Document:

Sixth Consent and Waiver under the Senior Unsecured Term Loan Agreement

 Exhibit 4.2 
 SIXTH CONSENT AND WAIVER UNDER THE SENIOR UNSECURED 
 TERM LOAN AGREEMENT 
 Dated as of April 14, 2006 
 SIXTH CONSENT AND WAIVER UNDER THE SENIOR UNSECURED TERM LOAN AGREEMENT, dated as of April 14, 2006 (this “Consent”), among DRESSER, INC., a Delaware corporation (the “Borrower”), the
Guarantors (as defined below), the Lenders listed on the signature pages hereto and MORGAN STANLEY SENIOR FUNDING, INC. (“MSSF”), as Administrative Agent. 
 W I T N E S S E T H: 
 WHEREAS, the Borrower, the Guarantors, the Lenders party thereto and the Agents have entered into a Senior Unsecured Term Loan Agreement dated as of March 1, 2004, as modified by the Consent and Waiver dated as
of March 18, 2005, the Second Consent and Waiver dated as of May 27, 2005, the Third Consent and Waiver dated as of July 14, 2005, the Fourth Consent and Waiver dated as of September 29, 2005 and the Fifth Consent and Waiver
dated as of November 14, 2005 (the “Term Loan Agreement”; capitalized terms used herein but not defined shall be used herein as defined in the Term Loan Agreement). 
 WHEREAS, the Borrower desires to modify the Term Loan Agreement in certain respects and to waive certain Defaults and Events of Default under the Term
Loan Agreement, in each case as provided herein; 
 WHEREAS, the Required Lenders have agreed, subject to the terms and conditions
hereinafter set forth, to modify the Term Loan Agreement in response to the Borrower’s request as set forth below; 
 NOW, THEREFORE, in
consideration of the premises and for other good and valuable consideration (the receipt and sufficiency of which is hereby acknowledged), the parties hereto hereby agree as follows: 
 SECTION 1. Consent. Notwithstanding anything to the contrary set forth in the Term Loan Agreement, the Required Lenders hereby consent to
(a) the extension of the delivery date specified for the audited financial statements for the Fiscal Year ended December 31, 2005 and the other material with respect to such Fiscal Year required by Section 5.01(b) of the Term Loan
Agreement to no later than September 30, 2006 (the “10K Extended Delivery Date”), it being understood and agreed that if the Borrower fails to deliver such audited financial statements and other materials on or before
the 10K Extended Delivery Date, and a notice of Default with respect to such failure is delivered to the Borrower by the Administrative Agent or the Lenders holding of at least 25% of the outstanding principal amount of the Senior Unsecured
Obligations pursuant to Section 6.01(c) of the Term Loan Agreement, such failure shall constitute an Event of Default for all purposes under the Loan Documents and (b) the extension of the delivery date specified for the material required
by Section 5.01(b) with respect to each of 

 
the fiscal quarters ended March 31, 2006 and June 30, 2006 to no later than September 30, 2006 and any information required to be provided on
a current report that is based on or derivative of such material, including any report that requires pro forma financial statements (the “10Q and 8K Extended Delivery Date”), it being understood and agreed that if the
Borrower fails to deliver the materials required by Section 5.01(b) with respect to each of the fiscal quarters ended March 31, 2006 and June 30, 2006 by the 10Q and 8K Extended Delivery Date, and a notice of Default with respect to
such failure is delivered to the Borrower by the Administrative Agent or the Lenders holding of at least 25% of the outstanding principal amount of the Senior Unsecured Obligations pursuant to Section 6.01(c) of the Term Loan Agreement, such
failure shall constitute an Event of Default for all purposes under the Loan Documents. Notwithstanding the foregoing, it is further understood and agreed that the Borrower shall deliver to the Lenders all financial statements for each of the fiscal
quarters ended March 31, 2006 and June 30, 2006 required to be delivered pursuant to Section 5.01(b) of the Term Loan Agreement at the same time as such financial statements are delivered to the “Lenders” under the Existing
Credit Agreement, and if the Borrower fails to do so, and a notice of Default with respect to such failure is delivered to the Borrower by the Administrative Agent or the Lenders holding of at least 25% of the outstanding principal amount of the
Senior Unsecured Obligations pursuant to Section 6.01(c) of the Term Loan Agreement, such failure shall constitute an Event of Default for all purposes under the Loan Documents. 
 SECTION 2. Waiver. The Lenders holding not less than a majority in aggregate principal amount of the then outstanding Senior Unsecured Obligations
hereby waive any Default or Event of Default in respect of the provisions of Sections 3.01(a)(iv), 3.01(c), 4.01(f), 4.01(g), 4.01(h), 5.01(b) and 5.01(c) of the Term Loan Agreement and any related or substantially comparable provision of any Loan
Document, in each case consisting of, resulting from or relating in any respect to (i) the re-audit, revision or restatement of any financial statement delivered prior to the date of this Consent and Waiver by the Borrower or any of its
Subsidiaries (including, without limitation, any misstatement therein or in any certificate, representation or warranty relating thereto, or any error, defect or deficiency in accounting procedures or in the application of accounting principles
reflected thereby or relating thereto), (ii) any failure to deliver any financial statement specified in Section 1 above when or as required, except as required by Section 1 above, (iii) any failure to comply with any obligation
that became required to be performed or observed under any of such provisions by reason of the occurrence of any such Default or Event of Default or (iv) any misstatement as to the absence of any such Default or Event of Default. 
 SECTION 3. Conditions to Effectiveness. This Consent shall become effective as of the first date set forth above when each of the conditions set
forth in this Section 3 to this Consent shall have been fulfilled to the satisfaction of the Administrative Agent. 
 (i)
Execution of Counterparts. The Administrative Agent shall have received counterparts of this Consent, duly executed and delivered on behalf of each of (a) the Borrower and each Guarantor, (b) the Administrative Agent and
(c) the Required Lenders, or as to any of the foregoing parties, advice reasonably satisfactory to the Administrative Agent that each of the foregoing parties has executed a counterpart of this Consent. 
  

 2 

 (ii) Payment of Fees and Expenses. The Borrower shall have paid (a) to the
Administrative Agent, for the benefit of each Lender executing this Consent on or before April 13, 2006, a fee equal to 0.10% of the aggregate Commitments and Advances of each such Lender and (b) all expenses (including the fees and
expenses of Shearman & Sterling LLP) incurred in connection with the preparation, negotiation and execution of this Consent and other matters relating to the Term Loan Agreement from and after the last invoice to the extent invoiced.

 The Administrative Agent will notify the Borrower when this Consent has become effective as set forth above, and such notice shall be
conclusive and binding upon the Lenders. 
 SECTION 4. Representations and Warranties. Each Borrower hereby represents and warrants
that, as of the date hereof and after giving effect to this Consent, no Default has occurred and is continuing or would result from the effectiveness of this Consent. 
 SECTION 5. Reference to and Effect on the Transaction Documents. (a) On and after the effectiveness of this Consent, each reference in the Term Loan Agreement to “hereunder”, “hereof”
or words of like import referring to the Term Loan Agreement, and each reference in the other transaction documents to the “Credit Agreement”, “thereunder”, “thereof” or words of like import referring to the Term Loan
Agreement, shall mean and be a reference to the Term Loan Agreement as modified by this Consent. 
 (b) The Term Loan
Agreement, the Notes and each of the other Loan Documents, as specifically amended by this Consent, are and shall continue to be in full force and effect and are hereby in all respects ratified and confirmed. 
 (c) The execution, delivery and effectiveness of this Consent shall not, except as expressly provided herein, operate as a waiver of any
right, power or remedy of any Lender or any Agent under any of the Loan Documents, nor constitute a waiver of any provision of any of the Loan Documents. 
 SECTION 6. Execution in Counterparts. This Consent may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which when so executed shall be deemed to be an
original and all of which taken together shall constitute but one and the same agreement. Delivery of an executed counterpart of a signature page to this Consent by telecopier shall be effective as delivery of a manually executed counterpart of this
Consent. 
 SECTION 7. Governing Law. This Consent shall be governed by, and construed in accordance with, the laws of the State of
New York, and shall be subject to the jurisdictional and service provisions of the Term Loan Agreement, as if this were a part of the Term Loan Agreement. 
 SECTION 8. Entire Agreement; Modification. This Consent constitutes the entire agreement of the parties hereto with respect to the subject matter hereof, there being no other agreements or understandings, oral,
written or otherwise, respecting such subject matter, any such agreement or understanding being superseded hereby, shall be binding upon and inure 

  

 3 

 
to the benefit of the parties hereto and their respective successors and assigns, and may not be amended, extended or otherwise modified, except in a writing
executed in whole or in counterparts by each party hereto. 
 [Signatures follow.] 
  

