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                                                                   Exhibit 10.20

================================================================================


                          SALE AND SERVICING AGREEMENT


                                      among


                    HARLEY-DAVIDSON MOTORCYCLE TRUST 2003-1,
                                   as Issuer,


                     HARLEY-DAVIDSON CUSTOMER FUNDING CORP.,
                               as Trust Depositor,


                          HARLEY-DAVIDSON CREDIT CORP.,
                                   as Servicer

                                       and


                           BNY MIDWEST TRUST COMPANY,
                              as Indenture Trustee


                          Dated as of February 1, 2003


================================================================================

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                                TABLE OF CONTENTS

<Table>
<Caption>
                                                                                                             Page
                                                                                                             ----
<S>                   <C>                                                                                      <C>
ARTICLE ONE           DEFINITIONS...............................................................................1
    SECTION 1.01.     DEFINITIONS...............................................................................1
    SECTION 1.02.     USAGE OF TERMS...........................................................................20
    SECTION 1.03.     SECTION REFERENCES.......................................................................21
    SECTION 1.04.     CALCULATIONS.............................................................................21
    SECTION 1.05.     ACCOUNTING TERMS.........................................................................21
ARTICLE TWO           ESTABLISHMENT OF TRUST; TRANSFER OF CONTRACTS............................................21
    SECTION 2.01.     CLOSING..................................................................................21
    SECTION 2.02.     CONDITIONS TO THE CLOSING................................................................22
    SECTION 2.03.     CONVEYANCE OF SUBSEQUENT CONTRACTS.......................................................23
ARTICLE THREE         REPRESENTATIONS AND WARRANTIES...........................................................26
    SECTION 3.01.     REPRESENTATIONS AND WARRANTIES REGARDING THE TRUST DEPOSITOR.............................27
    SECTION 3.02.     REPRESENTATIONS AND WARRANTIES REGARDING THE SERVICER....................................29
ARTICLE FOUR          PERFECTION OF TRANSFER AND PROTECTION OF SECURITY INTERESTS..............................30
    SECTION 4.01.     CUSTODY OF CONTRACTS.....................................................................30
    SECTION 4.02.     FILING...................................................................................31
    SECTION 4.03.     NAME CHANGE OR RELOCATION................................................................32
    SECTION 4.04.     COSTS AND EXPENSES.......................................................................32
ARTICLE FIVE          SERVICING OF CONTRACTS...................................................................32
    SECTION 5.01.     RESPONSIBILITY FOR CONTRACT ADMINISTRATION...............................................32
    SECTION 5.02.     STANDARD OF CARE.........................................................................32
    SECTION 5.03.     RECORDS..................................................................................33
    SECTION 5.04.     INSPECTION...............................................................................33
    SECTION 5.05.     TRUST ACCOUNTS...........................................................................33
    SECTION 5.06.     ENFORCEMENT..............................................................................35
    SECTION 5.07.     TRUSTEES TO COOPERATE....................................................................37
    SECTION 5.08.     COSTS AND EXPENSES.......................................................................37
    SECTION 5.09.     MAINTENANCE OF SECURITY INTERESTS IN MOTORCYCLES.........................................37
    SECTION 5.10.     SUCCESSOR SERVICER/LOCKBOX AGREEMENTS....................................................37
    SECTION 5.11.     SEPARATE ENTITY EXISTENCE................................................................38
ARTICLE SIX           THE TRUST DEPOSITOR......................................................................38
    SECTION 6.01.     COVENANTS OF THE TRUST DEPOSITOR.........................................................38
    SECTION 6.02.     LIABILITY OF TRUST DEPOSITOR; INDEMNITIES................................................41
    SECTION 6.03.     MERGER OR CONSOLIDATION OF, OR ASSUMPTION OF THE OBLIGATIONS OF, TRUST DEPOSITOR;
                      CERTAIN LIMITATIONS......................................................................42
    SECTION 6.04.     LIMITATION ON LIABILITY OF TRUST DEPOSITOR AND OTHERS....................................43
    SECTION 6.05.     TRUST DEPOSITOR NOT TO RESIGN............................................................43
ARTICLE SEVEN         DISTRIBUTIONS; RESERVE FUND..............................................................44
    SECTION 7.01.     MONTHLY DISTRIBUTIONS....................................................................44
    SECTION 7.02.     FEES.....................................................................................44
    SECTION 7.03.     ADVANCES; REALIZATION OF CARRYING CHARGE.................................................44
    SECTION 7.04.     INTEREST RESERVE ACCOUNT.................................................................45
    SECTION 7.05.     DISTRIBUTIONS; PRIORITIES................................................................45
    SECTION 7.06.     RESERVE FUND.............................................................................48
    SECTION 7.07.     ESTABLISHMENT OF PRE-FUNDING ACCOUNT.....................................................49
    SECTION 7.08.     REACQUISITION OF CONTRACTS FOR BREACH OF REPRESENTATIONS AND WARRANTIES..................50
    SECTION 7.09.     REASSIGNMENT OF REACQUIRED CONTRACTS.....................................................51
    SECTION 7.10.     SELLER'S REACQUISITION OPTION............................................................51
ARTICLE EIGHT         EVENTS OF TERMINATION; SERVICE TRANSFER..................................................51
</Table>

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<Table>
<S>                   <C>                                                                                      <C>
    SECTION 8.01.     EVENTS OF TERMINATION....................................................................51
    SECTION 8.02.     WAIVER OF SERVICER DEFAULT...............................................................52
    SECTION 8.03.     SERVICE TRANSFER.........................................................................52
    SECTION 8.04.     SUCCESSOR SERVICER TO ACT; APPOINTMENT OF SUCCESSOR SERVICER.............................53
    SECTION 8.05.     NOTIFICATION TO SECURITYHOLDERS..........................................................53
    SECTION 8.06.     EFFECT OF TRANSFER.......................................................................54
    SECTION 8.07.     DATABASE FILE............................................................................54
    SECTION 8.08.     SUCCESSOR SERVICER INDEMNIFICATION.......................................................54
    SECTION 8.09.     RESPONSIBILITIES OF THE SUCCESSOR SERVICER...............................................54
    SECTION 8.10.     LIMITATION OF LIABILITY OF SERVICER......................................................55
    SECTION 8.11.     MERGER OR CONSOLIDATION OF SERVICER......................................................55
    SECTION 8.12.     SERVICER NOT TO RESIGN...................................................................56
    SECTION 8.13.     APPOINTMENT OF SUBSERVICER...............................................................56
ARTICLE NINE          REPORTS..................................................................................56
    SECTION 9.01.     MONTHLY REPORTS..........................................................................56
    SECTION 9.02.     OFFICER'S CERTIFICATE....................................................................56
    SECTION 9.03.     OTHER DATA...............................................................................56
    SECTION 9.04.     ANNUAL REPORT OF ACCOUNTANTS.............................................................56
    SECTION 9.05.     ANNUAL STATEMENT OF COMPLIANCE FROM SERVICER.............................................58
    SECTION 9.06.     MONTHLY REPORTS TO NOTEHOLDERS...........................................................58
ARTICLE TEN           TERMINATION..............................................................................60
    SECTION 10.01.    SALE OF TRUST ASSETS.....................................................................60
ARTICLE ELEVEN        MISCELLANEOUS............................................................................61
    SECTION 11.01.    AMENDMENT................................................................................61
    SECTION 11.02.    PROTECTION OF TITLE TO TRUST.............................................................62
    SECTION 11.03.    GOVERNING LAW............................................................................64
    SECTION 11.04.    NOTICES..................................................................................64
    SECTION 11.05.    SEVERABILITY OF PROVISIONS...............................................................66
    SECTION 11.06.    ASSIGNMENT...............................................................................66
    SECTION 11.07.    THIRD PARTY BENEFICIARIES................................................................66
    SECTION 11.08.    COUNTERPARTS.............................................................................66
    SECTION 11.09.    HEADINGS.................................................................................66
    SECTION 11.10.    NO BANKRUPTCY PETITION; DISCLAIMER AND SUBORDINATION.....................................66
    SECTION 11.11.    LIMITATION OF LIABILITY OF OWNER TRUSTEE AND INDENTURE TRUSTEE...........................67
</Table>

                                       ii
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                                    EXHIBITS

<Table>
<S>         <C>                                                                 <C>
Exhibit A   Form of Assignment                                                  A-1
Exhibit B   Form of Closing Certificate of Trust Depositor                      B-1
Exhibit C   Form of Closing Certificate of Seller/Servicer                      C-1
Exhibit D   Form of Opinion of Counsel for Trust Depositor regarding
            general corporate matters (including perfection opinion)            D-1
Exhibit E   Form of Opinion of Counsel for Trust Depositor regarding
            the "TRUE SALE" nature of the transaction                           E-1
Exhibit F   Form of Opinion of Counsel for Trust Depositor regarding
            non-consolidation                                                   F-1
Exhibit G   Form of Certificate Regarding Reacquired Contracts                  G-1
Exhibit H   List of Contracts                                                   H-1
Exhibit I   Form of Monthly Report to Noteholders and the Certificateholder     I-1
Exhibit J   Seller's Representations and Warranties                             J-1
Exhibit K   Lockbox Bank and Lockbox Account                                    K-1
Exhibit L   Form of Contract Stamp                                              L-1
Exhibit M   Form of Subsequent Transfer Agreement                               M-1
</Table>

                                       iii
<Page>

     SALE AND SERVICING AGREEMENT, dated as of February 1, 2003, among
Harley-Davidson Motorcycle Trust 2003-1 (together with its successors and
assigns, the "ISSUER" or the "TRUST"), Harley-Davidson Customer Funding Corp.
(together with its successor and assigns, the "TRUST DEPOSITOR"), BNY Midwest
Trust Company (solely in its capacity as Indenture Trustee together with its
successors and assigns, the "INDENTURE TRUSTEE") and Harley-Davidson Credit
Corp. (solely in its capacity as Servicer together with its successor and
assigns, "HARLEY-DAVIDSON CREDIT" or the "SERVICER").

     WHEREAS the Issuer desires to acquire from the Trust Depositor an initial
and subsequent pool of fixed-rate, simple interest motorcycle conditional sales
contracts and promissory note and security agreements relating to
Harley-Davidson and Buell motorcycles and motorcycles not manufactured by
Harley-Davidson or Buell (collectively, the "CONTRACTS") originated by
Harley-Davidson Credit and subsequently sold by Harley-Davidson Credit to the
Trust Depositor;

     WHEREAS the Trust Depositor is willing to transfer and assign the Contracts
to the Issuer pursuant to the terms hereof; and

     WHEREAS the Servicer is willing to service the Contracts pursuant to the
terms hereof;

     NOW, THEREFORE, in consideration of the premises and the mutual covenants
herein contained, the parties hereto agree as follows:

                                   ARTICLE ONE

                                   DEFINITIONS

     SECTION 1.01.  DEFINITIONS.  Whenever used in this Agreement, the following
words and phrases, unless the context otherwise requires, shall have the
following meanings:

     "ADDITION NOTICE" means, with respect to any transfer of Subsequent
Contracts to the Issuer pursuant to Section 2.03 and the Trust Depositor's
corresponding prior purchase of such Contracts from the Seller, a notice, which
shall be given at least 10 days prior to the related Subsequent Transfer Date,
identifying the aggregate Principal Balance of the Subsequent Contracts to be
transferred.

     "ADVANCE" means, with respect to any Distribution Date, the amounts, if
any, deposited by the Servicer in the Collection Account for such Distribution
Date pursuant to Section 7.03.

     "AFFILIATE" of any specified Person means any other Person controlling or
controlled by, or under common control with, such specified Person. For the
purposes of this definition, "CONTROL" when used with respect to any specified
Person means the power to direct the management and policies of such Person,
directly or indirectly, whether through the ownership

                                        1
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of voting securities, by contract or otherwise; and the terms "CONTROLLING" or
"CONTROLLED" have meanings correlative to the foregoing.

     "AGGREGATE PRINCIPAL BALANCE" will equal the sum of the Principal Balances
of each outstanding Contract and the Pre-Funded Amount, if any. At the time of
initial issuance of the Securities, the initial aggregate principal amount of
the Securities will equal the initial Pool Balance plus the initial Pre-Funded
Amount.

     "AGGREGATE PRINCIPAL BALANCE DECLINE" means, with respect to any
Distribution Date, the amount by which the Aggregate Principal Balance as of the
close of business on the last day of the Due Period relating to the Distribution
Date immediately preceding such Distribution Date (or as of the Cutoff Date in
the case of the first Distribution Date) exceeds the Aggregate Principal Balance
as of the close of business on the last day of the Due Period relating to such
Distribution Date.

     "AGREEMENT" means this Sale and Servicing Agreement, as amended,
supplemented or otherwise modified from time to time in accordance with the
terms hereof.

     "AVAILABLE MONIES" means, with respect to any Distribution Date, the sum of
the Available Interest and the Available Principal for such Distribution Date.

     "AVAILABLE INTEREST" means, with respect to any Distribution Date, the
total (without duplication) of the following amounts received by the Servicer on
or in respect of the Contracts during the related Due Period: (i) all amounts
received in respect of interest on the Contracts, (ii) the interest component of
all Net Liquidation Proceeds, (iii) the interest component of the aggregate of
the Reacquisition Prices for Contracts reacquired by the Trust Depositor
pursuant to Section 7.08, (iv) all Advances made by the Servicer pursuant to
Section 7.03, (v) the interest component of all amounts paid by the Trust
Depositor in connection with an optional reacquisition of the Contracts pursuant
to Section 7.10, (vi) all amounts received in respect of Carrying Charges
transferred from the Interest Reserve Account pursuant to Section 7.03, and
(vii) all amounts received in respect of interest, dividends, gains, income and
earnings on investment of funds in the Trust Accounts as contemplated in Section
5.05(d).

     "AVAILABLE PRINCIPAL" means, with respect to any Distribution Date, the
total (without duplication) of the following amounts received by the Servicer on
or in respect of the Contracts during the related Due Period: (i) all amounts
received in respect of principal on the Contracts, (ii) the principal component
of all Net Liquidation Proceeds, (iii) the principal component of the aggregate
of the Reacquisition Prices for Contracts reacquired by the Trust Depositor
pursuant to Section 7.08, and (iv) the principal component of all amounts paid
by the Trust Depositor in connection with an optional reacquisition of the
Contracts pursuant to Section 7.10.

     "AVERAGE DELINQUENCY RATIO" means, for any Distribution Date, the
arithmetic average of the Delinquency Ratios for such Distribution Date and the
two immediately preceding Distribution Dates.

                                        2
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     "AVERAGE LOSS RATIO" means, for any Distribution Date, the arithmetic
average of the Loss Ratios for such Distribution Date and the two immediately
preceding Distribution Dates.

     "BASE PROSPECTUS" means the Prospectus dated January 28, 2003 relating to
the Harley-Davidson Motorcycle Trusts.

     "BUELL" means Buell Motorcycle Company.

     "BUSINESS DAY" means any day other than a Saturday or a Sunday, or another
day on which banking institutions in the city of Chicago, Illinois, Wilmington,
Delaware or New York, New York are authorized or obligated by law, executive
order, or governmental decree to be closed.

     "CALCULATION DAY" means the last day of each calendar month.

     "CARRYING CHARGES" means the sum of (i) the product of (x) the weighted
average of the Class A-1 Rate, the Class A-2 Rate and the Class B Rate and (y)
the undisbursed funds (excluding investment earnings) in the Pre-Funding Account
(as of the last day of the related Due Period) and (ii) the Indenture Trustee
Fee for the related Distribution Date, minus (iii) the amount of any investment
earnings on funds in the Pre-Funding Account which was transferred to the
Interest Reserve Account, as well as interest earnings on amounts in the
Interest Reserve Account.

     "CERTIFICATE" means the Trust Certificate (as such term is defined in the
Trust Agreement), representing 100% of the beneficial equity interest in the
Trust and issued pursuant to the Trust Agreement.

     "CERTIFICATE REGISTER" shall have the meaning specified in the Trust
Agreement.

     "CERTIFICATEHOLDER" shall have the meaning specified in the Trust
Agreement.

     "CLASS" means all Notes whose form is identical except for variation in
denomination, principal amount or owner.

     "CLASS A NOTE MONTHLY PRINCIPAL DISTRIBUTABLE AMOUNT" means, with respect
to any Distribution Date, the Class A Note Percentage of the Principal
Distributable Amount for such Distribution Date.

     "CLASS A NOTE PRINCIPAL CARRYOVER SHORTFALL" means, as of the close of any
Distribution Date, the excess of the Class A Note Principal Distributable Amount
with respect to the immediately preceding Distribution Date over the amount in
respect of principal for the Class A Notes that is actually deposited in the
Note Distribution Account on such preceding Distribution Date.

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     "CLASS A NOTE PRINCIPAL DISTRIBUTABLE AMOUNT" means, with respect to any
Distribution Date, the sum of the Class A Note Monthly Principal Distributable
Amount with respect to such Distribution Date and the Class A Note Principal
Carryover Shortfall as of the close of the immediately preceding Distribution
Date; PROVIDED, HOWEVER, that the Class A Note Principal Distributable Amount
shall not exceed the outstanding principal amount of the Class A Notes; and
PROVIDED, FURTHER, that the Class A Note Principal Distributable Amount (i) on
the Class A-1 Final Distribution Date shall not be less than the amount that is
necessary (after giving effect to other amounts to be deposited in the Note
Distribution Account for payment on the Class A-1 Notes on such Distribution
Date and allocable to principal) to reduce the outstanding principal amount of
the Class A-1 Notes to zero, and (ii) on the Class A-2 Final Distribution Date
shall not be less than the amount that is necessary (after giving effect to
other amounts to be deposited in the Note Distribution Account for payment on
the Class A-2 Notes on such Distribution Date and allocable to principal) to
reduce the outstanding principal amount of the Class A-2 Notes to zero.

     "CLASS A NOTES" means, collectively, the Class A-1 Notes and the Class A-2
Notes.

     "CLASS A-1 FINAL DISTRIBUTION DATE" means the May 2007 Distribution Date.

     "CLASS A-1 NOTEHOLDER" means the Person in whose name a Class A-1 Note is
registered in the Note Register, as such term is defined in the Indenture.

     "CLASS A-1 RATE" means 1.56% per annum (computed on the basis of a 360-day
year of twelve 30-day months).

     "CLASS A NOTE PERCENTAGE" means, (i) for each Distribution Date to but
excluding the Distribution Date on which the principal amount of the Class A-2
Notes is reduced to zero, 95.00%; (ii) for the Distribution Date on which the
principal amount of the Class A-2 Notes is reduced to zero, such percentage
which represents the fraction of the Principal Distributable Amount necessary to
reduce the principal amount of the Class A-2 Notes to zero; and (iii) for each
Distribution Date thereafter, 0%.

     "CLASS A-2 FINAL DISTRIBUTION DATE" means the November 2010 Distribution
Date.

     "CLASS A-2 NOTEHOLDER" means the Person in whose name a Class A-2 Note is
registered in the Note Register.

     "CLASS A-2 RATE" means 2.63% per annum (computed on the basis of a 360-day
year of twelve 30-day months).

     "CLASS B FINAL DISTRIBUTION DATE" means the November 2010 Distribution
Date.

     "CLASS B NOTEHOLDER" means the Person in whose name a Class B Note is
registered in the Note Register, as such term is defined in the Indenture.

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     "CLASS B NOTE MONTHLY PRINCIPAL DISTRIBUTABLE AMOUNT" means, with respect
to any Distribution Date, the Class B Note Percentage of the Principal
Distributable Amount for such Distribution Date.

     "CLASS B NOTE PERCENTAGE" means, (i) for each Distribution Date to but
excluding the Distribution Date on which the principal amount of the Class A-2
Notes is reduced to zero, 5.00%; and (ii) for the Distribution Date on which the
principal amount of the Class A-2 Notes is reduced to zero, that percentage that
equals 100% minus the Class A Note Percentage for such Distribution Date; and
(iii) 100% thereafter.

     "CLASS B NOTE PRINCIPAL CARRYOVER SHORTFALL" means, as of the close of any
Distribution Date, the excess of the Class B Note Principal Distributable Amount
with respect to the immediately preceding Distribution Date over the amount in
respect of principal for the Class B Notes that is actually deposited in the
Note Distribution Account on such preceding Distribution Date.

     "CLASS B NOTE PRINCIPAL DISTRIBUTABLE AMOUNT" means, with respect to any
Distribution Date, the sum of the Class B Note Monthly Principal Distributable
Amount with respect to such Distribution Date and the Class B Note Principal
Carryover Shortfall as of the close of the immediately preceding Distribution
Date; PROVIDED, HOWEVER, that the Class B Note Principal Distributable Amount
shall not exceed the outstanding principal amount of the Class B Notes; and
PROVIDED, FURTHER, that the Class B Note Principal Distributable Amount on the
Class B Final Distribution Date shall not be less than the amount that is
necessary (after giving effect to other amounts to be deposited in the Note
Distribution Account for payment on the Class B Notes on such Distribution Date
and allocable to principal) to reduce the outstanding principal amount of the
Class B Notes to zero.

     "CLASS B RATE" means 2.39% per annum (computed on the basis of a 360-day
year of twelve 30-day months).

     "CLEARING AGENCY" shall have the meaning specified in the Indenture.

     "CLOSING DATE" means February 4, 2003.

     "CODE" means the Internal Revenue Code of 1986, as amended.

     "COLLATERAL" shall have the meaning specified in the "granting clause" of
the Indenture.

     "COLLECTION ACCOUNT" means a trust account as described in Section 5.05
maintained in the name of the Indenture Trustee and which shall be an Eligible
Account.

     "COMPUTER DISK" means the computer disk generated by the Servicer which
provides information relating to the Contracts and which was used by the Seller
in selecting the Contracts sold to the Trust Depositor pursuant to the Transfer
and Sale Agreement (and any Subsequent Purchase Agreement) by the Trust
Depositor in selecting the Contracts transferred to the Trust

                                        5
<Page>

pursuant to this Agreement (and any Subsequent Transfer Agreement), and includes
the master file and the history file as well as servicing information with
respect to the Contracts.

     "CONTRACT ASSETS" has the meaning assigned in Section 2.01 (and 2.03, as
applicable in the case of Subsequent Contracts) of the Transfer and Sale
Agreement.

     "CONTRACT FILE" means, as to each Contract, (a) the original copy of the
Contract, including the executed conditional sales contract or promissory note
and security agreement or other evidence of the obligation of the Obligor, (b)
the original title certificate to the Motorcycle and, where applicable, the
certificate of lien recordation, or, if such title certificate has not yet been
issued, an application for such title certificate, or other appropriate evidence
of a security interest in the covered Motorcycle; (c) the assignments of the
Contract; (d) the original copy of any agreement(s) modifying the Contract
including, without limitation, any extension agreement(s) and (e) documents
evidencing the existence of physical damage insurance covering such Motorcycle.

     "CONTRACT RATE" means, as to any Contract, the annual rate of interest
specified in the Contract.

     "CONTRACTS" means the motorcycle conditional sales contracts and promissory
note and security agreements described in the List of Contracts and constituting
part of the Trust Corpus (as such list may be supplemented from time to time to
reflect transfers of Subsequent Contracts), and includes, without limitation,
all related security interests and any and all rights to receive payments which
are collected pursuant thereto on or after the Initial Cutoff Date or, with
respect to any Subsequent Contracts, any related Subsequent Cutoff Date, but
excluding any rights to receive payments which are collected pursuant thereto
prior to the Initial Cutoff Date, or with respect to any Subsequent Contracts,
any related Subsequent Cutoff Date.

     "CORPORATE TRUST OFFICE" means the office of the Indenture Trustee at which
at any particular time its corporate trust business shall be principally
administered, which office at the date of the execution of this Agreement is
located at the address set forth in Section 11.04.

     "CRAM DOWN LOSS" means, with respect to a Contract, if a court of
appropriate jurisdiction in an insolvency proceeding shall have issued an order
reducing the Principal Balance of such Contract the amount of such reduction
(with a "CRAM DOWN LOSS" being deemed to have occurred on the date of issuance
of such order).

     "CUMULATIVE LOSS RATIO" means, as of any Distribution Date, the fraction
(expressed as a percentage) computed by the Servicer by dividing (i) the
aggregate Net Liquidation Losses for all Contracts since the related Cutoff Date
through the end of the related Due Period by (ii) the sum of (A) the Principal
Balance of the Contracts as of the Cutoff Date plus (B) the Principal Balance of
any Subsequent Contracts as of the related Subsequent Cutoff Date plus (C) the
Pre-Funded Amount.

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     "CUTOFF DATE" means either or both (as the context may require) the Initial
Cutoff Date and any Subsequent Cutoff Date.

     "DEFAULTED CONTRACT" means a Contract with respect to which there has
occurred one or more of the following: (i) all or some portion of any payment
under the Contract is 120 days or more delinquent, (ii) repossession (and
expiration of any redemption period) of a Motorcycle securing a Contract or
(iii) the Servicer has determined in good faith that an Obligor is not likely to
resume payment under a Contract.

     "DELINQUENCY AMOUNT" means, as of any Distribution Date, the Principal
Balance of all Contracts that were delinquent 60 days or more as of the end of
the related Due Period (including Contracts in respect of which the related
Motorcycles have been repossessed and are still inventory).

     "DELINQUENT INTEREST" means, for each Contract and each Determination Date
as to which the full payment due in the related Due Period has not been paid
before the 30th day after the scheduled payment dated therefor (any such payment
being "DELINQUENT" for purposes of this definition), all interest accrued on
such Contract from the Due Date in the Due Period one month prior to the Due
Period in which the payment is delinquent.

     "DELINQUENCY RATIO" means, for any Distribution Date, the fraction
(expressed as a percentage) computed by dividing (a) the Delinquency Amount
during the immediately preceding Due Period by (b) the Principal Balance of the
Contracts as of the beginning of the related Due Period.

     "DELTA LOAN" means a loan made by the Seller pursuant to the program
designated as the Delta Program.

     "DETERMINATION DATE" means the fourth Business Day following the conclusion
of a Due Period during the term of this Agreement.

     "DISTRIBUTION DATE" means the fifteenth day of each calendar month during
the term of this Agreement, or if such day is not a Business Day, the next
succeeding Business Day, with the first such Distribution Date hereunder being
March 17, 2003.

     "DUE DATE" means, with respect to any Contract, the day of the month on
which each scheduled payment of principal and interest is due on such Contract,
exclusive of days of grace.

     "DUE PERIOD" means a calendar month during the term of this Agreement, and
the Due Period related to a Determination Date or Distribution Date shall be the
calendar month immediately preceding such date; PROVIDED, HOWEVER, that with
respect to the Initial Determination Date or Initial Distribution Date, the Due
Period shall be the period from the Initial Cutoff Date to and including
February 28, 2003.

                                        7
<Page>

     "ELIGIBLE ACCOUNT" means a segregated direct deposit account maintained
with the Indenture Trustee, acting in its fiduciary capacity, or a depository
institution or trust company organized under the laws of the United States of
America, or any of the States thereof, or the District of Columbia, having a
certificate of deposit, short-term deposit or commercial paper rating of at
least A-1+ by Standard & Poor's and P-1 by Moody's.

     "ELIGIBLE INVESTMENTS" mean book-entry securities, negotiable instruments
or securities represented by instruments in bearer or registered form which
evidence:

          (a)     direct obligations of, and obligations fully guaranteed as to
     timely payment by, the United States of America;

          (b)     demand deposits, time deposits or certificates of deposit of
     any depository institution or trust company incorporated under the laws of
     the United States of America or any State (or any domestic branch of a
     foreign bank) and subject to supervision and examination by Federal or
     State banking or depository institution authorities; PROVIDED, HOWEVER,
     that at the time of the investment or contractual commitment to invest
     therein, the commercial paper or other short-term senior unsecured debt
     obligations (other than such obligations the rating of which is based on
     the credit of a Person other than such depository institution or trust
     company) thereof shall have a credit rating from the Rating Agency in the
     highest investment category granted thereby;

          (c)     commercial paper having, at the time of the investment or
     contractual commitment to invest therein, a rating from the Rating Agency
     in the highest investment category granted thereby;

          (d)     investments in money market funds having a rating from the
     Rating Agency in the highest investment category granted thereby (including
     funds for which the Indenture Trustee or the Owner Trustee or any of their
     respective Affiliates is investment manager or advisor);

          (e)     bankers' acceptances issued by any depository institution or
     trust company referred to in CLAUSE (b); and

          (f)     repurchase obligations with respect to any security that is a
     direct obligation of, or fully guaranteed as to timely payment by, the
     United States of America or any agency or instrumentality thereof the
     obligations of which are backed by the full faith and credit of the United
     States of America, in either case entered into with a depository
     institution or trust company (acting as principal) described in CLAUSE (b).

     "EVENT OF TERMINATION" means an event specified in Section 8.01.

     "EXCESS AMOUNTS" shall mean Available Monies after distributions made in
accordance with Section 7.05.

                                        8
<Page>

     "FINAL DISTRIBUTION DATE" means the Class A-1 Final Distribution Date, the
Class A-2 Final Distribution Date or the Class B Final Distribution Date, as the
case may be.

     "FUNDING PERIOD" means the period beginning on the Closing Date and ending
on the first to occur of (a) the Distribution Date on which the amount on
deposit in the Pre-Funding Account (after giving effect to any transfers
therefrom in connection with the transfer of Subsequent Contracts to the Trust
on such Distribution Date) is less than $150,000, (b) the date on which an Event
of Termination occurs, (c) the date on which an Insolvency Event occurs with
respect to the Trust Depositor and (d) the close of business on the date which
is 90 days from and including the Closing Date.

     "HARLEY-DAVIDSON FINANCIAL" means Harley-Davidson Financial Services, Inc.,
a Delaware corporation.

     "HOLDER" means, with respect to a (i) Certificate, the Person in whose name
such Certificate is registered in the Certificate Register and (ii) Note, the
Person in whose name such Note is registered in the Note Register.

     "INDENTURE" means the Indenture, dated as of the date hereof, between the
Issuer and the Indenture Trustee.

