Document:

Exhibit
10.6

SCHEDULE

to the

Master
Agreement

dated as of August
30, 2007

between

	
  JPMorgan Chase Bank, N.A. 

  (“Morgan”)

  	
  and

  	
  Harley-Davidson
  Motorcycle 

  Trust 2007-3 

  (“Counterparty”)

  

 

Part 1

Termination Provisions

In this Agreement:

(1)                                  “Specified Entity” shall not apply.

(2)                                  The “Breach of Agreement” provisions of
Section 5(a)(ii) will apply to Morgan and will not apply to the Counterparty.

(3)                                  The “Credit Support Default” provisions
of Section 5(a)(iii) will apply to Morgan and will not apply to the
Counterparty, except that Section 5(a)(iii)(1) will apply to Counterparty in
respect of Counterparty’s obligations under Paragraph 3(b) of the Approved
Credit Support Document.

(4)                                  The “Misrepresentation” provisions of
Section 5(a)(iv) will apply to Morgan and will not apply to the Counterparty.

(5)                                  The “Default Under Specified Transaction”
provisions of Section 5(a)(v) will apply to Morgan and will not apply to the
Counterparty.

(6)                                  The “Cross Default” provisions of Section
5(a)(vi) will not apply to the Counterparty. 
The “Cross Default” provisions of Section 5(a)(vi) will apply to Morgan
and for such purpose:

(a)                            “Specified Indebtedness” will have the
meaning specified in Section 14, except that such term shall not include
obligations in respect of deposits received in the ordinary course of such
party’s banking business.

(b)                                 “Threshold
Amount” means, with respect to Morgan, an amount equal to three percent of the
shareholders’ equity of the applicable Relevant Entity (as defined below in
Part 6).

(7)                                  The “Bankruptcy” provisions of
Section 5(a)(vii) shall apply to Morgan and the Counterparty provided that:

(a)                            Section 5(a)(vii)(2), (7) and
(9) will not apply to the Counterparty;

(b)                                 Section
5(a)(vii)(4) will not apply to the Counterparty to the extent that it refers to
proceedings or petitions instituted or presented by Morgan or any of Morgan’s
Affiliates;

(c)                                  Section
5(a)(vii)(6) will not apply to the Counterparty to the extent that it refers to
(i) any appointment that is contemplated or effected by any document to which
the Counterparty is, as of the date of this Agreement, a party in connection
with the transactions contemplated by the Indenture or (ii) any such
appointment to which the Counterparty has not yet become subject to; and

(d)                                 Section
5(a)(vii)(8) will apply to the Counterparty but only to the extent that it
applies to Sections 5(a)(vii)(2), (4), (6) and (7) as they apply with respect
to the Counterparty).

(8)                                  The “Merger Without Assumption”
provisions of Section 5(a)(viii) will apply to Morgan and will not apply to the Counterparty.

(9)                                  The “Tax Event” provisions of
Section 5(b)(ii) will apply to Morgan and to the Counterparty, provided that the words “(x) any
action taking by a taxing authority, or brought in a court of competent
jurisdiction, on or after the date on which a Transaction is entered into
(regardless of whether such action is taken or brought with respect to a party
to this Agreement) or (y)” shall be deleted.

(10)                            The “Tax Event Upon Merger”
provisions of Section 5(b)(iii) will apply, provided that Morgan shall not be
entitled to designate an Early Termination Date by reason of a Tax Event Upon
Merger in respect of which it is the Affected Party.

(11)                            The “Credit Event Upon Merger”
provisions of Section 5(b)(iv) will not apply to Morgan and will not apply to
the Counterparty.

(12)                            The “Automatic Early Termination”
provisions of Section 6(a) will not apply to Morgan and will not apply to the
Counterparty.

(13)                            The “Transfer to Avoid Termination Event”
provisions of 6(b)(ii) will apply to Morgan and the Counterparty, provided that
the words “or if a Tax Event Upon Merger occurs and the Burdened Party is the
Affected Party” shall be deleted.

(14)                            “Termination Currency” means United
States Dollars.

(15)                            For purposes of computing amounts payable
on early termination:

(a)                            Market Quotation will apply to this
Agreement; and

(b)                           The Second Method will apply to this
Agreement.

(16)                            The occurrence of any of the following
events shall constitute an “Additional Termination Event” for purposes of
Section 5(b)(v):

(a) a notice of optional redemption pursuant to Section 10.01(a) of the
Indenture is issued and is no longer capable of being rescinded.  If this Additional Termination Event occurs,
the Counterparty shall be the sole Affected Party and 

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this Transaction shall be the sole Affected Transaction; provided,
however, that notwithstanding Section 6(b)(iv), either party may designate an
Early Termination Date in respect of this Additional Termination Event;
provided, further, that such Early Termination Date shall not be prior to ten
Business Days prior to the final Distribution Date;

(b) any provision
of the Indenture is amended unless Morgan has consented in writing to such
amendment where such consent is required under the Indenture.  If this Additional Termination Event occurs,
the Counterparty shall be the sole Affected Party and all Transactions then
outstanding between the parties shall be Affected Transactions.

(c) If (i) any supplemental trust instrument is given effect and (ii)
Morgan has not consented in writing to such supplemental trust instrument prior
to the date on which such supplemental trust instrument takes effect where
such consent is required under the Indenture.  If this Additional Termination Event occurs,
then the Counterparty shall be the sole Affected Party and all Transactions
then outstanding between the parties shall be Affected Transactions; or

(d) the occurrence
of an Additional Termination Event as set forth in Part 6 hereof or the failure
of Morgan to assign this Agreement and all Transactions if it determines that
it is unable to provide the financial information required by Regulation
AB.  If this Additional Termination Event
occurs, Morgan shall be the sole Affected Party and all Transactions then
outstanding between the parties shall be Affected Transactions.

Part 2

Tax Representations

(1)                                  Payer Tax Representation:

For the purpose of
Section 3(e) of this Agreement, Morgan makes the following representation:

It is not required by any applicable law, as modified
by the practice of any relevant governmental revenue authority, of any Relevant
Jurisdiction to make any deduction or withholding for or on account of any Tax
from any payment (other than interest under Section 2(e), 6(d)(ii) or 6(e) of this
Agreement) to be made by it to the other party under this Agreement.  In making this representation, it may rely
on:

(i)                                     the
accuracy of any representations made by the other party pursuant to Section
3(f) of this Agreement;

(ii)                                  the
satisfaction of the agreement of the other party contained in Section 4(a)(i)
or 4(a)(iii) of this Agreement and the accuracy and effectiveness of any
document provided by the other party pursuant to Section 4(a)(i) or 4(a)(iii)
of this Agreement; and

(iii)                               the
satisfaction of the agreement of the other party contained in Section 4(d) of
this Agreement,

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provided that it shall not be a breach of this
representation where reliance is placed on clause (ii) and the other party does
not deliver a form or document under Section 4(a)(iii) of this Agreement by
reason of material prejudice to its legal or commercial position.

(2)                                  Payee
Tax Representation:

For the purpose of Section 3(f), Morgan and Counterparty each represent
that it is a United States Person.

(3)                                  Gross
Up:

Section 2(d)(i)(4) shall not apply to Counterparty as “X” and Section
2(d)(ii) shall not apply to Counterparty as “Y”, in each case, such that
Counterparty shall not be required to pay any additional amounts referred to
therein.

Part 3

Agreement to Deliver Documents

For the purpose of Sections 4(a)(i) and (ii), each
party agrees to deliver the following documents, as applicable:

(1)                                  For the purpose of Sections 4(a)(i) and (ii) of this
Agreement, Counterparty agrees to deliver complete and accurate United States
Internal Revenue Service Forms W-9 (or any applicable successor form), in a
manner reasonably satisfactory to Morgan, (I) upon execution of this Agreement
and (II) promptly upon reasonable demand of Morgan.

(2)                                  Morgan will upon execution of this
Agreement and thereafter, on demand, deliver a certificate specifying the
name(s), title(s) and specimen signature(s) of the person(s) executing this
Agreement and each Confirmation on its behalf.

(3)                                  The Counterparty will, on demand, deliver
a certificate (or, if available, the current authorized signature book of the
Counterparty) specifying the names, title and specimen signatures of the
persons authorized to execute this Agreement and each Confirmation on its
behalf.

(4)                                  The Counterparty will, upon execution of
this Agreement, deliver a conformed copy of the Indenture.

(5)                                  Each party will, upon execution of this
Agreement, deliver a legal opinion of counsel in form and substance
satisfactory to the other party regarding this Agreement and any other matters
as such other party may reasonably request.

(6)                                  The Counterparty shall supply Morgan with
copies of all accountings and reports required to be supplied to a party that
is a Certificateholder (as defined in the Indenture).  Copies of such accountings and/or reports shall
be delivered to Morgan at the following address:

JPMorgan Chase Bank, National Association

 4
 

c/o John Coffey

270 Park Avenue

New York, New York 10017

e-mail address: 
john.j.coffey@jpmorgan.com

Each of the foregoing documents (other than the legal
opinions described in (6) above) is covered by the representation contained in
Section 3(d) of this Agreement.

Part 4

Miscellaneous

(1)                                  Governing Law. 
This Agreement will be governed by and construed in accordance with the
laws of the State of New York without reference to choice of law doctrine.

(2)                                  Notices.

(a)                                  In connection with Section 12(a), all
notices to Morgan shall, with respect to any particular Transaction, be sent to
the address, telex number or facsimile number specified in the relevant
Confirmation and any notice for purposes of Sections 5 or 6 of the Agreement
shall be sent to the address or telex number specified below:

JPMorgan
Chase Bank, N.A.

Attention:  Legal Department-Derivatives Practice Group

270
Park Avenue, 41st Floor

New
York, New York  10017-2070

Telex
No.: 232337; Answerback:  CBC UR

Facsimile No.:  (212) 270-3620

(b)                                 In connection with Section 12(a), all
notices to the Counterparty shall, with respect to any particular  Transaction, be sent to the address, telex
number or facsimile number specified in the relevant Confirmation and any
notice for purposes of Sections 5 or 6 of the Agreement shall be sent to the
address or telex number specified below:

Harley-Davidson
Motorcycle Trust 2007-3

c/o
Wilmington Trust Company, as Owner Trustee

Rodney
Square North

1100
North Market Street

Wilmington,
DE 19890-0001

Attention:
Corporate Trust Administration Services

Telex
No.: 835437

Answerback:
WILM-TR

Telephone:
302-636-6000

Facsimile: 302-636-4140

With a copy to:

Harley-Davidson
Financial Services, Inc.

