Document:

Guaranty

 Exhibit 10.9 
 EXECUTION COPY 
  
  

GUARANTY 
 dated
as of 
 December 1, 2006 
 among 
 FREESCALE ACQUISITION HOLDINGS CORP., 

as Holdings 

FREESCALE HOLDINGS (BERMUDA) I, LTD. 
 FREESCALE HOLDINGS (BERMUDA) II, LTD. 
 FREESCALE HOLDINGS (BERMUDA) III, LTD.,

 as Parent 
 FREESCALE HOLDINGS (BERMUDA) IV, LTD., 
 as Foreign Holdings 

CERTAIN SUBSIDIARIES OF PARENT 
 IDENTIFIED HEREIN 
 and 

CITIBANK, N.A., 

as Administrative Agent 
  

 

 TABLE OF CONTENTS 

 

							
	 	  	 	  	Page	 
	
	ARTICLE I	  
	
	Definitions	  
			
	 SECTION 1.01
	  	Credit Agreement	  	 	1	  
	 SECTION 1.02
	  	Other Defined Terms	  	 	1	  
	
	ARTICLE II	  
	
	Guaranty	  
			
	 SECTION 2.01
	  	Guaranty	  	 	2	  
	 SECTION 2.02
	  	Guaranty of Payment	  	 	2	  
	 SECTION 2.03
	  	No Limitations	  	 	2	  
	 SECTION 2.04
	  	Reinstatement	  	 	3	  
	 SECTION 2.05
	  	Agreement To Pay; Subrogation	  	 	3	  
	 SECTION 2.06
	  	Information	  	 	4	  
	
	ARTICLE III	  
	
	Indemnity, Subrogation and Subordination	  
			
	 SECTION 3.01
	  	Indemnity and Subrogation	  	 	4	  
	 SECTION 3.02
	  	Contribution and Subrogation	  	 	4	  
	 SECTION 3.03
	  	Subordination	  	 	4	  
	
	ARTICLE IV	  
	
	Miscellaneous	  
			
	 SECTION 4.01
	  	Notices	  	 	5	  
	 SECTION 4.02
	  	Waivers; Amendment	  	 	5	  
	 SECTION 4.03
	  	Administrative Agent’s Fees and Expenses; Indemnification	  	 	5	  
	 SECTION 4.04
	  	Successors and Assigns	  	 	6	  
	 SECTION 4.05
	  	Survival of Agreement	  	 	6	  
	 SECTION 4.06
	  	Counterparts; Effectiveness; Several Agreement	  	 	6	  
	 SECTION 4.07
	  	Severability	  	 	7	  
	 SECTION 4.08
	  	Right of Set-Off	  	 	7	  
	 SECTION 4.09
	  	Governing Law; Jurisdiction; Consent to Service of Process	  	 	7	  
	 SECTION 4.10
	  	WAIVER OF JURY TRIAL	  	 	8	  
	 SECTION 4.11
	  	Headings	  	 	8	  
	 SECTION 4.12
	  	Security Interest Absolute	  	 	9	  
	 SECTION 4.13
	  	Termination or Release	  	 	9	  

  
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	 SECTION 4.14
	  	Additional Restricted Subsidiaries	  	 	9	  

  

			
	 Exhibits
	  	  
		
	Exhibit I	  	Form of Guaranty Supplement

  
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 GUARANTY dated as of December 1, 2006, among FREESCALE ACQUISITION
HOLDINGS CORP. (“Holdings”), FREESCALE HOLDINGS (BERMUDA) III, LTD. (“Parent”), FREESCALE HOLDINGS (BERMUDA) IV, LTD. (“Foreign Holdings”), FREESCALE HOLDINGS (BERMUDA) I, LTD. (“FH
I”), FREESCALE HOLDINGS (BERMUDA) II, LTD. (“FH II”), the Subsidiaries of Parent from time to time party hereto and CITIBANK, N.A., as Administrative Agent. 

Reference is made to the Credit Agreement dated as of December 1, 2006 (as amended, supplemented or otherwise modified from time to
time, the “Credit Agreement”), among Freescale Acquisition Corporation (prior to the Merger, the “Borrower”), to be merged with and into Freescale Semiconductor, Inc. (after the Merger, the
“Borrower”), Foreign Holdings, Holdings, Parent, Citibank, N.A., as Administrative Agent, Swing Line Lender and an [L/C Issuer, and each lender from time to time party thereto (collectively, the “Lenders” and
individually, a “Lender”). The Lenders have agreed to extend credit to the Borrower subject to the terms and conditions set forth in the Credit Agreement. The obligations of the Lenders to extend such credit are conditioned upon,
among other things, the execution and delivery of this Agreement. FH I, FH II, Foreign Holdings, Parent and Holdings are affiliates of the Borrower, will derive substantial benefits from the extension of credit to the Borrower pursuant to the Credit
Agreement and are willing to execute and deliver this Agreement in order to induce the Lenders to extend such credit. Accordingly, the parties hereto agree as follows: 
 ARTICLE I 
 Definitions 

SECTION 1.01 Credit Agreement. 
 (a) Capitalized terms used in this Agreement and not otherwise defined herein have the meanings specified in the Credit Agreement. 

(b) The rules of construction specified in Article I of the Credit Agreement also apply to this Agreement. 

SECTION 1.02 Other Defined Terms. As used in this Agreement, the following terms have the meanings specified below: 

“Administrative Agent” means Citibank, N.A., in it capacity as administrative agent under any of the Loan Documents or
any successor administrative agent. 
 “Agreement” means this Guaranty. 

“Claiming Party” has the meaning assigned to such term in Section 3.02. 

“Contributing Party” has the meaning assigned to such term in Section 3.02. 

 “Credit Agreement” has the meaning assigned to such term in the preliminary
statement of this Agreement. 
 “Guarantor” means FH I, FH II, Foreign Holdings, Parent, Holdings, each
Restricted Subsidiary that is a Material Domestic Subsidiary and not an Excluded Subsidiary, each Material Foreign Subsidiary that is not a direct or indirect Subsidiary of Holdings and each party that becomes a party to this Agreement after the
Closing Date. 
 “Guaranty Parties” means, collectively, the Borrower and each Guarantor. 

“Guaranty Supplement” means an instrument in the form of Exhibit I hereto. 

“Holdings” has the meaning assigned to such term in the preliminary statement of this Agreement. 

“Parent” has the meaning assigned to such term in the preliminary statement of this Agreement. 

