Document:

Amended & Restated Sale & Servicing Agreement

 Exhibit 10.7.1 
  

 U.S. $300,000,000 
 AMENDED AND RESTATED SALE AND SERVICING AGREEMENT 
 by and among 
 NEWSTAR CP FUNDING LLC, 
 as the
Seller, 
 NEWSTAR FINANCIAL, INC., 
 as the Originator and as the Servicer, 
 WACHOVIA BANK, NATIONAL ASSOCIATION,  
 as the Swingline Purchaser, 
 EACH OF
THE CONDUIT PURCHASERS AND PURCHASER 
 AGENTS FROM TIME TO TIME PARTY HERETO, 
 together with the Swingline Purchaser, as the Purchasers, 
 WACHOVIA CAPITAL MARKETS, LLC, 
 as the Administrative Agent and as the VFCC Agent, 

and 
 U.S. BANK NATIONAL ASSOCIATION,

 as the Trustee 
 LYON FINANCIAL SERVICES, INC., 
 as Backup Servicer 
 Original Closing Date August 11, 2004 
 Amended and Restated as of April 5,
2006 
  

 TABLE OF CONTENTS 
  

							
	ARTICLE I DEFINITIONS	  	2
				
		    	Section 1.1	  	Certain Defined Terms	  	2
		    	Section 1.2	  	Other Terms	  	59
		    	Section 1.3	  	Computation of Time Periods	  	59
		    	Section 1.4	  	Interpretation	  	59
		
	ARTICLE II PURCHASE OF THE VARIABLE FUNDING CERTIFICATES	  	60
				
		    	Section 2.1	  	The Variable Funding Certificates	  	60
		    	Section 2.2	  	Procedures for Swingline Advances by the Swingline	  	
		    		  	Purchaser	  	62
		    	Section 2.3	  	Procedures for Advances by Purchasers	  	64
		    	Section 2.4	  	Delivery of Bonds and Loans	  	65
		    	Section 2.5	  	Reduction of the Facility Amount; Optional Repayments	  	65
		    	Section 2.6	  	Determination of Interest	  	66
		    	Section 2.7	  	Percentage Evidenced by each Variable Funding Certificate	  	66
		    	Section 2.8	  	Reimbursement of Swingline Advances	  	66
		    	Section 2.9	  	Notations on Variable Funding Certificates	  	67
		    	Section 2.10	  	Settlement Procedures During the Revolving Period	  	67
		    	Section 2.11	  	Settlement Procedures During the Amortization Period	  	70
		    	Section 2.12	  	Collections and Allocations	  	72
		    	Section 2.13	  	Payments, Computations, Etc	  	73
		    	Section 2.14	  	Optional Repurchase	  	75
		    	Section 2.15	  	Fees	  	75
		    	Section 2.16	  	Increased Costs; Capital Adequacy; Illegality	  	76
		    	Section 2.17	  	Taxes	  	77
		    	Section 2.18	  	Assignment of the Sale Agreement	  	79
		    	Section 2.19	  	Substitution of Assets; Repurchase or Substitution of Warranty	  	
		    		  	Assets; Repurchase of Charged-Off Loans	  	79
		    	Section 2.20	  	Optional Sales	  	83
		    	Section 2.21	  	Discretionary Sales	  	85
		    	Section 2.22	  	Market Gains and Market Losses	  	87
		
	ARTICLE III CONDITIONS TO ADVANCES AND SWINGLINE ADVANCES	  	88
				
		    	Section 3.1	  	Conditions to Closing and Initial Advance	  	88
		    	Section 3.2	  	Conditions Precedent to All Advances and Swingline	  	
		    		  	Advances	  	88
		    	Section 3.3	  	Custodianship; Transfer of Loans, Bonds and Permitted	  	
		    		  	Investments	  	91
		
	ARTICLE IV REPRESENTATIONS AND WARRANTIES	  	93
				
		    	Section 4.1	  	Representations and Warranties of the Seller	  	93

							
		    	Section 4.2	  	Representations and Warranties of the Seller Relating to the Agreement and the Collateral	  	105
		    	Section 4.3	  	Representations and Warranties of the Servicer	  	106
		    	Section 4.4	  	Representations and Warranties of the Trustee	  	109
		    	Section 4.5	  	Representations and Warranties of the Backup Servicer	  	111
		    	Section 4.6	  	Breach of Certain Representations and Warranties	  	111
		
	ARTICLE V GENERAL COVENANTS	  	112
				
		    	Section 5.1	  	Affirmative Covenants of the Seller	  	112
		    	Section 5.2	  	Negative Covenants of the Seller	  	116
		    	Section 5.3	  	Covenants of the Seller Relating to the Hedging of Assets	  	119
		    	Section 5.4	  	Affirmative Covenants of the Servicer	  	120
		    	Section 5.5	  	Negative Covenants of the Servicer	  	123
		    	Section 5.6	  	Affirmative Covenants of the Trustee	  	124
		    	Section 5.7	  	Negative Covenants of the Trustee	  	125
		    	Section 5.8	  	Affirmative Covenants of the Backup Servicer	  	125
		    	Section 5.9	  	Negative Covenants of the Backup Servicer	  	125
		
	ARTICLE VI ADMINISTRATION AND SERVICING OF ASSETS	  	126
				
		    	Section 6.1	  	Designation of the Servicer	  	126
		    	Section 6.2	  	Duties of the Servicer	  	126
		    	Section 6.3	  	Authorization of the Servicer	  	128
		    	Section 6.4	  	Collection of Payments	  	129
		    	Section 6.5	  	Servicer Advances	  	132
		    	Section 6.6	  	Realization upon Related Property of Charged-Off Loans; REO Property	  	133
		    	Section 6.7	  	Maintenance of Insurance Policies	  	135
		    	Section 6.8	  	Enforcement of “Due-on-Sale” Clauses; Assumption Agreements	  	138
		    	Section 6.9	  	[Reserved.]	  	139
		    	Section 6.10	  	[Reserved.]	  	139
		    	Section 6.11	  	Servicing Compensation	  	139
		    	Section 6.12	  	Payment of Certain Expenses by Servicer	  	139
		    	Section 6.13	  	Reports	  	139
		    	Section 6.14	  	Annual Statement as to Compliance	  	140
		    	Section 6.15	  	Annual Independent Public Accountant’s Servicing Reports	  	140
		    	Section 6.16	  	Limitation on Liability of the Servicer and Others	  	141
		    	Section 6.17	  	The Servicer Not to Resign	  	141
		    	Section 6.18	  	Servicer Defaults	  	141
		    	Section 6.19	  	Appointment of Successor Servicer	  	144
		
	ARTICLE VII THE BACKUP SERVICER	  	147
				
		    	Section 7.1	  	Designation of the Backup Servicer	  	147
		    	Section 7.2	  	Duties of the Backup Servicer	  	147
		    	Section 7.3	  	Merger or Consolidation	  	148
		    	Section 7.4	  	Backup Servicing Compensation	  	149

  

 - iii - 

							
		    	Section 7.5	  	Backup Servicer Removal	  	149
		    	Section 7.6	  	Limitation on Liability	  	149
		    	Section 7.7	  	The Backup Servicer Not to Resign	  	150
		
	ARTICLE VIII THE TRUSTEE	  	151
				
		    	Section 8.1	  	Designation of Trustee	  	151
		    	Section 8.2	  	Duties of Trustee	  	151
		    	Section 8.3	  	Merger or Consolidation	  	155
		    	Section 8.4	  	Trustee Compensation	  	156
		    	Section 8.5	  	Trustee Removal	  	156
		    	Section 8.6	  	Limitation on Liability	  	156
		    	Section 8.7	  	The Trustee Not to Resign	  	158
		    	Section 8.8	  	Release of Documents	  	158
		    	Section 8.9	  	Return of Required Loan Documents	  	159
		    	Section 8.10	  	Access to Certain Documentation and Information Regarding the Collateral; Audits	  	160
		
	ARTICLE IX SECURITY INTEREST	  	160
				
		    	Section 9.1	  	Grant of Security Interest	  	160
		    	Section 9.2	  	Release of Lien on Collateral	  	162
		    	Section 9.3	  	Further Assurances	  	162
		    	Section 9.4	  	Remedies	  	162
		    	Section 9.5	  	Waiver of Certain Laws	  	162
		    	Section 9.6	  	Power of Attorney	  	163
		
	ARTICLE X TERMINATION EVENTS	  	163
				
		    	Section 10.1	  	Termination Events	  	163
		    	Section 10.2	  	Remedies	  	166
		
	ARTICLE XI INDEMNIFICATION	  	167
				
		    	Section 11.1	  	Indemnities by the Seller	  	167
		    	Section 11.2	  	Indemnities by the Servicer	  	171
		    	Section 11.3	  	After-Tax Basis	  	171
		
	ARTICLE XII THE ADMINISTRATIVE AGENT AND PURCHASER AGENTS	  	172
				
		    	Section 12.1	  	The Administrative Agent	  	172
		    	Section 12.2	  	VFCC Agent	  	175
		    	Section 12.3	  	Additional Purchaser Agent	  	177
		
	ARTICLE XIII MISCELLANEOUS	  	179
				
		    	Section 13.1	  	Amendments and Waivers	  	179
		    	Section 13.2	  	Notices, Etc	  	180
		    	Section 13.3	  	Ratable Payments	  	180
		    	Section 13.4	  	No Waiver; Remedies	  	180
		    	Section 13.5	  	Binding Effect; Benefit of Agreement	  	180

  

 - iv - 

					
	Section 13.6	  	Term of this Agreement	  	181
	Section 13.7	  	Governing Law; Consent to Jurisdiction; Waiver of Objection to Venue	  	181
	Section 13.8	  	Waiver of Jury Trial	  	181
	Section 13.9	  	Costs, Expenses and Taxes	  	181
	Section 13.10	  	No Proceedings	  	182
	Section 13.11	  	Recourse Against Certain Parties	  	183
	Section 13.12	  	Protection of Right, Title and Interest in the Collateral; Further Action Evidencing Advances and Swingline Advances	  	184
	Section 13.13	  	Confidentiality	  	186
	Section 13.14	  	Execution in Counterparts; Severability; Integration	  	187
	Section 13.15	  	Waiver of Setoff	  	187
	Section 13.16	  	Assignments	  	188
	Section 13.17	  	Heading and Exhibits	  	188
	Section 13.18	  	Loans Subject to Retained Interest Provisions	  	188
	Section 13.19	  	Non-Confidentiality of Tax Treatment	  	189
	Section 13.20	  	Cooperation with Trustee	  	189

 EXHIBITS 
  

			
	EXHIBIT A-l	 	Form of Borrowing Notice (Advances)
	EXHIBIT A-1-S	 	Form of Borrowing Notice (Swingline Funding Request)
	EXHIBIT A-2	 	Form of Borrowing Notice (Reinvestments of Principal Collections)
	EXHIBIT A-3	 	Form of Borrowing Notice (Reduction of Advances Outstanding and Facility Amount)
	EXHIBIT A-4	 	Form of Borrowing Base Certificate
	EXHIBIT B	 	Form of Variable Funding Certificate (VFC)
	EXHIBIT C	 	Form of Servicing Report
	EXHIBIT D	 	Form of Hedging Agreement (including Schedule and Confirmation)
	EXHIBIT E-1	 	Form of Officer’s Certificate to Solvency (NewStar CP Funding LLC)
	EXHIBIT E-2	 	Form of Officer’s Certificate to Solvency (NewStar Financial, Inc.)
	EXHIBIT F-1	 	Form of Officer’s Closing Certificate (NewStar CP Funding LLC)
	EXHIBIT F-2	 	Form of Officer’s Closing Certificate (NewStar Financial, Inc.)
	EXHIBIT G-l	 	Form of Power of Attorney (NewStar CP Funding LLC)
	EXHIBIT G-2	 	Form of Power of Attorney (NewStar Financial, Inc.)
	EXHIBIT H	 	Form of Release of Required Loan Documents
	EXHIBIT I	 	Form of Assignment of Mortgage
	EXHIBIT J	 	Form of Servicer’s Certificate
	EXHIBIT K	 	Form of Transferee Letter
	EXHIBIT L	 	Form of Assumption Agreement

 SCHEDULES 
  

			
		
	SCHEDULE I	 	Condition Precedent Documents
	SCHEDULE II	 	Concentration Account Bank and Concentration Account
	SCHEDULE III	 	Location of Required Loan Documents

  

 - v - 

			
	SCHEDULE IV	  	Asset List
	SCHEDULE V	  	[Reserved]
	SCHEDULE VI	  	Credit and Collection Policy
	SCHEDULE VII	  	Diversity Score Table
	SCHEDULE VIII	  	Moody’s Industry Classification Group
	SCHEDULE IX	  	Agreed-Upon Procedures For Independent Public Accountants
		
		  	APPENDICES
		
	APPENDIX A	  	Eligibility Criteria for Loans
	APPENDIX B	  	Eligibility Criteria for Bonds

  

 - vi - 

 AMENDED AND RESTATED SALE AND SERVICING AGREEMENT 
 THIS AMENDED AND RESTATED SALE AND SERVICING AGREEMENT (such agreement as amended, modified, waived, supplemented, restated or replaced from time
to time, the “Agreement”) is made as of this April 5, 2006, by and among: 
 (1) NEWSTAR CP FUNDING LLC, a
Delaware limited liability company, as the seller (together with its successors and assigns in such capacity, the “Seller”); 
 (2) NEWSTAR FINANCIAL, INC., a Delaware corporation (the “Company”), as the originator (together with its successors and assigns in such capacity, the “Originator”), and as the servicer
(together with its successors and assigns in such capacity, the “Servicer”); 
 (3) WACHOVIA BANK, NATIONAL ASSOCIATION,
a national banking association (together with its successors and assigns, “Wachovia”), as the Swingline Purchaser (together with its successors and assigns in such capacity, the “Swingline Purchaser”);

 (4) EACH OF THE CONDUIT PURCHASERS AND PURCHASER AGENTS FROM TIME TO TIME PARTY HERETO (each, together with its successors and
assigns in such capacity, a “Conduit Purchaser” and a “Purchaser” and collectively with the Swingline Purchaser, the “Purchasers”); 
 (5) WACHOVIA CAPITAL MARKETS, LLC, a Delaware limited liability company (together with its successors and assigns, “WCM”), as the
administrative agent (together with its successors and assigns in such capacity, the “Administrative Agent”) and as the Purchaser Agent with respect to Variable Funding Capital Company LLC as Conduit Purchaser (together with its
successors and assigns in such capacity, the “VFCC Agent”); 
 (6) U.S. BANK NATIONAL ASSOCIATION, a national banking
association (together with its successors and assigns, “US Bank”), not in its individual capacity but as the trustee (together with its successors and assigns in such capacity, the “Trustee”); and 
 (7) LYON FINANCIAL SERVICES, INC. (“Lyon”),a Minnesota corporation, doing business as U.S. Bank Portfolio Services, not in its
individual capacity but as the backup servicer (together with its successors and assigns in such capacity, the “Backup Servicer”). 
 R E C I T A L S 
 WHEREAS, the parties hereto, previously entered into the Sale and Servicing Agreement dated
as of August 11, 2004, as amended by Amendment No. 1 thereto dated as of October 21, 2004, the Omnibus Amendment thereto dated as of February 7, 2005, Third Amendment thereto dated as of June 21, 2005, Amendment No. 4
thereto dated as of August 10, 2005, Amendment No. 5 thereto dated as of September 25, 2005, Amendment No. 6 thereto dated as of November 4, 2005 and Amendment No. 7 thereto dated as of January 30, 2005 [sic] (such
agreement, as amended, modified or waived prior to the date hereof, the “Existing Agreement”); 

 WHEREAS, pursuant to the Existing Agreement and the other Transaction Documents, the Seller has
acquired, and, pursuant to this Agreement and the other Transaction Documents, may from time to time continue to acquire, certain Assets from the Originator pursuant to the Sale Agreement; 
 WHEREAS, the Originator may also underwrite certain Eligible Assets to be purchased directly from third parties by the Seller, which Eligible
Assets will conform in all respects to the representations and warranties with respect to the Collateral under the Sale Agreement and will have the benefit of all covenants and agreements of the Originator under the Sale Agreement with respect to
such Collateral as if such Eligible Assets were purchased directly by the Seller from the Originator under the Sale Agreement; 
 WHEREAS,
it is the intention of the parties hereto that (i) in connection with each Advance or Swingline Advance hereunder, the Seller hereby transfers and assigns to, and grants a security interest to, the Trustee, for the benefit of the Secured
Parties, in all of the Seller’s right, title and interest in and to the Assets and proceeds with respect thereto, and (ii) this Agreement shall constitute a security agreement under Applicable Law, in respect of the transfer and Grant
described in this Recital and in all other security interests granted hereunder; 
 WHEREAS, the parties hereto now wish to amend and
restate the Existing Agreement in its entirety in order to correct certain provisions and in order to incorporate and accurately reflect the changes made in the Amendments recited above, and to make certain additional changes agreed to by the
parties hereto; and 
 WHEREAS, all other conditions precedent to the execution of this Agreement have been complied with. 

NOW, THEREFORE, based upon the foregoing Recitals, the mutual premises and agreements contained herein, and other good and valuable
consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows: 
 ARTICLE I. 
 DEFINITIONS 
 Section 1.1. Certain Defined Terms. 
 Certain capitalized terms used throughout this Agreement are defined above or in this Section 1.1. As used in this Agreement and its schedules, exhibits and other attachments, unless the context requires a
different meaning, the following terms shall have the following meanings: 
 “1940 Act”: The Investment Company Act of 1940,
as amended. 
 “2005-1 Class E Notes”: The $3,875,000 Class E Notes issued by NewStar Trust 2005-1, a Delaware statutory
trust, pursuant to that certain indenture, dated as of August 10, 2005, by and among NewStar Trust 2005-1, as issuer, and U. S . Bank National Association, as trustee. 
  

 - 2 - 

 “ABS Direct Loan”: A Loan that is underwritten using ABS Structuring Methodologies.

 “ABS Structuring Methodologies”: With respect to any ABS Direct Loan, the types of structures (including, without
limitation, bankruptcy remote structures utilizing special purpose entities), cash flow analysis and modeling, priority of payment provisions, determinations of credit enhancement levels covering defaults and performance triggers and legal opinions
that are consistent with those for issuances of Asset Backed Securities involving similar underlying pools of assets with similar characteristics as the specified pool of assets collateralizing such ABS Direct Loan, in each case as reasonably
determined by the Administrative Agent. 
 “Account”: Any of the Collection Account, the Principal Collections Account, the
Interest Collections Account, the Custodial Account, the Holding Account and any sub-accounts thereof deemed appropriate or necessary by the Administrative Agent for convenience in administering such accounts. 
 “Accreted Interest”: Interest accrued on an Asset that is added to the principal amount of such Asset instead of being paid as it
accrues. 
 “Accrual Period”: (a) With respect to each Advance or Swingline Advance (or portion thereof) funded at an
Interest Rate other than the CP Rate, (i) with respect to the first Payment Date, the period from and including the Initial Closing Date to but excluding such first Payment Date and (ii) with respect to any subsequent Payment Date, the
period from and including the previous Payment Date to but excluding such subsequent Payment Date, and (b) with respect to each Advance or Swingline Advance (or portion thereof) funded at an Interest Rate equal to the CP Rate, (i) with
respect to the first Payment Date, the period from and including the Initial Closing Date to and including the last day of the calendar month preceding the first Payment Date and (ii) with respect to any subsequent Payment Date, the period
ending on the last day of the calendar month immediately preceding the month in which the Payment Date occurs and commencing on the first day of the calendar month in which the preceding Payment Date occurred. 
 “Addition Date”: With respect to any Additional Assets, the date on which such Additional Assets become part of the Collateral.

 “Additional Amount”: Defined in Section 2.17(a). 
 “Additional Assets”: All Assets that become part of the Collateral after the Initial Closing Date. 
 “Adjusted Eurodollar Rate”: For any Accrual Period, an interest rate per annum equal to a fraction,
expressed as a percentage and rounded upwards (if necessary) to the nearest 1/100 of 1%, (i) the numerator of which is equal to the LIBOR Rate for such Accrual Period and (ii) the denominator of which is equal to 100% minus the
Eurodollar Reserve Percentage for such Accrual Period. 
 “Administrative Agent”: WCM, in its capacity as administrative
agent for the Purchaser Agents, together with its successors and assigns, including any successor appointed pursuant to Article XII. 
  

 - 3 - 

 “Advance”: Defined in Section 2.l(b). 
 “Advance Rate”: With respect to any type of Asset on any date of determination, the corresponding percentage set forth below:

 Large Syndicated Loans 
  

			
	 Moody’s and S&P Rating
	  	Advance Rate
	 “Ba3” and “BB”- or higher
	  	90%
	 “B3” and “B”- or higher
	  	85%

  

 - 4 - 

 Middle Market Loans and ABS Direct Loans 
 Weighted Average Rating Factor (WARF) 
 DIVERSITY SCORE 
  

																																								
	 	  	3375-
3500	 	 	3250-
3374	 	 	3125-
3249	 	 	3000-
3124	 	 	2875-
2999	 	 	2750-
2874	 	 	2625-
2749	 	 	2500-
2624	 	 	2375-
2499	 	 	2250-
2374	 	 	2125-
2249	 	 	2000-
2124	 	 	<2000	 
	 1-2
	  	69.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%
	 3-4
	  	69.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%
	 5-6
	  	69.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%
	 7-8
	  	69.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%	 	70.0	%
	 9-10
	  	70.0	%	 	70.0	%	 	71.0	%	 	71.0	%	 	72.0	%	 	74.0	%	 	74.0	%	 	75.0	%	 	76.0	%	 	78.0	%	 	80.0	%	 	80.0	%	 	82.0	%
	 11-12
	  	70.0	%	 	71.0	%	 	73.0	%	 	74.0	%	 	74.0	%	 	75.0	%	 	76.0	%	 	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	83.0	%
	 13-14
	  	72.0	%	 	73.0	%	 	74.0	%	 	75.0	%	 	76.0	%	 	77.0	%	 	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	83.0	%	 	84.0	%
	 15-16
	  	73.0	%	 	74.0	%	 	75.0	%	 	76.0	%	 	77.0	%	 	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	83.0	%	 	84.0	%	 	84.0	%
	 17-18
	  	74.0	%	 	75.0	%	 	76.0	%	 	77.0	%	 	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	83.0	%	 	84.0	%	 	84.0	%	 	85.0	%
	 19-20
	  	75.0	%	 	76.0	%	 	77.0	%	 	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	82.0	%	 	83.0	%	 	84.0	%	 	85.0	%	 	86.0	%
	 21-22
	  	76.0	%	 	77.0	%	 	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	81.0	%	 	82.0	%	 	83.0	%	 	84.0	%	 	85.0	%	 	85.0	%	 	86.0	%
	 23-24
	  	76.0	%	 	77.0	%	 	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	83.0	%	 	83.0	%	 	84.0	%	 	85.0	%	 	86.0	%	 	86.0	%
	 25-26
	  	77.0	%	 	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	81.0	%	 	82.0	%	 	83.0	%	 	83.0	%	 	84.0	%	 	85.0	%	 	86.0	%	 	87.0	%
	 27-28
	  	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	81.0	%	 	82.0	%	 	82.0	%	 	84.0	%	 	84.0	%	 	85.0	%	 	85.0	%	 	86.0	%	 	87.0	%
	 29-30
	  	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	81.0	%	 	82.0	%	 	83.0	%	 	84.0	%	 	84.0	%	 	85.0	%	 	86.0	%	 	86.0	%	 	87.0	%
	 31-32
	  	78.0	%	 	79.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	82.0	%	 	83.0	%	 	84.0	%	 	84.0	%	 	85.0	%	 	86.0	%	 	87.0	%	 	87.0	%
	 33-34
	  	79.0	%	 	80.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	83.0	%	 	83.0	%	 	84.0	%	 	84.0	%	 	85.0	%	 	86.0	%	 	87.0	%	 	87.0	%
	 35-36
	  	79.0	%	 	80.0	%	 	81.0	%	 	81.0	%	 	82.0	%	 	83.0	%	 	83.0	%	 	84.0	%	 	84.0	%	 	85.0	%	 	86.0	%	 	87.0	%	 	88.0	%
	 37-38
	  	79.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	82.0	%	 	83.0	%	 	84.0	%	 	84.0	%	 	85.0	%	 	86.0	%	 	87.0	%	 	87.0	%	 	88.0	%
	 39-40
	  	80.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	82.0	%	 	83.0	%	 	84.0	%	 	85.0	%	 	85.0	%	 	86.0	%	 	87.0	%	 	87.0	%	 	89.0	%
	 >40
	  	80.0	%	 	80.0	%	 	81.0	%	 	82.0	%	 	82.0	%	 	83.0	%	 	84.0	%	 	85.0	%	 	85.0	%	 	86.0	%	 	87.0	%	 	87.0	%	 	89.0	%

 Bonds other than NIM Notes 
  

				
	 Moody’s, S&P and Fitch Rating
	  	Advance Rate	 
	 “Baa3,” “BBB-” and “BBB-” or higher
	  	80	%
	 “Ba1,” “BB+” and “BB+” or higher
	  	70	%
	 “Ba2,” “ BB” and “BB” or higher
	  	65	%
	 “Ba3,” “BB-” and “BB-” or higher
	  	50	%
	 “B1 ,” “B+”and “B+” or higher
	  	45	%
	 “B2,” “B” and “B” or below
	  	40	%

 Real Estate Loans 
  

													
	 Classification
	  	Senior
Secured
Loan	 	 	B-Note Loan
(LTV<85%)	 	 	B-Note Loan
(85%£LTV<90%)	 	 	Mezzanine
Loan	 
	 Multifamily
	  	85	%	 	75	%	 	70	%	 	70	%
	 Office, Retail, & Industrial
	  	85	%	 	70	%	 	60	%	 	60	%
	 Other
	  	75	%	 	60	%	 	55	%	 	55	%

 NIM Notes 
  

				
	 Moody’s, S&P or Fitch Rating
	  	Advance Rate	 
	 “Baa3”, “BBB-” or “BBB-” or higher
	  	70	%
	 “Ba1”, “BB+” and “BB+” or lower
	  	0	%

 For purposes of calculating the applicable Advance Rate in the above tables: (a) the percentage shown under
the heading “Advance Rate” (i) in the case of Bonds, shall be multiplied by the Principal Balance of such Bonds and (ii) in the case of Loans, shall be multiplied by the Principal Balance of such Loans, (b) any Bond that is
placed on negative watch by Moody’s, S&P or Fitch shall be deemed to have a rating consistent with such negative watch which shall be one ratings subcategory below its then current rating, (c) any Bond or any Large Syndicated Loan that
is split rated such that two possible Advance Rates are applicable to it shall have the lower of the two Advance Rates specified in the above table; provided, that for any Bond rated solely by S&P,
(i) if such Bond has an S&P Rating of “BBB-” or higher, such Bond shall have the Advance Rate of one ratings subcategory below its then current S&P Rating or (ii) if such Bond has an S&P Rating of “BB+”
or lower, such Bond shall have the Advance Rate of two ratings subcategories below its then current S&P Rating, (d) each applicable Advance Rate shall be determined or redetermined, as the case may be, as of each Measurement Date,
(e) the Moody’s Rating and S&P Rating shall be updated no less frequently than once per year, (f) the Moody’s Rating, S&P Rating or Fitch rating, as applicable, for any NIM Note shall be updated no less frequently than
once per year, and (g) the Advance Rate for the 2005-1 Class E Notes shall be 50% on the lesser of (i) the outstanding principal balance of the 2005-1 Class E Notes or (ii) the Fair Market Value of the 2005-1 Notes;
provided, that on and after August 9, 2006 the Advance 

 Rate shall be 0%. For the avoidance of doubt, for purposes of this definition, a Large Syndicated Loan having a
Moody’s Rating or S&P Rating below “B3” or “B-,” respectively, shall be treated as a Middle Market Loan. 
 “Advances Outstanding”: On any day, the aggregate principal amount of all Advances and Swingline Advances outstanding on such day, after giving effect to all repayments of Advances and Swingline Advances and the making of
new Advances or Swingline Advances on such day. 
 “Affected Party”: The Administrative Agent, the Purchaser Agents, each
Hedge Counterparty, the Purchasers, each Liquidity Bank, all assignees and participants of the Purchasers and each Liquidity Bank, any successor to WCM as Administrative Agent and any sub-agent of the Administrative Agent and any successor to a
Purchaser Agent. 
 “Affiliate”: With respect to a Person, means any other Person that, directly or indirectly, controls, is
controlled by or under common control with such Person, or is a director or officer of such Person provided, however, that for purposes of determining whether any Asset is an Eligible Asset or any
Obligor is an Eligible Obligor, the term Affiliate shall not include any Affiliate relationship which may exist solely as a result of direct or indirect ownership of, or control by, a common owner which is a financial institution, fund or other
investment vehicle which is in the business of making diversified investments including investments independent from the Assets. For purposes of this definition, “control” (including the terms “controlling,” “controlled
by” and “under common control with”) when used with respect to any specified Person means the possession, direct or indirect, of the power to vote 20% or more of the voting securities of such Person or to direct or cause the direction
of the management or policies of such Person, whether through the ownership of voting securities, by contract or otherwise. 
 “Agented Loans”: With respect to any Loan, (a) the Loan is originated or acquired and re-underwritten by the Originator in accordance with the Credit and Collection Policy (without regard to any contemporaneous or
subsequent syndication of such Loan) prior to such Agented Loan becoming part of the Collateral hereunder, (b) the Required Loan Documents with respect thereto are delivered to the Trustee in accordance with this Agreement, (c) the Seller
has all of the rights of a lender with respect to such Loan and the Related Property which have been transferred to the Seller with respect to such Loan but none of the obligations as such obligations relate to the Retained Interest, (d) the
Loan, if secured, is secured by the Related Property on a pro rata basis, with all other lenders with respect to such Obligor’s indebtedness of equal lien priority issued in such loan transaction and
(e) the Company (or a wholly-owned subsidiary of the Company) is the lead or administrative agent, collateral agent and paying agent for all lenders in such loan transaction and receives payment directly from the related Obligor on behalf of
such lenders and has the right to receive and collect payments directly in its own name as agent on behalf of the lenders and to enforce its rights as agent on behalf of the lenders directly against the Obligor thereof. 
 “Agent’s Account”: Means, with respect to any applicable Purchaser, the special account established in the name of such Purchaser
with such Purchaser’s Purchaser Agent, or any other agent on such Purchaser’s behalf and identified as such to the Seller and Servicer in writing (or any other account from time to time notified to the Seller and the Servicer in writing by
such Purchaser or its Purchaser Agent). 
  

 - 7 - 

 “Aggregate Unpaids”: At any time, an amount equal to the sum of all unpaid Advances
Outstanding, Interest, Breakage Costs, Hedge Breakage Costs and all other amounts owed by the Seller to the Purchasers, the Purchaser Agents, the Administrative Agent, any applicable Hedge Counterparty, the Trustee (including for the avoidance of
doubt in its capacity as Collateral Custodian and Collateral Administrator under the Existing Agreement) and the Backup Servicer hereunder (including, without limitation, all Indemnified Amounts, other amounts payable under Article XI and
amounts required under Section 2.10, Section 2.11, Section 2.16 and Section 2.17 to the Affected Parties or Indemnified Parties) or under any Hedging Agreement (including, without limitation, payments
in respect of the termination of any such Hedging Agreement) or by the Seller or any other Person under any fee letter (including, without limitation, each applicable Purchaser Fee Letter, the Trustee Fee Letter and the Backup Servicer Fee Letter)
delivered in connection with the transactions contemplated by this Agreement (whether due or accrued). 
 “Alternative
Rate”: An interest rate per annum equal to the Adjusted Eurodollar Rate; provided, however, that the Alternative Rate shall be the Base
Rate if a Eurodollar Disruption Event occurs. 
 “Amortization Period”: The period beginning on the Termination Date and
ending on the Collection Date. 
 “Applicable Law”: For any Person or property of such Person, all existing and future
applicable laws, rules, regulations (including proposed, temporary and final income tax regulations), statutes, treaties, codes ordinances, permits, certificates, orders and licenses of and interpretations by any Governmental Authority which are
applicable to such Person or property (including, without limitation, and to the extent applicable, usury laws, the Federal Truth in Lending Act, and Regulation Z and Regulation B of the Board of Governors of the Federal Reserve System), and
applicable judgments, decrees, injunctions, writs, awards or orders of any court, arbitrator or other administrative, judicial, or quasi-judicial tribunal or agency of competent jurisdiction. 
 “Appraisal”: With respect to any Mortgaged Property or REO Property as to which an appraisal is required or permitted to be performed
pursuant to the terms of this Agreement, an appraisal performed in conformance with the guidelines established by the Appraisal Institute. 
 “Appraisal Institute”: The membership association of professional real estate appraisers. 
 “Appraised
Value”: As of any date of determination, the Appraised Value of the Mortgaged Property based upon the most recent Appraisal of such Mortgaged Property and determined in accordance with the Credit and Collection Policy and the Servicing
Standard. 
 “Asset Backed Security”: A structured security issued by an Obligor in which repayment relies upon the cash
flow stream generated by a pool of assets (such as commercial mortgage loans) originated by banks or other providers of credit; it being understood that the Obligor of which may have an ownership or security interest in such assets. 
  

 - 8 - 

 “Asset List”: The Asset List provided by the Seller to the Administrative Agent, the
Trustee, each Purchaser Agent and the Backup Servicer in the form of Schedule IV hereto, as such list may be amended, supplemented or modified from time to time in accordance with this Agreement. 
 “Asset”: Loans and Bonds, individually or collectively, as the context requires. 
 “Assignment of Leases and Rents”: With respect to any Mortgaged Property, any assignment of leases, rents and profits or similar
instrument executed by the Obligor, assigning to the mortgagee all of the income, rents and profits derived from the ownership, operation, leasing or disposition of all or a portion of such Mortgaged Property, whether contained in the Mortgage or in
a document separate from the Mortgage, in the form that was duly executed, acknowledged and delivered, as amended, modified, renewed or extended through the date hereof and from time to time hereafter in accordance with the Credit and Collection
Policy and the Servicing Standard. 
 “Assignment of Mortgage”: An assignment of the Mortgage, notice of transfer or
equivalent instrument in recordable form, sufficient under the laws of the jurisdiction wherein the related Mortgaged Property is located to effect the assignment of the Mortgage to the Trustee, for the benefit of the Secured Parties, which
assignment, notice of transfer or equivalent instrument may be in blank or to the Trustee, for the benefit of the Secured Parties, and may be in the form of one or more blanket assignments covering the Loans secured by Mortgaged Properties located
in the same jurisdiction, if permitted by Applicable Law. 
 “Availability”: At any time, an amount equal to the excess, if
any, of (i) the amount by which the lesser of (a) the Facility Amount and (b) the Maximum Availability over (ii) the Advances Outstanding on such day; provided,
however, during the Amortization Period, the Availability shall be zero. 
 “Available Funds”: With
respect to any Payment Date, all amounts received in the Collection Account (including, without limitation, any Collections on Assets included in the Collateral and earnings from Permitted Investments in the Collection Account) during the Collection
Period that ended on the Determination Date immediately preceding the calendar month in which such Payment Date occurs. 
 “Average
Pool Charged-Off Ratio”: As of any Determination Date, the percentage equivalent of a fraction (i) the numerator of which is equal to the sum of the Principal Balances of all Loans that became Charged-Off Loans (net of Recoveries on
Charged-Off Loans during such calendar month) during the calendar month related to such Determination Date and each of 11 preceding Determination Dates (or such lesser number as shall have elapsed as of such Determination Date), and (ii) the
denominator of which is equal to the weighted average of the aggregate Principal Balance of all Loans measured as of the first day of the calendar month related to such Determination Date and each of the 11 preceding Determination Dates (or such
lesser number included in the calculations described herein). 
 “Average Pool Delinquency Ratio”: As of any Determination
Date, the percentage equivalent of a fraction (i) the numerator of which is the sum of the Pool Delinquency Ratio for 
  

 - 9 - 

 such Determination Date and each of the two preceding Determination Dates (or such lesser number as shall have elapsed as
of such Determination Date), and (ii) the denominator of which is three (or the corresponding lesser number of Determination Dates included in the calculations described herein). 
 “Average Portfolio Charged-Off Ratio”: As of any Determination Date, the percentage equivalent of a fraction (i) the numerator of
which is equal to the sum of the Portfolio Principal Balance of all Portfolio Assets that became Charged-Off Portfolio Assets (net of Recoveries on Charged-Off Portfolio Assets during such calendar month) during the calendar month related to such
Determination Date and each of the 11 preceding Determination Dates (or such lesser number as shall have elapsed as of such Determination Date), and (ii) the denominator of which is equal to the weighted average of the Portfolio Principal
Balance measured as of the first day of the calendar month related to such Determination Date and each of the 11 preceding Determination Dates (or such lesser number included in the calculations described herein). 
 “Backup Servicer”: Defined in the Preamble. 
 “Backup Servicer Fee Letter”: The Backup Servicer Fee Letter, dated as of the Closing Date, by and among the Originator, the Administrative Agent and the Backup Servicer, as such letter may be
amended, modified, supplemented, restated or replaced from time to time. For the avoidance of doubt, the Backup Servicer Fee Letter forms a part of the Trustee Fee Letter. 
 “Backup Servicer Termination Notice”: Defined in Section 7.5(b). 
 “Backup Servicing Fee”: The fee identified as the “Backup Servicer Administration Fee” in Schedule II to the Backup Servicer
Fee Letter. 
 “Bankruptcy Code”: The United States Bankruptcy Reform Act of 1978 (11 U.S.C. § 101, et
seq.), as amended from time to time. 
 “Base Rate”: On any date, a fluctuating per annum interest rate equal to
the higher of (a) the Prime Rate or (b) the Federal Funds Rate plus 1.5%. 
 “Benefit Plan”: Any employee
benefit plan as defined in Section 3(3) of ERISA in respect of which the Seller or any ERISA Affiliate of the Seller is, or at any time during the immediately preceding six years was, an “employer” as defined in Section 3(5) of
ERISA. 
 “B-Note Loan”: Any Real Estate Loan which is a Term Loan: (i) that is secured by a valid and perfected first
priority security interest on all of the Obligor’s assets constituting Related Property for the Loan, (ii) where the underlying Related Property consists primarily of real property, (iii) that has a Loan-to-Value Ratio of less than or
equal to 90%, and (iv) that contains terms which, upon the occurrence of an “event of default” (however described or denominated) under the Underlying Instruments or in the case of any liquidation or foreclosure on the Related
Property, provide that the principal of the Seller’s portion of such Loan will be paid only after the other lender parties on the senior tranche related to such Loan are paid in full. 
 “Bond”: Any (i) CMBS Conduit Security, CMBS Credit Tenant Lease Security or any CMBS Large Loan Security, (ii) 2005-1 Class E
Notes or (iii) NIM Note, in each case 
  

 - 10 - 

 originated or acquired by the Originator in the ordinary course of its business which includes, in each case, all right,
title and interest in and to any Related Property and, in the case of clause (i), all right, title and interest in and to the commercial mortgage backed security. 
 “Bond Factor”: The percentage of the original principal amount of each Bond outstanding set forth in the Securities Remittance Certificate as the “Bond Factor.” 
 “Borrowing Base”: As of any Measurement Date, an amount equal to (i) the Principal Collateral Value after giving effect to all
Assets added to and removed from the Collateral on such date, minus (ii) the applicable portion of the sum of the Principal Balances of Assets (without duplication) exceeding any Concentration Limit, and minus (iii) the sum
of the Principal Balances of any Delinquent Loans. 
 “Borrowing Base Certificate”: Each certificate, in the form of
Exhibit A-4, required to be delivered by the Seller along with each Borrowing Notice and on each Measurement Date. 
 “Borrowing Notice”: Each notice, in the form of Exhibit A-1, A-1-S, A-2 or A-3 (as applicable), required to be delivered by the Seller in respect of (i) the Initial Advance, each incremental
Advance and each Swingline Advance, (ii) any reduction of the Facility Amount or repayment of Advances Outstanding or (iii) any reinvestment of Principal Collections under Section 2.10(b). 
 “Breakage Costs”: Means, with respect to any applicable Conduit Purchaser, any amount or amounts as shall compensate such Conduit
Purchaser for any loss, cost or expense incurred by such Conduit Purchaser (as determined by the applicable Purchaser Agent on behalf of such Conduit Purchaser, in such Purchaser Agent’s sole discretion) as a result of a prepayment by the
Seller of Advances Outstanding or Interest. All Breakage Costs relating to any Conduit Purchaser shall be due and payable hereunder upon demand, in accordance with the terms hereof. 
 “Business Day”: Any day other than a Saturday or a Sunday on which (a) banks are not required or authorized to be closed in New
York City, New York, Boston, Massachusetts, Minneapolis, Minnesota, Charlotte, North Carolina or Florence, South Carolina and (b) if the term “Business Day” is used in connection with the determination of the LIBOR Rate, dealings in
United States dollar deposits are carried on in the London interbank market. 
 “Cash”: Such currency or coin of the United
States as at the time shall be legal tender for payment of all public and private debts. 
 “Certificated Security”: The
meaning specified in Section 8-102(a)(4) of the UCC. 
 “Change-in-Control”: Any of the following: 
 (a) The failure of holders of the common voting stock in the Originator as of the Initial Closing Date to own free and clear of all Liens
(other than any Lien granted to the Originator by any such holder to secure such holder’s payment obligation in respect of the original purchase price of such common voting stock), 51% of the outstanding common voting stock of the Originator;

  

 - 11 - 

 (b) the creation or imposition of any Lien on any limited liability company membership
interest in the Seller, other than a pledge of the membership interests in the Seller to secure the Fortress Notes; or 
 (c)
the failure by Originator to own all of the limited liability company membership interests in the Seller. 
 “Change of Tax
Law”: Any change in application or public announcement of an official position under or any change in or amendment to the laws (or any regulations or rulings promulgated thereunder) of any jurisdiction in which an Obligor is organized), or
any political subdivision or taxing authority of any of the foregoing, affecting taxation, or any proposed change in such laws or change in the official application, enforcement or interpretation of such laws, regulations or rulings (including a
holding by a court of competent jurisdiction), or any other action taken by a taxing authority or court of competent jurisdiction in the relevant jurisdiction, or the official proposal of any such action. 
 “Charged-Off Loan”: A Loan as to which any of the following first occurs: (i) the Servicer has determined or should have reasonably
determined in accordance with the Credit and Collection Policy and the Servicing Standard that such Loan is not collectible, (ii) the Loan has been a Delinquent Loan for a period of 60 days or more (without giving effect to any Servicer Advance
thereon or any grace period permitted in the Underlying Instruments), (iii) the related Obligor is subject to an Insolvency Event or (iv) the related Obligor is not Solvent, as reasonably determined by the Servicer in accordance with the
Servicing Standard. 
 “Charged-Off Portfolio Asset”: A Portfolio Asset as to which any of the following first occurs:
(i) the Servicer has determined or should have reasonably determined in accordance with the Credit and Collection Policy and the Servicing Standard (or such similar policies and procedures utilized by the Servicer in servicing such Portfolio
Asset) that such Portfolio Asset is not collectible, (ii) the Portfolio Asset has been a Delinquent Portfolio Asset for a period of 60 days or more (without giving effect to any servicer advance or loan by the Originator or any of its
Affiliates thereon or any grace period permitted in the underlying loan documents), (iii) the related Obligor is subject to an Insolvency Event or (iv) the related Obligor is not Solvent, as reasonably determined by the Servicer in
accordance with the Servicing Standard. 
 “Clearing Agency”: An organization registered as a “clearing agency”
pursuant to Section 17A of the Exchange Act. 
 “Clearing Corporation”: The meaning specified in
Section 8-102(a)(5) of the UCC. 
 “Closing Counsel”: Legal counsel responsible for closing the origination or
acquisition of any Asset on behalf of the Originator which is sold to the Seller under the Sale Agreement and financed by the Seller under this Agreement. 
 “Closing Date”: April 5, 2006. 
 “CMBS Conduit Securities”: Asset
Backed Securities (A) issued by a single-seller or multiple seller bankruptcy-remote special purpose entity or by a single-seller conduit or multi- seller conduit under which the holders of such Asset Backed Securities have recourse to a

  

 - 12 - 

 specified pool of assets (but not other assets held by the conduit that support payments on other series of securities)
and (B) that entitle the holders thereof to receive payments that depend (except for rights or other assets designed to assure the servicing or timely distribution of proceeds to holders of the Asset Backed Securities) on the cash flow from a
pool of commercial mortgage loans generally having the following characteristics: (1) the commercial mortgage loans have varying contractual maturities; (2) the commercial mortgage loans are secured by Interests in Real Property purchased
or improved with the proceeds thereof (or to refinance an outstanding loan the proceeds of which were so used); (3) the commercial mortgage loans are obligations of obligors (with the creditworthiness of individual obligors being less material
than for CMBS Large Loan Securities and Credit Tenant Lease Securities) and, depending on the number of obligors, accordingly represent a more or less diversified pool of obligor credit risk; (4) upon original issuance of such Asset Backed
Securities no five commercial mortgage loans account for more than 20% of the aggregate principal balance of the entire pool of commercial mortgage loans supporting payments on such securities; and (5) repayment thereof can vary substantially
from the contractual payment schedule (if any), with early prepayment of individual loans depending on numerous factors specific to the particular obligors and upon whether, in the case of loans bearing interest at a fixed rate, such loans or
securities include an effective prepayment premium. 
 “CMBS Credit Tenant Lease Securities”: Asset Backed Securities (other
than CMBS Large Loan Securities and CMBS Conduit Securities) that entitle the holders thereof to receive payments that depend (except for rights or other assets designed to assure the servicing or timely distribution of proceeds to holders of the
Asset Backed Securities) on the cash flow from a pool of commercial mortgage loans made to finance the acquisition, construction and improvement of properties leased to commercial tenants (and on the cash flow from such leases). They generally have
the following characteristics: (1) the commercial mortgage loans and leases have varying contractual maturities; (2) the commercial mortgage loans are secured by Interests in Real Property purchased or improved with the proceeds thereof
(or to refinance an outstanding loan the proceeds of which were so used) and by an assignment of the related leases; (3) the related leases create leasehold interests; (4) the commercial mortgage loans and related leases are
obligations of a relatively limited number of obligors and accordingly represent a relatively undiversified pool of obligor credit risk; (5) payment thereof can vary substantially from the contractual payment schedule (if any), with prepayment
of individual loans or termination of leases depending on numerous factors specific to the particular obligors or lessees and upon whether, in the case of loans bearing interest at a fixed rate, such loans include an effective prepayment premium;
and (6) the creditworthiness of such commercial tenants is the primary factor in any decision to invest in these securities. 
 “CMBS Large Loan Securities”: Asset Backed Securities (other than CMBS Conduit Securities and CMBS Credit Tenant Lease Securities) that entitle the holders thereof to receive payments that depend (except for rights or other
assets designed to assure the servicing or timely distribution of proceeds to holders of the Asset Backed Securities) on the cash flow from a pool of commercial mortgage loans made to finance the acquisition, construction and improvement of
properties. They generally have the following characteristics: (i) the commercial mortgage loans have varying contractual maturities; (ii) the commercial mortgage loans are secured by Interests in Real Property purchased or improved with
the proceeds thereof (or to refinance an outstanding loan the proceeds of which were so used); (iii) the commercial mortgage loans are 
  

 - 13 - 

 obligations of a relatively limited number of obligors and accordingly represent a relatively undiversified pool of
obligor credit risk; (iv) repayment thereof can vary substantially from the contractual payment schedule (if any), with early prepayment of individual loans depending on numerous factors specific to the particular obligors and upon whether, in
the case of loans bearing interest at a fixed rate, such loans or securities include an effective prepayment premium; and (v) the valuation of individual properties securing the commercial mortgage loans is the primary factor in any decision to
invest in these securities. 
 “Code”: The Internal Revenue Code of 1986, as amended from time to time. 
 “Collateral”: All right, title, and interest (whether now owned or hereafter acquired or arising, and wherever located) of the Seller in
the property identified in clauses (i)-(vi) below and all accounts, cash and currency, chattel paper, tangible chattel paper, electronic chattel paper, copyrights, copyright licenses, equipment, fixtures, general intangibles, instruments,
commercial tort claims, deposit accounts, inventory, investment property, letter-of-credit rights, software, supporting obligations, accessions, and other property consisting of, arising out of, or related to any of the following (in each case
excluding the Retained Interest and any fee permitted to be retained by the Originator in connection with the origination of any Asset under clause (b)(iii) of the definition of Excluded Amounts): 
 (i) the Existing Assets and Additional Assets, and all monies due or to become due in payment under such Existing Assets and Additional Assets on and
after the related Cut-Off Date, including but not limited to all Collections; 
 (ii) all Related Security with respect to the Assets
referred to in clause (i); 
 (iii) the Equity Interests in any RE0 Affiliate described in clause (b) of the definition thereof;

 (iv) any loans from the Seller to any RE0 Affiliate described in clause (b) of the definition thereof with the prior written consent
of the Administrative Agent; 
 (v) for the avoidance of doubt, all “Collateral” under and as defined in the Existing Agreement;
and 
 (vi) all income and Proceeds of the foregoing. 
 For the avoidance of doubt, the term “Collateral” shall, for all purposes of this Agreement, be deemed to include any Asset acquired directly by the Seller from a third party in a transaction arranged and
underwritten by the Originator or any transaction in which the Seller is the designee of the Originator under the instruments of conveyance relating to the applicable Asset. 
 “Collection Account”: Defined in Section 6.4(h). 
  

 - 14 - 

 “Collection Date”: The date following the Termination Date on which the Aggregate
Unpaids have been reduced to zero and indefeasibly paid in full. 
 “Collection Period”: With respect to the first Payment
Date, the period from and including the Initial Closing Date to and including the Determination Date preceding the first Payment Date; and thereafter, the period from but excluding the Determination Date preceding the previous Payment Date to and
including the Determination Date preceding the current Payment Date. 
 “Collections”: (a) All Cash collections and
other Cash proceeds of any Asset, including, without limitation, any Interest Collections, any Principal Collections, Prepayments, Insurance Proceeds, interest earnings in the Collection Account, and all other amounts received in respect of any
Asset but excluding any Excluded Amounts and amounts attributable to any Retained Interests, (b) any Cash proceeds or other funds received by the Seller or the Servicer with respect to any Related Security, including from any guarantors and
(c) all payments received pursuant to any Hedging Agreement or Hedge Transaction. 
 “Commercial Paper Notes”: On any
day, any short-term promissory notes of any Purchaser issued by such Purchaser in the commercial paper market. 
 “Commitment”: With respect to each Purchaser or Swingline Purchaser, as applicable, the commitment of such Conduit Purchaser or Swingline Purchaser to make Advances or Swingline Advances in accordance herewith in an amount
not to exceed (i) (a) prior to the Termination Date, the dollar amount set forth opposite such Purchaser’s signature on the signature pages hereto under the heading “Commitment” and (b) on or after the Termination Date,
with respect to a Swingline Purchaser, the aggregate amount of Swingline Advances outstanding, and with respect to each Conduit Purchaser, such Conduit Purchaser’s Pro-Rata Share of the aggregate Advances Outstanding or (ii) as to Conduit
Purchasers only, with respect to each Advance, the Pro-Rata Share. 
 “Commitment Fee”: With respect to any applicable
Purchaser, the “commitment fee” set forth in such Purchaser’s Purchaser Fee Letter. 
 “Company”: Defined in
the Preamble of this Agreement. 
 “Company LIBOR Rate”: The posted rate for one-month, two-month or three-month, as
applicable, deposits in Dollars appearing on Telerate Page 3750, or, if such Telerate Page is not available, in such other manner, as and when determined in accordance with the applicable Underlying Instruments. 
 “Company Prime Rate”: The rate designated by the Company (or the Person serving as agent on a Loan if other than the Company) from time
to time and/or pursuant to the related Underlying Instruments as its prime rate in the United States, such rate to change as and when the designated rate changes; provided, however, the Company Prime Rate is not intended
to be the lowest rate of interest charged by the Company (or such agent) in connection with extensions of credit to debtors. 
  

 - 15 - 

 “Concentration Account”: The account maintained at the Concentration Account Bank for
the purpose of receiving Collections, the details of which are contained in Schedule II, as such schedule may be amended from time to time. 
 “Concentration Account Bank”: US Bank. 
 “Concentration Limits”: As of any Measurement Date, for
purposes of determining the Borrowing Base, the Eligible Assets included in the Principal Collateral Value must conform to the concentration limitations set forth below (except as specifically noted, percentages refer to the percentage of the
Principal Collateral Value): 
 (a) the sum of the Principal Balances of Eligible Assets that have been owned by the Seller
for a period of greater than 547 days from the Initial Closing Date and 365 days after each Term Securitization shall not exceed $30,000,000; provided that, (i) any Eligible Asset a portion of which has been conveyed into a Term Securitization
or (ii) any Revolving Loan for an Obligor where a portion of an Eligible Asset for such Obligor has been conveyed into a Term Securitization will have the initial date of the Seller’s ownership of such Eligible Asset or Revolving Loan
reset to the date of such Term Securitization for the purposes of determining compliance with this clause; 
 (b) the sum of
the Principal Balances of Eligible Assets that are Loans to a single Obligor (including any Affiliates thereof) shall not exceed $20,000,000; 
 (c) the Principal Balance of any Bond other than a NIM Note shall not exceed $15,000,000; 
 (d) the sum of the Principal Balances of Eligible Assets that are Loans to Obligors the primary Related Property with respect to which the Loan was underwritten is located in (i) California shall not exceed the greater of 30% or
$45,000,000 and (ii) any single state other than California shall not exceed the greater of 20% or $30,000,000; 
 (e)
the sum of the Principal Balances of Eligible Assets that are Senior Secured ABLs shall not exceed the greater of 15% or $15,000,0000; 
 (f) the sum of the Principal Balances of Eligible Assets that are Subordinated Loans shall not exceed the greater of 10% or $15,000,0000; 
 (g) the sum of the Principal Balances of Eligible Assets that are Second Lien Loans and LOT Loans shall not in the aggregate exceed the
greater of 20% or $30,000,0000; 
 (h) the sum of the Principal Balances of Eligible Assets that are Stretch Senior Secured
Loans shall not exceed the greater of 25% or $30,000,0000; 
  

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 (i) the sum of the Principal Balances of Eligible Assets that are DIP Loans shall not
exceed the greater of 7.5% or $10,000,000; 
 (j) the sum of the Principal Balances of Eligible Assets that are Loans with a
Moody’s Rating below “B3” and an S&P Rating below “B-” shall not exceed the greater of 10% or $15,000,000; 
 (k) the sum of the Principal Balances of Eligible Assets that are Bonds, B-Note Loans and Mezzanine Loans shall not in the aggregate exceed the lesser of 30% of the Principal Collateral Value and 25% of the Facility
Amount; 
 (1) the sum of the Principal Balances of Eligible Assets that are Bonds other than NIM Notes (i) with a
Moody’s Rating below “B1” and an S&P Rating below “B+” shall not exceed 10% and (ii) with a Moody’s Rating below “B3” and an S&P Rating below “B-” shall not exceed 0%; 

(m) the sum of the Principal Balances of Eligible Assets that are ABS Direct Loans shall not (i) prior to March 31, 2006,
exceed the greater of 15% or $60,000,000 and (ii) on or after March 31, 2006, exceed the greater of 15% or $30,000,000; 
 (n) from and after the later of (i) November 15, 2004 and (ii) the date that is 90 days following the date of each Term Securitization, the Weighted Average Life of the Loans shall not exceed 6.0 years; 
 (o) the sum of the Principal Balances of Eligible Assets that are Permitted PIK Loans with a current annual cash coupon of less than
(i) the Company LIBOR Rate + 3.5%, if such Loan is a Floating Rate Loan with an interest rate based on the Company LlBOR Rate, (ii) the Company Prime + 1.5%, if such Loan is a Floating Rate Loan with an interest rate based on the
Company Prime Rate, and (iii) 8.5% if such Loan is a Fixed Rate Loan, shall not exceed 0%; 
 (p) The sum of the
principal balance of all Mezzanine Loans shall not exceed the greater of 7.5% or $10,000,000; 
 (q) the sum of the Principal
Balances of Eligible Assets that are Revolving Loans including Senior Secured ABLs shall not exceed 25% of the Facility Amount and Senior Secured ABLs are limited as set forth in clause (e); 
 (r) the sum of the Principal Balances of Eligible Assets that are in the same Moody’s Industry Classification Group shall not exceed
20% of the Facility Amount provided, however, Eligible Assets which are included in the “Buildings and Real Estate” Moody’s Industry Classification Group shall not exceed 45% of the Facility Amount; 
  

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 (s) the sum of the Principal Balances of Eligible Assets that are Loans with a
Moody’s Rating below “Caa2” and an S&P Rating below “CCC” shall not exceed the greater of 5% or $7,500,000; 
 (t) the sum of the Principal Balances of all Eligible Assets that are Large Syndicated Loans shall not exceed 15%; 
 (u) the sum of the Principal Balances of all Eligible Assets that are Loans to Obligors organized under the federal or provincial laws of, or principally located in Canada, or the Related Property with respect to
which the Asset is principally underwritten is located in Canada, shall not exceed the greater of 10% or $10,000,000; 
 (v)
the sum of the Principal Balances of Eligible Assets that are Participations shall not exceed the greater of 7.5% or $15,000,000; 
 (w) the sum of the Principal Balances of Eligible Assets that are NIM Notes shall not exceed $30,000,000; 
 (x) the
sum of the Principal Balance of Eligible Assets that are NIM Notes that (i) are rated by only one of Moody’s, S&P or Fitch, and such rating is below “Baa3”, “BBB-”, or “BBB-”, respectively, or
(ii) are rated by at least two of Moody’s, S&P or Fitch and (a) each such rating is below “Baa3”, “BBB-”, or “BBB-”, as applicable, or (b) one of such ratings is below “Bal”,
“BB+” or “BB+”, respectively, shall not exceed $0; and 
 (y) the sum of the Principal Balances
of Eligible Assets the Obligors of which are organized under the laws of or principally located in, or all or substantially all of the Related Property with respect to which the Asset is principally underwritten is located in, Group I Countries,
Group II Countries or Group III Countries shall not exceed the greater of 5% or $10,000,000. 
 “Conduit Purchaser”: Each
commercial paper conduit from time to time party hereto as a Purchaser. 
 “Contractual Obligation”: With respect to any
Person, any provision of any securities issued by such Person or any indenture, mortgage, deed of trust, contract, undertaking, agreement, instrument or other document to which such Person is a party or by which it or any of its property is bound or
to which either is subject. 
 “CP Rate”: With respect to any Conduit Purchaser for any day during any Accrual Period, the
per annum rate equivalent to (a) unless clause (b) applies, the rate (expressed as a percentage and an interest yield equivalent and calculated on the basis of a 360-day year) or, if more than one rate, the weighted average
thereof, paid or payable by such Conduit Purchaser from time to time as interest on or otherwise in respect of the Commercial Paper Notes issued by such Conduit Purchaser that are allocated, in whole or in part, by such Purchaser’s Purchaser
Agent to fund the purchase or maintenance of such Advances Outstanding (and which may also, in the case of a pool-funded Conduit Purchaser, be allocated in part to the funding of other assets 
  

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 of such Conduit Purchaser and which Commercial Paper Notes need not mature on the last day of any Accrual Period) during
such Accrual Period as determined by such Purchaser’s Purchaser Agent, which rates shall reflect and give effect to (i) certain documentation and transaction costs (including, without limitation, dealer and placement agent commissions, and
incremental carrying costs incurred with respect to Commercial Paper Notes maturing on dates other than those on which corresponding funds are received by such Conduit Purchaser) associated with the issuance of such Conduit Purchaser’s
Commercial Paper Notes, and (ii) other borrowings by such Conduit Purchaser, including borrowings to fund small or odd dollar amounts that are not easily accommodated in the commercial paper market, to the extent such amounts are allocated, in
whole or in part, by such Purchaser’s Purchaser Agent to fund such Conduit Purchaser’s purchase or maintenance of such Advances Outstanding during such Accrual Period; provided, that if any component of such rate is a
discount rate, in calculating the applicable “CP Rate” for such day, such Purchaser’s Purchaser Agent shall for such component use the rate resulting from converting such discount rate to an interest bearing equivalent rate per annum
or (b) such other rate as may be set forth as such with respect to such Conduit Purchaser in such Purchaser’s Purchaser Fee Letter. 
 “Credit and Collection Policy”: The written credit policies and procedures manual of the Originator and the initial Servicer set forth on Schedule VI, as may be as amended or supplemented from time to time in
accordance with Section 5.1(h) and Section 5.4(f). 
 “CreditModel”: S&P’s CreditModel, or
any successor thereto. 
 “Custodial Account”: The securities account designated as the Custodial Account and established in
the name of the Trustee pursuant to Section 6.4(i). 
 “Cut-Off Date”: With respect to each Existing Asset, the
date on and after which Collections on an Existing Asset are to be transferred to the Collateral, and with respect to each Additional Asset, the date on and after which Collections on an Additional Asset are to be transferred to the Collateral.