     "INDENTURE TRUSTEE" means the Person acting as Indenture Trustee under the
Indenture, its successors in interest and any successor trustee under the
Indenture.

     "INDENTURE TRUSTEE FEE" means, with respect to any Distribution Date,
one-twelfth of the product of .002% and the sum of (i) the Principal Balance of
the Contracts as of the beginning of the related Due Period and (ii) the
Pre-Funded Amount as of the beginning of such period; PROVIDED, HOWEVER, in no
event shall such fee be less than $200.00 per month.

     "INDEPENDENT" when used with respect to any specified Person, means such a
Person who (i) is in fact independent of the Issuer, the Trust Depositor or the
Servicer, (ii) is not a director, officer or employee of any Affiliate of the
Issuer, the Trust Depositor or the Servicer, (iii) is not a person related to
any officer or director of the Issuer, the Trust Depositor or the Servicer or
any of their respective Affiliates, (iv) is not a holder (directly or
indirectly) of more than 10% of any voting securities of Issuer, the Trust
Depositor or the Servicer or any of their respective Affiliates, and (v) is not
connected with the Issuer, the Trust Depositor or the Servicer as an officer,
employee, promoter, underwriter, trustee, partner, director or person performing
similar functions.

     "INITIAL CLASS A-1 NOTE BALANCE" means $315,000,000.

     "INITIAL CLASS A-2 NOTE BALANCE" means $207,500,000.

     "INITIAL CLASS B NOTE BALANCE" means $27,500,000.

                                        9
<Page>

     "INITIAL CONTRACTS" means those Contracts conveyed to the Trust on the
Closing Date.

     "INITIAL CUTOFF DATE" means as of the close of business on January 22,
2003.

     "INSOLVENCY EVENT" means, with respect to a specified Person, (i) the entry
of a decree or order for relief by a court or regulatory authority having
jurisdiction in respect of such Person in an involuntary case under the federal
bankruptcy laws, as now or hereafter in effect, or any other present or future,
federal or state, bankruptcy, insolvency or similar law, or appointing a
receiver, liquidator, assignee, custodian, trustee, sequestrator or other
similar official for such Person or for any substantial part of its property, or
ordering the winding-up or liquidation of such Person's affairs, and the
continuance of any such decree or order unstayed and in effect for a period of
60 consecutive days; (ii) the commencement of an involuntary case under the
federal bankruptcy laws, as now or hereinafter in effect, or another present or
future federal or state bankruptcy, insolvency or similar law and such case is
not dismissed within 60 days; or (iii) the commencement by such Person of a
voluntary case under the federal bankruptcy laws, as now or hereinafter in
effect, or any other present or future federal or state, bankruptcy, insolvency
or similar law, or the consent by such Person to the appointment of or taking
possession by a receiver, liquidator, assignee, custodian, trustee, sequestrator
or other similar official for such Person or for any substantial part of its
property, or the making by such Person of an assignment for the benefit of
creditors or the failure by such Person generally to pay its debts as such debts
become due or the taking of corporate action by such Person in furtherance of
any the foregoing.

     "INTEREST PERIOD" means, with respect to any Distribution Date, the period
from and including the fifteenth day of the month of the Distribution Date
immediately preceding such Distribution Date (or, in the case of the first
Distribution Date, the Closing Date) to but excluding the fifteenth day of the
month of such Distribution Date.

     "INTEREST RATE" means the Class A-1 Rate, the Class A-2 Rate or the Class B
Rate, as applicable.

     "INTEREST RESERVE ACCOUNT" means the account designated as the Interest
Reserve Account in, and which is established and maintained pursuant to, Section
7.04 hereof.

     "INTEREST RESERVE AMOUNT" means, as of any date of determination, the
amount on deposit in the Interest Reserve Account on such date, and as of the
Closing Date shall be $619,124.40.

     "INVESTMENT EARNINGS" means, with respect to any Distribution Date, the
investment earnings (net of losses and investment expenses) on amounts on
deposit in the Trust Accounts, other than the Pre-Funding Account, to be
deposited into the Collection Account on such Distribution Date pursuant to
Section 5.05(b).

     "ISSUER" means the Harley-Davidson Motorcycle Trust 2003-1.

                                       10
<Page>

     "LATE PAYMENT PENALTY FEES" means any late payment fees paid by Obligors on
Contracts after all sums received have been allocated first to regular
installments due or overdue and all such installments are then paid in full.

     "LIEN" means a security interest, lien, charge, pledge, equity or
encumbrance of any kind, other than tax liens, mechanics' liens and any liens
that attach to the respective Contract by operation of law.

     "LIQUIDATED CONTRACT" means a Contract with respect to which there has
occurred one or more of the following: (i) 90 days have elapsed following the
date of repossession (and expiration of any redemption period) with respect to
the Motorcycle securing such Contract, (ii) the receipt of proceeds by the
Servicer from the sale of a repossessed Motorcycle securing a Contract, (iii)
the Servicer has determined in good faith that all amounts expected to be
recovered have been received with respect to such Contract, or (iv) all or any
portion of any payment is delinquent 150 days or more.

     "LIST OF CONTRACTS" means the list identifying each Contract constituting
part of the Trust Corpus, which list shall consist of the initial List of
Contracts reflecting the Initial Contracts transferred to the Trust on the
Closing Date, together with any Subsequent List of Contracts reflecting the
Subsequent Contracts transferred to the Trust on the related Subsequent Transfer
Date, and which list (a) identifies each Contract and (b) sets forth as to each
Contract (i) the Principal Balance as of the applicable Cutoff Date, (ii) the
amount of monthly payments due from the Obligor, (iii) the Contract Rate and
(iv) the maturity date, and which list (as in effect on the Closing Date) is
attached to this Agreement as EXHIBIT H.

     "LOCKBOX" means the Lockbox maintained by the Lockbox Bank identified on
EXHIBIT K hereto.

     "LOCKBOX ACCOUNT" means the account maintained with the Lockbox Bank and
identified on EXHIBIT K hereto.

     "LOCKBOX AGREEMENT" means the Fifth Amended and Restated Lockbox
Administration Agreement dated as of November 1, 2000 by and among the Lockbox
Bank, Servicer, the Trust Depositor, Harley-Davidson Customer Funding Corp., The
Bank of New York (successor-in-interest to the corporate trust business of
Harris Trust and Savings Bank), BNY Midwest Trust Company and Bank One, National
Association, with respect to the Lockbox Account, unless such agreement shall be
terminated in accordance with its terms, in which event "LOCKBOX AGREEMENT"
shall mean such other agreement, in form and substance acceptable to the
above-described parties.

     "LOCKBOX BANK" means the financial institution maintaining the Lockbox
Account and identified on EXHIBIT K hereto or any successor thereto.

     "LOSS RATIO" means, for any Distribution Date, the fraction (expressed as a
percentage) derived by dividing (x) Net Liquidation Losses for all Contracts
that became Liquidated

                                       11
<Page>

Contracts during the immediately preceding Due Period multiplied by twelve by
(y) the outstanding Principal Balances of all Contracts as of the beginning of
the Due Period.

     "MANDATORY REDEMPTION" means the prepayment, in part, made to the
Noteholders without premium made on the Distribution Date on or immediately
following the last day of the Funding Period in the event that any amount
remains on deposit in the Pre-Funding Account after giving effect to the
acquisition of all Subsequent Contracts, including any such acquisition on such
date.

     "MANDATORY REDEMPTION SUBACCOUNT" means the subaccount of the Note
Distribution Account into which deposits from the Pre-Funding Account for any
Mandatory Redemption are made.

     "MODIFIED REQUIRED HOLDERS" means (i) prior to the payment in full of the
Class A Notes outstanding, Class A-1 Noteholders and/or Class A-2 Noteholders
evidencing at least 66 2/3% of the aggregate outstanding principal balance of
the Class A Notes and (ii) from and after the payment in full of the Class A
Notes outstanding, Class B Noteholders evidencing at least 66 2/3% of the
aggregate outstanding principal balance of the Class B Notes.

     "MONTHLY REPORT" shall have the meaning specified in Section 9.06.

     "MONTHLY SERVICING FEE" means, as to any Distribution Date, one-twelfth of
the product of 1% and the Principal Balance of the Contracts as of the beginning
of the related Due Period or, with respect to the first Distribution Date of
March 17, 2003, as of the Initial Cutoff Date.

     "MOODY'S" means Moody's Investors Service, Inc. or any successor thereto.

     "MOTORCYCLE" means a motorcycle manufactured by Harley-Davidson, Inc. (or
in certain limited instances Buell or certain other manufacturers) securing a
Contract.

     "NET LIQUIDATION LOSSES" means, as of any Distribution Date, with respect
to all Liquidated Contracts on an aggregate basis, the amount, if any, by which
(a) the outstanding Principal Balance of all Liquidated Contracts plus accrued
and unpaid interest thereon at the Contract Rate to the date on which such
Liquidated Contracts became Liquidated Contracts exceeds (b) the Net Liquidation
Proceeds for such Liquidated Contracts.

     "NET LIQUIDATION PROCEEDS" means, as to any Liquidated Contract, the
proceeds realized on the sale or other disposition of the related Motorcycle,
including proceeds realized on the repurchase of such Motorcycle by the
originating dealer for breach of warranties, and the proceeds of any insurance
relating to such Motorcycle, after payment of all reasonable expenses incurred
thereby, together, in all instances, with the expected or actual proceeds of any
recourse rights relating to such Contract as well as any post-disposition
proceeds or other amounts in respect of a Liquidated Contract received by the
Servicer.

     "NOTE DEPOSITORY AGREEMENT" shall have the meaning specified in the
Indenture.

                                       12
<Page>

     "NOTE DISTRIBUTABLE AMOUNT" means, with respect to any Distribution Date,
the sum of the Note Principal Distributable Amount and the Note Interest
Distributable Amount for such Distribution Date.

     "NOTE DISTRIBUTION ACCOUNT" means the account established and maintained as
such pursuant to Section 5.05.

     "NOTE INTEREST CARRYOVER SHORTFALL" means, with respect to any Distribution
Date and a Class of Notes, the excess, if any, of the sum of the Note Interest
Distributable Amount for such Class for the immediately preceding Distribution
Date plus any outstanding Note Interest Carryover Shortfall for such Class on
such preceding Distribution Date, over the amount in respect of interest that is
actually deposited in the Note Distribution Account with respect to such Class
on such preceding Distribution Date, plus, interest on such excess to the extent
permitted by applicable law, at the related Interest Rate for the related
Interest Period.

     "NOTE INTEREST DISTRIBUTABLE AMOUNT" means, with respect to any
Distribution Date and a Class of Notes, the sum of the Note Monthly Interest
Distributable Amount and the Note Interest Carryover Shortfall for such Class of
Notes with respect to such Distribution Date.

     "NOTE MONTHLY INTEREST DISTRIBUTABLE AMOUNT" means, with respect to any
Distribution Date for any Class of Notes, interest accrued from and including
the fifteenth day of the month of the preceding calendar month to, but
excluding, the fifteenth day of the calendar month in which such Distribution
Date occurs (or in the case of the first Distribution Date, interest accrued
from and including the Closing Date to but excluding such Distribution Date) at
the related Interest Rate for such Class of Notes on the outstanding principal
amount of the Notes of such Class on the immediately preceding Distribution
Date, after giving effect to all payments of principal to Noteholders of such
Class on or prior to such preceding Distribution Date (or, in the case of the
first Distribution Date, on the original principal amount of such Class of
Notes).

     "NOTE POOL FACTOR" means with the respect to any Class of Notes as of the
close of business on any Distribution Date, a seven-digit decimal figure equal
to the outstanding principal amount of such Class of Notes (after giving effect
to any reductions thereof to be made on such Distribution Date) divided by the
original outstanding principal amount of such Class of Notes.

     "NOTE PRINCIPAL CARRYOVER SHORTFALL" means the Class A Note Principal
Carryover Shortfall and the Class B Note Principal Carryover Shortfall.

     "NOTE PRINCIPAL DISTRIBUTABLE AMOUNT" means the Class A Note Principal
Distributable Amount and the Class B Note Principal Distributable Amount.

     "NOTE REGISTER" shall have the meaning specified in the Indenture.

     "NOTES" means the Class A-1 Notes, the Class A-2 Notes and the Class B
Notes, in each case as executed and authenticated in accordance with the
Indenture.

                                       13
<Page>

     "OBLIGEE" means the Person to whom an Obligor is indebted under a Contract.

     "OBLIGOR" means a Motorcycle buyer or other person who owes payments under
a Contract.

     "OFFICER'S CERTIFICATE" means a certificate signed by the Chairman, the
President, a Vice President, the Treasurer, an Assistant Treasurer, the
Controller, an Assistant Controller, the Secretary or an Assistant Secretary of
any Person delivering such certificate and delivered to the Person to whom such
certificate is required to be delivered, including any certificate delivered
under any of the Transaction Documents required to be executed by a Servicing
Officer. In the case of an Officer's Certificate of the Servicer, at least one
of the signing officers must be a Servicing Officer. Unless otherwise specified,
any reference herein to an Officer's Certificate shall be to an Officers'
Certificate of the Servicer.

     "OPINION OF COUNSEL" means a written opinion of counsel (who may be counsel
to the Trust Depositor or the Servicer) acceptable to the Indenture Trustee or
the Owner Trustee, as the case may be.

     "OWNER TRUSTEE" means the Person acting, not in its individual capacity,
but solely as Owner Trustee under the Trust Agreement, its successors in
interest and any successor owner trustee under the Trust Agreement.

     "PAYING AGENT" means as described in Section 1.01 of the Indenture and
Section 3.10 of the Trust Agreement.

     "PERSON" means any individual, corporation, estate, limited liability
company, partnership, joint venture, association, joint stock company, trust
(including any beneficiary thereof), unincorporated organization or government
or any agency or political subdivision thereof.

     "POOL BALANCE" means as of any date, the Principal Balance of Contracts as
of the close of business on such date.

     "PRE-FUNDED AMOUNT" means as of any date, the amount on deposit in the
Pre-Funding Account at the close of business on such date.

     "PRE-FUNDING ACCOUNT" means the account designated as the Pre-Funding
Account in, and which is established and maintained pursuant to Section 7.07.

     "PRINCIPAL BALANCE" means (a) with respect to any Contract as of any date,
an amount equal to the unpaid principal balance of such Contract as of the
opening of business on the Initial Cutoff Date or related Subsequent Cutoff
Date, as applicable, reduced by the sum of (x) all payments received by the
Servicer as of such date allocable to principal and (y) any Cram Down Loss in
respect of such Contract; PROVIDED, HOWEVER, that (i) if (x) a Contract is
reacquired by the Seller pursuant to Section 5.01 of the Transfer and Sale
Agreement and Section 7.08 hereof

                                       14
<Page>

because of a breach of representation or warranty, or if (y) the Seller gives
notice of its intent to reacquire the Contracts in connection with an optional
termination of the Trust pursuant to Section 5.02 of the Transfer and Sale
Agreement and Section 7.10 hereof, in each case the Principal Balance of such
Contract or Contracts shall be deemed as of the related Determination Date to be
zero for the Due Period in which such event occurs and for each Due Period
thereafter and (ii) from and after the Due Period in which a Contract becomes a
Liquidated Contract, the Principal Balance of such Contract shall be deemed to
be zero; and (b) where the context requires, the aggregate of the Principal
Balances described in clause (a) for all such Contracts.

     "PRINCIPAL DISTRIBUTABLE AMOUNT" means, with respect to any Distribution
Date, the Aggregate Principal Balance Decline for such Distribution Date.

     "PROSPECTUS" means the Base Prospectus together with the Supplement.

     "QUALIFIED ELIGIBLE INVESTMENTS" means Eligible Investments acquired by the
Indenture Trustee in its name and in its capacity as Indenture Trustee, which
are held by the Indenture Trustee in the Pre-Funding Account, the Interest
Reserve Account or the Reserve Fund and with respect to which (a) the Indenture
Trustee has noted its interest therein on its books and records, and (b) the
Indenture Trustee has purchased such investments for value without notice of any
adverse claim thereto (and, if such investments are securities or other
financial assets or interests therein, within the meaning of Section 8-102 of
the UCC as enacted in Illinois, without acting in collusion with a securities
intermediary in violating such securities intermediary's obligations to
entitlement holders in such assets, under Section 8-504 of such UCC, to maintain
a sufficient quantity of such assets in favor of such entitlement holders), and
(c) either (i) such investments are in the possession, or are under the control,
of the Indenture Trustee, or (ii) such investments, (A) if certificated
securities and in bearer form, have been delivered to the Indenture Trustee, or
in registered form, have been delivered to the Indenture Trustee and either
registered by the issuer thereof in the name of the Indenture Trustee or
endorsed by effective endorsement to the Indenture Trustee or in blank; (B) if
uncertificated securities, the ownership of which has been registered to the
Indenture Trustee on the books of the issuer thereof (or another person, other
than a securities intermediary, either becomes the registered owner of the
uncertified security on behalf of the Indenture Trustee or, having previously
become the registered owner, acknowledges that it holds for the Indenture
Trustee); or (C) if securities entitlements (within the meaning of Section 8-102
of the UCC as enacted in Illinois) representing interests in securities or other
financial assets (or interests therein) held by a securities intermediary
(within the meaning of said Section 8-102), a securities intermediary indicates
by book entry that a security or other financial asset has been credited to the
Indenture Trustee's securities account with such securities intermediary. Any
such Qualified Eligible Investment may be purchased by or through the Indenture
Trustee or any of its affiliates.

     "RATING AGENCY" means each of Moody's and Standard & Poor's, so long as
such Persons maintain a rating on the Notes; and if either Moody's or Standard &
Poor's no longer maintains a rating on the Notes, such other nationally
recognized statistical rating organization selected by the Trust Depositor.

                                       15
<Page>

     "REACQUISITION PRICE" means, with respect to a Contract to be reacquired
hereunder as of the last day of any Due Period an amount equal to (a) the
Principal Balance of such Contract as of such day, plus (b) accrued and unpaid
interest at the Contract Rate on such Contract through the end of such Due
Period.

     "RECORD DATE" means, with respect to any Distribution Date, the close of
business on the day immediately preceding such date.

     "REIMBURSEMENT AMOUNT" has the meaning assigned in Section 7.03 hereof.

     "REQUIRED HOLDERS" means (i) prior to the payment in full of the Class A
Notes outstanding, Class A-1 Noteholders and Class A-2 Noteholders evidencing
more than 50% of the aggregate outstanding principal balance of the Class A
Notes and (ii) from and after the payment in full of the Class A Notes
outstanding, Class B Noteholders evidencing more than 50% of the aggregate
outstanding principal balance of the Class B Notes.

     "RESERVE FUND" means the Reserve Fund established and maintained pursuant
to Section 7.06 hereof.

     "RESERVE FUND INITIAL DEPOSIT" means $3,530,119.78.

     "RESERVE FUND DEPOSITS" means all moneys deposited in the Reserve Fund from
time to time including, but not limited to, the Reserve Fund Initial Deposit as
well as any monies deposited therein pursuant to Section 7.05(a), all
investments and reinvestments thereof, earnings thereon, and proceeds of the
foregoing, whether now or hereafter existing.

     "RESERVE FUND TRIGGER EVENT" means the occurrence with respect to any
Distribution Date (i) the Average Delinquency Ratio for such Distribution Date
is equal to or greater than (a) 2.50% with respect to any Distribution Date
which occurs within the period from the Closing Date to, and inclusive of, the
first anniversary of the Closing Date, (b) 3.00% with respect to any
Distribution Date which occurs within the period from the day after the first
anniversary of the Closing Date to, and inclusive of, the second anniversary of
the Closing Date, or (c) 3.50% with respect to any Distribution Date which
occurs within the period from the day after the second anniversary of the
Closing Date to, and inclusive of, the third anniversary of the Closing Date or
(d) 4.00% with respect to any Distribution Date occurring after the third
anniversary of the Closing Date; (ii) the Average Loss Ratio for such
Distribution Date is equal to or greater than (a) 3.00% with respect to any
Distribution Date which occurs within the period from the Closing Date to, and
inclusive of, the second anniversary of the Closing Date or (b) 2.75% with
respect to any Distribution Date which occurs following the second anniversary
of the Closing Date; or (iii) the Cumulative Loss Ratio for such Distribution
Date is equal to or greater than (a) 1.25% with respect to any Distribution Date
which occurs within the period from the Closing Date to, and inclusive of, the
first anniversary of the Closing Date, (b) 2.00% with respect to any
Distribution Date which occurs within the period from the day after the first
anniversary of the Closing Date to, and inclusive of, the second anniversary of
the Closing Date, (c) 2.50% with respect to any Distribution Date which occurs
within the period from the day after the second

                                       16
<Page>

anniversary of the Closing Date to, and inclusive of, the third anniversary of
the Closing Date, or (d) 2.75% with respect to any Distribution Date occurring
after the third anniversary of the Closing Date.

     A Reserve Fund Trigger Event shall be deemed to have terminated with
respect to a Distribution Date if no Reserve Fund Trigger Event shall exist with
respect to three consecutive Distribution Dates (inclusive of the respective
Distribution Date).

     "RESPONSIBLE OFFICER" means, with respect to the Owner Trustee, any officer
in its Corporate Trust Administration Department (or any similar group of a
successor Owner Trustee) and with respect to the Indenture Trustee, the chairman
and any vice chairman of the board of directors, the president, the chairman and
vice chairman of any executive committee of the board of directors, every vice
president, assistant vice president, the secretary, every assistant secretary,
cashier or any assistant cashier, controller or assistant controller, the
treasurer, every assistant treasurer, every trust officer, assistant trust
officer and every other authorized officer or assistant officer of the Trustee
customarily performing functions similar to those performed by persons who at
the time shall be such officers, respectively, or to whom a corporate trust
matter is referred because of knowledge of, familiarity with, and authority to
act with respect to a particular matter.

     "SECURITIES" means the Notes, or any of them.

     "SECURITYHOLDERS" means the Holders of the Notes.

     "SELLER" means Harley-Davidson Credit Corp., a Nevada corporation, or its
successor, in its capacity as Seller of Contract Assets under the Transfer and
Sale Agreement and any Subsequent Purchase Agreement.

     "SERVICER" means Harley-Davidson Credit Corp., a Nevada corporation, or its
successor, until any Service Transfer hereunder and thereafter means the
Successor Servicer appointed pursuant to Article VIII below with respect to the
duties and obligations required of the Servicer under this Agreement.

     "SERVICE TRANSFER" has the meaning assigned in Section 8.03(a).

     "SERVICING FEE" means, on any Determination Date, the sum of (a) the
Monthly Servicing Fee payable on the related Distribution Date, (b) Late Payment
Penalty Fees received by the Servicer during the related Due Period, and (c)
extension fees received by the Servicer during the related Due Period.

     "SERVICING OFFICER" means any officer of the Servicer involved in, or
responsible for, the administration and servicing of Contracts whose name
appears on a list of servicing officers appearing in an Officer's Certificate
furnished to the Indenture Trustee by the Servicer, as the same may be amended
from time to time.

                                       17
<Page>

     "SHORTFALL" means, with respect to a Distribution Date, the excess (if
any), of the sum of the amounts payable pursuant to clauses (v) through (viii)
of Section 7.05 over Available Monies for such Distribution Date minus the
amounts payable pursuant to clauses (i) through (iv) of Section 7.05 on such
Distribution Date.

     "SOLVENT" means, as to any Person at any time, that (a) the fair value of
the property of such Person is greater than the amount of such Person's
liabilities (including disputed, contingent and unliquidated liabilities) as
such value is established and liabilities evaluated for purposes of Section
101(31) of the Bankruptcy Code; (b) the present fair saleable value of the
property of such Person in an orderly liquidation of such Person is not less
than the amount that will be required to pay the probable liability of such
Person on its debts as they become absolute and matured; (c) such Person is able
to realize upon its property and pay its debts and other liabilities (including
disputed, contingent and unliquidated liabilities) as they mature in the normal
course of business; (d) such Person does not intend to, and does not believe
that it will, incur debts or liabilities beyond such Person's ability to pay as
such debts and liabilities mature; and (e) such Person is not engaged in
business or a transaction, and is not about to engage in a business or a
transaction, for which such Person's property would constitute unreasonably
small capital.

     "SPECIFIED RESERVE FUND BALANCE" means with respect to any Distribution
Date will be an amount equal to the greater of:

          (a)     2.00% of the Principal Balance of the Contracts in the Trust
     as of the last day of the immediately preceding Due Period; PROVIDED,
     HOWEVER, in the event a Reserve Fund Trigger Event occurs and is continuing
     for three consecutive Distribution Dates (inclusive of the respective
     Distribution Date), the Specified Reserve Fund Balance shall be equal to
     6.00% of the Principal Balance of the Contracts in the Trust as of the last
     day of the immediately preceding Due Period; and

          (b)     1.00% of the aggregate of the Initial Class A-1 Note Balance,
     Initial Class A-2 Note Balance and Initial Class B Note Balance;

PROVIDED, HOWEVER, in no event shall the Specified Reserve Fund Balance be
greater than the aggregate outstanding principal balance of the Securities. As
of any Distribution Date, the amount of funds actually on deposit in the Reserve
Fund may, in certain circumstances, be less than the Specified Reserve Fund
Balance

     "STANDARD & POOR'S" means Standard & Poor's Ratings Services, a division of
The McGraw Hill Companies, or any successor thereto.

     "SUBSEQUENT CONTRACTS" means all Contracts transferred to the Trust
pursuant to Section 2.03.

     "SUBSEQUENT CUTOFF DATE" means the date specified as such for Subsequent
Contracts in the related Subsequent Transfer Agreement.

                                       18
<Page>

     "SUBSEQUENT LIST OF CONTRACTS" means a list, in the form of the initial
List of Contracts delivered on the Closing Date, but listing each Subsequent
Contract transferred to the Trust pursuant to the related Subsequent Transfer
Agreement.

     "SUBSEQUENT PURCHASE AGREEMENT" means, with respect to any Subsequent
Contracts, the agreement between the Seller and the Trust Depositor pursuant to
which the Seller will transfer the Subsequent Contracts to the Trust Depositor,
the form of which is attached to the Transfer and Sale Agreement as EXHIBIT C.

     "SUBSEQUENT RESERVE FUND AMOUNT" means the amount on each Subsequent
Transfer Date equal to 1.00% of the aggregate balance of the Subsequent
Contracts conveyed to the Trust.

     "SUBSEQUENT TRANSFER AGREEMENT" means the agreement described in Section
2.03(b) hereof.

     "SUBSEQUENT TRANSFER DATE" means any date during the Funding Period on
which Subsequent Contracts are transferred to the Trust.

     "SUCCESSOR SERVICER" means a servicer described in Section 8.02(b).

     "SUPPLEMENT" means the Prospectus Supplement dated January 28, 2003.

     "TRANSACTION DOCUMENTS" means this Agreement, the Transfer and Sale
Agreement, the Lockbox Agreement, the Indenture, the Trust Agreement, the
Administration Agreement, the Note Depository Agreement, any Subsequent Transfer
Agreement and any Subsequent Purchase Agreement.

     "TRANSFER AND SALE AGREEMENT" means the Transfer and Sale Agreement dated
as of the date hereof by and between the Seller and the Trust Depositor, as
amended, supplemented or otherwise modified from time to time.

     "TRUST" means the trust created by the Trust Agreement, comprised of the
Trust Corpus.

     "TRUST ACCOUNTS" means, collectively, the Collection Account, the
Pre-Funding Account, the Note Distribution Account and the Reserve Fund, or any
of them.

     "TRUST ACCOUNT PROPERTY" means the Trust Accounts, all amounts and
investments held from time to time in any Trust Account (whether in the form of
deposit accounts, physical property, book-entry securities, uncertificated
securities or otherwise), including the Reserve Fund Initial Deposit, and all
proceeds of the foregoing.

     "TRUST AGREEMENT" means the Trust Agreement, dated as of January 22, 2003,
between the Trust Depositor and the Owner Trustee.

                                       19
<Page>

     "TRUST CORPUS" has the meaning given to such term in Section 2.01(a) hereof
(and in Section 2.03(a) hereof in respect of Subsequent Contracts and related
assets transferred to the Trust pursuant to Subsequent Transfer Agreements).

     "TRUST DEPOSITOR" has the meaning assigned such term in the preamble
hereunder or any successor thereto.

     "TRUST ESTATE" shall have the meaning specified in the Trust Agreement.

     "TRUSTEES" means the Owner Trustee and the Indenture Trustee.

     "UCC" means the Uniform Commercial Code as in effect on the date hereof AND
from time to time in the State of Illinois, PROVIDED that if by reason of
mandatory provisions of law, the perfection or the effect of perfection or
non-perfection or priority of the security interests in any collateral or the
availability of any remedy hereunder is governed by the Uniform Commercial Code
as in effect on or after the date hereof in any other jurisdiction, "UCC" means
the Uniform Commercial Code as in effect in such other jurisdiction for purposes
of the provisions hereof relating to such perfection or effect of perfection or
non-perfection or priority or availability of such remedy.

     "UNCOLLECTIBLE ADVANCE" means with respect to any Determination Date and
any Contract, the amount, if any, advanced by the Servicer pursuant to Section
7.03 which the Servicer has as of such Determination Date determined in good
faith will not be ultimately recoverable by the Servicer from insurance policies
on the related Motorcycle, the related Obligor or out of Net Liquidation
Proceeds with respect to such Contract. The determination by the Servicer that
it has made an Uncollectible Advance, or, that any Advance proposed to be made
would be an Uncollectible Advance, shall be evidenced by an Officer's
Certificate delivered to the Trustees.

     "UNDERWRITERS" means Salomon Smith Barney Inc., Banc One Capital Markets,
Inc. and Wachovia Securities, Inc.

     "UNITED STATES" means the United States of America.

     "VICE PRESIDENT" of any Person means any vice president of such Person,
whether or not designated by a number or words before or after the title "VICE
PRESIDENT" who is a duly elected officer of such Person.

     "WTC" means Wilmington Trust Company, in its individual capacity.

