Document:

EXHIBIT 10.1

EXECUTION COPY

FIRST AMENDMENT TO

AMENDED
AND RESTATED CREDIT AGREEMENT

This FIRST
AMENDMENT TO AMENDED AND
RESTATED  CREDIT AGREEMENT
(this “Amendment”), effective as of April 30, 2007, is by and between GOLDEN
OVAL EGGS, LLC, a limited liability company organized under the laws of the
State of Delaware, GOECA, LP, a Delaware limited partnership, and MIDWEST
INVESTORS OF IOWA, COOPERATIVE, a cooperative organized under the laws of the
State of Iowa (individually each a “Borrower” and collectively the “Borrowers”),
the banks and other financial institutions or entities which are signatories
hereto (individually each a “Lender” and collectively the “Lenders”),
COBANK, ACB, a federally charted instrumentality under the Farm Credit Act of
1971, as amended, one of the Lenders and as agent for the Lenders (in such
capacity, the “Administrative Agent”).

RECITALS

1.             The
Lenders and the Borrowers entered into an Amended and Restated Credit Agreement
dated as of June 30, 2006 (the “Credit Agreement”); and

2.             The
Borrowers desire to amend certain provisions of the Credit Agreement and
request waivers for certain Defaults and Events of Default, and the Lender has
agreed to make such amendments and grant such waivers, subject to the terms and
conditions set forth in this Amendment.

AGREEMENT

NOW, THEREFORE, for good and valuable
consideration, the receipt and adequacy of which are hereby acknowledged, the
parties hereto hereby covenant and agree to be bound as follows:

Section
1.      Capitalized Terms.  Capitalized terms used herein and not
otherwise defined herein shall have the meanings assigned to them in the Credit
Agreement, unless the context shall otherwise require.

Section
2.      Amendments.  The Credit Agreement is hereby amended as
follows:

2.1  Definitions.

Section 1.1 of the Credit Agreement
is hereby amended by deleting the definition of “Tangible Net Worth” in
its entirety.

Section 1.1 of the Credit Agreement
is further amended by adding the definition of “Net Worth” thereto in
correct alphabetical order:

 1
 

“Net Worth”:  As of any date of determination, the total
assets of the Borrowers as of such date, determined in accordance with GAAP,
minus total liabilities of the Borrowers as of such date, also determined in
accordance with GAAP.

2.2  Termination
Date.  The
definition of “Termination Date” in Section 1.1 of the Credit Agreement
is amended by deleting the phrase “April 30, 2007” and by substituting “March
1, 2008” in lieu thereof.

2.3  Net Worth.  Section
6.15 of the Credit Agreement is deleted in its entirety and the following is
substituted in lieu thereof:

6.15         Net
Worth.  The Borrower’s Agent will not
permit its Net Worth at any time to be less than $28,000,000 plus forty
percent (40%) of net earnings (for purposes hereof exclusive of all net losses)
accumulated after August 31, 2006, plus one hundred percent (100%) of
all equity contributed after August 31, 2006.

2.4  Current
Ratio.  Section
6.16 of the Credit Agreement is amended to read in its entirety as follows:

6.16         Current
Ratio.  Starting on August 31, 2007,
the Borrower’s Agent shall not permit the ratio of its Current Assets to its
Current Liabilities to be less than 1.0 to 1.0 at any time, provided, however,
that from May 31, 2008 and forward, the Borrower’s Agent shall not permit the
ratio of its Current Assets to its Current Liabilities to be less than 1.25 to
1.0.

2.5  Working
Capital. 
Section 6.17 of the Credit Agreement is amended to read in its entirety
as follows:

6.17         Working Capital.  Starting on August 31, 2007, the Borrower’s
Agent will not permit its Working Capital to be less than $0 at any time, provided,
however, that from May 31, 2008 and forward, the Borrower’s Agent will
not permit its Working Capital to be less than $7,000,000.

2.6  Leverage Ratio. 
Section 6.18 of the Credit Agreement is amended to read in its entirety
as follows:

6.18         Leverage Ratio.  Starting on August 31, 2007, the Borrower’s
Agent will not permit the Leverage Ratio as of the last day of any fiscal
quarter for the four consecutive fiscal quarters ending on that date, to be
more than (a) for the periods ending August 31, 2007, November 30, 2007, and
February 28, 2008, 5.0 to 1.0; (b) for the period ending May 31, 2008, and each
fiscal quarter ending thereafter, 4.25 to 1.0, provided, however, that
the Leverage Ratio shall be measured (x) for the quarter ending on August 31,
2007, on the two consecutive fiscal quarters ending on such date on an
annualized basis; and (y) for the fiscal quarter ending on November 30, 2007,
on the three consecutive fiscal quarters ending on such date on an annualized
basis.

 2
 

2.7  Fixed Charge Coverage Ratio. 
Section 6.19 of the Credit Agreement is amended to read in its entirety
as follows:

6.19         Fixed Charge
Coverage Ratio.  Starting on August
31, 2007, the Borrower’s Agent will not permit the Fixed Charge Coverage Ratio,
as of the last day of any fiscal quarter for the four consecutive fiscal
quarters ending on that date, to be less than (a) for the periods ending on
August 31, 2007, November 30, 2007 and February 28, 2008, 1.0 to 1.0, and (b)
for the period ending on May 31, 2008 and each fiscal quarter ending
thereafter, 1.25 to 1.0; provided, however, that the Fixed Charge
Coverage Ratio shall be measured (x) for the quarter ending on August 31, 2007,
on the two consecutive fiscal quarters ending on such date on an annualized
basis; and (y) for the fiscal quarter ending on November 30, 2007, on the three
consecutive fiscal quarters ending on such date on an annualized basis.

2.8  Exhibit E.  Exhibit E
to the Credit Agreement is hereby amended to read as set forth on Exhibit A
attached to this Amendment which is made a part of the Credit Agreement as
Exhibit E thereto.

2.9  Exhibit G.  Exhibit G to the Credit Agreement is hereby
amended to read as set forth on Exhibit B attached to this Amendment
which is made part of the Credit Agreement as Exhibit G thereto.

Section
3.      Effectiveness of Amendments.  The amendments contained in this Amendment
shall become effective upon delivery by the Borrowers of, and compliance by the
Borrowers with, the following:

3.1  This
Amendment duly executed by each Borrower, Borrowers’ Agent, the Administrative
Agent and Lenders.

3.2  A
copy of the limited liability company or corporate resolutions of each Borrower
authorizing the execution, delivery and performance of this Amendment certified
as true and accurate by its Secretary or Assistant Secretary (or other
appropriate officer), along with a certification by such Secretary, Assistant
Secretary or officer (i) certifying that there has been no amendment to
such Borrower’s organizational documents since true and accurate copies of the
same were delivered to the Administrative Agent with a certificate of the
Secretary of such Borrower dated June 30, 2006, and (ii) identifying each
officer of such Borrower authorized to execute this Amendment and any other
instrument or agreement executed by such Borrower in connection with this
Amendment  (collectively, the “Amendment
Documents”), and certifying as to specimens of such officer’s signature and
such officer’s incumbency in such offices as such officer holds.

3.3  Certified
copies of all documents evidencing any necessary company action, consent or
governmental or regulatory approval (if any) with respect to this Amendment.

3.4  A
certificate of good standing for each Borrower in the jurisdiction of its
formation or incorporation and each other jurisdiction where the character of
the 

 3
 

properties
owned or leased by such Borrower makes such qualification necessary, certified
by the appropriate governmental officials as of a date acceptable to the
Administrative Agent.

3.5  Results
of a recent lien search in each of the jurisdictions where the assets of each
Borrower and its Subsidiaries are located, and such search shall reveal no
Liens on any of the assets of such Borrower or its Subsidiaries except for
those Liens permitted by Section 6.13 of the Credit Agreement or discharged on
or prior to date hereof pursuant to a document reasonably satisfactory to the
Administrative Agent.

3.6  Reaffirmation
of Security Documents by each Borrower in substantially the same form of Exhibit
C attached hereto.

3.7  The
Administrative Agent shall have received executed legal opinions of counsel to
the Borrowers in form and substance reasonably satisfactory to the Lenders.

3.8  The
Borrowers shall have paid to the Administrative Agent a revolver extension fee
in the amount of $15,000 for the benefit of the Revolving Lender.

3.9  The
Borrowers shall have paid to the Administrative Agent an amendment fee in the
amount of $87,464.

3.10 The
Borrowers shall have satisfied such other conditions as specified by the
Administrative Agent, including payment of all unpaid legal fees and expenses
incurred by the Administrative Agent through the date of this Amendment in
connection with the Credit Agreement and the Amendment Documents.

Section
4.      Defaults and Waivers.

4.1  Defaults and Events of Default.

(a)  Compliance and Environmental Matters.  Under Section 5.8 of the Credit Agreement,
each Borrower agreed to (a) comply in all material respects with all laws, rules,
regulations, orders, writs, judgments, injunctions, decrees or awards to which
it may be subject and (b) maintain and comply in all material respects with all
Applicable Permits.  Further, under
Section 5.10 of the Credit Agreement, the Borrowers’ Agent agreed to give the
Administrative Agent prompt written notice of any violation as to any
environmental matter by any Borrower and of the commencement of any judicial or
administrative proceeding relating to health, safety or environmental matters
(a) in which an adverse determination or result could result in the revocation
of or have a material adverse effect on any operating permits, air emission
permits, water discharge permits, hazardous waste permits or other permits held
by any Borrower which are material to the operations of such Borrower,
including the Applicable Permits, or (b) which will or threatens to impose a
material liability on such Borrower to any Person or which will require a
material expenditure by the Borrower to cure any alleged problem or
violation.  The Borrowers’ Agent did not
provide such notice to the Administrative Agent in connection with the receipt
by Borrowers’ Agent 

 4
 

of three “Notices of
Violation” from the Iowa Department of Natural Resources, copies of which have
been provided to the Administrative Agent on the effective date of this
Agreement, each of which constitutes an Event of Default under the Credit
Agreement.

(b)  Tangible Net Worth.  Under Section 6.15 of the Credit Agreement,
the Borrower’s Agent agreed not to permit its Tangible Net Worth at any time to
be less than $28,000,000, plus forty percent (40%) of net earnings
accumulated after August 31, 2005, plus one hundred percent (100%) of
all equity contributed after August 31, 2005. 
The Borrower’s Agent has informed the Administrative Agent that it was
not in compliance with this covenant for the fiscal quarter ending February 28,
2007.

(c) 
Current Ratio.  Under
Section 6.16 of the Credit Agreement, the Borrowers’ Agent agreed to maintain
the ratio of its Current Assets to its Current Liabilities to be at least 1.25
to 1.0 at all times.  The Borrowers’
Agent has informed the Administrative Agent that it was not in compliance with
this covenant for the fiscal quarter ending February 28, 2007.

(d)  Working Capital.  Under Section 6.17 of the Credit Agreement,
the Borrowers’ Agent agreed to maintain Working Capital of at least $7,000,000
at all times.  The Borrowers’ Agent has
informed the Administrative Agent that it was not in compliance with this
covenant for the fiscal quarter ending February 28, 2007.

(e) 
Leverage Ratio.  Under
Section 6.18 of the Credit Agreement, the Borrowers’ Agent agreed not to permit
the Leverage Ratio, as of the last day of any fiscal quarter for the four
consecutive fiscal quarters ending on that date, to be more than a specified
amount.  For the quarter ending February
28, 2007, the Borrowers’ Agent agreed not to permit the Leverage Ratio to be
more than 6.50 to 1.0.  The Borrowers’
Agent has informed the Administrative Agent that it was not in compliance with
this covenant for the fiscal quarter ending February 28, 2007.

(f)   Fixed Charge Coverage Ratio.  Under Section 6.19 of the Credit Agreement,
the Borrowers’ Agent agreed not to permit the Fixed Charge Coverage Ratio, as
of the last day of any fiscal quarter for the four consecutive fiscal quarters
ending on that date, to be less than a specified amount.  For the quarter ending February 28, 2007, the
Borrowers’ Agent agreed not to permit the Fixed Charge Coverage Ratio to be
less than 1.0 to 1.0.  The Borrowers’
Agent has informed the Administrative Agent that it was not in compliance with
this covenant for the fiscal quarter ending February 28, 2007.

4.2  Waiver.

(a)   Upon the date on which this Amendment becomes
effective, the Lenders hereby waive the Defaults and Events of Default
described in the preceding Section 4.1 (the “Existing Defaults”); provided,
however, that the 

 5
 

waivers set
forth herein with respect to the Defaults described in Section 4.1(a) are
subject to the remediation of the environmental violations that led to the
issuance of the Notices of Violation no later than March 1, 2008 and the prompt
communication of any and all material developments with respect thereto.

(b)   The waiver of the Existing Defaults set forth
in Section 4.1 above above is limited to the express terms thereof, and nothing
herein shall be deemed a waiver by the Lenders of any other term, condition,
representation or covenant applicable to the Borrowers under the Credit
Agreement (including but not limited to any future occurrence similar to the
Existing Defaults) or any of the other agreements, documents or instruments
executed and delivered in connection therewith, or of the covenants described
therein.  The waivers set forth herein
shall not constitute a waiver by any Lender of any other Default or Event of
Default, if any, under the Credit Agreement, and shall not be, and shall not be
deemed to be, a course of action with respect thereto upon which any Borrower
may rely in the future, and each Borrower hereby expressly waives any claim to
such effect.

(c)   Notwithstanding anything to the contrary in
the Credit Agreement, the Compliance Certificate for the fiscal quarter ending
May 31, 2008 shall be provided to Lenders no later than June 29, 2008.

Section
5.      Representations, Warranties, Authority, No Adverse Claim.

5.1  Reassertion
of Representations and Warranties, No Default.  Each Borrower hereby
represents that on and as of the date hereof and after giving effect to this
Amendment (a) all of the representations and warranties contained in the
Credit Agreement are true, correct and complete in all respects as of the date
hereof as though made on and as of such date, except for changes permitted by
the terms of the Credit Agreement, and (b) there will exist no Default or Event
of Default under the Credit Agreement as amended by this Amendment on such date
which has not been waived by the Lenders.

5.2  Authority,
No Conflict, No Consent Required. Each Borrower
represents and warrants that such Borrower has the power and legal right and
authority to enter into the Amendment Documents and has duly authorized as
appropriate the execution and delivery of the Amendment Documents and other
agreements and documents executed and delivered by such Borrower in connection
herewith or therewith by proper company action, and none of the Amendment
Documents nor the agreements contained herein or therein contravenes or
constitutes a default under any agreement, instrument or indenture to which
such Borrower is a party or a signatory or a provision of such Borrower’s
articles of organization, bylaws or any other agreement or requirement of law,
or result in the imposition of any Lien on any of its property under any
agreement binding on or applicable to such Borrower or any of its property
except, if any, in favor of the Lenders. 
Each Borrower represents and warrants that no consent, approval or
authorization of or registration or declaration with any Person, including but
not limited to any governmental authority, is required in connection with the
execution and delivery by such Borrower of 

 6
 

the Amendment
Documents or other agreements and documents executed and delivered by such
Borrower in connection therewith or the performance of obligations of such
Borrower therein described, except for those which the Borrower has obtained or
provided and as to which the Borrower has delivered certified copies of
documents evidencing each such action to the Administrative Agent.

5.3  No
Adverse Claim. Each Borrower warrants, acknowledges
and agrees that no events have been taken place and no circumstances exist at
the date hereof which would give such Borrower a basis to assert a defense,
offset or counterclaim to any claim of any Lender with respect to the
Obligations.

Section
6.      Affirmation of Credit
Agreement, Further References, Affirmation of Security Interest.  The Lenders and each Borrower each
acknowledge and affirm that the Credit Agreement, as hereby amended, is hereby
ratified and confirmed in all respects and all terms, conditions and provisions
of the Credit Agreement, except as amended by this Amendment, shall remain
unmodified and in full force and effect. 
All references in any document or instrument to the Credit Agreement are
hereby amended and shall refer to the Credit Agreement as amended by this
Amendment.  Each Borrower confirms to the
Administrative Agent and the Lenders that the Obligations are and continue to
be secured by the security interests granted by the Borrowers in favor of the
Administrative Agent for the benefit of the Administrative Agent and the
Lenders under the Security Documents, and all of the terms, conditions,
provisions, agreements, requirements, promises, obligations, duties, covenants
and representations of the Borrowers under such documents and any and all other
documents and agreements entered into with respect to the obligations under the
Credit Agreement are incorporated herein by reference and are hereby ratified
and affirmed in all respects by each Borrower

Section
7.      Merger and Integration,
Superseding Effect. 
This Amendment, from and after the date hereof, embodies the entire
agreement and understanding between the parties hereto and supersedes and has
merged into this Amendment all prior oral and written agreements on the same
subjects by and between the parties hereto with the effect that this Amendment,
shall control with respect to the specific subjects hereof and thereof.

Section
8.      Severability.  Whenever possible, each provision of this
Amendment and the other Amendment Documents and any other statement, instrument
or transaction contemplated hereby or thereby or relating hereto or thereto
shall be interpreted in such manner as to be effective, valid and enforceable
under the applicable law of any jurisdiction, but, if any provision of this
Amendment, the other Amendment Documents or any other statement, instrument or
transaction contemplated hereby or thereby or relating hereto or thereto shall
be held to be prohibited, invalid or unenforceable under the applicable law,
such provision shall be ineffective in such jurisdiction only to the extent of
such prohibition, invalidity or unenforceability, without invalidating or
rendering unenforceable the remainder of such provision or the remaining
provisions of this Amendment, the other Amendment Documents or any other
statement, instrument or transaction contemplated hereby or thereby or relating
hereto or thereto in such jurisdiction, or affecting the effectiveness,
validity or enforceability of such provision in any other jurisdiction.

 7
 

Section
9.      Successors.  The Amendment Documents
shall be binding upon the Borrower and the Lender and their respective
successors and assigns, and shall inure to the benefit of the Borrower and the
Lender and the successors and assigns of the Lender.

Section
10.    Legal Expenses.  As provided in Section 9.2 of the Credit
Agreement, the Borrowers agree to reimburse the Administrative Agent, upon
execution of this Amendment, for all reasonable out-of-pocket expenses
(including attorney’ fees and legal expenses of Dorsey & Whitney LLP,
counsel for the Administrative Agent) incurred in connection with the Credit
Agreement, including in connection with the negotiation, preparation and
execution of the Amendment Documents and all other documents negotiated, prepared
and executed in connection with the Amendment Documents, and in enforcing the
obligations of the Borrowers under the Amendment Documents, and to pay and save
the Administrative Agent and Lenders harmless from all liability for, any stamp
or other taxes which may be payable with respect to the execution or delivery
of the Amendment Documents, which obligations of the Borrowers shall survive
any termination of the Credit Agreement.

Section
11.    Headings.  The headings of various sections of this
Amendment have been inserted for reference only and shall not be deemed to be a
part of this Amendment.

Section
12.    Counterparts.  The Amendment Documents may be executed in
several counterparts as deemed necessary or convenient, each of which, when so
executed, shall be deemed an original, provided that all such counterparts
shall be regarded as one and the same document, and either party to the
Amendment Documents may execute any such agreement by executing a counterpart
of such agreement.

Section
13.    Governing Law.  AT THE OPTION OF THE
ADMINISTRATIVE AGENT, THIS AGREEMENT AND THE OTHER AMENDMENT DOCUMENTS MAY BE
ENFORCED IN ANY FEDERAL COURT OR COLORADO STATE COURT SITTING IN CITY OR COUNTY
OF DENVER; AND EACH BORROWER CONSENTS TO THE JURISDICTION AND VENUE OF ANY SUCH
COURT AND WAIVES ANY ARGUMENT THAT VENUE IN SUCH FORUMS IS NOT CONVENIENT.  IN THE EVENT ANY BORROWER COMMENCES ANY
ACTION IN ANOTHER JURISDICTION OR VENUE UNDER ANY TORT OR CONTRACT THEORY
ARISING DIRECTLY OR INDIRECTLY FROM THE RELATIONSHIP CREATED BY THIS AGREEMENT,
THE ADMINISTRATIVE AGENT AT ITS OPTION SHALL BE ENTITLED TO HAVE THE CASE
TRANSFERRED TO ONE OF THE JURISDICTIONS AND VENUES ABOVE-DESCRIBED, OR IF
SUCH TRANSFER CANNOT BE ACCOMPLISHED UNDER APPLICABLE LAW, TO HAVE SUCH CASE
DISMISSED WITHOUT PREJUDICE.

Section
14.    Waiver of Jury Trial.  EACH BORROWER, THE ADMINISTRATIVE AGENT AND
EACH LENDER IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL
PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY OTHER LOAN
DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY.

[The next page is
the signature page.]

 8

IN WITNESS WHEREOF, the
parties hereto have caused this Amendment to be executed as of the date and
year first above written.

	
  

  	
  GOLDEN OVAL EGGS, LLC,

  
	
   

  	
  as a Borrower and the Borrowers’ Agent

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  

 

	
  

  	
  MIDWEST INVESTORS OF IOWA, 

  
	
   

  	
  COOPERATIVE, as a Borrower

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  

 

	
  Address for the Borrowers

  	
   

  
	
  For Purposes of Notice:

  	
  GOECA, LP, as a Borrower

  
	
   

  	
  By its General Partner

  
	
  1800 Park Avenue East

  	
  GOEMCA, Inc.

  
	
  P.O. Box 615

  	
   

  	
   

  
	
  Renville, MN 
  56284

  	
  By:

  	
   

  
	
  Fax: (320) 329-3276

  	
  Name:

  
	
  Attention: 

  	
  Title:

  

 

[SIGNATURE PAGE TO FIRST AMENDMENT TO AMENDED AND
RESTATED CREDIT AGREEMENT]

 S-1
 

 

	
  

  	
  COBANK, ACB,

  
	
   

  	
  as a Lender and as the Administrative Agent

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  
	
   

  	
  Address for funding notices:

  
	
   

  	
  5500 South Quebec Street

  
	
   

  	
  Greenwood Village, CO 80111

  
	
   

  	
  P.O. Box 5110

  
	
   

  	
  Denver, CO 80217

  
	
   

  	
  Attention: [Kelly Purtell]

  
	
   

  	
  Fax: (303) 740-4021

  
	
   

  	
   

  
	
   

  	
  Address for all other notices:

  
	
   

  	
  Interchange Tower, Suite 300

  
	
   

  	
  600 Highway 169 South

  
	
   

  	
  Minneapolis, MN 55426-1219

  
	
   

  	
  Fax: [           ]

  
	
   

  	
  Attention: Jeff Doorenbos

  
					

 

	
  

  	
  METROPOLITAN LIFE INSURANCE 

  
	
   

  	
  COMPANY, as a Bank 

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  
	
   

  	
  Address for funding notices:

  
	
   

  	
   

  
	
   

  	
  Address for all other notices

  
	
   

  	
  4401 Westown Parkway

  
	
   

  	
  Suite 220

  
	
   

  	
  West Des Moines, IA 
  50266

  
	
   

  	
  Fax: (515) 223-0757

  
	
   

  	
  Attention: [Tony Jennings]

  
					

 

 

 S-2
 

 

	
  

  	
  [Lenders] 

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  
	
   

  	
  Address for funding notices:

  
	
   

  	
   

  
	
   

  	
  Address for all other notices:

  
	
   

  	
   

  
	
   

  	
  Attention: 

  
					

 

 

 S-3

EXHIBIT A TO

FIRST AMENDMENT TO

AMENDED AND
RESTATED

CREDIT AGREEMENT

FORMULA FOR

BORROWING
BASE

1.             Borrowing Base. 
The “Borrowing Base” as of any date of determination shall be the sum of
the following:

(a)           85% of the face amount of Eligible
Receivables less than or equal to sixty (60) days past due; and

(b)           75% of the face amount of Eligible
Receivables greater than sixty (60) days but less than or equal to ninety (90)
days past due; and

(c)           65% of the lower of cost (determined
on a first-in, first-out basis) or market value of Eligible
Inventory but excluding corn and soybean meal inventory; and

(d)           85% of the lower of cost (determined
on a first-in, first-out basis) or Market Value of Eligible Inventory
consisting of corn and soybean meal inventory.

2.             Definitions. 
Capitalized terms use herein which are defined in the Credit Agreement
are used herein with the respective meanings attributed thereto in the Credit
Agreement.  In addition, for the purposes
of this Exhibit and for determining the Borrowing Base, the following terms
shall have the following respective meanings:

“Eligible
Receivables”:  the rights of Borrower’s
Agent to receive payment for goods sold and delivered or services rendered,
including any such right evidenced by instruments or chattel paper, provided
such rights to payment:

(a)                                  are
not subject to any dispute, set-off, or counterclaim;

(b)                                 are
not owing by an account debtor that is subject to a bankruptcy, reorganization,
receivership or like proceeding;

(c)                                  are
not subject to a lien in favor of any third party, other than liens authorized
by Required Lenders in writing which are subordinate to the Administrative
Agent’s Lien;

(d)                                 are
not owing by an account debtor that is owned or controlled by any Borrower;

(e)                                  are
not accounts due more than 120 days from invoice date;

(f)                                    are
not accounts with 50% or more of the balances past due more than 90 days;

 

[EXHIBIT
A TO FIRST AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT]

 A-1
 

(g)                                 are
not foreign receivables; provided, however, that receivables of
Canadian Inovatech, Inc. in an amount not to exceed $300,000 are not considered
“foreign receivables”;

(h)                                 are
not government receivables in excess of $500,000; or

(i)                                     are
not deemed ineligible by the Administrative Agent.

provided,
that the Administrative Agent shall, notwithstanding the foregoing, have the
right, in the reasonable exercise of its discretion, to establish reserves
against the aggregate amount of Eligible Receivables.

“Eligible
Inventory”:  all inventory held by
the Borrower’s Agent as pullet and hen inventory, finished product, corn and
soybean meal inventory or other feed and grain inventory, and which:

(a)                                  is
owned by the Borrower’ Agent and not held by the Borrower’s Agent on
consignment or similar basis;

(b)                                 is
not subject to a Lien except in favor of the Administrative Agent;

(c)                                  is
in commercially marketable condition; and

(d)                                 is
not deemed ineligible by the Administrative Agent.

provided,
that the Administrative Agent shall, notwithstanding the foregoing, have the
right, in the reasonable exercise of its discretion, to establish reserves
against the aggregate amount of Eligible Inventory.

 A-2

EXHIBIT B TO

FIRST AMENDMENT TO

AMENDED AND
RESTATED

CREDIT AGREEMENT

FORM
OF COMPLIANCE CERTIFICATE

To: CoBank, ACB:

THE UNDERSIGNED HEREBY
CERTIFIES THAT:

(1)           I am the duly elected Chief Financial
Officer of Golden Oval Eggs, LLC (the “Borrowers’ Agent”);

(2)           I have reviewed the terms of the
Amended and Restated Credit Agreement dated as of June 30, 2006, as amended by
a First Amendment to Amended and Restated Credit Agreement dated as of April
[30] 2007, among the Borrowers’ Agent, Midwest Investors of Iowa, Cooperative,
and GOECA, LP (collectively, the “Borrowers”), and CoBank, ACB,
Metropolitan Life Insurance Company and the other lenders party thereto (the “Credit
Agreement”) and I have made, or have caused to be made under my
supervision, a detailed review of the transactions and conditions of the
Borrowers during the accounting period covered by the Attachment hereto;

(3)           The examination described in paragraph
(2) did not disclose, and I have no knowledge, whether arising out of such
examinations or otherwise, of the existence of any condition or event which
constitutes a Default or an Event of Default (as such terms are defined in the
Credit Agreement) during or at the end of the accounting period covered by the
Attachment hereto or as of the date of this Certificate, except as described
below (or on a separate attachment to this Certificate).  The exceptions listing in detail the nature
of each condition or event, the period during which it has existed and the
action which the Borrowers have taken, are taking or propose to take with
respect to each such condition or event are as follows:

(4)           The computations of the ratios and/or
financial restrictions set forth on the Attachment are true and correct as of
the end of the accounting period covered by such Attachment.

 

[EXHIBIT B TO FIRST
AMENDMENT TO AMENDED AND RESTATED CREDIT AGREEMENT]

 B-1
 

The foregoing
certification, together with the computations in the Attachment hereto and the
financial statements delivered with this Certificate in support hereof, are
made and delivered this        day of                          ,               pursuant
to Section 5.1(d) of the Credit Agreement.

	
  

  	
  GOLDEN OVAL EGGS, LLC,

  
	
   

  	
  as Borrowers’ Agent

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
					

 

 B-2
 

ATTACHMENT TO COMPLIANCE CERTIFICATE

AS OF                  ,
         WHICH PERTAINS

TO THE PERIOD FROM                            ,
           

TO
                          ,
             

	
  Section 6.15:

  	
   

  	
  A.  Total
  Assets

  	
  $

  
	
  Net Worth

  	
  B.   Total
  Liabilities 

  	
  $

  
	
   

  	
  C.   Net
  Earnings 

  	
  $

  
	
   

  	
  D.  Equity
  Contributed 

  	
  $

  
	
   

  	
  E.   Actual Net
  Worth 

  [A-B] 

  	
  $

  
	
   

  	
  F.   Minimum
  Net Worth 

  [$28,800,000 + (40% x C) + D]

  	
  $

  

 

	
  Section 6.15:

  	
   

  	
  A.  Current
  Assets

  	
  $

  
	
  Current Ratio

  	
  B.   Current
  Liabilities 

  	
  $

  
	
   

  	
  C.   Current
  Ratio

  (Ratio of (A) to (B))

  	
             
  to 1.0

  
	
   

  	
  D.  Minimum
  Current Ratio

  Except:  August 31, 2007, November 30,
  2007 and February 28, 2008

  	
  1.25 to 1.0

  

  1.0 to 1.0

  

 

	
  Section 6.17:

  	
   

  	
  A.  Current
  Assets

  	
  $

  
	
  Working Capital

  	
  B.   Current
  Liabilities 

  	
  $

  
	
   

  	
  C.   Working
  Capital (A-B)

  

  Minimum

  

  Except:  August 31, 2007, November 30,
  2007 

  and February 28, 2008

  	
  $

  $7,000,000

   

  $0

  

 

 B-3
 

 

	
  Section 6.18:

  	
   

  	
  A.  Funded Debt

  	
  $

  
	
  Leverage Ratio 

  	
  B.   EBITDA

  a.    Consolidated
  Net Income, plus

  b.    Interest
  Expense, plus

  c.    income
  tax expense, plus

  d.    non-layer
  depreciation, plus

  e.    amortization

  Total (EBITDA)

  	
  $

  $

  $

  $

  $

  $

  
	
   

  	
  E.   Leverage
  Ratio (A/B)

  	
             
  to 1.0

  
	
   

  	
  F.   Maximum
  Leverage Ratio

  a.    Each
  quarter until quarter ending on February 28, 2008

  b.    May 31,
  2008 and thereafter

  	
  5.0 to 1.0

  4.25 to 1.0

  

 

	
  Section 6.19:

  	
   

  	
  A.  EBITDA

  	
  $

  
	
  Fixed Charge Coverage Ratio 

  	
  B.   Capital
  Expenditures not financed with Indebtedness

  	
  $

  
	
   

  	
  C.   Equity
  Interest re-purchases by the Borrowers’ Agent

  	
  $

  
	
   

  	
  D.  Equity
  retirements by the Borrowers’ Agent

  	
  $

  
	
   

  	
  E.   Adjusted
  Dividend Accrual

  	
  $

  
	
   

  	
  F.   Fixed
  Charges [A - (B + C + D + E)]

  	
  $

  
	
   

  	
  G.   Sum of
  Interest Expense and all required principal payments with respect to Total
  Liabilities

  	
  $

  
	
   

  	
  H.  Fixed
  Charge Coverage Ratio [F/G]

  	
             
  to 1.0

  
	
   

  	
  I.    Minimum
  Fixed Charge Coverage Ratio

  a.    August
  31, 2007, November 30, 2007 and February 28, 2008

  b.    May 31,
  2008 and thereafter

  	
  1.0 to 1.0

  

  [1.25 or 1.15] to 1.0

  

 

 B-4
 

 

	
  Section 6.21:

  	
   

  	
  A.  Finished
  egg production under contract

  	
  lbs.

  
	
  Risk Mangement

  	
  B.   Total
  finished egg production

  	
  lbs.

  
	
   

  	
  C.   Contracted
  Production [100 x (A/B)]

  	
  %

  
	
   

  	
  D.  Minimum
  Contracted Production

  a.    Current
  Ratio 3 1.25 to 1.00 but
  <
  1.50 to 1.00

  b.    Current
  Ratio 3 1.50 to 1.00 but
  <  2.00 to 1.00

  c.    Current
  Ratio 3 2.00 to 1.00

  	
   

  350%

  340%

  330%

  

 

 B-5

EXHIBIT C-1

TO FIRST AMENDMENT

TO AMENDED AND RESTATED

CREDIT AGREEMENT

FORM OF REAFFIRMATION OF SECURITY
AGREEMENT (GOE/MII)

[April 30, 2007]

CoBank, ACB, as Administrative Agent

Interchange Tower, Suite 300

600 Highway 169 South

Minneapolis, MN 55426-1219

Fax: [                             ]

Attention: Jeff Doorenbos

Re:                               Security
Agreement dated September 13, 2004 (as the same has been or may be amended,
restated or otherwise modified from time to time, the “Security Agreement”)
executed by Golden Oval Eggs, LLC and Midwest Investors of Iowa, Cooperative
(collectively, the “Grantors”), in favor of CoBank, ACB, as
administrative agent (in such capacity, the “Administrative Agent”) to
the lenders party to the Credit Agreement described below (the “Lenders”).

The Grantors, the Lenders
and the Administrative Agent are parties to an Amended and Restated Credit
Agreement dated June 30, 2006 (the “A & R Credit Agreement”).  The A & R Credit Agreement is being
amended pursuant to a First Amendment to Amended and Restated Credit Agreement
dated concurrently herewith between the Grantors and GOECA, LP (collectively
the “Borrowers”), the Lenders and the Administrative Agent.  This will confirm that the obligations of the
Borrowers to the Administrative Agent or any Lender under the A & R Credit
Agreement, as amended by the First Amendment, constitute “Obligations” of the
Grantors to the Administrative Agent within the meaning of the Security
Agreement.  The undersigned confirms to
the Administrative Agent and the Lenders that all of the terms, conditions,
provisions, agreements, requirements, promises, obligations, duties, covenants
and representations of the undersigned under the Security Agreement and any and
all other documents and agreements entered into with respect to the obligations
under the Security Agreement, are incorporated herein by reference and are
hereby ratified and affirmed in all respects by the undersigned.

[The remainder of
this page is intentionally left blank.]

 

[EXHIBIT C-1 TO FIRST AMENDMENT TO
AMENDED AND RESTATED CREDIT AGREEMENT]

 

 C1-1
 

 

	
  

  	
  GOLDEN OVAL EGGS, LLC

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Its:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  MIDWEST INVESTORS OF IOWA, COOPERATIVE

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Its:

  

 

[Signature Page to Reaffirmation of Security Agreement]

 C1-2

EXHIBIT C-2

TO FIRST AMENDMENT

TO AMENDED AND RESTATED

CREDIT AGREEMENT

FORM OF REAFFIRMATION OF SECURITY
AGREEMENT (GOECA)

[April 30, 2007]

CoBank, ACB, as Administrative Agent

Interchange Tower, Suite 300

600 Highway 169 South

Minneapolis, MN 55426-1219

Fax: [                             ]

Attention: Jeff Doorenbos

Re:                               Security
Agreement dated June 30, 2006 (as the same has been or may be amended, restated
or otherwise modified from time to time, the “Security Agreement”)
executed by GOECA, LP, a Delaware limited partnership (the “Grantor”),
in favor of CoBank, ACB, as administrative agent (in such capacity, the “Administrative
Agent”) to the lenders party to the Credit Agreement described below (the “Lenders”).

The Grantor, the
Lenders and the Administrative Agent are parties to an Amended and Restated
Credit Agreement dated June 30, 2006 (the “A & R Credit Agreement”).  The A & R Credit Agreement is being
amended pursuant to a First Amendment to Amended and Restated Credit Agreement
dated concurrently herewith between the Grantor, Golden Oval Eggs, LLC, a
Delaware limited liability company, and Midwest Investors of Iowa, Cooperative,
an Iowa cooperative (collectively with Grantor, the “Borrowers”), the
Lenders and the Administrative Agent. 
This will confirm that the obligations of the Borrowers to the
Administrative Agent or any Lender under the A & R Credit Agreement, as
amended by the First Amendment, constitute “Obligations” of the Grantor to the
Administrative Agent within the meaning of the Security Agreement.  The undersigned confirms to the
Administrative Agent and the Lenders that all of the terms, conditions,
provisions, agreements, requirements, promises, obligations, duties, covenants
and representations of the undersigned under the Security Agreement and any and
all other documents and agreements entered into with respect to the obligations
under the Security Agreement, are incorporated herein by reference and are
hereby ratified and affirmed in all respects by the undersigned.

[The remainder of this
page is intentionally left blank.]

 C2-1
 

 

	
  

  	
  GOECA, LP,  as Grantor

  
	
   

  	
  By its General Partner

  
	
   

  	
  GOEMCA, Inc.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  

 

Address
for Grantor:

340
Dupont Avenue NE

Renville, MN 56284

Grantor’s
Org. ID # 4154844

[Signature Page to Reaffirmation of
Security Agreement]

 C2-2Exhibit 4.1

EXECUTION VERSION

IHOP FRANCHISING, LLC,

as Issuer

and

IHOP IP, LLC,

as Co-Issuer

and

WELLS FARGO BANK, NATIONAL ASSOCIATION,

as Indenture Trustee

BASE INDENTURE

Dated as of March 16, 2007

Asset Backed Notes

(Issuable in Series)

TABLE OF CONTENTS

 

	
  ARTICLE I

  

 

	
  DEFINITIONS

  

 

	
  Section 1.1

  	
   

  	
  Definitions

  	
   

  	
   

  
	
  Section 1.2

  	
   

  	
  Rules of Construction

  	
   

  	
   

  

 

	
  ARTICLE II

  

 

	
  THE NOTES

  

 

	
  Section 2.1

  	
   

  	
  Forms Generally

  	
   

  	
   

  
	
  Section 2.2

  	
   

  	
  Forms of Notes and Certificate of Authentication

  	
   

  	
   

  
	
  Section 2.3

  	
   

  	
  Authorized Amount; Issuable in Series

  	
   

  	
   

  
	
  Section 2.4

  	
   

  	
  Execution, Authentication, Delivery and Dating

  	
   

  	
   

  
	
  Section 2.5

  	
   

  	
  Registration, Registration of Transfer and Exchange

  	
   

  	
   

  
	
  Section 2.6

  	
   

  	
  Mutilated, Defaced, Destroyed, Lost or Stolen Note

  	
   

  	
   

  
	
  Section 2.7

  	
   

  	
  Payment of Principal and Interest and Other Amounts;
  Rights Preserved

  	
   

  	
   

  
	
  Section 2.8

  	
   

  	
  Persons Deemed Owners

  	
   

  	
   

  
	
  Section 2.9

  	
   

  	
  Cancellation

  	
   

  	
   

  
	
  Section 2.10

  	
   

  	
  Global Notes; Temporary Notes

  	
   

  	
   

  
	
  Section 2.11

  	
   

  	
  No Gross Up

  	
   

  	
   

  
	
  Section 2.12

  	
   

  	
  Tax Confidentiality Waiver

  	
   

  	
   

  
	
  Section 2.13

  	
   

  	
  Actions under an Insurance Policy

  	
   

  	
   

  
	
  Section 2.14

  	
   

  	
  Subrogation Rights of Insurers; Payment of Reimbursements

  	
   

  	
   

  
	
  Section 2.15

  	
   

  	
  Additional Covenant of the Insurers

  	
   

  	
   

  
	
  Section 2.16

  	
   

  	
  Applicability of Sections 2.13, 2.14 and 2.15

  	
   

  	
   

  
	
  Section 2.17

  	
   

  	
  Escheat

  	
   

  	
   

  

 

	
  ARTICLE III

  

 

	
  CONDITIONS PRECEDENT

  

 

	
  Section 3.1

  	
   

  	
  General Provisions

  	
   

  	
   

  
	
  Section 3.2

  	
   

  	
  Security for Notes

  	
   

  	
   

  
	
  Section 3.3

  	
   

  	
  Issuance of New Notes

  	
   

  	
   

  

 

	
  ARTICLE IV

  

 

	
  SATISFACTION AND DISCHARGE

  

 

	
  Section 4.1

  	
   

  	
  Satisfaction and Discharge of Indenture

  	
   

  	
   

  

 

 i
 

 

	
  Section 4.2

  	
   

  	
  Application of Trust Money

  	
   

  	
   

  
	
  Section 4.3

  	
   

  	
  Reinstatement

  	
   

  	
   

  

 

	
  ARTICLE V

  

 

	
  EVENTS OF DEFAULT AND
  REMEDIES

  

 

	
  Section 5.1

  	
   

  	
  Events of Default

  	
   

  	
   

  
	
  Section 5.2

  	
   

  	
  Acceleration of Maturity; Rescission and Annulment

  	
   

  	
   

  
	
  Section 5.3

  	
   

  	
  Enforcement

  	
   

  	
   

  
	
  Section 5.4

  	
   

  	
  Application of Monies Collected by Indenture Trustee

  	
   

  	
   

  
	
  Section 5.5

  	
   

  	
  Waiver of Appraisement, Valuation, Stay and Right to
  Marshaling

  	
   

  	
   

  
	
  Section 5.6

  	
   

  	
  Remedies Cumulative; Delay or Omission Not a Waiver

  	
   

  	
   

  
	
  Section 5.7

  	
   

  	
  Control of Notes

  	
   

  	
   

  

 

	
  ARTICLE VI

  

 

	
  THE INDENTURE TRUSTEE

  

 

	
  Section 6.1

  	
   

  	
  Certain Duties and Responsibilities

  	
   

  	
   

  
	
  Section 6.2

  	
   

  	
  Notice of Default

  	
   

  	
   

  
	
  Section 6.3

  	
   

  	
  Certain Rights of Indenture Trustee

  	
   

  	
   

  
	
  Section 6.4

  	
   

  	
  May Hold Notes

  	
   

  	
   

  
	
  Section 6.5

  	
   

  	
  Money Held in Trust

  	
   

  	
   

  
	
  Section 6.6

  	
   

  	
  Compensation and Reimbursement

  	
   

  	
   

  
	
  Section 6.7

  	
   

  	
  Corporate Indenture Trustee Required; Eligibility

  	
   

  	
   

  
	
  Section 6.8

  	
   

  	
  Resignation and Removal; Appointment of Successor

  	
   

  	
   

  
	
  Section 6.9

  	
   

  	
  Acceptance of Appointment by Successor

  	
   

  	
   

  
	
  Section 6.10

  	
   

  	
  Merger, Conversion, Consolidation or Succession to
  Business of Indenture Trustee

  	
   

  	
   

  
	
  Section 6.11

  	
   

  	
  Co-Indenture Trustees and Separate Indenture Trustee

  	
   

  	
   

  
	
  Section 6.12

  	
   

  	
  Fiduciary for Holders Only; Agent for Other Secured
  Parties

  	
   

  	
   

  
	
  Section 6.13

  	
   

  	
  Withholding

  	
   

  	
   

  
	
  Section 6.14

  	
   

  	
  Authenticating Agents

  	
   

  	
   

  

 

	
  ARTICLE VII

  

 

	
  REPRESENTATIONS AND
  COVENANTS

  

 

	
  Section 7.1

  	
   

  	
  Payment of Principal and Interest

  	
   

  	
   

  
	
  Section 7.2

  	
   

  	
  Maintenance of Office or Agency

  	
   

  	
   

  
	
  Section 7.3

  	
   

  	
  Money for Security Payments to Be Held in Trust

  	
   

  	
   

  
	
  Section 7.4

  	
   

  	
  Existence of the Co-Issuers; Independent Managers;
  Existence of IHOP Inc

  	
   

  	
   

  
	
  Section 7.5

  	
   

  	
  Protection of Collateral; Performance of Obligations

  	
   

  	
   

  
	
  Section 7.6

  	
   

  	
  Opinions as to Collateral

  	
   

  	
   

  
	
  Section 7.7

  	
   

  	
  Performance of Obligations

  	
   

  	
   

  

 

 ii
 

 

	
  Section 7.8

  	
   

  	
  Negative Covenants

  	
   

  	
   

  
	
  Section 7.9

  	
   

  	
  No Other Business

  	
   

  	
   

  
	
  Section 7.10

  	
   

  	
  Calculation Agent

  	
   

  	
   

  
	
  Section 7.11

  	
   

  	
  Indebtedness

  	
   

  	
   

  
	
  Section 7.12

  	
   

  	
  Representations and Warranties

  	
   

  	
   

  
	
  Section 7.13

  	
   

  	
  Affirmative Covenants

  	
   

  	
   

  
	
  Section 7.14

  	
   

  	
  Further Assurances

  	
   

  	
   

  
	
  Section 7.15

  	
   

  	
  Financial Covenants

  	
   

  	
   

  
	
  Section 7.16

  	
   

  	
  Security Interest Representations, Warranties and
  Covenants of the Co-Issuers

  	
   

  	
   

  

 

	
  ARTICLE VIII

  

 

	
  SUPPLEMENTAL INDENTURES

  

 

	
  Section 8.1

  	
   

  	
  Supplemental Indentures without Consent of
  Noteholders

  	
   

  	
   

  
	
  Section 8.2

  	
   

  	
  Consents to Supplemental Indentures

  	
   

  	
   

  
	
  Section 8.3

  	
   

  	
  Execution of Supplemental Indentures

  	
   

  	
   

  
	
  Section 8.4

  	
   

  	
  Effect of Supplemental Indentures

  	
   

  	
   

  
	
  Section 8.5

  	
   

  	
  Reference in Notes to Supplemental Indenture

  	
   

  	
   

  

 

	
  ARTICLE IX

  

 

	
  REDEMPTION OF NOTES

  

 

	
  Section 9.1

  	
   

  	
  Mandatory Redemption

  	
   

  	
   

  
	
  Section 9.2

  	
   

  	
  Optional Redemption by Co-Issuers; Conditions
  Precedent to Optional Redemption; Election to Redeem

  	
   

  	
   

  
	
  Section 9.3

  	
   

  	
  Notice to Indenture Trustee and Affected Insurers of
  Optional Redemption

  	
   

  	
   

  
	
  Section 9.4

  	
   

  	
  Notice of Optional Redemption or Maturity by the
  Co-Issuers

  	
   

  	
   

  
	
  Section 9.5

  	
   

  	
  Notes Payable on Optional Redemption Date

  	
   

  	
   

  

 

	
  ARTICLE X

  

 

	
  COLLECTIONS AND ALLOCATION
  OF FUNDS AND MAINTENANCE OF ACCOUNTS

  

 

	
  Section 10.1

  	
   

  	
  Segregation of Money; Investments

  	
   

  	
   

  
	
  Section 10.2

  	
   

  	
  Lock-Box Account, Collections Account, Lease and
  Reimbursement Payment Account, Franchisee Insurance Proceeds Account,
  Advertising Funds Account and Residual Account

  	
   

  	
   

  
	
  Section 10.3

  	
   

  	
  Principal Payment Accounts

  	
   

  	
   

  
	
  Section 10.4

  	
   

  	
  Expense Payment Accounts

  	
   

  	
   

  
	
  Section 10.5

  	
   

  	
  Interest Payment Accounts

  	
   

  	
   

  
	
  Section 10.6

  	
   

  	
  Fee Payment Accounts

  	
   

  	
   

  
	
  Section 10.7

  	
   

  	
  Interest Reserve Accounts

  	
   

  	
   

  
	
  Section 10.8

  	
   

  	
  Trigger Reserve Accounts

  	
   

  	
   

  
	
  Section 10.9

  	
   

  	
  Disbursement of Funds from Collections Account

  	
   

  	
   

  

 

 iii
 

 

	
  Section 10.10

  	
   

  	
  Notices to Insurers and the Rating Agencies

  	
   

  	
   

  

 

	
  ARTICLE XI

  

 

	
  APPLICATION OF FUNDS

  

 

	
  Section 11.1

  	
   

  	
  Application of Funds

  	
   

  	
   

  

 

	
  ARTICLE XII

  

 

	
  REPORTS

  

 

	
  Section 12.1

  	
   

  	
  Reports and Instructions to Indenture Trustee

  	
   

  	
   

  
	
  Section 12.2

  	
   

  	
  Annual Noteholders’ Tax Statement

  	
   

  	
   

  
	
  Section 12.3

  	
   

  	
  Rule 144A Information

  	
   

  	
   

  
	
  Section 12.4

  	
   

  	
  Reports, Financial Statements and Other Information
  to Noteholders

  	
   

  	
   

  
	
  Section 12.5

  	
   

  	
  Servicer

  	
   

  	
   

  
	
  Section 12.6

  	
   

  	
  Standard of Conduct

  	
   

  	
   

  
	
  Section 12.7

  	
   

  	
  Right to List of Holders

  	
   

  	
   

  

 

	
  ARTICLE XIII

  

 

	
  HEDGE AGREEMENTS

  

 

	
  Section 13.1

  	
   

  	
  Hedge Agreements

  	
   

  	
   

  
	
  Section 13.2

  	
   

  	
  Terms of Hedge Agreements Contained in Series
  Supplement

  	
   

  	
   

  
	
  Section 13.3

  	
   

  	
  Hedge Counterparties

  	
   

  	
   

  

 

	
  ARTICLE XIV

  

 

	
  RELEASE OF EXCLUDED
  ASSETS FROM TRUST ESTATE

  

 

	
  Section 14.1

  	
   

  	
  Release of Excluded Assets from the Trust Estate

  	
   

  	
   

  
	
  Section 14.2

  	
   

  	
  Delivery of Documents by Indenture Trustee

  	
   

  	
   

  

 

	
  ARTICLE XV

  

 

	
  MISCELLANEOUS

  

 

	
  Section 15.1

  	
   

  	
  Form of Documents Delivered to Indenture Trustee

  	
   

  	
   

  
	
  Section 15.2

  	
   

  	
  Acts of Holders

  	
   

  	
   

  
	
  Section 15.3

  	
   

  	
  Notices, etc.

  	
   

  	
   

  
	
  Section 15.4

  	
   

  	
  Notices to Holders; Waiver

  	
   

  	
   

  
	
  Section 15.5

  	
   

  	
  Effect of Headings and Table of Contents

  	
   

  	
   

  
	
  Section 15.6

  	
   

  	
  Successors and Assigns

  	
   

  	
   

  
	
  Section 15.7

  	
   

  	
  No Bankruptcy Petition Against the Securitization
  Entities

  	
   

  	
   

  
	
  Section 15.8

  	
   

  	
  Confidential Information

  	
   

  	
   

  
	
  Section 15.9

  	
   

  	
  Separability

  	
   

  	
   

  

 

 iv
 

 

	
  Section 15.10

  	
   

  	
  Benefits of Indenture

  	
   

  	
   

  
	
  Section 15.11

  	
   

  	
  Legal Holidays

  	
   

  	
   

  
	
  Section 15.12

  	
   

  	
  Governing Law

  	
   

  	
   

  
	
  Section 15.13

  	
   

  	
  Submission to Jurisdiction

  	
   

  	
   

  
	
  Section 15.14

  	
   

  	
  Counterparts

  	
   

  	
   

  

 

 

 

	
  Appendix A

  	
   

  	
  Definitions

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Schedule 1

  	
   

  	
  List of Subsidiaries of the Issuer

  	
   

  	
   

  
	
  Schedule 2

  	
   

  	
  List of Eligible Investments

  	
   

  	
   

  
	
  Schedule 3

  	
   

  	
  List of Existing Non-Assignable Third Party
  Intellectual Property

  	
   

  	
   

  
	
  Schedule 3(a)

  	
   

  	
  [RESERVED]

  	
   

  	
   

  
	
  Schedule 3(b)

  	
   

  	
  [RESERVED]

  	
   

  	
   

  
	
  Schedule 4

  	
   

  	
  [RESERVED]

  	
   

  	
   

  
	
  Schedule 5

  	
   

  	
  List of Proprietary Products

  	
   

  	
   

  
	
  Schedule 7.9

  	
   

  	
  Competitive Business

  	
   

  	
   

  
	
  Schedule 7.12(g)

  	
  Liens other than Permitted Liens (Collateral)

  	
   

  	
   

  
	
  Schedule 7.12(u)

  	
  Materially Adverse Proceedings

  	
   

  	
   

  
	
  Schedule 7.16

  	
   

  	
  Liens (Issuer/Co-Issuer Assets)

  	
   

  	
   

  
	
  Exhibit A

  	
   

  	
  Form of Regulation S to Rule 144A Global Note
  Transfer Certificate

  	
   

  	
   

  
	
  Exhibit B

  	
   

  	
  Form of Rule 144A to Regulation S Global Note
  Transfer Certificate

  	
   

  	
   

  
	
  Exhibit C

  	
   

  	
  Form of Definitive Note to Regulation S Global Note
  Transfer Certificate

  	
   

  	
   

  
	
  Exhibit D

  	
   

  	
  Form of Transfer Certificate for Transfer of
  Definitive Notes

  	
   

  	
   

  
	
  Exhibit E

  	
   

  	
  Form of Transfer Certificate of Transfer of Global
  Notes to Beneficial Holders

  	
   

  	
   

  
	
  Exhibit F

  	
   

  	
  Form of Revocable Standing Instruction

  	
   

  	
   

  
	
  Exhibit G

  	
   

  	
  [RESERVED]

  	
   

  	
   

  
	
  Exhibit H

  	
   

  	
  [RESERVED]

  	
   

  	
   

  
	
  Exhibit I

  	
   

  	
  [RESERVED]

  	
   

  	
   

  
	
  Exhibit J

  	
   

  	
  Form of Weekly Servicer’s Report

  	
   

  	
   

  
	
  Exhibit K

  	
   

  	
  Form of Monthly Servicer’s Certificate

  	
   

  	
   

  
	
  Exhibit L

  	
   

  	
  Form of Monthly Servicer’s Report

  	
   

  	
   

  
	
  Exhibit M

  	
   

  	
  Form of Monthly Noteholders’ Statement

  	
   

  	
   

  
	
  Exhibit N

  	
   

  	
  [RESERVED]

  	
   

  	
   

  
	
  Exhibit O

  	
   

  	
  [RESERVED]

  	
   

  	
   

  
	
  Exhibit P

  	
   

  	
  [RESERVED]

  	
   

  	
   

  
	
  Exhibit Q

  	
   

  	
  Form of Lien Filing Instrument (Intellectual Property)

  	
   

  	
   

  

 

 v

BASE INDENTURE, dated as of March 16, 2007, among IHOP
FRANCHISING, LLC, a Delaware limited liability company (the “Issuer”), IHOP IP, LLC, a Delaware limited liability
company (“Co-Issuer” and, together with the Issuer, the “Co-Issuers”), and WELLS FARGO BANK, NATIONAL ASSOCIATION, as
trustee (herein, together with its permitted successors in the trusts
hereunder, called the “Indenture Trustee”).

PRELIMINARY STATEMENT

Each of the Co-Issuers is duly authorized to execute and deliver this
Indenture to provide for the Notes issuable as provided in this Indenture.  All covenants and agreements made by the
Co-Issuers herein are for the benefit of each Holder of the Notes, the
Indenture Trustee, each Hedge Counterparty, each Insurer, each Note Owner and
each Noteholder, as applicable.  The
Indenture Trustee (for the benefit of each Note Owner and each Noteholder),
each Hedge Counterparty and each Insurer is referred to herein as a “Secured Party” and collectively are referred to herein as the “Secured Parties”.  Each of
the Co-Issuers is entering into this Indenture, and the Indenture Trustee is
accepting the trusts created hereby.

All things necessary to make this Indenture a valid agreement of each
of the Co-Issuers in accordance with the terms hereof have been done.

GRANTING CLAUSES

Each of the Co-Issuers hereby Grants to the Indenture Trustee, for its
own benefit and security and for the benefit and security of the other Secured
Parties, all of the Issuer’s and the Co-Issuer’s assets, respectively,
including each of the Co-Issuers’ right, title and interest in, to and under,
in each case, whether now owned or existing, or hereafter acquired or arising,
in all accounts, deposit accounts, chattel paper, documents, equipment,
financial assets, general intangibles, goods, instruments, inventory,
investment property, letter of credit rights, letters of credit, money, payment
intangibles, supporting obligations, insurance, and proceeds thereof (as such
terms are defined in the UCC), including but not limited to:

(a)           the Franchise
Agreements and all rights to enter into future franchise agreements for
Restaurants worldwide;

(b)           the Area License
Agreements (other than for Canada) and all rights to enter into future area
license agreements worldwide;

(c)           the Development Agreements
and all rights to enter into future development agreements worldwide;

(d)           the Product Sourcing
Agreement and all rights to enter into future product sourcing agreements
worldwide;

(e)           the Franchisee Notes
and all rights to enter into future franchise notes and other financing
agreements for Restaurants worldwide;

(f)            the Equipment
Leases;

(g)           the Asset Transfer
Agreements;

(h)           the Servicing
Agreement;

(i)            with respect to the
Grant by the Issuer, the Issuer’s rights and interests with respect to (A) the
Parent Asset Sale Agreement (including the benefit of IHOP Inc.’s
representations, warranties, covenants and indemnities thereunder) and the
related Guaranty of IHOP Corp., dated the date hereof, (B) the Holdings Asset
Sale Agreement, (C) the Type 1 Property Lease Asset Sale Agreement (including
the benefit of IHOP Holdings’ representations, warranties, covenants and
indemnities thereunder, as pledged to the Issuer as security in respect of the
Type 1 Property Lease Credit Agreement), (D) the IP Asset Contribution
Agreement (as pledged to the Issuer as security in respect of the IP License
Agreement) and (E) the Owned Real Property Asset Sale Agreement (as pledged to
the Issuer as security in respect of the Owned Real Property Credit Agreement);

(j)            the IP Assets and
the right to bring an action at law or in equity for any infringement, dilution
or violation thereof occurring prior to, on or after the Closing Date, and to
collect all damages, settlement and proceeds relating thereto (such security
interests to be perfected as required under the Indenture in the United States,
Mexico and Canada and such other countries as may be required after the Closing
Date under the Transaction Documents);

(k)           the IP License
Agreement;

(l)            with respect to the
Grant by the Issuer, the Issuer’s rights in the Licensed IP granted by the
Co-Issuer to the Issuer to secure the Co-Issuer’s obligations under the IP
License Agreement;

(m)          with respect to the
Grant by the Issuer, the limited liability company membership interests of the
Issuer representing 100 percent of the equity ownership of and principal
security interests in all of the assets of each of (i) Co-Issuer, (ii) IHOP
Property Leasing, (iii) IHOP Properties and (iv) IHOP Real Estate;

(n)           the Type 1 Property
Lease Credit Agreement, the IHOP Property Leasing Assignments of Rents and the
Leasehold Mortgage; provided, however, that the Leasehold Mortgage with respect to any
Property Lease shall be deemed null and void ab initio
and of no force or effect in the event that the execution, recording or
enforcement of thereof causes a breach under such Property Lease;

(o)           the Owned Real
Property Credit Agreement, the Owned Real Property Mortgage and the IHOP Real
Estate Assignments of Rents;

(p)           with respect to the
Grant by the Issuer, the guarantee of IHOP Corp. in the Servicing Agreement in
favor of the Issuer to secure the Servicer’s performance of its obligations
under the Servicing Agreement;

(q)           any interest in the
equipment subject to the Equipment Leases;

(r)            all IHOP Operated
Restaurant Sub-licensing Fees;

 2
 

(s)           any and all other
property of every name and nature, now and hereafter transferred, mortgaged,
pledged, or assigned to the Issuer as security for payment or performance of
any obligation under the Credit Agreements;

(t)            any and all other
property of every name and nature, now or hereafter transferred, mortgaged,
pledged, or assigned as security for payment or performance of any obligation
of the Franchisees, Area Licensees or other Persons, as applicable, to the Issuer
under the Franchise Agreements, the Area License Agreements, the Product
Sourcing Agreements, the Property Leases, the Development Agreements, the
Franchisee Leases, the Franchisee Subleases, the Equipment Leases and the
Franchisee Notes, and the rights evidenced thereby or reflected therein (the
assets, rights and interests described in clauses (a) through (v) of this
paragraph, along with all payments, proceeds and accrued and future rights to
payment relating thereto, the “Franchise Assets”);

(u)           the Indenture Trust
Accounts, the Lock-Box Account, the Lease and Reimbursement Payment Account and
the Residual Account;

(v)           the books and
records (whether in physical, electronic or other form) of each of the
Co-Issuers, including those books and records maintained by the Servicer on
behalf of the Issuer relating to the Franchise Assets and on behalf of the
Co-Issuer relating to the IP Assets;

(w)          rights, powers,
remedies and authorities of Issuer arising under the Transaction Documents
(other than this Indenture) and any agreements relating to the Franchise
Assets;

(x)            rights, powers,
remedies and authorities of the Co-Issuer, if any, under the Transaction
Documents (other than this Indenture) and any agreements related to the IP
Assets, including, but not limited to, the Foreign/Type 3 IP License Agreement
and any other license agreement entered into by the Co-Issuer;

(y)           any and all other
property of the Co-Issuers now or hereafter acquired (perfected, in the case of
IP Assets, as required under the Indenture in the United States, Mexico and
Canada and such other countries as may be required after the Closing Date under
the Transaction Documents) other than the Advertising Funds and the Advertising
Funds Account (and any funds on deposit therein); and

(z)            all payments,
proceeds and accrued and future rights to payment with respect to the foregoing
(the assets, rights and interests described in clauses (a) through (z) of these
Granting Clauses, subject to the proviso below, collectively referred to herein
as the “Collateral”);

provided that the Collateral
shall not include (i) with respect to the Issuer, the Advertising Funds and the
Advertising Funds Account (and any funds on deposit therein), (ii) with respect
to the Issuer and the Co-Issuer, any right to use third party Intellectual
Property to the extent such rights are not assignable; provided,
further, that at the Closing, the only
third-party Intellectual Property which is non-assignable is the licensed
Software set forth on Schedule 3 hereto, and other types of Intellectual
Property which are not material; provided, further,
that 

 3
 

any applications for trademarks and service marks
filed in the U.S. Patent and Trademark Office (“PTO”) on the
basis of the applicant’s intent to use such mark pursuant to 15 U.S.C. Section
1051, shall not be included in the Collateral unless and until evidence of use
of such mark in interstate commerce is submitted to the PTO pursuant to 15
U.S.C. Section 1060(a), whereupon, such application shall be deemed
automatically included in the Collateral.

Such Grants are made, however, in trust, to secure the Notes equally
and ratably without prejudice, priority or distinction between any Note and any
other Note by reason of difference in time of issuance or otherwise, except as
expressly provided in this Indenture, and to secure the prompt and complete
payment and observance and performance of the Secured Obligations.

The Issuer’s obligations to pay premium and any and
all other amounts, including but not limited to, reimbursements indemnities and
other costs or liabilities incurred by each Insurer in connection with its
obligations as an insurer under or in connection with the Transaction
Documents, are secured equally and ratably with the amounts due on the Notes
hereunder in accordance with and subject to the allocation priorities and the
priorities of payment set forth in Article X and Article XI
hereof.

Except to the extent otherwise provided in this Indenture, each of the
Co-Issuers does hereby constitute and irrevocably appoint (until this Indenture
is terminated) the Indenture Trustee its true and lawful attorney with full
power (in the name of the Co-Issuers or otherwise) to exercise the rights of
the Co-Issuers with respect to the Collateral held for the benefit and security
of the Secured Parties and to ask, require, demand, receive, settle,
compromise, compound and give acquittance for any and all moneys and claims for
moneys due and to become due under or arising out of any of the Collateral held
for the benefit and security of the Secured Parties, to endorse any checks or
other instruments or orders in connection therewith and to file any claims or
take any action or institute any proceedings which the Indenture Trustee may
deem to be necessary or advisable in the premises.  The power of attorney granted pursuant to
this Indenture and all authority hereby conferred are granted and conferred
solely to protect the Indenture Trustee’s interest in the Collateral held for
the benefit and security of the Secured Parties and shall not impose any duty
upon the Indenture Trustee to exercise any power except as expressly provided
herein or in any other Transaction Documents. 
This power of attorney shall be irrevocable as one coupled with an
interest prior to the payment in full of all the obligations secured hereby.

Except to the extent otherwise provided in this Indenture, this
Indenture shall constitute a security agreement under the laws of the State of
New York applicable to agreements made and to be performed therein.  Upon the occurrence of any Event of Default
with respect to the Notes, and in addition to any other rights available under
this Indenture or any other instruments included in the Collateral held for the
benefit and security of the Secured Parties or otherwise available at law or in
equity, the Indenture Trustee shall have all rights and remedies of a secured
party on default under the laws of the State of New York and 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, to sell or apply any rights and other interests
assigned or pledged hereby in accordance with the terms hereof at public or
private sale, in each case, subject to the rights of the Series Controlling 

 4
 

Parties or the Aggregate Controlling Party, as
applicable, under the relevant Transaction Documents.

It is expressly agreed that each of the Co-Issuers shall remain liable
under any of the applicable agreements included in the Collateral to perform
(or to engage the Servicer (or, to the extent permitted under the Franchise
Documents, other third parties) to perform on its behalf) all the obligations
assumed by it thereunder, all in accordance with and pursuant to the terms and
provisions thereof, and except as otherwise expressly provided herein, the
Indenture Trustee shall not have any obligations or liabilities under such
agreements by reason of or arising out of this Indenture, nor shall the
Indenture Trustee be required or obligated in any manner to perform or fulfill
any obligations of either of the Co-Issuers under or pursuant to such
agreements or to make any payment, to make any inquiry as to the nature or
sufficiency of any payment received by it, to present or file any claim, or to
take any action to collect or enforce the payment of any amounts which may have
been assigned to it or to which it may be entitled at any time or times.

The Indenture Trustee acknowledges such Grants, accepts the trusts
hereunder in accordance with the provisions hereof and agrees to perform the
duties herein in accordance with, and subject to, the terms hereof in order
that the interests of the Secured Parties may be adequately and effectively
protected in accordance with this Indenture.

ARTICLE I

DEFINITIONS

Section 1.1             Definitions.  Except as otherwise specified herein or as
the context may otherwise require, capitalized terms used herein shall for all
purposes of this Indenture have the respective meanings provided in Appendix A
hereto.

Section 1.2             Rules of Construction.  Unless the context otherwise clearly
requires:

(i)            the
definitions of terms herein shall apply equally to the singular and plural
forms of the terms defined;

(ii)           whenever
the context may require, any pronoun shall include the corresponding masculine,
feminine and neuter forms;

(iii)          the
words “include,” “includes” and “including”
shall be deemed to be followed by the phrase “without
limitation”;

(iv)          the
word “will” shall be construed to have
the same meaning and effect as the word “shall”;

(v)           any
definition of or reference to any agreement, instrument or other document
herein shall be construed as referring to such agreement, instrument or other
document as from time to time amended, supplemented or otherwise modified
(subject to any restrictions on such amendments, supplements or modifications
set forth herein);

 5
 

(vi)          any
reference herein to any Person, or to any Person in a specified capacity, shall
be construed to include such Person’s successors and assigns or such Person’s
successors in such capacity, as the case may be;

(vii)         all
references in this instrument to designated “Articles,”
“Sections,” “subsections,”
“clauses” and other subdivisions are to
the designated Articles, Sections, subsections, clauses and other subdivisions
of this instrument as originally executed, and the words “herein,” “hereof,”
“hereunder” and other words of similar
import refer to this Indenture as a whole and not to any particular Article,
Section, subsection, clause or other subdivision;

(viii)        any reference herein to “knowledge”
or “actual knowledge” of any party hereto
with respect to an event shall mean the actual knowledge of (i) the Chief
Executive Officer, the Chief Financial Officer, the Treasurer, the Comptroller,
the General Counsel or the Director of Finance of the Servicer, (ii) any
manager or director (as applicable) of any Securitization Entity who is also a
director or an officer of the Servicer and/or IHOP Corp. or (iii) an Authorized
Officer of the Servicer or either Co-Issuer directly responsible for managing
the servicing of the relevant asset or for administering the transactions
relevant to such event; and

(ix)           any
determination made by the Servicer shall be made in accordance with the
Servicing Standard as set forth in the Servicing Agreement.