 “Delayed Draw Term Loan”: A Middle Market Loan or Large Syndicated Loan that is fully committed on the initial funding
date of such Loan and is required to be fully funded in one or more installments on draw dates to occur within one year of the initial funding of such Loan but which, once all such installments have been made has the characteristics of a Term Loan;
provided, that any such Loan shall exclude any Retained Interest. 
 “Delinquent Loan”: A Loan (that is not a
Charged-Off Loan) as to which any of the following first occurs: (a) all or any portion of any one or more payments of principal or interest thereunder remains unpaid for at least 60 days from the original due date for such payment (without
giving effect to any Servicer Advance thereon or any grace period permitted in the Underlying Instruments) or, in the case of ABS Direct Loans, an “event of default” has occurred that results in “accelerated amortization” (in
each case however such terms are denominated or described in the applicable Underlying Instruments), (b) the provisions of the Underlying Instruments for such Loan are amended, modified or waived due to the Obligor’s current or prospective
inability to pay principal or interest, (c) the related Obligor is not paying any of the accrued and unpaid interest on a current basis for at least 60 days from the original date for such 
  

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 payment (without giving effect to any Servicer Advance thereon or any grace period permitted in the Underlying
Instruments), (d) the Originator or any Affiliate thereof has made a loan to such Obligor for the purpose of enabling such Obligor to pay principal and interest on such Loan and to avoid a payment default, or (e) consistent with the Credit
and Collection Policy and the Servicing Standard such Loan would be classified as delinquent or placed on non-accrual status by the Servicer. 
 “Delinquent Portfolio Asset”: A Portfolio Asset (that is not a Charged-Off Portfolio Asset) as to which any of the following first occurs: (a) all or any portion of any one or more payments of principal or interest
thereunder remains unpaid for at least 60 days from the original due date for such payment (without giving effect to any servicer advance thereon or any grace period permitted in the underlying loan documents) or, in the case of a Portfolio Asset
that if it were included in the Collateral would be an ABS Direct Loan, an “event of default” has occurred that results in “accelerated amortization” (in each case however such terms are denominated or described in the applicable
underlying loan documents), (b) the provisions of the underlying instruments for such Portfolio Asset are amended, modified or waived due to the Obligor’s current or prospective inability to pay principal or interest, (c) the related
Obligor is not paying any of the accrued and unpaid interest on a current basis for at least 60 days from the original date for such payment (without giving effect to any Servicer Advance thereon or any grace period permitted in the Underlying
Instruments), (d) the Originator or any Affiliate thereof has made a loan to such Obligor for the purpose of enabling such Obligor to pay principal and interest on such Portfolio Asset and to avoid a payment default, or (e) consistent with
the Credit and Collection Policy and the Servicing Standard (or such similar policies and procedures utilized by the Servicer in servicing such Portfolio Asset) such Portfolio Asset would be classified as delinquent or placed on non-accrual status
by the Servicer. 
 “Derivatives”: Any exchange-traded or over-the-counter (i) forward, future, option, swap, cap,
collar, floor or foreign exchange contract or any combination thereof, whether for physical delivery or Cash settlement, relating to any interest rate, interest rate index, currency, currency exchange rate, currency exchange rate index, debt
instrument, debt price, debt index, depository instrument, depository price, depository index, equity instrument, equity price, equity index, commodity, commodity price or commodity index, (ii) any similar transaction, contract, instrument,
undertaking or security, or (iii) any transaction, contract, instrument, undertaking or security containing any of the foregoing. 
 “Determination Date”: The last day of each calendar month. 
 “DIP Loan”: Any Loan (i) which
is an obligation of a debtor-in-possession pursuant to Section 364 of the Bankruptcy Code, (ii) the terms of which have been approved by an order of a United States Bankruptcy Court, a United States District Court, or any other court of
competent jurisdiction, the enforceability of which order is not subject to any pending contested matter or proceeding (as such terms are defined in the Federal Rules of Bankruptcy Procedure), (iii) which has the priority allowed by either
Section 364(c) or 364(d) of the Bankruptcy Code, (iv) which pays Cash interest on a current basis, and (v) which has paid its most recent scheduled interest and principal payments (if any) and the Servicer reasonably expects that the
Loan will continue to pay interest and principal. 
  

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 “Discretionary Sale”: Defined in Section 2.21(a). 
 “Discretionary Sale Date”: The Business Day identified by the Seller to the Administrative Agent in a Discretionary Sale Notice as the
proposed date of a Discretionary Sale. 
 “Discretionary Sale Notice”: Defined in Section 2.21(a)(i).

 “Diversity Score”: A single number that indicates the collateral concentration for Eligible Assets in terms of both the
Obligor and industry classification, which number is calculated as described in Schedule VII. 
 “Dollars”: Means,
and the conventional “$” signifies, the lawful currency of the United States. 
 “EBITDA”: For any period
and any Person, the sum of (a) consolidated net income for such period and (b) the aggregate amounts deducted in determining consolidated net income in respect of (i) consolidated net interest expense for such period and
(ii) income taxes, depreciation and amortization of such Person and its consolidated subsidiaries for such period, all as determined in accordance with GAAP. 
 “Eligible Asset”: On the initial Purchase Date thereof, each Asset (A) for which the Administrative Agent, the Trustee, and the Backup Servicer have received in the case of the initial Advance no
later than 2:00 p.m. (Charlotte, North Carolina time) on the day prior to the related Funding Date and in the case of a Swingline Advance, no later than 2:00 p.m. (Charlotte, North Carolina time) on the related Funding Date the following: (1) a
Borrowing Notice delivered by the Seller to the Trustee and the Administrative Agent and (2) a Borrowing Base Certificate, (B) for which any assignment or other Transfer Document shall be in the possession of the Trustee within two
Business Days of any related Funding Date and all other Required Loan Documents (including any UCCs included in the Required Loan Documents) shall be in the possession of the Trustee within the earlier of two Business Days after the date specified
for delivery of such Required Loan Documents to the Seller in the Underlying Instruments or seven Business Days after any related Funding Date as to any Assets that become part of the Collateral after the Initial Closing Date, and (C) that
satisfies each of the following eligibility requirements, as applicable: 
 (a) such Asset is a Large Syndicated Loan, Middle
Market Loan, Real Estate Loan, Bond or ABS Direct Loan; 
 (b) such Asset is an “eligible asset” as defined in Rule
3a-7 under the 1940 Act; 
 (c) such Asset is Registered; 
 (d) such Asset, together with the Related Security, has been purchased directly by or sold or assigned to the Seller in each case,
pursuant to (and in accordance with) the Sale Agreement and the Seller has good and marketable title, free and clear of all Liens (other than Permitted Liens), on such Asset and Related Security; 
  

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 (e) the Asset, (together with the Collections and Related Security related thereto) has
been the subject of a Grant by the Seller in favor of the Trustee, for the benefit of the Secured Parties, of a valid and perfected first priority security interest; 
 (f) the Obligor with respect to such Asset is an Eligible Obligor; 
 (g) such Asset is denominated and payable only in Dollars in the United States and does not permit the currency in which or country in
which such Asset is payable to be changed; provided that in the case of ABS Direct Loans certain of the underlying collateral might reside outside the United States; 
 (h) such Asset complies with each of the representations and warranties made by the Seller and Servicer hereunder with respect thereto and
all information provided by the Seller or the Servicer with respect to the Asset is true and correct in all material respects; 
 (i) such Asset does not contravene any Applicable Laws (including, without limitation, laws, rules and regulations, if applicable, relating to usury, truth in lending, fair credit billing, fair credit reporting, equal credit opportunity,
fair debt collection practices, licensing and privacy) and with respect to which no part thereof is in violation of any Applicable Law; 
 (j) all consents, licenses, approvals or authorizations of, or registrations or declarations with, any Governmental Authority or any other Person required to be obtained, effected or given in connection with the
acquisition, transfer or performance and, if originated by the Originator, the origination of such Asset have been duly obtained, effected or given and are in full force and effect; 
 (k) such Asset is eligible under its Underlying Instruments (giving effect to the provisions of Sections 9-406 and 9-408 of the UCC) to be
sold to the Seller and to have a security interest therein granted to the Trustee for the benefit of the Secured Parties; 
 (1) such Asset is not the subject of an offer of exchange or tender by its issuer, for Cash, securities or any other type of consideration, and has not been called for redemption or tender into any other security or property that is not, on
the date of such investment, an Asset; 
 (m) such Asset (A) is not an Equity Security and (B) does not provide for
the conversion or exchange into an Equity Security at any time on or after the date it is included as part of the Collateral; 
  

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 (n) such Asset does not require the Seller to make future advances to the Obligor under
the related Underlying Instruments (exclusive of advances under Revolving Loans which are part of the Retained Interest or advances made to protect or preserve rights against the Obligor, to preserve or enhance the value of any Related Property
securing such Asset or to indemnify an agent or representative for lenders pursuant to any such Underlying Instrument); 
 (o)
such Asset is not a Loan or Bond with respect to which interest required by the Underlying Instrument to be paid in cash has previously been deferred or capitalized as principal and not subsequently paid in full; 
 (p) no selection procedure adverse to the interests of the Administrative Agent, the Purchaser Agents or the Secured Parties was utilized
by the Seller or Originator in the selection of such Asset for inclusion in the Collateral; 
 (q) the repayment of such Asset
is not subject to material non-credit related risk (for example, an Asset the payment of which is expressly contingent upon the nonoccurrence of a catastrophe), as reasonably determined by the Servicer in accordance with the Credit and Collection
Policy and the Servicing Standard; 
 (r) such Asset is not one as to which in the reasonable business judgment of the Seller
has a significant risk of declining in credit quality and, with lapse of time, becoming a Charged-Off Loan or not being paid in full; 
 (s) the acquisition of such Asset will not cause the Seller or the pool of Collateral to be required to register as an investment company under the 1940 Act and if the issuer of such Asset is excepted from the
definition of an “investment company” solely by reason of Section 3(c)(1) of the 1940 Act, then either (A) such security does not constitute a “voting security” for purposes of the 1940 Act or (B) the aggregate
amount of such security held by the Seller is less than 10% of the entire issue of such security; 
 (t) such Asset does not
constitute Margin Stock; 
 (u) such Asset provides for a fixed amount of principal payable in Cash no later than its stated
maturity; 
 (v) such Asset provides for periodic payments of interest in Cash no less frequently than quarterly in the case
of Loans and semi-annually in the case of Bonds; 
 (w) such Asset is not subject to withholding tax unless the Obligor
thereon is required under the terms of the related Underlying Instrument to make “gross-up” payments that cover the full amount of such withholding tax on an after-tax basis; 
  

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 (x) if such Asset is a Loan, it satisfies the further requirements set forth in Appendix
A; and 
 (y) if such Asset is a Bond, it satisfies the further requirements set forth in Appendix B. 
 “Eligible Obligor”: On the initial Funding Date of the related Asset, any Obligor that (i) is a business organization (and not a
natural person) duly organized and validly existing under the laws of its jurisdiction of organization, (ii) is a legal operating entity, holding company or SPE Obligor, (iii) has not entered into the Asset primarily for personal, family
or household purposes, (iv) is not a Governmental Authority, (v) is not an Affiliate of the Seller, the Originator or the Servicer (so long as the Servicer is an Affiliate of the Seller), (vi) such Obligor is organized under the
federal or provincial laws of, or its principal office is located in, and the Related Property with respect to which the Asset is principally underwritten is located in, the United States, Canada or a Group I Country, a Group II Country or a Group
III Country, (vii) is not in the gaming, nuclear waste, biotechnology, natural resources, utility or internet industry (other than Obligors in the business of wholesale purchasing and reselling of natural gas or electricity, the Loans to which
have been appropriately hedged) unless approved in writing by the Administrative Agent in its sole discretion, (viii) except with respect to a DIP Loan, is not (and has not been for at least three years) the subject of an Insolvency Event, and,
as of the date on which such Asset became part of the Collateral, such Obligor is not in financial distress and has not experienced a material adverse change in its condition, financial or otherwise, as determined by the Servicer, unless approved in
writing by the Administrative Agent in its sole discretion and (ix) is not (and has never been) an Obligor of a Charged-Off Loan, Charged-Off Portfolio Asset, Delinquent Loan or Delinquent Portfolio Asset. 
 “Eligible Repurchase Obligations”: Repurchase obligations with respect to any security that is a direct obligation of, or fully
guaranteed by, the United States or any agency or instrumentality thereof the obligations of which are backed by the full faith and credit of the United States, in either case entered into with a depository institution or trust company (acting as
principal) described in clauses (iii)(c) and (iii)(d) of the definition of Permitted Investments. 
 “Entitlement
Holder”: The meaning specified in Section 8-102(a)(7) of the UCC. 
 “Environmental Laws”: Any and all
foreign, federal, state and local laws, statutes, ordinances, rules, regulations, permits, licenses, approvals, interpretations and orders of courts or Governmental Authorities, relating to the protection of human health or the environment,
including, but not limited to, requirements pertaining to the manufacture, processing, distribution, use, treatment, storage, disposal, transportation, handling, reporting, licensing, permitting, investigation or remediation of Hazardous Materials.
Environmental Laws include, without limitation, the Comprehensive Environmental Response, Compensation, and Liability Act (42 U.S.C. § 9601 et seq.), the Hazardous Material Transportation Act (49 U.S.C. § 331 et
seq.), the Resource Conservation and Recovery Act (42 U.S.C. § 6901 et seq.), the Federal Water Pollution Control Act (33 U.S.C. § 1251 et seq.), the Clean Air Act (42 U.S.C. § 7401 et
seq.), the Toxic Substances Control Act (15 U.S.C. § 2601 et seq.), the Safe Drinking Water Act (42 U.S.C. § 300, et seq.), the Environmental Protection Agency’s regulations relating to underground
storage tanks (40 C.F.R. Parts 280 and 281), and the Occupational Safety and Health Act (29 U.S.C. § 651 et seq.), and the rules and regulations thereunder, each as amended or supplemented from time to time. 
  

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 “Environmental Site Assessment”: Means, in respect of any Mortgaged Property, a
“Phase I assessment” or “Phase II assessment” conducted in accordance with ASTM Standard E 1527-97 or any successor thereto published by the American Society for Testing and Materials Standard. 
 “Equity Interests”: Any share of capital stock, membership interest, partnership interest, beneficial ownership interest or other equity
security of any nature in and to any REO Affiliate. 
 “Equity Security”: (i) Any equity security or any other security
that is not eligible for purchase by the Seller as a Loan or a Bond, (ii) any security purchased as part of a “unit” with a Loan or a Bond and that itself is not eligible for purchase by the Seller as a Loan or a Bond, and
(iii) any obligation that, at the time of commitment to acquire such obligation, qualified as a Loan or a Bond (because of its characterization as indebtedness) but that, as of any subsequent date of determination, no longer satisfies the
requirements of a Loan or a Bond, for so long as such obligation fails to satisfy such requirements. 
 “ERISA”: The United
States Employee Retirement Income Security Act of 1974, as amended from time to time, and the regulations promulgated and rulings issued thereunder. 
 “ERISA Affiliate”: (a) Any corporation that is a member of the same controlled group of corporations (within the meaning of Section 414(b) of the Code) as the Seller, (b) a trade or
business (whether or not incorporated) under common control (within the meaning of Section 414(c) of the Code) with the Seller, or (c) a member of the same affiliated service group (within the meaning of Section 414(m) of the Code) as
the Seller, any corporation described in clause (a) above or any trade or business described in clause (b) above. 
 “Eurocurrency Liabilities”: Defined in Regulation D of the Board of Governors of the Federal Reserve System, as in effect from time to time. 
 “Eurodollar Disruption Event”: The occurrence of any of the following: (a) any Liquidity Bank shall have notified the Administrative Agent of a determination by such Liquidity Bank or any of its
assignees or participants that it would be contrary to law or to the directive of any central bank or other Governmental Authority (whether or not having the force of law) to obtain United States dollars in the London interbank market to fund any
Advance, (b) any Liquidity Bank shall have notified the Administrative Agent of the inability, for any reason, of such Liquidity Bank or any of its assignees or participants to determine the Adjusted Eurodollar Rate, (c) any Liquidity Bank
shall have notified the Administrative Agent of a determination by such Liquidity Bank or any of its assignees or participants that the rate at which deposits of United States dollars are being offered to such Liquidity Bank or any of its assignees
or participants in the London interbank market does not accurately reflect the cost to such Liquidity Bank, such assignee or such participant of making, funding or maintaining any Advance or (d) any Liquidity Bank shall have notified the
Administrative Agent of the inability of such Liquidity Bank or any of its assignees or participants to obtain United States dollars in the London interbank market to make, fund or maintain any Advance. 
  

 - 25 - 

 “Eurodollar Reserve Percentage”: For any period means the percentage, if any, applicable
during such period (or, if more than one such percentage shall be so applicable, the daily average of such percentages for those days in such period during which any such percentage shall be so applicable) under regulations issued from time to time
by the Board of Governors of the Federal Reserve System (or any successor) for determining the maximum reserve requirement (including, without limitation, any basic, emergency, supplemental, marginal or other reserve requirements) with respect to
liabilities or assets consisting of or including Eurocurrency Liabilities having a term of one month. 
 “Excepted Persons”:
Defined in Section 13.13(a). 
 “Exchange Act”: The United States Securities Exchange Act of 1934, as amended, and
the rules and regulations promulgated thereunder. 
 “Excluded Amounts”: (a) Any amount received in the Concentration
Account by, on or with respect to any Asset included as part of the Collateral, which amount is attributable to the payment of any tax, fee or other charge imposed by any Governmental Authority on such Asset or on any Related Property, and
(b) any amount received into the Collection Account or other Account representing (i) any amount representing a reimbursement of insurance premiums, (ii) any escrows relating to taxes, insurance and other amounts in connection with
Loans which are held in an escrow account for the benefit of the Obligor and the secured party pursuant to escrow arrangements under the Underlying Instruments, (iii) any fee retained by the Originator in connection with the Origination of any
Asset, (iv) any fees or similar charges which are permitted to be retained by the Servicer under this Agreement, and (v) any amount with respect to any Asset retransferred or substituted for upon the occurrence of a Warranty Event or that
is otherwise replaced by a Substitute Asset, or that is otherwise sold by the Seller pursuant to Section 2.14, Section 2.19, Section 2.20 or Section 2.21, to the extent such amount is attributable to a
time after the effective date of such replacement or sale. 
 “Existing Assets”: Each Asset purchased by the Seller under
the Sale Agreement and owned by the Seller on the Initial Closing Date, if any, as set forth on the Asset List delivered pursuant to Section 3.2(a)(i) on the Initial Closing Date. 
 “Facility Amount”: The lesser of (a) $300,000,000, as such amount may vary from time to time upon the written agreement of the
parties hereto, and (b) the aggregate Commitments then in effect; provided, that on or after the Termination Date, the Facility Amount shall mean the Advances Outstanding. 
 “Facility Termination Date”: August 7, 2008, or such later date as the Administrative Agent and each Purchaser Agent, in its sole
discretion, shall notify the Seller of in writing. 
 “Fair Market Value”: With respect to any Asset (a) that is a
Loan, the offered price of such Loan as quoted by Markit or Loan Pricing Corporation, or if such a price quotation is not available, the price at which such Loan would be sold and purchased by sophisticated participants in an arms-length transaction
reflecting market conditions prevailing at the time of such sale, as reasonably determined by the Servicer in accordance with the Servicing Standard and the Credit and Collection Policy, (b) that is a Bond, the average offered price of such
bond as 
  

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 quoted by at least two securities dealers approved by the Administrative Agent, or if such a price quotation is not
available, the Market Value thereof, and (c) that is a 2005-1 Class E Note, the fair market value of such 2005-1 Class E Notes as reasonably determined by the Administrative Agent, from time to time, in its sole discretion;
provided, that on and after August 9, 2006, the fair market value of such 2005-1 Class E Note shall equal $0. 
 “FDIC”: The Federal Deposit Insurance Corporation, and any successor thereto. 
 “Federal Funds
Rate”: For any period, a fluctuating interest rate per annum equal for each day during such period to the weighted average of the overnight federal funds rates as in Federal Reserve Board Statistical Release H.15(519) or any
successor or substitute publication selected by the Administrative Agent (or, if such day is not a Business Day, for the next preceding Business Day), or, if, for any reason, such rate is not available on any day, the rate determined, in the sole
opinion of the Administrative Agent, to be the rate at which overnight federal funds are being offered in the national federal funds market at 9:00 a.m. (Charlotte, North Carolina time). 
 “Finance Charges”: With respect to any Asset, any interest or finance charges owing by an Obligor pursuant to or with respect to such
Asset. 
 “Financial Asset”: The meaning specified in Section 8-102(a)(9) of the UCC. 
 “Fitch”: Fitch, Inc. or any successor thereto. 
 “Fitch Rating”: With respect to any Bond, for determining the Fitch Rating as of any date of determination, such Fitch rating. 
 “Fixed Rate Loan”: A Loan that is an Eligible Asset other than a Floating Rate Loan. 
 “Floating Rate Loan”: A Loan that is an Eligible Asset where the interest rate payable by the Obligor thereof is based on the Company
Prime Rate or the Company LIBOR Rate, plus some specified interest percentage in addition thereto, and the Loan provides that such interest rate will reset immediately upon any change in the related Company Prime Rate or Company LIBOR
Rate. 
 “Fortress Notes” : Defined in Section 6.18(s). 
 “Funding Date”: When used with respect to any request for an Advance or any Advance made hereunder, a Business Day following the Initial
Closing Date as determined by the Seller with at least one Business Day’s notice to the Administrative Agent (with a copy to the Trustee), and (i) as to any incremental Advance, any Business Day that is one Business Day immediately
following, and (ii) as to any Swingline Advance, the Business Day of, the receipt by the Administrative Agent and each Purchaser Agent of a Borrowing Notice and other required deliveries in accordance with Section 2.2 or
Section 2.3, as applicable. When used in Section 3.2( c), if the date on which the Asset is acquired by the Seller is later than the date the related Advance is funded into the Holding Account, the Business Day on which the
related Asset is acquired by the Seller. 
  

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 “GAAP”: Generally accepted accounting principles as in effect from time to time in the
United States. 
 “Governmental Authority”: Any nation or government, any state or other political subdivision thereof, any
central bank (or similar monetary or regulatory authority) thereof, any body or entity exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government and any court or arbitrator having jurisdiction
over such Person. 
 “Grant”: To grant, bargain, sell, warrant, alienate, remise, demise, release, convey, assign, transfer,
mortgage, pledge, create and grant a security interest in and right of set-off against, deposit, set over and confirm. A Grant of any instrument, shall include all rights, powers and options (but none of the obligations) of the granting party
thereunder, including without limitation, the immediate and continuing right to claim for, collect, receive and give receipt for principal and interest payments in respect thereof, and all other monies payable thereunder, to give and receive notices
and other communications, to make waivers or other agreements, to exercise all rights and options, to bring any suit in equity, action at law or other judicial or administrative proceeding in the name of the granting party or otherwise, and
generally to do and receive anything that the granting party may be entitled to do or receive thereunder or with respect thereto. 
 “Group I Country”: Any of the Netherlands, the United Kingdom, Australia and New Zealand. 
 “Group II
Country”: Any of Germany, Ireland, Sweden and Switzerland. 
 “Group III Country”: Any of Austria, Belgium,
Denmark, Finland, France, Iceland, Lichtenstein, Luxembourg, Norway and Spain. 
 “H.15”: Federal Reserve Statistical
Release H.15. 
 “Hazardous Materials”: All materials subject to any Environmental Law, including, without limitation,
materials listed in 49 C.F.R. §172.101, materials defined as hazardous pursuant to § 101(14) of the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, flammable, explosive or radioactive
materials, hazardous or toxic wastes or substances, lead-based materials, petroleum or petroleum distillates or asbestos or material containing asbestos, polychlorinated biphenyls, radon gas, urea formaldehyde and any substances classified as being
“in inventory”, “usable work in process” or similar classification that would, if classified as unusable, be included in the foregoing definition. 
 “Hedge Amount”: (a) With respect to Fixed Rate Loans (excluding Real Estate Loans which are Fixed Rate Loans), on any day, an amount equal to the product of (1) the aggregate Principal
Balance of such Fixed Rate Loans and (2) 80%, and (b) with respect to Bonds and Real Estate Loans bearing a fixed rate of interest, on any day, an amount equal to the product of (1) the outstanding principal amount of such Bond or
Real Estate Loan, as applicable, times (2) the Advance Rate applicable to such Bond or Real Estate Loan, as applicable. 
 “Hedge Breakage Costs”: For any Hedge Transaction, any amount payable by the Seller for the early termination of that Hedge Transaction or any portion thereof. 
  

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 “Hedge Collateral”: Defined in Section 5.3(b). 
 “Hedge Counterparty”: means (a) Wachovia and (b) any entity to the extent that such other entity (i) on the date of
entering into a Hedging Agreement (x) is an interest rate swap dealer that has been approved in writing by the Administrative Agent (which approval shall not be unreasonably withheld), and (y) has a long-term unsecured debt rating of not
less than “A” by S&P, not less than “A2” by Moody’s and not less than “A” by Fitch (if such entity is rated by Fitch) (“Long-term Rating Requirement”) and a short-term unsecured debt rating of
not less than “A-1” by S&P, not less than “P-1” by Moody’s and not less than “F-1” by Fitch (if such entity is rated by Fitch) (“Short-term Rating Requirement”), and (ii) in a Hedging
Agreement (x) consents to the assignment of the Seller’s rights under the Hedging Agreement to the Trustee for the benefit of the Secured Parties pursuant to Section 5.3(b) and (y) agrees that in the event that
Moody’s, S&P or Fitch reduces its long-term unsecured debt rating below the Long-term Rating Requirement, or reduces its short-term unsecured debt rating below the Short-term Rating Requirement, it shall transfer its rights and obligations
under each Hedge Transaction to another entity that meets the requirements of clause (i) and (ii) hereof and has entered into a Hedging Agreement with the Seller on or prior to the date of such transfer. 
 “Hedge Guaranty”: The Guaranty, dated as of the Initial Closing Date, by and between NewStar Financial, Inc. in favor of Wachovia, as
Hedge Counterparty, as amended, modified, waived, supplemented, restated or replaced from time to time. 
 “Hedge Guaranty
Fee”: The fee payable on each Payment Date to the Originator, in an amount equal to the product of (i) 0.01%, (ii) the average daily aggregate Hedge Notional Amount, if any, during the immediately preceding Collection Period and
(iii) the actual number of days in such Collection Period divided by 360, subject to and in accordance with the priority of payments set forth in Section 2.10 and Section 2.11, as applicable. 
 “Hedge Notional Amount”: For any Advance or Swingline Advance, the aggregate notional amount in effect on any day under all Hedge
Transactions entered into pursuant to Section 5.3(a) for that Advance or Swingline Advance. 
 “Hedge
Percentage”: On any day on which (a) the Principal Collateral Value is less than or equal to $150,000,000, an amount equal to 0% for Fixed Rate Loans if the sum of the Principal Balances of all Fixed Rate Loans is less than or equal to
$20,000,000, (b) the Principal Collateral Value is less than or equal to $150,000,000, an amount equal to 100% for Fixed Rate Loans if the sum of the Principal Balances of all Fixed Rate Loans is greater than $20,000,000, (c) the Principal
Collateral Value is greater than $150,000,000, an amount equal to 0% for Fixed Rate Loans if the sum of the Principal Balances of all Fixed Rate Loans is less than or equal to $50,000,000 and (d) the Principal Collateral Value is greater than
$150,000,000, an amount equal to 100% for Fixed Rate Loans if the sum of the Principal Balances of all Fixed Rate Loans is greater than $50,000,000. The “Hedge Percentage” for Floating Rate Loans is 0%. The “Hedge Percentage” for
Bonds other than NIM Notes bearing a fixed rate of interest will be 100%. The “Hedge Percentage” for Bonds that are NIM Notes is 0%. 
 “Hedge Transaction”: Each interest rate or index rate swap transaction or other comparable derivative arrangements as the Administrative Agent may approve in writing in its reasonable discretion between the Seller and a
Hedge Counterparty that is entered into pursuant to Section 5.3(a) and is governed by a Hedging Agreement. 
  

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 “Hedged Rate”: For any Advance or Swingline Advance, the interest rate payable to the
Hedge Counterparty under the Hedge Transaction related to such Advance or Swingline Advance computed as of the Cut-Off Date under or with respect to the Asset to which that Advance or Swingline Advance relates. 
 “Hedging Agreement”: Each agreement between the Seller and a Hedge Counterparty that governs one or more Hedge Transactions entered into
pursuant to Section 5.3(a), which agreement shall consist of a “Master Agreement” in a form published by the International Swaps and Derivatives Association, Inc., together with a “Schedule” thereto substantially in
the form of Exhibit D hereto or such other form as the Administrative Agent shall approve in writing in its reasonable discretion and each “Confirmation” thereunder confirming the specific terms of each such Hedge Transaction.

 “Highest Required Investment Category”: (i) With respect to ratings assigned by Moody’s, “Aa2” or
“P-1” for one month instruments, “Aa2” and “P-1” for three-month instruments, “Aa3” and “P-1” for six-month instruments and “Aa2” and “P-1” for instruments with a term in excess
of six months, (ii) with respect to rating assigned by S&P, “A-1” for short-term instruments and “ A for long-term instruments, and (iii) with respect to rating assigned by Fitch (if such investment is rated by Fitch),
“F-1+” for short-term instruments and “AAA” for long-term instruments. 
 “Holding Account”:
Defined in Section 6.4(k). 
 “Increased Costs”: Any amounts required to be paid by the Seller to an Affected
Party pursuant to Section 2.16. 
 “Indebtedness”: With respect to any Person at any date, (a) all
indebtedness of such Person for borrowed money or for the deferred purchase price of property or services (other than current liabilities incurred in the ordinary course of business and payable in accordance with customary trade practices) or that
is evidenced by a note, bond, debenture or similar instrument, (b) all obligations of such Person under leases that shall have been or should be, in accordance with GAAP, recorded as capital leases, (c) all obligations of such Person in
respect of acceptances issued or created for the account of such Person, (d) all liabilities secured by any Lien on any property owned by such Person even though such Person has not assumed or otherwise become liable for the payment thereof,
(e) all indebtedness, obligations or liabilities of that Person in respect of Derivatives, and (f) obligations under direct or indirect guaranties in respect of obligations (contingent or otherwise) to purchase or otherwise acquire, or to
otherwise assure a creditor against loss in respect of, indebtedness or obligations of others of the kind referred to in clauses (a) through (e) above. 
 “Indemnified Amounts”: Defined in Section 11.1. 
 “Indemnified
Parties”: Defined in Section 11.1. 
 “Indorsement”: The meaning specified in Section 8-102(a)(11)
of the UCC. 
  

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 “Indorsed” has a corresponding meaning. 
 “Industry Diversity Score”: Defined in Schedule VII. 
 “Initial Advance”: The first Advance. 
 “Initial Closing Date”: August 11, 2004. 
 “Insolvency Event”: With
respect to a specified Person, (a) the filing of a decree or order for relief by a court having jurisdiction in the premises in respect of such Person or any substantial part of its property in an involuntary case under any applicable
Insolvency Law now or hereafter in effect, or appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator or similar official for such Person or for any substantial part of its property, or ordering the winding-up or liquidation of
such Person’s affairs, and such decree or order shall remain unstayed and in effect for a period of 60 consecutive days; or (b) the commencement by such Person of a voluntary case under any applicable Insolvency Law now or hereafter in
effect, or the consent by such Person to the entry of an order for relief in an involuntary case under any such law, or the consent by such Person to the appointment of or taking possession by a receiver, liquidator, assignee, custodian, trustee,
sequestrator or similar official for such Person or for any substantial part of its property, or the making by such Person of any general assignment for the benefit of creditors, or the failure by such Person generally to pay its debts as such debts
become due, or the taking of action by such Person in furtherance of any of the foregoing. 
 “Insolvency Laws”: The
Bankruptcy Code and all other applicable liquidation, conservatorship, bankruptcy, moratorium, rearrangement, receivership, insolvency, reorganization, suspension of payments, or similar debtor relief laws from time to time in effect affecting the
rights of creditors generally. 
 “Insolvency Proceeding”: Any case, action or proceeding before any court or other
Governmental Authority relating to any Insolvency Event. 
 “Instrument”: The meaning specified in Section 9-102(a)(47)
of the UCC. 
 “Insurance Policy”: With respect to any Loan, an insurance policy covering liability and physical damage to
or loss of the Related Property. 
 “Insurance Proceeds”: Any amounts received on or with respect to a Loan under any
Insurance Policy or with respect to any condemnation proceeding or award in lieu of condemnation which is neither required to be used to restore, improve or repair the related real estate nor required to be paid to the Obligor or to the holder of
the first priority security interest in the applicable Related Property in the case of a Second Lien Loan, under the Underlying Instruments. 
 “Intercreditor Agreement”: The Amended and Restated Intercreditor and Concentration Account Administration Agreement, dated as of August 30,2005, by and among US Bank, as the account custodian and as the concentration
account bank, WCM, as the administrative agent, NewStar Financial, Inc., as the originator, as the original servicer and as the concentration account servicer, NewStar CP Funding LLC, as the seller, and each other Person that from time to time
executes a joinder thereto as amended, modified, waived, supplemented, restated or replaced from time to time. 
  

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 “Interest”: For each Accrual Period and each Advance or Swingline Advance outstanding,
the sum of the products (for each day during such Accrual Period) of: 
  

							
		 	IR x P x	  	 1
	  	
		 		  	 D
	  	

 where: 
  

					
	IR	  	=	  	the Interest Rate applicable on such day;
			
	P	  	=	  	the principal amount of such Advance or Swingline Advance on such day; and
			
	D	  	=	  	360 or, to the extent the Interest Rate is based on the Base Rate, 365 or 366 days, as applicable.

 provided, however, that (i) no provision of this Agreement shall require the
payment or permit the collection of Interest in excess of the maximum permitted by Applicable Law and (ii) Interest shall not be considered paid by any distribution if at any time such distribution is rescinded or must otherwise be returned for
any reason. 
 “Interest Collections”: Any and all amounts of Collections received in respect of interest (including,
without limitation, the interest portion of any Scheduled Payment or of any repurchase amount paid by the Originator to repurchase an Asset pursuant to Section 6.1 of the Sale Agreement), fees (including, without limitation, collateral
management fees, commitment fees, unused line fees and termination fees) or other similar charges (including any Finance Charges) on or with respect to a Asset and in each case from or on behalf of any Obligor that are deposited into the Collection
Account, or received by or on behalf of the Seller by the Servicer or Originator in respect of an Asset, in the form of Cash, checks, wire transfers, electronic transfers or any other form of Cash payment (net of any payment owed by the Seller to,
and including any receipts from, any Hedge Counterparties) plus any interest received on Permitted Investments. 
 “Interest
Collections Account”: Defined in Section 6.4(h). 
 “Interest Rate”: For any Accrual Period and for
each Advance or Swingline Advance outstanding for each day during such Accrual Period: 
 (a) to the extent the applicable Purchaser or
Swingline Purchaser has funded the applicable Advance or Swingline Advance through the issuance of commercial paper (whether directly or indirectly through such Purchaser’s or Swingline Purchaser’s funding source), a rate equal to the
applicable CP Rate; or 
 (b) to the extent the applicable Purchaser or Swingline Purchaser did not fund the applicable Advance or Swingline
Advance through the issuance of commercial paper (whether directly or indirectly through such Purchaser’s or Swingline Purchaser’s funding source), a rate equal to the Alternative Rate; 
  

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 provided, however, the Interest Rate shall be the Base Rate for any Accrual Period for any
Advance as to which a Purchaser has funded the making or maintenance thereof by a sale of an interest therein to any Liquidity Bank under the applicable Liquidity Agreement or total return swap on any day other than the first day of such Accrual
Period and without giving such Liquidity Bank(s) at least two Business Days’ prior notice of such assignment. 
 “Interests in
Real Property”: A fee simple interest, a financeable estate for years or a leasehold interest in each case in real property. 
 “Investment”: With respect to any Person, any direct or indirect loan, advance or investment by such Person in any other Person, whether by means of share purchase, capital contribution, loan or otherwise, excluding the
acquisition of Assets pursuant to the Sale Agreement and the Transfer Documents and excluding commission, travel and similar advances to officers, employees and directors made in the ordinary course of business. 
 “ISDA Definitions”: The 2000 ISDA Definitions as published by the International Swaps and Derivatives Association, Inc. 
 “Issuer”: Variable Funding Capital Company LLC and any other entity whose principal business consists of issuing commercial paper or
other notes to fund its acquisition or maintenance of receivables, accounts, instruments, chattel paper, general intangibles and other similar assets. 
 “Large Obligor Coverage Amount”: As of any Measurement Date, an amount equal to the lesser of (a) the sum of the Principal Balances of Eligible Assets of the three largest Obligors (net of excess
concentration amounts under clauses (b) and (c) of the definition of Concentration Limits) included as part of the Collateral on such date and (b) $40,000,000. 
 “Large Syndicated Loan”: Any Loan that (unless otherwise approved in writing by the Administrative Agent prior to its acquisition by the
Seller): (i) arises under an Underlying Instrument with at least four lending financial institutions or lender parties thereto, (ii) is made to an Obligor with EBITDA of at least $40,000,000 on a trailing 12 month basis, (iii) is
priced on Markit or Loan Pricing Corporation, (iv) has a rating of at least “B3” by Moody’s and “B-” by S&P and (v) is secured by a first priority lien on all of the Obligor’s assets constituting Related
Property for the Loan. For avoidance of doubt a Large Syndicated Loan that satisfies some but not all of the foregoing provisions of this definition may still be eligible for purchase by the Seller as a Middle Market Loan, a Real Estate Loan or an
ABS Direct Loan, as applicable, subject to such Loan’s satisfaction of the criteria set forth in the definitions of those Loans and in the definition of Eligible Asset. 
 “LIBOR Rate”: For any day during any Accrual Period and any Advance or Swingline Advance or portion thereof, an interest rate per
annum equal to: 
 (a) the posted rate for one-month deposits in United States Dollars appearing on Telerate page 3750, or
a successor page, as of 11:00 a.m. (London 
  

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 time) on the Business Day which is the second Business Day immediately preceding the applicable Funding
Date (with respect to the initial Accrual Period for such Advance or Swingline Advance) and as of the second Business Day immediately preceding the first day of the applicable Accrual Period (with respect to all subsequent Accrual Periods for such
Advance or Swingline Advance); or 
 (b) if no such rate appears on Telerate page 3750, or a successor page, at such time and
day, then the LIBOR Rate shall be determined by Wachovia at its principal office in Charlotte, North Carolina as its rate (each such determination, absent manifest error, to be conclusive and binding on all parties hereto and their assignees) at
which 30 day deposits in United States Dollars are being, have been, or would be offered or quoted by Wachovia to major banks in the applicable interbank market for Eurodollar deposits at or about 11:00 a.m. (Charlotte, North Carolina time) on such
day. 
 “Lien”: Any mortgage, lien, pledge, charge, right, claim, security interest or encumbrance of any kind of or on any
Person’s assets or properties in favor of any other Person (including any UCC financing statement or any similar instrument filed against such Person’s assets or properties). 
 “Liquidation Expenses”: With respect to any Loan or Portfolio Asset, the aggregate amount of all out-of-pocket expenses reasonably
incurred by the Servicer (including amounts paid to any subservicer) in accordance with the Servicer’s customary procedures in connection with the repossession, refurbishing and disposition of any related assets securing such Loan or Portfolio
Asset, as applicable, upon or after the expiration or earlier termination of such Loan or Portfolio Asset, as applicable, and other out-of-pocket costs related to the liquidation of any such assets, including the attempted collection of any amount
owing pursuant to such Loan or Portfolio Asset, as applicable, if it is a Charged-Off Loan or a Charged-Off Portfolio Asset, as applicable, and if requested by the Administrative Agent, the Servicer and Originator must provide to the Administrative
Agent a breakdown of the Liquidation Expenses for such Loan or Portfolio Asset, as applicable, along with any supporting documentation therefor. 
 “Liquidity Agreement”: Means any agreement pursuant to which a Liquidity Bank agrees to make purchases from or advances to or, purchase assets from or cause third parties to purchase assets from any Purchaser in order to
provide liquidity for such Purchaser’s Advances hereunder which in the case of the agreement entered into by Wachovia for the benefit of VFCC shall have an initial term of 364 days commencing on the Initial Closing Date. 
 “Liquidity Bank”: The Person or Persons who provide liquidity support to each Conduit Purchaser, respectively, pursuant to a Liquidity
Agreement in connection with the issuance by such Purchaser of Commercial Paper Notes. 
 “Loan”: Any ABS Direct Loan, Large
Syndicated Loan, Middle Market Loan or Real Estate Loan originated or acquired by the Originator or by the Seller in the ordinary course of its respective business, which loan includes, without limitation, (i) the Required Loan Documents and
Loan File, and (ii) all right, title and interest of the Originator and/or of the Seller, as applicable, in and to the loan and any Related Property excluding, however, the Retained Interest and Excluded Amounts set forth in clause
(b)(iii) of the definition thereof. 
  

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 “Loan Checklist”: The list delivered by or on behalf of the Seller to the Trustee that
identifies each of the items contained in the related Loan File which constitute Required Loan Documents. 
 “Loan Files”:
With respect to any Loan and Related Security, copies of each of the Required Loan Documents and duly executed originals (to the extent required by the Credit and Collection Policy and the Servicing Standard) and copies of any other Records relating
to such Loan and Related Security. 
 “Loan Pricing Corporation”: Loan Pricing Corporation, or any successor thereto.

 “Loan-to-Liquidation Value Ratio” or “LLV”: With respect to any Middle Market Loan or Large Syndicated
Loan as of its date of origination, the percentage equivalent of a fraction (i) the numerator of which is equal to the maximum availability (as provided in the applicable Underlying Instruments) of such Loan and (ii) the denominator of
which is equal to the liquidation value of the Related Property securing such Loan that is subject to a valid and perfected first priority security interest in favor of the Originator, the Seller or a collateral agent on its behalf (as determined by
the Servicer in accordance with the Credit and Collection Policy and the Servicing Standard). 
 “Loan-to-Value Ratio” or
“LTV”: With respect to any Middle Market Loan, as of its date of origination, the percentage equivalent of a fraction (i) the numerator of which is equal to the commitment amount as provided in the applicable Underlying
Instruments (or in the case of Revolving Loans the maximum availability thereof) of such Loan plus the commitment amount of any other senior or pari passu Indebtedness of the related Obligor (including in the case of Revolving Loans
the maximum availability thereof) and (ii) the denominator of which is equal to the enterprise value of the Related Property securing such Loan (as determined by the Servicer in accordance with the Credit and Collection Policy and the Servicing
Standard unless the Administrative Agent in its discretion disagrees with such determination, in which case the decision of the Administrative Agent as to the enterprise value of the Related Property shall be conclusive and binding on the parties
hereto absent manifest error). With respect to any Real Estate Loan, as of its date of origination, the percentage equivalent of a fraction (i) the numerator of which is equal to the original principal amount of such Real Estate Loan plus the
then outstanding principal amount of any other senior or pari passu Indebtedness of the related Obligor secured by the same Mortgaged Property and (ii) the denominator of which is the Appraised Value of the Mortgaged Property determined
in connection with the origination of such Real Estate Loan. 
 “LOT Loan”: Any Term Loan that (i) is secured by a
valid and perfected first priority security interest on all of the Obligor’s assets constituting Related Property for the Loan, (ii) (a) has a “first dollar” at risk at less than or equal to 50% of the Loan-to-Value Ratio
and a “last dollar” at risk less than or equal to 65% of the Loan-to-Value Ratio where the Loan is not a Material Middle Market Mortgage Loan or the Related Property is not primarily real estate, and (b) has a “last dollar”
at risk less than or equal to 80% of the Loan-to-Value Ratio where the 
  

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 Loan is a Material Middle Market Mortgage Loan or the Related Property is primarily real estate and (iii) contains
terms which, upon the occurrence of an event of default under the Underlying Instruments or in the case of any liquidation or foreclosure on the Related Property, the Seller’s portion of such Loan would be paid only after the other lender party
to such Loan (whose right to payment is contractually senior to the Seller) is paid in full. 
 “MAI”: Member of the
Appraisal Institute. 
 “Margin Stock”: “Margin Stock” as defined under Regulation U. 
 “Market Value”: As of any Measurement Date for a Bond, the percentage equivalent of a fraction, the numerator of which is equal to the
present value of all remaining Scheduled Payments becoming due under such Bond after such Measurement Date (determined as though all scheduled payments were due over the expected life of the related Bond) discounted at the Market Value Discount Rate
and the denominator of which is equal to the principal balance of the Bond as of such date. An Equity Security will be deemed to have a Market Value of zero. During the Amortization Period, each Bond may be assigned a Market Value on a daily basis
and if so assigned the Administrative Agent will provide the Trustee and each Purchaser Agent written notice thereof by 2:00 p.m. (Charlotte, North Carolina time) on each day. The Market Value will be determined by the Administrative Agent based
upon the actual payment terms of each Bond (determined as though all scheduled payments were due over the expected life of the related Bond). 
 “Market Value Discount Rate”: As of any Measurement Date for a Bond, a rate equal to the sum of (i) the Spread and (ii) the yield of referenced U.S. Treasury Obligations (which shall be of a maturity comparable to
the expected life of such Bond). 
 “Markit”: Markit Group Ltd., or any successor thereto. 
 “Material Adverse Effect”: With respect to any event or circumstance, means a material adverse effect on (a) the business,
condition (financial or otherwise), operations, performance, properties or prospects of the Originator, the Servicer or the Seller, (b) the validity, enforceability or collectibility of this Agreement or any other Transaction Document or the
validity, enforceability or collectibility of the Assets generally or any material portion of the Assets, (c) the rights and remedies of the Administrative Agent, the Trustee, the Purchasers, the Purchaser Agents and the Secured Parties with
respect to matters arising under this Agreement or any other Transaction Document, (d) the ability of the Seller, the Servicer, the Backup Servicer or the Trustee to perform its obligations under this Agreement or any Transaction Document, or
(e) the status, existence, perfection, priority or enforceability of the Trustee’s interest on behalf of the Secured Parties in the Collateral. 
 “Material Modification”: Any amendment or waiver of, or modification or supplement to, an Underlying Instrument governing a Loan that (a) reduces the principal amount of such Loan,
(b) reduces the rate of interest payable on such Loan, (c) postpones the due date of any Scheduled Payment in respect of such Loan, (d) terminates or releases any material lien or security interest securing such Loan (other than the
release of such lien or security interest (i) as required by the Underlying Instruments so long as it does not involve a material portion of the 
  

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 Collateral or (ii) in conjunction with the sale or disposition of the assets subject to such lien or security
interest so long as 100% of the cash proceeds from such sale or disposition (minus any taxes and expenses incurred in connection with such sale or disposition) are applied to prepay the applicable Loan and the gross cash proceeds from such
sale or disposition are at least equal to 100% of the value of the property being released from such lien or security interest) or (e) alters the status of such Loan as a Delinquent Loan or Charged-Off Loan. 
 “Materially Modified Loan”: Any Loan subject to a Material Modification, unless otherwise deemed not to constitute a Materially Modified
Loan by the Administrative Agent in its sole discretion. 
 “Material Middle Market Mortgage Loan”: Any Loan for which the
underlying Related Property consisting of real property owned by the Obligor (i) represents 25% or more (measured by the book value of the three most valuable parcels of real property as of the date of such Loan) of (a) the original
commitment for such Loan and (b) the fair value of the underlying Obligor and Related Property as a whole and (ii) is material to the operations of the related business; provided, however, that a Material Middle
Market Mortgage Loan shall not include certain parcels of real property which the Obligor is in the process of disposing. 
 “Maximum
Availability”: At any time, an amount equal to the sum of (i) the lesser of (a) the product of the Borrowing Base and the Weighted Average Advance Rate and (b) the Borrowing Base minus the Large Obligor Coverage
Amount, plus (ii) the amount on deposit in the Principal Collections Account received in reduction of the Principal Balance of any Asset; provided, however, that during the Amortization Period, the Maximum
Availability shall be equal to the Advances Outstanding. 
 “Measurement Date”: Each of the following: (i) the Initial
Closing Date; (ii) each Determination Date; (iii) the date of any Borrowing Notice; (iv) any date on which a substitution or repurchase of an Asset occurs; (v) any Optional Sale Date; (vi) the day as of which any Asset
becomes a Charged-Off Asset; (vii) the day as of which any Servicing Report, as provided for herein, is calculated; (viii) the date of any requested release of Principal Collections pursuant to Section 2.10(b) and (ix) any
Discretionary Sale Date. 
 “Mezzanine Loan”: Any Real Estate Loan that is a Term Loan: (i) that is subordinate to a
B-Note Loan in terms of priority of payment obligations and does not share in the same collateral package as senior loans to the applicable Obligor and (ii) where the underlying Related Property consists of real property and/or a pledge of the
ownership interests in the entity that owns the related Mortgaged Property. 
 “Middle Market Loan”: Each of the following
types of Loans: DIP Loans, LOT Loans, Permitted PIK Loans, Second Lien Loans, Senior Secured ABLs, Senior Secured Loans, Stretch Senior Secured Loans and Subordinated Loans. 
 “Minimum Pool Yield”: A Pool Yield equal to: (i) prior to November 15, 2004, 1.75%; and (ii) thereafter, 2.0%.

 “Money”: The meaning specified in Section 1-201(24) of the UCC. 
  

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 “Moody’s”: Moody’s Investors Service, Inc., and any successor thereto.

 “Moody’s Industry Classification Group”: Any of Moody’s industry classification groups set forth in Schedule
VIII, and any additional such industry classification groups that may be subsequently established by Moody’s and provided by the Servicer or Moody’s to the Administrative Agent. The Servicer shall determine the industry classification
group unless the Administrative Agent in its discretion disagrees with such determination, in which case the decision of the Administrative Agent as to such industry classification group shall be conclusive and binding on the parties hereto absent
manifest error, unless and until Moody’s determines the industry classification group in which case the Moody’s determination shall be conclusive. 
 “Moody’s Rating”: With respect to any Asset, for determining the Moody’s Rating as of any date of determination: (a) for Middle Market Loans, (i) if such Loan is rated by
Moody’s, such Moody’s rating, (ii) if such Loan is rated by S&P (but not Moody’s), such S&P rating, and (iii) if such Loan is not rated by Moody’s or S&P, a ratings estimate (after giving effect to the
following downward notching), as determined by the Servicer utilizing RiskCalc: 
  

			
	 RiskCalc Rating
	 	 Downward Notching

	 “Aa1” to “Ba3”
	 	3.0 notches
	 “B1” to “B3”
	 	2.0 notches
	 “Caa1” to “Caa3”
	 	1.0 notch

 (b) for ABS Direct Loans and Real Estate Loans, (i) if such Loan is rated by Moody’s, such Moody’s
rating, (ii) if such Loan is rated by S&P (but not Moody’s), such S&P rating, and (iii) if such Loan is not rated by Moody’s or S&P, a rating as determined by the Servicer in accordance with its Credit and Collection
Policy and the Servicing Standard and (c) for Bonds, such Moody’s rating. The Administrative Agent shall have the right to challenge the inputs utilized for any RiskCalc model or rating determined by the Servicer in accordance with the
Credit and Collection Policy and the Servicing Standard, and if such disagreement cannot be resolved, the determination of the Administrative Agent as to such inputs or rating shall be conclusive and binding on the parties hereto absent manifest
error. 
 “Moody’s Rating Factor”: In relation to any Middle Market Loan or ABS Direct Loan, the number set forth in
the table below opposite the Moody’s Rating of such Middle Market Loan or ABS Direct Loan, as applicable; provided, that if the rating on such Middle Market Loan or ABS Direct Loan has been put on watch for possible downgrade, the
Moody’s Rating that will apply to such Middle Market Loan or ABS Direct Loan will be one subcategory below the current rating on such Middle Market Loan or ABS Direct Loan. 
  

							
	 Moody’s
 Rating
	 	 Moody’s
 Rating Factor
	 	 Moody’s
 Rating
	 	 Moody’s
 Rating Factor

	 Aaa
	 	1	 	Bal	 	940
	 Aa1
	 	10	 	Ba2	 	1,350
	 Aa2
	 	20	 	Ba3	 	1,766
	 Aa3
	 	40	 	B1	 	2,220
	 A1
	 	70	 	B2	 	2,720
	 A2
	 	120	 	B3	 	3,490
	 A3
	 	180	 	Caa1	 	4,770
	 Baa1
	 	260	 	Caa2	 	6,500
	 Baa2
	 	360	 	Caa3	 	8,070
	 Baa3
	 	610	 	Ca or below	 	10,000

  

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 For purposes of determining the Weighted Average Rating Factor, any Charged-Off Loan will not be included in such
calculation. 
 “Mortgage”: The mortgage, deed of trust or other instrument creating a first or second Lien on an Interest
in Real Property securing a Loan subject to this Agreement, including the Assignment of Leases and Rents related thereto. 
 “Mortgaged Property”: The underlying Interests in Real Property (including any REO Property) which are subject to the Lien of a Mortgage that secures a Loan, consisting of Interests in Real Property in a parcel or parcels
of land, at least one of which parcels is improved by a commercial building or facility, together with Interests in Real Property in such commercial building or facility and any personal property, fixtures, leases and other property or rights
pertaining to such land, commercial building or facility which are subject to the related Mortgage. 
 “Multiemployer Plan”:
A “multiemployer plan” as defined in Section 4001(a)(3) of ERISA that is or was at any time during the current year or the immediately preceding five years contributed to by the Seller or any ERISA Affiliate on behalf of its
employees. 
 “NIM Note”: A net interest margin security, issued in connection with a securitization of mortgage backed
securities, that is acquired by the Originator or by the Seller in the ordinary course of its respective business which includes, without limitation, all right, title and interest in and to the Related Property with respect to such security.

 “Nonrecoverable Advance”: Any Servicer Advance which, if made by the Servicer in respect of a Loan, in the reasonable
good faith judgment of the Servicer would not be ultimately recoverable by the Servicer from the net proceeds and collections received solely with respect to such Asset, Mortgaged Property or Related Property, including related Liquidation Proceeds,
REO Proceeds and escrowed amounts. 
 “Noteless Loan”: A Loan with respect to which the related Required Loan Documents
(i) do not require the Obligor to execute and deliver a promissory note to evidence the indebtedness created under such Loan and/or (ii) require any holder of the indebtedness created under such Loan to affirmatively request a promissory
note from the related Obligor, so long as such holder has not requested and obtained a promissory note from such Obligor. 
 “Obligor”: With respect to any Asset or Portfolio Asset, any Person or Persons obligated to make payments pursuant to or with respect to such Asset or Portfolio Asset, as applicable, including any guarantor thereof. For
purposes of calculating any of the Concentration Limits, all 
  

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 Assets included as part of the Collateral or to be transferred to the Collateral the Obligor of which is an Affiliate of
another Obligor shall be aggregated with all Assets of such other Obligor; for example, if Corporation A is an Affiliate of Corporation B, and the sum of the Principal Balances of all of Corporation A’s Assets included as part of
the Collateral constitutes 10% of the Principal Collateral Value and the sum of the Principal Balances all of Corporation B’s Assets included as part of the Collateral constitutes 10% of the Principal Collateral Value, the combined Obligor
concentration for Corporation A and Corporation B would be 20%. 
 “Officer’s Certificate”: A certificate signed by a
Responsible Officer of the Seller or the Servicer, as the case may be, and delivered to the Trustee. 
 “Opinion of
Counsel”: A written opinion of counsel, which opinion and counsel are acceptable to the Administrative Agent in its sole discretion. 
 “Optional Sale”: Defined in Section 2.20(a). 
 “Optional Sale Date”: Any Business
Day, provided 45 days written notice is given in accordance with Section 2.20(a). 
 “Originator”: Defined in
the Preamble of this Agreement. 
 “Other Costs”: Defined in Section 13.9(c). 
 “Participations”: Participations acquired by the Seller in all or a portion of a loan obligation held by a Selling Institution.

 “Payment Date”: (a) Quarterly on the 15th day of each February, May, August and November or (b) if the
Administrative Agent reasonably determines that a majority of the Assets are paying on a monthly basis then upon 30 days prior written notice to the Seller, monthly on the 15th day of each calendar month, and in each case if such day is not a
Business Day, the next succeeding Business Day, commencing November 15, 2004. 
 “Permitted Encumbrances”: Defined in
Appendix A. 
 “Permitted Investments”: Means negotiable instruments or securities or other investments
(i) which, except in the case of demand or time deposits, investments in money market funds and Eligible Repurchase Obligations, are represented by instruments in bearer or registered form or ownership of which is represented by book entries by
a Clearing Agency or by a Federal Reserve Bank in favor of depository institutions eligible to have an account with such Federal Reserve Bank who hold such investments on behalf of their customers, (ii) that, as of any date of determination,
mature by their terms on or prior to the Business Day immediately preceding the next Payment Date immediately following such date of determination, and (iii) that evidence: 
 (a) direct obligations of, and obligations fully guaranteed as to full and timely payment by, the United States (or by any agency thereof
to the extent such obligations are backed by the full faith and credit of the United States); 
  

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 (b) demand deposits, time deposits or certificates of deposit of depository institutions
or trust companies incorporated under the laws of the United States or any state thereof and subject to supervision and examination by federal or state banking or depository institution authorities; provided, however, that at the time of the
Seller’s investment or contractual commitment to invest therein, the commercial paper, if any, and short-term unsecured debt obligations (other than such obligation whose rating is based on the credit of a Person other than such institution or
trust company) of such depository institution or trust company shall have a credit rating from Fitch and each Rating Agency in the Highest Required Investment Category granted by Fitch and such Rating Agency, which in the case of Fitch, shall be
“F-l+”; 
 (c) commercial paper, or other short term obligations, having, at the time of the Seller’s
investment or contractual commitment to invest therein, a rating in the Highest Required Investment Category granted by each Rating Agency, which in the case of Fitch, shall be “F-l+”; 
 (d) demand deposits, time deposits or certificates of deposit that are fully insured by the FDIC and either have a rating on their
certificates of deposit or short-term deposits from Moody’s and S&P of “P-1” and “A-1”, respectively, and if rated by Fitch, from Fitch of “F-l+”; 
 (e) notes that are payable on demand or bankers’ acceptances issued by any depository institution or trust company referred to in
clause (b) above; 
 (f) investments in taxable money market funds or other regulated investment companies having, at
the time of the Seller’s investment or contractual commitment to invest therein, a rating of the Highest Required Investment Category from Moody’s, S&P and Fitch (if rated by Fitch); 
 (g) time deposits (having maturities of not more than 90 days) by an entity the commercial paper of which has, at the time of the
Seller’s investment or contractual commitment to invest therein, a rating of the Highest Required Investment Category granted by Fitch and each Rating Agency; or 
 (h) Eligible Repurchase obligations with a rating acceptable to the Rating Agencies, which in the case of Fitch, shall be
“F-l+” and in the case of S&P shall be “A-1”. 
 The Trustee may, pursuant to the direction of the Servicer or Administrative
Agent, as applicable, purchase or sell to itself or an Affiliate, as principal or agent, the Permitted Investments described above. 
 “Permitted Liens”: 
 (i) With respect to the interest of the Originator and/or of the Seller in the Assets and the
Accounts: (a) Liens in favor of the Seller created pursuant to the Sale Agreement and transferred to the Trustee for the benefit of the Secured Parties pursuant to this Agreement and (b) Liens in favor of the Trustee for the benefit of the
Secured Parties pursuant to this Agreement; and 
  

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 (ii) with respect to the interest of the Originator and/or of the Seller in the other Collateral
(including any Related Property): (a) materialmen’s, warehousemen’s, mechanics’ and other Liens arising by operation of law in the ordinary course of business for sums not due or sums that are being contested by an appropriate
Person in good faith by appropriate proceedings, (b) purchase money security interests in certain items of equipment, (c) Liens for state, municipal and other local taxes if such taxes shall not at the time be due and payable or the
validity or amount thereof is currently being contested by an appropriate Person in good faith by appropriate proceedings, (d) Liens in favor of the Seller and transferred by the Seller to the Trustee for the benefit of the Secured Parties
pursuant to this Agreement, (e) Liens in favor of the Trustee for the benefit of the Secured Parties created pursuant to this Agreement, (f) Liens which have priority over first priority perfected security interests in such other
Collateral or any portion thereof under the UCC or any other Applicable Law, and (g) with respect to Agented Loans and Third Party Serviced Loans, Liens in favor of the lead agent, the collateral agent or the paying agent for the benefit of all
holders of indebtedness of such Obligor under the related facility. 
 “Permitted PIK Load”: A Middle Market Loan which
provides for a portion of the interest that accrues thereon to be added to the principal amount of such Loan for some period of the time prior to such Loan requiring the current cash payment of such previously capitalized interest, which cash
payment shall be treated as an Interest Collection at the time it is received. 
 “Person”: An individual, partnership,
corporation (including a business trust), limited liability company, joint stock company, trust, unincorporated association, sole proprietorship, joint venture, government (or any agency or political subdivision thereof) or other entity. 