222
West Adams Street, 20th Floor

Chicago, IL 60606

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Attention:
Andrea Golvach

Telephone:
312-696-5379

Facsimile: 312-368-1802

(3)                                  Netting of Payments. 
Section 2(c)(ii) of this Agreement will apply, with the effect that
payment netting will not take place with respect to amounts due and owing in
respect of more than one Transaction.

(4)                                  Offices;
Multibranch Party.  For purposes
of Section 10:

(a)                                  Section 10(a) will apply; and

(b)                                 For the purpose of Section 10(c):

(i)                                     Morgan is a Multibranch Party and may act
through its London and New York Offices.

(ii)                                  The Counterparty is not a Multibranch
Party.

(5)                                  Credit Support Documents.

With respect to Morgan, if applicable, any Eligible
Guarantee in support of Morgan’s obligations shall constitute a Credit Support
Document.

With respect to Morgan and solely with respect of the
Counterparty’s obligations under Paragraph 3(b) thereof, the Approved Credit
Support Document (as defined herein) entered into between Morgan and the
Counterparty shall constitute a Credit Support Document. An Approved Credit
Support Document shall be executed and delivered contemporaneously with this
Agreement.

(6)                                  Credit Support Provider.

With respect to Morgan, the party guaranteeing Morgan’s
obligations pursuant to an Eligible Guarantee, if any, shall be a Credit
Support Provider.

With respect to Counterparty, is not applicable.

(7)                                  Process Agents. 
The Counterparty appoints as its Process Agent for the purpose of
Section 13(c): Not Applicable

(8)                                  Affiliate. 
With respect to Morgan, “Affiliate” has the meaning specified in Section
14 and with respect to Counterparty, “Affiliate” has no meaning.

Part 5

Other Provisions

(1)                                  ISDA Definitions. 
Reference is hereby made to the 2000 ISDA Definitions (the “ISDA Definitions”) each as published by the International
Swaps and Derivatives Association, Inc., which are hereby incorporated by
reference herein.  Any terms used and not

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otherwise defined herein,
which are contained in the ISDA Definitions, shall have the meaning set forth
therein, except that any references in the ISDA Definitions to a “Swap
Transaction” shall be deemed references to a “Transaction” for purposes of this
Agreement, and references to a “Transaction” in this Agreement shall be deemed
references to a “Swap Transaction” for purposes of the ISDA Definitions.  Capitalized terms used, but not defined,
herein shall have the respective meanings ascribed to such terms in the
Indenture.

(2)                                  Scope of Agreement. 
Notwithstanding anything contained in the Agreement to the contrary, if
the parties enter into any Specified Transaction, such Specified Transaction
shall be subject to, governed by and construed in accordance with the terms of
this Agreement unless the Confirmation relating thereto shall specifically
state to the contrary.  Each such
Specified Transaction shall be a Transaction for the purposes of this
Agreement.

(3)                                  Inconsistency. 
In the event of any inconsistency between any of the following
documents, the relevant document first listed below shall govern:  (i) a Confirmation; (ii) the Schedule; (iii)
the ISDA Definitions; and (iv) the printed form of ISDA Master Agreement.

(4)                                  Calculation Agent. 
The Calculation Agent will be Morgan; provided, however, that if an
Event of Default shall have occurred with respect to which Morgan is the
Defaulting Party, Counterparty shall have the right to designate as Calculation
Agent an independent party, reasonably acceptable to Morgan, the cost of which
shall be borne by Morgan.

(5)                                  Waiver of Jury Trial. 
Each party waives, to the fullest extent permitted by applicable law,
any right it may have to a trial by jury in respect of any suit, action or
proceeding relating to this Agreement or any Credit Support Document.  Each party (i) certifies that no
representative, agent or attorney of the other party or any Credit Support
Provider has represented, expressly or otherwise, that such other party would
not, in the event of such a suit, action or proceeding, seek to enforce the
foregoing waiver and (ii) acknowledges that it and the other party have been
induced to enter into this Agreement and provide for any Credit Support
Document, as applicable, by, among other things, the mutual waivers and
certifications in this Section.

(6)                                  No Petition; Limited
Recourse.  Morgan hereby agrees that it shall not
until a period of one year and one day (or if longer, the applicable preference
period) after all rated liabilities of the Counterparty have been indefeasibly
paid in full institute against, or join any other person in instituting against
the Counterparty any bankruptcy, reorganization, arrangement, insolvency,
moratorium or liquidation proceedings or other proceedings under U.S. federal
or state or other bankruptcy or similar laws. 
Notwithstanding the foregoing, nothing herein shall prevent Morgan from
participating in any such proceeding once commenced.  This provision shall survive termination of
this Agreement.

Morgan hereby acknowledges and agrees that the
Counterparty’s obligations hereunder will be solely the limited recourse
obligations of the Counterparty payable solely in accordance with the priority
of payments set out in the Indenture, and that Morgan will not have any
recourse to any of the directors, officers, employees, shareholders or
affiliates of the Counterparty with respect to any claims, losses, damages,
liabilities, indemnities or other obligations in connection with any
transactions contemplated hereby. 
Notwithstanding any other provisions hereof, recourse in respect of any 

 7
 

obligations of the Counterparty to Morgan hereunder or
thereunder will be limited to the Counterparty and on the exhaustion thereof
all claims against the Counterparty arising from this Confirmation or any other
transactions contemplated hereby or thereby shall be extinguished.

(7)                                  Additional Representations.

(a)  Section 3 is hereby amended by adding at the
end thereof the following paragraphs:

“(g) It is an “eligible contract participant” under,
and as defined in, Section 1a(12) of the Commodity Exchange Act, as amended.

(h) Each party will be deemed to represent to the
other party on the date on which it enters into a Transaction that (absent a
written agreement between the parties that expressly imposes affirmative
obligations to the contrary for that Transaction):

(i)                                     Non-Reliance. 
It is acting for its own account, and it has made its own independent
decisions to enter into that Transaction and as to whether that Transaction is
appropriate or proper for it based upon its own judgment and upon advice from
such advisers as it has deemed necessary. 
It is not relying on any communication (written or oral) of the other
party as investment advice or as a recommendation to enter into that
Transaction; it being understood that information and explanations related to
the terms and conditions of a Transaction shall not be considered investment
advice or a recommendation to enter into that Transaction.  No communication (written or oral) received
from the other party shall be deemed to be an assurance or guarantee as to the expected
results of that Transaction.

(ii)                                  Assessment and Understanding. 
It is capable of assessing the merits of and understanding (on its own
behalf or through independent professional advice), and understands and
accepts, the terms, conditions and risks of that Transaction.  It is also capable of assuming, and assumes,
the risks of that Transaction.

(iii)                               Status of Parties.  The other party is not acting
as a fiduciary for or an adviser to it in respect of that Transaction.”

(b)  The additional representation shall be given
by Morgan only:

“(i)                               Pari Passu. Its obligations under this Agreement rank
equal and ratably with all of its other unsecured, unsubordinated obligations
except those obligations preferred by operation of law.”

(8)                                  Amendment to Section 9(b)
of the Agreement.  Section 9(b) of the Agreement
is amended by adding the following sentence immediately following the end of
the first sentence thereof:

“In addition, no
amendment modification or waiver in respect of this Agreement will be effective
unless the Rating Agency Condition is satisfied with respect to S&P.”

 8
 

(9)                                  Set-off. 
Notwithstanding any provision of this Agreement or any other existing or
future agreement, but subject to Section 2(c), Section 6 and Part 6(3)(viii) of
this Schedule a, each party irrevocably waives any and all rights it may have
to set off, net, recoup or otherwise withhold or suspend or condition payment
or performance of any obligation between it and the other party hereunder
against any obligation between it and the other party under any other
agreements.  The provisions for Set-off
set forth in Section 6(e) of the Agreement shall not apply to this Agreement.

(10)                            Amendment to Section 6(e)
of the Agreement.  Section 6(e) of the Agreement
is amended by deleting the last sentence of the introductory paragraph thereof.

(12)                            Modification
to Definition of Indemnifiable Tax. Notwithstanding the definition
of “Indemnifiable Tax” in Section 14, in relation to payments by Morgan, any
Tax shall be an Indemnifiable Tax, and in relations to payments by the
Counterparty, no Tax shall be an Indemnifiable Tax. For the avoidance of doubt,
the foregoing sentence shall not by itself modify either party’s right to
terminate a Transaction based on the occurrence of a Tax Event or a Tax Event
Upon Merger.

(13)                            Waiver of Tax Confidentiality. 
Notwithstanding anything herein to the contrary, any party subject to
confidentiality obligations hereunder or under any other related document (and
any employee, representative or other agent of such party) may disclose to any
and all persons, without limitation of any kind, the U.S. federal income tax
treatment and the U.S. federal income tax structure of the transactions
contemplated hereby and all materials of any kind (including opinions or other
tax analyses) that are provided to it relating to such tax treatment and tax
structure.  However, no such party shall
disclose any information relating to such tax treatment or tax structure to the
extent nondisclosure is reasonably necessary in order to comply with applicable
securities laws.

(14)                            Rating Agency Notifications. Notwithstanding
any other provision of this Agreement, this Agreement shall not be amended, no
Early Termination Date shall be effectively designated by the Counterparty, and
no transfer of any rights or obligations under this Agreement shall be made
(other than a transfer of all of Morgan’s rights and obligations with respect
to this Agreement in accordance with Part 6(2)(a) below) unless Moody’s and
S&P have each been given prior written notice of such amendment,
designation or transfer.

(15)                            Security Interest.  Morgan hereby acknowledges and consents to
the grant by Counterparty in favor of the Indenture Trustee of a security
interest in all of its rights hereunder and in respect of any Transaction
pursuant to the Indenture.

