Document:

EXHIBIT 4.1

EXHIBIT 4.1

EXECUTION COPY

 

	 
 

 

 SERIES 2001-1 SUPPLEMENT

Dated as of February 28, 2001

to

 POOLING AND SERVICING AGREEMENT

Dated as of September 30, 1993

$1,200,000,000

CAPITAL ONE MASTER TRUST

SERIES 2001-1

among

 CAPITAL ONE BANK

Seller and Servicer

and

 THE BANK OF NEW YORK

Trustee

on behalf of the Series 2001-1 Certificateholders

 

	 
 

 

TABLE OF CONTENTS

	 	 	Page
	 ARTICLE I

	 Creation of the Series 2001-1 Certificates 

	Section 1.01.	Designation	 1

	 ARTICLE II

	 Definitions

	Section 2.01.	Definitions	 2

	Section 2.02.	Amendment to Section 2.08 of the Agreement	 17

	 ARTICLE III

	 Servicer and Trustee

	Section 3.01.	 Servicing Compensation

	 18

	 ARTICLE IV

	 Rights of Series 2001-1 Certificateholders and Collateral Interest 

	 Holder and Allocation and Application of Collections

	Section 4.01.	Collections and Allocations	 19

	Section 4.02.	Determination of Monthly Interest	 19

	Section 4.03.	Determination of Monthly Principal; Series 2001-1 Accounts	 21

	Section 4.04.	Required Amount	 24

	Section 4.05.	Application of Class A Available Funds, Class B Available Funds, Collateral Available Funds and Available Investor Principal Collections	 24

	Section 4.06.	Defaulted Amounts; Investor Charge-Offs 	 26

	Section 4.07.	Excess Spread; Excess Finance Charges	 28

	Section 4.08.	Reallocated Principal Collections	 29

	Section 4.09.	Excess Finance Charges	 30

	Section 4.10.	Shared Principal Collections	 31

	Section 4.11.	Reserve Account 	 31

	 ARTICLE V

	 Distributions and Reports to Series 2001-1 Certificateholders

	Section 5.01.	Distributions 	 33

	Section 5.02.	Reports and Statements to Series 2001-1 Certificateholders	 35

	 ARTICLE VI

	 Additional Pay Out Events

	Section 6.01.	Additional Pay Out Events 	 36

	 ARTICLE VII

	 Optional Repurchase; Series Termination

	Section 7.01.	Optional Repurchase	 37

	Section 7.02.	Series Termination	 37

	 ARTICLE VIII

	 Final Distributions

	Section 8.01.	Sale of Receivables or Certificateholders' Interest pursuant to Section 2.06 or 10.01 of the Agreement	 38

	Section 8.02.	Distribution of Proceeds of Sale, Disposition or Liquidation of the Receivables pursuant to Section 9.02 of the Agreement 	 39

	 	 

	 

	 ARTICLE IX

	 New Issuances; Addition of Accounts

	 	 	 

	Section 9.01.	New Issuances	 41

	Section 9.02.	Addition of Accounts	 41

	 	 	 

	 ARTICLE X

	 Miscellaneous Provisions

	 	 	 

	Section 10.01.	Ratification of Agreement 	 42

	Section 10.02.	Counterparts 	 42

	Section 10.03.	GOVERNING LAW	 42

	Section 10.04. 	Determination of Material Adverse Effect	 42

	Section 10.05.	Book-Entry Certificates	 42

	Section 10.06.	Uncertificated Securities 	 42

	Section 10.07.	Transfers of the Collateral Interest 	 42

	Section 10.08.	Certain Accounting Related Amendments	 43

	 	 

	 

TABLE OF CONTENTS

	EXHIBITS	 
	 	 
	EXHIBIT A-1 	Form of Class A Certificate
	EXHIBIT A-2	Form of Class B Certificate
	EXHIBIT B	Form of Monthly Certificateholders' Statement
	EXHIBIT C 	Form of Monthly Servicing Officer's Certificate
	EXHIBIT D 	Form of Investment Letter

      SERIES 2001-1 SUPPLEMENT, dated as of February 28, 2001 (the “Supplement”), between CAPITAL ONE BANK, a Virginia banking
corporation, as Seller and Servicer, and THE BANK OF NEW YORK, a New York banking corporation, as Trustee.

     Pursuant to the Pooling and Servicing Agreement, dated as of September 30, 1993 (as amended and supplemented, the “Agreement”), among the Seller, the Servicer and the Trustee, the Seller
has created Capital One Master Trust (the “Trust”). Section 6.03 of the Agreement provides that the Seller may from time to time direct the Trustee to authenticate one or more new Series of Investor Certificates representing fractional
undivided interests in the Trust. The Principal Terms of any new Series are to be set forth in a Supplement to the Agreement.

     Pursuant to this Supplement, the Seller and the Trustee shall create a new Series of Investor Certificates and specify the Principal Terms thereof.

 ARTICLE I

 Creation of the Series 2001-1 Certificates

      Section 1.01. Designation.

     (a) There is hereby created a Series of Investor Certificates to be issued pursuant to the Agreement and this Supplement to be known as “Capital One Master Trust, Series 2001-1.” The
Series 2001-1 Certificates shall be issued in two Classes, the first of which shall be known as the “Class A Floating Rate Asset Backed Certificates, Series 2001-1” and the second of which shall be known as the “Class B Floating Rate
Asset Backed Certificates, Series 2001-1.” In addition, there is hereby created a third Class of uncertificated interests in the Trust which, except as expressly provided herein, shall be deemed to be “Investor Certificates” (and the
Collateral Interest Holder shall be deemed to be an “Investor Certificateholder”) for all purposes under the Agreement and this Supplement and which shall be known as the “Collateral Interest, Series 2001-1.”

     (b) Series 2001-1 shall be included in Group One and shall be a Principal Sharing Series. Series 2001-1 shall not be subordinated to any other Series. Notwithstanding any provision in the Agreement
or in this Supplement to the contrary, the first Distribution Date with respect to Series 2001-1 shall be the March 2001 Distribution Date.

     (c) In the event that any term or provision contained herein shall conflict with or be inconsistent with any term or provision contained in the Agreement, the terms and provisions of this
Supplement shall govern.

     (d) The Collateral Interest Holder, as holder of an “Investor Certificate” shall be entitled to the benefits of the Agreement and this Supplement. Notwithstanding the foregoing, except as
expressly provided herein, (i) the provisions of Article VI and Article XII of the Agreement relating to the registration, authentication, delivery, presentation, cancellation and surrender of Registered Certificates and clauses (a) and (c) of the
definition of “Tax Opinion” in

Section 1.01 of the Agreement shall not be applicable to the Collateral Interest, and (ii) the provisions of Section 3.07 of the Agreement shall not apply to cause the Collateral Interest to be treated as debt for federal,
state and local income and franchise tax purposes, but rather the Seller intends and, together with the Collateral Interest Holder, agrees to treat the Collateral Interest for federal, state and local income and franchise tax purposes as
representing an equity interest in the assets of the Trust.

 ARTICLE II

 Definitions

      Section 2.01. Definitions.

     (a) Whenever used in this Supplement, the following words and phrases shall have the following meanings, and the definitions of such terms are applicable to the singular as well as the plural forms
of such terms and the masculine as well as the feminine and neuter genders of such terms.

     “Accumulation Period” shall mean, unless a Pay Out Event shall have occurred prior thereto, the period commencing at the close of business on the last day of the January 2007
Monthly Period or such later date as is determined in accordance with Section 4.03(f) and ending on the first to occur of (a) the commencement of the Early Amortization Period, (b) the payment in full to Series 2001-1 Holders of the Invested Amount
or (c) the Termination Date.

     “Accumulation Period Amount” shall mean for each Monthly Period, an amount equal to the product of (i) Available Expected Principal for such Monthly Period and (ii) a fraction, the
numerator of which is the Initial Invested Amount and the denominator of which is the sum of (a) the Initial Invested Amount and (b) the invested amounts of all other Variable Accumulation Series which are not scheduled to be in their revolving
periods as of such Monthly Period; provided that, for purposes of this definition, the commencement date of the accumulation period of each such Variable Accumulation Series shall be deemed
to have been postponed to the latest permissible date, determined as if the provisions of Section 4.03(f) applied to each such Series with such changes as may be specified with respect to such Series (applying such provisions first to the Variable
Accumulation Series with the latest expected final payment date and next to each Series with the next preceding expected final payment date).

     “Accumulation Period Length” shall have the meaning specified in Section 4.03(f).

     “Additional Interest” shall mean, at any time of determination, the Class A Additional Interest, the Class B Additional Interest and the Collateral
Additional Interest.

     “Adjusted Invested Amount” shall mean, with respect to any date of determination, an amount equal to the Invested Amount less the Principal Funding Account Balance on such date of
determination.

     “Assignee” shall have the meaning specified in subsection 10.07(a).

     “Available Expected Principal” for any date of determination with respect to each Monthly Period shall be equal to the excess of (a) the Expected Monthly Principal for such Monthly
Period over (b) the sum of, without duplication, all scheduled amortizations or accumulations of principal, including past due shortfalls as of such date of determination, for all Nonvariable Accumulation Series which are not scheduled to be in
their revolving periods as of such Monthly Period.

     “Available Investor Principal Collections” shall mean, with respect to any Monthly Period, an amount equal to the sum of (a) (i) an amount equal to the Principal Allocation
Percentage of all Collections of Principal Receivables received during such Monthly Period, minus (ii) the amount of Reallocated Principal Collections with respect to such Monthly Period
which pursuant to Section 4.08(a) or 4.08 b) are required to fund any deficiency in the amount to be distributed pursuant to Sections 4.05(a)(i), (ii) and (iii), 4.05(b)(i) and (ii) and 4.07(c)(II) for the related Distribution Date, plus (b) the amount of Miscellaneous Payments, if any, for such Monthly Period that are allocated to Series 2001-1 pursuant to Section 4.03 of the Agreement, plus (c) any Shared Principal Collections with respect to other Series that are allocated to Series 2001-1 in accordance with Section 4.04 of the Agreement and Section 4.10 hereof, plus (d) the amount of funds to be distributed pursuant to Section 4.05(a)(iii) with respect to the related Distribution Date, plus (e) any other
amounts which pursuant to Section 4.07 hereof are to be treated as Available Investor Principal Collections with respect to the related Distribution Date.

     “Available Reserve Account Amount” shall mean, with respect to any Distribution Date, the lesser of (a) the amount on deposit in the Reserve Account on
such date (before giving effect to any deposit to be made to the Reserve Account on such Distribution Date) and (b) the Required Reserve Account Amount for such Distribution Date.

     “Base Rate” shall mean, with respect to any Monthly Period, the annualized percentage equivalent of a fraction, the numerator of which is equal to the sum of the Class A Monthly
Interest, the Class B Monthly Interest, the Collateral Minimum Monthly Interest and the Monthly Servicing Fee, each with respect to the related Distribution Date and the denominator of which is the Invested Amount as of the last day of the preceding
Monthly Period; provided, however, that for the first Monthly Period, the denominator is the Initial Invested Amount.

     “Class A Account Percentage” shall mean, with respect to any date of determination, the percentage equivalent of a fraction, the numerator of which is the aggregate amount with
respect to Class A Monthly Principal on deposit in the Principal Funding Account on such date (before giving effect to any deposit to be made to the Principal Funding Account on such date) and the denominator of which is the Principal Funding
Account Balance on such date (before giving effect to any deposit to be made to the Principal Funding Account on such date).

     “Class A Additional Interest” shall have the meaning specified in Section 4.02(a). 

     “Class A Adjusted Invested Amount” shall mean, with respect to any date of determination, an amount not less than zero equal to the Class A Invested Amount less the Principal
Funding Account Balance on such date.

     “Class A Available Funds” shall mean, with respect to any Monthly Period, an amount equal to the sum of (a) an amount equal to the product of (i) the Class A Account Percentage and
(ii) the amount of Principal Funding Investment Proceeds, if any, with respect to the related Distribution Date, (b) the Class A Floating Percentage of the Collections of Finance Charge Receivables (other than Finance Charge Receivables allocated to
Servicer Interchange with respect to such Monthly Period) allocated to the Series 2001-1 Certificates (including any investment earnings that are to be treated as Collections of Finance Charge Receivables in accordance with the Agreement and this
Supplement) and (c) the amount of funds, if any, to be withdrawn from the Reserve Account which, pursuant to Section 4.11(d), are required to be included in Class A Available Funds with respect to the related Distribution Date.

     “Class A Certificate Rate” shall mean, for any Interest Period, a per annum rate equal to LIBOR for such Interest Period plus 0.20%.

     “Class A Certificateholder” shall mean the Person in whose name a Class A Certificate is registered in the Certificate Register.

     “Class A Certificates” shall mean any of Certificates executed by the Bank and authenticated by or on behalf of the Trustee, substantially in the form of Exhibit A-1.

     “Class A Floating Percentage” shall mean, with respect to any Monthly Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, the numerator of
which is equal to the Class A Adjusted Invested Amount as of the close of business on the last day of the preceding Monthly Period and the denominator of which is equal to the Adjusted Invested Amount as of such day; provided, however, that, with respect to the first Monthly Period, the Class A Floating Percentage shall mean the Class A Initial Percentage.

     “Class A Initial Invested Amount” shall mean the aggregate initial principal amount of the Class A Certificates, which is $975,000,000.

     “Class A Initial Percentage” shall mean the percentage equivalent of a fraction, the numerator of which is the Class A Initial Invested Amount and the denominator of which is the
Initial Invested Amount.

     “Class A Interest Shortfall” shall have the meaning specified in Section 4.02(a).

     “Class A Invested Amount” shall mean, on any date of determination, an amount equal to (a) the Class A Initial Invested Amount, minus (b) the aggregate amount of principal payments made to the Class A Certificateholders on or prior to such date, minus (c) the excess, if any, of the aggregate amount of Class A
Investor Charge-Offs for all prior Distribution Dates over the aggregate amount of Class A Investor Charge-Offs reimbursed pursuant to Section

4.06(a) prior to such date; provided, however, that the Class A Invested Amount may not be reduced below
zero.

     “Class A Investor Charge-Offs” shall have the meaning specified in Section 4.06(a).

     “Class A Investor Default Amount” shall mean, with respect to each Distribution Date, an amount equal to the product of (i) the Investor Default Amount for the related Monthly
Period and (ii) the Class A Floating Percentage for such Monthly Period.

     “Class A Monthly Interest” shall have the meaning specified in Section 4.02(a).

     “Class A Monthly Principal” shall have the meaning specified in Section 4.03(a).

     “Class A Outstanding Additional Interest” shall mean, with respect to any Distribution Date, the amount of Class A Additional Interest previously due but not paid to the Class A
Certificateholders.

     “Class A Outstanding Monthly Interest” shall mean, with respect to any Distribution Date, the amount of Class A Monthly Interest previously due but not paid to the Class A
Certificateholders.

     “Class A Penalty Rate” shall mean, for any Interest Period, the sum of the Class A Certificate Rate for such Interest Period and 2.00% per annum.

     “Class A Principal Percentage” shall mean, with respect to any Monthly Period (i) during the Revolving Period, the percentage equivalent (which percentage shall never exceed 100%)
of a fraction, the numerator of which is the Class A Invested Amount as of the last day of the immediately preceding Monthly Period (or, in the case of the first Monthly Period, the Closing Date) and the denominator of which is the Invested Amount
as of such day and (ii) during the Accumulation Period or the Early Amortization Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, the numerator of which is the Class A Invested Amount as of the last day of
the Revolving Period, and the denominator of which is the Invested Amount as of such last day; provided, however, that, with respect to the first Monthly Period, the Class A Principal
Percentage shall mean the Class A Initial Percentage.

     “Class A Required Amount” shall have the meaning specified in Section 4.04(a). 

     “Class A Servicing Fee” shall have the meaning specified in Section 3.01.

     “Class B Account Percentage” shall mean, with respect to any date of determination, the percentage equivalent of a fraction, the numerator of which is the aggregate amount with
respect to Class B Monthly Principal on deposit in the Principal Funding Account on such date (before giving effect to any deposit to be made to the Principal Funding Account on such date) and the denominator of which is the Principal Funding
Account Balance on such date (before giving effect to any deposit to be made to the Principal Funding Account on such date).

     “Class B Additional Interest” shall have the meaning specified in Section 4.02(b).

     “Class B Adjusted Invested Amount” shall mean, with respect to any date of determination, an amount not less than zero equal to the Class B Invested Amount less the excess, if any,
of the Principal Funding Account Balance over the Class A Invested Amount on such date.

     “Class B Available Funds” shall mean, with respect to any Monthly Period, an amount equal to the sum of (a) an amount equal to the product of (i) the Class B Account Percentage and
(ii) the amount of Principal Funding Investment Proceeds, if any, with respect to the related Distribution Date, (b) the Class B Floating Percentage of the Collections of Finance Charge Receivables (other than Finance Charge Receivables allocated to
Servicer Interchange with respect to such Monthly Period) allocated to the Series 2001-1 Certificates (including any investment earnings that are to be treated as Collections of Finance Receivables in accordance with the Agreement) and (c) the
amount of funds, if any, to be withdrawn from the Reserve Account which, pursuant to Section 4.11(d), are required to be included in Class B Available Funds with respect to the related Distribution Date.

     “Class B Certificate Rate” shall mean, for any Interest Period, a per annum rate equal to LIBOR for such Interest Period plus 0.51%.

     “Class B Certificateholder” shall mean the Person in whose name a Class B Certificate is registered in the Certificate Register.

     “Class B Certificates” shall mean any one of the Certificates executed by the Bank and authenticated by or on behalf of the Trustee, substantially in the form of Exhibit A-2.

     “Class B Floating Percentage” shall mean, with respect to any Monthly Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, the numerator of
which is equal to the Class B Adjusted Invested Amount as of the close of business on the last day of the preceding Monthly Period and the denominator of which is equal to the Adjusted Invested Amount as of the close of business on such day;
provided, however, that, with respect to the first Monthly Period, the Class B Floating Percentage shall mean the Class B Initial
Percentage.

     “Class B Initial Invested Amount” shall mean the aggregate initial principal amount of the Class B Certificates, which is $120,000,000.

     “Class B Initial Percentage” shall mean the percentage equivalent of a fraction, the numerator of which is the Class B Initial Invested Amount and the denominator of which is the
Initial Invested Amount.

     “Class B Interest Shortfall” shall have the meaning specified in Section 4.02(b).

    “Class B Invested Amount” shall mean, on any date of determination, an amount equal to (a) the Class B Initial Invested Amount, minus (b) the aggregate amount of principal
payments made to the Class B Certificateholders prior to such date, minus (c) the aggregate amount of Class B Investor Charge-Offs for all prior Distribution Dates, minus (d) the aggregate amount of Reallocated Principal Collections
allocated on all prior Distribution Dates pursuant to Section 4.08(a) (excluding any Reallocated Principal Collections that have resulted in a reduction in the Collateral Invested Amount pursuant to Section 4.06(c)), minus (e) an amount equal
to the amount by which the Class B Invested Amount has been reduced on all prior Distribution Dates pursuant to Section 4.06(a), plus (f) the amount of Excess Spread and Excess Finance Charges allocated and available on all prior Distribution
Dates pursuant to Section 4.07(d) for the purpose of reimbursing amounts deducted pursuant to the foregoing clauses (c), (d) and (e); provided, however, that the Class B Invested Amount may not reduced below zero.

    “Class B Investor Charge-Offs” shall have the meaning specified in Section 4.06(b).

    “Class B Investor Default Amount” shall mean, with respect to each Distribution Date, an amount equal to the product of (i) the Investor Default Amount for the related Monthly Period and
(ii) the Class B Floating Percentage for such Monthly Period.

    “Class B Monthly Interest” shall have the meaning specified in Section 4.02(b).

    “Class B Monthly Principal” shall have the meaning specified in Section 4.03(b).

    “Class B Outstanding Additional Interest” shall mean, with respect to any Distribution Date, the amount of Class B Additional Interest previously due but not paid to the Class B
Certificateholders.

    “Class B Outstanding Monthly Interest” shall mean, with respect to any Distribution Date, the amount of Class B Monthly Interest previously due but not paid to the Class B
Certificateholders.

    “Class B Penalty Rate” shall mean, for any Interest Period, the sum of the Class B Certificate Rate for such Interest Period and 2.00% per annum.

    “Class B Principal Percentage” shall mean, with respect to any Monthly Period (i) during the Revolving Period, the percentage equivalent (which percentage shall never exceed 100%) of a
fraction, the numerator of which is the Class B Invested Amount as of the last day of the immediately preceding Monthly Period (or, in the case of the first Monthly Period, the Closing Date) and the denominator of which is the Invested Amount as of
such day and (ii) during the Accumulation Period or the Early Amortization Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, the numerator of which is the Class B Invested Amount as
of the last day of the Revolving Period, and the denominator of which is the Invested Amount as of such last day; provided, however, that, with respect to the first Monthly Period, the Class B Principal Percentage shall mean the Class
B Initial Percentage.

     “Class B Required Amount” shall have the meaning specified in Section 4.04(b). 

    “Class B Servicing Fee” shall have the meaning specified in Section 3.01.

    “Closing Date” shall mean February 28, 2001.

      “Collateral Account Percentage” shall mean, with respect to any date of determination, the percentage equivalent of a fraction,
the numerator of which is the aggregate amount with respect to Collateral Monthly Principal on deposit in the Principal Funding Account on such date (before giving effect to any deposit to be made to the Principal Funding Account on such date) and
the denominator of which is the Principal Funding Account Balance on such date (before giving effect to any deposit to be made to the Principal Funding Account on such date).

    “Collateral Additional Interest” shall have the meaning specified in Section 4.02(c).

     “Collateral Adjusted Invested Amount” shall mean, with respect to any date of determination, an amount not less than zero equal
to the Collateral Invested Amount less the excess, if any, of the Principal Funding Account Balance over the sum of the Class A Invested Amount and the Class B Invested Amount on such date.

     “Collateral Available Funds” shall mean, with respect to any Monthly Period, an amount equal to the sum of (a) an amount equal
to the product of (i) the Collateral Account Percentage and (ii) the amount of Principal Funding Investment Proceeds, if any, with respect to the related Distribution Date and (b) the Collateral Floating Percentage of the Collections of Finance
Charge Receivables (other than Finance Charge Receivables allocated to Servicer Interchange with respect to such Monthly Period) allocated to the Series 2001-1 Certificates (including any investment earnings that are to be treated as Collections of
Finance Charge Receivables in accordance with the Agreement).

     “Collateral Floating Percentage” shall mean, with respect to any Monthly Period, the percentage equivalent (which percentage
shall never exceed 100%) of a fraction, the numerator of which is the Collateral Adjusted Invested Amount as of the close of business on the last day of the preceding Monthly Period and the denominator of which is equal to the Adjusted Invested
Amount as of such day; provided, however, that with respect to the first Monthly Period, the Collateral Floating Percentage shall
mean the percentage equivalent of a fraction, the numerator of which is the Collateral Initial Invested Amount and the denominator of which is the Initial Invested Amount.

    “Collateral Initial Invested Amount” shall mean $105,000,000.

     “Collateral Interest” shall mean a fractional undivided interest in the Trust which shall consist of the right to receive (i) to the extent necessary to
make the required payments to a Collateral Interest Holder under this Supplement, the portion of Collections allocable thereto under the Agreement and this Supplement and funds on deposit in the Collection Account allocable thereto pursuant to the
Agreement and this Supplement and (ii) amounts available for

payment to the Collateral Interest Holder pursuant to, without duplication, Section 4.05 and subsections 4.07(j), 4.11(d)(iii), 4.11(e), 4.11(f), 8.01(b), 8.02(a) and 8.02(b).