ARTICLE
II

THE NOTES

Section 2.1             Forms Generally.  The Notes and the Authenticating Agent’s
certificate of authentication thereon (the “Certificate of Authentication”) shall be in substantially the forms required by
this Article II, with such appropriate
insertions, omissions, substitutions and other variations as are required or
permitted by this Indenture, and may have such letters, numbers or other marks
of identification and such legends or endorsements placed thereon, as may be
consistent herewith, determined by the Authorized Officers of the Co-Issuers
executing such Notes as evidenced by their execution of such Notes.  Any portion of the text of any Note may be
set forth on the reverse thereof, with an appropriate reference thereto on the
face of the Note.  The Notes shall be
typewritten, printed, lithographed or engraved or produced by any combination
of these methods (with or without steel engraved borders), all as determined by
the officer(s) executing such Notes, as evidenced by their execution of such
Notes.  Each Note shall be issued in
registered form and dated the date of its authentication.  The terms of the Notes set forth in the Exhibits
hereto are part of the terms of this Indenture.

Section 2.2             Forms of Notes and Certificate
of Authentication.  (a)  The form of the Notes, including the
Certificate of Authentication, shall be substantially as set forth,
respectively, as exhibits to the applicable Series Supplement, with such
appropriate insertions, omissions, substitutions and other variations as are
required or permitted by this Indenture, and may have such letters, numbers or
other marks of identification and such legends or 

 6
 

endorsements placed thereon, as may be consistent
herewith, determined by the Authorized Officers of the Co-Issuers executing
such Notes as evidenced by their execution of such Notes.

(b)           (i)            Notes offered and sold in reliance
on Rule 144A to Persons that are QIBs (who are also QPs) shall be issued
initially in the form of a Rule 144A Global Note, which shall be deposited with
the Indenture Trustee, as custodian for DTC and registered in the name of DTC
or a nominee of DTC, duly executed by the Co-Issuers and authenticated by the
Indenture Trustee as hereinafter provided. 
The Aggregate Outstanding Principal Amount of the Rule 144A Global Notes
of a Series of Notes may from time to time be increased or decreased by
adjustments made on the records of the Indenture Trustee or DTC or its nominee,
as the case may be, as hereinafter provided.

(ii)           Notes
offered and sold in reliance on Regulation S to Persons that are non U.S.
Persons shall be issued in the form of Regulation S Global Notes, which shall
be deposited with the Indenture Trustee, as custodian for DTC and registered in
the name of DTC or the nominee of DTC for the respective accounts of Euroclear
and Clearstream, duly executed by the Co-Issuers and authenticated by the
Indenture Trustee as hereinafter provided. 
The Aggregate Outstanding Principal Amount of the Regulation S Global Notes
of a Series of Notes may from time to time be increased or decreased by
adjustments made on the records of the Indenture Trustee or DTC or its nominee,
as the case may be, as hereinafter provided.

(c)           Definitive Notes.  Subject to Section 2.10, the Global
Notes may be issued in the form of one or more certificated notes in
definitive, fully registered form without interest coupons with the applicable
legends set forth in exhibits to the applicable Series Supplement, respectively
added to the form of such securities (each, a “Definitive Note”).

(d)           Book-Entry Provisions.  This Section 2.2(d)
shall apply only to securities in global form (the “Global Notes”)
deposited with or on behalf of DTC.

Agent Members shall have no rights under this Indenture with respect to
any Global Note held on their behalf by the Indenture Trustee, as custodian for
DTC, or under the Global Note, and DTC may be treated by the Co-Issuers, the
Indenture Trustee, and any agent of the Co-Issuers or the Indenture Trustee as
the absolute owner of such Global Note for all purposes whatsoever.  Notwithstanding the foregoing, nothing herein
shall prevent the Co-Issuers, the Indenture Trustee, or any agent of the
Co-Issuers or the Indenture Trustee from giving effect to any written certification,
proxy or other authorization furnished by DTC or impair, as between DTC and its
Agent Members, the operation of customary practices governing the exercise of
the rights of a holder of any Note.

(e)           Physical Delivery.  Except as provided in Section 2.2(c) and Section 2.10, owners of
beneficial interests in a Series of Global Notes shall not be entitled to
receive physical delivery of certificated Notes representing such Series of
Global Notes.

Section 2.3             Authorized Amount; Issuable in
Series.  (a)  The Aggregate Outstanding Principal Amount of
Notes which may be authenticated and delivered under this Indenture is subject
to the limitations and conditions imposed by this Indenture, any Series
Supplement and any other Transaction Documents.

 7
 

(b)           The Notes shall be offered and sold
by the Co-Issuers without registration under the Securities Act in reliance
upon Rule 144A or Regulation S of the Securities Act.

(c)           The Notes
may be issued in one or more Series of Notes. 
Each Series of Notes shall be created by a Series Supplement
substantially in the form of Exhibit G
hereto.  Notes of any Series of Notes not
issued on the Closing Date may not be issued prior to the fourth Accounting
Date following the Closing Date.  Notes
of a new Series of Notes may from time to time be executed by the Co-Issuers
and delivered to the Indenture Trustee for authentication and thereupon the
same shall be authenticated and delivered by the Indenture Trustee upon the
receipt by the Indenture Trustee of a Company Order at least three Business
Days in advance of the date of issuance of such Series of Notes and upon
delivery by the Co-Issuers to the Indenture Trustee and each Insurer of the
following:

(i)            a
Company Order authorizing and directing the authentication and delivery of the
Notes of such new Series of Notes by the Indenture Trustee and specifying the
designation of such new series, the Aggregate Outstanding Principal Amount of
Notes of such new series to be authenticated and the Series Note Interest Rate
(or the method for allocating interest payments or other cash flow) with
respect to such new Series;

(ii)           a
Series Supplement substantially in the form of Exhibit
G hereto executed by the Co-Issuers and the Indenture Trustee and
the Insurer, if any, of any Notes of such Series of Notes and specifying the
Principal Terms of such new Series;

(iii)          the
related Series Hedge Agreement, if any, executed by each of the Parties
thereto;

(iv)          the
Insurance Agreement or other credit enhancement agreement, if any, executed by
each of the parties thereto;

(v)           if
Notes of a different Series will be Outstanding at the proposed Issuance Date
of such Notes, written confirmation that the Rating Agency Condition shall have
been satisfied as to such other Notes with reference to such issuance;

(vi)          an
Officer’s Certificate of each of the Co-Issuers dated as of the Issuance Date
to the effect (i) that no Default or Event of Default under this Indenture has
occurred and is continuing, or is likely to occur as a result of such proposed
issuance; (ii) with respect to Notes proposed for execution and delivery after
the fourth Accounting Date following the Closing Date, that the Pro Forma
Series Debt Service Coverage Ratio is at least equal to the greatest of the
Additional Issuance Series DSCR Thresholds applicable to each respective
Outstanding Series of Notes; (iii) no Servicer Termination Event has occurred
and is continuing, or will occur with notice or the lapse of time or both, or
is likely to occur as a result of such proposed issuance; (iv) no Trigger
Reserve Event has occurred and is continuing, or is likely to occur as a result
of such proposed issuance; (v) the proposed issuance does not alter or change
the terms of any Outstanding Series of Notes or the Series Supplement relating
thereto; (vi) no Mandatory Redemption Event has occurred and is continuing or
is likely to occur as a result of the proposed issuance; 

 8
 

(vii) giving effect to such proposed issuance, the IHOP Corp.
Consolidated Leverage Ratio is equal to or less than the least of the Series
IHOP Corp. Consolidated Leverage Ratio Thresholds applicable with respect to
any Outstanding Series of Notes; and (viii) the Adjusted IHOP Corp.
Consolidated Leverage Condition is met.

(vii)         an
Opinion of Counsel, subject to the assumptions and qualifications stated
therein, in form and substance reasonably acceptable to the Series Controlling
Party, dated the date of issuance of the new Series of Notes, substantially to
the effect that:

(A)          The
Indenture has been duly authorized, executed and delivered by the Co-Issuers
and constitutes a legal, valid and binding agreement of each of the Co-Issuers,
enforceable against each of the Co-Issuers in accordance with its terms;

(B)           the
relevant Notes have been duly authorized by the Co-Issuers, and, when such
Notes have been duly authenticated and delivered by the Indenture Trustee, such
Notes will be legal, valid and binding obligations of each of the Co-Issuers,
enforceable against each of the Co-Issuers in accordance with their terms;

(C)           none
of the Securitization Entities is required to be registered under the
Investment Company Act;

(D)          the
issuance and sale by the Co-Issuers of such Notes (a) does not require any
consent, approval, license, authorization or validation of, or filing,
recording or registration with, any executive, legislative, judicial,
administrative or regulatory bodies pursuant to any laws, rules and
regulations, except those that may be required under state securities or blue
sky laws, and such other approvals that have been obtained and are in effect,
(b) does not result in a violation of any provision of the Issuer Certificate
of Formation, the Co-Issuer Certificate of Formation, the Issuer Limited
Liability Company Agreement, the Co-Issuer Limited Liability Company Agreement
or any laws, rules and regulations applicable to either of the Co-Issuers, (c)
does not breach or result in a violation of, or default under, (i) any
indenture, mortgage, deed of trust, loan agreement lease or other agreement to
which either of the Co-Issuers is a party or by which either of the Co-Issuers
or any of their respective properties may be bound or (ii) any judgment, decree
or order that is applicable to either of the Co-Issuers issued by any
executive, legislative, judicial, administrative or regulatory bodies having
jurisdiction over either of the Co-Issuers or any of their respective
properties and (d) will not have a material adverse affect on the tax treatment
of the Issuer, or on the tax consequences to the holders of any Notes
Outstanding at the time of issuance as described in any applicable Offering
Circular under the heading “Certain U.S. Federal Income Tax Considerations” or
otherwise cause any of the statements under the heading “Certain U.S. Federal
Income Tax Considerations” in any applicable Offering Circular to be inaccurate
or incorrect to any material extent;

 9
 

(E)           there
is no legal or governmental action, investigation or proceeding pending or
threatened against either of the Co-Issuers (a) asserting the invalidity of the
Indenture or any Notes, (b) seeking to prevent the issuance of such Notes or
the consummation of any of the transactions provided for in the Indenture, (c)
that would materially and adversely affect the ability of either of the
Co-Issuers to perform its obligations under, or the validity or enforceability
(with respect to the Co-Issuers) of, the Indenture or any Notes or (d) seeking
to materially affect adversely the tax treatment of the Co-Issuers, or the tax
consequences to the holders of any Notes Outstanding as described in any
applicable Offering Circular under the heading “Certain Federal Income Tax
Consequences” or otherwise cause any of the statements under the heading “Certain
U.S. Federal Income Tax Considerations” in any applicable Offering Circular to
be inaccurate or incorrect to any material extent; and

(F)           it
is not necessary in connection with the offer and sale of such Notes by the
Co-Issuers to the Initial Purchaser thereof or by the Initial Purchaser to the
initial investors in such Notes to register such Notes under the Securities
Act; and

(viii)        a summary of the Principal Terms of the Series of Notes to be
issued;

(ix)           such
other documents, instruments, certifications, agreements or other items as the
Indenture Trustee may reasonably require.

Upon satisfaction of such conditions and the conditions in Article
III, the Indenture Trustee shall authenticate and deliver, as provided
above, such Notes upon execution thereof by Co-Issuers.

(d)           In
conjunction with the issuance of a new Series of Notes, the parties hereto
shall execute a Series Supplement, which shall specify the relevant terms with
respect to such new Series of Notes, which shall include, as applicable:

(i)            its
name or designation, and whether such Series of Notes is a Senior Series of
Notes, Senior Subordinated Series of Notes or a Subordinated Series of Notes;

(ii)           the
Aggregate Outstanding Principal Amount of such Series of Notes at issuance and
the maximum permitted Aggregate Outstanding Principal Amount of such Series of
Notes that is authorized to be issued;

(iii)          the
Series Interest Payment Amount and any Series Fee Payment Amount relating to
such Series of Notes (and the method for calculating such Series Interest
Payment Amount and Series Fee Payment Amount, and the Rate Determination Date,
if applicable) with respect to such Series of Notes;

(iv)          the
Series Additional Interest Amount for such Series of Notes;

(v)           the
date or dates from which interest shall accrue;

 10
 

(vi)          the
Series Insurance Premium Payable Amount;

(vii)         the
names of any accounts to be used in relation to such Series of Notes and the
terms governing the operation of any such account;

(viii)        whether the Issuer is required to maintain in place a Series
Hedge Agreement to hedge interest rate or any other risk in respect of such
Series of Notes and, if so, the principal terms of each such Series Hedge
Agreement; provided, however, that if the proposed issuance would
cause the Aggregate Outstanding Principal Amount of all Series of Notes
(including the undrawn amount of any variable funding Series of Notes) with
floating interest rates to be greater than the least of the Unhedged Floating
Rate Note Principal Limits applicable with respect to any Outstanding Notes,
such Series shall be made subject to a Series Hedge Agreement in accordance
with Section 13.2 unless otherwise consented to by the Aggregate
Controlling Party;

(ix)           the
initial Series Hedge Counterparty, if any;

(x)            the
Series Anticipated Repayment Date for such Series of Notes;

(xi)           the
extension options for such Series of Notes, and conditions to such extension,
if any, that would extend such Series Anticipated Repayment Date;

(xii)          the
Series Legal Final Maturity Date;

(xiii)         the identity of each Insurer, if any, relating to such
Series of Notes;

(xiv)        if
applicable, the Series Optional Redemption Premium for such Series of Notes;

(xv)         the
Series Interest Reserve Account Required Amount;

(xvi)        any
Series Event of Default;

(xvii)       the Series Minimum Debt Service Coverage Ratio;

(xviii)      the Series DSCR Principal Payment Account Deposit Threshold;

(xix)         the
Series Trigger Reserve Proportions and related Series DSCR Trigger Reserve
Account Deposit Threshold;

(xx)          the
Additional Issuance Series DSCR Threshold;

(xxi)         the
Defective Asset Payment Series DSCR Threshold;

(xxii)        the STE Series DSCR Threshold;

(xxiii)       the EoD Series DSCR Threshold;

 11
 

(xxiv)       the Series Trigger Reserve Release Amount and the Series
Trigger Reserve Release Events; and

(xxv)        any
other relevant terms of such Series of Notes, provided,
however, that such terms do not change the terms of any Outstanding
Notes or otherwise materially conflict with the provisions of this Base
Indenture or the Series Supplement relating to any other Series of Notes unless
consented to in accordance with ARTICLE VIII hereof (all such terms, the “Principal Terms” of such Series of Notes).

Section 2.4             Execution, Authentication,
Delivery and Dating.  The Notes shall
be executed on behalf of each of the Co-Issuers by an Authorized Officer of
each of the Co-Issuers, respectively. 
The signature of such Authorized Officer on the Notes may be manual or
facsimile.

Notes bearing the manual or facsimile signatures of individuals who
were at the time of signing Authorized Officers of the Issuer shall bind the
Issuer and Notes bearing the manual or facsimile signatures of individuals who
were at the time of signing Authorized Officers of the Co-Issuer shall bind the
Co-Issuer, notwithstanding the fact that such individuals or any of them have
ceased to hold such offices prior to the authentication and delivery of such
Notes or did not hold such offices at the date of issuance of such Notes.

At any time and from time to time after the execution and delivery of
this Indenture, the Co-Issuers may deliver Notes executed by the Co-Issuers to
the Indenture Trustee or the Authenticating Agent for authentication, and the
Indenture Trustee or the Authenticating Agent, upon Company Order, shall
authenticate and deliver such Notes as provided in this Indenture and not
otherwise.

Each Note authenticated and delivered by the Indenture Trustee or the
Authenticating Agent to or upon Company Order on the Closing Date shall be
dated as of the Closing Date.  All other
Notes that are authenticated after the Closing Date for any other purpose under
this Indenture shall be dated the date of their authentication.

Notes issued upon transfer, exchange or replacement of other Notes
shall be issued in the Authorized Minimum Denominations reflecting the original
Aggregate Outstanding Principal Amount of the Notes so transferred, exchanged
or replaced, but shall represent only the current Aggregate Outstanding
Principal Amount of the Notes so transferred, exchanged or replaced.  In the event that any Note is divided into
more than one Note in accordance with this Article II,
the original principal amount of such Note shall be proportionately divided
among the Notes delivered in exchange therefor and shall be deemed to be the
original Aggregate Outstanding Principal Amount of such subsequently issued
Notes.

No Note shall be entitled to any benefit under this Indenture or be
valid or obligatory for any purpose, unless there appears on such Note a
Certificate of Authentication, substantially in the form provided for herein,
executed by the Indenture Trustee or by the Authenticating Agent by the manual
or facsimile signature of one of their Authorized Officers, and such
certificate upon any Note shall be conclusive evidence, and the only evidence,
that such Note has been duly authenticated and delivered hereunder.

 12

                                        Section 2.5    Registration, Registration of Transfer
and Exchange.  (a)  The Co-Issuers shall cause to be kept a
register (the “Note
Register”) in which, subject to
such reasonable regulations as it may prescribe, the Co-Issuers shall provide
for the registration of Notes and the registration of transfers of Notes with
respect to each Series.  The Indenture
Trustee is hereby appointed the initial “Note Registrar” for the purpose of
registering Notes and transfers of such Notes. 
Upon any resignation or removal of the Note Registrar, the Co-Issuers
shall promptly appoint a successor or, in the absence of such appointment,
assume the duties of Note Registrar.

If a Person other than the Indenture Trustee is appointed by the
Co-Issuers as Note Registrar, the Co-Issuers shall give the Indenture Trustee
prompt written notice of the appointment of such Note Registrar and of the
location, and any change in the location, of the Note Registrar, and the
Indenture Trustee shall have the right to inspect the Note Register at all
reasonable times and to obtain copies thereof and the Indenture Trustee shall
have the right to rely upon a certificate executed on behalf of the Note
Registrar by an Officer thereof as to the names and addresses of the Holders of
the Notes and the principal amounts and numbers of such Notes.

Subject to this Section 2.5, upon surrender for registration of
transfer of any Notes at the office or agency of the Co-Issuers to be
maintained as provided in Section 7.2, the surrendered Notes shall be
returned to the Co-Issuers marked “canceled,” or retained by the Indenture
Trustee in accordance with its standard retention policy, and the Co-Issuers
shall execute, and the Indenture Trustee shall authenticate and deliver, in the
name of the designated transferee or transferees, one or more new Notes of any
Authorized Minimum Denominations and of a like Aggregate Outstanding Principal
Amount.

Subject to the provisions of this Section 2.5, at the option of
the Holder, Notes may be exchanged for Notes of like terms, in any Authorized
Minimum Denominations and of like Aggregate Outstanding Principal Amount, upon
surrender of the Notes to be exchanged at such office or agency.  Whenever any Note is surrendered for
exchange, the Co-Issuers shall execute and the Indenture Trustee shall
authenticate and deliver the Notes that the Holder making the exchange is
entitled to receive.

All Notes issued and authenticated upon any registration of transfer or
exchange of Notes shall be the valid obligations of the Co-Issuers, evidencing
the same debt, and entitled to the same benefits under this Indenture, as the
Notes surrendered upon such registration of transfer or exchange.

Every Note presented or surrendered for registration of transfer or
exchange shall be duly endorsed, or be accompanied by a written instrument of
transfer in form satisfactory to the Co-Issuers and the Note Registrar duly
executed by the Holder thereof or his attorney duly authorized in writing.

No service charge shall be made to a Holder for any registration of
transfer or exchange of Notes, but the Indenture Trustee may require payment of
a sum sufficient to cover any tax or other governmental charge payable in
connection therewith.

 13
 

Neither the Note Registrar nor the Co-Issuers shall be required (i) to
issue, register the transfer of or exchange any Note during a period beginning
at the opening of business fifteen (15) days before any selection of Notes to
be redeemed and ending at the close of business on the day of the mailing of
the relevant notice of redemption, or (ii) to register the transfer of or
exchange any Note so selected for redemption.

(b)           No Note
may be sold or transferred (including, without limitation, by pledge or
hypothecation) unless such sale or transfer is exempt from the registration requirements
of the Securities Act, is exempt from the registration requirements under
applicable state securities laws and will not cause either of the Co-Issuers or
the pool of Collateral to become subject to the requirement that it register as
an investment company under the Investment Company Act.

No Note may be offered, sold or delivered within the United States or
to, or for the benefit of, U.S. Persons except to QIBs (who are also QPs)
purchasing for their own account or for the accounts of one or more QIBs (who
are also QPs), for which the purchaser is acting as fiduciary or agent in
accordance with Rule 144A.  The Notes may
be sold or resold, as the case may be, in offshore transactions to purchasers
each of whom is a QP and is not a U.S. Person in reliance on Regulation S; provided that if such sale or resale occurs prior to the
expiration of the Distribution Compliance Period, the transferred interest must
be held through Euroclear or Clearstream. 
None of the Co-Issuers, the Indenture Trustee or any other Person may
register the Notes under the Securities Act or any state securities laws.

(c)           Upon final
payment due on the Maturity of a Note, the Holder thereof shall present and
surrender such Note at the Corporate Trust Office of the Indenture Trustee or
at the office of any Paying Agent (outside the United States if then required
by applicable law in the case of a Definitive Note issued in exchange for a
beneficial interest in a Regulation S Global Note pursuant to Section 2.5
and Section 2.10) on or prior to such Maturity; provided
that if there is delivered to the Co-Issuers and the Indenture Trustee such
reasonable security or indemnity as may be required by them to save each of
them harmless and an undertaking thereafter to surrender such certificate,
then, in the absence of notice to the Co-Issuers or the Indenture Trustee that
the applicable Note has been acquired by a Protected Purchaser, such final
payment shall be made without presentation or surrender.

(d)           Notwithstanding
any provision to the contrary herein, so long as any Global Note remains
Outstanding and is held by or on behalf of DTC, transfers of such Global Note,
in whole or in part, shall only be made in accordance with Section 2.2(d) and this Section 2.5(d).

(i)            Subject
to clauses (ii), (iii)
and (iv) of this Section 2.5(d),
transfers of a Global Note shall be limited to transfers of such Global Note in
whole, but not in part, to a nominee of DTC or to a successor of DTC or such
successor’s nominee.

(ii)           Regulation
S Global Note to Rule 144A Global Note. 
If a holder of a beneficial interest in a Regulation S Global Note
deposited with DTC wishes at any time to exchange its interest in such
Regulation S Global Note for an interest in the corresponding Rule 144A Global
Note for such Series of Notes or to transfer its interest

 14
 

in such Regulation S Global Note to a transferee who wishes
to take delivery thereof in the form of an interest in the corresponding Rule
144A Global Note, such holder may, subject to the immediately succeeding sentence
and the rules and procedures of Euroclear and Clearstream or DTC, as the case
may be, cause the exchange or transfer of such interest for an equivalent
beneficial interest in such Rule 144A Global Note; provided
that the remaining beneficial interest in such Regulation S Global Note held by
such holder shall either equal zero or meet the Authorized Minimum
Denominations.  To the extent that the
Indenture Trustee, as Note Registrar, and the Co-Issuers have received (A)
instructions from Euroclear, Clearstream or DTC, as the case may be, directing
the Indenture Trustee, as Note Registrar, to cause to be credited a beneficial
interest in the Rule 144A Global Note equal to the beneficial interest in the
Regulation S Global Note to be exchanged or transferred but not less than the
Authorized Minimum Denominations applicable to Notes held through Rule 144A
Global Notes, such instructions to contain information regarding the
participant account with DTC to be credited with such increase, and (B) a
certificate in the form of Exhibit A
attached hereto given by the holder of such beneficial interest (in the case of
an exchange) or the transferee of such beneficial interest (in the case of a
transfer) stating that, in the case of a transfer, the holder transferring such
interest in the Regulation S Global Note reasonably believes that the
transferee acquiring such interest in the Rule 144A Global Note is a QIB (who
is also a QP) and is obtaining such beneficial interest in a transaction
meeting the requirements of Rule 144A and in accordance with any applicable
securities laws of any state of the United States or any other relevant
jurisdiction, or that, in the case of an exchange, the holder is a QIB (who is
also a QP), then Euroclear or Clearstream or the Indenture Trustee, as Note
Registrar, as the case may be, shall instruct DTC to reduce the Regulation S
Global Note by the Aggregate Outstanding Principal Amount of the beneficial
interest in the Regulation S Global Note to be transferred or exchanged, and
the Indenture Trustee, as Note Registrar, shall instruct DTC, concurrently with
such reduction, to credit or cause to be credited to the account of the Person
specified in such instructions a beneficial interest in the Rule 144A Global
Note equal to the reduction in the principal amount of the Regulation S Global
Note.

(iii)          Rule
144A Global Note to Regulation S Global Note.  If a holder of a beneficial interest in a
Rule 144A Global Note deposited with DTC wishes at any time to exchange its
interest in such Rule 144A Global Note for an interest in the corresponding
Regulation S Global Note for such Series of Notes, or to transfer its interest
in such Rule 144A Global Note to a transferee who wishes to take delivery
thereof in the form of an interest in the corresponding Regulation S Global
Note, such holder, provided such
holder or, in the case of a transfer, such transferee, is a QP and is not a
U.S. Person may, subject to the immediately succeeding sentence and the rules
and procedures of DTC, exchange or transfer or cause the exchange or transfer
of such interest for an equivalent beneficial interest in such Regulation S
Global Note; provided that the remaining
beneficial interest in such Rule 144A Global Note held by such holder shall
either equal zero or meet the Authorized Minimum Denominations.  Upon receipt by the Indenture Trustee, as
Note Registrar, and the Co-Issuers of (A) instructions given in accordance with
DTC’s procedures from an Agent Member directing the Indenture Trustee to cause
to be credited a beneficial interest in the Regulation S Global Note in an
amount equal to the beneficial interest in the Rule 144A Global Note to be
exchanged or transferred, but 

 15
 

not less than the Authorized Minimum Denominations applicable
to Notes held through Regulation S Global Notes, (B) a written order given in
accordance with DTC’s procedures containing information regarding the
participant account of DTC and, in the case of a transfer or exchange pursuant
to and in accordance with Regulation S, the Euroclear or Clearstream account to
be credited with such increase and (C) a certificate in the form of Exhibit B attached hereto, given by the holder of
such beneficial interest (in the case of an exchange) or the transferee of such
beneficial interest (in the case of a transfer) stating that the exchange or
transfer of such interest has been made in compliance with the transfer
restrictions applicable to the Global Notes, including in accordance with Rule
903 or 904 of Regulation S, and that such transferee is a QP, the Indenture
Trustee, as Note Registrar, shall instruct DTC to reduce the principal amount
of the Rule 144A Global Note and to increase the principal amount of the
Regulation S Global Note by the aggregate principal amount of the beneficial
interest in the Rule 144A Global Note to be exchanged or transferred, and to
credit or cause to be credited to the account of the Person specified in such
instructions a beneficial interest in the Regulation S Global Note equal to the
reduction in the principal amount of the Rule 144A Global Note.  A U.S. Person may not hold an interest in a
Regulation S Global Note at any time.

(iv)          Other Exchanges.  In the event that a Global Note is exchanged
for one or more Definitive Notes pursuant to Section 2.10, such Notes
may be exchanged for one another only in accordance with such procedures as are
substantially consistent with the provisions above (including certification
requirements intended to ensure that such transfers (i) comply with Rule 144A
and are made only to QIBs (who are also QPs), or (ii) comply with Regulation S
and are made only to Persons who are QPs and who also are not U.S. Persons) and
otherwise comply with such procedures as may be from time to time adopted by
the Co-Issuers and the Indenture Trustee.

(v)           Transfer of Interests in the Global Notes.  Notwithstanding anything herein to the
contrary, transfers of interests in a Global Note may be made (a) by book-entry
transfer of beneficial interests within the relevant Clearing Agency or (b)(i)
in the case of transfers of interests in a Rule 144A Global Note for interests
in a Regulation S Global Note, in accordance with Section 2.5(d)(iii) hereof or (ii) in the case of
transfers of interests in a Regulation S Global Note for interests in a Rule
144A Global Note, in accordance with Section 2.5(d)(ii) hereof; provided that, in the case of any such transfer of interests
pursuant to clause (a) or (b) above, such transfer is made in accordance
with subsection (vi) below.

(vi)          Restrictions on Transfers.

(1)           Transfers
of interests in a Regulation S Global Note to a U.S. Person shall be made by
delivery of an interest in a Rule 144A Global Note and shall be limited to
transfers made pursuant to the provisions of Section 2.5(d).  Beneficial interests in a Regulation S Global
Note may only be held through Euroclear or Clearstream or, after the
Distribution Compliance Period, by DTC, Euroclear or Clearstream.  Any transfer of an interest in a Regulation S
Global Note to a U.S. Person or to a Person that is not a QP shall be invalid
and shall not be given effect for 

 16
 

any purpose hereunder, and the Indenture Trustee shall hold
any funds conveyed by the intended transferee of such interest in such
Regulation S Global Note in trust for the transferor and shall promptly
reconvey such funds to such Person in accordance with the written instructions
thereof delivered to the Indenture Trustee at its address listed in Section
15.3.

(2)           Any
transfer of an interest in a Rule 144A Global Note to a U.S. Person that is not
both a QIB and a QP shall be invalid and shall not be given effect for any
purpose hereunder, and the Indenture Trustee shall hold any funds conveyed by
the intended transferee of such interest in such Rule 144A Global Note in trust
for the transferor and shall promptly reconvey such funds to such Person in
accordance with the written instructions thereof delivered to the Indenture
Trustee at its address listed in Section 15.3.

(e)           Transfers
of Definitive Notes, in whole or in part, shall only be made in accordance with
this Section 2.5(e).

(i)            Definitive Note to Regulation S Global Note.  If a holder of a beneficial interest in one
or more Definitive Notes of a Series of Notes for which there exists a
Regulation S Global Note wishes at any time to exchange its interest in such
Definitive Note for an interest in a Regulation S Global Note of the same
Series of Notes, or to transfer its interest in such Definitive Note to a
Person who wishes to take delivery thereof in the form of an interest in a
Regulation S Global Note of the same Series of Notes, such holder, provided such holder or, in the case of a transfer to
another Person, such Person is not a U.S. Person, may exchange or cause the
exchange of such interest, or may so transfer such interest, as the case may
be, for an equivalent beneficial interest in a Regulation S Global Note,
pursuant to the terms of this Section 2.5(e)(i).  Upon receipt by the Indenture Trustee, as
Note Registrar, of (A) such Definitive Note properly endorsed for such transfer
to the transferee and written instructions from the Holder of such Definitive
Note directing the Indenture Trustee, as Note Registrar, to cause the
Regulation S Global Note to be increased by an amount equal to the beneficial
interest in the Definitive Note (but not less than the Authorized Minimum
Denomination applicable to the Notes of such Series of Notes), to be exchanged
or transferred, (B) a written order containing information regarding the
Euroclear or Clearstream account to be credited with such increase and (C) a
certificate in the form of Exhibit C hereto
given by the prospective transferee of such beneficial interest stating that
the exchange or transfer of such interest has been made in compliance with the
transfer restrictions applicable to the Regulation S Global Notes, including,
in the case of a transfer, that the transferee is a QP and is not a U.S. Person
and that the transfer is being made pursuant to Rule 903 or 904 of Regulation
S, the Indenture Trustee, as Note Registrar, shall cancel such Definitive Note
in accordance with Section 2.9, record the transfer in the Note Register
in accordance with Section 2.5(a), and increase the principal amount of
the Regulation S Global Note of the same Series of Notes by the aggregate
principal amount of the beneficial interest in the Definitive Note being
exchanged or transferred, and instruct DTC to credit or cause to be credited to
the account of the Person specified in such instructions a beneficial interest
in such Regulation S Global Note equal to such amount.

 17
 

(ii)           Transfer of Definitive Notes.  If a holder of a beneficial interest in a
Definitive Note wishes at any time to transfer its interest in such Definitive
Note, such holder may transfer or cause the transfer of such interest for an
equivalent beneficial interest in one or more Definitive Notes of the same
Series of Notes as provided below.  Upon
receipt by the Indenture Trustee, as Note Registrar, of (A) such holder’s
Definitive Note properly endorsed for assignment to the transferee and (B) a
certificate in the form of Exhibit D hereto
given by the prospective transferee of such beneficial interest stating that
the transfer of such interest has been made in accordance with the applicable
restrictions in this Indenture, including that the transferee, (x) if such Note
is being offered, sold or delivered within the United States, or to, or for the
benefit of, a U.S. Person, such transferee is a QIB (who is also a QP), or (y)
if such Note is being offered and sold in reliance on Regulation S, such
transferee is a QP who is not a U.S. Person and is located outside of the
United States, then the Indenture Trustee, as Note Registrar, shall cancel such
Definitive Note in accordance with Section 2.9, record the transfer in
the Note Register in accordance with Section 2.5(a) and authenticate and
deliver one or more Definitive Notes of the same Series of Notes, registered in
the names specified in the assignment described in clause
(A) above, in principal amounts designated by the transferee (the
aggregate of such amounts being equal to the beneficial interest in the
Definitive Notes surrendered by the transferor), which shall not be less than
the Authorized Minimum Denomination for the related Series of Notes.

(iii)          Exchange of Definitive Notes.  If a holder of a beneficial interest in one
or more Definitive Notes wishes at any time to exchange such Definitive Notes
for one or more Definitive Notes of different principal amounts of the same
Series of Notes (but not less than the Authorized Minimum Denomination
applicable thereto) that will be beneficially owned by such holder, such holder
may exchange or cause the exchange of such interest for an equivalent
beneficial interest in Definitive Notes of the same Series of Notes as provided
below.  Upon receipt by the Indenture
Trustee, as Note Registrar, of (A) such holder’s Definitive Notes properly
endorsed for such exchange and (B) written instructions from the Holder (or
such beneficial holder, as identified by the Holder) of such Definitive Note
designating the number and principal amounts of the Definitive Notes to be
exchanged (the aggregate of such principal amounts being equal to the Aggregate
Outstanding Principal Amount of the Definitive Notes surrendered for exchange)
and certifying that such exchange does not represent a change in beneficial
ownership, then the Indenture Trustee, as Note Registrar, shall cancel such
Definitive Note in accordance with Section 2.9, record the exchange in
the Note Register in accordance with Section 2.5(a) and authenticate and
deliver one or more Definitive Notes of the same Series of Notes, registered in
the same names as the Definitive Notes surrendered by such holder or such
different names as are specified in the endorsement described in clause (A) above, in principal amounts designated
by such Holder (the aggregate of such amounts being equal to the beneficial
interest in the Definitive Notes surrendered by such holder).

(f)            If Notes
are issued upon the transfer, exchange or replacement of Notes bearing the
applicable legends set forth in exhibits to the applicable Series Supplement,
and if a request is made to remove such applicable legend on such Notes, the
Notes so issued shall bear such applicable legend, or such applicable legend
shall not be removed, as the case may be, 

 18
 

unless
there is delivered to the Co-Issuers such satisfactory evidence, which may
include an Opinion of Counsel licensed to practice law in the State of New York
(and addressed to the Co-Issuers and the Indenture Trustee), as may be
reasonably required by the Co-Issuers to the effect that neither such
applicable legend nor the restrictions on transfer set forth therein are
required to ensure that transfers thereof comply with the provisions of the
Securities Act, the Investment Company Act, ERISA or the Code, as applicable.  Upon provision of such satisfactory evidence,
as confirmed in writing by the Co-Issuers to the Indenture Trustee, the
Indenture Trustee, at the direction of the Co-Issuers, shall authenticate and
deliver Notes that do not bear such applicable legend.

(g)           Each
purchaser who becomes a beneficial owner of the Notes represented by an
interest in a Rule 144A Global Note shall be deemed to represent, certify and
agree with the Co-Issuers and the Initial Purchaser as follows (terms used in
this paragraph that are defined in Rule 144A are used herein as defined
therein):

(i)            The
purchaser understands that the Notes have not been recommended by any United
States federal or state securities commission or regulatory authority.  The foregoing authorities have not confirmed
the accuracy or determined the adequacy of any Offering Circular.  Any representation to the contrary is a
criminal offense.

(ii)           The
purchaser (a) is a QIB (who is also a QP), (b) is aware that the sale to it is
being made in reliance on Rule 144A, (c) is acquiring such Notes for its own
account or for the account of a QIB (who is also a QP) over which it exercises
sole investment discretion, (d) is not (and any such account is not) a pension,
profit sharing or other retirement trust fund or plan in which the partners,
beneficiaries or participants, as applicable, may designate the particular
investments to be made, (e) is not a broker dealer that owns and invests on a
discretionary basis less than $25,000,000 in securities of issuers that are not
affiliated persons of the broker-dealer and (f) agrees that it and each such
account shall not hold such Notes for the benefit of any other Person and shall
be the sole beneficial owner thereof for all purposes and that it shall not
sell participation interests in the Notes or enter into any other arrangement
pursuant to which any other Person shall be entitled to a beneficial interest
in the distributions on the Notes.

(iii)          The
purchaser understands that the Notes are being offered in a transaction not involving
any public offering in the United States within the meaning of the Securities
Act, that the Notes have not been and will not be registered under the
Securities Act and that if in the future it decides to offer, resell, pledge or
otherwise transfer any of the Notes, such Notes may be offered, resold, pledged
or otherwise transferred only (i) to QIBs (who are also QPs) pursuant to Rule
144A or (ii) in an offshore transaction complying with Rule 903 or Rule 904 of
Regulation S, and in accordance with the legends set forth in the applicable
Series Supplement.

(iv)          The
purchaser acknowledges that neither of the Co-Issuers has been registered under
the Investment Company Act.

(v)           The
purchaser acknowledges that none of the Co-Issuers, the Initial Purchaser, the
Insurer, the Indenture Trustee, the Servicer or any Person representing the 

 19
 

Co-Issuers, the Initial Purchaser, the Insurer, the Indenture
Trustee or the Servicer has made any representation to it with respect to the
Co-Issuers, any Affiliates thereof or the offering or sale of the Notes, other
than the information contained in the Offering Circular and any representations
expressly set forth in a written agreement with such parties.  None of the Co-Issuers, the Initial
Purchaser, the Insurer, the Indenture Trustee 
or the Servicer or any of their respective Affiliates is acting as a
fiduciary or financial or investment advisor for it and it is not relying (for
purposes of making an investment decision) on any written or oral advice or
counsel of the Co-Issuers, the Initial Purchaser, the Insurer, the Indenture
Trustee or the Servicer or any of their respective Affiliates other than the
information contained in the Offering Circular and any representations
expressly set forth in a written agreement with such parties.  It has consulted with its own legal,
regulatory, tax, business, investment, financial and accounting advisors to the
extent it has deemed necessary, and has made its own investment decisions
(including decisions regarding the suitability of any transactions pursuant to
this Indenture) based upon its own judgment and upon any advice from such
advisors as it has deemed necessary and not upon any view expressed by the
Co-Issuers, the Initial Purchaser, the Insurer, the Indenture Trustee, the
Servicer or any of their respective Affiliates. 
The purchaser has such knowledge and experience in financial and
business matters as to be capable of evaluating the merits and risks of its
investment in the Notes, and the purchaser, and any accounts for which it is
acting, are each able to bear the economic risk of the purchaser’s or its
investment.  It is purchasing the Notes
for its own account, or for one or more investor accounts for which it is
acting as a fiduciary or agent, in each case for investment, and not with a
view to, or for offer or sale in connection with, any distribution thereof in
violation of the Securities Act, subject to any requirements of law that the
disposition of its property or the property of such investor account be at all times
within its or their control and subject to its or their ability to resell such
Notes pursuant to Rule 144A.  It
understands that an investment in the Notes involves certain risks, including
the risk of loss of a substantial part of its investment under certain
circumstances.  It has had access to such
financial and other information concerning the Co-Issuers and the Notes as it
deemed necessary or appropriate in order to make an informed investment
decision with respect to its purchase of the Notes, including an opportunity to
ask questions of, and request information from, the Co-Issuers.  None of the Co-Issuers, the Initial
Purchaser, the Insurer, the Indenture Trustee or the Servicer have given to the
purchaser (directly or indirectly through any other person) any assurance,
guarantee or representation whatsoever as to the expected or projected success,
profitability, return, performance, result, effect, consequence or benefit
(including legal, regulatory, tax, financial, accounting or otherwise) of the
Indenture, the Notes or the other documentation for the Notes.  The purchaser has determined that the rates,
prices or amounts and other terms of the purchase and sale of the Notes reflect
those in the relevant market for similar transactions and the purchaser is
purchasing the Notes with a full understanding of all of the terms, conditions
and risks thereof (economic or otherwise) and it is capable of assuming and
willing to assume (financially and otherwise) those risks.  The purchaser is a sophisticated investor.

(vi)          The
purchaser understands that the Notes will, unless otherwise agreed by the
Co-Issuers and the holder thereof in compliance with applicable law, bear one
or more legends substantially as set forth in the applicable Series Supplement.

 20
 

(vii)         The
purchaser understands that the Notes offered in reliance on Rule 144A will be
represented by one or more Rule 144A Global Notes.  Before any interest in a Rule 144A Global
Note may be offered, resold, pledged or otherwise transferred to a person who
takes delivery in the form of an interest in a Regulation S Global Note, the
transferor will be required to provide the Indenture Trustee with a written
certification as to compliance with transfer restrictions as set forth in this
Indenture.

(viii)        The purchaser will not, at any time, offer to buy or offer to
sell the Notes by any form of general solicitation or advertising, including,
but not limited to, any advertisement, article, notice or other communication
published in any newspaper, magazine or similar medium or broadcast over
television or radio or seminar or meeting whose attendees have been invited by
general solicitations or advertising.

(ix)           The
purchaser understands that the Co-Issuers, the Indenture Trustee, the Insurer,
the Initial Purchaser and their respective counsel will rely upon the accuracy
and truth of the foregoing representations, and it hereby consents to such
reliance.

(x)            The
purchaser understands that the Co-Issuers shall require certification
acceptable to the Co-Issuers (i) as a condition to the payment of principal of
and interest on any Note without, or at a reduced rate of, U.S. withholding or
backup withholding tax, and (ii) to enable it to determine its duties and
liabilities with respect to any taxes or other charges that it, the Indenture
Trustee or any paying agent may be required to pay, deduct or withhold from
payments in respect of such Notes made to the holder of such Notes under any
present or future law or regulation of the United States or any present or
future law or regulation of any political subdivision thereof or taxing
authority therein or to comply with any reporting or other requirements under
any such law or regulation.  Such
certification may include U.S. federal income tax forms (such as IRS Form
W-8BEN (Certification of Foreign Status of Beneficial Owner), Form W-8IMY
(Certification of Foreign Intermediary Status), IRS Form W-9 (Request for
Taxpayer Identification Number and Certification), or IRS Form W-8ECI
(Certification of Foreign Person’s Claim for Exemption from Withholding on
Income Effectively Connected with Conduct of a U.S. Trade or Business) or any
successors to such IRS forms).  Each
purchaser agrees to provide any certification requested pursuant to this
paragraph within a reasonable time period after such request is initially made
and to update or replace such form or certification in accordance with its
terms or its subsequent amendments.

(xi)           The
purchaser understands that the Notes represent the obligation of the Co-Issuers
only and other than payments that may arise under certain representations and
warranties made by certain of its Affiliates, payments on the Notes are not the
obligations of any of its Affiliates.

(h)           Each
purchaser who becomes a beneficial owner of the Notes represented by an
interest in a Regulation S Global Note shall be deemed to represent, certify
and agree with the Co-Issuers and the Initial Purchaser as to all of the
matters set forth above under Sections 2.5(g)(i),
(iii), (iv), (v), (x) and (xi) and to have
further represented as follows (terms used in this paragraph are defined in
Regulation S and are used as defined):

 21
 

(i)            In
connection with the purchase of the Notes: 
(A) the beneficial owner is not a “U.S. Person” (as defined in
Regulation S under the Securities Act) and is acquiring the Notes in reliance
on the exemption from registration provided by Regulation S thereunder, (B)
such beneficial owner is a QP and (C) such beneficial owner is not acquiring
any Note as part of a plan to reduce, avoid or evade U.S. federal income taxes
owed, owing or potentially owed or owing.

(ii)           The
purchaser or beneficial owner is aware that the sale of such Notes to it is
being made in reliance on the exemption from registration provided by
Regulation S and are being offered only in a transaction not involving any
public offering in the United States within the meaning of the Securities
Act.  Such Person further understands
that the Notes offered in reliance on Regulation S will bear the legend set
forth in the applicable Series Supplement and will be represented by one or
more Regulation S Global Notes.  The
purchaser and each beneficial owner of the Notes, is a QP and is not and will
not be, a U.S. Person as defined in Regulation S under the Securities Act, and
its purchase of the Notes will comply with all applicable laws in any
jurisdiction in which it resides or is located. 
Before any interest in a Regulation S Global Note may be offered,
resold, pledged or otherwise transferred, the transferor will be required to
provide the Indenture Trustee with a written certification as to compliance
with the transfer restrictions as set forth in this Indenture.  Such beneficial owner acknowledges that no
representation has been made as to the availability of any exemption under the
Securities Act or any state or foreign securities laws for resale of the Notes.

(iii)          The
purchaser is aware that, except as otherwise provided in this Indenture, the
Notes being sold to it will be represented (A) initially by one or more
Temporary Regulation S Global Notes and (B) on or after the last day of the
period ending 40 days after the later of the commencement of the offering of
the Notes and the Closing Date (the “Distribution Compliance Period”), by one or more Regulation S Global Notes, and
that in each case beneficial interests therein may be held only through
Euroclear or Clearstream.

(iv)          The
purchaser understands that, prior to the first Business Day following the
Distribution Compliance Period, any resale or other transfer of beneficial
interests in a Temporary Regulation S Global Note in the United States or to
U.S. Persons shall not be permitted.

(v)           The
purchaser will not, at any time, offer to buy or offer to sell the Notes by any
form of general solicitation or advertising, including, but not limited to, any
advertisement, article, notice or other communication published in any
newspaper, magazine or similar medium or broadcast over television or radio or
seminar or meeting whose attendees have been invited by general solicitations
or advertising.

(vi)          The
purchaser understands that the Co-Issuers, the Indenture Trustee, the Insurer,
the Initial Purchaser and their respective counsel will rely upon the accuracy
and truth of the foregoing representations, and it hereby consents to such
reliance.

 22
 

(i)            Any
purported transfer of a Note not in accordance with this Section 2.5
shall be null and void and shall not be given effect for any purpose hereunder
and shall not be registered.

(j)            Notwithstanding
anything contained in this Indenture to the contrary, neither the Indenture
Trustee nor the Note Registrar (nor any other Transfer Agent) shall be
responsible or liable for compliance with applicable federal or state
securities laws (including, without limitation, the Securities Act or Rule 144A
or Regulation S), the Investment Company Act, ERISA or the Code (or any
applicable regulations thereunder); provided that
if a specified transfer certificate or Opinion of Counsel is required by the
express terms of this Section 2.5 to be delivered to the Indenture
Trustee or Note Registrar prior to registration of transfer of a Note, the
Indenture Trustee and/or Note Registrar, as applicable, shall be under a duty
to receive such certificate or Opinion of Counsel and to examine the same to
determine whether it conforms on its face to the requirements hereof (and the
Indenture Trustee or Note Registrar, as the case may be, shall promptly notify
the party delivering the same if it determines that such certificate or Opinion
of Counsel does not so conform).

(k)           If the
Indenture Trustee determines or is notified by the Co-Issuers or the Initial
Purchaser that (i) a transfer or attempted or purported transfer of any
interest in any Note was not consummated in compliance with the provisions of
this Section 2.5 on the basis of an incorrect form or certification from
the transferee or purported transferee, (ii) a transferee failed to deliver to
the Indenture Trustee any form or certificate required to be delivered
hereunder or (iii) the holder of any interest in a Note is in breach of any
representation or agreement set forth in any certificate or any deemed
representation or agreement of such holder, the Indenture Trustee shall not
register such attempted or purported transfer and if a transfer has been
registered, such transfer shall be absolutely null and void ab initio and shall vest no rights in the purported
transferee (such purported transferee, a “Disqualified Transferee”) and the last preceding holder of such interest in
such Note that was not a Disqualified Transferee shall be restored to all
rights as a Holder thereof retroactively to the date of transfer of such Note
by such Holder.

(l)            With
respect to each Series of Notes, the Co-Issuers shall:

(i)            request
DTC to include the “3c7” marker in the DTC 20 character security descriptor and
the 48 character additional descriptor for the Notes in order to indicate that
sales to U.S. persons are limited to QPs;

(ii)           request
DTC to cause each physical DTC delivery order ticket delivered by DTC to
purchasers to contain the 20 character security descriptor and shall request
DTC to cause each DTC delivery order ticket delivered by DTC to purchasers in
electronic form to contain the “3c7” indicator and the related user manual for
participants;

(iii)          request
DTC, on the Closing Date or any Issuance Date (as applicable), to send an “Important
Notice” to all DTC participants in connection with the offering of the
Notes.  The “Important Notice” shall
notify DTC’s participants that the Notes are Section 3(c)(7) securities;

 23
 

(iv)          request
that DTC include the Notes in DTC’s “Reference Directory” of Section 3(c)(7)
offerings;

(v)           cause
each “CUSIP” number obtained for a Note to have an attached “fixed field” that
contains “3c7” and “144A” indicators;

(vi)          from
time to time request all third party vendors (including Bloomberg) to include
on screens maintained by such vendors appropriate legends regarding the Rule
144A and Section 3(c)(7) restrictions on the Notes; and

(vii)         from
time to time (upon the request of the Indenture Trustee) request DTC to deliver
to the Co-Issuers a list of all DTC participants holding an interest in the
Notes.

                Section
2.6             Mutilated, Defaced,
Destroyed, Lost or Stolen Note.  If
(a) any mutilated or defaced Note is surrendered to a Transfer Agent, or if
there shall be delivered to the Co-Issuers, the Indenture Trustee and the
relevant Transfer Agent (each, a “Specified Person”)
evidence to their reasonable satisfaction of the destruction, loss or theft of
any Note, and (b) there is delivered to the Specified Person such reasonable
security or indemnity as may be required by each Specified Person to save each
of them and any agent of any of them harmless, then, in the absence of notice
to the Specified Persons that such Note has been acquired by a Protected Purchaser,
the Co-Issuers shall execute and, upon Company Request, the Indenture Trustee
shall authenticate and deliver, in lieu of any such mutilated, defaced,
destroyed, lost or stolen Note, a new Note, of like tenor (including the same
date of issuance) and equal principal amount, registered in the same manner,
dated the date of its authentication, bearing interest from the date to which
interest has been paid on the mutilated, defaced, destroyed, lost or stolen
Note and bearing a number not contemporaneously outstanding.

If, after delivery of such new Note, a Protected Purchaser of the
predecessor Note presents for payment, transfer or exchange such predecessor
Note, any Specified Person shall be entitled to recover such new Note from the
Person to whom it was delivered or any Person taking there from, and each
Specified Person shall be entitled to recover upon the security or indemnity
provided therefor to the extent of any loss, damage, cost or expense incurred
by such Specified Person in connection therewith.

In case any such mutilated, defaced, destroyed, lost or stolen Note has
become due and payable, the Co-Issuers in their discretion may, instead of
issuing a new Note, pay such Note without requiring surrender thereof except
that any mutilated or defaced Note shall be surrendered.

Upon the issuance of any new Note under this Section 2.6, the
Co-Issuers may require the payment by the registered holder thereof of a sum
sufficient to cover any tax or other governmental charge that may be imposed in
relation thereto and any other expenses (including the fees and expenses of the
Indenture Trustee) connected therewith.

Every new Note issued pursuant to this Section 2.6 in lieu of
any mutilated, defaced, destroyed, lost or stolen Note shall constitute an
original additional contractual obligation of the Co-Issuers and such new Note
shall be entitled, subject to the second paragraph

 24

of this Section 2.6,
to all the benefits of this Indenture equally and proportionately with any and
all other Notes duly issued hereunder.

The provisions of this Section 2.6 are exclusive and shall
preclude (to the extent lawful) all other rights and remedies with respect to
the replacement or payment of mutilated, defaced, destroyed, lost or stolen
Notes.

                                Section
2.7             Payment of Principal
and Interest and Other Amounts; Rights Preserved.  (a) 
Interest on each Series of Notes shall accrue during each Interest
Accrual Period at the applicable Note Interest Rate and as provided in the
applicable Series Supplement and shall be due and payable in arrears on the
Payment Date related to such Interest Accrual Period in accordance with Article
XI.  Except as expressly provided
herein, no payment of interest on the Notes shall be made by the Co-Issuers
hereunder other than on a Payment Date.

(b)           Principal
of each Series of Notes shall be paid on each Payment Date to the extent such
payment is then due and funds are available therefor in accordance with Article
XI.  Any principal amounts thereof
remaining unpaid on the applicable Series Legal Final Maturity Date shall be
due and payable on the applicable Series Legal Final Maturity Date or earlier
upon the occurrence of an acceleration, call for redemption or otherwise.

(c)           As a
condition to the payment of principal of and interest on any Note without the
imposition of U.S. withholding tax, the Co-Issuers, the Indenture Trustee or
any Paying Agent shall require, and Noteholder shall provide, certification
acceptable to it to enable the Co-Issuers, the Indenture Trustee and any Paying
Agent to determine their duties and liabilities with respect to any taxes or
other charges that they may be required to pay, deduct or withhold from
payments in respect of such Note or the Holder of such Note under any present
or future law or regulation of the United States or any present or future law
or regulation of any political subdivision thereof or taxing authority therein
or to comply with any reporting or other requirements under any such law or
regulation.  Such certification may
include U.S. federal income tax forms (such as IRS Form W-8BEN (Certification
of Foreign Status of Beneficial Owner), Form W-8IMY (Certification of Foreign
Intermediary Status), IRS Form W-9 (Request for Taxpayer Identification Number
and Certification) or IRS Form W-8ECI (Certification of Foreign Person’s Claim
for Exemption from Withholding on Income Effectively Connected with Conduct of
a U.S. Trade or Business) or any successors to such IRS forms).  In addition, the Co-Issuers, the Indenture
Trustee or any Paying Agent may require certification acceptable to it to
enable the Co-Issuers to qualify for a reduced rate of withholding in any
jurisdiction from or through which the Co-Issuers receive payments on their
assets.  Each Holder of any Note agrees
to provide any certification requested pursuant to this paragraph within a
reasonable time period after such request is initially made and to update or
replace such form or certification in accordance with its terms or its
subsequent amendments.

The Indenture Trustee hereby provides notice to each Noteholder that
the failure of such Noteholder to provide the Indenture Trustee with
appropriate tax certifications will result in amounts being withheld from
payments to such Noteholders under the Indenture (provided that amounts
withheld pursuant to applicable tax laws shall be considered as having been
paid by the Co-Issuers).

 25
 

(d)           Payments
in respect of interest on and principal of the Notes shall be payable by wire
transfer in immediately available funds to a Dollar account maintained by the
Holder or its nominee; provided that
the Holder has provided wiring instructions to the Indenture Trustee on or
before the related Record Date or, if wire transfer cannot be effected, by a
Dollar check drawn on a bank in the United States of America, or by a Dollar
check mailed to the Holder at its address in the Note Register.  It is herein acknowledged that transfer of
funds by the Indenture Trustee from the appropriate Indenture Trust Account to,
or for further credit to, a U.S. Dollar account of a Paying Agent outside the
United States shall be permitted under the preceding sentence (and it is
acknowledged that any payment by wire transfer of U.S. Dollars outside the
United States is subject to applicable banking procedures and limitations
applicable to wire transfer of U.S. Dollars). 
The Co-Issuers expect that DTC or its nominee, upon receipt of any
payment of principal or interest in respect of a Global Note held by DTC or its
nominee, will immediately credit the applicable Agent Members’ accounts with
payments in amounts proportionate to the respective beneficial interests in
such Global Note as shown on the records of DTC or its nominee.  The Co-Issuers also expect that payments by
Agent Members to owners of beneficial interests in such Global Note held
through Agent Members will be governed by standing instructions and customary
practices, as is now the case with securities held for the accounts of
customers registered in the names of nominees for such customers.  Such payments shall be the responsibility of
the Agent Members.  Upon final payment
due on the Maturity of a Note, the Holder thereof shall present and surrender
such Note at the Corporate Trust Office of the Indenture Trustee or at the
office of any Paying Agent (outside of the United States if then required by
applicable law in the case of a Definitive Note issued in exchange for a
beneficial interest in the Regulation S Global Note) on or prior to such
Maturity; provided that if there is delivered to
the Co-Issuers and the Indenture Trustee such reasonable security or indemnity
as may be required by them to save each of them harmless and an undertaking
thereafter to surrender such certificate, then, in the absence of notice to the
Co-Issuers or the Indenture Trustee that the applicable Note has been acquired
by a Protected Purchaser, such final payment shall be made without presentation
or surrender.  None of the Co-Issuers,
the Indenture Trustee or any Paying Agent shall have any responsibility or
liability for any aspects of the records maintained by DTC or its nominee or
any of the Agent Members relating to or for payments made thereby on account of
beneficial interests in a Rule 144A Global Note or a Regulation S Global
Note.  None of the Co-Issuers, the
Indenture Trustee or the Paying Agent shall have any responsibility or
liability with respect to any records maintained by the Holder of any Note with
respect to the beneficial holders thereof or payments made thereby on account
of beneficial interests held therein.  In
the case where any final payment of principal and interest is to be made on any
Note (other than on the Legal Final Maturity Date thereof), the Co-Issuers or,
upon Company Request, the Indenture Trustee, in the name and at the expense of
the Co-Issuers, shall, not more than thirty (30) nor fewer than ten (10) days
prior to the date on which such payment is to be made, mail to the Persons
entitled thereto at their addresses appearing on the Note Register a notice
which shall state the date on which such payment will be made and the amount of
such payment per $100,000 initial principal amount of Notes and shall specify
the place where such Notes may be presented and surrendered for such payment.

(e)           Interest
on any Note which is payable and is punctually paid or duly provided for on any
Payment Date shall be paid to the Person in whose name that Note (or one or
more predecessor Notes) is registered at the close of business on the Record
Date for such interest.

 26
 

(f)            Payments
of principal to Holders of the Notes of each Series of Notes shall be made in
the proportion that the Aggregate Outstanding Principal Amount of the Notes of
such Series of Notes registered in the name of each such Holder on such Record
Date bears to the Aggregate Outstanding Principal Amount of all Notes of such
Series of Notes on such Record Date.

(g)           All
reductions in the principal amount of a Note (or one or more predecessor Notes)
effected by payments of installments of principal made on any Payment Date
(including any Redemption Date) shall be binding upon all future Holders of
such Note and of any Note issued upon the registration of transfer thereof or
in exchange therefor or in lieu thereof, whether or not such payment is noted
on such Note.

(h)           Subject to
the foregoing provisions of this Section 2.7, each Note delivered under
this Indenture and upon registration of transfer of or in exchange for or in
lieu of any other Note shall carry the rights of unpaid interest and principal
that were carried by such other Note.

(i)            Notwithstanding
any of the foregoing provisions with respect to payments of principal of and
interest on the Notes, if the Notes have become or been declared due and
payable following an Event of Default and such acceleration of maturity and its
consequences have not been rescinded and annulled and the provisions of Section
2.5 are not applicable, then payments of principal of and interest on such
Notes shall be made in accordance with Section 5.2.

                                Section
2.8             Persons Deemed Owners.  The Co-Issuers, the Indenture Trustee, the
Note Registrar and any agent of the Co-Issuers, the Indenture Trustee or the
Note Registrar may treat as the owner of a Note the Person in whose name such
Note is registered on the Note Register on the applicable Record Date for the
purpose of receiving payments of principal of and interest and other amounts on
such Note and on any other date for all other purposes whatsoever (whether or not
such Note is overdue), and neither the Co-Issuers nor the Indenture Trustee nor
any agent of the Co-Issuers or the Indenture Trustee shall be affected by
notice to the contrary; provided that
DTC, or its nominee, shall be deemed the owner of the Global Notes, and owners
of beneficial interests in Global Notes shall not be considered the owners of
any Notes for the purpose of receiving notices.

                                Section
2.9             Cancellation.  All Notes surrendered for payment,
registration of transfer, exchange or redemption, or deemed lost or stolen,
shall, if surrendered to any Person other than the Indenture Trustee, be
delivered to the Indenture Trustee, and shall be promptly canceled by the
Indenture Trustee and may not be reissued or resold.  No Notes shall be authenticated in lieu of or
in exchange for any Notes canceled as provided in this Section 2.9,
except as expressly permitted by this Indenture.  All canceled Notes held by the Indenture
Trustee shall be destroyed or held by the Indenture Trustee in accordance with
its standard retention policy unless the Co-Issuers shall direct by a Company
Order that they be returned to it.

                                Section
2.10           Global Notes; Temporary
Notes.  (a)  A Global Note deposited with DTC pursuant to Section
2.2 shall be transferred to the beneficial owners thereof only if (i) such
transfer complies with Section 2.5 and (ii) either (x) DTC notifies the
Co-Issuers that it is unwilling or unable to continue as depositary for such
Global Note or if at any time DTC ceases 

 27
 

to be a “Clearing Agency” registered under the
Exchange Act and a successor depositary that is so registered is not appointed
by the Co-Issuers within ninety (90) days of such notice, (y) in the case of a
Global Note held for the account of Euroclear or Clearstream, Euroclear or Clearstream,
as the case may be, is closed for business for a continuous period of 14 days
(other than by reason of statutory or other holidays) or announces an intention
permanently to cease business or does in fact do so.

(b)           Any Global
Note that is transferable to the beneficial owners thereof pursuant to Section 2.10(a) shall be surrendered by DTC to
the Indenture Trustee’s Corporate Trust Office together with (i) necessary
instruction for the registration and delivery of Definitive Notes to the
beneficial owners (or such owner’s nominee) holding the ownership interests in
such Global Note, and (ii) a transfer certificate substantially in the form of Exhibit E hereto from such beneficial owner.  Any such transfer shall be made, without
charge, and the Indenture Trustee shall authenticate and deliver, upon such
transfer of each portion of such Global Note, an equal Aggregate Outstanding
Principal Amount of Notes of the same Series of Notes and Authorized Minimum
Denominations.  Any Definitive Note
delivered in exchange for an interest in a Global Note shall bear, except as
otherwise provided by Section 2.5(f), the applicable legend set forth in
exhibits to the applicable Series Supplement and shall be subject to the
transfer restrictions referred to in such applicable legends.  The holder of such a registered individual
Note may transfer such Note by surrendering it at the office or agency
maintained by the Co-Issuers for this purpose in The City of New York, or at
the Corporate Trust Office of the Indenture Trustee, or at the office of any
Paying Agent.

(c)           Subject to
the provisions of Section 2.10(b), the registered Holder of a Global
Note may grant proxies and otherwise authorize any Person, including Agent
Members and Persons that may hold interests through Agent Members to take any
action which a Holder is entitled to take under this Indenture or the Notes.

(d)           In the
event of the occurrence of any of the events specified in paragraph (a) of this
Section 2.10, the Co-Issuers shall promptly
make available to the Indenture Trustee a reasonable supply of Notes in
definitive, fully registered form without interest coupons.

Pending the preparation of Definitive Notes pursuant to this Section
2.10, the Co-Issuers may execute, and upon Company Order the Indenture Trustee
shall authenticate and deliver, temporary Notes that are printed, lithographed,
typewritten, mimeographed or otherwise reproduced, in any Authorized Minimum
Denominations, substantially of the tenor of the Definitive Notes in lieu of
which they are issued and with such appropriate insertions, omissions,
substitutions and other variations as the Officers executing such Notes may
determine, as conclusively evidenced by their execution of such Notes.

If temporary Notes are issued, the Co-Issuers shall cause Definitive
Notes to be prepared without unreasonable delay.  The Definitive Notes shall be printed,
lithographed, typewritten or otherwise reproduced, or provided by any
combination thereof, or in any other manner permitted by the rules and
regulations of any applicable securities exchange, all as determined by the
Officers executing such Definitive Notes. 
After the preparation of Definitive Notes, the temporary Notes shall be
exchangeable for Definitive Notes upon surrender of the applicable temporary Notes
at the office or agency maintained by the Co-Issuers for such 

 28
 

purpose, without charge to the Holder.  Upon surrender for cancellation of any one or
more temporary Notes, the Co-Issuers shall execute, and the Indenture Trustee
shall authenticate and deliver, in exchange therefor the same Aggregate
Outstanding Principal Amount of Definitive Notes of Authorized Minimum
Denominations.  Until so exchanged, the
temporary Notes shall in all respects be entitled to the same benefits under
this Indenture as Definitive Notes.

                                Section
2.11           No Gross Up.  If either of the Co-Issuers becomes subject
to deduction, withholding, or other charge or assessment from, or with respect
to, payments to any Holder of the Notes for any present or future tax, duty,
assessment, or governmental charge, then (i) the Issuer shall give prompt
written notice of the requirement to the Indenture Trustee and the Noteholders
(which shall include certification of the amount so deducted, withheld,
charged, or assessed) and (ii) the Indenture Trustee or other Paying Agent, as
applicable, shall, except as provided under any Series Supplement, reduce the
amount payable in respect of the Notes by the amount required to be deducted,
withheld, charged, or assessed from payments on the Notes on any Payment
Date.  Except as otherwise provided under
any Series Supplement, neither the Issuer nor the Insurers shall be obligated
to pay any additional amounts to the Noteholders as a result of any such
deduction, withholding, charge, or assessment.

                                Section
2.12           Tax Confidentiality
Waiver.

Notwithstanding anything to the contrary contained in this Indenture,
all Persons may disclose to any and all Persons, without limitations of any
kind, the U.S. federal, state and local tax treatment of the Notes, the
Co-Issuers or any of the transactions referred to in any Offering Circular,
this Indenture or any other transaction document described herein, any fact
that may be relevant to understanding the U.S. federal, state and local tax
treatment of the Notes, the Co-Issuers or any of the transactions referred to
in any Offering Circular, this Indenture or any other transaction document
described herein, and all materials of any kind (including opinions or other
tax analyses) relating to such U.S. federal, state and local tax treatment,
other than the name of the parties or any other Person named herein, or
information that would permit identification of the parties or such other
Persons.

                                Section
2.13           Actions under an
Insurance Policy.  (a)  Any payment made by an Insurer to the
Indenture Trustee for the benefit of the Holders of any Series Notes (whether
under the applicable Insurance Policy or otherwise) shall not be deemed to be a
payment made by or on behalf of the Co-Issuers and shall not discharge the
obligations of the Co-Issuers with respect thereto or constitute a cure of a
Default or Event of Default and such amounts shall continue to be due and owing
under such Notes until paid by or on behalf of the Co-Issuers.  All such payments shall be repayable by the
Co-Issuers pursuant to Section 11.1.