“Pool Delinquency Ratio”: As of any Determination Date, the percentage equivalent of a fraction (i) the numerator of which is
equal to the sum of the Principal Balances of all Loans that are Delinquent Loans as of such Determination Date and (ii) the denominator of which is equal to the sum of the Principal Balances of all Loans as of the first day of the calendar
month related to such Determination Date. 
 “Pool Rate”: As of any Determination Date immediately preceding a Payment Date,
the annualized percentage equivalent of a fraction, (a) the numerator of which is equal to all Interest Collections that are deposited into the Collection Account during the Collection Period related to such Determination Date minus the
sum of (i) the Servicing Fee, (ii) the Program Fee, (iii) the Trustee Fee and (iv) the Backup Servicing Fee, and (b) the denominator of which is equal to the Principal Collateral Value as of the first day of such calendar
month related to such Determination Date. 
 “Pool Yield”: As of any Determination Date, the excess, if any, of (a) the
Pool Rate over (b) the Interest Rate on such day. 
 “Portfolio Asset”: Any loan or bond owned or serviced by
the Company (including each Loan and Bond). 
  

 - 42 - 

 “Portfolio Principal Balance”: (i) With respect to any Portfolio Asset that is a
bond, the product of (a) the lesser of the Market Value and the Bond Factor times (b) the principal balance of the bond outstanding (exclusive of any interest and Accreted Interest) as of the date it is acquired by the Company,
after application of principal payments received on or before such date, and (ii) with respect to any Portfolio Asset that is a loan, the principal balance of the loan outstanding (exclusive of any interest and Accreted Interest) as of the date
it is acquired by the Company, after application of principal payments received on or before such date, minus the sum of (x) the principal portion of the Scheduled Payments on such bond or loan, as applicable, received during each
Collection Period ending prior to the most recent Payment Date, and (y) all other Principal Collections on such loan or bond, as applicable to the extent applied by the Company as recoveries of principal. The Portfolio Principal Balance of
(i) a Charged-Off Portfolio Asset, (ii) any Prepaid Asset which has been prepaid in full or (iii) any Equity Security shall equal $0. For avoidance of doubt, any principal previously covered by servicer advances will be excluded from
the principal amounts payable for purposes of this definition. 
 “Portfolio Principal Collateral Value”: As of any date of
determination, the sum of the Portfolio Principal Balances of all Portfolio Assets. 
 “Prepaid Asset”: Any Asset or
Portfolio Asset (other than a Charged-Off Loan or Charged-Off Portfolio Asset) that was terminated or has been prepaid in full or in part prior to its scheduled expiration date. 
 “Prepayment Amount”: Defined in Section 6.4(b). 
 “Prepayments”: Any and all (i) partial or full prepayments on or with respect to an Asset (including, with respect to any Asset and
any Collection Period, any Scheduled Payment, Finance Charge or portion thereof that is due in a subsequent Collection Period that the Servicer has received, and pursuant to the terms of Section 6.4(b) expressly permitted the related
Obligor to make, in advance of its scheduled due date, and that will be applied to such Scheduled Payment on such due date), (ii) Recoveries, and (iii) Insurance Proceeds. 
 “Prime Rate”: The rate announced by Wachovia from time to time as its prime rate in the United States, such rate to change as and when
such designated rate changes. The Prime Rate is not intended to be the lowest rate of interest charged by Wachovia or any other specified financial institution in connection with extensions of credit to debtors. 
 “Principal Balance”: As of any Measurement Date, (i) with respect to any Bond, the product of (a) the lesser of the Market
Value and the Bond Factor times (b) the principal balance of the Bond outstanding (exclusive of any interest and Accreted Interest) as of the date it is transferred to the Seller, after application of principal payments received on or
before such date, and (ii) with respect to any Loan, the principal balance of the Loan outstanding (exclusive of any interest and Accreted Interest) as of the date it is transferred to the Seller, after application of principal payments
received on or before such date, minus the sum of (x) the principal portion of the Scheduled Payments on such Bond or Loan, as applicable, received during each Collection Period ending prior to the most recent Payment Date, and
(y) all other Principal Collections on such Bond or Loan, as applicable to the extent applied by the Servicer as recoveries of principal. The Principal Balance of (i) a Charged-Off Loan, (ii) any Prepaid Asset which has been prepaid

  

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 in full or (iii) any Equity Security shall equal $0. For avoidance of doubt, any principal previously covered by
Servicer Advances will be excluded from the principal amounts payable for purposes of this definition. 
 “Principal Collateral
Value”: On any Measurement Date, the sum of the Principal Balances of all Eligible Assets included as part of the Collateral on such date. 
 “Principal Collections”: Any and all amounts of Collections received in respect of any principal due and payable under the Assets, from or on behalf of Obligors that are deposited into the Collection Account (including,
without limitation, the principal portion of any Scheduled Payment or of any repurchase amount paid by the Originator to repurchase an Asset pursuant to Section 6.1 of the Sale Agreement) or received by or on behalf of the Seller by the
Servicer or Originator in respect of Assets and all Recoveries, in the form of Cash, checks, wire transfers, electronic transfers or any other form of Cash payment. 
 “Principal Collections Account”: Defined in Section 6.4(h). 
 “Proceeds”: With respect to any Collateral, whatever is receivable or received when such Collateral is sold, liquidated, foreclosed, exchanged, or otherwise disposed of, whether such disposition is voluntary or involuntary,
and includes all rights to payment with respect to any insurance relating to such Collateral. 
 “Program Fee”: With respect
to any applicable Purchaser, the fee set forth as such in such Purchaser’s Purchaser Fee Letter. 
 “Program Fee Rate”:
With respect to any Purchaser, on any day, the rate set forth as such in such Purchaser’s Purchaser Fee Letter. 
 “Pro-Rata
Share”: For each Conduit Purchaser, (i) the percentage obtained by dividing such Purchaser’s Commitment (as determined under subsection (i)(a) of the definition of Commitment) by the aggregate Commitments of all the Conduit
Purchasers (as determined under subsection (i)(a) of the definition of Commitment). 
 “Purchase Date”: Defined in
the Sale Agreement 
 “Purchaser”: Each Person from time to time party hereto as a Conduit Purchaser, or any Swingline
Purchaser, and “Purchasers” means all such Persons collectively. 
 “Purchaser Agent”: With respect to any
Purchaser, the person listed as the “Purchaser Agent” for such Purchaser on the signature pages to this Agreement or any document pursuant to which a Purchaser may, following the date of this Agreement, become a party hereto. 

“Purchaser Fee Letter”: With respect to any Purchaser, the fee letter among such Purchaser, the Seller and any other parties thereto
relating to the fees payable to such Purchaser in connection with the transactions contemplated hereby, as any such letter may be amended, modified, waived, supplemented, restated or replaced from time to time. 
  

 - 44 - 

 “Qualified Institution”: A depository institution or trust company acceptable to the
Administrative Agent and 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), (i)(a) that has either (1) a
long-term unsecured debt rating of “A” or better by S&P and “A2” or better by Moody’s or (2) a short-term unsecured debt rating or certificate of deposit rating of “A-1” or better by S&P or
“P-1” or better by Moody’s, (b) the parent corporation of which has either (1) a long-term unsecured debt rating of “A” or better by S&P and “A2” or better by Moody’s or (2) a short-term
unsecured debt rating or certificate of deposit rating of “A-1” or better by S&P and “P-1” or better by Moody’s or (c) is otherwise acceptable to the Administrative Agent and (ii) whose deposits are insured by
the Federal Deposit Insurance Corporation. 
 “Qualified Insurer”: An insurance company or security or bonding company
qualified to write the applicable insurance policy in the relevant jurisdiction. 
 “Rating Agency”: Each of S&P,
Moody’s and any other rating agency that has been requested to issue a rating with respect to a Term Securitization. 
 “Real
Estate Loan”: Each of the following types of Loans: Senior Secured Real Estate Loans; B-Note Loans; and Mezzanine Loans. 
 “Records”: All documents relating to the Assets, including books, records and other information (including without limitation, computer programs, tapes, disks, punch cards, data processing software and related property and
rights) executed in connection with the origination or acquisition of the Collateral or maintained with respect to the Collateral and the related Obligors that the Seller, the Originator or the Servicer have generated, in which the Seller or the
Servicer have acquired an interest pursuant to the Sale Agreement or in which the Seller, the Originator or the Servicer have otherwise obtained an interest. 
 “Recoveries”: As of the time any Related Property or any other related property is sold, discarded or abandoned (after a determination by the Servicer that such Related Property or any other related
property has little or no remaining value) or otherwise determined to be fully liquidated by the Servicer in accordance with the Credit and Collection Policy and the Servicing Standard (or such similar policies and procedures utilized by the
Servicer in servicing the Portfolio Assets) with respect to any Charged-Off Loan or Charged-Off Portfolio Asset, the proceeds from the sale of the Related Property or any other related property, the proceeds of any related Insurance Policy, any
other recoveries with respect to such Charged-Off Loan or Charged-Off Portfolio Asset, the Related Property, any other related property, and amounts representing late fees and penalties, net of Liquidation Expenses and amounts, if any, received that
are required under such Loan or Portfolio Asset, as applicable, to be refunded to the related Obligor. 
 “Registered”: With
respect to any debt obligation, a debt obligation that was issued after July 18, 1984 and that is in registered form for purposes of the Code. 
 “Regulation U”: Regulation U of the Board of Governors of the Federal Reserve System, 12 C.F.R. §221, or any successor regulation. 
  

 - 45 - 

 “Related Property”: (a) With respect to any Loan, any property or other assets
designated and pledged or mortgaged as collateral to secure repayment of such Loan (including, without limitation, Mortgaged Property and/or a pledge of the stock, membership or other ownership interests in the Obligor), and (b) with respect to
any Bond, any specified pool of assets designated and pledged as collateral to a trustee, administrative agent or other Person acting in a similar capacity to secure repayment of such Bond and other obligations of the issuer thereof, including in
each case all Proceeds from any sale or other disposition of such property or other assets. 
 “Related Security”: As used
in the Sale Agreement, all of the Originator’s right, title and interest in and to the items set forth in clauses (a) through (d) and (i) hereto and as used herein, all of the Seller’s right, title and interest in and to:

 (a) any Related Property securing an Asset and all Recoveries related thereto; 
 (b) all Required Loan Documents and Loan Files related to any Loan, any Records, and the documents, agreements, and instruments included
in the Loan File or Records including, without limitation, rights of recovery of the Seller against the Originator; 
 (c) all
Insurance Policies with respect to any Loan; 
 (d) all security interests, liens, guaranties, warranties, letters of credit,
accounts, bank accounts, mortgages or other encumbrances and property subject thereto from time to time purporting to secure or support payment of any Asset, together with all UCC financing statements or similar filings signed by an Obligor relating
thereto; 
 (e) the Accounts and the Concentration Account as it relates to the Collateral, together with all Cash and
investments in each of the foregoing other than amounts earned on investments therein; 
 (f) any Hedging Agreement;

 (g) any payment from time to time due from a Hedge Counterparty under a Hedging Agreement; 
 (h) the Sale Agreement and the assignment to the Trustee for the benefit of the Secured Parties of all UCC financing statements filed by
the Seller against the Originator under or in connection with the Sale Agreement; and 
 (i) the proceeds of each of the
foregoing. 
 “REO Acquisition”: The acquisition by the Servicer or an REO Affiliate, on behalf of the Seller for the
benefit of the Trustee (or a nominee) for the benefit of the Secured Parties, of any Mortgaged Property through foreclosure or by deed in lieu of foreclosure. 
  

 - 46 - 

 “REO Affiliate”: A corporation, limited partnership, limited liability company or
business trust organized under the laws of any state of the United States which is wholly owned by the Seller (a) which acquires title to any REO Property in connection with any REO Acquisition or (b) with the prior written approval of the
Administrative Agent, which acquires or makes Loans to Canadian obligors. 
 “REO Loan”: Any Loan as to which the related
Mortgaged Property has been acquired by the Servicer or an REO Affiliate on behalf of the Seller through foreclosure or by deed in lieu of foreclosure. 
 “REO Property”: A Mortgaged Property acquired by REO Acquisition. 
 “Replaced
Asset”: Defined in Section 2.19(a). 
 “Reporting Date”: The date that is two Business Days prior to
the 15th of each month (unless in such month a Payment Date occurs in which case two Business Days prior to such
Payment Date), commencing September 13, 2004. 
 “Required Advance Reduction Amount”: On any day, an amount equal to
the excess, if any, of (a) the Advances Outstanding on such day over (b) the Maximum Availability on such day. 
 “Required Loan Documents”: For each Loan, originals (except as otherwise indicated) of the following documents or instruments: 
 (a) (i) other than in the case of a Noteless Loan, the original or, if accompanied by a “lost note” affidavit and indemnity, a copy of, the underlying promissory note, endorsed by the Seller or the
prior holder of record either in blank or to the Trustee for the benefit of the Secured Parties (and evidencing an unbroken chain of endorsements from the prior holder thereof evidenced in the chain of endorsements to the Trustee for the benefit of
the Secured Parties), with any such endorsement to the Trustee to be in the following form: “U.S. Bank National Association, as Trustee”, and (ii) in the case of a Noteless Loan, (x) a copy of each Transfer Document, and
(y) a copy of the related credit agreement, note purchase agreement or sale and servicing agreement (or equivalent agreement as identified on the Loan Checklist), as applicable, together with, to the extent in the possession of the Originator
or reasonably available to the Originator, copies of all other documents and instruments described in clauses (b), (c) and (d) with respect to such Noteless Loan; 
 (b) other than in the case of a Noteless Loan, originals or copies of each of the following, to the extent applicable to the related Loan:
any related loan agreement, credit agreement, note purchase agreement, security agreement (if separate from any Mortgage), sale and servicing agreement, acquisition agreement, subordination agreement, intercreditor agreement or similar instruments,
guarantee, Insurance Policy, assumption or substitution agreement or similar material operative document, in each case together with any amendment or modification thereto, as set forth on the Loan Checklist; 
  

 - 47 - 

 (c) other than in the case of a Noteless Loan, an Agented Loan or a Third Party Serviced
Loan, if any Loan is secured by a Mortgage: 
 (i) either (i) the original Mortgage, the original Assignment of Leases
and Rents, if any, and the originals of all intervening assignments, if any, of the Mortgage and Assignments of Leases and Rents with evidence of recording thereon, (ii) copies thereof certified by the Servicer, by Closing Counsel or by a title
company or escrow company to be true and complete copies thereof where the originals have been transmitted for recording until such time as the originals are returned by the public recording office or (iii) copies certified by the public
recording offices where such documents were recorded to be true and complete copies thereof in those instances where the public recording offices retain the original or where the original recorded documents are lost; and 
 (ii) an Assignment of Mortgage and of any other material recorded security documents (including any Assignment of Leases and Rents) in
recordable form, executed by the Seller or the prior holder of record, in blank or to the Trustee for the benefit of the Secured Parties (and evidencing an unbroken chain of assignments from the prior holder of record to the Trustee for the benefit
of the Secured Parties), with any such assignment to the Trustee to be in the following form: “U.S. Bank National Association, as Trustee for the Secured Parties”; 
 (d) other than in the case of a Noteless Loan, with respect to any Loan originated by the Originator, either (i) copies of the UCC-1
Financing Statements, if any, and any related continuation statements, each showing the Obligor as debtor and the Trustee as total assignee or showing the Obligor, as debtor and the Originator as secured party and each with evidence of filing
thereon, together with (except for Agented Loans and Third Party Serviced Loans) a copy of each intervening UCC-2 or UCC-3 financing statement showing a complete chain of assignment from the secured party named in such UCC-1 Financing Statement to
the Trustee with evidence of filing thereon disclosing the assignment to the Trustee of the security interest in the personal property securing the Loan or (ii) copies of any such financing statements certified by the Servicer to be true and
complete copies thereof in instances where the original financing statements have been sent to the appropriate public filing office for filing. 
 “Required Reports”: Collectively, the Servicing Report, the Servicer’s Certificate required pursuant to Section 6.13(c), the Securities Remittance Certificate required pursuant to
Section 6.13(f), the financial statements of the Servicer required pursuant to Section 6.13(d), the annual statements as to compliance required pursuant to Section 6.14, and the annual independent public
accountant’s report required pursuant to Section 6.15. 
 “Responsible Officer”: With respect to any
Person, any duly authorized officer of such Person or of the manager of such Person with direct responsibility for the administration of this Agreement and also, with respect to a particular matter, any other duly authorized officer of such Person
or the manager of such Person to whom such matter is referred because of such officer’s knowledge of and familiarity with the particular subject. 
  

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 “Restricted Junior Payment”: (i) any dividend or other distribution, direct or
indirect, on account of any class of membership interests of the Seller now or hereafter outstanding, except a dividend paid solely in interests of that class of membership interests or in any junior class of membership interests of the Seller;
(ii) any redemption, retirement, sinking fund or similar payment, purchase or other acquisition for value, direct or indirect, of any class of the Seller now or hereafter outstanding, (iii) any payment made to redeem, purchase, repurchase
or retire, or to obtain the surrender of, any outstanding warrants, options or other rights to acquire membership interests of Seller now or hereafter outstanding, and (iv) any payment of management fees by the Seller (except for reasonable
management fees to the Originator or its Affiliates in reimbursement of actual management services performed). For the avoidance of doubt, (i) payments and reimbursements due to the Servicer in accordance with this Agreement or any other
Transaction Document do not constitute Restricted Junior Payments, (ii) distributions by the Seller to its members of amounts received by the Seller pursuant to clause TENTH of Section 2.10(a) or clause TENTH of
Section 2.11(a) do not constitute Restricted Junior Payments, and (iii) distributions by the Seller to its members of Assets or of cash or other proceeds relating thereto which have been repurchased or substituted by the Seller in
accordance with this Agreement do not constitute Restricted Junior Payments. 
 “Retained Interest”: (a) With respect
to any Delayed Draw Term Loan, any Revolving Loan or any Loan with an unfunded commitment on the part of the lender that does not provide by its terms that funding thereunder is in the lender’s sole and absolute discretion and the right to
receive payment (but not the obligation of the lender to provide additional fundings) with respect to which Loan is transferred to the Seller and/or by the Seller to the Trustee for the benefit of the Secured Parties, including, without limitation,
Agented Loans and Third Party Serviced Loans, all of the obligations, if any, of the lender to provide additional funding with respect to such Loan, and (b) with respect to any Participation or any Loan arising under agented or syndicated
Underlying Instruments that is transferred to the Seller and/or by the Seller to the Trustee for the benefit of the Secured Parties, (i) all of the rights and obligations, if any, of the agent(s) under the documentation evidencing such
Participation or such Loan arising under agented or syndicated Underlying Instruments and (ii) the applicable portion of the interests, rights and obligations under the documentation evidencing such Participation or such Loan arising under
agented or syndicated Underlying Instruments that relate to such portion(s) of the indebtedness that is owned by another lender (which may be the Originator, the Seller or an Affiliate of either thereof) or is described in clause (a) of
this definition; provided, however, that for the avoidance of doubt, as between the Seller and the Originator, the Originator shall be responsible for and assume all obligations of the lender with respect to that portion of the Loan not
transferred to the Seller including all Retained Interests described in clause (a) of this definition. 
 “Retransfer
Price”: Defined in Section 2.19(b). 
 “Review Criteria”: Defined in Section 8.2.

 “Revolving Loan”: A Middle Market Loan or a Large Syndicated Loan that is a line of credit or contains an unfunded
commitment arising from an extension of credit to an Obligor, 
  

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 pursuant to the terms of which amounts borrowed may be repaid and subsequently reborrowed or which is a Delayed Draw Term
Loan; provided, that any such Loan shall exclude any Retained Interest. 
 “Revolving Period”: The period
commencing on the Initial Closing Date and ending on the day immediately preceding the Termination Date. 
 “S&P”:
Standard & Poor’s, a division of The McGraw-Hill Companies, Inc., and any successor thereto. 
 “S&P
Rating”: With respect to any Asset, for determining the S&P Rating as of any date of determination: (a) for Middle Market Loans, (i) if such Loan is rated by S&P, such S&P rating, (ii) if such Loan is rated by
Moody’s (but not S&P), such Moody’s rating, and (iii) if such Loan is not rated by S&P or Moody’s, a ratings estimate as determined by the Servicer utilizing CreditModel; (b) for ABS Direct Loans and Real Estate
Loans, (i) if such Loan is rated by S&P, such S&P rating, (ii) if such Loan is rated by Moody’s (but not S&P), such Moody’s rating, and (iii) if such Loan is not rated by Moody’s or S&P, a rating as
determined by the Servicer in accordance with its Credit and Collection Policy and the Servicing Standard; and (c) for Bonds, such S&P rating. The Administrative Agent shall have the right to challenge the inputs utilized for any
CreditModel model or rating determined by the Servicer in accordance with the Credit and Collection Policy and the Servicing Standard, and if such disagreement cannot be resolved, the determination of the Administrative Agent as to such inputs or
rating shall be conclusive and binding on the parties hereto absent manifest error. 
 “Sale Agreement”: The Sale and
Contribution Agreement, dated as of the Initial Closing Date and amended and restated as of the Closing Date, between the Originator and the Seller, as amended, modified, waived, supplemented, restated or replaced from time to time. 
 “Scheduled Payment”: The scheduled payment of principal and/or interest required to be made by an Obligor on the related Asset or
Portfolio Asset, as adjusted pursuant to the terms of the related Required Loan Documents. 
 “Second Lien Loan”: Any Middle
Market Loan that (i) is secured by a valid and perfected second priority security interest on all of the Obligor’s assets constituting Related Property for the Loan (whether or not there is also a security interest of a higher or lower
priority in additional collateral), (ii) with respect to priority of payment obligations is pari passu with the indebtedness of the holder with the first priority security interest except after an event of default thereunder,
(iii) pursuant to an intercreditor agreement between the Seller and the holder of such first priority security interest, the amount of the indebtedness covered by such first priority security interest is limited (in terms of aggregate dollar
amount or percent of outstanding principal or both) and (iv) has a Loan-to-Value Ratio of less than or equal to 75%. 
 “Secured
Party”: (i) Each Purchaser, (ii) the Administrative Agent and each Purchaser Agent, and (iii) each Hedge Counterparty that at the time of entering into a Hedge Agreement is either a Purchaser or an Affiliate of the VFCC Agent
if that Affiliate is a Hedge Counterparty that executes a counterpart of this Agreement agreeing to be bound by the terms of this Agreement applicable to a Secured Party. 
  

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 “Securities Account”: The meaning specified in Section 8-501 of the UCC.

 “Securities Account Control Agreement”: The Amended and Restated Securities Account Control Agreement, dated as of the
Initial Closing Date and amended and restated as of the Closing Date, among NewStar CP Funding LLC, as the debtor, the Servicer, US Bank, as Trustee and as the Securities Intermediary, as the same may be amended, modified, waived, supplemented or
restated from time to time. 
 “Securities Act”: The U.S. Securities Act of 1933, as amended, and the rules and regulations
promulgated thereunder. 
 “Securities Intermediary”: (i) A Clearing Corporation; or (ii) a Person, including a
bank or broker, that in the ordinary course of its business maintains Securities Accounts for others and is acting in that capacity. 
 “Securities Remittance Certificate”: Defined in Section 6.13(f). 
 “Security”: The
meaning specified in Section 9-102(a)(15) of the UCC. 
 “Security Certificate”: The meaning specified in
Section 8-102(a)(16) of the UCC. 
 “Security Entitlement”: The meaning specified in Section 8-102(a)(17) of the
UCC. 
 “Seller”: Defined in the Preamble of this Agreement. 
 “Selling Institution”: An institution from which the Originator acquires a Participation which it sells to the Seller or from which the
Seller acquires a Participation, as applicable. 
 “Senior Secured ABL Loan”: Any Revolving Loan that (i) is secured by
a valid and perfected first priority security interest on all of the Obligor’s assets constituting Related Property for the Loan, (ii) provides the related Obligor with the option to the receive additional borrowings thereunder based on
the value of its eligible accounts receivable, inventory or equipment, (iii) unless otherwise approved by the Administrative Agent in writing in its sole discretion, has a Loan-to-Liquidation Value Ratio of less than or equal to (a) 85%
where the Related Property is accounts receivable, (b) 50% where the Related Property is inventory and (c) 80% where the Related Property is Equipment, (iv) provides that the payment obligation of the Obligor on such Loan is either
senior to, or pari passu with, all other Indebtedness of such Obligor and (v) requires the Obligor to make payments to a lock-box under the Seller’s control or to the Concentration Account. 
 “Senior Secured Loan”: Any Middle Market Loan or Large Syndicated Loan that is a Term Loan and any Revolving Loan that (i) is
secured by a valid and perfected first priority security interest on all of the Obligor’s assets constituting Related Property for the Loan, (ii) has a Loan-to-Value Ratio of less than or equal to (a) 60% where the Related Property is
not primarily real property and (b) 70% where the Related Property is primarily real property and (iii) provides that the payment obligation of the Obligor on such Loan is either senior to, or pari passu with, all other Indebtedness
of such Obligor. 
  

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 “Senior Secured Real Estate Loan”: Any Real Estate Loan that is a Term Loan that
(i) is secured by a valid and perfected first priority Mortgage on the Obligor’s Mortgaged Property constituting Related Property for the Loan, (ii) the underlying Related Property consists primarily of real property, (iii) has
as its sole purpose to provide mortgage financing to the Obligor, (iv) has a Loan-to-Value Ratio of less than or equal to (a) 80% where the Related Property is not multi-family real estate and (b) 85% where the Related Property is
multi-family real estate and (v) provides that the payment obligation of the Obligor on such Loan is either senior to, or pari passu with, all other Indebtedness of such Obligor. 
 “Servicer”: NewStar Financial, Inc., and each successor (in the same capacity) appointed as Successor Servicer pursuant to
Section 6.19(a) (including for the avoidance of doubt the Backup Servicer upon its appointment as Servicer, subject to the limitations therein provided) . 
 “Servicer Advance”: An advance of Scheduled Payments made by the Servicer pursuant to Section 6.5 or as otherwise permitted or required as a Servicer Advance pursuant to this Agreement.

 “Servicer Default”: Defined in Section 6.18. 
 “Servicer Termination Notice”: Defined in Section 6.18(s). 
 “Servicer’s Certificate”: Defined in Section 6.13(c). 
 “Servicing Fee”: Defined in Section 2.15(b). 
 “Servicing Fee Rate”: 1.0% per annum. 
 “Servicing
File”: For each Loan, the following documents or instruments: 
 (a) copies of each of the Required Loan Documents;

 (b) with respect to any Material Middle Market Mortgage Loan or Real Estate Loan: 
 (i) the original or a copy of the lender’s title insurance policy or a written commitment to issue such title insurance policy
issued on or about the date of the origination of such Loan, together with all endorsements or riders (or copies thereof) that were issued with or subsequent to the issuance of such policy or commitment, or, with respect to each Loan not covered by
a lender’s title insurance policy to the extent customary in the applicable jurisdiction, an attorney’s opinion of title given by an attorney licensed to practice law in the jurisdiction where the related Mortgaged Property is located, or,
if such policy or commitment has not been issued and if the related Loan was funded through a title insurance company or other comparable closing agent pursuant to escrow instructions or lender’s closing instructions precluding the title
insurance company or such agent from funding until the title insurance company is prepared to issue the required title insurance coverage, a copy of such escrow instructions or lender’s closing instructions; 
  

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 (ii) the originals or copies of any environmental indemnity agreement; 
 (iii) the Appraisal or Appraisals relating to the related Mortgaged Property; 
 (iv) any Environmental Site Assessment in the possession of the Servicer relating to the related Mortgaged Property; 
 (c) any other portion of the Loan File which is not part of the Required Loan Documents. 
 “Servicing Report”: Defined in Section 6.13(b). 
 “Servicing Standard”: shall mean: 
 (a) with respect to any Loans included in the Assets, to service and administer such Loans on behalf of the Trustee (for the benefit of the Secured Parties) and the Secured Parties in accordance with the Underlying
Instruments and all customary and usual servicing practices (A) which are consistent with the higher of: (x) the customary and usual servicing practices that a prudent loan investor or lender would use in servicing loans like the Loans for
its own account, and (y) the same care, skill, prudence and diligence with which the Servicer services and administers loans for its own account or for the account of others; (B) with a view to maximize the value of the Loans; and
(C) without regard to: (1) any relationship that the Servicer or any Affiliate of the Servicer may have with any Obligor or any Affiliate of any Obligor, (2) the Servicer’s obligations to incur servicing and administrative
expenses with respect to a Loan, (3) the Servicer’s right to receive compensation for its services hereunder or with respect to any particular transaction, (4) the ownership by the Servicer or any Affiliate of any Loans, (5) the
ownership, servicing or management for others by the Servicer of any other Loans or property by the Servicer or (6) any relationship that the Servicer or any Affiliate of the Servicer may have with any holder of Mezzanine Loans of the Obligor
with respect to such Loans. 
 (b) with respect to any Bonds included in the Assets, to service and administer such Bonds on
behalf of the Trustee (for the benefit of the Secured Parties) and the Secured Parties in accordance with the Underlying Instruments and all customary and usual servicing practices (A) which are consistent with the higher of: (x) the
customary and usual servicing practices that a prudent institutional investor or lender would use in servicing for its own account any commercial mortgage backed securities or other financial assets which are similar to the Bonds serviced or
administered pursuant to this Agreement, and (y) the same care, skill, prudence and diligence with which the Servicer services and administers commercial mortgage backed securities or other financial assets 
  

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 which are similar to the Bonds serviced or administered pursuant to this Agreement, for its own account
or for the account of others; (B) with a view to maximize the value of the Bonds, and (C) without regard to: (1) any relationship that the Servicer or any Affiliate of the Servicer may have with any counterparty to, or Obligor under,
any Bond or any Affiliate of any counterparty to, or Obligor, (2) the Servicer’s obligations to incur servicing and administrative expenses with respect to the Bonds, (3) the Servicer’s right to receive compensation for its
services hereunder or with respect to any particular transaction, (4) the ownership by the Servicer (or any Affiliate of the Servicer) of any other commercial mortgage backed securities or other financial assets similar to any Bond or (5) the
ownership, servicing or management by the Servicer for others, of any other commercial mortgage backed securities or other financial assets which are similar to any Bond; provided however that with respect to any Successor Servicer, the
“Servicing Standard” shall be the same care, skill and diligence with which such Successor Servicer services and administers loans for its own account and for the account of others. 
 “Solvent”: As to any Person at any time, having a state of affairs such that all of the following conditions are met: (a) the fair
value of the property of such Person is greater than the amount of such Person’s liabilities (including disputed, contingent and unliquidated liabilities) as such value is established and liabilities evaluated for purposes of
Section 101(32) of the Bankruptcy Code; (b) the present fair saleable value of the property of such Person in an orderly liquidation of such Person is not less than the amount that will be required to pay the probable liability of such
Person on its debts and other liabilities as they become absolute and matured; (c) such Person is able to realize upon its property and pay its debts and other liabilities (including disputed, contingent and unliquidated liabilities) as they
mature in the normal course of business; (d) such Person does not intend to, and does not believe that it will, incur debts or liabilities beyond such Person’s ability to pay as such debts and liabilities mature; and (e) such Person
is not engaged in a business or a transaction, and is not about to engage in a business or a transaction, for which such Person’s assets would constitute unreasonably small capital. 
 “SPE Obligor”: With respect to any ABS Direct Loan, an entity which (i) is formed solely for the purpose of acquiring and directly
holding an ownership interest in a pool of assets, (ii) does not engage in any business unrelated to the ownership of such a pool of assets, (iii) does not have any assets other than those related to its interest in such a pool of assets,
(iv) has books, records and accounts which are separate and apart from the books, records and accounts of any other Person, (v) is subject to limitations comparable to substantially all of the limitations on powers set forth in the
organizational documentation of the Seller as of the Closing Date, (vi) holds itself out as being an entity separate and apart from any other Person and (vii) is not taxable as a corporation for U.S. Federal income tax purposes or
otherwise subject to tax on a net income basis. 
 “Spread”: As of any Measurement Date for a Bond, the spread in basis
points above the yield of a referenced U.S. Treasury Obligation (which shall have a maturity comparable to the expected life of such Bond) currently applicable to comparable bonds in the market (as determined by the Administrative Agent in its sole
discretion). For purposes of calculating the Market Value of a Bond on any date after its Purchase Date, the Spread shall not include the first 100 basis points of any increase in the Spread of a Bond over the Spread determined as of its Purchase
Date. 
  

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 “Stretch Senior Secured Loan”: Any Middle Market Loan or Large Syndicated Loan that
(i) is secured by a valid and perfected first priority security interest on all of the Obligor’s assets constituting Related Property for the Loan, (ii) has a Loan-to-Value Ratio of less than or equal to (a) 70% where the Related
Property is not primarily real property, and (b) 80% where the Related Property is primarily real property and (iii) provides that the payment obligation of the Obligor on such Loan is either senior to, or pari passu with, all other
Indebtedness of such Obligor. 
 “Subordinated Loan”: Any Middle Market Loan which is a Term Loan that (i) may be
secured by a combination of senior and/or junior Liens on substantially all of the Obligor’s assets constituting Related Property for the Loan, (ii) has a Loan-to-Value Ratio of less than or equal to (a) 80% where the Related Property
is not primarily real property, and (b) 90% where the Related Property is primarily real property and (iii) contains terms which, upon the occurrence of an “event of default” (however denominated or described) under the
Underlying Instruments or in the case of any liquidation or foreclosure on the Related Property, provide that the Seller’s portion of such Loan would be paid only after the other lenders to such Obligor (including any lender party making any
Senior Secured ABL Loan, Senior Secured Loan, LOT Loan or other Indebtedness of the related Obligor whose right to payment is contractually senior to the Seller) is paid in full. 
 “Subsidiary”: As to any Person, a corporation, limited liability company, 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) sufficient to elect a majority of the board of directors or other managers of
such corporation, limited liability company, 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. 
 “Substitute Asset”: On any day, an Eligible Asset that meets each of the conditions for substitution set forth in
Section 2.19. 
 “Successor Servicer”: Defined in Section 6.19(a). 
 “Swingline Advance”: Defined in Section 2.l(c). 
 “Swingline Amount”: At any time, the lesser of (a) $25,000,000 minus the amount of Swingline Advances outstanding at
such time and (b) the Availability at such time. 
 “Swingline Funding Request”: A Borrowing Notice requesting a
Swingline Advance and including the items required by Section 2.2. 
 “Swingline Purchaser”: Wachovia, in its
capacity as Swingline Purchaser hereunder. 
  

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 “Taxes”: Any present or future taxes, levies, imposts, duties, charges, assessments or
fees of any nature (including interest, penalties, and additions thereto) that are imposed by any Governmental Authority. 
 “Termination Date”: The earliest of (a) the date of the termination of the Facility Amount pursuant to Section 2.5, (b) the Business Day designated by the Seller to the Administrative Agent and each
Purchaser Agent as the Termination Date at any time following two Business Days’ prior written notice thereof to the Administrative Agent and each Purchaser Agent, (c) August 9, 2006, or such later date as such date may be extended
pursuant to and in accordance with Section 2.l(d), (d) the date any Liquidity Agreement shall cease to be in full force and effect, (e) the date of the declaration of the Termination Date pursuant to Section 10.2(a)
or the date of the automatic occurrence of the Termination Date pursuant to Section 10.2(b),and (f) the second Business Day prior to the Facility Termination Date. 
 “Termination Event”: Defined in Section 10.1. 
 “Term Loan”: A Loan that is a term loan that has been fully funded and does not contain any unfunded commitment arising from an extension of credit to an Obligor. 
 “Term Securitization”: Any private or public term securitization transaction (a) undertaken by the Company, the Seller or an
Affiliate of the Company or the Seller that is secured, directly or indirectly, by any Asset currently or formerly included in the Collateral or any portion thereof or any interest therein, including, without limitation, any collateralized loan or
collateralized debt offering or other asset securitization and (b) in which the Company or an Affiliate has agreed to purchase 100% of the equity in such term securitization transaction. For the avoidance of doubt, notwithstanding any agreement by
the Company or an Affiliate to purchase 100% of the equity in such term securitization transaction, any such party agreeing to so purchase may designate other Persons as purchasers of such equity provided such party or parties remain primarily
liable therefor if such designees fail to purchase in connection with the closing date of such term securitization and/or, after the closing of such term securitization, may transfer equity it purchases at the closing thereof. 
 “Third Party Agented Loan” means, with respect to any Loan, (a) the Loan is originated by a Person other than the Originator as
part of a syndicated loan transaction, (b) the Required Loan Documents shall have been delivered to the Trustee in accordance with this Agreement, (c) the Seller, as assignee of the Loan, has all of the rights of the lender which have been
transferred to the Seller with respect to such Loan and the Related Property but none of the obligations as such obligations relate to the Retained Interest, (d) the Loan is secured by an undivided interest in the Related Property that also
secures and is shared by, on a pro rata basis, all other holders of such Obligor’s indebtedness of equal lien priority issued in such loan transaction, and (e) the third party Loan originator (or an affiliate thereof) is the lead
agent, collateral agent and paying agent for all lenders in such loan transaction and receives payment directly from the Obligor thereof on behalf of such lenders. 
 “Third Party Serviced Loan”: Any Third Party Agented Loan or Participation with respect to which a third party unaffiliated with the Servicer services and administers such Loan. 
  

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 “Title Policy”: Defined in Appendix A. 
 “Trade Ticket”: A confirmation of the purchase and sale of an Asset as provided by the Servicer to the Trustee in connection with such
purchase. 
 “Transaction”: Defined in Section 3.2. 
 “Transaction Documents”: This Agreement, the Sale Agreement, each Hedging Agreement, each Hedge Guaranty, the Intercreditor Agreement,
the Securities Account Control Agreement, each Variable Funding Certificate, the Variable Funding Capital Company LLC Fee Letter, any additional Purchaser Fee Letter, the Backup Servicer Fee Letter, the Trustee Fee Letter, any UCC financing
statements filed pursuant to the terms of this Agreement, and any additional document the execution of which is necessary or incidental to carrying out the terms of the foregoing documents. 
 “Transfer Document” : With respect to any Loan, each transfer document or instrument relating to such Loan evidencing the assignment of
such Loan either (1) to the Originator and from the Originator to the Seller, or (2) from the prior third party owner thereof directly to the Seller (at the direction of the Originator). 
 “Transferee Letter”: Defined in Section 13.16. 
 “Transition Expenses”: The reasonable costs (including reasonable attorneys’ fees) of the Trustee and the Backup Servicer incurred
in connection with transferring the servicing obligations under this Agreement and amending this Agreement to reflect such transfer in an amount not to exceed $125,000, which expenses shall include the fee identified as “One-Time Successor
Servicer Engagement Fee” on Schedule II to the Backup Servicer Fee Letter. 
 “Trustee”: US Bank, not in its individual
capacity, but solely as Trustee, its successor in interest pursuant to Section 8.3 or such Person as shall have been appointed successor Trustee pursuant to Section 8.5. 
 “Trustee Fee”: Defined in Section 8.4. 
 “Trustee Fee Letter”: The Trustee Fee Letter, dated as of the Closing Date, by and among the Originator, the Administrative Agent and the Trustee, as such letter may he amended, modified,
supplemented, restated or replaced from time to time. 
 “Trustee Termination Notice”: Defined in Section 8.5.

 “UCC”: The Uniform Commercial Code as from time to time in effect in the applicable jurisdiction or jurisdictions.

 “Uncertificated Security”: The meaning specified in Section 8-102(a)(18) of the UCC. 
 “Underlying Instruments”: The indenture, loan agreement, credit agreement or other agreement pursuant to which an Asset has been issued
or created and each other agreement that governs the terms of or secures the obligations represented by such Asset or of which the holders of such Asset are the beneficiaries. 
  

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 “United States”: The United States of America. 
 “Unmatured Termination Event”: Any event that, with the giving of notice or the lapse of time, or both, would become a Termination
Event. 
 “US Bank”: Defined in the Preamble. 
 “U.S. Treasury Obligations”: Direct registered obligations of the United States which are expressly backed by the full faith and credit
of the United States, but excluding (x) any such obligations that are Zero-Coupon Bonds and (y) such obligations that are interest only securities. 
 “Variable Funding Certificate” or “VFC”: Defined in Section 2.1. 
 “VFCC”: Variable Funding Capital Company LLC, a Delaware limited liability company, as a Purchaser, together with its successors and assigns in such capacity. 
 “VFCC Agent”: WCM or any other entity that has been appointed as the administrator for VFCC. 
 “Wachovia”: Wachovia Bank, National Association, a national banking association in its individual capacity, and its successors and
assigns. 
 “Warranty Asset”: Any Asset that fails to satisfy any criteria of the definition of Eligible Asset as of the
applicable Cut-Off Date of such Asset or any Asset with respect to which a Warranty Event has occurred. 
 “Warranty Event”:
As to any Asset, the discovery that as of the related Cut-Off Date or Funding Date there existed a breach of any representation or warranty relating to such Asset (other than any representation or warranty that the Asset satisfies the criteria of
the definition of Eligible Asset) and the failure of Seller to cure such breach, or cause the same to be cured, within 30 days after the earlier occur of the Seller’s receipt of notice thereof from the Administrative Agent or the Seller
becoming aware thereof. 
 “Weighted Average Advance Rate”: For any Advances Outstanding on any day, the weighted average of
the Advance Rates applicable to the Eligible Assets backing such Advances or Swingline Advance on such day, weighted according to the proportion of the Principal Collateral Value that each type of Asset forming a part of the Collateral represents.

 “Weighted Average Life”: As of any Measurement Date, the number obtained by (i) for each Asset (included in the
Borrowing Base) multiplying the amount of each Scheduled Payment of principal (treating each Revolving Loan as if the same were fully funded) to be paid after such date of determination by the number of years (rounded to the nearest hundredth) from
such date of determination until such Scheduled Payment of principal is due; (ii) summing all of the products calculated pursuant to clause (i); and (iii) dividing the sum calculated pursuant to clause (ii) by the sum of
all Scheduled Payments of principal due on all the Assets (including in the Borrowing Base) as of such date. 
  

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 “Weighted Average Rating Factor”: As of any Measurement Date, the number obtained by
(a) multiplying the Principal Balance of each Middle Market Loan and ABS Direct Loan (included in the Borrowing Base) by its Moody’s Rating Factor on any Measurement Date; (b) summing the products obtained in clause
(a) for all Middle Market Loans and ABS Direct Loans; (c) dividing the sum obtained in clause (b) by the sum of the Principal Balances of all Middle Market Loans and ABS Direct Loans on such Measurement Date; and
(d) rounding the result to the nearest whole number. 
 “WSO System”: The loan administrator software system developed
by JPMorgan FCS Corp., a wholly owned subsidiary of JPMorgan Chase Bank, a Texas corporation. 
 “Zero-Coupon Bond”: A bond
that, at the time of determination, does not make periodic payments of interest. 
 Section 1.2. Other Terms. 

All accounting terms used but not specifically defined herein shall be construed in accordance with GAAP. All terms used in Article 9 of the UCC
in the State of New York, and used but not specifically defined herein, are used herein as defined in such Article 9. 
 Section 1.3. Computation of Time Periods. 
 Unless otherwise stated in this Agreement, in the computation of a
period of time from a specified date to a later specified date, the word “from” means “from and including” and the words “to” and “until” each mean “to but excluding.” 
 Section 1.4. Interpretation. 
 In each Transaction Document, unless a contrary intention appears: 
 (a) the singular number includes the plural
number and vice versa; 
 (b) reference to any Person includes such Person’s successors and assigns but, if applicable,
only if such successors and assigns are permitted by the Transaction Documents; 
 (c) reference to any gender includes each
other gender; 
 (d) reference to day or days without further qualification means calendar days; 
 (e) reference to any time means Charlotte, North Carolina time; 
 (f) reference to any agreement (including any Transaction Document), document or instrument means such agreement, document or instrument
as 
  

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 amended, modified, waived, supplemented, restated or replaced and in effect from time to time in
accordance with the terms thereof and, if applicable, the terms of the other Transaction Documents, and reference to any promissory note includes any promissory note that is an extension or renewal thereof or a substitute or replacement therefor;
and 
 (g) reference to any Applicable Law means such Applicable Law as amended, modified, codified, replaced or reenacted, in
whole or in part, and in effect from time to time, including rules and regulations promulgated thereunder, and reference to any Section or other provision of any Applicable Law means that provision of such Applicable Law from time to time in effect
and constituting the substantive amendment, modification, codification, replacement or reenactment of such Section or other provision. 
 ARTICLE II. 
 PURCHASE OF THE VARIABLE FUNDING CERTIFICATES 
 Section 2.1. The Variable Funding Certificates. 
 (a) On the terms and conditions hereinafter set forth, Seller shall deliver a duly executed variable funding certificate (each such
certificate, a “Variable Funding Certificate” or “VFC”), in substantially the form of Exhibit B-1 or B-2, as applicable, (i) on the Closing Date, to the VFCC Agent and the Swingline Purchaser at
its address set forth on Annex A to this Agreement, and (ii) on each date on which an additional Purchaser purchases a Variable Funding Certificate, to the related additional Purchaser Agent at the address designated by such additional
Purchaser Agent. Each Variable Funding Certificate shall evidence an undivided ownership interest (and the Seller does hereby sell, transfer, assign and convey each such Certificate representing an undivided ownership interest to the Purchasers) in
the Collateral purchased by a Purchaser in an amount equal, at any time, to the percentage equivalent of a fraction (i) the numerator of which is the Advances outstanding under the applicable VFC on such day, and (ii) the denominator of
which is the total aggregate Advances Outstanding on such day. Interest shall accrue, and each VFC shall be payable, as described herein. The VFC purchased by (a) VFCC shall be in the name of “Wachovia Capital Markets, LLC, as the VFCC
Agent” and shall be in the face amount equal to $275,000,000 and otherwise duly completed, (b) the Swingline Purchaser shall be in the name of Wachovia Bank, National Association, as the Swingline Purchaser and be in a face amount equal to
$25,000,000, and (c) an additional Purchaser shall be in the name of such additional Purchaser and shall be in a face amount to be determined; provided, that the aggregate amount outstanding under all VFCs at any one time shall
not exceed the Facility Amount. 
 (b) On the terms and conditions hereinafter set forth, from the Closing Date to, but
excluding the Termination Date, the Seller may, at its option, request the Purchasers to make advances of funds under the VFCs (each, an “Advance”) 
  

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 and each such Purchaser shall make such Advance in an amount equal to their Pro-Rata Share of such
requested Advance; provided, that in no event shall the Purchasers make any Advance if, after giving effect to such Advance the aggregate Advances Outstanding hereunder would exceed the lesser of (i) the Facility Amount or
(ii) the Maximum Availability. Notwithstanding anything contained in this Section 2.1 or elsewhere in this Agreement to the contrary, no Purchaser shall be obligated to provide its Purchaser Agent or the Seller with aggregate funds
in connection with an Advance that would exceed such Purchaser’s unused Commitment then in effect 
 (c) On the terms
and conditions hereinafter set forth, from the Closing Date to but excluding the Termination Date, the Seller may, at its option, request the Swingline Purchaser to advance funds to the Seller on an expedited basis, each such Swingline Funding
Request to be on the terms and conditions set forth herein and substantially in the form of Exhibit A-1-S hereto, and the Swingline Purchaser shall advance to the Seller the amount requested under a Swingline Funding Request (each, a
“Swingline Advance”). Notwithstanding anything to the contrary contained herein, the Swingline Purchaser shall not be obligated to provide the Seller with aggregate funds in connection with a Swingline Advance that would exceed the
aggregate unused Commitment then in effect. 
 (d) The Seller may, within 60 days but not less than 45 days prior to the
expiration of any Liquidity Agreement in the case of an extension of any Liquidity Agreement or the date set forth in clause (c) of the definition of Termination Date in the case of an extension of this Agreement (the “Extension
Notice Period”), by written notice to each Purchaser Agent, make a request (i) for each applicable Liquidity Bank which has a Liquidity Agreement with a scheduled termination date within the next 364 days following the Extension Notice
Period to extend the term of such Liquidity Agreement for an additional period of 364 days and (ii) for each Purchaser Agent to extend the date set forth in clause (c) of the definition of Termination Date and/or the Facility
Termination Date for an additional period of 364 days. Each Purchaser Agent will give prompt notice to the applicable Purchaser and each applicable Liquidity Bank of its receipt of such request, and each Purchaser and each Liquidity Bank shall make
a determination, in their sole discretion, not less than 15 days prior to the expiration of the date set forth in clause (c) of the definition of Termination Date, the Facility Termination Date or the expiration of any Liquidity
Agreement (as applicable) as to whether or not it will agree to the applicable extension requested. The failure of a Purchaser Agent or a Liquidity Bank to provide timely notice of its decision to the Seller shall be deemed to constitute a refusal
by such Purchaser or such Liquidity Bank (as applicable) to extend the date set forth in clause (c) of the definition of Termination Date, the Facility Termination Date or the term of the Liquidity Agreement, respectively. In the event
that the term of any Liquidity Agreement or the date set forth in clause (c) of the definition of Termination Date is not extended for a period of up to 364 days, the Termination Date shall be extended with the consent of the
Administrative Agent (such consent not to be unreasonably withheld) for a period of 90 days and notice of such termination 
  

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 shall be provided by the Administrative Agent to the Trustee, the Backup Servicer, the Originator, the
Seller and the Servicer. Only one such 90 day extension of the Termination Date, as described in this Section 2.l(d), may occur. The Seller confirms that each Liquidity Bank and each Purchaser, in their sole and absolute discretion,
without regard to the value or performance of the Assets or any other factor, may elect not to extend any Liquidity Agreement, the date set forth in clause (c) of the definition of Termination Date or Facility Termination Date (as
applicable). 
 (e) The Seller may, with the written consent of the Administrative Agent, add additional Persons as
Purchasers or cause an existing Purchaser to increase its Commitment in connection with a corresponding increase in the Facility Amount; provided, however, that the Commitment of any Purchaser may only be increased with
the prior written consent of such Purchaser and the Administrative Agent. Each new Purchaser shall become a party hereto, by executing and delivering to the Administrative Agent and the Seller, an assumption agreement substantially in the form of
Exhibit L evidencing its assumed Commitment hereunder. 
 Section 2.2. Procedures for Swingline Advances by the Swingline
Purchaser. 
 (a) Subject to the limitations set forth in Section 2.1, the Seller may request a Swingline
Advance from the Swingline Purchaser by delivering to the Administrative Agent and the Trustee, as applicable, at certain times the information and documents set forth in this Section 2.2. 
 (b) No later than 12:00 p.m. (Charlotte, North Carolina time) on the Business Day of the proposed Funding Date, the Seller (or the
Servicer on its behalf) shall deliver: 
 (i) to the Administrative Agent and the Trustee written notice of such proposed
Funding Date (including a duly completed Borrowing Base Certificate updated to such date); 
 (ii) to the Administrative
Agent a description of the Obligor and the Asset or Assets to which the proposed Swingline Advance relates; 
 (iii) to the
Administrative Agent a wire disbursement and authorization form; 
 (iv) [Reserved] 
 (v) to the Administrative Agent and the Trustee a duly completed Swingline Funding Request, which shall (a) specify the desired
amount of such Swingline Advance, which amount must be at least equal to $1,000,000, (b) specify the date of such Swingline Advance, (c) specify the Assets to be financed on such Funding Date (including the appropriate 
  

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 file number, Obligor, Principal Balance for each Asset and identifying each Asset by type) and
(d) include a representation that all conditions precedent for a Swingline Advance described in Article III hereof have been met. Each Swingline Funding Request shall be irrevocable. If any Swingline Funding Request is received by the
Administrative Agent after 12:00 p.m. (Charlotte, North Carolina time) on the Business Day for which such Swingline Advance is requested or on a day that is not a Business Day, such Swingline Funding Request shall be deemed to be received by the
Administrative Agent at 9:00 a.m. (Charlotte, North Carolina time) on the next following Business Day. 
 (c) Upon
satisfaction of the applicable conditions set forth in Article III, on the related Funding Date of a Swingline Advance, the Swingline Purchaser shall, subject to the limitations set forth in Section 2.1, deposit in the Holding
Account an amount equal to the lesser of (x) the amount requested by the Seller for such Swingline Advance and (y) an amount equal to the Swingline Amount on such Funding Date. Upon delivery to the Administrative Agent and each Purchaser
Agent (with a copy to the Trustee), of (i) in the case of a Loan evidenced by an Instrument, a faxed or pdf copy of the duly executed promissory note, (ii) in the case of a Noteless Loan, a faxed or a pdf copy of the duly executed Transfer
Document whereby the Seller acquires its interests in such Loan or (iii) in the case of a Bond, the Trade Ticket with respect thereto, the Trustee shall make available to the Seller in same day funds, at such bank or other location reasonably
designated by the Seller in the Swingline Funding Request given pursuant to this Section 2.2, the funds held in the Holding Account in respect of such Swingline Advance; provided, however, that in the event that the
applicable delivery required by clauses (i), (ii) or (iii) of this sentence is made after 4:30 p.m., or such later time as the Trustee may agree, on any day, the Trustee shall make such funds available to the Seller on the next succeeding
Business Day; provided, further, that in the event that the applicable delivery required by the second sentence of this Section 2.2(c) is not made within two Business Days after the related Funding Date, the Trustee shall
cause the funds on deposit in the Holding Account in respect of the portion of such Swingline Advance relating to Assets for which the required deliveries have not been made to be delivered to the applicable Purchaser on the next Business Day
following the date of receipt by the Administrative Agent, each Hedge Counterparty, each Purchaser Agent and the Trustee of a Borrowing Notice, substantially in the form of Exhibit A-3 with Interest accrued thereon to be paid to the account
of the applicable Purchaser on the following Payment Date; provided that any Borrowing Notice delivered pursuant to this Section 2.2(c) is received on any day that is not a Business Day or after 5:00 p.m. (Charlotte, North
Carolina time) on any Business Day, such Borrowing Notice shall be deemed to be received on the following Business Day. 
  

