Document:

<PAGE>
                                                                   EXHIBIT 10.27

                     RELEASE AND NON-DISPARAGEMENT AGREEMENT

     THIS RELEASE AND NON-DISPARAGEMENT AGREEMENT (the "Release") is made as of
the 17th day of February, 2006, by and between JACK LEWIS ("Executive") and
KIRKLAND'S, INC. (the "Company").

     WHEREAS, Executive's employment with the Company was terminated on February
8, 2006; and

     WHEREAS, in connection with the termination of Executive's employment, the
Company has agreed to pay Executive certain amounts, subject to the execution of
this Agreement.

     NOW THEREFORE, in consideration of these premises and the mutual promises
contained herein, and intending to be legally bound hereby, the parties agree as
follows:

I.       Resignations.  Executive hereby resigns as a director of the Company
and any subsidiary or affiliate of the Company, effective as of the date of this
Release.

II.      Acknowledgements.  Executive acknowledges that:  (a) the payments
described in Section III of this Release constitute full settlement of all his
rights against the Company including, but not limited to, those under the
Employment Agreement by and between the Company and Executive dated as of June
1, 2005 (the "Employment Agreement"); (b) he has no entitlement under any other
severance or similar arrangement maintained by the Company; (c) no stock option
or other right held by him to acquire capital stock of the Company is or was
ever exercisable and each such option and right expired on February 8, 2006; (d)
except as otherwise provided specifically in this Release, the Company does not
and will not have any other liability or obligation to him. Executive further
acknowledges that, in the absence of his execution of this Release, he would not
otherwise be entitled to the payments described in Section III below.

III.     Consideration.  Provided that Executive executes and does not revoke
this Release within the seven (7) day period referenced in Section VIII, the
Company, within one (1) business day after the Company's General Counsel
receives written notice that the Release has not been revoked, will provide
Executive with the following:

         A.   a lump sum payment of a $250,000 annual bonus in respect of the
Company's 2005 fiscal year (subject to applicable withholding taxes);

         B.   a lump sum severance payment of $375,000 (subject to applicable
withholding taxes); and

         C.   an eight month waiver of that portion of the applicable premium
otherwise payable by Executive for COBRA continuation coverage equal to the
amount contributed by the Company toward the cost of group health insurance for
Executive and his eligible dependents (if any) immediately prior to the
cessation of his employment.

<PAGE>

IV.      Release and Covenant Not to Sue.

         A. Release. Executive hereby fully and forever releases and discharges
Company (including, for purposes of this Section IV, all predecessors and
successors, subsidiaries, affiliates, assigns, officers, directors, trustees,
employees, agents and attorneys, past and present) from any and all claims,
demands, liens, agreements, contracts, covenants, actions, suits, causes of
action, obligations, controversies, debts, costs, expenses, damages, judgments,
orders and liabilities, of whatever kind or nature, direct or indirect, in law,
equity or otherwise, whether known or unknown, arising out of Executive's
employment by the Company or the termination thereof, including, but not limited
to, any claims for relief or causes of action under the Age Discrimination in
Employment Act of 1967, 29 U.S.C. Section 621 et seq., or any other federal,
state or local statute, ordinance or regulation regarding discrimination in
employment and any claims, demands or actions based upon alleged wrongful or
retaliatory discharge or breach of contract under any state or federal law,
including but not limited to any claims under Executive's Employment Agreement
or any other agreement with the Company.

         B. Covenant Not to Sue. Executive expressly represents that he has not
filed a lawsuit or initiated any other administrative proceeding against the
Company and that he has not assigned any claim against the Company to any other
person or entity. Executive further promises not to initiate a lawsuit or to
bring any other claim against the Company arising out of or in any way relating
to Executive's employment by the Company or the termination of that employment.
This Release will not prevent Executive from filing a charge with the Equal
Employment Opportunity Commission (or similar state agency) or participating in
any investigation conducted by the Equal Employment Opportunity Commission (or
similar state agency); provided, however, that any claims by Executive for
personal relief in connection with such a charge or investigation (such as
reinstatement or monetary damages) will be barred.

         C. Claims Not Released. The forgoing will not be deemed to release the
Company from claims (i) to enforce this Release, (ii) that may arise after the
date the Release is executed, or (iii) for indemnification under the Company's
By-Laws, under applicable law, under any indemnification agreement between the
Company and Executive or under any similar arrangement.

