Document:

m818_KeyCorp 2006-A-Admin Agr Exhibit 10.2

EXHIBIT 10.2

ADMINISTRATION AGREEMENT (this “Agreement”) dated as of [____], [____], among KEYCORP STUDENT LOAN TRUST [____]-[__], a Delaware statutory trust (the “Issuer”), KEYBANK NATIONAL ASSOCIATION, a national banking association, as administrator (the “Administrator”), and [____] not in its individual capacity but solely as Indenture Trustee (the “Indenture Trustee”).  

W I T N E S S E T H

WHEREAS, the Issuer is issuing [____] classes of Floating Rate Asset Backed Notes in the initial aggregate principal amount of $[____] (the “Notes”) pursuant to the Indenture dated as of [____], [____] (the “Indenture”), among the Issuer, the Indenture Trustee, [____], as the eligible lender trustee (the “Eligible Lender Trustee”) and [____], as paying agent (the “Paying Agent”) and note registrar (the “Note Registrar”). Capitalized terms used herein and not defined herein shall have the meanings assigned to such terms in Appendix A to the Sale and Servicing Agreement (the “Sale and Servicing Agreement”) dated as of [____], [____], among the Issuer, Key Consumer Receivables LLC as depositor, KeyBank National Association as master servicer and seller, the Eligible Lender Trustee, [____], as the depositor eligible lender trustee, and the Administrator, which also contains rules of usage and construction that shall be applicable herein);

WHEREAS, the Issuer has entered into certain agreements in connection with the issuance of the Notes and the Certificate, including the Sale and Servicing Agreement, the Note Depository Agreement (the “Depository Agreement”), the Guarantee Agreements, the Trust Agreement and the Indenture (all such agreements being collectively referred to herein as the “Related Agreements”);

WHEREAS, pursuant to the Related Agreements, the Issuer and the Owner Trustee are required to perform certain duties in connection with (a) the Notes and the Collateral therefor pledged pursuant to the Indenture and (b) the Certificate (the registered holder of the Certificate being referred to herein as the “Owner”);

WHEREAS the Issuer and the Owner Trustee desire to have the Administrator perform certain of the duties of the Issuer and the Owner Trustee referred to in the preceding clause, and to provide such additional services consistent with the terms of this Agreement and the Related Agreements as the Issuer and the Owner Trustee may from time to time request; and

WHEREAS the Administrator has the capacity to provide the services required hereby and is willing to perform such services for the Issuer and the Owner Trustee on the terms set forth herein.

NOW, THEREFORE, in consideration of the mutual covenants contained herein, and other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties agree as follows:

1.  Duties of the Administrator.

(a)  Duties with Respect to the Indenture and Depository Agreement.  The Administrator shall perform all duties of the Issuer on behalf of the Issuer under the Depository Agreement and the Indenture.  The Administrator shall monitor the performance of the Issuer and shall advise the Owner Trustee when action is necessary to comply with the Issuer’s duties under the Indenture and the Depository Agreement.  The Administrator shall prepare for execution by the Issuer or shall cause the preparation by other appropriate Persons of all such documents, amendments, waivers, reports, filings, instruments, certificates and opinions (the “Documents”) as it shall be the duty of the Issuer to prepare, file or deliver pursuant to the Indenture and the Depository Agreement and the Administrator shall execute on behalf of the Issuer any such Documents that require the Issuer’s signature.  

(b)  In furtherance of the foregoing, the Administrator shall take all appropriate action that is the duty of the Issuer or the Administrator to take pursuant to the Indenture, including such of the foregoing as are required with respect to the following matters (references are to sections of the Indenture):

(i)

the duty to cause the Note Registrar to keep the Note Register and to give the Indenture Trustee notice of any appointment of a new Note Registrar and the location, or change in location, of the Note Register (Section 2.04);

(ii)

the fixing or causing to be fixed of any specified record date and the notification of the Indenture Trustee and the holders of the Notes with respect to special payment dates, if any (Section 2.07(c));

(iii)

the preparation of or obtaining of the documents and instruments required for authentication of the Notes and delivery of the same to the Indenture Trustee (Section 2.02);

(iv)

the preparation, obtaining or filing of the instruments, opinions and certificates and other documents required for the release of collateral (Section 2.09);

(v)

the duty to cause the Note Registrar to maintain on behalf of the Issuer an office in the [________], for registration of transfer or exchange of Notes (Section 3.02);

(vi)

the duty to cause newly appointed Paying Agents, if any, to deliver to the Indenture Trustee the instrument specified in the Indenture regarding funds held in trust (Section 3.03);

(vii)

the direction to the Paying Agents to deposit moneys with the Indenture Trustee (Section 3.03);

(viii)

the obtaining and preservation of the Issuer’s qualification to do business in each jurisdiction in which such qualification is or shall be necessary to protect the validity and enforceability of the Indenture, the Notes, the Collateral and each other instrument and agreement included in the Indenture Trust Estate (Section 3.04);

(ix)

the preparation and filing of all supplements, amendments, financing statements, continuation statements, instruments of further assurance and other instruments, in accordance with Section 3.05 of the Indenture, necessary to protect the Indenture Trust Estate (Section 3.05);

(x)

the delivery by the Issuer of the Opinion of Counsel on the Closing Date and the annual delivery of Opinions of Counsel, in accordance with Section 3.06 of the Indenture, as to the Indenture Trust Estate, and the annual delivery of the Officers’ Certificate of the Issuer and certain other statements, in accordance with Section 3.09 of the Indenture, as to compliance with the Indenture (Sections 3.06 and 3.09);

(xi)

the identification to the Indenture Trustee in an Officers’ Certificate of the Issuer of a Person with whom the Issuer has contracted to perform its duties under the Indenture (Section 3.07(b));

(xii)

the notification of the Indenture Trustee and the Rating Agencies of a Master Servicer Default known to the Administrator pursuant to the Sale and Servicing Agreement and, if such Master Servicer Default arises from the failure of the Master Servicer to perform any of its duties under the Sale and Servicing Agreement, the taking of all reasonable steps available to enforce the Issuer’s rights under the Basic Documents in respect of such failure (Section 3.07(d));

(xiii)

the appointment of  a Successor Master Servicer or Administrator pursuant to Section 3.07(e) and to give the Indenture Trustee notice of any appointment of a Successor Master Servicer or Administrator (Sections 3.07(e) and 3.07(f));

(xiv)

the delivery to the Indenture Trustee of an Officer’s Certificate regarding the Annual Statement as to Compliance (Section 3.09);

(xv)

the preparation and obtaining of documents and instruments required for the release of the Issuer from its obligations under the Indenture (Section 3.10);

(xvi)

the delivery of notice to the Indenture Trustee of each Event of Default, any Default under Section 5.01(iii) of the Indenture and each default by the Master Servicer, the Administrator or the Seller under the Sale and Servicing Agreement known to the Administrator (Section 3.18);

(xvii)

the monitoring of the Issuer’s obligations as to the satisfaction and discharge of the Indenture and the preparation of an Officers’ Certificate of the Issuer and the obtaining of the Opinion of Counsel and the Independent Certificate relating thereto (Section 4.01);

