Document:

Future Spread Agreement

 Exhibit 10.2 
 Execution Copy 
 FUTURE SPREAD AGREEMENT FOR FHLMC MORTGAGE LOANS

 by and between 
 NATIONSTAR MORTGAGE LLC 
 (Seller) 

and 

NIC MSR III LLC 
 (Purchaser) 
 Dated and effective as of May 31, 2012 

 Table of Contents 

 

							
	ARTICLE I DEFINITIONS; GENERAL INTERPRETIVE PRINCIPLES	  	1	 
	 Section 1.01
	  	 Definitions
	  	 	1	  
	 Section 1.02
	  	 General Interpretive Principles
	  	 	11	  
		
	ARTICLE II ITEMS TO BE DELIVERED	  	 	12	  
	 Section 2.01
	  	 Items to be Delivered
	  	 	12	  
	 Section 2.02
	  	 Grant of Security Interest
	  	 	13	  
		
	ARTICLE III REPLACEMENT OF MORTGAGE LOANS	  	 	13	  
	 Section 3.01
	  	 Refinancing and Substitution of Mortgage Loans
	  	 	13	  
	 Section 3.02
	  	 Criteria for Mortgage Loans
	  	 	14	  
	 Section 3.03
	  	 Refinancing Incentives
	  	 	15	  
	 Section 3.04
	  	 Selection Procedures
	  	 	16	  
	 Section 3.05
	  	 Assignment of Future Excess Servicing Spread
	  	 	18	  
		
	ARTICLE IV PAYMENTS AND DISTRIBUTIONS	  	 	18	  
	 Section 4.01
	  	 Purchase Price
	  	 	18	  
	 Section 4.02
	  	 Payments by Purchaser
	  	 	18	  
	 Section 4.03
	  	 Accounts
	  	 	19	  
	 Section 4.04
	  	 Priority of Payments
	  	 	21	  
	 Section 4.05
	  	 Withdrawals from the Future Spread Reserve Account
	  	 	22	  
	 Section 4.06
	  	 Payment to Seller of Base Servicing Fee
	  	 	22	  
	 Section 4.07
	  	 Correction of Principal Balance Error
	  	 	22	  
	 Section 4.08
	  	 Intent and Characterization
	  	 	23	  
		
	ARTICLE V REPRESENTATIONS AND WARRANTIES OF SELLER	  	 	23	  
	 Section 5.01
	  	 Due Organization and Good Standing
	  	 	23	  
	 Section 5.02
	  	 Authority and Capacity
	  	 	23	  
	 Section 5.03
	  	 Owner Consents
	  	 	24	  
	 Section 5.04
	  	 Title to the Mortgage Servicing Rights
	  	 	24	  
	 Section 5.05
	  	 Effective Agreements
	  	 	24	  
	 Section 5.06
	  	 No Accrued Liabilities
	  	 	24	  
	 Section 5.07
	  	 Seller/Servicer Standing
	  	 	24	  
	 Section 5.08
	  	 MERS Membership
	  	 	25	  
	 Section 5.09
	  	 Owner Set-off Rights
	  	 	25	  
	 Section 5.10
	  	 Ability to Perform; Solvency
	  	 	25	  
	 Section 5.11
	  	 Obligations with Respect to Origination
	  	 	25	  
	 Section 5.12
	  	 No Actions.
	  	 	25	  

  
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	ARTICLE VI REPRESENTATIONS AND WARRANTIES AS TO MORTGAGE LOANS AND SERVICING	  	26	 
	 Section 6.01
	  	Servicing Agreements; Applicable Laws	  	 	26	  
	 Section 6.02
	  	Related Escrow Accounts	  	 	26	  
	 Section 6.03
	  	No Purchaser Responsibility	  	 	26	  
	 Section 6.04
	  	Location of Credit Files	  	 	26	  
	 Section 6.05
	  	Representations Concerning the Future Excess Servicing Spread	  	 	26	  
		
	ARTICLE VII REPRESENTATIONS AND WARRANTIES OF PURCHASER	  	 	27	  
	 Section 7.01
	  	Due Organization and Good Standing	  	 	27	  
	 Section 7.02
	  	Authority and Capacity	  	 	27	  
	 Section 7.03
	  	Effective Agreements	  	 	28	  
	 Section 7.04
	  	Sophisticated Investor	  	 	28	  
	 Section 7.05
	  	No Actions	  	 	28	  
		
	ARTICLE VIII SELLER COVENANTS	  	 	28	  
	 Section 8.01
	  	Servicing Obligations	  	 	28	  
	 Section 8.02
	  	Cooperation	  	 	29	  
	 Section 8.03
	  	Financing Statements	  	 	29	  
	 Section 8.04
	  	Supplemental Information	  	 	29	  
	 Section 8.05
	  	Access to Information	  	 	29	  
	 Section 8.06
	  	Home Affordable Modification Program	  	 	30	  
	 Section 8.07
	  	Distribution Date Data Tapes and Reports	  	 	30	  
	 Section 8.08
	  	Financial Statements and Officer’s Certificates	  	 	32	  
	 Section 8.09
	  	Monthly Management Calls	  	 	32	  
	 Section 8.10
	  	Timely Payment of Owner Obligations	  	 	32	  
	 Section 8.11
	  	Servicing Agreements	  	 	32	  
	 Section 8.12
	  	Transfer of Mortgage Servicing Rights	  	 	33	  
	 Section 8.13
	  	Consents to Transaction Documents	  	 	33	  
	 Section 8.14
	  	Accounts	  	 	33	  
	 Section 8.15
	  	Notification of Certain Events	  	 	33	  
	 Section 8.16
	  	Financing; Pledge of Future Excess Servicing Spread	  	 	34	  
	 Section 8.17
	  	Existence, etc	  	 	34	  
	 Section 8.18
	  	Consent to Sub-Servicing	  	 	35	  
	 Section 8.19
	  	Nonpetition Covenant	  	 	35	  
	 Section 8.20
	  	Schedule of Mortgage Loans	  	 	35	  
	 Section 8.21
	  	True Sale Opinion	  	 	35	  
	 Section 8.22
	  	Valuation	  	 	36	  
	 Section 8.23
	  	Material Documents	  	 	36	  
	 Section 8.24
	  	Purchase of Mortgage Servicing Rights	  	 	36	  

  
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	 ARTICLE IX CONDITIONS PRECEDENT TO OBLIGATIONS OF PURCHASER
	  	 	36	  
	 Section 9.01
	  	 Correctness of Representations and Warranties
	  	 	36	  
	 Section 9.02
	  	 Compliance with Conditions
	  	 	36	  
	 Section 9.03
	  	 Company Resolution
	  	 	36	  
	 Section 9.04
	  	 No Material Adverse Change
	  	 	37	  
	 Section 9.05
	  	 Consents
	  	 	37	  
	 Section 9.06
	  	 Delivery of Transaction Documents
	  	 	37	  
	 Section 9.07
	  	 Certificate of Seller
	  	 	37	  
	 Section 9.08
	  	 Opinions of Counsel
	  	 	37	  
	 Section 9.09
	  	 Good Standing Certificate of Seller
	  	 	38	  
		
	 ARTICLE X CONDITIONS PRECEDENT TO OBLIGATIONS OF SELLER
	  	 	38	  
	 Section 10.01
	  	 Correctness of Representations and Warranties
	  	 	38	  
	 Section 10.02
	  	 Compliance with Conditions
	  	 	38	  
	 Section 10.03
	  	 Company Resolution
	  	 	38	  
	 Section 10.04
	  	 Reserved
	  	 	38	  
	 Section 10.05
	  	 Certificate of Purchaser
	  	 	38	  
	 Section 10.06
	  	 Good Standing Certificate of Purchaser
	  	 	38	  
		
	 ARTICLE XI INDEMNIFICATION
	  	 	39	  
	 Section 11.01
	  	 Indemnification by Seller
	  	 	39	  
	 Section 11.02
	  	 Indemnification by Purchaser
	  	 	41	  
	 Section 11.03
	  	 Other Rights
	  	 	41	  
		
	 ARTICLE XII MISCELLANEOUS
	  	 	42	  
	 Section 12.01
	  	 Costs and Expenses
	  	 	42	  
	 Section 12.02
	  	 Confidentiality
	  	 	42	  
	 Section 12.03
	  	 Broker’s Fees
	  	 	43	  
	 Section 12.04
	  	 Relationship of Parties
	  	 	43	  
	 Section 12.05
	  	 Survival of Representations and Warranties
	  	 	43	  
	 Section 12.06
	  	 Notices
	  	 	43	  
	 Section 12.07
	  	 Waivers
	  	 	44	  
	 Section 12.08
	  	 Entire Agreement; Amendment
	  	 	44	  
	 Section 12.09
	  	 Binding Effect
	  	 	44	  
	 Section 12.10
	  	 Headings
	  	 	44	  
	 Section 12.11
	  	 Applicable Law
	  	 	44	  
	 Section 12.12
	  	 Incorporation of Exhibits
	  	 	45	  
	 Section 12.13
	  	 Counterparts
	  	 	45	  
	 Section 12.14
	  	 Severability of Provisions
	  	 	45	  
	 Section 12.15
	  	 Assignment
	  	 	45	  
	 Section 12.16
	  	 Termination
	  	 	46	  
	 Section 12.17
	  	 Third Party Beneficiaries
	  	 	46	  

  
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 EXHIBITS 
 Exhibit A – Form of Assignment Agreement for Mortgage Loans 
 Exhibit B – Example of
Calculations of Maximum Retained Refinancing Loan Amounts 
 Exhibit C – Schedule of Mortgage Loans 

Exhibit D – Seller’s Officer’s Certificate 
 Exhibit E – Purchaser’s Officer’s Certificate 
 Exhibit F – Location of Credit
Files 
 Exhibit G – Form of Summary Remittance Report 
 Exhibit H – Form of Delinquency Report 
 Exhibit I – Form of Disbursement Report

 Exhibit J – Seller Jurisdictions and Recording Offices 

  
 iv 

 FUTURE SPREAD AGREEMENT FOR FHLMC MORTGAGE LOANS 

This FUTURE SPREAD AGREEMENT FOR FHLMC MORTGAGE LOANS (as amended, restated, or otherwise modified and in effect from time to time, this
“Agreement”), dated as of May 31, 2012 (the “Agreement Date”), is by and between NIC MSR III LLC, a Delaware limited liability company (together with its successors and assigns, the
“Purchaser”), and Nationstar Mortgage LLC, a Delaware limited liability company (together with its successors and assigns, the “Seller”) (the Purchaser and the Seller will collectively be referred to as the
“Parties” and each, a “Party”). 
 W I T N E S S E T H: 

WHEREAS, Seller and Purchaser have entered into the Current Excess Servicing Spread Acquisition Agreement for FHLMC Mortgage
Loans, dated as of the date hereof (as amended, restated, or otherwise modified and in effect, the “Current Spread Agreement”), pursuant to which Purchaser will purchase and assume all right, title and interest in the excess
servicing spread with respect to a pool of residential mortgage loans to be serviced by Seller; 
 WHEREAS, Seller
desires to retain the right to refinance the residential mortgage loans in the pool, and Purchaser is willing to grant such right, as long as the excess servicing spread with respect to the newly-originated residential mortgage loans and replacement
residential mortgage loans is assigned to the Purchaser as described herein; and 
 WHEREAS, Purchaser and Seller desire
to set forth the terms and conditions pursuant to which residential mortgage loans in the pool may be refinanced. 
 NOW,
THEREFORE, in consideration of the mutual promises, covenants and conditions and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, and upon the terms and subject to the conditions set forth
herein, the Parties hereto agree as follows: 
 ARTICLE I 

DEFINITIONS; GENERAL INTERPRETIVE PRINCIPLES 
 Section 1.01 Definitions. 
 Whenever used herein, the following
words and phrases, unless the context otherwise requires, shall have the following meanings: 
 Accepted Servicing
Practices: With respect to any Mortgage Loan, those accepted and prudent mortgage servicing practices (including collection procedures) which are in accordance with the servicing practices and procedures as set forth in the applicable Servicing
Agreements, and in a manner at least equal in quality to the servicing that Seller provides to mortgage loans which it owns in its own portfolio. 

  
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 Agency: The entity formerly known as the Federal Home Loan Mortgage Corporation, or
any successor thereto, and, as applicable, the Federal National Mortgage Association, or any successor thereto, and the Government National Mortgage Association, or any successor thereto. 

Agreement: As defined in the preamble hereof. 
 Agreement Date: As defined in the preamble hereof. 
 Ancillary
Income: All incidental servicing fees (such as late fees, assignment transfer fees, returned check fees, special services fees, amortization schedule fees, HAMP, modification and incentive income, etc.) that are supplemental to the servicing
spread payable to the servicer pursuant to the Servicing Agreements. 
 Applicable Law: With reference to any Person, all
laws (including common law), statutes, regulations, ordinances, treaties, judgments, decrees, injunctions, writs and orders of any court, governmental agency or authority and rules, regulations, orders, directives, licenses and permits of any
Governmental Authority applicable to such Person or its property or in respect of its operations. 
 Assignment
Agreement: An assignment agreement substantially in the form of Exhibit A to this Agreement or in such other form as mutually agreed upon by the Parties. 
 Assignment Date: With respect to a Refinanced Mortgage Loan and its related Mortgage Loan, the Distribution Date in the third calendar month following the Refinanced Mortgage Loan’s
Refinancing Date. 
 Available Portfolio: As defined in Section 3.04(a) hereof. 

Bank: Wells Fargo Bank, National Association, or another financial institution mutually agreed upon by the Parties or any
successor thereto, each in its capacity as “Bank” under the Future Spread Custodial Account Control Agreement or the Future Spread Reserve Account Control Agreement, as applicable, or any third party custodian or trustee in similar
capacity under any replacement account control agreements. 
 Base Servicing Fee: With respect to a Collection Period, an
amount equal to the product of (A) the aggregate outstanding principal balance of the Mortgage Loans as of the related Measurement Date, (B) the Base Servicing Fee Rate and (C) (i) in the case of an initial Collection Period with
respect to any Mortgage Loan, a fraction, the numerator of which is the number of days in the period from and including the related Assignment Date to and including the last day of such initial Collection Period, and the denominator of which is 360,
and (ii) in the case of all other Collection Periods, 1/12; provided that the Base Servicing Fee with respect to any Mortgage Loan whose Servicing Agreement is terminated during a Collection Period shall be pro-rated to the actual number
of days within such Collection Period in which such Mortgage Loan was serviced by Seller. 
 Base Servicing Fee Rate:
0.06% per annum. 

  
 2 

 Business Day: Any day other than (a) a Saturday or Sunday, (b) a day on
which banking institutions in the States of California, Texas or New York are authorized or obligated by law or by executive order to be closed or (c) such other days as agreed upon by the Parties. 

Carryover Retained Amount: As defined in Section 3.03 hereof. 

Closing Date: The Business Day in which the purchase by Seller of the Mortgage Servicing Rights under the Mortgage Servicing
Rights Purchase and Sale Agreement has been consummated and all conditions precedent to the execution and delivery of this Agreement have been satisfied or waived. 
 Code: The Internal Revenue Code of 1986, as amended from time to time. 

Collateral: As defined in Section 2.02 hereof. 

Collection Period: With respect to any Distribution Date, the calendar month preceding the month in which such Distribution Date
occurs. 
 Consolidated Tangible Net Worth: (i) The net worth of Seller and its consolidated subsidiaries, on a
combined basis, determined in accordance with GAAP, minus (ii) all intangibles determined in accordance with GAAP (including goodwill, capitalized financing costs and capitalized administration costs but excluding originated and
purchased mortgage servicing rights or retained residual securities) and any and all advances to, investments in and receivables held from affiliates; provided, however, that the non-cash effect (gain or loss) of any mark-to-market
adjustments made directly to stockholders’ equity for fluctuation of the value of financial instruments as mandated under the Statement of Financial Accounting Standards No. 133 (or any successor statement) shall be excluded from the
calculation of Consolidated Tangible Net Worth. 
 Control: The meaning specified in Section 8-106 of the UCC.

 Credit File: Those documents, which may be originals, copies or electronically imaged, pertaining to each Mortgage
Loan, held by or on behalf of Seller in connection with the servicing of the Mortgage Loan, which may include Mortgage Loan Documents and the credit documentation relating to the origination of such Mortgage Loan, and any documents gathered during
the Servicing of a Mortgage Loan. 
 Current Mortgage Loan: A residential mortgage loan that is a “Mortgage
Loan” under the Current Spread Agreement. 
 Current Spread Agreement: As defined in the recitals to this Agreement.

 Custodian: A custodian of Credit Files pertaining to a Mortgage Loan or any part thereof as identified by Seller to
Purchaser in writing on or prior to the related Assignment Date as the same may be amended and supplemented from time to time by Seller by providing a written notice of any such update to Purchaser. 

  
 3 

 Distribution Date: The 10th day of each calendar month, or if such day is not a
Business Day, the prior Business Day, or such other day as mutually agreed upon by Seller and Purchaser. 
 Electronic Data
File: A computer tape or other electronic medium generated by or on behalf of Seller and delivered or transmitted to or on behalf of Purchaser which provides information relating to the Mortgage Loans. 

Eligible Servicing Agreement: A Servicing Agreement in respect of which the following eligibility requirements have been
satisfied: 
 (a) such Servicing Agreement is in full force and effect, and is in all respects genuine as appearing on its face
or as represented in the books and records of Seller, and no event of default, early amortization event, termination event, or other event giving any party thereto (including with notice or lapse of time or both) the right to terminate Seller as
servicer thereunder for cause has occurred and is continuing; and 
 (b) Seller has not resigned or been terminated as servicer
under such Servicing Agreement and has no actual knowledge of any pending or threatened action to terminate Seller, as servicer (whether for cause or without cause). 
 Entitlement Holder: The meaning specified in Section 8-102(a)(7) of the UCC. 
 Excess Refinancing Percentage: As defined in Section 3.03 hereof. 
 Expense Amount: As defined in Section 11.01(b) hereof. 

Expense Amount Accountant’s Letter: As defined in Section 11.01(b) hereof. 

Expense Amount Tax Opinion: As defined in Section 11.01(b) hereof. 

Expense Escrow Account: As defined in Section 11.01(b) hereof. 

FHLMC Acknowledgment Agreement: The acknowledgment agreement by and among the entity formerly known as the Federal Home Loan
Mortgage Corporation, or any successor thereto, Seller and Purchaser, in form and substance reasonably acceptable to Purchaser, dated on or before the Closing Date, pursuant to which the entity formerly known as the Federal Home Loan Mortgage
Corporation, or any successor thereto, consents to the sale of the excess servicing spread and other arrangements specified therein. 
 Future Excess Servicing Spread: The rights of Seller, severable from each (and all) of the other rights under the applicable Servicing Agreements, to a percentage of the Total Servicing Spread,
which percentage is equal to the Future Excess Servicing Spread Percentage. 
 Future Excess Servicing Spread Assignment
Obligation: As defined in Section 3.01 hereof. 
 Future Excess Servicing Spread Percentage: A percentage
equal to the Current Excess Servicing Spread Percentage in the Current Spread Agreement. 

  
 4 

 Future Excess Servicing Spread Rights: As defined in Section 3.01 hereof.

 Future Spread Custodial Account Agreement: The applicable deposit account agreement and other related account
documentation governing the Third Party Controlled Future Spread Custodial Account. 
 Future Spread Custodial Account
Control Agreement: The account control agreement among Seller, Purchaser and Wells Fargo Bank, National Association, or any successor thereto, or any other institution agreed upon by the Parties, as Bank, dated as of the Closing Date, entered
into with respect to the Third Party Controlled Future Spread Custodial Account, as amended, restated, supplemented or otherwise modified from time to time. 
 Future Spread Reserve Account: The account specified in the Future Spread Reserve Account Control Agreement and maintained by Wells Fargo Bank, National Association, or any successor thereto, or
another third party custodian or trustee selected by Purchaser. 
 Future Spread Reserve Account Agreement: The
applicable deposit account agreement and other related account documentation governing the Future Spread Reserve Account. 