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 Section 2.3. Procedures for Advances by Purchasers. 
 (a) Each Advance from a Purchaser hereunder shall be effected by the Seller (or the Servicer on its behalf) delivering to the
Administrative Agent, each Purchaser Agent and the Swingline Purchaser (with a copy to the Trustee) a duly completed Borrowing Notice (along with a Borrowing Base Certificate) no later than 2:00 p.m. (Charlotte, North Carolina time) at least one
Business Day prior to the proposed Funding Date. Each Borrowing Notice (along with a Borrowing Base Certificate) shall (i) specify the desired amount of such Advance, which amount must be in a minimum amount of at least $1,000,000, to be
allocated to each Purchaser in accordance with its Pro-Rata Share, (ii) specify the date of such Advance, (iii) specify the Assets to be financed on such Funding Date (including the appropriate file number, Principal Balance for each Asset
and identifying each Asset by type and proposed Advance Rate applicable to each Asset) and (iv) include a representation that all conditions precedent for an Advance described in Article III hereof have been met. Each Borrowing Notice
shall he irrevocable. 
 (b) On each Funding Date, the obligation of each Purchaser to remit its Pro-Rata Share of any such
Advance shall be several from that of each other Purchaser and the failure of any Purchaser to so make such amount available to the Seller shall not relieve any other Purchaser of its obligation hereunder. 
 (c) Upon satisfaction of the applicable conditions set forth in Article III, on the relating Funding Date of an Advance, each
Purchaser shall, subject to the limitations set forth in Section 2.1, deposit in the Holding Account an amount equal to its Pro-Rata Share of the least of (i) the amount requested by the Seller for such Advance, (ii) an amount
equal to the Availability on such Funding Date, or (iii) the Facility Amount. Upon delivery to the Administrative Agent and each Purchaser Agent (with a copy to the Trustee), of (i) in the case of a Loan evidenced by an instrument, a faxed
or pdf copy of the duly executed promissory note, (ii) in the case of a Noteless Loan, a faxed or pdf copy of the duly executed Transfer Document whereby the Seller acquires its interests in such Loan or (iii) in the case of a Bond, the
Trade Ticket with respect thereto, the Trustee shall make available to the Seller in same day funds, at such bank or other location reasonably designated by the Seller in the Funding Request given pursuant to this Section 2.3, the funds
held in the Holding Account in respect of such Advance; provided, however, that in the event that the applicable delivery required by the second sentence of this Section 2.3(c) is made after 4:30 p.m., or such later time as
the Trustee may agree, on any day, the Trustee shall make such funds available to the Seller on the next succeeding Business Day; provided, further, that in the event that the applicable delivery required by the second sentence of this
Section 2.3(c) is not made within two Business Days after the related Funding Date, the Trustee shall cause the funds on deposit in the Holding Account in respect of such Advance provided by each Purchaser relating to Assets for which
the required deliveries have not been made to be delivered to the related Purchaser on the next Business Day following the date of receipt by the Administrative Agent, each Hedge Counterparty, each Purchaser Agent and the Trustee of a Borrowing

  

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 Notice, substantially in the form of Exhibit A-3 with Interest accrued thereon to be paid to the
account of such Purchaser on the following Payment Date; provided that any Borrowing Notice delivered pursuant to this Section 2.3(c) is received on any day that is not a Business Day or after 5:00 p.m. (Charlotte, North Carolina
time) on any Business Day, such Borrowing Notice shall be deemed to be received on the following Business Day. 
 Section 2.4.
Delivery of Bonds and Loans. 
 (a) Upon the acquisition of any Collateral by the Seller, the ownership of each
transferred Underlying Instrument and the contents of each Loan File will be vested in the Seller. Each Loan, Bond and Related Security transferred to the Seller shall immediately and without further action automatically become part of the
Collateral. 
 (b) Pursuant to and in accordance with the terms of Section 3.3, on each Funding Date, the Seller
will deliver to the Trustee for credit, or will cause to be credited, to the Custodial Account, pursuant to and in accordance with the Securities Account Control Agreement, any Bonds. 
 (c) Pursuant to and in accordance with the terms of Section 3.2(c), the Seller will deliver, or cause to be delivered, to the
Trustee the Required Loan Documents accompanied by the related Loan Checklist relating to each Loan being transferred on such Funding Date. 
 Section 2.5. Reduction of the Facility Amount: Optional Repayments. 
 (a) The Seller may, upon at
least 20 Business Days’ prior written notice (such notice to be received by the Administrative Agent and each Purchaser Agent no later than 5:00 p.m. (Charlotte, North Carolina time) on such day) to the Administrative Agent and each Purchaser
Agent, terminate in whole or reduce in part the portion of the Facility Amount that exceeds the sum of the Advances Outstanding, accrued Interest, Breakage Costs and Hedge Breakage Costs; provided, however, that each
partial reduction of the Facility Amount shall be in an aggregate amount equal to at least $1,000,000. Each notice of reduction or termination pursuant to this Section 2.5(a) shall be irrevocable. 
 (b) The Seller may, upon one Business Day’s prior written notice (such notice to be received by the Administrative Agent, each Hedge
Counterparty and each Purchaser Agent no later than 5:00 p.m. (Charlotte, North Carolina time) on such day) to the Administrative Agent and each Purchaser Agent (with a copy to the Trustee), reduce the Advances Outstanding by remitting, in
accordance with their Pro-Rata Share, to each Purchaser Agent, for payment to the respective Purchasers, (i) Cash in an amount equal to the sum of the amount by which Advances Outstanding are to be reduced, related Breakage Costs, if any, and
related Hedge Breakage Costs, if any (with related accrued Interest on such Advances Outstanding to be remitted on the next Payment Date) 
  

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 and (ii) instructions to reduce such Advances Outstanding, and pay any such Breakage Costs and/or
Hedge Breakage Costs; provided, that no such reduction shall be given effect (a) unless the Seller has complied with the terms of any Hedging Agreement requiring that one or more Hedge Transactions be terminated in whole or in
part as the result of any such reduction of the Advances Outstanding, and Seller has paid all Hedge Breakage Costs and any payments owing to the relevant Hedge Counterparty for any such termination (b) if a Termination Event or Unmatured
Termination Event has occurred, is continuing or would result from such reduction. Any reduction of the Advances Outstanding shall be in a minimum amount of $1,000,000 (or such lesser amount as may be required to prevent a Termination Event pursuant
to Section l0.l(i)). Any such reduction will occur only if sufficient funds have been remitted to pay all such amounts in the succeeding sentence in full. Upon receipt of such amounts, the Purchaser Agents shall apply such amounts to the
pro-rata reduction of the Advances Outstanding, and to the payment of any Breakage Costs and Hedge Breakage Costs and any other payments owing to each Hedge Counterparty in respect of the termination of any Hedge Transaction. Any notice relating to
any prepayment pursuant to this Section 2.5(b) shall be irrevocable. 
 Section 2.6. Determination of
Interest. 
 Each applicable Purchaser Agent shall determine the CP Rate for its related Purchaser (including unpaid Interest related
thereto, if any, due and payable to a prior Payment Date) to be paid by the Seller with respect to each Advance on each Payment Date for the related Accrual Period and shall advise the Servicer thereof on the third Business Day prior to such Payment
Date. 
 Section 2.7. Percentage Evidenced by each Variable Funding Certificate. 
 The variable percentage ownership interest in the Assets represented by each VFC shall be initially computed on its date of purchase. Thereafter, until
the Termination Date, each VFC shall be automatically recomputed (or deemed to be recomputed) on each day prior to the Termination Date. The variable percentage ownership interest in the Assets represented by each VFC as computed (or deemed
recomputed) as of the close of business on the day immediately preceding the Termination Date shall remain constant at all times on and after the Termination Date. The variable percentage ownership interest in the Assets represented by each VFC
shall become zero when its Advances and Interest have been indefeasibly paid in full. 
 Section 2.8. Reimbursement of Swingline
Advances. 
 The Conduit Purchasers hereby agree that if the Swingline Purchaser funds any Swingline Advance, (i) the Conduit
Purchasers shall reimburse the Swingline Purchaser for such Swingline Advance not later than one Business Day after the Swingline Purchaser funds such Swingline Advance. Such reimbursement shall be accomplished by the Conduit Purchasers remitting to
the Swingline Purchaser at the Swingline Purchaser’s Account or such other account as designated in writing by the Swingline Purchaser the amount (up to the amount of the outstanding Swingline Advance) that the Conduit Purchasers otherwise
would be required to 
  

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 remit to the account designated by the Seller pursuant to Section 2.3(b) in connection with the Advance being
made on the date of such reimbursement. The Seller and the Servicer hereby authorize and instruct the Conduit Purchasers to reimburse the Swingline Purchaser in such manner. 
 Section 2.9. Notations on Variable Funding Certificates. 
 Each Purchaser Agent is hereby authorized to enter on a schedule attached to the VFC a notation (which may be computer generated) with respect to each Advance under the VFC made by the related Purchaser of:
(a) the date and principal amount thereof, and (b) each repayment of principal thereof, and any such recordation shall constitute prima facie evidence of the accuracy of the information so recorded. The failure of any Purchaser Agent to
make any such notation on the schedule attached to the VFC shall not limit or otherwise affect the obligation of the Seller to repay the Advances in accordance with their respective terms as set forth herein. 
 Section 2.10. Settlement Procedures During the Revolving Period. 
 (a) On each Payment Date during the Revolving Period, the Servicer shall direct the Trustee to pay pursuant to the Servicing Report (and
the Trustee shall make payment, in reliance on the information set forth in such Servicing Report) to the following Persons, from (1) the Collection Account, to the extent of Available Funds, and (2) Servicer Advances of Scheduled
Payments, if any, received with respect to the immediately preceding Collection Period that ended on the last day of the calendar quarter (or month if the Administrative Agent makes an election to change the Payment Date pursuant to clause
(b) of the definition thereof) immediately preceding the calendar month in which such Payment Date occurs, the following amounts in the following order of priority: 
 (i) FIRST, pro rata to each Hedge Counterparty, any amounts, (other than any Hedge Breakage Costs and any payments due in
respect of the termination of any Hedging Transaction), owing to that Hedge Counterparty under its respective Hedging Agreement in respect of any Hedge Transaction(s), for the payment thereof; 
 (ii) SECOND, to the extent not paid for by the Servicer, pro rata to the Trustee and the Backup Servicer, (a) in an
amount equal to any accrued and unpaid Trustee Fees, Backup Servicing Fees and Transition Expenses, and (b) incurred but unreimbursed reasonable third-party, out- of-pocket expenses relating to their respective duties as Trustee or as Backup
Servicer hereunder, in respect of which the Trustee or the Backup Servicer, as applicable, has provided prior written notice to the Servicer and the Administrative Agent, for the payment thereof; provided, that amounts payable pursuant to
clause (b) shall not exceed $5,000 for any Payment Date; 
 (iii) THIRD, to the Servicer, in an amount
equal to any unreimbursed Servicer Advances (but solely to the extent of Collections in respect of the Asset for which such Servicer Advance was made), for the payment thereof; 
  

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 (iv) FOURTH, to the Servicer, in an amount equal to any accrued and unpaid
Servicing Fees to the end of the preceding Collection Period, for the payment thereof; 
 (v) FIFTH, to each
Purchaser Agent (or, at the direction of any Purchaser Agent, to such Purchaser Agent’s Purchaser) and the Swingline Purchaser, pro rata in accordance with the amount of Advances Outstanding hereunder for the account of the applicable
Purchaser, in an amount equal to any accrued and unpaid Interest, Program Fee, Commitment Fee and Breakage Costs, for the payment thereof; 
 (vi) SIXTH, pro rata in accordance with the amounts payable under clauses (a) and (b) hereof, (a) to each Purchaser Agent (or, at the direction of any Purchaser Agent, to such Purchaser
Agent’s Purchaser) and the Swingline Purchaser, if the Required Advance Reduction Amount is greater than zero, an amount necessary to reduce the Required Advance Reduction Amount to zero, pro rata in accordance with the amount of
Advances Outstanding hereunder for the account of the applicable Purchaser, and (b) pro rata to each Hedge Counterparty and without duplication, any Hedge Breakage Costs and payments due in respect of the termination of any Hedge
Transaction, owing to that Hedge Counterparty under its respective Hedging Agreement, for the payment thereof, provided, however, that Hedge Breakage Costs and payments due in respect of the termination of any Hedge Transaction
resulting from the nonperformance by a Hedge Counterparty shall not be paid pro rata with the other amounts set forth in clauses (a) and (b) above but rather shall be paid to the applicable Hedge Counterparty only after such other
amounts set forth in clauses (a) and (b) above shall have been paid; 
 (vii) SEVENTH, to the
Administrative Agent, each Purchaser Agent (or, at the direction of any Purchaser Agent, to such Purchaser Agent’s Purchaser), the applicable Purchaser, the Trustee and the Backup Servicer, the Affected Parties, the Indemnified Parties or the
Secured Parties, pro rata in accordance with the amount owed to such Person under this SEVENTH clause, all other amounts, including Increased Costs but other than Advances Outstanding, then due under this Agreement, and reasonable
third-party out-of-pocket expenses relating to their respective duties as the Trustee or the Backup Servicer hereunder, to the extent not paid pursuant to clause SECOND above in respect of which the Trustee or the Backup Servicer, as
applicable, has provided prior written notice to the Servicer and the Administrative Agent, for the payment thereof; 
 (viii) EIGHTH, to the Servicer, in an amount equal to the sum of (i) any unreimbursed Servicer Advances, to the extent not paid pursuant to clause THIRD above, and (ii) any Nonrecoverable Advance for the payment
thereof; and 
  

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 (ix) NINTH, to the Originator, in an amount equal to the accrued and unpaid Hedge
Guaranty Fee; 
 (x) TENTH, any remaining amount shall be distributed to the Seller, provided, that the
Seller shall first reimburse the Servicer for any unreimbursed amounts paid by the Servicer pursuant to Section 2.16, Section 2.17 or Section 13.9 together with interest thereon at a per annum rate of interest
equal to LIBOR plus 2.00% from and including the date such payment was made to but not including the date of such reimbursement. 
 (b) On the applicable terms and conditions hereinafter set forth, from time to time during the Revolving Period, the Servicer may, to the extent of any Principal Collections on deposit in the Principal Collections Account, withdraw such
funds for the purpose of (1) making reductions of Advances Outstanding pursuant to and in accordance with Section 2.5 hereof, (2) reinvesting in additional Eligible Assets and/or (3) reimbursing to the Company amounts
advanced or contributed by it to the Seller in connection with the Seller’s acquisition of Assets or to deliver to the Seller for the purpose of funding loans to an REO Affiliate of the type described in clause (b) of the definition
thereof, provided no Termination Event exists and after giving effect to such reimbursement or delivery, the Availability is greater than zero, provided the following conditions are satisfied. 
 (i) all conditions precedent set forth in Section 3.2(b) have been satisfied; 
 (ii) the Servicer provides same day written notice to the Administrative Agent and the Trustee by facsimile (to be received no later than
1:00 p.m. (Charlotte, North Carolina time) on such day) of the request to withdraw Principal Collections or, in the case of a release of funds under Section 2.10(b)(l), one Business Day’s written notice to the Administrative Agent and the
Trustee (to be received no later than 5:00 p.m. (Charlotte, North Carolina time) on such day) and the amount thereof; 
 (iii) the notice required in clause (ii) above shall be accompanied by a Borrowing Notice in the form of Exhibit A-3 and a Borrowing Base Certificate and the same are executed by the Seller and at least one Responsible
Officer of the Servicer; 
 (iv) the Trustee provides to the Administrative Agent by facsimile (to be received no later than
1:00 p.m. (Charlotte, North Carolina time) on that same date) a statement reflecting the total amount on deposit on such day in the Principal Collections Account; and 
  

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 (v) upon the satisfaction of the conditions set forth in clauses (i) through
(iv) above, the Trustee will release funds from the Principal Collections Account to the Servicer in an amount not to exceed the least of (A) the amount requested by the Servicer, (B) the amount on deposit in the Principal Collections
Account on such day and (C) with respect to reimbursements to the Company pursuant to clause (b)(3) above, the maximum amount payable to the Company which would result in the Availability remaining greater than zero. 
 Section 2.11. Settlement Procedures During the Amortization Period. 
 (a) On each Payment Date during the Amortization Period, the Servicer shall direct the Trustee to pay pursuant to the Servicing Report
(and the Trustee shall make payment, in reliance on the information set forth in such Servicing Report) to the following Persons, from (i) the Collection Account, to the extent of Available Funds, and (ii) Servicer Advances of Scheduled
Payments, if any, received with respect to the immediately preceding Collection Period, the following amounts in the following order of priority: 
 (i) FIRST, pro rata to each Hedge Counterparty, any amounts, (other than any Hedge Breakage Costs and any payments due in respect of the termination of any Hedge Transaction), owing to that Hedge
Counterparty under its respective Hedging Agreement in respect of any Hedge Transaction(s), for the payment thereof; 
 (ii)
SECOND, to the extent not paid for by the Servicer, pro rata to the Trustee and Backup Servicer, (2) in an amount equal to any accrued and unpaid Trustee Fees, Backup Servicing Fees and Transition Expenses, and (b) incurred
but unreimbursed reasonable third-party, out- of-pocket expenses relating to their respective duties as Trustee or as Backup Servicer hereunder, in respect of which the Trustee or the Backup Servicer or the Trustee, as applicable, has provided prior
written notice to the Servicer and the Administrative Agent, for the payment thereof; provided, that amounts payable pursuant to clause (b) shall not exceed $5,000 for any Payment Date; 
 (iii) THIRD, to the Servicer, in an amount equal to any unreimbursed Servicer Advances (but solely to the extent of Collections in
respect of the Asset for which such Servicer Advance was made), for the payment thereof; 
 (iv) FOURTH, to the
Servicer, in an amount equal to any accrued and unpaid Servicing Fees to the end of the preceding Collection Period, for the payment thereof; 
  

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 (v) FIFTH, to each Purchaser Agent (or, at the direction of any Purchaser Agent,
to such Purchaser Agent’s Purchaser) and the Swingline Purchaser, pro rata in accordance with the amount of Advances Outstanding hereunder for the account of the applicable Purchaser, in an amount equal to any accrued and unpaid
Interest, Program Fee, Commitment Fee and Breakage Costs, for the payment thereof; 
 (vi) SIXTH, pro rata in
accordance with the amounts payable under clauses (a) and (b) hereof, (a) to each Purchaser Agent (or, at the direction of any Purchaser Agent, to such Purchaser Agent’s Purchaser) and the Swingline Purchaser, pro rata in
accordance with the amount of Advances Outstanding hereunder for the account of the applicable Purchaser, in an amount necessary to reduce the Advances Outstanding and Aggregate Unpaids to zero, and (b) pro rata to each Hedge
Counterparty and without duplication, any Hedge Breakage Costs and payments due in respect of the termination of any Hedge Transaction, owing to that Hedge Counterparty under its respective Hedging Agreement to the extent not reimbursed pursuant to
clause FIRST above, for the payment thereof, provided, however, that Hedge Breakage Costs and payments due in respect of the termination of any Hedge Transaction resulting from the nonperformance by a Hedge Counterparty shall not be
paid pro rata with the other amounts set forth in clauses (a) and (b) above but rather shall be paid to the applicable Hedge Counterparty only after such other amounts set forth in clauses (a) and (b) above shall have been
paid; 
 (vii) SEVENTH, to the Administrative Agent, each Purchaser Agent (or, at the direction of any Purchaser
Agent, to such Purchaser Agent’s Purchaser), the applicable Purchaser, the Trustee, the Backup Servicer, the Affected Parties, the Indemnified Parties or the Secured Parties, pro rata in accordance with the amount owed to such Person
under this SEVENTH clause, all other amounts, including Increased Costs but other than Advances Outstanding, then due under this Agreement, and reasonable third-party out-of-pocket expenses relating to their respective duties as Trustee or as
Backup Servicer hereunder to the extent not paid pursuant to clause SECOND above in respect of which the Trustee or the Backup Servicer, as applicable, has provided prior written notice to the Servicer and the Administrative Agent, for the
payment thereof; 
 (viii) EIGHTH, to the Servicer, in an amount equal to the sum of (i) any unreimbursed
Servicer Advances, to the extent not paid pursuant to clause THIRD above, and (ii) any Nonrecoverable Advance for the payment thereof; and 
 (ix) NINTH, to the Originator, in an amount equal to the accrued and unpaid Hedge Guaranty Fee; 
  

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 (x) TENTH, any remaining amount shall be distributed to the Seller,
provided, that the Seller shall first reimburse the Servicer for any unreimbursed amounts paid by the Servicer pursuant to Section 2.16, Section 2.17 or Section 13.9 together with interest thereon at
a per annum rate of interest equal to LIBOR plus 2.00% from and including the date such payment was made to but not including the date of such reimbursement. 
 Section 2.12. Collections and Allocations. 
 (a) Collections. The
Servicer shall promptly identify (with the assistance of the Trustee, if necessary) any collections as being on account of Interest Collections, Principal Collections or other Collections, whether received by it in its capacity as Concentration
Account Servicer under the Intercreditor Agreement or on deposit in the Custodial Account or otherwise, and shall transfer or cause to be transferred to the Collection Account, all such Collections which are in the form of available funds to the
Collection Account by the close of business on the second Business Day after such Collections are so received. Upon the transfer of Collections to the Collection Account, and on the basis of information received from the Servicer, the Trustee shall
segregate Principal Collections and Interest Collections and transfer the same to the corresponding Principal Collections Account and Interest Collections Account, as applicable. The Trustee shall make such deposits or payments on the date indicated
therein by wire transfer, in immediately available funds. The Trustee shall further provide a statement to the Servicer as to the amount of Principal Collections and Interest Collections on deposit in the Collection Account as of the related
Determination Date on each Reporting Date for inclusion in the Servicing Report delivered pursuant to Section 6.13(b). In addition, at the time the Trustee receives Collections or funds from the Concentration Account into the Collection
Account, the Servicer will classify all funds so transferred on the WSO System (or such successor system as mutually agreed by the Servicer and the Trustee and the Administrative Agent in writing) as one of the following types of Collections (which
list may have reasonable additional items added to it from time to time by written notice from the Servicer to the Trustee and the Administrative Agent): (i) Scheduled Payments, (ii) Prepayments, (iii) Recoveries, (iv) Insurance
Proceeds, (v) fees, (vi) hedge payments, (vii) Servicer Advances, (viii) Excluded Amounts and (ix) additional amounts. 
 (b) Initial Deposits. On the Initial Closing Date and on each Addition Date thereafter, the Servicer will deposit (in immediately available funds) into the Collection Account all Collections received after the
applicable Cut-Off Date and through and including the Initial Closing Date or Addition Date, as the case may be, in respect of Eligible Assets being transferred to and included as part of the Collateral on such date. 
 (c) Excluded Amounts. With the prior written consent of the Administrative Agent, which consent shall not be unreasonably withheld
(a copy 
  

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 of which will be provided by the Servicer to the Trustee), the Servicer may withdraw from the Collection
Account any deposits thereto constituting Excluded Amounts if the Servicer has, prior to such withdrawal and consent, delivered to the Administrative Agent and each Purchaser Agent (with a copy to the Trustee) a report setting forth the calculation
of such Excluded Amounts in a form and substance satisfactory to the Administrative Agent, the Trustee and each Purchaser Agent in their sole discretion. 
 (d) Investment of Funds. Until the occurrence of a Termination Event, to the extent there are uninvested available amounts deposited in the Collection Account on or before 3:00 p.m. (Boston, Massachusetts
time), all such amounts shall be invested in Permitted Investments selected by the Servicer in written instructions delivered to the Trustee (which may be in the form of standing instructions) that mature no later than the Business Day immediately
preceding the next Payment Date; to the extent that there are uninvested available funds deposited after 3:00 p.m. (Boston, Massachusetts time), such funds shall be swept into the overnight funds investment which shall be a Permitted Investment
selected by the Servicer in written instructions delivered to the Trustee (which may be in the form of standing instructions). From and after the occurrence of a Termination Event, to the extent there are uninvested amounts in the Collection Account
(net of losses and investment expenses), all amounts may be invested in Permitted Investments selected by the Administrative Agent in written instructions delivered to the Trustee (which may be in the form of standing instructions) that mature no
later than the Business Day immediately preceding the next Payment Date. Until the occurrence of a Termination Event, to the extent there are uninvested available amounts deposited in the Custodial Account after 3:00 p.m. (Boston, Massachusetts
time), such funds shall be swept into the overnight funds investment which shall be a Permitted Investment selected by the Servicer in written instructions delivered to the Trustee (which may be in the form of standing instructions). From and after
the occurrence of a Termination Event, to the extent there are uninvested amounts in the Custodial Account (net of losses and investment expenses) after 3:00 p.m. (Boston, Massachusetts time), all such amounts may be swept into the overnight funds
investment which shall be a Permitted Investment selected by the Administrative Agent in written instructions delivered to the Trustee (which may be in the form of standing instructions). All earnings (net of losses and investment expenses) thereon
shall be retained or deposited into the Collection Account and shall be applied. pursuant to the provisions of Section 2.10 and Section 2.11. All investments shall be subject to availability. Absent receipt of instructions as
contemplated herein, the Trustee shall have no obligation to invest any funds 
 Section 2.13. Payments, Computations.
Etc. 
 (a) Unless otherwise expressly provided herein, all amounts to be paid or deposited by the Seller or the
Servicer hereunder shall be paid or deposited in accordance with the terms hereof no later than 11:00 a.m. (Charlotte, North Carolina time) on the day when due in lawful money of the United States in 
  

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 immediately available funds to the applicable Purchaser Agent’s Account or Swingline
Purchaser’s Account and if not received before such time shall be deemed received on the next Business Day. The Seller shall, to the extent permitted by law, pay to the Secured Parties interest on all amounts not paid or deposited when due
hereunder at 2% per annum above the Base Rate, payable on demand; provided, however, that such interest rate shall not at any time exceed the maximum rate permitted by Applicable Law. Such interest shall be for the account
of, and distributed to, each applicable Purchaser. All computations of interest and all computations of Interest and other fees hereunder shall be made on the basis of a year consisting of 360 days (other than calculations with respect to the Base
Rate which shall be based on a year consisting of 365 or 366 days, as applicable) for the actual number of days (including the first but excluding the last day) elapsed. 
 (b) Whenever any payment hereunder shall be stated to be due on a day other than a Business Day, such payment shall be made on the next
succeeding Business Day, and such extension of time shall in such case be included in the computation of the payment of Interest or any fee payable hereunder, as the case may be. For avoidance of doubt, to the extent that Available Funds are
insufficient on any Payment Date to satisfy the full amount of any Increased Costs pursuant to clause SEVENTH of Section 2.10(a) or clause SEVENTH of Section 2.11(a), such unpaid amounts shall remain due and
owing and shall accrue Interest until repaid in full. 
 (c) If any Advance or Swingline Advance requested by the Seller and
approved by the applicable Purchaser or Swingline Purchaser and the Purchaser Agents or, in the case of a Swingline Advance, the Administrative Agent, pursuant to Section 2.2 or 2.3 is not, for any reason made or effectuated, as
the case may be, on the date specified therefor, the Seller shall indemnify the applicable Purchaser or the Swingline Purchaser against any reasonable loss, cost or expense incurred by the applicable Purchaser or the Swingline Purchaser including,
without limitation, any loss (including loss of anticipated profits, net of anticipated profits in the reemployment of such funds in the manner determined by each Purchaser or the Swingline Purchaser, as applicable), cost or expense incurred by
reason of the liquidation or reemployment of deposits or other funds acquired by the applicable Purchaser or Swingline Purchaser to fund or maintain such Advance or Swingline Advance. 
  

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 Section 2.14. Optional Repurchase. 
 At any time following the Termination Date when the Borrowing Base is less than 10% of the Borrowing Base as of the Termination Date, the Seller or the
Servicer may notify the Administrative Agent and each Purchaser Agent (with a copy to the Trustee and the Backup Servicer) in writing of its intention to purchase all remaining Collateral; provided, that all Hedge Transactions have
been terminated in accordance with their terms prior thereto or contemporaneously therewith. On the Payment Date next succeeding any such notice, the Seller or the Servicer, as applicable, shall purchase all such Collateral for a price equal to the
Aggregate Unpaids and the proceeds of such purchase will be deposited into the Collection Account and paid in accordance with Section 2.1 1. 
 Section 2.15. Fees. 
 (a) The Servicer on behalf of the Seller shall pay
in accordance with Section 2.10(a)(v) and Section 2.1 l(a)(v), as applicable, to the applicable Purchaser Agent from the Collection Account to the extent funds are available on each Payment Date, in arrears in respect of each
Collection Period, the applicable Program Fee and the applicable Commitment Fee agreed to between the Seller and such Purchaser Agent in the Purchaser Fee Letter. 
 (b) The Servicer shall be entitled to receive a fee (the “Servicing Fee”), in arrears in respect of each Collection Period in
accordance with Section 2.l0(a)(iv) and Section 2.1 l(a)(iv), as applicable, which fee shall be equal to the product of (i) the Servicing Fee Rate, (ii) average daily Principal Collateral Value during the
immediately preceding Collection Period (which, in the case of the first Collection Period, shall commence as of the Initial Closing Date) and (iii) the actual number of days in such Collection Period divided by 360. The Servicing Fee is
payable to the Servicer to compensate the Servicer for performing its obligations as Servicer hereunder and, so long as the Servicer is also the Originator, for the Originator’s performance of its obligations hereunder and under the Sale and
Contribution Agreement as such obligations relate to Collateral purchased directly by the Seller from third parties which was reunderwritten by the Originator on behalf of the Seller in connection with the Seller’s purchase thereof 

(c) The Trustee shall be entitled to receive the Trustee Fee and the Backup Servicer shall be entitled to receive the Backup Servicing
Fee and such parties shall be entitled to receive reimbursement for certain expenses as described in, and in accordance with, Section 2.l0(a)(ii) and Section 2.1l(a)(ii), as applicable. 
 (d) [Reserved]. 
 (e) The Seller shall pay to Dechert LLP as counsel to the Administrative Agent, and to Nixon Peabody LLP, as counsel to the Trustee, all reasonable fees and out-of-pocket expenses thereof within 30 Business Days after receiving an invoice
for such amounts. 
  

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 Section 2.16. Increased Costs: Capital Adequacy; Illegality. 
 (a) If either (i) the introduction of or any change (including, without limitation, any change by way of imposition or increase of
reserve requirements) in or in the interpretation of any law or regulation or (ii) the compliance by an Affected Party with any guideline or request from any central bank or other Governmental Authority (whether or not having the force of law),
shall (a) subject an Affected Party to any Tax (except for Taxes on the overall net income of such Affected Party), duty or other charge with respect to any ownership interest in the Collateral, or any right to make Advances or Swingline
Advances hereunder, or on any payment made hereunder, (b) impose, modify or deem applicable any reserve requirement (including, without limitation, any reserve requirement imposed by the Board of Governors of the Federal Reserve System, but
excluding any reserve requirement, if any, included in the determination of Interest), special deposit or similar requirement against assets of, deposits with or for the amount of, or credit extended by, any Affected Party or (c) impose any
other condition affecting the security interest in the Collateral Granted to the Trustee for the benefit of the Secured Parties hereunder or the Purchasers’ rights hereunder, the result of which is to increase the cost to any Affected Party or
to reduce the amount of any sum received or receivable by an Affected Party under this Agreement, then within ten days after demand by such Affected Party (which demand shall be accompanied by a statement setting forth the basis for such demand),
the Seller shall pay (and to the extent the Seller does not make such payment the Servicer shall pay) directly to such Affected Party such additional amount or amounts as will compensate such Affected Party for such additional or increased cost
incurred or such reduction suffered. 
 (b) If either (i) the introduction of or any change in or in the interpretation
of any law, guideline, rule, regulation, directive or request or (ii) compliance by any Affected Party with any law, guideline, rule, regulation, directive or request from any central bank or other governmental authority or agency (whether or
not having the force of law), including, without limitation, compliance by an Affected Party with any request or directive regarding capital adequacy, has or would have the effect of reducing the rate of return on the capital of any Affected Party
as a consequence of its obligations hereunder or arising in connection herewith to a level below that which any such Affected Party could have achieved but for such introduction, change or compliance (taking into consideration the policies of such
Affected Party with respect to capital adequacy) by an amount deemed by such Affected Party to be material, then from time to time, within ten days after demand by such Affected Party (which demand shall be accompanied by a statement setting forth
the basis for such demand), the Seller shall pay (and to the extent the Seller does not make such payment the Servicer shall pay) directly to such Affected Party such additional amount or amounts as will compensate such Affected Party for such
reduction. For the avoidance of 
  

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 doubt, if the issuance of Interpretation No. 46 by the Financial Accounting Standards Board or any
other change in accounting standards or the issuance of any other pronouncement, release or interpretation, causes or requires the consolidation of all or a portion of the assets and liabilities of the Originator or Seller with the assets and
liabilities of the Administrative Agent, any Purchaser Agent, any Purchaser or any Liquidity Bank, such event shall constitute a circumstance on which such Affected Party may base a claim for reimbursement under this Section 2.16.

 (c) If as a result of any event or circumstance similar to those described in clause (a) or (b) of this
Section 2.16, any Affected Party is required to compensate a bank or other financial institution providing liquidity support, credit enhancement or other similar support to such Affected Party in connection with this Agreement or the
funding or maintenance of Advances or Swingline Advances hereunder, then within ten days after demand by such Affected Party, the Seller shall pay (or to the extent the Seller does not make such payment the Servicer shall pay) to such Affected Party
such additional amount or amounts as may be necessary to reimburse such Affected Party for any amounts payable or paid by it. 
 (d) In determining any amount provided for in this Section 2.16, the Affected Party may use any reasonable averaging and attribution methods. Any Affected Party making a claim under this Section 2.16 shall submit to
the Seller and the Servicer a written description as to such additional or increased cost or reduction and the calculation thereof, which written description shall be conclusive absent demonstrable error. 
 (e) If the applicable Purchaser or Swingline Purchaser shall notify their respective Purchaser Agent (or, in the case of the Swingline
Purchaser, the Administrative Agent) that a Eurodollar Disruption Event as described in clause (a) of the definition of “Eurodollar Disruption Event” has occurred, the applicable Purchaser Agent or the Administrative Agent shall in
turn so notify the Seller and the Servicer, whereupon all Advances Outstanding of the affected Purchaser or Swingline Purchaser in respect of which Interest accrues at the Adjusted Eurodollar Rate shall immediately be converted into Advances
Outstanding in respect of which Interest accrues at the Base Rate. 
 Section 2.17. Taxes. 
 (a) All payments made by an Obligor in respect of an Asset and all payments made by the Seller or made by the Servicer on behalf of the
Seller under this Agreement will be made free and clear of and without deduction or withholding for or on account of any Taxes. If any Taxes are required to be withheld from any amounts payable to the Administrative Agent, the Purchaser Agents, any
Affected Party or any Secured Party, then the amount payable to such Person will be increased (such increase, the “Additional Amount”) such that every net payment made under this Agreement after withholding for or on account of

  

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 any Taxes (including, without limitation, any Taxes on such increase) is not less than the amount that
would have been paid had no such deduction or withholding been deducted or withheld. The foregoing obligation to pay Additional Amounts, however, will not apply with respect to net income or franchise taxes imposed on the Purchasers, any Affected
Party, the Administrative Agent or the Purchaser Agents, respectively, with respect to payments required to be made by the Seller or Servicer under this Agreement, by a taxing jurisdiction in which the Purchasers, any Affected Party, the
Administrative Agent or the Purchaser Agents, are organized, conducts business or is paying taxes (as the case may be). 
 (b)
The Seller will indemnify (and to the extent the indemnification provided by the Seller is insufficient the Servicer will indemnify) each Affected Party for the full amount of Taxes payable by such Person in respect of Additional Amounts and any
liability (including penalties, interest and expenses) arising therefrom or with respect thereto. All payments in respect of this indemnification shall be made within ten days from the date a written invoice therefor is delivered to the Seller and
the Servicer. 
 (c) Within 30 days after the date of any payment by the Seller or by the Servicer on behalf of the Seller of
any Taxes, the Seller or the Servicer, as applicable, will furnish to the Administrative Agent and each of the Purchaser Agents at the applicable address set forth on Annex A to this Agreement, appropriate evidence of payment thereof.

 (d) If a Purchaser is not created or organized under the laws of the United States or a political subdivision thereof, such
Purchaser shall deliver to the Seller, with a copy to the Administrative Agent, (i) within 15 days after the date hereof, two (or such other number as may from time to time be prescribed by Applicable Laws) duly completed copies of IRS Form
W-8BEN or Form W-8ECI (or any successor forms or other certificates or statements that may be required from time to time by the relevant United States taxing authorities or Applicable Laws), as appropriate, to permit the Seller to make payments
hereunder for the account of such Purchaser without deduction or withholding of United States federal income or similar Taxes and (ii) upon the obsolescence of or after the occurrence of any event requiring a change in, any form or certificate
previously delivered pursuant to this Section 2.17(d), copies (in such numbers as may from time to time be prescribed by Applicable Laws or regulations) of such additional, amended or successor forms, certificates or statements as may be
required under Applicable Laws or regulations to permit the Seller or the Servicer to make payments hereunder for the account of such Purchaser without deduction or withholding of United States federal income or similar Taxes. 
 (e) If, in connection with an agreement or other document providing liquidity support, credit enhancement or other similar support to the
Purchasers or the Swingline Purchaser in connection with this Agreement or the funding or maintenance of Advances or Swingline Advances hereunder, the Purchasers or the Swingline Purchaser are required to compensate a bank or other financial

  

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 institution in respect of Taxes under circumstances similar to those described in this
Section 2.17, then, within ten days after demand by the Purchasers, the Seller shall pay (or to the extent the Seller does not make such payment the Servicer shall pay) to the Purchasers such additional amount or amounts as may be
necessary to reimburse the Purchasers for any amounts paid by them. 
 (f) Without prejudice to the survival of any other
agreement of the Seller and the Servicer hereunder, the agreements and obligations of the Seller and the Servicer contained in this Section 2.17 shall survive the termination of this Agreement. 
 Section 2.18. Assignment of the Sale Agreement. 
 The Seller hereby assigns to the Trustee, for the ratable benefit of the Secured Parties hereunder, all of the Seller’s right, title and interest in and to, but none of its obligations under, the Sale Agreement
and any UCC financing statements filed under or in connection therewith. In furtherance and not in limitation of the foregoing, the Seller hereby assigns to the Trustee for the benefit of the Secured Parties its right to indemnification under
Article IX of the Sale Agreement. The Seller confirms that the Trustee on behalf of the Secured Parties shall have the sole right to enforce the Seller’s rights and remedies under the Sale Agreement and any UCC financing statements filed
under or in connection therewith for the benefit of the Secured Parties. 
 Section2.19. Substitution of Assets; Repurchase or
Substitution of Warranty Assets: Repurchase of Charged-Off Loans. 
 (a) Substitution of Assets. On any day
prior to the occurrence of a Termination Event (and after the Termination Date at the sole discretion of the Administrative Agent), the Seller may, subject to the conditions set forth in this Section 2.19 and subject to the other
restrictions contained herein, replace any Asset with one or more Eligible Assets (each, a “Substitute Asset”); provided, that no such replacement shall occur unless each of the following conditions is satisfied as of
the date of such replacement and substitution: 
 (i) the Seller has recommended to the Administrative Agent (with a copy to
the Trustee and the Backup Servicer) in writing that the Asset to be replaced should be replaced (each a “Replaced Asset”); 
 (ii) each Substitute Asset is an Eligible Asset on the date of substitution; 
 (iii) after
giving effect to any such substitution, the Advances Outstanding do not exceed the lesser of (i) the Facility Amount and (ii) the Maximum Availability; 
 (iv) for purposes only of substitutions pursuant to Section 219(b) undertaken because an Asset has become a Warranty Asset,
the sum of the Principal Balances of such Substitute Assets shall be equal to or greater than the sum of the Principal Balances of the Replaced Assets; 
  

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 (v) for purposes only of substitutions pursuant to Section 2.19(b)
undertaken because an Asset has become a Warranty Asset, such Substitute Assets, at the time of substitution by the Seller, shall have no greater Weighted Average Life than the Replaced Assets; 
 (vi) all representations and warranties of the Seller contained in Section 4.1 and Section 4.2 shall be true and
correct as of the date of substitution of any such Substitute Asset; 
 (vii) the substitution of any Substitute Asset does
not cause a Termination Event or Unmatured Termination Event to occur; 
 (viii) the sum of (1) the Principal Balances
of all Assets that are Substitute Assets plus (2) the Principal Balances of all Assets that have been sold pursuant to Discretionary Sales does not exceed 15% of the highest Principal Collateral Value of any month during the 12 month period
immediately preceding such date of determination; 
 (ix) the sum of the Principal Balances of all Substitute Assets
substituted for Delinquent Loans, Charged-Off Loans and Warranty Assets shall not exceed 10% of the highest Principal Collateral Value of any month during the 12 month period immediately preceding such date of determination; 
 (x) the Seller shall deliver to the Administrative Agent on the date of such substitution a certificate of a Responsible Officer
certifying that each of the foregoing is true and correct as of such date; and 
 (xi) each Asset that is replaced pursuant
to the terms of this Section 2.19 shall be substituted only with another Asset that meets the foregoing conditions. 
 In
addition, the Seller shall in connection with such substitution deliver the related Required Loan Documents to the Trustee and the related Servicing File to the Servicer. In connection with any such substitution, the Trustee, on behalf of the
Secured Parties, shall, automatically and without further action, be deemed to transfer to the Seller, free and clear of any Lien created pursuant to this Agreement, all of the right, title and interest of the Trustee, for the benefit of the Secured
Parties, in, to and under such Replaced Asset, but without any other representation and warranty of any kind, express or implied. 
 (b) Repurchase or Substitution of Warranty Assets. If on any day an Asset is (or becomes) a Warranty Asset, no later than 30 Business Days following the earlier of knowledge by the Seller of such Asset becoming a Warranty Asset or
receipt by the Seller from the Administrative Agent or the Servicer of written notice thereof, the Seller shall either: (i) make a deposit to the Collection Account (for allocation pursuant to Section 2.10 or
Section 2.11, as applicable) in immediately available funds in an amount equal to the sum of (a) the Principal Balance of such Asset, (b) any outstanding Servicer Advance thereon, (c) any 
  

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 accrued and unpaid interest thereon, (d) all Hedge Breakage Costs arising as a result thereof and
owed to the relevant Hedge Counterparty for any termination of one or more Hedge Transactions, in whole or in part, as required by the terms of any Hedging Agreement and (e) any costs and damages incurred by the Administrative Agent or by any
Purchaser in connection with any violation by such Asset of any predatory-or abusive-lending law which is an Applicable Law (collectively, the “Retransfer Price”); or (ii) subject to the satisfaction of the conditions in
Section 2.19(a), substitute for such Warranty Asset a Substitute Asset. In either of the foregoing instances, the Seller may (in its discretion) accept retransfer of each such Warranty Asset and any Related Property and the Borrowing
Base shall be reduced by the Principal Balance of each such Warranty Asset and, if applicable, increased by the Principal Balance of each Substitute Asset. Upon confirmation of the deposit of such Retransfer Price into the Collection Account or the
delivery by the Seller of a Substitute Asset for each Warranty Asset (the “Retransfer Date”), such Warranty Asset shall not be included in the Borrowing Base (and, if and when the Seller elects to accept the retransfer of such
Warranty Asset and Related Property) and, as applicable, the Substitute Asset shall be included in the Collateral. Upon the Retransfer Date of each Warranty Asset, the Trustee, on behalf of the Secured Parties, shall (if and when the Seller elects
to accept the retransfer of such Warranty Asset) automatically and without further action be deemed to transfer, assign and set- over to the Seller, without recourse, representation or warranty, all the right, title and interest of the Trustee, for
the benefit of the Secured Parties in, to and under such Warranty Asset and all future monies due or to become due with respect thereto, the Related Property, all Proceeds of such Warranty Asset, and Recoveries relating thereto, all rights to
security for any such Warranty Asset, and all Proceeds and products of the foregoing. 
 (c) Repurchase of Charged-Off Loans.

 (i) In the event a Loan becomes a Charged-Off Loan, on the immediately following Payment Date, the Servicer is hereby
granted an assignable option (a “Purchase Option”) to purchase such Charged-Off Loan at a price (the “Option Price”) equal to the Fair Market Value thereof. The Servicer may sell, transfer, assign or otherwise
convey its Purchase Option with respect to any Charged-Off Loan to any party at any time after the related Loan becomes a Charged-Off Loan. The Servicer shall notify the Trustee, the Administrative Agent and the Purchaser Agents of such transfer and
such notice shall include the transferee’s name, address, telephone number, facsimile number and appropriate contact person(s) and shall be acknowledged in writing by the transferee. If not exercised earlier, the Purchase Option with respect to
any Charged- Off Loan shall automatically terminate (i) once the related Charged-Off Loan is no longer a Charged-Off Loan; provided, however, that if such Loan subsequently becomes a Charged-Off Loan, the related Purchase
Option shall again be exercisable, (ii) upon the acquisition, by or on behalf of the Seller, of title to the Related Property through foreclosure or deed in 
  

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 lieu of foreclosure, (iii) the modification or pay-off, in full or at a discount, of such
Charged-Off Loan in connection with a workout, (iv) upon a repurchase of a Charged-Off Loan by the Originator due to the Originator’s breach of a representation with respect to such Charged-Off Loan in the Sale Agreement or (v) on the
Business Day immediately preceding the last day of the next calendar quarter after the Payment Date upon which the related Purchase Option was triggered. The sum of the Principal Balances of Loans with respect to which the Servicer may exercise its
Purchase Option on any date of determination before the Termination Date shall not exceed 10% of the highest Principal Collateral Value of any month during the 12 month period immediately preceding such date of determination. 
 (ii) Upon a Loan becoming a Charged-Off Loan, the Servicer or its assignee, as applicable, may exercise the Purchase Option by providing
the Trustee, the Backup Servicer, the Administrative Agent and the Purchaser Agents at least five days prior written notice thereof (the “Purchase Option Notice”), which notice shall specify a cash exercise price at least equal to
the Option Price. The Purchase Option Notice shall be delivered in the manner specified in Section 2.19(c)(i). The exercise of any Purchase Option pursuant to this clause (ii) shall be irrevocable. 
 (iii) Unless and until the Purchase Option with respect to a Charged-Off Loan is exercised, the Servicer shall pursue such other
resolution strategies available hereunder with respect to such Charged-Off Loan, including, without limitation, workout and foreclosure, as the Servicer may deem appropriate and consistent with the Servicing Standard, in each case with a view
towards the maximization of the recovery on such Loan to the Secured Parties (as a collective whole) on a present value basis. 
 (iv) The Servicer shall act on behalf of the Trustee and the Secured Parties in negotiating and taking any other action necessary or appropriate in connection with the exercise of a Purchase Option, including the collection of all amounts
payable in connection therewith. Any sale of a Charged-Off Loan (pursuant to a Purchase Option) shall be without recourse to, or representation or warranty by, the Trustee, the Originator, the Servicer or the Seller. 
 (v) Upon exercise of a Purchase Option, the Servicer or its assignee, as applicable, shall be required to pay the Option Price on the
Payment Date immediately following the date the Servicer or its assignee, as applicable, exercises its Purchase Option, and the Option Price shall be deposited into the Collection Account. Upon receipt of a request for release and receipt of
documents, the Trustee shall release or cause to be released to the Servicer or its assignee, as applicable, the related Loan File. 
  

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 (vi) The Servicer may sell or purchase, or permit the sale or purchase of, a Charged-Off
Loan only on the terms and subject to the conditions set forth in this Section 2.19. 
 (d) In connection with any
Replaced Asset, Warranty Asset or Charged-Off Loan replaced, retransferred or purchased pursuant to this Section 2.19, on the related date thereof, the Trustee, on behalf of the Secured Parties, shall, at the expense of the Seller and
upon receipt of an Officer’s Certificate of the Servicer that all applicable provisions of this Section 2.19 have been fully complied with, (i) execute such instruments of release with respect to the portion of the Collateral to be so
replaced, retransferred or purchased to the Seller, in recordable form if necessary, in favor of the Seller as the Seller or Servicer may reasonably request, (ii) deliver any portion of the Collateral to be so replaced, retransferred or
purchased to the Seller in its possession to the Seller and (iii) otherwise take such actions as requested by the Servicer and as are reasonably necessary and appropriate to release the Lien of the Trustee for the benefit of the Secured Parties
on the portion of the Collateral to be so replaced, retransferred or purchased to the Seller and release and deliver to the Seller such portion of the Collateral to be so replaced, retransferred or purchased to the Seller. 
 Section 2.20. Optional Sales. 
 (a) Prior to the occurrence of an Unmatured Termination Event or a Termination Event, on any Optional Sale Date, the Seller shall have the right to prepay all or a portion of the Advances Outstanding in connection
with the transfer, assignment and release to the Seller by the Trustee, on behalf of the Secured Parties, of the Collateral (each, an “Optional Sale”), subject to the following terms and conditions: 
 (i) The Seller shall have given the Administrative Agent (with a copy to the Trustee and the Backup Servicer) at least 45 Business
Days’ prior written notice of its intent to effect an Optional Sale, unless such notice is waived or reduced by the Administrative Agent; 
 (ii) Any Optional Sale shall be in connection with a Term Securitization; 
 (iii) Unless an
Optional Sale is to be effected on a Payment Date (in which case the relevant calculations with respect to such Optional Sale shall be reflected on the applicable Servicing Report), the Servicer shall deliver to the Administrative Agent a
certificate and evidence to the reasonable satisfaction of the Administrative Agent (with a copy to the Trustee) (which evidence may consist solely of a certificate from the Servicer) that the Seller shall have sufficient funds on the related
Optional Sale Date to effect the contemplated Optional Sale in accordance with this Agreement. In effecting an Optional Sale, the Seller may use the Proceeds of sales of the Collateral; 
  

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 (iv) After giving effect to the Optional Sale and the assignment to the Seller of the
Collateral on any Optional Sale Date, (a) the remaining Advances Outstanding shall not exceed the lesser of the Facility Amount and the Maximum Availability, (b) the representations and warranties contained in Section 4.1
hereof shall continue to he correct in all material respects, except to the extent relating to an earlier date and (c) neither an Unmatured Termination Event nor a Termination Event shall have resulted; 
 (v) On the related Optional Sale Date, the Administrative Agent, the Swingline Purchaser, each Purchaser Agent on behalf of the
applicable Purchaser, the Hedge Counterparties, the Trustee and the Backup Servicer, as applicable, shall have received, as applicable, in immediately available funds, an amount equal to the sum of (a) the portion of the Advances Outstanding to
be prepaid that are attributable to the Collateral to be sold by the Seller in connection with such Optional Sale plus (b) an amount equal to all unpaid Interest to the extent reasonably determined by the Administrative Agent and the Purchaser
Agents to be attributable to that portion of the Advances Outstanding to be paid in connection with the Optional Sale plus (c) an aggregate amount equal to the sum of all other amounts due and owing to the Administrative Agent, the Trustee,
and the Backup Servicer, the Purchaser Agents, the applicable Purchaser, the Affected Parties and the Hedge Counterparties, as applicable, under this Agreement and the other Transaction Documents, to the extent accrued to such date and to accrue
thereafter to the next Payment Date (including, without limitation, Breakage Costs, Hedge Breakage Costs and any other payments owing to the Hedge Counterparties in respect of the termination of any Hedge Transaction) in each case to the extent
attributable to the Collateral to be sold by the Seller in connection with such Optional Sale; provided, that the Administrative Agent and each Purchaser Agent shall have the right to determine whether the amount paid (or proposed to
be paid) by the Seller on the Optional Sale Date is sufficient to satisfy the requirements of clauses (iii),(iv) and (v) and is sufficient to reduce the Advances Outstanding to the extent requested by the Seller in connection
with the Optional Sale; and 
 (vi) On or prior to each Optional Sale Date, the Seller shall have delivered to the
Administrative Agent a list specifying all Assets to be sold and assigned pursuant to such Optional Sale. 
 (b) In connection
with any Optional Sale, following receipt by the Purchaser Agents, the Swingline Purchaser, the Hedge Counterparties, the Trustee, the Backup Servicer and the Administrative Agent of the amounts referred to in clause (v) above, there
shall be transferred, assigned and set-over to the Seller without recourse, representation or warranty all of the right, title and interest of the Trustee for the benefit of the Secured Parties, in, to and under the portion of the Collateral so
retransferred and such portion of the Collateral so retransferred shall be released from the Lien of this Agreement (subject to the requirements of clause (iv) above). 
  

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 (c) The Seller hereby agrees to pay the reasonable legal fees and expenses of the
Administrative Agent, the Trustee, each Purchaser Agent and the Secured Parties in connection with any Optional Sale (including, but not limited to, expenses incurred in connection with the release of the Lien of the Trustee, for the benefit of the
Secured Parties, and any other party having an interest in the Collateral in connection with such Optional Sale). 
 (d) In
connection with any Optional Sale, on the related Optional Sale Date, the Trustee, on behalf of the Secured Parties, shall, at the expense of the Seller (i) execute such instruments of release with respect to the portion of the Collateral to be
retransferred to the Seller, in recordable form if necessary, in favor of the Seller as the Seller may reasonably request, (ii) deliver any portion of the Collateral to be retransferred to the Seller in its possession to the Seller and
(iii) otherwise take such actions as may be reasonably requested by the Seller or Servicer, on the Seller’s behalf, as are necessary and appropriate to release the Lien of the Trustee for the benefit of the Secured Parties on the portion
of the Collateral to be retransferred to the Seller and release and deliver to the Seller such portion of the Collateral to be retransferred to the Seller. 
 Section 2.21. Discretionary Sales. 
 (a) Prior to the occurrence of an
Unmatured Termination Event or a Termination Event, on any Discretionary Sale Date, the Seller shall have the right to prepay all or a portion of the Advances Outstanding in connection with the transfer, assignment and release to the Seller by the
Trustee, on behalf of the Secured Parties, of the Collateral (each, an “Discretionary Sale”), subject to the following terms and conditions: 
 (i) At least one Business Day prior to each Discretionary Sale Date, the Seller shall have given the Administrative Agent (with a copy to
the Trustee and the Backup Servicer) written notice of its intent to effect a Discretionary Sale (each such notice a “Discretionary Sale Notice”), specifying the Discretionary Sale Date and including a list of all Assets to be sold
and assigned pursuant to such Discretionary Sale; 
 (ii) Any Discretionary Sale shall be made by the Seller to an
unaffiliated third party purchaser in a transaction (i) reflecting arms-length market terms and (ii) in which the Seller makes no representations, warranties or covenants and provides no indemnification for the benefit of any other party
to the Discretionary Sale; 
 (iii) No Discretionary Sale shall be made unless the Principal Collateral Value is greater than
$150,000,000 at such date of determination; 
  

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 (iv) The Servicer shall deliver to the Administrative Agent (with a copy to the Trustee
and the Backup Servicer) a certificate and evidence to the reasonable satisfaction of the Administrative Agent (which evidence may consist solely of a certificate from the Servicer) that (x) the Seller shall have sufficient funds on the related
Discretionary Sale Date to effect the contemplated Discretionary Sale in accordance with this Agreement (unless an Discretionary Sale is to be effected on a Payment Date (in which case the relevant calculations with respect to such Discretionary
Sale shall be reflected on the applicable Servicing Report)), and (y) the aggregate Principal Balance of the Asset or Assets which are the subject of the proposed Discretionary Sale, together with the aggregate Principal Balance of the Asset or
Assets sold in all other Discretionary Sales made in the preceding 12 month period, shall not exceed 7.5% of the highest Principal Collateral Value of any month during the 12 month period immediately preceding such date of determination. In
effecting an Discretionary Sale, the Seller may use the Proceeds of sales of the Collateral to satisfy its remittance obligations hereunder; 
 (v) After giving effect to the Discretionary Sale and the assignment to the Seller of the Collateral on any Discretionary Sale Date, (a) the remaining Advances Outstanding shall not exceed the lesser of the
Facility Amount and the Maximum Availability, (b) the representations and warranties contained in Section 4.1 hereof shall continue to be correct in all material respects, except to the extent relating to an earlier date and
(c) neither an Unmatured Termination Event nor a Termination Event shall have resulted; 
 (vi) After giving effect to
the Discretionary Sale, the Average Pool Delinquency Ratio shall not exceed 2.5%, the Average Pool Charged-Off Ratio shall not exceed 1.5%, and the Average Portfolio Charged-Off Ratio shall not exceed 1.75%; and 
 (vii) On the related Discretionary Sale Date, the Administrative Agent, the Swingline Purchaser, each Purchaser Agent, on behalf of the
applicable Purchaser and the Hedge Counterparties, the Trustee and the Backup Servicer shall have received, as applicable, in immediately available funds, an amount equal to the sum of (a) the portion of the Advances Outstanding to be prepaid
that are attributable to the Collateral to be sold by the Seller pursuant to this Section 2.21 plus (b) an amount equal to all unpaid Interest to the extent reasonably determined by the Administrative Agent and the Purchaser
Agents to be attributable to that portion of the Advances Outstanding to be paid in connection with the Discretionary Sale plus (c) an aggregate amount equal to the sum of all other amounts due and owing to the Administrative Agent, the
Trustee, and Backup Servicer, the Purchaser Agents, the applicable Purchaser, the Affected Parties and the Hedge Counterparties, as applicable, under this Agreement and the other Transaction Documents, to the extent accrued to 
  

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 such date and to accrue to the next Payment Date (including, without limitation, Breakage Costs, Hedge
Breakage Costs and any other payments owing to the Hedge Counterparties in respect of the termination of any Hedge Transaction) in each case, to the extent attributable to the Collateral to be sold by the Seller pursuant to this
Section 2.21; provided, that the Administrative Agent and each Purchaser Agent shall have the right to determine whether the amount paid (or proposed to be paid) by the Seller on the Discretionary Sale Date is sufficient to
satisfy the requirements of clauses (iii), (iv) and (v) and is sufficient to reduce the Advances Outstanding to the extent requested by the Seller in connection with the Discretionary Sale. 
 (b) In connection with any Discretionary Sale, following receipt by the Purchaser Agents of the amounts referred to in clause
(vii) above, there shall be transferred, assigned and set-over to the Seller without recourse, representation or warranty all of the right, title and interest of the Trustee, for the benefit of the Secured Parties in, to and under the portion
of the Collateral so retransferred and such portion of the Collateral so retransferred shall be released from the Lien of this Agreement (subject to the requirements of clauses (iii), (iv), (v) and (vi) above).

 (c) The Seller hereby agrees to pay the reasonable legal fees and expenses of the Administrative Agent, the Trustee, each
Purchaser Agent and the Secured Parties in connection with any Discretionary Sale (including, but not limited to, expenses incurred in connection with the release of the Lien of the Trustee, for the benefit of the Secured Parties and any other party
having an interest in the Collateral in connection with such Discretionary Sale). 
 (d) In connection with any Discretionary
Sale, on the related Discretionary Sale Date, the Trustee, on behalf of the Secured Parties, shall, at the expense and request of the Seller (i) execute such instruments of release with respect to the portion of the Collateral to be
retransferred to the Seller, in recordable form if necessary, in favor of the Seller as the Seller may reasonably request, (ii) deliver any portion of the Collateral to be retransferred to the Seller in its possession to the Seller and
(iii) otherwise take such actions as are necessary and appropriate to release the Lien of the Trustee for the benefit of the Secured Parties on the portion of the Collateral to be retransferred to the Seller and release and deliver to the
Seller such portion of the Collateral to be retransferred to the Seller. 
 Section 2.22. Market Gains and Market Losses.

 The Seller shall not, nor shall the Servicer on behalf of the Seller, acquire or dispose of any Asset for the primary purpose of
recognizing gains or decreasing losses resulting from market value changes. 
  

