Document:

exv4wxfyx112y

INTERCREDITOR AGREEMENT

     This Intercreditor Agreement (this “Agreement”), dated May 23, 2008, is among Credit
Acceptance Corporation (“CAC”), CAC Warehouse Funding Corporation II (“Warehouse
Funding”), Credit Acceptance Funding LLC 2006-2 (“Funding 2006-2”), Credit Acceptance
Auto Dealer Loan Trust 2006-2 (the “2006-2 Trust”), Credit Acceptance Funding LLC 2007-1
(“Funding 2007-1”), Credit Acceptance Auto Dealer Loan Trust 2007-1 (the “2007-1
Trust”), Credit Acceptance Funding LLC 2007-2 (“Funding 2007-2”), Credit Acceptance
Auto Dealer Loan Trust 2007-2 (the “2007-2 Trust”), Credit Acceptance Funding LLC 2008-1
(“Funding 2008-1”), Credit Acceptance Auto Loan Trust 2008-1 (the “2008-1 Trust”),
Wachovia Capital Markets, LLC, as deal agent and collateral agent under the Wachovia Securitization
Documents (“Wachovia”), Deutsche Bank Trust Company Americas, as indenture trustee and
trust collateral agent under the 2006-2 Securitization Documents (in either such capacity, the
“2006-2 Trustee”, as the context requires), Wells Fargo Bank, National Association, as
indenture trustee and trust collateral agent under the 2007-1 Securitization Documents (in either
such capacity, the “2007-1 Trustee”, as the context requires), Wells Fargo Bank, National
Association, as indenture trustee and trust collateral agent under the 2007-2 Securitization
Documents (in either such capacity, the “2007-2 Trustee”, as the context requires), Wells
Fargo Bank, National Association, as indenture trustee and trust collateral agent under the 2008-1
Securitization Documents (in either such capacity, the “2008-1 Trustee”, as the context
requires), Comerica Bank, as agent under the CAC Credit Facility Documents (“Comerica”),
CAC Warehouse Funding III, LLC (“Warehouse Funding III”), Fifth Third Bank, as agent under the
Fifth Third Securities Documents (“Fifth Third’) and each other creditor who becomes a party
hereto after the date hereof.

     Capitalized terms used but not otherwise defined herein shall have the meaning set forth in
Appendix A attached hereto and made part of this Agreement.

Background

     A. Pursuant to the terms of the various Dealer Agreements between CAC and the Dealers,
Collections from a particular Pool are first used to pay certain collection costs, CAC’s servicing
fee and to pay back the Pool’s Advance balance. After the Advance balance under such Pool has been
reduced to zero, the Dealer to whom the Pool relates has a contractual right under the related
Dealer Agreement to receive a portion of any further Collections with respect to the Pool (such
portion of further Collections otherwise payable to the Dealer is referred to herein as
“Back-end Dealer Payments”), subject to CAC’s right of offset as described in paragraph I
below.

     B. CAC has granted a security interest in CAC’s rights with respect to its Pools (to the
extent not released) and related assets generally under the CAC Credit Facility Documents to
Comerica, as collateral agent for the banks which are parties thereto.

     C. CAC, Wachovia and certain other parties entered into a transaction as set forth
in the Wachovia Securitization Documents (the “Wachovia Securitization”) pursuant to which
the security interest with respect to certain specifically identified Pools, Purchased Loans and
related assets was (and during the revolving period under the Wachovia Securitization Documents
will be) released by Comerica, CAC contributed (and will contribute) such Pools, Purchased Loans

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and related assets to its wholly-owned subsidiary, Warehouse Funding, and Warehouse Funding
granted Wachovia, in its capacity as collateral agent, a security interest in Warehouse Funding’s
rights to such Pools, Purchased Loans and related assets (such Pools, Purchased Loans and related
assets are referred to herein as the “Wachovia Loans”).

     D. CAC and the 2006-2 Trustee entered into a transaction as set forth in the 2006-2
Securitization Documents (the “2006-2 Securitization”) pursuant to which the security
interest with respect to certain specifically identified Pools and related assets was (and during
the revolving period under the 2006-2 Securitization Documents will be) released by Comerica, CAC
sold and contributed (and will be selling and contributing) such Pools and related assets to its
wholly-owned subsidiary, Funding 2006-2, which subsequently sold (and will sell) such Pools and
related assets to the 2006-2 Trust, a trust the depositor of which is Funding 2006-2, and the
2006-2 Trust granted the 2006-2 Trustee a security interest in its right, title and interest in and
to such Pools and related assets (such Pools and related assets are referred to herein as the
“2006-2 Pools”).

     E. CAC and the 2007-1 Trustee entered into a transaction as set forth in the 2007-1
Securitization Documents (the “2007-1 Securitization”) pursuant to which the security
interest with respect to certain specifically identified Pools and related assets was (and during
the revolving period under the 2007-1 Securitization Documents will be) released by Comerica, CAC
sold and contributed (and will be selling and contributing) such Pools and related assets to its
wholly-owned subsidiary, Funding 2007-1, which subsequently sold (and will sell) such Pools and
related assets to the 2007-1 Trust, a trust the depositor of which is Funding 2007-1, and the
2007-1 Trust granted the 2007-1 Trustee a security interest in its right, title and interest in and
to such Pools and related assets (such Pools and related assets are referred to herein as the
“2007-1 Pools”).

     F. CAC and the 2007-2 Trustee entered into a transaction as set forth in the 2007-2
Securitization Documents (the “2007-2 Securitization”) pursuant to which the security
interest with respect to certain specifically identified Pools and related assets was (and during
the revolving period under the 2007-2 Securitization Documents will be) released by Comerica, CAC
sold and contributed such Pools and related assets to its wholly-owned subsidiary, Funding 2007-2,
which subsequently sold such Pools and related assets to the 2007-2 Trust, a trust the depositor of
which is Funding 2007-2, and the 2007-2 Trust granted the 2007-2 Trustee a security interest in its
right, title and interest in and to such Pools and related assets (such Pools and related assets
are referred to herein as the “2007-2 Pools”).

     G. CAC and the 2008-1 Trustee entered into a transaction as set forth in the 2008-1
Securitization Documents (the “2008-1 Securitization”) pursuant to which the security
interest with respect to certain specifically identified Pools, Purchased Loans and related assets
has been (and during the revolving period under the 2008-1 Securitization Documents will be)
released by Comerica, CAC sold and contributed such Pools, Purchased Loans and related assets to
its wholly-owned subsidiary, Funding 2008-1, which subsequently sold such Pools, Purchased Loans
and related assets to the 2008-1 Trust, a trust the depositor of which is Funding 2008-1, and the
2008-1 Trust granted the 2008-1 Trustee a security interest in its right, title and interest in and
to such Pools and related assets (such Pools, Purchased Loans and related assets are referred to
herein as the “2008-1 Loans”).

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     H. CAC, Fifth Third and certain other parties are entering into a transaction as set forth in
the Fifth Third Bank Securitization Documents (the “Fifth Third Securitization”) pursuant
to which the security interest with respect to certain specifically identified Pools, Purchased
Loans and related assets will be (and during the revolving period under the Fifth Third
Securitization Documents will be) released by Comerica, CAC is selling and contributing (and will
contribute) such Pools, Purchased Loans and related assets to its wholly-owned subsidiary,
Warehouse Funding III, and Warehouse Funding III is granting Fifth Third, in its capacity as
collateral agent, a security interest in Warehouse Funding III’s rights to such Pools, Purchased
Loans and related assets (such Pools, Purchased Loans and related assets are referred to herein as
the “Fifth Third Loans”).

     I. Comerica retains a security interest in Pools, Purchased Loans and related assets which (i)
have not been (and will not be) released, and a security interest encumbering such Pools, Purchased
Loans and related assets has not been (and will not be) granted to Wachovia pursuant to the
Wachovia Securitization, (ii) have not been (and will not be) released, and a security interest
encumbering such Pools, Purchased Loans and related assets has not been (and will not be) granted
to the 2006-2 Trustee, pursuant to the 2006-2 Securitization, (iii) have not been (and will not be)
released, and a security interest encumbering such Pools, Purchased Loans and related assets has
not been (and will not be) granted to the 2007-1 Trustee, pursuant to the 2007-1 Securitization,
(iv) have not been (and will not be) released, and a security interest encumbering such Pools,
Purchased Loans and related assets has not been (and will not be) granted to the 2007-2 Trustee,
pursuant to the 2007-2 Securitization, (v) have not been (and will not be) released, and a security
interest encumbering such Pools, Purchased Loans and related assets has not been (and will not be)
granted to the 2008-1 Trustee, pursuant to the 2008-1 Securitization, and (vi) are not being (and
will not be) released, and a security interest encumbering such Pools, Purchased Loans and related
assets is not being (and will not be) granted to Fifth Third Bank pursuant to the Fifth Third
Securitization (such unreleased Pools, Purchased Loans and related assets are referred to herein as
the “Comerica Loans”).

