Document:

Pooling Agreement, dated as of May 27, 2010

 Exhibit 10.1 

EXECUTION COPY 
  

 
  
  

 
  

 
 POOLING AGREEMENT 

BETWEEN 

NAVISTAR FINANCIAL RETAIL RECEIVABLES CORPORATION 

SELLER 
 AND

 NAVISTAR FINANCIAL 2010-A OWNER TRUST 

ISSUER 
 DATED AS
OF MAY 27, 2010 
  
  

 

 TABLE OF CONTENTS 

 

							
	 	 	 	  	Page
	 ARTICLE I DEFINITIONS
	  	1
		 	 SECTION 1.01
	  	 Definitions
	  	1
		
	 ARTICLE II CONVEYANCE OF RECEIVABLES; ORIGINAL ISSUANCE OF CERTIFICATES
	  	1
		 	 SECTION 2.01
	  	 Conveyance of Receivables
	  	1
		 	 SECTION 2.02
	  	 [Reserved]
	  	2
		 	 SECTION 2.03
	  	 Custody of Receivable Files
	  	2
		 	 SECTION 2.04
	  	 Acceptance by Issuer; Limitation on Transfer of Navistar Purchase Obligations
	  	3
		 	 SECTION 2.05
	  	 Representations and Warranties as to the Receivables
	  	3
		 	 SECTION 2.06
	  	 Repurchase of Receivables Upon Breach of Warranty
	  	4
		
	 ARTICLE III REPRESENTATIONS AND WARRANTIES OF THE SELLER
	  	4
		 	 SECTION 3.01
	  	 Representations and Warranties of the Seller
	  	4
		 	 SECTION 3.02
	  	 Liability of Seller
	  	6
		 	 SECTION 3.03
	  	 Merger or Consolidation of, or Assumption of the Obligations of, Seller; Amendment of Certificate of
Incorporation
	  	6
		 	 SECTION 3.04
	  	 Limitation on Liability of Seller and Others
	  	6
		 	 SECTION 3.05
	  	 Seller May Own Securities
	  	6
		
	 ARTICLE IV TERMINATION
	  	7
		 	 SECTION 4.01
	  	 Servicer’s Optional Purchase of All Receivables
	  	7
		 	 SECTION 4.02
	  	 Termination
	  	7
		 	 SECTION 4.03
	  	 Seller’s Optional Purchase of All Receivables
	  	8
		
	 ARTICLE V MISCELLANEOUS PROVISIONS
	  	8
		 	 SECTION 5.01
	  	 Amendment
	  	8
		 	 SECTION 5.02
	  	 Protection of Title to Owner Trust Estate
	  	10
		 	 SECTION 5.03
	  	 Notices
	  	12
		 	 SECTION 5.04
	  	 Governing Law
	  	12
		 	 SECTION 5.05
	  	 Severability of Provisions
	  	12
		 	 SECTION 5.06
	  	 Assignment
	  	12
		 	 SECTION 5.07
	  	 Third-Party Beneficiaries
	  	12
		 	 SECTION 5.08
	  	 Separate Counterparts
	  	12
		 	 SECTION 5.09
	  	 Headings and Cross-References
	  	12
		 	 SECTION 5.10
	  	 Assignment to Indenture Trustee
	  	13
		 	 SECTION 5.11
	  	 No Petition Covenants; Waiver of Claims
	  	13
		 	 SECTION 5.12
	  	 Limitation of Liability of the Trustees
	  	13
		 	 SECTION 5.13
	  	 MUTUAL WAIVER OF JURY TRIAL
	  	14
		 	 SECTION 5.14
	  	 Survival; Termination
	  	14
		 	 SECTION 5.15
	  	 Waivers
	  	14

  

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	 EXHIBIT A
	  	[Reserved]
	 EXHIBIT B
	  	Form of PSA Assignment
		
	 APPENDIX A
	  	Defined Terms and Rules of Construction
	 APPENDIX B
	  	Notice Addresses and Procedures

  

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 POOLING AGREEMENT 

THIS POOLING AGREEMENT is made as of May 27, 2010 by and between Navistar Financial Retail Receivables Corporation, a
Delaware corporation (“NFRRC” and, in its capacity as the Seller hereunder, the “Seller”), and Navistar Financial 2010-A Owner Trust, a Delaware statutory trust (the “Issuer”). 

WHEREAS, Navistar Financial Corporation, a Delaware corporation (“NFC”) has sold the Receivables and the Related
Security to the Seller pursuant to the Purchase Agreement. 
 WHEREAS, the Seller desires to sell the Receivables and the
Related Security to the Issuer in exchange for the Securities. 
 WHEREAS, the Seller and the Issuer wish to set forth
the terms pursuant to which the Receivables and the Related Security are to be sold by the Seller to the Issuer. 
 NOW,
THEREFORE, in consideration of the foregoing, the other good and valuable consideration and the mutual terms and covenants contained herein, the parties hereto agree as follows: 

ARTICLE I 

DEFINITIONS 

SECTION 1.01 Definitions. Certain capitalized terms used in the above recitals and in this Agreement are defined in and shall have
the respective meanings assigned them in Part I of Appendix A to this Agreement. All references herein to “the Agreement” or “this Agreement” are to this Pooling Agreement as it may be amended, supplemented or
modified from time to time, the exhibits hereto and the capitalized terms used herein which are defined in such Appendix A, and all references herein to Articles, Sections and subsections are to Articles, Sections or subsections of this
Agreement unless otherwise specified. The rules of construction set forth in Part II of such Appendix A shall be applicable to this Agreement. 

ARTICLE II 

CONVEYANCE OF RECEIVABLES; ORIGINAL ISSUANCE OF CERTIFICATES 

SECTION 2.01 Conveyance of Receivables. In consideration of the Issuer’s delivery of the Securities to, or upon the order of,
the Seller, the Seller does hereby enter into this Agreement and agrees to fulfill all of its obligations hereunder and hereby sells, transfers, assigns, sets over and otherwise conveys to the Issuer, without recourse (except as provided in
Section 2.06), and the Issuer hereby purchases, as of the date hereof, pursuant to an assignment in the form attached hereto as Exhibit B (the “PSA Assignment”), all right, title and interest of the Seller
in, to and under: 
 (a) the Retail Notes identified on the Schedule of Retail Notes attached to the PSA
Assignment delivered to the Issuer, the Related Security with respect to those Retail Notes and all Collections with respect thereto due on or after the Cutoff Date; and 

 (b) the rights, but not the obligations, acquired by the Seller under the
Purchase Agreement and the PA Assignment pursuant to Section 2.01 of the Purchase Agreement with respect to the Receivables. 
 It is the
intention of the Seller and the Issuer that the transfer and assignment contemplated by this Section 2.01 shall constitute a sale of the Receivables and Related Security by the Seller to the Issuer and the beneficial interest in and
title to the assets conveyed pursuant to this Section 2.01 shall not be part of the Seller’s estate in the event of the filing of a bankruptcy petition by or against the Seller under any bankruptcy law. The Seller intends to treat
such transfer and assignment as a sale for federal income tax, accounting and other purposes. Notwithstanding the foregoing, in the event a court of competent jurisdiction determines that such transfer and assignment did not constitute such a sale
or that such sale shall for any reason be ineffective or unenforceable or that such beneficial interest is a part of the Seller’s estate (any of the foregoing, a “Recharacterization”), then (i) the Seller shall be deemed
to have granted to the Issuer a first priority perfected security interest in all of the Seller’s right title and interest in, to and under the assets conveyed pursuant to this Section 2.01, and the Seller hereby grants such
security interest, and (ii) the assets conveyed pursuant to this Section 2.01 shall be deemed to include all rights, powers and options (but none of the obligations, if any) of the Seller under any agreement or instrument included
in the assets conveyed pursuant to this Section 2.01, including the immediate and continuing right to claim for, collect, receive and give receipt for principal and interest payments in respect of the Receivables included in the assets
conveyed pursuant to this Section 2.01 and all other monies payable under the Receivables conveyed pursuant to this Section 2.01, to give and receive notices and other communications, to make waivers or other agreements, to
exercise all rights, powers and options, to bring Proceedings in the name of the Seller or otherwise and generally to do and receive anything that the Seller is or may be entitled to do or receive under or with respect to the assets conveyed
pursuant to this Section 2.01. For purposes of such grant, this Agreement shall constitute a security agreement under the UCC. In the case of any Recharacterization, each of the Seller and the Issuer represents and warrants as to itself
that each remittance of Collections by the Seller to the Issuer hereunder or in connection herewith will have been (i) in payment of a debt incurred by the Seller in the ordinary course of business or financial affairs of the Seller and the
Issuer and (ii) made in the ordinary course of business or financial affairs of the Seller and the Issuer. 
 In addition, on the Closing
Date, the Seller shall cause the Reserve Account Initial Deposit to be deposited into the Reserve Account. Within two Business Days after the Closing Date, the Seller shall cause to be deposited into the Collection Account all collections (from
whatever source) on or with respect to the assets conveyed pursuant to this Section 2.01 received by the Seller pursuant to Section 5.07 of the Purchase Agreement. 

SECTION 2.02 [Reserved] 

SECTION 2.03 Custody of Receivable Files. In connection with the sale, transfer and assignment of Receivables and the Related
Security to the Seller from NFC pursuant to the Purchase Agreement, the Seller, simultaneously with the execution and delivery of this Agreement, shall enter into the Servicing Agreement with NFC, pursuant to which the Seller shall revocably appoint
NFC as the Custodian, and NFC shall accept such appointment, to act as 
  

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the agent of the Seller as Custodian of the following documents or instruments which shall be constructively delivered to the Trust, as of the Closing Date with respect to each Receivable:

 (a) the fully executed original of the Retail Note for such Receivable; 

(b) documents evidencing or related to any related Insurance Policy; 

(c) a copy of the original credit application of each Obligor, fully executed by each such Obligor on NFC’s customary
form, or on a form approved by NFC, for such application; 
 (d) where permitted by law, the original Certificate
of Title (when received) and otherwise such documents, if any, that NFC keeps on file in accordance with its customary procedures indicating that the Financed Vehicle is owned by the Obligor and subject to the interest of NFC as first lienholder or
secured party; and 
 (e) any and all other documents that NFC keeps on file in accordance with its customary
procedures relating to the individual Receivable, Obligor or Financed Vehicle. 
 SECTION 2.04 Acceptance by Issuer;
Limitation on Transfer of Navistar Purchase Obligations. The Issuer does hereby accept all property (and interests in property) conveyed by the Seller pursuant to Section 2.01, and declares that the Issuer shall hold such property
(and interests in property) upon the trust set forth in the Indenture and the Trust Agreement for the benefit of the Financial Parties, subject to the terms and conditions of the Trust Agreement, the Indenture, this Agreement and the other Basic
Documents; provided, however, that the Issuer acknowledges and agrees that (a) the rights pursuant to the Navistar Purchase Obligations are personal to NFC and only the amounts received by NFC from time to time in respect of such
rights have been assigned to NFRRC by NFC under the Purchase Agreement and to the Issuer by NFRRC hereunder, (b) neither the Issuer nor the Indenture Trustee is or is intended to be a third-party beneficiary of such rights, and
(c) accordingly such rights are not exercisable by, enforceable by or for the benefit of, or preserved for the benefit of, the Issuer or the Indenture Trustee. The Issuer hereby agrees and accepts the appointment and authorization of NFC as
Servicer pursuant to the Servicing Agreement. The parties agree that this Agreement (including the PSA Assignment), the Servicing Agreement, the Indenture and the Trust Agreement constitute the Further Transfer and Servicing Agreements. 

SECTION 2.05 Representations and Warranties as to the Receivables. Pursuant to Section 2.01(b), the Seller assigns to
the Issuer all of its right, title and interest in, to and under the Purchase Agreement. Such assigned right, title and interest includes the representations and warranties of NFC made to the Seller pursuant to Section 3.01 of the Purchase
Agreement. The Seller hereby represents and warrants to the Issuer that the Seller has taken no action which would cause such representations and warranties to be false in any material respect as of the Closing Date. The Seller further acknowledges
that the Issuer is relying on the representations and warranties of the Seller under this Agreement and of NFC under the Purchase Agreement in accepting the Receivables in trust and executing and delivering the Securities. The foregoing
representation and warranty speaks as of the Closing Date but shall survive the sale, transfer and 
  

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assignment of the Receivables to the Issuer and the pledge thereof to the Indenture Trustee pursuant to the Indenture. 

SECTION 2.06 Repurchase of Receivables Upon Breach of Warranty. Upon discovery by the Seller, the Servicer or either Trustee of a
breach of any of the representations and warranties in Section 3.01 of the Purchase Agreement (and, with respect to Section 3.01(j) of the Purchase Agreement, irrespective of any limitation regarding knowledge of NFC) or in
Section 2.05 or 3.01 of this Agreement that materially and adversely affects the interests of the Financial Parties in any Receivable, the party discovering such breach shall give prompt written notice thereof to the others. As of
the second Accounting Date following its discovery or its receipt of notice of breach (or, at the Seller’s election, the first Accounting Date following such discovery or notice), unless such breach shall have been cured in all material
respects, in the event of a breach of the representations and warranties made by the Seller in Section 2.05 or 3.01 of this Agreement, the Seller shall repurchase such Receivable from the Issuer on the related Distribution Date.
Neither the Owner Trustee nor the Issuer shall have any affirmative duty to conduct any investigation as to the occurrence of any event requiring the repurchase of any Receivable pursuant to this Section 2.06. 

The repurchase price to be paid by any Warranty Purchaser shall be an amount equal to the Warranty Payment and shall be deposited by the
Warranty Purchaser into the Collection Account on the Transfer Date for the related Distribution Date. It is understood and agreed that the obligation of the Warranty Purchaser to repurchase any Receivable as to which a breach has occurred and is
continuing shall, if such repurchase obligations are fulfilled, constitute the sole remedy against the Seller, the Servicer or NFC for such breach available to any Interested Party. 

ARTICLE III 

REPRESENTATIONS AND WARRANTIES OF THE SELLER 

SECTION 3.01 Representations and Warranties of the Seller. The Seller makes the following representations and warranties as to
itself on which the Issuer is relying in acquiring the Receivables hereunder and issuing the Securities under the other Further Transfer and Servicing Agreements. The following representations and warranties speak as of the Closing Date, but such
representations and warranties shall survive the sale, transfer and assignment of the Receivables to the Issuer and the pledge thereof to the Indenture Trustee pursuant to the Indenture. 

(a) Organization and Good Standing. The Seller has been duly organized and is validly existing as a corporation in
good standing under the laws of the State of Delaware, with power and authority to own its properties and to conduct its business as such properties are presently owned and such business is presently conducted, and had at all relevant times, and now
has, power, authority and legal right to acquire and own the Receivables. 
 (b) Due Qualification. The
Seller is duly qualified to do business as a foreign corporation in good standing, and has obtained all necessary licenses and approvals in all jurisdictions in which the ownership or lease of property or the conduct of its business requires or
shall require such qualification. 
  

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 (c) Power and Authority. The Seller has the power and authority to
execute and deliver the Further Transfer and Servicing Agreements to which it is a party (as used in this Section 3.01, the “applicable Further Transfer and Servicing Agreements”), to carry out the respective terms of
such agreements and to sell and assign the property to be sold and assigned to and deposited with the Issuer as part of the Owner Trust Estate; the Seller has duly authorized such sale and assignment to the Issuer by all necessary corporate action;
and the execution, delivery and performance by the Seller of the applicable Further Transfer and Servicing Agreements have been duly authorized by the Seller by all necessary corporate action; 

(d) Binding Obligations. The applicable Further Transfer and Servicing Agreements have been duly executed and
delivered by the Seller and constitute a legal, valid and binding obligation of the Seller enforceable against the Seller in accordance with its terms, except as enforceability may be limited by applicable bankruptcy, insolvency, reorganization or
other similar laws affecting the enforcement of creditors’ rights in general and by general principles of equity, regardless of whether such enforceability is considered in a proceeding in equity or at law. 

(e) No Violation. The consummation by the Seller of the transactions contemplated by the applicable Further
Transfer and Servicing Agreements and the fulfillment of the terms of such agreements by the Seller shall not conflict with, result in any breach of any of the terms and provisions of or constitute (with or without notice or lapse of time) a default
under, the certificate of incorporation or by-laws of the Seller, or any indenture, agreement or other instrument to which the Seller is a party or by which it is bound, or result in the creation or imposition of any Lien upon any of its properties
pursuant to the terms of any such indenture, agreement or other instrument, other than the applicable Further Transfer and Servicing Agreements, or violate any law or, to the Seller’s knowledge, any order, rule or regulation applicable to the
Seller of any court or of any federal or state regulatory body, administrative agency or other governmental instrumentality having jurisdiction over the Seller or any of its properties. 

(f) No Proceedings. There are no proceedings or, to the Seller’s knowledge, investigations pending or, to the
Seller’s knowledge, threatened before any court, regulatory body, administrative agency or other tribunal or governmental instrumentality having jurisdiction over the Seller or its properties (i) asserting the invalidity of any of the
applicable Further Transfer and Servicing Agreements, any Securities issued pursuant thereto or the Administration Agreement, (ii) seeking to prevent the issuance of such Securities or the consummation of any of the transactions contemplated by
the applicable Further Transfer and Servicing Agreements or the Administration Agreement, or (iii) seeking any determination or ruling that might materially and adversely affect the performance by the Seller of its obligations under, or the
validity or enforceability of, such Securities, the applicable Further Transfer and Servicing Agreements or the Administration Agreement. 

(g) Good Title. On the date hereof, the Seller has good title to each Receivable free and clear of all Liens (other
than Liens that will be released as of the date hereof). On the date hereof, good and valid title to each such Receivable will be validly and effectively conveyed to, and vested in, the Issuer, free and clear of all Liens (other than Liens

  

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created pursuant to the Basic Documents), and the transfer of such Receivable by the Seller to the Issuer has been perfected under the UCC. 

(h) All Filings Made. All filings (including UCC filings) necessary in any jurisdiction to give the Issuer a first
priority perfected security or ownership interest in the Purchased Property (to the extent it constitutes Code Collateral) shall have been made, and the Receivables constitute Code Collateral. 

(i) Valid Sale. This Agreement and the PSA Assignment constitute a valid sale, transfer and assignment of the
Purchased Property transferred thereby, enforceable against creditors of and purchasers from the Seller. 
 SECTION 3.02
Liability of Seller. The Seller shall be liable in accordance with this Agreement only to the extent of the obligations in this Agreement specifically undertaken by the Seller. 

SECTION 3.03 Merger or Consolidation of, or Assumption of the Obligations of, Seller; Amendment of Certificate of Incorporation.

 (a) Any Person (i) into which the Seller may be merged or consolidated, (ii) resulting from any
merger or consolidation to which the Seller shall be a party, (iii) succeeding to the business of the Seller, or (iv) more than 50% of the voting stock of which is owned directly or indirectly by NIC, which corporation in any of the
foregoing cases executes an agreement of assumption to perform every obligation of the Seller under this Agreement, shall be the successor to the Seller under this Agreement without the execution or filing of any document or any further act on the
part of any of the parties to this Agreement. The Seller shall provide 10 days’ prior notice of any merger, consolidation or succession pursuant to this Section 3.03 to the Rating Agencies. 

(b) The Seller hereby agrees that during the term of this Agreement it shall not amend Articles Third, Fourth, Fifth,
Twelfth or Fourteenth of its Restated Certificate of Incorporation without satisfying the Rating Agency Condition with respect thereto or without obtaining the prior written consent of a majority of the Outstanding Amount of the Controlling Class as
of the close of the preceding Distribution Date and the prior written consent of the Holders of Certificates evidencing not less than a majority of the ownership interest in the Trust as of the close of the preceding Distribution Date. 

SECTION 3.04 Limitation on Liability of Seller and Others. The Seller and any director or officer or employee or agent of the
Seller may rely in good faith on the advice of counsel or on any document of any kind prima facie properly executed and submitted by any Person respecting any matters arising under this Agreement. The Seller shall not be under any obligation
to appear in, prosecute or defend any legal action that is not incidental to its obligations as Seller of the Receivables under this Agreement and that in its opinion may involve it in any expense or liability. 

SECTION 3.05 Seller May Own Securities. Each of the Seller and any Person controlling, controlled by or under common control with
the Seller may in its individual or any 
  

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other capacity become the owner or pledgee of Securities with the same rights as it would have if it were not the Seller or an Affiliate thereof except as otherwise specifically provided herein.
Except as otherwise provided herein, Securities so owned by or pledged to the Seller or such controlling or commonly controlled Person shall have an equal and proportionate benefit under the provisions of this Agreement, without preference, priority
or distinction as among all of such Securities. 
 ARTICLE IV 

TERMINATION 

SECTION 4.01 Servicer’s Optional Purchase of All Receivables. On any Distribution Date following the last day of any Monthly
Period as of which the Aggregate Receivables Balance is 10% or less of the Aggregate Starting Receivables Balance, the Servicer shall have the option to purchase the assets of the Owner Trust Estate other than the Designated Accounts and the
Certificate Distribution Account. If the Servicer’s long term unsecured debt rating from Moody’s is equal to or higher than “Baa3” at the time that it seeks to exercise such option, then to exercise such option, the Servicer
shall deposit in the Collection Account an amount equal to the aggregate Administrative Purchase Payments for the Receivables (including Liquidating Receivables), plus the appraised value of any such other property contained in the Owner Trust
Estate (less the Liquidation Expenses to be incurred in connection with the recovery thereof), such value to be determined by an appraiser mutually agreed upon by the Servicer and each Trustee. If the Servicer’s long term unsecured debt rating
from Moody’s is less than “Baa3” at the time that it seeks to exercise such option, then to exercise such option, the Servicer shall deposit in the Collection Account an amount equal to the appraised value of the Receivables
(including Liquidating Receivables), plus the appraised value of any such other property contained in the Owner Trust Estate (less the Liquidation Expenses to be incurred in connection with the recovery thereof), such values to be determined by an
appraiser mutually agreed upon by the Servicer and each Trustee; provided, that such amount (when added to any funds then on deposit in the Designated Accounts which are to be used to pay the Redemption Price) must be at least equal to the
aggregate Redemption Price of all outstanding Notes through the Redemption Date. Thereupon, the Servicer shall succeed to all interests in and to the Owner Trust Estate (other than the Designated Accounts and the Certificate Distribution Account).

 SECTION 4.02 Termination. 

(a) Following the satisfaction and discharge of the Indenture with respect to the Notes, and the payment in full of the
principal and interest on the Notes, the Certificateholders shall succeed to the rights of the Noteholders hereunder and the Owner Trustee shall succeed to the rights of the Indenture Trustee thereafter arising pursuant to this Agreement (subject to
the continuing obligations of the Indenture Trustee set forth in Section 4.4 of the Indenture). 

(b) After payment to each Trustee, the Noteholders and the Servicer of all amounts required to be paid under this
Agreement and the Indenture, any amounts on deposit in the Reserve Account and the Collection Account (after all other distributions required to be made from such accounts have been made) shall be deposited into the Certificate Distribution Account

  

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for distribution to the Certificateholders and any other assets remaining in the Owner Trust Estate shall be distributed to the Certificate Distribution Account for distribution to the
Certificateholders. 
 (c) This Agreement shall terminate when (i) the Certificateholders have succeeded to
the rights of the Noteholders pursuant to Section 4.02(a) and (ii) any amounts on deposit in the Reserve Account and the Collection Account have been deposited into the Certificate Distribution Account pursuant to
Section 4.02(b). 
 SECTION 4.03 Seller’s Optional Purchase of All Receivables. On any Distribution Date
following the last day of any Monthly Period as of which the Aggregate Receivables Balance is 30.00% or less of the Aggregate Starting Receivables Balance (the “Optional Purchase Date”), the Seller shall have the option to purchase
all but not less than all of the assets of the Issuer (other than the Designated Accounts and the Certificate Distribution Account). To exercise such option, the Seller shall deposit in the Collection Account an amount equal to the sum of
(a) the appraised value of the Receivables (including Liquidating Receivables), plus (b) the appraised value of any such other property contained in the Owner Trust Estate (less the Liquidation Expenses to be incurred by the
Servicer in connection with the recovery thereof), such values to be determined by an appraiser mutually agreed upon by NFRRC, the Servicer, the Owner Trustee and the Indenture Trustee; provided, that such amount (when added to any funds then
on deposit in the Designated Accounts which are to be used to pay the Redemption Price) must be at least equal to the aggregate Redemption Price of all outstanding Notes through the Optional Purchase Date. Thereupon, NFRRC shall succeed to all
interests in and to the Owner Trust Estate (other than the Designated Accounts and the Certificate Distribution Account). The Seller shall make such deposit set forth in this Section 4.03 in immediately available funds on or prior to the
Optional Purchase Date. 
 ARTICLE V 

MISCELLANEOUS PROVISIONS 

SECTION 5.01 Amendment. 

(a) This Agreement may be amended by the Seller and the Issuer with the consent of the Indenture Trustee, but without the
consent of any of the Financial Parties, (i) to cure any ambiguity, (ii) to correct or supplement any provision in this Agreement that may be defective or inconsistent with any other provision in this Agreement or any other Basic Document,
(iii) to add or supplement any credit enhancement for the benefit of the Noteholders of any class or the Certificateholders provided that if any such addition shall affect any class of Noteholders or the Certificateholders differently than any
other class of Noteholders or the Certificateholders, respectively, then such addition shall not, as evidenced by an Opinion of Counsel, adversely affect in any material respect the interests of any class of Noteholders or the Certificateholders,
(iv) to add to the covenants, restrictions or obligations of the Seller or either Trustee, or (v) to add, change or eliminate any other provision of this Agreement in any manner that shall not, as evidenced by an Opinion of Counsel,
adversely affect in any material respect the interests of the Financial Parties. 
  

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 (b) This Agreement may also be amended from time to time by the Seller and
the Issuer with the consent of the Indenture Trustee, the consent of Noteholders whose Notes evidence not less than a majority of the Outstanding Amount of the Controlling Class as of the close of the preceding Distribution Date and the consent of
Certificateholders whose Certificates evidence not less than a majority of the ownership interest in the Trust as of the close of the preceding Distribution Date (which consents, whether given pursuant to this Section 5.01 or pursuant to
any other provision of this Agreement, shall be conclusive and binding on such Person and on all future holders of such Notes or Certificates and of any Notes or Certificates issued upon the transfer thereof or in exchange thereof or in lieu thereof
whether or not notation of such consent is made upon the Notes or Certificates) for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of this Agreement, or of modifying in any manner the rights of
the Financial Parties; provided, however, that no such amendment shall (i) increase or reduce in any manner the amount of, or accelerate or delay the timing of, collections of payments on Receivables or distributions that shall be
required to be made on any Security, the Interest Rate for any class of Notes or the Specified Reserve Account Balance, (ii) reduce the aforesaid percentage required to consent to any such amendment, without the consent of the holders of all
Securities then outstanding, or (iii) amend any provision of this Agreement (including Section 5.06) which requires actions taken under such provision to have the consent of Noteholders whose Notes evidence greater than a majority
of the Outstanding Amount of the Controlling Class as of the preceding Distribution Date or of the Holders of Certificates evidencing greater than a majority of the ownership interest in the Trust as of the preceding Distribution Date, in each case
without the consent of the Indenture Trustee and the numbers of Financial Parties described in such Section. 

(c) Prior to the execution of any such amendment or consent, the Indenture Trustee shall furnish written notification to
the Rating Agencies of the substance of such amendment or consent as provided to the Indenture Trustee. 
 (d)
Promptly after the execution of any such amendment or consent, the Owner Trustee shall furnish written notification of the substance of such amendment or consent to each Certificateholder, and the Indenture Trustee shall furnish written notification
to each Noteholder of the substance of such amendment or consent as provided to the Indenture Trustee. 
 (e) It
shall not be necessary for the consent of Financial Parties pursuant to Section 5.01(b) to approve the particular form of any proposed amendment or consent, but it shall be sufficient if such consent shall approve the substance thereof.
The manner of obtaining such consents (and any other consents of Financial Parties provided for in this Agreement) and of evidencing the authorization of the execution thereof by Financial Parties shall be subject to such reasonable requirements as
either Trustee may prescribe. 
 (f) Prior to the execution of any amendment to this Agreement, each Trustee
shall be entitled to receive and rely upon the Opinion of Counsel referred to in Section 5.02(i) and an Opinion of Counsel stating that the execution of such amendment is authorized or permitted by this Agreement and that all conditions
precedent to the execution and delivery of such amendment have been satisfied. Each Trustee may, but shall not be obligated to, enter into 

 

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any such amendment which affects such Trustee’s own rights, duties or immunities under this Agreement or otherwise. 

SECTION 5.02 Protection of Title to Owner Trust Estate. 

(a) The Seller shall prepare and file such financing statements and cause to be prepared and filed such continuation and
other statements, all in such manner and in such places as may be required by law fully to preserve, maintain and protect the interest of the Issuer under this Agreement in the Receivables, the Related Security and the other property conveyed hereby
(to the extent such property constitutes Code Collateral) and the Indenture Trustee’s security interest in the Receivables, the Related Security and the other property conveyed hereby (to the extend such property constitutes Code Collateral)
and hereby authorizes the Issuer and the Indenture Trustee to file such financing statements or continuation statements relating to all or any part thereof. The Seller shall deliver (or cause to be delivered) to the Owner Trustee and the Indenture
Trustee file-stamped copies of, or filing receipts for, any document filed as provided above, as soon as available following such filing. 

(b) The Seller shall not change its name, identity or corporate structure in any manner that would, could or might make
any financing statement or continuation statement filed in accordance with Section 5.02(a) above seriously misleading within the meaning of Section 9-506 of the UCC, unless it shall have given each Trustee at least 60 days prior
written notice thereof and shall file such financing statements or amendments as may be necessary to continue the perfection of the Issuer’s security interest in the Receivables, the Related Security and other property conveyed hereby (to the
extent such property constitutes Code Collateral). 
 (c) The Seller shall give each Trustee at least 60 days
prior written notice of any change in its jurisdiction of formation and shall file such financing statements or amendments as may be necessary to continue the perfection of the Issuer’s security interest in the Receivables, the Related Security
and the other property conveyed hereby (to the extent such property constitutes Code Collateral). The Seller shall at all times maintain its jurisdiction of formation within the United States of America. 

(d) The Seller will cause the Servicer to maintain accounts and records as to each Receivable accurately and in sufficient
detail to permit (i) the reader thereof to know at any time the status of such Receivable, including payments and recoveries made and payments owing (and the nature of each) and extensions of any scheduled payments made not less than 45 days
prior thereto, and (ii) reconciliation between payments or recoveries on (or with respect to) each Receivable and the amounts from time to time deposited in the Collection Account in respect of such Receivable. 

(e) The Seller will cause NFC to maintain its computer systems so that, from and after the time of sale under this
Agreement of the Receivables to the Issuer, NFC’s master computer records (including any back-up archives) that refer to any Receivable indicate clearly that the Receivable is owned by the Issuer and has been pledged by the Issuer to the
Indenture Trustee. Indication of the Issuer’s ownership of a Receivable shall be deleted from or modified on NFC’s computer systems when, and only when, the Receivable shall have been paid in full,

  

 - 10 - 

 
repurchased by the Seller, purchased by the Servicer or become a Liquidating Receivable as to which the Servicer and NFC have discontinued pursuing remedies with respect to collection in
accordance with its customary servicing procedures and such Receivable is deleted from NFC’s computer systems. 

(f) If at any time the Seller proposes to sell, grant a security interest in, or otherwise transfer any interest in truck,
truck chassis, bus and trailer receivables to any prospective purchaser, lender or other transferee, the Seller shall give to such prospective purchaser, lender or other transferee computer tapes, records or print-outs (including any restored from
back-up archives) that, if they refer in any manner whatsoever to any Receivable, indicate clearly that such Receivable has been sold and is owned by the Issuer and has been pledged by the Issuer to the Indenture Trustee unless such Receivable has
been paid in full, repurchased by the Seller or purchased by the Servicer. 
 (g) The Seller will cause the
Servicer to permit each Trustee and their respective agents at any time to inspect, audit and make copies of and abstracts from the Servicer’s records regarding any Receivables then or previously included in the Owner Trust Estate. 

(h) The Seller will cause the Servicer to furnish to each Trustee at any time upon request a list of all Receivables then
held as part of the Owner Trust Estate, together with a reconciliation of such list to the Schedule of Retail Notes and to each of the Servicer’s Certificates furnished before such request indicating removal of Receivables from the Owner Trust
Estate. Upon request, the Servicer shall furnish a copy of any such list to the Seller. Each Trustee and the Seller shall hold any such list and the Schedule of Retail Notes for examination by interested parties during normal business hours at their
respective offices located at the addresses set forth in Section 5.03. 
 (i) The Seller will deliver
to each Trustee at or prior to the execution and delivery of this Agreement and of each amendment hereto, an Opinion of Counsel either (a) stating that, in the opinion of such counsel, all financing statements and continuation statements have
been executed and filed that are necessary fully to preserve and protect the interest of the Issuer and the Indenture Trustee in the Receivables and reciting the details of such filings or referring to prior Opinions of Counsel in which such details
are given or (b) stating that, in the opinion of such counsel, no such action is necessary to preserve and protect such interest. 

(j) Except for the conveyances hereunder and as contemplated by the Further Transfer and Servicing Agreements, the Seller
shall not sell, pledge, assign or transfer the Receivables or the Related Security to any other Person, or grant, create, incur, assume or suffer to exist any Lien (except any Permitted Lien) on any interest therein, and the Seller shall defend the
right, title and interest of the Trust in, to and under the Receivables and the Related Security against all claims of third parties claiming through or under the Seller. 
  

 - 11 - 

 SECTION 5.03 Notices. All demands, notices and communications upon or to the Seller,
either Trustee or the Rating Agencies under this Agreement shall be delivered as specified in Appendix B hereto. 

SECTION 5.04 Governing Law. All questions concerning the construction, validity and interpretation of this Agreement shall be
governed by and construed and enforced in accordance with the internal laws of the State of Illinois, without giving effect to any choice of law or conflict provision or rule (whether of the State of Illinois or any other jurisdiction) that would
cause the application of the laws of any jurisdiction other than the State of Illinois; provided, however, that (i) the duties and immunities of the Owner Trustee hereunder shall be governed by the Trust Agreement and the laws of
the State of Delaware, and (ii) the rights, obligations and remedies of the Indenture Trustee shall be governed by the laws of the State of New York. 

SECTION 5.05 Severability of Provisions. If any one or more of the covenants, agreements, provisions or terms of this Agreement
shall be for any reason whatsoever held invalid, then such covenants, agreements, provisions or terms shall be deemed severable from the remaining covenants, agreements, provisions or terms of this Agreement and shall in no way affect the validity
or enforceability of the other provisions of this Agreement or of the Securities or the rights of the holders thereof. 

SECTION 5.06 Assignment. Notwithstanding anything to the contrary contained in this Agreement, this Agreement may not be assigned
by the Seller without the prior written consent of Noteholders whose Notes evidence not less than 66% of the Outstanding Amount of the Controlling Class as of the close of the preceding Distribution Date and of Holders of Certificates evidencing not
less than 66% of the ownership interest in the Trust as of the close of the preceding Distribution Date. The Seller shall provide notice of any such assignment to the Rating Agencies. 

SECTION 5.07 Third-Party Beneficiaries. The Seller and the Issuer agree that the Indenture Trustee is an express third-party
beneficiary with respect to this Agreement and, as such, shall have the right to enforce this Agreement and to exercise directly all of the Issuer’s rights and remedies under this Agreement (including, without limitation, the right to give or
withhold any consents or approvals of the Issuer to be given or withheld hereunder). Except as otherwise provided in this Article V, no other Person shall have any right or obligation hereunder. 

SECTION 5.08 Separate Counterparts. This Agreement may be executed by the parties hereto in separate counterparts, each of which
when so executed and delivered shall be an original, but all such counterparts shall together constitute but one and the same instrument. 

SECTION 5.09 Headings and Cross-References. The various headings in this Agreement are included for convenience only and
shall not affect the meaning or interpretation of any provision of this Agreement. 
  

 - 12 - 

 SECTION 5.10 Assignment to Indenture Trustee. The Seller hereby acknowledges and
consents to any mortgage, pledge, assignment and grant of a security interest by the Issuer to the Indenture Trustee pursuant to the Indenture for the benefit of the Financial Parties of all right, title and interest of the Issuer in, to and under
the Owner Trust Estate and/or the assignment of any or all of the Issuer’s rights and obligations hereunder to the Indenture Trustee and the Financial Parties. 

SECTION 5.11 No Petition Covenants; Waiver of Claims. 

(a) Notwithstanding any prior termination of this Agreement, the Seller shall not, prior to the date which is one year and
one day after the final distribution with respect to the Securities from the Note Distribution Account or the Certificate Distribution Account, as applicable, acquiesce, petition or otherwise invoke or cause the Issuer to invoke the process of any
court or government authority for the purpose of commencing or sustaining a case against the Issuer under any federal or state bankruptcy, insolvency or similar law or appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator or
other similar official of the Issuer or any substantial part of its property, or ordering the winding up or liquidation of the affairs of the Issuer. 

(b) Notwithstanding any prior termination of this Agreement, the Issuer shall not, prior to the date which is one year and
one day after the final distribution with respect to the all securities of NFRRC or any of its subsidiaries, as applicable, acquiesce, petition or otherwise invoke, or join any other Person in acquiescing, petitioning or otherwise invoking, the
process of any court or government authority for the purpose of commencing or sustaining a case against NFRRC under any federal or state bankruptcy, insolvency or similar law or appointing a receiver, liquidator, assignee, trustee, custodian,
sequestrator or other similar official of NFRRC or any substantial part of its property, or ordering the winding up or liquidation of the affairs of the Issuer. 

SECTION 5.12 Limitation of Liability of the Trustees. 

(a) Notwithstanding anything contained herein to the contrary, this Agreement has been acknowledged and accepted by
Citibank, N.A., a national banking association, not in its individual capacity but solely as Indenture Trustee and in no event shall Citibank, N.A. have any liability for the representations, warranties, covenants, agreements or other obligations of
the Issuer hereunder or in any of the certificates, notices or agreements delivered pursuant hereto, as to all of which recourse shall be had solely to the assets of the Issuer. 

(b) Notwithstanding anything contained herein to the contrary, this Agreement has been executed by Deutsche Bank Trust
Company Delaware, not in its individual capacity but solely in its capacity as Owner Trustee, and in no event shall Deutsche Bank Trust Company Delaware in its individual capacity or, except as expressly provided in the Trust Agreement, as Owner
Trustee of the Issuer have any liability for the representations, warranties, covenants, agreements or other obligations of the Issuer hereunder or in any of the certificates, notices or agreements delivered pursuant hereto, as to all of which
recourse shall be had solely to 
  

 - 13 - 

 
the assets of the Issuer. For all purposes of this Agreement, in the performance of its duties or obligations hereunder, or in the performance of any duties or obligations of the Issuer
hereunder, the Owner Trustee shall be subject to, and entitled to the benefits of, the terms and provisions of Article VI of the Trust Agreement. 

SECTION 5.13 MUTUAL WAIVER OF JURY TRIAL. BECAUSE DISPUTES ARISING IN CONNECTION WITH COMPLEX TRANSACTIONS ARE MOST QUICKLY AND
ECONOMICALLY RESOLVED BY AN EXPERIENCED AND EXPERT PERSON AND THE PARTIES WISH APPLICABLE STATE AND FEDERAL LAWS TO APPLY (RATHER THAN ARBITRATION RULES), THE PARTIES DESIRE THAT THEIR DISPUTES BE RESOLVED BY A JUDGE APPLYING SUCH APPLICABLE LAWS.
THEREFORE, TO ACHIEVE THE BEST COMBINATION OF THE BENEFITS OF THE JUDICIAL SYSTEM AND OF ARBITRATION, EACH PARTY TO THIS AGREEMENT HEREBY WAIVES ALL RIGHTS TO TRIAL BY JURY IN ANY ACTION, SUIT, OR PROCEEDING BROUGHT TO RESOLVE ANY DISPUTE BETWEEN OR
AMONG ANY OF THE PARTIES HERETO, WHETHER ARISING IN CONTRACT, TORT OR OTHERWISE, ARISING OUT OF, CONNECTED WITH, RELATED OR INCIDENTAL TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY. 

SECTION 5.14 Survival; Termination. This Agreement shall create and constitute the continuing obligations of the parties hereto
and shall remain in full force and effect until terminated in accordance with Section 4.02; provided, however, that this Section 5.14 and the rights and remedies with respect to Section 5.11 and
Section 5.12 shall be continuing and shall survive any termination of this Agreement. 
 SECTION 5.15
Waivers. No failure or delay on the part of the Issuer (or the Indenture Trustee) in exercising any power, right or remedy under this Agreement or the PA Assignment shall operate as a waiver thereof, nor shall any single or partial exercise
of any such power, right or remedy preclude any other or further exercise thereof or the exercise of any other power, right or remedy. 