 4 

 IN WITNESS WHEREOF, the parties hereto have caused this Consent to be executed and delivered by their
respective authorized officers as of the day and year first above written. 
  

					
	 DRESSER, INC., as Borrower

			
	By:	 	  	 	/S/    ROBERT D.
WOLTIL        
		 	 Name:
	 	Robert D. Woltil
		 	 Title:
	 	Senior Vice President and Chief Financial Officer

					
	THE GUARANTORS
	
	 DRESSER INTERNATIONAL, INC.

			
	By:	 	  	 	/s/    JOHN P. RYAN        
		 	 Name:
	 	John P. Ryan
		 	 Title:
	 	Chief Executive Officer & President
	
	 DRESSER RE, INC.

			
	By:	 	  	 	/s/    JOHN P. RYAN        
		 	 Name:
	 	John P. Ryan
		 	 Title:
	 	Chief Executive Officer & President
	
	 DRESSER RUSSIA, INC.

			
	By:	 	  	 	/s/    JOHN P. RYAN        
		 	 Name:
	 	John P. Ryan
		 	 Title:
	 	Chief Executive Officer & President
	
	 LVF HOLDING CORPORATION

			
	By:	 	  	 	/s/    JOHN P. RYAN        
		 	 Name:
	 	John P. Ryan
		 	 Title:
	 	Chief Executive Officer & President
	
	 DRESSER ENTECH, INC.

			
	By:	 	  	 	/s/    JOHN P. RYAN        
		 	 Name:
	 	John P. Ryan
		 	 Title:
	 	Chief Executive Officer & President
	
	 RING-O VALVE, INCORPORATED

			
	By:	 	  	 	/s/    JOHN P. RYAN        
		 	 Name:
	 	John P. Ryan
		 	 Title:
	 	Chief Executive Officer & President

					
	 DRESSER CHINA, INC.

			
	By:	 	  	 	/s/    JOHN P. RYAN        
		 	 Name:
	 	John P. Ryan
		 	 Title:
	 	Chief Executive Officer & President

					
	MORGAN STANLEY SENIOR FUNDING, INC., as Administrative Agent
			
	By:	 	  	 	/S/    EUGENE F.
MARTIN        
		 	 Name:
	 	Eugene F. Martin
		 	 Title:
	 	Vice President
		 		 	Morgan Stanley Senior Funding, Inc.

					
	 MORGAN STANLEY & CO. INCORPORATED, as Collateral Agent

			
	By:	 	  	 	/S/    EUGENE F.
MARTIN        
		 	 Name:
	 	Eugene F. Martin
		 	 Title:
	 	Managing Director

					
	LENDERS
	
	Morgan Stanley Senior Funding, Inc.
			
	By:	 	  	 	/S/    EUGENE F.
MARTIN        
		 	 Name:
	 	Eugene F. Martin
		 	 Title:
	 	Vice President
		 		 	Morgan Stanley Senior Funding, Inc.

					
	LENDERS
	
	SENIOR DEBT PORTFOLIO
	By:	 	 Boston Management and Research
 as Investment
Advisor

			
	By:	 	  	 	/S/    MICHAEL B.
BOTTHOF        
		 	 Name:
	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	Venture III CDO Limited
	By	 	 its investment advisor,
 MJX Asset Management
LLC

			
	By:	 	  	 	/S/    KENNETH
OSTMANN        
		 	 Name:
	 	Kenneth Ostmann
		 	 Title:
	 	Director

					
	LENDERS
	
	Venture V CDO Limited
	By	 	 its investment advisor,
 MJX Asset Management
LLC

			
	By:	 	  	 	/S/    KENNETH
OSTMANN        
		 	 Name:
	 	Kenneth Ostmann
		 	 Title:
	 	Director

					
	LENDERS
	
	EATON VANCE SENIOR INCOME TRUST
	By:	 	EATON VANCE MANAGEMENT AS INVESTMENT ADVISOR
			
	By:	 	  	 	/S/    MICHAEL B.
BOTTHOF        
		 	 Name:
	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	EATON VANCE INSTITUTIONAL SENIOR LOAN FUND
	By:	 	EATON VANCE MANAGEMENT
AS INVESTMENT ADVISOR
			
	By:	 	  	 	/S/    MICHAEL B.
BOTTHOF        
		 	 Name:
	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	EATON VANCE CDO III, LTD.
	By:	 	EATON VANCE MANAGEMENT
AS INVESTMENT ADVISOR
			
	By:	 	  	 	/S/    MICHAEL B.
BOTTHOF        
		 	 Name:
	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	[XXX] EATON VANCE CDO V, LTD.
	By:	 	EATON VANCE MANAGEMENT AS INVESTMENT ADVISOR
			
	By:	 	  	 	/S/    MICHAEL B.
BOTTHOF        
		 	 Name:
	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	EATON VANCE CDO VI LTD.
	By:	 	EATON VANCE MANAGEMENT AS INVESTMENT ADVISOR
			
	By:	 	  	 	/S/    MICHAEL B.
BOTTHOF        
		 	 Name:
	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	Eaton Vance CDO VII PLC
	By: Eaton Vance Management as Interim Investment Advisor
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	GRAYSON & CO
	By:	 	Boston Management And Research As Investment Advisor
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	THE NORINCHUKIN BANK, NEW YORK BRANCH, through State Street Bank and Trust Company N.A. as Fiduciary Custodian
	By: Eaton Vance Management, Attorney-in-fact
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	BIG SKY III SENIOR LOAN TRUST
	By:	 	Eaton Vance Management, As Investment Advisor
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	EATON VANCE VT FLOATING-RATE INCOME FUND
	By:	 	Eaton Vance Management, As Investment Advisor
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	EATON VANCE LIMITED DURATION INCOME FUND
	By:	 	EATON VANCE MANAGEMENT, AS INVESTMENT ADVISOR
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	TOLLI & CO.
	By:	 	Eaton Vance Management, As Investment Advisor
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	EATON VANCE SENIOR FLOATING-RATE TRUST
	By:	 	Eaton Vance Management, As Investment Advisor
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	EATON VANCE FLOATING-RATE INCOME TRUST
	By:	 	Eaton Vance Management, As Investment Advisor
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	EATON VANCE STORE DUARTION DIVERSIFIED INCOME FUND
	By:	 	Eaton Vance Management, As Investment Advisor
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	Eaton Vance Variable Leverage Fund Ltd.
	By:	 	Eaton Vance Management, As Investment Advisor
		
	By:	 	/S/    MICHAEL B.
BOTTHOF        
		 	Name:	 	Michael B. Botthof
		 	 Title:
	 	Vice President

					
	LENDERS
	
	AMMC CDO II, LIMITED
	By:	 	American Money Management Corp., as Collateral Manager
		
	By:	 	/S/    CHESTER M.
ENG        
		 	Name:	 	Chester M. Eng
		 	 Title:
	 	Senior Vice President

					
	LENDERS
	
	AMMC CDO II, LIMITED
	By:	 	American Money Management Corp., as Collateral Manager
		
	By:	 	/S/    CHESTER M.
ENG        
		 	Name:	 	Chester M. Eng
		 	 Title:
	 	Senior Vice President

					
	LENDERS
	
	LANDMARK CDO LIMITED
	By	 	Aladdin Capital Management LLC as Manager
			
	By:	 	  	 	/S/    CHRISTINE M.
BARTO        
		 	 Name:
	 	Christine M. Barto
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	LANDMARK II CDO LIMITED
	By	 	Aladdin Capital Management LLC as Manager
			
	By:	 	  	 	/S/    CHRISTINE M.
BARTO        
		 	 Name:
	 	Christine M. Barto
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	LANDMARK IV CDO LIMITED
	By	 	Aladdin Capital Management LLC as Manager
			
	By:	 	  	 	/S/    CHRISTINE M.
BARTO        
		 	 Name:
	 	Christine M. Barto
		 	 Title:
	 	Authorized Signatory

			
	 PUTNAM FLOATING RATE INCOME FUND

		
		 	/S/    BETH
MAZOR        
	 By:
	 	Beth Mazor
	 Title:
	 	V.P.

