 57(a)(5)(C) of the Code. For purposes of this Rebate Statement, a tax-exempt mutual fund includes any regulated investment company within the meaning of Section 851(a) of the Code meeting the requirements of Section 852(a) of the Code for the applicable taxable year; having only one class of stock authorized and outstanding; investing all of its assets in tax-exempt obligations to the extent practicable; and having at least 98% of (1) its gross income derived from interest on, or gain from the sale of or other disposition of, tax-exempt obligations or (2) the weighted average value of its assets represented by investments in tax-exempt obligations. "Transferred Proceeds" shall have the meaning provided therefor in Section 1.148-9 of the Regulations. "Universal Cap" means the Value of the then outstanding Note. "Value" (of the Note) means, with respect to the Note, its present value. "Value" (of an Investment) shall have the following meaning in the following circumstances: (1) General Rules. Subject to the special rules in the following paragraph, an issuer may determine the value of an investment on a date using one of the following valuation methods consistently applied for all purposes relating to arbitrage and rebate with respect to that investment on that date: A-4