     J. The Dealer Agreements permit CAC and its assignees, under certain circumstances, to set off
any Collections received with respect to any Pool of a Dealer against Advances under other Pools of
that Dealer or Purchased Loans from the Dealer and such set off rights are authorized and permitted
under the CAC Credit Facility Documents, the Wachovia Securitization Documents, the 2006-2
Securitization Documents, the 2007-1 Securitization Documents, the 2007-2 Securitization Documents,
the 2008-1 Securitization Documents and the Fifth Third Securitization Documents.

     K. The parties hereto acknowledge that the rights of CAC or its assigns, pursuant to the
Dealer Agreements, to set off Collections received with respect to a Pool, or Purchased Loans
against the outstanding balance under any other Pool or Purchased Loans are not intended, and
should not be permitted, to be used to prejudice the collateral position of any of the parties
hereto, and therefore the exercise of such rights should be limited to Back-end Dealer Payments.

     In consideration of the mutual premises and promises set forth herein and other good and
valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties
agree as follows:

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Agreements

     1. Confirmation. Notwithstanding any statement or provision contained in the
Financing Documents or otherwise to the contrary, and irrespective of the time, order or method of
attachment or perfection of security interests granted pursuant to the Financing Documents,
respectively, or the time or order of filing or recording of any financing statements, or other
notices of security interests, liens or other interests granted pursuant to the Financing
Documents, respectively, or the giving of or failure to give notice of the acquisition or expected
acquisition of purchase money or other security interests, and irrespective of anything contained
in any filing or agreement to which any Creditor may now or hereafter be a party and irrespective
of the ordinary rules for determining priority under the Uniform Commercial Code or under any other
law governing the relative priorities of secured creditors, subject, however, to the terms and
conditions of this Agreement:

     (a) Release by Wachovia. Wachovia, as the collateral agent, (i) releases any and all rights
in and to any Collections with respect to the Comerica Loans, the 2006-2 Pools, the 2007-1 Pools,
the 2007-2 Pools, the 2008-1 Loans, the Fifth Third Loans or in any Back-end Dealer Payments;
provided, that no release shall have been granted with respect to amounts collected under any Pools
or Purchased Loans which are Back-end Dealer Payments that have been set off by CAC or by Comerica
pursuant to the CAC Credit Facility Documents against amounts owing under the Wachovia Loans and
(ii) relinquishes all rights it has or may have to require CAC, individually or as servicer, any
successor servicer or Warehouse Funding to use Collections on its behalf contrary to clause (a)(i).
Wachovia, as collateral agent, agrees that the lien and security interest granted to it pursuant
to the Wachovia Securitization Documents does not and shall not attach to any Comerica Pools, the
2006-2 Pools, the 2007-1 Pools, the 2007-2 Pools, the 2008-1 Loans, the Fifth Third Loans (or
related Collections) or to any Back-end Dealer Payments and shall not assert any claim thereto.

     (b) Release by the 2006-2 Trustee. The 2006-2 Trustee (i) releases any and all rights in and
to any Collections with respect to the Comerica Pools, the Wachovia Loans, the 2007-1 Pools, the
2007-2 Pools, the 2008-1 Loans, the Fifth Third Loans or in any Back-end Dealer Payments; provided,
that no release shall have been granted with respect to amounts collected under any Pools which are
Back-end Dealer Payments that have been set off by CAC or by Comerica pursuant to the CAC Credit
Facility Documents against amounts owing under the 2006-2 Pools and (ii) relinquishes all rights it
has or may have to require CAC, individually or as servicer, any successor servicer, Funding 2006-2
or the 2006-2 Trust to use Collections on its behalf contrary to clause (b)(i). The 2006-2 Trust
agrees that the lien and security interest granted to the 2006-2 Trustee pursuant to the 2006-2
Securitization Documents to which it is a party does not and shall not attach to any Comerica
Pools, the Wachovia Pools, the 2007-1 Pools, the 2007-2 Pools, the 2008-1 Loans or the Fifth Third
Loans (or related Collections) or to any Back-end Dealer Payments and shall not assert any claim
thereto.

     (c) Release by the 2007-1 Trustee. The 2007-1 Trustee (i) releases any and all rights in and
to any Collections with respect to the Comerica Loans, the Wachovia Loans, the 2006-2 Pools, the
2007-2 Pools, the 2008-1 Loans, the Fifth Third Loans or in any Back-end Dealer Payments; provided,
that no release shall have been granted with respect to amounts collected under any Pools which are
Back-end Dealer Payments that have been set off by CAC or by

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Comerica pursuant to the CAC Credit Facility Documents against amounts owing under the 2007-1
Pools and (ii) relinquishes all rights it has or may have to require CAC, individually or as
servicer, any successor servicer, Funding 2007-1 or the 2007-1 Trust to use Collections on its
behalf contrary to clause (c)(i). The 2007-1 Trust agrees that the lien and security interest
granted to the 2007-1 Trustee pursuant to the 2007-1 Securitization Documents to which it is a
party does not and shall not attach to any Comerica Loans, the Wachovia Loans, the 2006-2 Pools,
the 2007-2 Pools, the 2008-1 Loans or the Fifth Third Loans (or related Collections) or to any
Back-end Dealer Payments and shall not assert any claim thereto.

     (d) Release by the 2007-2 Trustee. The 2007-2 Trustee (i) releases any and all rights in and
to any Collections with respect to the Comerica Loans, the Wachovia Loans, the 2006-2 Pools, the
2007-1 Pools, the 2008-1 Loans, the Fifth Third Loans or in any Back-end Dealer Payments; provided,
that no release shall have been granted with respect to amounts collected under any Pools or
Purchased Loans which are Back-end Dealer Payments that have been set off by CAC or by Comerica
pursuant to the CAC Credit Facility Documents against amounts owing under the 2007-2 Pools and (ii)
relinquishes all rights it has or may have to require CAC, individually or as servicer, any
successor servicer, Funding 2007-2 or the 2007-2 Trust to use Collections on its behalf contrary to
clause (d)(i). The 2007-2 Trust agrees that the lien and security interest granted to the 2007-2
Trustee pursuant to the 2007-2 Securitization Documents to which it is a party does not and shall
not attach to any Comerica Loans, the Wachovia Loans, the 2006-2 Pools, the 2007-1 Pools, the
2008-1 Loans or the Fifth Third Loans (or related Collections) or to any Back-end Dealer Payments
and shall not assert any claim thereto.

     (e) Release by the 2008-1 Trustee. The 2008-1 Trustee (i) releases any and all rights in and
to any Collections with respect to the Comerica Loans, the Wachovia Loans, the 2006-2 Pools, the
2007-1 Pools, the 2007-2 Pools or in any Back-end Dealer Payments; provided, that no release shall
have been granted with respect to amounts collected under any Pools or Purchased Loans which are
Back-end Dealer Payments that have been set off by CAC or by Comerica pursuant to the CAC Credit
Facility Documents against amounts owing under the 2008-1 Loans and (ii) relinquishes all rights it
has or may have to require CAC, individually or as servicer, any successor servicer, Funding 2008-1
or the 2008-1 Trust to use Collections on its behalf contrary to clause (e)(i). The 2008-1 Trust
agrees that the lien and security interest granted to the 2008-1 Trustee pursuant to the 2008-1
Securitization Documents to which it is a party does not and shall not attach to any Comerica
Loans, the Wachovia Loans, the 2006-2 Pools, the 2007-1 Pools, or the 2007-2 Pools, or the Fifth
Third Loans (or related Collections) or to any Back-end Dealer Payments and shall not assert any
claim thereto

     (f) Release by Comerica. Comerica (i) releases any and all rights in and to any Collections
with respect to the Wachovia Loans, the 2006-2 Pools, the 2007-1 Pools, the 2007-2 Pools, the
2008-1 Loans and the Fifth Third Loans, other than amounts collected under the Wachovia Loans, the
2006-2 Pools, the 2007-1 Pools, the 2007-2 Pools, the 2008-1 Loans or the Fifth Third Loans which
are owed to Dealers as Back-end Dealer Payments and which are subject to set off by CAC pursuant to
the related Dealer Agreement and which have not been set off by CAC or by Comerica pursuant to the
CAC Credit Facility Documents against amounts owing under the Wachovia Loans, the 2006-2 Pools, the
2007-1 Pools, the 2007-2 Pools, the 2008-1 Loans and the Fifth Third Loans and (ii) relinquishes
all rights it has or may have to require CAC, individually or as servicer, or any successor
servicer to use Collections on its

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behalf contrary to clause (f)(i) above. Except for Back-end Dealer Payments to the extent
provided in clause (f)(i) above, Comerica agrees that the lien and security interest granted to it
pursuant to the CAC Credit Facility Documents does not and shall not attach to any Wachovia Loans,
the 2006-2 Pools, the 2007-1 Pools, the 2007-2 Pools, the 2008-1 Loans or the Fifth Third Loans and
shall not assert any claim against the Wachovia Loans, the 2006-2 Pools, the 2007-1 Pools, the
2007-2 Pools, the 2008-1 Loans, or the Fifth Third Loans or Collections related thereto.