			
	 BOSTON HARBOR CLO 2004-1, Ltd.

		
		 	/S/    BETH
MAZOR        
	 By:
	 	Beth Mazor
	 Title:
	 	V.P.

			
	 PUTNAM VARIABLE TRUST – PVT
 HIGH YIELD FUND

		
		 	/S/    BETH
MAZOR        
	 By:
	 	Beth Mazor
	 Title:
	 	V.P.

			
	 PUTNAM HIGH YIELD ADVANTAGE FUND

		
		 	/S/    BETH
MAZOR        
	 By:
	 	Beth Mazor
	 Title:
	 	V.P.

			
	 PUTNAM HIGH YIELD TRUST

		
		 	/S/    BETH
MAZOR        
	 By:
	 	Beth Mazor
	 Title:
	 	V.P.

			
	 PUTNAM DIVERSIFIED INCOME TRUST

		
		 	/S/    BETH
MAZOR        
	 By:
	 	Beth Mazor
	 Title:
	 	V.P.

			
	 PUTNAM MASTER INTERMEDIATE INCOME
 TRUST

		
		 	/S/    BETH
MAZOR        
	 By:
	 	Beth Mazor
	 Title:
	 	V.P.

			
	 PUTNAM PREMIER INCOME TRUST

		
		 	/S/    BETH
MAZOR        
	 By:
	 	Beth Mazor
	 Title:
	 	V.P.

			
	 PUTNAM VARIABLE TRUST – PVT
 DIVERSIFIED INCOME FUND

		
		 	/S/    BETH
MAZOR        
	 By:
	 	Beth Mazor
	 Title:
	 	V.P.

					
	LENDERS
	
	Floating Rate Income Strategies Fund, Inc.
			
	By:	 	  	 	/s/ Illegible

  

					
	 DEBT STRATEGIES FUND, INC.

			
	By:	 	  	 	/s/ Illegible

  

					
	 Merrill Lynch Global Investment Series:
 Income Strategies Portfolio

	By:	 	 Merrill Lynch Investment Managers, L.P.
 as
Investment Advisor

			
	By:	 	  	 	/s/ Illegible

  

					
	 SENIOR HIGH INCOME PORTFOLIO, INC.

			
	By:	 	  	 	/s/ Illegible

			
	LENDERS
	
	 Aurum CLO 2002-1, Ltd

	 By:
	 	 Deutsche Asset Management, Inc.
 As
Sub-Advisor

		
	By:	 	/S/    COLLEEN
CUNNIFFE        
	 Name:
	 	Colleen Cunniffe
	 Title:
	 	Director
		
	By:	 	/S/    MARK
RIGAZIO        
	 Name:
	 	Mark Rigazio
	 Title:
	 	Vice President
	
	 Flagship CLO 2001-1

	 By:
	 	 Deutsche Asset Management, Inc.
 As
Sub-Advisor

		
	By:	 	/S/    COLLEEN
CUNNIFFE        
	 Name:
	 	Colleen Cunniffe
	 Title:
	 	Director
		
	By:	 	/S/    MARK
RIGAZIO        
	 Name:
	 	Mark Rigazio
	 Title:
	 	Vice President
	
	 Flagship CLO II

	 By:
	 	 Deutsche Asset Management, Inc.
 As
Sub-Advisor

		
	By:	 	/S/    COLLEEN
CUNNIFFE        
	 Name:
	 	Colleen Cunniffe
	 Title:
	 	Director
		
	By:	 	/S/    MARK
RIGAZIO        
	 Name:
	 	Mark Rigazio
	 Title:
	 	Vice President
	
	 Flagship CLO IV

	 By:
	 	 Deutsche Asset Management, Inc.
 As
Sub-Advisor

		
	By:	 	/S/    COLLEEN
CUNNIFFE        
	 Name:
	 	Colleen Cunniffe
	 Title:
	 	Director
		
	By:	 	/S/    MARK
RIGAZIO        
	 Name:
	 	Mark Rigazio
	 Title:
	 	Vice President

					
	LENDERS
	
	 JUPITER LOAN FUNDING LLC

			
	By:	 	  	 	/S/    M. CRISTINA
HIGGINS        
		 	 Name:
	 	M. Cristina Higgins
		 	 Title:
	 	Assistant Vice President

					
	LENDERS
	
	 FRANKLIN CLO IV, LIMITED

			
	By:	 	  	 	/S/    DAVID
ARDINI        
		 	 Name:
	 	David Ardini
		 	 Title:
	 	Vice President

  

 CONFIDENTIAL-FOR FRDG USE ONLY 

					
	LENDERS
	
	 FRANKLIN CLO V, LTD.

			
	By:	 	  	 	/S/    DAVID
ARDINI        
		 	 Name:
	 	David Ardini
		 	 Title:
	 	Vice President

  

 CONFIDENTIAL-FOR FRDG USE ONLY 

					
	LENDERS
	
	 Franklin CLO II, Limited

		
	By:	 	/S/    DAVID
ARDINI        
		 	 Name:
	 	David Ardini
		 	 Title:
	 	Vice President

 CONFIDENTIAL-FOR FRDG USE ONLY 

					
	LENDERS
	
	 Franklin CLO I, Limited

		
	By:	 	/S/    DAVID
ARDINI        
		 	 Name:
	 	David Ardini
		 	 Title:
	 	Vice President

 CONFIDENTIAL-FOR FRDG USE ONLY 

					
	LENDERS
	
	 Franklin Floating Rate Master Series

		
	By:	 	/S/    RICHARD
HSU        
		 	 Name:
	 	Richard Hsu
		 	 Title:
	 	Vice President

 CONFIDENTIAL-FOR FRDG USE ONLY 

					
	LENDERS
	
	FRANKLIN FLOATING RATE DAILY ACCESS FUND
		
	By:	 	/S/    RICHARD
HSU        
		 	 Name:
	 	Richard Hsu
		 	 Title:
	 	Vice President

 CONFIDENTIAL-FOR FRDG USE ONLY 

 LENDERS 
  

													
			
		 		 	  
		 		 	[Print Name of Financial Institution]
	 NYLIM Flatiron CLO 2003-1 Ltd.
	 		 		 	
					
	By:	 	 New York Life Investment Management LLC,
 as Collateral Manager and Attorney-in-Fact
	 		 	 By:
	 	  
		 		 		 		 		 	 Name:
	 	
		 		 		 		 		 	 Title:
	 	
						
	 By:
	 	/S/    ROBERT H.
DIAL        	 		 		 		 	
		 	 Name:
	 	Robert H. Dial	 		 		 		 	
		 	 Title:
	 	Managing Director	 		 		 		 	
			
	 NYLIM Flatiron CLO 2004-1 Ltd.
	 		 	 NYLIM High Yield CDO 2001 Ltd.