     SECTION 1.02.  USAGE OF TERMS. With respect to all terms in this Agreement,
the singular includes the plural and the plural the singular; words importing
any gender include the other genders; references to "writing" include printing,
typing, lithography and other means of reproducing words in a visible form;
references to agreements and other contractual instruments include all
amendments, modifications and supplements thereto or any changes therein entered

                                       20
<Page>

into in accordance with their respective terms and not prohibited by this
Agreement; references to Persons include their permitted successors and assigns;
and the term "including" means "including without limitation."

     SECTION 1.03.  SECTION REFERENCES. All section references, unless otherwise
indicated, shall be to Sections in this Agreement.

     SECTION 1.04.  CALCULATIONS. Except as otherwise provided herein, all
interest rate and basis point calculations hereunder will be made on the basis
of a 360-day year and twelve 30-day months and will be carried out to at least
three decimal places.

     SECTION 1.05.  ACCOUNTING TERMS. All accounting terms used but not
specifically defined herein shall be construed in accordance with generally
accepted accounting principles in the United States.

                                   ARTICLE TWO

                              TRANSFER OF CONTRACTS

     SECTION 2.01.  CLOSING. (a) On the Closing Date, the Trust Depositor shall
transfer, assign, set over and otherwise convey to the Trust by execution of an
assignment substantially in the form of EXHIBIT A hereto, without recourse other
than as expressly provided herein, (i) all the right, title and interest of the
Trust Depositor in and to the Initial Contracts listed on the initial List of
Contracts delivered on the Closing Date (including, without limitation, all
security interests and all rights to receive payments which are collected
pursuant thereto on or after the Initial Cutoff Date, including any liquidation
proceeds therefrom, but excluding any rights to receive payments which were
collected pursuant thereto prior to the Initial Cutoff Date), (ii) all rights of
the Trust Depositor under any physical damage or other individual insurance
policy (and rights under a "FORCED PLACED" policy, if any) or any debt
cancellation agreement relating to any such Contract, an Obligor or a Motorcycle
securing such Contract, (iii) all security interests in each such Motorcycle,
(iv) all documents contained in the related Contract Files, (v) all rights (but
not the obligations) of the Trust Depositor under any related motorcycle dealer
agreements between dealers (i.e., the originators of such Contracts) and the
Trust Depositor, (vi) all rights of the Trust Depositor in the Lockbox, the
Lockbox Account and related Lockbox Agreement to the extent they relate to such
Contracts, (vii) all rights (but not the obligations) of the Trust Depositor
under the Transfer and Sale Agreement, including but not limited to the Trust
Depositor's rights under Article V thereof, (viii) the remittances, deposits and
payments made into the Trust Accounts from time to time and amounts in the Trust
Accounts from time to time (and any investments of such amounts), (ix) all
rights of the Trust Depositor to certain rebates of premiums and other amounts
relating to insurance policies, debt cancellation agreements, extended service
contracts or other repair agreements and other items financed under such
Contracts and (x) all proceeds and products of the foregoing (the property in
clauses (i)-(x) above, being the "TRUST CORPUS"). Although the Trust Depositor
and the Owner Trustee agree

                                       21
<Page>

that such transfer is intended to be a transfer of ownership of the Trust
Corpus, rather than the granting of a security interest to secure a borrowing,
and that the Trust Corpus shall not be property of the Trust Depositor, in the
event such transfer is deemed to be of a mere security interest to secure a
borrowing, the Trust Depositor shall be deemed to have granted the Trust a
perfected first priority security interest in such Trust Corpus and this
Agreement shall constitute a security agreement under applicable law.

     SECTION 2.02.  CONDITIONS TO THE CLOSING. On or before the Closing Date,
the Trust Depositor shall deliver or cause to be delivered the following
documents to the Owner Trustee and the Indenture Trustee:

          (a)     The initial List of Contracts, certified by the Chairman of
     the Board, President or any Vice President of the Trust Depositor, together
     with an assignment substantially in the form of EXHIBIT A hereto.

          (b)     A certificate of an officer of the Seller substantially in the
     form of EXHIBIT B to the Transfer and Sale Agreement and of an officer of
     the Trust Depositor substantially in the form of EXHIBIT B hereto.

          (c)     Opinions of counsel for the Seller and the Trust Depositor
     substantially in the form of EXHIBITS D, E and F hereto (and including as
     an addressee thereof each Rating Agency).

          (d)     A letter or letters from Ernst & Young LLP, or another
     nationally recognized accounting firm, addressed to the Seller and the
     Underwriters and stating that such firm has reviewed a sample of the
     Initial Contracts and performed specific procedures for such sample with
     respect to certain contract terms and which identifies those Initial
     Contracts which do not conform.

          (e)     Copies of resolutions of the Board of Directors of each of the
     Seller/Servicer and the Trust Depositor or of the Executive Committee of
     the Board of Directors of each of the Seller/Servicer and the Trust
     Depositor approving the execution, delivery and performance of this
     Agreement and the other Transaction Documents to which any of them is a
     party, as applicable, and the transactions contemplated hereunder and
     thereunder, certified in each case by the Secretary or an Assistant
     Secretary of the Seller/Servicer and the Trust Depositor.

          (f)     Officially certified, recent evidence of due incorporation and
     good standing of each of the Seller and the Trust Depositor under the laws
     of Nevada.

          (g)     Evidence of proper filing with the appropriate office in
     Nevada of a UCC financing statement naming the Seller, as debtor, naming
     the Trust Depositor as secured party (and the Trust as assignee) and
     identifying the Contract Assets as collateral; and evidence of proper
     filing with the appropriate office in Nevada of a UCC financing statement
     naming the Trust Depositor, as debtor, naming the Trust as secured party
     and

                                       22
<Page>

     identifying the Trust Corpus as collateral; and evidence of proper filing
     with appropriate office in Delaware of a UCC financing statement naming the
     Trust, as debtor, and naming the Indenture Trustee, as secured party and
     identifying the Collateral as collateral.

          (h)     An Officer's Certificate listing the Servicer's Servicing
     Officers.

          (i)     Evidence of deposit in the Collection Account of all funds
     received with respect to the Initial Contracts on or after the Initial
     Cutoff Date to the Closing Date, together with an Officer's Certificate
     from the Trust Depositor to the effect that such amount is correct.

          (j)     The Officer's Certificate of the Seller specified in Section
     2.02(h) of the Transfer and Sale Agreement.

          (k)     Evidence of deposit in the Reserve Fund of the Reserve Fund
     Initial Deposit by the Owner Trustee.

          (l)     A fully executed Transfer and Sale Agreement.

          (m)     A fully executed Trust Agreement.

          (n)     A fully executed Administration Agreement.

          (o)     A fully executed Indenture.

     SECTION 2.03.  CONVEYANCE OF SUBSEQUENT CONTRACTS. (a) Subject to the
conditions set forth in paragraph (b) below, the Trust Depositor, shall
transfer, assign, set over and otherwise convey to the Trust, without recourse
other than as expressly provided herein and therein, (i) all the right, title
and interest of the Trust Depositor in and to the Subsequent Contracts listed on
the Subsequent List of Contracts (including, without limitation, all security
interests and all rights to receive payments which are collected pursuant
thereto on or after the related Subsequent Cutoff Date, including any
liquidation proceeds therefrom, but excluding any rights to receive payments
which were collected pursuant thereto prior to such Subsequent Cutoff Date),
(ii) all rights of the Trust Depositor under any physical damage or other
individual insurance policy (or a "FORCED PLACED" policy, if any) or any debt
cancellation agreement relating to any such Subsequent Contract, an Obligor or a
Motorcycle securing such Subsequent Contract, (iii) all security interests in
each such Motorcycle, (iv) all documents contained in the related Contract
Files, (v) all rights (but not the obligations) of the Trust Depositor under any
related motorcycle dealer agreements between dealers (i.e., the originators of
such Subsequent Contracts) and the Trust Depositor, (vi) all rights of the Trust
Depositor in the Lockbox, the Lockbox Account and related Lockbox Agreement to
the extent they relate to such Subsequent Contracts, (vii) all rights (but not
the obligations) of the Trust Depositor under the Transfer and Sale Agreement
related to such Subsequent Contracts (to the extent not already conveyed under
Section 2.01(a)), including but not limited to the Trust Depositor's related
rights under Article V thereof, as well as all rights,

                                       23
<Page>

but not the obligations, of the Trust Depositor under the Subsequent Purchase
Agreement related to such Subsequent Contracts, (viii) the remittances, deposits
and payments made into the Trust Accounts from time to time and amounts in the
Trust Accounts from time to time related to such Subsequent Contracts (to the
extent not already conveyed under Section 2.01(a)) (and any investments of such
amounts), (ix) all rights of the Trust Depositor to certain rebates of premiums
and other amounts relating to insurance policies, debt cancellation agreements,
extended service contracts or other repair agreements and other items financed
under such Subsequent Contracts and (x) all proceeds and products of the
foregoing (the property in clauses (i)-(x) above, upon such transfer, becoming
part of the "TRUST CORPUS"). Although the Trust Depositor and the Owner Trustee
agree that such transfer is intended to be a transfer of ownership, rather than
the granting of a security interest to secure a borrowing, and that the Trust
Corpus following such transfer shall not be property of the Trust Depositor, in
the event such transfer is deemed to be of a mere security interest to secure a
borrowing, the Trust Depositor shall be deemed to have granted the Owner Trustee
for the benefit of the Trust a perfected first priority security interest in
such Trust Corpus and this Agreement shall constitute a security agreement under
applicable law.

     (b)  The Trust Depositor shall transfer to the Trust the Subsequent
Contracts and the other property and rights related thereto described in
paragraph (a) above only upon the satisfaction of each of the following
conditions on or prior to the related Subsequent Transfer Date:

          (i)     The Trust Depositor shall have provided the Owner Trustee, the
     Indenture Trustee, the Underwriters and the Rating Agencies with a timely
     Addition Notice and shall have provided any information reasonably
     requested by any of the foregoing with respect to the Subsequent Contracts;

          (ii)    the Funding Period shall not have terminated;

          (iii)   the Trust Depositor shall have delivered to the Owner Trustee
     a duly executed written assignment (including an acceptance by the Owner
     Trustee) in substantially the form of EXHIBIT M hereto (the "SUBSEQUENT
     TRANSFER AGREEMENT"), which shall include a Subsequent List of Contracts
     listing the Subsequent Contracts;

          (iv)    the Trust Depositor shall have deposited or caused to be
     deposited in the Collection Account all collections received with respect
     to the Subsequent Contracts on or after the related Subsequent Cutoff Date;

          (v)     as of each Subsequent Transfer Date, neither the Seller nor
     the Trust Depositor was insolvent nor will either of them have been made
     insolvent by such transfer nor is either of them aware of any pending
     insolvency;

          (vi)    the applicable Subsequent Reserve Fund Amount for such
     Subsequent Transfer Date shall have been deposited by the Indenture Trustee
     from the Pre-Funding Account to the Reserve Fund;

                                       24
<Page>

          (vii)   each Rating Agency shall have notified the Trust Depositor,
     the Owner Trustee and the Indenture Trustee in writing that following such
     transfer the Class A-1 Notes and Class A-2 Notes will be rated in the
     highest rating category by such Rating Agency and the Class B Notes will be
     rated at least its rating as of the Closing Date by Standard & Poor's and
     Moody's;

          (viii)  such addition will not result in a material adverse tax
     consequence to the Trust or the Certificateholder as evidenced by an
     Opinion of Counsel to be delivered by the Trust Depositor to the Owner
     Trustee, Indenture Trustee, the Rating Agencies and the Underwriters;

          (ix)    the Trust Depositor shall have delivered to the Owner Trustee
     and the Indenture Trustee an Officers' Certificate confirming the
     satisfaction of each condition precedent specified in this paragraph (b);

          (x)     the Trust Depositor shall have delivered to the Rating
     Agencies and the Underwriters one or more opinions of counsel with respect
     to the transfer of the Subsequent Contracts substantially in the form of
     the opinions of counsel delivered to such Persons on the Closing Date;

          (xi)    no selection procedures believed by the Trust Depositor to be
     adverse to the interests of the Noteholders shall have been utilized in
     selecting the Subsequent Contracts;

          (xii)   the Trust Depositor shall have delivered to the Rating
     Agencies evidence that (A) the weighted average annual percentage rate of
     the Contracts collectively, following the transfer of the Subsequent
     Contracts, is not less than 10.30% and (B) that the weighted average
     calculated remaining term to maturity of the Contracts collectively,
     following the transfer of the Subsequent Contracts, does not exceed 76
     months;

          (xiii)  the Trust Depositor shall have delivered to the Rating
     Agencies, a report with respect to certain agreed-upon procedures relating
     to the Subsequent Contracts being transferred, confirming that procedures
     were performed substantially similar to such procedures as were performed
     in connection with the transfer of the Initial Contracts;

          (xiv)   each of the representations and warranties made by the Seller
     pursuant to Section 3.01 of the Transfer and Sale Agreement with respect to
     the Subsequent Receivables shall be true and correct as of the related
     Subsequent Transfer Date, and the Seller shall have performed all
     obligations to be performed by it hereunder on or prior to such Subsequent
     Transfer Date;

          (xv)    the Seller shall, at its own expense, on or prior to the
     Subsequent Transfer Date indicate in its Computer Disk that the Subsequent
     Receivables identified on the Subsequent List of Contracts in the
     Subsequent Transfer Agreement have been

                                       25
<Page>

     transferred to the Issuer pursuant to this Agreement and the Transfer and
     Sale Agreement; and

          (xvi)   the Seller shall have taken any action required to maintain
     the first perfected ownership interest of the Issuer in the Trust Estate
     and the first perfected security interest of the Indenture Trustee in the
     Collateral.

     (c)  The Trust Depositor covenants to transfer (at or prior to the end of
the Funding Period) to the Trust pursuant thereto Subsequent Contracts with an
aggregate Principal Balance equal to $196,988,021.63; PROVIDED, HOWEVER, that in
complying with such covenant, the Trust Depositor agrees to make no more than
one separate transfer of Subsequent Contracts per monthly period (as measured by
the corresponding Distribution Dates). In the event that the Trust Depositor
shall fail to deliver and transfer to the Trust any or all of such Subsequent
Receivables by the date on which the Funding Period ends and the Pre-Funded
Amount is greater than $150,000 on such date, the Trust Depositor shall cause to
be deposited into the Collection Account the amount then on deposit in the
Pre-Funding Account; PROVIDED, HOWEVER, that the foregoing shall be the sole
remedy of the Trust, the Owner Trustee, the Indenture Trustee or the
Securityholders with respect to a failure of the Trust Depositor to comply with
such covenant.

                                  ARTICLE THREE

                         REPRESENTATIONS AND WARRANTIES

     The Seller under the Transfer and Sale Agreement has made, and upon
execution of each Subsequent Purchase Agreement is deemed to remake, each of the
representations and warranties set forth in EXHIBIT J hereto and has consented
to the assignment by the Trust Depositor to the Issuer of the Trust Depositor's
rights with respect thereto. Such representations speak as of the execution and
delivery of this Agreement and as of the Closing Date in the case of the Initial
Contracts, and as of the applicable Subsequent Transfer Date in the case of the
Subsequent Contracts, but shall survive the transfer and assignment of the
Contracts to the Trust. Pursuant to Section 2.01 of this Agreement, the Trust
Depositor has assigned, transferred and conveyed to the Issuer as part of the
Trust Corpus its rights under the Transfer and Sale Agreement, including without
limitation, the representations and warranties of the Seller therein as set
forth in EXHIBIT J attached hereto, together with all rights of the Trust
Depositor with respect to any breach thereof including any right to require the
Seller to reacquire any Contract in accordance with the Transfer and Sale
Agreement. It is understood and agreed that the representations and warranties
set forth or referred to in this Section shall survive delivery of the Contract
Files to the Owner Trustee or any custodian.

     The Trust Depositor hereby represents and warrants to the Trust and the
Indenture Trustee that it has entered into the Transfer and Sale Agreement with
the Seller, that the Seller has made the representations and warranties in the
Transfer and Sale Agreement as set forth in EXHIBIT J hereto, that such
representations and warranties run to and are for the benefit of the

                                       26
<Page>

Trust Depositor, and that pursuant to Section 2.01 of this Agreement the Trust
Depositor has transferred and assigned to the Trust all rights of the Trust
Depositor to cause the Seller under the Transfer and Sale Agreement to reacquire
Contracts in the event of a breach of such representations and warranties.

     SECTION 3.01.  REPRESENTATIONS AND WARRANTIES REGARDING THE TRUST
DEPOSITOR. By its execution of this Agreement and each Subsequent Transfer
Agreement, the Trust Depositor represents and warrants to the Trust, the
Indenture Trustee and the Noteholders that:

          (a)     ASSUMPTION OF SELLER'S REPRESENTATIONS AND WARRANTIES. The
     representations and warranties set forth in EXHIBIT J are true and correct.

          (b)     ORGANIZATION AND GOOD STANDING. The Trust Depositor is a
     corporation duly organized, validly existing and in good standing under the
     laws of the jurisdiction of its organization and has the corporate power to
     own its assets and to transact the business in which it is currently
     engaged. The Trust Depositor is duly qualified to do business as a foreign
     corporation and is in good standing in each jurisdiction in which the
     character of the business transacted by it or properties owned or leased by
     it requires such qualification and in which the failure so to qualify would
     have a material adverse effect on the business, properties, assets, or
     condition (financial or other) of the Trust Depositor or the Trust.

          (c)     AUTHORIZATION; VALID SALE; BINDING OBLIGATIONS. The Trust
     Depositor has the power and authority to make, execute, deliver and perform
     its obligations under this Agreement and the other Transaction Documents to
     which it is a party and all of the transactions contemplated under this
     Agreement and the other Transaction Documents to which it is a party, and
     to create the Trust and cause it to make, execute, deliver and perform its
     obligations under this Agreement and the other Transaction Documents to
     which it is a party and has taken all necessary corporate action to
     authorize the execution, delivery and performance of this Agreement and the
     other Transaction Documents to which it is a party and to cause the Trust
     to be created. This Agreement and the related Subsequent Transfer
     Agreement, if any, shall effect a valid transfer and assignment of the
     Trust Corpus, enforceable against the Trust Depositor and creditors of and
     purchasers from the Trust Depositor. This Agreement and the other
     Transaction Documents to which the Trust Depositor is a party constitute
     the legal, valid and binding obligation of the Trust Depositor enforceable
     in accordance with their terms, except as enforcement of such terms may be
     limited by bankruptcy, insolvency or similar laws affecting the enforcement
     of creditors' rights generally and by the availability of equitable
     remedies.

          (d)     NO CONSENT REQUIRED. The Trust Depositor is not required to
     obtain the consent of any other party or any consent, license, approval or
     authorization from, or registration or declaration with, any governmental
     authority, bureau or agency in connection with the execution, delivery,
     performance, validity or enforceability of this Agreement or the other
     Transaction Documents to which it is a party.

                                       27
<Page>

          (e)     NO VIOLATIONS. The execution, delivery and performance of this
     Agreement and the other Transaction Documents to which it is a party by the
     Trust Depositor, and the consummation of the transactions contemplated
     hereby and thereby, will not violate any provision of any existing law or
     regulation or any order or decree of any court or of any Federal or state
     regulatory body or administrative agency having jurisdiction over the Trust
     Depositor or any of its properties or the Articles of Incorporation or
     Bylaws of the Trust Depositor, or constitute a material breach of any
     mortgage, indenture, contract or other agreement to which the Trust
     Depositor is a party or by which the Trust Depositor or any of the Trust
     Depositor's properties may be bound, or result in the creation or
     imposition of any security interest, lien, charge, pledge, preference,
     equity or encumbrance of any kind upon any of its properties pursuant to
     the terms of any such mortgage, indenture, contract or other agreement,
     other than as contemplated by the Transaction Documents.

          (f)     LITIGATION. No litigation or administrative proceeding of or
     before any court, tribunal or governmental body is currently pending, or to
     the knowledge of the Trust Depositor threatened, against the Trust
     Depositor or any of its properties or with respect to this Agreement, the
     other Transaction Documents to which it is a party or the Notes (1) which,
     if adversely determined, would in the opinion of the Trust Depositor have a
     material adverse effect on the business, properties, assets or condition
     (financial or otherwise) of the Trust Depositor or the Trust or the
     transactions contemplated by this Agreement or the other Transaction
     Documents to which the Trust Depositor is a party or (2) seeking to
     adversely affect the federal income tax or other federal, state or local
     tax attributes of the Certificate or Notes.

          (g)     STATE OF INCORPORATION; NAME; NO CHANGES. The Trust
     Depositor's state of incorporation is the State of Nevada. The Trust
     Depositor's exact legal name is as set forth in the first paragraph of this
     Agreement. The Trust Depositor has not changed its name, whether by
     amendment of its Articles of Incorporation, by reorganization or otherwise,
     and has not changed the location of its place of business, within the four
     months preceding the Closing Date.

          (h)     SOLVENCY. The Trust Depositor, after giving effect to the
     conveyances made by it hereunder, is Solvent.

Such representations speak as of the execution and delivery of this Agreement
and as of the Closing Date in the case of the Initial Contracts, and as of the
applicable Subsequent Transfer Date in the case of the Subsequent Contracts, but
shall survive the transfer and assignment of the Contracts to the Trust.

                                       28
<Page>

     SECTION 3.02.  REPRESENTATIONS AND WARRANTIES REGARDING THE SERVICER. The
Servicer represents and warrants to the Trust, the Indenture Trustee and the
Noteholders that:

          (a)     ORGANIZATION AND GOOD STANDING. The Servicer is a corporation
     duly organized, validly existing and in good standing under the laws of the
     jurisdiction of its organization and has the corporate power to own its
     assets and to transact the business in which it is currently engaged. The
     Servicer is duly qualified to do business as a foreign corporation and is
     in good standing in each jurisdiction in which the character of the
     business transacted by it or properties owned or leased by it requires such
     qualification and in which the failure so to qualify would have a material
     adverse effect on the business, properties, assets, or condition (financial
     or otherwise) of the Servicer or the Trust. The Servicer is properly
     licensed in each jurisdiction to the extent required by the laws of such
     jurisdiction to service the Contracts in accordance with the terms hereof
     other than such licenses the failure to obtain would not have a material
     adverse effect on the business, properties, assets, or condition (financial
     or otherwise) of the Servicer or on the ability of the Servicer to perform
     its obligations hereunder..

          (b)     AUTHORIZATION; BINDING OBLIGATIONS. The Servicer has the power
     and authority to make, execute, deliver and perform this Agreement and the
     other Transaction Documents to which the Servicer is a party and all of the
     transactions contemplated under this Agreement and the other Transaction
     Documents to which the Servicer is a party, and has taken all necessary
     corporate action to authorize the execution, delivery and performance of
     this Agreement and the other Transaction Documents to which the Servicer is
     a party. This Agreement and the other Transaction Documents to which the
     Servicer is a party constitute the legal, valid and binding obligation of
     the Servicer enforceable in accordance with their terms, except as
     enforcement of such terms may be limited by bankruptcy, insolvency or
     similar laws affecting the enforcement of creditors' rights generally and
     by the availability of equitable remedies.

          (c)     NO CONSENT REQUIRED. The Servicer is not required to obtain
     the consent of any other party or any consent, license, approval or
     authorization from, or registration or declaration with, any governmental
     authority, bureau or agency in connection with the execution, delivery,
     performance, validity or enforceability of this Agreement and the other
     Transaction Documents to which the Servicer is a party.

          (d)     NO VIOLATIONS. The execution, delivery and performance of this
     Agreement and the other Transaction Documents to which the Servicer is a
     party by the Servicer will not violate any provisions of any existing law
     or regulation or any order or decree of any court or of any Federal or
     state regulatory body or administrative agency having jurisdiction over the
     Servicer or any of its properties or the Articles of Incorporation or
     Bylaws of the Servicer, or constitute a material breach of any mortgage,
     indenture, contract or other agreement to which the Servicer is a party or
     by which the Servicer or any of the Servicer's properties may be bound, or
     result in the creation of or imposition of any security interest, lien,
     pledge, preference, equity or encumbrance of any

                                       29
<Page>

     kind upon any of its properties pursuant to the terms of any such mortgage,
     indenture, contract or other agreement, other than this Agreement.

          (e)     LITIGATION. No litigation or administrative proceeding of or
     before any court, tribunal or governmental body is currently pending, or to
     the knowledge of the Servicer threatened, against the Servicer or any of
     its properties or with respect to this Agreement, any other Transaction
     Document to which the Servicer is a party which, if adversely determined,
     would in the opinion of the Servicer have a material adverse effect on the
     business, properties, assets or condition (financial or otherwise) of the
     Servicer or the Trust or the transactions contemplated by this Agreement or
     any other Transaction Document to which the Servicer is a party.

                                  ARTICLE FOUR

           PERFECTION OF TRANSFER AND PROTECTION OF SECURITY INTERESTS

     SECTION 4.01.  CUSTODY OF CONTRACTS. (a) Subject to the terms and
conditions of this Section 4.01, the contents of each Contract File shall be
held in the custody of the Servicer for the benefit of, and as agent for, the
Trust as the owner thereof.

     (b)  The Servicer agrees to maintain the related Contract Files at its
offices where they are currently maintained, or at such other offices of the
Servicer in the State of Nevada as shall from time to time be identified to the
Trustees by written notice. The Servicer may temporarily move individual
Contract Files or any portion thereof without notice as necessary to conduct
collection and other servicing activities in accordance with its customary
practices and procedures; PROVIDED, HOWEVER, that the Servicer will take all
action necessary to maintain the perfection of the Trust's interest in the
Contracts and the proceeds thereof. It is intended that by the Servicer's
agreement pursuant to Section 4.01(a) above and this Section 4.01(b) the
Trustees shall be deemed to have possession of the Contract Files for purposes
of Section 9-313 of the Uniform Commercial Code of the State in which the
Contract Files are located.

     (c)  As custodian, the Servicer shall have the following powers and perform
the following duties:

          (i)     hold the Contract Files on behalf of the Trust, maintain
     accurate records pertaining to each Contract to enable it to comply with
     the terms and conditions of this Agreement, maintain a current inventory
     thereof and certify to the Owner Trustee and the Indenture Trustee annually
     that it continues to maintain possession of such Contract Files;

          (ii)    implement policies and procedures in writing and signed by a
     Servicing Officer with respect to persons authorized to have access to the
     Contract Files on the Servicer's premises and the receipting for Contract
     Files taken from their storage area by an employee of the Servicer for
     purposes of servicing or any other purposes;

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          (iii)   attend to all details in connection with maintaining custody
     of the Contract Files on behalf of the Trust;

          (iv)    at all times maintain the original of the fully executed
     Contract and store such original Contract in a fireproof vault;

          (v)     stamp each Contract on both the first and the signature page
     (if different) as of the Closing Date (or Subsequent Transfer Date, as the
     case may be) in the form attached hereto as EXHIBIT L; and

          (vi)    as promptly as practicable after the Closing Date (or
     Subsequent Transfer Date, as the case may be), and in any event within 60
     days thereof, deliver an Officer's Certificate to the Owner Trustee and the
     Indenture Trustee certifying that as of a date no earlier than the Closing
     Date (or Subsequent Transfer Date, as the case may be) it has conducted an
     inventory of the Contract Files (which in the case of Subsequent Contracts,
     need be only of the Contract Files related to such Subsequent Contracts)
     and that there exists a Contract File for each Contract and stating all
     exceptions to such statement, if any.

     (d)  In performing its duties under this Section 4.01, the Servicer agrees
to act with reasonable care, using that degree of skill and care that it
exercises with respect to similar contracts for the installment purchase of
consumer goods owned and/or serviced by it, and in any event with no less degree
of skill and care than would be exercised by a prudent servicer of motorcycle
conditional sales contracts and promissory note and security agreements. The
Servicer shall promptly report to the Owner Trustee and the Indenture Trustee
any failure by it to hold the Contract Files as herein provided and shall
promptly take appropriate action to remedy any such failure. In acting as
custodian of the Contract Files, the Servicer further agrees not to assert any
legal or beneficial ownership interest in the Contracts or the Contract Files,
except as provided in Section 5.06. The Servicer agrees to indemnify the
Noteholders, the Certificateholder, the Owner Trustee and the Indenture Trustee
for any and all liabilities, obligations, losses, damages, payments, costs, or
expenses of any kind whatsoever which may be imposed on, incurred by or asserted
against the Noteholders, the Certificateholder, the Owner Trustee and the
Indenture Trustee as the result of any act or omission by the Servicer relating
to the maintenance and custody of the Contract Files; PROVIDED, HOWEVER, that
the Servicer will not be liable for any portion of any such amount resulting
from the gross negligence or willful misconduct of any Noteholder,
Certificateholder, the Owner Trustee or the Indenture Trustee. The Trustees
shall have no duty to monitor or otherwise oversee the Servicer's performance as
custodian hereunder.

     SECTION 4.02.  FILING. On or prior to the Closing Date, the Servicer shall
cause the UCC financing statement(s) referred to in Section 2.02(g) hereof to be
filed and from time to time the Servicer shall take and cause to be taken such
actions and execute such documents as are necessary or desirable or as the Owner
Trustee or Indenture Trustee may reasonably request to perfect and protect the
Trust's first priority perfected interest in the Trust Corpus against all

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other persons, including, without limitation, the filing of financing
statements, amendments thereto and continuation statements, the execution of
transfer instruments and the making of notations on or taking possession of all
records or documents of title.

     SECTION 4.03.  NAME CHANGE OR RELOCATION. (a) During the term of this
Agreement, neither the Seller nor the Trust Depositor shall change its name,
identity or structure or change its state of incorporation without first giving
at least 30 days' prior written notice to the Owner Trustee and the Indenture
Trustee.

