Document:

Series 2007-I Indenture Supplement

 Exhibit 10.123 
 EXECUTION COPY 
  
  
 CHARMING SHOPPES RECEIVABLES CORP.

 Seller 
 SPIRIT OF AMERICA, INC. 
 Servicer 
 and 
 U.S. BANK NATIONAL ASSOCIATION 
 Trustee 
 on behalf
of the Series 2007-1 Certificateholders 
  
  
 SERIES 2007-1
SUPPLEMENT 
 Dated as of October 17, 2007 
 to 
 SECOND AMENDED AND RESTATED POOLING AND 
 SERVICING AGREEMENT 
 Dated as of November 25, 1997, as amended 
  
  
 $320,000,000

 CHARMING SHOPPES MASTER TRUST 
 SERIES 2007-1 
  
  

 TABLE OF CONTENTS 
  

					
	 	 	 	  	Page
	 SECTION 1.
	 	Designation	  	1
			
	 SECTION 2.
	 	Definitions	  	2
			
	 SECTION 3.
	 	Servicing Compensation	  	32
			
	 SECTION 4.
	 	Reassignment and Transfer Terms	  	33
			
	 SECTION 5.
	 	Delivery and Payment for the Series 2007-1 Certificates	  	33
			
	 SECTION 6.
	 	Depository; Form of Delivery of Series 2007-1 Certificates	  	33
			
	 SECTION 7.
	 	Interest Rate Hedge Agreements	  	34
			
	 SECTION 8.
	 	Article IV of Agreement	  	34
			
	 SECTION 9.
	 	Article V of the Agreement	  	62
			
	 SECTION 10.
	 	Series 2007-1 Early Amortization Events	  	64
			
	 SECTION 11.
	 	Series 2007-1 Termination	  	66
			
	 SECTION 12.
	 	Ratification of Agreement	  	66
			
	 SECTION 13.
	 	Counterparts	  	66
			
	 SECTION 14.
	 	No Petition	  	66
			
	 SECTION 15.
	 	Forms of Series 2007-1 Certificates	  	67
			
	 SECTION 16.
	 	Transfer Restrictions	  	68
			
	 SECTION 17.
	 	Certain Amendments	  	76
			
	 SECTION 18.
	 	Commercial Law Representations and Warranties of the Seller	  	76
			
	 SECTION 19.
	 	Governing Law	  	77
			
	 SECTION 20.
	 	Third Party Beneficiary	  	77
			
	 EXHIBITS
	 		  	
			
	 EXHIBIT A-1
	 	Form of Class A-1 Certificate	  	
	 EXHIBIT A-2
	 	Form of Class A-2 Certificate	  	
	 EXHIBIT M-1
	 	Form of Class M-1 Certificate	  	
	 EXHIBIT M-2
	 	Form of Class M-2 Certificate	  	
	 EXHIBIT B-1
	 	Form of Class B-1 Certificate	  	
	 EXHIBIT B-2
	 	Form of Class B-2 Certificate	  	
	 EXHIBIT C
	 	Form of Class C Certificate	  	
	 EXHIBIT D-1
	 	Form of Class D-1 Certificate	  	
	 EXHIBIT D-2
	 	Form of Class D-2 Certificate	  	
	 EXHIBIT E
	 	Form of Monthly Payment Instructions and Notification to the Trustee	  	
	 EXHIBIT F
	 	Form of Monthly Certificateholders’ Statement	  	
	 EXHIBIT G-1
	 	Form of Regulation S Book-Entry Certificate to Restricted Book-Entry Certificate Transfer Certificate	  	
	 EXHIBIT G-2
	 	Form of Restricted Book-Entry Certificate to Regulation S Book-Entry Certificate Transfer Certificate	  	
	 EXHIBIT H-1
	 	Form of Interest Rate Swap Agreement	  	

 TABLE OF CONTENTS 
  

			
	 EXHIBIT H-2
	 	Form of Interest Rate Cap Agreement
	 EXHIBIT I
	 	Form of Non-U.S. Beneficial Ownership Certification by Member Organization
	 EXHIBIT J
	 	Form of Non-U.S. Beneficial Ownership Certification by Euroclear or Clearstream Banking, Société Anonyme

  

 ii 

 This SERIES 2007-1 SUPPLEMENT, dated as of October 17, 2007 (this
“Supplement”), is among CHARMING SHOPPES RECEIVABLES CORP., a Delaware corporation, as Seller (the “Seller”), SPIRIT OF AMERICA, INC., a Delaware corporation, as Servicer (the “Servicer”), and U.S.
BANK NATIONAL ASSOCIATION (as successor to Wachovia Bank, National Association), as Trustee (the “Trustee”) under the Second Amended and Restated Pooling and Servicing Agreement dated as of November 25, 1997 and heretofore
amended among the Seller, the Servicer and the Trustee (as further amended or otherwise modified from time to time, the “Agreement”). 
 Section 6.9 of the Agreement provides, among other things, that the Seller, the Servicer and the Trustee may at any time and from time to time enter into a supplement to the Agreement for the purpose
of authorizing the delivery by the Trustee to the Seller for the execution and redelivery to the Trustee for authentication of one or more Series of Certificates. 
 Pursuant to this Supplement, the Seller and the Trustee shall create a new Series of Investor Certificates and shall specify the Principal Terms thereof. 
 SECTION 1. Designation. 
 (a) There is hereby created a Series of Investor Certificates to be issued in five classes pursuant to the Agreement and this Series Supplement and to be known together as the Series 2007-1 Certificates.
The five classes shall be designated the Class A Asset Backed Certificates, Series 2007-1 (the “Class A Certificates”), the Class M Asset Backed Certificates, Series 2007-1 (the “Class M Certificates”), the
Class B Asset Backed Certificates, Series 2007-1 (the “Class B Certificates”), the Class C Asset Backed Certificates, Series 2007-1 (the “Class C Certificates”) and the Class D Asset Backed Certificates, Series
2007-1 (the “Class D Certificates”). The Class A Asset Backed Certificates shall be comprised of two subclasses designated as the Class A-1 Asset Backed Certificates, Series 2007-1 (the “Class A-1
Certificates”) and the Class A-2 Asset Backed Certificates, Series 2007-1 (the “Class A-2 Certificates”). The Class M Asset Backed Certificates shall be comprised of two subclasses designated as the Class M-1 Asset Backed
Certificates, Series 2007-1 (the “Class M-1 Certificates”) and the Class M-2 Asset Backed Certificates, Series 2007-1 (the “Class M-2 Certificates”). The Class B Asset Backed Certificates shall be comprised of two
subclasses designated as the Class B-1 Asset Backed Certificates, Series 2007-1 (the “Class B-1 Certificates”) and the Class B-2 Asset Backed Certificates, Series 2007-1 (the “Class B-2 Certificates”). The Class D
Asset Backed Certificates shall be comprised of two subclasses designated as the Class D-1 Asset Backed Certificates, Series 2007-1 (the “Class D-1 Certificates”) and the Class D-2 Asset Backed Certificates, Series 2007-1 (the
“Class D-2 Certificates”). 
 (b) Series 2007-1 shall be included in Group One. Series 2007-1 shall be a Paired
Series with respect to Series 2002-1. 
 (c) If any term or provision contained herein shall conflict with or be inconsistent
with any term or provision contained in the Agreement, the terms and provisions of this Supplement shall be controlling. 

 SECTION 2. Definitions. In the event that any term or provision contained herein
shall conflict with or be inconsistent with any provision contained in the Agreement, the terms and provisions of this Supplement shall govern with respect to this Series. All Article, Section or subsection references herein shall mean Article,
Section or subsections of the Agreement, except as otherwise provided herein. All capitalized terms not otherwise defined herein are defined in the Agreement. Each capitalized term defined herein shall relate only to the Series 2007-1 Certificates
and no other Series of Certificates or Receivables Purchase Series issued by the Trust. 
 “Amortization
Period” shall mean, with respect to Series 2007-1, the Controlled Amortization Period or the Early Amortization Period. 
 “Available Funds” shall mean, with respect to any Distribution Date, the sum of Class A Available Funds, Class M Available Funds, Class B Available Funds, Class C Available Funds and Class D Available Funds, in
each case for such Distribution Date. 
 “Available Principal Collections” shall mean, with respect to any
Distribution Date, the sum of: 
  

	 	(a)(i)	with respect to any Distribution Date prior to the earlier to occur of (A) payment in full of the Series 2002-1 Certificates and (B) the end of the Funding
Period, $0; and (ii) with respect to any other Distribution Date, the Principal Allocation Percentage of all Collections of Principal Receivables received during the related Due Period, minus the amount of Reallocated Class D Principal
Collections, Reallocated Class C Principal Collections, Reallocated Class B Principal Collections and Reallocated Class M Principal Collections with respect to such Due Period which pursuant to Section 4.12 are required to fund the Class A
Required Amount, the Class M Required Amount, the Class B Required Amount and the Class C Required Amount, 

  

	 	(b)	any Shared Principal Collections with respect to other Series in Group One that are allocated to Series 2007-1 in accordance with Section 4.15 for such
Distribution Date, 

  

	 	(c)	any other amounts which pursuant to subsections 4.9(a) and 4.11(a) (to the extent allocable to the Class A Investor Loss Amount or the Class A Investor
Dilution Amount), (b), (c) (to the extent allocable to the Class M Investor Loss Amount or the Class M Investor Dilution Amount), (d), (e) (to the extent allocable to the Class B Investor Loss Amount or the Class B Investor Dilution
Amount), (f), (i), (j), (k), (o), (p) and (q) for such Due Period (other than such amounts paid from Reallocated Principal Collections) are to be treated as Available Principal Collections for such Distribution Date, and

  

	 	(d)	the amount, if any, specified by the Holder of the Exchangeable Seller Certificate pursuant to the first proviso to subsection 4.5(b)(ii) to be distributed as Available
Principal Collections on such Distribution Date. 

  

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 “Average Principal Balance” shall mean, for any Due Period in which one or
more Reset Dates occur, the weighted average of the Principal Receivables on the first day of each Subperiod in such Due Period, it being understood that such average will be weighted according to a fraction, the numerator of which is the number of
days during the relevant Subperiod and the denominator of which is the number of days in such Due Period. 
 “Base
Rate” shall mean, for any Due Period, an annualized percentage equivalent of a fraction, the numerator of which is equal to the sum of Monthly Interest and any Net Swap Payment for the related Distribution Date and the Series 2007-1
Investor Monthly Servicing Fee for such Due Period, and the denominator of which is equal to the outstanding principal amount of the Series 2007-1 Certificates, determined as of the last day of the immediately preceding Due Period (or, for the
initial Due Period, the outstanding principal amount of the Series 2007-1 Certificates as of the Closing Date). 
 “Benefit Plan Investor” shall have the meaning specified in subsection 16(c)(vii) of this Supplement. 
 “Cash Pre-Funded Amount” shall mean the amount on deposit in the Pre-Funding Account from time to time, excluding any investment income on funds on deposit therein. 
 “Class” shall mean any of the Class A Investor Interest, the Class M Investor Interest, the Class B Investor
Interest, the Class C Investor Interest or the Class D Investor Interest. 
 “Class A Additional Interest”
shall mean the sum of the Class A-1 Additional Interest and the Class A-2 Additional Interest. 
 “Class A
Available Funds” shall mean, with respect to any Distribution Date, an amount equal to the sum of (a) the Class A Floating Allocation of the Collections of Finance Charge Receivables allocated to the Series 2007-1 Certificates and
deposited in the Collection Account for the related Due Period (including amounts under Sections 4.19(c) and 4.20(b) and other amounts that are in each case to be treated as Collections of Finance Charge Receivables in accordance with the Agreement
(other than the Class A Net Swap Receipt)) and (b) any Class A Net Swap Receipt for such Distribution Date. 
 “Class A Certificate Rate” means the Class A-1 Certificate Rate or the Class A-2 Certificate Rate, as applicable. 
 “Class A Certificateholder” shall mean each Person in whose name a Class A Certificate is registered in the Certificate Register. 
 “Class A Certificates” shall have the meaning specified in subsection 1(a) of this Supplement. 
 “Class A Controlled Amortization Amount” for any Due Period related to the Controlled Amortization Period shall mean
$26,400,000.00; provided, however, that such amount shall be adjusted downward to reflect (i) any reduction to the Class A Investor Interest as a result of any cancellation of Class A Certificates pursuant to Section 4.16 and
(ii) any principal payments to the Class A Certificateholders pursuant to subsection 4.9(h), so that such amount shall be equal to 1/8th of the outstanding principal amount of the Class A Certificates as of the last day of the Due
Period prior to the commencement of the Controlled Amortization Period. 
  

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 “Class A Controlled Amortization Shortfall” shall mean (i) with
respect to the first Due Period related to the Controlled Amortization Period, zero, and (ii) with respect to each other Due Period during the Controlled Amortization Period occurring on or prior to the Class A Expected Final Payment Date,
the excess, if any, of the Class A Controlled Payment Amount for the previous Due Period over the amount of Available Principal Collections distributed as payment of such Class A Controlled Payment Amount on the Distribution Date related
to such previous Due Period. 
 “Class A Controlled Payment Amount” for any Due Period, shall mean, the sum of
(a) the Class A Controlled Amortization Amount and (b) any existing Class A Controlled Amortization Shortfall. 
 “Class A Deficiency Amount” shall mean the sum of the Class A-1 Deficiency Amount and the Class A-2 Deficiency Amount. 
 “Class A Expected Final Payment Date” shall mean the November 2012 Distribution Date. 
 “Class A Fixed Allocation” shall mean, with respect to any Due Period other than a Due Period relating to the Revolving Period, the percentage equivalent (which percentage shall never
exceed 100%) of a fraction, the numerator of which is the Class A Investor Interest as of the close of business on the last day of the Revolving Period and the denominator of which is equal to the Series Investor Interest as of the close of
business on the last day of the Revolving Period. 
 “Class A Floating Allocation” shall mean, with respect to
any Due Period (including any day within such Due Period), the percentage equivalent (which percentage shall never exceed 100%) of a fraction: 
 (a) the numerator of which is the Class A Investor Interest as of the close of business on the last day of the preceding Due Period (or with respect to the first Due Period ending after the Closing
Date, the Class A Investor Interest as of the Closing Date); and 
 (b) the denominator of which is equal to the Series
Investor Interest as of the close of business on the last day of the preceding Due Period (or with respect to the first Due Period ending after the Closing Date, the Series Investor Interest as of the Closing Date). 
 “Class A Initial Investor Interest” shall mean the aggregate initial principal amount of the Class A Certificates,
which is $211,200,000. $153,800,000 of such initial principal amount is allocated to the Class A-1 Certificates. $57,400,000 of such initial principal amount is allocated to the Class A-2 Certificates. 
  

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 “Class A Investor Allocation” shall mean, with respect to any Due Period,
(a) with respect to Series 2007-1 Investor Loss Amounts, Series 2007-1 Investor Dilution Amount and Collections of Finance Charge Receivables at any time and Collections of Principal Receivables during the Revolving Period, the Class A
Floating Allocation and (b) with respect to Collections of Principal Receivables during the Controlled Amortization Period or Early Amortization Period, the Class A Fixed Allocation. 
 “Class A Investor Charge-Off” shall have the meaning specified in subsection 4.10(a). 
 “Class A Investor Dilution Amount” shall mean, for any Distribution Date, an amount equal to the product of (a) the
Series 2007-1 Investor Dilution Amount for such Distribution Date and (b) the Class A Floating Allocation for the related Due Period. 
 “Class A Investor Interest” shall mean, on any date of determination, an amount equal to the greater of (x) zero and (y) an amount equal to (a) the Class A Initial
Investor Interest, minus (b) the aggregate amount of principal payments made to Class A Certificateholders prior to such date (other than any principal payment made pursuant to subsection 4.9(h)), minus (c) the excess,
if any, of the aggregate amount of Class A Investor Charge-Offs pursuant to subsection 4.10(a) over Class A Investor Charge-Offs reimbursed pursuant to subsection 4.11(b) prior to such date of determination, minus (d) the
amount of any reduction to the Class A Investor Interest as a result of the purchase by the Seller and subsequent cancellation of the Class A Certificates pursuant to Section 4.16, minus (e) the Class A Percentage of
the Initial Total Pre-Funded Amount, plus (f) the Class A Percentage of the amount of any increases to the Series Investor Interest pursuant to Section 4.21 during the Funding Period. The Class A Investor Interest shall be
allocated to each subclass of the Class A Certificates proportionately according to the outstanding principal amount thereof. 
 “Class A Investor Loss Amount” shall mean, with respect to each Distribution Date, an amount equal to the product of (a) the Investor Loss Amount for the related Due Period and (b) the Class A Floating
Allocation applicable for the related Due Period. 
 “Class A Monthly Interest” shall mean the sum of the
Class A-1 Monthly Interest and the Class A-2 Monthly Interest. 
 “Class A Monthly Principal” shall mean
the monthly principal distributable in respect of the Class A Certificates as calculated in accordance with subsection 4.7(a). 
 “Class A Net Swap Payment” shall mean, for any Distribution Date, the net amount payable by the Trust to the Hedge Counterparty pursuant to the Class A Swap on that Distribution Date as a result of LIBOR being less
than the Class A Swap Rate. For the avoidance of doubt, Class A Net Swap Payments do not include Hedge Termination Fees or payment of breakage or other miscellaneous costs. 
 “Class A Net Swap Receipt” shall mean, for any Distribution Date, the net amount payable to the Trust from the Hedge
Counterparty pursuant to the Class A Swap on that Distribution Date as a result of LIBOR being greater than the Class A Swap Rate. 
 “Class A Percentage” shall mean a fraction, the numerator of which is the Class A Initial Investor Interest and the denominator of which is the Initial Investor Interest. 

 

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 “Class A Required Amount” shall have the meaning specified in
subsection 4.8(a). 
 “Class A Servicing Fee” shall have the meaning specified in Section 3 of this
Supplement. 
 “Class A Swap” shall mean any Interest Rate Swap Agreement relating to the Class A-1
Certificates. 
 “Class A Swap Rate” shall mean 5.056% per annum. 
 “Class A-1 Additional Interest” shall have the meaning specified in subsection 4.6(a). 
 “Class A-1 Certificate Rate” shall mean, with respect to any Interest Period, a per annum rate equal to LIBOR as of the
related LIBOR Determination Date for such Interest Period plus 1.25%. 
 “Class A-1 Certificateholder” shall
mean each Person in whose name a Class A-1 Certificate is registered in the Certificate Register. 
 “Class A-1
Certificates” shall have the meaning specified in subsection 1(a) of this Supplement. 
 “Class A-1 Deficiency
Amount” shall have the meaning specified in subsection 4.6(a). 
 “Class A-1 Monthly Interest” shall
mean the monthly interest distributable in respect of the Class A-1 Certificates as calculated in accordance with subsection 4.6(a). 
 “Class A-2 Additional Interest” shall have the meaning specified in subsection 4.6(b). 
 “Class A-2 Certificate Rate” shall mean, with respect to any Interest Period, a fixed per annum rate equal to 6.15%. 
 “Class A-2 Certificateholder” shall mean each Person in whose name a Class A-2 Certificate is registered in the Certificate Register. 
 “Class A-2 Certificates” shall have the meaning specified in subsection 1(a) of this Supplement. 
 “Class A-2 Deficiency Amount” shall have the meaning specified in subsection 4.6(b). 
 “Class A-2 Monthly Interest” shall mean the monthly interest distributable in respect of the Class A-2 Certificates as
calculated in accordance with subsection 4.6(b). 
 “Class B Additional Interest” shall mean the sum of the
Class B-1 Additional Interest and the Class B-2 Additional Interest. 
 “Class B Available Funds” shall mean,
with respect to any Distribution Date, an amount equal to the sum of (a) the Class B Floating Allocation of the Collections of Finance Charge Receivables allocated to the Series 2007-1 Certificates and deposited in the Collection Account

  

 6 

 
for the related Due Period (including amounts under Sections 4.19(c) and 4.20(b) and other amounts that are in each case to be treated as Collections of Finance Charge Receivables in accordance
with the Agreement (other than the Class B Net Swap Receipt)) and (b) the Class B Net Swap Receipt for the related Distribution Date. 
 “Class B Certificate Rate” shall mean the Class B-1 Certificate Rate or the Class B-2 Certificate Rate, as applicable. 
 “Class B Certificateholder” shall mean each Person in whose name a Class B Certificate is registered in the
Certificate Register. 
 “Class B Certificates” shall have the meaning specified in subsection 1(a) of this
Supplement. 
 “Class B Controlled Amortization Amount” for any Due Period related to the Controlled
Amortization Period shall mean $30,400,000; provided, however, that such amount shall be adjusted downward to reflect (i) any reduction to the Class B Investor Interest as a result of any cancellation of Class B Certificates pursuant to
Section 4.16 and (ii) any principal payments to the Class B Certificateholders pursuant to subsection 4.9(h), so that such amount shall be equal to the outstanding principal amount of the Class B Certificates as of the last day of the Due
Period prior to the commencement of the Controlled Amortization Period. 
 “Class B Controlled Amortization
Shortfall” shall mean (i) with respect to the first Due Period related to the Controlled Amortization Period occurring after the Class M Expected Final Payment Date, zero, and (ii) with respect to each other Due Period thereafter
during the Controlled Amortization Period occurring on or prior to the Class B Expected Final Payment Date, means the excess, if any, of the Class B Controlled Payment Amount for the previous Due Period over the amount of Available Principal
Collections distributed as payment of such Class B Controlled Payment Amount on the Distribution Date related to such previous Due Period. 
 “Class B Controlled Payment Amount” for any Due Period, shall mean, the sum of (a) the Class B Controlled Amortization Amount and (b) any existing Class B Controlled
Amortization Shortfall. 
 “Class B Deficiency Amount” shall mean the sum of the Class B-1 Deficiency Amount
and the Class B-2 Deficiency Amount. 
 “Class B Expected Final Payment Date” shall mean the January 2013
Distribution Date. 
 “Class B Fixed Allocation” shall mean, with respect to any Due Period other than a Due
Period relating to the Revolving Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, the numerator of which is the Class B Investor Interest as of the close of business on the last day of the Revolving Period,
and the denominator of which is equal to the Series Investor Interest as of the close of business on the last day of the Revolving Period. 
 “Class B Floating Allocation” shall mean, with respect to any Due Period (including any day within such Due Period), the percentage equivalent (which percentage shall never exceed 100%)
of a fraction: 
 (a) the numerator of which is the Class B Investor Interest as of the close of business on the last day of the
preceding Due Period (or with respect to the first Due Period ending after the Closing Date, the Class B Investor Interest as of the Closing Date); and 
  

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 (b) the denominator of which is equal to the Series Investor Interest as of the close of
business on the last day of the preceding Due Period (or with respect to the first Due Period ending after the Closing Date, the Series Investor Interest as of the Closing Date). 
 “Class B Initial Investor Interest” shall mean the aggregate initial principal amount of the Class B Certificates, which is
$30,400,000. $16,900,000 of such initial principal amount is allocated to the Class B-1 Certificates. $13,500,000 of such initial principal amount is allocated to the Class B-2 Certificates. 
 “Class B Investor Allocation” shall mean, with respect to any Due Period (a) with respect to Series 2007-1 Investor
Loss Amounts, Series 2007-1 Investor Dilution Amounts and Collections of Finance Charge Receivables at any time and Collections of Principal Receivables during the Revolving Period, the Class B Floating Allocation and (b) with respect to
Collections of Principal Receivables during the Controlled Amortization Period or Early Amortization Period, the Class B Fixed Allocation. 
 “Class B Investor Charge-Off” shall have the meaning specified in subsection 4.10(c). 
 “Class B Investor Dilution Amount” shall mean, for any Distribution Date, an amount equal to the product of (a) the Series 2007-1 Investor Dilution Amount for such Distribution Date
and (b) the Class B Floating Allocation for the related Due Period. 
 “Class B Investor Interest” shall
mean, on any date of determination, an amount equal to the greater of (x) zero and (y) an amount equal to (a) the Class B Initial Investor Interest, minus (b) the aggregate amount of principal payments made to Class B
Certificateholders prior to such date (other than any principal payment made pursuant to subsection 4.9(h)), minus (c) the aggregate amount of Class B Investor Charge-Offs for all prior Distribution Dates pursuant to
subsections 4.10(a), (b) and (c), minus (d) the aggregate amount of Reallocated Class B Principal Collections allocated pursuant to subsection 4.12(b)(iv) on all prior Distribution Dates, minus (e) the amount of any
reduction to the Class B Investor Interest as a result of the purchase by the Seller and subsequent cancellation of the Class B Certificates pursuant to Section 4.16, minus (f) the Class B Percentage of the Initial Total Pre-Funded Amount,
plus (g) the Class B Percentage of the amount of any increases to the Series Investor Interest pursuant to Section 4.21 during the Funding Period, plus (h) the aggregate amount of Excess Spread and Shared Excess Finance
Charge Collections allocated and available on all prior Distribution Dates pursuant to subsection 4.11(f) for the purpose of reimbursing amounts deducted pursuant to the foregoing clauses (c) and (d). The Class B Investor Interest shall be
allocated to each subclass of the Class B Certificates proportionately according to the outstanding principal amount thereof. 
  

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 “Class B Investor Loss Amount” shall mean, with respect to each
Distribution Date, an amount equal to the product of (a) the Investor Loss Amount for the related Due Period and (b) the Class B Floating Allocation applicable for the related Due Period. 
 “Class B Monthly Interest” shall mean the sum of the Class B-1 Monthly Interest and the Class B-2 Monthly Interest.

 “Class B Monthly Principal” shall mean the monthly principal distributable in respect of the Class B
Certificates as calculated in accordance with subsection 4.7(c). 
 “Class B Net Swap Payment” shall mean, for
any Distribution Date, the net amount payable by the Trust to the Hedge Counterparty pursuant to the Class B Swap on that Distribution Date as a result of LIBOR being less than the Class B Swap Rate. For the avoidance of doubt, Class B Net Swap
Payments do not include Hedge Termination Fees or payment of breakage or other miscellaneous costs. 
 “Class B Net Swap
Receipt” shall mean, for any Distribution Date, the net amount payable to the Trust from the Hedge Counterparty pursuant to the Class B Swap on that Distribution Date as a result of LIBOR being greater than the Class B Swap Rate.

 “Class B Percentage” shall mean a fraction, the numerator of which is the Class B Initial Investor
Interest and the denominator of which is the Initial Investor Interest. 
 “Class B Principal Commencement
Date” shall have the meaning specified in subsection 4.7(c). 
 “Class B Required Amount” shall
have the meaning specified in subsection 4.8(c). 
 “Class B Servicing Fee” shall have the meaning
specified in Section 3 of this Supplement. 
 “Class B Swap” shall mean any Interest Rate Swap Agreement
relating to the Class B Certificates. 
 “Class B Swap Rate” shall mean 5.084% per annum. 
 “Class B-1 Additional Interest” shall have the meaning specified in subsection 4.6(e). 
 “Class B-1 Certificate Rate” shall mean, with respect to any Interest Period, a per annum rate equal to LIBOR as of the
related LIBOR Determination Date for such Interest Period plus 2.00%. 
 “Class B-1 Certificateholder” shall
mean each Person in whose name a Class B-1 Certificate is registered in the Certificate Register. 
 “Class B-1
Certificates” shall have the meaning specified in subsection 1(a) of this Supplement. 
 “Class B-1 Deficiency
Amount” shall have the meaning specified in subsection 4.6(e). 
  

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 “Class B-1 Monthly Interest” shall mean the monthly interest distributable
in respect of the Class B-1 Certificates as calculated in accordance with subsection 4.6(e). 
 “Class B-2 Additional
Interest” shall have the meaning specified in subsection 4.6(f). 
 “Class B-2 Certificate Rate” shall
mean, with respect to any Interest Period, a fixed per annum rate equal to 6.91%. 
 “Class B-2
Certificateholder” shall mean each Person in whose name a Class B-2 Certificate is registered in the Certificate Register. 
 “Class B-2 Certificates” shall have the meaning specified in subsection 1(a) of this Supplement. 
 “Class B-2 Deficiency Amount” shall have the meaning specified in subsection 4.6(f). 
 “Class
B-2 Monthly Interest” shall mean the monthly interest distributable in respect of the Class B-2 Certificates as calculated in accordance with subsection 4.6(f). 
 “Class C Available Funds” shall mean, with respect to any Distribution Date, an amount equal to the sum of (a) the Class C Floating Allocation of Collections of Finance Charge
Receivables allocated to the Series 2007-1 Certificates and deposited in the Collection Account for the related Due Period (including amounts under Sections 4.19(c) and 4.20(b) and other amounts that are in each case to be treated as Collections of
Finance Charge Receivables in accordance with the Agreement (other than the Class C Net Cap Receipt)) and (b) the Class C Net Cap Receipt for the related Distribution Date. 
 “Class C Cap” shall mean any Interest Rate Cap Agreement relating to the Class C Certificates. 
 “Class C Cap Rate” shall mean 9.00% per annum. 
 “Class C Certificate Rate” with respect to any Interest Period shall have the meaning specified in the Class C Purchase
Agreement; provided that the Class C Certificate Rate shall in no event exceed a per annum rate equal to LIBOR as of the LIBOR Determination Date for such Interest Period plus 4.00%. 
 “Class C Certificateholder” shall mean each Person in whose name a Class C Certificate is registered in the Certificate
Register. 
 “Class C Certificates” shall have the meaning specified in subsection 1(a) of this Supplement.

 “Class C Deficiency Amount” shall have the meaning specified in subsection 4.6(g). 
 “Class C Expected Final Payment Date” shall mean the February 2013 Distribution Date. 
  

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 “Class C Fixed Allocation” shall mean, with respect to any Due Period other
than a Due Period relating to the Revolving Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, the numerator of which is the Class C Investor Interest as of the close of business on the last day of the
Revolving Period, and the denominator of which is equal to the Series Investor Interest as of the close of business on the last day of the Revolving Period. 
 “Class C Floating Allocation” shall mean, with respect to any Due Period (including any day within such Due Period), the percentage equivalent (which percentage shall never exceed 100%)
of a fraction: 
 (a) the numerator of which is the Class C Investor Interest as of the close of business on the last day of the
preceding Due Period (or with respect to the first Due Period ending after the Closing Date, the Class C Investor Interest as of the Closing Date); and 
 (b) the denominator of which is equal to the Series Investor Interest as of the close of business on the last day of the preceding Due Period (or with respect to the first Due Period ending after the
Closing Date, the Series Investor Interest as of the Closing Date). 
 “Class C Initial Investor Interest”
shall mean the aggregate initial principal amount of the Class C Certificates, which is $28,800,000. 
 “Class C
Investor Allocation” shall mean, with respect to any Due Period (a) with respect to Series 2007-1 Investor Loss Amounts, Series 2007-1 Investor Dilution Amounts and Collections of Finance Charge Receivables at any time and Collections
of Principal Receivables during the Revolving Period, the Class C Floating Allocation and (b) with respect to Collections of Principal Receivables during the Controlled Amortization Period or Early Amortization Period, the Class C Fixed
Allocation. 
 “Class C Investor Charge-Off” shall have the meaning specified in subsection 4.10(d).

 “Class C Investor Dilution Amount” shall mean, for any Distribution Date, an amount equal to the product of
(a) the Series 2007-1 Investor Dilution Amount for such Distribution Date and (b) the Class C Floating Allocation for the related Due Period. 
 “Class C Investor Interest” shall mean, on any date of determination, an amount equal to the greater of (x) zero and (y) an amount equal to (a) the Class C Initial Investor
Interest, minus (b) the aggregate amount of principal payments made to the Class C Certificateholders prior to such date (other than any principal payment made pursuant to subsection 4.9(h)), minus (c) the aggregate amount of Class
C Investor Charge-Offs for all prior Distribution Dates pursuant to subsections 4.10(a), (b), (c) and (d), minus (d) the aggregate amount of Reallocated Class C Principal Collections allocated pursuant to subsection 4.12(b)(iii) on
all prior Distribution Dates, minus (e) the amount of any reduction to the Class C Investor Interest as a result of the purchase by the Seller and subsequent cancellation of the Class C Certificates pursuant to Section 4.16,
minus (f) the Class C Percentage of the Initial Total Pre-Funded Amount, plus (g) the Class C Percentage of the amount of any increases to the Series Investor Interest pursuant to Section 4.21 during the Funding Period,
and plus (h) the aggregate amount of Excess Spread and Shared

  

 11 

 
Excess Finance Charge Collections allocated and available on all prior Distribution Dates pursuant to subsection 4.11(k) for the purpose of reimbursing amounts deducted pursuant to the foregoing
clauses (c) and (d). 
 “Class C Investor Loss Amount” shall mean, with respect to any Distribution Date,
an amount equal to the product of (a) the Investor Loss Amount for the related Due Period and (b) the Class C Floating Allocation applicable for the related Due Period. 
 “Class C Monthly Interest” shall have the meaning specified in subsection 4.6(g). 
 “Class C Monthly Principal” shall mean the monthly principal distributable in respect of the Class C Certificates as
calculated in accordance with subsection 4.7(d). 
 “Class C Net Cap Receipt” means, for any Distribution Date,
the net amount payable to the Trust from the Hedge Counterparty pursuant to the Class C Cap on that Distribution Date as a result of LIBOR being greater than the Class C Cap Rate. 
 “Class C Percentage” shall mean a fraction, the numerator of which is the Class C Initial Investor Interest and the
denominator of which is the Initial Investor Interest. 
 “Class C Purchase Agreement” shall mean the agreement
among the Seller, the Servicer, the Trustee and the Class C Certificateholders, as amended, modified or restated from time to time. 
 “Class C Required Amount” shall mean the amount, if any, equal to the sum of (a) the amount, if any, by which the sum of (i) the Class C Monthly Interest for such Distribution Date, plus (ii) the Class
C Deficiency Amount, if any, for such Distribution Date, plus (iii) the Class C Investor Loss Amount, if any, for the prior Due Period, plus (iv) the Class C Investor Dilution Amount, if any, for such Distribution Date exceeds the
amount of Excess Spread available to be applied to such amounts pursuant to subsections 4.11(h), (i) and (j), plus (b) the amount, if any, by which the sum of (i) the Class C Servicing Fee for the prior Due Period,
plus (ii) the Class C Servicing Fee, if any, due but not paid on any prior Distribution Date, exceeds the Class C Available Funds for the related Due Period and the amount of any Excess Spread available to be applied to such amount
pursuant to subsection 4.11(g). 
 “Class C Servicing Fee” shall have the meaning specified in
Section 3 of this Supplement. 
 “Class D Available Funds” shall mean, with respect to any Distribution
Date, an amount equal to the Class D Floating Allocation of Collections of Finance Charge Receivables allocated to the Series 2007-1 Certificates and deposited in the Collection Account for the related Due Period (including amounts under Sections
4.19(c) and 4.20(b) and other amounts that are in each case to be treated as Collections of Finance Charge Receivables in accordance with the Agreement). 
 “Class D Certificateholders” shall mean any Person in whose name a Class D Certificate is registered in the Certificate Register. 
  

 12 

 “Class D Certificates” shall have the meaning specified in subsection 1(a)
of this Supplement. 
 “Class D Deficiency Amount” shall mean, with respect to any Distribution Date, the sum
of the Class D-1 Deficiency Amount plus the Class D-2 Deficiency Amount. 
 “Class D Expected Final Payment
Date” shall mean the March 2013 Distribution Date. 
 “Class D Fixed Allocation” shall mean, with
respect to any Due Period other than a Due Period relating to the Revolving Period, the sum of the Class D-1 Fixed Allocation and the Class D-2 Fixed Allocation. 
 “Class D Floating Allocation” shall mean, with respect to any Due Period (including any day within such Due Period), the sum of the Class D-1 Floating Allocation and the Class D-2
Floating Allocation. 
 “Class D Initial Investor Interest” shall mean $30,400,000, which amount shall be
allocated between the Class D-1 Initial Investor Interest and the Class D-2 Initial Investor Interest as set forth in the Class D Purchase Agreements. 
 “Class D Investor Allocation” shall mean, with respect to any Due Period, (a) with respect to Series 2007-1 Investor Loss Amounts, Series 2007-1 Investor Dilution Amounts and
Collections of Finance Charge Receivables at any time and Principal Receivables during the Revolving Period, the Class D Floating Allocation and (b) with respect to Collections of Principal Receivables during the Controlled Amortization Period
or Early Amortization Period, the Class D Fixed Allocation. 
 “Class D Investor Charge-Offs” shall mean the
sum of Class D-1 Investor Charge-Offs plus Class D-2 Investor Charge-Offs. 
 “Class D Investor Dilution
Amount” shall mean, for any Distribution Date, an amount equal to the product of (a) the Series 2007-1 Investor Dilution Amount for such Distribution Date and (b) the Class D Floating Allocation for the related Due Period.

 “Class D Investor Interest” shall mean, on any date of determination, the sum of the Class D-1 Investor
Interest plus the Class D-2 Investor Interest. 
 “Class D Investor Loss Amount” shall mean, with respect to
any Distribution Date, an amount equal to the product of (a) the Investor Loss Amount for the related Due Period and (b) the Class D Floating Allocation applicable for the related Due Period. 
 “Class D Monthly Interest” shall mean the sum of the Class D-1 Monthly Interest plus the Class D-2 Monthly Interest.

 “Class D Monthly Principal” shall mean the sum of the Class D-1 Monthly Principal plus the Class D-2 Monthly
Principal. 
  

 13 

 “Class D Percentage” shall mean the sum of the Class D-1 Percentage and the
Class D-2 Percentage. 
 “Class D Purchase Agreement(s)” shall mean the Class D-1 Purchase Agreement and/or the
Class D-2 Purchase Agreement, as the case may be. 
 “Class D Servicing Fee” shall mean the sum of the Class
D-1 Servicing Fee plus the Class D-2 Servicing Fee. 
 “Class D-1 Certificate Rate” with respect to any
Interest Period shall have the meaning specified in the Class D-1 Purchase Agreement; provided that the Class D-1 Certificate Rate shall in no event exceed a per annum rate equal to (i) if the Class D-1 Certificate Rate is a floating rate,
LIBOR as of the LIBOR Determination Date for such Interest Period plus 10.0% and (ii) if the Class D-1 Certificate Rate is a fixed rate, 15.0%. 
 “Class D-1 Certificates” shall have the meaning specified in subsection 1(a) of this Supplement. 
 “Class D-1 Deficiency Amount” shall have the meaning specified in subsection 4.6(h). 
 “Class D-1 Fixed Allocation” shall mean, with respect to any Due Period other than a Due Period relating to the Revolving Period, the percentage equivalent (which percentage shall never
exceed 100%) of a fraction, the numerator of which is the Class D-1 Investor Interest as of the close of business on the last day of the Revolving Period, and the denominator of which is equal to the Series Investor Interest as of the close of
business on the last day of the Revolving Period. 
 “Class D-1 Floating Allocation” shall mean, with respect
to any Due Period (including any day within such Due Period), the percentage equivalent (which percentage shall never exceed 100%) of a fraction: 
 (a) the numerator of which is the Class D-1 Investor Interest as of the close of business on the last day of the preceding Due Period (or with respect to the first Due Period ending after the Closing
Date, the Class D-1 Investor Interest as of the Closing Date); and 
 (b) the denominator of which is equal to the Series
Investor Interest as of the close of business on the last day of the preceding Due Period (or with respect to the first Due Period ending after the Closing Date, the Series Investor Interest as of the Closing Date). 
 “Class D-1 Initial Investor Interest” shall mean the portion of the Class D Initial Investor Interest allocated to the
Class D-1 Investor Interest, as set forth in the Class D-1 Purchase Agreement. 
 “Class D-1 Investor
Allocation” shall mean, with respect to any Due Period, (a) with respect to Series 2007-1 Investor Loss Amounts, Series 2007-1 Investor Dilution Amounts and Collections of Finance Charge Receivables at any time and Principal
Receivables during the

  

 14 

 
Revolving Period, the Class D-1 Floating Allocation and (b) with respect to Collections of Principal Receivables during the Controlled Amortization Period or Early Amortization Period, the
Class D-1 Fixed Allocation. 
 “Class D-1 Investor Charge-Off” shall have the meaning specified in
subsection 4.10(e). 
 “Class D-1 Investor Interest” shall mean, on any date of determination, an amount
equal to the greater of (x) zero and (y) an amount equal to (a) the Class D-1 Initial Investor Interest, minus (b) the aggregate amount of principal payments made to the holders of the Class D-1 Certificates prior to such
date (other than any principal payments made pursuant to subsection 4.9(h)), minus (c) the aggregate amount of Class D-1 Investor Charge-Offs for all prior Distribution Dates pursuant to subsections 4.10(a) through (e), minus
(d) the aggregate amount of Reallocated Class D-1 Principal Collections allocated pursuant to subsection 4.12(b)(ii) on all prior Distribution Dates, minus (e) the amount of any reduction to the Class D-1 Investor Interest as a result of
the purchase by the Seller and subsequent cancellation of the Class D-1 Certificates pursuant to Section 4.16, minus (f) the Class D-1 Percentage of the Initial Total Pre-Funded Amount, plus (g) the Class D-1 Percentage of the
amount of any increases to the Series Investor Interest pursuant to Section 4.21 during the Funding Period, plus (h) the aggregate amount of Excess Spread and Shared Excess Finance Charge Collections allocated and available on all
prior Distribution Dates pursuant to subsection 4.11(q) for the purpose of reimbursing amounts deducted pursuant to the foregoing clauses (c) and (d); provided that the Class D-1 Investor Interest determined pursuant to the
foregoing clauses (a) through (h) may be subject to further increase or decrease under the circumstances described in Section 16(e) of this Supplement. 
 “Class D-1 Monthly Interest” shall mean the monthly interest distributable in respect of the Class D-1 Certificates as calculated in accordance with subsection 4.6(h). 
 “Class D-1 Monthly Principal” shall mean the monthly principal distributable in respect of the Class D-1 Certificates as
calculated in accordance with subsection 4.7(e). 
 “Class D-1 Percentage” shall mean a fraction, the numerator
of which is the Class D-1 Initial Investor Interest and the denominator of which is the Initial Investor Interest. 
 “Class D-1 Purchase Agreement” shall be the agreement among the Seller, the Servicer, the Trustee and the Class D-1 Certificateholders, as amended, modified or restated from time to time. 
 “Class D-1 Servicing Fee” shall have the meaning specified in Section 3 of this Supplement. 
 “Class D-2 Certificate Rate” with respect to any Interest Period shall have the meaning specified in the Class D-2 Purchase
Agreement; provided that the Class D-2 Certificate Rate shall in no event exceed a per annum rate equal to (i) if the Class D-2 Certificate Rate is a floating rate, LIBOR as of the LIBOR Determination Date for such Interest Period plus 10.0%
and (ii) if the Class D-2 Certificate Rate is a fixed rate, 15.0%. 
 “Class D-2 Certificates” shall have
the meaning specified in subsection 1(a) of this Supplement. 
  