(xviii)

[Reserved];

(xix)

[Reserved];

(xx)

the preparation of any written instruments required to confirm more fully the authority of any co-trustee or separate trustee and any written instruments necessary in connection with the resignation or removal of any co-trustee or separate trustee (Sections 6.08 and 6.10);

(xxi)

the preparation and, after execution by the Issuer, the filing with the Commission, any applicable State agencies and the Indenture Trustee of documents required to be filed on a periodic basis with, and summaries thereof as may be required by rules and regulations prescribed by, the Commission and any applicable State agencies and the transmission of such summaries, as necessary, to the holders of the Notes (Section 7.03);

(xxii)

the opening of one or more accounts in the Indenture Trustee’s name, the preparation of Issuer Orders, Officers’ Certificates of the Issuer and Opinions of Counsel, the deposits to and withdrawals from the Trust Accounts relating to collections with respect to the Financed Student Loans and distributions on Monthly Servicing Payment Dates and on Distribution Dates, and all other actions necessary with respect to investment and reinvestment of funds in the Trust Accounts (Sections 8.02 and 8.03);

(xxiii)

the preparation of an Issuer Request and Officers’ Certificate of the Issuer and the obtaining of an Opinion of Counsel and Independent Certificates, if necessary, for the release of the Indenture Trust Estate (Sections 8.04 and 8.05);

(xxiv)

the preparation of Issuer Orders and the obtaining of Opinions of Counsel with respect to the execution of supplemental indentures and the mailing to the holders of the Notes of notices with respect to such supplemental indentures (Sections 9.01, 9.02 and 9.03);

(xxv)

the preparation of or obtaining of the documents and instruments required for the execution and authentication of new Notes conforming to any supplemental indenture and the delivery of the same to the Eligible Lender Trustee and the Indenture Trustee, respectively (Section 9.06);

(xxvi)

the preparation of all Officers’ Certificates of the Issuer, Opinions of Counsel and Independent Certificates with respect to any requests by the Issuer to the Indenture Trustee to take any action under the Indenture (Section 11.01(a));

(xxvii)

 the preparation and delivery of Officers’ Certificates of the Issuer and the obtaining of Independent Certificates, if necessary, for the release of property from the lien of the Indenture (Section 11.01(b));

(xxviii)

the preparation and delivery to the holders of the Notes and the Indenture Trustee of any agreements with respect to alternate payment and notice provisions (Section 11.06);  and

(xxix)

the recording of the Indenture, if applicable (Section 11.15).

(c)  Duties with Respect to Other Agreements.  In addition to the duties of the Administrator set forth above, the Administrator shall perform all duties of the Issuer on behalf of the Issuer under the Sale and Servicing Agreement, the Guarantee Agreements and the Trust Agreements (the “Other Agreements”).  The Administrator shall monitor the performance of the Issuer and shall advise the Owner Trustee when action is necessary to comply with the Issuer’s duties under the Other Agreements.  The Administrator shall prepare for execution by the Issuer or shall cause the preparation by other appropriate Persons of all such documents, amendments, waivers, reports, filings, instruments, certificates and opinions (the “Other Documents”) as it shall be the duty of the Issuer to prepare, file or deliver pursuant to the Other Agreements, and the Administrator shall execute on behalf of the Issuer any such Other Documents that require the Issuer’s signature.

(d)  Duties with Respect to the Issuer.  (i)  In addition to the duties of the Administrator set forth above and in the other Related Agreements, the Administrator shall perform such calculations (and in such capacity is hereby appointed the “Calculation Agent” for the Issuer) and shall prepare for execution by the Issuer or the Owner Trustee or shall cause the preparation by other appropriate Persons of all such documents, reports, filings, instruments, certificates and opinions as it shall be the duty of the Issuer or the Owner Trustee to prepare, file or deliver pursuant to the Related Agreements, and shall take all appropriate action that it is the duty of the Issuer or the Owner Trustee to take pursuant to the Related Agreements.  Subject to Section 5 of this Agreement, and in accordance with the directions of the Owner Trustee, the Administrator shall administer, perform or supervise the performance of such other activities in connection with the Collateral (including the Related Agreements) as are not covered by any of the foregoing provisions and as are expressly requested by the Owner Trustee and are reasonably within the capability of the Administrator.

(ii)

Notwithstanding anything in this Agreement or the Related Agreements to the contrary, the Administrator shall be responsible for promptly notifying the Owner Trustee in the event that any withholding tax is imposed on the Issuer’s payments (or allocations of income) to the Owner Trustee as contemplated in Section 5.01(c) of the Trust Agreement.  Any such notice shall specify the amount of any withholding tax required to be withheld by the Owner Trustee pursuant to such provision.

(iii)

Notwithstanding anything in this Agreement or the Related Agreements to the contrary, the Administrator shall be responsible for performance of the duties of the Owner Trustee set forth in Section 5.04 of the Trust Agreement with respect to, among other things, the preparation of any required tax forms; provided, however, that the Owner Trustee shall retain responsibility for the distribution of all reports and forms necessary to enable the holder of the Certificate to prepare its Federal and state income tax returns.

(iv)

The Administrator shall perform the duties of the Administrator specified in Section 10.02 of the Trust Agreement required to be performed in connection with the resignation or removal of the Owner Trustee, and any other duties expressly required to be performed by the Administrator under the Trust Agreement, the Sale and Servicing Agreement and the other Related Agreements.

(v)

The Administrator shall perform the duties of the Eligible Lender Trustee with respect to Section 10.04 of the Sale and Servicing Agreement in connection with the sale of any Access Loans by the Issuer.

(vi)

The Administrator agrees to provide notice on behalf of the Issuer, the Owner Trustee or the Eligible Lender Trustee to all other parties and the Rating Agencies of the occurrence of any event requiring such notice under each of the Basic Documents.

(vii)

In carrying out the foregoing duties or any of its other obligations under this Agreement, the Administrator may enter into transactions with or otherwise deal with any of its Affiliates; provided, however, that the terms of any such transactions or dealings shall be in accordance with any directions received from the Issuer and shall be, in the Administrator’s opinion, no less favorable to the Issuer than would be available from unaffiliated parties.

(e)  Duties of the Administrator, as Administrator.  The Administrator agrees to perform all duties to be performed by the Administrator as set forth in this Agreement, the Sale and Servicing Agreement and each of the other Basic Documents.

(f)  Non-Ministerial Matters.  With respect to matters that in the reasonable judgment of the Administrator are non-ministerial, the Administrator shall not take any action unless within a reasonable time before the taking of such action, the Administrator shall have notified the Owner Trustee of the proposed action and the Owner Trustee have not withheld consent or provided an alternative direction.  For the purpose of the preceding sentence, “non-ministerial matters” shall include:

(i)

[Reserved];

(ii)

the initiation of any claim or lawsuit by the Issuer and the compromise of any action, claim or lawsuit brought by or against the Issuer (other than in connection with the collection of the Financed Student Loans);

(iii)

the amendment, supplement, change or modification to any of the Basic Documents;

(iv)

the appointment of successor Note Registrars, successor Paying Agents and successor Indenture Trustees pursuant to the Indenture or the appointment of Successor Administrators or Successor Master Servicers, or the consent to the assignment by the Note Registrar, Paying Agent or Indenture Trustee of its obligations under the Indenture; and

(v)

the removal of the Indenture Trustee.