*        *        *      
  * 
  

 - 14 - 

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

			
	 NAVISTAR FINANCIAL 2010-A

OWNER TRUST

		
	 By:
	 	DEUTSCHE BANK TRUST COMPANY DELAWARE, not in its individual capacity but solely as Owner Trustee on behalf of the Trust
		
	By	 	 /s/ Michele HY Voon

	Name:	 	Michele HY Voon
	Title:	 	Attorney-in-fact
		
	 By:
	 	 /s/ Mark DiGiacomo

	 Name:
	 	Mark DiGiacomo
	 Title:
	 	Attorney-in-fact
	
	NAVISTAR FINANCIAL RETAIL RECEIVABLES CORPORATION, as Seller
		
	 By:
	 	 /s/ William V. McMenamin

	Name:	 	William V. McMenamin
	 Title:
	 	Vice President, Chief Financial Officer and Treasurer

Acknowledged and Accepted: 
 CITIBANK, N.A.,

 not in its individual capacity but solely as 

Indenture Trustee 
  

			
	 By:
	 	 /s/ Jacqueline Suarez

	Name:	 	Jacqueline Suarez
	Title:	 	Vice President

 Acknowledged and Accepted: 
  

			
	NAVISTAR FINANCIAL CORPORATION,
as Servicer
		
	By:	 	 /s/ William V. McMenamin

	Name:	 	William V. McMenamin
	Title:	 	Vice President, Chief Financial Officer
and Treasurer

 EXHIBIT A 

Locations of Schedule of Retail Notes 

[Reserved] 
  

 Ex. A-1 

 EXHIBIT B 

Form of PSA Assignment 

As of                     , 2010, for
value received, in accordance with the Pooling Agreement, dated as of the date hereof (the “Pooling Agreement”), between Navistar Financial Retail Receivables Corporation, a Delaware corporation (the “Seller”) and Navistar
Financial 2010-A Owner Trust (the “Issuer”), the Seller does hereby sell, assign, transfer and otherwise convey unto the Issuer, without recourse (except as provided in Section 2.06 of the Pooling Agreement), all right, title
and interest of the Seller in, to and under (a) the Retail Notes identified on the Schedule of Retail Notes attached hereto having an Aggregate Starting Receivables Balance of
$            .    and the Related Security with respect to those Retail Notes; and (b) the Seller’s rights, but not its obligations, under the Purchase
Agreement and the PA Assignment acquired by the Seller pursuant to Section 2.01 of the Purchase Agreement with respect to the Receivables. 

The foregoing sale does not constitute and is not intended to result in any assumption by the Issuer of any obligation of the undersigned
or NFC to the Obligors, Dealers, insurers or any other Person in connection with the Receivables, the agreements with Dealers, any Insurance Policies or any agreement or instrument relating to any of them. 

This PSA Assignment is made pursuant to and upon the representations, warranties and agreements on the part of the undersigned contained
in the Pooling Agreement and is to be governed by the Pooling Agreement. 
 Capitalized terms used herein and not otherwise
defined shall have the meaning assigned to them in the Pooling Agreement. 

*        *        *      
  * 
  

 Ex. B-1 

 IN WITNESS WHEREOF, the undersigned has caused this PSA Assignment to be duly executed as of
the date and year first above written. 
  

			
	 NAVISTAR FINANCIAL RETAIL

RECEIVABLES CORPORATION

		
	 By:
	 	  

	 Name:
	 	
	 Title:
	 	

  

 Ex. B-2 

 APPENDIX A 

PART I - DEFINITIONS 
 All
terms used in this Appendix shall have the defined meanings set forth in this Part I when used in the Basic Documents, unless otherwise defined therein. 

Accountants’ Report: As defined in Section 3.02 of the Servicing Agreement. 

Accounting Date: With respect to a Distribution Date, the last day of the related Monthly Period, or, with respect to any initial
Distribution Date that occurs in the same calendar month as the Closing Date, the close of business on the Closing Date. 

Act: An Act as specified in Section 11.3(a) of the Indenture. 

Actual Payment: With respect to a Distribution Date and any Receivable, all payments received by the Servicer from or for the
account of the Obligor during the related Monthly Period (and, in the case of the first Distribution Date occurring after the date such Receivable is transferred to the Trust, all payments received by the Servicer from or for the account of the
Obligor on or after the Cutoff Date) except for any Overdue Payments or Supplemental Servicing Fees. 
 Administration
Agreement: That certain Administration Agreement, dated as of the Closing Date among NFC, as Administrator, the Trust and the Indenture Trustee, as amended, modified and supplemented from time to time. 

Administrative Purchase Payment: With respect to a Distribution Date and to an Administrative Receivable purchased as of the
related Accounting Date, a release of all claims for reimbursement of Monthly Advances made on such Administrative Receivable plus a payment equal to the sum of (a) the sum of (i) the Scheduled Payments on such
Administrative Receivable due after the Accounting Date, plus (ii) the amount equal to any reimbursements made pursuant to the last sentence of Section 2.14 of the Servicing Agreement with respect to such Administrative
Receivable, plus (iii) all past due Scheduled Payments with respect to which a Monthly Advance has not been made, minus (b) the Rebate, minus (c) any Liquidation Proceeds with respect to such Administrative
Receivable to the extent applied on or prior to the Accounting Date that are not reflected in items (i) through (iii) of this definition. 

Administrative Receivable: As defined in Section 2.08 of the Servicing Agreement. 

Administrator: NFC or any successor Administrator under the Administration Agreement. 

Affiliate: With respect to any specified Person, any other Person controlling, controlled by or under common control with such
specified Person. For the purposes of this definition, “control” when used with respect to any specified Person means the power to direct the management and policies of such Person, directly or indirectly, whether through the ownership of
voting securities, by contract or otherwise, and the terms “controlling” and “controlled” have meanings correlative to the foregoing. 

 Agency Office: The office of the Issuer maintained pursuant to
Section 3.2 of the Indenture. 
 Aggregate Class A Noteholders’ Interest Distributable Amount: With
respect to any Distribution Date, the sum of (a) the Class A Noteholders’ Interest Distributable Amounts for all classes of Class A Notes, plus (b) the Class A Noteholders’ Interest Carryover
Shortfall as of the preceding Distribution Date. 
 Aggregate Losses: With respect to any calendar month an amount equal
to, the sum of (a) the aggregate of the Receivable Balances of all Receivables in or allocated to the Trust newly designated during such calendar month as Liquidating Receivables, plus (b) the aggregate principal portion
of Scheduled Payments due but not received with respect to all such Receivables prior to the date any such Receivable was designated a Liquidating Receivable, minus (c) Liquidation Proceeds collected during such calendar month with
respect to all Liquidating Receivables. 
 Aggregate Note Principal Balance: With respect to the close of a Distribution
Date, the sum of the Note Principal Balances for all classes of Notes. 
 Aggregate Receivables Balance: As of any date,
the sum of the Receivables Balances of all outstanding Receivables (other than Liquidating Receivables) held by the Trust on such date. 

Aggregate Starting Receivables Balance: As of any date of determination, the aggregate Starting Receivable Balances of all the
Receivables transferred to the Trust as of the Cutoff Date, which is $940,330,446.21. 
 Annual Percentage Rate or
APR: The annual percentage rate specified in the Contract related to such Retail Note. 
 Applicable Trustee: So
long as the Aggregate Note Principal Balance is greater than zero and the Indenture has not been discharged in accordance with its terms, the Indenture Trustee, and thereafter, the Owner Trustee. 

Assignment: Any PA Assignment or PSA Assignment. 

Authenticating Agent: Citibank N.A., a national banking association or any successor appointed by the Owner Trustee pursuant to
the Trust Agreement. 
 Authorized Officer: With respect to the Issuer, any officer or attorney in fact of the Owner
Trustee who is authorized to act for the Owner Trustee in matters relating to the Issuer and who is identified on the list of Authorized Officers delivered by the Owner Trustee to the Indenture Trustee on the Closing Date (as such list may be
modified or supplemented from time to time thereafter) and, so long as the Administration Agreement is in effect, any Vice President or more senior officer of the Administrator who is authorized to act for the Administrator in matters relating to
the Issuer and to be acted upon by the Administrator pursuant to the Administration Agreement and who is identified on the list of Authorized Officers delivered by the Administrator to the Indenture Trustee on the Closing Date (as such list may be
modified or supplemented from time to time thereafter) and with respect to any other Person, a Vice 
  

 App. A-2 

 
President or more senior officer of such Person who is authorized to act for such Person with respect to such matters. 

Available Amount: With respect to any Distribution Date, the sum of the following amounts with respect to the related
Monthly Period: (a) all Collections received by the Servicer during such Monthly Period, plus (b) all Monthly Advances made by the Servicer pursuant to Section 2.14 of the Servicing Agreement, plus (c) all
Warranty Payments and Administrative Purchase Payments or the amounts received with respect to the Receivables repurchased by the Seller pursuant to Section 4.03 of the Pooling Agreement or purchase by the Servicer pursuant to
Section 4.01 of the Pooling Agreement, minus (d) an amount equal to the aggregate of the amounts representing reimbursement for Outstanding Monthly Advances and Liquidation Expenses pursuant to Section 8.2(b)(i)
of the Indenture. 
 Backup Servicer: Initially, Portfolio Financial Servicing Corporation, and its successors and
assigns, and thereafter any Person, if any, appointed as the Backup Servicer. 
 Backup Servicing Agreement: The Backup
Servicing Agreement, dated as of the Closing Date, between the Servicer and the Backup Servicer, as amended, modified and supplemented from time to time. 

Backup Servicing Expenses: For any Distribution Date, the reasonable out-of-pocket accrued and unpaid costs, expenses,
disbursements and other charges incurred by the Backup Servicer during the related Monthly Period in connection with the performance of its backup servicing duties and obligations under the Backup Servicing Agreement and any damages or other amounts
for which the Backup Servicer is entitled to indemnification pursuant to the Backup Servicing Agreement, each as expressly provided therein and to the extent not paid by the Servicer. 

Backup Servicing Fee: An amount equal to $1,500 with respect to each month, payable to the Backup Servicer as described in the
Indenture. 
 Basic Documents: The Trust Agreement, the Certificate of Trust, the Purchase Agreement, the PA Assignment,
the Pooling Agreement, the PSA Assignment, the Administration Agreement, the Note Depository Agreement, the Indenture (including any supplements thereto), the Servicing Agreement, the Backup Servicing Agreement, the Schedule of Retail Notes, the
Note Purchase Agreement and the other documents and certificates (including the appointment of the Paying Agent, Authentication Agent and Certificate Registrar) delivered in connection with each of the foregoing from time to time. 

Basic Servicing Fee: As defined in Section 2.09 of the Servicing Agreement. 

Basic Servicing Fee Rate: As defined in Section 2.09 of the Servicing Agreement. 

Benefit Plan: Any one of (a) an employee benefit plan within the meaning of Section 3(3) of ERISA that is subject to
Title I of ERISA, (b) a plan subject to Section 4975 of the Code, or (c) any entity the underlying assets of which constitute “plan assets” as determined under regulations issued by the U.S. Department of Labor
(including U.S. Department of Labor regulation 2510.3-101, as modified by Section 3(42) of ERISA. 
  

 App. A-3 

 Book-Entry Note: Notes in which ownership and transfers shall be made through book
entries by a Clearing Agency as described in Section 2.10 of the Indenture. 
 Business Day: Any day other
than a Saturday, a Sunday or any other day on which banking institutions in New York, New York or Chicago, Illinois are authorized or required by law to close. 

Certificate: Any one of the certificates executed by the Issuer and authenticated by or on behalf of the Owner Trustee in
substantially the form set forth in Exhibit A to the Trust Agreement. 
 Certificate Distribution Account:
The account designated as such, established and maintained pursuant to Section 5.1(a) of the Trust Agreement. 

Certificate of Title: With respect to a Financed Vehicle, the certificate of title or other evidence of ownership of such Financed
Vehicle issued by a registrar of titles in the jurisdiction in which such Financed Vehicle is registered. 
 Certificate of
Trust: The certificate of trust of the Issuer substantially in the form of Exhibit B to the Trust Agreement filed for the Trust pursuant to Section 3810(a) of the Statutory Trust Statute. 

Certificate Register: The register of Certificates specified in Section 3.4 of the Trust Agreement. 

Certificate Registrar: The registrar at any time of the Certificate Register, appointed pursuant to Section 3.4(a) of
the Trust Agreement. 
 Certificated Security: Shall have, as of any date, the meaning given to such term under the
applicable UCC in effect on such date. 
 Certificateholder: A Person in whose name a Certificate is registered pursuant
to the terms of the Trust Agreement. 
 Class A Noteholders’ Interest Carryover Shortfall: As of the close of
any Distribution Date, the excess of the Aggregate Class A Noteholders’ Interest Distributable Amount for such Distribution Date over the amount that was actually paid in respect of the Aggregate Class A Noteholders’ Interest
Distributable Amount on such Distribution Date. 
 Class A Noteholders’ Interest Distributable Amount:
(a) With respect to the Class A-1 Notes and any Distribution Date, the product of (i) the outstanding principal balance of the Class A-1 Notes on the preceding Distribution Date, after giving effect to all payments of
principal in respect of the Class A-1 Notes on such preceding Distribution Date (or, in the case of the first Distribution Date, the outstanding principal balance of the Class A-1 Notes on the Closing Date), multiplied by
(ii) the product of (A) the Interest Rate for the Class A-1 Notes on such Distribution Date, multiplied by (B) a fraction, the numerator of which is the actual number of days elapsed from the most recent
Distribution Date on which interest has been paid (or, in the case of the first Distribution Date, since the Closing Date) to but excluding the current 

 

 App. A-4 

 
Distribution Date, and the denominator of which is 360; and (b) with respect to the Class A-2 Notes and the Class A-3 Notes and any Distribution Date, the product of
(i) the outstanding principal balance of such class of Class A Notes on the preceding Distribution Date, after giving effect to all payments of principal in respect of such class of Class A Notes on such preceding Distribution Date
(or, in the case of the first Distribution Date, the outstanding principal balance of the applicable class of Notes on the Closing Date), multiplied by (ii) the product of (A) the Interest Rate for such class of Notes,
multiplied by (B) a fraction, the numerator of which is 30 (or, in the case of the first Distribution Date, 21 to but excluding the current Distribution Date), and the denominator of which is 360. 

Class A Notes: Collectively, the Class A-1 Notes, the Class A-2 Notes and the Class A-3 Notes. 

Class A-1 Notes: The Class A-1 0.60828% Asset Backed Notes in the aggregate principal amount of $326,000,000 issued
pursuant to the Indenture. 
 Class A-2 Notes: The Class A-2 1.47% Asset Backed Notes in the aggregate
principal amount of $262,000,000 issued pursuant to the Indenture. 
 Class A-3 Notes: The Class A-3 1.99%
Asset Backed Notes in the aggregate principal amount of $217,900,000 issued pursuant to the Indenture. 
 Class B
Noteholders’ Interest Carryover Shortfall: As of the close of any Distribution Date, the excess of (a) the Class B Noteholders’ Interest Distributable Amount for such Distribution Date, over (b) the amount
that was actually paid in respect of the Class B Noteholders’ Interest Distributable Amount on such Distribution Date. 

Class B Noteholders’ Interest Distributable Amount: With respect to any Distribution Date, the sum of
(a) the Class B Noteholders’ Monthly Interest Distributable Amount for such Distribution Date, plus (b) the Class B Noteholders’ Interest Carryover Shortfall as of the preceding Distribution Date. 

Class B Noteholders’ Monthly Interest Distributable Amount: With respect to any Distribution Date, the product of
(a) the outstanding principal balance of the Class B Notes on the preceding Distribution Date after giving effect to all payments of principal in respect of the Class B Notes on such preceding Distribution Date (or, in the case of the
first Distribution Date, the outstanding principal balance on the Closing Date), multiplied by (b) the product of (i) the Interest Rate for the Class B Notes, multiplied by (ii) a fraction, the numerator of
which is 30 (or, in the case of the first Distribution Date, 21 to but excluding the current Distribution Date), and the denominator of which is 360. 

Class B Notes: The Class B 4.17% Asset Backed Notes in the aggregate principal amount of $75,200,000 issued pursuant to the
Indenture. 
 Class C Noteholders’ Interest Carryover Shortfall: As of the close of any Distribution Date, the
excess of (a) the Class C Noteholders’ Interest Distributable Amount for such Distribution Date, over (b) the amount that was actually paid in respect of the Class C Noteholders’ Interest Distributable
Amount on such Distribution Date. 
  

 App. A-5 

 Class C Noteholders’ Interest Distributable Amount: With respect to any
Distribution Date, the sum of (a) the Class C Noteholders’ Monthly Interest Distributable Amount for such Distribution Date, plus (b) the Class C Noteholders’ Interest Carryover Shortfall as of the
preceding Distribution Date. 
 Class C Noteholders’ Monthly Interest Distributable Amount: With respect to any
Distribution Date, the product of (a) the outstanding principal balance of the Class C Notes on the preceding Distribution Date after giving effect to all payments of principal in respect of the Class C Notes on such preceding
Distribution Date (or, in the case of the first Distribution Date, the outstanding principal balance on the Closing Date) multiplied by (b) the product of (i) the Interest Rate for the Class C Notes, multiplied by
(ii) a fraction, the numerator of which is 30 (or, in the case of the first Distribution Date, 21 to but excluding the current Distribution Date), and the denominator of which is 360. 

Class C Notes: The Class C 6.16% Asset Backed Notes in the aggregate principal amount of $38,100,000 issued pursuant to
the Indenture. 
 Clearing Agency: An organization registered as a “clearing agency” pursuant to
Section 17A of the Exchange Act. The Clearing Agency shall at all times be a “clearing corporation” as defined in Section 8-102(3) of the New York UCC. 

Clearing Agency Participant: A securities broker, dealer, bank, trust company, clearing corporation or other financial institution
or other Person for whom from time to time a Clearing Agency effects book entry transfers and pledges of securities deposited with the Clearing Agency. 

Closing: As defined in Section 2.03 of the Purchase Agreement. 

Closing Date: May 27, 2010. 

Code: The Internal Revenue Code of 1986, as amended, and Treasury Regulations promulgated thereunder. 

Code Collateral: Any property a security interest in which may be perfected by filing under the applicable UCC. 

Collateral: As defined in the granting clause of the Indenture. 

Collection Account: The account designated as such, established and maintained pursuant to Section 2.02(a)(i) of the
Servicing Agreement. 
 Collections: All amounts received from Obligors or otherwise in respect of Receivables during the
related Monthly Period, whether constituting principal or interest, prepayments, proceeds of sales of Financed Vehicles, Insurance Proceeds, Liquidation Proceeds, proceeds from the sale or other disposition of collateral deposited in the Collection
Account in accordance with the Indenture or otherwise, except for Supplemental Servicing Fees received on the Receivables and the Related Security. 
  

 App. A-6 

 Contract: With respect to a Retail Note, the related contract(s) or other
agreement(s) with the related Obligor which set forth the terms of such Retail Note. 
 Contractual Obligation: As to any
Person, any provision of any security issued by such Person or any agreement, instrument or other undertaking to which such Person is a party or by which it or any of its property is bound. 

Controlling Class: (a) So long as any Class A Notes are outstanding, the Class A Notes, (b) if the
Class A Notes are no longer outstanding but the Class B Notes are outstanding, the Class B Notes, (c) if the Class A Notes and the Class B Notes are no longer outstanding but the Class C Notes are outstanding, the
Class C Notes, and (d) if the Notes are no longer outstanding, the Certificates. 
 Corporate Trust Office:
With respect to the Indenture Trustee or the Owner Trustee, the principal office at which at any particular time the corporate trust business of that Person shall be administered, which office at the Closing Date is located (a) at (i) for
note transfer/surrender purposes, Citibank, N.A., 111 Wall Street, 15th Floor, New York, NY 10005, Attention: 15th Floor Window / Navistar Financial Owner Trust 2010-A and (ii) for all other purposes, Citibank, N.A., 388 Greenwich Street, 14th
Floor, New York, NY 10013, Attention: Agency and Trust - Navistar Financial Owner Trust 2010-A, with respect to the Indenture Trustee and (b) at Deutsche Bank Trust Company Delaware, 1011 Centre Road, Suite 200, Wilmington, Delaware 19805,
Attention: Corporate Services Division - Trust & Securities Services with respect to the Owner Trustee. 

Custodian: NFC, as Servicer, or another custodian named from time to time in the Servicing Agreement. 

Cutoff Date: May 1, 2010. 

DBRS: DBRS, Inc., or its successor. 

Dealer: (a) A Person with whom Navistar has a valid dealer sales/maintenance agreement to sell Navistar Vehicles, (b) a
Person with whom NFC has an agreement to extend new or used truck, truck chassis, bus or trailer floor plan financing terms, or (c) a truck, bus, or trailer equipment manufacturer with whom Navistar has a valid agreement to sell Navistar
Vehicles. 
 Dealer Liability: With respect to any Receivable, all rights, claims and actions of Navistar Financial
against the Dealer which sold the Financed Vehicle(s) which gave rise to such Receivable and any successor Dealer for recourse or reimbursement of any losses, costs or expenses arising as a result of a default by the Obligor on such Receivable.

 Default: Any occurrence that is, or with notice or the lapse of time or both would become, an Event of Default.

 Definitive Notes: The Notes specified in Section 2.12 of the Indenture. 

Delinquency Percentage: With respect to a Monthly Period, an amount equal to the aggregate Remaining Gross Balance of all
outstanding Receivables which are 61 days or more 
  

 App. A-7 

 
past due as of the last day of such calendar month, as determined in accordance with the Servicer’s normal practices, expressed as a percentage of the aggregate Remaining Gross Balance of
all outstanding Receivables on the last day of such Monthly Period. 
 Designated Account Property: The Designated
Accounts, all amounts and investments held from time to time in any Designated Account (whether in the form of deposit accounts, Physical Property, book-entry securities, uncertificated securities or otherwise), including the Reserve Account Initial
Deposit, and all proceeds of the foregoing. 
 Designated Accounts: Collectively, the Collection Account, the Reserve
Account and the Note Distribution Account. 
 Designated Receivables: As defined in Section 2.01 of the
Purchase Agreement. 
 Determination Date: The day that is two Business Days prior to the Distribution Date. 

Distribution Date: With respect to a Monthly Period, the 18th day of the next succeeding calendar month or, if such 18th day is
not a Business Day, the next succeeding Business Day, commencing June 18, 2010. 
 Dollars or $: Lawful currency of
the United States of America. 
 Eligible Deposit Account: Either (a) a segregated account with an Eligible
Institution or (b) a segregated trust account with the corporate trust department of a depository institution organized under the laws of the United States of America or any one of the states thereof or the District of Columbia (or any domestic
branch of a foreign bank), having corporate trust powers and acting as trustee for funds deposited in such account so long as any of the securities of such depository institution have a credit rating from each Rating Agency in one of its generic
rating categories which signifies investment grade for long-term unsecured debt. 
 Eligible Institution: A depository
institution organized under the laws of the United States of America or any state thereof or the District of Columbia (or any domestic branch of a foreign bank), (a) which has either (i) a long-term unsecured debt rating of at least
“A” from DBRS and “A2” from Moody’s or such other ratings as the Rating Agencies may approve or (ii) a short-term unsecured debt or certificate of deposit rating of at least “R-1” from DBRS and “P-1”
from Moody’s or such other ratings as the Rating Agencies may approve, (b) whose deposits are insured by the FDIC, and (c) having a combined capital and surplus of at least $50,000,000 as set forth in its most recent published annual
report of condition. 
 Eligible Investments: Book-entry securities, negotiable instruments or securities represented by
instruments in bearer or registered form which evidence: 
  

	 	(i)	direct obligations of, and obligations fully guaranteed as to timely payment of principal and interest by, the United States of America; 

 

	 	(ii)	 demand deposits, time deposits or certificates of deposit of any depository institution or trust company incorporated under the laws of the United
States of America or any state thereof (or any domestic branch of a foreign bank) and 

  

 App. A-8 

	 	
subject to supervision and examination by Federal or State banking or depository institution authorities; provided, however, that at the time of the investment or contractual
commitment to invest therein, the commercial paper or other short-term unsecured debt obligations (other than such obligations the rating of which is based on the credit of a Person other than such depository institution or trust company) thereof
shall have a credit rating from each of the Rating Agencies in the highest investment category for short-term unsecured debt obligations or certificates of deposit granted thereby; 

 

	 	(iii)	commercial paper having, at the time of the investment or contractual commitment to invest therein, a rating from each of the Rating Agencies in the highest investment
category for short-term unsecured debt obligations or certificates of deposit granted thereby; 

  

	 	(iv)	investments in money market or common trust funds having a rating from each of the Rating Agencies in the highest investment category for short-term unsecured debt
obligations or certificates of deposit granted thereby (including funds for which the Indenture Trustee or the Owner Trustee or any of their respective affiliates is investment manager or advisor, so long as such fund shall have such rating);

  

	 	(v)	bankers’ acceptances issued by any depository institution or trust company referred to in clause (ii) of this definition above;

  

	 	(vi)	repurchase obligations with respect to any security that is a direct obligation of, or fully guaranteed by, the United States of America or any agency or
instrumentality thereof the obligations of which are backed by the full faith and credit of the United States of America, in either case entered into with (A) a depository institution or trust company (acting as principal) described in
clause (ii) of this definition or (B) a depository institution or trust company the deposits of which are insured by FDIC or the counterparty for which has a rating from each of the Rating Agencies in the highest investment category
for short-term unsecured debt obligations, the collateral for which is held by a custodial bank for the benefit of the Issuer or the Indenture Trustee, is marked to market daily and is maintained in an amount that exceeds the amount of such
repurchase obligation, and which requires liquidation of the collateral immediately upon the amount of such collateral being less than the amount of such repurchase obligation (unless the counterparty immediately satisfies the repurchase obligation
upon being notified of such shortfall); 

  

	 	(vii)	commercial paper master notes having, at the time of the investment or contractual commitment to invest therein, a rating from each of the Rating Agencies in the
highest investment category for short-term unsecured debt obligations; and 

  

	 	(viii)	any other investment permitted by each of the Rating Agencies. 

  

 App. A-9 

 in each case, other than as permitted by the Rating Agencies or unless payable on demand, maturing not later
than the Business Day immediately preceding the next Distribution Date. 
 Eligible Restructured Receivable: Any
Receivable which (a) was amended or restructured for credit reasons at least 12 months prior to the Cutoff Date, (b) is not owed by an Obligor that is the subject of a bankruptcy or insolvency proceeding, and (c) since its amendment
or restructuring, has not been greater than 60 days past due (measured from the date of any Scheduled Payment). 
 Equal
Payment Fully Amortizing Receivable: As defined in Section 3.01(a)(i) of the Purchase Agreement. 

ERISA: The Employee Retirement Income Security Act of 1974, as amended. 

Event of Default: An event described in Section 5.1 of the Indenture. 

Exchange Act: The United States Securities Exchange Act of 1934, as amended. 

Executive Officer: With respect to any corporation, the Chief Executive Officer, Chief Operating Officer, Chief Financial Officer,
President, Executive Vice President, any Vice President, the Secretary, the Treasurer, Assistant Secretary or Assistant Treasurer of such corporation; and with respect to any partnership, any general partner thereof. 

Expenses: The expenses described in Section 6.9 of the Trust Agreement. 

FDIC: The Federal Deposit Insurance Corporation or any successor entity thereto. 

Final Scheduled Distribution Date: With respect to a class of Notes, the date set forth below opposite such class of Notes:

  

			
	Class A-1 Notes:	  	June 20, 2011
	Class A-2 Notes:	  	October 18, 2012
	Class A-3 Notes:	  	January 21, 2014
	Class B Notes:	  	October 20, 2014
	Class C Notes:	  	May 18, 2018

 Financed
Vehicle: A new or used medium or heavy duty truck, truck chassis, bus or trailer, together with any accessions thereto which were financed with the proceeds of the related Receivable securing an Obligor’s indebtedness under a Receivable. A
Receivable may be secured by one or more Financed Vehicles. 
 Financial Asset: The meaning given such term in Revised
Article 8. As used herein, the Financial Asset “related to” a Security Entitlement is the Financial Asset in which the entitlement holder (as defined in Revised Article 8) holding such Security Entitlement has the rights and
property interest specified in Revised Article 8. 
 Financial Parties: The Noteholders and the Certificateholders.

  

 App. A-10 

 Full Prepayment: With respect to a Distribution Date, that portion of an Actual
Payment (other than a Scheduled Payment), which with respect to (a) any Receivable, is sufficient to prepay such Receivable in full (after application of the Scheduled Payment) or (ii) a Receivable secured by multiple Financed Vehicles,
equals the unpaid principal amount of the Retail Note relating to any Financed Vehicle, as determined by the Servicer in accordance with its customary servicing procedures. 

Further Transfer and Servicing Agreements: The Pooling Agreement, including the PSA Assignment, the Servicing Agreement, the
Backup Servicing Agreement, the Trust Agreement and the Indenture. 
 GAAP: Generally accepted accounting principles in
the United States of America in effect from time to time. 
 Governmental Authority: Any nation or government, any state,
province or other political subdivision thereof and any entity exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government. 

Grant: To mortgage, pledge, bargain, sell, warrant, alienate, remise, release, convey, assign, transfer, create, and grant a lien
upon and a security interest in and right of set-off against, deposit, set over and confirm pursuant to the Indenture. A Grant of the Collateral or of any other agreement or instrument shall include all rights, powers and options (but none of the
obligations) of the Granting party thereunder, including the immediate and continuing right to claim for, collect, receive and give receipt for lease payments and principal and interest payments in respect of, the Collateral and all other moneys
payable thereunder, to give and receive notices and other communications, to make waivers or other agreements, to exercise all rights and options, to bring Proceedings in the name of the Granting party or otherwise and generally to do and receive
anything that the Granting party is or may be entitled to do or receive thereunder or with respect thereto. 
 Gross
Balance: As of any date of determination, with respect to a Receivable, the unpaid principal balance of such Retail Note as of such date plus, with respect to a Retail Note classified as a “finance charge-included contract”, the
finance charges included in the payments due with respect to such Retail Note on or after such date. 
 Guaranty: With
respect to any Receivable, a personal or commercial guaranty of an Obligor’s performance with respect to such Receivable. 

Holder: (a) With respect to the Notes, the Person in whose name a Note is registered on the Note Register and (b) with
respect to the Certificates, the Person in whose name a Certificate is registered on the Certificate Register. 

Indenture: The Indenture, between the Issuer and the Indenture Trustee, dated as of the Closing Date, as the same may from time to
time be amended, modified or otherwise supplemented. 
  

 App. A-11 

 Indenture Trustee: Citibank, N.A., a national banking association, not in its
individual capacity but solely as trustee under the Indenture, or any successor indenture trustee under the Indenture. 

Independent: When used with respect to any specified Person, that the Person (a) is in fact independent of the Issuer, any
other obligor upon the Notes, the Seller and any Affiliate of any of the foregoing Persons, (a) does not have any direct financial interest or any material indirect financial interest in the Issuer, any such other obligor, the Seller or any
Affiliate of any of the foregoing Persons, and (c) is not connected with the Issuer, any such other obligor, the Seller or any Affiliate of any of the foregoing Persons as an officer, employee, promoter, underwriter, trustee, partner, director
or person performing similar functions. 
 Independent Certificate: A certificate or opinion to be delivered to the
Indenture Trustee under the circumstances described in, and otherwise complying with, the applicable requirements of Section 11.1 of the Indenture, made by an Independent appraiser or other expert appointed by an Issuer Order and
approved by the Indenture Trustee in the exercise of reasonable care, and such opinion or certificate shall state that the signer has read the definition of “Independent” and that the signer is Independent within the meaning thereof.

 Indirect Participant: A securities broker, dealer, bank, trust company or other Person that clears through or
maintains a custodial relationship with a Clearing Agency Participant, either directly or indirectly. 
 Initial Aggregate
Starting Receivables Balance $940,330,446.21. 
 Initial Purchasers: Collectively, the Persons named in Schedule 1
to the Note Purchase Agreement. 
 Insolvency Event: With respect to a specified Person, (a) the entry of a
decree or order for relief by a court, agency or supervisory authority having jurisdiction in the premises or the entry of a decree or order by such court, agency or supervisory authority for the appointment of a conservator, receiver or liquidator
for such Person, in any insolvency, readjustment of debt, marshaling of assets and liabilities or similar proceedings, or for the winding-up or liquidation of such Person’s affairs, and the continuance of any such decree or order unstayed and
in effect for a period of 60 consecutive days, (b) the consent by such Person to the appointment of a conservator, receiver or liquidator in any insolvency, readjustment of debt, marshaling of assets and liabilities or similar proceedings of or
relating to such Person or of or relating to substantially all of such Person’s property, or (c) such Person shall admit in writing its inability to pay its debts generally as they become due, file a petition to take advantage of any
applicable insolvency or reorganization statute, make an assignment for the benefit of its creditors or voluntarily suspend payment of its obligations. 

Insolvency Laws: The United States Bankruptcy Code or similar applicable state laws. 

Insurance Policy: With respect to any Receivable, an insurance policy covering physical damage, credit life, credit disability,
theft, mechanical breakdown or similar event to each Financed Vehicle securing such Receivable. 
  

 App. A-12 

 Insurance Proceeds: With respect to any Receivable, the proceeds of any Insurance
Policy with respect to such Receivable. 
 Interest Rate: With respect to the Class A-1 Notes, 0.60828% per
annum, with respect to the Class A-2 Notes, 1.47% per annum, with respect to the Class A-3 Notes, 1.99% per annum, with respect to the Class B Notes, 4.17% per annum, and with respect to the Class C Notes,
6.16% per annum. 
 Interested Parties: The Issuer and each other party identified or described in the Purchase
Agreement or the Further Transfer and Servicing Agreements as having an interest as owner, trustee, secured party or Financial Party with respect to the Purchased Property. 

Investment Company Act: The Investment Company Act of 1940, as amended. 

Investment Earnings: Investment earnings on funds deposited in the Designated Accounts, net of losses and investment expenses,
during the applicable Monthly Period. 
 Issuer: The party named as such in the Pooling Agreement and the Indenture until
a successor replaces it and, thereafter, means the successor and, for all purposes of any provision contained therein, each other obligor on the Notes. 

Issuer Documents: The Pooling Agreement, the Servicing Agreement, the Trust Agreement, the Note Depository Agreement and the
Indenture. 
 Issuer Order or Issuer Request: A written order or request signed in the name of the Issuer by any
one of its Authorized Officers and delivered to the Indenture Trustee. 
 Lien: Any security interest, lien, charge,
pledge, equity or encumbrance of any kind. 
 Liquidating Receivable: A Receivable (a) as to which the Servicer
(i) has reasonably determined, in accordance with its customary servicing procedures, that eventual payment of amounts owing on such Receivable is unlikely, or (ii) has repossessed the Financed Vehicle or all Financed Vehicles securing the
Receivable or (b) as to which any related Scheduled Payment is at least 210 days overdue. 
 Liquidation Expenses:
With respect to a Liquidating Receivable, an amount not to exceed $750 (or such greater amount as the Servicer determines necessary in accordance with its customary procedures to refurbish and dispose of a repossessed Financed Vehicle) as an
allowance for amounts charged to the account of the Obligor, in keeping with the Servicer’s customary procedures, for repossession, refurbishment and disposition of the Financed Vehicle including out-of-pocket costs related to the liquidation.

 Liquidation Proceeds: With respect to a Liquidating Receivable, all amounts realized with respect to such Receivable,
including the benefits of any Insurance Proceeds, proceeds from any Dealer Liability, proceeds from any Navistar Purchase Obligations and proceeds from any Guaranties, net of amounts that are required to be refunded to the Obligor on such
Receivable. 
  

 App. A-13 

 Material Adverse Effect: With respect to a Person, a material adverse effect on
(a) the ability of such Person to perform its obligations under any of the Basic Documents or (b) the validity or enforceability of any of the Basic Documents or the rights or remedies of any other Person thereunder. 

Monthly Advance: As defined in Section 2.14 of the Servicing Agreement. 

Monthly Period: With respect to a Determination Date and a Record Date, the calendar month preceding the month in which such date
occurs. With respect to an Accounting Date, the calendar month in which such Accounting Date occurs. With respect to a Distribution Date, the calendar month preceding the month in which such Distribution Date occurs except that the Monthly Period
relating to the first Distribution Date shall be the period from the Cutoff Date to the last day of the calendar month immediately preceding the first Distribution Date. 

Monthly Remittance Conditions: As defined in Section 2.12 of the Servicing Agreement. 

Moody’s: Moody’s Investors Service Inc. or its successor. 

Navistar: Navistar, Inc., a Delaware corporation (formerly known as International Truck and Engine Corporation), and its
successors and assigns. 
 Navistar Financial or NFC: Navistar Financial Corporation, a Delaware corporation, and its
successors and assigns. 
 Navistar Purchase Obligations: Certain obligations of Navistar, subject to limitations, to
purchase Financed Vehicles securing Liquidating Receivables pursuant to Article VI and other provisions of the Amended and Restated Master Intercompany Agreement by and between Navistar Financial and Navistar, dated as of April 1,
2007, as such Amended and Restated Master Intercompany Agreement may be amended, supplemented, restated or otherwise modified. 

Navistar Vehicle: Any truck, truck chassis, bus or trailer produced by or for Navistar or its Subsidiaries or sold by Navistar or
its Subsidiaries to Dealers, including any body parts or accessions attached thereto. 
 New York UCC: The UCC as in
effect in the State of New York. 
 NFRRC: Navistar Financial Retail Receivables Corporation, a Delaware corporation, and
its successors and assigns. 
 NIC: Navistar International Corporation, a Delaware corporation, and its successors and
assigns. 
 Note Depository: The depositary from time to time selected by the Indenture Trustee on behalf of the Issuer
in whose name the Notes are registered prior to the issue of Definitive Notes. The first Note Depository shall be Cede & Co., the nominee of the initial Clearing Agency. 

 

 App. A-14 

 Note Depository Agreement: The agreement, dated as of the Closing Date, between the
Issuer and The Depository Trust Company, as the initial Clearing Agency relating to the Notes, as the same may be amended and supplemented from time to time. 

Note Distribution Account: The account designated as such, established and maintained pursuant to Section 2.02(a)(ii)
of the Servicing Agreement. 
 Note Owner: With respect to a Book-Entry Note, the Person who is the beneficial owner of
such Book-Entry Note, as reflected on the books of the Clearing Agency, or on the books of a Person maintaining an account with such Clearing Agency (directly as a Clearing Agency Participant or as an Indirect Participant, in each case in accordance
with the rules of such Clearing Agency). 
 Note Pool Factor: With respect to any class of Notes and any Distribution
Date, a seven-digit decimal figure which the Servicer will compute prior to each Distribution Date with respect to such Notes and which is equal to the Note Principal Balance for such class as of the close of such Distribution Date divided by the
initial Note Principal Balance for such class. 
 Note Principal Balance: With respect to any class of Notes and any
Distribution Date, the initial aggregate principal balance of such class of Notes, reduced by all previous payments to the Noteholders of such class in respect of principal of such Notes. 

Note Purchase Agreement: The Note Purchase Agreement, dated May 21, 2010, among the Initial Purchasers, the Servicer and the
Seller with respect to the sale of the Notes. 
 Note Register: With respect to any class of Notes, the register of such
Notes maintained pursuant to Section 2.4(a) of the Indenture. 
 Note Registrar: The registrar at any time of
the Note Register, appointed pursuant to Section 2.4 of the Indenture. 
 Noteholders’ Interest
Distributable Amount: With respect to any Distribution Date, the sum of the Aggregate Class A Noteholders’ Interest Distributable Amount, the Class B Noteholders’ Interest Distributable Amount and the Class C
Noteholders’ Interest Distributable Amount. 
 Noteholders: Holders of record of the Notes pursuant to the Indenture
and, with respect to any class of Notes, holders of record of such class of Notes pursuant to the Indenture. 
 Notes:
Collectively, the Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes, the Class B Notes and the Class C Notes. 

Notice of Default: As defined in Section 5.1(d) of the Indenture. 

Obligor: With respect to any Receivable, the purchaser or any co-purchaser of the related Financed Vehicle or Financed Vehicles or
any other Person, other than the maker of a Guaranty, who owes payments under such Receivable. 
  

 App. A-15 

 Officer’s Certificate: A certificate signed by any Authorized Officer of the
Issuer, under the circumstances described in, and otherwise complying with, the applicable requirements of Section 11.1 of the Indenture, and delivered to the Indenture Trustee. Unless otherwise specified, any reference in the Indenture
to an officer’s certificate shall be to an Officer’s Certificate of any Authorized Officer of the Issuer or the Administrator on behalf of the Issuer. Where an Officer’s Certificate is required to be delivered by any other Person,
such certificate shall be signed by any Authorized Officer of such Person. 
 Opinion of Counsel: A written opinion of
counsel, who may, except as otherwise expressly provided, be an employee of the Seller or the Servicer. In addition, for purposes of the Indenture: (i) such counsel shall be satisfactory to the Indenture Trustee; (ii) the opinion shall be
addressed to the Indenture Trustee as Indenture Trustee and (iii) the opinion shall comply with any applicable requirements of Section 11.1 of the Indenture and shall be in form and substance satisfactory to the Indenture Trustee.

 Optional Purchase Date: As defined in Section 4.03 of the Pooling Agreement. 

Outstanding: With respect to the Notes, as of the date of determination, all Notes theretofore authenticated and delivered under
the Indenture except: 
  

	 	(i)	Notes theretofore canceled by the Indenture Trustee or delivered to the Indenture Trustee for cancellation, 

 

	 	(ii)	Notes or portions thereof the payment for which money in the necessary amount has been theretofore deposited with the Indenture Trustee or any Paying Agent in trust for
the Holders of such Notes (provided, however, that if such Notes are to be redeemed, notice of such redemption has been duly given pursuant to the Indenture or provision therefor, satisfactory to the Indenture Trustee, has been made),
and 

  

	 	(iii)	Notes in exchange for or in lieu of other Notes which have been authenticated and delivered pursuant to this Indenture unless proof satisfactory to the Indenture
Trustee is presented that any such Notes are held by a protected purchaser; 

 provided, however, that in
determining whether the Holders of the requisite Outstanding Amount of the Controlling Class have given any request, demand, authorization, direction, notice, consent or waiver hereunder or under any Basic Document, Notes owned by the Issuer, any
other obligor upon the Notes, the Seller or any Affiliate of any of the foregoing Persons shall be disregarded and deemed not to be Outstanding, except that, in determining whether the Indenture Trustee shall be protected in relying upon any such
request, demand, authorization, direction, notice, consent or waiver, only Notes that the Indenture Trustee knows to be so owned shall be so disregarded. Notes so owned that have been pledged in good faith may be regarded as Outstanding if the
pledgee establishes to the satisfaction of the Indenture Trustee the pledgor’s right so to act with respect to such Notes and that the pledgee is not the Issuer, any other obligor upon the Notes, the Seller or any Affiliate of any of the
foregoing Persons. 
 Outstanding Amount: As of any date, the aggregate principal amount of all Notes, or a class of
Notes, as applicable, Outstanding at such date. 
  