V.       Non-Competition and Confidentiality Obligations.  Executive
acknowledges that Sections 6, 7 and 8 of the Employment Agreement survive the
termination of his employment; provided, however, that the term "Restriction
Period," as set out in Section 7(b) of the Employment Agreement, is hereby
modified to mean a period of eight (8) months following the effective date of
this Release (subject to extension to the extent provided in Sections 7(b)(i)
and (ii) of the Employment Agreement). Executive affirms that the restrictions
contained in Sections 6, 7 and 8 of the Employment Agreement, as modified in the
prior sentence, are reasonable and necessary to protect the legitimate interests
of the Company, that he received adequate consideration in exchange for agreeing
to such restrictions, and that he will abide by those restrictions.

VI.      Non-Disparagement.  Executive will not disparage the Company or any
of its directors, officers, agents, employees or affiliates or otherwise take
any action which could reasonably be expected to adversely affect the personal
or professional reputation of the Company or any of its

                                      -2-

<PAGE>

directors, officers, agents, employees or affiliates. The Company will not
disparage Executive or otherwise take any action which could reasonably be
expected to adversely affect the personal or professional reputation of the
Executive. In response to any inquiry from any prospective employer of
Executive, its agent, or any other third party, the Company will state that
Company policy precludes any comment, other than to disclose Executive's dates
of employment and position held.

VII.     Cooperation.  Executive further agrees that he will cooperate fully
with the Company and its counsel with respect to any matter (including
litigation, investigations, or governmental proceedings) that relates to matters
with which Executive was involved during his employment with the Company.
Executive shall render such cooperation in a timely manner on reasonable notice
from the Company. The Company will (a) reimburse reasonable expenses incurred by
Executive and any compensation foregone in the course of fulfilling his
obligations under this paragraph and (b) will exercise commercially reasonable
efforts to schedule the time for Executive's cooperation so as to avoid
interfering with the Executive's other personal and professional obligations.

VIII.    Rescission Right.  Executive expressly acknowledges and recites that
he was provided twenty-one (21) calendar days after receipt of the Release to
consider its terms before signing it, and he is provided seven (7) calendar days
from the date of signing to terminate and revoke this Release in which case this
Release shall be unenforceable, null and void. Executive may revoke this Release
during those seven (7) days by providing written notice of revocation to the
Company, care of its General Counsel, at the address and in the manner indicated
in Section 16 of the Employment Agreement.

IX.      Challenge.  If Executive violates or challenges the enforceability of
this Release, no further benefits under Section III of the Release will be paid
or provided to Executive.

X.       Miscellaneous.

         (a) No Admission of Liability. This Release is not to be construed as
an admission of any violation of any federal, state or local statute, ordinance
or regulation or of any duty owed by the Company to Executive. There have been
no such violations, and the Company specifically denies any such violations.

         (b) No Reinstatement. Executive agrees that he will not apply for
reinstatement with the Company or seek in any way to be reinstated, re-employed
or hired by the Company in the future.

         (c) Return of Company Property. Executive acknowledges that, as of the
effective date of this Release, he has delivered all Company property and
equipment in his possession, regardless of its location, such as, but not
limited to, files, documents and any copies thereof in whatever form (including
electronic), computer equipment, software, fax machines, credit cards, telephone
charge cards, cellular phones, keys, security passes, passwords, automobiles,
and any other Company property in his possession to the Company and that he is
not in possession of any Company property in any form. Should Executive discover
that he is in possession of Company

                                      -3-

<PAGE>

property following the effective date of this Release, he agrees to
contact immediately the Company's General Counsel to arrange its return.

         (d) Successors and Assigns. This Release will inure to the benefit of
and be binding upon the Company and Executive and their respective successors,
executors, administrators, heirs and (in the case of the Company) permitted
assigns. The Company may assign this Release to any successor to all or
substantially all of its assets and business by means of liquidation,
dissolution, merger, consolidation, transfer of assets, or otherwise. Executive
may not make any assignment of this Release or any interest herein.

         (e) Severability. The provisions of this Release are severable. If any
provision or the scope of any provision is found to be unenforceable or is
modified by a court of competent jurisdiction, the other provisions or the
affected provisions as so modified shall remain fully valid and enforceable.