(g)  Exceptions.  Notwithstanding anything to the contrary in this Agreement, except as expressly provided herein or in the other Basic Documents, the Administrator shall not be obligated to, and shall not, (i) make any payments to the holders of the Notes under the Related Agreements, (ii) sell the Indenture Trust Estate pursuant to Section 5.04 of the Indenture, (iii) take any other action that the Issuer directs the Administrator not to take on its behalf, (iv) in connection with its duties hereunder assume any indemnification obligation of any other Person or (v) service the Financed Student Loans.

2.  Records.  The Administrator shall maintain appropriate books of account and records relating to services performed hereunder, which books of account and records shall be accessible for inspection by the Issuer at any time during normal business hours.

3.  Compensation.  As compensation for the performance of the Administrator’s obligations under this Agreement and as reimbursement for its expenses related thereto, the Administrator shall be entitled to $[____] per quarter payable in arrears on each Distribution Date, which shall be solely an obligation of the Issuer, and which fee shall be allocated between the Group I and Group II Notes based on the ratio their respective Outstanding Amounts bear to the Outstanding Amounts of all the Notes, and which amounts shall be paid as provided for under the Sale and Servicing Agreement.  The Administrator hereby agrees, for the benefit of the Issuer, to pay the Eligible Lender Trustee, the Owner Trustee, the Indenture Trustee and the Paying Agent and Note Registrar their respective fees owed pursuant to the Trust Agreement and the Indenture, as applicable, in the amounts set forth in separate agreements between the Administrator and each of the Eligible Lender Trustee, the Owner Trustee, the Paying Agent and Note Registrar and the Indenture Trustee; provided that if an Event of Default shall have occurred and be continuing and the Indenture Trustee is distributing funds pursuant to Article V of the Indenture, the Issuer shall pay the Eligible Lender Trustee, the Indenture Trustee, the Note Registrar and Paying Agent and the Owner Trustee pursuant to Article V of the Indenture and the Administrator shall pay any fees still owed in excess of amounts paid to such parties pursuant to Article V of the Indenture.

4.  Additional Information To Be Furnished to the Issuer.  The Administrator shall furnish to the Issuer from time to time such additional information regarding the Collateral as the Issuer shall reasonably request.

5.  Independence of the Administrator.  For all purposes of this Agreement, the Administrator shall be an independent contractor and shall not be subject to the supervision of the Issuer, the Owner Trustee or the Eligible Lender Trustee with respect to the manner in which it accomplishes the performance of its obligations hereunder.  Unless expressly authorized by the Issuer, the Administrator shall have no authority to act for or represent the Issuer, the Owner Trustee or the Eligible Lender Trustee in any way and shall not otherwise be deemed an agent of the Issuer, the Owner Trustee or the Eligible Lender Trustee.

6.  No Joint Venture.  Nothing contained in this Agreement (i) shall constitute the Administrator and any of the Issuer, the Owner Trustee or the Eligible Lender Trustee as members of any partnership, joint venture, association, syndicate, unincorporated business or other separate entity, (ii) shall be construed to impose any liability as such on any of them or (iii) shall be deemed to confer on any of them any express, implied or apparent authority to incur any obligation or liability on behalf of the others.

7.  Other Activities of Administrator.  Nothing herein shall prevent the Administrator or its Affiliates from engaging in other businesses or, in its sole discretion, from acting in a similar capacity as an administrator for any other person or entity even though such person or entity may engage in business activities similar to those of the Issuer, the Owner Trustee, the Eligible Lender Trustee or the Indenture Trustee.

8.  Term of Agreement; Resignation and Removal of Administrator.  (a)  This Agreement shall continue in force until the dissolution of the Issuer, upon which event this Agreement shall automatically terminate.

(b)  The provisions of Article VI and Article VIII of the Sale and Servicing Agreement relating to the liability and the limitations thereon of the Administrator, the resignation or removal of the Administrator and the failure of the Administrator to perform its duties under this Agreement or under the Sale and Servicing Agreement are hereby incorporated by reference herein.

9.  Action upon Termination, Resignation or Removal.  Promptly upon the effective date of termination of this Agreement pursuant to Section 8(a) or the resignation or removal of the Administrator pursuant to Section 8(b) and the Sale and Servicing Agreement, the Administrator shall be entitled to be paid all fees accruing to it to the date of such termination, resignation or removal.  The Administrator shall forthwith upon such termination pursuant to Section 8(a) deliver to the Issuer all property and documents of or relating to the Collateral then in the custody of the Administrator.  In the event of the resignation or removal of the Administrator, the Administrator shall cooperate with the Issuer and take all reasonable steps requested to assist the Issuer in making an orderly transfer of the duties of the Administrator.

10.  Notices.  Any notice, report or other communication given hereunder shall be in writing and addressed as follows:

(a)  if to the Issuer or the Owner Trustee, to

KeyCorp Student Loan Trust [____]-[__]

c/o [____]

1011 Centre Road Suite 200

Wilmington, Delaware  19805-1266

Attn: Corporate Trust & Agency Group

(b)  if to the Administrator, to

KeyBank National Association

800 Superior Avenue

Cleveland, Ohio 44114

Attention:  Key Education Resources

KeyCorp Student Loan Trust [____]-[__]

(c)  if to the Indenture Trustee, to

[____]

[____]

or to such other address as any party shall have provided to the other parties in writing.  Any notice required to be in writing hereunder shall be deemed given if such notice is mailed by certified mail, postage prepaid, or hand-delivered to the address of such party as provided above.

11.  Amendments.  This Agreement may be amended from time to time 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 holders of any Class of Notes by a written amendment duly executed and delivered by the Issuer, the Administrator and the Indenture Trustee, with the written consent of the Owner Trustee and either (1) without the consent of any Noteholders; provided that a confirmation is received from each Rating Agency that such amendment will not result in the downgrading of the then current ratings of any of the Notes, together with an Opinion of Counsel of the Administrator regarding the lack of changes to any legal rights and remedies of the Noteholders or (2) with the consent of: (a) a majority in interest of the Group I Controlling Noteholders (but only with respect to any amendments affecting the Group I Student Loans or the Group I Notes, as applicable, as evidenced by an Opinion of Counsel of the Administrator regarding the lack of changes to any legal rights and remedies of the Group I Noteholders and a confirmation from each Rating Agency that such amendment will not result in the reduction or withdrawal of the then current ratings of any of the Group I Notes and/or (b) a majority in interest of the Group II Controlling Noteholders (but only with respect to any amendments affecting the Group II Student Loans or the Group II Notes, as applicable, as evidenced by an Opinion of Counsel of the Administrator regarding the lack of changes to any legal rights and remedies of the Group II Noteholders and a confirmation from each Rating Agency that such amendment will not result in the downgrading of the then current ratings of any of the Group II Notes); provided, however, that no such amendment shall (i) increase or reduce in any manner the amount of, or accelerate or delay the timing of, collections of payments with respect to Group I or Group II Student Loans or distributions that shall be required to be made for the benefit of the holders of Group I or Group II Notes or (ii) amend aforesaid percentage of the Outstanding Amount of the related Class or Classes of Notes, which are required to consent to any such amendment, without the consent of all outstanding holders of all Classes of Notes affected by such amendment.  Notwithstanding anything to the contrary contained in the Indenture or the Trust Agreement, such rights of consent granted to the holders of the Notes contained in clauses (i) and (ii) of this proviso shall not be exercisable by the Group I Controlling Parties on behalf of the Group I Noteholders or the Group II Controlling Parties on behalf of the Group II Noteholders.  Notwithstanding the foregoing, the Administrator may not amend this Agreement without the permission of the Depositor, which permission shall not be unreasonably withheld.  Prior to the execution of any such amendment, the Administrator shall furnish written notification of the substance of such amendment to each of the Rating Agencies.

