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Section 11.02. Application of Trust Money. The Trustee must hold in <br /> trust money or Federal Securities deposited with it pursuant to Section 11.01 and <br /> must apply the deposited money and the money paid with respect to the Federal <br /> Securities in accordance with this Agreement only to the payment of principal, <br /> interest and any applicable redemption premium with respect to the affected Bonds. <br /> ARTICLE XII <br /> INVESTMENT OF MONEYS IN FUNDS <br /> Section 12.01. Investments Authorized. <br /> (a) Subject to the further provisions of this Article XII, the Trustee must <br /> invest and reinvest moneys held by it under this Agreement upon the County's <br /> written direction in Investment Obligations that are Legal Investments. All <br /> investments, if registrable, must be registered in the name of the Trustee or its <br /> assignee for the benefit of the Owners and held by the Trustee. If the County does <br /> not provide the Trustee with written direction as to any investment or reinvestment <br /> of moneys held under this Agreement, the Trustee will invest or reinvest those <br /> moneys in the North Carolina Capital Management Trust (or its successor). <br /> (b) The Trustee may purchase or sell, to itself or to any affiliate, as <br /> principal or agent, any investments of funds held under this Agreement. The Trustee <br /> may act as purchaser or agent in the making or disposing of any investment, may <br /> make any investment through its bond or investment department or those of its <br /> affiliates, and may charge its ordinary and customary fees for those transactions. <br /> (c) The Trustee is not responsible or liable for any loss suffered in <br /> connection with any investment of funds made in accordance with this Section. The <br /> Trustee may conclusively rely on the County's investment directions as to both the <br /> suitability and legality of any investment made at the County's direction, and <br /> therefore the Trustee has no obligation or responsibility with respect to whether <br /> any particular investment is a Legal Investment or an Investment Obligation within <br /> the meaning of this Agreement. <br /> (d) The County must direct the investment and reinvestment of all moneys <br /> in Investment Obligations having maturities not extending beyond the date on <br /> 45 <br />