         (f) Entire Agreement; Amendments. Except as otherwise provided herein,
this Release contains the entire agreement and understanding of the parties
hereto relating to the subject matter hereof, and merges and supersedes all
prior and contemporaneous discussions, agreements and understandings of every
nature relating to the subject matter hereof. This Release may not be changed or
modified, except by a Release in writing signed by each of the parties hereto.

         (g) Governing Law. This Release shall be governed by, and enforced in
accordance with, the laws of the State of Tennessee, without regard to the
application of the principles of conflicts of laws.

         (h) Counterparts and Facsimiles. This Release may be executed,
including execution by facsimile signature, in one or more counterparts, each of
which shall be deemed an original, and all of which together shall be deemed to
be one and the same instrument.

         [This space left blank intentionally; signature page follows.]

                                      -4-

<PAGE>

     Executive hereby acknowledges that he has carefully read and fully
understands the provisions of this Release between the Company and himself. He
has relied solely on this Release and not upon any other representation or
statement, written or oral. He also acknowledges that he has been advised to
consult with his personal, legal, financial and tax advisors prior to signing
this Release and that he has had adequate time to do so. He is entering into
this Release knowingly and voluntarily and not as a result of any pressure,
coercion or duress.

     IN WITNESS WHEREOF, the Company has caused this Release to be executed by
its duly authorized officer, and Executive has executed this Release, in each
case as of the date first above written.

                             KIRKLAND'S, INC.

                             By:      /s/ Robert E. Alderson
                                      ------------------------------------------
                                      Robert E. Alderson
                                      President and Chief Executive Officer

                             By:      /s/ Jack Lewis
                                      ------------------------------------------
                                      Jack Lewis

                                      -5-exv10w1

 

EXHIBIT 10.1

	 	 	 	 	 
	Contact:	 	Customer Services — CTSLink
	 	 	Wells Fargo Bank Minnesota, N.A.
	 	 	Securities Administration Services
	 	 	7485 New Horizon Way
	 	 	Frederick, MD 21703
	 	 	www.ctslink.com
	 

	 	Telephone:
	 	(301) 815-6600
	 

	 	Fax:
	 	(301) 315-6660

SMT SERIES 2005-3

Record Date: February 28, 2006

Distribution Date: March 20, 2006

Certificateholder Distribution Summary

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	Certificate	 	Certificate	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	Class	 	Pass-Through	 	Beginning	 	Interest	 	Principal	 	Current	 	Ending Certificate	 	Total	 	Cumulative
	Class	 	CUSIP	 	Description	 	Rate	 	Certificate Balance	 	Distribution	 	Distribution	 	Realized Loss	 	Balance	 	Distribution	 	Realized Loss
	A-R

	 	81744FHN0
	 	SEN
	 	 	5.37044	%	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 
	A-1

	 	81744FHK6
	 	SEN
	 	 	4.77000	%	 	 	227,725,448.16	 	 	 	904,712.35	 	 	 	9,385,834.27	 	 	 	0.00	 	 	 	218,339,613.89	 	 	 	10,290,546.62	 	 	 	0.00	 
	B-1

	 	81744FHP5
	 	SUB
	 	 	4.94000	%	 	 	6,208,000.00	 	 	 	25,542.25	 	 	 	0.00	 	 	 	0.00	 	 	 	6,208,000.00	 	 	 	25,542.25	 	 	 	0.00	 
	B-2

	 	81744FHQ3
	 	SUB
	 	 	5.21000	%	 	 	3,287,000.00	 	 	 	14,263.23	 	 	 	0.00	 	 	 	0.00	 	 	 	3,287,000.00	 	 	 	14,263.23	 	 	 	0.00	 
	B-3

	 	81744FHR1
	 	SUB
	 	 	5.53710	%	 	 	2,374,000.00	 	 	 	10,948.22	 	 	 	0.00	 	 	 	0.00	 	 	 	2,374,000.00	 	 	 	10,948.22	 	 	 	0.00	 
	B-4

	 	81744FHS9
	 	SUB
	 	 	5.53710	%	 	 	1,095,000.00	 	 	 	5,049.83	 	 	 	0.00	 	 	 	0.00	 	 	 	1,095,000.00	 	 	 	5,049.83	 	 	 	0.00	 
	B-5

	 	81744FHT7
	 	SUB
	 	 	5.53710	%	 	 	731,000.00	 	 	 	3,371.17	 	 	 	0.00	 	 	 	0.00	 	 	 	731,000.00	 	 	 	3,371.17	 	 	 	0.00	 
	B-6