     “Collateral Interest Holder” shall mean the entity so designated in the Transfer Agreement.

     “Collateral Interest Minimum Rate” shall mean a rate per annum specified in the Transfer Agreement not to exceed LIBOR for
one-month (or, with respect to the initial Interest Period, a two–week) United States dollar deposits, determined as of the related LIBOR Determination Date, plus 1.50%.

     “Collateral Interest Shortfall” shall have the meaning specified in subsection 4.02(c).

     “Collateral Invested Amount” shall mean, when used with respect to any date, an amount equal to (a) the Collateral Initial
Invested Amount, minus (b) the aggregate amount of principal payments made to the Collateral Interest Holder prior to such date, minus (c) an amount equal to the aggregate amount by which the Collateral Invested Amount has been reduced on all prior Distribution Dates pursuant to Section 4.06, plus (d) the
aggregate amount of Excess Finance Charges and Excess Spread allocated and available on all prior Distribution Dates pursuant to Section 4.07(h) for the purpose of reimbursing amounts deducted pursuant to the foregoing clause (c); provided, however, that the Collateral Invested Amount may not be reduced below zero.

     “Collateral Investor Default Amount” shall mean, with respect to each Distribution Date, an amount equal to the product of (i)
the Investor Default Amount for the related Monthly Period and (ii) the Collateral Floating Percentage for such Monthly Period.

     “Collateral Minimum Monthly Interest” shall have the meaning specified in Section 4.02(c).

     “Collateral Monthly Principal” shall have the meaning specified in Section 4.03(c).

     “Collateral Outstanding Additional Interest” shall mean, with respect to any Distribution Date, the amount of Collateral
Additional Interest previously due but not paid to the Collateral Interest Holder.

     “Collateral Outstanding Monthly Interest” shall mean, with respect to any Distribution Date, the amount of Collateral Minimum
Monthly Interest previously due but not paid to the Collateral Interest Holder.

    “Collateral Servicing Fee” shall have the meaning specified in Section 3.01.

     “Controlled Accumulation Amount” shall mean for any Distribution Date with respect to the Accumulation Period, $100,000,000;
provided, however, that, if the Accumulation

Period is modified pursuant to Section 4.03(f), (i) the Controlled Accumulation Amount for each Distribution Date with respect to the Accumulation Period shall mean the amount specified in accordance with such Section on the
date on which the Accumulation Period has most recently been modified, (ii) the Controlled Accumulation Amount for each related Monthly Period shall be no greater than the Accumulation Period Amount for such Monthly Period and (iii) the sum of the
Controlled Accumulation Amounts for all Distribution Dates with respect to the modified Accumulation Period shall not be less than the Initial Invested Amount. 

      “Controlled Deposit Amount” shall mean, for any Distribution Date with respect to the Accumulation Period, an amount equal to
the sum of the Controlled Accumulation Amount for such Distribution Date and any Deficit Controlled Accumulation Amount for the immediately preceding Distribution Date.  

      “Covered Amount” shall mean for any Distribution Date with respect to the Accumulation Period or the first Special Payment
Date, an amount equal to the sum of (a) the product of (i) the Class A Certificate Rate in effect for the related Interest Period, (ii) a fraction, the numerator of which is the actual number of days from and including the preceding Distribution
Date to but excluding such Distribution Date and the denominator of which is 360 and (iii) the aggregate amount on deposit in the Principal Funding Account with respect to Class A Monthly Principal, if any, as of the preceding Distribution Date,
plus (b) the product of (i) the Class B Certificate Rate in effect for the related Interest Period, (ii) a fraction, the numerator of which is the actual number of days from and including
the preceding Distribution Date to but excluding such Distribution Date and the denominator of which is 360 and (iii) the aggregate amount on deposit in the Principal Funding Account with respect to Class B Monthly Principal, if any, as of the
preceding Distribution Date, plus (c) the product of (i) the Collateral Interest Minimum Rate in effect for the related Interest Period, (ii) a fraction, the numerator of which is the actual
number of days from and including the preceding Distribution Date to but excluding such Distribution Date and the denominator of which is 360 and (iii) the aggregate amount on deposit in the Principal Funding Account with respect to Collateral
Monthly Principal, if any, as of the preceding Distribution Date.  

     “Cut-Off Date” shall mean February 1, 2001.  

     “Deficit Controlled Accumulation Amount” shall mean (a) on the first Distribution Date with respect to the Accumulation Period, the excess, if any, of the
Controlled Accumulation Amount for such Distribution Date over the amount distributed from the Collection Account as Class A Monthly Principal, Class B Monthly Principal and Collateral Monthly Principal for such Distribution Date and (b) on each
subsequent Distribution Date with respect to the Accumulation Period, the excess, if any, of the Controlled Deposit Amount for such subsequent Distribution Date plus any Deficit Controlled Accumulation Amount for the prior Distribution Date over the
amount distributed from the Collection Account as Class A Monthly Principal, Class B Monthly Principal and Collateral Monthly Principal for such subsequent Distribution Date.  

      “Early Amortization Period” shall mean the period commencing at the close of business on the Business Day immediately preceding
the day on which a Pay Out Event with  

respect to Series 2001-1 is deemed to have occurred and ending on the first to occur of (i) the payment in full to the Class A Certificateholders and the Class B Certificateholders of the Class A Invested Amount and the Class B
Invested Amount, respectively, and the payment in full to the Collateral Interest Holder of the Collateral Invested Amount, if any, or (ii) the Termination Date. 

      “Excess Shared Principal Collections” shall mean the excess of the Shared Principal Collections over the aggregate amount of
Principal Shortfalls for all Series, as defined in each related Supplement, which are Principal Sharing Series for such Distribution Date.  

      “Excess Spread” shall mean, with respect to any Distribution Date, the sum of the amounts, if any, specified pursuant to Sections 4.05(a)(iv), 4.05(b)(iii) and 4.05(c)(ii) with
respect to such Distribution Date.  

    “Expected Final Payment Date” shall mean the February 2008 Distribution Date.  

      “Expected Monthly Principal” shall be equal to the product of (i) the lowest of the monthly principal payment rates (determined
by dividing Collections of Principal Receivables during a calendar month by the amount of Principal Receivables in the Trust as of the last day of the preceding month, adjusted for additions and removals occurring after such last day), expressed as
a decimal for the 12 calendar months preceding the date of such calculation (or such lower principal payment rate as the Servicer may select) and (ii) the sum of the Initial Invested Amounts (as defined in the related Supplement) of all outstanding
Series, other than Variable Funding Series.  

     “Finance Charge Shortfall” shall have the meaning specified in Section 4.09.  

     “Fitch” shall mean Fitch, Inc.  

      “Floating Allocation Percentage” shall mean, with respect to any Monthly Period, the percentage equivalent (which percentage
shall never exceed 100%) of a fraction, the numerator of which is the Adjusted Invested Amount as of the last day of the preceding Monthly Period (or, with respect to the first Monthly Period, the Initial Invested Amount) and the denominator of
which is the sum of (i) the total amount of Principal Receivables in the Trust as of such day (or, with respect to the first Monthly Period, the Cut-Off Date) and (ii) the principal amount on deposit in the Excess Funding Account as of such last
day; provided, however, that if the Seller so designates, the amount calculated above pursuant to clause (i) of the denominator
shall be increased by the aggregate amount of Principal Receivables in Additional Accounts added to the Trust during such Monthly Period as though such Receivables had been added to the Trust as of the first day of such Monthly Period and decreased
by the aggregate amount of Principal Receivables removed from the Trust during such Monthly Period as though such Receivables had been removed from the Trust as of the first day of such Monthly Period.  

      “Group One” shall mean Series 2001-1 and each other series specified in the related Supplement to be included in Group One.
 

    “Initial Invested Amount” shall mean the sum of the Class A Initial Invested Amount, the Class B Initial Invested Amount and the
Collateral Initial Invested Amount.

    “Initial Servicing Fee” shall have the meaning specified in Section 3.01. 

     “Interest Payment Date” shall mean, with respect to the Class A Certificates, the Class B Certificates and the Collateral Interest,
the 15th day of each month (or, if such day is not a Business Day, the next succeeding Business Day), commencing on the March 2001 Distribution Date.

     “Interest Period” shall mean with respect to any Payment Date, the period from and including the Payment Date immediately preceding
such Payment Date (or, in the case of the first Payment Date, from and including the Closing Date) to but excluding such Payment Date.

     “Invested Amount” shall mean, as of any date of determination, an amount equal to the sum of (a) the Class A Invested Amount as of
such date, (b) the Class B Invested Amount as of such date and (c) the Collateral Invested Amount as of such date.

    “Investment Letter” shall have the meaning specified in subsection 10.07(a).

     “Investor Charge-Offs” shall mean Class A Investor Charge-Offs and Class B Investor Charge-Offs.

     “Investor Default Amount” shall mean, with respect to any Distribution Date, an amount equal to the product of (a) the Defaulted
Amount for the related Monthly Period and the Floating Allocation Percentage for such Monthly Period.

     “LIBOR” shall mean, as of any LIBOR Determination Date, the rate for deposits in United States dollars for a one-month (or, in the
case of the initial LIBOR Determination Date, a two-week) period which appears on Telerate Page 3750 as of 11:00 a.m., London time, on such date. If such rate does not appear on Telerate Page 3750, the rate for that LIBOR Determination Date shall be
determined on the basis of the rates at which deposits in United States dollars are offered by the Reference Banks at approximately 11:00 a.m., London time, on that day to prime banks in the London interbank market for a one-month period. The
Servicer shall request the principal London office of each of the Reference Banks to provide a quotation of its rate. If at least two such quotations are provided, the rate for that LIBOR Determination Date shall be the arithmetic mean of the
quotations. If fewer than two quotations are provided as requested, the rate for that LIBOR Determination Date shall be the arithmetic mean of the rates quoted by major banks in New York City, selected by the Servicer, at approximately 11:00 a.m.,
New York City time, on that day for loans in United States dollars to leading European banks for a one-month period; provided, however, that if the banks selected as aforesaid by the Servicer are not quoting as mentioned, the rate for that day shall be the rate then in effect on such LIBOR Determination Date.

     “LIBOR Determination Date” shall mean, for any Interest Period, the second London Business Day prior to the commencement of such
Interest Period (or, in the case of the initial Interest Period, the second London Business Day prior to the Closing Date).

 

      “London Business Day” shall mean a day on which dealings in deposits in United States dollars are transacted in the London
interbank market.  

      “Monthly Interest” means, with respect to any Distribution Date, the Class A Monthly Interest, the Class B Monthly Interest and
Collateral Minimum Monthly Interest, each for such Distribution Date.  

     “Monthly Servicing Fee” shall have the meaning specified in Section 3.01.  

      “Net Servicing Fee Rate” shall mean (i) so long as the Seller or The Bank of New York is the Servicer, 1.25% per annum and (ii) if the Seller or The Bank of New York is no longer
the Servicer, 2.00% per annum.  

      “Nonvariable Accumulation Series” shall mean each outstanding Series that is not a Variable Funding Series or a Variable
Accumulation Series.  

      “Payment Date” shall mean any Interest Payment Date and any Special Payment Date.  

      “Permitted Assignee” shall mean any Person who, if it were the Collateral Interest Holder or holder of an interest in the
Trust, as applicable, would not cause the Trust to be taxable as a publicly traded partnership for federal income tax purposes.  

      “Portfolio Adjusted Yield” shall mean, with respect to any Distribution Date, the average of the percentages obtained
for each of the three preceding Monthly Periods by subtracting the Base Rate for each such Monthly Period from the Portfolio Yield for each such Monthly Period, and deducting 0.50% from the result for each such Monthly Period.  

      “Portfolio Yield” shall mean, with respect to any Monthly Period, the annualized percentage equivalent of a fraction, the
numerator of which is equal to (a) an amount equal to the product obtained by multiplying the Floating Allocation Percentage with respect to such Monthly Period and the amount of Collections of Finance Charge Receivables with respect to such Monthly
Period (including any investment earnings and certain other amounts that are to be treated as Collections of Finance Charge Receivables in accordance with the Agreement) calculated on a billed basis, or, in the case of any such Collections
consisting of annual membership fees, on an amortized (rather than billed) basis, plus (b) the amount of any Principal Funding Investment Proceeds for the related Distribution Date,
plus (c) any Excess Finance Charges that are allocated to Series 2001-1 with respect to such Monthly Period, plus (d) the amount of
funds, if any, withdrawn from the Reserve Account which, pursuant to Section 4.11(d), are required to be included as Class A Available Funds or Class B Available Funds or paid to the Collateral Interest Holder for the Distribution Date with respect
to such Monthly Period, minus (e) the Investor Default Amount for the Distribution Date with respect to such Monthly Period, and the denominator of which is the Invested Amount as of the
last day of the preceding Monthly Period; provided, however, that for the first Monthly Period, the denominator is the Initial
Invested Amount.  

     “Principal Allocation Percentage” shall mean, with respect to any day during a Monthly Period, the percentage equivalent (which percentage shall never
exceed 100%) of a fraction, the numerator of which is (a) during the Revolving Period, the Invested Amount as of the last day of the immediately preceding Monthly Period (or, in the case of the first Monthly Period, the Cut-Off Date) and (b) after
the end of the Revolving Period, the Invested Amount as of the last day of the Revolving Period and the denominator of which is the greater of (i) the sum of the total amount of Principal Receivables in the Trust as of the last day of the
immediately preceding Monthly Period and the principal amount on deposit in the Excess Funding Account as of such last day (or, in the case of the first Monthly Period, the Cut-Off Date) and (ii) the sum of the numerators used to calculate the
principal allocation percentages for all Series outstanding as of the date as to which such determination is being made; provided, however, that if the Seller so designates, the amount calculated above pursuant to clause (i) of the denominator shall be increased by the aggregate amount of Principal Receivables in Additional Accounts added to the Trust during such Monthly
Period as though such Receivables had been added to the Trust as of the first day of such Monthly Period; provided further, however, that if after the commencement of the Accumulation Period or the Early Amortization Period a Pay Out Event occurs with respect to another Series that was designated in the Supplement therefor as a Series that is a “Paired
Series” with respect to Series 2001-1, the Seller may, by written notice delivered to the Trustee and the Servicer, designate a different numerator for the foregoing fraction, provided that (x) such numerator is not less than the Adjusted
Invested Amount as of the last day of the revolving period for such Paired Series and (y) the Seller shall have received written notice from each Rating Agency that such designation will not have a Ratings Effect and shall have delivered copies of
each such written notice to the Servicer and the Trustee and the Seller shall have delivered to the Trustee an Officer’s Certificate to the effect that, based on the facts known to such officer at that time, in the reasonable belief of the
Seller, such designation will not cause a Pay Out Event or an event that, after the giving of notice or the lapse of time, would constitute a Pay Out Event, to occur with respect to Series 2001-1. 

      “Principal Funding Account” shall have the meaning set forth in Section 4.03(d)(i).  

      “Principal Funding Account Balance” shall mean, with respect to any date of determination during the Accumulation Period, the
principal amount, if any, on deposit in the Principal Funding Account on such date of determination.  

      “Principal Funding Investment Proceeds” shall have the meaning specified in Section 4.03(d)(ii).  

      “Principal Shortfall” shall have the meaning specified in Section 4.10.  

      “Prospectus” shall mean the prospectus and the prospectus supplement as filed with the Securities and Exchange Commission under
Rule 424(b) of the Securities Act relating to the Series 2001-1 Certificates.  

      “Reallocated Principal Collections” shall mean, with respect to any Monthly Period, the product of (a) the Principal Allocation Percentage with respect to such Monthly Period, (b)
the aggregate amount of Collections in respect of Principal Receivables deposited in the Collection Account for such Monthly Period and (c) the sum of the Class B Floating Percentage and the Collateral Floating Percentage with respect to such
Monthly Period.  

      “Reassignment Amount” shall mean, with respect to any Distribution Date, after giving effect to any deposits and distributions
otherwise to be made on such Distribution Date, the sum of (i) the Adjusted Invested Amount on such Distribution Date, plus (ii) Monthly Interest for such Distribution Date and any Monthly
Interest previously due but not distributed to the Series 2001-1 Certificateholders and the Collateral Interest Holder on a prior Distribution Date, plus (iii) the amount of Additional
Interest, if any, for such Distribution Date and any Additional Interest previously due but not distributed to the Series 2001-1 Certificateholders and the Collateral Interest Holder on a prior Distribution Date.  

      “Reference Banks” shall mean four major banks in the London interbank market selected by the Servicer.  

      “Required Reserve Account Amount” shall mean, with respect to any Distribution Date prior to the Reserve Account Funding Date,
$0, and on or after the Reserve Account Funding Date, an amount equal to (a) 0.50% of the Invested Amount as of the preceding Distribution Date (after giving effect to all changes therein on such date), or (b) any other amount designated by the
Seller, provided that, if such designation is of a lesser amount, the Seller (i) shall have received written notice from each Rating Agency that such designation will not have a Ratings Effect and shall have delivered copies of each such written
notice to the Servicer and the Trustee, and (ii) shall have delivered to the Trustee a certificate of an authorized officer to the effect that, based on the facts known to such officer at such time, in the reasonable belief of the Seller, such
designation will not cause a Pay Out Event or an event that, after the giving of notice or the lapse of time, would cause a Pay Out Event, to occur with respect to Series 2001-1.  

     “Reserve Account” shall have the meaning specified in Section 4.11(a).  

      “Reserve Account Funding Date” shall mean the Distribution Date with respect to the Monthly Period which commences 12 months
prior to the Monthly Period which as of the related Determination Date is scheduled to commence the Accumulation Period in accordance with Section 4.03(f) provided that the Seller may delay the Reserve Account Funding Date to the Distribution Date
with respect to the Monthly Period which occurs not later than the number of months prior to the scheduled commencement date of the Accumulation Period determined in accordance with the following schedule:  

	 Portfolio Adjusted Yield	 Number of Months

	 	 (rounded up to nearest whole number)

	 Less than 2%	  12

	 2% or more, but less than 3%	  6

	 3% or more, but less than 4%	  4

	 4% or more	  3

      “Reserve Account Surplus” shall mean, as of any date of determination, the amount, if any, by which the amount on deposit in
the Reserve Account exceeds the Required Reserve Account Amount.  

      “Reserve Draw Amount” shall have the meaning specified in Section 4.11(c).  

      “Revolving Period” shall mean the period beginning at the close of business on the Cut-Off Date and ending on the earlier of
(a) the close of business on the day the Accumulation Period commences and (b) the close of business on the day the Early Amortization Period commences.  

      “Series 2001-1” shall mean the Series of Investor Certificates, the terms of which are specified in this Supplement, and shall include the Class A Certificates, the Class B
 Certificates and the Collateral Interest.  

      “Series 2001-1 Certificateholder” shall mean a Class A Certificateholder or a Class B Certificateholder.  

      “Series 2001-1 Certificate” shall mean a Class A Certificate or a Class B Certificate.  

      “Series 2001-1 Holder” shall mean a Class A Certificateholder, a Class B Certificateholder or a Collateral Interest Holder.  

      “Series 2001-1 Interests” shall mean the Class A Certificates, the Class B Certificates and the Collateral Interest.  

      “Servicer Interchange” shall mean, for any Monthly Period, the product of (a) the Floating Allocation Percentage for such
Monthly Period and (b) the portion of Collections of Finance Charge Receivables allocated to the Series 2001-1 Certificates and the Collateral Interest with respect to such Monthly Period that is attributable to Interchange; provided, however, that Servicer Interchange for a Monthly Period shall not exceed one-twelfth of the product of (i) the Servicing Base Amount as
of the last day of such Monthly Period and (ii) 0.75%.  

      “Servicing Base Amount” shall have the meaning specified in Section 3.01.  

      “Servicing Fee Rate” shall mean 2.00%.  

      “Special Payment Date” shall mean each Distribution Date with respect to the Early Amortization Period.  

      “Telerate Page 3750” shall mean the display page currently so designated on the Bridge Telerate Market Report (or such other
page as may replace that page on that service for the purpose of displaying comparable rates or prices).  

      “Termination Date” shall mean the December 2010 Distribution Date.  

      “Transfer” shall have the meaning specified in subsection 10.07(a).  

      “Transfer Agreement” shall mean the Transfer and Administration Agreement, dated as of February 28, 2001, between Capital One
Bank, as Transferor and Administrator, and Capital One Secured Note Trust 2001-1, as amended or modified from time to time, relating to the transfer of the Collateral Interest.  

      “Variable Accumulation Series” shall mean each outstanding Series, other than any Variable Funding Series, for which, pursuant
to the terms of the related Supplement, at the time a determination is made pursuant to Section 4.03(f), the commencement date of the Accumulation Period may be changed.  

      “Variable Funding Series” shall mean any Series designated in the related Supplement as a Variable Funding Series.  

      (b) Notwithstanding anything to the contrary in this Supplement or the Agreement, the term “Rating Agency” shall mean, whenever used in this Supplement or the Agreement with respect to
Series 2001-1, Moody’s and Standard & Poor’s and Fitch. As used in this Supplement and in the Agreement with respect to Series 2001-1, “highest investment category” shall mean (i) in the case of Standard & Poor’s,
A-1+, AAA, AAAm or AAAm-G, as applicable, (ii) in the case of Moody’s, P-1 or Aaa, as applicable and (iii) in the case of Fitch, if rated by Fitch, F1+ or AAA, as applicable. 

      (c) Notwithstanding any provision of the Agreement or this Supplement, the term “Paying Agent” when used in the Agreement or this Supplement with respect to Series 2001-1, shall mean,
the Paying Agent specified pursuant to the Agreement, and any successor paying agents with respect to the Class A Certificates, the Class B Certificates and the Collateral Interest as the Seller may appoint from time to time in accordance with the
provisions of the Pooling and Servicing Agreement. 

      (d) All capitalized terms used herein and not otherwise defined herein have the meanings ascribed to them in the Agreement.

      (e) The words “hereof,” “herein” and “hereunder” and words of similar import when used in this Supplement shall refer to this Supplement as a whole and not to any
particular provision of this Supplement; references to any Article, Section or Exhibit are references to Articles, Sections and Exhibits in or to this Supplement unless otherwise specified; and the term “including” means “including
without limitation.” 

      Section 2.02. Amendment to Section 2.08 of the Agreement. Section 2.08(c)(i) of the Agreement is hereby amended and
restated in its entirety to read as follows: 

      (c) Automatic Additional Accounts. (i) The Seller may from time to time, at its sole discretion, subject to and in compliance with the
limitations specified in clause 

 (ii) below and the applicable conditions specified in paragraph (d) below, designate Eligible Accounts to be included as Accounts as of the applicable Additional Cut-Off Date. For purposes of this paragraph, Eligible Accounts
shall be deemed to include only consumer revolving credit card accounts or other consumer revolving credit accounts which (x) are originated by the Seller or any Affiliate of the Seller, (y) are of a type included as Initial Accounts or which have
previously been included in any Addition which has been effected in accordance with all of the conditions specified in paragraph (d) below and (z) have a designation other than “Associate 20,” “Associate 21,” “Associate
195,” “Associate 196,” “Associate 197,” “Associate 198,” “Associate 199,” “Associate 289,” “Associate 290,” “Associate 291,” “Associate 292,” “Associate
293,” “Associate 294,” “Associate 295,” “Associate 296,” “Associate 297,” “Associate 298” or “Associate 299” marketing programs in the Seller’s credit card master file. 