ARTICLE II 

Guaranty 

SECTION 2.01 Guaranty. Each Guarantor unconditionally guarantees, jointly with the other Guarantors and severally, as a primary
obligor and not merely as surety, the due and punctual payment and performance of the Obligations. Each of the Guarantors further agrees that the Obligations may be extended or renewed, in whole or in part, without notice to or further assent from
it, and that it will remain bound upon its guarantee notwithstanding any extension or renewal of any Obligation. Each of the Guarantors waives presentment to, demand of payment from and protest to the Borrower or any other Guaranty Party of any of
the Obligations, and also waives notice of acceptance of its guarantee and notice of protest for nonpayment. 
 SECTION 2.02
Guaranty of Payment. Each of the Guarantors further agrees that its guarantee hereunder constitutes a guarantee of payment when due and not of collection, and waives any right to require that any resort be had by the Administrative Agent or
any other Secured Party to any security held for the payment of the Obligations or to any balance of any deposit account or credit on the books of the Administrative Agent or any other Secured Party in favor of the Borrower or any other Person.

 SECTION 2.03 No Limitations. 
 (a) Except for termination of a Guarantor’s obligations hereunder as expressly provided in Section 4.13, the obligations of each Guarantor hereunder shall not be subject to any reduction,
limitation, impairment or termination for any reason, including any claim of waiver, release, surrender, alteration or compromise, and shall not be subject to any defense or set-off, counterclaim, recoupment or termination whatsoever by reason of
the invalidity, illegality or unenforceability of the Obligations, or otherwise. Without limiting the generality of the foregoing, the obligations of each Guarantor hereunder shall not be discharged

  
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or impaired or otherwise affected by (i) the failure of the Administrative Agent or any other Secured Party to assert any claim or demand or to enforce any right or remedy under the
provisions of any Loan Document or otherwise; (ii) any rescission, waiver, amendment or modification of, or any release from any of the terms or provisions of, any Loan Document or any other agreement, including with respect to any other
Guarantor under this Agreement; (iii) the release of any security held by the Collateral Agent or any other Secured Party for the Obligations; (iv) any default, failure or delay, willful or otherwise, in the performance of the Obligations;
or (v) any other act or omission that may or might in any manner or to any extent vary the risk of any Guarantor or otherwise operate as a discharge of any Guarantor as a matter of law or equity (other than the indefeasible payment in full in
cash of all the Obligations). Each Guarantor expressly authorizes the Secured Parties to take and hold security for the payment and performance of the Obligations, to exchange, waive or release any or all such security (with or without
consideration), to enforce or apply such security and direct the order and manner of any sale thereof in their sole discretion or to release or substitute any one or more other guarantors or obligors upon or in respect of the Obligations, all
without affecting the obligations of any Guarantor hereunder. 
 (b) To the fullest extent permitted by applicable law, each
Guarantor waives any defense based on or arising out of any defense of the Borrower or any other Guaranty Party or the unenforceability of the Obligations, or any part thereof from any cause, or the cessation from any cause of the liability of the
Borrower or any other Guaranty Party, other than the indefeasible payment in full in cash of all the Obligations. The Administrative Agent and the other Secured Parties may in accordance with the terms of the Collateral Documents, at their election,
foreclose on any security held by one or more of them by one or more judicial or nonjudicial sales, accept an assignment of any such security in lieu of foreclosure, compromise or adjust any part of the Obligations, make any other accommodation with
the Borrower or any other Guaranty Party or exercise any other right or remedy available to them against the Borrower or any other Guaranty Party, without affecting or impairing in any way the liability of any Guarantor hereunder except to the
extent the Obligations have been fully and indefeasibly paid in full in cash. To the fullest extent permitted by applicable law, each Guarantor waives any defense arising out of any such election even though such election operates, pursuant to
applicable law, to impair or to extinguish any right of reimbursement or subrogation or other right or remedy of such Guarantor against the Borrower or any other Guaranty Party, as the case may be, or any security. 

SECTION 2.04 Reinstatement. Each of the Guarantors agrees that its guarantee hereunder shall continue to be effective or be
reinstated, as the case may be, if at any time payment, or any part thereof, of any Obligation, is rescinded or must otherwise be restored by the Administrative Agent or any other Secured Party upon the bankruptcy or reorganization of the Borrower,
any other Guaranty Party or otherwise. 
 SECTION 2.05 Agreement To Pay; Subrogation. In furtherance of the foregoing and
not in limitation of any other right that the Administrative Agent or any other Secured Party has at law or in equity against any Guarantor by virtue hereof, upon the failure of the Borrower or any other Guaranty Party to pay any Obligation when and
as the same shall become due, whether at maturity, by acceleration, after notice of prepayment or otherwise, each Guarantor hereby promises to and will forthwith pay, or cause to be paid, to the Administrative 

  
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Agent for distribution to the Secured Parties in cash the amount of such unpaid Obligation. Upon payment by any Guarantor of any sums to the Administrative Agent as provided above, all rights of
such Guarantor against the Borrower or any other Guaranty Party arising as a result thereof by way of right of subrogation, contribution, reimbursement, indemnity or otherwise shall in all respects be subject to Article III. 

SECTION 2.06 Information. Each Guarantor assumes all responsibility for being and keeping itself informed of the Borrower’s
and each other Guaranty Party’s financial condition and assets, and of all other circumstances bearing upon the risk of nonpayment of the Obligations, and the nature, scope and extent of the risks that such Guarantor assumes and incurs
hereunder, and agrees that none of the Administrative Agent or the other Secured Parties will have any duty to advise such Guarantor of information known to it or any of them regarding such circumstances or risks. 

