Document:

Unassociated Document

    Exhibit
      4.2

     

    

    SUBSEQUENT
      TRANSFER INSTRUMENT

     

    Pursuant
      to this Subsequent Transfer Instrument, dated September 14, 2006 (the
“Instrument”), between Financial Asset Securities Corp. as seller (the
“Depositor”), and Deutsche Bank National Trust Company as trustee of the
      Soundview Home Loan Trust 2006-3, Asset-Backed Certificates, Series 2006-3,
      as
      purchaser (the “Trustee”), and pursuant to the Pooling and Servicing Agreement,
      dated as of August 1, 2006 (the “Pooling and Servicing Agreement”), among the
      Depositor, Wells Fargo Bank, N.A. as master servicer, servicer and trust
      administrator (the “Master Servicer”, “Servicer” and “Trust Administrator”), and
      the Trustee, agree to the sale by the Depositor and the purchase by the Trustee
      in trust, on behalf of the Trust, of the Mortgage Loans listed on the attached
      Schedule of Mortgage Loans (the “Subsequent Mortgage Loans”).

     

    Capitalized
      terms used but not otherwise defined herein shall have the meanings set forth
      in
      the Pooling and Servicing Agreement.

     

    Section
      1. Conveyance
      of Subsequent Mortgage Loans.

     

    (a) The
      Depositor does hereby sell, transfer, assign, set over and convey to the Trustee
      in trust, on behalf of the Trust, without recourse, all of its right, title
      and
      interest in and to the Subsequent Mortgage Loans, and including all amounts
      due
      on the Subsequent Mortgage Loans after the related Subsequent Cut-off Date,
      and
      all items with respect to the Subsequent Mortgage Loans to be delivered pursuant
      to Section 2.01 of the Pooling and Servicing Agreement; provided, however that
      the Depositor reserves and retains all right, title and interest in and to
      amounts due on the Subsequent Mortgage Loans on or prior to the related
      Subsequent Cut-off Date. The Depositor, contemporaneously with the delivery
      of
      this Agreement, has delivered or caused to be delivered to the Trustee each
      item
      set forth in Section 2.01 of the Pooling and Servicing Agreement. The transfer
      to the Trustee by the Depositor of the Subsequent Mortgage Loans identified
      on
      the Mortgage Loan Schedule shall be absolute and is intended by the Depositor,
      the Servicer, the Trustee and the Certificateholders to constitute and to be
      treated as a sale by the Depositor to the Trust Fund.

     

    (b) The
      Depositor, concurrently with the execution and delivery hereof, does hereby
      transfer, assign, set over and otherwise convey to the Trustee without recourse
      for the benefit of the Certificateholders all the right, title and interest
      of
      the Depositor, in, to and under each Subsequent Assignment and Recognition
      Agreement, dated the date hereof, among the Depositor as assignee, Greenwich
      Capital Financial Products, Inc. as assignor and First NLC Financial Services,
      LLC, Meritage Mortgage Corp. and Nationstar Mortgage LLC as originators, as
      applicable, to the extent of the Subsequent Mortgage Loans.

     

    (c) Additional
      terms of the sale are set forth on Attachment A hereto.

     

    Section
      2. Representations
      and Warranties; Conditions Precedent.

     

    (a) The
      Depositor hereby confirms that each of the conditions and the representations
      and warranties set forth in Section 2.08 of the Pooling and Servicing Agreement
      are satisfied as of the date hereof.

     

    (b) All
      terms
      and conditions of the Pooling and Servicing Agreement are hereby ratified and
      confirmed; provided, however, that in the event of any conflict, the provisions
      of this Instrument shall control over the conflicting provisions of the Pooling
      and Servicing Agreement.

     

    Section
      3. Recordation
      of Instrument.

     

    To
      the
      extent permitted by applicable law, this Instrument, or a memorandum thereof
      if
      permitted under applicable law, is subject to recordation in all appropriate
      public offices for real property records in all of the counties or other
      comparable jurisdictions in which any or all of the properties subject to the
      Mortgages are situated, and in any other appropriate public recording office
      or
      elsewhere, such recordation to be effected by the Servicer at the
      Certificateholders’ expense on direction of the related Certificateholders, but
      only when accompanied by an Opinion of Counsel to the effect that such
      recordation materially and beneficially affects the interests of the
      Certificateholders or is necessary for the administration or servicing of the
      Mortgage Loans.

     

    Section
      4. Governing
      Law.

     

    This
      Instrument shall be construed in accordance with the laws of the State of New
      York and the obligations, rights and remedies of the parties hereunder shall
      be
      determined in accordance with such laws, without giving effect to principles
      of
      conflicts of law.

     

    Section
      5. Counterparts.

     

    This
      Instrument may be executed in one or more counterparts and by the different
      parties hereto on separate counterparts, each of which, when so executed, shall
      be deemed to be an original; such counterparts, together, shall constitute
      one
      and the same instrument.

     

    Section
      6. Successors
      and Assigns.

     

    This
      Instrument shall inure to the benefit of and be binding upon the Depositor
      and
      the Trustee and their respective successors and assigns.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

     

    
      	 	
              FINANCIAL
                ASSET SECURITIES CORP.

               

            
	 	
              By:  /s/
                Ara Balabanian  

              Name:
                Ara Balabanian

              Title:
                Vice President

               

            
	 	
              DEUTSCHE
                BANK NATIONAL TRUST COMPANY 

              as
                trustee for Soundview Home Loan Trust 2006-3, 

              Asset-Backed
                Certificates, Series 2006-3

               

            
	 	
              By: /s/
                Ronaldo Reyes   

              Name:
                Ronaldo Reyes

              Title:
                Vice President

            

    

    Attachments

    A. Additional
      terms of sale.

    B. Schedule
      of Subsequent Mortgage Loans.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    ADDITIONAL
      TERMS OF SALE

    

    	A.  	
            General
              

          

    

    	1.  	
            Subsequent
              Cut-off Date: September 1, 2006

          

    	2.  	
            Subsequent
              Transfer Date: September 14, 2006

          

    	3.  	
            Aggregate
              Principal Balance of the Subsequent Mortgage Loans as of the Subsequent
              Cut-off Date: $ 209,896,726

          

    	4.  	
            Purchase
              Price: 100%

          

    

    	B.  	
            The
              obligation of the Trust Fund to purchase a Subsequent Mortgage Loan
              on any
              Subsequent Transfer Date is subject to the satisfaction of the conditions
              set forth in the immediately preceding paragraph and the accuracy of the
              following representations and warranties with respect to each such
              Subsequent Mortgage Loan determined as of the applicable Subsequent
              Cut-off Date: (i) such Subsequent Mortgage Loan may not be 60 or more
              days
              delinquent as of the last day of the month preceding the Subsequent
              Cut-off Date; (ii) the original term to stated maturity of such Subsequent
              Mortgage Loan will not be less than 180 months and will not exceed
              360
              months; (iii) the Subsequent Mortgage Loan may not provide for negative
              amortization; (iv) such Subsequent Mortgage Loan will not have a
              loan-to-value ratio greater than 100.00%; (v) such Subsequent Mortgage
              Loans will have, as of the Subsequent Cut-off Date, a weighted average
              term since origination not in excess of 4 months; (vi) such Subsequent
              Mortgage Loan, if a fixed rate Mortgage Loan, shall have a Mortgage
              Rate
              that is not less than 5.500% per annum; (vii) such Subsequent Mortgage
              Loan must have a first payment date occurring on or before November
              1,
              2006 and will include 30 days’ interest thereon; (viii) if the Subsequent
              Mortgage Loan is an Adjustable-Rate Mortgage Loan, the Subsequent Mortgage
              Loan will have a Gross Margin not less than 4.500% per annum; (ix)
              if the
              Subsequent Mortgage Loan is an Adjustable-Rate Mortgage Loan, the
              Subsequent Mortgage Loan will have a Maximum Mortgage Rate not less
              than
              10.000% and a Minimum Mortgage Rate not less than 2.250% per annum
              and (x)
              such Subsequent Mortgage Loan shall have been underwritten in accordance
              with the related Originator’s underwriting
              standards.

          

    

    	C.  	
            Following
              the purchase of any Subsequent Mortgage Loan by the Trust, the Mortgage
              Loans (including such Subsequent Mortgage Loans) will: (i) have a weighted
              average original term to stated maturity of not more than 360 months;
              (ii)
              in the case of the fixed rate Mortgage Loans, have a weighted average
              Mortgage Rate of not less than 5.500% per annum; (iii) have a weighted
              average Loan-to-Value Ratio of not more than 82.00%; (iv) have no Mortgage
              Loan with a Stated Principal Balance at origination in excess of
              $1,200,000; (v) will consist of Mortgage Loans with Prepayment Charges
              representing no less than 70.00% by aggregate Stated Principal Balance
              of
              the Mortgage Loans; (vi) have no more than 21% fixed rate Mortgage
              Loans;
              (vii) have a weighted average FICO score of not less than 615. For
              purposes of the calculations described in this paragraph, percentages
              of
              the Mortgage Loans will be based on the Stated Principal Balance of
              the
              Initial Mortgage Loans as of the Cut-off Date and the Stated Principal
              Balance of the Subsequent Mortgage Loans as of the related Subsequent
              Cut-off Date

          

    

    

    	D.  	
            Notwithstanding
              the foregoing, any Subsequent Mortgage Loan may be rejected by any
              Rating
              Agency if the inclusion of any such Subsequent Mortgage Loan would
              adversely affect the ratings of any Class of Certificates. At least
              one
              Business Day prior to the Subsequent Transfer Date, each Rating Agency
              shall notify the Trustee and the Trust Administrator as to which
              Subsequent Mortgage Loans, if any, shall not be included in the transfer
              on the Subsequent Transfer Date; provided, however, that the Seller
              shall
              have delivered to each Rating Agency at least three Business Days prior
              to
              such Subsequent Transfer Date a computer file acceptable to each Rating
              Agency describing the characteristics specified in paragraphs (B) and
              (C)
              above.

          

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    ATTACHMENT
      B

     

    SCHEDULE
      OF SUBSEQUENT MORTGAGE LOANSUnassociated Document

    
      

      

    

    

     

    Fourth
      Amended and Restated Receivables Sale Agreement

     

    Dated
      as of September 28, 2006

     

    among

     

    Crompton
      & Knowles Receivables Corporation,

    as
      the Seller,

     

    Chemtura
      Corporation,

    as
      the Initial Collection Agent,

     

    ABN
      AMRO Bank N.V.,

    as
      the Agent and the Amsterdam Purchaser Agent,

     

    Wachovia
      Bank, National Association,

    as
      the VFCC Purchaser Agent and LC Issuer

     

    Calyon
      New York Branch,

    as
      the Atlantic Purchaser Agent

     

    the
      other Purchaser Agents from time to time party hereto

     

    the
      Related Bank Purchasers from time to time party hereto,

     

    and

     

    Amsterdam
      Funding Corporation

     

    Atlantic
      Asset Securitization LLC

     

    Variable
      Funding Capital Company, LLC and 

     

    the
      other Conduit Purchasers from time to time party hereto

     

    

    
      

      

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

        
        

      

    

     

    Table
      of Contents

    

    
      	
              Article I

            	
              Purchases
                from Seller, Letters of Credit and Settlements

            
	
              Section 1.1.

            	
              Sales

            
	
              Section 1.2.

            	
              Letters
                of Credit

            
	
              Section 1.3.

            	
              Interim
                Liquidations.

            
	
              Section 1.4.

            	
              Discount
                Rates and Tranche Periods.

            
	
              Section 1.5.

            	
              Fees
                and Other Costs and Expenses

            
	
              Section 1.6.

            	
              Computation
                of Effective Receivable Interest; Deemed Collection

            
	
              Section 1.7.

            	
              Reduction
                in Commitments

            
	
              Section 1.8.

            	
              Repurchases.

            
	
              Section 1.9.

            	
              Assignment
                of Purchase Agreements.

            
	
              Section 1.10.

            	
              Extension
                of Termination Date

            
	
              Section 1.11.

            	
              Grant
                of Security Interest

            
	 	 
	
              Article II

            	
              Sales
                to and from Conduit Purchasers; Allocations

            
	
              Section 2.1.

            	
              Required
                Purchases from Conduit Purchaser

            
	
              Section 2.2.

            	
              Purchases
                by a Conduit Purchaser

            
	
              Section 2.3.

            	
              Allocations
                and Distributions

            
	
              Section 2.4.

            	
              Release
                of Excess Cash Collateral

            
	 	 
	
              Article III

            	
              Administration
                and Collections

            
	
              Section 3.1.

            	
              Appointment
                of Collection Agent

            
	
              Section 3.2.

            	
              Duties
                of Collection Agent

            
	
              Section 3.3.

            	
              Reports

            
	
              Section 3.4.

            	
              Lock-Box
                Arrangements

            
	
              Section 3.5.

            	
              Enforcement
                Rights

            
	
              Section 3.6.

            	
              Collection
                Agent Fee

            
	
              Section 3.7.

            	
              Responsibilities
                of the Seller

            
	
              Section 3.8.

            	
              Actions
                by Seller

            
	
              Section 3.9.

            	
              Indemnities
                by the Collection Agent.

            
	 	 
	
              Article IV

            	
              Representations
                and Warranties

            
	
              Section 4.1.

            	
              Representations
                and Warranties

            
	
               

            	 
	
              Article V

            	
              Covenants

            
	
              Section 5.1.

            	
              Covenants
                of the Seller

            
	 	 
	
              Article VI

            	
              Indemnification

            
	
              Section 6.1.

            	
              Indemnities
                by the Seller

            
	
              Section 6.2.

            	
              Increased
                Cost and Reduced Return

            
	
              Section 6.3.

            	
              Other
                Costs and Expenses

            
	
              Section 6.4.

            	
              Withholding
                Taxes

            
	
              Section 6.5.

            	
              Payments
                and Allocations

            
	 	 
	
              Article VII

            	
              Conditions
                Precedent

            
	
              Section 7.1.

            	
              Conditions
                to Closing

            
	
              Section 7.2.

            	
              Conditions
                to Each Purchase

            
	 	 
	
              Article VIII

            	
              The
                Agent

            
	
              Section 8.1.

            	
              Appointment
                and Authorization

            
	
              Section 8.2.

            	
              Delegation
                of Duties

            
	
              Section 8.3.

            	
              Exculpatory
                Provisions

            
	
              Section 8.4.

            	
              Reliance
                by Agent

            
	
              Section 8.5.

            	
              Assumed
                Payments

            
	
              Section 8.6.

            	
              Notice
                of Termination Events

            
	
              Section 8.7.

            	
              Non-Reliance
                on Agent, Purchaser Agents and Other Purchasers

            
	
              Section 8.8.

            	
              Agents
                and Affiliates.

            
	
              Section 8.9.

            	
              Indemnification

            
	
              Section 8.10.

            	
              Successor
                Agent.

            
	 	 
	
              Article IX

            	
              Miscellaneous

            
	
              Section 9.1.

            	
              Termination

            
	
              Section 9.2.

            	
              Notices

            
	
              Section 9.3.

            	
              Payments
                and Computations

            
	
              Section 9.4.

            	
              Sharing
                of Recoveries

            
	
              Section 9.5.

            	
              Right
                of Setoff

            
	
              Section 9.6.

            	
              Amendments

            
	
              Section 9.7.

            	
              Waivers

            
	
              Section 9.8.

            	
              Successors
                and Assigns; Participations; Assignments

            
	
              Section 9.9.

            	
              Intended
                Tax Characterization

            
	
              Section 9.10.

            	
              Waiver
                of Confidentiality

            
	
              Section 9.11.

            	
              Confidentiality
                of Agreement

            
	
              Section 9.12.

            	
              Agreement
                Not to Petition.

            
	
              Section 9.13.

            	
              Excess
                Funds

            
	
              Section 9.14.

            	
              No
                Recourse

            
	
              Section 9.15.

            	
              Limitation
                of Liability

            
	
              Section 9.16.

            	
              Headings;
                Counterparts.

            
	
              Section 9.17.

            	
              Cumulative
                Rights and Severability.

            
	
              Section 9.18.

            	
              Governing
                Law; Submission to Jurisdiction

            
	
              Section 9.19.

            	
              Waiver
                of Trial by Jury

            
	
              Section 9.20.

            	
              Entire
                Agreement.

            
	
              Section
                9.21.

            	
              Original
                Sale Agreement

            

    

     

    Signature

     

    

    

    
      	
              Schedules

            	
              Description

            
	
              Schedule I

            	
              Definitions

            
	
              Schedule II

            	
              Related
                Bank Purchasers and Commitments of Related Bank
                Purchasers

            
	 	 
	
              Exhibits

            	
              Description

            
	
              Exhibit A

            	
              Form
                of Incremental Purchase Request

            
	
              Exhibit B

            	
              Form
                of Notification of Assignment from the Related Bank Purchasers to
                Amsterdam

            
	
              Exhibit C-1

            	
              Form
                of Monthly Report

            
	
              Exhibit C-2

            	
              Form
                of Weekly Report

            
	
              Exhibit C-3

            	
              Form
                of Daily Report

            
	
              Exhibit D

            	
              Addresses
                and Names of Seller and Originator

            
	
              Exhibit E

            	
              Subsidiaries

            
	
              Exhibit F

            	
              Lock-Boxes
                and Lock-Box Banks

            
	
              Exhibit G

            	
              Form
                of Lock-Box Letter

            
	
              Exhibit H

            	
              [Reserved]

            
	
              Exhibit I

            	
              Credit
                and Collection Policy

            

    

    

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

        
        

      

    

     

    Fourth
      Amended and Restated

    Receivables
      Sale Agreement

     

    This
      Fourth Amended and Restated Receivables Sale Agreement, dated
      as
      of September 28, 2006 (this “Agreement”),
      among
      Crompton & Knowles Receivables Corporation, a Delaware corporation, as
      Seller (the “Seller”),
      Chemtura Corporation (f/k/a Crompton Corporation), a Delaware corporation,
      as
      the initial Collection Agent (the “Initial
      Collection Agent”),
      and,
      together with any successor thereto, the “Collection
      Agent”),
      ABN
      AMRO Bank N.V., as agent for the Purchaser Group to which Amsterdam is a party
      and the Purchasers (the “Agent”),
      Calyon
      New York Branch (“Calyon”),
      as the
      Purchaser Agent for the Purchaser Group to which Atlantic is a party, Wachovia
      Bank, National Association (“Wachovia”),
      as
      Letter of Credit issuer (in such capacity, the “LC
      Issuer”)
      and as
      Purchaser Agent for the Purchaser Group to which VFCC is a party, the other
      Purchaser Agents from time to time party hereto, the related bank purchasers
      party hereto (the “Related
      Bank Purchasers”),
      Amsterdam Funding Corporation (“Amsterdam”),
      as a
      Conduit Purchaser, Atlantic Asset Securitization LLC (“Atlantic”),
      as a
      Conduit Purchaser, Variable Funding Capital Company, LLC (“VFCC”),
      as a
      Conduit Purchaser and the other Conduit Purchasers from time to time party
      hereto. Certain capitalized terms used herein, and certain rules of
      construction, are defined in Schedule I. 

     

    Preliminary
      Statement

     

    Reference
      is made to the Third Amended and Restated Receivables Sale Agreement dated
      as of
      March 2, 2006 (as amended prior to the date hereof, the “Original
      Sale Agreement”),
      among
      the parties hereto (other than the LC Issuer). The Seller has requested that
      a
      sub-facility for standby letters of credit be added to the facility evidenced
      by
      the Original Sale Agreement. This Agreement amends and replaces in its entirety
      the Original Sale Agreement, and from and after the date hereof, all references
      to the Original Sale Agreement in any Transaction Document or in any other
      instrument or document shall, without more, be deemed to refer to this
      Agreement.

     

    Now,
      Therefore, in
      consideration of the mutual agreements contained herein and the other good
      and
      valuable consideration, the receipt and sufficiency of which are hereby
      acknowledged, the parties hereby agree as follows:

     

    Article I

    Purchases
      from Seller, Letters of Credit and Settlements

     

    Section 1.1.Sales.
      f

     

    (a)
      Sold
      Interest; Seller Interest.
      Subject
      to the terms and conditions hereof, the Seller may, from time to time before
      the
      Termination Date, sell to the Conduit Purchasers, or, only if a Conduit
      Purchaser declines to make the applicable purchase, ratably to the Related
      Bank
      Purchasers for such Conduit Purchaser, an undivided percentage ownership
      interest in the Receivables and all related Collections. Any such purchase
      (a
“Purchase”)
      shall
      be made by each relevant Purchaser remitting funds to the Seller, through its
      Purchaser Agent, pursuant to Section 1.1(c) or by the Collection Agent
      remitting Collections to the Seller pursuant to Section 1.1(d). The
      aggregate percentage ownership interest so acquired by a Purchaser in the
      Receivables and related Collections (its “Purchase
      Interest”)
      shall
      equal at any time the following quotient:

     

    
      	
                   I     

            	
              +

            	
              PRP

            
	
              ERB

            	 	 

    

     

    where:

    
      	 	
              I

            	
              =

            	
              the
                outstanding Investment of such Purchaser at such time;

            
	 	
              ERB

            	
              =

            	
              the
                Eligible Receivables Balance at such time; and

            
	 	
              PRP

            	
              =

            	
              the
                Purchaser Reserve Percentage at such
                time.

            

    

     

    Except
      during a Liquidation Period for a Purchaser, such Purchaser’s Purchase Interest
      will change whenever its Investment, its Purchaser Reserve Percentage or the
      Eligible Receivables Balance changes. During a Liquidation Period for a
      Purchaser, its Purchase Interest shall remain constant at the percentage in
      effect as of the day immediately preceding the beginning of such Liquidation
      Period, except for redeterminations to reflect Investment acquired from or
      transferred to another Purchaser hereunder or under the Transfer Agreement.
      The
      sum of all Purchasers’ Purchase Interests at any time is referred to herein as
      the “Sold
      Interest”,
      which
      at any time is the aggregate percentage ownership interest then held by the
      Purchasers in the Receivables and Collections. All right, title and interest
      in
      the Receivables and related Collections not constituting part of the Sold
      Interest shall constitute the “Seller
      Interest”.
      On each
      day hereafter on which Collections are received, the Collection Agent shall
      allocate such Collections ratably to the Sold Interest and to the Seller
      Interest. Collections allocated to the Sold Interest shall hereinafter be
      referred to as “Purchaser
      Collections,”
      and
      Collections allocated to the Seller Interest shall hereinafter be referred
      to as
“Seller
      Collections.”

     

    (b)
      Conduit
      Purchasers Purchase Option and Other Purchasers’
Commitments.
      Subject
      to Section 1.1(d) concerning Reinvestment Purchases, at no time will the
      Conduit Purchasers have any obligation to make a Purchase. Each Related Bank
      Purchaser severally hereby agrees, subject to Section 7.2 and the other
      terms and conditions hereof, to make Purchases before the Termination Date,
      based on the applicable Purchaser Group’s Ratable Share of each Purchase (and in
      the case of each Related Bank Purchaser, the Commitment Percentage of its
      Purchaser Group’s Ratable Shares of such Purchase) by the Related Bank
      Purchasers, to the extent its Investment would not thereby exceed its
      Commitment, the Aggregate Investment would not thereby exceed the Purchase
      Limit, and the aggregate Credit Exposure would not thereby exceed the Aggregate
      Commitments. Each Purchaser’s first Purchase, and each additional Purchase by
      such Purchaser not made solely from Purchaser Collections pursuant to
      Section 1.1(d), is referred to herein as an “Incremental
      Purchase.”
      Each
      Purchase made by a Purchaser with the proceeds of Purchaser Collections which
      does not increase the outstanding Investment of such Purchaser, is referred
      to
      herein as a “Reinvestment
      Purchase.”
      All
      Purchases hereunder shall be made ratably by each Purchaser Group in accordance
      with the Commitment of such Purchaser Group.

     

    (c)
      Incremental
      Purchases.
      In
      order to request an Incremental Purchase from a Purchaser, the Seller must
      provide to the Agent and each Purchaser Agent an irrevocable written request
      (including by telecopier or other facsimile communication) substantially in
      the
      form of Exhibit A, by 10:00 a.m. (Chicago time) three Business Days
      before the requested date (the “Purchase
      Date”)
      of such
      Purchase, specifying the requested Purchase Date (which must be a Business
      Day)
      and the requested amount (the “Purchase
      Amount”)
      of such
      Purchase, which must be in a minimum amount of $1,000,000 and multiples thereof
      (or, if less, an amount equal to the Maximum Incremental Purchase Amount).
      All
      Incremental Purchases must be requested ratably from all Conduit Purchasers
      unless, upon such request, a Conduit Purchaser, in its sole discretion,
      determines not to make its Ratable Share of the requested Incremental Purchase,
      in which case the Seller will automatically be deemed to have requested such
      Incremental Purchase from the Related Bank Purchasers of such Conduit Purchaser.
      Each Purchaser Agent shall promptly notify the related Purchasers from which
      a
      Purchase is requested of the contents of such request. If a Conduit Purchaser
      determines, in its sole discretion, to make the requested Purchase, such Conduit
      Purchaser shall transfer to the applicable Purchaser Agent’s Account the amount
      of such Incremental Purchase on the requested Purchase Date. If a Conduit
      Purchaser refuses to make a requested Purchase the Seller shall automatically
      be
      deemed to have requested the Incremental Purchase from the Related Bank
      Purchasers of such Conduit Purchaser, subject to Section 7.2 and the other
      terms and conditions hereof, each Related Bank Purchaser shall transfer its
      Ratable Share of the requested Purchase Amount into the applicable Purchaser
      Agent’s Account by no later than 12:00 noon (Chicago time) on the Purchase Date.
      Each Purchaser Agent shall transfer to the Seller Account the proceeds of any
      Incremental Purchase to the extent of funds actually received by such Purchaser
      Agent in such Purchaser Agent’s Account.

     

    (d)
      Reinvestment
      Purchases.
      Unless
      a Conduit Purchaser has provided to the Agent, its Purchaser Agent, the Seller
      and the Collection Agent a notice still in effect that it no longer wishes
      to
      make Reinvestment Purchases (in which case, such Conduit Purchaser’s
      Reinvestment Purchases, but not those of its Related Bank Purchasers, shall
      cease), at any time before the Termination Date when no Interim Liquidation
      is
      in effect, on each day that any Purchaser Collections are received by the
      Collection Agent, a Purchaser’s Purchase Interest in such Purchaser Collections
      shall automatically be used to make a Reinvestment Purchase by such Purchaser,
      but only to the extent such Reinvestment Purchase would not cause the
      Purchaser’s Investment to increase above the amount of such Investment at the
      start of the day plus any Incremental Purchases made by the Purchaser on that
      day. A Conduit Purchaser may revoke any notice provided under the first sentence
      of this Section 1.1(d) by notifying the Agent, its Purchaser Agent, the
      Seller and the Collection Agent that it will make Reinvestment
      Purchases.