 ARTICLE III  

 Servicer and Trustee 

      Section 3.01. Servicing Compensation. The share of the Servicing Fee allocable to the Series 2001-1 Certificateholders
and the Collateral Interest Holder with respect to any Distribution Date (the “Monthly Servicing Fee”) shall be equal to one-twelfth of the product of (a) the Servicing Fee Rate and (b) the Adjusted Invested Amount, if any, as of the last
day of the Monthly Period preceding such Distribution Date (the amount calculated pursuant to this clause (b) is referred to as the “Servicing Base Amount”); provided,
however, with respect to the first Distribution Date, the Monthly Servicing Fee (the “Initial Servicing Fee”) shall be equal to $200,000.00. On each Distribution Date, but only if
the Seller or The Bank of New York is the Servicer, Servicer Interchange with respect to the related Monthly Period that is on deposit in the Collection Account shall be withdrawn from the Collection Account and paid to the Servicer in payment of a
portion of the Monthly Servicing Fee with respect to such Monthly Period. In the case of any insufficiency of Servicer Interchange on deposit in the Collection Account, a portion of the Monthly Servicing Fee with respect to such Monthly Period will
not be paid to the extent of such insufficiency of Servicer Interchange. The share of the Monthly Servicing Fee allocable to the Class A Certificateholders (after giving effect to the distribution of Servicer Interchange, if any, to the Servicer)
with respect to any Distribution Date (the “Class A Servicing Fee”) shall be equal to one-twelfth of the product of (a) the Class A Floating Percentage, (b) the Net Servicing Fee Rate and (c) the Servicing Base Amount; provided, however, that with respect to the first Distribution Date, the Class A Servicing Fee shall be equal to $101,562.50. The share of the
Monthly Servicing Fee allocable to the Class B Certificateholders (after giving effect to the distribution of Servicer Interchange, if any, to the Servicer) with respect to any Distribution Date (the “Class B Servicing Fee”) shall be equal
to one-twelfth of the product of (a) the Class B Floating Percentage, (b) the Net Servicing Fee Rate and (c) the Servicing Base Amount; provided, however, that with respect to the first Distribution Date, the Class B Servicing Fee shall be equal to $12,500.00. The share of the Monthly Servicing Fee allocable to the Collateral Interest Holder (after
giving effect to the distribution of Servicer Interchange, if any, to the Servicer) with respect to such Distribution Date (the “Collateral Servicing Fee”) shall be equal to one-twelfth of the product of (c) the Collateral Floating
Percentage, (b) the Net Servicing Fee Rate and (c) the Servicing Base Amount; provided, however, that with respect to the first
Distribution Date, the Collateral Servicing Fee shall be equal to $10,937.50. The remainder of 

the Servicing Fee shall be paid by the Seller or the Certificateholders of other Series (as provided in the related Supplements) and in no event shall the Trust, the Trustee, the Series 2001-1 Certificateholders or the
Collateral Interest Holder be liable for the share of the Servicing Fee to be paid by the Seller or the Certificateholders of any other Series. The (i) Class A Servicing Fee shall be payable to the Servicer solely to the extent amounts are available
for distribution in respect thereof pursuant to Section 4.05(a)(ii), 4.07(a) or 4.08(a); (ii) Class B Servicing Fee shall be payable solely to the extent amounts are available for distribution in respect thereof pursuant to Section 4.05(b)(ii),
4.07(c) or 4.08(b); and (iii) Collateral Servicing Fee shall be payable solely to the extent amounts are available for distribution in respect thereof pursuant to Section 4.05(c)(i) or 4.07(f). 

 ARTICLE IV  

 Rights of Series 2001-1 Certificateholders and

Collateral Interest Holder and

 Allocation and Application of Collections 

      Section 4.01. Collections and Allocations. The Servicer will apply, or will instruct the Trustee to apply, all
Collections and other funds on deposit in the Collection Account that are allocated to the Series 2001-1 Certificates and the Collateral Interest as described in this Article IV. 

      Section 4.02. Determination of Monthly Interest. 

      (a) The amount of monthly interest (“Class A Monthly Interest”) distributable from the Collection Account with respect to the Class A Certificates on any Distribution Date shall be an
amount equal to the product of (i) a fraction, the numerator of which is the actual number of days in the period from and including the preceding Distribution Date to but excluding such Distribution Date and the denominator of which is 360, (ii) the
Class A Certificate Rate for the related Interest Period and (iii) the outstanding principal balance of the Class A Certificates as of the preceding Record Date; provided, however, that, with respect to the first Distribution Date, Class A Monthly Interest shall be $2,325,273.44.  

      On the Determination Date preceding each Payment Date, the Servicer shall determine the excess, if any (the “Class A Interest Shortfall”), of (x) the Class A Monthly Interest for the
Interest Period applicable to such Payment Date over (y) the aggregate amount of funds allocated and available to pay such Class A Monthly Interest on such Payment Date. If the Class A
Interest Shortfall with respect to any Payment Date is greater than zero, an additional amount (“Class A Additional Interest”) equal to the product of (i) a fraction, the numerator of which is the actual number of days in the period from
and including the preceding Distribution Date to but excluding such Distribution Date and the denominator of which is 360, (ii) the Class A Penalty Rate and (iii) such Class A Interest Shortfall (or the portion thereof which has not been paid to
Class A Certificateholders) shall be payable as provided herein with respect to the Class A Certificates on each Distribution Date following such Payment Date to and including the Payment Date on which such Class A Interest Shortfall is paid to
Class A Certificateholders. Notwithstanding anything to the contrary herein, Class A Additional Interest shall be payable or distributed to Class A Certificateholders only to the extent permitted by applicable law. 

      (b) The amount of monthly interest (“Class B Monthly Interest”) distributable from the Collection Account with respect to the Class B Certificates on any Distribution Date shall be an
amount equal to the product of (i) a fraction, the numerator of which is the actual number of days in the period from and including the preceding Distribution Date to but excluding such Distribution Date and the denominator of which is 360, (ii) the
Class B Certificate Rate for the related Interest Period and (iii) the outstanding principal balance of the Class B Certificates as of the preceding Record Date; provided, however, that, with respect to the first Distribution Date, Class B Monthly Interest shall be $301,687.50.  

      On the Determination Date preceding each Payment Date, the Servicer shall determine the excess, if any (the “Class B Interest Shortfall”), of (x) the Class B Monthly Interest for the
Interest Period applicable to such Payment Date over (y) the aggregate amount of funds allocated and available to pay such Class B Monthly Interest on such Payment Date. If the Class B
Interest Shortfall with respect to any Payment Date is greater than zero, an additional amount (“Class B Additional Interest”) equal to the product of (i) a fraction, the numerator of which is the actual number of days from and including
the preceding Distribution Date to but excluding such Distribution Date and the denominator of which is 360, (ii) the Class B Penalty Rate and (iii) such Class B Interest Shortfall (or the portion thereof which has not been paid to Class B 
Certificateholders) shall be payable as provided herein with respect to the Class B Certificates on each Distribution Date following such Payment Date to and including the Payment Date on which such Class B Interest Shortfall is
paid to Class B Certificateholders. Notwithstanding anything to the contrary herein, Class B Additional Interest shall be payable or distributed to Class B Certificateholders only to the extent permitted by applicable law.
 

      (c) The amount of monthly interest (“Collateral Minimum Monthly Interest”) distributable from the Collection Account with respect to the Collateral Interest on any Distribution Date
shall be an amount equal to the product of (i) the Collateral Interest Minimum Rate in effect for the related Interest Period, (ii) a fraction, the numerator of which is the actual number of days from and including the preceding Distribution Date to
but excluding such Distribution Date and the denominator of which is 360 and (iii) the outstanding principal balance of the Collateral Interest as of the preceding Record Date; provided,
however, that, with respect to the first Distribution Date, Collateral Minimum Monthly Interest shall be equal to the interest accrued on the Collateral Initial Invested Amount at the
Collateral Interest Minimum Rate for the period from the Closing Date to but excluding the initial Distribution Date. 

      On the Determination Date preceding each Distribution Date, the Servicer shall determine the excess, if any (the “Collateral Interest Shortfall”), of (x) the Collateral Minimum Monthly
Interest for such Distribution Date over (y) the aggregate amount of funds allocated and available to pay such Collateral Minimum Monthly Interest on such Distribution Date. If the
Collateral Interest Shortfall for any Distribution Date is greater than zero, an additional amount (“Collateral Additional Interest”) equal to the product of (i) a fraction, the numerator of which is the actual number of days from and
including the preceding Distribution Date to but excluding such Distribution Date and the denominator of which is 360, (ii) the Collateral Interest Minimum Rate in effect for the related Interest Period and (iii) such Collateral Interest Shortfall
(or the portion thereof which has not been paid to the Collateral Interest Holder) shall be payable as provided herein with respect to the Collateral Interest on each Distribution Date following such 

Distribution Date to and including the Distribution Date on which such Collateral Interest Shortfall is paid to the Collateral Interest Holder. Notwithstanding anything to the contrary herein, Collateral Additional Interest
shall be payable or distributed to the Collateral Interest Holder only to the extent permitted by applicable law. 

      Section 4.03. Determination of Monthly Principal; Series 2001-1 Accounts.
 

      (a) The amount of monthly principal (“Class A Monthly Principal”) distributable from the Collection Account with respect to the Class A Certificates on each Distribution Date, beginning
with the first to occur of (i) the first Special Payment Date, if any, and (ii) the first Distribution Date with respect to the Accumulation Period, shall be equal to the least of (x) the Available Investor Principal Collections on deposit in the
Collection Account with respect to such Distribution Date, (y) for each Distribution Date with respect to the Accumulation Period (and on or prior to the Expected Final Payment Date), the Controlled Deposit Amount for such Distribution Date and (z)
the Class A Adjusted Invested Amount on such Distribution Date. 

      (b) The amount of monthly principal (“Class B Monthly Principal”) distributable from the Collection Account with respect to the Class B Certificates on each Distribution Date, beginning
with the first to occur of (i) the first Special Payment Date, if any, on which the Class A Invested Amount is paid in full, and (ii) the first Distribution Date with respect to the Accumulation Period on which the Principal Funding Account Balance
is at least equal to the Class A Invested Amount, shall be equal to the least of (x) the Available Investor Principal Collections on deposit in the Collection Account with respect to such Distribution Date (minus the portion of such Available
Investor Principal Collections applied to Class A Monthly Principal with respect to such Distribution Date), (y) for each Distribution Date with respect to the Accumulation Period, the Controlled Deposit Amount for such Distribution Date (minus the
Class A Monthly Principal with respect to such Distribution Date) and (z) the Class B Adjusted Invested Amount on such Distribution Date. 

      (c) The amount of monthly principal (“Collateral Monthly Principal”) distributable from the Collection Account with respect to the Collateral Interest on each Distribution Date,
beginning with the first to occur of (i) the first Special Payment Date, if any, on which the Class B Invested Amount is paid in full, and (ii) the first Distribution Date with respect to the Accumulation Period on which the Principal Funding
Account Balance is at least equal to the sum of the Class A Invested Amount and the Class B Invested Amount, shall be equal to the least of (x) the Available Investor Principal Collections on deposit in the Collection Account with respect to such
Distribution Date (minus the portion of such Available Investor Principal Collections applied to Class A Monthly Principal and Class B Monthly Principal with respect to such Distribution Date), (y) for each Distribution Date with respect to the
Accumulation Period, the Controlled Deposit Amount for such Distribution Date (minus the Class A Monthly Principal and Class B Monthly Principal with respect to such Distribution Date) and (z) the Collateral Adjusted Invested Amount on such
Distribution Date. 

      (d) (i) The Servicer, for the benefit of the Series 2001-1 Holders, shall establish and maintain in the name of the Trustee, on behalf of the Trust, an Eligible  

 Deposit Account (the “Principal Funding Account”), bearing a designation clearly indicating that the funds deposited therein are held for the benefit of Series 2001-1 Holders. The Principal Funding Account shall
initially be established with The Bank of New York.  

      (ii) At the direction of the Servicer, funds on deposit in the Principal Funding Account shall be invested by the Trustee in Eligible Investments selected by the Servicer. All such Eligible
Investments shall be held by the Trustee for the benefit of the Series 2001-1 Holders; provided that on each Distribution Date all interest and other investment income (net of losses and
investment expenses) (“Principal Funding Investment Proceeds”) on funds on deposit therein shall be applied as set forth in paragraph (iii) below. Funds on deposit in the Principal Funding Account shall be invested in Eligible Investments
that will mature so that such funds will be available at the close of business on the Transfer Date preceding the following Distribution Date. The Trustee shall (i) hold each Eligible Investment that constitutes investment property through a
securities intermediary, which securities intermediary shall agree with the Trustee that (A) such investment property shall at all times be credited to a securities account of the Trustee, (B) such securities intermediary shall treat the Trustee as
entitled to exercise the rights that comprise each financial asset credited to such securities account, (C) all property credited to such securities account shall be treated as a financial asset, (D) such securities intermediary shall comply with
entitlement orders originated by the Trustee without the further consent of any other person or entity, (E) such securities intermediary shall not agree with any person other than the Trustee to comply with entitlement orders originated by such
other person, (F) such securities intermediary waives any lien on, security interest in, or right of set-off with respect to any property credited to such securities account, and (G) such agreement shall be governed by the laws of the State of New
York; and (ii) maintain possession of each other Eligible Investment not described in clause (i) above. Terms used in clause (i) above that are defined in the New York UCC and not otherwise defined herein shall have the meaning set forth in the New
York UCC. No Eligible Investment shall be disposed of prior to its maturity; provided, however, that the Trustee may sell,
liquidate or dispose of an Eligible Investment before its maturity, if so directed by the Servicer, the Servicer having reasonably determined that (i) the interest of the Series 2001-1 Holders may be adversely affected if such Eligible Investment is
held to its maturity and (ii) the primary purpose of such sale, liquidation or disposition is not recognizing gains or decreasing losses resulting from market value changes. Unless the Servicer directs otherwise, funds deposited in the Principal
Funding Account on a Transfer Date (which immediately precedes a Payment Date) upon the maturity of any Eligible Investments are not required to be invested overnight.  

      (iii) On each Distribution Date with respect to the Accumulation Period, the Servicer shall direct the Trustee to withdraw from the Principal Funding Account and deposit into the Collection
Account all Principal Funding Investment Proceeds then on deposit in the Principal Funding Account and such Principal Funding Investment  

 Proceeds shall be treated as a portion of Class A Available Funds, Class B Available Funds and Collateral Available Funds.  

      (iv) Reinvested interest and other investment income on funds deposited in the Principal Funding Account shall not be considered to be principal amounts on deposit therein for purposes of this
Supplement.  

      (e) (i) The Trustee shall possess all right, title and interest in all funds on deposit from time to time in the Principal Funding Account and in all proceeds thereof. The Principal Funding
Account shall be under the sole dominion and control of the Trustee for the benefit of the Series 2001-1 Holders. If, at any time, the Principal Funding Account ceases to be an Eligible Deposit Account, the Trustee (or the Servicer on its behalf)
shall within 10 Business Days (or such longer period, not to exceed 30 calendar days, as to which each Rating Agency may consent) establish a new Principal Funding Account meeting the conditions specified in paragraph (d)(i) above as an Eligible
Deposit Account and shall transfer any cash and/or any investments to such new Principal Funding Account.  

      (ii) Pursuant to the authority granted to the Servicer in Section 3.01(b) of the Agreement, the Servicer shall have the power, revocable by the Trustee, to make withdrawals and payments or to
instruct the Trustee to make withdrawals and payments from the Principal Funding Account for the purposes of carrying out the Servicer’s or Trustee’s duties hereunder. Pursuant to the authority granted to the Paying Agent in Section 5.01
of this Supplement and Section 6.07 of the Agreement, the Paying Agent shall have the power, revocable by the Trustee, to withdraw funds from the Principal Funding Account for the purpose of making distributions to the Series 2001-1 Holders. 

      (f) The Accumulation Period is scheduled to commence at the close of business on the last day of the January 2007 Monthly Period; provided, however, that if the Accumulation Period Length on any Determination Date (determined as described below) is less than twelve (12) months, upon notice to the Trustee, the Seller and each Rating Agency, the Servicer, at its
option, may elect to modify the date on which the Accumulation Period actually commences to the last Business Day of any month that precedes the month that is the number of months prior to the Expected Final Payment Date equal to the Accumulation
Period Length; provided, however, that (i) the length of the Accumulation Period will not be less than one month; and (ii)
notwithstanding any other provision of this Supplement to the contrary, no election to postpone the commencement of the Accumulation Period shall be made after a Pay Out Event (as defined in the related Supplement) shall have occurred and is
continuing with respect to any other Series. On each Determination Date, the Servicer will determine the “Accumulation Period Length” which will equal the number of months such that the Accumulation Period Amount for the Monthly Period
immediately preceding the Expected Final Payment Date, when aggregated with the Accumulation Period Amounts for each preceding Monthly Period, will equal or exceed the Initial Invested Amount. Any notice by the Servicer electing to modify the
commencement of the Accumulation Period pursuant to this subsection (f) shall specify (i) the Accumulation Period Length, (ii) the commencement date of the  

 Accumulation Period and (iii) the Controlled Accumulation Amount with respect to each Monthly Period during the Accumulation Period.  

      Section 4.04. Required Amount. 

      (a) With respect to each Distribution Date, on the related Determination Date, the Servicer shall determine the amount (the “Class A Required Amount”), if any, by which (x) the sum of
(i) Class A Monthly Interest for such Distribution Date, (ii) any Class A Outstanding Monthly Interest, (iii) any Class A Additional Interest for such Distribution Date and any Class A Outstanding Additional Interest, (iv) the Class A Servicing Fee
for such Distribution Date, (v) any Class A Servicing Fee previously due but not paid to the Servicer and (vi) the Class A Investor Default Amount, if any, for such Distribution Date exceeds (y) the Class A Available Funds. In the event that the
Class A Required Amount for such Distribution Date is greater than zero, the Servicer shall give written notice to the Trustee of such positive Class A Required Amount on the date of computation and all or a portion of the Excess Spread and the
Excess Finance Charges allocable to Series 2001-1 with respect to the related Monthly Period in an amount equal to the Class A Required Amount for such Distribution Date shall be distributed from the Collection Account on such Distribution Date
pursuant to Section 4.07(a). In the event that the Class A Required Amount for such Distribution Date exceeds the amount of Excess Spread and the amount of Excess Finance Charges allocable to Series 2001-1 with respect to the related Monthly Period,
all or a portion of the Reallocated Principal Collections with respect to such Monthly Period in an amount equal to such excess shall be distributed from the Collection Account on such Distribution Date pursuant to Section 4.08(a). 

      (b) With respect to each Distribution Date, on the related Determination Date, the Servicer shall determine the amount (the “Class B Required Amount”) equal to the sum of (x) the amount,
if any, by which (A) the sum of (i) Class B Monthly Interest for such Distribution Date, (ii) any Class B Outstanding Monthly Interest, (iii) any Class B Additional Interest for such Distribution Date and any Class B Outstanding Additional Interest,
(iv) the Class B Servicing Fee for such Distribution Date and (v) any Class B Servicing Fee previously due but not paid to the Servicer exceeds (B) the Class B Available Funds and (y) the Class B Investor Default Amount for such Distribution Date.
In the event that the Class B Required Amount for such Distribution Date exceeds the portion of Excess Spread and Excess Finance Charges allocated to Series 2001-1 with respect to such Monthly Period and not used to fund the Class A Required Amount,
then a portion of the Reallocated Principal Collections with respect to such Monthly Period shall be distributed from the Collection Account on such Distribution Date pursuant to Section 4.08(b). 

      Section 4.05. Application of Class A Available Funds, Class B Available Funds, Collateral Available Funds and Available Investor Principal Collections. The Servicer shall apply (if the Seller is the Servicer and the Collection Account is maintained with the Seller) or
shall cause the Trustee to apply, on each Distribution Date, Class A Available Funds, Class B Available Funds, Collateral Available Funds, and Available Investor Principal Collections on deposit in the Collection Account with respect to such
Distribution Date to make the following distributions: 

     (a) On each Distribution Date, an amount equal to the Class A Available Funds with respect to such Distribution Date will be distributed in the following priority: 

      (i) an amount equal to Class A Monthly Interest for such Distribution Date, plus the amount of any Class A Outstanding Monthly Interest,
plus the amount of any Class A Additional Interest for such Distribution Date and any Class A Outstanding Additional Interest, shall be distributed to the Paying Agent with respect to the
Class A Certificates for payment to the Class A Certificateholders; 

      (ii) an amount equal to the Class A Servicing Fee for such Distribution Date, plus the amount of any Class A Servicing Fee previously due
but not distributed to the Servicer on a prior Distribution Date, shall be distributed to the Servicer (unless such amount has been netted against deposits to the Collection Account in accordance with Section 4.03 of the Agreement); 

      (iii) an amount equal to the Class A Investor Default Amount for such Distribution Date shall be treated as a portion of Available Investor Principal Collections for such Distribution Date; and

      (iv) the balance, if any, shall constitute Excess Spread and shall be allocated and distributed as set forth in Section 4.07. 

      (b) On each Distribution Date, an amount equal to the Class B Available Funds with respect to such Distribution Date will be distributed in the following priority: 

      (i) an amount equal to Class B Monthly Interest for such Distribution Date, plus the amount of any Class B Outstanding Monthly Interest,
plus the amount of any Class B Additional Interest for such Distribution Date and any Class B Outstanding Additional Interest, shall be distributed to the Paying Agent with respect to the
Class B Certificates for payment to the Class B Certificateholders; 

      (ii) an amount equal to the Class B Servicing Fee for such Distribution Date, plus the amount of any Class B Servicing Fee previously due
but not distributed to the Servicer on a prior Distribution Date, shall be distributed to the Servicer (unless such amount has been netted against deposits to the Collection Account in accordance with Section 4.03 of the Agreement); and 

      (iii) the balance, if any, shall constitute Excess Spread and shall be allocated and distributed as set forth in Section 4.07. 

      (c) On each Distribution Date, an amount equal to the Collateral Available Funds with respect to such Distribution Date will be distributed in the following priority: 

      (i) an amount equal to the Collateral Servicing Fee for such Distribution Date, plus the amount of any Collateral Servicing Fee
previously due but not distributed to the Servicer on a prior Distribution Date, shall be distributed to the 

 
 Servicer (unless such amount has been netted against deposits to the Collection Account in accordance with Section 4.03 of the Agreement); and  

     (ii) the balance, if any, shall constitute Excess Spread and shall be allocated and distributed as set forth in Section 4.07.  

     (d) On each Distribution Date with respect to the Revolving Period, an amount equal to the Available Investor Principal Collections deposited in the Collection Account for the related Monthly
Period shall be treated as Shared Principal Collections and applied in accordance with Section 4.04 of the Agreement.

      (e) On each Distribution Date with respect to the Accumulation Period or the Early Amortization Period, an amount equal to the Available Investor Principal Collections deposited in the Collection
Account for the related Monthly Period will be distributed in the following priority:  

      (i) an amount equal to Class A Monthly Principal for such Distribution Date, up to the Class A Adjusted Invested Amount on such Distribution Date, shall be deposited in the Principal Funding
Account or, if such Distribution Date is a Special Payment Date on which the Principal Funding Account Balance is zero, shall be distributed to the Paying Agent for payment to the Class A Certificateholders;  

     (ii) after giving effect to paragraph (i) above, an amount equal to Class B Monthly Principal for such Distribution Date, up to the Class B Adjusted Invested Amount on such Distribution Date, shall
be deposited in the Principal Funding Account or, if such Distribution Date is a Special Payment Date on which the Principal Funding Account Balance is zero, shall be distributed to the Paying Agent for payment to the Class B Certificateholders;
 

      (iii) after giving effect to paragraphs (i) and (ii) above, an amount equal to Collateral Monthly Principal for such Distribution Date, up to the Collateral Adjusted Invested Amount on such
Distribution Date, shall be deposited in the Principal Funding Account or, if such Distribution Date is a Special Payment Date on which the Principal Funding Account Balance is zero, shall be distributed to the Paying Agent for payment to the
Collateral Interest Holder; and  

     (iv) for each Distribution Date, after giving effect to paragraphs (i), (ii) and (iii) above, an amount equal to the balance, if any, of such Available Investor Principal Collections then on
deposit in the Collection Account shall be treated as Shared Principal Collections and applied in accordance with Section 4.04 of the Agreement.  