Future Spread Reserve Account Control Agreement: The account control agreement among Seller, Purchaser and Wells Fargo Bank,
National Association, or any successor thereto, or any other institution agreed upon by the Parties, as Bank, dated as of the Closing Date, entered into with respect to the Future Spread Reserve Account, as amended, restated, supplemented or
otherwise modified from time to time. 
 Future Spread Reserve Account Deposit Event: As defined in
Section 4.03(c) hereof. 
 Future Spread Reserve Account Required Amount: As defined in
Section 4.03(c) hereof. 
 GAAP: Generally accepted accounting principles in the United States of America as
in effect from time to time set forth in the opinions and pronouncements of the Accounting Principles Board and the American Institute of Certified Public Accountants and the statements and pronouncements of the Financial Accounting Standards Board,
or in such other statements by such other entity as may be in general use by significant segments of the accounting profession, that are applicable to the circumstances as of the date of determination. 

Governmental Authority: With respect to any Person, any nation or government, any state or other political subdivision, agency or
instrumentality thereof, any entity exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government and any court or arbitrator having jurisdiction over such Person, any of its subsidiaries or any
of its properties. 
 Grant: To grant, bargain, sell, warrant, alienate, remise, demise, release, convey, assign,
transfer, mortgage, pledge, create and grant a security interest in and right of setoff against, deposit, set over or confirm. 

HAMP: As defined in Section 8.06 hereof. 

  
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 HAMP Loans: As defined in Section 8.06 hereof. 

Holder Register: As defined in Section 12.15(b) hereof. 

Indemnity Loan: As defined in Section 11.01(b) hereof. 

Indemnity Loan Agreement: As defined in Section 11.01(b) hereof. 

IRS: The United States Internal Revenue Service. 
 Lien: Any mortgage, deed of trust, pledge, hypothecation, collateral assignment, charge, deposit, arrangement, encumbrance, lien (statutory or other), security interest or preference, priority or
other security agreement or preferential arrangement of any kind or nature whatsoever intended to assure payment of any indebtedness or the performance of any other obligation, including any conditional sale or other title retention agreement.

 Lockbox Account: An account maintained by Wells Fargo Bank, National Association or another third party custodian or
trustee selected by Purchaser for the purpose of receiving Servicing Spread Collections. 
 Loss or Losses: Any
and all direct, actual and out-of-pocket losses (including any loss in the value in the Future Excess Servicing Spread), damages, deficiencies, claims, costs or expenses, including reasonable attorneys’ fees and disbursements, excluding
(i) any amounts attributable to or arising from overhead allocations, general or administrative costs and expenses, or any cost for the time of any Party’s employees, (ii) consequential losses or damages consisting of speculative lost
profits, lost investment or business opportunity, damage to reputation or operating losses, or (iii) punitive or treble damages; provided, however, that the exclusions set forth in clauses (ii) or (iii) above do not
apply if and to the extent any such amounts are actually incurred in payment to a third party or government entity. 

Maximum Retained Refinancing Loan Amount: As defined in Section 3.03 hereof. 

Measurement Date: With respect to any Collection Period, the first day of such Collection Period. 

MERS: Mortgage Electronic Registration Systems, Inc., or any successor thereto. 

MI: Insurance provided by private mortgage insurance companies to make payments on certain Mortgage Loans in the event that
the related Mortgagor defaults in its obligation in respect of the Mortgage. 
 Mortgage: Each of those mortgages,
deeds of trust, security deeds or deeds to secure debt creating a first lien on or an interest in real property securing a Mortgage Note and related to a Mortgage Loan. 
 Mortgage Loan: A residential mortgage loan that satisfies the conditions set forth in Section 3.02 and whose Future Excess Servicing Spread is assigned to Purchaser hereunder in
satisfaction of Seller’s Future Excess Servicing Spread Assignment Obligation. 

  
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 Mortgage Loan Documents: With respect to each Mortgage Loan, the original Mortgage
Loan documents held by a Custodian, including the Mortgage Note, and if applicable, cooperative mortgage loan related documents and a power of attorney, a New York Consolidation, Extension and Modification Agreement, or other modification document,
or as otherwise set forth under the Servicing Agreements and any other documents required to properly service, through foreclosure, any Mortgaged Property. 
 Mortgage Loan Identification Date: With respect to a Refinanced Mortgage Loan and its related replacement Mortgage Loan, the 25th day of the second calendar month following the Refinanced Mortgage
Loan’s Refinancing Date. 
 Mortgage Note: With respect to any Mortgage Loan, the note or other evidence of
indebtedness of the Mortgagor, thereunder, including, if applicable, an allonge and lost note affidavit. 
 Mortgage
Servicing Rights: The rights and responsibilities of Seller with respect to servicing the Mortgage Loans under the Servicing Agreements, including any and all of the following if and to the extent provided therein: (a) all rights to service
a Mortgage Loan; (b) all rights to receive servicing fees, additional servicing compensation (including any late fees, change fees, assumption fees, penalties (other than prepayment penalties) or similar payments with respect to such Mortgage
Loan, and income on escrow accounts or other receipts on or with respect to the Mortgage Loan), reimbursements or indemnification for servicing the Mortgage Loan, and any payments received in respect of the foregoing and proceeds thereof;
(c) the right to collect, hold and disburse escrow payments or other payments with respect to the Mortgage Loan and any amounts actually collected with respect thereto and to receive interest income on such amounts to the extent permitted by
Applicable Law; (d) all accounts and other rights to payment related to any of the property described in this paragraph; (e) possession and use of any and all Credit Files pertaining to the Mortgage Loan or pertaining to the past, present
or prospective servicing of the Mortgage Loan; (f) to the extent applicable, all rights and benefits relating to the direct solicitation of the related Mortgagors for refinance or modification of the Mortgage Loans and attendant right, title
and interest in and to the list of such Mortgagors and data relating to their respective Mortgage Loans; and (g) all rights, powers and privileges incident to any of the foregoing. 

Mortgage Servicing Rights Purchase and Sale Agreement: The Mortgage Servicing Rights Purchase and Sale Agreement, dated as of the
date hereof, by and between Nationstar Mortgage LLC, as purchaser, and Bank of America, National Association, a national banking association, as seller, as the same may be amended, supplemented or otherwise modified from time to time. 

Mortgaged Property: The Mortgagor’s real property, securing repayment of a related Mortgage Note, consisting of an interest
in a single parcel of real property, improved by a residential dwelling. 
 Mortgagor: An obligor under a residential
mortgage loan. 
 New Mortgage Loan: As defined in Section 3.02(a)(i)(1) hereof. 

  
 7 

 Nonqualifying Income: Any amount that is treated as gross income for purposes of
Section 856 of the Code and which is not Qualifying Income. 
 Objection Notice: As defined in
Section 4.03(c) hereof. 
 Opinion of Counsel: One or more written opinions, in form and substance reasonably
satisfactory to the recipient, of an attorney at law admitted to practice in any state of the United States or the District of Columbia, which attorney may be counsel for Seller or Purchaser, as the case may be. 

Owner: With respect to a Mortgage Loan, the owner thereof. 

Owner Consent: All agreements, including the FHLMC Acknowledgment Agreement, pursuant to which an Owner approves or consents to
the sale of the Future Excess Servicing Spread from Seller to Purchaser. 
 Party or Parties: As defined in the
preamble hereof. 
 Permitted Liens: Liens in favor of an Agency required pursuant to the applicable Servicing
Agreements. 
 Person: Any individual, partnership, corporation, limited liability company, limited liability
partnership, business entity, joint stock company, trust, business trust, unincorporated organization, association, enterprise, joint venture, government, any department or agency of any government or any other entity of whatever nature. 

Pledge Agreement: A collateral pledge agreement, to be entered into on or before the Closing Date, between Seller and the entity
formally known as the Federal Home Loan Mortgage Corporation, pursuant to which Seller pledges collateral to such Agency to secure its obligations to the Agency under the Servicing Agreement, the FHLMC Acknowledgment Agreement and other agreements,
if required by such Agency. 
 Priority of Payments: As defined in Section 4.04 hereof. 

Protected REIT: Any entity that (i) has elected to be taxed as a real estate investment trust pursuant to Section 856 et
seq. of the Code, (ii) owns a direct or indirect equity interest in Purchaser, and (iii) is treated for purposes of Section 856 of the Code as owning all or a portion of the assets of the Purchaser or as receiving all or a portion of
the Purchaser’s income. 
 Purchase Price: As defined in Section 4.01 hereof. 

Purchaser: As defined in the preamble hereof. 
 Purchaser Indemnitees: As defined in Section 11.01 hereof. 

Qualifying Income: Gross income that is described in Section 856(c)(2) or 856(c)(3) of the Code. 

  
 8 

 Quarterly Collection Period: As defined in Section 3.03 hereof.

 Refinanced Mortgage Loan: A Current Mortgage Loan or a Mortgage Loan that has been refinanced in whole or in part by
Seller or an affiliate thereof. 
 Refinancing Date: The date on which a Current Mortgage Loan or Mortgage Loan is
refinanced by Seller or an affiliate thereof. 
 Refinancing Split Percentage: As defined in Section 3.03
hereof. 
 REIT Qualification Ruling: As defined in Section 11.01(b) hereof. 

REIT Requirements: The requirements imposed on REITs pursuant to Sections 856 through and including 860 of the Code. 

Related Collection Period: With respect to an Assignment Date, the Collection Period in the third calendar month prior to such
Assignment Date, and with respect to a Mortgage Loan Identification Date, the second calendar month prior to such Mortgage Loan Identification Date. 
 Related Escrow Accounts: Mortgage Loan escrow/impound accounts maintained by Seller relating to the Mortgage Servicing Rights, including accounts for buydown funds, real estate taxes and MI, flood
and hazard insurance premiums. 
 Release Document: As defined in Section 11.01(b) hereof. 

Remaining Expected Total Servicing Spread: As defined in Section 4.03(c) hereof. 

Replacement Portfolio: As defined in Section 3.04(a) hereof. 

Replacement Shortfall: As defined in Section 3.03 hereof. 

Requirement of Law: As to any Person, the certificate of incorporation and by-laws or other organizational or governing documents
of such Person, and any law, treaty, rule or regulation or determination of an arbitrator or a court or other Governmental Authority, in each case applicable to or binding upon such Person or any of its property or to which such Person or any of its
property is subject. 
 Retained Portfolio: As defined in Section 3.04(a) hereof. 

Retained Servicing Spread: The rights of Seller, severable from each (and all) of the other rights under the applicable Servicing
Agreements, to a percentage of the Total Servicing Spread, which percentage is equal to 100% minus the Future Excess Servicing Spread Percentage. 
 Sales Proceeds: The proceeds received upon a sale (approved by the Parties) of the Total Servicing Spread, in whole or in part, including through a sale of Mortgage Servicing Rights in accordance
with Section 8.12. 

  
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 Schedule of Mortgage Loans: The list of Mortgage Loans whose Future Excess Servicing
Spread has been assigned to Purchaser pursuant to this Agreement and maintained as Exhibit C hereto. 
 Selection
Period: As defined in Section 3.04(b) hereof. 
 Seller: As defined in the preamble hereof. 

Seller Indemnitees: As defined in Section 11.02 hereof. 

Servicing: The responsibilities, with respect to servicing the Mortgage Loans, under the Servicing Agreements. 

Servicing Agreements: The servicing agreements, as amended from time to time, and any waivers, consent letters, acknowledgments
and other agreements under which Seller is the servicer of the Mortgage Loans relating to the Mortgage Servicing Rights and governing the servicing of the Mortgage Loans, or with respect to Mortgage Loans owned by the Seller, the credit and
collection standards, policies, procedures and practices of Seller relating to residential mortgage loans owned and serviced by Seller. 
 Servicing Spread Collections: For each Collection Period, the funds collected on the Mortgage Loans and allocated as the servicing compensation payable to Seller as servicer of the Mortgage Loans
with respect to such Collection Period pursuant to the applicable Servicing Agreements, other than Ancillary Income and, for the avoidance of doubt, other than reimbursements received for advances and other out-of-pocket expenditures from an Owner
by Seller in accordance with the Servicing Agreements. 
 Solvent: With respect to any Person as of any date of
determination, (a) the value of the assets of such Person is greater than the total amount of liabilities (including contingent and unliquidated liabilities) of such Person as determined in accordance with GAAP, (b) such Person is able to
pay all liabilities of such Person as such liabilities mature and (c) such Person does not have unreasonably small capital. In computing the amount of contingent or unliquidated liabilities at any time, such liabilities will be computed at the
amount that, in light of all the facts and circumstances existing at such time, represents the amount that can reasonably be expected to become an actual or matured liability. 
 Third Party Assignee: As defined in Section 12.15 hereof. 

Third Party Assignment: As defined in Section 12.15 hereof. 

Third Party Future Spread Agreement: As defined in Section 12.15 hereof. 

Third Party Claim: As defined in Section 11.01 and Section 11.02, as applicable. 

Third Party Controlled Future Spread Custodial Account: The account specified in the Future Spread Custodial Account Control
Agreement and maintained by Wells Fargo Bank, National Association, or any successor thereto, or another third party custodian or trustee selected by Purchaser, into which all Servicing Spread Collections, all Sales Proceeds and all Servicing
Agreement termination payments in respect of the Mortgage Loans shall be deposited. 

  
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 Total Servicing Spread: For each Collection Period on and after the Closing Date, the
sum of the following: (a) the Servicing Spread Collections received during such Collection Period and remaining after payment of the Base Servicing Fee; (b) all other amounts payable by an Owner to Seller with respect to the Mortgage
Servicing Rights for Mortgage Loans, including any termination fees paid by an Owner to Seller for terminating Seller as the servicer of any of the Mortgage Loans, but for the avoidance of doubt, excluding all Ancillary Income and reimbursements
received for advances and other out-of-pocket expenditures from an Owner by Seller in accordance with the Servicing Agreements; and (c) all Sales Proceeds received during such Collection Period. 

Transaction Documents: The Future Spread Custodial Account Agreement, the Future Spread Custodial Account Control Agreement, the
Future Spread Reserve Account Agreement, the Future Spread Reserve Account Control Agreement, the Current Spread Agreement and this Agreement. 
 UCC: The Uniform Commercial Code as in effect from time to time in the applicable jurisdiction. 
 Section 1.02 General Interpretive Principles. 
 For
purposes of this Agreement, except as otherwise expressly provided or unless the context otherwise requires: 
 (a) The terms
defined in this Agreement have the meanings assigned to them in this Agreement and include the plural as well as the singular, and the use of any gender herein shall be deemed to include the other gender; 

(b) Accounting terms not otherwise defined herein have the meanings assigned to them in accordance with generally accepted accounting
principles; 
 (c) References herein to “Articles,” “Sections,” “Subsections,”
“Paragraphs,” and other subdivisions without reference to a document are to designated Articles, Sections, Subsections, Paragraphs and other subdivisions of this Agreement; 

(d) A reference to a Subsection without further reference to a Section is a reference to such Subsection as contained in the same
Section in which the reference appears, and this rule shall also apply to Paragraphs and other subdivisions; 
 (e) The words
“herein,” “hereof,” “hereunder” and other words of similar import refer to this Agreement as a whole and not to any particular provision; and 
 (f) The term “include” or “including” shall mean without limitation by reason of enumeration. 

  
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 ARTICLE II 
 ITEMS TO BE DELIVERED 
 Section 2.01 Items to be
Delivered. 
 (a) On the Agreement Date, subject to the satisfaction of the terms and conditions herein, each of Seller
and Purchaser shall deliver or cause to be delivered duly executed copies of the following documents to which they are a party or for which they are otherwise responsible as set forth below: 

(i) This Agreement; 
 (ii) The Current Spread Agreement and all agreements, certificates, opinions and instruments required to be delivered under the Current Spread Agreement on the Agreement Date, if any; 

(b) On the Closing Date, subject to the satisfaction of the terms and conditions herein, each of Seller and Purchaser shall deliver or
cause to be delivered duly executed copies of the following documents to which they are a party or for which they are otherwise responsible as set forth below: 
 (i) The executed Future Spread Custodial Account Agreement; 
 (ii)
The executed Future Spread Custodial Account Control Agreement; 
 (iii) The executed Future Spread Reserve
Account Agreement; 
 (iv) The executed Future Spread Reserve Account Control Agreement; 

(v) An Opinion of Counsel of Seller, reasonably acceptable to Purchaser regarding due authorization, authority, and
enforceability of the applicable Transaction Documents to which Seller is a party, and regarding no conflicts with other material Seller agreements; 
 (vi) An Opinion of Counsel of Seller, reasonably acceptable to Purchaser, regarding the characterization of the transfer of the Future Excess Servicing Spread from Seller to Purchaser as a true sale for
bankruptcy purposes; 
 (vii) An Opinion of Counsel of Seller, reasonably acceptable to Purchaser, regarding the
perfection of the security interests granted hereunder; 
 (viii) The duly executed company certificate of
Seller required by Section 9.07; 

  
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 (ix) A certificate of good standing of Seller dated as of a date within
five (5) Business Days prior to the Closing Date to be delivered by Seller; 
 (x) A secretary’s
certificate of Seller attaching its organizational documents, board resolutions and incumbency certificates and other evidences of company authority as Purchaser or its counsel may reasonably request, each as required by Section 9.03;

 (xi) The duly executed company certificate of Purchaser required by Section 10.05; 

(xii) A secretary’s certificate of Purchaser attaching its organizational documents, board resolutions and
incumbency certificates and other evidences of company authority as Seller or its counsel may reasonably request, each as required by Section 10.03; 

(xiii) A certificate of good standing of Purchaser dated as of a date within five (5) Business Days prior to the
Closing Date to be delivered by Purchaser; 
 (xiv) A draft form of a UCC-1 financing statement relating to the
sale of the Future Excess Servicing Spread, in form and substance reasonably acceptable to Purchaser; and 

(xv) All agreements, certificates, opinions and instruments required to be delivered under the Current Spread Agreement
on the Closing Date. 
 (c) Seller shall provide Purchaser with executed copies of each Owner Consent, and any amendments
thereto, promptly after receipt thereof. 
 Section 2.02 Grant of Security Interest. 

In order to secure Seller’s obligations to deliver the Future Excess Servicing Spread and its obligations hereunder, Seller hereby
Grants to Purchaser a valid and continuing first priority and perfected Lien on and security interest in all of Seller’s right, title and interest in, to and under, the Third Party Controlled Future Spread Custodial Account and the Future
Spread Reserve Account, together with all amounts deposited therein from time to time and all cash and non-cash proceeds thereof, in each case, whether now owned or existing, or hereafter acquired and arising (the “Collateral”).

 ARTICLE III 
 REPLACEMENT OF MORTGAGE LOANS 
 Section 3.01 Refinancing
and Substitution of Mortgage Loans. 
 Subject to, and upon the terms and conditions of this Agreement, and, more
particularly, the conditions of this ARTICLE III, if Seller or any of its affiliates refinances any Current 

  
 13 

 
Mortgage Loan or Mortgage Loan, it shall designate a residential mortgage loan as a replacement Mortgage Loan pursuant to this ARTICLE III and assign the Future Excess Servicing Spread
with respect to such replacement Mortgage Loan on the applicable Assignment Date to Purchaser as provided in this Agreement (such obligations of Seller, the “Future Excess Servicing Spread Assignment Obligation”, and the rights of
Purchaser to such Future Excess Servicing Spread, the “Future Excess Servicing Spread Rights”). 