 App. A-16 

 Outstanding Monthly Advances: As of an Accounting Date with respect to a Receivable,
the sum of all Monthly Advances made as of or prior to such Accounting Date minus all payments or collections as of or prior to such Accounting Date which are specified in Section 2.14 of the Servicing Agreement as reducing Outstanding
Monthly Advances with respect to such Receivable. 
 Overdue Payment: With respect to a Distribution Date and to a
Receivable, all payments received during the related Monthly Period in excess of any Supplemental Servicing Fees, to the extent of the Outstanding Monthly Advances relating to such Receivable. 

Owner: For purposes of the Purchase Agreement, the Pooling Agreement and the Servicing Agreement, the “Owner” of a
Receivable means (a) NFRRC until the execution and delivery of the Further Transfer and Servicing Agreements and (b) thereafter, the Issuer; provided, that NFC or NFRRC, as applicable, shall be the “Owner” of any Receivable from
and after the time that such Person shall acquire such Receivable, whether pursuant to Section 5.04 of the Purchase Agreement, Section 2.08 of the Servicing Agreement, any other provision of the Further Transfer and Servicing
Agreements or otherwise. 
 Owner Trust Estate: All right, title and interest of the Issuer in and to the property and
rights assigned to the Issuer pursuant to Article II of the Pooling Agreement, all funds on deposit from time to time in the Collection Account, the Reserve Account, the Note Distribution Account and the Certificate Distribution Account
and all other property of the Issuer from time to time, including any rights of the Issuer pursuant to the Pooling Agreement, the Servicing Agreement and the Administration Agreement. 

Owner Trustee: Deutsche Bank Trust Company Delaware, not in its individual capacity but solely as Owner Trustee under the Trust
Agreement, or any successor trustee under the Trust Agreement. 
 PA Assignment: As defined in Section 2.01
of the Purchase Agreement. 
 Partial Prepayment: With respect to a Distribution Date and to any Receivable, the portion
of an Actual Payment in excess of the Scheduled Payment which equals one or more future Scheduled Payments but does not constitute a Full Prepayment and results in a Rebate in accordance with the Servicer’s customary procedures. 

Paying Agent: (a) With respect to the Indenture, the Indenture Trustee or any other Person that meets the eligibility
standards for the Indenture Trustee specified in Section 6.11 of the Indenture and is authorized by the Issuer to make the payments to and distributions from the Collection Account, the Reserve Account and the Note Distribution Account,
including payment of principal of or interest on the Notes on behalf of the Issuer, and (b) with respect to the Trust Agreement, any paying agent or co-paying agent appointed pursuant to Section 3.9 of the Trust Agreement that meets
the eligibility standards for the Owner Trustee specified in Section 6.13 of the Trust Agreement, and initially Citibank, N.A., a national banking association. 
  

 App. A-17 

 Permitted Liens: (i) With respect to any Collateral, the interests of the
parties under the Basic Documents, and (ii) with respect to any Financed Vehicle: 
 (a) any liens on the
Financed Vehicle for taxes, assessments, levies, fees and other government and similar charges payable by an Obligor but not yet due and payable or the amount or validity of which is being contested, 

(b) any liens of mechanics, suppliers, vendors, materialmen, laborers, employees, repairmen and other like liens arising
in the ordinary course of any Obligor’s business on the Financed Vehicle related thereto securing obligations of the Obligor which are not due and payable or the amount or validity of which is being contested; 

(c) liens on the Financed Vehicle related thereto arising out of any judgment or award or by operation of law, in any such
case as a result of an act or omission by the related Obligor; 
 (d) liens which may exist in accessions to the
Financed Vehicles not financed by the Receivables; and 
 (e) any lien against a Financed Vehicle resulting from
a cross-collateralization provision in the related Retail Note or Contract to the extent such lien is junior to the lien of the Indenture Trustee in such Financed Vehicle. 

Person: Any legal person, including any individual, corporation, partnership, limited liability company, association, joint-stock
company, trust, unincorporated organization, governmental entity or other entity of similar nature. 
 Physical Property:
Bankers’ acceptances, commercial paper, negotiable certificates of deposit and other obligations that constitute “instruments” within the meaning of Section 9-102(a)(47) of the UCC and are susceptible of physical delivery.

 Plan: With respect to a Person, at a particular time, any employee benefit plan which is covered by ERISA and in
respect of which such Person or a Commonly Controlled Entity with respect to such Person is (or, if such plan were terminated at such time, would under Section 4069 of ERISA be deemed to be) an “employer” as defined in
Section 3(5) of ERISA. 
 Pooling Agreement: The Pooling Agreement, dated as of the Closing Date, between NFRRC and
the Issuer, as amended, modified and supplemented from time to time. 
 Predecessor Note: 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 2.5 of the Indenture in lieu of
a mutilated, lost, destroyed or stolen Note. 
 Prepayment: With respect to a Distribution Date and to a Receivable, the
portion of an Actual Payment in excess of the Scheduled Payment. 
  

 App. A-18 

 Principal Distributable Amount: With respect to any Distribution Date, the sum
of (a) the Priority Principal Distribution Amount for such Distribution Date, plus (b) the Regular Principal Distribution Amount for such Distribution Date. 

Principal Payment Amount: With respect to any Distribution Date, an amount equal to the lesser of (a) the amount available to
pay the principal on the Notes on such Distribution Date and (b) the Principal Distributable Amount for such Distribution Date. 

Priority Principal Distribution Amount: On any Distribution Date, an amount equal to the sum of (i) an amount equal to the
excess, if any, of (a) the Outstanding Amount of the Notes as of the preceding Distribution Date (after giving effect to any principal payments made on the Notes on such preceding Distribution Date) over (b) the
Aggregate Receivables Balance as of the close of business on the last day of the preceding Monthly Period, plus (ii) if such Distribution Date is a date on or after the Final Scheduled Distribution Date for any Class of Notes which
remains outstanding, the excess, if any, of (x) the Outstanding Amount of such class of Notes, over (y) an amount described in the preceding clause (i) in this definition. 

Proceeding: Any suit in equity, action at law or other judicial or administrative proceeding. 

Program: As defined in Section 3.02 of the Servicing Agreement. 

PSA Assignment: As defined in Section 2.01 of the Pooling Agreement. 

Purchase Agreement: The Purchase Agreement, dated as of the Closing Date, between NFC and NFRRC, as amended and supplemented from
time to time. 
 Purchase Date: As defined in Section 2.01 of the Purchase Agreement. 

Purchase Price: As defined in Section 2.02 of the Purchase Agreement. 

Purchased Property: As of any date, means all of the Designated Receivables and the Related Security transferred by NFC to NFRRC
pursuant to Section 2.01 of the Purchase Agreement as of such date. 
 Qualified Institutional Buyer: As
defined in Rule 144A under the Securities Act. 
 Rating Agency: Each of the nationally recognized statistical rating
organizations requested by the Seller to provide ratings on the Notes which are rating the Notes on such date. 
 Rating
Agency Condition: With respect to any action, the condition that each Rating Agency shall have been given at least 10 days (or such shorter period as is acceptable to each Rating Agency) prior notice thereof and that each of the Rating Agencies
shall have notified the Seller, the Servicer (and, if NFC is not the Servicer, NFC), the Indenture Trustee and the Issuer in writing that such action shall not result in a downgrade or withdrawal of the then-current rating of any class of Notes.

  

 App. A-19 

 Rebate: With respect to a given date and to a Receivable, the rebate under such
Receivable that is or would be payable to the Obligor for unearned finance charges or any other charges that are or would be subject to a rebate to the Obligor upon the payment of a Partial Prepayment or a Full Prepayment. 

Receivable: Each Retail Note appearing on the Schedule of Retail Notes (including, for the avoidance of doubt, each Designated
Receivable). 
 Receivable Balance: As of an Accounting Date, with respect to any Receivable, the result of
(a) the Starting Receivable Balance thereof, minus (b) the sum of the following amounts, in each case computed in accordance with the actuarial method: (i) that portion of all Scheduled Payments allocated to principal
due on or after the Cutoff Date and on or prior to the Accounting Date, plus (ii) that portion of all Warranty Payments or Administrative Purchase Payments allocated to principal, plus (iii) that portion of all Prepayments
allocated to principal, plus (iv) the sum of that portion of the following received and allocated to principal by the Servicer: (A) proceeds of Insurance Policies, plus (B) Liquidation Proceeds, plus
(C) any amounts received in respect of any Dealer Liability, plus (D) any amounts received in respect of from Navistar Purchase Obligations, plus (E) any amounts received in respect of any Guaranties. 

Receivables File: As defined in Section 4.01 of the Servicing Agreement. 

Recharacterization: As defined in Section 2.01 of the Pooling Agreement. 

Record Date: (a) With respect to the Notes and with respect to any Distribution Date, the close of business on the day
immediately preceding such Distribution Date, or if Definitive Notes are issued, the last day of the preceding Monthly Period and (b) with respect to the Certificates and with respect to any Distribution Date, the last day of the preceding
Monthly Period. 
 Redemption Date: The Distribution Date on which all of the Notes are to be redeemed by the Issuer in
connection with the exercise of the Servicer of its rights pursuant to Section 4.01 of the Pooling Agreement, as described in Sections 10.1 and 10.2 of the Indenture. 

Redemption Price: An amount equal to the aggregate of the Outstanding Amount of all Notes, together with all accrued and unpaid
interest thereon through the Redemption Date or the Optional Purchase Date, as applicable. 
 Registered Holder: The
Person in whose name a Note is registered on the Note Register on the applicable Record Date. 
 Regular Principal
Distribution Amount: An amount, for any Distribution Date, equal to the excess, if any, of (a) the Outstanding Amount of the Notes as of the preceding Distribution Date (after giving effect to any payments of principal made on
the Notes on such preceding Distribution Date and before giving effect to any payment in respect of the Priority Principal Distributable Amount on such Distribution Date) or as of the Closing Date, as applicable, over (b) the
excess, if any, of (i) the Aggregate Receivables Balance as of the close of business on the last day of the preceding Monthly Period, less (ii) the Target Overcollateralization Amount for such Distribution Date;
provided, however, that the Regular Principal Distribution Amount for 
  

 App. A-20 

 
any Distribution Date shall not exceed the Outstanding Amount of the Notes on such Distribution Date (after giving effect to any payments of principal made on the Notes on such Distribution Date
in respect of the Priority Principal Distribution Amount, if any; provided, further, however, that the Regular Principal Distribution Account on and after the date the Notes have been declared due and payable following the
occurrence of an Event of Default shall not be less than the amount that is necessary to reduce the outstanding principal amount of the Notes to zero. 

Related Security: With respect to a Receivable, the right, title and interest of NFC, the Seller or any successor or assignee
thereof in and to the following assets: 
 (a) all amounts due on and under such Receivable on and after the
Cutoff Date and the fully executed original of such Receivable and the related Contracts, 
 (b) the security
interests in the Financed Vehicles granted by Obligors pursuant to such Receivable and, to the extent permitted by law, in any accessions thereto which are financed by such Retail Note and, where permitted by law, the original Certificate of Title
and otherwise such documents, if any, that NFC keeps on file in accordance with its customary procedures indicating that the related Financed Vehicle is owned by the Obligor and subject to a security interest in favor of NFC (or its assigns),

 (c) the right to receive amounts received by NFC from time to time in respect of any Insurance Policies with
respect to such Receivable, 
 (d) the right to receive amounts received by NFC from time to time in respect of
any Dealer Liability with respect to such Receivable, any Navistar Purchase Obligations with respect to such Receivable (subject to the limitation set forth in Section 5.08 of the Purchase Agreement and Section 2.04 of the
Pooling Agreement, as applicable), and any Guaranties of such Receivable, 
 (e) any proceeds from any Insurance
Policies with respect to such Receivable, 
 (f) amounts received by NFC from time to time in respect of any
Dealer Liability with respect to such Receivable, any Navistar Purchase Obligations with respect to such Receivable (subject to the limitation set forth in Section 5.08 of the Purchase Agreement and Section 2.04 of the
Pooling Agreement, as applicable) and amounts received in respect of any Guaranties of such Retail Note, and 

(g) any proceeds of the property described in clauses (a) through (e) of this definition above.

 Remaining Gross Balance: With respect to any Receivable (other than a Liquidating Receivable) and as of an Accounting
Date, the result of (a) the Starting Gross Receivable Balance thereof, minus (b) the sum of (i) all Actual Payments with respect to such Receivable, plus (ii) any Warranty Payment or Administrative Purchase Payment with respect
to any such Receivable, plus (iii) any Prepayments applied to reduce the Starting Gross Receivable Balance of any such Receivable, plus (iv) proceeds from any Insurance Policies with respect to such Receivable, plus (c) for any
Receivable not classified by the Servicer as a “finance charge -
  

 App. A-21 

 
included contract,” the portion of the payments specified in the preceding clauses (i), (ii), (iii) or (iv) in this definition above allocable in accordance with the actuarial
method to finance charges; provided, however, that the Remaining Gross Balance of any Receivable that has been designated a Liquidating Receivable during the related or any prior Monthly Period shall equal zero. 

Repurchase Event: A Repurchase Event described in Section 5.04 of the Purchase Agreement. 

Required Deposit Rating: A rating on short-term unsecured debt obligations of “P-1” by Moody’s and “R-1”
by DBRS. Any requirement that short-term unsecured debt obligations have the “Required Deposit Rating” means that such short-term unsecured debt obligations have the foregoing required ratings from each of such rating agencies. 

Requirement of Law: As to any Person, the certificate of incorporation and by-laws or other organizational or governing documents
of such Person, and any law, treaty, rule or regulation or determination of an arbitrator or a court or other Governmental Authority, in each case applicable to or binding upon such Person or any of its property or to which such Person or any of its
property is subject. 
 Reserve Account: An account designated as such, established and maintained pursuant to
Section 2.02(a)(iv) of the Servicing Agreement. 
 Reserve Account Deposit Amount: With respect to any
Distribution Date, an amount equal to the lesser of (a) the excess, if any, of (i) the Specified Reserve Account Balance for such Distribution date, over (ii) the amount on deposit in the Reserve Account (after
giving effect to all withdrawals to be made therefrom on or prior to such Distribution Date) and (b) the portion, if any, of the Available Amount for such Distribution Date available for deposit into the Reserve Account on the Transfer Date
related to such Distribution Date pursuant to Section 8.2(c)(vi) of the Indenture. 
 Reserve Account Initial
Deposit: Cash or Eligible Investments having a value of $9,403,304.46, which is equal to 1.00% of the Initial Aggregate Starting Receivables Balance. 

Reserve Account Property: As defined in the Granting Clause of the Indenture. 

Responsible Officer: With respect to the Indenture Trustee or the Owner Trustee, any officer within the Corporate Trust Office of
such trustee, including any Vice President, Assistant Vice President, Assistant Secretary, Assistant Treasurer, Trust Officer or any other officer of such Trustee who customarily performs functions similar to those performed by the persons who at
the time shall be such officers, respectively, or to whom any corporate trust matter is referred because of such person’s knowledge of and familiarity with the particular subject and who shall have direct responsibility for the administration
of the Indenture or the Trust, as applicable, and, with respect to the Servicer, the President, any Vice President, Assistant Vice President, Treasurer, Secretary, Assistant Treasurer, Assistant Secretary or any other officer or assistant officer of
such Person customarily performing functions similar to those performed by any of the above designated officers, and also, with respect to a particular matter, any other officer to whom 

 

 App. A-22 

 
such matter is referred because of such officer’s knowledge of and familiarity with the particular subject. 

Retail Note: A retail loan evidenced by a note and secured by one or more Financed Vehicles, originated or acquired by Navistar
Financial or one or more of its Affiliates. 
 Revised Article 8: Revised Article 8 (1994 Version) (and
corresponding amendments to Article 9) as promulgated in 1994 by the National Conference of Commissioners on Uniform State Laws, in the form in which it has been adopted in the State of New York. 

Schedule of Retail Notes: The schedule attached to the PA Assignment or the PSA Assignment specifying the Retail Notes transferred
to the Issuer, as such schedule may be updated by the Servicer from time to time pursuant to Section 3.04 of the Servicing Agreement. 

Scheduled Payment: With respect to any Receivable, a payment which (a) is in the amount required under the terms of such
Receivable in effect as of the Cutoff Date or, in the case of any Receivable secured by more than one Financed Vehicle, the terms of such Receivable, after giving effect to any changes in the terms of such Receivable resulting from a Full Prepayment
with respect to any Financed Vehicle related thereto and (b) is payable by the Obligor of such Receivable. When Scheduled Payment is used with reference to a Distribution Date after the date such Receivable is transferred to the Issuer, it
means the payment which is due in the related Monthly Period; provided, however, that in the case of the first Distribution Date, the Scheduled Payment shall include all such payments due from the Obligor on or after the Cutoff Date.

 Secretary of State: The Secretary of State of the State of Delaware. 

Securities: The Notes and the Certificates. 

Securities Act: The United States Securities Act of 1933, as amended from time to time. 

Securities Intermediary: As defined in Section 2.02(b) of the Servicing Agreement. 

Security Certificate: As defined in Section 8-102(a)(16) of the New York UCC. 

Security Entitlement: As defined in Section 8-102(a)(17) of the New York UCC. 

Securityholder: Any of the Noteholders or Certificateholders. 

Seller: As defined in the Recitals to the Pooling Agreement. 

Servicer: The Person executing the Servicing Agreement as the Servicer, or its successor in interest pursuant to
Section 7.02 of the Servicing Agreement (including the Backup Servicer in its capacity as successor Servicer). 

Servicer Default: Any of the events specified in Section 7.01 of the Servicing Agreement; provided that any
requirement for the giving of notice, the lapse of time, or both, or any other condition, has been satisfied. 
  

 App. A-23 

 Servicer’s Certificate: A certificate in substantially the form of
Exhibit A to the Servicing Agreement, completed by and executed on behalf of the Servicer, in accordance with Section 2.17 of the Servicing Agreement. 

Servicing Agreement: The Servicing Agreement, dated as of the Closing Date, by and among NFRRC, the Indenture Trustee, the Issuer
and the Servicer, as amended, modified and supplemented from time to time. 
 Specified Reserve Account Balance: With
respect to any Distribution Date, the lesser of (a) the Outstanding Amount of the Notes and (b) 1.00% of the Aggregate Starting Receivable Balance of all of the Receivables transferred to the Trust. 

Starting Gross Receivable Balance: With respect to any Receivable as of the Cutoff Date, the Starting Receivable Balance plus, in
the case of Receivables classified by the Servicer as “finance charge - included contract” the finance charges included in the Scheduled Payments due on or after the Cutoff Date. 

Starting Receivable Balance: With respect to a Receivable, the aggregate principal amount advanced under such Receivable toward
the purchase price of the Financed Vehicle or Financed Vehicles, including insurance premiums, service and warranty contracts, federal excise and sales taxes and other items customarily financed as part of a Retail Note and related costs, less
payments received from the Obligor prior to the Cutoff Date with respect to such Receivable allocable on the basis of the actuarial method to principal. 

State: Any one of the 50 States of the United States of America or the District of Columbia. 

Statutory Trust Statute: Chapter 38 of Title 12 of the Delaware Code, 12 Del. Code §3801 et seq., as the
same may be amended from time to time. 
 Subsequent Transferee: As defined in the Recitals to the Purchase Agreement.

 Subsidiary: As to any Person, a corporation, partnership or other entity of which shares of stock or other ownership
interests having ordinary voting power (other than stock or such other ownership interests having such power only by reason of the happening of a contingency) to elect a majority of the board of directors or other managers of such corporation,
partnership or other entity are at the time owned, or the management of which is otherwise controlled, directly or indirectly through one or more intermediaries, or both, by such Person. 

Successor Servicing Expenses: For any Distribution Date, the reasonable out-of-pocket accrued and unpaid costs, expenses,
disbursements and other charges incurred by a successor Servicer during the related Monthly Period in connection with the performance of its duties and obligations under the Basic Documents and any damages or other amounts for which the successor
Servicer is entitled to indemnification pursuant to the Basic Documents, each as expressly provided therein and to the extent not paid by NFC as the removed servicer under the Backup Servicing Agreement. 

Supplemental Servicing Fee: As defined in Section 2.09 of the Servicing Agreement. 

 

 App. A-24 

 Target Overcollateralization Amount: An amount, on any Distribution Date, that is
equal to the greater of (a) 3.50% of the Aggregate Starting Receivable Balance of all Receivables transferred to the Trust, and (b) the excess, if any, of (i) 6.00% of the Aggregate Receivables Balance as of the close of
business on the last day of the related Monthly Period, over (ii) the amount on deposit in the Reserve Account on the last day of the related Monthly Period. 

Temporary Notes: The Notes specified in Section 2.3 of the Indenture. 

Total Available Amount: With respect to a Distribution Date, the sum of (a) the Available Amount for such Distribution
Date, plus (b) the amount of all cash and other immediately available funds deposited in the Collection Account from the Reserve Account on the Transfer Date related to such Distribution Date. 

Total Servicing Fee: As defined in Section 2.09 of the Servicing Agreement. 

Transfer: As defined in Section 2.15(c) of the Indenture. 

Transfer Date: With respect to any Distribution Date, the Business Day immediately preceding such Distribution Date. 

Transfer and Servicing Agreements: The Purchase Agreement, the Pooling Agreement, the Servicing Agreement and the Backup Servicing
Agreement. 
 Treasury Regulations: The regulations, including proposed or temporary regulations, promulgated under the
Code. References herein to specific provisions of proposed or temporary regulations shall include analogous provisions of final Treasury Regulations or other successor Treasury Regulations. 

Trust: Navistar Financial 2010-A Owner Trust, a Delaware statutory trust, created pursuant to the Trust Agreement. 

Trust Agreement: The Trust Agreement, dated as of the Closing Date, between the Seller and the Owner Trustee, as amended and
supplemented from time to time; such agreement being the Amended and Restated Trust Agreement contemplated by the Trust Agreement, dated September 8, 2008, between the Seller and the Owner Trustee, as amended on March 26, 2009, and as
further amended on December 29, 2009. 
 Trustees: The Owner Trustee and the Indenture Trustee. 

UCC: The Uniform Commercial Code, as in effect in the relevant jurisdiction. 

UCC Collateral: Any property a security interest in which may be perfected by filing under the UCC. 

Uncertificated Security: As defined under the applicable UCC as in effect on such date. 

 

 App. A-25 

 Unearned Income: With respect to any Receivable, as of any date of determination, the
portion of the Gross Balance thereof identified as unearned income by the Servicer, in accordance with its customary applicable accounting procedures. 

Warranty Payment: With respect to a Distribution Date and to a Warranty Receivable repurchased as of the related Accounting Date,
the result of (a) the sum of all remaining Scheduled Payments on such Warranty Receivable due after the Accounting Date, plus (b) all past due Scheduled Payments with respect to which a Monthly Advance has not been made,
plus (c) the amount of any reimbursements made pursuant to the last sentence of Section 2.14 of the Servicing Agreement with respect to such Warranty Receivable, plus (d) all Outstanding Monthly Advances made on
such Warranty Receivable, minus (e) the Rebate, minus (f) any Liquidation Proceeds with respect to such Warranty Receivable to the extent applied prior to the Accounting Date that are not reflected in items
(a) through (d) of this definition. 
 Warranty Purchaser: Either (a) the Seller pursuant to
Section 2.06 of the Pooling Agreement or (b) NFC pursuant to Section 5.04 of the Purchase Agreement. 

Warranty Receivable: A Receivable which the Warranty Purchaser has become obligated to repurchase pursuant to
Section 2.06 of the Pooling Agreement or Section 5.04 of the Purchase Agreement. 
  

 App. A-26 

 APPENDIX A 

PART II – RULES OF CONSTRUCTION 

Accounting Terms. As used in this Appendix or the Basic Documents, accounting terms which are not defined, and accounting terms
partly defined, herein or therein shall have the respective meanings given to them under generally accepted accounting principles. To the extent that the definitions of accounting terms in this Appendix or the Basic Documents are inconsistent with
the meanings of such terms under generally accepted accounting principles, the definitions contained in this Appendix or the Basic Documents will control. 

“Hereof,” etc. The words “hereof,” “herein” and “hereunder” and words of similar import
when used in this Appendix or any Basic Document will refer to this Appendix or such Basic Document as a whole and not to any particular provision of this Appendix or such Basic Document, and Section, Schedule and Exhibit references contained in
this Appendix or any Basic Document are references to Sections, Schedules and Exhibits in or to this Appendix or such Basic Document unless otherwise specified. The word “or” is not exclusive. 

Use of “related”. As used in this Appendix and the Basic Documents, with respect to any Distribution Date, the
“related Determination Date,” the “related Monthly Period,” and the “related Record Date” will mean the Determination Date, the Monthly Period, and the Record Date, respectively, immediately preceding such Distribution
Date. 
 Use of “outstanding” etc. Whenever the term “outstanding Notes,” “outstanding principal
amount” and words of similar import are used in this Appendix or any Basic Document for purposes of determining whether the Noteholders of the requisite outstanding principal amount of the Notes have given any request, demand, authorization,
direction, notice, consent or waiver hereunder or under any Basic Document, Notes owned by the Issuer, any other obligor upon the Notes, the Seller or any Affiliate of any of the foregoing Persons (it being understood that the Owner Trustee in its
individual capacity shall not be considered an Affiliate of any of the foregoing) shall be disregarded and deemed not to be outstanding, except that, in determining whether the Indenture Trustee shall be protected in relying upon any such request,
demand, authorization, direction, notice, consent or waiver, only Notes that the Indenture Trustee knows to be so owned shall be so disregarded. Notes so owned that have been pledged in good faith may be regarded as “outstanding” if the
pledgee establishes to the satisfaction of the Indenture Trustee the pledgor’s right so to act with respect to such Notes and that the pledgee is not the Issuer, any other obligor upon the Notes, the Seller or any Affiliate of any of the
foregoing Persons. 
 Number and Gender. Each defined term used in this Appendix or the Basic Documents has a comparable
meaning when used in its plural or singular form. Each gender-specific term used in this Appendix or the Basic Documents has a comparable meaning whether used in a masculine, feminine or gender-neutral form. 

Including. Whenever the term “including” (whether or not that term is followed by the phrase “but not limited
to” or “without limitation” or words of similar effect) is used in this Appendix or the Basic Documents in connection with a listing of items within a particular classification, that listing will be interpreted to be illustrative only
and will not be interpreted as a limitation on, or exclusive listing of, the items within that classification. 
  

 App. A-27 

 APPENDIX B 

NOTICE ADDRESSES AND PROCEDURES 

All requests, demands, directions, consents, waivers, notices, authorizations and communications provided or permitted under any Basic
Document to be made upon, given or furnished to or filed with NFC, the Seller, the Servicer (other than any successor Servicer who is not an affiliate of the initial Servicer), the Indenture Trustee, the Issuer, the Owner Trustee or the Rating
Agencies shall be in writing, personally delivered, sent by facsimile with a copy to follow via first class mail, overnight mail or mailed by certified mail, return receipt requested, and shall be deemed to have been duly given upon receipt:

  

	 	1.	in the case of NFC, at the following address: 

Navistar Financial Corporation 

425 N. Martingale Road 

Suite 1800, Attention: General Counsel 

Schaumburg, IL 60173 

Telecopy: (630) 753-4410 
  

	 	2.	in the case of the Seller, at the following address: 

Navistar Financial Retail Receivables Corporation 

425 N. Martingale Road 

Suite 1800, Attention: General Counsel 

Schaumburg, IL 60173 

Telecopy: (630) 753-4410 
  

	 	3.	in the case of the Servicer (other than any successor Servicer who is not an affiliate of the initial Servicer), at the following address: 

Navistar Financial Corporation 

425 N. Martingale Road 

Suite 1800, Attention: General Counsel 

Schaumburg, IL 60173 

Telecopy: (630) 753-4410 
  

	 	4.	in the case of the Indenture Trustee, at its Corporate Trust Office, 

  

	 	5.	in the case of the Owner Trustee, at its Corporate Trust Office, with a copy to: 

Deutsche Bank National Trust Company 

100 Plaza One 

MS: JCY03-0699 

Jersey City, New Jersey 07311-3901 

Attention: Alternative and Structured Finance Services 

 

 App. B-1 

 
and with a copy to the Administrator at: 
 Navistar Financial Corporation

 425 N. Martingale Road 

Suite 1800, Attention: General Counsel 

Schaumburg, IL 60173 

Telecopy: (630) 753-4410 
  

	 	6.	in the case of the Issuer, to the Corporate Trust Office of the Owner Trustee, with a copies to: 

Navistar Financial Retail Receivables Corporation 

c/o Corporation Trust Company 

1209 Orange Street 

Wilmington, DE 19801 

Navistar Financial Corporation 

425 N. Martingale Road 

Suite 1800, Attention: General Counsel 

Schaumburg, IL 60173 

Telecopy: (630) 753-4410 

The Issuer shall promptly transmit any notice received by it from the Noteholders to the Indenture Trustee and the Indenture Trustee shall likewise
promptly transmit any notice received by it from the Noteholders to the Issuer. 
  

	 	7.	in the case of Moody’s Investors Service, Inc., at the following address: 

Moody’s Investors Service, Inc. 

ABS Monitoring Department 

99 Church Street 

New York, NY 10007 
  

	 	8.	in the case of DBRS, Inc., at the following address: 

DBRS, Inc. 
 140
Broadway 
 New York, NY 10005 

Attention: ABS Surveillance 
 or
at such other address as shall be designated by such Person in a written notice to the other parties to the Basic Documents to which they are party. 

Where any Basic Document provides for notice to Noteholders of any condition or event, such notice shall be sufficiently given (unless
otherwise herein expressly provided) if it is in writing and mailed, first-class, postage prepaid or by overnight mail to each Noteholder affected by such condition or event, at such Person’s address as it appears on the Note Register,

  

 App. B-2 

 
not later than the latest date, and not earlier than the earliest date, prescribed in such Basic Document for the giving of such notice. If notice to Noteholders is given by mail, neither the
failure to mail such notice nor any defect in any notice so mailed to any particular Noteholders shall affect the sufficiency of such notice with respect to other Noteholders, and any notice that is mailed in the manner herein provided shall
conclusively be presumed to have been duly given regardless of whether such notice is in fact actually received. 
  

 App. B-3Indenture, dated as of May 27, 2010

 Exhibit 10.2 

EXECUTION COPY 

NAVISTAR FINANCIAL 2010-A OWNER TRUST 
  

							
		 	 Class A-1
 Class A-2

 Class A-3
 Class B

Class C
	 	 0.60828% Asset Backed Notes

1.47% Asset Backed Notes
 1.99% Asset Backed
Notes
 4.17% Asset Backed Notes
 6.16%
Asset Backed Notes
	 	

  
  

INDENTURE 
 Dated
as of May 27, 2010 
  
  

CITIBANK, N.A., 

a national banking association, 

Indenture Trustee 

 TABLE OF CONTENTS 

 

			
	 	  	Page
		
	 ARTICLE I DEFINITIONS AND INCORPORATION BY REFERENCE
	  	2
	 Section 1.1 Definitions
	  	2
		
	 ARTICLE II THE NOTES
	  	2
	 Section 2.1 Form.
	  	2
	 Section 2.2 Execution, Authentication and Delivery.
	  	3
	 Section 2.3 Temporary Notes.
	  	4
	 Section 2.4 Registration; Registration of Transfer and Exchange of Notes.
	  	4
	 Section 2.5 Mutilated, Destroyed, Lost or Stolen Notes.
	  	5
	 Section 2.6 Persons Deemed Noteholders
	  	6
	 Section 2.7 Payment of Principal and Interest.
	  	6
	 Section 2.8 Cancellation of Notes
	  	8
	 Section 2.9 [Reserved].
	  	8
	 Section 2.10 Book-Entry Notes
	  	8
	 Section 2.11 Notices to Clearing Agency
	  	9
	 Section 2.12 Definitive Notes
	  	9
	 Section 2.13 Seller as Noteholder
	  	9
	 Section 2.14 Tax Treatment
	  	9
	 Section 2.15 Transfer Restrictions
	  	10
		
	 ARTICLE III COVENANTS
	  	14
	 Section 3.1 Payment of Principal and Interest
	  	14
	 Section 3.2 Maintenance of Agency Office
	  	14
	 Section 3.3 Money for Payments to Be Held in Trust.
	  	15
	 Section 3.4 Existence
	  	16
	 Section 3.5 Protection of Collateral; Acknowledgment of Pledge
	  	16
	 Section 3.6 Opinions as to Collateral.
	  	17
	 Section 3.7 Performance of Obligations; Servicing of Receivables.
	  	18
	 Section 3.8 Negative Covenants
	  	19
	 Section 3.9 Annual Statement as to Compliance
	  	19
	 Section 3.10 Consolidation, Merger, etc., of the Issuer; Disposition of Trust Assets.
	  	20
	 Section 3.11 Successor or Transferee.
	  	22
	 Section 3.12 No Other Business
	  	22
	 Section 3.13 No Borrowing
	  	22
	 Section 3.14 Guarantees, Loans, Advances and Other Liabilities
	  	22
	 Section 3.15 Servicer’s Obligations
	  	22
	 Section 3.16 Capital Expenditures
	  	22
	 Section 3.17 Removal of Administrator
	  	22
	 Section 3.18 Restricted Payments
	  	23
	 Section 3.19 Notice of Events of Default
	  	23
	 Section 3.20 Further Instruments and Acts
	  	23
	 Section 3.21 Indenture Trustee’s Assignment of Administrative Receivables and Warranty Receivables
	  	23
	 Section 3.22 Representations and Warranties by the Issuer to the Indenture Trustee
	  	24

  

 - i - 

			
	 ARTICLE IV SATISFACTION AND DISCHARGE
	  	24
	 Section 4.1 Satisfaction and Discharge of Indenture
	  	24
	 Section 4.2 Application of Trust Money
	  	26
	 Section 4.3 Repayment of Monies Held by Paying Agent
	  	26
	 Section 4.4 Duration of Position of Indenture Trustee for Benefit of Certificateholders
	  	26
		
	 ARTICLE V DEFAULT AND REMEDIES
	  	26
	 Section 5.1 Events of Default
	  	26
	 Section 5.2 Acceleration of Maturity; Rescission and Annulment.
	  	27
	 Section 5.3 Collection of Indebtedness and Suits for Enforcement by Indenture Trustee.
	  	28
	 Section 5.4 Remedies; Priorities.
	  	30
	 Section 5.5 Optional Preservation of the Collateral
	  	31
	 Section 5.6 Limitation of Suits
	  	31
	 Section 5.7 Unconditional Rights of Noteholders To Receive Principal and Interest
	  	32
	 Section 5.8 Restoration of Rights and Remedies
	  	32
	 Section 5.9 Rights and Remedies Cumulative
	  	33
	 Section 5.10 Delay or Omission Not a Waiver
	  	33
	 Section 5.11 Control by Noteholders
	  	33
	 Section 5.12 Waiver of Past Defaults.
	  	34
	 Section 5.13 Undertaking for Costs
	  	34
	 Section 5.14 Waiver of Stay or Extension Laws
	  	35
	 Section 5.15 Action on Notes
	  	35
	 Section 5.16 Performance and Enforcement of Certain Obligations.
	  	35
		
	ARTICLE VI THE INDENTURE TRUSTEE	  	36
	 Section 6.1 Duties of Indenture Trustee.
	  	36
	 Section 6.2 Rights of Indenture Trustee.
	  	37
	 Section 6.3 Indenture Trustee May Own Notes
	  	38
	 Section 6.4 Indenture Trustee’s Disclaimer
	  	38
	 Section 6.5 Notice of Defaults
	  	38
	 Section 6.6 Reports by Indenture Trustee to Holders
	  	38
	 Section 6.7 Compensation; Indemnity.
	  	39
	 Section 6.8 Replacement of Indenture Trustee.
	  	39
	 Section 6.9 Merger or Consolidation of Indenture Trustee.
	  	40
	 Section 6.10 Appointment of Co-Indenture Trustee or Separate Indenture Trustee.
	  	41
	 Section 6.11 Eligibility; Disqualification.
	  	42
	 Section 6.12 [Reserved].
	  	43
	 Section 6.13 Representations and Warranties of Indenture Trustee
	  	43
	 Section 6.14 Indenture Trustee May Enforce Claims Without Possession of Notes
	  	44
		
	ARTICLE VII NOTEHOLDERS’ LISTS AND REPORTS	  	44
	 Section 7.1 Issuer To Furnish Indenture Trustee Names and Addresses of Noteholders
	  	44
	 Section 7.2 Preservation of Information, Communications to Noteholders
	  	44
		
	 ARTICLE VIII ACCOUNTS, DISBURSEMENTS AND RELEASES
	  	44

  

 - ii - 

			
	 Section 8.1 Collection of Money
	  	44
	 Section 8.2 Designated Accounts; Payments.
	  	45
	 Section 8.3 General Provisions Regarding Accounts.
	  	49
	 Section 8.4 Release of Collateral.
	  	49
	 Section 8.5 Opinion of Counsel
	  	50
	 Section 8.6 Investment Earnings and Supplemental Servicing Fees
	  	50
	 Section 8.7 Net Deposits
	  	50
	 Section 8.8 Statements to Securityholders.
	  	50
	 Section 8.9 Designated Accounts
	  	53
	 Section 8.10 Reserve Account.
	  	53
		
	 ARTICLE IX SUPPLEMENTAL INDENTURES
	  	53
	 Section 9.1 Supplemental Indentures Without Consent of Noteholders.
	  	53
	 Section 9.2 Supplemental Indentures With Consent of Noteholders.
	  	54
	 Section 9.3 Execution of Supplemental Indentures
	  	55
	 Section 9.4 Effect of Supplemental Indenture
	  	56
	 Section 9.5 [Reserved].
	  	56
	 Section 9.6 Reference in Notes to Supplemental Indentures
	  	56
		
	 ARTICLE X REDEMPTION OF NOTES
	  	56
	 Section 10.1 Redemption.
	  	56
	 Section 10.2 Form of Redemption Notice.
	  	57
	 Section 10.3 Notes Payable on Redemption Date or Optional Purchase Date
	  	57
		
	 ARTICLE XI MISCELLANEOUS
	  	58
	 Section 11.1 Compliance Certificates and Opinions, etc.
	  	58
	 Section 11.2 Form of Documents Delivered to Indenture Trustee.
	  	59
	 Section 11.3 Acts of Noteholders.
	  	60
	 Section 11.4 Notices, etc., to Indenture Trustee, Issuer and Rating Agencies
	  	61
	 Section 11.5 Notices to Noteholders; Waiver.
	  	61
	 Section 11.6 Alternate Payment and Notice Provisions
	  	61
	 Section 11.7 [Reserved].
	  	61
	 Section 11.8 Effect of Headings and Table of Contents
	  	61
	 Section 11.9 Successors and Assigns.
	  	62
	 Section 11.10 Separability
	  	62
	 Section 11.11 Benefits of Indenture
	  	62
	 Section 11.12 Legal Holidays
	  	62
	 Section 11.13 Governing Law; Submission to Jurisdiction
	  	62
	 Section 11.14 Counterparts
	  	62
	 Section 11.15 Recording of Indenture
	  	63
	 Section 11.16 No Recourse
	  	63
	 Section 11.17 No Petition
	  	63
	 Section 11.18 Inspection
	  	64
	 Section 11.19 Consent to Backup Servicing Agreement
	  	64

  

			
	EXHIBIT A	  	Locations of Schedule of Retail Notes

  

 - iii - 

			
	EXHIBIT B	  	Form of Class A-1 Asset Backed Note
	EXHIBIT C	  	Form of Class A-2, Class A-3, Class B and Class C Asset Backed Note

 

 - iv - 

 INDENTURE 

INDENTURE, dated as of May 27, 2010, between NAVISTAR FINANCIAL 2010-A OWNER TRUST, a Delaware statutory trust (the
“Issuer”), and Citibank, N.A., a national banking association, as indenture trustee and not in its individual capacity (the “Indenture Trustee”). 

Each party agrees as follows for the benefit of the other party and for the equal and ratable benefit of the Holders of the Notes and
(only to the extent expressly provided herein) the Certificateholders: 
 GRANTING CLAUSE 

The Issuer hereby grants to the Indenture Trustee on the Closing Date, as trustee for the benefit of the Financial Parties, including the
Certificateholder (except with respect to the Note Distribution Account and the Reserve Account Property), all of the Issuer’s right, title and interest, whether now existing or hereafter arising or acquired, in, to and under (a) the
Receivables listed on the Schedule of Retail Notes which is on file at the locations listed on Exhibit A hereto and all Related Security; (b) the Collection Account and the Note Distribution Account and all amounts, investments and
investment property held from time to time in the Collection Account and the Note Distribution Account (whether in the form of deposit accounts, Physical Property, book-entry securities, uncertificated securities or otherwise) and all proceeds of
the foregoing; (c) the Reserve Account and all amounts, investments and investment property held from time to time in the Reserve Account (whether in the form of deposit accounts, Physical Property, book-entry securities, uncertificated
securities or otherwise) and all proceeds of the foregoing (other than the Investment Earnings thereon); (d) the Reserve Account Initial Deposit with respect to the Closing Date, and all proceeds of the foregoing (other than the Investment
Earnings thereon) ((c) and (d), collectively, the “Reserve Account Property”); (e) the Pooling Agreement and the PSA Assignment (including all rights of NFRRC under the Purchase Agreement and the PA Assignment assigned to the
Issuer pursuant to the Pooling Agreement); (f) the Servicing Agreement; (g) all Collections; and (h) all present and future claims, demands, causes and choses in action in respect of any or all of the foregoing and all payments on or
under and all proceeds of every kind and nature whatsoever in respect of any or all of the foregoing, including all proceeds of the conversion, voluntary or involuntary, into cash or other liquid property, all cash proceeds, accounts, accounts
receivable, notes, drafts, acceptances, chattel paper, checks, deposit accounts, insurance proceeds, condemnation awards, rights to payment of any and every kind and other forms of obligations and receivables, instruments and other property which at
any time constitute all or part of or are included in the proceeds of any of the foregoing (collectively, the “Collateral”). 