					
	By:	 	 New York Life Investment Management LLC,
 as Collateral Manager and Attorney-in-Fact
	 		 	By:	 	 New York Life Investment Management LLC,
 as Collateral Manager and Attorney-in-Fact

					
	By:	 	/S/    ROBERT H.
DIAL        	 		 	By:	 	/S/    ROBERT H.
DIAL        
		 	 Name:
	 	Robert H. Dial	 		 		 	 Name:
	 	Robert H. Dial
		 	 Title:
	 	Managing Director	 		 		 	 Title:
	 	Managing Director
			
	 NYLIM Flatiron CLO 2005-1 Ltd.
	 		 	 New York Life Insurance Company

					
	By:	 	 New York Life Investment Management LLC,
 as Collateral Manager and Attorney-in-Fact
	 		 	By:	 	/S/    ROBERT H.
DIAL        
						
	By:	 	/S/    ROBERT H.
DIAL        	 		 		 	 Name:
	 	Robert H. Dial
		 	 Name:
	 	Robert H. Dial	 		 		 	 Title:
	 	Vice President
		 	 Title:
	 	Managing Director	 		 		 		 	
				
		 		 		 	 New York Life Insurance and Annuity Corporation

					
		 		 		 	By:	 	 New York Life Investment Management LLC,
 Its Investment Manager

							
		 		 		 		 	 By:
	 	  	 	/S/    ROBERT H.
DIAL        
		 		 		 		 		 	 Name:
	 	Robert H. Dial
		 		 		 		 		 	 Title:
	 	Managing Director

					
	LENDERS
	
	 EAGLE CREEK CLO, Ltd.

		
	By:	 	/s/    THOMAS N.
DAVIS        
		 	 Name:
	 	Thomas N. Davis
		 	 Title:
	 	Authorized Signer

					
	LENDERS
	
	 JUPITER LOAN FUNDING LLC

		
	By:	 	/s/    M. CRISTINA
HIGGINS        
		 	 Name:
	 	M. Cristina Higgins
		 	 Title:
	 	Assistant Vice President

					
	LENDERS
	
	 BABSON CLO LTD 2003-I

	 BABSON CLO LTD 2004-I

	 ELC (CAYMAN) LTD. 1999-II

		
	By:	 	Babson Capital Management LLC as Collateral Manager
		
	By:	 	/s/    MARCUS
SOWELL        
		 	 Name:
	 	Marcus Sowell
		 	 Title:
	 	Managing Director

					
	LENDERS
	
	 CANADIAN IMPERIAL BANK OF COMMERCE

		
	By:	 	/s/    JOHN
O’DOWD        
		 	 Name:
	 	John O’Dowd
		 	 Title:
	 	Authorized Signatory
		
	By:	 	/s/ Illegible
		 	 Name:
	 	[TO COME]
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	OAK HILL SECURITIES FUND, L.P.
		
	By:	 	Oak Hill Securities GenPar, L.P.
its General Partner
		
	By:	 	Oak Hill Securities MGP, Inc.,
its General Partner
		
	By:	 	/s/    SCOTT D.
KRASE        
		 	 Name:
	 	Scott D. Krase
		 	 Title:
	 	Vice President
	
	OAK HILL SECURITIES FUND II, L.P.
		
	By:	 	Oak Hill Securities GenPar II, L.P.
its General Partner
		
	By:	 	Oak Hill Securities MGP II, Inc.,
its General Partner
		
	By:	 	/s/    SCOTT D.
KRASE        
		 	 Name:
	 	Scott D. Krase
		 	 Title:
	 	Vice President
	
	OAK HILL CREDIT PARTNERS I, LIMITED
		
	By:	 	Oak Hill CLO Management I, LLC
As Investment Manager
		
	By:	 	/s/    SCOTT D.
KRASE        
		 	 Name:
	 	Scott D. Krase
		 	 Title:
	 	Authorized Person
	
	OAK HILL CREDIT PARTNERS III, LIMITED
		
	By:	 	Oak Hill CLO Management III, LLC
As Investment Manager
		
	By:	 	/s/    SCOTT D.
KRASE        
		 	 Name:
	 	Scott D. Krase
		 	 Title:
	 	Authorized Person

					
	LENDERS
	
	 HARBOUR TOWN FUNDING LLC

		
	By:	 	/s/    M. CRISTINA
HIGGINS        
		 	 Name:
	 	M. Cristina Higgins
		 	 Title:
	 	Assistant Vice President

					
	LENDERS
	
	OAK HILL SECURITIES FUND, L.P.
		
	By:	 	Oak Hill Securities GenPar, L.P.
its General Partner
		
	By:	 	Oak Hill Securities MGP, Inc.,
its General Partner
		
	By:	 	/s/    SCOTT D.
KRASE        
		 	 Name:
	 	Scott D. Krase
		 	 Title:
	 	Vice President
	
	OAK HILL SECURITIES FUND II, L.P.
		
	By:	 	Oak Hill Securities GenPar II, L.P.
its General Partner
		
	By:	 	Oak Hill Securities MGP II, Inc.,
its General Partner
		
	By:	 	/s/    SCOTT D.
KRASE        
		 	 Name:
	 	Scott D. Krase
		 	 Title:
	 	Vice President
	
	OAK HILL CREDIT PARTNERS I, LIMITED
		
	By:	 	Oak Hill CLO Management I, LLC
As Investment Manager
		
	By:	 	/s/    SCOTT D.
KRASE        
		 	 Name:
	 	Scott D. Krase
		 	 Title:
	 	Authorized Person
	
	OAK HILL CREDIT PARTNERS III, LIMITED
		
	By:	 	Oak Hill CLO Management III, LLC
As Investment Manager
		
	By:	 	/s/    SCOTT D.
KRASE        
		 	 Name:
	 	Scott D. Krase
		 	 Title:
	 	Authorized Person

			
	LENDERS
	
	 Ares VIII CLO Ltd.

	 By:
	 	Ares CLO Management VIII, L.P., 
Investment Manager
	 By:
	 	Ares CLO GP VIII, LLC,
Its General Partner
		
	By:	 	/s/    AMERICO CASCELLA        
	 Name:
	 	Americo Cascella
	 Title:
	 	Vice President

			
	LENDERS
	
	 Ares VIR CLO Ltd.

	 By:
	 	Ares CLO Management VIR, L.P., 
Investment Manager
	 By:
	 	Ares CLO GP VIR, LLC,
Its General Partner
		
	By:	 	/s/    AMERICO CASCELLA        
	 Name:
	 	Americo Cascella
	 Title:
	 	Vice President

			
	LENDERS
	
	 Ares IV CLO Ltd.

	 By:
	 	Ares CLO Management IV, L.P., 
Investment Manager
	 By:
	 	Ares CLO GP IV, LLC,
Its Managing Member
		
	By:	 	/s/    AMERICO CASCELLA        
	 Name:
	 	Americo Cascella
	 Title:
	 	Vice President

			
	LENDERS
	
	 ARES III CLO Ltd.

	 By:
	 	ARES CLO Management LLC, 
Investment Manager
		
	By:	 	/s/    AMERICO CASCELLA        
	 Name:
	 	Americo Cascella
	 Title:
	 	Vice President

					
	LENDERS
	
	 Sankaty Advisors, LLC as Collateral
 Manager for Prospect Funding I,
LLC as Term Lender

			
	By:	 	  	 	/s/    DIANE J. EXTER        
		 	 Name:
	 	Diane J. Exter
		 	 Title:
	 	Managing Director
		 		 	Portfolio Manager

					
	LENDERS
	
	 Sankaty Advisors, LLC as Collateral
 Manager for Castle Hill II -
INGOTS, Ltd., as Term Lender

			
	By:	 	  	 	/s/    DIANE J. EXTER        
		 	 Name:
	 	Diane J. Exter
		 	 Title:
	 	Managing Director
		 		 	Portfolio Manager

					
	LENDERS
	
	 Sankaty Advisors, LLC as Collateral
 Manager for AVERY POINT CLO,
Ltd., as Term Lender

			
	By:	 	  	 	/s/    DIANE J. EXTER        
		 	 Name:
	 	Diane J. Exter
		 	 Title:
	 	Managing Director
		 		 	Portfolio Manager

					
	LENDERS
	
	ALZETTE EUROPEAN CLO S.A.
	By:	 	 INVESCO Senior Secured Management, Inc.
 As
Collateral Manager

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	 AVALON CAPITAL LTD. 3

	By:	 	 INVESCO Senior Secured Management, Inc.
 As
Asset Manager

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	 BELHURST CLO LTD.