     

    Section 1.2. Letters
      of Credit.
      (a)
Issuance
      and Modification.
      Subject
      to the terms and conditions hereof, the Seller may, from time to time before
      the
      Termination Date, request that the LC Issuer issue Letters of Credit, and the
      LC
      Issuer hereby agrees to issue each Letter of Credit and to renew, extend,
      increase, decrease or otherwise modify each such Letter of Credit (“Modify,”
      and each
      such action a “Modification”),
      from
      time to time upon the request of the Seller prior to the Termination Date;
      provided
      that
      no
      Letter of Credit shall be issued or Modified by the LC Issuer if: (i) after
      giving effect thereto, the
      aggregate Credit Exposure would exceed the Aggregate Commitment, (ii) after
      giving effect thereto, the
      LC
      Obligations would exceed the LC Sublimit, (iii) after giving effect
      thereto, the
      Effective Receivable Interest (as most recently computed or recomputed by the
      Collection Agent in a Periodic Report and expressed as a percentage) would
      exceed 100.0% at any time; (iv) the face amount of such Letter of Credit is
      less
      than $1,000,000; (v) such Letter of Credit has an original expiry date more
      than
      one year after the later of (A) its date of issuance, and (B) the date of its
      most recent Modification; or (vi) the LC Issuer has received written notice
      that
      a Termination Event or Potential Termination Event exists and is
      continuing.

     

    (b)
      Letter
      of Credit Requests.
      The
      Seller shall give the LC Issuer and the Purchaser Agents reasonable prior notice
      of the proposed date of issuance or Modification of each Letter of Credit (and
      in no event shall such notice be given later than 12:00 noon (Chicago time)
      three Business Days prior to such issuance or Modification), by delivering
      a
      copy of the Letter of Credit Request provided to it under the Purchase
      Agreement, together with a transmittal letter in substantially the form of
      Exhibit H hereto, duly completed by the Seller. The issuance or Modification
      by
      the LC Issuer of any Letter of Credit shall, in addition to the conditions
      precedent set forth in Article VII, be subject to the conditions precedent
      that
      such Letter of Credit shall be reasonably satisfactory to the LC Issuer and
      that
      the Seller shall have executed and delivered such application agreement and/or
      such other instruments and agreements relating to such Letter of Credit as
      the
      LC Issuer shall have reasonably requested (each, an “LC
      Application”).
      In no
      event shall the LC Issuer be obligated to issue a Modification if, on the
      proposed date of such Modification, the LC Issuer would not be obligated to
      issue a new Letter of Credit if requested or if the beneficiary does not consent
      to the proposed terms of the Modification. In the event of any conflict between
      the terms of this Agreement and the terms of any LC Application, the terms
      of
      this Agreement shall control.

    (c)
      Reimbursement
      by Seller;
      Interest; Pledge of Seller Interest.
      Upon
      receipt from the beneficiary of any Letter of Credit of any demand for payment
      under such Letter of Credit, the LC Issuer shall notify the Purchaser Agents
      and
      the Seller as to the amount to be paid by the LC Issuer as a result of such
      demand and the proposed payment date (the “LC
      Payment Date”).
      The
      responsibility of the LC Issuer to the Seller shall be only to determine that
      the documents (including each demand for payment) delivered under each Letter
      of
      Credit in connection with such presentment shall be in conformity in all
      material respects with such Letter of Credit. The Seller shall be irrevocably
      and unconditionally obligated to reimburse the LC Issuer on or before the
      applicable LC Payment Date for any amounts to be paid by the LC Issuer upon
      any
      drawing under any Letter of Credit, without presentment, demand, protest or
      other formalities of any kind, either from cash on hand or, subject to the
      terms
      and conditions hereof, with the proceeds of a Purchase (and, in the event that
      the Seller does not have sufficient cash on hand to make any such reimbursement,
      the Seller hereby irrevocably and unconditionally commits that it will request
      a
      Purchase on the terms and conditions specified in this Agreement); provided
      that
      the Seller shall not hereby be precluded from asserting any claim for direct
      (but not consequential) damages suffered by the Seller to the extent, but only
      to the extent, caused by (i) the willful misconduct or gross negligence of
      the
      LC Issuer or (ii) the LC Issuer’s failure to pay under any Letter of Credit
      issued by it after the presentation to it of a request strictly complying with
      the terms and conditions of such Letter of Credit. All such amounts paid by
      the
      LC Issuer and remaining unpaid by the Seller (whether from cash on hand or
      with
      the proceeds of a Purchase made in accordance with this Agreement) shall bear
      interest (“Interest”),
      payable on each Settlement Date in arrears out of Seller Collections, for each
      day until paid at a rate per annum equal to the Default Rate. Regardless of
      whether the applicable LC Payment Date has occurred, the Purchaser Agents are
      hereby irrevocably directed to pay the proceeds of each Purchase made while
      any
      Reimbursement Obligation remains outstanding directly to the LC Issuer until
      all
      such Reimbursement Obligations, together with all accrued and unpaid interest
      and LC Fees thereon, are paid in full. The Seller’s Reimbursement Obligations,
      and the Seller’s obligation to pay Interest pursuant to this Section 1.2(c),
      shall be secured by a pledge of the Seller Interest.

    

    (d)
      Obligations
      Absolute.
      The
      Seller’s obligations under this Section 1.2 shall be absolute and unconditional
      under any and all circumstances and irrespective of (i) any lack of validity
      or
      enforceability of such Letter of Credit, this Agreement, or any other agreement
      or instrument relating thereto; (ii) the
      existence of any claim, counterclaim, set-off, defense or other right that
      the
      Seller or any Originator may have at any time against any beneficiary or any
      transferee of such Letter of Credit (or any Person for whom any such beneficiary
      or any such transferee may be acting), the applicable LC Issuer or any other
      person, whether in connection with this Agreement, the transactions contemplated
      hereby or by such Letter of Credit or any agreement or instrument relating
      thereto, or any unrelated transaction; (iii) any
      draft, demand, certificate or other document presented under such Letter of
      Credit proving to be forged, fraudulent, invalid or insufficient in any respect
      (provided that such draft, demand, certificate or other document presented
      pursuant to such Letter of Credit appears on its face to comply with the terms
      thereof) or any statement therein being untrue or inaccurate in any respect;
      or
      any loss or delay in the transmission or otherwise of any document required
      in
      order to make a drawing under such Letter of Credit; (iv) any
      payment by the LC Issuer under such Letter of Credit against presentation of
      a
      draft or certificate that does not strictly comply with the terms of such Letter
      of Credit (provided that such draft, demand, certificate or other document
      presented pursuant to such Letter of Credit appears on its face to comply with
      the terms thereof); or any payment made by the LC Issuer under such Letter
      of
      Credit to any Person purporting to be a trustee in bankruptcy,
      debtor-in-possession, assignee for the benefit of creditors, liquidator,
      receiver or other representative of or successor to any beneficiary or any
      transferee of such Letter of Credit, including any arising in connection with
      any proceeding under the Bankruptcy Code of the United States, or any other
      liquidation, conservatorship, bankruptcy, assignment for the benefit of
      creditors, moratorium, rearrangement, receivership, insolvency, reorganization,
      or similar debtor relief laws of the United States or other applicable
      jurisdictions from time to time in effect and affecting the rights of creditors
      generally; (v) any
      exchange, release or non-perfection of any collateral, or any release or
      amendment or waiver of or consent to the departure from any guarantee, for
      all
      or any of the obligations of the Seller or any Originator in respect of any
      Letter of Credit; or (vi) any
      other
      circumstance or happening whatsoever, whether or not similar to any of the
      foregoing, including any other circumstance that might otherwise constitute
      a
      defense available to, or a discharge of, the Seller of the applicable
      Originator, provided that the Seller shall not hereby be precluded from
      asserting any claim for direct (but not consequential) damages suffered by
      the
      Seller to the extent, but only to the extent, caused by (i) the willful
      misconduct or gross negligence of the LC Issuer or (ii) the LC Issuer’s failure
      to pay under any Letter of Credit issued by it after the presentation to it
      of a
      request strictly complying with the terms and conditions of such Letter of
      Credit. The Seller
      shall
      promptly examine a copy of each Letter of Credit and each amendment thereto
      that
      is delivered to it, and, in the event of any claim of noncompliance with
      Seller’s instructions or other irregularity, the Seller will immediately
(and
      in
      any event within 5 Business Days) notify
      the LC Issuer. The Seller shall be conclusively deemed to have waived any such
      claim against the LC Issuer and its correspondents unless such notice is given
      as aforesaid.

    

    (e)
      Actions
      of the LC Issuer.
      With
      respect to any actions taken or omitted in the absence of gross negligence
      or
      willful misconduct, the LC Issuer shall be entitled to rely, and shall be fully
      protected in relying, upon any Letter of Credit, draft, writing, resolution,
      notice, consent, certificate, affidavit, letter, cablegram, telegram, telecopy,
      telex or teletype message, statement, order or other document believed by it
      to
      be genuine and correct and to have been signed, sent or made by the proper
      Person or Persons, and upon advice and statements of legal counsel, independent
      accountants and other experts selected by the LC Issuer.

    

    (f)
      Participations.
      By the
      issuance of a Letter of Credit (or an amendment to a Letter of Credit increasing
      the amount thereof) and without any further action on the part of the LC Issuer
      or the Related Bank Purchasers, the LC Issuer hereby grants to each Related
      Bank
      Purchaser, and each Related Bank Purchaser hereby acquires from the LC Issuer,
      a
      participation in such Letter of Credit equal to such Related Bank Purchaser’s
      Percentage of the aggregate amount available to be drawn under such Letter
      of
      Credit. In consideration and in furtherance of the foregoing, each Related
      Bank
      Purchaser hereby absolutely and unconditionally agrees to pay to the LC Issuer,
      such Related Bank Purchaser’s Percentage of each draw honored by the LC Issuer
      pursuant to a Letter of Credit and not reimbursed by the Seller on the date
      due
      as provided in Section 1.2(c), or of any reimbursement payment required to
      be
      refunded to the Seller for any reason. Each Related Bank Purchaser acknowledges
      and agrees that its obligation to acquire participations pursuant to this
      paragraph in respect of Letter of Credit is absolute and unconditional and
      shall
      not be affected by any circumstance whatsoever, including any amendment, renewal
      or extension of any Letter of Credit or the occurrence and continuance of a
      Termination Event or Collection Agent Replacement Event or reduction or
      termination of the Commitments, and that each such payment shall be made without
      any offset, abatement, withholding or reduction whatsoever. The Related Bank
      Purchasers shall be entitled to receive their ratable shares of any LC Fees
      and
      Interest actually collected by the LC Issuer, but in no event shall they be
      entitled to share in any other fees, commissions, charges or expenses payable
      to
      the LC Issuer.

    

    (g)
      LC
      Issuer Agreements.
      Promptly after the occurrence thereof, the LC Issuer shall report to each of
      the
      Purchaser Agents: (i) the date and amount of each issuance, extension,
      amendment, renewal and cancellation of a Letter of Credit, (ii) the date and
      amount of each draw honored under a Letter of Credit, and (iii) the date and
      amount of each failure by the Seller to reimburse a Reimbursement Obligation
      required to be reimbursed to the LC Issuer. The LC Issuer shall invoice the
      Seller for LC Fees no later than the 15th
      day of
      each month hereafter and shall disburse each Related Bank Purchaser’s share of
      LC Fees and Interest received by the LC Issuer within one (1) Business Day
      after
      the LC Issuer’s receipt thereof.

    (h)
      Cash-Collateralization
      of LC Obligations.
      On the
      Termination Date, the Seller shall be and become thereby unconditionally
      obligated, without any further notice, act or demand, to pay to the LC Issuer,
      an amount equal to all Reimbursement Obligations then outstanding, together
      with
      accrued and unpaid Interest and L/C Fees thereon, and to deposit into the Letter
      of Credit Collateral Account an amount equal to the Aggregate Face Amount
      Outstanding, together with an amount equal to the L/C Fees that will accrue
      thereon through the expiry date of each Letter of Credit. The LC Issuer may
      at
      any time or from time to time after funds are deposited in the Letter of Credit
      Collateral Account, apply such funds to the payment of draws under outstanding
      Letter of Credit and any other amounts as shall from time to time have become
      due and payable by Seller to the LC Issuer under the Transaction Documents.
      After all of the LC Obligations have been indefeasibly paid in full and the
      obligation of the LC Issuer to issue Letter of Credit has been terminated,
      any
      funds remaining in the Letter of Credit Collateral Account shall be returned
      by
      the LC Issuer to the Seller or paid to whomever may be legally entitled thereto
      at such time.

     

    Section 1.3.
      Interim
      Liquidations.
      (a)
Optional.
      The
      Seller may at any time direct that Reinvestment Purchases cease and that an
      Interim Liquidation commence for all Purchasers by giving the Agent, the LC
      Issuer, each Purchaser Agent and the Collection Agent at least three Business
      Days’ written (including telecopy or other facsimile communication) notice
      specifying the date on which the Interim Liquidation shall commence and, if
      desired, when such Interim Liquidation shall cease before the Termination Date
      (identified as a specific date or as when the Aggregate Investment is reduced
      to
      a specified amount). If the Seller does not so specify the date on which an
      Interim Liquidation shall cease, it may cause such Interim Liquidation to cease
      at any time before the Termination Date, subject to Section 1.3(b) below,
      by notifying the Agent, the LC Issuer, each Purchaser Agent and the Collection
      Agent in writing (including by telecopy or other facsimile communication) at
      least three Business Days before the date on which it desires such Interim
      Liquidation to cease.

     

    (b)
      Mandatory.
      If, at
      any time before the Termination Date, any condition in Section 7.2 is not
      fulfilled, the Seller shall immediately notify the Agent, the LC Issuer, each
      Purchaser Agent and the Collection Agent, whereupon Reinvestment Purchases
      shall
      cease and an Interim Liquidation shall commence, which shall only cease upon
      the
      Seller confirming to the Agent that the conditions in Section 7.2 are
      fulfilled.

     

    Section 1.4.
      Discount
      Rates and Tranche Periods.
      (a) Each Conduit Purchaser’s Investment will accrue Funding Charges for
      each day on which it is outstanding. On each Settlement Date the Seller shall
      pay to each Purchaser Agent (for the benefit for the related Conduit Purchaser)
      an aggregate amount equal to all accrued and unpaid Funding Charges in respect
      of such Investment for the immediately preceding Discount Period. Each Purchaser
      Agent shall allocate the Investment of the related Conduit Purchaser to one
      or
      more Tranche Periods in its sole discretion.

     

    (b)
      All
      Investments of the Related Bank Purchasers shall be allocated to one or more
      Tranches reflecting the Discount Rates at which such Investment accrues Discount
      and the Tranche Periods for which such Discount Rates apply. In each request
      for
      an Incremental Purchase from a Related Bank Purchaser and three Business Days
      before the expiration of any Tranche Period applicable to any Related Bank
      Purchaser’s Investment, the Seller may request the Tranche Period(s) to be
      applicable to such Investment and the Discount Rate(s) applicable thereto.
      All
      Investment of the Related Bank Purchasers may accrue Discount at either the
      Eurodollar Rate or the Prime Rate, in all cases as established for each Tranche
      Period applicable to such Investment. Each Tranche shall be in the minimum
      amount of $1,000,000 and in multiples thereof or, in the case of Discount
      accruing at the Prime Rate, in any amount of Investment that otherwise has
      not
      been allocated to another Tranche Period. Any Investment of the Related Bank
      Purchasers not allocated to a Tranche Period shall be a Prime Tranche. During
      the pendency of a Termination Event, the applicable Purchaser Agent may
      reallocate any outstanding Investment of the Related Bank Purchasers to a Prime
      Tranche. All Discount accrued on the Investment of the Related Bank Purchasers
      during a Tranche Period shall be payable by the Seller on the last day of such
      Tranche Period or, for a Eurodollar Tranche with a Tranche Period of more than
      three months, 90 days after the commencement, and on the last day, of such
      Tranche Period.

     

    (c)
      If,
      by
      the time required in Section 1.4(b), the Seller fails to select a Discount
      Rate or Tranche Period for any Investment of any Related Bank Purchaser, such
      amount of Investment shall automatically accrue Discount at the Prime Rate
      for a
      three Business Day Tranche Period. Any Investment purchased from a Conduit
      Purchaser pursuant to a Transfer Agreement shall accrue Discount at the Prime
      Rate and have an initial Tranche Period of three Business Days.

     

    (d)
      If
      a
      Purchaser Agent or any Related Bank Purchaser determines (i) that maintenance
      of
      any Eurodollar Tranche would violate any applicable law or regulation, (ii)
      that
      deposits of a type and maturity appropriate to match fund any of such Related
      Bank Purchaser’s Eurodollar Tranches are not available or (iii) that the
      maintenance of any Eurodollar Tranche will not adequately and fairly reflect
      the
      cost of such Related Bank Purchaser of funding Eurodollar Tranches, then such
      Purchaser Agent, upon the direction of such Purchaser, shall suspend the
      availability of, and terminate any outstanding, Eurodollar Tranche so affected.
      All Investment allocated to any such terminated Eurodollar Tranche shall be
      reallocated to a Prime Rate Tranche.

     

    Section 1.5.
      Fees
      and Other Costs and Expenses.
      (a) The Seller shall pay to each Purchaser Agent for the benefit of the
      members of its Purchaser Group in such proportions as they may have agreed,
      the
      fees specified in the Fee Letter. The Seller shall also pay to the LC Issuer
      the
      facing fee specified in the Fee Letter (the “Facing
      Fee”).

     

    (b)
      If
      the
      amount of Investment allocated to any CP or Eurodollar Tranche is reduced before
      the last day of its Tranche Period, or if a requested Incremental Purchase
      at
      the Eurodollar Rate does not take place on its scheduled Purchase Date, the
      Seller shall pay the Early Payment Fee to each Purchaser that had its Investment
      so reduced or scheduled Purchase not made.

     

    Section 1.6.
      Computation
      of Effective Receivable Interest; Deemed Collection.
      (a)
General.
      The
      Effective Receivable Interest (and the portions thereof comprising the Sold
      Interest and the Pledged Interest) shall be computed as of the last day of
      each
      Reporting Period (after giving effect to any payments to be made on the next
      succeeding Settlement Date pursuant to this Agreement) and on the Termination
      Date. In
      addition, (i)
      if,
      on any Business Day prior to the Termination Date, the Seller desires the
      Purchasers to make an Incremental Purchase or desires the LC Issuer to issue,
      increase or extend a Letter of Credit and the Effective Receivable Interest
      as
      reflected on the most recent Periodic Report delivered to the Agent and the
      Purchaser Agents would exceed 100.0% after giving effect to such proposed
      Incremental Purchase, Letter of Credit issuance or Letter of Credit increase,
      the Seller may provide to the Agent and the Purchaser Agents, not later than
      delivery of the notice for such Incremental Purchase pursuant to Section 1.1(c),
      a written recomputation of the Effective Receivable Interest reflecting the
      proposed increase in Aggregate Investment or LC Obligations and changes since
      the last day of the prior Settlement Period in the Eligible Receivables Balance
      and Aggregate Reserves, in which case, the Effective Receivable Interest shall
      be recomputed as of the date of such recomputation; and (ii) at any time, the
      Agent or LC Issuer may reasonably require the Collection Agent to provide an
      updated Periodic Report based on the information then available to Collection
      Agent, for purposes of recomputing the Effective Receivable Interest or
      demonstrating that the Credit Exposure does not exceed the Aggregate Commitments
      as of any other date and that the LC Obligations do not exceed the LC Sublimit,
      and the Collection Agent agrees to do so within three (3) Business Days after
      its receipt of the Agent’s request. If, at any time, the sum of the Credit
      Exposure plus the Aggregate Reserve is greater than the Eligible Receivables
      Balance, the Seller shall pay ratably to each of the Purchaser Agents for its
      respective Purchaser Group an amount of Purchaser Collections equal to such
      Purchaser Group’s deficiency for application to reduce the Investments of the
      Purchasers ratably in accordance with the principal amount of their respective
      Investments, applied first
      to such
      Purchaser’s Prime Tranches and second
      to the
      other Tranches applicable to the Investment of such Purchaser with the shortest
      remaining maturities unless otherwise specified by the Seller and next,
      only if
      the excess described above persists, the Seller shall pay to the LC Issuer,
      in
      order to Cash-Collateralize the LC Obligations, Seller Collections in an amount
      necessary to eliminate such excess. In addition, if any at time, the LC
      Obligations exceed the LC Sublimit, the Seller shall pay to the LC Issuer,
      in
      order to Cash-Collateralize the LC Obligations, Seller Collections in an amount
      necessary to eliminate such excess.

     

    (b)
      Deemed
      Collections.
      If on
      any day the outstanding balance of a Receivable is reduced or cancelled as
      a
      result of any defective or rejected goods or services, any cash discount or
      adjustment (including any adjustment resulting from the application of any
      special refund or other discounts or any reconciliation), any setoff or credit
      (whether such claim or credit arises out of the same, a related, or an unrelated
      transaction) or other similar reason not arising from the financial inability
      of
      the Obligor to pay undisputed indebtedness or the remittance of cash by such
      Obligor, the Seller shall be deemed to have received on such day a Collection
      on
      such Receivable in the amount of such reduction or cancellation. If on any
      day
      any representation, warranty, covenant or other agreement of the Seller related
      to a Receivable is not true or is not satisfied, the Seller shall be deemed
      to
      have received on such day a Collection in the amount of the outstanding balance
      of such Receivable. All such Collections deemed received by the Seller under
      this Section 1.6(b) (“Deemed
      Collections”)
      shall
      be remitted by the Seller to the Collection Agent in accordance with
      Section 5.1(i).

     

    (c)
      Adjustment
      to Sold Interest.
      At any
      time before the Termination Date that the Seller is deemed to have received
      any
      Deemed Collection deriving from a Receivable that is otherwise reported as
      an
      Eligible Receivable, so long as no Liquidation Period then exists, the Seller
      may satisfy its obligation to deliver such amount to the Collection Agent by
      instead notifying the Agent that each of the Sold Interest and the Seller
      Interest should be recalculated by decreasing the Eligible Receivables Balance
      by the amount of such Deemed Collections, so long as such adjustment does not
      cause the Effective Receivable Interest to exceed 100.0%.

     

    (d)
      Payment
      Assumption.
      Unless
      an Obligor otherwise specifies or another application is required by contract
      or
      law, any payment received by the Seller from any Obligor shall be applied as
      a
      Collection of Receivables of such Obligor (starting with the oldest such
      Receivable) and remitted to the Collection Agent as such.

     

    Section 1.7.
      Reduction
      in Commitments.
      The
      Seller may, upon thirty days’ notice to the Agent and each Purchaser Agent,
      reduce the Aggregate Commitment in increments of $1,000,000, so long as the
      Aggregate Commitment at all times equals at least the Credit Exposure. Each
      such
      reduction in the Aggregate Commitment shall reduce the Commitment of each
      Purchaser Group in accordance with its Ratable Share and the Commitment of
      each
      Related Bank Purchaser with a Purchaser Group in accordance with its Commitment
      Percentage and shall ratably reduce the Purchase Limit so that the Aggregate
      Commitment remains equal to 102% of the Purchase Limit.

     

    Section 1.8.
      Repurchases.
      (a)
Optional.
      At any
      time that the Aggregate Investment is less than 10% of the Aggregate Commitment
      in effect on the date hereof, the Seller may, upon thirty days’ notice to the
      Agent, repurchase the entire Sold Interest from the Purchasers at a price equal
      to the outstanding Matured Aggregate Investment and all other amounts then
      owed
      hereunder and Cash-Collateralize all LC Obligations in an amount equal to 100.0%
      of the amount thereof.

     

    (b)
      Mandatory.
      If at
      any time before the Termination Date, the Effective Receivable Interest exceeds
      100.0%, unless the Seller remedies the situation by satisfying its obligations
      under Section 1.6(a), any Purchaser may direct that all Purchasers ratably
      reassign to the Seller, without recourse, representation or warranty, a portion
      of the Purchase Interest of each Purchaser so that the Effective Receivable
      Interest does not exceed 100.0%. The Seller shall purchase such reassigned
      Purchase Interests at a purchase price equal to the Matured Value of the
      Investment so reassigned by each Purchaser.

     

    Section 1.9.
      Assignment
      of Purchase Agreements.
      (a) The
      Seller hereby assigns and otherwise transfers to the Agent (for the benefit
      of
      the Agent, the LC Issuer, each Purchaser Agent, each Purchaser and any other
      Person to whom any amount is owed hereunder), all of the Seller’s right, title
      and interest in, to and under each Purchase Agreement. The Seller shall execute,
      file and record all financing statements, continuation statements and other
      documents required to perfect or protect such assignment. This assignment
      includes (a) all monies due and to become due to the Seller from each
      Originator or the Parent under or in connection with each Purchase Agreement
      (including fees, expenses, costs, indemnities and damages for the breach of
      any
      obligation or representation related to such agreement) and (b) all rights,
      remedies, powers, privileges and claims of the Seller against each Originator
      or
      the Parent under or in connection with each Purchase Agreement. All provisions
      of each Purchase Agreement shall inure to the benefit of, and may be relied
      upon
      by, the Agent, the LC Issuer, each Purchaser Agent, each Purchaser and each
      such
      other Person. At any time that a Termination Event has occurred and is
      continuing, the Agent shall have the sole right to enforce the Seller’s rights
      and remedies under each Purchase Agreement to the same extent as the Seller
      could absent this assignment, but without any obligation on the part of the
      Agent, any Purchaser Agent, the LC Issuer, any Purchaser or any other such
      Person to perform any of the obligations of the Seller under each Purchase
      Agreement (or any of the promissory notes executed thereunder). All amounts
      distributed to the Seller under each Purchase Agreement from Receivables sold
      to
      the Seller thereunder shall constitute Collections hereunder and shall be
      applied in accordance herewith.

     

    (b)
      The
      Seller hereby irrevocably authorizes the Agent, on behalf of the Purchasers
      and
      the LC Issuer, at any time, and from time to time, to file in any filing office
      in any jurisdiction any initial financing statements and amendments thereto
      that
      describe either all of the Seller’s assets or the Collateral, as collateral, and
      hereby ratifies the filing of any initial financing statements or amendments
      thereto filed by the Agent on behalf of the Purchasers and the LC Issuer that
      describe all of the Seller’s assets or the Collateral, as collateral which were
      filed prior to the execution of this Agreement. 