     (b)  If any change in either the Seller's or the Trust Depositor's name,
identity or structure or other action would make any financing or continuation
statement or notice of lien filed under this Agreement seriously misleading
within the meaning of applicable provisions of the UCC or any title statute, the
Servicer, no later than five days after the effective date of such change, shall
file such amendments as may be required to preserve and protect the Trust's
interests in the Trust Corpus and the proceeds thereof. In addition, neither the
Seller nor the Trust Depositor shall change its state of incorporation unless it
has first taken such action as is advisable or necessary to preserve and protect
the Trust's interest in the Trust Corpus. Promptly after taking any of the
foregoing actions, the Servicer shall deliver to the Owner Trustee and the
Indenture Trustee an opinion of counsel reasonably acceptable to the Owner
Trustee and the Indenture Trustee stating that, in the opinion of such counsel,
all financing statements or amendments necessary to preserve and protect the
interests of the Trust in the Trust Corpus and the Indenture Trustee in the
Collateral have been filed, and reciting the details of such filing.

     SECTION 4.04.  COSTS AND EXPENSES. The Servicer agrees to pay all
reasonable costs and disbursements in connection with the perfection and the
maintenance of perfection, as against all third parties, of the Trust's right,
title and interest in and to the Contracts (including, without limitation, the
security interest in the Motorcycles granted thereby).

                                  ARTICLE FIVE

                             SERVICING OF CONTRACTS

     SECTION 5.01.  RESPONSIBILITY FOR CONTRACT ADMINISTRATION. The Servicer
will have the sole obligation to manage, administer, service and make
collections on the Contracts and perform or cause to be performed all
contractual and customary undertakings of the holder of the Contracts to the
Obligor. The Owner Trustee, at the written request of a Servicing Officer, shall
furnish the Servicer with any powers of attorney or other documents necessary or
appropriate in the opinion of the Owner Trustee to enable the Servicer to carry
out its servicing and administrative duties hereunder. The Servicer is hereby
appointed the servicer hereunder until such time as any Service Transfer may be
effected under Article VIII.

     SECTION 5.02.  STANDARD OF CARE. In managing, administering, servicing and
making collections on the Contracts pursuant to this Agreement, the Servicer
will exercise that degree of skill and care consistent with the skill and care
that the Servicer exercises with respect to similar

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contracts serviced by the Servicer, and, in any event no less degree of skill
and care than would be exercised by a prudent servicer of motorcycle conditional
sales contracts and promissory note and security agreements; PROVIDED, HOWEVER,
that notwithstanding the foregoing, the Servicer shall not release or waive the
right to collect the unpaid balance of any Contract except that with respect to
a Contract that has become a Defaulted Contract, the Servicer, consistent with
its collection policies, may release or waive the right to collect the unpaid
balance of such Defaulted Contract in an effort to maximize collections thereon.

     SECTION 5.03.  RECORDS. The Servicer shall, during the period it is
servicer hereunder, maintain such books of account and other records as will
enable the Owner Trustee and the Indenture Trustee to determine the status of
each Contract.

     SECTION 5.04.  INSPECTION. (a) At all times during the term hereof, the
Servicer shall afford the Owner Trustee and the Indenture Trustee and their
respective authorized agents reasonable access during normal business hours to
the Servicer's records relating to the Contracts and will cause its personnel to
assist in any examination of such records by the Owner Trustee or the Indenture
Trustee, or such authorized agents and allow copies of the same to be made. The
examination referred to in this Section will be conducted in a manner which does
not unreasonably interfere with the Servicer's normal operations or customer or
employee relations. Without otherwise limiting the scope of the examination the
Owner Trustee or the Indenture Trustee may, using generally accepted audit
procedures, verify the status of each Contract and review the Computer Disk and
records relating thereto for conformity to Monthly Reports prepared pursuant to
Article IX and compliance with the standards represented to exist as to each
Contract in this Agreement.

     (b)  At all times during the term hereof, the Servicer shall keep available
a copy of the List of Contracts at its principal executive office for inspection
by the Trustees.

     SECTION 5.05.  TRUST ACCOUNTS. (a) On or before the Closing Date, the Trust
Depositor shall establish the Collection Account, Note Distribution Account,
Pre-Funding Account and Reserve Fund, each with and in the name of the Indenture
Trustee for the benefit of the Noteholders. The Indenture Trustee is hereby
required to ensure that each of the Trust Accounts is established and maintained
as an Eligible Account.

     (b)  The Indenture Trustee shall deposit (or the Servicer shall deposit,
with respect to payments by or on behalf of the Obligors received directly by
the Servicer), without deposit into any intervening account, into the Collection
Account as promptly as practical (but in any case not later than the second
Business Day following the receipt thereof):

          (i)     With respect to principal and interest on the Contracts
     received on or after the Initial Cutoff Date or Subsequent Cutoff Date, as
     applicable (which for the purpose of this paragraph (b)(i) shall include
     those monies in the Lockbox Account allocable to principal and interest on
     the Contracts), all such amounts received by the Owner Trustee or Servicer;

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          (ii)    All Net Liquidation Proceeds related to the Contracts;

          (iii)   The aggregate of the Reacquisition Prices for Contracts
     reacquired by the Trust Depositor as described in Section 7.08;

          (iv)    All Advances made by the Servicer pursuant to Section 7.03(a);

          (v)     All amounts paid by the Trust Depositor in connection with an
     optional reacquisition of the Contracts described in Section 7.10;

          (vi)    All amounts realized in respect of Carrying Charges
     transferred from the Interest Reserve Account as contemplated in Section
     7.03(b); and

          (vii)   All amounts received in respect of interest, dividends, gains,
     income and earnings on investments of funds in the Trust Accounts (except
     the Reserve Fund and the Pre-Funding Account) as contemplated herein.

     (c)  The Indenture Trustee shall, if amounts remain on deposit in the
Pre-Funding Account at the expiration of the Funding Period, make a demand,
immediately upon expiration of the Funding Period, upon the Trust Depositor to
cause to be deposited into the Collection Account the amount then in deposit in
the Pre-Funding Account.

     (d)  If the Servicer so directs, in writing, the Indenture Trustee shall
invest the amounts in the Trust Accounts in Qualified Eligible Investments that
are payable on demand or that mature not later than one Business Day prior to
the next succeeding Distribution Date. Once such funds are invested, the
Indenture Trustee shall not change the investment of such funds. Any loss on
such investments shall be deposited in the applicable Trust Account by the
Servicer out of its own funds immediately as realized. Funds in the Trust
Accounts not so invested must be insured to the extent permitted by law by the
Bank Insurance Fund or the Savings Association Insurance Fund of the Federal
Deposit Insurance Corporation. Subject to the restrictions herein, the Indenture
Trustee may purchase a Qualified Eligible Investment from itself or an
Affiliate. Subject to the other provisions hereof, the Indenture Trustee shall
have sole control over each such investment and the income thereon, and any
certificate or other instrument evidencing any such investment, if any, shall be
delivered directly to the Indenture Trustee or its agent, together with each
document of transfer, if any, necessary to transfer title to such investment to
the Indenture Trustee in a manner which complies with this Section 5.05(d). All
interest, dividends, gains upon sale and other income from, or earnings on,
investments of funds in the Trust Accounts (other than the Reserve Fund and the
Pre-Funding Account) shall be deposited in the Collection Account pursuant to
Section 5.05(b) and distributed on the next Distribution Date pursuant to
Section 7.05. The Trust Depositor and the Trust agree and acknowledge that the
Indenture Trustee is to have "CONTROL" (within the meaning of Section 9-106 of
the UCC) of collateral comprised of "INVESTMENT PROPERTY" (within the meaning of
Section 9-102 of the UCC) for all purposes of this Agreement.

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     (e)  Notwithstanding anything to the contrary herein, the Servicer may
remit payments on the Contracts and Net Liquidation Proceeds to the Collection
Account in next-day funds or immediately available funds no later than 10:00
a.m., Central time, on the Business Day prior to the next succeeding
Distribution Date, but only for so long as (i) the short-term debt security
rating of the Servicer is at least "P-1" by Moody's and "A-1+" by Standard &
Poor's or (ii) the long-term debt security rating of the Servicer is at least
"A2" by Moody's and "A" by Standard & Poor's.

     (f)  The Servicer shall apply collections received in respect of a Contract
as follows:

          (i)     First, to accrued interest with respect to such Contract;

          (ii)    Second, to pay any expenses and unpaid late charges or
extension fees (if any) due and owing under such Contract; and

          (iii)   Third, to principal to the extent due and owing under such
Contract.

     (g)  Any collections on a Contract remaining after application by the
Servicer in accordance with the provisions of Section 5.05(f) shall constitute
an excess payment (an "EXCESS PAYMENT"). Excess Payments constituting
prepayments of principal shall be applied as a prepayment of the Principal
Balance of such Contract. All other Excess Payments shall be permitted to be
retained by the Servicer.

     (h)  The Servicer will, from time to time as provided herein, be permitted
to withdraw or request the withdrawal from the Collection Account any amount
deposited therein that, based on the Servicer's good-faith determination, was
deposited in error.

     SECTION 5.06.  ENFORCEMENT. (a) The Servicer will, consistent with Section
5.02, act with respect to the Contracts in such manner as will maximize the
receipt of all payments called for under the terms of the Contracts. The
Servicer shall use its best efforts to cause Obligors to make all payments on
the Contracts directly to the Lockbox Account. The Servicer will act in a
commercially reasonable manner with respect to the repossession and disposition
of a Motorcycle following a default under the related Contract with a view to
realizing proceeds at least equal to the Motorcycle's fair market value. If the
Servicer determines that eventual payment in full of a Contract is unlikely, the
Servicer will follow its normal practices and procedures to recover all amounts
due upon that Contract, including repossessing and disposing of the related
Motorcycle at a public or private sale or taking other action permitted by
applicable law. The Servicer will be entitled to recover all reasonable
out-of-pocket expenses incurred by it in liquidating a Contract and disposing of
the related Motorcycle.

     (b)  The Servicer may sue to enforce or collect upon Contracts, in its own
name, if possible, or as agent for the Trustees. If the Servicer elects to
commence a legal proceeding to enforce a Contract, the act of commencement shall
be deemed to be an automatic assignment of the Contract to the Servicer for
purposes of collection only. If, however, in any enforcement suit or legal
proceeding it is held that the Servicer may not enforce a Contract on the ground
that it is

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<Page>

not a real party in interest or a holder entitled to enforce the Contract, the
Owner Trustee (or the Indenture Trustee) on behalf of the Trust shall, at the
Servicer's expense, take such steps as the Servicer deems reasonably necessary
to enforce the Contract, including bringing suit in its name or the names of the
Noteholders under the Indenture and the Certificateholder as owner of the Trust.

     (c)  The Servicer shall exercise any rights of recourse against third
persons that exist with respect to any Contract in accordance with the
Servicer's usual practice. In exercising recourse rights, the Servicer is
authorized on the Trust's behalf to reassign the Defaulted Contract or the
related Motorcycle to the Person against whom recourse exists at the price set
forth in the document creating the recourse; PROVIDED, HOWEVER, the Servicer in
exercising recourse against any third persons as described in the immediately
preceding sentence shall do so in such manner as to maximize the aggregate
recovery with respect to the Contract; and PROVIDED FURTHER, HOWEVER, that
notwithstanding the foregoing the Servicer in its capacity as such may exercise
such recourse only if such Contract (i) was not required to be reacquired by the
Seller pursuant to the Transfer and Sale Agreement or (ii) was required to be
reacquired by the Seller and the Seller has defaulted on such reacquisition
obligation.

     (d)  The Servicer will not permit any rescission or cancellation of any
Contract due to the acts or omissions of the Trust Depositor.

     (e)  The Servicer may grant to the Obligor on any Contract an extension of
payments due under such Contract; PROVIDED that (i) the extension period is
limited to 45 days, (ii) the Obligor has not received an extension during the
previous twelve-month period, (iii) the evidence supports the Obligor's
willingness and capability to resume monthly payments, (iv) such extension is
consistent with the Servicer's customary servicing procedures and is consistent
with Section 5.02, (v) such extension does not extend the maturity date of the
Contract beyond the latest maturity date of any of the Contracts as of the
Initial Cutoff Date (or, if a transfer of Subsequent Contracts to the Trust
occurs, beyond the latest maturity date of such Subsequent Contracts) and (vi)
the aggregate Principal Balances of Contracts which have had extensions granted
does not exceed more than 3.00% of the aggregate of the Initial Class A-1 Note
Balance, the Initial Class A-2 Note Balance and the Initial Class B Note
Balance.

     (f)  The Servicer will not add to the outstanding Principal Balance of any
Contract the premium of any physical damage or other individual insurance on a
Motorcycle securing such Contract it obtains on behalf of the Obligor under the
terms of such Contract, but may create a separate Obligor obligation with
respect to such premium if and as provided by the Contract.

     (g)  If the Servicer shall have repossessed a Motorcycle on behalf of the
Trust, the Servicer shall either (i) maintain at its expense physical damage
insurance with respect to such Motorcycle, or (ii) indemnify the Trust against
any damage to such Motorcycle prior to resale or other disposition. The Servicer
shall not allow such repossessed Motorcycles to be used in an active trade or
business, but rather shall dispose of the Motorcycle in a reasonable time in
accordance with the Servicer's normal business practices.

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     SECTION 5.07.  TRUSTEES TO COOPERATE. Upon payment in full on any Contract,
the Servicer will notify the Trustees and the Trust Depositor on the next
succeeding Distribution Date by certification of a Servicing Officer (which
certification shall include a statement to the effect that all amounts received
in connection with such payments which are required to be deposited in the
Collection Account pursuant to Section 5.05 have been so deposited) and shall
(if the Servicer is not then in possession of the Contracts and Contract Files)
request delivery of the Contract and Contract File to the Servicer. Upon receipt
of such delivery and request, the Trustees shall promptly release or cause to be
released such Contract and Contract File to the Servicer. Upon receipt of such
Contract and Contract File, each of the Trust Depositor and the Servicer is
authorized to execute an instrument in satisfaction of such Contract and to do
such other acts and execute such other documents as the Servicer deems necessary
to discharge the Obligor thereunder and eliminate the security interest in the
Motorcycle related thereto. The Servicer shall determine when a Contract has
been paid in full; to the extent that insufficient payments are received on a
Contract credited by the Servicer as prepaid or paid in full and satisfied, the
shortfall shall be paid by the Servicer out of its own funds. From time to time
as appropriate for servicing and repossession in connection with any Contract,
if the Servicer is not then in possession of the Contracts and Contract Files,
the Indenture Trustee shall, upon written request of a Servicing Officer and
delivery to the Indenture Trustee of a receipt signed by such Servicing Officer,
cause the original Contract and the related Contract File to be released to the
Servicer and shall execute such documents as the Servicer shall deem reasonably
necessary to the prosecution of any such proceedings. Such receipt shall
obligate the Servicer to return the original Contract and the related Contract
File to the Indenture Trustee when the need by the Servicer has ceased unless
the Contract shall be reacquired as described in Section 7.10. Upon request of a
Servicing Officer, the Indenture Trustee shall perform such other acts as
reasonably requested by the Servicer and otherwise cooperate with the Servicer
in the enforcement of the Certificateholder's rights and remedies with respect
to Contracts.

     SECTION 5.08.  COSTS AND EXPENSES. All costs and expenses incurred by the
Servicer in carrying out its duties hereunder, fees and expenses of accountants
and payments of all fees and expenses incurred in connection with the
enforcement of Contracts (including enforcement of defaulted Contracts and
repossessions of Motorcycles securing such Contracts when such Contracts are not
reacquired pursuant to Section 7.08) and all other fees and expenses not
expressly stated hereunder to be for the account of the Trust shall be paid by
the Servicer and the Servicer shall not be entitled to reimbursement hereunder.

     SECTION 5.09.  MAINTENANCE OF SECURITY INTERESTS IN MOTORCYCLES. The
Servicer shall take such steps as are necessary to maintain continuous
perfection and the first priority of the security interest created by each
Contract in the related Motorcycle. The Owner Trustee and the Indenture Trustee
hereby authorize the Servicer to take such steps as are necessary to perfect
such security interest and to maintain the first priority thereof in the event
of a relocation of a Motorcycle or for any other reason.

     SECTION 5.10.  SUCCESSOR SERVICER/LOCKBOX AGREEMENTS. The Servicer shall
use its best efforts to cause Obligors to make all payments on the Contracts
directly to one or more

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Lockbox Banks, acting as agent for the Trust pursuant to a Lockbox Agreement. In
the event the Servicer shall for any reason no longer be acting as such, the
Successor Servicer shall thereupon assume all of the rights and obligations of
the outgoing servicer under the Lockbox Agreement; PROVIDED, HOWEVER, that the
Successor Servicer shall not be liable for any acts or obligations of the
Servicer prior to such succession. In such event, the Successor Servicer shall
be deemed to have assumed all of the outgoing Servicer's interest therein and to
have replaced the outgoing Servicer as a party to each such Lockbox Agreement to
the same extent as if such Lockbox Agreement had been assigned to the Successor
Servicer, except that the outgoing Servicer shall not thereby be relieved of any
liability or obligations on the part of the outgoing Servicer to the Lockbox
Bank under such Lockbox Agreement. The outgoing Servicer shall, upon the request
of the Owner Trustee, but at the expense of the outgoing Servicer, deliver to
the Successor Servicer all documents and records relating to each such Lockbox
Agreement and an accounting of amounts collected and held by the Lockbox Bank
and otherwise use its best efforts to effect the orderly and efficient transfer
of any Lockbox Agreement to the Successor Servicer.

     SECTION 5.11.  SEPARATE ENTITY EXISTENCE. The Servicer agrees to take or
refrain from taking or engaging in with respect to the Trust Depositor, as
applicable, each of the actions or activities specified in the "substantive
consolidation" opinion of Winston & Strawn (or in any related Certificate of the
Servicer) delivered on the Closing Date, upon which the conclusions expressed
therein are based.

                                   ARTICLE SIX

                               THE TRUST DEPOSITOR

     SECTION 6.01.  COVENANTS OF THE TRUST DEPOSITOR.

          (a)     During the term of this Agreement, the Trust Depositor will
keep in full force and effect its existence, rights and franchises as a
corporation under the laws of the jurisdiction of its incorporation and will
obtain and preserve its qualification to do business in each jurisdiction in
which such qualification is or shall be necessary to protect the validity and
enforceability of this Agreement, the other Transaction Documents and each other
instrument or agreement necessary or appropriate to the proper administration of
this Agreement and the transactions contemplated hereby.

          (b)     ARM'S  LENGTH  TRANSACTIONS.  During  the term of this
Agreement, all transactions and dealings between the Trust Depositor and its
Affiliates will be conducted on an arm's-length basis.

          (c)     NO OTHER BUSINESS. The Trust Depositor shall not engage in any
business other than financing, purchasing, owning, selling and managing the
Contracts in the manner contemplated by this Agreement and the other Transaction
Documents and activities incidental thereto; PROVIDED, HOWEVER, that the Trust
Depositor may purchase and transfer (or grant Liens in respect of) contracts
and/or other related assets similar to the Contracts to other Persons in

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securitization or other non-recourse financing transactions involving the Seller
or any of its Affiliates (or with respect to the Contract Assets themselves,
following a release and reconveyance thereof from the Trust), on terms and
conditions (with respect to the liabilities imposed upon the Trust Depositor by
virtue of such transactions, as well as in respect of agreements or restrictions
concerning activities of the Trust Depositor and its relations or interactions
with the Seller or the Servicer or other applicable Affiliate relevant to
"bankruptcy remoteness" or "substantive consolidation" analysis), in each case
substantially similar to such terms and conditions applicable to the Trust
Depositor hereunder and under the other Transaction Documents.

          (d)     NO BORROWING. The Trust Depositor shall not issue, incur,
assume, guarantee or otherwise become liable, directly or indirectly, for (i)
any Indebtedness except for any Indebtedness permitted by or arising under the
Transaction Documents or (ii) obligations in connection with transactions
described in the proviso of Section 6.01(c), as limited thereby. The proceeds of
the Notes shall be used exclusively to fund the Trust Depositor's purchase of
the Contracts and the other assets specified in this Agreement and to pay the
transactional expenses of the Trust Depositor.

          (e)     GUARANTEES, LOANS ADVANCES AND OTHER LIABILITIES. Except as
otherwise contemplated by the Transaction Documents or in connection with
transactions described in Section 6.01(c), as limited thereby, the Trust
Depositor shall not make any loan or advance or credit to, or guarantee
(directly or indirectly or by an instrument having the effect of assuming
another's payment or performance on any obligation or capability of so doing or
otherwise), endorse or otherwise become contingently liable, directly or
indirectly, in connection with the obligations, stocks or dividends of, or own,
purchase, repurchase or acquire (or agree contingently to do so) any stock,
obligations, assets or securities of, any other interest in, or make any capital
contribution to, any other Person.

          (f)     CAPITAL EXPENDITURES. The Trust Depositor shall not make any
expenditure (by long-term or operating lease or otherwise) for capital assets
(either realty or personalty).

          (g)     RESTRICTED PAYMENTS. Except as permitted or contemplated by
the Transaction Documents, the Trust Depositor shall not, directly or
indirectly, (i) pay any dividend or make any distribution (by reduction of
capital or otherwise), whether in cash, property, securities or a combination
thereof, to any owner of an equity interest in the Trust Depositor, (ii) redeem,
purchase, retire or otherwise acquire for value any such equity interest or
(iii) set aside or otherwise segregate any amounts for any such purpose; it
being understood that the Trust Depositor shall at all times have the right to
distribute funds received pursuant to the Transaction Documents to its equity
owner.

          (h)     SEPARATE ENTITY EXISTENCE. The Trust Depositor shall:

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<Page>

                  (i)    Maintain its own deposit account or accounts, separate
     from those of any Affiliate, with commercial banking institutions. The
     funds of the Trust Depositor will not be diverted to any other Person or
     for other than authorized uses of the Trust Depositor.

                  (ii)   Ensure that, to the extent that it shares the same
     officers or other employees as any of its members or Affiliates, the
     salaries of and the expenses related to providing benefits to such officers
     and other employees shall be fairly allocated among such entities, and each
     such entity shall bear its fair share of the salary and benefit costs
     associated with all such common officers and employees.

                  (iii)  Ensure that, to the extent that it jointly contracts
     with any of its members or Affiliates to do business with vendors or
     service providers or to share overhead expenses, the costs incurred in so
     doing shall be allocated fairly among such entities, and each such entity
     shall bear its fair share of such costs. To the extent that the Trust
     Depositor contracts or does business with vendors or service providers when
     the goods and services provided are partially for the benefit of any other
     Person, the costs incurred in so doing shall be fairly allocated to or
     among such entities for whose benefit the goods and services are provided,
     and each such entity shall bear its fair share of such costs. All material
     transactions between Trust Depositor and any of its Affiliates shall be
     only on an arm's length basis.

                  (iv)   To the extent that the Trust Depositor and any of its
     members or Affiliates have offices in the same location, there shall be a
     fair and appropriate allocation of overhead costs among them, and each such
     entity shall bear its fair share of such expenses.

                  (v)    Conduct its affairs strictly in accordance with its
     By-laws and Articles of Incorporation, and observe all necessary,
     appropriate and customary limited liability company formalities, including,
     but not limited to, holding all regular and special members' and directors'
     meetings appropriate to authorize all entity action, keeping separate and
     accurate records of such meetings and its actions, passing all resolutions
     or consents necessary to authorize actions taken or to be taken, and
     maintaining accurate and separate books, records and accounts, including,
     but not limited to, payroll and intercompany transaction accounts.

                  (vi)   Take or refrain from taking or engaging in, as
     applicable, each of the actions or activities specified in the "true sale"
     and "substantive consolidation" opinions of Winston & Strawn delivered on
     the Closing Date (or in any related certificate delivered in connection
     therewith), upon which the conclusions expressed therein are based.

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     SECTION 6.02.  LIABILITY OF TRUST DEPOSITOR; INDEMNITIES. The Trust
Depositor shall be liable in accordance herewith only to the extent of the
obligations specifically undertaken by the Trust Depositor under this Agreement.

     The Trust Depositor shall indemnify, defend and hold harmless the Issuer,
the Owner Trustee, WTC, the Indenture Trustee and the Servicer from and against
any taxes that may at any time be asserted against any such Person with respect
to the transactions contemplated herein and in the other Transaction Documents,
including any sales, gross receipts, general corporation, tangible personal
property, Illinois personal property replacement privilege or license taxes
(but, in the case of the Issuer, not including any taxes asserted with respect
to, and as of the date of, the transfer of the Contracts to the Issuer or the
issuance and original sale of the Securities, or asserted with respect to
ownership of the Contracts, or federal or other income taxes arising out of
distributions on the Certificate or the Notes) and costs and expenses in
defending against the same.

     The Trust Depositor shall indemnify, defend and hold harmless the Issuer,
the Owner Trustee, WTC, the Indenture Trustee and the Securityholders from and
against any loss, liability or expense incurred by reason of the Trust
Depositor's willful misfeasance, bad faith or negligence (other than errors in
judgment) in the performance of its duties under this Agreement, or by reason of
reckless disregard of its obligations and duties under this Agreement.

     The Trust Depositor shall indemnify, defend and hold harmless the Issuer,
the Owner Trustee, WTC and the Indenture Trustee from and against all costs,
expenses, losses, claims, damages and liabilities arising out of or incurred in
connection with the acceptance or performance of the trusts and duties herein
and, in the case of the Owner Trustee, in the Trust Agreement and, in the case
of the Indenture Trustee, in the Indenture, except to the extent that such cost,
expense, loss, claim, damage or liability in the case of (i) the Owner Trustee
or WTC, as the case may be, shall be due to the willful misfeasance, bad faith
or negligence of the Owner Trustee or WTC, as the case may be, or shall arise
from the breach by the Owner Trustee or WTC, as the case may be, of any of its
representations or warranties set forth in Section 7.03 of the Trust Agreement,
or (ii) the Indenture Trustee, shall be due to the willful misfeasance, bad
faith or negligence of the Indenture Trustee.

     The Trust Depositor shall be liable directly to and will indemnify any
injured party or any other creditor of the Trust for all losses, claims,
damages, liabilities and expenses of the Trust to the extent that Trust
Depositor would be liable if the Trust were a partnership under the Delaware
Revised Uniform Limited Partnership Act in which Trust Depositor were a general
partner; PROVIDED, HOWEVER, that Trust Depositor shall not be liable for any
losses incurred by a Certificateholder in the capacity of an investor in the
Trust Certificate or a Noteholder in the capacity of an investor in the Notes.
In addition, any third party creditors of the Trust (other than in connection
with the obligations described in the immediately preceding sentence for which
Trust Depositor shall not be liable) shall be deemed third party beneficiaries
of this paragraph. The obligations of Trust Depositor under this paragraph shall
be evidenced by the Trust Certificate described in the Trust Agreement.

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     Indemnification under this Section shall include, without limitation,
reasonable fees and expenses of counsel and expenses of litigation and shall
survive the termination of the Trust and the resignation or removal of the
Trustees. If the Trust Depositor shall have made any indemnity payments pursuant
to this Section and the Person to or on behalf of whom such payments are made
thereafter shall collect any of such amounts from others, such Person shall
promptly repay such amounts to the Trust Depositor, without interest.

     Notwithstanding anything to the contrary herein, the obligations of the
Trust Depositor under this Section are solely the corporate obligations of the
Trust Depositor and shall be payable by it solely as provided in this Section.
The Trust Depositor shall only be required to make such contributions required
under this Section, (y) from funds available to it pursuant to, and in
accordance with the payment priorities set forth in Section 7.05 and (z) only to
the extent that it receives additional funds designated for such purposes or to
the extent that it has additional funds available (other than funds described in
the preceding clause (y)) that would be in excess of amounts that would be
necessary to pay the debt and other obligations of such entity incurred in
accordance with its certificate of incorporation and all financing documents to
which it is a party as they come due. In addition,, no amount owing by the Trust
Depositor hereunder in excess of the liabilities that it is required to pay in
accordance with the preceding sentence shall constitute a "claim" (as defined in
Section 101(5) of the Bankruptcy Code) against it. No recourse shall be had for
the payment of any amount owing hereunder or any other obligation of, or claim
against the Trust Depositor arising out of or based up on this Section against
any stockholder, employee, officer, agent, director or authorized person of the
Trust Depositor or Affiliate thereof; provided, however, that the foregoing
shall not relieve any such person or entity of any liability they might
otherwise have as a result of fraudulent actions or omissions taken by them.

     SECTION 6.03.  MERGER OR CONSOLIDATION OF, OR ASSUMPTION OF THE OBLIGATIONS
OF, TRUST DEPOSITOR; CERTAIN LIMITATIONS. Notwithstanding any other provision in
this Section and any provision of law, the Trust Depositor shall not do any of
the following:

          (a)     engage in any business or activity other than as set forth in
     its Articles of Incorporation;

          (b)     without the affirmative vote of a majority of the members of
     the Board of Directors of the Trust Depositor (which must include the
     affirmative vote of at least two duly appointed Independent directors) (i)
     dissolve or liquidate, in whole or in part, or institute proceedings to be
     adjudicated bankrupt or insolvent, (ii) consent to the institution of
     bankruptcy or insolvency proceedings against it, (iii) file a petition
     seeking or consent to reorganization or relief under any applicable federal
     or state law relating to bankruptcy, (iv) consent to the appointment of a
     receiver, liquidator, assignee, trustee, sequestrator (or other similar
     official) of the corporation or a substantial part of its property, (v)
     make a general assignment for the benefit of creditors, (vi) admit in
     writing its inability to pay its debts generally as they become due, or
     (vii) take any corporate action in furtherance of the actions set forth in
     clauses (i) through (vi) above; PROVIDED,

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     HOWEVER, that no director may be required by any shareholder of the Trust
     Depositor to consent to the institution of bankruptcy or insolvency
     proceedings against the Trust Depositor so long as it is solvent; or

          (c)     merge or consolidate with any other corporation, company or
     entity or sell all or substantially all of its assets or acquire all or
     substantially all of the assets or capital stock or other ownership
     interest of any other corporation, company or entity unless the Person
     formed by such consolidation or into which the Trust Depositor has merged
     or the Person which acquires by conveyance, transfer or lease substantially
     all the assets of the Trust Depositor as an entirety, can lawfully perform
     the obligations of the Trust Depositor hereunder and executes and delivers
     to the Owner Trustee and the Indenture Trustee an agreement in form and
     substance reasonably satisfactory to the Owner Trustee and the Indenture
     Trustee which contains an assumption by such successor entity of the due
     and punctual performance and observance of each covenant and condition to
     be performed or observed by the Trust Depositor under this Agreement;
     PROVIDED that the Trust Depositor shall provide notice of any merger,
     consolidation or succession pursuant to this Section to each Rating Agency
     and shall receive from each Rating Agency a letter to the effect that such
     merger, consolidation or succession will not result in a qualification,
     downgrading or withdrawal of the then-current ratings of each Class of
     Notes.