	By:	 	 INVESCO Senior Secured Management, Inc.
 As
Collateral Manager

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	 CHAMPLAIN CLO, LTD.

	By:	 	 INVESCO Senior Secured Management, Inc.
 As
Collateral Manager

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	 CHARTER VIEW PORTFOLIO

	By:	 	 INVESCO Senior Secured Management, Inc.
 As
Investment Advisor

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	 DIVERSIFIED CREDIT PORTFOLIO LTD.

	By:	 	 INVESCO Senior Secured Management, Inc.
 as
Investment Advisor

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	 AIM FLOATING RATE FUND

	By:	 	 INVESCO Senior Secured Management, Inc.
 As
Sub-Advisor

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	 INVESCO EUROPEAN CDO I S.A.

	By:	 	 INVESCO Senior Secured Management, Inc.
 As
Collateral Manager

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	LOAN FUNDING IX LLC, for itself or as agent for Corporate Loan Funding IX LLC
	By:	 	 INVESCO Senior Secured Management, Inc.
 As
Portfolio Manager

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	SEQUILS-LIBERTY, LTD.
	By:	 	 INVESCO Senior Secured Management, Inc.
 As
Collateral Manager

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	PETRUSSE EUROPEAN CLO S.A.
	By:	 	 INVESCO Senior Secured Management, Inc.
 As
Collateral Manager

			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	SARATOGA CLO I, LIMITED
	 By:
	 	INVESCO Senior Secured Management, Inc.
As the Asset Manager
			
	By:	 	  	 	/s/    KAREN S. KLAPPER        
		 	 Name:
	 	Karen S. Klapper
		 	 Title:
	 	Authorized Signatory

					
	LENDERS
	
	 Centurion CDO II, Ltd.

	 By:
	 	RiverSource Investment, LLC as Collateral Manager
			
	By:	 	  	 	/s/    ROBIN C STANCIL        
		 	 Name:
	 	Robin C Stancil
		 	 Title:
	 	Supervisor - Fixed Income

					
	LENDERS
	
	 Centurion CDO III, Ltd.

	 By:
	 	RiverSource Investment, LLC as Collateral Manager
			
	By:	 	  	 	/s/    ROBIN C STANCIL        
		 	 Name:
	 	Robin C Stancil
		 	 Title:
	 	Supervisor - Fixed Income

					
	LENDERS
	
	 Centurion CDO VI, Ltd.

	 By:
	 	RiverSource Investment, LLC as Collateral Manager
			
	By:	 	  	 	/s/    ROBIN C STANCIL        
		 	 Name:
	 	Robin C Stancil
		 	 Title:
	 	Supervisor - Fixed Income

					
	LENDERS
	
	 Centurion CDO VII, Ltd.

	 By:
	 	RiverSource Investments, LLC as Collateral Manager
			
	By:	 	  	 	/s/    ROBIN C STANCIL        
		 	 Name:
	 	Robin C Stancil
		 	 Title:
	 	Supervisor - Fixed Income

					
	LENDERS
	
	 Centurion CDO 8, Limited

	 By:
	 	RiverSource Investments, LLC as Collateral Manager
			
	By:	 	  	 	/s/    ROBIN C STANCIL        
		 	 Name:
	 	Robin C Stancil
		 	 Title:
	 	Supervisor - Fixed Income

					
	LENDERS
	
	 Centurion CDO 9, Limited

	 By:
	 	RiverSource Investments, LLC as Collateral Manager
			
	By:	 	  	 	/s/    ROBIN C STANCIL        
		 	 Name:
	 	Robin C Stancil
		 	 Title:
	 	Supervisor - Fixed Income

					
	LENDERS
	
	 Cent CDO 10, Limited

	 By:
	 	RiverSource Investments, LLC as Collateral Manager
			
	By:	 	  	 	/s/    ROBIN C STANCIL        
		 	 Name:
	 	Robin C Stancil
		 	 Title:
	 	Supervisor - Fixed Income

					
	LENDERS
	
	 Cent CDO XI, Limited

	 By:
	 	RiverSource Investments, LLC as Collateral Manager
			
	By:	 	  	 	/s/    ROBIN C STANCIL        
		 	 Name:
	 	Robin C Stancil
		 	 Title:
	 	Supervisor - Fixed Income

					
	LENDERS
	
	 Sequils-Centurion V, Ltd.

	 By:
	 	RiverSource Investments, LLC as Collateral Manager
			
	By:	 	  	 	/s/    ROBIN C STANCIL        
		 	 Name:
	 	Robin C Stancil
		 	 Title:
	 	Supervisor - Fixed Income

					
	LENDERS
	
	 Ameriprise Certificate Company

	By:	 	RiverSource Investments, LLC as Collateral Manager
		
	By:	 	/S/    YVONNE E.
STEVENS        
		 	 Name:
	 	Yvonne E. Stevens
		 	 Title:
	 	Senior Managing Director

					
	LENDERS
	
	IDS Life Insurance Company
	By:	 	RiverSource Investments, LLC as Collateral Manager
		
	By:	 	/S/    YVONNE E.
STEVENS        
		 	 Name:
	 	Yvonne E. Stevens
		 	 Title:
	 	Senior Managing Director

 LENDERS 
  

													
		 		 	  
		 		 	[Print Name of Financial Institution]
	 NYLIM Flatiron CLO 2003-1 Ltd.
	 		 		 	
					
	By:	 	 New York Life Investment Management LLC,
 as Collateral Manager and Attorney-in-Fact
	 		 	 By:
	 	  
		 		 		 		 		 	 Name:
	 	
		 		 		 		 		 	 Title:
	 	
						
	 By:
	 	/S/    ROBERT H.
DIAL        	 		 		 		 	
		 	 Name:
	 	Robert H. Dial	 		 		 		 	
		 	 Title:
	 	Managing Director	 		 		 		 	
			
	 NYLIM Flatiron CLO 2004-1 Ltd.
	 		 	 NYLIM High Yield CDO 2001 Ltd.