12.  Successors and Assigns.  Notwithstanding anything to the contrary contained herein, except as provided in Sections 6.06 and 6.09 of the Sale and Servicing Agreement, this Agreement may not be assigned by the Administrator.  Subject to the foregoing, this Agreement shall bind any successors or assigns of the parties hereto.

13.  Governing Law.  THIS AGREEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

14.  Headings.  The section headings hereof have been inserted for convenience of reference only and shall not be construed to affect the meaning, construction or effect of this Agreement.

15.  Counterparts.  This Agreement may be executed in counterparts, each of which when so executed shall together constitute but one and the same agreement.

16.  Severability.  Any provision of this Agreement that is prohibited or unenforceable in any jurisdiction shall be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction.

17.  Not Applicable to KeyBank National Association in Other Capacities.  Nothing in this Agreement shall affect any obligation KeyBank National Association may have in any other capacity under the Basic Documents.

18.  Provisions of Sale and Servicing Agreement Control.  The provisions of the Sale and Servicing Agreement relating to the Administrator and to this Agreement shall in all events govern and are hereby incorporated herein and, to the extent any provision herein shall be inconsistent with any such provision of the Sale and Servicing Agreement, the Sale and Servicing Agreement shall govern.

19.  Limitation of Liability of Owner Trustee, Eligible Lender Trustee and Indenture Trustee.  (a)   Notwithstanding anything contained herein to the contrary, this Agreement has been countersigned by [____] not in its individual capacity but solely in its capacity as Owner Trustee of the Issuer and in no event shall [____] in its individual capacity or, except as expressly provided in the Trust Agreement, as Owner Trustee 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.  For all purposes of this Agreement, in the performance of its duties or obligations hereunder or 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 VI, VII and VIII of the Trust Agreement.

(b)  Notwithstanding anything contained herein to the contrary, this Agreement has been countersigned by [____] not in its individual capacity but solely as Indenture Trustee, except as provided in paragraph (c) below, in no event shall [____] 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.

(c)  Notwithstanding any other provision in this Agreement or the other Basic Documents, nothing in this Agreement or the other Basic Documents shall be construed to limit the Eligible Lender Trustee’s or the Indenture Trustee’s legal responsibility to the U.S. Secretary of Education or a Guarantor for any violations of statutory or regulatory requirements that may occur with respect to loans held by the Eligible Lender Trustee or the Indenture Trustee pursuant to, or to otherwise comply with, their obligations under the Higher Education Act or implementing regulations.

20.  Third-Party Beneficiaries.  Each of the Eligible Lender Trustee and the Owner Trustee is a third-party beneficiary to this Agreement and is entitled to the rights and benefits hereunder and may enforce the provisions hereof as if it was a party hereto.

21.  Intent of the Parties; Reasonableness.  The Issuer, the Indenture Trustee and the Administrator acknowledge and agree that the purpose of Sections 21 and 22 of this Agreement is to facilitate compliance by the Issuer with the provisions of Regulation AB and related rules and regulations of the Commission.  

Neither the Issuer nor the Administrator shall exercise its right to request delivery of information or other performance under these provisions other than in good faith, or for purposes other than compliance with the Securities Act, the Exchange Act and the rules and regulations of the Commission thereunder (or the provision in a private offering of disclosure comparable to that required under the Securities Act).  The Administrator acknowledges that interpretations of the requirements of Regulation AB may change over time, whether due to interpretive guidance provided by the Commission or its staff, consensus among participants in the asset-backed securities markets, advice of counsel, or otherwise, and agrees to comply with requests made by the Eligible Lender Trustee, the Indenture Trustee, the Master Servicer, or any other party to the Basic Documents in good faith for delivery of information under these provisions on the basis of evolving interpretations of Regulation AB.  In connection therewith, the Issuer shall cooperate fully with the Administrator (including any of its assignees or designees) in the preparation of, any and all statements, reports, certifications, records and any other information necessary in the good faith determination of the Administrator, on behalf of the Issuer, to comply with the provisions of Regulation AB.

22.  Reporting Requirements.

(a)  If so requested by the Issuer, for the purpose of satisfying its reporting obligation under the Exchange Act with respect to any class of asset-backed securities, the Administrator shall  (i) notify the Issuer, in writing of any material litigation or governmental proceedings pending against the Administrator and (ii) provide to the Issuer, a description of such proceedings, affiliations or relationships.

(b)  As a condition to the succession as Administrator by any Person as permitted by Section 8 hereof the successor administrator shall provide to the Administrator, on behalf of the Issuer, at least [10] Business Days prior to the effective date of such succession or appointment, (x) written notice to the Administrator, on behalf of the Issuer, of such succession or appointment and (y) in writing all information in order to comply with its reporting obligation under Item 6.02 of Form 8-K with respect to any class of Notes.

(c)  In addition to such information as the Administrator is obligated to provide pursuant to other provisions of this Agreement, the Administrator shall provide such information regarding the performance or servicing of the Financed Student Loans as is reasonably required to facilitate the preparation of distribution reports in accordance with Item 1121 of Regulation AB.  Such information shall be provided concurrently with the reports otherwise required to be delivered by the Administrator under this Agreement, commencing with the first such report due hereunder.

23.  Administrator Compliance Statement.  On or before March [15]th of each calendar year, commencing in [____], the Administrator shall deliver to the Issuer a statement of compliance addressed to the Issuer and signed by an authorized officer of the Administrator, to the effect that (i) a review of the Administrator’s activities during the immediately preceding calendar year (or applicable portion thereof) and of its performance under this Agreement during such period has been made under such officer’s supervision, and (ii) to the best of such officer’s knowledge, based on such review, the Administrator has fulfilled all of its obligations under this Agreement in all material respects throughout such calendar year (or applicable portion thereof) or, if there has been a failure to fulfill any such obligation in any material respect, specifically identifying each such failure known to such officer and the nature and the status thereof.

