step-up

(in relation to any item of capital) any change in the coupon rate on that item that results in an increase in the amount payable at any time, including a change already provided in the original terms governing those payments. A step-up:45

1. (a) includes (in the case of a fixed rate) an increase in that coupon rate;45
2. (b) includes (in the case of a floating rate calculated by adding a fixed amount to a fluctuating amount) an increase in that fixed amount;45
3. (c) includes (in the case of a floating rate) a change in the benchmark by reference to which the fluctuating element of the coupon is calculated that results in an increase in the absolute amount of the coupon; and45
4. (d) does not include (in the case of a floating rate) an increase in the absolute amount of the coupon caused by fluctuations in the fluctuating figure by reference to which the absolute amount of the coupon floats.45