      Section 4.06. Defaulted Amounts; Investor Charge-Offs.  

                        (a) On each Determination Date, the Servicer shall calculate the Class A Investor
Default Amount, if any, for the related Distribution Date. If, on any Distribution Date, the Class A Required Amount for such Distribution Date exceeds the sum of (x) the amount of  

Reallocated Principal Collections with respect to the related Monthly Period and (y) the amount of Excess Spread and the Excess Finance Charges allocable to Series 2001-1 with respect to such Monthly Period, the Collateral
Invested Amount will be reduced by the amount of such excess, but not by more than the excess of the Class A Investor Default Amount for the related Distribution Date over the amount of
Reallocated Principal Collections and the amount of Excess Spread and Excess Finance Charges used to fund the Class A Investor Default Amount for such Distribution Date. In the event that such reduction would cause the Collateral Invested Amount to
be a negative number, the Collateral Invested Amount will be reduced to zero and the Class B Invested Amount shall be reduced by the amount by which the Collateral Invested Amount would have been reduced below zero, but not by more than the excess,
if any, of the Class A Investor Default Amount for such Distribution Date over the amount of such reduction, if any, of the Collateral Invested Amount with respect to such Distribution Date
and the amount of Reallocated Principal Collections and the amount of Excess Spread and Excess Finance Charges used to fund the Class A Investor Default Amount for such Distribution Date. In the event that such reduction would cause the Class B
Invested Amount to be a negative number, the Class B Invested Amount shall be reduced to zero, and the Class A Invested Amount shall be reduced by the amount by which the Class B Invested Amount would have been reduced below zero, but not by more
than the excess, if any, of the Class A Investor Default Amount for such Distribution Date over the aggregate amount of the reductions, if any, of the Collateral Invested Amount and the
Class B Invested Amount for such Distribution Date and the amount of Reallocated Principal Collections and the amount of Excess Spread and Excess Finance Charges used to fund the Class A Investor Default Amount for such Distribution Date (a
“Class A Investor Charge-Off”). Class A Investor Charge-Offs shall thereafter be reimbursed and the Class A Invested Amount increased (but not by an amount in excess of the aggregate unreimbursed Class A Investor Charge-Offs) on any
Distribution Date by the amount of Excess Spread and Excess Finance Charges allocated and available for that purpose pursuant to Section 4.07(b). 

      (b) On each Determination Date, the Servicer shall calculate the Class B Required Amount, if any, for the related Distribution Date. If, on any Distribution Date, the Class B Required Amount for
such Distribution Date exceeds the sum of (x) the amount of Excess Spread and Excess Finance Charges allocated to Series 2001-1 with respect to the related Monthly Period which are not used to fund the Class A Required Amount and Class A Investor
Charge-Offs on the related Distribution Date and (y) the amount of Reallocated Principal Collections which are available to fund the Class B Required Amount on such Distribution Date pursuant to Section 4.08(b), then the Collateral Invested Amount
shall be reduced by the amount of such excess, but not by more than the excess of the Class B Investor Default Amount for such Distribution Date over the amount of Reallocated Principal
Collections and the amount of Excess Spread and Excess Finance Charges used to fund the Class B Investor Default Amount for such Distribution Date. In the event that such reduction would cause the Collateral Invested Amount to be a negative number,
the Collateral Invested Amount shall be reduced to zero, and the Class B Invested Amount shall be reduced by the amount by which the Collateral Invested Amount would have been reduced below zero, but not by more than the excess, if any, of the Class
B Investor Default Amount for such Distribution Date over the amount of such reduction, if any, of the Collateral Invested Amount with respect to such Distribution Date and the amount of
Reallocated Principal Collections and the amount of Excess Spread and Excess Finance Charges used to fund the Class B Investor Default Amount for such Distribution Date (a “Class B 

Investor Charge-Off”). Class B Investor Charge-Offs shall thereafter be reimbursed and the Class B Invested Amount increased (but not by an amount in excess of the aggregate unreimbursed Class B Investor Charge-Offs) on
any Distribution Date by the amount of Excess Spread and Excess Finance Charges allocated and available for that purpose pursuant to Section 4.07(d). 

      (c) If, on any Distribution Date, Reallocated Principal Collections for the related Monthly Period are applied pursuant to Section 4.08(a) or (b), the Collateral Invested Amount shall be reduced
by the amount of such Reallocated Principal Collections. In the event that such reduction would cause the Collateral Invested Amount to be a negative number, the Collateral Invested Amount shall be reduced to zero, and the Class B Invested Amount
shall be reduced by the amount by which the Collateral Invested Amount would have been reduced below zero. 

      (d) If, on any Distribution Date, the Collateral Investor Default Amount exceeds the amount of Excess Spread and Excess Finance Charges available to fund the Collateral Investor Default Amount
pursuant to Section 4.07(g) on such Distribution Date, then the Collateral Invested Amount shall be reduced by the amount of such excess; provided, however, that the Collateral Invested Amount shall not be reduced below zero. 

      Section 4.07. Excess Spread; Excess Finance Charges. The Servicer shall apply (if the Seller is the Servicer and the
Collection Account is maintained with the Seller) or shall cause the Trustee to apply, on each Distribution Date, Excess Spread and Excess Finance Charges allocated to Series 2001-1 with respect to the related Monthly Period, to make the following
distributions in the following priority: 

      (a) an amount equal to the Class A Required Amount, if any, with respect to such Distribution Date shall be distributed by the Trustee to fund any deficiency pursuant to Sections 4.05(a)(i), (ii)
and (iii); provided that in the event the Class A Required Amount for such Distribution Date exceeds the amount of Excess Spread and Excess Finance Charges allocated to Series 2001-1, such
Excess Spread and Excess Finance Charges shall be applied first to pay amounts due with respect to such Distribution Date pursuant to Section 4.05(a)(i), second to pay the Class A Servicing Fee pursuant to Section 4.05(a)(ii) and third to pay the
Class A Investor Default Amount for such Distribution Date pursuant to Section 4.05(a)(iii);  

      (b) an amount equal to the aggregate amount of Class A Investor Charge-Offs which have not been previously reimbursed as provided in Section 4.06(a) (after giving effect to the allocation on such
Distribution Date of any amount for that purpose pursuant to Section 4.06(a)) shall be treated as a portion of Available Investor Principal Collections for such Distribution Date;  

      (c) an amount equal to the Class B Required Amount, if any, with respect to such Distribution Date shall be distributed by the Trustee (I) to fund any deficiency pursuant to Sections 4.05(b)(i)
and (ii) and (II) for application, up to the Class B Investor Default Amount, as a portion of Available Investor Principal Collections for such Distribution Date; provided that in the event
the Class B Required Amount for such  

 Distribution Date exceeds the amount of Excess Spread and Excess Finance Charges allocated to Series 2001-1 and available to pay such amount pursuant to this clause (c), such Excess Spread and Excess Finance Charges shall be
applied first to pay amounts due with respect to such Distribution Date pursuant to Section 4.05(b)(i), second to pay the Class B Servicing Fee pursuant to Section 4.05(b)(ii) and third as a portion of Available Investor Principal Collections for
such Distribution Date pursuant to clause (II) above;  

      (d) an amount equal to the aggregate amount by which the Class B Invested Amount has been reduced pursuant to clauses (c), (d) and (e) of the definition of “Class B Invested Amount” in
Section 2.01 of this Supplement (but not in excess of the aggregate amount of such reductions which have not been previously reimbursed) shall be treated as a portion of Available Investor Principal Collections for such Distribution Date; 

      (e) an amount equal to the sum of Collateral Minimum Monthly Interest for such Distribution Date, plus the amount of any Collateral
Outstanding Monthly Interest, plus the amount of any Collateral Additional Interest for such Distribution Date and any Collateral Outstanding Additional Interest shall be distributed to the
Collateral Interest Holder; 

      (f) an amount equal to the Collateral Servicing Fee due but not paid to the Servicer either on such Distribution Date or a prior Distribution Date shall be paid to the Servicer;  

      (g) an amount equal to the Collateral Investor Default Amount for such Distribution Date shall be treated as a portion of Available Investor Principal Collections with respect to such Distribution
Date;  

      (h) an amount equal to the aggregate amount by which the Collateral Invested Amount has been reduced pursuant to clause (c) of the definition of “Collateral Invested Amount” (but not in
excess of the aggregate amount of such reductions which have not been previously reimbursed) shall be treated as a portion of Available Investor Principal Collections with respect to such Distribution Date;  

      (i) on each Distribution Date from and after the Reserve Account Funding Date, but prior to the date on which the Reserve Account terminates as described in Section 4.11(f), an amount up to the
excess, if any, of the Required Reserve Account Amount over the Available Reserve Account Amount shall be deposited into the Reserve Account; and  

      (j) the balance, if any, will be distributed to the Collateral Interest Holder.  

      Section 4.08. Reallocated Principal Collections. The Servicer shall apply (if the Seller is the Servicer and the
Collection Account is maintained with the Seller) or shall cause the Trustee to apply on each Distribution Date Reallocated Principal Collections (applying all such Collections with respect to the Collateral Invested Amount prior to applying any
such Collections with respect to the Class B Invested Amount and applying no such Collections with 

respect to the Class B Invested Amount pursuant to clause (b) below) with respect to such Distribution Date, to make the following distributions in the following priority: 

      (a) an amount equal to the excess, if any, of (i) the Class A Required Amount, if any, with respect to such Distribution Date over (ii)
the amount of Excess Spread and Excess Finance Charges allocated to Series 2001-1 with respect to the related Monthly Period, shall be distributed by the Trustee to fund any deficiency pursuant to Sections 4.05(a)(i), (ii) and (iii); provided that, in the event the Class A Required Amount for such Distribution Date exceeds the sum of the amount of Excess Spread and Excess Finance Charges allocated to Series 2001-1 and the amount of
Reallocated Principal Collections for the related Monthly Period, such Excess Spread and Excess Finance Charges allocated to Series 2001-1 and Reallocated Principal Collections shall be applied first to pay amounts due with respect to such
Distribution Date pursuant to Section 4.05(a)(i), second to pay the Class A Servicing Fee pursuant to Section 4.05(a)(ii) and third to pay the Class A Investor Default Amount for such Distribution Date pursuant to Section 4.05(a)(iii); 

      (b) an amount equal to the excess, if any, of (i) the Class B Required Amount, if any, with respect to such Distribution Date over (ii)
the amount of Excess Spread and Excess Finance Charges to be allocated and available to the holders of the Class B Certificates pursuant to Section 4.07(c) on such Distribution Date, shall be distributed by the Trustee to fund any deficiency
pursuant to Sections 4.05(b)(i) and (ii) and Section 4.07(c)(II); provided that, in the event the Class B Required Amount for such Distribution Date exceeds the sum of the amount of Excess
Spread and Excess Finance Charges to be allocated to the holders of the Class B Certificates on such Distribution Date and the amount of Reallocated Principal Collections (other than Reallocated Principal Collections distributed pursuant to clause
(a) above) for the related Monthly Period, such Excess Spread and Excess Finance Charges and such Reallocated Principal Collections shall be applied first to pay the amounts due with respect to such Distribution Date pursuant to Section 4.05(b)(i),
second to pay the Class B Servicing Fee pursuant to Section 4.05(b)(ii) and third to apply any remaining amount as a portion of Available Investor Principal Collections for such Distribution Date pursuant to Section 4.07(c)(II); and  

      (c) the balance, if any, of such Reallocated Principal Collections shall be treated as a portion of Available Investor Principal Collections to be applied in accordance with Sections 4.05(d) and
(e). 

      Section 4.09. Excess Finance Charges. Series 2001-1 shall be included in Group
One. Subject to Section 4.05 of the Agreement, Excess Finance Charges with respect to the Series in Group One for any Distribution Date will be allocated to Series 2001-1 in an amount equal to the product of (x) the aggregate amount of Excess
Finance Charges with respect to all the Series in Group One for such Distribution Date and (y) a fraction, the numerator of which is the Finance Charge Shortfall for Series 2001-1 for such Distribution Date and the denominator of which is the
aggregate amount of Finance Charge Shortfalls for all the Series in Group One for such Distribution Date. The amount of Excess Finance Charges for Series 2001-1 for any Distribution Date shall be specified in subsection 3.02(a)(v) of the Transfer
Agreement. On each  

Distribution Date, the Trustee shall deposit into the Collection Account for application in accordance with Section 4.05 of the Agreement the aggregate amount of “Excess Finance Charges” received by the Trustee
pursuant to the Transfer Agreement on such date. The “Finance Charge Shortfall” for Series 2001-1 for any Distribution Date will be equal to the excess, if any, of (a) the full amount required to be paid, without duplication, pursuant to
Sections 4.05(a), 4.05(b) and 4.05(c) and Sections 4.07(a) through (i) on such Distribution Date over (b) the sum of (i) Class A Available Funds, (ii) Class B Available Funds and (iii)
Collateral Available Funds, each with respect to the related Monthly Period. 

      Section 4.10. Shared Principal Collections. Subject
to Section 4.04 of the Agreement, Shared Principal Collections for any Distribution Date will be allocated to Series 2001-1 in an amount equal to the product of (x) the aggregate amount of Shared Principal Collections with respect to all Series for
such Distribution Date and (y) a fraction, the numerator of which is the Principal Shortfall for Series 2001-1 for such Distribution Date and the denominator of which is the aggregate amount of Principal Shortfalls for all the Series which are
Principal Sharing Series for such Distribution Date. The “Principal Shortfall” for Series 2001-1 will be equal to (a) for any Distribution Date with respect to the Revolving Period, zero, (b) for any Distribution Date with respect to the
Accumulation Period, the excess, if any, of the Controlled Deposit Amount with respect to such Distribution Date, over the amount of Available Investor Principal Collections for such
Distribution Date (excluding any portion thereof attributable to Shared Principal Collections) and (c) for any Distribution Date with respect to the Early Amortization Period, the excess, if any, of the Invested Amount over the amount of Available Investor Principal Collections for such Distribution Date (excluding any portion thereof attributable to Shared Principal Collections). 

      Section 4.11. Reserve Account. 

      (a) The Servicer shall establish and maintain, in the name of the Trustee, on behalf of the Trust, for the benefit of the Series 2001-1 Holders, an Eligible Deposit Account (the “Reserve
Account”) bearing a designation clearly indicating that the funds deposited therein are held for the benefit of the Series 2001-1 Holders. The Reserve Account shall initially be established with The Bank of New York. The Trustee shall possess
all right, title and interest in all funds on deposit from time to time in the Reserve Account and in all proceeds thereof. The Reserve Account shall be under the sole dominion and control of the Trustee for the benefit of the Series 2001-1 Holders.
If at any time the Reserve Account ceases to be an Eligible Deposit Account, the Trustee (or the Servicer on its behalf) shall within 10 Business Days (or such longer period, not to exceed 30 calendar days, as to which each Rating Agency may
consent) establish a new Reserve Account meeting the conditions specified above as an Eligible Deposit Account, and shall transfer any cash and/or any investments to such new Reserve Account. The Trustee, at the direction of the Servicer, shall (i)
make withdrawals from the Reserve Account from time to time in an amount up to the Available Reserve Account Amount at such time, for the purposes set forth in this Supplement, and (ii) on each Distribution Date (from and after the Reserve Account
Funding Date) prior to the termination of the Reserve Account make a deposit into the Reserve Account in the amount specified in, and otherwise in accordance with, Section 4.07(i). 

      (b) Funds on deposit in the Reserve Account shall be invested at the direction of the Servicer by the Trustee in Eligible Investments. Funds on deposit in the Reserve Account 

on any Transfer Date, after giving effect to any withdrawals from the Reserve Account on such Transfer Date, shall be invested in such investments that will mature so that such funds will be available for withdrawal on or prior
to the following Transfer Date. The Trustee shall (i) hold each Eligible Investment that constitutes investment property through a securities intermediary, which securities intermediary shall agree with the Trustee that (A) such investment property
shall at all times be credited to a securities account of the Trustee, (B) such securities intermediary shall treat the Trustee as entitled to exercise the rights that comprise each financial asset credited to such securities account, (C) all
property credited to such securities account shall be treated as a financial asset, (D) such securities intermediary shall comply with entitlement orders originated by the Trustee without the further consent of any other person or entity, (E) such
securities intermediary shall not agree with any person other than the Trustee to comply with entitlement orders originated by such other person, (F) such securities intermediary waives any lien on, security interest in, or right of set-off with
respect to any property credited to such securities account, and (G) such agreement shall be governed by the laws of the State of New York; and (ii) maintain possession of each other Eligible Investment not described in clause (i) above. Terms used
in clause (i) above that are defined in the New York UCC and not otherwise defined herein shall have the meaning set forth in the New York UCC. No Eligible Investment shall be disposed of prior to its maturity; provided, however, that the Trustee may sell, liquidate or dispose of an Eligible Investment before its maturity, if so directed by the Servicer,
the Servicer having reasonably determined (i) that the interest of the Series 2001-1 Holders may be adversely affected if such Eligible Investment is held to its maturity and (ii) the primary purpose of such sale, liquidation or disposition is not
recognizing gains or decreasing losses resulting from market value changes. On each Distribution Date, all interest and earnings (net of losses and investment expenses) accrued since the preceding Distribution Date on funds on deposit in the Reserve
Account shall be retained in the Reserve Account (to the extent that the Available Reserve Account Amount is less than the Required Reserve Account Amount) and the balance, if any, shall be deposited in the Collection Account and treated as
Collections of Finance Charge Receivables allocable to Series 2001-1. For purposes of determining the availability of funds or the balance in the Reserve Account for any reason under this Supplement, except as otherwise provided in the preceding
sentence, investment earnings on such funds shall be deemed not to be available or on deposit. 

      (c) On the Determination Date preceding each Distribution Date with respect to the Accumulation Period and the first Special Payment Date, the Servicer shall calculate the “Reserve Draw
Amount” which shall be equal to the sum of the excesses, if any, identified in subsections 4.11(d)(i), (ii) and (iii); provided that such amount will be reduced to the extent that funds
otherwise would be available for deposit in the Reserve Account under Section 4.07(i) with respect to such Distribution Date or Special Payment Date. 

      (d) In the event that for any Distribution Date the Reserve Draw Amount is greater than zero, the Reserve Draw Amount, up to the Available Reserve Account Amount, shall be withdrawn from the
Reserve Account on the related Distribution Date by the Trustee (acting in accordance with the instructions of the Servicer), deposited into the Collection Account and applied in the following priority: 

      (i) an amount up to the excess, if any, of (x) an amount equal to that portion of the Covered Amount computed pursuant to clause (a) of the definition of Covered Amount over (y) an amount equal to
that portion of the Class A Available Funds computed pursuant to clause (a) of the definition of Class A Available Funds shall be included as Class A Available Funds; and  

      (ii) an amount up to the excess, if any, of (x) an amount equal to that portion of the Covered Amount computed pursuant to clause (b) of the definition of Covered Amount over (y) an amount equal
to that portion of the Class B Available Funds computed pursuant to clause (a) of the definition of Class B Available Funds shall be treated as Class B Available Funds; and  

      (iii) on and after the Distribution Date on which the Principal Funding Account Balance equals the sum of the Class A Invested Amount and the Class B Invested Amount, an amount up to the excess,
if any, of (x) an amount equal to that portion of the Covered Amount computed pursuant to clause (c) of the definition of Covered Amount over (y) an amount equal to the aggregate amount of Excess Spread and Excess Finance Charge Collections
allocated to Series 2001-1 with respect to such Distribution Date or Special Payment Date available after application in accordance with subsections 4.07(a) through (d) shall be distributed to the Collateral Interest Holder. 

               (e) In the event that the Reserve Account Surplus on any Distribution Date, after giving effect to all deposits to and withdrawals from the
Reserve Account with respect to such Distribution Date, is greater than zero, the Trustee, acting in accordance with the instructions of the Servicer, shall withdraw from the Reserve Account, and distribute to the Collateral Interest Holder, an
amount equal to such Reserve Account Surplus.  

               (f) Upon the earliest to occur of (i) the termination of the Trust pursuant to Article XII of the Agreement, (ii) the day on which the
Invested Amount is paid in full to the Class A Certificateholders, the Class B Certificateholders and the Collateral Interest Holder, (iii) if the Accumulation Period has not commenced, the occurrence of a Pay Out Event with respect to Series 2001-1
and (iv) if the Accumulation Period has commenced, the earlier of the first Special Payment Date and the Expected Final Payment Date, the Trustee, acting in accordance with the instructions of the Servicer, after the prior payment of all amounts
owing to the Series 2001-1 Certificateholders which are payable from the Reserve Account as provided herein, shall withdraw from the Reserve Account and distribute to the Collateral Interest Holder all amounts, if any, on deposit in the Reserve
Account and the Reserve Account shall be deemed to have terminated for purposes of this Supplement.  

 ARTICLE V  

 Distributions and Reports to Series 2001-1 Certificateholders 

      Section 5.01. Distributions. 

               (a) On each Payment Date, the Paying Agent shall distribute to each Class A Certificateholder of record on the related Record Date (other than
as provided in Section 12.02 of the Agreement) such Class A Certificateholder’s pro rata share of the amounts that are allocated  

and available on such Payment Date to pay interest on the Class A Certificates pursuant to this Supplement. 

      (b) On each Special Payment Date and on the Expected Final Payment Date, the Paying Agent shall distribute to each Class A Certificateholder of record on the related Record Date (other than as
provided in Section 12.02 of the Agreement) such Class A  Certificateholder’s pro rata share of the amounts on deposit in the Principal Funding Account (in an
amount not to exceed the Class A Invested Amount) or otherwise held by the Paying Agent and which are allocated and available on such date to pay principal of the Class A Certificates pursuant to this Supplement up to a maximum amount on any such
date equal to the Class A Invested Amount on such date (unless there has been an optional repurchase of the Certificateholders’ Interest with respect to Series 2001-1 pursuant to Section 10.01 of the Agreement, in which event the foregoing
limitation will not apply).  

      (c) On each Payment Date, the Paying Agent shall distribute to each Class B Certificateholder of record on the related Record Date (other than as provided in Section 12.02 of the Agreement) such
Class B Certificateholder’s pro rata share of the amounts that are allocated and available on such Payment Date to pay interest on the Class B Certificates pursuant to this Supplement.

      (d) On each Special Payment Date, if any, commencing on the first Special Payment Date on which the Class A Invested Amount is paid in full and on the Expected Final Payment Date, the Paying Agent
shall distribute to each Class B Certificateholder of record on the related Record Date (other than as provided in Section 12.02 of the Agreement) such Class B Certificateholder’s pro rata share of the amounts on deposit in the Principal Funding Account in excess of the Class A Invested Amount (in an amount not to exceed the Class B Invested Amount) or otherwise held by the Paying Agent and which are allocated and
available on such date to pay principal of the Class B Certificates pursuant to this Supplement up to a maximum amount on any such date equal to the Class B Invested Amount on such date (unless there has been an optional repurchase of the
Certificateholders’ Interest with respect to Series 2001-1 pursuant to Section 10.01 of the Agreement, in which event the foregoing limitation will not apply). 