	 	81744FHU4
	 	SUB
	 	 	5.53710	%	 	 	1,826,168.26	 	 	 	8,421.78	 	 	 	0.00	 	 	 	0.00	 	 	 	1,826,168.26	 	 	 	8,421.78	 	 	 	0.00	 
	X-A

	 	81744FHL4
	 	IO
	 	 	0.76710	%	 	 	0.00	 	 	 	145,493.76	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	145,493.76	 	 	 	0.00	 
	X-B

	 	81744FHM2
	 	IO
	 	 	0.50363	%	 	 	0.00	 	 	 	3,982.80	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	3,982.80	 	 	 	0.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Totals

	 	 	 	 	 	 	 	 	 	 	243,246,616.42	 	 	 	1,121,785.39	 	 	 	9,385,834.27	 	 	 	0.00	 	 	 	233,860,782.15	 	 	 	10,507,619.66	 	 	 	0.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

Principal Distribution Statement

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Beginning	 	Scheduled	 	Unscheduled	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Original Face	 	Certificate	 	Principal	 	Principal	 	 	 	 	 	Realized	 	Total Principal	 	Ending Certificate	 	Ending Certificate	 	Total Principal
	Class	 	Amount	 	Balance	 	Distribution	 	Distribution	 	Accretion	 	Loss	 	Reduction	 	Balance	 	Percentage	 	Distribution
	A-R

	 	 	100.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00000000	 	 	 	0.00	 
	A-1

	 	 	349,687,000.00	 	 	 	227,725,448.16	 	 	 	1,604.27	 	 	 	9,384,230.00	 	 	 	0.00	 	 	 	0.00	 	 	 	9,385,834.27	 	 	 	218,339,613.89	 	 	 	0.62438585	 	 	 	9,385,834.27	 
	B-1

	 	 	6,208,000.00	 	 	 	6,208,000.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	6,208,000.00	 	 	 	1.00000000	 	 	 	0.00	 
	B-2

	 	 	3,287,000.00	 	 	 	3,287,000.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	3,287,000.00	 	 	 	1.00000000	 	 	 	0.00	 
	B-3

	 	 	2,374,000.00	 	 	 	2,374,000.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	2,374,000.00	 	 	 	1.00000000	 	 	 	0.00	 
	B-4

	 	 	1,095,000.00	 	 	 	1,095,000.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	1,095,000.00	 	 	 	1.00000000	 	 	 	0.00	 
	B-5

	 	 	731,000.00	 	 	 	731,000.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	731,000.00	 	 	 	1.00000000	 	 	 	0.00	 
	B-6

	 	 	1,826,168.26	 	 	 	1,826,168.26	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	1,826,168.26	 	 	 	1.00000000	 	 	 	0.00	 
	X-A

	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00000000	 	 	 	0.00	 
	X-B

	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00000000	 	 	 	0.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Totals

	 	 	365,208,268.26	 	 	 	243,246,616.42	 	 	 	1,604.27	 	 	 	9,384,230.00	 	 	 	0.00	 	 	 	0.00	 	 	 	9,385,834.27	 	 	 	233,860,782.15	 	 	 	0.64034909	 	 	 	9,385,834.27	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

 

Principal Distribution Factors Statement

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Beginning	 	Scheduled	 	Unscheduled	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	Ending	 	 
	 	 	Original Face	 	Certificate	 	Principal	 	Principal	 	 	 	 	 	Realized	 	Total Principal	 	Ending Certificate	 	Certificate	 	Total Principal
	Class	 	Amount	 	Balance	 	Distribution	 	Distribution	 	Accretion	 	Loss	 	Reduction	 	Balance	 	Percentage	 	Distribution
	A-R

	 	 	100.00	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.0000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 
	A-1

	 	 	349,687,000.00	 	 	 	651.22652017	 	 	 	0.00458773	 	 	 	26.83608484	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	26.84067257	 	 	 	624.38584760	 	 	 	0.62438585	 	 	 	26.84067257	 
	B-1

	 	 	6,208,000.00	 	 	 	1000.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	1000.00000000	 	 	 	1.00000000	 	 	 	0.00000000	 
	B-2

	 	 	3,287,000.00	 	 	 	1000.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	1000.00000000	 	 	 	1.00000000	 	 	 	0.00000000	 
	B-3