Part 6

Downgrade
Provisions; Transfer; Payments on Early Termination;

(1)                                  Ratings
Downgrade Provisions.

Following the occurrence of a Ratings Event I and/or a
Ratings Event II, for as long as such Ratings Event I or Ratings Event II is
continuing, the parties shall comply with the following provisions, as
applicable.

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I.                                         Ratings Event I:

A. Actions upon Ratings Event 1:  Not
later than:

(i) 30 calendar days in the case of a Ratings Event I
with respect to Moody’s only; and

(ii) ten Business Days in the case of a Ratings Event
I with respect to S&P:

after a Ratings Event I has occurred and is
continuing, Morgan shall, at its own expense deliver Eligible Collateral to
Counterparty in accordance with the terms of the Approved Credit Support
Document and, following such delivery, maintain Eligible Collateral as required
under the Approved Credit Support Document;

Morgan’s obligations
under this Part 6(1)(I) shall cease, solely with respect to such occurrence, if
(A) there is no Ratings Event I or (B) Morgan has, at its own expense, either
provided an Eligible Guarantee in respect of all Morgan’s present and future
obligations under this Agreement or transferred its rights and obligations
pursuant to a Qualifying Novation in accordance with the terms of this Schedule.

B. Eligible Guarantee or Eligible Replacement
below Ratings Event I Levels

If a Qualifying Novation is made to an Eligible
Replacement or an Eligible Guarantee is provided and, immediately after the
execution of such Qualifying Novation or Eligible Guarantee (as applicable),
there is a Ratings Event I, then (so long as such Ratings Event I is
continuing) Part 6(1)(I.A.) above shall apply without regard to the 30 calendar
day time (or 10 Business Day) period referred to therein.

II.  Ratings
Event II

A.  Actions
upon Ratings Event II

If a Ratings Event II has occurred and is continuing,
the following shall occur.

Morgan shall, at its own expense, use commercially
reasonable efforts to, as soon as reasonably practicable (and, in the case of a
Ratings Event II with respect to S&P only, within 60 calendar days):

(A) provide, or cause to be provided, an Eligible
Guarantee to Counterparty in respect of all Morgan’s present and future
obligations under this Agreement;

or

(B) transfer Morgan’s rights and obligations under the
Agreement and all Confirmations pursuant to a Qualifying Novation.

If, immediately prior to such Ratings Event II, Morgan
is required to deliver and maintain Eligible Collateral following a Ratings
Event I, Morgan shall continue to maintain Eligible Collateral under the
Approved Credit Support Document.

If, immediately prior to
such Ratings Event II, Morgan is not required to deliver and maintain Eligible
Collateral following a Ratings Event I, then Morgan shall post Eligible
Collateral, within ten Business Days following a Ratings Event II with respect
to S&P, in accordance with the terms of the Approved Credit 

 10
 

Support Document until
Morgan has provided an Eligible Guarantee in respect of all Morgan’s present
and future obligations under this Agreement or transferred its rights and
obligations pursuant to a Qualifying Novation in accordance with terms of this
Schedule. In addition, Morgan shall continue to use commercially reasonable
efforts to either transfer its rights and obligations pursuant to a Qualifying
Novation or to provide an Eligible Guarantee in accordance with terms of this
Schedule.

Morgan’s obligations under this Part 6(1)II shall
cease, solely with respect to such occurrence, if (A) there is no Rating Events
II or (B) Morgan has either provided an Eligible Guarantee in respect of all
Morgan’s present and future obligations under this Agreement or transferred its
rights and obligations pursuant to a Qualifying Novation, in either case in
accordance with the terms of this Schedule.

B.  Ratings
Event II Event of Default/Additional Termination Event

Failure by Morgan to comply with the requirement of
this Part 6(1)II to use commercially reasonable efforts to obtain an Eligible
Guarantee in respect of all Morgan’s present and future obligations under this
Agreement or Qualifying Novation shall constitute an Event of Default with
respect to Morgan.

If Morgan has not, within 10 Business Days of the
occurrence of a Ratings Event II (or 60 calendar days in the case of a Ratings
Event II with respect to S&P only), obtained an Eligible Guarantee in
respect of all Morgan’s present and future obligations under this Agreement or
effected a Qualifying Novation, and such Ratings Event II is continuing, it
shall constitute an Additional Termination Event in respect of which Morgan is
the sole Affected Party and all Transactions are Affected Transactions;
provided that where there is a Ratings Event II (a) with respect to Moody’s
only, it will only constitute an Additional Termination Event if one or more
Eligible Replacements has made a Firm Offer (in response to solicitation either
by Morgan or the Counterparty) to be the transferee of a transfer pursuant to a
Qualifying Novation and/or (b) at least one entity has made a Firm Offer to
provide an Eligible Guarantee in respect of all Morgan’s present and future
obligations under this Agreement.

Failure by Morgan to post or maintain Eligible
Collateral in accordance with the Approved Credit Support Document shall be an
Event of Default under Section 5(a)(iii).

III. Definitions

As used herein:

“Approved Credit Support Document” means the 1994 ISDA
Credit Support Annex (ISDA Agreements Subject to New York Law Only), as
modified by the Paragraph 13 thereto, in the form annexed hereto. An Approved
Credit Support Document will be executed and delivered contemporaneously with
this Agreement.

“Business Day” shall have the meaning given to this
term in the Confirmation.

“Eligible Guarantee” means an unconditional and
irrevocable guarantee that is provided by a guarantor as principal debtor
rather than as surety and directly enforceable by the Counterparty and that
meets the following conditions:

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1.             either (A) a law firm has given a legal
opinion confirming that none of the guarantor’s payments to the Counterparty
will be subject to withholding tax or (B) such guarantee provides that, in the
event that any of such guarantor’s payments to the Counterparty are subject to
withholding for tax, such guarantor is required to pay such additional amount
as is necessary to ensure that the net amount actually received by the
Counterparty will equal the full amount the Counterparty would have received
had no such withholding been required; and

2.             the guarantor must meet the Ratings Event
I Required Ratings and/or Ratings Event II Required Ratings in each case
certified by such guarantor to Counterparty, provided that if such guarantor
does not meet the Ratings Event I Required Ratings, such guarantee shall not be
an Eligible Guarantee unless either the guarantor or Morgan delivers Eligible
Collateral in accordance with the Approved Credit Support Document at the time
such Eligible Guarantee is provided; and

3.             the Rating Agency Condition has been met
with respect to S&P.

“Eligible Replacement” means (i) an entity that
satisfies the Ratings Event I Required Ratings and/or the Ratings Event II
Required Ratings in each case certified by Morgan to Counterparty or (ii) an
entity whose present and future obligations owing to the Counterparty are
guaranteed pursuant to an Eligible Guarantee by a guarantor that satisfies the
Ratings Event I Required Ratings and/or Ratings Event II Required Ratings in
each case certified by such guarantor to Counterparty.

“Financial Institution” means a bank, broker-dealer,
insurance company, structured investment company, or derivatives product
company.

“Firm Offer” means an offer which, when made, was
capable of becoming legally binding upon acceptance.

“Indenture” means [•];

“Moody’s” means Moody’s Investors Service, Inc. or any
successor thereto.

“Qualifying Novation” means a transfer of all rights
and obligations of Morgan under all Transactions that are the subject of this
Agreement (which may include a transfer of this Agreement) to an Eligible
Replacement that is party to a Replacement Agreement with the Counterparty that
meets the following conditions:

1.             if the Eligible Replacement does not meet the Ratings
Event I Required Ratings, such Eligible Replacement delivers Eligible
Collateral in accordance with the Approved Credit Support Document at the time
of such Qualifying Novation; and

2.               if the Replacement Agreement is this Agreement, prior
notice is given to S&P; and

3.               if the Replacement Agreement is not this Agreement,
the Rating Agency Condition is met with respect to S&P.

 12
 

“Rating Agencies” means S&P and Moody’s.

“Rating Agency Condition” means, with respect to any
particular proposed act or omission to act hereunder that the party acting or
failing to act must consult with each of the Rating Agencies (unless otherwise
specified) then providing a rating of the Certificates and receive from each
Rating Agency a prior written confirmation that the proposed action or inaction
would not cause a downgrade or withdrawal of the then-current rating of the
Certificates.

“Ratings Event I” shall occur with respect to S&P
or Moody’s if no Relevant Entity has the Ratings Event I Required Ratings as
specified under paragraph (a), (b) or (c) thereof, as applicable.

An entity will have “Ratings Event I Required Ratings”
(a) with respect to Moody’s, (i) if such entity is the subject of Moody’s
Short-term Rating, such rating is  “Prime-1”
and its long-term, unsecured and unsubordinated debt obligations are rated A2
or above by Moody’s and (ii) if such entity is not the subject of a Moody’s
Short-term Rating, its long-term, unsecured and unsubordinated debt obligations
are rated “A1” or above by Moody’s and (b) with respect to S&P, applying
only if an entity is a Financial Institution, (i) if the S&P short-term
senior unsecured debt rating of such entity is A-1 or above or (ii) if such
entity is not the subject of an S&P short-term rating, if its long-term
senior unsecured debt rating is A+ or above.

“Ratings Event II” shall occur with respect to S&P
or Moody’s if no Relevant Entity has the Ratings Event II Required Ratings
under paragraph (a), (b) or (c) thereof, as applicable.

An entity will have “Ratings Event II Required Ratings”
(a) with respect to Moody’s, (i) if such entity is the subject of a Moody’s
Short-term Rating, if such rating is “Prime-2” or above and its long-term,
unsecured and unsubordinated debt obligations are rated “A3” or above by Moody’s
and (ii) if such entity is not the subject a Moody’s Short-term Rating, if its
long-term, unsecured and unsubordinated debt obligations are rated “A3” by
Moody’s and (b) with respect to S&P, (i) in respect of an entity that is a
Financial Insititution, if the S&P short-term senior unsecured debt rating
of such entity is A-2 or above, or, in case such entity is not the subject of
an S&P short-term rating, if its long-term senior unsecured S&P debt
rating is BBB+ or above, or (ii) in respect of an entity that is not a
Financial Institution, if the S&P short-term senior unsecured debt rating
of such entity is A-1 or above, or, in case such entity is not the subject of
an S&P short-term rating, if its long-term senior unsecured S&P debt
rating is A+ or above.