     

    Section 1.10.
      Extension
      of Termination Date.
      The
      Seller may advise the LC Issuer, the Related Bank Purchasers and each Purchaser
      Agent in writing of its desire to extend the Termination Date for an additional
      period, provided
      (i) such request is made not more than 120 days prior to, and not less than
      90 days prior to, the then current Termination Date, and (ii) not more than
      one such request for the extension of the Termination Date may be made in any
      one calendar year. In the event that the LC Issuer and the Related Bank
      Purchasers are agreeable to such extension, they shall notify the Agent and
      the
      Agent shall so notify the Seller in writing (it being understood that the LC
      Issuer and the Related Bank Purchasers may accept or decline such a request
      in
      their sole discretion and on such terms as they may elect) not less than 45
      days
      prior to the Termination Date, and the Seller, the LC Issuer and the Related
      Bank Purchasers shall enter into such documents as the LC Issuer or the Related
      Bank Purchasers may deem necessary or appropriate to reflect such extension,
      and
      all reasonable costs and expenses incurred by the LC Issuer and Related Bank
      Purchasers in connection therewith (including reasonable attorneys’ fees) shall
      be paid by the Seller. The LC Issuer and the Related Bank Purchasers shall
      be
      deemed to have refused to grant the requested extension in the event the Agent
      shall fail to so notify the Seller of their agreement to such an
      extension.

     

    
      Section 1.11.
        Grant
        of Security Interest.
        To
        secure payment of the Investment, Discount, LC Fees and other fees described
        in
        the Fee Letter, Facing Fees, LC Obligations, Indemnified Losses, and all
        other
        amounts payable and obligations of the Seller under the Transaction Documents,
        whether now existing or hereafter arising, absolute or contingent, the Seller
        hereby grants to the Agent (for the benefit of the Purchasers and the LC
        Issuer)
        a security interest in all of the Seller’s right, title and interest in, to and
        under all existing and hereafter acquired right, title and interest in, to
        and
        under the Receivables, the Collections, the Lock-Box Accounts, each Purchase
        Agreement, and all proceeds of the foregoing (collectively, the “Collateral”).
        From
        and after the Termination Date, the Agent, on behalf of the Purchasers and
        the
        LC Issuer, shall have, in addition to the rights and remedies it may have
        under
        this Agreement, all other rights and remedies provided to a secured creditor
        after default under the Uniform Commercial Code and other applicable law,
        which
        rights and remedies shall be cumulative.

       

      Article II

      Sales
        to and from Conduit Purchasers; Allocations

       

      Section 2.1.
        Required
        Purchases from a Conduit Purchaser. (a) Each
        Conduit Purchaser may, at any time, sell to its Related Bank Purchasers pursuant
        to the relevant Transfer Agreement any percentage designated by such Conduit
        Purchaser of such Conduit Purchaser’s Investment and its related Conduit
        Purchaser Settlement (each, a “Put”).
        

       

      (b)Any
        portion of any Investment of a Conduit Purchaser and related Conduit Purchaser
        Settlement purchased by a Related Bank Purchaser shall be considered part
        of
        such Related Bank Purchaser’s Investment and related Conduit Purchaser
        Settlement from the date of the relevant Put. Immediately upon any purchase
        by a
        Related Bank Purchaser of any portion of the relevant Conduit Purchaser’s
        Investment, the Seller shall pay to the relevant Purchaser Agent (for the
        ratable benefit of each such Purchaser) an amount equal to the sum of (i)
        the
        Assigned Settlement and (ii) all unpaid Discount owed to such Conduit Purchaser
        (whether or not then due) to the end of each applicable Tranche Period to
        which
        any Investment being Put has been allocated, (iii) all accrued but unpaid
        fees
        (whether or not then due) payable to such Conduit Purchaser in connection
        herewith at the time of such purchase and (iv) all accrued and unpaid costs,
        expenses and indemnities due to such Conduit Purchaser from the Seller in
        connection herewith.

       

      Section 2.2.
        Purchases
        by a Conduit Purchaser. Each
        Conduit Purchaser may at any time deliver to its Purchaser Agent and each
        of its
        Related Bank Purchasers a notification of assignment in substantially the
        form
        of Exhibit B. If a Conduit Purchaser delivers such notice, each of its
        Related Bank Purchasers shall sell to such Conduit Purchaser and such Conduit
        Purchaser shall purchase in full from each such Related Bank Purchasers,
        the
        Investment of such Related Bank Purchasers on the last day of the relevant
        Tranche Periods, at a purchase price equal to such Investment plus accrued
        and
        unpaid Discount thereon. Any sale from any Related Bank Purchaser to the
        relevant Conduit Purchaser pursuant to this Section 2.2 shall be without
        recourse, representation or warranty except for the representation and warranty
        that the Investment sold by such Related Bank Purchaser is free and clear
        of any
        Adverse Claim created or granted by such Related Bank Purchaser and that
        such
        Related Bank Purchaser has not suffered a Bankruptcy Event.

       

      Section 2.3.
        Allocations
        and Distributions.
        As
        provided in Section 1.1(a), on each day hereafter on which Collections are
        received, the Collection Agent shall allocate such Collections to the Sold
        Interest and to the Seller Interest.

       

      (a)
        Purchaser
        Collections Prior to the Termination Date or an Interim
        Liquidation.
        On the
        Business Day following each Deposit Date occurring prior to the Termination
        Date
        (unless an Interim Liquidation is in effect), the Collection Agent shall
        set
        aside from Purchaser Collections the amounts necessary to make all distributions
        to the Agent, the Purchaser Agents, the Purchasers and the Collection Agent
        required by this Section 2.3(a) with respect to the next succeeding
        Settlement Date. On each Settlement Date prior to the Termination Date (unless
        an Interim Liquidation is in effect), all Purchaser Collections so set aside
        during the preceding Settlement Period shall be applied where applicable
        by the
        Collection Agent (or, if the Agent is then in control of any Purchaser
        Collections, by the Agent) in the following order:

       

      (i)
        first,
        to
        payment of all out-of-pocket expenses due and payable to the Agent (other
        than
        in its capacity as a Purchaser Agent);

       

      (ii)
        second,
        ratably
        to the Agent and each Purchaser Agent, to payment of all fees and other amounts
        not described in clause (i) above due to the Agent and such Purchaser
        Agents;

       

      (iii)
        third,
        ratably
        to each Purchaser Group, to payment of all Funding Charges and Discount (without
        duplication) due and payable to such Purchaser Group on such date;

       

      (iv)
        fourth,
        ratably
        to each Purchaser Group, to payment of any reduction of their respective
        Investments required by Section 1.6(a);

       

      (v)
        fifth,
        ratably
        to each Purchaser Group, to payment of all other amounts due and payable
        to such
        Purchaser Group under the Transaction Documents;

       

      (vi)
        sixth,
        to
        the
        Collection Agent, to payment of the Collection Agent Fee due and payable
        on such
        date; and

       

      (vii)
        seventh,
        to
        the
        Seller.

       

      On
        the
        last day of each Tranche Period for a Eurodollar Tranche or Prime Tranche,
        the
        Collection Agent (or, if the Agent is then in control of any Purchaser
        Collections, the Agent) shall pay Discount due and payable to such Related
        Bank
        Purchasers from accounts set aside for such purpose pursuant to
        Section 3.2(a). 

       

      (b)
        Purchaser
        Collections after the Termination Date and during Interim Liquidations.
On
        each
        day during any Interim Liquidation and on each day on and after the Termination
        Date, the Collection Agent shall set aside and hold in trust solely for the
        account of each Purchaser Agent, for the benefit of the Agent and the
        Purchasers, (or deliver to each Purchaser Agent, if so instructed pursuant
        to
        Section 3.2(a)) the Sold Interest in all Purchaser Collections received on
        such day and such Purchaser Collections shall be allocated in the following
        order:

       

      (i)
        first,
        to
        the
        Agent until all out-of-pocket expenses owed to the Agent (other than in its
        capacity as a Purchaser Agent) have been paid in full;

       

      (ii)
        second,
        ratably
        to the Agent and each Purchaser Agent until all other amounts owed to the
        Agent
        and the Purchaser Agents have been paid in full;

       

      (iii)
        third,
        to
        each
        Purchaser Group until all amounts owed to such Purchaser Group have been
        paid in
        full;

       

      (iv)
        fourth,
        to
        any
        other Person (other than the Seller, the Collection Agent or an Originator)
        to
        whom any amounts are owed under the Transaction Documents until all such
        amounts
        have been paid in full; and

       

      (v)
        fifth,
        to the
        Collection Agent until all amounts owed to the Collection Agent under the
        Agreement have been paid in full;

       

      (vi)
        sixth,
        solely
        if
        the Termination Date has occurred, to the LC Issuer, in payment of any accrued
        and unpaid Interest, LC Fees or other amounts that are then due and owing
        or to
        be held as additional cash collateral for the LC Obligations until they are
        fully Cash-Collateralized; and

       

      (vii)
        seventh,
        to
        the
        Seller.

       

      On
        the
        last day of each Tranche Period (unless otherwise instructed by the Agent
        pursuant to Section 3.2(a)), the Collection Agent shall deposit into the
        Agent’s Account, from such set aside Collections, all amounts allocated to such
        Tranche Period and all Tranche Periods that ended before such date that are
        due
        in accordance with clause (ii) above. No distributions shall be made to pay
        amounts under clauses (iii) - (vi) until sufficient Collections have been
        set
        aside to pay all amounts described in clauses (i) and (ii) that may become
        payable for all outstanding Tranche Periods. All distributions by the Agent
        or
        any Purchaser Agent shall be made ratably within each priority level in
        accordance with the respective amounts then due each Person included in such
        level unless otherwise agreed by all Purchaser Agents.

       

      (c)
        Seller
        Collections prior to the Termination Date.
        On each
        Settlement Date prior to the Termination Date: (i) the Collection Agent shall
        pay to the LC Issuer, Seller Collections in an amount equal to all accrued
        and
        unpaid Interest, LC Fees and Facing Fee, if any, then due and owing pursuant
        to
        the Fee Letter and the amount of any cash collateral required pursuant to
        Section 1.6(a), and (ii) any remaining
        Seller
        Collections shall be allocated by the Seller in the following
        order:

       

      (x)
        first,
        to
        purchase additional Receivables under the Purchaser Agreements, such that
        after
        giving effect thereto, the Eligible Receivables Balance is greater than or
        equal
        to the Eligible Receivables Balance immediately prior to receipt of such
        Seller
        Collections,

       

      (y)
        second,
        to
        reduction of any accrued and unpaid interest or principal under the Subordinated
        Notes, and

       

      (z)
        third,
        to the
        Seller, for any purpose not inconsistent with the Transaction
        Documents
        unless a
        Collection Agent Termination Event exists and is continuing or any notice
        in the
        form attached to a Lock-Box Letter has been delivered, in which case Seller
        Collections described in this clause third
        shall
        be
        held in trust by the Seller for the LC Issuer (or, if the Seller or one of
        its
        affiliates is not then acting as the Collection Agent, such Seller Collections
        shall be retained and held in trust by the Collection Agent for the LC Issuer)
        until the next Settlement Date in a segregated account which is subject to
        a
        first priority perfected security interest in favor of the Agent, for the
        benefit of the LC Issuer and the Related Bank Purchasers.

       

      (d)
        Seller
        Collections after the Termination Date.
        On each
        day on or after the Termination Date on
        which
        any Seller Collections are received, such Seller Collections shall be held
        in
        trust by the Collection Agent for the LC Issuer until the next Settlement Date
        in a segregated account which is subject to a first priority perfected security
        interest in favor of the Agent, for the benefit of the LC Issuer and the
        Related
        Bank Purchasers. On each Settlement Date on or after the Termination Date,
        the
        Collection Agent shall pay all Seller Collections to the LC Issuer for
        application in the following order:

       

      (i)
        first, to
        any
        accrued and unpaid Interest;

       

      (ii)
        second,
        to
        any
        accrued and unpaid LC Fees and Facing Fees (it being understood that the
        LC
        Issuer may take up to one Business Day to distribute each Related Bank
        Purchaser’s share of any amounts applied to accrued LC Fees);

       

      (iii)
        third,
        to
        Cash-Collateralize the LC Obligations in respect of all Letters of Credit
        then
        outstanding, beginning with the Letter of Credit with the earliest expiration
        date;

       

      (iv)
        fourth,
        to
        the
        Agent, for allocation in accordance with Section 2.3(b); and

       

      (v)
        fifth,
        once
        all
        amounts owing to the Agent, the Purchaser Agents, the Purchasers and LC Issuer
        have been paid in full or fully Cash-Collateralized, to the Seller.

       

      Section 2.4.
        Release
        of Excess Cash Collateral.
        If on
        any Settlement Date prior to the Termination Date, the balances in the Letter
        of
        Credit Collateral Account exceed the amount required by this Agreement, unless
        a
        Termination Event, a Collection Agent Replacement Event or an event which,
        with
        the passage of time, the giving of notice, or both, would constitute a
        Termination Event or Collection Agent Replacement Event, shall exist and
        be
        continuing, the LC Issuer shall release the excess cash collateral to
        Seller.
        In
        addition, promptly after reduction of all LC Obligations to zero, the LC
        Issuer
        shall release all cash collateral to Seller.

       

      

       

      Article III

      Administration
        and Collections

       

      Section 3.1.
        Appointment
        of Collection Agent.
         (a) The
        servicing, administering and collecting of the Receivables shall be conducted
        by
        a Person (the “Collection
        Agent”)
        designated to so act on behalf of the Purchasers and the LC Issuer under
        this
        Article III. As the Initial Collection Agent, the Parent is hereby designated
        as, and agrees to perform the duties and obligations of, the Collection Agent.
        The Parent acknowledges that the Agent, the LC Issuer and each Purchaser
        have
        relied on the Parent’s agreement to act as Collection Agent (and the agreement
        of any of the sub-collection agents to so act) in making the decision to
        execute
        and deliver this Agreement and agrees that it will not voluntarily resign
        as
        Collection Agent unless the Collection Agent is prohibited from continuing
        to
        serve in such capacity by applicable law. At any time after the occurrence
        of a
        Collection Agent Replacement Event, the Agent may designate a new Collection
        Agent to succeed the Parent (or any successor Collection Agent).

       

      (b)
        The
        Parent may, and if requested by the Agent shall, delegate its duties and
        obligations as Collection Agent to an Affiliate (acting as a sub-collection
        agent). Notwithstanding such delegation, the Parent shall remain primarily
        liable for the performance of the duties and obligations so delegated, and
        the
        Agent, the LC Issuer, each Purchaser Agent and each Purchaser shall have
        the
        right to look solely to the Parent for such performance. The Agent (with
        the
        consent of each Purchaser Agent) may at any time after the occurrence of
        a
        Collection Agent Replacement Event remove or replace any sub-collection
        agent.

       

      (c)
        If
        replaced, the Collection Agent agrees it will terminate, and will cause each
        existing sub-collection agent to terminate, its collection activities in
        a
        manner requested by the Agent to facilitate the transition to a new Collection
        Agent. The Collection Agent shall cooperate with and assist any new Collection
        Agent (including providing access to, and transferring, all Records and allowing
        the new Collection Agent to use all licenses, hardware or software necessary
        or
        desirable to collect the Receivables). The Parent irrevocably agrees to act
        (if
        requested to do so) as the data-processing agent for any new Collection Agent
        in
        substantially the same manner as the Parent conducted such data-processing
        functions while it acted as the Collection Agent; provided,
        however,
        that
        the Parent receives a then market rate compensation for providing such
        services.

       

      Section 3.2.
        Duties
        of Collection Agent.
         (a) The
        Collection Agent shall take, or cause to be taken, all action necessary or
        advisable to collect each Receivable in accordance with this Agreement, the
        Credit and Collection Policy and all applicable laws, rules and regulations
        using the skill and attention the Collection Agent exercises in collecting
        other
        receivables or obligations owed solely to it. The Collection Agent shall,
        in
        accordance herewith, set aside all Collections to which a Purchaser or the
        LC
        Issuer is entitled. If so instructed by the Agent, the Collection Agent shall
        transfer to the Agent or the LC Issuer, as applicable, the amount of Collections
        to which the Agent, the Purchaser Agents, the LC Issuer and the Purchasers
        are
        entitled by the Business Day following receipt and identification thereof.
        Each
        party hereto hereby appoints the Collection Agent to enforce such Person’s
        rights and interests in the Receivables, but (notwithstanding any other
        provision in any Transaction Document) the Agent shall at all times after
        the
        occurrence of a Collection Agent Replacement Event have the sole right to
        direct
        the Collection Agent to commence or settle any legal action to enforce
        collection of any Receivable.

       

      (b)
        If
        no
        Termination Event exists and the Collection Agent determines that such action
        is
        appropriate in order to maximize the Collections, the Collection Agent may,
        in
        accordance with the Credit and Collection Policy, extend the maturity of
        any
        Receivable (but no such extension shall be for a period more than thirty
        (30)
        days) or adjust the outstanding balance of any Receivable. Any such extension
        or
        adjustment shall not alter the status of a Receivable as a Defaulted Receivable
        or Delinquent Receivable or limit any rights of the Agent, any Purchaser
        Agent
        or the Purchasers hereunder. If a Termination Event exists, the Collection
        Agent
        may make such extensions or adjustments only with the prior consent of the
        Agent
        and the Instructing Group.

       

      (c)
        The
        Collection Agent shall turn over to the Seller (i) prior to the Termination
        Date, all Collections in excess of the Effective Receivable Interest, less
        all
        reasonable third party out-of-pocket costs and expenses of the Collection
        Agent
        for collecting the Receivables and (ii) the collections of and records for
        any indebtedness owed to the Seller that is not a Receivable. The Collection
        Agent shall have no obligation to remit any such funds or records to the
        Seller
        until the Collection Agent receives evidence (satisfactory to the Agent)
        that
        the Seller is entitled to such items. The Collection Agent has no obligations
        concerning indebtedness that is not a Receivable other than to deliver the
        Collections and records for such indebtedness to the Seller when required
        by
        this Section 3.2(c).

       

      Section 3.3.
        Reports.
        On or
        before each Reporting Date, the Collection Agent shall deliver to the Agent
        a
        Periodic Report reflecting information as of the close of business of the
        Collection Agent for the immediately preceding Reporting Period.

       

      Section 3.4.
        Lock-Box
        Arrangements.
        The
        Agent or the Instructing Group is hereby authorized, or, upon the instruction
        of
        any of the Purchaser Agents, obligated, to give notice at any time after
        the
        occurrence of a Collection Agent Replacement Event to any or all Lock-Box
        Banks
        that the Agent is exercising its rights under the Lock-Box Letters and to
        take
        all actions permitted under the Lock-Box Letters. The Seller agrees to take
        any
        action requested by the Agent to facilitate the foregoing. After the Agent
        takes
        any such action under the Lock-Box Letters, the Seller shall immediately
        deliver
        to the Agent any Collections received by the Seller. If the Agent takes control
        of any Lock-Box Account, the Agent shall distribute Collections it receives
        in
        accordance herewith and shall deliver to the Collection Agent, for distribution
        under Section 3.2, all amounts other than Collections it receives from such
        Lock-Box Account.

       

      Section 3.5.
        Enforcement
        Rights.
        (a) The Agent or the Instructing Group may, at any time after the
        occurrence of a Collection Agent Replacement Event, direct the Obligors and
        the
        Lock-Box Banks to make all payments on the Receivables directly to the Agent
        or
        its designee. The Agent may, and the Seller shall at the Agent’s request,
        withhold the identity of the Purchasers from the Obligors and Lock-Box Banks.
        Upon the Agent’s request (with the consent or at the direction of the
        Instructing Group)
        after
        the occurrence of a Collection Agent Replacement Event, the Seller (at the
        Seller’s expense) shall (i) give notice to each Obligor of the Conduit
        Purchasers’ ownership of the Sold Interest and direct that payments on
        Receivables be made directly to the Agent or its designee, (ii) assemble
        for the Agent all Records and collateral security for the Receivables and
        transfer to the Agent (or its designee), or license to the Agent (or its
        designee) the use of, all software then used by the Collection Agent to collect
        the Receivables and (iii) segregate in a manner acceptable to the Agent all
        Collections the Seller receives and, promptly upon receipt, remit such
        Collections in the form received, duly endorsed or with duly executed
        instruments of transfer, to the Agent or its designee on behalf of the Purchaser
        Agents and the Purchasers.

       

      (b)
        After
        the
        occurrence of a Collection Agent Replacement Event, Seller hereby irrevocably
        appoints the Agent as its attorney-in-fact coupled with an interest, with
        full
        power of substitution and with full authority in the place of the Seller,
        to
        take any and all steps deemed desirable by the Agent (with the consent or
        at the
        direction of the Instructing Group), in the name and on behalf of the Seller
        to
        (i) collect any amounts due under any Receivable, including endorsing the
        name
        of the Seller on checks and other instruments representing Collections and
        enforcing such Receivables, and (ii) exercise any and all of the Seller’s rights
        and remedies under each Purchase Agreement. The Agent’s powers under this
        Section 3.5(b) shall not subject the Agent to any liability if any action
        taken by it (except for any action taken pursuant thereto that constitutes
        gross
        negligence or willful misconduct) proves to be inadequate or invalid, nor
        shall
        such powers confer any obligation whatsoever upon the Agent.

       

      (c)
        None
        of
        the Agent, the Purchaser Agents, the LC Issuer nor any Purchaser shall have
        any
        obligation to take or consent to any action to realize upon any Receivable
        or to
        enforce any rights or remedies related thereto.

       

      Section 3.6.
        Collection
        Agent Fee.
        On or
        before each Settlement Date, the Seller shall pay to the Collection Agent
        a fee
        for the immediately preceding calendar month as compensation for its services
        as
        Collection Agent (the “Collection
        Agent Fee”)
        equal
        to (a) at all times the Parent or an Affiliate of any Originator is the
        Collection Agent, such consideration as is acceptable to it, the receipt
        and
        sufficiency of which is hereby acknowledged, and (b) at all times any other
        Person is the Collection Agent, a reasonable amount agreed upon by the Agent
        and
        the new Collection Agent on an arm’s-length basis reflecting rates and terms
        prevailing in the market at such time. The Collection Agent may only apply
        to
        payment of the Collection Agent Fee the portion of the Collections in excess
        of
        the Effective Receivable Interest or Purchaser Collections that fund
        Reinvestment Purchases. The Agent may, with the consent of the Instructing
        Group, pay the Collection Agent Fee to the Collection Agent from Purchaser
        Collections. The Seller shall be obligated to reimburse any such payment
        to the
        extent required by Section 2.3.

       

      Section 3.7.
        Responsibilities
        of the Seller.
        The
        Seller shall, or shall cause each Originator to, pay when due all Taxes payable
        in connection with the Receivables or their creation or satisfaction. The
        Seller
        shall, and shall cause each Originator to, perform all of its obligations
        under
        agreements related to the Receivables to the same extent as if interests
        in the
        Receivables had not been transferred hereunder or, in the case of each
        Originator, under each Purchase Agreement. The Agent’s, the LC Issuer’s, any
        Purchaser Agent’s or any Purchaser’s exercise of any rights hereunder shall not
        relieve the Seller or any Originator from such obligations. None of the Agent,
        the LC Issuer, any Purchaser Agent or any Purchaser shall have any obligation
        to
        perform any obligation of the Seller or of any Originator or any other
        obligation or liability in connection with the Receivables.

       

      Section 3.8.
        Actions
        by Seller.
        The
        Seller shall defend and indemnify the Agent, the LC Issuer, each Purchaser
        Agent
        and each Purchaser against all costs, expenses, claims and liabilities for
        any
        action taken by the Seller, any Originator or any other Affiliate of the
        Seller
        or of such Originator (whether acting as Collection Agent or otherwise) related
        to any Receivable (other than with respect to the credit risk of an Obligor
        and
        for which reimbursement would constitute recourse for uncollectible
        Receivables), or arising out of any alleged failure of compliance of any
        Receivable with the provisions of any law or regulation. If any goods related
        to
        a Receivable are repossessed, the Seller agrees to resell, or to have the
        applicable Originator or another Affiliate resell, such goods in a commercially
        reasonable manner for the account of the Agent and remit, or have remitted,
        to
        the Agent the Purchasers’ and the LC Issuer’s share in the gross sale proceeds
        thereof net of any out-of-pocket expenses and any equity of redemption of
        the
        Obligor thereon. Any such moneys collected by the Seller or the applicable
        Originator or other Affiliate of the Seller pursuant to this Section 3.8
        shall be segregated and held in trust for the Agent and remitted to the Agent’s
        Account within two Business Days after receipt and identification thereof
        as
        part of the Effective Receivable Interest in Collections for application
        as
        provided herein.

       

      Section 3.9.
        Indemnities
        by the Collection Agent.
        Without
        limiting any other rights any Person may have hereunder or under applicable
        law,
        the Collection Agent hereby indemnifies and holds harmless the Agent, the
        LC
        Issuer, each Purchaser Agent and each Purchaser and their respective officers,
        directors, agents and employees (each an “Indemnified
        Party”)
        from
        and against any and all damages, losses, claims, liabilities, penalties,
        Taxes,
        costs and expenses (including attorneys’ fees and court costs) (all of the
        foregoing collectively, the “Indemnified
        Losses”)
        at any
        time imposed on or incurred by any Indemnified Party arising out of or otherwise
        relating to:

       

      (i)
        any
        written representation or warranty made by the Collection Agent (or any employee
        or agent of the Collection Agent) in this Agreement, any other Transaction
        Document, any Periodic Report or any other information or report delivered
        by
        the Collection Agent pursuant hereto, which shall have been false or incorrect
        in any material respect when made;

       

      (ii)
        the
        failure by the Collection Agent to comply with any applicable law, rule or
        regulation related to any Receivable, or the nonconformity of any Receivable
        with any such applicable law, rule or regulation;

       

      (iii)
        any
        loss
        of a perfected security interest (or in the priority of such security interest)
        as a result of any commingling by the Collection Agent of funds to which
        the
        Agent, the LC Issuer, any Purchaser Agent or any Purchaser is entitled hereunder
        with any other funds; or

       

      (iv)
        any
        failure of the Collection Agent, to perform its duties or obligations in
        accordance with the provisions of this Agreement or any other Transaction
        Document to which the Collection Agent is a party;

       

      whether
        arising by reason of the acts to be performed by the Collection Agent hereunder
        or otherwise, excluding only Indemnified Losses to the extent (a) such
        Indemnified Losses resulted solely from negligence or willful misconduct
        of the
        Indemnified Party seeking indemnification, (b) solely due to the credit
        risk of the Obligor and for which reimbursement would constitute recourse
        to the
        Collection Agent for uncollectible Receivables, (c) such Indemnified Losses
        include Taxes on, or measured by, the overall net income of the Agent, the
        LC
        Issuer, any Purchaser Agent or any Purchaser computed in accordance with
        the
        Intended Tax Characterization, or (d) the applicable Originator is the
        plaintiff and the Indemnified Party is the defendant unless such Indemnified
        Party prevails in such legal action; provided,
        however,
        that
        nothing contained in this sentence shall limit the liability of the Collection
        Agent or limit the recourse of the Agent, the LC Issuer, any Purchaser Agent
        and
        each Purchaser to the Collection Agent for any amounts otherwise specifically
        provided to be paid by the Collection Agent hereunder.