(b)           If payment
by an Insurer is made in respect of interest on any Series Notes, such payment
shall be applied solely to the payment of such interest subject to the terms of
the applicable Insurance Policy and such Insurer shall be deemed to the extent
of such payment to have purchased from the Holder of such Series Notes the
right to receive such interest on such Series Notes to the extent the same is
subsequently paid by the Co-Issuers.  If
payment by an Insurer is made in respect of principal on any Series Notes, such
payment shall be applied solely to the payment of such principal subject to the
terms of the applicable Insurance Policy and such Insurer shall be deemed to
have purchased such Series Notes in an Aggregate Outstanding 

 29
 

Principal
Amount equal to the amount so paid by such Insurer.  Such Insurer shall be deemed to be a Holder
of such Series Notes during any period in which such Insurer may exercise
subrogation rights pursuant to Section 2.14.

(c)           With respect
to any Series Notes, if, by 3:00 p.m. in the city in which the Corporate Trust
Office is located on the day preceding the Accounting Date in respect of any
Payment Date, the amount then on deposit in the Collections Account, the
Expense Payment Accounts, the Series Interest Reserve Account, and the Series
Trigger Reserve Account, after giving effect to transfers of funds pursuant to Section
11.1 hereof is insufficient to pay the Insured Obligations relating to the
applicable Series of Notes due on such Payment Date, then, on or before 12:00
p.m. (New York time) on the Business Day following such Accounting Date, the
Indenture Trustee shall give written notice to the Insurer relating to such
Series Notes of the amount of such deficiency, and thereupon submit a Notice of
Payment (as defined in the applicable Insurance Policy) in respect of such
amount, all in accordance with the terms of this Indenture and in strict
compliance with the terms of the applicable Insurance Policy.

(d)           In the
event that the Indenture Trustee has received a certified copy of an order of
an appropriate court that any Insured Obligation of principal of or interest on
any Series Notes has been avoided in whole or in part as a preference payment
under applicable bankruptcy law, the Indenture Trustee shall so notify the
Insurer relating to such Series Notes, shall comply with the provisions of the
applicable Insurance Policy to obtain payment by the Insurer relating to such
Series Notes of such avoided payment, and shall, at the time it provides notice
to the Insurer relating to such Series of Notes, notify Holders of such Series
Notes by mail that, in the event that any such Noteholder’s Insured Obligation
is so recovered, such Noteholder will be entitled to payment pursuant to the
terms of the applicable Insurance Policy. 
The Indenture Trustee shall furnish to the Insurer relating to such
Series Notes the Indenture Trustee’s records evidencing the payments of
principal of and interest on such Series Notes, if any, which have been made by
the Indenture Trustee and subsequently recovered from the Noteholders, and the
dates on which such payments were made. 
Pursuant to but subject to the terms of the applicable Insurance Policy,
an Insurer relating to such Series Notes will make such payment on behalf of
the Noteholder to the receiver, conservator, debtor-in-possession or trustee in
bankruptcy named in the Final Order (as defined in the applicable Insurance
Policy) and not to the Indenture Trustee or any Noteholder directly (unless a
Noteholder has previously paid such payment to the receiver, conservator,
debtor-in-possession or trustee in bankruptcy, in which case the Insurer
relating to such Series Notes will make such payment to the Indenture Trustee
for distribution to such Noteholder upon proof of such payment reasonably
satisfactory to such Insurer).

(e)           The
Indenture Trustee shall promptly notify the Insurer relating to any Series
Notes of any proceeding or the institution of any action (of which the
Indenture Trustee has actual knowledge) seeking the avoidance as a preferential
transfer under applicable bankruptcy, insolvency, receivership, rehabilitation
or similar law (a “Preference
Claim”) of any distribution made
with respect to such Series Notes.  With
respect to any Series Notes, each Noteholder, by its purchase of Series Notes,
and the Indenture Trustee hereby agree to the provisions of the related
Insurance Agreement and Insurance Policy and agree that the Insurer relating to
such Series Notes may at any time during the continuation of any proceeding
relating to a Preference Claim involving such Notes direct all matters relating
to such Preference Claim including, without limitation, (i) the direction of
any appeal of any order relating to any 

 30
 

Preference
Claim and (ii) the posting of any surety, supersedeas or
performance bond pending any such appeal at the expense of the Insurer relating
to such Series Notes, but subject to reimbursement as provided in the Insurance
Agreement applicable to such Series Notes. 
In addition, and without limitation of the foregoing, as set forth in Section
2.14 hereof, an Insurer shall be subrogated to, and each Noteholder
relating to a Series of Notes and the Indenture Trustee hereby delegate and
assign, to the fullest extent permitted by law, the rights of the Indenture
Trustee and each such Noteholder and the Notes relating to such Series of Notes
in the conduct of any proceeding with respect to a Preference Claim, including,
without limitation, all rights of any party to an adversary proceeding with
respect to any court order issued in connection with any such Preference Claim.

(f)            By
acceptance of a Series Note with respect to which an Insurance Policy has been
issued, each Series Noteholder agrees to be bound by the terms of such
Insurance Policy.  Nothing in this
Indenture referring to or describing any obligation of an Insurer under its
Insurance Policy shall or is intended to modify any of the terms, provisions or
conditions of such Insurance Policy.

                                Section
2.8             Subrogation Rights of
Insurers; Payment of Reimbursements.

(a)           Upon the
payment by any Insurer relating to Series Notes to the Indenture Trustee (or
otherwise in accordance with the applicable Insurance Policy) for the benefit
of the Holders of such Series Notes, such Insurer, without the need for further
action on the part of such Insurer, the Co-Issuers, the Indenture Trustee or
any other Person, shall be fully subrogated to the rights, as applicable, of
each such Noteholder to receive payments of principal of and/or interest on the
Series Notes from the Co-Issuers in accordance with Article XI, to the
extent (i) of the amounts paid by such Insurer under the applicable Insurance
Policy, and (ii) that such payment by the Co-Issuers is being made in respect
of the specific principal and/or interest payment as to which such Insurer made
its payment.  In addition, until such
Insurer is fully reimbursed in accordance with this Indenture and the
applicable Insurance Agreement for any amounts paid by such Insurer to such
Noteholders, such Insurer may exercise any option, vote, right, power or the
like with respect to such Series Notes to the extent that it has made payment
of principal or interest for the benefit of such Series Notes pursuant to the
applicable Insurance Policy.  In furtherance
of the foregoing, the Indenture Trustee shall give effect to such subrogation
by distributing to such Insurer (as subrogee of Noteholders and the Series
Notes) the amounts that otherwise would have been distributed by the Indenture
Trustee to such Holders in respect of principal and interest on the Series
Notes to the extent (i) of any payments by the Insurer relating to such Series
Notes under the applicable Insurance Policy, and (ii) that such payment by the
Co-Issuers is being made in respect of the specific principal and/or interest
payment as to which such Insurer made its payment.  To evidence such subrogation to the rights of
such Noteholders, the Note Registrar shall note such Insurer’s rights as such
subrogee in the Note Register upon receipt from such Insurer of proof of
payment by such Insurer in respect of interest on or principal of such Series
Notes.  In addition, and without limiting
the foregoing, (a) if an Insurer relating to any Series Notes makes any payment
under the applicable Insurance Policy in respect of interest on such Series
Notes, such Insurer shall be fully subrogated to the rights of Noteholders and
the Series Notes relating to such Series Notes to receive the relevant interest
payment, together with interest thereon under Article XI; and (b) if
such Insurer makes any payment under the applicable Insurance Policy in respect
of principal of such Series Notes 

 31
 

and such
Insurer shall be fully subrogated to the rights of such Noteholders to receive
the relevant principal payment, together with interest thereon under Article
XI.

(b)           Any
Insurer may, at its option, direct the allocation of any payment of
Reimbursements as provided in Section 11.1 as being the repayment of
principal and/or interest as to Reimbursements then owing as of such
reimbursement or payment date.

(c)           Anything
hereunder notwithstanding, it is understood and agreed that each Insurer shall
be entitled to payment of Reimbursement only at the times and as provided in
this Indenture and in the applicable Insurance Agreement and Insurance
Policy.  All payments received by an
Insurer pursuant to the exercise of its rights under the Notes as subrogee as
described in subsection (a) above shall
cause a corresponding reduction (on a dollar-for-dollar basis) in the Reimbursement
obligations owing to such Insurer, and all payments received by such Insurer in
respect of Reimbursement obligations as provided in subsection
(b) above shall cause a corresponding reduction (on a
dollar-for-dollar basis) in the amounts which may be owing to such Insurer
pursuant to such subrogation rights.

(d)           Each
Insurer by its execution of the applicable Series Supplement acknowledges and
agrees that, notwithstanding any of the provisions of this Indenture, the
applicable Insurance Agreement, the applicable Series Supplement or otherwise,
it shall have recourse only to the Collateral. 
The Collateral having been fully applied in accordance with the terms
hereof, such Insurer shall not be entitled to take any further actions against
either of the Co-Issuers to recover any sums due but still unpaid hereunder or
thereunder, all claims in respect of which shall be extinguished as against the
Co-Issuers.  In particular, each Insurer
by its execution of the applicable Series Supplement agrees not to take any
action or institute or join in instituting any proceeding against either of the
Co-Issuers (whether pursuant to its rights to be reimbursed for Reimbursements
or pursuant to its subrogation rights or otherwise), until at least one year
and one day, or if longer, the applicable preference period then in effect,
after the payment in full of all Notes issued hereunder (including any Series
Supplement), which action or proceeding arises under any Insolvency Law
applicable to either of the Co-Issuers, respectively or which would be likely
to cause either of the Co-Issuers to be subject to, or to seek the protection
of, any Insolvency Law applicable to either of the Co-Issuers, respectively; provided, that each Insurer may become a party to and
participate in any Proceeding or action under any Insolvency Law applicable to
either of the Co-Issuers, respectively, that is initiated by any Person that is
not an Affiliate of such Insurer.  For
avoidance of doubt, this Section 2.14(d) shall not include any actions
taken against the Servicer or any other Affiliate of the Servicer in respect of
matters unrelated to Reimbursement by the Co-Issuers.

                                Section
2.15           Additional Covenant of
the Insurers.  Each Insurer by its
execution of the applicable Series Supplement agrees to promptly notify in
writing, promptly upon such Insurer’s knowledge of such event, the Indenture
Trustee of the actual or prospective occurrence of any event which constitutes
or would constitute an Insurer Event of Default relating to such Insurer.  The Indenture Trustee and the Co-Issuers
shall not be deemed to have knowledge of any such event until receipt of
written notice of such event from such Insurer, or until any other Authorized
Officer of the Indenture Trustee or the Co-Issuers, as the case may be,
responsible for administering the transactions herein described has actual
knowledge of such event.

 32
 

                                Section 2.16           Applicability of Sections 2.13,
2.14 and 2.15.  The provisions of Sections
2.13, 2.14 and 2.15 shall apply to a Series of Notes only if
and for so long as such Series Notes are insured pursuant to an Insurance
Policy or any amount is owing to the Insurer relating to such Series of Notes.

                                Section
2.17           Escheat.  Subject to applicable laws with respect to
escheat of funds, any money held by the Indenture Trustee or any Paying Agent
in trust for the payment of any amount due to any Noteholder with respect to
any Note and remaining unclaimed for two (2) years after such amount has become
due and payable shall be discharged from such trust and be paid to the
Co-Issuers upon delivery of a Servicer Order. 
The Holder of such Note shall thereafter, as an unsecured general
creditor, look only to the Co-Issuers (and not to the applicable Insurer) for
payment thereof (but only to the extent of the amounts so paid to the
Co-Issuers), and all liability of the Indenture Trustee or the Paying Agent (as
applicable) with respect to such trust money paid to the Co-Issuers shall
thereupon cease; provided, however, that the
Indenture Trustee or the Paying Agent, before being required to make any such
repayment, may, at the expense of the Co-Issuers, cause to be published once,
in a newspaper published in the English language, customarily published on each
Business Day and of general circulation in New York City, and in a newspaper
customarily published on each Business Day and of general circulation in London
and Luxembourg (if the related Series of Notes has been listed on the
Luxembourg Stock Exchange), if applicable, notice that such money remains
unclaimed and that, after a date specified therein, which shall not be less
than thirty (30) days from the date of such publication, any unclaimed balance
of such money then remaining will be repaid to the Co-Issuers. The Indenture
Trustee may also adopt and employ, at the expense of the Co-Issuers any other
commercially reasonable means of notification of such repayment.

ARTICLE
III

CONDITIONS PRECEDENT

                                Section
3.1             General Provisions.  Any Notes issued by the Co-Issuers on the
Closing Date or any Issuance Date shall be executed by the Co-Issuers upon
compliance with the conditions of Sections 2.3,
3.2 and  Section
3.3 and shall be delivered to the Indenture Trustee for authentication, and
thereupon the same shall be authenticated and delivered by the Indenture Trustee
upon Company Order and upon receipt by the Indenture Trustee and each Insurer
relating to the Series Notes to be issued (and, in the case of items (c), (d) and (e) below, also
by the Co-Issuers, and in the case of items (a),
(b), (c), (g) and (h),
each other Insurer) on such Closing Date or Issuance Date (as applicable) of
the following items:

(a)           an Officer’s
Certificate of each of the Co-Issuers (A) with respect to (1) the due
authorization, execution and delivery of each of the Transaction Documents and
any other related transaction documents to which either is a party and (2) the
execution, authentication and delivery of the relevant Notes and related Series
Supplement and (B) certifying that (1) the attached copy of the resolutions of
the Board of Managers of each of the Co-Issuers authorizing the Transaction
Documents and the issuance of such Notes is a true and complete copy thereof,
(2) such resolutions have not been rescinded and are in full force and effect
on and as of such Issuance Date, (3) the attached copy of each of the
Co-Issuers’ limited liability company agreement is a true and complete copy
thereof, (4) such limited liability 

 33
 

company
agreement has not been rescinded and is in full force and effect on and as of
such Issuance Date, (5) the Authorized Officers authorized to execute and
deliver such documents hold the offices and have the signatures indicated
thereon and (6) if the Issuance Date is not the Closing Date, the continued
accuracy on such Issuance Date (as if made with reference to such Issuance
Date) of each representation made by the Co-Issuers on the Closing Date herein,
in the applicable Series Supplement and in any other Transaction Document.

(b)           an Opinion
of Counsel of the Co-Issuers reasonably satisfactory in form and substance to
the Indenture Trustee and (if such Insurer is then the Series Controlling Party
relating to the Notes to be issued) each Insurer relating to the Series Notes
to be issued, if any, to the effect that no authorization, approval or consent
of any governmental body is required for the valid issuance of the relevant
Notes except such as may have been given and covering such other matters as the
Indenture Trustee or the Insurer may reasonably request; provided
that such Opinion of Counsel shall state, among other things, the necessary
events upon the occurrence of which the security interest of the Indenture
Trustee in the Collateral shall be a perfected security interest with respect
to Collateral in which a Lien can be perfected under the laws of the United
States (or the applicable states), and confirm, with respect to IP Lien
Filings, that the IP Security Agreements have been executed by the Issuer or
the Co-Issuer (as appropriate) and delivered to the Indenture Trustee for
filing with the appropriate Intellectual Property registry office, and
unencumbered; and provided, further, that Skadden,
Arps, Slate, Meagher & Flom LLP, counsel to the Co-Issuers, shall be deemed
to be satisfactory counsel for purposes of this subclause
(b);

(c)           an Opinion
of Counsel to the Indenture Trustee, dated such Closing Date or Issuance Date
(as applicable), in form and substance reasonably satisfactory to each of the
Co-Issuers and (if such Insurer is the Series Controlling Party relating to the
Notes to be issued) each Insurer relating to the Series Notes to be issued, if
any;

(d)           an Opinion
of Counsel to the relevant Hedge Counterparty, if any, dated such Issuance
Date, in form and substance reasonably satisfactory to each of the Co-Issuers
and (if such Insurer is then the Series Controlling Party relating to the notes
to be issued) each Insurer relating to the Series Notes to be issued, if any;

(e)           an opinion
of counsel to each Insurer relating to the Notes to be issued, dated as of the
Issuance Date, in form and substance satisfactory to the Co-Issuers;

(f)            an
Opinion of Counsel to each Initial Purchaser or their representative, in form
and substance satisfactory to each Initial Purchaser or their representative,
as applicable, to the effect that the “Certain U.S. Federal Income Tax
Considerations” section of the Offering Circular summarizes the material U.S.
federal income tax consequences of the purchase and beneficial ownership of the
Notes, and is materially accurate;

(g)           an Officer’s Certificate of each of
the Co-Issuers to the effect that (i) no Default or Event of Default under this
Indenture has occurred and is continuing, or is likely to occur as a result of
such proposed issuance; (ii) with respect to Notes proposed for execution and
delivery after the fourth Accounting Date following the Closing Date, that the
Pro Forma Series Debt Service Coverage Ratio is at least the greatest of the
Additional Issuance Series DSCR Thresholds applicable to each respective
Outstanding Series of Notes; (iii) no Servicer

 34

Termination
Event has occurred and is continuing, or will occur with notice or the lapse of
time or both, or is likely to occur as a result of such proposed issuance; (iv)
no Trigger Reserve Event has occurred and is continuing, or is likely to occur
as a result of such proposed issuance; (v) the proposed issuance does not alter
or change the terms of any Series Notes of any Series of Notes Outstanding or
the Series Supplement relating thereto; (vi) no Mandatory Redemption Event has
occurred and is continuing or is likely to occur as a result of the proposed
issuance; (vii) giving effect to such proposed issuance, the IHOP Corp.
Consolidated Leverage Ratio is equal to or less than the least of the Series
IHOP Corp. Consolidated Leverage Ratio Thresholds applicable with respect to
any Outstanding Notes; (viii) that the Adjusted IHOP Corp. Consolidated
Leverage Condition is met; (ix) all conditions precedent provided in this
Indenture relating to the authentication and delivery of Notes have been
complied with; (x) all representations and warranties are true and correct in
all material respects; and (xi) all expenses due or accrued with respect to the
offering or relating to actions taken in connections therewith have been paid.

(h)           an
Accountant’s Certificate (i) confirming the calculation of the Series Debt
Service Coverage Ratio for each Outstanding Series of Notes (as specified in
this Base Indenture or the related Series Supplement), the Cumulative Debt
Service Coverage Ratio for the most recent Accounting Date and the Pro Forma
Series Debt Service Coverage Ratio, (ii) 
after giving effect to such proposed issuance, confirming
compliance with all Series IHOP Corp. Consolidated Leverage Ratio Thresholds
and the Adjusted IHOP Corp. Consolidated Leverage Condition, as applicable and
(iii) specifying the procedures undertaken by them in connection with the data
and computations in clause (i) and (ii); provided, that, in the
case of the initial issuance of the Notes on the Closing Date, the Report of
Independent Accountants on Applying Agreed Upon Procedures dated the
Closing  Date shall be deemed to satisfy
this Section 3.1(h); and

(i)            an
executed counterpart of each of the Transaction Documents (to the extent not
previously provided).

                                Section
3.2             Security for Notes.  Prior to the issuance of any Notes on the
Closing Date or any Issuance Date (as applicable), the Co-Issuers shall cause
the following conditions to be satisfied:

(a)           Grant of the Franchise Assets.  The Grant pursuant to the Granting Clauses of
this Indenture of each of the Co-Issuers right, title and interest in and to
the Collateral on the Closing Date (such Grant to be evidenced by the
Co-Issuers’ execution and delivery of this Indenture).

(b)           Certificate of the Issuer.  A certificate of an Authorized Officer of the
Issuer, dated as of the Closing Date or any Issuance Date (as applicable),
delivered to the Indenture Trustee and each Insurer, if any, relating to the
Notes to be issued, to the effect that, in the case of the Franchise Assets on
the Closing Date, and immediately prior to the delivery on the Issuance Date of
any Notes:

(i)            the
Issuer Assets are free and clear of any Liens except for (A) those which are
being released on the Closing Date, (B) those Granted pursuant to this
Indenture or (C) Permitted Liens;

 35
 

(ii)           the
Issuer has acquired its ownership in the Issuer Assets in good faith without
notice of any adverse claim, except as described in paragraph
(i) above;

(iii)          the
Franchise Documents with respect to each Franchise do not prohibit the Issuer
from Granting a security interest in and pledging such Franchise Assets to the
Indenture Trustee; and

(iv)          the
Grant pursuant to the Granting Clauses of this Indenture, upon filing of the
Financing Statement and the Owned Real Property Mortgage, timely filing of IP
Lien Filings in the appropriate Intellectual Property registry office and the
taking of any actions or filings required under laws outside of the United
States for perfection of Licensed IP created under such laws, shall result in a
first priority perfected security interest in favor of the Indenture Trustee
for the benefit of the Secured Parties in all of the Issuer’s right, title and
interest in and to the Issuer Assets.

The Issuer, on and as of the Closing Date, and on and as of any subsequent
Issuance Date to the extent contemplated by Section 3.1(a)(B)(6), hereby represents and warrants as set
forth above in clauses (i) through (iv).

(c)           Certificate of the Co-Issuer.  A certificate of an Authorized Officer of the
Co-Issuer, dated as of the Closing Date or any Issuance Date (as applicable),
delivered to the Indenture Trustee and each Insurer relating to the Notes to be
issued, to the effect that, in the case of the Franchise IP and all other
Franchise Assets owned by the Co-Issuer on the Closing Date, and immediately
prior to the delivery on the Issuance Date of any Notes:

(i)            the
Co-Issuer is the owner of the IP Assets in existence as of such date free and
clear of any Liens, claims or encumbrances of any nature whatsoever that are
effective or could become effective, in each case except for (A) those which
are being released on the Closing Date, (B) those Granted pursuant to this
Indenture or (C) Permitted Liens;

(ii)           the
Co-Issuer has acquired its ownership in the IP Assets and the right to receive
the After-Acquired IP Assets in good faith without notice of any adverse claim,
except as described in paragraph (i) above;

(iii)          the
Grant pursuant to the Granting Clauses of this Indenture, upon filing of the
Financing Statement, timely filing of IP Lien Filings and the taking of any
actions or filings required under laws outside the United States for perfection
of IP Assets included in the Collateral created under such laws, shall result
in a first priority perfected security interest in favor of the Indenture
Trustee for the benefit of the Secured Parties in all of the Co-Issuer’s right,
title and interest in the IP Assets included in the collateral.

The Co-Issuer, on and as of the Closing Date, and on
and as of any subsequent Issuance Date to the extent contemplated by Section
3.1(a)(B)(6), hereby represents and
warrants as set forth above in clauses (i)
through (iii).

(d)           Rating Letters.  The delivery to the Indenture Trustee and
each Insurer, if any, relating to the Notes to be issued of (i) a true and
correct copy of a letter signed by Moody’s 

 36
 

confirming
that the Notes to be issued on the Closing Date or Issuance Date (as
applicable) have been assigned a rating specified in the applicable Series
Supplement and have received a shadow rating (exclusive of the effect of any
Insurance Policy) specified in the applicable Series Supplement by Moody’s, and
that such ratings are in full force and effect on the Closing Date or Issuance
Date (as applicable), (ii) a true and correct copy of a letter signed by
S&P confirming that the Notes to be issued on the Closing Date or Issuance
Date (as applicable) have been assigned a rating specified in the applicable
Series Supplement and have received a shadow rating (exclusive of the effect of
any Insurance Policy) specified in the applicable Series Supplement by S&P,
and that such ratings are in full force and effect on the Closing Date or
Issuance Date (as applicable) and (as required in the applicable Series
Supplement) (iii) a true and correct copy of a letter signed by any other
rating agency confirming that the Notes to be issued on the Closing Date or
Issuance Date (as applicable) have been assigned a rating specified in the
applicable Series Supplement and have received a shadow rating (exclusive of
the effect of any Insurance Policy) specified in the applicable Series
Supplement by such Rating Agency, and that such ratings are in full force and
effect on the Closing Date or Issuance Date (as applicable); provided, however,
that in lieu of receiving a copy of a letter regarding any shadow rating
referred to in this Section 3.2(d), confirmation by electronic mail
prior to the issuance of such Notes on the Closing Date or such Issuance Date,
as the case may be, by the applicable Insurer to the Indenture Trustee that
such Insurer has received such a letter conforming to the requirements of this Section
3.2(d) (or that such Insurer has waived receipt thereof by the Insurer)
shall satisfy such condition in respect of the Indenture Trustee with respect
to such shadow rating.

(e)           Rating Agency Condition.  With respect to any Notes that will be
Outstanding at the proposed Issuance Date, delivery of written confirmation to
each Insurer applicable to such Notes that the Rating Agency Condition shall
have been satisfied as to such Notes; provided that
such Insurer shall promptly notify the Indenture Trustee of such confirmation.

(f)            Accounts. 
The Indenture Trustee shall provide on the Closing Date or such Issuance
Date (as applicable) prior to the issuance of any Notes on such date evidence
of the establishment or continued maintenance (as applicable) of the
Collections Account, the Franchisee Insurance Proceeds Account, the Expense
Payment Accounts, and with respect to each Series of Notes, the Series
Principal Payment Account, the Series Interest Payment Account, the Series Fee
Payment Account, the Series Interest Reserve Account, and the Series Trigger
Reserve Account.  The Issuer shall
provide on the Closing Date or such Issuance Date (as applicable) prior to the
issuance of any Notes on such date evidence of the establishment or continued
maintenance (as applicable) of the Lock-Box Account, the Advertising Funds
Account, the Lease and Reimbursement Payment Account and the Residual Account.

(g)           Financing Statement.  The delivery by each of the Co-Issuers of an
unfiled copy of the Financing Statement describing the Collateral and naming
each of the Co-Issuers respectively as debtor and the Indenture Trustee as
secured party (or amendments of such Financing Statement or continuation
statements, as applicable) to be filed by or on behalf of each of the
Co-Issuers with the Secretary of State of Delaware not later than the 10th day
following the Closing Date or the Issuance Date, as applicable.  The parties hereto acknowledge that the
Indenture Trustee shall not be obligated to have verified the validity,
accuracy or other substantive matters relating such Financing Statement.

 37
 

                                Section 3.3             Issuance of New Notes.  No new Notes or Series of Notes shall be
issued unless the following conditions are satisfied:

(a)           no Default
or Event of Default under this Indenture has occurred and is continuing or will
occur as a result of such proposed issuance, and all representations and
warranties are true and correct and will continue to be true and correct after
giving effect to such issuance in all material respects;

(b)           with
respect to Notes proposed for execution and delivery after the fourth
Accounting Date following the Closing Date, the Pro-Forma Series Debt Service
Coverage Ratio is at least equal to the greatest of the Additional Issuance
Series DSCR Thresholds applicable to each respective Outstanding Series of
Notes;

(c)           no
Servicer Termination Event has occurred and is continuing, or will occur with
notice or the lapse of time or both or will occur as a result of such proposed
issuance;

(d)           no Trigger
Reserve Event has occurred and is continuing, or will occur as a result of such
proposed issuance;

(e)           the
proposed issuance does not alter or change the terms of any Series Notes or any
Series of Notes Outstanding or the Series Supplement relating thereto without
such consents as are required under ARTICLE VIII;

(f)            no
Mandatory Redemption Event has occurred and is continuing, or will occur as a
result of such proposed issuance;

(g)           giving
effect to such proposed issuance, the IHOP Corp. Consolidated Leverage Ratio is
equal to or less than the least of the Series IHOP Corp. Consolidated Leverage
Ratio Thresholds applicable with respect to any Outstanding Notes;

(h)           the
Adjusted IHOP Corp. Consolidated Leverage Condition is met;

(i)            in the
case of Additional Notes of any existing Series to be issued, either (i) each
Insurer, if any, insuring such Series has consented thereto in writing or (ii)
without the consent of each Insurer insuring such Series, the aggregate
principal amount to be issued is not greater than the excess, if any, of the
maximum authorized principal amount of such Series as set forth in the
applicable Series Supplement, over the aggregate principal amount of Notes of
such Series that have previously been issued (whether or not still
Outstanding);

(j)            all
expenses due or accrued with respect to the offering of such Notes or Series of
Notes or relating to actions taken in connection therewith have been paid or
will be paid from the proceeds thereof; and

(k)           all
applicable conditions under this Indenture and the other Transaction Documents
have been satisfied.

 38
 

ARTICLE
IV

SATISFACTION AND DISCHARGE

                                Section
4.1             Satisfaction and
Discharge of Indenture.  (a)  This Indenture shall cease to be of further
effect with respect to the Notes except as to (1) rights of registration of
transfer and exchange, (2) substitution of mutilated, destroyed, defaced, lost
or stolen Notes, (3) rights of Noteholders to receive payments of principal
thereof and interest thereon and each Insurer relating to any Series of Notes
to receive any Reimbursement or other amounts due or to become due hereunder or
under the applicable Insurance Agreement and/or Insurance Policy that have not
been previously paid, (4) the rights, obligations and immunities of the
Indenture Trustee hereunder including, without limitation, the rights to
compensation, reimbursement and indemnification, (5) rights of the Co-Issuers
to optional redemption pursuant to Section 9.2 and (6) the rights of
Noteholders and the other Secured Parties as beneficiaries hereof with respect
to the property deposited with the Indenture Trustee and payable to all or any
of them, and all Collateral, rights and interest hereby conveyed or assigned or
pledged and not disposed of previously pursuant to Section 5.3 then
remaining, if any, shall revert to the Co-Issuers, and the estate, right, title
and interest of the Indenture Trustee and the Secured Parties therein shall
thereupon cease, terminate and become void, and the Indenture Trustee, on
demand of and at the expense of the Co-Issuers, shall execute instruments in
form and substance reasonably satisfactory to the Co-Issuers and the Indenture
Trustee acknowledging satisfaction and discharge of this Indenture and
releasing the Collateral from the Lien of this Indenture, and execute and
deliver such other instruments or documents as may be reasonably requested by
the Co-Issuers to give effect to such release, and shall convey, assign and
transfer, or cause to be conveyed, assigned or transferred, and shall deliver
or cause to be delivered to the Co-Issuers, all such remaining Collateral,
including money, then held by the Indenture Trustee or any co trustee, other
than moneys deposited with the Indenture Trustee pursuant to clause (ii) below, when:

(i)            either:

(A)          all
Notes theretofore authenticated and delivered (other than (x) Notes which have
been destroyed, lost or stolen and which have been paid or replaced as provided
in Section 2.6 hereof and (y) Notes for whose payment money has
theretofore been deposited in trust and thereafter repaid to the Co-Issuers or
discharged from such trust, as provided in Section 2.7 hereof) have been
delivered to the Indenture Trustee for cancellation; or

(B)           the
Co-Issuers irrevocably deposit in trust with the Indenture Trustee or, at the
option of the Indenture Trustee, with a trustee reasonably satisfactory to the
Aggregate Controlling Party, the Indenture Trustee and the Co-Issuers under the
terms of a irrevocable trust agreement in form and substance satisfactory to
the Indenture Trustee, money or Eligible Investments in an amount sufficient,
in the opinion of a nationally recognized firm of independent certified public
accountants expressed in a written certification thereof delivered to the
Indenture Trustee, to pay, when due, principal, premium, if any, and interest
on the Notes to maturity, redemption or prepayment, as the case may be, and to
pay all other sums payable by them hereunder and under each other Transaction 

 39
 

Document and under any Insurance Agreement; provided, however, that (A) the trustee of the irrevocable
trust shall have been irrevocably instructed to pay such money or the proceeds
of such Eligible Investments to the Indenture Trustee and (B) the Indenture
Trustee shall have been irrevocably instructed to apply such money or the
proceeds of such Eligible Investments to the payment of said principal and
interest with respect to the Notes and such other sums, including, but not
limited to, with respect to any exercise of the Co-Issuers of redemption rights
under Section 9.2;

(ii)           the
Co-Issuers have paid or caused to be paid all other sums payable hereunder by
the Co-Issuers and no other amounts will become due and payable by the
Co-Issuers and each of the Servicer and each other Securitization Entity has
paid all amounts payable by it under the Transaction Documents;

(iii)          the
Co-Issuers have delivered to the Indenture Trustee and, if an Insurer is then
the Series Controlling Party relating to any Series of Notes, such Insurer, an
Officers’ Certificate and an Opinion of Counsel each stating that all
conditions precedent herein provided for relating to the satisfaction and
discharge of this Indenture with respect to the Notes have been complied with;
and

(iv)          the
Insurance Policy relating to each Series of Notes, if any, has expired or been
terminated or canceled by the Indenture Trustee in accordance with its terms
and the Indenture Trustee has returned each such Insurance Policy to the
applicable Insurer and all amounts payable to such Insurer having been paid; provided, however, the Indenture Trustee shall be required
to cancel such Insurance Policy and return it to the Insurer if all amounts
under the Notes and the applicable Insurance Agreement have been paid and the
Co-Issuers shall have provided to each applicable Insurer an Opinion of
Counsel, or such other adequate assurances as may be required by such Insurer
in its sole judgment, to such Insurer that the discharge of the Indenture will not
subject such Insurer to a risk of preference or recapture on amounts previously
paid by the Co-Issuers to discharge the Notes, and such Insurer shall have
confirmed in writing that such condition has been satisfied.

The foregoing provisions notwithstanding, amounts owing in respect of
Notes which shall have been paid, or for which provision shall have been made,
by a payment from the Insurer pursuant to the applicable Insurance Policy, if
any, shall continue to be Outstanding under this Indenture, and the conditions
set forth in this Section 4.1 shall not be satisfied, and such Insurer
shall become the Holder of such Notes for all purposes of this Indenture; provided, that if the Co-Issuers shall make payment to such
Insurer of all Reimbursements and all Insurer Expenses due hereunder and under
the applicable Insurance Agreement in respect of any payments by such Insurer
of principal of and interest on such Notes and Insurer Expenses under the
applicable Insurance Agreement, together with any interest due under the
applicable Insurance Agreement thereon, the obligation of the Co-Issuers with
respect to payment of such Notes shall cease to the extent of such
Reimbursement, and if such Reimbursement shall be sufficient to pay all of the
principal of and interest due on such Notes, such Notes shall no longer be
deemed Outstanding for purposes of this Indenture.

 40
 

(b)           Notwithstanding
the satisfaction and discharge of this Indenture, the rights and obligations of
the Co-Issuers, the Noteholders and the Secured Parties under Section 2.7,
Section 2.13, Section 2.14, Section 2.15, Section 2.16,
Section 4.2, Section 6.5, Section 6.6, Section 7.1,
Section 7.3, Section 7.13(o) and Section 11.1 hereof shall
survive such satisfaction and discharge.

                                Section
4.2             Application of Trust
Money.  All monies, Cash or Eligible
Investments deposited with the Indenture Trustee pursuant to Section 4.1
hereof shall be irrevocably held in trust by the Indenture Trustee and applied
by it, in accordance with the provisions of the Notes and this Indenture and in
Article XI to the payment to the Person or Persons entitled thereto of
the principal and interest for whose payment such monies, Cash and Eligible
Investments have been deposited with the Indenture Trustee, and such monies,
Cash and Eligible Investments shall be held in a segregated trust account
identified as being held in trust for the benefit of the Noteholders and the
other Secured Parties.

                                Section
4.3             Reinstatement.  If the Indenture Trustee is unable to apply
any cash or Eligible Investments in accordance with Section 4.1 hereof
by reason of any Proceeding or by reason of any order or judgment of any court
or governmental authority enjoining, restraining or otherwise prohibiting such
application, the Co-Issuers’ obligations under this Indenture and the Notes
shall be revived and reinstated as though no deposit had occurred pursuant to Section
4.1 hereof until such time as the Indenture Trustee is permitted to apply
all such cash or Eligible Investments in accordance with Section 4.1
hereof; provided, however, that if the
Co-Issuers have made any payment of principal of or interest on any Notes
because of the reinstatement of its obligations, the Co-Issuers shall be
subrogated to the rights of the holders who received such cash or Eligible
Investments to receive such payment from the funds held by the Indenture
Trustee.

ARTICLE V

EVENTS OF DEFAULT AND REMEDIES

                                Section
5.1             Events of Default.  (a)  “Event of Default,” wherever used herein, means
any one of the following events (whatever the reason for such Event of Default
and whether it shall be voluntary or involuntary or be effected by operation of
law or pursuant to any judgment, decree or order of any court or any order,
rule or regulation of any administrative or governmental body):

(i)            a
default shall occur in the payment of principal on any Note when due (without
giving effect to payments made on the Notes with the proceeds of a drawing
under any Insurance Policy);

(ii)           a
default shall occur in the payment of any interest due in respect of any Note
and such default shall continue for two (2)Business Days (without giving effect
to payments made on the Notes with the proceeds of a drawing under any
Insurance Policy);

(iii)          either
the Issuer, the Co-Issuer or any other Securitization Entity fails to perform
or comply with any of the covenants or representations or warranties contained 

 41
 

in Section 7.12 and Section 7.16 hereof or any
of the representations or warranties contained herein or in any other
Transaction Document to which a Securitization Entity is party shall prove to
be incorrect in any material respect as of the date made or deemed to be made
or as of any other date specified herein (in each case, computed without giving
effect to any grace periods contained herein that might otherwise be
applicable), and in the case of any Securitization Entity other than the
Co-Issuer, such failure is reasonably likely to cause a Material Adverse Effect
on the Collateral taken as a whole or the ability of the either of the
Co-Issuers to satisfy its obligations under the Transaction Documents;

(iv)          the
occurrence of a Series Event of Default;

(v)           a
failure by the Back-Up Servicer to perform in accordance with Section 3(a) of
the Back-Up Servicing Agreement within 15 days after receipt of written
notification from the Issuer, Indenture Trustee or any Insurer that a Servicer
Termination Event has occurred, or a failure by the Back-Up Servicer to present
a Back-Up Servicer Proposal (in accordance with the Servicing Agreement) to
each Series Controlling Parties within 90 days from the occurrence of the
relevant Servicer Termination Event unless such failure was the result of delay
caused by the Aggregate Controlling Party;

(vi)          either
the Issuer, the Co-Issuer or any other Securitization Entity fails to perform
or observe any of its obligations under this Indenture not covered in (iii)
above or under any other Transaction Document and such failure continues for a
period ending on the earlier to occur of 30 consecutive days after the Issuer, the
Co-Issuer or any other Securitization Entity (as applicable) shall have become
aware of such failure or after the Issuer, the Co-Issuer or any other
Securitization Entity (as applicable) shall have received notice of such
failure, and in the case of any Securitization Entity other than the
Co-Issuers, such failure is reasonably likely to cause a Material Adverse
Effect on the Collateral, taken as a whole, or the ability of either of the
Co-Issuers to satisfy its obligations under the Transaction Documents; provided, however, that to the extent it is curable  and as long as the Issuer, the Co-Issuer or
any other Securitization Entity (as applicable) is diligently attempting to
cure such failure, such cure period shall be extended by an additional period
as may be required to cure such default but in no event by more than an
additional 30 days;

(vii)         an
effective resolution is passed by any the Issuer, the Co-Issuer or any other
Securitization Entity (excluding IHOP Properties) for the winding up or
liquidation of the Issuer, the Co-Issuer or any other Securitization Entity,
respectively, except a winding up for the purpose of a merger, reconstruction
or amalgamation, in accordance with the terms of the Indenture, the terms of
which have previously been approved in writing by the Series Controlling Party
of each Series of Notes;

(viii)        any petition is filed, or any case or proceeding is
commenced, against the Issuer, the Co-Issuer or any other Securitization Entity
(excluding IHOP Properties) under the Bankruptcy Code, or any other similar
applicable federal or state law relating to insolvency, bankruptcy,
rehabilitation, liquidation or reorganization, and such filing, case or
proceeding has not been dismissed within 60 days after such filing or
commencement;

 42
 

(ix)           the
institution by the Issuer, the Co-Issuer or any other Securitization Entity of
proceedings to be adjudicated as bankrupt or insolvent, or the consent by any
Securitization Entity to the institution of bankruptcy or insolvency
proceedings against it, or the filing by any Securitization Entity of a
petition or answer or consent seeking reorganization relief under the
Bankruptcy Code or any other similar applicable federal or state law, or the
consent by either to the filing of any such petition or to the appointment of a
receiver, liquidator, assignee, trustee or sequestrator (or other similar
official) of either or of any substantial part of its property, or the making
by the Issuer, the Co-Issuer or any other Securitization Entity of an
assignment for the benefit of creditors, or the admission by any Securitization
Entity in writing of its inability to pay its debts generally as they become
due, or the taking of action by any Securitization Entity in furtherance of any
such action;

(x)            either
of the Co-Issuers or any other Securitization Entity registers, or is required
to register, as an “investment company” under the Investment Company Act, or
any body with jurisdiction makes a final determination that either Co-Issuer or
other Securitization Entity is an “investment company” or an “affiliated person”
of, or “promoter” or “principal underwriter” for, an “investment company”, as
such terms are defined in the Investment Company Act;

(xi)           any
of the Issuer, the Co-Issuer, IHOP Holdings or IHOP, Inc. shall fail to perform
or comply with certain of their respective covenants under any of the Asset
Transfer Agreements to which it is a party relating to the corporate
separateness of the Issuer, the Co-Issuer, any other of the Securitization
Entities, IHOP Holdings or IHOP Inc. and such failure or noncompliance shall
have continued for more than 30 days;

(xii)          (A)
any representation or warranty not covered in (iii) above made by the Issuer,
the Co-Issuer or the Servicer in any Transaction Document to which it is a
party shall prove to be false or incorrect in any material respect as of the
date made or deemed to be made or as of any other date specified in the
applicable Transaction Document, or (B) the Issuer, the Co-Issuer, the Servicer
or any other Securitization Entity materially breaches any covenant in any
Transaction Document with respect to the use of the IP Assets in a manner that
constitutes an infringement of such IP Assets (in the case of (A) and/or (B),
(a “Breach”); provided that
if any such Breach is capable of being remedied within 30 days of the Issuer’s,
the Co-Issuer’s, the Servicer’s or any other Securitization Entity’s knowledge
of such Breach or receipt of notice thereof, as applicable, then an Event of
Default shall occur under this clause (xii)
as a result of such Breach if it is not cured in all material respects by the
end of such 30 day period; provided, further,
that, to the extent that it is curable and so long as the Issuer, the Co-Issuer
or the Servicer is diligently attempting to cure such failure, such cure period
shall be extended by an additional period as may be required but in no event by
more than an additional 30 days;

(xiii)         any Insurance Policy relating to a Series of Notes shall
cease to be in full force and effect or any Insurer relating to a Series of
Notes shall assert such in writing with respect to such Series of Notes;

 43
 

(xiv)        any
Securitization Entity, the Servicer, IHOP Holdings or IHOP Inc. shall fail to
comply with or observe any applicable law, rule or regulation if such failure
is reasonably likely to have a Material Adverse Effect;

(xv)         the
Indenture Trustee shall cease to have a valid and perfected security interest
in the Collateral (other than any immaterial Collateral and any Collateral
which has been disposed of, to the extent permitted hereunder) in which
perfection can be achieved under the UCC or other applicable law free and clear
of any Lien except Permitted Liens;

(xvi)        any
Transaction Document shall cease to be in full force and effect or enforceable
in accordance with its terms (other than in accordance with the express
termination provisions thereof), or any of IHOP Inc., IHOP Holdings, the
Servicer or any Securitization Entity asserts as such in writing;

(xvii)       the Servicer (as applicable) shall fail to pay any Defective
Asset Damages Amount Payment as required under the Servicing Agreement or Asset
Transfer Agreements (as applicable) when due;

(xviii)      (A)The Co-Issuers or any Affiliate thereof shall engage in any “prohibited
transaction” (as defined in Section 406 of ERISA or Section 4975 of the Code)
involving any Plan, (B) any “accumulated funding deficiency” (as defined in
Section 302 of ERISA), whether or not waived, shall exist with respect to any
Plan, or any Lien in favor of the PBGC or a Plan shall arise on the assets of
either Co-Issuer or any Affiliate thereof, (C) a Reportable Event shall occur
with respect to, or proceedings shall commence to have a trustee appointed, or
a trustee shall be appointed, to administer or to terminate, any Single Employer
Plan, which Reportable Event or commencement of proceedings or appointment of a
trustee is, in the reasonable opinion of the Aggregate Controlling Party,
likely to result in the termination of such Plan for purposes of Title IV of
ERISA, (D) any Single Employer Plan shall terminate for purposes of Title IV of
ERISA, (E) the Co-Issuers or any Affiliate thereof incur, or in the reasonable
opinion of the Aggregate Controlling Party are likely to incur, any liability
in connection with a complete or partial withdrawal from, or the Insolvency,
Reorganization or termination of, a Multiemployer Plan or (F) any other event
or condition shall occur or exist with respect to a Plan; and in each case in
clauses (A) through (F) above, such event or condition, together with all other
such events or conditions, if any, could reasonably be expected to have a
Material Adverse Effect;

(xix)         any
Securitization Entity other than IHOP Properties shall cease to be a
disregarded entity for purposes of the Code;

(xx)          a
final non appealable judgment, when aggregated with the amount of other final
non appealable judgments, exceeding (a) $5,000,000 shall be rendered against
the Issuer or (b) $1,000,000 shall be rendered against any other Securitization
Entity, and either (i) enforcement proceedings shall have been commenced by any
creditor upon such judgment or order or (ii) there shall be any period of 30
consecutive Business Days 

 44
 

during which a stay of enforcement of such judgment or order,
by reason of a pending appeal or otherwise, shall not be in effect;

(xxi)         the
Cumulative Debt Service Coverage Ratio with respect to any Payment Date is less
than the greatest of the EoD Series DSCR Thresholds applicable to each
respective Outstanding Series of Notes;

(xxii)        any Series of Notes insured by an Insurer is not repaid in
full on or before the date that is twenty-four (24) months prior to the Series
Legal Final Maturity Date with respect to such Series of Notes;

(xxiii)       a valid claim is made under an Insurance Policy;

(xxiv)       the failure to pay any amount due under a Transaction Document
and such failure shall continue for two (2)Business Days; and

(xxv)        the
IP Company fails to have good title to any IP Assets (other than any immaterial
IP Assets and, any IP Assets which have been disposed of, to the extent
permitted under Section 7.8(a)(xvi)).

If either of the Co-Issuers shall obtain knowledge that events that
might reasonably be expected to constitute a Default shall have occurred and be
continuing, the Co-Issuers shall promptly notify the Indenture Trustee, each
Insurer and the Noteholders in writing of such events (but such notice, except
as otherwise stated therein, shall not constitute an admission that such events
constitute a Default).

                                Section
5.2             Acceleration of
Maturity; Rescission and Annulment. 
(a)  At any time after an Event of
Default has occurred and is continuing, other than an Event of Default
specified in Section 5.1(a)(vii), (viii) or (ix), the
Indenture Trustee, if so directed by the Aggregate Controlling Party, shall
declare, on written notice to the Co-Issuers (unless no written notice is
required under the Indenture), the Aggregate Outstanding Principal Amount of
all Outstanding Notes to be immediately due and payable, and upon any such
declaration, such Aggregate Outstanding Principal Amount, together with all
accrued and unpaid interest thereon, and other amounts payable under the
Indenture, shall automatically become immediately due and payable in accordance
with Section 11.1.  If an Event of
Default specified in Section 5.1(a)(vii), (viii) or (ix)
shall have occurred and be continuing, the Aggregate Outstanding Principal
Amount, together with all accrued and unpaid interest thereon, of all of the
Notes, and other amounts payable hereunder, shall automatically become due and
payable.  Notwithstanding the foregoing,
no such acceleration (whether occurring automatically or by the declaration of
the Indenture Trustee) shall result in an acceleration of payments under any Insurance
Policy.

(b)           At any
time after an Event of Default has occurred and is continuing and the Notes
have been accelerated, the Indenture Trustee shall at the direction of the
Aggregate Controlling Party invest or dispose of any or all of the
Collateral.  The Indenture Trustee shall
not be bound to institute any proceedings or take any other action (excluding
the actions expressly set forth herein) unless (i) with respect to an
acceleration of Notes pursuant to the terms of the Indenture, it shall have
been so requested by the Aggregate Controlling Party, and (ii) it shall have
been provided security or indemnity to its reasonable satisfaction.

 45
 

(c)           At any
time after such a declaration of acceleration of maturity has been made
relating to the Notes and before a judgment or decree for payment of the money
due has been obtained by the Indenture Trustee, the Aggregate Controlling Party
(except in respect of an Event of Default specified in Section 5.1(a)(vii),
(viii)or (ix), in which case rescission shall be subject to the
consent of each Series Controlling Party), by written notice to the Co-Issuers
and the Indenture Trustee, may rescind and annul such declaration and its
consequences if:

(i)            the
Co-Issuers have paid or deposited with the Indenture Trustee a sum sufficient
to pay:

(A)          all
overdue installments of interest and principal on the Notes,

(B)           all
unpaid taxes, administrative expenses and other sums paid or advanced by the
Indenture Trustee under the Indenture and the reasonable compensation,
expenses, disbursements and advances of the Indenture Trustee, its agents and
counsel, and any due and unpaid Servicing Fees, and

(C)           all
outstanding Reimbursements, Insurer Expenses and Series Insurance Premium
Payable Amounts owed to each Insurer; and

(ii)           the
Indenture Trustee has determined, after consultation with counsel, that all
Events of Default, other than the non payment of interest on or principal of
the Notes that have become due solely by such acceleration, have been cured
and, if any Event of Default (not including any Event of Default occurring for
a Series solely as a result of cross default to a Series Event of Default for
another Series) was a Series Event of Default only for some but not all of the
Series of Notes, the Series Controlling Party for such Series of Notes, by
written notice to the Indenture Trustee, has agreed with such determination
(which agreement shall not be unreasonably withheld or delayed) or has waived
such Series Event of Default pursuant to the applicable Series Supplement.

No such rescission and annulment shall affect any subsequent Default or
Event of Default or impair any right consequent thereon.

                                Section
5.3             Enforcement.  (a)  At
any time after an Event of Default has occurred and is continuing and the Notes
have been accelerated, the Indenture Trustee shall, pursuant to an Aggregate
Controlling Party Order, exercise in respect of the Collateral, in addition to
other rights and remedies provided for herein or otherwise available to it, the
rights and remedies of a secured party upon default under the UCC (whether or
not the UCC applies to the affected Collateral) and also shall, pursuant to an
Aggregate Controlling Party Order, (i) require the Co-Issuers to, and each of
the Co-Issuers hereby agrees that it will at its expense and upon request of
the Indenture Trustee forthwith, assemble all or part of the Collateral as
directed by the Indenture Trustee and make it available to the Indenture
Trustee at a place and time to be designated by the Indenture Trustee that is
reasonably convenient to both parties; (ii) without notice except as specified
below, sell the Collateral or any part thereof in one or more parcels at public
or private sale, at any of the Indenture Trustee’s offices or elsewhere, for
cash, on credit or for future delivery, and upon such other terms as the
Indenture Trustee may deem commercially reasonable; (iii) occupy any premises
owned or leased by the Issuer and the Co-Issuer where the

 46

Collateral or any part thereof is assembled or located
for a reasonable period in order to effectuate its rights and remedies
hereunder or under law, without obligation to the Issuer and the Co-Issuer in
respect of such occupation; and (iv) exercise any and all rights and remedies
of the Issuer and the Co-Issuer under or in connection with the Collateral, or
otherwise in respect of the Collateral, including, without limitation, (A) any
and all rights of the Issuer and the Co-Issuer to demand or otherwise require
payment of any amount under, or performance of any provision of, the Franchise
Agreements, the Franchise Payments, and the other Franchise Assets included in
the Collateral, (B) withdraw, or cause or direct the withdrawal, of all funds
with respect to the Indenture Trust Accounts, and (C) exercise all other rights
and remedies of the Issuer and Co-Issuer, to the extent transferable to the
Indenture Trustee or exercisable by the Indenture Trustee, as agent on behalf
of the Issuer or Co-Issuer, with respect to the Franchise Agreements, the
Franchise Payments, the IP Assets and the other Franchise Assets included in
the Collateral, including, without limitation, those set forth in Section 9-607
of the UCC.  The Co-Issuers agree that,
to the extent notice of sale shall be required by law, at least ten days’
notice to the Co-Issuers of the time and place of any public sale or the time
after which any private sale is to be made shall constitute reasonable
notification.  The Indenture Trustee
shall not be obligated to make any sale of Collateral regardless of notice of
sale having been given.  The Indenture
Trustee may adjourn any public or private sale from time to time by
announcement at the time and place fixed therefor, and such sale may, without
further notice, be made at the time and place to which it was so adjourned.

(b)           Upon the
acceleration of the Notes under Section 5.2 hereof, the Indenture
Trustee (i) shall (if and as directed pursuant to an Aggregate Controlling
Party Order relating to the Notes), institute Proceedings to enforce the rights
of the Indenture Trustee with respect to the Collateral, including, without
limitation, to foreclose upon the Collateral or sell the Collateral under a
decree of a court or courts of competent jurisdiction, and (ii) may at its
discretion take any other action of a secured party as permitted by the laws of
the State of New York.

(c)           In the
case of an Insurer Event of Default relating to any Series of Notes, the
Indenture Trustee shall institute such Proceedings or take such other action to
enforce the obligations of the Insurer relating to such Series of Notes under
the applicable Insurance Policy as the Holders of a Majority of the Series
Outstanding Principal Amount shall direct in writing.

(d)           No
Noteholder relating to a Series of Notes shall be entitled to institute
Proceedings or take such other action directly against any of the Issuer,
Co-Issuer, any other Securitization Entity, the Servicer, the Insurer relating
to such Series of Notes or the Collateral with respect to any Notes, whether to
enforce the Co-Issuers’ obligations hereunder or under such Notes, or against
any Collateral securing the Notes, unless (i) the Indenture Trustee, having
become bound so to act, fails to institute Proceedings against the Co-Issuers
or with respect to any such Collateral within a reasonable time and such
failure is continuing, (ii) with respect to such Series of Notes, an Insurer
Event of Default has occurred and is continuing and (iii) 25% of the aggregate
Outstanding principal for such Series of Notes agree in writing.

(e)           Upon any
sale of any or all of the Collateral securing the Notes as provided in this
Indenture, the following shall be applicable:

 47
 

(i)            The
Indenture Trustee is hereby irrevocably appointed the true and lawful attorney
of the Issuer and the Co-Issuer to the extent permitted by law, in their name
and stead, to make all necessary deeds, bills of sale and instruments of
assignment, transfer or conveyance of the property thus sold; and for that
purpose may make instruments and instructions and may substitute one or more
Persons with like power; and the Issuer and the Co-Issuer hereby ratify and
confirm all that its said attorney, or such substitute or substitutes, shall
lawfully do by virtue hereof.

(ii)           If
so requested by the Indenture Trustee or by any purchaser, the Issuer and the
Co-Issuer shall ratify and confirm any such sale, or transfer by executing and
delivering to the Indenture Trustee or to such purchaser or purchasers all
proper deeds, bills of sale, instruments of assignment, conveyance or transfer
and releases as may be designated in any such request.

(iii)          To
the extent permitted by applicable law, any Noteholder, the Indenture Trustee
or any Insurer relating to the Notes may bid for and purchase any of the
Collateral, and upon compliance with the terms of sale, may hold, retain,
possess and dispose of such.

(iv)          The
receipt of the purchase price by the Indenture Trustee or of the officer making
such sale under a judicial proceeding shall be sufficient discharge to any
purchaser for his purchase money, and, after paying such purchase money and
receiving such receipt, such purchaser or its personal representatives or
assigns shall not be obligated to see to the application of such purchase
money, or be in any way answerable for any loss, misapplication or
nonapplication thereof.

(v)           Any
such sale, to the maximum extent permitted by law, shall operate to divest the
Issuer or the Co-Issuer, as applicable, of all right, title, interest, claim
and demand whatsoever, either at law or in equity or otherwise, in and to the
Collateral so sold and shall be a perpetual bar both at law and at equity or
otherwise against the Issuer or the Co-Issuer, as applicable, and their
successors and assigns, and any and all Persons claiming or who may claim the
Collateral sold or any part thereof from, through or under the Issuer or the
Co-Issuer, as applicable, or their successors and assigns.

(vi)          Any
moneys collected by the Indenture Trustee upon any sale of, collection from, or
other realization upon all or any of the Collateral or otherwise upon the
enforcement of this Indenture, shall be applied as provided in Section 5.4
hereof.

(f)            In
accordance with the terms of this Indenture, at any time when the Indenture
Trustee institutes with consent of the Aggregate Controlling Party (or is
directed to institute by the Aggregate Controlling Party) Proceedings to
enforce the Notes or this Indenture or any Collateral, the following shall be
applicable:

(i)            The
Indenture Trustee in its own name, or as Indenture Trustee of an express trust,
or as attorney-in-fact for Holders of Notes, any Insurer or any other Secured
Party, as the case may be, or in any one or more of such capacities shall be
entitled and empowered to institute any suits, actions or other Proceedings at
law, in equity or 

 48
 

otherwise, to recover judgment against the Co-Issuers for the
whole amount due and unpaid on the Secured Obligations, and against any Insurer
for any amounts owing under any Insurance Policy and may prosecute any such
claims or Proceedings to judgment or final decree against the Co-Issuers or any
Insurer and collect the monies adjudged or decreed to be payable in any manner
provided by law, whether before or after or during the pendency of any Proceedings
for the enforcement of the Lien of this Indenture, or of any of the Indenture
Trustee’s rights or the rights of any Secured Party under this Indenture or the
Indenture Trustee’s rights under any Insurance Policy, and such power of the
Indenture Trustee shall not be affected by any sale hereunder or by the
exercise of any other right, power or remedy for the enforcement of the
provisions of this Indenture or for the foreclosure of the Lien hereof.

(ii)           In
case of a sale of, collection from, or other realization upon all or any of the
Collateral and of the application of the proceeds of such sale to the payment
of the principal of and interest on the Notes and other amounts owing hereunder
in accordance with Article X and XI (as applicable), the
Indenture Trustee in its own name, and as trustee of an express trust, subject
to Section 2.14(d) and Section 5.3(g), shall be entitled and
empowered, by any appropriate means, legal, equitable or otherwise, to enforce
payment of, and to receive all amounts then remaining due and unpaid to the
Secured Parties, for the benefit of the Secured Parties, with, as applicable,
interest at the rate borne by such Notes or such other rate as applicable
thereto under the Transaction Documents. 
Notwithstanding the foregoing, upon the occurrence of an Event of
Default and the sale of all or any part of the Collateral, amounts on deposit
in the Series Principal Payment Account for each Series of Notes may be applied
to amounts owing hereunder in accordance with Article X and XI (as
applicable), if any, prior to payment of principal in respect of the
immediately succeeding Payment Date.

(iii)          Except
as required by applicable law or the terms of such judgment or final decree, no
recovery of any judgment or final decree by the Indenture Trustee and no levy
of any execution under any such judgment upon any of the Collateral shall in
any manner or to any extent affect the Lien of this Indenture upon any of such
Collateral, or any rights, powers or remedies of the Indenture Trustee, but all
such Liens, rights, powers and remedies shall continue unimpaired as before.

(iv)          The
Indenture Trustee in its own name, or as Indenture Trustee of an express trust,
or as attorney-in-fact for Holders of Notes or any Insurer, as the case may be,
or in any one or more of such capacities (irrespective of whether the principal
of the Notes shall then be due and payable as therein expressed or by
declaration or otherwise and irrespective of whether the Indenture Trustee
shall have made any demand on the Co-Issuers for the payment of overdue
principal or interest), shall be entitled and empowered to file such proofs of
claim and other papers or documents as may be necessary or advisable in order
to have the claims of the Indenture Trustee and of any Insurer and the holders
of Notes and/or any other Secured Obligation, as applicable (whether such
claims be based upon the provisions of such Notes, any Insurance Agreement, any
other Secured Obligation or this Indenture), allowed in any receivership,
insolvency, bankruptcy, moratorium, liquidation, readjustment, reorganization
or any other judicial or other Proceedings relative to the Co-Issuers or any
Insurer, the creditors of either of the Co-

 49
 

Issuers, any Insurer or the Collateral, and any receiver,
assignee, indenture trustee, liquidator, sequestrator (or other similar
official) in any such judicial or other Proceeding is hereby authorized to make
such payments to the Indenture Trustee and, in the event that the Indenture
Trustee shall consent to the making of such payments directly to the
Noteholders, any Insurer or any other Secured Party, to pay to the Indenture
Trustee any amount due to it for the reasonable compensation, expenses,
disbursements and advances of the Indenture Trustee, its agents and counsel.  The Indenture Trustee is hereby irrevocably
appointed (and the successive respective holders of the Secured Obligations by
taking and holding the Secured Obligations, shall be conclusively deemed to
have so appointed the Indenture Trustee) the true and lawful attorney-in-fact
of the respective Secured Parties with authority to (x) make and file in the
respective names of the Secured Parties (subject to deduction from any such
claims of the amounts of any claims filed by any of the Secured Parties themselves
to the extent permitted hereby) any claim, proof of claim or amendment thereof,
debt, proof of debt or amendment thereof, petition or other document in any
such Proceeding and to receive payment of amounts distributable on account
thereof, (y) execute any such other papers and documents and do and perform any
and all such acts and things for and on behalf of such Secured Parties as may
be necessary or advisable in order to have the respective claims of the Secured
Parties against the Co-Issuers or the Collateral reorganized and enforced, and
(z) receive payment of or on account of such claims and debt; provided that nothing contained in this Indenture shall be
deemed to give to the Indenture Trustee any right to accept or consent to any
plan of reorganization or otherwise by action of any character in any such
Proceeding to waive or change in any way any right of any Secured Party.  Any monies collected by the Indenture Trustee
under this subsection (e) shall be applied
as provided in Section 5.4.

(v)           All
rights of action and of asserting claims under this Indenture, any Insurance
Policy, or under any of the Notes enforceable by the Indenture Trustee may be
enforced by the Indenture Trustee to the extent permitted by law without
possession of any of such Notes or the production thereof at the trial or other
Proceedings relative thereto.

(vi)          In
case the Indenture Trustee shall have proceeded to enforce any right under this
Indenture by suit, foreclosure or otherwise and such Proceedings shall have
been discontinued or abandoned for any reason, or shall have been determined
adversely to the Indenture Trustee, then in every such case the Co-Issuers, any
Insurer and the Indenture Trustee shall, to the extent permitted by law, be
restored without further act to their respective former positions and rights
hereunder, and all rights, remedies and powers of the Indenture Trustee shall
continue as though no such Proceedings had been taken, except to the extent
determined in litigation adversely to the Indenture Trustee.

(g)           Notwithstanding
any other provision of this Indenture, the Notes, any Insurance Agreement, the
Servicing Agreement or any other Transaction Document or otherwise (but
subject, for the avoidance of doubt to the provisions of Sections 5.3(a), 5.3(b),
5.3(c), 5.3(d),
5.3(e), 5.6
and 5.7 hereof), the liability of the
Co-Issuers to the Noteholders, any Insurer, the Servicer, the Initial
Purchaser, each Series Hedge Counterparty and the Indenture Trustee under or in
relation to the Notes, this Indenture, any Insurance Agreement, the Servicing
Agreement or 

 50
 

any
other Transaction Document or otherwise, is limited in recourse to the
Collateral.  The Collateral having been
applied in accordance with the terms hereof; none of the Indenture Trustee, the
Noteholders, any Insurer, the Initial Purchaser, the Servicer or any Hedge
Counterparty shall be entitled to take any further steps against either of the
Co-Issuers to recover any sums due but still unpaid hereunder, under the Notes,
any Insurance Agreement or any of the other agreements or documents described
in this paragraph (g), all claims in respect of which shall be
extinguished.  In particular, the
Indenture Trustee agrees, and each Noteholder by its acceptance of a Note and
each other Secured Party and the Servicer by their acceptance of the benefits
of this Indenture and each Insurer by its execution of a Series Supplement will
be deemed to have agreed, not to take any action or institute any proceeding
against either of the Co-Issuers under any Insolvency Law applicable to either
of the Co-Issuers; provided that
each of the Indenture Trustee and the Noteholders, each Insurer, any other
Secured Party and the Servicer may become parties to and participate in any
Proceeding or action under any Insolvency Law applicable to either of the
Co-Issuers that is initiated by any other Person that is not an Affiliate of
it.

                                Section
5.4             Application of Monies
Collected by Indenture Trustee.  Any
monies withdrawn, collected or to be applied by the Indenture Trustee with respect
to any Secured Obligation pursuant to this Article V
shall be deposited in the Collections Account and, together with any other
monies that may then be held by the Indenture Trustee under any of the
provisions of this Indenture as part of the Collateral with respect to the
Notes, shall be applied in accordance with Section 10.9 and Article
XI.

                                Section
5.5             Waiver of Appraisement,
Valuation, Stay and Right to Marshaling. 
To the extent it may lawfully do so, each of the Co-Issuers for itself
and for any Person who may claim through or under it hereby:

(a)           agrees
that neither it nor any such Person will step up, plead, claim or in any manner
whatsoever take advantage of any appraisement, valuation, stay, extension or
redemption laws, now or hereafter in force in any jurisdiction, which may
delay, prevent or otherwise hinder (i) the performance, enforcement or
foreclosure of this Indenture, (ii) the sale of, collection from, or other
realization upon any of the Collateral, or (iii) the putting of the purchaser
or purchasers thereof into possession of such property immediately after the
sale thereof;

(b)           waives all
benefit or advantage of any such laws;

(c)           waives and
releases all rights to have the Collateral marshaled upon any foreclosure, sale
or other enforcement of this Indenture or of any of the Collateral; and

(d)           consents
and agrees that, subject to the terms of this Indenture, all the Collateral may
at any such sale be sold by the Indenture Trustee as an entirety.

                                Section
5.6             Remedies Cumulative;
Delay or Omission Not a Waiver.  To
the extent permitted by law, every remedy given hereunder to the Indenture
Trustee, any Insurer or to any of the Noteholders shall not be exclusive of any
other remedy or remedies, and every such remedy shall be cumulative and in
addition to every statute, law, equity or otherwise.  Subject to 

 51
 

the terms of this Indenture specifically including the
rights of any Insurer as Series Controlling Party or Aggregate Controlling
Party relating to the Notes or a Series of Notes, respectively (as applicable,
so long as such Insurer is the Aggregate Controlling Party relating to the
Notes or the Series Controlling Party relating to a Series of Notes), to direct
actions of the Indenture Trustee in accordance with the terms of this Indenture,
the Indenture Trustee may exercise all or any of the powers, rights or remedies
given to it hereunder or which may be now or hereafter given by statute, law,
equity or otherwise, in its absolute discretion.  No course of dealing between the Co-Issuers,
any Insurer and the Indenture Trustee or the Noteholders or any delay or
omission of the Indenture Trustee, any Insurer or of the Noteholders to
exercise any right, remedy or power accruing upon any Event of Default shall
impair any right, remedy or power or shall be construed to be a waiver of any
such Event of Default or of any right of the Indenture Trustee, any Insurer or
of the Noteholders or acquiescence therein, and every right, remedy and power
given by this Article V to the Indenture
Trustee, any Insurer or to the Noteholders may, to the extent permitted by law,
be exercised from time to time and as often as may be deemed expedient by the
Indenture Trustee, any such Insurer or by the Noteholders.