     SECTION 6.04.  LIMITATION ON LIABILITY OF TRUST DEPOSITOR AND OTHERS. The
Trust Depositor and any director or officer or employee or agent of the Trust
Depositor may rely in good faith on any document of any kind, prima facie
properly executed and submitted by any Person respecting any matters arising
hereunder. The Trust Depositor and any director or officer or employee or agent
of the Trust Depositor shall be reimbursed by the Owner Trustee or the Indenture
Trustee, as the case may be, for any contractual damages, liability or expense
incurred by reason of the Owner Trustee's or the Indenture Trustee's willful
misfeasance, bad faith or negligence (except errors in judgment) in the
performance of their respective duties hereunder, or by reason of reckless
disregard of their respective obligations and duties hereunder. The Trust
Depositor shall not be under any obligation to appear in, prosecute or defend
any legal action that shall not be incidental to its obligations under this
Agreement, and that in its opinion may involve it in any expense or liability.

     SECTION 6.05.  TRUST DEPOSITOR NOT TO RESIGN. Subject to the provisions of
Section 6.03, the Trust Depositor shall not resign from the obligations and
duties hereby imposed on it as Trust Depositor hereunder.

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                                  ARTICLE SEVEN

                           DISTRIBUTIONS; RESERVE FUND

     SECTION 7.01.  MONTHLY DISTRIBUTIONS. (a) Each Noteholder and
Certificateholder as of the related Record Date shall be paid on the next
succeeding Distribution Date by check mailed to such Noteholder or
Certificateholder at the address for such Noteholder or Certificateholder
appearing on the Note Register or Certificate Register or by wire transfer if
such Noteholder or Certificateholder provides written instructions to the
Indenture Trustee or the Owner Trustee, respectively, at least ten days prior to
such Distribution Date.

     (b)  The Indenture Trustee shall serve as the paying agent hereunder (the
"PAYING AGENT") and shall make the payments to or on behalf of the Noteholders
and the Certificateholder required hereunder. The Indenture Trustee hereby
agrees that all amounts held by it for payment hereunder will be held in trust
for the benefit of the Noteholders and the Certificateholder.

     SECTION 7.02.  FEES. The Indenture Trustee shall be paid the Indenture
Trustee Fee and the Servicer shall be paid the Monthly Servicing Fee, each of
which shall be paid solely from the monies and in accordance with the priorities
described in Section 7.05(a). No recourse may be had to the Seller, Trust
Depositor, Trustees, Servicer, or any of their respective Affiliates in the
event that amounts available under Section 7.05(a) are insufficient for payment
of the Indenture Trustee's Fee and the Monthly Servicing Fee.

     SECTION 7.03.  ADVANCES; REALIZATION OF CARRYING CHARGE. (a) On each
Determination Date, the Servicer shall compute the amount of Delinquent
Interest, if any, on the Contracts for the immediately preceding Due Period. Not
later than each Distribution Date, the Servicer shall advance (each, an
"ADVANCE") an amount equal to the Delinquent Interest for such Determination
Date by depositing such amount in the Collection Account; PROVIDED, HOWEVER,
that the Servicer shall be obligated to advance Delinquent Interest only to the
extent that the Servicer, in its sole discretion, expects that such advance will
not become an Uncollectible Advance. The Servicer shall indicate on each Monthly
Report (i) the amount of Delinquent Interest, if any, on the Contracts for the
related Due Period and (ii) the amount of the Advance, if any, made by the
Servicer in respect of the Delinquent Interest pursuant to this Section 7.03. If
the amount of such Advance is less than the amount of the Delinquent Interest,
the relevant Monthly Report shall be accompanied by a certificate of a Servicing
Officer setting forth in reasonable detail the basis for the determination by
the Servicer that the portion of the Delinquent Interest not advanced would
become an Uncollectible Advance. By each Determination Date, the Servicer shall
determine the amount of prior unreimbursed Advances for which it shall be
entitled to be reimbursed pursuant to the provisions of this Section (such
amount, the "REIMBURSEMENT AMOUNT"). The Servicer shall be entitled to be
reimbursed for any outstanding Advance with respect to a Contract by means of a
first priority withdrawal from the Collection Account of such Reimbursement
Amount as provided in Section 7.05(a)(ii).

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     (b)  The Servicer shall determine no later than 12:00 noon, New York City
time, on the second Business Day prior to a Distribution Date the Carrying
Charges in respect of the upcoming Distribution Date. To the extent of such
amount, the Indenture Trustee shall transfer an amount equal to the Carrying
Charges from the Interest Reserve Account (solely to the extent of the amount
then on deposit) into the Collection Account as contemplated in Section
5.05(b)(vi) hereof.

     SECTION 7.04.  INTEREST RESERVE ACCOUNT.

     (a)  On or prior to the Closing Date, the Trust Depositor shall establish
with and in the name of the Indenture Trustee on behalf of the Securityholders,
an Eligible Account designated "HARLEY-DAVIDSON CUSTOMER FUNDING CORP. INTEREST
RESERVE ACCOUNT - HARLEY DAVIDSON MOTORCYCLE TRUST 2003-1 - BNY MIDWEST TRUST
COMPANY, AS INDENTURE TRUSTEE" (such account being the "Interest Reserve
Account").

     (b)  No withdrawals may be made of funds in the Interest Reserve Account
except as provided in (c) below. Except as specifically provided, funds in the
Interest Reserve Account shall not be commingled with funds in any other account
established with respect to the Notes, the Certificate or with any other monies.

     (c)  All investment earnings realized in respect of amounts in the
Pre-Funding Account shall be deposited when and as received in the Interest
Reserve Account, such that the Pre-Funded Amount shall never exceed the amount
initially deposited into the Pre-Funding Account on the Closing Date. With
respect to amounts on deposit in the Interest Reserve Account, the Indenture
Trustee shall disburse from such funds the amount specified in respect of
Carrying Charges in accordance with Section 7.03 herein. In the event that (i)
the Funding Period has terminated, (ii) all amounts on deposit in the
Pre-Funding Account have been disbursed, (iii) a Distribution Date has elapsed
following the occurrence of both (i) and (ii), and (iv) all amounts referred to
in clause (ii) have been applied, then any amounts remaining in the Interest
Reserve Account shall be allocated and distributed to the Trust Depositor.

     SECTION 7.05.  DISTRIBUTIONS; PRIORITIES.

     (a)  Except as provided in Section 7.05(b) or (c), on each Distribution
Date, the Indenture Trustee, at the Servicer's direction, will make the
following allocations and distributions of Available Monies in the following
order of priority:

          (i)     to the Mandatory Redemption Subaccount in the Note
     Distribution Account to the Noteholders, the amount of any Mandatory
     Redemption, PRO RATA (based on the outstanding principal amount of each
     Class of Notes), calculated on the then current principal balance of the
     Notes with the amounts derived from draws on the Pre-Funding Account (which
     amounts are available for payment of such Mandatory Redemptions and not for
     any other purpose); PROVIDED, HOWEVER, in the event the amount in the
     Mandatory Redemption subaccount is less than $150,000 such amount shall be
     distributed solely to the Class A-1 Noteholders;

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<Page>

          (ii)    to the Servicer, the Reimbursement Amount to the Servicer for
     Advances previously made;

          (iii)   to the Servicer, the Servicing Fee, including any unpaid
     Servicing Fee with respect to one or more prior Due Periods;

          (iv)    to the Indenture Trustee, any accrued and unpaid Indenture
     Trustee Fee with respect to one or more prior Due Periods;

          (v)     to the Note Distribution Account, together with any amounts
     deposited therein pursuant to Section 7.06, the Note Interest Distributable
     Amount with respect to such Distribution Date for each Class of Notes
     allocated in the following order of priority:

                  (1)    to the Class A-1 Noteholders and to the Class A-2
          Noteholders, the Note Interest Distributable Amount for each such
          Class of Notes; PROVIDED, HOWEVER, that if there are insufficient
          funds on deposit in the Note Distribution Account to pay the entire
          amount of the Note Interest Distributable Amount for each such Class
          of Notes, then the amount in the Note Distribution Account shall be
          applied to the Class A-1 Notes and the Class A-2 Notes PRO RATA on the
          basis of the Note Interest Distributable Amount for each such Class of
          Notes; and

                  (2)    to the Class B Noteholders, the Note Interest
          Distributable Amount for such Class of Notes;

          (vi)    to the Note Distribution Account, together with any amounts
     deposited therein pursuant to Section 7.06, the Class A Note Principal
     Distributable Amount with respect to such Distribution Date, first, to the
     Class A-1 Notes until the Class A-1 Notes have been paid in full, and
     second, to the Class A-2 Notes until the Class A-2 Notes have been paid in
     full;

          (vii)   to the Note Distribution Account, together with any amounts
     deposited therein pursuant to Section 7.06, the Class B Note Principal
     Distributable Amount to the Class B Notes until the Class B Notes have been
     paid in full;

          (viii)  any Excess Amounts to the Reserve Fund up to the Specified
     Reserve Fund Balance; and

          (ix)    to the Holder of the Certificate.

     (b)  If the Notes have been declared immediately due and payable as
provided in Section 5.02 of the Indenture following the occurrence of an Event
of Default under Section 5.01(iii) of the Indenture, then, until such time as
the Notes have been paid in full, Available Monies shall be allocated and
distributed in the following order of priority after payment of the amounts set
forth in Section 7.05(a)(i), (ii), (iii) and (iv):

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          (i)     to the Note Distribution Account, together with any amounts
     deposited therein pursuant to Section 7.06, the Note Interest Distributable
     Amount with respect to such Distribution Date for each Class of Notes
     allocated in the following order of priority:

                  (1)    to the Class A-1 Noteholders and to the Class A-2
          Noteholders, the Note Interest Distributable Amount for each such
          Class of Notes; PROVIDED, HOWEVER, that if there are insufficient
          funds on deposit in the Note Distribution Account to pay the entire
          amount of the Note Interest Distributable Amount for each such Class
          of Notes, then the amount in the Note Distribution Account shall be
          applied to the Class A-1 Notes and the Class A-2 Notes PRO RATA on the
          basis of the Note Interest Distributable Amount for each such Class;
          and

                  (2)    to the Class B Noteholders, the Note Interest
          Distributable Amount for such Class of Notes;

          (ii)    to the Note Distribution Account, together with any amounts
     deposited therein pursuant to Section 7.06, all amounts remaining after
     distribution of interest to each Class of Notes shall be allocated in the
     following order of priority:

                  (1)    to the Class A Notes, PRO RATA (based on outstanding
          principal amount), until the outstanding principal balance of each
          Class of the Class A Notes has been reduced to zero; and

                  (2)    to the Class B Notes, until the outstanding principal
          balance of the Class B Notes has been reduced to zero; and

          (iii)   to the Holder of the Certificate.

     (c)  If the Notes have been declared immediately due and payable as
provided in Section 5.02 of the Indenture following the occurrence of an Event
of Default under Section 5.01(i), (ii), (iv) or (v) of the Indenture, then,
until such time as the Notes have been paid in full, Available Monies shall be
allocated and distributed in the following order of priority after payment of
amounts set forth in Section 7.05(a)(i), (ii), (iii) and (iv):

          (i)     to the Note Distribution Account, together with any amounts
     deposited therein pursuant to Section 7.06, the Note Interest Distributable
     Amount with respect to such Distribution Date for distribution to the Class
     A-1 Noteholders and to the Class A-2 Noteholders, as applicable; PROVIDED,
     HOWEVER, that if there are insufficient funds on deposit in the Note
     Distribution Account to pay the entire amount of the Note Interest
     Distributable Amount for each such Class of Notes, then the amount in the
     Note Distribution Account shall be applied to the Class A-1 Notes and the
     Class A-2 Notes PRO RATA (on the basis of the Note Interest Distributable
     Amount for each such Class);

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          (ii)    to the Note Distribution Account, together with any amounts
     deposited therein pursuant to Section 7.06, the Class A Note Principal
     Distributable Amount for distribution to the Class A-1 Noteholders and the
     Class A-2 Noteholders in reduction of the outstanding principal amount of
     the Class A-1 Notes and Class A-2 Notes, as applicable, until the
     outstanding principal balance of the Class A-1 Notes and the Class A-2
     Notes has been reduced to zero; provided, however, that if there are
     insufficient funds on deposit in the Note Distribution Account to reduce
     the outstanding principal balance of the Class A-1 Notes and the Class A-2
     Notes to zero, the amount in the Note Distribution Account shall be applied
     to the payment of principal on the Class A-1 Notes and the Class A-2 Notes
     PRO RATA (based on outstanding principal amount);

          (iii)   to the Note Distribution Account, together with any amounts
     deposited therein pursuant to Section 7.06, the Note Interest Distributable
     Amount with respect to such Distribution Date for distribution to the Class
     B Noteholders;

          (iv)    to the Note Distribution Account, together with any amounts
     deposited therein pursuant to Section 7.06, the Class B Note Principal
     Distributable Amount with respect to such Distribution Date for
     distribution to the Class B Noteholders in reduction of the outstanding
     principal amount of the Class B Notes until the outstanding principal
     balance of the Class B Notes has been reduced to zero; and

          (v)     to the Holder of the Certificate.

     SECTION 7.06.  RESERVE FUND.

     (a)  On or prior to the Closing Date, the Indenture Trustee, on behalf of
the Trust Depositor shall deposit the Reserve Fund Initial Deposit into the
Reserve Fund from the net proceeds of the Securities.

     (b)  The Indenture Trustee shall determine no later than 10:00 a.m.,
Chicago, Illinois time, on the Distribution Date (but after making, and taking
into account, the determination, demand and transfer of funds contemplated in
Section 7.05 above) whether there exists a Shortfall with respect to the
upcoming Distribution Date. In the event that the Indenture Trustee determines
that there exists a Shortfall, the Indenture Trustee shall no later than 12:00
noon, Chicago, Illinois time, on such Distribution Date remit monies from the
Reserve Fund in the following order of priority: first, to the Note Distribution
Account, the amount of such Shortfall relating to the Note Interest
Distributable Amount and second, to the Note Distribution Account, the amount of
such Shortfall relating to the Note Principal Distributable Amount.

     (c)  The Indenture Trustee shall at the written direction of the Servicer
invest the funds in the Reserve Fund in Qualified Eligible Investments. Funds in
the Reserve Fund shall be invested in investments that are payable on demand or
mature on or before the Business Day prior to each Distribution Date. Once such
funds are invested, the Indenture Trustee shall not change the investment of
such funds prior to maturity. Upon any such investment, the Indenture Trustee
shall, consistent with the definition of Qualified Eligible Investment herein,
make an

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appropriate notation of the security interest in such Qualified Eligible
Investment on the Indenture Trustee's records, by book entry or otherwise. All
income and gain realized from any such investments as well as any interest
earned on Reserve Fund Deposits shall be deposited and retained in the Reserve
Fund (subject to Section 7.06(e)). Losses, if any, realized on amounts in the
Reserve Fund invested pursuant to this paragraph shall first be credited against
undistributed investment earnings on amounts in the Reserve Fund invested
pursuant to this paragraph, and shall thereafter be deemed to reduce the amount
on deposit in the Reserve Fund. Neither the Trust Depositor nor the Indenture
Trustee shall be liable for the amount of any loss incurred in respect of any
investment, or lack of investment, of funds held in the Reserve Fund. All income
or loss on funds held in the Reserve Fund shall be taxable to the Trust
Depositor.

     (d)  Any Excess Amounts will be applied to the Specified Reserve Fund
Balance.

     (e)  On each Distribution Date on which the amount on deposit in the
Reserve Fund (after giving effect to all deposits thereto and withdrawals
therefrom on such Distribution Date) is greater than the Specified Reserve Fund
Balance, the Indenture Trustee shall release its lien on any remaining amounts
to the Trust Depositor.

     SECTION 7.07.  ESTABLISHMENT OF PRE-FUNDING ACCOUNT.

     (a)  On or prior to the Closing Date, the Trust Depositor shall establish
with and in the name of the Indenture Trustee on behalf of the Securityholders,
an Eligible Account designated "HARLEY-DAVIDSON CUSTOMER FUNDING CORP.
PRE-FUNDING ACCOUNT - HARLEY DAVIDSON MOTORCYCLE TRUST 2003-1 - BNY MIDWEST
TRUST COMPANY, AS INDENTURE TRUSTEE" (such account being the "Pre-Funding
Account").

     (b)  During the Funding Period, following receipt from the Trust Depositor
of an Addition Notice, and upon further receipt of a written demand from the
Trust Depositor for a disbursement of funds from the Pre-Funding Account to be
made on or before the date on which the Funding Period terminates (which written
demand must be delivered not later than one Business Day prior to the requested
date of funding and must be accompanied by the written consent of the Indenture
Trustee), the Indenture Trustee will disburse the amount demanded from the
Pre-Funding Account to Harley-Davidson Credit upon the order of the Trust
Depositor for the purpose of purchasing Subsequent Contracts from
Harley-Davidson Credit pursuant to a Subsequent Purchase Agreement. With respect
to amounts still remaining on deposit in the Pre-Funding Account on the date
upon which the Funding Period ends (and provided a timely written demand for
funding as described above has not been received requesting funding on such
date) the Indenture Trustee shall immediately transfer all funds remaining in
the Pre-Funding Account to the Note Distribution Account.

     (c)  If (x) the Pre-Funded Amount has not been reduced to zero on the
Distribution Date on which the Funding Period ends (or, if the Funding Period
does not end on a Distribution Date, on the first Distribution Date following
the end of the Funding Period) or (y) the Pre-Funded Amount has been reduced to
$150,000 or less on any Determination Date, in either case

                                       49
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after giving effect to any reductions in the Pre-Funded Amount on such
Distribution Date or Determination Date pursuant to paragraph (a) above, the
Trust Depositor shall instruct the Indenture Trustee to withdraw from the
Pre-Funding Account the Pre-Funded Amount and, in the case of (x), on such
Distribution Date or, in the Determination Date (i) if the Pre-Funded Amount is
less than $150,000, deposit the Pre-Funded Amount in the Note Distribution
Account for payment as principal of the Class A-1 Notes up to the Outstanding
Amount thereof and then for payment of principal of the Class A-2 Notes and
Class B Notes and (ii) if the Pre-Funded Amount is equal to or greater than
$150,000, deposit the Pre-Funded Amount in the Note Distribution Account for
payment as principal of the Notes, pro rata, calculated on the then current
principal balance of each Class of Notes.

     SECTION 7.08.  REACQUISITION OF CONTRACTS FOR BREACH OF REPRESENTATIONS AND
WARRANTIES.

     Upon a discovery by the Servicer, the Trust Depositor or the Trustees of a
breach of a representation or warranty of the Seller as set forth in EXHIBIT J
hereto or as made in any Subsequent Purchase Agreement relating to Subsequent
Contracts that materially adversely affects the Trust's interest in such
Contract (without regard to the benefits of the Reserve Fund), the party
discovering the breach shall give prompt written notice to the other parties;
PROVIDED, that the Trustees shall have no duty or obligation to inquire or to
investigate the breach by the Seller of any of such representations or
warranties. The Seller, as provided in the Transfer and Sale Agreement and in
accordance with this Section 7.08, shall reacquire a Contract at its
Reacquisition Price, two Business Days prior to the first Determination Date
after the Seller becomes aware, or should have become aware, or receives written
notice from the Trustee, the Servicer or the Trust Depositor of any breach of a
representation or warranty of the Seller set forth in Article III of the
Transfer and Sale Agreement that materially and adversely affects such Contract
or the Trust's interest in such Contract and which breach has not been cured;
PROVIDED, HOWEVER, that with respect to any Contract incorrectly described on
the List of Contracts with respect to unpaid Principal Balance which the Seller
would otherwise be required to reacquire under the Transfer and Sale Agreement,
the Seller may, in lieu of reacquiring such Contract, deposit in the Collection
Account not later than one Business Day after such Determination Date cash in an
amount sufficient to cure such deficiency or discrepancy; and PROVIDED FURTHER
that with respect to a breach of representation or warranty relating to the
Contracts in the aggregate and not to any particular Contract the Seller may
select Contracts (without adverse selection) to reacquire such that had such
Contracts not been included as part of the Trust Corpus there would have been no
breach of such representation or warranty; PROVIDED FURTHER that the failure to
maintain perfection of the security interest in the Motorcycle securing a
Contract in accordance with Section 5.09, shall be deemed to be a breach
materially and adversely affecting the Trust's interest in the Contract or in
the related Contracts. Notwithstanding any other provision of this Agreement,
the obligation of the Seller under the Transfer and Sale Agreement and described
in this Section 7.08 shall not terminate or be deemed released by any party
hereto upon a Service Transfer pursuant to Article VIII. The reacquisition
obligation described in this Section 7.08 is in no way to be satisfied with
monies in the Reserve Fund.

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     SECTION 7.09.  REASSIGNMENT OF REACQUIRED CONTRACTS. Upon receipt by the
Indenture Trustee for deposit in the Collection Account of the Reacquisition
Price as described in Section 7.08 or Section 7.10, and upon receipt of a
certificate of a Servicing Officer in the form attached hereto as EXHIBIT G, the
Indenture Trustee shall release its lien on and the Trust shall assign to the
Seller all of the Trust's right, title and interest in the reacquired Contract
without recourse, representation or warranty, except as to the absence of liens,
charges or encumbrances created by or arising as a result of actions of the
Trustees.

     SECTION 7.10.  SELLER'S REACQUISITION OPTION. As provided in the Transfer
and Sale Agreement, on written notice to the Indenture Trustee at least 20 days
prior to a Distribution Date, and provided that the Pool Balance is then less
than 10% of the Aggregate Principal Balance as of the Closing Date, and provided
a valuation letter is delivered as required in Section 5.02 of the Transfer and
Sale Agreement, the Seller may (but is not required to) reacquire on that
Distribution Date all outstanding Contracts at a price equal to the aggregate
unpaid principal balance of the Notes on the previous Distribution Date plus the
aggregate of the Note Interest Distributable Amount for the current Distribution
Date, the Reimbursement Amount (if any) as well as accrued and unpaid Monthly
Servicing Fees and the Indenture Trustee Fee to the date of such reacquisition.
Such price shall be deposited in the Collection Account not later than one (1)
Business Day before such Distribution Date, against the Owner Trustee's and
Indenture Trustee's release of the Contracts and the Contract Files to the
Seller.

                                  ARTICLE EIGHT

                     EVENTS OF TERMINATION; SERVICE TRANSFER

     SECTION 8.01.  EVENTS OF TERMINATION.  "Event of Termination" means the
occurrence of any of the following:

     (a)  Any failure by the Servicer or the Seller to make any payment or
deposit required to be made hereunder or in the Transfer and Sale Agreement (or
in any Subsequent Purchase Agreement or Subsequent Transfer Agreement) and the
continuance of such failure for a period of four Business Days after the date on
which such payment or deposit was due;

     (b)  Failure on the Servicer's or the Seller's part to observe or perform
in any material respect any covenant or agreement in this Agreement or in the
Transfer and Sale Agreement (or in any Subsequent Purchase Agreement or
Subsequent Transfer Agreement) (other than a covenant or agreement, the breach
of which is specifically addressed elsewhere in this Section) which continues
unremedied for 30 days after the date on which such failure commences;

     (c)  Any assignment by the Servicer or the Seller of its duties or rights
hereunder or under the Transfer and Sale Agreement (or under any Subsequent
Purchase Agreement or Subsequent Transfer Agreement), except as specifically
permitted hereunder or thereunder, or any attempt to make such an assignment;

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     (d)  An involuntary case under any applicable bankruptcy, insolvency or
other similar law shall have been commenced in respect of the Servicer or Trust
Depositor and shall not have been dismissed within 90 days, or a court having
jurisdiction in the premises shall have entered a decree or order for relief in
respect of either the Servicer or Trust Depositor in an involuntary case under
any applicable bankruptcy, insolvency or other similar law now or hereafter in
effect, or appointing a receiver, liquidator, assignee, custodian, trustee,
sequestrator (or similar official) of either the Servicer or Trust Depositor, or
for any substantial liquidation or winding up of their respective affairs;

     (e)  The Servicer or Trust Depositor shall have commenced a voluntary case
under any applicable bankruptcy, insolvency or other similar law now or
hereafter in effect, or shall have consented to the entry of an order for relief
in an involuntary case under any such law, or shall have consented to the
appointment of or taking possession by a receiver, liquidator, assignee,
trustee, custodian or sequestrator (or other similar official) of the Servicer
or Trust Depositor, as the case may be, or for any substantial part of their
respective property, or shall have made any general assignment for the benefit
of their respective creditors, or shall have failed to, or admitted in writing
its inability to, pay its debts as they become due, or shall have taken any
corporate action in furtherance of the foregoing;

     (f)  Any failure by the Servicer to deliver to the Trustees the Monthly
Report pursuant to the terms of this Agreement which remains uncured for five
Business Days after the date which such failure commences;

     (g)  Any representation, warranty or statement of the Servicer made in this
Agreement, in any Subsequent Transfer Agreement or any certificate, report or
other writing delivered pursuant hereto shall prove to be incorrect in any
material respect as of the time when the same shall have been made and the
incorrectness of such representation, warranty or statement has a material
adverse effect on the Trust and, within 30 days after written notice thereof
shall have been given to the Servicer or the Trust Depositor by the Indenture
Trustee, the circumstances or condition in respect of which such representation,
warranty or statement was incorrect shall not have been eliminated or otherwise
cured.

     SECTION 8.02.  WAIVER OF SERVICER DEFAULT. The Required Noteholders may, by
written notice delivered to the parties hereto, waive any Servicer Default other
than a Servicer Default described in Section 8.01(a).

     SECTION 8.03.  SERVICE TRANSFER. (a) If an Event of Termination has
occurred and is continuing and has not been waived pursuant to Section 8.02, (x)
the Required Holders or (y) the Indenture Trustee may, by written notice
delivered to the parties hereto, terminate all (but not less than all) of the
Servicer's management, administrative, servicing, custodial and collection
functions (such termination being herein called a "SERVICE TRANSFER").

     (b)  Upon receipt of the notice required by Section 8.03(a) (or, if later,
on a date designated therein), all rights, benefits, fees, indemnities,
authority and power of the Servicer

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under this Agreement, whether with respect to the Contracts, the Contract Files
or otherwise, shall pass to and be vested in the Indenture Trustee (the
"SUCCESSOR SERVICER") pursuant to and under this Section 8.03; and, without
limitation, the Successor Servicer is authorized and empowered to execute and
deliver on behalf of the Servicer, as attorney-in-fact or otherwise, any and all
documents and other instruments, and to do any and all acts or things necessary
or appropriate to effect the purposes of such notice of termination. The
Servicer agrees to cooperate with the Successor Servicer in effecting the
termination of the responsibilities and rights of the Servicer hereunder,
including, without limitation, the transfer to the Successor Servicer for
administration by it of all cash amounts which shall at the time be held by the
Servicer for deposit, or have been deposited by the Servicer, in the Collection
Account, or for its own account in connection with its services hereafter or
thereafter received with respect to the Contracts. The Servicer shall transfer
to the Successor Servicer all records held by the Servicer relating to the
Contracts in such electronic form as the Successor Servicer may reasonably
request and (ii) any Contract Files in the Servicer's possession. In addition,
the Servicer shall permit access to its premises (including all computer records
and programs) to the Successor Servicer or its designee, and shall pay the
reasonable transition expenses of the Successor Servicer. Upon a Service
Transfer, the Successor Servicer shall also be entitled to receive the Monthly
Servicing Fee for performing the obligations of the Servicer.

     SECTION 8.04.  SUCCESSOR SERVICER TO ACT; APPOINTMENT OF SUCCESSOR
SERVICER. On or after a Service Transfer pursuant to Section 8.03, the Successor
Servicer shall be the successor in all respects to the Servicer in its capacity
as servicer under this Agreement and the transactions set forth or provided for
herein and shall be subject to all the responsibilities, duties and liabilities
relating thereto placed on the Servicer by the terms and provisions hereof, and
the terminated Servicer shall be relieved of such responsibilities, duties and
liabilities arising after such Service Transfer; PROVIDED, HOWEVER, that (i) the
Successor Servicer will not assume any obligations of the Servicer described in
Section 8.08 and (ii) the Successor Servicer shall not be liable for any acts or
omissions of the Servicer occurring prior to such Service Transfer or for any
breach by the Servicer of any of its representations and warranties contained
herein or in any related document or agreement. Notwithstanding the above, if
the Successor Servicer is legally unable or unwilling to act as Servicer, the
Required Holders may appoint a successor servicer (other than the original
Servicer or an Affiliate of the original Servicer) to act as Servicer. As
compensation therefor, the successor servicer shall be entitled to receive
reasonable compensation equal to the Monthly Servicing Fee. The Owner Trustee,
Noteholders and the Indenture Trustee and such successor shall take such action,
consistent with this Agreement, as shall be necessary to effectuate any such
succession. To the extent the terminated Servicer has made Advances, it shall be
entitled to reimbursement of the same notwithstanding its termination hereunder,
to the same extent as if it had continued to service the Contracts hereunder.

     SECTION 8.05.  NOTIFICATION TO SECURITYHOLDERS. (a) Promptly following the
occurrence of any Event of Termination, the Servicer shall give written notice
thereof to the Trustees, the Trust Depositor and each Rating Agency at the
addresses described in Section 11.04 hereof and to the Noteholders at their
respective addresses appearing on the Note Register.

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     (b)  Within 10 days following any termination or appointment of a Successor
Servicer pursuant to this Article VIII, the Indenture Trustee shall give written
notice thereof to each Rating Agency and the Trust Depositor at the addresses
described in Section 11.04 hereof, and to the Noteholders at their addresses
appearing on the Note Register.