      (e) On each Payment Date, the Paying Agent shall distribute to each  Collateral Interest Holder of record on the related Record Date (other than as provided in Section
12.02 of the Agreement) such Collateral Interest Holder’s pro rata share of the amounts that are allocated and available on such Payment Date to pay interest on the Collateral Interest
pursuant to this Supplement.  

      (f) On each Special Payment Date, if any, commencing on the first Special Payment Date on which the Class B Invested Amount is paid in full and on the Expected Final Payment Date, the Paying Agent
shall distribute to each Collateral Interest Holder of record on the related Record Date such Collateral Interest Holder’s pro rata share of the amounts on deposit in the Principal
Funding Account in excess of the sum of the Class A Invested Amount and the Class B Invested Amount (in an amount not to exceed the Collateral Invested Amount), held by the Paying Agent or otherwise allocated and available on such date to pay
principal of the Collateral Interest pursuant to this Supplement up to a maximum amount on any such date 

equal to the Collateral Invested Amount (unless there has been an optional repurchase of the Certificateholders’ Interest with respect to Series 2001-1 pursuant to Section 10.01 of the Agreement, in which event the
foregoing limitation will not apply). 

      (g) The distributions to be made pursuant to this Section 5.01 are subject to the provisions of Sections 2.06, 9.02, 10.01 and 12.02 of the Agreement and Sections 8.01 and 8.02 of this Supplement.

      (h) Except as provided in Section 12.02 of the Agreement with respect to a final distribution, distributions to each Series 2001-1 Certificateholder hereunder shall be made by check mailed to each
Series 2001-1 Certificateholder at such Series 2001-1 Certificateholder’s address appearing in the Certificate Register without presentation or surrender of any Series 2001-1 Certificate or the making of any notation thereon; provided, however, that with respect to the Series 2001-1 Certificates registered in the name of a Clearing Agency, such distributions shall be
made to such Clearing Agency in immediately available funds. Distributions to each Collateral Interest Holder hereunder shall be made (i) by wire transfer in same day funds to an account at a bank or other depository institution located within the
United States as shall have been designated by such Collateral Interest Holder by notice in writing on or before the related Payment Date or (ii) in the absence of such designation, by check mailed to each Collateral Interest Holder at the address
appearing in the Transfer Agreement. 

      Section 5.02. Reports and Statements to Series 2001-1 Certificateholders. 

      (a) On each Distribution Date, the Paying Agent, on behalf of the Trustee, shall make available for inspection upon request to each Series 2001-1 Holder free of charge at the office of such Paying
Agent a statement substantially in the form of Exhibit C prepared by the Servicer for a period of six months commencing on such Distribution Date.

      (b) Not later than each Determination Date, the Servicer shall deliver to the Trustee, the Paying Agent and each Rating Agency (i) a statement substantially in the form of Exhibit B prepared by
the Servicer and (ii) a certificate of a Servicing Officer substantially in the form of Exhibit C. 

      (c) On or before January 31 of each calendar year, beginning with the calendar year next succeeding the Closing Date, the Paying Agent, on behalf of the Trustee, shall make available for
inspection upon request to each Person who at any time during the preceding calendar year was a Series 2001-1 Holder free of charge at the office of such Paying Agents, a statement prepared by the Servicer containing the information which is
required to be contained in the statement to Series 2001-1 Holders, as set forth in paragraph (a) or (b) above, as applicable, aggregated for such calendar year or the applicable portion thereof during which such Person was a Series 2001-1 Holder,
together with other information as is required to be provided by an issuer of indebtedness under the Internal Revenue Code for a period of eighteen months commencing on February 1 of such calendar year. Such obligation of the Servicer shall be
deemed to have been satisfied to the extent that substantially comparable information shall be made available for inspection by the Paying Agent pursuant to any requirements of the Internal Revenue Code as from time to time in effect.

ARTICLE VI

Additional Pay Out Events

      Section 6.01. Additional Pay Out Events. If any one of the following events shall occur with
respect to the Series 2001-1 Certificates:

     (a) failure on the part of the Seller (i) to make any payment or deposit required by the terms of the Agreement or this Supplement on or before the
date occurring five Business Days after the date such payment or deposit is required to be made therein or herein or (ii) duly to observe or perform any other covenants or agreements of the Seller set forth in the Agreement or this Supplement
(including the covenants of the Seller contained in Article IX of this Supplement), which failure has a material adverse effect on the Series 2001-1 Holders and which continues unremedied for a period of 60 days after the date on which written
notice of such failure, requiring the same to be remedied, shall have been given to the Seller by the Trustee, or to the Seller and the Trustee by any Series 2001-1 Holder;

     (b) any representation or warranty made by the Seller in the Agreement or this Supplement, or any information contained in a computer file or
microfiche list required to be delivered by the Seller pursuant to Section 2.01 or 2.08(g) of the Agreement shall prove to have been incorrect in any material respect when made or when delivered, which continues to be incorrect in any material
respect for a period of 60 days after the date on which written notice of such failure, requiring the same to be remedied, shall have been given to the Seller by the Trustee, or to the Seller and the Trustee by any Holder of the Series 2001-1
Interests and as a result of which the interests of the Series 2001-1 Holders are materially and adversely affected and continue to be materially and adversely affected for such period; provided, however, that a Pay Out Event pursuant
to this Section 6.01(b) shall not be deemed to have occurred hereunder if the Seller has accepted reassignment of the related Receivable, or all of such Receivables, if applicable, during such period in accordance with the provisions of the
Agreement;

     (c) a failure by the Seller to convey Receivables in Additional Accounts or Participation Interests to the Trust within five Business Days after
the day on which it is required to convey such Receivables or Participation Interests pursuant to Section 2.08(a) of the Agreement or Section 9.02 of this Supplement;

     (d) any Servicer Default shall occur;

     (e) a Transfer Restriction Event shall occur;

     (f) the average Portfolio Yield for any three consecutive Monthly Periods is reduced to a rate which is less than the average Base Rate for such
three Monthly Periods; or

     (g) the Invested Amount shall not be paid in full on the Expected Final Payment Date;

then, in the case of any event described in subparagraph (a), (b) or (d), after the applicable grace period, if any, set forth in such subparagraphs, either the Trustee or the holders of Investor Certificates (including the
Collateral Interest Holder) of Series 2001-1 evidencing more than 50% of the aggregate unpaid principal amount of Investor Certificates (including the Collateral Interest ) by notice then given in writing to the Seller and the Servicer (and to the
Trustee if given by the holders of Investor Certificates (including the Collateral Interest Holder) of Series 2001-1) may declare that a Pay Out Event has occurred with respect to Series 2001-1 as of the date of such notice, and, in the case of any
event described in subparagraph (c), (e), (f) or (g) a Pay Out Event shall occur with respect to Series 2001-1 without any notice or other action on the part of the Trustee or holders of Investor Certificates (including the Collateral Interest
Holder) of Series 2001-1 immediately upon the occurrence of such event.

 ARTICLE VII  

 Optional Repurchase; Series Termination 

      Section 7.01. Optional Repurchase. 

      (a) On any day occurring on or after the date on which the Invested Amount is reduced to 5% or less of the Initial Invested Amount, the Seller shall have the option to purchase the interest of the
Series 2001-1 Holders, at a purchase price equal to (i) if such day is a Distribution Date, the Reassignment Amount for such Distribution Date or (ii) if such day is not a Distribution Date, the Reassignment Amount for the Distribution Date
following such day. 

      (b) The Seller shall give the Servicer and the Trustee at least 30 days prior written notice of the date on which the Seller intends to exercise such purchase option. Not later than 12:00 noon,
Richmond time, on such day the Seller shall deposit the Reassignment Amount into the Collection Account in immediately available funds. Such purchase option is subject to payment in full of the Reassignment Amount. Following the deposit of the
Reassignment Amount into the Collection Account in accordance with the foregoing, the Invested Amount for Series 2001-1 shall be reduced to zero and the Series 2001-1 Certificateholders and the Collateral Interest Holder shall have no further
interest in the Receivables. The Reassignment Amount shall be distributed as set forth in Section 8.01(b). 

      Section 7.02. Series Termination. 

      (a) If, on the October 2010 Distribution Date, the Invested Amount (after giving effect to all changes therein on such Distribution Date) would be greater than zero, the Servicer, on behalf of the
Trustee, shall, within the 40-day period which begins on such Distribution Date, solicit bids for the sale of Principal Receivables and the related Finance Charge Receivables (or interests therein) in an amount equal to the Invested Amount at the
close of business on the last day of the Monthly Period preceding the Termination Date (after giving effect to all distributions required to be made on the Termination Date, except pursuant to this Section 7.02). Such bids shall require that such
sale shall (subject to Section 7.02(b)) occur on the Termination Date.

     (b) The Servicer, on behalf of the Trustee, shall sell such Receivables (or interests therein) on the Termination Date to the bidder who made the highest cash purchase offer. The proceeds of any
such sale shall be deposited in the Collection Account and treated as Collections on the Receivables allocated to the Series 2001-1 Holders pursuant to the Agreement and this Supplement; provided, however, that the Servicer shall determine conclusively the amount of such proceeds which are allocable to Finance Charge Receivables and the amount of such proceeds which are
allocable to Principal Receivables. During the period from the October 2010 Distribution Date to the Termination Date, the Servicer shall continue to collect payments on the Receivables and allocate and deposit such collections in accordance with
the provisions of the Agreement and the Supplements. 

 ARTICLE VIII  

 Final Distributions   

      Section 8.01. Sale of Receivables or Certificateholders’ Interest pursuant to Section 2.06 or 10.01 of the
Agreement. 

      (a) Purchase Price. (i) The amount to be paid by the Seller with respect to Series 2001-1 in connection with a reassignment of
Receivables to the Seller pursuant to Section 2.06 of the Agreement shall equal the Reassignment Amount for the first Distribution Date following the Monthly Period in which the reassignment obligation arises under the Agreement.  

      (ii) The amount to be paid by the Seller with respect to Series 2001-1 in connection with a repurchase of the Certificateholders’ Interest pursuant to Section 10.01 of the Agreement shall
equal the sum of (x) the Reassignment Amount for the Distribution Date of such repurchase and (y) the sum of (A) the excess, if any, of (I) a price equivalent to the average of bids quoted on the Record Date preceding the date of repurchase (or, if
not a Business Day, on the next succeeding Business Day) by at least two recognized dealers selected by the Trustee at the written direction of the Servicer, for the purchase by such dealers of a security which is similar to the Class A Certificates
with a remaining maturity approximately equal to the remaining maturity of the Class A Certificates and rated by each Rating Agency in the rating category originally assigned to the Class A Certificates over (II) the portion of the Reassignment Amount attributable to the Class A Certificates, (B) the excess, if any, of (I) a price equivalent to the average of bids quoted on such Record Date or, if not a
Business Day, on the next succeeding Business Day by at least two recognized dealers selected by the Trustee at the written direction of the Servicer, for the purchase by such dealers of a security which is similar to the Class B Certificates with a
remaining maturity approximately equal to the remaining maturity of the Class B Certificates and rated by each Rating Agency in the rating category originally assigned to the Class B Certificates over (II) the portion of the Reassignment Amount attributable to the Class B Certificates and (C) the excess, if any, of (I) a price equivalent to the average of bids quoted on such Record Date or, if not a Business Day, on the next
succeeding Business Day by at least two recognized dealers selected by the Trustee at the written direction of the Servicer, for the purchase by such dealers of a security which is similar to the Notes (as defined in the Transfer Agreement) 

 with a remaining maturity approximately equal to the remaining maturity of the Notes and rated by each rating agency selected to rate the Notes in the rating category originally assigned to the Notes over (II) the portion of
the Reassignment Amount attributable to the Collateral Interest.  

      (b) Distributions Pursuant to Section 7.01 or 7.02 of this Supplement and Section 10.01 of the Agreement. With respect to the Reassignment Amount deposited into the Collection Account pursuant to Section 7.01 or 8.01(a)(ii) or any amounts allocable to the Series 2001-1 Certificateholders’ Interest deposited into the Collection
Account pursuant to Section 7.02, the Trustee shall, not later than 12:00 noon, Richmond time, on the related Distribution Date, make deposits or distributions of the following amounts (in the priority set forth below and, in each case, after giving
effect to any deposits and distributions otherwise to be made on such date) in immediately available funds: (i) (x) the Class A Invested Amount on such Distribution Date will be distributed to the Paying Agent for payment to the Class A 
Certificateholders and (y) an amount equal to the sum of (A) Class A Monthly Interest for such Distribution Date, (B) any Class A Outstanding Monthly Interest and (C) the amount of Class A Additional Interest, if any, for such
Distribution Date and any Class A Outstanding Additional Interest, will be distributed to the Paying Agent for payment to the Class A Certificateholders, (ii) (x) the Class B Invested Amount on such Distribution Date will be distributed to the
Paying Agent for payment to the Class B Certificateholders and (y) an amount equal to the sum of (A) Class B Monthly Interest for such Distribution Date, (B) any Class B Outstanding Monthly Interest and (C) the amount of Class B Additional Interest,
if any, for such Distribution Date and any Class B Outstanding Additional Interest, will be distributed to the Paying Agent for payment to the Class B Certificateholders and (iii) any remaining amounts will be distributed to the Paying Agent for
payment to the Collateral Interest Holder. Notwithstanding anything to the contrary contained in this Supplement or the Agreement, the amount of any excess determined pursuant to paragraph (a)(ii)(y) shall be distributed to the Series 2001-1
Certificateholders.  

      (c) Distributions Pursuant to Section 2.06 of the Agreement. With respect to any amounts deposited into the Collection Account pursuant
to Section 8.01(a)(i), the Trustee shall, not later than 12:00 noon, Richmond time, on the related Distribution Date, deposit the principal portion of such amounts that are allocable to the Series 2001-1 Holders into the Principal Funding Account.

      (d) Notwithstanding anything to the contrary in this Supplement or the Agreement, all amounts distributed to the Paying Agent pursuant to Section 8.01(b) for payment to the Series 2001-1 Holders
shall be deemed distributed in full to the Series 2001-1 Holders on the date on which such funds are distributed to the Paying Agent pursuant to this Section and shall be deemed to be a final distribution pursuant to Section 12.02 of the
Agreement.

      Section 8.02. Distribution of Proceeds of Sale, Disposition or Liquidation of the Receivables pursuant to Section
9.02 of the Agreement. 

      (a) Not later than 12:00 noon, Richmond time, on the Distribution Date following the date on which the Insolvency Proceeds are deposited into the Collection Account pursuant to Section 9.02(b) of
the Agreement, the Trustee shall (in the following priority and, in each case, after giving effect to any deposits and distributions otherwise to be made on such 

Distribution Date) (i) deduct an amount equal to the Class A Invested Amount on such Distribution Date from the portion of the Insolvency Proceeds allocated to Collections of Principal Receivables and distribute such amount to
the Paying Agent for payment to the Class A Certificateholders, provided that the amount of such distribution shall not exceed the product of (x) the portion of the Insolvency Proceeds allocated to Collections of Principal Receivables and (y)
 the Principal Allocation Percentage with respect to the related Monthly Period and (ii) deduct an amount equal to the Class B Invested Amount on such Distribution Date from the portion of the Insolvency Proceeds allocated to
Collections of Principal Receivables and distribute such amount to the Paying Agent for payment to the Class B Certificateholders, provided that the amount of such distribution shall not exceed (x) the product of (A) the portion of such Insolvency
Proceeds allocated to Collections of Principal Receivables and (B) the Principal Allocation Percentage with respect to the related Monthly Period minus (y) the amount distributed to the Paying Agent pursuant to clause (i) of this sentence. To
the extent that the product of (A) the portion of the Insolvency Proceeds allocated to Collections of Principal Receivables and (B) the Principal Allocation Percentage with respect to the related Monthly Period exceeds the aggregate amounts
distributed to the Paying Agent pursuant to the preceding sentence, the excess shall be distributed to the Paying Agent for payment to the Collateral Interest Holder on such Distribution Date.

      (b) Not later than 12:00 noon, Richmond time, on such Distribution Date, the Trustee shall (in the following priority and, in each case, after giving effect to any deposits and distributions
otherwise to be made on such Distribution Date) (i) deduct an amount equal to the sum of (w) Class A Monthly Interest for such Distribution Date, (x) any Class A Outstanding Monthly Interest and (y) the amount of Class A Additional Interest, if any,
for such Distribution Date and any Class A Outstanding Additional Interest, from the portion of the Insolvency Proceeds allocated to Collections of Finance Charge Receivables and distribute such amount to the Paying Agent for payment to the Class A
Certificateholders provided that the amount of such distribution shall not exceed the product of (A) the portion of the Insolvency Proceeds allocated to Collections of Finance Charge Receivables, (B) the Floating Allocation Percentage with respect
to the related Monthly Period and (C) the Class A Floating Percentage with respect to such Monthly Period and (ii) deduct an amount equal to the sum of (w) Class B Monthly Interest for such Distribution Date, (x) Class B Outstanding Monthly Interest
and (y) the amount of Class B Additional Interest, if any, for such Distribution Date and any Class B Outstanding Additional Interest, from the portion of the Insolvency Proceeds allocated to Collections of Finance Charge Receivables and distribute
such amount to the Paying Agent for payment to the Class B Certificateholders, provided that the amount of such distribution shall not exceed the product of (A) the portion of the Insolvency Proceeds allocated to
Collections of Finance Charge Receivables, (B) the Floating Allocation Percentage with respect to the related Monthly Period and (C) the Class B Floating Percentage with respect to such Monthly Period. To the extent that
the product of (x) the portion of the Insolvency Proceeds allocated to Collections of Finance Charge Receivables and (y) the Floating Allocation Percentage with respect to the related Monthly Period exceeds the aggregate amount distributed to the
Paying Agent pursuant to the preceding sentence, the excess shall be distributed to the Paying Agent for payment to the Collateral Interest Holder on such Distribution Date.

      (c) Notwithstanding anything to the contrary in this Supplement or the Agreement, all amounts distributed to the Paying Agent pursuant to this Section for payment to the Series 2001-1 Holders
shall be distributed in full to the Series 2001-1 Holders on the date on which funds are distributed to the applicable Paying Agents pursuant to this Section and shall be deemed to be a final distribution pursuant to Section 12.02 of the Agreement.
 

      (d) Notwithstanding any provision of the Agreement or this Supplement, for purposes of Section 9.02(a) of the Agreement, the Holders of the Series 2001-1 Certificates shall not be deemed to
have disapproved a liquidation of the Receivables following an Insolvency Event with respect to the Seller unless (i) holders of more than 50% of the aggregate unpaid principal amount of each of the Class A Certificates and the Class B Certificates
and (ii) beneficial owners of more than 50% of the Collateral Interest shall have disapproved of such liquidation.  

 ARTICLE IX  

 New Issuances; Addition of Accounts  

      Section 9.01. New Issuances. The obligation of the
Trustee to authenticate the Investor Certificates of a new Series and to execute and deliver the related Supplement shall be subject to the conditions set forth in Section 6.03(b) of the Agreement and to the additional condition that, as of the
Series Issuance Date and after giving effect to such issuance, the aggregate amount of Principal Receivables equals or exceeds the Required Principal Balance.  

      Section 9.02. Addition of Accounts. 

      (i) If, as of the close of business on the last Business Day of any Monthly Period, the aggregate amount of Principal Receivables is less than the Required Principal Balance on such date, the
Seller shall on or prior to the close of business on the 10th Business Day following the last Business Day of such Monthly Period (the “Required Designation Date”), unless the aggregate amount of Principal Receivables exceeds the Required
Principal Balance as of the close of business on any day after the last Business Day of such Monthly Period and prior to the Required Designation Date, designate additional Eligible Accounts to be included as Accounts as of the Required Designation
Date or any earlier date in a sufficient amount such that, after giving effect to such addition, the aggregate amount of Principal Receivables equals or exceeds the Required Principal Balance on such date. Each such addition shall be subject to the
same conditions applicable to any Addition required to be made pursuant to Section 2.08(a) of the Agreement. The failure of any condition set forth in Section 2.08(c) or (d) of the Agreement, as the case may be, shall not relieve the Seller of its
obligation pursuant to this paragraph; provided, however, that the failure of the Seller to transfer Receivables to the Trust as provided in this paragraph solely as a result of the
unavailability of a sufficient amount of Eligible Receivables shall not constitute a breach of this Supplement; provided further
that any such failure which has not been timely cured will nevertheless result in the occurrence of a Pay Out Event with respect to Series 2001-1.  

      (ii) In lieu of, or in addition to, designating Additional Accounts pursuant to clause (i) above, the Seller may, subject to the conditions specified in Section 2.08(d) of the  

 Agreement, convey to the Trust Participation Interests. The addition of Participation Interests in the Trust pursuant to this paragraph shall be effected by an amendment to the Agreement and this Supplement, dated the
applicable Addition Date, pursuant to Section 13.01(a) of the Agreement.  

 ARTICLE X  

 Miscellaneous Provisions  

      Section 10.01. Ratification of Agreement. As
supplemented by this Supplement, the Agreement is in all respects ratified and confirmed and the Agreement as so supplemented by this Supplement shall be read, taken and construed as one and the same instrument.  

      Section 10.02. Counterparts. This Supplement may be
executed in two or more counterparts, and by different parties on separate counterparts, each of which shall be an original, but all of which shall constitute one and the same instrument.  

      Section 10.03. GOVERNING LAW. THIS SUPPLEMENT 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.  

      Section 10.04. Determination of Material Adverse Effect. Any determination of material adverse effect on the Series 2001-1 Certificateholders under the Agreement or this Supplement shall be made assuming the Collateral Invested Amount is zero (including, without limitation, any determination
of whether a representation or warranty made therein is correct or whether a Seller or the Servicer has duly performed a covenant contained therein or herein).  

      Section 10.05. Book-Entry Certificates. The Class A
Certificates and the Class B Certificates shall be delivered as Book-Entry Certificates. The Clearing Agency for the Class A Certificates and the Class B Certificates shall be The Depository Trust Company, and the Class A Certificates and the Class
B Certificates shall be initially registered in the name of Cede & Co., its nominee. The Series 2001-1 Certificates are issuable only in minimum denominations of $1,000 and integral multiples of $1,000.  

      Section 10.06. Uncertificated Securities. The Collateral Interest shall be
delivered in uncertificated form.  

      Section 10.07. Transfers of the Collateral Interest.  

      (a) Unless otherwise consented to by the Seller, no portion of the Collateral Interest or any interest therein may be sold, conveyed, assigned, hypothecated, pledged, participated, exchanged or
otherwise transferred (each, a “Transfer”) except in accordance with this Section 10.07 and only to a Permitted Assignee. Any attempted or purported transfer, assignment, exchange, conveyance, pledge, hypothecation or grant other than to a
Permitted Assignee shall be void. Unless otherwise consented to by the Seller, no portion of the Collateral Interest or any interest therein may be Transferred to any Person (each such Person acquiring the Collateral Interest or any interest
therein, an “Assignee”) unless such Assignee shall have  

 executed and delivered to the Seller on or before the effective date of any Transfer a letter substantially in the form attached hereto as Exhibit D (an “Investment Letter”), executed by such Assignee, with respect
to the related Transfer to such Assignee of all or a portion of the Collateral Interest.  

      (b) Each Assignee will certify that the Collateral Interest or the interest therein purchased by such Assignee will be acquired for investment only and not with a view to any public distribution
thereof, and that such Assignee will not offer to sell or otherwise dispose of the Collateral Interest or any interest therein so acquired by it in violation of any of the registration requirements of the Act, or any applicable state or other
securities laws. Each Assignee will acknowledge and agree that (i) it has no right to require the Seller to register under the Act or any other securities law the Collateral Interest or the interest therein to be acquired by the Assignee and (ii)
the sale of the Collateral Interest is not being made by means of the Prospectus. Each Assignee will agree with the Seller that: (a) such Assignee will deliver to the Seller on or before the effective date of any Transfer an Investment Letter,
executed by such Assignee with respect to the purchase by such Assignee of all or a portion of the Collateral Interest and (b) all of the statements made by such Assignee in its Investment Letter shall be true and correct as of the date made.
 