       

      Article IV

      Representations
        and Warranties

       

      Section 4.1.
        Representations
        and Warranties.
        The
        Seller represents and warrants to the Agent, the LC Issuer, each Purchaser
        Agent
        and each Purchaser that:

       

      (a)
        Corporate
        Existence and Power.
        Each of
        the Seller and each Originator is either a corporation or limited liability
        company duly organized, validly existing and in good standing under the laws
        of
        its state of organization and has all corporate or organizational power and
        authority and all governmental licenses, authorizations, consents and approvals
        required to carry on its business in each jurisdiction in which its business
        is
        now conducted, except where failure to obtain such license, authorization,
        consent or approval would not have a material adverse effect on (i) its
        ability to perform its obligations under, or the enforceability of, any
        Transaction Document, (ii) its business or financial condition,
        (iii) the interests of the Agent, any Purchaser Agent, the LC Issuer or any
        Purchaser under any Transaction Document or (iv) the enforceability or
        collectibility of any Receivable.

       

      (b)
        Corporate
        or Organizational Authorization and No Contravention.
        The
        execution, delivery and performance by each of the Seller and each Originator
        of
        each Transaction Document to which it is a party (i) are within its
        corporate or organizational powers, as applicable, (ii) have been duly
        authorized by all necessary corporate or organizational action, as applicable,
        (iii) do not contravene or constitute a default under (A) any
        applicable law, rule or regulation, (B) its or any Subsidiary’s charter,
        by-laws or operating agreement, as applicable or (C) any agreement, order
        or other instrument to which it or any Subsidiary is a party or its property
        is
        subject and (iv) will not result in any Adverse Claim on any Receivable or
        Collection or give cause for the acceleration of any indebtedness of the
        Seller,
        any Originator or any Subsidiary.

       

      (c)
        Conduct
        of Business.
        The
        Seller will perform, and will cause each Originator to perform, all actions
        necessary to remain duly organized, validly existing and in good standing
        in its
        jurisdiction of organization and to maintain all requisite authority to conduct
        its business in each jurisdiction in which it conducts business.

       

      (d)
        Binding
        Effect. Each
        Transaction Document to which the Seller or any Originator is a party
        constitutes the legal, valid and binding obligation of such Person enforceable
        against that Person in accordance with its terms, except as limited by
        bankruptcy, insolvency, or other similar laws of general application relating
        to
        or affecting the enforcement of creditors’ rights generally and subject to
        general principles of equity.

       

      (e)
        Perfection
        of Ownership Interest.
        Immediately preceding its sale of Receivables to the Seller, each Originator
        was
        the owner of, and effectively sold, such Receivables to the Seller, free
        and
        clear of any Adverse Claim. The Seller owns the Receivables free of any Adverse
        Claim other than the interests of the Purchasers and the LC Issuer (through
        the
        Agent) therein that are created hereby, and each Purchaser shall at all times
        have a valid undivided percentage ownership interest (through the Agent)
        which
        shall be a first priority perfected security interest for purposes of Article
        9
        of the applicable Uniform Commercial Code, in the Receivables and Collections
        (subject to, in the case of Collections, the limitations on perfection of
        a
        security interest in proceeds set forth in the applicable Uniform Commercial
        Code) to the extent of its Purchase Interest then in effect. The Agent, on
        behalf of the Purchasers and the LC Issuer has a first priority perfected
        security interest in the Collateral. 

       

      (f)
        Accuracy
        of Information.
        All
        written information furnished by the Seller, any Originator or any Affiliate
        of
        any such Person to the Agent, any Purchaser Agent or any Purchaser in connection
        with any Transaction Document, or any transaction contemplated thereby, is
        true
        and accurate in all material respects (and is not incomplete by omitting
        any
        information necessary to prevent such information from being materially
        misleading), in each case on the date the statement was made and in light
        of the
        circumstances under which the statements were made or the information was
        furnished.

       

      (g)
        No
        Actions, Suits.
        There
        are no actions, suits or other proceedings (including matters relating to
        environmental liability) pending or threatened against or affecting the Seller,
        any Originator or any Subsidiary, or any of their respective properties,
        that
        (i) if adversely determined (individually or in the aggregate), may have a
        material adverse effect on the financial condition of the Seller, any Originator
        or any Subsidiary or on the collectibility of the Receivables or
        (ii) involve any Transaction Document or any transaction contemplated
        thereby. None of the Seller, any Originator or any Subsidiary is in default
        of
        any contractual obligation or in violation of any order, rule or regulation
        of
        any Governmental Authority, which default or violation may have a material
        adverse effect upon (i) the financial condition of the Seller, the
        Originators and the Subsidiaries taken as a whole or (ii) the
        collectibility of the Receivables.

       

      (h)
        No
        Material Adverse Change. Since
        December 31, 2005, there has been no material adverse change in the
        collectibility of the Receivables or the Seller’s, any Originator’s or any
        Subsidiary’s (i) financial condition or (ii) ability to perform its
        obligations under any Transaction Document.

       

      (i)
        Accuracy
        of Exhibits; Lock-Box Arrangements. All
        information on Exhibits E-G (listing offices and names of the Seller and
        each
        Originator and where they maintain Records; the Subsidiaries; and Lock Boxes)
        is
        true and complete, subject to any changes permitted by, and notified to the
        Agent in accordance with, Article V. The Seller has delivered a copy of all
        Lock-Box Agreements to the Agent. The Seller has not granted any interest
        in any
        Lock-Box or Lock-Box Account to any Person other than the Agent and, upon
        delivery to a Lock-Box Bank of the related Lock-Box Letter, the Agent will
        have
        exclusive ownership and control of the Lock-Box Account at such Lock-Box
        Bank.

       

      (j)
        Sales
        by each Originator.
        Each
        sale or other transfer by each Originator to the Seller of an interest in
        Receivables and their Collections has been made in accordance with the terms
        of
        the applicable Purchase Agreement, including the payment by the Seller to
        each
        Originator of the purchase price described in such Purchase Agreement. Each
        such
        sale or other transfer has been made for “reasonably
        equivalent value”
        (as such
        term is used in Section 548 of the Bankruptcy Code) and not for or on
        account of “antecedent
        debt”
        (as such
        term is used in Section 547 of the Bankruptcy Code) owed by such Originator
        to the Seller.

       

      Article V

      Covenants

       

      Section 5.1.
        Covenants
        of the Seller.
        The
        Seller hereby covenants and agrees to comply with the following covenants
        and
        agreements, unless the Agent (with the consent of the Instructing Group)
        shall
        otherwise consent:

       

      (a)
        Financial
        Reporting.
        The
        Seller will, and will cause each Originator and each Subsidiary to, maintain
        a
        system of accounting established and administered in accordance with GAAP
        and
        will furnish to the Agent and each Purchaser Agent:

       

      (i)
        Annual
        Financial Statements. Within
        120 days after each fiscal year of (A) the Parent, copies of the Parent’s
        consolidated annual audited financial statements (including a consolidated
        balance sheet, consolidated statement of income and retained earnings and
        statement of cash flows, with related footnotes) certified by independent
        certified public accountants of nationally recognized standing or other firm
        of
        independent certified public accountants satisfactory to the Agent and prepared
        on a consolidated basis in conformity with GAAP, and (B) for the Seller and
        each
        Originator, the annual balance sheet for such Person (and, additionally for
        the
        Seller, an annual profit and loss statement) certified by a Designated Financial
        Officer thereof, in each case prepared on a consolidated basis in conformity
        with GAAP as of the close of such fiscal year for the year then
        ended;

       

      (ii)
        Quarterly
        Financial Statements. Within
        60 days after each (except the last) fiscal quarter of each fiscal year of
        (A) the Parent, copies of its unaudited financial statements (including at
        least a consolidated balance sheet as of the close of such quarter and
        statements of earnings and sources and applications of funds for the period
        from
        the beginning of the fiscal year to the close of such quarter) certified
        by a
        Designated Financial Officer and prepared in a manner consistent with the
        financial statements described in part (A) of clause (i) of this
        Section 5.l(a) and (B) the Seller and each Originator, the quarterly
        balance sheet for such Person (and, additionally for the Seller, a profit
        and
        loss statement) for the period from the beginning of such fiscal year to
        the
        close of such quarter, in each case certified by a Designated Financial Officer
        thereof and prepared in a manner consistent with part (B) of clause (i) of
        Section 5.1(a);

       

      (iii)
        Public
        Reports.
        Promptly
        upon becoming available, a copy of each report or proxy statement filed by
        the
        Parent with the Securities Exchange Commission or any securities
        exchange;

       

      (iv)
        Chemtura
        Credit Agreement Certificate.
        A copy
        of the financial information, certificates and other documentation described
        in
        Section 5.01(i) of the Chemtura Credit Agreement, delivered as and when
        required by such Section 5.01; and

       

      (v)
        Other
        Information.
        With
        reasonable promptness, such other information (including non-financial
        information) as may be requested by the Agent, any Purchaser Agent or any
        Purchaser (with a copy of such request to the Agent).

       

      (b) Notices.
        Immediately upon becoming aware of any of the following the Seller will notify
        the Agent and each Purchaser Agent and provide a description of:

       

      (i)
        Potential
        Termination Events.
        The
        occurrence of any Potential Termination Event;

       

      (ii)
        Representations
        and Warranties.
        The
        failure of any representation or warranty herein to be true (when made or
        at any
        time thereafter) in any material respect;

       

      (iii)
        Downgrading.
        The
        downgrading, withdrawal or suspension of any rating by any rating agency
        of any
        indebtedness of the Parent;

       

      (iv)
        Litigation.
        The
        institution of any litigation, arbitration proceeding or governmental proceeding
        reasonably likely to be material to the Seller, any Subsidiary or the
        collectibility or quality of the Receivables;

       

      (v)
        Judgments.
        The
        entry of any judgment or decree against the Seller, any Originator or any
        Subsidiary if the aggregate amount of all judgments then outstanding against
        the
        Seller, the Originators and the Subsidiaries exceeds $1,000,000; or

       

      (vi)
        Changes
        in Business. Any
        change in, or proposed change in, the character of the Seller’s or any
        Originator’s business that could impair the collectibility or quality of any
        Receivable.

       

      If
        the
        Agent receives such a notice, the Agent shall promptly give notice thereof
        to
        each Purchaser Agent.

       

      (c)
        Conduct
        of Business. The
        Seller will perform, and will cause each Originator and Subsidiary to perform,
        all actions necessary to remain duly incorporated, validly existing and in
        good
        standing in its jurisdiction of incorporation and to maintain all requisite
        authority to conduct its business in each jurisdiction in which it conducts
        business.

       

      (d)
        Compliance
        with Laws. The
        Seller will comply, and will cause each Originator and Subsidiary to comply,
        with all laws, regulations, judgments and other directions or orders imposed
        by
        any Governmental Authority to which such Person or any Receivable or Collection
        may be subject.

       

      (e)
        Furnishing
        Information and Inspection of Records. The
        Seller will furnish to the Agent, the LC Issuer, each Purchaser Agent and
        the
        Purchasers such information concerning the Receivables as the Agent, any
        such
        Purchaser Agent or Purchaser may reasonably request. The Seller will, and
        will
        cause each Originator to, permit, at any time during regular business hours,
        the
        Agent, any Purchaser Agent or any Purchaser (or any representatives thereof),
        once per year or at any time after the occurrence of a Termination Event
        (at the
        expense of the Seller) or at any other time (at the expense of the Agent
        or such
        Purchaser (as applicable)) (i) to examine and make copies of all Records,
        (ii) to visit the offices and properties of the Seller for the purpose of
        examining the Records and (iii) to discuss matters relating hereto with any
        of the Seller’s or any Originator’s officers, directors, employees or
        independent public accountants having knowledge of such matters. The Agent
        may
        at any time have an independent public accounting firm conduct an audit of
        the
        Records or make test verifications of the Receivables and Collections. Such
        procedures shall be at the expense of the Seller if (i) conducted no more
        frequently than once per calendar year prior to the occurrence of a Termination
        Event, or (ii) conducted at any time following the occurrence of a Termination
        Event.

       

      (f)
        Keeping
        Records. (i) The
        Seller will, and will cause each Originator to, have and maintain
        (A) administrative and operating procedures (including an ability to
        recreate Records if originals are destroyed), (B) adequate facilities,
        personnel and equipment and (C) all Records and other information necessary
        or advisable for collecting the Receivables (including Records adequate to
        permit the immediate identification of each new Receivable and all Collections
        of, and adjustments to, each existing Receivable). The Seller will give the
        Agent, the LC Issuer and each Purchaser Agent prior notice of any material
        change in such administrative and operating procedures.

       

      (ii)
        The
        Seller will, (A) at all times from and after the date hereof, clearly and
        conspicuously mark its computer and master data processing books and records
        with a legend describing the Agent’s, the LC Issuer’s each Purchaser Agent’s and
        the Purchasers’ interest therein and (B) upon the request of the Agent, at
        any time during which a Daily Reporting Period is in effect, so mark each
        contract relating to a Receivable and deliver to the Agent all such contracts
        (including all multiple originals of such contracts), with any appropriate
        endorsement or assignment, or segregate (from all other receivables then
        owned
        or being serviced by the Seller) the Receivables and all contracts relating
        to
        each Receivable and hold in trust and safely keep such contracts so legended
        in
        separate filing cabinets or other suitable containers at such locations as
        the
        Agent may specify.

       

      (g)
        Perfection.
        (i) The
        Seller will, and will cause each Originator to, at its expense, promptly
        execute
        and deliver all instruments and documents and take all action necessary or
        requested by the Agent (including the execution and filing of financing or
        continuation statements, amendments thereto or assignments thereof) to enable
        the Agent on behalf of the Purchaser Agents and the Purchasers to exercise
        and
        enforce all its rights hereunder and to vest and maintain vested in the Agent
        on
        behalf of the Purchaser Agents, the LC Issuer and the Purchasers a valid,
        first
        priority perfected security interest in the Receivables, the Collections,
        the
        Lock-Box Accounts, the Purchase Agreements, and proceeds thereof free and
        clear
        of any Adverse Claim (and a perfected ownership interest in the Receivables
        and
        Collections to the extent of the Sold Interest). The Agent will be permitted
        to
        authenticate a “record” and to sign and file any continuation statements,
        amendments thereto and assignments thereof without the Seller’s
        signature.

       

      (ii)
        The
        Seller will, and will cause each Originator to, only change its name,
        jurisdiction of organization, identity or corporate structure or relocate
        its
        chief executive office or the Records following thirty (30) days advance
        notice to the Agent and the delivery to the Agent and each Purchaser Agent
        of
        all financing statements, instruments and other documents (including direction
        letters) requested by the Agent.

       

      (iii)
        The
        Seller and each Originator will at all times maintain its jurisdiction of
        organization within a state of the United States (other than in the states
        of
        Florida, Maryland and Tennessee) in which Article 9 of the UCC is in
        effect. If the Seller or any Originator moves its jurisdiction of organization
        to a location that imposes Taxes, fees or other charges to perfect the Agent’s
        and the Purchasers’ interests hereunder or the Seller’s interests under the
        Purchase Agreements, the Seller will pay all such amounts and any other costs
        and expenses incurred in order to maintain the enforceability of the Transaction
        Documents, the Sold Interest and the interests of the Agent, the Purchaser
        Agents and the Purchasers in the Receivables and Collections.

       

      (h)
        Performance
        of Duties. The
        Seller will perform, and will cause each Originator and Subsidiary and the
        Collection Agent (if an Affiliate) to perform, its respective duties or
        obligations in accordance with the provisions of each of the Transaction
        Documents. The Seller (at its expense) will, and will cause each Originator
        to,
        (i) fully and timely perform in all material respects all agreements required
        to
        be observed by it in connection with each Receivable, (ii) comply in all
        material respects with the Credit and Collection Policy, and (iii) refrain
        from
        any action that may impair the rights of the Agent, the Purchaser Agents,
        the LC
        Issuer or the Purchasers in the Receivables or Collections.

       

      (i)
        Payments
        on Receivables, Accounts. The
        Seller will, and will cause each Originator to, at all times instruct all
        Obligors to deliver payments on the Receivables to a Lock-Box Account. If
        any
        such payments or other Collections are received by the Seller or any Originator,
        it shall hold such payments in trust for the benefit of the Agent, the Purchaser
        Agents and the Purchasers and promptly (but in any event within two Business
        Days after receipt and identification thereof) remit such funds into a Lock-Box
        Account. The Seller will cause each Lock-Box Bank to comply with the terms
        of
        each applicable Lock-Box Letter. The Seller will not permit the funds of
        any
        Affiliate to be deposited into any Lock-Box Account. If such funds are
        nevertheless deposited into any Lock-Box Account, the Seller will promptly
        identify such funds for segregation. The Seller will not, and will not permit
        any Collection Agent or other Person to, commingle Collections or other funds
        to
        which the Agent, any Purchaser Agent or any Purchaser is entitled with any
        other
        funds. The Seller shall only add, and shall only permit an Originator to
        add, a
        Lock-Box Bank, Lock-Box, or Lock-Box Account to those listed on Exhibit F
        if the Agent has received notice of such addition, a copy of any new Lock-Box
        Agreement and an executed and acknowledged copy of a Lock-Box Letter
        substantially in the form of Exhibit G (with such changes as are acceptable
        to the Agent) from any new Lock-Box Bank. The Seller shall only terminate
        a
        Lock-Box Bank or Lock-Box, or close a Lock-Box Account, upon 30 days advance
        notice to the Agent.

       

      (j)
        Sales
        and Adverse Claims Relating to Receivables. Except
        as
        otherwise provided herein, the Seller will not, and will not permit any
        Originator to, (by operation of law or otherwise) dispose of or otherwise
        transfer, or create or suffer to exist any Adverse Claim upon, any Receivable
        or
        any proceeds thereof.

       

      (k)
        Extension
        or Amendment of Receivables. Except
        as
        otherwise permitted in Section 3.2(b), and subject to Section 1.6, the
        Seller will not, and will not permit any Originator to, extend, amend, rescind
        or cancel any Receivable.

       

      (l)
        Change
        in Business or Credit and Collection Policy. The
        Seller will not, and will not permit any Originator to, make any material
        change
        in the character of its business or in its Credit and Collection
        Policy.

       

      (m)
        Accounting
        for Sale. Except
        as
        provided in Section 9.9, the Seller will not, and will not permit any
        Originator to, account for, or otherwise treat, the transactions contemplated
        by
        the Transaction Documents other than as a sale or other absolute transfer
        of
        Receivables or inconsistent with the Agent’s ownership interest in the
        Receivables and Collections.

       

      (n)
        Mergers,
        Consolidations and Acquisitions The
        Seller shall not merge into or consolidate with any other Person, or permit
        any
        other Person to merge into or consolidate with it, or purchase, lease or
        otherwise acquire (in one transaction or a series of transactions) all or
        substantially all of the assets of any other Person (whether directly by
        purchase, lease or other acquisition of all or substantially all of the assets
        of such Person or indirectly by purchase or other acquisition of all or
        substantially all of the capital stock of such other Person) other than the
        acquisition of the Receivables and Related Security (as defined in the Purchase
        Agreement) pursuant
        to the Purchase Agreement.

       

      (o)
        Other
        Business.
        The
        Seller shall not: (i) engage in any business other than the transactions
        contemplated by the Transaction Documents, (ii) create, incur or permit to
        exist
        any Debt of any kind (or cause or permit to be issued for its account any
        letters of credit or bankers’ acceptances) other than pursuant to this Agreement
        or the Subordinated Notes, or (iii) form any Subsidiary or make any investments
        in any other Person; provided,
        however,
        that the
        Seller may incur minimal obligations to the extent necessary for the day-to-day
        operations of the Seller (such as expenses for stationery, audits, maintenance
        of legal status, etc.).

       

      (p)
        Nonconsolidation.
        The
        Seller shall operate in such a manner that the separate corporate existence
        of
        the Seller and each Originator and Affiliate thereof would not be disregarded
        in
        the event of the bankruptcy or insolvency of any Originator and Affiliate
        thereof and, without limiting the generality of the foregoing:

       

      (i)
        the
        Seller shall not engage in any activity other than those activities expressly
        permitted under the Seller’s organizational documents and the Transaction
        Documents, nor will the Seller enter into any agreement other than this
        Agreement, the other Transaction Documents to which it is a party and, with
        the
        prior written consent of the Agent, any other agreement necessary to carryout
        more effectively the provisions and purposes hereof or thereof;

       

      (ii)
        the
        Seller shall maintain a business office separate from that of each of the
        Originators and the Affiliates thereof;

       

      (iii)
        the
        Seller shall cause the financial statements and books and records of the
        Seller
        and the Originator to reflect the separate corporate existence of the
        Seller;

       

      (iv)
        the
        Seller shall except as otherwise expressly permitted hereunder, under the
        other
        Transaction Documents and under the Seller’s organizational documents, the
        Seller shall not permit any Originator or Affiliate thereof to (A) pay the
        Seller’s expenses, (B) guarantee the Seller’s obligations, or (C) advance funds
        to the Seller for the payment of expenses or otherwise; and

       

      (v)
        the
        Seller will not act as agent for any Originator or Affiliate, but instead
        will
        present itself to the public as a corporation separate from each such Person
        and
        independently engaged in the business of purchasing and financing
        Receivables.

       

      Article VI

      Indemnification

       

      Section 6.1.
        Indemnities
        by the Seller.
        Without
        limiting any other rights any Person may have hereunder or under applicable
        law,
        the Seller hereby indemnifies and holds harmless, on an after-Tax basis,
        the
        Agent, each Purchaser Agent, the LC Issuer and each Purchaser and their
        respective officers, directors, agents and employees (each an “Indemnified
        Party”)
        from
        and against any and all damages, losses, claims, liabilities, penalties,
        Taxes,
        costs and expenses (including attorneys’ fees and court costs) (all of the
        foregoing collectively, the “Indemnified
        Losses”)
        at any
        time imposed on or incurred by any Indemnified Party arising out of or otherwise
        relating to any Transaction Document, the transactions contemplated thereby
        or
        the acquisition of any portion of the Sold Interest, or any action taken
        or
        omitted by any of the Indemnified Parties (including any action taken by
        the
        Agent as attorney-in-fact for the Seller pursuant to Section 3.5(b)),
        whether arising by reason of the acts to be performed by the Seller hereunder
        or
        otherwise, excluding only Indemnified Losses to the extent (a) a final
        judgment of a court of competent jurisdiction holds such Indemnified Losses
        resulted solely from gross negligence or willful misconduct of the Indemnified
        Party seeking indemnification, (b) solely due to the credit risk of the
        Obligor and for which reimbursement would constitute recourse to the Seller
        or
        the Collection Agent for uncollectible Receivables, (c) such Indemnified
        Losses include Taxes on, or measured by, the overall net income of the Agent,
        the LC Issuer, any Purchaser Agent or any Purchaser computed in accordance
        with
        the Intended Tax Characterization, or (d) such Indemnified Losses arise from
        the
        LC Issuer’s failure to pay under any Letter of Credit after the presentation to
        it of a request strictly complying with the terms and conditions of such
        Letter
        of Credit; provided,
        however,
        that
        nothing contained in this sentence shall limit the liability of the Seller
        or
        the Collection Agent or limit the recourse of the Agent, the LC Issuer and
        each
        Purchaser to the Seller or the Collection Agent for any amounts otherwise
        specifically provided to be paid by the Seller or the Collection Agent
        hereunder. Without limiting the foregoing indemnification, but subject to
        the
        limitations set forth in clauses (a), (b), (c) and (d) of the previous
        sentence, the Seller shall indemnify each Indemnified Party for Indemnified
        Losses (including losses in respect of uncollectible Receivables, regardless
        for
        these specific matters whether reimbursement therefor would constitute recourse
        to the Seller or the Collection Agent) relating to or resulting
        from:

       

      (i)
        any
        representation or warranty made by the Seller, any Originator or the Collection
        Agent (or any employee or agent of the Seller, any Originator or the Collection
        Agent) under or in connection with this Agreement, any Periodic Report or
        any
        other information or report delivered by the Seller, any Originator or the
        Collection Agent pursuant hereto, which shall have been false or incorrect
        in
        any material respect when made or deemed made;

       

      (ii)
        the
        failure by the Seller, any Originator, or the Collection Agent to comply
        with
        any applicable law, rule or regulation related to any Receivable, or the
        nonconformity of any Receivable with any such applicable law, rule or
        regulation;

       

      (iii)
        the
        failure of the Seller to vest and maintain vested in the Agent, for the benefit
        of the Purchaser Agents, the LC Issuer and the Purchasers, a perfected ownership
        or security interest in the Sold Interest, the Pledged Interests and the
        other
        property conveyed pursuant to Section 1.11, free and clear of any Adverse
        Claim;

       

      (iv)
        any
        commingling of funds to which the Agent, any Purchaser Agent or any Purchaser
        is
        entitled hereunder with any other funds;

       

      (v)
        any
        failure of a Lock-Box Bank to comply with the terms of the applicable Lock-Box
        Letter;

       

      (vi)
        any
        dispute, claim, offset or defense (other than discharge in bankruptcy of
        the
        Obligor) of the Obligor to the payment of any Receivable, or any other claim
        resulting from the sale or lease of goods or the rendering of services related
        to such Receivable or the furnishing or failure to furnish any such goods
        or
        services or other similar claim or defense not arising from the financial
        inability of any Obligor to pay undisputed indebtedness;

       

      (vii)
        any
        failure of the Seller or any Originator, or any Affiliate of any thereof,
        to
        perform its duties or obligations in accordance with the provisions of this
        Agreement or any other Transaction Document to which such Person is a party
        (as
        a Collection Agent or otherwise);

       

      (viii)
        any
        action taken by the Agent as attorney-in-fact for the Seller pursuant to
        Section 3.5(b);

       

      (ix)
        any
        environmental liability claim, products liability claim or personal injury
        or
        property damage suit or other similar or related claim or action of whatever
        sort, arising out of or in connection with any Receivable or any other suit,
        claim or action of whatever sort relating to any of the Transaction Documents;
        or

       

      (x)
         the
        LC
        Issuer’s issuance of any Letter of Credit which specifies that the term
“Beneficiary” included therein includes any successor by operation of law of the
        named Beneficiary, but which Letter of Credit does not require that any drawing
        by any such successor Beneficiary be accompanied by a copy of a legal document,
        satisfactory to the LC Issuer, evidencing the appointment of such successor
        Beneficiary.