     SECTION 8.06.  EFFECT OF TRANSFER. (a) After a Service Transfer, the
terminated Servicer shall have no further obligations with respect to the
management, administration, servicing, custody or collection of the Contracts
and the Successor Servicer appointed pursuant to Section 8.04 shall have all of
such obligations, except that the terminated Servicer will transmit or cause to
be transmitted directly to the Successor Servicer for its own account, promptly
on receipt and in the same form in which received, any amounts (properly
endorsed where required for the Successor Servicer to collect them) received as
payments upon or otherwise in connection with the Contracts.

     (b)  A Service Transfer shall not affect the rights and duties of the
parties hereunder (including but not limited to the indemnities of the Servicer)
other than those relating to the management, administration, servicing, custody
or collection of the Contracts.

     SECTION 8.07.  DATABASE FILE. The Servicer will provide the Successor
Servicer with a magnetic tape (in a format reasonably acceptable to the
Indenture Trustee and the Servicer) containing the database file for each
Contract (i) as of the Cutoff Date, (ii) the Subsequent Cutoff Date, (iii)
thereafter, as of the last day of the preceding Due Period on each Determination
Date prior to a Servicer Termination Event and (iv) on and as of the Business
Day before the actual commencement of servicing functions by the Successor
Servicer following the occurrence of a Servicer Termination Event.

     SECTION 8.08.  SUCCESSOR SERVICER INDEMNIFICATION. The Servicer shall
defend, indemnify and hold the Successor Servicer and any officers, directors,
employees or agents of the Successor Servicer harmless against any and all
claims, losses, penalties, fines, forfeitures, legal fees and related costs,
judgments and any other costs, fees, and expenses that the Successor Servicer
may sustain in connection with the claims asserted at any time by third parties
against the Successor Servicer which result from (i) any willful or grossly
negligent act taken or omission by the Servicer or (ii) a breach of any
representations of the Servicer in Section 3.02 hereof. The indemnification
provided by this Section 8.07 shall survive the termination of this Agreement.

     SECTION 8.09.  RESPONSIBILITIES OF THE SUCCESSOR SERVICER. The Successor
Servicer will not be responsible for delays attributable to the Servicer's
failure to deliver information, defects in the information supplied by the
Servicer or other circumstances beyond the control of the Successor Servicer.

     The Successor Servicer will make arrangements with the Servicer for the
prompt and safe transfer of, and the Servicer shall provide to the Successor
Servicer, all necessary servicing files and records, including (as deemed
necessary by the Successor Servicer at such time): (i)

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microfiche loan documentation, (ii) servicing system tapes, (iii) Contract
payment history, (iv) collections history and (v) the trial balances, as of the
close of business on the day immediately preceding conversion to the Successor
Servicer, reflecting all applicable loan information.

     The Successor Servicer shall have no responsibility and shall not be in
default hereunder nor incur any liability for any failure, error, malfunction or
any delay in carrying out any of its duties under this Agreement if any such
failure or delay results from the Successor Servicer acting in accordance with
information prepared or supplied by a Person other than the Successor Servicer
or the failure of any such Person to prepare or provide such information. The
Successor Servicer shall have no responsibility, shall not be in default and
shall incur no liability (i) for any act or failure to act by any third party,
including the Servicer, the Trust Depositor or the Trustees or for any
inaccuracy or omission in a notice or communication received by the Successor
Servicer from any third party or (ii) which is due to or results from the
invalidity, unenforceability of any Contract with applicable law or the breach
or the inaccuracy of any representation or warranty made with respect to any
Contract.

     SECTION 8.10.  LIMITATION OF LIABILITY OF SERVICER. (a) Neither the
Servicer nor any of the directors, officers, employees or agents of the Servicer
shall be under any liability to the Trust, the Owner Trustee, the Indenture
Trustee or the Noteholders, except as provided under this Agreement, for any
action taken or for refraining from the taking of any action pursuant to this
Agreement or for errors in judgment; PROVIDED, HOWEVER, that this provision
shall not protect the Servicer or any such person against any liability that
would otherwise be imposed by reason of willful misfeasance, bad faith or
negligence in the performance of duties or by reason of reckless disregard of
obligations and duties under this Agreement. The Servicer and any director,
officer, employee or agent of the Servicer may rely in good faith on the advice
of counsel or on any document of any kind, prima facie properly executed and
submitted by any Person respecting any matters arising under this Agreement.

     (b)  Except as provided in this Agreement, the Servicer shall not be under
any obligation to appear in, prosecute or defend any legal action that shall not
be incidental to its duties to service the Contracts in accordance with this
Agreement, and that in its opinion may cause it to incur any expense or
liability; PROVIDED, HOWEVER, that the Servicer may undertake any reasonable
action that it may deem necessary or desirable in respect of the Transaction
Documents and the rights and duties of the parties to the Transaction Documents
and the interests of the Noteholders under the Indenture. In such event, the
legal expenses and costs of such action and any liability resulting therefrom
shall be expenses, costs and liabilities of the Servicer and the Servicer will
not be entitled to be reimbursed therefor.

     SECTION 8.11.  MERGER OR CONSOLIDATION OF SERVICER. Any Person into which
the Servicer may be merged or consolidated, or any corporation, or other entity
resulting from any merger conversion or consolidation to which the Servicer
shall be a party, or any Person succeeding to all or substantially all of the
business of the Servicer (which Person assumes the obligations of the Servicer),
shall be the successor of the Servicer hereunder, without the execution or
filing of any paper or any further act on the part of any of the parties hereto,

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anything herein to the contrary notwithstanding. The Servicer shall give prior
written notice of any such merger or consolidation to which it is a party to the
Issuer, the Owner Trustee, the Indenture Trustee and the Rating Agencies.

     SECTION 8.12.  SERVICER NOT TO RESIGN. Subject to the provisions of Section
8.03, Servicer shall not resign from the obligations and duties hereby imposed
on it as Servicer under this Agreement except upon determination that the
performance of its duties under this Agreement shall no longer be permissible
under applicable law. Notice of any such determination permitting the
resignation of Servicer shall be communicated to the Owner Trustee and the
Indenture Trustee at the earliest practicable time (and, if such communication
is not in writing, shall be confirmed in writing at the earliest practicable
time) and any such determination shall be evidenced by an Opinion of Counsel to
such effect delivered to the Owner Trustee and the Indenture Trustee
concurrently with or promptly after such notice. No such resignation shall
become effective until the Indenture Trustee shall have assumed the
responsibilities and rights of the predecessor Servicer in accordance with
Section 8.04.

     SECTION 8.13.  APPOINTMENT OF SUBSERVICER. So long as Harley-Davidson
Credit Corp. acts as the Servicer, the Servicer may at any time without notice
or consent perform specific duties as servicer under this Agreement through
other subcontractors; PROVIDED, HOWEVER, that, in each case, no such delegation
or subcontracting shall relieve the Servicer of its responsibilities with
respect to such duties as to which the Servicer shall remain primarily
responsible with respect thereto.

                                  ARTICLE NINE

                                     REPORTS

     SECTION 9.01.  MONTHLY REPORTS. No later than 10:00 a.m. Chicago, Illinois
time two Business Days prior to each Distribution Date, the Servicer shall cause
the Trustees and each Rating Agency to receive a Monthly Report.

     SECTION 9.02.  OFFICER'S CERTIFICATE. Each Monthly Report delivered
pursuant to Section 9.01 shall be accompanied by a certificate of a Servicing
Officer substantially in the form of EXHIBIT C, certifying the accuracy of the
Monthly Report and that no Event of Termination or event that with notice or
lapse of time or both would become an Event of Termination has occurred, or if
such event has occurred and is continuing, specifying the event and its status.

     SECTION 9.03.  OTHER DATA. In addition, the Trust Depositor and the
Servicer shall, upon the request of the Trustees, Moody's or Standard & Poor's,
furnish the Trustees, Moody's or Standard & Poor's, as the case may be, such
underlying data as may be reasonably requested.

     SECTION 9.04.  ANNUAL REPORT OF ACCOUNTANTS.

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     (a)  The Servicer shall cause a firm of nationally recognized independent
certified public accountants (the "INDEPENDENT ACCOUNTANTS"), who may also
render other services to the Servicer, Harley-Davidson Financial or to the Trust
Depositor, to deliver to the Trustees, the Underwriters and each Rating Agency,
on or before March 31 (or 90 days after the end of the Servicer's fiscal year,
if other than December 31) of each year, beginning on March 31, 2004, with
respect to the twelve months ended the immediately preceding December 31 (or
other applicable date), a statement (the "ACCOUNTANT'S REPORT") addressed to the
Board of Directors of the Servicer and to the Trustees to the effect that such
firm has audited the financial statements of Harley-Davidson Financial and
issued its report thereon and that such audit:

          (1)     was made in accordance with generally accepted auditing
     standards, and accordingly included such tests of the accounting records
     and such other auditing procedures as such firm considered necessary in the
     circumstances;

          (2)     included an examination of documents and records relating to
     the servicing of motorcycle conditional sales contracts and promissory note
     and security agreements under pooling and servicing agreements
     substantially similar to one another (such statement to have attached
     thereto a schedule setting forth the pooling and servicing agreements
     covered thereby, including this Agreement);

          (3)     included an examination of the delinquency and loss statistics
     relating to Harley-Davidson Financial's portfolio of motorcycle conditional
     sales contracts and promissory note and security agreements; and

          (4)     except as described in the statement, disclosed no exceptions
     or errors in the records relating to motorcycle loans serviced for others
     that, in the firm's opinion, generally accepted auditing standards requires
     such firm to report.

The Accountant's Report shall further state that:

          (1)     a review in accordance with agreed upon procedures was made of
     one randomly selected Monthly Report; and

          (2)     except as disclosed in the Report, no exceptions or errors in
     the Monthly Report so examined were found.

     (b)  The Accountant's Report shall also indicate that the firm is
independent of Harley-Davidson Financial within the meaning of the Code of
Professional Ethics of the American Institute of Certified Public Accountants.

     (c)  In the event the Independent Accountants require the Indenture Trustee
to agree to the procedures performed by such firm, the Servicer shall direct the
Indenture Trustee in writing to so agree; it being understood and agreed that
the Indenture Trustee will deliver such letter of agreement in conclusive
reliance upon the direction of the Servicer, and the Indenture Trustee

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shall not make any independent inquiry or investigation as to, and shall have no
obligation or liability in respect of, the sufficiency, validity or correctness
of such procedures.

     SECTION 9.05.  ANNUAL STATEMENT OF COMPLIANCE FROM SERVICER. The Servicer
will deliver to the Trustees, the Underwriters and each of the Rating Agencies,
on or before January 31 of each year commencing January 31, 2004, an Officer's
Certificate stating that (a) a review of the activities of the Servicer during
the prior calendar year and of its performance under this Agreement was made
under the supervision of the officer signing such certificate and (b) to such
officer's knowledge, based on such review, the Servicer has fully performed all
its obligations under this Agreement, or, if there has been a default in the
performance of any such obligation, specifying each such default known to such
officer and the nature and status thereof. A copy of such certificate may be
obtained (i) by any Noteholder by a request in writing to the Indenture Trustee
and (ii) by any Certificateholder by a request in writing to the Owner Trustee.

     SECTION 9.06.  MONTHLY REPORTS TO NOTEHOLDERS. (a) On or before two
Business Days prior to each Distribution Date, the Servicer shall prepare and,
concurrently with each distribution to Noteholders pursuant to Article VII,
deliver to the Indenture Trustee, in its capacity as Note Registrar and Paying
Agent, shall cause to be delivered and mailed to each Noteholder at the
addresses appearing on the Note Register a statement as of the related
Distribution Date substantially in the form of EXHIBIT I hereto (the "MONTHLY
REPORT") setting forth:

          (i)     the amount of Noteholder's principal distribution;

          (ii)    the amount of Noteholder's interest distribution;

          (iii)   the amount of fees payable out of the Trust, separately
     identifying the Monthly Servicing Fee and the Indenture Trustee Fee;

          (iv)    the amount of any Note Interest Carryover Shortfall and Note
     Principal Carryover Shortfall on such Distribution Date and the change in
     such amounts from those with respect to the immediately preceding
     Distribution Date;

          (v)     the Note Pool Factor for each Class of Notes, in each case of
     such Distribution Date;

          (vi)    the amount of the distributions described in (i) or (ii) above
     payable pursuant to a claim on the Reserve Fund or from any other source
     not constituting Available Monies and the amount remaining in the Reserve
     Fund after giving effect to all deposits and withdrawals from the Reserve
     Fund on such date;

          (vii)   the amount of any Mandatory Redemption to be made on such
     Distribution Date;

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          (viii)  for each Distribution Date during the Funding Period, the
     remaining Pre-Funded Amount;

          (ix)    for each Distribution Date during the Funding Period to and
     including the Distribution Date immediately following the end of the
     Funding Period, the Principal Balance and number of Subsequent Contracts
     conveyed to the Trust during the related Due Period;

          (x)     the remaining Principal Balance after giving effect to the
     distribution of principal (and Mandatory Redemption, if any) to each class
     of Notes to be made on such Distribution Date;

          (xi)    the number and aggregate principal balance of Contracts
     delinquent 31-59 days, 60-89 days and 90 or more days, computed as of the
     end of the related Due Period;

          (xii)   the number and aggregate principal balance of Contracts that
     became Liquidated Contracts during the immediately preceding Due Period,
     the amount of liquidation proceeds for such Due Period, the amount of
     liquidation expenses being deducted from liquidation proceeds for such Due
     Period, the Net Liquidation Proceeds and the Net Liquidation Losses for
     such Due Period;

          (xiii)  the Loss Ratio, Average Loss Ratio, Cumulative Loss Ratio, the
     Delinquency Ratio and the Average Delinquency Ratio as of such Distribution
     Date;

          (xiv)   the number of Contracts and the aggregate Principal Balance of
     such Contracts, as of the first day of the Due Period relating to such
     Distribution Date (after giving effect to payments received during such Due
     Period and to any transfers of Subsequent Contracts to the Trust occurring
     on or prior to such Distribution Date);

          (xv)    the aggregate Principal Balance and number of Contracts that
     were reacquired by the Seller pursuant to the Agreement with respect to the
     related Due Period, identifying such Contracts and the Reacquisition Price
     for such Contracts;

          (xvi)   the amount otherwise distributable on the Class B Notes that
     has instead been distributed to one or more senior Classes of Notes on such
     Distribution Date;

          (xvii)  the amount of Advances made by the Servicer in respect of the
     related Contracts and the related Due Period and the amount of unreimbursed
     Advances in respect of the related Contracts determined by the Servicer to
     be Defaulted Contracts; and

          (xviii) such other customary factual information as is available to
     the Servicer as the Servicer deems necessary and can reasonably obtain from
     its existing data base to enable the Noteholders and the Certificateholder
     to prepare their tax returns.

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     (b)  Within the prescribed period of time for tax reporting purposes after
the end of each calendar year, the Servicer shall prepare and the Note Registrar
shall mail to each Noteholder of record at any time during such year a report as
to the aggregate amounts reported pursuant to subsections (i), (ii), (iii) and
(iv) of this Section, attributable to such Noteholder.

     (c)  The Indenture Trustee shall send via first class mail a paper copy of
the Monthly Report to (i) the initial Clearing Agency under the Note Depository
Agreement or any qualified successor appointed pursuant to Section 2.11 of the
Indenture and (ii) each Securityholder or party to this Agreement.

                                   ARTICLE TEN

                                   TERMINATION

     SECTION 10.01. SALE OF TRUST ASSETS.

     (a)  [Reserved].

     (b)  As described in Article Nine of the Trust Agreement, notice of any
termination of the Trust shall be given by the Servicer to the Owner Trustee and
the Indenture Trustee as soon as practicable after the Servicer has received
notice thereof.

     (c)  Following the satisfaction and discharge of the Indenture and the
payment in full of the principal of and interest on the Notes, the
Certificateholder will succeed to the rights of the Noteholders hereunder and
the Owner Trustee will succeed to the rights of, and assume the obligations of,
the Indenture Trustee pursuant to this Agreement.

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                                 ARTICLE ELEVEN

                                  MISCELLANEOUS

     SECTION 11.01. AMENDMENT.

     (a)  This Agreement may be amended by the Trust Depositor, the Servicer,
the Indenture Trustee and the Owner Trustee on behalf of the Issuer,
collectively, without the consent of any Securityholders, (i) to cure any
ambiguity, to correct or supplement any provisions in this Agreement which are
inconsistent with the provisions herein or in the Prospectus, or to add any
other provisions with respect to matters or questions arising under this
Agreement that shall not be inconsistent with the provisions of this Agreement
or the Prospectus, (ii) to add or provide any credit enhancement for any Class
of Notes and (iii) to change any provision applicable for determining the
Specified Reserve Fund Balance or the manner in which the Reserve Fund is
funded; PROVIDED, HOWEVER that any such action shall not, as evidenced by an
Opinion of Counsel, adversely affect in any material respect the interests of
any Securityholder and provided, further, that in connection with any amendment
pursuant to clause (iii) above, the Servicer shall deliver to the Owner Trustee
and the Indenture Trustee a letter from Standard & Poor's (so long as Standard &
Poor's is a Rating Agency) and Moody's (so long as Moody's is a Rating Agency)
to the effect that such amendment will not cause its then-current rating on any
Class of Notes to be qualified, reduced or withdrawn.

     (b)  This Agreement may also be amended from time to time by the Trust
Depositor, the Servicer, the Indenture Trustee and the Owner Trustee on behalf
of the Issuer, with the consent of the Required Holders, for the purpose of
adding any provisions to or changing in any manner or eliminating any of the
provisions of this Agreement or of modifying in any manner the rights of the
Noteholders or the Certificateholder; PROVIDED, HOWEVER, that no such amendment
shall increase or reduce in any manner the amount of, or accelerate or delay the
timing of (i)(a) collections of payments on the Contracts or distributions that
shall be required to be made on any Note or any Interest Rate, (b) except as
otherwise provided in Section 10.01(a), the Specified Reserve Fund Balance or
the manner in which the Reserve Fund is funded or (ii) reduce the aforesaid
percentage of the Outstanding Amount of the Notes, the Holders of which are
required to consent to any such amendment, without the consent of the Holders of
all Notes of the relevant Class then outstanding and the Certificate.

     (c)  Prior to the execution of any such amendment or consent, the Indenture
Trustee shall furnish written notification of the substance of such amendment or
consent, together with a copy thereof, to each Rating Agency.

     (d)  Promptly after the execution of any such amendment or consent, the
Owner Trustee and the Indenture Trustee, as the case may be, shall furnish
written notification of the substance of such amendment or consent to each
Noteholder. It shall not be necessary for the consent of Noteholders pursuant to
Section 11.01(b) to approve the particular form of any proposed amendment or
consent, but it shall be sufficient if such consent shall approve the

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substance thereof. The manner of obtaining such consents and of evidencing the
authorization by Noteholders of the execution thereof shall be subject to such
reasonable requirements as the Owner Trustee or the Indenture Trustee may
prescribe.

     (e)  Prior to the execution of any amendment to this Agreement, the Owner
Trustee and the Indenture Trustee shall be entitled to receive and rely upon an
Opinion of Counsel stating that the execution of such amendment is authorized or
permitted by this Agreement. The Owner Trustee and the Indenture Trustee may,
but shall not be obligated to, enter into any such amendment which affects the
Owner Trustee's or the Indenture Trustee's own rights, duties or immunities
under this Agreement or otherwise.

     (f)  Notwithstanding anything to the contrary in this Section 11.01, the
Trust Depositor or the Servicer, acting on behalf of the Trust Depositor, may
request each Rating Agency to approve a formula for determining the Specified
Reserve Fund Balance that is different from the formula or result determined
from the current definition thereof contained herein so as to result in a
decrease in the amount of the Specified Reserve Fund Balance or the manner by
which such Reserve Fund is funded. If each Rating Agency delivers to the
Indenture Trustee and Owner Trustee a written notice or letter stating that such
action will not result in a reduction or withdrawal of the rating of any
outstanding Class with respect to which a Rating Agency has previously issued a
rating as a result or such action, then the Specified Reserve Fund Balance will
be theretofore determined in accordance with such changed formula or manner of
funding, and an amendment to this Agreement effecting such change may be
executed without the consent of any Securityholder.

     SECTION 11.02. PROTECTION OF TITLE TO TRUST.

     (a)  The Servicer shall file such financing statements and cause to be
filed such continuation statements, all in such manner and in such places as may
be required by law fully to preserve, maintain and protect the interest of the
Issuer, the Securityholders and the Indenture Trustee in the Contracts and in
the proceeds thereof. The Servicer shall deliver (or cause to be delivered) to
the Owner Trustee and the Indenture Trustee file-stamped copies of, or filing
receipts for, any document filed as provided above, as soon as available
following such filing. The Trust Depositor authorizes the Trust to file
financing statements describing the Trust Corpus as collateral.

     (b)  Neither the Seller, the Trust Depositor nor the Servicer shall change
its name, identity or corporate structure in any manner that would, could or
might make any financing statement or continuation statement filed in accordance
with Section 4.02 seriously misleading within the meaning of Section 9-507 of
the UCC, unless it shall have given the Issuer, the Owner Trustee and the
Indenture Trustee at least 30 days' prior written notice thereof and shall have
promptly filed appropriate amendments to all previously filed financing
statements or continuation statements.

                                       62
<Page>

     (c)  The Seller and the Trust Depositor shall give the Issuer, the Owner
Trustee and the Indenture Trustee at least 30 days' prior written notice of any
change in its state of incorporation. The Servicer shall at all times maintain
each office from which it shall service Contracts, and its principal executive
office, within the United States.

     (d)  The Servicer shall maintain or cause to be maintained accounts and
records as to each Contract accurately and in sufficient detail to permit (i)
the reader thereof to know at any time the status of such Contract, including
payments and recoveries made and payments owing (and the nature of each) and
(ii) reconciliation between payments or recoveries on (or with respect to) each
Contract and the amounts from time to time deposited in or credited to the
Collection Account in respect of each Contract.

     (e)  The Servicer shall maintain or cause to be maintained its computer
systems so that, from and after the time of transfer under this Agreement of the
Contracts, the Servicer's master computer records (including any backup
archives) that shall refer to a Contract indicate clearly the interest of the
Issuer and the Indenture Trustee in such Contract and that such Contract is
owned by the Issuer and has been pledged to the Indenture Trustee. Indication of
the Issuer's ownership of and the Indenture Trustee's interest in a Contract
shall be deleted from or modified on the Servicer's computer systems when, and
only when, the related Contract shall have been paid in full or reacquired or
shall have become a Liquidated Contract.

     (f)  If at any time the Trust Depositor or the Servicer shall propose to
sell, grant a security interest in, or otherwise transfer any interest in
motorcycle conditional sales contracts or promissory note and security
agreements to any prospective purchaser, lender or other transferee, the
Servicer shall give or cause to be given to such prospective purchaser, lender
or other transferee computer tapes, records or print-outs (including any
restored from back-up archives) that, if they shall refer in any manner
whatsoever to any Contract, shall indicate clearly that such Contract has been
transferred and is owned by the Issuer and has been pledged to the Indenture
Trustee.

     (g)  The Servicer shall permit the Owner Trustee and its agents, at any
time during normal business hours, to inspect, audit and make copies of and
abstracts from the Servicer's records regarding any Contract.

     (h)  Upon request, the Servicer shall furnish to the Owner Trustee and the
Indenture Trustee, within five Business Days, a list of all Contracts then held
as part of the Trust Estate, together with a reconciliation of such list to the
List of Contracts and to each of the Monthly Reports furnished before such
request indicating removal of Contracts from the Trust.

     (i)  The Servicer shall deliver to the Owner Trustee, the Indenture Trustee
and each Rating Agency promptly after the execution and delivery of this
Agreement and of each amendment hereto, an Opinion of Counsel either (A) stating
that, in the opinion of such counsel, all financing statements and continuation
statements have been executed and filed that are necessary fully to preserve and
protect the interest of the Owner Trustee and the Indenture

                                       63
<Page>

Trustee and reciting the details of each filings or referring to prior Opinions
of Counsel in which such details are given, or (B) stating that, in the opinion
of such counsel, no such action shall be necessary to preserve and protect such
interest.

     SECTION 11.03. GOVERNING LAW. This Agreement shall be construed in
accordance with the laws of the State of Illinois and the obligations, rights,
and remedies of the parties under the Agreement shall be determined in
accordance with such laws, except that the duties of the Owner Trustee shall be
governed by the laws of the State of Delaware.

     SECTION 11.04. NOTICES. All notices, demands, certificates, requests and
communications hereunder ("notices") shall be in writing and shall be effective
(a) upon receipt when sent through the U.S. mails, registered or certified mail,
return receipt requested, postage prepaid, with such receipt to be effective the
date of delivery indicated on the return receipt, or (b) one Business Day after
delivery to an overnight courier, or (c) on the date personally delivered to an
Authorized Officer of the party to which sent, or (d) on the date transmitted by
legible telecopier transmission with a confirmation of receipt, in all cases
addressed to the recipient as follows:

                  (i)    If to the Servicer or Seller:

                         Harley-Davidson Credit Corp.
                         150 South Wacker Drive, Suite 3100
                         Chicago, Illinois 60606
                         Attention: Perry A. Glassgow

                         Telecopier No.: (312) 368-4372

                  (ii)   If to the Trust Depositor:

                         Harley-Davidson Customer Funding Corp.
                         4150 Technology Way
                         Carson City, Nevada 89706
                         Attention:  Perry A. Glassgow

                         Telecopier No.: (702) 884-4469

                  (iii)  If to the Indenture Trustee:

                         BNY Midwest Trust Company
                         2 North LaSalle Street
                         Suite 1020
                         Chicago, Illinois 60602
                         Attention:  Corporate Trust Administration

                         Telecopier No.: (312) 827-8562

                                       64
<Page>

                  (iv)   If to the Owner Trustee:

                         Wilmington Trust Company
                         Rodney Square North
                         1100 North Market Street
                         Wilmington, Delaware 19890-0001
                         Attention: Corporate Trust Administration

                         Telecopier No.: (302) 651-8882


                  (v)    If to Moody's:

                         Moody's Investors Service, Inc.
                         99 Church Street
                         New York, New York 10007
                         Attention: ABS Monitoring Department

                         Telecopier No.: (212) 553-1350

                  (vi)   If to Standard & Poor's:

                         Standard & Poor's Ratings Services, a
                           division of The McGraw Hill Companies
                         55 Water Street
                         New York, New York 10004

                         Telecopier No.: (212) 438-2657

                  (vii)  If to the Underwriters:

                         Salomon Smith Barney Inc.
                         390 Greenwich Street
                         6th Floor
                         New York, New York 10013
                         Attention:  Asset Backed Finance Division

                         Telecopier No.:  (212) 723-8591

                         Banc One Capital Markets, Inc.
                         1 Bank One Plaza
                         Chicago, Illinois  60670
                         Attention:  Asset-Backed Finance Division

                         Telecopier No.: (312) 732-4487

                                       65
<Page>

                         Wachovia Securities, Inc.
                         One First Union Center, TW-6
                         301 South College Street
                         Charlotte, North Carolina  28288
                         Attention:  Asset-Securitization Division

                         Telecopier No.: (704) 374-3254

Each party hereto may, by notice given in accordance herewith to each of the
other parties hereto, designate any further or different address to which
subsequent notices shall be sent.

     SECTION 11.05. SEVERABILITY OF PROVISIONS. If one or more of the covenants,
agreements, provisions or terms of this Agreement shall be for any reason
whatsoever held invalid, then such covenants, agreements, provisions or terms
shall be deemed severable from the remaining covenants, agreements, provisions
or terms of this Agreement and shall in no way affect the validity or
enforceability of the other provisions of this Agreement or of the Notes or the
Certificate or the rights of the Holders thereof.

     SECTION 11.06. ASSIGNMENT. Notwithstanding anything to the contrary
contained herein, as provided in Sections 6.03 and 8.03, this Agreement may not
be assigned by the Trust Depositor or the Servicer without the prior written
consent of Holders of Notes aggregating not less than 66-2/3% of each Class.

     SECTION 11.07. THIRD PARTY BENEFICIARIES. Except as otherwise specifically
provided herein, the parties hereto hereby manifest their intent that no third
party shall be deemed a third party beneficiary of this Agreement, and
specifically that the Obligors are not third party beneficiaries of this
Agreement.

     SECTION 11.08. COUNTERPARTS. This Agreement may be executed in several
counterparts, each of which shall be an original and all of which shall together
constitute but one and the same instrument.

     SECTION 11.09. HEADINGS. The headings of the various Articles and Sections
herein are for convenience of reference only and shall not define or limit any
of the terms or provisions hereof.

     SECTION 11.10. NO BANKRUPTCY PETITION; DISCLAIMER AND SUBORDINATION. (a)
Each of the Seller, the Indenture Trustee, the Servicer, the Owner Trustee and
each Holder (by acceptance of the applicable Securities) covenants and agrees
that, prior to the date that is one year and one day after the payment in full
of all amounts owing in respect of all outstanding Securities, it will not
institute against the Trust Depositor, or the Trust, or join any other Person in
instituting against the Trust Depositor or the Trust, any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings or other
similar proceedings under the laws

                                       66
<Page>

of the United States or any state of the United States. This Section 11.10 will
survive the termination of this Agreement.

     (b)  The Trust acknowledges and agrees that the Certificate represents a
beneficial interest in the Trust and Trust Corpus only and the Securities do not
represent an interest in any assets (other than the Trust Corpus) of the Trust
Depositor (including by virtue of any deficiency claim in respect of obligations
not paid or otherwise satisfied from the Trust Assets and proceeds thereof). In
furtherance of and not in derogation of the foregoing, to the extent that the
Trust Depositor enters into other securitization transactions, the Trust
acknowledges and agrees that it shall have no right, title or interest in or to
any assets (or interests therein) other than the Trust Assets conveyed or
purported to be conveyed (whether by way of a sale, capital contribution or by
the granting of a Lien) by the Trust Depositor to any Person other than the
Trust (the "OTHER ASSETS").