Section 3.02 Criteria for Mortgage Loans. 
 (a) As of the applicable Assignment Date, unless otherwise agreed upon by Seller and Purchaser, either: 
 (i) The Mortgage Loan shall satisfy the following criteria: 
 (1)
The proceeds of such Mortgage Loan (the “New Mortgage Loan”) were used to repay the Refinanced Mortgage Loan in whole or in part; 
 (2) All consents, if any, required by the applicable Owner to assign the related Future Excess Servicing Spread with respect to the New Mortgage Loan shall have been obtained; 

(3) The servicing fee rate for the New Mortgage Loan is not less than 0.25% per annum; and 

(4) The New Mortgage Loan is secured by the same property as the Refinanced Mortgage Loan; or 

(ii) if Seller is unable to satisfy the conditions in Section 3.02(a)(i) after using commercially reasonable
efforts, Seller shall use its best efforts to substitute the New Mortgage Loan with a Mortgage Loan satisfying the following criteria: 
 (1) The servicing fee rate (which results in the Servicing Spread Collections) for the Mortgage Loan is equal to or greater than the servicing fee rate of the New Mortgage Loan; provided,
however, that if the servicing fee rate of the New Mortgage Loan is less than 0.25% per annum, the servicing fee rate on the Mortgage Loan is not less than 0.25% per annum; 

(2) The interest accrual rate per annum on the Mortgage Loan is within 12.5 basis points per annum of the interest
accrual rate on the New Mortgage Loan; 
 (3) The final maturity date of the Mortgage Loan is within six
(6) months of the final maturity date of the New Mortgage Loan; 
 (4) The principal balance of the
Mortgage Loan is no less than the principal balance of the Refinanced Mortgage Loan; 

  
 14 

 (5) The remaining credit characteristics of the Mortgage Loan (other than
as specified in clauses (1), (2), (3) and (4) above) are substantially the same as the credit characteristics of the New Mortgage Loan; 

(6) The Mortgage Loan is current as of the applicable Assignment Date; and 

(7) The Mortgage Loan is not subject to any foreclosure or similar proceeding as of the applicable Assignment Date; is
not in process of any modification, workout or other loss mitigation process; and is not involved in litigation. 
 (b) If a
New Mortgage Loan would otherwise meet the criteria set forth in Section 3.02(a)(i) and is still owned by Seller as of the Mortgage Loan Identification Date, in lieu of a substitution pursuant to Section 3.02(a)(ii) above,
the Seller may include such New Mortgage Loan as a Mortgage Loan in the Available Portfolio; provided (i) the servicing fee rate for such Mortgage Loan shall be deemed to be 0.30% per annum and (ii) if at any time such Mortgage Loan
fails to otherwise meet the criteria set forth in Section 3.02(a)(i) (e.g., the Mortgage Loan is sold to an Agency and Seller is unable to obtain a related Owner Consent), Seller shall be required to substitute a loan for such New
Mortgage Loan pursuant to Section 3.02(a)(ii) above. 
 (c) Notwithstanding the provisions of
Section 3.02(a)(ii)(4), Seller shall not be in breach of Section 3.01 on any Assignment Date if, after using best efforts to select residential mortgage loans to substitute New Mortgage Loans pursuant to
Section 3.02(a)(ii), the aggregate outstanding principal balance of the residential mortgage loans in the Available Portfolio as of such Assignment Date is equal to or greater than 90% of the aggregate outstanding principal balance of
the New Mortgage Loans during the Related Collection Period as measured on their respective Refinancing Date. 

Section 3.03 Refinancing Incentives. 
 For any Assignment Date beginning with the Assignment Date in the sixth calendar month after the Closing Date and subject to Section 3.04, Seller’s Future Excess Servicing Spread
Assignment Obligation shall be reduced by the Maximum Retained Refinancing Loan Amount for such Assignment Date. For purposes of this Section 3.03, the following definitions shall apply: 

Replacement Shortfall: With respect to any Assignment Date and the Related Collection Period, the aggregate outstanding principal
balance of the New Mortgage Loans that were originated by Seller or an affiliate thereof during the Related Collection Period as measured on their respective Refinancing Date, minus the aggregate outstanding principal balance of the
residential mortgage loans in the Available Portfolio as of such Assignment Date. 
 Excess Refinancing Percentage: With
respect to any Assignment Date, a percentage equal to the excess, if any, of (a) a fraction, expressed as a percentage, the numerator of which is equal to the aggregate principal balance of New

  
 15 

 
Mortgage Loans that were originated by Seller or an affiliate thereof over the Related Collection Period and the two Collection Periods immediately prior to such Related Collection Period (the
“Quarterly Collection Period”) as measured on their respective Refinancing Date, minus the aggregate Replacement Shortfall over such Quarterly Collection Period, and the denominator of which is the aggregate principal
balance of all Mortgage Loans that voluntarily prepaid in full over the Quarterly Collection Period (measured as of the date of such prepayment), over (b) 35%. 
 Refinancing Split Percentage: With respect to any Assignment Date, the Refinancing Split Percentage shown in the column of the table below corresponding to the Excess Refinancing Percentage
therein: 
  

							
	 Three Month Average Recapture Percentage
	  	Excess Refinancing
Percentage	  	Refinancing Split
Percentage	 
	 35% or Less
	  	0%	  	 	0	% 
	 > 35%, <= 40%
	  	>0.00% and <=5.00%	  	 	25	% 
	 > 40%, <= 45%
	  	>5.00% and <=10.00%	  	 	30	% 
	 > 45%, <= 50%
	  	>10.00% and <=15.00%	  	 	35	% 
	 > 50%, <= 55%
	  	>15.00% and <=20.00%	  	 	40	% 
	 > 55%, <= 60%
	  	>20.00% and <=25.00%	  	 	45	% 
	 Greater than 60%
	  	>25.00%	  	 	50	% 

 Maximum Retained Refinancing Loan Amount: With respect to any Assignment Date, an amount, not less
than zero, equal to the sum of (a) the product of (i) the Refinancing Split Percentage, if any, applicable to such Assignment Date, (ii) the Excess Refinancing Percentage applicable to such Assignment Date and
(iii) the aggregate principal balance of New Mortgage Loans that were refinanced with Seller or an affiliate thereof during the Related Collection Period, plus (b) the Carryover Retained Amount, minus (c) the applicable
Replacement Shortfall. 
 Carryover Retained Amount: With respect to any Assignment Date beginning with the Assignment
Date in the seventh calendar month after the Closing Date, the excess, if any, of the Maximum Retained Refinancing Loan Amount for the prior Assignment Date over the aggregate outstanding principal balance of the Mortgage Loans that
were retained by Seller pursuant to this Section 3.03 on the prior Assignment Date. 
 Section 3.04
Selection Procedures. 
 (a) Not later than the Mortgage Loan Identification Date, Seller shall (i) notify
Purchaser of the identity of each Current Mortgage Loan and each Mortgage Loan that became a Refinanced Mortgage Loan during the Related Collection Period, (ii) calculate the Excess Refinancing Percentage, the Refinancing Split Percentage, the
Maximum Retained Refinancing Loan Amount and the Carryover Retained Amount for the following Assignment 

  
 16 

 
Date, and notify Purchaser of such amounts in writing, (iii) provide Purchaser with a list of potential Mortgage Loans (the “Available Portfolio”), selected on the basis
that the Excess Refinancing Percentage is equal to zero, and (iv) provide Purchaser with a list of residential mortgage loans selected from the Available Portfolio to be designated as Mortgage Loans (the “Replacement
Portfolio”) on the following Assignment Date and a list of residential mortgage loans selected from the Available Portfolio to be excluded from the pool of Mortgage Loans (the “Retained Portfolio”) on the following
Assignment Date in accordance with Section 3.03. 
 (b) Purchaser may submit an objection to the proposed Available
Portfolio, the proposed Replacement Portfolio or the proposed Retained Portfolio not later than five (5) Business Days following receipt of the notice of the proposed portfolios pursuant to Section 3.04(a). If Purchaser submits an
objection, Seller and Purchaser shall work together in good faith over the next five (5) Business Days (the “Selection Period”) to mutually agree on the Replacement Portfolio and the Retained Portfolio. During the Selection
Period, Seller may suggest alternative Mortgage Loans that meet the criteria of Section 3.02. If Seller and Purchaser are unable to agree on a Replacement Portfolio and a Retained Portfolio (if applicable) by close of business on the
Business Day prior to the Assignment Date, Seller and Purchaser may modify the percentages in the definitions of Future Excess Servicing Spread and Retained Servicing Spread and in the Priority of Payments, as applicable, to reflect the relative
values that Seller and Purchaser would have had in the Future Excess Servicing Spread and Retained Servicing Spread but for the inability of Seller and Purchaser to mutually agree on such portfolios. 

(c) Unless mutually agreed upon by Seller and Purchaser, the Retained Portfolio and the Replacement Portfolio with respect to any
Assignment Date shall satisfy the following criteria: 
 (i) The aggregate outstanding principal balance of the
residential mortgage loans in the Retained Portfolio shall not exceed the Maximum Retained Refinancing Loan Amount; 
 (ii) The weighted average servicing fee rate for the residential mortgage loans in the Retained Portfolio shall be substantially equal to the weighted average servicing fee rate for the Mortgage Loans in
the Replacement Portfolio; 
 (iii) The weighted average interest accrual rate per annum of the residential
mortgage loans in the Retained Portfolio shall be within 12.5 basis points per annum of the weighted average interest rate of the Mortgage Loans in the Replacement Portfolio; 

(iv) The weighted average final maturity date of the residential mortgage loans in the Retained Portfolio shall be within
six (6) months of the weighted average final maturity date of the Mortgage Loans in the Replacement Portfolio; and 
 (v) The remaining credit characteristics of the pool of residential mortgage loans in the Retained Portfolio (other than as specified in clauses (ii), (iii) and (iv) above)
shall be substantially the same as the credit characteristics of the pool of Mortgage Loans in the Replacement Portfolio. 

  
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 (d) Exhibit B provides an example of the calculations to be made pursuant to this
Section 3.04. 
 Section 3.05 Assignment of Future Excess Servicing Spread. 

Subject to the satisfaction of the terms and conditions in this Agreement, on each Assignment Date, Seller shall execute and deliver an
Assignment Agreement for the Future Excess Servicing Spread to be assigned on such Assignment Date with respect to the Mortgage Loans included in the applicable Replacement Portfolio; provided, however, that 

(a) Purchaser shall be entitled to all Future Excess Servicing Spread and Seller shall be entitled to all Retained Servicing Spread
arising with respect to each such Mortgage Loan on and after the Refinancing Date with respect to the related Refinanced Mortgage Loan, 
 (b) Seller shall deposit all Servicing Spread Collections received with respect to such Mortgage Loans on and after the Refinancing Date with respect to the related Refinanced Mortgage Loans into the
Third Party Controlled Future Spread Custodial Account not later than the Assignment Date, and 
 (c) for each Mortgage Loan
that was originated on or after the Refinancing Date of the related Refinanced Mortgage Loan, Seller shall deposit all Servicing Spread Collections with respect to amounts prepaid at the time of closing of such Mortgage Loan, if applicable, into the
Third Party Controlled Future Spread Custodial Account not later than the Assignment Date. 
 ARTICLE IV 

PAYMENTS AND DISTRIBUTIONS 
 Section 4.01 Purchase Price. 
 In full consideration for
Purchaser’s right to receive any Future Excess Servicing Spread assigned to Purchaser, and upon the terms and conditions of this Agreement, Purchaser shall pay to Seller an amount (the “Purchase Price”) that shall be determined
by the Parties on the Closing Date in accordance with Section 3.01 of the Current Spread Agreement. 
 Section 4.02
Payments by Purchaser. 
 Payments shall be made by Purchaser to Seller by wire transfer of immediately available
funds, to an account designated by Seller. 

  
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 Section 4.03 Accounts. 

(a) Lockbox Account. Seller shall inform the Mortgagors of Mortgage Loans to remit their mortgage payments to the Lockbox
Account. Payments of all Servicing Spread Collections received on and after the first Assignment Date shall be transferred from the Lockbox Account to the Third Party Controlled Future Spread Custodial Account within one (1) Business Day of
receipt and identification thereof and in any event, within two (2) Business Days of receipt thereof. 
 (b) Third
Party Controlled Future Spread Custodial Account. 
 (i) The Third Party Controlled Future Spread Custodial
Account will be established with Wells Fargo Bank, National Association or with such other third party custodian or trustee selected by Purchaser, for the sole purpose of receiving and disbursing all Servicing Spread Collections, Sales Proceeds and
Servicing Agreement termination payments with respect to the Mortgage Loans. The Third Party Controlled Future Spread Custodial Account will be established pursuant to the Future Spread Custodial Account Control Agreement with respect to which
Purchaser is an Entitlement Holder with Control. So long as permitted by the Future Spread Custodial Account Control Agreement, Seller may direct the disposition of funds in the Third Party Controlled Future Spread Custodial Account strictly in
accordance with the Priority of Payments. Upon any material breach of a representation, warranty or covenant by Seller hereunder, Purchaser may elect to exercise Control over the Third Party Controlled Future Spread Custodial Account. Seller agrees
to take all actions reasonably necessary, including the filing of appropriate financing statements, to protect Purchaser’s interest in the Third Party Controlled Future Spread Custodial Account. 

(ii) Seller shall inform each Owner to remit the applicable portion of any Servicing Agreement termination payments
payable with respect to the Mortgage Loans directly to the Third Party Controlled Future Spread Custodial Account. Any termination payment to be directed to the Third Party Controlled Future Spread Custodial Account shall be equal to the pro
rata amount by which the Mortgage Loans affected by such termination bear to all mortgage loans of Seller affected by such termination, based upon the method in which such termination payments are calculated in accordance with the applicable
Servicing Agreement. 
 (iii) If Seller is to receive any Sales Proceeds, Seller shall direct the Person making
such payments to deposit such payments into the Third Party Controlled Future Spread Custodial Account. 
 (iv)
If Seller receives any amounts required to be deposited into the Third Party Controlled Future Spread Custodial Account in error, Seller shall promptly remit such funds to the Third Party Controlled Future Spread Custodial Account. 

(c) Future Spread Reserve Account. The Future Spread Reserve Account will be established with Wells Fargo Bank, National
Association or with such other 

  
 19 

 
third party custodian or trustee selected by Purchaser. The Future Spread Reserve Account will be established pursuant to the Future Spread Reserve Account Control Agreement with respect to which
Purchaser is an Entitlement Holder with Control. So long as permitted by the Future Spread Reserve Account Control Agreement, Seller may direct the disposition of funds in the Future Spread Reserve Account strictly in accordance with
Section 4.05. Seller agrees to take all actions reasonably necessary, including the filing of appropriate financing statements, to protect Purchaser’s interest in the Future Spread Reserve Account. 

If at any time Seller’s Consolidated Tangible Net Worth falls below the sum of (x) $250,000,000 and (y) 50% of the
proceeds from any issuance of equity on or after the Agreement Date by Seller, Nationstar Mortgage Holdings Inc. or any of Seller’s consolidated subsidiaries or if Seller (considered together with its consolidated subsidiaries) defaults in any
indebtedness in excess of $10,000,000 (individually or in the aggregate) (each, a “Future Spread Reserve Account Deposit Event”), Seller shall immediately notify Purchaser in writing that a Future Spread Reserve Account Deposit
Event has occurred. On each Distribution Date upon which a Future Spread Reserve Account Deposit Event has occurred and is continuing, Seller shall be required to transfer funds in the Third Party Controlled Future Spread Custodial Account to the
Future Spread Reserve Account in accordance with the Priority of Payments until the amount of funds in the Future Spread Reserve Account is equal to the Future Spread Reserve Account Required Amount. The “Future Spread Reserve Account
Required Amount” is equal to 25% of the fair market value as of the date the Future Spread Reserve Account Deposit Event that is then-continuing first occurred of the Total Servicing Spread expected to be paid over the expected remaining
life of the Mortgage Loans (the “Remaining Expected Total Servicing Spread”) determined in accordance with the following paragraph. Seller shall immediately notify Purchaser in writing if a Future Spread Reserve Account Deposit
Event is no longer continuing. Any funds in the Future Spread Reserve Account in excess of the Future Spread Reserve Account Required Amount shall be released to Seller. 
 For purposes of determining the fair market value of the Remaining Expected Total Servicing Spread, Purchaser shall submit its claim for determination of the fair market value of the Remaining Expected
Total Servicing Spread, together with such back-up information it deems appropriate to justify such fair market value (which value shall be considered the fair market value of the Remaining Expected Total Servicing Spread for purposes of calculating
the Future Spread Reserve Account Required Amount until the final determination of such fair market value in accordance with this paragraph). Within five (5) Business Days of Seller’s receipt of such determination, Seller shall notify
Purchaser in writing of its acceptance or any objection to such determination of such fair market value, and if Seller objects to such determination, together with its own determination of such fair market value and any back-up information as it
deems appropriate to justify such fair market value (an “Objection Notice”). In the event an Objection Notice is delivered, the parties shall negotiate in good faith a resolution to such objection. In the event that Seller and
Purchaser are unable to resolve such objection within five (5) Business Days of the delivery of such Objection Notice, Seller and Purchaser shall appoint a mutually acceptable nationally recognized valuation expert to determine such fair market
value of the Remaining Expected Total Servicing Spread. The determination of such valuation expert shall be binding on Seller and Purchaser and the fees of such valuation expert shall be borne by Seller. 

  
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 Section 4.04 Priority of Payments. 

On each Business Day, subject to the terms and conditions of the Future Spread Custodial Account Control Agreement, Seller (or, after the
delivery of an access termination notice pursuant to the Future Spread Custodial Account Control Agreement, Purchaser) will direct the Bank to apply the monies in the Third Party Controlled Future Spread Custodial Account in the following order of
priority (the “Priority of Payments”), in every case, after giving effect to each prior item in the Priority of Payments on such Business Day: 
 (a) first, from amounts in the Third Party Controlled Future Spread Custodial Account attributable to Servicing Agreement termination payments made by an Owner with respect to any Mortgage Loans,
pro rata, (A) the Future Excess Servicing Spread Percentage of such termination payments to Purchaser, and (B) the Retained Excess Servicing Spread Percentage of such termination payments to Seller; provided, that
(I) prior to the distribution to Purchaser of any termination payments pursuant to clause (A), such termination payments shall be applied to the payment of any indemnity payments then due and payable to a Seller Indemnitee pursuant to
Section 11.02, and (II) prior to the distribution to Seller of any termination payments pursuant to clause (B), such termination payments shall be applied first, to the payment of any indemnity payments then due and
payable to a Purchaser Indemnitee pursuant to Section 11.01 and second, for deposit to the Future Spread Reserve Account to the extent necessary to cause the amount of funds on deposit in the Future Spread Reserve Account to
equal the Future Spread Reserve Account Required Amount; 
 (b) second, on any Business Day from and including the first
Business Day of a calendar month to but excluding the Distribution Date in such calendar month, at the option of Seller, the Base Servicing Fee payable with respect to a prior Collection Period for the Mortgage Loans to Seller; 

(c) third, on each Distribution Date, to the extent not previously paid to Seller in accordance with Section 4.04(b),
any accrued and unpaid Base Servicing Fee to Seller; 
 (d) fourth, on each Distribution Date, pro rata,
(A) to Purchaser, any Future Excess Servicing Spread for the prior Collection Period (other than the portion thereof consisting of termination payments made pursuant to Section 4.04(a)); and (B) to Seller, any Retained
Servicing Spread for the prior Collection Period (other than the portion thereof consisting of termination payments made pursuant to Section 4.04(a)); provided, that (I) prior to the distribution to Purchaser of any Future
Excess Servicing Spread pursuant to clause (A), the Future Excess Servicing Spread shall be applied to the payment of any indemnity payments then due and payable to a Seller Indemnitee pursuant to Section 11.02, and (II) prior to
the distribution to Seller of any Retained Servicing Spread pursuant to clause (B), the Retained Servicing Spread shall be applied first, to the payment of any indemnity payments then due and payable to a Purchaser Indemnitee
pursuant to Section 11.01 and second, for deposit to the Future Spread Reserve Account to the extent necessary to cause the amount of funds on deposit in the Future Spread Reserve Account to equal the Future Spread Reserve
Account Required Amount; and 

  
 21 

 (e) fifth, on each Distribution Date, to Seller, any other amounts remaining on
deposit in the Third Party Controlled Future Spread Custodial Account. 
 All payments to Purchaser or Seller shall be made by
wire transfer of immediately available funds to an account designated by Purchaser or Seller, as applicable. 