     (g) Release by Fifth Third. Fifth Third, as the collateral agent, (i) releases any and all
rights in and to any Collections with respect to the Comerica Loans, the 2006-2 Pools, the 2007-1
Pools, the 2007-2 Pools, the 2008-1 Loans, the Wachovia Loans or in any Back-end Dealer Payments;
provided, that no release shall have been granted with respect to amounts collected under any Pools
or Purchased Loans which are Back-end Dealer Payments that have been set off by CAC or by Comerica
pursuant to the CAC Credit Facility Documents against amounts owing under the Fifth Third Loans and
(ii) relinquishes all rights it has or may have to require CAC, individually or as servicer, any
successor servicer or Warehouse Funding III to use Collections on its behalf contrary to clause
(g)(i). Fifth Third, as collateral agent, agrees that the lien and security interest granted to it
pursuant to the Fifth Third Securitization Documents does not and shall not attach to any Comerica
Pools, the 2006-2 Pools, the 2007-1 Pools, the 2007-2 Pools, the 2008-1 Loans, the Wachovia Loans
(or related Collections) or to any Back-end Dealer Payments and shall not assert any claim thereto.

     2. Covenant of the CAC Entities. 

     (a) Each of the CAC Entities covenants that it shall not use any right it may have under the
Dealer Agreements, Purchase Agreements, whether at the direction of Comerica, Wachovia, the 2006-2
Trustee, the 2007-1 Trustee, the 2007-2 Trustee, the 2008-1 Trustee or Fifth Third or otherwise, to
set off any Collections, other than amounts which are owed to Dealers as Back-end Dealer Payments,
from one Pool against amounts owed under another Pool encumbered in favor of another Creditor.

     (b) Each of the CAC Entities covenants that it will require any other person or entity which
hereafter acquires any security interest in the Pools, Dealer Agreements, Purchased Loans and
related assets from a CAC Entity to become parties to this Agreement by executing an amendment or
acknowledgment, in form and substance reasonably satisfactory to CAC and the Creditors, by which
such persons or entities agree to be bound by the terms of this Agreement, and delivering such
signed amendment or acknowledgement hereof to each of the CAC Entities and the Creditors; provided,
however, that in the event the amount owed by the CAC Entities to any Creditor shall be reduced to
zero and such Creditor shall have no obligation or agreement to make any further advances to any
CAC Entity, such Creditor shall have no rights under this Section 2(b).

     3. Turnover of Proceeds. The parties hereto agree that if, at any time, a Creditor (a
“Receiving Creditor”) (x) receives any payment, distribution, security or the proceeds
thereof to which another Creditor or Creditors shall, under the terms of Section 1 of this
Agreement, be entitled and (y) the Receiving Creditor either (A) had actual knowledge, at the time
of such receipt, that such payment, distribution or proceeds were wrongfully received by it or (B)
another

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Creditor or Creditors shall have given written notice to the Receiving Creditor, prior to such
receipt, of its good faith belief that such payments, distributions or proceeds are being
misapplied, and such notice contains evidence reasonably satisfactory to the Receiving Creditor of
such misapplication, then such Receiving Creditor shall receive and hold the same separately and in
trust for the benefit of, and shall forthwith pay over and deliver the same to the relevant
Creditor. For purposes of the foregoing, (i) the actual knowledge of the 2006-2 Trustee shall be
determined based on the actual knowledge of the 2006-2 Trustee’s Responsible Officers (as defined
in the 2006-2 Indenture), (ii) the actual knowledge of the 2007-1 Trustee shall be determined based
on the actual knowledge of the 2007-1 Trustee’s Responsible Officers (as defined in the 2007-1
Indenture), (iii) the actual knowledge of the 2007-2 Trustee shall be determined based on the
actual knowledge of the 2007-2 Trustee’s Responsible Officers (as determined in the 2007-2
Indenture) and (iv) the actual knowledge of the 2008-1 Trustee shall be determined based on the
actual knowledge of the 2008-1 Trustee’s Responsible Officers (as determined in the 2008-1
Indenture), it being understood that each such Responsible Officer shall have no duty to make any
inquiry regarding the propriety of any payment, distribution or proceeds.

     4. Further Assurances. Each Creditor and CAC Entity agrees that it shall be bound by
all of the provisions of this Agreement. Without limiting any other provision hereof, each of the
Creditors and CAC Entities agrees that it will promptly execute such instruments, notices or other
documents as may be reasonably requested in writing by any party hereto for the purpose of
confirming the provisions of this Agreement or better effectuating the intent hereof. CAC will
reimburse each Creditor for all reasonable expenses incurred by such Creditor pursuant to this
Section 4.

     5. Governing Law. This Agreement shall be governed by and construed in accordance
with the internal laws of the State of New York without regard to its conflicts of laws rules.
Each of the parties hereto agrees to the non-exclusive jurisdiction of any federal court located
within the State of New York. Each of the parties hereto hereby waives any objection based on
forum non conveniens and any objection to venue of any action instituted hereunder in any of the
aforementioned courts, and consents to the granting of such legal or equitable relief as is deemed
appropriate by such court.

     6. Counterparts. This Agreement may be executed in two or more counterparts including
facsimile transmission thereof (and by different parties on separate counterparts), each of which
shall be an original, but all of which together shall constitute one of the same instrument.

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

     8. No Proceedings. Each of the parties hereto hereby agrees that it will not
institute against, or join any other person in instituting against Warehouse Funding, Warehouse
Funding III, Funding 2006-2, the 2006-2 Trust, Funding 2007-1, the 2007-1 Trust, Funding 2007-2,
the

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2007-2 Trust, Funding 2008-1, or the 2008-1 Trust, any bankruptcy, reorganization,
arrangement, insolvency or liquidation proceedings, or other proceedings under any federal or state
bankruptcy or similar law so long as there shall not have elapsed one year and one day after there
are no remaining amounts owed to any of the Creditors by any of the CAC Entities pursuant to the
Wachovia Securitization Documents, the 2006-2 Securitization Documents, the 2007-1 Securitization
Documents, the 2007-2 Securitization Documents, the 2008-1 Securization Documents and the Fifth
Third Securitization Documents.

     9. Amendment. This Agreement and the rights and obligations of the parties hereunder
may not be changed orally, but only by an instrument in writing executed by all of the parties
hereto; provided further that if the amount owed by the CAC Entities to any Creditor shall be
reduced to zero and such Creditor shall have no obligation or agreement to make any further
advances to any CAC Entity, this Agreement may be amended by the other parties hereto without the
consent of such Creditor.

     10. No Third Party Beneficiaries. This Agreement is not intended to confer upon any
person other than the parties hereto any rights or remedies hereunder.

     11. Successors and Assigns. This Agreement shall be binding upon and inure to the
benefit of each of the parties hereto and their respective successors and assigns, including any
successor or assignor to the 2006-2 Trustee under the 2006-2 Securitization Documents, any
successor or assignor to the 2007-1 Trustee under the 2007-1 Securitization Documents, any
successor or assignor to the 2007-2 Trustee under the 2007-2 Securitization Documents and any
successor or assign to the 2008-1 Trustee under the 2008-1 Securitization Documents.

     12. Notices. Except as otherwise provided herein, all notices or demand hereunder to
the parties hereto shall be sufficient if made in writing, and either: (i) sent via certified or
registered mail (or the equivalent thereof), postage prepaid, (ii) delivered by messenger or
overnight courier, or (iii) transmitted via facsimile with a confirmation of the receipt thereof.
Notice shall be deemed to be given for purposes of this Agreement on the day of receipt. Unless
otherwise specified in a notice sent or delivered in accordance with the foregoing provisions of
this Section, notices, demands and other communications in writing shall be given to or made upon
the respective parties hereto: (a) in the case of any of the CAC Entities, to Silver Triangle
Building, 25505 West Twelve Mile Road, Southfield, Michigan 48034-8339, Attention: Douglas W. Busk,
telephone: (248) 353-2700 (ext. 4432), facsimile: (866) 249-3138; (b) in the case of Wachovia, to
One Wachovia Center, 301 South College Street, Charlotte, North Carolina 28288-0610, Attention:
Conduit Administration, telephone: (704) 383-9343, facsimile: (704) 383-9579; (c) in the case of
the 2006-2 Trustee, to 60 Wall Street, MS NYC 60-2606, New York, NY 10005, Attention: Lou Bodi,
telephone: (212) 250-4855, facsimile: (212) 553-2459; (d) in the case of the 2007-1 Trustee, to MAC
#9311-161, Sixth and Marquette Avenue, Minneapolis, Minnesota 55479 Attention: Corporate Trust
Services – Asset-Backed Administration, telephone: (612) 667-8058, facsimile: (612) 667-3464; (e)
in the case of the 2007-2 Trustee, to MAC #9311-161, Sixth and Marquette Avenue, Minneapolis,
Minnesota 55479 Attention: Corporate Trust Services – Asset-Backed Administration, telephone: (612)
667-8058, facsimile: (612) 667-3464; (f) in the case of Comerica, to One Detroit Center,
6th Floor, 500 Woodward Avenue, Detroit, Michigan 48226, Attention: Michael Stapleton,
telephone: (313) 222-2863, facsimile: (313) 222-5636; (g) in the case of the 2008-1 Trustee, to MAC
#9311-161, Sixth and

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Marquette Avenue, Minneapolis, Minnesota 55479 Attention: Corporate Trust Services –
Asset-Backed Administration, telephone: (612) 667-8058, facsimile: (612) 667-3464; and (h) in the
case of Fifth Third, to 38 Fountain Square Plaza, MD 109046, Cincinnati, Ohio 45263, Attention:
Brian Gardner: telephone: (513) 534-7949, facsimile: (513) 534-0319.