     To the extent that notwithstanding the agreements contained in this
Section, the Trust or any Securityholder, either (i) asserts an interest in or
claim to, or benefit from any Other Assets, whether asserted against or through
the Trust Depositor or any other Person owned by the Trust Depositor, or (ii) is
deemed to have any interest, claim or benefit in or from any Other Assets,
whether by operation of law, legal process, pursuant to applicable provisions of
Insolvency Laws or otherwise (including without limitation pursuant to Section
1111(b) of the federal Bankruptcy Code, as amended) and whether deemed asserted
against or through the Trust Depositor or any other Person owned by the Trust
Depositor, then the Trust and each Securityholder by accepting a Note or
Certificate further acknowledges and agrees that any such interest, claim or
benefit in or from the Other Assets is and shall be expressly subordinated to
the indefeasible payment in full of all obligations and liabilities of the Trust
Depositor which, under the terms of the documents relating to the securitization
of the Other Assets, are entitled to be paid from, entitled to the benefits of,
or otherwise secured by such Other Assets (whether or not any such entitlement
or security interest is legally perfected or otherwise entitled to a priority of
distribution under applicable law, including Insolvency Laws, and whether
asserted against the Trust Depositor or any other Person owned by the Trust
Depositor) including, without limitation, the payment of post-petition interest
on such other obligations and liabilities. This subordination agreement shall be
deemed a subordination agreement within the meaning of Section 510(a) of the
Bankruptcy Code. Each Securityholder is deemed to have acknowledged and agreed
that no adequate remedy at law exists for a breach of this Section 11.10 and
that the terms and provisions of this Section 11.10 may be enforced by an action
for specific performance.

     (c)  The provisions of this Section 11.10 shall be for the third party
benefit of those entitled to rely thereon and shall survive the termination of
this Agreement.

     SECTION 11.11. LIMITATION OF LIABILITY OF OWNER TRUSTEE AND INDENTURE
TRUSTEE.

     (a)  Notwithstanding anything contained herein to the contrary, this
Agreement has been executed by Wilmington Trust Company, not in its individual
capacity but solely in its capacity as Owner Trustee of the Issuer, and in no
event shall Wilmington Trust Company in its

                                       67
<Page>

individual capacity or any beneficial owner of the Issuer have any liability for
the representations, warranties, covenants, agreements or other obligations of
the Issuer hereunder, as to all of which recourse shall be had solely to the
assets of the Issuer. For all purposes of this Agreement, in the performance of
any duties or obligations of the Issuer hereunder, the Owner Trustee shall be
subject to, and entitled to the benefits of, the terms and provisions of
Articles Six, Seven and Eight of the Trust Agreement.

     (b)  Notwithstanding anything contained herein to the contrary, this
Agreement has been executed by BNY Midwest Trust Company, not in its individual
capacity but solely as Indenture Trustee, and in no event shall BNY Midwest
Trust Company have any liability for the representations, warranties, covenants,
agreements or other obligations of the Issuer hereunder or in any of the
certificates, notices or agreements delivered pursuant hereto, as to all of
which recourse shall be had solely to the assets of the Issuer.

                            [signature page follows]

                                       68
<Page>

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
duly executed by their respective officers as of the day and year first above
written.

                             HARLEY-DAVIDSON MOTORCYCLE TRUST 2003-1

                                  By:  Wilmington  Trust Company,
                                       not in its individual
                                       capacity but solely as Owner
                                       Trustee on behalf of the
                                       Trust

                                  By:  /s/  Patricia A. Evans
                                      ------------------------------------------
                                       Printed Name: Patricia A. Evans
                                       Title: Assistant Vice President


                             HARLEY-DAVIDSON CUSTOMER FUNDING CORP.,
                             as Trust Depositor

                                  By:  /s/  Perry A. Glassgow
                                      ------------------------------------------
                                       Printed Name: Perry A. Glassgow
                                       Title: Treasurer


                             HARLEY-DAVIDSON CREDIT CORP., as Servicer

                                  By:  /s/  Perry A. Glassgow
                                      ------------------------------------------
                                       Printed Name: Perry A. Glassgow
                                       Title: Treasurer


                             BNY MIDWEST TRUST COMPANY, not in its
                             individual capacity but solely as Indenture Trustee

                                  By:  /s/  Cynthia Davis
                                      ------------------------------------------
                                       Printed Name: Cynthia Davis
                                       Title: Assistant Vice President


                 Signature Page to Sale and Servicing Agreement

<Page>

                                    EXHIBIT A

                              [Form of Assignment]

     In accordance with the Sale and Servicing Agreement (the "SALE AND
SERVICING AGREEMENT") dated as of February 1, 2003 made by and between the
undersigned, as Trust Depositor ("TRUST DEPOSITOR"), Harley-Davidson Credit
Corp., as Servicer, BNY Midwest Trust Company, as Indenture Trustee and
Harley-Davidson Motorcycle Trust 2003-1 (the "TRUST"), as assignee thereunder,
the undersigned does hereby sell, transfer, convey and assign, set over and
otherwise convey to the Trust (i) all the right, title and interest of the Trust
Depositor in and to the Initial Contracts listed on the initial List of
Contracts delivered on the Closing Date (including, without limitation, all
security interests and all rights to receive payments which are collected
pursuant thereto on or after the Initial Cutoff Date, including any liquidation
proceeds therefrom, but excluding any rights to receive payments which were
collected pursuant thereto prior to the Initial Cutoff Date), (ii) all rights of
the Trust Depositor under any physical damage or other individual insurance
policy (and rights under a "FORCED PLACED" policy, if any) or any debt
cancellation agreement relating to any such Contract, an Obligor or a Motorcycle
securing such Contract, (iii) all security interests in each such Motorcycle,
(iv) all documents contained in the related Contract Files, (v) all rights (but
not the obligations) of the Trust Depositor under any related motorcycle dealer
agreements between dealers (i.e., the originators of such Contracts) and the
Trust Depositor, (vi) all rights of the Trust Depositor in the Lockbox, the
Lockbox Account and related Lockbox Agreement to the extent they relate to such
Contracts, (vii) all rights (but not the obligations) of the Trust Depositor
under the Transfer and Sale Agreement, including but not limited to the Trust
Depositor's rights under Article V thereof, (viii) the remittances, deposits and
payments made into the Trust Accounts from time to time and amounts in the Trust
Accounts (other than the Reserve Fund) from time to time (and any investments of
such amounts), (ix) all rights of the Trust Depositor to certain rebates of
premiums and other amounts relating to insurance policies, debt cancellation
agreements, extended service contracts or other repair agreements and other
items financed under such Contracts, and (x) all proceeds and products of the
foregoing.

     This Assignment is made pursuant to and in reliance upon the representation
and warranties on the part of the undersigned contained in Article III of the
Agreement and no others.

     Capitalized terms used herein but not otherwise defined shall have the
meanings assigned to such terms in the Agreement.

     IN WITNESS WHEREOF, the undersigned has caused this Assignment to be duly
executed this _____ day of February, 2003.

                             HARLEY-DAVIDSON CUSTOMER FUNDING CORP.

                             By:
                             ---------------------------------------------------
                             Printed Name: Perry A. Glassgow

                                       A-1
<Page>

                             Title:     Treasurer

                                       A-2
<Page>

                                    EXHIBIT B

                [Form of Closing Certificate of Trust Depositor]

                     HARLEY-DAVIDSON CUSTOMER FUNDING CORP.

                             PRESIDENT'S CERTIFICATE

     The undersigned certifies that she is President of Harley-Davidson Customer
Funding Corp., a Nevada corporation (the "TRUST DEPOSITOR"), and that as such is
duly authorized to execute and deliver this certificate on behalf of the Trust
Depositor in connection with the Sale and Servicing Agreement (the "AGREEMENT")
dated as of February 1, 2003 (the "EFFECTIVE DATE") by and among the Trust
Depositor, BNY Midwest Trust Company (the "INDENTURE TRUSTEE"), as Indenture
Trustee, Harley-Davidson Credit Corp. ("HARLEY-DAVIDSON CREDIT"), as Servicer,
and Harley-Davidson Motorcycle Trust 2003-1 ("ISSUER") (all capitalized terms
used herein without definition have the respective meanings set forth in the
Agreement), and further certifies as follows:

          (1)     Attached hereto as EXHIBIT I is a true and correct copy of the
     Articles of Incorporation of the Trust Depositor, together with all
     amendments thereto as in effect on the date hereof.

          (2)     There has been no other amendment or other document filed
     affecting the Articles of Incorporation of the Trust Depositor since
     May 12, 2000, and no such amendment has been authorized by the Board of
     Directors or shareholders of the Trust Depositor.

          (3)     Attached hereto as EXHIBIT II is a Certificate of the
     Secretary of State of the State of Nevada dated January 21, 2003 stating
     that the Trust Depositor is duly incorporated under the laws of the State
     of Nevada and is in good standing.

          (4)     Attached hereto as EXHIBIT III is a true and correct copy of
     the By-laws of the Trust Depositor, which are in full force and effect on
     the date hereof.

          (5)     Attached hereto as EXHIBIT IV is a true and correct copy of
     resolutions adopted pursuant to the unanimous written consent of the Board
     of Directors of the Trust Depositor relating to the execution, delivery and
     performance of the Agreement; the Transfer and Sale Agreement dated as of
     the Effective Date between the Trust Depositor and Harley-Davidson Credit;
     the Trust Agreement dated as of the Effective Date between the Trust
     Depositor and the Wilmington Trust Company (the "Owner Trustee"), as Owner
     Trustee; the Administrative Agreement dated as of the Effective Date
     between the Trust Depositor, the Issuer, the Indenture Trustee,
     Harley-Davidson Credit, as Administrator; the Underwriting Agreement dated
     January 28, 2003 among the Trust

                                       B-1
<Page>

     Depositor, Harley-Davidson Credit and the Underwriters (collectively, the
     "PROGRAM AGREEMENTS"). Said resolutions have not been amended, modified,
     annulled or revoked, and are on the date hereof in full force and effect
     and are the only resolutions relating to these matters which have been
     adopted by the Board of Directors.

          (6)     No event with respect to the Trust Depositor has occurred and
     is continuing which would constitute an Event of Termination or an event
     that, with notice or the passage of time or both, would become an Event of
     Termination under the Agreement. To the best of my knowledge after
     reasonable investigation, there has been no material adverse change in the
     condition, financial or otherwise, or the earnings, business affairs or
     business prospects of the Trust Depositor, whether or not arising in the
     ordinary course of business since the respective dates as of which
     information is given in the Prospectus and except as set forth therein.

          (7)     All federal, state and local taxes of the Trust Depositor due
     and owing as of the date hereof have been paid.

          (8)     All representations and warranties of the Trust Depositor
     contained in the Program Agreements or any other related documents, or in
     any document, certificate or financial or other statement delivered in
     connection therewith are true and correct as of the date hereof.

          (9)     There is no action, investigation or proceeding pending or, to
     our knowledge, threatened against the Trust Depositor before any court,
     administrative agency or other tribunal (a) asserting the invalidity of the
     Program Agreements; (b) seeking to prevent the consummation of any of the
     transactions contemplated by the Program Agreements; or (c) which is likely
     materially and adversely to affect the Trust Depositor's performance of its
     obligations under, or the validity or enforceability of, the Program
     Agreements.

          (10)    No consent, approval, authorization or order of, and no notice
     to or filing with, any governmental agency or body or state or federal
     court is required to be obtained by the Trust Depositor for the Trust
     Depositor's consummation of the transactions contemplated by the Program
     Agreements, except such as have been obtained or made and such as may be
     required under the blue sky laws of any jurisdiction in connection with the
     issuance and sale of the Certificate.

          (11)    The Trust Depositor is not a party to any agreements or
     instruments evidencing or governing indebtedness for money borrowed or by
     which the Trust Depositor or its property is bound (other than the Program
     Agreements). Neither Harley-Davidson Credit's transfer and assignment of
     the Contract Assets to the Trust Depositor, the Trust Depositor's
     concurrent transfer and assignment of the Trust Corpus to the Trust, nor
     the concurrent pledge of the Collateral by the Trust to the Indenture
     Trustee nor the issuance and sale of the Certificate and the Notes, nor the
     execution and delivery of the

                                       B-2
<Page>

     Program Agreements, nor the consummation of any other of the transactions
     contemplated therein, will violate or conflict with any agreement or
     instrument to which the Trust Depositor is a party or by which it is
     otherwise bound.

          (12)    In connection with the transfer of Contracts and related
     collateral contemplated in the Agreement, (a) the Trust Depositor has not
     made such transfer with actual intent to hinder, delay or defraud any
     creditor of the Trust Depositor, and (b) the Trust Depositor has not
     received less than a reasonably equivalent value in exchange for such
     transfer, is not on the date thereof insolvent (nor will become insolvent
     as a result thereof), is not engaged (or about to engage) in a business or
     transaction for which it has unreasonably small capital, and does not
     intend to incur or believe it will incur debts beyond its ability to pay
     when matured.

          (13)    Each of the agreements and conditions of the Trust Depositor
     to be performed on or before the Closing Date pursuant to the Program
     Agreements have been performed in all material respects.

                                     * * * *

                                       B-3
<Page>

     IN WITNESS WHEREOF, I have affixed my signature hereto this ___ day of
February, 2003.

                                           By:
                                              ----------------------------------
                                           Printed Name: Donna F. Zarcone
                                           Title:        President

<Page>

                                    EXHIBIT C

                [Form of Closing Certificate of Servicer/Seller]

                          HARLEY-DAVIDSON CREDIT CORP.

                             PRESIDENT'S CERTIFICATE

     The undersigned certifies that she is President of Harley-Davidson Credit
Corp. ("HARLEY-DAVIDSON CREDIT"), and that as such is duly authorized to execute
and deliver this certificate on behalf of Harley-Davidson Credit, as Servicer,
in connection with the Sale and Servicing Agreement (the "SALE AND SERVICING
AGREEMENT") dated as of February 1, 2003 (the "EFFECTIVE DATE") by and among
Harley-Davidson Credit, as Servicer, Harley-Davidson Customer Funding Corp.
("CFC"), BNY Midwest Trust Company, as Indenture Trustee and Harley-Davidson
Motorcycle Trust 2003-1 ("ISSUER"), in connection with the Transfer and Sale
Agreement dated as of the Effective Date (the "TRANSFER AND SALE AGREEMENT") by
and between Harley-Davidson Credit and CFC (all capitalized terms used herein
without definition having the respective meanings set forth in the Sale and
Servicing Agreement), and further certifies as follows:

          (1)     Attached hereto as EXHIBIT I is a true and correct copy of the
     Articles of Incorporation of Harley-Davidson Credit, together with all
     amendments thereto as in effect on the date hereof.

          (2)     There has been no other amendment or other document filed
     affecting the Articles of Incorporation of Harley-Davidson Credit since
     August 9, 1999, and no such amendment has been authorized by the Board of
     Directors or shareholders of Harley-Davidson Credit.

          (3)     Attached hereto as EXHIBIT II is a Certificate of the
     Secretary of State of the State of Nevada dated January 21, 2003 stating
     that Harley-Davidson Credit is duly incorporated under the laws of the
     State of Nevada and is in good standing.

          (4)     Attached hereto as EXHIBIT III is a true and correct copy of
     the By-laws of Harley-Davidson Credit which were in full force and effect
     as of August 1999 and at all times subsequent thereto.

          (5)     Attached hereto as EXHIBIT IV is a true and correct copy of
     resolutions adopted pursuant to a unanimous written consent of the Board of
     Directors of Harley-Davidson Credit and relating to the authorization,
     execution, delivery and performance of the Transfer and Sale Agreement; the
     Sale and Servicing Agreement; the Underwriting Agreement dated January 28,
     2003 among Harley-Davidson Credit, CFC and the Underwriters (the
     "UNDERWRITING AGREEMENT"); and the Administration Agreement dated
     February 1, 2003 among Harley-Davidson Credit, CFC, the Issuer and
     BNY Midwest

                                       C-1
<Page>

     Trust Company, as Indenture Trustee (the "INDENTURE TRUSTEE") (the
     "ADMINISTRATION AGREEMENT"). Said resolutions have not been amended,
     modified, annulled or revoked, and are on the date hereof in full force and
     effect and are the only resolutions relating to these matters which have
     been adopted by the Board of Directors.

          (6)     No event with respect to Harley-Davidson Credit has occurred
     and is continuing which would constitute an Event of Termination or an
     event that, with notice or the passage of time, would constitute an Event
     of Termination under the Sale and Servicing Agreement. To the best of my
     knowledge after reasonable investigation, there has been no material
     adverse change in the condition, financial or otherwise, or the earnings,
     business affairs or business prospects of Harley-Davidson Credit, whether
     or not arising in the ordinary course of business, since the respective
     dates as of which information is given in the Prospectus and except as set
     forth therein.

          (7)     All federal, state and local taxes of Harley-Davidson Credit
     due and owing as of the date hereof have been paid.

          (8)     All representations and warranties of Harley-Davidson Credit
     contained in the Transfer and Sale Agreement, the Sale and Servicing
     Agreement, the Underwriting Agreement and the Administration Agreement
     (collectively, the "PROGRAM AGREEMENTS") or in any document, certificate or
     financial or other statement delivered in connection therewith are true and
     correct as of the date hereof.

          (9)     There is no action, investigation or proceeding pending or, to
     my knowledge, threatened against Harley-Davidson Credit before any court,
     administrative agency or other tribunal (a) asserting the invalidity of any
     Program Agreement to which Harley-Davidson Credit is a party; or (b) which
     is likely materially and adversely to affect Harley-Davidson Credit's
     performance of its obligations under, or the validity or enforceability of,
     the Program Agreements.

          (10)    No consent, approval, authorization or order of, and no notice
     to or filing with, any governmental agency or body or state or federal
     court is required to be obtained by Harley-Davidson Credit for
     Harley-Davidson Credit's consummation of the transactions contemplated by
     the Program Agreements, except such as have been obtained or made and such
     as may be required under the blue sky laws of any jurisdiction in
     connection with the issuance and sale of the Notes or the Certificate.

          (11)    SCHEDULE A hereto contains a complete list of all material
     agreements (other than the Transfer and Sale Agreement) or instruments
     evidencing or governing indebtedness for money borrowed to which
     Harley-Davidson Credit is a party or by which Harley-Davidson Credit or its
     property is bound. Neither Harley-Davidson Credit's transfer and assignment
     of the Contract Assets to CFC, CFC's concurrent transfer and assignment of
     the Trust Corpus to the Trust, nor the concurrent pledge by the Trust of
     the Collateral to the Indenture Trustee, nor the issuance and sale of the
     Notes or

                                       C-2
<Page>

     the Certificate or the entering into of the Program Agreements, nor the
     consummation of any other of the transactions contemplated therein, will
     violate or conflict with any agreement or instrument to which
     Harley-Davidson Credit is a party or by which it is otherwise bound.

          (12)    In connection with the transfers of Contracts and related
     assets contemplated in the Transfer and Sale Agreement, (a) Harley-Davidson
     Credit has not made such transfer with actual intent to hinder, delay or
     defraud any creditor of Harley-Davidson Credit, and (b) Harley-Davidson
     Credit has not received less than a reasonably equivalent value in exchange
     for such transfer, is not on the date hereof insolvent (nor will
     Harley-Davidson Credit become insolvent as a result thereof), is not
     engaged (or about to engage) in a business or transaction for which it has
     unreasonably small capital, and does not intend to incur or believe it will
     incur debts beyond its ability to pay when matured.

          (13)    The sole shareholder of Harley-Davidson Credit is
     Harley-Davidson Financial Services, Inc., a Delaware corporation, which has
     its chief executive office and only office in Chicago, Illinois, and has no
     other offices in any other state.

          (14)    Each of the agreements and conditions of Harley-Davidson
     Credit to be performed or satisfied on or before the Closing Date under the
     Program Agreements has been performed or satisfied in all material
     respects.

          (15)    Each Contract being transferred pursuant to the Transfer and
     Sale Agreement is evidenced by a written agreement providing for a
     repayment obligation as well as a security interest in the related
     Motorcycle securing such obligation, and conforms as to these matters in
     all material respects with the form of written Contract provided as EXHIBIT
     A hereto (with such minor variations as to specific terms as may be
     required or deemed desirable in respect of the laws or requirements of
     particular states).

          (16)    Harley-Davidson Credit has not executed for filing any UCC
     financing statements listing the Contract Assets as collateral other than
     financing statements relating to the transactions contemplated in the
     Transfer and Sale Agreement and in the agreements listed on SCHEDULE A
     hereto.

                                   * * * * * *

                                       C-3
<Page>

          IN WITNESS WHEREOF, I have affixed my signature hereto this ___ day of
February, 2003.

                                         By:
                                            ------------------------------------
                                         Printed Name: Donna F. Zarcone
                                         Title:        President

<Page>

                                    EXHIBIT D


                 [Form of Opinion of Counsel for Trust Depositor
                       Regarding General Corporate Matters
                         (Including Perfection Opinion)]

                                       D-1
<Page>

                                    EXHIBIT E


                      [Form of Opinion of Counsel for Trust
                   Depositor Regarding the "TRUE SALE" Nature
                               of the Transaction]

                                       E-1
<Page>

                                    EXHIBIT F

                      [Form of Opinion of Counsel for Trust
                     Depositor Regarding Non-consolidation]

                                       F-1
<Page>

                                    EXHIBIT G

              [Form of Certificate Regarding Reacquired Contracts]

                          Harley-Davidson Credit Corp.

                   Certificate Regarding Reacquired Contracts

     The undersigned certifies that he is the Treasurer of Harley-Davidson
Credit Corp., a Nevada corporation (the "SERVICER"), and that as such is duly
authorized to execute and deliver this certificate on behalf of the Servicer
pursuant to Section 7.08 of the Sale and Servicing Agreement (the "AGREEMENT")
dated as of February 1, 2003 by and among Harley-Davidson Customer Funding
Corp., as Trust Depositor, the Servicer, BNY Midwest Trust Company, as Indenture
Trustee, and Harley-Davidson Motorcycle Trust 2003-1 (all capitalized terms used
herein without definition having the respective meanings specified in the
Agreement), and further certifies that:

     1.   The Contracts on the attached schedule are to be reacquired by the
          Seller on the date hereof pursuant to Section 7.08 of the Agreement
          and Section 5.01 of the Transfer and Sale Agreement.

     2.   Upon deposit of the Reacquisition Price for such Contracts, such
          Contracts may, pursuant to Section 7.08 of the Agreement, be assigned
          by the Trustee to the Seller.

     IN WITNESS WHEREOF, I have affixed hereunto my signature this ______ day of
_____________.

                                         Harley-Davidson Credit Corp.


                                         By:
                                           -------------------------------------
                                              Printed Name: Perry A. Glassgow
                                              Title: Treasurer

                                       G-1
<Page>

                                    EXHIBIT H

                               [List of Contracts]

                                       H-1
<Page>

                                    EXHIBIT I

        [Form of Monthly Report to Noteholders and the Certificateholder]

                     Harley-Davidson Motorcycle Trust 2003-1
    $_______ ___% Harley-Davidson Motorcycle Contract Backed Notes, Class A-1
    $_______ ___% Harley-Davidson Motorcycle Contract Backed Notes, Class A-2
     $_______ ___% Harley-Davidson Motorcycle Contract Backed Notes, Class B

                                 Monthly Report
                       For the [       ] Distribution Date

<Table>
<S>                                                                               <C>
A.   Calculation of Available Monies

     1.   Available Principal (as defined in Article I of the Sale and Servicing
          Agreement)                                                              $____________

     2.   Available Interest (as defined in Article I of the Sale and Servicing
          Agreement)                                                              $____________

     3.   Available Monies (l. plus 2.)                                           $____________

B.   Calculation of Principal Distributable Amount (as defined in Article I of
     the Sale and Servicing Agreement)                                            $____________

C.   Calculation of Available Interest (as defined in Article I of the Sale and
     Servicing Agreement).                                                        $____________

D.   Calculation of Note Monthly Principal Distributable Amount                   $____________

     1A.  Class A Note Percentage for such Distribution Date

               (a)    for each Distribution Date to but excluding the
               Distribution Date on which the principal amount of the Class A-1
               Notes is reduced to zero                                                    95.0%

               (b)    on the Distribution Date on which the principal amount of
               the Class A-1 Notes is reduced to zero, 95.0% until the principal
               amount of the Class A-2 Notes has been reduced to zero                      95.0%
</Table>

                                       I-1
<Page>

<Table>
<S>                                                                               <C>
               (c)    on the Distribution Date on which the principal amount of
               the Class A-2 Notes is reduced to zero, ____%                              _____%

               (d)    after the principal amount of the Class A-2 Notes have
               been reduced to zero                                                        0.00%

     1B.  Class B Note Percentage for such Distribution Date

               (a)    for each Distribution Date to but excluding the
               Distribution Date on which the principal amount of the Class A-2
               Notes is reduced to zero                                                     5.0%

               (b)    on the Distribution Date on which the principal amount of
               the Class A-2 Notes is reduced to zero, ___%                               _____%

               (c)    after the principal amount of the Class A-2 Notes have
               been reduced to zero                                                      100.00%

     2.   Principal Distributable Amount (from B)                                 $____________
</Table>

                                       I-2
<Page>

<Table>
     <S>                                                                          <C>
     3.   Note Monthly Principal Distributable Amount for

          (a)     Class A-1 Notes (D.1(a) multiplied by D.2 until Principal
          Balance of Class A-1 Notes Principal Balance is zero)                   $____________

          (b)     Class A-2 Notes (D.1(b) multiplied by D.2 until Class
          A-2 Notes Principal Balance is zero)                                    $____________

          (c)     Class B Notes (D.1(c) multiplied by D.2 until Class B
          Notes Principal Balance is zero)                                        $____________

          (d)     Note Principal Carryover Shortfall                              $____________

          (e)     Mandatory Redemption Amounts (from Pre-Funding Account as
          defined in Article I of the Sale and Servicing Agreement)               $____________

          (f)     Class A Note Monthly Principal Distributable Amount (the sum
          of items 3(a), 3(b), 3(d) and 3(e))                                     $____________

          (g)     Class B Note Monthly Principal Distributable Amount
          (the sum of items 3(c), 3(d) and 3(e))                                  $____________
</Table>

                                       I-3
<Page>

<Table>
<S>                                                                               <C>
E.   Calculation of Note Monthly Interest Distributable Amount.