                                Section
5.7             Control of Notes.  Notwithstanding any other provision of this
Indenture (but subject, for the avoidance of any doubt, to the provisions of Section
5.3(f) hereof), the Aggregate Controlling Party shall have the right to
cause the institution of, and direct the time, method and place of, exercising
any right or remedy in respect of any enforcement of the Collateral or
conducting any Proceeding for any remedy available to the Indenture Trustee and
to direct the exercise of any trust, right, remedy or power conferred on the
Indenture Trustee, in all cases insofar as such trust, right remedy or power is
to be exercised with respect to such Series of Notes provided
that:

(a)           such
direction shall be in writing and shall not conflict with any rule of law or
with this Indenture;

(b)           the
Indenture Trustee may take any other action deemed proper by the Indenture
Trustee that is not inconsistent with such direction or this Indenture; provided, however, that, subject to Section 6.1, the
Indenture Trustee need not take any action that it determines might involve it
in liability (unless the Indenture Trustee has received satisfactory indemnity
against such liability as set forth below); and

(c)           the
Indenture Trustee shall have been provided with indemnity reasonably
satisfactory to it, it being understood and agreed by the Indenture Trustee
that an indemnity by such Insurer (so long as there is no Insurer Event of
Default relating to such Insurer) will be satisfactory to the Indenture Trustee
if the form and substance of such indemnity is reasonably satisfactory to the
Indenture Trustee.

ARTICLE
VI

THE INDENTURE TRUSTEE

                                Section
6.1             Certain Duties and
Responsibilities.  (a)  Except during the continuance of an Event of
Default:

 52
 

(i)            the
Indenture Trustee undertakes to perform such duties and only such duties as are
specifically set forth in this Indenture, and no implied covenants or
obligations shall be read into this Indenture against the Indenture Trustee;
and

(ii)           in
good faith on its part, the Indenture Trustee may conclusively rely, as to the
truth of the statements and the correctness of the opinions expressed therein,
upon certificates or opinions furnished to the Indenture Trustee and conforming
to the requirements of this Indenture; provided that
in the case of any such certificates or opinions which by any provision hereof
are specifically required to be furnished to the Indenture Trustee, the
Indenture Trustee shall be under a duty to examine the same to determine
whether or not they substantially conform to the requirements of this Indenture
and shall promptly, but in any event within one (1) Business Day in the case of
an Officer’s Certificate furnished by the Servicer, notify the party delivering
the same if such certificate or opinion does not conform.  If a corrected form shall not have been
delivered to the Indenture Trustee within two (2) Business Days after such
notice from the Indenture Trustee, the Indenture Trustee shall so notify the
Holders and such Insurer.

(b)           In case an
Event of Default known to a Trust Officer of the Indenture Trustee has occurred
and is continuing, the Indenture Trustee shall, except in the case of the
receipt of directions with respect to such matter from the Aggregate
Controlling Party in accordance with the terms of this Indenture, exercise such
of the rights and powers vested in it by this Indenture, and use the same
degree of care and skill in its exercise as a prudent Person would exercise or
use under the circumstances in the conduct of such Person’s own affairs.

(c)           No
provision of this Indenture shall be construed to relieve the Indenture Trustee
from liability for its own negligent action, its own negligent failure to act,
its own fraud, its own bad faith or its own willful misconduct, except that:

(i)            this
subsection shall not be construed to limit the effect of subsection
(a) of this Section 6.1;

(ii)           the
Indenture Trustee shall not be liable for any error of judgment made in good
faith by a Trust Officer, unless it shall be proven that the Indenture Trustee
was negligent in ascertaining the pertinent facts;

(iii)          the
Indenture Trustee shall not be liable with respect to any action taken or
omitted to be taken by it in good faith in accordance with the direction of the
Series Controlling Party of any Series of Notes or the Aggregate Controlling
Party in accordance with this Indenture relating to the time, method and place
of conducting any Proceeding for any remedy available to the Indenture Trustee
or exercising any trust or power conferred upon the Indenture Trustee, under
this Indenture;

(iv)          no
provision of this Indenture shall require the Indenture Trustee to expend or
risk its own funds or otherwise incur any financial liability in the
performance of any of its duties hereunder, or in the exercise of any of its
rights or powers contemplated hereunder, if it shall have reasonable grounds
for believing that repayment of such funds or adequate security or indemnity
against such risk or liability is not 

 53
 

reasonably assured to it (if the amount of such funds or risk
or liability does not exceed the amount payable to the Indenture Trustee
pursuant to Section 11.1(c)(ii) net of the amounts specified in Section
6.6(a)(i), the Indenture Trustee shall be deemed to be reasonably assured
of such repayment); and

(v)           the
Indenture Trustee shall not be liable to the Holders for any action taken or
omitted by it in good faith at the direction of the Series Controlling Party of
any Series of Notes or the Aggregate Controlling Party and/or a Holder under
circumstances in which such direction is required or permitted by the terms of
this Indenture.

(d)           For all
purposes under this Indenture, the Indenture Trustee shall not be deemed to
have notice or knowledge of any Default (other than any event described in Section
5.1(a)(i) or (ii)) unless a Trust Officer assigned to and working in
the Corporate Trust Office has actual knowledge thereof or unless written
notice of any such event is received by the Indenture Trustee at the Corporate
Trust Office, and such notice references, as applicable, the Notes generally,
the Co-Issuers, the Collateral or this Indenture.

(e)           Whether or
not therein expressly so provided, every provision of this Indenture relating
to the conduct or affecting the liability of or affording protection to the
Indenture Trustee shall be subject to the provisions of this Section 6.1
and Section 6.3.

(f)            The
Indenture Trustee shall, upon receipt of reasonable prior notice to the
Indenture Trustee, permit any Insurer or any representative of a Holder of a
Note, during the Indenture Trustee’s normal business hours, to examine all
books of account, records, reports and other papers of the Indenture Trustee
relating to the Notes, to make copies and extracts therefrom (the reasonable
out-of-pocket expenses incurred in making any such copies or extracts to be
reimbursed to the Indenture Trustee by such Insurer or such Holder).

(g)           The
Indenture Trustee hereby agrees to act as custodian and hold in trust the IHOP
Property Leasing Assignments of Rents, until such time as the Aggregate
Controlling Party shall instruct release thereof to the Back-Up Servicer upon
the occurrence of an Event of Default.

                                Section
6.2             Notice of Default.  Promptly (and in no event later than two (2)
Business Days) after the occurrence of any Default known to a Trust Officer of
the Indenture Trustee or after any declaration of acceleration has been made or
delivered to the Indenture Trustee pursuant to Section 5.2, the
Indenture Trustee shall transmit notice of such Default by mail or facsimile to
the Servicer, each Insurer, each Rating Agency (so long as any of the Notes are
Outstanding and rated by such Rating Agency) and (unless an Insurer is then the
Series Controlling Party relating to a Series of Notes) all Holders of Notes of
such Series as their names and addresses appear on the Note Register, unless,
in any such case, such Default shall have been cured or waived.

                                Section
6.3             Certain Rights of
Indenture Trustee.  Except as
otherwise provided in Section 6.1:

(a)           the
Indenture Trustee may rely and shall be protected in acting or refraining from
acting upon any resolution, certificate, statement, instrument, opinion,
report, 

 54
 

notice,
request, direction, consent, order, note or other paper or document believed in
good faith by it to be genuine and to have been signed or presented by the
proper party or parties;

(b)           any
request or direction of the Co-Issuers mentioned herein shall be sufficiently
evidenced by an Company Request or Company Order, as the case may be;

(c)           whenever
in the administration of this Indenture the Indenture Trustee shall (i) deem it
desirable that a matter be proved or established prior to taking, suffering or
omitting any action hereunder, the Indenture Trustee (unless other evidence be
herein specifically prescribed) may, in the absence of bad faith on its part,
rely upon an Officer’s Certificate or (ii) be required to determine the value
of any Collateral or funds hereunder or the cash flows projected to be received
therefrom, the Indenture Trustee may, in the absence of bad faith on its part,
rely on reports of Independent, nationally recognized accountants, investment
bankers or other Persons qualified to provide the information required to make
such determination, including Independent, nationally recognized dealers in
securities of the type being valued and securities quotation services;

(d)           as a
condition to the taking or omitting of any action by it hereunder, the
Indenture Trustee may consult with external counsel as to matters of law and
the advice of such counsel or any Opinion of Counsel delivered by external
counsel shall be full and complete authorization and protection in respect of
any action taken or omitted by it hereunder in good faith and in reliance
therein;

(e)           the
Indenture Trustee shall be under no obligation to exercise or to honor any of
the rights or powers vested in it by this Indenture at the request or direction
of any Insurer or any of the Holders pursuant to this Indenture, unless such
Insurer or such Holders shall have offered to the Indenture Trustee reasonable
security or indemnity against all costs, expenses and liabilities which might
reasonably be incurred by it in compliance with such request or direction, it
being understood and agreed by the Indenture Trustee that an indemnity by such
Insurer (so long as there is no Insurer Event of Default relating to such
Insurer) will be satisfactory to the Indenture Trustee if the form and
substance of such indemnity is reasonably satisfactory to the Indenture
Trustee;

(f)            the
Indenture Trustee shall not be bound to make any investigation into the facts
or matters stated in any resolution, certificate, statement, instrument,
opinion, report, notice, request, direction, consent, order, note or other
paper documents, but the Indenture Trustee, in its discretion, may and, upon
the written direction of the Series Controlling Party of any Series of Notes,
the Aggregate Controlling Party or any Rating Agency shall, make such further
inquiry or investigation into such facts or matters as it may see fit or as it
shall be directed, and, the Indenture Trustee shall be entitled, on reasonable
prior notice to the Co-Issuers, to examine the books and records relating to
the Notes and the Collateral, as applicable, and the premises of either of the
Co-Issuers and the Servicer, personally or by agent or attorney during the
Co-Issuers’ or the Servicer’s normal business hours; provided
that the Indenture Trustee shall, and shall cause its agents to, hold in
confidence all such information, except (i) to the extent disclosure may be
required by law by any regulatory authority and (ii) except to the extent that
the Indenture Trustee, in its sole judgment, may determine that such disclosure
is consistent with its obligations hereunder;

 55
 

(g)           the
Indenture Trustee may execute any of the trusts or powers hereunder or perform
any duties hereunder either directly or by or through agents or attorneys;

(h)           the
Indenture Trustee shall not be liable for any action it takes or omits to take
in good faith that it reasonably and, after the occurrence and during the
continuation of an Event of Default, subject to Section 6.1(b),
prudently believes to be authorized or within its rights or powers hereunder;

(i)            the
Indenture Trustee shall not be responsible for the accuracy of the books or
records of, or for any acts or omissions of, DTC, any Transfer Agent (other
than the Indenture Trustee itself acting in that capacity), Clearstream,
Euroclear, any Calculation Agent (other than the Indenture Trustee itself
acting in that capacity) or any Paying Agent (other than the Indenture Trustee
itself acting in that capacity); and

(j)            the
Indenture Trustee shall not be liable for the actions or omissions of the
Servicer, and, without limiting the foregoing, the Indenture Trustee shall not
(except to the extent, if at all, otherwise expressly stated in this Indenture)
be under any obligation to monitor, evaluate or verify compliance by the
Servicer with the terms hereof or the Servicing Agreement.

                                Section
6.4             May Hold Notes.  The Indenture Trustee, any Paying Agent, Note
Registrar or any other agent of the Co-Issuers, in its individual or any other
capacity, may become the owner or pledgee of Notes and may otherwise deal with
the Co-Issuers or any of its Affiliates with the same rights it would have if
it were not Indenture Trustee, Paying Agent, Note Registrar or such other
agent.

                                Section
6.5             Money Held in Trust.  Money held by the Indenture Trustee hereunder
shall be held in trust to the extent required herein.  The Indenture Trustee shall be under no
liability for interest on any Money received by it hereunder except as
otherwise agreed upon with the Co-Issuers and except to the extent of income or
other gain on investments which are deposits in or certificates of deposit of
the Indenture Trustee in its commercial capacity and income or other gain actually
received by the Indenture Trustee on Eligible Investments.

                                Section
6.6             Compensation and
Reimbursement.  (a)  The Co-Issuers agree, subject to Article X
and Article XI:

(i)            to
pay the fees of the Indenture Trustee on each Payment Date as compensation for
all services rendered by it hereunder as set forth in the separate letter
agreement between the Co-Issuers and the Indenture Trustee (which compensation
shall not be limited by any provision of law in regard to the compensation of a
Indenture Trustee of an express trust);

(ii)           except
as otherwise expressly provided herein, to reimburse the Indenture Trustee
(subject to any written agreement between the Co-Issuers and the Indenture
Trustee) in a timely manner upon its request for all reasonable expenses,
disbursements and advances incurred or made by the Indenture Trustee in
accordance with any provision of this Indenture (including securities
transaction charges to the extent not waived, and the reasonable compensation,
expenses and disbursements of its agents and 

 56
 

legal counsel, except any such expense, disbursement or
advance as may be attributable to its negligence, willful misconduct, fraud or
bad faith);

(iii)          to
indemnify the Indenture Trustee and its officers, directors, employees and
agents for, and to hold them harmless against, any loss, liability or expense
incurred in good faith without negligence, willful misconduct, fraud or bad
faith on their part, arising out of or in connection with the acceptance or
administration of this trust, including the reasonable costs and expenses of
defending themselves against any claim or liability in connection with the
exercise or performance of any of their powers or duties hereunder; and

(iv)          to
pay the Indenture Trustee reasonable additional compensation together with its
expenses (including reasonable counsel fees) for any collection action taken
pursuant to Section 5.3.

(b)           The
Co-Issuers may remit payment for such fees and expenses to the Indenture
Trustee or, in the absence thereof, the Indenture Trustee may from time to time
deduct payment of its fees and expenses hereunder from Monies on deposit in the
Operating Expense Payment Account in accordance with Article XI.

(c)           The
Indenture Trustee hereby agrees not to institute against, or join any other Person
in instituting against, any of the Securitization Entities any bankruptcy,
reorganization, arrangement, insolvency, moratorium or liquidation proceedings,
or other proceedings under the Bankruptcy Code or any other applicable
bankruptcy, insolvency, receivership or other similar law of any jurisdiction
now or hereafter in effect, for the non payment to the Indenture Trustee of any
amounts provided by this Section 6.6 until at least one (1) year and (1)
one day after the payment in full of all Notes issued under this Indenture or,
if longer, the applicable preference period then in effect.

(d)           The
Indenture Trustee agrees that the payment of all amounts to which it is
entitled pursuant to subsections 6.6(a)(i),
(a)(ii) and (a)(iii) shall be
subject to Article XI and shall be payable only to the extent funds are
available therefor in accordance with Article XI.

Fees shall be accrued on the actual number of days in the related
Interest Accrual Period.  The Indenture
Trustee shall receive amounts pursuant to this Section 6.6 and Section
11.1(c)(ii) only to the extent that such payment is made in accordance with
Article XI and the failure to pay such amounts to the Indenture Trustee
shall not, by itself, constitute an Event of Default.  Subject to Section 6.8, the Indenture
Trustee shall continue to serve as Indenture Trustee under this Indenture
notwithstanding the fact that the Indenture Trustee shall not have received
amounts due it hereunder.  No direction
by the Series Controlling Party of any Series of Notes or the Aggregate
Controlling Party shall affect the right of the Indenture Trustee to collect
amounts owed to it under this Indenture.

If on any Payment Date when any amount shall be payable to the
Indenture Trustee pursuant to this Indenture is not paid because there are
insufficient funds available for the payment thereof in accordance with Article
XI, all or any portion of such amount not so paid

 57

shall be deferred and
payable on any later Payment Date on which a fee shall be payable and
sufficient funds are available therefor in accordance with Article XI.

Section 6.7   Corporate
Indenture Trustee Required; Eligibility.   There
shall at all times be a Indenture Trustee hereunder which shall be a bank,
corporation or trust company organized and doing business under the laws of the
United States of America or of any State thereof, authorized under such laws to
exercise corporate trust powers, having a combined capital and surplus of at
least $200,000,000, subject to supervision or examination by federal or State
authority, having a rating of at least “Baa1” by Moody’s and at least “BBB+” by
S&P, and having an office within the United States.  If such bank, corporation or trust company
publishes reports of condition at least annually, pursuant to law or to the
requirements of the aforesaid supervising or examining authority, then for the
purposes of this Section 6.7, the combined capital and surplus of such bank,
corporation or trust company shall be deemed to be its combined capital and
surplus as set forth in its most recent report of condition so published.  If at any time the Indenture Trustee shall
cease to be eligible in accordance with the provisions of this Section 6.7,
it shall resign immediately in the manner and with the effect hereinafter
specified in this Article VI.

Section 6.8   Resignation
and Removal; Appointment of Successor.   (a)   No
resignation or removal of the Indenture Trustee and no appointment of a
successor Indenture Trustee pursuant to this Article
VI shall become effective until the acceptance of appointment by the
successor Indenture Trustee under Section 6.9.  The indemnification in favor of a resigning
or removed Indenture Trustee in Section 6.6 hereof shall survive any
resignation and removal (to the extent of any indemnified liabilities, costs,
expenses and other amounts arising or incurred prior to, or arising out of
actions or omissions occurring prior to, such resignation or removal).

(b)           The Indenture Trustee may resign at
any time by giving not less than thirty (30) days’ prior written notice thereof
to the Co-Issuers, each Insurer, the Holders and the Rating Agencies.  Upon receiving such notice of resignation,
the Co-Issuers, with the consent of the Aggregate Controlling Party, shall
promptly appoint a successor Indenture Trustee or Indenture Trustees by written
instrument, in duplicate, executed by an Authorized Officer of the each of the
Co-Issuers, one copy of which shall be delivered to the Indenture Trustee so
resigning and one copy to the successor Indenture Trustee or Indenture
Trustees, together with a copy to each Holder, each Insurer and the
Servicer.  If no successor Indenture Trustee
shall have been appointed and an instrument of acceptance by a successor
Indenture Trustee shall not have been delivered to the Indenture Trustee within
thirty (30) days after the giving of such notice of resignation, at the
direction of the Aggregate Controlling Party the resigning Indenture Trustee,
or on behalf of itself and all others similarly situated, may petition any
court of competent jurisdiction for the appointment of a successor Indenture
Trustee.

(c)           Subject to Section 6.8(a) and 6.8(e), the Indenture Trustee may be removed at any
time by the Aggregate Controlling Party by an Aggregate Controlling Party Order
to such effect, delivered to the Indenture Trustee and to the Co-Issuers.

(d)           If at any time:

 58
 

(i)            the
Indenture Trustee shall cease to be eligible under Section 6.7 and shall
fail to resign after written request therefor by the Co-Issuers or by the
Aggregate Controlling Party; or

(ii)           the
Indenture Trustee shall become incapable of acting; or

(iii)          a
court having jurisdiction in the premises in respect of the Indenture Trustee
in an involuntary Proceeding under federal or state banking or bankruptcy laws,
as now or hereafter constituted, or any other applicable federal or state
bankruptcy, insolvency or other similar law shall have entered a decree or
order granting relief or appointing a receiver, liquidator, assignee,
custodian, trustee, conservator or sequestrator (or similar official) for the
Indenture Trustee or for any substantial part of the Indenture Trustee’s
property or ordering the winding up or liquidation of the Indenture Trustee’s
affairs; provided that any such decree or order
shall have continued unstayed and in effect for a period of sixty (60)
consecutive days; or

(iv)          the
Indenture Trustee commences a voluntary Proceeding under any federal or state
banking or bankruptcy laws, as now or hereafter constituted, or any other
applicable federal or state bankruptcy, insolvency or other similar law or
consents to the appointment of or taking possession by a receiver, liquidator,
assignee, custodian, trustee, conservator or sequestrator (or other similar
official) for the Indenture Trustee or for any substantial part of the
Indenture Trustee’s property or makes any assignment for the benefit of its
creditors or fails generally to pay its debts as such debts become due or takes
any corporate action in furtherance of any of the foregoing;

then, in any such
case (subject to Sections 6.8(a) and 6.8(e)), (A) the Aggregate Controlling Party or
the Co-Issuers (with the consent of the Series Controlling Party relating to
each Series of Notes for as long as the Series Controlling Party for such
Series of Notes is an Insurer) may by the Aggregate Controlling Party Order or
Company Order (as applicable) remove the Indenture Trustee, and the Indenture
Trustee hereby agrees to resign immediately in the manner and with the effect
provided in this Section 6.8, or (B) any Holder may, on behalf of itself
and all others similarly situated, petition any court of competent jurisdiction
for the removal of the Indenture Trustee and the appointment of a successor
Indenture Trustee.

(e)           If the Indenture Trustee shall
resign, be removed or become incapable of acting, or if a vacancy shall occur
in the office of the Indenture Trustee for any reason, the Co-Issuers with the
consent of the Aggregate Controlling Party, by Company Order, shall promptly
appoint a successor Indenture Trustee as provided herein.  If the Co-Issuers shall fail to appoint a
successor Indenture Trustee within thirty (30) days after such resignation,
removal or incapability or the occurrence of such vacancy, a successor
Indenture Trustee may be appointed by Act of the Aggregate Controlling Party
delivered to the Co-Issuers and the retiring Indenture Trustee.  The successor Indenture Trustee so appointed
shall, forthwith upon its acceptance of such appointment, become the successor
Indenture Trustee and supersede any successor Indenture Trustee proposed by the
Co-Issuers.  If no successor Indenture
Trustee shall have been so appointed by the Co-Issuers or the Aggregate
Controlling Party and shall have accepted appointment in the manner hereinafter
provided, except as otherwise provided in this Indenture, 

 59
 

any Holder may, on behalf of itself and all others
similarly situated, petition any court of competent jurisdiction for the appointment
of a successor Indenture Trustee.

(f)            The Co-Issuers shall give prompt
notice of each resignation and each removal of the Indenture Trustee and each
appointment of a successor Indenture Trustee by mailing written notice of such
event by first-class mail, postage prepaid, to the Rating Agencies, each
Insurer and the Holders of the Notes as their names and addresses appear in the
Note Register.  Each notice shall include
the name of the successor Indenture Trustee and the address of its Corporate Trust
Office.  If the Co-Issuers fail to mail
such notice within ten (10) days after acceptance of appointment by the
successor Indenture Trustee, the successor Indenture Trustee shall cause such
notice to be given at the expense of the Co-Issuers.

Section 6.9   Acceptance
of Appointment by Successor.   Every successor Indenture Trustee
appointed hereunder shall execute, acknowledge and deliver to the Co-Issuers,
each Insurer (so long as such Insurer is a Series Controlling Party) and the
retiring Indenture Trustee an instrument (in form and substance reasonably
satisfactory to each Insurer for so long as such Insurer is a Series
Controlling Party) accepting such appointment. 
Upon delivery of the required instruments, the resignation or removal of
the retiring Indenture Trustee shall become effective and such successor
Indenture Trustee, without any further act, deed or conveyance, shall become
vested with all the rights, powers, trusts, duties and obligations of the
retiring Indenture Trustee; but, on request of the Co-Issuers or the Series
Controlling Party of any Series of Notes or the successor Indenture Trustee,
such retiring Indenture Trustee shall, upon payment of its charges then unpaid,
execute and deliver an instrument (in form and substance satisfactory to each
Insurer for so long as such Insurer is a Series Controlling Party) transferring
to such successor Indenture Trustee all the rights, powers and trusts of the
retiring Indenture Trustee, and shall duly assign, transfer and deliver to such
successor Indenture Trustee all property and Money held by such retiring
Indenture Trustee hereunder, subject nevertheless to its Lien, if any, provided
for in Section 6.6(b).  Upon
request of each Insurer (for so long as such Insurer is a Series Controlling
Party) or any such successor Indenture Trustee, the Co-Issuers shall execute
any and all instruments (in form and substance satisfactory to such Insurer or
successor Indenture Trustee) for more fully and certainly vesting in and
confirming to such successor Indenture Trustee all such rights, powers and
trusts.

For the avoidance of
doubt and notwithstanding anything to the contrary herein, no successor
Indenture Trustee shall accept its appointment unless at the time of such
acceptance such successor shall be qualified and eligible under this Article VI and a Rating Agency Notification has
been provided and the Aggregate Controlling Party has consented with respect to
such appointment.

Section 6.10   Merger,
Conversion, Consolidation or Succession to Business of Indenture Trustee.   Any
corporation or entity into which the Indenture Trustee may be merged or
converted or with which it may be consolidated, or any corporation or entity
resulting from any merger, conversion or consolidation to which the Indenture
Trustee shall be a party, or any corporation or entity succeeding to all or
substantially all of the corporate trust business of the Indenture Trustee
shall be the successor of the Indenture Trustee hereunder, provided
such corporation or entity shall be otherwise qualified and eligible under this
Article VI, without the execution or filing
of any paper or any further act on the part of any of the parties hereto.  In case 

 60
 

any of the Notes has been authenticated, but not
delivered, by the Indenture Trustee then in office, any successor by merger,
conversion or consolidation to such authenticating Indenture Trustee may adopt
such authentication and deliver the Notes so authenticated with the same effect
as if such successor Indenture Trustee had itself authenticated such
Notes.  The Indenture Trustee shall
provide written notice to each Insurer that is the Series Controlling Party
relating to a Series of Notes and the Co-Issuers of any such merger, conversion
or consolidation.

Section 6.11   Co-Indenture
Trustees and Separate Indenture Trustee.   At any time or times, for
the purpose of meeting the legal requirements of any jurisdiction in which any
part of the Collateral may at the time be located, the Co-Issuers and the
Indenture Trustee with the consent of each Insurer that is a Series Controlling
Party (such consent not to be unreasonably withheld, conditioned or delayed)
shall have power to appoint a Co-Indenture Trustee (a “Co-Indenture Trustee”), jointly with the Indenture Trustee of all or any
part of the Collateral, with the power to file such proofs of claim and take
such other actions pursuant to Section 5.6 herein and to make such
claims and enforce such rights of action on behalf of the Holders of the Notes,
as such Holders themselves may have the right to do, subject to the other
provisions of this Section 6.11.

The Co-Issuers shall join with the Indenture Trustee in the execution,
delivery and performance of all instruments and agreements necessary or proper
to appoint a Co-Indenture Trustee.  If
the Co-Issuers do not join in such appointment within fifteen (15) days after
the receipt by them of a request to do so, the Indenture Trustee shall have
power to make such appointment.

Should any written instrument from the Co-Issuers be required by any
Co-Indenture Trustee so appointed, more fully confirming to such Co-Indenture
Trustee such property, title, right or power, any and all such instruments
shall, on request, be executed, acknowledged and delivered by the
Co-Issuers.  The Co-Issuers agree to pay
in the case of a Co-Indenture Trustee to the extent that funds are available
therefor under Section 11.1(c)(ii), for any reasonable fees and expenses
in connection with such appointment.

Every Co-Indenture Trustee shall, to the extent permitted by law, but
to such extent only, be appointed subject to the following terms:

(a)           the Notes
shall be authenticated and delivered solely by the Indenture Trustee and all
rights, powers, duties and obligations hereunder in respect of the custody of
securities and any Cash or other personal property held by, or required to be
deposited or pledged with, the Indenture Trustee hereunder, shall be exercised
solely by the Indenture Trustee;

(b)           the
rights, powers, duties and obligations hereby conferred or imposed upon the
Indenture Trustee in respect of any property covered by the appointment of a
Co-Indenture Trustee shall be conferred or imposed upon and exercised or
performed by the Indenture Trustee or by the Indenture Trustee and such
Co-Indenture Trustee jointly in the case of the appointment of a Co-Indenture
Trustee, as shall be provided in the instrument appointing such Co-Indenture
Trustee;

 61
 

(c)           no
Co-Indenture Trustee hereunder shall be personally liable by reason of any act
or omission of the Indenture Trustee hereunder;

(d)           the
Indenture Trustee shall not be liable by reason of any act or omission of a
Co-Indenture Trustee; and

(e)           any Act of
Holders delivered to the Indenture Trustee shall be deemed to have been
delivered to each Co-Indenture Trustee, and the Indenture Trustee shall mail a
copy thereof to each Co-Indenture Trustee.

Section 6.12   Fiduciary
for Holders Only; Agent for Other Secured Parties.   With respect to
the security interests created hereunder, the pledge of any item of Collateral
to the Indenture Trustee is to the Indenture Trustee for its own benefit, as
representative of the Holders of the Notes and as agent for the other Secured
Parties.  In furtherance of the
foregoing, the possession by the Indenture Trustee of any item of Collateral
are all undertaken by the Indenture Trustee in its capacity as representative
of the Holders of the Notes and agent for the other Secured Parties.

Section 6.13   Withholding.   If
any amount is required to be deducted or withheld from any payment to any
Holder of Notes, such tax shall reduce the amount otherwise distributable to
such Holder of Notes and such reduction will not be covered by any Insurer in
connection with any withholding.  The
Indenture Trustee is hereby authorized to withhold or deduct from amounts
otherwise distributable to any Holder of Notes sufficient funds for the payment
of any tax that is legally required to be withheld or deducted (but such authorization
shall not prevent the Indenture Trustee from contesting any such tax in
appropriate Proceedings and legally withholding payment of such tax, pending
the outcome of such Proceedings).  The
amount of any withholding tax imposed with respect to any Holder of Notes shall
be treated as Cash distributed to such Holder of Notes, as applicable, at the
time it is deducted or withheld by the Co-Issuers or the Indenture Trustee and
remitted to the appropriate taxing authority. 
If there is a possibility that withholding tax is payable with respect
to a distribution, the Indenture Trustee may in its sole discretion withhold
such amounts in accordance with this Section 6.13.  If any Holder of Notes wishes to apply for a
refund of any such withholding tax, the Indenture Trustee shall reasonably
cooperate with such Holder of Notes in making such claim so long as such Holder
of Notes agrees to reimburse the Indenture Trustee for any reasonable
out-of-pocket expenses incurred.  Nothing
herein shall impose an obligation on the part of the Indenture Trustee to
determine the amount of any tax or withholding obligation on the part of the
Co-Issuers or in respect of the Notes.

Section 6.14   Authenticating
Agents.   Upon the request of the Co-Issuers, the Indenture Trustee
shall, and if the Indenture Trustee so chooses the Indenture Trustee may,
appoint one or more Authenticating Agents with power to act on its behalf and
subject to its direction in the authentication of Notes in connection with
issuance, transfers and exchanges under Article II,
as fully to all intents and purposes as though each such Authenticating Agent
had been expressly authorized by such Sections to authenticate such Notes.  For all purposes of this Indenture, the
authentication of Notes by an Authenticating Agent pursuant to this Section
6.14 shall be deemed to be the authentication of Notes by the Indenture
Trustee.

 62
 

Any corporation or entity
into which any Authenticating Agent may be merged or converted or with which it
may be consolidated, or any corporation or entity resulting from any merger,
consolidation or conversion to which any Authenticating Agent shall be a party,
or any corporation or entity succeeding to the corporate trust business of any
Authenticating Agent, shall be the successor of such Authenticating Agent
hereunder, without the execution or filing of any documents (except as required
by law) or any further act on the part of the parties hereto or such Authenticating
Agent or such successor corporation or entity. 
Any Authenticating Agent may at any time resign by giving written notice
of resignation to the Indenture Trustee and the Co-Issuers.  The Indenture Trustee may at any time
terminate the agency of any Authenticating Agent by giving written notice of
termination to such Authenticating Agent and the Co-Issuers.  Upon receiving such notice of resignation or
upon such a termination, the Indenture Trustee shall promptly appoint a
successor Authenticating Agent and shall give written notice of such
appointment to the Co-Issuers.

The Indenture Trustee agrees to pay to each Authenticating Agent
appointed by it from time to time reasonable compensation for its services, and
reimbursement for its reasonable expenses relating thereto and the Indenture
Trustee shall be entitled to be reimbursed for such payments, subject to Section
6.6 and Article XI.  The
provisions of Sections 2.9, 6.4 and 6.5
shall be applicable to any Authenticating Agent.

ARTICLE VII

REPRESENTATIONS AND COVENANTS

Section 7.1   Payment
of Principal and Interest.   The Co-Issuers shall duly and punctually
pay the principal of and interest on the Notes in accordance with the terms of
such Notes and this Indenture.  Amounts
properly withheld under the Code or other applicable law by any Person from a
payment to any Holder of interest and/or principal shall be considered as
having been paid by the Co-Issuers to such Holder for all purposes of this
Indenture.

Subject to Section 6.13
hereof, the Indenture Trustee shall, unless prevented from doing so for reasons
beyond its reasonable control, give notice to each Holder of any such
withholding requirement no later than ten (10) days prior to the date of the
payment from which amounts are required to be withheld; provided
that despite the failure of the Indenture Trustee to give such notice, amounts
withheld pursuant to applicable tax laws shall be considered as having been
paid by the Co-Issuers as provided above.

Section 7.2   Maintenance
of Office or Agency.   The Co-Issuers hereby appoint the Indenture
Trustee as a Paying Agent for the payment of principal of and interest on the
Notes, and as the Co-Issuers’ agent where notices and demands to or upon the
Co-Issuers in respect of the Notes or this Indenture may be served and where
Notes may be surrendered for registration of transfer or exchange.

The Co-Issuers may at any time and from time to time vary or terminate
the appointment of any such agent or appoint any additional agents for any or
all of such purposes; provided that
the Co-Issuers shall maintain in the Borough of Manhattan, The City of New
York, an office or agency where notices and demands to or upon the Co-Issuers
in respect of the Notes 

 63
 

and this Indenture may be served and, subject to any
laws or regulations applicable thereto, an office or agency outside of the
United States where Notes may be presented and surrendered for payment; provided, further, that no paying agent shall be appointed
in a jurisdiction outside of the United States which subjects payments on the
Notes to withholding tax.  The Co-Issuers
shall at all times maintain a duplicate copy of the Note Register with respect
to the Notes in the city in which the Corporate Trust Office is located.  The Co-Issuers shall give prompt written
notice to the Indenture Trustee, each Insurer (for so long as such Insurer is a
Series Controlling Party relating to a Series of Notes), the Rating Agencies
and the Holders of the appointment or termination of any such agent and of the
location and any change in the location of any such office or agency.

If at any time the Co-Issuers shall fail to maintain any such required
office or agency in the Borough of Manhattan, The City of New York, or outside
the United States, or shall fail to furnish the Indenture Trustee and each
Insurer (for so long as it is a Series Controlling Party) with the address
thereof, presentations and surrenders may be made (subject to the limitations
described in the preceding paragraph) at and notices and demands may be served on
the Co-Issuers, and Notes may be presented and surrendered for payment to the
appropriate Paying Agent at its main office and the Co-Issuers hereby appoints
the same as its agent to receive such respective presentations, surrenders,
notices and demands.

Section 7.3   Money
for Security Payments to Be Held in Trust.   All payments of amounts
due and payable with respect to any Notes that are to be made from amounts
withdrawn from the Indenture Trust Accounts pursuant to this Indenture shall be
made on behalf of the Co-Issuers by the Indenture Trustee (from and to the
extent of available funds in such accounts as specified in this Indenture and
subject to Article XI).

Section 7.4   Existence
of the Co-Issuers; Independent Managers; Existence of IHOP Inc.

(a)           Each of
the Co-Issuers shall maintain in full force and effect its existence and rights
as a limited liability company organized under the State of Delaware and shall
obtain and preserve its qualification to do business as a foreign limited
liability company in each jurisdiction in which such qualifications are or
shall be necessary to protect the validity and enforceability of this Indenture
or the Notes or to avoid any Material Adverse Effect.  The Issuer shall be owned or controlled,
directly or indirectly, by IHOP Corp. or an entity meeting the requirements of Section
7.4(b) below at all times.

Each of the Co-Issuers shall ensure that all limited liability company
or other formalities regarding its existence (including holding regular board
meetings, or other similar meetings) are followed.  Neither of the Co-Issuers shall take any
action or conduct its affairs nor cause any of the other Securitization
Entities to take any action or conduct its affairs in a manner that is likely
to result in its separate existence being ignored or in its assets and
liabilities being substantively consolidated with any other Person in a
bankruptcy, reorganization or other insolvency proceeding.

At all times the managers of each of the Securitization Entities shall
include at least two (2) Independent managers.

 64
 

(b)           No Person other than
IHOP Corp. shall become the owner of more than fifty percent (50%) of the
voting stock in IHOP Inc. IHOP Corp. shall not merge with another entity
unaffiliated with IHOP Corp. if IHOP Corp. is not the surviving entity unless
(1) such surviving entity has executed an assumption agreement pursuant to
which it agrees to assume all of the obligations of IHOP Corp. under the
Transaction Documents and (2) the Rating Agency Condition is satisfied with respect
to each then Outstanding Series of Notes.

Section 7.5   Protection
of Collateral; Performance of Obligations.   (a)   The Co-Issuers
shall from time to time authorize and deliver all such supplements and
amendments hereto and all such Financing Statements, continuation statements,
instruments of further assurance and other instruments, and shall take such
other reasonable action as may be necessary or advisable or desirable to secure
the rights and remedies of the Secured Parties hereunder and to:

(i)            Grant
more effectively all or any portion of the Collateral;

(ii)           maintain
or preserve the Lien (and the priority thereof) of this Indenture or to carry
out more effectively the purposes hereof and to maintain and preserve the
status of the Collateral as being free of Liens except from the Lien created
hereby and Permitted Liens;

(iii)          perfect,
publish notice of or protect the validity of any Grant made or to be made by
this Indenture (including, without limitation, any and all actions necessary or
desirable as a result of changes in law or regulations);

(iv)          enforce
any of the instruments or property included in the Collateral;

(v)           preserve
and defend title to the Collateral and the rights of the Secured Parties in the
Collateral against the claims of all Persons; and

(vi)          (x)
pay or cause to be paid any and all taxes levied or assessed upon either of the
Co-Issuers or in respect of all or any part of the Collateral and timely file
all tax returns and information statements as required and to provide each
beneficial owner of Notes any information that the beneficial owner reasonably
requests in order for the beneficial owner to comply with its federal, state or
local tax and information returns and reporting obligations and (y) if required
to prevent the withholding or imposition of United States income tax, deliver
or cause to be delivered a United States Internal Revenue Service Form W-9 or
successor applicable form, to each Co-Issuer, counterparty or paying agent with
respect to (as applicable) any item included in the Collateral at the time such
item included in the Collateral is purchased or entered into and thereafter
prior to the expiration or obsolescence of such form.

The Co-Issuers shall file (or cause to be filed) any Financing
Statement, continuation statement or other instrument required pursuant to this
Section 7.5 as are necessary to maintain perfection of the Collateral
perfected by the filing of Financing Statements.  The Indenture Trustee agrees that it shall
from time to time, at the direction of the Aggregate Controlling Party or the
Co-Issuers execute and cause to be filed Financing Statements and continuation
statements.

 65
 

The Co-Issuers hereby agrees to file (or cause to be filed) any
Financing Statements or continuation statements, and amendments to Financing
Statements, in any jurisdictions and with any filing offices as the Indenture
Trustee may determine, in its sole discretion, are necessary or advisable to
perfect the security interest granted to the Indenture Trustee in connection
herewith.  Such Financing Statements may
describe the Collateral in the same manner as described in the Granting Clause
of this Indenture or may contain an indication or description of Collateral
that describes such property in any other manner as the Indenture Trustee may
determine, in its sole discretion, is necessary, advisable or prudent to ensure
the perfection of the security interest in the Collateral granted to the
Indenture Trustee in connection herewith, including, without limitation,
describing such property as “all assets” or “all personal property,” “whether
now owned or existing, or hereafter acquired or arising.”

(b)           The
Indenture Trustee shall not, except for payments, deliveries and distributions
otherwise expressly permitted or required under this Indenture, remove any
portion of the Collateral that consists of Cash or is evidenced by an
instrument, certificate or other writing (A) from the jurisdiction in which it
was held at the date the most recent Opinion of Counsel was delivered pursuant
to Section 7.6 hereof (or from the jurisdiction in which it was held as
described in the Opinion of Counsel delivered at the Closing Date pursuant to Section
3.1(b), if no Opinion of Counsel has yet been delivered pursuant to Section
7.6 hereof) or (B) from the possession of the Person who held it on such
date.

(c)           The
Co-Issuers shall pay or cause to be paid taxes, if any, levied on account of
the beneficial ownership by the Co-Issuers of any of the Collateral.

Section 7.6   Opinions
as to Collateral.   On or before September 30th of each year, and at
such other times, upon request of any Series Controlling Party at such
requesting party’s cost (unless an Event of Default has occurred in which case
the Co-Issuers shall bear the cost), the Co-Issuers shall cause to be furnished
to the Indenture Trustee and each Insurer (for so long as such Insurer is a
Series Controlling Party) an Opinion of Counsel stating that, in the opinion of
such counsel, as of the date of such opinion, the Lien and security interest
created by this Indenture with respect to the Collateral remains in effect,
that no further action (other than any action specified in such Opinion of
Counsel) needs to be taken for the continued effectiveness and perfected status
of such Lien during such calendar year and confirming the matters set forth in
the Opinion of Counsel, furnished pursuant to Section 3.1(b), with
regard to the perfection and priority of such security interest (and such
Opinion of Counsel may likewise be subject to qualifications and assumptions
similar to those set forth in the opinion delivered pursuant to Section
3.1(b)).

Section 7.7   Performance
of Obligations.   (a)   Neither of the Co-Issuers shall take any
action, and each of the Co-Issuers shall use its reasonable efforts not to
permit any action to be taken by others, that would release any Person from any
of such Person’s covenants or obligations under any instrument included in the
Collateral.

(b)           The
Co-Issuers may, with the prior written consent of each Insurer (for so long as
such Insurer is a Series Controlling Party) and, where an Insurer is not the
Series Controlling Party as to a Series of Notes, if a Rating Agency
Notification is provided with respect to such Series (except in the case of the
Servicing Agreement as initially executed for

 66

which
no consent is required), contract with other Persons, including the Servicer,
for the performance of actions and obligations to be performed by either of the
Co-Issuers hereunder by such Persons and the performance of the actions and
other obligations with respect to the Collateral of the nature set forth in the
Servicing Agreement by the Servicer. 
Notwithstanding any such arrangement, the Co-Issuers shall remain
primarily liable with respect thereto. 
In the event of such contract, the performance of such actions and
obligations by such Persons shall be deemed to be performance of such actions
and obligations by the Co-Issuers; and each of the Co-Issuers shall punctually
perform, and use its commercially reasonable efforts to cause the Servicer or such
other Person to perform, all of their obligations and agreements contained in
the Servicing Agreement or such other agreement.

Section 7.8   Negative
Covenants.   (a)   Each of the Co-Issuers shall not nor cause any
Securitization Entity (or permit any Securitization Entity) to (as applicable):

(i)            sell,
transfer, assign, participate, exchange or otherwise dispose of, or pledge,
mortgage, hypothecate or otherwise encumber (by security interest, Lien
(statutory or otherwise), preference, priority or other security agreement or
preferential arrangement of any kind or nature whatsoever or otherwise) (or
permit such to occur or suffer such to exist), any part of the Collateral,
except Permitted Liens or except as expressly permitted by this Indenture and
the Servicing Agreement;

(ii)           claim
any credit on, or make any deduction from, or dispute the enforceability of,
the payment of the principal or interest payable in respect of the Notes (other
than amounts required to be paid, deducted or withheld in accordance with the
Code or any other applicable laws) or assert any claim against any present or
future Holder by reason of the payment of any taxes levied or assessed upon any
part of the Collateral;

(iii)          (A)
incur, assume or guarantee or become directly or indirectly liable with respect
to any indebtedness or any contingent obligations (including swap agreements,
cap agreements, reimbursement obligations, repurchase obligations or the like)
other than pursuant to the Indenture, the Transaction Documents and any other
agreements and transactions expressly permitted by this Indenture or the other
Transaction Documents, (B) issue any Notes other than any pursuant to Section
2.3, or (C) issue any additional limited liability company interests;

(iv)          except
as may be expressly permitted hereby or by the Servicing Agreement, (A) permit
the validity or effectiveness of this Indenture or any Grant hereunder to be impaired,
or permit the Lien of this Indenture to be amended, hypothecated, subordinated,
terminated or discharged, or permit any Person to be released from any
covenants or obligations with respect to this Indenture or the Notes, (B)
except for the Lien of this Indenture, Permitted Liens or as otherwise
permitted under this Indenture, permit any Lien (including, without limitation,
any preference, priority or other security agreement or preferential
arrangement of any kind or nature whatsoever or otherwise (other than the Lien
of this Indenture)) to be created on or extend to or otherwise arise upon or
burden the Collateral or any part thereof, any interest therein or the proceeds
thereof, or (C) take any action that would permit the Lien of this Indenture 

 67
 

not to constitute a valid, first-priority perfected security
interest in the Collateral, subject to Permitted Liens and other than as
permitted hereunder;

(v)           make
or incur any capital expenditures;

(vi)          become
liable in any way, whether directly or by assignment or as a guarantor or other
surety, for the obligations of the lessee under any lease;

(vii)         remove
the legend from any Notes without an Opinion of Counsel that such action will
not result in a violation under either the Securities Act or the Investment
Company Act;

(viii)        enter into any transaction with any Affiliate other than the
transactions contemplated by the Transaction Documents or transactions
contemplated by the Transaction Documents on terms no less favorable than those
obtainable in an arm’s-length transaction with a wholly unaffiliated Person;

(ix)           maintain,
accept transfer of, or otherwise obtain any bank account other than those
pledged pursuant to this Indenture, including the Indenture Trust Accounts;

(x)            conduct
business under any other name or change its name or jurisdiction of
organization without first delivering to the Indenture Trustee, each Insurer
(for so long as it is a Series Controlling Party) and the Rating Agencies
notice thereof and an Opinion of Counsel that such activity or such change in
name or jurisdiction will not adversely affect the Lien or the interest
hereunder of the Secured Parties and, to the extent such name does not
incorporate the IHOP Brand, obtaining the consent of the Aggregate Controlling
Party;

(xi)           make
or declare dividends or distributions, whether in cash, securities, property or
a combination thereof, in excess of the amounts available for distribution by
the Issuer in accordance with Section 10.9;

(xii)          have
any subsidiaries other than the subsidiaries in existence on the Closing Date
except with the consent of the Aggregate Controlling Party;

(xiii)         consolidate or merge with or into any Person, convey or
transfer all or substantially all of its assets to any Person, terminate its
existence, dissolve or liquidate in whole or in part, except as expressly
permitted hereunder;

(xiv)        lend
any of the Collateral to any securities lending counterparty (including,
without limitation, any bank, insurance company, broker-dealer or other
financial institution) pursuant to any securities lending agreement or enter
into any other similar securities lending transaction;

(xv)         hire
or have any employees;

(xvi)        except
for Permitted Liens, sell, transfer, exchange or otherwise grant any rights in
or dispose of its assets other than Excluded Assets or the payment of 

 68
 

distributions to its member to the extent permitted under
this Indenture, provided that Co-Issuers may
dispose of obsolete property and IP Assets that are no longer in use or, in the
reasonable business judgment of Co-Issuers, not otherwise commercially
reasonable to maintain, and may Grant licenses and sublicenses of IP Assets in
accordance with the Transaction Documents;

(xvii)       without the consent of each Series Controlling Party that is
an Insurer (or each Insurer, if applicable to the provision in question) (such
consent not to be unreasonably withheld), or where any Series Controlling Party
is not an Insurer, without satisfaction of the Rating Agency Condition, amend,
supplement or otherwise modify any of the Transaction Documents or waive any
breach or proposed breach of any provision of the Transaction Documents or give
any consent thereunder;

(xviii)      terminate the appointment of the Servicer other than in
accordance with the Servicing Agreement;

(xix)         take
any action or fail to take any action, if such action or failure to take action
could reasonably be expected to interfere in any material respect with the
enforcement of any rights of any Insurer or the Indenture Trustee under the
agreements or instruments relating to any of the Collateral;

(xx)          (A)
fail to pay any assessment, including any tax assessment, charge or fee with
respect to the Trust Estate in excess of $100,000 in the aggregate at any one
time outstanding and the Co-Issuers shall not have remedied such failure to pay
within 30 days of the knowledge of an Authorized Officer of either of the
Co-Issuers of such failure, or (B) fail to defend any action known to a
Authorized Officer of either of the Co-Issuers, if, in any such case, such failure
to pay or defend may adversely affect the priority or enforceability of the
Lien over the Collateral created by this Indenture or materially reduce the
amount of the Collateral or otherwise would be reasonably likely to have a
Material Adverse Effect, provided that
the Co-Issuers shall not be required to (1) pay any assessment, including any
tax assessment, charge or fee with respect to the Collateral if the same is
being contested in good faith, by appropriate proceedings diligently pursued,
so long as appropriate reserves are maintained and so long as such nonpayment
will not, under applicable law, entitle any Person to place a Lien on or result
in the forfeiture of the Collateral or any material portion thereof or (2)
defend an action or actions known to an Authorized Officer of either of the
Co-Issuers solely for civil damages not in excess of an aggregate amount of
$100,000, as confirmed in writing by external counsel;

(xxi)         amend
or agree to amend the Servicing Agreement to increase the fees payable to the
Servicer thereunder unless (i) the Rating Agency Condition is satisfied and
(ii) each Insurer (if such Insurer is then a Series Controlling Party), if
applicable, consents thereto;

(xxii)        none of the Issuer, Co-Issuer nor any Securitization Entity
shall establish or maintain or contribute to any Plan that is covered by Title
IV of ERISA;

 69
 

(xxiii)       without the consent of the Aggregate Controlling Party, issue
any Series of Notes that would cause the Aggregate Outstanding Principal Amount
of all Series of Notes (including the undrawn amount of any variable funding
Series of Notes) with floating interest rates to be greater than the least of
the Unhedged Floating Rate Note Principal Limits applicable with respect to any
Outstanding Notes;

(xxiv)       take any action in furtherance of, or indicating its consent
to, approval of, or acquiescence in, any of the acts set forth above in this Section
7.8.

(b)           Neither
the Co-Issuers nor the Indenture Trustee shall sell, transfer, exchange or
otherwise dispose of Collateral, or enter into or engage in any business with
respect to any part of the Collateral, except as expressly permitted by this
Indenture and the Servicing Agreement.

Section 7.9   No
Other Business.   The Co-Issuers shall not engage in any business or
activity other than issuing and selling the Notes pursuant to this Indenture
and any supplements thereto, entering into any Series Hedge Agreements, acting
as franchisor of the Restaurants and sub-licensor of the Licensed IP (with
respect to the Issuer) or acting as licensor of the IP Assets (with respect to
the Co-Issuer), entering into the Transaction Documents and acquiring, owning,
holding, enforcing, pledging and disposing of, solely for their own respective
accounts, the Collateral in connection with the Notes in accordance with the
Transaction Documents, and such other activities which are contemplated under
the Transaction Documents or otherwise necessary, suitable or convenient to
accomplish the foregoing or are incidental thereto or connected therewith; provided that such business or activity shall relate to the
food service industry and, provided, further,
that the Issuer shall not engage in any business not conducted under the IHOP
Brand or as otherwise identified in Section 7.9.  To the extent not precluded by Delaware law,
neither of the Co-Issuers shall amend its certificate of formation or limited
liability company agreement, in either case, without providing a Rating Agency
Notification and obtaining consent of the Aggregate Controlling Party.

Section 7.10   Calculation
Agent.  (a)  The Co-Issuers hereby agree that for so long
as any of the Notes remain Outstanding there will at all times be an agent
appointed to calculate LIBOR or any other specified interest rate in respect of
each Interest Accrual Period in accordance with the terms of each Supplemental
Indenture relating to any Notes that remain Outstanding (the “Calculation Agent”).  The
Co-Issuers hereby appoint the Indenture Trustee as Calculation Agent for
purposes of determining LIBOR or any other specified interest rate for each
Interest Accrual Period and the Indenture Trustee hereby accepts such
appointment.

(b)           The
Calculation Agent may be removed by the Co-Issuers at any time.  If the Calculation Agent is unable or
unwilling to act as such or is removed by the Co-Issuers, the Co-Issuers shall
promptly appoint as a replacement Calculation Agent a leading bank which is
engaged in transactions in Dollar deposits in the international Dollar market
and which is not an Affiliate of either of the Co-Issuers.  The Calculation Agent shall not resign its
duties without a successor having been duly appointed.

(c)           The
Calculation Agent shall be required to agree (and the Indenture Trustee, in its
capacity as Calculation Agent, does hereby agree) that, as soon as practicable
after 

 70
 

11:00 a.m. (London time) on each Rate Determination
Date, but in no event later than 11:00 a.m. (New York time) on the Business Day
immediately following each Rate Determination Date, the Calculation Agent shall
calculate the Series Interest Rate relating to each Series of Notes for the
next Interest Accrual Period and the Series Interest Payment Amount relating to
each Series of Notes, each as applicable (in each case rounded to the nearest
cent, with half a cent being rounded upward) on the related Payment Date, and
shall communicate such rates and amounts to the Co-Issuers, the Indenture
Trustee, the Insurer, each Paying Agent and, if any Series of Notes is in the
form of a Regulation S Global Note, DTC, Euroclear and Clearstream.  The Calculation Agent shall also specify to
the Co-Issuers and to each Insurer (for so long as it is a Series Controlling
Party) the quotations upon which each Series Interest Rate, and in any event
the Calculation Agent shall notify the Co-Issuers before 5:00 p.m. (New York
time) on each Rate Determination Date if it has not determined the Series
Interest Rate, the Series Interest Payment Amount, together with its reasons
therefor.  The determination of the
Series Interest Rate and the Series Interest Payment Amount, as applicable, by
the Calculation Agent shall, absent manifest error, be final and binding on all
parties.

Section 7.11   Indebtedness.   Neither
of the Co-Issuers shall incur, nor cause nor permit any of the Securitization
Entities to incur or have outstanding any Debt, or assume or guarantee any Debt
(excluding incurring or having outstanding any indebtedness arising from any
tax liabilities) of any Person other than pursuant to this Indenture, the Notes
or the other Transaction Documents.

Section 7.12   Representations
and Warranties.   Each of the Co-Issuers hereby represents, warrants
and agrees as of the date hereof and each date of issuance of any Additional
Notes as follows:

(a)           each of
the Securitization Entities is a limited liability company duly formed and
validly existing under the laws of the State of Delaware and has all requisite
power and authority to own its properties and conduct its business as such
properties are presently owned and such business is presently conducted, and to
execute, deliver and perform its obligations under this Indenture and any other
document or instrument (including the Notes) delivered by the issuer pursuant
hereto or in connection herewith;

(b)           the
execution and delivery of, and the performance of its obligations under, this
Indenture and each Transaction Document to which any of the Securitization
Entities is a party and the consummation of the transactions provided for in
this Indenture and each Transaction Document to which any of the Securitization
Entities is a party have been duly authorized by all necessary action;

(c)           the
execution and delivery of, and the performance of its obligations under, this
Indenture and each Transaction Document to which any of the Securitization
Entities is a party, the consummation of the transactions contemplated by this
Indenture and each Transaction Document to which any of the Securitization
Entities is a party, and the fulfillment of the terms hereof and thereof
applicable to any of the Securitization Entities, will (A) not conflict with,
result in any breach of any of the terms and provisions of, or constitute (with
or without notice or lapse of time or both) a default under, (x) the
organizational documents of any of the Securitization Entities or (y) any
indenture, contract, agreement, mortgage, deed of trust or other 

 71
 

instrument to which any of the Securitization Entities
is a party or by which either it or its assets is bound and (B) not result in
or require the creation of any Lien on any of the properties of any of the
Securitization Entities, except for Liens permitted under this Indenture (or
the Lien of this Indenture);

(d)           there are
no Proceedings or investigations pending or, to the knowledge of the
Co-Issuers, threatened against any of the Securitization Entities, before any
court, regulatory body, administrative agency or other tribunal or governmental
instrumentality, (A) questioning the validity of this Indenture or any
Transaction Documents to which any of the Securitization Entities is a party
to, (B) seeking to prevent the consummation of any of the transactions
contemplated by this Indenture or any Transaction Documents to which any of the
Securitization Entities is a party, (C) seeking any determination or ruling
that would, individually or in the aggregate, materially and adversely affect
the performance by any of the Securitization Entities of its obligations under
this Indenture or any Transaction Documents to which any of the Securitization
Entities is a party, (D) seeking any determination or ruling that would,
individually or in the aggregate, materially and adversely affect the validity
or enforcement of this Indenture or any Transaction Documents to which any of
the Securitization Entities is a party or (E) that is reasonably likely to
result in a Material Adverse Effect;

(e)           except for
(i) filings of Financing Statements and (ii) recordation of intellectual
property lien filings, all authorizations, consents, orders and approvals of,
notices to filings and recordings and registrations, by any of the
Securitization Entities with any court or other governmental authority and all
other governmental actions necessary to be taken by any of the Securitization
Entities in connection with the execution and delivery of, and the performance
of its obligations under, this Indenture and any Transaction Documents to which
any of the Securitization Entities is a party and the consummation of the
transactions contemplated by this Indenture and any Transaction Documents to
which any of the Securitization Entities is a party have been obtained, made or
taken, as the case may be, and are in full force and effect;

(f)            each of
this Indenture and each Transaction Document to which any of the Securitization
Entities is a party constitutes a legal, valid and binding obligation of each
of the Securitization Entities (as applicable) enforceable against each of the
Securitization Entities (as applicable) in accordance with its terms, except as
may be limited by bankruptcy, insolvency, reorganization, moratorium or similar
laws relating to or affecting creditors’ rights generally (including, without
limitation, fraudulent conveyance laws) and by general principles of equity
including, without limitation, concepts of materiality, reasonableness, good
faith and fair dealing and the possible unavailability of specific performance
or injunctive relief, regardless of whether considered in a proceeding in
equity or at law;

(g)           the Issuer
and the Co-Issuer (considered collectively) own all of the Collateral, and
there are no Liens with respect to, no Liens upon, or any restrictions on the
transferability of (other than those restrictions included in the terms of such
instruments and set forth on Schedule 7.12(g)),
the Collateral other than Permitted Liens and as otherwise as provided in this
Indenture;

(h)           the Issuer
has no subsidiaries other than those listed on Schedule 1;

 72
 

(i)            the
Co-Issuer has no subsidiaries;

(j)            the
Co-Issuers are not required in connection with the sale of the Notes to
register or qualify the Notes under the Securities Act or, any applicable
United States state securities law;

(k)           none of
the Securitization Entities has registered, or is required to register, as an “investment
company” under the Investment Company Act or is an “investment company” or an “affiliated
person” of, or “promoter” or “principal underwriter” for, an “investment
company”, as such terms are defined in the Investment Company Act;

(l)            the
Co-Issuers are not required in connection with the sale of the Notes to qualify
this Indenture under the United States Trust Indenture Act of 1939, as amended;

(m)          the Notes
satisfy the requirements set forth in Rule 144A(d)(3) under the Securities Act;

(n)           the Notes
shall be “debt securities” within the meaning of Rule 902 of the Securities
Act;

(o)           no Default
has occurred and is continuing;

(p)           none of
the Securitization Entities is (i) in violation of its organizational
documents; (ii) in default in the performance or observance of any obligation,
agreement, covenant or condition contained in any agreement to which it is a
party or by which it may be bound, except where such default is not reasonably
likely to have a Material Adverse Effect; or (iii) in violation of any law,
order, rule, regulation, writ, injunction, judgment or decree of any
Governmental Authority having jurisdiction over it or over its properties,
except where such violation is not reasonably likely to have a Material Adverse
Effect;

(q)           none of
the Securitization Entities has (i) employees, (ii) outstanding indebtedness
for borrowed money other than with respect to the Credit Agreements, as
applicable, such other indebtedness as is described in the Offering Circular
and (to the extent that this representation is deemed made after the Closing
Date) the Notes, and (iii) material liabilities of any kind other than as
described in or contemplated by the Offering Circular;

(r)            both
before and immediately after giving effect to the transactions contemplated by
this Indenture and the other Transaction Documents, each Securitization Entity
is solvent within the meaning of the Bankruptcy Code and any applicable state
law and no such entity is the subject of any voluntary or involuntary case or
proceeding seeking liquidation, reorganization or other relief with respect to
itself or its debts under any bankruptcy or insolvency law, and no Event of
Bankruptcy has occurred with respect to any such entity;

(s)           no
payments to be made to the Co-Issuers under any of the Franchise Assets will be
subject to any value-added tax or other similar tax;

(t)            after
giving effect to the Restructuring, as of the Closing Date, neither of the
Co-Issuers will have any (i) employees, (ii) outstanding indebtedness for
borrowed money 

 73
 

other than the Notes or (iii) material liabilities
except where such liabilities are expressly permitted by the Transaction
Documents;

(u)           other than
as set forth in Schedule 7.12(u), there are
no legal or governmental proceedings pending to which any of the Securitization
Entities or any of its respective properties is the subject which, if
determined adversely, would individually or in the aggregate be reasonably
likely to have a Material Adverse Effect; and, to the best of the knowledge of
each of the Co-Issuers, no such proceedings are threatened or contemplated by
governmental authorities or threatened by others.

(v)           after
giving effect to the Restructuring, the Co-Issuer and the Issuer, through
ownership of the IP Assets or license to use the Licensed IP, respectively,
will own and/or have the right to use all Intellectual Property necessary to
operate the Restaurant franchise system substantially in the manner as
currently conducted.

(w)          no events
have occurred, and no actions have been taken, at any time prior to the Closing
Date that could give rise to any claim or liability of any kind against any of
the Securitization Entities or its assets which, if determined adversely, would
individually or in the aggregate be reasonably likely to have a Material
Adverse Effect.

(x)            since the
formation of the predecessor to any of the Securitization Entities, such
predecessor or Securitization Entity (as applicable) has not engaged in any
activities that would have rendered untrue any representation or warranty, or
would have violated any covenant or agreement, relating to the separate
existence of such predecessor or Securitization Entity (as applicable), set
forth in this Indenture, including without limitation Section 7.13(p),
had this Indenture been in full force and effect since the formation of the
predecessor to any of the Securitization Entities;

(y)           true,
accurate and complete copies of all documents and information that are material
with respect to the business, financial condition or any existing or potential
liabilities of any of the Securitization Entities, any predecessor to any of
the Securitization Entities or any of their respective Affiliates have been
provided to each Insurer;

(z)            the
Co-Issuers are not aware of any facts pertaining to any of the Securitization
Entities, any predecessor to any of the Securitization Entities or any of their
respective Affiliates which would be reasonably likely to have a Material
Adverse Effect on any of the Securitization Entities, the Notes or the
Collateral and which have not been disclosed in the Offering Circular, the
Transaction Documents or otherwise disclosed in writing to each Insurer;

(aa)         each
Insurer has received all information reasonably requested;

(bb)         neither a
Reportable Event nor an “accumulated funding deficiency” (within the meaning of
Section 412 of the Code or Section 302 of ERISA) has occurred during the six
year period prior to the date on which this representation is made or deemed
made or is reasonably expected to occur with respect to any Single Employer
Plan, and each Plan (including, to the actual knowledge of the Co-Issuers, a
Multiemployer Plan or a multiemployer welfare plan maintained pursuant to a
collective bargaining agreement) has complied in all respects with the 

 74
 

applicable provisions of ERISA, the Code and the
constituent documents of such Plan, except for instances of non-compliance
that, in the aggregate, could not reasonably be expected to have a Material
Adverse Effect except as  could
reasonably be expected to have a Material Adverse Effect.  No termination of a Single Employer Plan has
occurred during such six-year period or is reasonably expected to occur (other
than a termination described in Section 4041(b) of ERISA), and no Lien in favor
of the PBGC or a Plan has arisen during such six-year period or is reasonably
expected to arise.  Except to the extent
that any such excess could not reasonably be expected to have a Material
Adverse Effect, the present value of all accrued benefits under each Single
Employer Plan (based on those assumptions used to fund such Plans) did not, as
of the last annual valuation date prior to the date on which this
representation is made or deemed made, exceed the value of the assets of such
Plan allocable to such accrued benefits. 
Except to the extent that such liability could not reasonably be
expected to have a Material Adverse Effect, neither the Co-Issuers nor any
Affiliate thereof have had a complete or partial withdrawal from any
Multiemployer Plan, and the Co-Issuers would not become subject to any
liability under ERISA if a Co-Issuer or any Affiliate thereof were to withdraw
completely from all Multiemployer Plans as of the valuation date most closely
preceding the date on which this representation is made or deemed made.  To the Actual Knowledge of the Co-Issuers, no
such Multiemployer Plan is in Reorganization, insolvent or terminating or is
reasonably expected to be in Reorganization, become insolvent or be terminated.  Except to the extent that any such excess could
not reasonably be expected to have a Material Adverse Effect, the present value
(determined using actuarial and other assumptions which are reasonable in
respect of the benefits provided and the employees participating) of the
liability of the Co-Issuers and each Affiliate thereof for post retirement
benefits to be provided to their current and former employees under Plans which
are welfare benefit plans (as defined in Section 3(1) of ERISA) other than such
liability disclosed in the financial statements of the Co-Issuers does not, in
the aggregate, exceed the assets under all such Plans allocable to such
benefits.  Neither the Co-Issuers nor any
Affiliate thereof has engaged in a prohibited transaction under Section 406 of
ERISA and/or Section 4975 of the Code in connection with any Plan that would
subject either Co-Issuer to liability under ERISA and/or Section 4975 of the
Code that could reasonably be expected to have a Material Adverse Effect.  There is no other circumstance which may give
rise to a liability in relation to any Plan that could reasonably be expected
to have a Material Adverse Effect;

(cc)         each of the
Securitization Entities has good and marketable title in its assets, free of
any Lien except Permitted Liens or as created by any Transaction Document;

(dd)         the
representations relating to the Franchise Assets in the Asset Sale Agreements
are true and correct;

(ee)         other than
exceptions to any of the following that could not, individually or in the
aggregate, reasonably be expected to result in the payment of a Material
Environmental Amount:

(A)          The
Securitization Entities:  (i) are, and
within the period of all applicable statutes of limitation have been, in
compliance with all applicable Environmental Laws, (ii) hold all Environmental
Permits (each of which is in full force and effect) required for any of their
current or intended operations or for any property owned, leased, or otherwise
operated by any of them and (iii) are, and 

 75
 

within the period of all applicable statutes of limitation
have been, in compliance with all of their Environmental Permits.

(B)           Materials
of Environmental Concern are not present at, on, under, in, or about any Owned
Real Property or Leased Property now or formerly owned, leased or operated by
any Securitization Entity or any of its Affiliates, or at any other location
(including, without limitation, any location to which Materials of
Environmental Concern have been sent for re-use or recycling or for treatment,
storage or disposal) which could be expected to (i) give rise to liability of
any Securitization Entity or any of its Affiliates under any applicable
Environmental Law or otherwise result in costs to any Securitization Entity or
any of its Affiliates, (ii) interfere with any Securitization Entity’s or any
of its Affiliates’ continued operations or (iii) impair the fair saleable value
of any real property owned or leased by any Securitization Entity or any of its
Affiliates.

(C)           There
is no judicial, administrative, or arbitral proceeding (including, without
limitation, any notice of violation or alleged violation) under or relating to
any Environmental Law to which any Securitization Entity or any of its
Affiliates is, or to the knowledge of the Securitization Entities will be,
named as a party that is pending or, to the knowledge of the Securitization
Entities, threatened.

(D)          Neither
any Securitization Entity nor any of its Affiliates has received any written
request for information, or been notified that it is a potentially responsible
party under or relating to the federal Comprehensive Environmental Response,
Compensation and Liability Act, as amended, or any other Environmental Law, or
with respect to any Materials of Environmental Concern.