ARTICLE III 

Indemnity, Subrogation and Subordination 
 SECTION 3.01 Indemnity and Subrogation. In addition to all such rights of indemnity and subrogation as the Guarantors may have under applicable law (but subject to Section 3.03), the Borrower
agrees that in the event a payment of an obligation shall be made by any Guarantor under this Agreement, the Borrower shall indemnify such Guarantor for the full amount of such payment and such Guarantor shall be subrogated to the rights of the
Person to whom such payment shall have been made to the extent of such payment. 
 SECTION 3.02 Contribution and
Subrogation. Each Guarantor (a “Contributing Party”) agrees (subject to Section 3.03) that, in the event a payment shall be made by any other Guarantor hereunder in respect of any Obligation and such other Guarantor (the
“Claiming Party”) shall not have been fully indemnified by the Borrower as provided in Section 3.01, the Contributing Party shall indemnify the Claiming Party in an amount equal to the amount of such payment, in each case
multiplied by a fraction of which the numerator shall be the net worth of the Contributing Party on the date hereof and the denominator shall be the aggregate net worth of all the Contributing Parties together with the net worth of the Claiming
Party on the date hereof (or, in the case of any Guarantor becoming a party hereto pursuant to Section 4.14, the date of the Guaranty Supplement hereto executed and delivered by such Guarantor). Any Contributing Party making any payment to a
Claiming Party pursuant to this Section 3.02 shall be subrogated to the rights of such Claiming Party to the extent of such payment. 
 SECTION 3.03 Subordination. 
 (a) Notwithstanding any provision of this
Agreement to the contrary, all rights of the Guarantors under Sections 3.01 and 3.02 and all other rights of indemnity, contribution or subrogation under applicable law or otherwise shall be fully subordinated to the indefeasible payment in full in
cash of the Obligations. No failure on the part of the Borrower or any Guarantor to make the payments required by Sections 3.01 and 3.02 (or any other payments required under applicable law or otherwise) shall in any respect limit the obligations
and 

  
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liabilities of any Guarantor with respect to its obligations hereunder, and each Guarantor shall remain liable for the full amount of the obligations of such Guarantor hereunder. 

(b) Each Guarantor hereby agrees that upon the occurrence and during the continuance of an Event of Default and after notice from the
Collateral Agent all Indebtedness owed by it to any Subsidiary shall be fully subordinated to the indefeasible payment in full in cash of the Obligations. 
 ARTICLE IV 
 Miscellaneous 

SECTION 4.01 Notices. All communications and notices hereunder shall (except as otherwise expressly permitted herein) be in
writing and given as provided in Section 10.02 of the Credit Agreement. All communications and notices hereunder to any Guarantor shall be given to it in care of the Borrower as provided in Section 10.02 of the Credit Agreement.

 SECTION 4.02 Waivers; Amendment. 
 (a) No failure or delay by the Administrative Agent, any L/C Issuer or any Lender in exercising any right or power hereunder or under any other Loan Document shall operate as a waiver thereof, nor shall
any single or partial exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such a right or power, preclude any other or further exercise thereof or the exercise of any other right or power. The rights and
remedies of the Administrative Agent, the L/C Issuers and the Lenders hereunder and under the other Loan Documents are cumulative and are not exclusive of any rights or remedies that they would otherwise have. No waiver of any provision of this
Agreement or consent to any departure by any Guaranty Party therefrom shall in any event be effective unless the same shall be permitted by paragraph (b) of this Section 4.02, and then such waiver or consent shall be effective only in the
specific instance and for the purpose for which given. Without limiting the generality of the foregoing, the making of a Loan or issuance of a Letter of Credit shall not be construed as a waiver of any Default, regardless of whether the
Administrative Agent, any Lender or any L/C Issuer may have had notice or knowledge of such Default at the time. No notice or demand on any Guaranty Party in any case shall entitle any Guaranty Party to any other or further notice or demand in
similar or other circumstances. 
 (b) Neither this Agreement nor any provision hereof may be waived, amended or modified
except pursuant to an agreement or agreements in writing entered into by the Administrative Agent and the Guaranty Party or Guaranty Parties with respect to which such waiver, amendment or modification is to apply, subject to any consent required in
accordance with Section 10.01 of the Credit Agreement. 
 SECTION 4.03 Administrative Agent’s Fees and Expenses;
Indemnification. 
 (a) The parties hereto agree that the Administrative Agent shall be entitled to reimbursement of its
expenses incurred hereunder as provided in Section 10.04 of the Credit Agreement. 

  
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 (b) Without limitation of its indemnification obligations under the other Loan Documents,
the Borrower agrees to indemnify the Administrative Agent and the other Indemnitees (as defined in Section 10.05 of the Credit Agreement) against, and hold each Indemnitee harmless from, any and all losses, claims, damages, liabilities and
related expenses, including the reasonable fees, charges and disbursements of any counsel for any Indemnitee, incurred by or asserted against any Indemnitee arising out of, in connection with, or as a result of, the execution, delivery or
performance of this Agreement or any claim, litigation, investigation or proceeding relating to any of the foregoing agreements or instruments contemplated hereby, whether or not any Indemnitee is a party thereto; provided that such indemnity
shall not, as to any Indemnitee, be available to the extent that such losses, claims, damages, liabilities or related expenses are determined by a court of competent jurisdiction by final and nonappealable judgment to have resulted from the gross
negligence or willful misconduct of such Indemnitee or of any Affiliate, director, officer, employee, counsel, agent or attorney-in-fact of such Indemnitee. 
 (c) Any such amounts payable as provided hereunder shall be additional Obligations secured hereby and by the other Collateral Documents. The provisions of this Section 4.03 shall remain operative and
in full force and effect regardless of the termination of this Agreement or any other Loan Document, the consummation of the transactions contemplated hereby, the repayment of any of the Obligations, the invalidity or unenforceability of any term or
provision of this Agreement or any other Loan Document, or any investigation made by or on behalf of the Administrative Agent or any other Secured Party. All amounts due under this Section 4.03 shall be payable within 10 days of written demand
therefor. 
 SECTION 4.04 Successors and Assigns. Whenever in this Agreement any of the parties hereto is referred to,
such reference shall be deemed to include the permitted successors and assigns of such party; and all covenants, promises and agreements by or on behalf of any Guarantor or the Administrative Agent that are contained in this Agreement shall bind and
inure to the benefit of their respective successors and assigns. 
 SECTION 4.05 Survival of Agreement. All covenants,
agreements, representations and warranties made by the Guaranty Parties in the Loan Documents and in the certificates or other instruments prepared or delivered in connection with or pursuant to this Agreement or any other Loan Document shall be
considered to have been relied upon by the Lenders and shall survive the execution and delivery of the Loan Documents and the making of any Loans and issuance of any Letters of Credit, regardless of any investigation made by any Lender or on its
behalf and notwithstanding that the Administrative Agent, any L/C Issuer or any Lender may have had notice or knowledge of any Default or incorrect representation or warranty at the time any credit is extended under the Credit Agreement, and shall
continue in full force and effect as long as the principal of or any accrued interest on any Loan or any fee or any other amount payable under any Loan Document is outstanding and unpaid or any Letter of Credit is outstanding and so long as the
Commitments have not expired or terminated. 
 SECTION 4.06 Counterparts; Effectiveness; Several Agreement. This
Agreement may be executed in counterparts, each of which shall constitute an original but all of which when taken together shall constitute a single contract. Delivery of an executed signature page to this Agreement by facsimile transmission or
other electronic communication shall be as 