“Relevant Entity” means Morgan or any guarantor, or a
counterparty that replaces Morgan or such counterparty’s guarantor under an
Eligible Guarantee in respect of all Morgan’s present and future obligations
under this Agreement.

“Replacement Agreement” means either (i) this
Agreement, if this Agreement is transferred to an Eligible Replacement in the
course of a Qualifying Novation or (ii) an agreement on substantially the same
terms as this Agreement, including ratings triggers, credit support
documentation and other provisions of this Agreement.

“S&P” means by Standard & Poor’s Ratings
Service or any successor thereto.

 13
 

(2)                                  Amendment to Section 7 of
the Agreement.

The following provisions
shall be added to the end of Section 7:

A.  Qualifying Novations

I.  The Counterparty shall determine whether or
not a transfer is a Qualifying Novation which shall be deemed upon receipt of
evidence that the Rating Agency Condition has been met.

II. If an entity has made a Firm Offer (which remains capable of
becoming legally binding upon acceptance) to be the transferee of a Qualifying
Novation, the Counterparty shall at Morgan’s written request and cost execute
any documentation Morgan deems necessary to effect such transfer and take such
action as required pursuant to this Agreement.

III. No consent from the Counterparty is required for a transfer that
is a Qualifying Novation and is required pursuant to Part 6(1) above.

B. Other Transfers

Transfers other than Qualifying Novations or transfers under Section
7(a) of this Agreement shall be effective only if Rating Agency Condition has
been met.

(3)                                  Termination Amounts

Notwithstanding Section 6 of this
Agreement, so long as Morgan is (A) the Affected Party in respect of a
Termination Event or (B) the Defaulting Party in respect of any Event of
Default, paragraphs (i) to (viii) below shall apply:

(i)                                     The Counterparty shall not designate as an Early Termination
Date a date earlier than 10 Business Days after the notice designating such
Early Termination Date becomes effective.

(ii)                                  The definition of “Market Quotation” shall be deleted in its
entirety and replaced with the following:

““Market
Quotation” means, with
respect to one or more Terminated Transactions, a Firm Offer (which may be
solicited by either the Counterparty or Morgan) which is (1) made by a
Reference Market-maker that is an Eligible Replacement, (2) for an amount that
would be paid to the Counterparty (expressed as a negative number) or by the
Counterparty (expressed as a positive number) in consideration of an agreement
between Counterparty and such Reference Market-maker to enter into a
transaction (the “Replacement Transaction”) that would have the effect of preserving for such party
the economic equivalent of any payment or delivery (whether the underlying
obligation was absolute or contingent and assuming the satisfaction of each
applicable condition precedent) by the parties under Section 2(a)(i) in respect
of such Terminated Transactions that would, but for the occurrence of the
relevant Early Termination Date, have been required after that date, (3) made
on the basis 

 14
 

that Unpaid Amounts in respect of the
Terminated Transactions are to be excluded but, without limitation, any payment
or delivery that would, but for the relevant Early Termination Date, have been
required (assuming satisfaction of each applicable condition precedent) after
that Early Termination Date is to be included and (4) made in respect of a Replacement
Transaction with terms substantially the same as those of this Agreement (save
for the exclusion of provisions relating to Transactions that are not
Terminated Transactions).”

(iii)                               The definition of “Settlement Amount” shall be deleted in
its entirety and replaced with the following:

“Settlement
Amount” means, with
respect to any Early Termination Date, an amount (as determined by the
Counterparty) equal to the Termination Currency Equivalent of the amount
(whether positive or negative) of any Market Quotation for the relevant
Terminated Transaction or group of Terminated Transactions that is accepted by
the Counterparty so as to become legally binding, provided that:

(a)                If, on or before the day falling ten Local Business Days
after the day on which the Early Termination Date is designated or such later
day as Counterparty may specify in writing to Morgan, (but in either case no
later than the Early Termination Date) (such day, the “Latest Settlement Amount
Determination Date”), no Market Quotation for the relevant Terminated
Transaction or group of Terminated Transactions has been accepted by
Counterparty so as to become legally binding and one or more Market Quotations
have been made and remain capable of becoming legally binding upon acceptance,
the Settlement Amount shall equal the Termination Currency Equivalent of the
amount (whether positive or negative) of the lowest of such Market Quotation;
or

(b)               If on the Latest Settlement Amount Determination Date no
Market Quotation for the relevant Terminated Transaction or group of Terminated
Transactions is accepted by the Counterparty so as to become legally binding
and no Market Quotations have been made and remain capable of becoming legally
binding upon acceptance, the Settlement Amount shall equal the Counterparty’s
Loss (whether positive or negative and without reference to any Unpaid Amounts)
for the relevant Terminated Transaction or group of Terminated Transactions.”

(iv)                              For the purpose of paragraph (4) of the definition of Market
Quotation, the Counterparty shall determine whether a Firm Offer is made in
respect of a Replacement Transaction with commercial terms substantially the
same as those of this Agreement which shall be deemed upon receipt of evidence
that the Rating Agency Condition has been met (save for the exclusion of
provisions relating to Transactions that are not Terminated Transactions).

 15
 

(v)                                 At any time on or before the Latest Settlement Amount
Determination Day at which two or more Market Quotations remain capable of
becoming legally binding upon acceptance, the Counterparty shall be entitled to
accept only the lowest of such Market Quotations.

(vi)                              If the Counterparty requests Morgan in writing to obtain
Market Quotations, Morgan shall use its reasonable efforts to do so on or
before the Latest Settlement Amount Determination Day.

(vii)                           Morgan may also elect to obtain Market Quotations without a
request from the Counterparty.

(viii)                        If the Settlement Amount is a negative number, Section
6(e)(i)(3) of this Agreement shall be deleted in its entirety and replaced with
the following:

“Second Method and Market Quotation.
If Second Method and Market Quotation apply, (1) the Counterparty shall pay to
Morgan an amount equal to the absolute value of the Settlement Amount in
respect of the Terminated Transactions, (2) the Counterparty shall pay to
Morgan the Termination Currency Equivalent of the Unpaid Amounts owing to
Morgan and (3) Morgan shall pay to the Counterparty the Termination Currency
Equivalent of the Unpaid Amounts owing to the Counterparty, provided that, (i)
the amounts payable under (2) and (3) shall be subject to netting in accordance
with Section 2(c) of this Agreement and (ii) notwithstanding any other
provision of this Agreement, any amount payable by Morgan under (3) shall not
be netted-off against any amount payable by the Counterparty under (1).”

 16
 

Please confirm your
agreement to the terms of the foregoing Schedule by signing below.

	
  

  	
  JPMORGAN CHASE BANK, N.A.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Alexander M. Hunt

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Alexander M. Hunt

  
	
   

  	
   

  	
  Title:

  	
  Managing Director and

  Associate General Counsel

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  HARLEY-DAVIDSON MOTORCYCLE

  
	
   

  	
  TRUST 2007-3

  
	
   

  	
   

  
	
   

  	
  By: Wilmington Trust Company, not in its

  
	
   

  	
  Individual capacity but solely as Owner 

  Trustee on behalf of the Trust

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Patricia A. Evans

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Patricia A. Evans

  
	
   

  	
   

  	
  Title:

  	
  Vice President

  
					

 

 17

ANNEX A

PARAGRAPH 13 TO

CREDIT SUPPORT
ANNEX

to the Schedule to the

Master Agreement

dated as of August
30, 2007

between

	
  JPMorgan Chase Bank, N.A.

  (“Morgan”)

  	
  and

  	
  Harley-Davidson
  Motorcycle

  Trust
  2007-3

  (“Counterparty”)

  

 

Paragraph 13. Elections and Variables

(a)           Security Interest for “Obligations”. 
The term “Obligations” as used in this Annex includes no additional
obligations with respect to either party.

(b)           Credit Support Obligations.

(i)            Delivery Amount, Return Amount and Credit
Support Amount.

(A)          “Delivery Amount” shall
mean the greater of (i) the amount by which the S&P Independent Amount
exceeds the Value as of that Valuation Date of all Posted Credit Support held
by the Secured Party using the S&P Valuation Percentage and (ii) the amount
by which the Moody’s Independent Amount exceeds the Value as of that Valuation
Date of all Posted Credit Support held by the Secured Party using the Moody’s
Valuation Percentage.  The words
in paragraph 3(a) “upon a demand made by the Transferee on or promptly
following a Valuation Date” shall be deleted and replaced by the words “on each
Valuation Date”.

(B)           “Return Amount” shall mean the
lesser of (i) the amount by which the Value as of that Valuation Date of all
Posted Credit Support held by the Secured Party using the S&P Valuation
Percentage exceeds the S&P Independent Amount  and  (ii) the
amount by which the Value as of that Valuation Date of all Posted Credit
Support held by the Secured Party using the Moody’s Valuation Percentage exceeds
the Moody’s Independent Amount.

(C)           “Credit Support Amount” shall mean the Independent Amount.

(ii)           Eligible Collateral.  With respect to Moody’s, the items specified
on Appendix A attached hereto will qualify as “Eligible Collateral” with the
lower of the specified Valuation Percentages to apply.  With respect to S&P, the items specified
on Appendix D attached hereto will qualify as “Eligible Collateral.”

 11
 

Any asset that is not
identified herein as being Eligible Collateral with respect to a Rating Agency
will, with respect to that Rating Agency, have a valuation Percentage of zero.

(iii)          Other
Eligible Support.  There shall be no “Other
Eligible Support” for purposes of this Annex, unless agreed in writing between
the parties.

(iv)          Thresholds.

(A)          “Independent Amount”
shall mean the greater of (i) the S&P Independent Amount and (ii) the Moody’s
Independent Amount.

(B)           “Threshold”
means with respect to Morgan: infinity, provided that if delivery of
Eligible Collateral is required following a Ratings Event I or a Ratings Event
II pursuant to the Schedule, the Threshold shall be zero.

“Threshold”
means with respect to Counterparty: 
infinity.

(C)           “Minimum Transfer Amount”,
with respect to a party on any Valuation Date, means U.S. $100,000 (unless the
notional amount is less than U.S. $50,000,000, in which case  the Minimum Transfer Amount shall be
U.S.$50,000).