     13. Termination. Each party’s rights and obligations under this agreement shall
terminate at the time all amounts due to or owed by such party have been paid in full and such
party’s applicable Financing Documents have been terminated so long as each party whose rights and
obligations are subject to termination pursuant to this Section 13 (i) has no actual
knowledge or written notice of payments, distributions, security or the proceeds thereof to which
another Creditor or Creditors is entitled, as provided in Section 3 hereof, and (ii) has
not received a written notice from Comerica under the CAC Credit Facility Documents that there is a
“Default” or an “Event of Default” (as such terms are defined therein) at the time of the
termination of the applicable Financing Documents.

     14. Integration; Termination of Prior Agreement. This Agreement sets forth the entire
understanding of the parties relating to the subject matter hereof, and all prior understandings,
written or oral, are superseded by this Agreement. Without limiting the generality of the
foregoing, this Agreement is intended to supersede the Prior Agreement in its entirety. Each of
Comerica, Wachovia, the 2006-2 Trustee, the 2007-1 Trustee, the 2007-2 Trustee, the 2008-1 Trustee
and the CAC Entities that were parties to the Prior Agreement further acknowledge and agree that,
as among themselves, this Agreement supersedes the Prior Agreement with respect to their rights as
against each other and that this Agreement shall govern their rights against each other and the
other parties hereto.

[signature page follows]

9

 

     This Intercreditor Agreement has been executed and delivered by the parties hereto on May ___,
2008.

	 	 	 	 	 
	 	Credit Acceptance Corporation

 	 
	 	 /s/ Douglas W. Busk
 	 
	 	By:          Douglas W. Busk 	 
	 	 Title:  Treasurer 	 
	 
	 	CAC Warehouse Funding Corporation II

 	 
	 	/s/ Douglas W. Busk
 	 
	 	By:          Douglas W. Busk 	 
	 	 Title:  VP – Finance and Treasurer 	 
	 
	 	Credit Acceptance Funding LLC 2006-2

 	 
	 	/s/ Douglas W. Busk
 	 
	 	By:          Douglas W. Busk 	 
	 	 Title:  Treasurer 	 
	 
	 	Credit Acceptance Funding LLC 2007-1

 	 
	 	/s/ Douglas W. Busk
 	 
	 	By:          Douglas W. Busk 	 
	 	 Title:  Treasurer 	 
	 
	 	Credit Acceptance Funding LLC 2007-2

 	 
	 	/s/ Douglas W. Busk
 	 
	 	By:          Douglas W. Busk 	 
	 	 Title:  Treasurer 	 
	 

[Signature Page to Intercreditor Agreement]

 

 

	 	 	 	 	 
	 	Credit Acceptance Funding LLC 2008-1

 	 
	 	/s/ Douglas W. Busk
 	 
	 	By:          Douglas W. Busk 	 
	 	 Title:  Treasurer 	 
	 
	 	CAC Warehouse Funding III, LLC

 	 
	 	/s/ Douglas W. Busk
 	 
	 	By:          Douglas W. Busk 	 
	 	 Title:  Treasurer 	 
	 

[Signature Page to Intercreditor Agreement]

 

 

	 	 	 	 	 
	 	Wachovia Capital Markets, LLC, 

as Deal Agent

 	 
	 	/s/ Curt Sidden
 	 
	 	By:         Curt Sidden 	 
	 	 Title:  Managing Director 	 
	 

[Signature Page to Intercreditor Agreement]

 

 

	 	 	 	 	 
	 	Comerica Bank, as Agent

 	 
	 	/s/ Timothy J. Bishop
 	 
	 	By:         Timothy J. Bishop 	 
	 	 Title:  Vice President 	 
	 

[Signature Page to Intercreditor Agreement]

 

 

	 	 	 	 	 
	 

	 	Credit Acceptance Auto Dealer	 	 
	 

	 	Loan Trust 2006-2	 	 
	 
	 	 	 	 
	 

	 	By: U.S. Bank Trust National 	 	 
	 

	 	Association, not in its individual 	 	 
	 

	 	capacity but solely as Owner Trustee	 	 
	 
	 	 	 	 
	 

	 	/s/ Annette Morgan
 

By:  Annette Morgan
	 	 
	 

	 	Title: Assistant Vice President	 	 
	 
	 	 	 	 
	 

	 	Credit Acceptance Auto Dealer	 	 
	 

	 	Loan Trust 2007-1	 	 
	 
	 	 	 	 
	 

	 	By: U.S. Bank Trust National 	 	 
	 

	 	Association, not in its individual 	 	 
	 

	 	capacity but solely as Owner Trustee	 	 
	 
	 	 	 	 
	 

	 	/s/ Annette Morgan
 

By: Annette Morgan
	 	 
	 

	 	Title: Assistant Vice President	 	 
	 
	 	 	 	 
	 

	 	Credit Acceptance Auto Dealer	 	 
	 

	 	Loan Trust 2007-2	 	 
	 
	 	 	 	 
	 

	 	By: U.S. Bank Trust National 	 	 
	 

	 	Association, not in its individual 	 	 
	 

	 	capacity but solely as Owner Trustee	 	 
	 
	 	 	 	 
	 

	 	/s/ Annette Morgan
 

By: Annette Morgan
	 	 
	 

	 	Title: Assistant Vice President	 	 

[Signature Page to Intercreditor Agreement]

 

 

	 	 	 	 	 
	 

	 	Credit Acceptance Auto Loan Trust 2008-1	 	 
	 
	 	 	 	 
	 

	 	By: U.S. Bank Trust National 	 	 
	 

	 	Association, not in its individual 	 	 
	 

	 	capacity but solely as Owner Trustee	 	 
	 
	 	 	 	 
	 

	 	/s/ Annette Morgan
 

By: Annette Morgan
	 	 
	 

	 	Title: Assistant Vice President	 	 

[Signature Page to Intercreditor Agreement]

 

 

	 	 	 	 	 
	 	Deutsche Bank Trust Company Americas, not in its

individual capacity but solely as Trustee

 	 
	 	/s/ Mark Digiacomo
 	 
	 	By:         Mark Digiacomo 	 
	 	Title:  Asst. Vice President 	 
	 
	 	 	 
	 	                /s/ Michele H.Y. Voon
 	 
	 	By:         Michele H.Y. Voon 	 
	 	Title:  Vice President 	 
	 

[Signature Page to Intercreditor Agreement]

 

 

	 	 	 	 	 
	 	Wells Fargo Bank, National Association, not in its

individual capacity but solely as Trustee

 	 
	 	/s/ Marianna C. Stershic
 	 
	 	By:           Marianna C. Stershic 	 
	 	Title:  Vice President 	 
	 

[Signature Page to Intercreditor Agreement]

 

 

	 	 	 	 	 
	 	Fifth Third Bank, as agent 

 	 
	 	/s/ Brian Gardner
 	 
	 	By:         Brian Gardner 	 
	 	Title:  Vice President 	 
	 

[Signature Page to Intercreditor Agreement]

 

 

APPENDIX A

DEFINITIONS

     2006-2 Indenture: The Indenture dated as of November 21, 2006 between the 2006-2
Trustee and the 2006-2 Trust, as amended from time to time.

     2006-2 Securitization Documents: The Sale and Servicing Agreement dated as of
November 21, 2006 among the 2006-2 Trust, Funding 2006-2, CAC, the 2006-2 Trustee, and Systems &
Services Technologies, Inc., the 2006-2 Indenture, and the documents related thereto, as amended
from time to time.

     2007-1 Indenture: The Indenture dated as of April 12, 2007 between the 2007-1 Trustee
and the 2007-1 Trust, as amended from time to time.

     2007-1 Securitization Documents: The Sale and Servicing Agreement dated as of April
12, 2007, among the 2007-1 Trust, Funding 2007-1, CAC, the 2007-1 Trustee, and Wells Fargo Bank,
National Association, as the Backup Servicer, the 2007-1 Indenture, and the documents related
thereto, as amended from time to time.