	 	 	2,374,000.00	 	 	 	1000.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	1000.00000000	 	 	 	1.00000000	 	 	 	0.00000000	 
	B-4

	 	 	1,095,000.00	 	 	 	1000.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	1000.00000000	 	 	 	1.00000000	 	 	 	0.00000000	 
	B-5

	 	 	731,000.00	 	 	 	1000.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	1000.00000000	 	 	 	1.00000000	 	 	 	0.00000000	 
	B-6

	 	 	1,826,168.26	 	 	 	1000.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	1000.00000000	 	 	 	1.00000000	 	 	 	0.00000000	 
	X-A

	 	 	0.00	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 
	X-B

	 	 	0.00	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 

Interest Distribution- Statement

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	Payment	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	of	 	 	 	 	 	Non-	 	 	 	 	 	Remaining	 	Ending
	 	 	 	 	 	 	 	 	Current	 	Beginning	 	Current	 	Unpaid	 	Current	 	Supported	 	 	 	 	 	Unpaid	 	Certificate/
	 	 	 	 	Accrual	 	Certificate	 	Certificate/	 	Accrued	 	Interest	 	Interest	 	Interest	 	Total Interest	 	Interest	 	Notational
	Class	 	Accural Dates	 	Days	 	Rate	 	Notional Balance	 	Interest	 	Shortfall	 	Shortfall	 	Shortfall(1)	 	Distribution	 	Shortfall(2)	 	Balance
	A-R

	 	N/A
	 	 	N/A	 	 	 	5.37044	%	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	0.00	 
	A-1

	 	02/20/06 – 03/19/06
	 	 	30	 	 	 	4.77000	%	 	 	227,725,448.16	 	 	 	905,208.66	 	 	 	0.00	 	 	 	0.00	 	 	 	496.31	 	 	 	904,712.35	 	 	 	0.00	 	 	 	218,339,613.89	 
	B-1

	 	02/20/06 – 03/19/06
	 	 	30	 	 	 	4.94000	%	 	 	6,208,000.00	 	 	 	25,556.27	 	 	 	0.00	 	 	 	0.00	 	 	 	14.01	 	 	 	25,542.25	 	 	 	0.00	 	 	 	6,208,000.00	 
	B-2

	 	02/20/06 – 03/19/06
	 	 	30	 	 	 	5.21000	%	 	 	3,287,000.00	 	 	 	14,271.06	 	 	 	0.00	 	 	 	0.00	 	 	 	7.82	 	 	 	14,263.23	 	 	 	0.00	 	 	 	3,287,000.00	 
	B-3

	 	02/01/06 – 02/28/06
	 	 	30	 	 	 	5.53710	%	 	 	2,374,000.00	 	 	 	10,954.23	 	 	 	0.00	 	 	 	0.00	 	 	 	6.01	 	 	 	10,948.22	 	 	 	0.00	 	 	 	2,374,000.00	 
	B-4

	 	02/01/06 – 02/28/06
	 	 	30	 	 	 	5.53710	%	 	 	1,095,000.00	 	 	 	5,052.60	 	 	 	0.00	 	 	 	0.00	 	 	 	2.77	 	 	 	5,049.83	 	 	 	0.00	 	 	 	1,095,000.00	 
	B-5

	 	02/01/06 – 02/28/06
	 	 	30	 	 	 	5.53710	%	 	 	731,000.00	 	 	 	3,373.02	 	 	 	0.00	 	 	 	0.00	 	 	 	1.85	 	 	 	3,371.17	 	 	 	0.00	 	 	 	731,000.00	 
	B-6

	 	02/01/06 – 02/28/06
	 	 	30	 	 	 	5.53710	%	 	 	1,826,168.26	 	 	 	8,426.40	 	 	 	0.00	 	 	 	0.00	 	 	 	4.62	 	 	 	8,421.78	 	 	 	0.00	 	 	 	1,826,168.26	 
	X-A

	 	02/01/06 – 02/28/06
	 	 	30	 	 	 	0.76710	%	 	 	227,725,448.16	 	 	 	145,573.58	 	 	 	0.00	 	 	 	0.00	 	 	 	79.82	 	 	 	145,493.76	 	 	 	0.00	 	 	 	218,339,613.89	 
	X-B

	 	02/01/06 – 02/28/06
	 	 	30	 	 	 	0.50363	%	 	 	9,495,000.00	 	 	 	3,984.98	 	 	 	0.00	 	 	 	0.00	 	 	 	2.18	 	 	 	3,982.80	 	 	 	0.00	 	 	 	9,495,000.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Totals

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	1,122,400.80	 	 	 	0.00	 	 	 	0.00	 	 	 	615.39	 	 	 	1,121,785.39	 	 	 	0.00	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

 

			
	(1, 2) Amount also includes coupon cap or basis risk shortfalls, if applicable.