  
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effective as delivery of a manually signed counterpart of this Agreement. This Agreement shall become effective as to any Guaranty Party when a counterpart hereof executed on behalf of such
Guaranty Party shall have been delivered to the Administrative Agent and a counterpart hereof shall have been executed on behalf of the Administrative Agent, and thereafter shall be binding upon such Guaranty Party and the Administrative Agent and
their respective permitted successors and assigns, and shall inure to the benefit of such Guaranty Party, the Administrative Agent and the other Secured Parties and their respective successors and assigns, except that no Guaranty Party shall have
the right to assign or transfer its rights or obligations hereunder or any interest herein (and any such assignment or transfer shall be void) except as expressly contemplated by this Agreement or the Credit Agreement. This Agreement shall be
construed as a separate agreement with respect to each Guaranty Party and may be amended, modified, supplemented, waived or released with respect to any Guaranty Party without the approval of any other Guaranty Party and without affecting the
obligations of any other Guaranty Party hereunder. 
 SECTION 4.07 Severability. Any provision of this Agreement held to
be invalid, illegal or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or unenforceability without affecting the validity, legality and enforceability of the remaining
provisions hereof; and the invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction. The parties shall endeavor in good-faith negotiations to replace the invalid, illegal or
unenforceable provisions with valid provisions the economic effect of which comes as close as possible to that of the invalid, illegal or unenforceable provisions. 
 SECTION 4.08 Right of Set-Off. In addition to any rights and remedies of the Lenders provided by Law, upon the occurrence and during the continuance of any Event of Default, each Lender and its
Affiliates is authorized at any time and from time to time, without prior notice to the Borrower or any other Guaranty Party, any such notice being waived by the Borrower and each Guaranty Party to the fullest extent permitted by applicable Law, to
set off and apply any and all deposits (general or special, time or demand, provisional or final) at any time held by, and other Indebtedness at any time owing by, such Lender and its Affiliates to or for the credit or the account of the respective
Guaranty Parties against any and all obligations owing to such Lender and its Affiliates hereunder, now or hereafter existing, irrespective of whether or not such Lender or Affiliate shall have made demand under this Agreement and although such
obligations may be contingent or unmatured or denominated in a currency different from that of the applicable deposit or Indebtedness. Each Lender agrees promptly to notify the Borrower and the Administrative Agent after any such set off and
application made by such Lender; provided, that the failure to give such notice shall not affect the validity of such setoff and application. The rights of each Lender under this Section 4.08 are in addition to other rights and remedies
(including other rights of setoff) that the Administrative Agent and such Lender may have. 
 SECTION 4.09 Governing Law;
Jurisdiction; Consent to Service of Process. 
 (a) This Agreement shall be governed by and construed in accordance with
the law of the State of New York. 

  
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 (b) Each of the Guaranty Parties hereby irrevocably and unconditionally submits, for itself
and its property, to the exclusive jurisdiction of the Supreme Court of the State of New York sitting in New York City and of the United States District Court for the Southern District of New York, and any appellate court from any thereof, in any
action or proceeding arising out of or relating to this Agreement or any other Loan Document, or for recognition or enforcement of any judgment, and each of the parties hereto hereby irrevocably and unconditionally agrees that all claims in respect
of any such action or proceeding may be heard and determined in such New York State or, to the extent permitted by law, in such Federal court. Each of the parties hereto agrees that a final judgment in any such action or proceeding shall be
conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law. Nothing in this Agreement or any other Loan Document shall affect any right that the Administrative Agent, any L/C Issuer or any
Lender may otherwise have to bring any action or proceeding relating to this Agreement or any other Loan Document against any Guarantor, or its properties in the courts of any jurisdiction. 

(c) Each of the Guaranty Parties hereby irrevocably and unconditionally waives, to the fullest extent it may legally and effectively do
so, any objection which it may now or hereafter have to the laying of venue of any suit, action or proceeding arising out of or relating to this Agreement or any other Loan Document in any court referred to in paragraph (b) of this
Section 4.09. Each of the parties hereto hereby irrevocably waives, to the fullest extent permitted by law, the defense of an inconvenient forum to the maintenance of such action or proceeding in any such court. 

(d) Each party to this Agreement irrevocably consents to service of process in the manner provided for notices in Section 4.01.
Nothing in this Agreement or any other Loan Document will affect the right of any party to this Agreement to serve process in any other manner permitted by law. 
 SECTION 4.10 WAIVER OF JURY TRIAL. EACH PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY LEGAL PROCEEDING DIRECTLY OR
INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT, ANY OTHER LOAN DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED ON CONTRACT, TORT OR ANY OTHER THEORY). EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR
ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED
TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 4.10. 
 SECTION 4.11
Headings. Article and Section headings and the Table of Contents used herein are for convenience of reference only, are not part of this Agreement and are not to affect the construction of, or to be taken into consideration in interpreting,
this Agreement. 

  
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 SECTION 4.12 Security Interest Absolute. All rights of the Administrative Agent
hereunder and all obligations of each Guarantor hereunder shall be absolute and unconditional irrespective of (a) any lack of validity or enforceability of the Credit Agreement, any other Loan Document, any agreement with respect to any of the
Obligations or any other agreement or instrument relating to any of the foregoing, (b) any change in the time, manner or place of payment of or in any other term of, all or any of the Obligations, or any other amendment or waiver of or any
consent to any departure from the Credit Agreement, any other Loan Document, any other agreement or instrument, (c) any release or amendment or waiver of or consent under or departure from any guarantee guaranteeing all or any of the
Obligations or (d) any other circumstance that might otherwise constitute a defense available to, or a discharge of, any Guarantor in respect of the Obligations or this Agreement. 

SECTION 4.13 Termination or Release. 
 (a) This Agreement and the Guaranties made herein shall terminate with respect to all Obligations when all the outstanding Obligations have been indefeasibly paid in full and the Lenders have no further
commitment to lend under the Credit Agreement, the L/C Obligations have been reduced to zero and the L/C Issuers have no further obligations to issue Letters of Credit under the Credit Agreement. 