Section 4.05 Withdrawals from the Future Spread Reserve Account. 

On any Business Day, at the instruction of Purchaser, Seller shall direct the Bank to apply funds in the Future Spread Reserve Account,
if any, to the payment of indemnity payments payable to a Purchaser Indemnitee pursuant to Section 11.01. If on any Business Day a Future Spread Reserve Account Deposit Event is not then continuing and all outstanding indemnity payments
payable to Purchaser Indemnitees have been paid in full, Seller may direct the Bank to distribute any remaining funds in the Future Spread Reserve Account to, or as directed by, Seller. If there are any funds remaining in the Future Spread Reserve
Account after the Future Excess Servicing Spread and all indemnity payments payable to Purchaser Indemnitees have been paid in full, Seller shall direct the Bank to distribute such remaining funds to, or as directed by, Seller. 

Section 4.06 Payment to Seller of Base Servicing Fee. 

(a) Seller shall be entitled to payment of the Base Servicing Fee only to the extent funds are available therefor in the Third Party
Controlled Future Spread Custodial Account in accordance with the Priority of Payments. Under no circumstances shall Purchaser be liable to Seller for payment of the Base Servicing Fee. In the event servicing of the Mortgage Loans is transferred to
sub-servicers for any reason, the servicing fees and expenses of such sub-servicers shall be paid by Seller and in no event will the amount of Servicing Spread Collections or termination payments otherwise allocable to the Future Excess Servicing
Spread be reduced due to the payment of sub-servicing fees and expenses. 
 (b) The Base Servicing Fee with respect to a
Mortgage Loan shall begin to accrue as of the Collection Period prior to the applicable Assignment Date. In no event shall Base Servicing Fees accrue concurrently on any day for a Refinanced Mortgage Loan and for a Mortgage Loan. 

Section 4.07 Correction of Principal Balance Error. 

If, subsequent to the payment of any amounts due hereunder to either party, the outstanding principal balance of any Mortgage Loan is
found to be in error, the party benefiting from the error shall pay an amount sufficient to correct and reconcile such amounts and shall provide a reconciliation statement and other such documentation to reasonably satisfy the other party concerning
the accuracy of such reconciliation. Such amounts shall be paid by the proper party within ten (10) Business Days from receipt of satisfactory written verification of amounts due. 

  
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 Section 4.08 Intent and Characterization. 

(a) Seller and Purchaser intend that the assignments of the Future Excess Servicing Spread pursuant to this Agreement and each
Assignment Agreement constitute valid sales of such Future Excess Servicing Spread from Seller to Purchaser, conveying good title thereto free and clear of any Lien other than Permitted Liens, and that the beneficial interest in and title to such
Future Excess Servicing Spread not be part of Seller’s estate in the event of the bankruptcy of Seller. Seller and Purchaser intend and agree to treat the transfer and assignment of the Future Excess Servicing Spread as an absolute sale for tax
purposes, and as an absolute and complete conveyance of title for property law purposes. Except for financial accounting purposes, neither party intends the transactions contemplated hereby to be characterized as a loan from Purchaser to Seller.

 (b) In the event (but only in the event) that the conveyance of the Future Excess Servicing Spread is characterized by a
court or governmental authority as security for a loan rather than a sale, Seller will be deemed to have granted to Purchaser, and Seller hereby grants to Purchaser, a security interest in all of its right, title and interest in, to and under the
Future Excess Servicing Spread and all proceeds thereof as security for a loan in an amount equal to the Purchase Price (as defined in the Current Spread Agreement). 
 ARTICLE V 
 REPRESENTATIONS AND WARRANTIES OF SELLER

 As an inducement to Purchaser to enter into this Agreement, Seller represents and warrants to Purchaser as of the
Agreement Date, the Closing Date and as of each Assignment Date as follows (or as of the date specified below, as applicable): 

Section 5.01 Due Organization and Good Standing. 

Seller is a limited liability company duly organized, validly existing and in good standing under the laws of the State of Delaware.
Seller is qualified to transact business in each jurisdiction in which such qualification is deemed necessary to service the Mortgage Loans. Seller has, in full force and effect (without notice of possible suspension, revocation or impairment), all
required permits, approvals, licenses, and registrations to conduct all activities in all states in which its activities with respect to the Mortgage Loans or the Mortgage Servicing Rights require it to be licensed, registered or approved in order
to service the Mortgage Loans and own the Mortgage Servicing Rights, unless the failure to obtain such permits, approvals, licenses and registrations would not reasonably be expected to have a material adverse effect on Seller’s ability to
perform its obligations under this Agreement or the other Transaction Documents to which it is a party. 
 Section 5.02
Authority and Capacity. 
 Seller has all requisite limited liability company power, authority and capacity to
enter into this Agreement and each other Transaction Document to which it is a party and to perform 

  
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the obligations required of it hereunder and thereunder. The execution and delivery of this Agreement and each other Transaction Document and the consummation of the transactions contemplated
hereby and thereby have each been duly and validly authorized by all necessary limited liability company action. This Agreement and each other Transaction Document to which it is a party has been duly executed and delivered by Seller. This Agreement
constitutes, and each other applicable Transaction Document to which Seller is a party constitutes or will constitute, a valid and legally binding agreement of Seller enforceable in accordance with its terms, and no offset, counterclaim or defense
exists to the full performance by Seller of this Agreement or such other Transaction Document, except as the same may be limited by bankruptcy, insolvency, reorganization and similar laws affecting the enforcement of creditors’ rights generally
and by general equity principles. 
 Section 5.03 Owner Consents. 

Prior to an Assignment Date, Seller has obtained all necessary and applicable Owner Consents. 

Section 5.04 Title to the Mortgage Servicing Rights. 

As of an Assignment Date, Seller will be the lawful owner of the Mortgage Servicing Rights, will be responsible for the maintenance of
the Related Escrow Accounts, and will have the sole right and authority to transfer the Future Excess Servicing Spread as contemplated hereby. The transfer, assignment and delivery of the Future Excess Servicing Spread shall be free and clear of any
and all claims, charges, defenses, offsets, Liens and encumbrances of any kind or nature whatsoever other than Permitted Liens. 

Section 5.05 Effective Agreements. 
 The execution, delivery and performance of this Agreement and each other Transaction Document by Seller, compliance with the terms hereof and thereof and the consummation of the transactions contemplated
hereby and thereby did not, and will not, violate, conflict with, result in a breach of, constitute a default under, be prohibited by or require any additional approval under its certificate of formation or limited liability company agreement, any
instrument or agreement to which it is a party or by which it is bound or which affects the Future Excess Servicing Spread, or any state or federal law, rule or regulation or any judicial or administrative decree, order, ruling or regulation
applicable to it or to the Future Excess Servicing Spread. 
 Section 5.06 No Accrued Liabilities.

 There are no accrued liabilities of Seller with respect to the Mortgage Loans or the Mortgage Servicing Rights or
circumstances under which such accrued liabilities will arise against Purchaser as purchaser of the Future Excess Servicing Spread. 
 Section 5.07 Seller/Servicer Standing. 
 As of the applicable
Assignment Date, Seller is approved by each applicable Agency as a seller/servicer in good standing with the requisite financial criteria and adequate resources to 

  
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complete the transactions contemplated hereby on the conditions stated herein. No event has occurred, including but not limited to a change in insurance coverage, which would make Seller unable
to comply with the applicable Agency eligibility requirements or which would require notification to the applicable Agency. Furthermore, if at any time prior to the termination of this Agreement, Seller is unable to comply with any of the applicable
Agency eligibility requirements, it shall immediately notify Purchaser that it is no longer an approved seller/servicer of mortgage loans for such Agency. 
 Section 5.08 MERS Membership. 
 Seller is a member in good
standing under the MERS system or another similar system reasonable acceptable to the Purchaser. 
 Section 5.09
Owner Set-off Rights. 
 Seller has no actual notice, including any notice received from an Owner, or any reason
to believe, that, other than in the normal course of Seller’s business, any circumstances exist that would result in Seller being liable to an Owner for any amount due by reason of: (i) any breach of servicing obligations or breach of
mortgage selling warranty to an Owner under servicing agreements relating to Seller’s entire servicing portfolio for such Owner (including any unmet mortgage repurchase obligation), (ii) any unperformed obligation with respect to mortgage
loans that Seller is servicing for an Owner under the regular servicing option or other mortgages subject to recourse agreements, (iii) any loss or damage to an Owner by reason of any inability to transfer to a purchaser of the servicing rights
Seller’s selling and servicing representations, warranties and obligations, or (iv) any other unmet obligations to an Owner under a servicing contract relating to Seller’s entire servicing portfolio with such Owner. 

Section 5.10 Ability to Perform; Solvency. 
 Seller does not believe, nor does it have any reason or cause to believe, that it cannot perform each and every covenant contained in this Agreement. Seller is Solvent and the sale of the Future Excess
Servicing Spread will not cause Seller to become insolvent. The sale of the Future Excess Servicing Spread is not undertaken to hinder, delay or defraud any of the creditors of Seller. The consideration received by Seller upon the sale of the Future
Excess Servicing Spread constitutes fair consideration and reasonably equivalent value therefor. 
 Section 5.11
Obligations with Respect to Origination. 
 Seller shall remain liable for all obligations with respect to the
origination of each Mortgage Loan and, if applicable, for all obligations with respect to the sale of such Mortgage Loan to the applicable Owner. 
 Section 5.12 No Actions. 
 There have not been commenced or, to
the best of Seller’s knowledge, threatened any action, suit or proceeding which will likely materially and adversely affect the consummation of the transactions contemplated by any Transaction Document. 

  
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 ARTICLE VI 
 REPRESENTATIONS AND WARRANTIES AS TO MORTGAGE LOANS AND SERVICING 

As further inducement to Purchaser to enter into this Agreement, Seller represents and warrants to Purchaser, as of each Assignment Date
(or as of the date specified below, as applicable), as follows: 
 Section 6.01 Servicing Agreements; Applicable
Laws. 
 Seller, the originator of the Mortgage Loan and each prior owner of the Mortgage Servicing Rights has each
performed its obligations in all material respects in accordance with the terms of the related Mortgage Note, Mortgage, Servicing Agreements and Applicable Law. 
 Section 6.02 Related Escrow Accounts. 
 All Related Escrow
Accounts are being, and have been, maintained in accordance with Applicable Law and in accordance with the Servicing Agreements and the terms of the related Mortgages and other Mortgage Loan documents; and, except as to payments which are past due
under Mortgage Notes, all balances required by the Mortgages or other Mortgage Loan Documents to be paid to Seller for the account of the Mortgagors are on deposit in the appropriate Related Escrow Account. 

Section 6.03 No Purchaser Responsibility. 
 Purchaser shall have no responsibility, liability or other obligation whatsoever under any Servicing Agreement or with respect to any Mortgage Loan, or to make any advance thereunder, or to pay any
servicing fees. 
 Section 6.04 Location of Credit Files. 

All of the Mortgage Loan Documents are held by either Custodians or Seller, as the case may be, in the locations specified in Exhibit
F, unless temporarily removed for enforcement purposes in the normal course of servicing. Seller will notify Purchaser in writing of any changes in locations of the Mortgage Loan Documents in Exhibit F. 

Section 6.05 Representations Concerning the Future Excess Servicing Spread. 

(a) Seller has not assigned, pledged, conveyed, or encumbered the Future Excess Servicing Spread to any other Person (other than
Permitted Liens) and immediately prior to the sale of the Future Excess Servicing Spread, Seller was the sole owner of the Future Excess Servicing Spread and had good and marketable title thereto (subject to the rights of the applicable Owner under
the Servicing Agreements), free and clear of all Liens (other than Permitted Liens), and no Person, other than Purchaser, has any Lien (other than Permitted Liens) on the Future Excess Servicing Spread. No security agreement, financing statement,
equivalent security or lien instrument or continuation statement covering all or any 

  
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part of the Future Excess Servicing Spread which has been signed by Seller or which Seller has authorized any other Person to sign or file or record, is on file or of record with any public
office, except such as may have been terminated or filed by or on behalf of Purchaser. 
 (b) The sale and grant of a security
interest by Seller to Purchaser of and on the Future Excess Servicing Spread does not and will not violate any Requirement of Law, the effect of which violation is to render void or voidable such assignment. 

(c) As contemplated under Section 4.08(b), upon the filing of financing statements on Form UCC-1 naming Purchaser as
“Secured Party” and Seller as “Debtor”, and describing the Future Excess Servicing Spread, in the jurisdictions and recording offices listed on Exhibit J attached hereto, the security interests granted hereunder in the
Future Excess Servicing Spread will constitute perfected first priority security interests under the UCC in all right, title and interest of Purchaser in, to and under the Future Excess Servicing Spread. 

(d) Purchaser has and will continue to have the full right, power and authority to pledge the Future Excess Servicing Spread, and the
Future Excess Servicing Spread may be further assigned without any requirement, in each case, subject only to applicable Owner Consents. 
 (e) Each Servicing Agreement (other than with respect to Mortgage Loans owned by Seller) constitutes an Eligible Servicing Agreement. 

ARTICLE VII 
 REPRESENTATIONS AND WARRANTIES OF PURCHASER 
 As an inducement to
Seller to enter into this Agreement, Purchaser represents and warrants to Seller as of the Agreement Date, the Closing Date and as of each Assignment Date as follows (or as of the date specified below, as applicable): 

Section 7.01 Due Organization and Good Standing. 

Purchaser is a limited liability company duly organized, validly existing and in good standing under the laws of the State of Delaware.
Purchaser is qualified to transact business in each jurisdiction in which such qualification is deemed necessary. 

Section 7.02 Authority and Capacity. 
 Purchaser has all requisite limited liability company power, authority and capacity to enter into this Agreement and each other Transaction Document to which it is a party and to perform the obligations
required of it hereunder and thereunder. The execution and delivery of this Agreement and each other Transaction Document to which it is a party and the consummation of the transactions contemplated hereby and thereby have each been duly and validly
authorized by all necessary limited liability company action. This Agreement and each other Transaction Document to which it is a party has been duly executed and delivered by Purchaser. This Agreement constitutes, and each other applicable
Transaction Document to 

  
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which Purchaser is a party constitutes or will constitute, a valid and legally binding agreement of Purchaser enforceable in accordance with its terms, and no offset, counterclaim or defense
exists to the full performance by Purchaser of this Agreement or such other Transaction Document, except as the same may be limited by bankruptcy, insolvency, reorganization and similar laws affecting the enforcement of creditors’ rights
generally and by general equity principles. 
 Section 7.03 Effective Agreements. 

The execution, delivery and performance of this Agreement and each other Transaction Document to which it is a party by Purchaser, its
compliance with the terms hereof and thereof and the consummation of the transactions contemplated hereby and thereby will not violate, conflict with, result in a breach of, constitute a default under, be prohibited by or require any additional
approval under its certificate of formation or limited liability company agreement, any instrument or agreement to which it is a party or by which it is bound, or any state or federal law, rule or regulation or any judicial or administrative decree,
order, ruling or regulation applicable to it, in each case which violation, conflict, breach or requirement would reasonably be expected to have a material adverse effect on Purchaser’s ability to perform its obligations under this Agreement
and any other Transaction Document to which it is a party. 
 Section 7.04 Sophisticated Investor.

 Purchaser is a sophisticated investor and its decision to acquire the Future Excess Servicing Spread is based upon
Purchaser’s own independent experience, knowledge and evaluation of this transaction. Purchaser has relied solely on such experience, knowledge and evaluation and has not relied on any oral or written information provided by Seller other than
the representations and warranties made by Seller herein. 
 Section 7.05 No Actions 

There shall not have been commenced or, to the best of Purchaser’s knowledge, threatened any action, suit or proceeding against the
Purchaser that will likely materially and adversely affect the consummation of the transactions contemplated hereby. 

ARTICLE VIII 
 SELLER COVENANTS 
 Seller covenants and agrees as follows:

 Section 8.01 Servicing Obligations. 

(a) Seller shall pay, perform and discharge all liabilities and obligations relating to the Servicing, including all liabilities and
obligations under the Mortgage Loan Documents, Applicable Law and the Servicing Agreements; and shall pay, perform and discharge all the rights, obligations and duties with respect to the Related Escrow Accounts as required by the Servicing
Agreements, the Mortgage Loan Documents, all Applicable Law and, with respect to any Mortgage Loans owned by an Agency, such Agency. 

  
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 (b) Under no circumstances shall Purchaser be responsible for the Servicing acts and
omissions of Seller or any other servicer or any originator of the Mortgage Loans, or for any servicing related obligations or liabilities of any servicer in the Servicing Agreements or of any Person under the Mortgage Loan Documents, or for any
other obligations or liabilities of Seller. 
 (c) Upon termination of any Servicing Agreement, Seller shall remain liable to
Purchaser and the applicable Owner for all liabilities and obligations incurred by the servicer or its designee while Seller or its designee was acting as the servicer thereunder. 

Section 8.02 Cooperation. 
 Seller shall cooperate with and assist Purchaser, as reasonably requested, in carrying out the purposes of this Agreement. Seller will cooperate and assist Purchaser, as reasonably requested and at the
reasonable expense of Purchaser (except as provided in Section 12.01), in obtaining consents from any Owner as may be required or advisable to assign, transfer, deliver, hypothecate, pledge, subdivide, finance or otherwise deal with the
Future Excess Servicing Spread. If Seller is terminated under any Servicing Agreement, Seller shall cooperate fully and at its own expense in transferring such Servicing. If Purchaser assigns its Future Excess Servicing Rights or its other rights
under this Agreement to a Third Party Assignee, Seller will cooperate and assist any Third Party Assignee in drafting and entering into a Third Party Future Spread Agreement in accordance with Section 12.15. 

Section 8.03 Financing Statements. 
 Seller hereby authorizes the filing of any financing statements or continuation statements, and amendments to financing statements, in any jurisdictions and with any filing offices as Purchaser may
determine, in its sole discretion, are necessary or advisable to perfect the sale of the Future Excess Servicing Spread and the security interests granted to Purchaser in connection herewith. Seller agrees to execute financing statements in form
reasonably acceptable to Purchaser and Seller at the request of Purchaser in order to reflect Purchaser’s interest in the Future Excess Servicing Spread, the Third Party Controlled Future Spread Custodial Account and the Future Spread Reserve
Account. 
 Section 8.04 Supplemental Information. 

From time to time after the applicable Assignment Date with respect to each Mortgage Loan, Seller promptly shall furnish Purchaser such
incidental information, which is reasonably available to Seller, supplemental to the information contained in the documents and schedules delivered pursuant to this Agreement, as may reasonably be requested to monitor performance of the Mortgage
Loans and the payment of the Future Excess Servicing Spread. 
 Section 8.05 Access to Information.