(E)           Neither
any Securitization Entity nor any of its Affiliates has entered into or agreed
to any consent decree, order, or settlement or other agreement, or is subject
to any judgment, decree, or order or other agreement, in any judicial,
administrative, arbitral, or other forum for dispute resolution, relating to compliance
with or liability under any Environmental Law.

(F)           Neither
any Securitization Entity nor any of its Affiliates has assumed or retained, by
contract, conduct or operation of law, any liabilities or obligations of any
kind, fixed or contingent, known or unknown, under any Environmental Law or
with respect to any Materials of Environmental Concern.

(ff)           at the
Closing Date, except for the licensed Software set forth on Schedule 3
and other types of Intellectual Property which are not material to the conduct
of the Co-Issuer’s business, there is no third party Intellectual Property
which is non-assignable.

Section 7.13   Affirmative
Covenants.   So long as any of the Notes remain Outstanding and the
term of any Insurance Policy shall not have expired, each of the Co-Issuers
shall:

 76

(a)           do or
cause to be done all things necessary to enable it to comply with all
applicable legal and accounting rules and regulations, including submitting or
causing to be submitted financial and other information to state and federal
regulatory authorities as required under the applicable franchising laws and
regulations;

(b)           keep
proper books of account and records, appoint independent public accountants
(reasonably acceptable to each Insurer (for so long as such Insurer is a Series
Controlling Party)) to audit the books of account and financial statements of
each of the Securitization Entities; and to prepare in accordance with GAAP and
deliver annual audited balance sheets, profit and loss statements and retained
earnings statements of the Co-Issuers as provided for in Section 12.1(e)
(and a copy of each such audited financial statement shall be provided to each
of the Indenture Trustee, each Insurer, Moody’s and S&P’s), and allow the
Indenture Trustee, each Insurer, the Back-Up Servicer and any Person appointed
by any of them, access to the books of account and records of each of the
Securitization Entities at all reasonable times upon reasonable notice during
normal business hours, and permit the Indenture Trustee, each Insurer and any
Person appointed by any of them to discuss the affairs, finances and accounts
of each of the Securitization Entities with any of its officers, directors and
other representatives to discuss the affairs, finances and accounts of each of
the Securitization Entities with the Co-Issuers’ independent public accountants
and to inspect the Collateral, all records related thereto (and to make
extracts and copies thereof) (such rights of such Insurer to continue for so
long as such Insurer is a Series Controlling Party);

(c)           give notice
in writing to the Indenture Trustee, the Servicer and each Insurer within three
(3) Business Days following the date on which it becomes aware of the
occurrence of any circumstances that might reasonably be expected to constitute
an Event of Default or Default or Material Adverse Effect, and such notice
shall contain a description of the facts, circumstances or events that might
reasonably be expected to constitute such Event of Default or Default, and
shall specify the action, if any, Co-Issuers is taking with respect to such
Event of Default or Default, provided that
in connection with such notice, the Co-Issuers may disclaim in good faith any
admission that such circumstance does constitute an Event of Default or
Default;

(d)           so far as
permitted by law, at all times give to the Indenture Trustee and the Back-Up
Servicer such information as it shall reasonably require for the purpose of the
discharge of the duties, powers, trusts, authorities and discretions vested in
it by this Indenture or in the Back-Up Servicer Agreement or to the Rating
Agencies such information as such Rating Agencies may reasonably request, as
applicable;

(e)           take all
reasonable actions necessary so as to be exempt from registration under the
Investment Company Act;

(f)            maintain such
insurance that in its business judgment is appropriate and is customary for
business operations of the type conducted by the Co-Issuers;

(g)           take all
reasonable actions necessary so as to exempt from registration the Notes and
the sale thereof under the Securities Act, or under any applicable securities
laws;

 77
 

(h)           take all
reasonable action to maintain all licenses, permits, charters and registrations
which are material to the conduct of its business;

(i)            deliver
to the Indenture Trustee and, so long as any Notes are Outstanding or any
amount is owing to any Insurer or the Insurance Policy has not been cancelled
or returned, each Insurer (so long as such Insurer is a Series Controlling
Party), if any, (x) quarterly and (y) within 10 days after any reasonable
request by the Indenture Trustee or any Insurer, an Officer’s Certificate of
each of the Co-Issuers to the effect that, having made all reasonable
inquiries, to the best of the knowledge, information and belief of the
Co-Issuers there did not exist, as of the date of the certificate nor had there
existed at any time prior thereto since the date hereof or the date of the last
such certificate (if any), any Event of Default or any Default or, if such an
Event of Default or Default did then exist or had existed, specifying the same;

(j)            deliver
to the Indenture Trustee and each Insurer as soon as practicable prior to the
date of delivery, a copy of the form of each Officer’s Certificate or notice to
be delivered to the Holders of the Notes (such notice to be in a form approved
by the Indenture Trustee and (if such Insurer is then the Series Controlling
Party relating to a Series of Notes) each Insurer (which approval shall not be
unreasonably withheld, conditioned or delayed));

(k)           timely
file all income tax returns of any jurisdiction which are required to be filed
and timely pay all taxes, if and to the extent such taxes become due; provided, however, the Co-Issuers shall not be required to
pay or discharge or cause to be paid or discharged any such taxes whose amount,
applicability or validity is being contested in good faith by appropriate
proceedings so long as (i) there shall be no material risk of forfeiture of
property in the Collateral and (ii) the Co-Issuers maintain adequate reserves
for the payment of contested taxes;

(l)            in
addition to any other notices, certificates or information provided pursuant to
this Indenture, promptly inform the Indenture Trustee and, so long as any Notes
are Outstanding, each Insurer (so long as such Insurer is a Series Controlling
Party), in writing of the following:

(i)            the
commencement of any rulemaking or disciplinary Proceeding or the promulgation
of any proposed or final rule (other than a rule or proceeding which has
general applicability to Persons including the Co-Issuers) which could
reasonably be expected to have a Material Adverse Effect;

(ii)           the
commencement of any Proceedings by or against any of the Securitization
Entities in any court of competent jurisdiction or before any governmental body
or agency, or before any arbitration board, or the threat of any such
proceedings, which might reasonably be expected to have a Material Adverse
Effect on the Securitization Entities (considered collectively) or on the
ability of any of the Securitization Entities to perform its obligations under
any provision of the Transaction Documents to which it is a party or on the
Co-Issuers’ ability to comply with the Notes or otherwise have a Material
Adverse Effect; and

(iii)          the
receipt of notice from any Governmental Authority having authority over the
conduct of the business of any Securitization 

 78
 

Entity that (A) any Securitization Entity is being placed
under regulatory supervision, (B) any license, permit, charter, membership or
registration relating to the conduct of the business of any Securitization
Entity is to be suspended or revoked, and such suspension or revocation could
reasonably be expected to have a Material Adverse Effect or (C) any
Securitization Entity is to cease and desist any practice, procedure or policy
employed by the Securitization Entity in the conduct of its business, and such
cessation could reasonably be expected to have a Material Adverse Effect;

(m)          maintain
corporate records and books of account separate from any Person;

(n)           so long as
any Notes are Outstanding, deliver to each Rating Agency by which the Notes are
for the time being rated such information as such Rating Agency may reasonably
request (including any such information which is material in maintaining its
surveillance of the transactions contemplated by the Transaction Documents);

(o)           generally
pay its debts as they become due;

(p)           (A)          act and conduct its business solely in
its own name through the Servicer or through other agents selected in
accordance with the Issuer Limited Liability Company Agreement or the Co-Issuer
Limited Liability Company Agreement (as applicable), including, without
limitation, its Officers;

(B)           maintain
separately its funds and assets from those of any Affiliates of either of them,
and such funds and assets shall not be commingled with the funds and assets of
any other Person;

(C)           maintain
complete and correct books and records of account and minutes of the
proceedings of the Issuer or the Co-Issuer (as appropriate), separate from the
books and records of any other Person or entity;

(D)          use
its own stationery, invoices, checks and other business forms and not those of
any Affiliate, and shall not have the appearance (x) of conducting business on
behalf of any Affiliate or (y) that its assets are available to pay the
creditors of any Affiliate (other than as contemplated in this Indenture);

(E)           except
as otherwise specified in the LLC Operating Agreement, pay all of its
liabilities out of its own funds;

(F)           not
hold itself out as being liable for the debts of any Affiliate (other than as
contemplated in this Indenture);

(G)           not
engage in any transaction with any Affiliate, except as contemplated by the
Servicing Agreement, and otherwise as required, or specifically permitted by
this Indenture or the Transaction Documents; provided, however, that any such transaction must be commercially
reasonable on terms similar to those available in an arm’s length transaction;

 79
 

(H)          not
incur any debt other than as contemplated by the Issuer Limited Liability
Company Agreement or the Co-Issuer Limited Liability Company Agreement (as
applicable) or this Indenture;

(I)            maintain
separate financial statements showing its assets and liabilities separate and
apart from those of any other Person;

(J)            not
guarantee or become obligated for the debts of any other Person or hold out its
credit as being available to satisfy the obligations of others;

(K)          allocate
fairly and reasonably any overhead expenses that are shared with Affiliates,
including the payments for office space;

(L)           hold
itself out as a separate entity, correct any known misunderstandings regarding
its separate identity, and not identify itself as a division of any other
Person;

(M)         maintain
adequate capital in light of its contemplated business operations;

(N)          while
any amounts under this Indenture remain outstanding, not dissolve, liquidate,
merge, consolidate or sell substantially all of its assets, except as permitted
hereunder;

(O)          maintain
bank accounts separate from those of any other Person and not permit any
Affiliate independent access to such bank accounts;

(P)           not
acquire obligations or securities of any Affiliate other than as contemplated
by the Transaction Documents;

(Q)          observe
all Delaware limited liability company formalities;

(R)           not
pledge its assets for the benefit of any other Person or make loans or advances
to any Person other than as contemplated by the Transaction Documents or this
Indenture;

(S)           cause
its board of managers and its agents, including the Servicer, to act at all
times with respect to the Issuer consistently with, and in furtherance of the
foregoing and in the best interests of the Issuer (subject, with respect to the
Servicer, to its rights under the terms of the Servicing Agreement); and

(T)           take,
or refrain from taking, as the case may be, all other actions that are
necessary to be taken or not to be taken in order (a) to ensure that the
assumptions and factual recitations set forth in the opinion delivered pursuant
to Section 3.1(b) hereof remain true and correct in all material
respects with respect to it (and, to the extent within its control, to ensure
that the assumptions and factual recitations set forth in such opinion remain
true and correct with respect to 

 80
 

Affiliate of the Co-Issuers) and (b) to comply in all
material respects with those procedures described in such opinion that are
applicable to it;

(q)           comply
with all directions of a Series Controlling Party or the Aggregate Controlling
Party properly given in accordance with the terms of this Indenture;

(r)            if
requested, to use its best efforts to permit any Series of Notes to be
designated PORTAL securities in accordance with the rules and regulations
adopted by the National Association of Securities Dealers, Inc. relating to
trading in the PORTAL market;

(s)           permit
compliance with Rule 144A under the Securities Act in connection with the sale
of the Notes, and furnish upon request of a holder of a Note to such holder and
a prospective purchaser designated by such holder the information required to
be delivered under Rule 144A(d)(4) under the Securities Act if at the time of
the request the Co-Issuers are not a reporting company under Section 13 or
Section 15(d) of the Exchange Act;

(t)            perform
its obligations under each Transaction Document in all material respects and
enforce the obligations of the Securitization Entities under and pursuant to
the Transaction Documents;

(u)           upon a
redemption or other payment of all of the Notes and the expiration of the term
of each Insurance Policy, surrender such Insurance Policy for cancellation to
the Insurer relating to such Insurance Policy;

(v)           as of the
Closing Date, the Issuer will be duly qualified under applicable law in each
jurisdiction in which it carries on the Business to act as a franchisor with
respect to the Franchise Assets.  As of
each New Asset Addition Date, the Issuer will be duly qualified under
applicable law in each jurisdiction in which it carries on the Business to act
as a franchisor with respect to the New Assets;

(w)          subject to Section
7.8(a)(xvi), in the case of the Co-Issuer, maintain ownership of the IP
Assets and, in the case of the Issuer, maintain the right to use the Licensed
IP, subject to and in accordance with the IP License Agreement;

(x)            solely
with respect to the Issuer, cause each of its Subsidiaries to dividend to the
Issuer (not less frequently than monthly) any funds in excess of its
obligations under any Transaction Document subject to any applicable law; and

(y)           that with
respect to licenses of third party Intellectual Property entered into after the
Closing Date, the Issuer and the Co-Issuer (including, for the avoidance of
doubt, the Servicer on behalf of the Issuer and the Co-Issuer, as applicable)
shall use commercially reasonable efforts to include terms permitting the grant
of a security interest therein to the Indenture Trustee for the benefit of the
Secured Parties and to allow the Successor Servicer the right to use such
Intellectual Property in the performance of Services under the Back-Up
Servicing Agreement.

Section 7.14   Further
Assurances.   (a)   The Co-Issuers or the Indenture Trustee at the
direction of the Co-Issuers, shall execute and deliver, or cause to be executed
and delivered, 

 81
 

all such additional instruments, and do, or cause to
be done, all such additional acts as (i) may be necessary or proper, consistent
with the Granting Clauses, to carry out the purposes of this Indenture and to
make subject to the Lien hereof any property intended so to be subject,
including in the event of any change in applicable law or regulations, (ii) may
be necessary or proper to transfer to any successor Indenture Trustee the
estate, powers, instruments and funds held in trust hereunder and to confirm
the Lien of this Indenture, or (iii) the Indenture Trustee or, for so long as
any Notes are Outstanding, any amount is owed to any Insurer or the applicable
Insurance Policy has not been cancelled or returned, an Insurer, may reasonably
request.  In addition, the Co-Issuers
shall (at the direction or with the consent of the Aggregate Controlling
Party), take all actions, and shall direct the Indenture Trustee in writing to
take all actions as shall be specified to the Co-Issuers, necessary to preserve
and protect the security interest in the Collateral created hereunder, free of
any Liens, including but not limited to the removal and transfer of any such
Collateral from any existing location or jurisdiction to another location or
jurisdiction so as to prevent the impairment of the security interest in such
Collateral created by this Indenture.

(b)           All oral
and written communications made by the Co-Issuers or by any Person on behalf of
the Co-Issuers, including, without limitation, letters, invoices, purchase
orders, contracts, statements, loan applications, and all notices, certificates
or information required to be delivered or communicated pursuant to this
Indenture, shall be made or delivered by the Co-Issuers or by any such Person
on behalf of the Co-Issuers.

(c)           The
Indenture Trustee shall cooperate in all respects with any reasonable written
request by the Co-Issuers to preserve or enforce the Co-Issuers’ rights and
interests under this Indenture or any other Transaction Documents.

Section 7.15   Financial
Covenants.   (a)   If funds on deposit in the Series Interest
Reserve Account relating to any Series of Notes are less than the Series
Interest Reserve Account Required Amount relating to such Series of Notes, then
all investment income earned on funds on deposit in the Series Interest Reserve
Account relating to such Series of Notes shall be retained in such account
until the funds in such account are equal to or greater than the Series
Interest Reserve Account Required Amount. 
If funds on deposit in the Series Interest Reserve Account relating to
any Series of Notes are greater than or equal to the applicable Series Interest
Reserve Account Required Amount, then all investment income earned on such
funds, shall, except as otherwise required under this Indenture, be released to
the Collections Account.

(b)           So long as
any Notes are Outstanding, the Issuer shall maintain a (i) Franchise Royalty
Rate of not less than 4.5% and (ii) License Royalty Rate of not less than 1.0%
for all New Franchise Documents (other than Non-Conforming New Franchise
Documents) entered into on and after the Closing Date.

Section 7.16   Security
Interest Representations, Warranties and Covenants of the Co-Issuers.   (a)   This
Indenture creates a valid and continuing security interest (as defined in the
applicable UCC) in the Collateral in favor of the Indenture Trustee for the
benefit of the Secured Parties, which security interest is prior to all other
Liens except Permitted Liens, and is enforceable as such as against creditors
of and purchasers from the Co-Issuers.

 82
 

(b)           Except as set forth in Schedule 7.16 hereto, the Issuer owns and has good
and marketable title to the Issuer Assets included in the Collateral free and
clear of any Lien except Permitted Liens.

(c)           Except as
set forth in Schedule 7.16 hereto, the
Co-Issuer owns and has good and marketable title to the IP Assets and, to the extent
owned by Co-Issuer, the other Collateral, other than any Issuer Assets, free
and clear of any Lien except Permitted Liens.

(d)           Each of
the Co-Issuers shall, within ten (10) days of the Closing Date, file all
appropriate Financing Statements in the proper filing office in the appropriate
jurisdictions under applicable law in order to perfect the security interest in
the Collateral perfectible under the U.C.C. and/or U.S. Federal law or other
applicable law and Granted to the Indenture Trustee hereunder and deliver
copies of such Financing Statement to the Indenture Trustee and each Insurer if
the Indenture Trustee or such Insurer requests.

(e)           Other than
the security interests granted to the Indenture Trustee pursuant to this
Indenture and Permitted Liens, neither of the Co-Issuers has pledged, assigned,
sold, granted a security interest in, or otherwise conveyed any of the
Collateral.  Neither of the Co-Issuers
has authorized the filing of nor is aware of any Financing Statements against
either of the Co-Issuers that include a description of collateral covering any
Collateral other than any Financing Statement relating to the security interest
granted to the Indenture Trustee hereunder or that has been terminated.  Neither of the Co-Issuers is aware of any
judgment, Pension Benefit Guaranty Corporation or tax Lien filings against
either of the Co-Issuers.

(f)            None of
the “instruments” (as defined in the applicable UCC) that constitute or
evidence the Collateral has any marks or notations indicating that they have
been pledged, assigned or otherwise conveyed to any Person other than the
Indenture Trustee.

(g)           Each of
the Co-Issuers has received all applicable consents and approvals required by
the terms of the Collateral to transfer to the Indenture Trustee its interest
and rights in the Collateral hereunder.

(h)           The
Indenture Trust Accounts are not in the name of any Person other than the
Indenture Trustee.  The Issuer has not
consented to the securities intermediary of any of the Indenture Trust Accounts
to comply with entitlement orders or other instructions of any Person other
than the Indenture Trustee.

(i)            All of
the Collateral consisting of “security entitlements” (within the meaning of the
applicable UCC) has been credited to the Indenture Trust Accounts.  The Indenture Trustee, as securities
intermediary for each of the Indenture Trust Accounts agrees to treat all
assets credited to each of the Indenture Trust Accounts as “financial assets”
(within the meaning of the applicable UCC).

(j)            If the
securities intermediary for any of the Indenture Trust Accounts is, at any
time, a Person other than the Indenture Trustee, the Co-Issuers shall promptly
deliver to the Indenture Trustee a fully executed agreement pursuant to which
such securities intermediary agrees to comply with all instructions originated
by the Indenture Trustee relating to the Indenture Trust Accounts (as
applicable) without further consent by the Co-Issuers.

 83
 

(k)           Each of
the Indenture Trust Accounts is a “securities account” (within the meaning of
the applicable UCC).

(l)            Other
than the Indenture Trust Accounts, the Collateral consists of (i) mortgage
notes, promissory notes or other writings constituting “instruments” (within
the meaning of the applicable UCC), (ii) “accounts” (within the meaning of the
applicable UCC), (iii) “general intangibles” (within the meaning of the
applicable UCC) or (iv) chattel property (within the meaning of the applicable
UCC).

(m)          Each of the
foregoing representations shall, as applicable, be deemed repeated each time
new assets become part of the Collateral.

(n)           The
security interest of the Indenture Trustee in the Collateral shall, until
payment in full of the indebtedness secured hereunder and termination of this
Indenture, be a first-priority as to any other Liens, subject to Permitted
Liens, perfected security interest upon the taking of actions set forth in
subsection (d) above and any IP Lien Filings necessary with respect to
after-acquired IP Assets and subject to the rights of Co-Issuers to dispose of Collateral
hereunder.

(o)           The
foregoing representations shall survive termination of this Indenture.

ARTICLE VIII

SUPPLEMENTAL INDENTURES

Section 8.1   Supplemental
Indentures without Consent of Noteholders.   (a)   The Co-Issuers,
and the Indenture Trustee, without the consent of the Noteholders at any time
and from time to time, may, if the Rating Agency Condition has been satisfied
(except that ratings confirmation need not be requested for any amendments that
could not reasonably be deemed to be disadvantageous to any Noteholder) and
with the consent of the Insurer (so long as such Insurer is a Series
Controlling Party) of each Series of Notes affected thereby enter into one or
more indentures supplemental hereto, in form satisfactory to the Indenture
Trustee:

(i)            to
correct or amplify the description of any property at any time subject to the
Lien of this Indenture, or better to assure, convey and confirm unto the
Indenture Trustee any property subject or required to be subject to the Lien of
this Indenture (including, without limitation, in order to obtain a security
interest thereto in a manner consistent with Section 7.16), or to
subject to the Lien of this Indenture additional property;

(ii)           to
evidence the succession of another Person to either of the Co-Issuers, and the
assumption by any such successor of the covenants contained herein and in the
Notes;

(iii)          to
add to the covenants of either of the Co-Issuers, in each case only to the
extent not adverse to the interests of any Noteholder or each Insurer, or to
surrender any right or power herein conferred upon either of the Co-Issuers;

 84
 

(iv)          to
convey, transfer, assign, mortgage or pledge any property to or with the
Indenture Trustee for the benefit of Secured Parties or add to the conditions,
limitations or restrictions on the authorized amount, terms and purposes of the
issue, authentication and delivery of Notes;

(v)           to
evidence and provide for the acceptance of appointment hereunder by a successor
Indenture Trustee and to add to or change any of the provisions as shall be
necessary to facilitate the administration of the trusts hereunder by more than
one Indenture Trustee, pursuant to the requirements of Section 6.11
hereof;

(vi)          correct
any manifest error or to cure any ambiguity or to correct or supplement any
provisions herein or in any supplemental indenture which may be inconsistent
with any other provision herein or in any Series Supplement, supplemental
indenture or any offering memorandum pursuant to which any Notes have been
issued;

(vii)         to
facilitate the transfer of Notes in accordance with applicable law (as
evidenced by an Opinion of Counsel), which may include providing for the
maintenance of a book-entry trading system;

(viii)        to take any action necessary and appropriate to facilitate
the originations of New Franchise Agreements, the servicing of Franchise Assets
and the preservation and maintenance of the Licensed IP and the other Franchise
Assets, in each case, as determined in accordance with the Servicing Standard;

(ix)           take
any action necessary or advisable to effectuate any lockbox arrangements
entered into by the Issuer;

(x)            to
establish the form or terms of the Notes of any Series of Notes pursuant to a
Series Supplement in accordance with the provisions of Section 2.3
(which shall not require the consent of the Aggregate Controlling Party or any
Series Controlling Party unless specified in such Section 2.3); or

(xi)           to
take any action necessary or helpful to avoid the imposition, under and in
accordance with applicable law, of any Tax including withholding tax.

(b)           The
Indenture Trustee is hereby authorized to join in the execution of any such
supplemental indenture and to make any further appropriate agreements and
stipulations that may be therein contained, but the Indenture Trustee shall not
be obligated to enter into any such supplemental indenture that materially
adversely affects the Indenture Trustee’s own rights, duties, liabilities or
immunities under this Indenture or otherwise except to the extent required by law.

(c)           Copies of any supplemental indenture
entered into in accordance with this Section 8.1 shall be available upon
request by any Noteholder or Insurer duly given to the Indenture Trustee.  No supplemental indenture shall be amended or
modified without the written consent of the Indenture Trustee, the Co-Issuers
and any Insurer that is a party thereto.

 85

                Section 8.2             Consents to Supplemental
Indentures.  (a)  The Co-Issuers (with the written consent of
each Series Controlling Party) and the Indenture Trustee (at the written
direction of the Co-Issuers) may enter into an indenture or indentures
supplemental hereto for the purpose of adding any provisions to, or changing in
any manner or eliminating any of the provisions of, this Indenture or of
modifying in any manner the rights of the Noteholders under this Indenture; provided, however, that any such supplemental indenture for
which approval of Noteholders has not been obtained as provided in this Section
8.2(a) may be entered into only with the written confirmation by each
Rating Agency that such action would not have an adverse effect upon the
ratings of any Notes (without giving effect to any Insurance Policy); provided, further, that no supplemental indenture shall be
entered into without the written consent of each Insurer (nor shall waivers of
any similar matters be effective without the written consent of each Insurer)
and, other than in the case of clause (xi) below, all the Holders of
Outstanding Notes affected thereby (in which event such confirmation from the
Rating Agencies shall not be required) that would do any of the following:

(i)            change
the Series Legal Final Maturity Date, or the due date of any installment of
principal of or interest on, any Series Note, or change the principal amount
thereof or the Series Note Interest Rate thereon, change the provisions of Section
15.1 or change any place where, or the coin or currency in which, any Note
or the interest thereon is payable, or the date or manner of payment, or impair
the right to institute suit for the enforcement of any such payment on or after
the Series Legal Final Maturity Date thereof (or, in the case of the
termination of the obligations of the Co-Issuers hereunder, on or after the
date on which the obligations of the Co-Issuers hereunder are terminated
pursuant to Section 4.1 of this Indenture);

(ii)           reduce
the percentage in the Aggregate Outstanding Principal Amount of the Notes, the
consent of the Noteholders of which is required for the execution of any such
supplemental indenture, or the consent of the Noteholders of which is required
for any waiver of compliance with any provisions of this Indenture or any
Defaults hereunder and their consequences provided for in this Indenture;

(iii)          impair
or adversely affect the Trust Estate except as otherwise permitted herein;

(iv)          permit
the creation of any Lien ranking prior to or on a parity with the Lien of this
Indenture with respect to any part of the Trust Estate or terminate the Lien of
this Indenture on any property at any time subject hereto or deprive any
Noteholder of the security afforded by the Lien of this Indenture except as otherwise
permitted herein;

(v)           reduce
the percentage of the aggregate Outstanding Principal Amount of the Notes, the
consent of the Noteholders of which is required to request that the Indenture
Trustee preserve the Trust Estate or to rescind the Indenture Trustee’s
election to preserve the Trust Estate pursuant to Section 5.3 hereof or
to sell or liquidate the Trust Estate pursuant to Section 5.3 hereof;

(vi)          modify
any of the provisions of this Section 8.2, except to increase the
percentage of the Aggregate Outstanding Principal Amount of the Notes the
consent of 

 86
 

the Holders of which is required for any supplemental
indenture or to provide that certain other provisions of this Indenture cannot
be modified or waived without the consent of the Noteholder of each Outstanding
Note affected thereby;

(vii)         modify
the definition of the term “Outstanding”;

(viii)        release any Insurer from all or any part of its obligation to
make each and every payment under the applicable Insurance Policy, if any;

(ix)           modify
any of the provisions of this Indenture in such a manner as to affect the
calculation of the amount of any payment of interest or principal on any
Payment Date (including the calculation of any of the individual components of
such calculation) or to reduce the amount payable upon the redemption of such
Notes or change the time at which any Note may be redeemed;

(x)            adversely
affect the tax treatment of the Issuer or the tax consequences to the Holders
of any Class of Notes as described in the Offering Memorandum under the heading
“Certain U.S. Federal Income Tax Considerations” to any material extent or
otherwise cause any of the statements described in the Offering Memorandum
under the heading “Certain U.S. Federal Income Tax Considerations” to be
inaccurate or incorrect to any material extent or;

(xi)           (A)
modify the premium or other compensation payable to such Insurer or the
calculation of any right to reimbursement or other payment or interest accrued
thereon, or the timing or priority of payment of such premium or other
compensation, reimbursement or payment, (B) increase or may increase the
amounts payable at a priority ahead of payments on the Notes having the benefit
of the Insurance Policy or amounts reimbursable or payable to such Insurer, (C)
has or may have the effect of increasing or accelerating the Insurer’s payment
obligations under the Insurance Policy or otherwise materially and adversely
affecting the rights, interests or obligations of the Insurer under this
Indenture or the other Transaction Documents, or (D) modify provisions of the
Indenture or related Indenture Supplement or other Transaction Documents
relating to the Insurer’s subrogation or other rights or any requirements that
the consent of the Insurer be obtained.

(b)           With
respect to any supplemental indenture entered into in accordance with this Section
8.2, it shall not be necessary for Noteholders to approve the particular
form of any proposed supplemental indenture, only the substance thereof.

                Section 8.3             Execution of Supplemental Indentures.  In executing or accepting the additional
trusts created by any supplemental indenture permitted by this Article VIII or the modifications thereby of the
trusts created by this Indenture, the Indenture Trustee shall be entitled to
receive, and (subject to Section 6.3 hereof) shall be fully protected in
relying conclusively upon, an Opinion of Counsel stating that the execution of
such supplemental indenture is authorized or permitted by this Indenture and
that such supplemental indenture is the legal, valid and binding obligation of
each of the Co-Issuers enforceable against each of the Co-Issuers in accordance
with its terms (subject to customary exceptions).  The Indenture Trustee 

 87
 

may, but shall not be obligated to, enter into any
such supplemental indenture that materially adversely affects the Indenture
Trustee’s own rights, duties or immunities under this Indenture or otherwise.

                Section 8.4             Effect of Supplemental
Indentures.  Upon the execution of
any supplemental indenture under this Article VIII,
this Indenture shall be modified in accordance therewith, and such supplemental
indenture shall form a part of this Indenture for all purposes, and every
Outstanding Note theretofore and thereafter authenticated and delivered
hereunder shall be bound thereby.

                Section
8.5             Reference in Notes to
Supplemental Indenture.  Notes
authenticated and delivered after the execution of any supplemental indenture
pursuant to this Article VIII may, and if
required by the Indenture Trustee shall, bear a notation in form satisfactory
to the Indenture Trustee as to any matter provided for in such supplemental
indenture.  If the Co-Issuers shall so
determine, new Notes, so modified as to conform in the opinion of the Indenture
Trustee and the Co-Issuers to any such supplemental indenture, may be prepared
and executed by the Co-Issuers and authenticated and delivered by the Indenture
Trustee in exchange for Outstanding Notes.

ARTICLE IX

REDEMPTION OF NOTES

                Section
9.1             Mandatory Redemption.  The Notes of any Series of Notes shall be
subject to mandatory redemption on any Payment Date (the “Mandatory Redemption
Date”) (i) if, as of the
immediately preceding Accounting Date (the “Mandatory Redemption Determination Date”), the Series Debt Service Coverage Ratio for such
Series of Notes is less than the applicable Series Minimum Debt Service Ratio
(a “Series DSCR
Mandatory Redemption Event”) or
(ii) upon the occurrence of a Servicer Termination Event (each, a “Mandatory Redemption
Event”).  Upon the occurrence of a Mandatory Redemption
Event, and until (a) the relevant Series of Notes and all other amounts owing
in connection therewith are paid in full, (b) in the case of a Series DSCR
Mandatory Redemption Event, such Mandatory Redemption Event is cured as
provided below, or (c) in the case of a Servicer Termination Event, as to any
Series of Notes, the Series Controlling Party thereof has consented to the
cessation of such Mandatory Redemption Event upon the Aggregate Controlling
Party’s consent to the cessation of such Servicer Termination Event (such
period, the “Mandatory
Redemption Period”), the Indenture
Trustee shall apply on the immediately following Payment Date and all future
Payment Dates all amounts allocated to the Series Principal Payment Account
pursuant to Section 10.9 hereof since the immediately preceding Payment
Date and all amounts on deposit in Series Trigger Reserve Account for such
Series of Notes to the redemption of Outstanding Notes (without payment of any
make-whole amount) (the “Mandatory Redemption Amount”). However, except as otherwise provided in the
applicable Series Supplement, a Series DSCR Mandatory Redemption Event shall be
cured and the Mandatory Redemption Period for the applicable Series of Notes
will cease if the Series Debt Service Coverage Ratio is greater than or equal
to the applicable Series Minimum Debt Service Coverage Ratio for any three
consecutive Accounting Dates following the Mandatory Redemption Date; provided that a Series DSCR Mandatory Redemption Event may
be so cured only once with respect to any particular Series of Notes.

 88
 

                Section 9.2             Optional Redemption by
Co-Issuers; Conditions Precedent to Optional Redemption; Election to Redeem.  (a) 
Except as otherwise provided in the Series Supplement, the Series Notes
of any Series of Notes shall be subject to redemption, in whole or in part, at
the option of the Co-Issuers on any Payment Date at the Optional Redemption
Amount; provided, however, that any partial
redemption of any Series of Notes that would result in the Insurer for such
Series, if any, ceasing to be the Aggregate Controlling Party shall occur only
upon the existence of a valid business purpose, which shall be set forth in
reasonable detail in an officer’s certificate of the Co-Issuers to be delivered
to such Insurer, unless such Insurer shall have otherwise consented in
writing.  It is a further condition
precedent to the Co-Issuers’ exercise of an Optional Redemption that the
Co-Issuers have on deposit in the Series Principal Payment Accounts relating to
the relevant Series of Notes, on the Accounting Date immediately preceding the
scheduled redemption date, in the aggregate, an amount not less than the
Optional Redemption Amount.

(b)           Installments
of interest and principal due on or prior to a Mandatory Redemption Date or an
Optional Redemption Date shall continue to be payable to the Holders of such
Notes according to their terms.  The
election of the Co-Issuers to redeem any Notes pursuant to this Section 9.2
shall be evidenced by a Company Order from the Servicer directing the Indenture
Trustee to make payment of the Optional Redemption Amount from funds in the
Principal Payment Account relating to each relevant Series of Notes with
respect to which Notes shall be redeemed. 
The Notes shall be redeemed on a pro rata basis,
in order of priority among each affected Series of Notes and within such Series
of Notes ratably, based on the portion of the Aggregate Outstanding Principal
Amount of the Series of Notes in which each Noteholder has an interest.  The Co-Issuers shall fix the Optional
Redemption Date and give notice thereof to the Indenture Trustee and the
Insurer pursuant to Section 9.3 hereof.

(c)           Funds
contributed to the Co-Issuers may be used for the purpose of effecting an
Optional Redemption hereunder in accordance with this ARTICLE IX.  Outside funds contributed to the Issuer to
effect an Optional Redemption (the “Contributed Optional Redemption Amount Funds”) shall be directly deposited to the Principal
Payment Account of the relevant Series of Notes for application to the Optional
Redemption Amount in connection with an Optional Redemption of such
Series.  Contributed Optional Redemption
Amount Funds shall be used only for the purpose of redeeming Notes pursuant to
an Optional Redemption and not for any other purpose.  Any Contributed Optional Redemption Amount
Funds shall not constitute Collections or Adjusted Collections for any purpose,
and shall be disregarded for purposes of all tests and measurements in the
Transaction Documents except in determining whether there is a sufficient
amount of funds on deposit in the relevant account to meet or exceed the
Optional Redemption Amount.

                Section 9.3             Notice to Indenture Trustee and
Affected Insurers of Optional Redemption. 
In the event of any Optional Redemption pursuant to Section 9.2,
the Co-Issuers shall, at least 30 days prior to the proposed Optional
Redemption Date but no more than 60 days prior to such date (unless the
Indenture Trustee shall agree to a shorter notice period), notify the Indenture
Trustee, each Insurer relating to the Series Notes proposed to be redeemed and
the Servicer in writing of such Optional Redemption Date, the Aggregate
Outstanding Principal Amount to be redeemed on such Optional Redemption Date
and the Optional Redemption 

 89
 

Amount of such Aggregate Outstanding Principal Amount
and as further specified in Section 9.4 hereof and in accordance with Section
15.3 hereof.

                Section 9.4             Notice of Optional Redemption or
Maturity by the Co-Issuers. 
(a)  Upon receipt of notice pursuant to Section 9.3,
notice of such redemption of the Notes shall be given by the Indenture Trustee
to the Rating Agencies and the relevant Noteholders not more than thirty (30)
nor fewer than ten (10) days prior to the scheduled Optional Redemption Date.

(b)           All notices
of Optional Redemption shall state:

(1)           the
CUSIP number, Common Code or ISIN, as applicable, of the Notes to be redeemed
and that the Notes shall be redeemed on a pro rata basis,
based on the Aggregate Outstanding Principal Amount;

(2)           the
Optional Redemption Date;

(3)           the
Optional Redemption Amount;

(4)           in
the case of an Optional Redemption in whole, that all the Notes are being paid
in full and that interest on such Notes shall cease to accrue on the date
specified in the notice, or, in the case of a redemption in part, the amount of
principal of each Note that will be repaid and that interest on such amount of
principal shall cease to accrue on the date specified in the notice;

(5)           in
the case of an Optional Redemption in whole, the place or places where such
Notes to be redeemed in whole are to be surrendered for payment of the Optional
Redemption Amount which shall be the office or agency of the Co-Issuers to be
maintained as provided in Section 7.2; and

(6)           that
the Optional Redemption is subject to the satisfaction of certain conditions
set forth in this Indenture.

(c)           The
Co-Issuers shall have the option to withdraw the notice of Optional Redemption
up to the fifth Business Day prior to the scheduled Optional Redemption Date by
written notice to the Indenture Trustee, each Insurer relating to the Series
Notes proposed for redemption and the Servicer.

(d)           Notice of
redemption shall be given by the Co-Issuers or, at the Co-Issuers’ request, by
the Indenture Trustee in the name and at the expense of the Co-Issuers.  Failure to give notice of redemption, or any
defect therein, to any Holder of any Note shall not impair or affect the
validity of the redemption of any other Notes.

                Section 9.5             Notes Payable on Optional
Redemption Date.  (a)  Notice of redemption having been given as
aforesaid, the Notes to be redeemed pursuant to an Optional Redemption shall,
on the Optional Redemption Date, become due and payable at the Optional
Redemption Amount therein specified, and from and after the Optional Redemption
Date (unless 

 90
 

the Co-Issuers shall default in the payment of the
Optional Redemption Amount and accrued interest) such Notes shall cease to bear
interest.  Upon final payment on a Note
to be redeemed in full, the Holder shall present and surrender such Note at the
place specified in the notice of redemption on or prior to such Optional
Redemption Date; provided, however, that if there
is delivered to the Co-Issuers, each Insurer relating to a Series of Notes
pertaining to which Notes will be redeemed, if any, and the Indenture Trustee
such security or indemnity as may be required by them to save each of them
harmless and an undertaking thereafter to surrender such Note, then, in the
absence of notice to the Co-Issuers, each Insurer relating to a Series of Notes
pertaining to which Notes will be redeemed or the Indenture Trustee that the
applicable Note has been acquired by a bona fide
purchaser, such final payment shall be made without presentation or
surrender.  Payments of interest on Notes
so to be redeemed shall be payable to the Holders of such Notes, or one or more
predecessor Notes, according to the terms and provisions of Section 7.1
hereof.

(b)           If any
Note called for redemption shall not be paid upon surrender thereof for
redemption, the principal thereof shall, until paid, bear interest from the
Optional Redemption Date at the Note Interest Rate for each successive Interest
Accrual Period the Note remains Outstanding.

(c)           Upon the
partial redemption of any Notes and the surrender thereof, the Co-Issuers shall
to the extent necessary issue, and the Authenticating Agent shall authenticate,
new Notes equal to the Aggregate Outstanding Principal Amount of the Notes not
so redeemed.

ARTICLE X

COLLECTIONS AND ALLOCATION OF FUNDS AND MAINTENANCE OF ACCOUNTS

                Section 10.1           Segregation of Money; Investments.  The Indenture Trustee shall segregate and
hold all money and property received by it in trust for the Secured Parties,
and shall apply it as provided in this Indenture.  Absent any Servicer Order or other written
instructions from the Servicer hereunder, the Indenture Trustee shall invest
and reinvest the funds held in any Indenture Trust Account in one or more
Eligible Investments of the type described in clause (e) of the definition
thereof.

                Section 10.2           Lock-Box Account, Collections
Account, Lease and Reimbursement Payment Account, Franchisee Insurance Proceeds
Account, Advertising Funds Account and Residual Account.  (a) 
The Indenture Trustee shall, prior to the Closing Date, establish two
(2) segregated trust accounts at its Corporate Trust Office which shall be held
in trust in the name of the Indenture Trustee for the benefit of the Secured
Parties and designated as the Collections Account and Franchisee Insurance
Proceeds Account.  The Lock-Box Bank
shall, prior to the Closing Date, establish four segregated accounts in the
name of the Issuer which shall be designated, respectfully, as the Lock-Box
Account, Advertising Funds Account, the Lease and Reimbursement Payment Account
and the Residual Account.

(i)            From
and after the Cut-Off Date, all funds received by or for the account of the
Issuer, the Co-Issuer or payable to the Issuer (other than Advertising Funds, 

 91
 

Contributed Optional Redemption Amount Funds or Contributed
Asset Purchase Funds) or the Co-Issuer shall be required to be remitted
directly into the Lock-Box Account. Not later than the second Business Day
after such remittance, all such funds shall be swept by the Lock-Box Bank to
the Indenture Trustee and deposited into the Collections Account, except that
funds received from Franchisees operating Type 3 IHOP Restaurants will instead
be delivered to the Servicer and deposited into the Servicer’s operating
account.  The Servicer shall deposit into
the Lock-Box Account (i) all such funds required to be directly remitted to the
Lock-Box Account, but incorrectly remitted into an account held by the Servicer
or otherwise received by the Servicer and (ii) such portions of funds received
from Franchisees operating any Type 3 IHOP Restaurant that constitute
Collections (which, for the avoidance of doubt, are payments not relating to
any Type 3 IHOP Restaurant), in each case, within two (2) Business Days of its
actual knowledge of such remittance or receipt.

(ii)           From
and after the Cut-Off Date, all Advertising Funds shall be required to be
remitted directly into the Advertising Funds Account.  Any Advertising Funds incorrectly remitted to
the Lock-Box Account or the Collections Account (including as set forth in
Section 2.1(j) of the Servicing Agreement) shall be released therefrom and
promptly transferred into the Advertising Funds Account in accordance with the
Weekly Servicer’s Report.  All other
funds received from any other source received by the Servicer shall be
deposited into the Lock-Box Account within two (2) Business Days of its actual
knowledge of receipt thereof and, not later than the subsequent Business Day,
shall be swept by the Lock-Box Bank to the Indenture Trustee and deposited into
the Collections Account.

(iii)          All
funds deposited from time to time in the Lock-Box Account, the Collections
Account, the Franchisee Insurance Proceeds Account, the Lease and Reimbursement
Payment Account and the Residual Account pursuant to this Indenture shall be
held by the Indenture Trustee (or by the Lock-Box Bank with respect to the
Lock-Box Account, the Lease and Reimbursement Payment Account and the Residual
Account) as part of the Trust Estate and shall be applied for the purposes
herein provided.

(b)           Withdrawals
of funds from the Collections Account and the Franchisee Insurance Proceeds
Account from time to time by the Indenture Trustee pursuant to this Indenture
shall be made by the Indenture Trustee solely according to the Weekly Servicer’s
Report (subject to Section 6.1(c)) unless an Event of Default or a
Servicer Termination Event is continuing.

(c)           Withdrawals
of funds from the Advertising Funds Account and the Lease and Reimbursement
Payment Account, respectively, from time to time may be made by either (i) the
Servicer in accordance with the Servicing Agreement and the applicable Account
Control Agreement upon the delivery of written notice to the Lock-Box Bank so
long as a Servicer Termination Event is not continuing, or (ii) the Lock-Box
Bank in accordance with the applicable Account Control Agreement upon the order
of the Back-Up Servicer so long as a Servicer Termination Event is continuing.

 92
 

(d)           The
Indenture Trustee shall when so instructed by a Servicer Order invest and
reinvest monies deposited in the Collections Account or the Franchisee
Insurance Proceeds Account in Eligible Investments, maturing no later than the
next Weekly Allocation Date or one day prior to the next Payment Date.  All income or other gain from such
investments shall be credited to such Collections Account, and any loss
resulting from such investments shall be charged to the Collections
Account.  The Indenture Trustee shall not
in any way be held liable by reason of any insufficiency in the Collections
Account resulting from any loss on any Eligible Investment.  If any such Servicer Order is received after
1:00 p.m. (New York time) on any Business Day, the Indenture Trustee will have
no obligation to make such investment on such day but shall use its best
efforts to make such investment on such day, and, unless otherwise instructed
by the Servicer, shall in any event make such investment by the next Business
Day.

(e)           From time
to time after the Closing Date, the Issuer may use Contributed Asset Purchase
Funds for the sole purpose of acquiring Converted Type 3 Assets or Franchise
Assets after the Closing Date in accordance with the applicable Asset Transfer
Agreement.  Any Contributed Asset
Purchase Funds shall not constitute Collections or Adjusted Collections for any
purpose, and will be disregarded for the purpose of all tests and measurements
in the Transaction Documents.

                Section 10.3           Principal Payment Accounts.  (a) 
The Indenture Trustee shall promptly upon the execution of a Series
Supplement relating to the establishment of a Series of Notes and prior to the
issuance of any Notes relating to such Series Supplement establish a segregated
trust account at its Corporate Trust Office which shall be held in trust in the
name of the Indenture Trustee for the benefit of the Secured Parties and
designated as the Principal Payment Account for such Series of Notes.

(i)            Funds
shall be deposited into each Principal Payment Account as provided in Section
10.9.

(ii)           All
funds deposited from time to time in each Principal Payment Account pursuant to
this Indenture shall be held by the Indenture Trustee as part of the Trust
Estate and shall be applied for the purposes herein provided.

(b)           All
payments to be made from time to time by the Indenture Trustee out of funds in
each Principal Payment Account pursuant to this Indenture shall be made by the
Indenture Trustee according to the Monthly Servicer’s Report unless an Event of
Default or a Servicer Termination Event is continuing.  In addition, the Indenture Trustee, shall, at
the written direction of the Servicer in accordance with Section 2.1(j) of the
Servicing Agreement, withdraw any amounts in each Principal Payment Account for
appropriate deposit under this Indenture which have been mistakenly deposited
in such Principal Payment Account.

(c)           The
Indenture Trustee shall when so instructed by a Servicer Order invest and
reinvest monies deposited in each Principal Payment Account in Eligible
Investments maturing no later than the day immediately preceding the next
Payment Date within one Business Day after the deposit of such monies.  All income or other gain from such
investments shall be credited to such Principal Payment Account, and any loss
resulting from such investments shall be charged to such Principal Payment
Account.  The Indenture Trustee shall 

 93
 

not in
any way be held liable by reason of any insufficiency in any Principal Payment
Account resulting from any loss on any Eligible Investment.  If any such Servicer Order is received after
1:00 p.m. (New York time) on any Business Day, the Indenture Trustee will have
no obligation to make such investment on such day but shall use its best
efforts to make such investment on such day, and, unless otherwise instructed
by the Servicer, shall in any event make such investment by the next Business
Day.

                Section
10.4           Expense Payment Accounts.  (a) 
The Indenture Trustee shall promptly upon the execution of this
Indenture and prior to the issuance of any Notes establish segregated trust
accounts at its Corporate Trust Office which shall be held in trust in the name
of the Indenture Trustee for the benefit of the Secured Parties in respect of
all Series of Notes and designated as the Operating Expense Payment Account,
the Hedge Agreement Expense Payment Account, the Insurer Reimbursement and
Expense Payment Account and the Insurer Premium Expense Payment Account,
respectively (the “Expense
Payment Accounts”).

(i)            Funds
shall be deposited into each Expense Payment Account as provided in Section
10.9 of this Indenture.

(ii)           All
funds deposited from time to time in each Expense Payment Account pursuant to
this Indenture shall be held by the Indenture Trustee as part of the Trust
Estate and shall be applied for the purposes herein provided.

(b)           All
payments to be made from time to time by the Indenture Trustee out of funds in
each Expense Payment Account pursuant to this Indenture shall be made by the
Indenture Trustee according to the Weekly Servicer’s Report or Monthly Servicer’s
Report unless an Event of Default or a Servicer Termination Event is
continuing.  In addition, the Indenture
Trustee, shall, at the written direction of the Servicer in accordance with
Section 2.1(j) of the Servicing Agreement, withdraw any amounts in each Expense
Payment Account for appropriate deposit under this Indenture which have been
mistakenly deposited in such Expense Payment Account.

(c)           The
Indenture Trustee shall when so instructed by a Servicer Order invest and
reinvest monies deposited in each Expense Payment Account in Eligible
Investments maturing no later than the day immediately preceding the next Payment
Date within one Business Day after the deposit of such monies.  All income or other gain from such
investments shall be credited to such applicable Expense Payment Account, and
any loss resulting from such investments shall be charged to such Expense Payment
Account.  The Indenture Trustee shall not
in any way be held liable by reason of any insufficiency in any Expense Payment
Account resulting from any loss on any Eligible Investment.  If any such Servicer Order is received after
1:00 p.m. (New York time) on any Business Day, the Indenture Trustee will have
no obligation to make such investment on such day but shall use its best
efforts to make such investment on such day, and, unless otherwise instructed
by the Servicer, shall in any event make such investment by the next Business
Day.

                Section
10.5           Interest Payment
Accounts.  (a)  The Indenture Trustee shall promptly upon the
execution of a Series Supplement relating to a Series of Notes and prior to the
issuance of any Notes relating to such Series Supplement establish a segregated
trust account at 

 94
 

its Corporate Trust Office which shall be held in
trust in the name of the Indenture Trustee for the benefit of the Secured
Parties and designated as the Interest Payment Account for such Series of
Notes.

(i)            Funds
shall be deposited into each Interest Payment Account as provided in Section 10.9 of this Indenture.

(ii)           All
funds deposited from time to time in each Series Interest Reserve Account
pursuant to this Indenture shall be held by the Indenture Trustee as part of
the Trust Estate and shall be applied for the purposes herein provided.

(b)           All
payments to be made from time to time by the Indenture Trustee out of funds in
each Interest Payment Account pursuant to this Indenture shall be made by the
Indenture Trustee according to the Monthly Servicer’s Report unless an Event of
Default or a Servicer Termination Event is continuing.  In addition, the Indenture Trustee, shall, at
the written direction of the Servicer in accordance with Section 2.1(j) of the
Servicing Agreement, withdraw any amounts in each Interest Payment Account (as
applicable) for appropriate deposit under this Indenture which have been
mistakenly deposited in such Interest Payment Account.

(c)           The
Indenture Trustee shall when so instructed by a Servicer Order invest and
reinvest monies deposited in each Interest Payment Account in Eligible
Investments maturing no later than the day immediately preceding the next
Payment Date within one Business Day after the deposit of such monies.  All income or other gain from such
investments shall be credited to such Interest Payment Account, and any loss
resulting from such investments shall be charged to such Interest Payment
Account.  The Indenture Trustee shall not
in any way be held liable by reason of any insufficiency in any Interest
Reserve Account resulting from any loss on any Eligible Investment.  If any such Servicer Order is received after
1:00 p.m. (New York time) on any Business Day, the Indenture Trustee will have
no obligation to make such investment on such day but shall use its best
efforts to make such investment on such day, and, unless otherwise instructed
by the Servicer, shall in any event make such investment by the next Business
Day.

                Section
10.6           Fee Payment Accounts.  (a)  The
Indenture Trustee shall promptly upon the execution of a Series Supplement
relating to a Series of Notes and prior to the issuance of any Notes relating
to such Series Supplement establish a segregated trust account at its Corporate
Trust Office which shall be held in trust in the name of the Indenture Trustee
for the benefit of the Secured Parties and designated as the Fee Payment
Account for such Series of Notes.

(i)            Funds
shall be deposited into each Fee Payment Account as provided in Section 10.9 of this Indenture.

(ii)           All
funds deposited from time to time in each Fee Payment Account pursuant to this
Indenture shall be held by the Indenture Trustee as part of the Trust Estate
and shall be applied for the purposes herein provided.

(b)           All
withdrawals to be made from time to time by the Indenture Trustee out each Fee
Payment Account pursuant to this Indenture shall be made by the Indenture
Trustee 

 95
 

according
to the Monthly Servicer’s Report unless an Event of Default or a Servicer
Termination Event is continuing.  In
addition, the Indenture Trustee, shall, at the written direction of the
Servicer in accordance with Section 2.1(j) of the Servicing Agreement, withdraw
any amounts in each Fee Payment Account (as applicable) for appropriate deposit
under this Indenture which have been mistakenly deposited in such Fee Payment
Account.

(c)           The
Indenture Trustee shall when so instructed by a Servicer Order invest and
reinvest monies deposited in each Fee Payment Account in Eligible Investments
maturing no later than the day immediately preceding the next Payment Date
within one Business Day after the deposit of such monies. All income or other
gain from such investments shall be credited to such Fee Payment Account, and
any loss resulting from such investments shall be charged to such Fee Payment
Account.  The Indenture Trustee shall not
in any way be held liable by reason of any insufficiency in any Fee Payment
Account resulting from any loss on any Eligible Investment.  If any such Servicer Order is received after
1:00 p.m. (New York time) on any Business Day, the Indenture Trustee will have
no obligation to make such investment on such day but shall use its best
efforts to make such investment on such day, and, unless otherwise instructed
by the Servicer, shall in any event make such investment by the next Business
Day.

                Section 10.7           Interest Reserve Accounts.  (a) 
The Indenture Trustee shall promptly upon the execution of a Series
Supplement relating to a Series of Notes and prior to the issuance of any Notes
relating to such Series Supplement establish a segregated trust account at its
Corporate Trust Office which shall be held in trust in the name of the
Indenture Trustee for the benefit of the Secured Parties and designated as the
Interest Reserve Account for such Series of Notes.

(i)            Funds
shall be deposited into each Interest Reserve Account as provided in Section
10.9 of this Indenture.

(ii)           All
funds deposited from time to time in each Interest Reserve Account pursuant to
this Indenture shall be held by the Indenture Trustee as part of the Trust
Estate and shall be applied for the purposes herein provided.

(b)           All
withdrawals to be made from time to time by the Indenture Trustee out of each
Interest Reserve Account pursuant to this Indenture shall be made by the
Indenture Trustee to the Interest Payment Account according to the Monthly
Servicer’s Report unless an Event of Default or a Servicer Termination Event is
continuing.  In addition, the Indenture
Trustee, shall, at the written direction of the Servicer in accordance with
Section 2.1(j) of the Servicing Agreement, withdraw any amounts in each
Interest Reserve Account (as applicable) for appropriate deposit under this
Indenture which have been mistakenly deposited in any Interest Reserve Account.

(c)           The Indenture Trustee shall when so
instructed by a Servicer Order invest and reinvest monies deposited in each
Interest Reserve Account in Eligible Investments within one Business Day after
the deposit of such monies.  All income
or other gain from such investments shall be credited to such Interest Reserve
Account, and any loss resulting from such investments shall be charged to such
Interest Reserve Account.  The Indenture
Trustee shall not in any way be held liable by reason of any insufficiency in
any Interest Reserve Account

 96

resulting
from any loss on any Eligible Investment. 
If any such Servicer Order is received after 1:00 p.m. (New York time)
on any Business Day, the Indenture Trustee will have no obligation to make such
investment on such day but shall use its best efforts to make such investment
on such day, and, unless otherwise instructed by the Servicer, shall in any
event make such investment by the next Business Day.

(d)           On the
applicable Issuance Date, the Indenture Trustee shall deposit into each
Interest Reserve Account the Series Initial Interest Reserve Deposit Amount.

                Section
10.8           Trigger Reserve Accounts.  (a) 
The Indenture Trustee shall promptly upon the execution of a Series
Supplement relating to a Series of Notes and prior to the issuance of any Notes
relating to such Series Supplement establish a segregated trust account at its
Corporate Trust Office which shall be held in trust in the name of the
Indenture Trustee for the benefit of the Secured Parties and designated as the
Trigger Reserve Account for such Series of Notes.

(i)            Funds
shall be deposited into each Series Trigger Reserve Account as provided in Section
10.9 of this Indenture.

(ii)           All
funds deposited from time to time in each Series Trigger Reserve Account
pursuant to this Indenture shall be held by the Indenture Trustee as part of
the Trust Estate and shall be applied for the purposes herein provided.

(b)           All
withdrawals to be made from time to time by the Indenture Trustee out of each
Trigger Reserve Account pursuant to this Indenture shall be made by the
Indenture Trustee according to the Monthly Servicer’s Report unless an Event of
Default or a Servicer Termination Event is continuing.  In addition, the Indenture Trustee, shall, at
the written direction of the Servicer in accordance with Section 2.1(j) of the
Servicing Agreement, withdraw any amounts in the Trigger Reserve Account for
appropriate deposit under this Indenture which have been mistakenly deposited
in any Series Trigger Reserve Account.

(c)           The
Indenture Trustee shall when so instructed by a Servicer Order invest and
reinvest monies deposited in each Series Trigger Reserve Account in Eligible
Investments maturing no later than the day immediately preceding the next
Payment Date within one Business Day after the deposit of such monies.  All income or other gain from such
investments shall be credited to such Trigger Reserve Account and any loss
resulting from such investments shall be charged to such Trigger Reserve
Account.  The Indenture Trustee shall not
in any way be held liable by reason of any insufficiency in any Series Trigger
Reserve Account resulting from any loss on any Eligible Investment.  If any such Servicer Order is received after
1:00 p.m. (New York time) on any Business Day, the Indenture Trustee will have
no obligation to make such investment on such day but shall use its best
efforts to make such investment on such day, and, unless otherwise instructed
by the Servicer, shall in any event make such investment by the next Business
Day.

                Section
10.9           Disbursement of Funds
from Collections Account.  On the
third  Business Day following the last
day of each Weekly Collections Allocation Period (each, a “Weekly Allocation Date”), the Indenture Trustee shall upon Servicer Order
and based solely on 

 97
 

the information contained in the Weekly Servicer’s
Report (subject to Section 6.1(c)) withdraw any and all funds on deposit
in the Collections Account in respect of the preceding calendar week for
allocation or payment as follows:

(a)           deposit,
ratably, on the basis of the amount to be allocated, (I) first,
to the Lease and Reimbursement Payment Account the (A) Type 1 Property Lease
Payment Allocation Amount; (B) Type 2 Property Lease Payment Allocation Amount;
(C) Training Fee Reimbursement Payment Allocation Amount; (D) Third Party
Reimbursed Payment Allocation Amount; and (E) Supplier Payment Allocation
Amount and (II) second,  to
the Franchisee Insurance Proceeds Account the Franchisee Insurance Restoration
Payment Allocation Amount;

(b)           to the
extent that the Cumulative Debt Service Coverage Ratio as determined as of  the immediately preceding Accounting Date is
less than the greatest of the Defective Asset Payment Series DSCR Thresholds
applicable to each respective Outstanding Series of Notes, deposit the sum of
the Defective Asset Damages Amount Payments (if greater than zero) received
during the immediately preceding Weekly Collections Allocation Period;

(i)            to
the Principal Payment Account for each Senior Series of Notes, ratably, on the
basis of the Aggregate Outstanding Principal Amount of each such Senior Series
of Notes (except that, to the extent specified in the applicable Series
Supplement relating to any such Series of Notes, the ratable portion relating
to such Series of Notes will not be deposited to the Principal Payment Account
relating to such Series of Notes but instead will be released for allocation or
payment in accordance with this Section 10.9), or,

(ii)           if
no Senior Series of Notes is outstanding on such Weekly Allocation Date and
each Insurer relating to a Senior Series of Notes previously Outstanding has
been paid any and all amounts due or that could become due to it in full, if
applicable, to the Principal Payment Account for each Senior Subordinated
Series of Notes and each Subordinated Series of Notes, ratably, on the basis of
the Aggregate Outstanding Principal Amount of such Senior Subordinated Series
of Notes and such Subordinated Series of Notes (except that, to the extent
specified in the applicable Series Supplement relating to any such Series of Notes,
the ratable portion relating to such Series of Notes will not be deposited to
the Principal Payment Account relating to such Series of Notes but instead will
be released for allocation or payment in accordance with this Section 10.9);

(c)           payment to
the Servicer, (I) first, of the Weekly Servicing
Fee and, (II) second, any such Weekly Servicing
Fee due and unpaid on previous Weekly Allocation Dates;

(d)           deposit
(I) first, to the Hedge Agreement Expense
Payment Account the Hedge Agreement Allocation Amount, and (II) second, any such amount not deposited to the Hedge Agreement
Expense Payment Account relating to previous Weekly Collections Allocation
Periods (if greater than zero), excluding any Series Hedge Agreement
Termination Payment Allocation Amount;

 98
 

(e)           deposit,
ratably, on the basis of the respective amounts to be allocated, (A) to the
Operating Expense Payment Account the Operating Expense Allocation Amount up to
the Capped Operating Expense Allocation Amount; (B) to the Insurer Premium
Expense Payment Account for each Senior Series of Notes, the Senior Series
Insurer Premium Allocation Amount and any Overdue Interest accrued and unpaid
thereon; (C) to the Interest Payment Account for each Senior Series of Notes,
the Senior Series Interest Allocation Amount and any Overdue Interest accrued
and unpaid thereon; provided, that
if the remaining funds are insufficient to make the foregoing allocations in
(B) through (C), such funds shall be allocated among each Senior Series of
Notes, ratably, on the basis of the interest payable on the next Payment Date;
and (D) to the Fee Payment Account for each Senior Series of Notes, the Senior
Series Fee Allocation Amount and any Overdue Interest accrued and unpaid
thereon, provided, further,
that if the remaining funds are insufficient to make the foregoing allocations
in (D), such funds shall be allocated among each Senior Series of Notes,
ratably, on the basis of fees payable on the next Payment Date;

(f)            deposit,
ratably, on the basis of the respective amounts to be allocated, to the Insurer
Reimbursement and Expense Payment Account, the Senior Series Insurer
Reimbursement and Expense Allocation Amount (if any) for each Senior Series of
Notes and any such amount not deposited to the appropriate account in previous
Weekly Collections Allocation Periods (if any);

(g)           deposit to
the Interest Reserve Account for each Senior Series of Notes, ratably, on the
basis of the Aggregate Outstanding Principal Amount of each such Senior Series
of Notes, the difference (if greater than zero)
between (I) the Series Interest Reserve Account Required Amount for such Senior
Series of Notes and (II) the amount on deposit in such Interest Reserve Account
(as of the preceding Business Day) for such Senior Series of Notes;

(h)           deposit,
(I) first, ratably, on the basis of the
respective amounts to be allocated, (A) to the Insurer Premium Expense Payment
Account, the Senior Subordinated Series Insurer Premium Allocation Amount, (B)
to the Interest Payment Account of each Senior Subordinated Series of Notes the
Senior Subordinated Series Interest Allocation Amount; provided,
that if the remaining funds are insufficient to make the foregoing allocations,
such funds shall be allocated among each Senior Subordinated Series of Notes,
ratably, on the basis of the interest payable on the next Payment Date, and (C)
to the Fee Payment Account for each Senior Subordinated Series of Notes the
Senior Subordinated Series Fee Allocation Amount; provided,
that if the remaining funds are insufficient to make the foregoing allocations,
such funds shall be allocated among each Senior Subordinated Series of Notes,
ratably, on the basis of fees payable on the next Payment Date; and, (II) second, ratably, on the basis of the respective amounts to
be allocated, any such amounts not allocated under (I) above (without
duplication) to the appropriate accounts in previous Weekly Collections
Allocation Periods (if greater than zero), and any Overdue Interest accrued
thereon;

(i)            deposit
to the Insurer Reimbursement and Expense Account, ratably, on the basis of the
amounts to be allocated, the Senior Subordinated Series Insurer Reimbursement
and Expense Allocation Amount (if any);

 99
 

(j)            deposit
to the Interest Reserve Account for each Senior Subordinated Series of Notes, ratably,
on the basis of the Aggregate Outstanding Principal Amount of such Senior
Subordinated Series of Notes the difference (if
greater than zero) between (i) the Series Interest Reserve Account Required
Amount for such Senior Subordinated Series of Notes and (ii) the amount on
deposit in such Interest Reserve Account (as of the preceding Business Day) for
such Senior Subordinated Series of Notes;

(k)           payment to
the Servicer of, first, any Supplemental Servicing
Fee and, second, any Supplemental Servicing Fee
due and unpaid on the previous Weekly Allocation Date;

(l)            deposit
to the Trigger Reserve Account of each Senior Series of Notes (so long as none
of the Senior Series Principal Payment Account Conditions is met other than
because the next Payment Date is an Optional Redemption Date for any Senior
Series of Notes) the product of (x)
the applicable Series Trigger Reserve Proportion and (y) the portion of the
funds remaining in the Collections Account allocable to each such Senior Series
of Notes, ratably, on the basis of the Aggregate Outstanding Principal Amount
thereof, but if and only if (1) the Weekly Allocation Date is prior to the
Series Anticipated Repayment Date and (2) the Series Debt Service Coverage
Ratio determined as of the preceding Accounting Date is within the applicable
Series DSCR Trigger Reserve Account Deposit Threshold Range relating to such
Series Trigger Reserve Proportion; provided, that
the remaining funds in the Collections Account not so deposited shall be
released for further allocation or payment in accordance with this Section
10.9.

(m)          deposit any
remaining funds in the Collections Account to the Principal Payment Account for
each Senior Series of Notes meeting one of the following conditions (the “Senior Series Principal
Payment Account Conditions”),
allocated, ratably, on the basis of the Aggregate Outstanding Principal Amount
for each Senior Series of Notes for which such deposit shall be made:

(i)            a
Mandatory Redemption Period is continuing with respect to such Senior Series of
Notes;

(ii)           the
next Payment Date is on or after the Series Anticipated Repayment Date for such
Senior Series of Notes or is an Optional Redemption Date for such Senior Series
of Notes (provided that any deposit hereunder
required for a Senior Series of Notes only because the next Payment Date is an
Optional Redemption Date for such Senior Series of Notes shall not be made
should a deposit be required for any other Senior Series of Notes for any other
reason under this clause (m));

(iii)          an
Event of Default has occurred and is continuing or the Aggregate Outstanding
Principal Amount of the Notes has been declared due and payable pursuant to Section
5.2, and such declaration has not been rescinded or annulled in accordance
with Section 5.2; or

(iv)          such
Senior Series of Notes was not repaid in full on or after the applicable Series
Anticipated Repayment Date;

 100
 

provided, that if such deposit is
required for a Senior Series of Notes solely because the next Payment Date is
an Optional Redemption Date relating to such Senior Series of Notes, such
deposit shall be the lesser of (1)
any remaining funds in the Collections Account (or, as applicable, the portion
of such remaining funds allocable to such Senior Series of Notes) and (2) the
amount required to be deposited (ratably, on the basis of the Aggregate
Outstanding Principal Amount of each such Senior Series of Notes) in the
Principal Payment Account for such Senior Series of Notes, such that the
aggregate amount on deposit in such accounts equals the applicable Optional
Redemption Amount;

(n)           deposit,
(I) first, to the Hedge Agreement Expense
Payment Account any Hedge Agreement Termination Payment Allocation Amount and
(II) second, any such amounts not deposited
in previous Weekly Allocation Periods, if any;

(o)           deposit,
(I) first, ratably, on the basis of the
respective amounts to be allocated, (A) to the Insurer Premium Expense Payment
Account, the Subordinated Series Insurer Premium Allocation Amount, (B) to the
Interest Payment Account of each Subordinated Series of Notes the Subordinated
Series Interest Allocation Amount; provided, that
if the remaining funds are insufficient to make the foregoing allocation, such
funds shall be allocated among each Subordinated Series of Notes, ratably, on
the basis of the interest payable on the next Payment Date, and (C) to the Fee
Payment Account for each Subordinated Series of Notes the Subordinated Series
Fee Allocation Amount; provided, that
if the remaining funds are insufficient to make the foregoing allocation, such
funds shall be allocated among each Subordinated Series of Notes, ratably, on
the basis of fees payable on the next Payment Date; and (II) second, ratably, on the basis of the respective amounts to
be allocated, any such amounts not allocated under (I) above (without
duplication) to the appropriate account in previous Weekly Collections
Allocation Periods (if any), and any Overdue Interest accrued thereon;

(p)           deposit to
the Insurer Reimbursement and Expense Payment Account, ratably, on the basis of
the amounts to be allocated, the Subordinated Series Insurer Reimbursement and
Expense Allocation Amount (if any) for each Subordinated Series of Notes and
any such amount not deposited to the appropriate account in previous Weekly
Collections Allocation Periods (if any);

(q)           deposit to
the Interest Reserve Account for each Subordinated Series of Notes, ratably, on
the basis of the Aggregate Outstanding Principal Amount the difference (if greater than zero) between (i) the Series
Interest Reserve Account Required Amount for such Subordinated Series of Notes
and (ii) the amount on deposit in such Interest Reserve Account (as of the
preceding Business Day) for such Subordinated Series of Notes;

(r)            deposit
to the Trigger Reserve Account of each Subordinated Series of Notes and each
Senior Subordinated Series of Notes, so long as none of the Subordinated Series
Principal Payment Account Conditions is met other than because the next Payment
Date is an Optional Redemption Date for any Subordinated Series of Notes or Senior
Subordinated Series of Notes, the product of (x)
the applicable Series Trigger Reserve Proportion and (y) the portion of the
funds remaining in the Collections Account allocable to each such Subordinated
Series of Notes and Senior Subordinated Series of Notes, ratably, on the basis
of the Aggregate Outstanding Principal Amount thereof, but if and only if (1)
the Weekly Allocation Date is prior

 101
 

 to the Series Anticipated Repayment Date and
(2) the Series Debt Service Coverage Ratio determined as of the preceding
Accounting Date is within the applicable Series DSCR Trigger Reserve Account
Deposit Threshold Range relating to such Series Trigger Reserve Proportion; provided, that the remaining funds in the Collections
Account not so deposited shall be released for further allocation or payment in
accordance with this Section 10.9.