(D)          Rounding. 
The Delivery Amount, rounded up, and with respect to the Return Amount,
rounded down, to the nearest integral multiple of $1,000 respectively.

(v)           “Exposure” has
the meaning specified in Paragraph 12, except that after the word “Agreement”
the words “(assuming , for this purpose only, that Part 6(3) of the Schedule is
deleted)” shall be inserted and (2) on the last line of the definition of
Exposure, the words “with terms substantially the same as those of this
Agreement after the words “Replacement Transaction.”

(c)           Valuation and Timing.

(1)           (i)            “Valuation Agent”
means Morgan; provided, however, that if an Event of Default shall have occurred
with respect to which Morgan is the Defaulting Party, Counterparty shall have
the right to designate as Valuation Agent an independent party, reasonably
acceptable to Morgan, the cost of which shall be borne by Morgan.  The Valuation Agent’s calculations shall be
made in accordance with standard market practices using commonly accepted third
party sources such as Bloomberg or Reuters.

(ii)           “Valuation Date”
means weekly on the last Local Business Day of each week.

(iii)          “Valuation Time” means the close of business in the city of
the Valuation Agent on the Valuation Date or date of calculation, as
applicable.

(iv)          “Notification Time”
means 12:00 p.m., New York time, on a Local Business Day.

(d)           Conditions Precedent. 
Not applicable.

(e)           Substitution.

 12
 

(i)            “Substitution Date”
has the meaning specified in Paragraph 4(d)(ii).

(ii)           Consent. 
Inapplicable.

(f)            Dispute Resolution.

(i)            “Resolution Time”
means 1:00 p.m., New York time, on the Local Business Day following the date on
which the notice is given that gives rise to a dispute under Paragraph 5.

(ii)           Value. 
For the purposes of Paragraphs 5(i)(C) and 5(ii), the Value of Posted
Credit Support other than Cash will be calculated as follows:

(A)          with respect to any Eligible Collateral
except Cash, the sum of (I) (x) the mean of the high bid and low asked prices
quoted on such date by any principal market maker for such Eligible Collateral
chosen by the Disputing Party, or (y) if no quotations are available from a
principal market maker for such date, the mean of such high bid and low asked
prices as of the first day prior to such date on which such quotations were
available, plus (II) the accrued interest on such Eligible Collateral (except
to the extent Transferred to a party pursuant to any applicable provision of
this Agreement or included in the applicable price referred to in (I) of this
clause (A)) as of such date; multiplied by the applicable Valuation Percentage.

(iii)          Alternative.  The provisions of Paragraph 5 will apply.

(g)           Holding and Using Posted
Collateral.

(i)            Eligibility to Hold Posted Collateral;
Custodians.  Counterparty and its
Custodian will be entitled to hold Posted Collateral pursuant to Paragraph
6(b); provided that the following conditions applicable to it are
satisfied:

(1)                                  Counterparty is not a Defaulting Party;
and

(2)                                  Posted Collateral may be held only in the
following jurisdictions:

New York State or such
other state in the United States in which the Counterparty is located; and

(3)                                  the account is segregated from all other
accounts held by the Counterparty and its Custodian.

(4)                                  Party B may appoint as Custodian (A) the
entity then serving as Indenture Trustee under the Indenture or (B) any other
entity if such entity (or, to the extent applicable, the parent company or
credit support provider) shall have a long-term senior unsecured debt rating by
S&P of at least “A” or a short-term senior unsecured debt rating of at
least “A-1” by S&P.  If a Custodian
ceases to have the required ratings then a replacement Custodian satisfying the
ratings requirements must be in place within 60 calendar days of the date on
which the original Custodian ceased to satisfy the ratings requirements.

Initially, the Custodian for Counterparty is: None

 13
 

(ii)           Use of Posted Collateral.  The provisions of Paragraph 6(c)(i) will not
apply to Counterparty but the provisions of Paragraph 6(c)(ii) will apply to
the Counterparty.

(h)           Distributions and Interest
Amount.

(i)            Interest Rate.  “Interest Rate”
will be the annualized rate of return actually achieved on the Posted
Collateral in the form of Cash during the related posting period.

(ii)           Transfer of Interest Amount.  The Transfer of the Interest Amount will be
made monthly on the second Local Business Day of each calendar month;  provided that the
Counterparty shall not be obliged to so transfer any Interest Amount unless and
until it has earned and received such interest.

(iii)          Alternative
to Interest Amount.  The provisions of
Paragraph 6(d)(ii) will apply.

(i)            Additional
Representation(s).  Not Applicable.

(j)            Other Eligible Support and Other Posted
Support.

(i)            “Value” with
respect to Other Eligible Support and Other Posted Support means: Not
Applicable.

(ii)           “Transfer” with
respect to Other Eligible Support and Other Posted Support means: Not
Applicable

(k)           Demands and Notices.

All demands, specifications and notices under this
Annex will be made pursuant to the Notices Section of this Agreement, unless
otherwise specified here:

Counterparty:

Harley-Davidson
Motorcycle Trust 2007-3

c/o Wilmington Trust
Company, as Owner Trustee

Rodney Square North

1100 North Market Street

Wilmington, DE 19890-0001

Attention: Corporate
Trust Administration Services

Telex No.: 835437

Answerback: WILM-TR

Telephone: 302-636-6000

Facsimile:
302-636-4140

With a copy to:

Harley-Davidson Financial Services, Inc.

222 West Adams Street, 20th Floor

Chicago, IL 60606

Attention: Andrea Golvach

Telephone: 312-696-5379

Facsimile: 312-368-1802

 14
 

Morgan:

JPMorgan Chase Bank, N.A.

Attention:  Legal Department-Derivatives Practice Group

270 Park Avenue, 41st
Floor

New York, New York  10017-2070

Telex No.: 232337;
Answerback:  CBC UR

(l)            Addresses for Transfers.

Counterparty:
as set forth in notices to Morgan from time to time

Morgan:

JPMorgan Chase Bank, N.A.

Attention:  Legal Department-Derivatives Practice Group

270 Park Avenue, 41st
Floor

New York, New York  10017-2070

Telex No.: 232337; Answerback:  CBC UR

(m)          Morgan as Pledgor and
Counterparty as Secured Party.

(i)            Modification to Paragraph 1: The following subparagraph (b) is
substituted for subparagraph (b) of this Annex:

(b) Secured Party and Pledgor.  All references in this Annex to the “Secured
Party” will be to Counterparty and all corresponding references to the “Pledgor”
will be to Morgan.

(ii)           Modification to Paragraph 2: 
The following Paragraph 2 is substituted for Paragraph 2 of this Annex:

Paragraph 2. 
Security Interest.  The Pledgor hereby pledges to
the Secured Party, as security for its Obligations, and grants to the Secured
Party a first priority continuing security interest in, lien on and right of
Set-Off against all Posted Collateral Transferred to or received by the Secured
Party hereunder.  Upon the Transfer by
the Secured Party to the Pledgor of Posted Collateral, the security interest and
lien granted hereunder on that Posted Collateral will be released immediately
and, to the extent possible, without any further action by either party.

(iii)          Modification
to Paragraph 9:  The following first clause of Paragraph 9 is
substituted for the first clause of Paragraph 9 of this Annex:

Paragraph 9. 
Representations.  The Pledgor represents to the
Secured Party (which representations will be deemed to be repeated as of each
date on which it Transfers Eligible Collateral) that:

(iv)          Modification
to Paragraph 10:  Clauses “10(a)”
and “10(b)” are amended by adding the following sentence to the end of that
paragraph:

“Notwithstanding the preceding sentence, the Pledgor shall pay all
reasonable costs incurred by the Secured Party in connection with any
exchange pursuant to this Credit Support Annex.”

 15
 

(iv)          Modifications to Paragraph 12: 
The following definitions of “Pledgor” and “Secured Party” are
substituted for the definitions of those terms contained in Paragraph 12 of
this Annex:

“Pledgor” means
Morgan

“Secured Party”
means Counterparty

(n)           Independent Amounts

(i)            Addition to Paragraph 12: The “S&P Independent Amount” means,
for any Valuation Date, the greater of (a) zero and (b) the product of (ix)
Exposure times (y) the Collateralization Factor times (z) the applicable Overcollateralization Rate [or
weighted average Overcollateralization Rate if there are more than one item of
Eligible Collateral to be Transferred].

For
purposes of the foregoing:

“Collateralization Factor” means (i)  if a Ratings Event I with respect to S&P
has occurred and is continuing, but a Ratings Event II with respect to S&P
has not occurred (or is no longer continuing), 100% and (ii) if a Ratings Event
II with respect to S&P has occurred and has been continuing for ten
Business Days 125%; and

“Overcollateralization Rate” means, with
respect to an item of Eligible Collateral to be Transferred (i)  if a Ratings Event I with respect to S&P
has occurred and is continuing, but a Ratings Event II with respect to S&P
has not occurred (or is no longer continuing), the Base Overcollateralization
Rate specified opposite the name of that item of Eligible Collateral in
Appendix D and (ii) if a Ratings Event II with respect to S&P has occurred
and has been continuing for ten Business Days, the product of the Base
Overcollateralization Rate specified opposite the name of that item of Eligible
Collateral in Appendix D times 125%.  If
more than one item of Eligible Collateral is to be transferred then the
Overcollateralization Rate will be determined on a weighted average basis using
the Overcollateralization Rate applicable to each item of Eligible Collateral
that is to be Transferred.

(ii)  Addition to Paragraph 12: The “Moody’s
Independent Amount” means,

(i) for so long as
the no Ratings Event I has occurred and is continuing, zero;

(ii) If a Ratings Event I
with respect to Moody’s has been continuing for at least 30 Business Days and
either:

(a) no Ratings Downgrade
Event II with respect to Moody’s has occurred and is continuing; or

(b) a Ratings Downgrade
Event II with respect to Moody’s has been continuing for less than 30 Business
Days, the Ratings Event I Collateral Amount specified in Appendix B hereto; and

 16
 

(iii) If neither (i) nor (ii) is applicable, the
Ratings Event II Collateral Amount specified in Appendix C hereto.

