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Coverage and terms of the EU guarantee The EU guarantee shall be granted as a guarantee on demand in respect of the instruments referred to in Article 10 and shall cover: for debt instruments referred to in Article 10(2)(a): the principal and all interest and amounts due to the EIB but not received by it in accordance with the terms of the financing operations until the event of default; for subordinated debt a deferral, reduction or required exit shall be considered to be an event of default; losses arising from fluctuations of currencies other than the euro in markets where possibilities for long-term hedging are limited; for equity or quasi-equity investments referred to in Article 10(2)(a), the amounts invested and their associated funding cost and losses arising from fluctuations of currencies other than the euro; for operations referred to in Article 10(2)(b), the amounts used and their associated funding costs. The EU guarantee shall also cover the amounts referred to in the second and third subparagraphs of Article 9(6).