     2007-2 Indenture: The Indenture dated as of October 29, 2007 between the 2007-2
Trustee and the 2007-2 Trust, as amended from time to time.

     2007-2 Securitization Documents: The Sale and Servicing Agreement dated as of October
29 2007, among the 2007-2 Trust, Funding 2007-2, CAC, the 2007-2 Trustee, and Wells Fargo Bank,
National Association, as the Backup Servicer, the 2007-2 Indenture, and the documents related
thereto, as amended from time to time.

     2008-1 Indenture: The Indenture dated as of April 18, 2008 between the 2008-1 Trustee
and the 2008-1 Trust, as amended from time to time.

     2008-1 Securitization Documents: The Sale and Servicing Agreement dated as of
April 18, 2008, among the 2008-1 Trust, Funding 2008-1, CAC, the 2008-1 Trustee, and Wells Fargo
Bank, National Association, as the Backup Servicer, the 2008-1 Indenture, and the documents related
thereto, as amended from time to time.

     Advance: Amounts advanced to a Dealer upon the acceptance of a Contract by CAC
pursuant to a Dealer Agreement.

     CAC Credit Facility Documents: The Fourth Amended and Restated Credit Acceptance
Corporation Credit Agreement, dated as of February 7, 2006, by and among the Banks signatory
thereto, Comerica and CAC, and the documents related thereto, as amended from time to time.

     CAC Entities: Each of CAC, Warehouse Funding, Warehouse Funding III, Funding 2006-2,
the 2006-2 Trust, Funding 2007-1, the 2007-1 Trust, Funding 2007-2, the 2007-2 Trust, Funding
2008-1 and the 2008-1 Trust.

i

 

     Collections: All money, amounts or other payments received or collected by CAC,
individually or as servicer, or any successor servicer or any other CAC Entity with respect to a
Contract in the form of cash, checks, wire transfers or other form of payment in accordance with
the Contracts or the Dealer Agreements, including, without limitation, with respect to a Pool
amounts collected under any other Pool which are Back-end Dealer Payments that have been set off by
CAC or by Comerica pursuant to the CAC Credit Facility Documents, against amounts owing under such
Pool.

     Contract: A retail installment contract for the sale of used motor vehicles assigned
outright by Dealers to CAC or a subsidiary of CAC or written by Dealers in the name of CAC or a
subsidiary of CAC (and funded by CAC or such subsidiary) or assigned by Dealers to CAC or a
subsidiary of CAC, as nominee for the Dealer, for administration, servicing, and collection, in
each case pursuant to an applicable Dealer Agreement.

     Creditor: Each of Comerica, Wachovia, the 2006-2 Trustee, the 2007-1 Trustee, the
2007-2 Trustee, the 2008-1 Trustee and Fifth Third.

     Dealer: A person engaged in the business of the retail sale or lease of new or used
motor vehicles, including both businesses exclusively selling used motor vehicles and businesses
principally selling new motor vehicles, but having a used vehicle department, including any such
person which constitutes an affiliate of CAC.

     Dealer Agreement: The sales and/or servicing agreements between CAC or its
subsidiaries and a participating Dealer which sets forth the terms and conditions under which CAC
or its subsidiaries (i) accepts, as nominee for such Dealer, the assignment of Contracts for
purposes of administration, servicing and collection and under which CAC or its subsidiary may make
Advances to such Dealers and (ii) accepts outright assignments of Contracts from Dealers or funds
Contracts originated by such Dealer in the name of CAC or any of its subsidiaries, in each case as
such agreements may be in effect from time to time.

     Financing Documents: The CAC Credit Facility Documents, the Wachovia Securitization
Documents, the 2006-2 Securitization Documents, the 2007-1 Securitization Documents and the 2007-2
Securitization Documents, the 2008-1 Securitization Documents and the Fifth Third Securitization
Documents.

     Fifth Third Securitization Documents: The Loan and Security Agreement dated as of May
9, 2008, among Warehouse Funding III, CAC, Fifth Third Bank, Relationship Funding Company, LLC and
Systems & Services Technologies, Inc. and the other parties from time to time party thereto, and
the documents related thereto, as amended from time to time.

     Pool: A grouping on the books and records of CAC or any of its subsidiaries of
Advances or Contracts originated or to be originated with CAC or any of its subsidiaries by a
Dealer and bearing the same pool identification number assigned by CAC’s computer system.

     Prior Agreement: The Intercreditor Agreement dated April 18, 2008 among CAC,
Warehouse Funding, Funding 2006-2, the 2006-2 Trust, Funding 2007-1, the 2007-1 Trust, Funding
2007-2, the 2007-2 Trust, the 2008-1 Trust, Funding 2008-1, Wachovia, The Bank of New York (as
successor-in-interest to the corporate trust business of JPMorgan Chase Bank,

ii

 

N.A.), the 2006-2 Trustee, the 2007-1 Trustee, the 2007-2 Trustee, the 2008-1 Trustee and
Comerica.

     Purchased Loan: A motor vehicle retail installment loan relating to the sale of a
used automobile or light-duty truck originated by a Dealer, purchased by the Originator from such
Dealer and evidenced by a Purchased Loan Contract; provided, however, that the term “Purchased
Loan” shall, for purposes of this Agreement, include only those Purchased Loans identified from
time to time on Schedule V hereto, and/or any Funding Notice.

     Wachovia Securitization Documents: The Second Amended and Restated Loan and Security
Agreement dated as of August 31, 2007, as amended, among Warehouse Funding, CAC, Wachovia Bank,
National Association, JPMorgan Chase Bank, N.A., Variable Funding Capital Company LLC, Park Avenue
Receivables Company LLC, Wachovia and Systems & Services Technologies, Inc. and the other parties
from time to time party thereto, and the documents related thereto, as amended from time to time.

iiiexv4w6

Exhibit 4.6

U.S. CONCRETE, INC.

2008 INCENTIVE PLAN

     1. Establishment of the Plan. U.S. Concrete, Inc., a Delaware corporation (the “Company”),
hereby establishes this U.S. Concrete, Inc. 2008 Incentive Plan (the “Plan”), effective as of April
11, 2008, subject to stockholder approval of the Plan at the May 2008 annual meeting of
stockholders.

     2. Definitions. The following terms used in the Plan have the following respective meanings:

     “Authorized Officer” means the CEO (or any other senior officer of the Company to whom the CEO
delegates, by written notice to the Committee of that delegation, authority to execute any Award
Agreement).

     “Award” means a Director Award or an Employee Award.

     “Award Agreement” means any written Director Award Agreement or Employee Award Agreement.

     “Board” means the Board of Directors of the Company.

     “Cash Award” means an award denominated in cash.

     “CEO” means the chief executive officer of the Company at that time.

     “Code” means the Internal Revenue Code of 1986, as amended from time to time.

     “Committee” means the Compensation Committee of the Board (or any other committee of the Board
which the Board designates by a written resolution to administer the Plan).

     “Common Stock” means the Common Stock, par value $.001 per share, of the Company.

     “Company” means U.S. Concrete, Inc., a Delaware corporation.

     “Director” means an individual serving as a member of the Board.

     “Director Award” means the grant under the Plan of any Nonqualified Option, SAR, Stock Award,
Cash Award or Performance Award, whether granted singly or in combination or tandem with any other
Award, to a Participant who is a Nonemployee Director on such terms and subject to such conditions
and limitations as the Committee may establish pursuant to the Plan.

     “Director Award Agreement” means a written agreement between the Company and a Participant who
is a Nonemployee Director which sets forth the terms, conditions and limitations applicable to a
Director Award granted to that Nonemployee Director.

 

 

     “Dividend Equivalents” means, with respect to shares of Restricted Stock, an amount equal to
all dividends and other distributions (or the economic equivalent thereof) that are payable to
stockholders of record during the Restriction Period applicable to those shares on a like number of
shares of Common Stock.

     “Employee” means any employee of the Company or any of its Subsidiaries.

     “Employee Award” means the grant under the Plan of any Option, SAR, Stock Award, Cash Award or
Performance Award, whether granted singly or in combination or tandem with any other Award, to a
Participant who is an Employee on such terms and subject to such conditions and limitations as the
Committee may establish pursuant to the Plan.

     “Employee Award Agreement” means a written agreement between the Company and a Participant who
is an Employee which sets forth the terms, conditions and limitations applicable to an Employee
Award granted to that Employee.

     “Fair Market Value” of a share of Common Stock means, as of a particular date, (i) if shares
of Common Stock are listed on a national securities exchange, the closing sales price on such date
or, if such price is unavailable, the average of the closing bid and asked prices per share of
Common Stock on such date (or in either event, if there was no trading in the Common Stock on such
date, on the next preceding date on which such trading was reported) as provided by the
consolidated transaction reporting system for the principal national securities exchange on which
shares of Common Stock are listed on such date; (ii) if shares of Common Stock are not so listed,
the last sales price on such date or, if such price is unavailable, the average of the closing bid
and asked prices per share of Common Stock on such date (or, if there was no trading in the Common
Stock on such date, on the next preceding date on which such trading was reported) as reported by
the National Quotation Bureau Incorporated; or (iii) if shares of Common Stock are not publicly
traded on such date, the most recent value determined by an independent appraiser appointed by the
Company for such purpose.