      (c) No portion of the Collateral Interest or any interest therein may be Transferred, and each Assignee will certify that it is not, (a) an “employee benefit plan” (as defined in Section
3(3) of ERISA), including governmental plans and church plans, (b) any “plan” (as defined in Section 4975(e)(1) of the Code) including individual retirement accounts and Keogh plans, or (c) any other entity whose underlying assets include
“plan assets” (within the meaning of Department of Labor Regulation Section 2510.3-101, 29 C.F.R. 2510.3-101 or otherwise under ERISA) by reason of a plan’s investment in the entity, including, without limitation, an insurance company
general account.  

      (d) This Section 10.07 shall not apply to the transfer and pledge of the Collateral Interest on the Closing Date by the Seller pursuant to the Transfer Agreement or by the Capital One Secured Note
Trust 2001-1 to the Indenture Trustee (as defined in the Transfer Agreement) pursuant to the Indenture (as defined in the Transfer Agreement).  

      Section 10.08. Certain Accounting Related Amendments. In addition to being subject
to amendment pursuant to any other provisions relating to amendments in either the Agreement or this Supplement, Section 4.12 of this Supplement will be amended by the Seller without the consent of the Servicer, the Trustee or any Investor
Certificateholder to permit the Trust to qualify as a “qualified special purpose entity” as defined in FASB Statement No. 140. Promptly after the effectiveness of any amendment pursuant to this Section 10.08, the Seller shall deliver a
copy of such amendment to each of the Servicer, the Trustee and each Rating Agency.  

      IN WITNESS WHEREOF, the undersigned have caused this Supplement to be duly executed and delivered by their respective duly authorized officers on the day and year first above written.  

	 	CAPITAL ONE BANK,
	      

	      Seller and Servicer
	 
	 
	 	By: /s/ Thomas Feil                               
              
	   	      Name: Thomas Feil
	  	      Title: Director of Securitization
	 
	 
	 
	 	THE BANK OF NEW YORK,
	   	      Trustee
	 
	 
	 	By: /s/ Scott J. Tepper                              
          
	   	      Name: Scott J. Tepper
	 	      Title: Assistant Treasurer

 [Signature Page to Series 2001-1 Supplement] 

 

 EXHIBIT A-1 

	REGISTERED	 $975,000,000*

	 	 
	No. R-__	 CUSIP No. 14040KBP2

      Unless this Class A Certificate is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the issuer or its agent for registration
of transfer, exchange or payment, and any certificate issued is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity
as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein.  

 CAPITAL ONE MASTER TRUST  

 Series 2001-1  

  CLASS A FLOATING RATE ASSET BACKED CERTIFICATE  

  Expected Final Payment Date:

February 2008 Distribution Date  

  Each $1,000 minimum denomination represents a

1/975,000 undivided interest

in certain assets of the  

  CAPITAL ONE MASTER TRUST  

 Evidencing an undivided interest in a trust, the corpus of which consists primarily of receivables generated from time to time in the ordinary course of business in a portfolio of consumer revolving credit card accounts
by 

 CAPITAL ONE BANK  

 and, in certain circumstances, certain Additional Sellers (as defined in the Pooling and Servicing Agreement referred to below).  

  (Not an interest in or obligation of Capital One Bank,

any Additional Seller or any affiliate thereof)  

      This certifies that CEDE & CO. (the “Class A Certificateholder”) is the registered owner of a fractional undivided interest in certain assets of a trust (the “Trust”)
created pursuant to the Pooling and Servicing Agreement, dated as of September 30, 1993 (as amended and 

 

____________________________

*
 Denominations of $1,000 and integral multiples of $1,000 in excess thereof.  

supplemented, the “Agreement”), as supplemented by the Series 2001-1 Supplement, dated as of February 28, 2001 (as amended and supplemented, the “Series Supplement”), between Capital One Bank, as Seller and
Servicer, and The Bank of New York, a New York banking corporation, as trustee (the “Trustee”). The corpus of the Trust consists of (i) a portfolio of all receivables (the “Receivables”) existing in the consumer revolving credit
card accounts and other consumer revolving credit accounts identified under the Agreement from time to time (the “Accounts”), (ii) all Receivables generated under the Accounts from time to time thereafter, (iii) funds collected or to be
collected from accountholders in respect of the Receivables, (iv) all funds which are from time to time on deposit in the Collection Account and in the Series Accounts, (v) an interest in any Funds Collateral (as defined in the Agreement) relating
to secured accounts, (vi) the benefits of any Series Enhancement and (vii) all other assets and interests constituting the Trust. The Holder of this Class A Certificate is entitled to the benefit of any Series Enhancement to
the extent provided in the Series Supplement. Although a summary of certain provisions of the Agreement and the Series Supplement is set forth below and on the Summary of Terms and Conditions attached hereto and made a part hereof, this Class A
Certificate does not purport to summarize the Agreement and the Series Supplement and reference is made to the Agreement and the Series Supplement for information with respect to the interests, rights, benefits, obligations, proceeds and duties
evidenced hereby and the rights, duties and obligations of the Trustee. In the event of any conflict between this Class A Certificate and the Series Supplement or the Agreement, the Series Supplement or the Agreement, as the case may be, shall
control. A copy of the Agreement and the Series Supplement (without schedules) may be requested from the Trustee by writing to the Trustee at the Corporate Trust Office. To the extent not defined herein, the capitalized terms used herein have the
meanings ascribed to them in the Agreement or the Series Supplement, as applicable.

     This Class A Certificate is issued under and is subject to the terms, provisions and conditions of the Agreement and the Series Supplement, to which Agreement and Series
Supplement, each as amended and supplemented from time to time, the Class A Certificateholder by virtue of the acceptance hereof assents and is bound.

     It is the intent of the Seller and the Investor Certificateholders that, for federal, state and local income and franchise tax purposes only, the Investor Certificates
will qualify as indebtedness of the Seller secured by the Receivables. The Class A Certificateholder, by the acceptance of this Class A Certificate, agrees to treat this Class A Certificate for federal, state and local income and franchise tax
purposes as indebtedness of the Seller.

      In general, payments of principal with respect to the Class A Certificates are limited to the Class A Invested Amount, which may be less than the unpaid principal
balance of the Class A Certificates. The Expected Final Payment Date is the February 2008 Distribution Date, but principal with respect to the Class A Certificates may be paid earlier or later under certain circumstances described in the Agreement
and the Series Supplement. If for one or more months during the Accumulation Period there are not sufficient funds to pay the Controlled Deposit Amount, then to the extent that excess funds are not available on subsequent Distribution Dates with
respect to the Accumulation Period to make up for such shortfalls, the final payment of principal of the Class A Certificates will occur later than the Expected Final Payment Date. 

      Unless the certificate of authentication hereon has been executed by or on behalf of the Trustee, by manual signature, this Class A Certificate shall not be entitled to any benefit under the
Agreement or the Series Supplement or be valid for any purpose.  

 

      IN WITNESS WHEREOF, the Seller has caused this Class A Certificate to be duly executed.  

	 	CAPITAL ONE BANK
	 
	 	By:                                 
                                        

	   	     Name:
	  	     Title:

 Dated: February 28, 2001  

  TRUSTEE’S CERTIFICATE OF AUTHENTICATION  

      This is one of the Class A Certificates described in the within-mentioned Agreement and Series Supplement.  

	 	THE BANK OF NEW YORK,
	   	     as Trustee
	 
	 
	 	By:                                 
                      
	      	     Authorized Officer
	 
	 	or
	 
	 	By:                                 
                      
	      	     as Authenticating Agent
	      	     for the Trustee
	 
	 	By:                                 
                      
	      	     Authorized Officer

  CAPITAL ONE MASTER TRUST  

  SERIES 2001-1  

  CLASS A FLOATING RATE ASSET BACKED CERTIFICATE  

  Summary of Terms and Conditions  

      The Receivables consist of Principal Receivables which arise generally from the purchase of goods and services and amounts advanced to accountholders as cash advances and Finance Charge
Receivables. This Class A Certificate is one of a Series of Investor Certificates entitled “Capital One Master Trust, Series 2001-1.” The Series 2001-1 Certificates are being issued in two Classes, the first of which is known as the
“Class A Floating Rate Asset Backed Certificates, Series 2001-1” (the “Class A Certificates”) and the second Class is known as the “Class B Floating Rate Asset Backed Certificates, Series 2001-1” (the “Class B
Certificates”). In addition, as part of Series 2001-1, the Trust is creating a third Class of uncertificated interest in the Trust which uncertificated interest, except as expressly provided in the Series Supplement, is deemed to be an
“Investor Certificate” and is known as the “Collateral Interest, Series 2001-1” (the “Collateral Interest”). This Class A Certificate represents a fractional undivided interest in certain assets of the Trust. The Trust
Assets are allocated in part to the certificateholders of all outstanding Series (the “Certificateholders’ Interest”) with the remainder allocated to the Seller’s Interest. The aggregate interest represented by the Class A
Certificates at any time in the Principal Receivables in the Trust shall not exceed an amount equal to the Class A Invested Amount at such time. The Class A Initial Invested Amount is $975,000,000. The Class A Invested Amount on any date of
determination will be an amount equal to (a) the Class A Initial Invested Amount, minus (b) the aggregate amount of principal payments made to the Class A Certificateholders on or prior to
such date, minus (c) the excess, if any, of the aggregate amount of Class A Investor Charge-Offs for all prior Distribution Dates over the aggregate amount of Class A Investor Charge-Offs reimbursed pursuant to subsection 4.06(a) of the Series Supplement prior to such date. Also, Capital One Bank has received an adjustment to the Seller’s Interest on the date
hereof.  

      Subject to the terms and conditions of the Agreement, the Seller may from time to time direct the Trustee, on behalf of the Trust, to issue one or more new Series of Investor Certificates, which
will represent fractional undivided interests in certain of the Trust Assets.  

      On each Payment Date, the Paying Agent shall distribute to each Class A Certificateholder of record on the last day of the preceding calendar month (each, a “Record Date”) such Class A
Certificateholder’s pro rata share of such amounts (including amounts on deposit in the Collection Account and the Principal Funding Account) as are payable to the Class A Certificateholders pursuant to the Agreement and the Series Supplement.
Distributions with respect to this Class A Certificate will be made by the Paying Agent by check mailed to the address of the Class A Certificateholder of record appearing in the Certificate Register without the presentation or surrender of this
Class A Certificate or the making of any notation thereon (except for the final distribution in respect of this Class A Certificate), except that with respect to  

 Class A Certificates registered in the name of Cede & Co., the nominee for The Depository Trust Company, distributions will be made in the form of immediately available funds. Final payment of this Class A Certificate will
be made only upon presentation and surrender of this Class A Certificate at the office or agency specified in the notice of final distribution delivered by the Trustee to the Class A Certificateholders in accordance with the Agreement and the Series
Supplement.  

      On any day occurring on or after the day on which the Invested Amount is reduced to 5% or less of the Initial Invested Amount, the Seller has the option to repurchase the Certificateholders’
Interest in the Trust. The repurchase price will be equal to (a) if such day is a Distribution Date, the Reassignment Amount for such Distribution Date or (b) if such day is not a Distribution Date, the Reassignment Amount for the Distribution Date
following such day. Following the deposit of the Reassignment Amount in the Collection Account, Class A Certificateholders, the Class B Certificateholders and the Collateral Interest Holder will not have any interest in the
Receivables and the Class A Certificates will represent only the right to receive such Reassignment Amount.  

      This Class A Certificate does not represent an obligation of, or an interest in, the Seller, the Servicer or any affiliate of any of them and is not insured or guaranteed by the Federal Deposit
Insurance Corporation or any other governmental agency or instrumentality. This Class A Certificate is limited in right of payment to certain Collections with respect to the Receivables (and certain other amounts), all as more specifically set forth
hereinabove and in the Agreement and the Series Supplement.  

      The Agreement or any Supplement may, subject to certain conditions, be amended by the Seller, the Servicer and the Trustee without Certificateholder consent. The Trustee may, but shall not be
obligated to, enter into any such amendment which affects the Trustee’s rights, duties or immunities under the Agreement or otherwise.  

      The Agreement or any Supplement may also be amended from time to time by the Servicer, the Seller and the Trustee, with the consent of the Holders of Investor Certificates evidencing not less than
66 2/3% of the aggregate unpaid principal amount of the Investor Certificates of all adversely affected Series, for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of
the Agreement or any Supplement or of modifying in any manner the rights of the Investor Certificateholders; provided, however, that no such amendment shall (i) reduce in any manner
the amount of or delay the timing of any distributions to be made to Investor Certificateholders or deposits of amounts to be so distributed or the amount available under any Series Enhancement without the consent of each affected Investor
Certificateholder, (ii) change the definition of or the manner of calculating the interest of any Investor Certificateholder without the consent of each affected Investor Certificateholder, (iii) reduce the aforesaid percentage required to consent
to any such amendment without the consent of each Investor Certificateholder or (iv) adversely affect the rating of any Series or Class by each Rating Agency without the consent of the Holders of Investor Certificates of such Series or Class
evidencing not less than 66 2/3% of the aggregate unpaid principal amount of the Investor Certificates of such Series or Class. The Trustee may,  

 but shall not be obligated to, enter into any such amendment which affects the Trustee’s rights, duties or immunities under the Agreement or otherwise.  

      The Class A Certificates are issuable only in minimum denominations of $1,000 and integral multiples of $1,000. The transfer of this Class A Certificate shall be registered in the Certificate
Register upon surrender of this Class A Certificate for registration of transfer at any office or agency maintained by the Transfer Agent and Registrar accompanied by a written instrument of transfer, in a form satisfactory to the Trustee or the
Transfer Agent and Registrar, duly executed by the Class A Certificateholder or such Class A Certificateholder’s attorney, and duly authorized in writing with such signature guaranteed, and thereupon one or more new Class A Certificates of
authorized denominations and for the same aggregate fractional undivided interest will be issued to the designated transferee or transferees. 

      As provided in the Agreement and subject to certain limitations therein set forth, Class A Certificates are exchangeable for new Class A Certificates evidencing like aggregate fractional undivided
interests as requested by the Class A Certificateholder surrendering such Class A Certificates. No service charge may be imposed for any such exchange but the Servicer or Transfer Agent and Registrar may require payment of a sum sufficient to cover
any tax or other governmental charge that may be imposed in connection therewith.  

      The Servicer, the Trustee, the Paying Agent and the Transfer Agent and Registrar and any agent of any of them, may treat the person in whose name this Class A Certificate is registered as the
owner hereof for all purposes, and neither the Servicer nor the Trustee, the Paying Agent, the Transfer Agent and Registrar, nor any agent of any of them, shall be affected by notice to the contrary except in certain circumstances described in the
Agreement.  

      THIS CLASS A CERTIFICATE 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.  

  ASSIGNMENT  

 Social Security or other identifying number of assignee _________________________________

 

      FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto

______________________________________________

                    (name and address of assignee) 

 the within certificate and all rights thereunder, and hereby irrevocably constitutes and appoints ______________________, attorney, to transfer said certificate on the books kept for registration thereof, with full power of
substitution in the premises.  

 Dated: _____________________*

Signature Guaranteed: 

____________________________

 *
 NOTE: The signature to this assignment must correspond with the name of the registered owner as it appears on the face of the within Certificate in every particular, without alteration, enlargement or any change whatsoever.
 

 EXHIBIT A-2  

	REGISTERED	 $120,000,000*

	 	 
	No. R-__	 CUSIP No. 14040KBQ0

      THIS CLASS B CERTIFICATE MAY NOT BE ACQUIRED BY OR FOR THE ACCOUNT OF PERSONS INVESTING ASSETS OF A BENEFIT PLAN OR AN INDIVIDUAL RETIREMENT ACCOUNT OTHER THAN AN INSURANCE COMPANY GENERAL
ACCOUNT.  

      Unless this Class B Certificate is presented by an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the issuer or its agent for registration
of transfer, exchange or payment, and any certificate issued is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity
as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein.  

 CAPITAL ONE MASTER TRUST  

 Series 2001-1  

 CLASS B FLOATING RATE ASSET BACKED CERTIFICATE  

  Expected Final Payment Date:

The February 2008 Distribution Date  

  Each $1,000 denomination represents a

1/120,000 undivided interest

in certain assets of the  

  CAPITAL ONE MASTER TRUST  

 Evidencing an undivided interest in a trust, the corpus of which consists primarily of receivables generated from time to time in the ordinary course of business in a portfolio of consumer revolving credit card accounts by
CAPITAL ONE BANK and, in certain circumstances, certain Additional Sellers (as defined in the Pooling and Servicing Agreement referred to below).  

 (Not an interest in or obligation of Capital One Bank,

any Additional Seller or any affiliate thereof)  

      This certifies that CEDE & CO. (the “Class B Certificateholder”) is the registered owner of a fractional undivided interest in certain assets of a trust (the “Trust”)
created pursuant to the Pooling and Servicing Agreement, dated as of September 30, 1993 (as amended and  

____________________________

*
 Denominations of $1,000 and integral multiples of $1,000 in excess thereof.  

supplemented, the “Agreement”), as supplemented by the Series 2001-1 Supplement, dated as of February 28, 2001 (as amended and supplemented, the “Series Supplement”), between Capital One Bank, as Seller and
Servicer, and The Bank of New York, a New York banking corporation, as trustee (the “Trustee”). The corpus of the Trust consists of (i) a portfolio of all receivables (the “Receivables”) existing in the consumer revolving credit
card accounts and other consumer revolving credit accounts identified under the Agreement from time to time (the “Accounts”), (ii) all Receivables generated under the Accounts from time to time thereafter, (iii) funds collected or to be
collected from accountholders in respect of the Receivables, (iv) all funds which are from time to time on deposit in the Collection Account and in the Series Accounts, (v) an interest in any Funds Collateral (as defined in the Agreement) relating
to secured accounts, (vi) the benefits of any Series Enhancement and (vii) all other assets and interests constituting the Trust. The Holder of this Class B Certificate is entitled to the benefit of any Series Enhancement to
the extent provided in the Series Supplement. Although a summary of certain provisions of the Agreement and the Series Supplement is set forth below and on the Summary of Terms and Conditions attached hereto and made a part hereof, this Class B
Certificate does not purport to summarize the Agreement and the Series Supplement and reference is made to the Agreement and the Series Supplement for information with respect to the interests, rights, benefits, obligations, proceeds and duties
evidenced hereby and the rights, duties and obligations of the Trustee. In the event of any conflict between this Class B Certificate and the Series Supplement or the Agreement, the Series Supplement or the Agreement, as the case may be, shall
control. A copy of the Agreement and the Series Supplement (without schedules) may be requested from the Trustee by writing to the Trustee at the Corporate Trust Office. To the extent not defined herein, the capitalized terms used herein have the
meanings ascribed to them in the Agreement or the Series Supplement, as applicable.

     This Class B Certificate is issued under and is subject to the terms, provisions and conditions of the Agreement and the Series Supplement, to which Agreement and Series
Supplement, each as amended and supplemented from time to time, the Class B Certificateholder by virtue of the acceptance hereof assents and is bound.

     It is the intent of the Seller and the Investor Certificateholders that, for federal, state and local income and franchise tax purposes only, the Investor Certificates
will qualify as indebtedness of the Seller secured by the Receivables. The Class B Certificateholder, by the acceptance of this Class B Certificate, agrees to treat this Class B Certificate for federal, state and local income and franchise tax
purposes as indebtedness of the Seller.

     In general, payments of principal with respect to the Class B Certificates are limited to the Class B Invested Amount, which may be less than the unpaid principal balance
of the Class B Certificates. The Expected Final Payment Date is the February 2008 Distribution Date, but principal with respect to the Class B Certificates may be paid earlier or later under certain circumstances described in the Agreement and the
Series Supplement. Principal payments with respect to the Class B Certificates will not commence until the Class A Invested Amount is paid in full. In addition, if for one or more months during the Accumulation Period there are not sufficient funds
to pay the Controlled Deposit Amount, then to the extent that excess funds are not available on subsequent Distribution Dates with respect to the Accumulation Period to make up for such shortfalls, the final payment of principal of the Class B
Certificates will occur later than the Expected Final Payment Date.

      No Class B Certificate (or any interest therein) may be acquired or held by any employee benefit or other plan (including an individual retirement account) that is subject to the Employee
Retirement Income Security Act of 1974, as amended (“ERISA”), or Section 4975 of the Internal Revenue Code of 1986, as amended (each, a “Plan”), any trustee or other person acting on behalf of any Plan, or any other person using
“Plan Assets” to effect such acquisition or holding (each, a “Plan Investor”) unless (i) such acquirer or holder is an insurance company, (ii) the source of funds used to acquire or hold such Certificate (or interest therein) is
an “insurance company general account” (as defined in U.S. Department of Labor Prohibited Transaction Class Exemption (“PTCE”) 95-60), and (iii) the conditions set forth in Sections I and III of PTCE 95-60 have been satisfied. By
acquiring an interest in this Class B Certificate, each Class B Certificateholder or Certificate Owner shall be deemed to have represented, either (i) that it is not a Plan Investor or (ii) that (1) it is an insurance company, (2) the source of
funds used to acquire or hold an interest in such Certificate is an “insurance company general account” (as such term is defined in PTCE 95-60), and (3) the conditions set forth in Sections I and III of PTCE 95-60 have been
satisfied.  

      Unless the certificate of authentication hereon has been executed by or on behalf of the Trustee, by manual signature, this Class B Certificate shall not be entitled to any benefit under the
Agreement or the Series Supplement or be valid for any purpose.  

      IN WITNESS WHEREOF, the Seller has caused this Class B Certificate to be duly executed.  

	 	CAPITAL ONE BANK
	 
	 	By:                                 
                                        

	   	     Name:
	  	     Title:

 Dated: February 28, 2001  

 TRUSTEE’S CERTIFICATE OF AUTHENTICATION  

      This is one of the Class B Certificates described in the within-mentioned Agreement and Series Supplement.  

	 	THE BANK OF NEW YORK,
	   	     as Trustee
	 
	 
	 	By:                                 
                      
	      	     Authorized Officer
	 
	 	or
	 
	 	By:                                 
                      
	      	     as Authenticating Agent
	      	     for the Trustee
	 
	 	By:                                 
                      
	      	     Authorized Officer

  CAPITAL ONE MASTER TRUST  

  SERIES 2001-1  

 CLASS B FLOATING RATE ASSET BACKED CERTIFICATE  

  Summary of Terms and Conditions  

      The Receivables consist of Principal Receivables which arise generally from the purchase of goods and services and amounts advanced to accountholders as cash advances and Finance Charge
Receivables. This Class B Certificate is one of a Series of Certificates entitled “Capital One Master Trust, Series 2001-1.” The Series 2001-1 Certificates are being issued in two Classes, the first of which is known as the “Class A
Floating Rate Asset Backed Certificates, Series 2001-1” (the “Class A Certificates”) and the second Class is known as the “Class B Floating Rate Asset Backed Certificates, Series 2001-1” (the “Class B
Certificates”). In addition, as part of Series 2001-1, the Trust is creating a third Class of uncertificated interest in the Trust which uncertificated interest, except as expressly provided in the Series Supplement, is deemed to be an
“Investor Certificate” and is known as the “Collateral Interest, Series 2001-1” (the “Collateral Interest”). This Class B Certificate represents a fractional undivided interest in certain assets of the Trust. The Trust
Assets are allocated in part to the certificateholders of all outstanding Series (the “Certificateholders’ Interest”) with the remainder allocated to the Seller’s Interest. The aggregate interest represented by the Class B
Certificates at any time in the Principal Receivables in the Trust shall not exceed an amount equal to the Class B Invested Amount at such time. The Class B Initial Invested Amount is $120,000,000. The Class B Invested Amount on any date of
determination will be an amount equal to (a) the Class B Initial Invested Amount, minus (b) the aggregate amount of principal payments made to the Class B Certificateholders on or prior to
such date, minus (c) the aggregate amount of Class B Investor Charge-Offs for all prior Distribution Dates, minus (d) the aggregate
amount of Reallocated Principal Collections allocated on all prior Distribution Dates pursuant to subsection 4.08(a) of the Series Supplement (excluding any Reallocated Principal Collections that have resulted in a reduction in the Collateral
Invested Amount pursuant to subsection 4.06(c) of the Series Supplement), minus (e) an amount equal to the amount by which the Class B Invested Amount has been reduced on all prior
Distribution Dates pursuant to subsection 4.06(a) of the Series Supplement and plus (f) the amount of Excess Spread and Excess Finance Charges allocated and available on all prior
Distribution Dates pursuant to Section 4.07(d) of the Series Supplement for the purpose of reimbursing amounts deducted pursuant to the foregoing clauses (c), (d) and (e). Also, Capital One Bank has received an adjustment to the Seller’s
Interest on the date hereof.  