24.  Report on Assessment of Compliance and Attestation.   On or before March [15]th of each calendar year, commencing in [____], the Administrator shall:

(a)

deliver to the Issuer a report (in form and substance reasonably satisfactory to the Issuer) regarding the Administrator’s assessment of compliance with the Servicing Criteria during the immediately preceding calendar year, as required under Rules 13a-18 and 15d-18 of the Exchange Act and Item 1122 of Regulation AB.  Such report shall be addressed to the Issuer and signed by an authorized officer of the Administrator, and shall address each of the Servicing Criteria specified on the  certification substantially in the form of Attachment B attached to this Agreement;

(b)

deliver to the Issuer a report of a registered public accounting firm reasonably acceptable to the Issuer that attests to, and reports on, the assessment of compliance made by the Administrator and delivered pursuant to the preceding paragraph, which attestation shall be in accordance with Rules 1-02(a)(3) and 2-02(g) of Regulation S-X under the Securities Act and the Exchange Act; and

(c)

if requested by the Issuer, not later than February 1 of the calendar year in which such certification is to be delivered, deliver to the Issuer and any other Person that will be responsible for signing a Sarbanes Certification in the form attached hereto as Attachment A on behalf of the Issuer with respect to a securitization transaction.

The Administrator acknowledges that the parties identified in clause (c) above may rely on the certification provided by the Administrator pursuant to such clause in signing a Sarbanes Certification and filing such with the Commission.  The Administrator, on behalf of the Issuer, will not request delivery of a certification under clause (c) above unless the Depositor is required under the Exchange Act to file an annual report on Form 10-K with respect to the Financed Student Loans.

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

	KEYCORP STUDENT LOAN TRUST [____]-[__]

	By: [____], not in it individual capacity but solely as Owner Trustee on behalf of the Trust

	By:_____________________________

Name:

Title:

	[____], not in its individual capacity but solely as Indenture Trustee

	By:                                                      

Name:

Title:

	KEYBANK NATIONAL ASSOCIATION, as Administrator

	By:                                                      

Name:

Title: 

ATTACHMENT A

FORM OF ANNUAL CERTIFICATION 

Re:  The Administration Agreement dated as of [____], [____] (the “Agreement”), among KeyCorp Student Loan Trust [____]-[__], as Issuer, Master, [____], as Administrator and [____], as Indenture Trustee

I, ________________________________, the _______________________ of [____] (the “Administrator”), certify to the Issuer, and its officers, with the knowledge and intent that they will rely upon this certification, that:

(1)

I have reviewed the servicer compliance statement of the Administrator provided in accordance with Item 1123 of Regulation AB (the “Compliance Statement”), the report on assessment of the Administrator’s compliance with the servicing criteria set forth in Item 1122(d) of Regulation AB (the “Servicing Criteria”), provided in accordance with Rules 13a-18 and 15d-18 under Securities Exchange Act of 1934, as amended (the “Exchange Act”) and Item 1122 of Regulation AB (the “Servicing Assessment”), the registered public accounting firm’s attestation report provided in accordance with Rules 13a-18 and 15d-18 under the Exchange Act and Section 1122(b) of Regulation AB (the “Attestation Report”), and all servicing reports, officer’s certificates and other information relating to the servicing of the Financed Student Loans by the Administrator during 200[ ] that were delivered by the Administrator to the Issuer pursuant to the Agreement (collectively, the “Company Servicing Information”);

(2)

Based on my knowledge, the Company Servicing Information, taken as a whole, does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in the light of the circumstances under which such statements were made, not misleading with respect to the period of time covered by the Company Servicing Information;

(3)

Based on my knowledge, all of the Company Servicing Information required to be provided by the Administrator under the Agreement has been provided to the Issuer;

(4)

I am responsible for reviewing the activities performed by the Administrator as administrator under the Agreement, and based on my knowledge and the compliance review conducted in preparing the Compliance Statement and except as disclosed in the Compliance Statement, the Servicing Assessment or the Attestation Report, the Administrator has fulfilled its obligations under the Agreement in all material respects; and

(5)

The Compliance Statement required to be delivered by the Administrator  pursuant to the Agreement, and the Servicing Assessment and Attestation Report required to be provided by the Administrator and/or any Subcontractor pursuant to the Agreement, have been provided to the Issuer.  Any material instances of noncompliance described in such reports have been disclosed to the Issuer.  Any material instance of noncompliance with the Servicing Criteria has been disclosed in such reports.

Date:

_________________________

By:________________________________

Name:  

Title:

ATTACHMENT B

SERVICING CRITERIA TO BE ADDRESSED IN ASSESSMENT OF COMPLIANCE 

The assessment of compliance to be delivered by [____], as the Administrator, shall address, at a minimum, the criteria identified below (the “Applicable Servicing Criteria”): 

	Reference

	Criteria

	Applicability

	 	General Servicing Considerations

	 
	1122(d)(1)(i)

	Policies and procedures are instituted to monitor any performance or other triggers and events of default in accordance with the Basic Documents.

	N/A

	1122(d)(1)(ii)

	If any material servicing activities are outsourced to third parties, policies and procedures are instituted to monitor the third party’s performance and compliance with such servicing activities.

	N/A

	1122(d)(1)(iii)

	Any requirements in the Basic Documents to maintain a back-up servicer for the Financed Student Loans are maintained.

	N/A

	1122(d)(1)(iv)

	A fidelity bond and errors and omissions policy is in effect on the party participating in the servicing function throughout the reporting period in the amount of coverage required by and otherwise in accordance with the terms of the transaction agreements.

	N/A

	 	Cash Collection and Administration

	 
	1122(d)(2)(i)

	Payments on Financed Student Loans are deposited into the appropriate custodial bank accounts and related bank clearing accounts no more than two business days following receipt, or such other number of days specified in the Basic Documents.

	N/A

	1122(d)(2)(ii)

	Disbursements made via wire transfer on behalf of an obligor or to an investor are made only by authorized personnel.

	 
	1122(d)(2)(iii)

	Advances of funds or guarantees regarding collections, cash flows or distributions, and any interest or other fees charged for such advances, are made, reviewed and approved as specified in the Basic Documents.

	N/A

	1122(d)(2)(iv)

	The related accounts for the transaction, such as cash reserve accounts or accounts established as a form of overcollateralization, are separately maintained (e.g., with respect to commingling of cash) as set forth in the Basic Documents.

	N/A

	1122(d)(2)(v)

	Each custodial account is maintained at a federally insured depository institution as set forth in the Basic Documents. For purposes of this criterion, “federally insured depository institution” with respect to a foreign financial institution means a foreign financial institution that meets the requirements of Rule 13k-1(b)(1) of the Securities Exchange Act.

	N/A

	1122(d)(2)(vi)

	Unissued checks are safeguarded so as to prevent unauthorized access.

	N/A

	1122(d)(2)(vii)

	 Reconciliations are prepared on a monthly basis for all asset-backed securities related bank accounts, including custodial accounts and related bank clearing accounts. These reconciliations are (A) mathematically accurate; (B) prepared within 30 calendar days after the bank statement cutoff date, or such other number of days specified in the Basic Documents; (C) reviewed and approved by someone other than the person who prepared the reconciliation; and (D) contain explanations for reconciling items. These reconciling items are resolved within 90 calendar days of their original identification, or such other number of days specified in the Basic Documents.