(b) A Guarantor shall automatically be released from its obligations hereunder upon the consummation of any transaction permitted by the
Credit Agreement as a result of which such Guarantor ceases to be a Subsidiary of Parent; provided that the Required Lenders shall have consented to such transaction (to the extent required by the Credit Agreement) and the terms of such
consent did not provide otherwise. 
 (c) In connection with any termination or release pursuant to paragraph (a), the
Administrative Agent shall execute and deliver to any Guarantor, at such Guarantor’s expense, all documents that such Guarantor shall reasonably request to evidence such termination or release. Any execution and delivery of documents pursuant
to this Section 4.13 shall be without recourse to or warranty by the Administrative Agent. 
 (d) Notwithstanding anything
to the contrary set forth herein or in any other Loan Document, so long as no Default or Event of Default shall have occurred and be continuing, in the event that the Foreign Reorganization is not consummated and to the extent that any Permitted
Intercompany Transfer has occurred (or will occur concurrently with such release described in the Credit Agreement), any Other Parent Guarantor, Parent and Foreign Holdings, as applicable, shall be automatically released from their respective
obligations hereunder. 
 (e) A Guarantor (other than Holdings) shall automatically be released from its obligations hereunder
if such Guarantor ceases to be a Material Domestic Subsidiary pursuant to the terms of the Credit Agreement. 
 SECTION 4.14
Additional Restricted Subsidiaries. Pursuant to Section 6.11 of the Credit Agreement, certain Restricted Subsidiaries of Parent that were not in existence or not Restricted Subsidiaries on the date of the Credit Agreement are required to
enter in this 

  
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Agreement as Guarantors upon becoming a Restricted Subsidiaries. Upon execution and delivery by the Administrative Agent and a Restricted Subsidiary of a Guaranty Supplement, such Restricted
Subsidiary shall become a Guarantor hereunder with the same force and effect as if originally named as a Guarantor herein. The execution and delivery of any such instrument shall not require the consent of any other Guaranty Party hereunder. The
rights and obligations of each Guaranty Party hereunder shall remain in full force and effect notwithstanding the addition of any new Guaranty Party as a party to this Agreement. 

  
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 IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the day and
year first above written. 
  

					
	CITIBANK, N.A.,
		 	as Administrative Agent,
		
	By:	 	 /s/ David J. Wirdnak

		 	Name:	 	David J. Wirdnak
		 	Title:	 	Director and Vice President

[Guaranty] 

 IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the day and
year first above written. 
  

					
	FREESCALE ACQUISITION HOLDINGS CORP.,
		
	By:	 	 /s/ Anjan Mukherjee

		 	Name:	 	Anjan Mukherjee
		 	Title:	 	Vice President and Secretary
	
	FREESCALE HOLDINGS (BERMUDA) I, LTD.,
		
	By:	 	 /s/ Paul C. Schorr IV

		 	Name:	 	Paul C. Schorr IV
		 	Title:	 	President
	
	FREESCALE HOLDINGS (BERMUDA) II, LTD.,
		
	By:	 	 /s/ Paul C. Schorr IV

		 	Name:	 	Paul C. Schorr IV
		 	Title:	 	President
	
	FREESCALE HOLDINGS (BERMUDA) III, LTD.,
		
	By:	 	 /s/ Paul C. Schorr IV

		 	Name:	 	Paul C. Schorr IV
		 	Title:	 	President
	
	FREESCALE HOLDINGS (BERMUDA) IV, LTD.,
		
	By:	 	 /s/ Paul C. Schorr IV

		 	Name:	 	Paul C. Schorr IV
		 	Title:	 	President

 [Guaranty] 

 IN WITNESS WHEREOF, for the purposes of Section 3.01 and 4.03 only the undersigned has
executed this Guaranty as of the date first written above. 
  

					
	FREESCALE ACQUISITION CORPORATION,
		
	By:	 	 /s/ Anjan Mukherjee

		 	Name:	 	Anjan Mukherjee
		 	Title:	 	Vice President and Secretary

[Guaranty] 

 IN WITNESS WHEREOF, for the purposes of Section 3.01 and 4.03 only, the undersigned has
executed this Guaranty as of the date first written above. 
  

					
	FREESCALE SEMICONDUCTOR, INC.,
		
	By:	 	 /s/ Alan Campbell

		 	Name:	 	Alan Campbell
		 	Title:	 	 Senior Vice President and

Chief Financial Officer

 [Guaranty] 

 Exhibit I to the Guaranty Agreement 

SUPPLEMENT NO.              dated as of [ — ], to the Guaranty dated as of December 1, 2006, among FREESCALE ACQUISITION HOLDINGS CORP. (“Holdings”), FREESCALE HOLDINGS (BERMUDA) III, LTD. (“Parent”),
FREESCALE HOLDINGS (BERMUDA) IV, LTD. (“Foreign Holdings”), FREESCALE HOLDINGS (BERMUDA) I, LTD. (“FH I”), FREESCALE HOLDINGS (BERMUDA) II, LTD. (“FH II”), the Subsidiaries of Parent from time
to time party hereto and CITIBANK, N.A., as Administrative Agent. 
 A. Reference is made to the Credit Agreement dated as of
December 1, 2006 (as amended, supplemented or otherwise modified from time to time, the “Credit Agreement”), among Freescale Semiconductor, Inc. (the “Borrower”), Foreign Holdings, Holdings, Parent, Citibank,
N.A., as Administrative Agent, Swing Line Lender and an L/C Issuer, and each lender from time to time party thereto (collectively, the “Lenders” and individually, a “Lender”). 

B. Capitalized terms used herein and not otherwise defined herein shall have the meanings assigned to such terms in the Credit Agreement
and the Guaranty referred to therein. 
 C. The Guarantors have entered into the Guaranty in order to induce the Lenders to make
Loans and the L/C Issuers to issue Letters of Credit. Section 4.14 of the Guaranty provides that additional Restricted Subsidiaries of Parent may become Guarantors under the Guaranty by execution and delivery of an instrument in the form of
this Supplement. The undersigned Restricted Subsidiary (the “New Subsidiary”) is executing this Supplement in accordance with the requirements of the Credit Agreement to become a Guarantor under the Guaranty in order to induce the
Lenders to make additional Loans and the L/C Issuers to issue additional Letters of Credit and as consideration for Loans previously made and Letters of Credit previously issued. 