      Subject to the terms and conditions of the Agreement, the Seller may from time to time direct the Trustee, on behalf of the Trust, to issue one or more new Series of Investor Certificates, which
will represent fractional undivided interests in certain of the Trust Assets.  

      On each Payment Date, the Paying Agent shall distribute to each Class B Certificateholder of record on the last day of the preceding calendar month (each, a “Record Date”) such Class B
Certificateholder’s pro rata share of such amounts (including amounts on deposit in the Collection Account and the Principal Funding Account) as are payable to the Class B Certificateholders pursuant to the Agreement and the Series Supplement.
Distributions with  

 respect to this Class B Certificate will be made by check mailed to the address of the Class B Certificateholder of record appearing in the Certificate Register without the presentation or surrender of this Class B Certificate
or the making of any notation thereon (except for the final distribution in respect of this Class B Certificate) except that with respect to Class B Certificates registered in the name of Cede & Co., the nominee for The Depository Trust Company,
distributions will be made in the form of immediately available funds. Final payment of this Class B Certificate will be made only upon presentation and surrender of this Class B Certificate at the office or agency specified in the notice of final
distribution delivered by the Trustee to the Class B Certificateholders in accordance with the Agreement and the Series Supplement.  

      On any day occurring on or after the day on which the Invested Amount is reduced to 5% or less of the Initial Invested Amount, the Seller has the option to repurchase the Certificateholders’
Interest in the Trust. The repurchase price will be equal to (a) if such day is a Distribution Date, the Reassignment Amount for such Distribution Date or (b) if such day is not a Distribution Date, the Reassignment Amount for the Distribution Date
following such day. Following the deposit of the Reassignment Amount in the Collection Account, the Class A Certificateholders, the Class B Certificateholders and the Collateral Interest Holder will not have any interest in the Receivables and the
Class B Certificates will represent only the right to receive such Reassignment Amount.  

      This Class B Certificate does not represent an obligation of, or an interest in, the Seller, the Servicer or any affiliate of any of them and is not insured or guaranteed by the Federal Deposit
Insurance Corporation or any other governmental agency or instrumentality. This Class B Certificate is limited in right of payment to certain Collections with respect to the Receivables (and certain other amounts), all as more specifically set forth
hereinabove and in the Agreement and the Series Supplement.  

      The Agreement or any Supplement may, subject to certain conditions, be amended by the Seller, the Servicer and the Trustee without Certificateholder consent. The Trustee may, but shall not be
obligated to, enter into any such amendment which affects the Trustee’s rights, duties or immunities under the Agreement or otherwise.  

      The Agreement or any Supplement may also be amended from time to time by the Servicer, the Seller and the Trustee, with the consent of the Holders of Investor Certificates evidencing not less than
66 2/3% of the aggregate unpaid principal amount of the Investor Certificates of all adversely affected Series, for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of
the Agreement or any Supplement or of modifying in any manner the rights of the Investor Certificateholders; provided, however,
that no such amendment shall (i) reduce in any manner the amount of or delay the timing of any distributions to be made to Investor Certificateholders or deposits of amounts to be so distributed or the amount available under any Series Enhancement
without the consent of each affected Investor Certificateholder, (ii) change the definition of or the manner of calculating the interest of any Investor Certificateholder without the consent of each affected Investor Certificateholder, (iii) reduce
the aforesaid percentage required to consent to any such amendment without the consent of each Investor Certificateholder or (iv) adversely affect the rating of any Series or Class by each Rating Agency without the consent of the Holders of Investor
Certificates of such Series or Class evidencing not less than 66 2/3% of the aggregate unpaid principal amount of the Investor Certificates of such Series or Class. The Trustee may,  

 but shall not be obligated to, enter into any such amendment which affects the Trustee’s rights, duties or immunities under the Agreement or otherwise.  

      The Class B Certificates are issuable in minimum denominations of $1,000 and integral multiples of $1,000. The transfer of this Class B Certificate shall be registered in the Certificate Register
upon surrender of this Class B Certificate for registration of transfer at any office or agency maintained by the Transfer Agent and Registrar accompanied by a written instrument of transfer, in a form satisfactory to the Trustee or the Transfer
Agent and Registrar, duly executed by the Class B Certificateholder or such Class B Certificateholder’s attorney, and duly authorized in writing with such signature guaranteed, and thereupon one or more new Class B Certificates of authorized
denominations and for the same aggregate fractional undivided interest will be issued to the designated transferee or transferees.  

      As provided in the Agreement and subject to certain limitations therein set forth, Class B Certificates are exchangeable for new Class B Certificates evidencing like aggregate fractional undivided
interests as requested by the Class B Certificateholder surrendering such Class B Certificates. No service charge may be imposed for any such exchange but the Servicer or Transfer Agent and Registrar may require payment of a sum sufficient to cover
any tax or other governmental charge that may be imposed in connection therewith.  

      The Servicer, the Trustee, the Paying Agent and the Transfer Agent and Registrar and any agent of any of them, may treat the person in whose name this Class B Certificate is registered as the
owner hereof for all purposes, and neither the Servicer nor the Trustee, the Paying Agent, the Transfer Agent and Registrar, nor any agent of any of them, shall be affected by notice to the contrary except in certain circumstances described in the
Agreement.  

      THIS CLASS B CERTIFICATE 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.  

 ASSIGNMENT 

 Social Security or other identifying number of assignee ________________________________

 

      FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto

______________________________________________________________________

                                        
    (name and address of assignee)  

 the within certificate and all rights thereunder, and hereby irrevocably constitutes and appoints

______________________ , attorney, to transfer said certificate on the books kept for registration thereof, with full power of substitution in the premises.  

 Dated: _____________________

 

 Signature Guaranteed:  

 

_____________________ *
  

 

_____________________

 

 

 

 

 

 

_______________________ 

 (*
) NOTE: The signature to this assignment must correspond with the name of the registered owner as it appears on the face of the within Certificate in every particular, without alteration, enlargement or any change whatsoever.
 

EXHIBIT C

FORM OF MONTHLY SERVICING OFFICER’S CERTIFICATE

CAPITAL ONE BANK

CAPITAL ONE MASTER TRUST

SERIES 2001-1

     The undersigned, a duly authorized representative of Capital One Bank, as Servicer, pursuant to the Pooling and Servicing Agreement, dated as of September 30, 1993 (as amended and supplemented, the
“Agreement”), as supplemented by the Series 2001-1 Supplement (as amended and supplemented, the “Series Supplement”), dated as of February 28, 2001, each between Capital One Bank and The Bank of New York, as Trustee, does hereby
certify as follows:

     1. Capitalized terms used in this Certificate have their respective meanings as set forth in the Agreement or Series Supplement, as
applicable.

     2. Capital One Bank is, as of the date hereof, the Servicer under the Agreement.

     3. The undersigned is a Servicing Officer.

     4. This Certificate relates to the Distribution Date occurring on ________.

     5. As of the date hereof, to the best knowledge of the undersigned, the Servicer has performed in all material respects all its obligations under the Agreement through the
Monthly Period preceding such Distribution Date [or, if there has been a default in the performance of any such obligation, set forth in detail the (i) nature of such default, (ii) the action taken by the Seller and Servicer, if any, to remedy such
default and (iii) the current status of each such default; if applicable, insert “None”].

     6. As of the date hereof, to the best knowledge of the undersigned, no Pay Out Event occurred on or prior to such Distribution Date.

     7.  As of the date hereof, to the best knowledge of the undersigned, no Lien has been placed on any of the Receivables other than pursuant to the
Agreement [or, if there is a Lien, such Lien consists of_________].

      IN WITNESS WHEREOF, the undersigned has duly executed and delivered this Certificate this ______ day of __________ , 20__. 

	 	CAPITAL ONE BANK
	 	     as Servicer
	 
	 	By:                                 
                                        

	   	     Name:
	  	     Title:

EXHIBIT D

FORM OF INVESTMENT LETTER 

[Date]

 

     Re: Capital One Master Trust;

           Purchases of Series 2001-1 Collateral Interest

Ladies and Gentlemen:

     This letter (the “Investment Letter”) is delivered by the undersigned (the “Purchaser”) pursuant to Section 10.07 of the Series 2001-1
Supplement, dated as of February 28, 2001 (the “Series Supplement”) to the Pooling and Servicing Agreement, dated as of September 30, 1993 (as amended and supplemented, the “Agreement”), each between The Bank of New York, as
Trustee, and Capital One Bank, as Seller and Servicer. Capitalized terms used herein without definition shall have the meanings set forth in the Agreement. The Purchaser represents to and agrees with the Seller as follows:

	 	(a)

  	The Purchaser has such knowledge and experience in financial and business matters as to be capable of evaluating the merits and risks of its investment in the Collateral Interest and is
able to bear the economic risk of such investment.

	 	(b)

  	The Purchaser is an “accredited investor,” as defined in Rule 501, promulgated by the Securities and Exchange Commission (the “Commission”) under the Securities Act of
1933, as amended (the “Securities Act”), or is a sophisticated institutional investor. The Purchaser understands that the offering and sale of the Collateral Interest has not been and will not be registered under the Securities Act and has
not and will not be registered or qualified under any applicable “Blue Sky” law, and that the offering and sale of the Collateral Interest has not been reviewed by, passed on or submitted to any federal or state agency or commission,
securities exchange or other regulatory body.

	 	(c)

  	The Purchaser is acquiring an interest in the Collateral Interest without a view to any distribution, resale or other transfer thereof except, with respect to any Collateral Interest or any
interest or participation therein, as contemplated in the following sentence. The Purchaser will not resell or otherwise transfer any interest or participation in the Collateral Interest, except in accordance with Section 10.07 of the Series
Supplement and (i) in a transaction exempt from the registration requirements of the Securities Act and applicable state securities or “blue sky” laws; (ii) to the Seller or any affiliate of the Seller; or (iii) to a person who the
Purchaser reasonably believes is a qualified institutional buyer (within the meaning thereof in

 

	 	  	Rule 144A under the Securities Act) that is aware that the resale or other transfer is being made in reliance upon Rule 144A. In connection therewith, the Purchaser hereby agrees that it will not
resell or otherwise transfer the Collateral Interest or any interest therein unless the purchaser thereof provides to the addressee hereof a letter substantially in the form hereof.

	 	(d)

  	No portion of the Collateral Interest or any interest therein may be Transferred, and each Assignee will certify that it is not, (a) an “employee benefit plan” (as defined in Section 3(3) of
ERISA), including governmental plans and church plans, (b) any “plan” (as defined in Section 4975(e)(1) of the Code) including individual retirement accounts and Keogh plans, or (c) any other entity whose underlying assets include
“plan assets” (within the meaning of Department of Labor Regulation Section 2510.3-101, 29 C.F.R. §2510.3-101 or otherwise under ERISA) by reason of a plan’s investment in the entity, including, without limitation, an insurance
company general account.

	 	(e)

  	This Investment Letter has been duly executed and delivered and constitutes the legal, valid and binding obligation of the Purchaser, enforceable against the Purchaser in accordance with its terms,
except as such enforceability may be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws or equitable principles affecting the enforcement of creditors’ rights generally and general principles of equity.

 

	 	Very truly yours,
	 	 
		[NAME OF PURCHASER]
	 	 
	 	 
	 	By:                                 
                       
	  	      Name:
	   	      Title:
	AGREED TO AS OF THE DATE FIRST

ABOVE WRITTEN: 	 
	 	 
	CAPITAL ONE BANK 	 
	 	 
	By:                                 
             	 
	     Name:	 
	     Title:<PAGE>   1
                                                                    Exhibit 10.7
                                DOVER CORPORATION
                        1995 INCENTIVE STOCK OPTION PLAN
                                       AND
                          1995 CASH PERFORMANCE PROGRAM
                          (AS AMENDED FEBRUARY 8, 2001)

                             A. PURPOSE AND SCOPE OF
                                PLAN AND PROGRAM

         1. Purpose. The 1995 Incentive Stock Option Plan (the "Plan") and 1995
Cash Performance Program (the "Program") are intended to promote the long-term
success of Dover Corporation by providing salaried officers and other key
employees of Dover Corporation and its subsidiaries, on whom major
responsibility for the present and future success of Dover Corporation rests,
with a long-range inducement to remain with the organization and to encourage
them to increase their efforts to make Dover Corporation successful. The term
"Corporation" shall mean Dover Corporation and any present or future corporation
which is or would be a "subsidiary corporation" of Dover Corporation as defined
in Section 424 of the Internal Revenue Code of 1986, as amended (the "Code"),
unless the context requires otherwise.

         2. Successor Plan and Program. The Plan and the Program are successors
to the 1984 Incentive Stock Option Plan and Cash Performance Program
(hereinafter the "Predecessor Plans"). No further grants of options or incentive
awards may be made under the Predecessor Plans. Options and incentive awards
under the Predecessor Plans shall be administered pursuant to the provisions of
those respective Plans.

         3. Administration. The Plan and the Program shall be administered and
interpreted by the Compensation Committee (or such other Committee of the Board
of Directors as the Board may designate if there is no Compensation Committee;
hereinafter the "Committee"), consisting of not less than three persons
appointed by the Board of Directors of the Corporation from among its members. A
person may serve as a Committee member provided he or she shall comply in all
respects with any qualifications required by law, including specifically being a
"disinterested person" for purposes of the rules promulgated under the
Securities Exchange Act of 1934, as amended (the "Exchange Act"), and an
"outside director" for purposes of Section 162(m) of the Code. The Committee
will have sole and complete authority to administer all aspects of the Plan and
the Program, including but not limited to: (a) determining the individuals
eligible to receive options and restricted stock under the Plan and/or to
participate in the Program; (b) granting options, restricted stock and
participations; (c) determining the number of options and the amount of
restricted stock and participations to be granted to any such eligible
individuals at any time or from time to time; (d) determining the terms and
conditions under which grants and participations will be made; and (e)
determining whether objectives and conditions for performance bonuses have been
met. The Committee may, subject to the provisions of the Plan and Program, from
time to time establish such rules and regulations as it deems appropriate for
the proper administration of the Plan and the Program. The Committee's decisions
shall be final, conclusive and binding with respect to the interpretation and
administration of the Plan and the Program and any grants or awards made
thereunder.

         4. Eligibility. Grants may be made to any employee of the Corporation
who is a salaried officer or other key employee, including salaried members of
the Board of Directors (hereinafter sometimes referred to as "participants").
The Committee shall select the participants eligible and determine the terms of
the grants and participations to each.

         5. Shares Available for Grant. 20,000,000 shares of Common Stock of
Dover Corporation (the "Common Stock") will be reserved for issuance upon
exercise of options to purchase Common Stock granted under the Plan, which
options may be granted at any time prior to January 30, 2005, and for awards of
restricted stock. These maximum numbers are subject to appropriate adjustment
resulting from future stock splits, stock dividends, recapitalizations,
reorganizations and other similar changes to be computed in the same manner as
that provided for in Paragraph 14 below. If any option or award of restricted
stock granted under the Plan expires, terminates or is canceled for any reason
without having been exercised in
<PAGE>   2
full, the number of unpurchased shares under such option or restricted stock
under such award will again be available for the purpose of the Plan.

                             B. STOCK OPTION AWARDS

         6. Stock Options. Options granted under the terms of this Plan shall be
designated as either "non-qualified" stock options or "incentive" stock options
within the meaning of Section 422 of the Code, and shall contain such terms and
conditions as the Committee may from time to time determine, subject to the
following limitations:

                 (a) Option Price. The fair market value of a share of Common
Stock on the date the option is granted shall be determined in good faith by the
Committee on the basis of such considerations as the Committee deems appropriate
from time to time, including, but not limited to, such factors as the closing
price for a share of Common Stock on such day (or, if such day is not a trading
day, on the next trading day) on the New York Stock Exchange (the "Exchange"),
the average of the closing bid and asked prices for a share of Common Stock on
the Exchange on the date the option is granted by the Committee or the average
of the high and low sales price of a share of Common Stock on the Exchange on
the date the option is granted by the Committee. The Committee shall be
authorized, in its discretion, to round the fair market value of a share of
Common Stock to the nearest whole number or quarterly fraction thereof.

                  (b) Option Exercise Period. The term of each option will be
for such period as the Committee may determine, but in no event may an option be
exercised more than 10 years following the granting thereof.

                 (c) Rights of Option Holder. A recipient of stock options shall
have no rights as a stockholder with respect to any shares issuable or
transferable upon exercise thereof until the date of issuance of a stock
certificate for such shares. Except as specifically set forth in Paragraph 14
below, no adjustment shall be made for dividends or other distributions of cash
or other property on or with respect to shares of stock covered by these options
paid or payable to holders of record prior to such issuance.

                 (d) Limits on Individuals. Options on a maximum number of
600,000 shares may be granted each year to a single participant. The aggregate
fair market value (determined on the date of grant) of Common Stock with respect
to which a participant is granted incentive stock options (including incentive
stock options granted under any Predecessor Plan) which first become exercisable
during any given calendar year shall not exceed $100,000.

         7. Exercise of Option. Stock options may be exercised at such time or
times and subject to such terms and conditions as the Committee shall determine
and are specified in the option instrument, not inconsistent with the terms of
the Plan; provided, however, that except as set forth in Paragraphs 11 and 14,
no option may be exercised prior to the third anniversary of such Option grant
and any partial exercise of an option shall be for not less than 500 shares. To
exercise an option, the option holder must give written notice to the
Corporation of the number of shares to be purchased accompanied by payment of
the full purchase price of such shares as set forth in Paragraph 8. The date of
actual receipt by the Corporation of such notice and payment shall be deemed the
date of exercise of the option with respect to the shares being purchased and
the stock certificates therefor shall be issued as soon as practicable
thereafter. The shares to be issued upon exercise of an option will be either
treasury or authorized and unissued stock, in the sole discretion of the
Corporation.

         8. Payment. Payment of the option exercise price must be made in full
at the time of exercise (a) by check made payable to the Corporation, (b) if
available, through the Loan Program (as hereinafter described), (c) by transfer
to the Corporation of shares of Common Stock owned by the participant or (d)
with a combination of the foregoing. If payment is made by the transfer of
shares, the value per share of the shares so transferred to the Corporation to
be credited toward the purchase price will be the average between the high and
the low sales price per share of Common Stock on the Exchange on the date the
option is exercised or, if no sales have occurred on that date, such value will
be the closing price per share on the Exchange on the next trading day following
the exercise of the option. The shares transferred to
<PAGE>   3
Dover will be added to the Corporation's treasury shares or canceled and become
authorized and unissued shares.

         9. Option Transfers. The options granted under the Plan may not be
sold, transferred, hypothecated, pledged or otherwise disposed of by any of the
holders except by will or by the laws of descent and distribution, or as
otherwise provided herein. The option of any person to acquire stock and all
rights thereunder shall terminate immediately if the holder attempts to or does
sell, assign, transfer, pledge, hypothecate or otherwise dispose of the option
or any rights thereunder to any other person except as permitted herein.
Notwithstanding the foregoing, a participant may transfer any non-qualified
option granted under this Plan to members of the holder's immediate family
(defined as a spouse, children and/or grandchildren), or to one or more trusts
for the benefit of such family members if the instrument evidencing such option
expressly so provides and the option holder does not receive any consideration
for the transfer; provided that any such transferred option shall continue to be
subject to the same terms and conditions that were applicable to such option
immediately prior to its transfer (except that such transferred option shall not
be further transferred by the transferee during the transferee's lifetime).

         10. Registration. The Corporation will stamp stock certificates
delivered to the stockholder with an appropriate legend if the shares are not
registered under the Securities Act of 1933, as amended (the "Act"), or are
otherwise not free to be transferred by the holder and will issue appropriate
stop-order instructions to the transfer agent for the Common Stock, if and to
the extent such stamping or instructions may then be required by the Act or by
any rule or regulation of the Securities and Exchange Commission issued pursuant
to the Act.

         11. Effect of Death, or Permanent Disability or Retirement. If an
option holder dies or becomes permanently disabled while employed by the
Corporation, the option holder or such holder's estate or the legatees or
distributees of such holder's estate or of the option, as the case may be, shall
have the right, on or before the earlier of the expiration date of the option or
sixty (60) months following the date of such death or permanent disability, to
purchase under the option the number of shares, if any, which the option holder
was entitled to purchase as of such date of death or permanent disability. If an
option holder retires at or after age 65 (or at an earlier retirement date
approved by the Committee and subject to the provisions of Paragraph 37 below),
the option holder shall have the right, on or before the earlier of the
expiration date of the option or sixty (60) months following the date of such
retirement, to purchase shares under any options which at retirement are, or
within sixty (60) months following retirement would become, exercisable.

         12. Voluntary or Involuntary Termination. If any option holder's
employment with the Corporation is voluntarily or involuntarily terminated for
any reason, other than for reasons specified above or for "cause" (as defined
below), the option holder shall have the right to purchase under the option the
number of shares, if any, which such holder was entitled to purchase at the time
of such termination at any time on or before the earlier of three (3) months
following the effective date of such termination of employment or the expiration
date of the option.

         13. Termination for Cause. If an option holder's employment with the
Corporation is terminated for cause (defined as (a) a felony conviction of the
option holder; (b) the commission by the option holder of an act of fraud or
embezzlement against the Corporation; or (c) the option holder's willful
misconduct or gross negligence materially detrimental to the Corporation), the
option shall be canceled and the holder shall have no further rights to exercise
any such option and all of such holder's rights thereunder shall terminate as of
the effective date of termination of employment.

         14. Effect of Stock Dividends, Merger, Recapitalization or
Reorganization or Similar Events. If any Common Stock dividend is paid by the
Corporation, if any non-cash distribution is made by the Corporation as respects
its Common Stock, if the shares of Common Stock are split or reclassified, if
the Corporation should be reorganized or consolidated or merged with or into
another corporation, or if all or substantially all the assets of the
Corporation are transferred to any other corporation in a reorganization, each
option holder shall be entitled, upon exercise of such holder's option, to
receive for the same aggregate exercise price the same number and kind of shares
of stock (to the nearest whole number) as he or she would have been entitled to
receive upon the happening of such stock dividend, distribution, stock split,
<PAGE>   4
reclassification, reorganization, consolidation, merger or transfer, if he or
she had been, immediately prior to such event, the holder of such shares.
Outstanding options shall be appropriately amended as to price and other terms
in a manner consistent with the aforementioned adjustment to the shares of
Common Stock subject to the Plan. The Board of Directors shall have the power,
in the event of any disposition of substantially all of the assets of the
Corporation, its dissolution, any merger or consolidation, or the merger or
consolidation of any other corporation into the Corporation, to amend all
outstanding options to permit their exercise prior to the effectiveness of any
such transaction and to terminate such options as of such effectiveness. If the
Board of Directors shall exercise such power, all options outstanding shall be
deemed to have been amended to permit the exercise thereof in whole or in part
by the holder at any time or from time to time as determined by the Board of
Directors prior to the effectiveness of such transaction and such options shall
be deemed to terminate upon such effectiveness.