     1.   Class A-l Interest Rate                                                         _____%

     2.   Class A-2 Interest Rate                                                         _____%

     3.   Class B Interest Rate                                                           _____%

     4.   One-twelfth of the Class A-1 Interest Rate times the Class A-1 Note
          Balance from and including the fifteenth day of the month based on a
          360-day year of 12 months of 30 days each (or from and including the
          Closing Date with respect to the first Distribution Date) to but
          excluding the fifteenth day of the month of the current Distribution
          Date                                                                    $____________

     5.   One-twelfth of the Class A-2 Note Interest Rate times the Class A-2
          Note Balance from and including the fifteenth day of the month based
          on a 360-day year of 12 months of 30 days each (or from and including
          the Closing Date with respect to the first Distribution Date) to but
          excluding the fifteenth day of the month of the current Distribution
          Date                                                                    $____________

     6.   One-twelfth of the Class B Note Interest Rate times the Class B Note
          Balance from and including the fifteenth day of the month based on a
          360-day year of 12 months of 30 days each (or from and including the
          Closing Date with respect to the first Distribution Date) to but
          excluding the fifteenth day of the month of the current Distribution
          Date                                                                    $____________

     7.   Interest Carryover Shortfall for such Distribution Date                 $____________

     8.   Note Monthly Interest Distributable Amount (the sum of items 3, 4 and
          5)                                                                      $____________

F.   Calculation of Note Distributable Amount (sum of D.3(e) plus E.6.)           $____________
</Table>

                                       I-4
<Page>

<Table>
<S>                                                                               <C>
G.   Fees

     1.   The Monthly Servicing Fee for such Distribution Date (1/12 of the
          product of 1% and the Principal Balance of the Contracts as of the
          beginning of the related Due Period)                                    $____________

     2.   Indenture Trustee Fee for such Distribution Date excluding expense
          component (1/12 of the product of .002% and the sum of (i) the
          Principal Balance of the Contracts as of the beginning of the related
          Due Period and (ii) the Pre-Funded Amount as of the beginning of such
          Period; provided, however, in no event shall such fee be less than
          $200.00 per month)                                                      $____________

H.   CALCULATION OF THE AVAILABLE MONIES FOR SUCH DISTRIBUTION DATE

     1.   The amount of funds deposited into the Collection Account pursuant to
          Section 5.05(b) of the Sale and Servicing Agreement with respect to
          the related Due Period                                                  $____________

               a.     All amounts received by the Indenture Trustee or the
               Servicer with respect to principal and interest on the Contracts,
               as well as Late Payment Penalty Fees and Extensions Fees for the
               related Due Period                                                 $____________

               b.     All Net Liquidation Proceeds                                $____________

               c.     The aggregate of the Reacquisition Prices for Contracts
               required to be reacquired by the Seller as described in Section
               7.08 of the Sale and Servicing Agreement                           $____________

               d.     All Advances made by Servicer pursuant to Section 7.03(a)
               of the Sale and Servicing Agreement                                $____________
</Table>

                                       I-5
<Page>

<Table>
     <S>                                                                          <C>

               e.     All amounts paid by the Seller in connection with an
               optional reacquisition of the Contracts described in Section 7.10
               of the Sale and Servicing Agreement                                $____________

               f.     All amounts obtained from the Indenture Trustee in respect
               of Carrying Charges to be deposited into the Collection Account
               for the upcoming Distribution Date as contemplated in Section
               7.03(b) of the Sale and Servicing Agreement                        $____________

               g.     All amounts received in respect of interest, dividends,
               gains, income and earnings on investments of funds in the Trust
               Accounts as contemplated in Section 5.05(b)(viii) of the Sale and
               Servicing Agreement                                                $____________

               h.     Total amount of funds deposited into the Collection
               Account pursuant to Section 5.05(b) (the sum of a. through g.)     $____________


     2.   The amount of funds permitted to be withdrawn from the Collection
          Account pursuant to clauses (ii) through (iv) of Section 7.05(a) of
          the Sale and Servicing Agreement with respect to the related Due
          Period                                                                  $____________

               a.     Amounts to be paid to the Servicer as the Reimbursement
               Amount in accordance with Section 7.03(a) of the Sale and
               Servicing Agreement                                                $____________

               b.     Amounts to be paid to the Servicer in respect to the
               Servicing Fee for the related Due Period                           $____________

               c.     Amounts to be paid to the Indenture Trustee in respect of
               the Indenture Trustee's Fee for the related Due Period             $____________

</Table>

                                       I-6
<Page>
<Table>
<S>                                                                               <C>
               d.     Other amounts required or authorized to be withdrawn from
               the Collection Account pursuant to the Sale and Servicing
               Agreement. Specify __________                                      $____________

               e.     Total amount of funds permitted to be withdrawn from the
               Collection Account pursuant to clauses (ii) through (iv) Section
               7.05(a) of the Sale and Servicing Agreement with respect to the
               related Due Period (sum of a. through d.)                          $____________

     3.   The Available Monies (not including amounts from Reserve Fund Account)
          for such Distribution Date available to pay Note Distributable Amounts
          and Certificate Distributable Amounts (1(h) minus 2(e))                 $____________

     4.   The Available Monies otherwise distributable to the Certificateholders
          that will be distributed to the Noteholders on such Distribution Date   $____________

I.   The shortfall of Available Monies for such Distribution Date to pay either
     the Note Distributable Amount (the Available Monies for such Distribution
     Date minus the sum of the Note Distributable Amount as set forth in F.)      $____________

J.   The amount to be withdrawn from the Reserve Fund on such Distribution Date
     to cover the Note Interest Distributable Amount                              $____________

K.   The amount to be withdrawn from the Reserve Fund on such Distribution Date
     to cover the Note Principal Distributable Amount                             $____________

L.   Interest Earnings on the Reserve Fund.                                       $____________

M.   The amount on deposit in the Reserve Fund after giving effect to deposits
     and withdrawals therefrom on such Distribution Date                          $____________
</Table>

                                       I-7
<Page>

<Table>
<S>                                                                               <C>
N.   The Specified Reserve Fund Amount for such Distribution Date will be an
     amount equal to the greater of (a) 2.00% of the Principal Balance of the
     Contracts in the Trust as of the last day of the immediately preceding Due
     Period; provided, however, in the event a Reserve Fund Trigger Event occurs
     with respect to a Distribution Date and has not terminated for three (3)
     consecutive Distribution Dates (inclusive) such amount shall be equal to
     6.00% of the Principal Balance of the Contracts in the Trust as of the last
     day of the immediately preceding Due Period) and (b) 1.00% of the aggregate
     of the Initial Class A-1 Note Balance, Initial Class A-2 Note Balance and
     Initial Class B Note Balance; provided, however, in no event shall the
     Specified Reserve Fund Balance be greater than the aggregate outstanding
     principal balance of the Securities.                                         $____________

O.   The Pool Factor

     1.   The Class A-1 Note Pool Factor immediately before such Distribution
          Date                                                                    _____________

     2.   The Class A-2 Note Pool Factor immediately after such Distribution
          Date                                                                    _____________

     3.   The Class B Note Pool Factor immediately after such Distribution Date   _____________

     4.   The Class A-1 Note Pool Factor immediately before such Distribution
          Date                                                                    _____________

     5.   The Class A-2 Note Pool Factor immediately after such Distribution
          Date                                                                    _____________

     6.   The Class B Note Pool Factor immediately after such Distribution Date   _____________

<Caption>
<S>                                                                    <C>        <C>
P.   Delinquent Contracts

     1.   31-59 Days                                                   #______    $____________

     2.   60-89 Days                                                   #______    $____________
</Table>

                                       I-8
<Page>

<Table>
<S>                                                                    <C>        <C>
     3.   90 or More Days                                              #______    $____________

Q.   Liquidated Contracts

     1.   Total Liquidated Contracts                                   #______    $____________

     2.   Liquidation proceeds for the Due Period                                 $____________

     3.   Liquidation expenses for the Due Period                                 $____________

     4.   Net Liquidation Proceeds for the Due Period                             $____________

     5.   Net Liquidation Losses for the Due Period                               $____________

R.   Advances

     1.   Unreimbursed Advances prior to such Distribution Date                   $____________

     2.   Amount paid to Servicer on such Distribution Date to reimburse
          Servicer for such unreimbursed Advances                                 $____________

     3.   Amount of Delinquent Interest for such Distribution Date                $____________

     4.   Amount of new Advances on such Distribution Date (if such amount is
          less than the amount of Delinquent Interest, attach the certificate
          required by Section 7.03 of the Sale and Servicing Agreement)           $____________

     5.   Total of unreimbursed Advances after new Advances on such Distribution
          Date                                                                    $____________

S.   Reacquired Contracts

     1.   Number of Contracts to be reacquired by the Seller pursuant to Section
          7.08 of the Sale and Servicing Agreement                                $____________

     2.   Principal Amount of such Contracts                                      $____________

     3.   Related Reacquisition Price of such Contracts                           $____________
</Table>

                                       I-9
<Page>

<Table>
<S>                                                                               <C>
T.   Contracts

     1.   Number of Contracts as of beginning of Due Period                       $____________

     2.   Principal Balance of Contracts as of beginning of Due Period            $____________

     3.   The weighted average Contract Rate of the Contracts as of the
          beginning of the Due Period                                             $____________

     4.   Number of Contracts as of end of Due Period                             $____________

     5.   Principal Balance of Contracts as of end of Due Period                  $____________

     6.   The weighted average Contract Rate of the Contracts as of the end of
          the Due Period                                                          $____________

     7.   The weighted average remaining term to maturity of the Contracts as of
          the end of the Due Period                                               $____________

     8.   Pre-Funded Amount as of beginning of Due Period                         $____________

     9.   Pre-Funded Amount as of end of Due Period                               $____________

U.   Interest Reserve Account

     1.   Interest Reserve Amount as of previous Distribution Date                $____________

     2.   Interest received into Interest Reserve Account                         $____________

     3.   Carrying Charges (if any) to be paid on upcoming Distribution Date      $____________

     4.   Excess Funds remitted to Trust Depositor                                $____________

     5.   Interest Reserve Amount as of upcoming Distribution Date                $____________

V.   Ratios
</Table>

                                      I-10
<Page>

<Table>
     <S>                                                                          <C>
     1.   Cumulative Loss Ratio

          a.      The aggregate Net Liquidation Losses for all Contracts since
                  the Cutoff Date through the end of the related Due Period       $____________
          b.      The sum of the Principal Balance of the Contracts as of the
                  Cutoff Date plus the Principal Balance of any Subsequent
                  Contracts as of the related Subsequent Cutoff Date              $____________

          c.      The Cumulative Loss Ratio for such Distribution Date (the
                  quotient of a. divided by b., expressed as a percentage)        $____________

     2.   Average Delinquency Ratio for such Distribution Date

          (a)     The Delinquency Amount (the Principal Balance of all Contracts
                  that were delinquent 60 days or more as of the end of the Due
                  Period)                                                         $____________

          (b)     The Delinquency Ratio (the fraction (expressed as a
                  percentage) computed by dividing (a) the Delinquency Amount
                  during the immediately preceding Due Period by (b) the
                  Principal Balance of the Contracts as of the beginning of the
                  related Due Period) for such Distribution Date                          _____%

          (c)     The Delinquency Ratio for the prior Distribution Date                   _____%

          (d)     The Delinquency Ratio for the second prior Distribution Date            _____%

          (e)     The Average Delinquency Ratio (the arithmetic average of a.
                  through c.)                                                             _____%

     3.   Average Loss Ratio for such Distribution Date
</Table>

                                      I-11
<Page>

<Table>
     <S>                                                                          <C>
          (a)     Net Liquidation Losses                                          $____________

          (b)     The Loss Ratio for (the fraction (expressed as a percentage)
                  derived by dividing (x) Net Liquidation Losses for all
                  Contracts that became Liquidated Contracts during the
                  immediately preceding Due Period multiplied by twelve by (y)
                  the outstanding Principal Balances of all Contracts as of the
                  beginning of the Due Period) such Distribution Date                     _____%

          (c)     The Loss Ratio for the prior Distribution Date                          _____%

          (d)     The Loss Ratio for the second prior Distribution Date                   _____%

          (e)     The Average Loss Ratio (the arithmetic average of a.
                  through c.)                                                             _____%

     4.   Computation of Specified Reserve Fund Balance

          Reserve Fund Trigger Events
</Table>

                                      I-12
<Page>

<Table>
          <S>                                                                             <C>
          (1)     Average Delinquency Ratio (if (a) (i) Average Delinquency
                  Ratio 2.50% with respect to any Distribution Date which occurs
                  within the period from the Closing Date to, and inclusive of,
                  the first anniversary of the Closing Date, (ii) 3.00% with
                  respect to any Distribution Date which occurs within the
                  period from the day after the first anniversary of the Closing
                  Date to, and inclusive of, the second anniversary of the
                  Closing Date or (iii) 3.50% for any Distribution Date which
                  occurs within the period from the day after the second
                  anniversary of the Closing Date to, and inclusive of, the
                  third anniversary of the Closing Date or (iv) 4.00% for any
                  Distribution Date following the third anniversary of the
                  Closing Date, then a Reserve Fund Trigger Event has occurred)           _____%

          (2)     Average Loss Ratio (if Average Loss Ratio is equal to or
                  greater than (i) 3.00% with respect to any Distribution Date
                  which occurs within the period from the Closing Date to, and
                  inclusive of, the second anniversary of the Closing Date or
                  (ii) 2.75% with respect to any Distribution Date which occurs
                  following the second anniversary of the Closing Date, then a
                  Reserve Fund Trigger Event has occurred)                                _____%
</Table>

                                      I-13
<Page>

<Table>
          <S>                                                                             <C>
          (3)     Cumulative Loss Ratio (if Cumulative Loss Ratio is equal to or
                  greater than (i) 1.25% with respect to any Distribution Date
                  which occurs within the period from the Closing Date to, and
                  inclusive of, the first anniversary of the Closing Date, (ii)
                  2.00% with respect to any Distribution Date which occurs
                  within the period from the day after the first anniversary of
                  the Closing Date to, and inclusive of, the second anniversary
                  of the Closing Date, (iii) 2.50% for any Distribution Date
                  while occurs within the period from the day after the second
                  anniversary of the Closing Date to, and inclusive of the third
                  anniversary of the Closing Date, or (iv) 2.75% following the
                  third anniversary of the Closing Date, then a Reserve Fund
                  Trigger Event has occurred)                                             _____%
</Table>

                                      I-14
<Page>

                                    EXHIBIT J

                    [Seller's Representations and Warranties]

     (1)  REPRESENTATIONS AND WARRANTIES REGARDING SELLER. Seller represents and
warrants, as of the execution and delivery of this Agreement and as of the
Closing Date, in the case of the Initial Contracts, and as of the applicable
Subsequent Transfer Date, in the case of Subsequent Contracts, that:

          (a)     ORGANIZATION AND GOOD STANDING. Seller is a corporation duly
     organized, validly existing and in good standing under the laws of the
     jurisdiction of its organization and has the corporate power to own its
     assets and to transact the business in which it is currently engaged.
     Seller is duly qualified to do business as a foreign corporation and is in
     good standing in each jurisdiction in which the character of the business
     transacted by it or properties owned or leased by it requires such
     qualification and in which the failure so to qualify would have a material
     adverse effect on the business, properties, assets, or condition (financial
     or otherwise) of Seller or Trust Depositor. Seller is properly licensed in
     each jurisdiction to the extent required by the laws of such jurisdiction
     to service the Contracts in accordance with the terms of the Sale and
     Servicing Agreement.

          (b)     AUTHORIZATION; BINDING OBLIGATION. Seller has the power and
     authority to make, execute, deliver and perform this Agreement and the
     other Transaction Documents to which the Seller is a party and all of the
     transactions contemplated under this Agreement and the other Transaction
     Documents to which the Seller is a party, and has taken all necessary
     corporate action to authorize the execution, delivery and performance of
     this Agreement and the other Transaction Documents to which the Seller is a
     party. This Agreement and the other Transaction Documents to which the
     Seller is a party constitute the legal, valid and binding obligation of
     Seller enforceable in accordance with their terms, except as enforcement of
     such terms may be limited by bankruptcy, insolvency or similar laws
     affecting the enforcement of creditors' rights generally and by the
     availability of equitable remedies.

          (c)     NO CONSENT REQUIRED. Seller is not required to obtain the
     consent of any other party or any consent, license, approval or
     authorization from, or registration or declaration with, any governmental
     authority, bureau or agency in connection with the execution, delivery,
     performance, validity or enforceability of this Agreement and the other
     Transaction Documents to which the Seller is a party.

          (d)     NO VIOLATIONS. Seller's execution, delivery and performance of
     this Agreement and the other Transaction Documents to which the Seller is a
     party will not violate any provision of any existing law or regulation or
     any order or decree of any court or the Articles of Incorporation or Bylaws
     of Seller, or constitute a material breach of any mortgage, indenture,
     contract or other agreement to which Seller is a party or by which Seller
     or any of Seller's properties may be bound.

                                       J-1
<Page>

          (e)     LITIGATION. No litigation or administrative proceeding of or
     before any court, tribunal or governmental body is currently pending, or to
     the knowledge of Seller threatened, against Seller or any of its properties
     or with respect to this Agreement or any other Transaction Document to
     which the Seller is a party which, if adversely determined, would in the
     opinion of Seller have a material adverse effect on the business,
     properties, assets or condition (financial or other) of Seller or the
     transactions contemplated by this Agreement or any other Transaction
     Document to which the Seller is a party.

          (f)     STATE OF INCORPORATION; NAME; NO CHANGES. Seller's state of
     incorporation is the State of Nevada. Seller's exact legal name is as set
     forth in the first paragraph of this Agreement. Seller has not changed its
     name whether by amendment of its Articles of Incorporation, by
     reorganization or otherwise, and has not changed its state of incorporation
     within the four months preceding the Closing Date.

          (g)     BUELL. Approximately 5.0% of the aggregate principal balance
     of contracts financed from time to time by the Seller are secured by
     motorcycles manufactured by Buell.

          (h)     SOLVENCY. The Seller, after giving effect to the conveyances
     made by it hereunder, is Solvent.

     (2)  REPRESENTATIONS AND WARRANTIES REGARDING EACH CONTRACT. Seller
represents and warrants as to each Contract as of the execution and delivery of
this Agreement and as of the Closing Date, in the case of the Initial Contracts,
and as of the applicable Subsequent Transfer Date, in the case of Subsequent
Contracts, that:

          (a)     LIST OF CONTRACTS. The information set forth in the List of
     Contracts (or Subsequent List of Contracts, in the case of Subsequent
     Contracts) is true, complete and correct in all material respects as of the
     Initial Cutoff Date or applicable Subsequent Cutoff Date, as the case may
     be.

          (b)     PAYMENTS. As of the Initial Cutoff Date or applicable
     Subsequent Cutoff Date, as the case may be, the most recent scheduled
     payment with respect to any Contract either had been made or was not
     delinquent for more than 30 days. To the best of Seller's knowledge, all
     payments made on each Contract were made by the respective Obligor.

          (c)     NO WAIVERS. As of the Closing Date (or the applicable
     Subsequent Transfer Date, in the case of Subsequent Contracts), the terms
     of the Contracts have not been waived, altered or modified in any respect,
     except by instruments or documents included in the related Contract File.

          (d)     BINDING OBLIGATION. Each Contract is a legal, valid and
     binding payment obligation of the Obligor thereunder and is enforceable in
     accordance with its terms,

                                       J-2
<Page>

     except as such enforceability may be limited by insolvency, bankruptcy,
     moratorium, reorganization, or other similar laws affecting the enforcement
     of creditors' rights generally.

          (e)     NO DEFENSES. No Contract is subject to any right of
     rescission, setoff, counterclaim or defense, including the defense of
     usury, and the operation of any of the terms of such Contract or the
     exercise of any right thereunder will not render the Contract unenforceable
     in whole or in part or subject to any right of rescission, setoff,
     counterclaim or defense, including the defense of usury, and no such right
     of rescission, setoff, counterclaim or defense has been asserted with
     respect thereto.

          (f)     INSURANCE. As of the origination date of each Contract (or the
     applicable Subsequent Transfer Date in the case of Subsequent Contracts),
     the related Motorcycle securing each Contract is covered by physical damage
     insurance (i) in an amount not less than the value of the Motorcycle at the
     time of origination of the Contract, (ii) naming Seller as a loss payee and
     (iii) insuring against loss and damage due to fire, theft, transportation,
     collision and other risks covered by comprehensive coverage, and all
     premiums due on such insurance have been paid in full from the date of the
     Contract's origination.

          (g)     ORIGINATION. Either (i) Contracts were originated by a
     Harley-Davidson motorcycle dealer in the regular course of its business
     which dealer had all necessary licenses and permits to originate the
     Contracts in the state where such dealer was located, was fully and
     properly executed by the parties thereto, and has been purchased by Seller
     in the regular course of its business, or (ii) Contracts were originated by
     Eaglemark Savings Bank in the regular course of its business which had all
     necessary licenses and permits to originate the Contracts in the state
     where it was located, was fully and properly executed by the parties
     thereto, and has been purchased by Seller in the regular course of its
     business. Each Contract was sold by such motorcycle dealer or Eaglemark
     Savings Bank, as the case may be, to the Seller without any fraud or
     misrepresentation on the part of such motorcycle dealer or Eaglemark
     Savings Bank.

          (h)     LAWFUL ASSIGNMENT. No Contract was originated in or is subject
     to the laws of any jurisdiction whose laws would make the transfer and
     assignment of the Contract under this Agreement or under the Sale and
     Servicing Agreement or the pledge of the Contract under the Indenture
     unlawful, void or voidable.

          (i)     COMPLIANCE WITH LAW. None of the Contracts, the origination of
     the Contracts by the dealers or Eaglemark Savings Bank, the purchase of the
     Contracts by the Seller, the sale of the Contracts by the Seller to the
     Trust Depositor or the transfer of the Contracts by the Trust Depositor to
     the Trust, or any combination of the foregoing, violated as of the Closing
     Date or as of any Subsequent Transfer Date, as applicable, any requirement
     of any federal, state or local law and regulations thereunder, including,
     without limitation, usury, truth in lending, motor vehicle installment loan
     and equal credit

                                       J-3
<Page>

     opportunity laws, applicable to the Contracts and the sale of Motorcycles.
     Seller shall, for at least the period of this Agreement, maintain in its
     possession, available for the Trust Depositor's, and the Trustee's
     inspection, and shall deliver to Trust Depositor or the Trustee upon
     demand, evidence of compliance with all such requirements.

          (j)     CONTRACT IN FORCE. As of the Closing Date (or the applicable
     Subsequent Transfer Date in the case of Subsequent Contracts), no Contract
     has been satisfied or subordinated in whole or in part or rescinded, and
     the related Motorcycle securing any Contract has not been released from the
     lien of the Contract in whole or in part.

          (k)     VALID SECURITY INTEREST. Each Contract creates a valid,
     subsisting and enforceable first priority perfected security interest in
     favor of Seller or Eaglemark Savings Bank (as the case may be) in the
     Motorcycle covered thereby, and such security interest has been assigned by
     Eaglemark Savings Bank to Seller (where applicable) and by Seller to the
     Trust Depositor. The original certificate of title, certificate of lien or
     other notification or evidence (the "LIEN CERTIFICATE") issued by the body
     responsible for the registration of, and the issuance of certificates of
     title or evidence relating to, motor vehicles and liens thereon (the
     "REGISTRAR OF TITLES") of the applicable state shows the Seller or
     Eaglemark Savings Bank (as the case may be) as original secured party under
     each Contract as the holder of a first priority security interest in such
     Motorcycle. With respect to each Contract for which a written Lien
     Certificate is provided and has not yet been returned from the Registrar of
     Titles, the Seller has received written evidence that such Lien Certificate
     showing the Seller or Eaglemark Savings Bank as lienholder has been applied
     for. Eaglemark Savings Bank's security interest has been validly assigned
     by Eaglemark Savings Bank to Seller. The Seller's security interest has
     been validly assigned by the Seller to the Trust Depositor and by the Trust
     Depositor to the Issuer pursuant to this Agreement. Immediately after the
     transfer, each Contract will be secured by an enforceable and perfected
     first priority security interest in the Motorcycle in favor of the Trust as
     secured party, which security interest is prior to all other liens upon and
     security interests in such Motorcycle which now exist or may hereafter
     arise or be created (except, as to priority, for any lien for taxes, labor,
     materials or of any state law enforcement agency affecting a Motorcycle).

          (1)     CAPACITY OF PARTIES. All parties to any Contract had capacity
     to execute such Contract and all other documents related thereto and to
     grant the security interest purported to be granted thereby.

          (m)     GOOD TITLE. Each Contract was purchased by Seller for value
     and taken into possession prior to the Cutoff Date (or the applicable
     Subsequent Cutoff Date in the case of Subsequent Contracts) in the ordinary
     course of its business, without knowledge that the Contract was subject to
     a security interest. No Contract has been sold, assigned or pledged to any
     person other than Trust Depositor and the Trustee as the transferee of
     Trust Depositor, and prior to the transfer of the Contract to Trust
     Depositor, Seller had good and marketable title to each Contract free and
     clear of any encumbrance, equity,

                                       J-4
<Page>

     loan, pledge, charge, claim or security interest and was the sole owner
     thereof and had full right to transfer the Contract to Trust Depositor and
     to permit Trust Depositor to transfer the same to the Issuer, and, as of
     the Closing Date (or the applicable Subsequent Transfer Date in the case of
     Subsequent Contracts), the Issuer will have a first priority perfected
     security interest therein.

          (n)     NO DEFAULTS. As of the Initial Cutoff Date (or the applicable
     Subsequent Cutoff Date in the case of Subsequent Contracts), no default,
     breach, violation or event permitting acceleration existed with respect to
     any Contract and no event had occurred which, with notice and the
     expiration of any grace or cure period, would constitute such a default,
     breach, violation or event permitting acceleration under such Contract.
     Seller has not waived any such default, breach, violation or event
     permitting acceleration, and Seller has not granted any extension of
     payment terms on any Contract. As of the Initial Cutoff Date (or the
     applicable Subsequent Cutoff Date in the case of Subsequent Contracts), no
     Motorcycle had been repossessed.

          (o)     NO LIENS. As of the Closing Date (or the applicable Subsequent
     Transfer Date in the case of Subsequent Contracts) there are, to the best
     of Seller's knowledge, no liens or claims which have been filed for work,
     labor or materials affecting the Motorcycle securing any Contract which are
     or may be liens prior to, or equal with, the lien of such Contract.

          (p)     INSTALLMENTS. Each Contract has a fixed Contract Rate and
     provides for monthly payments of principal and interest which, if timely
     made, would fully amortize the loan on a simple-interest basis over its
     term.

          (q)     ENFORCEABILITY. Each Contract contains customary and
     enforceable provisions such as to render the rights and remedies of the
     holder thereof adequate for the realization against the collateral of the
     benefits of the security.

          (r)     ONE ORIGINAL. Each Contract is evidenced by only one original
     executed Contract, which original is being held by the Servicer as
     custodian.

          (s)     NO GOVERNMENT CONTRACTS. No Obligor is the United States
     government or an agency, authority, instrumentality or other political
     subdivision of the United States government.

          (t)     LOCKBOX BANK. The Lockbox Bank is the only institution holding
     any Lockbox Account for receipt of payments from Obligors, and all
     Obligors, and only such Obligors, have been instructed to make payments to
     the Lockbox Account, and no person claiming through or under Seller has any
     claim or interest in the Lockbox Account other than the Lockbox Bank;
     provided, however, that other "Trusts" (as defined in the Lockbox
     Agreement) shall have an interest in certain other collections therein not
     related to the Contracts.

                                       J-5
<Page>

          (u)     OBLIGOR BANKRUPTCY. At the Cutoff Date (or the applicable
     Subsequent Cutoff Date in the case of Subsequent Contracts), no Obligor was
     subject to a bankruptcy proceeding within the one year preceding such
     Cutoff Date.

          (v)     CHATTEL PAPER. The Contracts constitute tangible chattel paper
     within the meaning of the UCC.

          (w)     NO IMPAIRMENT. Neither the Seller nor the Trust Depositor has
     done anything to convey any right to any Person that would result in such
     Person having a right to payments due under the Contract or otherwise to
     impair the rights of the Trust in any Contract or the proceeds thereof.

          (x)     CONTRACT NOT ASSUMABLE. No Contract is assumable by another
     Person in a manner which would release the Obligor thereof from such
     Obligor's obligations to the Trust Depositor with respect to such Contract.

     (3)  REPRESENTATIONS AND WARRANTIES REGARDING THE CONTRACTS IN THE
AGGREGATE. Seller represents and warrants, as of the execution and delivery of
this Agreement and as of the Closing Date, in the case of the Initial Contracts,
and as of the applicable Subsequent Transfer Date, in the case of Subsequent
Contracts, that:

          (a)     AMOUNTS. The sum of the aggregate Principal Balances payable
     by Obligors under the Contracts as of the Initial Cutoff Date (or the
     applicable Subsequent Cutoff Date in the case of Subsequent Contracts),
     plus the Pre-Funded Amount as of such date, equals the sum of the principal
     balance of the Class A-1 Notes, the Class A-2 Notes and the Class B Notes
     on the Closing Date or the related Subsequent Transfer Date, as applicable.

          (b)     CHARACTERISTICS. The Initial Contracts have the following
     characteristics: (i) all the Contracts are secured by Motorcycles; (ii) no
     Initial Contract has a remaining maturity of more than 84 months; and (iii)
     the final scheduled payment on the Initial Contract with the latest
     maturity is due not later than February 2010. Approximately 76.82% of the
     Principal Balance of the Initial Contracts as of the Initial Cutoff Date is
     attributable to loans for purchases of new Motorcycles and approximately
     23.18% is attributable to loans for purchases of used Motorcycles. No
     Initial Contract was originated after the Initial Cutoff Date. No Initial
     Contract has a Contract Rate less than 4.99%. The first scheduled payment
     date of the Contracts (including any Subsequent Contracts) is due no later
     than August 2003. Approximately 0.02% of the Principal Balance of the
     Initial Contracts as of the Initial Cutoff Date is attributable to loans
     for purchases of Motorcycles not manufactured by Harley-Davidson or Buell.

          (c)     MARKING RECORDS. As of the Closing Date (or the applicable
     Subsequent Transfer Date in the case of Subsequent Contracts), Seller has
     caused the Computer Disk relating to the Contracts sold hereunder and
     concurrently reconveyed by Trust Depositor to the Trust and pledged by the
     Trust to the Indenture Trustee to be clearly and

                                       J-6
<Page>

     unambiguously marked to indicate that such Contracts constitute part of the
     Trust Corpus, are owned by the Trust and constitute security for the Notes.

          (d)     NO ADVERSE SELECTION. No selection procedures adverse to
     Noteholders have been employed in selecting the Contracts.

          (e)     TRUE SALE. The transaction contemplated by this Agreement
     constitutes a valid sale, transfer and assignment from Seller to Trust
     Depositor and from Trust Depositor to the Trust of all of Seller's right,
     title and interest in the Contract Assets as of the Closing Date and any
     Subsequent Transfer Date, as applicable.

          (f)     ALL FILINGS MADE. All filings (including, without limitation,
     UCC filings) required to be made by any Person and actions required to be
     taken or performed by any Person in any jurisdiction to give the Trustee a
     first priority perfected lien on, or ownership interest in, the Contracts
     and the proceeds thereof and the rest of the Trust Corpus have been made,
     taken or performed.

          (g)     DELTA LOANS. No more than 11.00% of the Principal Balance of
     the Contracts as of the end of the Funding Period is attributable to Delta
     Loans.

     (4)  REPRESENTATIONS AND WARRANTIES REGARDING THE CONTRACT FILES. Seller
represents and warrants as of the execution and delivery of this Agreement and
as of the Closing Date, in the case of the Initial Contracts, and as of the
applicable Subsequent Transfer Date, in the case of Subsequent Contracts, that:

          (a)     POSSESSION. Immediately prior to the Closing Date or any
     Subsequent Transfer Date, the Servicer will have possession of each
     original Contract and the related complete Contract File, and there are and
     there will be no custodial agreements relating to the same in effect. Each
     of such documents which is required to be signed by the Obligor has been
     signed by the Obligor in the appropriate spaces. All blanks on any form
     have been properly filled in and each form has otherwise been correctly
     prepared. The complete Contract File for each Contract currently is in the
     possession of the Servicer.

          (b)     BULK TRANSFER LAWS. The transfer, assignment and conveyance of
     the Contracts and the Contract Files by Seller pursuant to the Transfer and
     Sale Agreement or any Subsequent Purchase Agreement and by Trust Depositor
     pursuant to the Sale and Servicing Agreement is not subject to the bulk
     transfer or any similar statutory provisions in effect in any applicable
     jurisdiction.

                                       J-7
<Page>

                                    EXHIBIT K

                       [Lockbox Bank and Lockbox Account]

                                     LOCKBOX

                             Harley-Davidson Credit Corp.
                             135 South LaSalle Street
                             Chicago, Illinois 60674


                                  LOCKBOX BANK

                             LaSalle Bank National Association
                             135 South LaSalle Street
                             Chicago, Illinois 60674

                                       K-1
<Page>

                                    EXHIBIT L

                            [Form of Contract Stamp]

     This Contract/Note is subject to a security interest granted to
Harley-Davidson Motorcycle Trust 2003-1. A UCC1 Financing Statement covering
this Contract/Note has been filed with the Secretary of State of the State of
Nevada. Such lien will be released only in connection with appropriate filings
in such offices. Consequently, potential purchasers of this Contract/Note must
refer to such filings to determine whether such lien has been released.

                                       L-1
<Page>

                                    EXHIBIT M

                     [Form of Subsequent Transfer Agreement]

               [see EXHIBIT C of the Transfer and Sale Agreement]

                                       M-1