Accordingly, the Administrative Agent and the New Subsidiary agree as follows: 

SECTION 1. In accordance with Section 4.14 of the Guaranty, the New Subsidiary by its signature below becomes a Guarantor under the
Guaranty with the same force and effect as if originally named therein as a Guarantor and the New Subsidiary hereby (a) agrees to all the terms and provisions of the Guaranty applicable to it as a Guarantor thereunder and (b) represents
and warrants that the representations and warranties made by it as a Guarantor thereunder are true and correct on and as of the date hereof. Each reference to a “Guarantor” in the Security Agreement shall be deemed to include the New
Subsidiary. The Guaranty is hereby incorporated herein by reference. 
 SECTION 2. The New Subsidiary represents and warrants to
the Administrative Agent and the other Secured Parties that this Supplement has been duly authorized, executed and delivered by it and constitutes its legal, valid and binding obligation, enforceable against it in accordance with its terms, except
as such enforceability may be limited by Debtor Relief Laws and by general principles of equity. 

 SECTION 3. This Supplement may be executed in counterparts (and by different parties hereto
on different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract. This Supplement shall become effective when the Administrative Agent shall have received a counterpart
of this Supplement that bears the signature of the New Subsidiary and the Administrative Agent has executed a counterpart hereof. Delivery of an executed signature page to this Supplement by facsimile transmission or other electronic communication
shall be as effective as delivery of a manually signed counterpart of this Supplement. 
 SECTION 4. Except as expressly
supplemented hereby, the Guaranty shall remain in full force and effect. 
 SECTION 5. THIS SUPPLEMENT SHALL BE GOVERNED BY, AND
CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK. 
 SECTION 6. In case any one or more of the provisions
contained in this Supplement should be held invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein and in the Guaranty shall not in any way be affected or impaired
thereby (it being understood that the invalidity of a particular provision in a particular jurisdiction shall not in and of itself affect the validity of such provision in any other jurisdiction). The parties hereto shall endeavor in good-faith
negotiations to replace the invalid, illegal or unenforceable provisions with valid provisions the economic effect of which comes as close as possible to that of the invalid, illegal or unenforceable provisions. 

SECTION 7. All communications and notices hereunder shall be in writing and given as provided in Section 4.01 of the Guaranty.

 SECTION 8. The New Subsidiary agrees to reimburse the Administrative Agent for its reasonable out-of-pocket expenses in
connection with this Supplement, including the reasonable fees, other charges and disbursements of counsel for the Administrative Agent. 

  
 I-2

 IN WITNESS WHEREOF, the New Subsidiary and the Administrative Agent have duly executed this
Supplement to the Guaranty as of the day and year first above written. 
  

			
	[NAME OF NEW SUBSIDIARY],
		
	By:	 	  

		 	Name:
		 	Title:

  
 I-3

 IN WITNESS WHEREOF, the New Subsidiary and the Administrative Agent have duly executed this
Supplement to the Guaranty as of the day and year first above written. 
  

			
	CITIBANK, N.A.,
	as Administrative Agent,
		
	By:	 	  

		 	Name:
		 	Title:

  
 I-4Supplement No. 1 under the Security Agreement dated as of December 1, 2006

 Exhibit 10.18 
 EXECUTION COPY 
 SUPPLEMENT NO. 1 dated as of June 5, 2008, to the Security
Agreement dated as of December 1, 2006 (the “Security Agreement”), among FREESCALE SEMICONDUCTOR HOLDINGS V, INC. (formerly known as FREESCALE ACQUISITION HOLDINGS CORP.) (“Holdings”), FREESCALE SEMICONDUCTOR,
INC. (formerly known as FREESCALE ACQUISITION CORPORATION) (the “Borrower”), FREESCALE SEMICONDUCTOR HOLDINGS IV, LTD. (formerly known as FREESCALE HOLDINGS (BERMUDA) IV, LTD.), a Bermuda exempted limited liability company
(“Foreign Holdings”), the Subsidiaries of FREESCALE SEMICONDUCTOR HOLDINGS III, LTD. (formerly known as FREESCALE HOLDINGS (BERMUDA) III, LTD.) (“Parent”) from time to time party thereto and CITIBANK, N.A., as
Collateral Agent for the Secured Parties. 
 A. Reference is made to the Credit Agreement dated as of December 1, 2006 (as
amended February 14, 2007 and as otherwise amended, supplemented or otherwise modified from time to time, the “Credit Agreement”), among the Borrower, Foreign Holdings, Holdings, Parent, CITIBANK, N.A., as Administrative Agent,
Swing Line Lender and an L/C Issuer, and each lender from time to time party thereto (collectively, the “Lenders” and individually, a “Lender”). 

B. Capitalized terms used herein and not otherwise defined herein shall have the meanings assigned to such terms in the Credit Agreement
and the Security Agreement referred to therein. 
 C. The Grantors have entered into the Security Agreement in order to induce
the Lenders to make Loans and the L/C Issuers to issue Letters of Credit. Section 6.14 of the Security Agreement provides that additional Restricted Subsidiaries of Parent may become Grantors under the Security Agreement by execution and
delivery of an instrument in the form of this Supplement. The undersigned Restricted Subsidiary (the “New Subsidiary”) is executing this Supplement in accordance with the requirements of the Credit Agreement to become a Grantor
under the Security Agreement in order to induce the Lenders to make additional Loans and the L/C Issuers to issue additional Letters of Credit and as consideration for Loans previously made and Letters of Credit previously issued. 