     “Incentive Option” means an Option intended to comply with Code Section 422.

     “Nonemployee Director” has the meaning specified in Paragraph 4(b).

     “Nonqualified Option” means an Option that is not an Incentive Option.

     “Option” means a right to purchase a specified number of shares of Common Stock at a specified
price.

     “Participant” means a Nonemployee Director or Employee to whom an Award has been made under
the Plan.

     “Performance Award” means an award to a Participant who is an Employee or Director, the
earning of which is subject to the attainment of one or more Performance Goals.

     “Performance Goal” means a standard the Committee establishes to determine in whole or in part
whether a Performance Award will be earned.

-2-

 

     “Restricted Stock” means any Common Stock that is restricted or subject to forfeiture
provisions.

     “Restricted Stock Unit” (“RSU”) means a unit evidencing the right to receive one share of
Common Stock or equivalent value (as determined by the Committee) that is restricted or subject to
forfeiture provisions.

     “Restriction Period” means a period of time beginning as of the effective date as of which an
Award of Restricted Stock or RSUs is made and ending as of the date on which the Common Stock
subject to that Award is no longer restricted as to its transfer or no longer subject to forfeiture
provisions.

     “SAR” means a right to receive a payment, in cash or Common Stock (as determined by the
Committee), equal to the excess of the Fair Market Value or other specified valuation of a
specified number of shares of Common Stock on the date the right is exercised over a specified
strike price, in each case as set forth in the Award Agreement.

     “Stock Award” means an award in the form of Common Stock or units denominated in Common Stock.

     “Subsidiary” means: (i) in the case of a corporation, any corporation of which the Company
directly or indirectly owns shares representing more than 50% of the combined voting power of the
shares of all classes or series of capital stock of that corporation which have the right to vote
generally on matters submitted to a vote of the stockholders of that corporation; and (ii) in the
case of a partnership or other business entity not organized as a corporation, any such business
entity of which the Company directly or indirectly owns more than 50% of the voting, capital or
profits interests (whether in the form of partnership interests, membership interests or
otherwise).

     3. Objectives. The Company has designed the Plan to (i) attract and retain key Employees and
qualified Nonemployee Directors, (ii) encourage the sense of proprietorship of those persons in the
Company, and (iii) stimulate the active interest of those persons in the development and financial
success of the Company by making Awards.

     4. Eligibility.

          (a) Employees. Employees assigned or to be assigned positions of responsibility and whose
performance, in the judgment of the Committee, can have a significant effect on the success of the
Company are eligible for Employee Awards. The Committee may grant an Employee Award to any
individual who has agreed in writing to become an Employee within six months after the date of that
agreement, provided that the effectiveness of that Award is subject to the condition that the
individual actually becomes an Employee within that time period.

          (b) Directors. Directors who are not employees of the Company or any of its Subsidiaries
(“Nonemployee Directors”) are eligible for Director Awards.

-3-

 

     5. Common Stock Available for Awards. Subject to the provisions of Paragraph 14, there will
be available for Awards granted wholly or partly in Common Stock (including Options or SARs that
may be exercised for or settled in Common Stock) an aggregate of (i) 2,500,000 shares of Common
Stock, and (ii) shares of Common Stock which are the subject of awards under the 1999 Incentive
Plan or the 2001 Employee Incentive Plan of the Company that are forfeited or terminated, expire
unexercised, are settled in cash in lieu of Common Stock or in a manner such that all or some of
the shares covered thereby are not issued or are exchanged for consideration that does not involve
Common Stock. No more than 2,500,000 shares of Common Stock will be used under the Plan for Awards
of Incentive Options. Shares of Common Stock which are the subject of Awards that are forfeited or
terminated, expire unexercised, are settled in cash in lieu of Common Stock or in a manner such
that all or some of the shares covered thereby are not issued to a Participant or are exchanged for
consideration that does not involve Common Stock will again immediately become available for
Awards. The number of shares reserved for issuance under the Plan shall be reduced only to the
extent that shares of Common Stock are actually issued in connection with the exercise or
settlement of an Award; provided, however, that the number of shares reserved for issuance shall be
reduced by the total number of Options or SARs exercised. The number of shares reserved for
issuance under the Plan shall not be increased by (i) any shares tendered or Award surrendered in
connection with the purchase of shares upon the exercise of an Option as described in Paragraph 10
or (ii) any shares deducted from an Award payment in connection with the Company’s tax withholding
obligations as described in Paragraph 11. Shares of Common Stock delivered under the Plan in
settlement of an Award issued or made (a) upon the assumption, substitution, conversion or
replacement of outstanding awards under a plan or arrangement of an acquired entity or (b) as a
post-transaction grant under such a plan or arrangement of an acquired entity shall not reduce or
be counted against the maximum number of shares of Common Stock available for delivery under the
Plan, to the extent that the exemption for transactions in connection with mergers and acquisitions
from the stockholder approval requirements of the applicable securities exchange for equity
compensation plans applies. The Committee may from time to time adopt and observe such rules and
procedures concerning the counting of shares of Common Stock against the Plan maximum as it may
deem appropriate, including rules more restrictive than those set forth above to the extent
necessary to satisfy the requirements of any national securities exchange on which the Common Stock
is listed or any applicable regulatory requirement. The Board and the appropriate officers of the
Company are authorized to take from time to time whatever actions are necessary, and to file any
required documents with governmental authorities, stock exchanges and transaction reporting systems
to ensure that shares of Common Stock are available for issuance pursuant to the Plan.

     6. Administration.

          (a) The Committee will administer the Plan. Subject to the provisions hereof, the Committee
will have full and exclusive power and authority to administer the Plan and to take all actions
that the Plan specifically contemplates or that are necessary or appropriate in connection with the
administration hereof. The Committee also will have full and exclusive power to interpret the Plan
and to adopt such rules, regulations and guidelines for carrying out the Plan as the Committee may
deem necessary or proper, all of which powers will be exercised in the best interests of the
Company and in keeping with the objectives of the Plan. The Committee may, in its discretion,
provide for the extension of the exercisability of any Award,

-4-

 

accelerate the vesting or exercisability of any Award, eliminate or make less restrictive any
restrictions any Award contains, waive any restriction or other provision of the Plan or any Award
or otherwise amend or modify any Award in any manner that is either (i) not adverse to the
Participant to whom that Award was granted or (ii) consented to in writing by that Participant.
The Committee may correct any defect or supply any omission or reconcile any inconsistency in the
Plan or in any Award Agreement in the manner and to the extent the Committee deems necessary or
desirable to further the purposes of the Plan. Any decision of the Committee in the interpretation
and administration of the Plan will lie within its sole and absolute discretion and will be final,
conclusive and binding on all parties concerned.

          (b) No Committee member or Company officer to whom the Committee delegates authority (pursuant
to Paragraph 7) will be liable for any action that person takes or omits to take in connection with
the performance of any duties under the Plan, except for his or her own willful misconduct or as
any applicable statute expressly provides.

          (c) No Option or SAR may be repriced, replaced, regranted through cancellation or modified
without stockholder approval (except in connection with a change in the Company’s capitalization),
if the effect would be to reduce the exercise price for the shares underlying such Award.

     7. Delegation of Authority. The Committee may delegate to the CEO and to other senior
officers of the Company its duties under the Plan on such terms and subject to such conditions or
limitations as the Committee may establish.

     8. Awards.

          (a) Employee Awards. The Committee will determine the type or types of Employee Awards to be
made and will designate from time to time the Employees who are to receive Employee Awards. An
Employee Award Agreement will (i) evidence each Employee Award, (ii) contain such terms, conditions
and limitations as the Committee determines in its sole discretion, and (iii) be signed by the
Participant to whom that Employee Award is made and an Authorized Officer. Employee Awards may
consist of those this Paragraph 8(a) lists and may be granted singly or in combination or in tandem
with other Employee Awards. Employee Awards also may be made in combination or in tandem with, in
replacement of or as alternatives to grants or rights under the Plan or any other plan of the
Company or any of its Subsidiaries, including the plan of any acquired entity; provided that,
except as contemplated in Paragraph 14 hereof, no Option or SAR may be issued in exchange for the
cancellation of an Option or SAR with a higher exercise price nor may the exercise price of any
Option or SAR be reduced. An Employee Award may provide for the grant or issuance of additional,
replacement or alternative Employee Awards on the occurrence of specified events, including the
exercise of the original Employee Award granted to a Participant. All or part of an Employee Award
may be subject to such conditions as the Committee may establish, which may include, but are not
limited to, continuous service with the Company and its Subsidiaries, achievement of specific
business objectives, increases or maintenance of levels in specified indices, attainment or
maintenance of specified growth rates and other comparable measurements of performance. If a
Participant holding an Employee Award ceases to be an Employee, any unexercised, deferred,

-5-

 

unexercisable, unvested or unpaid portion of that Employee Award will be treated as the
applicable Employee Award Agreement sets forth.