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 ARTICLE III. 
 CONDITIONS TO ADVANCES AND SWINGLINE ADVANCES 
 Section 3.1. Conditions to Closing and
lnitial Advance. 
 The Purchasers shall not be obligated to make any Advance hereunder on the occasion of the Initial Advance, nor
shall any Purchaser, Administrative Agent, the Purchaser Agents, the Trustee and the Backup Servicer be obligated to take, fulfill or perform any other action hereunder, until the following conditions have been satisfied, in the sole discretion of,
or waived in writing by, the Administrative Agent and each Purchaser Agent: 
 (a) Each Transaction Document shall have been
duly executed by, and delivered to, the parties thereto, and the Administrative Agent and each Purchaser Agent shall have received such other documents, instruments, agreements and legal opinions as the Administrative Agent and each Purchaser Agent
shall reasonably request in connection with the transactions contemplated by this Agreement, including, without limitation, all those specified in the Schedule of Documents attached hereto as Schedule I, each in form and substance
satisfactory to the Administrative Agent and each Purchaser Agent; 
 (b) The Seller, the Servicer and the Originator shall
each be in compliance in all material respects with all Applicable Laws and shall have delivered to the Administrative Agent and each Purchaser Agent as to this and other closing matters a certification in the form of Exhibits F-1 or
F-2, as applicable; 
 (c) The Seller and the Servicer shall have delivered to the Administrative Agent and each
Purchaser Agent duly executed Powers of Attorney in the form of Exhibits G-1 and G-2; 
 (d) The Seller and the
Servicer shall each have delivered to the Administrative Agent and each Purchaser Agent a certificate as to Solvency in the form of Exhibits E-1 and E-2. 
 Section 3.2. Conditions Precedent to All Advances and Swingline Advances. 
 Each Advance
or Swingline Advance to the Seller by the applicable Purchaser (each, a “Transaction”) shall be subject to the further conditions precedent that: 
 (a) (i) With respect to any Advance (including the Initial Advance) or Swingline Advance, the Servicer shall have delivered to the
Administrative Agent and each Purchaser Agent (with a copy to the Trustee), (x) in the case of an Advance, no later than 2:00 p.m. (Charlotte, North Carolina time), one Business Day prior to the related Funding Date, and (y) in the case of
a Swingline Advance, no later than 12:00 p.m. (Charlotte, North Carolina time) on the related Funding Date, in a form and substance satisfactory to the 
  

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 Administrative Agent and each Purchaser Agent, a Borrowing Notice (Exhibit A-1 or A-1-S, as
applicable), Borrowing Base Certificate, (Exhibit A-4) Asset List and Servicing Report, if applicable, and containing such additional information as may be reasonably requested by the Administrative Agent and each Purchaser Agent,
(ii) with respect to any reinvestment of Principal Collections permitted by Section 2.10(b), the Servicer shall have delivered to the Administrative Agent and each Purchaser Agent (with a copy to the Trustee) no later than 1:00 p.m.
(Charlotte, North Carolina time) on the day of any such reinvestment a Borrowing Notice (Exhibit A-2) and a Borrowing Base Certificate (Exhibit A-4) executed by the Servicer and the Seller and (iii) with respect to any reduction
in Advances Outstanding pursuant to Section 2.5(b), the Servicer shall have delivered to the Administrative Agent and each Purchaser Agent (with a copy to the Trustee) no later than 5:00 p.m. (Charlotte, North Carolina time) on the
Business Day prior to any such reduction a Borrowing Notice (Exhibit A-3) and a Borrowing Base Certificate (Exhibit A-4) executed by the Servicer and the Seller; 
 (b) On the date of such Transaction the following statements shall be true and the Seller shall be deemed to have certified that:

 (i) The representations and warranties contained in Section 4.1, Section 4.2 and
Section 4.3 are true and correct on and as of such day as though made on and as of such day and shall be deemed to have been made on such day; 
 (ii) No event has occurred and is continuing, or would result from such Transaction, that constitutes a Termination Event or Unmatured Termination Event; 
 (iii) On and as of such day, after giving effect to such Transaction, the Advances Outstanding shall not exceed the lesser of
(x) the Facility Amount and (y) the Maximum Availability, and, if such Transaction involves a Swingline Advance, the aggregate amount of Swingline Advances outstanding does not exceed $25,000,000; 
 (iv) On and as of such day, the Seller and the Servicer each has performed all of the covenants and agreements contained in this
Agreement to be performed by such person at or prior to such day; 
 (v) No Applicable Law shall prohibit, and no order,
judgment or decree of any federal, state or local court or governmental body, agency or instrumentality shall prohibit or enjoin, the making of such Advance, incremental Advance or Swingline Advance by the Purchaser or the Swingline Purchaser in
accordance with the provisions hereof, the reduction of Advances Outstanding, the reinvestment of Principal Collections or any other transaction contemplated herein; 
  

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 (c) The Seller shall cause any assignment or Transfer Document for any Loan to be in the
possession of the Trustee within two Business Days after any related Funding Date and all other Required Loan Documents (including any UCCs included in the Required Loan Documents) to be in the possession of the Trustee within the earlier of two
Business Days after the date specified for delivery of such Required Loan Documents to the Originator or the Seller, as applicable, in the Underlying Instruments or seven Business Days after any related Funding Date as to any Additional Assets;

 (d) The Seller shall not have requested the Termination Date to occur; 
 (e) The Facility Termination Date shall not have occurred; 
 (f) On the date of such Transaction, the Administrative Agent and each Purchaser Agent shall have received such other approvals, opinions
or documents as the Administrative Agent and each Purchaser Agent may reasonably require; 
 (g) The Administrative Agent
shall have received from the Seller all hedging confirms relating thereto, if any are then required hereunder; 
 (h) The
Seller and Servicer shall have delivered (or caused to be delivered) to the Trustee, the Administrative Agent and each Purchaser Agent, as applicable, all reports required to be delivered as of the date of such Transaction including, without
limitation, all deliveries required by Section 2.2 or 2.3, as applicable; 
 (i) The Seller shall have paid
all fees required to be paid, including all fees required hereunder and under the VFCC Fee Letter and any additional Purchaser Agent Fee Letter and shall have reimbursed the Purchasers, the Administrative Agent and each Purchaser Agent for all
reasonable fees, costs and expenses of closing the transactions contemplated hereunder and under the other Transaction Documents, including the reasonable attorney fees and any other legal and document preparation costs incurred by the Purchasers,
the Administrative Agent and each Purchaser Agent; 
 (j) In the case of each Swingline Advance, the Administrative Agent
shall have consented to such Swingline Advance; and 
 (k) The Seller shall have delivered to the Administrative Agent and
each Purchaser Agent an Officer’s Certificate (which may be part of the Borrowing Notice) in form and substance reasonably satisfactory to the Administrative Agent and each Purchaser Agent certifying that each of the foregoing conditions
precedent has been satisfied or, with respect to Section 3.2(c), will be satisfied as required thereby. 
 The failure of the
Seller to satisfy any of the foregoing conditions precedent in respect of any Advance or Swingline Advance shall give rise to a right of the Administrative Agent and the 
  

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 applicable Purchaser Agent (or, in the case of a Swingline Advance, the Administrative Agent), which right may be
exercised at any time on the demand of the applicable Purchaser Agent (or, in the case of a Swingline Advance, the Administrative Agent), to rescind the related Advance or Swingline Advance and direct the Seller to pay to the Administrative Agent
for the benefit of the applicable Purchaser or Swingline Purchaser an amount equal to the Advances or Swingline Advances made during any such time that any of the foregoing conditions precedent were not satisfied. 
 Section 3.3. Custodianship; Transfer of Loans, Bonds and Permitted Investments. 
 (a) The Trustee on behalf of the Secured Parties shall hold all Certificated Securities (whether Loans, Bonds, Equity Interests or
Permitted Investments) and Instruments in physical form at the office of the Trustee in Boston, Massachusetts or the office of the Trustee in Florence, South Carolina at the addresses specified in Schedule III hereto. Any successor Trustee
shall be a state or national bank or trust company which is not an Affiliate of the Seller and which is a Qualified Institution. 
 (i) Each time that the Seller shall direct or cause the acquisition of any Bond or Permitted Investment, the Seller shall, if such Bond or Permitted Investment has not already been transferred in accordance with its Underlying Instruments
(including obtaining any necessary consents) to the Custodial Account or Collection Account (with respect to Permitted Investments), cause the transfer of such Bond or Permitted Investment) in accordance with its Underlying Instruments (including
obtaining any necessary consents) to the Trustee to be held in the Custodial Account or Collection Account, as applicable, for the benefit of the Secured Parties in accordance with the terms of this Agreement. The security interest of the Trustee,
for the benefit of the Secured Parties, in the funds or other property utilized in connection with such acquisition shall, immediately and without further action on the part of the Trustee, be released. The security interest of the Trustee, for the
benefit of the Secured Parties, shall nevertheless come into existence and continue in the Bond or Permitted Investment so acquired, including all rights of the Seller in and to any contracts related to and proceeds of such Bond or Permitted
Investment. 
 The Seller shall cause all Bonds acquired by the Seller to be transferred to the Trustee, for the benefit of
the Secured Parties, for credit to the Custodial Account and Permitted Investments to be credited to the appropriate Account, and shall cause all Loans and Equity Interests acquired by the Seller to be delivered to the Trustee, for the benefit of
the Secured Parties, by one of the following means (and shall take any and all other actions necessary to create in favor of the Trustee, for the benefit of the Secured Parties, a valid, perfected, first priority security interest in each Loan, Bond
and Permitted Investment Granted to the Trustee, for the benefit of the Secured Parties, under laws and regulations 
  

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 (including without limitation Articles 8 and 9 of the UCC, as applicable) in effect at the time of such
Grant): 
 (i) in the case of an Instrument or a Certificated Security represented by a Security Certificate in registered
form by having it specially Indorsed to the Trustee or in blank by an effective Indorsement or registered in the name of the Trustee and by (A) delivering such Instrument or Security Certificate to the Trustee in the Commonwealth of
Massachusetts or the State of South Carolina and (B) causing the Trustee to maintain continuous possession of such Investment or Security Certificate in the Commonwealth of Massachusetts or the State of South Carolina; 
 (ii) in the case of an Uncertificated Security, by (A) causing the Trustee to become the registered owner of such Uncertificated
Security and (B) causing such registration to remain effective; 
 (iii) in the case of any Security Entitlement, by
causing the Trustee to become the Entitlement Holder of such Security Entitlement; 
 (iv) in the case of general intangibles
(including any loan not evidenced by an Instrument and any Participation in which neither the Participation nor the underlying debt are evidenced by any Instrument) by (A) if required by the Required Loan Documents, notifying the Obligor (and,
in the case of a Participation, both the institution which has sold the Participation and the Obligor of the debt underlying the Participation) thereunder of the transfer and (B) filing, maintaining and continuing the effectiveness of, a
financing statement naming the Seller as debtor and the Trustee as secured party and describing the Loan, Bond or Permitted Investment (as the case may be) as the collateral at the filing office of the Secretary of State for the State of Delaware;

 (v) in the case of a Participation which represents 100% of the beneficial ownership of the underlying debt and in which
the underlying debt is evidenced by an Instrument which is delivered to the Trustee by taking the actions specified in clause (i) with respect to such Instrument; and 
 (vi) in the case of a Participation which represents 100% of the beneficial ownership of the underlying debt and in which the underlying
debt is evidenced by an Instrument which is not delivered to the Trustee, by causing the Selling Institution to authenticate a record (within the meaning of Section 9-313(c) of the UCC) acknowledging that it holds possession of such Instrument
for the benefit of the Trustee; and 
 (vii) in the case of a Participation which represents less than 100% of the beneficial
ownership of the underlying debt, (A) if the 
  

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 underlying debt is evidenced by an Instrument which is delivered to the Trustee, by taking the actions
specified in clause (i) (with the Instrument to be Indorsed in blank) and by causing the Trustee to maintain continuous possession of such Investment in the Commonwealth of Massachusetts or the State of South Carolina for the benefit of the
Trustee on behalf of the Secured Parties (to the extent of the Participation) and for the benefit of the other beneficial owners thereof, and (B) if the underlying debt is evidenced by an Instrument which is not delivered to the Trustee, by
causing the Selling Institution to authenticate a record (within the meaning of Section 9-313(c) of the UCC) acknowledging that it holds possession of such Instrument for the benefit of the Trustee on behalf of the Secured Parties (to the
extent of the Participation) and for the other beneficial owners thereof. 
 ARTICLE IV. 
 REPRESENTATIONS AND WARRANTIES 
 Section 4.1. Representations and Warranties of the Seller. 
 The Seller represents and warrants as follows as of
the Closing Date, each Funding Date, and as of each other date provided under this Agreement or the other Transaction Documents on which such representations and warranties are required to be (or deemed to be) made: 
 (a) Organization and Good Standing. The Seller has been duly organized, and is validly existing as a limited liability company in
good standing, under the laws of the State of Delaware, with all requisite limited liability company power and authority to own or lease its properties and conduct its business as such business is presently conducted, and had at all relevant times,
and now has, all necessary power, authority and legal right to acquire, own and sell the Collateral. 
 (b) Due
Qualification. The Seller is duly qualified to do business and is in good standing as a limited liability company, and has obtained all necessary qualifications, licenses and approvals, in all jurisdictions in which the ownership or lease of
property or the conduct of its business requires such qualification, licenses or approvals. 
 (c) Power and Authority; Due
Authorization; Execution and Delivery. The Seller (i) has all necessary limited liability company power, authority and legal right to (a) execute and deliver this Agreement and the other Transaction Documents to which it is a party,
(b) carry out the terms of the Transaction Documents to which it is a party, (c) sell and assign an ownership interest in the Collateral, and (d) receive Advances and Swingline Advances and sell the Collateral on the terms and
conditions provided herein and (ii) has duly authorized by all necessary limited liability company action, the execution, delivery and performance of this Agreement and the other Transaction Documents 
  

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 to which it is a party and the sale and assignment of an ownership interest in the Collateral on the
terms and conditions herein provided. This Agreement and each other Transaction Document to which the Seller is a party have been duly executed and delivered by the Seller. 
 (d) Binding Obligation. This Agreement and each other Transaction Document to which the Seller is a party constitutes a legal,
valid and binding obligation of the Seller enforceable against the Seller in accordance with its respective terms, except as such enforceability may be limited by Insolvency Laws and by general principles of equity (whether considered in a suit at
law or in equity). 
 (e) No Violation. The consummation of the transactions contemplated by this Agreement and the
other Transaction Documents to which it is a party and the fulfillment of the terms hereof and thereof will not (i) conflict with, result in any breach of any of the terms and provisions of, or constitute (with or without notice or lapse of
time or both) a default under, the Seller’s certificate of formation, operating agreement or any Contractual Obligation of the Seller, (ii) result in the creation or imposition of any Lien (other than Permitted Liens) upon any of the
Seller’s properties pursuant to the terms of any such Contractual Obligation, other than this Agreement, or (iii) violate any Applicable Law. 
 (f) No Proceedings. There is no litigation, proceeding or investigation pending or, to the best knowledge of the Seller, threatened against the Seller, before any Governmental Authority (i) asserting the
invalidity of this Agreement or any other Transaction Document to which the Seller is a party, (ii) seeking to prevent the consummation of any of the transactions contemplated by this Agreement or any other Transaction Document to which the
Seller is a party or (iii) seeking any determination or ruling that could reasonably be expected to have Material Adverse Effect. 
 (g) All Consents Required. All approvals, authorizations, consents, orders, licenses or other actions of any Person or of any Governmental Authority (if any) required for the due execution, delivery and
performance by the Seller of this Agreement and any other Transaction Document to which the Seller is a party have been obtained. 
 (h) Bulk Sales. The execution, delivery and performance of this Agreement and the transactions contemplated hereby do not require compliance with any “bulk sales” act or similar law by Seller. 
 (i) Solvency. The Seller is not the subject of any Insolvency Proceedings or Insolvency Event. The transactions under this
Agreement and any other Transaction Document to which the Seller is a party do not and will not render the Seller not Solvent and the Seller shall deliver to the Administrative Agent and each Purchaser Agent on the Initial Closing Date a
certification in the form of Exhibit E-1. 
  

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 (j) Selection Procedures. No procedures believed by the Seller to be adverse to
the interests of the Purchaser were utilized by the Seller in identifying and/or selecting the Assets in the Collateral. In addition, each Loan shall have been underwritten in accordance with and satisfy the standards of any Credit and Collection
Policy that has been established by the Originator and is then in effect. 
 (k) Taxes. The Seller has filed or caused
to be filed all tax returns that are required to be filed by it. The Seller has paid or made adequate provisions for the payment of all Taxes and all assessments made against it or any of its property (other than any amount of Tax the validity of
which is currently being contested in good faith by appropriate proceedings and with respect to which reserves in accordance with GAAP have been provided on the books of the Seller), and no tax lien has been filed and, to the Seller’s
knowledge, no claim is being asserted, with respect to any such Tax, fee or other charge. 
 (l) Exchange Act Compliance;
Regulations T, U and X. None of the transactions contemplated herein (including, without limitation, the use of the proceeds from the sale of the Collateral) will violate or result in a violation of Section 7 of the Exchange Act, or any
regulations issued pursuant thereto, including, without limitation, Regulations T, U and X of the Board of Governors of the Federal Reserve System, 12 C.F.R., Chapter II. The Seller does not own or intend to carry or purchase, and no proceeds from
the Advances or the Swingline Advances or Swingline Advances will be used to carry or purchase, any “margin stock” within the meaning of Regulation U or to extend “purpose credit” within the meaning of Regulation U. 

(m) Security Interest. 
 (i) This Agreement creates a valid and continuing security interest (as defined in the applicable UCC) in the Collateral in favor of the Trustee, on behalf of the Secured Parties, which security interest is prior to
all other Liens (except for Permitted Liens), and is enforceable as such against creditors of and purchasers from the Seller; 
 (ii) the Collateral is comprised of “instruments”, “security entitlements”, “general intangibles”, “tangible chattel paper”, “accounts”, “certificated securities”,
“uncertificated securities” or “securities accounts” (each as defined in the applicable UCC) and/or such other category of collateral under the applicable UCC as to which the Seller has complied with its obligations under
Section 4.1(m)); 
 (iii) with respect to Collateral that constitute “security entitlements”:

 (1) all of such security entitlements have been credited to one of the Accounts and the securities intermediary for each
Account has agreed to treat all assets credited to such Account as “financial assets” within the meaning of the applicable UCC; 
  

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 (2) the Seller has taken all steps necessary to cause the securities intermediary to
identify in its records the Trustee as the Person having a security entitlement against the securities intermediary in each of the Accounts; and 
 (3) the Accounts are not in the name of any Person other than the Seller, subject to the lien of the Trustee. The Seller has not authorized or allowed the securities intermediary of any Account to comply with the
entitlement order of any Person other than the Trustee; provided that until the Trustee delivers a notice of exclusive control under the Securities Account Control Agreement, the Seller and the Servicer may cause cash in the Accounts to be invested
in Permitted Investments. 
 (iv) all Accounts constitute “securities accounts” as defined in the applicable UCC;

 (v) the Seller owns and has good and marketable title to the Collateral free and clear of any Lien (other than Permitted
Liens), claim or encumbrance of any Person; 
 (vi) the Seller has received all consents and approvals required by the terms
of any Asset to the Granting of a security interest in the Assets hereunder to the Trustee, on behalf of the Secured Parties; 
 (vii) the Seller has caused the filing of all appropriate financing statements in the proper filing office in the appropriate jurisdictions under Applicable Law in order to perfect the security interest in the Collateral granted to the
Trustee, on behalf of the Secured Parties, under this Agreement; 
 (viii) other than the security interest granted to the
Trustee, on behalf of the Secured Parties, pursuant to this Agreement, the Seller has not pledged, assigned, sold, granted a security interest in or otherwise conveyed any of the Collateral. The Seller has not authorized the filing of and is not
aware of any financing statements against the Seller that include a description of collateral covering the Collateral other than any financing statement (A) relating to the security interest granted to the Seller under the Sale Agreement,
(B) relating to the closing of a Term Securitization contemplated by Section 2.20, or (C) that has been terminated. The Seller is not aware of the filing of any judgment or tax lien filings against the Seller; 
  

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 (ix) all original executed copies of each underlying promissory note that constitute or
evidence each Loan has been, or subject to the delivery requirements contained herein, will be delivered to the Trustee; 
 (x) other than in the case of Noteless Loans, with respect to Loans originated by the Originator which are sold by the Originator to the Seller, the Seller has received, or subject to the delivery requirements contained herein will receive,
a written acknowledgment from the Trustee that the Trustee or its bailee is holding the underlying promissory notes that constitute or evidence the Loans solely on behalf of and for the benefit of the Secured Parties; 
 (xi) none of the underlying promissory notes, if any, that constitute or evidence the Loans has any marks or notations indicating that
they have been pledged, assigned or otherwise conveyed to any Person other than the Trustee, on behalf of the Secured Parties; 
 (xii) with respect to Collateral that constitutes a “certificated security,” such certificated security has been delivered to the Trustee and, if in registered form, has been specially indorsed to the Trustee, on behalf of the
Secured Parties, or in blank by an effective indorsement or has been registered in the name of the Trustee, on behalf of the Secured Parties, upon original issue or registration of transfer by the Seller of such certificated security; and

 (xiii) with respect to Collateral that constitutes an “uncertificated security”, that the Seller of such
uncertificated security has registered the Trustee as the registered owner of such uncertificated security. 
 (n) Reports
Accurate. All Servicing Reports (if prepared by the Seller, or to the extent that information contained therein is supplied by the Seller), information, exhibits, financial statements, documents, books, records or reports furnished or to be
furnished by the Seller to the Administrative Agent, each Purchaser Agent or any Purchaser in connection with this Agreement are true, complete and correct. 
 (o) Location of Offices. The Seller’s location (within the meaning of Article 9 of the UCC) is Delaware. The office where the
Seller keeps all the Records is at the address of the Seller referred to in Section 13.2 hereof (or at such other locations as to which the notice and other requirements specified in Section 5.2(g) shall have been satisfied).
The Seller’s Federal Employee Identification Number is correctly set forth on Exhibit F-1. The Seller has not changed its name, whether by amendment of its certificate of formation, by reorganization or otherwise, and has not changed its
location within the four months preceding the Closing Date. 
  

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 (p) Concentration Account. The name and address of the Concentration Account Bank,
together with the account number of the Concentration Account of the Seller at such Concentration Account Bank is specified in Schedule II. The Concentration Account and the Custodial Account are the only accounts to which Collections on the
Collateral are sent. Except as contemplated by the Intercreditor Agreement, the Seller has not granted any Person other than the Administrative Agent and Trustee an interest in the Concentration Account at a future time or upon the occurrence of a
future event. 
 (q) Tradenames. The Seller has no trade names, fictitious names, assumed names or “doing business
as” names or other names under which it has done or is doing business. 
 (r) Sale Agreement. The Sale Agreement
is the only agreement pursuant to which the Seller purchases Collateral. 
 (s) Value Given. The Seller shall have
given reasonably equivalent value to the Originator or the applicable third party transferor of Collateral in consideration for the transfer to the Seller of such Collateral, no such transfer shall have been made for or on account of an antecedent
debt, and no such transfer is or may he voidable or subject to avoidance under any section of the Bankruptcy Code. 
 (t)
Accounting. The Seller accounts for the transfers to it from the Originator of interests in Collateral under the Sale Agreement as financings of such Collateral for consolidated accounting purposes (with a notation that it is treating the
transfers as a sale for legal and, where relevant, tax and all other purposes on its books, records and financial statements, in each case consistent with GAAP and with the requirements set forth herein) provided that for federal income tax
reporting purposes, the Seller is treated as a disregarded entity and therefore the transfer is not recognized. 
 (u)
Special Purpose Entity. The Seller has not and shall not: 
 (i) engage in any business or activity other than the
purchase and receipt of Collateral and related assets, the Grant of Collateral under the Transaction Documents, and such other activities as are incidental thereto; 
 (ii) acquire or own any material assets other than (a) the Collateral and related assets, (b) the ownership interests in any
REO Affiliate and (c) incidental property as may be necessary for the operation of the Seller; 
 (iii) merge into or
consolidate with any Person or dissolve, terminate or liquidate in whole or in part, transfer or otherwise dispose of all or substantially all of its assets or change its legal structure, without in each case first obtaining the consent of the
Administrative Agent and each Purchaser Agent; 
  

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 (iv) fail to preserve its existence as an entity duly organized, validly existing and in
good standing under the laws of the jurisdiction of its organization or formation, or without the prior written consent of the Administrative Agent and each Purchaser Agent, amend, modify, terminate or fail to comply with the provisions of
Sections 1.05, 1.07, 1.08, 4.02(b) and 10.01 of its operating agreement and any of the defined terms in Section 1.01 of its operating agreement that are contained in any of the above-mentioned sections
thereof, or fail to observe limited liability company formalities; 
 (v) own any Subsidiary or make any investment in any
Person other than an REO Affiliate without the consent of the Administrative Agent and each Purchaser Agent; 
 (vi) except
as permitted by this Agreement and the Intercreditor Agreement, commingle its assets with the assets of any of its Affiliates, or of any other Person; 
 (vii) incur any debt, secured or unsecured, direct or contingent (including guaranteeing any obligation), other than indebtedness to the Secured Parties hereunder or in conjunction with a repayment of all Advances or
Swingline Advances owed to the Purchasers or the Swingline Purchaser, except for trade payables in the ordinary course of its business; provided, that such debt is not evidenced by a note and is paid when due; 
 (viii) become insolvent or fail to pay its debts and liabilities from its assets as the same shall become due; 
 (ix) fail to maintain its records, books of account and bank accounts separate and apart from those of any other Person; 
 (x) enter into any contract or agreement with any Affiliate, except upon terms and conditions that are commercially reasonable and
intrinsically fair and substantially similar to those that would be available on an arms-length basis with unrelated third parties; 
 (xi) seek its dissolution or winding up in whole or in part; 
 (xii) fail to correct any known misunderstandings
regarding the separate identity of Seller and the Originator or any principal or Affiliate thereof or any other Person; 
 (xiii) guarantee, become obligated for, or hold itself out to be responsible for the debt of another Person; 
  

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 (xiv) make any loan or advances to any third party, including any principal or
Affiliate, or hold evidence of indebtedness issued by any other Person (other than the Assets, Cash, Permitted Investments and, with the prior written consent of the Administrative Agent, any loan to an REO Affiliate of the type described in clause
(b) of the definition thereof); 
 (xv) fail to file its own separate tax return, or file a consolidated federal income
tax return with any other Person, except as may be required by the Internal Revenue Code and regulations (without limiting the foregoing, it is acknowledged and agreed that a single member limited liability company is a disregarded entity for
purposes of the Internal Revenue Code); 
 (xvi) fail either to hold itself out to the public as a legal entity separate and
distinct from any other Person or to conduct its business solely in its own name in order not (a) to mislead others as to the identity with which such other party is transacting business, or (b) to suggest that it is responsible for the
debts of any third party (including any of its principals or Affiliates); 
 (xvii) fail to maintain adequate capital for the
normal obligations reasonably foreseeable in a business of its size and character and in light of its contemplated business operations; 
 (xviii) file or consent to the filing of any petition, either voluntary or involuntary, to take advantage of any applicable insolvency, bankruptcy, liquidation or reorganization statute, or make an assignment for the
benefit of creditors; 
 (xix) except as may be required by the Code and regulations, share any common logo with or hold
itself out as or be considered as a department or division of (a) any of its principals or affiliates, (b) any Affiliate of a principal or (c) any other Person; 
 (xx) permit any transfer (whether in any one or more transactions) of any direct ownership interest in the Seller to the extent it has
the ability to control the same, other than a pledge of the membership interests in the Seller to secure the Fortress Notes, unless the Seller delivers to the Administrative Agent and each Purchaser Agent an acceptable non-consolidation opinion and
the Administrative Agent consents to such transfer; 
 (xxi) fail to maintain separate financial statements, showing its
assets and liabilities separate and apart from those of any other Person (without limiting the foregoing, it is acknowledged that for accounting purposes, the Company may be consolidated with another Person as required by GAAP and included in such
Person’s consolidated financial statements); 
  

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 (xxii) fail to pay its own liabilities and expenses only out of its own funds;

 (xxiii) fail to pay the salaries of its own employees, if any, in light of its contemplated business operations;

 (xxiv) acquire the obligations or securities of its Affiliates or stockholders except for obligations or securities of any
REO Affiliate and any loan to an REO Affiliate of the type described in clause (b) of the definition thereof with the prior written consent of the Administrative Agent; 
 (xxv) guarantee any obligation of any person, including an Affiliate; 
 (xxvi) fail to allocate fairly and reasonably any overhead expenses that are shared with an Affiliate, including paying for office space
and services performed by any employee of an Affiliate; 
 (xxvii) fail to use separate invoices and checks bearing its own
name; 
 (xxviii) pledge or permit the pledge of its assets for the benefit of any other Person, other than with respect to
the payment of the indebtedness to the Secured Parties hereunder; 
 (xxix) fail at any time to have at least one independent
manager (an “Independent Manager”) who is not currently a director, officer, employee, trade creditor, shareholder, manager or member (or spouse, parent, sibling or child of the foregoing) of (a) the Originator, (b) the
Seller, (c) any principal of the Originator, (d) any Affiliate of the Originator, or (e) any Affiliate of any principal of the Originator; provided, however, such Independent Manager may be an independent
manager or an independent manager of another special purpose entity affiliated with the Originator; 
 (xxx) fail to provide
that the unanimous consent of all its managers (including the consent of the Independent Manager) is required for the Seller to (a) dissolve or liquidate, in whole or part, or institute proceedings to be adjudicated bankrupt or insolvent,
(b) institute or consent to the institution of bankruptcy or insolvency proceedings against it, (c) file a petition seeking or consent to reorganization or relief under any applicable federal or state law relating to bankruptcy or
insolvency, (d) seek or consent to the appointment of a receiver, liquidator, assignee, trustee, sequestrator, custodian or any similar official for the Seller, (e)
  

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 make any assignment for the benefit of the Seller’s creditors, (f) admit in writing its
inability to pay its debts generally as they become due, or (g) take any action in furtherance of any of the foregoing; and 
 (xxxi) take or refrain from taking, as applicable, each of the activities specified in the non-consolidation opinion of Dechert LLP, dated as of the Initial Closing Date, upon which the conclusions expressed therein are based. 

(v) Confirmation from the Originator. The Seller has received in writing from the Originator confirmation that the Originator
will not cause the Seller to file a voluntary petition under the Bankruptcy Code or Insolvency Laws. Each of the Seller and the Originator is aware that in light of the circumstances described in the preceding sentence and other relevant facts, the
filing of a voluntary petition under the Bankruptcy Code for the purpose of making any Collateral or any other assets of the Seller available to satisfy claims of the creditors of the Originator would not result in making such assets available to
satisfy such creditors under the Bankruptcy Code. 
 (w) Investment Company Act. The Seller is not, and is not
controlled by, an “investment company” within the meaning of the 1940 Act or is exempt from the provisions of the 1940 Act. 
 (x) ERISA. The present value of all benefits vested under all “employee pension benefit plans,” as such term is defined in Section 3 of ERISA, maintained by the Seller, or in which employees of
the Seller are entitled to participate, as from time to time in effect (herein called the “Pension Plans”), does not exceed the value of the assets of the Pension Plan allocable to such vested benefits (based on the value of such assets as
of the last annual valuation date). No prohibited transactions, accumulated funding deficiencies, withdrawals or reportable events have occurred with respect to any Pension Plans that, in the aggregate, could subject the Seller to any material tax,
penalty or other liability. No notice of intent to terminate a Pension Plan has been billed, nor has any Pension Plan been terminated under Section 4041(f) of ERISA, nor has the Pension Benefit Guaranty Corporation instituted proceedings to
terminate, or appoint a trustee to administer a Pension Plan and no event has occurred or condition exists that might constitute grounds under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any
Pension Plan. 
 (y) PUHCA. The Seller is not a “holding company” or a “subsidiary holding company”
of a “holding company” within the meaning of the Public Utility Holding Company Act of 1935, as amended, or any successor statute. 
 (z) Compliance with Law. The Seller has complied in all respects with all Applicable Laws to which it may be subject, and no item of Collateral contravenes any Applicable Laws (including, without limitation,
all applicable 
  

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 predatory and abusive lending laws, laws, rules and regulations relating to licensing, truth in lending,
fair credit billing, fair credit reporting, equal credit opportunity, fair debt collection practices and privacy). 
 (aa)
Credit and Collection Policy. The Seller has complied in all material respects with all provisions applicable to it under the Credit and Collection Policy with respect to all of the Collateral. 
 (bb) Collections. The Seller acknowledges that all Collections received by it with respect to the Collateral sold hereunder are
held and shall be held in trust for the benefit of the Trustee on behalf of the Secured Parties until deposited into the Collection Account within two Business Days from receipt as required herein. 
 (cc) Set-Off, etc. No Collateral has been compromised, adjusted, extended, satisfied, subordinated, rescinded, set-off or modified
by the Seller, or, to the best of the Seller’s knowledge, by the Originator or the Obligor thereof, and no Collateral is subject to compromise, adjustment, extension, satisfaction, subordination, rescission, set-off, counterclaim, defense,
abatement, suspension, deferment, deduction, reduction, termination or modification, whether arising out of transactions concerning the Collateral or otherwise, by the Seller, or, to the best of the Seller’s knowledge, by the Originator or the
Obligor with respect thereto, except for amendments, extensions and modifications, if any, to such Collateral otherwise permitted under Section 6.4(a) of this Agreement and in accordance with the Credit and Collection Policy and the
Servicing Standard. 
 (dd) Full Payment. As of the Funding Date thereof, the Seller has no knowledge of any fact which
should lead it to expect that any Collateral will not be paid in full. 
 (ee) Accuracy of Representations and
Warranties. Each representation or warranty by the Seller contained herein or in any certificate or other document furnished by the Seller pursuant hereto or in connection herewith is true and correct in all material respects. 
 (ff) Representations and Warranties in Sale Agreement. The representations and warranties made by the Originator to the Seller in
the Sale Agreement are hereby remade by the Seller on each date to which they speak in the Sale Agreement as if such representations and warranties were set forth herein. For purposes of this Section 4.l(ff), such representations and
warranties are incorporated herein by reference as if made by the Seller to the Administrative Agent, each Purchaser Agent and each of the Secured Parties under the terms hereof mutatis mutandis. 
 (gg) Reaffirmation of Representations and Warranties by the Seller. On each day that any Advance or Swingline Advance is made
hereunder, the Seller shall be deemed to have certified that all representations and warranties described 
  

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 in Section 4.1 hereof are correct on and as of such day as though made on and as of such day,
except for any such representations or warranties which are made as of a specific date. 
 (hh) Participations. The
participation interests created with respect to the Participations do not violate any provisions of the underlying Required Loan Documents. 
 (ii) Environmental. (i) No Hazardous Materials are present on such Mortgaged Property such that (A) the value, use or operation of such Mortgaged Property is materially and adversely affected or
(B) under Applicable Law, (1) such Hazardous Materials could be required to be eliminated at a cost materially and adversely affecting the value of the Mortgaged Property before such Mortgaged Property could be altered, renovated,
demolished or transferred or (2) the presence of such Hazardous Materials could (upon action by the appropriate Governmental Authorities) subject the owner of such Mortgaged Property, or the holders of a security interest therein, to liability
for the cost of eliminating such Hazardous Materials or the hazard created thereby at a cost materially and adversely affecting the value of the Mortgaged Property, and (ii) such Mortgaged Property is in material compliance with all Applicable
Laws pertaining to Hazardous Materials or environmental hazards, any noncompliance with such laws does not have a material adverse effect on the value of such Mortgaged Property and neither the Seller nor, to the Seller’s knowledge, the related
Mortgagor or any current tenant thereon, has received any notice of violation or potential violation of any such law 
 (jj)
USA PATRIOT Act. The Seller is not (i) a country, territory, organization, person or entity named on an Office of Foreign Asset Control (OFAC) list; (ii) a Person that resides or has a place of business in a country or territory
named on such lists or which is designated as a “Non-Cooperative Jurisdiction” by the Financial Action Task Force on Money Laundering, or whose subscription funds are transferred from or through such a jurisdiction; (iii) a
“Foreign Shell Bank” within the meaning of the USA PATRIOT Act, i.e., a foreign bank that does not have a physical presence in any country and that is not affiliated with a bank that has a physical presence and an acceptable level of
regulation and supervision; or (iv) a person or entity that resides in or is organized under the laws of a jurisdiction designated by the United States Secretary of the Treasury under Sections 311 or 312 of the USA PATRIOT Act as warranting
special measures due to money laundering concerns. 
 The representations and warranties in Section 4.l(m) shall survive the
termination of this Agreement and such representations and warranties may not be waived by any party hereto. 
  

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 Section 4.2. Representations and Warranties of the Seller Relating to the Agreement and the
Collateral. 
 The Seller hereby represents and warrants, as of the Closing Date and as of each Addition Date: 
 (a) Binding Obligation, Valid Transfer and Security Interest. 
 (i) This Agreement and each other Transaction Document to which the Seller is a party each constitute a legal, valid and binding
obligation of the Seller, enforceable against the Seller in accordance with its respective terms, except as such enforceability may be limited by Insolvency Laws and except as such enforceability may be limited by general principles of equity
(whether considered in a suit at law or in equity). 
 (ii) This Agreement constitutes a valid Grant of a security interest
in all of the Collateral to the Trustee, for the benefit of the Secured Parties, of all right, title and interest of the Seller in, to and under all of the Collateral, free and clear of any Lien of any Person claiming through or under the Seller or
its Affiliates, except for Permitted Liens, which upon the delivery of the Required Loan Documents to the Trustee, the crediting of Assets to the Accounts and the filing of the financing statements described in Section 4.l(m) and, in the
case of Additional Assets on the applicable Addition Date, shall be a valid and first priority perfected security interest in all Collateral, subject only to Permitted Liens. Neither the Seller nor any Person claiming through or under Seller shall
have any claim to or interest in the Collection Account or any other Account and, because this Agreement constitutes the Grant of a security interest in such property, except for the interest of Seller in such property as a debtor for purposes of
the UCC. 
 (b) Eligibility of Collateral. As of the Initial Closing Date and each Addition Date, (i) the Asset
List and the information contained in the Borrowing Notice delivered pursuant to Section 2.2 or Section 2.3, as applicable, is an accurate and complete listing of all Collateral as of the Cut-Off Date and the information
contained therein with respect to the identity of such Collateral and the amounts owing thereunder is true and correct as of the related Cut-Off Date, (ii) each such Asset that is part of the Borrowing Base is an Eligible Asset, (iii) each
such item of Collateral is free and clear of any Lien of any Person (other than Permitted Liens) and in compliance with all Applicable Laws, (iv) with respect to each such item of Collateral, all consents, licenses, approvals or authorizations
of or registrations or declarations of any Governmental Authority or any Person required to be obtained, effected or given by the Seller in connection with the Grant of a security interest in such Collateral to the Trustee for the benefit of the
Secured Parties have been duly obtained, effected or given and are in full force and effect, and (v) the representations and warranties set forth in Section 4.2(a) are true and correct with respect to each item of Collateral.

  

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 (c) No Fraud. Each Loan was originated without any fraud or material
misrepresentation by the Originator or, to the best of the Seller’s knowledge, on the part of the Obligor. 
 Section 4.3.
Representations and Warranties of the Servicer. 
 The Servicer represents and warrants as follows as of the Closing Date, each
Funding Date and as of each other date provided under this Agreement or the other Transaction Documents on which such representations and warranties are required to be (or deemed to be) made: 
 (a) Organization and Good Standing. The Servicer has been duly organized and is validly existing as a corporation in good standing
under the laws of the State of Delaware, with all requisite corporate power and authority to own or lease its properties and to conduct its business as such business is presently conducted and to enter into and perform its obligations pursuant to
this Agreement. 
 (b) Due Qualification. The Servicer is duly qualified to do business as a corporation and is in good
standing as a corporation, and has obtained all necessary licenses and approvals in all jurisdictions in which the ownership or lease of its property and or the conduct of its business requires such qualification, licenses or approvals. 

(c) Power and Authority; Due Authorization; Execution and Delivery. The Servicer (i) has all necessary power, authority and
legal right to (a) execute and deliver this Agreement and the other Transaction Documents to which it is a party, (h) carry out the terms of the Transaction Documents to which it is a party, and (ii) has duly authorized by all
necessary corporate action the execution, delivery and performance of this Agreement and the other Transaction Documents to which it is a party. This Agreement and each other Transaction Document to which the Servicer is a party have been duly
executed and delivered by the Servicer. 
 (d) Binding Obligation. This Agreement and each other Transaction Document
to which the Servicer is a party constitutes a legal, valid and binding obligation of the Servicer enforceable against the Servicer in accordance with its respective terms, except as such enforceability may be limited by Insolvency Laws and general
principles of equity (whether considered in a suit at law or in equity). 
 (e) No Violation. The consummation of the
transactions contemplated by this Agreement and the other Transaction Documents to which it is a party and the fulfillment of the terms hereof and thereof will not (i) conflict with, result in any breach of any of the terms and provisions of,
or constitute (with or without 
  

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 notice or lapse of time or both) a default under, the Servicer’s certificate of incorporation or
by-laws or any Contractual Obligation of the Servicer, (ii) result in the creation or imposition of any Lien upon any of the Servicer’s properties pursuant to the terms of any such Contractual Obligation, other than this Agreement, or
(iii) violate any Applicable Law. 
 (f) No Proceedings. There is no litigation, proceedings or investigations
pending or, to the best knowledge of the Servicer, threatened against the Servicer, before any Governmental Authority (i) asserting the invalidity of this Agreement or any other Transaction Document to which the Servicer is a party,
(ii) seeking to prevent the consummation of any of the transactions contemplated by this Agreement or any other Transaction Document to which the Servicer is a party or (iii) seeking any determination or ruling that could reasonably be
expected to have Material Adverse Effect. 
 (g) All Consents Required. All approvals, authorizations, consents,
orders, licenses or other actions of any Person or of any Governmental Authority (if any) required for the due execution, delivery and performance by the Servicer of this Agreement and any other Transaction Document to which the Servicer is a party
have been obtained. 
 (h) Reports Accurate. All Servicer Certificates and other written and electronic information,
exhibits, financial statements, documents, books, records or reports furnished by the Servicer to the Administrative Agent, each Purchaser Agent or any Purchaser in connection with this Agreement are accurate, true and correct. 
 (i) Credit and Collection Policy. The Servicer has complied in all material respects with the Credit and Collection Policy with
regard to the origination, underwriting and servicing of the Assets or the acquisition and re-underwriting and servicing of the Assets, as applicable. 
 (j) Collections. The Servicer acknowledges that all Collections received by it or its Affiliates with respect to the Collateral sold hereunder are held and shall be held in trust for the benefit of the Trustee
on behalf of the Secured Parties until deposited into the Collection Account within two Business Days from receipt as required herein. 
 (k) Bulk Sales. The execution, delivery and performance of this Agreement do not require compliance with any “bulk sales” act or similar law by the Servicer. 
 (l) Solvency. The Servicer is not the subject of any Insolvency Proceedings or Insolvency Event. The transactions under this
Agreement and any other Transaction Document to which the Servicer is a party do not and will not render the Servicer not Solvent and the Servicer shall deliver to the Administrative Agent and each Purchaser Agent on the Initial Closing Date a
certification in the form of Exhibit E-2. 
  

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 (m) Taxes. The Servicer has filed or caused to be filed all tax returns that are
required to be filed by it. The Servicer has paid or made adequate provisions for the payment of all Taxes and all assessments made against it or any of its property (other than any amount of Tax the validity of which is currently being contested in
good faith by appropriate proceedings and with respect to which reserves in accordance with GAAP have been provided on the books of the Servicer), and no tax lien has been filed and, to the Servicer’s knowledge, no claim is being asserted, with
respect to any such Tax, fee or other charge. 
 (n) Exchange Act Compliance; Regulations T, U and X. None of the
transactions contemplated herein (including, without limitation, the use of the Proceeds from the sale of the Collateral) will violate or result in a violation of Section 7 of the Exchange Act, or any regulations issued pursuant thereto,
including, without limitation, Regulations T, U and X of the Board of Governors of the Federal Reserve System, 12 C.F.R., Chapter II. The Servicer does not own or intend to carry or purchase, and no proceeds from the Advances or Swingline Advances
will be used to carry or purchase, any “margin stock” within the meaning of Regulation U or to extend “purpose credit” within the meaning of Regulation U. 
 (o) Security Interest. The Servicer will take all steps necessary to ensure that the Seller has Granted a security interest (as
defined in the UCC) to the Trustee, for the benefit of the Secured Parties, in the Collateral, which is enforceable in accordance with Applicable Law upon execution and delivery of this Agreement. Upon the filing of UCC-1 financing statements naming
the Trustee as secured party and the Seller as debtor, the Trustee, for the benefit of the Secured Parties, shall have a valid and perfected first priority security interest in the Collateral (except for any Permitted Liens). All filings (including,
without limitation, such UCC filings) as are necessary for the perfection of the Secured Parties’ security interest in the Collateral have been (or prior to the date of the applicable Advance or Swingline Advance will be) made. 
 (p) ERISA. The present value of all benefits vested under all “employee pension benefit plans,” as such term is defined
in Section 3 of ERISA, maintained by the Servicer, or in which employees of the Servicer are entitled to participate, as from time to time in effect (herein called the “Pension Plans”), does not exceed the value of the assets
of the Pension Plan allocable to such vested benefits (based on the value of such assets as of the last annual valuation date). No prohibited transactions, accumulated funding deficiencies, withdrawals or reportable events have occurred with respect
to any Pension Plans that, in the aggregate, could subject the Servicer to any material tax, penalty or other liability. No notice of intent to terminate a Pension Plan has been billed, nor has any Pension Plan been terminated under
Section 4041(f) of ERISA, nor has the Pension Benefit Guaranty Corporation instituted proceedings to terminate, or 
  

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 appoint a trustee to administer, a Pension Plan and no event has occurred or condition exists that might
constitute grounds under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Pension Plan. 
 (q) Investment Company Act. The Servicer is not, and is not controlled by, an “investment company” within the meaning of the 1940 Act, as amended, or is exempt from the provisions of the 1940 Act.

 (r) USA PATRIOT Act. The Servicer is not (i) a country, territory, organization, person or entity named on an
OFAC list; (ii) a Person that resides or has a place of business in a country or territory named on such lists or which is designated as a “Non-Cooperative Jurisdiction” by the Financial Action Task Force on Money Laundering, or whose
subscription funds are transferred from or through such a jurisdiction; (iii) a “Foreign Shell Bank” within the meaning of the USA PATRIOT Act, i.e., a foreign bank that does not have a physical presence in any country and that is not
affiliated with a bank that has a physical presence and an acceptable level of regulation and supervision; or (iv) a person or entity that resides in or is organized under the laws of a jurisdiction designated by the United States Secretary of
the Treasury under Sections 311 or 312 of the USA PATRIOT Act as warranting special measures due to money laundering concerns. 
 (s) Environmental. (i) No Hazardous Materials are present on such Mortgaged Property such that (A) the value, use or operation of such Mortgaged Property is materially and adversely affected or (B) under Applicable
Law, (1) such Hazardous Materials could be required to be eliminated at a cost materially and adversely affecting the value of the Mortgaged Property before such Mortgaged Property could be altered, renovated, demolished or transferred or
(2) the presence of such Hazardous Materials could (upon action by the appropriate Governmental Authorities) subject the owner of such Mortgaged Property, or the holders of a security interest therein, to liability for the cost of eliminating
such Hazardous Materials or the hazard created thereby at a cost materially and adversely affecting the value of the Mortgaged Property, and (ii) such Mortgaged Property is in material compliance with all Applicable Laws pertaining to Hazardous
Materials or environmental hazards, any noncompliance with such laws does not have a material adverse effect on the value of such Mortgaged Property and neither the Servicer nor, to the Servicer’s knowledge, the related mortgagor or any current
tenant thereon, has received any notice of violation or potential violation of any such law. 
 Section 4.4. Representations and
Warranties of the Trustee. 
 The Trustee in its individual capacity and as Trustee represents and warrants as follows: 
 (a) Organization and Corporate Power. It is a duly organized and validly existing national banking association in good standing
under the laws of the United States. It has full corporate power, authority and legal right to execute, deliver and perform its obligations as Trustee under this Agreement. 
  

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 (b) Due Authorization. The execution and delivery of this Agreement and the
consummation of the transactions provided for herein have been duly authorized by all necessary association action on its part, either in its individual capacity or as Trustee, as the case may be. 
 (c) No Conflict. The execution and delivery of this Agreement, the performance of the transactions contemplated hereby and the
fulfillment of the terms hereof will not conflict with, result in any breach of any of the material terms and provisions of, or constitute (with or without notice or lapse of time or both) a default under any indenture, contract, agreement,
mortgage, deed of trust, or other instrument to which the Trustee is a party or by which it or any of its property is bound. 
 (d) No Violation. The execution and delivery of this Agreement, the performance of the transactions contemplated hereby and the fulfillment of the terms hereof will not conflict with or violate, in any material respect, any
Applicable Law. 
 (e) All Consents Required. All approvals, authorizations, consents, orders or other actions of any
Person or Governmental Authority applicable to the Trustee, required in connection with the execution and delivery of this Agreement, the performance by the Trustee of the transactions contemplated hereby and the fulfillment by the Trustee of the
terms hereof have been obtained. 
 (f) Validity, Etc. This Agreement constitutes the legal, valid and binding
obligation of the Trustee, enforceable against the Trustee in accordance with its terms, except as such enforceability may be limited by applicable Insolvency Laws or general principles of equity (whether considered in a suit at law or in equity).

 (g) Non-Affiliated. The Trustee is not affiliated, as that term is defined in Rule 405 under the Securities Act,
with the Seller or with any Person involved in the organization or operation of the Seller. 
 (h) Qualified
Institutions. The Trustee is a “bank” as that term is defined in Section 26(a)(l) of the 1940 Act. The Trustee has an aggregate capital surplus and undivided profits of an amount not less than $50,000,000. The Trustee is not
providing credit or credit enhancement to the Seller in either its individual capacity or its capacity as Trustee. 
  

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 Section 4.5. Representations and Warranties of the Backup Servicer. 
 The Backup Servicer in its individual capacity and as Backup Servicer represents and warrants as follows: 
 (a) Organization and Corporate Power. It is a duly organized and validly existing national banking association in good standing
under the laws of the United States. It has full corporate power, authority and legal right to execute, deliver and perform its obligations as Backup Servicer under this Agreement. 
 (b) Due Authorization. The execution and delivery of this Agreement and the consummation of the transactions provided for herein
have been duly authorized by all necessary association action on its part, either in its individual capacity or as Backup Servicer, as the case may be. 
 (c) No Conflict. The execution and delivery of this Agreement, the performance of the transactions contemplated hereby and the fulfillment of the terms hereof will not conflict with, result in any breach of any
of the material terms and provisions of, or constitute (with or without notice or lapse of time or both) a default under any indenture, contract, agreement, mortgage, deed of trust, or other instrument to which the Backup Servicer is a party or by
which it or any of its property is bound. 
 (d) No Violation. The execution and delivery of this Agreement, the
performance of the Transactions contemplated hereby and the fulfillment of the terms hereof will not conflict with or violate, in any material respect, any Applicable Law. 
 (e) All Consents Required. All approvals, authorizations, consents, orders or other actions of any Person or Governmental Authority
applicable to the Backup Servicer, required in connection with the execution and delivery of this Agreement, the performance by the Backup Servicer of the transactions contemplated hereby and the fulfillment by the Backup Servicer of the terms
hereof have been obtained. 
 (f) Validity, Etc. The Agreement constitutes the legal, valid and binding obligation of
the Backup Servicer, enforceable against the Backup Servicer in accordance with its terms, except as such enforceability may be limited by applicable Insolvency Laws and general principles of equity (whether considered in a suit at law or in
equity). 
 Section 4.6. Breach of Certain Representations and Warranties. 
 If on any day an Asset is (or becomes) a Warranty Asset, no later than two (2) Business Days following the earlier of knowledge by the Seller of such
Loan becoming a Warranty Asset or receipt by the Seller from the Administrative Agent or the Servicer of written notice thereof, the Seller shall either: (a) make a deposit to the Collection Account (for allocation pursuant to
Section 2.9 or Section 2.10, as applicable) in immediately available funds in an amount equal to the sum of (i) the Outstanding Asset Balance of each such Warranty Asset on such date, (ii) any outstanding Servicer
Advances thereon, (iii) any accrued and unpaid interest, and (iv) all Hedge Breakage Costs owed to the relevant Hedge Counterparty for any termination of one or more Hedge Transactions, in whole or in part, as required by the terms of any
Hedging Agreement 
  

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 (collectively, the “Retransfer Price”); or (b) subject to the satisfaction of the conditions in
Section 2.18, substitute for such Warranty Asset a Substitute Asset. In either of the foregoing instances, the Seller may (in its discretion) accept retransfer of each such Warranty Asset and any Related Security and the Borrowing Base
shall be reduced by the Outstanding Asset Balance of each such Warranty Asset and, if applicable, increased by the Outstanding Asset Balance of each Substitute Asset. Upon confirmation of the deposit of such Retransfer Price into the Collection
Account or the delivery by the Seller of a Substitute Asset for each Warranty Asset (the “Retransfer Date”), such Warranty Asset shall not be included in the Borrowing Base (and, if and when the Seller elects to accept the
retransfer of such Warranty Asset, the Collateral) and, as applicable, the Substitute Asset shall be included in the Collateral. Upon the Retransfer Date of each Warranty Asset, the Trustee, on behalf of the Secured Parties, shall (if and when the
Seller elects to accept the retransfer of such Warranty Asset) automatically and without further action be deemed to transfer, assign and set-over to the Seller, without recourse, representation or warranty, all the right, title and interest of the
Trustee, for the benefit of the Secured Parties in, to and under such Warranty Asset and all future monies due or to become due with respect thereto, the Related Security, all Proceeds of such Warranty Asset, Recoveries and Insurance Proceeds
relating thereto, all rights to security for any such Warranty Asset, and all Proceeds and products of the foregoing. The Trustee, on behalf of the Secured Parties, shall (if and when the Seller elects to accept the retransfer of such Warranty
Asset), at the request and sole expense of the Servicer, execute such documents and instruments of transfer, assignment and release as may be prepared by the Servicer on behalf of the Seller and take other such actions as shall reasonably be
requested by the Seller or Servicer to effect the transfer of such Warranty Asset pursuant to this Section 4.6 and the release of the Lien of this Agreement with respect thereto. 
 ARTICLE V. 
 GENERAL COVENANTS 
 Section 5.1. Affirmative Covenants of the Seller. 
 From the date hereof until the Collection Date: 
 (a) Compliance with Laws. The Seller
will comply in all material respects with all Applicable Laws, including those with respect to the Collateral or any part thereof. 
 (b) Preservation of Company Existence. The Seller will preserve and maintain its limited liability company existence, rights, franchises and privileges in the jurisdiction of its formation, and qualify and remain qualified in good
standing as a limited liability company in each jurisdiction where the failure to preserve and maintain such existence, rights, franchises, privileges and qualification has had, or could reasonably be expected to have, a Material Adverse Effect.

 (c) Performance and Compliance with Collateral. The Seller will, at its expense, timely and fully perform and comply
(or cause the Originator to perform and comply pursuant to the Sale Agreement) with all provisions, covenants and other promises required to be observed by it under the Collateral and all other agreements related to such Collateral. 
  

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 (d) Keeping of Records and Books of Account. The Seller will maintain and
implement administrative and operating procedures (including, without limitation, an ability to recreate records evidencing the Collateral in the event of the destruction of the originals thereof), and keep and maintain all documents, books, records
and other information reasonably necessary or advisable for the collection of all or any portion of the Collateral. 
 (e)
Originator’s Collateral. With respect to the Collateral acquired by the Seller, the Seller will (i) acquire such Collateral pursuant to and in accordance with the terms of the Sale Agreement and the Transfer Documents, (ii) (at
the Servicer’s expense) take all action necessary to perfect, protect and more fully evidence the Seller’s ownership of such Collateral free and clear of any Lien other than the Lien created hereunder and Permitted Liens, including,
without limitation, (a) filing and maintaining (at the Servicer’s expense), effective financing statements against the Originator in all necessary or appropriate filing offices, and filing continuation statements, amendments or assignments
with respect thereto in such filing offices, and (b) executing or causing to be executed such other instruments or notices as may be necessary or appropriate, (iii) permit the Administrative Agent, each Purchaser Agent or their respective
agents or representatives to visit the offices of the Seller during normal office hours and upon reasonable notice examine and make copies of all documents, books, records and other information concerning the Collateral and discuss matters related
thereto with any of the Responsible Officers of the Seller having knowledge of such matters, and (iv) take all additional action that the Administrative Agent may reasonably request to perfect, protect and more fully evidence the respective
interests of the parties to this Agreement in the Collateral. 
 (f) Delivery of Collections. The Seller will pay to
the Servicer promptly (but in no event later than two Business Days after receipt) all Collections received by Seller in respect of the Collateral and cause the same to be promptly deposited into the Collection Account by the Servicer in accordance
with Section 5.4(1). 
 (g) Separate Limited Liability Company Existence. The Seller shall be in compliance
with the Special Purpose Entity requirements set forth in Section 4.1(u). 
 (h) Credit and Collection Policy.
The Seller will (a) comply in all material respects with the Credit and Collection Policy in regard to the Collateral, and (b) furnish to the Administrative Agent and each Purchaser Agent, prior to its effective date, prompt written notice
of any material changes in the Credit and Collection Policy. The Seller will not agree to or otherwise permit to occur any change in the Credit and Collection Policy that could be reasonably expected to have a Material Adverse Effect without the
prior written consent of the 
  

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 Administrative Agent and each Purchaser Agent; provided, that no consent shall be required from the
Administrative Agent or any Purchaser Agent in connection with any change mandated by Applicable Law or a Governmental Authority as evidenced by an Opinion of Counsel to that effect delivered to the Administrative Agent and each Purchaser Agent.

 (i) Termination Events. The Seller will provide the Administrative Agent and each Purchaser Agent (with copy to the
Trustee and the Backup Servicer) with immediate written notice of the occurrence of each Termination Event and each Unmatured Termination Event of which the Seller has knowledge or has received notice. In addition, no later than five Business Days
following the Seller’s knowledge or notice of the occurrence of any Termination Event or Unmatured Termination Event, the Seller will provide to the Administrative Agent and each Purchaser Agent (with copy to the Trustee and the Backup
Servicer) a written statement of the chief financial officer or Responsible Officer handling financial matters of the Seller setting forth the details of such event and the action that the Seller proposes to take with respect thereto. 
 (j) Taxes. The Seller will file and pay any and all Taxes required to meet its obligations with respect thereto under the
Transaction Documents. 
 (k) Use of Proceeds. The Seller will use the proceeds of the Advances or Swingline Advances
only to acquire Collateral or to make distributions to its members in accordance with the terms hereof. 
 (l) Obligor
Notification Forms. The Seller shall furnish the Trustee with an appropriate power of attorney to send (at the direction of the Administrative Agent after the occurrence of a Termination Event or an Unmatured Termination Event) Obligor
notification forms to give notice to the Obligors and/or any appropriate agent with respect to any Agented Loan or Third Party Serviced Loan of the Trustee’s interest in the Collateral for the benefit of the Secured Parties and the obligation
to make payments as directed by the Trustee acting at the direction of the Administrative Agent. 
 (m) Adverse Claims.
The Seller will not create, or participate in the creation of, or permit to exist, any Liens in relation to the Concentration Account other than in accordance with the terms of the Intercreditor Agreement. 
 (n) Seller’s Collateral. With respect to each item of Collateral Granted to the Trustee, for the benefit of the Secured
Parties, the Seller will (i) take all action necessary to perfect, protect and more fully evidence the Grant of the security interest in such Collateral to the Trustee, for the benefit of the Secured Parties, including, without limitation,
(a) filing and maintaining (at the Servicer’s expense), effective financing statements against the Seller in all necessary or appropriate filing offices, and filing continuation statements, amendments or assignments with respect thereto in
such filing offices, and (b) executing or causing to be executed such other instruments or notices as may be necessary or 
  

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 appropriate and (ii) take all additional action that the Administrative Agent may reasonably request
to perfect, protect and more fully evidence the respective interests of the parties to this Agreement in such Collateral. 
 (o) Notices. The Seller will furnish to the Administrative Agent and each Purchaser Agent: 
 (i) Income
Tax Liability. Within ten Business Days after the receipt of revenue agent reports or other written proposals, determinations or assessments of the Internal Revenue Service or any other taxing authority which propose, determine or otherwise set
forth positive adjustments to the Tax liability of the Originator, the Servicer or the Seller which equal or exceed $1,000,000 in the aggregate, telephonic, facsimile or telecopy notice (confirmed in writing within five Business Days) specifying the
nature of the items giving rise to such adjustments and the amounts thereof; 
 (ii) Auditors’ Management
Letters. Promptly after the receipt thereof, any auditors’ management letters are received by the Seller or by its accountants; 
 (iii) Representations. Forthwith upon receiving knowledge of the same, the Seller shall notify the Administrative Agent and each Purchaser Agent if any representation or warranty set forth in
Section 4.1 was incorrect at the time it was given or deemed to have been given and at the same time deliver to the Administrative Agent and each Purchaser Agent a written notice setting forth in reasonable detail the nature of such
facts and circumstances. In particular, but without limiting the foregoing, the Seller shall notify the Administrative Agent and each Purchaser Agent in the manner set forth in the preceding sentence before any Funding Date of any facts or
circumstances within the knowledge of the Seller which would render any of the said representations and warranties untrue at the date when such representations and warranties were made or deemed to have been made; 
 (iv) ERISA. Promptly after receiving notice of any “reportable event” (as defined in Title IV of ERISA) with respect to
the Seller (or any Affiliate thereof), a copy of such notice; 
 (v) Proceedings. As soon as possible and in any event
within three Business Days after any executive officer of the Seller receives notice or obtains knowledge thereof, of any settlement of, material judgment (including a material judgment with respect to the liability phase of a bifurcated trial) in
or commencement of any material labor controversy, material litigation, material action, material suit or material proceeding before any court or governmental department, commission, board, bureau, agency or instrumentality, domestic or foreign,
affecting 
  

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 the Collateral, the Transaction Documents, the Trustee’s interest in the Collateral on behalf of
the Secured Parties, or the Seller, the Servicer or the Originator; provided, however, notwithstanding the foregoing, any settlement, judgment, labor controversy, litigation, action, suit or proceeding affecting the
Collateral, the Transaction Documents, the Trustee’s interest in the Collateral on behalf of the Secured Parties, or the Seller, the Servicer or the Originator in excess of $1,000,000 or more shall be deemed to be material for purposes of this
Section 5.1(o); and 
 (vi) Notice of Material Events. Promptly upon becoming aware thereof, notice of any
other event or circumstances that, in the reasonable judgment of the Seller, is likely to have a Material Adverse Effect. 
 (p) Other. The Seller will furnish to the Administrative Agent and each Purchaser Agent promptly, from time to time, such other information, documents, records or reports respecting the Collateral or the condition or operations,
financial or otherwise, of the Seller as the Administrative Agent and each Purchaser Agent may from time to time reasonably request in order to protect the interests of the Administrative Agent, each Purchaser Agent, the Trustee or the Secured
Parties under or as contemplated by this Agreement. 
 (q) REO Affiliates. Each REO Affiliate shall be a special
purpose entity whose organizational documents will include provisions substantially similar to those set forth in Section 4.l(a), modified (with the prior written consent of the Administrative Agent) as appropriate to fit the relevant
circumstances. The Seller shall not amend, modify or waive or permit any amendment, modification or waiver, of the special purpose entity terms of such organizational documents without the prior written consent thereto of the Administrative Agent.
Seller shall not permit, create or suffer to exist any Indebtedness with respect to any REO Affiliate or any Lien on the assets owned by any REO Affiliate, except for the Liens created by this Agreement and except for any Permitted Encumbrances with
respect to any REO Property. 
 Section 5.2. Negative Covenants of the Seller. 
 From the date hereof until the Collection Date: 
 (a) Other Business. Seller will not (i) engage in any business other than the transactions contemplated by the Transaction Documents, (ii) incur any Indebtedness, obligation, liability or contingent
obligation of any kind other than pursuant to this Agreement or under any Hedging Agreement required by Section 5.3(a), or (iii) form any Subsidiary other than any REO Affiliate or make any Investments in any other Person.