 

Interest Distribution Factors Statement

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	Beginning	 	 	 	 	 	Payment of	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	Ending
	 	 	 	 	 	 	Current	 	Certificate/	 	 	 	 	 	Unpaid	 	 	 	 	 	Non-Supported	 	 	 	 	 	Remaining	 	Certificate/
	 	 	Original Face	 	Certificate	 	Notional	 	Current Accrued	 	Interest	 	Current Interest	 	Interest	 	Total Interest	 	Unpaid Interest	 	Notational
	Class	 	Amount	 	Rate	 	Balance	 	Interest	 	Shortfall	 	Shortfall(1)	 	Shortfall	 	Distribution	 	Shortfall(2)	 	Balance
	A-R

	 	 	100.00	 	 	 	5.37044	%	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00000000	 
	A-1

	 	 	349,687,000.00	 	 	 	4.77000	%	 	 	651.22652017	 	 	 	2.58862543	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00141930	 	 	 	2.58720613	 	 	 	0.00000000	 	 	 	624.38584760	 
	B-1

	 	 	6,208,000.00	 	 	 	4.94000	%	 	 	1000.00000000	 	 	 	4.11666720	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00225677	 	 	 	4.11440883	 	 	 	0.00000000	 	 	 	1000.00000000	 
	B-2

	 	 	3,287,000.00	 	 	 	5.21000	%	 	 	1000.00000000	 	 	 	4.34166717	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00237907	 	 	 	4.33928506	 	 	 	0.00000000	 	 	 	1000.00000000	 
	B-3

	 	 	2,374,000.00	 	 	 	5.53710	%	 	 	1000.00000000	 	 	 	4.61425021	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00253159	 	 	 	4.61171862	 	 	 	0.00000000	 	 	 	1000.00000000	 
	B-4

	 	 	1,095,000.00	 	 	 	5.53710	%	 	 	1000.00000000	 	 	 	4.61424658	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00252968	 	 	 	4.61171689	 	 	 	0.00000000	 	 	 	1000.00000000	 
	B-5

	 	 	731,000.00	 	 	 	5.53710	%	 	 	1000.00000000	 	 	 	4.61425170	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00253078	 	 	 	4.61172367	 	 	 	0.00000000	 	 	 	1000.00000000	 
	B-6

	 	 	1,826,168.26	 	 	 	5.53710	%	 	 	1000.00000000	 	 	 	4.61425445	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00252989	 	 	 	4.61172181	 	 	 	0.00000000	 	 	 	1000.00000000	 
	X-A

	 	 	0.00	 	 	 	0.76710	%	 	 	651.22652017	 	 	 	0.41629680	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00022826	 	 	 	0.41606854	 	 	 	0.00000000	 	 	 	624.38584760	 
	X-B

	 	 	0.00	 	 	 	0.50363	%	 	 	1000.00000000	 	 	 	0.41969247	 	 	 	0.00000000	 	 	 	0.00000000	 	 	 	0.00022959	 	 	 	0.41946288	 	 	 	0.00000000	 	 	 	1000.00000000	 

 

			
	(1, 2) Amount also includes coupon cap or basis risk shortfalls, if applicable.