The foregoing Grant is made in trust to secure (a) first, the payment of principal of and interest on, and any other amounts owing
in respect of, the Class A Notes, equally and ratably without prejudice, priority or distinction, subject to the priority set forth in Section 8.2(d) of this Indenture, (b) second, the payment of principal of and interest on,
and any other amounts owing in respect of, the Class B Notes, equally and ratably without prejudice, priority or distinction, subject to the priority set forth in Section 8.2(d) of this Indenture, and (c) third, the payment of
principal of and interest on, and any other amounts owing in respect of, the Class C 

 
Notes, equally and ratably without prejudice, priority or distinction, subject to the priority set forth in Section 8.2(d) of this Indenture, and to secure compliance with the
provisions of this Indenture, all as provided in this Indenture. This Indenture constitutes a security agreement under the UCC. 

The foregoing Grant includes all rights, powers and options (but none of the obligations, if any) of the Issuer under any agreement or
instrument included in the Collateral, including the immediate and continuing right to claim for, collect, receive and give receipt for principal, interest and other Scheduled Payments in respect of the Receivables included in the Collateral and all
other monies payable under the Collateral, to give and receive notices and other communications, to make waivers or other agreements, to exercise all rights and options, to bring Proceedings in the name of the Issuer or otherwise and generally to do
and receive anything that the Issuer is or may be entitled to do or receive under or with respect to the Collateral. 
 The
Indenture Trustee, as trustee on behalf of the Financial Parties, acknowledges such Grant and accepts the trusts under this Indenture in accordance with the provisions of this Indenture. 

ARTICLE I 

DEFINITIONS AND INCORPORATION BY REFERENCE 

Section 1.1 Definitions. Certain capitalized terms used in this Indenture shall have the respective meanings assigned them in
Part I of Appendix A to the Pooling Agreement of even date herewith between the Issuer and NFRRC (as it may be amended, supplemented or modified from time to time, the “Pooling Agreement”). All references herein to
“the Indenture” or “this Indenture” are to this Indenture as it may be amended, supplemented or modified from time to time, the exhibits hereto and the capitalized terms used herein which are defined in such Appendix A. All
references herein to Articles, Sections, subsections and exhibits are to Articles, Sections, subsections and exhibits contained in or attached to this Indenture unless otherwise specified. All terms defined in this Indenture shall have the defined
meanings when used in any certificate, notice, Note or other document made or delivered pursuant hereto unless otherwise defined therein. The rules of construction set forth in Part II of such Appendix A shall be applicable to this
Indenture. 
 ARTICLE II 

THE NOTES 

Section 2.1 Form. 

(a) The Class A-1 Notes, with the Indenture Trustee’s certificate of authentication, shall be substantially in the form set
forth in Exhibit B and each of the Class A-2 Notes, Class A-3 Notes, Class B Notes and Class C Notes, each with the Indenture Trustee’s certificate of authentication, shall be substantially in the form set forth
in Exhibit C, with such appropriate insertions, omissions, substitutions and other variations as are required or permitted by this Indenture, and each class of Notes may have such letters, numbers or other marks of identification and
such legends or endorsements placed thereon as may, consistently herewith, be 
  

 - 2 - 

 
determined by the officers executing such Notes, as evidenced by their execution of the Notes. Any portion of the text of any Note may be set forth on the reverse thereof, with an appropriate
reference thereto on the face of the Note. 
 (b) The Definitive Notes, if any, shall be typewritten, printed, lithographed or
engraved or produced by any combination of these methods (with or without steel engraved borders), all as determined by the officers executing such Notes, as evidenced by their execution of such Notes. 

(c) Each Note shall be dated the date of its authentication. The terms of each class of Notes as provided for in Exhibit B
and Exhibit C hereto are part of the terms of this Indenture. 
 (d) The Class A-1 Notes, the Class A-2
Notes, the Class A-3 Notes and the Class B Notes shall be Book-Entry Notes and shall be delivered as registered Notes. The Class C Notes shall be Definitive Notes and shall be registered in the Note Register in the name of the Seller.

 Section 2.2 Execution, Authentication and Delivery. 

(a) Each Note shall be dated the date of its authentication, and shall be issuable as a registered Note in the minimum denomination of
$50,000 and in integral multiples of $1,000 (except, if applicable, for one Note representing a residual portion of each class of Notes which may be issued in a different denomination). 

(b) The Notes shall be executed on behalf of the Issuer by any of its Authorized Officers. The signature of any such Authorized Officer
on the Notes may be manual or facsimile. 
 (c) Notes bearing the manual or facsimile signature of individuals who were at any
time Authorized Officers of the Issuer shall bind the Issuer, notwithstanding that such individuals or any of them have ceased to hold such office prior to the authentication and delivery of such Notes or did not hold such office at the date of such
Notes. 
 (d) The Indenture Trustee shall upon Issuer Order authenticate and deliver to or upon the order of the Issuer, the
Notes for original issue in aggregate principal amount of $919,200,000, comprised of (i) Class A-1 Notes in the aggregate principal amount of $326,000,000, (ii) Class A-2 Notes in the aggregate principal amount of $262,000,000,
(iii) Class A-3 Notes in the aggregate principal amount of $217,900,000, (iv) Class B Notes in the aggregate principal amount of $75,200,000, and (v) Class C Notes in the aggregate principal amount of $38,100,000. The
aggregate principal amount of all Notes outstanding at any time may not exceed $919,200,000 except as provided in Section 2.5. 

(e) No Notes shall be entitled to any benefit under this Indenture or be valid or obligatory for any purpose, unless there appears on
such Note a certificate of authentication substantially in the form set forth, in the case of the Class A-1 Notes, in Exhibit B, and in the case of the Class A-2 Notes, the Class A-3 Notes, the Class B Notes and the
Class C Notes, in Exhibit C, executed by the Indenture Trustee by the manual signature of one of its authorized signatories, and such certificate upon any Note shall be conclusive evidence, and the only evidence, that such Note has
been duly authenticated and delivered hereunder. 
  

 - 3 - 

 Section 2.3 Temporary Notes. 

(a) Pending the preparation of Definitive Notes, if any, the Issuer may execute, and upon receipt of an Issuer Order the Indenture
Trustee shall authenticate and deliver, such Temporary Notes which are printed, lithographed, typewritten, mimeographed or otherwise produced, of the tenor of the Definitive Notes in lieu of which they are issued and with such variations as are
consistent with the terms of this Indenture as the officers executing such Notes may determine, as evidenced by their execution of such Notes. 

(b) If Temporary Notes are issued, the Issuer shall cause Definitive Notes to be prepared without unreasonable delay. After the
preparation of Definitive Notes, the Temporary Notes shall be exchangeable for Definitive Notes upon surrender of the Temporary Notes at the Agency Office of the Issuer to be maintained as provided in Section 3.2, without charge to the
Noteholder. Upon surrender for cancellation of any one or more Temporary Notes, the Issuer shall execute and the Indenture Trustee shall authenticate and deliver in exchange therefor a like principal amount of Definitive Notes of authorized
denominations. Until so delivered in exchange, the Temporary Notes shall in all respects be entitled to the same benefits under this Indenture as Definitive Notes. 

Section 2.4 Registration; Registration of Transfer and Exchange of Notes. 

(a) The Issuer shall cause to be kept the Note Register, comprising separate registers for each class of Notes, in which, subject to such
reasonable regulations as the Issuer may prescribe, the Issuer shall provide for the registration of the Notes and the registration of transfers and exchanges of the Notes. The Indenture Trustee shall initially be the Note Registrar for the purpose
of registering the Notes and transfers of the Notes as herein provided. Upon any resignation of any Note Registrar, the Issuer shall promptly appoint a successor Note Registrar or, if it elects not to make such an appointment, assume the duties of
the Note Registrar. 
 (b) If a Person other than the Indenture Trustee is appointed by the Issuer as Note Registrar, the Issuer
will give the Indenture Trustee prompt written notice of the appointment of such Note Registrar and of the location, and any change in the location, of the Note Register. The Indenture Trustee shall have the right to inspect the Note Register at all
reasonable times and to obtain copies thereof. The Indenture Trustee shall have the right to rely upon a certificate executed on behalf of the Note Registrar by an Executive Officer thereof as to the names and addresses of the Noteholders and the
principal amounts and number of such Notes. 
 (c) Upon surrender for registration of transfer of any Note at the Corporate
Trust Office of the Indenture Trustee or the Agency Office of the Issuer (and following the delivery, in the former case, of such Notes to the Issuer by the Indenture Trustee), the Issuer shall execute, the Indenture Trustee shall authenticate and
the Noteholder shall obtain from the Indenture Trustee, in the name of the designated transferee or transferees, one or more new Notes in any authorized denominations, of a like aggregate principal amount. 

 

 - 4 - 

 (d) At the option of the Noteholder, Notes may be exchanged for other Notes of the same
class in any authorized denominations, of a like aggregate principal amount. Upon surrender of the Notes to be exchanged at the Corporate Trust Office of the Indenture Trustee or the Agency Office of the Issuer (and following the delivery, in the
former case, of such Notes to the Issuer by the Indenture Trustee), the Issuer shall execute, and the Indenture Trustee shall authenticate and the Noteholder shall obtain from the Indenture Trustee, the Notes which the Noteholder making the exchange
is entitled to receive. 
 (e) All Notes issued upon any registration of transfer or exchange of Notes shall be the valid
obligations of the Issuer, evidencing the same debt, and entitled to the same benefits under this Indenture, as the Notes surrendered upon such registration of transfer or exchange. 

(f) Every Note presented or surrendered for registration of transfer or exchange shall be duly endorsed by, or be accompanied by a
written instrument of transfer in form satisfactory to the Indenture Trustee and the Note Registrar, duly executed by the Holder thereof or such Holder’s attorney duly authorized in writing, with such signature guaranteed by a commercial bank
or trust company located, or having a correspondent located, in the City of New York or the city in which the Corporate Trust Office of the Indenture Trustee is located, or by a member firm of a national securities exchange, and such other documents
as the Indenture Trustee may require. 
 (g) No service charge shall be made to a Holder for any registration of transfer or
exchange of Notes, but the Issuer or Indenture Trustee may require payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in connection with any registration of transfer or exchange of Notes, other than
exchanges pursuant to Section 2.3 or Section 9.6 not involving any transfer. 
 (h) The preceding
provisions of this Section 2.4 notwithstanding, the Issuer shall not be required to transfer or make exchanges, and the Note Registrar need not register transfers or exchanges, of Notes that: (i) have been selected for redemption
pursuant to Article X, if applicable or (ii) are due for repayment in full within 15 days of surrender to the Corporate Trust Office or the Agency Office. 

Section 2.5 Mutilated, Destroyed, Lost or Stolen Notes. 

(a) If (i) any mutilated Note is surrendered to the Indenture Trustee, or the Indenture Trustee receives evidence to its
satisfaction of the destruction, loss or theft of any Note, and (ii) there is delivered to the Indenture Trustee such security or indemnity as may be required by it to hold the Issuer and the Indenture Trustee harmless, then, in the absence of
notice to the Issuer, the Note Registrar or the Indenture Trustee that such Note has been acquired by a protected purchaser, the Issuer shall execute and upon the Issuer’s request the Indenture Trustee shall authenticate and deliver, in
exchange for or in lieu of any such mutilated, destroyed, lost or stolen Note, a replacement Note of a like class and aggregate principal amount; provided, however, that if any such destroyed, lost or stolen Note, but not a mutilated
Note, shall have become or within seven days shall be due and payable in full, or shall have been called for redemption, instead of issuing a replacement Note, the Issuer may make payment to the Holder of such destroyed, lost or stolen Note when so
due or payable or upon the Redemption Date (if applicable) or Optional Purchase Date (if applicable) without surrender thereof. 
  

 - 5 - 

 (b) If, after the delivery of a replacement Note or payment in respect of a destroyed, lost
or stolen Note pursuant to Section 2.5(a), any protected purchaser of the original Note in lieu of which such replacement Note was issued presents for payment such original Note, the Issuer and the Indenture Trustee shall be entitled to
recover such replacement Note (or such payment) from (i) any Person to whom it was delivered, (ii) the Person taking such replacement Note from the Person to whom such replacement Note was delivered, or (iii) any assignee of such
Person, except any protected purchaser, and the Issuer and the Indenture Trustee shall be entitled to recover upon the security or indemnity provided therefor to the extent of any loss, damage, cost or expense incurred by the Issuer or the Indenture
Trustee in connection therewith. 
 (c) In connection with the issuance of any replacement Note under this
Section 2.5, the Issuer may require the payment by the Holder of such Note of a sum sufficient to cover any tax or other governmental charge that may be imposed in relation thereto and any other reasonable expenses (including all fees
and expenses of the Indenture Trustee) connected therewith. 
 (d) Any duplicate Note issued pursuant to this
Section 2.5 in replacement for any mutilated, destroyed, lost or stolen Note shall constitute an original additional contractual obligation of the Issuer, whether or not the mutilated, destroyed, lost or stolen Note shall be found at any
time or be enforced by any Person, and shall be entitled to all the benefits of this Indenture equally and proportionately with any and all other Notes duly issued hereunder. 

(e) The provisions of this Section 2.5 are exclusive and shall preclude (to the extent lawful) all other rights and remedies
with respect to the replacement or payment of mutilated, destroyed, lost or stolen Notes. 
 Section 2.6 Persons Deemed
Noteholders. Prior to due presentment for registration of transfer of any Note, the Issuer, the Indenture Trustee and any of their agents may treat the Person in whose name any Note is registered (as of the day of determination) as the
Noteholder for the purpose of receiving payments of principal of and interest on such Note and for all other purposes whatsoever, whether or not such Note be overdue, and neither the Issuer, the Indenture Trustee nor any agent of the Issuer or the
Indenture Trustee shall be affected by notice to the contrary. 
 Section 2.7 Payment of Principal and Interest.

 (a) Interest on the Class A-1 Notes shall accrue in the manner set forth in Exhibit B at the applicable
Interest Rate for such class, and such interest shall be payable on each Distribution Date, in accordance with the priorities set forth in Section 8.2(c) and Section 8.2(d), as specified in the form of Note set forth in
Exhibit B. Interest on the Class A-2 Notes, the Class A-3 Notes, the Class B Notes and the Class C Notes shall accrue in the manner set forth in Exhibit C at the applicable Interest Rate for such class,
and shall be payable on each Distribution Date, in accordance with the priorities set forth in Section 8.2(c) and Section 8.2(d), as specified in the form of Note set forth in Exhibit C. Any installment of
interest payable on any Note shall 
  

 - 6 - 

 
be punctually paid or duly provided for by a deposit by or at the direction of the Issuer or the Servicer into the Note Distribution Account before each Distribution Date for payment to
Noteholders on the related Distribution Date and shall be paid to the Person in whose name such Note (or one or more Predecessor Notes) is registered on the applicable Record Date, by check mailed first-class, postage prepaid to such Person’s
address as it appears on the Note Register on such Record Date; provided, however, that, unless and until Definitive Notes have been issued pursuant to Section 2.12, with respect to Notes registered on the applicable Record
Date in the name of the Note Depository (initially, Cede & Co.) or the Seller, payment shall be made by wire transfer in immediately available funds to the account designated by the Note Depository or the Seller, as applicable. 

(b) Prior to the occurrence of an Event of Default and a declaration in accordance with Section 5.2(a) that the Notes have
become immediately due and payable, the principal of each class of Notes shall be payable in full on the Final Scheduled Distribution Date for such class and, to the extent of funds available therefor, in installments on the Distribution Dates (if
any) preceding the Final Scheduled Distribution Date for such class, in the amounts and in accordance with the priorities set forth in Section 8.2(c) and Section 8.2(d)(ii). All principal payments on each class of Notes shall
be made pro rata to the Noteholders of such class entitled thereto. Any installment of principal payable on any Note shall be punctually paid or duly provided for by a deposit by the Indenture Trustee in accordance with the provisions of
Section 8.2 into the Note Distribution Account prior to the applicable Distribution Date and shall be paid to the Person in whose name such Note (or one or more Predecessor Notes) is registered on the applicable Record Date, by check
mailed first-class, postage prepaid to such Person’s address as it appears on the Note Register on such Record Date; provided, however, that, unless and until Definitive Notes have been issued pursuant to Section 2.12,
with respect to Notes registered on the Record Date in the name of the Note Depository or the Seller, payment shall be made by wire transfer in immediately available funds to the account designated by the Note Depository or the Seller, as appicable,
except for: (i) the final installment of principal on any Note and (ii) the Redemption Price for the Notes redeemed pursuant to Section 10.1, which, in each case, shall be payable as provided herein. The funds represented by
any such checks in respect of interest or principal returned undelivered shall be held in accordance with Section 3.3. 

(c) [Reserved]. 

(d) From and after the occurrence of an Event of Default and a declaration in accordance with Section 5.2(a) that the Notes
have become immediately due and payable, principal on the Notes shall be payable as provided in Section 8.2(d)(iii) or 8.2(d)(iv), as applicable. 

(e) With respect to any Distribution Date on which the final installment of principal and interest on a class of Notes is to be paid, the
Indenture Trustee shall notify each Noteholder of record of such class as of the Record Date for such Distribution Date of the fact that the final installment of principal of and interest on such Note is to be paid on such Distribution Date. Such
notice shall be sent (i) on such Record Date by facsimile, if Book-Entry Notes are outstanding, or (ii) not later than three Business Days after such Record Date in accordance with Section 11.5(a), if Definitive Notes are
outstanding, and shall specify that such final installment shall be payable only upon presentation and surrender of such Note and shall 

 

 - 7 - 

 
specify the place where such Note may be presented and surrendered for payment of such installment and the manner in which such payment shall be made. Notices in connection with redemptions of
Notes shall be mailed to Noteholders as provided in Section 10.2. Within 60 days of the surrender pursuant to this Section 2.7(e) or cancellation pursuant to Section 2.8 of all of the Notes of a particular class,
the Indenture Trustee shall provide each of the Rating Agencies with written notice stating that all Notes of such class have been surrendered or canceled. 

Section 2.8 Cancellation of Notes. All Notes surrendered for payment, redemption, exchange or registration of transfer shall,
if surrendered to any Person other than the Indenture Trustee, be delivered to the Indenture Trustee and shall be promptly canceled by the Indenture Trustee. The Issuer may at any time deliver to the Indenture Trustee for cancellation any Notes
previously authenticated and delivered hereunder which the Issuer may have acquired in any manner whatsoever, and all Notes so delivered shall be promptly canceled by the Indenture Trustee. No Notes shall be authenticated in lieu of or in exchange
for any Notes canceled as provided in this Section 2.8, except as expressly permitted by this Indenture. All canceled Notes may be held or disposed of by the Indenture Trustee in accordance with its standard retention or disposal policy
as in effect at the time unless the Issuer shall direct by an Issuer Order that they be returned to it; provided, however, that such Issuer Order is timely and the Notes have not been previously disposed of by the Indenture Trustee. The Indenture
Trustee shall certify to the Issuer that surrendered Notes have been duly canceled and retained or destroyed, as the case may be. 

Section 2.9 [Reserved]. 

Section 2.10 Book-Entry Notes. Except as provided in Section 2.12, the Notes, upon original issuance, shall be
issued in the form of a typewritten Note or Notes representing the Book-Entry Notes, to be delivered to The Depository Trust Company, the initial Clearing Agency by or on behalf of the Issuer. Such Note or Notes shall be registered on the Note
Register in the name of the Note Depository (initially, Cede & Co.), and no Note Owner shall receive a Definitive Note representing such Note Owner’s interest in such Note, except as provided in Section 2.12. Unless and
until Definitive Notes have been issued to the Note Owners pursuant to Section 2.12: 
 (a) the provisions of this
Section 2.10 shall be in full force and effect; 
 (b) the Note Registrar and the Indenture Trustee shall be
entitled to deal with the Clearing Agency for all purposes of this Indenture (including the payment of principal of and interest on the Notes and the giving of instructions or directions hereunder) as the sole holder of the Notes and shall have no
obligation to the Note Owners; 
 (c) to the extent that the provisions of this Section 2.10 conflict with any other
provisions of this Indenture, the provisions of this Section 2.10 shall control; 
 (d) the rights of the Note
Owners shall be exercised only through the Clearing Agency and shall be limited to those established by law and agreements between such Note Owners and the Clearing Agency and/or the Clearing Agency Participants and unless and until Definitive Notes
are issued pursuant to Section 2.12, the initial Clearing Agency shall make 
  

 - 8 - 

 
book-entry transfers between the Clearing Agency Participants and receive and transmit payments of principal of and interest on the Notes to such Clearing Agency Participants, pursuant to the
Note Depository Agreement; and 
 (e) whenever this Indenture requires or permits actions to be taken based upon instructions or
directions of Holders of Notes evidencing a specified percentage of the Outstanding Amount of the Controlling Class, the Clearing Agency shall be deemed to represent such percentage only to the extent that it has (i) received written
instructions to such effect from Note Owners and/or Clearing Agency Participants owning or representing, respectively, such required percentage of the beneficial interest in the Notes of such class and (ii) has delivered such instructions to
the Indenture Trustee. 
 Section 2.11 Notices to Clearing Agency. Whenever a notice or other communication to the
Noteholders is required under this Indenture, unless and until Definitive Notes shall have been issued to Note Owners pursuant to Section 2.12, the Indenture Trustee shall give all such notices and communications specified herein to be
given to Noteholders to the Clearing Agency and shall have no other obligation to the Note Owners. 
 Section 2.12
Definitive Notes. The Class C Notes, upon issuance, will be in the form of Definitive Notes, but, at the request of the holder thereof (other than any Affiliate of (x) the Issuer or (y) the Seller which is not, in each case, a
United States person within the meaning of Section 7701(a)(30) of the Code) and after such holder delivers the opinion described in Section 2.15(c), may be exchanged for Book-Entry Notes. If (a) the Administrator advises the
Indenture Trustee in writing that the Clearing Agency is no longer willing or able to properly discharge its responsibilities with respect to the Notes and the Issuer is unable to locate a qualified successor, (b) the Administrator, at its
option, advises the Indenture Trustee in writing that it elects to terminate the book-entry system through the Clearing Agency, or (c) after the occurrence of an Event of Default or a Servicer Default, Note Owners representing beneficial
interests aggregating at least a majority of the Outstanding Amount of the Controlling Class advise the Clearing Agency in writing that the continuation of a book-entry system through the Clearing Agency is no longer in the best interests of the
Note Owners, then the Clearing Agency shall notify all Note Owners and the Indenture Trustee of the occurrence of any such event and of the availability of Definitive Notes to Note Owners requesting the same. Upon surrender to the Indenture Trustee
of the typewritten Note or Notes representing the Book-Entry Notes by the Clearing Agency, accompanied by registration instructions, the Issuer shall execute and the Indenture Trustee shall authenticate the Definitive Notes in accordance with the
instructions of the Clearing Agency. None of the Issuer, the Note Registrar or the Indenture Trustee shall be liable for any delay in delivery of such instructions and may conclusively rely on, and shall be protected in relying on, such
instructions. Upon the issuance of Definitive Notes, the Indenture Trustee shall recognize the Holders of the Definitive Notes as Noteholders. 

Section 2.13 Seller as Noteholder. The Seller in its individual or any other capacity may become the owner or pledgee of
Notes and may otherwise deal with the Issuer or its affiliates with the same rights it would have if it were not the Seller. 

Section 2.14 Tax Treatment. The Issuer in entering into this Indenture, and the Noteholders and the Note Owners (other than
the Seller), by acquiring any Note or interest 
  

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therein, (a) express their intention that the Notes qualify under applicable tax law as indebtedness secured by the Collateral and (b) unless otherwise required by appropriate taxing
authorities, agree to treat the Notes as indebtedness secured by the Collateral for the purpose of federal income taxes, state and local income and franchise taxes, and any other taxes imposed upon, measured by or based upon gross or net income.

 Section 2.15 Transfer Restrictions. 

(a) The Notes have not been registered and will not be registered under the Securities Act, or any state securities laws, and may not be
offered or sold within the United States or to, or for the account or benefit of, U.S. Persons (as such terms are defined under the Securities Act), except pursuant to an exemption from, or in a transaction not subject to, the registration
requirements of the Securities Act and applicable state securities laws. 
 (b) Except for the Seller, each Noteholder and Note
Owner, by acquiring any Note or interest therein, will be deemed to represent and agree (in addition to any representation made under Section 2.14) that: 

(i) Such Person (i) is a Qualified Institutional Buyer, (ii) is aware that the sale to it is being made in
reliance on the exemption from registration provided by Rule 144A under the Securities Act and, if it is acquiring any such Notes or any interest or participation therein for the account of any other Qualified Institutional Buyer, such other
Qualified Institutional Buyer is aware that the sale is being made in reliance on Rule 144A, and (iii) is acquiring the Notes or any interest or participation therein for its own account or for one or more accounts, each of which is a
Qualified Institutional Buyer, and as to each of which such Person exercises sole investment discretion, and in a principal amount of not less than the minimum denomination of such Notes for such Person and for each such account. 

(ii) Such Person and any transferee understand that the Notes are being offered only in a transaction not involving any
public offering in the United States within the meaning of the Securities Act, the Notes have not been and will not be registered under the Securities Act or any state or other applicable securities laws, and, if in the future such Person or any
transferee decides to offer, resell, pledge or otherwise transfer the Notes, such Notes may be offered, resold, pledged or otherwise transferred only in accordance with the Indenture and only (i) so long as such Notes are eligible for resale
pursuant to Rule 144A, to a person whom the seller reasonably believes is a Qualified Institutional Buyer acquiring the Notes for its own account or as a fiduciary or agent for others (which others must also be Qualified Institutional Buyers)
to whom notice is given that the resale or other transfer is being made in reliance on Rule 144A, (ii) pursuant to an effective registration statement under the Securities Act (however, there is no undertaking to register the Notes under
any United States federal or state securities laws, any “Blue Sky” laws or any securities laws of any other jurisdiction on any future date), or (iii) if the Notes are not eligible for resale pursuant to Rule 144A, pursuant to an
exemption from registration under the Securities Act other than Rule 144A, and, in each case, in accordance with applicable United States federal or state securities laws, and “Blue Sky” laws or any securities laws of any other
applicable jurisdiction. Such Person and any 
  

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transferee acknowledges that no representation is made by the Issuer or the Initial Purchasers, as the case may be, as to the availability of any exemption under the Securities Act, any
“Blue Sky” laws or any applicable state securities laws for resale of the Notes. 
 (iii) Unless the
relevant legend set out below has been removed from the relevant Notes, such Person shall notify each transferee of the Notes that (i) such Notes have not been registered under the Securities Act, (ii) the holder of such Notes is subject
to the restrictions on the resale or other transfer thereof described in Section 2.15(b)(ii) above, and (iii) such transferee shall be deemed to have represented (A) either (1) if the Notes are eligible for resale pursuant
to Rule 144 A, such transferee is a Qualified Institutional Buyer acquiring the Notes for its own account or as a fiduciary for others (which are Qualified Institutional Buyers), or (2) if the Notes are not eligible for resale pursuant to
Rule 144 A, that such transferee is acquiring such Notes in reliance on an exemption under the Securities Act other than Rule 144A, and (B) that such transferee shall notify its subsequent transferees as to the foregoing. 

(iv) Such Person and any transferee understand that an investment in the Notes involves certain risks, including the risk
of loss of all or a substantial part of its investment. Such Person and any transferee have had access to such financial and other information concerning the Issuer and the Notes as it deemed necessary or appropriate in order to make an informed
investment decision with respect to its purchase of the Notes, including an opportunity to ask questions of and request information from the Servicer and the Issuer. Such Person and any transferee have such knowledge and experience in financial and
business matters as to be capable of evaluating the merits and risks of its investment in the Notes, and such Person and any transferee and any accounts for which it is acting are each able to bear the economic risk of its investment for an
indefinite period of time. 
 (v) In connection with the purchase of the Notes (i) none of the Issuer, the
Initial Purchasers, the Servicer, NFC, the Seller, the Owner Trustee or the Indenture Trustee is acting as a fiduciary or financial or investment adviser for such Person or any transferee; (ii) such Person or any transferee is not relying (for
purposes of making any investment decision or otherwise) upon any advice, counsel or representations (whether written or oral) of the Issuer, the Initial Purchasers, the Servicer, NFC, the Seller, the Owner Trustee or the Indenture Trustee other
than in a current confidential offering memorandum supplement or the confidential offering memorandum for such Notes and any representations expressly set forth in a written agreement with such party; (iii) none of the Issuer, the Initial
Purchasers, the Servicer, NFC, the Seller, the Owner Trustee or the Indenture Trustee has given to such Person or any transferee (directly or indirectly through any other person) any assurance, guarantee, or representation whatsoever as to the
expected or projected success, profitability, return, performance, result, effect, consequence or benefit (including legal, regulatory, tax, financial, accounting, or otherwise) of its purchase or the documentation for the Notes, (iv) such
Person or any transferee has consulted with its own legal, regulatory, tax, business, investment, financial and accounting advisers to the extent it has deemed necessary, and it has made its own investment decisions (including decisions regarding
the suitability of any 
  

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transaction pursuant to this Indenture) based upon its own judgment and upon any advice from such advisers as it has deemed necessary and not upon any view expressed by the Issuer, the Initial
Purchasers, the Servicer, NFC, the Seller or the Indenture Trustee, (v) such Person or any transferee has determined that the rates, prices or amounts and other terms of the purchase and sale of the Notes reflect those in the relevant market
for similar transactions, (vi) such Person or any transferee is purchasing the Notes with a full understanding of all of the terms, conditions and risks thereof (economic and otherwise), and is capable of assuming and willing to assume
(financially and otherwise) these risks, and (vii) such Person or any transferee is a sophisticated investor familiar with transactions similar to its investment in the Notes. 

(vi) Such Person and each transferee acknowledge that each Note will bear a legend to the following effect unless
determined otherwise by the Issuer: 
 THIS NOTE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT
OF 1933, AS AMENDED (THE “SECURITIES ACT”) ANY “BLUE SKY” LAWS OR THE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THIS NOTE MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED, EXCEPT (A) (1) TO A PERSON
THAT THE HOLDER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT (A “QUALIFIED INSTITUTIONAL BUYER”) WHO IS EITHER PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A
QUALIFIED INSTITUTIONAL BUYER, IN A PRINCIPAL AMOUNT OF NOT LESS THAN $50,000 AND IN INTEGRAL MULTIPLES OF $1,000 IN EXCESS THEREOF, FOR THE PURCHASER AND FOR EACH SUCH ACCOUNT, IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A SO LONG AS THIS
NOTE IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, SUBJECT TO THE SATISFACTION OF CERTAIN CONDITIONS SPECIFIED IN THE INDENTURE, (2) IF THIS NOTE IS NOT ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER
THE SECURITIES ACT OTHER THAN RULE 144A IN A PRINCIPAL AMOUNT OF NOT LESS THAN $50,000 AND IN INTEGRAL MULTIPLES OF $1,000 IN EXCESS THEREOF, SUBJECT TO THE SATISFACTION OF CERTAIN CONDITIONS SPECIFIED IN THE INDENTURE, OR (3) PURSUANT TO AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT (HOWEVER, THERE IS NO UNDERTAKING TO REGISTER THIS NOTE UNDER ANY UNITED STATES FEDERAL OR STATE SECURITIES LAWS OR ANY SECURITIES LAWS OF ANY OTHER JURISDICTION ON ANY FUTURE DATE), AND
(B) IN ACCORDANCE WITH THE SECURITIES ACT, ANY “BLUE SKY” LAWS AND ALL APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES AND ANY OTHER APPLICABLE JURISDICTION. EACH PURCHASER AND TRANSFEREE WILL BE DEEMED TO HAVE MADE
CERTAIN REPRESENTATIONS AND AGREEMENTS SET FORTH IN THE INDENTURE. ANY TRANSFER IN VIOLATION OF THE 
  

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FOREGOING WILL BE OF NO FORCE AND EFFECT, WILL BE VOID AB INITIO, AND WILL NOT OPERATE TO TRANSFER ANY RIGHTS TO THE TRANSFEREE, NOTWITHSTANDING ANY INSTRUCTIONS TO THE CONTRARY TO THE ISSUER,
THE INDENTURE TRUSTEE OR ANY INTERMEDIARY. 
 EACH HOLDER OF A NOTE WILL BE DEEMED TO REPRESENT AND WARRANT THAT EITHER
(i) IT IS NOT ACQUIRING THE NOTE WITH THE ASSETS OF (A) AN “EMPLOYEE BENEFIT PLAN” AS DEFINED IN SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”), THAT IS SUBJECT TO THE
PROVISIONS OF TITLE I OF ERISA, (B) A “PLAN” SUBJECT TO SECTION 4975 OF THE U.S. INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”), (C) AN ENTITY WHOSE UNDERLYING ASSETS ARE TREATED UNDER REGULATIONS ISSUED BY THE
U.S. DEPARTMENT OF LABOR, AS MODIFIED BY SECTION 3(42) OF ERISA, TO INCLUDE PLAN ASSETS BY REASON OF INVESTMENT BY AN EMPLOYEE BENEFIT PLAN OR PLAN IN SUCH ENTITY OR (D) ANY OTHER PLAN THAT IS SUBJECT TO ANY LAW THAT IS SUBSTANTIALLY SIMILAR TO
ERISA OR SECTION 4975 OF THE CODE OR (ii) THE ACQUISITION AND HOLDING OF THE NOTE WILL NOT GIVE RISE TO A NON-EXEMPT PROHIBITED TRANSACTION UNDER SECTION 406 OF ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION OF ANY SUBSTANTIALLY SIMILAR
APPLICABLE LAW. 
 (vii) Such Person and any transferee is either (i) not a Benefit Plan or any other plan
subject to federal, state, local or non-U.S. laws or regulations that are substantially similar to Section 406 of ERISA or Section 4975 of the Code or (ii) its acquisition, holding and disposition of the Note will not result in a
non-exempt prohibited transaction under Section 406 of ERISA or Section 4975 of the Code or a violation of any substantially similar law. 

(viii) Such Person and any transferee are not purchasing the Notes with a view to the resale, distribution or other
disposition thereof in violation of the Securities Act. 
 (ix) Such Person and any transferee will provide
notice to each Person to whom it proposes to transfer any interest in the Notes of the transfer restrictions and representations set forth in this Indenture, including the exhibits hereto. 

(x) Such Person or any transferee acknowledges that the Notes do not represent deposits with or other liabilities of the
Indenture Trustee, the Owner Trustee, the Initial Purchasers, the Servicer, NFC, the Seller or any entity related to any of them. Unless otherwise expressly provided in this Indenture, each of the Indenture Trustee, the Owner Trustee, the Initial
Purchasers, the Servicer, NFC, the Seller or any entity related to any of them shall not, in any way, be responsible for or stand behind the capital value or the performance of the Notes or the assets held by the Issuer. 

 

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 (xi) Such Person acknowledges that the Indenture Trustee, the Issuer, the
Initial Purchasers, the Servicer, NFC, the Seller and others will rely upon the truth and accuracy of the foregoing acknowledgments, representations and agreements and agrees that, if any of the acknowledgments, representations or agreements deemed
to have been made by it by virtue of its purchase of a Note (or a beneficial interest therein) is no longer accurate, then it shall promptly so notify the sponsor and the Seller in writing. 

(c) (i) A sale, transfer, assignment, exchange, participation, pledge, hypothecation, rehypothecation, or other grant of a security
interest in or disposition of (each a “Transfer”) any interest in Class C Notes may only be made to a Person who is a United States person (within the meaning of Section 7701(a)(30) of the Code); (ii) a Person other than
the Seller acquiring Class C Notes or an interest therein shall be deemed to have made the representations set forth in Section 2.14; and (iii) no Transfer of any interest in Class C Notes shall be made (A) to any one Person in
an amount less than 100% of the Note Principal Balance of the Class C Notes or (B) to a grantor trust, S corporation, or partnership where more than 50% of the value of a beneficial owner’s interest in such pass through entity is
attributable to the pass-through entity’s interest in the Class C Notes together with other direct or indirect interests in the Issuer, in each case, unless (x) an opinion of counsel satisfactory to the Indenture Trustee and the Seller
that such Transfer shall not cause the Issuer to be treated as an association (or publicly traded partnership) taxable as a corporation for federal income tax purposes shall have been delivered to the Indenture Trustee and the Seller and
(y) the Seller shall have provided prior written approval; provided, however, that the restrictions in Section 2.15(c)(i) and 2.15(c)(iii) shall not continue to apply to any Class C Notes to the extent
counsel, satisfactory to the Indenture Trustee and the Seller, has rendered an opinion, with respect to the initial Transfer by the Seller, to the effect that such Class C Notes transferred will be characterized as indebtedness for federal income
tax purposes. Any attempted transfer in contravention of this Section 2.15(c) will be void ab initio and the purported transferor will continue to be treated as the owner of the Class C Notes. 

ARTICLE III 

COVENANTS 

Section 3.1 Payment of Principal and Interest. The Issuer shall duly and punctually pay the principal of and interest on the
Notes in accordance with the terms of the Notes and this Indenture. On each Distribution Date and on the Redemption Date (if applicable) or Optional Purchase Date (if applicable), the Indenture Trustee shall distribute amounts on deposit in the Note
Distribution Account to the Noteholders in accordance with Sections 2.7 and 8.2, less amounts properly withheld under the Code by any Person from a payment to any Noteholder of interest and/or principal. Any amounts so withheld
shall be considered as having been paid by the Issuer to such Noteholder for all purposes of this Indenture. 
 Section 3.2
Maintenance of Agency Office. As long as any of the Notes remains outstanding, the Issuer shall maintain in the Borough of Manhattan, the City of New York, an office (the “Agency Office”), being an office or agency where
Notes may be surrendered to the Issuer for registration of transfer or exchange, and where notices and demands to or upon the Issuer in respect of the Notes and this Indenture may be served. The Issuer hereby initially 

 

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appoints the Indenture Trustee to serve as its agent for the foregoing purposes. The Issuer shall give prompt written notice to the Indenture Trustee of the location, and of any change in the
location, of the Agency Office. If at any time the Issuer shall fail to maintain any such office or agency or shall fail to furnish the Indenture Trustee with the address thereof, such surrenders, notices and demands may be made or served at the
Corporate Trust Office of the Indenture Trustee, and the Issuer hereby appoints the Indenture Trustee as its agent to receive all such surrenders, notices and demands. 

Section 3.3 Money for Payments to Be Held in Trust. 

(a) As provided in Section 8.2, all payments of amounts due and payable with respect to any Notes that are to be made from
amounts withdrawn from the Note Distribution Account pursuant to Section 8.2(d) shall be made on behalf of the Issuer by the Indenture Trustee or by another Paying Agent, and no amounts so withdrawn from the Note Distribution Account for
payments of Notes shall be paid over to the Issuer except as provided in this Section 3.3. 
 (b) On or before each
Transfer Date and/or the Redemption Date (if applicable) or Optional Purchase Date (if applicable), the Indenture Trustee shall deposit in the Note Distribution Account an aggregate sum sufficient to pay the amounts then becoming due with respect to
the Notes, such sum to be held in trust for the benefit of the Persons entitled thereto. 
 (c) The Issuer shall cause each
Paying Agent other than the Indenture Trustee to execute and deliver to the Indenture Trustee an instrument in which such Paying Agent shall agree with the Indenture Trustee (and if the Indenture Trustee acts as Paying Agent, it hereby so agrees),
subject to the provisions of this Section 3.3, that such Paying Agent shall: 
 (i) hold all sums
held by it for the payment of amounts due with respect to the Notes in trust for the benefit of the Persons entitled thereto until such sums shall be paid to such Persons or otherwise disposed of as herein provided and pay such sums to such Persons
as herein provided; 
 (ii) give the Indenture Trustee notice of any default by the Issuer (or any other obligor
upon the Notes) of which it has actual knowledge in the making of any payment required to be made with respect to the Notes; 

(iii) at any time during the continuance of any such default, upon the written request of the Indenture Trustee, forthwith
pay to the Indenture Trustee all sums so held in trust by such Paying Agent; 
 (iv) immediately resign as a
Paying Agent and forthwith pay to the Indenture Trustee all sums held by it in trust for the payment of Notes if at any time it ceases to meet the standards required to be met by a Paying Agent in effect at the time of determination; and 

(v) comply with all requirements of the Code with respect to the withholding from any payments made by it on any Notes of
any applicable withholding taxes imposed thereon and with respect to any applicable reporting requirements in connection therewith. 
  

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 (d) The Issuer may at any time, for the purpose of obtaining the satisfaction and discharge
of this Indenture or for any other purpose, by Issuer Order direct any Paying Agent to pay to the Indenture Trustee all sums held in trust by such Paying Agent, such sums to be held by the Indenture Trustee upon the same trusts as those upon which
the sums were held by such Paying Agent, and, upon such payment by any Paying Agent to the Indenture Trustee, such Paying Agent shall be released from all further liability with respect to such money. 