 (b) Assets Not to be Evidenced by Instruments. The Seller will take no action to cause any Asset that is not, as of
the Initial Closing Date or the related Addition Date, as the case may be, evidenced by an Instrument, to be so evidenced except in connection with the enforcement or collection of such Asset. 
  

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 (c) Security Interests. Except as otherwise permitted herein and in respect of any
Optional Sale, Discretionary Sale or Term Securitization, the Seller will not sell, pledge, assign or transfer to any other Person, or grant, create, incur, assume or suffer to exist any Lien on any Collateral, whether now existing or hereafter
transferred hereunder, or any interest therein, and the Seller will not sell, pledge, assign or suffer to exist any Lien on its interest, if any, hereunder. The Seller will promptly notify the Administrative Agent and each Purchaser Agent of the
existence of any Lien on any Collateral and the Seller shall defend the right, title and interest of the Trustee for the benefit of the Secured Parties in, to and under the Collateral against all claims of third parties; provided,
however, that nothing in this Section 5.2(c) shall prevent or be deemed to prohibit the Seller from suffering to exist Permitted Liens upon any of the Collateral. 
 (d) Mergers, Acquisitions, Sales, etc. The Seller will not be a party to any merger or consolidation, or purchase or otherwise
acquire any of the assets or any stock of any class of, or any partnership or joint venture interest in, any other Person, other than any REO Affiliate or in connection with the exercise of remedies in connection with a Loan, or sell, transfer,
convey or lease any of its assets, or sell or assign with or without recourse any Collateral or any interest therein (other than as permitted pursuant to this Agreement or to the Sale Agreement). 
 (e) Deposits to Special Accounts. Except as otherwise contemplated by the Intercreditor Agreement, the Seller will not deposit or
otherwise credit, or cause or permit to be so deposited or credited, to the Concentration Account Cash or Cash proceeds other than Collections in respect of the Collateral. 
 (f) Restricted Payments. The Seller shall not make any Restricted Junior Payment, except that, so long as no Termination Event or
Unmatured Termination Event has occurred and is continuing or would result therefrom, the Seller may declare and make distributions to its members on their membership interests. 
 (g) Change of Name or Location of Loan Files. The Seller shall not (x) change its name, move the location of its principal
place of business and chief executive office, change the offices where it keeps the records from the location referred to in Section 13.2, or change the jurisdiction of its formation, or (y) move, or consent to the Trustee or
Servicer moving, the Required Loan Documents and the Loan Files from the location thereof on the Closing Date, unless the Seller has given at least 30 days’ written notice to the Administrative Agent and has taken all actions required under the
UCC of each relevant jurisdiction in order to continue the first priority perfected security interest of the Trustee, for the benefit of the Secured Parties, in the Collateral. 
  

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 (h) Accounting of Purchases. Other than for tax and consolidated accounting
purposes, the Seller will not account for or treat (whether in financial statements or otherwise) the transactions contemplated by the Sale Agreement in any manner other than as a sale of the Collateral by the Originator to the Seller. 

(i) ERISA Matters. The Seller will not (a) engage or permit any ERISA Affiliate to engage in any prohibited transaction for
which an exemption is not available or has not previously been obtained from the United States Department of Labor, (b) permit to exist any accumulated funding deficiency, as defined in Section 302(a) of ERISA and Section 412(a) of
the Code, or funding deficiency with respect to any Benefit Plan other than a Multiemployer Plan, (c) fail to make any payments to a Multiemployer Plan that the Seller or any ERISA Affiliate may be required to make under the agreement relating
to such Multiemployer Plan or any law pertaining thereto, (d) terminate any Benefit Plan so as to result in any liability, or (e) permit to exist any occurrence of any reportable event described in Title IV of ERISA. 
 (j) Operating Agreement; Sale Agreement. The Seller will not amend, modify, waive or terminate any provision of Sections
1.05, 1.07, 1.08, 4.02(b) and 10.01 the proviso in Section 10.01(a) of its operating agreement or any of the defined terms in Section 1.01 of its operating agreement that are contained in any of the
above-mentioned sections thereof, or of the Sale Agreement without the prior written consent of the Administrative Agent and each Purchaser Agent. 
 (k) Changes in Payment Instructions to Obligors. The Seller will not add or terminate the Concentration Account Bank or the Concentration Account listed in Schedule II or make any change, or permit the
Servicer to make any change, in its instructions to Obligors regarding payments to be made with respect to the Collateral to the Concentration Account Bank, unless the Administrative Agent has consented to such addition, termination or change (which
consent shall not be unreasonably withheld) and has received duly executed copies of the Intercreditor Agreement (incorporating appropriate amendments), with each new Concentration Account Bank being a party thereto. 
 (l) Extension or Amendment of Collateral. The Seller will not, except as otherwise permitted in Section 6.4(a), extend,
amend or otherwise modify, or permit the Servicer to extend, amend or otherwise modify, the terms of any Collateral (including the Related Security). 
 (m) Credit and Collection Policy. The Seller will furnish to the Administrative Agent and each Purchaser Agent, prior to its effective date, written notice of any material changes in the Credit and Collection
Policy. The Seller will not agree to or otherwise permit to occur any change in the Credit and Collection Policy that could reasonably be expected to have a Material Adverse Effect without the prior written consent of the Administrative Agent and
each Purchaser Agent; provided, that no consent shall be required from the 
  

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 Administrative Agent or any Purchaser Agent in connection with any change mandated by Applicable Law or a
Governmental Authority as evidenced by an Opinion of Counsel to that effect delivered to the Administrative Agent and each Purchaser Agent. 
 (n) Taxable Mortgage Pool Matters. The sum of the Principal Balances of all Assets owned by the Seller and that are principally secured by an interest in real property (within the meaning of Treasury Regulation
Section 301.7701(i)-1(d)(3)) shall not at any time exceed 40% of the Principal Collateral Value. 
 Section 5.3. Covenants of
the Seller Relating to the Hedging of Assets. 
 (a) On or prior to each Funding Date, the Seller shall enter into one
or more Hedge Transactions for that Advance or Swingline Advance; provided, that each such Hedge Transaction shall: 
 (i) be
entered into with a Hedge Counterparty and governed by a Hedging Agreement; 
 (ii) have a schedule of quarterly (or monthly
if the Administrative Agent makes an election to change the Payment Date pursuant to clause (b) of the definition thereof) calculation periods the first of which commences on the Funding Date of that Advance or Swingline Advance and the
last of which ends on the last date projected under the amortization schedule under the applicable Hedge Transaction relating to the Fixed Rate Loans and Bonds bearing a fixed rate of interest under or with respect to the Assets to which that
Advance or Swingline Advance relates; 
 (iii) have an amortizing notional amount such that the Hedge Notional Amount shall
be at least equal to the product of the Hedge Percentage and the portion of the Hedge Amount represented by such Advance or Swingline Advances; and 
 (iv) provide for two series of quarterly (or monthly if the Administrative Agent makes an election to change the Payment Date pursuant to clause (b) of the definition thereof) payments to be netted against
each other, one such series being payments to be made by the Seller to a Hedge Counterparty (solely on a net basis) by reference to a fixed rate for that Advance or Swingline Advance, and the other such series being payments to be made by the
applicable Hedge Counterparty to the Administrative Agent (solely on a net basis) at a floating rate equal to “USD-LIBOR-BBA” (as defined in the ISDA Definitions), the net amount of which shall be paid into the Collection Account (if
payable by the applicable Hedge Counterparty) or from the Collection Account to the extent funds are available under Section 2.10(a)(i) and Section 2.1l(a)(i) of this Agreement (if payable by the Seller). 
  

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 (b) As additional security hereunder, Seller hereby assigns to the Trustee (solely in its
representative capacity and not individually), for the benefit of the Secured Parties, all right, title and interest (but none of the obligations) of the Seller in each Hedging Agreement, each Hedge Transaction, and all present and future amounts
payable by a Hedge Counterparty to Seller under or in connection with the respective Hedging Agreement and Hedge Transaction(s) with that Hedge Counterparty (“Hedge Collateral”), and Grants a security interest to the Trustee, for
the benefit of the Secured Parties, in the Hedge Collateral, provided, however, that so long as the Hedge Counterparty is the Administrative Agent or any Affiliate thereof, the Trustee, on behalf of the Secured Parties, hereby grants
to the Seller a non-exclusive license (which shall be deemed revoked upon the occurrence of a Termination Event) to exercise any rights under any related Hedging Agreement or Hedge Transaction. Seller acknowledges that, as a result of that
assignment, Seller may not, except as set forth in the proviso to the immediately preceding sentence, without the prior written consent of the Administrative Agent and the Trustee, exercise any rights under any Hedging Agreement or Hedge
Transaction, except for Seller’s right under any Hedging Agreement to enter into Hedge Transactions in order to meet the Seller’s obligations under Section 5.3(a) hereof. Nothing herein shall have the effect of releasing the
Seller from any of its obligations under any Hedging Agreement or any Hedge Transaction, nor be construed as requiring the consent of the Administrative Agent, the Trustee or any Secured Party for the performance by Seller of any such obligations.

 (c) The Seller shall, promptly upon execution thereof, provide to the Administrative Agent and the Trustee, a copy of any
Hedging Agreement (including each “Confirmation” thereunder) entered into in connection with this Agreement. 
 Section 5.4. Affirmative Covenants of the Servicer. 
 From the date hereof until the Collection Date: 

(a) Compliance with Law. The Servicer will comply in all material respects with all Applicable Laws, including those with
respect to the Collateral or any part thereof. 
 (b) Preservation of Company Existence. The Servicer will preserve and
maintain its corporate existence, rights, franchises and privileges in the jurisdiction of its formation, and qualify and remain qualified in good standing as a corporation in each jurisdiction where the failure to preserve and maintain such
existence, rights, franchises, privileges and qualification has had, or could reasonably be expected to have, a Material Adverse Effect. 
  

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 (c) Obligations and Compliance with Collateral. The Servicer will duly fulfill and
comply with all obligations on the part of the Seller to be fulfilled or complied with under or in connection with each Collateral and will do nothing to impair the rights of the Trustee, for the benefit of the Secured Parties, in, to and under the
Collateral. 
 (d) Keeping of Records and Books of Account. 
 (i) The Servicer will maintain and implement administrative and operating procedures (including, without limitation, an ability to
recreate records evidencing Collateral in the event of the destruction of the originals thereof), and keep and maintain all documents, books, records and other information reasonably necessary or advisable for the collection of all Collateral and
the identification of the Collateral. 
 (ii) The Servicer shall permit the Trustee, the Administrative Agent, each Purchaser
Agent or their respective agents or representatives, to visit the offices of the Servicer during normal office hours and upon reasonable notice and examine and make copies of all documents, books, records and other information concerning the
Collateral and discuss matters related thereto with any of the Responsible Officers of the Servicer having knowledge of such matters. 
 (iii) The Servicer will, on or prior to the date hereof, mark its master data processing records and other books and records relating to the Collateral with a legend, acceptable to the Administrative Agent and each
Purchaser Agent, describing (A) the sale of the Collateral from the Originator to the Seller, and (B) the pledge of the Collateral from the Seller to the Trustee for the benefit of the Secured Parties. 
 (e) Preservation of Security Interest. The Servicer (in the case of the initial Servicer, at its own expense) will execute and file
such financing and continuation statements and any other documents that may be required by any law or regulation of any Governmental Authority to preserve and protect fully the security interest of the Trustee for the benefit of the Secured Parties
in, to and under the Collateral. 
 (f) Credit and Collection Policy. The Servicer will (i) comply in all material
respects with the Credit and Collection Policy in regard to the Collateral, and (ii) furnish to the Administrative Agent and each Purchaser Agent, prior to its effective date, prompt written notice of any changes in the Credit and Collection
Policy. The Servicer will not agree to or otherwise permit to occur any change in the Credit and Collection Policy that could have a Material Adverse Effect without the prior written consent of the Administrative Agent and each Purchaser Agent;
provided, that no consent shall be required from the Administrative Agent or any Purchaser Agent in connection with any change mandated by Applicable Law or a Governmental Authority as evidenced by an Opinion of Counsel to that 
  

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 effect delivered to the Administrative Agent and each Purchaser Agent. Performance by the Servicer of
this obligation shall be deemed performance by the Seller of its similar obligation under Section 5.1. 
 (g)
Termination Events. The Servicer will provide the Administrative Agent and each Purchaser Agent (with a copy to the Trustee and the Backup Servicer) with immediate written notice of the occurrence of each Termination Event and each Unmatured
Termination Event of which the Servicer has knowledge or has received notice. In addition, no later than five Business Days following the Servicer’s knowledge or notice of the occurrence of any Termination Event or Unmatured Termination Event,
the Servicer will provide to the Administrative Agent and each Purchaser Agent (with a copy to the Trustee and the Backup Servicer) a written statement of the chief financial officer or chief accounting officer of the Servicer setting forth the
details of such event and the action that the Servicer proposes to take with respect thereto. Performance by the Servicer of this obligation shall be deemed performance by the Seller of its similar obligation under Section 5.1.

 (h) Taxes. The Servicer will file and pay any and all Taxes required to meet the obligations of the Seller under the
Transaction Documents. Performance by the Servicer of this obligation shall be deemed performance by the Seller of its similar obligation under Section 5.1. 
 (i) Other. The Servicer will promptly furnish to the Trustee, the Administrative Agent and each Purchaser Agent such other
information, documents, records or reports respecting the Collateral or the condition or operations, financial or otherwise, of the Seller or the Servicer as the Trustee, the Administrative Agent and each Purchaser Agent may from time to time
reasonably request in order to protect the interests of the Administrative Agent, each Purchaser Agent or Secured Parties under or as contemplated by this Agreement. 
 (j) Proceedings. As soon as possible and in any event within three Business Days after any executive officer of the Servicer
receives notice or obtains knowledge thereof, of any settlement of, material judgment (including a material judgment with respect to the liability phase of a bifurcated trial) in or commencement of any material labor controversy, material
litigation, material action, material suit or material proceeding before any court or governmental department, commission, board, bureau, agency or instrumentality, domestic or foreign, affecting the Collateral, the Transaction Documents, the
Trustee’s interest in the Collateral on behalf of the Secured Parties, or the Seller, the Servicer or the Originator or any of their Affiliates; provided, however, notwithstanding the foregoing, any settlement, judgment,
labor controversy, litigation, action, suit or proceeding affecting the Collateral, the Transaction Documents, the Trustee’s interest in the Collateral on behalf of the Secured Parties, or the Seller, the Servicer or the Originator or any of
their Affiliates in excess of $1,000,000 or more shall be deemed to be material for purposes of this Section 5.4(j). 
  

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 (k) Deposit of Collections. The Servicer shall promptly (but in no event later
than two Business Days after receipt) deposit into the Collection Account any and all Collections received by the Seller, the Servicer or any of their Affiliates. 
 (l) Servicing of Participations. With respect to Participations, the Servicer shall: (i) segregate all Loan Files with respect
to such Loans; (ii) keep separate records with respect to such Loans; and (iii) identify each Participation on the Servicing Reports required hereunder with respect to such Assets. 
 (m) Change-in-Control. Upon the occurrence of a Change-in-Control, the Servicer shall provide the Administrative Agent, each
Purchaser Agent, the Trustee, the Backup Servicer and the Hedge Counterparties with notice of such Change-in-Control within 30 days after completion of the same. 
 (n) Subservicing Agreement. The Servicer shall maintain a Subservicing Agreement with JPMorgan FCS Corp. for at least 90 days
following the date provided in clause (c) of the definition of Termination Date. 
 Section 5.5. Negative Covenants of the
Servicer. 
 From the date hereof until the Collection Date: 
 (a) Deposits to Special Accounts. Except as otherwise contemplated by the Intercreditor Agreement, the Servicer will not deposit or
otherwise credit, or cause or permit to be so deposited or credited, to the Concentration Account, Cash or Cash proceeds other than Collections in respect of the Collateral. 
 (b) Mergers, Acquisition, Sales, etc. The Servicer will not consolidate with or merge into any other Person or convey or transfer
its properties and assets substantially as an entirety to any Person, unless the Servicer is the surviving entity and unless: 
 (i) the Servicer has delivered to the Administrative Agent and each Purchaser Agent an Officer’s Certificate and an Opinion of Counsel each stating that any consolidation, merger, conveyance or transfer and such supplemental agreement
comply with this Section 5.5(b) and that all conditions precedent herein provided for relating to such transaction have been complied with and, in the case of the Opinion of Counsel, that such supplemental agreement is legal, valid and
binding with respect to the Servicer and such other matters as the Administrative Agent may reasonably request; 
 (ii) the
Servicer shall have delivered notice of such consolidation, merger, conveyance or transfer to the Administrative Agent and each Purchaser Agent; 
  

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 (iii) after giving effect thereto, no Termination Event or Servicer Default or event
that with notice or lapse of time would constitute either a Termination Event or a Servicer Default shall have occurred; and 
 (iv) the Administrative Agent and each Purchaser Agent have consented in writing to such consolidation, merger, conveyance or transfer. 
 (c) Change of Name or Location of Loan Files. The Servicer shall not (x) change its name, move the location of its principal place of business and chief executive office, change the offices where it keeps
records concerning the Collateral from the location referred to in Section 13.2, or change the jurisdiction of its formation, or (y) move, or consent to the Trustee moving, the Required Loan Documents and Loan Files from the
location thereof on the Closing Date, unless the Servicer has given at least 30 days’ written notice to the Administrative Agent and the Trustee and has taken all actions required under the UCC of each relevant jurisdiction in order to continue
the first priority perfected security interest of the Trustee for the benefit of the Secured Parties in the Collateral. 
 (d)
Change in Payment Instructions to Obligors. The Servicer will not terminate the Concentration Account Bank or the Concentration Account listed in Schedule II or make any change in its instructions to Obligors regarding payments to be
made to the Seller or the Servicer or payments to be made to the Concentration Account Bank, unless the Administrative Agent has consented to such addition, termination or change (which consent shall not be unreasonably withheld) and has received
duly executed copies of each Intercreditor Agreement (incorporating appropriate amendments), with each new Concentration Account Bank being a party thereto. 
 (e) Extension or Amendment of Assets. The Servicer will not, except as otherwise permitted in Section 6.4(a), extend,
amend or otherwise modify the terms of any Assets. 
 (f) Taxable Mortgage Pool Matters. The Servicer (if other than
the Backup Servicer acting as Successor Servicer) will manage the portfolio and advise the Seller with respect to purchases of Assets so as to not at any time allow the sum of the Principal Balances of all Assets owned by the Seller and that are
principally secured by an interest in real property (within the meaning of Treasury Regulation Section 301.7701(i)-1(d)(3)) to exceed 40% of the Principal Collateral Value. 
 Section 5.6. Affirmative Covenants of the Trustee. 
 From the date hereof until the Collection Date: 
 (a) Compliance with Law. The Trustee
will comply in all material respects with all Applicable Laws. 
  

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 (b) Preservation of Existence. The Trustee will preserve and maintain its
existence, rights, franchises and privileges in the jurisdiction of its formation, and qualify and remain qualified in good standing in each jurisdiction where the failure to preserve and maintain such existence, rights, franchises, privileges and
qualification could reasonably be expected to have, a Material Adverse Effect. 
 (c) Location of Required Loan
Documents. Subject to Section 8.8, the Required Loan Documents shall remain at all times in the possession of the Trustee at the address set forth on Annex A to this Agreement unless notice of a different address is given in
accordance with the terms hereof or unless the Administrative Agent agrees to allow certain Required Loan Documents to be released to the Servicer on a temporary basis in accordance with the terms hereof except as such Required Loan Documents may be
released pursuant to this Agreement. 
 Section 5.7. Negative Covenants of the Trustee. 
 (a) No Changes in Trustee Fee. From the date hereof until the Collection Date, the Trustee will not make any changes to the Trustee
Fee set forth in the Trustee Fee Letter without the prior written approval of the Administrative Agent, each Purchaser Agent, the Seller and the Servicer. 
 (b) Required Loan Documents. The Trustee will not dispose of any documents constituting the Required Loan Documents in any manner that is inconsistent with the performance of its obligations as the Trustee
pursuant to this Agreement and will not dispose of any Collateral except as contemplated by this Agreement. 
 Section 5.8.
Affirmative Covenants of the Backup Servicer. 
 From the date hereof until the Collection Date: 
 (a) Compliance with Law. The Backup Servicer will comply in all material respects with all Applicable Laws. 
 (b) Preservation of Existence. The Backup Servicer will preserve and maintain its existence, rights, franchises and privileges in
the jurisdiction of its formation and qualify and remain qualified in good standing in each jurisdiction where failure to preserve and maintain such existence, rights, franchises, privileges and qualification could reasonably be expected to have, a
Material Adverse Effect. 
 Section 5.9. Negative Covenants of the Backup Servicer. 
 No Changes in Backup Servicing Fee. From the date hereof until the Collection Date, the Backup Servicer will not make any changes to the Backup
Servicing Fee set forth in the Backup Servicer Fee Letter without the prior written approval of the Administrative Agent, each Purchaser Agent, the Seller and the Servicer. 
  

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 ARTICLE VI. 
 ADMINISTRATION AND SERVICING OF ASSETS 
 Section 6.1. Designation of the Servicer.

 (a) Servicer. The servicing, administering and collection of the Collateral shall be conducted by the Person
designated as the Servicer hereunder from time to time in accordance with this Section 6.1. Until the Administrative Agent gives to the Company a Servicer Termination Notice, the Company is hereby designated as, and hereby agrees to
perform the duties and responsibilities of, the Servicer pursuant to the terms hereof. 
 (b) Successor Servicer. Upon
the Servicer’s receipt of a Servicer Termination Notice (with a copy to the Trustee and Backup Servicer) from the Administrative Agent pursuant to the terms of Section 6.18, the Servicer agrees that it will terminate its activities
as Servicer hereunder in a manner that the Administrative Agent reasonably believes will facilitate the transition of the performance of such activities to a successor Servicer, and the successor Servicer shall assume each and all of the
Servicer’s obligations to service and administer the Collateral, on the terms and subject to the conditions herein set forth, and the Servicer shall use its best reasonable efforts to assist the successor Servicer in assuming such obligations.

 (c) Subcontracts. The Servicer may, with the prior consent of the Administrative Agent (and with notice to the
Backup Servicer), subcontract with any other Person for servicing, administering or collecting the Collateral; provided, however, that the Servicer shall remain liable for the performance of the duties and obligations of
the Servicer pursuant to the terms hereof and that any such subcontract may be terminated upon the occurrence of a Servicer Default. 
 (d) Servicing Programs. In the event that the Servicer uses any software program in servicing the Collateral that it licenses from a third party, the Servicer shall use its best reasonable efforts to obtain, either before the Initial
Closing Date or as soon as possible thereafter, whatever licenses or approvals are necessary to allow the Servicer to assign such licenses to the Backup Servicer or to any other Successor Servicer appointed as provided in this Agreement. 

Section 6.2. Duties of the Servicer. 
 (a) Appointment. The Seller hereby appoints the Servicer as its agent, as from time to time designated pursuant to Section 6.1, to service the Collateral and enforce its respective rights in and
under such Collateral. In order to facilitate the servicing of the Collateral, the Trustee is hereby directed to and does authorize the Company to perform the duties of the Servicer under this Agreement and the other Transaction Documents. The
Servicer hereby accepts such appointment and agrees to perform the duties and obligations with respect thereto as set forth 
  

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 herein. The Servicer and the Seller hereby acknowledge that the Administrative Agent, each Purchaser
Agent, the Trustee and the Secured Parties are third party beneficiaries of the obligations undertaken by the Servicer hereunder. The parties hereto each acknowledge that the Servicer, as Servicer under this Agreement, possesses only such rights
with respect to the enforcement of rights and remedies with respect to the Loans and the Related Property and under the Required Loan Documents as have been transferred to the Seller and the Trustee with respect to the related Loan. 
 (b) Duties. 
 (i) The Servicer shall take or cause to be taken all such actions as may be necessary or advisable to collect on the Collateral from time to time, all in accordance with Applicable Laws, and in accordance with the Credit and Collection
Policy and the Servicing Standard. Without limiting the foregoing, the duties of the Servicer shall include the following: 
 (ii) preparing and submitting of claims to, and post-billing liaison with, Obligors on each Asset; 
 (iii)
maintaining all necessary servicing records with respect to the Collateral and providing such reports to the Administrative Agent and each Purchaser Agent and the Trustee in respect of the servicing of the Collateral (including information relating
to its performance under this Agreement) as may be required hereunder or as the Administrative Agent and each Purchaser Agent may reasonably request; 
 (iv) maintaining and implementing administrative and operating procedures (including, without limitation, an ability to recreate servicing records evidencing the Collateral in the event of the destruction of the
originals thereof) and keeping and maintaining all documents, books, records and other information reasonably necessary or advisable for the collection of the Collateral; 
 (v) promptly delivering to the Administrative Agent, each Purchaser Agent, the Backup Servicer, or the Trustee, from time to time, such
information and servicing records (including information relating to its performance under this Agreement) as the Administrative Agent, each Purchaser Agent or the Trustee may from time to time reasonably request; 
 (vi) identifying each Asset clearly and unambiguously in its servicing records to reflect that such Asset is owned by the Seller and that
the Seller is Granting a security interest therein to the Trustee for the benefit of the Secured Parties pursuant to this Agreement; 
 (vii) notifying the Administrative Agent and each Purchaser Agent (with a copy to the Backup Servicer) of any material action, suit, proceeding, dispute, offset, deduction, defense or counterclaim (1) that is

  

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 or is threatened to be asserted by an Obligor with respect to any Asset (or portion thereof) of which it
has knowledge or has received notice; or (2) that is reasonably expected to have a Material Adverse Effect; 
 (viii)
providing prompt written notice to the Administrative Agent and each Purchaser Agent (with a copy to the Backup Servicer), prior to the effective date thereof, of any changes in the Credit and Collection Policy that could be reasonably expected to
have a Material Adverse Effect; 
 (ix) maintaining the perfected security interest of the Trustee, for the benefit of the
Secured Parties, in the Collateral; 
 (x) maintaining the Loan File with respect to Assets included as part of the
Collateral, provided that so long as the Servicer is in possession of any Required Loan Documents, the Servicer will hold such Required Loan Documents in a fireproof safe or fireproof file cabinet; and 
 (xi) directing the Trustee to make payments pursuant to the terms of the Servicing Report in accordance with Section 2.10 and
Section 2.11. 
 (c) Notwithstanding anything to the contrary contained herein, the exercise by the Trustee, the
Administrative Agent, each Purchaser Agent and the Secured Parties of their rights hereunder shall not release the Servicer, the Originator or the Seller from any of their duties or responsibilities with respect to the Collateral as expressly
provided in the Transaction Documents entered into respectively by them. The Secured Parties, the Administrative Agent, each Purchaser Agent shall not have any obligation or liability with respect to any Collateral, nor shall any of them be
obligated to perform any of the obligations of the Servicer, the Trustee or the Backup Servicer hereunder. 
 (d) Any payment
by an Obligor in respect of any Indebtedness owed by it to the Originator or the Seller shall, except as otherwise specified by such Obligor or otherwise required by contract or law and unless otherwise instructed by the Administrative Agent, be
applied as a Collection of an item of Collateral of such Obligor (starting with the oldest such Collateral) to the extent of any amounts then due and payable thereunder before being applied to any other receivable or other obligation of such
Obligor. 
 Section 6.3. Authorization of the Servicer. 
 (a) Each of the Seller, the Trustee and the Secured Parties hereby authorizes the Servicer (including any successor thereto) to take any
and all reasonable steps in its name and on its behalf necessary or desirable and not inconsistent with the Grant of the Collateral to the Trustee, for the benefit of the Secured Parties, in the determination of the Servicer, to collect all amounts
due under any and all Collateral, including, without limitation, endorsing any of their 
  

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 names on checks and other instruments representing Collections, executing and delivering any and all
instruments of satisfaction or cancellation, or of partial or full release or discharge, and all other comparable instruments, with respect to the Collateral and, after the delinquency of any Collateral and to the extent permitted under and in
compliance with Applicable Law, to commence proceedings with respect to enforcing payment thereof, to the same extent as the Originator could have done if it had continued to own such Collateral. The Originator, the Seller and the Trustee, for the
benefit of the Secured Parties shall furnish the Servicer (and any successors thereto) with any powers of attorney and other documents necessary or appropriate to enable the Servicer to carry out its servicing and administrative duties hereunder,
and shall cooperate with the Servicer to the fullest extent in order to ensure the collectibility of the Collateral. In no event shall the Servicer be entitled to make the Trustee, the Secured Parties, the Backup Servicer, the Administrative Agent
or the Purchaser Agents a party to any litigation without such party’s express prior written consent, or to make the Seller a party to any litigation, in each such case arising out of or relating to the administration, collection or enforcement
of any Asset (other than any routine foreclosure or similar collection procedure) without the Administrative Agent’s, each Purchaser Agent’s consent. 
 (b) After a Termination Event has occurred and is continuing, at the direction of the Administrative Agent, the Servicer shall take such
action as the Administrative Agent may deem necessary or advisable to enforce collection of the Collateral; provided, however, that the Administrative Agent may or may request the Trustee to, at any time that a Termination Event
or Unmatured Termination Event has occurred and is continuing, notify any Obligor or any agent under any Agented Loan or Third Party Serviced Loan with respect to any Collateral of the Grant of such Collateral to the Trustee and direct that payments
of all amounts due or to become due be made directly to the Trustee or any servicer, collection agent or lock-box or other account designated by the Trustee and, upon such notification and at the expense of the Seller, the Administrative Agent may
enforce collection of any such Collateral, and adjust, settle or compromise the amount or payment thereof or request that the Trustee do the same at its direction subject to the applicable provisions of this Agreement. 
 Section 6.4. Collection of Payments. 
 (a) Collection Efforts; Modification of Collateral. The Servicer will collect, or cause to be collected, all payments called for under the terms and provisions of the Assets included in the Collateral as and
when the same become due in accordance with the Credit and Collection Policy and the Servicing Standard, and will follow those collection procedures that it follows with respect to all comparable Collateral that it services for itself or others. The
Servicer may not waive, modify or otherwise vary any provision of an item of Collateral in a manner that would impair in any material respect the collectibility of the Collateral or in any manner contrary to the Credit and Collection Policy and the
Servicing Standard. 
  

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 (b) Prepaid Asset. Prior to a Termination Event, the Servicer may not voluntarily
permit an Asset to become a Prepaid Asset in whole or in part, unless (x) the Servicer provides a Substitute Asset in accordance with Section 2.19 or (y) such prepayment will not result in the Collection Account receiving an
amount (the “Prepayment Amount”) less than the sum of (a) the Principal Balance (or portion thereof to be prepaid) on the date of such payment, (b) any outstanding Servicer Advances thereon, (c) any accrued and unpaid
interest thereon, and (d) all Hedge Breakage Costs owing to the relevant Hedge Counterparty for any termination of one or more Hedge Transactions, in whole or in part, as required by the terms of any Hedging Agreement as the result of any such
Asset becoming a Prepaid Asset. After a Termination Event has occurred, the Servicer may not voluntarily permit an Asset to become a Prepaid Asset in whole or in part unless the Servicer collects an amount equal to the sum of (a) the Principal
Balance (or portion thereof to be prepaid) on the date of such prepayment, (b) any outstanding Servicer Advances thereon, (c) any accrued and unpaid interest thereon, and (d) all Hedge Breakage Costs owing to the relevant Hedge
Counterparty for any termination of one or more Hedge Transactions, in whole or in part, as required by the terms of any Hedging Agreement as the result of any such Collateral becoming a Prepaid Asset. 
 (c) Acceleration. If required by the Credit and Collection Policy and the Servicing Standard, the Servicer shall accelerate the
maturity of all or any Scheduled Payments and other amounts due under any Loan in which a default under the terms thereof has occurred and is continuing (after the lapse of any applicable grace period) promptly after such Loan becomes a Charged-Off
Loan. 
 (d) Taxes and other Amounts. The Servicer will use its best efforts to collect all payments with respect to
amounts due for taxes, assessments and insurance premiums relating to each Asset to the extent required to be paid to Seller for such application under the Underlying Instruments and remit such amounts to the appropriate Governmental Authority or
insurer as required by the Underlying Instruments. 
 (e) Payments to Concentration Account. On or before the
applicable Cut-Off Date, the Servicer shall have instructed all Obligors to make all payments in respect of the Collateral directly to the Concentration Account, except for the Obligors of Bonds who will be instructed to make payments with respect
thereto either to the Concentration Account or to the Custodial Account, provided, however, that the Servicer is not required to so instruct any Obligor which is solely a guarantor unless and until the Servicer calls on the
related guaranty. 
 (f) Accounts. Each of the parties hereto hereby agrees that (i) each Account shall be deemed
to be a “Securities Account” and (ii) except as otherwise expressly provided herein, the Trustee shall be exclusively entitled to exercise the rights that comprise each Financial Asset held in each Account. Each of the parties hereto
hereby agrees to cause the Trustee, or any other Securities Intermediary that holds any money or other property for the Seller in an Account 
  

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 to agree with the parties hereto that (A) the Cash and other property (subject to
Section 6.4(g) below with respect to any property other than investment property, as defined in Section 9-102(a)(49) of the UCC) is to be treated as a Financial Asset under Article 8 of the UCC and (B) the “securities
intermediary’s jurisdiction” (within the meaning of Section 8-110 of the UCC) for that purpose shall be the State of New York. In no event may any Financial Asset held in any Account be registered in the name of, payable to the order
of, or specially indorsed to, the Seller, unless such Financial Asset has also been indorsed in blank or to the Trustee or other Securities Intermediary that holds such Financial Asset in such Account. 
 (g) Underlying Instruments. Notwithstanding any term hereof (or any term of the UCC that might otherwise be construed to be
applicable to a “securities intermediary” as defined in the UCC) to the contrary, neither the Trustee nor any Securities Intermediary shall be under any duty or obligation in connection with the acquisition by the Seller, or the Grant by
the Seller to the Trustee, for the benefit of the Secured Parties, of any Asset in the nature of a loan or a participation in a loan to examine or evaluate the sufficiency of the documents or instruments delivered to it by or on behalf of the Seller
under the related Underlying Instruments, or otherwise to examine the Underlying Instruments, in order to determine or compel compliance with any applicable requirements of or restrictions on transfer (including without limitation any necessary
consents). The Trustee shall hold any Instrument delivered to it evidencing any Asset Granted to the Trustee hereunder as trustee and custodial agent for the Secured Parties in accordance with the terms of this Agreement. 
 (h) Establishment of the Collection Account. The Servicer shall cause to be established, on or before the Initial Closing Date,
with the Trustee, and maintained in the name of the Seller, subject to the lien of the Trustee, for the benefit of the Secured Parties, a segregated corporate trust account entitled “Collection Account for NewStar CP Funding LLC, subject to the
lien of U.S. Bank National Association, as Trustee for benefit of the Secured Parties” (the “Collection Account”), and the Servicer shall further cause to be maintained two subaccounts linked to and constituting part of the
Collection Account for the purpose of segregating, within two Business Days of the receipt of any Collections, Principal Collections (the “Principal Collections Account”) and Interest Collections (the “Interest Collections
Account”), respectively, over which the Trustee for the benefit of the Secured Parties shall have control and from which none of the Originator, the Servicer or the Seller shall have any right of withdrawal except in accordance with
Section 2.10(b). 
 (i) Establishment of the Custodial Account. The Seller shall, prior to the Initial
Closing Date, establish at the Trustee a single, segregated trust account which shall be designated as the “Custodial Account”, which shall be held by the Trustee in trust in the name of Seller, subject to the lien of the Trustee for the
benefit of the Secured Parties and over which the Trustee, for the benefit of the Secured Parties, shall have exclusive control and sole right of withdrawal and into 
  

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 which the Trustee shall from time to time deposit Collateral. All Collateral deposited from time to time
in the Custodial Account pursuant to this Agreement shall be held by the Trustee as part of the Collateral and shall be applied to the purposes herein provided. The Trustee agrees to give the Seller immediate notice if the Custodial Account or any
funds on deposit therein, or otherwise to the credit of the Custodial Account, shall become subject to any writ, order, judgment, warrant of attachment, execution or similar process. The Seller shall not have any legal, equitable or beneficial
interest in the Custodial Account other than in accordance with Section 2.10 and Section 2.11. 
 (j)
Adjustments. If (i) the Servicer makes a deposit into the Collection Account in respect of a Collection of an item of Collateral and such Collection was received by the Servicer in the form of a check that is not honored for any reason
or (ii) the Servicer makes a mistake with respect to the amount of any Collection and deposits an amount that is less than or more than the actual amount of such Collection, the Servicer shall appropriately adjust the amount subsequently
deposited into the Collection Account to reflect such dishonored check or mistake. Any Scheduled Payment in respect of which a dishonored check is received shall be deemed not to have been paid. 
 (k) Establishment of the Holding Account. On the Closing Date, the Servicer shall cause to be established, and maintained in the
name of the Seller, subject to the lien of the Trustee, for the benefit of the Secured Parties, a segregated trust account entitled “Holding Account for NewStar CP Funding LLC”, subject to the lien of U.S. Bank National Association, as
Trustee for the Secured Parties” (the “Holding Account”) and over which the Trustee, for the benefit of the Secured Parties, shall have control for the purpose of receiving and disbursing funds and from which none of the
Originator, the Servicer or the Seller shall have any right of withdrawal, in each case except in accordance with Section 2.2(c) and Section 2.3(c), as applicable. 
 Section 6.5. Servicer Advances. 
 (a) The Servicer shall make Servicer Advances (subject in all cases to Section 6.5(b) with respect to any Nonrecoverable Advances) with respect to all customary, reasonable and necessary “out-of-pocket”
costs and expenses (including reasonable attorneys’ fees and disbursements) incurred in connection with: 
 (i) any
enforcement, administrative or judicial proceedings, or any necessary legal work or advice specifically related to servicing the Loans, including but not limited to, bankruptcies, condemnations, foreclosures by subordinate lienholders, legal costs
associated with preparing powers of attorney, and other legal actions incidental to the servicing of the Assets (provided that such expenses are reasonable and that the Servicer specifies the Asset(s) to which such expenses relate); and 

 

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 (ii) all ground rents, taxes, assessments, water rates, sewer rates and other charges,
as applicable, that are or may become a lien upon the Mortgaged Property, and all fire, flood, hazard and other insurance coverage (in each case to the extent required to be paid by the Obligor under the Underlying Instruments and to the extent
required in this Agreement, including renewal payments). 
 With respect to any costs described in clauses (i) and (ii)
above and to the extent the related Loan File does not provide for escrow payments or the Servicer determines that any such payments have not been made by the related Obligor, the Servicer shall effect timely payment of all such expenses before they
become delinquent if the Servicer shall have or should have had knowledge based on the Servicing Standard of such nonpayment by the Obligor before it becomes delinquent, and, otherwise, the Servicer shall effect immediate payment of all such
expenses which it has knowledge or should have knowledge based on the Servicing Standard have become delinquent. The Servicer shall make Servicer Advances from its own funds to effect such payments, but only to the extent it does not deem such an
advance, if made, a Nonrecoverable Advance, and shall be reimbursed therefor in accordance with Sections 2.10(a)(iii) and (viii) and Sections 2.1l(a)(iii) and (viii). The Servicer may make Servicer Advances from its own
funds to effect Scheduled Payments or if the Servicer shall determine that the payment of any such amount is (i) necessary or appropriate to preserve the Related Property or (ii) would be in the best interest of the Seller and the Secured
Parties, then the Servicer may make a Servicer Advance in respect of such amount, but only to the extent that it does not deem such an advance, if made, a Nonrecoverable Advance, and the Servicer shall be reimbursed therefor in accordance with
Section 2.10(a)(iii) and (viii) and Section 2.1l(a)(iii) and (viii). The Servicer will deposit any Servicer Advances relating to Scheduled Payments into the Collection Account on or prior to 9:00 a.m.
(Charlotte, North Carolina time) on the Business Day prior to the related Payment Date, in immediately available funds. 
 (b)
Notwithstanding anything to the contrary set forth herein, the Servicer shall not be required to make any Servicer Advance that it determines in its reasonable, good faith judgment would constitute a Nonrecoverable Advance; provided,
however, that the Servicer may make a Servicer Advance notwithstanding that, at the time such Servicer Advance is made, the Servicer may not have adequate information available in order to make a determination whether or not such advance
would, if made, be a Nonrecoverable Advance. In addition, Nonrecoverable Advances (including any Servicer Advances made pursuant to the proviso of the preceding sentence which are ultimately determined to be Nonrecoverable Advances) shall be
reimbursable in accordance with Section 2.10(a)(viii) and Section 2.1l(a)(viii). 
 Section 6.6.
Realization upon Related Property of Charged-Off Loans; REO Property. 
 (a) Realization upon Mortgaged Property
of Charged-Off Loans. The Servicer will use reasonable efforts consistent with the Servicing Standard to foreclose upon or repossess, as applicable, or otherwise comparably convert the ownership of any Related Property relating to a Charged-Off
Loan as to which no 
  

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 satisfactory arrangements can be made for collection of delinquent payments. The Servicer will comply
with the Credit and Collection Policy, the Servicing Standard and Applicable Law in realizing upon such Related Property, which practices and procedures may include reasonable efforts to enforce all obligations of Obligors foreclosing upon,
repossessing and causing the sale of such Related Property at public or private sale in circumstances other than those described in the preceding sentence. Without limiting the generality of the foregoing, unless the Administrative Agent has
specifically given instruction to the contrary, the Servicer may cause the sale of any such Related Property to the Servicer or its Affiliates for a purchase price equal to the then fair market value thereof, any such sale to be evidenced by a
certificate of a Responsible Officer of the Servicer delivered to the Administrative Agent setting forth the Asset, the Related Property, the sale price of the Related Property and certifying that such sale price is the fair market value of such
Related Property. In any case in which any such Related Property has suffered damage, the Servicer will not expend funds in connection with any repair or toward the foreclosure or repossession of such Related Property unless it reasonably determines
that such repair and/or foreclosure or repossession will increase the Recoveries by an amount greater than the amount of such expenses. The Servicer will remit to the Collection Account the Recoveries received in connection with the sale or
disposition of Related Property relating to a Charged-Off Loan. 
 (b) Realization on REO Property. Title to any REO
Property shall be taken in the name of an REO Subsidiary which will enter into a joinder agreement or mortgage whereby such REO Property will be subjected to a lien and security interest in favor of the Trustee for the benefit of the Secured Parties
hereunder. The Servicer shall use its reasonable efforts to sell any REO Property as soon as practicable with due consideration to the Servicing Standard, and shall act in accordance with the Servicing Standard in negotiating and taking any other
action necessary or appropriate in connection with the sale of any REO Property, including the collection of all amounts payable in connection therewith. The Servicer may auction the REO Property to the highest bidder (which may be the Servicer) in
accordance with the Servicing Standard. The Servicer shall give the Administrative Agent not less than five days’ prior written notice of its intention to sell any REO Property, and in respect of such sale, the Servicer shall offer such REO
Property in a commercially reasonable manner. Where any Interested Person is among those bidding with respect to an REO Property, the Servicer shall require that all bids be submitted in writing and be accompanied by a refundable deposit of cash in
an amount equal to 5% of the bid amount. If the Servicer intends to bid on any REO Property, (i) the Servicer shall notify the Administrative Agent of such intent, (ii) the Servicer shall obtain an Appraisal of such REO Property and
(iii) the Servicer shall not bid less than the fair market value set forth in such Appraisal. 
 (c) No Recourse.
Any sale of an REO Property shall be without recourse to, or representation or warranty by, the Trustee, the Originator, the Servicer, the Seller or the related REO Subsidiary. 
  

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 (d) Limitation of Sales and Purchases. The Servicer may sell or purchase, or
permit the sale or purchase of, REO Property only on the terms and subject to the conditions set forth in this Section 6.6. 
 Section 6.7. Maintenance of Insurance Policies. 
 (a) Other than with respect to Third Party
Serviced Loans, the Servicer shall use its best efforts to cause each Obligor required to do so pursuant to the related Underlying Instruments to maintain in respect of the related Mortgaged Property all insurance coverage as is required under the
related Mortgage; provided, that if any Mortgage permits the holder thereof to dictate to the Obligor the insurance coverage to be maintained on such Mortgaged Property, the Servicer shall impose such insurance requirements as are
consistent with the Servicing Standard and the Credit and Collection Policy. If an Obligor fails to maintain such insurance, the Servicer shall (to the extent available at commercially reasonable terms as reasonably determined by the Servicer, which
shall be entitled to rely on an opinion of counsel or insurance consultants in making such determination) obtain such insurance (which may be through a master or single interest policy) and the cost (including any deductible relating to such
insurance and any out-of-pocket cost incurred by the Servicer in obtaining advice of counsel or insurance consultants) of such insurance (or in the case of a master or single interest policy, the incremental cost (including any deductible relating
to such insurance) of such insurance relating to the specific Mortgaged Property), shall be a Servicer Advance and shall be reimbursable to the Servicer in accordance with Section 2.10(a)(iii) and (viii) and
Section 2.ll(a)(iii) and (viii); provided, that the Servicer shall not be required to incur any such cost if such Servicer Advance would constitute a Nonrecoverable Advance. The Servicer shall also cause to be maintained for each
REO Property (to the extent available at commercially reasonable terms) no less insurance coverage than was previously required of the Obligor under the related Mortgage or as is consistent with the Servicing Standard and the Credit and Collection
Policy. 
 (b) If at any time a Mortgaged Property is located in an area identified in the Flood Hazard Boundary Map or Flood
Insurance Rate Map issued by the Federal Emergency Management Agency as having special flood hazards or it becomes located in such area by virtue of remapping conducted by such agency (and flood insurance has been made available), the Servicer
shall, if and to the extent that the Loan requires the Obligor or permits the mortgagee to require the Obligor to do so, use its best efforts to cause the related Obligor to maintain a flood insurance policy meeting the requirements of the current
guideline of the Federal Insurance Administration in the maximum amount of insurance coverage available under the National Flood Insurance Act of 1968, the Flood Disaster Protection Act of 1973 or the National Flood Insurance Reform Act of 1994, as
amended, unless otherwise specified by the related Loan. If (i) the Obligor is required by the terms of the Loan to maintain such insurance (or becomes obligated by virtue of the related Mortgaged Property becoming located in such area by
virtue of such remapping) or (ii) the terms of the Loan permit the 
  

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 mortgagee to require the Obligor to obtain such insurance, the Servicer shall promptly notify the Obligor
of its obligation to obtain such insurance. If the Obligor fails to obtain such flood insurance within 120 days of such notification, the Servicer shall obtain such insurance, the cost of which shall be a Servicer Advance and shall be reimbursable
to the Servicer in accordance with Section 2.10(a)(iii) and (viii) and Section 2.1l(a)(iii) and (viii); provided, that the Servicer shall not be required to incur any such cost if such Servicer Advance would
constitute a Nonrecoverable Advance. 
 (c) All Insurance Policies maintained by the Servicer shall (i) contain
“standard” mortgagee clause, with loss payable to the Servicer on behalf of the Secured Parties (in the case of insurance maintained in respect of Loans other than REO Properties), (ii) be in the name of the Servicer on behalf of the
Secured Parties in the case of insurance maintained in respect of REO Properties, (iii) include coverage in an amount not less than the lesser of (x) the full replacement cost of the improvements securing the Mortgaged Property or the REO
Property, as applicable, or (y) the outstanding principal balance owing on the related Loan or REO Loan, as applicable, and in any event, the amount necessary to avoid the operation of any co-insurance provisions, (iv) include a
replacement cost endorsement providing no deduction for depreciation (unless such endorsement is not permitted under the related Loan documents), (v) be noncancellable without 30 days’ prior written notice to the insured party (except in
the case of nonpayment, in which case such policy shall not be cancelled without 10 days prior notice) and (vi) be issued by a Qualified Insurer authorized under applicable law to issue such Insurance Policies. Any amounts collected by the
Servicer under any such policies (other than amounts to be applied to the restoration or repair of the related Mortgaged Property or REO Property or amounts to be released to the related Obligor, in each case in accordance with Applicable Law, the
terms of the related Underlying Instruments and the Servicing Standard) shall be deposited in the Collection Account. Any cost incurred by the Servicer in maintaining any such insurance shall not, for purposes hereof, be added to the outstanding
principal balance of the related Loan, notwithstanding that the terms of such Loan so permit, but shall be reimbursable by the Servicer as a Servicer Advance in accordance with Section 2.10(a)(iii) and (viii) and
Section 2.10(a)(iii) and (viii). 
 (d) If the Servicer obtains and maintains with a Qualified Insurer a
blanket policy insuring against hazard losses on all of the Mortgaged Properties and/or REO Properties for which it is responsible to cause the maintenance of insurance hereunder, then, to the extent such policy provides protection equivalent to the
individual policies otherwise required, the Servicer, shall conclusively be deemed to have satisfied its obligation to cause hazard insurance to be maintained on such Mortgaged Properties and/or REO Properties. Such policy may contain a deductible
clause (not in excess of a customary amount), in which case the Servicer shall, if there shall not have been maintained on a Mortgaged Property or an REO Property a hazard insurance policy complying with the requirements of this
Section 6.7, and there shall have been one or more losses which would have 
  

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 been covered by such policy, promptly deposit into the Collection Account from its own funds the amount
not otherwise payable under the blanket policy because of such deductible clause to the extent that any such deductible exceeds the deductible limitation that pertained to the related Loan, or, in the absence of any such deductible limitation, the
deductible limitation which is consistent with the Servicing Standard. The Servicer agrees to prepare and present, on behalf of itself and on behalf of the Trustee for the benefit of the Secured Parties, claims under any such blanket policy
maintained by it in a timely fashion in accordance with the terms of such policy. 
 (e) If the Servicer causes any Mortgaged
Property or REO Property to be covered by a master force placed insurance policy issued by a Qualified Insurer, which provides protection equivalent to the individual policies otherwise required, the Servicer shall conclusively be deemed to have
satisfied its obligations to cause hazard insurance to be maintained on such Mortgaged Properties and/or REO Properties. Such policy may contain a deductible clause, in which case the Servicer shall, in the event that (i) there shall not have
been maintained on the related Mortgaged Property or REO Property a policy otherwise complying with the provisions of this Section 6.7, and (ii) there shall have been one or more losses which would have been covered by such a policy
had it been maintained, deposit into the Collection Account from its own funds the amount not otherwise payable under such policy because of such deductible to the extent that any such deductible exceeds the deductible limitation that pertained to
the related Loan, or, in the absence of any such deductible limitation, the deductible limitation which is consistent with the Servicing Standard. The Servicer agrees to prepare and present, on behalf of itself and on behalf of the Trustee for the
benefit of the Secured Parties, claims under any such blanket policy maintained by it in a timely fashion in accordance with the terms of such policy. 
 (f) The Servicer shall maintain any required insurance coverage hereunder during any servicing transition in order to prevent a lapse in insurance coverage. 
 (g) Errors and Omissions and Fidelity Coverage. The Servicer shall obtain and maintain at its own expense and keep in full force
and effect throughout the term of this Agreement a blanket fidelity bond and an errors and omissions insurance policy with a Qualified Insurer covering the Servicer’s officers and employees in connection with its activities under this Agreement
in an amount not less than $2,000,000. Coverage of the Servicer under a policy or bond obtained by an Affiliate of the Servicer and providing the coverage required by this Section 6.7(g) shall satisfy the requirements of this
Section 6.7(g). 
  

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 Section 6.8. Enforcement of “Due-on-Sale” Clauses; Assumption Agreements.

 (a) To the extent any Loan contains an enforceable “due-on-sale” or “due-on-encumbrance” clause,
the Servicer shall enforce such clause unless the Servicer determines in accordance with the Servicing Standard that it would be in the best interest of the Secured Parties to waive any such clause. If the Servicer is unable to enforce any such
“due-on-sale” or “due-on-encumbrance” clause or if no such clause is applicable or the Servicer determines that such clause should be waived, the Servicer shall enter into an assumption agreement with the Person to whom such
property has been conveyed or is proposed to be conveyed, pursuant to which such Person becomes liable under the promissory note and, to the extent permitted by Applicable Law and the related Mortgage, the Obligor remains liable thereon. The
Servicer is also authorized to enter into a substitution of liability agreement with such Person, pursuant to which the original Obligor is released from liability and such Person is substituted as the Obligor and becomes liable under the promissory
note; provided, however, that such substitute Obligor must satisfy the requirements, if any, set forth in the related Underlying Instruments as a condition to approval of a Seller on a new Loan substantially similar to
such Loan; and provided, further, that, if such original Obligor was required to be a “single purpose entity,” such substitute Obligor shall be required, but only in such circumstances, to be a
“single purpose entity.” 
 (b) To the extent any Loan contains a clause granting a right of assumption to a
qualified substitute Obligor upon the sale, conveyance or transfer of the related Mortgaged Property, the Servicer shall enter into an assumption agreement with such qualified substitute Obligor, pursuant to which such substitute Obligor becomes
liable under the promissory note. If any Person other than the Obligor has, pursuant to the related Underlying Instruments, undertaken to indemnify the mortgagee and, in connection with an assumption of the type referred to in the preceding
sentence, the related Underlying Instruments permit a substitution of such third party indemnitor by a qualified substitute indemnitor, the Servicer shall enter into an assumption of liability agreement with such qualified substitute indemnitor,
pursuant to which such substitute indemnitor becomes liable under the relevant indemnification obligations. The Servicer is also authorized to enter into a substitution of liability agreement with such substitute Obligor, pursuant to which the
original Obligor is released from liability and such substitute Obligor is substituted as the Obligor and becomes liable under the promissory note; provided, however, that, such substitute Obligor must satisfy the
requirements, if any, set forth in the related Underlying Instruments or the underwriting requirements customarily imposed by the Servicing Standard and the Credit and Collection Policy as a condition to approval of a Seller on a new Loan
substantially similar to such Loan. 
 (c) The Servicer shall retain as additional servicing compensation any fee collected
for entering into an assumption or substitution of liability agreement. 
  

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 (d) Notwithstanding the foregoing or any other provision of this Agreement, the Servicer
shall not be deemed to be in default, breach or any other violation of its obligations hereunder by reason of any conveyance by an Obligor of a Mortgaged Property or any assumption of a Loan by operation of Applicable Law that the Servicer in good
faith determines it may be restricted by Applicable Law from preventing. 
 Section 6.9. [Reserved.] 
 Section 6.10. [Reserved.] 
 Section 6.11. Servicing Compensation. 
 As compensation for its servicing activities hereunder and reimbursement
for its expenses, the Servicer shall be entitled to receive the Servicing Fee provided that it shall be entitled to receive such fee from Collections only to the extent of funds available therefor pursuant to the provisions of
Section 2.10(a)(iv) or Section 2.1l(a)(iv), as applicable. 
 Section 6.12. Payment of Certain Expenses by
Servicer. 
 The Servicer will be required to pay all expenses incurred by it in connection with its activities under this Agreement,
including fees and disbursements of its independent accountants, Taxes imposed on the Servicer, expenses incurred by the Servicer in connection with payments and reports pursuant to this Agreement, and all other fees and expenses not expressly
stated under this Agreement for the account of the Seller, but excluding Servicer Advances and Liquidation Expenses incurred as a result of activities contemplated by Section 6.6; provided, however, for
avoidance of doubt, to the extent Servicer Advances and Liquidation Expenses relate to a Loan and a Retained Interest such Liquidation Expenses shall be allocated pro rata. The Servicer will be required to pay all reasonable fees and expenses
owing to any bank or trust company in connection with the maintenance of the Accounts and the Concentration Account. Notwithstanding the foregoing, and for the avoidance of doubt, nothing contained in this Section 6.12 shall prohibit the
Seller from reimbursing the Servicer for expenses incurred by it hereunder provided such amounts are paid from amounts permitted to be released under this Agreement to the Seller. 
 Section 6.13. Reports. 
 (a) Borrowing Notice. On each Funding Date, on each reduction of Advances Outstanding pursuant to Section 2.5(b) and on each reinvestment of Principal Collections pursuant to
Section 2.10(b), the Seller (and the Servicer on its behalf) will provide a Borrowing Notice, updated as of such date, to the Administrative Agent and each Purchaser Agent (with a copy to the Trustee). 
 (b) Servicing Report. On each Reporting Date, the Servicer will provide to the Seller, the Administrative Agent, each Purchaser
Agent, the Trustee and the Backup Servicer and any Liquidity Bank, a monthly statement determined as of the related Determination Date (a “Servicing Report”), signed by a Responsible Officer of the Servicer and the Seller and
substantially in the form of 
  

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 Exhibit C hereto (as such form may be amended from time to time by such changes as are mutually
agreeable to the Servicer and the Administrative Agent) and, in addition, a Borrowing Base calculated as of the most recent Measurement Date. 
 (c) Servicer’s Certificate. Together with each Servicing Report, the Servicer shall submit to the Administrative Agent, each Purchaser Agent, the Trustee, the Backup Servicer and any Liquidity Bank, a
certificate (a “Servicer’s Certificate”) signed by a Responsible Officer of the Servicer and substantially in the form of Exhibit J. 
 (d) Financial Statements. The Servicer will submit to the Administrative Agent, each Purchaser Agent, each Purchaser, the Trustee
and any Liquidity Bank, (i) within 45 days after the end of each of its fiscal quarters (excluding the fiscal quarter ending on the date specified in clause (ii)), commencing September 30, 2004, consolidated and consolidating
unaudited financial statements of the Servicer for the most recent fiscal quarter, and (ii) within 90 days after the end of each fiscal year, commencing with the fiscal year ended December 31, 2004, consolidated and consolidating audited
financial statements of the Servicer, audited by a firm of nationally recognized independent public accountants, as of the end of such fiscal year. 
 (e) Tax Returns. Upon demand by the Administrative Agent, each Purchaser Agent and any Liquidity Bank, the Servicer shall deliver copies of all federal, state and local Tax returns and reports filed by the
Seller and Servicer, or in which the Seller or Servicer was included on a consolidated or combined basis (excluding sales, use and like taxes). 
 (f) Reserved 
 Section 6.14. Annual Statement as to Compliance. 
 The Servicer will provide to the Administrative Agent, each Purchaser Agent, the Backup Servicer and the Trustee, within 90 days following the end of each
fiscal year of the Servicer, commencing with the fiscal year ending on December 31, 2004, a fiscal report signed by a Responsible Officer of the Servicer certifying that (a) a review of the activities of the Servicer, and the
Servicer’s performance pursuant to this Agreement, for the fiscal period ending on the last day of such fiscal year has been made under such Person’s supervision and (b) the Servicer has performed or has caused to be performed in all
material respects all of its obligations under this Agreement throughout such year and no Servicer Default has occurred and is continuing. 
 Section 6.15. Annual Independent Public Accountant’s Servicing Reports. 
 The Servicer will cause a firm of
nationally recognized independent public accountants (who may also render other services to the Servicer) to furnish to the Administrative Agent, each Purchaser Agent, the Trustee and the Backup Servicer, within 90 days following the end of each
fiscal year of the Servicer, commencing with the fiscal year ending on December 31, 2004: (i) a report relating to such fiscal year to the effect that (a) such firm has reviewed certain documents 
  

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 and records relating to the servicing of the Collateral, and (b) based on such examination, such firm is of the
opinion that the Servicing Reports for such year were prepared in compliance with this Agreement, except for such exceptions as it believes to be immaterial and such other exceptions as will be set forth in such firm’s report and (ii) a
report covering such fiscal year to the effect that such accountants have applied certain agreed-upon procedures (a draft of which procedures are attached hereto as Schedule IX, it being understood that the Servicer and the Administrative
Agent will provide an updated Schedule IX reflecting any further any remaining relating to such Schedule IX prior to the issuance of the first such agreed-upon procedures report, a copy of which ) to certain documents and records
relating to the Collateral under any Transaction Document, compared the information contained in the Servicing Reports and the Servicer’s Certificates delivered during the period covered by such report with such documents and records and that
no matters came to the attention of such accountants that caused them to believe that such servicing was not conducted in compliance with this Article VI, except for such exceptions as such accountants shall believe to be immaterial and such
other exceptions as shall be set forth in such statement. 
 Section 6.16. Limitation on Liability of the Servicer and Others.