(o)           Other Provisions

(i)              Modification to Paragraph 7: Clause “(iii)” of Paragraph 7 shall be
deleted in its entirety.

(ii)             Modification to Paragraph 10: Clauses “10(a)” and “10(b)” are amended
by adding the following sentence
to the end of that paragraph:

“Notwithstanding
the preceding sentence, the Pledgor shall pay all reasonable costs incurred by
the Secured Party in connection with any exchange pursuant to this Credit
Support Annex.”

(iii)          Modification
to Paragraph 12:  Clause “(B)” of the definition of “Value”
will be substituted to read in its entirety as follows:

“(B) a security, the bid price obtained by the
Valuation Agent from one of the Pricing Sources multiplied by the applicable
Valuation Percentage, if any;”

(iv)          Addition to Paragraph 12: 
The following definition of “Pricing Sources” shall be added immediately
after the definition of the term “Posted Credit Support” and immediately prior
to the definition of the term “Recalculation Date” in Paragraph 12 of this
Annex:

“Pricing Sources”
means the sources of financial information commonly known as Bloomberg, Bridge
Information Services, Data Resources Inc., Interactive Data Services,
International Securities Market Association, Merrill Lynch Securities Pricing
Service, Muller Data Corporation, Reuters, Wood Gundy, Trepp Pricing, JJ Kenny,
S&P and Telerate.

(v)           Morgan and Counterparty agree
that the text of the body of this Annex is intended to be the exact printed
form of ISDA Credit Support Annex (Bilateral Form-ISDA Agreements Subject to
New York Law Only) as published and Copyrighted by the International Swaps and
Derivatives Association, Inc.

(vi)          “Notional Amount”
means, with regard to an interest rate swap, the notional amount set forth in
the confirmation thereof, and, with respect to a currency swap, including a
cross-currency interest rate swap, the notional amount, as set forth in the
confirmation, of that leg of the transaction that is denominated in the same
currency as the relevant rated Certificates.

(vii)         “Transaction-Specific
Hedge” means (A) any Transaction that is a cap, floor or swaption,
or (B) any Swap Transaction in which (x) the Notional Amount of the Transaction
is “balance guaranteed” or (y) the Notional Amount for any Calculation Period
otherwise is not a specific dollar amount that is fixed at the inception of the
Transaction.

[Remainder of
Page Intentionally Blank]

 17
 

Accepted
and Agreed:

	
  JPMORGAN CHASE BANK, N. A.

  
	
   

  
	
   

  
	
  By: 

  	
  /s/ Alexander M. Hunt

  	
   

  
	
  Name:

  	
  Alexander M. Hunt

  
	
  Title:

  	
  Managing Director and Associate General Counsel

  
	
   

  
	
   

  
	
  HARLEY-DAVIDSON MOTORCYCLE

  
	
  TRUST 2007-3

  
	
   

  
	
  By: Wilmington Trust Company, not in its

  
	
  Individual capacity but solely as Owner Trustee

  
	
  on behalf of the Trust

  
	
   

  
	
  By: 

  	
  /s/ Patricia A. Evans

  	
   

  
	
  Name:

  	
  Patricia A. Evans

  
	
  Title:

  	
  Vice President

  
				

 

 18
 

Appendix A

Valuation Percentages

Applicable
if the rated Certificates issued by the Counterparty are U.S.$ Denominated

	
   

  	
   

  	
  MOODY’S RATINGS 

  EVENT I

  	
   

  	
  MOODY’S 

  RATINGS EVENT II

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  INSTRUMENT

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  U.S. Dollar Cash

  	
   

  	
  100%

  	
   

  	
  100%

  	
   

  	
   

  
	
  EURO Cash

  	
   

  	
  97%

  	
   

  	
  93%

  	
   

  	
   

  
	
  Sterling Cash

  	
   

  	
  97%

  	
   

  	
  94%

  	
   

  	
   

  
	
  Fixed-Rate Negotiable Treasury Debt Issued by The
  U.S. Treasury Department with Remaining Maturity

  
	
  <1 year

  	
   

  	
  100%

  	
   

  	
  100%

  	
   

  	
   

  
	
  1 to 2 years

  	
   

  	
  100%

  	
   

  	
  99%

  	
   

  	
   

  
	
  2 to 3 years

  	
   

  	
  100%

  	
   

  	
  98%

  	
   

  	
   

  
	
  3 to 5 years

  	
   

  	
  100%

  	
   

  	
  97%

  	
   

  	
   

  
	
  5 to 7 years

  	
   

  	
  100%

  	
   

  	
  95%

  	
   

  	
   

  
	
  7 to 10 years

  	
   

  	
  100%

  	
   

  	
  94%

  	
   

  	
   

  
	
  10 to 20 years

  	
   

  	
  100%

  	
   

  	
  89%

  	
   

  	
   

  
	
  >20 years

  	
   

  	
  100%

  	
   

  	
  87%

  	
   

  	
   

  
	
  Floating-Rate Negotiable Treasury Debt Issued by The
  U.S. Treasury Department

  
	
  All Maturities

  	
   

  	
  100%

  	
   

  	
  99%

  	
   

  	
   

  
	
  Fixed-Rate U.S. Agency Debentures with Remaining
  Maturity

  
	
  <1 year

  	
   

  	
  100%

  	
   

  	
  99%

  	
   

  	
   

  
	
  1 to 2 years

  	
   

  	
  100%

  	
   

  	
  98%

  	
   

  	
   

  
	
  2 to 3 years

  	
   

  	
  100%

  	
   

  	
  97%

  	
   

  	
   

  
	
  3 to 5 years

  	
   

  	
  100%

  	
   

  	
  96%

  	
   

  	
   

  
	
  5 to 7 years

  	
   

  	
  100%

  	
   

  	
  94%

  	
   

  	
   

  
	
  7 to 10 years

  	
   

  	
  100%

  	
   

  	
  93%

  	
   

  	
   

  
	
  10 to 20 years

  	
   

  	
  100%

  	
   

  	
  88%

  	
   

  	
   

  
	
  >20 years

  	
   

  	
  100%

  	
   

  	
  86%

  	
   

  	
   

  
	
  Floating-Rate U.S. Agency Debentures —

  
	
  All Maturities

  	
   

  	
  100%

  	
   

  	
  98%

  	
   

  	
   

  
	
  Floating-Rate Euro-Zone Government Bonds Rated Aa3 or Above and AAA by
  S&P with Remaining Maturity

  
	
  <1 year

  	
   

  	
  97%

  	
   

  	
  93%

  	
   

  	
   

  
	
  1 to 2 years

  	
   

  	
  97%

  	
   

  	
  92%

  	
   

  	
   

  
	
  2 to 3 years

  	
   

  	
  97%

  	
   

  	
  91%

  	
   

  	
   

  
	
  3 to 5 years

  	
   

  	
  97%

  	
   

  	
  89%

  	
   

  	
   

  
	
  5 to 7 years

  	
   

  	
  97%

  	
   

  	
  87%

  	
   

  	
   

  
	
  7 to 10 years

  	
   

  	
  97%

  	
   

  	
  86%

  	
   

  	
   

  
	
  10 to 20 years

  	
   

  	
  97%

  	
   

  	
  82%

  	
   

  	
   

  
	
  >20 years

  	
   

  	
  97%

  	
   

  	
  80%

  	
   

  	
   

  
	
  Floating-Rate Euro-Zone Government Bonds Rated Aa3 or Above

  
	
  All Maturities

  	
   

  	
  97%

  	
   

  	
  92%

  	
   

  	
   

  
	
  Fixed-Rate United Kingdom Gilts with Remaining
  Maturity

  
	
  <1 year

  	
   

  	
  97%

  	
   

  	
  93%

  	
   

  	
   

  
	
  1 to 2 years

  	
   

  	
  97%

  	
   

  	
  92%

  	
   

  	
   

  
	
  2 to 3 years

  	
   

  	
  97%

  	
   

  	
  91%

  	
   

  	
   

  
	
  3 to 5 years

  	
   

  	
  97%

  	
   

  	
  90%

  	
   

  	
   

  
	
  5 to 7 years

  	
   

  	
  97%

  	
   

  	
  89%

  	
   

  	
   

  
	
  7 to 10 years

  	
   

  	
  97%

  	
   

  	
  88%

  	
   

  	
   

  
	
  10 to 20 years

  	
   

  	
  97%

  	
   

  	
  84%

  	
   

  	
   

  

 

 19
 

 

	
  >20 years

  	
  97%

  	
  82%

  	
   

  
	
  Floating-Rate United Kingdom Gilts

  
	
  All Maturities

  	
  97%

  	
  93%

  	
   

  

 

For purposes of Appendix A:

(a) “Agency Debentures” means negotiable debt
obligations which are fully guaranteed as to both principal and interest by the
Federal National Mortgage Association, the Government National Mortgage
Association or the Federal Home Loan Mortgage Corporation, but excluding (i)
interest only and principal only securities and (ii) Collateralized Mortgage
Obligations, Real Estate Mortgage Investment Conduits and similar derivative
securities.

 20
 

Appendix
B

Ratings Event I
Collateral Amounts

The Ratings Event I Collateral Amount will be equal to
the greater of (A) zero and (B) the sum of (x) the Exposure and (y) the
aggregate of the Additional Ratings Event I Collateral Amounts for all
Transactions.

“Additional Ratings Event I Collateral Amount” means,
for each Transaction, the Notional Amount for such Transaction multiplied by
the applicable percentage as specified below.