     The types of Employee Awards that may be made under the Plan are as follows:

     (i) Option. An Employee Award may be in the form of an Incentive Option or a
Nonqualified Option. The Committee may designate an Option as an “incentive stock
option” for purposes of Code Section 422, and any Stock Option that is not so
designated shall be a Nonqualified Option. The price at which any share of Common
Stock may be purchased on the exercise of any Option will be not less than the Fair
Market Value of a share of the Common Stock on the date of grant of that Option. No
Option may be exercised after the expiration of 10 years from the date such Option
is granted. No Option may include provisions that “reload” the Option upon exercise
(i.e. automatically grant additional options upon the exercise of the original
grant). Subject to the foregoing limitations, the Committee will determine the
other terms, conditions and limitations applicable to each Option, including its
term and the date or dates on which it becomes exercisable.

     (ii) SAR. An Employee Award may be in the form of an SAR. The strike price
for an SAR shall not be less than the Fair Market Value of the Common Stock on the
date on which the SAR is granted. The term of an SAR shall not exceed 10 years from
the date of grant. Subject to the foregoing limitations, the terms, conditions and
limitations applicable to any SAR awarded pursuant to the Plan, including its term
and the date or dates on which it becomes exercisable, shall be determined by the
Committee.

     (iii) Stock Award. An Employee Award may be in the form of a Stock Award. The
terms, conditions and limitations of the Stock Award shall be determined by the
Committee, subject to the following limitations. Any such Stock Award which is not
a Performance Award shall have a minimum Restriction Period of three years from the
date of grant, provided that (i) the Committee may provide for earlier vesting (A)
following a change of control or other specified event involving the Company or (B)
upon termination of the applicable Employee’s employment by reason of death,
disability or retirement, or, if provided in a written employment or severance
agreement between the Company and such Employee (whether such agreement is in effect
as of the effective date of this Plan or entered into thereafter), upon termination
of such Employee’s employment by the Company without cause or termination of such
Employee’s employment by such Employee for good reason or good cause, (ii) such
three-year minimum Restricted Period shall not apply to a Stock Award that is
granted in lieu of salary or bonus, and (iii) vesting of a Stock Award may occur
incrementally over the three-year minimum Restricted Period.

     (iv) Cash Award. An Employee Award may be in the form of a Cash Award, the
terms, conditions and limitations applicable to which the Committee will determine.

-6-

 

     (v) Performance Awards. Without limiting the type or number of Awards that may
be made under the other provisions of the Plan, an Award may be in the form of a
Performance Award. The terms, conditions and limitations applicable to any
Performance Awards granted to Participants pursuant to the Plan shall be determined
by the Committee, subject to the limitations specified below. Any Stock Award which
is a Performance Award shall have a minimum Restriction Period of one year from the
date of grant, provided that the Committee may provide for earlier vesting following
a change in control or other specified events involving the Company, or upon a
termination of employment by reason of death, disability or retirement. The
Committee shall set Performance Goals in its discretion which, depending on the
extent to which they are met, will determine the value and/or amount of Performance
Awards that will be paid out to the Participant and/or the portion of an Award that
may be exercised.

          (a) Nonqualified Performance Awards. Performance Awards granted to
Employees or Nonemployee Directors that are not intended to qualify as qualified
performance-based compensation under Code Section 162(m) shall be based on
achievement of such Performance Goals and be subject to such terms, conditions and
restrictions as the Committee or its delegate shall determine.

          (b) Qualified Performance Awards. Performance Awards granted to
Employees under the Plan that are intended to qualify as qualified performance-based
compensation under Code Section 162(m) shall be paid, vested or otherwise
deliverable solely on account of the attainment of one or more pre-established,
objective Performance Goals established by the Committee in accordance with Code
Section 162(m) prior to the earlier to occur of (x) 90 days after the commencement
of the period of service to which the Performance Goal relates and (y) the lapse of
25% of the period of service (as scheduled in good faith at the time the goal is
established), and in any event while the outcome is substantially uncertain. A
Performance Goal is objective if a third party having knowledge of the relevant
facts could determine whether the goal is met. Such a Performance Goal may be based
on one or more business criteria that apply to the Employee, one or more business
units, divisions or sectors of the Company, or the Company as a whole, and if so
desired by the Committee, by comparison with a peer group of companies. A
Performance Goal may apply to the individual, one or more lines or classes of
products or services of the Company, one or more business divisions, groups or units
of the Company, or the Company as a whole, and may include, among other criteria,
one or more of the following: increased revenue, net income, stock price, market
share, earnings per share, return on equity, return on assets or decrease in costs.
Unless otherwise stated, such a Performance Goal need not be based upon an increase
or positive result under a particular business criterion and could include, for
example, maintaining the status quo or limiting economic losses (measured, in each
case, by reference to specific business criteria). In interpreting Plan provisions
applicable to qualified Performance Awards, it is the intent of the Plan to conform
with the standards of Code Section 162(m) and Treasury Regulation
§1.162-27(e)(2)(i), as to grants to those Participants whose compensation is, or is
likely to be, subject to Code

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Section 162(m), and the Committee in establishing such goals and interpreting the
Plan shall be guided by such provisions. Prior to the payment of any compensation
based on the achievement of Performance Goals for qualified Performance Awards, the
Committee must certify in writing that applicable Performance Goals and any of the
material terms thereof were, in fact, satisfied. Subject to the foregoing
provisions, the Committee will determine the terms, conditions and limitations
applicable to Performance Awards.

          (b) The following limitations will apply to each Employee Award:

     (i) no Participant may be granted, during any one-year period, Employee Awards
consisting of Options or SARs that are exercisable for more than 150,000 shares of
Common Stock;

     (ii) no Participant may be granted, during any one-year period, Stock Awards
that are intended to be Qualified Performance Awards covering or relating to more
than 150,000 shares of Common Stock (this limitation and the limitation clause in
(x) above being the “Stock-based Awards Limitations”); and

     (iii) no Participant may be granted Employee Awards that are intended to be
Qualified Performance Awards consisting of cash or that are in any other form the
Plan permits (other than Employee Awards consisting of Options or SARs, or otherwise
consisting of Common Stock or units denominated in Common Stock) in respect of any
one-year period having a value determined on the date of grant in excess of
$2,000,000.00.

          (c) Director Awards. The Committee may grant a Nonemployee Director one or more Awards and
establish the terms thereof consistent with the foregoing provisions of this Paragraph 8 for
granting awards to Employees and subject to the applicable terms, conditions and limitations set
forth in the Plan and the applicable Award Agreement.

     9. Payment of Awards.

     (a) General. Payment of Awards may be made in the form of cash or Common Stock, or a
combination thereof, and may include such restrictions as the Committee may determine,
including, in the case of Common Stock, restrictions on transfer and forfeiture provisions.
If payment of an Award is made in the form of shares of Restricted Stock, the applicable
Award Agreement relating to those shares will specify whether they are to be issued at the
beginning or end of the applicable Restriction Period. If shares of Restricted Stock are to
be issued at the beginning of their Restriction Period, the certificates evidencing those
shares (to the extent that those shares are so evidenced) will contain appropriate legends
and restrictions that describe the terms and conditions of the restrictions applicable
thereto. If shares of Restricted Stock are to be issued at the end of the applicable
Restricted Period, the right to receive those shares will be evidenced by book-entry
registration or in such other manner as the Committee may determine.

     (b) Deferral. With the approval of the Committee, amounts payable in respect of Awards
may be deferred and paid either in the form of installments or as a lump-sum

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payment. The Committee may permit selected Participants to elect to defer payments of
some or all types of Awards in accordance with procedures the Committee establishes. Any
deferred payment of an Award, whether elected by the Participant or specified by the
applicable Award Agreement or by the Committee, may be forfeited if and to the extent that
the applicable Award Agreement so provides.

     (c) Dividends and Interest. Rights to dividends or Dividend Equivalents may be
extended to and made part of any Award consisting of shares of Common Stock or units
denominated in shares of Common Stock, subject to such terms, conditions and restrictions as
the Committee may establish. The Committee also may establish rules and procedures for the
crediting of interest on deferred cash payments and Dividend Equivalents for Awards
consisting of Common Stock or units denominated in Common Stock.