 From time to time, at such times as are reasonably convenient to Seller, Purchaser or its designees may conduct audits or
visit and inspect any of the Mortgage Loans or places where the Credit Files or servicing operations are located, to examine the Credit Files, internal controls and 

  
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procedures maintained by Seller and its agents, and take copies and extracts therefrom, and to discuss Seller’s affairs with its officers, employees and, upon notice to Seller, independent
accountants. Seller hereby authorizes such officers, employees and independent accountants to discuss with Purchaser the affairs of Seller. Any audit provided for herein will be conducted in accordance with Seller’s rules respecting safety and
security on its premises, in accordance with applicable privacy and confidentiality laws and without materially disrupting operations. 
 Section 8.06 Home Affordable Modification Program. 
 With
respect to any Mortgage Loans that have been modified or that are or will be in a modification trial period as part of the U.S. Department of the Treasury’s Home Affordable Modification Program (“HAMP”) (such Mortgage Loans,
the “HAMP Loans”), Seller represents and warrants that it will continue to service such HAMP Loan in accordance with the HAMP terms, and shall ensure the timely compliance and filing of any appropriate HAMP documentation with the
applicable regulator. 
 Section 8.07 Distribution Date Data Tapes and Reports. 

Seller shall deliver the following to Purchaser two (2) Business Days prior to each Distribution Date: 

(a) An Electronic Data File in form and substance acceptable to Purchaser containing, for each Current Mortgage Loan and each Mortgage
Loan, principal, interest and Servicing Spread Collections, and delinquency status (i.e. 30, 60, 90, FCL, REO) as of the last day of the prior Collection Period; 
 (b) A Summary Activity Report with respect to each of the pool of Current Mortgage Loans and the pool of Mortgage Loans with respect to the prior Collection Period containing: 

(i) Aggregate beginning principal balance as of the first and last date of the Collection Period, 

(ii) Aggregate regular principal collected, 

(iii) Aggregate noncash principal, 

(iv) Aggregate interest collected, 

(v) Aggregate liquidation principal, 

(vi) Aggregate curtailments, 
 (vii) Liquidations, 
 (viii) Short sales, 

  
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 (ix) Aggregate principal balance of Refinanced Mortgage Loans, and
(1) for each Refinanced Mortgage Loan, the principal balance, the applicable servicing spread, the final maturity date, the mortgage interest rate, the loan-to-value ratio and the FICO score, and (2) for each Current Mortgage Loan and each
Mortgage Loan that was refinanced by a lender other than Seller or an affiliate thereof, to the extent such information is known to Seller in the ordinary course of business and the collection and delivery of such information does not impose any
additional and undue burden on Seller, the name of such lender and the mortgage interest rate of the newly originated residential mortgage loan; 
 (c) A Delinquency Report with respect to the Current Mortgage Loans and Mortgage Loans containing: 
 (i) The aggregate outstanding principal balance of the pool of Current Mortgage Loans and the pool of Mortgage Loans and percentages of the aggregate outstanding principal balance of the pool of Current
Mortgage Loans and the pool of Mortgage Loans in each of the following categories as of the last day of the prior Collection Period: 
 (1) Non-delinquent Mortgage Loans, 
 (2) 0-29 days delinquent,

 (3) 30-59 days delinquent, 

(4) 60-89 days delinquent, 
 (5) 90 days or more delinquent, 
 (6) Current Mortgage Loans and
Mortgage Loans in Foreclosure, 
 (7) Current Mortgage Loans and Mortgage Loans with respect to which the
related Mortgaged Properties have become real estate owned properties, and 
 (8) Current Mortgage Loans and
Mortgage Loans in which the Mortgagor is in bankruptcy; 
 (ii) For each of the above categories, a roll report
showing the migration of Current Mortgage Loans and Mortgage Loans in such category from the last day of the second prior Collection Period; 
 (d) A Disbursement Report for such Distribution Date containing: 

(i) The Servicing Spread Collections for the prior Collection Period, 

  
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 (ii) The Base Servicing Fee paid to Seller, 

(iii) The amount of the Future Excess Servicing Spread paid to Purchaser, 

(iv) The amount of funds, if any, transferred to the Future Spread Reserve Account, 

(v) The amount paid to Purchaser Indemnitees pursuant to Section 11.01, if any, from each of the Third Party
Controlled Future Spread Custodial Account or the Future Spread Reserve Account, and 
 (vi) The amount of funds
paid to Seller from the Future Spread Reserve Account. 
 Section 8.08 Financial Statements and Officer’s
Certificates. 
 (a) If Seller’s financial statements are not filed with the U.S. Securities and Exchange
Commission and are not publicly available, Seller shall deliver to Purchaser copies of Seller’s most recent audited quarterly financial statements within 45 days of the end of each of Seller’s fiscal quarters and its most recent audited
annual financial statements within 90 days of the end of each of Seller’s fiscal years. 
 (b) Within 45 days of the end
of each of Seller’s fiscal quarters, Seller shall deliver to Purchaser a certificate from a duly authorized officer of Seller certifying (i) whether or not Seller has a Consolidated Tangible Net Worth of at least the sum of
(x) $250,000,000 and (y) 50% of the proceeds from any issuance of equity on or after the Agreement Date by Seller, Nationstar Mortgage Holdings Inc. or any of Seller’s consolidated subsidiaries (and shall provide a calculation of its
determination of its Consolidated Tangible Net Worth) and (ii) whether or not Seller (considered together with its consolidated subsidiaries) is in default in any indebtedness in excess of $10,000,000 (individually or in the aggregate).

 Section 8.09 Monthly Management Calls. 

Within five (5) Business Days after each Distribution Date, Seller shall make its management team and other appropriate officers and
employees available to Purchaser to discuss by telephone the performance of the Current Mortgage Loans and Mortgage Loans and the performance of the parties under the Transaction Documents. 

Section 8.10 Timely Payment of Owner Obligations. 

Seller shall pay all of its obligations to an Owner in a timely manner so as to avoid exercise of any right of set-off by any Owner
against Seller. 
 Section 8.11 Servicing Agreements. 

Seller will service the Mortgage Loans in accordance with Accepted Servicing Practices and will perform its obligations in all material
respects in accordance with the Servicing 

  
 32 

 
Agreements and Applicable Law. In particular, without limitation, Seller shall comply with any advancing obligation under the Servicing Agreements. Without the express written consent of
Purchaser (which consent may be withheld in its absolute discretion), Seller shall not (a) terminate or amend any Mortgage Servicing Rights, (b) expressly provide any required consent to any termination, amendment or modification of any
Servicing Agreements either verbally or in writing, or (c) expressly provide any required consent to any termination, amendment or modification of any other servicing agreements or enter into any other agreement or arrangement with the
applicable Owner that may be reasonably material to Purchaser either verbally or in writing. Seller shall conduct its business and perform its obligations under the Servicing Agreements in a manner such that the applicable Owner will not have cause
to terminate any Servicing Agreement. Notwithstanding the foregoing, in no event will the prohibitions contained in this Section 8.11 apply to any amendments or modifications of the Servicing Agreements applicable to Current Mortgage
Loans or Mortgage Loans owned by Seller which do not affect the Future Excess Servicing Spread with respect to such Current Mortgage Loans or Mortgage Loans and are not reasonably material to Purchaser. 

Section 8.12 Transfer of Mortgage Servicing Rights. 

If Seller intends to assign, transfer or sell any of its Mortgage Servicing Rights to a replacement servicer, to the extent permitted by
applicable law, (a) Seller shall consult with Purchaser and Purchaser shall participate in the assignment, transfer and sale of such Mortgage Servicing Rights, and (b) Seller shall obtain the written consent of Purchaser prior to any
assignment, transfer or sale thereof. 
 Section 8.13 Consents to Transaction Documents. 

Seller shall not terminate, amend, amend and restate, modify or waive any conditions or provisions of any Transaction Document without
the express written consent of Purchaser, which consent shall not be unreasonably withheld, delayed or conditioned. 

Section 8.14 Accounts. 
 Seller shall inform the Mortgagors of Mortgage Loans at its own expense to remit their mortgage payments to the Lockbox Account, and any change in such instructions shall only be permitted with the
express written consent of Purchaser. 
 Section 8.15 Notification of Certain Events. 

Seller shall promptly notify Purchaser of any event which, with the passage of time, could reasonably be expected to result in a
termination of any servicing agreement between Seller and any Owner. Seller shall provide Purchaser with copies of any notices from the applicable Owner of any breach, potential breach, default or potential default by Seller under any servicing
agreement between Seller and the applicable Owner, and with copies of any notices from any Owner of any termination, potential termination or threatened termination of any servicing agreement entered into between Seller and that Owner. Seller shall
promptly forward copies of any material notices received from any Owner or from any Governmental Authority with respect to the Mortgage Loans. Seller shall provide Purchaser with (a) copies of all

  
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amendments to the Transaction Documents, the Servicing Agreements (other than with respect to Mortgage Loans owned by Seller) and the agreements relating to Seller’s acquisition of the
Mortgage Servicing Rights, (b) with respect to Mortgage Loans owned by Seller, copies of all material amendments to the Servicing Agreements, and (c) copies of any other agreements Seller enters into with any Owner that may be reasonably
material to Purchaser, in each case, promptly after execution thereof. 
 Section 8.16 Financing; Pledge of Future
Excess Servicing Spread. 
 Seller shall not pledge, obtain Seller financing for, or otherwise permit any Lien (other
than Permitted Liens) of any creditor of Seller to exist on, any portion of the Servicing Spread Collections without the prior written consent of Purchaser. Seller’s financial statements shall contain footnotes indicating that the Future Excess
Servicing Spread has been sold, and Seller does not maintain any ownership interest therein. 
 Section 8.17
Existence, etc. 
 Seller shall: 
 (a) preserve and maintain its legal existence and all of its material licenses required to service the Mortgage Loans; 
 (b) comply with the requirements of all Applicable Laws, rules, regulations and orders of Governmental Authorities (including truth in lending and real estate settlement procedures) if failure to comply
with such requirements could be reasonably likely (either individually or in the aggregate) to have a material adverse effect on its ability to perform its obligations hereunder or under any other Transaction Document; 

(c) keep adequate records and books of account, in which complete entries will be made in accordance with GAAP consistently applied, and
maintain adequate accounts and reserves for all taxes (including income taxes), all depreciation, depletion, obsolescence and amortization of its properties, all contingencies, and all other reserves; 

(d) not move its chief executive office, chief operating office or its recording office from the addresses referred to in Exhibit
J unless it shall have provided Purchaser not less than thirty (30) days prior written notice of such change; 
 (e)
pay and discharge all material taxes, assessments and governmental charges or levies imposed on it or its income or profits or on any of its property prior to the date on which penalties attach thereto, except for any such tax, assessment, charge or
levy the payment of which is being contested in good faith and by proper proceedings and against which adequate reserves are being maintained. Seller and its subsidiaries shall file on a timely basis all federal, and material state and local tax and
information returns, reports and any other information statements or schedules required to be filed by or in respect of it; 

(f) keep in full force and effect the provisions of its charter documents, by-laws, operating agreements or similar organizational
documents in each case to the extent reasonably necessary to perform its obligations hereunder or under any other Transaction Documents; 

  
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 (g) keep in full force and effect all agreements and instruments by which it or any of its
properties may be bound and all applicable decrees, orders and judgments, in each case to the extent reasonably necessary to perform its obligations hereunder or under any other Transaction Document; and 

(h) comply with its obligations under the Transaction Documents to which it is a party and each other agreement entered into with an
Owner. 
 Section 8.18 Consent to Sub-Servicing. 

Subject to the rights of the Owners, Seller will not permit any Person other than Seller to service or sub-service the Mortgage Loans
without the prior written consent of Purchaser, in each case other than third-party vendors customarily employed by servicers in the ordinary course of business in accordance with prudent mortgage servicing practices. 

Section 8.19 Nonpetition Covenant. 
 Seller shall not, prior to the date that is one year and one day after the payment in full of the Future Excess Servicing Spread, petition or otherwise invoke the process of any court or governmental
authority for the purpose of commencing or sustaining a case against Purchaser under any insolvency law or appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of Purchaser or any substantial part
of its property, or ordering the winding up or liquidation of the affairs of Purchaser. 
 Section 8.20 Schedule of
Mortgage Loans. 
 Seller shall maintain the Schedule of Mortgage Loans, which shall be updated as of each Assignment
Date. The information in the Schedule of Mortgage Loans pertaining to the Mortgage Loans and the Mortgage Servicing Rights will be true and correct in all material respects as of the date specified. 

Section 8.21 True Sale Opinion. 
 Seller shall cause a written opinion of counsel to be furnished, in form and substance satisfactory to Purchaser, dated the Closing Date with respect to the characterization of the transfer of the Future
Excess Servicing Spread by Seller to Purchaser as a true sale. Purchaser may request additional opinions regarding such characterization subsequent to the Closing Date as advised by Purchaser’s counsel in light of changes in law and other
circumstances. To the extent Seller is unable to provide such opinions with respect to any Mortgage Loans, Seller shall substitute such Mortgage Loans with residential mortgage loans have substantially the same credit characteristics. 

  
 35 

 Section 8.22 Valuation. 

As of the Closing Date, Purchaser shall have received an opinion reasonably satisfactory to Purchaser that the Base Servicing Fee of the
Mortgage Loans and the Purchase Price of the Future Excess Servicing Spread is fair and reasonable. 
 Section 8.23
Material Documents. 
 Seller shall provide Purchaser with executed copies of all material agreements and
documents, and any amendments thereto, as of each Assignment Date relating to Seller’s acquisition of the related Mortgage Servicing Rights and the servicing of the Mortgage Loans assigned. 

Section 8.24 Purchase of Mortgage Servicing Rights. 

Each agreement or arrangement that Seller enters into to purchase Mortgage Servicing Rights shall be entered into on an arm’s length
contractual basis in the ordinary course of business and shall have market terms applicable for the type of Mortgage Servicing Rights to be acquired thereby. Seller shall not enter into any agreement or arrangement with a third party intended to
encourage the refinancing of any Mortgage Loan by any Person other than Seller. 
 ARTICLE IX 

CONDITIONS PRECEDENT TO OBLIGATIONS OF PURCHASER 
 The obligations of Purchaser under this Agreement are subject to the satisfaction of the following conditions as of the Closing Date: 

Section 9.01 Correctness of Representations and Warranties. 

The representations and warranties made by Seller in this Agreement and each other Transaction Document to which Seller is a party to be
made on or prior to the Closing Date are true and correct in all material respects as of the date thereof. 
 Section 9.02
Compliance with Conditions. 
 All of the terms, covenants, conditions and obligations of this Agreement and each
other Transaction Document required to be complied with and performed by Seller on or prior to the Closing Date shall have been duly complied with and performed in all material respects as of the date thereof. 

Section 9.03 Company Resolution. 
 Purchaser shall have received from Seller a certified copy of its company resolution approving the execution and delivery of this Agreement and the other Transaction Documents and the consummation of the
transactions contemplated hereby and thereby, together with such other certificates of incumbency and other evidences of company authority as Purchaser or its counsel may reasonably request. 

  
 36 

 Section 9.04 No Material Adverse Change. 

From the Agreement Date, there shall not have been any change to Seller’s financial or operating condition or in the Mortgage
Servicing Rights, the Mortgage Loans, the Related Escrow Accounts or to Seller’s relationship with, or authority from, the entity formerly known as the Federal Home Loan Mortgage Corporation that in each case will likely materially and
adversely affect the consummation of the transactions contemplated hereby or the Future Excess Servicing Spread. 

Section 9.05 Consents. 
 The Seller shall have obtained all consents, approvals or other requirements of third parties required for the consummation of the transactions contemplated by the Transaction Documents that are to be
obtained on or prior to the Closing Date. 
 Section 9.06 Delivery of Transaction Documents. 

Seller shall have delivered copies of each executed Transaction Document that is to be entered into on or prior to the Closing Date.

 Section 9.07 Certificate of Seller. 

Seller shall have provided Purchaser a certificate, substantially in the form attached hereto as Exhibit D, signed by an
authorized officer of Seller dated as of such date, applicable to the transactions contemplated by this Agreement, to the effect that: (a) each of Seller’s representations and warranties made in this Agreement and each other Transaction
Document to which Seller is a party is true and correct in all material respects as of such date; (b) all of the terms, covenants, conditions and obligations of this Agreement and each other Transaction Document to which Seller is a party that
are required to be complied with and performed by Seller at or prior to the Closing Date have been duly complied with and performed in all material respects; (c) the conditions set forth in Sections 9.04 and 9.05 have been
satisfied and (d) as of the Closing Date, Seller has a Consolidated Tangible Net Worth of at least the sum of (x) $250,000,000 and (y) 50% of the proceeds from any issuance of equity on or after the Agreement Date by Seller,
Nationstar Mortgage Holdings Inc. or any of Seller’s consolidated subsidiaries, and Seller (considered together with its consolidated subsidiaries) is not in default in any indebtedness in excess of $10,000,000 (individually or in the
aggregate). 
 Section 9.08 Opinions of Counsel. 

Seller’s counsel shall have delivered the Opinions of Counsel required pursuant to Section 2.01(b)(v),
Section 2.01(b)(vi) and Section 2.01(b)(vii). 

  
 37 

 Section 9.09 Good Standing Certificate of Seller. 

Seller shall have provided Purchaser a certificate of good standing of Seller, dated as of a date within five (5) Business Days
prior to the Closing Date. 
 ARTICLE X 
 CONDITIONS PRECEDENT TO OBLIGATIONS OF SELLER 
 The obligations of
Seller under this Agreement are subject to the satisfaction of the following conditions as of the Closing Date: 

Section 10.01 Correctness of Representations and Warranties. 

The representations and warranties made by Purchaser in this Agreement to be made on or prior to the Closing Date are true and correct in
all material respects as of the date thereof. 
 Section 10.02 Compliance with Conditions. 

All of the terms, conditions, covenants and obligations of this Agreement required to be complied with and performed by Purchaser on or
prior to the Closing Date shall have been duly complied with and performed in all material respects as of the date thereof. 

Section 10.03 Company Resolution. 
 Seller shall have received from Purchaser a certified copy of its company resolution approving the execution and delivery of this Agreement and the consummation of the transactions contemplated hereby,
together with such other certificates of incumbency and other evidences of company authority as Seller or its counsel may reasonably request. 
 Section 10.04 Reserved. 
 Section 10.05 Certificate
of Purchaser. 
 Purchaser shall have provided Seller a certificate, substantially in the form attached hereto as
Exhibit E, signed by an authorized officer of Purchaser dated as of such date, applicable to the transactions contemplated by this Agreement, to the effect that: (a) each of Purchaser’s representations and warranties made in this
Agreement is true and correct in all material respects as of such date; and (b) all of the terms, covenants, conditions and obligations of this Agreement required to be complied with and performed by Purchaser at or prior to the Closing Date
have been duly complied with and performed in all material respects. 
 Section 10.06 Good Standing Certificate of
Purchaser. 
 Purchaser shall have provided Seller a certificate of good standing of Purchaser, dated as of a date
within five (5) Business Days prior to the Closing Date. 