Accordingly, the Collateral Agent and the New Subsidiary agree as follows: 

SECTION 1. In accordance with Section 6.14 of the Collateral Agreement, the New Subsidiary by its signature below becomes a Grantor
under the Security Agreement with the same force and effect as if originally named therein as a Grantor and the New Subsidiary hereby (a) agrees to all the terms and provisions of the Security Agreement applicable to it as a Grantor thereunder
and (b) represents and warrants that the representations and warranties made by it as a Grantor thereunder are 

 
true and correct on and as of the date hereof. In furtherance of the foregoing, the New Subsidiary, as security for the payment and performance in full of the Obligations (as defined in the
Security Agreement) does hereby create and grant to the Collateral Agent, its successors and assigns, for the benefit of the Secured Parties, their successors and assigns, a security interest in and lien on all of the New Subsidiary’s right,
title and interest in and to the Collateral (as defined in the Security Agreement) of the New Subsidiary. Each reference to a “Grantor” in the Security Agreement shall be deemed to include the New Subsidiary. The Security Agreement
is hereby incorporated herein by reference. 
 SECTION 2. The New Subsidiary represents and warrants to the Collateral Agent and
the other Secured Parties that this Supplement has been duly authorized, executed and delivered by it and constitutes its legal, valid and binding obligation, enforceable against it in accordance with its terms, except as such enforceability may be
limited by Debtor Relief Laws and by general principles of equity. 
 SECTION 3. This Supplement may be executed in counterparts
(and by different parties hereto on different counterparts), each of which shall constitute an original, but all of which when taken together shall constitute a single contract. This Supplement shall become effective when the Collateral Agent shall
have received a counterpart of this Supplement that bears the signature of the New Subsidiary, and the Collateral Agent has executed a counterpart hereof. Delivery of an executed signature page to this Supplement by facsimile transmission or other
electronic communication shall be as effective as delivery of a manually signed counterpart of this Supplement. 
 SECTION 4.
The New Subsidiary hereby represents and warrants that (a) set forth on Schedule I attached hereto is a true and correct schedule of the location of any and all Collateral of the New Subsidiary and (b) set forth under its signature hereto
is the true and correct legal name of the New Subsidiary, its jurisdiction of formation and the location of its chief executive office. 
 SECTION 5. Except as expressly supplemented hereby, the Security Agreement shall remain in full force and effect. 
 SECTION 6. THIS SUPPLEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK. 
 SECTION 7. In case any one or more of the provisions contained in this Supplement should be held invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the
remaining provisions contained herein and in the Security Agreement shall not in any way be affected or impaired thereby (it being understood that the invalidity of a particular provision in a particular jurisdiction shall not in and of itself
affect the validity of such provision in any other jurisdiction). The parties hereto shall endeavor in good-faith negotiations to replace the invalid, illegal or unenforceable provisions with valid provisions the economic effect of which comes as
close as possible to that of the invalid, illegal or unenforceable provisions. 

  
 2 

 SECTION 8. All communications and notices hereunder shall be in writing and given as
provided in Section 6.01 of the Security Agreement. 
 SECTION 9. The New Subsidiary agrees to reimburse the Collateral
Agent for its reasonable out-of-pocket expenses in connection with this Supplement, including the reasonable fees, other charges and disbursements of counsel for the Collateral Agent. 

  
 3 

 IN WITNESS WHEREOF, the New Subsidiary and the Collateral Agent have duly executed this
Supplement to the Security Agreement as of the day and year first above written. 
  

							
	SIGMATEL, INC.
			
		 	By:	 	 /s/ Daryl Raiford

		 		 	Name:	 	Daryl Raiford
		 		 	Title:	 	 Chief Executive Officer,

President & Chief
 Financial
Officer

	
	 Jurisdiction of Formation: DELAWARE
 Address Of Chief Executive Office: 1601 S. MoPac Expressway, Suite 100 Austin, TX 78746

[Security Agreement Supplement] 

 
							
	 CITIBANK, N.A.,
 as Collateral Agent

			
		 	By:	 	 /s/ Rob Ziemer

		 		 	Name:	 	Rob Ziemer
		 		 	Title:	 	Vice President

 [Security Agreement
Supplement] 

 SCHEDULE I 
 TO SUPPLEMENT NO. 1 TO THE 
 SECURITY AGREEMENT 

LOCATION OF COLLATERAL 

Chart A 
  

							
	 Collateral Description
	  	 Location
	  	Value as of
April 30, 2008	 
	 Cash - Operating
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	1,061,163.09	  
	 Cash - Operating - JP Morgan
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	6,426.63	  
	 Cash - West Coast Imaging Ctr
	  	California USA	  	$	195,098.12	  
	 Cash - Delaware
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	1,000.00	  
	 Cash - Petty
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	2,324.59	  
	 Bear Stearns - Needham & Co Investments
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	2,472,729.84	  
	 US Bank - SVB
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	6,432,539.63	  
	 WCMA
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	70,456.30	  
	 Wells Fargo - West Coast Imaging Ctr
	  	California USA	  	$	2,653.97	  
	 UBS Money Market
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	759,235.37	  
	 US Bank - SVB, Investment
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	1,500,898.79	  
	 ST Restricted Cash
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	154,310.60	  
	 A/R - Trade
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	161,503.75	  
	 A/R - Accrual
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	47,722.58	  
	 Prepaid Software Maint
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	292,975.69	  
	 Prepaid Expenses
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	823,211.79	  
	 Prepaid Income Taxes
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	2,516,562.23	  
	 Receivable - Other
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	168,060.23	  
	 Accr. interest receivable - Bear Stearns - Needham
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	17,005.99	  
	 Accr. interest receivable - US Bank - SVB
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	25,448.43	  
	 Accr. interest receivable - UBS
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	23,433.16	  
	 Mask Sets/Production Tool
	  	See Chart B Below	  	$	210,053.58	  
	 Equipment
	  	See Chart B Below	  	$	2,168,447.12	  
	 Computers
	  	See Chart B Below	  	$	267,232.09	  

  
 Schedule I-1

							
	 Software
	  	See Chart B Below	  	$	 2,002,565.19	  
	 Furniture & Fixtures
	  	See Chart B Below	  	$	685,437.65	  
	 Leasehold Improvements
	  	See Chart B Below	  	$	893,807.90	  
	 Construction in Progress
	  	See Chart B Below	  	$	139,713.25	) 
	 Investments - LT - XX
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	35,954,750.33	  
	 Investment in Subsidiary - Int’l Holding
	  	Delaware USA	  	$	19,200,188.96	  
	 Non-Current Income Tax Receivable
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	3,304,612.28	  
	 Non-Current Income Tax Receivable - FIN 48
	  	 1601 S. MoPac Expressway, Suite 100
 Austin TX, 78746
	  	$	3,321,234.05	  

 Chart B (Detail) 

 

																									
	 Collateral
 Description
	  	 201 Jones
Road,

Waltham,
MA 02451
	 	  	 1601 S.