     10. Option Exercise. The price at which shares of Common Stock may be purchased under an
Option will be paid in full at the time of exercise in cash or, if the Participant so elects, the
Participant may purchase those shares by such means as approved by the Committee which may include
tendering shares of Common Stock or surrendering another Award, including shares of Restricted
Stock, valued at their Fair Market Value per share on the date of exercise, or any combination
thereof. The Committee will determine acceptable methods for Participants to tender Common Stock
or other Awards to exercise an Option. The Committee may provide for procedures to permit the
exercise or purchase of any Award by use of the proceeds to be received from the sale of Common
Stock issuable pursuant to such an Award. Unless the applicable Award Agreement otherwise
provides, if shares of Restricted Stock are tendered as consideration for the exercise of an
Option, the number of the shares issued on the exercise of the Option which equals the number of
shares of Restricted Stock used as consideration therefor will be subject to the same restrictions
as the Restricted Stock so submitted as well as to any additional restrictions the Committee may
impose.

     11. Taxes. The Company will have the right to deduct applicable taxes from any Employee Award
payment and withhold, at the time of delivery or vesting of cash or shares of Common Stock under
the Plan, or at the time applicable law otherwise requires, an appropriate amount of cash or number
of shares of Common Stock or a combination thereof for payment of taxes required by law or to take
such other action as may be necessary in the opinion of the Company to satisfy all obligations for
withholding of those taxes. The Committee may permit withholding to be satisfied by the transfer
to the Company of shares of Common Stock theretofore owned by the holder of the Employee Award with
respect to which withholding is required. If shares of Common Stock are used to satisfy tax
withholding, those shares will be valued at their Fair Market Value per share when the tax
withholding is required to be made.

     12. Amendment, Modification, Suspension or Termination. The Board may amend, modify, suspend
or terminate the Plan for the purpose of meeting or addressing any changes in legal requirements or
for any other purpose applicable law permits, except that (a) no amendment or alteration that would
adversely affect the rights of any Participant under any Award previously granted to that
Participant will be made without the written consent of that Participant and (b) no amendment or
alteration that would constitute a material revision to the Plan requiring stockholder approval
under applicable legal requirements or the applicable

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requirements of the NASDAQ Stock Market or such other securities exchange on which the Common
Stock is listed will be made without stockholder approval. The Plan shall terminate on April 10,
2018 unless sooner terminated by the Board pursuant to the preceding sentence. Termination of the
Plan shall not affect any of the rights of any Participant under any Award outstanding on the
termination date of the Plan, and such rights shall continue to be subject to the terms of the
applicable Award Agreement and the Plan, notwithstanding the termination of the Plan. Subject to
Section 14 below, no amendment, alteration or modification to an Option or SAR that has the effect
of a repricing thereof or the cancellation and regrant of same which has the effect of reducing the
exercise or strike price is allowable. Further, the Committee may not establish or maintain any
program under which outstanding Options or SARs are surrendered or canceled in exchange for Options
or SARs with a lower exercise price or greater economic value. After it is granted, no Option or
SAR may be amended to decrease the purchase price, no Option or SAR may be granted in substitution
for an outstanding Option or SAR with a purchase price lower than the purchase price of an
outstanding Option or SAR, and no Option or SAR may be otherwise repriced at a lower purchase price
directly or indirectly.

     13. Assignability. Unless the Committee otherwise determines and provides in the applicable
Award Agreement, no Award or any other benefit under the Plan will be assignable or otherwise
transferable except by will or the laws of descent and distribution or pursuant to a qualified
domestic relations order as defined by the Code or Title I of the Employee Retirement Income
Security Act of 1974, as amended, or the rules thereunder. The Committee may prescribe and include
in any Award Agreement other restrictions on transfer. Any attempted assignment of an Award or any
other benefit under the Plan in violation of this Paragraph 13 will be null and void.

     14. Adjustments.

          (a) The existence of outstanding Awards will not affect in any manner the right or power of
the Company or its stockholders to make or authorize any or all adjustments, recapitalizations,
reorganizations or other changes in the capital stock of the Company or its business or any merger
or consolidation of the Company, or any issue of bonds, debentures, preferred or other stock
(whether or not that issue is prior to, on a parity with or junior to the Common Stock) or the
dissolution or liquidation of the Company, or any sale or transfer of all or any part of its assets
or business, or any other corporate act or proceeding of any kind, whether or not of a character
similar to that of the acts or proceedings enumerated above.

          (b) In the event of any subdivision or consolidation of outstanding shares of Common Stock,
declaration of a dividend payable in shares of Common Stock or other stock split, then (i) the
number of shares of Common Stock reserved under the Plan, (ii) the number of shares of Common Stock
covered by outstanding Awards in the form of Common Stock or units denominated in Common Stock,
(iii) the exercise or other price in respect of such Awards, (iv) the Stock-based Award Limitations
described in Paragraph 8(b) hereof, and (v) the appropriate Fair Market Value and other price
determinations for such Awards shall each be proportionately adjusted by the Board to reflect such
transaction. In the event of any other recapitalization or capital reorganization of the Company,
any consolidation or merger of the Company with another corporation or entity, the adoption by the
Company of any plan of exchange affecting the Common Stock or any distribution to holders of Common
Stock of securities or property (other

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than normal cash dividends or dividends payable in Common Stock), the Board shall make
appropriate adjustments to (i) the number of shares of Common Stock reserved under the Plan, (ii)
the number of shares of Common Stock covered by Awards in the form of Common Stock or units
denominated in Common Stock, (iii) the exercise or other price in respect of such Awards, (iv) the
appropriate Fair Market Value and other price determinations for such Awards, and (v) the
Stock-based Award Limitations described in Paragraph 8(b) hereof, to give effect to such
transaction; provided that such adjustments shall only be such as are necessary to maintain the
proportionate interest of the holders of the Awards and preserve, without exceeding, the value of
such Awards.

          (c) In the event of a corporate merger, consolidation, acquisition of property or stock,
separation, reorganization or liquidation, the Board may make such adjustments to Awards or other
provisions for the disposition of Awards as it deems equitable, and shall be authorized, in its
discretion, (i) to provide for the substitution of a new Award or other arrangement (which, if
applicable, may be exercisable for such property or stock as the Board determines) for an Award or
the assumption of the Award, regardless of whether in a transaction to which Code Section 424(a)
applies, (ii) to provide, prior to the transaction, for the acceleration of the vesting and
exercisability of, or lapse of restrictions with respect to, the Award and, if the transaction is a
cash merger, provide for the termination of any portion of the Award that remains unexercised at
the time of such transaction or (iii) to cancel any such Awards and to deliver to the Participants
cash in an amount that the Board shall determine in its sole discretion is equal to the fair market
value of such Awards on the date of such event, which in the case of Options or SARS shall be the
excess of the Fair Market Value of Common Stock on such date over the grant price of such Award
(for the avoidance of doubt, if the exercise price is less than Fair Market Value, the Option or
SAR may be canceled for no consideration).

     15. Restrictions. No Common Stock or other form of payment will be issued with respect to any
Award unless the Company is satisfied, on the basis of advice of its counsel, that the issuance
will comply with applicable federal and state securities laws, including the Securities Act of
1933, as amended. Certificates evidencing shares of Common Stock delivered under the Plan (to the
extent that the shares are so evidenced) may be subject to such stop-transfer orders and other
restrictions as the Committee may deem advisable under the rules, regulations and other
requirements of the Securities and Exchange Commission, any securities exchange or transaction
reporting system on which the Common Stock is then listed or to which it is admitted for quotation
and any applicable federal or state securities law. The Committee may cause a legend or legends to
be placed upon those certificates (if any) to make appropriate reference to those restrictions.

     16. Unfunded Plan. Insofar as the Plan provides for Awards of cash, Common Stock or rights
thereto, it will be unfunded. Although the Company may establish bookkeeping accounts with respect
to Participants who are entitled to cash, Common Stock or rights thereto under the Plan, it will
use any such accounts merely as a bookkeeping convenience. The Company will not be required to
segregate any assets that may at any time be represented by cash, Common Stock or rights thereto,
nor will the Plan be construed as providing for that segregation, nor shall the Company, the Board
or the Committee be deemed to be a trustee of any cash, Common Stock or rights thereto to be
granted under the Plan. Any liability or obligation of the Company to any Participant with respect
to an Award of cash, Common Stock

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or rights thereto under the Plan will be based solely on any contractual obligations that the
Plan and any Award Agreement create, and no such liability or obligation of the Company will be
deemed to be secured by any pledge or other encumbrance on any property of the Company. Neither
the Company nor the Board nor the Committee will be required to give any security or bond for the
performance of any obligation that the Plan creates.

     17. Code Section 409A. Notwithstanding anything in the Plan to the contrary, if any Plan
provision or Award under the Plan would result in the imposition of an applicable tax under Code
Section 409A and related regulations and Treasury pronouncements, that Plan provision or Award will
be reformed to avoid imposition of the applicable tax and no such action shall be deemed to
adversely affect the Participant’s rights to an Award.

     18. Governing Law. The Plan and all determinations made and actions taken pursuant hereto, to
the extent not otherwise governed by mandatory provisions of the Code or the securities laws of the
United States, will be governed by and construed in accordance with the laws of the State of
Delaware.

-12-

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