(e) Subject to applicable laws with respect to escheat of funds, any money held by the Indenture Trustee or any Paying Agent in trust for
the payment of any amount due with respect to any Note and remaining unclaimed for one year after such amount has become due and payable shall be discharged from such trust and be paid by the Indenture Trustee to the Issuer on Issuer Request; and
the Holder of such Note shall thereafter, as an unsecured general creditor, look only to the Issuer for payment thereof (but only to the extent of the amounts so paid to the Issuer), and all liability of the Indenture Trustee or such Paying Agent
with respect to such trust money shall thereupon cease; provided, however, that the Indenture Trustee or such Paying Agent, before being required to make any such payment, may at the expense of the Issuer cause to be published once, in
a newspaper published in the English language, customarily published on each Business Day and of general circulation in the City of New York, notice that such money remains unclaimed and that, after a date specified therein, which shall not be less
than 30 days from the date of such publication, any unclaimed balance of such money then remaining shall be paid to the Issuer. The Indenture Trustee may also adopt and employ, at the expense of the Issuer, any other reasonable means of notification
of such payment (including, but not limited to, mailing notice of such payment to Holders whose Notes have been called but have not been surrendered for redemption or whose right to or interest in monies due and payable but not claimed is
determinable from the records of the Indenture Trustee or of any Paying Agent, at the last address of record for each such Holder). 

Section 3.4 Existence. The Issuer shall keep in full effect its existence, rights and franchises as a statutory trust under
the laws of the State of Delaware (unless it becomes, or any successor Issuer hereunder is or becomes, organized under the laws of any other State or of the United States of America, in which case the Issuer shall keep in full effect its existence,
rights and franchises under the laws of such other jurisdiction) and shall obtain and preserve its qualification to do business in each jurisdiction in which such qualification is or shall be necessary to protect the validity and enforceability of
this Indenture, the Notes, the Collateral and each other instrument or agreement included in the Owner Trust Estate. The Issuer shall maintain all necessary licenses and approvals in all jurisdictions in which the ownership or lease of its property
or the conduct of its business requires or shall require such licenses and approvals. 
 Section 3.5 Protection of
Collateral; Acknowledgment of Pledge. The Issuer shall from time to time execute and deliver all such supplements and amendments hereto and all such financing statements, amendments thereto, continuation statements, assignments, certificates,
instruments of further assurance and other instruments, and shall take such other action as may be determined to be necessary or advisable in an Opinion of Counsel to either the Owner Trustee or the Indenture Trustee to: 

(a) maintain or preserve the lien and security interest (and the priority thereof) of this Indenture or carry out more effectively the
purposes hereof including by making the necessary filings of financing statements or amendments thereto within sixty days after the occurrence of any of the following: (i) any change in the name of the Issuer (or its successor), (ii) any
change in the jurisdiction of formation of the Issuer (or its successor), and (iii) any merger or consolidation or other change in the identity or organizational structure of the Issuer and by promptly notifying the Indenture Trustee of any
such filings; 
  

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 (b) perfect, publish notice of or protect the validity of any Grant made or to be made by
this Indenture; 
 (c) enforce the rights of the Indenture Trustee and the Noteholders in any of the Collateral; or 

(d) preserve and defend title to the Collateral and the rights of the Indenture Trustee and the Noteholders in such Collateral against
the claims of all Persons and parties, and the Issuer hereby authorizes the Indenture Trustee to execute and file any financing statement, continuation statement or other instrument required by the Indenture Trustee pursuant to this
Section 3.5. 
 Section 3.6 Opinions as to Collateral. 

(a) On the Closing Date, the Issuer shall furnish to the Indenture Trustee an Opinion of Counsel either stating that, in the opinion of
such counsel, such action has been taken with respect to the recording and filing of this Indenture, any indentures supplemental hereto and any other requisite documents, and with respect to the execution and filing of any financing statements and
continuation statements as are necessary to perfect and make effective the lien and security interest of this Indenture and reciting the details of such action, or stating that, in the opinion of such counsel, no such action is necessary to make
such lien and security interest effective. 
 (b) On or before April 15 in each calendar year, beginning April 15,
2011, the Issuer shall furnish to the Indenture Trustee an Opinion of Counsel either stating that, in the opinion of such counsel, such action has been taken with respect to the recording, filing, re-recording and refiling of this Indenture, any
indentures supplemental hereto and any other requisite documents and with respect to the execution and filing of any financing statements and continuation statements as is necessary to maintain the lien and security interest created by this
Indenture and reciting the details of such action or stating that in the opinion of such counsel no such action is necessary to maintain the lien and security interest created by this Indenture. Such Opinion of Counsel shall also describe the
recording, filing, re-recording and refiling of this Indenture, any indentures supplemental hereto and any other requisite documents and the execution and filing of any financing statements and continuation statements that will, in the opinion of
such counsel, be required to maintain the lien and security interest of this Indenture until April 15 in the following calendar year. 
  

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 Section 3.7 Performance of Obligations; Servicing of Receivables. 

(a) The Issuer shall not take any action and shall use its reasonable efforts not to permit any action to be taken by others that would
release any Person from any of such Person’s material covenants or obligations under any instrument or agreement included in the Collateral or that would result in the amendment, hypothecation, subordination, termination or discharge of, or
impair the validity or effectiveness of, any such instrument or agreement, except as otherwise expressly provided in this Indenture, the Pooling Agreement, the Servicing Agreement, the Purchase Agreement, the Administration Agreement or such other
instrument or agreement. 
 (b) The Issuer may contract with other Persons to assist it in performing its duties under this
Indenture, and any performance of such duties by a Person identified to the Indenture Trustee in the Basic Documents or an Officers’ Certificate of the Issuer shall be deemed to be action taken by the Issuer. Initially, the Issuer has
contracted with the Servicer and the Administrator to assist the Issuer in performing its duties under this Indenture. 
 (c)
The Issuer shall punctually perform and observe all of its obligations and agreements contained in this Indenture, the Basic Documents and in the instruments and agreements included in the Collateral, including but not limited to filing or causing
to be filed all UCC financing statements and continuation statements required to be filed under the terms of this Indenture, the Pooling Agreement and the Purchase Agreement in accordance with and within the time periods provided for herein and
therein. 
 (d) If the Issuer shall have knowledge of the occurrence of a Servicer Default under the Servicing Agreement, the
Issuer shall promptly notify the Indenture Trustee and the Rating Agencies thereof, and shall specify in such notice the response or action, if any, the Issuer has taken or is taking with respect to such default. If a Servicer Default shall arise
from the failure of the Servicer to perform any of its duties or obligations under the Servicing Agreement with respect to the Receivables, the Issuer and the Indenture Trustee shall take all reasonable steps available to them pursuant to the
Servicing Agreement to remedy such failure. 
 (e) Without derogating from the absolute nature of the assignment granted to the
Indenture Trustee under this Indenture or the rights of the Indenture Trustee hereunder, the Issuer agrees that it shall not consent so as to permit NFRRC or NFC to, without the prior written consent of the Indenture Trustee or the Holders of at
least a majority in Outstanding Amount of the Controlling Class, as required in accordance with the terms thereof, amend, modify, waive, supplement, terminate or surrender, or agree to any amendment, modification, supplement, termination, waiver or
surrender of, the terms of any Collateral or any of the Basic Documents, or waive timely performance or observance by the Seller under the Pooling Agreement or the Purchase Agreement, the Servicer under the Servicing Agreement, the Administrator
under the Administration Agreement or NFC under the Purchase Agreement, except as specifically permitted under the Basic Documents; provided, however, that, notwithstanding the foregoing, no action specified in the proviso to
Section 9.2(a) shall be taken except in compliance with Section 9.2. If any such amendment, modification, supplement or waiver shall be so consented to by the Indenture Trustee or such Holders, as applicable, the Issuer agrees,
promptly following a request by the Indenture Trustee to do so, to execute and deliver, in its own name and at its own expense, such agreements, instruments, consents and other documents as the Indenture Trustee may deem necessary or appropriate in
the circumstances. 
  

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 Section 3.8 Negative Covenants. So long as any Notes are Outstanding, the Issuer
shall not: 
 (a) sell, transfer, exchange or otherwise dispose of any of the properties or assets of the Issuer, except the
Issuer may (i) collect and, subject in all respects to Section 3.10(b), liquidate, sell or otherwise dispose of Receivables (including Warranty Receivables, Administrative Receivables and Liquidating Receivables), (ii) make
cash payments out of the Designated Accounts and the Certificate Distribution Account as contemplated by the Basic Documents, and (iii) take other actions, in each case as contemplated by the Basic Documents; 

(b) claim any credit on, or make any deduction from the principal or interest payable in respect of the Notes (other than amounts
properly withheld from such payments under the Code or applicable state law) or assert any claim against any present or former Noteholder by reason of the payment of the taxes levied or assessed upon any part of the Collateral; 

(c) voluntarily commence any insolvency, readjustment of debt, marshaling of assets and liabilities or other proceeding, or apply for an
order by a court or agency or supervisory authority for the winding-up or liquidation of its affairs or any other event specified in Section 5.1(f); or 

(d) either (i) permit the validity or effectiveness of this Indenture to be impaired, or permit the lien of this Indenture to be
amended, hypothecated, subordinated, terminated or discharged, or permit any Person to be released from any covenants or obligations with respect to the Notes under this Indenture except as may be expressly permitted hereby, (ii) permit any
lien, charge, excise, claim, security interest, mortgage or other encumbrance (other than the lien of this Indenture) to be created on or extend to or otherwise arise upon or burden the Collateral or any part thereof or any interest therein or the
proceeds thereof (other than, with respect to a Financed Vehicle, Permitted Liens), or (iii) permit the lien of this Indenture not to constitute a valid first priority perfected security interest in the Collateral (to the extent the Collateral
constitutes Code Collateral) (other than with respect to any such tax, mechanics’ or other lien or as a result of such cross-collateralization to the extent so subordinated). 

Section 3.9 Annual Statement as to Compliance. The Issuer shall deliver to the Indenture Trustee, with a copy to each of the
Rating Agencies, on or before March 1 of each year, beginning March 1, 2011, an Officer’s Certificate signed by an Authorized Officer, dated as of the immediately preceding October 31, stating that: 

(a) a review of the activities of the Issuer during such fiscal year and of performance by the Issuer under this Indenture has been made
under such Authorized Officer’s supervision; and 
 (b) to the best of such Authorized Officer’s knowledge, based on
such review, the Issuer has fulfilled in all material respects all of its obligations under this Indenture throughout such year, or, if there has been a default in the fulfillment of any such obligation, specifying each such default known to such
Authorized Officer and the nature and status thereof. 
  

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 A copy of such Officer’s Certificate may be obtained by any Noteholder by a request in writing to the
Issuer addressed to the Corporate Trust Office of the Indenture Trustee. 
 Section 3.10 Consolidation, Merger, etc., of
the Issuer; Disposition of Trust Assets. 
 (a) The Issuer shall not consolidate or merge with or into any other Person,
unless: 
 (i) the Person (if other than the Issuer) formed by or surviving such consolidation or merger shall
be a Person organized and existing under the laws of the United States of America or any State and shall expressly assume, by an indenture supplemental hereto, executed and delivered to the Indenture Trustee, in form satisfactory to the Indenture
Trustee, the due and timely payment of the principal of and interest on all Notes and the performance or observance of every agreement and covenant of this Indenture and the other Basic Documents on the part of the Issuer to be performed or
observed, all as provided herein; 
 (ii) immediately after giving effect to such merger or consolidation, no
Default shall have occurred and be continuing; 
 (iii) the Rating Agency Condition shall have been satisfied
with respect to such transaction and such Person for each then outstanding class of Notes; 
 (iv) any action as
is necessary to maintain the lien and security interest created by this Indenture shall have been completed; and 

(v) the Issuer shall have delivered to the Indenture Trustee an Officers’ Certificate and an Opinion of Counsel
addressed to the Issuer, each stating: 
 (A) that such consolidation or merger and such supplemental indenture
comply with this Section 3.10(a); 
 (B) that such consolidation or merger and such supplemental
indenture shall have no material adverse tax consequence to the Issuer or any Securityholder; and 
 (C) that all
conditions precedent herein provided for in this Section 3.10(a) have been complied with. 
  

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 (b) Except as otherwise expressly permitted by this Indenture or the other Basic Documents,
the Issuer shall not sell, convey, exchange, transfer or otherwise dispose of any of its properties or assets, including those included in the Collateral, to any Person, unless: 

(i) the Person that acquires such properties or assets of the Issuer (x) shall be a United States citizen or a Person
organized and existing under the laws of the United States of America or any State and (y) by an indenture supplemental hereto, executed and delivered to the Indenture Trustee, in form satisfactory to the Indenture Trustee: 

(A) expressly assumes the due and punctual payment of the principal of and interest on all Notes and the performance or
observance of every agreement and covenant of this Indenture and the other Basic Documents on the part of the Issuer to be performed or observed, all as provided herein or therein, 

(B) expressly agrees that all right, title and interest so sold, conveyed, exchanged, transferred or otherwise disposed of
shall be subject and subordinate to the rights of Noteholders, 
 (C) unless otherwise provided in such
supplemental indenture, expressly agrees to indemnify, defend and hold harmless the Issuer against and from any loss, liability or expense arising under or related to this Indenture and the Notes, and 

(D) expressly agrees that such Person (or if a group of Persons, then one specified Person) shall make all filings with
the Commission (and any other appropriate Person) required by the Exchange Act in connection with the Notes; 

(ii) immediately after giving effect to such transaction, no Default shall have occurred and be continuing; 

(iii) the Rating Agency Condition shall have been satisfied with respect to such transaction and such Person for each then
outstanding class of Notes; 
 (iv) any action as is necessary to maintain the lien and security interest created
by this Indenture shall have been taken; and 
 (v) the Issuer shall have delivered to the Indenture Trustee an
Officers’ Certificate and an Opinion of Counsel addressed to the Issuer, each stating that: 
 (A) such
sale, conveyance, exchange, transfer or disposition and such supplemental indenture comply with this Section 3.10(b), 

(B) such sale, conveyance, exchange, transfer or disposition and such supplemental indenture have no material adverse tax
consequence to the Issuer or to any Noteholders or Certificateholders, and 
 (C) that all conditions precedent
herein provided for in this Section 3.10(b) have been complied with. 
  

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 Section 3.11 Successor or Transferee. 

(a) Upon any consolidation or merger of the Issuer in accordance with Section 3.10(a), the Person formed by or surviving such
consolidation or merger (if other than the Issuer) shall succeed to, and be substituted for, and may exercise every right and power of, the Issuer under this Indenture with the same effect as if such Person had been named as the Issuer herein.

 (b) Upon a conveyance or transfer of all the assets and properties of the Issuer pursuant to Section 3.10(b), the
Issuer shall be released from every covenant and agreement of this Indenture to be observed or performed on the part of the Issuer with respect to the Securityholders immediately upon the delivery of written notice to the Indenture Trustee from the
Person acquiring such assets and properties stating that the Issuer is to be so released. 
 Section 3.12 No Other
Business. The Issuer has not engaged, and shall not engage, in any business or activity other than acquiring, holding and managing the Collateral and the proceeds therefrom in the manner contemplated by the Basic Documents, issuing the
Securities, making payments on the Securities and such other activities that are necessary, suitable, desirable or convenient to accomplish the foregoing or are incidental thereto, as set forth in Section 2.3 of the Trust Agreement. After the
Closing Date, the Issuer shall not fund the purchase of any new Receivables. 
 Section 3.13 No Borrowing. The
Issuer shall not issue, incur, assume, guarantee or otherwise become liable, directly or indirectly, for any indebtedness for money borrowed other than indebtedness for money borrowed in respect of the Notes or otherwise in accordance with the Basic
Documents. 
 Section 3.14 Guarantees, Loans, Advances and Other Liabilities. Except as contemplated by this
Indenture or the other Basic Documents, the Issuer shall not make any loan or advance or credit to, or guarantee (directly or indirectly or by an instrument having the effect of assuring another’s payment or performance on any obligation or
capability of so doing or otherwise), endorse or otherwise become contingently liable, directly or indirectly, in connection with the obligations, stocks or dividends of, or own, purchase, repurchase or acquire (or agree contingently to do so) any
stock, obligations, assets or securities of, or any other interest in, or make any capital contribution to, any other Person. 

Section 3.15 Servicer’s Obligations. The Issuer shall use its best efforts to cause the Servicer to comply with its
obligations under Sections 2.17, 3.01 and 3.02 of the Servicing Agreement. 
 Section 3.16 Capital
Expenditures. The Issuer shall not make any expenditure (whether by long-term or operating lease or otherwise) for capital assets (either real, personal or intangible property) other than the purchase of the Receivables and other property and
rights from the Seller pursuant to the Pooling Agreement. 
 Section 3.17 Removal of Administrator. So long as any
Notes are Outstanding, the Issuer shall not remove the Administrator without cause unless the Rating Agency Condition for each class of Notes then outstanding shall have been satisfied in connection with such removal. 

 

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 Section 3.18 Restricted Payments. Except for payments of principal or interest
on or redemption of the Notes, so long as any Notes are Outstanding, the Issuer shall not, directly or indirectly: 
 (a) pay
any dividend or make any distribution (by reduction of capital or otherwise), whether in cash, property, securities or a combination thereof, to the Owner Trustee or any owner of a beneficial interest in the Issuer or otherwise, in each case with
respect to any ownership or equity interest or similar security in or of the Issuer; 
 (b) redeem, purchase, retire or
otherwise acquire for value any such ownership or equity interest or similar security; or 
 (c) set aside or otherwise
segregate any amounts for any such purpose; 
 provided, however, that the Issuer may make, or cause to be made, distributions to
the Servicer, the Seller, the Indenture Trustee, the Owner Trustee and the Certificateholders as permitted by, and to the extent funds are available for such purpose hereunder or under, the Pooling Agreement, the Servicing Agreement, the Trust
Agreement or the other Basic Documents. The Issuer shall not, directly or indirectly, make payments to or distributions from the Collection Account except in accordance with the Basic Documents. 

Section 3.19 Notice of Events of Default. The Issuer agrees to give the Indenture Trustee and the Rating Agencies prompt
written notice of each Event of Default hereunder, each Servicer Default under the Servicing Agreement, each default on the part of the Seller of its obligations under the Pooling Agreement and each default on the part of NFC of its obligations
under the Purchase Agreement. 
 Section 3.20 Further Instruments and Acts. Upon request of the Indenture Trustee,
the Issuer shall execute and deliver such further instruments and do such further acts as may be reasonably necessary or proper to carry out more effectively the purpose of this Indenture and the other Basic Documents to which the Issuer is a party.

 Section 3.21 Indenture Trustee’s Assignment of Administrative Receivables and Warranty Receivables. Upon
receipt of the Administrative Purchase Payment or the Warranty Payment with respect to an Administrative Receivable or a Warranty Receivable, as the case may be, the Indenture Trustee shall release to the Servicer or the Warranty Purchaser, as
applicable, all of the Indenture Trustee’s right, title and interest in and to such repurchased Receivable and the Related Security with respect thereto and any documents relating thereto, and the Servicer or the Warranty Purchaser, as
applicable, shall thereupon own such Receivable and the Related Security with respect thereto free of any further obligation to the Indenture Trustee or the Noteholders with respect thereto. If in any enforcement suit or legal proceeding it is held
that the Servicer may not enforce a Receivable on the ground that it is not a real party in interest or a holder entitled to enforce such Receivable, the Indenture Trustee shall, at the Servicer’s expense, take such steps as the Servicer deems
necessary to enforce the Receivable, including bringing suit in the Indenture Trustee’s name or the names of the Securityholders. 
  

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 Section 3.22 Representations and Warranties by the Issuer to the Indenture
Trustee. The Issuer hereby represents and warrants to the Indenture Trustee (for the benefit of the Financial Parties) as follows: 

(a) Good Title. No Receivable has been sold, transferred, assigned or pledged by the Issuer to any Person other than the Indenture
Trustee. Immediately prior to the grant of a security interest in each Receivable pursuant to this Indenture, the Issuer had good and marketable title thereto, free of any Lien (except Liens created by the Basic Documents). Upon execution and
delivery of this Indenture by the Issuer, the Indenture Trustee shall have all of the right, title and interest of the Issuer in, to and under the Collateral, free of any Lien (except, in the case of Financed Vehicles, for Permitted Liens);

 (b) All Filings Made. All filings necessary under the UCC in any jurisdiction to give the Indenture Trustee a first
priority perfected security interest in the Receivables and, to the extent constituting Code Collateral, the other Collateral shall have been made. The Receivables constitute Code Collateral; 

(c) [Reserved]; and 

(d) Lien of Indenture. This Indenture constitutes a valid and continuing Lien on the Collateral in favor of the Indenture Trustee
on behalf of the Financial Parties, which Lien will be prior to all other Liens (other than Permitted Liens), will be enforceable as such as against creditors of and purchasers from the Issuer in accordance with its terms, except as such
enforceability may be limited by applicable bankruptcy, insolvency, reorganization or other similar laws affecting the enforcement of creditors’ rights in general and by general principles of equity, regardless of whether such enforceability is
considered in a proceeding in equity or at law, and all action necessary to perfect such prior security interest has been duly taken. 

ARTICLE IV 

SATISFACTION AND DISCHARGE 

Section 4.1 Satisfaction and Discharge of Indenture. This Indenture shall cease to be of further effect with respect to the
Notes except as to: (a) rights of registration of transfer and exchange; (b) substitution of mutilated, destroyed, lost or stolen Notes; (c) rights of Noteholders to receive payments of principal thereof and interest thereon;
(d) Sections 3.2, 3.3, 3.4, 3.5, 3.8, 3.10, 3.11, 3.12, 3.13, 3.14, 3.16, 3.17, 3.19 and 3.21; (e) the rights, obligations and
immunities of the Indenture Trustee hereunder (including the rights of the Indenture Trustee under Section 6.7 and the obligations of the Indenture Trustee under Sections 4.2 and 4.4); and (f) the rights of
Noteholders as beneficiaries hereof with respect to the property so deposited with the Indenture Trustee payable to all or any of them, and the Indenture Trustee, on demand of and at the expense of the Issuer shall execute proper instruments
acknowledging satisfaction and discharge of this Indenture with respect to the Notes, if: 
 (a) either: 

(i) all Notes theretofore authenticated and delivered (other than (A) Notes that have been destroyed, lost or stolen
and that have been replaced or paid as provided in Section 2.5 and (B) Notes for whose payment money has theretofore been 

 

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deposited in trust or segregated and held in trust by the Issuer and thereafter repaid to the Issuer or discharged from such trust, as provided in Section 3.3) have been delivered to
the Indenture Trustee for cancellation; or 
 (ii) all Notes not theretofore delivered to the Indenture Trustee
for cancellation: 
 (A) have become due and payable, 

(B) will be due and payable on their respective Final Scheduled Distribution Dates within one year, or 

(C) are to be called for redemption within one year under arrangements satisfactory to the Indenture Trustee for the
giving of notice of redemption by the Indenture Trustee in the name, and at the expense, of the Issuer. 
 and the Issuer, in the case of
clauses (A), (B) or (C) of Section 4.1(a)(ii) above, has irrevocably deposited or caused to be irrevocably deposited with the Indenture Trustee cash or direct obligations of or obligations guaranteed by the United States of
America (which will mature prior to the date such amounts are payable), in trust for such purpose, in an amount sufficient to pay and discharge the entire unpaid principal and accrued interest on such Notes not theretofore delivered to the Indenture
Trustee for cancellation when due on the Final Scheduled Distribution Date for such Notes or the Redemption Date or Optional Purchase Date for such Notes (if such Notes are to be called for redemption pursuant to Section 10.1(a)), as the
case may be; 
 (b) the Issuer has paid or caused to be paid all other sums payable hereunder by the Issuer; and 

(c) the Issuer has delivered to the Indenture Trustee an Officer’s Certificate of the Issuer, an Opinion of Counsel and (if required
by the Indenture Trustee) an Independent Certificate from a firm of certified public accountants, each meeting the applicable requirements of Section 11.1(a) and each stating that all conditions precedent herein provided for relating to
the satisfaction and discharge of this Indenture have been complied with. 
 Section 4.2 Application of Trust Money.
All monies deposited with the Indenture Trustee pursuant to Section 4.1 shall be held in trust and applied by it, in accordance with the provisions of the Notes and this Indenture, to the payment, either directly or through any Paying
Agent, as the Indenture Trustee may determine, to the Holders of the particular Notes for the payment or redemption of which such monies have been deposited with the Indenture Trustee, of all sums due and to become due thereon or with respect
thereto, including for principal and interest; provided, however, such monies need not be segregated from other funds except to the extent required herein or in the Servicing Agreement or by applicable law. 

Section 4.3 Repayment of Monies Held by Paying Agent. In connection with the satisfaction and discharge of this Indenture,
all monies then held by any Paying Agent other than the Indenture Trustee under the provisions of this Indenture with respect to the Notes shall, upon demand of the Issuer, be paid to the Indenture Trustee to be held and applied according to
Section 3.3 and thereupon such Paying Agent shall be released from all further liability with respect to such monies. 
  

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 Section 4.4 Duration of Position of Indenture Trustee for Benefit of
Certificateholders. Notwithstanding (a) the earlier payment in full of all principal and interest due to the Noteholders under the terms of Notes of each class, (b) the cancellation of such Notes pursuant to Section 2.8,
and (c) the discharge of the Indenture Trustee’s duties hereunder with respect to such Notes, the Indenture Trustee shall continue to act in the capacity as Indenture Trustee hereunder for the benefit of the Certificateholders and the
Indenture Trustee, for the benefit of the Certificateholders, shall comply with its obligations under Sections 2.02, 7.02 and 7.03 of the Servicing Agreement, as appropriate, until such time as all distributions in respect of the Certificates
have been paid in full. 
 ARTICLE V 

DEFAULT AND REMEDIES 

Section 5.1 Events of Default. For the purposes of this Indenture, “Event of Default” wherever used herein
or in any other Basic Document, means any one of the following events: 
 (a) failure to pay any interest on any Note as and
when the same becomes due and payable, and such default shall continue unremedied for a period of five (5) days; or 
 (b)
except as set forth in Section 5.1(c), failure to pay any installment of the principal of any class of Note as and when the same becomes due and payable (other than on the related Final Scheduled Distribution Date), and such default
shall continue unremedied for a period of 30 days after there shall have been given to the Issuer and the Seller (or the Servicer, as applicable) by the Indenture Trustee or to the Issuer and the Seller (or the Servicer, as applicable) and the
Indenture Trustee by the Holders of at least 25% of the Outstanding Amount of the Controlling Class, a written notice specifying such default, demanding that it be remedied and stating that such notice is a “Notice of Default” hereunder;
or 
 (c) failure to pay in full the outstanding principal balance of any class of Notes by the Final Scheduled Distribution
Date for such class; or 
 (d) default in the observance or performance of any covenant or agreement of the Issuer made in this
Indenture (other than a covenant or agreement, a default in the observance or performance of which is specifically dealt with elsewhere in this Section 5.1) which failure materially and adversely affects the rights of the Noteholders,
and such default shall continue or not be cured for a period of 30 days after there shall have been given to the Issuer and the Seller (or the Servicer, as applicable) by the Indenture Trustee or to the Issuer and the Seller (or the Servicer, as
applicable) and the Indenture Trustee by the Holders of at least 25% of the Outstanding Amount of the Controlling Class, a written notice specifying such default, demanding that it be remedied and stating that such notice is a “Notice of
Default” hereunder; or 
 (e) the filing of a decree or order for relief by a court having jurisdiction in the premises in
respect of the Issuer or any substantial part of the Owner Trust Estate in an involuntary case under any applicable federal or state bankruptcy, insolvency or other similar 

 

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law now or hereafter in effect, or appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator or similar official of the Issuer (other than as Owner Trustee) or for any
substantial part of the Collateral, or ordering the winding-up or liquidation of the Issuer’s affairs, and such decree or order shall remain unstayed and in effect for a period of 60 consecutive days; or 

(f) the commencement by the Issuer of a voluntary case under any applicable federal or state bankruptcy, insolvency or other similar law
now or hereafter in effect, or the consent by the Issuer to the entry of an order for relief in an involuntary case under any such law, or the consent by the Issuer to the appointment or taking possession by a receiver, liquidator, assignee,
custodian, trustee, sequestrator or similar official of the Issuer or for any substantial part of the Owner Trust Estate, or the making by the Issuer of any general assignment for the benefit of creditors, or the failure by the Issuer generally to
pay its debts as such debts become due, or the taking of action by the Issuer in furtherance of any of the foregoing; or 
 (g)
any representation or warranty of the Issuer made in this Indenture proving to have been incorrect as of the time which such representation or warranty has been made, which breach materially and adversely affects the rights of the Noteholders, and
which breach continues unremedied for a period of 30 days after there shall have been given to the Issuer and the Seller (or the Servicer, as applicable) by the Indenture Trustee or to the Issuer and the Seller (or the Servicer, as applicable) and
the Indenture Trustee by the Holders of at least 25% of the Outstanding Amount of the Controlling Class, a written notice specifying such breach, demanding that it be remedied and stating that such notice is a “Notice of Default”
hereunder. 
 The Issuer shall deliver to the Indenture Trustee, within five Business Days after learning of the occurrence thereof, written
notice in the form of an Officer’s Certificate of any Default under Sections 5.1(a), 5.1(b), 5.1(d) and 5.1(g), its status and what action the Issuer is taking or proposes to take with respect thereto.

 Section 5.2 Acceleration of Maturity; Rescission and Annulment. 

(a) If an Event of Default should occur and be continuing, then and in every such case, unless the principal amount of the Notes shall
have already become due and payable, either the Indenture Trustee or the Holders of Notes representing not less than a majority of the Outstanding Amount of the Controlling Class may declare all the Notes to be immediately due and payable, by a
notice in writing to the Issuer (and to the Indenture Trustee if given by the Noteholders) and NFC setting forth the Event or Events of Default, and upon any such declaration the unpaid principal amount of the Notes together with accrued and unpaid
interest thereon through the date of acceleration, shall become immediately due and payable. 
 (b) At any time after such
declaration of acceleration of maturity of the Notes has been made and before a judgment or decree for payment of the money due thereunder has been obtained by the Indenture Trustee as hereinafter provided in this Article V, the Holders
of Notes representing not less than a majority of the Outstanding Amount of the Controlling Class, by written notice to the Issuer, NFC and the Indenture Trustee, may rescind and annul such declaration and its consequences with respect to the Notes;
provided, that no such rescission and annulment shall extend to or affect any subsequent or other Default or impair any right 

 

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consequent thereto; provided, further, that if the Indenture Trustee shall have proceeded to enforce any right under this Indenture and such proceedings shall have been discontinued
or abandoned because of such rescission and annulment or for any other reason, or such proceedings shall have been determined adversely to the Indenture Trustee, then and in every such case, the Indenture Trustee, the Issuer and the Noteholders, as
the case may be, shall be restored to their respective former positions and rights hereunder, and all rights, remedies and powers of the Indenture Trustee, the Issuer and the Noteholders, as the case may be, shall continue as though no such
proceedings had been commenced. 
 Section 5.3 Collection of Indebtedness and Suits for Enforcement by Indenture
Trustee. 
 (a) The Issuer covenants that if there shall occur an Event of Default under Section 5.1(a),
5.1(b) or 5.1(c), the Issuer shall, upon demand of the Indenture Trustee, pay to the Indenture Trustee, for the benefit of the Noteholders in accordance with their respective outstanding principal amounts, the entire amount then due
and payable on the Notes for principal and interest, with interest through the date of such payment on the overdue principal amount of each class of Notes, at the rate applicable to such class of Notes, and in addition thereto such further amount as
shall be sufficient to cover the costs and expenses of collection, including the reasonable compensation, expenses, disbursements and advances of the Indenture Trustee and its agents and counsel. 

(b) If the Issuer shall fail forthwith to pay such amounts upon such demand, the Indenture Trustee, in its own name and as trustee of an
express trust, may institute a Proceeding for the collection of the sums so due and unpaid, and may prosecute such Proceeding to judgment or final decree, and may enforce the same against the Issuer or other obligor upon such Notes and collect in
the manner provided by law out of the property of the Issuer or other obligor upon the Notes, wherever situated, the monies adjudged or decreed to be payable. 

(c) If an Event of Default occurs and is continuing, the Indenture Trustee may (as more particularly provided in
Section 5.4), subject to the provisions of Section 6.1, in its discretion, proceed to protect and enforce its rights and the rights of the Noteholders, by such appropriate Proceedings as the Indenture Trustee, being advised
by counsel, shall deem most effective to protect and enforce any of the rights of the Indenture Trustee or the Noteholders, whether for the specific enforcement of any covenant or agreement in this Indenture or in aid of the exercise of any power
granted herein, or to enforce any other proper remedy or legal or equitable right vested in the Indenture Trustee by this Indenture or by applicable law. 

(d) If there shall be pending, relative to the Issuer or any other obligor upon the Notes or any Person having or claiming an ownership
interest in the Collateral, Proceedings under Title 11 of the United States Code or any other applicable federal or state bankruptcy, insolvency or other similar law, or if a receiver, assignee or trustee in bankruptcy or reorganization,
liquidator, sequestrator or similar official shall have been appointed for or taken possession of the Issuer or its property or such other obligor or Person, or in case of any other comparable judicial Proceedings relative to the Issuer or other
obligor upon the Notes, or to the creditors or property of the Issuer or such other obligor, the Indenture Trustee, irrespective of whether the principal of any Notes shall then be due and payable as therein expressed or by

  

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declaration or otherwise and irrespective of whether the Indenture Trustee shall have made any demand pursuant to the provisions of this Section 5.3, shall be entitled and empowered,
by intervention in such Proceedings or otherwise: 
 (i) to file and prove a claim or claims for the entire
amount of the unpaid principal and interest owing in respect of the Notes and to file such other papers or documents as may be necessary or advisable in order to have the claims of the Indenture Trustee (including any claim for reasonable
compensation to the Indenture Trustee and each predecessor trustee, and their respective agents, attorneys and counsel, and for reimbursement of all expenses and liabilities incurred, and all advances made, by the Indenture Trustee and each
predecessor trustee, except as a result of negligence or bad faith) and of the Noteholders allowed in such Proceedings; 

(ii) unless prohibited by applicable law and regulations, to vote on behalf of the Holders of Notes in any election of a
trustee, a standby trustee or Person performing similar functions in any such Proceedings; 
 (iii) to collect
and receive any monies or other property payable or deliverable on any such claims and to distribute all amounts received with respect to the claims of the Noteholders and of the Indenture Trustee on their behalf; and 

(iv) to file such proofs of claim and other papers or documents as may be necessary or advisable in order to have the
claims of the Indenture Trustee or the Holders of Notes allowed in any judicial proceedings relative to the Issuer, its creditors and its property; 

and any trustee, receiver, liquidator, custodian or other similar official in any such Proceeding is hereby authorized by each of such Noteholders to
make payments to the Indenture Trustee, and, if the Indenture Trustee shall consent to the making of payments directly to such Noteholders, to pay to the Indenture Trustee such amounts as shall be sufficient to cover reasonable compensation to the
Indenture Trustee, each predecessor trustee and their respective agents, attorneys and counsel, and all other expenses and liabilities incurred, and all advances made, by the Indenture Trustee and each predecessor trustee, except as a result of
negligence or bad faith. 
 (e) Nothing herein contained shall be deemed to authorize the Indenture Trustee to authorize or
consent to or vote for or accept or adopt on behalf of any Noteholder any plan of reorganization, arrangement, adjustment or composition affecting the Notes or the rights of any Holder thereof or to authorize the Indenture Trustee to vote in respect
of the claim of any Noteholder in any such proceeding except, as aforesaid, to vote for the election of a trustee in bankruptcy or similar Person. 

(f) All rights of action and of asserting claims under this Indenture, or under any of the Notes, may be enforced by the Indenture
Trustee without the possession of any of the Notes or the production thereof in any trial or other Proceedings relative thereto, and any such Proceedings instituted by the Indenture Trustee shall be brought in its own name as trustee of an express
trust, and any recovery of judgment, subject to the payment of the expenses, disbursements and compensation of the Indenture Trustee, each predecessor trustee and their respective agents and attorneys, shall be applied in accordance with
Section 5.4(b). 
  

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 (g) In any Proceedings brought by the Indenture Trustee (and also any Proceedings involving
the interpretation of any provision of this Indenture to which the Indenture Trustee shall be a party), the Indenture Trustee shall be held to represent all the Noteholders, and it shall not be necessary to make any Noteholder a party to any such
Proceedings. 
 Section 5.4 Remedies; Priorities. 

(a) If an Event of Default shall have occurred and be continuing and the Notes have been accelerated under Section 5.2(a),
the Indenture Trustee may do one or more of the following (subject to Section 5.5): 
 (i) institute
Proceedings in its own name and as trustee of an express trust for the collection of all amounts then due and payable on the Notes or under this Indenture or the other Basic Documents with respect thereto, whether by declaration of acceleration or
otherwise, enforce any judgment obtained, and collect from the Issuer and any other obligor upon such Notes monies adjudged due; 

(ii) institute Proceedings from time to time for the complete or partial foreclosure of this Indenture with respect to the
Collateral; 
 (iii) subject to Section 5.4(a)(iv) below, exercise any remedies of a secured party
under the UCC and take any other appropriate action to protect and enforce the rights and remedies of the Indenture Trustee and the Noteholders; and 

(iv) sell the Collateral or any portion thereof or rights or interest therein, at one or more public or private sales
called and conducted in any manner permitted by law or elect to have the Issuer maintain possession of the Collateral, including the Receivables included therein and continue to apply collections on such Receivables as if there had been no
declaration of acceleration; provided, however, that the Indenture Trustee may not sell or otherwise liquidate the Collateral following an Event of Default and acceleration of the Notes, unless (A) the Holders of the Outstanding
Amount of all of the Notes consent thereto, (B) the proceeds of such sale or liquidation distributable to the Noteholders are sufficient to discharge in full the principal of and the accrued interest on the Notes, in each case as of the date of
such sale or liquidation or (C) (1) the Indenture Trustee determines that the Collateral will not continue to provide sufficient funds for the payment of principal of and interest on the Notes as and when they would have become due if the
Notes had not been declared due and payable and (2) the Indenture Trustee obtains the consent of Holders of a majority of the aggregate Outstanding Amount of the Controlling Class. In determining such sufficiency or insufficiency with respect
to clauses (B) and (C) of this Section 5.4(a)(iv), the Indenture Trustee may, but need not, obtain and rely upon an opinion of an Independent investment banking or accounting firm of national reputation as to the
feasibility of such proposed action and as to the sufficiency of the Collateral for such purpose. 
  

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 (b) If the Indenture Trustee collects any money or property pursuant to this
Article V, it shall pay out or deposit such money or property in the following order: 
 FIRST: to the extent not
paid by the Servicer as contemplated by Section 6.7 hereof or in Section 6.05 of the Servicing Agreement, to the Indenture Trustee for amounts due under Section 6.7 hereof and to the Owner Trustee for amounts due under
Section 6.9 of the Trust Agreement; 
 SECOND: to the Collection Account, for distribution pursuant to, first,
Section 8.2(b) hereof and, second (to the extent that funds are available), pursuant to Sections 8.2(c) and 8.2(d) hereof; and 

THIRD: from the Collection Account to the Certificate Distribution Account, for distribution pursuant to Section 4.02 of the Pooling
Agreement. 
 Section 5.5 Optional Preservation of the Collateral. If the Notes have been declared to be due and
payable under Section 5.2(a) following an Event of Default and such declaration and its consequences have not been rescinded and annulled in accordance with Section 5.2(b), the Indenture Trustee may, but need not, elect to
take and maintain possession of the Collateral. It is the desire of the parties hereto and the Noteholders that there be at all times sufficient funds for the payment of principal of and interest on the Notes, and the Indenture Trustee shall take
such desire into account when determining whether or not to take and maintain possession of the Collateral. In determining whether to take and maintain possession of the Collateral, the Indenture Trustee may, but need not, obtain and rely upon an
opinion of an Independent investment banking or accounting firm of national reputation as to the feasibility of such proposed action and as to the sufficiency of the Collateral for such purpose. 

Section 5.6 Limitation of Suits. No Holder of any Note shall have any right to institute any Proceeding, judicial or
otherwise, with respect to this Indenture, or for the appointment of a receiver or trustee, or for any other remedy hereunder, unless: 

(a) such Holder has previously given written notice to the Indenture Trustee of a continuing Event of Default; 

(b) the Holders of not less than 25% of the Outstanding Amount of the Controlling Class have made written request to the Indenture
Trustee to institute such Proceeding in respect of such Event of Default in its own name as Indenture Trustee hereunder; 
 (c)
such Holder or Holders have offered to the Indenture Trustee reasonable indemnity against the costs, expenses and liabilities to be incurred in complying with such request; 

(d) the Indenture Trustee for 60 days after its receipt of such notice, request and offer of indemnity has failed to institute such
Proceedings; and 
 (e) no direction inconsistent with such written request has been given to the Indenture Trustee during such
60-day period by the Holders of a majority of the Outstanding Amount of the Controlling Class; 
  

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it being understood and intended that no Holder or Holders of Notes shall have any right in any manner whatsoever by virtue of, or by availing of, any provision of this Indenture to affect,
disturb or prejudice the rights of any other Holders of Notes or to obtain or to seek to obtain priority or preference over any other Holders of Notes or to enforce any right under this Indenture, except in the manner herein provided and for the
equal, ratable (on the basis of the respective aggregate amount of principal and interest, respectively, due and unpaid on the Notes held by each Noteholder) and common benefit of all Noteholders. For the protection and enforcement of the provisions
of this Section 5.6, each and every Noteholder shall be entitled to such relief as can be given either at law or in equity. 

If the Indenture Trustee shall receive conflicting or inconsistent requests and indemnity from two or more groups of Holders of Notes,
each representing less than a majority of the Outstanding Amount of the Controlling Class, the Indenture Trustee in its sole discretion may determine what action, if any, shall be taken, notwithstanding any other provisions of this Indenture.