 15 

 “Class D-2 Deficiency Amount” shall have the meaning specified in
subsection 4.6(i). 
 “Class D-2 Fixed Allocation” shall mean, with respect to any Due Period other than a
Due Period relating to the Revolving Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, the numerator of which is the Class D-2 Investor Interest as of the close of business on the last day of the Revolving
Period, and the denominator of which is equal to the Series Investor Interest as of the close of business on the last day of the Revolving Period. 
 “Class D-2 Floating Allocation” shall mean, with respect to any Due Period (including any day within such Due Period), the percentage equivalent (which percentage shall never exceed 100%)
of a fraction: 
 (a) the numerator of which is the Class D-2 Investor Interest as of the close of business on the last day of
the preceding Due Period (or with respect to the first Due Period ending after the Closing Date, the Class D-2 Investor Interest as of the Closing Date); and 
 (b) the denominator of which is equal to the Series Investor Interest as of the close of business on the last day of the preceding Due Period (or with respect to the first Due Period ending after the
Closing Date, the Series Investor Interest as of the Closing Date). 
 “Class D-2 Initial Investor Interest”
shall mean the portion of the Class D Initial Investor Interest allocated to the Class D-2 Investor Interest, as set forth in the Class D-2 Purchase Agreement. 
 “Class D-2 Investor Allocation” shall mean, with respect to any Due Period, (a) with respect to Series 2007-1 Investor Loss Amounts, Series 2007-1 Investor Dilution Amounts and
Collections of Finance Charge Receivables at any time and Principal Receivables during the Revolving Period, the Class D-2 Floating Allocation and (b) with respect to Collections of Principal Receivables during the Controlled Amortization
Period or Early Amortization Period, the Class D-2 Fixed Allocation. 
 “Class D-2 Investor Charge-Off” shall
have the meaning specified in subsection 4.10(e). 
 “Class D-2 Investor Interest” shall mean, on any date
of determination, an amount equal to the greater of (x) zero and (y) an amount equal to (a) the Class D-2 Initial Investor Interest, minus (b) the aggregate amount of principal payments made to the holders of the Class D-2
Certificates prior to such date (other than any principal payments made pursuant to subsection 4.9(h)), minus (c) the aggregate amount of Class D-2 Investor Charge-Offs for all prior Distribution Dates pursuant to subsections 4.10(a)
through (e), minus (d) the aggregate amount of Reallocated Class D-2 Principal Collections allocated pursuant to subsection 4.12(b)(i) on all prior Distribution Dates, minus (e) the amount of any reduction to the Class D-2
Investor Interest as a result of the purchase by the Seller and subsequent cancellation of the Class D-2 Certificates pursuant to Section 4.16, minus (f) the Class D-2 Percentage of the Initial Total Pre-Funded Amount, plus
(g) the Class D-2 Percentage of the amount of any increases to the Series Investor Interest pursuant to Section 4.21 during the Funding Period, plus (h) the aggregate amount of

  

 16 

 
Excess Spread and Shared Excess Finance Charge Collections allocated and available on all prior Distribution Dates pursuant to subsection 4.11(q) for the purpose of reimbursing amounts
deducted pursuant to the foregoing clauses (c) and (d) ; provided that the Class D-2 Investor Interest determined pursuant to the foregoing clauses (a) through (h) may be subject to further increase or decrease under the
circumstances described in Section 16(e) of this Supplement. 
 “Class D-2 Monthly Interest” shall mean
the monthly interest distributable in respect of the Class D-2 Certificates as calculated in accordance with subsection 4.6(i). 
 “Class D-2 Monthly Principal” shall mean the monthly principal distributable in respect of the Class D-2 Certificates as calculated in accordance with subsection 4.7(f). 
 “Class D-2 Percentage” shall mean a fraction, the numerator of which is the Class D-2 Initial Investor Interest and
the denominator of which is the Initial Investor Interest. 
 “Class D-2 Purchase Agreement” shall mean the
agreement among the Seller, the Servicer, the Trustee and the Class D-2 Certificateholders, as amended, modified or restated from time to time. 
 “Class D-2 Servicing Fee” shall have the meaning specified in Section 3 of this Supplement. 
 “Class M Additional Interest” shall mean the sum of the Class M-1 Additional Interest and the Class M-2 Additional Interest. 
 “Class M Available Funds” shall mean, with respect to any Distribution Date, an amount equal to the sum of (a) the
Class M Floating Allocation of the Collections of Finance Charge Receivables allocated to the Series 2007-1 Certificates and deposited in the Collection Account for the related Due Period (including amounts under Sections 4.19(c) and 4.20(b) and
other amounts that are in each case to be treated as Collections of Finance Charge Receivables in accordance with the Agreement (other than the Class M Net Swap Receipt)) and (b) the Class M Net Swap Receipt for the related Distribution Date.

 “Class M Certificate Rate” means the Class M-1 Certificate Rate or the Class M-2 Certificate Rate, as
applicable. 
 “Class M Certificateholder” shall mean each Person in whose name a Class M Certificate is
registered in the Certificate Register. 
 “Class M Certificates” shall have the meaning specified in
subsection 1(a) of this Supplement. 
 “Class M Controlled Amortization Amount” for any Due Period related to
the Controlled Amortization Period shall mean $19,200,000; provided, however, that such amount shall be adjusted downward to reflect (i) any reduction to the Class M Investor Interest as a result of any cancellation of Class M Certificates
pursuant to Section 4.16 and (ii) any principal payments to the Class M Certificateholders pursuant to subsection 4.9(h), so that such amount shall be equal to the outstanding principal amount of the Class M Certificates as of the last day
of the Due Period prior to the commencement of the Controlled Amortization Period. 
  

 17 

 “Class M Controlled Amortization Shortfall” shall mean (i) with
respect to the first Due Period related to the Controlled Amortization Period occurring after the Class A Expected Final Payment Date, zero, and (ii) with respect to each other Due Period thereafter during the Controlled Amortization
Period occurring on or prior to the Class M Expected Final Payment Date, means the excess, if any, of the Class M Controlled Payment Amount for the previous Due Period over the amount of Available Principal Collections distributed as payment of such
Class M Controlled Payment Amount on the Distribution Date related to such previous Due Period. 
 “Class M Controlled
Payment Amount” for any Due Period, shall mean, the sum of (a) the Class M Controlled Amortization Amount and (b) any existing Class M Controlled Amortization Shortfall. 
 “Class M Deficiency Amount” shall mean the sum of the Class M-1 Deficiency Amount and the Class M-2 Deficiency Amount.

 “Class M Expected Final Payment Date” shall mean the December 2012 Distribution Date. 
 “Class M Fixed Allocation” shall mean, with respect to any Due Period other than a Due Period relating to the Revolving
Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, the numerator of which is the Class M Investor Interest as of the close of business on the last day of the Revolving Period, and the denominator of which is
equal to the Series Investor Interest as of the close of business on the last day of the Revolving Period. 
 “Class M
Floating Allocation” shall mean, with respect to any Due Period (including any day within such Due Period), the percentage equivalent (which percentage shall never exceed 100%) of a fraction: 
 (a) the numerator of which is the Class M Investor Interest as of the close of business on the last day of the preceding Due Period (or with
respect to the first Due Period ending after the Closing Date, the Class M Investor Interest as of the Closing Date); and 
 (b)
the denominator of which is equal to the Series Investor Interest as of the close of business on the last day of the preceding Due Period (or with respect to the first Due Period ending after the Closing Date, the Series Investor Interest as of the
Closing Date). 
 “Class M Initial Investor Interest” shall mean the aggregate initial principal amount of the
Class M Certificates, which is $19,200,000. $4,000,000 of such initial principal amount is allocated to the Class M-1 Certificates. $15,200,000 of such initial principal amount is allocated to the Class M-2 Certificates. 
  

 18 

 “Class M Investor Allocation” shall mean, with respect to any Due Period
(a) with respect to Series 2007-1 Investor Loss Amounts, Series 2007-1 Investor Dilution Amounts and Collections of Finance Charge Receivables at any time and Collections of Principal Receivables during the Revolving Period, the Class M
Floating Allocation and (b) with respect to Collections of Principal Receivables during the Controlled Amortization Period or Early Amortization Period, the Class M Fixed Allocation. 
 “Class M Investor Charge-Off” shall have the meaning specified in subsection 4.10(b). 
 “Class M Investor Dilution Amount” shall mean, for any Distribution Date, an amount equal to the product of (a) the
Series 2007-1 Investor Dilution Amount for such Distribution Date and (b) the Class M Floating Allocation for the related Due Period. 
 “Class M Investor Interest” shall mean, on any date of determination, an amount equal to the greater of (x) zero and (y) an amount equal to (a) the Class M Initial Investor
Interest, minus (b) the aggregate amount of principal payments made to Class M Certificateholders prior to such date (other than any principal payment made pursuant to subsection 4.9(h)), minus (c) the aggregate amount of Class M
Investor Charge-Offs for all prior Distribution Dates pursuant to subsections 4.10(a) and (b), minus (d) the aggregate amount of Reallocated Class M Principal Collections allocated pursuant to subsection 4.12(b)(v) on all prior
Distribution Dates, minus (e) the amount of any reduction to the Class M Investor Interest as a result of the purchase by the Seller and subsequent cancellation of the Class M Certificates pursuant to Section 4.16, minus
(f) the Class M Percentage of the Initial Total Pre-Funded Amount, plus (g) the Class M Percentage of the amount of any increases to the Series Investor Interest pursuant to Section 4.21 during the Funding Period, plus
(h) the aggregate amount of Excess Spread and Shared Excess Finance Charge Collections allocated and available on all prior Distribution Dates pursuant to subsection 4.11(d) for the purpose of reimbursing amounts deducted pursuant to the
foregoing clauses (c) and (d). The Class M Investor Interest shall be allocated to each subclass of the Class M Certificates proportionately according to the outstanding principal amount thereof. 
 “Class M Investor Loss Amount” shall mean, with respect to each Distribution Date, an amount equal to the product of
(a) the Investor Loss Amount for the related Due Period and (b) the Class M Floating Allocation applicable for the related Due Period. 
 “Class M Monthly Interest” shall mean the sum of the Class M-1 Monthly Interest and the Class M-2 Monthly Interest. 
 “Class M Monthly Principal” shall mean the monthly principal distributable in respect of the Class M Certificates as
calculated in accordance with subsection 4.7(b). 
 “Class M Net Swap Payment” shall mean, for any Distribution
Date, the net amount payable by the Trust to the Hedge Counterparty pursuant to the Class M Swap on that Distribution Date as a result of LIBOR being less than the Class M Swap Rate. For the avoidance of doubt, Class M Net Swap Payments do not
include Hedge Termination Fees or payment of breakage or other miscellaneous costs. 
 “Class M Net Swap
Receipt” means, for any Distribution Date, the net amount payable to the Trust from the Hedge Counterparty pursuant to the Class M Swap on that Distribution Date as a result of LIBOR being greater than the Class M Swap Rate. 
  

 19 

 “Class M Percentage” shall mean a fraction, the numerator of which is the
Class M Initial Investor Interest and the denominator of which is the Initial Investor Interest. 
 “Class M Principal
Commencement Date” shall have the meaning specified in subsection 4.7(b). 
 “Class M Required Amount”
shall have the meaning specified in subsection 4.8(b). 
 “Class M Servicing Fee” shall have the meaning
specified in Section 3 of this Supplement. 
 “Class M Swap” shall mean any Interest Rate Swap Agreement
relating to the Class M-1 Certificates. 
 “Class M Swap Rate” means 5.081% per annum. 
 “Class M-1 Additional Interest” shall have the meaning specified in subsection 4.6(c). 
 “Class M-1 Certificate Rate” shall mean, with respect to any Interest Period, a per annum rate equal to LIBOR as of the
related LIBOR Determination Date for such Interest Period plus 1.65%. 
 “Class M-1 Certificateholder” shall
mean each Person in whose name a Class M-1 Certificate is registered in the Certificate Register. 
 “Class M-1
Certificates” shall have the meaning specified in subsection 1(a) of this Supplement. 
 “Class M-1 Deficiency
Amount” shall have the meaning specified in subsection 4.6(c). 
 “Class M-1 Monthly Interest” shall
mean the monthly interest distributable in respect of the Class M-1 Certificates as calculated in accordance with subsection 4.6(c). 
 “Class M-2 Additional Interest” shall have the meaning specified in subsection 4.6(d). 
 “Class M-2 Certificate Rate” shall mean, with respect to any Interest Period, a fixed per annum rate equal to 6.56%. 
 “Class M-2 Certificateholder” shall mean each Person in whose name a Class M-2 Certificate is registered in the Certificate Register. 
 “Class M-2 Certificates” shall have the meaning specified in subsection 1(a) of this Supplement. 
 “Class M-2 Deficiency Amount” shall have the meaning specified in subsection 4.6(d). 
 “Class M-2 Monthly Interest” shall mean the monthly interest distributable in respect of the Class M-2 Certificates as
calculated in accordance with subsection 4.6(d). 
  

 20 

 “Clearstream” means Clearstream Banking, société anonyme.

 “Closing Date” shall mean October 17, 2007. 
 “Controlled Amortization Period” shall mean, unless an Early Amortization Event shall have occurred prior thereto, the
period commencing on March 1, 2012, and ending upon the first to occur of (a) the payment in full of the Series 2007-1 Certificates, (b) the commencement of the Early Amortization Period and (c) the Series 2007-1 Termination
Date. 
 “Controlling Certificateholders” shall mean (a) on any date of determination on which the
Class A Investor Interest, the Class M Investor Interest and the Class B Investor Interest is greater than zero, the Holders of Class A Certificates, Class M Certificates and Class B Certificates evidencing more than 50% of the sum of the
Class A Investor Interest, the Class M Investor Interest and the Class B Investor Interest, (b) thereafter, on any date of determination on which the Class C Investor Interest is greater than zero, the Holders of Class C Certificates
evidencing more than 50% of the Class C Investor Interest and (c) thereafter, the Required Class D Holders (as defined in the Class D Purchase Agreement). 
 “Cumulative Principal Shortfall” shall mean the sum of the Principal Shortfalls (as such term is defined in each of the related Supplements or Receivables Purchase Agreement) for each
Series in Group One that are Principal Sharing Series. 
 “Depository” means The Depository Trust Company, as
initial Depository, or any successor Clearing Agency appointed by the Seller. 
 “Designated Maturity” shall
mean, for any LIBOR Determination Date, one month. 
 “Distribution Date” shall mean November 15, 2007 and
the fifteenth day of each calendar month thereafter, or if such fifteenth day is not a Business Day, the next succeeding Business Day. 
 “Early Amortization Period” shall mean the period commencing at the close of business on the Business Day immediately preceding the day on which an Early Amortization Event with respect to Series 2007-1 is deemed to have
occurred, and ending on the Series 2007-1 Termination Date. 
 “Enhancement” shall mean (a) with respect
to the Class A Certificates, the subordination of the Class M Certificates, the Class B Certificates, the Class C Certificates and the Class D Certificates, (b) with respect to the Class M Certificates, the subordination of the Class B
Certificates, Class C Certificates and the Class D Certificates, (c) with respect to the Class B Certificates, the subordination of the Class C Certificates and the Class D Certificates, (d) with respect to the Class C Certificates, the
subordination of the Class D Certificates, and (e) with respect to the Class D-1 Certificates, the subordination of the Class D-2 Certificates. 
 “Enhancement Provider” shall mean, collectively, the Class C Certificateholders and the Class D Certificateholders specified as such in the Class C Purchase Agreement or the Class D
Purchase Agreement, as applicable. 
  

 21 

 “Euroclear” means Euroclear Bank S.A./N.V., as operator of the Euroclear
System. 
 “Excess Spread” shall mean, with respect to any Distribution Date, the sum of the amounts with
respect to such Distribution Date, if any, specified pursuant to subsections 4.9(a)(v), 4.9(b)(iii), 4.9(c)(iii), 4.9(d)(ii) and 4.9(e)(ii). 
 “Finance Charge Shortfall” shall have the meaning specified in subsection 4.14(b). 
 “Fixed Allocation Percentage” shall mean, with respect to any Due Period (including any day within such Due Period) occurring on or after the Fixed Principal Allocation Date, the
percentage equivalent of a fraction: 
 (a) the numerator of which is the Series Investor Interest as of the close of business on
the last day of the Revolving Period; provided, that if Series 2007-1 is paired with a Paired Series (other than Series 2002-1) and an Early Amortization Event occurs with respect to such Paired Series, the Seller shall, by written notice
delivered to the Trustee, the Servicer and the Rating Agencies, reduce the numerator to an amount equal to the Series Investor Interest as of the last day of the revolving period for such Paired Series; provided that each of the Rating
Agencies confirms in writing, concurrently with the issuance of such Paired Series (other than Series 2002-1), that such change would not result in a reduction or withdrawal by such Rating Agency of its rating for the Series 2007-1 Certificates; and

 (b) the denominator of which is the greater of (i) the sum of (A) the aggregate amount of Principal Receivables in
the Trust at the end of the day on the last day of the prior Due Period and (B) the Excess Funding Amount as of the close of business of the last day of the prior Due Period, and (ii) the sum of the numerators used to calculate the
Investor/Purchaser Percentages for such Due Period with respect to Principal Receivables for all Series of Certificates and Receivable Purchase Series outstanding; 
 provided, that with respect to any Due Period in which one or more Reset Dates occur: 
 (x) the denominator determined pursuant to subclause (b)(i)(A) shall be (1) the aggregate amount of Principal Receivables in the Trust as of the close of business on the later of the last day of the
preceding Due Period or the preceding Reset Date, for the period from and including the first day of the current Due Period or preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the aggregate amount of Principal
Receivables in the Trust as of the close of business on such Reset Date, for the period from and including such Reset Date to the earlier of the last day of such Due Period (in which case such period shall include such day) or the next succeeding
Reset Date (in which case such period shall not include such succeeding Reset Date); and provided further that with respect to any Due Period in which a Reset Date occurs, if the Servicer need not make daily deposits of Collections
into the Collection Account, the amount in subclause (b)(i)(A) shall be the Average Principal Balance; and 
  

 22 

 (y) the denominator determined pursuant to subclause (b)(ii) shall be (1) the sum of
the numerators used to calculate the Investor/Purchaser Percentages for all outstanding Series for allocations with respect to Principal Receivables for all such Series as of the close of business on the later of the last day of the preceding Due
Period or the preceding Reset Date, for the period from and including the first day of the current Due Period or preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the sum of the numerators used to calculate the
Investor/Purchaser Percentages for all outstanding Series for allocations with respect to Principal Receivables for all such Series as of the close of business on such Reset Date, for the period from and including such Reset Date to the earlier of
the last day of such Due Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall not include such succeeding Reset Date). 
 “Fixed Principal Allocation Date” shall mean the earlier of (a) the date on which an Early Amortization Period with
respect to Series 2007-1 commences, and (b) the date of commencement of the Controlled Amortization Period. 
 “Floating Allocation Percentage” shall mean, with respect to any Due Period (including any day within such Due Period), the percentage equivalent of a fraction: 
 (a) the numerator of which is the Investor Interest at the end of the day on the last day of the preceding Due Period (or with respect to
the first Due Period ending after the Closing Date, the Investor Interest as of the Closing Date), and 
 (b) the denominator of
which is the greater of (1) the sum of (A) the aggregate amount of Principal Receivables in the Trust at the end of the day on the last day of the prior Due Period (or with respect to the first Due Period ending after the Closing Date, at
the end of the day on the Closing Date) and (B) the Excess Funding Amount as of the close of business of the last day of the preceding Due Period, and (2) the sum of the numerators used to calculate the Investor/Purchaser Percentages for
such Due Period with respect to Finance Charge Receivables, Series Dilution Amounts or Loss Amounts, as applicable, for all Series of Certificates and Receivable Purchase Series outstanding; 
 provided that with respect to any Due Period in which one or more Reset Dates occur: 
 (x) the numerator determined pursuant to subclause (a) shall be (1) the Investor Interest at the end of the day on the later of
(A) the last day of the preceding Due Period (or with respect to the first Due Period ending after the Closing Date, the Investor Interest as of the Closing Date) or (B) the preceding Reset Date, for the period from and including the first
day of the current Due Period or preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the Investor Interest at the end of the day on such Reset Date, for the period from and including such Reset Date to the earlier of
the last day of such Due Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall not include such succeeding Reset Date); 
  

 23 

 (y) the denominator determined pursuant to subclause (b)(1)(A) shall be (1) the
aggregate amount of Principal Receivables in the Trust as of the close of business on the later of the last day of the preceding Due Period or the preceding Reset Date, for the period from and including the first day of the current Due Period or
preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the aggregate amount of Principal Receivables in the Trust as of the close of business on such Reset Date, for the period from and including such Reset Date to the
earlier of the last day of such Due Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall not include such succeeding Reset Date); provided that with respect to any Due Period in
which a Reset Date occurs, if the Servicer need not make daily deposits of Collections into the Collection Account, the amount in subclause (b)(1)(A) shall be the Average Principal Balance; and 
 (z) the denominator determined pursuant to subclause (b)(2) shall be (1) the sum of the numerators used to calculate the
Investor/Purchaser Percentages for all outstanding Series for allocations with respect to Finance Charge Receivables, Loss Amounts or Principal Receivables, as applicable, for all such Series as of the close of business on the later of the last day
of the preceding Due Period or the preceding Reset Date, for the period from and including the first day of the current Due Period or preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the sum of the numerators used
to calculate the Investor/Purchaser Percentages for all outstanding Series for allocations with respect to Finance Charge Receivables, Series Dilution Amounts, Loss Amounts or Principal Receivables, as applicable, for all such Series as of the close
of business on such Reset Date, for the period from and including such Reset Date to the earlier of the last day of such Due Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall
not include such succeeding Reset Date). 
 “Funding Period” shall mean the period from and including the
Closing Date to and including the earliest of (x) the first day on which the Series Investor Interest equals the Initial Investor Interest; (y) the commencement of the Early Amortization Period and (z) the May 2008 Distribution Date.

 “Funding Period Reserve Account” shall have the meaning set forth in subsection 4.20(a). 
 “Funding Period Reserve Draw Amount” shall mean, with respect to each Distribution Date during the Funding Period, the
lesser of (a) the amount on deposit in the Funding Period Reserve Account on such Distribution Date, other than net investment income (before giving effect to any withdrawal to be made from the Funding Period Reserve Account on such
Distribution Date) and (b) the Pre-Funding Interest Amount for such Distribution Date. 
 “Funding Period
Termination Distribution Date” shall mean the earlier to occur of (x) the first Distribution Date to occur following the commencement of the Early Amortization Period and (y) if the Funding Period shall not have terminated
pursuant to clause (x) of the definition of “Funding Period” (after giving effect to any increase in the Series Investor Interest on the May 2008 Distribution Date), the May 2008 Distribution Date. 
  

 24 

 “Group One” shall mean Series 2007-1 and each other Series specified in the
related Supplement or Receivables Purchase Agreement to be included in Group One. 
 “Hedge
Counterparty” means Barclays Bank PLC or any other counterparty under the initial Interest Rate Swap Agreements or any Interest Rate Cap Agreement or any successor agreement pertaining to the initial Class A Swap, the initial Class M
Swap, the initial Class B Swap or the initial Class C Cap. 
 “Hedge Reserve Account” shall mean the
account established and maintained pursuant to subsection 4.22(a). 
 “Hedge Termination Fee” shall have the
meaning specified in subsection 4.22(c). 
 “Initial Investor Interest” shall mean the sum of the Class A
Initial Investor Interest, the Class M Initial Investor Interest, the Class B Initial Investor Interest, the Class C Initial Investor Interest and the Class D Initial Investor Interest. 
 “Initial Purchaser” shall mean Barclays Capital Inc., as initial purchaser of the Class A Certificates, the Class M
Certificates and the Class B Certificates. 
 “Initial Total Pre-Funded Amount” shall mean $285,000,000.

 “Interest Period” shall mean, with respect to any Distribution Date, the period from and including the
previous Distribution Date through the day preceding such Distribution Date, except that the initial Interest Period shall be the period from and including the Closing Date through the day preceding the initial Distribution Date. 
 “Interest Rate Cap Agreement” shall mean each interest rate cap agreement between Trustee, on behalf of the Trust, and the
Hedge Counterparty substantially in the form of Exhibit H-2; provided, however, that any Interest Rate Cap Agreement can deviate from the terms described in Exhibit H-2 at the direction of the Servicer if the Rating Agency Condition is satisfied,
and the Trustee shall be conclusively entitled to rely on such direction. 
 “Interest Rate Hedge Agreements”
shall mean the Interest Rate Swap Agreements and the Interest Rate Cap Agreements. 
 “Interest Rate Swap
Agreement” shall mean each interest rate swap agreement between Trustee, on behalf of the Trust, and the Hedge Counterparty substantially in the form of Exhibit H-1; provided, however, that the Interest Rate Swap Agreements can deviate from
the terms described in Exhibit H-1 at the direction of the Servicer if the Rating Agency Condition is satisfied, and the Trustee shall be conclusively entitled to rely on such direction. 
 “Investor Charge-Offs” shall mean, on any date of determination, an amount equal to the sum of (i) the Class A
Investor Charge-Offs, (ii) the Class M Investor Charge-Offs, (iii) the Class B Investor Charge-Offs, (iv) the Class C Investor Charge-Offs and (v) the Class D Investor Charge-Offs. 
  

 25 

 “Investor Interest” for Series 2007-1 shall mean the Series Investor
Interest. 
 “Investor Loss Amount” shall mean, with respect to any Distribution Date, an amount equal to the
product of (a) the aggregate of the Loss Amounts for the related Due Period and (b) the Floating Allocation Percentage for such Due Period. 
 “Investor/Purchaser Percentage” for Series 2007-1 shall mean, with respect to Collections of Principal Receivables, the Principal Allocation Percentage, and with respect to Collections of
Finance Charge Receivables, Series Dilution Amounts or Loss Amounts, the Floating Allocation Percentage. 
 “Lane Bryant
Portfolio” shall mean the accounts that the Originator expects to acquire which arise under a portfolio of proprietary credit cards used primarily at Lane Bryant® stores. 
 “Lane Bryant Portfolio Distribution Date” shall mean the earlier to occur of (x) February 15, 2008, and
(y) the first Distribution Date that is at least ten (10) days after the date on which the Servicer shall have notified the Trustee in writing that the Originator will not acquire the Lane Bryant Portfolio. 
 “LIBOR” shall mean, for any Interest Period, the London interbank offered rate for United States dollar deposits of the
Designated Maturity determined by the Trustee for each Interest Period in accordance with the provisions of Section 4.17. 
 “LIBOR Determination Date” shall mean October 15, 2007 for the initial Interest Period and the second London Business Day prior to the commencement of each subsequent Interest Period. 
 “London Business Day” shall mean a day on which the Trustee and commercial banks in the City of London are open for the
transaction of commercial banking business. 
 “Minimum Required Funding Period Reserve Amount” shall mean,
with respect to any Distribution Date, an amount equal to the product of (i) 1.3% and (ii) the amount on deposit in the Pre-Funding Account on such Distribution Date (after taking into account any withdrawals to be made from the
Pre-Funding Account on such Distribution Date pursuant to subsection 4.19(b)). 
 “Minimum Required Hedge Reserve
Amount” shall mean $5,000,000. 
 “Minimum Seller Interest” for Series 2007-1 shall mean zero.

 “Monthly Interest” shall mean, with respect to any Distribution Date, the sum of (a) the Class A
Monthly Interest, the Class A Additional Interest, if any, and the unpaid Class A Deficiency Amount, if any; (b) the Class M Monthly Interest, the Class M Additional Interest, if any, and the unpaid Class M Deficiency Amount, if any;
(c) the Class B Monthly Interest, the Class B Additional Interest, if any, and the unpaid Class B Deficiency Amount, if any; (d) the Class C Monthly Interest and the unpaid Class C Deficiency Amount, if any; and (e) the Class D
Monthly Interest and unpaid Class D Deficiency Amount, each with respect to such Distribution Date. 
  

 26 

 “Net Hedge Receipt” shall mean, for any Distribution Date, the sum of the
Class A Net Swap Receipt (if any), the Class M Net Swap Receipt (if any), the Class B Net Swap Receipt (if any) and the Class C Net Cap Receipt (if any), each for such Distribution Date. 
 “Net Swap Payment” shall mean, for any Distribution Date, the sum of the Class A Net Swap Payment (if any), the Class
M Net Swap Payment (if any) and the Class B Net Swap Payment (if any), each for such Distribution Date. 
 “Portfolio
Yield” shall mean, with respect to any Due Period, the annualized percentage equivalent of a fraction, the numerator of which is an amount equal to the result of (a) the Floating Allocation Percentage of Collections of Finance Charge
Receivables allocated to the Series 2007-1 Certificates for such Due Period (including net investment earnings on funds on deposit in the Pre-Funding Account and the Funding Period Reserve Account and certain other amounts that are to be treated as
Collections of Finance Charge Receivables in accordance with the Agreement and this Supplement) plus (b) amounts withdrawn from the Funding Period Reserve Account pursuant to subsection 4.20(c) and (c) any Net Hedge Receipt for the
related Distribution Date, such amount to be calculated on a cash basis after subtracting the Investor Loss Amount and the Series 2007-1 Investor Dilution Amount for such Due Period, and the denominator of which is the outstanding principal amount
of the Series 2007-1 Certificates as of the last day of the preceding Due Period (or with respect to the initial Due Period, the outstanding principal amount of the Series 2007-1 Certificates on the Closing Date); it being understood that such
fraction shall be annualized by dividing the fraction obtained in accordance with the definition set forth above by the number of days in such Due Period and multiplying such amount by 365. 
 “Pre-Funded Portion” shall mean (i) with respect to Class A Certificates, an amount equal to the Class A
Percentage times the amount of funds on deposit in the Pre-Funding Account, (ii) with respect to Class M Certificates, an amount equal to the Class M Percentage times the amount of funds on deposit in the Pre-Funding Account, (iii) with
respect to the Class B Certificates, an amount equal to the Class B Percentage times the amount of funds on deposit in the Pre-Funding Account, (iv) with respect to Class C Certificates, an amount equal to the Class C Percentage times the
amount of funds on deposit in the Pre-Funding Account, (v) with respect to Class D-1 Certificates, an amount equal to the Class D-1 Percentage times the amount of funds on deposit in the Pre-Funding Account, and (vi) with respect to the
Class D-2 Certificates, an amount equal to the Class D-2 Percentage times the amount of funds on deposit in the Pre-Funding Account. 
 “Pre-Funding Account” shall mean the account established and maintained pursuant to subsection 4.19(a). 
  

 27 

 “Pre-Funding Interest Amount” shall mean, for any Distribution Date during
the Funding Period, the excess, if any, of: 
 (i) the product of 
 (A) the result of the Monthly Interest for such Distribution Date, minus Net Hedge Receipts received by the Trust, plus Net
Swap Payments payable by the Trust on that Distribution Date, 
 multiplied by 
 (B) a fraction, the numerator of which is equal to the daily average amount on deposit in the Pre-Funding Account during the
preceding Due Period, other than net investment income, and the denominator of which is equal to the daily average outstanding principal amount of the Series 2007-1 Certificates during the preceding Due Period, over 
 (ii) the investment earnings on funds in the Pre-Funding Account (net of investment losses and expenses) for such Distribution Date.

 “Principal Allocation Percentage” shall mean, (a) with respect to any Due Period (including any day
within such Due Period) occurring prior to the Fixed Principal Allocation Date, the Floating Allocation Percentage for such Due Period, and (b) with respect to any Due Period (including any day within such Due Period) occurring on or after the
Fixed Principal Allocation Date, the Fixed Allocation Percentage for such Due Period. 
 “Principal Shortfall”
shall mean, as the context requires, any of the following: (a) on any Distribution Date with respect to the Controlled Amortization Period, (i) if such Distribution Date is on or prior to the Class A Expected Final Payment Date, the
amount by which the Class A Controlled Payment Amount for the prior Due Period exceeds the amount of Available Principal Collections for such Distribution Date (excluding any portion thereof attributable to Shared Principal Collections),
(ii) if such Distribution Date occurs after the Class A Expected Final Payment Date but on or prior to the Class M Expected Final Payment Date, the amount by which the Class M Controlled Payment Amount for the prior Due Period exceeds the
amount of Available Principal Collections for such Distribution Date (excluding any portion thereof attributable to Shared Principal Collections) and (iii) if such Distribution Date occurs after the Class M Expected Final Payment Date but on or
prior to the Class B Expected Final Payment Date, the amount by which the Class B Controlled Payment Amount for the prior Due Period exceeds the amount of Available Principal Collections for such Distribution Date (excluding any portion thereof
attributable to Shared Principal Collections); (b) on the Class C Expected Final Payment Date (if an Early Amortization Event with respect to Series 2007-1 has not occurred), the amount by which the Class C Investor Interest exceeds the amount
of Available Principal Collections for such Distribution Date (excluding any portion thereof attributable to Shared Principal Collections); (c) on the Class D Expected Final Payment Date (if an Early Amortization Event with respect to Series
2007-1 has not occurred), the amount by which the Class D Investor Interest exceeds the amount of Available Principal Collections for such Distribution Date (excluding any portion thereof attributable to Shared Principal Collections); and
(d) on any Distribution Date with respect to the Early Amortization Period, the amount by which the Investor Interest exceeds the Available Principal Collections for such Distribution Date (excluding any portion thereof attributable to Shared
Principal Collections). 
  

 28 

 “QIB” shall mean a “qualified institutional buyer” (as defined in
Rule 144A under the Securities Act). 
 “Rating Agency” shall mean Moody’s and Standard &
Poor’s. 
 “Reallocated Class B Principal Collections” shall mean, with respect to any Distribution Date,
Collections of Principal Receivables allocated to Series 2007-1 for the preceding Due Period in an amount not to exceed the lesser of (i) the product of (A) the Class B Investor Allocation times (B) the Investor/Purchaser Percentage
times (C) the aggregate amount of Collections in respect of Principal Receivables deposited in the Collection Account for the related Due Period; and (ii) the Class B Investor Interest after giving effect to any reduction of the Class B
Investor Interest pursuant to subsection 4.10(c) on such Distribution Date. 
 “Reallocated Class C Principal
Collections” shall mean, with respect to any Distribution Date, Collections of Principal Receivables allocated to Series 2007-1 for the preceding Due Period in an amount not to exceed the lesser of (i) the product of (A) the Class
C Investor Allocation times (B) the Investor/Purchaser Percentage times (C) the aggregate amount of Collections in respect of Principal Receivables deposited in the Collection Account for the related Due Period; and (ii) the Class C
Investor Interest after giving effect to any reduction of the Class C Investor Interest pursuant to subsection 4.10(d) on such Distribution Date. 
 “Reallocated Class D Principal Collections” shall mean, with respect to any Distribution Date, the sum of Reallocated Class D-1 Principal Collections plus Reallocated Class D-2
Principal Collections. 
 “Reallocated Class D-1 Principal Collections” shall mean, with respect to any
Distribution Date, Collections of Principal Receivables allocated to Series 2007-1 for the preceding Due Period in an amount not to exceed the lesser of (i) the product of (A) the Class D-1 Investor Allocation times (B) the
Investor/Purchaser Percentage times (C) the aggregate amount of Collections in respect of Principal Receivables deposited in the Collection Account for the related Due Period; and (ii) the Class D-1 Investor Interest after giving effect to
any reduction of the Class D-1 Investor Interest pursuant to subsection 4.10(e) on such Distribution Date. 
 “Reallocated Class D-2 Principal Collections” shall mean, with respect to any Distribution Date, Collections of Principal Receivables allocated to Series 2007-1 for the preceding Due Period in an amount not to exceed the
lesser of (i) the product of (A) the Class D-2 Investor Allocation times (B) the Investor/Purchaser Percentage times (C) the aggregate amount of Collections in respect of Principal Receivables deposited in the Collection Account
for the related Due Period; and (ii) the Class D-2 Investor Interest after giving effect to any reductions of the Class D-2 Investor Interest pursuant to subsection 4.10(e) on such Distribution Date. 
 “Reallocated Class M Principal Collections” shall mean, with respect to any Distribution Date, Collections of Principal
Receivables allocated to Series 2007-1 for the preceding Due Period in an amount not to exceed the lesser of (i) the product of (A) the Class M Investor Allocation times (B) the Investor/Purchaser Percentage times (C) the
aggregate amount of

  

 29 

 
Collections in respect of Principal Receivables deposited in the Collection Account for the related Due Period; and (ii) the Class M Investor Interest after giving effect to any reduction of
the Class M Investor Interest pursuant to subsection 4.10(b) on such Distribution Date. 
 “Reallocated Principal
Collections” shall mean the sum of (a) Reallocated Class M Principal Collections, (b) Reallocated Class B Principal Collections, (c) Reallocated Class C Principal Collections and (d) Reallocated Class D Principal
Collections. 
 “Reference Banks” shall mean four major banks in the London interbank market selected by the
Servicer. 
 “Regulation S Book-Entry Certificate” shall have the meaning specified in subsection 15(b) of this
Supplement. 
 “Regulation S Permanent Book-Entry Certificate” shall have the meaning specified in subsection
15(b) of this Supplement. 
 “Regulation S Temporary Book-Entry Certificate” shall have the meaning specified
in subsection 15(b) of this Supplement. 
 “Reset Date” shall mean the occurrence of any Addition Date, any
Removal Date or any day on which the Investor Interest is increased pursuant to Section 4.21 or the outstanding principal amount of the Series 2007-1 Certificates is decreased pursuant to Section 4.9(h). 
 “Restricted Book-Entry Certificate” shall have the meaning specified in Section 15(b). 
 “Reuters Screen LIBOR01 Page” shall mean the display page currently so designated on the Reuters Monitor Money Rates (or
such other page as may replace that page on that service, or such other service as may be the successor information vendor for purposes of displaying comparable rates or prices.) 
 “Revolving Period” shall mean the period from and including the Closing Date to, but not including, the Fixed Principal
Allocation Date. 
 “Series 2007-1” shall mean the Series of the Charming Shoppes Master Trust represented by
the Investor Certificates. 
 “Series 2007-1 Certificateholder” shall mean the Holder of record of any Series
2007-1 Certificate. 
 “Series 2007-1 Certificates” shall mean the Class A Certificates, the Class M
Certificates, the Class B Certificates, the Class C Certificates and the Class D Certificates. 
 “Series 2007-1
Early Amortization Event” shall have the meaning specified in Section 10 of this Supplement. 
 “Series
2007-1 Investor Dilution Amount” shall mean, with respect to any Distribution Date, an amount equal to the product of (a) the Series Percentage for the related Due Period and (b) any Series Dilution Amount remaining after giving
effect to any addition of Accounts and other actions taken pursuant to Sections 4.3(d) and 2.6. 
  

 30 

 “Series 2007-1 Investor Monthly Servicing Fee” shall have the meaning
specified in Section 3 of this Supplement. 
 “Series 2007-1 Termination Date” shall mean the earliest to
occur of (a) the Distribution Date on which the Series 2007-1 Certificates are paid in full, (b) the September 2017 Distribution Date or (c) the date of termination of the Trust pursuant to Section 12.1 of the Agreement.

 “Series 2007-1 Unfunded Dilution Amount” shall mean, on any Distribution Date, an amount equal to any
unfunded Series 2007-1 Investor Dilution Amount remaining after application of Class A Available Funds pursuant to subsection 4.9(a)(iv) and Excess Spread and Shared Excess Finance Charge Collections in accordance with Section 4.11.

 “Series Investor Interest” shall mean, on any date of determination, an amount equal to the sum of
(i) the Class A Investor Interest, (ii) the Class M Investor Interest, (iii) the Class B Investor Interest, (iv) the Class C Investor Interest and (v) the Class D Investor Interest, each as of such date. 
 “Series Servicing Fee Percentage” shall mean 2.0%. 
 “Shared Excess Finance Charge Collections” shall mean, with respect to any Distribution Date, as the context requires,
either (a) the aggregate amount of Collections of Finance Charge Receivables allocated to the Series 2007-1 Certificates but available to cover Finance Charge Shortfalls for other Series in Group One, if any, or (b) the aggregate amount of
Collections of Finance Charge Receivables and other amounts allocable to other Series in Group One in excess of the amounts necessary to make required payments with respect to such Series, if any, and available to cover any Finance Charge Shortfall
with respect to the Series 2007-1 Certificates as described in Section 4.14. 
 “Shared Principal
Collections” shall mean, as the context requires, either (a) the amount allocated to the Series 2007-1 Certificates which may be applied to cover Principal Shortfalls with respect to other outstanding Series in Group One, or
(b) the amounts allocated to the Investor Certificates of other Series in Group One that the applicable Supplements for such Series specify are to be treated as “Shared Principal Collections” and which may be applied to cover
Principal Shortfalls with respect to the
 Series 2007-1 Certificates pursuant to Section 4.15. 
 “Specified Days” shall mean, with respect to any Interest Period, (a) 30 (or, in the case of the first Interest Period, the number of days in such Interest Period), when used with reference to the calculation of
interest for any Class A Certificates, Class M Certificates, Class B Certificates or Class D Certificates that bear interest at a fixed rate during such Interest Period and (b) the number of days in such Interest Period, when used with
reference to the calculation of interest for any Class of Certificates that bears interest at a floating rate during such Interest Period.  
  