 Except as provided herein, the Servicer shall not be under any liability to the Administrative Agent, each Purchaser Agent, the
Trustee, the Secured Parties or any other Person for any action taken or for refraining from taking any action pursuant to this Agreement whether arising from express or implied duties under this Agreement; provided, however,
notwithstanding anything to the contrary contained herein, nothing shall protect the Servicer against any liability that would otherwise be imposed by reason of its willful misfeasance, bad faith or negligence in the performance of duties or by
reason of its willful misconduct hereunder. 
 Section 6.17. The Servicer Not to Resign. 
 The Servicer shall not resign from the obligations and duties hereby imposed on it except upon the Servicer’s determination that (i) the
performance of its duties hereunder is or becomes impermissible under Applicable Law and (ii) there is no reasonable action that the Servicer could take to make the performance of its duties hereunder permissible under Applicable Law. Any such
determination permitting the resignation of the Servicer shall be evidenced as to clause (i) above by an Opinion of Counsel to such effect delivered to the Administrative Agent, each Purchaser Agent and the Trustee and Backup Servicer. No such
resignation shall become effective until a Successor Servicer shall have assumed the responsibilities and obligations of the Servicer in accordance with Section 6.2. 
 Section 6.18. Servicer Defaults. 
 If any one of the following events (a “Servicer Default”) shall occur and be continuing: 
 (a) any
failure by the Servicer to make any payment, transfer or deposit into the Collection Account (including, without limitation, with respect to bifurcation and remittance of Collections) as required by this Agreement which continues unremedied for a
period of two Business Days; 
  

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 (b) any failure on the part of the Servicer duly to observe or perform in any material
respect any other covenants or agreements of the Servicer set forth in this Agreement or the other Transaction Documents to which the Servicer is a party (including, without limitation, any material delegation of the Servicer’s duties that is
not permitted by Section 6.1) and the same continues unremedied for a period of 30 days (if such failure can be remedied) after the earlier to occur of (i) the date on which written notice of such failure requiring the same to be
remedied shall have been given to the Servicer (with a copy to the Backup Servicer) by the Administrative Agent or any Purchaser Agent or the Trustee and (ii) the date on which a Responsible Officer of the Servicer acquires knowledge thereof;

 (c) the failure of the Servicer to make any payment when due (after giving effect to any related grace period) with respect
to any recourse debt or other obligations, which debt or other obligations are in excess of United States $5,000,000, individually or in the aggregate, or the occurrence of any event or condition that has resulted in the acceleration of such
recourse debt or other obligations, whether or not waived; 
 (d) an Insolvency Event shall occur with respect to the
Servicer; 
 (e) the Servicer fails in any material respect to comply with the Credit and Collection Policy and the Servicing
Standard regarding the servicing of the Collateral and the same continues unremedied for a period of 30 days (if such failure can be remedied) after the earlier to occur of (i) the date on which written notice of such failure requiring the same
to be remedied shall have been given to the Servicer by the Administrative Agent or any Purchaser Agent or the Trustee and (ii) the date on which a Responsible Officer of the Servicer acquires knowledge thereof; 
 (f) as of any Determination Date, the Average Portfolio Charged-Off Ratio exceeds 3.5%; 
 (g) the Servicer consents or agrees to, or otherwise permits to occur, under circumstances in which the Servicer could have reasonably
prevented the occurrence thereof, any material amendment, modification, change, supplement or rescission (any of the foregoing an “amendment” for purposes of this Section 6.18(g)) of or to the Credit and Collection Policy
(after the adoption of same) in whole or in part that could have a Material Adverse Effect on the Collateral, the Administrative Agent, any Purchaser Agent or the other Secured Parties, without the prior written consent of the Administrative Agent
and each Purchaser Agent which amendment shall remain in effect for a period of ten Business Days after notice thereof is delivered to the Administrative Agent (which notice shall be delivered within seven days after the effectiveness of such
amendment) and the Administrative Agent shall not have delivered a written consent thereto during such ten Business Day period; provided, however, that such prior written consent shall not be required in the case of an amendment
which was mandated by any Applicable Law or Governmental Authority; 
  

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 (h) the Company or an Affiliate thereof shall cease to be the Servicer; 
 (i) the occurrence or existence of any change with respect to the Servicer which has a Material Adverse Effect; 
 (j) the Company fails to maintain the aggregate of its GAAP stockholders’ equity and subscribed stockholders’ equity in an
amount equal to at least 80% of the initial committed equity, as increased by (i) 80% of the proceeds of any equity offerings of the Company consummated after the Initial Closing Date, and (ii) 50% of cumulative positive net income earned
by the Company after the Initial Closing Date; 
 (k) any failure by the Servicer to deliver any required Servicing Report or
other Required Reports hereunder on or before the date occurring two Business Days after the date such report is required to be made or given, as the case may be, under the terms of this Agreement; 
 (l) any representation, warranty or certification made by the Servicer in any Transaction Document or in any certificate delivered
pursuant to any Transaction Document shall prove to have been incorrect when made, which has a Material Adverse Effect on the Administrative Agent, any Purchaser Agent or the Secured Parties and which continues to be unremedied for a period of 30
days after the earlier to occur of (i) the date on which written notice of such incorrectness requiring the same to be remedied shall have been given to the Servicer by the Administrative Agent or any Purchaser Agent or the Trustee and
(ii) the date on which a Responsible Officer of the Servicer acquires knowledge thereof; 
 (m) [Reserved]; 

(n) any financial or other information reasonably requested by the Administrative Agent, any Purchaser Agent or any Purchaser is not
provided as requested within a reasonable amount of time following such request; 
 (o) the rendering against the Servicer of
one or more final judgments, decrees or orders for the payment of money in excess of United States $7,500,000, individually or in the aggregate, and the continuance of such judgment, decree or order unsatisfied and in effect for any period of more
than 60 consecutive days without a stay of execution; 
 (p) any change in the management of the Servicer (whether by
resignation, termination, disability, death or lack of day to day management) relating to any four of Tim Conway, Buck Burnaman, Tim Shoyer, Peter Schmidt-Fellner, Bill Mallon, John Frishkopf, Bob Clemmens and Dan Adkinson, or any failure by any
four of the aforementioned Persons to provide active and 
  

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 material participation in the Servicer’s daily activities including, but not limited to, general
management, underwriting, and the credit approval process and credit monitoring activities, which no later than 60 days after the occurrence of any event specified above is not cured by the Servicer hiring a reputable, experienced individual
reasonably satisfactory to the Administrative Agent and each Purchaser Agent to replace the Person who is no longer actively participating in the management of the Servicer or which is not waived in writing by the Administrative Agent and each
Purchaser Agent; provided, however, that time relating to an individual’s vacation within the Servicer’s employee policy and customary industry standards shall not constitute lack of day to day management or failure to
provide active and material participation in the Servicer’s daily activities; 
 (q) any change in the control of the
Servicer that takes the form of either a merger or consolidation that does not comply with the provisions of Section 5.5(b); 
 (r) the Subservicing Agreement with JPMorgan FCS Corp. ceases to be in effect for 90 days during such time as it is required to be in effect hereunder, and such Subservicing Agreement is not replaced with subservicing
arrangements satisfactory to the Administrative Agent in its sole discretion; or 
 (s) the unpaid outstanding face amount of
the $100,000,000 Delayed Draw Extendible Senior Secured Notes due 2008 of the Company (the “Fortress Notes”) has been declared due and payable in full following the occurrence of an event of default with respect to the Fortress
Notes; 
 then notwithstanding anything herein to the contrary, so long as any such Servicer Default shall not have been remedied within any
applicable cure period prior to the date of the Servicer Termination Notice (defined below), the Administrative Agent, by written notice to the Servicer (with a copy to the Trustee and Backup Servicer) (a “Servicer Termination
Notice”), may terminate all of the rights and obligations of the Servicer as Servicer under this Agreement. 
 Section 6.19.
Appointment of Successor Servicer. 
 (a) On and after the receipt by the Servicer of a Servicer Termination Notice
pursuant to Section 6.18, the Servicer shall continue to perform all servicing functions under this Agreement until the date specified in the Servicer Termination Notice or otherwise specified by the Administrative Agent in writing or,
if no such date is specified in such Servicer Termination Notice or otherwise specified by the Administrative Agent, until a date mutually agreed upon by the Servicer and the Administrative Agent and shall be entitled to receive, to the extent of
funds available therefor pursuant to Section 2.10 or Section 2.11, as applicable, the Servicing Fee therefor until such date, together with the sum of (i) an amount equal to all unreimbursed Nonrecoverable Advances made
by such Servicer which remain outstanding as of such date plus (ii) an amount equal to any unreimbursed Servicer Advances (but solely to the extent of Collections 
  

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 received from time to time in respect of the Asset for which such Servicer Advance was made) which remain
outstanding as of such date. The Administrative Agent may at the time described in the immediately preceding sentence in its sole discretion, appoint the Backup Servicer as the Servicer hereunder, and the Backup Servicer shall on such date assume
all obligations of the Servicer hereunder, and all authority and power of the Servicer under this Agreement shall pass to and be vested in the Backup Servicer. As compensation therefor, the Backup Servicer shall be entitled to the Servicing Fee,
together with other servicing compensation in the form of assumption fees, late payment charges or otherwise as provided herein; including, without limitation, Transition Expenses. In the event that the Administrative Agent does not so appoint the
Backup Servicer, there is no Backup Servicer or the Backup Servicer is unable to assume such obligations on such date, the Administrative Agent shall as promptly as possible appoint a successor servicer (the “Successor Servicer”),
and such Successor Servicer shall accept its appointment by a written assumption in a form acceptable to the Administrative Agent and each Purchaser Agent. In the event that a Successor Servicer has not accepted its appointment at the time when the
Servicer ceases to act as Servicer, the Administrative Agent shall petition a court of competent jurisdiction to appoint any established financial institution, having a net worth of not less than United States $50,000,000 and whose regular business
includes the servicing of Collateral, as the Successor Servicer hereunder. 
 (b) Upon its appointment, the Backup Servicer
(subject to Section 6.19(a)) or the Successor Servicer, as applicable, shall be the successor in all respects to the Servicer with respect to servicing functions under this Agreement and shall be subject to all the responsibilities,
duties and liabilities relating thereto placed on the Servicer by the terms and provisions hereof, and all references in this Agreement to the Servicer shall be deemed to refer to the Backup Servicer or the Successor Servicer, as applicable;
provided, however, that the Backup Servicer or Successor Servicer, as applicable, shall have (i) no liability with respect to any action performed by the terminated Servicer prior to the date that the Backup Servicer or
Successor Servicer, as applicable, becomes the successor to the Servicer or any claim of a third party based on any alleged action or inaction of the terminated Servicer, (ii) no obligation to perform any advancing obligations, if any, of the
Servicer unless it elects to in its sole discretion, (iii) no obligation to pay any taxes required to be paid by the Servicer (provided, that the Backup Servicer or Successor Servicer, as applicable, shall pay any income taxes for which it is
liable), (iv) no obligation to pay any of the fees and expenses of any other party to the transactions contemplated hereby, and (v) no liability or obligation with respect to any Servicer indemnification obligations of any prior Servicer,
including the original Servicer. The indemnification obligations of the Backup Servicer or the Successor Servicer, as applicable, upon becoming a Successor Servicer, are expressly limited to those arising on account of its failure to act in good
faith and with reasonable care under the circumstances. In addition, the Backup Servicer or Successor Servicer, as applicable, shall have no liability relating to the representations and warranties of the Servicer contained in Article-IV.
Further, for so long as the Backup Servicer shall be the Successor Servicer, the provisions of Section 2.16, Section 2.17(b), Section 2.17(e) and Section 13.9 of this Agreement shall not apply to it in
its capacity as Servicer. 
  

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 (c) All authority and power granted to the Servicer under this Agreement shall
automatically cease and terminate upon termination of this Agreement and shall pass to and be vested in the Seller and, without limitation, the Seller is hereby authorized and empowered to execute and deliver, on behalf of the Servicer, as
attorney-in-fact or otherwise, all documents and other instruments, and to do and accomplish all other acts or things necessary or appropriate to effect the purposes of such transfer of servicing rights. The Servicer agrees to cooperate with the
Seller in effecting the termination of the responsibilities and rights of the Servicer to conduct servicing of the Collateral. 
 (d) Upon the Backup Servicer receiving notice that it is required to serve as the Servicer hereunder pursuant to the foregoing provisions of this Section 6.19, the Backup Servicer will promptly begin the transition to its role
as Servicer. In the event the Backup Servicer declines to continue to act as Servicer hereunder, the Backup Servicer shall solicit, by public announcement, bids from banks, specialty finance companies, asset managers, mortgage servicing institutions
meeting the qualifications set forth in Section 6.19(a). Such public announcement shall specify that the Successor Servicer shall be entitled to the full amount of the Servicing Fee as servicing compensation, together with the other
servicing compensation in the form of assumption fees, late payment charges or otherwise that accrued prior thereto. Within 30 days after any such public announcement, the Backup Servicer shall negotiate and effect the sale, transfer and assignment
of the servicing rights and responsibilities hereunder to a qualified party acceptable to the Administrative Agent submitting a qualifying bid. The Backup Servicer shall deduct from any sum received by the Backup Servicer from the successor to the
Servicer in respect of such sale, transfer and assignment, all costs and expenses of any public announcement and of any sale, transfer and assignment of the servicing rights and responsibilities hereunder and the amount of any unreimbursed Servicer
Advances. After such deductions, the remainder of such sum shall be paid by the Backup Servicer to the Servicer at the time of such sale, transfer and assignment to the Servicer’s successor. If no bid from a qualified potential Successor
Servicer is received or if no sale, transfer and assignment of the servicing rights and responsibilities hereunder shall have been concluded within 30 days after such public announcement, Backup Servicer may, in its discretion, appoint, or petition
a court of competent jurisdiction to appoint, any established servicing institution as the successor to the Servicer hereunder in the assumption of all or any part of the responsibilities, duties or liabilities of the Servicer hereunder. As
compensation, any Successor Servicer (including, without limitation, the Administrative Agent) so appointed shall be entitled to receive the Servicing Fee, together with any other servicing compensation in the form of assumption fees, late payment
charges or otherwise as provided herein that accrued prior thereto, including, without limitation, Transition Expenses. The Backup Servicer and such successor shall take such action, consistent with this Agreement, as shall be necessary to
effectuate any such succession. No 
  

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 appointment of a successor to the Servicer hereunder shall be effective until written notice of such
proposed appointment shall have been provided by the Backup Servicer to the Administrative Agent and each Purchaser Agent and the Backup Servicer shall have consented thereto. The Backup Servicer shall not resign as Servicer until a Successor
Servicer has been appointed and accepted such appointment. Notwithstanding anything to the contrary contained herein, in no event shall US Bank in any capacity or Lyon be liable for any Servicing Fee or for any differential in the amount of the
Servicing Fee paid hereunder and the amount necessary to induce any Successor Servicer under this Agreement and the transactions set forth or provided for by this Agreement. 
 ARTICLE VII. 
 THE BACKUP SERVICER 
 Section 7.1. Designation of the Backup Servicer. 
 (a) Initial Backup Servicer. The backup servicing role with respect to the Collateral shall be conducted by the Person designated
as Backup Servicer hereunder from time to time in accordance with this Section 7.1. Until the Administrative Agent shall give Backup Servicer Termination Notice, Lyon is hereby designated as, and hereby agrees to perform the duties and
obligations of, the backup servicer pursuant to the terms hereof. 
 (b) Successor Backup Servicer. Upon the Backup
Servicer’s receipt of a Backup Servicer Termination Notice from the Administrative Agent of the designation of a replacement Backup Servicer pursuant to the provisions of Section 7.5, the Backup Servicer agrees that it will
terminate its activities as Backup Servicer hereunder. 
 Section 7.2. Duties of the Backup Servicer. 
 (a) Appointment. The Seller and the Trustee, for the benefit of the Secured Parties, each hereby appoints Backup Servicer, for the
benefit of the Trustee on behalf of the Secured Parties, as from time to time designated pursuant to Section 7.1. The Backup Servicer hereby accepts such appointment and agrees to perform the duties and obligations with respect thereto
set forth herein. 
 (b) Duties. On or before the initial Funding Date, and until its removal pursuant to
Section 7.5, the Backup Servicer shall perform, on behalf of the Trustee for the benefit of the Secured Parties, the following duties and obligations: 
 (i) Prior to the related Payment Date, the Backup Servicer shall review the Servicing Report to ensure that it is complete on its face
and that the following items in such Servicing Report have been accurately calculated, if applicable, and reported based on the information provided by the Servicer pursuant to Section 8.2(b)(vii) hereof: (A) the 
  

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 Borrowing Base, (B) the Trustee Fee and Backup Servicing Fee, (C) the Assets that are current
and not past due, (D) the Assets that are 1 - 30 days past due, (E) the Assets that are 31 - 60 days past due, (F) the Assets that are 61- 90 days past due, (G) the Assets that are 90+ days past due, (H) the Pool
Delinquency Ratio, (I) the Pool Charged-Off Ratio, (J) the Portfolio Charged-Off Ratio and (K) the Principal Collateral Value. The Backup Servicer by a separate written report shall notify the Administrative Agent and the Servicer of
any disagreements with the Servicing Report based on such review not later than the Business Day preceding such Payment Date to such Persons. 
 (ii) If the Servicer disagrees with the report provided under paragraph (i) above by the Backup Servicer or if the Servicer or any subservicer has not reconciled such discrepancy, the Backup Servicer agrees to
confer with the Servicer to resolve such disagreement on or prior to the next succeeding Determination Date and shall settle such discrepancy with the Servicer if possible, and notify the Administrative Agent of the resolution thereof. The Servicer
hereby agrees to cooperate at its own expense with the Backup Servicer in reconciling any discrepancies herein. If within 20 days after the delivery of the report provided under paragraph (iii) above by the Backup Servicer, such discrepancy is
not resolved, the Backup Servicer shall promptly notify the Administrative Agent of the continued existence of such discrepancy. Following receipt of such notice by the Administrative Agent, the Servicer shall deliver to the Administrative Agent,
the Secured Parties and the Trustee and Backup Servicer no later than the related Payment Date a certificate describing the nature and amount of such discrepancies and the actions the Servicer proposes to take with respect thereto. 
 (c) Additional Duties. On or before the initial Funding Date, and until its removal pursuant to Section 7.5 (after
which the successor Backup Servicer shall perform the duties of Backup Servicer hereunder), the Backup Servicer shall maintain all necessary or appropriate records, operating procedures and systems with respect to its duties under this Agreement.

 Section 7.3. Merger or Consolidation. 
 (a) [Reserved.] 
 (b) Any Person (i) into which the Backup Servicer may be merged or consolidated, (ii) that may result from any merger or consolidation to which the Backup Servicer shall be a party, or (iii) that may succeed to the properties
and assets of the Backup Servicer substantially as a whole, which Person in any of the foregoing cases executes an agreement of assumption to perform every obligation of the Backup Servicer hereunder, shall be the successor to the Backup Servicer,
under this Agreement without further act on the part of any of the parties to this Agreement provided such Person is organized under the laws of the United States 
  

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 of America or any one of the States thereof or the District of Columbia (or any domestic branch of a
foreign bank), (i) (a) that has either (1) a long-term unsecured debt rating of “A” or better by S&P and “A2” or better by Moody’s or (2) a short-term unsecured debt rating or certificate of deposit
rating of “A-1” or better by S&P or “P-1” or better by Moody’s, (b) the parent corporation or, solely in the case of Lyon, the affiliated group of which such Person is a member, which has either (1) a long-term
unsecured debt rating of “A” or better by S&P and “A2” or better by Moody’s or (2) a short-term unsecured debt rating or certificate of deposit rating of “A-1” or better by S&P and “P-1” or
better by Moody’s or (c) is otherwise acceptable to the Administrative Agent. 
 Section 7.4. Backup Servicing
Compensation. 
 As compensation for its backup servicing activities hereunder, the Backup Servicer shall be entitled to receive the
Backup Servicing Fee from the Servicer. To the extent that such Backup Servicing Fee is not paid by the Servicer, the Backup Servicer shall be entitled to receive the unpaid balance of its Backup Servicer Fee, to the extent of funds available
therefor pursuant to Section 2.10(a)(ii) and Section 2.11(a)(ii), as applicable. The Backup Servicer’s entitlement to receive the Backup Servicing Fee, as applicable, shall cease (excluding any unpaid outstanding amounts
as of that date) on the earliest to occur of: (i) with respect to the Backup Servicer and the Backup Servicing Fee, it becoming the Successor Servicer, (ii) its removal as Backup Servicer pursuant to Section 7.5, or
(iii) the termination of this Agreement. Upon becoming Successor Servicer pursuant to Section 6.19, Backup Servicer shall be entitled to the Servicing Fee. 
 Section 7.5. Backup Servicer Removal. 
 (a) [Reserved.] 
 (b) The Backup Servicer may be removed, with or without cause, by the
Administrative Agent by notice given in writing to the Backup Servicer (the “Backup Servicer Termination Notice”). In the event of any such removal, a replacement Backup Servicer may be appointed by the Administrative Agent.

 Section 7.6. Limitation on Liability. 
 (a) The Backup Servicer undertakes to perform only such duties and obligations as are specifically set forth in this Agreement, it being
expressly understood by all parties hereto that there are no implied duties or obligations of the Backup Servicer hereunder. Without limiting the generality of the foregoing, the Backup Servicer, except as expressly set forth herein, shall have no
obligation to supervise, verify, monitor or administer the performance of the Servicer. The Backup Servicer may act through its agents, nominees, attorneys and custodians in performing any of its duties and obligations under this Agreement, it being
understood by the parties hereto that the Backup Servicer will be responsible for any misconduct or negligence on the part of such agents, attorneys or custodians acting on the routine and ordinary day-to-day operations for and on behalf of the

  

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 Backup Servicer. Neither the Backup Servicer nor any of its officers, directors, employees or agents
shall be liable, directly or indirectly, for any damages or expenses arising out of the services performed under this Agreement other than damages or expenses that result from the gross negligence or willful misconduct of it or them or the failure
to perform materially in accordance with this Agreement. 
 (b) The Backup Servicer shall not be liable for any obligation of
the Servicer contained in this Agreement or for any errors of the Servicer contained in any computer tape, certificate or other data or document delivered to the Backup Servicer hereunder or on which the Backup Servicer must rely in order to perform
its obligations hereunder, and the Trustee, the Secured Parties and the Administrative Agent each agree to look only to the Servicer to perform such obligations. The Backup Servicer shall have no responsibility and shall not be in default hereunder
or incur any liability for any failure, error, malfunction or any delay in carrying out any of its duties under this Agreement if such failure or delay results from the Backup Servicer, acting in accordance with information prepared or provided by a
Person other than the Backup Servicer or the Trustee or the failure of any such other Person to prepare or provide such information. The Backup Servicer shall have no responsibility, shall not be in default and shall incur no liability for
(i) any act or failure to act of any third party, including the Servicer, (ii) any inaccuracy or omission in a notice or communication received by the Backup Servicer or the Trustee, as the case may be, from any third party, (iii) the
invalidity or unenforceability of any Collateral under Applicable Law, (iv) the breach or inaccuracy of any representation or warranty made with respect to any Collateral, or (v) the acts or omissions of any successor Trustee. 

Section 7.7. The Backup Servicer Not to Resign. 
 The Backup Servicer shall not resign (except with prior consent of the Administrative Agent which consent shall not be unreasonably withheld) from the obligations and duties hereby imposed on it except upon a
determination by the Backup Servicer that (i) the performance of its duties hereunder is or becomes impermissible under Applicable Law and (ii) there is no reasonable action that the Backup Servicer could take to make the performance of
its duties hereunder permissible under Applicable Law. Any such determination permitting the resignation of the Backup Servicer shall be evidenced as to clause (i) above by an Opinion of Counsel to such effect delivered to the Administrative
Agent and each Purchaser Agent. No such resignation shall become effective until a successor Backup Servicer shall have assumed the responsibilities and obligations of the Backup Servicer hereunder. 
  

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 ARTICLE VIII. 
 THE TRUSTEE 
 Section 8.1. Designation of Trustee. 
 (a) Initial Trustee. The role of Trustee hereunder and under the other Transaction Documents to which the Trustee is a party shall
be conducted by the Person designated as Trustee hereunder from time to time in accordance with this Section 8.1. Until the Administrative Agent shall give to US Bank a Trustee Termination Notice, US Bank is hereby designated as, and
hereby agrees to perform the duties and obligations of, Trustee pursuant to the terms hereof and of the other Transaction Documents to which it, as Trustee, is a party. 
 (b) Successor Trustee. Upon the Trustee’s receipt of a Trustee Termination Notice from the Administrative Agent of the
designation of a successor Trustee pursuant to the provisions of Section 8.5, the Trustee agrees that it will terminate its activities as Trustee hereunder. 
 (c) Secured Party. The Administrative Agent, the Purchaser Agents and the Purchasers hereby appoint US Bank, in its capacity as
Trustee, as their trustee for purposes of perfection of a security interest in the Collateral. US Bank, in its capacity as Trustee, hereby accepts such appointment and agrees to perform the duties set forth in Section 8.2(b) and
(c). 
 Section 8.2. Duties of Trustee. 
 (a) Appointment. The Seller and the Administrative Agent each hereby appoints US Bank to act as Trustee for the benefit of the
Secured Parties. The Trustee hereby accepts such appointment and agrees to perform the duties and obligations with respect thereto set forth herein and in the other Transaction Documents to which it, as Trustee, is a party. 
 (b) Duties. On or before the initial Funding Date, and until its removal pursuant to Section 8.5, the Trustee shall
perform on behalf of the Administrative Agent and the Secured Parties the following duties and obligations: 
 (i) The
Trustee shall take and retain custody of the Required Loan Documents delivered by the Seller pursuant to Section 3.2 hereof in accordance with the terms and conditions of this Agreement, all for the benefit of the Secured Parties and
subject to the Lien thereon in favor of the Trustee for the benefit of the Secured Parties. Within five Business Days of its receipt of any Required Loan Documents, the Trustee shall review the related Required Loan Documents (as identified on the
related Loan Checklist) to confirm that (A) such documents have been properly executed and have no missing or mutilated pages, (B) as identified on the Loan Checklist, there is evidence in the file that UCC and other filings (required by
the Required Loan Documents) have been made, (C) if listed 
  

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 on the Loan Checklist, an Insurance Policy exists with respect to any real or personal property
constituting the Related Property, and (D) the related Principal Balance, Asset number and Obligor name with respect to such Asset is referenced on the related Asset List and is not a duplicate Asset (such items (A) through
(D) collectively, the “Review Criteria”). In order to facilitate the foregoing review by the Trustee, in connection with each delivery of Required Loan Documents hereunder to the Trustee, the Servicer shall provide to the
Trustee an electronic file (in EXCEL or a comparable format) that contains the related Loan Checklist or that otherwise contains the Asset identification number and the name of the Obligor with respect to each related Asset. If, at the conclusion of
such review, the Trustee shall determine that (i) the Principal Balances of the Collateral for which it has received Required Loan Documents is less than as set forth on the electronic file, the Trustee shall immediately notify the
Administrative Agent and the Servicer of such discrepancy, and (ii) any Review Criteria is not satisfied, the Trustee shall within one Business Day notify the Servicer of such determination and provide the Servicer with a list of the
non-complying Assets and the applicable Review Criteria that they fail to satisfy. The Servicer shall have five Business Days to correct any non-compliance with any Review Criteria. If after the conclusion of such time period the Servicer has still
not cured any non-compliance by an Asset with any Review Criterion, the Trustee shall promptly notify the Seller and the Administrative Agent of such determination by providing a written report to such persons identifying, with particularity, each
Asset and each of the applicable Review Criterion that such Asset fails to satisfy. In addition, if requested in writing by the Servicer and approved by the Administrative Agent within ten Business Days of the Trustee’s delivery of such report,
the Trustee shall return any Asset which fails to satisfy a Review Criterion to the Seller. Other than the foregoing, the Trustee shall not have any responsibility for reviewing any Required Loan Documents. 
 (ii) In taking and retaining custody of the Required Loan Documents, the Trustee shall be deemed to be acting as the agent of the
Administrative Agent and the Secured Parties; provided, however, that the Trustee makes no representations as to the existence, perfection or priority of any Lien on the Required Loan Documents or the instruments
therein; and provided, further, that, the Trustee’s duties as agent shall be limited to those expressly contemplated herein. 
 (iii) All Required Loan Documents shall be kept in fire resistant vaults, rooms or cabinets at the locations specified on Schedule III attached hereto, or at such other office as shall be specified to the
Administrative Agent and the Servicer by the Trustee in a written notice delivered at least 45 days prior to such change. All Required Loan Documents shall be placed together with an appropriate identifying label and maintained in such a manner so
as to permit retrieval and access. All Required Loan Documents shall be clearly segregated from any other documents or instruments maintained by the Trustee. 
  

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 (iv) On each Reporting Date, the Trustee shall provide a written report to the
Administrative Agent and the Servicer (in a form acceptable to the Administrative Agent) identifying each Asset for which it holds Required Loan Documents, the non-complying Assets and the applicable Review Criteria that any non-complying Asset
fails to satisfy. 
 (v) The Trustee shall not make funds available to the Seller from the Holding Account except in
compliance with the provisions of Sections 2.2(c) or 2.3(c), as applicable. 
 (vi) Prior to acquiring a Loan, the Seller or
the Servicer will provide the Trustee with a Trade Ticket, together with the proposed form of Borrowing Notice to be used in connection therewith. 
 (vii) Not later than 12:00 p.m. four Business Days following the related Determination Date, the Servicer shall provide to the Administrative Agent, the Backup Servicer and the Trustee via e-mail certain asset level
information, which shall include but not be limited to the following information: (x) for each Loan, the name and number of the related Obligor, the collection status, the loan status, the date of each Scheduled Payment, as applicable, and the
Principal Balance, (y) the Borrowing Base and (z) the Principal Collateral Value and such other items as may reasonably be expected in connection with the transactions contemplated by this Agreement. 
 (viii) Promptly after receipt thereof, the Trustee shall provide to the Servicer a copy of all written notices and communications
identified as being sent to it in connection with the Collateral held hereunder which it receives from the related Obligor, participating bank and/or agent bank. In no instance shall the Trustee be under any duty or obligation to take any action on
behalf of the Servicer (or Seller) in respect of the exercise of any voting or consent rights, or similar actions, unless it receives specific written instructions from the Servicer, prior to the occurrence of a Termination Event or the
Administrative Agent, after the occurrence of a Termination Event, in which event the Trustee shall vote, consent or take such other action in accordance with such instructions. 
 (ix) In performing its duties, the Trustee shall use the same degree of care and attention as it employs with respect to similar
collateral that it holds as Trustee for others. 
 (c) Additional Duties. On or before the initial Funding Date, and
until its removal pursuant to Section 8.5 (after which the successor Trustee shall 
  

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 perform the duties of the Trustee hereunder), the Trustee shall perform, on behalf of the Seller and the
Servicer, the following duties and obligations: 
 (i) No later than 11 a.m. on each Business Day, the Trustee shall deliver
to the Servicer either via e-mail or via the Trustee’s Internet website a daily “cash availability report” which will detail all cash receipts with respect to the Assets received as of the close of business of the prior Business Day,
identifying which portion thereof constitutes Interest Collections, which portion thereof constitutes Principal Collections and any other amounts received not classified as either Interest Collections or Principal Collections. No later than the
close of business on the Business Day the Servicer receives such a daily cash availability report, the Servicer shall review the same and identify any discrepancies between the cash receipts shown on the Trustee’s daily cash availability report
and the cash receipts relating to the Assets shown on the WSO System. Thereafter the Trustee and the Servicer will cooperate to promptly resolve any discrepancies. 
 (ii) The Trustee shall provide a list of all Required Loan Documents held in custody by the Trustee pursuant to this Agreement to the
Administrative Agent on at least a monthly basis, either via e-mail or via the Trustee’s Internet website. 
 (iii) The
Trustee shall maintain all necessary or appropriate records, operating procedures and systems with respect to its express duties under this Agreement and shall provide with reasonable promptness such additional reports and information (which
information is reasonably available to the Trustee) as may be reasonably requested from time to time by the Servicer. 
 (iv)
The Trustee shall make payments pursuant to the terms of the Servicing Report in accordance with Section 2.10 and Section 2.1 1 (the “Payment Duties”). 
 (d) (i) Each of the Administrative Agent, each Purchaser Agent and each Secured Party further authorizes the Trustee to take such
action as Trustee hereunder and to exercise such powers under this Agreement and the other Transaction Documents as are delegated to the Trustee by the terms hereof and thereof, together with such powers as are reasonably incidental thereto. In
furtherance, and without limiting the generality of the foregoing, each Secured Party hereby appoints the Trustee as its agent to execute and deliver all further instruments and documents, and take all further action that the Trustee or the
Administrative Agent deems necessary in order to perfect, protect or more fully evidence the security interests granted by the Seller hereunder, or to enable any of them to exercise or enforce any of their respective rights hereunder, including,
without limitation, the execution by the Trustee as secured party/assignee of such financing or continuation statements, or amendments thereto or assignments 
  

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 thereof, relative to all or any of the Assets now existing or hereafter arising, and such other
instruments or notices, as may be necessary or appropriate for the purposes stated hereinabove. Nothing in this Section 8.2(d)(i) shall be deemed to relieve the Servicer or Seller of its obligation to protect the interest of the Trustee
(for the benefit of the Secured Parties) in the Collateral, including to file financing and continuation statements in respect of the Collateral in accordance with Section 5.4(e). 
 (ii) The Administrative Agent may direct the Trustee to take any such incidental action hereunder. With respect to other actions which
are incidental to the actions specifically delegated to the Trustee hereunder, the Trustee shall not be required to take any such incidental action hereunder, but shall be required to act or to refrain from acting (and shall be fully protected in
acting or refraining from acting) upon the direction of the Administrative Agent; provided, however, that the Trustee shall not be required to take any action hereunder if the taking of such action, in the reasonable
determination of the Trustee, (x) shall be in violation of any Applicable Law or contrary to any provisions of this Agreement or (y) shall expose the Trustee to liability hereunder or otherwise (unless it has received a reasonably
satisfactory indemnity with respect thereto). In the event the Trustee requests the consent of the Administrative Agent and the Trustee does not receive a response (either consenting or declining to consent) from the Administrative Agent with 10
Business Days of its receipt of such request, then the Administrative Agent shall be deemed to have declined to consent to the relevant action. 
 (iii) Except as expressly provided herein, the Trustee shall not be under any duty or obligation to take any affirmative action to exercise or enforce any power, right or remedy available to it under this Agreement or
any of the Required Loan Documents (i) unless and until expressly so directed by the Administrative Agent or (ii) prior to the occurrence of the Termination Date pursuant to clause (d) of the definition of “Termination Date”
(and upon such occurrence, the Trustee shall act in accordance with the written instructions of the Administrative Agent pursuant to clause (i)). The Trustee shall not be liable for any action taken, suffered or omitted by it in accordance
with the request or direction of any Secured Party, to the extent that this Agreement provided such Secured Party has the right to so direct the Trustee, or the Administrative Agent. The Trustee shall not be deemed to have notice or knowledge of any
matter hereunder, including a Termination Event, unless a Responsible Officer of the Trustee has knowledge of such matter or written notice thereof is received by the Trustee. 
 Section 8.3. Merger or Consolidation. 
 Any Person (i) into which the Trustee may be merged or consolidated, (ii) that may result from any merger or consolidation to which the Trustee shall be a party, or (iii) that may succeed 
  

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 to the properties and assets of the Trustee substantially as a whole, which Person in any of the foregoing cases executes
an agreement of assumption to perform every obligation of the Trustee hereunder, shall be the successor to the Trustee under this Agreement without further act of any of the parties to this Agreement. 
 Section 8.4. Trustee Compensation. 
 As compensation for its Trustee activities hereunder, the Trustee shall be entitled to a fee (the “Trustee Fee”) from the Servicer in accordance with the Trustee Fee Letter. To the extent that such
Trustee Fee is not paid by the Servicer, the Trustee shall be entitled to receive the unpaid balance of its Trustee Fee to the extent of funds available therefor pursuant to the provision of Section 2.10(a)(ii) or
Section 2.1l(a)(ii), as applicable. The Trustee’s entitlement to receive the Trustee Fee shall cease on the earlier to occur of: (i) its removal as Trustee pursuant to Section 8.5 or (ii) the termination of
this Agreement. 
 Section 8.5. Trustee Removal. 
 The Trustee may be removed, with or without cause, by the Administrative Agent by notice given in writing to the Trustee (the “Trustee Termination
Notice”); provided, however, notwithstanding its receipt of a Trustee Termination Notice, the Trustee shall continue to act in such capacity until a successor Trustee has been appointed, has agreed to act as
Trustee hereunder, and has received all Required Loan Documents held by the previous Trustee. 
 Section 8.6. Limitation on
Liability. 
 (a) The Trustee undertakes to perform only such duties and obligations as are specifically set forth in
this Agreement, it being expressly understood by all parties hereto that there are no implied duties or obligations of the Trustee hereunder. Without limiting the generality of the foregoing, the Trustee, except as expressly set forth herein, shall
have no obligation to supervise, verify, monitor or administer the performance of the Servicer. The Trustee may act through its agents, nominees, attorneys and custodians in performing any of its duties and obligations under this Agreement, it being
understood by the parties hereto that the Trustee will be responsible for any misconduct or negligence on the part of such agents, attorneys or custodians acting on the routine and ordinary day-to-day operations for and on behalf of the Trustee.
Neither the Trustee nor any of its officers, directors, employees or agents shall be liable, directly or indirectly, for any damages or expenses arising out of the services performed under this Agreement other than damages or expenses that result
from the gross negligence or willful misconduct of it or them or the failure to perform materially in accordance with this Agreement. 
 (b) The Trustee shall not be liable for any obligation of the Servicer contained in this Agreement or for any errors of the Servicer contained in any computer tape, certificate or other data or document delivered to
the Trustee hereunder or on which the Trustee must rely in order to perform their respective obligations hereunder, and the Secured Parties and the Administrative Agent and 
  

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 the Trustee each agree to look only to the Servicer to perform such obligations. The Trustee shall have
no responsibility and shall not be in default hereunder or incur any liability for any failure, error, malfunction or any delay in carrying out any of its duties under this Agreement if such failure or delay results from the Trustee acting in
accordance with information prepared or provided by a Person other than the Trustee or the failure of any such other Person to prepare or provide such information. The Trustee shall have no responsibility, shall not be in default and shall incur no
liability for (i) any act or failure to act of any third party, including the Servicer, (ii) any inaccuracy or omission in a notice or communication received by the Trustee from any third party, (iii) the invalidity or
unenforceability of any Collateral under Applicable Law, (iv) the breach or inaccuracy of any representation or warranty made with respect to any Collateral, or (v) the acts or omissions of any successor Trustee. 
 (c) The Trustee may conclusively rely on and shall be fully protected in acting upon any certificate, instrument, opinion, notice, letter,
telegram or other document delivered to it and that in good faith it reasonably believes to be genuine and that has been signed by the proper party or parties. The Trustee may rely conclusively on and shall be fully protected in acting upon
(a) the written instructions of any designated officer of the Administrative Agent or (b) the verbal instructions of the Administrative Agent. 
 (d) The Trustee may consult counsel satisfactory to it and the advice or opinion of such counsel shall be full and complete authorization and protection in respect of any action taken, suffered or omitted by it
hereunder in good faith and in accordance with the advice or opinion of such counsel. 
 (e) The Trustee shall not be liable
for any error of judgment, or for any act done or step taken or omitted by it, in good faith, or for any mistakes of fact or law, or for anything that it may do or refrain from doing in connection herewith except in the case of its willful
misconduct or grossly negligent performance or omission of its duties and in the case of the negligent performance of its Payment Duties and in the case of its negligent performance of its duties in taking and retaining custody of the Required Loan
Documents. 
 (f) The Trustee makes no warranty or representation and shall have no responsibility (except as expressly set
forth in this Agreement) as to the content, enforceability, completeness, validity, sufficiency, value, genuineness, ownership or transferability of the Collateral, and will not be required to and will not make any representations as to the validity
or value (except as expressly set forth in this Agreement) of any of the Collateral. The Trustee shall not be obligated to take any legal action hereunder that might in its judgment involve any expense or liability unless it has been furnished with
an indemnity reasonably satisfactory to it. 
  

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 (g) The Trustee shall have no duties or responsibilities except such duties and
responsibilities as are specifically set forth in this Agreement and no covenants or obligations shall be implied in this Agreement against the Trustee. 
 (h) The Trustee shall not be required to expend or risk its own funds in the performance of its duties hereunder. 
 (i) It is expressly agreed and acknowledged that the Trustee is not guaranteeing performance of or assuming any liability for the obligations of the other parties hereto or any parties to the Collateral. 

(j ) In case any reasonable question arises as to its duties hereunder, the Trustee may, prior to the occurrence of a Termination Event
or the Termination Date, request instructions from the Servicer and may, after the occurrence of a Termination Event or the Termination Date, request instructions from the Administrative Agent, and shall be entitled at all times to refrain from
taking any action unless it has received instructions from the Servicer or the Administrative Agent, as applicable, except where it would be grossly negligent to do so. The Trustee shall in all events have no liability, risk or cost for any action
taken pursuant to and in compliance with the instruction of the Administrative Agent. In no event shall the 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 Trustee has been advised of the likelihood of such loss or damage and regardless of the form of action. 
 Section 8.7.
The Trustee Not to Resign. 
 The Trustee shall not resign from the obligations and duties hereby imposed on it except upon the
Trustee’s determination that (i) the performance of its duties hereunder is or becomes impermissible under Applicable Law and (ii) there is no reasonable action that the Trustee could take to make the performance of its duties
hereunder permissible under Applicable Law. Any such determination permitting the resignation of the Trustee shall be evidenced as to clause (i) above by an Opinion of Counsel to such effect delivered to the Administrative Agent and each
Purchaser Agent. No such resignation shall become effective until a successor Trustee shall have assumed the responsibilities and obligations of the Trustee hereunder. 
 Section 8.8. Release of Documents. 
 (a) Release for Servicing.
From time to time and as appropriate for the enforcement or servicing of any of the Collateral, the Trustee is hereby authorized (unless and until such authorization is revoked by the Administrative Agent), upon written receipt from the Servicer of
a request for release of documents and receipt in the form annexed hereto as Exhibit H, to release to the Servicer the related Required Loan Documents or the documents set forth in such request and receipt to the Servicer. All documents so
released to the Servicer shall be held by the Servicer in trust for the Trustee for the benefit of the Secured Parties in accordance with the terms of this Agreement. The Servicer shall return 
  

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 to the Trustee the Required Loan Documents or other such documents (i) immediately upon the request
of the Administrative Agent, or (ii) when the Servicer’s need therefor in connection with such foreclosure or servicing no longer exists, unless the Asset shall be liquidated, in which case, upon receipt of an additional request for
release of documents and receipt certifying such liquidation from the Servicer to the Trustee in the form annexed hereto as Exhibit H, the Servicer’s request and receipt submitted pursuant to the first sentence of this subsection shall
be released by the Trustee to the Servicer. 
 (b) Limitation on Release. The foregoing provision respecting release to
the Servicer of the Required Loan Documents and documents by the Trustee upon request by the Servicer shall be operative only to the extent that at any time the Trustee shall not have released to the Servicer active Required Loan Documents
(including those requested) pertaining to more than 15 Assets at the time being serviced by the Servicer under this Agreement. Any additional Required Loan Documents or documents requested to be released by the Servicer may be released only upon
written authorization of the Administrative Agent. The limitations of this paragraph shall not apply to the release of Required Loan Documents to the Servicer pursuant to the immediately succeeding subsection. 
 (c) Release for Payment. Upon receipt by the Trustee of the Servicer’s request for release of documents and receipt in the
form annexed hereto as Exhibit H (which certification shall include a statement to the effect that all amounts received in connection with such payment or repurchase have been credited to the Collection Account as provided in this Agreement),
the Trustee shall promptly release the related Required Loan Documents to the Servicer. 
 Section 8.9. Return of Required Loan
Documents. 
 The Seller may, with the prior written consent of the Administrative Agent (such consent not to be unreasonably
withheld), require that the Trustee return each Required Loan Document (a) delivered to the Trustee in error, (b) for which a Substitute Asset has been substituted in accordance with Section 2.19, (c) as to which the lien
on the Related Property has been so released pursuant to Section 9.2, (d) that has been repurchased by the Seller pursuant to Section 2.19, (e) that has been repurchased by the Seller pursuant to
Section 2.14, (f) that has been the subject of an Optional Sale pursuant to Section 2.20, (g) that has been the subject of a Discretionary Sale pursuant to Section 2.21, or (h) that is required to
be redelivered to the Seller in connection with the termination of this Agreement, in each case by submitting to the Trustee and the Administrative Agent a written request in the form of Exhibit H hereto (signed by both the Seller and the
Administrative Agent) specifying the Collateral to be so returned and reciting that the conditions to such release have been met (and specifying the Section or Sections of this Agreement being relied upon for such release). The Trustee shall upon
its receipt of each such request for return executed by the Seller and the Administrative Agent promptly, but in any event within five Business Days, return the Required Loan Documents so requested to the Seller. 
  

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 Section 8.10. Access to Certain Documentation and Information Regarding the Collateral;
Audits. 
 The Trustee shall provide to the Administrative Agent and each Purchaser Agent access to the Required Loan Documents and
all other documentation regarding the Collateral including in such cases where the Administrative Agent and each Purchaser Agent is required in connection with the enforcement of the rights or interests of the Secured Parties, or by applicable
statutes or regulations, to review such documentation, such access being afforded without charge but only (i) upon two Business Days prior written request, (ii) during normal business hours and (iii) subject to the Servicer’s and
Trustee’s normal security and confidentiality procedures. Prior to the Closing Date and periodically thereafter at the discretion of the Administrative Agent and each Purchaser Agent, the Administrative Agent and each Purchaser Agent may review
the Servicer’s collection and administration of the Collateral in order to assess compliance by the Servicer with the Credit and Collection Policy and the Servicing Standard, as well as with this Agreement and may conduct an audit of the
Collateral and Required Loan Documents in conjunction with such a review. Such review shall be reasonable in scope and shall be completed in a reasonable period of time. Prior to the occurrence of a Termination Event or an Unmatured Termination
Event, the Servicer shall be required to bear the expense of no more than two such reviews within any 12-month period and any additional reviews shall be at the expense of the Administrative Agent and each Purchaser Agent. On and after the
occurrence of a Termination Event or an Unmatured Termination Event, the Servicer shall be required to bear the expense of all such reviews. Without limiting the foregoing provisions of this Section 8.10, from time to time on request of
the Administrative Agent, the Trustee shall permit certified public accountants or other auditors acceptable to the Administrative Agent to conduct, at the Servicer’s expense, a review of the Required Loan Documents and all other documentation
regarding the Collateral. 
 ARTICLE IX. 
 SECURITY INTEREST 
 Section 9.1. Grant of Security Interest. 
 (a) The Seller hereby Grants as of the Closing Date to the Trustee, for the benefit of the Secured Parties, a lien and continuing security
interest in all of the Seller’s right, title and interest in, to and under (but none of the obligations under) all Collateral (including any Hedging Agreements), whether now existing or hereafter arising or acquired by the Seller, and wherever
the same may be located, to secure the prompt, complete and indefeasible payment and performance in full when due, whether by lapse of time, acceleration or otherwise, of the Aggregate Unpaids of the Seller arising in connection with this Agreement
and each other Transaction Document, whether now or hereafter existing, due or to become due, direct or indirect, or absolute or contingent, including, without limitation, all Aggregate Unpaids. The Trustee acknowledges such Grant, accepts the trust
hereunder in accordance with the provisions hereof 
  

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 and agrees to hold the Collateral in trust as provided herein. The Grant of a security interest under
this Section 9.1 does not constitute and is not intended to result in a creation or an assumption by the Trustee, the Administrative Agent, the Purchaser Agents, any Hedge Counterparty, the Liquidity Banks or any of the Secured Parties
of any obligation of the Seller or any other Person in connection with any or all of the Collateral or under any agreement or instrument relating thereto. Anything herein to the contrary notwithstanding, (a) the Seller shall remain liable under
the Collateral to the extent set forth therein to perform all of its duties and obligations thereunder to the same extent as if this Agreement had not been executed, (b) the exercise by the Trustee, on behalf of the Secured Parties, of any of
its rights in the Collateral shall not release the Seller from any of its duties or obligations under the Collateral, and (c) none of the Administrative Agent, the Purchaser Agents, any Hedge Counterparty, the Liquidity Banks or any Secured
Party shall have any obligations or liability under the Collateral by reason of this Agreement, nor shall the Trustee, the Administrative Agent, the Purchaser Agents, any Hedge Counterparty, the Liquidity Banks or any Secured Party be obligated to
perform any of the obligations or duties of the Seller thereunder or to take any action to collect or enforce any claim for payment assigned hereunder. 
 (b) Each of the Seller, the Trustee, the Administrative Agent and the Purchaser Agents, on behalf of the Secured Parties, hereby acknowledges and agrees that the security interest Granted hereby in the Collateral
constitutes continuing collateral security for all of the obligations of the Seller arising in connection with this Agreement and each other Transaction Document, whether now existing or hereafter arising. 
 (c) Each of the parties to this Agreement and each Hedge Counterparty (by its acceptance of the benefits hereof) hereby acknowledges and
agrees as follows: 
 (i) Each of the Administrative Agent, each Purchaser Agent and each other Secured Party hereby
transfers and assigns to the Trustee, for the benefit of the Secured Parties, its entire right, title and interest in and to the Collateral to the extent previously sold, transferred, assigned or conveyed by sale, Grant of a security interest, or
otherwise, to it on and after the Initial Closing Date to and including the date of this Agreement so that the Trustee, on behalf of the Secured Parties, shall have the benefit of a perfected security interest in the Collateral and the Hedge
Collateral from and including the date such Collateral or Hedge Collateral, as applicable, first became Collateral or Hedge Collateral, as applicable, hereunder to but excluding the date of the release of any such Collateral or Hedge Collateral, as
applicable, from the Lien of this Agreement in accordance with this Agreement. 
 (ii) The Administrative Agent hereby
transfers and assigns to the Trustee its entire right, title and interest as Conduit Administrative Agent under the Intercreditor Agreement. 
  

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 (iii) To the extent any Transaction Document, Transfer Document or Required Loan
Document which refers to the Collateral and was delivered prior to the date of this Agreement refers to the “Collateral Administrator” or “Collateral Custodian” thereunder, such references are hereby deemed to refer to the
Trustee hereunder for all purposes hereunder or thereunder. 
 Section 9.2. Release of Lien on Collateral. 
 At the same time as (i) any Collateral expires by its terms and all amounts in respect thereof have been paid in full by the related Obligor and
deposited in the Collection Account, (ii) any Asset becomes a Prepaid Asset in full and all amounts in respect thereof have been paid in full by the related Obligor and deposited in the Collection Account, (iii) such Asset is repurchased
or replaced in accordance with Section 2.19, (iv) such Asset has been repurchased by the Seller pursuant to Section 2.14, (v) such Asset has been the subject of an Optional Sale pursuant to Section 2.20,
(vi) such Asset has been the subject of a Discretionary Sale pursuant to Section 2.21, or (vii) this Agreement terminates in accordance with Section 13.6, the Trustee for the benefit of the Secured Parties will, to
the extent requested by the Servicer, release its interest in such Collateral. In connection with any sale of such Related Property, the Trustee for the benefit of the Secured Parties will after the deposit by the Servicer of the Proceeds of such
sale into the Collection Account, at the sole expense of the Servicer, execute and deliver to the Servicer any assignments, bills of sale, termination statements and any other releases and instruments as the Servicer may reasonably request in order
to effect the release and transfer of such Related Property; provided, that the Trustee for the benefit of the Secured Parties will make no representation or warranty, express or implied, with respect to any such Related Property in
connection with such sale or transfer and assignment. Nothing in this section shall diminish the Servicer’s obligations pursuant to Section 6.6 with respect to the Proceeds of any such sale. 
 Section 9.3. Further Assurances. 
 The provisions of Section 13.12 shall apply to the security interest Granted under Section 9.1 as well as to the Advances and Swingline Advances hereunder. 
 Section 9.4. Remedies. 
 Upon the occurrence of a Termination Event, the Trustee, on behalf of the Secured Parties, shall have, with respect to the Collateral granted pursuant to Section 9.1, and in addition to all other rights and remedies available to
the Trustee, the Administrative Agent and Secured Parties under this Agreement or other Applicable Law, all rights and remedies of a secured party upon default under the UCC, subject to the provisions of Section 10.2(c) and
10.2(d). 
 Section 9.5. Waiver of Certain Laws. 
 Each of the Seller and the Servicer agrees, to the fullest extent that it may lawfully so agree, that neither it nor anyone claiming through or under it
will set up, claim or seek to take advantage of any appraisement, valuation, stay, extension or redemption law now or hereafter in force in any locality where any Collateral may be situated in order to prevent, hinder or delay the enforcement or
foreclosure of this Agreement, or the absolute sale of any of the Collateral or any 
  

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 part thereof, or the final and absolute putting into possession thereof, immediately after such sale, of the purchasers
thereof, and each of the Seller and the Servicer, for itself and all who may at any time claim through or under it, hereby waives, to the fullest extent that it may be lawful so to do, the benefit of all such laws, and any and all right to have any
of the properties or assets constituting the Collateral marshaled upon any such sale, and agrees that the Trustee, on behalf of the Secured Parties, or any court having jurisdiction to foreclose the security interests granted in this Agreement may
sell the Collateral as an entirety or in such parcels as the Trustee, on behalf of the Secured Parties, or such court may determine. 
 Section 9.6. Power of Attorney. 
 Each of the Seller and the Servicer hereby irrevocably appoints the Trustee its
true and lawful attorney (with full power of substitution) in its name, place and stead and at its expense, in connection with the enforcement of the rights and remedies provided for in this Agreement, including without limitation the following
powers: (a) to give any necessary receipts or acquittance for amounts collected or received hereunder, (b) to make all necessary transfers of the Collateral in connection with any such sale or other disposition made pursuant hereto,
(c) to execute and deliver for value all necessary or appropriate bills of sale, assignments and other instruments in connection with any such sale or other disposition, the Seller and the Servicer hereby ratifying and confirming all that such
attorney (or any substitute) shall lawfully do hereunder and pursuant hereto, and (d) to sign any agreements, orders or other documents in connection with or pursuant to any Transaction Document or Hedging Agreement. Nevertheless, if so
requested by the Trustee, the Administrative Agent or a Purchaser Agent, the Seller shall ratify and confirm any such sale or other disposition by executing and delivering to the Trustee all proper bills of sale, assignments, releases and other
instruments as may be designated in any such request. 
 ARTICLE X. 
 TERMINATION EVENTS 
 Section 10.1. Termination Events.