 Section 5.7 Unconditional Rights of Noteholders To Receive Principal and Interest. Notwithstanding any other
provisions in this Indenture, the Holder of any Note shall have the right, which is absolute and unconditional, to receive payment of the principal of and interest on such Note in accordance with Section 8.2 hereof on or after the
respective due dates thereof expressed in such Note or in this Indenture (or, in the case of redemption, if applicable, on or after the Redemption Date or Optional Purchase Date, as applicable) and to institute suit for the enforcement of any such
payment, and such right shall not be impaired without the consent of such Holder. 
 Section 5.8 Restoration of Rights
and Remedies. If the Indenture Trustee or any Noteholder has instituted any Proceeding to enforce any right or remedy under this Indenture and such Proceeding has been discontinued or abandoned for any reason or has been determined adversely to
the Indenture Trustee or to such Noteholder, then and in every such case the Issuer, the Indenture Trustee and the Noteholders shall, subject to any determination in such Proceeding, be restored severally to their respective former positions
hereunder, and thereafter all rights and remedies of the Indenture Trustee and the Noteholders shall continue as though no such Proceeding had been instituted. 

Section 5.9 Rights and Remedies Cumulative. No right or remedy herein conferred upon or reserved to the Indenture Trustee or
to the Noteholders is intended to be exclusive of any other right or remedy, and every right and remedy shall, to the extent permitted by law, be cumulative and in addition to every other right and remedy given hereunder or now or hereafter existing
at law or in equity or otherwise. The assertion or employment of any right or remedy hereunder, or otherwise, shall not prevent the concurrent assertion or employment of any other appropriate right or remedy. 

Section 5.10 Delay or Omission Not a Waiver. No delay or omission of the Indenture Trustee or any Holder of any Note to
exercise any right or remedy accruing upon any Default shall impair any such right or remedy or constitute a waiver of any such Default or an acquiescence therein. Every right and remedy given by this Article V or by law to the Indenture
Trustee or to the Noteholders may be exercised from time to time, and as often as may be deemed expedient, by the Indenture Trustee or by the Noteholders, as the case may be. 

 

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 Section 5.11 Control by Noteholders. The Holders of a majority of the
Outstanding Amount of the Controlling Class shall, subject to provision being made for indemnification against costs, expenses and liabilities in a form satisfactory to the Indenture Trustee, have the right to direct the time, method and place of
conducting any Proceeding for any remedy available to the Indenture Trustee with respect to the Notes or exercising any trust or power conferred on the Indenture Trustee pursuant to this Indenture, any other Basic Document to which the Indenture
Trustee is a party or otherwise; provided, however, that: 
 (a) such direction shall not be in conflict with any
rule of law or with any other express provision of this Indenture; 
 (b) subject to the express terms of
Section 5.4, any direction to the Indenture Trustee to sell or liquidate the Collateral shall be by the Holders of Notes representing 100% of the Outstanding Amount of the Notes; 

(c) if the conditions set forth in Section 5.5 have been satisfied, and if the Indenture Trustee elects to retain the
Collateral pursuant to Section 5.5, then any direction to the Indenture Trustee by Holders of Notes representing less than 100% of the Outstanding Amount of the Notes to sell or liquidate the Collateral shall be of no force and effect;

 (d) subject to Section 6.1, the Indenture Trustee shall have the right to decline to follow any such direction if
the Indenture Trustee, being advised by counsel, determines that the action so directed may not lawfully be taken or if the Indenture Trustee shall in good faith, by a Responsible Officer, determine that the proceedings so directed would be illegal
or subject the Indenture Trustee to personal liability or be unduly prejudicial to the rights of Noteholders not parties to such direction; and 

(e) the Indenture Trustee may take any other action deemed proper by the Indenture Trustee that is not inconsistent with such direction;

 provided, however, that, subject to Section 6.1, the Indenture Trustee need not take any action that it determines
might cause it to incur any liability (x) with respect to which the Indenture Trustee shall have reasonable grounds to believe that adequate indemnity against such liability in not assured to it and (y) which might materially adversely
affect the rights of any Noteholders not consenting to such action; provided, further, that nothing in this Indenture shall impair the right of the Indenture Trustee to take any action deemed proper by the Indenture Trustee which is
not inconsistent with such direction by the Noteholders. 
 Section 5.12 Waiver of Past Defaults. 

(a) Prior to the declaration of the acceleration of the maturity of the Notes as provided in Section 5.2(a), the Holders of
not less than a majority of the Outstanding Amount of the Controlling Class may waive any past Default and its consequences except a Default (i) in the payment of principal of or interest on any of the Notes or (ii) in respect of a
covenant or provision hereof which cannot be modified or amended without the consent of the Holder of 
  

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each Note. In the case of any such waiver, the Issuer, the Indenture Trustee and the Noteholders shall be restored to their respective former positions and rights hereunder; provided,
however, no such waiver shall extend to or affect any subsequent or other Default or impair any right consequent thereto. 

(b) Upon any such waiver, such Default shall cease to exist and be deemed to have been cured and not to have occurred, and any Event of
Default arising therefrom shall be deemed to have been cured and not to have occurred, for every purpose of this Indenture; provided, however, no such waiver shall extend to or affect any subsequent or other Default or impair any right
consequent thereto. 
 Section 5.13 Undertaking for Costs. All parties to this Indenture agree, and each Holder of
any Note by such Holder’s acceptance thereof shall be deemed to have agreed, that any court may in its discretion require, in any Proceeding for the enforcement of any right or remedy under this Indenture, or in any Proceeding against the
Indenture Trustee for any action taken, suffered or omitted by it as Indenture Trustee, the filing by any party litigant in such Proceeding of an undertaking to pay the costs of such Proceeding, and that such court may in its discretion assess
reasonable costs, including reasonable attorneys’ fees, against any party litigant in such Proceeding, having due regard to the merits and good faith of the claims or defenses made by such party litigant; but the provisions of this
Section 5.13 shall not apply to: 
 (a) any Proceeding instituted by the Indenture Trustee; 

(b) any Proceeding instituted by any Noteholder, or group of Noteholders, in each case holding in the aggregate more than 10% of the
Outstanding Amount of the Controlling Class; or 
 (c) any Proceeding instituted by any Noteholder for the enforcement of the
payment of principal of or interest on any Note on or after the respective due dates expressed in such Note and in this Indenture (or, in the case of redemption, if applicable, on or after the Redemption Date or Optional Purchase Date, as
applicable). 
 Section 5.14 Waiver of Stay or Extension Laws. The Issuer, covenants (to the extent that it may
lawfully do so) that it shall not at any time insist upon, or plead or in any manner whatsoever, claim or take the benefit or advantage of, any stay or extension law wherever enacted, now or at any time hereafter in force, that may adversely affect
the covenants or the performance of this Indenture. The Issuer (to the extent that it may lawfully do so) hereby expressly waives all benefit or advantage of any such law, and covenants that it shall not hinder, delay or impede the execution of any
power herein granted to the Indenture Trustee, but shall suffer and permit the execution of every such power as though no such law had been enacted. 

Section 5.15 Action on Notes. The Indenture Trustee’s right to seek and recover judgment on the Notes or under this
Indenture shall not be affected by the seeking, obtaining or application of any other relief under or with respect to this Indenture. Neither the lien of this Indenture nor any rights or remedies of the Indenture Trustee or the Noteholders shall be
impaired by the recovery of any judgment by the Indenture Trustee against the Issuer or by the levy of any execution under such judgment upon any portion of the Collateral or upon any of the assets of the Issuer. Any money or property collected by
the Indenture Trustee shall be applied in accordance with Section 5.4(b). 
  

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 Section 5.16 Performance and Enforcement of Certain Obligations. 

(a) Promptly following a request from the Indenture Trustee to do so and at the Administrator’s expense, the Issuer agrees to take
all such lawful action as the Indenture Trustee may request to compel or secure the performance and observance by the Seller of its obligations to the Issuer under or in connection with the Pooling Agreement and the Purchase Agreement, by the
Servicer of its obligations to the Issuer under or in connection with the Servicing Agreement or by NFC of its obligations under or in connection with the Purchase Agreement, and to exercise any and all rights, remedies, powers and privileges
lawfully available to the Issuer under or in connection with the Pooling Agreement, the Servicing Agreement and the Purchase Agreement to the extent and in the manner directed by the Indenture Trustee, including the transmission of notices of
default on the part of the Seller, the Servicer or NFC thereunder and the institution of legal or administrative actions or proceedings to compel or secure performance by the Seller, the Servicer or NFC of each of their respective obligations under
the Pooling Agreement, the Servicing Agreement and the Purchase Agreement. 
 (b) If an Event of Default has occurred and is
continuing, the Indenture Trustee may, and at the direction (which direction shall be in writing) of the Holders of 66-2/3% of the Outstanding Amount of the Controlling Class shall, exercise all rights, remedies, powers, privileges and claims of the
Issuer against the Seller under or in connection with the Pooling Agreement and the Purchase Agreement, the Servicer under or in connection with the Servicing Agreement or NFC under or in connection with the Purchase Agreement, including the right
or power to take any action to compel or secure performance or observance by the Seller, the Servicer or NFC of each of their obligations to the Issuer thereunder and to give any consent, request, notice, direction, approval, extension or waiver
under the Pooling Agreement, the Servicing Agreement and the Purchase Agreement, and any right of the Issuer to take such action shall be suspended. 

ARTICLE VI 

THE INDENTURE TRUSTEE 

Section 6.1 Duties of Indenture Trustee. 

(a) If an Event of Default has occurred and is continuing, the Indenture Trustee shall exercise the rights and powers vested in it by
this Indenture and use the same degree of care and skill in their exercise as a prudent person would exercise or use under the circumstances in the conduct of such person’s own affairs. 

(b) Except during the continuance of an Event of Default: 

(i) the Indenture Trustee undertakes to perform such duties and only such duties as are specifically set forth in this
Indenture, the Servicing Agreement and any other Basic Document to which it is a party and no implied covenants or obligations shall be read into this Indenture, the Servicing Agreement or any other Basic Document against the Indenture Trustee; and

  

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 (ii) in the absence of bad faith on its part, the Indenture Trustee may
conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon certificates or opinions furnished to the Indenture Trustee and conforming to the requirements of this Indenture; provided,
however, that the Indenture Trustee shall examine the certificates and opinions to determine whether or not they conform to any applicable requirements of this Indenture. 

(c) The Indenture Trustee may not be relieved from liability for its own negligent action, its own negligent failure to act or its own
willful misconduct, except that: 
 (i) this Section 6.1(c) does not limit the effect of
Section 6.1(b); 
 (ii) the Indenture Trustee shall not be liable for any error of judgment made in
good faith by a Responsible Officer unless it is proved that the Indenture Trustee was negligent in ascertaining the pertinent facts; and 

(iii) the Indenture Trustee shall not be liable with respect to any action it takes or omits to take in good faith in
accordance with a direction received by it pursuant to Section 5.11. 
 (d) The Indenture Trustee shall not be
liable for interest on any money received by it except as the Indenture Trustee may agree in writing with the Issuer. 
 (e)
Money held in trust by the Indenture Trustee need not be segregated from other funds except to the extent required by law or the terms of this Indenture or the Servicing Agreement. 

(f) No provision of this Indenture shall require the Indenture Trustee to expend or risk its own funds or otherwise incur financial
liability in the performance of any of its duties hereunder or in the exercise of any of its rights or powers, if it shall have reasonable grounds to believe that repayments of such funds or adequate indemnity against such risk or liability is not
reasonably assured to it. 
 (g) The Indenture Trustee shall reimburse the Seller and any director, officer, employee or agent
of the Seller for any contractual damages, liability or expense incurred by reason of the Indenture Trustee’s willful misfeasance, bad faith or gross negligence (except errors in judgment) in the performance of its duties under any of the
Further Transfer and Servicing Agreements, or by reason of reckless disregard of its obligations and duties under any of the Further Transfer and Servicing Agreements. 

(h) Every provision of this Indenture relating to the Indenture Trustee shall be subject to the provisions of this
Section 6.1. 
 Section 6.2 Rights of Indenture Trustee. 

(a) The Indenture Trustee may rely on any document believed by it to be genuine and to have been signed or presented by the proper
Person. The Indenture Trustee need not investigate any fact or matter stated in the document. 
  

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 (b) Before the Indenture Trustee acts or refrains from acting, it may require an
Officer’s Certificate or an Opinion of Counsel that such action or omission is required or permissible hereunder. The Indenture Trustee shall not be liable for any action it takes or omits to take in good faith in reliance on such
Officer’s Certificate or Opinion of Counsel. 
 (c) The Indenture Trustee may execute any of the trusts or powers hereunder
or perform any duties hereunder either directly or by or through agents or attorneys or a custodian or nominee, and the Indenture Trustee shall not be responsible for any misconduct or negligence on the part of, or for the supervision of, any such
agent, attorney, custodian or nominee appointed with due care by it hereunder. 
 (d) The Indenture Trustee shall not be liable
for any action it takes or omits to take in good faith which it believes to be authorized or within its rights or powers; provided, however, that the Indenture Trustee’s conduct does not constitute willful misconduct, negligence
or bad faith. 
 (e) The Indenture Trustee may consult with counsel, and the advice or opinion of counsel with respect to legal
matters relating to this Indenture and the Notes shall be full and complete authorization and protection from liability in respect to any action taken, omitted or suffered by it hereunder in good faith and in accordance with the advice or opinion of
such counsel. 
 (f) The Indenture Trustee shall not be required to take notice or be deemed to have notice or knowledge of any
default or Event of Default unless a Responsible Officer of the Indenture Trustee shall have received written notice or obtained actual knowledge thereof. In the absence of receipt of such notice or actual knowledge, the Indenture Trustee may
conclusively assume that there is no default or Event of Default. 
 (g) The right of the Indenture Trustee to perform any
discretionary act enumerated in this Indenture shall not be construed as a duty, and the Indenture Trustee shall not be answerable for other than its negligence, willful misconduct or bad faith in the performance of such act. 

(h) The Indenture Trustee shall not be required to give any bond or surety in respect of the execution of the trust created hereby or the
powers granted hereunder. 
 (i) Anything in this Indenture to the contrary notwithstanding, in no event shall the Indenture
Trustee be liable for special, indirect, or consequential loss or damage of any kind whatsoever (including but not limited to lost profits), even if the Indenture Trustee has been advised of the likelihood of such loss or damage and regardless of
the form of action. 
 (j) The rights, privileges, protections, immunities and benefits given to the Indenture Trustee,
including, without limitation, its right to be indemnified, are extended to, and shall be enforceable by, the Indenture Trustee in each of its capacities hereunder and under any Basic Document to which the Indenture Trustee is a party. 

(k) The Indenture Trustee shall not be responsible for delays or failures in performance resulting from acts beyond its control so long
as the Indenture Trustee continues to undertake actions reasonable under the applicable circumstances. Such acts include but are not limited to acts of God, strikes, lockouts, riots and acts of war. 

 

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 Section 6.3 Indenture Trustee May Own Notes. The Indenture Trustee in its
individual or any other capacity may become the owner or pledgee of Notes and may otherwise deal with the Issuer, the Servicer or any of their respective Affiliates with the same rights it would have if it were not Indenture Trustee;
provided, however, that the Indenture Trustee shall comply with Sections 6.10 and 6.11. Any Paying Agent, Note Registrar, co-registrar or co-paying agent may do the same with like rights. 

Section 6.4 Indenture Trustee’s Disclaimer. The Indenture Trustee shall not be responsible for and makes no
representation as to the validity or adequacy of this Indenture or the Notes, it shall not be accountable for the Issuer’s use of the proceeds from the Notes, and it shall not be responsible for any statement of the Issuer in the Indenture or
in any document issued in connection with the sale of the Notes or in the Notes other than the Indenture Trustee’s certificate of authentication. 

Section 6.5 Notice of Defaults. If a Default occurs and is continuing and if it is known to a Responsible Officer of the
Indenture Trustee, the Indenture Trustee shall mail to each Noteholder notice of the Default within 30 days after such Responsible Officer obtained knowledge of such Default. Except in the case of a Default in payment of principal of or interest on
any Note, the Indenture Trustee may withhold the notice if and so long as a committee of its Responsible Officers in good faith determines that withholding the notice is in the interests of Noteholders. 

Section 6.6 Reports by Indenture Trustee to Holders. The Indenture Trustee shall make available to each Noteholder in
accordance with Section 8.8(d) the information and documents set forth in Section 8.8 (including all such information described in Section 8.8(b) to enable such Holder to prepare its federal and state income tax
returns), and, in addition and upon a Noteholder’s request, the Indenture Trustee shall mail all such information with respect to the Notes as may be required, as specified by the Servicer, to enable such Holder to prepare its federal and state
income tax returns. 
 Section 6.7 Compensation; Indemnity. 

(a) The Issuer shall cause the Servicer pursuant to the Servicing Agreement to pay to the Indenture Trustee from time to time such
compensation for its services as shall be agreed upon in writing. The Indenture Trustee’s compensation shall not be limited by any law on compensation of a trustee of an express trust. The Issuer shall cause the Servicer pursuant to the
Servicing Agreement to reimburse the Indenture Trustee for all reasonable out-of-pocket expenses incurred or made by it, including costs of collection, in addition to the compensation for its services. Such expenses shall include the reasonable
compensation and expenses, disbursements and advances of the Indenture Trustee’s agents, counsel, accountants and experts. The Issuer shall cause the Servicer pursuant to the Servicing Agreement to indemnify the Indenture Trustee in accordance
with Section 6.05 of the Servicing Agreement. The Issuer shall have no obligation to pay, reimburse or indemnify the Indenture Trustee, except as specifically provided herein. 

 

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 (b) The Issuer’s obligations to the Indenture Trustee pursuant to this
Section 6.7 shall survive the discharge of this Indenture. When the Indenture Trustee incurs expenses after the occurrence of a Default specified in Section 5.1(e) or 5.1(f), the expenses are intended to constitute
expenses of administration under Title 11 of the United States Code or any other applicable federal or state bankruptcy, insolvency or similar law. 

Section 6.8 Replacement of Indenture Trustee. 

(a) The Indenture Trustee may at any time give notice of its intent to resign by so notifying the Issuer; provided,
however, that no such resignation shall become effective and the Indenture Trustee shall not resign prior to the time set forth in Section 6.8(c) (or, if applicable, the time of appointment and designation of a successor Indenture
Trustee in accordance with Section 6.8(d)). The Holders of a majority in Outstanding Amount of the Controlling Class may remove the Indenture Trustee by so notifying the Indenture Trustee and may appoint a successor Indenture Trustee.
Such resignation or removal shall become effective in accordance with Section 6.8(c) (or upon appointment and designation of a successor Indenture Trustee in accordance with Section 6.8(d)). The Issuer shall remove the
Indenture Trustee if: 
 (i) the Indenture Trustee fails to comply with Section 6.11; 

(ii) the Indenture Trustee is adjudged a bankrupt or insolvent; 

(iii) a receiver or other public officer takes charge of the Indenture Trustee or its property; or 

(iv) the Indenture Trustee otherwise becomes incapable of acting. 

(b) If the Indenture Trustee gives notice of its intent to resign or is removed or if a vacancy exists in the office of the Indenture
Trustee for any reason (the Indenture Trustee in such event being referred to herein as the retiring Indenture Trustee), the Issuer shall promptly appoint and designate a successor Indenture Trustee that complies with Section 6.11.

 (c) A successor Indenture Trustee shall deliver a written acceptance of its appointment and designation to the retiring
Indenture Trustee and to the Issuer. Thereupon the resignation or removal of the retiring Indenture Trustee shall become effective, and the successor Indenture Trustee shall have all the rights, powers and duties of the Indenture Trustee under this
Indenture. The successor Indenture Trustee shall mail a notice of its succession to Noteholders and to each of the Rating Agencies. The retiring Indenture Trustee shall promptly transfer all property held by it as Indenture Trustee to the successor
Indenture Trustee. 
 (d) If a successor Indenture Trustee does not take office within 60 days after the retiring Indenture
Trustee gives notice of its intent to resign or is removed, the retiring Indenture Trustee, the Issuer or the Holders of a majority of the Outstanding Amount of the Controlling Class may petition any court of competent jurisdiction for the
appointment and designation of a successor Indenture Trustee that complies with Section 6.11. 
  

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 (e) If the Indenture Trustee fails to comply with Section 6.11, any Noteholder
may petition any court of competent jurisdiction for the removal of the Indenture Trustee and the appointment of a successor Indenture Trustee that complies with Section 6.11. 

(f) Notwithstanding the replacement of the Indenture Trustee pursuant to this Section 6.8, the Issuer’s obligations
under Section 6.7 and the Servicer’s corresponding obligations under the Servicing Agreement shall continue for the benefit of the retiring Indenture Trustee. 

Section 6.9 Merger or Consolidation of Indenture Trustee. 

(a) Any Person into which the Indenture Trustee may be merged or with which it may be consolidated, or any Person resulting from any
merger or consolidation to which the Indenture Trustee shall be a party, or any corporation succeeding to the corporate trust business of the Indenture Trustee, shall be the successor of the Indenture Trustee under this Indenture; provided,
however, that such Person shall be eligible under the provisions of Section 6.11, without the execution or filing of any instrument or any further act on the part of any of the parties to this Indenture, anything in this Indenture
to the contrary notwithstanding. Following such merger or consolidation, the successor Indenture Trustee shall mail a notice of such merger or consolidation to each of the Rating Agencies. 

(b) If at the time such successor or successors by merger or consolidation to the Indenture Trustee shall succeed to the trusts created
by this Indenture, any of the Notes shall have been authenticated but not delivered, any such successor to the Indenture Trustee may adopt the certificate of authentication of any predecessor trustee, and deliver such Notes so authenticated; and in
case at that time any of the Notes shall not have been authenticated, any successor to the Indenture Trustee may authenticate such Notes either in the name of any predecessor hereunder or in the name of the successor to the Indenture Trustee. In all
such cases such certificate of authentication shall have the same full force as is provided anywhere in the Notes or herein with respect to the certificate of authentication of the Indenture Trustee. 

Section 6.10 Appointment of Co-Indenture Trustee or Separate Indenture Trustee. 

(a) Notwithstanding any other provisions of this Indenture, at any time, for the purpose of meeting any legal requirement of any
jurisdiction in which any part of the Collateral or any Financed Vehicle may at the time be located, the Indenture Trustee shall have the power and may execute and deliver all instruments to appoint one or more Persons to act as a co-trustee or
co-trustees, or separate trustee or separate trustees, of all or any part of the Collateral, and to vest in such Person or Persons, in such capacity and for the benefit of the Noteholders and (only to the extent expressly provided herein) the
Certificateholders, such title to the Collateral, or any part hereof, and, subject to the other provisions of this Section 6.10, such powers, duties, obligations, rights and trusts as the Indenture Trustee may consider necessary or
desirable. No co-trustee or separate trustee hereunder shall be required to meet the terms of eligibility as a successor trustee under Section 6.11 and no notice to Noteholders of the appointment of any co-trustee or separate trustee
shall be required under Section 6.8. 
  

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 (b) Every separate trustee and co-trustee shall, to the extent permitted by law, be
appointed and act subject to the following provisions and conditions: 
 (i) all rights, powers, duties and
obligations conferred or imposed upon the Indenture Trustee shall be conferred or imposed upon and exercised or performed by the Indenture Trustee and such separate trustee or co-trustee jointly (it being understood that such separate trustee or
co-trustee is not authorized to act separately without the Indenture Trustee joining in such act), except to the extent that under any law of any jurisdiction in which any particular act or acts are to be performed the Indenture Trustee shall be
incompetent or unqualified to perform such act or acts, in which event such rights, powers, duties and obligations (including the holding of title to the Collateral or any portion thereof in any such jurisdiction) shall be exercised and performed
singly by such separate trustee or co-trustee, but solely at the direction of the Indenture Trustee; 
 (ii) no
trustee hereunder shall be personally liable by reason of any act or omission of any other trustee hereunder; and 

(iii) the Indenture Trustee may at any time accept the resignation of or remove any separate trustee or co-trustee.

 (c) Any notice, request or other writing given to the Indenture Trustee shall be deemed to have been given to each of the
then separate trustees and co-trustees, as effectively as if given to each of them. Every instrument appointing any separate trustee or co-trustee shall refer to this Indenture and the conditions of this Article VI. Each separate trustee
and co-trustee, upon its acceptance of the trusts conferred, shall be vested with the estates or property specified in its instrument of appointment, either jointly with the Indenture Trustee or separately, as may be provided therein, subject to all
the provisions of this Indenture, specifically including every provision of this Indenture relating to the conduct of, affecting the liability of, or affording protection to, the Indenture Trustee. Every such instrument shall be filed with the
Indenture Trustee. 
 (d) Any separate trustee or co-trustee may at any time constitute the Indenture Trustee, its agent or
attorney-in-fact with full power and authority, to the extent not prohibited by law, to do any lawful act under or in respect of this Indenture on its behalf and in its name. If any separate trustee or co-trustee shall die, become incapable of
acting, resign or be removed, all of its estates, properties, rights, remedies and trusts shall vest in and be exercised by the Indenture Trustee, to the extent permitted by law, without the appointment of a new or successor trustee. 

Section 6.11 Eligibility; Disqualification. 

(a) The Indenture Trustee shall have a combined capital and surplus of at least $50,000,000 as set forth in its most recent published
annual report of condition and (unless waived by Moody’s) it shall have a long term unsecured debt rating of “Baa3” or better by Moody’s and a rating of at least “BBB (low)” by DBRS, if rated by DBRS. 

 

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 (b) If a Default occurs and is continuing, and the Indenture Trustee is deemed to have a
conflicting interest as a result of acting as trustee for the Class A Notes, the Class B Notes and the Class C Notes, the Issuer shall appoint a successor Indenture Trustee for one, two or all of such classes, so that there will be
separate Indenture Trustees for the Class A Notes, the Class B Notes and the Class C Notes. No such event shall alter the voting rights of the Class A Noteholders, the Class B Noteholders or the Class C Noteholders
under this Indenture or any other Basic Document. However, so long as any amounts remain unpaid with respect to the Class A Notes, only the Indenture Trustee for the Class A Noteholders will have the right to exercise remedies under this
Indenture (but subject to the express provisions of Section 5.4 and to the right of the Class B Noteholders and the Class C Noteholders to receive their respective shares of any proceeds of enforcement, subject to the
subordination of the Class B Notes to the Class A Notes and to the subordination of the Class C Notes to the Class A Notes and the Class B Notes as described herein), to make deposits to and withdrawals from the Designated
Accounts, to hold Designated Account Property and to make distributions to Noteholders from the Note Distribution Account. Upon repayment of the Class A Notes in full, all rights to exercise remedies under the Indenture will transfer to the
Indenture Trustee for the Class B Notes and for so long as any amounts remain unpaid with respect to the Class B Notes, only the Indenture Trustee for the Class B Noteholders will have the right to exercise remedies under this
Indenture (but subject to the express provisions of Section 5.4 and to the right of the Class C Noteholders to receive their share of any proceeds of enforcement, subject to the subordination of the Class C Notes to the
Class B Notes as described herein), to make deposits to and withdrawals from the Designated Accounts, to hold Designated Account Property and to make distributions to Noteholders from the Note Distribution Account. Upon repayment of the
Class B Notes in full, all rights to exercise remedies under the Indenture will transfer to the Indenture Trustee for the Class C Notes. 

(c) In the case of the appointment hereunder of a successor Indenture Trustee with respect to any class of Notes, the Issuer, the
retiring Indenture Trustee and the successor Indenture Trustee with respect to such class of Notes shall execute and deliver an indenture supplemental hereto wherein the successor Indenture Trustee shall accept such appointment and which
(i) shall contain such provisions as shall be necessary or desirable to transfer and confirm to, and to vest in, the successor Indenture Trustee all the rights, powers, trusts and duties of the retiring Indenture Trustee with respect to the
Notes of the class to which the appointment of such successor Indenture Trustee relates, (ii) if the retiring Indenture Trustee is not retiring with respect to all classes of Notes, shall contain such provisions as shall be deemed necessary or
desirable to confirm that all the rights, powers, trusts and duties of the retiring Indenture Trustee with respect to the Notes of each class as to which the retiring Indenture Trustee is not retiring shall continue to be vested in the retiring
Indenture Trustee, and (iii) shall add to or change any of the provisions of this Indenture as shall be necessary to provide for or facilitate the administration of the trusts hereunder by more than one Indenture Trustee, it being understood
that nothing herein or in such supplemental indenture shall constitute such Indenture Trustees co-trustees of the same trust and that each such Indenture Trustee shall be trustee of a trust or trusts hereunder separate and apart from any trust or
trusts hereunder administered by any other such Indenture Trustee. Upon the execution and delivery of such supplemental indenture the resignation or removal of the retiring Indenture Trustee shall become effective to the extent provided therein.

  

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 Section 6.12 [Reserved]. 

Section 6.13 Representations and Warranties of Indenture Trustee. The Indenture Trustee represents and warrants as of the
Closing Date that: 
 (a) the Indenture Trustee is a national banking association duly organized, validly existing and in good
standing under the laws of the United States and the eligibility requirements set forth in Section 6.11 are satisfied with respect to the Indenture Trustee; 

(b) the Indenture Trustee has full power, authority and legal right to execute, deliver and perform this Indenture, and has taken all
necessary action to authorize the execution, delivery and performance by it of this Indenture; 
 (c) the execution, delivery
and performance by the Indenture Trustee of this Indenture (i) shall not violate any provision of any law or regulation governing the banking and trust powers of the Indenture Trustee or any order, writ, judgment or decree of any court,
arbitrator, or governmental authority applicable to the Indenture Trustee or any of its assets, (ii) shall not violate any provision of the corporate charter or by-laws of the Indenture Trustee, or (iii) shall not violate any provision of,
or constitute, with or without notice or lapse of time, a default under, or result in the creation or imposition of any lien on any properties included in the Collateral pursuant to the provisions of any mortgage, indenture, contract, agreement or
other undertaking to which it is a party, which violation, default or lien could reasonably be expected to have a materially adverse effect on the Indenture Trustee’s performance or ability to perform its duties under this Indenture or on the
transactions contemplated in this Indenture; 
 (d) the execution, delivery and performance by the Indenture Trustee of this
Indenture shall not require the authorization, consent or approval of, the giving of notice to, the filing or registration with, or the taking of any other action in respect of, any governmental authority or agency regulating the banking and
corporate trust activities of the Indenture Trustee; and 
 (e) this Indenture has been duly executed and delivered by the
Indenture Trustee and constitutes the legal, valid and binding agreement of the Indenture Trustee, enforceable in accordance with its terms. 

Section 6.14 Indenture Trustee May Enforce Claims Without Possession of Notes. All rights of action and claims under this
Indenture or the Notes may be prosecuted and enforced by the Indenture Trustee without the possession of any of the Notes or the production thereof in any proceeding relating thereto, and any such proceeding instituted by the Indenture Trustee shall
be brought in its own name as Indenture Trustee. Any recovery of judgment shall, after provision for the payment of the reasonable compensation, expenses, disbursements and advances of the Indenture Trustee, its agents and counsel, be for the
ratable benefit of the Noteholders and (only to the extent expressly provided herein) the Certificateholders in respect of which such judgment has been obtained. 

 

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 ARTICLE VII 

NOTEHOLDERS’ LISTS AND REPORTS 

Section 7.1 Issuer To Furnish Indenture Trustee Names and Addresses of Noteholders. The Issuer shall furnish or cause to be
furnished by the Servicer to the Indenture Trustee (a) not more than five days before each Distribution Date, a list, in such form as the Indenture Trustee may reasonably require, of the names and addresses of the Holders of Notes as of the
close of business on the Record Date and (b) at such other times as the Indenture Trustee may request in writing, within 14 days after receipt by the Issuer of any such request, a list of similar form and content as of a date not more than 10
days prior to the time such list is furnished; provided, however, that so long as the Indenture Trustee is the Note Registrar, no such list shall be required to be furnished. 

Section 7.2 Preservation of Information, Communications to Noteholders. The Indenture Trustee shall preserve, in as current a
form as is reasonably practicable, the names and addresses of the Holders of Notes contained in the most recent list furnished to the Indenture Trustee as provided in Section 7.1 and the names and addresses of Holders of Notes received
by the Indenture Trustee in its capacity as Note Registrar. The Indenture Trustee may destroy any list furnished to it as provided in such Section 7.1 upon receipt of a new list so furnished. 

ARTICLE VIII 

ACCOUNTS, DISBURSEMENTS AND RELEASES 

Section 8.1 Collection of Money. Except as otherwise expressly provided herein or in the other Basic Documents, the Indenture
Trustee may demand payment or delivery of, and shall receive and collect, directly and without intervention or assistance of any fiscal agent or other intermediary, all money and other property payable to or receivable by the Indenture Trustee
pursuant to this Indenture. The Indenture Trustee shall apply all such money received by it as provided in this Indenture and the Servicing Agreement. Except as otherwise expressly provided in this Indenture or in Article II of the Servicing
Agreement, if any default occurs in the making of any payment or performance under any agreement or instrument that is part of the Collateral, the Indenture Trustee may take such action as may be appropriate to enforce such payment or performance,
including the institution and prosecution of appropriate Proceedings. Any such action shall be without prejudice to any right to claim an Event of Default under this Indenture and any right to proceed thereafter as provided in Article V.

 Section 8.2 Designated Accounts; Payments. 

(a) On or before each Determination Date, with respect to the preceding Monthly Period and the related Distribution Date, the Servicer
shall calculate the Available Amount, the Total Available Amount, the Total Servicing Fee, the Backup Servicing Fee, the Aggregate Class A Noteholders’ Interest Distributable Amount, the Class B Noteholders’ Interest
Distributable Amount, the Class C Noteholders’ Interest Distributable Amount, the Priority Principal Distribution Amount, the Regular Principal Distribution Amount, the Principal Distributable Amount, the Reserve Account Deposit Amount and
all other amounts required to determine the amounts to be deposited in or paid from each of the Collection Account, the Note Distribution Account, the Certificate Distribution Account and the Reserve Account on the next succeeding Transfer Date or
Distribution Date, as applicable, and supply such information to the Issuer and the Indenture Trustee. 
  

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 (b) On or before each Transfer Date, the Indenture Trustee shall cause to be made the
following withdrawals, deposits, transfers and distributions in the amounts set forth in the Servicer’s Certificate delivered to the Indenture Trustee pursuant to Section 2.17 of the Servicing Agreement: 

(i) from the Collection Account to the Servicer, in immediately available funds, reimbursement of Outstanding Monthly
Advances pursuant to Section 2.14 of the Servicing Agreement, payments of Liquidation Expenses with respect to Receivables which became Liquidating Receivables during the related Monthly Period pursuant to Section 2.04 of the
Servicing Agreement and any unpaid Liquidation Expenses from prior periods; and 
 (ii) from the Reserve Account
to the Collection Account (A) if the related Distribution Date is not a date on or after which the Notes have been accelerated (unless such acceleration has been rescinded or annulled as provided herein), the lesser of (1) the amount of
cash or other immediately available funds therein on such Transfer Date and (2) the amount, if any, by which (y) the amount required to be paid pursuant to Section 8.2(c)(i) through Section 8.2(c)(v) exceeds
(z) the Total Available Amount (excluding funds from the Reserve Account) for the related Distribution Date, or (B) if the related Distribution Date is a date on or after which the Notes have been accelerated (unless such acceleration has
been rescinded or annulled as provided herein), the amount of cash or other immediately available funds therein on such Transfer Date. 

(c) Before 12:00 noon, New York City time, on each Transfer Date, the Indenture Trustee (based solely on the information contained in the
Servicer’s Certificate delivered to the Indenture Trustee pursuant to Section 2.17 of the Servicing Agreement) shall make the following distributions from the Collection Account (after the withdrawals, deposits and transfers
specified in Section 8.2(b) have been made) in the following order of priority: 
 (i) first, pro
rata, to the Servicer, to the extent of the Total Available Amount, the Total Servicing Fee and to the Backup Servicer, to the extent of the Total Available Amount, the Backup Servicing Fee; 

(ii) second, to the Note Distribution Account, to the extent of the Total Available Amount (as such amount has been
reduced by the distributions described in Section 8.2(c)(i) above), the Aggregate Class A Noteholders’ Interest Distributable Amount; 

(iii) third, to the Note Distribution Account, to the extent of the Total Available Amount (as such amount has been
reduced by the distributions described in Section 8.2(c)(i) and Section 8.2(c)(ii) above), the Class B Noteholders’ Interest Distributable Amount; 

(iv) fourth, to the Note Distribution Account, to the extent of the Total Available Amount (as such amount has been
reduced by the distributions described in Section 8.2(c)(i) through Section 8.2(c)(iii) above), the Class C Noteholders’ Interest Distributable Amount; 

 

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 (v) fifth, to the Note Distribution Account, to the extent of the Total
Available Amount (as such amount has been reduced by the distributions described in Section 8.2(c)(i) through Section 8.2(c)(iv) above) the Priority Principal Distribution Amount; 

(vi) sixth, if the related Distribution Date is not a date on or after which the Notes have been accelerated (unless such
acceleration has been rescinded or annulled as provided herein) to the Reserve Account, to the extent of the Total Available Amount (as such amount has been reduced by the distributions described in Section 8.2(c)(i) through
Section 8.2(c)(v) above), the amount by which the Specified Reserve Account Balance for the next succeeding Distribution Date exceeds the amount on deposit in the Reserve Account on such Transfer Date; 

(vii) seventh, to the Note Distribution Account, to the extent of the Total Available Amount (as such amount has been
reduced by the distributions described in Section 8.2(c)(i) through Section 8.2(c)(vi) above), the Regular Principal Distribution Amount, which shall be reduced by the amounts distributed in accordance with
Sections 8.2(c)(v) above); 
 (viii) eighth, to the Backup Servicer or, if NFC is no longer the
Servicer, to the successor Servicer, to the extent of the Total Available Amount (as such amount has been reduced by the distributions described in Section 8.2(c)(i) through Section 8.2(c)(vii) above), the Backup Servicing
Expenses or the Successor Servicer Expenses, as applicable; and 
 (ix) ninth, to the Certificate Distribution
Account, any portion of the Total Available Amount remaining after the distributions described in Section 8.2(c)(i) through Section 8.2(c)(viii) above. 

(d) On each Distribution Date, the Indenture Trustee shall distribute all amounts on deposit in the Note Distribution Account, subject to
the Certificateholder’s rights under Section 8.6 to Investment Earnings, to the Noteholders to the extent of amounts due and unpaid on the Notes for principal and interest, in the following amounts, and in the following order of
priority: 
 (i) (A) first, to accrued and unpaid interest on the Class A Notes; provided,
however, that if there are not sufficient funds in the Note Distribution Account to pay the entire amount of accrued and unpaid interest then due on the Class A Notes, the amount in the Note Distribution Account shall be applied to the
payment of such interest on each Note of each class of the Class A Notes pro rata on the basis of the respective aggregate amount of interest due on each such class of Class A Notes; (B) second, unless otherwise provided in
Section 8.2(d)(iii) below, to accrued and unpaid interest on the Class B Notes; provided, however, that if there are not sufficient funds in the Note Distribution Account (after the payment of all accrued and unpaid
interest on the 
  

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Class A Notes) to pay the entire amount of accrued and unpaid interest then due on the Class B Notes, the amount in the Note Distribution Account shall be applied to the payment of such
interest on each of the Class B Notes pro rata on the basis of the aggregate amount of interest due on each such Class B Note; and (C) third, unless otherwise provide in Section 8.2(d)(iii) below, to accrued and unpaid
interest on the Class C Notes; provided, however, that if there are not sufficient funds in the Note Distribution Account (after the payment of all accrued and unpaid interest on the Class A Notes and the Class B Notes)
to pay the entire amount of accrued and unpaid interest then due on the Class C Notes, the amount in the Note Distribution Account shall be applied to the payment of such interest on each of the Class C Notes pro rata on the basis of the
aggregate amount of interest due on each such Class C Note; 
 (ii) unless otherwise provided in
Section 8.2(d)(iii) or 8.2(d)(iv) below, the Principal Payment Amount shall be applied on each Distribution Date, as follows: 

(A) to the Class A-1 Notes until the Class A-1 Notes are paid in full; then 

(B) to the Class A-2 Notes until the Class A-2 Notes are paid in full; then 

(C) to the Class A-3 Notes until the Class A-3 Notes are paid in full; then 

(D) to the Class B Notes until the Class B Notes are paid in full; and then 

(E) to the Class C Notes until the Class C Notes are paid in full. 

(iii) if the Notes have been declared immediately due and payable as provided in Section 5.2(a) following the
occurrence of an Event of Default specified in Section 5.1(a), 5.1(b) or 5.1(c), any and all amounts remaining in the Note Distribution Account after the application described in Section 8.2(d)(i)(A) shall be
applied in the following priority: (A) to the repayment of principal of each of the Class A-1 Notes pro rata on the basis of the respective unpaid principal amount of each such Class A-1 Note until the Class A-1 Notes are paid in
full; (B) to the repayment of principal of each of the Class A-2 Notes and the Class A-3 Notes pro rata on the basis of the respective unpaid principal amount of each such Class A Note until the Class A-2 Notes and the
Class A-3 Notes are paid in full; (C) to the repayment of accrued and unpaid interest on each of the Class B Notes pro rata on the basis of the amount of interest due and unpaid on each such Class B Note; (D) to the
repayment of principal on each of the Class B Notes pro rata on the basis of the respective unpaid principal amount of each such Class B Note until the Class B Notes are paid in full; (E) to the repayment of accrued and unpaid
interest on each of the Class C Notes pro rata on the basis of the amount of interest due and unpaid on each such Class C Note; and (F) to the repayment of principal on each of the Class C Notes pro rata on the basis of the
respective unpaid principal amount of each such Class C Note until the Class C Notes are paid in full; and 
  

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 (iv) if the Notes have been declared immediately due and payable as provided
in Section 5.2(a) following the occurrence of an Event of Default specified in Section 5.1(d), 5.1(e), 5.1(f) or 5.1(g), any and all amounts remaining in the Note Distribution Account after the
application described in Section 8.2(d)(i) shall be applied in the following order of priority: (A) to the repayment of principal of each of the Class A-1 Notes pro rata on the basis of the respective unpaid principal amount of
each such Class A-1 Notes until the Class A-1 Notes are paid in full; (B) to the repayment of principal of each of the Class A-2 Notes and Class A-3 Notes pro rata on the basis of the respective unpaid principal amount of
each such Class A Note until the Class A-2 Notes and Class A-3 Notes are paid in full; (C) to the repayment of principal of each of the Class B Notes pro rata on the basis of the respective accrued and unpaid principal
amount of each such Class B Note until the Class B Notes are paid in full; and (D) to the repayment of principal of each of the Class C Notes pro rata on the basis of the respective accrued and unpaid principal amount of each
such Class C Note until the Class C Notes are paid in full; 
 (e) Pursuant to Section 5.2(a) of the Trust
Agreement, on each Distribution Date, the Paying Agent under the Trust Agreement shall distribute all amounts on deposit in the Certificate Distribution Account to the Certificateholders. 