	N/A

	 	Investor Remittances and Reporting

	 
	1122(d)(3)(i)

	Reports to investors, including those to be filed with the Commission, are maintained in accordance with the Basic Documents and applicable Commission requirements. Specifically, such reports (A) are prepared in accordance with timeframes and other terms set forth in the Basic Documents; (B) provide information calculated in accordance with the terms specified in the Basic Documents; (C) are filed with the Commission as required by its rules and regulations; and (D) agree with investors’ or the trustee’s records as to the total unpaid principal balance and number of student loans serviced by the Master Servicer.

	N/A

	1122(d)(3)(ii)

	Amounts due to investors are allocated and remitted in accordance with timeframes, distribution priority and other terms set forth in the Basic Documents.

	N/A

	1122(d)(3)(iii)

	Disbursements made to an investor are posted within two business days to the Administrator’s investor records, or such other number of days specified in the Basic Documents.

	N/A

	1122(d)(3)(iv)

	Amounts remitted to investors per the investor reports agree with cancelled checks, or other form of payment, or custodial bank statements.

	N/A

	 	Pool Asset Administration

	 
	1122(d)(4)(i)

	Collateral or security on student loans is maintained as required by the Basic Documents or related student loan documents.

	N/A

	1122(d)(4)(ii)

	Student loan and related documents are safeguarded as required by the Basic Documents

	N/A

	1122(d)(4)(iii)

	Any additions, removals or substitutions to the asset pool are made, reviewed and approved in accordance with any conditions or requirements in the Basic Documents.

	N/A

	1122(d)(4)(iv)

	Payments on student loans, including any payoffs, made in accordance with the related student loan documents are posted to the Administrator’s obligor records maintained no more than two business days after receipt, or such other number of days specified in the Basic Documents, and allocated to principal, interest or other items (e.g., escrow) in accordance with the related student loan documents.

	N/A

	1122(d)(4)(v)

	The Administrator’s records regarding the student loans agree with the Administrator’s records with respect to an obligor’s unpaid principal balance.

	N/A

	1122(d)(4)(vi)

	Changes with respect to the terms or status of an obligor's student loans (e.g., loan modifications or re-agings) are made, reviewed and approved by authorized personnel in accordance with the Basic Documents and related pool asset documents.

	N/A

	1122(d)(4)(vii)

	Loss mitigation or recovery actions (e.g., forbearance plans, modifications and deeds in lieu of foreclosure, foreclosures and repossessions, as applicable) are initiated, conducted and concluded in accordance with the timeframes or other requirements established by the Basic Documents.

	N/A

	1122(d)(4)(viii)

	Records documenting collection efforts are maintained during the period a student loan is delinquent in accordance with the Basic Documents. Such records are maintained on at least a monthly basis, or such other period specified in the Basic Documents, and describe the entity’s activities in monitoring delinquent student loans including, for example, phone calls, letters and payment rescheduling plans in cases where delinquency is deemed temporary (e.g., illness or unemployment).

	N/A

	1122(d)(4)(ix)

	Adjustments to interest rates or rates of return for student loans with variable rates are computed based on the related student loan documents.

	N/A

	1122(d)(4)(x)

	Regarding any funds held in trust for an obligor (such as escrow accounts): (A) such funds are analyzed, in accordance with the obligor’s student loan documents, on at least an annual basis, or such other period specified in the Basic Documents; (B) interest on such funds is paid, or credited, to obligors in accordance with applicable student loan documents and state laws; and (C) such funds are returned to the obligor within 30 calendar days of full repayment of the related student loans, or such other number of days specified in the Basic Documents.

	N/A

	1122(d)(4)(xi)

	Payments made on behalf of an obligor (such as tax or insurance payments) are made on or before the related penalty or expiration dates, as indicated on the appropriate bills or notices for such payments, provided that such support has been received by the Administrator at least 30 calendar days prior to these dates, or such other number of days specified in the Basic Documents.

	N/A

	1122(d)(4)(xii)

	Any late payment penalties in connection with any payment to be made on behalf of an obligor are paid from the Administrator’s funds and not charged to the obligor, unless the late payment was due to the obligor’s error or omission.

	N/A

	1122(d)(4)(xiii)

	Disbursements made on behalf of an obligor are posted within two business days to the obligor’s records maintained by the Administrator, or such other number of days specified in the Basic Documents.

	N/A

	1122(d)(4)(xiv)

	 Delinquencies, charge-offs and uncollectible accounts are recognized and recorded in accordance with the Basic Documents.

	N/A

	1122(d)(4)(xv)

	Any external enhancement or other support, identified in Item 1114(a)(1) through (3) or Item 1115 of Regulation AB, is maintained as set forth in the Basic Documents.

	N/A

[____], as Administrator

Date:

_________________________

By:

________________________________

Name:  

Title:CAREMARK RX, INC.

SPECIAL RETIREMENT PLAN 

Caremark Rx, Inc. (the "Company") hereby adopts the Caremark Rx, Inc. Special Retirement Plan (the "Plan").  The primary purpose of the Plan is to provide supplemental non-qualified retirement benefits to a select group of the Company's executive employees and their dependents.

 

	

Definitions

For the purpose of this Plan, unless the context requires otherwise, the following words and phrases shall have the meanings indicated below:

	Accrued Benefit -- means an annual benefit payment equal in amount to 2.5% of a Participant's Final Average Compensation multiplied by his or her Years of Service, and that is payable over a maximum ten (10) year period.  For purposes of calculating each Participant's Accrued Benefit, no more than 20 Years of Service will be taken into account.  

	Beneficiary -- means the individual so designated by the Participant on forms provided or accepted by the Committee to receive any remaining benefits to which the Participant is entitled under this Plan subsequent to the Participant's death.  If a Participant is married on the date on which he completes his or her designation form, the Participant must designate his or her Spouse as Beneficiary, unless the Spouse consents in writing to the selection of another Beneficiary or unless the Spouse is missing and the Participant affirms in writing that he or she has made reasonable attempts to locate such Spouse and has been unable to (these requirements termed the "Spousal Consent Requirements").  Any Participant may, at any time, revoke or change his or her Beneficiary designation by filing a new designation form, provided that he or she complies with the Spousal Consent Requirements at the time of such revocation or change.  

If no Beneficiary designation is made or if no named Beneficiary survives the Participant, then the Participant's Beneficiary shall be the Participant's Spouse on the date of his or her death, unless the Participant does not have a Spouse at the date of his or her death, in which case there will be no Beneficiary entitled to any benefits under this Plan upon the death of the Participant.

	Cause -- means, with respect to any Participant who is covered by an employment agreement executed between such Participant and the Company (or one of its subsidiaries) in which the term is so defined in the employment agreement, the definition of "Cause" set forth in the Participant's employment agreement.  Notwithstanding the foregoing,  with respect to any other Participant, the term "Cause" shall mean (i) a conviction by a court of competent jurisdiction of a felony; (ii) a refusal, failure or neglect to perform duties in a manner that is materially detrimental to the business or reputation of the Company; (iii) the engagement in illegal, unethical or other wrongful conduct that is materially detrimental to the business or reputation of the Company; or (iv) the development or pursuit of interests materially adverse to the Company.  With respect to clauses (ii) and (iv) of this Section 1.3, "Cause" shall only exist if the Company has given the Participant thirty (30) days prior written notice of and opportunity to cure any conduct or deficiency in performance by the Participant that the Company believes constitutes "Cause" under this Section 1.3 and the Participant has not cured such non-compliant conduct or performance during such notice period.  Notwithstanding the foregoing, there will be no thirty (30) day prior notice requirement on the part of the Company or opportunity to cure under clauses (ii) or (iv) of this Section 1.3 if the Company reasonably determines that such non-compliant conduct or performance cannot be satisfactorily cured.