       

      Section 6.2.
        Increased
        Cost and Reduced Return.
        By way
        of clarification, and not of limitation, of Section 6.1, if the adoption of
        any applicable law, rule, regulation or accounting principle, or any change
        therein, or any change in the interpretation or administration thereof by
        any
        Governmental Authority or Accounting Authority charged with the interpretation
        or administration thereof, or compliance by any Funding Source, the Agent,
        the
        LC Issuer, any Purchaser Agent or any Purchaser (collectively, the “Funding
        Parties”)
        with
        any request or directive (whether or not having the force of law) of any
        such
        Governmental Authority or Accounting Authority (a “Regulatory
        Change”)
        (a) subjects any Funding Party to any charge or withholding on or in
        connection with a Funding Agreement or this Agreement (collectively, the
        “Funding
        Documents”)
        or any
        Receivable, (b) changes the basis of taxation of payments to any of the
        Funding Parties of any amounts payable under any of the Funding Documents
        (except for changes in the rate of Tax on the overall net income of such
        Funding
        Party), (c) imposes, modifies or deems applicable any reserve, assessment,
        insurance charge, special deposit or similar requirement against assets of,
        deposits with or for the account of, or any credit extended by, any of the
        Funding Parties, (d) has the effect of reducing the rate of return on such
        Funding Party’s capital to a level below that which such Funding Party could
        have achieved but for such adoption, change or compliance (taking into
        consideration such Funding Party’s policies concerning capital adequacy) or
        (e) imposes any other condition, and the result of any of the foregoing is
        (x) to impose a cost on, or increase the cost to, any Funding Party of its
        commitment under any Funding Document or of purchasing, maintaining or funding
        any interest acquired under any Funding Document, (y) to reduce the amount
        of any sum received or receivable by, or to reduce the rate of return of,
        any
        Funding Party under any Funding Document or (z) to require any payment
        calculated by reference to the amount of interests held or amounts received
        by
        it hereunder, then, upon demand by the Agent or the applicable Purchaser
        Agent,
        the Seller shall pay to the Agent, (with respect to amounts owed to it) or
        the
        applicable Purchaser Agent (with respect to amounts owed to it or any Purchaser
        in its Purchaser Group) for the account of the Person such additional amounts
        as
        will compensate the Agent, such Purchaser Agent or such Purchaser (or, in
        the
        case of any Conduit Purchaser, will enable such Conduit Purchaser to compensate
        any Funding Source) for such increased cost or reduction. Each Funding Party
        agrees that on the occurrence of any event giving rise to the operation of
        this
        Section 6.2 with respect to such Funding Party, it will, if requested by
        the Seller, use reasonable efforts (subject to overall policy considerations
        of
        such Funding Party) to designate another office for any credit accommodation
        affected by such event, provided
        that
        such designation is made on such terms that such Funding Party and its office
        suffer no economic, legal or regulatory disadvantage, with the object of
        avoiding the consequence of the event giving rise to the operation of such
        Section.

       

      Section 6.3.
        Other
        Costs and Expenses.
        Also by
        way of clarification, and not of limitation, of Section 6.1, the Seller
        shall pay to the Agent (with respect to amounts owed to it), the LC Issuer
        (with
        respect to amounts owed to it) or the applicable Purchaser Agent (with respect
        to amounts owed to it or any Purchaser in its Purchaser Group) on demand
        all
        costs and expenses in connection with (a) the preparation, execution,
        delivery and administration (including amendments of any provision) of the
        Transaction Documents, (b) the sale of the Sold Interest or pledge of the
        Pledged Interests, (c) the perfection of the Agent’s rights on behalf of
        the Purchaser Agents, the LC Issuer and the Purchasers in the Receivables
        and
        Collections, (d) the enforcement by the Agent, the LC issuer, any Purchaser
        Agent or the Purchasers of the obligations of the Seller under the Transaction
        Documents or of any Obligor under a Receivable and (e) the maintenance by
        the Agent of the Lock-Boxes and Lock-Box Accounts, including fees, costs
        and
        expenses of legal counsel for the Agent, the LC Issuer and each Purchaser
        Agent
        relating to any of the foregoing or to advising the Agent, any Purchaser
        Agent
        and any Funding Source about its rights and remedies under any Transaction
        Document or any related Funding Agreement and all costs and expenses (including
        counsel fees and expenses) of the Agent, the LC Issuer, each Purchaser Agent,
        each Purchaser and each Funding Source in connection with the enforcement
        of the
        Transaction Documents or any Funding Agreement and in connection with the
        administration of the Transaction Documents following a Termination Event.
        The
        Seller shall reimburse each Conduit Purchaser for any amounts each Conduit
        Purchaser must pay to any Funding Source pursuant to any Funding Agreement
        on
        account of any Tax. The Seller shall reimburse each Conduit Purchaser on
        demand
        for all other costs and expenses incurred by each Conduit Purchaser or any
        shareholder of each Conduit Purchaser in connection with the Transaction
        Documents or the transactions contemplated thereby, including an allocated
        portion of the cost of auditing each Conduit Purchaser’s books by certified
        public accountants, the cost of the Ratings and an allocated portion of the
        fees
        and out-of-pocket expenses of counsel of the Agent, each Conduit Purchaser
        or
        any shareholder, or administrator, of each Conduit Purchaser for advice relating
        to each Conduit Purchaser’s operation.

       

      Section 6.4.
        Withholding
        Taxes.
        (a) All payments made by the Seller hereunder shall be made without
        withholding for or on account of any present or future taxes (other than
        overall
        net income taxes on the recipient). If any such withholding is so required
        and
        the effected Purchaser has delivered the forms set forth in Section 6.4(b),
        the Seller shall make the withholding, pay the amount withheld to the
        appropriate authority before penalties attach thereto or interest accrues
        thereon and pay such additional amount as may be necessary to ensure that
        the
        net amount actually received by each Purchaser, the LC Issuer, each Purchaser
        Agent and the Agent free and clear of such taxes (including such taxes on
        such
        additional amount) is equal to the amount that such Purchaser, the LC Issuer,
        such Purchaser Agent or the Agent (as the case may be) would have received
        had
        such withholding not been made. If the Agent, the LC Issuer, any Purchaser
        Agent
        or any Purchaser pays any such taxes, penalties or interest the Seller shall
        reimburse the Agent, the LC Issuer, such Purchaser Agent or such Purchaser
        for
        that payment on demand. If the Seller pays any such taxes, penalties or
        interest, it shall deliver official tax receipts evidencing that payment
        or
        certified copies thereof to the related Purchaser Agent on whose account
        such
        withholding was made (with a copy to the Agent if not the recipient of the
        original) on or before the thirtieth day after payment.

       

      (b)
        Before
        the first date on which any amount is payable hereunder for the account of
        any
        Purchaser not incorporated under the laws of the USA such Purchaser shall
        deliver to the Seller and the Agent each two (2) duly completed copies of
        United States Internal Revenue Service Form W-8BEN or W-8ECI (or successor
        applicable form) certifying that such Purchaser is entitled to receive payments
        hereunder without deduction or withholding of any United States federal income
        taxes. Each such Purchaser shall replace or update such forms when necessary
        to
        maintain any applicable exemption and as requested by the Agent or the
        Seller.

       

      Section 6.5.
        Payments
        and Allocations.
        If any
        Person seeks compensation pursuant to this Article VI, such Person shall
        deliver to the Seller and the Agent a certificate setting forth the amount
        due
        to such Person, a description of the circumstance giving rise thereto and
        the
        basis of the calculations of such amount, which certificate shall be conclusive
        absent demonstrable error. The Seller shall pay to the Agent (with respect
        to
        amounts owed to it), the LC Issuer (with respect to amounts owed to it) or
        the
        applicable Purchaser Agent (with respect to amounts owed to it or any Purchaser
        in its Purchaser Group), (for the account of such Person) the amount shown
        as
        due on any such certificate within 10 Business Days after receipt of the
        notice.

       

      Article VII

      Conditions
        Precedent

       

      Section 7.1.
        Conditions
        to Closing.
        This
        Agreement shall become effective on the first date all conditions in this
        Section 7.1 are satisfied. On or before such date, the Seller shall deliver
        to the Agent, each Purchase Agent and the LC Issuer the following documents
        in
        form, substance and quantity acceptable to the Agent, each Purchaser Agent
        and
        the LC Issuer, as applicable:

       

      (a)
        an
        amendment and restatement of (i) each Purchase Agreement and (ii) the Fee
        Letter, in each case, duly executed by each of the parties thereto;
        and

       

      (b)
        opinions
        of counsel to each of the Originators and the Seller, in form and substance
        reasonably acceptable to the Agent, the Purchaser Agents and the LC
        Issuer.

       

      Section 7.2.
        Conditions
        to Each Credit Event.
        The
        obligation of each Purchaser to make any Purchase and of the LC Issuer to
        issue
        or Modify any Letter of Credit, and the right of the Seller to request or
        accept
        any Purchase or Letter of Credit, are subject to the conditions (and each
        Credit
        Event shall be deemed to evidence the Seller’s representation and warranty that
        clauses (a)-(e) of this Section 7.2 have been satisfied) that on the date
        of such Credit Event before and after giving effect to such Credit
        Event:

       

      (a)
        no
        Potential Termination Event shall then exist or shall occur as a result of
        such
        Credit Event;

       

      (b)
        the
        Termination Date has not occurred;

       

      (c)
        before
        and after giving effect to such Credit Event (and, in the event of a Purchase,
        after giving effect to the application of the proceeds of such Purchase)
        or to
        the issuance of such, (i) the aggregate Credit Exposure shall not exceed
        the
        Aggregate Commitment, (ii) the LC Obligations do not exceed the LC Sublimit,
        and
        (iii) the Effective Receivable Interest shall not exceed 100%;

       

      (d)
        the
        representations and warranties in Section 4.1 are true and correct in all
        material respects on and as of such date (except to the extent such
        representations and warranties relate solely to an earlier date and then
        as of
        such earlier date); and

       

      (e)
        each
        of
        the Seller and each Originator is in full compliance with the Transaction
        Documents (including all covenants and agreements in
        Article V).

       

      Nothing
        in this Section 7.2 limits the obligations (including those in
        Section 2.1) of each Related Bank Purchaser to its related Conduit
        Purchaser (including the Transfer Agreement).

       

      Article VIII

      The
        Agent

       

      Section 8.1.
        Appointment
        and Authorization.
        Each
        Purchaser, the LC Issuer and each Purchaser Agent hereby irrevocably designates
        and appoints ABN AMRO Bank N.V. as the “Agent”
        hereunder and authorizes the Agent to take such actions and to exercise such
        powers as are delegated to the Agent hereby and to exercise such other powers
        as
        are reasonably incidental thereto. The Agent shall hold, in its name, for
        the
        benefit of each Purchaser, the LC Issuer, the Purchase Interest of such
        Purchaser and the Pledged Interest of the LC Issuer. The Agent shall not
        have
        any duties other than those expressly set forth herein or any fiduciary
        relationship with any Purchaser or the LC Issuer, and no implied obligations
        or
        liabilities shall be read into this Agreement, or otherwise exist, against
        the
        Agent. The Agent does not assume, nor shall it be deemed to have assumed,
        any
        obligation to, or relationship of trust or agency with, the Seller.
        Notwithstanding any provision of this Agreement or any other Transaction
        Document, in no event shall the Agent ever be required to take any action
        which
        exposes the Agent to personal liability or which is contrary to the provision
        of
        any Transaction Document or applicable law.

       

      (b)
        Each
        Purchaser hereby irrevocably designates and appoints the respective institution
        identified on the applicable signature page hereto (as applicable) as its
        Purchaser Agent hereunder, and each authorizes such Purchaser Agent to take
        such
        action on its behalf under the provisions of this Agreement and to exercise
        such
        powers and perform such duties as are expressly delegated to such Purchaser
        Agent by the terms of this Agreement, if any, together with such other powers
        as
        are reasonably incidental thereto. Notwithstanding any provision to the contrary
        elsewhere in this Agreement, no Purchaser Agent shall have any duties or
        responsibilities, except those expressly set forth herein, or any fiduciary
        relationship with any Purchaser or other Purchaser Agent, the LC Issuer or
        the
        Agent, and no implied covenants, functions, responsibilities, duties,
        obligations or liabilities on the part of such Purchaser Agent shall be read
        into this Agreement or otherwise exist against such Purchaser
        Agent.

       

      Section 8.2.
        Delegation
        of Duties.
        The
        Agent may execute any of its duties through agents or attorneys-in-fact and
        shall be entitled to advice of counsel concerning all matters pertaining
        to such
        duties. The Agent shall not be responsible for the negligence or misconduct
        of
        any agents or attorneys-in-fact selected by it with reasonable
        care.

       

      Section 8.3.
        Exculpatory
        Provisions.
        None of
        the Agent, the LC Issuer, any Purchaser Agent or any of their respective
        directors, officers, agents or employees shall be liable for any action taken
        or
        omitted (i) with the consent or at the direction of the Instructing Group
        or
        (ii) in the absence of such Person’s gross negligence or willful
        misconduct. Neither the Agent nor any Purchaser Agent shall be responsible
        to
        any Purchaser, the LC Issuer or other Person for (i) any recitals,
        representations, warranties or other statements made by the Seller, any
        Originator or any of their Affiliates, (ii) the value, validity,
        effectiveness, genuineness, enforceability or sufficiency of any Transaction
        Document, (iii) any failure of the Seller, any Originator or any of their
        Affiliates to perform any obligation or (iv) the satisfaction of any
        condition specified in Article VII. Neither the Agent nor any Purchaser
        Agent shall have any obligation to any Purchaser or the LC Issuer to ascertain
        or inquire about the observance or performance of any agreement contained
        in any
        Transaction Document or to inspect the properties, books or records of the
        Seller, any Originator or any of their Affiliates.

       

      Section 8.4.
        Reliance
        by Agent.
        Each
        Purchaser Agent and the Agent shall in all cases be entitled to rely, and
        shall
        be fully protected in relying, upon any document, other writing or conversation
        believed by it to be genuine and correct and to have been signed, sent or
        made
        by the proper Person and upon advice and statements of legal counsel (including
        counsel to the Seller), independent accountants and other experts selected
        by
        the Agent. Each Purchaser Agent and the Agent shall in all cases be fully
        justified in failing or refusing to take any action under any Transaction
        Document unless it shall first receive such advice or concurrence of the
        Purchasers, and assurance of its indemnification, as it deems
        appropriate.

       

      (b)
        The
        Agent
        shall in all cases be fully protected in acting, or in refraining from acting,
        under this Agreement in accordance with a request of the Purchasers or the
        Purchaser Agents, and such request and any action taken or failure to act
        pursuant thereto shall be binding upon all Purchasers, the Agent, the LC
        Issuer
        and the Purchaser Agents.

       

      (c)
        For
        each
        Purchaser Group, the Required Related Bank Purchasers for such Purchaser
        Group,
        shall be required to request or direct the applicable Purchaser Agent to
        take
        action, or refrain from taking action, under this Agreement on behalf of
        such
        Purchasers. Such Purchaser Agent shall in all cases be fully protected in
        acting, or in refraining from acting, under this Agreement in accordance
        with a
        request of the Required Related Bank Purchasers for such Purchaser Group,
        and
        such request and any action taken or failure to act pursuant thereto shall
        be
        binding upon all of such Purchaser Agent’s Purchasers.

       

      (d)
        Unless
        otherwise advised in writing by a Purchaser Agent or by any Purchaser on
        whose
        behalf such Purchaser Agent is purportedly acting, each party to this Agreement
        may assume that (i) such Purchaser Agent is acting for the benefit of each
        of the Purchasers in respect of which such Purchaser Agent is identified
        as
        being the “Purchaser
        Agent”
        in the
        definition of “Purchaser
        Agent”
        hereto,
        as well as for the benefit of each assignee or other transferee from any
        such
        Person, and (ii) each action taken by such Purchaser Agent has been duly
        authorized and approved by all necessary action on the part of the Purchasers
        on
        whose behalf it is purportedly acting. Each initial Purchaser (or, with the
        consent of all other Purchasers then existing, any other Purchasers) shall
        have
        the right to designate a new Purchaser Agent (which may be itself) to act
        on its
        behalf and on behalf of its assignees and transferees for purposes of this
        Agreement by giving to the Agent written notice thereof signed by such
        Purchaser(s) and the newly designated Purchaser Agent. Such notice shall
        be
        effective when receipt thereof is acknowledged by the Agent, which
        acknowledgment the Agent shall not unreasonably delay giving, and thereafter
        the
        party named as such therein shall be Purchaser Agent for such Purchaser under
        this Agreement. Each Purchaser Agent and its Purchaser(s) shall agree amongst
        themselves as to the circumstances and procedures for removal and resignation
        of
        such Purchaser Agent. 

       

      Section 8.5.
        Assumed
        Payments.
        Unless
        the Agent shall have received notice from the applicable Purchaser Agent
        before
        the date of any Put or of any Incremental Purchase that the applicable Purchaser
        Group will not make available to the Agent the amount it is scheduled to
        remit
        as part of such Put or Incremental Purchase, the Agent may assume such Purchaser
        Group has made such amount available to the Agent when due (an “Assumed
        Payment”)
        and, in
        reliance upon such assumption, the Agent may (but shall have no obligation
        to)
        make available such amount to the appropriate Person. If and to the extent
        that
        any Purchaser shall not have made its Assumed Payment available to the Agent,
        such Purchaser (and the Seller in the case of any Incremental Purchase) hereby
        agrees to pay the Agent forthwith on demand such unpaid portion of such Assumed
        Payment up to the amount of funds actually paid by the Agent, together with
        interest thereon for each day from the date of such payment by the Agent
        until
        the date the requisite amount is repaid to the Agent, at a rate per annum
        equal
        to the Federal Funds Rate plus 2%.

       

      Section 8.6.
        Notice
        of Termination Events.
        Neither
        any Purchaser Agent nor the Agent shall be deemed to have knowledge or notice
        of
        the occurrence of any Potential Termination Event unless the Agent or such
        Purchaser Agent has received notice from any Purchaser, the LC Issuer, any
        Purchaser Agent, the Collection Agent or the Seller stating that a Potential
        Termination Event has occurred hereunder and describing such Potential
        Termination Event. In the event that the Agent receives such a notice, it
        shall
        promptly give notice thereof to the LC Issuer and each Purchaser Agent whereupon
        each Purchaser Agent shall promptly give notice thereof to its Purchasers.
        In
        the event that the LC Issuer or a Purchaser Agent receives such a notice
        (other
        than from the Agent), it shall promptly give notice thereof to the Agent.
        The
        Agent shall take such action concerning a Potential Termination Event as
        may be
        directed by the Instructing Group (or, if required for such action, the LC
        Issuer and all of the Purchasers), but until the Agent receives such directions,
        the Agent may (but shall not be obligated to) take such action, or refrain
        from
        taking such action, as the Agent deems advisable and in the best interests
        of
        the Purchasers, the LC Issuer and the Purchaser Agents.

       

      Section 8.7.
        Non-Reliance
        on Agent, Purchaser Agents and Other Purchasers.
        Each of
        the Purchasers and the LC Issuer expressly acknowledges that none of the
        Agent,
        the Purchaser Agents or any of their respective officers, directors, employees,
        agents, attorneys-in-fact or Affiliates has made any representations or
        warranties to it and that no act by the Agent or any Purchaser Agent hereafter
        taken, including any review of the affairs of the Seller or any Originator,
        shall be deemed to constitute any representation or warranty by the Agent
        or
        such Purchaser Agent, as applicable. Each of the Purchasers and the LC Issuer
        represents and warrants to the Agent and the Purchaser Agents that,
        independently and without reliance upon the Agent, Purchaser Agents or any
        other
        Purchaser and based on such documents and information as it has deemed
        appropriate, it has made and will continue to make its own appraisal of and
        investigation into the business, operations, property, prospects, financial
        and
        other conditions and creditworthiness of the Seller, the Originators, and
        the
        Receivables and its own decision to enter into this Agreement and to take,
        or
        omit, action under any Transaction Document. Except for items specifically
        required to be delivered hereunder, the Agent shall not have any duty or
        responsibility to provide any Purchaser Agent, the LC Issuer or any Purchaser
        with any information concerning the Seller, any Originator or any of their
        Affiliates that comes into the possession of the Agent or any of its officers,
        directors, employees, agents, attorneys-in-fact or Affiliates.

       

      Section 8.8.
        Agents
        and Affiliates.
        Each of
        the Purchaser Agents, the Purchasers, the LC Issuer and the Agent and their
        respective Affiliates may extend credit to, accept deposits from and generally
        engage in any kind of business with the Seller, any Originator or any of
        their
        Affiliates and, in its roles as a Purchaser Agent and Related Bank Purchaser,
        ABN AMRO may exercise or refrain from exercising its rights and powers as
        if it
        were not the Agent. In
        their
        capacity as Purchasers hereunder, each of the Purchaser Agents and the Agent
        shall have the same rights and powers under this Agreement as any Purchaser
        and
        may exercise the same as though it were not such an agent, and the terms
        “Purchaser”
        and
“Purchasers”
        shall
        include each of the Purchaser Agents and the Agent in their individual
        capacities.

       

      Section 8.9.
        Indemnification.
        Each
        Purchaser Group shall indemnify and hold harmless the Agent, the LC Issuer
        and
        the officers, directors, employees, representatives and agents of each of
        he
        foregoing (to the extent not reimbursed by the Seller or any Originator and
        without limiting the obligation of the Seller or any Originator to do so),
        ratably in accordance with its Ratable Share from and against any and all
        liabilities, obligations, losses, damages, penalties, judgments, settlements,
        costs, expenses and disbursements of any kind whatsoever (including in
        connection with any investigative or threatened proceeding, whether or not
        the
        Agent, the LC Issuer or such Person shall be designated a party thereto)
        that
        may at any time be imposed on, incurred by or asserted against the Agent,
        the LC
        Issuer or such Person as a result of, or related to, any of the transactions
        contemplated by the Transaction Documents or the execution, delivery or
        performance of the Transaction Documents or any other document furnished
        in
        connection therewith (but excluding any such liabilities, obligations, losses,
        damages, penalties, judgments, settlements, costs, expenses or disbursements
        resulting solely from the gross negligence or willful misconduct of the Agent,
        the LC Issuer or such Person as finally determined by a court of competent
        jurisdiction).

       

      Section 8.10.
        Successor
        Agent.
        The
        Agent may, upon at least five (5) days notice to the Seller, each Purchaser
        Agent, the LC Issuer and each Purchaser, resign as Agent. Such resignation
        shall
        not become effective until a successor agent is appointed by the Instructing
        Group and has accepted such appointment. Upon such acceptance of its appointment
        as Agent hereunder by a successor Agent, such successor Agent shall succeed
        to
        and become vested with all the rights and duties of the retiring Agent, and
        the
        retiring Agent shall be discharged from its duties and obligations under
        the
        Transaction Documents. After any retiring Agent’s resignation hereunder, the
        provisions of Article VI and this Article VIII shall inure to its benefit
        as to
        any actions taken or omitted to be taken by it while it was the
        Agent.

       

      Article IX

      Miscellaneous

       

      Section 9.1.
        Termination.
        Each
        Conduit Purchaser shall cease to be a party hereto when the Termination Date
        has
        occurred, such Conduit Purchaser holds no Investment and all amounts payable
        to
        it hereunder have been indefeasibly paid in full. This Agreement shall terminate
        following the Termination Date when no Credit Exposure is held by a Purchaser
        or
        the LC Issuer and all other amounts payable hereunder have been indefeasibly
        paid in full, but the rights and remedies of the Agent, the LC Issuer, each
        Purchaser Agent and each Purchaser concerning any representation, warranty
        or
        covenant made, or deemed to be made, by the Seller and under Article VI and
        Section 8.9 shall survive such termination.

       

      Section 9.2.
        Notices.
        Unless
        otherwise specified, all notices and other communications hereunder shall
        be in
        writing (including by telecopier or other facsimile communication), given
        to the
        appropriate Person at its address or telecopy number set forth on the signature
        pages hereof or at such other address or telecopy number as such Person may
        specify, and effective when received at the address specified by such Person.
        Each party hereto, however, authorizes the Agent, the LC Issuer and each
        Purchaser Agent to act on telephone notices of Purchases, Letters of Credit,
        Puts, and Discount Rate and Tranche Period selections from any person the
        Agent,
        the LC Issuer or such Purchaser Agent in good faith believes to be acting
        on
        behalf of the relevant party and, at the Agent’s, the LC Issuer’s or such
        Purchaser Agent’s option, to tape record any such telephone conversation. Each
        party hereto agrees to deliver promptly to the Agent, the LC Issuer and each
        Purchaser Agent a confirmation of each telephone notice given or received
        by
        such party (signed by an authorized officer of such party), but the
        absence of such confirmation shall not affect the validity of the telephone
        notice. The Agent’s, the LC Issuer’s or such Purchaser Agent’s records of all
        such conversations shall be deemed correct and, if the confirmation of a
        conversation differs in any material respect from the action taken by the
        Agent,
        the LC Issuer or such Purchaser Agent, the records of the Agent, the LC Issuer
        or such Purchaser Agent shall govern absent manifest error. The number of
        days
        for any advance notice required hereunder may be waived (orally or in writing)
        by the Person receiving such notice and, in the case of notices to the Agent,
        the LC Issuer or a Purchaser Agent, the consent of each Person to which the
        Agent, the LC Issuer or such Purchaser Agent is required to forward such
        notice.

       

      Section 9.3.
        Payments
        and Computations.
        Notwithstanding anything herein to the contrary, any amounts to be paid or
        transferred by the Seller or the Collection Agent to, or for the benefit
        of, the
        LC Issuer, any Purchaser or any other Person shall be paid or transferred
        to the
        Agent, the LC Issuer or appropriate Purchaser Agent (for the benefit of such
        Purchaser or other Person). The obligations of the Seller and the Collection
        Agent to make payments hereunder are absolute, unconditional and irrevocable,
        and shall be paid without regard to any claim, counterclaim, setoff, defense
        or
        other right. The Agent, the LC Issuer or appropriate Purchaser Agent shall
        promptly (and, if reasonably practicable, on the day it receives such amounts)
        forward each such amount to the Person entitled thereto and such Person shall
        apply the amount in accordance herewith. All amounts to be paid or deposited
        hereunder shall be paid or transferred on the day when due in immediately
        available Dollars (and, if due from the Seller or Collection Agent, by
        11:00 a.m. (Chicago time), with amounts received after such time being
        deemed paid on the Business Day following such receipt). The Seller hereby
        authorizes the Agent to debit the Seller Account for application to any amounts
        owed by the Seller hereunder. The Seller shall, to the extent permitted by
        law,
        pay to the Agent, the LC Issuer or the appropriate Purchaser Agent upon demand,
        for the account of the applicable Person, interest on all amounts not paid
        or
        transferred by the Seller or the Collection Agent when due hereunder at a
        rate
        equal to the Prime Rate plus 2%, calculated from the date any such amount
        became
        due until the date paid in full. Any payment or other transfer of funds
        scheduled to be made on a day that is not a Business Day shall be made on
        the
        next Business Day, and any Discount Rate or interest rate accruing on such
        amount to be paid or transferred shall continue to accrue to such next Business
        Day. All computations of interest, fees, and Discount shall be calculated
        for
        the actual days elapsed based on (i) a 360 day year for Funding Charges and
        for
        Discount calculated on the basis of the Eurodollar Rate, or (ii) a 365 or
        366
        day year as applicable for Discount calculated on the basis of the Prime
        Rate.