(f) Notwithstanding the foregoing, in the event that the Servicer has not delivered the Servicer’s Certificate containing
instructions to the Indenture Trustee (required to be delivered pursuant to Section 2.17 of the Servicing Agreement) on or before 10:00 a.m. (Chicago, Illinois time) on any Determination Date so as to enable the Indenture Trustee to make
payments pursuant to and in accordance with the priorities set forth in this Article VIII on such Distribution Date, the Indenture Trustee shall, to the extent such funds are available, withdraw amounts (i) first, from the Collection
Account (other than amounts described in Section 8.2(b)(i)) and (ii) second, from the Reserve Account (based upon the information set forth in the last Servicer’s Certificate that the Indenture Trustee received from the
Servicer for the immediately preceding Distribution Date) and therefrom make required payments of interest and principal on the Notes on such Distribution Date, in each case, in accordance with the priorities set forth in this
Section 8.2. In the event that any Servicer’s Certificate is delivered after 10:00 a.m. (Chicago, Illinois time) on any Determination Date, the Indenture Trustee will rely on the information contained in such certificate to make
distributions in accordance with this Section 8.2 for the Distribution Date that relates to the next succeeding Determination Date. 

Section 8.3 General Provisions Regarding Accounts. 

(a) Subject to Section 6.1(c), the Indenture Trustee shall not in any way be held liable by reason of any insufficiency in
any of the Designated Accounts or the Certificate Distribution Account resulting from any loss on any Eligible Investment included therein except for losses attributable to the Indenture Trustee’s failure to make payments on such Eligible
Investments issued by the Indenture Trustee, in its commercial capacity as principal obligor and not as trustee, in accordance with their terms. 
  

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 (b) If (i) the Servicer shall have failed to give investment directions for any funds
on deposit in the Designated Accounts and Certificate Distribution Account to the Indenture Trustee by 11:00 a.m., New York City time (or such other time as may be agreed by the Servicer and the Indenture Trustee) on any Business Day, and
(ii) a Default shall have occurred and be continuing with respect to the Notes but (A) the Notes shall not have been declared due and payable pursuant to Section 5.2(a), or (B) such Notes shall have been declared due and
payable following an Event of Default but amounts collected or receivable from the Collateral are being applied in accordance with Section 5.4(b) as if there had not been such a declaration; then the Indenture Trustee shall, to the
fullest extent practicable, invest and reinvest funds in the Designated Accounts and Certificate Distribution Account in one or more Eligible Investments selected by the Indenture Trustee. 

(c) In making or disposing of any investment permitted by this Indenture, the Indenture Trustee is authorized to deal with itself (in its
individual capacity) or with any one or more of its Affiliates, in each case on an arm’s-length basis and on standard market terms, whether it or such Affiliate is acting as a sub-agent of the Indenture Trustee or for any third Person or
dealing as principal for its own account. 
 Section 8.4 Release of Collateral. 

(a) Subject to the payment of its fees and expenses pursuant to Section 6.7, the Indenture Trustee may, and when required by
the provisions of this Indenture shall, execute instruments to release property in the Collateral from the lien of this Indenture, or convey the Indenture Trustee’s interest in the same, in a manner and under circumstances that are consistent
with the provisions of this Indenture. No party relying upon an instrument executed by the Indenture Trustee as provided in this Article VIII shall be bound to ascertain the Indenture Trustee’s authority, inquire into the
satisfaction of any conditions precedent or see to the application of any monies. 
 (b) The Indenture Trustee shall, at such
time as there are no Notes Outstanding and all sums due to the Indenture Trustee pursuant to Section 6.7 have been paid, notify the Issuer thereof in writing and upon receipt of an Issuer Request, release any remaining portion of the
Collateral that secured the Notes from the lien of this Indenture and release to the Issuer or any other Person entitled thereto any funds then on deposit in the Note Distribution Account. The Indenture Trustee shall (i) release any remaining
portion of the Collateral that secured the Certificates from the lien of this Indenture and (ii) deposit in the Certificate Distribution Account any funds then on deposit in the Reserve Account or the Collection Account only at such time as
(A) there are no Notes Outstanding and (B) all sums due to the Indenture Trustee pursuant to Section 6.7 have been paid. 

Section 8.5 Opinion of Counsel. The Indenture Trustee shall receive at least seven days’ notice when requested by the
Issuer to take any action pursuant to Section 8.4(a), accompanied by copies of any instruments involved, and the Indenture Trustee shall also require as a condition to such action, an Opinion of Counsel, in form and substance
satisfactory to the Indenture Trustee, stating the legal effect of any such action, outlining the steps required to complete the same, and concluding that all conditions precedent to the taking of such action have been complied with and such action
shall not materially and adversely impair the security for the 
  

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Notes or the rights of the Noteholders in contravention of the provisions of this Indenture; provided, however, that such Opinion of Counsel shall not be required to express an opinion as to the
fair value of the Collateral. Counsel rendering any such opinion may rely, without independent investigation, on the accuracy and validity of any certificate or other instrument delivered to the Indenture Trustee in connection with any such action.

 Section 8.6 Investment Earnings and Supplemental Servicing Fees. The Servicer shall be entitled to retain all
Supplemental Servicing Fees. Except as otherwise provided in Section 2.02(b)(i) of the Servicing Agreement, the Certificateholders (via the Certificate Distribution Account or such other account as shall be designated in writing by the
Certificateholders to the Servicer) shall be entitled to receive all Investment Earnings, when and as paid. The Servicer will not have any obligation to deposit any such amount in any account established hereunder. To the extent that any such amount
shall be held in any account (other than, with respect to amounts to be distributed to the Certificateholders, the Certificate Distribution Account) held by either Trustee, or otherwise established hereunder, such amount will be withdrawn therefrom
and paid to the Servicer or deposited in the Certificate Distribution Account for distribution to the Certificateholders, as applicable, upon presentation of a certificate signed by a Responsible Officer of such Person setting forth, in reasonable
detail, the amount of such Supplemental Servicing Fees or such Investment Earnings, respectively. 
 Section 8.7 Net
Deposits. At any time that (a) NFC shall be the Servicer and (b) the Servicer shall be permitted by Section 2.12 of the Servicing Agreement to remit collections on a basis other than a daily basis, the Indenture Trustee at the
written request of the Servicer may make any remittances pursuant to this Article VIII net of amounts to be distributed by the Indenture Trustee to such remitting party. Nonetheless, the Indenture Trustee shall account for all of the
above described remittances and distributions as if the amounts were deposited and/or transferred separately. 

Section 8.8 Statements to Securityholders. 

(a) On each Distribution Date, the Issuer shall include with each distribution to each Certificateholder, and the Indenture Trustee
shall, in accordance with Section 8.8(d), make available to each Noteholder and the Rating Agencies a statement based on (subject to the last sentence of this Section 8.8(a)) information in the Servicer’s Certificate
furnished pursuant to Section 2.17 of the Servicing Agreement. Each such statement shall set forth the following information as to the Notes and the Receivables with respect to such Distribution Date or the preceding Monthly Period, as
applicable: 
 (i) the amount of the distribution allocable to interest on or with respect to each class of
Notes; 
 (ii) the Aggregate Receivables Balance as of the close of business on the last day of the related
Monthly Period; 
 (iii) the amount of Outstanding Monthly Advances with respect to all Receivables on such
Distribution Date; 
  

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 (iv) the amount of the Total Servicing Fee paid or payable to the Servicer
with respect to the related Monthly Period; 
 (v) the amount of Aggregate Losses for the related Monthly Period;

 (vi) the Delinquency Percentage for the related Monthly Period; 

(vii) the sum of all Administrative Purchase Payments and all Warranty Payments made for the related Monthly Period;

 (viii) the amount of the distribution allocable to principal of each class of Notes; 

(ix) the Note Principal Balance and the Note Pool Factor for each class of Notes, each after giving effect to all payments
reported under Section 8.8(a)(viii) above on such date; 
 (x) the amounts, if any, paid to the
Servicer or distributed to Noteholders from amounts on deposit in the Reserve Account (expressed as a dollar amount per $1,000 of the face amount of the Notes); 

(xi) the amount of the Class A Noteholders’ Interest Carryover Shortfall, if any, the Class B
Noteholders’ Interest Carryover Shortfall, if any, the Class C Noteholders’ Interest Carryover Shortfall, if any, and the change in such amounts from the preceding Distribution Date; and 

(xii) the balance (if any) of the Reserve Account and the Specified Reserve Account Balance on such date, after giving
effect to distributions, withdrawals, transfers and deposits made on such date, and the change in such balance from that of the prior Distribution Date. 

Each amount set forth pursuant to Section 8.8(a)(i), Section 8.8(a)(iv), Section 8.8(a)(viii),
Section 8.8(a)(x) and Section 8.8(a)(xi) above shall be expressed as a dollar amount per $1,000 of initial Note Principal Balance. In lieu of preparing and making available a separate statement to Securityholders pursuant to
this Section 8.8(a), a Trustee may make available in accordance with Section 8.8(d) a copy of the Servicer’s Certificate furnished pursuant to Section 2.17 of the Servicing Agreement. 

(b) Within the prescribed period of time for tax reporting purposes after the end of each calendar year during the term of this
Agreement, the Servicer shall prepare and execute and the Owner Trustee shall mail to each Person who at any time during such calendar year shall have been a holder of Certificates and received any payments thereon, a statement prepared and supplied
by the Servicer containing the amounts set forth in each of Sections 8.8(a)(i), 8.8(a)(iv), 8.8(a)(viii), 8.8(a)(x) and 8.8(a)(xi) above, for such calendar year or, if such Person shall have been a
Securityholder during a portion of such calendar year and received any payments thereon, for the applicable portion of such year, for the purposes of such Securityholder’s preparation of federal income tax returns. Within the prescribed period
of time for tax reporting purposes after the end of each calendar year during the term of this Agreement, 
  

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the Servicer shall prepare and execute and the Indenture Trustee shall make available in accordance with Section 8.8(d) (without request of a Noteholder) to each Person who at any
time during such calendar year shall have been a holder of Notes and received any payments thereon, a statement prepared and supplied by the Servicer containing the amounts set forth in each of Sections 8.8(a)(i), 8.8(a)(iv),
8.8(a)(viii), 8.8(a)(x) and 8.8(a)(xi) above, for such calendar year or, if such Person shall have been a Securityholder during a portion of such calendar year and received any payments thereon, for the applicable portion of
such year, for the purposes of such Securityholder’s preparation of federal income tax returns. 
 (c) Subject to
Section 8.2(f), for purposes of this Section 8.8, the Indenture Trustee’s duties are limited to the extent that the Indenture Trustee receives the Servicer’s Certificate as required by Section 2.17 of the
Servicing Agreement. The Indenture Trustee may conclusively rely upon but shall not be responsible for the content or accuracy of the Servicer’s Certificate and shall have no obligation to verify, confirm or recalculate any information provided
therein. 
 (d) If the Indenture Trustee is required to make available information or documentation pursuant to any Section of
this Indenture, the Trust Agreement or the Servicing Agreement, or (with the Administrator’s prior consent) if any information or documentation is requested by a Noteholder, the Indenture Trustee will make such information or documentation
available via the Indenture Trustee’s internet website which will initially be located at www.sf.citidirect.com or at such address as the Indenture Trustee notifies the Noteholders of in the manner described below. In connection with
providing access to the Indenture Trustee’s internet website, the Indenture Trustee may require registration and the acceptance of a disclaimer. Assistance in using the website can be obtained by calling the Indenture Trustee’s customer
service desk at 866-846-4526. Noteholders that are unable to use the above distribution option are entitled to have a paper copy mailed to them via first class mail by delivering written notice to the Indenture Trustee and requesting such. The
Indenture Trustee shall have the right to change the way such statements are distributed in order to make such distribution more convenient and/or more accessible to the above parties and the Indenture Trustee shall provide timely and adequate
notification to the above parties regarding any such changes. 
 Section 8.9 Designated Accounts. On or prior to the
Closing Date, the Issuer shall cause the Servicer to establish and maintain, in the name of the Indenture Trustee, for the benefit of the Financial Parties, the Designated Accounts as provided in Section 2.02 of the Servicing Agreement.

 Section 8.10 Reserve Account. 

(a) On the Closing Date, the Seller shall cause the Reserve Account Initial Deposit to be deposited into the Reserve Account. The Reserve
Account shall be the property of the Issuer, subject to the rights of the Indenture Trustee in the Reserve Account Property. 

(b) Amounts shall be withdrawn from the Reserve Account and deposited in the Collection Account from time to time as provided in
Section 8.2. If the amount on deposit in the Reserve Account on any Distribution Date (after giving effect to all deposits therein or 

 

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withdrawals therefrom on such Distribution Date) exceeds the Specified Reserve Account Balance for such Distribution Date, and if the Notes have not been declared due and payable following an
Event of Default, the Indenture Trustee shall, upon receipt of instruction from the Servicer, deposit into the Certificate Distribution Account an amount equal to any such excess for distribution to the Certificateholders or upon the order of the
Certificateholders in an account designated in writing by the Certificateholders to the Servicer. If there are any amounts on deposit in the Reserve Account on the Final Scheduled Distribution Date for the Class C Notes, after giving effect to
any withdrawals required to be made on such date, the Indenture Trustee shall deposit such excess into the Certificate Distribution Account for distribution to the Certificateholders. 

ARTICLE IX 

SUPPLEMENTAL INDENTURES 

Section 9.1 Supplemental Indentures Without Consent of Noteholders. 

(a) Without the consent of the Holders of any Notes, but with prior notice to the Rating Agencies, the Issuer and the Indenture Trustee,
when authorized by an Issuer Order, at any time and from time to time, may enter into one or more indentures supplemental hereto, in form satisfactory to the Indenture Trustee, for any of the following purposes: 

(i) to correct or amplify the description of any property at any time subject to the lien of this Indenture, or better to
assure, convey and confirm unto the Indenture Trustee any property subject or required to be subjected to the lien of this Indenture, or to subject additional property to the lien of this Indenture; 

(ii) to evidence the succession, in compliance with Section 3.11 and the applicable provisions hereof, of
another Person to the Issuer, and the assumption by any such successor of the covenants of the Issuer contained herein and in the Notes; 

(iii) to add to the covenants of the Issuer for the benefit of the Securityholders, or to surrender any right or power
herein conferred upon the Issuer; 
 (iv) to convey, transfer, assign, mortgage or pledge any property to or with
the Indenture Trustee; 
 (v) to cure any ambiguity or to correct or supplement any provision herein or in any
supplemental indenture which may be inconsistent with any other provision herein, in any supplemental indenture or in any other Basic Document; or 

(vi) to evidence and provide for the acceptance of the appointment hereunder by a successor or additional Indenture
Trustee with respect to the Notes or any class thereof and to add to or change any of the provisions of this Indenture as shall be necessary to facilitate the administration of the trusts hereunder by more than one trustee, pursuant to the
requirements of Article VI. 
 (b) The Issuer and the Indenture Trustee, when authorized by an Issuer Order, may,
also without the consent of any of the Noteholders but with prior notice to the Rating 
  

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Agencies, at any time and from time to time enter into one or more indentures supplemental hereto for the purpose of adding any provisions to, changing in any manner, or eliminating any of the
provisions of, this Indenture or modifying in any manner the rights of the Noteholders under this Indenture; provided, however, that such action shall not, as evidenced by an Opinion of Counsel, adversely affect in any material respect
the interests of any Noteholder. 
 Section 9.2 Supplemental Indentures With Consent of Noteholders. 

(a) The Issuer and the Indenture Trustee, when authorized by an Issuer Order, also may, with prior notice to the Rating Agencies and with
the consent of the Holders of not less than a majority of the Outstanding Amount of the Controlling Class, by Act of such Holders delivered to the Issuer and the Indenture Trustee, enter into an indenture or indentures supplemental hereto for the
purpose of adding any provisions to, changing in any manner, or eliminating any of the provisions of, this Indenture or modifying in any manner the rights of the Noteholders under this Indenture; provided, however, that no such
supplemental indenture shall, without the consent of the Holder of each Outstanding Note affected thereby: 
 (i)
change the due date of any installment of principal of or interest on any Note, or reduce the principal amount thereof, the interest rate applicable thereto, or the Redemption Price with respect thereto, change any place of payment where, or the
coin or currency in which, any Note or any interest thereon is payable, or impair the right to institute suit for the enforcement of the provisions of this Indenture requiring the application of funds available therefor, as provided in
Article V, to the payment of any such amount due on the Notes on or after the respective due dates thereof (or, in the case of redemption, if applicable, on or after the Redemption Date or Optional Purchase Date, as applicable);

 (ii) reduce the percentage of the Outstanding Amount of the Controlling Class, the consent of the Holders of
which is required for (A) any such supplemental indenture, (B) any waiver of compliance with certain provisions of this Indenture, certain defaults hereunder and their consequences as provided for in this Indenture, or (C) any action
described in Sections 2.12, 3.7(e), 5.2, 5.6, 5.11, 5.12(a), 6.8, or 6.16; 

(iii) modify or alter the provisions of the proviso to the definition of the term “Outstanding”; 

(iv) reduce the percentage of the Outstanding Amount of the Notes required to direct the Indenture Trustee to sell or
liquidate the Collateral pursuant to Section 5.4 if the proceeds of such sale would be insufficient to pay the principal amount of and accrued but unpaid interest on the Outstanding Notes; 

(v) modify any provision of this Section 9.2 to decrease the required minimum percentage necessary to approve
any amendments to any provisions of this Indenture or any of the Basic Documents; 
 (vi) modify any of the
provisions of this Indenture in such manner as to affect the calculation of the amount of any payment of interest or principal due on any 

 

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Note on any Distribution Date (including the calculation of any of the individual components of such calculation), or modify or alter the provisions of the Indenture regarding the voting of Notes
held by the Issuer, the Seller or any Affiliate of either of them; or 
 (vii) permit the creation of any Lien
(other than Permitted Liens) ranking prior to or on a parity with the lien of this Indenture with respect to any part of the Collateral or, except as otherwise permitted or contemplated herein, terminate the lien of this Indenture on any property at
any time subject to the lien of this Indenture or deprive the Holder of any Note of the security afforded by the lien of this Indenture. 

(b) The Indenture Trustee may in its discretion determine whether or not any Notes would be affected (such that the consent of each
Noteholder would be required) by any supplemental indenture proposed pursuant to this Section 9.2 and any such determination shall be conclusive and binding upon all of the Noteholders, whether authenticated and delivered thereunder
before or after the date upon which such supplemental indenture becomes effective. The Indenture Trustee shall not be liable for any such determination made in good faith. 

(c) It shall be sufficient if an Act of Noteholders approves the substance, but not the form, of any proposed supplemental indenture.

 (d) Promptly after the execution by the Issuer and the Indenture Trustee of any supplemental indenture pursuant to this
Section 9.2, the Indenture Trustee shall make available to the Noteholders to which such amendment or supplemental indenture relates, in accordance with Section 8.8(d), a notice setting forth in general terms the substance of
such supplemental indenture. Any failure of the Indenture Trustee to make available such notice, or any defect therein, shall not, however, in any way impair or affect the validity of any such supplemental indenture. 

Section 9.3 Execution of Supplemental Indentures. In executing, or permitting the additional trusts created by, any
supplemental indenture permitted by this Article IX or the modifications thereby of the trusts created by this Indenture, the Indenture Trustee shall be entitled to receive, and subject to Sections 6.1 and 6.2, shall
be fully protected in relying upon, an Opinion of Counsel stating that the execution of such supplemental indenture is authorized or permitted by this Indenture and that all conditions precedent to such execution have been satisfied. The Indenture
Trustee may, but shall not be obligated to, enter into any such supplemental indenture that affects the Indenture Trustee’s own rights, duties, liabilities or immunities under this Indenture or otherwise. 

Section 9.4 Effect of Supplemental Indenture. Upon the execution of any supplemental indenture pursuant to the provisions
hereof, this Indenture shall be and be deemed to be modified and amended in accordance therewith with respect to the Notes affected thereby, and the respective rights, limitations of rights, obligations, duties, liabilities and immunities under this
Indenture of the Indenture Trustee, the Issuer and the Noteholders shall thereafter be determined, exercised and enforced hereunder subject in all respects to such modifications and amendments, and all the terms and conditions of any such
supplemental indenture shall be and be deemed to be part of the terms and conditions of this Indenture for any and all purposes. 
  

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 Section 9.5 [Reserved]. 

Section 9.6 Reference in Notes to Supplemental Indentures. Notes authenticated and delivered after the execution of any
supplemental indenture pursuant to this Article IX may, and if required by the Indenture Trustee shall, bear a notation in form approved by the Indenture Trustee as to any matter provided for in such supplemental indenture. If the Issuer or the
Indenture Trustee shall so determine, new Notes so modified as to conform, in the opinion of the Indenture Trustee and the Issuer, to any such supplemental indenture may be prepared and executed by the Issuer and authenticated and delivered by the
Indenture Trustee in exchange for Outstanding Notes of the same class. 
 ARTICLE X 

REDEMPTION OF NOTES 

Section 10.1 Redemption. 

(a) The Notes shall be redeemed in whole and not in part, upon the exercise by (i) the Servicer of its option to purchase the
Receivables pursuant to Section 4.01 of the Pooling Agreement or (ii) the Seller of its option to purchase the Receivables pursuant to Section 4.03 of the Pooling Agreement. Such redemption shall occur on the same Distribution Date as
the Distribution Date on which the Servicer exercises its option to purchase the Receivables pursuant to Section 4.01 of the Pooling Agreement or the Distribution Date on which the Seller exercises its option to purchase the Receivables
pursuant to Section 4.03 of the Pooling Agreement, as applicable. The redemption price for the Notes to be redeemed shall be equal to the Redemption Price. The Issuer shall furnish the Rating Agencies notice of such redemption. If the Notes are
to be redeemed pursuant to this Section 10.1(a), the Issuer shall furnish notice thereof to the Indenture Trustee not later than 25 days prior to the Redemption Date or the Optional Purchase Date, as applicable, and the Issuer shall
deposit into the Note Distribution Account, on or before the Redemption Date or on the Optional Purchase Date, as applicable, the aggregate Redemption Price of the Notes, whereupon all of the Notes shall be due and payable on the Redemption Date or
the Optional Purchase Date, as applicable. 
 (b) [Reserved]. 

(c) Within 60 days after the redemption in full pursuant to this Section 10.1 of the Notes, the Indenture Trustee shall
provide each of the Rating Agencies with written notice stating that all of the Notes have been redeemed. 
 Section 10.2
Form of Redemption Notice. 
 (a) Notice of redemption of the Notes under Section 10.1(a) shall be given by
the Indenture Trustee by first-class mail, postage prepaid, mailed not less than five days prior to the Redemption Date or Optional Repurchase Date, as applicable, to each Holder of the Notes of record, respectively, at such Noteholder’s
address appearing in the Note Register. 
 (b) All notices of redemption shall state: 

(i) the Redemption Date or Optional Purchase Date, as applicable; 

 

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 (ii) the Redemption Price; 

(iii) the place where Notes are to be surrendered for payment of the Redemption Price (which shall be the Agency Office to
be maintained as provided in Section 3.2); and 
 (iv) the CUSIP numbers for all of the Notes.

 (c) Notice of redemption of the Notes shall be given by the Indenture Trustee in the name and at the expense of the Issuer.
Failure to give notice of redemption, or any defect therein, to any Holder of any Note to be redeemed shall not impair or affect the validity of the redemption of any other Note to be redeemed. 

(d) [Reserved.] 

Section 10.3 Notes Payable on Redemption Date or Optional Purchase Date. All of the Notes shall, following notice of
redemption as required by Section 10.2, on the Redemption Date or Optional Purchase Date, as applicable, cease to be Outstanding for purposes of this Indenture and shall thereafter represent only the right to receive the applicable
Redemption Price and (unless the Issuer shall default in the payment of such Redemption Price) no interest shall accrue on such Redemption Price for any period after the date to which accrued interest is calculated for purposes of calculating such
Redemption Price. 
 ARTICLE XI 

MISCELLANEOUS 

Section 11.1 Compliance Certificates and Opinions, etc. 

(a) Upon any application or request by the Issuer to the Indenture Trustee to take any action under any provision of this Indenture, the
Issuer shall furnish to the Indenture Trustee: (i) an Officer’s Certificate stating that all conditions precedent, if any, provided for in this Indenture relating to the proposed action have been complied with and (ii) an Opinion of
Counsel stating that in the opinion of such counsel all such conditions precedent, if any, have been complied with, except that, in the case of any such application or request as to which the furnishing of such documents is specifically required by
any provision of this Indenture, no additional certificate or opinion need be furnished. Every certificate or opinion with respect to compliance with a condition or covenant provided for in this Indenture shall include: 

(i) a statement that each signatory of such certificate or opinion has read or has caused to be read such covenant or
condition and the definitions herein relating thereto; 
 (ii) a brief statement as to the nature and scope of
the examination or investigation upon which the statements or opinions contained in such certificate or opinion are based; 

(iii) a statement that, in the judgment of each such signatory, such signatory has made such examination or investigation
as is necessary to enable such signatory to express an informed opinion as to whether or not such covenant or condition has been complied with; and 
  

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 (iv) a statement as to whether, in the opinion of each such signatory, such
condition or covenant has been complied with. 
 (b) (i) Prior to the deposit with the Indenture Trustee of any Collateral or
other property or securities that is to be made the basis for the release of any property or securities subject to the lien of this Indenture, the Issuer shall, in addition to any obligation imposed in Section 11.1(a) or elsewhere in
this Indenture, furnish to the Indenture Trustee an Officer’s Certificate certifying or stating the opinion of each Person signing such certificate as to the fair value (within 60 days of such deposit) to the Issuer of the Collateral or other
property or securities to be so deposited. 
 (ii) Whenever the Issuer is required to furnish to the Indenture
Trustee an Officer’s Certificate certifying or stating the opinion of any signer thereof as to the matters described in Section 11.1(b)(i) above, the Issuer shall also deliver to the Indenture Trustee an Independent Certificate as
to the same matters, if the fair value to the Issuer of the securities to be so deposited and of all other such securities made on the basis of any such withdrawal or release since the commencement of the then current fiscal year of the Issuer, as
set forth in the certificates delivered pursuant to Section 11.1(b)(i) above and this Section 11.1(b)(ii), is 10% or more of the Outstanding Amount of the Notes, but such a certificate need not be furnished with respect to
any securities so deposited if the fair value thereof to the Issuer as set forth in the related Officer’s Certificate is less than $25,000 or less than one percent of the Outstanding Amount of the Notes. 

(iii) Other than with respect to the release of any Warranty Receivables, Administrative Receivables or Liquidating
Receivables, whenever any property or securities are to be released from the lien of this Indenture, the Issuer shall also furnish to the Indenture Trustee an Officer’s Certificate certifying or stating the opinion of each Person signing such
certificate as to the fair value (within 60 days of such release) of the property or securities proposed to be released and stating that in the opinion of such Person the proposed release will not impair the security under this Indenture in
contravention of the provisions hereof. 
 (iv) Whenever the Issuer is required to furnish to the Indenture
Trustee an Officer’s Certificate certifying or stating the opinion of any signatory thereof as to the matters described in Section 11.1(b)(iii) above, the Issuer shall also furnish to the Indenture Trustee an Independent Certificate
as to the same matters if the fair value of the property or securities and of all other property, other than Warranty Receivables, Administrative Receivables and Liquidating Receivables, or securities released from the lien of this Indenture since
the commencement of the then current calendar year, as set forth in the certificates required by Section 11.1(b)(iii) above and this clause Section 11.1(b)(iv), equals 10% or more of the Outstanding Amount of the Notes, but
such certificate need not be furnished in the case of any release of property or securities if the fair value thereof as set forth in the related Officer’s Certificate is less than $25,000 or less than one percent of the then Outstanding Amount
of the Notes. 
  

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 (v) Notwithstanding any other provision of this Section 11.1,
the Issuer may (A) collect, liquidate, sell or otherwise dispose of Receivables as and to the extent permitted or required by the Basic Documents and (B) make cash payments out of the Designated Accounts and the Certificate Distribution
Account as and to the extent permitted or required by the Basic Documents. 
 Section 11.2 Form of Documents Delivered
to Indenture Trustee. 
 (a) In any case where several matters are required to be certified by, or covered by an opinion of,
any specified Person, it is not necessary that all such matters be certified by, or covered by the opinion of, only one such Person, or that they be so certified or covered by only one document, but one such Person may certify or give an opinion
with respect to some matters and one or more other such Persons as to other matters, and any such Person may certify or give an opinion as to such matters in one or several documents. 

(b) Any certificate or opinion of an Authorized Officer of the Issuer may be based, insofar as it relates to legal matters, upon a
certificate or opinion of, or representations by, counsel, unless such officer knows, or in the exercise of reasonable care should know, that the certificate or opinion or representations with respect to the matters upon which his certificate or
opinion is based are erroneous. Any such certificate of an Authorized Officer or Opinion of Counsel may be based, insofar as it relates to factual matters, upon a certificate or opinion of, or representations by, an officer or officers of the
Servicer, the Seller, the Issuer or the Administrator, stating that the information with respect to such factual matters is in the possession of the Servicer, the Seller, the Issuer or the Administrator, unless such counsel knows, or in the exercise
of reasonable care should know, that the certificate or opinion or representations with respect to such matters are erroneous. 

(c) Where any Person is required to make, give or execute two or more applications, requests, consents, certificates, statements,
opinions or other instruments under this Indenture, they may, but need not, be consolidated and form one instrument. 
 (d)
Whenever in this Indenture, in connection with any application or certificate or report to the Indenture Trustee, it is provided that the Issuer shall deliver any document as a condition of the granting of such application, or as evidence of the
Issuer’s compliance with any term hereof, it is intended that the truth and accuracy, at the time of the granting of such application or at the effective date of such certificate or report (as the case may be), of the facts and opinions stated
in such document shall in such case be conditions precedent to the right of the Issuer to have such application granted or to the sufficiency of such certificate or report. The foregoing shall not, however, be construed to affect the Indenture
Trustee’s right to rely upon the truth and accuracy of any statement or opinion contained in any such document as provided in Article VI. 
  

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 Section 11.3 Acts of Noteholders. 

(a) Any request, demand, authorization, direction, notice, consent, waiver or other action provided by this Indenture to be given or
taken by Noteholders or a class of Noteholders may be embodied in and evidenced by one or more instruments of substantially similar tenor signed by such Noteholders in person or by agents duly appointed in writing; and except as herein otherwise
expressly provided such action shall become effective when such instrument or instruments are delivered to the Indenture Trustee, and, where it is hereby expressly required, to the Issuer. Such instrument or instruments (and the action embodied
therein and evidenced thereby) are herein sometimes referred to as the “Act” of the Noteholders signing such instrument or instruments. Proof of execution of any such instrument or of a writing appointing any such agent shall be
sufficient for any purpose of this Indenture and (subject to Section 6.1) conclusive in favor of the Indenture Trustee and the Issuer, if made in the manner provided in this Section 11.3. 

(b) The fact and date of the execution by any Person of any such instrument or writing may be proved in any manner that the Indenture
Trustee deems sufficient. 
 (c) The ownership of Notes shall be proved by the Note Register. 

(d) Any request, demand, authorization, direction, notice, consent, waiver or other action by the Holder of any Notes (or any one or more
predecessor Notes) shall bind the Holder of every Note issued upon the registration thereof or in exchange therefor or in lieu thereof, in respect of anything done, omitted or suffered to be done by the Indenture Trustee or the Issuer in reliance
thereon, whether or not notation of such action is made upon such Note. 
 Section 11.4 Notices, etc., to Indenture
Trustee, Issuer and Rating Agencies. Any request, demand, authorization, direction, notice, consent, waiver or Act of Noteholders or other documents required or permitted by this Indenture to be made upon, given or furnished to or filed with the
Indenture Trustee, the Issuer or the Rating Agencies under this Indenture shall be made upon, given or furnished to or filed with such party as specified in Appendix B to the Pooling Agreement. 

Section 11.5 Notices to Noteholders; Waiver. 

(a) Where this Indenture provides for notice to Noteholders of any condition or event, such notice shall be given as specified in
Appendix B to the Pooling Agreement. 
 (b) Where this Indenture provides for notice in any manner, such notice may be
waived in writing by any Person entitled to receive such notice, either before or after the event, and such waiver shall be the equivalent of such notice. Waivers of notice by Noteholders shall be filed with the Indenture Trustee but such filing
shall not be a condition precedent to the validity of any action taken in reliance upon such a waiver. 
 (c) In case, by reason
of the suspension of regular mail service as a result of a strike, work stoppage or similar activity, it shall be impractical to mail notice of any event to Noteholders when such notice is required to be given pursuant to any provision of this
Indenture, then any manner of giving such notice as shall be satisfactory to the Indenture Trustee shall be deemed to be a sufficient giving of such notice. 
  

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 (d) Where this Indenture provides for notice to the Rating Agencies, failure to give such
notice shall not affect any other rights or obligations created hereunder, and shall not under any circumstance constitute an Event of Default. 

Section 11.6 Alternate Payment and Notice Provisions. Notwithstanding any provision of this Indenture or any of the Notes to
the contrary, the Issuer may enter into any agreement with any Holder of a Note providing for a method of payment, or notice by the Indenture Trustee or any Paying Agent to such Holder, that is different from the methods provided for in this
Indenture for such payments or notices. The Issuer shall furnish to the Indenture Trustee a copy of each such agreement and the Indenture Trustee shall cause payments to be made and notices to be given in accordance with such agreements. 

Section 11.7 [Reserved]. 

Section 11.8 Effect of Headings and Table of Contents. The Article and Section headings herein and the Table of Contents are
for convenience only and shall not affect the construction hereof. 
 Section 11.9 Successors and Assigns.

 (a) All covenants and agreements in this Indenture and the Notes by the Issuer shall bind its successors and assigns, whether
so expressed or not. 
 (b) All covenants and agreements of the Indenture Trustee in this Indenture shall bind its successors
and assigns, whether so expressed or not. 
 Section 11.10 Separability. In case any provision in this Indenture or
in the Notes shall be invalid, illegal or unenforceable, the validity, legality, and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. 

Section 11.11 Benefits of Indenture. Nothing in this Indenture or in the Notes, express or implied, shall give to any Person,
other than the parties hereto and their successors hereunder, the Noteholders and the Note Owners and (only to the extent expressly provided herein) the Certificateholders, any other party secured hereunder and any other Person with an ownership
interest in any part of the Collateral, any benefit or any legal or equitable right, remedy or claim under this Indenture. 

Section 11.12 Legal Holidays. If the date on which any payment is due shall not be a Business Day, then (notwithstanding any
other provision of the Notes or this Indenture) payment need not be made on such date, but may be made on the next succeeding Business Day with the same force and effect as if made on the date on which nominally due, and no interest shall accrue for
the period from and after any such nominal date. 
 Section 11.13 Governing Law; Submission to Jurisdiction.

 (a) This Indenture shall be construed in accordance with the laws of the State of Illinois, without reference to its conflict
of law provisions, except that the obligations, rights and remedies of the Indenture Trustee hereunder shall be determined in accordance with the internal laws of the State of New York, without reference to its conflict of law provisions.

  

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 (b) EACH OF THE PARTIES HERETO OTHER THAN THE INDENTURE TRUSTEE HEREBY SUBMITS TO THE
NONEXCLUSIVE JURISDICTION OF THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS AND OF ANY ILLINOIS STATE COURT SITTING IN THE CITY OF CHICAGO FOR PURPOSES OF ALL LEGAL PROCEEDINGS ARISING OUT OF OR RELATING TO THIS AGREEMENT OR
THE TRANSACTIONS CONTEMPLATED HEREBY. EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT IT MAY EFFECTIVELY DO SO, ANY OBJECTION WHICH IT MAY NOW OR HEREAFTER HAVE TO THE LAYING OF THE VENUE OF ANY SUCH PROCEEDING BROUGHT IN
SUCH A COURT AND ANY CLAIM THAT ANY SUCH PROCEEDING BROUGHT IN SUCH A COURT HAS BEEN BROUGHT IN AN INCONVENIENT FORUM. NOTHING IN THIS SECTION 11.13 SHALL AFFECT THE RIGHT OF ANY PARTY TO BRING ANY ACTION OR PROCEEDING AGAINST ANY OTHER
PARTY OR ITS RESPECTIVE PROPERTIES IN THE COURTS OF OTHER JURISDICTIONS. 
 Section 11.14 Counterparts. This
Indenture may be executed in any number of counterparts, each of which so executed shall be deemed to be an original, but all such counterparts shall together constitute but one and the same instrument. 

Section 11.15 Recording of Indenture. If this Indenture is subject to recording in any appropriate public recording offices,
such recording is to be effected by the Issuer and at its expense accompanied by an Opinion of Counsel (which may be counsel to the Indenture Trustee or any other counsel reasonably acceptable to the Indenture Trustee) to the effect that such
recording is necessary either for the protection of the Noteholders or any other Person secured hereunder or for the enforcement of any right or remedy granted to the Indenture Trustee under this Indenture. 

Section 11.16 No Recourse. No recourse may be taken, directly or indirectly, with respect to the obligations of the Issuer,
the Owner Trustee or the Indenture Trustee on the Notes or under this Indenture or any certificate or other writing delivered in connection herewith or therewith, against: 

(a) the Indenture Trustee or the Owner Trustee in its individual capacity; 

(b) any owner of a beneficial interest in the Issuer; or 

(c) any partner, owner, beneficiary, agent, officer, director, employee or agent of the Indenture Trustee or the Owner Trustee in their
individual capacities, any holder of a beneficial interest in the Issuer, the Owner Trustee or the Indenture Trustee or of any successor or assign of the Indenture Trustee or the Owner Trustee in their individual capacities (or any of their
successors or assigns), except as any such Person may have expressly agreed (it being understood that the Indenture Trustee and the Owner Trustee have no such obligations in their individual capacities) and except that any such partner, owner or
beneficiary shall be fully liable, to the extent provided by applicable law, for any unpaid consideration for stock, unpaid capital contribution or failure to pay any installment or call owing to such entity. For all purposes of this Indenture, in
the performance of any duties or obligations of the Issuer hereunder, the Owner Trustee shall be subject to, and entitled to the benefits of, the terms and provisions of Articles VI, VII and VIII of the Trust Agreement. 

 

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 Section 11.17 No Petition. 

(a) The Indenture Trustee, by entering into this Indenture, and each Noteholder and Note Owner, by accepting a Note (or interest therein)
issued hereunder, hereby covenant and agree that they shall not, prior to the date which is one year and one day after the termination of this Indenture with respect to the Issuer pursuant to Section 4.1, acquiesce, petition or otherwise
invoke or cause the Seller or the Issuer to invoke the process of any court or government authority for the purpose of commencing or sustaining a case against the Seller or the Issuer under any federal or state bankruptcy, insolvency or similar law
or appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Seller or the Issuer or any substantial part of its property, or ordering the winding up or liquidation of the affairs of the Seller,
or the Issuer. 
 (b) Notwithstanding any prior termination of this Indenture, the Indenture Trustee, by entering into this
Indenture, and each Noteholder and Note Owner, by accepting a Note (or interest therein) issued hereunder, hereby covenant and agree that they shall not, prior to the date which is one year and one day after which the last maturing indebtedness for
borrowed money, whether evidenced by notes, certificates or otherwise, of the Seller and its subsidiaries (including any statutory trust) have been paid in full, acquiesce, petition or otherwise invoke or cause the Seller or any of its subsidiaries
to invoke the process of any court or government authority for the purpose of commencing or sustaining a case against the Seller or any of its subsidiaries under any federal or state bankruptcy, insolvency or similar law or appointing a receiver,
liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Seller or any of its subsidiaries or any substantial part of its property, or ordering the winding up or liquidation of the affairs of the Seller or any of its
subsidiaries. 
 Section 11.18 Inspection. The Issuer agrees that, on reasonable prior notice, it shall permit any
representative of the Indenture Trustee, during the Issuer’s normal business hours, to examine all the books of account, records, reports and other papers of the Issuer to make copies and extracts therefrom, to cause such books to be audited by
Independent certified public accountants, and to discuss the Issuer’s affairs, finances and accounts with the Issuer’s officers, employees and Independent certified public accountants, all at such reasonable times and as often as may be
reasonably requested. The Indenture Trustee shall and shall cause its representatives to hold in confidence all such information except to the extent disclosure may be required by law (and all reasonable applications for confidential treatment are
unavailing) and except to the extent that the Indenture Trustee may reasonably determine that such disclosure is consistent with its obligations hereunder. 