	Change in Control -- means, with respect to any Participant who is covered by an employment agreement executed between such Participant and the Company (or one of its subsidiaries) in which the term is so defined in the employment agreement, the definition of "Change in Control" set forth in the Participant's employment agreement.  Notwithstanding the foregoing, with respect to any other Participant, the term "Change in Control" shall have the same meaning as ascribed thereto in the Caremark Rx, Inc. 2004 Incentive Stock Plan, as amended.

	Code - means the Internal Revenue Code of 1986, as amended, or any successor statute.

	Committee - means the Compensation Committee of the Board of Directors of the Company.

	Disabled Participant - means a Participant who makes an application for or is otherwise eligible for disability benefits under any Company-sponsored long-term disability program and who qualifies for such benefits.  In the absence of a Company-sponsored long-term disability program covering a Participant, the Participant shall be treated as a Disabled Participant if the Committee, acting in its sole discretion, determines that the Participant will be unable to perform his or her employment duties for at least one-hundred eighty (180) consecutive days (or such other period as specified in any Participant's employment agreement) due to a physical or mental condition.

	Employee - means an individual who is an executive employee of the Company or of a subsidiary. 

	ERISA - means the Employee Retirement Income Security Act of 1974, as amended.

	Final Average Compensation -- means the average annual base salary paid by the Company to a Participant during the most recent consecutive thirty-six (36) month period immediately preceding the Retirement Date. 

	Participant - means an Employee who is designated by the Committee as eligible to participate in the Plan and who is receiving or is eligible to receive any benefit under this Plan.

	Plan Administrator - means the Company's Executive Vice President of Administration and Services or any other person or persons designated as Plan Administrator by the Committee.

	Plan Year - means the calendar year.

	Retirement Date -- means the first day of the first month that coincides with, or immediately follows, the date on which a Participant's active and full-time employment is terminated. 

	Specified Employee - means any Participant who is designated as a "specified employee," as that term is defined in Code Section 409A(a)(2)(B)(i).  

	Spouse -- means the individual who as of any day is a Participant's lawful spouse and is not legally separated from such Participant under a final decree of divorce or separate maintenance.

	Successor Employer -- means the surviving corporation or entity following a Change in Control.  

	Years of Service -- means, as to each Participant, the number of full twelve (12) month periods during which such Participant was employed with the Company or with one of its subsidiaries (including employment service with any such entity before it becomes a subsidiary of the Company); provided, that the number of Years of Service that shall be taken into account for any purposes under the Plan shall not include any Years of Service during which a Participant is a Disabled Participant.   

	

Retirement Benefit

Subject to Section 8.4, a Participant who retires from the Company shall receive a benefit paid out on a monthly basis over a ten (10) year period.  Except as provided in Article 8, the first monthly installment shall commence as of the Participant's Retirement Date and each remaining installment shall be paid as of the first day of each month thereafter.  The amount of each monthly installment payable to a Participant who retires on or after the date the Participant attains age sixty (60) shall be equal to one-twelfth (1/12) of the Participant's Accrued Benefit as of the Participant's date of retirement.  The amount of each monthly installment payable to a Participant that retires before the date the Participant attains age sixty (60) shall be equal to one-twelfth (1/12) of the Participant's Accrued Benefit as of the date of retirement, with each monthly payment reduced by one-half percent (0.5%) for each full month between the date benefits commence and the date the Participant will attain age sixty (60).  

The provision of this Article 2 shall not be applicable to any Participant who becomes entitled to the payment of a benefit under the Plan in accordance with the provisions of Article 3 or Article 4 of the Plan.  

	

Disability Benefit

A Disabled Participant shall receive a benefit paid out on a monthly basis over a ten (10) year period as provided herein, with the first monthly installment commencing as of the date the Participant attains age 60, and each remaining installment shall be paid as of the first day of each month thereafter.  The amount of each installment payable to such a Disabled Participant shall be equal to one-twelfth (1/12) of the Participant's Accrued Benefit as of the date the Disabled Participant's period of disability commenced.  

An individual who ceases to be a Disabled Participant prior to attaining age 60 and who subsequently resumes employment with the Company may continue to qualify for benefits under Article 2 of the Plan.  All other Disabled Participants only shall be eligible for payment of benefits under this Article 3.  

 

	

Change in Control Benefit

Upon a Change in Control, and subject to Section 8.4 and the rest of this Article 4, a Participant shall be eligible to receive a benefit payable in monthly installments over a ten (10) year period after the earlier of the date (i) he or she turns sixty (60) or (ii) he or she turns age fifty-eight (58) and has completed at least fifteen (15) Years of Service.  The amount of each monthly installment payable to a Participant shall be determined in accordance with Article 2.  

Notwithstanding Section 8.4, during the first 6 months following a Change in Control, a Participant may provide Successor Employer with a written request that Successor Employer acknowledge and confirm in writing that Participant will receive his or her Accrued Benefit as set forth in the Plan as in effect upon the occurrence of the Change in Control or a non-qualified retirement benefit at least comparable in value to the Accrued Benefit determined as of the date of the Change in Control.  Notwithstanding any provisions of the Plan to the contrary, if Successor Employer fails to timely provide such written confirmation within 60 days of receipt of Participant's written request, then he or she shall be deemed to have met the continuous employment requirement under Section 8.4.  

Notwithstanding any provision of the Plan to the contrary, if Successor Employer terminates Participant's employment prior to the end of the 6-month period following a Change in Control, then he or she shall be deemed to have met the continuous employment requirement under Section 8.4.  

Notwithstanding any provisions of the Plan to the contrary, if the employment of a Participant is terminated by the Company for Cause, as that term is defined in Section 1.3 hereof, then the Participant shall not be entitled to the payment of a retirement benefit under the Plan.

If a benefit is paid out under this Article 4 to a Participant, then he or she shall not be eligible for any other benefits under this Plan.

 

	

Death Benefit

If a Participant dies while an active Employee of the Company and before receipt of any benefits under this Plan, then in lieu of any other benefits that might otherwise be payable under this Plan, his or her Beneficiary, if any, shall be entitled to receive a benefit payable over a ten (10) year period commencing as of the first day of the month following the date the Participant would have reached age 60.  Such benefit will be paid on a monthly basis and each monthly benefit will be equal to one-twelfth (1/12) of the Participant's Accrued Benefit as of his or her date of death.  All remaining payments due to a Beneficiary, if any, shall cease upon the Beneficiary's death.  