	
  Potential Increase of Mid-Market Valuation
  of Swaps, Caps, Floors & 

  Transaction Specific Hedges

  
	
  Weighted
  Average

  	
   

  	
  Interest Rate 

  Hedges

  	
   

  	
  Currency Hedges

  
	
  Life of Hedge
  in Years

  	
   

  	
   

  	
   

  	
   

  
	
  1 or less

  	
   

  	
  0.25%

  	
   

  	
  2.20%

  
	
  2 or more but less than 3

  	
   

  	
  0.50%

  	
   

  	
  2.40%

  
	
  3 or more but less than 4

  	
   

  	
  0.70%

  	
   

  	
  2.60%

  
	
  4 or more but less than 5

  	
   

  	
  1.00%

  	
   

  	
  2.80%

  
	
  5 or more but less than 6

  	
   

  	
  1.20%

  	
   

  	
  2.90%

  
	
  6 or more but less than 7

  	
   

  	
  1.40%

  	
   

  	
  3.10%

  
	
  7 or more but less than 8

  	
   

  	
  1.60%

  	
   

  	
  3.30%

  
	
  8 or more but less than 9

  	
   

  	
  1.80%

  	
   

  	
  3.40%

  
	
  9 or more but less than 10

  	
   

  	
  2.00%

  	
   

  	
  3.60%

  
	
  10 or more but less than 11

  	
   

  	
  2.20%

  	
   

  	
  3.80%

  
	
  11 or more but less than 12

  	
   

  	
  2.30%

  	
   

  	
  3.90%

  
	
  12 or more but less than 13

  	
   

  	
  2.50%

  	
   

  	
  4.00%

  
	
  13 or more but less than 14

  	
   

  	
  2.70%

  	
   

  	
  4.10%

  
	
  14 or more but less than 15

  	
   

  	
  2.80%

  	
   

  	
  4.30%

  
	
  15 or more but less than 16

  	
   

  	
  3.00%

  	
   

  	
  4.40%

  
	
  16 or more but less than 17

  	
   

  	
  3.20%

  	
   

  	
  4.50%

  
	
  17 or more but less than 18

  	
   

  	
  3.30%

  	
   

  	
  4.60%

  
	
  18 or more but less than 19

  	
   

  	
  3.50%

  	
   

  	
  4.80%

  
	
  19 or more but less than 20

  	
   

  	
  3.60%

  	
   

  	
  4.905

  
	
  20 or more but less than 21

  	
   

  	
  3.70%

  	
   

  	
  5.00%

  
	
  21 or more but less than 22

  	
   

  	
  3.90%

  	
   

  	
  5.00%

  
	
  22 or more but less than 23

  	
   

  	
  4.00%

  	
   

  	
  5.00%

  
	
  23 or more but less than 24

  	
   

  	
  4.00%

  	
   

  	
  5.00%

  
	
  24 or more but less than 25

  	
   

  	
  4.00%

  	
   

  	
  5.00%

  
	
  25 or more but less than 26

  	
   

  	
  4.00%

  	
   

  	
  5.00%

  
	
  26 or more but less than 27

  	
   

  	
  4.00%

  	
   

  	
  5.00%

  
	
  27 or more but less than 28

  	
   

  	
  4.00%

  	
   

  	
  5.00%

  
	
  28 or more but less than 29

  	
   

  	
  4.00%

  	
   

  	
  5.00%

  
	
  29 or more but less than 30

  	
   

  	
  4.00%

  	
   

  	
  5.00%

  
	
  30 or more

  	
   

  	
  4.00%

  	
   

  	
  5.00%

  

 

 21
 

Appendix
C

Ratings Event II Collateral Amount

The Ratings Event II Collateral Amount will be equal
to the greater of (A) zero, (B) the sum, for all Transaction, of the next
payment owed by Morgan under each Transaction or (C) the sum of  (x) the Exposure and (y) the aggregate of the
Additional Ratings Event II Collateral Amounts for all Transactions.

“Additional Ratings Event II Collateral Amount” means,
for each Transaction, the Notional Amount for such Transaction multiplied by
the applicable percentage as specified below.

	
  Weighted Average

  	
   

  	
  Swaps Only

  	
   

  	
  Transaction Sepcific Hedges

  
	
  Life of Hedge

  in Years

  	
   

  	
  Interest Rate 

  Swap

  	
   

  	
  Currency Swap

  	
   

  	
  Interest Rate 

  Swap

  	
   

  	
  Currency Swap

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1 or less

  	
   

  	
  0.60%

  	
   

  	
  7.25%

  	
   

  	
  0.75%

  	
   

  	
  7.40%

  
	
  2 or more but less than 3

  	
   

  	
  1.20%

  	
   

  	
  7.50%

  	
   

  	
  1.50%

  	
   

  	
  7.80%

  
	
  3 or more but less than 4

  	
   

  	
  1.70%

  	
   

  	
  7.70%

  	
   

  	
  2.20%

  	
   

  	
  8.20%

  
	
  4 or more but less than 5

  	
   

  	
  2.30%

  	
   

  	
  8.00%

  	
   

  	
  2.90%

  	
   

  	
  8.50%

  
	
  5 or more but less than 6

  	
   

  	
  2.80%

  	
   

  	
  8.20%

  	
   

  	
  3.60%

  	
   

  	
  8.90%

  
	
  6 or more but less than 7

  	
   

  	
  3.30%

  	
   

  	
  8.40%

  	
   

  	
  4.20%

  	
   

  	
  9.20%

  
	
  7 or more but less than 8

  	
   

  	
  3.80%

  	
   

  	
  8.60%

  	
   

  	
  4.80%

  	
   

  	
  9.60%

  
	
  8 or more but less than 9

  	
   

  	
  4.30%

  	
   

  	
  8.80%

  	
   

  	
  5.40%

  	
   

  	
  9.90%

  
	
  9 or more but less than 10

  	
   

  	
  4.80%

  	
   

  	
  9.00%

  	
   

  	
  6.00%

  	
   

  	
  10.20%

  
	
  10 or more but less than 11

  	
   

  	
  5.30%

  	
   

  	
  9.20%

  	
   

  	
  6.60%

  	
   

  	
  10.50%

  
	
  11 or more but less than 12

  	
   

  	
  5.60%

  	
   

  	
  9.30%

  	
   

  	
  7.00%

  	
   

  	
  10.70%

  
	
  12 or more but less than 13

  	
   

  	
  6.00%

  	
   

  	
  9.50%

  	
   

  	
  7.50%

  	
   

  	
  11.00%

  
	
  13 or more but less than 14

  	
   

  	
  6.40%

  	
   

  	
  9.70%

  	
   

  	
  8.00%

  	
   

  	
  11.30%

  
	
  14 or more but less than 15

  	
   

  	
  6.80%

  	
   

  	
  9.80%

  	
   

  	
  8.50%

  	
   

  	
  11.50%

  
	
  15 or more but less than 16

  	
   

  	
  7.20%

  	
   

  	
  10.00%

  	
   

  	
  9.00%

  	
   

  	
  11.80%

  
	
  16 or more but less than 17

  	
   

  	
  7.60%

  	
   

  	
  10.00%

  	
   

  	
  9.50%

  	
   

  	
  12.00%

  
	
  17 or more but less than 18

  	
   

  	
  7.90%

  	
   

  	
  10.00%

  	
   

  	
  9.90%

  	
   

  	
  12.00%

  
	
  18 or more but less than 19

  	
   

  	
  8.30%

  	
   

  	
  10.00%

  	
   

  	
  10.40%

  	
   

  	
  12.00%

  
	
  19 or more but less than 20

  	
   

  	
  8.60%

  	
   

  	
  10.00%

  	
   

  	
  10.80%

  	
   

  	
  12.00%

  
	
  20 or more but less than 21

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  
	
  21 or more but less than 22

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  
	
  22 or more but less than 23

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  
	
  23 or more but less than 24

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  
	
  24 or more but less than 25

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  
	
  25 or more but less than 26

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  
	
  26 or more but less than 27

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  
	
  27 or more but less than 28

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  
	
  28 or more but less than 29

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  
	
  29 or more but less than 30

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  
	
  30 or more

  	
   

  	
  9.00%

  	
   

  	
  10.00%

  	
   

  	
  11.00%

  	
   

  	
  12.00%

  

 

 22
 

Appendix D

S&P
Overcollateralization Rate & Valuation Percentage

	
  Category 

  description

  	
   

  	
  Eligible 

  securities

  	
   

  	
  WAL

  	
   

  	
  Base Overcollateralization Rate

  	
   

  	
  S&P Valuation Percentage

  
	
  Cash

  	
   

  	
  Cash

  	
   

  	
  N/A

  	
   

  	
  100%

  	
   

  	
  100%

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Category 1

  	
   

  	
  U.S. treasuries (current coupon, constant maturity),
  ‘AAA’ U.S. agencies, ‘AAA’ covered bonds (floating), ‘AAA’ sovereign bonds
  (floating), ‘AAA’, ‘AA’ credit card ABS (floating), ‘AAA’, ‘AA’ auto ABS
  (floating), and ‘AAA’ U.S. student loan ABS (floating)

  	
   

  	
  Less than five years

  	
   

  	
  102%

  	
   

  	
  100%

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  U.S. treasuries (current coupon, constant maturity),
  ‘AAA’ U.S. agencies, ‘AAA’ covered bonds (floating), ‘AAA’ sovereign bonds
  (floating), ‘AAA’, ‘AA’ credit card ABS (floating), ‘AAA’, ‘AA’ auto ABS
  (floating), and ‘AAA’ U.S. student loan ABS (floating)

  	
   

  	
  Greater than or equal to five years and less than or
  equal to 10 years

  	
   

  	
  108%

  	
   

  	
  100%

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Category 2

  	
   

  	
  ‘AAA’ covered bonds (fixed), ‘AAA’ sovereign bonds
  (fixed), ‘A’ credit card ABS (floating), ‘A’ auto ABS (floating), ‘AAA’ CMBS
  (floating), ‘AAA’ CDO (floating) ‘AA’, ‘A’ U.S. student loan ABS (floating),
  and ‘AAA, ‘AA’ corporate bonds (fixed or floating)

  	
   

  	
  Less than five years

  	
   

  	
  105%

  	
   

  	
  100%

  

 

 23
 

 

	
   

  	
   

  	
  ‘AAA’ covered bonds (fixed), ‘AAA’ sovereign bonds
  (fixed), ‘A’ credit card ABS (floating), ‘A’ auto ABS (floating), ‘AAA’ CMBS
  (floating), ‘AAA’ CDO (floating), ‘AA’, ‘A’ U.S. student loan ABS (floating),
  and ‘AAA’, ‘AA’ U.S. and European corporate bonds (fixed or floating)

  	
   

  	
  Greater than or equal to five years and less than or
  equal to 10 years

  	
   

  	
  115%

  	
   

  	
  100%

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Category 3

  	
   

  	
  ‘BBB’ credit card ABS (floating), ‘BBB’ auto ABS
  (floating), AA’, ‘A’ CDO (floating), ‘BBB’ U.S. student loan ABS (floating),
  and ‘A’ corporate bonds (fixed or floating)

  	
   

  	
  Less than five years

  	
   

  	
  125%

  	
   

  	
  100%

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ‘BBB’ credit card ABS (floating), ‘BBB’ auto ABS
  (floating), ‘AA’, ‘A’ CDO (floating), ‘BBB’ U.S. student loan ABS (floating),
  and ‘A’ corporate bonds (fixed or floating)

  	
   

  	
  Greater than or equal to five years and less than or
  equal to 10 years

  	
   

  	
  140%

  	
   

  	
  100%

  

 

 24Exhibit 10.7

Interest Rate Swap Transaction

The purpose of this letter
agreement is to confirm the terms and conditions of the Transaction
entered into between:

JPMORGAN CHASE BANK, N.A.