       

      Section 9.4.
        Sharing
        of Recoveries.
        Each
        Purchaser and the LC Issuer agrees that if it receives any recovery, through
        set-off, judicial action or otherwise, on any amount payable or recoverable
        hereunder in a greater proportion than should have been received hereunder
        or
        otherwise inconsistent with the provisions hereof, then the recipient of
        such
        recovery shall purchase for cash an interest in amounts owing to the other
        applicable Purchasers (as return of Investment or otherwise), without
        representation or warranty except for the representation and warranty that
        such
        interest is being sold by each such other Purchaser or the LC Issuer, as
        the
        case may be, free and clear of any Adverse Claim created or granted by such
        other Purchaser, in the amount necessary to create proportional participation
        by
        the applicable Purchasers in such recovery (as if such recovery were distributed
        pursuant to Section 2.3). If all or any portion of such amount is
        thereafter recovered from the recipient, such purchase shall be rescinded
        and
        the purchase price restored to the extent of such recovery, but without
        interest.

       

      Section 9.5.
        Right
        of Setoff.
        During
        a Termination Event, each Purchaser is hereby authorized (in addition to
        any
        other rights it may have) to setoff, appropriate and apply (without presentment,
        demand, protest or other notice which are hereby expressly waived) any deposits
        and any other indebtedness held or owing by such Purchaser (including by
        any
        branches or agencies of such Purchaser) to, or for the account of, the Seller
        against amounts owing by the Seller hereunder (even if contingent or
        unmatured).

       

      Section 9.6.
        Amendments.
        Except
        as otherwise expressly provided herein, no amendment or waiver hereof shall
        be
        effective unless signed by the Seller, the Agent and the Instructing Group.
        In
        addition, no amendment hereof shall (a) without the consent of all the
        Purchasers, (i) extend the Termination Date or the date of any payment or
        transfer of Collections by the Seller to the Collection Agent or by the
        Collection Agent to the Agent, the LC Issuer or any Purchaser Agent,
        (ii) reduce the rate or extend the time of payment of Discount for any
        Eurodollar Tranche or Prime Tranche, (iii) reduce or extend the time of
        payment of any fee payable to the Related Bank Purchasers, (iv) except as
        provided herein, release, transfer or modify any Related Bank Purchaser’s
        Purchase Interest or change any Commitment, (v) amend the definition of
        Required Related Bank Purchasers, Instructing Group, Termination Event, Loss
        Reserve, Dilution Reserve, Notice of Difference Reserve, Discount Reserve,
        or
        any defined term used in any such definition, or Section 1.1, 1.2, 1.4,
        1.6, 1.8(a), 2.1, 2.2, 2.3, 7.2 or 9.6, Article VI, or any obligation of
        any Originator thereunder, (vi) consent to the assignment or transfer by
        the Seller or the Originator of any interest in the Receivables other than
        transfers under the Transaction Documents or permit any Originator to transfer
        any of its obligations under any Transaction Document except as expressly
        contemplated by the terms of the Transaction Documents, or (vii) amend any
        defined term relevant to the restrictions in clauses (i) through (vi) in a
        manner which would circumvent the intention of such restrictions, (b) without
        the consent of the LC Issuer, waive, amend or otherwise modify any provision
        hereof if the effect thereof is to affect the indemnities to, or the rights
        or
        duties of, the LC Issuer or to reduce any fee or other amount payable to
        the LC
        Issuer by any Person, or (c) without the consent of the Agent and each
        affected Purchaser Agent, amend any provision hereof if
        the
        effect thereof is to affect the indemnities to, or the rights or duties of,
        the
        Agent or any Purchaser Agent or to reduce any fee payable for the Agent’s or
        such Purchaser Agent’s own account.
        Notwithstanding the foregoing, the amount of any fee or other payment due
        and
        payable from the Seller or the Collection Agent to the Agent (for its own
        account), the LC Issuer (for its own account), any Purchaser Agent or any
        Purchaser may be changed or otherwise adjusted solely with the consent of
        the
        Seller and the party to which such payment is payable. Any amendment hereof
        shall apply to each Purchaser equally and shall be binding upon the Seller,
        the
        Purchaser Agents, the LC Issuer, the Purchasers and the Agent.

       

      Section 9.7.
        Waivers.
        No
        failure or delay of the Agent, the LC Issuer, any Purchaser Agent or any
        Purchaser in exercising any power, right, privilege or remedy hereunder shall
        operate as a waiver thereof, nor shall any single or partial exercise of
        any
        such power, right, privilege or remedy preclude any other or further exercise
        thereof or the exercise of any other power, right, privilege or remedy. Any
        waiver hereof shall be effective only in the specific instance and for the
        specific purpose for which such waiver was given. After any waiver, the Seller,
        the LC Issuer, the Purchasers, the Purchaser Agents and the Agent shall be
        restored to their former position and rights and any Potential Termination
        Event
        waived shall be deemed to be cured and not continuing, but no such waiver
        shall
        extend to (or impair any right consequent upon) any subsequent or other
        Potential Termination Event. Any additional Discount or Interest that has
        accrued after a Termination Event before the execution of a waiver thereof,
        solely as a result of the occurrence of such Termination Event, may be waived
        by
        (x) in the case of Discount, the Agent or related Purchaser Agent at the
        direction of the Purchaser entitled thereto or, in the case of Discount owing
        to
        the Related Bank Purchasers in any Purchaser Group, of the Required Related
        Bank
        Purchasers for such Purchaser Group, or (y) in the case of Interest, the
        LC
        Issuer or the Agent at the direction of the LC Issuer.

       

      Section 9.8.
        Successors
        and Assigns; Participations; Assignments.
        

       

      (a)
        Successors
        and Assigns.
        This
        Agreement shall be binding upon and inure to the benefit of the parties hereto
        and their respective successors and assigns. Except as otherwise provided
        herein, the Seller may not assign or transfer any of its rights or delegate
        any
        of its duties without the prior consent of the Agent, the Purchaser Agents,
        the
        LC Issuer and the Purchasers.

       

      (b)
        Participations.
        Any
        Purchaser may sell to one or more Persons (each a “Participant”)
        participating interests in the interests of such Purchaser hereunder and
        under
        the Transfer Agreement. The Seller shall be required to consent in writing
        to
        any such sale if as a result thereof the Seller would be required to pay
        compensation pursuant to Section 6.2. Such Purchaser shall remain solely
        responsible for performing its obligations hereunder, and the Seller, the
        LC
        Issuer, each Purchaser Agent and the Agent shall continue to deal solely
        and
        directly with such Purchaser in connection with such Purchaser’s rights and
        obligations hereunder and under the Transfer Agreement. Each Participant
        shall
        be entitled to the benefits of Article VI and shall have the right of setoff
        through its participation in amounts owing hereunder and under the Transfer
        Agreement to the same extent as if it were a Purchaser hereunder and under
        the
        Transfer Agreement, which right of setoff is subject to such Participant’s
        obligation to share with the Purchasers as provided in Section 9.4. A
        Purchaser shall not agree with a Participant to restrict such Purchaser’s right
        to agree to any amendment hereto or to the Transfer Agreement, except amendments
        described in clause (a) of Section 9.6.

       

      (c)
        Assignments
        by Related Bank Purchasers. Any
        Related Bank Purchaser may assign to one or more Persons (“Purchasing
        Related Bank Purchasers”),
        acceptable to the applicable Purchaser Agent in its sole discretion and the
        LC
        Issuer in its sole discretion (which consent shall not be unreasonably
        withheld), any portion of its Commitment as a Related Bank Purchaser hereunder
        and under its Transfer Agreement and Purchase Interest pursuant to a supplement
        hereto and to its Transfer Agreement (a “Transfer
        Supplement”)
        in form
        satisfactory to the Agent and LC Issuer executed by each such Purchasing
        Related
        Bank Purchaser, such selling Related Bank Purchaser and the applicable Purchaser
        Agent. The Seller shall be required to consent in writing to any such assignment
        if as a result thereof the Seller would be required to pay compensation pursuant
        to Section 6.2. Any such assignment by a Related Bank Purchaser must be for
        an
        amount of at least Fifteen Million Dollars. Any partial assignment shall
        be an
        assignment of an identical percentage of such selling Related Bank Purchaser’s
        Investment and its Commitment as a Related Bank Purchaser hereunder and under
        its Transfer Agreement. Upon the execution and delivery to the applicable
        Purchaser Agent of the Transfer Supplement, consent thereto by the Seller
        (if
        applicable) and the LC Issuer, and payment by the Purchasing Related Bank
        Purchaser to the selling Related Bank Purchaser of the agreed purchase price,
        such selling Related Bank Purchaser shall be released from its obligations
        hereunder and under its Transfer Agreement to the extent of such assignment
        and
        such Purchasing Related Bank Purchaser shall for all purposes be a Related
        Bank
        Purchaser party hereto and shall have all the rights and obligations of a
        Related Bank Purchaser hereunder and under the Transfer Agreement to the
        same
        extent as if it were an original party hereto and to its Transfer Agreement
        with
        a Commitment as a Related Bank Purchaser, an Investment and any related Assigned
        Conduit Purchaser Settlement described in the Transfer Supplement.

       

      (d)
        Replaceable
        Related Bank Purchasers.
        If any
        Related Bank Purchaser (a “Replaceable
        Related Bank Purchaser”)
        shall
        (i) petition the Seller for any amounts under Section 6.2 or suspend
        the availability of Eurodollar Tranches pursuant to Section 1.4(d) or
        (ii) cease to have a short-term debt rating of “A-1”
        by
        S&P and “P-1”
        by
        Moody’s, the Seller or applicable Conduit Purchaser may designate a replacement
        financial institution (a “Replacement
        Related Bank Purchaser”)
        acceptable to the applicable Purchaser Agent, the LC Issuer and the applicable
        Conduit Purchaser, in its sole discretion, to which such Replaceable Related
        Bank Purchaser shall, subject to its receipt of an amount equal to its
        Investment, any related Assigned Conduit Purchaser Settlement, and accrued
        Discount and fees thereon and all amounts payable under Section 6.2,
        promptly assign all of its rights, obligations and Related Bank Purchaser
        Commitment hereunder and under the Transfer Agreement, together with all
        of its
        Purchase Interest, and any related Assigned Conduit Purchaser Settlement,
        to the
        Replacement Related Bank Purchaser in accordance with Section 9.8(c). The
        Seller acknowledges and agrees that for so long as the commercial paper notes
        of
        VFCC are rated A-1+ by S&P, any Replacement Related Bank Purchaser for VFCC
        must have a short-term debt rating of A-1+ for S&P.

       

      (e)
        Assignment
        by Conduit Purchasers. Each
        party hereto agrees and consents (i) to each Conduit Purchaser’s
        assignment, participation, grant of security interests in or other transfers
        of
        any portion of, or any of its beneficial interest in, the Purchase Interest
        and
        the related Assigned Settlement and (ii) to the complete assignment by such
        Conduit Purchaser of all of its rights and obligations hereunder to any Person
        reasonably acceptable to such Purchaser Agent, and upon such assignment such
        Conduit Purchaser shall be released from all obligations and duties hereunder;
        provided,
        however,
        unless
        such assignment is made pursuant to Section 2.1 hereof that a Conduit
        Purchaser may not, without the prior consent of its Related Bank Purchaser,
        transfer any of its rights hereunder or under the related Transfer Agreement
        to
        cause its Related Bank Purchaser to purchase the Purchaser Interest of such
        Conduit Purchaser and the Assigned Settlement unless the assignee (i) is a
        corporation or limited liability company whose principal business is the
        purchase of assets similar to the Receivables, (ii) has the related
        Purchaser Agent as its administrative agent and (iii) issues commercial
        paper with credit ratings of at least A-1
        by
        S&P (if rated by S&P) and P-1 by Moody’s (if rated by Moody’s). Each
        Conduit Purchaser shall notify the Seller prior to any such assignment and
        shall
        promptly notify each party hereto of any such assignment. Upon such an
        assignment of any portion of a Conduit Purchaser’s Purchase Interest and the
        related Assigned Settlement, the assignee shall have all of the rights of
        such
        Conduit Purchaser hereunder relate to such Purchase Interest and related
        Assigned Settlement.

       

      (f)
        Opinions
        of Counsel.
        If
        required by the Agent or to maintain the Ratings, each Transfer Supplement
        must
        be accompanied by an opinion of counsel of the assignee as to such matters
        as
        the Agent or such Purchaser Agent may reasonably request.

       

      Section 9.9.
        Intended
        Tax Characterization.
        It is
        the intention of the parties hereto that, for the purposes of all Taxes,
        the
        transactions contemplated hereby shall be treated either as loans by the
        Purchasers (through the Agent) to the Seller secured by the Receivables,
        or the
        issuance by the LC Issuer of letters of credit as to which the reimbursement
        obligation is secured by the Receivables (the “Intended
        Tax Characterization”).
        The
        parties hereto agree to report and otherwise to act for the purposes of all
        Taxes in a manner consistent with the Intended Tax Characterization.

       

      Section 9.10.
        Waiver
        of Confidentiality.
        The
        Seller hereby consents to the disclosure of any nonpublic information relating
        to the Seller, any Affiliate or the Transaction Documents (a) among the Agent,
        the LC Issuer, the Purchaser Agents, the Purchasers and any provider of credit
        enhancement or liquidity enhancement to any Purchaser, and (b) by the Agent,
        the
        LC Issuer, the Purchaser Agents, the Purchasers or any provider of credit
        enhancement or liquidity enhancement to any Purchaser, to (i) any
        prospective or actual assignee or participant, (ii) any rating agency,
        surety, guarantor or credit or liquidity enhancer to the Agent, the LC Issuer,
        any Purchaser Agent or any Purchaser, (iii) any entity organized to
        purchase, or make loans secured by, financial assets for which any Purchaser
        Agent provides managerial services or acts as an administrative agent,
        (iv) any Conduit Purchaser’s administrator, management company, referral
        agents, issuing agents or depositaries or CP Dealers, (v) any officers,
        directors, members, managers, employees or outside accountants, auditors,
        attorneys or advisors of any of the foregoing, and (vi) Governmental
        Authorities with appropriate jurisdiction.

       

      Section 9.11.
        Confidentiality
        of Agreement.
        Unless
        otherwise consented to by the Agent, the LC Issuer and each Purchaser Agent,
        the
        Seller hereby will not disclose the contents of any Transaction Document,
        or any
        other confidential or proprietary information furnished by the Agent, the
        LC
        Issuer, the Purchaser Agents or any Purchaser, to any Person other than
        (i) to its auditors and attorneys, Affiliates, officers, directors,
        members, managers, employees, outside accountants or as required by applicable
        law or (ii) Governmental Authorities with appropriate jurisdiction. Nothing
        contained in this Section 9.11 shall preclude any Originator from
        disclosing the existence of the facility set forth in the Transaction Documents
        (but not the specific contents of any Transaction Documents) in the consolidated
        financial statements of Chemtura Corporation. Notwithstanding any provision
        in
        the Transaction Documents to the contrary, each party to the transactions
        contemplated by the Transaction Document (and each employee, representative,
        or
        other agent of each such party) may disclose to any and all persons, without
        limitation of any kind, the tax treatment and tax structure of the transactions
        and all materials of any kind (including opinions or other tax analyses)
        that
        are provided to such party relating to such tax treatment and tax
        structure.

       

      Section 9.12.
        Agreement
        Not to Petition.
        Each
        party hereto agrees, for the benefit of the holders of the privately or publicly
        placed indebtedness for borrowed money for each Conduit Purchaser, not, prior
        to
        the date which is one (1) year and one (1) day after the payment in full
        of all
        such indebtedness, to acquiesce, petition or otherwise, directly or indirectly,
        invoke, or cause such Conduit Purchaser to invoke, the process of any
        Governmental Authority for the purpose of (a) commencing or sustaining a
        case
        against such Conduit Purchaser under any federal or state bankruptcy, insolvency
        or similar law (including the Federal Bankruptcy Code), (b) appointing a
        receiver, liquidator, assignee, trustee, custodian, sequestrator or other
        similar official for such Conduit Purchaser, or any substantial part of its
        property, or (c) ordering the winding up or liquidation of the affairs of
        such
        Conduit Purchaser. The provisions of this Section 9.12 shall survive
        termination of this Agreement.

       

      Section 9.13.
        Excess
        Funds.
        Notwithstanding any provisions contained in this Agreement to the contrary,
        no
        Conduit Purchaser shall, nor shall be obligated to, pay any amount pursuant
        to
        this Agreement unless (i) such Conduit Purchaser has received funds which
        may be used to make such payment and which funds are not required to repay
        its
        commercial paper notes when due and (ii) after giving effect to such payment,
        either (x) such Conduit Purchaser could issue commercial paper notes to
        refinance all of its outstanding commercial paper notes (assuming such
        outstanding commercial paper notes matured at such time) in accordance with
        the
        program documents governing such Conduit Purchaser’s securitization program or
        (y) all of such Conduit Purchaser’s commercial paper notes are paid in full. Any
        amount which a Conduit Purchaser does not pay pursuant to the operation of
        the
        preceding sentence shall not constitute a claim (as defined in §101 of the
        United States Bankruptcy Code) against or corporate obligation of such Conduit
        Purchaser for any such insufficiency unless and until such Conduit Purchaser
        satisfies the provisions of clauses (i) and (ii) above. This Section shall
        survive the termination of this Agreement.

       

      Section 9.14.
        No
        Recourse.
        The
        obligations of each Conduit Purchaser, its management company, its administrator
        and its referral agents (each a “Program
        Administrator”)
        under
        any Transaction Document or other document (each, a “Program
        Document”)
        to
        which a Program Administrator is a party are solely the corporate obligations
        of
        such Program Administrator and no recourse shall be had for such obligations
        against any Affiliate, director, officer, member, manager, employee, attorney
        or
        agent of any Program Administrator.

       

      Section 9.15.
        Limitation
        of Liability.
        No
        Person shall make a claim against the Agent, the LC Issuer, any Purchaser
        Agent
        or any Purchaser (or their respective Affiliates, directors, officers, members,
        managers, employees, attorneys or agents) for any special, indirect,
        consequential or punitive damages under any claim for breach of contract
        or
        other theory of liability in connection with the Transaction Documents or
        the
        transactions contemplated thereby, and the Seller (for itself, the Collection
        Agent and all other Persons claiming by or through the Seller) hereby waives
        any
        claim for any such damages.

       

      Section 9.16.
        Headings;
        Counterparts.
        Article
        and Section Headings in this Agreement are for reference only and shall not
        affect the construction of this Agreement. This Agreement may be executed
        by
        different parties on any number of counterparts, each of which shall constitute
        an original and all of which, taken together, shall constitute one and the
        same
        agreement.

       

      Section 9.17.
        Cumulative
        Rights and Severability.
        All
        rights and remedies of the Purchasers, Purchaser Agents and Agent hereunder
        shall be cumulative and non-exclusive of any rights or remedies such Persons
        have under law or otherwise. Any provision hereof that is prohibited or
        unenforceable in any jurisdiction shall, in such jurisdiction, be ineffective
        to
        the extent of such prohibition or unenforceability without invalidating the
        remaining provisions hereof and without affecting such provision in any other
        jurisdiction.

       

      Section 9.18.
        Governing
        Law; Submission to Jurisdiction.
        This
        Agreement shall be governed by, and construed in accordance with, the internal
        laws (and not the law of conflicts) of the State of New York. The Seller
        hereby
        submits to the nonexclusive jurisdiction of the United States District Court
        for
        the Southern District of New York and of any New York state court sitting
        in New
        York, New York for purposes of all legal proceedings arising out of, or relating
        to, the Transaction Documents or the transactions contemplated thereby. The
        Seller hereby irrevocably waives, to the fullest extent permitted by law,
        any
        objection it may now or hereafter have to the venue of any such proceeding
        and
        any claim that any such proceeding has been brought in an inconvenient forum.
        Nothing in this Section 9.18 shall affect the right of the Agent, the LC
        Issuer, any Purchase Agent or any Purchaser to bring any action or proceeding
        against the Seller or its property in the courts of other
        jurisdictions.

       

      Section 9.19.
        Waiver
        of Trial by Jury.
        To the
        extent permitted by applicable law, each party hereto irrevocably waives
        all
        right of trial by jury in any action, proceeding or counterclaim arising
        out of,
        or in connection with, any transaction document or any matter arising
        thereunder.

       

      Section 9.20.
        Entire
        Agreement.
        The
        Transaction Documents constitute the entire understanding of the parties
        thereto
        concerning the subject matter thereof. Any previous or contemporaneous
        agreements, whether written or oral, concerning such matters are superseded
        thereby.

       

      Section
        9.21. Original
        Sale Agreement.
        This
        Agreement amends and replaces in its entirety the Original Sale Agreement.
        Reference to this specific Agreement need not be made in any agreement,
        document, instrument, letter, certificate, the Original Sale Agreement itself,
        or any communication issued or made pursuant to or with respect to the Original
        Sale Agreement, any reference to the Original Sale Agreement being sufficient
        to
        refer to the Original Sale Agreement as amended and restated
        hereby.

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      IN
        WITNESS WHEREOF,
        the
        parties hereto have caused this Agreement to be executed and delivered by
        their
        duly authorized officers as of the date hereof.

      

      

      
        	
                ABN
                  AMRO Bank N.V.,
                  as
                  the Agent

                 

                 

                By:
                  __________________________________

                Title:_________________________________

                 

                By:
                  __________________________________

                Title:_________________________________

                Address:          
                  Structured
                  Finance,

                Asset
                  Securitization

                540
                  West Madison Street,

                27th
                  Floor

                Chicago,
                  Illinois 60661

                Attention:
                  Purchaser Agent

                Telephone:
                  (312) 904-6263

                Telecopy:
                  (312) 992-1527

              	
                ABN
                  AMRO Bank N.V.,
                  as
                  the Related Bank Purchaser for Amsterdam and as the Amsterdam Purchaser
                  Agent

                 

                 

                By:
                  __________________________________

                Title:_________________________________

                 

                By:
                  __________________________________

                Title:_________________________________

                Address:           
                  Structured
                  Finance,

                Asset
                  Securitization

                540
                  West Madison Street

                27th
                  Floor

                Chicago,
                  Illinois 60661

                Attention:
                  Administrator-Amsterdam

                Telephone:
                  (312) 904-6263

                Telecopy:
                  (312) 992-1527

              

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      
        	
                Amsterdam
                  Funding Corporation

              
	 	 
	
                By:

              	 
	
                Title:

              	 
	 	
                Address: c/o
                  Global Securitization Services,
                  LLC

                445
                  Broad Hollow Road

                Suite
                  239

                Melville,
                  NY 11747

                Attention:
                  Bernard J. Angelo

                Telephone:
                  (631) 587-4700

                Telecopy:
                  (212) 302-8767

              

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      

      
        	
                Wachovia
                  Bank, National Association, as
                  the LC Issuer, the Related Bank Purchaser for VFCC and as the VFCC
                  Purchaser Agent

                 

              
	 	 
	
                By:

              	 
	
                Title:

              	 
	 	
                Address: 171
                  17th Street NW, 4th Floor

                Atlanta,
                  GA 30363

                Attention:
                  Michael Landry

                Telephone:
                  (404) 214-6388

                Telecopy:
                  (404) 214-5481

                 

                With
                  a copy (in the case of any matter relating to a Letter of Credit)
                  to:

                 

                Wachovia
                  Bank, National Association

                201
                  South College Street

                6th
                  Floor, Mail Code NC 0601

                Charlotte,
                  NC  28288

                Attention:
                  Sherry McInturf, Conduit Operations

                Fax: (704)
                  383-6036

              

      

       

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      
        	
                Variable
                  Funding Capital Company, LLC

                 

              
	
                By:

              	
                Wachovia
                  Capital Markets, LLC, as

                Attorney-in-Fact

              
	 	 
	
                By:

              	 
	
                
                  Title:

                

              	 
	 	
                Address: Variable
                  Funding Capital Company

                c/o
                  Wachovia Bank, National Association

                301
                  S. College St.

                FLR
                  TRW 10 NC 0610

                Charlotte,
                  NC 28288-0610

                Attention:
                  Douglas R. Wilson Sr.

                Telephone:
                  (704) 374-2520

                Telecopy:
                  (704) 383-9579

              

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      

      
        	
                Calyon
                  New York Branch, as
                  the Related Bank Purchaser for Atlantic and as the Atlantic Purchaser
                  Agent

              
	 	 
	
                By:

              	 
	
                
                  Title:

                

              	 
	 	 
	
                By:

              	 
	
                
                  Title:

                

              	 
	 	
                Address: 1301
                  Avenue of the Americas

                New
                  York, NY 10019-6022

                Attn:
                  Sam Pilcer

                Telephone:
                  (212) 261-3548

                Telecopy:
                  (212) 459-3258

              
	 	 
	 	 
	
                Atlantic
                  Asset Securitization LLC

              
	 	 
	
                By:

              	 
	
                
                  Title:

                

              	 
	 	 
	
                By:

              	 
	
                
                  Title:

                

              	 
	 	
                Address: 1301
                  Avenue of the Americas

                New
                  York, NY 10019-6022

                Attn:
                  Micheal Guarda

                Telephone:
                  (212) 261-7681

                Telecopy:
                  (212) 459-3258

              

      

       

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      

      
        	
                Crompton
                  & Knowles Receivables

                Corporation,
                  as
                  Seller

                By:
                  __________________________________

                Title:_________________________________

                Address:         
                   199
                  Benson Road

                Middlebury,
                  Connecticut 06749

                Attention:
                  Treasurer

                Telephone:
                  203-573-3674

                Telecopy:
                  203-573-2343

              	
                Chemtura
                  Corporation (f/k/a Crompton Corporation), as
                  Initial Collection Agent

                By:
                  __________________________________

                Title:_________________________________

                Address:         
                   199
                  Benson Road

                Middlebury,
                  Connecticut 06749

                Attention:
                  Treasurer

                Telephone:
                  203-573-3674

                Telecopy:
                  203-573-2343

              
	
                Notices
                  sent to:

                 

                199
                  Benson Road

                Middlebury,
                  Connecticut 06749

                Attention:
                  Thomas O’Connor

                 

                With
                  a copy to:

                 

                Chemtura
                  Corporation

                199
                  Benson Road

                Middlebury,
                  Connecticut 06749

                Attention:
                  Treasurer

              	
                Notices
                  sent to:

                 

                199
                  Benson Road

                Middlebury,
                  Connecticut 06749

                Attention:
                  Thomas O’Connor

                 

                With
                  a copy to:

                 

                Chemtura
                  Corporation

                199
                  Benson Road

                Middlebury,
                  Connecticut 06749

                Attention:
                  Treasurer

              

      

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

          
          

        

      

      Schedule I

      Definitions

       

      The
        following terms have the meanings set forth, or referred to, below:

       

      “ABN
        AMRO”
        means
        ABN AMRO Bank N.V. in its individual capacity and not in its capacity as
        the
        Agent.