 31 

 “subclass” shall mean (a) with respect to the Class A
Certificates, the Class A-1 Certificates and the Class A-2 Certificates, (b) with respect to the Class M Certificates, the Class M-1 Certificates and the Class M-2 Certificates, (c) with respect to the Class B Certificates, the
Class B-1 Certificates and the Class B-2 Certificates, and (d) with respect to the Class D Certificates, the Class D-1 Certificates and the Class D-2 Certificates. 
 “Subperiod” shall mean, with respect to a Due Period in which one or more Reset Dates occur (the “Subject Due Period”), any of the following: 
 (i) the period from and including the last day of the prior Due Period to but excluding the first Reset Date in the Subject Due Period,

 (ii) the period from and including the last Reset Date in the Subject Due Period to and including the last day of the Subject
Due Period, and 
 (iii) the period, if any, from and including one Reset Date in the Subject Due Period to but excluding the
next Reset Date. 
 SECTION 3. Servicing Compensation. The share of the Monthly Servicing Fee allocable to Series 2007-1
(the
 “Series 2007-1 Investor Monthly Servicing Fee”) with respect to any Due Period shall be equal to one-twelfth of the product of (i) the Series Servicing Fee Percentage and (ii) (a) the Investor Interest as of
the last day of such Due Period minus (b) the product of the amount, if any, on deposit in the Excess Funding Account as of the last day of such Due Period and the Principal Allocation Percentage for such Due Period; provided, however, that
with respect to the initial Due Period ending after the Closing Date, the Series 2007-1 Investor Monthly Servicing Fee shall be adjusted based on the ratio of the number of days in the initial Due Period to 30; provided, further, that
if a Successor Servicer that is not an Affiliate of the Seller is appointed, the Series 2007-1 Investor Servicing Fee shall be such amount as may be agreed upon in writing between such Successor Servicer and the Trustee, so long as the Trustee shall
have received written confirmation from each of the Rating Agencies then rating any Class of Series 2007-1 Certificates that such change would not result in a reduction or withdrawal by such Rating Agency of its rating of any Class of the Series
2007-1 Certificates. The share of the Series 2007-1 Investor Monthly Servicing Fee allocable to the Class A Investor Interest with respect to any Due Period (the “Class A Servicing Fee”) shall be equal to the product of
(i) the Class A Floating Allocation, and (ii) the Series 2007-1 Investor Monthly Servicing Fee for such Due Period. The share of the Series 2007-1 Investor Monthly Servicing Fee allocable to the Class M Investor Interest with respect
to any Due Period (the “Class M Servicing Fee”) shall be equal to the product of (i) the Class M Floating Allocation and (ii) the Series 2007-1 Investor Monthly Servicing Fee for such Due Period. The share of the Series
2007-1 Investor Monthly Servicing Fee allocable to the Class B Investor Interest with respect to any Due Period (the “Class B Servicing Fee”) shall be equal to the product of (i) the Class B Floating Allocation and
(ii) the Series 2007-1 Investor Monthly Servicing Fee for such Due Period. The share of the Series 2007-1 Investor Monthly Servicing Fee allocable to the Class C Investor Interest with respect to any Due Period (the “Class C Servicing
Fee”) shall be equal to the product of (i) the Class C Floating Allocation and (ii) the Series 2007-1 Investor Monthly Servicing Fee for such Due Period. The share of the Series 2007-1 Investor Monthly Servicing Fee allocable to
the Class D-1 Investor Interest with respect to any Due Period (the

  

 32 

 
“Class D-1 Servicing Fee”) shall be equal to the product of (i) the Class D-1 Floating Allocation and (ii) the Series 2007-1 Investor Monthly Servicing Fee for such Due
Period. The share of the Series 2007-1 Investor Monthly Servicing Fee allocable to the
 Class D-2 Investor Interest with respect to any Due Period (the “Class D-2 Servicing Fee”) shall be equal to the product of (i) the
Class D-2 Floating Allocation and (ii) the Series 2007-1 Investor Monthly Servicing Fee for such Due Period. 
 Except as
specifically provided above, the Monthly Servicing Fee shall be paid by the cash flows from the Trust allocated to the Seller or the Certificateholders of other Series (as provided in the related Supplements or Receivables Purchase Agreements) and
in no event shall the Trust, the Trustee or the Series 2007-1 Certificateholders be liable therefor. The Class A Servicing Fee shall be payable to the Servicer solely to the extent amounts are available for distribution in respect thereof
pursuant to subsections 4.9(a)(ii) and 4.11(a). The Class M Servicing Fee shall be payable to the Servicer solely to the extent amounts are available for distribution in respect thereof pursuant to subsections 4.9(b)(ii) and 4.11(c). The
Class B Servicing Fee shall be payable solely to the extent amounts are available for distribution in respect thereof pursuant to subsections 4.9(c)(ii) and 4.11(e). The Class C Servicing Fee shall be payable solely to the extent amounts are
available for distribution in respect thereof pursuant to subsections 4.9(d)(i) and 4.11(g). The Class D Servicing Fee shall be payable solely to the extent amounts are available for distribution in respect thereof pursuant to subsections 4.9(e)(i)
and 4.11(m). 
 SECTION 4. Reassignment and Transfer Terms. The Series 2007-1 Certificates shall be subject to retransfer
to the Seller at its option, in accordance with the terms specified in subsection 12.2(a) of the Agreement, on any Distribution Date on or after the Distribution Date on which the Series Investor Interest is less than or equal to 10% of the Series
Investor Interest on the Funding Period Termination Distribution Date (after giving effect to any increase in the Series Investor Interest on such date). The deposit required in connection with any such repurchase shall be equal to the Series
Investor Interest plus accrued and unpaid interest on the Series 2007-1 Certificates through the day preceding the Distribution Date on which the repurchase occurs. 
 SECTION 5. Delivery and Payment for the Series 2007-1 Certificates. The Seller shall execute and deliver the Series 2007-1 Certificates to the Trustee for authentication in accordance with
Section 6.1 of the Agreement. The Trustee shall deliver the Series 2007-1 Certificates when authenticated in accordance with Section 6.2 of the Agreement. 
 SECTION 6. Depository; Form of Delivery of Series 2007-1 Certificates. 
 (a)
The Class A Certificates, the Class M Certificates and the Class B Certificates shall be delivered as Book-Entry Certificates as provided in Sections 6.2 and 6.10 of the Agreement. The Class C Certificates and the Class D Certificates shall be
delivered as Definitive Certificates as provided in Sections 6.2 and 6.12 of the Agreement. 
 (b) The Depository for Series
2007-1 shall be The Depository Trust Company, and the Class A Certificates, the Class M Certificates and Class B Certificates shall be initially registered in the name of Cede & Co., its nominee. 
  

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 SECTION 7. Interest Rate Hedge Agreements. (a) The Trustee shall, on behalf of
the Trust, enter into a Class A Swap, a Class M Swap, a Class B Swap and a Class C Cap on the Closing Date for the benefit of the Class A Certificateholders, the Class M Certificateholders, the Class B Certificateholders and the Class C
Certificateholders. The notional amount under each Interest Rate Hedge Agreement for any Interest Period shall be determined prior to the issuance of the Series 2007-1 Certificates and shall be set forth in a schedule to the initial Interest Rate
Hedge Agreement for the related Class. If the Lane Bryant Portfolio acquisition does not occur prior to the Lane Bryant Portfolio Distribution Date, the notional amount of each Interest Rate Hedge Agreement shall be adjusted to give effect to the
payments made to the holders of the Series 2007-1 Certificates on the Lane Bryant Portfolio Distribution Date. If any of the initial Interest Rate Hedge Agreements is terminated and replaced, the replacement Interest Rate Hedge Agreement must have
the same notional amount with respect to the periods covered by the replacement Interest Rate Hedge Agreement unless the Rating Agency Condition shall have been satisfied with respect to a different notional amount. 
 Class A Net Swap Receipts shall be deposited by the Trustee in the Collection Account on the date such Class A Net Swap Receipts
are paid and shall be treated as Collections of Finance Charge Receivables allocated to the Series 2007-1 Certificates and available to be applied as Class A Available Funds. Class M Net Swap Receipts shall be deposited by the Trustee in the
Collection Account on the date such Class M Net Swap Receipts are paid and shall be treated as Collections of Finance Charge Receivables allocated to the Series 2007-1 Certificates and available to be applied as Class M Available Funds. Class B Net
Swap Receipts shall be deposited by the Trustee in the Collection Account on the date such Class B Net Swap Receipts are paid and shall be treated as Collections of Finance Charge Receivables allocated to the Series 2007-1 Certificates and available
to be applied as Class B Available Funds. Class C Net Cap Receipts shall be deposited by the Trustee in the Collection Account on the date such Class C Net Cap Receipts are paid and shall be treated as Collections of Finance Charge Receivables
allocated to the Series 2007-1 Certificates and available to be applied as Class C Available Funds. 
 On any Distribution Date
when the Class A Net Swap Payment, the Class M Net Swap Payment or the Class B Net Swap Payment is greater than zero, the Trustee shall pay such Class A Net Swap Payment, Class M Net Swap Payment or Class B Net Swap Payment from the
Class A Available Funds, the Class M Available Funds and the Class B Available Funds, respectively, as provided in Sections 4.9(a), 4.9(b) and 4.9(c). If the Class A Available Funds, the Class M Available Funds or the Class B Available
Funds are insufficient to pay the Class A Net Swap Payment, the Class M Net Swap Payment and the Class B Net Swap Payment, respectively, the Class A Net Swap Payment, the Class M Net Swap Payment, and the Class B Net Swap Payment will be
paid from the Excess Spread and Shared Excess Finance Charge Collections, as provided in Sections 4.11(a), 4.11(c), 4.11(e) and 4.14(b). 
 (b) Subject to satisfaction of the Rating Agency Condition, the Servicer may at any time obtain a replacement Interest Rate Hedge Agreement. 
 SECTION 8. Article IV of Agreement. Sections 4.1, 4.2 and 4.3 of the Agreement shall be read in their entirety as provided in the
Agreement. Article IV of the Agreement (except for Sections 4.1, 4.2 and 4.3 thereof) shall read in its entirety as follows and shall be applicable only to the Series 2007-1 Certificates. 
  

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 ARTICLE IV. 
 RIGHTS OF CERTIFICATEHOLDERS AND RECEIVABLES 
 PURCHASERS AND ALLOCATION AND APPLICATION OF COLLECTIONS 
 SECTION 4.4. Rights of Series 2007-1
Certificateholders. The Series 2007-1 Certificates shall represent undivided interests in the Trust, consisting of the right to receive, to the extent necessary to make the required payments with respect to such Series 2007-1 Certificates at the
times and in the amounts specified in this Agreement, (a) the Floating Allocation Percentage and Principal Allocation Percentage (as applicable from time to time) of Collections received with respect to the Receivables (including certain other
amounts that are to be treated as collections of Receivables in accordance with the terms of this Agreement), (b) any other funds on deposit (or to be deposited) in the Collection Account or the Excess Funding Account allocated to Series 2007-1
and (c) any other amounts that pursuant to this Agreement or any Supplement are allocable to Series 2007-1. The Class D-2 Certificates shall be subordinate to the Class D-1 Certificates as described herein and in the Class D Purchase Agreement.
The Class D Certificates shall be subordinate to the Class A Certificates, the Class M Certificates, the Class B Certificates and the Class C Certificates. The Class C Certificates shall be subordinate to the Class A Certificates, the
Class M Certificates and the Class B Certificates. The Class B-1 Certificates shall be pari passu with the Class B-2 Certificates. The Class B Certificates shall be subordinate to the Class A Certificates and the Class M Certificates. The Class
M-1 Certificates shall be pari passu with the Class M-2 Certificates. The Class M Certificates will be subordinate to the Class A Certificates. The Class A-1 Certificates shall be pari passu with the Class A-2 Certificates. The Exchangeable
Seller Certificate shall not represent any interest in the Collection Account or the Excess Funding Account except as specifically provided in this Article IV. 
 SECTION 4.5. Allocations. 
 (a) Allocations During the Revolving
Period. During the Revolving Period, the Servicer shall, prior to the close of business on the day any Collections are deposited in the Collection Account, allocate to the Series 2007-1 Certificateholders and the Hedge Counterparty, the
following amounts as set forth below: 
 (i) An amount equal to the product of (A) the Floating Allocation
Percentage on such date and (B) the aggregate amount of Collections processed in respect of Finance Charge Receivables on such date, to be applied in accordance with Sections 4.9 and 4.11. 
 (ii) If the Series 2002-1 Certificates have been paid in full, an amount equal to the product of (A) the
Investor/Purchaser Percentage on such date and (B) the aggregate amount of Collections processed in respect of Principal Receivables on such date, which amount shall be, first, held in the Collection Account to the extent of amounts to be
distributed pursuant to Section 4.9(f)(i) on the next Distribution Date, second, if any other Principal Sharing Series is outstanding and in its accumulation period or amortization

  

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period, held in the Collection Account for application, to the extent necessary, as Shared Principal Collections to other Principal Sharing Series on the related Distribution Date, third,
deposited to the Excess Funding Account to the extent necessary so that the Seller Interest is not less than the Minimum Seller Interest and, fourth, paid to the Holders of the Exchangeable Seller Certificate. With respect to each Due Period falling
in the Revolving Period, to the extent that Collections of Principal Receivables allocated to the Series 2007-1 Certificateholders pursuant to this subsection are paid to any Holder of the Exchangeable Seller Certificate, such Holder shall make an
amount equal to the Reallocated Principal Collections for the related Distribution Date available on that Distribution Date for application in accordance with Section 4.12; provided, however, that if such Holder fails to make such funds
available, then an amount of Collections of Principal Receivables allocated to Series 2007-1 and on deposit in the Collection Account equal to that deficiency shall be treated as Reallocated Principal Collections for application in accordance with
Section 4.12, prior to any other application of such Collections. 
 (b) Allocations During the Controlled Amortization
Period. During the Controlled Amortization Period, the Servicer shall, prior to the close of business on the day any Collections are deposited in the Collection Account, allocate to the Series 2007-1 Certificateholders and the Hedge
Counterparty, the following amounts as set forth below: 
 (i) An amount equal to the product of (A) the
Floating Allocation Percentage on such date and (B) the aggregate amount of Collections processed in respect of Finance Charge Receivables on such date, to be applied in accordance with Sections 4.9 and 4.11. 
 (ii) An amount equal to the product of (A) the Investor/Purchaser Percentage on such date and (B) the aggregate
amount of Collections processed in respect of Principal Receivables on such date, which amount shall be, first, held in the Collection Account to the extent of amounts to be distributed pursuant to Section 4.9(g) on the next Distribution Date,
and, second, if any other Principal Sharing Series is outstanding and in its accumulation period or amortization period, held in the Collection Account for application, to the extent necessary, as Shared Principal Collections to other Principal
Sharing Series on the next Distribution Date, third, deposited to the Excess Funding Account to the extent necessary so that the Seller Interest is not less than the Minimum Seller Interest and, fourth, paid to the Holder of the Exchangeable Seller
Certificate, provided that, upon written notice to the Servicer and the Trustee, such Holder may specify that any such amount to be distributed to it after the Class A Investor Interest has been paid in full shall be retained in the
Collection Account for distribution pursuant to Section 4.9(g) as Available Principal Collections on the Distribution Date following the next Distribution Date. With respect to each Due Period falling in the Controlled Amortization Period, to
the extent that Collections of Principal Receivables allocated to the Series 2007-1 Certificateholders pursuant to this subsection are paid to any Holder of the Exchangeable Seller Certificate, such Holder shall make an amount equal to the
Reallocated Principal Collections for the related Distribution Date available on that Distribution Date for application in accordance with Section 4.12; provided, however, that if such Holder fails to make such funds available, then an amount
of Collections on Principal Receivables equal to that deficiency shall be treated as Reallocated Principal Collections for application in accordance with Section 4.12, prior to any other application of the amounts in the Collection Account.

  

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 (c) Allocations During the Early Amortization Period. During the Early Amortization
Period, the Servicer shall, prior to the close of business on the day any Collections are deposited in the Collection Account, allocate to the Series 2007-1 Certificateholders and the Hedge Counterparty, the following amounts as set forth below:

 (i) An amount equal to the product of (A) the Floating Allocation Percentage on such date and
(B) the aggregate amount of such Collections processed in respect of Finance Charge Receivables on such date, to be applied in accordance with Sections 4.9 and 4.11. 
 (ii) An amount equal to the product of (A) the Class D-2 Investor Allocation on such date, (B) the
Investor/Purchaser Percentage on such date and (C) the aggregate amount of Collections processed in respect of Principal Receivables on such date, to be applied first in accordance with Section 4.12(b)(i) and then in accordance with
subsection 4.9(g). 
 (iii) An amount equal to the product of (A) the Class D-1 Investor Allocation on
such date, (B) the Investor/Purchaser Percentage on such date and (C) the aggregate amount of Collections processed in respect of Principal Receivables on such date, to be applied first in accordance with Section 4.12(b)(ii) and then
in accordance with subsection 4.9(g). 
 (iv) An amount equal to the product of (A) the Class C
Investor Allocation on such date, (B) the Investor/Purchaser Percentage on such date and (C) the aggregate amount of Collections processed in respect of Principal Receivables on such date, to be applied first in accordance with
Section 4.12(b)(iii) and then in accordance with subsection 4.9(g). 
 (v) An amount equal to the
product of (A) the Class B Investor Allocation on such date, (B) the Investor/Purchaser Percentage on such date and (C) the aggregate amount of Collections processed in respect of Principal Receivables on such date, to be applied
first in accordance with Section 4.12(b)(iv) and then in accordance with subsection 4.9(g). 
 (vi) An
amount equal to the product of (A) the Class M Investor Allocation on such date, (B) the Investor/Purchaser Percentage on such date and (C) the aggregate amount of Collections processed in respect of Principal Receivables on such
date, to be applied first in accordance with Section 4.12(b)(v) and then in accordance with subsection 4.9(g). 
 (vii) An amount equal to the product of (A) the Class A Investor Allocation on such date, (B) the Investor/Purchaser Percentage on such date and (C) the aggregate amount of Collections
processed in respect of Principal Receivables on such date, to be applied in accordance with subsection 4.9(g). 
  

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 SECTION 4.6. Determination of Monthly Interest. 
 (a) The amount of monthly interest distributable in respect of the Class A-1 Certificates on each Distribution Date shall be an amount equal
to the product of (i) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (ii) the Class A-1 Certificate Rate in effect with respect to the related Interest Period, and (iii) the
outstanding principal amount of the Class A-1 Certificates determined as of the Record Date preceding such Distribution Date (the “Class A-1 Monthly Interest”); provided, that in addition to Class A-1 Monthly Interest an
amount equal to the amount of any unpaid Class A-1 Deficiency Amounts, as defined below, plus an amount equal to the product of (A) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (B) the sum
of the Class A-1 Certificate Rate in effect with respect to the related Interest Period, and 1.0% per annum, and (C) any Class A-1 Deficiency Amounts from the prior Distribution Date, as defined below, or the portion thereof which has not
theretofore been paid to Class A-1 Certificateholders (the “Class A-1 Additional Interest”), shall also be distributable in respect of the Class A-1 Certificates. The “Class A-1 Deficiency Amount” for any
Distribution Date shall be equal to the excess, if any, of the aggregate amount accrued pursuant to this subsection 4.6(a) for all Interest Periods prior to the immediately preceding Interest Period, over the amount actually paid to Class A-1
Certificateholders in respect of such amounts on all prior Distribution Dates. 
 (b) The amount of monthly interest
distributable in respect of the Class A-2 Certificates on each Distribution Date shall be an amount equal to the product of (i) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (ii) the Class
A-2 Certificate Rate, and (iii) the outstanding principal amount of the Class A-2 Certificates determined as of the Record Date preceding such Distribution Date (the “Class A-2 Monthly Interest”); provided, that in
addition to Class A-2 Monthly Interest an amount equal to the amount of any unpaid Class A-2 Deficiency Amounts, as defined below, plus an amount equal to the product of (A) a fraction, the numerator of which is the Specified Days and the
denominator of which is 360, (B) the sum of the Class A-2 Certificate Rate and 1.0% per annum, and (C) any Class A-2 Deficiency Amounts from the prior Distribution Date, as defined below, or the portion thereof which has not
theretofore been paid to Class A-2 Certificateholders (the “Class A-2 Additional Interest”), shall also be distributable in respect of the Class A-2 Certificates. The “Class A-2 Deficiency Amount” for any
Distribution Date shall be equal to the excess, if any, of the aggregate amount accrued pursuant to this subsection 4.6(b) for all Interest Periods prior to the immediately preceding Interest Period, over the amount actually paid to Class A-2
Certificateholders in respect of such amounts on all prior Distribution Dates. 
 (c) The amount of monthly interest
distributable in respect of the Class M-1 Certificates on each Distribution Date shall be an amount equal to the product of (i) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (ii) the Class
M-1 Certificate Rate in effect with respect to the related Interest Period, and (iii) the outstanding principal amount of the Class M-1 Certificates determined as of the Record Date preceding such Distribution Date (the “Class M-1
Monthly Interest”); provided, that in addition to the Class M-1 Monthly Interest an amount equal to the amount of any unpaid Class M-1 Deficiency Amounts, as defined below, plus an amount equal to the product of (A) a fraction,
the numerator of which is the Specified Days and the denominator of which is 360, (B) the sum of the Class M-1 Certificate Rate in effect with respect to the related Interest Period, and 1.0% per annum, and (C)

  

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any Class M-1 Deficiency Amount from the prior Distribution Date, as defined below, or the portion thereof which has not theretofore been paid to Class M-1 Certificateholders (the “Class
M-1 Additional Interest”), shall also be distributable in respect of the Class M-1 Certificates. The “Class M-1 Deficiency Amount” for any Distribution Date shall be equal to the excess, if any, of the aggregate amount
accrued pursuant to this subsection 4.6(c) for all Interest Periods prior to the immediately preceding Interest Period, over the amount actually paid to the Class M-1 Certificateholders in respect of such amounts on all prior Distribution Dates.

 (d) The amount of monthly interest distributable in respect of the Class M-2 Certificates on each Distribution Date shall be
an amount equal to the product of (i) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (ii) the Class M-2 Certificate Rate, and (iii) the outstanding principal amount of the Class M-2
Certificates determined as of the Record Date preceding such Distribution Date (the “Class M-2 Monthly Interest”); provided, that in addition to Class M-2 Monthly Interest an amount equal to the amount of any unpaid Class M-2
Deficiency Amounts, as defined below, plus an amount equal to the product of (A) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (B) the sum of the Class M-2 Certificate Rate and 1.0% per
annum, and (C) any Class M-2 Deficiency Amounts from the prior Distribution Date, as defined below, or the portion thereof which has not theretofore been paid to Class M-2 Certificateholders (the “Class M-2 Additional
Interest”), shall also be distributable in respect of the Class M-2 Certificates. The “Class M-2 Deficiency Amount” for any Distribution Date shall be equal to the excess, if any, of the aggregate amount accrued pursuant to
this subsection 4.6(d) for all Interest Periods prior to the immediately preceding Interest Period, over the amount actually paid to Class M-2 Certificateholders in respect of such amounts on all prior Distribution Dates. 
 (e) The amount of monthly interest distributable in respect of the Class B-1 Certificates on each Distribution Date shall be an amount equal
to the product of (i) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (ii) the Class B-1 Certificate Rate in effect with respect to the related Interest Period, and (iii) the outstanding
principal amount of the Class B-1 Certificates determined as of the Record Date preceding such Distribution Date (the “Class B-1 Monthly Interest”); provided, that in addition to the Class B-1 Monthly Interest an amount equal
to the amount of any unpaid Class B-1 Deficiency Amounts, as defined below, plus an amount equal to the product of (A) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (B) the sum of the Class
B-1 Certificate Rate in effect with respect to the related Interest Period, and 1.0% per annum, and (C) any Class B-1 Deficiency Amount from the prior Distribution Date, as defined below, or the portion thereof which has not theretofore
been paid to Class B-1 Certificateholders (the “Class B-1 Additional Interest”), shall also be distributable in respect of the Class B-1 Certificates. The “Class B-1 Deficiency Amount” for any Distribution Date
shall be equal to the excess, if any, of the aggregate amount accrued pursuant to this subsection 4.6(e) for all Interest Periods prior to the immediately preceding Interest Period, over the amount actually paid to the Class B-1 Certificateholders
in respect of such amounts on all prior Distribution Dates. 
 (f) The amount of monthly interest distributable in respect of
the Class B-2 Certificates on each Distribution Date shall be an amount equal to the product of (i) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (ii) the Class B-2 Certificate Rate, and
(iii) the outstanding principal amount of the Class B-2

  

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Certificates determined as of the Record Date preceding such Distribution Date (the “Class B-2 Monthly Interest”); provided, that in addition to Class B-2 Monthly Interest
an amount equal to the amount of any unpaid Class B-2 Deficiency Amounts, as defined below, plus an amount equal to the product of (A) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (B) the
sum of the Class B-2 Certificate Rate and 1.0% per annum, and (C) any Class B-2 Deficiency Amounts from the prior Distribution Date, as defined below, or the portion thereof which has not theretofore been paid to Class B-2
Certificateholders (the “Class B-2 Additional Interest”), shall also be distributable in respect of the Class B-2 Certificates. The “Class B-2 Deficiency Amount” for any Distribution Date shall be equal to the
excess, if any, of the aggregate amount accrued pursuant to this
 subsection 4.6(f) for all Interest Periods prior to the immediately preceding Interest Period, over the amount actually paid to Class B-2 Certificateholders in respect of such
amounts on all prior Distribution Dates. 
 (g) The amount of monthly interest distributable in respect of the Class C
Certificates on each Distribution Date shall be an amount equal to the product of (i) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (ii) the Class C Certificate Rate in effect with
respect to the related Interest Period, and (iii) the sum of the Class C Investor Interest plus the applicable Pre-Funded Portion, each determined as of the Record Date preceding such Distribution Date (the “Class C Monthly
Interest”); provided, that in addition to the Class C Monthly Interest an amount equal to any unpaid Class C Deficiency Amounts, as defined below, shall also be distributed to the Class C Certificateholders. The “Class C
Deficiency Amount” for any Distribution Date shall be equal to the excess, if any, of the aggregate amount accrued pursuant to this subsection 4.6(g) for all Interest Periods prior to the immediately preceding Interest Period, over the
amount actually paid to the Class C Certificateholders in respect of such amounts on all prior Distribution Dates. 
 (h) The
amount of monthly interest distributable in respect of the Class D-1 Certificates on each Distribution Date shall be an amount equal to the product of (i) a fraction, the numerator of which is the Specified Days and the denominator of which is
360, (ii) the Class D-1 Certificate Rate in effect with respect to the related Interest Period, and (iii) the sum of the Class D-1 Investor Interest plus the applicable Pre-Funded Portion, each determined as of the Record Date
preceding such Distribution Date (the “Class D-1 Monthly Interest”); provided, that in addition to the Class D-1 Monthly Interest an amount equal to any unpaid Class D-1 Deficiency Amounts, as defined below, shall also be
distributed to the Class D-1 Certificateholders. The “Class D-1 Deficiency Amount” for any Distribution Date shall be equal to the excess, if any, of the aggregate amount accrued pursuant to this
 subsection 4.6(h) for all
Interest Periods prior to the immediately preceding Interest Period, over the amount actually paid to the Class D-1 Certificateholders in respect of such amounts on all prior Distribution Dates. 
 (i) The amount of monthly interest distributable in respect of the Class D-2 Certificates on each Distribution Date shall be an amount equal
to the product of (i) a fraction, the numerator of which is the Specified Days and the denominator of which is 360, (ii) the Class D-2 Certificate Rate in effect with respect to the related Interest Period, and (iii) the sum of the
Class D-2 Investor Interest plus the applicable Pre-Funded Portion, each determined as of the Record Date preceding such Distribution Date (the
 “Class D-2 Monthly Interest”); provided, that in addition to the Class D-2
Monthly Interest an amount equal to any unpaid Class D-2 Deficiency Amounts, as defined below, shall also be distributed to the Class D-2

  

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Certificateholders. The “Class D-2 Deficiency Amount” for any Distribution Date shall be equal to the excess, if any, of the aggregate amount accrued pursuant to this subsection
4.6(i) for all Interest Periods prior to the immediately preceding Interest Period, over the amount actually paid to the Class D-2 Certificateholders in respect of such amounts on all prior Distribution Dates. 
 SECTION 4.7. Determination of Monthly Principal. 
 (a) The amount of monthly principal distributable with respect to the Class A Certificates on each Distribution Date (the “Class A Monthly Principal”), beginning with the
Distribution Date in the month following the month in which the Controlled Amortization Period or, if earlier, the Early Amortization Period, begins, shall be equal to the least of (i) the Available Principal Collections with respect to such
Distribution Date, (ii) for each Distribution Date with respect to the Controlled Amortization Period prior to the Class A Expected Final Payment Date, the Class A Controlled Payment Amount for the Due Period related to such
Distribution Date and (iii) the Class A Investor Interest on such Distribution Date (after taking into account any adjustments to be made on such Distribution Date pursuant to Section 4.10). 
 (b) The amount of monthly principal distributable with respect to the Class M Certificates on each Distribution Date (the “Class M
Monthly Principal”) beginning with the Distribution Date immediately following the Distribution Date on which the Class A Investor Interest has been paid in full, and during the Early Amortization Period, beginning with the
Distribution Date on which the Class A Investor Interest has been paid in full (in either case, the “Class M Principal Commencement Date”), shall be an amount equal to the least of (i) the Available Principal Collections
with respect to such Distribution Date (minus the portion of such Available Principal Collections applied to Class A Monthly Principal on such Distribution Date), (ii) for each Distribution Date with respect to the Controlled Amortization
Period beginning on the Class M Principal Commencement Date but prior to the Class M Expected Final Payment Date, the Class M Controlled Payment Amount for the Due Period related to such Distribution Date and (iii) the Class M Investor Interest
(after taking into account any adjustments to be made on such Distribution Date pursuant to Sections 4.10 and 4.12) on such Distribution Date. 
 (c) The amount of monthly principal distributable with respect to the Class B Certificates on each Distribution Date (the “Class B Monthly Principal”) beginning with the Distribution Date
immediately following the Distribution Date on which the Class A Investor Interest and the Class M Investor Interest have been paid in full, and during the Early Amortization Period, beginning with the Distribution Date on which the
Class A Investor Interest and the Class M Investor Interest have been paid in full (in either case, the “Class B Principal Commencement Date”), shall be an amount equal to the least of (i) the Available Principal
Collections with respect to such Distribution Date (minus the portion of such Available Principal Collections applied to Class A Monthly Principal and Class M Monthly Principal on such Distribution Date), (ii) for each Distribution Date
with respect to the Controlled Amortization Period beginning on the Class B Principal Commencement Date but prior to the Class B Expected Final Payment Date, the Class B Controlled Payment Amount for the Due Period related to such Distribution Date
and (iii) the Class B Investor Interest (after taking into account any adjustments to be made on such Distribution Date pursuant to Sections 4.10 and 4.12) on such Distribution Date. 
  

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 (d) The amount of monthly principal distributable with respect to the Class C Certificates
on each Distribution Date (the “Class C Monthly Principal”) shall be, beginning with the Distribution Date on which the Class B Investor Interest has been paid in full, an amount equal to the lesser of (i) the Available
Principal Collections with respect to such Distribution Date (minus the portion of such Available Principal Collections applied to Class A Monthly Principal, Class M Monthly Principal and Class B Monthly Principal on such Distribution
Date) and (ii) the Class C Investor Interest (after taking into account any adjustments to be made on such Distribution Date pursuant to Sections 4.10 and 4.12) on such Distribution Date. 
 (e) The amount of monthly principal distributable with respect to the Class D-1 Certificates on each Distribution Date (the “Class
D-1 Monthly Principal”) shall be, beginning with the Distribution Date on which the Class C Investor Interest has been paid in full, an amount equal to the lesser of (i) the Available Principal Collections with respect to such
Distribution Date (minus the portion of such Available Principal Collections applied to Class A Monthly Principal, Class M Monthly Principal, Class B Monthly Principal and Class C Monthly Principal on such Distribution Date) and
(ii) the Class D-1 Investor Interest (after taking into account any adjustments to be made on such Distribution Date pursuant to Sections 4.10 and 4.12) on such Distribution Date. 
 (f) The amount of monthly principal distributable with respect to the Class D-2 Certificates on each Distribution Date (the “Class
D-2 Monthly Principal”) shall be, beginning with the Distribution Date on which the Class D-1 Investor Interest has been paid in full, an amount equal to the lesser of (i) the Available Principal Collections with respect to such
Distribution Date (minus the portion of such Available Principal Collections applied to Class A Monthly Principal, Class M Monthly Principal, Class B Monthly Principal, Class C Monthly Principal and Class D-1 Monthly Principal on such
Distribution Date) and (ii) the Class D-2 Investor Interest (after taking into account any adjustments to be made on such Distribution Date pursuant to Sections 4.10 and 4.12) on such Distribution Date. 
 SECTION 4.8. Coverage of Class A, Class M and Class B Required Amounts. 
 (a) On or before each Distribution Date, the Servicer shall determine the amount (the “Class A Required Amount”), if any, by
which the sum of (i) the Class A Monthly Interest for such Distribution Date, plus (ii) the Class A Deficiency Amount, if any, for such Distribution Date, plus (iii) the Class A Additional Interest, if any, for such
Distribution Date, plus (iv) the Class A Servicing Fee for the related Due Period, plus (v) the Class A Servicing Fee, if any, due but not paid on any prior Distribution Date, plus (vi) the Class A Investor Loss Amount,
if any, for such Distribution Date, plus (vii) the Class A Investor Dilution Amount for such Distribution Date, plus (viii) the Class A Net Swap Payment, if any, for such Distribution Date exceeds the Class A
Available Funds for such Distribution Date. 
 (b) On or before each Distribution Date, the Servicer shall also determine the
amount (the “Class M Required Amount”), if any, by which the sum of (i) the Class M Monthly Interest for such Distribution Date, plus (ii) the Class M Deficiency Amount, if any, for such Distribution Date, plus
(iii) the Class M Additional Interest, if any, for such Distribution Date, plus (iv) the Class M Servicing Fee for the related Due Period, plus (v) the Class M Servicing Fee, if any, due but not paid on any prior Distribution
Date, plus (vi) the Class M Investor Loss Amount, if any, for such Distribution Date, plus (vii) the Class M Investor Dilution Amount for such Distribution Date, plus (viii) the Class M Net Swap Payment, if any, for such
Distribution Date exceeds the Class M Available Funds for such Distribution Date. 
  

 42 

 (c) On or before each Distribution Date, the Servicer shall also determine the amount (the
“Class B Required Amount”), if any, by which the sum of (i) the Class B Monthly Interest for such Distribution Date, plus (ii) the Class B Deficiency Amount, if any, for such Distribution Date, plus
(iii) the Class B Additional Interest, if any, for such Distribution Date, plus (iv) the Class B Servicing Fee for the related Due Period, plus (v) the Class B Servicing Fee, if any, due but not paid on any prior
Distribution Date, plus (vi) the Class B Investor Loss Amount, if any, for such Distribution Date, plus (vii) the Class B Investor Dilution Amount for such Distribution Date, plus (viii) the Class B Net Swap Payment, if
any, for such Distribution Date exceeds the Class B Available Funds for such Distribution Date. 
 (d) In the event that the
Class A Required Amount, the Class M Required Amount or the Class B Required Amount for such Distribution Date is greater than zero, the Servicer shall give written notice to the Trustee of such positive Class A Required Amount, Class M
Required Amount or Class B Required Amount on or before such Distribution Date. For any Distribution Date, in the event that the Class A Required Amount for such Distribution Date is greater than zero, all or a portion of the Excess Spread and
Shared Excess Finance Charge Collections with respect to such Distribution Date in an amount equal to the Class A Required Amount, to the extent available, for such Distribution Date shall be distributed on such Distribution Date pursuant to
subsection 4.11(a). In the event that the Class A Required Amount for such Distribution Date exceeds the amount of Excess Spread and Shared Excess Finance Charge Collections with respect to such Distribution Date, Reallocated Principal
Collections with respect to the related Due Period shall be applied as specified in Section 4.12. In the event that the Class M Required Amount for such Distribution Date exceeds the amount of Excess Spread and Shared Excess Finance Charge
Collections available to fund the Class M Required Amount pursuant to subsection 4.11(c), the Reallocated Class B Principal Collections, the Reallocated Class C Principal Collections and the Reallocated Class D Principal Collections (after
application, in each case, to the Class A Required Amount) with respect to the related Due Period shall be applied as specified in Section 4.12; provided, however, that the sum of any payments pursuant to this paragraph shall
not exceed the sum of the Class A Required Amount and the Class M Required Amount. In the event that the Class B Required Amount for such Distribution Date exceeds the amount of Excess Spread and Shared Excess Finance Charge Collections
available to fund the Class B Required Amount pursuant to subsection 4.11(e), the Reallocated Class C Principal Collections and Reallocated Class D Principal Collections (after application, in each case, to the Class A Required Amount and the
Class M Required Amount) with respect to the related Due Period shall be applied as specified in Section 4.12; provided, however, that the sum of any payments pursuant to this paragraph shall not exceed the sum of the Class A
Required Amount, the Class M Required Amount and the Class B Required Amount. 
  

 43 

 SECTION 4.9. Monthly Payments. On or before each Distribution Date, the Servicer
shall instruct the Trustee in writing (which writing shall be substantially in the form of Exhibit E hereto) to withdraw and the Trustee, acting in accordance with such instructions, shall withdraw on such Distribution Date, to the extent of
available funds, the amounts required to be withdrawn from the Collection Account as follows: 
 (a) an amount equal to the
Class A Available Funds for the related Due Period shall be distributed on each Distribution Date in the following priority: 
 (i) on a pari passu and pro rata basis based on amounts owing under this clause (i) to each of the Class A-1 Certificateholders, the Class A-2 Certificateholders and the Hedge
Counterparty under the Class A Swap (A) an amount equal to Class A Monthly Interest for such Distribution Date, plus the amount of any Class A Deficiency Amount for such Distribution Date, plus the amount of any
Class A Additional Interest for such Distribution Date, shall be distributed to the Class A Certificateholders and (B) any Class A Net Swap Payment shall be paid to the Hedge Counterparty under the Class A Swap; 

(ii) an amount equal to the Class A Servicing Fee for such Distribution Date plus the amount of any Class A
Servicing Fee due but not paid to the Servicer on any prior Distribution Date shall be distributed to the Servicer; 
 (iii) an amount equal to the Class A Investor Loss Amount, if any, for the related Due Period shall be treated as a portion of Available Principal Collections for such Distribution Date; 
 (iv) an amount equal to the Class A Investor Dilution Amount, if any, for the related Due Period shall be treated as a
portion of Available Principal Collections for such Distribution Date; and 
 (v) the balance, if any, shall
constitute Excess Spread and shall be allocated and distributed as set forth in Section 4.11. 
 (b) an amount equal to the
Class M Available Funds for the related Due Period shall be distributed on each Distribution Date in the following priority: 
 (i) on a pari passu and pro rata basis based on amounts owing under this clause (i) to each of the Class M-1 Certificateholders, the Class M-2 Certificateholders and the Hedge Counterparty
under the Class M Swap (A) an amount equal to the Class M Monthly Interest for such Distribution Date, plus the amount of any Class M Deficiency Amount for such Distribution Date, plus the amount of any Class M Additional Interest
for such Distribution Date, shall be distributed to the Class M Certificateholders and (B) any Class M Net Swap Payment shall be paid to the Hedge Counterparty under the Class M Swap; 
 (ii) an amount equal to the Class M Servicing Fee for such Distribution Date, plus the amount of any Class M Servicing
Fee due but not paid to the Servicer on any prior Distribution Date shall be distributed to the Servicer; and 
 (iii) the balance, if any, shall constitute Excess Spread and shall be allocated and distributed as set forth in Section 4.11. 
  

 44 

 (c) an amount equal to the Class B Available Funds for the related Due Period shall be
distributed on each Distribution Date in the following priority: 
 (i) on a pari passu and pro rata basis
based on amounts owing under this clause (i) to the each of the Class B-1 Certificateholders, the Class B-2 Certificateholders and the Hedge Counterparty under the Class B Swap (A) an amount equal to the Class B Monthly Interest for such
Distribution Date, plus the amount of any Class B Deficiency Amount for such Distribution Date, plus the amount of any Class B Additional Interest for such Distribution Date, shall be distributed to the Class B Certificateholders and
(B) any Class B Net Swap Payment shall be paid to the Hedge Counterparty under the Class B Swap; 
 (ii) an
amount equal to the Class B Servicing Fee for such Distribution Date, plus the amount of any Class B Servicing Fee due but not paid to the Servicer on any prior Distribution Date shall be distributed to the Servicer; and 
 (iii) the balance, if any, shall constitute Excess Spread and shall be allocated and distributed as set forth in
Section 4.11. 
 (d) An amount equal to the Class C Available Funds for the related Due Period shall be distributed on each
Distribution Date in the following priority: 
 (i) an amount equal to the Class C Servicing Fee for such
Distribution Date plus the amount of any Class C Servicing Fee due but not paid to the Servicer on any prior Distribution Date shall be distributed to the Servicer; and 
 (ii) the balance, if any, shall constitute Excess Spread and shall be allocated and distributed as set forth in
Section 4.11. 
 (e) An amount equal to the Class D Available Funds for the related Due Period shall be distributed on each
Distribution Date in the following priority: 
 (i) an amount equal to the Class D Servicing Fee for such
Distribution Date plus the amount of any Class D Servicing Fee due but not paid to the Servicer on any prior Distribution Date shall be distributed to the Servicer; and 
 (ii) the balance, if any, shall constitute Excess Spread and shall be allocated and distributed as set forth in
Section 4.11. 
 (f) During the Revolving Period, an amount equal to the Available Principal Collections for the related
Due Period shall be distributed on each Distribution Date in the following priority: 
 (i) first, an amount
equal to any amounts required to be applied on such date from Available Principal Collections pursuant to the Class C Purchase Agreement shall be so applied, and second, an amount equal to any amounts required to be applied on such date from
Available Principal Collections pursuant to the Class D Purchase Agreement shall be so applied; and 
 (ii) an
amount equal to Available Principal Collections remaining after giving effect to the applications specified in subsection 4.9(f)(i) above shall be treated as Shared Principal Collections and applied to Series in Group One that are Principal Sharing
Series other than this Series 2007-1 and as provided in Section 4.3(f). 
  

 45 

 (g) During the Controlled Amortization Period or the Early Amortization Period (beginning
with the Distribution Date in the month following the month in which the Controlled Amortization Period or the Early Amortization Period begins), an amount equal to the Available Principal Collections for the related Due Period shall be distributed
on each Distribution Date in the following priority: 
 (i) an amount equal to the Class A Monthly Principal
for such Distribution Date shall be distributed to the Class A Certificateholders; 
 (ii) after giving
effect to the distribution referred to in clause (i) above, beginning on the Class M Principal Commencement Date, an amount equal to the Class M Monthly Principal shall be distributed to the Class M Certificateholders; 
 (iii) after giving effect to the distribution referred to in clauses (i) and (ii) above, beginning on the Class B
Principal Commencement Date, an amount equal to the Class B Monthly Principal shall be distributed to the Class B Certificateholders; 
 (iv) after giving effect to the distribution referred to in clauses (i), (ii) and (iii) above, beginning with the Distribution Date on which the Class B Investor Interest has been paid in full,
an amount equal to the Class C Monthly Principal shall be distributed to the Class C Certificateholders in accordance with the Class C Purchase Agreement; 
 (v) after giving effect to the distributions referred to in clauses (i), (ii), (iii) and (iv) above, beginning with
the Distribution Date on which the Class C Investor Interest has been paid in full, an amount equal to the Class D Monthly Principal shall be distributed to the Class D Certificateholders in accordance with the Class D Purchase Agreements;

 (vi) after giving effect to the distributions referred to in clauses (i), (ii), (iii), (iv) and
(v) above, first an amount equal to any amounts required to be applied from Available Principal Collections on such date pursuant to the Class C Purchase Agreement shall be so applied, and second, an amount equal to any amounts required to be
applied from Available Principal Collections on such date pursuant to the Class D Purchase Agreement shall be so applied ; and 
 (vii) an amount equal to Available Principal Collections remaining after the applications specified in clauses (i), (ii), (iii), (iv), (v) and (vi) above shall be treated as Shared Principal
Collections and applied to Series in Group One which are Principal Sharing Series other than this Series 2007-1 and as provided in Section 4.3(f). 
 For each of the Class A, Class M and Class B Certificates, such principal payments shall be applied to each of the subclasses of such Class on a pro rata basis according to the initial principal
amount of such subclass. For the Class D Certificates, such principal payments shall be applied as provided in the Class D Purchase Agreements. 
  