  
 38 

 ARTICLE XI 
 INDEMNIFICATION 
 Section 11.01 Indemnification by
Seller. 
 (a) Seller shall indemnify, defend and hold Purchaser, its affiliates and its and their respective
directors, managers, officers, employees, agents, representatives and advisors (the “Purchaser Indemnitees”) harmless from and shall reimburse the applicable Purchaser Indemnitee for any Losses suffered or incurred by any Purchaser
Indemnitee after the Agreement Date which result from: 
 (i) Any material breach of a representation or
warranty by Seller, or non-fulfillment of any covenant or obligation of Seller, contained in this Agreement; 

(ii) Any servicing act or omission of any prior servicer relating to any Mortgage Loan and any act or omission of any
party related to the origination of any Mortgage Loan; 
 (iii) Any act, error or omission of Seller in
servicing any of the Mortgage Loans, including improper action or failure to act when required to do so; 
 (iv)
Any exercise of any rights of setoff or other netting arrangements by any Owner against Seller that results in a decrease in Servicing Agreements termination payments due to Seller with respect to the Mortgage Loans from such Owner or in a shortfall
of funds to pay the Future Excess Servicing Spread; and 
 (v) Litigation, proceedings, governmental
investigations, orders, injunctions or decrees resulting from any of the items described in Section 11.01(a)(i)-(iv) above; 

provided, however, that the applicable Purchaser Indemnitee has taken all commercially reasonable and appropriate actions to mitigate any
such losses, damages, deficiencies, claims, causes of action or expenses as reasonably requested by Seller, which such failure of mitigation shall not relieve Seller of its indemnification obligations in this Section 11.01(a) but may
affect the amount of such obligation; and further provided, that any Losses incurred by the Purchaser Indemnitee pursuant to any attempt to mitigate any such losses, damages, deficiencies, claims, causes of action or expenses shall be
reimbursed by Seller as part of its indemnification obligations in this Section 11.01(a). Purchaser shall notify Seller promptly after receiving written notice of the assertion of any litigation, proceedings, governmental investigations,
orders, injunctions, decrees or any third party claims subject to indemnification under this Agreement (each, a “Third Party Claim”). Upon receipt of such notice of a Third Party Claim, Seller shall have the right to assume the
defense of such Third Party Claim using counsel of its choice 

  
 39 

 
reasonably satisfactory to the applicable Purchaser Indemnitee, but may not enter into any settlement without the prior written consent of the applicable Purchaser Indemnitee, which shall not be
unreasonably withheld. A Purchaser Indemnitee shall have the right to select separate counsel and to otherwise separately defend itself at its own expense but shall not consent to the entry of a judgment or enter into any settlement with respect to
the Third Party Claim without the prior written consent of Seller, which consent shall not be unreasonably withheld. Any exercise of such rights by a Purchaser Indemnitee shall not relieve Seller of its obligations and liabilities under this
Section 11.01(a) or any other provision of this Agreement. With respect to any Third Party Claim subject to indemnification under this Agreement, the applicable Purchaser Indemnitee shall be required to cooperate in good faith with
Seller to ensure the proper and adequate defense of such Third-Party Claim. For the avoidance of doubt, Seller’s obligations for Purchaser Indemnitees shall not be limited to funds available in the Third Party Controlled Future Spread Custodial
Account or the Future Spread Reserve Account. 
 (b) REIT Requirements. Notwithstanding anything in
Section 11.01(a), in the event that counsel or independent accountants for the Protected REIT determine that there exists a material risk that any amounts due to Purchaser under Section 11.01(a) hereof would be treated as
Nonqualifying Income upon the payment of such amounts to Purchaser, the amount paid to Purchaser pursuant to this Agreement in any tax year shall not exceed the maximum amount that can be paid to Purchaser in such year without causing the Protected
REIT to fail to meet the REIT Requirements for such year, determined as if the payment of such amount were Nonqualifying Income as determined by such counsel or independent accountants to the Protected REIT. If the amount payable for any tax year
under the preceding sentence is less than the amount which Seller would otherwise be obligated to pay to Purchaser pursuant to Section 11.01 of this Agreement (the “Expense Amount”), then: (1) Seller shall place the
Expense Amount into an escrow account (the “Expense Escrow Account”) using an escrow agent and agreement reasonably acceptable to Purchaser and shall not release any portion thereof to Purchaser, and Purchaser shall not be entitled
to any such amount, unless and until Purchaser delivers to Seller, at the sole option of the Protected REIT, (i) an opinion (an “Expense Amount Tax Opinion”) of the Protected REIT’s tax counsel to the effect that such
amount, if and to the extent paid, would not constitute Nonqualifying Income, (ii) a letter (an “Expense Amount Accountant’s Letter”) from the Protected REIT’s independent accountants indicating the maximum amount
that can be paid at that time to Purchaser without causing the Protected REIT to fail to meet the REIT Requirements for any relevant taxable year, or (iii) a private letter ruling issued by the IRS to the Protected REIT indicating that the
receipt of any Expense Amount hereunder will not cause the Protected REIT to fail to satisfy the REIT Requirements (a “REIT Qualification Ruling” and, collectively with an Expense Amount Tax Opinion and an Expense Amount
Accountant’s Letter, a “Release Document”); and (2) pending the delivery of a Release Document by Purchaser to Seller, Purchaser shall have the right, but not the obligation, to borrow the Expense Amount from the Escrow
Account pursuant to a loan agreement (an “Indemnity Loan Agreement”) reasonably acceptable to Purchaser that (i) requires Seller to lend Purchaser immediately available cash proceeds in an amount equal to the Expense Amount (an
“Indemnity Loan”), and (ii) provides for (A) a commercially reasonable interest rate and commercially reasonable covenants, taking into account the credit standing and profile of Purchaser or any guarantor of Purchaser,
including the Protected REIT, at the time of such Loan, and (B) a 15 year maturity with no periodic amortization. 

  
 40 

 Section 11.02 Indemnification by Purchaser. 

Purchaser shall indemnify, defend and hold Seller, its affiliates and its and their respective directors, managers, officers, employees,
agents, representatives and advisors (the “Seller Indemnitees”) harmless from and shall reimburse the applicable Seller Indemnitee for any Losses suffered or incurred by any Seller Indemnitee which result from: 

(a) Any material breach of a representation or warranty by Purchaser, or non-fulfillment of any covenant or obligation of Purchaser
contained in this Agreement; and 
 (b) Litigation, proceedings, governmental investigations, orders, injunctions or decrees,
the basis for which occurred after the Agreement Date, resulting from any of the items described in Section 11.02(a) above; 

provided, however, that the applicable Seller Indemnitee has taken all commercially reasonable and appropriate actions to mitigate any such
losses, damages, deficiencies, claims, causes of action or expenses as reasonably requested by Purchaser, which such failure of mitigation shall not relieve Purchaser of its indemnification obligations in this Section 11.02 but may
affect the amount of such obligation; and further provided, that any Losses incurred by the Seller Indemnitee pursuant to any attempt to mitigate any such losses, damages, deficiencies, claims, causes of action or expenses shall be
reimbursed by Purchaser as part of its indemnification obligations in this Section 11.02. Seller shall notify Purchaser promptly after receiving written notice of the assertion of any litigation, proceedings, governmental investigations,
orders, injunctions, decrees or any third party claims subject to indemnification under this Agreement (each, a “Third Party Claim”). Upon receipt of such notice of a Third Party Claim, Purchaser shall have the right to assume the
defense of such Third Party Claim using counsel of its choice reasonably satisfactory to the applicable Seller Indemnitee, but may not enter into any settlement without the prior written consent of Purchaser, which shall not be unreasonably
withheld. A Seller Indemnitee shall have the right to select separate counsel and to otherwise separately defend itself but shall not consent to the entry of a judgment or enter into any settlement with respect to the Third Party Claim without the
prior written consent of Purchaser, which consent shall not be unreasonably withheld. Any exercise of such rights by a Seller Indemnitee shall not relieve Purchaser of its obligations and liabilities under this Section 11.02 or any other
provision of this Agreement. With respect to any Third Party Claim subject to indemnification under this Agreement, the applicable Seller Indemnitee shall be required to cooperate in good faith with Purchaser to ensure the proper and adequate
defense of such Third-Party Claim. 
 Section 11.03 Other Rights. 

Seller hereby acknowledges that, in addition to its rights under this Agreement, Purchaser shall be entitled to exercise its rights under
the related Owner Consent. 

  
 41 

 ARTICLE XII 
 MISCELLANEOUS 
 Section 12.01 Costs and Expenses.

 Purchaser and Seller shall each pay the expenses incurred by it or its affiliates pursuant to the Current Spread Agreement in
connection with the transactions contemplated hereby. 
 Section 12.02 Confidentiality. 

Each Party understands that in connection with this transaction, it has been furnished and will be furnished Non-Public Personal
Information and/or Personally Identifiable Financial Information (as those terms are defined in Sections 573.3(n) and (o) of the Office of Thrift Supervision Regulations on Privacy of Consumer Information published at 12 C.F.R. Chapter V
implementing Title V of the Gramm-Leach-Bliley Act), and other information regarding the policies and plans of the other Party and its affiliates that is and has been designated as confidential and proprietary, and each Party agrees that it will
maintain the confidentiality of such information and will not disclose it to others (except for its affiliates and its and their respective directors, managers, officers, employees, financing sources, agents, representatives and advisors), or use it
except in connection with the proposed acquisition contemplated by this Agreement, without the prior written consent of the Party furnishing such information. Information which is generally known in the industry concerning a Party or among such
Party’s creditors generally or which has been disclosed to the other Party by third parties who have a right to do so shall not be deemed confidential or proprietary information for these purposes. If Purchaser, any of its affiliates or any
officer, director, employee or agent of any of the foregoing is at any time requested or required to disclose any information supplied to it in connection with the transactions contemplated hereby, Purchaser agrees to provide Seller with prompt
notice of such request(s) so that Seller may seek an appropriate protective order and/or waive Purchaser’s compliance with the terms of this Section 12.02. If Seller, any of its affiliates or any officer, director, employee or agent
of any of the foregoing is at any time requested or required to disclose any information supplied to it in connection with the transactions contemplated hereby, Seller agrees to provide Purchaser with prompt notice of such request(s) so that
Purchaser may seek an appropriate protective order and/or waive Seller’s compliance with the terms of this Section 12.02. Notwithstanding the terms of this Section 12.02, if, in the absence of a protective order or the
receipt of a waiver hereunder, Purchaser or Seller is nonetheless, in the opinion of its counsel, compelled to disclose information concerning the other Party to any tribunal or else stand liable for contempt or suffer other censure or penalty,
Purchaser or Seller may disclose such information to such tribunal without liability hereunder. If the proposed acquisition is not consummated, each Party agrees to promptly return to the other, promptly upon request, all confidential materials, and
all copies thereof, which have been furnished to it in connection with the transactions contemplated hereby. For the avoidance of doubt, either Party may provide its shareholders and creditors with a general description of this Agreement and any
related transactions, and, subject to the provisions of this Section 12.02, information obtained from the reports provided by Seller pursuant to Section 8.07. 

  
 42 

 Section 12.03 Broker’s Fees. 

Each party hereto represents and warrants to the other that it has made no agreement to pay any finder’s, agent’s,
broker’s or originator’s fee arising out of or in connection with the subject matter of this Agreement, other than Purchaser’s agreement with Phoenix Capital Inc. In the event Purchaser has entered or enters into an agreement to pay
any finder’s, agent’s, broker’s, advisor’s or originator’s fee arising out of or in connection with the subject matter of this Agreement, Purchaser shall be solely responsible for all such fees. The parties hereto shall
indemnify and hold each other harmless from and against any such obligation or liability and any expense incurred in investigating or defending (including reasonable attorneys’ fees) any claim based upon the other party’s actions in
connection with such obligation. 
 Section 12.04 Relationship of Parties. 

The Parties intend that the transactions contemplated in the Transaction Documents constitute arms-length transactions among third
parties. Nothing contained in the Transaction Documents will establish any fiduciary, partnership, joint venture or similar relationship between or among the Parties except to the extent otherwise expressly stated therein. 

Section 12.05 Survival of Representations and Warranties. 

Each party hereto covenants and agrees that the representations and warranties in this Agreement, and in any document delivered or to be
delivered pursuant hereto, shall survive the Agreement Date and each applicable Assignment Date. 
 Section 12.06
Notices. 
 All notices, requests, demands and other communications which are required or permitted to be given
under this Agreement shall be in writing and shall be deemed to have been given if personally delivered or sent by registered or certified mail, return receipt requested, postage prepaid or by prepaid overnight delivery service: 

(a) If to Purchaser, to: 
 Fortress Investment Group 
 1345 Avenue of the Americas 

New York, NY 10105 
 Attn: Brian Sigman 
 Chief Financial Officer 

(212) 479-5343 

  
 43 

 (b) If to Seller, to: 

Nationstar Mortgage LLC 
 350 Highland Drive 
 Lewisville, Texas 75067 

Attn: Amar Patel 
 or to such other address as Purchaser or Seller shall have specified in writing to the other. 
 Section 12.07 Waivers. 
 Either Purchaser or Seller may, by
written notice to the other: 
 (a) Extend the time for the performance of any of the obligations or other transactions of the
other; and 
 (b) Waive compliance with or performance of any of the terms, conditions, covenants or obligations required to be
complied with or performed by the other hereunder. 
 The waiver by Purchaser or Seller of a breach of any provision of this
Agreement shall not operate or be construed as a waiver of any other subsequent breach. 
 Section 12.08 Entire
Agreement; Amendment. 
 This Agreement and the related Transaction Documents constitute the entire agreement between
the parties with respect to the transactions contemplated hereby and supersede all prior agreements with respect thereto. This Agreement may be amended only in a written instrument signed by both Seller and Purchaser. 

Section 12.09 Binding Effect. 
 This Agreement shall inure to the benefit of and be binding upon the Parties and their successors and assigns. Nothing in this Agreement, express or implied, is intended to confer on any Person other than
the Parties and their successors and assigns, any rights, obligations, remedies or liabilities. 
 Section 12.10
Headings. 
 Headings on the Articles and Sections in this Agreement are for reference purposes only and shall not
be deemed to have any substantive effect. 
 Section 12.11 Applicable Law. 

This Agreement 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 the laws of the State of New York, except to the extent preempted by Federal law. This Agreement shall constitute a security agreement under the laws of the State of New York. In addition to
any other rights available under this Agreement or otherwise available at law or in equity but subject to the terms hereof, Purchaser shall have all rights and remedies of a 

  
 44 

 
secured party with respect to the Collateral under the laws of the State of New York and under any other applicable law to enforce the assignments and security interests contained herein and, in
addition, shall have the right, subject to compliance with any mandatory requirements of applicable law and the terms of this Agreement, to sell or apply any rights and other interests with respect to the Collateral assigned or pledged hereby in
accordance with the terms hereof at public and private sale in accordance with the terms of this Agreement. The parties agree to waive trial by jury in the event of any dispute under this Agreement. 

Section 12.12 Incorporation of Exhibits. 
 The Exhibits attached hereto shall be incorporated herein and shall be understood to be a part hereof as though included in the body of this Agreement. 

Section 12.13 Counterparts. 
 This Agreement may be executed in counterparts, each of which, when so executed and delivered, shall be deemed to be an original and all of which, taken together, shall constitute one and the same
agreement. 
 Section 12.14 Severability of Provisions. 

If any one or more of the covenants, agreements, provisions or terms of this Agreement shall be for any reason whatsoever held invalid,
then such covenants, agreements, provisions or terms shall be deemed severable from the remaining covenants, agreements, provisions or terms of this Agreement and shall in no way affect the validity or enforceability of the other provisions of this
Agreement or of the rights of the parties hereto. 
 Section 12.15 Assignment. 

(a) Seller may not assign, transfer, sell or subcontract all or any part of this Agreement, any interest herein, or any of the
Seller’s interest in the Servicing Spread Collections, other than the interest in the Total Servicing Spread sold hereby, without the prior written consent of Purchaser, provided that any successor to Seller must assume Seller’s
obligations under this Agreement. Purchaser shall have the unrestricted right to further assign, transfer, deliver, hypothecate, pledge, subdivide or otherwise deal with its rights under this Agreement on whatever terms Purchaser shall determine
without the consent of Seller; including the right to assign all or any portion of the Future Excess Servicing Spread and to assign Future Excess Servicing Spread Rights. If Purchaser assigns any rights under this Agreement to a third party (a
“Third Party Assignment”), such third party (a “Third Party Assignee”) shall enter into a new agreement (a “Third Party Future Spread Agreement”) with Seller or Seller’s assignee that provides
such Third Party Assignee with the same rights with respect to the Future Excess Servicing Spread Rights that Purchaser would have had under this Agreement if the Third Party Assignment had not occurred. 

(b) Seller shall maintain a register on which it enters the name and address of each holder of the Future Excess Servicing Spread and
each holder’s interest in the 

  
 45 

 
Future Excess Servicing Spread (the “Holder Register”) for each transaction described in Section 12.15(a). The entries in the Holder Register shall be conclusive
absent manifest error, and Seller shall treat each Person whose name is recorded in the Holder Register as an owner of the Future Excess Servicing Spread for all purposes of this Agreement notwithstanding any notice to the contrary. 

Section 12.16 Termination. 
 If the Current Spread Agreement is terminated on or prior to the Closing Date, this Agreement shall terminate and neither Party shall have any further obligations to the other Party hereunder, except
as expressly set forth herein. 
 Section 12.17 Third Party Beneficiaries. 

This Agreement does not and is not intended to confer any rights or remedies upon any person or entity other than Purchaser and Seller,
except as provided in Section 11.01 and in Section 11.02, provided that Purchaser and Seller reserve the right to modify any term of, or terminate, this Agreement, without the consent of any Purchaser Indemnitee or Seller Indemnitee.

  
 46 

 IN WITNESS WHEREOF, each of the undersigned parties to this Agreement has caused this
Agreement to be duly executed in its company name by one of its duly authorized officers, all as of the date first above written. 
  

			
	NIC MSR III LLC
	Purchaser
		
	By:	 	 /s/ Brian Sigman

	Name:	 	Brian Sigman
	Title:	 	Chief Financial Officer
	
	NATIONSTAR MORTGAGE LLC
	Seller
		
	By:	 	 /s/ Amar Patel

	Name:	 	Amar Patel
	Title:	 	Executive Vice President

 Future Spread Agreement for FHLMC Mortgage Loans 

 EXHIBIT A 

FORM OF ASSIGNMENT AGREEMENT FOR MORTGAGE LOANS 
 Subject to, and upon the terms and conditions of the Future Spread Agreement for FHLMC Mortgage Loans, dated as of [            ] (the
“Agreement”), by and between Nationstar Mortgage LLC, a Delaware limited liability company (together with its successors and assigns, the “Seller”) and NIC MSR III LLC, a Delaware limited liability company (together
with its successors assigns, the “Purchaser”), as may be amended, restated, or otherwise modified and in effect from time to time, Seller hereby assigns, transfers and delivers to Purchaser all of Seller’s right, title and
interest in and to Future Excess Servicing Spread for each of the Mortgage Loans set forth in Annex A attached hereto and all proceeds thereof, and agrees that as of the applicable Assignment Date, the applicable Mortgage Loan shall be deemed to be
a “Mortgage Loan” for all purposes of the Agreement. Capitalized terms used in this Assignment Agreement have the meanings given to such terms in, or incorporated by reference into, the Agreement. 

In the event (but only in the event) that the conveyance of the Future Excess Servicing Spread is characterized by a court or
governmental authority as security for a loan rather than a sale, Seller will be deemed to have granted to Purchaser, and Seller hereby grants to Purchaser, a security interest in all of its right, title and interest in, to and under the Future
Excess Servicing Spread and all proceeds thereof as security for a loan in an amount of the Purchase Price. 
 All of the terms,
covenants, conditions and obligations of the Agreement required to be complied with and performed by Seller on or prior to the date hereof have been duly complied with and performed in all material respects. 

