The restructured deal: termination provisions

38.  There are a number of events of default which would entitle the Government to terminate the Development Agreement, including:

a)  a call under one of the Government guarantees;

b)  Eurostar UK annual and cumulative operating cashflows for two successive years falling below the Government Downside Case;

c)  Cumulative access charge loans to LCR exceeding £360 million.

39.  On an event of default, the Eurostar UK service would revert to Government ownership. However, the management agreement with ICRR and agreements relating to construction of Section 2 would remain in place.