Per $1 denomination

Certificateholder Account Statement

Certificate Account

	 	 	 	 	 
	Beginning Balance
	 	 	0.00	 
	Deposits

	 	 	 	 
	 
	Payments of Interest and Principal
	 	 	10,575,292.94	 
	Reserve Funds and Credit Enhancements
	 	 	0.00	 
	Proceeds from Repurchased Loans
	 	 	0.00	 
	Servicer Advances
	 	 	27,491.90	 
	Realized Loss (Gains, Subsequent Expenses & Recoveries)
	 	 	0.00	 
	Prepayment Penalties
	 	 	0.00	 
	Swap/Cap Payments
	 	 	0.00	 
	 
	 	 	 
	Total Deposits
	 	 	10,602,784.84	 
	 
	Withdrawals

	 	 	 	 
	Reserve Funds and Credit Enhancements
	 	 	0.00	 
	Reimbursement of Servicer Advances
	 	 	15,419.78	 
	Total Administration Fees
	 	 	79,745.40	 
	Payment of Interest and Principal
	 	 	10,507,619.66	 
	 
	 	 	 
	Total Withdrawals (Pool Distribution Amount)
	 	 	10,602,784.84	 
	 
	Ending Balance
	 	 	0.00	 
	 
	 	 	 

 

Prepayment/Curtailment Interest Shortfall

	 	 	 	 	 
	Total Prepayment/Curtailment Interest Shortfall
	 	 	615.39	 
	Servicing Fee Support
	 	 	0.00	 
	 
	 	 	 
	 
	 	 	 	 
	Non-Supported Prepayment Curtailment Interest Shortfall
	 	 	615.39	 
	 
	 	 	 

Administration Fees

	 	 	 	 	 
	Gross Servicing Fee*
	 	 	76,400.76	 
	Master Servicing Fee
	 	 	3,344.64	 
	Supported Prepayment/Curtailment Interest Shortfall
	 	 	0.00	 
	 
	 	 	 
	 
	 	 	 	 
	Total Administration Fees
	 	 	79,745.40	 
	 
	 	 	 

 

*Servicer Payees include: BANK OF AMERICA (NY); GMAC MTG CORP;

MORGAN STANLEY DEAN WITTER; NATIONAL CITY MTG CO; PHH US MTG

CORP; RESIDENTIAL FUNDING CORP

Other Accounts

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Beginning	 	Current	 	Current	 	Ending
	Account Type	 	Balance	 	Withdrawals	 	Deposits	 	Balance
	Reserve Fund
	 	 	5,000.00	 	 	 	0.00	 	 	 	0.00	 	 	 	5,000.00	 
	Reserve Fund
	 	 	5,000.00	 	 	 	0.00	 	 	 	0.00	 	 	 	5,000.00	 

 

Collateral Statement

	 	 	 	 	 
	Collateral Description	 	Mixed ARM	 
	Weighted Average Gross Coupon
	 	 	5.930505	%
	Weighted Average Net Coupon
	 	 	5.553600	%
	Weighted Average Pass-Through Rate
	 	 	5.537100	%
	Weighted Average Remaining Term
	 	 	327	 
	 
	 	 	 	 
	Beginning Scheduled Collateral Loan Count
	 	 	716	 
	Number of Loans Paid in Full
	 	 	34	 
	Ending Scheduled Collateral Loan Count
	 	 	682	 
	 
	 	 	 	 
	Beginning Scheduled Collateral Balance
	 	 	243,246,616.42	 
	Ending Scheduled Collateral Balance
	 	 	233,860,782.15	 
	Ending Actual Collateral Balance at 28-Feb-2006
	 	 	233,861,935.15	 
	 
	 	 	 	 
	Monthly P&I Constant
	 	 	1,203,750.39	 
	Special Servicing Fee
	 	 	0.00	 
	Prepayment Penalty Waived Amount
	 	 	0.00	 
	Prepayment Penalty Waived Count
	 	 	0	 
	Prepayment Penalty Paid Amount
	 	 	0.00	 
	Prepayment Penalty Paid Count
	 	 	0	 
	Realized Loss Amount
	 	 	0.00	 
	Cumulative Realized Loss
	 	 	0.00	 
	 
	 	 	 	 
	Scheduled Principal
	 	 	1,604.27	 
	Unscheduled Principal
	 	 	9,384,230.00	 

Additional Reporting – Deal Level

Miscellaneous Reporting

	 	 	 	 	 
	Senior Percentage
	 	 	93.619164	%
	Senior Prepayment Percentage
	 	 	100.000000	%
	Subordinate Prepayment Percentage
	 	 	0.000000	%
	Subordinate Percentage
	 	 	6.380836	%

 