(“JPMorgan”)

and

HARLEY-DAVIDSON MOTORCYCLE
TRUST 2007-3

(the
“Counterparty”)

on the Trade Date and
identified by the JPMorgan Deal Number specified below (the “Transaction”).
This letter agreement constitutes a “Confirmation” as referred to in the Master
Agreement specified below, and supersedes any previous confirmation or other
writing with respect to the transaction described below.

The definitions and
provisions contained in the 2006 ISDA Definitions (as published by the
International Swaps and Derivatives Association, Inc., the “Definitions”) are
incorporated into this Confirmation.  In
the event of any inconsistency between the Definitions and this Confirmation,
this Confirmation will govern.

Terms not otherwise defined
herein shall have the respective meaning set forth in the Indenture, dated as
of 15 August 2007 (the “Indenture”), between the Counterparty, as issuer, and
The Bank of New York Trust Company, N.A., not in its individual capacity but
solely in its capacity, as indenture trustee (the “Indenture Trustee”).

This Confirmation
supplements, forms part of, and is subject to, the ISDA Master
Agreement dated as of 30 August 2007, as amended and
supplemented from time to time (the “Agreement”), between JPMORGAN CHASE
BANK N.A. (“JPMorgan”) and HARLEY-DAVIDSON MOTORCYCLE TRUST
2007-3 (the “Counterparty”). All provisions contained in the
Agreement govern this Confirmation except as expressly modified below.

 1
 

The terms of the
particular Interest Rate Swap Transaction to which this Confirmation
relates are as follows:

	
  A. TRANSACTION DETAILS

  	
   

  
	
   

  	
   

  
	
  JPMorgan Deal
  Number(s):

  	
   

  
	
   

  	
   

  
	
  Notional Amount:

  	
  For each Calculation Period, the Outstanding Amount
  of the Class A-2b Notes as of the close of business on the Payment Date that is the first day
  of each Calculation Period, as stated
  in Servicer’s monthly investor report relating to such Payment Date (“Monthly
  Report”), or for the first Calculation Period, USD 120,000,000.00. The Counterparty will cause the Monthly
  Report relating to such calculation period to be delivered to JPMorgan on or
  prior to the date such monthly report is required to be delivered pursuant to
  the Basic Documents.

  
	
   

  	
   

  
	
  Trade Date:

  	
  23 August 2007

  
	
   

  	
   

  
	
  Effective Date:

  	
  30 August 2007

  
	
   

  	
   

  
	
  Termination
  Date:

  	
  The earliest of (i) 15 September 2010 or (ii) the
  date on which the Notional Amount hereunder has been reduced to zero, subject
  to adjustment in accordance with the Modified Following Business Day
  Convention and subject to Early Termination in accordance with the terms of
  the Agreement.

  
	
   

  	
   

  
	
  Fixed
  Amounts:

  	
   

  
	
   

  	
   

  
	
  Fixed Rate
  Payer:

  	
  Counterparty

  
	
   

  	
   

  
	
  Fixed Rate
  Payer Payment Dates:

  	
  The 15th of each month in each year, from and
  including 15 September 2007 to and including the Termination
  Date, subject to adjustment in accordance with the Modified Following
  Business Day Convention and there will be no adjustment to the
  Calculation Period.

  
	
   

  	
   

  
	
  Fixed Rate:

  	
  5.05200 percent

  
	
   

  	
   

  
	
  Fixed Rate Day
  Count Fraction:

  	
  30/360

  
	
   

  	
   

  
	
  Business Days:

  	
  New York

  

 

 2
 

 

	
  Floating Amounts:

  	
   

  
	
   

  	
   

  
	
  Floating Rate Payer:

  	
  JPMorgan

  
	
   

  	
   

  
	
  Floating Rate Payer Payment Dates:

  	
  The 15th of each month in each year, from and
  including 15 September 2007 to and including the Termination
  Date, subject to adjustment in accordance with the Modified Following
  Business Day Convention and there will be an adjustment to the Calculation
  Period.

  
	
   

  	
   

  
	
  Floating Rate for initial Calculation Period:

  	
  5.5075%

  
	
   

  	
   

  
	
  Floating Rate Option:

  	
  USD-LIBOR-BBA

  
	
   

  	
   

  
	
  Reset Dates:

  	
  The first day of each Calculation Period.

  
	
   

  	
   

  
	
  Spread:

  	
  None

  
	
   

  	
   

  
	
  Compounding:

  	
  Inapplicable

  
	
   

  	
   

  
	
  Floating Rate Day Count Fraction:

  	
  Actual/360

  
	
   

  	
   

  
	
  Designated Maturity:

  	
  1 Month

  
	
   

  	
   

  
	
  Business Days:

  	
  New York, London

  
	
   

  	
   

  
	
  Calculation Agent:

  	
  JPMorgan, unless otherwise stated in the Agreement.

  
	
   

  	
   

  
	
  B. ACCOUNT DETAILS

  	
   

  
	
   

  	
   

  
	
  Payments to JPMorgan in USD:

  	
  JPMORGAN CHASE NEW YORK

  
	
   

  	
  JPMORGAN CHASE BANK N.A.

  
	
   

  	
  BIC: CHASUS33XXX

  
	
   

  	
  AC No: 099997979

  
	
   

  	
   

  
	
  Payments to Counterparty in USD:

  	
  As per your standard settlement instructions.

  
	
   

  	
   

  
	
  C. OFFICES

  	
   

  
	
   

  	
   

  
	
  JPMorgan:

  	
  NEW YORK

  
	
   

  	
   

  
	
  Counterparty:

  	
  CHICAGO

  

 

 3
 

D. DOCUMENTS
TO BE DELIVERED

Each party shall deliver to
the other, at the time of its execution of this Confirmation, evidence of
the incumbency and specimen signature of the person(s) executing this
Confirmation, unless such evidence has been previously supplied and
remains true and in effect.

E.  RELATIONSHIP BETWEEN PARTIES

Each
party will be deemed to represent to the other party on the date on which it
enters into a Rate Swap Transaction that (absent a written agreement between
the parties that expressly imposes affirmative obligations to the contrary for
that Rate Swap Transaction):

(a)           Non-Reliance.  It is acting for its own account, and it has
made its own independent decision to enter into that Rate Swap Transaction and
as to whether that Rate Swap Transaction is appropriate or proper for it based
upon its own judgment and upon advice from such advisers as it has deemed
necessary. It is not relying on any communication (written or oral) of the
other party as investment advice or as a recommendation to enter into that Rate
Swap Transaction; it being understood that information and explanations related
to the terms and conditions of a Rate Swap Transaction shall not be considered
investment advice or a recommendation to enter into that Rate Swap
Transaction.  No communication (written
or oral) received from the other party shall be deemed to be an assurance or
guarantee as to the expected results of that Rate Swap Transaction.

(b)           Assessment and
Understanding.  It is capable
of assessing the merits of and understanding (on its own behalf or through
independent professional advice), and understands and accepts, the terms,
conditions and risks of that Rate Swap Transaction.  It is capable of assuming, and assumes the
risks of that Rate Swap Transaction.

(c)           Status of Parties.   The other party is not acting as a fiduciary
for or an adviser to it in respect of that Rate Swap Transaction.

 4
 

Please confirm that the
foregoing correctly sets forth the terms of our agreement by executing a copy
of this Confirmation and returning it to us or by sending to us a letter, telex
or facsimile substantially similar to this letter, which letter, telex or
facsimile sets forth the material terms of the Transaction to which this
Confirmation relates and indicates agreement to those terms. When referring to
this Confirmation, please indicate: JPMorgan Deal
Number(s): 6900043624747

	
  JPMorgan Chase Bank N.A.

  
	
   

  
	
   

  
	
  /s/ Carmine
  Pilla

  	
   

  
	
   

  	
   

  	
   

  
	
  Name:

  	
  Carmine Pilla

  	
   

  
	
   

  	
   

  	
   

  
	
  Title:

  	
  Vice President

  	
   

  
				

 

	
  Accepted and confirmed as of
  the date 

  
	
  first written:

  
	
  HARLEY-DAVIDSON

  
	
  MOTORCYCLE TRUST
  2007-3

  
	
   

  
	
  By: Wilmington
  Trust Company, not

  in its Individual capacity but solely as

  Owner Trustee on behalf of the Trust

  

 

	
  /s/ J.
  Christopher Murphy

  	
   

  
	
   

  	
   

  	
   

  
	
  Name:

  	
  J. Christopher
  Murphy

  	
   

  
	
   

  
	
  Title:

  	
  Financial
  Services Officer

  	
   

  
	
   

  
	
  Your reference
  number:

  	
   

  	
   

  
				

 

 5
 

Client Service Group

All queries regarding confirmations should be sent to:

JPMorgan Chase Bank, N.A.

	
  Contacts

  	
   

  
	
  JPMorgan
  Contact

  	
  Telephone
  Number

  
	
   

  	
   

  
	
  Client Service
  Group

  	
  (001) 3026344960

  
	
   

  	
   

  
	
  Group
  E-mail address:

  	
   

  
	
  Facsimile:

  	
  (001) 8888033606

  
	
  Telex:

  	
   

  
	
  Cable:

  	
   

  

 

Please
quote the JPMorgan deal number(s): 6900043624747

 6

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