 46 

 (h) On each of the Lane Bryant Portfolio Distribution Date and the Funding Period
Termination Distribution Date, an amount equal to the amount withdrawn from the Pre-Funding Account and deposited in the Collection Account for application to the principal amount of the Certificates, as specified in subsection 4.19(b), shall be
distributed to the Class A Certificateholders, the
 Class M Certificateholders, the Class B Certificateholders, the Class C Certificateholders and Class D Certificateholders in reduction of the outstanding principal amount of the
Class A Certificates, the Class M Certificates, the Class B Certificates, the Class C Certificates and the Class D Certificates, pro rata according to the initial principal amount of each such Class. For each of the Class A, Class M and
Class B Certificates, such principal payments shall be applied to each of the subclasses of such Class on a pro rata basis according to the initial principal amount of such subclass. For the Class D Certificates, such principal payments shall be
applied as provided in the Class D Purchase Agreements. 
 SECTION 4.10. Investor Charge-Offs. 
 (a) On or before each Distribution Date, the Servicer shall calculate the Class A Investor Loss Amount. If on any Distribution Date, the
Class A Investor Loss Amount for the prior Due Period exceeds the sum of the amounts allocated with respect thereto pursuant to subsection 4.9(a)(iii), subsection 4.11(a) and Section 4.12 with respect to such Due Period, the Class D-2
Investor Interest (after giving effect to reductions for any Class D-2 Investor Charge-Offs described in paragraph (e) and any Reallocated Class D-2 Principal Collections on such Distribution Date) will be reduced by the amount of such excess.
If such reduction would cause the Class D-2 Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class D-2 Investor Interest will be reduced to zero, and the Class D-1 Investor Interest (after giving effect
to reductions for any Class D-1 Investor Charge-Offs described in paragraph (e) and any Reallocated Class D-1 Principal Collections on such Distribution Date) will be reduced by the amount by which the Class D-2 Investor Interest would have
been reduced below zero. If such reduction would cause the Class D-1 Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class D-1 Investor Interest will be reduced to zero, and the Class C Investor
Interest (after giving effect to reductions for any Class C Investor Charge-Offs described in paragraph (d) and any Reallocated Class C Principal Collections on such Distribution Date) will be reduced by the amount by which the Class D-1
Investor Interest would have been reduced below zero. If such reduction would cause the Class C Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class C Investor Interest will be reduced to zero, and the
Class B Investor Interest (after giving effect to reductions for any Class B Investor Charge-Offs described in paragraph (c) and any Reallocated Class B Principal Collections on such Distribution Date) will be reduced by the amount by which the
Class C Investor Interest would have been reduced below zero. If such reduction would cause the Class B Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class B Investor Interest will be reduced to zero,
and the Class M Investor Interest (after giving effect to reductions for any Class M Investor Charge-Offs described in paragraph (b) and any Reallocated Class M Principal Collections on such Distribution Date) will be reduced by the amount by
which the Class B Investor Interest would have been reduced below zero. If such reduction would cause the Class M Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class M Investor Interest will be
reduced to zero, and the Class A Investor Interest will be reduced by the amount by which the Class M Investor Interest would have been reduced below zero, but not by more than

  

 47 

 
the Class A Investor Loss Amount for such Distribution Date. Additionally, the Class A Investor Interest shall be reduced by the amount of any Series 2007-1 Unfunded Dilution Amount
remaining after giving effect to any related Class M Investor Charge-Off, Class B Investor Charge-Off, Class C Investor Charge-Off and Class D Investor Charge-Off. The reductions described in the two prior sentences are referred to collectively as a
“Class A Investor Charge-Off”. If the Class A Investor Interest has been reduced by the amount of any Class A Investor Charge-Offs, it will be reimbursed on any Distribution Date (but not by an amount in excess of the
aggregate Class A Investor Charge-Offs) by the amount of Excess Spread and Shared Excess Finance Charge Collections allocated and available for such purpose pursuant to subsection 4.11(b). 
 (b) On or before each Distribution Date, the Servicer shall calculate the Class M Investor Loss Amount. If on any Distribution Date, the
Class M Investor Loss Amount for the prior Due Period exceeds the amounts allocated with respect thereto pursuant to subsection 4.11(c) and Section 4.12 with respect to such Due Period, the Class D-2 Investor Interest (after giving effect
to reductions for any Class D-2 Investor Charge-Offs described in paragraph (a) and paragraph (e) and any Reallocated Class D-2 Principal Collections on such Distribution Date) will be reduced by the amount of such excess. If such
reduction would cause the Class D-2 Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class D-2 Investor Interest will be reduced to zero, and the Class D-1 Investor Interest (after giving effect to
reductions for any Class D-1 Investor Charge-Offs described in paragraph (a) and paragraph (e) and any Reallocated Class D-1 Principal Collections on such Distribution Date) will be reduced by the amount by which the Class D-2 Investor
Interest would have been reduced below zero. If such reduction would cause the Class D-1 Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class D-1 Investor Interest will be reduced to zero, and the
Class C Investor Interest (after giving effect to reductions for any Class C Investor Charge-Offs described in paragraph (a) and paragraph (d) and any Reallocated Class C Principal Collections on such Distribution Date) will be reduced by
the amount by which the Class D-1 Investor Interest would have been reduced below zero. If such reduction would cause the Class C Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class C Investor
Interest will be reduced to zero, and the Class B Investor Interest (after giving effect to reductions for any Class B Investor Charge-Offs described in paragraph (a) and paragraph (c) and any Reallocated Class B Principal Collections on
such Distribution Date) will be reduced by the amount by which the Class C Investor Interest would have been reduced below zero. If such reduction would cause the Class B Investor Interest to be a negative number (but for the proviso in the
definition thereof), the Class B Investor Interest shall be reduced to zero, and the Class M Investor Interest shall be reduced by the amount by which the Class B Investor Interest would have been reduced below zero, but not by more than the Class M
Investor Loss Amount for such Distribution Date. Additionally, the Class M Investor Interest shall be reduced by the amount of any Series 2007-1 Unfunded Dilution Amount remaining after giving effect to any related Class B Investor Charge-Off, Class
C Investor Charge-Off and Class D Investor Charge-Off. The reductions to the Class M Investor Interest under this subsection 4.10(b), together with all reductions to the Class M Investor Interest under subsection 4.10(a), are collectively referred
to as a “Class M Investor Charge-Off”. The Class M Investor Interest will thereafter be reimbursed (but not to an amount in excess of the unpaid principal amount of the Class M Certificates) on any Distribution Date by the amount of
Excess Spread and Shared Excess Finance Charge Collections allocated and available for that purpose as described under subsection 4.11(d). 
  

 48 

 (c) On or before each Distribution Date, the Servicer shall calculate the Class B
Investor Loss Amount. If on any Distribution Date, the Class B Investor Loss Amount for the prior Due Period exceeds the amounts allocated with respect thereto pursuant to subsection 4.11(e) and Section 4.12 with respect to such Due Period, the
Class D-2 Investor Interest (after giving effect to reductions for any Class D-2 Investor Charge-Offs described in paragraph (a), paragraph (b) and paragraph (e) and any Reallocated Class D-2 Principal Collections on such Distribution
Date) will be reduced by the amount of such excess. If such reduction would cause the Class D-2 Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class D-2 Investor Interest will be reduced to zero, and
the Class D-1 Investor Interest (after giving effect to reductions for any Class D-1 Investor Charge-Offs described in paragraph (a), paragraph (b) and paragraph (e) and any Reallocated Class D-1 Principal Collections on such Distribution
Date) will be reduced by the amount by which the Class D-2 Investor Interest would have been reduced below zero. If such reduction would cause the Class D-1 Investor Interest to be a negative number (but for the proviso in the definition thereof),
the Class D-1 Investor Interest will be reduced to zero, and the Class C Investor Interest (after giving effect to reductions for any Class C Investor Charge-Offs described in paragraph (a), paragraph (b) and paragraph (d) and any
Reallocated Class C Principal Collections on such Distribution Date) will be reduced by the amount by which the Class D-1 Investor Interest would have been reduced below zero. If such reduction would cause the Class C Investor Interest to be a
negative number (but for the proviso in the definition thereof), the Class C Investor Interest shall be reduced to zero and the Class B Investor Interest shall be reduced by the amount by which the Class C Investor Interest would have been reduced
below zero, but not by more than the Class B Investor Loss Amount for such Distribution Date. Additionally, the Class B Investor Interest shall be reduced by the amount of any Series 2007-1 Unfunded Dilution Amount remaining after giving effect to
any related Class C Investor Charge-Off and Class D Investor Charge-Off. The reductions to the Class B Investor Interest under this subsection 4.10(c), together with all reductions to the Class B Investor Interest under subsections 4.10(a) and
4.10(b), are collectively referred to as a “Class B Investor Charge-Off”. The Class B Investor Interest will thereafter be reimbursed (but not to an amount in excess of the unpaid principal amount of the Class B Certificates) on any
Distribution Date by the amount of Excess Spread and Shared Excess Finance Charge Collections allocated and available for that purpose as described under subsection 4.11(f). 
 (d) On or before each Distribution Date, the Servicer shall calculate the Class C Investor Loss Amount. If on any Distribution Date,
the Class C Investor Loss Amount for the prior Due Period exceeds the amount of Excess Spread, Shared Excess Finance Charge Collections and Reallocated Class D Principal Collections which are allocated and available to fund such amount pursuant to
subsection 4.11(i) and Section 4.12, the Class D-2 Investor Interest (after giving effect to reductions for any Class D-2 Investor Charge-Offs described in paragraphs (a), (b) and (c) and paragraph (e) and any Reallocated
Class D-2 Principal Collections on such Distribution Date) will be reduced by the amount of such excess. If such reduction would cause the Class D-2 Investor Interest to be a negative number (but for the proviso in the definition thereof), the
Class D-2 Investor Interest will be reduced to zero, and the Class D-1 Investor Interest (after giving effect to reductions for any Class D-1 Investor Charge-Offs described in

  

 49 

 
paragraphs (a), (b) and (c) and paragraph (e) and any Reallocated Class D-1 Principal Collections on such Distribution Date) will be reduced by the amount by which the Class D-2
Investor Interest would have been reduced below zero. If such reduction would cause the Class D-1 Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class D-1 Investor Interest will be reduced to zero, and
the Class C Investor Interest will be reduced by the amount by which the Class D-1 Investor Interest would have been reduced below zero, but not by more than the Class C Investor Loss Amount for such Distribution Date. Additionally, the Class C
Investor Interest shall be reduced by the amount of any Series 2007-1 Unfunded Dilution Amount remaining after giving effect to any related Class D Investor Charge-Off. The reductions to the Class C Investor Interest under this subsection 4.10(d),
together with all reductions to the Class C Investor Interest under subsections 4.10(a), (b) and (c), are referred to collectively as a “Class C Investor Charge-Off”. The Class C Investor Interest will thereafter be reimbursed
(but not in excess of the unreimbursed amount of such reductions) on any Distribution Date by the amount of the Excess Spread and Shared Excess Finance Charge Collections allocated and available under subsection 4.11(k). 
 (e) On or before each Distribution Date, the Servicer shall calculate the Class D Investor Loss Amount. If on any Distribution Date, the
Class D Investor Loss Amount for the prior Due Period exceeds the amount of Excess Spread and Shared Excess Finance Charge Collections which is allocated and available to fund such amount pursuant to subsection 4.11(o), the
 Class D-2 Investor
Interest will be reduced by the amount of such excess. If such reduction would cause the Class D-2 Investor Interest to be a negative number (but for the proviso in the definition thereof), the Class D-2 Investor Interest will be reduced to zero,
and the Class D-1 Investor Interest will be reduced by the amount by which the Class D-2 Investor Interest would have been reduced below zero but not by more than the lesser of any remaining Class D Investor Loss Amount for such Distribution Date
and the Class D-1 Investor Interest. Additionally, the Class D-2 Investor Interest shall be reduced by the amount of any Series 2007-1 Unfunded Dilution Amount. If such reduction would cause the Class D-2 Investor Interest to be a negative number
(but for the proviso in the definition thereof), the Class D-2 Investor Interest will be reduced to zero, and the Class D-1 Investor Interest will be reduced by the amount by which the Class D-2 Investor Interest would have been reduced below zero
but not by more than the lesser of any remaining Series 2007-1 Unfunded Dilution Amount for such Distribution Date and the Class D-1 Investor Interest. The reductions to the Class D-2 Investor Interest under this clause (e), together with all
reductions to the Class D-2 Investor Interest under subsections 4.10(a), (b), (c) and (d), are referred to collectively as a “Class D-2 Investor Charge-Off”. The reductions to the Class D-1 Investor Interest under this
subsection 4.10(e), together with all reductions to the Class D-1 Investor Interest under subsections 4.10(a), (b), (c) and (d), are referred to collectively as a “Class D-1 Investor Charge-Off”. Each of the Class D-1 Investor
Interest and the
 Class D-2 Investor Interest will thereafter be reimbursed (but not in excess of the unreimbursed amount of such reductions) on any Distribution Date by the amount of the Excess Spread and Shared Excess Finance Charge Collections
allocated and available for that purpose as described under subsection 4.11(q). 
  

 50 

 SECTION 4.11. Excess Spread; Shared Excess Finance Charge Collections. On or before
each Distribution Date, the Servicer shall instruct the Trustee in writing (which writing shall be substantially in the form of Exhibit E hereto) to apply Excess Spread and Shared Excess Finance Charge Collections allocated to Series 2007-1 with
respect to the related Due Period to make the following distributions on each Distribution Date in the following priority: 
 (a) an amount equal to the Class A Required Amount, if any, with respect to such Distribution Date shall be used to fund the Class A Required Amount and be applied in accordance with, and in the priority set forth in, subsection
4.9(a); 
 (b) an amount equal to the aggregate amount of Class A Investor Charge-Offs which have not been previously
reimbursed shall be treated as a portion of Available Principal Collections for such Distribution Date; 
 (c)(I) an amount
equal to the Class M Required Amount, if any, with respect to such Distribution Date shall be used to fund any deficiency pursuant to subsections 4.9(b)(i) and (ii) in the order of priority specified therein and (II) any remaining amount up to
the sum of the Class M Investor Loss Amount and Class M Investor Dilution Amount for the related Due Period shall be treated as a portion of Available Principal Collections for such Distribution Date; 
 (d) an amount equal to the aggregate amount by which the Class M Investor Interest has been reduced as described in clauses (c) and
(d) of the definition of Class M Investor Interest (but not in excess of the unreimbursed amount of such reductions) shall be treated as a portion of Available Principal Collections for such Distribution Date; 
 (e)(I) an amount equal to the Class B Required Amount, if any, with respect to such Distribution Date shall be used to fund any deficiency
pursuant to subsections 4.9(c)(i) and (ii) in the order of priority specified therein and (II) any remaining amount up to the sum of the Class B Investor Loss Amount and Class B Investor Dilution Amount for the related Due Period shall be
treated as a portion of Available Principal Collections for such Distribution Date; 
 (f) an amount equal to the aggregate
amount by which the Class B Investor Interest has been reduced as described in clauses (c) and (d) of the definition of Class B Investor Interest (but not in excess of the unreimbursed amount of such reductions) shall be treated as a
portion of Available Principal Collections for such Distribution Date; 
 (g) an amount equal to the excess, if any, of the
Class C Servicing Fee for such Distribution Date plus the amount of any Class C Servicing Fee due but not paid to the Servicer on any prior Distribution Date over the Class C Available Funds for such Distribution Date shall be paid to the Servicer;

 (h) on a pro rata basis based on amounts owing in this clause (h) to the Class C Certificateholders, an amount equal to
the sum of the Class C Monthly Interest plus the Class C Deficiency Amount for such Distribution Date shall be distributed to the
 Class C Certificateholders in accordance with the Class C Purchase Agreement; 
 (i) an amount equal to the Class C Investor Loss Amount, if any, for the related Due Period shall be treated as a portion of Available
Principal Collections for such Distribution Date; 
  

 51 

 (j) an amount equal to the Class C Investor Dilution Amount, if any, for the related Due
Period shall be treated as a portion of Available Principal Collections for such Distribution Date; 
 (k) an amount equal to
the aggregate amount by which the Class C Investor Interest has been reduced as described in clauses (c) and (d) of the definition of Class C Investor Interest (but not in excess of the unreimbursed amount of such reductions) shall be
treated as a portion of Available Principal Collections for such Distribution Date; 
 (l) an amount equal to the aggregate of
any other amounts then due to the Class C Certificateholders or required to be applied pursuant to the Class C Purchase Agreement out of Excess Spread and Shared Excess Finance Charge Collections allocated to Series 2007-1 shall be distributed for
application in accordance with the Class C Purchase Agreement; 
 (m) an amount equal to the excess, if any, of the Class D
Servicing Fee for such Distribution Date plus the amount of any Class D Servicing Fee due but not paid to the Servicer on any prior Distribution Date over the Class D Available Funds for such Distribution Date shall be paid to the Servicer;

 (n) an amount equal to the Class D Monthly Interest plus the amount of any Class D Deficiency Amount for such Distribution
Date shall be distributed to the Class D Certificateholders in accordance with the Class D Purchase Agreements; 
 (o) an amount
equal to the Class D Investor Loss Amount, if any, for the related Due Period shall be treated as a portion of Available Principal Collections for such Distribution Date; 
 (p) an amount equal to the Class D Investor Dilution Amount, if any, for the related Due Period shall be treated as a portion of Available Principal Collections for such Distribution Date; 
 (q) first an amount equal to the aggregate amount by which the Class D-1 Investor Interest has been reduced as described in clauses
(c) and (d) of the definition of Class D-1 Investor Interest (but not in excess of the unreimbursed amount of such reductions) shall be treated as a portion of Available Principal Collections for such Distribution Date and then an amount
equal to the aggregate amount by which the Class D-2 Investor Interest has been reduced as described in clauses (c) and (d) of the definition of Class D-2 Investor Interest (but not in excess of the unreimbursed amount of such reductions)
shall be treated as a portion of Available Principal Collections for such Distribution Date; 
 (r) an amount equal to the
excess, if any, of (A) the Minimum Required Funding Period Reserve Amount over (B) the amount on deposit in the Funding Period Reserve Account (after taking into account any withdrawals to be made from the Funding Period Reserve Account on
such Distribution Date pursuant to subsection 4.20(c)(i)), shall be deposited into the Funding Period Reserve Account; 
  

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 (s) an amount equal to the aggregate of any other amounts then due to the Class D
Certificateholders or required to be applied pursuant to the Class D Purchase Agreements out of Excess Spread and Shared Excess Finance Charge Collections allocated to Series 2007-1 shall be distributed for application in accordance with the Class D
Purchase Agreements; 
 (t) on a pro rata basis based on amounts owing under this clause (t), to the extent not already paid
under Section 4.22(c) hereof: (A) an amount equal to any Hedge Termination Fees or other additional payments owed to the Hedge Counterparty under the Class A Swap shall be paid to the Hedge Counterparty under the Class A Swap,
(B) an amount equal to any Hedge Termination Fees or other additional payments owed to the Hedge Counterparty under the Class M Swap shall be paid to the Hedge Counterparty under the Class M Swap, (C) an amount equal to any Hedge
Termination Fees or other additional payments owed to the Hedge Counterparty under the Class B Swap shall be paid to the Hedge Counterparty under the Class B Swap, (D) an amount equal to any additional payments owed to the Hedge Counterparty
under the Class C Cap shall be paid to the Hedge Counterparty under the Class C Cap, and (E) an amount equal to the excess, if any, of (a) the Minimum Required Hedge Reserve Amount over (b) the amount on deposit in the Hedge Reserve
Account shall be deposited into the Hedge Reserve Account; and 
 (u) the balance, if any, will constitute a portion of Shared
Excess Finance Charge Collections for such Distribution Date and will be available for allocation to other Series in Group One and, to the extent not required to be applied as Shared Excess Finance Charge Collections with respect to any Series in
Group One, shall be distributed to the Holder of the Exchangeable Seller Certificate or any other Person then entitled to such amounts. 
 SECTION 4.12. Reallocated Principal Collections. 
 (a) On or before each
Distribution Date, the Servicer shall instruct the Trustee in writing (which writing shall be substantially in the form of Exhibit E hereto) to apply Reallocated Principal Collections (applying all Reallocated Principal Collections in accordance
with subsection 4.12(b)) with respect to such Distribution Date, to make the following distributions on each Distribution Date in the following priority: 
 (i) an amount equal to the excess, if any, of (x) the Class A Required Amount, if any, with respect to such Distribution Date over (y) the amount of Excess Spread and Shared Excess Finance
Charge Collections allocated to Series 2007-1 with respect to the related Due Period, shall be applied in accordance with, and in the priority set forth in, subsections 4.9(a)(i), (ii), (iii) and (iv); 
 (ii) an amount equal to the excess, if any, of (x) the Class M Required Amount, if any, with respect to such
Distribution Date over (y) the amount of Excess Spread and Shared Excess Finance Charge Collections allocated and available to the
 Class M Certificates pursuant to subsection 4.11(c) on such Distribution Date shall be applied first in
accordance with, and in the priority set forth in subsections 4.9(b)(i) and (ii) and then pursuant to and in the priority set forth in subsection 4.11(c)(II); 
  

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 (iii) an amount equal to the excess, if any, of (x) the Class B
Required Amount, if any, with respect to such Distribution Date over (y) the amount of Excess Spread and Shared Excess Finance Charge Collections allocated and available to the Class B Certificates pursuant to subsection 4.11(e) on such
Distribution Date shall be applied first in accordance with, and in the priority set forth in subsections 4.9(c)(i) and (ii) and then pursuant to and in the priority set forth in subsection 4.11(e)(II); and 
 (iv) an amount equal to the excess, if any, of (x) the Class C Required Amount, if any, with respect to such
Distribution Date over (y) the amount of Excess Spread and Shared Excess Finance Charge Collections allocated and available to the Class C Investor Interest pursuant to subsections 4.11(g), 4.11(h), 4.11(i) and 4.11(j) on such Distribution Date
shall be applied first pursuant to subsection 4.9(d)(i), and then pursuant to and in the priority set forth in subsections 4.11(h), 4.11(i) and 4.11(j). 
 (b) On each Distribution Date on which the Servicer shall instruct the Trustee to apply Reallocated Principal Collections pursuant to paragraph (a) above, the Trustee shall apply such Reallocated
Principal Collections in the following order of priority and only to the extent provided below: 
 (i) applying
Reallocated Class D-2 Principal Collections in accordance with subsections 4.12 (a)(i) through (a)(iv); 
 (ii)
if any amounts remain outstanding under subsections 4.12 (a)(i) through (a)(iv) after giving effect to Reallocated
 Class D-2 Principal Collections, then applying Reallocated Class D-1 Principal Collections in accordance with subsections 4.12
(a)(i) through (a)(iv); 
 (iii) if any amounts remain outstanding under subsections 4.12(a)(i), (a)(ii) or
(a)(iii) above after giving effect to Reallocated Class D Principal Collections, then applying Reallocated Class C Principal Collections in accordance with subsections 4.12(a)(i), (a)(ii) and (a)(iii); 
 (iv) if any amounts remain outstanding under subsection 4.12 (a)(i) or (a)(ii) above after giving effect to Reallocated

Class D Principal Collections and Reallocated Class C Principal Collections, then applying Reallocated Class B Principal Collections in accordance with subsection 4.12(a)(i) or (a)(ii); and 
 (v) if any amounts remain outstanding under subsection 4.12 (a)(i) above after giving effect to Reallocated Class D Principal
Collections, Reallocated Class C Principal Collections and Reallocated Class B Principal Collections, then applying Reallocated Class M Principal Collections in accordance with subsection 4.12(a)(i). 
 (c) On each Distribution Date, the Class D-2 Investor Interest shall be reduced by the amount of Reallocated Class D-2
Principal Collections applied in accordance with subsection 4.12(b) for such Distribution Date, the Class D-1 Investor Interest shall be reduced by the amount of Reallocated Class D-1 Principal Collections applied in accordance with subsection
4.12(b) for such Distribution Date, the Class C Investor Interest shall be reduced by the amount of Reallocated Class C Principal Collections applied in accordance with subsection 4.12(b) for such Distribution Date, the Class B Investor Interest
shall be reduced by the amount of Reallocated Class B Principal

  

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Collections applied in accordance with subsection 4.12(b) for such Distribution Date and the Class M Investor Interest shall be reduced by the amount of Reallocated Class M Principal Collections
applied in accordance with subsection 4.12(b) for such Distribution Date. Each of the Class M Investor Interest, the Class B Investor Interest, the Class C Investor Interest, the
 Class D-1 Investor Interest and the Class D-2 Investor Interest
will thereafter be reimbursed (but not in excess of the unreimbursed amount of such reductions) on any Distribution Date by the amount of the Excess Spread and Shared Excess Finance Charge Collections allocated and available to (A) the Class M
Investor Interest pursuant to subsection 4.11(d), (B) the Class B Investor Interest pursuant to subsection 4.11(f), (C) the Class C Investor Interest pursuant to subsection 4.11(k) and (D) to the Class D-1 Investor Interest and Class
D-2 Investor Interest pursuant to subsection 4.11(q). 
 SECTION 4.13. Seller’s or Servicer’s Failure to Make a
Deposit or Payment. If the Servicer or the Seller fails to make, or give instructions to make, any payment or deposit required to be made or given by the Servicer or Seller, respectively, at the time specified in the Agreement (including
applicable grace periods), the Trustee shall make such payment or deposit from the applicable account without instruction from the Servicer or Seller. The Trustee shall be required to make any such payment, deposit or withdrawal hereunder only to
the extent that the Trustee has sufficient information to allow it to determine the amount thereof; provided, however, that the Trustee shall in all cases be deemed to have sufficient information to determine the amount of interest payable to the
Series 2007-1 Certificateholders on each Distribution Date. The Servicer shall, upon request of the Trustee, promptly provide the Trustee with all information necessary to allow the Trustee to make such payment, deposit or withdrawal. Such funds or
the proceeds of such withdrawal shall be applied by the Trustee in the manner in which such payment or deposit should have been made by the Seller or the Servicer, as the case may be. 
 SECTION 4.14. Shared Excess Finance Charge Collections. 
 (a) The balance of any Available Funds on deposit in the Collection Account after giving effect to subsections 4.11(a) through (t) will constitute a portion of Shared Excess Finance Charge
Collections and will be available for allocation to other Series in Group One or to the Holder of the Exchangeable Seller Certificate as described in Section 4.3(g). 
 (b) Series 2007-1 shall be included in Group One. Subject to subsection 4.3(g) of the Agreement, Shared Excess Finance Charge Collections with respect to the Series in Group One for any Distribution Date
will be allocated to Series 2007-1 in an amount equal to the product of (x) the aggregate amount of Shared Excess Finance Charge Collections with respect to all Series in Group One for such Distribution Date and (y) a fraction, the
numerator of which is the Finance Charge Shortfall for Series 2007-1 for such Distribution Date and the denominator of which is the aggregate amount of Finance Charge Shortfalls for all Series in Group One for such Distribution Date. The
“Finance Charge Shortfall” for Series 2007-1 for any Distribution Date will be equal to the excess, if any, of (a) the full amount required to be paid, without duplication, pursuant to subsections 4.11(a) through (t) on
such Distribution Date over (b) the Excess Spread for such Distribution Date. 
  

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 SECTION 4.15. Shared Principal Collections. Subject to subsection 4.3(f) of the
Agreement, Shared Principal Collections for any Distribution Date will be allocated to Series 2007-1 in an amount equal to the product of (x) the aggregate amount of Shared Principal Collections with respect to all Series in Group One that are
Principal Sharing Series for such Distribution Date and (y) a fraction, the numerator of which is the Principal Shortfall for Series 2007-1 for such Distribution Date and the denominator of which is the Cumulative Principal Shortfall for such
Distribution Date. 
 SECTION 4.16. Purchase and Cancellation of Certificates. The Seller may on any Distribution Date on
or after the Funding Period Termination Distribution Date, upon five Business Days’ prior written notice to the Trustee, purchase Series 2007-1 Certificates on the secondary market and request the Trustee to cancel such Series 2007-1
Certificates purchased by the Seller on such Distribution Date. In such case, the Class A, Class M, Class B, Class C and/or Class D Investor Interest, as applicable, will be reduced by the portion thereof represented by such cancelled
Certificates; provided that after giving effect to any cancellation (A) the Class M Investor Interest shall not be less than 6.0% of the Series 2007-1 Investor Interest (calculated after giving effect to such cancellation), (B) the
Class B Investor Interest shall not be less than 9.5% of the Series 2007-1 Investor Interest (calculated after giving effect to such cancellation), (C) the Class C Investor Interest shall not be less than 9.0% of the Series 2007-1 Investor
Interest (calculated after giving affect to such cancellation), and (D) the Class D Investor Interest shall not be less than 9.5% of the Series 2007-1 Investor Interest (calculated after giving effect to such cancellations). No
Certificateholder shall be required to sell its Certificates to the Seller pursuant to this Section 4.16. 
 SECTION 4.17.
Determination of LIBOR. 
 (a) On each LIBOR Determination Date, the Trustee shall determine LIBOR on the basis of the
rate for deposits in United States dollars for a period of the Designated Maturity which appears on Reuters Screen LIBOR01 Page as of 11:00 a.m., London time, on that date. If such rate does not appear on Reuters Screen LIBOR01 Page, the rate for
that LIBOR Determination Date will be determined based on the rates at which deposits in United States dollars are offered by the Reference Banks at approximately 11:00 a.m., London time, on that day to prime banks in the London interbank market for
a period of the Designated Maturity. The Trustee or the Hedge Counterparty will request the principal London office of each of the Reference Banks to provide a quotation of its rate. If at least two quotations are provided, the rate for that LIBOR
Determination Date will be the arithmetic mean of the quotations. If fewer than two quotations are provided, the rate for that LIBOR Determination Date will be the arithmetic mean of the rates quoted by four major banks in New York City, selected by
the Servicer, at approximately 11:00 a.m., New York City time, on that day for loans in United States dollars to leading European banks for a period of the Designated Maturity. 
 (b) The Class A Certificate Rates, Class M Certificate Rates, Class B Certificate Rates, Class C Certificate Rate, Class D-1
Certificate Rate and Class D-2 Certificate Rate applicable to the then current and the immediately preceding Interest Periods may be obtained by any Series 2007-1 Certificateholder by telephoning the Trustee at its Corporate Trust Office at
(800) 934-6802. 
  

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 (c) On each LIBOR Determination Date prior to 12:00 noon New York City time, the Trustee
shall send to the Servicer by facsimile, notification of LIBOR for the following Interest Period. 
 SECTION 4.18.
Paired Series. Any other Series in Group One may be designated (but only with the consent of the Class C Certificateholders and the Class D Certificateholders specified in the Class C Purchase Agreement or the Class D Certificate Purchase
Agreements, as applicable, and subject to satisfaction of the Rating Agency Condition) as a Paired Series for Series 2007-1. Such Paired Series either shall be prefunded with an initial deposit to a prefunding account in an amount up to the initial
principal amount of such Paired Series and primarily from the sale of such Paired Series or shall have a variable principal amount. Any such prefunding account shall be held for the benefit of such Paired Series and not for the benefit of the
Series 2007-1 Certificateholders. As funds in the Collection Account are allocated for distribution as Available Principal Collections during the Early Amortization Period or Controlled Amortization Period, either (i) in the case of a
prefunded Paired Series, an equal amount of funds in any prefunding account for such Paired Series shall be released and distributed pursuant to the terms of such Paired Series or (ii) in the case of a Paired Series having a variable principal
amount, an interest in such variable Paired Series in an equal or lesser amount may be sold by the Trust and the proceeds thereof will be distributed pursuant to the terms of such Paired Series, and, in either case, the Investor Interest of such
Paired Series will increase by up to a corresponding amount. Upon payment in full of the Series Investor Interest, assuming that there have been no unreimbursed Loss Amounts with respect to any related Paired Series, the aggregate amount of such
Paired Series shall have been increased by an amount up to an aggregate amount equal to the Series Investor Interest paid to the Series 2007-1 Certificateholders (or such other amount as the holders of such Paired Series shall agree).

 SECTION 4.19 Pre-Funding Account. (a) The Seller hereby directs the Servicer, for the benefit of the Series
2007-1 Certificateholders, to establish and maintain or cause to be established and maintained in the name of the Trustee and for the Trustee, on behalf of the Series 2007-1 Certificateholders, with a Qualified Depository Institution (which
initially shall be the Trustee) a segregated trust account (the “Pre-Funding Account”), bearing a designation clearly indicating that the funds deposited therein are held for the benefit of the Series 2007-1 Certificateholders. The
Seller does hereby transfer, assign, set over and otherwise convey to the Trust for the benefit of the Series 2007-1 Certificateholders, without recourse, all of its right, title and interest (if any) in, to and under the Pre-Funding Account, any
cash and/or investments on deposit therein and any proceeds of the foregoing, including the investment earnings. The Pre-Funding Account shall be owned by, and under the sole dominion and control of, the Trustee for the benefit of the Series 2007-1
Certificateholders. If, at any time, the institution holding the Pre-Funding Account ceases to be a Qualified Depository Institution, the Seller shall direct the Servicer to establish within 10 Business Days a new Pre-Funding Account meeting the
conditions specified above with a Qualified Depository Institution, transfer any cash and/or any investments to such new Pre-Funding Account and from the date such new Pre-Funding Account is established, it shall be the “Pre-Funding
Account.” In addition, after five days notice to the Trustee, the Seller may direct the Servicer to establish a new Pre-Funding Account meeting the conditions specified above with a different Qualified Depository Institution, transfer any cash
and/or investments to such new Pre-Funding Account and from the date such new Pre-Funding Account is established, it shall be, for the Series 2007-1 Certificates, the “Pre-Funding Account.” The Trustee, at the direction of the Servicer,
shall make withdrawals and payments from the Pre-Funding Account for the purposes of carrying out the Servicer’s or Trustee’s duties hereunder. 
  

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 (b) A portion of the cash proceeds of the sale of the Series 2007-1 Certificates in an
amount equal to $285,000,000 shall be deposited into the Pre-Funding Account on the Closing Date. This amount shall be the Initial Total Pre-Funded Amount. On each Distribution Date, the Trustee, at the direction of the Servicer, shall withdraw from
the Pre-Funding Account and deposit in the Collection Account all interest and other investment income on the Cash Pre-Funded Amount. Interest (including reinvested interest) and other investment income on funds on deposit in the Pre-Funding Account
shall not be considered part of the Cash Pre-Funded Amount for purposes of this Supplement. Funds on deposit in the Pre-Funding Account shall be withdrawn by the Trustee, at the direction of the Servicer, and paid to the Seller to the extent of any
increases in the Series Investor Interest pursuant to Section 4.21. If (x) the Lane Bryant Portfolio shall not have been acquired by the Originator on or before January 31, 2008, or the Servicer shall have notified the Trustee in
writing on or prior to January 31, 2008 that the Originator will not acquire the Lane Bryant Portfolio prior to January 31, 2008, and (y) any Cash Pre-Funded Amount remains on deposit in the Pre-Funding Account, on the Lane Bryant
Portfolio Distribution Date the lesser of (i) such remaining Cash Pre-Funded Amount net of interest and earnings on investments of funds on deposit in the Pre-Funding Account on such date) and (ii) $220,000,000 will be deposited into the
Collection Account and applied by the Trustee, at the direction of the Servicer, in accordance with subsection 4.9(h) to reduce the outstanding principal amount of the Class A Certificates, the Class M Certificates, the Class B Certificates,
the Class C Certificates and the Class D Certificates as specified in subsection 4.9(h). If the Funding Period Termination Distribution Date occurs and any Cash Pre-Funded Amount remains on deposit in the Pre-Funding Account, on such date such
remaining Cash Pre-Funded Amount will be deposited into the Collection Account and will be applied by the Trustee, at the direction of the Servicer, in accordance with subsection 4.9(h) to reduce the outstanding principal amount of the Class A
Certificates, the Class M Certificates, the Class B Certificates, the Class C Certificates and the Class D Certificates as specified in subsection 4.9(h). 
 (c) Funds on deposit in the Pre-Funding Account shall be invested in Permitted Investments by the Trustee, at the direction of the Servicer. Funds on deposit in the Pre-Funding Account on any Distribution
Date, after giving effect to any withdrawals from the Pre-Funding Account, shall be invested in Permitted Investments that will mature so that such funds will be available for withdrawal on the following Distribution Date. All interest and earnings
(net of losses and investment expenses) on funds on deposit in the Pre-Funding Account shall be deposited by the Trustee, at the direction of the Servicer, in the Collection Account on each Distribution Date and treated as Collections of Finance
Charge Receivables allocated to the Series 2007-1 Certificates for the prior Due Period. 
 (d) The parties hereto intend that
the Pre-Funding Account shall be an account of the Trustee, and not an account of the Seller. If, notwithstanding the intent of the parties hereto, it shall be determined that the Seller has any rights in the Pre-Funding Account, the Seller hereby
grants to the Trustee, to secure all of its obligations hereunder, a security interest in all of its right, title, and interest, whether now owned or hereafter acquired, in, to, and under the Pre-Funding Account, all money, instruments, investment
property, and other property credited to or on deposit in the Pre-Funding Account, and all proceeds thereof. 
  

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 SECTION 4.20. Funding Period Reserve Account. (a) The Seller hereby directs the
Servicer, for the benefit of the Series 2007-1 Certificateholders, to establish and maintain or cause to be established and maintained in the name of the Trustee and for the Trustee, on behalf of the Series 2007-1 Certificateholders, with a
Qualified Depository Institution (which initially shall be the Trustee) a segregated trust account (the “Funding Period Reserve Account”), bearing a designation clearly indicating that the funds deposited therein are held for the
benefit of the Series 2007-1 Certificateholders. The Seller does hereby transfer, assign, set over and otherwise convey to the Trust for the benefit of the Series 2007-1 Certificateholders, without recourse, all of its right, title and interest (if
any) in, to and under the Funding Period Reserve Account, any cash and/or investments on deposit therein and any proceeds of the foregoing, including the investment earnings. The Funding Period Reserve Account shall be owned by, and under the sole
dominion and control of, the Trustee for the benefit of the Series 2007-1 Certificateholders. If, at any time, the institution holding the Funding Period Reserve Account ceases to be a Qualified Depository Institution, the Seller shall direct the
Servicer to establish within 10 Business Days a new Funding Period Reserve Account meeting the conditions specified above with a Qualified Depository Institution, transfer any cash and/or any investment to such new Funding Period Reserve Account and
from the date such new Funding Period Reserve Account is established, it shall be the “Funding Period Reserve Account.” In addition, after five days notice to the Trustee, the Seller may direct the Servicer to establish a new Funding
Period Reserve Account meeting the conditions specified above with a different Qualified Depository Institution, transfer any cash and/or investments to such new Funding Period Reserve Account and from the date such new Funding Period Reserve
Account is established, it shall be, for the Series 2007-1 Certificates, the “Funding Period Reserve Account.” Pursuant to the authority granted to the Servicer in subsection 3.1(b) of the Agreement, the Servicer shall have the power,
revocable by the Trustee, to make withdrawals and payments or to instruct the Trustee to make withdrawals and payments from the Funding Period Reserve Account for the purposes of carrying out the Servicer’s or Trustee’s duties hereunder.

 (b) The Servicer shall deposit $3,705,000 into the Funding Period Reserve Account on the Closing Date. Funds on deposit in
the Funding Period Reserve Account (after giving effect to any withdrawals from the Funding Period Reserve Account) shall be invested by the Trustee at the direction of the Servicer in Permitted Investments so that funds will be available for
withdrawal on the following Distribution Date. The interest and other investment income (net of investment expenses and losses) earned on such investments shall be deposited in the Collection Account on each Distribution Date and treated as
Collections of Finance Charge Receivables allocated to the Series 2007-1 Certificates for the preceding Due Period and available to be applied as Available Funds. 
 (c) On or before each Distribution Date with respect to the Funding Period, the Trustee at the direction of the Servicer shall (i) withdraw from the Funding Period Reserve Account an amount equal to
the Funding Period Reserve Draw Amount for such Distribution Date and deposit such amount into the Collection Account for application as Available Funds and (ii) deposit in the Funding Period Reserve Account an amount equal to the amount
specified in, and otherwise in accordance with, subsection 4.11(r). 
  

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 (d) The Funding Period Reserve Account shall be terminated following the earlier to occur of
(a) the completion of the Funding Period and (b) the termination of the Trust pursuant to the Agreement. Upon the termination of the Funding Period Reserve Account, all amounts on deposit therein (after giving effect to any withdrawal from
the Funding Period Reserve Account on such date as described above) shall be distributed to the Holder of the Exchangeable Seller Certificate. 
 SECTION 4.21. Adjustments to Investor Interest. 
 (a) Series 2007-1 shall be
a Paired Series with respect to Series 2002-1. On any Business Day during the Funding Period, the Series Investor Interest will be increased (but not above an amount equal to the Initial Investor Interest) by the amount of any decrease in the
Investor Interest for Series 2002-1 on or prior to such day, provided that the aggregate amount of such increases pursuant to this clause (a) do not exceed the aggregate amount of the Investor Interest for Series 2002-1. The Class A
Investor Interest shall be increased by an amount equal to the Class A Percentage of the amount of such decrease, the Class M Investor Interest shall be increased by an amount equal to the Class M Percentage of the amount of such decrease,
the Class B Investor Interest shall be increased by an amount equal to the Class B Percentage of the amount of such decrease, the Class C Investor Interest shall be increased by an amount equal to the Class C Percentage of the amount of such
decrease, and the Class D Investor Interest shall be increased by an amount equal to the Class D Percentage of the amount of such decrease (which increase shall be allocated between the Class D-1 Investor Interest and the Class D-2 Investor Interest
as provided in the Class D Purchase Agreements), whereupon the Trustee shall instruct the Servicer to withdraw from the Pre-Funding Account and pay to the Seller an amount equal to the increase in the Series Investor Interest. 
 (b) The Seller may on any Business Day during the Funding Period determine to increase the Series Investor Interest amount up to the Initial
Investor Interest by transferring new Receivables to the Trust so long as such increase to the Series Investor Interest would not cause the Seller Interest to be reduced below zero or cause an Early Amortization Event to occur with respect to any
outstanding Series. Upon determining to increase the Series Investor Interest pursuant to this Section 4.21(b), the Seller shall deliver to the Servicer and the Trustee an Officers’ Certificate specifying the amount of the increase in the
Series Investor Interest the Seller has determined to make and certifying that such increase to the Series Investor Interest will not cause the Seller Interest to be reduced below zero or cause an Early Amortization Event to occur with respect to
any outstanding Series. Upon receipt of such Officer’s Certificate by the Trustee, the Class A Investor Interest shall be increased by an amount equal to the Class A Percentage of the amount of such increase, the Class M Investor
Interest shall be increased by an amount equal to the Class M Percentage of the amount of such increase, the Class B Investor Interest shall be increased by an amount equal to the Class B Percentage of the amount of such increase, the Class C
Investor Interest shall be increased by an amount equal to the Class C Percentage of the amount of such increase, the Class D Investor Interest shall be increased by an amount equal to the Class D Percentage of the amount of such increase (which
increase shall be allocated between the Class D-1 Investor Interest and the Class D-2 Investor Interest as provided in the Class D Purchase Agreements), whereupon the Trustee shall instruct the Servicer to withdraw from the Pre-Funding Account and
pay to the Seller an amount equal to the increase in the Series Investor Interest. 
  