					
	By:	 	 New York Life Investment Management LLC,
 as Collateral Manager and Attorney-in-Fact
	 		 	By:	 	 New York Life Investment Management LLC,
 as Collateral Manager and Attorney-in-Fact

					
	By:	 	/S/    ROBERT H.
DIAL        	 		 	By:	 	/S/    ROBERT H.
DIAL        
		 	 Name:
	 	Robert H. Dial	 		 		 	 Name:
	 	Robert H. Dial
		 	 Title:
	 	Managing Director	 		 		 	 Title:
	 	Managing Director
			
	 NYLIM Flatiron CLO 2005-1 Ltd.
	 		 	 New York Life Insurance Company

					
	By:	 	 New York Life Investment Management LLC,
 as Collateral Manager and Attorney-in-Fact
	 		 	By:	 	/S/    ROBERT H.
DIAL        
						
	By:	 	/S/    ROBERT H.
DIAL        	 		 		 	 Name:
	 	Robert H. Dial
		 	 Name:
	 	Robert H. Dial	 		 		 	 Title:
	 	Vice President
		 	 Title:
	 	Managing Director	 		 		 		 	
					
		 		 		 		 	 New York Life Insurance and Annuity Corporation

						
		 		 		 		 	By:	 	 New York Life Investment Management LLC,
 Its Investment Manager

							
		 		 		 		 	 By:
	 	  	 	/S/    ROBERT H.
DIAL        
		 		 		 		 		 	 Name:
	 	Robert H. Dial
		 		 		 		 		 	 Title:
	 	Managing Director

					
	LENDERS
	
	Airlie CBNA Loan Funding LLC, for itself or as agent for Airlie CFPI Loan Funding LLC
		
	By:	 	/S/    BEATA
KONOPKO        
		 	 Name:
	 	Beata Konopko
		 	 Title:
	 	As attorney in fact

					
	LENDERS
	
	Bedford CDO, Limited
	 By:
	 	Pacific Investment Management Company LLC, as its Investment Advisor
			
		 	By:	 	/s/    MOHAN V.
PHANSALKAR        
		 		 	Mohan V. Phansalkar
		 		 	Managing Director

					
	LENDERS
	
	Loan Funding III LLC
	 By:
	 	Pacific Investment Management Company LLC, as its Investment Advisor
			
		 	By:	 	/s/    MOHAN V.
PHANSALKAR        
		 		 	Mohan V. Phansalkar
		 		 	Managing Director

					
	LENDERS
	
	PIMCO Floating Rate Income Fund
	 By:
	 	Pacific Investment Management Company LLC, as its Investment Advisor, acting through Investors Fiduciary Trust Company in the Nominee Name of IFTCO
			
		 	By:	 	/s/    MOHAN V.
PHANSALKAR        
		 		 	Mohan V. Phansalkar
		 		 	Managing Director

					
	LENDERS
	
	SEQUILS-MAGNUM, LTD.
	 By:
	 	Pacific Investment Management Company LLC, as its Investment Advisor
			
		 	By:	 	/s/    MOHAN V.
PHANSALKAR        
		 		 	Mohan V. Phansalkar
		 		 	Managing Director

					
	LENDERS
	
	Southport CLO, Limited
	 By:
	 	Pacific Investment Management Company LLC, as its Investment Advisor
			
		 	By:	 	/s/    MOHAN V.
PHANSALKAR        
		 		 	Mohan V. Phansalkar
		 		 	Managing DirectorTerms Document

 Exhibit 4.1 
 CHASE ISSUANCE TRUST 
 as Issuing Entity 
 CLASS C(2006-3) TERMS DOCUMENT 
 dated as of April 17, 2006 
 to 
 AMENDED AND RESTATED 
 CHASESERIES INDENTURE SUPPLEMENT 
 dated as of October 15, 2004 
 to 
 SECOND AMENDED AND 
 RESTATED INDENTURE 
 dated as of March 14, 2006 
 WELLS FARGO BANK, NATIONAL ASSOCIATION 
 as Indenture Trustee and Collateral Agent 

 TABLE OF CONTENTS 
  

					
	 	 	 	  	PAGE
	 ARTICLE I Definitions and Other Provisions of General Application
	  	
			
	Section 1.01	 	Definitions	  	1
	Section 1.02	 	Governing Law	  	4
	Section 1.03	 	Counterparts	  	4
	Section 1.04	 	Ratification of Indenture and Indenture Supplement	  	4
			
		 	ARTICLE II The Class C(2006-3) Notes	  	
			
	Section 2.01	 	Creation and Designation	  	5
	Section 2.02	 	Interest Payment	  	5
	Section 2.03	 	Calculation Agent; Determination of LIBOR	  	5
	Section 2.04	 	Payments of Interest and Principal	  	6
	Section 2.05	 	Targeted Amount to be on Deposit in the Class C Reserve Sub-Account	  	6
	Section 2.06	 	Form of Delivery of Class C(2006-3) Notes; Depository; Denominations	  	7
	Section 2.07	 	Delivery and Payment for the Class C(2006-3) Notes	  	7
	Section 2.08	 	Supplemental Indenture	  	7
	Section 2.09	 	Appointment of co-Paying Agent and co-Transfer Agent	  	8

 THIS CLASS C(2006-3) TERMS DOCUMENT (this “Terms Document”), by and between the CHASE ISSUANCE
TRUST, a statutory trust created under the laws of the State of Delaware (the “Issuing Entity”), having its principal office at c/o Wilmington Trust Company, 1100 North Market Street, Wilmington, Delaware 19890-1600, and WELLS FARGO BANK,
NATIONAL ASSOCIATION, a national banking association, as indenture trustee (the “Indenture Trustee”) and collateral agent (the “Collateral Agent”), is made and entered into as of April 17, 2006. 
 Pursuant to this Terms Document, the Issuing Entity and the Indenture Trustee shall create a new Tranche of CHASEseries Class C Notes and shall specify
the principal terms thereof. 
 ARTICLE I 
 Definitions and Other Provisions of General Application 
 Section 1.01 Definitions For all purposes of this Terms
Document, except as otherwise expressly provided or unless the context otherwise requires: 
 (1) the terms defined in this Article have the
meanings assigned to them in this Article, and include the plural as well as the singular; 
 (2) all other terms used herein which are
defined in the Indenture Supplement, the Indenture or the Asset Pool Supplement, either directly or by reference therein, have the meanings assigned to them therein; 
 (3) as used in this Terms Document and in any certificate or other document made or delivered pursuant hereto or thereto, accounting terms not defined in this Terms Document or in any such certificate or other
document, and accounting terms partly defined in this Terms Document or in any such certificate or other document to the extent not defined, shall have the respective meanings given to them under GAAP. To the extent that the definitions of
accounting terms in this Terms Document or in any such certificate or other document are inconsistent with the meanings of such terms under GAAP, the definitions contained in this Terms Document or in any such certificate or other document shall
control; 
 (4) the words “hereof,” “herein,” “hereunder” and words of similar import when used in this Terms
Document shall refer to this Terms Document as a whole and not to any particular provision of this Terms Document; references to any subsection, Section, clause, Schedule or Exhibit are references to subsections, Sections, clauses, Schedules and
Exhibits in or to this Terms Document unless otherwise specified; the term “including” means “including without limitation”; references to any law or regulation refer to that law or regulation as amended from time to time and
include any successor law or regulation; references to any Person include that Person’s successors and assigns; and references to any agreement refer to such agreement, as amended, supplemented or otherwise modified from time to time;

 (5) in the event that any term or provision contained herein shall conflict with or be inconsistent with
any term or provision contained in the Indenture Supplement, the Indenture or the Asset Pool Supplement, the terms and provisions of this Terms Document shall be controlling; and 
 (6) each capitalized term defined herein shall relate only to the Class C(2006-3) Notes and no other Tranche of CHASEseries Notes issued by the Issuing
Entity. 
 “Asset Pool Supplement” means the Amended and Restated Asset Pool One Supplement to the Indenture, dated as of
October 15, 2004, as amended by the First Amendment thereto, dated as of May 10, 2005, and the Second Amendment thereto, dated February 1, 2006, by and among the Issuing Entity, the Indenture Trustee and the Collateral Agent.