(s)           deposit
any remaining funds in the Collections Account to the Principal Payment Account
for each Senior Subordinated Series of Notes or Subordinated Series of Notes,
as applicable, meeting one of the following conditions (the “Subordinated Series
Principal Payment Account Conditions”),
allocated, ratably, on the basis of the Aggregate Outstanding Principal Amount
of each Senior Subordinated Series of Notes or Subordinated Series of Notes, as
applicable, for which such deposit shall be made:

(i)            a
Mandatory Redemption Period is continuing with respect to such Senior
Subordinated Series of Notes or Subordinated Series of Notes;

(ii)           the
next Payment Date is on or after the Series Anticipated Repayment Date for such
Senior Subordinated Series of Notes or Subordinated Series of Notes or is an
Optional Redemption Date for such Senior Subordinated Series of Notes or
Subordinated Series of Notes (provided that
any deposit hereunder required for a Senior Subordinated Series of Notes or
Subordinated Series of Notes solely because the next Payment Date is an
Optional Redemption Date for such Senior Subordinated Series of Notes or
Subordinated Series of Notes shall not be made should a deposit be required for
any other reason under this clause (s));

(iii)          an
Event of Default has occurred and is continuing or the Aggregate Outstanding
Principal Amount of the Notes has been declared due and payable pursuant to Section
5.2, and such declaration has not been rescinded or annulled in accordance
with Section 5.2; or

(iv)          such
Senior Subordinated Series of Notes or Subordinated Series of Notes was not
repaid in full on or after the applicable Series Anticipated Repayment Date;

provided, that if such deposit is
required for a Senior Subordinated Series of Notes or Subordinated Series of
Notes solely because the next Payment Date is an Optional Redemption Date
relating to such Senior Subordinated Series of Notes or Subordinated Series of
Notes, such deposit shall be the lesser of (1)
any remaining funds in the Collections Account (or, as applicable, the portion
of such remaining funds allocable with respect to such Series of Notes) and (2)
the amount required to be deposited (ratably, on the basis of the Aggregate
Outstanding Principal Amount of such Senior Subordinated Series of Notes or
Subordinated Series of Notes) in the Principal Payment Account for such Senior
Subordinated Series of Notes or Subordinated Series of Notes, such that the
aggregate amount on deposit in such accounts equals the applicable Optional
Redemption Amount;

(t)            deposit, first, to the Interest Payment Account of each Senior Series
of Notes, the Senior Series Additional Interest Allocation Amount, second, to the Interest Payment Account of each Senior
Subordinated Series of Notes, the Senior Subordinated Series Additional 

 102
 

Interest
Allocation Amount, and, third, to the
Interest Payment Account of each Subordinated Series of Notes, the Subordinated
Series Additional Interest Allocation Amount;

(u)           deposit to
the Operating Expense Payment Account the difference (if
greater than zero) between (i) the Operating Expense Allocation Amount and (ii)
any such amount not deposited to the Operating Expense Payment Account in
previous Weekly Collections Allocation Periods; and

(v)           payment to
the Issuer for deposit to the Residual Account of any funds remaining in the
Collections Account in respect of such Weekly Collections Allocation Period,
which funds shall be withdrawn by the Lock-Box Bank and transferred to IHOP
Inc. (which amounts shall be distributed from the Issuer to IHOP Holdings, and,
subsequently, distributed from IHOP Holdings to IHOP Inc.), except such amounts
as are to be excluded, in accordance with the Issuer’s and IHOP Holdings’
revocable standing instruction in the form attached hereto as Exhibit F
(such funds being a distribution from the Issuer to IHOP Holdings and a
subsequent distribution by IHOP Holdings to IHOP, Inc.).

                Section
10.10         Notices to Insurers and
the Rating Agencies.  The Indenture
Trustee shall, promptly after receipt, deliver copies of the following
documents to each Insurer and the Rating Agencies or, as the case may be, give
prior notice to (and, if unable to give prior notice, to the extent the
Indenture Trustee has actual knowledge thereof, notify promptly, and in any
event within 10 Business Days after the occurrence thereof) each Insurer and
the Rating Agencies of the following events:

(a)           the
occurrence of a Default or an Event of Default under this Indenture;

(b)           any
resignation or removal of the Indenture Trustee or appointment of a successor
Indenture Trustee;

(c)           any change
in the Servicer; and

(d)           any
redemption of Notes.

ARTICLE XI

APPLICATION OF FUNDS

 

                Section
11.1           Application of Funds.  (a)  The
Servicer, upon notifying the Indenture Trustee or the Lock-Box Bank, as
applicable, to the extent that the Servicer may withdraw funds from the
applicable account pursuant to Section 10.2, or the Indenture Trustee,
upon Servicer Order or the order of the Back-Up Servicer (as applicable), may,
on any Business Day, apply funds on deposit in the Advertising Funds Account,
the Lease and Reimbursement Payment Account and the Franchisee Insurance
Proceeds Account, respectively, in accordance with the following:

(i)            from
the Advertising Funds Account, to the extent of funds available in such
account, payments relating to advertising and promotional operations in
accordance 

 103
 

with the Franchise Agreements, Area License Agreement,
Servicing Agreement, Account Control Agreement (Other Accounts) and any other
applicable Transaction Document;

(ii)           from
the Lease and Reimbursement Payment Account, to the extent of funds available
in such account, payments of (A) Type 1 Property Lease Payments pursuant to
Type 1 Property Leases, (B) Type 2 Property Lease Payments pursuant to Type 2
Property Leases, (C) Training Fee Reimbursement Payments pursuant to any
applicable Franchise Agreement, Area License Agreement or other Transaction
Documents, (D) Third Party Reimbursement Payments pursuant to any applicable
Franchise Agreement, Area License Agreement or other Transaction Documents and
(E) Supplier Payments pursuant to Product Sourcing Agreements; and

(iii)          from
the Franchisee Insurance Proceeds Account, to the extent of funds available in
such account, payments of Franchisee Insurance Restoration Payments; provided that any funds on deposit in the Franchisee
Insurance Proceeds Account in which the Issuer has the sole interest and that
will not ultimately be paid as Franchisee Insurance Restoration Payments, will
be withdrawn from the Franchisee Insurance Proceeds Account and deposited to
the Collections Account for allocation in accordance with the Weekly
Collections Account Allocation Priority.

(b)           Based
solely on the information contained in the Monthly Servicer’s Report (subject
to Section 6.1(c)), the Indenture Trustee shall on each Payment Date
apply funds on deposit in various Indenture Trust Accounts to satisfy the
Co-Issuers’ payment obligations in accordance with Section 11.1(c)
through (e) hereof.

(c)           On each
Payment Date, the Indenture Trustee shall apply funds on deposit in the Hedge
Agreement Expense Payment Account, Operating Expense Payment Account, Insurer
Premium Expense Payment Account, Interest Payment Account for each Series of
Notes, Fee Payment Account for each Series of Notes and the Insurer
Reimbursement Account according to the following:

(i)            to
the extent of funds available on deposit in the Hedge Agreement Expense Payment
Account, first, ratably, on the basis of the
respective amounts due, payments of all Series Hedge Agreement Payment Amounts
and, second, ratably on the basis of the
respective amounts due, payment of any such amounts due and unpaid with respect
to previous Payment Dates (if any) and third, ratably,
on the basis of the respective amounts due, payments of all Series Hedge
Agreement Termination Payment Amounts;

(ii)           to
the extent of funds available on deposit in the Operating Expense Payment
Account, first, ratably, on the basis of the
respective amounts due, payment of the Operating Expense Payment Amount and, second, ratably, on the basis of the respective amounts due,
payment of any such amounts due and unpaid with respect to previous Payment
Dates (if any);

(iii)          to
the extent of funds available in the Insurer Premium Expense Payment Account, first, ratably, on the basis of the respective amounts due,
payment of any Senior 

 104
 

Series Insurer Premium Payable Amount in respect of any
Senior Series of Notes plus any such
amount due and unpaid with respect to previous Payment Dates and Overdue
Interest accrued and unpaid with respect thereto; second,
ratably, on the basis of the respective amounts due, payment of any Senior
Subordinated Series Insurer Premium Payable Amount in respect of any Senior
Subordinated Series of Notes plus any such
amount due and unpaid with respect to previous Payment Dates and Overdue
Interest accrued and unpaid with respect thereto, and third,
ratably, on the basis of the respective amounts due, payment of any Subordinated
Series Insurer Premium Payable Amount in respect of any Subordinated Series of
Notes plus any such amount due and unpaid
with respect to previous Payment Dates and Overdue Interest accrued and unpaid
with respect thereto;

(iv)          with
respect to each Series of Notes, to the extent of funds available in, first, the Interest Payment Account relating to each Series
of Notes, and, second, the Interest Reserve
Account relating to each Series of Notes, payment of (1) first,  the Series Interest Payment Amount, (2) second, any such amounts due and unpaid relating to previous
Payment Dates (if any), (3) third, any
Overdue Interest accrued and unpaid relating to previous Payment Dates, and (4)
fourth, the Series Additional Interest
Payment Amount due on such Payment Date, and, paid in accordance with this
subsection 11.1(c), provided, that,
no portion of the Series Additional Interest Payment Amount for any Series of
Notes shall be paid with funds on deposit in any Interest Reserve Account;

(v)           with
respect to each Series of Notes, to the extent of funds available in the Fee
Payment Account relating to each Series of Notes, payment of (1) first, the Series Fee Payment Amount relating to such Series
of Notes that is payable on such Payment Date and (2) second,
any such amount due and unpaid relating to previous Payment Dates (if any); and

(vi)          to
the extent of funds available in the Insurer Reimbursement and Expense Account,
payment of (1) first, ratably, on the basis of
the respective amounts due, the Senior Series Insurer Reimbursement and Expense
Payment Amount and any accrued and unpaid Overdue Interest thereon, (2) second, ratably, on the basis of the respective amounts due,
the Senior Subordinated Series Insurer Reimbursement and Expense Payment Amount
and any accrued and unpaid Overdue Interest thereon, and (3) third, ratably, on the basis of the respective amounts due,
the Subordinated Series Insurer Reimbursement and Expense Payment Amount and
any accrued and unpaid Overdue Interest thereon.

(d)           On each
Payment Date, with respect to any Series of Notes, the Indenture Trustee shall
distribute funds on deposit in the Principal Payment Account for such Series of
Notes and, only in the case of clause (i), clause
(ii) or clause (iii) of this Section
11.1(d), the Trigger Reserve Account for such Series of Notes,
according to the following priority of payments:

(i)            if
such Payment Date is on or after the Series Anticipated Repayment Date for any
Series of Notes, payment of the Series Outstanding Principal Amount for such

 105
 

Series of Notes (or, to the extent of funds available, a
portion thereof, paid ratably, to Noteholders based on their respective share
of the Aggregate Outstanding Principal Amount for such Series of Notes);

(ii)           if
the Notes of any Series are subject to Mandatory Redemption, payment of an
amount equal to the Mandatory Redemption Amount to Noteholders as a reduction
in the Series Outstanding Principal Amount, allocated ratably among such
Noteholders based on their respective shares of the Aggregate Outstanding
Principal Amount for such Series of Notes; provided, that
funds on deposit in such Principal Payment Account solely because of the
occurrence of the first Series DSCR Mandatory Redemption Event for such Series
of Notes shall not be paid to Noteholders until the earlier of the fourth
Payment Date (in contemplation of a potential cure of the underlying Mandatory
Redemption Event) immediately succeeding the Mandatory Redemption Determination
Date relating to such Series DSCR Mandatory Redemption Event and any earlier
Payment Date on which such Series Debt Service Coverage Ratio is less than the
Series Minimum Debt Service Coverage Ratio;

(iii)          if
an Event of Default has occurred and is continuing or the Aggregate Outstanding
Principal Amount of the Notes has been declared due and payable pursuant to Section
5.2, and such declaration has not been rescinded or annulled in accordance
with Section 5.2, payment of all funds on deposit in the Trigger Reserve
Account and Principal Payment Account for each Series of Notes to the
Noteholders of each such Series of Notes as a reduction in the Series
Outstanding Principal Amount for each Series of Notes, allocated among
Noteholders ratably based on their respective share of the Aggregate
Outstanding Principal Amount for such Series of Notes; provided, that any amounts
on deposit in the Trigger Reserve Account and Principal Payment Account for
each Series of Notes as a result of liquidation of Collateral shall be applied
to any amounts due and payable under this Indenture in a manner consistent with
the allocation and payment priority of Section 10.9 (provided that no residual may be paid under Section 10.9 or
11.1 until all monthly obligations are paid in full and all principal of the
Notes is retired) prior to payment specified in this Section 11.1(d)(iii);

(iv)          if
the Notes of any Series are subject to Optional Redemption, payment of an
amount equal to the Optional Redemption Amount to Noteholders of such Series of
Notes as a reduction in the Series Outstanding Principal Amount and to the
Insurer (as applicable); and

(v)           payment
to Noteholders of any Series of Notes as a reduction of the Aggregate
Outstanding Principal Amount, of any Defective Asset Damages Amount Payments
deposited to the Principal Payment Account relating to such Series of Notes
since the immediately preceding Payment Date, allocated among Noteholders
ratably based on their respective share of the Aggregate Outstanding Principal
Amount for such Series of Notes.

(e)           (i)            On
each Payment Date, with respect to any Series of Notes, the Indenture Trustee
shall withdraw the Series Trigger Reserve Release Amount from the Trigger
Reserve Account relating to such Series of Notes and deposit such funds into
the Collections

 106

Account
for allocation in accordance with Section 10.9 if (A) such Payment Date
is prior to the Series Anticipated Repayment Date for such Series of Notes and
(B) a Series Trigger Reserve Release Event has occurred; provided,
that the funds shall remain in the Trigger Reserve Account until otherwise
applied in accordance with this Section 11.1(e)(i).

(ii)           On
each Payment Date, so long as no Default or Event of Default has occurred or is
continuing, with respect to any Series of Notes for which a Series DSCR
Mandatory Redemption Event has been cured on the preceding Accounting Date in
accordance with Section 9.1, so long as no subsequent Mandatory Redemption Event has
occurred or is continuing as provided hereunder, the Indenture Trustee shall withdraw from the
Principal Payment Account of such Series of Notes any and all funds deposited
to such Principal Payment Account only because of the occurrence of such Series
DSCR Mandatory Redemption Event and deposit such funds into the Collections
Account for allocation in accordance with Section 10.9;

(iii)          On
each Payment Date, so long as no Default or Event of Default has occurred or is
continuing, with respect to any Series of Notes, the Indenture Trustee shall
withdraw the Series Interest Reserve Release Amount from the Interest Reserve
Account relating to such Series of Notes and deposit such funds into the
Collections Account for allocation in accordance with Section 10.9 if a
Series Interest Reserve Release Event has occurred.

ARTICLE XII

REPORTS

Section 12.1   Reports and Instructions to
Indenture Trustee.

(a)           Weekly Servicer’s Report.  By 12:00 p.m. (noon)(New York City time) on
the day prior to each Weekly Allocation Date, the Issuer shall furnish, or
cause to be furnished, to the Indenture Trustee, the Rating Agencies and each
Insurer a weekly servicer report substantially in the form of Exhibit J hereto (each, a “Weekly Servicer’s Report”).

(b)           Monthly Servicer’s Certificate.  On or before the third Business Day prior to
each Payment Date, the Issuer shall furnish, or cause to be furnished, to the
Indenture Trustee, each Insurer, the Rating Agencies and the Paying Agent a
certificate substantially in the form of Exhibit K (each, a “Monthly Servicer’s
Certificate”) with a monthly
servicer report substantially in the form of Exhibit L
hereto, including a certification to the effect that, except as otherwise
provided in any other notice hereunder, no Servicer Termination Event, Event of
Default or Default has occurred or is continuing (each, a “Monthly Servicer’s
Report”).

(c)           Monthly
Noteholders’ Statement. 
On or before the second Business Day prior to each Payment Date, the
Issuer shall furnish, or cause to be furnished, to the Indenture Trustee, any
Initial Purchaser of Notes, the Rating Agencies and each Insurer a Monthly
Noteholders’ Statement with respect to each Series of Notes substantially in
the form set forth in Exhibit M or provided in the applicable Series Supplement
(each, a “Monthly Noteholders’ Statement”).

 107
 

(d)           Annual Accountants’ Reports.  As soon as available to the Issuer pursuant
to Section 3.3 of the Servicing Agreement, the Issuer shall furnish, or
cause to be furnished, to the Indenture Trustee, the Rating Agencies and each
Insurer the reports of the Independent Accountants required to be delivered to
the Issuer by the Servicer thereunder.

(e)           Issuer and Co-Issuer Financial Statements.  The Issuer and the Co-Issuer shall furnish,
or cause to be furnished, to the Indenture Trustee, Series Controlling Party
and the Rating Agencies the following financial statement:

(i)            [RESERVED]

(ii)           as
soon as available and in any event within one hundred and twenty (120) days
after the end of each fiscal year, audited consolidated balance sheets of each
of the Securitization Entities as of the end of such fiscal year and audited
consolidated statements of income, changes in member’s equity and cash flows of
each of the Securitization Entities for such fiscal year, setting forth in
comparative form the figures for the previous fiscal year prepared in
accordance with GAAP and accompanied by an opinion thereon of the Independent
Accountants stating that such audited financial statements present fairly, in
all material respects, the financial position of the companies being reported
on and their results of operations and have been prepared in accordance with
GAAP.

(f)            IHOP Corp. Financial Statements.  The Issuer shall furnish to the Indenture
Trustee, each Series Controlling Party (so long as such Series Controlling
Party is an Insurer) and the Ratings Agencies with respect to each Series of
Notes Outstanding the following financial statements:

(i)            as
soon as available and in any event within forty five (45) days after the end of
each of the first three quarters of each fiscal year, an unaudited consolidated
balance sheet of IHOP Corp. as of the end of each of the first three quarters
of each fiscal year and unaudited consolidated statements of income, changes in
shareholders’ equity and cash flows of IHOP Corp. for the period commencing at
the end of the previous fiscal year and ending with the end of such quarter;
and

(ii)           as
soon as available and in the event within one hundred and twenty (120) days
after the end of each fiscal year, an audited consolidated balance sheet of
IHOP Corp. as of the end of each fiscal year and audited consolidated
statements of income, changes in shareholders’ equity and cash flows of IHOP
Corp. for such fiscal year, setting forth in comparative form the figures for
the previous fiscal year, prepared in accordance with GAAP and accompanied by
an opinion thereon of independent public accountants of recognized national
standing stating such audited consolidated financial statements present fairly,
in all material respects, the financial position of the companies being
reported on and their results of operations and have been prepared in
accordance with GAAP.

(g)           Additional Information.  The Issuer will furnish, or cause to be
furnished, from time to time such additional information regarding the
Collateral or compliance with 

 108
 

the covenants and other agreements of any
Securitization Entity under the Transaction Documents as the Indenture Trustee
or any Series Controlling Party may reasonably request, subject at all times to
compliance with the Exchange Act, the Securities Act and any other applicable
law by IHOP Corp., the Servicer, IHOP Holdings and any Securitization Entity.

(h)           Instructions as to Withdrawals and Payments.  The Issuer or the Servicer will furnish, or
cause to be furnished, to the Indenture Trustee or the Paying Agent, as applicable,
written instructions to make withdrawals and payments from the Collections
Account and any other Trust Account, as contemplated herein and in any Series
Supplement.  The Indenture Trustee and
the Paying Agent shall promptly follow any such written instructions.

(i)            Electronic Distribution.  Notwithstanding anything to the contrary
herein, the certificates, statements, reports and other information to be
furnished pursuant to this Section 12.1 may be furnished in electronic
form complying with technological requirements reasonably acceptable to the
recipient thereof.

Section 12.2   Annual
Noteholders’ Tax Statement.  Unless
otherwise specified in the applicable Series Supplement, on or before January
31 of each calendar year, beginning with calendar year 2008, the Paying Agent
shall furnish to each Person who at any time during the preceding calendar year
was a Noteholder a statement prepared by the Issuer containing the information
which is required to be contained in the Monthly Noteholders’ Statements with
respect to each Series of Notes aggregated for such calendar year or the applicable
portion thereof during which such Person was a Noteholder, together with such
other customary information (consistent with the treatment of the Notes as
indebtedness) as the Issuer deems necessary or desirable to enable the
Noteholders to prepare their tax returns (each such statement, an “Annual Noteholders’ Tax
Statement”).  Such obligations of the Issuer to prepare and
the Paying Agent to distribute the Annual Noteholders’ Tax Statement shall be
deemed to have been satisfied to the extent that substantially comparable
information shall be provided by the Paying Agent pursuant to any requirements
of the Code as from time to time in effect.

Section 12.3   Rule
144A Information. For so long as any of the Notes are “restricted
securities” within the meaning of Rule 144(a)(3) under the Securities Act, the
Co-Issuers agree to provide to any Noteholder or Note Owner and to any
prospective purchaser of Notes designated by such Noteholder or Note Owner upon
the request of such Noteholder or Note Owner or prospective purchaser, any
information required to be provided to such holder or prospective purchaser to
satisfy the conditions set forth in Rule 144A(d)(4) under the Securities Act.

Section 12.4   Reports,
Financial Statements and Other Information to Noteholders.  The Indenture Trustee will make the Monthly
Servicer’s Reports and the Monthly Noteholders’ Statements available each month
to Noteholders, Note Owners, each Insurer and the Ratings Agencies via the
Indenture Trustee’s internet website with the use of a password provided by the
Indenture Trustee to the Noteholders, Note Owners, each Insurer and the Rating
Agencies.  The Indenture Trustee’s
website will initially be located at www.CTSLink.com or such other
address as the Indenture Trustee notifies such parties from time to time.  Assistance in using the website can be
obtained by calling the Indenture Trustee’s customer service desk at (301)
815-6600. The Indenture Trustee shall have no obligation to provide such
information 

 109
 

described in this Section 12.4 until it has
received the requisite information from the Co-Issuers or the Servicer.  The Indenture Trustee will make no
representation or warranties as to the accuracy or completeness of such
documents and will assume no responsibility therefore.  In connection with providing access to the
Indenture Trustee’s Internet website, the Indenture Trustee may require
registration and the acceptance of a disclaimer.  The Indenture Trustee shall not be liable for
the dissemination of information in accordance with this Indenture.

Section 12.5   Servicer.  Pursuant to the Servicing Agreement, the
Servicer has agreed to provide certain reports, instructions and other services
on behalf of the Issuer and the Co-Issuer. 
The Noteholders by their acceptance of the Notes consent to the
provision of such reports to the Indenture Trustee by the Servicer in lieu of
the Issuer or the Co-Issuer.  Any such
reports that are required to be delivered to the Noteholders hereunder shall be
delivered by the Indenture Trustee.  The
Indenture Trustee shall have no obligation whatsoever to verify, reconfirm or
recalculate any information or material contained in any of the reports, financial
statements or other information delivered to it pursuant to this Article XII or the Servicing Agreement.  All distributions, allocations, remittances
and payments to be made by the Indenture Trustee or the Paying Agent hereunder
or under any Supplement or Variable Funding Note Purchase Agreement shall be
made based solely upon the most recently delivered written reports and
instructions provided to the Indenture Trustee or Paying Agent, as the case may
be, by the Servicer (subject to Section 6.1(c)).

Section 12.6   Standard
of Conduct.  In exercising any of its
or their voting rights, rights to direct and consent or any other rights as a
Holder under this Indenture, subject to the terms and conditions of this
Indenture, a Holder or Holders shall not have any obligation or duty to any
Person or to consider or take into account the interests of any Person and
shall not be liable to any Person for any action taken by it or them or at its
or their direction or any failure by it or them to act or to direct that an
action be taken, without regard to whether such action or inaction benefits or
adversely affects any Holder, the Co-Issuers, or any other Person, except for
any liability to which such Holder may be subject to the extent the same
results from such Holder taking or directing an action or failing to take or
direct an action, in bad faith or in violation of the express terms of this
Indenture.

Section 12.7   Right
to List of Holders.  Any Holder shall
have the right, upon five (5) Business Days’ prior notice to the Indenture
Trustee, to obtain a complete list of Holders.

ARTICLE XIII

HEDGE AGREEMENTS

Section 13.1   Hedge
Agreements.  The Co-Issuers shall
enter into a Series Hedge Agreement in connection with the issuance of any
Series Notes as provided in the applicable Series Supplement.  The Co-Issuers shall Grant its rights under
each Series Hedge Agreement to the Indenture Trustee pursuant to the Granting
Clauses hereof.

Section 13.   Terms
of Hedge Agreements Contained in Series Supplement.  The Co-Issuers’ obligation to enter into and
maintain any Series Hedge Agreement with respect to any Series of Notes, and
the principal terms of each such Series Hedge Agreement, shall be as 

 110
 

provided in the applicable Series Supplement.  Neither the Issuer nor the Co-Issuer shall enter
into a Series Hedge Agreement in connection with any Series of Notes nor may
any Hedge Counterparty be granted any third party beneficiary rights hereunder
unless (i) the Series Hedge Agreement fully hedges all interest obligations in
respect of such Series of Notes and (ii) the Aggregate Controlling Party has
consented as to form and substance of the Series Hedge Agreement.

Section 13.3   Hedge
Counterparties.  Any hedge
counterparty under a Series Hedge Agreement shall be required to satisfy the
following rating requirements (the “Required Ratings”)
at the time that the related Series Hedge Agreement is entered into:

(i)            if a Series Hedge
Counterparty has only a long-term rating by Moody’s, such Series Hedge
Counterparty will be required to have a long-term debt rating by Moody’s of at
least “A1” (and, if such rating is “A1,” such Series Hedge Counterparty may not
be on credit watch for a possible downgrade of such rating);

(ii)           if a Series Hedge
Counterparty has both long-term and short-term ratings by Moody’s, such Series
Hedge Counterparty will be required to have both (x) a long-term debt rating by
Moody’s of at least “A2” (and, if such rating is “A2,” such rating is not on
credit watch for a possible downgrade) and (y) a short-term debt rating by Moody’s
of at least “P-2” (and, if such rating is “P-2,” such Series Hedge Counterparty
is not on credit watch for a possible downgrade of such rating); and

(iii)          such Series Hedge
Counterparty will be required to have a short-term debt rating by S&P of at
least “A-1” or, if such Series Hedge Counterparty has no short-term rating by
S&P, a long-term rating by S&P of at least “A+”.

If at any time after a Series Hedge Agreement is entered into, the
applicable Series Hedge Counterparty fails to continue to have the Required
Ratings with respect to Moody’s, but a Moody’s Second Trigger Event (as defined
below) has not yet occurred, then such Series Hedge Counterparty shall be
required, at its sole expense, within 30 Business Days following the applicable
downgrade to:

(i)            post collateral in
a segregated account in the amount specified in the relevant Series Hedge
Agreement to secure the Series Hedge Counterparty’s obligations under such
Series Hedge Agreement;

(ii)           obtain a guarantor
that has a Required Rating with respect to Moody’s; or

(iii)          replace itself
under the related Series Hedge Agreement with a substitute Series Hedge
Counterparty that has the Required Ratings with respect to Moody’s or cause
such substitute Series Hedge Counterparty to enter into a substantially
equivalent Series Hedge Agreement with the Co-Issuers.

If at any time after a Series Hedge Agreement is entered into, the
applicable Series Hedge Counterparty has either (A) no short-term Moody’s
rating and a long-term Moody’s rating that is “Baa1” or below or that has been
suspended or withdrawn or (B) both a short-term and long-term Moody’s rating
and either (x) its long-term Moody’s rating is “A3” or below or is 

 111
 

suspended or withdrawn, or (y) its short-term Moody’s
rating is “P-3” or below (such event, a “Moody’s Second Trigger Event”), then such Series Hedge Counterparty will be
required to both (1) obtain a guarantor or replace itself in the manner
described in the preceding clauses (ii) or (iii), as applicable and (2) in the
interim, within 30 Business Days following the applicable downgrade, post
collateral in a segregated account in the amount specified in the relevant
Series Hedge Agreement to secure such Series Hedge Counterparty’s obligations
under such Series Hedge Agreement.

If at any time after a
Series Hedge Agreement is entered into, a Series Hedge Counterparty has a
short-term debt rating by S&P below “A-1” or, if a Series Hedge
Counterparty has no short-term rating by S&P, a long-term rating by S&P
below “A+” or that has been suspended or withdrawn, then such Series Hedge
Counterparty shall be required, at its sole expense, within 30 days, to either:

(i)            post collateral in
a segregated account as required by the relevant Series Hedge Agreement to
secure such Series Hedge Counterparty’s obligations under the relevant Series
Hedge Agreement, in an amount and of the type sufficient to cause the Rating
Agency Condition with respect to S&P to be satisfied and provide an Opinion
of Counsel as to the validity of the security interest in such posted
collateral; or

(ii)           (x) obtain a
guarantor that has a Required Rating with respect to S&P and that will
satisfy the Rating Agency Condition with respect to S&P with respect to its
appointment; (y) replace itself under a substantially equivalent Series Hedge
Agreement with a substitute Series Hedge Counterparty that has a Required
Rating with respect to S&P and the appointment of which will satisfy the
Rating Agency Condition with respect to S&P; or (z) take such other actions
necessary to satisfy the Rating Agency Condition with respect to S&P.

If at any time the long-term S&P rating of a Series Hedge
Counterparty is lowered to below “BBB-”, such Series Hedge Counterparty shall
be required, at its sole expense, to immediately (but within no later than ten
days) replace itself under the related Series Hedge Agreement with a substitute
Series Hedge Counterparty that has a Required Ratings and the appointment of
which will satisfy the Rating Agency Condition with respect to S&P or cause
such substitute Series Hedge Counterparty to enter into a substantially
equivalent Series Hedge Agreement with the Co-Issuers.

ARTICLE XIV

RELEASE OF EXCLUDED ASSETS FROM TRUST ESTATE

Section 14.1   Release
of Excluded Assets from the Trust Estate. 
Upon payment of the applicable Defective Assets Damages Amount in
accordance with the applicable Transaction Document and all other amounts (if
any) required to be paid at such time thereunder relating to any Excluded
Asset, or upon a Refranchising Asset Disposition, a Franchise Asset Termination
or a Property Disposition, each in the ordinary course of business and
otherwise in accordance with the Transaction Documents, the security interest
granted to the Secured Parties under the Granting Clauses in such Collateral shall
automatically terminate and such Collateral 

 112
 

shall be released from the Trust Estate; provided, that the Issuer may dispose of such Collateral
only in accordance with the applicable Transaction Documents.

Section 14.2   Delivery
of Documents by Indenture Trustee. 
The Indenture Trustee shall deliver any such documents as the Issuer or
the Servicer shall reasonably request to evidence the termination of a security
interest in an Excluded Asset or the release of an Excluded Asset from the
Trust Estate.

ARTICLE XV

MISCELLANEOUS

Section 15.1   Form
of Documents Delivered to Indenture Trustee.  In any case where several matters are
required to be certified by, or covered by an opinion of, any specified Person,
it is not necessary that all such matters be certified by, or covered by the
opinion of, only one such Person, or that they be so certified or covered by
only one document, but one such Person may certify or give an opinion with
respect to some matters and one or more other such Persons as to other matters,
and any such Person may certify or give an opinion as to such matters in one or
several documents.

Any certificate of an Authorized Officer of either of
the Co-Issuers or an Opinion of Counsel may be based, insofar as it relates to
legal matters, upon a certificate or opinion of, or representations by,
counsel, unless such Authorized Officer or such Person giving such Opinion of
Counsel knows, or in the exercise of reasonable care should know, that the
certificate or opinion or representations with respect to the matters upon
which his certificate or Opinion of Counsel is based are erroneous.  Any such certificate of an Authorized Officer
of either of the Co-Issuers (as applicable) or Opinion of Counsel may be based,
insofar as it relates to factual matters, upon a certificate or opinion of, or
representations by, either of the Co-Issuers (as applicable), the Servicer or
any other Person, stating that the information with respect to such factual
matters is in the possession of the Issuer, the Servicer or such other Person,
unless such Authorized Officer of either of the Co-Issuers (as applicable) or
such counsel knows that the certificate or opinion or representations with
respect to such matters are erroneous. 
Any Opinion of Counsel may also be based insofar as it relates to
factual matters, upon a certificate or opinion of, or representations by, an
Authorized Officer of either of the Co-Issuers (as applicable) stating that the
information with respect to such matters is in the possession of either of the
Co-Issuers (as applicable) unless such counsel knows that the certificate or
opinion or representations with respect to such matters are erroneous.

Where any Person is required to make, give or execute
two (2) or more applications, requests, consents, certificates, statements,
opinions or other instruments under this Indenture, they may, but need not, be
consolidated and form one instrument.

Whenever in this Indenture it is provided
that the absence of the occurrence and continuation of a Default or Event of
Default is a condition precedent to the taking of any action by the Indenture
Trustee at the request or direction of the Co-Issuers, then, notwithstanding
that the satisfaction of such condition is a condition precedent to the
Co-Issuers’ rights to make such request or direction, the Indenture Trustee
shall be protected in acting in accordance with such 

 113
 

request or direction if a Trust Officer does not have
knowledge of the occurrence and continuation of such Default or Event of
Default as provided in Section 6.1(d).

Section 15.2   Acts
of Holders.  (a)  Any request, demand, authorization,
direction, notice, consent, waiver or other action provided by this Indenture
to be given or taken by the Holders may be embodied in and evidenced by one or
more instruments of substantially similar tenor signed by such Holders in
person or by an agent duly appointed in writing; and, except as herein
otherwise expressly provided, such action shall become effective when such
instrument or instruments are delivered to the Indenture Trustee, and, where it
is hereby expressly required, to the Co-Issuers.  Such instrument or instruments (and the
action or actions embodied therein and evidenced thereby) are herein sometimes
referred to as the “Act” of the Holders
signing such instrument or instruments. 
Proof of execution of any such instrument or of a writing appointing any
such agent shall be sufficient for any purpose of this Indenture and conclusive
in favor of the Indenture Trustee and the Co-Issuers, if made in the manner
provided in this Section 15.2.

(b)           The fact
and date of the execution by any Person of any such instrument or writing may
be proved in any manner which the Indenture Trustee deems sufficient.

(c)           The
principal amount and registered numbers of Notes held by any Person, and the
date of such Person’s holding the same, shall be proved by the Note Register.

(d)           Any
request, demand, authorization, direction, notice, consent, waiver or other
action by the Holder of any Note shall bind the Holder (and any transferee
thereof) of such Note and of every Note issued upon the registration thereof or
in exchange therefor or in lieu thereof, in respect of anything done, omitted
or suffered to be done by the Indenture Trustee or the Co-Issuers in reliance
thereon, whether or not notation of such action is made upon such Note.

Section 15.3   Notices,
etc.  Any request, demand,
authorization, direction, notice, consent, waiver or Act of Holders or other
documents provided or permitted by this Indenture to be made upon, given or
furnished to, or filed with:

(a)           the
Indenture Trustee by any Holder, the Co-Issuers, the Servicer or by each
Insurer shall be sufficient for every purpose hereunder if made, given,
furnished or filed in writing to and mailed, by certified mail, return receipt
requested, hand delivered, sent by overnight courier service guaranteeing next
day delivery or by telecopy in legible form, to Wells Fargo Bank, National
Association, Sixth Street and Marquette Avenue, MAC N9311-161, Minneapolis, MN
55479, Attn: Corporate Trust Services/Asset Backed Administration, or at any
other address previously furnished in writing to the Issuer, the Servicer, each
Insurer or Holders by the Indenture Trustee;

(b)           the Issuer
by the Indenture Trustee, the Servicer, each Insurer or by any Holder shall be
sufficient for every purpose hereunder (unless otherwise herein expressly
provided) if in writing and mailed, first-class, postage prepaid, hand
delivered, sent by overnight courier service or by telecopy in legible form, to
IHOP Franchising, LLC, 450 North Brand 

 114
 

Boulevard, Glendale California 91203, or at any other
address previously furnished in writing to the Indenture Trustee by the Issuer;

(c)           the
Co-Issuer by the Indenture Trustee, the Servicer, each Insurer or by any Holder
shall be sufficient for every purpose hereunder (unless otherwise herein
expressly provided) if in writing and mailed, first class, postage prepaid,
hand delivered, sent by overnight courier service or by telecopy in legible
form, to IHOP IP, LLC, 450 North Brand Boulevard, Glendale California 91203, or
at any other address previously furnished in writing to the Indenture Trustee
by the Co-Issuer;

(d)           the
Servicer by the Co-Issuers, the Indenture Trustee, each Insurer or by any
Holder shall be sufficient for every purpose hereunder if in writing and
mailed, first-class, postage prepaid, hand delivered, sent by overnight courier
service or by telecopy in legible form, to International House of Pancakes,
Inc., 450 North Brand Boulevard, Glendale California 91203, or at any other
address previously furnished in writing to the Co-Issuers, the Indenture
Trustee, each Insurer or the Initial Purchaser;

(e)           Moody’s,
by the Co-Issuers, the Servicer or the Indenture Trustee, shall be sufficient
for every purpose hereunder (unless otherwise herein expressly provided) to
Moody’s at Moody’s Investors Service, Inc., 99 Church Street, New York, New
York 10007, Attn: John Wikoff;

(f)            S&P,
by the Co-Issuers, the Servicer or the Indenture Trustee, shall be sufficient
for every purpose hereunder (unless otherwise herein expressly provided) to
S&P at Standard & Poor’s Ratings Service, 55 Water Street, 42nd Floor,
New York, NY 10041-0003, Attn: ABS Surveillance Group - New Assets
(Servicer_reports@sandp.com); or

(g)           each
Insurer, by the Co-Issuers, the Servicer or the Indenture Trustee shall be
sufficient for every purpose hereunder (unless otherwise provided herein or in
the Insurance Policy or the Insurance Agreement) if in writing and mailed,
first-class, postage prepaid, hand delivered, sent by overnight courier service
or by telecopy in legible form to such Insurer at the address specified in the
applicable Series Supplement, or at any other address previously furnished in
writing to the Co-Issuers, the Servicer or the Indenture Trustee by the
Insurer.

Section 15.1   Notices
to Holders; Waiver.  Except as
otherwise expressly provided herein, where this Indenture provides for notice
to Holders of Notes of any event:

(a)           such
notice shall be sufficiently given to Holders of Notes if in writing and
mailed, first-class, postage prepaid, to each Holder of a Note affected by such
event, at the address of such Holder as it appears in the Note Register, not
earlier than the earliest date and not later than the latest date, prescribed
for the giving of such notice; and

(b)           such
notice shall be in the English language.

Notwithstanding clause (a) above, a
Holder of Notes may give the Indenture Trustee a written notice that it is
requesting that notices to it be given by facsimile transmissions and stating
the telecopy number for such transmission. 
Thereafter, the Indenture Trustee shall give notices to such Holder by
facsimile transmission; provided that
if such notice also requests 

 115
 

that notices be given by mail, then such notice shall
also be given by mail in accordance with clause (a)
above.

The Indenture Trustee shall deliver to the Holders of the Notes any
readily available information required hereunder or notice requested to be so
delivered by at least 25% of the Holders of any Series of Notes.

Neither the failure to mail any notice, nor any defect in any notice so
mailed, to any particular Holder of a Note shall affect the sufficiency of such
notice with respect to other Holders of Notes.

Where this Indenture provides for notice in any manner, such notice may
be waived in writing by any Person entitled to receive such notice, either
before or after the event, and such waiver shall be the equivalent of such
notice.  Waivers of notice by Holders
shall be filed with the Indenture Trustee but such filing shall not be a
condition precedent to the validity of any action taken in reliance upon such
waiver.

In the event that, by reason of the suspension of the regular mail
service as a result of a strike, work stoppage or similar activity, it shall be
impractical to mail notice of any event to Holders when such notice is required
to be given pursuant to any provision of this Indenture, then any manner of
giving such notice as shall be satisfactory to the Indenture Trustee shall be
deemed to be a sufficient giving of such notice.

Section 15.5   Effect
of Headings and Table of Contents. 
The Article and Section headings herein and the Table of Contents are
for convenience only and shall not affect the construction hereof.

Section 15.6   Successors
and Assigns.  All covenants and
agreements in this Indenture by the each of the Co-Issuers shall bind its
successors and assigns, whether so expressed or not.  Any assignment of this Indenture without the
written consent of each Series Controlling Party shall be null and void.

Section 15.7   No
Bankruptcy Petition Against the Securitization Entities.  Each of the Noteholders, the Indenture
Trustee and the other Secured Parties hereby covenants and agrees that, prior
to the date which is one year and one day after the payment in full of the
latest maturing Note, it will not institute against, or join with any other
Person in instituting against, any Securitization Entity any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceedings, or other
proceedings, under any Insolvency Law; provided, however,
that nothing in this Section 15.7 shall constitute a waiver of any right
to indemnification, reimbursement or other payment from the Securitization
Entities pursuant to the Indenture or any other Transaction Document; provided, further, that each Insurer, each Noteholder, the
Indenture Trustee and other Secured Parties may become a party to and
participate in any Proceeding under Insolvency Law applicable to any
Securitization Entity that is initiated by any person that is not an Affiliate
of such Secured Party.  In the event that
any such Noteholder or Secured Party or the Indenture Trustee takes action in
violation of this Section 15.7, each affected Securitization Entity
shall file or cause to be filed an answer with the bankruptcy court or
otherwise properly contesting the filing of such a petition by any such
Noteholder or Secured Party or the Trustee against such 

 116
 

Securitization Entity or the commencement of such
action and raising the defense that such Noteholder or Secured Party or the
Indenture Trustee has agreed in writing not to take such action and should be
estopped and precluded therefrom and such other defenses, if any, as its
counsel advises that it may assert. The provisions of this Section 15.7 shall
survive the termination of the Indenture and the resignation or removal of the
Indenture Trustee.  Nothing contained
herein shall preclude participation by any Noteholder or any other Secured
Party or the Indenture Trustee in the assertion or defense of its claims in any
such proceeding involving any Securitization Entity.

Section 15.8   Confidential
Information.  Each of the parties
hereto acknowledges that during the Term of the Indenture such party may
receive Confidential Information from another party hereto.  Each such party agrees to maintain the
Confidential Information in the strictest of confidence and will not, at any
time, except as otherwise provided in the Transaction Documents, use,
disseminate or disclose any Confidential Information to any person or entity
other than those of its employees or representatives who have a “need to know”,
who have been apprised of this restriction. 
Recipient shall be liable for any breach of this Section 15.7 by
any of its employees or representatives and shall immediately notify Discloser
in the event of any loss or disclosure of any Confidential Information of
Discloser.  Upon termination of this
Indenture, Recipient will return to Discloser, or at Discloser’s request,
destroy, all documents and records in its possession containing the Confidential
Information of Discloser.  Confidential
Information shall not include information that: 
(i) is already known to Recipient without restriction on use or
disclosure prior to receipt of such information from Discloser; (ii) is or
becomes part of the public domain other than by breach of this Agreement by, or
other wrongful act of, Recipient; (iii) is developed by Recipient independently
of and without reference to any Confidential Information; (iv) is received by
Recipient from a third party who is not under any obligation to Discloser to
maintain the confidentiality of such information; or (v) is required to be
disclosed by applicable law, statute, rule, regulation, subpoena, court order
or legal process; provided that the Recipient shall
promptly inform the Discloser of any such requirement and cooperate with any
attempt by the Discloser to obtain a protective order or other similar
treatment.  It shall be the obligation of
Recipient to prove that such an exception to the definition of Confidential
Information exists.

Section 15.9   Separability.  In case any provision in this Indenture or in
the Notes shall be invalid, illegal or unenforceable, the validity, legality,
and enforceability of the remaining provisions shall not in any way be affected
or impaired thereby.

Section 15.10   Benefits
of Indenture.  Nothing in this
Indenture or in the Notes, expressed or implied, shall give to any Person,
other than the parties hereto and their successors hereunder, the Servicer and
the Secured Parties any benefit or any legal or equitable right, remedy or
claim under this Indenture. Each Insurer is an express third party beneficiary
of this Indenture entitled to enforce the provisions hereof as if a party
hereto.

Section 15.11   Legal
Holidays.  In the event that the date
of any Payment Date or Redemption Date shall not be a Business Day, then,
notwithstanding any other provision of the Notes or this Indenture, payment
need not be made on such date, but may be made on the next Business Day with
the same force and effect as if made on the nominal date of any such Payment
Date or Redemption Date, as the case may be. 
With respect to the Notes, interest shall accrue on 

 117
 

any such payment for the period from and after any
such nominal date at the rate applicable to each Series of Notes.

Section 15.12   Governing
Law.  THIS INDENTURE SHALL BE
GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO CHOICE
OF LAW RULES (OTHER THAN SECTION 5-1401 OF THE NEW YORK GENERAL OBLIGATIONS
LAW).

Section 15.13   Submission
to Jurisdiction.  The Issuer,
Co-Issuer and Indenture Trustee hereby, and each Insurer by its execution of a
Series Supplement irrevocably submit to the nonexclusive jurisdiction of any
New York State or federal court sitting in the Borough of Manhattan in The City
of New York in any action or proceeding arising out of or relating to the Notes
or this Indenture, and the Issuer, Co-Issuer and Indenture Trustee hereby, and
each Insurer by each Insurer by its execution of a Series Supplement
irrevocably agree that all claims in respect of such action or proceeding may
be heard and determined in such New York State or federal court.  The Issuer, Co-Issuer and Indenture Trustee
hereby, and each Insurer by each Insurer by its execution of a Series Supplement
irrevocably waive, to the fullest extent that they may legally do so, the
defense of an inconvenient forum to the maintenance of such action or
proceeding.  The Issuer and Co-Issuer
each irrevocably consents to the service of any and all process in any action
or proceeding by the mailing or delivery of copies of such process to it at the
office of its Delaware registered agent. 
The Issuer, Co-Issuer, Indenture Trustee and each Insurer agree that a
final judgment in any such action or proceeding shall be conclusive and may be
enforced in other jurisdictions by suit on the judgment or in any other manner
provided by law.

Section 15.14   Counterparts.  This instrument and any Series Supplement may
be executed in any number of counterparts, each of which so executed shall be
deemed to be an original, but all such counterparts shall together constitute
but one and the same instrument.

[Remainder of this page intentionally left blank]

 118
 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as
of the day and year first above mentioned.

	
  

  	
   

  	
  IHOP FRANCHISING, LLC, as Issuer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ MARK D. WEISBERGER

  
	
   

  	
   

  	
  Name:   Mark D. Weisberger

  
	
   

  	
   

  	
  Title:   Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  IHOP IP, LLC, as Co-Issuer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ MARK D. WEISBERGER

  
	
   

  	
   

  	
  Name:    Mark D. Weisberger

  
	
   

  	
   

  	
  Title:    Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  WELLS FARGO BANK, NATIONAL ASSOCIATION, as Indenture
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ BENJAMIN J. KRUEGER

  
	
   

  	
   

  	
  Name:   Benjamin J. Krueger

  
	
   

  	
   

  	
  Title:   Vice President

  

 

 119

 

APPENDIX
A

DEFINITIONS

“Account Control Agreement”:  Account
Control Agreement (Indenture Trust Accounts) or Account Control Agreement
(Other Accounts).

“Account Control Agreement (Indenture Trust Accounts)”:  The
Account Control Agreement, dated as of the date hereof, among the Issuer, the
Indenture Trustee and the financial institution named therein, relating to the
various Indenture Trust Accounts.

“Account Control Agreement (Other Accounts)”:  The
Lock-Box and Account Control Agreement, dated as of the date hereof, among the
Issuer, the Lock-Box Bank, the Indenture Trustee, the Servicer and the Back-Up
Servicer, relating to the Lock-Box Account, Advertising Funds Account, the
Lease and Reimbursement Payment Account and the Residual Account.

“Accountant’s Certificate”:  A
certificate of a firm of Independent certified public accountants of national
reputation in form and substance acceptable to the Indenture Trustee confirming
the calculation provided for in Section 3.1(h).

“Accountants’ Report”:  A report of a firm of Independent certified
public accountants of national reputation, which may be the firm of Independent
accountants that performs certain accounting services for the Issuer and any of
its Affiliates.

“Accounting Date”:  With respect to any Payment Date, the second
Business Day preceding such Payment Date.

“Accounting Quarter”:
Each consecutive quarterly period consisting of thirteen (13) (or, with respect
to the final quarterly period of each seventh calendar year, fourteen (14))
consecutive Weekly Collections Allocation Periods, commencing in December or
January and ending in December or January of each calendar year.

“Act”:  The meaning specified in Section 15.2.

“Additional Notes”:  Any Notes issued after the Closing Date.

“Additional Issuance Series DSCR Threshold”: With respect to any Series of Notes, as set forth
in the applicable Series Supplement.

“Additional Securitization Entity”:  Any
subsidiary (direct or otherwise) of the Issuer or other Securitization Entity
formed after the Closing Date.

“Adjusted Collections”:
In respect of each Monthly Collection Period, the product
of (a) the quotient of three hundred and sixty five
(365) divided by twelve (12) and (b) the quotient of (i) the difference
between (A) all Collections received by the Issuer during such Monthly
Collection Period minus the Defective Asset Damages
Amount Payments and (B) the sum of all
amounts allocated or paid in accordance with Section 10.9(a)(I)(A), 

 A-1
 

Section 10.9(a)(I)(C), Section
10.9(a)(I)(D), Section 10.9(a)(I)(E), Section 10.9(a)(II), Section
10.9(c), Section 10.9(d) and Section 10.9(e)  divided by (ii) the actual number of calendar days elapsed
during such Monthly Collection Period. 

“Adjusted IHOP Corp. Consolidated Leverage Condition”: Either (A) (i) the Issuance Date is before the
Payment Date occurring in September 2007; (ii) the Issuance Date is on or after
the Payment Date occurring in September 2007 but before the Payment Date
occurring in March 2008 and at least 50% of the Type 2 Property Leases
categorized as such on the Closing Date have been re-categorized as Type 1
Property Leases; (iii) the Issuance Date is on or after the Payment Date
occurring in March 2008 but before the Payment Date occurring in September 2008
and at least 80% of Type 2 Property Leases categorized as such on the Closing
Date have been re-categorized as Type 1 Property Leases; or (iv) the Issuance
Date is on or after the Payment Date occurring in September 2008 and at least
90% of the Type 2 Property Leases categorized as such on the Closing Date have
been re-categorized as Type 1 Property Leases; or (B) the Adjusted IHOP Corp.
Consolidated Leverage Condition Amount is less than or equal to the Aggregate
Outstanding Principal Amount giving effect to the proposed issuance of Notes
(assuming in such determination that any variable funding note Outstanding is
fully drawn).

“Adjusted IHOP Corp. Consolidated Leverage Condition Amount”: As relating to any Payment Date or any other
date, as determined on the immediately preceding Accounting Date, the product of (A) the hypothetical amount of aggregate Debt of
IHOP Corp. and all of its Affiliates which would cause the IHOP Corp.
Consolidated Leverage Ratio to equal the Series IHOP Corp. Consolidated
Leverage Ratio Threshold and (B) the quotient of (i)
the total number of Restaurants subject to Type 1 Property Leases and (ii) the
total number of Restaurants.

“Advertising Fees”:
Franchise Advertising Fees and License Advertising Fees.

“Advertising Funds Account”:  The
account at the Lock-Box Bank designated as the “Advertising Funds Account”
established pursuant to the Account Control Agreement (Other Accounts) among
the Issuer, the Indenture Trustee, the Servicer, the Back-Up Servicer and the
Lock-Box Bank or any successor commercial bank as set forth in Section 10.2.

“Advertising Funds”:  Advertising Fees collected from Franchisees
and Area Licensees.

“Affiliate” or “Affiliated”:  With
respect to any specified Person, any other Person that, directly or indirectly
through one or more intermediaries, controls or is controlled by, or is under
common control with, such specified Person. 
For the purposes of this definition, “control” when used with respect to
any specified Person means the power to direct the management and policies of
such Person, directly or indirectly, whether through the ownership of voting
securities or other beneficial interest, by contract or otherwise; and the
terms “controlling” and “controlled” have the meanings correlative to the
meaning of “control.”

“After-Acquired IP Assets”:  (a) Any
variations on, and applications and registrations for, the IHOP Brand not in
existence as of the Closing Date and (b) any Intellectual Property, worldwide,
that is created, developed or acquired by the Issuer, IHOP Corp., the Servicer,
IHOP Holdings or any other Securitization Entity or any Affiliate of the
foregoing after 

 A-2
 

the date hereof and during the term of the IP License
Agreement that (i) relates to any business, products or services offered under
the IHOP Brand or (ii)  is based on or derivative
of the IP Assets.

“Agent Members”:  Members of, or participants in, DTC.

“Aggregate Controlling Party”:  A Majority
of all Senior Series of Notes Outstanding or, if no Senior Series of Notes is
Outstanding, a majority of all Senior Subordinated Series of Notes Outstanding,
or, if no Senior Series of Notes or Senior Subordinated Series of Notes is
Outstanding, a majority of all Subordinated Notes Outstanding; provided that in determining such Majority with respect to
any Series of Notes for which an Insurer is the Series Controlling Party such
Insurer shall be entitled to vote the entire Aggregate Outstanding Principal
Amount relating to such Series of Notes unless otherwise provided in the
applicable Series Supplement; provided, further,
that for any variable funding Series of Notes, the Aggregate Outstanding
Principal Amount, for purposes of this definition, shall include the drawn
amount and the undrawn amount of the maximum possible Aggregate Outstanding
Principal Amount.

“Aggregate Controlling Party Order”:  A written
order or request signed on behalf of the Aggregate Controlling Party.

“Aggregate Outstanding Principal Amount”:  With
respect to any Series of Notes or otherwise, the aggregate principal amount
Outstanding at the date of determination.

“Annual Noteholders’ Tax Statement”:  The
meaning specified in Section 12.2.

“Area License Agreements”: 
Collectively, Existing Area License Agreements and New Area License
Agreements.

“Area Licensees”:  Any Person who is a licensee under an Area
License Agreement.

“Asset Contribution Agreements”: Collectively, (i) the Asset
Contribution Agreement (the “IP Asset Contribution Agreement”), dated as of the date hereof, between the Issuer
and the Co-Issuer, (ii) the Asset Contribution Agreement (the “Property Leasing II
Asset Contribution Agreement”),
dated as of the date hereof, between IHOP Inc. and IHOP Property Leasing II,
Inc., (iii) the Asset Contribution Agreement (the “IHOP
Realty Asset Contribution Agreement”), dated as of the date hereof, between IHOP Inc.
and IHOP Properties, Inc. and (iv) the Asset Contribution Agreement (the “Properties Asset
Contribution Agreement”), dated as
of the date hereof, among IHOP Inc., IHOP Property Leasing, Inc. and IHOP Corp.

“Asset Sale Agreements”: Collectively, (i) the Asset Sale
Agreement (“Parent
Asset Sale Agreement”), dated as of
the date hereof, between IHOP Inc. and IHOP Holdings, (ii) the Asset Sale
Agreement (“IHOP
Holdings Asset Sale Agreement”),
dated as of the date hereof, between IHOP Holdings and the Issuer, (iii) the
Asset Sale Agreement (“Owned Real Property Asset Sale Agreement”), dated as of the date hereof, between IHOP
Holdings and IHOP Real Estate, (iv) the Asset Sale Agreement (“Type 1 Property
Lease Asset Sale Agreement”), dated
as of the date hereof, among IHOP Properties, IHOP Realty, LLC and IHOP
Property Leasing, Inc.,

 A-3
 

(v) the Asset Sale Agreement (the “IHOP Realty Type
2 Asset Sale Agreement”), dated as
of the date hereof, between IHOP Realty and IHOP Properties, Inc., (vi) the
Asset Sale Agreement (“Modified Type 2 Lease Asset Sale Agreement”),
dated as of the date hereof, between IHOP Properties, LLC and IHOP Property
Leasing, Inc., and (vii) the Asset Sale Agreement (“Lease
Subsequent Asset Sale Agreement”), dated as of the date hereof, among IHOP Inc.,
IHOP Property Leasing II, LLC, IHOP Property Leasing, LLC, IHOP Properties, LLC
and IHOP Corp.

“Asset Transfer Agreements”: 
Collectively, the Asset Sale Agreements and the Asset Contribution
Agreements.

“Assignments of Rents”:  Collectively, the IHOP Property Leasing
Assignments of Rents and the IHOP Real Estate Assignments of Rents.

“Authenticating Agent”:  With respect to the Notes or a Series of
Notes, the Person designated by the Indenture Trustee to authenticate such
Notes on behalf of the Indenture Trustee pursuant to Section
6.14 hereof.

“Authorized Minimum Denominations”:  The
minimum denominations in which each Series of Notes shall be issuable under
this Indenture and transferable, which shall be $200,000 and integral multiples
of $1,000 in excess thereof.

“Authorized Officer”:  With respect to either of the Co-Issuers, any
Officer (or attorney-in-fact appointed by either of the Co-Issuers) who is
authorized to act for either of the Co-Issuers, respectively, in matters
relating to, and binding either of the Co-Issuers, respectively.  With respect to the Servicer, the Chief
Executive Officer, Chief Financial Officer, Treasurer, Directors, Comptroller,
the General Counsel or the Director of Finance or any other Officer of the
Servicer who is directly responsible for managing the servicing of the relevant
Franchise Asset or for administering the transactions relevant to such event or
otherwise authorized to act for the Servicer in matters relating to, and
binding upon, the Servicer with respect to the subject matter of the request,
certificate or order in question.  With
respect to the Indenture Trustee or any other bank or trust company acting as
trustee of an express trust or as custodian, a Trust Officer.  Each party may receive and accept a
certification of the authority of any other party as conclusive evidence of the
authority of any person to act, and such certification may be considered as in
full force and effect until receipt by such other party of written notice to
the contrary.

“Back-Up Servicer”:  FTI Consulting Inc., in its capacity as back
up servicer pursuant to the Back Up Servicing Agreement, and any successor back
up servicer.

“Back-Up Servicing Agreement”:  The
Back-Up Servicing Agreement, dated as of the date hereof, among the Co-Issuers,
IHOP Property Leasing, IHOP Properties, IHOP Real Estate, the Servicer, the
Indenture Trustee and the Back-Up Servicer.

“Bankruptcy Code”:  The federal Bankruptcy Code, Title 11 of the
United States Code, as amended.

“Breach”:  The meaning specified in Section
5.1(a)(xii).

 A-4
 

“Business Day”:  Any day other than a Saturday or Sunday on
which commercial banks and foreign exchange markets settle payments in each of
The City of New York and any other city in which the Corporate Trust Office of
the Indenture Trustee is located and in the case of the final payment of
principal of any Note, the place of presentation of such Note.

“Calculation Agent”:  The meaning specified in Section 7.10(a).

“Capped Operating Expense Allocation Amount”: For any Weekly Allocation Date that occurs either
(x) during each annual period beginning on the Closing Date and ending on the
first anniversary of the Closing Date, and (y) each annual period beginning
with the annual period following the first anniversary of the Closing Date, the
lesser of (i) the Operating Expense
Allocation Amount and (ii) the amount by which $500,000 (or $650,000 following
the occurrence of an Event of Default) exceeds the aggregate Operating Expenses
already paid during such annual period; provided, however that prior to the occurrence of an Event of Default,
up to $85,000 of the Capped Operating Expense Allocation Amount shall be
allocated to the Indenture Trustee Fees; provided, further that following the occurrence of an Event of
Default, up to $235,000 of the Capped Operating Expense Allocation Amount shall
be allocated to the Indenture Trustee Fees.

“Cash”:  Such coin or currency of the United States of
America as at the time shall be legal tender for payment of all public and
private debts.

“Certificate of Authentication”:  The
meaning specified in Section 2.1.

“Clearing Agency”:  An organization registered as a “clearing agency” pursuant to Section 17A of the
Exchange Act.

“Clearstream”:  Clearstream Banking, société
anonyme, a corporation organized under the laws of the Grand Duchy
of Luxembourg.

“Closing Date”:  March 16, 2007.

“Code”:  The Internal Revenue Code of 1986, as
amended, reformed or otherwise modified form time to time, and any successor
statute of similar import, in each case as in effect from time to time, and
references to sections of the Code also refer to any successor sections.

“Co-Indenture Trustee”:  The meaning specified in Section 6.11.

“Co-Issuer Certificate of Formation”:  The
Certificate of Formation of the Co-Issuer, dated November 22, 2006, as amended,
modified or supplemented from time to time.

“Co-Issuer Limited Liability Company Agreement”:  The
Limited Liability Company Agreement of the Co-Issuer, dated as of the date
hereof, as amended, modified or supplemented from time to time.

“Collateral”:  The meaning specified in the Granting Clauses
of this Indenture.

 A-5
 

“Collections Account”:  The trust account (account no. 21499501)
established pursuant to Section 10.2.

“Collections”:  With respect to any period, all amounts
received by or for the account of the Issuer or the Co-Issuer during such
period, including without limitation, (i) Franchise Payments, License Payments,
Development Payments, IHOP Operated Restaurant Sub-licensing Fees, Lease
Payments, Equipment Lease Payments, Franchisee Note Payments and Franchisee
Insurance Proceeds, plus (ii)
Investment Income (net of losses and expenses) earned, plus
(iii) Series Hedge Agreement Receipts, plus (iv) Defective Asset Damages Amount
Payments, plus (v) Credit Agreement Payments, plus (vi) any dividends received from IHOP Property Leasing,
IHOP Properties and IHOP Real Estate; plus (vii) any
other amounts payable to or for the account of the Issuer or the Co-Issuer in
connection with any Licensed Business or otherwise received by the Issuer or
the Co-Issuer; provided that Collections will
not include Excluded Amounts; provided, further,
Collections shall also include the Pre-Closing Net Collections Payment made by
the Servicer to the Issuer within one Business Day of the Closing Date pursuant
to the Servicing Agreement.

“Company Order”
and “Company
Request”:  A written order or request, as the case may
be, dated and signed in the name of each of the Co-Issuers by an Authorized
Officer of each of the Co-Issuers, or by an Authorized Officer of the Servicer
pursuant to the Servicing Agreement.

“Competitor”: Any Person that is a direct or indirect
franchisor, franchisee, licensee, owner or operator of a large regional or
national family restaurant serving the ‘breakfast daypart’ (as such term is
commonly used in the restaurant industry), including but not limited to a
Franchisee or Area Licensee; provided, however, that a Person
shall not be a Competitor solely by virtue of its direct or indirect ownership
of less than five (5) percent of the equity interests in a “Competitor”; provided,
further that a franchisee or a licensee shall only be a “Competitor” if
it, or its Affiliates, directly or indirectly owns, franchise or licenses in
the aggregate ten or more individual locations of a particular concept.

“Confidential Information”:  Trade
secrets and other information (including know how, ideas, techniques, customer
lists, customer information, business methods and processes, marketing plans,
specifications, and other similar information) that is confidential and
proprietary to its owner and that is disclosed by one party hereto (the “Discloser”) to another party hereto (the “Recipient”) in writing or other tangible form and
designated as confidential, or, if disclosed orally, is identified as
confidential and is confirmed in writing thereafter.

“Consolidated Net Income”: With respect to any Person for any period, the
net income of such Person and its subsidiaries (whether positive or negative),
determined in accordance with GAAP, for that period.

“Consolidated Net Interest Expense”:  With
respect to any Person for any period, total interest expense, whether paid or
accrued (including the interest component of capital leases), of such Person
and its subsidiaries, including, without limitation, all commissions, discounts
and other fees and charges owed with respect to letters of credit and net costs
under interest rate contracts and foreign exchange contracts, and amortization
of discount, but 

 A-6
 

excluding interest expense not payable in cash
(including interest accruing on deferred compensation obligations) other than
amortization of discount, all as determined in conformity with GAAP.

“Contributed Asset Purchase Funds”: Funds received by the Issuer
specifically designated for the acquisition by the applicable Securitization
Entity of Converted Type 3 Assets or Franchise Assets after the Closing Date in
accordance with the applicable Transaction Documents.

“Contributed Optional Redemption Amount Funds”: The meaning specified in Section 9.2(a).

“Controlled Group”:  With respect to any Person, such Person,
whether or not incorporated, and any corporation, trade, business, organization
or other entity that is, along with such Person, treated as a single employer
under Sections 414(b), (c), (m) or (o) of the Code or Section 4001(a)(14) of
ERISA.

“Converted Type 3 Assets”: Any Type 3 Assets relating to
Converted Type 3 IHOP Restaurants.

“Converted Type 3 IHOP Restaurant”: Any IHOP Restaurant
identified by IHOP Inc. from time to time after the Closing Date, that was a
Type 3 IHOP Restaurant as of the Closing Date, and as to which the related Type
3 Assets has become eligible for inclusion in the Securitization Transaction.

“Copyrights”:  The meaning specified in the definition of
Intellectual Property.

“Corporate Trust Office”:  The
principal corporate trust office of the Indenture Trustee, currently located at
Sixth Street and Marquette Avenue, MAC N9311-161, Minneapolis, MN 55479, Attn:
Corporate Trust Services/Asset Backed Administration, or such other address as
the Indenture Trustee may designate from time to time by notice to the Holders,
each Insurer (if such Insurer is then a Series Controlling Party in relation to
a Series of Notes), each Rating Agency and the Co-Issuers or the principal
corporate trust office of any successor Indenture Trustee.