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 SECTION 4.22. Hedge Reserve Account. (a) The Seller hereby directs the Servicer,
for the benefit of the Hedge Counterparty, to establish and maintain or cause to be established and maintained in the name of the Trustee and for the Trustee, on behalf of the Hedge Counterparty, with a Qualified Depository Institution (which
initially shall be the Trustee) a segregated trust account (the “Hedge Reserve Account”), bearing a designation clearly indicating that the funds deposited therein are held for the benefit of the Hedge Counterparty. The Seller does
hereby transfer, assign, set over and otherwise convey to the Trust for the benefit of the Hedge Counterparty, without recourse, all of its right, title and interest (if any) in, to and under the Hedge Reserve Account, any cash and/or investments on
deposit therein and any proceeds of the foregoing, including the investment earnings. The Hedge Reserve Account shall be owned by, and under the sole dominion and control of, the Trustee for the benefit of the Hedge Counterparty. If, at any time,
the institution holding the Hedge Reserve Account ceases to be a Qualified Depository Institution, the Seller shall direct the Servicer to establish within 10 Business Days a new Hedge Reserve Account meeting the conditions specified above with a
Qualified Depository Institution, transfer any cash and/or any investment to such new Hedge Reserve Account and from the date such new Hedge Reserve Account is established, it shall be the “Hedge Reserve Account.” In addition, after five
days notice to the Trustee, the Seller may direct the Servicer to establish a new Hedge Reserve Account meeting the conditions specified above with a different Qualified Depository Institution, transfer any cash and/or investments to such new Hedge
Reserve Account and from the date such new Hedge Reserve Account is established, it shall be, the “Hedge Reserve Account.” Pursuant to the authority granted to the Servicer in subsection 3.1(b) of the Agreement, the Servicer shall have the
power, revocable by the Trustee, to make withdrawals and payments or to instruct the Trustee to make withdrawals and payments from the Hedge Reserve Account for the purposes of carrying out the Servicer’s or Trustee’s duties hereunder.

 (b) The Servicer shall deposit $1,700,000 into the Hedge Reserve Account on the Closing Date. On each Distribution Date prior
to the termination of the Hedge Reserve Account pursuant to subsection 4.22(d), the Trustee at the direction of the Servicer shall deposit in the Hedge Reserve Account an amount equal to the amount specified in, and otherwise in accordance with,

subsection 4.11(t). Funds on deposit in the Hedge Reserve Account (after giving effect to any withdrawals from the Hedge Reserve Account) shall be invested by the Trustee at the direction of the Servicer in Permitted Investments so that funds will
be available for withdrawal on the following Distribution Date. The interest and other investment income (net of investment expenses and losses) earned on such investments shall be deposited in the Collection Account each Distribution Date following
and treated as Collections of Finance Charge Receivables allocated to the Series 2007-1 Certificates for the preceding Due Period and available to be applied as Available Funds. 
 (c) Upon termination of any Interest Rate Swap Agreement for which a partial or early termination fee (such fee, a “Hedge
Termination Fee”) is incurred pursuant to the terms of the applicable Interest Rate Swap Agreement, the Trustee shall, at the written direction of the Servicer, withdraw the amount of such termination fee from the Hedge Reserve Account and
distribute such termination fee directly to the applicable Hedge Counterparty. If more than one Hedge Termination Fee shall be outstanding at any time, the Trustee shall make such distributions to the applicable Hedge Counterparties in the following
order of priority: first, to the Hedge Counterparty for the Class A Swap; second, to the Hedge Counterparty for the Class M Swap; and third, to the Hedge Counterparty for the Class B Swap. 
  

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 (d) The Hedge Reserve Account shall be terminated following the earliest to occur of
(a) the Lane Bryant Portfolio Distribution Date, (b) February 15, 2008, (c) the date on which the Originator acquires the Lane Bryant Portfolio, and (d) the termination of the Trust pursuant to the Agreement. Upon the
termination of the Hedge Reserve Account, all amounts on deposit therein (after giving effect to any withdrawal from the Hedge Reserve Account on such date as described above) shall be distributed to the Holder of the Exchangeable Seller
Certificate. 
 SECTION 4.23 Designation of Trustee’s Jurisdiction. The Trustee hereby agrees that its jurisdiction
for purposes of the applicable UCC is New York. 
 SECTION 4.24 Permitted Investments. In selecting Permitted Investments
for the funds on deposit in the Collection Account, the Funding Period Reserve Account, the Hedge Reserve Account and the Pre-Funding Account, the Servicer shall make such selection after consultation with the Trustee and with a view to ensuring
that an amount equal to the sum of (i) Monthly Interest due on each Distribution Date, and (ii) during the Amortization Period, the amount of principal to be paid on the Series 2007-1 Certificates on such Distribution Date will be held by
the Trustee in uninvested funds on the Business Day immediately prior to such Distribution Date. 
 SECTION 9. Article V of
the Agreement. Article V of the Agreement shall read in its entirety as follows and shall be applicable only to the Series 2007-1 Certificates: 
 ARTICLE V. 
 DISTRIBUTIONS AND REPORTS TO INVESTOR 
 CERTIFICATEHOLDERS 
 SECTION 5.1. Distributions. 
 (a) On each Distribution Date, the Trustee shall distribute (in accordance with
the certificate delivered by the Servicer to the Trustee pursuant to subsection 3.4(b)) to each Class A Certificateholder of record on the immediately preceding Record Date (other than as provided in Section 12.3 respecting a final
distribution) such Class A Certificateholder’s pro rata share (based on the aggregate Undivided Trust Interests represented by Class A Certificates held by such Class A Certificateholder) of amounts on deposit in
the Collection Account as are payable to the Class A Certificateholders pursuant to Section 4.9 or 4.11 of this Supplement by check mailed to each Class A Certificateholder (at such Class A Certificateholder’s address as it
appears in the Certificate Register), except that with respect to Class A Certificates registered in the name of the nominee of a Clearing Agency, such distribution shall be made in immediately available funds. 
 (b) On each Distribution Date, the Trustee shall distribute (in accordance with the certificate delivered by the Servicer to the Trustee
pursuant to subsection 3.4(b)) to each Class M Certificateholder of record on the immediately preceding Record Date (other than as provided in Section 12.3 respecting a final distribution) such Class M Certificateholder’s pro rata share

  

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(based on the aggregate Undivided Trust Interests represented by Class M Certificates held by such Class M Certificateholder) of amounts on deposit in the Collection Account as are payable to the
Class M Certificateholders pursuant to Section 4.9 or 4.11 of this Supplement by check mailed to each Class M Certificateholder (at such Class M Certificateholder’s address as it appears in the Certificate Register), except that with
respect to Class M Certificates registered in the name of the nominee of a Clearing Agency, such distribution shall be made in immediately available funds. 
 (c) On each Distribution Date, the Trustee shall distribute (in accordance with the certificate delivered by the Servicer to the Trustee pursuant to subsection 3.4(b)) to each Class B Certificateholder of
record on the immediately preceding Record Date (other than as provided in Section 12.3 respecting a final distribution) such Class B Certificateholder’s pro rata share (based on the aggregate Undivided Trust Interests represented by
Class B Certificates held by such Class B Certificateholder) of amounts on deposit in the Collection Account as are payable to the Class B Certificateholders pursuant to Section 4.9 or 4.11 of this Supplement by check mailed to each Class
B Certificateholder (at such Class B Certificateholder’s address as it appears in the Certificate Register), except that with respect to Class B Certificates registered in the name of the nominee of a Clearing Agency, such distribution shall be
made in immediately available funds. 
 (d) Unless otherwise specified in the Class C Purchase Agreement, on each Distribution
Date, the Trustee shall distribute to each Class C Certificateholder of record on the immediately preceding Record Date (other than as provided in Section 12.3 of the Agreement respecting a final distribution) such Class C
Certificateholder’s pro rata share (based on the aggregate Undivided Trust Interests represented by Class C Certificates held by such Class C Certificateholder) of amounts on deposit in the Collection Account as are payable to the Class
C Certificateholders pursuant to Section 4.9 or 4.11 of this Supplement or the Class C Purchase Agreement by check mailed to each Class C Certificateholder (at such Certificateholder’s address as it appears in the Certificate Register) or
by wire transfer of immediately available funds to such account designated in writing by such Class C Certificateholder to the Trustee not later than the Distribution Date preceding such Distribution Date. 
 (e) Unless otherwise specified in the Class D-1 Purchase Agreement, on each Distribution Date, the Trustee shall distribute to each Class
D-1 Certificateholder of record on the immediately preceding Record Date (other than as provided in Section 12.3 of the Agreement respecting a final distribution) such Class D-1 Certificateholder’s pro rata share (based on the aggregate
Undivided Trust Interests represented by Class D-1 Certificates held by such Class D-1 Certificateholder) of amounts on deposit in the Collection Account as are payable to the Class D-1 Certificateholders pursuant to Section 4.9 or 4.11 of this
Supplement or the applicable
 Class D Purchase Agreement by check mailed to each Class D-1 Certificateholder (at such Class D-1 Certificateholder’s address as it appears in the Certificate Register) or by wire transfer of immediately
available funds to such account designated in writing by such Class D-1 Certificateholder to the Trustee not later than the Distribution Date preceding such Distribution Date. 
  

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 (f) Unless otherwise specified in the Class D-2 Purchase Agreement, on each Distribution
Date, the Trustee shall distribute to each Class D-2 Certificateholder of record on the immediately preceding Record Date (other than as provided in Section 12.3 of the Agreement respecting a final distribution) such Class D-2
Certificateholder’s pro rata share (based on the aggregate Undivided Trust Interests represented by Class D-2 Certificates held by such Class D-2 Certificateholder) of amounts on deposit in the Collection Account as are payable to the Class D-2
Certificateholders pursuant to Section 4.9 or 4.11 of this Supplement or the applicable
 Class D Purchase Agreement by check mailed to each Class D-2 Certificateholder (at such Class D-2 Certificateholder’s address as it appears in the
Certificate Register) or by wire transfer of immediately available funds to such account designated in writing by such Class D-2 Certificateholder to the Trustee not later than the Distribution Date preceding such Distribution Date. 
 SECTION 5.2. Monthly Certificateholders’ Statement. 
 (a) On or before each Distribution Date, the Paying Agent shall forward to each Series 2007-1 Certificateholder and each Rating Agency a
statement substantially in the form of Exhibit F to this Supplement prepared by the Servicer, appropriately completed. 
 (b)
Annual Certificateholders’ Tax Statement. On or before January 31 of each calendar year, beginning with calendar year 2008, the Trustee shall distribute to each Person who at any time during the preceding calendar year was a Series 2007-1
Certificateholder, a statement prepared by the Servicer containing the information required to be contained in the regular monthly statement to Series 2007-1 Certificateholders, aggregated for such calendar year or the applicable portion thereof
during which such Person was a Series 2007-1 Certificateholder, together with such other customary information (consistent with the treatment of the Class A Certificates, the Class M Certificates and the Class B Certificates as debt) as
the Servicer deems necessary or desirable to enable the Series 2007-1 Certificateholders to prepare their tax returns. The Servicer will provide such information to the Trustee as soon as possible after January 1 of each calendar year. Such
obligations of the Trustee shall be deemed to have been satisfied to the extent that substantially comparable information shall be provided by the Trustee pursuant to any requirements of the Code as from time to time in effect. 
 SECTION 10. Series 2007-1 Early Amortization Events. If any one of the following events shall occur with respect to the Series 2007-1
Certificates: 
 (a) failure on the part of the Seller or the Originator (i) to make any payment or deposit required by the
terms of (A) the Agreement, (B) this Supplement or (C) the Purchase Agreement, on or before the date occurring five Business Days after the date such payment or deposit is required to be made herein or (ii) duly to observe or
perform in any material respect any of its covenants or agreements set forth in the Agreement, this Supplement or the Purchase Agreement, which failure has a material adverse effect on the Class A Certificateholders, the Class M
Certificateholders, the Class B Certificateholders or the Class C Certificateholders and which continues unremedied for a period of 35 days after the date on which written notice of such failure, requiring the same to be remedied, shall have been
given to the Seller by the Trustee, or to the Seller and the Trustee by the Controlling Certificateholders, and continues to affect materially and adversely the interests of the Class A Certificateholders, the Class M Certificateholders, the
Class B Certificateholders or the Class C Certificateholders for such period; 
  

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 (b) any representation or warranty made by the Seller or the Originator in the Agreement,
this Supplement or the Purchase Agreement, or any information contained in a computer file or microfiche or written list required to be delivered by the Seller pursuant to Section 2.1 or 2.6 or by the Originator pursuant to Section 1.1 or
2.4(e) of the Purchase Agreement, (i) shall prove to have been incorrect in any material respect when made or when delivered, which continues to be incorrect in any material respect for a period of 60 days after the date on which written notice
of such failure, requiring the same to be remedied, shall have been given to the Seller by the Trustee, or to the Seller and the Trustee by the Controlling Certificateholders, and (ii) as a result of which the interests of the Class A
Certificateholders, the Class M Certificateholders, the Class B Certificateholders or the Class C Certificateholders are materially and adversely affected and continue to be materially and adversely affected for such period; provided,
however, that a Series 2007-1 Early Amortization Event pursuant to this subsection 9(b) shall not be deemed to have occurred hereunder if the Seller has accepted reassignment of the related Receivable, or all of such Receivables, if
applicable, during such period in accordance with the provisions of the Agreement; 
 (c) the average Portfolio Yield for any
three consecutive Due Periods is reduced to a rate which is less than the average Base Rate for such period; 
 (d) the Seller
shall fail to convey Receivables arising under Additional Accounts to the Trust, as required by
 subsection 2.6(a) of the Agreement; 
 (e) any Servicer Default shall occur which would have a material adverse effect on the Class A Certificateholders, the Class M Certificateholders, the Class B Certificateholders or the Class C
Certificateholders; 
 (f) the Class A Investor Interest shall not be paid in full on the Class A Expected Final
Payment Date, or the Class M Investor Interest shall not be paid in full on the Class M Expected Final Payment Date, or the Class B Investor Interest shall not be paid in full on the Class B Expected Final Payment Date; 
 (g) Fashion Service Corp. shall consent to the appointment of a conservator or receiver or liquidator in any insolvency, readjustment of
debt, marshalling of assets and liabilities or similar proceedings of or relating to all or substantially all of its property, or a decree or order of a court or agency or supervisory authority having jurisdiction in the premises for the appointment
of a conservator or receiver or liquidator in any insolvency, readjustment of debt, marshalling of assets and liabilities or similar proceedings, or for the winding-up or liquidation of its affairs, shall have been entered against Fashion Service
Corp.; or Fashion Service Corp. shall admit in writing its inability to pay its debts generally as they become due, commence or have commenced against it (unless dismissed within thirty days) as a debtor a proceeding under any applicable insolvency
or reorganization statute, make an assignment for the benefit of its creditors or voluntarily suspend payment of its obligations; 
 (h) the early termination of the Class A Swap, the Class M Swap, the Class B Swap or the Class C Cap unless the Trustee obtains a replacement Class A Swap, Class M Swap, Class B Swap or Class C Cap, as applicable, or enters into
another interest rate hedging arrangement with respect to the Class A-1 Certificates, Class M-1 Certificates, Class B-1

  

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Certificates or Class C Certificates that satisfies the Rating Agency Condition within 5 Business Days following the termination of such Class A Swap, Class M Swap, Class B Swap or Class C
Cap, as applicable; provided that the partial termination of an Interest Rate Hedge Agreement due to the occurrence of the Lane Bryant Portfolio Distribution Date, as contemplated by the Interest Rate Hedge Agreements, shall not be a Series 2007-1
Early Amortization Event; or 
 (i) failure of any Hedge Counterparty to make a payment under any of the Interest Rate Hedge
Agreements for the
 Class A-1 Certificates, Class M-1 Certificates, Class B-1 Certificates or Class C Certificates in respect of a payment obligation arising as a result of LIBOR being greater than the specified fixed rate for the related
Interest Rate Hedge Agreement, and the failure is not cured within 5 Business Days after payment is due; 
 then, (x) in
the case of any event described in subparagraph (a), (b) or (e) after the applicable grace period set forth in such subparagraphs, either the Trustee or the Controlling Certificateholders by notice then given in writing to the Seller and
the Servicer (and to the Trustee if given by the Certificateholders) may declare that an early amortization event (a “Series 2007-1 Early Amortization Event”) has occurred as of the date of such notice and (y) in the case of
any event described in subparagraphs (c), (d), (f), (g), (h) or (i), a Series 2007-1 Early Amortization Event shall occur without any notice or other action on the part of the Trustee or the Series 2007-1 Certificateholders immediately upon the
occurrence of such event. 
 SECTION 11. Series 2007-1 Termination. The right of the Series 2007-1 Certificateholders to
receive payments from the Trust will terminate on the first Business Day following the Series 2007-1 Termination Date. For purposes of Series 2007-1, the reference to “110%” in Section 12.1(c) of the Agreement shall be deemed to be a
reference to “110% (or if such percentage would cause an Early Amortization Event to occur with respect to any other outstanding Series, the greater of (x) such lesser percentage as would not cause such Early Amortization Event and
(y) the then current Series Allocation Percentage)”. The proceeds of such sale shall be treated as Collections on the Receivables that are allocated to Series 2007-1 pursuant to the Agreement and this Supplement and shall be distributed in
accordance with the terms of this Supplement; provided, however, that the Servicer shall determine conclusively the amount of such proceeds that are allocable to Finance Charge Receivables and the amount of such proceeds that are allocable to
Principal Receivables. 
 SECTION 12. Ratification of Agreement. As supplemented by this Supplement, the Agreement is in
all respects ratified and confirmed and the Agreement as so supplemented by this Supplement shall be read, taken, and construed as one and the same instrument. 
 SECTION 13. Counterparts. This Supplement may be executed in any number of counterparts, each of which so executed shall be deemed to be an original, but all of such counterparts shall together
constitute but one and the same instrument. 
 SECTION 14. No Petition. Each of the Trustee, the Servicer and the Seller
(with respect to the Trust only), by entering into this Supplement and each Series 2007-1 Certificateholder, by accepting a Series 2007-1 Certificate, shall not, prior to the date which is one year and one day after the last day on which any
Investor Certificate shall have been outstanding, acquiesce, petition or otherwise invoke or cause the Trust or the Seller to invoke the

  

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process of any Governmental Authority for the purpose of commencing or sustaining a case against the Trust or the Seller under any Federal or state bankruptcy, insolvency or similar law or
appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Trust or the Seller or any substantial part of its property or ordering the winding up or liquidation of the affairs of the Trust or the
Seller. 
 SECTION 15. Forms of Series 2007-1 Certificates. 
 (a) Form of Certificates. The form of each of the Class A-1 Certificates, the Class A-2 Certificates, the Class M-1 Certificates,
the Class M-2 Certificates, the Class B-1 Certificates, the Class B-2 Certificates, the Class C Certificates, the Class D-1 Certificates and the Class D-2 Certificates, including the Certificate of Authentication, shall be substantially as set forth
respectively as Exhibits A-1, A-2, M-1, M-2, B-1, B-2, C, D-1 and D-2 hereto, respectively. 
 (b) Book-Entry
Certificates. 
 (i) The Class A Certificates, the Class M Certificates and the Class B
Certificates that are not sold in offshore transactions in reliance on Regulation S under the Securities Act shall be offered and sold in reliance on the exemption from registration under Rule 144A (except for any sale directly from the Trust) and
shall be issued initially in the form of one or more permanent global certificates in definitive, fully registered form without interest coupons with the applicable legends set forth in Exhibits A, M and B hereto, as applicable, added to the form of
such Certificates (each, a “Restricted Book-Entry Certificate”), which shall be registered in the name of the nominee of the Depository and deposited with the Trustee, as custodian for the Depository. The aggregate principal amount
of the Restricted Book-Entry Certificates may from time to time be increased or decreased by adjustments made on the records of the Trustee or the Depository or its nominee, as the case may be, as hereinafter provided. 
 (ii) The Class A Certificates, the Class M Certificates and the Class B Certificates offered and sold in offshore
transactions in reliance on Regulation S under the Securities Act shall be issued initially, and during the “40 day distribution compliance period” described below shall remain, in the form of temporary global certificates, without
interest coupons (the “Regulation S Temporary Book-Entry Certificates”), to be held by the Depository and registered in the name of a nominee of the Depository or its custodian for the respective accounts of Euroclear and
Clearstream duly executed by the Seller and authenticated by the Trustee as hereinafter provided. The “40 day distribution compliance period” shall be terminated upon the later of (i) the end of the distribution compliance period (as
defined in Rule 902 of the Securities Act) and (ii) receipt by the Trustee of a written certificate from the Depository, together with copies of certificates substantially in the form of Exhibit I from Euroclear or Clearstream, certifying that
the beneficial owner of such Regulation S Temporary Book-Entry Certificate is a non-U.S. person. Following the termination of the 40 day distribution compliance period, beneficial interests in the Regulation S Temporary Book-Entry Certificates may
be exchanged for beneficial interests in permanent Book-Entry Certificates (the “Regulation S Permanent Book-Entry Certificates”; and together with the Regulation S Temporary

  

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Book-Entry Certificate, the “Regulation S Book-Entry Certificates”), which will be duly executed by the Seller and authenticated by the Trustee as hereinafter provided and which
will be deposited with the Trustee, as custodian for the Depository, and registered in the name of the Depository or a nominee thereof. Upon any exchange of a portion of a Regulation S Temporary Book-Entry Certificate for a comparable portion of a
Regulation S Permanent Book-Entry Certificate, the Trustee shall endorse on the schedules affixed to each of such Regulation S Book-Entry Certificate (or on continuations of such schedules affixed to each of such Regulation S Book-Entry Certificate
and made parts thereof) appropriate notations evidencing the date of transfer and (x) with respect to the Regulation S Temporary Book-Entry Certificate, a decrease in the principal amount thereof equal to the amount covered by the applicable
certification and (y) with respect to the Regulation S Permanent Book-Entry Certificate, an increase in the principal amount thereof equal to the principal amount of the decrease in the Regulation S Temporary Book-Entry Certificate. 

(c) Definitive Series 2007-1 Certificates. (i) The Class C Certificates and the Class D Certificates shall be issued in the
form of Definitive Certificates with the applicable legends set forth in Exhibits C and D, hereto, which shall be registered in the name of the Holder or a nominee thereof, duly executed by the Trust and authenticated by the Trustee as hereinafter
provided. Except as provided in Section 6.12 of the Agreement, owners of beneficial interests in the Book-Entry Certificates shall not be entitled to receive Definitive Certificates. 
 SECTION 16. Transfer Restrictions. 
 (a) No Series 2007-1 Certificate 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 and is exempt from the registration requirements under applicable state securities laws. 
 No Class A
Certificate, Class M Certificate or Class B Certificate may be offered, sold or delivered within the United States or to, or for the benefit of, U.S. Persons as defined in Regulation S except to QIBs purchasing for their own account or for the
accounts of one or more QIBs, for which the purchaser is acting as fiduciary or agent in accordance with Rule 144A in reliance on the exemption from registration in Section 4(2) of the Securities Act. The Class A Certificates, the Class M
Certificates and the Class B Certificates may also be sold or resold, as the case may be, in offshore transactions to non-U.S. Persons in reliance on Regulation S under the Securities Act. 
 No Class C Certificate or Class D Certificate may be offered, sold or delivered to, or for the benefit of, any Person except U.S. Persons
(as defined in Section 7701(a)(30) of the Code) within the United States that are QIBs purchasing for their own account or for the accounts of one or more QIBs, for which the purchaser is acting as a fiduciary or agent in accordance with Rule
144A in reliance on the exemption for registration in Section 4(2) of the Securities Act. 
 None of the Trust, the
Trustee, the Seller, the Originator, the Servicer or any other Person may register the Series 2007-1 Certificates under the Securities Act or any applicable securities laws. 
  

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 (b) Notwithstanding any provision to the contrary herein, so long as a Book-Entry
Certificate remains outstanding and is held by or on behalf of the Depository, transfers of a Book-Entry Certificate, in whole or in part, shall only be made in accordance with this Section 16(b) and Section 6.10 of the Agreement.

 (i) Subject to clauses (ii) and (iii) of this Section 16(b), transfers of a Book-Entry
Certificate shall be limited to transfers of such Book-Entry Certificate in whole, but not in part, to a nominee of the Depository or to a successor of the Depository or such successor’s nominee. 
 (ii) Regulation S Book-Entry Certificate to Restricted Book-Entry Certificate. If a holder of a beneficial interest in
a Regulation S Book-Entry Certificate wishes to transfer all or a part of its interest in such Regulation S Book-Entry Certificate to a Person who wishes to take delivery thereof in the form of a Restricted Book-Entry Certificate, such holder may,
subject to the terms hereof and the rules and procedures of Euroclear or Clearstream, as the case may be, and the Depository exchange or cause the exchange of such interest for an equivalent beneficial interest in a Restricted Book-Entry Certificate
of the same Class. Upon receipt by the Transfer Agent and Registrar, of (A) instructions from Euroclear, Clearstream or the Depository, as the case may be, directing the Trustee, as Transfer Agent and Registrar, to cause such Restricted
Book-Entry Certificate to be increased by an amount equal to such beneficial interest in such Regulation S Book-Entry Certificate but not less than the minimum denomination applicable to the related Class of Series 2007-1 Certificates, and
(B) a certificate substantially in the form of Exhibit G-1 hereto given by the prospective transferee of such beneficial interest and stating, among other things, that such transferee acquiring such interest in a Restricted Book-Entry
Certificate is a QIB, is obtaining such beneficial interest in a transaction pursuant to Rule 144A and in accordance with any applicable securities laws of any state of the United States or any other applicable jurisdiction, then Euroclear,
Clearstream or the Trustee, as Transfer Agent and Registrar, as the case may be, will instruct the Depository to reduce such Regulation S Book-Entry Certificate by the aggregate principal amount of the interest in such Regulation S Book-Entry
Certificate to be transferred, increase the Restricted Book-Entry Certificate specified in such instructions by an amount equal to such reduction in such principal amount of the Regulation S Book-Entry Certificate and make the corresponding
adjustments to the applicable participants’ accounts. 
 (iii) Restricted Book-Entry Certificate to
Regulation S Book-Entry Certificate. If a holder of a beneficial interest in a Restricted Book-Entry Certificate wishes to transfer all or a part of its interest in such Restricted Book-Entry Certificate to a Person who wishes to take delivery
thereof in the form of a Regulation S Book-Entry Certificate, such holder may, subject to the terms hereof and the rules and procedures of Euroclear or Clearstream, as the case may be, and the Depository exchange or cause the exchange of such
interest for an equivalent beneficial interest in a Regulation S Book-Entry Certificate of the same Class. Upon receipt by the Trustee, as Transfer Agent and Registrar, of (A) instructions from Euroclear, Clearstream or the Depository, as
the case may be, directing the Trustee, as Transfer Agent and Registrar, to cause such Regulation S Book-Entry Certificate to be increased by an amount equal to the beneficial

  

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interest in such Restricted Book-Entry Certificate but not less than the minimum denomination applicable to the related Class of Series 2007-1 Certificates to be exchanged, and (B) a
certificate substantially in the form of Exhibit G-2 hereto given by the prospective transferee of such beneficial interest and stating, among other things, that such transferee acquiring such interest in a Regulation S Book-Entry Certificate
is a non-U.S. Person located outside the United States and such transfer is being made pursuant to Rule 903 or 904 under Regulation S of the Securities Act, then Euroclear, Clearstream or the Trustee, as Transfer Agent and Registrar, as the case may
be, will instruct the Depository to reduce such Restricted Book-Entry Certificate by the aggregate principal amount of the interest in such Restricted Book-Entry Certificate to be transferred, increase the Regulation S Book-Entry Certificate
specified in such instructions by an aggregate principal amount equal to such reduction in the principal amount of the Restricted Book-Entry Certificate and make the corresponding adjustments to the applicable participants’ accounts.

 (iv) Other Exchanges. In the event that a Class A Certificate, a Class M Certificate or a Class B
Certificate initially represented by a Book-Entry Certificate is exchanged for one or more Definitive Certificates pursuant to Section 6.12 of the Agreement, the related Class A Certificateholder, Class M Certificateholder or Class B
Certificateholder, as the case may be, shall be required to deliver a representation letter with respect to the matters described in subsections 16(c) and (d) of this Supplement. Such Definitive Certificates may be exchanged for one another
only upon delivery of a representation letter with respect to the matters described in subsections 16(c) and (d) of this Supplement and in accordance with such procedures as are substantially consistent with the provisions above (including
certification requirements intended to insure that such transfers comply with Rule 144A or are to non-U.S. Persons, or otherwise comply with Regulation S under the Securities Act, as the case may be) and as may be from time to time adopted by the
Trust and the Trustee. 
 (c) Each beneficial owner of Restricted Book-Entry Certificates or Regulation S Book-Entry
Certificates will be deemed to represent and agree as follows (terms used in this paragraph that are defined in Rule 144A or Regulation S under the Securities Act are used herein as defined therein): 
 (i) The owner either (A)(1) is a QIB, (2) is aware that the sale of the Class A Certificates, Class M
Certificates or Class B Certificates, as applicable, to it (other than the initial sale by the Trust) is being made in reliance on the exemption from registration provided by Rule 144A under the Securities Act and (3) is acquiring the
Class A Certificates, Class M Certificates or Class B Certificates, as applicable, for its own account or for one or more accounts, each of which is a QIB, and as to each of which the owner exercises sole investment discretion, and in a
principal amount of not less than $100,000 for the purchaser or for each such account, as the case may be, or (B) (1) is not a U.S. Person (as defined under Regulation S of the Securities Act) and (2) is purchasing the Class A
Certificates, Class M Certificates or Class B Certificates, as applicable, pursuant to Rule 903 or 904 of Regulation S of the Securities Act. The owner 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 Class A Certificates, Class M

  

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Certificates or Class B Certificates, as applicable, and the owner and any accounts for which it is acting are each able to bear the economic risk of the owner’s or its investment. The
owner understands that in the event that at any time the Trust or the Trustee determines that such purchaser was in breach, at the time given, of any of the representations or agreements set forth in this clause (i), upon direction from the Trust
the Trustee shall consider the acquisition of the related Class A Certificates, Class M Certificates or Class B Certificates, as applicable, void and require that the related Class A Certificates, Class M Certificates or Class B
Certificates, as applicable, be transferred to a Person designated by the Trust. 
 (ii) The owner understands
that the Class A Certificates, Class M Certificates or Class B Certificates, as applicable, are being offered only in a transaction not involving any public offering in the United States within the meaning of the Securities Act, the
Class A Certificates, Class M Certificates or Class B Certificates, as applicable, have not been and will not be registered under the Securities Act, and, if in the future the owner decides to offer, resell, pledge or otherwise transfer
the Class A Certificates, Class M Certificates or Class B Certificates, as applicable, such Class A Certificates, Class M Certificates or Class B Certificates, as applicable, may be offered, resold, pledged or otherwise
transferred in accordance with the Agreement and this Supplement and the applicable legend on such Series 2007-1 Certificates set forth in Exhibit A, M or B hereto, as applicable. The owner acknowledges that no representation is made by the Trust,
the Trustee, the Seller or the Initial Purchaser, as the case may be, as to the availability of any exemption under the Securities Act or any State securities laws for resale of the Series 2007-1 Certificates. 
 (iii) The owner is not purchasing the Class A Certificates, Class M Certificates or Class B Certificates, as
applicable, with a view to the resale, distribution or other disposition thereof in violation of the Securities Act. The owner understands that an investment in the Series 2007-1 Certificates involves certain risks, including the risk of loss of all
or a substantial part of its investment under certain circumstances. The owner has had access to such financial and other information concerning the Originator, the Seller, the Servicer, the Trust and the Series 2007-1 Certificates as it deemed
necessary or appropriate in order to make an informed investment decision with respect to its purchase of the Class A Certificates, Class M Certificates or Class B Certificates, as applicable, including an opportunity to ask questions of
and request information from the Originator, the Seller and the Servicer. 
 (iv) In connection with the purchase
of the Series 2007-1 Certificates: (A) none of the Trust, the Initial Purchaser or the Trustee is acting as a fiduciary or financial or investment adviser for the owner; (B) the owner is not relying (for purposes of making any investment
decision or otherwise) upon any advice, counsel or representations (whether written or oral) of the Originator, the Seller, the Servicer, the Trust, the Initial Purchaser or the Trustee or any of their Affiliates other than, in the case of the
Trust, in a current offering memorandum for such Series 2007-1 Certificates and any representations expressly set forth in a written agreement with such party; (C) none of the Originator, the Seller, the Trust, the Initial Purchaser or the
Trustee or any of their Affiliates has given to the owner (directly or indirectly through any other Person) any

  

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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 its purchase, (D) the owner has consulted with its own legal, regulatory, tax, business, investment, financial, and accounting advisers to the extent it has deemed necessary, and it has
made its own investment decisions (including decisions regarding the suitability of any transaction pursuant to the Agreement or this Supplement) based upon its own judgment and upon any advice from such advisers as it has deemed necessary and not
upon any view expressed by the Originator, the Seller, the Trust, the Initial Purchaser or the Trustee or any of their Affiliates; and (E) the owner is purchasing the Class A Certificates, Class M Certificates or Class B Certificates,
as applicable, with a full understanding of all of the terms, conditions and risks thereof (economic and otherwise), and is capable of assuming and willing to assume (financially and otherwise) these risks. 
 (v) Neither the owner nor such account was formed for the purpose of acquiring any Series 2007-1 Certificates (unless
the Trust, in its sole discretion and with the advice of counsel in respect of U.S. securities laws, expressly otherwise permits). The owner and each such account agrees that it shall not hold such Series 2007-1 Certificates 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 Series 2007-1 Certificates or enter into any other arrangement pursuant to which any other
Person shall be entitled to a beneficial interest in the distributions on the Series 2007-1 Certificates. The owner understands and agrees that any purported transfer of the Series 2007-1 Certificates to an owner that does not comply with the
requirements of this clause (v) shall be null and void ab initio. The owner understands that in the event that at any time the Trustee has determined, or the Trust notifies the Trustee that the Trust has determined, that such purchaser
was in breach, at the time given, of any of the representations or agreements set forth in clause (i) above, then the Trustee shall consider the acquisition of the related Series 2007-1 Certificates void and require that the related Series
2007-1 Certificates be transferred to a Person designated by the Trust. 
 (vi) The owner understands that the
Class A Certificates, Class M Certificates and Class B Certificates will bear the applicable legend set forth in Exhibit A, M or B hereto. 
 (vii) Either (A) the owner is not acquiring such Series 2007-1 Certificate (or any interest therein) with the assets of an “employee benefit plan” as defined in Section 3(3) of ERISA
that is subject to Title I of ERISA, a “plan” as defined in and subject to Section 4975 of the Code, or an entity deemed to hold plan assets of any of the foregoing (each, a “Benefit Plan Investor”) or (B) it is
an insurance company purchasing such Series 2007-1 Certificate (or interest therein) with the assets of its general account and, at the time of acquisition and throughout the period of holding, (x) it satisfies all of the conditions of
Prohibited Transaction Class Exemption 95-60; (y) less than 25% of the assets of the general account are or represent assets of Benefit Plan Investors; and (z) it is not (1) the issuer, (2) a person who has discretionary
authority or control with respect to the assets of the trust or provides investment advice for a fee (direct or indirect) with respect to such assets, or (3) any affiliate of such a person, and would not otherwise be disregarded under 29 C.F.R.
Section 2510.3-101(f)(1). 
  

 72 

 If the owner is a non-U.S. or governmental plan, its acquisition, holding
and disposition of such Series 2007-1 Certificate (or interest therein) will not result in a non-exempt prohibited transaction under, or a violation of, any applicable law that is substantially similar to the fiduciary responsibility or prohibited
transaction provisions of ERISA or Section 4975 of the Code. 
 (viii) If such owner is acquiring the
Class A Certificates, the Class M Certificates or the Class B Certificates in an “offshore transaction” (as defined in Regulation S), it acknowledges that such Series 2007-1 Certificates will initially be represented by the Regulation
S Temporary Book-Entry Certificates and that transfers thereof or any interest or participation therein are restricted as described herein. It understands that the Temporary Regulation S Book-Entry Certificate will bear a legend to the following
effect unless the Seller determines otherwise, consistent with applicable law: 
 “THIS GLOBAL CERTIFICATE IS A TEMPORARY
GLOBAL CERTIFICATE FOR PURPOSES OF REGULATION S UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”). NEITHER THIS TEMPORARY GLOBAL CERTIFICATE NOR ANY INTEREST HEREIN MAY BE OFFERED, SOLD OR
DELIVERED, EXCEPT AS PERMITTED UNDER THE SERIES 2007-1 SUPPLEMENT. NO BENEFICIAL OWNERS OF THIS TEMPORARY GLOBAL CERTIFICATE SHALL BE ENTITLED TO RECEIVE PAYMENT OF PRINCIPAL OR INTEREST HEREON UNLESS THE REQUIRED CERTIFICATIONS HAVE BEEN DELIVERED
PURSUANT TO THE TERMS OF THE SERIES 2007-1 SUPPLEMENT.” 
 (ix) If such owner is acquiring the
Class A Certificates, the Class M Certificates or the Class B Certificates in an “offshore transaction” (as defined in Regulation S), the owner is aware that the sale of such Series 2007-1 Certificates to it is being made in reliance
on the exemption from registration provided by Regulation S and understands that the Series 2007-1 Certificates offered in reliance on Regulation S under the Securities Act will be represented by one or more Regulation S Book-Entry Certificates and
will bear the appropriate legends set forth in Exhibits A, B and C as applicable. The Series 2007-1 Certificates so represented may not at any time be held by or on behalf of U.S. Persons as defined in Regulation S. Each of the owner and the related
Holder is not, and will not be, a U.S. Person as defined in Regulation S. Before any interest in a Regulation S Book-Entry Certificate may be offered, resold, pledged or otherwise transferred to a Person who takes delivery in the form of a
Restricted Book-Entry Certificate, the transferor and the prospective transferee will be required to provide the Trustee with a written certification substantially in the form of Exhibit G-1 hereto as to compliance with the transfer restrictions.

  

 73 

 (d) The transfers of the Class C Certificates and the Class D Certificates are subject to
additional restrictions set forth in the Class C Purchase Agreement and the applicable Class D Purchase Agreement, respectively. Each of the Class C Certificates and the Class D Certificates are Subject Instruments subject to the transfer
restrictions set forth in Section 6.3(e) of the Agreement. Notwithstanding Section 6.3 of the Agreement, Seller shall not execute, and the Transfer Agent and Registrar shall not register the transfer of, (i) any Class C Certificate,
if after giving effect to the execution or transfer of such Class C Certificate, there would be more than 10 Private Holders of Class C Certificates or (ii) any Class D Certificate, if after giving effect to the execution or transfer of such
Class D Certificate, there would be more than 5 Private Holders of Class D Certificates. For purposes of this Supplement and the Agreement, each Holder of a Class C Certificate or a Class D Certificate shall be a “Private Holder.”

 (e) If any Person owns either the Class D-1 Certificates or the Class D-2 Certificates, such Person may, upon written request
to the Trustee and Transfer Agent and Registrar, exchange all or any portion of the Class D Certificates in one subclass owned by it for a principal amount of Class D Certificates in the other subclass equal to the principal amount of Class D
Certificates surrendered to the Transfer Agent and Registrar for exchange. Upon any such exchange, the portion of the Class D Investor Interest attributable to one subclass shall be proportionately reduced based on the proportion that the
outstanding principal amount of the Class D Certificates so exchanged bears to the outstanding principal amount of the Class D Certificates of such subclass before giving effect to the exchange, and the portion of the Class D Investor Interest
attributable to the other subclass shall be increased by a corresponding amount. 
 The Trustee shall authenticate and deliver
to each Person requesting such an exchange such new Class D-1 Certificates and Class D-2 Certificates as such Person shall be entitled to receive pursuant to this Section 16(e). 
 (f) Any purported transfer of a Series 2007-1 Certificate of the Trust not in accordance with the Agreement and Section 16 of this
Supplement and, in the case of the Class C Certificates and Class D Certificates, in accordance with the Class C Purchase Agreement and the applicable Class D Purchase Agreement, respectively shall be null and void and shall not be given effect for
any purpose hereunder. 
 (g) Notwithstanding anything contained in this Supplement to the contrary, neither the Trustee nor the
Transfer Agent and Registrar 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 promulgated thereunder), 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 the Agreement and Section 16 of this Supplement or, in the case of the Class C Certificates
and Class D Certificates, the terms of the Class C Purchase Agreement and applicable Class D Purchase Agreement, respectively, to be delivered to the Trustee or Transfer Agent and Registrar prior to registration of transfer of a Series 2007-1
Certificate, the Trustee and/or Transfer Agent and 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,
in the case of the Class C Certificates and Class D Certificates, the requirements of the Class C Purchase Agreement and Class D Purchase Agreements, respectively, and the Trustee or Transfer Agent and Registrar, as the case may be, shall promptly
notify the party delivering the same if it determines that such certificate or opinion does not so conform. 
  