Loan Status Stratification/Credit Enhancement Statement

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	DELINQUENT	 	 	BANKRUPTCY	 	 	FORECLOSURE	 	 	REO	 	 	TOTAL
	 	 	No. of	 	Principal	 	 	 	 	 	No. of	 	 	Principal	 	 	 	 	 	No. of	 	 	Principal	 	 	 	 	 	No. of	 	 	Principal	 	 	 	 	 	No. of	 	 	Principal
	 	 	Loans	 	Balance	 	 	 	 	 	Loans	 	 	Balance	 	 	 	 	 	Loans	 	 	Balance	 	 	 	 	 	Loans	 	 	Balance	 	 	 	 	 	Loans	 	 	Balance
	0-29 Days

	 	 	0	 	 	 	0.00	 	 	 	0-29 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	0-29 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	0-29 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	0-29 Days
	 	 	 	0	 	 	 	 	0.00	 
	30 Days

	 	 	12	 	 	 	4,691,562.99	 	 	 	30 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	30 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	30 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	30 Days
	 	 	 	12	 	 	 	 	4,691,562.99	 
	60 Days

	 	 	3	 	 	 	1,034,577.24	 	 	 	60 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	60 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	60 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	60 Days
	 	 	 	3	 	 	 	 	1,034,577.24	 
	90 Days

	 	 	0	 	 	 	0.00	 	 	 	90 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	90 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	90 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	90 Days
	 	 	 	0	 	 	 	 	0.00	 
	120 Days

	 	 	0	 	 	 	0.00	 	 	 	120 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	120 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	120 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	120 Days
	 	 	 	0	 	 	 	 	0.00	 
	150 Days

	 	 	0	 	 	 	0.00	 	 	 	150 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	150 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	150 Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	150 Days
	 	 	 	0	 	 	 	 	0.00	 
	180+ Days

	 	 	0	 	 	 	0.00	 	 	 	180+ Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	180+ Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	180+ Days
	 	 	 	0	 	 	 	 	0.00	 	 	 	180+ Days
	 	 	 	0	 	 	 	 	0.00	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	15	 	 	 	5,726,140.23	 	 	 	 	 	 	 	0	 	 	 	 	0.00	 	 	 	 	 	 	 	0	 	 	 	 	0.00	 	 	 	 	 	 	 	0	 	 	 	 	0.00	 	 	 	 	 	 	 	15	 	 	 	 	5,726,140.23	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	No. of
	 	Principal
	 	 	 	 	 	No. of
	 	 	Principal
	 	 	 	 	 	No. of
	 	 	Principal
	 	 	 	 	 	No. of
	 	 	Principal
	 	 	 	 	 	No. of
	 	 	Principal

	 

	 	Loans
	 	Balance
	 	 	 	 	 	Loans
	 	 	Balance
	 	 	 	 	 	Loans
	 	 	Balance
	 	 	 	 	 	Loans
	 	 	Balance
	 	 	 	 	 	Loans
	 	 	Balance

	0-29 Days

	 	 	0.000000	%	 	 	0.000000	%	 	 	0-29 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	0-29 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	0-29 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	0-29 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%
	30 Days

	 	 	1.759531	%	 	 	2.006125	%	 	 	30 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	30 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	30 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	30 Days
	 	 	 	1.759531	%	 	 	 	2.006125	%
	60 Days

	 	 	0.439883	%	 	 	0.442388	%	 	 	60 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	60 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	60 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	60 Days
	 	 	 	0.439883	%	 	 	 	0.442388	%
	90 Days

	 	 	0.000000	%	 	 	0.000000	%	 	 	90 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	90 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	90 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	90 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%
	120 Days

	 	 	0.000000	%	 	 	0.000000	%	 	 	120 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	120 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	120 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	120 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%
	150 Days

	 	 	0.000000	%	 	 	0.000000	%	 	 	150 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	150 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	150 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	150 Days
	 	 	 	0.000000	%	 	 	 	0.000000	%
	180+ Days

	 	 	0.000000	%	 	 	0.000000	%	 	 	180+ Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	180+ Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	180+ Days
	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	180+ Days
	 	 	 	0.000000	%	 	 	 	0.000000	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	2.199413	%	 	 	2.448513	%	 	 	 	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	 	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	 	 	 	 	0.000000	%	 	 	 	0.000000	%	 	 	 	 	 	 	2.199413	%	 	 	 	2.448513	%

	 	 	 	 	 
	Current Period Class A Insufficient Funds:            0.00

	 	Principal Balance of Contaminated Properties            0.00
	 	Periodic Advance            27,491.90

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00101-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00101-of-00352.parquet"}]]