“Credit Agreement Notes” Collectively, (1) the note relating to the Type 1
Property Lease Credit Agreement, dated as of the Closing Date and (2) the note
relating to the Owned Real Property Credit Agreement, dated as of the Closing
Date, each as may be amended, restated, replaced, supplemented or otherwise
modified from time to time.

“Credit Agreement Payments”:  All monies
whether characterized as interest, principal or otherwise received by or for
the account of the Issuer after the Cut-off Date pursuant to the Credit
Agreements.

“Credit Agreements”:  Collectively, the Type 1 Property Lease
Credit Agreement and the Owned Real Property Credit Agreement.

 A-7
 

“Cumulative Debt Service Coverage Ratio”:  As
relating to any Payment Date or any other date, as determined as of the
immediately preceding Accounting Date, the quotient
of  (A) Adjusted Collections for the
Monthly Collection Periods preceding such Accounting Date and the prior two (2)
Accounting Dates divided by (B) the sum of all Series Debt Service to be paid on the current
Payment Date and all Series Debt Service payable on the immediately preceding
two (2) Payment Dates; provided, however that with respect to any Accounting Date prior to
the third Accounting Date after the Closing Date, the Cumulative Debt Service
Coverage Ratio shall be the product of
three (3) multiplied by the average of such
quotient calculated in respect of the first one or two (as applicable) Monthly
Collection Period(s).

“Cut-Off Date”:  The Closing Date.

“Debt”: As
applied to any Person, means, without duplication, (a) all indebtedness for
borrowed money in any form, including derivatives, (b) that portion of
obligations with respect to any lease of any property (whether real, personal
or mixed) that is properly classified as a liability on a balance sheet in
conformity with GAAP, including all capitalized lease obligations incurred by
such Person, (c) notes payable, (d) any obligation owed for all or any part of
the deferred purchase price for property or services, which purchase price is
(i) due more than six months from the date of the incurrence of the obligation
in respect thereof or (ii) evidenced by a note or similar written instrument
(other than an earn out obligation until such obligation becomes a liability on
the balance sheet of such Person under GAAP), (e) all indebtedness secured by
any Lien on any property or asset owned by that Person or is nonrecourse to the
credit of that Person and (f) all contingent obligations of such Person in
respect of the foregoing. 
Notwithstanding the foregoing, Debt shall not include any liability for
federal, state, local or other Taxes owed or owing to any governmental entity.

“Default”:  With respect to the Notes, any Event of
Default or any occurrence that with notice or the lapse of time or both would
become an Event of Default.

“Defective Asset Damages Amount Payments”:  With
respect to any Weekly Collections Allocation Period, payments paid to the
Issuer in the amount specified in Section 2.7(b) of the Servicing
Agreement or 6.5 of Annex A to any Asset Sale Agreement payable according to
the provisions thereof.

“Defective Asset Payment Series DSCR Threshold”: With respect to any Series of Notes, as specified
in the applicable Series Supplement.

“Definitive Note”:  The meaning specified in Section 2.2(c).

“Development Agreements”: 
Collectively, the Single Store Development Agreements and Multi-Store
Development Agreements.

“Development Payments”:  Payments relating to all of the Issuer’s
rights to receive payments under the Development Agreements including, without
limitations, (i) the location fees receivable from franchisees under Single
Store Development Agreements and (ii) development fees receivable from
franchisees under the Multi-Store Development Agreements.

“Discloser”:  The meaning set forth in the definition of
Confidential Information.

 A-8
 

“Disqualified Transferee”:  The
meaning specified in Section 2.5(l).

“Distribution Compliance Period”:  With
respect to the issuance of securities, the period of time until and including
the 40th day after the later of (i) the commencement of the distribution
thereof and (ii) the Closing Date.

“Distribution Payments”:  Payments received from distributors of food
products used in restaurants in connection with the sales of Proprietary
Products to Franchisees.

“Dollar” or “$” or “U.S.$”:  A dollar or other equivalent unit in such
coin or currency of the United States of America that, at the time shall be
legal tender for all debts, public and private.

“DTC”:  The Depository Trust Company, its nominees,
and their respective successors.

“EBITDA”: With
respect to any Person for any period, the difference between (1) sum of (A)
Consolidated Net Income of such Person and its subsidiaries for such period,
and (B) to the extent any of the following are deducted in calculating such
Consolidated Net Income: (i) Consolidated Net Interest Expense for such period,
(ii) federal, state, local and foreign income taxes payable for such period,
(iii) non-cash losses from the sale of fixed assets not in the ordinary course
of business and other non-cash extraordinary or non-cash nonrecurring items,
(iv) non-cash stock based compensation expense for such period, (v)
depreciation and amortization as accounted for under GAAP, and (vi) impairment
losses on assets incurred during such period; and (2) to the extent added in
calculating such Consolidated Net Income, gains from the sale of fixed assets
not in the ordinary course of business and other extraordinary or nonrecurring
items.

“EBITDAR”:  For each Payment Date, or any other date, as
determined as of the immediately preceding Accounting Date, the sum of (A) EBITDA for each of the last 12 calendar months,
and (B) the IHOP Corp. Operating Lease Payments for each of the last calendar
12 months.

“Eligible Investments”:  The investments listed in Schedule 2.

“Entitlement Holder”:  The meaning specified in Section 8-l02(a)(7)
of the UCC.

“Environmental Law”:  Any and all laws, rules, order, regulations,
statutes, ordinances, guidelines, codes, decrees, agreements or other legally
enforceable requirements (including, without limitation, common law) of any
international authority, foreign government, the Untied States, or any state,
local, municipal or other governmental authority, regulating, relating to or
imposing liability or standards of conduct concerning protection of the
environment or of human health, or employee health and safety, as has been, is
now, or may at any time hereafter be, in effect.

“Environmental Permits”:  Any and all permits, licenses, approvals,
registrations, notifications, exemptions and other authorizations required
under any Environmental Law.

 A-9
 

“EoD Series DSCR Threshold”: With respect to any Series of Notes, as specified
in the applicable Series Supplement.

“Equipment Lease Payments”:  Payments
received by or for the account of the Issuer after the Cut-Off Date pursuant to
the Equipment Leases and Payments of Principal and Interest received by or for
the account of the Issuer after the Cut-Off Date pursuant to the related lease
notes.

“Equipment Leases”:  Collectively, the Existing Equipment Leases
and New Equipment Leases, along with the residual interest, if any, in the
related equipment and the security interest in such equipment.

“ERISA”: The
Employee Retirement Income Security Act of 1974, as amended, and any successor
statute of similar import, in each case as in effect from time to time, and
references to sections of ERISA also refer to any successor sections.

“Euroclear”:  Euroclear Bank S.A./N.V., as operator of the
Euroclear system.

“Event of Bankruptcy”:
An event which shall be deemed to have occurred with respect to any Person if:

(a)           a case or other
proceeding shall be commenced, without the application or consent of such
Person, in any court, seeking the liquidation, reorganization, debt
arrangement, dissolution, winding up, or composition or readjustment of debts
of such Person, the appointment of a trustee, receiver, custodian, liquidator,
assignee, sequestrator or the like for such Person or all or any substantial
part of its assets, or any similar action with respect to such Person under any
law relating to bankruptcy, insolvency, reorganization, winding up or
composition or adjustment of debts, and such case or proceeding shall continue
undismissed, or unstayed and in effect, for a period of sixty (60) consecutive
days; or an order for relief in respect of such Person shall be entered in an
involuntary case under the federal bankruptcy laws or other similar laws now or
hereafter in effect; or

(b)           such Person shall
commence a voluntary case or other proceeding under any applicable bankruptcy,
insolvency, reorganization, debt arrangement, dissolution or other similar law
now or hereafter in effect, or shall consent to the appointment of or taking
possession by a receiver, liquidator, assignee, trustee, custodian,
sequestrator (or other similar official) for such Person or for any substantial
part of its property, or shall make any general assignment for the benefit of
creditors; or

(c)           the board of
directors or board of managers (or similar body) of such Person shall vote to
implement any of the actions set forth in clause (b)
above.

“Event of Default”:  The meaning specified in Section 5.1.

“Exchange Act”:  The United States Securities Exchange Act of
1934, as amended.

 A-10
 

“Excluded Amounts”:
Advertising Funds, Franchisee Insurance Restoration Receipts and Type 2
Franchisee Payments.

“Excluded Asset”:  Any Defective New Assets and Defective
Existing Assets as defined in the Servicing Agreement for purposes of Section
2.7(b) of the Servicing Agreement, upon payment of the applicable Defective
Assets Damages Amount, and all other amounts, if any, required to be paid at
such time under the applicable Transaction Document.

“Existing Area License Agreements”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Equipment Leases”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Franchise Agreements”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Franchisee Leases”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Franchisee Notes”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Franchisee Subleases”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Multi-Store Development Agreements”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Product Sourcing Agreements”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Property Lease”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Single Store Development Agreements”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Type 1 Franchisee Sublease”:  The meaning specified in the Parent Asset Sale Agreement.

“Existing Type 2 Property Lease”:  The meaning specified in the Parent Asset Sale Agreement.

“Fee Payment Account”:
With respect to each Series of Notes, the trust account established pursuant to
Section 10.6.

“Final Order”:  The meaning specified in the applicable
Insurance Policy.

 A-11

“Financing Statements”:  Financing statements relating to the
Collateral naming the Issuer or Co-Issuer (as applicable) as debtor and the
Indenture Trustee on behalf of the Secured Parties as the secured party.

“Foreign/Type 3 IP License Agreement”: The Intellectual
Property License Agreement (Foreign/Type 3), dated as of the date hereof,
between IHOP Inc. and the IP Company, as amended, modified or supplemented from
time to time.

“Franchise Advertising Fees”:  Weekly advertising fees, consisting of fees
due to the Issuer under the Franchise Agreements relating to advertising,
promotions and other marketing activities.

“Franchise Agreements”:  Collectively, the Existing Franchise
Agreements and New Franchise Agreements.

“Franchise Assets”:  The meaning specified in the Granting
Clauses.

“Franchise Asset Termination”: The expiration
of any Franchise Asset in the ordinary course of business.

“Franchise Documents”:  All Franchise Agreements, Area License
Agreements, Development Agreements, Franchise Notes, Equipment Leases, Property
Leases, Franchisee Leases, Franchisee Subleases, Product Sourcing Agreements
and other agreements to which the Former Franchisor or its Affiliates, the
Issuer and/or a Franchisee or Area Licensee is a party in connection with the
franchise system, together with any modifications, amendments, extensions or
replacements of the foregoing.

“Franchisee”: 
Any Person who is a franchisee under a Franchise Agreement.

“Franchisee Insurance Policy”: Any insurance
policy or policies required to be maintained by a Franchisee or Area Licensee
for the benefit of the Issuer or any of its Affiliates, whether direct or
indirect and whether or not the Issuer or any of its Affiliates is an
additional insured, pursuant to the Franchise Agreements and/or Area License
Agreements.

“Franchisee Insurance Proceeds”: Any amounts
paid upon settlement of a claim filed under a Franchisee Insurance Policy, net
of direct fees, out of pocket costs and disbursements incurred in connection
with the collection thereof.

“Franchisee Insurance Proceeds Account”:  The trust account (account no. 21499502)
established pursuant to Section 10.2.

“Franchisee Insurance Restoration Payment
Allocation Amount”:  Franchisee
Insurance Proceeds received by the Issuer since the previous Weekly Allocation
Date that in the Servicer’s reasonable business judgment will be used for the
physical restoration of destroyed or damaged property or is otherwise owed to
the relevant lessee in accordance with the Franchisee Insurance Policy.

 A-12
 

“Franchisee Insurance Restoration Payments”:  Payments to service providers or lessees (as
applicable) pursuant to the applicable agreement relating to the restoration or
compensation for (as applicable) destroyed or damaged property.

“Franchisee Insurance Restoration Receipts”:  Funds received from insurance providers
relating to the restoration of or compensation for (as applicable) destroyed or
damaged property in accordance with the relevant Franchisee Insurance Policy.

“Franchisee Leases”:  Collectively, Existing Franchisee Leases and
New Franchisee Leases.

“Franchisee Note Payments”:  Payments of principal and interest by
Franchisees to the Issuer pursuant to the Franchisee Notes.

“Franchisee Notes”:  Collectively, the Existing Franchisee Notes
and New Franchisee Notes.

“Franchise Fees”:  The meaning specified in the definition of
Franchise Payments.

“Franchise Payments”:  All of the franchise payments received by or
for the account of the Issuer after the Cut-Off Date, including all of the
Issuer’s rights to receive payments under the Franchise Agreements, including,
without limitation, (i) the initial franchise fees under Franchise
Agreements (the “Franchise Fees”), (ii) the Weekly franchise royalty
fees, consisting of royalty payments due the Issuer pursuant to the Franchise
Agreements (the “Franchise Royalties”), and (iii) the fees relating to
the transfer or renewal of a franchise (the “Franchise Transfer/Renewal Fees”)
and (v) interest on late payments; provided, however,
that Franchise Advertising Fees shall not constitute a Franchise Payment.  Franchise Fees are payable by a franchisee
solely upon the signing of the Franchise Agreement and may be subject to
reduction against any payment of location fee or development fee under the
applicable Development Agreement and previous deposits made by the franchisee
with respect to any of the foregoing.

“Franchise Royalties”:  The meaning specified in the definition of
Franchise Payments.

“Franchise Royalty Rate”:  A fixed percentage of the gross revenues as
determined under the applicable Franchise Agreement of a Franchisee’s IHOP
Franchised Restaurant.

“Franchise Transfer/Renewal Fees”:  The meaning specified in the definition of
Franchise Payments.

“Franchisor”: 
The Issuer in its capacity as the franchisor under the Franchise
Agreements.

“GAAP”: 
Generally accepted accounting principles in the United States.

“Global Notes”: 
The meaning specified in Section 2.2(d).

 A-13
 

“Grant”: 
To grant, hypothecate, mortgage, pledge, create and grant a security
interest in and right of set off against, deposit, set over and confirm.  A Grant of the Collateral (including the
Franchise Assets or any other agreement, security or instrument) shall include
all rights, powers and options (but none of the obligations) of the granting
party thereunder, including without limitation the immediate continuing right
to claim for, collect, receive and receipt for principal, interest and fee
payments in respect of the Collateral (including the Franchise Assets or any
other agreement, security or instrument), and all other Cash payable
thereunder, to give and receive notices and other communications, to make
waivers or other agreements, to exercise all rights and options, to bring
Proceedings in the name of the granting party or otherwise, and generally to do
and receive anything that the granting party is or may be entitled to do or
receive thereunder or with respect thereto.

“Hedge Agreement Allocation Amount”:  With respect to the first three Weekly
Allocation Dates of each Payment Date Period, an amount equal to one-third of
the Series Hedge Agreement Payment Amount that will be payable on the
immediately succeeding Payment Date as determined by the Servicer in its
business judgment and any such amount due for allocation but not allocated on
previous Weekly Allocation Dates.  With
respect to the fourth and, if applicable, fifth Weekly Allocation Date of each
Payment Date Period, an amount equal to the portion (if any) of the Series
Hedge Agreement Payment Amount that will be payable on next Payment Date with
respect to which an allocation was not made on the previous Weekly Allocation
Dates for such Payment Date Period and previous Payment Date Periods.

“Hedge Agreement Termination Payment Allocation
Amount”:  With respect to the first
three Weekly Allocation Dates of each Payment Date Period, an amount equal to
one-third of the Series Hedge Agreement Termination Payment Amount that will be
payable on the immediately succeeding Payment Date as determined by the
Servicer in its business judgment and any such amount due for allocation but
not allocated on previous Weekly Allocation Dates.  With respect to the fourth and, if
applicable, fifth Weekly Allocation Date of each Payment Date Period, an amount
equal to the portion (if any) of the Series Hedge Agreement Termination Payment
Amount that will be payable on next Payment Date with respect to which an
allocation was not made on the previous Weekly Allocation Dates for such
Payment Date Period and previous Payment Date Periods.

“Hedge Counterparty”:  The counterparty to the Co-Issuers with
respect to any Series Hedge Agreement.

“Hedge Agreement Expense Payment Account”:  The trust account established and specified
as such pursuant to Section 10.4.

“Hedge Guarantor”:  Any Person that absolutely, unconditionally
and irrevocably guarantees the obligations of any Hedge Counterparty under a
Series Hedge Agreement.

“Holder”: 
With respect to any Note, the Person in whose name such Note is
registered in the Note Register.

 A-14
 

“IHOP Brand”: 
The name and mark “IHOP” or “INTERNATIONAL HOUSE OF PANCAKES”,
alone or in combination with other words or symbols, any variation or
derivative thereof, and any names and marks confusingly similar thereto.

“IHOP Corp.”: 
IHOP Corp., a Delaware corporation.

“IHOP Corp. Consolidated Leverage Ratio”:  As relating to any Payment Date or any other
date, as determined as of the immediately preceding Accounting Date, the quotient of (A) the sum of (i)
aggregate Debt outstanding in respect of IHOP Corp. and all of its Affiliates
as of the immediately preceding Payment Date and (ii) the product
of (a) 96 and (b) IHOP Corp. Operating Lease Payments and (B) EBITDAR (assuming
in such determination that any variable funding note Outstanding is fully
drawn).

“IHOP Corp. IP License Agreement” means the
IHOP Corp. IP License Agreement, dated as of the Closing Date, between IHOP.
Corp., as licensee, and the IP Holder, as licensor, as amended, modified or
supplemented from time to time.

“IHOP Corp. Operating Lease Payments”:  As relating to any Payment Date or any other
date, as determined on the immediately preceding Accounting Date, the total
rent expense paid during the calendar month immediately preceding such
Accounting Date on Type 1 Property Leases and Type 2 Property Leases that are
accounted for as operating leases in conformity with GAAP, in each case as
reported on the financial statements of IHOP Corp.

“IHOP Franchised Restaurant”:  Restaurants other than IHOP Operated
Restaurants.

“IHOP Holdings”:  IHOP Holdings, LLC, a Delaware limited
liability company.

“IHOP Holdings Asset Sale Agreement”:  The meaning specified in the definition of
Asset Transfer Agreements.

“IHOP Holdings Certificate of Formation”:  The Certificate of Formation of IHOP
Holdings, dated November 22, 2006, as amended, modified or supplemented from
time to time.

“IHOP Holdings Limited Liability Company Agreement”:  The Limited Liability Company Agreement of
IHOP Holdings, dated as of the date hereof, as amended, modified or
supplemented from time to time.

“IHOP Inc.”: 
International House of Pancakes, Inc., a Delaware corporation.

“IHOP Operated Restaurants”:  Restaurants owned and/or operated by IHOP
Inc. on or after the Closing Date.

“IHOP Operated Restaurant Sub-license Agreement”:
The Sub-license Agreement, dated as of the Closing Date, between IHOP Inc. and
the Issuer, as amended, modified or supplemented from time to time.

 A-15
 

“IHOP Operated Restaurant Sub-licensing Fees”:  The license fees payable under the IHOP
Operated Restaurant Sub-license Agreement by IHOP Inc. to the Issuer with
respect to the IHOP Operated Restaurants received by the Issuer after the
Cut-Off Date.

“IHOP Properties”:  IHOP Properties, LLC, a Delaware limited
liability company and successor by merger to IHOP Properties, Inc., a
pre-existing California corporation.

“IHOP Properties Certificate of Conversion”:  The Certificate of Conversion of IHOP
Properties, dated as of the date hereof,as amended, modified or supplemented
from time to time.

“IHOP Properties Certificate of Formation”:  The Certificate of Formation of the IHOP
Properties, dated as of the date hereof, as amended, modified or supplemented
from time to time.

“IHOP Properties Limited Liability Company
Agreement”:  The Limited Liability
Company Agreement of IHOP Properties, dated as of the date hereof, as amended,
modified or supplemented from time to time.

“IHOP Property Leasing”:  IHOP Property Leasing, LLC, a Delaware
limited liability company.

“IHOP Property Leasing II”:  IHOP Property Leasing II, LLC, a Delaware
limited liability company.

“IHOP Property Leasing II, Inc.” means IHOP
Property Leasing II, Inc., a Delaware corporation to which IHOP Properties and
IHOP Realty will sell all of the Type 3 Leasehold Assets on the Closing Date.

“IHOP Property Leasing Assignments of Rents”:  The Assignments of Rents delivered by IHOP
Property Leasing to the Issuer in the forms attached as Exhibits A-1 and A-2 to
the Type 1 Property Lease Credit Agreement to be executed, delivered and filed
in the manner set forth therein.

“IHOP Property Leasing Certificate of Formation”:  The Certificate of Formation of the IHOP
Property Leasing, dated November 22, 2006, as amended, modified or supplemented
from time to time.

“IHOP Property Leasing, Inc.”: IHOP Property
Leasing, Inc., a newly formed Delaware corporation and subsidiary of IHOP Inc.,
which will merge and into IHOP Property Leasing, LLC.

“IHOP Property Leasing Limited Liability Company
Agreement”:  The Limited Liability
Company Agreement of IHOP Property Leasing, dated as of the date hereof, as
amended, modified or supplemented from time to time.

“IHOP Real Estate”:  IHOP Real Estate, LLC, a Delaware limited
liability company.

 A-16
 

“IHOP Real Estate Assignments of Rents”:  The assignments of rents on all of the rents
under the Franchisee Leases delivered by IHOP Real Estate to the Issuer as
security for its obligations under the Owned Real Property Credit Agreement.

“IHOP Real Estate Certificate of Formation”:  The Certificate of Formation of IHOP Real
Estate, dated November 22, 2006, as amended, modified or supplemented from
time to time.

“IHOP Real Estate Limited Liability Company
Agreement”:  The Limited Liability
Company Agreement of IHOP Real Estate, dated as of the date hereof, as amended,
modified or supplemented from time to time.

“IHOP Realty”: IHOP Realty Corp., a Delaware
corporation, and following conversion to a Delaware limited liability company,
IHOP Realty, LLC.

“IHOP Realty Asset Contribution Agreement”:  The meaning specified in the definition of
Asset Contribution Agreements.

“IHOP Realty Type 2 Asset Sale Agreement”:  The meaning specified in the definition of
Asset Sale Agreements.

“Indenture”: 
Collectively, this Base Indenture as amended, modified or supplemented
from time to time and each Series Supplement executed pursuant to Section
2.3(c) hereof, as amended, modified or supplemented from time to time.

“Indenture Trust Accounts”:  The Collections Account, the Franchisee
Insurance Proceeds Account, the Expense Payment Accounts, the Principal Payment
Account relating to any Series of Notes, the Interest Payment Account relating
to each Series of Notes, the Interest Reserve Account relating to each Series
of Notes, the Fee Payment Account relating to each Series of Notes and Trigger
Reserve Account relating to each Series of Notes established pursuant to Article
X of this Indenture.

“Indenture Trustee”:  Wells Fargo Bank, National Association,
unless a successor Person shall have become the Indenture Trustee pursuant to
the applicable provisions of this Indenture, and thereafter “Indenture Trustee”
shall mean such successor Person.

“Indenture Trustee Fee”: Fees, expenses and
costs payable to the Indenture Trustee.

“Independent”: 
As to any Person, any other Person (including, in the case of an
accountant, or lawyer, a firm of accountants or lawyers and any member thereof
or an investment bank and any member thereof) who (i) does not have and is not
committed to acquire any material direct or any material indirect financial
interest in such Person or in any Affiliate of such Person, and (ii) is not connected
with such Person or an Affiliate of such Person as an Officer, employee,
promoter, underwriter, voting trustee, partner, director or Person performing
similar functions.  “Independent” when
used with respect to any accountant may include an accountant who audits the
books of such Person if, in addition to satisfying the criteria set forth 

 A-17
 

above, the accountant is
independent with respect to such Person within the meaning of Rule 101 of the
Code of Ethics of the American Institute of Certified Public Accountants.

Whenever any Independent Person’s opinion or
certificate is to be furnished to the Indenture Trustee, such opinion or
certificate shall state that the signer has read this definition and that the
signer is independent within the meaning hereof.

“Initial Purchaser”:  With respect to any Series of Notes, an
initial purchaser specified in the applicable Series Supplement.

“Insolvency Law”:  Any applicable federal, state or provincial
law relating to liquidation, insolvency, bankruptcy, rehabilitation,
composition, reorganization, conservation or other similar law now or hereafter
in effect.

“Insurance Agreement”:  With respect to any Series of Notes, the
insurance agreement (if any) dated as of the execution date of the Series
Supplement relating to such Series of Notes, among the Co-Issuers, the Insurer
specified in the Series Supplement relating to such Series of Notes, the
Indenture Trustee and such other parties as may execute and deliver such
agreement, as amended, modified or supplemented from time to time.

“Insurance Policy”:  With respect to any Series of Notes, the
financial guaranty insurance policy (if any), dated as of the execution date
for the Series Supplement relating to such Series of Notes, issued by the
Insurer specified in the Series Supplement relating to such Series of Notes for
the benefit of the Indenture Trustee, on behalf of the Holders of outstanding
Notes relating to such Series of Notes.

“Insured Obligations”:  The meaning specified in the applicable
Insurance Policy.

“Insurer”: 
With respect to any Series of Notes, as specified in the applicable
Series Supplement.

“Insurer Event
of Default”:  With respect to any
Series of Notes insured by an Insurer, the occurrence and continuance of any of
the following events:

(a)           the
Insurer relating to such Series of Notes shall have failed to make a payment
required under the applicable Insurance Policy in accordance with its terms and
such failure has continued for two (2) Business Days;

(b)           the
Insurer relating to such Series of Notes shall have (i) filed a petition or
commenced any case or proceeding under any provision or chapter of the
Bankruptcy Code or any other similar federal or state law relating to
insolvency, bankruptcy, rehabilitation, liquidation or reorganization, (ii) made
a general assignment for the benefit of its creditors, or (iii) had an order
for relief entered against it under the Bankruptcy Code or any other similar
federal or state law relating to insolvency, bankruptcy, rehabilitation,
liquidation or reorganization which is final and nonappealable; or

(c)           a
court of competent jurisdiction, the New York Department of Insurance or other
competent regulatory authority shall have entered a final and nonappealable
order, 

 A-18
 

judgment or decree (i)
appointing a custodian, trustee, agent or receiver for the Insurer relating to
such Series of Notes or for all or any material portion of its property or (ii)
authorizing the taking of possession by a custodian, trustee, agent or receiver
of such Insurer (or the taking of possession of all or any material portion of
the property of such Insurer).

“Insurer Expenses”:  With respect to any Series of Notes, all
expenses, cost, indemnification amounts and any other amounts  payable to the Insurer relating to such
Series of Notes pursuant to the terms of the applicable Insurance Agreement.

“Insurer Make-Whole Premium”:  With respect to any Series of Notes, as
specified in the relevant Series Supplement.

“Insurer Premium Allocation Amount”:  With respect to the first three Weekly Allocation
Dates of each Payment Date Period and for any Series Outstanding, (i) an amount
equal to one-third of the Series Insurer Premium Payable Amount that will be
payable on the immediately succeeding Payment Date and (ii) any such amount due
for allocation but not allocated on previous Weekly Allocation Dates, including
any Insurer Premium Allocation Amount due and unpaid for previous Payment Date
Periods.  With respect to the fourth and,
if applicable, fifth Weekly Allocation Date of each Payment Date Period, an
amount equal to the portion (if any) of the Series Insurer Premium Payable
Amount that will be payable on the immediately succeeding Payment Date with
respect to which the full Series Insurer Premium Payable Amount has not been
allocated on any of the previous Weekly Allocation Dates for such Payment Date
Period.

“Insurer Premium Expense Payment Account”:  The trust account established and specified
as such pursuant to Section 10.4.

“Insurer Reimbursement and Expense Payment Account”:  The trust account established and specified
as such pursuant to Section 10.4.

“Intellectual Property”:  All (i) Trademarks, (ii) patents and
industrial designs (including any continuations, divisionals, continuations in
part, renewals, reissues, and applications for any of the foregoing) (“Patents”),
(iii) rights in computer programs, documentation and databases, including
copyrights therein (“Software”); (iv) copyrights and copyrights in
unpublished and published works (“Copyrights”), (v) trade secrets and
other confidential information including but not limited to recipes, operating
procedures, proprietary software and documentation and know-how and (vi) any
registration, applications for registration or issuance, recordings, renewals
and extensions relating to any of the foregoing.

“Interest Accrual Period”:  With respect to each Series of Notes, the
period from and including the Closing Date to but excluding the first Payment
Date, and each successive period from and including each Payment Date to but
excluding the following Payment Date until the principal of such Series of
Notes is paid in full or made available for payment.

“Interest Determination Date”:  The date as of which the Note Interest Rate
for any Series of Notes is determined for any Interest Accrual Period (which
shall be, except in regard to the first Interest Accrual Period for any Series
of Notes, the Accounting Date immediately preceding the Payment Date on which
such Interest Accrual Period begins).

 A-19
 

“Interest Payment Account”:  With respect to each Series of Notes, the
trust account established pursuant to Section 10.5.

“Interest Reserve Account”:  With respect to each Series of Notes, the
trust account established pursuant to Section 10.7.

“Investment Company Act”:  The United States Investment Company Act of
1940, as amended.

“Investment Income”:  The investment income earned by the Company
on a specified account during a specified period, in each case net of all
losses and expenses allocable thereto.

“IP Asset Contribution Agreement”:  The meaning set forth in the definition of
Asset Contribution Agreements.

“IP Assets”: 
The IHOP Brand and all (i) Intellectual Property relating to the IHOP
Brand owned by the Co-Issuer as of the date hereof including, but not limited
to, the Intellectual Property transferred to the Co-Issuer pursuant to the
applicable Asset Transfer Agreements and (ii) any After-Acquired IP Assets.

“IP License Agreement”:  The Intellectual Property License Agreement,
dated as of the Closing Date, between the Co-Issuer and the Issuer, as amended,
modified or supplemented from time to time.

“IP Lien Filings”:  Instruments substantially in the form of
Exhibit Q hereto, granting a lien in the Copyrights, Patents and Trademarks
included in the IP Assets and owned by the Issuer or Co-Issuer (the “IP
Security Agreements”), that have been duly executed to the extent that the
Co-Issuers own the related type of Intellectual Property registration or
application and name the appropriate Co-Issuer as the grantor and the Indenture
Trustee as the secured party and other instruments or documents as may be
reasonably necessary or desirable under the laws of any appropriate
jurisdiction, in the United States to evidence, perfect, protect and record in
the appropriate Intellectual Property registry, the Indenture Trustee’s
security interest granted under this Indenture in the IP Assets.

“IP Security Agreement”:  The meaning specified in the definition of IP
Lien Filings.

“Issuance Date”:  The Closing Date and any other date on which
the Co-Issuers issue Notes pursuant to this Base Indenture and the applicable
Series Supplement.

“Issuer”: 
IHOP Franchising, LLC, a Delaware limited liability company.

“Issuer Assets”:  Franchise Assets owned by the Issuer (and
excluding any Franchise Assets owned by any other Securitization Entity).

“Issuer Certificate of Formation”:  The Certificate of Formation of the Issuer,
dated November 22, 2006, as amended, modified or supplemented from time to
time.

 A-20
 

“Issuer Limited Liability Company Agreement”:  The Limited Liability Company Agreement of
the Issuer, dated as of the date hereof, as amended, modified or supplemented
from time to time.

“Lease and Reimbursement Payment Account”:  The account at the Lock-Box Bank designated
as the “Lease and Reimbursement Payment Account” established pursuant to the
Account Control Agreement (Other Accounts) among the Issuer, the Indenture
Trustee, the Servicer, the Back-Up Servicer and the Lock-Box Bank, or any
successor commercial bank as set forth in Section 10.2.

“Leasehold Mortgage(s)”: A mortgage(s), deed(s)
of trust, or other real property security instrument (each, a “Security
Instrument”), given by IHOP Property Leasing (or an Affiliate thereof) to the
Issuer, encumbering a leasehold or ground leasehold estate in real property or
real properties held by IHOP Property Leasing (or such Affiliate) pursuant to a
Property Lease, in the form attached to, and securing its obligations under,
the Type 1 Property Lease Credit Agreement, which Security Instrument shall
only be recorded upon the occurrence of the earlier of (a) the Cumulative Debt
Service Coverage Ratio determined on any Accounting Date being less than 2.0x
or (b) an Event of Default, a Servicer Termination Event, a Mandatory
Redemption Event relating to any Series of Notes, an event of default under the
Type 1 Property Lease Credit Agreement or an event which, with the lapse of
time or giving notice, would constitute the same.

“Lease Payments”:  Payments received by the Issuer pursuant to
the Franchisee Leases and the Type 1 Franchisee Subleases and the Type 2
Franchisee Subleases after the Cut-Off Date.

“Lease Subsequent Asset Sale Agreement”:  The meaning specified in the definition of
Asset Sale Agreements.

“LIBOR”: 
With respect to each Series of Notes, the meaning specified in the
applicable Series Supplement.

“License Advertising Fees”:  The fees relating to advertising, promotions
and other marketing activities due to the Issuer pursuant to the Area License
Agreements.

“Licensed Business”: As defined under the IP
License Agreement.

“Licensed IP”: 
The IP Assets licensed to the Issuer pursuant to the IP License
Agreement.

“License Payments”:  Payments received by or for the account of
the Issuer after the Cut-Off Date relating to the Issuer’s rights to receive
payments under the Area License Agreements, including without limitation, (i)
the license royalty fees due to the Issuer pursuant to the Area License
Agreements (the “License Royalties”), (ii) the fees for the transfer or
renewal of a license (the “License Transfer/Renewal Fees”) and (iii)
interest on late payments.

“License Royalties”:  The meaning specified in the definition of
License Payments.

 A-21

“License Royalty Rate”:  A fixed percentage of the gross revenues as
determined under the applicable Area License Agreement.

“License Transfer/Renewal Fees”:  The
meaning specified in the definition of License Payments.

“Lien”:  All pledges, charges, encumbrances, security
interests or other similar rights.

“LLC Operating Agreement”:  The
Limited Liability Company Operating Agreement of Issuer or Co-Issuer (as
applicable), as amended, modified or supplemented from time to time.

“Lock-Box Account”:  The account at the Lock-Box Bank designated
as the “Lock-Box Account” established pursuant to the Account Control Agreement
(Other Accounts) among the Issuer, the Indenture Trustee, the Servicer, the
Back-Up Servicer and the Lock-Box Bank, or any successor commercial bank as set
forth in Section 10.2  into which all funds  (other than Advertising Funds) received after
the Cut-Off Date are required to be deposited in accordance with the Franchise
Agreements or as otherwise designated by the Servicer.

“Lock-Box Bank”:  Wells Fargo Bank, National Association, Los
Angeles Commercial Banking Office or such other bank designated by the Issuer
and consented to by each Series Controlling Party (for so long as such Series
Controlling Party is an Insurer) or as to which a Rating Agency Notification is
provided (if any Series Controlling Party is not an Insurer).

“Majority”:  With respect to any Series of Notes, the
Holders of more than 50% of the Aggregate Outstanding Principal Amount of the
Notes of such Series.

“Mandatory Redemption Amount”:  The
meaning specified in Section 9.1.

“Mandatory Redemption Date”:  The
meaning specified in Section 9.1.

“Mandatory Redemption Determination Date”: The meaning specified in Section 9.1.

“Material Adverse Effect”:  (i) With
respect to the Servicer, a material adverse effect on (x) its condition,
financial or otherwise, (y) its assets, earnings or business affairs, or (z)
its ability to own its properties or to conduct its business or to enter into
or perform its obligations under the Servicing Agreement or any other
Transaction Document, the Collateral, taken as a whole, or the ability of the
Issuer or the Co-Issuer to perform its obligations under the Transaction
Documents, (ii) with respect to the Trust Estate, a material adverse effect with
respect to (a) any material IP Assets individually or with respect to the IP
Assets taken as a whole, the enforceability of the terms thereof, the
likelihood of the payment of the amounts required with respect thereto in
accordance with the terms thereof, the value thereof, and the security interest
in the rights thereto granted by the Co-Issuer under the terms of the Indenture
or (b) the existing and reasonably anticipated future Franchise Assets taken as
a whole or any other Collateral taken as a whole, the enforceability of the
terms thereof, the likelihood of the payment

 A-22
 

of the amounts required with respect thereto in
accordance with the terms thereof, the value thereof, the ownership thereof by
the Co-Issuers (as applicable) and the security interest in the rights thereto
Granted under the Indenture by each of the Co-Issuers, (iii) with respect to
any of the Securitization Entities, a materially adverse effect on the
business, assets, operations, earnings or condition (financial or otherwise) of
the Securitization Entity or the ability of such Securitization Entity to own
its properties or conduct its business or to perform in any material respect
its obligations under any of the Transaction Documents, or (iv) with respect to
any Person or matter, a material impairment to the rights of or benefits, taken
as a whole, available to the Co-Issuers, the Indenture Trustee, the Noteholders
or any Insurer, if applicable, under any Transaction Document or the
enforceability of any Transaction Document. 
Where such term is used without specific reference, such term shall have
the meaning specified in clauses (i) through (iv), as applicable.  For avoidance of doubt, the fact that the
Cumulative Debt Service Coverage Ratio is then, or would remain, at any
particular ratio shall not, solely in and of itself, preclude or negate the
determination of a Material Adverse Effect in any instance.

“Material Environmental Amount”:  With
respect to any Person, an amount or amounts payable by such Person and/or its
Subsidiaries, in the aggregate in excess of $1,000,000 for (a) costs to comply
with any Environmental Law; (b) costs of any investigation, and any
remediation, of any Material of Environmental Concern and (c) compensatory
damages (including, without limitation, damages to natural resources), punitive
damages, fines and penalties pursuant to any Environmental Law.

“Materials of Environmental Concern”:  Any
gasoline or petroleum (including crude oil or any fraction thereof) or
petroleum products (virgin or unused), polychlorinated biphenyls,
urea-formaldehyde insulation, asbestos, pollutants, contaminants, radioactivity
and any other materials, substances of any kind, whether or not any such
material or substance is defined as hazardous or toxic under any Environmental
Law, that is regulated pursuant to or could reasonably be expected to give rise
to liability under any Environmental Law.

“Maturity”:  With respect to any Note, the date on which
the unpaid principal of such Note becomes due and payable as therein or herein
provided, whether at the Legal Final Maturity Date or by declaration of
acceleration, call for redemption or otherwise.

“Modified Type 2 Lease Asset Sale Agreement”:
The meaning specified in the definition of Asset Sale Agreements.

“Money”:  The meaning specified in Section 1 201(24) of
the UCC.

“Monthly Collection Period”: With respect to each Accounting Quarter, each
period commencing on the first calendar day of the first (1st), fifth (5th) and ninth (9th) Weekly Collections Allocation Periods
and ending on the last calendar day of the fourth (4th), eighth (8th) and thirteenth (13th) Weekly Collections Allocation Periods
during such Accounting Quarter, provided, however, that with respect to each seventh calendar year
following the Closing Date, the final Monthly Collection Period shall end on
the fourteenth (14th)
Weekly Collections Allocation Period.

“Monthly Noteholders’ Statement”:  The
meaning specified in Section 12.1(c).

 A-23
 

“Monthly Servicer’s Certificate”:  The
meaning specified in Section 12.1(b).

“Monthly Servicer’s Report”:  The
meaning specified in Section 12.1(b).

“Moody’s”:  Moody’s Investors Service, Inc., and its
successors in interest.

“Moody’s Second Trigger Event”: The meaning specified in Section 13.3.

“Multiemployer Plan”
A “multiemployer plan” as defined in Section 4001 of ERISA.

“Multi-Store Development Agreements”: 
Collectively, Existing Multi-Store Development Agreements and New
Multi-Store Development Agreements.

“New Area License Agreements”:  Area
license agreements entered into by or transferred to the Issuer after the
Closing Date.

“New Equipment Leases”:  Equipment lease agreements entered into by or
transferred to the Issuer after the Closing Date.

“New Franchise Agreements”:  Franchise
agreements entered into by or transferred to the Issuer after the Closing Date.

“New Franchise Document”: Any Franchise Document entered into by or
transferred to any of the Securitization Entities (including any amendment,
modification, renewal, waiver or adjustment, in writing or otherwise, in respect
of a Franchise Document entered into prior to or on the Closing Date other than
such Franchise Document constituting a Defective Non-Conforming Existing
Franchise Document) after the Closing Date.

“New Franchisee Leases”:  Leases with Franchisees of Restaurants
located on any Owned Real Property entered into by or transferred to any
Securitization Entity after the Closing Date.

“New Franchisee Notes”:  Franchise notes and other franchisee
financing agreements entered into by or transferred to the Issuer after the
Closing Date pursuant to which financing arrangements are provided to
franchisees with respect to initial franchise fees.

“New Franchisee Subleases”:  Type 1
Franchisee Subleases and Type 2 Franchisee Subleases entered into by or
transferred to any Securitization Entity after the Closing Date.

“New Multi-Store Development Agreements”: 
Multi-store development agreements entered into by or transferred to the
Issuer after the Closing Date.

“New Product Sourcing Agreements”:  All
agreements relating to the manufacture of Proprietary Products for sale to the
Issuer for resale to Franchisees or Area Licensees entered into by or
transferred to the Issuer after the Closing Date.

 A-24
 

“New Single-Store Development Agreements”: 
Single-store development agreements entered into by the Issuer after the
Closing Date.

“New Type 1 Franchisee Sublease”:  A sublease
relating to a New Type 1 Property Lease.

“New Type 1 Property Lease”:  Any
Property Lease that (a) is entered into by or transferred to IHOP Property Leasing
after the Closing Date which (i) is not subject to a guarantee by IHOP Inc. or
an Affiliate thereof and (ii) may by its terms be assigned to an Affiliate of
the lessee without the Property Lessor’s consent or (b) was a Type 2 Property
Lease and subsequently amended (or the appropriate consents were obtained) to
satisfy the foregoing conditions under clause (a) after the Closing Date.

“New Type 2 Property Lease”:  Any
Property Lease entered into by or transferred to IHOP Properties after the
Closing Date that is not a New Type 1 Property Lease, including, without
limitation, any Property Lease that is (a) subject to a guarantee by IHOP Inc.
or an Affiliate thereof and/or (b) may not be assigned to an Affiliate of the
lessee without the Property Lessor’s consent.

“Note Owner”:  With respect to a Global Note, the person who
is the beneficial owner of such Book-Entry Note, as reflected on the books of
the Clearing Agency that holders the Book-Entry Note, or on the books of a
Person holding an account with such Clearing Agency.

“Note Register”
and “Note Registrar”:  The
respective meanings specified in Section 2.5(a).

“Noteholder”:  Any Holder of a Note.

“Notes”:  Collectively, all notes relating to any
Series of Notes authorized and delivered in accordance with Section 2.3.

“Notice of Payment”:  With respect to any Series of Notes, the
notice delivered by the Indenture Trustee to an Insurer pursuant to the
applicable Insurance Policy.

“Offering Circular”:  In relation to any Series of Notes, the base
offering circular and supplemental offering circular relating to a Series of
Notes.

“Officer”:  With respect to any corporation, any
Director, the Chairman of the Board of Directors, the President, any Vice
President, the Secretary, an Assistant Secretary, the Treasurer or an Assistant
Treasurer of such entity; with respect to the Co-Issuers and any limited
liability company, any managing member thereof or any person to whom the rights
and powers of management thereof are delegated in accordance with the limited liability
company agreement of such limited liability company; with respect to any
partnership, any general partner thereof; and with respect to the Indenture
Trustee, any Trust Officer.

“Officer’s Certificate”:  Unless otherwise specified, a certificate signed
by an Authorized Officer of the party delivering such certificate.

 A-25
 

“Operating Expense Allocation Amount”:  With
respect to any Weekly Collections Allocation Period, an amount determined by
the Servicer on a weekly basis as specified on the Weekly Servicer’s Report
that reflects the Operating Expenses on a weekly basis of the IHOP Holdings and
Securitization Entities considered as a consolidated group.

“Operating Expense Payment Account”:  The
account established and specified as such pursuant to Section
10.4.

“Operating Expense Payment Amount”:  With
respect to any Payment Date, the amount payable for Operating Expenses as
indicated on a Servicer Order or on the Monthly Servicer’s Report.

“Operating Expenses”:  All expenses incurred by the Securitization
Entities and IHOP Holdings and payable to third parties in connection with the
maintenance and operation of such entities and the transactions contemplated by
the Transaction Documents, including, (i) fees and expenses payable to the
Indenture Trustee, the Back-Up Servicer, the Rating Agencies, the Independent
managers, any Independent  certified
public accountant or external legal counsel and (ii) fees and expenses payable
to any governmental authority; provided, however, that Operating Expenses shall not include listing
expenses, if any.

“Opinion of Counsel”:  A written opinion addressed to the Indenture
Trustee, each Insurer (if such Insurer is then a Series Controlling Party or
entitled to receive it under a Transaction Document) and each Rating Agency, in
form and substance reasonably satisfactory to the Indenture Trustee and each
Insurer (if such Insurer is then a Series Controlling Party or entitled to
receive it under a Transaction Document), of an attorney at law admitted to
practice before the highest court of the State of New York or of Delaware, as
applicable, which attorney may, except as otherwise expressly provided in this
Indenture, be counsel for the Co-Issuers and which attorney shall be reasonably
satisfactory to the Indenture Trustee and each Insurer (if such Insurer is then
a Series Controlling Party or entitled to receive it under a Transaction
Document).  Whenever an Opinion of
Counsel is required hereunder, such Opinion of Counsel may rely on opinions of
other counsel who are so admitted and so satisfactory which opinions of other
counsel shall accompany such Opinion of Counsel and shall either be addressed
to the Indenture Trustee, each Insurer (if such Insurer is then a Series
Controlling Party or entitled to receive it under a Transaction Document) and
each Rating Agency or shall state that the Indenture Trustee, each Insurer (if
such Insurer is then a Series Controlling Party or entitled to receive it under
a Transaction Document) and each Rating Agency shall be entitled to rely thereon.

“Optional Redemption”:  Any optional redemption of Notes effected by
the Co-Issuers pursuant to Section 9.2 hereof.

“Optional Redemption Amount”:  As of the
Optional Redemption Date and with reference to the Notes then being redeemed,
either (A) the sum of (i) the aggregate
outstanding principal amount of such Notes, (ii) any Series Optional Redemption
Premium (as applicable) payable on such Notes, (iii) the accrued and unpaid
interest at the applicable Note Interest Rate on the aggregate outstanding
principal amount of such Notes to but excluding the Optional Redemption Date,
(iv) Reimbursements, Insurer Expenses, other amounts and the Insurer Make-

 A-26
 

whole Premium and (v) any other amounts due  and unpaid to the Insurer, including but not
limited to premium or (B) as otherwise provided in the applicable Series
Supplement.

“Optional Redemption Date”:  The
Payment Date specified for an Optional Redemption pursuant to Section 9.2.

“Outstanding”:  With respect to the Notes, as of any date of
determination, all of the Notes or Series of Notes, as the case may be,
theretofore authenticated and delivered under this Indenture except:

(i)            Notes
theretofore canceled by the Note Registrar or delivered to the Note Registrar
for cancellation;

(ii)           Notes
or portions thereof for whose payment or redemption funds in the necessary
amount have been theretofore irrevocably deposited with the Indenture Trustee
in trust for the Holders of such Notes pursuant to Section 4.1(a)(ii); provided that, if such Notes or portions thereof are to be
redeemed, notice of such redemption has been duly given pursuant to this
Indenture or provision therefor reasonably satisfactory to the Indenture
Trustee has been made;

(iii)          Notes
in exchange for or in lieu of which other Notes have been authenticated and
delivered pursuant to this Indenture, unless proof reasonably satisfactory to
the Indenture Trustee is presented that any such Notes are held by a holder in
due course; and

(iv)          Notes
alleged to have been mutilated, destroyed, lost or stolen for which replacement
Notes have been issued as provided in Section 2.6;

provided that, (A) in determining
whether the Holders of the requisite Aggregate Outstanding Principal Amount
have given any request, demand, authorization, direction, notice, consent,
waiver or vote hereunder, the following Notes shall be disregarded and deemed
not to be Outstanding:  (x) Notes owned
by the Co-Issuers or any other obligor upon the Notes or any Affiliate of any
of them; (y) Notes held in any accounts with respect to which the Servicer or
any Affiliate thereof exercises discretionary voting authority; provided, further, that in determining whether the Indenture
Trustee shall be protected in relying upon any such request, demand,
authorization, direction, notice, consent, waiver or vote, only Notes as
described under clause (x) or (y) above that an Officer of the Indenture
Trustee knows to be so owned shall be so disregarded; (B) Notes owned in the
manner indicated in clause (x) or (y) above that have been pledged in good faith
may be regarded as Outstanding if the pledgee establishes to the satisfaction
of the Indenture Trustee the pledgee’s right so to act with respect to such
Notes and that the pledgee is not either of the Co-Issuers or any other obligor
or the Servicer, an Affiliate thereof, or an account for which the Servicer or
an Affiliate of the Servicer exercises discretionary voting authority; and (C)
to the extent that any Notes have been paid with proceeds of an Insurance
Policy, such Notes shall continue to remain Outstanding for purposes of this
Indenture until the Insurer relating to such Insurance Policy has been paid as
subrogee hereunder or reimbursed pursuant to the applicable Insurance Agreement
as evidenced by a written notice 

 A-27
 

from such Insurer delivered to the Indenture Trustee,
and such Insurer shall be deemed to be the Holder of such Notes to the extent
of any corresponding payments thereon made by such Insurer.

“Overdue Interest”:  Any interest accrued at the applicable Series
Note Interest Rate or otherwise on overdue interest on the Notes or overdue
premium payable to any Insurer to the extent permitted by law.  No Insurer shall be liable for any Overdue
Interest (as defined in the preceding sentence).

“Owned Real Property”:  The meaning specified in the Parent Asset
Sale Agreement.

“Owned Real Property Asset Sale Agreement”:  The
meaning specified in the definition of Asset Sale Agreements.

“Owned Real Property Credit Agreement”:  A secured
credit agreement, dated as of the Closing Date, between IHOP Real Estate and
the Issuer, as amended, modified or supplemented from time to time.

“Owned Real Property Mortgage”:  The
mortgage on the real property owned by IHOP Real Estate granting the Issuer a
security interest in the real property as security for its obligations under
the Owned Real Property Credit Agreement, as amended, modified or supplemented
from time to time.

“Parent Asset Sale Agreement”:  The
meaning specified in the definition of Asset Sale Agreements.

“Patents”:  The meaning set forth in the definition of
Intellectual Property.

“Paying Agent”:  Any paying agent appointed by the Co-Issuers
for the Notes pursuant hereto.

“Payment Date”:  The 20th day of each month commencing on
April 20, 2007 or if any such date is not a Business Day, the immediately
following Business Day.

“Payment Date Period”:  The period beginning with and including the
second preceding Accounting Date or, with respect to the first Payment Date
Period, the Closing Date up to and excluding the immediately preceding Accounting
Date.

“Permitted Liens”:  (a) Liens for (i) Taxes, assessments or other
governmental charges not delinquent or (ii) Taxes, assessments or other charges
being contested in good faith and by appropriate proceedings and with respect
to which adequate reserves have been established, and are being maintained, in
accordance with GAAP, (b) all Liens created or permitted under the Transaction
Documents in favor of the Indenture Trustee for the benefit of the Secured
Parties, (c) Liens existing on the Closing Date, which shall be released on
such date, (d) encumbrances in the nature of (i) a ground lessor’s fee
interest, (ii) zoning restrictions, (iii) easements, (iv) restrictions of
record on the use of real property, (v) landlords’ and lessors’ Liens on rented
premises, (vi) restrictions on transfers or assignment of leases or licenses of
Intellectual Property, which, in each case, do not detract from the value of
the encumbered

 A-28
 

property or impair the use thereof in the business of
any Securitization Entity, (vii) contractual transfer restrictions in existence
on the Closing Date and thereafter any such contractual transfer restriction so
long as the inclusion of such contractual transfer restriction in any contract
entered into on behalf of any Securitization Entity by the Servicer would not
constitute a breach by the Servicer of the Servicing Agreement, (viii) the
interest of a lessee in property leased to a Franchisee and (ix) any licenses
granted in the Intellectual Property under any Franchise Agreement or other
license agreements in effect on the Closing Date and thereafter, to the extent
issued in the ordinary course, (e) Liens constituting (i) purchase money
security interests (including mortgages, conditional sales, capitalized leases,
synthetic leases and any other title retention or deferred purchase devices) in
real property, interests in leases or tangible personal property (other than
inventory) existing or created on the date on which such property is acquired
or within sixty (60) days thereafter and (ii) the renewal, extension or
refunding of any security interest referred to in the foregoing subsection (i)
of this clause (e) in an amount not to exceed the amount thereof remaining
unpaid immediately prior to such renewal, extension or refunding; provided, however, that each such security interest shall
attach solely to the particular item of property so acquired, and the principal
amount of Debt (including Debt in respect of Capitalized Lease Obligations and
synthetic lease obligations) secured thereby shall not exceed the cost
(including all such Debt secured thereby, whether or not assumed) of such item
of property, (f) deposits or pledges made (i) in connection with casualty
insurance maintained in accordance with the Transaction Documents, (ii) to
secure the performance of bids, tenders, contracts or leases, (iii) to secure
statutory obligations or surety or appeal bonds or (iv) to secure indemnity,
performance or other similar bonds in the ordinary course of business of any
Securitization Entity, (g) Liens of carriers, warehouses, mechanics and similar
Liens, in each case (i) in existence less than forty five (45) days from the
date of creation thereof or (ii) being contested in good faith by any
Securitization Entity in appropriate proceedings (so long as such
Securitization Entity shall, in accordance with GAAP, have set aside on its
books adequate reserves with respect thereto), (h) restrictions under federal,
state or foreign securities laws on the transfer of securities, (i) any
permitted cash management liens, (j) any matter disclosed on the title policies
insuring the Lien of the Mortgages and (k) the license and other rights granted
to the licensee under the IP License Agreement.

“Person”:  An individual, corporation (including a
business trust), partnership, limited liability company, joint venture,
association, joint stock company, trust (including any beneficiary thereof),
unincorporated association or government or any agency or political subdivision
thereof.

“Plan”:  Any “employee benefit pension plan”, as such
term is defined in ERISA, which is subject to Title IV of ERISA (other than a “multiemployer
plan”, as defined in Section 4001 of ERISA) and to which any company in the
same Controlled Group as either of the Co-Issuers has liability, including any
liability by reason of having been a substantial employer within the meaning of
Section 4063 of ERISA for any time within the preceding five years or by reason
of being deemed to be a contributing sponsor under Section 4069 of ERISA.

“Preference Claim”:  The meaning specified in Section 2.13(e).

“Principal Payment Accounts”:  With
respect to each Series of Notes, the trust accounts established pursuant to Section
10.3.

 A-29
 

“Principal Terms”:  The meaning specified in Section 2.3.

“Proceeding”:  Any suit in equity, action at law or other
judicial or administrative proceeding.

“Product Sourcing Agreements”: 
Collectively, Existing Product Sourcing Agreements and New Product
Sourcing Agreements.

“Pro Forma Series Debt Service Coverage Ratio”:  With
respect to the certifications required under Sections
2.3(c)(vi) and 3.1(g) and (h),
the quotient of (A) Adjusted Collections divided by (B) the sum (calculated
under the hypothetical assumption that the Notes to be proposed for issuance
and all other Notes to be outstanding on the Issuance Date had been outstanding
for the Interest Accrual Periods relating to the three immediately preceding
Accounting Dates) of (i) the hypothetical accrued Series Debt Service relating
to such proposed Series of Notes that would have been payable or paid on the
latest three Payment Dates; and (ii) the corresponding amounts relating to any
Series of Notes to be outstanding on the Issuance Date ranking at least pari passu as
to principal and interest to such proposed Series of Notes and (iii) the
corresponding amounts relating to any Series of Notes to be outstanding on such
Issuance Date the interest on which ranks at least pari passu
as to the principal of such proposed Series of Notes, provided
that with respect to any Series of Notes the interest on which ranks at least pari passu to the principal of such proposed Series of
Notes, only such components of Series Debt Service ranking at least pari passu to the principal of such proposed Series of Notes
shall be considered for purposes of such calculation.

“Properties Asset Contribution Agreement”:  The meaning specified in the definition of
Asset Contribution Agreements.

“Property Disposition”:
The sale or other disposition of an interest in equipment or a real property in
the ordinary course of business as permitted by the applicable Transaction
Documents.

“Property Leases”:  All ground lease, sale lease-back or
lease/lease-back Transactions pursuant to which IHOP Properties, or IHOP
Property Leasing or an Affiliate thereof has obtained a leasehold interest in
the real property related to a Restaurant, comprising all Type 1 Property
Leases and Type 2 Property Leases.

“Property Leasing Asset Contribution Agreement”:  The meaning specified in the definition of
Asset Contribution Agreements.

“Property Lessor”:  The lessor under a Property Lease.

“Proprietary Product”:  Any product which is (i) manufactured or
otherwise produced by a third-party in accordance with the Franchisor’s
proprietary specifications and (ii) required to be purchased by Franchisees
from the Franchisor or its designated distributor for use in the Restaurants,
including those items set forth in Schedule 5
hereto and any additional product designated as such by the Franchisor.

“Protected Purchaser”:  The meaning specified in Section 8-303 of the
UCC.

 A-30
 

“Purchase Agreement”:  Any purchase agreement for the initial
purchase of Notes, dated as of the Closing Date or an Issuance Date (as
applicable), between the initial purchasers of Notes and the Co-Issuers, as
amended, modified or supplemented from time to time.

“QIB”:  A “qualified institutional buyer” within the
meaning of Rule 144A.

“QP”:  A “qualified purchaser” within the meaning of
Section 3(c)(7) of the Investment Company Act.

“Quality Control Programs”:  The
meaning specified in the Servicing Agreement.

“Rate Determination Date”:  With
respect to each Series of Notes, the date or dates as of which the interest
rate applicable thereto will be determined, as specified in the applicable
Series Supplement.

“Rating Agencies”:  Moody’s and any successor or successors
thereto and S&P and any successor or successors thereto.  In the event that at any time the rating
agencies rating the Notes do not include Moody’s or S&P, references to
rating categories of Moody’s or S&P in this Indenture shall be deemed
instead to be references to the equivalent categories of such other rating
agency as then is rating the Notes as of the most recent date on which such
other rating agency and Moody’s or S&P published ratings for the type of
security in respect of which such alternative rating agency is used.  If the applicable Series Supplement specifies
an additional rating agency, then “Rating Agency” as used herein also refers to
such additional rating agency.

“Rating Agency Condition”:  With
respect to any prospective action or occurrence, a condition that shall be
satisfied if each Rating Agency (or, if so specified, the relevant Rating
Agency) notifies each Insurer in writing that such action or occurrence, as the
case may be, will not result in a withdrawal or reduction below “Baa3” by Moody’s
or “BBB-” by S&P of any of its then-current ratings of the Series of Notes
insured by such Insurer, without giving effect to any Insurance Policy.

“Rating Agency Notification”:  With
respect to any prospective action or occurrence, a written notification to the
Rating Agencies setting forth in reasonable detail such action or occurrence.

“Recipient”:  The meaning set forth in the definition of
Confidential Information.

“Record Date”:  The date on which the Holders of Notes
entitled to receive a payment in respect of principal or interest on the
succeeding Payment Date are determined, such date as to any Payment Date being
the fifteenth (15th) day (whether or not a Business Day) prior to the applicable
Payment Date.

“Redemption Date”:  Either a Mandatory Redemption Date or an
Optional Redemption Date.

“Refranchising Asset Dispositions”:  Any
resale, transfer or other disposition of a Franchise Asset that results in the
replacement of a Franchise Asset with one or more new 

 A-31
 

Franchise Assets, including, without limitation, any
resale, transfer, termination or creation (or combination thereof) of a
Securitization Entity’s interest in any Franchise Asset.

“Regulation S”:  Regulation S under the Securities Act, as
such regulation may be amended, supplemented replaced or otherwise modified
from time to time.

“Regulation S Global Notes”:  Notes that
are sold in offshore transactions in reliance on Regulation S, and that are
issued in book-entry form and represented by one or more global notes in
definitive, fully registered form without interest coupons.

“Reimbursements”:  With respect to any Series of Notes,
reimbursement (including any interest thereon) payable to the Insurer relating
to such Series of Notes, with respect to any payment made by such Insurer under
the applicable Insurance Policy, pursuant to the terms of the applicable
Insurance Agreement.

“Reorganization”:  With respect to any Multiemployer Plan, the
condition that such plan is in reorganization within the meaning of Section
4241 of ERISA.

“Reportable Event”:
Any “reportable event”, as defined in Section 4043 of ERISA or the regulations
issued thereunder with respect to a Plan (other than an event for which the
30-day notice period is waived).

“Required Ratings”:
The meaning specified in Section 13.3.

“Residual Account”:  The account designated as the “Residual
Account” established pursuant to the Account Control Agreement (Other Accounts)
among the Issuer, the Indenture Trustee, the Servicer, the Back-Up Servicer and
the Lock-Box Bank, or any successor commercial bank as set forth in Section
10.2.

“Restaurant”:  A restaurant now or hereafter operated under
the IHOP Brand.

“Restructuring”:  The internal reorganization of the business
and operations of IHOP Corp., IHOP Inc. and their Affiliates and subsidiaries,
which is an integral part of the Securitization Transaction, and which involves
numerous transactions that will occur on or prior to the Closing Date.

“Rule 144A”:  Rule 144A under the Securities Act.

“Rule 144A Global Notes”:  Notes
offered and sold to Persons that are QIBs in reliance on Rule 144A and that
issued in book-entry form and represented by one or more global notes in
definitive, fully registered form without interest coupons.

“S&P”:  Standard & Poor’s Ratings Services, a
division of The McGraw-Hill Companies, Inc., and its successors in interest.

“SEC”:  The United States Securities and Exchange
Commission.

 A-32

“Secured Obligations”:  (a) The principal of and interest (including
interest accruing during the pendency of any bankruptcy, insolvency,
receivership or other similar proceeding, regardless of whether allowed or
allowable in such proceeding) on the Notes, when and as due, whether at
maturity, by acceleration, upon one or more dates set for prepayment or
otherwise, (b) all other monetary obligations, including fees, costs, expenses
and indemnities, whether primary, secondary, direct, contingent, fixed or otherwise
(including monetary obligations incurred during the pendency of any bankruptcy,
insolvency, receivership or other similar proceeding, regardless of whether
allowed or allowable in such proceeding), of either the Issuer or the Co-Issuer
to the Secured Parties under the Indenture, any Insurance Agreement and the
other Transaction Documents to which either of the Co-Issuers is or is to be a
party, and (c) all amounts due and payable by either the Issuer or the
Co-Issuer and not previously paid in respect of Series Hedge Agreements,
including upon the termination of such Series Hedge Agreements.

“Secured Parties”:  The meaning specified in the Preliminary
Statement of this Indenture.

“Securities Act”:  The United States Securities Act of 1933, as
amended.

“Securitization Entities”:  Each of
the Issuer, the Co-Issuer, IHOP Property Leasing, IHOP Properties, IHOP Real
Estate and any Additional Securitization Entities.

“Securitization Entity Charter Documents”: 
Collectively, (i) the IHOP Holdings Certificate of Formation, (ii) the
IHOP Holdings Limited Liability Company Agreement, (iii) the Issuer Certificate
of Formation, (iv) the Issuer Limited Liability Company Agreement, (v) the
Co-Issuer Certificate of Formation, (vi) the Co-Issuer Limited Liability Company
Agreement, (vii) the IHOP Property Leasing Certificate of Formation, (viii) the
IHOP Property Leasing Limited Liability Company Agreement; (ix) IHOP Properties
Certificate of Conversion; (x) IHOP Properties Certificate of Formation; (x)
IHOP Properties Limited Liability Company Agreement; (xi) IHOP Real Estate
Certificate of Formation; (xii) IHOP Real Estate Limited Liability Co.
Agreement.

“Securitization Transaction”: Collectively, the transactions contemplated by
the Transaction Documents.

“Senior Notes Outstanding”:  With
respect to all Senior Series of Notes, the Aggregate Outstanding Principal
Amount thereof.

“Senior Series Additional Interest Allocation Amount”:  With
respect to each Senior Series of Notes on the first three Weekly Allocation Dates
of each Payment Date Period, one third of the Series Additional Interest
Payment Amount that will be payable on the next Payment Date and any such
amount due for allocation but not allocated on previous Weekly Allocation Dates
(if any).  With respect to each Senior
Series of Notes on the fourth and, if applicable, fifth Weekly Allocation Date
of each Payment Date Period, an amount equal to the portion (if any) of the
Series Interest Payment Amount that will be payable on the next Payment Date
with respect to which an allocation was not made on the previous Weekly
Allocation Dates for such Payment Date Period and previous Payment Date Periods
(if any).

 A-33
 

“Senior Series Fee Allocation Amount”:  With
respect to each Senior Series of Notes on the first three Weekly Allocation
Dates of each Payment Date Period, (i) one third of the Series Fee Payment
Amount that will be payable on the next Payment Date and (ii) any such amount
due for allocation but not allocated on previous Weekly Allocation Dates
(including amounts due but unpaid for previous Payment Date Periods) (if
any).  With respect to each Senior Series
of Notes on the fourth and, if applicable, fifth Weekly Allocation Date of each
Payment Date Period, an amount equal to the portion (if any) of the Series Fee
Payment Amount that will be payable on the next Payment Date with respect to
which an allocation was not made on the previous Weekly Allocation Dates for
such Payment Date Period and previous Payment Date Periods (if any).

“Senior Series Insurer Premium Allocation Amount”:  With
respect to the first three Weekly Allocation Dates of each Payment Date Period
and for any Senior Series Outstanding, (i) an amount equal to one-third of the
Senior Series Insurer Premium Payable Amount that will be payable on the
immediately succeeding Payment Date and (ii) any such amount due for allocation
but not allocated on previous Weekly Allocation Dates, including any Senior
Series Insurer Premium Allocation Amount due and unpaid for previous Payment
Date Periods.  With respect to the fourth
and, if applicable, the fifth Weekly Allocation Date of each Payment Date
Period, the Senior Series Insurer Premium Allocation Amount is an amount equal
to the portion (if any) of the Senior Series Insurer Premium Payable Amount that
will be payable on the immediately succeeding Payment Date with respect to
which the full Senior Series Insurer Premium Payable Amount has not been
allocated on any of the previous Weekly Allocation Dates for such Payment Date
Period and previous Payment Date Periods (if any).

“Senior Series Insurer Premium Payable Amount”:  With
respect to any Payment Date, as specified in the applicable Insurer Fee Letter
and any Senior Series Insurer Premium Payable Amount not previously paid on any
Payment Date.

“Senior Series Insurer Reimbursement and Expense Allocation
Amount”:  With respect to the first three Weekly
Allocation Dates of each Payment Date Period, (i) an amount equal to one-third
of the Senior Series Insurer Reimbursement and Expense Payment that will payable
on the next Payment Date and (ii) any such amount due for allocation but not
allocated on previous Weekly Allocation Dates (including amounts due but unpaid
for previous Payment Date Periods) (if any). 
With respect to the fourth and, if applicable, the fifth Weekly
Allocation Date of each Payment Date Period, the Senior Series Insurer
Reimbursement and Expense Allocation Amount is an amount equal to the portion
(if any) of the Senior Series Insurer Reimbursement and Expense Payment with
respect to which an allocation was not made on the previous Weekly Allocation
Dates for such Payment Date Period and Previous Payment Date Periods.