 74 

 (h) If the Trustee determines or is notified by the Trust, the Seller or the Servicer that
(i) a transfer or attempted or purported transfer of any interest in any Series 2007-1 Certificate was not consummated in compliance with the provisions of Section 16 of this Supplement on the basis of an incorrect form or certification
from the transferee or purported transferee, (ii) a transferee failed to deliver to the Trustee any form or certificate required to be delivered hereunder, (iii) the holder of any interest in a Series 2007-1 Certificate is in breach of any
representation or agreement set forth in any certificate or any deemed representation or agreement of such holder or (iv) such transfer would have the effect of causing the assets of the Trust to be deemed to be “plan assets” for
purposes of ERISA, the Trustee will 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 Series 2007-1 Certificate that was not a Disqualified Transferee shall be restored to all rights as a holder thereof
retroactively to the date of transfer of such Series 2007-1 Certificate by such holder. The purported transferor of such Series 2007-1 Certificates or beneficial interest therein shall be required to cause the purported transferee to surrender the
Series 2007-1 Certificates or any beneficial interest therein in return for a refund of the consideration paid therefor by such transferee (together with interest thereon) or to cause the purported transferee to dispose of such Series 2007-1
Certificates or beneficial interest promptly in one or more open market sales to one or more Persons each of whom satisfies the requirements of the Agreement and this Supplement and the legends on the Series 2007-1 Certificates, and such purported
transferor shall take, and shall cause such transferee to take, all further action necessary or desirable, in the judgment of the Trustee, to ensure that such Series 2007-1 Certificates or any beneficial interest therein are held by Persons in
compliance therewith. 
 In addition, the Trust may require that the interest in the Series 2007-1 Certificate referred
to in (i), (ii) or (iii) in the preceding paragraph be transferred to any Person designated by the Trust at a price determined by the Trust, based upon its estimation of the prevailing price of such interest and each Holder, by acceptance
of an interest in a Series 2007-1 Certificate, authorizes the Trust to take such action. In any case, neither the Trust nor the Trustee will be held responsible, other than the Trustee, to the extent of its obligations under Section 16(g) (but
subject to Article XI), for any losses that may be incurred as a result of any required transfer under this Section 16(h). 
 (i) To the extent applicable to the Trust, the Trust shall comply with the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, Pub.
L. No. 107-56 (2001) (the “Patriot Act”). To the extent applicable to the Trust, the Trust shall impose additional transfer restrictions to comply with the Patriot Act and each Holder agrees to comply with such transfer
restrictions. The Trust shall notify the Trustee and the Transfer Agent and Registrar of the imposition of any such transfer restrictions, and the Trustee shall give notice to all Holders of such transfer restrictions. In order to comply with U.S.
laws and regulations, including the Patriot Act, the Trust may request from an owner or a prospective owner such information as it reasonably believes is necessary to verify the identity of such owner or prospective owner, and to determine whether
such owner or

  

 75 

 
prospective owner is permitted to be an owner of the Series 2007-1 Certificates pursuant to such laws and regulations. In the event of the delay or failure by any owner or prospective owner of
the Series 2007-1 Certificates to deliver to the Trust any such requested information, the Trust (or the Initial Purchaser, the Servicer or the Trustee on its behalf) may (i) require such owner to immediately transfer any Series 2007-1
Certificate, or beneficial interest therein, held by such owner to an owner meeting the requirements of this Supplement and the Agreement, (ii) refuse to accept the subscription of a prospective owner, or (iii) take any other action
required to comply with such laws and regulations. In addition, following the delivery of any such information, the Trust (or the Initial Purchaser, the Servicer or the Trustee on its behalf) may take any of the actions identified in clauses
(i)-(iii) above. In certain circumstances, the Trust, the Trustee, the Servicer or the Initial Purchaser may be required to provide information about owners to regulatory authorities and to take any further action as may be required by law.
None of the Trust, the Trustee, the Servicer or the Initial Purchaser will be liable for any loss or injury to an owner or prospective owner that may occur as a result of disclosing such information, refusing to accept the subscription of any
potential owner, redeeming any investment in a certificate or taking any other action required by law. 
 SECTION 17. Certain
Amendments. In addition to any other provisions relating to amendments in either the Agreement or this Supplement: 
 (i) This Supplement may be amended by written agreement of the Seller, subject to satisfaction of the Rating Agency Condition but without the consent of the Servicer, Trustee or any Series 2007-1 Certificateholder, if such amendment is to
the Series 2007-1 Supplement and is made to conform the terms of this Supplement to the terms described in any offering memorandum relating to the initial offer and sale of the Class A Certificates, Class M Certificates and Class B
Certificates; provided, however, that no such amendment shall be deemed effective without the Trustee’s consent, if the Trustee’s rights, duties and obligations hereunder are thereby modified; and 
 (ii) None of Sections 4.9(a), 4.9(b), 4.9(c) and 4.11(t) of this Supplement may be amended in a manner that adversely affects
the payment priority of the Hedge Counterparty, relative to the payment priority of the Certificateholders described in such Section, without the prior written consent of the Hedge Counterparty. 
 The Servicer shall provide notice to the Rating Agencies of the waiver of any Early Amortization Event with respect to Series 2007-1. 
 SECTION 18. Commercial Law Representations and Warranties of the Seller. The Seller hereby makes the following representations and
warranties. Such representations and warranties shall survive until the termination of the Series 2007-1 Supplement. Such representations and warranties speak as of the date that the Collateral (as defined below) is transferred to the Trustee but
shall not be waived by any of the parties to this Supplement unless each Rating Agency shall have notified the Seller, the Servicer and the Trustee in writing that such waiver will not result in a reduction or withdrawal of the rating of any
outstanding Series or Class to which it is a Rating Agency. 
  

 76 

 (a) The Agreement creates a valid and continuing security interest (as defined in the
applicable UCC) in favor of the Trustee in the Receivables described in Section 2.1 of the Agreement (the “Collateral”), which security interest is prior to all other liens, and is enforceable as such against creditors of and
purchasers from the Seller. 
 (b) The Collateral constitutes an “account” or a “general intangible” within
the meaning of the applicable UCC. 
 (c) At the time of its transfer of the Collateral pursuant to the Agreement, the Seller
owned and had good and marketable title to the Collateral free and clear of any lien, claim or encumbrance of any Person. 
 (d)
The Seller has caused or will have caused, within ten (10) days of the initial execution of this Supplement, the filing of 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 granted to the Trustee pursuant to the Agreement. 
 (e) Other than the
security interest granted to the Trustee pursuant to the Agreement, the Seller has not pledged, assigned, sold, granted a security interest in, or otherwise conveyed the Collateral. The Seller has not authorized the filing of and is not aware of any
financing statements against the Seller that include a description of the Collateral other than any financing statement relating to the security interest granted to the Trustee pursuant to the Agreement or that has been terminated. The Seller is not
aware of any judgment or tax lien filings against the Seller. 
 SECTION 19. Governing Law. THIS SUPPLEMENT SHALL BE
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
 SECTION 20. Third Party Beneficiary. The Hedge Counterparty is an intended beneficiary of this Supplement; provided that any
action to be taken to enforce the terms of Supplement against the Seller or the Servicer shall be taken by the Trustee for the benefit of the holders of the Series 2007-1 Certificates and the Hedge Counterparty as their interests appear. 

 

 77 

 IN WITNESS WHEREOF, the Seller, the Servicer and the Trustee have caused this Series 2007-1
Supplement to be duly executed by their respective officers as of the day and year first above written. 
  

			
	CHARMING SHOPPES RECEIVABLES CORP.,
	    Seller
		
	By:	 	 /s/ Kirk R. Simme

	Name:	 	Kirk R. Simme
	Title:	 	Vice President
	
	 SPIRIT OF AMERICA, INC.
     Servicer

		
	By:	 	 /s/ Kirk R. Simme

	Name:	 	Kirk R. Simme
	Title:	 	Vice President
	
	 U.S. BANK NATIONAL ASSOCIATION,
     Trustee

		
	By:	 	 /s/ Tamara Schultz-Fugh

	Name:	 	Tamara Schultz-Fugh
	Title:	 	Vice President

  

 S-1 

  

 J-1Series 2009-VFC1 Indenture Supplement

 Exhibit 10.124 
 EXECUTION COPY 
 WFN CREDIT COMPANY, LLC 
 Transferor 
 WORLD
FINANCIAL NETWORK NATIONAL BANK 
 Servicer 
 and 
 UNION BANK, N.A. 
 Trustee 
 on behalf of the Series 2009-VFC1 Holders

 SERIES 2009-VFC1 SUPPLEMENT 
 Dated as of March 31, 2009 
 to 
 AMENDED AND RESTATED 
 POOLING AND SERVICING AGREEMENT 
 Dated as of January 30, 1998 
 (as amended and restated September 28, 2001 and 
 further
amended as of April 7, 2004, March 23, 2005 and October 26, 2007, and, as modified by 
 a Trust Combination
Agreement dated as of April 26, 2005) 
 WORLD FINANCIAL NETWORK CREDIT CARD MASTER TRUST III 
 Class A Asset-Backed Certificates, Series 2009-VFC1 
 Class M Asset-Backed Certificates, Series 2009-VFC1 
 Class B Asset-Backed
Certificates, Series 2009-VFC1 

 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page
	SECTION 1.	  	 Designation; Ownership Interests
	  	1
	SECTION 2.	  	 Definitions
	  	1
	SECTION 3.	  	 Servicing Fee
	  	18
	SECTION 4.	  	 Variable Funding Mechanics
	  	18
	SECTION 5.	  	 Optional Repurchase; Reassignment and Termination Provisions
	  	20
	SECTION 6.	  	 Maximum Funded Amounts
	  	21
	SECTION 7.	  	 Delivery of the Investor Certificates
	  	22
	SECTION 8.	  	 Article IV of the Agreement
	  	22
	SECTION 9.	  	 Article V of the Agreement
	  	39
	SECTION 10.	  	 Early Amortization Events
	  	40
	SECTION 11.	  	 Series 2009-VFC1 Termination
	  	41
	SECTION 12.	  	 Periodic Finance Charges and Other Fees
	  	41
	SECTION 13.	  	 Limitations on Addition of Approved Portfolios
	  	42
	SECTION 14.	  	 Counterparts
	  	42
	SECTION 15.	  	 Governing Law
	  	42
	SECTION 16.	  	 Additional Reports and Notices
	  	42
	SECTION 17.	  	 Additional Provisions
	  	42
	SECTION 18.	  	 Amendments to the Agreement
	  	43
	SECTION 19.	  	 No Petition
	  	43
	SECTION 20.	  	 GAAP Sale
	  	44

 EXHIBITS 

					
	EXHIBIT A-1	  	Form of Class A Certificate	  	
	EXHIBIT A-2	  	Form of Class M Certificate	  	
	EXHIBIT A-3	  	Form of Class B Certificate	  	
	EXHIBIT B	  	Form of Monthly Payment Instructions and Notification to Trustee	  	
	EXHIBIT C	  	Form of Monthly Investor Holder’s Statement	  	

  

 i 

 This SERIES 2009-VFC1 SUPPLEMENT, dated as of March 31, 2009 (this “Series
Supplement”), by and among WFN CREDIT COMPANY, LLC, a Delaware limited liability company, as Transferor (“Transferor”), WORLD FINANCIAL NETWORK NATIONAL BANK, a national banking association (“WFN”), as
Servicer (in such capacity, “Servicer”), and UNION BANK, N.A. (formerly known as Union Bank of California, N.A., as successor to JPMorgan Chase Bank, N.A. (formerly known as The Chase Manhattan Bank)), as Trustee
(“Trustee”) under the Amended and Restated Pooling and Servicing Agreement, dated as of January 30, 1998, as amended and restated as of September 28, 2001, as further amended as of April 7, 2004, March 23,
2005, and October 26, 2007 and as modified by a Trust Combination Agreement dated as of April 26, 2005, and as the same may be further amended from time to time (the “Agreement”), by and among Transferor, Servicer and
Trustee. 
 Section 6.3 provides, among other things, that Transferor and Trustee may at any time and from time to
time enter into a supplement to the Agreement for the purpose of authorizing the delivery by Trustee to Transferor for the execution and redelivery to Trustee for authentication of one or more Series of Certificates. 
 Pursuant to this Series Supplement, the Transferor, the Servicer and the Trustee shall specify the Principal Terms of a new Series of
Investor Certificates. The Transferor, the Servicer and the Trustee intend that the execution of this Series Supplement and each of the other Transaction Documents be effective contemporaneously with the delivery of the Certificates to the
Transferor. 
 SECTION 1. Designation; Ownership Interests. (a) There is hereby created a Series of Investor
Certificates to be issued pursuant to the Agreement and this Series Supplement and to be known as the “Series 2009-VFC1 Certificates.” The Series 2009-VFC1 Certificates shall be composed of the Class A Certificates, the Class M
Certificates and the Class B Certificates. Each of the Class A Certificates, the Class M Certificates and the Class B Certificates shall be a Variable Interest. The Class A Certificates shall be substantially in the form of
Exhibit A-1, the Class M Certificates shall be substantially in the form of Exhibit A-2 and the Class B Certificates shall be substantially in the form of Exhibit A-3. The Class M Certificates and the Class B Certificates shall be Subject
Certificates. 
 (b) Series 2009-VFC1 shall be included in Group One (as defined below). Series 2009-VFC1 shall not be
subordinated to any other Series. 
 (c) The Class A Certificates may from time to time be divided into separate ownership
interests (each, a “Class A Ownership Interest”) which shall be identical in all respects, except for their respective Class A Maximum Funded Amounts, Class A Funded Amounts and certain matters relating to the rate and
payment of interest. The initial allocation of Class A Certificates among Class A Ownership Interests shall be made, and reallocations among such Class A Ownership Interests or new Class A Ownership Interests may be made, as
provided in Section 4 of this Series Supplement and the Class A Certificate Purchase Agreement. 
 SECTION 2.
Definitions. If any term or provision contained herein shall conflict with or be inconsistent with any provision contained in the Agreement, the terms and provisions of this Series Supplement shall govern. References to any Article or Section
are references to

 
Articles or Sections of the Agreement, except as otherwise expressly provided. Unless otherwise specified herein, all capitalized terms not otherwise defined herein are defined in the Agreement
or the Class A Certificate Purchase Agreement, as the context may require, and the interpretive provisions set out in Section 1.2 apply to this Series Supplement. Each capitalized term defined herein relates only to the Investor
Certificates and no other Series of Certificates issued by the Trust. 
 “Additional Minimum Transferor Amount”
means (a) as of any date of determination falling in November, December and January of each calendar year, the product of (i) [            ] and (ii) the aggregate
Principal Receivables and (b) as of any date of determination falling in any other month, zero; provided that the amount specified in clause (a) shall be without duplication with the amount specified as the “Additional
Minimum Transferor Amount” in any future Supplement that specifies such an amount and indicates that such amount is without duplication of the amount specified in clause (a)). The Additional Minimum Transferor Amount is specified pursuant
to Section 17(h) of this Series Supplement as an amount to be considered part of the Minimum Transferor Amount. 
 “Aggregate Investor Default Amount” means, as to any Monthly Period, the sum of the Investor Default Amounts in respect of such Monthly Period. 
 “Aggregate Optional Amortization Amount” means, as to any date of determination in any Monthly Period, the sum of any Optional Amortization Amount(s) scheduled to be distributed to one or
more Investor Holders on or prior to the related Distribution Date (and which have not already been so distributed prior to that date of determination). 
 “Applicable Percentage” means, with respect to any Determination Date, if the Excess Spread Percentage averaged for the three Monthly Periods preceding such Determination Date is greater
than the percentage (if any) set forth in the middle column below and less than or equal to the percentage (if any) set forth in the left column below, an amount equal to the percentage set forth opposite such percentage in the right-hand column
below: 
 “Available Cash Collateral Amount” means, with respect to any Transfer Date, the lesser of
(a) the amount on deposit in the Cash Collateral Account on such date (such amount calculated before giving effect to any deposit to, or withdrawal from the Cash Collateral Account to be made with respect to such date) and (b) the Required
Cash Collateral Amount as of such Transfer Date. 
 “Available Funds” means, as to any Monthly Period, an
amount equal to the sum of (a) Collections of Finance Charge Receivables allocated to the Investor Certificates and deposited into the Finance Charge Account for such Monthly Period (or to be deposited in the Finance Charge Account on the
related Transfer Date with respect to the preceding Monthly Period pursuant to Section 4.3(a)), including, without duplication the Investor Interchange Amount for such Monthly Period, (b) the interest and earnings in the Cash
Collateral Account to be treated as Collections of Finance Charge Receivables pursuant to Section 4.17 on the related Transfer Date and (c) the Excess Finance Charge Collections, if any, allocated to the Investor Certificates
pursuant to Section 4.5 on the Distribution Date related to such Transfer Date. 
  

 2 

 “Available Investor Principal Collections” means, as to any Monthly Period,
an amount equal to (a) the Investor Principal Collections for such Monthly Period, minus (b) the amount of Reallocated Principal Collections with respect to such Monthly Period which, pursuant to Section 4.14, are
required to fund the Class A Required Amount and the Class M Required Amount, plus (c) the amount of Shared Principal Collections with respect to Group One that are allocated to Series 2009-VFC1 in accordance with
Section 4.15(b); minus (d) any portion of the above applied to an Optional Amortization Amount pursuant to Section 4(b) of this Series Supplement for such Monthly Period. 
 “Available Shared Principal Collections” means Shared Principal Collections held in the Collection Account that are
available to be applied to cover any Optional Amortization Amount in accordance with Section 4.4. 
 “Base
Rate” means, as to any Monthly Period, the annualized percentage (based on actual days during the related Monthly Period, and a 360-day year) equivalent of a fraction, the numerator of which is equal to the sum of the Class A Monthly
Interest, the Class M Monthly Interest, the Class B Monthly Interest, the Class A Non-Use Fee and any Class A Senior Additional Amounts, each for the related Distribution Period, and the Investor Servicing Fee with respect to such Monthly
Period and the denominator of which is the Weighted Average Invested Amount during such Monthly Period. 
 “Breakage
Payment” is defined in Section 4.8(d). 
 “Business Day” means any “Business
Day” (as defined in the Agreement) other than a day on which dealings in U.S. Dollar deposits are not carried out on the London InterBank Market. 
 “Cash Collateral Account” is defined in Section 4.17(a). 
 “Cash Collateral Account Property” is defined in Section 4.17(a). 
 “Certificate
Purchase Agreement” means, as the context requires, (i) the Class A Certificate Purchase Agreement, the Class B Certificate Purchase Agreement and the Class M Certificate Purchase Agreement or (ii) any of the foregoing.

 “Change in Control” means the failure of Holding to own, directly or indirectly, 100% of the outstanding
shares of common stock (excluding directors’ qualifying shares) of WFN. 
 “Class A Additional Amounts” is
defined in Section 4.8(b). 
 “Class A Certificate” means a certificate substantially in the form
of Exhibit A-1 executed by the Transferor and authenticated by the Trustee to be a Class A Asset-Backed Certificate, Series 2009-VFC1. 
 “Class A Certificate Purchase Agreement” means the Class A Certificate Purchase Agreement dated as of the Closing Date among Transferor, Servicer and each of the Class A
Holders, as supplemented by the Class A Fee Letter, as referred to (and defined) therein, and as the same may be amended or otherwise modified from time to time. The Class A Certificate Purchase Agreement is hereby designated a
“Transaction Document” for all purposes of the Agreement and this Series Supplement. 
  

 3 

 “Class A Controlled Amortization Amount” means for any Transfer Date with
respect to the Controlled Amortization Period, the Class A Invested Amount as of the close of business on the last day of the Revolving Period divided by twelve. 
 “Class A Controlled Amortization Shortfall” means, with respect to any Transfer Date during the Class A Controlled
Amortization Period, the excess, if any, of the Class A Controlled Payment Amount for such Transfer Date over the amounts distributed pursuant to Section 4.11(c)(i) with respect to the Class A Holders for such Transfer Date.

 “Class A Controlled Payment Amount” means, with respect to any Transfer Date during the Controlled
Amortization Period, the sum of (a) the Class A Controlled Amortization Amount for such Transfer Date and (b) any Class A Controlled Amortization Shortfall from the immediately preceding Transfer Date, provided that
(a) Transferor may designate any amount greater than the foregoing as the Class A Controlled Payment Amount upon five Business Days’ notice to the Investor Holders prior to the related Transfer Date and (b) in no event will the
Class A Controlled Payment Amount exceed the Class A Invested Amount. 
 “Class A Fixed Allocation
Percentage” means, for any Monthly Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, (a) the numerator of which is the Class A Invested Amount as of the close of business on the last day
of the Revolving Period and (b) the denominator of which is equal to the Invested Amount as of the close of business on the last day of the Revolving Period. 
 “Class A Floating Allocation Percentage” means, for any Monthly Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction: 
 (a) the numerator of which is the Class A Invested Amount as of the close of business on the last day of the preceding
Monthly Period; and 
 (b) the denominator of which is equal to the Invested Amount as of the close of business
on the last day of the preceding Monthly Period; 
 provided that with respect to any Monthly Period in which a Reset Date occurs:

 (x) if such Reset Date is the result of an Incremental Funding or the issuance of a new Series, the numerator
determined pursuant to clause (a) shall be (1) the Class A Invested Amount as of the close of business on the later of the last day of the prior Monthly Period or the preceding Reset Date, for the period from and including the
first day of the current Monthly Period or the preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the Class A Invested Amount as of the close of business on such Reset Date, for the period from and including such
Reset Date to the earlier of the last day of such Monthly Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall not include such succeeding Reset Date); and 
  

 4 

 (y) if such Reset Date is the result of an Incremental Funding or the
issuance of a new Series, the denominator determined pursuant to clause (b) shall be (1) the Invested Amount as of the close of business on the later of the last day of the prior Monthly Period or the preceding Reset Date, for the
period from and including the first day of the current Monthly Period or preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the Invested Amount as of the close of business on such Reset Date, for the period from and
including such Reset Date to the earlier of the last day of such Monthly Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall not include such succeeding Reset Date);

 provided further that, for purposes of this definition, with respect to the first Monthly Period, the Closing Date
shall be treated as the last day of the preceding Monthly Period. 
 “Class A Funded Amount” means, on any
Business Day, an amount equal to the result of (a) $243,100,000, plus (b) the aggregate amount of all Class A Incremental Funded Amounts for all Class A Incremental Fundings occurring on or prior to that Business Day,
minus (c) the aggregate amount of principal payments made to Class A Holders prior to such date. As applied to any particular Class A Certificate, the “Class A Funded Amount” means the portion of the overall
Class A Funded Amount represented by that Class A Certificate. The Class A Funded Amount shall be allocated among the Class A Ownership Interests as provided in the Class A Certificate Purchase Agreement. 
 “Class A Funding Agent” is defined in the Class A Certificate Purchase Agreement. 
 “Class A Funding Tranche” is defined in Section 4.8(a). 
 “Class A Holder” means a Person in whose name a Class A Certificate is registered in the Certificate Register.

 “Class A Incremental Funded Amount” means the amount of the increase in the Class A Funded Amount
occurring as a result of any Class A Incremental Funding, which amount shall equal the aggregate amount of the purchase price paid by the Class A Holders with respect to that Class A Incremental Funding pursuant to the Class A
Certificate Purchase Agreement. 
 “Class A Incremental Funding” means any increase in the Class A Funded
Amount during the Revolving Period made pursuant to the Class A Certificate Purchase Agreement. 
 “Class A
Invested Amount” means, on any date of determination, an amount equal to (a) the Class A Funded Amount on that date, minus (b) the excess, if any, of the aggregate amount of Class A Investor Charge-Offs pursuant
to Section 4.12(a) over Class A Investor Charge-Offs reimbursed pursuant to Section 4.11(a)(viii) prior to such date of determination; provided that the Class A Invested Amount may not be reduced below zero.

 “Class A Investor Allocation Percentage” means, for any Monthly Period, (a) with respect to Default
Amounts and Finance Charge Receivables at any time and Principal Receivables during the Revolving Period, the Class A Floating Allocation Percentage and (b) with respect to Principal Receivables during a Fixed Allocation Period, the
Class A Fixed Allocation Percentage. 
  

 5 

 “Class A Investor Charge-Off” is defined in
Section 4.12(a). 
 “Class A Investor Default Amount” means, as to each Transfer Date, an
amount equal to the sum for all days during the related Monthly Period of the product of (a) the Investor Default Amount for such day and (b) the Class A Floating Allocation Percentage applicable on such day. 
 “Class A Maximum Funded Amount” means $550,000,000, as such amount may be increased or decreased from time to time pursuant
to Section 6 of this Series Supplement. As applied to any particular Class A Certificate, the “Class A Maximum Funded Amount” means the portion of the overall Class A Maximum Funded Amount represented by that
Class A Certificate. 
 “Class A Monthly Interest” is defined in Section 4.10(a).

 “Class A Monthly Principal” is defined in Section 4.9(a). 
 “Class A Non-Use Fee” is defined in Section 4.8(b). 
 “Class A Ownership Interest” is defined in Section 1(c) of this Series Supplement. 
 “Class A Required Amount” is defined in Section 4.10(a). 
 “Class A Senior Additional Amounts” is defined in Section 4.8(b). 
 “Class A Subordinate Additional Amounts” is defined in Section 4.8(b). 
 “Class B Certificate” means a certificate substantially in the form of Exhibit A-3 executed by the Transferor and
authenticated by the Trustee to be a Class B Asset-Backed Certificate, Series 2009-VFC1. 
 “Class B Certificate
Purchase Agreement” means the Class B Certificate Purchase Agreement dated as of the Closing Date among Transferor, Servicer and the Class B Holders, and as the same may be amended or otherwise modified from time to time. The Class B
Certificate Purchase Agreement is hereby designated a “Transaction Document” for all purposes of the Agreement and this Series Supplement. 
 “Class B Fixed Allocation Percentage” means, for any Monthly Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, (a) the numerator of which is
the Class B Invested Amount as of the close of business on the last day of the Revolving Period and (b) the denominator of which is equal to the Invested Amount as of the close of business on the last day of the Revolving Period. 
 “Class B Floating Allocation Percentage” means, for any Monthly Period, the percentage equivalent (which percentage shall
never exceed 100%) of a fraction: 
 (a) the numerator of which is the Class B Invested Amount as of the close of
business on the last day of the preceding Monthly Period; and 
  

 6 

 (b) the denominator of which is equal to the Invested Amount as of the close
of business on the last day of the preceding Monthly Period; 
 provided that with respect to any Monthly Period in which
a Reset Date occurs: 
 (x) if such Reset Date is the result of an Incremental Funding or the issuance of a new
Series, the numerator determined pursuant to clause (a) shall be (1) the Class B Invested Amount as of the close of business on the later of the last day of the prior Monthly Period or the preceding Reset Date, for the period from
and including the first day of the current Monthly Period or the preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the Class B Invested Amount as of the close of business on such Reset Date, for the period from and
including such Reset Date to the earlier of the last day of such Monthly Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall not include such succeeding Reset Date); and

 (y) if such Reset Date is the result of an Incremental Funding or the issuance of a new Series, the
denominator determined pursuant to clause (b) shall be (1) the Invested Amount as of the close of business on the later of the last day of the prior Monthly Period or the preceding Reset Date, for the period from and including the
first day of the current Monthly Period or preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the Invested Amount as of the close of business on such Reset Date, for the period from and including such Reset Date to
the earlier of the last day of such Monthly Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall not include such succeeding Reset Date); 
 provided further that, with respect to the first Monthly Period, the Closing Date shall be treated as the last day of the preceding
Monthly Period. 
 “Class B Funded Amount” means, on any Business Day, an amount equal to the result of
(a) $46,667, plus (b) the aggregate amount of all Class B Incremental Funded Amounts for all Class B Incremental Fundings occurring on or prior to that Business Day, minus (c) the aggregate amount of principal payments made to
the Class B Holder prior to such date. 
 “Class B Holder” means a Person in whose name a Class B Certificate
is registered in the Certificate Register. 
 “Class B Incremental Funded Amount” means the amount of the
increase in the Class B Funded Amount occurring as a result of any Class B Incremental Funding, which amount shall equal the aggregate amount of the purchase price paid by the Class B Holders with respect to that Class B Incremental Funding
pursuant to the Class B Certificate Purchase Agreement. 
 “Class B Incremental Funding” means any increase in
the Class B Funded Amount during the Revolving Period made pursuant to the Class B Certificate Purchase Agreement. 
 “Class B Invested Amount” means, on any date of determination, an amount equal to (a) the Class B Funded Amount on that date, minus (b) the excess, if any, of the aggregate amount of Class B
Investor Charge-Offs pursuant to Section 4.12(c) over Class B Investor

  

 7 

 
Charge-Offs reimbursed pursuant to Section 4.11(a)(xii) prior to such date of determination; provided that the Class B Invested Amount may not be reduced below zero. 
 “Class B Investor Allocation Percentage” means, for any Monthly Period, (a) with respect to Default Amounts and
Finance Charge Receivables at any time and Principal Receivables during the Revolving Period, the Class B Floating Allocation Percentage and (b) with respect to Principal Receivables during a Fixed Allocation Period, the Class B Fixed
Allocation Percentage. 
 “Class B Investor Charge-Off” is defined in Section 4.12(c).

 “Class B Investor Default Amount” means, as to each Transfer Date, an amount equal to the sum for all
days during the related Monthly Period of the product of (a) the Investor Default Amount for such day and (b) the Class B Floating Allocation Percentage applicable on such day. 
 “Class B Maximum Funded Amount” means $46,666,667, as such amount may be increased or decreased from time to time pursuant
to Section 6 of this Series Supplement. 
 “Class B Monthly Interest” is defined in
Section 4.10(e). 
 “Class B Monthly Principal” is defined in Section 4.9(c).

 “Class B Reallocated Principal Collections” means, with respect to any Transfer Date, Collections of
Principal Receivables allocable to the related Monthly Period applied in accordance with Section 4.14 on such Transfer Date in an amount not to exceed the aggregate amount of Collections allocated to the Investor Certificates pursuant to
Sections 4.7(a)(ii), (b)(ii) and (c)(ii) during the Monthly Period relating to such Transfer Date; provided that such amount shall not exceed the Class B Invested Amount after giving effect to any Class B Charge-Offs
for such Transfer Date. 
 “Class B Required Amount” is defined in Section 4.10(e). 
 “Class M Certificate” means a certificate substantially in the form of Exhibit A-2 executed by the Transferor and
authenticated by the Trustee to be a Class M Asset-Backed Certificate, Series 2009-VFC1. 
 “Class M Certificate
Purchase Agreement” means the Class M Certificate Purchase Agreement dated as of the Closing Date among Transferor, Servicer and the Class M Holders, and as the same may be amended or otherwise modified from time to time. The Class M
Certificate Purchase Agreement is hereby designated a “Transaction Document” for all purposes of the Agreement and this Series Supplement. 
 “Class M Fixed Allocation Percentage” means, for any Monthly Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction, (a) the numerator of
which is the Class M Invested Amount as of the close of business on the last day of the Revolving Period and (b) the denominator of which is equal to the Invested Amount as of the close of business on the last day of the Revolving Period.

  

 8 

 “Class M Floating Allocation Percentage” means, for any Monthly
Period, the percentage equivalent (which percentage shall never exceed 100%) of a fraction: 
 (a) the numerator
of which is the Class M Invested Amount as of the close of business on the last day of the preceding Monthly Period; and 
 (b) the denominator of which is equal to the Invested Amount as of the close of business on the last day of the preceding Monthly Period; 
 provided that with respect to any Monthly Period in which a Reset Date occurs: 
 (x) if such Reset Date is the result of an Incremental Funding or the issuance of a new Series, the numerator determined pursuant to clause (a) shall be (1) the Class M Invested
Amount as of the close of business on the later of the last day of the prior Monthly Period or the preceding Reset Date, for the period from and including the first day of the current Monthly Period or the preceding Reset Date, as applicable, to but
excluding such Reset Date and (2) the Class M Invested Amount as of the close of business on such Reset Date, for the period from and including such Reset Date to the earlier of the last day of such Monthly Period (in which case such
period shall include such day) or the next succeeding Reset Date (in which case such period shall not include such succeeding Reset Date); and 
 (y) if such Reset Date is the result of an Incremental Funding or the issuance of a new Series, the denominator determined pursuant to clause (b) shall be (1) the Invested Amount as of
the close of business on the later of the last day of the prior Monthly Period or the preceding Reset Date, for the period from and including the first day of the current Monthly Period or preceding Reset Date, as applicable, to but excluding such
Reset Date and (2) the Invested Amount as of the close of business on such Reset Date, for the period from and including such Reset Date to the earlier of the last day of such Monthly Period (in which case such period shall include such day) or
the next succeeding Reset Date (in which case such period shall not include such succeeding Reset Date); 
 provided
further that, with respect to the first Monthly Period, the Closing Date shall be treated as the last day of the preceding Monthly Period. 
 “Class M Funded Amount” means, on any Business Day, an amount equal to the result of (a) $70,000,000, plus (b) the aggregate amount of all Class M Incremental Funded Amounts for
all Class M Incremental Fundings occurring on or prior to that Business Day, minus (c) the aggregate amount of principal payments made to the Class M Holders prior to such date. 
 “Class M Holder” means a Person in whose name a Class M Certificate is registered in the Certificate Register. 

“Class M Incremental Funded Amount” means the amount of the increase in the Class M Funded Amount occurring as a result
of any Class M Incremental Funding, which amount shall equal the aggregate amount of the purchase price paid by the Class M Holders with respect to that Class M Incremental Funding pursuant to the Class M Certificate Purchase Agreement. 

 

 9 

 “Class M Incremental Funding” means any increase in the Class M Funded
Amount during the Revolving Period made pursuant to the Class M Certificate Purchase Agreement. 
 “Class M Invested
Amount” means, on any date of determination, an amount equal to (a) the Class M Funded Amount on that date, minus (b) the excess, if any, of the aggregate amount of Class M Investor-Charge Offs pursuant to
Section 4.12(b) over Class M Investor Charge-Offs reimbursed pursuant to Section 4.11(a)(x) prior to such date of determination; provided that the Class M Invested Amount may not be reduced below zero. 
 “Class M Investor Allocation Percentage” means, for any Monthly Period, (a) with respect to Default Amounts and
Finance Charge Receivables at any time and Principal Receivables during the Revolving Period, the Class M Floating Allocation Percentage and (b) with respect to Principal Receivables during a Fixed Allocation Period, the Class M Fixed
Allocation Percentage. 
 “Class M Investor Charge-Off” is defined in Section 4.12(b). 
 “Class M Investor Default Amount” means, as to each Transfer Date, an amount equal to the sum for all days during the
related Monthly Period of the product of (a) the Investor Default Amount for such day and (b) the Class M Floating Allocation Percentage applicable on such day. 
 “Class M Maximum Funded Amount” means $70,000,000, as such amount may be increased or decreased from time to time pursuant
to Section 6 of this Series Supplement. 
 “Class M Monthly Interest” is defined in
Section 4.10(c). 
 “Class M Monthly Principal” is defined in Section 4.9(b).

 “Class M Reallocated Principal Collections” means, with respect to any Transfer Date, Collections of
Principal Receivables allocable to the related Monthly Period applied in accordance with Section 4.14 on such Transfer Date in an amount not to exceed the aggregate amount of Collections allocated to the Investor Certificates pursuant to
Sections 4.7(a)(iii), (b)(iii) and (c)(iii) during the Monthly Period relating to such Transfer Date; provided that such amount shall not exceed the Class M Invested Amount after giving effect to any Class M Charge-Offs for
such Transfer Date. 
 “Class M Required Amount” is defined in Section 4.10(c). 

“Closing Date” means March 31, 2009. 
 “Conduit Downgrade Event” means, as to any action, the confirmation from each rating agency that maintains a rating on the commercial paper notes issued by any Purchaser of the
Class A Notes that such action will cause a downgrade or withdrawal of such ratings or cause such commercial paper to be put on credit watch with negative implications by any such rating agencies. 
  

 10 

 “Controlled Amortization Period” means, unless an Early Amortization Event
shall have occurred prior thereto, the period commencing at the close of business on the Purchase Commitment Expiration Date and ending on the earlier to occur of (a) the commencement of the Early Amortization Period, and (b) the Series
2009-VFC1 Termination Date; provided that Transferor may, by five Business Days’ prior written notice to Trustee and each Investor Holder (and so long as the Early Amortization Period has not begun), cause the Controlled Amortization
Period to begin on any date earlier than the date otherwise specified above. 
 “Cumulative Principal
Shortfall” means the sum of the Principal Shortfalls (as such term is defined in each of the related Series Supplements) for each Series in Group One. 
 “Day Count Fraction” means, as to any Class A Ownership Interest or Class A Funding Tranche for any Distribution Period, a fraction (a) the numerator of which is the number
of days in that Distribution Period (or, if less, the number of days during that Distribution Period during which that Class A Ownership Interest or Class A Funding Tranche was outstanding, including the first, but excluding the last, such
day) and (b) the denominator of which is the actual number of days in the related calendar year (or, if so specified in the Class A Certificate Purchase Agreement, 360). 
 “Default Amount” means, as to any Defaulted Account, the amount of Principal Receivables (other than Ineligible
Receivables, unless there is an Insolvency Event with respect to Transferor) in such Defaulted Account on the day it became a Defaulted Account. 
 “Defaulted Account” means an Account in which there are Defaulted Receivables. 
 “Dilution” means any downward adjustment made by Servicer in the amount of any Receivable (a) because of a rebate, refund, unauthorized charge or billing error to an accountholder,
(b) because such Receivable was created in respect of merchandise which was refused or returned by an accountholder or (c) for any other reason other than receiving Collections therefor or charging off such amount as uncollectible.

 “Dilution Ratio” means, for any Determination Date, the percentage equivalent of a fraction (A) the
numerator of which is the aggregate amount of Dilution for the related Monthly Period (B) the denominator of which is the total Receivables as of the last day of the Monthly Period immediately prior to the Monthly Period related to such
Determination Date; provided that the Dilution Ratios for the Determination Dates related to the February 2009 and March 2009 Monthly Periods shall be deemed to equal the Dilution Ratios (as defined in the Series 2005-VFC Supplement to the
Agreement) related to the February 2009 and March 2009 Monthly Periods. 
 “Distribution Account” is defined in
Section 4.16(a). 
 “Distribution Date” means May 15, 2009 and the fifteenth day of each calendar
month thereafter, or if such fifteenth day is not a Business Day, the next succeeding Business Day. 
 “Distribution
Period” means, with respect to any Distribution Date, the related Accrual Period (as defined in the Class A Certificate Purchase Agreement). 
  

 11 

 “Early Amortization Commencement Date” means the date on which an Early
Amortization Event is deemed to occur pursuant to Section 9.1 or an Early Amortization Event is deemed to occur pursuant to Section 10 of this Series Supplement. 
 “Early Amortization Period” means the period commencing on the Early Amortization Commencement Date and ending on the
Series 2009-VFC1 Termination Date. 
 “Excess Spread Percentage” means, for any Monthly Period, a
percentage equal to the Portfolio Yield for each Monthly Period minus the Base Rate for such Monthly Period; provided that the Excess Spread Percentages for the February 2009 Monthly Period and the Excess Spread Percentage for
the March 2009 Monthly Period shall be deemed to equal the Excess Spread Percentages (as defined in the Series 2005-VFC Supplement to the Agreement) related to the February 2009 and March 2009 Monthly Periods. 
 “Finance Charge Account” is defined in Section 4.16(a). 
 “Finance Charge Shortfall” means, for Series 2009-VFC1 with respect to any Transfer Date, an amount equal to the excess, if
any, of (a) the sum of the amounts specified in subsections 4.11(a)(i) through (xvii) for that Transfer Date over (b) Available Funds (excluding Excess Finance Charge Collections) with respect to such Transfer Date.

 “Fixed Allocation Percentage” means, with respect to any Monthly Period, the percentage equivalent of a
fraction (a) the numerator of which is the Invested Amount as of the close of business on the last day of the Revolving Period and (b) the denominator of which is the greater of (i) the aggregate amount of Principal Receivables in the
Trust determined as of the close of business on (A) if only one Series is outstanding the last day of the Revolving Period and (B) if more than one Series is outstanding, the last day of the prior Monthly Period and (ii) the sum of
the numerators used to calculate the Investor Percentages for allocations with respect to Principal Receivables for all outstanding Series on such date of determination; provided that with respect to any Monthly Period in which a Reset Date occurs,
(x) the denominator determined pursuant to subclause (b)(i) shall be (1) the aggregate amount of Principal Receivables in the Trust as of the close of business on the later of the last day of the prior Monthly Period or the
preceding Reset Date, for the period from and including the first day of the current Monthly Period or the preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the aggregate amount of Principal Receivables in the Trust
as of the close of business on such Reset Date, for the period from and including such Reset Date to the later of the last day of such Monthly Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case
such period shall not include such succeeding Reset Date) and (y) the denominator determined pursuant to subclause (b)(ii) shall be (1) the sum of the numerators used to calculate the Investor Percentages for allocations with
respect to Principal Receivables for all outstanding Series as of the close of business on the later of the last day of the prior Monthly Period or the preceding Reset Date, for the period from and including the first day of the current Monthly
Period or the preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the sum of the numerators used to calculate the Investor Percentages for allocations with respect to Principal Receivables for all outstanding Series as
of the close of business on such Reset Date, for the period from and including such Reset Date to the earlier of the last day of such Monthly Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case
such period shall not include such succeeding Reset Date). 
  

 12 

 “Fixed Allocation Period” means the Controlled Amortization Period or the
Early Amortization Period. 
 “Fixed Period” is defined in Section 4.8(a). 
 “Floating Allocation Percentage” means, with respect to any Monthly Period, the percentage equivalent of a fraction:

 (a) the numerator of which is the Invested Amount as of the close of business on the last day of the preceding
Monthly Period; and 
 (b) the denominator of which is the greater of (i) the aggregate amount of Principal
Receivables as of the close of business on the last day of the preceding Monthly Period and (ii) the sum of the numerators used to calculate the Investor Percentages for allocations with respect to Finance Charge Receivables, Default Amounts or
Principal Receivables, as applicable, for all outstanding Series on such date of determination in subclause (b)(i); 
 provided
that with respect to any Monthly Period in which a Reset Date occurs: 
 (x) if such Reset Date is the result of
an Incremental Funding or the issuance of a new Series, the numerator determined pursuant to clause (a) shall be (1) the Invested Amount as of the close of business on the later of the last day of the preceding Monthly Period or the
preceding Reset Date, for the period from and including the first day of the current Monthly Period or the preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the Invested Amount as of the close of business on such
Reset Date, for the period from and including such Reset Date to the earlier of the last day of such Monthly Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall not include
such succeeding Reset Date); 
 (y) the denominator determined pursuant to subclause (b)(i) shall be
(1) the aggregate amount of Principal Receivables in the Trust as of the close of business on the later of the last day of the prior Monthly Period or the preceding Reset Date, for the period from and including the first day of the current
Monthly Period or preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the aggregate amount of Principal Receivables in the Trust as of the close of business on such Reset Date, for the period from and including such
Reset Date to the earlier of the last day of such Monthly Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall not include such succeeding Reset Date); and 
 (z) the denominator determined pursuant to subclause (b)(ii) shall be (1) the sum of the numerators used to calculate
the Investor Percentages for all outstanding Series for allocations with respect to Finance Charge Receivables, Defaulted Receivables or Principal Receivables, as applicable, for all such Series as of the close of business on the later of the last
day of the prior Monthly Period or the preceding Reset Date, for the

  

 13 

 
period from and including the first day of the current Monthly Period or preceding Reset Date, as applicable, to but excluding such Reset Date and (2) the sum of the numerators used to
calculate the Investor Percentages for all outstanding Series for allocations with respect to Finance Charge Receivables, Defaulted Receivables or Principal Receivables, as applicable, for all such Series as the close of business on such Reset Date,
for the period from and including such Reset Date to the earlier of the last day of such Monthly Period (in which case such period shall include such day) or the next succeeding Reset Date (in which case such period shall not include such succeeding
Reset Date). 
 provided further that, with respect to the first Monthly Period, the Closing Date shall be treated as the last day of the
preceding Monthly Period. 
 “Funded Amount” means, as the context requires, (i) the Class A Funded
Amount, the Class M Funded Amount and the Class B Funded Amount or (ii) any of the foregoing. 
 “Group
One” means Series 2009-VFC1 and each other Series specified in the related Supplement to be included in Group One. 
 “Holding” means Alliance Data Systems Corporation, a Delaware corporation. 
 “Incremental
Funding” means any increase in the Class A Funded Amount, Class M Funded Amount or the Class B Funded Amount during the Revolving Period made pursuant to the applicable Certificate Purchase Agreement. 
 “Initial Spread Account Deposit Amount” shall mean
$[            ]. 
 “Invested Amount” means,
on any date of determination, an amount equal to the sum of (a) the Class A Invested Amount, (b) the Class M Invested Amount and (c) the Class B Invested Amount, each as of such date. 
 “Investment Earnings” means, with respect to any Transfer Date, all interest and earnings on Eligible Investments included
in the Spread Account (net of losses and investment expenses) during the Monthly Period immediately preceding such Transfer Date. 
 “Investor Certificates” means the Class A Certificates, the Class M Certificates and the Class B Certificates. 
 “Investor Default Amount” means, with respect to any Defaulted Account, an amount equal to the product of (a) the Default Amount and (b) the Floating Allocation Percentage on
the day such Account became a Defaulted Account. 
 “Investor Holder” means any Class A Holder, any Class
M Holder or any Class B Holder. 
 “Investor Percentage” means, for any Monthly Period, (a) with respect
to Finance Charge Receivables and Default Amounts at any time and Principal Receivables during the Revolving Period, the Floating Allocation Percentage and (b) with respect to Principal Receivables during a Fixed Allocation Period, the Fixed
Allocation Percentage. 
  

