8.3.8.2 Specifying Consolidation Preferences

After selecting the combination of counterparty, product, currency and value date for drawdown selection, you have to capture the following in the Consol Details section of the screen.

Table 8-8 Consolidation Preferences

Fields	Description
Child Contract Ref No	You have to select the child drawdowns that have to be consolidated as part of rollover. The option list displays all drawdowns with the same combination of counterparty, product, currency and maturity date that you select. Select a drawdown from this list. Click the Add Row button to select the next drawdown from the list.
Principal Roll Amt	The system displays the outstanding principal that can be rolled over for each child drawdown. You can amend the outstanding principal, if required. This amount can be either greater than or lesser than the outstanding principal amount. The system treats this as a special amount rollover. In the case of Principal + Interest rollover, in addition to displaying the outstanding principal, the system displays the interest to be capitalized for each drawdown in the Interest Roll Amt field. You cannot amend this amount. PIK Roll amount gets updated if the PIK Rollover with capitalization is checked for parent contract. The system validates if all the parent contracts should have the same value for PIK Rollover with capitalization. An appropriate error will be displayed during save of the consol rollover.
Cash Interest Amount	Specify the interest amount to be liquidated for each parent contract at the borrower level and the cash interest amount can be lesser than or equal to the outstanding interest of parent drawdown.
Driver Contract	From the list of child drawdowns selected for consolidation, you have to designate one of them as the Driver Contract. The consolidated drawdown (generated upon rollover) inherits the preferences (information such as settlement details, schedules, MIS details and so on) of the driver contract you select here. Note: You can select only one of the child drawdowns as the driver drawdown. You can define the rollover amount to be greater than the total outstanding amount of the driver child drawdown. For other contracts that are being rolled over, you cannot specify a rollover amount greater than the outstanding amounts of the respective drawdowns. If the rollover amount you specify is greater than the outstanding amount of the driver contract, the system triggers a value date amendment (VAMI) on the driver contract to indicate an increase in the principal, before actual rollover occurs. If you choose consolidation with the split option for rollover, you cannot define the rollover amount to be greater that the total outstanding amount even for the driver contract.
PIK Rollover Amt	Calculated PIK margin amount for the specified child drawdown contract gets displayed here.