 

			
	 NATIONSTAR MORTGAGE LLC

	 Seller

		
	 By:
	 	  

	 Name:
	 	  

	 Title:
	 	  

 Annex A 
 [ATTACH ANNEX A, WHICH MAY BE ON COMPUTER TAPE, COMPACT DISK, OR MICROFICHE, 

CONTAINING THE INFORMATION SET FORTH BELOW] 
  

																	
	 (a)
	  	(b)	  	(c)	  	(d)	  	(e)	  	(g)	  	(h)	  	(i)
(column (g) –
column (h))	  	(j)
([    ]% of 
column
(i))
	 Refinancing Date
	  	Loan # of
Refinanced
Mortgage
Loan	  	Principal
Balance of
Refinanced
Mortgage
Loan	  	Loan # of
Mortgage
Loan	  	Principal
Balance of
Mortgage
Loan as of the
Assignment
Date	  	Servicing
Fee Rate	  	Base Servicing
Fee Rate	  	Net Servicing
Fee Rate	  	Future Excess
Servicing Spread
		  		  		  		  		  		  		  		  	
		  		  		  		  		  		  		  		  	
		  		  		  		  		  		  		  		  	
		  		  		  		  		  		  		  		  	
		  		  		  		  		  		  		  		  	
		  		  		  		  		  		  		  		  	

 EXHIBIT B 

Example of calculations of Maximum Retained Refinancing Loan Amounts 

 

			
	 Recaptured Loan
Incentive

	3 Month Avg
Recapture	  	Retained
Percentage(1)
	35% or Less	  	0%
	> 35%, <= 40%	  	25%
	> 40%, <= 45%	  	30%
	> 45%, <= 50%	  	35%
	> 50%, <= 55%	  	40%
	> 55%, <= 60%	  	45%
	> 60%, <= 65%	  	50%
	> 65%, <= 70%	  	50%
	> 70%, <= 75%	  	50%
	Greater than 75%	  	50%

 

			
	 Range of Loans Retained as a Percentage
of
 Total Recapture

	Nationstar	  	Portfolio
	0.00%	  	100.00%
	0.00% to 1.25%	  	100.00% to 98.75%
	1.50% to 3.00%	  	98.50% to 97.00%
	3.50% to 5.25%	  	96.50% to 94.75%
	6.00% to 8.00%	  	94.00% to 92.00%
	9.00% to 11.25%	  	91.00% to 88.75%
	12.50% to 15.00%	  	87.50% to 85.00%
	15.00% to 17.50%	  	85.00% to 82.50%
	17.50% to 20.00%	  	82.50% to 80.00%
	20.00% to 32.50%	  	80.00% to 67.50%

 
 

  

	1 	 Represents the percentage of loans Seller retains above 35% recapture. 

 EXHIBIT C 

SCHEDULE OF MORTGAGE LOANS 
 [SEPARATELY DELIVERED] 

 EXHIBIT D 

SELLER’S OFFICER’S CERTIFICATE 
 (To be supplied on the Closing Date) 
 Date:
[            ] 
 I,
                                        , a [Vice
President] of Nationstar Mortgage LLC (the “Company”), pursuant to Section 9.07 of the Future Spread Agreement for FHLMC Mortgage Loans by and between NIC MSR III LLC and the Company, dated as of
[            ] (the “Agreement”), hereby certify on behalf of the Company that: 
 (i) Each of the Company’s representations and warranties made in the Agreement and each other Transaction Document (as defined in the Agreement) to which the Company is a party is true and correct in
all material respects as of the date hereof; 
 (ii) All of the terms, covenants, conditions and obligations of
the Agreement and each other Transaction Document to which the Company is a party required to be complied with and performed by the Company at or prior to the date hereof have been duly complied with and performed in all material respects;

 (iii) The conditions set forth in Sections 9.04 and 9.05 of the Agreement have been
satisfied; and 
 (iv) As of the date hereof, the Company has a Consolidated Tangible Net Worth (as defined in
the Agreement) of at least the sum of (x) $250,000,000 and (y) 50% of the proceeds from any issuance of equity on or after the Agreement Date by Seller, Nationstar Mortgage Holdings Inc. or any of Seller’s consolidated subsidiaries,
and Seller (considered together with its consolidated subsidiaries) is not in default in any indebtedness in excess of $10,000,000 (individually or in the aggregate). 
 IN WITNESS WHEREOF, the undersigned has executed this Certificate as of the date first above written. 
  

			
	By:	 	  

 EXHIBIT E 

PURCHASER’S OFFICER’S CERTIFICATE 
 (To be supplied on the Closing Date) 
 Date:
[            ] 
 I,
                    , [POSITION] of NIC MSR III LLC (the “Company”), pursuant to Section 10.05 of the Future Spread Agreement
for FHLMC Mortgage Loans by and between the Company and Nationstar Mortgage LLC, dated as of [            ] (the “Agreement”), hereby certify on behalf of the Company that:

 (i) Each of the Company’s representations and warranties made in the Agreement is true and correct in all material
respects as of the date hereof; and 
 (ii) All of the terms, covenants, conditions and obligations of the Agreement required to
be complied with and performed by the Company at or prior to the date hereof have been duly complied with and performed in all material respects. 
 IN WITNESS WHEREOF, the undersigned has executed this Certificate as of the date first above written. 
  

			
	NIC MSR III LLC
		
	By:	 	  

 EXHIBIT F 

LOCATION OF CREDIT FILES 

Credit Filed held by Seller: 

350 Highland Drive 
 Lewisville, Texas 75067 
 Credit Files held by other Custodians: 

To be provided by Seller 

 EXHIBIT G 

FORM OF SUMMARY REMITTANCE REPORT 
 [SEPARATELY DELIVERED] 

 EXHIBIT H 

FORM OF DELINQUENCY REPORT 
 [SEPARATELY DELIVERED] 

 EXHIBIT I 

FORM OF DISBURSEMENT REPORT 
 [SEPARATELY DELIVERED] 

 EXHIBIT J 

SELLER JURISDICTIONS AND RECORDING OFFICES 
 Chief Executive Office: 
 350 Highland Drive 

Lewisville, Texas 75067 

Recording Office: 
 Secretary of
State, State of DelawareExhibit 10.1

 Exhibit 10.1 
 RETIREMENT AGREEMENT 
 This Retirement Agreement (the
“Agreement”) is made as of June 6, 2012, by and between Jay L. Johnson (the “Executive”) and General Dynamics Corporation (the “Company”) (together, the “Parties”).

 WHEREAS, the Executive is currently employed by the Company and serves as its Chairman and Chief Executive Officer;

 WHEREAS, the Executive would like to retire from his position effective as of December 31, 2012; 

WHEREAS, the Company desires to facilitate an orderly transition of the Executive’s responsibilities, and to retain the benefit of
the Executive’s knowledge, judgment, and expertise until the end of the current calendar year and for a fixed consulting period immediately following his retirement; 
 WHEREAS, the Executive and the Company wish to confirm the terms under which the Executive will transition into retirement, and the employment relationship between the Parties will end; 

NOW, THEREFORE, in consideration of the mutual covenants set forth herein and for other good and valuable consideration, receipt of which
is hereby acknowledged, the Executive and the Company hereby agree as follows: 
 1. Retirement. Effective as of December 31, 2012
(the “Retirement Date”), the Executive hereby resigns his position as Chairman and Chief Executive Officer of the Company and all other positions, titles, duties, authorities, and responsibilities with, arising out of, or relating
to the Executive’s employment with the Company and its affiliates. The Executive further agrees to execute all additional documents and take such further steps as may be required to effectuate such resignation. By mutual agreement, the
employment relationship between the Executive and the Company and its affiliates shall terminate effective as of the Retirement Date. 
 2.
Payments and Benefits. 
 (a) Base Salary. From the date of this Agreement through and including the Retirement
Date, the Executive will continue to receive an annual base salary of $1,650,000, to be paid in regular installments in accordance with the Company’s general payroll practices as in effect from time to time. 

(b) Annual Bonus. The Executive will receive a cash bonus in the amount of $3,600,000, in respect of his services during the
calendar year 2012 (the “Annual Bonus”). The Annual Bonus will be administered in a manner consistent with past practice and, provided that the Executive does not voluntarily terminate his employment prior to the Retirement Date,
shall be paid in cash at the same time and in the same manner as annual bonuses are paid to other executives of the Company and in no event later than March 15, 2013. 
 (c) Accrued Obligations. On the first regular payroll date following the Retirement 

 
Date, the Company shall pay the Executive all base salary earned but unpaid as of the Retirement Date and all vacation earned but not used prior to the Retirement Date. 

(d) Benefits Participation and Continued Insurance Coverage. As of the Retirement Date, the Executive shall cease to be an active
participant in the benefit plans and programs offered by the Company to its employees and executives, with the sole exception that the Executive may continue to receive the benefits, insurance, and perquisites set forth in this Agreement.

 (i) Medical, Dental and Vision Insurance. During the period beginning on January 1, 2013 and ending on
December 31, 2013, the Executive and his eligible dependents may continue to participate in the Company’s medical, dental, and vision insurances in which they participate immediately before the Retirement Date at the active employee rate
for such coverage as in effect from time to time. Such coverage shall cease on December 31, 2013, at which time the Executive may elect to continue medical, dental and vision insurance coverage for himself and his eligible dependents, at the
Executive’s cost, to the extent provided in, and subject to the applicable terms and conditions of, Section 4980B of the Internal Revenue Code of 1986, as amended (the “Code”) and Section 601 of the Employee
Retirement Income Security Act of 1974, as amended (which provisions are commonly known as “COBRA”). All coverage will be subject to any plan amendments or changes that are made in plan design, coverage, offerings, premiums,
deductibles, co-pays or plan administration during the relevant time period. 
 (ii) Life Insurance. Subject to the
Executive providing the consulting services required by the Consulting Agreement attached hereto as Schedule C through the end of the Consulting Period (as defined in Schedule C), the Company will continue to provide the executive with taxable life
insurance benefits at the level elected by the Executive under the Company’s policies, not to exceed two times the Executive’s final annual base salary. Commencing on July 1, 2013, the Company will provide the Executive with taxable
life insurance benefits for life at the level elected by the Executive under the Company’s policies, not to exceed two times the Executive’s final annual base salary. The taxable life insurance benefits provided to the Executive pursuant
to this Section 2(d)(ii) are subject to a reduction factor in accordance with the Company’s policies in effect from time to time until the Executive reaches age seventy (70), at which time the amount of the benefits will be fixed at
twenty-five percent (25%) of the original amount elected by the Executive. The insurance will be provided at no cost to the Executive, except for taxation for imputed income. 

(iii) Liability Insurance. The Executive may continue his personal liability insurance coverage in effect as of the date of this
Agreement for life at the rate in effect from time to time for then-current executives of the Company. 
 (iv) D&O
Insurance. After the Retirement Date, the Executive will continue to receive directors’ and officers’ insurance coverage for his service as an officer or director of the Company under the Company’s directors’ &
officers’ insurance policies in amounts of coverage and terms and conditions at least as favorable as the amounts of coverage and terms and conditions applicable to the Company’s then current directors and officers. 

(e) Outstanding Equity Awards. The Executive has been granted shares of restricted

  
 2 

 
stock (the “Restricted Stock”), performance restricted stock units (the “Performance RSUs”) and stock options (the “Stock Options”) pursuant to
the General Dynamics Corporation 2009 Equity Compensation Plan. The Restricted Stock, Performance RSUs and Stock Options that are outstanding as of the date of this Agreement are listed on Schedule A to this Agreement; such awards will be treated as
follows, notwithstanding anything in the applicable award agreements to the contrary. 
 (i) Restricted Stock. All
vesting restrictions applicable to shares of Restricted Stock will lapse as of the Retirement Date and such shares will become fully vested and will no longer be subject to forfeiture. Such shares will be delivered to the Executive on the scheduled
delivery dates described in the applicable award agreements and set forth on Schedule A hereto. 
 (ii) Performance RSUs.
With respect to the Performance RSUs granted to the Executive on March 7, 2012, the Executive will vest in the Earned Performance RSUs and the Earned Dividend Equivalent RSUs (each as defined in the award agreement) as of the Retirement Date
and such Earned Performance RSUs and Earned Dividend Equivalent RSUs, along with the additional Dividend Equivalent RSUs (as defined in the award agreement) credited thereon prior to the scheduled settlement date, will be settled in shares of the
Company’s common stock on the scheduled settlement date described in the award agreement and set forth on Schedule A hereto. 
 (iii) Stock Options. All previously granted Stock Options, whether vested or unvested as of the date hereof, will become and remain exercisable until the earlier to occur of (x) the original
expiration date of the Stock Options (as described in the applicable award agreements and set forth on Schedule A hereto) or (y) four (4) years from the Retirement Date. 

(iv) Award Agreements. Except to the extent modified by the foregoing provisions of this Section 2(e), the provisions of the
applicable award agreements shall continue to apply to the Restricted Stock, Performance RSUs, and Stock Options, including without limitation any provision regarding adjustment of an award following a Performance Period, concerning the consequences
upon termination of employment prior to the Retirement Date, or providing for forfeiture of an applicable award by the Executive in the event that the Executive causes “Harm” to the Company. Notwithstanding the foregoing, for purposes of
all applicable award agreements, the term “Harm” shall not have the meaning set forth in each such applicable award agreement, but rather solely shall mean a material breach by the Executive of Section 3 below, which is not cured
following written notice of such breach by the Company and a reasonable opportunity to cure the breach. 
 (f)
Automobile. On or before the Retirement Date, the Executive will be allowed to purchase the automobile being provided by the Company to the Executive by paying the lease option purchase amount. 

(g) Supplemental Savings and Stock Investment Plan. The Executive’s account under the General Dynamics Corporation
Supplemental Savings and Stock Investment Plan (the “Supplemental SSIP”) shall continue to be subject in all respects to the terms and conditions of the Supplemental SSIP, including, without limitation, the terms and conditions of
the Supplemental SSIP applicable to the time and form of payment of the balance of the Executive’s 

  
 3 

 
account. 
 (h) Tax Planning and Preparation. Promptly following
the Executive’s presentation of reasonable supporting documentation therefor, the Company will reimburse the Executive for income tax planning and tax return preparation expenses in an amount of up to $5,000 per year for expenses accrued in
calendar year 2013 and up to $5,000 for expenses accrued in calendar year 2014. 
 (i) Withholding. The Company may
withhold from any amounts payable to the Executive hereunder all federal, state, city or other taxes that the Company may reasonably determine are required to be withheld pursuant to any applicable law or regulation (it being understood that the
Executive shall be responsible for payment of all taxes in respect of the payments and benefits provided herein). 
 3. Restrictive
Covenants. 
 In consideration of the favorable treatment on equity awards and the other benefits set forth in Section 2
above, the Executive agrees to undertake and comply with the following covenants: 
 (a) Non-Competition. From the
present until the end of the Consulting Period, the Executive shall not manage, control, operate, advise or assist, provide services to, be employed by, or be connected in any manner with the ownership, management, operation, or control of, any of
the entities identified on Schedule B hereto (each, a “Competitor”), or any subsidiary or affiliate of those entities, whether directly or indirectly, as an individual on his own account, or as a partner, member, joint venturer,
officer, director, investor, shareholder, or otherwise; provided that the Executive may own, directly or indirectly, solely as a passive investment, securities of any Competitor (i) that are traded on any national securities exchange if
the Executive is not a controlling person of, or a member of a group which controls, such entity and does not, directly or indirectly, own one percent (1%) or more of any class of securities of such Competitor or (ii) that are owned by a
mutual fund, hedge fund or similar investment vehicle. 
 (b) Non-Solicitation. From the present until the end of the
Consulting Period, the Executive shall not, directly or indirectly, whether for compensation or not, (i) solicit, hire or assist any other person or entity in soliciting or hiring any employee of the Company or its affiliates to perform
services for any entity (other than the Company or any of its affiliates), or attempt to induce any such employee to leave the employ of the Company or any of its affiliates (provided, that nothing in this Section 3(b)(i) shall be deemed to
prohibit general solicitations for employment through advertisements or other means that may be seen by employees of the Company or its affiliates); or (ii) solicit or assist any other person or entity in soliciting or attempting to solicit any
client, customer, supplier or distributor, or prospective client, customer, supplier or distributor, of the Company or its affiliates to reduce, terminate or otherwise modify, interfere with or diminish its relationship with the Company or any of
its affiliates. 
 4. Indemnification 
 (a) Rights of Indemnification. The Company hereby agrees and acknowledges that the Executive is, and shall continue to be, entitled to indemnification and reimbursement in

  
 4 

 
accordance with Article Twelfth of its Restated Certificate of Incorporation, which was adopted on October 6, 2004 (the “Current Certificate”). The Company further agrees
that in the event that the Executive is, by reason of the fact that the Executive is or was an officer or director of the Company (including, without limitation, in connection with his performance of services pursuant to the Consulting Agreement),
made a party, or is required or at the request of the Company becomes a witness or other non-party participant, in any Claim, Action, Suit or Proceeding (within the meaning of the Current Certificate), the Executive shall be entitled to the fullest
rights to indemnification and advancement of expenses permitted by applicable law as in effect from time to time. In furtherance, and not in limitation of the preceding sentence, if there is an amendment to the Company’s bylaws or certificate
of incorporation that provides any greater right to indemnification or advancement than the rights to indemnification and advancement that the Executive possesses under the Current Certificate, as modified by this Section 4(a), or if the
Company enters into any contract or other agreement with any individual that provides any greater right to indemnification or advancement than the rights to indemnification and advancement that the Executive possesses under the Current Certificate,
as modified by this Section 4(a), in any such event, the Executive shall be deemed to have such greater right and this Agreement shall be deemed to have been amended to provide for such greater right. 

(b) Attorneys Fees and Costs. In the event that any action is instituted by the Executive to enforce or interpret any of the
Executive’s rights to indemnification or advancement, and the Executive is the prevailing party in such action, the Executive shall be entitled to be paid all costs and expenses, including without limitation attorneys fees, incurred by the
Executive with respect to such action. 
 5. Confidentiality and Intellectual Property. 