 14 

 “Investor Principal Collections” means, with respect to any Monthly Period,
the sum of (a) the aggregate amount allocated to the Investor Holders for such Monthly Period pursuant to Sections 4.7(a)(ii), (iii) and (iv), 4.7(b)(ii), (iii) and (iv) and 4.7(c)(ii), (iii) and
(iv), in each case, as applicable to such Monthly Period, (b) the aggregate amount to be treated as Investor Principal Collections pursuant to Sections 4.11(a)(vii) through (xii) for such Monthly Period, and (c) the
aggregate amount transferred from the Excess Funding Account to the Distribution Account pursuant to Sections 4.2 and 4.11(c). 
 “Investor Servicing Fee” is defined in Section 3 of this Series Supplement. 
 “Majority Series Holders” means (i) at any time that any Class A Note is Outstanding, the Class A Funding Agents for Ownership Groups (as defined in the Class A
Certificate Purchase Agreement) having Ownership Group Purchase Limits (as defined in the Class A Certificate Purchase Agreement) evidencing more than 50% of the Class A Maximum Funded Amount, and (ii) if there are no Class A
Notes Outstanding, Investor Holders evidencing more than 50% of the Invested Amount. 
 “Merchant Bankruptcy”
means the failure of a Merchant generally to, or admit in writing its inability to, pay its debts as they become due; or any proceeding shall have been instituted in a court having jurisdiction in the premises seeking a decree or order for relief in
respect to such Merchant in an involuntary case under any Debtor Relief Law or for the appointment of a receiver, liquidator, assignee, trustee, custodian, sequestrator, conservator or other similar official for any substantial part of such
Merchant’s property, or for the winding-up or liquidation of Merchant’s affairs, and such proceeding shall continue undismissed or unstayed and in effect for a period of 60 consecutive days or any of the actions sought in such proceeding
shall occur; or any commencement by a Merchant of a voluntary case under any Debtor Relief Law, or a Merchant’s consent to the entry of an order for relief in an involuntary case under any Debtor Relief Law, or consent to the appointment of or
taking possession by a receiver, liquidator, assignee, trustee, custodian, sequestrator, conservator or other similar official for any substantial part of such Merchant’s property, or any general assignment for the benefit of creditors; or any
Affiliate of such Merchant shall have taken any corporate action in furtherance of any of the foregoing actions with respect to that Merchant. 
 “Monthly Deposit Period” means any period of time during which any of the following is true: (a) WFN maintains a short term debt rating of A-1 or better by S&P, P-1 by
Moody’s and, if rated by Fitch, F1 by Fitch (or such other rating below A-1, P-1 or F1, as the case may be, which satisfies the Rating Agency Condition); or (b) WFN has provided to Trustee a letter of credit covering collection risk of
Servicer that satisfies the Rating Agency Condition. 
 “Monthly Period” is defined in the Agreement, except
that the first Monthly Period begins on and includes the Closing Date and ends on and includes April 30, 2009. 
 “Optional Amortization Amount” is defined in Section 4(b) of this Series Supplement. 
 “Optional Amortization Date” is defined in Section 4(b) of this Series Supplement. 
  

 15 

 “Optional Amortization Funds” means funds deposited into the Principal
Account on account of any Unfunded Optional Amortization Amount pursuant to Section 4.7(a)(iv) or 4.7(b)(iv). 
 “Optional Amortization Notice” is defined in Section 4(b) of this Series Supplement. 
 “Portfolio Yield” means, with respect to any Monthly Period, the annualized percentage (based on actual days during the related Monthly Period, and a 360-day year) equivalent of a fraction, the numerator of which is the sum
of (a) an amount equal to the amount of Collections of Finance Charge Receivables allocated to the Investor Certificates for such Monthly Period pursuant to Section 4.7 such amount to be calculated on a cash basis after subtracting the
Aggregate Investor Default Amount for such Monthly Period and (b) interest and earnings on the Series Accounts to be treated as Collections of Finance Charge Receivables allocable to the Investor Certificates on the Transfer Date related to
such Monthly Period and the denominator of which is the Weighted Average Invested Amount during such Monthly Period. 
 “Principal Account” is defined in Section 4.16(a). 
 “Principal Shortfall”
means, for Series 2009-VFC1 with respect to any Transfer Date, the excess, if any, of (a) (i) with respect to any Transfer Date relating to the Controlled Amortization Period, the sum of (A) the Aggregate Optional Amortization Amount
and (B) the Class A Controlled Payment Amount for such Transfer Date, (ii) with respect to any Transfer Date during the Early Amortization Period, the Invested Amount and (iii) with respect to any Transfer Date relating to the
Revolving Period, the Aggregate Optional Amortization Amount over (b) the Investor Principal Collections, minus Reallocated Principal Collections. 
 “Purchase Commitment Expiration Date” is defined in the Class A Certificate Purchase Agreement. 
 “Rating Agency” means DBRS, Inc. and Fitch Ratings. 
 “Rating Agency Condition” shall mean for purposes of this Series Supplement and the Agreement with respect to Series 2009-VFC1 the consent of the Class A Holders and confirmation from each Rating Agency that such
action will not result in a reduction or withdrawal of the then current ratings of the Class M Certificates and the Class B Certificates. 
 “Reallocated Principal Collections” means, with respect to any Transfer Date the sum of the Class M Reallocated Principal Collections and Class B Reallocated Principal
Collections for such Transfer Date. 
 “Record Date” means, for purposes of Series 2009-VFC1 with respect to
any Distribution Date or Optional Amortization Date, the date falling five Business Days prior to such date. 
 “Refinancing Date” is defined in Section 4(c) of this Series Supplement. 
 “Required Cash Collateral Amount” means, with respect to any date of determination (a) as of the Closing Date, $[            ] and (b) on any
Transfer Date thereafter the sum of (i) the product of (x) [            ] times (y) the Invested Amount, after any adjustments to be made on such date,
including but not limited to an Incremental Funding, plus (ii) the [RESERVED] on such date of determination. 
  

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 “Required Draw Amount” is defined in Section 4.17(c).

 “Required Retained Transferor Percentage” means, for purposes of Series 2009-VFC1, at any time,
[            ]. So long as Series 2009-VFC1 remains outstanding, the phrase “[            ] or, if less,”
shall be deemed to have been deleted from the definition of “Required Retained Transferor Percentage” in the Agreement. 
 “Reset Date” means each of (a) an Addition Date relating to Supplemental Accounts, (b) a Removal Date on which, if any Series has been paid in full, Principal Receivables in an aggregate amount approximately equal
to the initial investor interest of such Series are removed from the Trust, (c) a date on which an Incremental Funding occurs, (d) any date on which a new Series is issued and (e) any date on which the outstanding balance of any
Variable Interest is increased. 
 “Revolving Period” means the period from and including the Closing Date to,
but not including, the earlier of (a) the day the Controlled Amortization Period commences and (b) the Early Amortization Commencement Date. 
 “Scheduled Final Payment Date” means the Distribution Date falling in the twelfth month following the month in which the Controlled Amortization Period begins. 
 “Series Account” means, as to Series 2009-VFC1, the Distribution Account, the Finance Charge Account, the Principal
Account, the Cash Collateral Account and the Spread Account. 
 “Series 2009-VFC1” means the Series of the
World Financial Network Credit Card Master Trust III represented by the Investor Certificates. 
 “Series 2009-VFC1
Termination Date” means the earliest to occur of (a) the Distribution Date falling in a Fixed Allocation Period on which the Invested Amount is paid in full, (b) the termination of the Trust pursuant to the Agreement and
(c) the Distribution Date on or closest to the date falling 36 months after the end of the Revolving Period. 
 “Series Servicing Fee Percentage” means 2.0%. 
 “Shared Principal Collections”
means, as the context requires, either (a) the amount allocated to the Investor Certificates which may be applied to the Principal Shortfall (as such term is defined in the Agreement) with respect to other outstanding Series in Group One or
(b) the amounts allocated to the investor certificates of other Series in Group One which the applicable Supplements for such Series specify are to be treated as “Shared Principal Collections” and which may be applied to cover the
Principal Shortfall with respect to the Investor Certificates. 
 “Specified Transferor Amount” means, at any
time, the Minimum Transferor Amount (including the Additional Minimum Transferor Amount, if any) at that time. 
  

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 “Spread Account” is defined in Section 4.20. 
 “Spread Account Amount” shall mean, as of any date, an amount equal to the amount on deposit in the Spread Account
(exclusive of Investment Earnings) on such date, after giving effect to all deposits, transfers and withdrawals from the Spread Account on such date. 
 “Spread Account Cap” with respect to any date of determination, shall mean the lesser of (a) the Class B Invested Amount on such date and (b) the result obtained by multiplying
the sum of the Class A Invested Amount, the Class M Invested Amount and the Class B Invested Amount by the Applicable Percentage in effect on such date. 
 RESERVED 
 “Target Amount” is defined in
Section 4.7(d). 
 “Unfunded Optional Amortization Amount” means, at any time, the excess, if any,
of the (1) the Aggregate Optional Amortization over (2) the amount on deposit in the Principal Account which was deposited there pursuant to Section 4.7(a)(iv) or 4.7(b)(iv). 
 “Weighted Average Class A Funded Amount” means, as to any Class A Ownership Interest (or Class A Funding
Tranche) for any Distribution Period, the quotient of (a) the summation of the portion of the Class A Funded Amount allocated to that Class A Ownership Interest (or Class A Funding Tranche) determined as of each day in that
Distribution Period, divided by (b) the number of days in that Distribution Period. 
 “Weighted Average
Class A Invested Amount” means, for any Monthly Period, the quotient of (a) the summation of the Class A Invested Amount determined as of each day in that Monthly Period, divided by (b) the number of days in that Monthly
Period. 
 “Weighted Average Invested Amount” means, for any Monthly Period, the quotient of (a) the
summation of the Invested Amount determined as of each day in that Monthly Period, divided by (b) the number of days in that Monthly Period. 
 SECTION 3. Servicing Fee. The share of the Servicing Fee allocable to Series 2009-VFC1 with respect to any Transfer Date (the “Investor Servicing Fee”) shall be equal to
one-twelfth of the product of (i) the Series Servicing Fee Percentage and (ii) the Weighted Average Invested Amount for the Monthly Period preceding such Transfer Date. The Investor Servicing Fee shall be payable to Servicer solely to the
extent amounts are available for distribution in respect thereof pursuant to Sections 4.11(a)(iv) 
 SECTION 4.
Variable Funding Mechanics. (a) Incremental Fundings. (i) From time to time during the Revolving Period, Transferor and Servicer may notify the Class A Holders that a Class A Incremental Funding will occur, subject
to the conditions of the Class A Certificate Purchase Agreement on the next or any subsequent Business Day by delivering a Notice of Class A Incremental Funding (as defined in the Class A Certificate Purchase Agreement) executed by
Transferor and Servicer to the Class A Funding Agent for each such Class A Holder, specifying the amount of such Class A Incremental Funding (which shall be a minimum of $5,500,000 and $550,000 integral multiples in excess thereof,
except that a Class A

  

 18 

 
Incremental Funding may be requested in the entire remaining Class A Maximum Funded Amount of the Class A Certificates) and the Business Day upon which such Class A Incremental
Funding is to occur. Upon any Class A Incremental Funding, the Class A Floating Allocation Percentage, the Class A Invested Amount, the Floating Allocation Percentage and the Invested Amount shall increase as provided herein. The
increase in the Class A Invested Amount and the Class A Funded Amount shall be allocated to the Class A Certificates held by the Class A Holders from which purchase prices were received in connection with the Class A
Incremental Funding in proportion to the amount of such purchase prices received. 
 (ii) From time to time
during the Revolving Period, Transferor and Servicer may notify the Class M Holders that a Class M Incremental Funding will occur, subject to the conditions of the Class M Certificate Purchase Agreement on the next or any subsequent Business Day by
delivering a Class M Incremental Funding Notice (as defined in the Class M Certificate Purchase Agreement) executed by Transferor and Servicer to the Class M Holders, specifying the amount of such Class M Incremental Funding and the Business
Day upon which such Class M Incremental Funding is to occur. Upon any Class M Incremental Funding, the Class M Floating Allocation Percentage, the Class M Invested Amount, the Floating Allocation Percentage and the Invested Amount shall increase as
provided herein. 
 (iii) From time to time during the Revolving Period, Transferor and Servicer may notify the
Class B Holders that a Class B Incremental Funding will occur, subject to the conditions of the Class B Certificate Purchase Agreement on the next or any subsequent Business Day by delivering a Class B Incremental Funding Notice (as defined in the
Class B Certificate Purchase Agreement) executed by Transferor and Servicer to the Class B Holders, specifying the amount of such Class B Incremental Funding and the Business Day upon which such Class B Incremental Funding is to occur. Upon any
Class B Incremental Funding, the Class B Floating Allocation Percentage, the Class B Invested Amount, the Floating Allocation Percentage and the Invested Amount shall increase as provided herein. 
 (b) Optional Amortization. On any Business Day in the Revolving Period or the Controlled Amortization Period, Transferor may cause
Servicer to provide notice to Trustee and the Investors Holders (an “Optional Amortization Notice”) at least five Business Days prior to any Business Day (the “Optional Amortization Date”) stating its intention to
cause a full or partial amortization of the Investor Certificates with Optional Amortization Funds and/or Shared Principal Collections on the Optional Amortization Date, in full or in part in an amount (the “Optional Amortization
Amount”), which amount, so long as the Class A Certificates are outstanding shall not be less than $5,500,000 or $550,000 integral multiples in excess thereof, except that the portion of the Optional Amortization Amount allocated to
any Class A Ownership Interest may equal the entire Class A Funded Amount of the related Class A Certificate. The Optional Amortization Notice shall state the Optional Amortization Date and the Optional Amortization Amount. The
Optional Amortization Amount shall be paid from Optional Amortization Funds and/or Shared Principal Collections pursuant to Section 4.4. and shall be allocated (i) first, among the Class A Ownership Interests pro rata
based on the Class A Funded Amounts of each Class A Ownership Interest; provided that if any Class A Funding Agent shall have provided notice to the Transferor of a Class A Additional Amount as a result of an

  

 19 

 
“Accounting Based Consolidation Event” (as defined in the Class A Certificate Purchase Agreement), then the Transferor may allocate the Optional Amortization Amount first to reduce
the Class A Funded Amount allocated to the Class A Ownership Interest(s) as to which such Accounting Based Consolidation Event has occurred, and then pro rata among the remaining Class A Ownership Interests based on the
Class A Funded Amounts of those Class A Ownership Interests, (ii) second, to the Class M Invested Amount and (iii) third, to the Class B Invested Amount. If a Class A Ownership Interest is divided into more than one
Class A Funding Tranche, allocation of the Optional Amortization Amount for each Class A Ownership Interest among the various outstanding Class A Funding Tranches shall be at the discretion of Transferor, and accrued interest and any
Class A Additional Amounts on the affected Class A Funding Tranches shall be payable on the first Distribution Date on or after the related Optional Amortization Date. On the Business Day prior to each Optional Amortization Date, Servicer
shall instruct Trustee in writing (which writing shall be substantially in the form of Exhibit B) to withdraw Optional Amortization Funds from the Principal Account and/or Available Shared Principal Collections from the Collection Account in
an aggregate amount sufficient to pay the Optional Amortization Amount on that Optional Amortization Date and deposit the same in the Distribution Account, and Trustee, acting in accordance with such instructions, shall on such Business Day make
such withdrawal and deposit. 
 (c) Refinanced Optional Amortization. On any Business Day in the Revolving Period or the
Controlled Amortization Period, Transferor may, with the consent of each affected Investor Holder, cause Servicer to provide notice to Trustee and all of the Investor Holders at least five Business Days prior to any Business Day (the
“Refinancing Date”) stating its intention to cause the Funded Amount to be prepaid in full or in part in an amount not less than $5,500,000 and integral multiples of $550,000 in excess thereof (or, if less, the remaining Funded
Amount) on the Refinancing Date with the proceeds from the issuance of a new series of Certificates. Any such prepayment of the Invested Amount shall be accompanied by a payment of (i) accrued and unpaid interest on the Funded Amount (or the
portion thereof that is being prepaid) through the Refinancing Date, plus (ii) any accrued and unpaid Class A Non-Use Fees and Class A Additional Amounts in respect of the Funded Amount (or portion thereof that is being
prepaid) through the Refinancing Date. In the case of any such conveyance, the proceeds of the new issuance in an amount sufficient (together with Collections available for such purpose) to pay the required amounts shall be deposited in the
Distribution Account and shall be distributed to the applicable Investor Holder on the Refinancing Date in accordance with the terms of this Series Supplement and the Agreement; provided that no portion of such purchase price may be applied
to reduce the Class M Invested Amount or the Class B Invested Amount until the Class A Funded Amount has been reduced to zero; provided, further that no portion of such purchase price may be applied to reduce the Class B Invested Amount until
the Class M Funded Amount has been reduced to zero. 
 SECTION 5. Optional Repurchase; Reassignment and Termination
Provisions. (a) The Investor Certificates shall be subject to purchase by the Servicer at its option on any Distribution Date, on or after the Distribution Date on which the Invested Amount is reduced to an amount less than or equal to
[10%] of the highest historical Invested Amount by deposit into the Collection Account a final distribution for application in accordance with Section 12.2 an amount which shall include the amount, if any, on deposit in the Principal
Account and will be equal to the sum of (i) the Invested Amount, plus (ii) accrued and unpaid interest on the Investor

  

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Certificates through the day preceding the Distribution Date on which the repurchase occurs, plus (iii) any accrued and unpaid Class A Non-Use Fees and Class A Additional
Amounts in respect of the Investor Certificates through the day preceding the Distribution Date on which the repurchase occurs. Upon the tender of the outstanding Investor Certificates by the Investor Holders, Trustee shall, in accordance with the
instructions of the Servicer, distribute the amounts, together with all funds on deposit in the Principal Account that are allocable to the Investor Certificates, to the Investor Holders on the next Distribution Date in repayment of the principal
amount and accrued and unpaid interest owing to the Investor Holders. Following any redemption, the Investor Holders shall have no further rights with respect to the Receivables. In the event that Transferor fails for any reason to deposit in the
Principal Account the aggregate purchase price for the Investor Certificates, payments shall continue to be made to the Investor Holders in accordance with the terms of the Agreement and this Series Supplement. 
 (b) The amount required to be deposited by Transferor with respect to the Investor Certificates in connection with any reassignment of
Receivables pursuant to Section 2.6 shall equal the sum of (i) the Invested Amount, plus (ii) accrued and unpaid interest on the Investor Certificates through the day preceding the Distribution Date on which the repurchase
occurs, plus (c) any accrued and unpaid Class A Non-Use Fees and Class A Additional Amounts in respect of the Investor Certificates through the day preceding the Distribution Date on which the repurchase occurs. The amount so
deposited shall be distributed to the Investor Holders in final payment of the Invested Amount and all such other amounts on the Distribution Date on which it is deposited. 
 (c) Proceeds available from the sale of Receivables in accordance with Section 12.2 on the Series 2009-VFC1 Termination Date
shall be treated, to the extent of the Invested Amount, as Collections of Principal Receivables that have been allocated to the Investor Certificates and any excess shall be treated as Collections of Finance Charge Receivables that have been
allocated to the Investor Certificates, in each case with respect to the prior Monthly Period. 
 SECTION 6. Maximum Funded
Amounts. (a) The initial Class A Maximum Funded Amount of each Class A Certificate is as set forth on the related Class A Certificate. The Class A Maximum Funded Amount of each Class A Certificate may be reduced or
increased from time to time as provided in the Class A Certificate Purchase Agreement. Unless otherwise agreed to by the Transferor and each Class A Funding Agent, increases and decreases in the overall Class A Maximum Funded Amount
are required to be made ratably among the various Class A Certificates; provided that if any Class A Funding Agent shall have provided notice to the Transferor of Class A Additional Amount as a result of an “Accounting
Based Consolidation Event” (as defined in Class A Certificate Purchase Agreement), then the Transferor may allocate any decrease in the overall Class A Maximum Funded Amount first to reduce the Class A Maximum Funded Amount(s) of
the Class A Certificate(s) for the Class A Ownership Interest(s) as to which such Accounting Based Consolidation Event has occurred, and then to reduce the Class A Maximum Funded Amounts of the remaining Class A Certificates
ratably. Any decrease in the Class A Maximum Funded Amount of any Class A Certificate shall be permanent, unless a subsequent increase in the Class A Maximum Funded Amount is made in accordance with the Class A Certificate
Purchase Agreement. 
  

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 (b) The initial Class M Maximum Funded Amount of each Class M Certificate is as set forth on
the related Class M Certificate. The Class M Maximum Funded Amount of each Class M Certificate may be reduced or increased from time to time with the written consent of the related Class M Holder and as provided in the Class M Certificate Purchase
Agreement. Any decrease in the Class M Maximum Funded Amount of any Class M Certificate shall be permanent, unless a subsequent increase in the Class M Maximum Funded Amount is made in accordance with the Class M Certificate Purchase Agreement.

 (c) The initial Class B Maximum Funded Amount of each Class B Certificate is as set forth on the related Class B Certificate.
The Class B Maximum Funded Amount of each Class B Certificate may be reduced or increased from time to time with the written consent of the related Class B Holder and as provided in the Class B Certificate Purchase Agreement. Any decrease in the
Class B Maximum Funded Amount of any Class B Certificate shall be permanent, unless a subsequent increase in the Class B Maximum Funded Amount is made in accordance with the Class B Certificate Purchase Agreement. 
 SECTION 7. Delivery of the Investor Certificates. Transferor shall execute and deliver the Investor Certificates (in definitive,
fully registered form) to Trustee for authentication in accordance with Section 6.1. The Trustee shall deliver such Investor Certificates when authenticated in accordance with Section 6.2. 
 SECTION 8. Article IV of the Agreement. Sections 4.1 through 4.5 shall read in their entirety as provided in the
Agreement. Article IV (except for Sections 4.1 through 4.5 thereof) shall read in its entirety as follows and shall be applicable only to the Investor Certificates: 
 ARTICLE IV RIGHTS OF CERTIFICATEHOLDERS; ALLOCATIONS 
 SECTION 4.6. Rights of
Investor Holders. The Investor Certificates shall represent undivided interests in the Trust, consisting of the right to receive, to the extent necessary to make the required payments with respect to such Investor Certificates at the times and
in the amounts specified in this Agreement, (a) the Floating Allocation Percentage and Fixed Allocation Percentage (as applicable from time to time) of Collections received with respect to the Receivables and (b) funds on deposit in the
Collection Account, the Finance Charge Account, the Principal Account, the Distribution Account, the Excess Funding Account, the Cash Collateral Account and the Spread Account. The Class M Certificates and the Class B Certificates shall be
subordinate to the Class A Certificates to the extent described herein. The Class B Certificates shall be subordinate to the Class M Certificates to the extent described herein. The Transferor Certificate shall not represent any interest in the
Collection Account, the Finance Charge Account, the Principal Account, the Distribution Account, the Excess Funding Account, the Cash Collateral Account or the Spread Account, except as specifically provided in this Article IV. 
  

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 SECTION 4.7 Allocations. (a) Allocations During the Revolving Period.
During the Revolving Period, Servicer shall allocate Collections to the Investor Holders as follows: 
 (i)
allocate to the Investor Holders an amount equal to the product of (A) the Investor Percentage on the Date of Processing of such Collections and (B) the aggregate amount of Collections processed in respect of Finance Charge Receivables on
such Date of Processing; 
 (ii) allocate to the Investor Holders an amount equal to the product of (A) the
Class B Investor Allocation Percentage on the Date of Processing of such Collections, (B) the Investor Percentage on the Date of Processing of such Collections and (C) the aggregate amount of Collections processed in respect of
Principal Receivables on such Date of Processing; 
 (iii) allocate to the Investor Holders an amount equal to
the product of (A) the Class M Investor Allocation Percentage on the Date of Processing of such Collections, (B) the Investor Percentage on the Date of Processing of such Collections and (C) the aggregate amount of Collections
processed in respect of Principal Receivables on such Date of Processing; and 
 (iv) allocate to the Investor
Holders an amount equal to the lesser of (A) the product of (1) the Class A Investor Allocation Percentage on the Date of Processing of such Collections, (2) the Investor Percentage on the Date of Processing of such Collections
and (3) the aggregate amount of Collections processed in respect of Principal Receivables on such Date of Processing and (B) the Unfunded Optional Amortization Amount. 
 In addition, Servicer shall treat as Shared Principal Collections an amount equal to the excess, if any, of (1) the amount calculated pursuant to clause (iv)(A) above over (2) the amount
calculated pursuant to clause (iv)(B) above. 
 (b) Allocations During the Controlled Amortization Period. During
the Controlled Amortization Period, Servicer shall allocate Collections to the Investor Holders as follows: 
 (i) allocate to the Investor Holders an amount equal to the product of (A) the Investor Percentage on the Date of Processing of such Collections and (B) the aggregate amount of Collections processed in respect of Finance Charge
Receivables on such Date of Processing; 
 (ii) allocate to the Investor Holders an amount equal to the product
of (A) the Class B Investor Allocation Percentage on the Date of Processing of such Collections, (B) the Investor Percentage on the Date of Processing of such Collections and (C) the aggregate amount of Collections processed in
respect of Principal Receivables on such Date of Processing; 
 (iii) allocate to the Investor Holders an amount
equal to the product of (A) the Class M Investor Allocation Percentage on the Date of Processing of such Collections, (B) the Investor Percentage on the Date of Processing of such Collections and (C) the aggregate amount of
Collections processed in respect of Principal Receivables on such Date of Processing; 
  

 23 

 (iv) allocate to the Investor Holders an amount equal to the product of
(1) the Class A Investor Allocation Percentage on the Date of Processing of such Collections, (2) the Investor Percentage on the Date of Processing of such Collections and (3) the aggregate amount of Collections processed in
respect of Principal Receivables on such Date of Processing; provided that the aggregate amount allocated pursuant to this Section 4.7(b)(iv)(A) during any Monthly Period shall not exceed the sum of (x) the Class A Controlled
Payment Amount for the related Transfer Date (after taking into account any payments to be made on the immediately preceding Distribution Date) plus (y) any Unfunded Optional Amortization Amount; and 
 (v) treat as Shared Principal Collections any amount not allocated as a result of clauses (i) –
(iv) above. 
 (c) Allocations During the Early Amortization Period. During the Early Amortization Period,
Servicer shall allocate Collections to the Investor Holders as follows: 
 (i) allocate to the Investor Holders
an amount equal to the product of (A) the Investor Percentage on the Date of Processing of such Collections and (B) the aggregate amount of Collections processed in respect of Finance Charge Receivables on each Date of Processing;

 (ii) allocate to the Investor Holders an amount equal to the product of (A) the Class B Investor
Allocation Percentage on the Date of Processing of such Collections, (B) the Investor Percentage on the Date of Processing of such Collections and (C) the aggregate amount of Collections processed in respect of Principal Receivables on
such Date of Processing; 
 (iii) allocate to the Investor Holders an amount equal to the product of (A) the
Class M Investor Allocation Percentage on the Date of Processing of such Collections, (B) the Investor Percentage on the Date of Processing of such Collections and (C) the aggregate amount of Collections processed in respect of Principal
Receivables on such Date of Processing; 
 (iv) allocate to the Investor Holders an amount equal to the product
of (A) the Class A Investor Allocation Percentage on the Date of Processing of such Collections, (B) the Investor Percentage on the Date of Processing of such Collections and (C) the aggregate amount of Collections processed in
respect of Principal Receivables on such Date of Processing; provided that the aggregate amount allocated pursuant to this Section 4.7(c)(iv) during any Monthly Period shall not exceed the Invested Amount as of the close of
business on the last day of the prior Monthly Period (after taking into account any payments to be made on the Distribution Date relating to such prior Monthly Period and deposits and any adjustments to be made to the Invested Amount to be made on
the Transfer Date relating to such Monthly Period); and 
 (v) treat as Shared Principal Collections any amount
not allocated as a result of clauses (i) – (iv) above. 
  

 24 

 (d) During a Monthly Deposit Period, amounts allocated to the Investor
Holders pursuant to Sections 4.7(a), (b) and (c) during any Monthly Period need not be deposited into the Collection Account or any Series Account prior to the earlier of (i) the Business Day prior to the date on which
such amounts are needed to make any payment on a Refinancing Date or an Optional Amortization Date, in which case such amounts shall be deposited only as required by Section 4(b) of this Series Supplement and (ii) the related Transfer
Date, and when so deposited, (x) may be deposited net of any amounts required to be distributed to Transferor and the Servicer, if WFN is Servicer and (y) shall be deposited into the Finance Charge Account (in the case of Collections of
Finance Charge Receivables) and the Principal Account (in the case of Collections of Principal Receivables (not including any Shared Principal Collections allocated to Series 2009-VFC1 pursuant to Section 4.15)), subject in either case
to the proviso to the next sentence. At any other time, amounts so allocated to the Investor Holders on each Date of Processing shall be deposited on that Date of Processing into the Finance Charge Account (in the case of Collections of Finance
Charge Receivables) and the Principal Account (in the case of Collections of Principal Receivables (not including any Shared Principal Collections allocated to Series 2009-VFC1 pursuant to Section 4.15)), provided that:
(x) so long as no draw has been made on the Cash Collateral Account and no Early Amortization Event has occurred with respect to each Monthly Period falling in the Revolving Period, Collections of Finance Charge Receivables shall be deposited
into the Finance Charge Account only until such time as the aggregate amount so deposited equals an amount (the “Target Amount”). 
 With respect to any Monthly Period when deposits of Collections of Finance Charge Receivables into the Finance Charge Account are limited in accordance with clause (i) of the preceding
proviso, notwithstanding such limitation: Collections of Finance Charge Receivables released to Transferor pursuant to such clause (i) shall be deemed, for purposes of all calculations under this Series Supplement, to have been
applied to the items specified in subsection 4.11(a), to which such amounts would have been applied (and in the priority in which they would have been applied) had such amounts been available in the Finance Charge Account on such Transfer
Date. Notwithstanding such clause (i) above, if on any Business Day Servicer determines that the Target Amount for a Monthly Period exceeds the Target Amount for that Monthly Period as previously calculated by Servicer, then
(x) Servicer shall (on the same Business Day) inform Transferor of such determination, and (y) within two Business Days of receiving such notice Transferor shall deposit into the Finance Charge Account funds in an amount equal to the
amount of Collections of Finance Charge Receivables allocated to the Investor Holders for that Monthly Period but not deposited into the Finance Charge Account due to the operation of such clause (i) (but not in excess of the amount
required so that the aggregate amount deposited for the subject Monthly Period equals the Target Amount). In addition, if on any Transfer Date the Transferor Amount will be less than the Specified Transferor Amount after giving effect to all
transfers and deposits on that Transfer Date, Transferor shall, on that Transfer Date, deposit into the Principal Account funds in an amount equal to the amounts of available funds that are required to be treated as Investor Principal Collections
pursuant to Sections 4.11(a)(vii) - (xii) but are not available from funds in the Finance Charge Account as a result of the operation of clause (i); and provided further that, except as provided in the immediately preceding
proviso, no funds shall be required to be deposited to the Principal Account pursuant to Sections 4.11(a)(vii) – (xii) unless such funds are required to make payments pursuant to Sections 4.11(c)(i) –
(iii) on the related Transfer Date. 
  

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 (e) On any date, Servicer may withdraw from the Collection Account or any Series Account any
amounts inadvertently deposited in such account that should have not been so deposited. 
 SECTION 4.8 Interest, Class A
Non-Use Fee and Breakage. (a) Pursuant to the Class A Certificate Purchase Agreement, certain Class A Ownership Interests may from time to time be divided into one or more subdivisions (each, as further specified in the
Class A Certificate Purchase Agreement, a “Class A Funding Tranche”) which will accrue interest on different bases. For Class A Funding Tranches that accrue interest by reference to a commercial paper rate or the London
interbank offered rate, a specified period (each, a “Fixed Period”) will be designated in the Class A Certificate Purchase Agreement during which that Class A Funding Tranche may accrue interest at a fixed rate.

 (b) In addition to Class A Monthly Interest, each Class A Holder (i) shall receive a monthly commitment fee (a
“Class A Non-Use Fee”) with respect to each Distribution Period (or portion thereof) falling in the Revolving Period in an amount specified for each Class A Ownership Interest in the Class A Fee Letter (as defined in the
Class A Certificate Purchase Agreement) and (ii) shall be entitled to receive certain other amounts identified as Class A Additional Amounts (such amounts, including Breakage Payments, being “Class A Additional
Amounts”) in the Class A Certificate Purchase Agreement. Class A Additional Amounts payable on any Distribution Date shall, so long as they equal less than 0.5% of the Weighted Average Class A Invested Amount over the related
Distribution Period, constitute “Class A Senior Additional Amounts.” Any Class A Additional Amounts payable on any Distribution Date in excess of the foregoing limitation shall constitute “Class A Subordinate Additional
Amounts.” 
 (c) If any distribution of principal is made with respect to any Class A Funding Tranche with a Fixed
Period and a fixed interest rate for such period other than on the last day of that Fixed Period, or if the Class A Funded Amount of any Class A Ownership Interest is reduced by an Optional Amortization Amount in an amount greater than the
amount (if any) specified in the Certificate Purchase Agreement with respect to that Class A Ownership Interest without the applicable number (as specified in the Certificate Purchase Agreement) of Business Days’ prior notice to the
affected Class A Holder, and in either case (i) the interest paid by the Class A Holder holding that Class A Funding Tranche to providers of funds to it to fund that Class A Funding Tranche exceeds (ii) returns earned
by that Class A Holder through the last day of that Fixed Period by redeployment of such funds in highly rated short-term money market instruments, then, upon written notice (which notice shall be signed by an officer of that Class A
Holder with knowledge of and responsibility for such matters and shall set forth in reasonable detail the basis for requesting the amounts, and shall be conclusive with respect to the amounts calculated thereon, absent manifest error) from such
Class A Holder to Servicer, such Class A Holder shall be entitled to receive additional amounts in the amount of such excess (each, a “Breakage Payment”) on the Distribution Date on or immediately succeeding the date such
distribution of principal is made with respect to that Class A Funding Tranche, so long as such written notice is received not later than noon, New York City time, on the Transfer Date related to such Distribution Date. For purposes of
calculations under this paragraph, any payment received by a Class A Holder later than noon, New York City time, on any day shall be deemed to have been received on the next day. 
  

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 SECTION 4.9 Determination of Monthly Principal. (a) The amount of monthly
principal (“Class A Monthly Principal”) distributable from the Principal Account with respect to the Class A Certificates (i) on each Transfer Date, beginning with the Transfer Date in the month following the month in
which the Controlled Amortization Period begins (unless an Early Amortization Period shall have commenced prior to such Transfer Date) shall be the least of (x) the Available Investor Principal Collections on deposit in the Principal Account
with respect to such Transfer Date, (y) the Class A Controlled Payment Amount allocated to the Class A Certificates for such Transfer Date plus any Unfunded Optional Amortization Amount for such Transfer Date and (z) the
Class A Invested Amount (after giving effect to any Class A Charge-Offs for such Transfer Date) and (ii) on each Transfer Date beginning with the Transfer Date in the month following the month in which the Early Amortization Period
begins, the lesser of (x) the Available Principal Collections on deposit in the Principal Account with respect to such Transfer Date and (y) the Class A Invested Amount (after giving effect to any Class A Charge-Offs for such
Transfer Date). 
 (b) The amount of monthly principal (“Class M Monthly Principal”) distributable from the
Principal Account with respect to the Class M Certificates shall be, on each Transfer Date beginning with the Transfer Date in the month following the month in which the Controlled Amortization Period first begins (or if earlier, the month in which
the Early Amortization Period begins) on which the Class A Funded Amount is zero (or would be zero after giving effect to the application of Optional Amortization Funds or Available Investor Principal collections on such Transfer Date), the
lesser of (x) the excess of the Available Principal Collections on deposit in the Principal Account with respect to such Transfer Date, over the Available Principal Collections applied to Class A Monthly Principal on such Transfer Date and
(y) the Class M Invested Amount (after giving effect to any Class M Investor Charge-Offs for such Transfer Date), provided that until the Class A Funded Amount is reduced to zero, the Class M Monthly Principal will be zero.

 (c) The amount of monthly principal (“Class B Monthly Principal”) distributable from the Principal Account
with respect to the Class B Certificates shall be, on each Transfer Date beginning with the first Transfer Date in the month following the month in which the Controlled Amortization Period begins (or, if earlier, the month in which the Early
Amortization Period begins) on which the Class A Funded Amount and the Class M Funded Amount are zero (or would be zero after giving effect to the application of Optional Amortization Funds or Available Investor Principal Collections on such
Transfer Date), the lesser of (x) the excess of the Available Principal Collections on deposit in the Principal Account with respect to such Transfer Date, over the Available Principal Collections applied to Class A Monthly Principal and
Class M Monthly Principal on such Transfer Date and (y) the Class B Invested Amount (after giving effect to any Class B Investor Charge-Offs for such Transfer Date), provided that until the Class A Funded Amount and the Class M Funded
Amount are reduced to zero, the Class B Monthly Principal will be zero. 
  

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 SECTION 4.10 Coverage of Required Amount. (a) On or before each Determination
Date, Servicer shall determine the amount (the “Class A Required Amount”) for the related Transfer Date, if any, by which the sum of (i) the Class A Monthly Interest for the related Distribution Period, plus for the
related Transfer Date (ii) the Class A Non-Use Fee, if any, for the related Distribution Period, plus (iii) the Class A Senior Additional Amounts, if any, for the related Transfer Date, plus (iv) the Investor
Servicing Fee for the prior Monthly Period, plus (v) any Class A Non-Use Fee, Class A Senior Additional Amounts and the Investor Servicing Fee included in the Class A Required Amount for any prior Transfer Date but not yet
paid exceeds the Available Funds for the related Monthly Period. The “Class A Monthly Interest” for any Distribution Period shall equal the aggregate amount of interest that accrued over that Distribution Period on each Class A
Funding Tranche (plus the aggregate amount of interest that accrued over any prior Distribution Period on any Class A Funding Tranche and has not yet been paid, plus additional interest (to the extent permitted by law) on such
overdue amounts at the Class A Certificate Rate (as defined in the Class A Certificate Purchase Agreement) applicable to the related Class A Ownership Interest during that Distribution Period, all as determined by Servicer on the
related Determination Date. For purposes of such determination, Servicer shall rely upon information provided by the various Class A Funding Agents pursuant to the Class A Certificate Purchase Agreement. The interest accrued on any
Class A Funding Tranche for any Distribution Period shall be determined using the applicable Funding Rate and shall equal the product of the Weighted Average Class A Funded Amount for that Class A Funding Tranche, the applicable
Funding Rate and the applicable Day Count Fraction. 
 (b) If the Class A Required Amount for such Transfer Date is greater
than zero, (i) Servicer shall give written notice to Trustee of such positive Class A Required Amount on or before such Transfer Date and (ii) the Available Cash Collateral Amount in an amount equal to the Class A Required
Amount, to the extent available for such purpose in accordance with Section 4.17(c), shall be distributed from the Cash Collateral Account on such Transfer Date pursuant to Section 4.17(c) to cover any deficiency in payments
pursuant to Sections 4.11(a)(i) – (iv), in the order of priority specified in Section 4.11(a). If the Class A Required Amount for such Transfer Date exceeds the Available Cash Collateral Amount with respect to such
Transfer Date, Reallocated Principal Collections with respect to the prior Monthly Period shall be applied as specified in Section 4.14. 
 (c) On or before each Transfer Date, Servicer shall determine the amount (the “Class M Required Amount”), if any, by which the sum of (i) the Class M Monthly Interest for the related
Distribution Period, plus for the related Transfer Date (ii) any Class M Monthly Interest included in the Class M Required Amount for any prior Transfer Date but not yet paid, exceeds the funds applied to pay such amounts pursuant to
Section 4.11(a)(v) for the related Monthly Period. The “Class M Monthly Interest” for any Distribution Period shall equal the aggregate amount of interest that accrued over that Distribution Period on the Class M Funded
Amount (plus the aggregate amount of interest that accrued over any prior Distribution Period on the Class M Funded Amount and has not yet been paid, plus additional interest (to the extent permitted by law) on such overdue amounts at
the Class M Certificate Rate (as defined in the Class M Certificate Purchase Agreement), all as calculated by Servicer in accordance with the Class M Certificate Purchase Agreement on the related Determination Date. For purposes of such
determination, Servicer shall rely upon information provided by the Class M Holders pursuant to the Class M Certificate Purchase Agreement. 
  