 “BDL” means Banque de Luxembourg. 
 “Beneficiary” means Chase Bank USA, National Association, in its capacity as beneficial owner of the Issuing Entity. 
 “Calculation Agent” is defined in Section 2.03(a). 
 “Class C Reserve Account
Percentage” means, for any Monthly Period, (i) zero, if the Quarterly Excess Spread Percentage for such Monthly Period is greater than or equal to 4.50%, (ii) 1.25%, if the Quarterly Excess Spread Percentage for such Monthly
Period is less than 4.50% and greater than or equal to 4.00%, (iii) 1.75%, if the Quarterly Excess Spread Percentage for such Monthly Period is less than 4.00% and greater than or equal to 3.50%, (iv) 2.75%, if the Quarterly Excess Spread
Percentage is less than 3.50% and greater than or equal to 3.00%; (v) 4.00%, if the Quarterly Excess Spread Percentage for such Monthly Period is less than 3.00% and greater than or equal to 2.50%, (vi) 5.00%, if the Quarterly Excess
Spread Percentage is less than 2.50% and greater than or equal to 2.00%, (vii) 6.00%, if the Quarterly Excess Spread Percentage for such Monthly Period is less than 2.00% and greater than or equal to 0.00% and (viii) 6.75%, if the
Quarterly Excess Spread Percentage for such Monthly Period is less than 0.00%. 
 “Class C(2006-3) Note” means any Note,
substantially in the form set forth in Exhibit A-3 to the Indenture Supplement, designated therein as a Class C(2006-3) Note and duly executed and authenticated in accordance with the Indenture. 
 “Class C(2006-3) Noteholder” means a Person in whose name a Class C(2006-3) Note is registered in the Note Register. 
 “Class C(2006-3) Termination Date” means the earliest to occur of (a) the Principal Payment Date on which the Outstanding Dollar
Principal Amount of the Class C(2006-3) Notes is paid in full, (b) the Legal Maturity Date and (c) the date on which the Indenture is discharged and satisfied pursuant to Article V thereof. 

 “Controlled Accumulation Amount” means $14,583,333,34; provided, however,
if the Accumulation Period Length is determined to be less than twelve months pursuant to Section 3.12(b)(ii) of the Indenture Supplement, the Controlled Accumulation Amount for any Note Transfer Date with respect to the Class C(2006-3) Notes
will be the amount specified in the definition of “Controlled Accumulation Amount” in the Indenture Supplement. 
 “Indenture” means the Second Amended and Restated Indenture, dated as of March 14, 2006, between the Issuing Entity and the Indenture Trustee. 
 “Indenture Supplement” means the Amended and Restated CHASEseries Indenture Supplement, dated as of October 15, 2004, among the
Issuing Entity, the Indenture Trustee and the Collateral Agent. 
 “Initial Dollar Principal Amount” means $175,000,000.

 “Interest Payment Date” means May 15, 2006 and the 15th day of each month thereafter, or if such 15th day is not a
Business Day, the next succeeding Business Day. 
 “Interest Period” means, with respect to any Interest Payment Date, the
period from and including the previous Interest Payment Date (or in the case of the initial Interest Payment Date, from and including the Issuance Date) to but excluding such Interest Payment Date. 
 “Issuance Date” means April 17, 2006. 
 “Legal Maturity Date” means June 15, 2011. 
 “LIBOR” means, for any
Interest Period, the London interbank offered rate for one-month United States dollar deposits determined by the Trustee on the LIBOR Determination Date for each Interest Period in accordance with the provisions of Section 2.04. 
 “LIBOR Determination Date” means (1) April 12, 2006 for the period from and including the Issuance Date through but excluding
May 15, 2006 and (2) for each interest period thereafter, the second London Business Day prior to the commencement of the second and each subsequent Interest Period. 
 “London Business Day” means any Business Day on which dealings in deposits in United States Dollars are transacted in the London
interbank market. 
 “Note Interest Rate” means a rate per annum equal to 0.23% in excess of LIBOR as determined by the
Calculation Agent on the related LIBOR Determination Date with respect to each Interest Period. 
 “Paying Agent” means
Wells Fargo Bank, National Association. 

 “Predecessor Note” means, with respect to any particular Note, every previous Note
evidencing all or a portion of the same debt as that evidenced by such particular Note; and, for the purpose of this definition, any Note authenticated and delivered under Section 3.06 of the Indenture in lieu of a mutilated, lost, destroyed or
stolen Note shall be deemed to evidence the same debt as the mutilated, lost, destroyed or stolen Note. 
 “Quarterly Excess Spread
Percentage” means, for each Determination Date, the percentage equivalent of a fraction the numerator of which is the sum of the Excess Spread Percentages with respect to the immediately preceding three Monthly Periods and the denominator
of which is three. 
 “Record Date” means, for any Note Transfer Date, the last Business Day of the preceding Monthly
Period. 
 “Reference Banks” means four major banks in the London interbank market selected by the Beneficiary. 

“Scheduled Principal Payment Date” means April 15, 2009. 
 “Stated Principal Amount” means $175,000,000. 
 “Telerate Page 3750” means the display page currently so designated on the Bridge Telerate Market Report (or such other page as may replace that page on that service for the purpose of displaying
comparable rates or prices). 
 Section 1.02 Governing Law THIS TERMS DOCUMENT WILL BE CONSTRUED IN ACCORDANCE WITH AND
GOVERNED BY THE LAWS OF THE STATE OF DELAWARE WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
 Section 1.03 Counterparts This Terms Document may be executed in any number of counterparts, each of which so executed will be deemed to be
an original, but all such counterparts will together constitute but one and the same instrument. 
 Section 1.04 Ratification of
Indenture and Indenture Supplement As supplemented by this Terms Document, each of the Indenture, the Asset Pool Supplement and the Indenture Supplement is in all respects ratified and confirmed and the Indenture as so supplemented by the Asset
Pool Supplement and the Indenture Supplement as so supplemented by this Terms Document shall be read, taken and construed as one and the same instrument. 
 [END OF ARTICLE I] 

 ARTICLE II 
 The Class C(2006-3) Notes 
 Section 2.01 Creation and Designation There is hereby created a
Tranche of CHASEseries Class C Notes to be issued pursuant to the Indenture and the Indenture Supplement to be known as the “CHASEseries Class C(2006-3) Notes.” 
 Section 2.02 Interest Payment For each Interest Payment Date, the amount of interest due with respect to the Class C(2006-3) Notes shall be an amount equal to the product of (i)(A) a fraction, the
numerator of which is the actual number of days in the related Interest Period and the denominator of which is 360, times (B) the Note Interest Rate in effect with respect to the related Interest Period, times, (ii) the
Outstanding Dollar Principal Amount of the Class C(2006-3) Notes determined as of the close of business on the Interest Payment Date preceding the related Note Transfer Date for the Class C(2006-3) Notes; provided, however, that for
the first Interest Payment Date the amount of interest due with respect to the Class C(2006-3) Notes shall be an amount equal to the product of (x) the Outstanding Dollar Principal Amount of the Class C(2006-3) Notes on the Issuance Date,
(y) 28 divided by 360 and (z) the Note Interest Rate in effect with respect to the Class C(2006-3) Notes determined on April 12, 2006. Interest on the Class C(2006-3) Notes will be calculated on the basis of the actual number of days
elapsed and a 360-day year. 
 (b) Pursuant to Section 3.03 of the Indenture Supplement, on each Note Transfer Date with respect to the
Class C(2006-3) Notes, the Indenture Trustee shall deposit into the Class C(2006-3) Interest Funding Sub-Account the portion of CHASEseries Available Finance Charge Collections allocable to the Class C(2006-3) Notes. Calculation Agent;
Determination of LIBOR The Issuing Entity hereby agrees that for so long as any Class C(2006-3) Notes are Outstanding, there shall at all times be an agent appointed to calculate LIBOR for each Interest Period (the “Calculation
Agent”). The Issuing Entity hereby initially appoints the Indenture Trustee as the Calculation Agent for purposes of determining LIBOR for each Interest Period. The Calculation Agent may be removed by the Issuing Entity at any time. If the
Calculation Agent is unable or unwilling to act as such or is removed by the Issuing Entity, or if the Calculation Agent fails to determine LIBOR for an Interest Period, the Issuing Entity shall promptly appoint a replacement Calculation Agent that
does not control or is not controlled by or under common control with the Issuing Entity or its Affiliates. The Calculation Agent may not resign its duties, and the Issuing Entity may not remove the Calculation Agent, without a successor having been
duly appointed. 
 (b) On each LIBOR Determination Date, the Calculation Agent shall determine LIBOR on the basis of the rate for deposits
in United States dollars for a one-month period which appears on Telerate Page 3750 or on such comparable system as is customarily used to quote LIBOR as of 11:00 a.m., London time, on such date. If such rate does not appear on Telerate Page 3750 or
on a comparable system as is customarily used to quote LIBOR the rate for that LIBOR Determination Date shall be determined on the basis of the rates at which deposits in United States dollars are offered by the 