(a) Confidential Information. After the Retirement Date, the Executive agrees that he will not use, disclose, divulge, furnish or
make available to any person any confidential or proprietary information concerning the Company or its affiliates, including without limitation any confidential or proprietary information concerning the operations, plans or methods of doing business
of Company or its affiliates (the “Confidential Information”); provided, that the term “Confidential Information” shall not include such information which is or becomes generally available to the public other
than as a result of unauthorized or improper disclosure by the Executive. Notwithstanding the foregoing, the Executive may disclose Confidential Information to the extent he is compelled to do so by lawful service of process, subpoena, court order,
or as he is otherwise compelled to do by law or the rules or regulations of any regulatory body or governmental agency or instrumentality to which he is subject, including full and complete disclosure in response thereto, in which event he agrees
(unless prohibited by law) to provide the Company with a copy of the documents seeking disclosure of such information promptly upon receipt of such documents and prior to their disclosure of any such information, so that the Company may, upon notice
to the Executive, take such action as the Company deems appropriate in relation to such subpoena or request and the Executive (unless otherwise compelled to do so by lawful service of process, subpoena, court order, or by law or the rules or
regulations of any regulatory body or governmental agency or instrumentality) may not disclose any such information until the Company has had the opportunity to take such action. The Executive agrees that he will return to the Company not later than
the Retirement Date all 

  
 5 

 
Confidential Information in whatever form (including computer files and other electronic data) in his possession and will cease using such information as of such date, except to the extent such
information is retained or used, respectively, in the good faith performance of services for the Company pursuant to the Consulting Agreement. 
 (b) Intellectual Property. After the Retirement Date, the Executive agrees that all writing or other works subject to copyright and, whether patentable or not, every invention, discovery,
improvement, device, design, apparatus, practice, process, method or product (each of which is hereinafter called an “invention”), created, written, made, developed, perfected, devised, conceived or first reduced to practice by the
Executive, either solely or in collaboration with others during the period of his employment by the Company and its affiliates, whether or not during regular working hours, relating in any way to the business, products, developments or activities of
the Company and its affiliates, are the sole and exclusive property of the Company and its affiliates. To the extent that the Company and its affiliates or the Executive was, is or will be involved in agreements or arrangements with the United
States Government or agencies or instrumentalities thereof, the Executive agrees that he was, is and will be bound by all obligations, restrictions, and limitations imposed by contract, law or regulation, applicable to any invention conceived or
developed, or to any writing or other work acquired, written or produced by the Executive during the period of his employment with the Company and its affiliates, and shall take all action which may be required to discharge such obligations and to
comply with such restrictions and limitations. 
 (c) Termination of Prior Agreements. From the date of this Agreement to
and including the Retirement Date, any and all agreements to which the Executive is subject regarding confidentiality, trade secrets, or intellectual property, including without limitation that certain Invention, Copyright and Secrecy Agreement and
that certain Private and Proprietary Information Agreement executed by the Executive on September 2, 2008 (collectively, the “Prior Agreements”), shall continue in full force and effect. As of the day after the Retirement Date
the Prior Agreements shall be terminated and shall be of no further force or effect. 
 6. General Provisions 

(a) Disputes. Any dispute, controversy, or claim arising out of or in connection with the employment relationship between the
Parties or the termination of that relationship or arising out of or in connection with this Agreement, including any question regarding the existence, validity or termination of this Agreement, other than a dispute, controversy or claim with
respect to the Executive’s indemnification or advancement rights, shall be finally resolved by arbitration under the rules of the American Arbitration Association in force as of the date of this Agreement, which rules are deemed to be
incorporated by reference into this clause. The place of arbitration shall be Fairfax County, Virginia. Any determination by the Company that the Executive is not entitled to indemnification or advancement (including, without limitation, any
determination pursuant to Section 2 of Article Twelfth of the Current Certificate) may be challenged by the Executive in the Federal or state courts of Delaware. In the event that the Company shall breach its obligation to advance expenses in
accordance with Section 4(a), above, the parties hereto agree that the Executive’s remedies available at law would not be adequate and that the Executive shall be entitled to the remedies of specific performance and injunctive relief to
enforce such obligation of the Company. 

  
 6 

 (b) Complete Agreement. This Agreement, Schedules A, B, and C to this Agreement, and
the Severance Protection Agreement between the Company and the Executive dated December 15, 2008 (which agreement shall remain in full force and effect in accordance with its terms, such that payments pursuant to this Agreement and the
Consulting Agreement would be considered in determining any obligation of the Company pursuant to Section 5 thereof) constitute the entire understanding of the Company and the Executive with respect to the subject matter hereof and together
supersede all prior understandings, written or oral except to the extent of any provision expressly incorporated herein. Neither of the Parties is executing this Agreement in reliance upon any statement or representation not expressly set forth or
incorporated herein. 
 (c) Amendment; Waiver. The terms of this Agreement may be changed, modified or discharged only by
an instrument in writing signed by the parties hereto. A failure of the Company or the Executive to insist on strict compliance with any provision of this Agreement shall not be deemed a waiver of such provision or any other provision hereof.

 (d) Construction of Agreement. Each party has negotiated the terms and provisions of this Agreement and has had the
opportunity to contribute to its revision. The terms of this Agreement shall be construed fairly and evenly as to both parties hereto and not in favor or against either party based on the characterization of one or the other as the drafting party.

 (e) Choice of Law. This Agreement shall be construed, enforced and interpreted in accordance with and governed by the
laws of the Commonwealth of Virginia (except as to matters pertaining to the Executive’s rights with respect to indemnification and advancement, and the enforcement of such rights, which shall be construed, enforced and interpreted in
accordance with and governed by the laws of the State of Delaware), without regard to its choice of law principles. 
 (f)
Successors and Assigns. This Agreement is binding upon, and shall inure to the benefit of, the parties and their respective heirs, successors and assigns, it being acknowledged and agreed that the obligation of the Executive to provide
personal services to the Company shall not be assignable by him. 
 (g) Section 409A. The intent of the Parties is
that any payments and benefits under this Agreement that are subject to Section 409A of the Code comply with the requirements of Section 409A of the Code and any related regulations and other guidance promulgated with respect to such
Section by the U.S. Department of the Treasury or the Internal Revenue Service. Accordingly, to the maximum extent permitted, this Agreement shall be interpreted and administered in compliance therewith. All expense reimbursements paid pursuant to
this Agreement that are taxable income to the Executive shall in no event be paid later than the end of the calendar year next following the calendar year in which the Executive incurs such expense. With regard to any provision herein that provides
for reimbursement of costs and expenses or in-kind benefits, except as permitted by this Agreement and Section 409A of the Code, the right to reimbursement or in-kind benefits shall not be subject to liquidation or exchange for another benefit
and the amount of expenses eligible for reimbursement, or in-kind benefits provided, during any taxable year shall not affect the expenses eligible for reimbursement, or in-kind benefits to be provided, in any other taxable year. For purposes of
applying the provisions of 

  
 7 

 
Section 409A of the Code to this Agreement, each separately identified amount to which the Executive is entitled under this Agreement shall be treated as a separate payment. In addition, to
the extent permissible under Section 409A of the Code, any series of installment payments under this Agreement shall be treated as a right to a series of separate payments. 
 IN WITNESS WHEREOF, the parties hereto have duly caused this Agreement to be executed as of the dates and years indicated below. 

 

			
	GENERAL DYNAMICS CORPORATION:
		
	By:	 	 /S/ WALTER M. OLIVER

	 Walter M. Oliver, Senior Vice President
 Human Resources & Administration

		
	Date:	 	 June 6, 2012

	
	EXECUTIVE:
	
	 /S/ JAY L. JOHNSON

	Jay L. Johnson
		
	Date:	 	 June 6, 2012

  
 8 

 SCHEDULE A 

Outstanding Equity Awards 

 Jay L. Johnson Executive Compensation Stock Plan Analysis 

Retirement Treatment 
 Based
on December 31, 2012 Retirement Date 
 As of June 6, 2012 

Restricted Stock Outstanding: 
  

				Expiration Date				Expiration Date			Expiration Date		Expiration Date		Expiration Date
	 Grant Date
	  	Shares/Units	 	  	Grant Price	 	  	Release Date	  	 Comments

	3/4/2009	  	 	72,500	  	  	$	40.09	  	  	1/2/2013	  	 Release on January 2, 2013

					
	3/3/2010	  	 	40,800	  	  	$	73.49	  	  	1/2/2014	  	 Release on January 2, 2014

					
	3/2/2011	  	 	47,120	  	  	$	74.81	  	  	1/2/2015	  	 Release on January 2, 2015

					
	3/7/2012	  	 	43,430	  	  	$	71.01	  	  	1/4/2016	  	 Release on January 4, 2016

Performance Restricted Units Outstanding: 
  

				Expiration Date				Expiration Date			Expiration Date		Expiration Date		Expiration Date		Expiration Date
	 Grant Date
	  	Units	 	  	Grant Price	 	  	Release Date	  	 Comments
	  	 
	3/7/2012	  	 	43,430	  	  	$	71.01	  	  	1/4/2016	  	Release on January 4, 2016	  	 Subject to Performance Adjustment before lock in

Stock Options Outstanding: 

				Expiration Date			Expiration Date			Expiration Date			Expiration Date		Expiration Date		Expiration Date
	 Grant Date
	  	Options	 	  	Option Type	  	Option Price	 	  	Vest Date	  	Original
Expiration Date	  	 Comments

	3/5/2008	  	 	3,300	  	  	NQ	  	$	82.78	  	  	3/5/2009	  	3/4/2013	  	
	3/5/2008	  	 	3,300	  	  	NQ	  	$	82.78	  	  	3/5/2010	  	3/4/2013	  	
		  	  
	  
	 	  		  				  		  		  	
		  	 	6,600	  	  		  				  		  		  	
							
	9/2/2008	  	 	80,427	  	  	NQ	  	$	93.13	  	  	9/2/2009	  	9/1/2013	  	
	9/2/2008	  	 	1,073	  	  	ISO	  	$	93.13	  	  	9/2/2009	  	9/1/2013	  	
	9/2/2008	  	 	80,427	  	  	NQ	  	$	93.13	  	  	9/2/2010	  	9/1/2013	  	
	9/2/2008	  	 	1,073	  	  	ISO	  	$	93.13	  	  	9/2/2010	  	9/1/2013	  	
		  	  
	  
	 	  		  				  		  		  	
		  	 	163,000	  	  		  				  		  		  	
							
	3/4/2009	  	 	0	  	  	NQ	  	$	40.09	  	  	3/4/2010	  	3/3/2014	  	
	3/4/2009	  	 	0	  	  	ISO	  	$	40.09	  	  	3/4/2011	  	3/3/2014	  	
	3/4/2009	  	 	0	  	  	NQ	  	$	40.09	  	  	3/4/2011	  	3/3/2014	  	
		  	  
	  
	 	  		  				  		  		  	
		  	 	0	  	  		  				  		  		  	
							
	3/3/2010	  	 	199,550	  	  	NQ	  	$	73.49	  	  	3/3/2011	  	3/2/2015	  	
	3/3/2010	  	 	1,360	  	  	ISO	  	$	73.49	  	  	3/3/2012	  	3/2/2015	  	
	3/3/2010	  	 	198,190	  	  	NQ	  	$	73.49	  	  	3/3/2012	  	3/2/2015	  	
		  	  
	  
	 	  		  				  		  		  	
		  	 	399,100	  	  		  				  		  		  	
							
	3/2/2011	  	 	225,235	  	  	NQ	  	$	74.81	  	  	3/2/2012	  	3/1/2018	  	 Adjust Expiration Date to December 31, 2016

	3/2/2011	  	 	225,235	  	  	NQ	  	$	74.81	  	  	3/2/2013	  	3/1/2018	  	 Adjust Expiration Date to December 31, 2016

		  	  
	  
	 	  		  				  		  		  	
		  	 	450,470	  	  		  				  		  		  	
							
	3/7/2012	  	 	232,110	  	  	NQ	  	$	71.01	  	  	3/7/2013	  	3/6/2019	  	 Adjust Expiration Date to December 31, 2016

	3/7/2012	  	 	232,110	  	  	NQ	  	$	71.01	  	  	3/7/2014	  	3/6/2019	  	 Adjust Expiration Date to December 31, 2016

		  	  
	  
	 	  		  				  		  		  	
		  	 	464,220	  	  		  				  		  		  	

  

	Note:	This document is for estimation purposes only; actual numbers may vary 

	    	All Incentive Stock Options are converted to Non-qualified status 90 days after last day worked 

 SCHEDULE B 

Competitors* 
 BAE Systems 
 The Boeing Company 

Huntington Ingalls Industries 
 Lockheed Martin Corporation 
 Northrop Grumman Corporation 

Raytheon Company 

SAIC, Inc. 

Textron, Inc. 

United Technologies Corporation 
  

	*	Each entity listed includes all of the subsidiaries and affiliates of that entity. 

 SCHEDULE C 
 Consulting Agreement 

 June 6, 2012 
 Mr. Jay L. Johnson 
  

	 	Re:	Consulting Agreement  

 Dear
Mr. Johnson: 
 This letter agreement (“Agreement”) confirms the contractual arrangement between General Dynamics
Corporation (the “Company,” “us,” or “we”) and Mr. Jay L. Johnson (“Consultant” or “you”) for the personal services of Consultant described in more detail below. 

 

	1.	Term of Agreement 

 The
term of this Agreement shall be from January 1, 2013, until June 30, 2013 (the “Consulting Period”). Consultant’s obligations under Section 5 of this Agreement shall survive the expiration or termination of this
Agreement. 
  

	2.	Services to be Rendered 

(a) The Company retains Consultant to render, and Consultant hereby agrees to render to the Company, upon request, strategic advice and
guidance regarding the aerospace and defense market and particular matters of importance to the Company’s business. These services will include conference calls, review of relevant materials, and attendance at meetings, and may include
occasional travel. All such services shall be referred to herein as “the Services.” 
 (b) The Parties anticipate that
the level of services to be provided by Consultant during the Consulting Period will be no more than twenty percent (20%) of the average level of services provided by Consultant during his tenure as Chairman and Chief Executive Officer. On a
weekly basis, the parties do not expect that the Services shall entail more than an average of eight hours of work per week. 

(c) As a self-employed independent contractor, Consultant retains control over the manner and means by which Consultant provides the
Services, provided that we determine the objectives of the Services and timeframes for completion. Consultant is not required to work any fixed schedule and will set his own hours, subject to deadlines required by the Company. With the exception of
in-person meetings that may be scheduled at times that are mutually convenient to the Company and Consultant, Consultant will not be required to work at any particular location. 

	3.	Payment for Services, Reimbursement, and Office Costs 

 (a) In consideration for the Services, the Company shall pay Consultant a fee of Eight Hundred Twenty-Five Thousand dollars ($825,000.00) (“the Retainer”). The Retainer shall be paid to
Consultant in a single, lump sum on or before January 31, 2013 but in no event prior to January 1, 2013 and shall compensate Consultant for all services performed and hours worked during the Consulting Period. 

(b) Reimbursement for all out-of-pocket expenses will be based on reasonable commercial practices and actual cost, provided that the
Company will reimburse Consultant only for expenses for airfare, transportation, meals, and lodging that Consultant incurs in the course of out-of-town travel requested and approved in advance by the Company. Expenses must be supported by receipts
and be submitted in accordance with the Company’s standard practices for expense reimbursement. Per standard policy, all invoices submitted for payment are subject to review or audit by us, and Consultant must maintain copies of receipts for
six years from the date of the relevant invoice. 
 (c) Subject to Consultant’s continued performance of the Services in
accordance with this Agreement for the period beginning on January 1, 2013 and ending on June 30, 2013, the Company will provide office space and administrative support for the Consultant in the Washington, D.C. area for this time period.
Consultant shall be responsible for all costs or expenses outside this time period. 
  

	4.	Restrictions on Services for Others 

 During the Consulting Period, Consultant may provide consulting, advisory or other services to other persons or entities and may serve as a director or be employed by other persons or entities, provided
that Consultant shall not violate the restrictive covenants set forth in Section 3 of the June 6, 2012 Retirement Agreement between Consultant and the Company (the “Retirement Agreement”), which obligations are expressly
incorporated herein. Consultant further agrees and covenants that, during the Consulting Period, all services he performs for the Company in connection with any government program or business opportunity shall be limited solely to the exclusive
benefit of General Dynamics and its subsidiaries. 
  

	5.	Protection of Information 

(a) Use and Disclosure of Confidential Information. You acknowledge and agree that any Confidential Information (as such term is
defined in the Retirement Agreement) that the Company provides you (even if you previously acquired that information while employed by the Company), will not be used by you for any purpose other than for the sole and exclusive benefit of the
Company. You further agree that all Confidential Information shall remain our property and that, subject to the same exceptions that permit disclosure under the Retirement Agreement, you will not disclose such information to any third party without
our prior written approval, during or after the term of this Agreement. Upon our written request or the conclusion of this Agreement, whichever is earlier, you will promptly return to us all Confirmation Information in whatever form (including
computer files and other electronic data) provided to you during the 

  
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Consulting Period. Nothing in this Agreement shall limit or extinguish your obligations under the Retirement Agreement to maintain confidentiality of trade secrets and other information relating
to the Company’s business. 
 b. Intellectual Property. All documents, writings, presentations, or other
copyrightable materials that you produce and deliver to us as work done in connection with the Services shall constitute “works for hire” prepared for us, and as such, General Dynamics is and shall be the sole owner of all right, title,
and interest in the copyright of all such materials. You shall promptly notify us of any limitation of which you are or become aware concerning materials you deliver to us. 

 

	6.	Independent Contractor Relationship, Taxes, and Insurance 

 At all times, the relationship between us shall be that of independent contractors, and nothing herein shall be construed to create or imply any employer-employee, principal-agent, partnership, joint
venture, or other relationship between us. You shall hold no authority, express or implied, to obligate us or make representations on our behalf and shall make no representation to others to the contrary. 

Amounts paid to you hereunder will be reported on IRS Form 1099-Misc. You are solely responsible for payment of all taxes arising out of
your activities in connection with the Services, including, without limitation, federal and state income taxes, self employment taxes, and any other taxes or business license fees as required. We shall not be responsible for paying any income or
taxes on your behalf. 
 No amount payable hereunder shall be counted for purposes of calculating or accruing any benefit or
service for purposes of any pension, retirement, health, welfare, or other benefit plan or program. Your performance of the Services will not count toward, and does not and will not make you eligible to participate in, any benefit plan or program in
which employees of GD or its subsidiaries or affiliates participate. 
  

	7.	Compliance with Laws 

Consultant will comply with all federal, state, and local laws, regulations, licensing and registration requirements, and rules that apply
to Consultant’s activities in connection with the Services. 
  

	8.	General Provisions 

(a) Disputes. Any dispute, controversy, or claim arising out of or in connection with this Agreement, including any question
regarding its existence, validity or termination, shall be finally resolved by arbitration under the rules of the American Arbitration Association in force as of the date of this Agreement, which rules are deemed to be incorporated by reference into
this clause. The place of arbitration shall be Fairfax County, Virginia. 
 (b) Complete Agreement. This Agreement
and the Retirement Agreement constitute the entire understanding of the Company and the Consultant with respect to the subject matter 

  
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hereof and together supersede all prior understandings, written or oral. 

(c) Amendment; Waiver. The terms of this Agreement may be changed, modified or discharged only by an instrument in writing signed
by the parties hereto. A failure of the Company or the Consultant to insist on strict compliance with any provision of this Agreement shall not be deemed a waiver of such provision or any other provision hereof. 

(d) Construction of Agreement. Each party has negotiated the terms and provisions of this Agreement and has had the opportunity to
contribute to its revision. The terms of this Agreement shall be construed fairly and evenly as to both parties hereto and not in favor or against either party based on the characterization of one or the other as the drafting party. 

(e) Choice of Law. This Agreement shall be construed, enforced and interpreted in accordance with and governed by the laws of the
Commonwealth of Virginia, without regard to its choice of law principles. 
 (f) Successors and Assigns. This Agreement
is binding upon, and shall inure to the benefit of, the parties and their respective heirs, successors and assigns, it being acknowledged and agreed that the obligation of the Consultant to provide personal services to the Company shall not be
assignable by him. 
 (g) Section 409A. The intent of the Parties is that any payments and benefits under this
Agreement that are subject to Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) comply with the requirements of Section 409A of the Code and any related regulations and other guidance promulgated
with respect to such Section by the U.S. Department of the Treasury or the Internal Revenue Service. Accordingly, to the maximum extent permitted, this Agreement shall be interpreted and administered in compliance therewith. All expense
reimbursements paid pursuant to this Agreement that are taxable income to Consultant shall in no event be paid later than the end of the calendar year next following the calendar year in which Consultant incurs such expense. With regard to any
provision herein that provides for reimbursement of costs and expenses or in-kind benefits, except as permitted by this Agreement and Section 409A of the Code, the right to reimbursement or in-kind benefits shall not be subject to liquidation
or exchange for another benefit and the amount of expenses eligible for reimbursement, or in-kind benefits provided, during any taxable year shall not affect the expenses eligible for reimbursement, or in-kind benefits to be provided, in any other
taxable year. 

  
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 If the foregoing clearly sets forth our understanding, please sign in the space provided
below. 
  

			
	Very truly yours,
	
	General Dynamics Corporation
		
	By:	 	 /S/ WALTER M. OLIVER

	Walter M. Oliver, Senior Vice President Human
	Resources & Administration

  

			
	Accepted and agreed this 6th day of June, 2012:
	
	CONSULTANT:
		
	By:	 	 /S/ JAY L. JOHNSON

	Jay L. Johnson

  
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