 28 

 (d) If the Class M Required Amount for such Transfer Date is greater than zero,
(i) Servicer shall give written notice to Trustee of such positive Class M Required Amount on or before such Transfer Date and (ii) the Available Cash Collateral Amount in an amount equal to the Class M Required Amount for such Transfer
Date, to the extent available for such purpose in accordance with Section 4.17(c), shall be distributed from the Cash Collateral Account on such Transfer Date pursuant to Sections 4.17(c) to cover any deficiency in payments
pursuant to Section 4.11(a)(v). If the Class M Required Amount for such Transfer Date exceeds the amount of the Available Cash Collateral Amount with respect to such Transfer Date, Reallocated Principal Collections with respect to the
prior Monthly Period shall be applied as specified in Section 4.14. 
 (e) On or before each Transfer Date, Servicer
shall determine the amount (the “Class B Required Amount”), if any, by which the sum of (i) the Class B Monthly Interest for the related Distribution Period, plus (ii) any Class B Monthly Interest included in the Class B
Required Amount for any prior Transfer Date but not yet paid, exceeds the funds applied to pay such amounts pursuant to Section 4.11(a)(vi) for the related Monthly Period. The “Class B Monthly Interest” for any
Distribution Period shall equal the aggregate amount of interest that accrued over that Distribution Period on each Class B Funded Amount (plus the aggregate amount of interest that accrued over any prior Distribution Period on the Class B
Funded Amount and has not yet been paid, plus additional interest (to the extent permitted by law) on such overdue amounts at the Class B Certificate Rate (as defined in the Class B Certificate Purchase Agreement), all as calculated by
Servicer in accordance with the Class B Certificate Purchase Agreement on the related Determination Date. For purposes of such determination, Servicer shall rely upon information provided by the Class B Holders pursuant to the Class B
Certificate Purchase Agreement. 
 (f) If the Class B Required Amount for such Transfer Date is greater than zero,
(i) Servicer shall give written notice to Trustee of such positive Class B Required Amount on or before such Transfer Date and (ii) the Available Cash Collateral Amount in an amount equal to the Class B Required Amount, to the extent
available for such purpose in accordance with Section 4.17(c), shall be distributed from the Cash Collateral Account on such Transfer Date pursuant to Section 4.17(c) to cover any deficiency in payments pursuant to
Section 4.11(a)(vi). 
 SECTION 4.11 Monthly Payments. On or before each Determination Date, Servicer shall
instruct Trustee in writing (which writing shall be substantially in the form of Exhibit B) to withdraw, and Trustee, acting in accordance with such instructions, shall withdraw on the related Transfer Date or the related Distribution Date, as
applicable, to the extent of available funds, the amounts required to be withdrawn from the Finance Charge Account, the Principal Account and the Distribution Account as follows: 
 (a) An amount equal to the Available Funds for the related Monthly Period will be distributed on each Transfer Date, to the extent
available, in the following priority: 
 (i) an amount equal to the unpaid Class A Monthly Interest shall be
deposited by Trustee into the Distribution Account for distribution to the Class A Holders in accordance with Section 5.1; 
  

 29 

 (ii) an amount equal to the unpaid Class A Non-Use Fee, if any, for the
related Distribution Period plus any Class A Non-Use Fee due but not paid to the Class A Holders on any prior Distribution Date shall be deposited by Trustee into the Distribution Account for distribution to the Class A Holders in
accordance with Section 5.1; 
 (iii) an amount equal to the Class A Senior Additional Amounts, if any,
for the related Distribution Period plus any Class A Senior Additional Amounts due but not paid to the Class A Holders on any prior Distribution Date shall be deposited by Trustee into the Distribution Account for distribution to
the Class A Holders in accordance with Section 5.1; 
 (iv) an amount equal to the Investor
Servicing Fee for such Transfer Date plus any Investor Servicing Fee due but not paid to Servicer on any prior Transfer Date shall be distributed to Servicer; 
 (v) an amount equal to the unpaid Class M Monthly Interest shall be deposited by Trustee into the Distribution Account for
distribution to the Class M Holders in accordance with Section 5.1; 
 (vi) an amount equal to the
unpaid Class B Monthly Interest shall be deposited by Trustee into the Distribution Account for distribution to the Class B Holders in accordance with Section 5.1; 
 (vii) an amount equal to the Class A Investor Default Amount, if any, for the preceding Monthly Period shall be treated
as a portion of Investor Principal Collections and, subject to Section 4.7(d), deposited into the Principal Account on such Transfer Date; 
 (viii) an amount equal to the aggregate amount of Class A Investor Charge-Offs which have not been previously reimbursed
will be treated as a portion of Investor Principal Collections, subject to Section 4.7(d), and deposited into the Principal Account on such Transfer Date; 
 (ix) an amount equal to the Class M Investor Default Amount, if any, for the preceding Monthly Period shall be treated as a
portion of Investor Principal Collections, subject to Section 4.7(d), and deposited into the Principal Account on such Transfer Date; 
 (x) an amount equal to the aggregate amount of Class M Investor Charge-Offs which have not been previously reimbursed will be treated as a portion of Investor Principal Collections, subject to
Section 4.7(d), and deposited into the Principal Account on such Transfer Date; 
 (xi) an
amount equal to the Class B Investor Default Amount, if any, for the preceding Monthly Period shall be treated as a portion of Investor Principal Collections, subject to Section 4.7(d), and deposited into the Principal Account on
such Transfer Date; 
 (xii) an amount equal to the aggregate amount of Class B Investor Charge-Offs which have
not been previously reimbursed will be treated as a portion of Investor

  

 30 

 
Principal Collections, subject to Section 4.7(d), and deposited into the Principal Account on such Transfer Date; 
 (xiii) an amount up to the excess, if any, of the Required Cash Collateral Amount (determined after all deposits,
withdrawals, reductions, payments and adjustments to be made with respect to such date) over the Available Cash Collateral Amount (without giving effect to any deposit made on such date hereunder) shall be deposited in the Cash Collateral Account;

 (xiv) an amount equal to the excess of the Spread Account Cap over the Spread Account Amount shall be
deposited into the Spread Account; 
 (xv) an amount equal to the aggregate Class A Subordinate Additional
Amounts will be paid to the Class A Holders; and, in the event of any shortfall in the amount of Available Funds available for distribution in respect of Class A Subordinate Additional Amounts, (x) Available Funds shall be allocated
ratably to each Class A Ownership Interest in accordance with its Class A Funded Amount and (y) any Available Funds allocated pursuant to clause (x) to any Class A Ownership Interest in excess of its Class A
Subordinate Additional Amounts shall be reallocated to each Class A Ownership Interest that has a remaining shortfall in the Excess Funds allocated to it pursuant to clause (x) in order to cover its Class A Subordinate
Additional Amounts, which reallocation shall be made ratably in accordance with the portion of the Class A Funded Amounts of all remaining Class A Ownership Interests represented by the Class A Funded Amount of such remaining
Class A Ownership Interest; 
 (xvi) an amount equal to all other amounts due under the Class M Certificate
Purchase Agreement shall be distributed in accordance with the Class M Certificate Purchase Agreement; 
 (xvii)
an amount equal to all other amounts due under the Class B Certificate Purchase Agreement shall be distributed in accordance with the Class B Certificate Purchase Agreement; and 
 (xviii) the balance, if any, after giving effect to the payments made pursuant to clauses (i) through
(xvii) shall constitute “Excess Finance Charge Collections” to be applied with respect to other Series in accordance with Section 4.5. 
 In the event of any shortfall in the amount of the Available Funds available for distribution in respect of Class A Monthly Interest, Class A Non-Use Fee or Class A Senior Additional
Amounts, (x) Available Funds shall be allocated ratably to each Class A Ownership Interest in accordance with its Class A Funded Amount and (y) any Available Funds allocated pursuant to clause (x) to any Class A
Ownership Interest in excess of the Class A Monthly Interest, Class A Non-Use Fee, Class A Senior Additional Amounts or Class A Subordinate Additional Amounts for such Class A Ownership Interest shall be reallocated to each
Class A Ownership Interest that has a remaining shortfall in the Available Funds allocated to it pursuant to clause (x) in order to cover its unpaid Class A Monthly Interest, Class A Non-Use Fee, Class A Senior Additional
Amounts or Class A Subordinate Additional Amounts, which reallocation shall be made ratably in accordance with the Class A Funded Amounts of all such remaining Class A Ownership Interests; 
  

 31 

 (b) During the Revolving Period, an amount equal to the Available Investor Principal
Collections for such Transfer Date shall be treated as Shared Principal Collections. 
 (c) During a Fixed Allocation Period, an
amount equal to the Available Investor Principal Collections for the related Monthly Period (including any amounts in the Excess Funding Account allocable to Series 2009-VFC1 in accordance with Sections 4.2 and 4.15(d)) will be
distributed on each Transfer Date, to the extent available, in the following priority: 
 (i) an amount equal to
the Class A Monthly Principal for such Transfer Date shall be deposited into the Distribution Account to be distributed by Trustee, in accordance with Section 5.1, to the Class A Holders on the corresponding Distribution Date;

 (ii) an amount equal to the Class M Monthly Principal for such Transfer Date shall be deposited into the
Distribution Account to be distributed by Trustee, in accordance with Section 5.1, to the Class M Holders on the corresponding Distribution Date; 
 (iii) an amount equal to the Class B Monthly Principal for such Transfer Date shall be deposited into the Distribution
Account to be distributed by Trustee, in accordance with Section 5.1, to the Class B Holders on the corresponding Distribution Date; and 
 (iv) an amount equal to the excess, if any, of (A) the Available Investor Principal Collections over (B) the applications specified in Sections 4.11(c)(i),(ii) and (iii) shall be
treated as Shared Principal Collections. 
 SECTION 4.12 Investor Charge-Offs. (a) On or before each Transfer Date,
Servicer shall calculate the Class A Investor Default Amount. If, on any Transfer Date, the Class A Investor Default Amount for the prior Monthly Period exceeds the sum of Available Funds allocated with respect thereto pursuant to
Section 4.11(a)(vii) the amount withdrawn from the Cash Collateral Account for such allocation pursuant to Section 4.17 with respect to such Monthly Period, the Class B Invested Amount will be reduced by the amount of such
excess, but not by more than the lesser of the remaining Class A Investor Default Amount for such Transfer Date and the Class B Invested Amount (after giving effect to reductions for any Class B Charge-Offs and any Reallocated Principal
Collections on such Transfer Date). If such reduction would cause the Class B Invested Amount to be a negative number, the Class B Invested Amount will be reduced to zero and the Class M Invested Amount will be reduced by the amount by which the
Class B Invested Amount (after giving effect to reductions for any Class B Charge-Offs and any Reallocated Principal Collections on such Transfer Date) would have been reduced below zero. If such reduction would cause the Class M Invested
Amount to be a negative number, the Class A Invested Amount will be reduced by the amount by which the Class M Invested Amount (after giving effect to reductions for any Class M Charge-Offs and any Reallocated Principal Collections for such
Transfer Date) would have been reduced below zero, but not by more than

  

 32 

 
the Class A Investor Default Amount for such Transfer Date (a “Class A Investor Charge-Off”). If the Class A Invested Amount has been reduced by the amount of any
Class A Investor Charge-Offs, it will be reimbursed on any Transfer Date (but not by an amount in excess of the aggregate Class A Investor Charge-Offs) by the amount of Available Funds allocated and available for such purpose, pursuant to
Section 4.11(a)(viii). 
 (b) On or before each Transfer Date, Servicer shall calculate the Class M Investor Default
Amount. If, on any Transfer Date, the Class M Investor Default Amount for the prior Monthly Period exceeds the sum of the Available Funds allocated with respect thereto pursuant to Section 4.11(a)(ix) and the amount withdrawn from the
Cash Collateral Account for such allocation pursuant to Section 4.17 with respect to such Monthly Period, the Class B Invested Amount (after giving effect to reductions for any Class B Charge-Offs and any Reallocated Principal Collections for
such Transfer Date) will be reduced by the amount of such excess, but not by more than the lesser of the remaining Class M Investor Default Amount for such Transfer Date and the Class B Invested Amount (after giving effect to reductions for any
Class B Charge-Offs and any Reallocated Principal Collections on such Transfer Date). If such reduction would cause the Class B Invested Amount to be a negative number, the Class B will be reduced to zero and the Class M Invested Amount will be
reduced by the amount by which the Class B Invested Amount would have been reduced below zero, but not by more than the Class M Investor Default Amount for such Transfer Date (a “Class M Investor Charge-Off”). If the Class M
Invested Amount has been reduced by the amount of any Class M Investor Charge-Offs, it will be reimbursed on any Transfer Date (but not by an amount in excess of the aggregate Class M Investor Charge-Offs) by the amount of Available Funds allocated
and available for such purpose, pursuant to Section 4.11(a)(x). 
 (c) On or before each Transfer Date, Servicer
shall calculate the Class B Investor Default Amount. If, on any Transfer Date, the Class B Investor Default Amount for the prior Monthly Period exceeds the amount of Available Funds allocated with respect thereto pursuant to
Section 4.11(a)(xi) (and funds on deposit in the Cash Collateral Account available to pay such amount pursuant to Section 4.17) which are available to fund such amount, the Class B Investor Interest will be reduced by the
amount of such excess, but not by more than the lesser of the Class B Investor Default Amount and the Class B Invested Amount for such Transfer Date (a “Class B Investor Charge-Off”). The Class B Invested Amount will also be reduced
by the amount of Reallocated Principal Collections pursuant to Section 4.14 and the amount of any portion of the Class B Invested Amount allocated to the Class A Certificates and Class M Certificate to avoid a reduction in the
Class A Invested Amount and Class M Certificate, pursuant to Section 4.12(a) and (b). The Class B Invested Amount will thereafter be reimbursed on any Transfer Date by the amount of the Available Funds allocated and available
for that purpose as described under Section 4.11(a)(xii). 
 SECTION 4.13 [Reserved]. 
 SECTION 4.14 Reallocated Principal Collections. On or before each Transfer Date, Servicer shall instruct Trustee in writing (which
writing shall be substantially in the form of Exhibit B) to, and Trustee in accordance with such instructions shall, withdraw Reallocated Principal Collections with respect to such Transfer Date from the Principal Account, in an amount equal
to the excess, if any, of (i) the sum of the Class A Required Amount, if any, plus

  

 33 

 
the Class M Required Amount, if any, with respect to such Transfer Date over (ii) the sum of (x) the amount of Available Funds with respect to the related Monthly Period and
(y) the Available Cash Collateral Amount with respect to such Transfer Date and such Reallocated Principal Collections shall be applied to fund any deficiency pursuant to and in the priority set forth in Section 4.11 after giving
effect to any withdrawal from the Cash Collateral Account to cover such payments. On each Transfer Date, the Class B Invested Amount shall be reduced by the amount of Reallocated Principal Collections applied on such Transfer Date. If such reduction
would cause the Class B Invested Amount (after giving effect to any Class B Charge-Offs for such Transfer Date) to be a negative number, the Class B Invested Amount (after giving effect to any Class B Charge-Offs for such Transfer Date) shall be
reduced to zero and the Class M Invested Amount shall be reduced by the amount by which the Reallocated Principal Collections applied on such Transfer Date exceed the Class B Invested Amount (after giving effect to any Class B Charge-Offs for such
Transfer Date). 
 SECTION 4.15 Shared Principal Collections; Amounts Transferred from the Excess Funding Account to the
Principal Account. (a) The portion of Shared Principal Collections on deposit in the Collection Account equal to the amount of Shared Principal Collections allocable to Series 2009-VFC1 on any Transfer Date shall be applied as Available
Investor Principal Collections pursuant to Section 4.11 and, pursuant to such Section 4.11, shall be deposited in the Distribution Account or distributed in accordance with the Certificate Purchase Agreements. 
 (b) Shared Principal Collections allocable to Series 2009-VFC1 with respect to any Transfer Date means an amount equal to the Principal
Shortfall, if any, with respect to Series 2009-VFC1 for such Transfer Date; provided that if the aggregate amount of Shared Principal Collections for all Series in Group One for such Transfer Date is less than the Cumulative Principal
Shortfall for such Transfer Date, then Shared Principal Collections allocable to Series 2009-VFC1 on such Transfer Date shall equal the product of (i) Shared Principal Collections for all Series in Group One for such Transfer Date and
(ii) a fraction, the numerator of which is the Principal Shortfall with respect to Series 2009-VFC1 for such Transfer Date and the denominator of which is the Cumulative Principal Shortfall for such Transfer Date. 
 (c) Solely for the purpose of determining the amount of Available Investor Principal Collections to be treated as Shared Principal
Collections on any Transfer Date allocable to other Series in Group One, on each Determination Date, Servicer shall determine the Class A Required Amount and Available Funds as of such Determination Date for the following Transfer Date.

 (d) The aggregate amount allocable to Series 2009-VFC1 which shall be required to be transferred from the Excess Funding
Account into the Principal Account with respect to any Transfer Date in a Fixed Allocation Period (commencing with the Transfer Date in the first calendar month after the calendar month in which the Fixed Allocation Period begins) shall equal the
Principal Shortfall, if any, with respect to Series 2009-VFC1 for such Transfer Date minus the amount of Shared Principal Collections allocated to Series 2009-VFC1 from other Series in Group One on that Transfer Date; provided that if
the aggregate amount required to be withdrawn from the Excess Funding Account pursuant to Section 4.2 for all Series (in each case, whether or not included in Group One) for such Transfer Date is less than the cumulative Principal
Shortfall minus available Shared Principal Collections for all Series (whether or not

  

 34 

 
included in Group One) for such Transfer Date, then the aggregate amount allocable to Series 2009-VFC1 and required to be transferred on such Transfer Date shall equal the product of (i) the
aggregate amount required to be withdrawn from the Excess Funding Account pursuant to Section 4.2 for all Series in Group One for such Transfer Date and (ii) a fraction, (A) the numerator of which is (A) the Principal
Shortfall with respect to Series 2009-VFC1 for such Transfer Date minus the amount of Shared Principal Collections allocated to Series 2009-VFC1 from other Series in Group One on that Transfer Date and (B) the denominator of which is the
Cumulative Principal Shortfall for all Series minus available Shared Principal Collections for such Transfer Date for all Series (in each case, whether or not included in Group One). 
 SECTION 4.16 Finance Charge Account, Principal Account and Distribution Account. 
 (a) Trustee shall establish and maintain with an Eligible Institution, which may be Trustee, in the name of the Trust, on behalf of the
Trust , as Series Accounts for the benefit of the Investor Holders, three segregated trust accounts with the corporate trust department of such Eligible Institution (the “Finance Charge Account”, the “Principal
Account” and the “Distribution Account”), bearing a designation clearly indicating that the funds deposited therein are held for the benefit of the Investor Holders. Trustee shall possess all right, title and interest in
all funds on deposit from time to time in the Finance Charge Account, the Principal Account and the Distribution Account and in all proceeds thereof. The Finance Charge Account, the Principal Account and the Distribution Account shall be under the
sole dominion and control of Trustee for the benefit of the Investor Holders. If at any time the institution holding the Finance Charge Account, the Principal Account and the Distribution Account ceases to be an Eligible Institution, Transferor
shall notify Trustee, and Trustee upon being notified (or Servicer on its behalf) shall, within 10 Business Days, establish a new Finance Charge Account, a new Principal Account and a new Distribution Account meeting the conditions specified
above with an Eligible Institution, and shall transfer any cash or any investments to such new Finance Charge Account, Principal Account and Distribution Account. Trustee, at the direction of Servicer, shall make withdrawals from the Finance Charge
Account, the Principal Account and the Distribution Account from time to time, in the amounts and for the purposes set forth in this Series Supplement and the Agreement. Trustee at all times shall maintain accurate records reflecting each
transaction in the Finance Charge Account, the Principal Account and the Distribution Account and that the funds held therein shall at all times be held in trust for the benefit of the Investor Holders. 
 (b) Funds on deposit in the Finance Charge Account and the Principal Account shall be invested at the specific written direction of Servicer
by Trustee in Eligible Investments. Funds on deposit in the Finance Charge Account and Principal Account on any Transfer Date, after giving effect to any withdrawals from the Principal Account on such Transfer Date, shall be invested in such
investments that will mature so that such funds will be available for withdrawal on or prior to the following Transfer Date. The Trustee shall maintain for the benefit of the Investor Holders possession of the negotiable instruments or securities,
if any, evidencing such Eligible Investments. Gains from such Eligible Investments shall be deposited into the Finance Charge Account and be treated as Finance Charge Receivables for purposes of this Series Supplement. No Eligible Investment shall
be disposed of prior to its maturity unless prior to the maturity of such Eligible Investment, a default occurs in the payment of principal, interest or any

  

 35 

 
other amount with respect to such Eligible Investment. On each Distribution Date, all interest and other investment earnings (net of losses and investment expenses) on funds on deposit in the
Finance Charge Account and the Principal Account shall be treated as Collections of Finance Charge Receivables allocable to Series 2009-VFC1 with respect to the last day of the related Monthly Period. 
 SECTION 4.17 Cash Collateral Account. (a) Servicer shall establish and maintain with an Eligible Institution, which, initially
shall be the Trustee, in the name of Trustee, as a Series Account on behalf of the Investor Holders, a segregated trust account (the “Cash Collateral Account”) bearing a designation clearly indicating that the funds deposited
therein are held for the benefit of the Investor Holders. In order to provide for the prompt payment to the Investor Holders, to assure availability of the amounts maintained in the Cash Collateral Account and as security for the performance by the
Transferor of its obligations hereunder, Transferor, on behalf of itself and its successors and assigns, and solely for the purpose of providing for payment of distributions provided for in Section 4.17(c), hereby grants a security
interest in and pledges to the Trustee and its successors and assigns, all right, title and interest in and to the Cash Collateral Account and all proceeds of the foregoing, including all securities, investments, general intangibles, financial
assets and investment property from time to time credited to and any security entitlement to the Cash Collateral Account subject to the limitations set forth below (all of the foregoing, subject to the limitations set forth in this section, the
“Cash Collateral Account Property”), to have and to hold all the aforesaid property, rights and privileges unto Trustee, its successors and assigns, in trust for the uses and purpose, and subject to the terms and provisions, set
forth in this Section. Trustee hereby acknowledges such transfer and accepts the trust hereunder and shall hold and distribute the Cash Collateral Account Property in accordance with the terms of this Section. Trustee shall possess all right, title
and interest in all funds on deposit from time to time in the Cash Collateral Account and in all proceeds thereof. The Cash Collateral Account shall be under the sole dominion and control of Trustee for the benefit of the Investor Holders. If at any
time an Eligible Institution holding the Cash Collateral Account ceases to be an Eligible Institution, Transferor shall notify Trustee, and Trustee upon being notified (or Servicer on its behalf) shall within 10 Business Days establish a new Cash
Collateral Account meeting the conditions specified above, and shall transfer any cash or any investments to such new Cash Collateral Account. Trustee, at the direction of Servicer, shall make deposits to and withdrawals from the Cash Collateral
Account in the amounts and at the times set forth in this Series Supplement. All withdrawals from the Cash Collateral Account shall be made in the priority set forth below. 
 (b) Funds on deposit in the Cash Collateral Account from time to time shall be invested and/or reinvested at the specific written direction
of Servicer by Trustee in Eligible Investments that will mature so that such funds will be available for withdrawal on the following Transfer Date. No Eligible Investment shall be disposed of prior to its maturity unless prior to the maturity of
such Eligible Investment, a default occurs in the payment of principal, interest or any other amount with respect to such Eligible Investment. Trustee shall maintain for the benefit of the Investor Holders possession of the negotiable instruments or
securities, if any, evidencing such Eligible Investments. On each Transfer Date, all interest and earnings (net of losses and investment expenses) accrued since the preceding Transfer Date on funds on deposit in the Cash Collateral Account shall be
treated as Collections of Finance Charge Receivables allocated to the Invested Amount and shall be part of Available Funds for such Transfer Date. For purposes of

  

 36 

 
determining the availability of funds or the balances in the Cash Collateral Account for any reason under this Series Supplement, all investment earnings on such funds shall be deemed not to be
available or on deposit. 
 (c) On the Closing Date, Transferor shall make an initial deposit of $73,333,334 into the Cash
Collateral Account. On each Determination Date, Servicer shall calculate the amount (the “Required Draw Amount”) by which the sum of the amounts specified in clauses (i) through (xii) of Section 4.11(a) with
respect to the related Transfer Date exceeds the amount of Available Funds allocated with respect to the related Monthly Period. In the event that for any Transfer Date the Required Draw Amount is greater than zero, Servicer shall give written
notice to Trustee and the Investor Holders of such positive Required Draw Amount on the related Determination Date. On the related Transfer Date, the Required Draw Amount, if any, up to the Available Cash Collateral Amount, shall be withdrawn from
the Cash Collateral Account and distributed to fund any deficiency pursuant to Section 4.11(a(i)) through (xii) (in the order of priority set forth in Section 4.11(a)). 
 (d) If, after giving effect to all deposits to and withdrawals from the Cash Collateral Account with respect to any Transfer Date, the
amount on deposit in the Cash Collateral Account exceeds the Required Cash Collateral Amount, Trustee, acting in accordance with the instructions of Servicer, shall withdraw an amount equal to such excess from the Cash Collateral Account, and
(i) deposit such amounts in the Spread Account, to the extent that the Spread Account Amount is less than the Spread Account Cap and (ii) distribute such amounts remaining after application pursuant to subsection 4.20(c) to the
Transferor. 
 SECTION 4.18 Transferor’s or Servicer’s Failure to Make a Deposit or Payment. If Servicer or
Transferor fails to make, or give instructions to make, any payment or deposit required to be made or given by Servicer or Transferor, respectively, at the time specified in the Agreement (including applicable grace periods), Trustee shall make such
payment or deposit from the Finance Charge Account, the Excess Funding Account, the Cash Collateral Account, the Principal Account or the Distribution Account without instruction from Servicer or Transferor. Trustee shall be required to make any
such payment, deposit or withdrawal hereunder only to the extent that Trustee has sufficient information to allow it to determine the amount thereof. The Trustee shall have no liability for failing to make a payment in the event it reasonably
believes it has insufficient information to allow it to determine the amount thereof. Servicer shall, upon request of Trustee, promptly provide Trustee with all information necessary to allow Trustee to make such payment, deposit or withdrawal. Such
funds or the proceeds of such withdrawal shall be applied by Trustee in the manner in which such payment or deposit should have been made by Transferor or Servicer, as the case may be. 
 SECTION 4.19 Interchange. On or prior to each Determination Date, Transferor shall cause RPA Seller to notify Servicer of the Account
Interchange Amount (as defined in the Receivable Purchase Agreement). The portion of the Account Interchange Amount to be allocated to the Investor Holders for each Monthly Period (the “Investor Interchange Amount”) shall be equal
to the product of: 
 (a) the Account Interchange Amount (as defined in the Receivable Purchase Agreement); and 
  

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 (b) the Floating Allocation Percentage for such Monthly Period (or, if a Reset Date occurs
during such Monthly Period, the average Floating Allocation Percentage for such Monthly Period determined as the quotient of the summation of the Floating Allocation Percentages for all days during such Monthly Period, divided by the number of days
in such Monthly Period). 
 On each Transfer Date, Transferor shall pay to Servicer, and, unless the Target Amount shall have
been met pursuant to Section 4.7(d), Servicer shall deposit into the Finance Charge Account, in immediately available funds, an amount equal to the Investor Interchange Amount to be included as Collections of Finance Charge Receivables
allocable to the Investor Holders with respect to the related Monthly Period. 
 SECTION 4.20 Spread Account.
(a) Not later than the Closing Date, the Servicer shall establish and maintain with an Eligible Institution, which shall initially be the Trustee, in the name of the Trustee, on behalf of the Trust (the “Spread Account”)
bearing a designation clearly indicating that the funds deposited therein are held for the benefit of the Class B Holders and the Transferor. In the event that at any time the financial institution holding the Spread Account shall fail to be an
Eligible Institution, the Servicer may direct the Spread Account to be moved to an Eligible Institution and all funds on deposit in the Spread Account be transferred to such new Spread Account at such Eligible Institution, whereupon such new Spread
Account shall constitute the Spread Account hereunder. Except as otherwise provided in this Agreement, the Class B Holders shall possess all right, title and interest in all funds on deposit from time to time in the Spread Account and in all
proceeds thereof. Except as otherwise provided in this Agreement, the Spread Account shall be under the sole dominion and control of the Trustee, on behalf of the Class B Holders and the Transferor. On or prior to the Closing Date, the Transferor
shall deposit into the Spread Account an amount equal to the Initial Spread Account Deposit Amount. On or prior to each Incremental Funding, the Transferor shall deposit into the Spread Account an amount equal to the excess, if any, of the Spread
Account Cap (after giving effect to the Incremental Funding to take place on such date) and the Spread Account Amount on such date. 
 (b) Funds on deposit in the Spread Account shall be invested at the specific written direction of the Servicer in Eligible Investments; provided, however, that for purposes of the investment of funds on deposit in the Spread Account,
references in the definition of “Eligible Investments” to “highest investment category” shall be modified to require a rating of not lower than “A-2” in the case of Standard & Poor’s, “P-2” in
the case of Moody’s or the equivalent rating in the case of any other rating agency. Funds on deposit in the Spread Account on any Transfer Date, after giving effect to any withdrawals from and deposits to the Spread Account on such Transfer
Date, shall be invested in such investments that will mature so that such funds will be available for withdrawal on or prior to the following Transfer Date. The holder of the Spread Account shall maintain for the benefit of the Class B Holders and
the Transferor possession of the negotiable instruments or securities, if any, evidencing the investment of funds in the Spread Account in Eligible Investments. On each Transfer Date (but subject to Section 4.20(c)), the Investment
Earnings, if any, accrued since the preceding Transfer Date on funds on deposit in the Spread Account shall be paid to the Transferor by the holder of the Spread Account and for purposes of determining the availability of funds or the balance in the
Spread Account for any

  

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reason under this Agreement, all Investment Earnings shall be determined not to be available or on deposit. 
 (c) If, on any Transfer Date, the aggregate amount available for distribution pursuant to Section 4.11(a) and 4.17 is less than the Class B Required Amount, the Servicer shall direct
the holder of the Spread Account to withdraw the amount of such deficiency, up to the Spread Account Amount and, if the Spread Account Amount is less than such deficiency, Investment Earnings credited to the Spread Account, from the Spread Account
and distribute such amount to the Class B Holders. If on any Transfer Date, after giving effect to all withdrawals from, and deposits to, the Spread Account, the amount on deposit in the Spread Account (excluding Investment Earnings) would exceed
the Spread Account Cap then in effect, the Servicer shall direct the holder of the Spread Account to release such excess to the Transferor. On the date on which all amounts payable to the Class B Holders pursuant to the Class B Certificate Purchase
Agent have been paid in full, the Servicer shall direct the holder of the Spread Account to withdraw all amounts then remaining in the Spread Account (including Investment Earnings) and pay such amounts to the Transferor. 
 SECTION 9. Article V of the Agreement. Article V of the Agreement shall read in its entirety as follows and shall be applicable only
to the Investor Holders: 
 ARTICLE V DISTRIBUTIONS AND REPORTS TO INVESTOR HOLDERS 
 SECTION 5.1 Distributions. On each Distribution Date, Refinancing Date and Optional Amortization Date Trustee shall distribute (in accordance
with the certificate delivered on or before the related Transfer Date by Servicer to Trustee pursuant to Section 3.4), to each Investor Holder of record on the immediately preceding Record Date (other than as provided in
Section 2.5 or Section 12.2 respecting a final distribution) such Investor Holder’s portion (determined in accordance with Article IV and Section 4(b) of this Series Supplement) of amounts on deposit
in the Distribution Account. Distributions of Investor Monthly Interest, Class A Non-Use Fee and Class A Additional Amounts shall be made to each applicable Investor Holder in an amount equal to the amount payable to each or, if less, the
aggregate amount allocated for such payment pursuant to Sections 4.11(a). Except as permitted by Section 4(b), all distributions with respect to principal shall be made on a pro rata basis. All such payments shall be made by wire
transfer of immediately available funds, provided that the Paying Agent, not less than five Business Days prior to the Record Date relating to the first distribution to such Investor Holder, has been furnished with appropriate wiring instructions in
writing. 
 SECTION 5.2 Reports. 
 (a) Monthly Series 2009-VFC1 Servicer’s Certificate. On or before each Distribution Date, Trustee shall forward to each Investor Holder a statement substantially in the form of Exhibit C
prepared by Servicer, delivered to Trustee. 
 (b) Annual Holders’ Tax Statement. On or before January 31 of
each calendar year, beginning with calendar year 2010, Trustee shall distribute to each Person who at any time during the preceding calendar year was an Investor Holder, a statement prepared by Servicer setting out the amount of interest and
principal distributed to such Investor Holder with respect

  

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to its Certificates, during such preceding calendar year or the applicable portion thereof during which such Person was an Investor Holder together with such other customary information
(consistent with the treatment of the Class A Certificates as debt) as Servicer deems necessary or desirable to enable the Investor Holders to prepare their tax returns. Such obligations of Trustee shall be deemed to have been satisfied to the
extent that substantially comparable information shall be provided by Trustee pursuant to any requirements of the Internal Revenue Code. 
 SECTION 10. Early Amortization Events. If any one of the following events shall occur with respect to the Investor Certificates: 
 (a) failure on the part of Transferor (i) to make any payment or deposit required by the terms of (A) the Agreement, (B) this
Series Supplement or (C) the Certificate Purchase Agreements, on or before the date occurring five days after the date such payment or deposit is required to be made herein or therein or (ii) duly to observe or perform in any material
respect any covenants or agreements of Transferor set forth in the Agreement, this Series Supplement or the Certificate Purchase Agreements, which failure (in the case of this clause (ii)) has a material adverse effect on the Investor Holders
(which determination shall be made without reference to whether any funds are available under the Cash Collateral Amount) and which continues unremedied for a period of 30 days after the date on which written notice of such failure, requiring the
same to be remedied, shall have been given to Transferor by Trustee, or to Transferor and Trustee by the Majority Series Holders, and continues to affect materially and adversely the interests of the Investor Holders (which determination shall be
made without reference to whether any funds are available under the Cash Collateral Amount) for such period; 
 (b) any
representation or warranty made by Transferor in the Agreement or this Series Supplement, or any information contained in an Account Schedule required to be delivered by Transferor pursuant to Section 2.1 or 2.6, (i) shall
prove to have been incorrect in any material respect when made or when delivered, which continues to be incorrect in any material respect for a period of 30 days after the date on which written notice of such failure, requiring the same to be
remedied, shall have been given to Transferor by Trustee, or to Transferor and Trustee by the Majority Series Holders, and (ii) as a result of which the interests of the Investor Holders are materially and adversely affected (which
determination shall be made without reference to whether any funds are available under the Cash Collateral Account) and continue to be materially and adversely affected for such period; provided that an Early Amortization Event pursuant to
this Section 10(b) shall not be deemed to have occurred hereunder if Transferor has accepted reassignment of the related Receivable, or all of such Receivables, if applicable, during such period in accordance with the provisions of the
Agreement; 
 (c) the average of the Excess Spread Percentages for any three consecutive Monthly Periods is less than zero;

 (d) Transferor shall fail to convey Receivables arising under Additional Accounts, or Participations, to the Trust, as
required by Section 2.8(b); provided that such failure shall not give rise to an Early Amortization Event if, prior to the date on which such conveyance was required to be completed, Transferor causes a reduction in the Invested
Amount to occur, so that, after giving effect to that reduction (i) the Transferor Amount is not less than the Minimum

  

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Transferor Amount and (ii) the sum of the aggregate amount of Principal Receivables plus amounts on deposit in the Excess Funding Account is not less than the Required Principal Balance;

 (e) any Servicer Default shall occur; 
 (f) the Invested Amount shall not be paid in full on the Scheduled Final Payment Date; 
 (g) [Reserved]; 
 (h) a Conduit Downgrade Event shall occur; 
 (i) [Reserved]; 
 (j) the Pension Benefit Guaranty Corporation shall file notice of a lien pursuant to Section 4068 of the Employee Retirement Income Security Act of 1974 with regard to any of the assets of WFN, which lien shall secure a liability in
excess of $10,000,000 and shall not have been released within 40 days; 
 (k) [Reserved]; or 
 (l) a Change in Control has occurred; 
 then, (x) in the case of any event described in Sections 10(a), (b), (e), (h), (i), (j), (k) or (l) of this Series Supplement, after the applicable grace period set forth in such Sections, either Trustee or the
Investor Holders by notice then given in writing to Transferor and Servicer (and to Trustee if given by the Investor Holders) may declare that an early amortization event (an “Early Amortization Event”) has occurred as of the date
of such notice, and (y) in the case of any event described in Section 10(c), (d), (f) or (g) of this Series Supplement, an Early Amortization Event shall occur without any notice or other action on the part of Trustee or
the Investor Holders immediately upon the occurrence of such event, unless such event shall be waived by the Investor Holders. 
 SECTION 11. Series 2009-VFC1 Termination. The right of the Investor Holders to receive payments from the Trust will terminate on the first Business Day following the Series 2009-VFC1 Termination Date. 
 SECTION 12. Periodic Finance Charges and Other Fees. Transferor hereby agrees that, except as otherwise required by any Requirement
of Law, or as is deemed by Transferor to be necessary in order for Transferor to maintain its credit card business, based upon a good faith assessment by Transferor, in its sole discretion, of the nature of the competition in the credit card
business, it shall not at any time reduce the Periodic Finance Charges assessed on any Receivable or other fees on any Account if, as a result of such reduction, Transferor’s reasonable expectation of the Portfolio Yield as of such date would
be less than the then Base Rate. 
  

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 SECTION 13. Limitations on Addition of Approved Portfolios. Subject to
Section 2.8, Transferor may designate additional Approved Portfolios if on or prior to the Addition Date related to any Account in such Approved Portfolio, (a) such designation shall be consented to in writing by each Investor Holder and
(b) Transferor shall have provided the Investor Holders with an Officer’s Certificate certifying that the designation of such Approved Portfolios, as of the related Addition Date (and after giving effect to such designation) is not
reasonably expected to cause an Early Amortization Event. 
 SECTION 14. Counterparts. This Series Supplement may be
executed in any number of counterparts, each of which when so executed shall be deemed to be an original, but all of which counterparts shall together constitute but one and the same instrument. 
 SECTION 15. Governing Law. THIS SERIES SUPPLEMENT SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT
REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
 SECTION 16. Additional Reports and Notices. On each Determination Date, Servicer shall provide copies of each Monthly Report to the Investor Holders. In addition, upon request by any Investor
Holder, Servicer shall make Daily Reports available at the office of Servicer for inspection by such Investor Holder on the days specified in Section 3.4(a). Promptly following its receipt, Trustee shall provide copies to each
Class A Holder of each notice Trustee receives from the Class M Holders, the Class B Holders or the Servicer (excluding Monthly Reports and Daily Reports). Items required to be delivered to Class A Holders pursuant to this
Section 16 shall be delivered to the address of such Class A Holder specified for notices in the Class A Certificate Purchase Agreement. 
 SECTION 17. Additional Provisions. Notwithstanding anything to the contrary in the Agreement, until the Series 2009-VFC1 Termination Date: 
 (a) Trustee shall not agree to any extension of the 60 day periods referred to in Section 2.5, 2.6 or 3.3; 
 (b) Servicer shall, in connection with each designation of Removed Accounts pursuant to Section 2.9(b), prepare and provide Trustee
prior to the transfer of such Removed Accounts, and Trustee shall forward to each Investor Holder, a statement substantially in the form of Exhibit C for each of the three Monthly Periods preceding such designation as if the Receivables in such
Removed Accounts never existed. 
 (c) Without the consent of each Investor Holder (which consent shall not be unreasonably
withheld or delayed), Transferor shall not (i) engage in any transaction described in Section 6.3(d) or 7.2, (ii) designate additional or substitute Transferors or Credit Card Originators as permitted by
Section 2.11 or 2.12, (iii) increase the percentage of Principal Receivables referred to in the proviso to clause (f) of the definition of “Eligible Account”, (iv) purchase any Investor Certificate
(as defined in the Agreement) unless such Investor Certificate is promptly retired, in accordance with the applicable Supplement, (v) amend any Transaction Document in a manner that adversely affects the Investor Holders, (vi) amend the
Agreement to permit the addition of receivables arising in VISA, MasterCard or any other type of open end revolving credit card account other than those an Approved Portfolio as of the date hereof and (vii) amend this Series Supplement.

  

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 (d) [Reserved]. 
 (e) Notwithstanding the provisions of Section 3.9(a), the deposits into the Excess Funding Account required by the penultimate
sentence of the first grammatical paragraph of that Section shall be made not later than the Business Day following the day on which the Transferor Amount falls below the Specified Transferor Amount. Amounts deposited in the Excess Funding Account
pursuant to this Section 17(e) shall be deemed for all purposes of the Agreement to have been deposited pursuant to such penultimate sentence. 
 (f) Upon the occurrence of a Merchant Bankruptcy (other than with respect to Service Merchandise), WFN shall cause such Merchant to either segregate or stop In-Store Payments until such time as the Credit
Card Processing Agreement of such Merchant is assumed by the trustee, debtor-in-possession, receiver, custodian or other similar official in the insolvency proceeding of that Merchant. 
 (g) Notwithstanding Section 4.4, during any Amortization Period for any Series, Transferor may not apply Shared Principal Collections
as principal with respect to any Variable Interest (including Series 2009-VFC1), unless such application of principal is made on any Transfer Date or related Distribution Date in connection with the application of Shared Principal Collections
pursuant to Section 4.15 (and for purposes of such application pursuant to Section 4.15, the Principal Shortfall for any Variable Interest shall not include amounts required for any optional amortization amount). 
 (h) The Additional Minimum Transferor Amount is hereby specified as an additional amount to be considered part of the Minimum Transferor
Amount pursuant to clause (b) of the definition of Minimum Transferor Amount. 
 (i) The Transferor shall deposit
into the Collection Account all amounts received from WFN on account of merchant fees and discounts relating to the Accounts on the date received from WFN. Such amount shall be treated as Collections of Finance Charge Receivables and allocated in
accordance with Article IV. 
 SECTION 18. Amendments to the Agreement. Section 6.3(b)(iv) of the Agreement
shall read in its entirety as follows “(iv) the Rating Agency Condition shall have been satisfied with respect to such issuance;”. 
 SECTION 19. No Petition. Servicer, Transferor (with respect to the Trust only) and Trustee, by entering into this Series Supplement, and each Holder, by accepting a Series 2009-VFC1 Certificate,
hereby covenant and agree that they will not at any time institute against the Trust, or join in any institution against the Trust or the Transferor of, any bankruptcy proceedings under any United States Federal or state bankruptcy or similar law in
connection with any obligations relating to the Investor Holders, the Agreement or this Series Supplement. 
  

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 SECTION 20. GAAP Sale. The parties hereto intend the transfers of Receivables under
the Agreement to be treated as a sale, and not a secured borrowing, for accounting purposes. 
  

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 IN WITNESS WHEREOF, Transferor, Servicer and Trustee have caused this Series Supplement to
be duly executed by their respective officers as of the day and year first above written. 
  

			
	WFN CREDIT COMPANY, LLC, as Transferor
		
	By:	 	/s/ Daniel T. Groomes
		 	Name: Daniel T. Groomes
		 	Title: President
	
	WORLD FINANCIAL NETWORK NATIONAL BANK, as Servicer
		
	By:	 	/s/ Ronald C. Reed
		 	Name: Ronald C. Reed
		 	Title: Assistant Treasurer
	
	UNION BANK, N.A., not in its individual capacity, but solely as Trustee
		
	By:	 	/s/ Eva Aryeetey
		 	Name: Eva Aryeetey
		 	Title: Vice President

  

					
		 	S-1	  	Series 2009-VFC1 Supplement

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