         15. Loan Program. Except in unusual circumstances, it is the
Corporation's expectation that shares acquired through the exercise of options
are to be held by participants for the duration of their employment with the
Corporation. In order to help participants finance the exercise of their options
and resulting income taxes, if any, the Corporation may provide for loans to
Plan participants at any time and from time to time after May 1, 1995. If
established by the Board, any loan program will be administered by the Committee
and may apply to all existing unexercised options, with the exception of
incentive options, and/or all future option grants, as the Committee shall
decide. The terms of any loans shall be specified by the Committee, as they may
deem appropriate, provided that the following terms shall apply:

                 (a) The maximum amount of any loan cannot be greater than the
option exercise price of the acquired stock, together with the amount of any
taxes due as a result of such exercise, and in any event cannot exceed the fair
market value of the acquired stock. In the event the participant chooses to
satisfy all or a portion of the option exercise price by surrender, at fair
market value, of other Common Stock already owned by the participant, the
maximum amount of the loan will be reduced by the value of the stock
surrendered.

                 (b) Loans will be evidenced by promissory notes having a term
of not more than ten (10) years, which notes shall be subject to further
extension for additional periods of time not exceeding ten (10) years at each
such extension. Prepayment of loan principal may not be required during the
participant's employment with the Corporation and/or subsidiaries. Repayment in
full must be made within one (1) month of termination of employment; however,
this period is extended to six (6) months if employment ceases due to death,
permanent disability or retirement. Loan prepayment may be made by the
participant at the participant's discretion but, once reduced, the loan may not
be subsequently increased.

                 (c) The Corporation shall have the right to hold as collateral
all stock acquired under a particular option instrument, regardless of the
amount of the loan, until the loan is fully repaid. Such stock will be
registered in the participant's name (or such other name as the Plan permits) so
that the participant may vote the stock and receive the dividends applicable
thereto, provided the loan is current.

                 (d) The participant will be responsible for the full repayment
of the loan, regardless of the value of the stock. However, no additional
collateral for the loan will be required regardless of the fair market value of
the stock.

                 (e) Interest on the loan balance will be due quarterly, in
arrears, and will be at a sufficient rate so as not to result in any imputed
income to the participant under the terms of the Code.

         16. Change of Control. Options and grantees of options shall be subject
to the terms of Paragraph 36 below related to a change of control of the
Corporation.

                           C. RESTRICTED STOCK AWARDS

         17. Grant. Subject to the provisions and as part of the Plan, the
Committee shall have sole and complete discretion and authority to determine the
eligible persons who shall receive shares of Common Stock which are subject to
certain forfeiture restrictions during the restriction period and subject to the
terms
<PAGE>   5
of the Plan ("restricted stock"). Awards of restricted stock shall contain
such terms and conditions as the Committee may from time to time determine,
subject to the following limitations.

         18. Term of Restriction Period. The Committee may adopt such vesting
schedules, not longer than five (5) years from the date of the award, as it may
deem appropriate with respect to awards of restricted stock and may condition
the lapse of the restrictions applicable to an award upon the attainment by the
Corporation or any subsidiary or division or by the participant of any
performance objectives set by the Committee.

         19. Issuance of Shares. Certificates issued for restricted stock shall
be registered in the name of the participant and deposited by the participant
with the Secretary of the Corporation, together with a stock power endorsed in
blank. Upon lapse of the applicable restriction period, the Corporation shall
deliver such certificates to the participant. In the event that the shares of
restricted stock are forfeited, such shares automatically shall be transferred
back to the Corporation. The Corporation will stamp the stock certificates
delivered to the participant with an appropriate legend if the shares are not
registered under the Act, or are otherwise not free to be transferred by the
participant and will issue appropriate stop-order instructions to the transfer
agent for the Common Stock, if and to the extent such stamping or instructions
may then be required by the Act or by any rule or regulation of the Securities
and Exchange Commission issued pursuant to the Act.

         20. Dividends and Voting Rights. In the discretion of the Committee,
dividends which become payable with respect to restricted stock during the
restriction period will be reinvested in additional shares of restricted stock
for the account of the award recipient, accumulated for later distribution to
vested participants, or distributed to the award recipient as paid. An employee
who receives an award of restricted stock may also in the discretion of the
Committee be entitled, during the restriction period, to exercise voting rights
with respect to such restricted stock.

         21. Nontransferability. Shares of restricted stock may not be sold,
assigned, transferred, pledged or otherwise encumbered and shall not be subject
to execution, attachment, garnishment or other similar legal process, except as
otherwise provided in the applicable award agreement. Upon any attempt to sell,
transfer, assign, pledge, or otherwise encumber or dispose of the restricted
stock contrary to the provisions of the award agreement or the Plan, the
restricted stock shall immediately be forfeited to the Corporation.

         22. Termination of Employment. In the case of a participant's permanent
disability, death, termination of employment by the Corporation other than for
cause (as defined in Paragraph 13 above) or special circumstances, as determined
by the Committee, any restrictions remaining with respect to shares of
restricted stock as of the date of the participant's termination of employment
shall lapse. If the participant's employment with the Corporation is terminated
as a result of the retirement of the participant at or after age 65 (or at an
earlier retirement date approved by the Committee and subject to the provisions
of Paragraph 37 below), the shares of restricted stock shall continue to vest as
if the participant's employment had not terminated until such time as the
remaining restrictions lapse. If a participant's employment with the Corporation
is voluntarily or involuntarily terminated for any other reason during the
restriction period, the shares of restricted stock shall be forfeited.

         23. Effect of Stock Dividends, Merger, Recapitalization or
Reorganization or Similar Events. In the event of a stock dividend, merger,
recapitalization, reorganization or other transaction described in Paragraph 14
above, the terms and conditions of the restricted stock awards shall be adjusted
in a manner consistent with adjustments made to options granted under the Plan.

         24. Change of Control. Awards of restricted stock and persons who are
awarded restricted stock shall be subject to the terms of Paragraph 36 below.

         25. Cancellation. The Committee may at any time require the
cancellation of any award of restricted stock in consideration of a cash payment
or alternative award under the Plan equal to the fair market value of the
cancelled award of restricted stock.
<PAGE>   6
                           D. CASH PERFORMANCE AWARDS

         26. Awards and Period of Contingency. The Committee may, concurrently
with, or independently of, the granting of an option under the Plan, in its sole
discretion, grant to a participant the opportunity to earn a cash performance
payment, conditional upon the attainment of an objective performance goal during
a performance period. The performance period shall be not less than three fiscal
years of the Corporation, including the year in which the conditional grant is
made. Any performance goal established by the Committee shall include an
objective formula or standard for determining the amount of the performance
payment payable to a participant if the goal is attained. The performance goal
may be fixed by the Committee for the Corporation as a whole or for a subsidiary
or division of the Corporation, depending on the Committee's judgment as to what
is most appropriate for the individual involved, and shall be set by the
Committee before the 90th day after the commencement of the period of services
to which the performance payment relates. Performance goals shall be based on at
least one or more of the following factors which the Committee deems
appropriate, as they apply to the Corporation as a whole or to a subsidiary or a
division: (a) earnings per share, (b) operating earnings, (c) return on equity
and (d) return on investment. The performance goal with respect to a performance
period will be the same for all persons within the same business unit. The
material terms of the performance goals shall be subject to stockholder approval
to the extent provided in regulations promulgated under Section 162(m) of the
Code.

         27. Determination of Payment Amount. The aggregate maximum cash payout
for any business unit within the Corporation or the Corporation as a whole shall
not exceed a fixed percentage of the annual average earnings increase of the
relevant entity during the performance period, such percentages and dollar
amounts to be determined by the Committee annually when performance goals are
established. In no event can an individual receive an annual payment which
exceeds $2 million. A performance payment shall be payable with respect to a
performance period only if the Committee shall have certified that the
applicable performance target has been attained. The Committee shall also have
the power to approve proportional or adjusted payments under the Program to
address situations where participants join the Corporation, or transfer within
the Corporation, during a performance period. The Committee shall have the
discretion to decrease the amount payable upon attainment of the performance
goal (as determined under such formula or standard) to take into account the
effect of any unusual, non-recurring circumstance, but shall have the discretion
to increase the amount payable to take into account any such effect only if such
discretion would not cause such compensation to fail to qualify as "qualified
performance-based compensation" for purposes of Section 162(m) of the Code.

         28. Effect of Death, Disability or Other Early Termination of
Employment. If the participant in the Program (a) dies, (b) becomes permanently
disabled while employed by the Corporation or (c) terminates employment for any
reason (other than related to retirement covered by Paragraph 29 below) approved
by the Committee as an "approved termination", then, subject to the provisions
of Paragraph 37 below, the participant (or the participant's estate or the
legatees or distributees of the participant's estate, as the case may be) shall
be entitled to receive on the payment date the cash payment which the
participant would have earned had the participant then been an employee of the
Corporation, multiplied by a fraction, the numerator of which is the number of
months the participant was employed by the Corporation during the performance
measurement period and the denominator of which is the number of months of the
performance measurement period (treating fractional months as whole months in
each case).

         29. Effect of Normal Retirement. If before the date of payment, the
participant retires on or after age 65 years (or earlier as an "approved early
retirement" approved by the Committee and subject to the provisions of Paragraph
37 below), the participant shall be entitled to receive on the payment date the
same amount of cash which the participant would have earned had such participant
then been an employee of the Corporation as of such date.

         30. Effect of Other Terminations of Employment.

         (a) General Termination. If a participant's employment with the
Corporation is terminated for any reason, whether voluntary, involuntary, or for
cause (as defined as Paragraph 13 above), other than those
<PAGE>   7
described in Paragraphs 28 or 29 above or in Paragraph 30 (b) below, then his or
her participation shall be canceled and all of the participant's rights under
the grant shall terminate as of the effective date of the termination of such
employment.

         (b) Pre-Payment Termination. If, after the end of a performance
measurement period and before the date of payment or distribution of any final
award, a participant's employment is terminated, whether voluntarily or
involuntarily for any reason other than for cause (as defined in Paragraph 13
above), the participant shall be entitled to receive on the payment or
distribution date the cash payment which the participant would have earned had
the participant continued to be an employee of the Corporation as of the payment
or distribution date.

         31. Change of Control. The terms of a performance goal and each
participant in the Cash Performance Program shall be subject to the terms of
Paragraph 36 below.

                              E. GENERAL PROVISIONS

         32. Legal Compliance. It is the intent of the Corporation that the Plan
comply in all respects with applicable provisions of the Exchange Act, including
Section 16 and Rule 16b-3, so that any grant of options or restricted stock to,
or other transaction by, a participant who is subject to the reporting
requirements of Section 16(a) of the Exchange Act shall not result in
short-swing profits liability under Section 16(b) (except for any transaction
exempted under alternative Exchange Act rules or intended by such participant to
be a non-exempt transaction). It is also the intent of the Corporation that any
compensation income realized in connection with options or restricted stock and
any performance payments made under the Plan and Program constitute
"performance-based compensation" within the meaning of Section 162(m)(4)(C) of
the Code so that any deduction to which the Corporation is entitled in
connection with such compensation will not be subject to the limitations of
Section 162(m)(1) of the Code. Accordingly, if any provision of the Plan or
Program or any agreement relating to an option, grant of restricted stock or
participation does not comply with the requirements of Rule 16b-3 as then
applicable to any such transaction so that such a participant would be subject
to Section 16(b) liability (except for any transaction exempted under
alternative Exchange Act rules or intended by such participant to be a
non-exempt transaction), or if any provision of the Plan or Program or any
agreement relating to an option, grant of restricted stock or participation
would limit, under Section 162(m)(1) of the Code, the amount of compensation
income to an optionee or participant that the Corporation would otherwise be
entitled to deduct, such provision shall be construed or deemed amended to the
extent necessary to conform to such requirements, or to eliminate such
deductibility limitation, and the participant shall be deemed to have consented
to such construction or amendment.

         33. Withholding Taxes. The Committee shall make arrangements for the
collection of any Federal, State or local taxes of any kind required to be
withheld with respect to any transactions effected under the Plan or the
Program. The obligations of the Corporation under the Plan and the Program shall
be conditional on satisfaction of such obligations and the Corporation, to the
extent permitted by law, shall have the right to deduct any such taxes from any
payment of any kind otherwise due to a participant.

         34. Effect of Recapitalization or Reorganization. The obligations of
the Corporation with respect to an option or restricted stock granted under the
Plan or a participation under the Program shall be binding upon the Corporation,
its successors or assigns, including any successor or resulting company either
in liquidation or merger of the Corporation into another company owning all the
outstanding voting stock of the Corporation or in any other transaction whether
by merger, consolidation or otherwise under which such succeeding or resulting
company acquires all or substantially all the assets of the Corporation and
assumes all or substantially all its obligations unless options are terminated
in accordance with Paragraph 14.

         35. Employment Rights and Obligations. Neither the granting of any
option or award of restricted stock under the Plan or participation under the
Program nor the provisions related to a change of control of the Corporation (as
defined below) or a Person seeking to effect a change of control of the
Corporation shall alter or otherwise affect the rights of the Corporation to
change any and all the terms and conditions of employment of any participant
including, but not limited to, the right to terminate such participant's
employment.
<PAGE>   8
         36.     Change of Control.

                 (a) Each participant, upon acceptance of a grant of options or
restricted stock or the opportunity to earn a cash performance payment, and as a
condition to such grant, shall be deemed to have agreed that, in the event any
Person begins a tender or exchange offer, circulates a proxy to shareholders, or
takes other steps seeking to effect a change of control of the Corporation (as
defined below), such participant will not voluntarily terminate his or her
employment with the Corporation or with a direct or indirect subsidiary of the
Corporation, as the case may be, and, unless terminated by the Corporation or
such subsidiary, will continue to render services to the Corporation or such
subsidiary until such Person has abandoned or terminated efforts to effect a
change of control.

                  (b) In the event of a change of control,

                           (i) all options to purchase shares of common stock of
the Corporation shall immediately vest and become exercisable in accordance with
the terms of the appropriate stock option agreement;

                           (ii) all outstanding restrictions with respect to any
restricted stock shall immediately expire;

                           (iii) with respect to performance awards under the
Cash Performance Program:

                                    (A) all performance awards outstanding shall
immediately vest and become immediately due and payable;

                                    (B) the performance measurement period of
all performance awards outstanding shall terminate on the last day of the month
prior to the month in which the change of control occurs;

                                    (C) the participant shall be entitled to a
cash payment the amount of which shall be determined in accordance with the
terms and conditions of the Program and the appropriate program award agreement,
which amount shall be multiplied by a fraction, the numerator of which is the
actual number of months in the performance measurement period (as determined in
accordance with clause (iii)(B) above) and the denominator of which is 36 (or 48
if the performance measurement period established at the date of grant is four
years or more); and

                                    (D) the Continuing Directors (as defined in
Article Fourteenth of the Corporation's Certificate of Incorporation) shall
promptly determine whether the participant is entitled to any performance award,
and any performance award payable shall be paid to the participant promptly but
in no event more than five days after a change of control;

                           (iv) the Continuing Directors shall have the sole and
complete authority and discretion to decide any questions concerning the
application, interpretation or scope of any of the terms and conditions of any
grant or participation under the Plan or the Program, and their decisions shall
be binding and conclusive upon all interested parties; and

                           (v) other than as set forth above, the terms and
conditions of all grants and participations shall remain unchanged.

                  (c) A "change of control" shall be deemed to have taken place
upon the occurrence of any of the following events (capitalized terms are
defined below):

                           (i) any Person is or becomes the Beneficial Owner,
directly or indirectly, of securities of the Corporation (not including in the
securities beneficially owned by such Person any securities acquired directly
from the Corporation or its Affiliates) representing 20% or more of either the
then
<PAGE>   9
outstanding shares of common stock of the Corporation or the combined voting
power of the Corporation's then outstanding securities, excluding any Person who
becomes such a Beneficial Owner in connection with a transaction described in
clause (A) of paragraph (iii) below; or

                           (ii) the following individuals cease for any reason
to constitute a majority of the number of directors then serving: individuals
who, on February 1, 1995, constituted the Board and any new director (other than
a director whose initial assumption of office is in connection with an actual or
threatened election contest, including but not limited to a consent
solicitation, relating to the election of directors of the Corporation) whose
appointment or election by the Board or nomination for election by the
Corporation's stockholders was approved or recommended by a vote of at least
two-thirds (2/3) of the directors in office at the time of such approval or
recommendation who either were directors on February 1, 1995 or whose
appointment, election or nomination for election was previously so approved or
recommended; or

                           (iii) there is consummated a merger or consolidation
of the Corporation or any direct or indirect subsidiary of the Corporation with
any other corporation, other than (A) any such merger or consolidation after the
consummation of which the voting securities of the Corporation outstanding
immediately prior to such merger or consolidation continue to represent (either
by remaining outstanding or by being converted into voting securities of the
surviving entity or any parent thereof) at least 50% of the combined voting
power of the voting securities of the Corporation or such surviving entity or
any parent thereof outstanding immediately after such merger or consolidation,
or (B) any such merger or consolidation effected to implement a recapitalization
of the Corporation (or similar transaction) in which no Person is or becomes the
Beneficial Owner, directly or indirectly, of securities of the Corporation (not
including in the securities Beneficially Owned by such Person any securities
acquired directly from the Corporation or its Affiliates) representing 20% or
more of either the then outstanding shares of common stock of the Corporation or
the combined voting power of the Corporation's then outstanding securities; or

                           (iv) the stockholders of the Corporation approve a
plan of complete liquidation or dissolution of the Corporation or there is
consummated an agreement for the sale or disposition by the Corporation of all
or substantially all of the Corporation's assets, other than a sale or
disposition by the Corporation of all or substantially all of the Corporation's
assets to an entity, at least 50% of the combined voting power of the voting
securities of which are owned by stockholders of the Corporation in
substantially the same proportions as their ownership of the Corporation
immediately prior to such transaction or series of transactions.

                  (d) For purposes of this Paragraph 36, the following terms
shall have the meanings indicated:

                           (i) "Affiliate" shall have the meaning set forth in
Rule 12b-2 under Section 12 of the Exchange Act.

                           (ii) "Beneficial Owner" shall have the meaning set
forth in Rule 13d-3 under the Exchange Act, except that a Person shall not be
deemed to be the Beneficial Owner of any securities which are properly filed on
a Form 13-G.

                           (iii) "Exchange Act" shall mean the Securities
Exchange Act of 1934, as amended from time to time.

                           (iv) "Person" shall have the meaning given in Section
3(a)(9) of the Exchange Act, as modified and used in Sections 13(d) and 14(d)
thereof, except that such term shall not include (i) the Corporation or any of
its Affiliates, (ii) a trustee or other fiduciary holding securities under an
employee benefit plan of the Corporation or any of its Affiliates, (iii) an
underwriter temporarily holding securities pursuant to an offering of such
securities or (iv) a corporation owned, directly or indirectly, by the
stockholders of the Corporation in substantially the same proportions as their
ownership of stock of the Corporation.

         37. Non-compete. (a) Any approval by the Committee of a participant who
takes early retirement being accorded the same treatment as a participant
retiring at or after age 65, as contemplated in
<PAGE>   10
Paragraphs 11, 22 and 29, and any designation by the Committee of a termination
as an "approved termination" under Paragraph 28(c) shall be subject to the
provisions of this Paragraph 37. Any participant who is the beneficiary of any
such approval or designation by the Committee shall be deemed to have expressly
agreed not to compete with the Corporation or any subsidiary of the Corporation
at which such participant was employed at any time in the three years
immediately prior to termination of employment, as the case may be, in the
geographic area in which the Corporation or such subsidiary actively carried on
business at the end of the participant's employment there, for the period with
respect to which such approval or designation affords the participant enhanced
benefits, which period shall be, (a) with respect to stock options, the
additional period allowed the participant for the vesting and exercise of
options outstanding at termination of employment, (b) with respect to restricted
stock, the period remaining after the participant's termination of employment
until the end of the original restriction period for such restricted stock, and
(c) with respect to performance awards under the Cash Performance Program, the
period until the payment date following the end of the last applicable
performance period.

                 (b) In the event that a participant shall fail to comply with
the provisions of this Paragraph 37, the Committee's approval and/or
designation, as applicable, described above shall be automatically rescinded and
the participant shall forfeit the enhanced benefits referred to above and shall
return to the Corporation the economic value theretofore realized by reason of
such benefits as determined by the Committee. If the provision of this Paragraph
37, or the corresponding provisions of a grant, award or participation
agreement, shall be unenforceable as to any participant, the Committee may
rescind any such approval or designation with respect to such participant.

                 (c) If any provision of this Paragraph 37, or the corresponding
provisions of a grant, award or participation agreement, is determined by a
court to be unenforceable because of its scope in terms of geographic area or
duration in time or otherwise, the Corporation and the participant agree that
the court making such determination is specifically authorized to reduce the
duration and/or geographical area and/or other scope of such provision and, in
its reduced form, such provision shall then be enforceable; and in every case
the remainder of this Paragraph 37, or the corresponding provisions of a grant,
award or participation agreement, shall not be affected thereby and shall remain
valid and enforceable, as if such affected provision were not contained herein
or therein.

         38. Interpretation. The Committee shall have the sole and complete
authority and discretion to decide any questions concerning the application,
interpretation or scope of any of the terms and conditions of the Plan and the
Program, of any stock option agreement, loan or restricted stock award agreement
entered into pursuant to the Plan, or of any participation under the Program,
and its decisions shall be binding and conclusive upon all interested parties.

         39. Amendment. Except as expressly provided in the next sentence, the
Board of Directors may amend the Plan or Program in any manner it deems
necessary or appropriate (including any of the terms, conditions or definitions
contained herein), or terminate the Plan and/or Program at any time prior to
January 30, 2005; provided, however, that any such termination will not affect
the validity of any then outstanding options or restricted stock awards
previously granted under the Plan or outstanding participations under the
Program, as the case may be. Without the approval of the Corporation's
stockholders, the Board cannot: (a) increase the maximum number of shares
covered by the Plan or change the class of employees eligible to receive options
or restricted stock awards; (b) reduce the option price below the fair market
value of the Common Stock on the date of the option grant; or (c) extend beyond
120 months from the date of the grant the period within which an option may be
exercised.

         40. Effectiveness, and Termination of Plan. The Plan and the Program
will become effective on the date of their adoption by the Board of Directors,
subject to ratification of the adoption of the Plan and the Program by
affirmative vote of holders of a majority of the issued and outstanding shares
of Common Stock. The Plan and Program will both terminate on January 30, 2005
and no option or restricted stock award grant or participation grant, as the
case may be, may be made on or after such date.
<PAGE>   11
         41. Foreign Jurisdictions. The Committee may adopt, amend, and
terminate such arrangements, not inconsistent with the intent of the Plan and
the Program, as it may deem necessary or desirable to make available tax or
other benefits of the laws of foreign jurisdictions to participants who are
subject to such laws.

         42. Governing Law. The Plan, the Program and all grants, options,
awards and payments made hereunder shall be governed by and interpreted in
accordance with the internal laws of the State of New York, without regard to
conflicts of law principles.

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