“Senior Series Insurer Reimbursement and Expense Payment
Amount”:  With respect to each Senior Series of Notes,
the aggregate of all accrued and unpaid Reimbursements and Insurer Expenses.

“Senior Series Interest Allocation Amount”:  With
respect to each Senior Series of Notes on the first three Weekly Allocation
Dates of each Payment Date Period, (i) one third of the Series Interest Payment
Amount that will be payable on the next Payment Date and (ii) any 

 A-34
 

such amount due for allocation but not allocated on
previous Weekly Allocation Dates (including amounts due but unpaid for previous
Payment Date Periods) (if any).  With
respect to each Senior Series of Notes on the fourth and, if applicable, fifth
Weekly Allocation Date of each Payment Date Period, an amount equal to the
portion (if any) of the Series Interest Payment Amount that will be payable on
the next Payment Date with respect to which an allocation was not made on the
previous Weekly Allocation Dates for such Payment Date Period and previous
Payment Date Periods (if any).

“Senior Series of Notes”:  Any Series
of Notes designated as a “Senior Series of Notes” in the related supplemental
indenture, which by their terms are (a) senior as to the right to receive
interest and principal in relation to the right to receive interest and
principal of any Subordinated Series of Notes, (b) senior as to the right to
receive interest in relation to the right to receive interest on any Senior
Subordinated Series of Notes or any Subordinated Series of Notes or any
Subordinated Series of Notes, (c) senior as to the right to receive principal
in relation to the right to receive principal of any Senior Subordinated Series
of Notes or any Subordinated Series of Notes, and (d) subordinate as to the
right to receive principal in relation to the right to receive interest on any
Senior Subordinated Series of Notes, as specified in the applicable Series
Supplement.

“Senior Series Principal Payment Account Conditions”:  The
meaning specified in Section 10.9.

“Senior Subordinated Series Additional Interest Allocation
Amount”:  With respect to each Senior Subordinated
Series of Notes on the first three Weekly Allocation Dates of each Payment Date
Period, one third of the Series Additional Interest Payment Amount that will be
payable on the next Payment Date and any such amount due for allocation but not
allocated on previous Weekly Allocation Dates (if any).  With respect to each Senior Subordinated
Series of Notes on the fourth and, if applicable, fifth Weekly Allocation Date
of each Payment Date Period, an amount equal to the portion (if any) of the
Series Interest Payment Amount that will be payable on the next Payment Date
with respect to which an allocation was not made on the previous Weekly
Allocation Dates for such Payment Date Period and previous Payment Date Periods
(if any).

“Senior Subordinated Series Fee Allocation Amount”:  With respect
to each Senior Subordinated Series of Notes on the first three Weekly
Allocation Dates of each Payment Date Period, (i) one third of the Series Fee
Payment Amount that will be payable on the next Payment Date and (ii) any such
amount due for allocation but not allocated on previous Weekly Allocation Dates
(including amounts due but unpaid for previous Payment Date Periods) (if
any).  With respect to each Senior
Subordinated Series of Notes on the fourth and, if applicable, fifth Weekly
Allocation Date of each Payment Date Period, an amount equal to the portion (if
any) of the Series Fee Payment Amount that will be payable on the next Payment
Date with respect to which an allocation was not made on the previous Weekly
Allocation Dates for such Payment Date Period and previous Payment Date Periods
(if any).

“Senior Subordinated Series Insurer Premium Allocation
Amount”:  With respect to the first three Weekly
Allocation Dates of each Payment Date Period and for any Senior Subordinated
Series Outstanding, (i) an amount equal to one-third of the Senior Subordinated

 A-35
 

Series Insurer Premium Payable Amount that will be
payable on the immediately succeeding Payment Date and (ii) any such amount due
for allocation but not allocated on previous Weekly Allocation Dates, including
any Senior Subordinated Series Insurer Premium Allocation Amount due and unpaid
for previous Payment Date Periods.  With
respect to the fourth and, if applicable, the fifth Weekly Allocation Date of
each Payment Date Period, the Senior Subordinated Series Insurer Premium
Allocation Amount is an amount equal to the portion (if any) of the Senior
Subordinated Series Insurer Premium Payable Amount that will be payable on the
immediately succeeding Payment Date with respect to which the full Senior
Subordinated Series Insurer Premium Payable Amount has not been allocated on
any of the previous Weekly Allocation Dates for such Payment Date Period.

“Senior Subordinated Series Insurer Premium Payable Amount”:  With
respect to any Payment Date, as specified in the applicable Insurer Fee Letter
and any Senior Subordinated Series Insurer Premium Payable Amount not
previously paid on any Payment Date.

“Senior Subordinated Series Insurer Reimbursement and
Expense Allocation Amount”:  With respect to the first three Weekly
Allocation Dates of each Payment Date Period, (i) an amount equal to one-third
of the Senior Subordinated Series Insurer Reimbursement and Expense Payment
that will payable on the next Payment Date and (ii) any such amount due for
allocation but not allocated on previous Weekly Allocation Dates (including
amounts due but unpaid for previous Payment Date Periods) (if any).  With respect to the fourth and, if
applicable, the fifth Weekly Allocation Date of each Payment Date Period, the
Senior Subordinated Series Insurer Reimbursement and Expense Allocation Amount
is an amount equal to the portion (if any) of the Senior Subordinated Series
Insurer Reimbursement and Expense Payment with respect to which an allocation
was not made on the previous Weekly Allocation Dates for such Payment Date
Period and Previous Payment Date Periods.

“Senior Subordinated Series Interest Allocation Amount”:  With
respect to each Senior Subordinated Series of Notes on the first three Weekly
Allocation Dates of each Payment Date Period, (i) one third of the Series
Interest Payment Amount that will be payable on the next Payment Date and (ii)
any such amount due for allocation but not allocated on previous Weekly
Allocation Dates (including amounts due but unpaid for previous Payment Date
Periods)(if any).  With respect to each
Senior Subordinated Series of Notes on the fourth and, if applicable, fifth
Weekly Allocation Date of each Payment Date Period, an amount equal to the
portion (if any) of the Series Interest Payment Amount that will be payable on
the next Payment Date with respect to which an allocation was not made on the
previous Weekly Allocation Dates for such Payment Date Period and previous
Payment Date Periods (if any).

“Senior Subordinated Series of Notes”:  Any Series
of Notes designated as “Senior Subordinated Series of Notes” in the related
Supplemental Indenture that by their terms are (a) senior as to the right to
receive interest in relation to the right to receive principal of any Senior
Series of Notes or any Subordinated Series of Notes and (b) senior as to the
right to receive interest in relation to the right to receive interest and
principal of any Subordinated Series of Notes, (c) subordinate as to the right
to receive interest in relation to the right to receive interest on any Senior
Series of Notes and (d) on a pari passu
basis as to the right to receive principal in relation to the right to receive
interest on any Subordinated Series of Notes, as specified in the applicable
Series Supplement.

 A-36
 

“Series Additional Interest Payment Amount”: With respect to each Series of Notes, as set
forth in the applicable Series Supplement.

“Series Anticipated Repayment Date”:  With
respect to any Series of Notes, as specified in the applicable Series
Supplement.

“Series Consecutive DSCR Trigger Reserve Account Deposit
Threshold”:  With respect to any Series of Notes, the
magnitude specified in the applicable Series Supplement.

“Series Consecutive DSCR Trigger Reserve Account Release
Threshold”:  With respect to any Series of Notes, the
magnitude specified in the applicable Series Supplement.

“Series Controlling Party”:  With
respect to a Series of Notes, the Insurer for so long as no Insurer Event of
Default has occurred and is continuing, or, otherwise, the Majority of the
Series Outstanding Principal Amount voting as a series (unless otherwise
specified in the applicable Series Supplement), for so long as any Series Notes
relating to such Series of Notes remain Outstanding; provided that for
any variable funding Series of Notes, the Aggregate Outstanding Principal
Amount, for purposes of this definition and the definition of Aggregate
Controlling Party, will include the undrawn amount of the maximum possible
Aggregate Outstanding Principal Amount.

“Series Controlling Party Order”:  A written
order or request signed on behalf of the Series Controlling Party and delivered
to the Indenture Trustee and the Co-Issuers.

“Series Debt Service”:  With respect to each Series of Notes, (i) the
Series Interest Payment Amount (excluding any such amount relating to previous
Interest Accrual Periods); (ii) the Series Insurance Premium Payable Amount
(excluding any such amount relating to previous Interest Accrual Periods);
(iii) the Series Fee Payment Amount (excluding any such amount relating to
previous Interest Accrual Periods); and (iv) the sum of any scheduled
repayments of principal (excluding any Optional Redemption Amount or any
Mandatory Redemption Amount).

“Series Debt Service Coverage Ratio”:  With
respect to each Series of Notes as to any Payment Date or any other date, as
determined as of the immediately preceding Accounting Date, the quotient of (A) Adjusted Collections for the Monthly
Collection Periods preceding such Accounting Date and the prior two (2)
Accounting Dates divided by (B) the sum of (i) the Series Debt Service relating to such Series
of Notes payable on the current Payment Date and the immediately preceding two
(2) Payment Dates and (ii) the sum of the
Series Debt Service for the same period for all other Series of Notes ranking
at least pari passu as to principal and interest
to such Series of Notes and (iii) the corresponding amounts relating to all
other Series of Notes the interest on which ranks at least pari passu
as to the principal of such Series of Notes, in each case for the current
Payment Date and the two (2) prior Payment Dates; provided,
however that with respect to any Accounting Date prior to the third Accounting
Date after the Closing Date, the Series Debt Service Coverage Ratio shall be the
product of three (3) multiplied by the average of such quotient calculated in
respect of the first one or two (as applicable) Monthly Collection Period(s); provided, further, that with respect to any Series of Notes
the interest on which ranks at least pari passu as
to the principal of such Series of Notes, only such components 

 A-37
 

of Series Debt Service ranking at least pari passu to the principal of such Series of Notes shall be
considered for purposes of such calculation.

“Series DSCR Mandatory Redemption Event”:  The
meaning specified in Section 9.1.

“Series DSCR Principal Payment Account Deposit Threshold”:  With
respect to any Series of Notes, the magnitude specified in the applicable
Series Supplement.

“Series DSCR Trigger Reserve Account Deposit Threshold
Range”:  With respect to any Series of Notes and in
relation to a specified Series Trigger reserve Proportion, the range specified
in the applicable Series Supplement.

“Series DSCR Trigger Reserve Account Release Threshold”:  With
respect to any Series of Notes, the magnitude specified in the applicable
Series Supplement.

“Series Event of Default”:  With
respect to any Series of Notes, an event of default specified in the applicable
Series Supplement, if any.

“Series Extension Option”:  With
respect to any Series of Notes, as specified in the applicable Series
Supplement.

“Series Extension Period”:  With
respect to any Series of Notes, as specified in the applicable Series
Supplement.

“Series Fee Payment Amount”:  With
respect to each Series of Notes as to each Payment Date, as provided for in the
applicable Series Supplement.

“Series Hedge Agreement”:  With
respect to any Series of Notes, the hedge agreement (if any) specified in the
applicable Series Supplement, subject to the provisions of Section 13.2.

“Series Hedge Agreement Counterparty”:  The Person
specified in the applicable Series Hedge Agreement.

“Series Hedge Agreement Payment Amount”:  With
respect to any Payment Date, the aggregate amount that the Issuer must pay
under the Series Hedge Agreements on the Payment Date, excluding any Series
Hedge Agreement Termination Payment Amount.

“Series Hedge Agreement Receipts”:  All
amounts received under any Series Hedge Agreement.

“Series Hedge Agreement Termination Payment Allocation Amount”:
With respect to the first three Weekly Allocation Dates of each Payment Date
Period, an amount equal to one-third of the Series Hedge Agreement Termination
Payment Amount that will be payable on the next Payment Date as determined by
the Servicer and any such amount due for allocation but not allocated on
previous Weekly Allocation Dates.  With
respect to the fourth and, if applicable, the fifth Weekly Allocation Date of
each Payment Date Period, the Series Hedge 

 A-38
 

Agreement Termination Payment Allocation Amount is an
amount equal to the portion (if any) of the Series Hedge Agreement Termination
Payment Amount that will be payable on next Payment Date with respect to which
an allocation was not made on the previous Weekly Allocation Dates for such
Payment Date Period and previous Payment Date Periods (if any).

“Series Hedge Agreement Termination Payment Amount”:  With
respect to any Payment Date, the aggregate amount of any termination payments
that the Issuer must pay under the Series Hedge Agreements on the Payment Date.

“Series Hedge Counterparty”:  With
respect to any Series of Notes, the Person specified in the applicable Series
Supplement, (if any).

“Series IHOP Corp. Consolidated Leverage Ratio Threshold”: With respect to any Series of Notes, as specified
in the applicable Series Supplement.

“Series Initial Advance”:  With
respect to each Series of Notes, the amount specified in the applicable Series
Supplement.

“Series Initial Interest Reserve Deposit Amount”:  With
respect to each Series of Notes, the amount specified in the applicable Series
Supplement.

“Series Interest Payment Amount”:  With
respect to each Series of Notes as to each Payment Date, as provided for in the
applicable Series Supplement.

“Series Interest Reserve Account Required Amount”:  For each
Series of Notes, as specified in the applicable Series Supplement.

“Series Interest Reserve Release Amount”:  With
respect to each Series of Notes, the amount specified in the applicable Series
Supplement.

“Series Interest Reserve Release Event”: With respect to each Series of Notes, as
specified in the applicable Series Supplement.

“Series Legal Final Maturity Date”:  With
respect to each Series of Notes issued hereunder, the Legal Final Maturity Date
specified in the applicable Series Supplement.

“Series Minimum Debt Service Coverage Ratio”:  With
respect to any Series of Notes as specified in the applicable Series
Supplement.

“Series Note Fees”:
With respect to each Series of Notes, the fees relating to such Series of Notes
as specified in the applicable Series Supplement.

“Series Note Interest Rate”:  With
respect to each Series of Notes, the rate of interest per annum (or as
otherwise specified in the applicable Series Supplement) applicable to such
Series of Notes as indicated in or determined pursuant to the applicable Series
Supplement.

“Series Noteholders”:  The Holders of the Notes of any particular
Series of Notes.

 A-39
 

“Series Notes”:  With respect to each Series of Notes, any
notes issued under the Series Supplement relating to such Series of Notes.

“Series of Notes”
or “Series”:  Notes
issued pursuant to a particular Series Supplement.

“Series Optional Redemption Premium”:  With
respect to any Series of Notes, the amount specified in the applicable Series
Supplement provided that any Series of Notes shall
be subject to Optional Redemption without a redemption premium payable to the
Noteholders when the Series Outstanding Principal Amount is less than or equal
to 10 percent of the original Outstanding principal amount for such Series of
Notes.

“Series Optional Redemption Amount”:  With
respect to each Series of Notes, as set forth in the related Series Supplement.

“Series Outstanding Principal Amount”:  With
respect to any Series of Notes, the Outstanding principal amount of such Series
of Notes.

“Series Redemption Date”:  With
respect to each Series of Notes, a Redemption Date.

“Series Supplement”:  With respect to each series of Notes, a
series supplement in the form of Exhibit G
relating thereto executed pursuant to Section 2.3(c)
hereto as amended, modified or supplemented from time to time.

“Series Trigger Reserve Period”:  With
respect to any Series of Notes, as specified in the applicable Series
Supplement.

“Series Trigger Reserve Proportion”:  As
specified in the applicable Series Supplement in relation to a Series DSCR
Trigger Reserve Account Deposit Threshold Range.

“Servicer”:  International House of Pancakes, Inc., unless
a successor person shall have become the Servicer pursuant to the applicable
provisions of this Indenture and the Servicing Agreement, and thereafter “Servicer” shall mean such successor Person.

“Servicer Certificate”:  The meaning specified in the Servicing
Agreement.

“Servicer Order”:  A written order or request, as the case may
be, dated and signed in the name of the Servicer by an Authorized Officer of
the Servicer.

“Servicer Termination Event”:  Any
Servicer Termination Event specified in the Servicing Agreement.

“Servicing Agreement”:  The Servicing Agreement, dated as of the
Closing Date, among the Servicer, each of the Securitization Entities, IHOP,
Inc. (as Servicer), IHOP Corp. (as Guarantor) and the Indenture Trustee (in its
capacity as Indenture Trustee), as amended, modified or supplemented from time
to time.

 A-40
 

“Single Employer Plan”:
Any Plan that is covered by Title IV of ERISA, but that is not a Multiemployer
Plan.

“Single Store Development Agreements”: 
Collectively, Existing Single Store Development Agreements and New
Single-Store Development Agreements.

“Software”:  The meaning set forth in the definition of Intellectual
Property.

“Specified Person”:  The meaning specified in Section 2.6.

“Stated Maturity”:  With respect to any series of Notes, the date
specified as the Stated Maturity in the applicable Series Supplement.

“STE Series DSCR Threshold”: With respect to any Series of Notes, as specified
in the applicable Series Supplement.

“Subordinate Interests”:  The meaning specified in Section 12.1.

“Subordinated Notes Outstanding”:  With
respect to any Subordinated Series of Notes, the Aggregate Outstanding Principal
Amount.

“Subordinated Series Additional Interest Allocation Amount”:  With
respect to each Subordinated Series of Notes on the first three Weekly
Allocation Dates of each Payment Date Period, one third of the Series
Additional Interest Payment Amount that will be payable on the next Payment
Date and any such amount due for allocation but not allocated on previous
Weekly Allocation Dates (if any).  With
respect to each Senior Series of Notes on the fourth and, if applicable, fifth
Weekly Allocation Date of each Payment Date Period, an amount equal to the
portion (if any) of the Series Interest Payment Amount that will be payable on
the next Payment Date with respect to which an allocation was not made on the
previous Weekly Allocation Dates for such Payment Date Period and previous
Payment Date Periods (if any).

“Subordinated Series Fee Allocation Amount”:  With
respect to each Subordinated Series of Notes on the first three Weekly
Allocation Dates of each Payment Date Period, one third of the Series Fee
Payment Amount that will be payable on the next Payment Date and any such
amount due for allocation but not allocated on previous Weekly Allocation Dates
(if any).  With respect to each
Subordinated Series of Notes on the fourth and, if applicable, fifth Weekly
Allocation Date of each Payment Date Period, an amount equal to the portion (if
any) of the Series Fee Payment Amount that will be payable on the next Payment
Date with respect to which an allocation was not made on the previous Weekly
Allocation Dates for such Payment Date Period and previous Payment Date Periods
(if any).

“Subordinated Series Insurer Premium Allocation Amount”:  With
respect to the first three Weekly Allocation Dates of each Payment Date Period
and for any Subordinated Series Outstanding, (i) an amount equal to one-third
of the Subordinated Series Insurer Premium Payable Amount that will be payable
on the immediately succeeding Payment Date and (ii) any such amount due for
allocation but not allocated on previous Weekly Allocation Dates, including any
Subordinated Series Insurer Premium Allocation Amount due and unpaid for
previous Payment Date Periods.  With
respect to the fourth and, if applicable, the fifth Weekly Allocation 

 A-41
 

Date of each Payment Date Period, the Subordinated Series
Insurer Premium Allocation Amount is an amount equal to the portion (if any) of
the Subordinated Series Insurer Premium Payable Amount that will be payable on
the immediately succeeding Payment Date with respect to which the full
Subordinated Series Insurer Premium Payable Amount has not been allocated on
any of the previous Weekly Allocation Dates for such Payment Date Period.

“Subordinated Series Insurer Premium Payable Amount”:  With
respect to any Payment Date, as specified in the applicable Insurer Fee Letter
and any Subordinated Series Insurer Premium Payable Amount not previously paid
on any Payment Date.

“Subordinated Series Insurer Reimbursement and Expense
Allocation Amount”:  With respect to the first three Weekly
Allocation Dates of each Payment Date Period, an amount equal to one-third of
the Subordinated Series Insurer Reimbursement and Expense Payment that will be
payable on the next Payment Date as determined by the Servicer and any such
amount due for allocation but not allocated on previous Weekly Allocation Dates
(if any).  With respect to the fourth
and, if applicable, the fifth Weekly Allocation Date of each Payment Date
Period, the Subordinated Series Insurer Reimbursement and Expense Allocation
Amount is an amount equal to the portion (if any) of the Subordinated Series
Insurer Reimbursement and Expense Payment with respect to which an allocation
was not made on the previous Weekly Allocation Dates for such Payment Date
Period and Previous Payment Date Periods (if any).

“Subordinated Series Insurer Reimbursement and Expense
Payment Amount”:  With respect to each Subordinated Series of
Notes, the aggregate of all accrued and unpaid Reimbursements and Insurer
Expenses relating thereto.

“Subordinated Series Interest Allocation Amount”:  With
respect to each Subordinated Series of Notes on the first three Weekly
Allocation Dates of each Payment Date Period, one third of the Series Interest
Payment Amount that will be payable on the next Payment Date and any such
amount due for allocation but not allocated on previous Weekly Allocation Dates
(if any).  With respect to each
Subordinated Series of Notes on the fourth and, if applicable, fifth Weekly
Allocation Date of each Payment Date Period, an amount equal to the portion (if
any) of the Series Interest Payment Amount that will be payable on the next
Payment Date with respect to which an allocation was not made on the previous
Weekly Allocation Dates for such Payment Date Period and previous Payment Date
Periods (if any).

“Subordinated Series of Notes”:  Any Series
of Notes that by their terms are (a) subordinate as to the right to receive
interest and principal in relation to the right to receive interest and
principal of any Senior Series of Notes, (b) subordinate as to the right to
receive interest in relation to the right to receive interest on any Senior
Note and any Senior Subordinated Notes and (c) on a pari passu
basis as to the right to receive principal in relation to the right to receive
principal of any Senior Subordinated Notes, as specified in the applicable
Series Supplement.

“Subordinated Series Principal Payment Account Conditions”:  The
meaning specified in Section 10.9.

 A-42

 

“Supplemental Servicing Fee”:  An amount
not to exceed $1,000,000  during each 12
month period following the Closing Date, which may be drawn by the Servicer in
whole or in part on any Weekly Allocation Date in accordance with Section
10.9 hereunder; provided that such amount may be increased for any 12 month
period with the consent of the Aggregate Controlling Party.

“Supplier Payment”:  Collectively, the amounts paid by or on
behalf of the Issuer to manufacturers of Proprietary Products as payment for the
Proprietary Products purchased pursuant to Product Sourcing Agreements.

“Supplier Payment Allocation Amount”:  With
respect to the first three Weekly Allocation Dates of each Payment Date Period,
an amount equal to one-third of aggregate Supplier Payments that will be
required during the immediately succeeding Payment Date Period as estimated by
the Servicer in its business judgment and any such amount due for allocation
but not allocated on previous Weekly Allocation Dates.  With respect to the fourth and, if
applicable, the fifth Weekly Allocation Date of each Payment Date Period, the
Supplier Payment Allocation Amount is an amount equal to the portion (if any)
of the estimated aggregate Supplier Payments for such Payment Date Period with
respect to which an allocation was not made on the previous Weekly Allocation
Dates for such Payment Date Period and Previous Payment Date Periods.

“Tax”:  Any federal, state, local or foreign income,
gross receipts, license, payroll, employment, excise, severance, stamp,
occupation, premium, environmental, custom duties, capital stock, profits,
documentary, property, franchise, withholding, social security (or similar),
unemployment, disability, real property, personal property, sales, use,
transfer, registration, value added, alternative or add on minimum, or other
tax of any kind whatsoever, including any interest, penalty, fine, assessment
or addition thereto.

“Third Party Reimbursed Payment”:  Common
charges, taxes and other costs primarily relating to the maintenance of
Restaurants and paid by the Issuer on behalf of Franchisees to third parties.

“Third Party Reimbursed Payment Allocation Amount”:  With
respect to the first three Weekly Allocation Dates of each Payment Date Period,
an amount equal to one-third of aggregate Third Party Reimbursed Payments that
will be required during the immediately succeeding Payment Date Period as
estimated by the Servicer in its business judgment and any such amount due for
allocation but not allocated on previous Weekly Allocation Dates.  With respect to the fourth and, if
applicable, fifth Weekly Allocation Date of each Payment Date Period, an amount
equal to the portion (if any) of the estimated aggregate Third Party
Reimbursement Payments for such Payment Date Period with respect to which an
allocation was not made on the previous Weekly Allocation Dates for such
Payment Date Period and previous Payment Date Periods.

“Third Party Reimbursement Amounts”:  Funds
received from Franchisees as reimbursement of Third Party Reimbursed Payments.

“Trademarks”:  All trademarks, service marks, trade names,
Internet domain names, trade dress, designs, logos, slogans, or other
indications of origin, and general intangibles

 A-43
 

 

of like nature, whether registered or unregistered,
together with all registrations and applications therefore and all goodwill of
any business connected with the use of and symbolized thereby.

“Training Fee Amount”:
Funds received by the Franchisor as payment for initial or optional trainings
provided by designated Franchisees in accordance with the applicable Franchise
Agreements and Current Practice.

“Training Fee Reimbursement Payment”: A payment by the Franchisor to a designated
Franchisee in consideration for the provision by such designated Franchisee of
initial or optional trainings to other Franchisees in accordance with the
applicable Franchise Agreements and Current Practice.

“Training Fee Reimbursement Payment Allocation Amount”:  With
respect to the first three Weekly Allocation Dates of each Payment Date Period,
an amount equal to one-third of aggregate Training Fee Payments that will be
required during the immediately succeeding Payment Date Period as estimated by
the Servicer in its business judgment and any such amount for allocation but
not allocated on previous Weekly Allocation Dates.  With respect to the fourth and, if
applicable, the fifth Weekly Allocation Date of each Payment Date Period, the
Training Fee Reimbursement Payment Allocation Amount is an amount equal to the
portion (if any) of the estimated aggregate Third Party Reimbursement Payments
for such Payment Date Period with respect to which an allocation was not made
on the previous Weekly Allocation Dates for such Payment Date Period and
Previous Payment Date Periods.

“Transaction Documents”:  This Indenture, the Notes, the Asset Transfer
Agreements, the Securitization Entity Charter Documents, the Servicing
Agreement, the IP License Agreement, the IHOP Operated Restaurant Sub-license
Agreement, the Foreign/Type 3 IP License Agreement, the IHOP Corp. IP License
Agreement, the IP Security Agreements, any Series Hedge Agreement, any Purchase
Agreement, any Insurance Agreement, any Insurance Policy, the Type 1 Property
Lease Credit Agreement, the Owned Real Property Credit Agreement, the Credit
Agreement Notes, the Assignments of Rents, the Leasehold Mortgages, the Owned
Real Property Mortgage, any Insurer Fee Letter, each Account Control Agreement
and the Back-Up Servicing Agreement.

“Transfer Agent”:  The Person or Persons, which may be the
Issuer, authorized by the Issuer to exchange or register the transfer of Notes.

“Trigger Release Amount”:  The
aggregate amount of funds on deposit in the Trigger Reserve Account for any
Series of Notes that are required to be released pursuant to the terms of any
Series Supplement.

“Trigger Reserve Account”:  With
respect to each Series of Notes, the trust account established pursuant to Section
10.6.

“Trigger Reserve Event”:  An event that shall occur and continue for
any particular Series of Notes so long as a Series Trigger Reserve Period is
continuing for such Series of Notes as specified in the applicable Series
Supplement.

 A-44
 

 

“Trust Estate”:  The Collateral and all rights of the
Indenture Trustee under any Insurance Policy, and including, without
limitation, all other money, instruments, and other property and rights subject
or intended to be subject to the Lien of this Indenture for the benefit of all
or any of the Secured Parties as of any particular time, including all proceeds
thereof.

“Trust Officer”:  When used with respect to the Indenture
Trustee, any officer within the Corporate Trust Office (or any successor group
of the Indenture Trustee) including any vice president, assistant vice
president or officer of the Indenture Trustee customarily performing functions
similar to those performed by the persons who at the time shall be such
officers, respectively, or to whom any corporate trust matter is referred at
the Corporate Trust Office because of his knowledge of and familiarity with the
particular subject.

“Type 1 Franchisee Subleases”:  Subleases
relating to any Type 1 Property Lease.

“Type 1 Property Lease Asset Sale Agreement”:  The
meaning specified in the definition of Asset Sale Agreements.

“Type 1 Property Lease Credit Agreement”:  The
secured credit agreement between the Issuer and IHOP Property Leasing, as
amended, modified or supplemented from time to time.

“Type 1 Property Lease Payment”:  A payment
by the Franchisor to a Type 1 Property Lessor.

“Type 1 Property Lease Payment Allocation Amount”:  With
respect to the first three Weekly Allocation Dates of each Payment Date Period,
an amount equal to one-third of aggregate Type 1 Property Lease Payments that
will be required during the immediately succeeding Payment Date Period as
estimated by the Servicer in its business judgment and any such amount for
allocation but not allocated on the immediately previous Weekly Allocation
Date.  With respect to the fourth and, if
applicable, fifth Weekly Allocation Date of each Payment Date Period, an amount
equal to the portion (if any) of the estimated aggregate Type 1 Property Lease
Payments for such Payment Date Period with respect to which an allocation was
not made on the previous Weekly Allocation Dates for such Payment Date Period.

“Type 1 Property Leases”: 
Collectively, the Existing Type 1 Property Leases and New Type 1
Property Leases.

“Type 1 Property Lessors”:  Property
lessors under Type 1 Property Leases.

“Type 2 Franchisee Subleases”:  Subleases
relating to any Type 2 Property Lease (excluding for the avoidance of doubt,
any Type 3 Assets).

“Type 2 Franchisee Payments”: Franchise Payments, Equipment Lease Payments and
Franchisee Note Payments, and Lease Payments and other payments received from
Franchisees under Type 2 Franchisee Subleases.

“Type 2 Property Lease Payment”:  A payment
by the Franchisor to a Type 2 Property Lessor.

 A-45
 

 

“Type 2 Property Lease Payment Allocation Amount”:  With
respect to the first three Weekly Allocation Dates of each Payment Date Period,
an amount equal to one-third of aggregate Type 2 Property Lease Payments that
will be required during the immediately succeeding Payment Date Period as
estimated by the Servicer in its business judgment and any such amount for
allocation but not allocated on the immediately previous Weekly Allocation
Date.  With respect to the fourth and, if
applicable, the fifth Weekly Allocation Date of each Payment Date Period, the
Type 2 Property Lease Payment Allocation Amount is an amount equal to the
portion (if any) of the estimated aggregate Type 2 Property Lease Payments for
such Payment Date Period with respect to which an allocation was not made on
the previous Weekly Allocation Dates for such Payment Date Period.

“Type 2 Property Leases”: 
Collectively, the Existing Type 2 Property Leases and New Type 2
Property Leases.

“Type 2 Property Lessors”:  Property
Lessors under Type 2 Property Leases.

“Type 3 Assets”: 
Collectively, the Type 3 Leasehold Assets, the Type 3 Contract Rights
and the Type 3 Real Estate Assets (none of which are part of the Securitization
Transaction).

“Type 3 Contract Rights”: All of the Type 3 Franchise
Agreements, the Type 3 Area License Agreements, the Type 3 Multi-Store
Development Agreements, the Type 3 Franchisee Notes and the Type 3 Equipment
Leases.

“Type 3 Area License Agreements”: All of the area license
agreements identified on Schedule 27 to the Parent Asset Sale Agreements,
including all accrued and future rights to payment thereunder.

“Type 3 Equipment Leases”: All of the equipment leases
identified on Schedule 8 to the Parent Asset Sale Agreement, including the
residual interest, if any, in the related equipment and the security interest
in that equipment.

“Type 3 Franchise Agreements”: All of the franchise agreements
identified on Schedule 9 to the Parent Asset Sale Agreement, together with all
accrued and future rights to payment thereunder.

“Type 3 Franchisee Notes”: All of the franchisee notes
identified on Schedule 11 to the Parent Asset Sale Agreement, including all
accrued and future rights to payment thereunder.

“Type 3 IHOP Restaurant”: Any Restaurant that has been listed on
a schedule to the Parent Asset Sale Agreement as a Type 3 IHOP Restaurant; provided that an IHOP Restaurant shall cease to be a Type 3
IHOP Restaurant at such time as the related Type 3 Assets have been transferred
to the Securitization Entities in the manner contemplated by the Parent Asset
Sale Agreement and the Lease Subsequent Asset Sale Agreement.  These consist of IHOP Restaurants that IHOP,
Inc. has identified as being potentially affected by certain misstatements in
Uniform Franchise Offering Circulars previously delivered to the affected
Franchisees (which

 A-46
 

 

misstatements were subsequently corrected) relating to
the status of certain trademark registrations at the Patent and Trademark
Office.

“Type 3 Leasehold Assets”: Collectively, Type 3 Property Leases
and the Type 3 Franchisee Subleases.

“Type 3 Multi-Store Development Agreements”: All of the
multi-store development agreements identified on Schedule 7 to the Standard
Terms of Asset Sale Agreements.

“Type 3 Owned Real Property”: The real properties owned by IHOP
Inc. or one or more of its Affiliates on which Type 3 IHOP Restaurants are
located.

“Type 3 Property Lease”: A lease of a real property where a Type
3 IHOP Restaurant is located, which has been subleased by IHOP Inc. or an
Affiliate thereof to the related Franchisee.

“Type 3 Real Estate Assets”: Collectively, the Type 3 Owned Real
Property together with the Type 3 Property Leases.

“UCC”:  The Uniform Commercial Code as in effect from
time to time in the State of New York or, when the context requires, the
Uniform Commercial Code as in effect from time to time in any other applicable
jurisdiction.

“Unhedged Floating Rate Note Principal Limit”: With respect to any Series of Notes, as specified
in the applicable Series Supplement.

“U.S.”, “United
States”: The United States of America (including its territories and
possessions)

“U.S. Person”:  The meaning given in Regulation S under the
Securities Act.

“Weekly Allocation Date”:  The
meaning specified in Section 10.9.

“Weekly Collections Allocation Period”: The weekly period commencing on 12:00a.m. (New
York time) on each Sunday and ending on 11:59p.m. (New York time) on each
Saturday; provided, however, that the first Weekly Collection
Allocation Period following the Closing Date shall be the period commencing on
12:00a.m. (New York time) on the Closing Date and ending on 11:59p.m. (New York
time) on Saturday, March 24, 2007.

“Weekly Servicer’s Report”:  The
meaning specified in Section 12.1(a).

“Weekly Servicing Fee”:  With respect to each Weekly Allocation Date,
an amount equal to the quotient of (a)
$27,000,000 (subject to an increase as of each anniversary of the Closing Date
by a percentage equal to the lesser of (i)
the unadjusted 12-months change in the consumer price index released by the
U.S. Department of Labor as of such time (if greater than zero) and (ii) 3%)
and (b) 52.

 A-47

SCHEDULE 1

LIST
OF SUBSIDIARIES OF THE ISSUER

IHOP Property Leasing, LLC

IHOP Properties, LLC

IHOP Real Estate, LLC

IHOP IP, LLC

 SC1-1

SCHEDULE 2

LIST
OF ELIGIBLE INVESTMENTS

Any one or more negotiable instruments or securities, purchased at or
less than their par value, payable in Dollars, issued by an entity organized
under the laws of the United States of America (or by the United States of
America) and represented by instruments in bearer or registered or in
book-entry form which evidence (excluding any security with the “r” symbol
attached to its rating and any security the payments on which are subject to
withholding tax):

(a)           obligations that are
direct obligations the full and timely payment of which is to be made by, or
obligations that are fully guaranteed as to principal and interest by, the
United States of America other than financial contracts whose value depends on
the values or indices of asset values; provided that such obligations are
backed by the full faith and credit of the United States of America and have a
predetermined, fixed amount of principal due at maturity (that cannot vary or
change) and that each such obligation has a fixed interest rate or has its
interest rate tied to a single interest rate index plus a single fixed spread;

(b)           demand deposits of,
time deposits in, or certificates of deposit issued by, any depositary
institution or trust company incorporated under the laws of the United States
of America or any state thereof whose short-term debt is rated in the highest
short-term debt rating category respectively by Moody’s and by S&P and
which is subject to supervision and examination by federal or state banking or
depositary institution authorities; provided, however, that at the time of the
investment the long-term unsecured debt obligations (other than such
obligations whose rating is based on collateral or on the credit of a Person
other than such institution or trust company) of such depositary institution or
trust company shall have a credit rating from S&P and from Moody’s in the
highest long-term debt rating category respectively;

(c)           commercial paper
having, original maturities of not more than 270 days and a remaining term to
maturity upon purchase of not later than the Business Day preceding the next
Payment Date, a rating from Moody’s and S&P in the highest short-term debt
rating category, respectively, and that has a predetermined fixed amount of principal
due at maturity (that cannot vary or change) and has a fixed interest rate or
has its interest rate tied to a single interest rate index plus a single fixed
spread;

(d)           bankers’ acceptances
issued by any depositary institution or trust company described in clause (b)
above;

(e)           investments in money
market funds that have as one of their investment objectives the maintenance of
a constant net asset value rated “Aaa” by Moody’s and “AAA” by S&P or
otherwise approved in writing by the Aggregate Controlling Party and the Rating
Agencies; and

(f)            any other
instruments or securities, if approved in writing by the Aggregate Controlling
Party and the Rating Agencies confirm in writing that the investment in such
instruments or securities will not adversely affect any ratings with respect to
any Series of Notes;

 SC2-1
 

provided that (i) no investment
described shall evidence either the right to receive (A) only interest with
respect to such investment or (B) a yield to maturity greater than 120% of the
yield to maturity at par of the underlying obligations and (ii) such Eligible
Investments shall mature prior to the immediately succeeding Payment Date.

Each Eligible Investment shall not be subject to deduction or
withholding for or on account of any withholding or similar tax, unless the
payor is required to make “gross up” payments that ensure that the net amount
actually received by the Co-Issuers (free and clear of taxes, whether assessed
against such obligor or the Co-Issuers) will equal the full amount that the Co-Issuers
would have received had no such deduction or withholding been required.

Eligible Investments may include, without limitation, investments for
which the Indenture Trustee or an Affiliate of the Indenture Trustee provides
services and, in each case, that otherwise fall within the foregoing provisions
of this definition.

 SC2-2

SCHEDULE
3

LIST OF
NON-ASSIGNABLE THIRD PARTY INTELLECTUAL PROPERTY

A.            Software Non-Exclusive License Agreement, dated May 31,
1995 between Lawson Associates Inc. and IHOP Corp (and two addenda)

B.            Major Account Sales Agreement, dated January 1, 2002,
between MICROS Systems Inc. and IHOP Corp. (and Amendment, dated January 1,
2002)

C.            Microsoft

1.             Microsoft
Enterprise Agreement, dated November, 17, 2003, between Microsoft Licensing, GP
and IHOP Corp.

2.             Microsoft
Enterprise Enrollment (direct) dated November 1/17/03 between Microsoft
Licensing GP and IHOP Corp.

D.            Business Objects License Agreement, dated December 21,
2004, between Business Objects America and IHOP Inc. (and Order Schedules)

E.             Hyperion

1.             Software License
and Services Agreement, dated June 30, 2005, between Hyperion Solutions
Corporation and IHOP Corp. (and Order Schedules)

2.             Hyperion
Maintenance Service Agreement, dated June 28, 2002, between Hyperion Solutions
Corporation and IHOP Corp.

3.             Professional
Services Statement of Work, dated June 29, 2005, between Hyperion Solutions
Corporation and IHOP Corp.

Services Agreement, dated
April 1, 2005, between Vertical Pitch, LLC and IHOP Corp.  (The license is non-transferable.)

F.             Consulting Services Agreement, dated March 18, 2005,
between Marketing Technologies Group (an alliance partner of Hyperion) and IHOP
Corp.

G.            Oracle

1.             Oracle License and
Services Agreement dated November 25, 2003, between Oracle Corp. and IHOP Corp.
(and Ordering Document, dated February 22, 2005)

2.             Oracle License and Services
Agreement, dated June 19, 2006, between Oracle USA, Inc. and IHOP Corp.

H.            Hitachi

 SC3-1
 

1.             Engagement Letter,
dated November 25, 2003, between Hitachi Consulting Corporation and IHOP
Corporation (relating to Phase I of the Oracle Implementation Project)

2.             Engagement Letter,
dated June 3, 2004, between Hitachi Consulting Corporation and IHOP Corporation
(relating to Phase II of the Oracle Implementation Project)

3.             Master Consulting
Agreement, dated October 10, 2006, between Hitachi Consulting Corporation and
IHOP Corporation

 SC3-2

SCHEDULE 5

LIST
OF PROPRIETARY PRODUCTS

	
  Product Number

  	
   

  	
  Product Name

  	
   

  
	
  36345

  	
   

  	
   

  	
  Buttermilk
  Pancake Mix

  	
   

  
	
  36346

  	
   

  	
   

  	
  Egg Pancake Mix

  	
   

  
	
  36352

  	
   

  	
   

  	
  Harvest Grain ‘n
  Nut Pancake Mix

  	
   

  
	
  32496

  	
   

  	
   

  	
  Corn Cake
  Pancake Mix

  	
   

  
	
  36361

  	
   

  	
   

  	
  Golden Belgian Waffle Mix

  	
   

  

 

 SC5-1

SCHEDULE
7.9

COMPETITIVE
BUSINESS

Any transaction involving a business identified to the
Aggregate Controlling Party on the Closing Date by separate letter.

 SC7.9-1

SCHEDULE
7.12(g)

LIENS
(COLLATERAL)

None

 SC7.12(g)-1

SCHEDULE
7.12(U)

MATERIALLY
ADVERSE PROCEEDINGS

None

 SC7.12(u)-1

SCHEDULE
7.16

LIENS
(ISSUER/CO-ISSUER)

None

 SC7.16-1

EXHIBIT
A

FORM
OF TRANSFER/EXCHANGE CERTIFICATE

FOR TRANSFER/EXCHANGE FROM REGULATION S GLOBAL

NOTE TO RULE 144A GLOBAL NOTE

(Transfers and exchanges pursuant to § 2.5(d)(ii) of
the Base Indenture)

[Transferor Certificate]

Wells Fargo Bank,
National Association

Sixth Street and Marquette Avenue, MAC N9311-161

Minneapolis, MN 55479

Attn: Corporate Trust Services/Asset Backed Administration

Re:          Series
20[  ]-[ 
] Notes due [        ] of

IHOP Franchising, LLC and IHOP IP, LLC (the “Notes”)

Reference is hereby made
to the Base Indenture, dated as of March 16, 2007 (the “Base Indenture”), among
IHOP Franchising, LLC (the “Issuer”), IHOP IP, LLC (the “Co-Issuer”) and Wells
Fargo Bank, National Association, as indenture trustee (the “Indenture Trustee”),
supplemented by the Series 20[  ]-[  ] Series Supplement (the “Series Supplement”
and, together with the Base Indenture, the “Indenture”).  Capitalized terms used but not defined herein
shall have the meanings given to them in the Indenture.

This certificate relates
to US$                       
principal amount of Notes which are evidenced by one or more Regulation S
Global Notes (CUSIP No. [                      ])
and held with DTC, the beneficial interest of which is held by [insert name of
transferor/exchanger] (the “Transferor”). 
The Transferor has requested a transfer or exchange of such beneficial
interest in the Notes to a person that will take delivery thereof (the “Transferee”)
in the form of an equal principal amount of Notes evidenced by one or more Rule
144A Global Notes (CUSIP No. [                      ]).

In the case of a transfer
or exchange, the Transferor hereby certifies that:

(1)           it reasonably believes that the
Transferee acquiring such interest in the Rule 144A Global Note is a QIB (who
is also a QP) and is obtaining such beneficial interest in a transaction
meeting the requirements of Rule 144A and in accordance with any applicable
securities laws of any state of the United States or any other relevant
jurisdiction.

(2)           [the offer of the Notes was note was
not made to a Competitor]*

*              Applies only if such restriction is applicable to the Notes to be transferred as
set forth in the legend relating to such Notes.

[For purposes of this
certificate, “Competitor” means any Person that is a direct or indirect
franchisor, franchisee, licensee, owner or operator of a large regional or
national family restaurant serving the ‘breakfast daypart’ (as such term is
commonly used in the restaurant industry), including but not limited to a
Franchisee or Area Licensee; provided, however, that a Person
shall not be a Competitor solely by virtue of its direct or indirect ownership
of less than five (5) percent of the equity interests in a “Competitor”; provided,
further that a franchisee or a 

 EX-A-1
 

licensee shall
only be a “Competitor” if it, or its Affiliates, directly or indirectly owns,
franchise or licenses in the aggregate ten or more individual locations of a
particular concept.]

This certificate and the
statements contained herein are made for your benefit and the benefit of the
Issuer, the Co-Issuer and the Initial Purchaser of the Notes being transferred
or exchanged.

[Insert Name of
Transferor]

By:

Name:

Title:

Dated:

cc:                                 IHOP
Franchising, LLC

450 North Brand Boulevard

Glendale, CA 91203

IHOP IP, LLC

450 North Brand Boulevard

Glendale, CA 91203

 EX-A-2

EXHIBIT B

FORM
OF REGULATION S TRANSFEREE CERTIFICATE

FORM OF TRANSFER/EXCHANGE CERTIFICATE

FOR TRANSFER/EXCHANGE FROM RULE 144A GLOBAL

NOTE TO REGULATION S GLOBAL NOTE

(Transfers and exchanges pursuant to § 2.5(d)(iii) of
the Base Indenture)

[Transferor Certificate]

Wells Fargo Bank,
National Association

Sixth Street and Marquette Avenue, MAC N9311-161

Minneapolis, MN 55479

Attn: Corporate Trust Services/Asset Backed Administration

Re:          Series
20[  ]-[ 
] Notes due [        ] of

IHOP Franchising, LLC and IHOP IP, LLC (the “Notes”)

Reference is hereby made
to the Base Indenture, dated as of March 16, 2007 (the “Base Indenture”), among
IHOP Franchising, LLC (the “Issuer”), IHOP IP, LLC (the “Co-Issuer”) and Wells
Fargo Bank, National Association, as indenture trustee (the “Indenture Trustee”),
supplemented by the Series 20[  ]-[  ] Series Supplement (the “Series Supplement”
and, together with the Base Indenture, the “Indenture”).  Capitalized terms used but not defined herein
shall have the meanings given to them in the Indenture.

This certificate relates
to US$                     
principal amount of Notes which are evidenced by one or more Rule 144A Global
Notes (CUSIP No. [                        ])
and held with DTC, the beneficial interest of which is held by [insert name of
transferor/exchanger] (the “Transferor”). 
The Transferor has requested a transfer or exchange of such beneficial
interest in the Notes to a person that will take delivery thereof (the “Transferee”)
in the form of an equal principal amount of Notes evidenced by one or more
Regulation S Global Notes (CUSIP No. [                        ]).

In connection with such
request and in respect of such Notes, the Transferor does hereby certify that
in the case of a transfer or an exchange, the transfer or exchange of such
interest has been made in compliance with the transfer restrictions applicable
to the Global Notes, including in accordance with Rule 903 or 904 of Regulation
S under the Securities Act of 1933, as amended (the “Securities Act”) and
accordingly the Transferor does hereby certify that:

(1)           the offer of the Notes was not made
to a person in the United States;

(2)           either:

(A)                              at
the time the buy order was originated, the transferee or exchangee was  outside the United States or the Transferor
and any person acting on its  behalf
reasonably believed that the transferee or exchangee was outside the United
States, or

 EX-B-1
 

(B)                                the
transaction was executed in, on or through the facilities of a designated
offshore securities market and neither the Transferor nor any person acting  on its behalf knows that the transaction was
prearranged with a buyer in the United States;

(3)                                  no
directed selling efforts have been made in contravention of the requirements of
Rule 903(b) or 904(b) or Regulation S, as applicable;

(4)                                  the
transaction is not part of a plan or scheme to evade the registration
requirements of the Securities Act; and

(5)                                  upon
completion of the transaction, the beneficial interest being transferred as
described above is to be held with the Depositary and may be held through
Euroclear or Clearstream or both.

(6)                                  [The
offer of the Notes was note was not made to a Competitor]*

*                    Applies
only if such restriction is applicable to the Notes to be transferred as set
forth in the legend relating to such Notes.

[For purposes of this
certificate, “Competitor” means any Person that is a direct or indirect
franchisor, franchisee, licensee, owner or operator of a large regional or
national family restaurant serving the ‘breakfast daypart’ (as such term is
commonly used in the restaurant industry), including but not limited to a
Franchisee or Area Licensee; provided, however, that a Person
shall not be a Competitor solely by virtue of its direct or indirect ownership
of less than five (5) percent of the equity interests in a “Competitor”; provided,
further that a franchisee or a licensee shall only be a “Competitor” if
it, or its Affiliates, directly or indirectly owns, franchise or licenses in
the aggregate ten or more individual locations of a particular concept.]

In addition, the
Transferor hereby certifies that it reasonably believes that the Transferee
acquiring such interest in the Note is a QP.

This certificate and the
statements contained herein are made for your benefit and the benefit of the
Issuer, the Co-Issuer and the Initial Purchaser of the Notes being transferred
or exchanged.

[Insert Name of Transferor]

By:

Name:

Title:

Dated:

cc:                                 IHOP
Franchising, LLC

450 North Brand Boulevard

Glendale, CA 91203

IHOP IP, LLC

450 North Brand Boulevard

Glendale, CA 91203

 EX-B-2

EXHIBIT C

FORM
OF TRANSFER/EXCHANGE CERTIFICATE

FOR TRANSFER/EXCHANGE FROM DEFINITIVE

NOTE TO REGULATION S GLOBAL NOTE

(Transfers and exchanges pursuant to § 2.5(e)(i) of
the Base Indenture)

[Transferee Certificate]

Wells Fargo Bank,
National Association

Sixth Street and Marquette Avenue, MAC N9311-161

Minneapolis, MN 55479

Attn: Corporate Trust Services/Asset Backed Administration

Re:          Series
20[  ]-[ 
] Notes due [        ] of

IHOP Franchising, LLC and IHOP IP, LLC (the “Notes”)

Reference is hereby made
to the Base Indenture, dated as of March 16, 2007 (the “Base Indenture”), among
IHOP Franchising, LLC (the “Issuer”), IHOP IP, LLC (the “Co-Issuer”) and Wells
Fargo Bank, National Association, as indenture trustee (the “Indenture Trustee”),
supplemented by the Series 20[  ]-[  ] Series Supplement (the “Series Supplement”
and, together with the Base Indenture, the “Indenture”).  Capitalized terms used but not defined herein
shall have the meanings given to them in the Indenture.

This certificate relates
to US$                    
principal amount of Notes which are evidenced by one or more Definitive Notes
(CUSIP No. [                    ])
and held with DTC, the beneficial interest of which is held by [insert name of
transferor/exchanger] (the “Transferor”). 
The Transferor has requested a transfer or exchange of such beneficial
interest in the Notes to a person (the “Transferee”) who will take delivery
thereof in the form of an equal principal amount of Notes evidenced by one or
more Regulation S Global Notes (CUSIP No. [                    ])
which amount, immediately after such transfer, is to be held with the
Depositary.

In connection with
such request and in respect of such Notes, the Transferee does hereby certify
that in the case of an exchange or transfer, that the exchange or transfer of
such interest has been made in compliance with the transfer restrictions
applicable to the Regulation S Global Notes and pursuant to Rule 903 or 904 of
Regulation S, including that the Transferee is neither a U.S. Person nor a U.S.
Resident.  In addition, the Transferee
hereby certifies that it is a QP.  [In
addition, the Transferee does hereby certify that it is not a Competitor.]*

*                    Applies
only if such restriction is applicable to the Notes to be transferred as set forth
in the legend relating to such Notes.

[For purposes of this
certificate, “Competitor” means any Person that is a direct or indirect
franchisor, franchisee, licensee, owner or operator of a large regional or
national family restaurant serving the ‘breakfast daypart’ (as such term is
commonly used in the restaurant industry), including but not limited to a
Franchisee or Area Licensee; provided, however, that a Person
shall not be a Competitor solely by virtue of its direct or indirect ownership
of less than five (5) percent of the equity interests in a “Competitor”; provided,
further that a franchisee or a licensee shall only be a “Competitor” if
it, or its Affiliates, directly or indirectly owns, franchise or licenses in
the aggregate ten or more individual locations of a particular concept.]

 EX-C-1
 

The Transferee hereby
agrees that any future resale, pledge, transfer or exchange of such Notes may
be made only (i) to a person who the seller reasonably believes is a QIB (who
is also a QP) in a transaction meeting the requirements of Rule 144A, or (ii)
in an offshore transaction complying with Rule 903 or Rule 904 (as applicable)
of Regulation S under the Securities Act. The Transferee will notify any
purchaser of Notes from it of the resale restrictions referred to above, if
then applicable.

This certificate and the
statements contained herein are made for your benefit and the benefit of the
Issuer, the Co-Issuer and the Initial Purchaser of the initial offering of such
Notes being transferred or exchanged. 
Terms used in this certificate and not otherwise defined in the
Indenture have the meanings set forth in Regulation S under the Securities Act.

[Insert Name of
Transferee]

By:

Name:

Title:

Dated:

cc:                                 IHOP
Franchising, LLC

450 North Brand Boulevard

Glendale, CA 91203

IHOP IP, LLC

450 North Brand Boulevard

Glendale, CA 91203

 EX-C-2

 

EXHIBIT
D

FORM
OF TRANSFER/EXCHANGE CERTIFICATE

FOR TRANSFER/EXCHANGE FROM DEFINITIVE

NOTE TO DEFINITIVE NOTE

(Transfers and exchanges pursuant to §  2.5(e)(ii) of the Base Indenture)

[Transferee Certificate]

Wells Fargo Bank, National Association

Sixth Street and Marquette Avenue, MAC N9311-161

Minneapolis, MN 55479

Attn: Corporate Trust
Services/Asset Backed Administration

Re:          Series
20[  ]-[ 
] Notes due [        ] of

IHOP Franchising, LLC and IHOP IP, LLC (the “Notes”)

Reference is hereby made
to the Base Indenture, dated as of March 16, 2007 (the “Base Indenture”), among
IHOP Franchising, LLC (the “Issuer”), IHOP IP, LLC (the “Co-Issuer”) and Wells
Fargo Bank, National Association, as indenture trustee (the “Indenture Trustee”),
supplemented by the Series 20[  ]-[  ] Series Supplement (the “Series Supplement”
and, together with the Base Indenture, the “Indenture”).  Capitalized terms used but not defined herein
shall have the meanings given to them in the Indenture.

This certificate relates
to US$                       
principal amount of Notes which are evidenced by one or more Definitive Notes
(CUSIP No.
[                   ]),
the beneficial interest of which is held by [insert name of
transferor/exchanger] (the “Transferor”). The Transferor has requested a
transfer or exchange of such beneficial interest in the Notes to a person (the “Transferee”)
who will take delivery thereof in the form of an equal principal amount of
Notes evidenced by one or more Definitive Notes (CUSIP No.
[                       ]).

In connection with such request and in respect of such
Notes, the Transferee does hereby certify that it is purchasing the Notes for
its own account, or for one or more accounts with respect to which the
Transferee exercises sole investment discretion, and the Transferee and each
such account is either (a) a QIB and a QP or (b) a QP that is not a U.S.
Person. [In addition, the Transferee does hereby certify that it is not a
Competitor.]*

*                    Applies
only if such restriction is applicable to the Notes to be transferred as set
forth in the legend relating to such Notes.

[For purposes of this
certificate, “Competitor” means any Person that is a direct or indirect
franchisor, franchisee, licensee, owner or operator of a large regional or
national family restaurant serving the ‘breakfast daypart’ (as such term is
commonly used in the restaurant industry), including but not limited to a
Franchisee or Area Licensee; provided, however, that a Person
shall not be a Competitor solely by virtue of its direct or indirect ownership
of less than five (5) percent of the equity interests in a “Competitor”; provided,
further that a franchisee or a licensee shall only be a “Competitor” if
it, or its Affiliates, directly or indirectly owns, franchise or licenses in
the aggregate ten or more individual locations of a particular concept.]

 EX-D-1
 

 

The Transferee hereby
agrees that any future resale, pledge, transfer or exchange of such Notes may
be made only (i) to a person who the seller reasonably believes is a QIB (who
is also a QP) in a transaction meeting the requirements of Rule 144A, or (ii)
in an offshore transaction complying with Rule 903 or Rule 904 (as applicable)
of Regulation S under the Securities Act. The Transferee will notify any
purchaser of Notes from it of the resale restrictions referred to above, if
then applicable.

This certificate and the
statements contained herein are made for your benefit and the benefit of the
Issuer, the Co-Issuer and the Initial Purchaser of the initial offering of such
Notes being transferred or exchanged. 
Terms used in this certificate and not otherwise defined in the
Indenture have the meanings set forth in Regulation S under the Securities Act.

	
  [Insert Name of Transferee]

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  
	
  Name:

  	
   

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  	
   

  
	
  Dated:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  cc:

  	
  IHOP
  Franchising, LLC

  	
   

  	
   

  
	
   

  	
  450 North Brand
  Boulevard

  	
   

  	
   

  
	
   

  	
  Glendale, CA
  91203

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  IHOP IP, LLC

  	
   

  	
   

  
	
   

  	
  450 North Brand
  Boulevard

  	
   

  	
   

  
	
   

  	
  Glendale, CA
  91203

  	
   

  	
   

  

 

 EX-D-2

EXHIBIT
E

FORM
OF TRANSFER/EXCHANGE CERTIFICATE

FOR TRANSFER/EXCHANGE FROM GLOBAL NOTE

NOTE TO BENEFICIAL HOLDER

(Transfers and exchanges pursuant to §  [        
] of the Base Indenture)

[Transferee Certificate]

Wells Fargo Bank, National Association

Sixth Street and Marquette Avenue, MAC N9311-161

Minneapolis, MN 55479

Attn: Corporate Trust Services/Asset Backed Administration

Re:          Series
20[  ]-[  ] Notes due [        ] of

IHOP Franchising, LLC and IHOP IP, LLC (the “Notes”)

Reference is hereby made
to the Base Indenture, dated as of March 16, 2007 (the “Base Indenture”), among
IHOP Franchising, LLC (the “Issuer”), IHOP IP, LLC (the “Co-Issuer”) and Wells
Fargo Bank, National Association, as indenture trustee (the “Indenture Trustee”),
supplemented by the Series 20[  ]-[  ] Series Supplement
(the “Series Supplement” and, together with the Base Indenture, the “Indenture”).  Capitalized terms used but not defined herein
shall have the meanings given to them in the Indenture.

This certificate relates
to US$                      
principal amount of Notes which are evidenced by one or more [Regulation S]
[Rule 144A] Global Notes (CUSIP No. [                     ])
and held with DTC, the beneficial interest of which is held by [insert name of
transferor/exchanger] (the “Transferor”). 
The Transferor has requested a transfer or exchange of such beneficial
interest in the Notes to a person (the “Transferee”) who will take delivery
thereof in the form of an equal principal amount of Notes evidenced by one or
more Definitive Notes (CUSIP No. [                     ])
which amount, immediately after such transfer, is to be held with the
Transferee.

In connection with such
request and in respect of such Notes, the Transferee does hereby certify that
it is purchasing the Notes for its own account, or for one or more accounts
with respect to which the Transferee exercises sole investment discretion, and
the Transferee and each such account is either (a) a QIB and a QP or (b) a QP
that is not a U.S. Person. [In addition, the Transferee does hereby certify
that it is not a Competitor.]*

*              Applies
only if such restriction is applicable to the Notes to be transferred as set
forth in the legend relating to such Notes.

[For purposes of this
certificate, “Competitor” means any Person that is a direct or indirect
franchisor, franchisee, licensee, owner or operator of a large regional or
national family restaurant serving the ‘breakfast daypart’ (as such term is
commonly used in the restaurant industry), including but not limited to a
Franchisee or Area Licensee; provided, however, that a Person
shall not be a Competitor solely by virtue of its direct or indirect ownership
of less than five (5) percent of the equity interests in a “Competitor”; provided,
further that a franchisee or a licensee shall only be a “Competitor” if
it, or its Affiliates, directly or indirectly owns, franchise or licenses in
the aggregate ten or more individual locations of a particular concept.]

 EX-E-1
 

The Transferee hereby
agrees that any future resale, pledge, transfer or exchange of such Notes may
be made only (i) to a person who the seller reasonably believes is a QIB (who
is also a QP) in a transaction meeting the requirements of Rule 144A, or (ii)
in an offshore transaction complying with Rule 903 or Rule 904 (as applicable)
of Regulation S under the Securities Act. The Transferee will notify any
purchaser of Notes from it of the resale restrictions referred to above, if
then applicable.

This certificate and the
statements contained herein are made for your benefit and the benefit of the
Issuer, the Co-Issuer and the Initial Purchaser of the initial offering of such
Notes being transferred or exchanged. 
Terms used in this certificate and not otherwise defined in the Indenture
have the meanings set forth in Regulation S under the Securities Act.

	
  [Insert Name of Transferee]

  	
   

  
	
  By:

  	
   

  
	
  Name:

  	
   

  
	
  Title:

  	
   

  
	
  Dated:

  	
   

  	
   

  
			

 

cc:                                 IHOP
Franchising, LLC

450 North Brand Boulevard

Glendale, CA 91203

IHOP IP, LLC

450 North Brand Boulevard

Glendale, CA 91203

 EX-E-2

EXHIBIT
F

FORM
OF REVOCABLE STANDING INSTRUCTION

[Letterhead of IHOP Franchising , LLC]

Wells Fargo Bank, National Association,

as Lock-Box Bank

LA RCBO

333 South Grand Ave, 3rd Floor

Los Angeles, CA 90071

Attn: [John Cate]

March 16, 2007

Re: IHOP Franchising, LLC

Reference is made to the
base indenture, dated as of March 16, 2007, among IHOP Franchising, LLC (the “Issuer”),
IHOP IP, LLC (the “Co-Issuer”) and Wells Fargo Bank, National Association (the “Indenture
Trustee”) (together with any Series Supplement, as may be amended or
supplemented, the “Indenture”).  All
capitalized terms not defined herein shall have the meanings assigned to them
under the Indenture.

In accordance with
Section 10.9(v) of the Indenture, the Issuer hereby instructs  the Lock-Box Bank to withdraw all funds on
deposit in the Residual Account on each Weekly Allocation Date (after all
deposits to such account have been made on such date, but excluding any portion
of such funds on deposit therein as the Issuer determined are to be applied to
the repayment, decrease or other reduction of the balance under any Series of
Notes (together with any interest or other amounts payable thereunder in
connection with such repayment, decrease or other reduction), which the Issuer
shall instruct to be so applied (and for no other purpose) and transfer such
amount by wire transfer to the following account at [BANK], Account #                   
(the “Standing Instruction”).

IHOP Holdings hereby (a)
acknowledges and agrees that pursuant to the Standing Instruction, all funds it
would otherwise receive as dividends from the Issuer in accordance with the
Issuer’s limited liability company agreement will be paid as distributions from
it directly to International House of Pancakes, Inc. and (b) directs the Issuer
to cause such funds to be transferred to IHOP Inc. pursuant to the Standing
Instruction.

This Standing Instruction
is revocable by each of the Issuer and IHOP Holdings at any time and for any
reason; provided, however, that such revocation shall be received by the
Indenture Trustee at least five (5) Business Days prior to its effectiveness.

 EX-F-1
 

 

	
  

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
  IHOP Franchising, LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By: 

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title

  
	
  Acknowledged and agreed,

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  IHOP Holdings, LLC

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  	
   

  
	
  Name:

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Wells Fargo Bank, National Association,

  	
   

  	
   

  
	
  as Lock-Box Bank

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  	
   

  
	
  Name:

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  

 

 EX-F-2

 

EXHIBIT
J

FORM
OF WEEKLY SERVICER’S REPORT

 

 EX-J-1

 

EXHIBIT
K

FORM
OF MONTHLY SERVICER’S CERTIFICATE

[DATE]

Series 20[ 
]-[  ] Notes

Monthly Collection Period: [MM/DD/YY] — [MM/DD/YY]

Payment Date: [MM/DD/YY]

Reference is made to the
Base Indenture, dated as of March 16, 2007, among IHOP Property Leasing, LLC,
IHOP IP, LLC and Wells Fargo Bank, National Association (as amended,
supplemented and otherwise modified from time to time, the “Indenture”)
and the Servicing Agreement, dated as of March 16, 2007, among IHOP
Franchising, LLC, IHOP IP, LLC, IHOP Property Leasing, LLC, IHOP Properties,
LLC, IHOP Real Estate, LLC, International House of Pancakes, Inc., IHOP Corp.,
and Wells Fargo Bank, National Association (the “Servicing Agreement”).  Capitalized terms otherwise not defined
herein shall have the meaning assigned to them in the Indenture or the
Servicing Agreement.

This Monthly Servicer’s
Certificate is delivered pursuant to Section 12.1(b) of the Indenture and
Section 3.1(c) of the Servicing Agreement. The undersigned, on behalf of the
Servicer, hereby certifies as follows:

(A) Attached is a true
and correct copy of the Monthly Servicer’s Report; and

(B) Except as otherwise
previously provided in any other notices, no Servicer Termination Event, Event
of Default or Default has occurred or is continuing.

	
  

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

[ATTACH MONTHLY SERVICER’S REPORT]

 

 EX-K-1

 

EXHIBIT
L

FORM
OF MONTHLY SERVICER’S REPORT

 

 EX-L-1

 

EXHIBIT
M

FORM
OF MONTHLY NOTEHOLDERS’ STATEMENT

[DATE]

Series 20[  ]-[  ]
Notes

Monthly Collection
Period: [MM/DD/YY] — [MM/DD/YY]

Payment Date: [MM/DD/YY]

Reference is made to the
Base Indenture, dated as of March 16, 2007, among IHOP Property Leasing, LLC,
IHOP IP, LLC and Wells Fargo Bank, National Association (as amended,
supplemented and otherwise modified from time to time, the “Indenture”) and the
Servicing Agreement, dated as of March 16, 2007, among IHOP Franchising, LLC,
IHOP IP, LLC, IHOP Property Leasing, LLC, IHOP Properties, LLC, IHOP Real
Estate, LLC, International House of Pancakes, Inc., IHOP Corp., and Wells Fargo
Bank, National Association (the “Servicing Agreement”).  Capitalized terms otherwise not defined
herein shall have the meaning assigned to them in the Indenture or the
Servicing Agreement.

This Monthly Noteholders’
Statement is delivered pursuant to Section 12.1(c) of the Indenture and Section
3.1(b) of the Servicing Agreement. The undersigned, on behalf of the Servicer
and the Issuer, hereby certifies as follows:

(A) To the knowledge of
the Servicer, the historical information contained herein is true and correct
in all material respects;

(B) The forward looking
information contained herein has been prepared in good faith based on
information in the Servicer’s possession and/or reasonably available to the
Servicer as of the date hereof; and

(C) Except as otherwise
set forth herein, the Servicer has performed in all material respects its
obligations under each Transaction Document since the date of the previously
delivered Monthly Noteholders’ Statement.

	
  By:

  	
   

  	
   

  
	
  Name:

  	
   

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  	
   

  
					

[ATTACH MONTHLY
SERVICER’S REPORT]

 

 EX-M-1

 

EXHIBIT
Q

FORM
OF LIEN FILING INSTRUMENT (INTELLECTUAL PROPERTY)

 

 EX-Q-1

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00123-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00123-of-00352.parquet"}]]