 
Reference Banks at approximately 11:00 a.m., London time, on that day to prime banks in the London interbank market for a one-month period. The Calculation
Agent shall request the principal London office of each of the Reference Banks to provide a quotation of its rate. If at least two such quotations are provided, the rate for that LIBOR Determination Date shall be the arithmetic mean of the
quotations. If fewer than two quotations are provided as requested, the rate for that LIBOR Determination Date will be the arithmetic mean of the rates quoted by major banks in New York City, selected by the Beneficiary, at approximately 11:00 a.m.,
New York City time, on that day for loans in United States dollars to leading European banks for a one-month period. 
 (c) The Note
Interest Rate applicable to the then current and the immediately preceding Interest Periods may be obtained by telephoning the Indenture Trustee at its corporate trust office at (612) 667-8058 or such other telephone number as shall be
designated by the Indenture Trustee for such purpose by prior written notice by the Indenture Trustee to each Noteholder from time to time. 
 (d) On each LIBOR Determination Date, the Calculation Agent shall send to the Indenture Trustee and the Beneficiary, by facsimile transmission, notification of LIBOR for the following Interest Period. 
 Section 2.04 Payments of Interest and Principal Any installment of interest or principal, if any, payable on any Class C(2006-3) Note which
is punctually paid or duly provided for by the Issuing Entity and the Indenture Trustee on the applicable Interest Payment Date or Principal Payment Date shall be paid by the Paying Agent to the Person in whose name such Class C(2006-3) Note (or one
or more Predecessor Notes) is registered on the Record Date, by wire transfer of immediately available funds to such Person’s account as has been designated by written instructions received by the Paying Agent from such Person not later than
the close of business on the third Business Day preceding the date of payment or, if no such account has been so designated, by check mailed first-class, postage prepaid to such Person’s address as it appears on the Note Register on such Record
Date, except that with respect to Notes registered on the Record Date in the name of the nominee of Cede & Co., payment shall be made by wire transfer in immediately available funds to the account designated by such nominee. 
 (b) The right of the Class C(2006-3) Noteholders to receive payments from the Issuing Entity will terminate on the first Business Day following the
Class C(2006-3) Termination Date. 
 Section 2.05 Targeted Amount to be on Deposit in the Class C Reserve Sub-Account The amount
targeted, with respect to any Monthly Period, to be on deposit in the Class C Reserve Sub-Account for the Class C(2006-3) Notes on the Note Transfer Date in the immediately succeeding Monthly Period, will, on the issuance date, be zero and,
thereafter, will be an amount equal to the product of (A) the Class C Reserve Account Percentage for such Monthly Period times (B) the Initial Outstanding Dollar Principal Amount of the CHASEseries Notes (exclusive of (x) any Class or
Tranche of CHASEseries Notes which will be paid in full on the applicable Payment Date for such 

 
Class or Tranche of CHASEseries Notes in the immediately succeeding Monthly Period and (y) any Class or Tranche of CHASEseries Notes which will have a
Nominal Liquidation Amount of zero on the applicable Payment Date for such Class or Tranche of CHASEseries Notes in the immediately succeeding Monthly Period) times (C) a fraction, the numerator of which is the Nominal Liquidation Amount of the
Class C(2006-3) Notes as of the close of business on the last day of such Monthly Period (exclusive of the amount deposited with respect to the Targeted Principal Deposit Amount on the applicable Note Transfer Date for such Tranche of CHASEseries
Class C Notes in the next succeeding Monthly Period) and the denominator of which is the Nominal Liquidation Amount of all Class C Notes in the CHASEseries as of the close of business on the last day of such Monthly Period (exclusive of the amount
deposited with respect to the Targeted Principal Deposit Amount on the applicable Note Transfer Date for all Tranches of CHASEseries Class C Notes in the next succeeding Monthly Period); provided however, that if an Early Redemption Event or Event
of Default occurs with respect to the Class C(2006-3) Notes, the amount targeted to be on deposit will be the Initial Outstanding Dollar Principal Amount of the Class C(2006-3) notes. 
 The Issuing Entity may change the percentage and methodology set forth above for calculating the amount targeted to be on deposit in the Class C Reserve
Sub-Account for the Class C(2006-3) Notes without the consent of any Noteholder so long as the Issuing Entity has (i) received written confirmation from each Note Rating Agency that has rated any Outstanding Notes of the CHASEseries that the
change in such percentage or formula will not result in a Ratings Effect with respect to any Outstanding Class C(2006-3)Notes and (ii) delivered to the Indenture Trustee and the Note Rating Agencies a Master Trust Tax Opinion and an Issuing
Entity Tax Opinion. 
 Section 2.06 Form of Delivery of Class C(2006-3) Notes; Depository; Denominations The Class C(2006-3)
Notes shall each be delivered in the form of a global Registered Note as provided in Sections 2.02 and 3.01(i) of the Indenture, respectively. 
 (b) The Depository for the Class C(2006-3) Notes shall be The Depository Trust Company, and the Class C(2006-3) Notes shall initially be registered in the name of Cede & Co., its nominee. 
 (c) The Class C(2006-3) Notes will be issued in minimum denominations of $100,000 and integral multiples of $1,000 in excess of $100,000. 
 Section 2.07 Delivery and Payment for the Class C(2006-3) Notes The Issuing Entity shall execute and deliver the Class C(2006-3) Notes to the
Indenture Trustee for authentication, and the Indenture Trustee shall deliver the Class C(2006-3) Notes when authenticated, each in accordance with Section 3.03 of the Indenture. 
 Section 2.08 Supplemental Indenture The Issuing Entity may enter into a supplemental indenture with respect to the Class C(2006-3) Notes as
provided in Section 9.01 of the Indenture; provided, however, that any supplemental indenture which provides for an additional or alternative form of credit enhancement for the Class C(2006-3) Notes shall, in addition to the
requirements set forth in Section 9.01 of the 

 
Indenture, require confirmation from the Note Rating Agencies that have rated any Outstanding Notes of the CHASEseries that such change in credit enhancement
will not result in a Ratings Effect with respect to any Outstanding Notes of the CHASEseries. 
 Section 2.09 Appointment of
co-Paying Agent and co-Transfer Agent BDL is appointed as co-paying agent and as co-transfer agent in Luxembourg with respect to the Class C(2006-3) Notes for so long as the Class C(2006-3) Notes are listed on the Luxembourg Stock Exchange. Any
reference in this Terms Document, the Indenture Supplement, the Asset Pool Supplement and the Indenture to the Paying Agent or the Transfer Agent shall be deemed to include BDL as co-paying agent or co-transfer agent, as the case may be, unless the
context requires otherwise. 
 [END OF ARTICLE II] 

 IN WITNESS WHEREOF, the parties hereto have caused this Terms Document to be duly executed, all as of the
day and year first above written. 
  

			
	CHASE ISSUANCE TRUST
		
	By:	 	CHASE BANK USA,
		 	NATIONAL ASSOCIATION,
		 	as Beneficiary and not in its individual capacity
		
	By:	 	 /s/ Keith W. Schuck

	Name:	 	Keith W. Schuck
	Title:	 	President
	
	WELLS FARGO BANK, NATIONAL
	ASSOCIATION, as Indenture Trustee and Collateral Agent
		
	By:	 	 /s/ Cheryl C. Zimmerman

	Name:	 	Cheryl C. Zimmerman, CCTS
	Title:	 	Assistant Vice President

 Signature Page to the Chase Issuance Trust 
 CHASEseries Class C(2006-3) Terms Document

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