       

      “Accounting
        Authority”
means
        any accounting board or authority (whether or not part of a government) which
        is
        responsible for the establishment or interpretation of national or international
        accounting principles, in each case whether foreign or domestic.

       

      “Adverse
        Claim”
        means,
        for any asset or property of a Person, a lien, security interest, charge,
        mortgage, pledge, hypothecation, assignment or encumbrance, or any other
        right
        or claim, in, of or on such asset or property in favor of any other Person,
        except (i) those in favor of the Agent and (ii) liens for taxes,
        assessments or charges of any Governmental Authority (other than Tax or ERISA
        liens) and liens of landlords, carriers, warehousemen, mechanics and materialmen
        imposed by law in the ordinary course of business, in each case (a) for
        amounts not yet due or (b) which are being contested in good faith by
        appropriate proceedings and with respect to which adequate reserves or other
        appropriate provisions are being maintained in accordance with
        GAAP.

       

      “Affiliate”
        means,
        for any Person, any other Person which, directly or indirectly, is in control
        of, is controlled by, or is under common control with such Person. For purposes
        of this definition, “control”
        means
        the power, directly or indirectly, to cause the direction of the management
        and
        policies of a Person.

       

      “Agent”
        is
        defined in the first paragraph hereof.

       

      “Agent’s
        Account”
        means
        the account designated to the Seller and the Purchasers by the
        Agent.

       

      “Aggregate
        Commitment”
        means
        the aggregate of all Commitments of each Purchaser Group, as such amount
        may be
        reduced pursuant to Section 1.7.

       

      “Aggregate
        Face Amount Outstanding” means,
        on
        any date of determination, the aggregate undrawn amount of Letters of Credit
        then outstanding.

       

      “Aggregate
        Investment”
        means
        the sum of the Investments of all Purchasers.

       

      “Aggregate
        Reserve”
        means,
        at any time at which such amount is calculated, the sum of the Loss Reserve,
        Dilution Reserve, Notice of Difference Reserve and
        Discount Reserve.

       

      “Amsterdam”
        is
        defined in the first paragraph hereof.

       

      “Assigned
        Settlement”
        means,
        for each Related Bank Purchaser for any Put, the product of such Related
        Bank
        Purchaser’s Purchased Percentage and the amount of the Conduit Purchaser
        Settlement being transferred pursuant to such Put.

       

      “Atlantic”
        is
        defined in the first paragraph hereof.

       

      “Bankruptcy
        Event”
        means,
        for any Person, that (a) such Person makes a general assignment for the
        benefit of creditors or any proceeding is instituted by or against such Person
        seeking to adjudicate it bankrupt or insolvent, or seeking the liquidation,
        winding up, reorganization, arrangement, adjustment, protection, relief or
        composition of it or its debts under any law relating to bankruptcy, insolvency
        or reorganization or relief of debtors, or seeking the entry of an order
        for
        relief or the appointment of a receiver, trustee or other similar official
        for
        it or any substantial part of its property or (b) such Person takes any
        corporate action to authorize any such action.

       

      “Business
        Day”
        means
        any day other than (a) a Saturday, Sunday or other day on which banks in
        the
        States of New York, Connecticut or Illinois are authorized or required to
        close,
        (b) a holiday on the Federal Reserve calendar and, (c) solely for matters
        relating to a Eurodollar Tranche, a day on which dealings in Dollars are
        not
        carried on in the London interbank market.

       

      “Cash-Collateralize”
        means to
        pledge and deposit into the Letter of Credit Collateral Account at Wachovia,
        for
        the ratable benefit of the LC Issuer and the Related Bank Purchasers, as
        collateral for the LC Obligations, immediately available funds pursuant to
        documentation in form and substance satisfactory to the Agent and the LC
        Issuer.

       

      “Charge-Off”
        means
        any Receivable that has or should have been (in accordance with the Credit
        and
        Collection Policy) charged off or written off by the Seller.

       

      “Chemtura
        Credit Agreement”
        means
        that certain Credit Agreement, dated as of July 1, 2005, among Chemtura
        Corporation, various lending institutions, Citibank, N.A., as Agent, Bank
        of
        America, N.A., as Syndication Agent, and Citigroup Global Markets Inc. and
        Banc
        of America Securities LLC, as Joint Lead Arrangers.

       

      “Collateral”
        is
        defined in Section 1.11.

       

      “Collection”
        means
        any amount paid, or deemed paid, on a Receivable, including from the proceeds
        of
        collateral securing, or any guaranty of, such Receivable or by the Seller
        under
        Section 1.6(b).

       

      “Collection
        Agent” is
        defined in Section 3.1(a).

       

      “Collection
        Agent Fee”
        is
        defined in Section 3.6.

       

      “Collection
        Agent Replacement Event”
        means
        the occurrence of any one or more of the following:

       

      (a)any
        failure by the Collection Agent to make any payment, transfer or deposit
        required by any Transaction Document to be made by it which failure continues
        unremedied for one Business Day;

       

      (b)failure
        on the part of the Collection Agent to observe or perform any covenant or
        agreement contained in Sections 3.2 or 3.3 of this Agreement; 

       

      (c)failure
        on the part of the Collection Agent to observe or perform any other covenant
        or
        agreement set forth in this Agreement or any other Transaction Document,
        which
        failure has a material adverse effect on any Purchaser or the LC Issuer and
        continues unremedied for a period of 30 days after the earlier of (i) the
        date on which written notice of the failure, requiring the same to be remedied,
        shall have been given to the Collection Agent by any Purchaser or the LC
        Issuer,
        or to and (ii) the date on which the Collection Agent became aware of such
        failure;

       

      (d)the
        Daily
        Report shall fail to have been correct in any material respect when made
        or
        delivered or shall not have been delivered when required under the terms
        hereof;

       

      (e)the
        Weekly Report shall fail to have been correct in any material respect when
        made
        or delivered or shall not have been delivered when required under the terms
        hereof;

       

      (f)the
        Monthly Report shall fail to have been correct in any material respect when
        made
        or delivered, or shall not have been delivered when required under the terms
        hereof, and such condition continues unremedied for a period of three Business
        Days;

       

      (g)any
        written representation, warranty, certification or statement made by the
        Collection Agent in, or pursuant to, any Transaction Document proves to have
        been incorrect in any material adverse respect when made; or

       

      (h)the
        Collection Agent suffers a Bankruptcy Event; or

       

      (i)for
        purposes of Section 3.4 only, the occurrence of a Termination
        Event.

       

      “Commitment”
        means,
        for each Related Bank Purchaser, the amount set forth on Schedule II for
        such Conduit Purchaser or in a Transfer Supplement, and for each Purchaser
        Group, the amount set forth on Schedule II for such Purchaser Group, in each
        case as adjusted in accordance with Sections 1.7 and 9.8. 

       

      “Commitment
        Percentage”
        means,
        for each Related Bank Purchaser in a Purchaser Group, the Commitment for
        such
        Related Bank Purchaser divided by the total of all Commitments of all Related
        Bank Purchasers in such Purchaser Group. 

       

      “Concentration
        Limit”
        means
        with respect to any Obligor (i) with senior unsecured long-term
        indebtedness rated A (or higher) by S&P and A2 (or higher) by Moody’s, an
        amount not to exceed 6.0% of the Eligible Receivables Balance, (ii) with
        senior unsecured long-term indebtedness rated at least BBB- but lower than
        A by
        S&P and at least Baa3 but lower than A2 by Moody’s, an amount not to exceed
        4.0% of the Eligible Receivables Balance and (iii) with respect to all
        other Obligors not covered in clauses (i) and (ii) and not then the subject
        of a
        Special Limit, an amount not to exceed 2.0% of the Eligible Receivables
        Balance.

       

      “Conduit
        Purchaser”
        means
        each Person party to this Agreement and listed as such on Schedule II
        hereto and each other Person that becomes a Conduit Purchaser pursuant to
        a
        Transfer Supplement.

       

      “Conduit
        Purchaser Investment Percentage”
        means a
        fraction, expressed as a decimal, obtained by dividing the Investment of
        a
        Conduit Purchaser by the Investment of all Purchasers.

       

      “Conduit
        Purchaser Settlement”
        means
        the sum of all claims and rights to payment pursuant to Section 1.6 or 1.8
        or any other provision owed to a Conduit Purchaser (or owed to the Agent
        or
        Purchaser Agent or the Collection Agent for the benefit of a Conduit Purchaser)
        by the Seller that, if paid, would be applied to reduce Investment.

       

      “CP
        Dealer”
        means,
        at any time for each Conduit Purchaser, each Person such Conduit Purchaser
        then
        engages as a placement agent or commercial paper dealer.

       

      “CP
        Rate”
        means,
        for any Conduit Purchaser for any CP Tranche Period, a rate per annum equal
        to
        (a) the weighted average of the rates at which commercial paper notes
        having a term equal to such CP Tranche Period may be sold by any CP Dealer
        selected by such Conduit Purchaser, as agreed between each such CP Dealer
        and
        such Conduit Purchaser, plus (b) on or after the occurrence of a
        Termination Event, 2%. If such rate is a discount rate, the CP Rate shall
        be the
        rate resulting from such Conduit Purchaser’s converting such discount rate to an
        interest-bearing equivalent rate. If such Conduit Purchaser determines that
        due
        to disruptions in the commercial paper market that it is unable to issue
        commercial paper, then the CP Rate shall be the Prime Rate for so long as
        such
        condition shall continue. The CP Rate shall include all costs and expenses
        to
        each Conduit Purchaser of issuing the related commercial paper notes, including
        all dealer commissions and note issuance costs in connection
        therewith.

       

      “Credit
        and Collection Policy”
        means
        each Originator’s credit and collection policy and practices relating to
        Receivables attached hereto as Exhibit I.

       

      “Credit
        Event”
        means
        the issuance of a Letter of Credit or the making of a Purchase under this
        Agreement.

       

      “Credit
        Exposure” means
        at
        any time, the sum of the Aggregate Investment plus the LC Obligations. In
        computing the Credit Exposure in connection with a Purchase, the proceeds
        of
        which will be used to refinance a draw under a Letter of Credit, the Seller
        need
        not count both the Reimbursement Obligations and the amount that the Purchasers
        will pay to the Seller on account of such Purchase or the amount of any LC
        Obligations that are fully Cash-Collateralized.

       

      “Daily
        Reporting Period”
        means,
        any period during which (i) the senior unsecured long-term debt of the Parent
        is
        rated less than BB- by S&P or Ba3 by Moody’s (or either such rating is
        suspended or withdrawn) or (ii) a Financial Covenant Grace Period
        exists.

       

      “Deemed
        Collections” is
        defined in Section 1.6(b).

       

      “Default
        Rate”
        means
        (a) as to Interest owing to the LC Issuer, a rate
        per
        annum
        equal to the sum of the Prime Rate applicable to VFCC’s Purchaser Group plus 200
        basis points (2.00%), and
        (b)
        as to Interest owing to any Purchaser, a rate per
        annum
        equal to the sum of the Prime Rate applicable to its Purchaser Group plus
        200
        basis points (2.00%).

       

      “Default
        Ratio”
        means,
        at any time, the ratio of (a) the then aggregate outstanding balance of all
        Defaulted Receivables (minus Charge-Offs) to (b) the then aggregate
        outstanding balance of all Receivables (minus Charge-Offs).

       

      “Defaulted
        Receivable”
        means
        any Receivable (a) on which any amount is unpaid more than 90 days past its
        original due date, or (b) the Obligor on which has suffered a Bankruptcy
        Event.

       

      “Delinquency
        Ratio”
        means,
        at any time, the ratio of (a) the then aggregate outstanding balance of all
        Delinquent Receivables to (b) the then aggregate outstanding balance of all
        Receivables.

       

      “Delinquent
        Receivable”
        means
        any Receivable (other than a Charge-Off or Defaulted Receivable) on which
        any
        amount is unpaid more than 60 days past its original due date.

       

      “Deposit
        Date”
        means
        each day on which any Collections are deposited in any Lock-Box Account or
        on
        which the Collection Agent receives any Collections.

       

      “Designated
        Financial Officer”
        means
        each of Chief Financial Officer, Treasurer and Assistant Treasurer.

       

      “Dilution”
        means,
        for any calendar month, the amount Deemed Collections deemed to be received
        during such calendar month pursuant to Section 1.6(b), except for any
        amount that would otherwise constitute Dilution that is described in the
        definition of Notice of Difference.

       

      “Dilution
        Horizon Ratio”
        means,
        for each calendar month, a fraction (expressed as a ratio) the numerator
        of
        which is the aggregate amount of Receivables generated by the Originators
        during
        the most recent three calendar month period and the denominator of which
        is the
        Eligible Receivables Balance as of the last day of such calendar
        month.

       

      “Dilution
        Ratio”
        means, for
        each
        calendar month, a fraction (expressed as a ratio) the numerator of which
        is the
        amount of Dilution for such calendar month, and the denominator of which
        is the
        aggregate amount of Receivables generated by the Originators during the third
        calendar month ended immediately prior to such calendar month. 

       

      “Dilution
        Reserve”
        means at
        any time the product of (aa) the product of (A) the sum of (i) the Dilution
        Reserve Stress Factor, times the average Dilution Ratio for the most recent
        12
        calendar months, plus (ii) the product of (x) the excess (if any) of the
        highest
        Dilution Ratio for the most recent 12 calendar months and the average Dilution
        Ratio for the same 12 calendar months and (y) the quotient of the highest
        Dilution Ratio for the most recent 12 calendar months divided by the average
        Dilution Ratio for the same 12 calendar months, and (B) the Dilution Horizon
        Ratio for the most recently completed calendar month, and (bb) the Eligible
        Receivables Balance.

       

      “Dilution
        Reserve Stress Factor”
        shall
        mean 2.25.

       

      “Discount”
        means,
        for any Tranche Period, (a) the product of (i) the Discount Rate for such
        Tranche Period, (ii) the total amount of Investment allocated to the Tranche
        Period, and (iii) the number of days elapsed during the Tranche Period divided
        by (b) 360 days.

       

      “Discount
        Period”
        means,
        with respect to any Settlement Date or the Termination Date, the period from
        and
        including the preceding Settlement Date (or if none, the date that the first
        Incremental Purchase is made hereunder) to but not including such Settlement
        Date or Termination Date, as applicable.

       

      “Discount
        Rate”
        means,
        for any Tranche Period, the CP Rate, the Eurodollar Rate or the Prime Rate,
        as
        applicable.

       

      “Discount
        Reserve”
        means,
        at any time, the product of (a) 1.5 multiplied by (b) the rate
        announced by ABN AMRO as its “Prime
        Rate” (which
        may not be its best or lowest rate) plus 100 basis points (1.00%) multiplied
        by
        (c) Aggregate Investment multiplied by (d) a fraction, the numerator
        of which is the average Turnover Rate as of the last day of the last three
        calendar months and the denominator of which is 360.

       

      “Dollar”
        and
        “$”
        means
        lawful currency of the United States of America.

       

      “Early
        Payment Fee”
        means,
        if any Investment of a Purchaser allocated (or, in the case of a requested
        Purchase not made by the Related Bank Purchasers for any reason other than
        their
        default, scheduled to be allocated) to a Tranche Period for a CP Tranche
        or
        Eurodollar Tranche is reduced or terminated before the last day of such Tranche
        Period (the amount of Investment so reduced or terminated being referred
        to as
        the “Prepaid
        Amount”),
        the cost
        to the relevant Purchaser of terminating or reducing such Tranche, which
        (a) for
        a CP Tranche means any compensation payable in prepaying the related commercial
        paper or, if not prepaid, any shortfall between the amount that will be
        available to the applicable Conduit Purchaser on the maturity date of the
        related commercial paper from reinvesting the Prepaid Amount in Permitted
        Investments and the Face Amount of such commercial paper and (b) for a
        Eurodollar Tranche will be determined based on the difference between the
        LIBOR
        applicable to such Tranche and the LIBOR applicable for a period equal to
        the
        remaining maturity of the Tranche on the date the Prepaid Amount is
        received.

       

      “Effective
        Receivable Interest” means,
        on
        any date of determination, an undivided percentage interest in all then
        outstanding Receivables and all related Collections equal to the percentage
        computed pursuant to the following formula:

      
        	 	
                 ACE  

              	
                +

              	
                APRP

              
	 	
                ERB

              	 	 

      

       

      where:

      

       

      
        	
                ACE=

              	
                the
                  Credit Exposure as of the last day of the Calculation Period then
                  most
                  recently ended, plus
                  the amount of any Incremental Purchases since such date, plus
                  the amount of any Letter of Credit issuances or increases since
                  such date,
                  minus
                  the excess, if any, of Purchaser Collections received by the Seller
                  or the
                  Collection Agent since such date over the aggregate amount of Reinvestment
                  Purchases made since such date, and minus
                  cash in the Letter of Credit Cash Collateral Account;

              
	 	 
	
                ERB=

              	
                the
                  Eligible Receivables Balance as of the most recent periodic date
                  of
                  recomputation pursuant to Section
                  1.6(a);
                  and

              
	 	 
	
                APRP=

              	
                the
                  aggregate of the Purchaser Reserve Percentages at such
                  time.

              

      

       

      “Eligible
        Receivable”
        means,
        at any time, any Receivable:

       

      (i)
        the
        Obligor of which (a) is a resident of, or organized under the laws of, or
        with
        its chief executive office in, the USA; provided,
        however,
        that not
        more than 10% of Eligible Receivables in the aggregate at any time may consist
        of Receivables due from Obligors which are not residents of, or organized
        under
        the laws of, or with chief executive offices in, the USA (each, an “Eligible
        Foreign Receivable”)
        if the
        applicable Obligor under each such Eligible Foreign Receivable (1) is a resident
        of a country that (x) is a member of the Organization of Economic
        Cooperation and
        Development and (y) has a short-term country risk rating of not less than
        A-3 by S&P and P-3 by Moody’s, and (2) all payments of such Receivables are
        required to be made in US dollars into a Lock-Box Account; provided
        that all
        other terms hereof shall apply to such Eligible Foreign Receivables and
provided
        further
        that any
        Purchaser Agent may remove or discontinue the allowance for Eligible Foreign
        Receivables set forth in this clause (a) upon not less than three Business
        Days
        prior written notice to the Seller, Collection Agent and Agent in the sole
        discretion of such Purchaser Agent; (b) is not an Affiliate of any Originator;
        (c) is not a government or a governmental subdivision or agency; (d) has
        not
        suffered a Bankruptcy Event; (e) is a customer of the Originator in good
        standing; (f) is not the Obligor of Receivables 25% or more of which are
        Defaulted Receivables; and (g) is not Honeywell International Inc. or any
        of its
        Affiliates.

       

      (ii)
        which
        is
        stated to be due and payable within 90 days after the invoice therefor;
provided,
        however,
        that not
        more than 15% of the Eligible Receivables Balance (other than the portion
        of the
        Eligible Receivables Balance represented by Eligible Foreign Receivables)
        at any
        time may consist of Receivables which are stated to be due and payable within
        91
        to 180 days after invoice therefor, provided
        that
        any
        Purchaser Agent may remove or discontinue this allowance for Receivables
        due
        within 91 to 180 days after the invoice thereafter set forth in this subsection
        (ii) from the criteria for Eligible Receivables upon not less than three
        Business Days prior written notice to the Seller, Collection Agent and Agent
        in
        the sole discretion of such Purchaser Agent;

       

      (iii)
        which
        is
        not a Defaulted Receivable or a Charge-Off;

       

      (iv)
        which
        is
        an “account”
        or
“payment intangible” within the meaning of Section 9-102(a) of the UCC of
        all applicable jurisdictions;

       

      (v)
        which
        is
        denominated and payable only in Dollars in the USA and is non-interest bearing;
        provided
        that a
        Receivable shall not be deemed to be interest bearing solely as a result
        of the
        Seller’s lawful imposition of an interest or other charge on any Receivable that
        remains unpaid for some specified period of time;

       

      (vi)
        which
        arises under a contract that is in full force and effect and constitutes
        the
        legal, valid and binding obligation of the related Obligor enforceable against
        such Obligor in accordance with its terms subject to no offset, counterclaim,
        defense or other Adverse Claim, and is not an executory contract or unexpired
        lease within the meaning of Section 365 of the Bankruptcy
        Code;

       

      (vii)
        which
        arises under a contract that (a) contains an obligation to pay a specified
        sum
        of money and is subject to no contingencies and (b) does not contain a
        confidentiality provision that purports to restrict any Purchaser’s exercise of
        rights under this Agreement, including, without limitation, the right to
        review
        such contract;

       

      (viii)
        which
        does not, in whole or in part, contravene any law, rule or regulation applicable
        thereto (including, without limitation, those relating to usury, truth in
        lending, fair credit billing, fair credit reporting, equal credit opportunity,
        fair debt collection practices and privacy); and

       

      (ix)
        which
        satisfies all applicable requirements of the Credit and Collection Policy
        and
        was generated in the ordinary course of each Originator’s business from the sale
        of goods or provision of services to a related Obligor solely by each
        Originator.

       

      “Eligible
        Receivables Balance”
        means,
        at any time, (a) the aggregate outstanding principal balance of all
        Eligible Receivables less (b) an amount equal to the sum of (1) the portion
        of the aggregate outstanding principal balance of Eligible Receivables which
        exceed the Concentration Limit or the Special Limit plus (2) the dollar amounts
        of the Tax Liability Amount plus (3) any interest finance charges or late
        fees
        that would otherwise constitute a portion of each Eligible Receivable.

       

      “Eurodollar
        Rate”
        means,
        for any Tranche Period for a Eurodollar Tranche, the sum of (a) LIBOR for
        such
        Tranche Period divided by 1 minus the “Reserve
        Requirement”
        plus (b)
        the amount specified in the Fee Letter plus (c) during the continuance of
        any Financial Covenant Grace Period and on or after the occurrence of a
        Termination Event, the amount specified in the Fee Letter; where “Reserve
        Requirement”
        means,
        for any Tranche Period for a Eurodollar Tranche, the maximum reserve requirement
        imposed during such Tranche Period on “eurocurrency
        liabilities”
        as
        currently defined in Regulation D of the Board of Governors of the Federal
        Reserve System.

       

      “Face
        Amount”
        means
        the face amount of any commercial paper issued by a Conduit Purchaser on
        a
        discount basis or, if not issued on a discount basis, the principal amount
        of
        such note and interest scheduled to accrue thereon to its stated
        maturity.

       

      “Facing
        Fee” is
        defined in Section 1.5(a).

       

      “Federal
        Funds Rate”
        means,
        with respect to each Purchaser Group, for any day the greater of (i) the
        highest rate per annum as determined by the applicable Purchaser Agent at
        which
        overnight Federal funds are offered to such Purchaser Agent for such day
        by
        major banks in the interbank market, and (ii) if such Purchaser Agent is
        borrowing overnight funds from a Federal Reserve Bank that day, the highest
        rate
        per annum at which such overnight borrowings are made on that day. Each
        determination of the Federal Funds Rate by a Purchaser Agent shall be conclusive
        and binding on the Seller except in the case of manifest error.

       

      “Fee
        Letter”
        means
        the amended and restated letter agreement dated as of the date hereof among
        the
        Seller, the Agent, the Purchaser Agents and the Conduit Purchasers, as amended,
        restated, modified or supplemented from time to time.

       

      “Financial
        Covenant Grace Period”
        means
        any period commencing on the date on which a Potential Termination Event
        described in clause (m) of the definition of Termination Event first occurs
        and ending on the date on which such Potential Termination Event ceases to
        exist
        or has been waived.

       

      “Funding
        Agreement”
        means
        any agreement or instrument executed by a Conduit Purchaser and executed
        by or
        in favor of any Funding Source or executed by any Funding Source at the request
        of such Conduit Purchaser.

       

      “Funding
        Charges”
        means,
        for any Conduit Purchaser for any day, the product of (i) the per annum
        rate (inclusive of dealer fees and commissions) paid or payable by such Conduit
        Purchaser in respect of commercial paper notes on such day that are allocated,
        in whole or in part, to fund or maintain its Investment for such day, as
        determined by its Purchaser Agent and other interest and costs allocated
        by or
        on behalf of such Conduit Purchaser to fund or maintain its Investment
        associated with the funding by the Conduit of small or odd lot amounts that
        are
        not funded with commercial paper notes and (ii) such Conduit Purchaser
        Investment as of the end of such day and (iii) 1/360.

       

      “Funding
        Parties”
        has the
        meaning set forth in Section 6.2.

       

      “Funding
        Source”
        means
        for a Conduit Purchaser any insurance company, bank or other financial
        institution providing liquidity, back-up purchase or credit support for such
        Conduit Purchaser.

       

      “GAAP”
        means
        generally accepted accounting principles in the USA, applied on a consistent
        basis.

       

      “Governmental
        Authority”
        means
        any (a) Federal, state, municipal or other governmental entity, board,
        bureau, agency or instrumentality, (b) administrative or regulatory
        authority (including any central bank or similar authority) or (c) court,
        judicial authority or arbitrator, in each case, whether foreign or
        domestic.

       

      “Incremental
        Purchase”
        is
        defined in Section 1.1(b).

       

      “Initial
        Collection Agent”
        is
        defined in the first paragraph hereof.

       

      “Instructing
        Group”
        means
        Purchaser Agents representing Purchaser Groups with at least 50% of the
        Commitments of all Purchaser Groups.

       

      “Intended
        Tax Characterization” is
        defined in Section 9.9.

       

      “Interest”
        is
        defined in Section 1.2(c).

       

      “Interim
        Liquidation”
        means
        any time before the Termination Date during which no Reinvestment Purchases
        are
        made by any Purchaser, as established pursuant to Section 1.3.

       

      “Investment”
        means,
        for each Purchaser (or Purchaser Group), (a) the sum of (i) all
        Incremental Purchases by such Purchaser (or Purchaser Group) and (ii) the
        aggregate amount of any payments or exchanges made by, or on behalf of, such
        Purchaser (or Purchaser Group) to any other Purchaser in its Purchaser Group
        under Article II minus (b) all Collections, amounts received from other
        Purchasers under Article II, and other amounts received or exchanged and,
        in
        each case, applied by the Agent or such Purchaser (or Purchaser Group) to
        reduce
        such Purchaser’s Investment. A Purchaser’s Investment shall be restored to the
        extent any amounts so received or exchanged and applied are rescinded or
        must be
        returned for any reason.

       

      “LC
        Application”
        has the
        meaning set forth in Section 1.2(b).

       

      “LC
        Fee”
        has the
        meaning set forth in the Fee Letter.

       

      “LC
        Issuer”
        means
        Wachovia Bank, National Association, and its successors.