	

Post-Retirement Death Benefit

If a Participant dies on or after the date benefits commence under this Plan, all remaining installments due to him or her after his or her date of death will be paid as soon as administratively practicable to his or her Beneficiary, if any, in a lump sum cash distribution equal to the present value of such remaining installments as of the date of payment.  The present value of the lump sum benefit shall be determined by the Committee based on the average 10 (ten) year Treasury constant maturity rate over the immediate 12 (twelve) month period before any such payment is to be made.

	

Source of Records and Benefit Payments

	Records.  All records relating to the accrual and disbursement of benefits to, or on behalf of, Participants under this Plan shall be maintained by the Plan Administrator.

	Participant List.  The Plan Administrator shall at all times maintain a current list of all Participants, and of all other persons receiving benefits, and said list shall contain such other information as the Plan Administrator shall deem appropriate.

	Source of Benefit Payments.  Any person who claims a benefit under this Plan shall look solely to the general assets of the Company.  Such person's interest in such assets as a result of such claim shall in no matter whatsoever be superior or senior to the claim of any other general and unsecured creditor of the Company, and in no event whatsoever shall any other person whomsoever be liable to pay such benefits.

	

Special Provisions

	Forfeiture of Plan Benefit.  A Participant who violates the terms of any restrictive covenants, including but not limited to non-compete and non-solicitation covenants, applicable to such Participant as a result of a period of employment or a period of service as a consultant with respect to the Company (or its subsidiaries) shall forfeit the payment of any benefits otherwise payable thereto under the Plan. 

	Delay in Payments to Specified Employees.  The first installment due to be made under the Plan to a Participant who is a Specified Employee shall not commence earlier than the first day of the seventh month following the day the Specified Employee retires (or, if earlier, the date of death of the Specified Employee).  All remaining payments will be paid as of the first day of each month thereafter.  

	Compliance with Code Section 409A.  This Plan shall be operated and interpreted in accordance with Code Section 409A, any regulations promulgated thereunder or any other applicable guidance.

	Continuous Employment.  Notwithstanding any provision herein to the contrary, no benefit will be payable under this Plan unless a Participant is continuously employed with the Company through the earliest of: (i) the date on which he or she becomes a Disabled Participant, (ii) his or her Retirement Date at any time after attaining age fifty-eight (58) and completing at least fifteen (15) or more Years of Service or (iii) the date on which the Participant is deemed to meet the continuous employment requirement as provided under Article 4.  

	Continuous Accruals.  Upon a Change in Control, a Participant shall continue to accrue Years of Service for purposes of determining his or her Accrued Benefit under the Plan, subject to the 20-year cap.  Notwithstanding the foregoing, any Participant who commences distribution of benefits under this Plan no longer shall accrue any Accrued Benefit hereunder.

	

Functions of the Committee

	General.  The Committee shall be the Named Fiduciary for the Plan.  A member of the Committee may be a Participant but, in such case, a claim submitted by one member of the Committee as a Participant shall be reviewed by one or more other members of the Committee.

In addition to any other indemnity or similar rights applicable to the Committee, the Company shall indemnify each member of the Committee for any liability, assessment, loss, expense or other cost of any kind or description whatsoever, including legal fees and expenses, actually incurred by a member on account of any action or proceeding, actual or threatened, that arise as a result of being a member of the Committee or as a result of any actions or inactions of any member(s) of the Committee.

	Powers.  The Committee shall have control over the administration of the Plan, with all powers necessary to enable it properly to carry out its duties in this respect, including, without limitation, the designation of Employees as Participants and the power to waive any conditions or limitations stated in the Plan whenever the Committee, acting in its absolute discretion, deems such a waiver to be appropriate under the circumstances.  Notwithstanding any provisions of the Plan to the contrary, the Committee, acting in its sole  discretion, may credit any Participant with additional Years of Service (not to exceed a maximum of 20), including but not limited to the crediting of employment service completed while employed by a business acquired by the Company.  The Committee may appoint in writing such agents as it may deem necessary for the effective performance of its duties, and may delegate to such agents those powers and duties, whether ministerial or discretionary, that it deems expedient or appropriate.  In the event that any agent so appointed is not an employee of the Company, such agent's compensation shall be fixed by the Committee and shall be paid by the Company.

	

Amendment and Termination

	Amendment.  This Plan may be amended in any respect and at any time by the Committee in the exercise of its sole discretion.  Any such amendment automatically shall be binding on each Participant; provided, that no such amendment may reduce the level of non-forfeitable benefit accrued by a Participant under the Plan as of the date the amendment is adopted.  Notwithstanding any provision of the Plan to the contrary, in the event that the Committee determines that any provision of the Plan may cause amounts deferred under the Plan to become immediately taxable to any Participant under Code Section 409A, and related guidance, the Committee may (i) adopt such amendments to the Plan and appropriate policies and procedures, including amendments and policies with retroactive effect, that the Committee determines necessary or appropriate to preserve the intended tax treatment of the Plan benefits provided by the Plan and/or (ii) take such other actions as the Committee determines necessary or appropriate to comply with the requirements of Code Section 409A, and related guidance.  

	Termination.  The Plan may be terminated at any time by the Committee and all benefits shall be paid out in the form of lump sum payments beginning twelve (12) months after the termination of the Plan, provided, that (i) all other non-qualified nonaccount deferred compensation balance plans and arrangements maintained by the Company are terminated with respect to all Participants; (ii) no payments other than those otherwise payable under the terms of the Plan absent a termination of the Plan are made within twelve (12) months of the termination of the Plan; (iii) all payments are made within twenty-four (24) months of the termination of the Plan; and (iv) the Company does not adopt another non-qualified nonaccount balance deferred compensation plan at any time for a period of five (5) years following the date of termination of the Plan.  

In the event that the Plan is terminated in accordance with this Article 10, no such termination may reduce the level of non-forfeitable benefits accrued by a Participant under the Plan as of the date the termination is effective.

	

Miscellaneous

	Headings.  The headings and subheadings in the Plan have been inserted for convenience of reference only and are to be ignored in any construction of the Plan provisions.

	Construction.  In the construction of the Plan, the singular shall include the plural in all cases in which such meaning would be appropriate.  This Plan shall be construed in accordance with the laws of the State of Tennessee.

	Agent for Service of Process.  The agent for service of process for the Plan shall be the person currently listed in the records of the Secretary of State of Tennessee as the agent for service of process for the Company.

	Plan Administrator.  The Plan Administrator shall be the plan administrator of the Plan, to the extent ERISA applies.

	No Assignment by Participants.  The benefits provided under this Plan may not be alienated, encumbered or assigned by a Participant or Spouse.

	Successors and Assigns to the Company.  The rights and obligations of the Company under this Plan shall be binding on and inure to the benefit of the Company, its successors and permitted assigns.

	Effect of Plan.  This Plan shall not constitute a contract of employment for any definite term and shall not affect or impair the right of either party to terminate the employment relationship at any time.

	Legal Competency.  The Committee may, in its discretion, make payment either directly to an incompetent or disabled person, or to the guardian of such person, or to the person having custody of such person, without further liability on the part of the Company, the Committee, or any person, for the amounts of such payment to the person on whose account such payment is made.

	Effective Date.  The effective date of the Plan shall be January 1, 2006.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00109-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00109-of-00352.parquet"}]]