MoPac
Expressway,
Suite 100

Austin TX,
78746
	 	  	 Taiwan
	 	  	 India
	 	  	 Thailand
	 	  	 Value as of
April 30, 2008
	 
	 Mask Sets/Production Tool
	  				  				  	$	209,219.48	  	  				  	$	833.40	  	  	$	210,052.87	  
	 Equipment
	  	$	112,172.28	  	  	$	2,044,568.58	  	  				  	$	11,366.26	  	  				  	$	2,168,107.12	  
	 Computers
	  	$	15,029.19	  	  	$	252,202.85	  	  				  				  				  	$	267,232.04	  
	 Software
	  	$	125,781.17	  	  	$	1,854,461.09	  	  				  	$	14,242.30	  	  				  	$	1,994,484.56	  
	 Furniture & Fixtures
	  	$	64,542.56	  	  	$	581,220.32	  	  				  				  				  	$	645,762.88	  
	 Leasehold Improvements
	  	$	179,844.16	  	  	$	713,963.20	  	  				  				  				  	$	893,807.36	  
	 Construction in Progress
	  	$	497,369.35	  	  	$	5,446,416.03	  	  	$	209,219.48	  	  	$	25,608.56	  	  	$	833.40	  	  	$	6,179,446.82	  

 EQUITY INTERESTS

 None. 
 DEBT
SECURITIES 
  

															
	 CUSIP
	  	 Issuer
	  	 Face
	 	  	 Market

Value *
	 	  	 Maturity /
Auction
	 
	 Auction Rate
	  		  				  				  			
	 194267AH3
	  	College Loan Corp 01/25/47	  	 	2,500,000	  	  	 	2,392,500	  	  	 	4/3/08	  
	 917546GK3
	  	Utah State Brd Of Rgts 05/01/46	  	 	2,500,000	  	  	 	2,392,500	  	  	 	4/3/08	  
	 207784AN9
	  	Connecticut Student Loan Fndtn	  	 	2,000,000	  	  	 	1,912,360	  	  	 	4/7/08	  

  
 Schedule I-2

															
	 CUSIP
	  	 Issuer
	  	 Face
	 	  	 Market

Value *
	 	  	 Maturity /
Auction
	 
		  	06/01/34	  				  				  			
	 00432CBQ3
	  	Access Group 12/27/32	  	 	1,150,000	  	  	 	1,100,550	  	  	 	4/9/08	  
	 71722TAF1
	  	Pennsylvania Higher Ed Assist 04/25/44	  	 	2,200,000	  	  	 	2,105,400	  	  	 	4/9/08	  
	 709163FS3
	  	Pennsylvania High Educ Assist	  	 	2,000,000	  	  	 	1,914,000	  	  	 	4/16/08	  
	 452281HC5
	  	Illinois Student Assist Comm 03/01/43	  	 	2,500,000	  	  	 	2,392,500	  	  	 	4/16/08	  
	 207784AG4
	  	Connecticut Student Loan Fnd	  	 	2,000,000	  	  	 	1,912,360	  	  	 	4/22/08	  
	 49130NAF6
	  	Kentucky High Ed Stud Ln Corp	  	 	2,050,000	  	  	 	1,961,850	  	  	 	4/22/08	  
	 644616AD6
	  	New Hampshire Higher Ed Loan 12/01/32	  	 	2,500,000	  	  	 	2,352,400	  	  	 	4/22/08	  
	 78442GEW2
	  	SLM Funding Corporation	  	 	2,000,000	  	  	 	1,914,000	  	  	 	4/23/08	  
	 606072GX8
	  	Missouri Higher Ed Loan Auth 07/01/32	  	 	2,300,000	  	  	 	2,201,100	  	  	 	4/23/08	  
	 49130NBH1
	  	Kentucky High Ed Stud Ln Corp	  	 	2,000,000	  	  	 	1,914,000	  	  	 	4/24/08	  
	 452281HT8
	  	Illinois Student Asst Comm	  	 	2,000,000	  	  	 	1,914,000	  	  	 	4/28/08	  
	 49130NBA6
	  	Kentucky Higher Ed Student Loan 06/01/34	  	 	2,550,000	  	  	 	2,440,350	  	  	 	4/28/08	  
	 644616AG9
	  	New Hampshire High Ed Ln Corp	  	 	950,000	  	  	 	893,912	  	  	 	5/5/08	  
	 49130NBM0
	  	Kentucky High Ed Stud Ln Corp	  	 	2,000,000	  	  	 	1,914,000	  	  	 	5/7/08	  
	 64966CQY0
	  	New York City General Obligation	  	 	225,000	  	  	 	215,325	  	  	 	5/9/08	  
	 606072GS9
	  	Missouri High Educ Loan Auth	  	 	2,000,000	  	  	 	1,914,000	  	  	 	5/9/08	  
		  		  	 	 	 	  	 	 	 	  			
		  		  	 	37,425,000	  	  	 	35,757,107	  	  			
	 Corporate
	  		  				  				  			
	 441812FY5
	  	Household Finance Corp	  	 	250,000	  	  	 	250,918	  	  	 	6/17/08	  
	 524908JA9
	  	Lehman Bros Holdings	  	 	250,000	  	  	 	247,055	  	  	 	8/7/08	  
	 14912LZ38
	  	Caterpillar Fin	  	 	250,000	  	  	 	249,350	  	  	 	1/15/09	  
	 38143UAA9
	  	Goldman Sachs Group Inc	  	 	250,000	  	  	 	248,848	  	  	 	1/15/09	  
	 929771AM5
	  	Wachovia Corp	  	 	250,000	  	  	 	254,093	  	  	 	3/15/09	  
	 7800876N7
	  	Royal Bank of Canada	  	 	250,000	  	  	 	252,778	  	  	 	5/4/09	  
	 02635PSP9
	  	American General Fin	  	 	250,000	  	  	 	247,988	  	  	 	5/15/09	  
		  		  	 	 	 	  	 	 	 	  			
		  		  	 	1,750,000	  	  	 	1,751,028	  	  			
	 Money Mkt Fund
	  		  				  				  			
	 261934103
	  	Dreyfus Cash Management Plus	  	 	4,330,462	  	  	 	4,330,462	  	  			
	 90262Y505
	  	UBS Select MMF	  	 	5,697,006	  	  	 	5,697,006	  	  			
	 31846V500
	  	First American Prime Obligations Fund	  	 	6,881,789	  	  	 	6,881,789	  	  			
		  		  	 	 	 	  	 	 	 	  			
		  		  	 	16,909,257	  	  	 	16,909,257	  	  			
					
	 TOTAL
	  		  	$	56,084,257	  	  	$	54,417,392	  	  			

  

	*	ARS market values are current SGTL book values based on UBS pricing methodology 

  
 Schedule I-3

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