       

      “LC
        Obligations”
        means,
        at any time, the sum, without duplication, of (a) the Aggregate Face Amount
        Outstanding at such time plus (b) the aggregate unpaid amount at such time
        of
        all Reimbursement Obligations.

       

      “LC
        Payment Date”
        is
        defined in Section 1.2(c).

       

      “LC
        Percentage”
        means,
        on any date of determination, the ratio (expressed as a percentage) of (a)
        the
        sum of (i) the Aggregate Face Amount Outstanding, plus (ii) any outstanding
        Reimbursement Obligations, to (b) the Purchase Limit.

       

      “LC
        Sublimit”
        means
        the lesser of (a) $100,000,000, and (b) the Aggregate Commitments.

       

      “Letter
        of Credit” means
        a
        stand-by letter of credit issued by Wachovia in Dollars for the account of
        the
        Seller at the request of an Originator with an expiry date not to exceed
        one
        year from the later of (i) its date of issuance, and (ii) the date of its
        most
        recent Modification).

       

      “Letter
        of Credit Collateral Account”
        means a
        segregated cash collateral account at Wachovia in the LC Issuer’s name
        established at any time after the date of this Agreement at the LC Issuer’s
        request that is under the exclusive control of the LC Issuer (for the ratable
        benefit of the LC Issuer and the Related Bank Purchasers).

       

      “Letter
        of Credit Request”
        is
        defined in the Purchase Agreements.

       

      “LIBOR”
        means,
        for any Tranche Period for a Eurodollar Tranche or other time period, the
        rate
        per annum (rounded upwards, if necessary, to the next higher one
        hundred-thousandth of a percentage point) for deposits in Dollars for a period
        equal to such Tranche Period or other period, which appears on Page BBAM
        on
        the
        Bloomberg Terminal (“Page
        BBAM”)
        (or
        any
        successor page or successor service that displays the British Bankers’
Association Interest Settlement Rates for Dollar deposits) as of 11:00 a.m.
        (London, England time) two Business Days before the commencement of such
        Tranche
        Period or other period. If for any Tranche Period for a Eurodollar Tranche
        no
        such displayed rate is available (or, for any other period, if such displayed
        rate is not available or the need to calculate LIBOR is not notified to the
        Agent at least 3 Business Days before the commencement of the period for
        which
        it is to be determined), the Agent shall determine such rate based on the
        rates
        ABN AMRO is offered deposits of such duration in the London interbank
        market.

       

      “Limited
        Guaranty”
        means
        the Second Amended and Restated Limited Guaranty, dated the date hereof,
        from
        the Parent in favor of the Agent for the benefit of the Agent, the Purchaser
        Agents, the LC Issuer and the Purchasers.

       

      “Liquidation
        Period”
        means,
        for each Conduit Purchaser, all times when such Conduit Purchaser is not
        making
        Reinvestment Purchases pursuant to Section 1.1(d) and, for all Purchasers,
        all times (x) during an Interim Liquidation and (y) on and after the Termination
        Date.

       

      “Lock-Box”
        means
        each post office box or bank box listed on Exhibit F, as revised pursuant
        to Section 5.1(i).

       

      “Lock-Box
        Account”
        means
        each account maintained by the Collection Agent at a Lock-Box Bank for the
        purpose of receiving or concentrating Collections.

       

      “Lock-Box
        Agreement”
        means
        each agreement between the Collection Agent and a Lock-Box Bank concerning
        a
        Lock-Box Account.

       

      “Lock-Box
        Bank”
        means
        each bank listed on Exhibit F, as revised pursuant to
        Section 5.1(i).

       

      “Lock-Box
        Letter”
        means a
        letter in substantially the form of Exhibit G (or otherwise acceptable to
        the Agent) from the Seller and the Collection Agent to each Lock-Box Bank,
        acknowledged and accepted by such Lock-Box Bank and the Agent.

       

      “Loss
        Horizon Ratio”
        means,
        for each calendar month, a fraction (expressed as a ratio) the numerator
        of
        which is the aggregate amount of Receivables generated by the Originators
        during
        the most recent four calendar month period and the denominator of which is
        the
        Eligible Receivables Balance as of the last day of such calendar
        month.

       

      “Loss
        Proxy”
        means,
        for each calendar month, a fraction (expressed as a ratio) the numerator
        of
        which is equal to the sum of (i) the outstanding balance of Receivables
        which are unpaid at least 61 and not more than 90 days past the due date
        of such
        Receivables as of the last day of such calendar months plus (ii) the
        outstanding balance of all Receivables which became Charge-Offs during such
        calendar month together with all Receivables deemed uncollectible by an
        Originator during such calendar month plus (iii) the outstanding balance of
        all Receivables the Obligor of which suffered a Bankruptcy Event during such
        calendar month, and the denominator of which is the aggregate amount of
        Receivables generated by the Originators during the most recent calendar
        month
        that is three months prior to the calendar month of calculation. For the
        purposes of calculating the Loss Proxy in part (i) of the numerator above,
        for
        Chemtura Corporation and Chemtura USA Corporation only, the Loss Proxy for
        the
        61 to 90 days past due Receivables is to be calculated as the amount of
        receivables that are 31 to 90 days past due multiplied by 50% for such periods
        during which the exact data for 61 to 90 days past due Receivables is not
        available.

       

      “Loss
        Reserve” shall
        equal (i) the greater of (A) 12.0% and (B) the product of (x) the
        Loss Reserve Stress Factor, (y) the highest rolling three-month average
        Loss Proxy during the most recent 12 calendar months, and (z) the Loss
        Horizon Ratio as of the most recently completed calendar month, multiplied
        by
        (ii) the Eligible Receivables Balance.

       

      “Loss
        Reserve Stress Factor”
        shall be
        2.25. 

       

      “Loss-to-Liquidation
        Ratio”
        means,
        for any period, the ratio of the outstanding balance of Charge-Offs to the
        aggregate amount of Collections during such period.

       

      “Matured
        Aggregate Investment”
        means,
        at any time, the Matured Value of the total Investments of all Purchasers
        then
        outstanding.

       

      “Matured
        Value”
        means,
        of any Investment, the sum of such Investment and all unpaid Discount, fees
        and
        other amounts scheduled to become due (whether or not then due) on such
        Investment during all Tranche Periods to which any portion of such Investment
        has been allocated.

       

      “Maximum
        Incremental Purchase Amount”
        means,
        at any time, the difference between (i) the lesser of the Purchase Limit
        and the
        Aggregate Commitment, and (ii) the Credit Exposure then
        outstanding.

       

      “Modification”
        and
        “Modify”
        are
        defined in Section 1.2(a).

       

      “Monthly
        Reporting Period”
        means,
        any period which is not a Weekly Reporting Period or a Daily Reporting
        Period.

       

      “Moody’s”
        means
        Moody’s Investors Service, Inc.

       

      “Notice
        of Difference” means,
        for any Settlement Period the aggregate amount accrued for prospective Dilution
        as of the last day of such Settlement Period under the Notice of Difference
        Policy attached as Appendix 3 to the Credit and Collection Policy less any
        such
        amount for which a credit memo has been issued pursuant to the Credit and
        Collection Policy.

       

      “Notice
        of Difference Reserve”
        means an
        amount equal to the product of (i) 1.5 and (ii) the highest Notice of Difference
        experienced for any of the last twelve calendar months.

       

      “Obligor”
        means,
        for any Receivable, each Person obligated to pay such Receivable and each
        guarantor of such obligation.

       

      “Originators”
        means
        each of Chemtura USA Corporation (f/k/a Crompton Manufacturing Company, Inc.
        (as
        successor by merger to Crompton Sales Company, Inc.)), Chemtura Corporation
        (f/k/a/ Crompton Corporation), Great Lakes Chemical Corporation and Bio-Lab,
        Inc.  

       

      “Parent” means
        Chemtura Corporation (f/k/a Crompton Corporation), a Delaware
        corporation.

       

      “Percentage”
        means,
        for each Related Bank Purchaser, the ratio (expressed as a percentage) of
        its
        Commitment to the Aggregate Commitment.

       

      “Periodic
        Report”
        means,
        for any Reporting Date, (i) during any Monthly Reporting Period, a report
        (a
“Monthly
        Report”)
        reflecting the information as of the close of business of the Collection
        Agent
        for the immediately preceding calendar month, containing the information
        described on Exhibit C-1 (with such modifications or additional information
        as
        requested by the Agent or the Instructing Group), (ii) during any Weekly
        Reporting Period, a report (a “Weekly
        Report”)
        reflecting the information as of the close of business of the Collection
        Agent
        for the immediately preceding calendar week, containing the information
        described on Exhibit C-2 (with such modifications or additional information
        as
        requested by the Agent or the Instructing Group) and (iii) during any Daily
        Reporting Period, a report (a “Daily
        Report”)
        reflecting the information as of the close of business of the Collection
        Agent
        for the second preceding calendar day, containing the information described
        on
        Exhibit C-3 (with such modifications or additional information as requested
        by
        the Agent or the Instructing Group).

       

      “Permitted
        Investments”
        means
        (a) evidences of indebtedness, maturing within thirty (30) days after the
        date of purchase thereof, issued by, or guaranteed by the full faith and
        credit
        of, the federal government of the USA, (b) repurchase agreements with
        banking institutions or broker-dealers the short-term unsecured obligations
        of
        which is rated at least “A-1”
        (or the
        equivalent) by S&P and at least “P-1” (or the equivalent) by Moody’s
        registered under the Securities Exchange Act of 1934 which are fully secured
        by
        obligations of the kind specified in clause (a), (c) money market funds
        (i) rated not lower than the highest rating category from Moody’s and “AAA
        m” or “AAAm-g,” from S&P or (ii) which are otherwise acceptable to the
        Rating Agencies or (d) commercial paper issued by any corporation
        incorporated under the laws of the USA and rated at least “A-1”
        (or the
        equivalent) by S&P and at least “P-1” (or the equivalent) by
        Moody’s.

       

      “Person”
        means an
        individual, partnership, corporation, association, joint venture, Governmental
        Authority or other entity of any kind.

       

      “Pledged
        Interest” means,
        on
        any date of determination on which an LC Obligation is outstanding, an undivided
        percentage interest in all then outstanding Receivables and related Collections
        equal to the percentage computed pursuant to the following formula:

       

      

      
        	
                LCO

              	
                +

              	
                RP

              
	
                ER

              

      

      where:

       

      
        	
                LCO

              	
                =

              	
                the
                  LC Obligations on such date;

              
	
                ER

              	
                =

              	
                the
                  Eligible Receivables Balance at such time; and

              
	
                RP

              	
                =

              	
                the
                  Reserve Percentage at such time.

              

      

      

       

      provided,
        however,
        at all
        times after the Termination Date, that the Effective Receivable Interest
        shall
        equal 100.0%.

       

       

      “Potential
        Termination Event”
        means
        any Termination Event or any event or condition that with the lapse of time
        or
        giving of notice, or both, would constitute a Termination Event.

       

      “Prime
        Rate”
        means,
        with respect to each Purchaser Group, (A) for any period, the daily average
        during such period of the greater of (i) the floating commercial loan rate
        per
        annum of the applicable Purchaser Agent (which rate is a reference rate and
        does
        not necessarily represent the lowest or best rate actually charged to any
        customer by such Purchaser Agent) announced from time to time as its prime
        rate
        or equivalent for Dollar loans in the USA, changing as and when said rate
        changes and (ii) the Federal Funds Rate plus 0.75% plus (B) on or after the
        occurrence of a Termination Event, the amount set forth in the Fee
        Letter.

       

      “Purchase”
        is
        defined in Section 1.1(a).

       

      “Purchase
        Agreement”
        means
        the Receivables Purchase Agreement dated as of December 11, 1998, among the
        Seller and each Originator, as amended, modified or supplemented from time
        to
        time.

       

      “Purchase
        Amount”
        is
        defined in Section 1.1(c).

       

      “Purchase
        Date”
        is
        defined in Section 1.1(c).

       

      “Purchase
        Interest”
        means,
        for a Purchaser, the percentage ownership interest in the Receivables and
        Collections held by such Purchaser, calculated when and as described in
        Section 1.1(a).

       

      “Purchase
        Limit”
        means
        $275,000,000.

       

      “Purchased
        Percentage”
        means,
        for any Put, for each Related Bank Purchaser in a Purchaser Group, the
        percentage obtained by dividing its Commitment by the Commitments of all
        Related
        Bank Purchasers in such Purchaser Group.

       

      “Purchaser
        Agent”
        means
        each entity as an agent for Purchaser Group, as specified from time to time
        herein.

       

      “Purchaser
        Collections”
        is
        defined in Section 1.1(a).

       

      “Purchaser
        Group”
        means,
        for each Conduit Purchaser, such Conduit Purchaser, its Related Bank Purchasers
        (if any), and the Purchasers party to its Transfer Agreement.

       

      “Purchaser
        Reserve Percentage”
        means,
        for each Purchaser, the Reserve Percentage multiplied by a fraction, the
        numerator of which is such Purchaser’s outstanding Investment and the
        denominator of which is the Aggregate Investment.

       

      “Purchasers”
        means
        each Conduit Purchaser and the Related Bank Purchasers.

       

      “Put”
        is
        defined in Section 2.l(a).

       

      “Ratable
        Share”
        means,
        for each Purchaser Group, such Purchaser Group’s Commitment divided by the
        aggregate Commitment of all Purchaser Groups.

       

      “Rating
        Agency”
        means
        Moody’s, S&P and any other rating agency a Conduit Purchaser chooses to rate
        its commercial paper notes.

       

      “Ratings”
        means,
        for any Conduit Purchaser, the ratings by the Rating Agencies of such Conduit
        Purchaser of the indebtedness for borrowed money of such Conduit
        Purchaser.

       

      “Receivable”
        means
        each obligation of an Obligor to pay for merchandise sold or services rendered
        by any Originator and includes such Originator’s rights to payment of any
        interest or finance charges and in the merchandise (including returned goods)
        and contracts relating to such Receivable, all security interests, guaranties
        and property securing or supporting payment of such Receivable, all Records
        and
        all proceeds of the foregoing. During any Interim Liquidation and on and
        after
        the Termination Date, the term “Receivable”
        shall
        only include receivables existing on the date such Interim Liquidation commenced
        or Termination Date occurred, as applicable. Deemed Collections shall reduce
        the
        outstanding balance of Receivables hereunder, so that (x) any Receivable
        that
        has its outstanding balance deemed collected shall cease to be a Receivable
        hereunder after the Collection Agent receives payment of such Deemed Collections
        under Section 1.6(b)
        or (y)
        if such Deemed Collection is received before the Termination Date, an adjustment
        to the Sold Interest and Seller Interest permitted by Section 1.6(c) is
        made.

       

      “Receivable
        Interest”
        means a
        Purchase Interest or a Pledged Interest.

       

      “Receivable
        Purchase Facility”
        means
        any receivables purchase agreement, loan agreement or other similar contractual
        arrangement to which the Conduit Purchasers are a party relating to the
        transfer, purchase or financing of receivables or other assets.

       

      “Records”
        means,
        for any Receivable, all contracts, books, records and other documents or
        information (including computer programs, tapes, disks, software and related
        property and rights) relating to such Receivable or the related
        Obligor.

       

      “Reimbursement
        Obligations”
        means,
        at any time, the aggregate of all obligations of the Seller then outstanding
        under Section 1.2(c) to reimburse the LC Issuer for amounts paid by the LC
        Issuer in respect of any one or more drawings under Letter of
        Credit.

       

      “Reinvestment
        Purchase”
        is
        defined in Section 1.1(b).

       

      “Related
        Bank Purchasers” means
        the
        Persons listed as such (and their respective Commitments) for each Conduit
        Purchaser as listed on Schedule II hereto and each other Person that becomes
        a
        Related Bank Purchaser pursuant to a Transfer Supplement.

       

      “Reporting
        Date”
        means,
        (i) during any Monthly Reporting Period, the 20th day of each calendar month,
        (ii) during any Weekly Reporting Period, Tuesday of each calendar week and
        (iii)
        during any Daily Reporting Period, each calendar day.

       

      “Reporting
        Period”
        means, a
        Daily Reporting Period, Weekly Reporting Period and Monthly Reporting Period,
        as
        applicable.

       

      “Required
        Related Bank Purchasers”
        means
        Related Bank Purchasers having Related Bank Purchaser Commitments in excess
        of
        66-2/3% of the Commitment of all Related Bank Purchasers.

       

      “Reserve
        Percentage” means,
        at any time, the quotient obtained by dividing (a) the Aggregate Reserve
        by (b)
        the Eligible Receivables Balance.

       

      “Seller”
        is
        defined in the first paragraph hereof.

       

      “Seller
        Account”
        means
        the Seller’s account number 035-1-084215 at The Chase Manhattan Bank, New York,
        New York or such other account designated by the Seller to the Agent with
        at
        least ten (10) days prior notice.

       

      “Seller
        Collections”
        is
        defined in Section 1.1(a).

       

      “Seller
        Interest”
        is
        defined in Section 1.1(a).

       

      “Settlement
        Date”
        means
        the 20th day of each calendar month (or, if such day is not a Business Day,
        the
        next succeeding Business Day).

       

      “Sold
        Interest” is
        defined in Section 1.1(a).

       

      “Special
        Limit”
        means,
        with respect to ChemPoint.com (the internet-enabled marketing service business
        of Univar USA), an amount not to exceed 4% of the aggregate outstanding balance
        of all Eligible Receivables, provided,
        however,
        (i) ChemPoint.com (the
        internet-enabled marketing service business of Univar USA), is a direct or
        indirect Subsidiary of Univar N.V., and (ii) that any Purchaser Agent may
        remove or discontinue such Special Limit upon three Business Days prior written
        notice to the Seller, the Agent and such other Purchaser Agent in the sole
        discretion of the Purchaser Agent.

       

      “S&P”
        means
        Standard & Poor’s Ratings Group.

       

      “Standby
        Letter of Credit”
        means an
        irrevocable standby Letter of Credit for the account of an Originator and
        for
        the benefit of any holder of obligations of an Originator or its Affiliates
        incurred in the ordinary course of business.

       

      “Subordinated
        Notes”
        means
        each buyer note issued by the Seller to the applicable Originator under the
        Purchase Agreement.

       

      “Subsidiary”
        means
        any Person of which at least a majority of the voting stock (or equivalent
        equity interests) is owned or controlled by the Seller or any Originator
        or by
        one or more other Subsidiaries of the Seller or such Originator. The
        Subsidiaries of the Parent on the date hereof are listed on
        Exhibit E.

       

      “Tax
        Liability Amount”
        means at
        any date the amount carried in the Originator’s records representing the
        obligation to pay or reimburse all sales taxes, value added taxes or similar
        taxes payable with respect to Eligible Receivables and any interest, penalties
        or other charges with respect thereto.

       

      “Taxes”
        means
        all taxes, charges, fees, levies or other assessments (including income,
        gross
        receipts, profits, withholding, excise, property, sales, use, license,
        occupation and franchise taxes and including any related interest, penalties
        or
        other additions) imposed by any jurisdiction or taxing authority (whether
        foreign or domestic).

       

      “Termination
        Date”
        means
        the earliest of (a) the date of the occurrence of a Termination Event
        described in clause (e) of the definition of Termination Event, (b) the
        date designated by the Agent or the Instructing Group to the Seller at any
        time
        after the occurrence of any other Termination Event, (c) the Business Day
        designated by the Seller with no less than five (5) Business Days prior notice
        to the Agent and (d) March 2, 2009.

       

      “Termination
        Event”
        means
        the occurrence of any one or more of the following:

       

      (a)
        any
        representation, warranty, certification or statement made by the Seller or
        any
        Originator in, or pursuant to, any Transaction Document proves to have been
        incorrect in any material respect when made; or

       

      (b)
        the
        Collection Agent, any Originator or the Seller fails to make any payment
        or
        other transfer of funds hereunder when due (including any payments under
        Section 1.6(a)); or

       

      (c)
        the
        Seller fails to observe or perform any covenant or agreement contained in
        Sections 5.1(b), 5.1(e), 5.1(g), 5.1(i), 5.1(j) or 5.1(n) of this Agreement
        or any Originator fails to perform any covenant or agreement in
        Sections 6.1(d), 6.1(f), 6.1(i), 6.1(j), 6.1(k), 6.2(b) or 6.3 of each
        Purchase Agreement; or

       

      (d)
        the
        Seller or the Collection Agent (or any sub-collection agent) fails to observe
        or
        perform any other term, covenant or agreement under any Transaction Document,
        and such failure remains unremedied for thirty days; or

       

      (e)
        the
        Seller, any Originator or any Subsidiary suffers a Bankruptcy Event;
        or

       

      (f)
        the
        average of the Delinquency Ratios as of the end of each of the most recent
        three
        calendar months exceeds 5.0%, the average of the Default Ratios as of the
        end of
        each of the most recent three calendar months exceeds 5.0%, the Dilution
        Ratio
        at the end of any calendar month measured for the three month calendar period
        then ending exceeds 6.0% or the Loss-to-Liquidation Ratio at the end of any
        calendar month measured for the three month calendar period then ending exceeds
        1.0%; or

       

      (g)
        (i) the
        Seller, any Originator or any Affiliate, directly or indirectly, disaffirms
        or
        contests the validity or enforceability of any Transaction Document or
        (ii) any Transaction Document fails to be the enforceable obligation of the
        Seller or any Affiliate party thereto; or

       

      (h)
        the
        Seller or any Subsidiary (A) generally does not pay its debts as such debts
        become due or admits in writing its inability to pay its debts generally
        or
        (B) fails to pay any of its indebtedness (except in aggregate principal
        amount of less than $1,000,000 or indebtedness under the Chemtura Credit
        Agreement) or defaults in the performance of any provision of any agreement
        under which such indebtedness was created or is governed and such default
        permits such indebtedness to be declared due and payable or to be required
        to be
        prepaid before the scheduled maturity thereof; or

       

      (i) any
        event
        occurs or condition exists which constitutes an Event of Default (as defined
        in
        the Chemtura Credit Agreement) under the Chemtura Credit Agreement; provided,
        however,
        that
        such Event of Default under the Chemtura Credit Agreement shall not constitute
        a
        Termination Event hereunder until the earlier to occur of (x) the 91st
        day
        after
        the date on which such Event of Default arises under the Chemtura Credit
        Agreement so long as such Event of Default is then continuing and (y) the
        acceleration by the Lenders thereunder of the obligations under the Chemtura
        Credit Agreement ; or

       

      (j)
        the
        average of the Turnover Rates for each of the most recent three calendar
        months
        exceeds 90 days; or

       

      (k)
        a
        Collection Agent Replacement Event has occurred and is continuing with respect
        to the Initial Collection Agent; or

       

      (l)
        the
        Parent shall fail to own and control, directly or indirectly, 100.0% of the
        outstanding voting stock of the Seller and each Originator; or

       

      (m)
        the
        Parent shall fail to comply with any covenant set forth in Section 5.03 of
        the Chemtura Credit Agreement (as such Chemtura Credit Agreement is in effect
        as
        of July 1, 2005, without regard to any subsequent amendment, supplement,
        waiver or termination thereof or any defined terms contained therein, in
        each
        case unless consented to by the Agent at the direction of the Instructing
        Group); provided,
        however,
        that the
        Parent’s failure to comply with such Sections of the Chemtura Credit Agreement
        shall not constitute a Termination Event hereunder until the earliest to
        occur
        of (x) the 91st day after the date on which such failure to comply constitutes
        an Event of Default under the Chemtura Credit Agreement so long as such Event
        of
        Default is then continuing and (y) the acceleration by the Lenders thereunder
        of
        the obligations under the Chemtura Credit Agreement.

       

      Notwithstanding
        the foregoing, a failure of a representation or warranty or breach of any
        covenant described in clause (a), (c) or (d) above related to a Receivable
        shall
        not constitute a Termination Event if the Seller has been deemed to have
        collected such Receivable pursuant to Section 1.6(b) so that such
        Receivable is no longer considered to be outstanding
        or,
        before the Termination Date, has adjusted the Sold Interest and Seller Interest
        as provided in Section 1.6(c) so that such Receivable is no longer
        considered to be outstanding

       

      “Tranche”
        means a
        portion of the Investment of a Conduit Purchaser or of the Related Bank
        Purchasers allocated to a Tranche Period pursuant to Section 1.4. A Tranche
        is a (i) CP Tranche, (ii) Eurodollar Tranche or (iii) Prime Tranche depending
        whether Discount accrues during its Tranche Period based on a (i) CP Rate,
        (ii)
        Eurodollar Rate, or (iii) Prime Rate.

       

      “Tranche
        Period”
        means a
        period of days ending on a Business Day selected by each Purchase Agent pursuant
        to Section 1.4, which (i) for a CP Tranche shall not exceed 270 days, (ii)
        for a LIBOR Tranche shall not exceed 180 days, and (iii) for a Prime Tranche
        shall not be less than 2 days and shall not exceed 30 days.

       

      “Transaction
        Documents”
        means
        this Agreement, the Fee Letter, the Limited Guaranty, the Purchase Agreements,
        the Subordinated Notes, the LC Applications, and all other documents,
        instruments and agreements executed or furnished in connection herewith and
        therewith.

       

      “Transfer
        Agreement”
        means
        each transfer, liquidity or asset purchase agreement entered into among a
        Conduit Purchaser, its Purchaser Agent and its Related Bank Purchasers in
        connection with this Agreement.

       

      “Transfer
        Supplement” is
        defined in Section 9.8.

       

      “Turnover
        Rate”
        means,
        for any period for which it is calculated, the product, expressed in days,
        of
        (1) the outstanding balance of all Receivables at the beginning of such period
        divided by (2) the average daily Collections (other than Deemed Collections)
        during such period.

       

      “UCC”
        means,
        for any state, the Uniform Commercial Code as in effect in such
        state.

       

      “USA”
        means
        the United States of America (including all states and political subdivisions
        thereof).

       

      “Unused
        Aggregate Commitment”
        means,
        at any time, the difference between the Aggregate Commitment then in effect
        and
        the outstanding Credit Exposure.

       

      “Unused
        Commitment”
        means,
        for any Committed Purchaser at any time, the difference between its Commitment
        and its Investment then outstanding.

       

      “VFCC”
        is
        defined in the first paragraph hereof.

       

      “Weekly
        Reporting Period”
        means,
        any period during which the senior unsecured long-term debt of the Parent
        is
        rated less than BB+ by S&P or Ba1 by Moody’s (or either such rating is
        suspended or withdrawn) and which is not a Daily Reporting Period.

       

      The
        foregoing definitions shall be equally applicable to both the singular and
        plural forms of the defined terms. Unless otherwise inconsistent with the
        terms
        of this Agreement, all accounting terms used herein shall be interpreted,
        and
        all accounting determinations hereunder shall be made, in accordance with
        GAAP.
        Amounts to be calculated hereunder shall be continuously recalculated at
        the
        time any information relevant to such calculation
        change.

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