Section 11.19 Consent to Backup Servicing Agreement. By its purchase and acceptance of a Note, each purchaser thereof shall
be deemed to have consented to the terms, provisions and limitations specified in Exhibit C to the Backup Servicing Agreement which will be applicable upon the appointment of the Backup Servicer as Successor Servicer under the Servicing
Agreement. The Indenture Trustee will make available to any Note Owner a copy of the Backup Servicing Agreement (including Exhibit C thereto) upon written request by such Note Owner. 

*    *    *    * 

 

 - 63 - 

 IN WITNESS WHEREOF, the Issuer and the Indenture Trustee have caused this Indenture to be
duly executed by their respective officers, thereunto duly authorized, all as of the day and year first above written. 
  

			
	NAVISTAR FINANCIAL 2010-A OWNER TRUST
		
	By:	 	DEUTSCHE BANK TRUST COMPANY 
	DELAWARE, not in its individual capacity, but solely as Owner Trustee
		
	By:	 	 /s/ Michele HY Voon

	Name:	 	Michele HY Voon
	Title:	 	Attorney-in-fact
		
	By:	 	 /s/ Mark DiGiacomo

	Name:	 	Mark DiGiacomo
	Title:	 	Attorney-in-fact
	
	CITIBANK, N.A.,
	as Indenture Trustee
		
	By:	 	 /s/ Jacqueline Suarez

	Name:	 	Jacqueline Suarez
	Title:	 	Vice President

  

					
	STATE OF NEW JERSEY	  	)	  	
		  	)	  	ss.
	COUNTY OF UNION	  	)	  	

 BEFORE ME, the undersigned authority, a Notary Public in and for said county and state, on this
day personally appeared Michele HY Voon and Mark DiGiacomo, known to me to be the persons and officers whose names are subscribed to the foregoing instrument and acknowledged to me that the same was the act of the Navistar Financial 2010-A Owner
Trust and that such persons executed the same as the act of said statutory trust for the purpose and consideration therein expressed, and in the capacities therein stated. 

GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the 24 day of May, 2010. 

Notary Public in and for the State of New Jersey. 

My commission expires: 

                         
                                

					
	STATE OF NEW YORK	  	)	  	
		  	)	  	ss.
	COUNTY OF NEW YORK	  	)	  	

 BEFORE ME, the undersigned authority, a Notary Public in and for said county and state, on this
day personally appeared Jacqueline Suarez, known to me to be the person and officer whose name is subscribed to the foregoing instrument and acknowledged to me that the same was the act of the said Citibank, N.A., a national banking association, and
that such person executed the same as the act of said national banking association for the purpose and consideration therein stated. 

GIVEN UNDER MY HAND AND SEAL OF OFFICE, this the 24th day of May, 2010. 

Notary Public in and for the State of New York. 

My commission expires: 

                         
                                

 EXHIBIT A 

LOCATIONS OF SCHEDULE OF RETAIL NOTES 

The Schedule of Retail Notes is on file at the offices of: 
  

	1.	The Indenture Trustee 

  

	2.	The Owner Trustee 

  

	3.	Navistar Financial Corporation 

  

	4.	Navistar Financial Retail Receivables Corporation 

  

 Ex. A-1 

 EXHIBIT B 

FORM OF CLASS A-1 ASSET BACKED NOTE 
  

			
	REGISTERED	  	$                           
 
1

	No. R-                 	  	CUSIP NO.                    

SEE REVERSE FOR CERTAIN DEFINITIONS 

Unless this Note is presented by an authorized representative of The Depository Trust Company, a New York corporation
(“DTC”), to the Issuer or its agent for registration of transfer, exchange or payment, and any Note issued is registered in the name of Cede & Co. or in such other name as is requested by an authorized representative of DTC
(and any payment is made to Cede & Co. or to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the
registered owner hereof, Cede & Co., has an interest herein. 
 THIS NOTE HAS NOT BEEN AND WILL NOT BE
REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), ANY “BLUE SKY” LAWS OR THE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THIS NOTE MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE
TRANSFERRED, EXCEPT (A) (1) TO A PERSON THAT THE HOLDER REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT (A “QUALIFIED INSTITUTIONAL BUYER”) WHO IS EITHER PURCHASING
FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED INSTITUTIONAL BUYER, IN A PRINCIPAL AMOUNT OF NOT LESS THAN $50,000 AND IN INTEGRAL MULTIPLES OF $1,000 IN EXCESS THEREOF, FOR THE PURCHASER AND FOR EACH SUCH ACCOUNT, IN A TRANSACTION MEETING
THE REQUIREMENTS OF RULE 144A SO LONG AS THIS NOTE IS ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, SUBJECT TO THE SATISFACTION OF CERTAIN CONDITIONS SPECIFIED IN THE INDENTURE, (2) IF THIS NOTE IS NOT ELIGIBLE FOR RESALE PURSUANT TO RULE 144A,
PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OTHER THAN RULE 144A IN A PRINCIPAL AMOUNT OF NOT LESS THAN $50,000 AND IN INTEGRAL MULTIPLES OF $1,000 IN EXCESS THEREOF, SUBJECT TO THE SATISFACTION OF CERTAIN CONDITIONS
SPECIFIED IN THE INDENTURE, OR (3) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT (HOWEVER, THERE IS NO UNDERTAKING TO REGISTER THIS 

 

	1
	A principal amount of not less than $50,000 and in integral multiples of $1,000 in excess thereof. 

 

 Ex. B-1 

 
NOTE UNDER ANY UNITED STATES FEDERAL OR STATE SECURITIES LAWS OR ANY SECURITIES LAWS OF ANY OTHER JURISDICTION ON ANY FUTURE DATE), AND (B) IN ACCORDANCE WITH THE SECURITIES ACT, ANY
“BLUE SKY” LAWS AND ALL APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES AND ANY OTHER APPLICABLE JURISDICTION. EACH PURCHASER AND TRANSFEREE WILL BE DEEMED TO HAVE MADE CERTAIN REPRESENTATIONS AND AGREEMENTS SET FORTH IN THE
INDENTURE. ANY TRANSFER IN VIOLATION OF THE FOREGOING WILL BE OF NO FORCE AND EFFECT, WILL BE VOID AB INITIO, AND WILL NOT OPERATE TO TRANSFER ANY RIGHTS TO THE TRANSFEREE, NOTWITHSTANDING ANY INSTRUCTIONS TO THE CONTRARY TO THE ISSUER, THE
INDENTURE TRUSTEE OR ANY INTERMEDIARY. 
 EACH HOLDER OF A NOTE WILL BE DEEMED TO REPRESENT AND WARRANT THAT
EITHER (i) IT IS NOT ACQUIRING THE NOTE WITH THE ASSETS OF (A) AN “EMPLOYEE BENEFIT PLAN” AS DEFINED IN SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”), THAT IS SUBJECT TO THE
PROVISIONS OF TITLE I OF ERISA, (B) A “PLAN” SUBJECT TO SECTION 4975 OF THE U.S. INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”), (C) AN ENTITY WHOSE UNDERLYING ASSETS ARE TREATED UNDER REGULATIONS ISSUED BY THE
U.S. DEPARTMENT OF LABOR, AS MODIFIED BY SECTION 3(42) OF ERISA, TO INCLUDE PLAN ASSETS BY REASON OF INVESTMENT BY AN EMPLOYEE BENEFIT PLAN OR PLAN IN SUCH ENTITY OR (D) ANY OTHER PLAN THAT IS SUBJECT TO ANY LAW THAT IS SUBSTANTIALLY SIMILAR TO
SECTION 406 OF ERISA OR SECTION 4975 OF THE CODE OR (ii) THE ACQUISITION AND HOLDING OF THE NOTE WILL NOT GIVE RISE TO A NON-EXEMPT PROHIBITED TRANSACTION UNDER SECTION 406 OF ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION OF ANY
SUBSTANTIALLY SIMILAR APPLICABLE LAW. 
 THIS NOTE (AND INTERESTS THEREIN) IS ALSO SUBJECT TO THE RESTRICTIONS
SET FORTH IN THE INDENTURE. 
 THE PRINCIPAL OF THIS NOTE IS PAYABLE AS SET FORTH HEREIN. ACCORDINGLY, THE
OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF. 
 NAVISTAR FINANCIAL
2010-A OWNER TRUST 
 CLASS A-1 0.60828% ASSET BACKED NOTES 

 

 Ex. B-2 

 NAVISTAR FINANCIAL 2010-A OWNER TRUST, a statutory trust organized and existing under the
laws of the State of Delaware (herein referred to as the “Issuer”), for value received, hereby promises to pay to Cede & Co., or registered assigns, the principal sum of
                         DOLLARS
($                ) payable in accordance with the Indenture, prior to the occurrence of an Event of Default and a declaration that the Notes are due and payable,
on each Distribution Date in an amount equal to the result obtained by multiplying (i) a fraction, the numerator of which is the initial principal amount hereof and the denominator of which is
$                         by (ii) the aggregate amount, if any, payable from the Note Distribution Account in respect of
principal on such class of the Notes pursuant to Sections 2.7, 3.1 and 8.2 of the Indenture; provided, however, that the entire unpaid principal amount of this Note shall be due and payable on the earlier of
the Distribution Date in June 2011 (the “Final Scheduled Distribution Date”) and the Redemption Date or Optional Purchase Date, if any, pursuant to Section 10.1(a) of the Indenture. The Issuer shall pay interest on this
Note at the rate per annum shown above on each Distribution Date until the principal of this Note is paid or made available for payment, on the principal amount of this Note outstanding on the preceding Distribution Date (after giving effect to all
payments of principal made on the preceding Distribution Date). Interest on this Note will accrue for each Distribution Date from and including the most recent Distribution Date on which interest has been paid to but excluding the then current
Distribution Date or, if no interest has yet been paid, from and including the Closing Date. Interest on this Note will be calculated on the basis of the actual number of days elapsed since (and including) the preceding Distribution Date divided by
360 (or, in the case of the initial Distribution Date, since (and including) the Closing Date, divided by 360). Such principal of and interest on this Note shall be paid in the manner specified on the reverse hereof. 

The principal of and interest on this Note are payable in such coin or currency of the United States of America which, at the time of
payment, is legal tender for payment of public and private debts. All payments made by the Issuer with respect to this Note shall be applied first to interest due and payable on this Note as provided above and then to the unpaid principal of this
Note. 
 Reference is made to the further provisions of this Note set forth on the reverse hereof, which shall have the same
effect as though fully set forth on the face of this Note. 
 Unless the certificate of authentication hereon has been executed
by the Indenture Trustee whose name appears below by manual signature, this Note shall not be entitled to any benefit under the Indenture referred to on the reverse hereof or be valid or obligatory for any purpose. 

 

 Ex. B-3 

 IN WITNESS WHEREOF, the Issuer has caused this instrument to be signed, manually or in
facsimile, by its Authorized Officer. 
  

							
	 Date:
                                        

	 	 NAVISTAR FINANCIAL 2010-A OWNER TRUST

			
		 	 By:
	 	 DEUTSCHE BANK TRUST COMPANY DELAWARE not in its individual capacity, but solely as Owner Trustee under the Trust
Agreement

				
		 		 	By:	 	  

		 		 	Name:	 	
		 		 	Title:	 	

 INDENTURE TRUSTEE’S CERTIFICATE OF AUTHENTICATION 

This is one of the Notes designated above and referred to in the within-mentioned Indenture. 

 

							
		 	 CITIBANK, N.A.,

not in its individual capacity, but solely as Indenture Trustee

				
		 		 	By:	 	  

		 		 	Name:	 	
		 		 	Title:	 	

 REVERSE OF NOTE 

This Note is one of a duly authorized issue of Notes of the Issuer designated as its Class A-1
        % Asset Backed Notes (herein called the “Class A-1 Notes”), all issued under an Indenture, dated as of
                    , 2010 (the “Closing Date” and such Indenture, as supplemented or amended, is herein called the
“Indenture”), between the Issuer and Citibank, N.A., a national banking association, as trustee (the “Indenture Trustee”, which term includes any successor trustee under the Indenture), to which Indenture and all
indentures supplemental thereto reference is hereby made for a statement of the respective rights and obligations thereunder of the Issuer, the Indenture Trustee and the Noteholders. The Notes are governed by and subject to all terms of the
Indenture (which terms are incorporated herein and made a part hereof), to which Indenture the holder of this Note by virtue of acceptance hereof assents and by which such holder is bound. All capitalized terms used and not otherwise defined in this
Note that are defined in the Indenture, as supplemented or amended, shall have the meanings assigned to them in or pursuant to the Indenture. 

The Indenture secures (a) first, the payment of principal and interest on, and any other amounts owing in respect of the
Class A Notes, equally and ratably without prejudice, priority or distinction, (b) second, the payment of principal of and interest on, and any other amounts owing in respect of the Class B Notes, equally and ratably without
prejudice, priority or distinction, and (c) third, the payment of principal of and interest on, and any other amounts owing in respect of the Class C Notes, equally and ratably without prejudice, priority or distinction, and to secure
compliance with the provisions of the Indenture, as provided therein. 
 Each Noteholder or Note Owner, by acceptance of a Note
or, in the case of a Note Owner, a beneficial interest in a Note, covenants and agrees that no recourse may be taken, directly or indirectly, with respect to the obligations of the Issuer, the Owner Trustee or the Indenture Trustee on the Notes or
under the Indenture or any certificate or other writing delivered in connection therewith, against (i) the Indenture Trustee or the Owner Trustee in their individual capacities, (ii) any owner of a beneficial interest in the Issuer, or
(iii) any partner, owner, beneficiary, agent, officer, director or employee of the Indenture Trustee or the Owner Trustee in their individual capacities, any holder of a beneficial interest in the Issuer, the Owner Trustee or the Indenture
Trustee or of any successor or assign of the Indenture Trustee or the Owner Trustee in their individual capacities, except as any such Person may have expressly agreed (it being understood that the Indenture Trustee and the Owner Trustee have no
such obligations in their individual capacities) and except that any such partner, owner or beneficiary shall be fully liable, to the extent provided by applicable law, for any unpaid consideration for stock, unpaid capital contribution or failure
to pay any installment or call owing to such entity. 
 Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that by accepting the benefits of the Indenture such Noteholder will not, prior to the date which is one year and one day after the termination of this Indenture with respect to
the Issuer, acquiesce, petition or otherwise invoke or cause the Issuer to invoke the process of any court or government authority for the purpose of commencing or sustaining a case against the Issuer under any federal or state bankruptcy,
insolvency or similar law or appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Issuer or any substantial part of its property, or ordering the winding up or liquidation of the affairs of
the Issuer. 
  

 Ex. B-4 

 Notwithstanding any prior termination of this Indenture, each Noteholder or Note Owner, by
acceptance of a Note or, in the case of a Note Owner, a beneficial interest in a Note, covenants and agrees that by accepting the benefits of the Indenture such Noteholder will not, prior to the date which is one year and one day after the last
maturing indebtedness for borrowed money, whether evidenced by notes, certificates or otherwise, of the Seller and its subsidiaries (including any statutory trusts) have been paid in full, acquiesce, petition or otherwise invoke or cause the Seller
or any of its subsidiaries to invoke the process of any court or government authority for the purpose of commencing or sustaining a case against the Seller or any of its subsidiaries under any federal or state bankruptcy, insolvency or similar law
or appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Seller or any of its subsidiaries or any substantial part of its property, or ordering the winding up or liquidation of the affairs of
the Seller or any of its subsidiaries. 
 Each Noteholder, by acceptance of a Note or, in the case of a Note Owner, a beneficial
interest in a Note, unless otherwise required by appropriate taxing authorities, agrees to treat the Notes as indebtedness secured by the Receivables for the purpose of federal income taxes, state and local income and franchise taxes, and any other
taxes imposed upon, measured by or based upon gross or net income. 
 Prior to the due presentment for registration of transfer
of this Note, the Issuer, the Indenture Trustee and any agent of the Issuer or the Indenture Trustee may treat the Person in whose name this Note (as of the day of determination or as of such other date as may be specified in the Indenture) is
registered as the owner hereof for all purposes, whether or not this Note shall be overdue, and neither the Issuer, the Indenture Trustee nor any such agent shall be affected by notice to the contrary. 

The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and
obligations of the Issuer and the rights of the Noteholders under the Indenture at any time by the Issuer with the consent of the Holders of Notes representing a majority of the Outstanding Amount of the Controlling Class. The Indenture also
contains provisions permitting the Holders of Notes representing specified percentages of the Outstanding Amount of the Controlling Class, on behalf of the Holders of all the Notes, to waive compliance by the Issuer with certain provisions of the
Indenture and certain past defaults under the Indenture and their consequences. Any such consent or waiver by the Holder of this Note (or any one of more Predecessor Notes) shall be conclusive and binding upon such Holder and upon all future Holders
of this Note and of any Note issued upon the registration of transfer hereof or in exchange hereof or in lieu hereof whether or not notation of such consent or waiver is made upon this Note. The Indenture also permits the Indenture Trustee to amend
or waive certain terms and conditions set forth in the Indenture without the consent of the Noteholders. 
 The term
“Issuer” as used in this Note includes any successor to the Issuer under the Indenture. 
  

 Ex. B-5 

 The Issuer is permitted by the Indenture, under certain circumstances, to merge or
consolidate, subject to the rights of the Indenture Trustee and the Holders of Notes under the Indenture. 
 The Notes are
issuable only in registered form in denominations as provided in the Indenture, subject to certain limitations therein set forth. 

This Note and the Indenture shall be construed in accordance with the laws of the State of Illinois, without reference to its conflict of
law provisions, and the obligations, rights and remedies of the parties hereunder and thereunder shall be determined in accordance with such laws, except that the obligations, rights and remedies of the Indenture Trustee hereunder shall be
determined in accordance with the internal laws of the State of New York. 
 No reference herein to the Indenture and no
provision of this Note or of the Indenture shall alter or impair the obligation of the Issuer, which is absolute and unconditional, to pay the principal of and interest on this Note at the times, place and rate, and in the coin or currency herein
prescribed. 
 Anything herein to the contrary notwithstanding, except as expressly provided in the Basic Documents, neither the
Seller, the Servicer, the Initial Purchasers, the Indenture Trustee nor the Owner Trustee in their respective individual capacities, any owner of a beneficial interest in the Issuer, nor any of their respective partners, beneficiaries, agents,
officers, directors, employees or successors or assigns, shall be personally liable for, nor shall recourse be had to any of them for, the payment of principal of or interest on, or performance of, or omission to perform, any of the covenants,
obligations or indemnifications contained in this Note or the Indenture, it being expressly understood that said covenants, obligations and indemnifications have been made by the Issuer. The Holder of this Note by the acceptance hereof agrees that,
except as expressly provided in the Basic Documents, in the case of an Event of Default under the Indenture, the Holder shall have no claim against any of the foregoing for any deficiency, loss or claim therefrom; provided, however,
that nothing contained herein shall be taken to prevent recourse to, and enforcement against, the assets of the Issuer for any and all liabilities, obligations and undertakings contained in the Indenture or in this Note. 

 

 Ex. B-6 

 ASSIGNMENT 

Social Security or taxpayer I.D. or other identifying number of assignee 

                         
                                         
                                         
      
 FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto
                                         
                                

 
  

(name and address of assignee) 

the within Note and all rights thereunder, and hereby irrevocably constitutes and appoints
                                         
           , as attorney, to transfer said Note on the books kept for registration thereof, with full power of substitution in the premises. 

 

							
	Dated:	 	  
	  		  	
 
2

		 		  		  	Signature Guaranteed:
			
	  
	  		  	  

 

	2
	NOTE: The signature to this assignment must correspond with the name of the registered owner as it appears on the face of the within Note in every particular, without
alteration, enlargement or any change whatsoever. 

  

 Ex. B-7 

 EXHIBIT C 

FORM OF CLASS A-2, CLASS A-3, 

CLASS B AND CLASS C ASSET BACKED NOTE 
  

			
	REGISTERED	  	$                           
 3
	No. R-                 	  	CUSIP NO.                    

SEE REVERSE FOR CERTAIN DEFINITIONS 

[Insert (for Class A-2 Notes, Class A-3 Notes and Class B Notes): Unless this Note is presented by
an authorized representative of The Depository Trust Company, a New York corporation (“DTC”), to the Issuer or its agent for registration of transfer, exchange or payment, and any Note issued is registered in the name of
Cede & Co. or in such other name as is requested by an authorized representative of DTC (and any payment is made to Cede & Co. or to such other entity as is requested by an authorized representative of DTC), ANY TRANSFER, PLEDGE OR
OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL inasmuch as the registered owner hereof, Cede & Co., has an interest herein.] 

THIS NOTE HAS NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”), ANY “BLUE SKY” LAWS OR THE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES. THIS NOTE MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED, EXCEPT (A) (1) TO A PERSON THAT THE HOLDER
REASONABLY BELIEVES IS A QUALIFIED INSTITUTIONAL BUYER WITHIN THE MEANING OF RULE 144A UNDER THE SECURITIES ACT (A “QUALIFIED INSTITUTIONAL BUYER”) WHO IS EITHER PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QUALIFIED
INSTITUTIONAL BUYER, IN A PRINCIPAL AMOUNT OF NOT LESS THAN $50,000 AND IN INTEGRAL MULTIPLES OF $1,000 IN EXCESS THEREOF, FOR THE PURCHASER AND FOR EACH SUCH ACCOUNT, IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144A SO LONG AS THIS NOTE IS
ELIGIBLE FOR RESALE PURSUANT TO RULE 144A, SUBJECT TO THE SATISFACTION OF CERTAIN CONDITIONS SPECIFIED IN THE INDENTURE, (2) [Insert (for Class A-2 Notes, Class A-3 Notes and Class B Notes): IF THIS NOTE IS NOT ELIGIBLE
FOR RESALE PURSUANT TO RULE 144A,] PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OTHER THAN RULE 144A IN A PRINCIPAL AMOUNT OF NOT LESS THAN $50,000 AND IN INTEGRAL MULTIPLES OF $1,000 IN EXCESS THEREOF, SUBJECT TO THE
SATISFACTION OF CERTAIN CONDITIONS SPECIFIED IN THE INDENTURE, OR (3) PURSUANT TO AN EFFECTIVE 
  

	3
	A principal amount of not less than $50,000 and in integral multiples of $1,000 in excess thereof. 

 

 Ex. C-1 

 
REGISTRATION STATEMENT UNDER THE SECURITIES ACT (HOWEVER, THERE IS NO UNDERTAKING TO REGISTER THIS NOTE UNDER ANY UNITED STATES FEDERAL OR STATE SECURITIES LAWS OR ANY SECURITIES LAWS OF ANY
OTHER JURISDICTION ON ANY FUTURE DATE), AND (B) IN ACCORDANCE WITH THE SECURITIES ACT, ANY “BLUE SKY” LAWS AND ALL APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES AND ANY OTHER APPLICABLE JURISDICTION. EACH PURCHASER AND
TRANSFEREE WILL BE DEEMED TO HAVE MADE CERTAIN REPRESENTATIONS AND AGREEMENTS SET FORTH IN THE INDENTURE. ANY TRANSFER IN VIOLATION OF THE FOREGOING WILL BE OF NO FORCE AND EFFECT, WILL BE VOID AB INITIO, AND WILL NOT OPERATE TO TRANSFER ANY RIGHTS
TO THE TRANSFEREE, NOTWITHSTANDING ANY INSTRUCTIONS TO THE CONTRARY TO THE ISSUER, THE INDENTURE TRUSTEE OR ANY INTERMEDIARY. 

EACH HOLDER OF A NOTE WILL BE DEEMED TO REPRESENT AND WARRANT THAT EITHER (i) IT IS NOT ACQUIRING THE NOTE WITH THE
ASSETS OF (A) AN “EMPLOYEE BENEFIT PLAN” AS DEFINED IN SECTION 3(3) OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974, AS AMENDED (“ERISA”), THAT IS SUBJECT TO THE PROVISIONS OF TITLE I OF ERISA, (B) A
“PLAN” SUBJECT TO SECTION 4975 OF THE U.S. INTERNAL REVENUE CODE OF 1986, AS AMENDED (THE “CODE”), (C) AN ENTITY WHOSE UNDERLYING ASSETS ARE TREATED UNDER REGULATIONS ISSUED BY THE U.S. DEPARTMENT OF LABOR, AS MODIFIED BY
SECTION 3(42) OF ERISA, TO INCLUDE PLAN ASSETS BY REASON OF INVESTMENT BY AN EMPLOYEE BENEFIT PLAN OR PLAN IN SUCH ENTITY OR (D) ANY OTHER PLAN THAT IS SUBJECT TO ANY LAW THAT IS SUBSTANTIALLY SIMILAR TO SECTION 406 OF ERISA OR SECTION 4975 OF
THE CODE OR (ii) THE ACQUISITION AND HOLDING OF THE NOTE WILL NOT GIVE RISE TO A NON-EXEMPT PROHIBITED TRANSACTION UNDER SECTION 406 OF ERISA OR SECTION 4975 OF THE CODE OR A VIOLATION OF ANY SUBSTANTIALLY SIMILAR APPLICABLE LAW. 

[Insert (for Class C Notes): (A) A SALE, TRANSFER, ASSIGNMENT, EXCHANGE, PARTICIPATION, PLEDGE,
HYPOTHECATION, REHYPOTHECATION, OR OTHER GRANT OF A SECURITY INTEREST IN OR DISPOSITION OF (EACH A “TRANSFER”) ANY INTEREST IN CLASS C NOTES MAY ONLY BE MADE TO A PERSON WHO IS A UNITED STATES PERSON (WITHIN THE MEANING OF
SECTION 7701(A)(30) OF THE CODE); (B) A PERSON OTHER THAN NAVISTAR FINANCIAL RETAIL RECEIVABLES CORPORATION (THE “SELLER”) ACQUIRING CLASS C NOTES OR AN INTEREST THEREIN SHALL BE DEEMED TO HAVE MADE THE REPRESENTATIONS SET FORTH
IN SECTION 2.14 OF THE INDENTURE; AND (C) NO TRANSFER OF ANY INTEREST IN CLASS 
  

 Ex. C-2 

 
C NOTES SHALL BE MADE (I) TO ANY ONE PERSON IN AN AMOUNT LESS THAN 100% OF THE NOTE PRINCIPAL BALANCE OF THE CLASS C NOTES OR (II) TO A GRANTOR TRUST, S CORPORATION, OR PARTNERSHIP
WHERE MORE THAN 50% OF THE VALUE OF A BENEFICIAL OWNER’S INTEREST IN SUCH PASS THROUGH ENTITY IS ATTRIBUTABLE TO THE PASS-THROUGH ENTITY’S INTEREST IN THE CLASS C NOTES TOGETHER WITH OTHER DIRECT OR INDIRECT INTERESTS IN THE ISSUER, IN
EACH CASE, UNLESS (X) AN OPINION OF COUNSEL SATISFACTORY TO THE INDENTURE TRUSTEE AND THE SELLER THAT SUCH TRANSFER SHALL NOT CAUSE THE ISSUER TO BE TREATED AS AN ASSOCIATION (OR PUBLICLY TRADED PARTNERSHIP) TAXABLE AS A CORPORATION FOR FEDERAL
INCOME TAX PURPOSES SHALL HAVE BEEN DELIVERED TO THE INDENTURE TRUSTEE AND THE SELLER AND (Y) THE SELLER SHALL HAVE PROVIDED PRIOR WRITTEN APPROVAL; PROVIDED, HOWEVER, THAT THE RESTRICTIONS IN PARTS (A) AND (C) OF THIS PARAGRAPH SHALL
NOT CONTINUE TO APPLY TO ANY CLASS C NOTES TO THE EXTENT COUNSEL, SATISFACTORY TO THE INDENTURE TRUSTEE AND THE SELLER, HAS RENDERED AN OPINION, WITH RESPECT TO THE INITIAL TRANSFER BY THE SELLER, TO THE EFFECT THAT SUCH CLASS C NOTES
TRANSFERRED WILL BE CHARACTERIZED AS INDEBTEDNESS FOR FEDERAL INCOME TAX PURPOSES. ANY ATTEMPTED TRANSFER IN CONTRAVENTION OF THIS PROVISION WILL BE VOID AB INITIO AND THE PURPORTED TRANSFEROR WILL CONTINUE TO BE TREATED AS THE OWNER OF THE
CLASS C NOTES.] 
 THIS NOTE (AND INTERESTS THEREIN) IS ALSO SUBJECT TO THE RESTRICTIONS SET FORTH IN THE
INDENTURE. 
 THE PRINCIPAL OF THIS NOTE IS PAYABLE AS SET FORTH HEREIN. ACCORDINGLY, THE OUTSTANDING PRINCIPAL
AMOUNT OF THIS NOTE AT ANY TIME MAY BE LESS THAN THE AMOUNT SHOWN ON THE FACE HEREOF. 
 NAVISTAR FINANCIAL 2010-A OWNER TRUST

 CLASS                  % ASSET BACKED NOTES

 NAVISTAR FINANCIAL 2010-A OWNER TRUST, a statutory trust organized and existing under the laws of the State of Delaware
(herein referred to as the “Issuer”), for value received, hereby promises to pay to [INSERT (for Class A-2 Notes, Class A-3 Notes and Class B Notes): Cede & Co.][INSERT (for
Class C Notes): Navistar Financial Retail Receivables Corporation], or registered assigns, the principal sum of
                             DOLLARS
($                ) payable in accordance with the Indenture, [INSERT (for Class A-2 Notes and Class A-3 Notes): (a)] prior to the
occurrence of an Event of Default and a declaration that the Notes are due and payable, on each Distribution Date in an amount equal to the result obtained by multiplying (i) a fraction, the numerator of which is the initial principal

  

 Ex. C-3 

 
amount hereof and the denominator of which is [INSERT the aggregate initial principal amount for the class] by (ii) the aggregate amount, if any, payable from the Note Distribution
Account in respect of principal on such class of the Notes pursuant to Sections 2.7, 3.1 and 8.2 of the Indenture [INSERT (for Class A-2 Notes and Class A-3 Notes): or (b) from and after the
occurrence of an Event of Default and a declaration that the Notes are due and payable, on each Distribution Date in an amount equal to the result determined by multiplying (i) a fraction, the numerator of which is the initial principal amount
hereof and the denominator of which is [INSERT the aggregate initial principal amount for the Class A-2 Notes and Class A-3 Notes] by (ii) the aggregate amount, if any, payable from the Note Distribution Account in
respect of the principal on such classes of the Notes pursuant to Sections 2.7, 3.1 and 8.2 of the Indenture]; provided, however, that the entire unpaid principal amount of this Note shall be due and
payable on the earlier of                              (the “Final Scheduled Distribution
Date”) and the Redemption Date or Optional Purchase Date, if any, pursuant to Section 10.1(a) of the Indenture. The Issuer shall pay interest on this Note at the rate per annum shown above on each Distribution Date until the
principal of this Note is paid or made available for payment, on the principal amount of this Note outstanding on the preceding Distribution Date (after giving effect to all payments of principal made on the preceding Distribution Date). Interest on
this Note will accrue for each Distribution Date from and including the most recent Distribution Date on which interest has been paid to but excluding the then current Distribution Date or, if no interest has yet been paid, from and including the
Closing Date. Interest on this Note will be computed on the basis of a 360-day year of twelve 30-day months (or, in the case of the initial Distribution Date, 21 divided by 360). [INSERT (for Class B Notes and Class C Notes):
Prior to the occurrence of an Event of Default specified in Section 5.01(a), 5.01(b) or 5.01(c) of the Indenture and a declaration that the Notes are due and payable, the payment of interest on this Note will be
subordinated to payment in full of interest on the Class A Notes] [INSERT (for Class C Notes): and the Class B Notes]. Following the occurrence of an Event of Default specified in Section 5.01(a),
5.01(b) or 5.01(c) of the Indenture and a declaration that the Notes are due and payable, the payment of interest on this Note will be subordinated to payment in full of the aggregate principal amount of the Class A Notes
[INSERT (for Class C Notes): and the Class B Notes]. Such principal of and interest on this Note shall be paid in the manner specified on the reverse hereof. 

The principal of and interest on this Note are payable in such coin or currency of the United States of America which, at the time of
payment, is legal tender for payment of public and private debts. All payments made by the Issuer with respect to this Note shall be applied first to interest due and payable on this Note as provided above and then to the unpaid principal of this
Note. 
 Reference is made to the further provisions of this Note set forth on the reverse hereof, which shall have the same
effect as though fully set forth on the face of this Note. 
 Unless the certificate of authentication hereon has been executed
by the Indenture Trustee whose name appears below by manual signature, this Note shall not be entitled to any benefit under the Indenture referred to on the reverse hereof or be valid or obligatory for any purpose. 

 

 Ex. C-4 

 IN WITNESS WHEREOF, the Issuer has caused this instrument to be signed, manually or in
facsimile, by its Authorized Officer. 
  

							
	 Date:
                                        

	 	 NAVISTAR FINANCIAL 2010-A OWNER TRUST

			
		 	 By:
	 	 DEUTSCHE BANK TRUST COMPANY DELAWARE not in its individual capacity, but solely as Owner Trustee under the Trust
Agreement

				
		 		 	By:	 	  

		 		 	Name:	 	
		 		 	Title:	 	

 INDENTURE TRUSTEE’S CERTIFICATE OF AUTHENTICATION 

This is one of the Notes designated above and referred to in the within-mentioned Indenture. 

 

							
		 	 CITIBANK, N.A.,

not in its individual capacity, but solely as Indenture Trustee

				
		 		 	By:	 	  

		 		 	Name:	 	
		 		 	Title:	 	

 REVERSE OF NOTE 

This Note is one of a duly authorized issue of Notes of the Issuer designated as its Class
                 % Asset Backed Notes (herein called the “Class Notes”), all issued under an Indenture, dated as of
                                , 2010 (the “Closing Date” and such
Indenture, as supplemented or amended, is herein called the “Indenture”), between the Issuer and Citibank, N.A., a national banking association, as trustee (the “Indenture Trustee”, which term includes any successor
trustee under the Indenture), to which Indenture and all indentures supplemental thereto reference is hereby made for a statement of the respective rights and obligations thereunder of the Issuer, the Indenture Trustee and the Noteholders. The Notes
are governed by and subject to all terms of the Indenture (which terms are incorporated herein and made a part hereof), to which Indenture the holder of this Note by virtue of acceptance hereof assents and by which such holder is bound. All
capitalized terms used and not otherwise defined in this Note that are defined in the Indenture, as supplemented or amended, shall have the meanings assigned to them in or pursuant to the Indenture. 

The Indenture secures (a) first, the payment of principal and interest on, and any other amounts owing in respect of the
Class A Notes, equally and ratably without prejudice, priority or distinction, (b) second, the payment of principal of and interest on, and any other amounts owing in respect of the Class B Notes, equally and ratably without
prejudice, priority or distinction and (c) third, the payment of principal of and interest on, and any other amounts owing in respect of the Class C Notes, equally and ratably without prejudice, priority or distinction, and to secure
compliance with the provisions of the Indenture, as provided therein. 
 Each Noteholder or Note Owner, by acceptance of a Note
or, in the case of a Note Owner, a beneficial interest in a Note, covenants and agrees that no recourse may be taken, directly or indirectly, with respect to the obligations of the Issuer, the Owner Trustee or the Indenture Trustee on the Notes or
under the Indenture or any certificate or other writing delivered in connection therewith, against (i) the Indenture Trustee or the Owner Trustee in their individual capacities, (ii) any owner of a beneficial interest in the Issuer or
(iii) any partner, owner, beneficiary, agent, officer, director or employee of the Indenture Trustee or the Owner Trustee in their individual capacities, any holder of a beneficial interest in the Issuer, the Owner Trustee or the Indenture
Trustee or of any successor or assign of the Indenture Trustee or the Owner Trustee in their individual capacities, except as any such Person may have expressly agreed (it being understood that the Indenture Trustee and the Owner Trustee have no
such obligations in their individual capacities) and except that any such partner, owner or beneficiary shall be fully liable, to the extent provided by applicable law, for any unpaid consideration for stock, unpaid capital contribution or failure
to pay any installment or call owing to such entity. 
 Each Noteholder or Note Owner, by acceptance of a Note or, in the case
of a Note Owner, a beneficial interest in a Note, covenants and agrees that by accepting the benefits of the Indenture such Noteholder will not, prior to the date which is one year and one day after the termination of this Indenture with respect to
the Issuer, acquiesce, petition or otherwise invoke or cause the Issuer to invoke the process of any court or government authority for the purpose of commencing or sustaining a case against the Issuer under any federal or state bankruptcy,
insolvency or similar law or appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Seller or the Issuer or any substantial part of its property, or ordering the winding up or liquidation of
the affairs of the Issuer. 
  

 Ex. C-6 

 Notwithstanding any prior termination of this Indenture, each Noteholder or Note Owner, by
acceptance of a Note or, in the case of a Note Owner, a beneficial interest in a Note, covenants and agrees that by accepting the benefits of the Indenture such Noteholder will not, prior to the date which is one year and one day after the last
maturing indebtedness for borrowed money, whether evidenced by notes, certificates or otherwise, of the Seller and its subsidiaries (including any statutory trusts) have been paid in full, acquiesce, petition or otherwise invoke or cause the Seller
or any of its subsidiaries to invoke the process of any court or government authority for the purpose of commencing or sustaining a case against the Seller or any of its subsidiaries under any federal or state bankruptcy, insolvency or similar law
or appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Seller or any of its subsidiaries or any substantial part of its property, or ordering the winding up or liquidation of the affairs of
the Seller or any of its subsidiaries. 
 Each Noteholder, [INSERT (for Class C Notes): other than Navistar
Financial Retail Receivables Corporation,] by acceptance of a Note or, in the case of a Note Owner, a beneficial interest in a Note, unless otherwise required by appropriate taxing authorities, agrees to treat the Notes as indebtedness
secured by the Receivables for the purpose of federal income taxes, state and local income and franchise taxes, and any other taxes imposed upon, measured by or based upon gross or net income. 

Prior to the due presentment for registration of transfer of this Note, the Issuer, the Indenture Trustee and any agent of the Issuer or
the Indenture Trustee may treat the Person in whose name this Note (as of the day of determination or as of such other date as may be specified in the Indenture) is registered as the owner hereof for all purposes, whether or not this Note shall be
overdue, and neither the Issuer, the Indenture Trustee nor any such agent shall be affected by notice to the contrary. 
 The
Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations of the Issuer and the rights of the Noteholders under the Indenture at any time by the Issuer with the consent
of the Holders of Notes representing a majority of the Outstanding Amount of the Controlling Class. The Indenture also contains provisions permitting the Holders of Notes representing specified percentages of the Outstanding Amount of the
Controlling Class, on behalf of the Holders of all the Notes, to waive compliance by the Issuer with certain provisions of the Indenture and certain past defaults under the Indenture and their consequences. Any such consent or waiver by the Holder
of this Note (or any one of more Predecessor Notes) shall be conclusive and binding upon such Holder and upon all future Holders of this Note and of any Note issued upon the registration of transfer hereof or in exchange hereof or in lieu hereof
whether or not notation of such consent or waiver is made upon this Note. The Indenture also permits the Indenture Trustee to amend or waive certain terms and conditions set forth in the Indenture without the consent of the Noteholders. 

The term “Issuer” as used in this Note includes any successor to the Issuer under the Indenture. 

 

 Ex. C-7 

 The Issuer is permitted by the Indenture, under certain circumstances, to merge or
consolidate, subject to the rights of the Indenture Trustee and the Holders of Notes under the Indenture. 
 The Notes are
issuable only in registered form in denominations as provided in the Indenture, subject to certain limitations therein set forth. 

This Note and the Indenture shall be construed in accordance with the laws of the State of Illinois, without reference to its conflict of
law provisions, and the obligations, rights and remedies of the parties hereunder and thereunder shall be determined in accordance with such laws, except that the obligations, rights and remedies of the Indenture Trustee hereunder shall be
determined in accordance with the internal laws of the State of New York. 
 No reference herein to the Indenture and no
provision of this Note or of the Indenture shall alter or impair the obligation of the Issuer, which is absolute and unconditional, to pay the principal of and interest on this Note at the times, place and rate, and in the coin or currency herein
prescribed. 
 Anything herein to the contrary notwithstanding, except as expressly provided in the Basic Documents, neither the
Seller, the Servicer, the Initial Purchasers, the Indenture Trustee nor the Owner Trustee in their respective individual capacities, any owner of a beneficial interest in the Issuer, nor any of their respective partners, beneficiaries, agents,
officers, directors, employees or successors or assigns, shall be personally liable for, nor shall recourse be had to any of them for, the payment of principal of or interest on, or performance of, or omission to perform, any of the covenants,
obligations or indemnifications contained in this Note or the Indenture, it being expressly understood that said covenants, obligations and indemnifications have been made by the Issuer. The Holder of this Note by the acceptance hereof agrees that,
except as expressly provided in the Basic Documents, in the case of an Event of Default under the Indenture, the Holder shall have no claim against any of the foregoing for any deficiency, loss or claim therefrom; provided, however,
that nothing contained herein shall be taken to prevent recourse to, and enforcement against, the assets of the Issuer for any and all liabilities, obligations and undertakings contained in the Indenture or in this Note. 

 

 Ex. C-8 

 ASSIGNMENT 

Social Security or taxpayer I.D. or other identifying number of assignee 

                         
                                         
                                         
      
 FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto
                                         
                                

 
  

(name and address of assignee) 

the within Note and all rights thereunder, and hereby irrevocably constitutes and appoints
                                         
           , as attorney, to transfer said Note on the books kept for registration thereof, with full power of substitution in the premises. 

 

							
	Dated:	 	  
	  		  	
 
4

		 		  		  	Signature Guaranteed:
			
	  
	  		  	  

 

	4
	NOTE: The signature to this assignment must correspond with the name of the registered owner as it appears on the face of the within Note in every particular, without
alteration, enlargement or any change whatsoever. 

  

 Ex. C-9

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