 The following events shall be Termination Events (“Termination Events”) hereunder: 
 (a) the Seller or the Originator defaults in making any payment required to be made under an agreement for borrowed money to which it is a
party in an aggregate principal amount in excess of $500,000 in the case of the Seller and $5,000,000 in the case of the Originator and such default is not cured within the applicable cure period, if any, provided for under such agreement; or

 (b) any failure on the part of the Seller or the Originator duly to observe or perform in any material respect any other
covenants or agreements of the Seller or the Originator set forth in this Agreement or the other Transaction Documents to which the Seller or the Originator is a party and the same continues unremedied for a period of thirty days (if such failure
can be remedied) after the earlier to occur of (i) the date on which written notice of such failure requiring the 
  

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 same to be remedied shall have been given to the Seller or the Originator by the Administrative Agent and
(ii) the date on which the Seller or the Originator acquires knowledge thereof; or 
 (c) the occurrence of an Insolvency
Event relating to the Seller; or 
 (d) the occurrence of a Servicer Default; or 
 (e) (1) the rendering of one or more final judgments, decrees or orders by a court or arbitrator of competent jurisdiction for the
payment of money in excess individually or in the aggregate of $7,500,000, against the Originator, or $500,000, against the Seller, and the Seller or the Originator, as applicable, shall not have either (i) discharged or provided for the
discharge of any such judgment, decree or order in accordance with its terms or (ii) perfected a timely appeal of such judgment, decree or order and caused the execution of same to be stayed during the pendency of the appeal or (2) the
Originator or the Seller shall have made payments of amounts by the Originator in excess of $5,000,000, or by the Seller in excess of $500,000, in the settlement of any litigation, claim or dispute (excluding payments made from insurance proceeds);
or 
 (f) the Seller shall cease to be an Affiliate of the Originator or shall fail to qualify as a bankruptcy-remote entity
based upon customary criteria such that reputable counsel could no longer render a substantive nonconsolidation opinion with respect thereto; or 
 (g) (1) any Transaction Document, or any lien or security interest granted thereunder, shall (except in accordance with its terms), in whole or in part, terminate, cease to be effective or cease to be the legally
valid, binding and enforceable obligation of the Seller the Originator, or the Servicer, 
 (2) the Seller, the Originator,
the Servicer or any other party shall, directly or indirectly, contest in any manner the effectiveness, validity, binding nature or enforceability of any Transaction Document or any lien or security interest thereunder, or 
 (3) any security interest securing any obligation under any Transaction Document shall, in whole or in part, cease to be a perfected first
priority security interest except as otherwise expressly permitted to be released in accordance with the applicable Transaction Document; or 
 (h) the Servicer shall fail to obtain the blanket fidelity bond and errors and omissions coverage contemplated by Section 6.7(g) within 15 days after the Initial Closing Date; 
 (i) the Advances Outstanding on any day exceeds the lesser of the Facility Amount and Maximum Availability and the same continues
unremedied for three Business Days; provided, however, during the period of time that such 
  

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 event remains unremedied, no additional Advances or Swingline Advances will be made under this Agreement
and any payments required to be made by the Servicer on a Payment Date shall be made under Section 2.11; or 
 (j)
as of any Determination Date, the Average Pool Delinquency Ratio exceeds 5.0%; or 
 (k) as of any Determination Date, the
Average Pool Charged-Off Ratio exceeds 3.0%; or 
 (1) the Seller or its Affiliates shall fail to consummate a Term
Securitization involving the Collateral within 547 days after the Initial Closing Date and every 365 days thereafter, unless the Administrative Agent shall have agreed in writing with the Seller that a Term Securitization will be consummated at a
later date with an underwriter reasonably acceptable to the Administrative Agent; or 
 (m) as of any Determination Date, the
Pool Yield does not equal or exceed the Minimum Pool Yield; or 
 (n) on any date of determination, the aggregate Hedge
Notional Amount in effect for that day under all Hedge Transactions is less than the product of the Hedge Percentage on such day and the Hedge Amount on that day, and the same continues unremedied for a period of 15 calendar days; or 
 (o) the Facility Termination Date shall have occurred and Aggregate Unpaids remain outstanding thereafter; or 
 (p) failure on the part of the Seller or Originator to make any payment or deposit (including, without limitation, with respect to
bifurcation and remittance of Collections or any other payment or deposit required to be made hereunder, including, without limitation, to any Secured Party, Affected Party or Indemnified Party) required by the terms of any Transaction Document on
the day such payment or deposit is required to be made and the same continues unremedied for two Business Days; or 
 (q) the
Seller shall become required to register as an “investment company” within the meaning of the 1940 Act or the arrangements contemplated by the Transaction Documents shall require registration as an “investment company” within the
meaning of the 1940 Act; or 
 (r) there shall exist any event or occurrence of which any Responsible Officer of the Servicer
shall have notice or knowledge, that has caused a Material Adverse Effect; or 
 (s) the Internal Revenue Service shall file
notice of a lien pursuant to Section 6323 of the Code with regard to any assets of the Seller or the Originator and such lien shall not have been released within five Business Days, or the 
  

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 Pension Benefit Guaranty Corporation shall file notice of a lien pursuant to Section 4068 of ERISA
with regard to any of the assets of the Seller or the Originator and such lien shall not have been released within five Business Days; or 
 (t) any Change-in-Control shall occur; or 
 (u) any representation, warranty or certification
made by the Seller or the Originator in any Transaction Document or in any certificate delivered pursuant to any Transaction Document shall prove to have been incorrect when made, which has a Material Adverse Effect on the Secured Parties and which
continues to be unremedied for a period of 30 days after the earlier to occur of (i) the date on which written notice of such incorrectness requiring the same to be remedied shall have been given to the Seller or the Originator by the
Administrative Agent and (ii) the date on which a Responsible Officer of the Seller or the Originator acquires knowledge thereof; or 
 (v) the Servicer shall fail to adopt the Credit and Collection Policy and deliver a copy of the same to the Administrative Agent within 60 days after the Initial Closing Date. 
 Section 10.2. Remedies. 
 (a) Upon the occurrence of a Termination Event (other than a Termination Event described in Section 10.l(c)), the Administrative Agent shall, at the request of, or may, with the consent of, any of the
Purchasers, by notice to the Seller (with a copy to the Trustee), declare the Termination Date to have occurred and the Amortization Period to have commenced. 
 (b) Upon the occurrence of a Termination Event described in Section 10.1(c), the Termination Date shall occur immediately and
the Amortization Period shall commence automatically. 
 (c) Upon the occurrence of any Termination Event described in
Section 10.1, no Advances or Swingline Advances will thereafter be made, and the Trustee, on behalf of the Secured Parties and at the direction of the Administrative Agent, shall have, in addition to all of the rights and remedies under
this Agreement or otherwise, all other rights and remedies provided under the UCC of each applicable jurisdiction and other Applicable Laws in each case subject to clause (ii) of this Section 10.2(c) and
Section 10.2(d), which rights shall be cumulative, and, at the direction of the Administrative Agent, also may require the Seller and Servicer to, and the Seller and Servicer hereby agrees that they will at the Servicer’s expense
and upon request of the Trustee or the Administrative Agent forthwith, (i) assemble all or any part of the Collateral as directed by the Trustee or the Administrative Agent and make the same available to the Trustee or the Administrative Agent
at a place to be designated by the Trustee or the Administrative Agent and (ii) as of and after the date that is 90 days after the 
  

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 occurrence of a Termination Date, or immediately in the case of the Termination Events described in
Sections 10.1(j) and (k), without notice except as specified below, sell the Collateral or any part thereof in one or more parcels at a public or private sale, at any of the Trustee’s or Administrative Agent’s offices or
elsewhere, for Cash, on credit or for future delivery, and upon such terms as the Trustee, as directed by the Administrative Agent, may deem commercially reasonable. The Seller agrees that, to the extent notice of sale shall be required by law, at
least ten days’ notice to the Seller (which, for the avoidance of doubt may be provided during the 90 day period specified in clause (ii) of the preceding sentence) of the time and place of any public sale or the time after which
any private sale is to be made, which the Seller agrees shall constitute reasonable notification. The Trustee, at the direction of the Administrative Agent, shall not be obligated to make any sale of Collateral regardless of notice of sale having
been given. The Trustee, at the direction of the Administrative Agent, may adjourn any public or private sale from time to time by announcement at the time and place fixed therefor, and such sale may, without further notice, be made at the time and
place to which it was so adjourned. All Cash Proceeds received by the Trustee in respect of any sale of, collection from, or other realization upon, all or any part of the Collateral (after payment of any amounts incurred in connection with such
sale) shall be deposited into the Collection Account and be applied against all or any part of the Aggregate Unpaids pursuant to Section 2.11 or otherwise in such order as the Trustee, as directed by the Administrative Agent, shall elect
in its discretion. 
 (d) If the Trustee or the Administrative Agent proposes to sell the Collateral or any part thereof in
one or more parcels at a public or private sale, the Seller shall have the right of first refusal to repurchase the Collateral, in whole but not in part, prior to such sale at a price not less than the Aggregate Unpaids as of the date of such
proposed repurchase. 
 ARTICLE XI. 
 INDEMNIFICATION 
 Section 11.1. Indemnities by the Seller. 
 (a) Without limiting any other rights that any such Person may have hereunder or under Applicable Law, the Seller hereby agrees to
indemnify the Administrative Agent, the Purchaser Agents, the Trustee and the Backup Servicer, the Secured Parties, the Affected Parties and each of their respective assigns and officers, directors, employees and agents thereof (collectively, the
“Indemnified Parties”), forthwith on demand, from and against any and all damages, losses, claims, liabilities and related costs and expenses, including reasonable attorneys’ fees and disbursements (all of the foregoing being
collectively referred to as the “Indemnified Amounts”) awarded against or incurred by such Indemnified Party or any of them arising out of or as a result of this Agreement or the ownership of an interest in the Collateral or in
respect of any Asset included in the Collateral, 
  

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 excluding, however, Indemnified Amounts to the extent resulting from gross negligence or willful
misconduct on the part of such Indemnified Party. If the Seller has made any indemnity payment pursuant to this Section 11.1 and such payment fully indemnified the recipient thereof and the recipient thereafter collects any payments from
others in respect of such Indemnified Amounts, then the recipient shall repay to the Seller an amount equal to the amount it has collected from others in respect of such indemnified amounts. Without limiting the foregoing, the Seller shall indemnify
each Indemnified Party for Indemnified Amounts relating to or resulting from: 
 (i) any representation or warranty made or
deemed made by the Seller, the Servicer (if the Originator or one of its Affiliates is the Servicer) or any of their respective officers under or in connection with this Agreement or any other Transaction Document, which shall have been false or
incorrect in any material respect when made or deemed made or delivered; 
 (ii) the failure by the Seller or the Servicer
(if the Originator or one of its Affiliates is the Servicer) to comply with any term, provision or covenant contained in this Agreement or any agreement executed in connection with this Agreement, or with any Applicable Law, with respect to any
Collateral or the nonconformity of any Collateral with any such Applicable Law; 
 (iii) the failure to vest and maintain
vested in the Trustee, for the benefit of the Secured Parties, a perfected security interest in the Collateral, together with all Collections, free and clear of any Lien (other than Permitted Liens) whether existing at the time of any Advance or
Swingline Advance or at any time thereafter; 
 (iv) the failure to maintain, as of the close of business on each Business
Day prior to the Termination Date, an amount of Advances Outstanding that is less than or equal to the lesser of (x) the Facility Amount and (y) the Maximum Availability on such Business Day; 
 (v) the failure to file, or any delay in filing, financing statements, continuation statements or other similar instruments or documents
under the UCC of any applicable jurisdiction or other Applicable Laws with respect to any Collateral, whether at the time of any Advance or Swingline Advance or at any subsequent time; 
 (vi) any dispute, claim, offset or defense (other than the discharge in bankruptcy of the Obligor) of the Obligor to the payment with
respect to any Collateral (including, without limitation, a defense based on the Collateral not being a legal, valid and binding obligation of such Obligor enforceable against it in accordance with its terms), or any other claim resulting from the
sale of the merchandise or services related to such Collateral or the furnishing or failure to furnish such merchandise or services; 
  

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 (vii) any failure of the Seller or the Servicer (if the Originator or one of its
Affiliates is the Servicer) to perform its duties or obligations in accordance with the provisions of this Agreement or any of the other Transaction Documents to which it is a party or any failure by the Originator, the Seller or any Affiliate
thereof to perform its respective duties under any Collateral; 
 (viii) the failure of any Concentration Account Bank to
remit any amounts held in a Concentration Account pursuant to the instructions of the Servicer or the Trustee (to the extent such Person is entitled to give such instructions in accordance with the terms hereof and of the Intercreditor Agreement)
whether by reason of the exercise of set-off rights or otherwise; 
 (ix) any inability to obtain any judgment in, or utilize
the court or other adjudication system of, any state in which an Obligor may be located as a result of the failure of the Seller or the Originator to qualify to do business or file any notice or business activity report or any similar report;

 (x) any action taken by the Seller or the Originator (in its capacity as Servicer) in the enforcement or collection of any
Collateral; 
 (xi) any products liability claim or personal injury or property damage suit or other similar or related claim
or action of whatever sort arising out of or in connection with the Related Property or services that are the subject of any Collateral; 
 (xii) any claim, suit or action of any kind arising out of or in connection with Environmental Laws including any vicarious liability; 
 (xiii) the failure by Seller to pay when due any Taxes for which the Seller is liable, including without limitation, sales, excise or
personal property taxes payable in connection with the Collateral; 
 (xiv) except as required by the second sentence in
Section 11.1(a) of this Agreement and Section 2(c) of the Intercreditor Agreement, any repayment by the Administrative Agent, the Purchaser Agents or a Secured Party of any amount previously distributed in reduction of Advances
Outstanding or payment of Interest or any other amount due hereunder or under any Hedging Agreement, in each case which amount the Administrative Agent, the Purchaser Agents or a Secured Party believes in good faith is required to be repaid;

  

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 (xv) except for funds held in the Concentration Account, the commingling of Collections
on the Collateral at any time with other funds; 
 (xvi) any investigation, litigation or proceeding related to this
Agreement or the use of proceeds of Advances or Swingline Advances or the security interest in the Collateral; 
 (xvii) any
failure by the Seller to give reasonably equivalent value to the Originator or, at the direction of the Originator, the applicable third party transferor, in consideration for the transfer by the Originator to the Seller of any item of Collateral or
any attempt by any Person to void or otherwise avoid any such transfer under any statutory provision or common law or equitable action, including, without limitation, any provision of the Bankruptcy Code; 
 (xviii) the use of the proceeds of any Advance or Swingline Advance in a manner other than as provided in this Agreement and the Sale
Agreement; 
 (xix) the failure of the Seller, the Originator or any of their respective agents or representatives to remit
to the Servicer or the Trustee on behalf of the Secured Parties, Collections on the Collateral remitted to the Seller, the Originator, the Servicer or any such agent or representative as provided in this Agreement; or 
 (xx) the failure by the Seller to comply with any of the covenants relating to the Hedging Agreement in accordance with the Transaction
Documents. 
 (b) Any amounts subject to the indemnification provisions of this Section 11.1 shall be paid by the
Seller to the Indemnified Party within five Business Days following such Person’s demand therefor. 
 (c) If for any
reason the indemnification provided above in this Section 11.1 is unavailable to the Indemnified Party or is insufficient to hold an Indemnified Party harmless, then the Seller shall contribute to the amount paid or payable by such
Indemnified Party as a result of such loss, claim, damage or liability in such proportion as is appropriate to reflect not only the relative benefits received by such Indemnified Party on the one hand and the Seller on the other hand but also the
relative fault of such Indemnified Party as well as any other relevant equitable considerations. 
 (d) The obligations of the
Seller under this Section 11.1 shall survive the resignation or removal of the Administrative Agent, the Purchaser Agents, the Servicer, the Trustee or the Backup Servicer and the termination of this Agreement. 
  

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 Section 11.2. Indemnities by the Servicer. 
 (a) Without limiting any other rights that any such Person may have hereunder or under Applicable Law, the Servicer hereby agrees to
indemnify each Indemnified Party, forthwith on demand, from and against any and all Indemnified Amounts awarded against or incurred by any such Indemnified Party by reason of any acts, omissions or alleged acts or omissions of the Servicer,
including, but not limited to (i) any representation or warranty made by the Servicer under or in connection with any Transaction Document, any Servicing Report, Servicer’s Certificate or any other information or report delivered by or on
behalf of the Servicer pursuant hereto, which shall have been false, incorrect or misleading in any material respect when made or deemed made, (ii) the failure by the Servicer to comply with any Applicable Law, (iii) the failure of the
Servicer to comply with its duties or obligations in accordance with the Agreement, (iv) the failure by the Servicer to comply with any of the covenants relating to the Hedging Agreement in accordance with the Transaction Documents, or
(v) any litigation, proceedings or investigation against the Servicer. The parties agree that the provisions of this Section 11.2 shall not be interpreted to provide recourse to the Servicer against loss by reason of the bankruptcy,
insolvency or lack of creditworthiness of an Obligor with respect to an Asset. The provisions of this indemnity shall run directly to and be enforceable by an injured party subject to the limitations hereof. 
 (b) Any amounts subject to the indemnification provisions of this Section 11.2 shall be paid by the Servicer to the
Indemnified Party within five Business Days following such Person’s demand therefor. 
 (c) The Servicer shall have no
liability for making indemnification hereunder to the extent any such indemnification constitutes recourse for uncollectible or uncollected Assets. 
 (d) The obligations of the Servicer under this Section 11.2 shall survive the resignation or removal of the Administrative Agent, the Purchaser Agents, the Trustee or the Backup Servicer and the
termination of this Agreement. 
 (e) Any indemnification pursuant to this Section 11.2 shall not be payable from
the Collateral. 
 Section 11.3. After-Tax Basis. 
 Indemnification under Section 11.1 and Section 11.2 shall be in an amount necessary to make the Indemnified Party whole after
taking into account any tax consequences to the Indemnified Party of the receipt of the indemnity provided hereunder, including the effect of such tax or refund on the amount of tax measured by net income or profits that is or was payable by the
Indemnified Party. 
  

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 ARTICLE XII. 
 THE ADMINISTRATIVE AGENT 
 AND PURCHASER AGENTS 
 Section 12.1. The Administrative Agent. 
 (a) Appointment. Each Purchaser Agent and each Secured Party hereby appoints and authorizes the Administrative Agent as its agent hereunder and hereby further authorizes the Administrative Agent to appoint
additional agents to act on its behalf and for the benefit of each of the Purchaser Agents and each Secured Party. Each Purchaser Agent and each Secured Party further authorizes the Administrative Agent to take such action as agent on its behalf and
to exercise such powers under this Agreement and the other Transaction Documents as are delegated to the Administrative Agent by the terms hereof and thereof, together with such powers as are reasonably incidental thereto. With respect to other
actions which are incidental to the actions specifically delegated to the Administrative Agent hereunder, the Administrative Agent shall not be required to take any such incidental action hereunder, but shall be required to act or to refrain from
acting (and shall be fully protected in acting or refraining from acting) upon the direction of the Purchaser Agents; provided, however, that the Administrative Agent shall not be required to take any action hereunder if
the taking of such action, in the reasonable determination of the Administrative Agent, shall be in violation of any Applicable Law or contrary to any provision of this Agreement or shall expose the Administrative Agent to liability hereunder or
otherwise. In the event the Administrative Agent requests the consent of a Purchaser Agent or a Purchaser pursuant to the foregoing provisions and the Administrative Agent does not receive a consent (either positive or negative) from such Person
within ten Business Days of such Person’s receipt of such request, then such Purchaser Agent or Purchaser shall be deemed to have declined to consent to the relevant amendments. 
 (b) Standard of Care. The Administrative Agent shall exercise such rights and powers vested in it by this Agreement and the other
Transaction Documents, 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. 
 (c) Administrative Agent’s Reliance, Etc. Neither the Administrative Agent nor any of its directors, officers, agents or
employees shall be liable for any action taken or omitted to be taken by it or them as Administrative Agent under or in connection with this Agreement or any of the other Transaction Documents, except for its or their own gross negligence or willful
misconduct. Without limiting the foregoing, the Administrative Agent: (i) may consult with legal counsel (including counsel for the Seller or the Originator), independent public accountants and other experts selected by it and shall not be
liable for any action taken or omitted to be taken in good faith by it in accordance with the advice of 
  

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 such counsel, accountants or experts; (ii) makes no warranty or representation and shall not be
responsible for any statements, warranties or representations made in or in connection with this Agreement; (iii) shall not have any duty to ascertain or to inquire as to the performance or observance of any of the terms, covenants or
conditions of this Agreement or any of the other Transaction Documents on the part of the Seller, the Originator, or the Servicer or to inspect the property (including the books and records) of the Seller, the Originator, or the Servicer;
(iv) shall not be responsible for the due execution, legality, validity, enforceability, genuineness, sufficiency or value of this Agreement, any of the other Transaction Documents or any other instrument or document furnished pursuant hereto
or thereto; and (v) shall incur no liability under or in respect of this Agreement or any of the other Transaction Documents by acting upon any notice (including notice by telephone), consent, certificate or other instrument or writing (which
may be by facsimile) believed by it to be genuine and signed or sent by the proper party or parties. 
 (d) Credit Decision
with Respect to the Administrative Agent. Each Purchaser Agent and Secured Party acknowledges that it has, independently and without reliance upon the Administrative Agent, or any of the Administrative Agent’s Affiliates, and based upon
such documents and information as it has deemed appropriate, made its own evaluation and decision to enter into this Agreement and the other Transaction Documents to which it is a party. Each Purchaser Agent and Secured Party also acknowledges that
it will, independently and without reliance upon the Administrative Agent, or any of the Administrative Agent’s Affiliates, and based on such documents and information as it shall deem appropriate at the time, continue to make its own decisions
in taking or not taking action under this Agreement and the other Transaction Documents to which it is a Party. 
 (e)
Indemnification of the Administrative Agent. Each Purchaser Agent and Purchaser agrees to indemnify the Administrative Agent (to the extent not reimbursed by the Seller or the Servicer), ratably in accordance with its Pro-Rata Share from and
against any and all liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature whatsoever which may be imposed on, incurred by, or asserted against the Administrative Agent
in any way relating to or arising out of this Agreement or any of the other Transaction Documents, or any action taken or omitted by the Administrative Agent hereunder or thereunder; provided, that the Purchaser Agents shall not be
liable for any portion of such liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements resulting from the Administrative Agent’s gross negligence or willful misconduct. Without
limitation of the foregoing, each Purchaser Agent and Purchaser agrees to reimburse the Administrative Agent, ratably in accordance with its Pro-Rata Share promptly upon demand for any out-of-pocket expenses (including counsel fees) incurred by the
Administrative Agent in connection with the administration, modification, amendment or enforcement (whether through negotiations, legal proceedings or otherwise) of, or legal advice in respect of rights or responsibilities 
  

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 under, this Agreement and the other Transaction Documents, to the extent that such expenses are incurred
in the interests of or otherwise in respect of the Purchaser Agents, or the Purchasers hereunder and/or thereunder and to the extent that the Administrative Agent is not reimbursed for such expenses by the Seller or the Servicer. 
 (f) Successor Administrative Agent. The Administrative Agent may resign at any time, effective upon the appointment and acceptance
of a successor Administrative Agent as provided below, by giving at least five days’ written notice thereof to each Purchaser Agent and the Seller and may be removed at any time with cause by the Purchaser Agents acting jointly. Upon any such
resignation or removal, the Purchaser Agents acting jointly shall appoint a successor Administrative Agent. Each Purchaser Agent agrees that it shall not unreasonably withhold or delay its approval of the appointment of a successor Administrative
Agent. If no such successor Administrative Agent shall have been so appointed, and shall have accepted such appointment, within 30 days after the retiring Administrative Agent’s giving of notice of resignation or the removal of the retiring
Administrative Agent, then the retiring Administrative Agent may, on behalf of the Secured Parties, appoint a successor Administrative Agent which successor Administrative Agent shall be either (i) a commercial bank organized under the laws of
the United States or of any state thereof and have a combined capital and surplus of at least $50,000,000 or (ii) an Affiliate of such a bank. Upon the acceptance of any appointment as Administrative Agent hereunder by a successor
Administrative Agent, such successor Administrative Agent shall thereupon succeed to and become vested with all the rights, powers, privileges and duties of the retiring Administrative Agent, and the retiring Administrative Agent shall be discharged
from its duties and obligations under this Agreement. After any retiring Administrative Agent’s resignation or removal hereunder as Administrative Agent, the provisions of this Article XII shall continue to inure to its benefit as to any
actions taken or omitted to be taken by it while it was Administrative Agent under this Agreement. 
 (g) Payments by the
Administrative Agent. Unless specifically allocated to a specific Purchaser Agent pursuant to the terms of this Agreement, all amounts received by the Administrative Agent on behalf of the Purchaser Agents shall be paid by the Administrative
Agent to the Purchaser Agents in accordance with their respective Pro-Rata Shares in the applicable Advances Outstanding, or if there are no Advances Outstanding in accordance with the most recent applicable Commitment, on the Business Day received
by the Administrative Agent, unless such amounts are received after 12:00 p.m. on such Business Day, in which case the Administrative Agent shall use its reasonable efforts to pay such amounts to each Purchaser Agent on such Business Day, but, in
any event, shall pay such amounts to such Purchaser Agent not later than the following Business Day. 
  

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 Section 12.2. VFCC Agent. 
 (a) Authorization and Action. VFCC hereby designates and appoints WCM as the VFCC Agent hereunder, and authorizes the VFCC Agent to
take such actions as agent on its behalf and to exercise such powers as are delegated to the VFCC Agent by the terms of this Agreement together with such powers as are reasonably incidental thereto. The VFCC Agent shall not have any duties or
responsibilities, except those expressly set forth herein, or any fiduciary relationship with VFCC, and no implied covenants, functions, responsibilities, duties, obligations or liabilities on the part of the VFCC Agent shall be read into this
Agreement or otherwise exist for the VFCC Agent. In performing its functions and duties hereunder, the VFCC Agent shall act solely as agent for VFCC and does not assume nor shall be deemed to have assumed any obligation or relationship of trust or
agency with or for the Seller or any of its successors or assigns. The VFCC Agent shall not be required to take any action that exposes the VFCC Agent to personal liability or that is contrary to this Agreement or Applicable Law. The appointment and
authority of the VFCC Agent hereunder shall terminate at the indefeasible payment in full of the Aggregate Unpaids. 
 (b)
Delegation of Duties. The VFCC Agent may execute any of its duties under this Agreement by or through agents or attorneys-in-fact and shall be entitled to advice of counsel concerning all matters pertaining to such duties. The VFCC Agent
shall not be responsible for the negligence or misconduct of any agents or attorneys-in-fact selected by it with reasonable care. 
 (c) Exculpatory Provisions. Neither the VFCC Agent nor any of its directors, officers, agents or employees shall be (i) liable for any action lawfully taken or omitted to be taken by it or them under or in connection with this
Agreement (except for its, their or such Person’s own gross negligence or willful misconduct or, in the case of the VFCC Agent, the breach of its obligations expressly set forth in this Agreement), or (ii) responsible in any manner to VFCC
for any recitals, statements, representations or warranties made by the Seller contained in this Agreement or in any certificate, report, statement or other document referred to or provided for in, or received under or in connection with, this
Agreement, for the value, validity, effectiveness, genuineness, enforceability or sufficiency of this Agreement or any other document furnished in connection herewith, for any failure of the Seller to perform its obligations hereunder, or for the
satisfaction of any condition specified in Article III. The VFCC Agent shall not be under any obligation to VFCC to ascertain or to inquire as to the observance or performance of any of the agreements or covenants contained in, or conditions
of, this Agreement, or to inspect the properties, books or records of the Seller. The VFCC Agent shall not be deemed to have knowledge of any Unmatured Termination Event, Termination Event or Servicer Default unless the VFCC Agent has received
notice from the Seller or a Secured Party. 
 (d) Reliance. The VFCC Agent shall in all cases be entitled to rely, and
shall be fully protected in relying, upon any document or conversation 
  

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 believed by it to be genuine and correct and to have been signed, sent or made by the proper Person or
Persons and upon advice and statements of legal counsel (including, without limitation, counsel to the Seller), independent accountants and other experts selected by the VFCC Agent. The VFCC Agent shall in all cases be fully justified in failing or
refusing to take any action under this Agreement or any other document furnished in connection herewith unless it shall first receive such advice or concurrence of VFCC, as it deems appropriate, or it shall first be indemnified to its satisfaction
by VFCC; provided, that unless and until the VFCC Agent shall have received such advice, the VFCC Agent may take or refrain from taking any action as the VFCC Agent shall deem advisable and in the best interests of VFCC. The VFCC Agent
shall in all cases be fully protected in acting, or in refraining from acting, in accordance with a request of VFCC, and such request and any action taken or failure to act pursuant thereto shall he binding upon VFCC. 
 (e) Non-Reliance on the VFCC Agent and Other Purchasers. VFCC expressly acknowledges that neither the VFCC Agent nor any of its
officers, directors, employees, agents, attorneys-in-fact or affiliates has made any representations or warranties to it and that no act by the VFCC Agent hereafter taken, including, without limitation, any review of the affairs of the Seller, shall
be deemed to constitute any representation or warranty by the VFCC Agent. VFCC represents and warrants to the VFCC Agent that it has made and will make, independently and without reliance upon the VFCC Agent, and based on such documents and
information as it has deemed appropriate, its own appraisal of and investigation into the business, operations, property, prospects, financial and other conditions and creditworthiness of the Seller and its own decision to enter into this Agreement
or Hedging Agreement, as the case may be. 
 (f) The VFCC Agent in its Individual Capacity. The VFCC Agent and any of
its Affiliates may make loans to, accept deposits from and generally engage in any kind of business with the Seller or any Affiliate of the Seller as though the VFCC Agent were not the VFCC Agent hereunder. With respect to the Advances made pursuant
to this Agreement, the VFCC Agent and each of its Affiliates shall have the same rights and powers under this Agreement as the Purchasers and may exercise the same as though it were not the VFCC Agent and the terms “Purchaser” and
“Purchasers” shall include the VFCC Agent in its individual capacity. 
 (g) Successor VFCC Agent. The VFCC
Agent may, upon five days’ notice to the Seller and VFCC, and the VFCC Agent will, upon the direction of VFCC, resign as VFCC Agent. If the VFCC Agent shall resign, then VFCC, during such five day period, shall appoint a successor agent. If for
any reason no successor VFCC Agent is appointed by VFCC during such five day period, then effective upon the expiration of such five day period, the Seller shall make all payments it otherwise would have made to the VFCC Agent in respect of the
Aggregate Unpaids or under any fee letter delivered in connection herewith directly to VFCC and for all purposes shall deal directly with VFCC. After any 
  

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 retiring VFCC Agent’s resignation hereunder as VFCC Agent, the provisions of Articles XI and XII
shall inure to its benefit as to any actions taken or omitted to be taken by it while it was the VFCC Agent under this Agreement. Notwithstanding the resignation or removal of the VFCC Agent, Wachovia, as Hedge Counterparty, shall continue to be a
Secured Party hereunder. 
 Section 12.3. Additional Purchaser Agent. 
 (a) Authorization and Action. Each additional Purchaser hereby designates and appoints the relevant additional Purchaser Agent
designated in the related Transferee Letter or Assumption Agreement, as applicable, to act as its agent hereunder and under each other Transaction Document, and authorizes such additional Purchaser Agent to take such actions as agent on its behalf
and to exercise such powers as are delegated to the additional Purchaser Agent by the terms of this Agreement and the other Transaction Documents together with such powers as are reasonably incidental thereto. No additional Purchaser Agent shall
have any duties or responsibilities, except those expressly set forth herein or in any other Transaction Document, or any fiduciary relationship with such related additional Purchaser, and no implied covenants, functions, responsibilities, duties,
obligations or liabilities on the part of such additional Purchaser Agent shall be read into this Agreement or any other Transaction Document or otherwise exist for such additional Purchaser Agent. In performing its functions and duties hereunder
and under the other Transaction Documents, each additional Purchaser Agent shall act solely as agent for the related additional Purchaser and does not assume nor shall be deemed to have assumed any obligation or relationship of trust or agency with
or for the Seller or the Servicer or any of the Seller’s or the Servicer’s successors or assigns. No additional Purchaser Agent shall be required to take any action that exposes the additional Purchaser Agent to personal liability or that
is contrary to this Agreement, any other Transaction Document or Applicable Law. The appointment and authority of each additional Purchaser Agent hereunder shall terminate upon the indefeasible payment in full of all Aggregate Unpaids. Each
additional Purchaser Agent hereby authorizes the Trustee to file each of the UCC financing statements on behalf of such additional Purchaser Agent (the terms of which shall be binding on such additional Purchaser Agent). 
 (b) Delegation of Duties. Any of the additional Purchaser Agents may execute any of its duties under this Agreement and each other
Transaction Document by or through agents or attorneys-in-fact and shall be entitled to advice of counsel concerning all matters pertaining to such duties. No additional Purchaser Agent shall be responsible for the negligence or misconduct of any
agents or attorneys-in-fact selected by it with reasonable care. 
 (c) Exculpatory Provisions. Neither any additional
Purchaser Agent nor any of its directors, officers, agents or employees shall be (i) liable for any action lawfully taken or omitted to be taken by it or them under or in connection with this Agreement or any other Transaction Document (except
for its, their or 
  

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 such Person’s own gross negligence or willful misconduct), or (ii) responsible in any manner to
any additional Purchaser for any recitals, statements, representations or warranties made by the Seller or the Servicer contained in Article IV, any other Transaction Document or any certificate, report, statement or other document referred
to or provided for in, or received under or in connection with, this Agreement or any other Transaction Document, or for the value, validity, effectiveness, genuineness, enforceability or sufficiency of this Agreement, any other Transaction Document
or any other document furnished in connection herewith or therewith, or for any failure of the Seller or the Servicer to perform its obligations hereunder or thereunder, or for the satisfaction of any condition specified in this Agreement, or for
the perfection, priority, condition, value or sufficiency of any collateral pledged in connection herewith. No additional Purchaser Agent shall be under any obligation to any additional Purchaser to ascertain or to inquire as to the observance or
performance of any of the agreements or covenants contained in, or conditions of, this Agreement or any other Transaction Document, or to inspect the properties, books or records of the Seller or the Servicer. No additional Purchaser Agent shall be
deemed to have knowledge of any Termination Event or Unmatured Termination Event unless such additional Purchaser Agent has received notice from the Seller or the related additional Purchaser. 
 (d) Reliance by additional Purchaser Agent. Each additional Purchaser Agent shall in all cases be entitled to rely, and shall be
fully protected in relying, upon any document or conversation believed by it to be genuine and correct and to have been signed, sent or made by the proper Person or Persons and upon advice and statements of legal counsel (including, without
limitation, counsel to the Seller), independent accountants and other experts selected by such additional Purchaser Agent. Each additional Purchaser Agent shall in all cases be fully justified in failing or refusing to take any action under this
Agreement or any other Transaction Document unless it shall first receive such advice or concurrence of the related additional Purchaser as it deems appropriate and it shall first be indemnified to its satisfaction by such additional Purchaser;
provided, that unless and until such additional Purchaser Agent shall have received such advice, the additional Purchaser Agent may take or refrain from taking any action, as the additional Purchaser Agent shall deem advisable and in the best
interests of the Related additional Purchaser. Each additional Purchaser Agent shall in all cases be fully protected in acting, or in refraining from acting, in accordance with a request of the related additional Purchaser, and such request and any
action taken or failure to act pursuant thereto shall be binding upon such additional Purchaser. 
 (e) Non-Reliance on
additional Purchaser Agent. Each additional Purchaser expressly acknowledges that neither any additional Purchaser Agent, nor any of its officers, directors, employees, agents, attorneys-in-fact or affiliates has made any representations or
warranties to it and that no act by such additional Purchaser Agent hereafter taken, including, without limitation, any review of the affairs of the Seller or the Servicer, shall be deemed to constitute any representation or warranty by such
additional Purchaser Agent. Each additional 
  

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 Purchaser represents and warrants to the related additional Purchaser Agent that it has made and will
make, independently and without reliance upon such additional Purchaser Agent, such additional Purchaser and based on such documents and information as it has deemed appropriate, its own appraisal of and investigation into the business, operations,
property, prospects, financial and other conditions and creditworthiness of the Seller and its own decision to enter into this Agreement, the other Transaction Documents and all other documents related hereto or thereto. 
 (f) Additional Purchaser Agent in its Individual Capacity. Each additional Purchaser Agent and its Affiliates may make loans to,
accept deposits from and generally engage in any kind of business with the Seller or any Affiliate of the Seller as though such additional Purchaser Agent were not an additional Purchaser Agent hereunder. With respect to Advances pursuant to this
Agreement, each additional Purchaser Agent shall have the same rights and powers under this Agreement in its individual capacity as any Purchaser and may exercise the same as though it were not an additional Purchaser Agent, and the terms
“Purchaser,” and “Purchasers,” shall include the additional Purchaser Agent in its individual capacity. 
 (g) Successor Additional Purchaser Agent. Each additional Purchaser Agent may, upon five days’ notice to the Seller, and the related additional Purchaser, and such additional Purchaser Agent will, upon the direction of such
additional Purchaser (other than such additional Purchaser Agent, in its individual capacity) resign as additional Purchaser Agent. If any additional Purchaser Agent shall resign, then the related additional Purchaser during such five day period
shall appoint a successor agent. If for any reason no successor additional Purchaser Agent is appointed by the related additional Purchaser during such five day period, then effective upon the termination of such five day period, the Seller shall
make all payments in respect of the Aggregate Unpaids directly to such additional Purchaser, and for all purposes shall deal directly with such additional Purchaser. After any retiring additional Purchaser Agent’s resignation hereunder as an
additional Purchaser Agent, the provisions of Articles XI and XII shall inure to its benefit with respect to any actions taken or omitted to be taken by it while it was an additional Purchaser Agent under this Agreement. 
 ARTICLE XIII. 
 MISCELLANEOUS

 Section 13.1. Amendments and Waivers. 
 Except as provided in this Section 13.1, no amendment, waiver or other modification of any provision of this Agreement (other than Appendix B) shall be effective without the written agreement of the
Seller, the Servicer, the Administrative Agent and each of the Purchasers; provided, that: (i) any amendment of this Agreement that is solely for the purpose of adding a Purchaser may be effected with the written consent of the
Administrative Agent; and (ii) no such 
  

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 amendment, waiver or modification adversely affecting the rights or obligations of the Trustee, the Backup Servicer, or
any Hedge Counterparty shall be effective without the written agreement of such Person. The Seller or the Servicer on its behalf will deliver a copy of all amendments, waivers and modifications to the Trustee and to the Backup Servicer. 

Section 13.2. Notices, Etc. 
 All notices, reports and other communications provided for hereunder shall, unless otherwise stated herein, be in writing (including communication by facsimile copy) and mailed, e-mailed, faxed, transmitted or delivered, as to each party
hereto, at its address set forth on Annex A to this Agreement or at such other address as shall be designated by such party in a written notice to the other parties hereto (provided, however, for avoidance of
doubt, Lord Securities Corp. shall not receive notices, reports and other communications provided pursuant to Article II, and Section 6.13, Section 6.14 and Section 6.15 hereof). All such notices and
communications shall be effective, upon receipt, or in the case of (a) notice by mail, five days after being deposited in the United States mail, first class postage prepaid, (b) notice by email, when verbal or electronic communication of
receipt is obtained, or (c) notice by facsimile copy, when verbal communication of receipt is obtained. 
 Section 13.3.
Ratable Payments. 
 If any Secured Party, whether by setoff or otherwise, has payment made to it with respect to any portion of
the Aggregate Unpaids owing to such Secured Party (other than payments received pursuant to Section 11.1) in a greater proportion than that received by any other Secured Party, such Secured Party agrees, promptly upon demand, to purchase
for Cash without recourse or warranty a portion of the Aggregate Unpaids held by the other Secured Parties so that after such purchase each Secured Party will hold its ratable proportion of the Aggregate Unpaids; provided, however,
that if all or any portion of such excess amount is thereafter recovered from such Secured Party, such purchase shall be rescinded and the purchase price restored to the extent of such recovery, but without interest. 
 Section 13.4. No Waiver; Remedies. 
 No failure on the part of the Administrative Agent, the Purchaser Agents, the Trustee, the Backup Servicer or a Secured Party to exercise, and no delay in exercising, any right or remedy hereunder shall operate as a
waiver thereof; nor shall any single or partial exercise of any right or remedy hereunder preclude any other or further exercise thereof or the exercise of any other right. The rights and remedies herein provided are cumulative and not exclusive of
any rights and remedies provided by law. 
 Section 13.5. Binding Effect; Benefit of Agreement. 
 This Agreement shall be binding upon and inure to the benefit of the Seller, the Servicer, the Administrative Agent, the Purchaser Agents, the Trustee and
Backup Servicer, the Secured Parties and their respective successors and permitted assigns. 
  

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 Section 13.6. Term of this Agreement. 
 This Agreement, including, without limitation, the Seller’s representations and covenants set forth in Articles IV and V, and the
Servicer’s representations, covenants and duties set forth in Articles VI, VII and VIII, create and constitute the continuing obligation of the parties hereto in accordance with its terms, and shall remain in full force and
effect until the Collection Date; provided, however, that the rights and remedies with respect to any breach of any representation and warranty made or deemed made by the Seller pursuant to Articles III and
IV, the indemnification and payment provisions of Article XI and the provisions of Section 13.9, Section 13.10 and Section 13.11, shall be continuing and shall survive any termination of this
Agreement. 
 Section 13.7. Governing Law; Consent to Jurisdiction; Waiver of Objection to Venue. 
 THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK. EACH OF THE PARTIES HERETO AND EACH HEDGE
COUNTERPARTY HEREBY AGREES TO THE NON-EXCLUSIVE JURISDICTION OF ANY FEDERAL COURT LOCATED WITHIN THE STATE OF NEW YORK. EACH OF THE PARTIES HERETO AND EACH SECURED PARTY HEREBY WAIVES ANY OBJECTION BASED ON FORUM NON CONVENIENS, AND ANY OBJECTION TO
VENUE OF ANY ACTION INSTITUTED HEREUNDER IN ANY OF THE AFOREMENTIONED COURTS AND CONSENTS TO THE GRANTING OF SUCH LEGAL OR EQUITABLE RELIEF AS IS DEEMED APPROPRIATE BY SUCH COURT. 
 Section 13.8. Waiver of Jury Trial. 
 TO THE EXTENT PERMITTED BY APPLICABLE LAW, EACH OF THE PARTIES HERETO AND EACH HEDGE COUNTERPARTY HEREBY WAIVES ANY RIGHT TO HAVE A JURY PARTICIPATE IN RESOLVING ANY DISPUTE, WHETHER SOUNDING IN CONTRACT, TORT, OR
OTHERWISE BETWEEN THE PARTIES HERETO ARISING OUT OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL TO THE RELATIONSHIP BETWEEN ANY OF THEM IN CONNECTION WITH THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY. INSTEAD, ANY SUCH DISPUTE RESOLVED IN
COURT WILL BE RESOLVED IN A BENCH TRIAL WITHOUT A JURY. 
 Section 13.9. Costs, Expenses and Taxes. 
 (a) In addition to the rights of indemnification granted to the Administrative Agent, the Purchaser Agents, the Trustee, the Backup
Servicer, the Secured Parties and its or their Affiliates and officers, directors, employees and agents thereof under Article XI hereof, the Seller agrees to pay on demand (or if the Seller does not pay such amounts, the Servicer shall pay on
demand) all reasonable costs and expenses of the Administrative Agent, the Purchaser Agents, the Trustee, the Backup Servicer and the Secured Parties incurred in connection 
  

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 with the preparation, execution, delivery, administration (including periodic auditing), renewal,
amendment or modification of, or any waiver or consent issued in connection with, this Agreement and the other documents to be delivered hereunder or in connection herewith (including any Hedging Agreement), including, without limitation, the
reasonable fees and out-of-pocket expenses of counsel for the Administrative Agent, the Purchaser Agents, the Trustee, the Backup Servicer and the Secured Parties with respect thereto and with respect to advising the Administrative Agent, the
Purchaser Agents, the Trustee, the Backup Servicer and the Secured Parties as to their respective rights and remedies under this Agreement and the other documents to be delivered hereunder or in connection herewith (including any Hedging Agreement),
and all reasonable costs and expenses, if any (including reasonable counsel fees and expenses), incurred by the Administrative Agent, the Purchaser Agents, the Trustee, the Backup Servicer or the Secured Parties in connection with the enforcement of
this Agreement by such Person and the other documents to be delivered hereunder or in connection herewith (including any Hedging Agreement). 
 (b) The Seller shall pay on demand (or if the Seller does not pay such amounts, the Servicer shall pay on demand) any and all stamp, sales, excise and other taxes and fees payable or determined to be payable to any
Governmental Authority in connection with the execution, delivery, filing and recording of this Agreement, the other documents to be delivered hereunder or any agreement or other document providing liquidity support, credit enhancement or other
similar support to the Purchasers and the Swingline Purchaser in connection with this Agreement or the funding or maintenance of Advances or Swingline Advances hereunder. 
 (c) The Seller shall pay on demand (or if the Seller does not pay such amounts, the Servicer shall pay on demand) all other reasonable
costs, expenses and Taxes (excluding income taxes) incurred by the Administrative Agent, the Purchaser Agents, the Secured Parties (“Other Costs”) under or in connection with this Agreement. 
 Section 13.10. No Proceedings. 
 (a) Each of the parties hereto and each Hedge Counterparty (by accepting the benefits of this Agreement) hereby agrees that it will not institute against, or join any other Person in instituting against, any Conduit
Purchaser, the Administrative Agent, or any Liquidity Banks any Insolvency Proceeding so long as any commercial paper issued by the applicable Conduit Purchaser shall be outstanding and there shall not have elapsed one year and one day since the
last day on which any such commercial paper shall have been outstanding. 
 (b) Each of the parties hereto (other than a
particular additional Purchaser) hereby agrees that it will not institute against, or join any other Person in instituting against, such additional Purchaser, the related additional Purchaser 
  

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 Agent or any of its Liquidity Banks any Insolvency Proceeding so long as any commercial paper issued by
such additional Purchaser shall be outstanding and there shall not have elapsed one year and one day since the last day on which any such commercial paper shall have been outstanding. 
 (c) Each of the parties hereto (other than the Administrative Agent without the consent of the Purchaser Agents) hereby agrees that it
will not institute against, or join any other Person in instituting against, the Seller any Insolvency Proceeding so long as there shall not have elapsed one year and one day since the Collection Date. 
 Section 13.11. Recourse Against Certain Parties. 
 (a) No recourse under or with respect to any obligation, covenant or agreement (including, without limitation, the payment of any fees or
any other obligations) of the Administrative Agent, the Purchaser Agents, or any Secured Party as contained in this Agreement or any other agreement, instrument or document entered into by it pursuant hereto or in connection herewith shall be had
against any administrator of the Administrative Agent, the Purchaser Agents, or any Secured Party, or any incorporator, affiliate, stockholder, officer, employee or director of the Administrative Agent, the Purchaser Agents, or any Secured Party, or
of any such administrator, as such, by the enforcement of any assessment or by any legal or equitable proceeding, by virtue of any statute or otherwise; it being expressly agreed and understood that the agreements of the Administrative Agent, the
Purchaser Agents, or any Secured Party contained in this Agreement and all of the other agreements, instruments and documents entered into by it pursuant hereto or in connection herewith are, in each case, solely the corporate obligations of the
Administrative Agent, the Purchaser Agents, or any Secured Party, and that no personal liability whatsoever shall attach to or be incurred by any administrator of the Administrative Agent, the Purchaser Agents, or any Secured Party or any
incorporator, stockholder, affiliate, officer, employee or director of the Administrative Agent, the Purchaser Agents, or any Secured Party or of any such administrator, as such, or any other of them, under or by reason of any of the obligations,
covenants or agreements of the Administrative Agent, the Purchaser Agents, or any Secured Party contained in this Agreement or in any other such instruments, documents or agreements, or that are implied therefrom, and that any and all personal
liability of every such administrator of the Administrative Agent, the Purchaser Agents, or any Secured Party and each incorporator, stockholder, affiliate, officer, employee or director of the Administrative Agent, the Purchaser Agents, or any
Secured Party or of any such administrator, or any of them, for breaches by the Administrative Agent, the Purchaser Agents, or any Secured Party of any such obligations, covenants or agreements, which liability may arise either at common law or at
equity, by statute or constitution, or otherwise, is hereby expressly waived as a condition of and in consideration for the execution of this Agreement. The provisions of this Section 13.11 shall survive the termination of this
Agreement. 
  

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 (b) Notwithstanding anything in this Agreement to the contrary, neither VFCC nor any
additional Purchaser shall have any obligation to pay any amount required to be paid by it hereunder in excess of any amount available to VFCC or such additional Purchaser, as applicable, after paying or making provision for the payment of its
Commercial Paper Notes. All payment obligations of VFCC and each additional Purchaser, as applicable, hereunder are contingent on the availability of funds in excess of the amounts necessary to pay its Commercial Paper Notes; and each of the other
parties hereto agrees that it will not have a claim under Section 101(5) of the Bankruptcy Code if and to the extent that any such payment obligation owed to it by VFCC or an additional Purchaser, as applicable, exceeds the amount
available to VFCC or such additional Purchaser, as applicable, to pay such amount after paying or making provision for the payment of its Commercial Paper Notes. 
 (c) Notwithstanding any contrary provision set forth herein, no claim may be made by the Seller, the Originator or the Servicer or any
other Person against the Administrative Agent, the Secured Parties, the Trustee or the Backup Servicer or their respective Affiliates, directors, officers, employees, attorneys or agents for any special, indirect, consequential or punitive damages
in respect to any claim for breach of contract or any other theory of liability arising out of or related to the transactions contemplated by this Agreement, or any act, omission or event occurring in connection therewith; and the Seller, the
Originator and the Servicer each hereby waives, releases, and agrees not to sue upon any claim for any such damages, whether or not accrued and whether or not known or suspected. 
 (d) No obligation or liability to any Obligor under any of the Loans is intended to be assumed by the Administrative Agent and the Secured
Parties under or as a result of this Agreement and the transactions contemplated hereby. 
 Section 13.12. Protection of Right,
Title and Interest in the Collateral; Further Action Evidencing Advances and Swingline Advances. 
 (a) The Servicer
shall cause this Agreement, all amendments hereto and/or all financing statements and continuation statements and any other necessary documents covering the right, title and interest of the Trustee, for the benefit of the Secured Parties, to the
Collateral to be promptly recorded, registered and filed, and at all times to be kept, recorded, registered and filed, all in such manner and in such places as may be required by law fully to preserve and protect the right, title and interest of the
Trustee, for the benefit of the Secured Parties hereunder, to all property comprising the Collateral. The Servicer shall deliver to the Administrative Agent and the Trustee file-stamped copies of, or filing receipts for, any document recorded,
registered or filed as provided above, as soon as available following such recording, registration or filing. The Seller shall cooperate fully with the Servicer in connection with the obligations set forth above and will execute any and all
documents reasonably required to fulfill the intent of this Section 13.12(a). 
  

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 (b) The Seller agrees that from time to time, at its expense, it will promptly execute
and deliver all instruments and documents, and take all actions, that the Administrative Agent may reasonably request in order to perfect, protect or more fully evidence the Advances and Swingline Advances hereunder and the security interest granted
in the Collateral, or to enable the Administrative Agent or the Trustee, for the benefit of the Secured Parties, to exercise and enforce their rights and remedies hereunder or under any Transaction Document. 
 (c) If the Seller or the Servicer fails to perform any of its obligations hereunder, the Administrative Agent or any Secured Party may
(but shall not be required to) perform, or cause performance of, such obligation; and the Administrative Agent’s or such Secured Party’s costs and expenses incurred in connection therewith shall be payable by the Seller as provided in
Article XI. The Seller irrevocably authorizes the Administrative Agent and appoints the Administrative Agent as its attorney-in-fact to act on behalf of the Seller (i) to execute on behalf of the Seller as debtor and to file financing
statements necessary or desirable in the Administrative Agent’s sole discretion to perfect and to maintain the perfection and priority of the interest of the Trustee, for the benefit of the Secured Parties, in the Collateral and (ii) to
file a carbon, photographic or other reproduction of this Agreement or any financing statement with respect to the Collateral as a financing statement in such offices as the Administrative Agent in its sole discretion deems necessary or desirable to
perfect and to maintain the perfection and priority of the interests of the Trustee, for the benefit of the Secured Parties in the Collateral. This appointment is coupled with an interest and is irrevocable. 
 (d) Without limiting the generality of the foregoing, Seller will, not earlier than six months and not later than three months prior to
the fifth anniversary of the date of filing of the financing statement referred to in Section 3.1 or any other financing statement filed pursuant to this Agreement or in connection with any Advance or Swingline Advance hereunder, unless
the Collection Date shall have occurred: 
 (i) execute and deliver and file or cause to be filed an appropriate continuation
statement with respect to such financing statement; and 
 (ii) deliver or cause to be delivered to the Administrative Agent
an opinion of the counsel for Seller, in form and substance reasonably satisfactory to the Administrative Agent, confirming and updating the opinion delivered pursuant to Section 3.1 with respect to perfection and otherwise to the effect
that the security interest hereunder continues to be an enforceable and perfected security interest, subject to no other Liens of record except as provided herein or otherwise permitted hereunder, which opinion may contain usual and customary
assumptions, limitations and exceptions. 
  

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 Section 13.13. Confidentiality. 
 (a) Each of the Administrative Agent, the Purchaser Agents, the Secured Parties, the Servicer, the Trustee, the Backup Servicer and the
Seller shall maintain and shall cause each of its employees and officers to maintain the confidentiality of the Agreement and all information with respect to the other parties, including all information regarding the business of the Seller and the
Servicer hereto and their respective businesses obtained by it or them in connection with the structuring, negotiating and execution of the transactions contemplated herein, except that each such party and its officers and employees may
(i) disclose such information to its external accountants, investigators, auditors, attorneys, investors, potential investors or other agents engaged by such party in connection with any due diligence or comparable activities with respect to
the transactions and Assets contemplated herein and the agents of such Persons (“Excepted Persons”); provided, however, that each Excepted Person shall, as a condition to any such disclosure, agree for the
benefit of the Administrative Agent, the Purchaser Agents, the Secured Parties, the Servicer, the Trustee, the Backup Servicer and the Seller that such information shall be used solely in connection with such Excepted Person’s evaluation of, or
relationship with, the Seller and its affiliates, (ii) disclose the existence of the Agreement, but not the financial terms thereof, (iii) disclose such information as is required by Applicable Law and (iv) disclose the Agreement and
such information in any suit, action, proceeding or investigation (whether in law or in equity or pursuant to arbitration) involving any of the Transaction Documents or any Hedging Agreement for the purpose of defending itself, reducing its
liability, or protecting or exercising any of its claims, rights, remedies, or interests under or in connection with any of the Transaction Documents or any Hedging Agreement. It is understood that the financial terms that may not be disclosed
except in compliance with this Section 13.13(a) include, without limitation, all fees and other pricing terms, and all Termination Events, Servicer Defaults, and priority of payment provisions. 
 (b) Anything herein to the contrary notwithstanding, the Seller and the Servicer each hereby consents to the disclosure of any nonpublic
information with respect to it (i) to the Administrative Agent, the Purchaser Agents, the Trustee, the Backup Servicer or the Secured Parties by each other, (ii) by the Administrative Agent, the Purchaser Agents, the Trustee, the Backup
Servicer and the Secured Parties to any prospective or actual assignee or participant of any of them provided such Person agrees to hold such information confidential, or (iii) by the Administrative Agent, the Purchaser Agents, and the Secured
Parties to any commercial paper dealer or provider of a surety, guaranty or credit, liquidity or first loss enhancement to any Purchaser, as applicable, and to any officers, directors, employees, outside accountants and attorneys of any of the
foregoing, provided each such Person is informed of the confidential nature of such information. In addition, the Secured Parties, the Administrative Agent and the Purchaser Agents may disclose any such nonpublic information as required pursuant to
any law, rule, regulation, direction, request or order of any judicial, administrative or regulatory authority or proceedings (whether or not having the force or effect of law). 
  

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 (c) Notwithstanding anything herein to the contrary, the foregoing shall not be construed
to prohibit (i) disclosure of any and all information that is or becomes publicly known; (ii) disclosure of any and all information (a) if required to do so by any applicable statute, law, rule or regulation, (b) to any
government agency or regulatory body having or claiming authority to regulate or oversee any respects of the Administrative Agent’s, the Purchaser Agents’, the Secured Parties’, the Trustee’s, the Servicer’s, the
Seller’s or the Backup Servicer’s business or that of their affiliates, (c) pursuant to any subpoena, civil investigative demand or similar demand or request of any court, regulatory authority, arbitrator or arbitration to which the
Administrative Agent, the Purchaser Agents, the Secured Parties, the Trustee, the Servicer, the Seller or the Backup Servicer or an officer, director, employer, shareholder or affiliate of any of the foregoing is a party, (d) in any preliminary
or final offering circular, registration statement or contract or other document approved in advance by the Seller, the Servicer or the Originator or (e) to any affiliate, independent or internal auditor, agent, employee or attorney of the
Trustee or the Backup Servicer having a need to know the same, provided, that the Trustee or the Backup Servicer advises such recipient of the confidential nature of the information being disclosed; or (iii) any other disclosure
authorized by the Seller, Servicer or Originator. 
 Section 13.14. Execution in Counterparts; Severability; Integration.

 This Agreement may be executed in any number of counterparts and by different parties hereto in separate counterparts (including by
facsimile), each of which when so executed shall be deemed to be an original and all of which when taken together shall constitute one and the same agreement. In case any provision in or obligation under this Agreement shall be invalid, illegal or
unenforceable in any jurisdiction, the validity, legality and enforceability of the remaining provisions or obligations, or of such provision or obligation in any other jurisdiction, shall not in any way be affected or impaired thereby. This
Agreement and any agreements or letters (including fee letters) executed in connection herewith contains the final and complete integration of all prior expressions by the parties hereto with respect to the subject matter hereof and shall constitute
the entire agreement among the parties hereto with respect to the subject matter hereof, superseding all prior oral or written understandings other than any fee letter delivered by the Originator to the Administrative Agent, the Purchaser Agents,
and the Secured Parties. 
 Section 13.15. Waiver of Setoff. 
 (a) Each of the parties hereto (other than VFCC) hereby waives any right of setoff it may have or to which it may be entitled under this
Agreement from time to time against VFCC or its assets. 
  

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 (b) Each of the parties hereto (other than any one of the additional Purchasers) hereby
waives any right of setoff it may have or to which it may be entitled under this Agreement from time to time against such additional Purchaser or its assets. 
 Section 13.16. Assignments. 
 With the prior written consent of the Seller (which consent
shall not be unreasonably withheld), each Purchaser may at any time assign, or grant a security interest or sell a participation interest in or sell any Advance (or portion thereof) or any VFC (or any portion thereof) to any Person; provided, that,
as applicable, (i) no transfer of any Advance (or any portion thereof) or of any VFC (or any portion thereof) shall be made unless such transfer is exempt from the registration requirements of the Securities Act and any applicable state
securities laws or is made in accordance with the Securities Act and such laws, and is made only to either an “accredited investor” as defined in paragraphs (a)(1), (2), (3), or (7) of Rule 501 of Regulation D under the Securities Act
or any entity in which all of the equity owners come within such paragraphs or to a “qualified institutional buyer” as defined in Rule 144A under the Securities Act, (ii) no such consent of the Seller shall be required following the
occurrence of a Termination Event, (iii) in the case of an assignment of any Advance (or any portion thereof) or of any VFC (or of any portion thereof) the assignee executes and delivers to the Servicer, the Seller and the Administrative Agent
a fully executed Transferee Letter substantially in the form of Exhibit K hereto (a “Transferee Letter”), and (v) any Conduit Purchaser shall not need prior consent of the Seller to at any time assign, or grant a security interest or
sell a participation interest in, or sell, any Advance (or portion thereof) or any VFC or any portion thereof to a Liquidity Bank, an Affiliate or its related Purchaser Agent or to a third party pursuant to the terms of a Liquidity Agreement
provided that with respect to any assignment, grant of a security interest, sale of a participation interest or sale to a third party pursuant to the terms of a Liquidity Agreement, the Interest Rate, may in no event at any time thereafter exceed
LIBOR plus 10 basis points. The parties to any such assignment, grant or sale of a participation interest shall execute and deliver to the VFCC Agent or the related additional Purchaser Agent, as applicable, for its acceptance and recording in its
books and records, such agreement or document as may be satisfactory to such parties and the VFCC Agent or such additional Purchaser Agent, as applicable. The Seller shall not assign or delegate, or grant any interest in, or permit any Lien to exist
upon, any of the Seller’s rights, obligations or duties under this Agreement without the prior written consent of the Administrative Agent and each Hedge Counterparty. 
 Section 13.17. Heading and Exhibits. 
 The headings herein are for purposes of references only and shall not otherwise affect the meaning or interpretation of any provision hereof. The schedules and exhibits attached hereto and referred to herein shall
constitute a part of this Agreement and are incorporated into this Agreement for all purposes. 
 Section 13.18. Loans Subject to
Retained Interest Provisions. 
 (a) With respect to any Loan included in the Collateral subject to the Retained
Interest provisions of this Agreement, the Seller will own only the 
  

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 principal portion of such Loans outstanding as of the applicable Cut-Off Date. Principal Collections
received by the Seller or the Servicer on any Revolving Loans (other than in the case of Loans to SPE Obligors) will be allocated first to the portion of such Revolving Loan owned by the Seller, until the principal amount of such portion is reduced
to zero, and then to the portion not owned by the Seller; provided, however, if a payment default occurs with respect to any of the related Loans, will be allocated between the portion owned by the Seller and the portion not owned by the Seller,
pro rata based upon the outstanding principal amount of each such portion. 
 (b) With respect to any Revolving Loan to
SPE Obligors included in the Collateral subject to the Retained Interest provisions of this Agreement, Principal Collections received by the Servicer on those Loans will be allocated between the portion owned by the Seller and the portion not owned
by the Seller on a pro rata basis according to the outstanding principal amount of each such portion. 
 (c) With
respect to any Term Loans included in the Collateral subject to the Retained Interest provisions of this Agreement, Principal Collections and Interest Collections received by the Servicer will be allocated between the portion owned by the Seller and
to the portion not owned by the Seller (if any) on a pro rata basis according to the outstanding principal amount of such portion. 
 Section 13.19. Non-Confidentiality of Tax Treatment. 
 All parties hereto agree that each of them and each of their
employees, representatives, and other agents may disclose to any and all persons, without limitation of any kind, the tax treatment and tax structure of the transaction and all materials of any kind (including, without limitation, opinions or other
tax analyses) that are provided to any of them relating to such tax treatment and tax structure. “Tax treatment” and “tax structure” shall have the same meaning as such terms have for purposes of Treasury Regulation
Section 1.6011-4; provided, however, that with respect to any document or similar item that in either case contains information concerning the tax treatment or tax structure of the transaction as well as other
information, the provisions of this Section 13.19 shall only apply to such portions of the document or similar item that relate to the tax treatment or tax structure of the transactions contemplated hereby. 
 Section 13.20. Cooperation with Trustee. 
 The Administrative Agent and the Purchaser Agents agree to provide to the Trustee or to the Servicer, as applicable, such information that the Trustee or the Servicer may reasonably request from time to time in
connection with the preparation and delivery of any reports required pursuant to this Agreement or in connection with the performance of their other duties under this Agreement or any other Transaction Document; provided, that the
Administrative Agent and each Purchaser Agent shall not be required to assume any undue burden or incur any undue expense in connection with this Section 13.20. 
 [Remainder of Page Intentionally Left Blank.] 
  

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 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by their respective officers
thereunto duly authorized, as of the date first above written. 
  

							
	THE SELLER:	 	NEWSTAR CP FUNDING LLC
			
		 	By:	 	Newstar Financial, Inc., its Designated Manager
				
		 		 	By:	 	 /s/ John J. Frishkopf

		 		 	Name:	 	John J. Frishkopf
		 		 	Title:	 	Vice President
		
	THE ORIGINATOR AND SERVICER:	 	NEWSTAR FINANCIAL, INC.
			
		 	By:	 	 /s/ John J. Frishkopf

		 	Name:	 	John J. Frishkopf
		 	Title:	 	Vice President

 [Signatures Continued on the Following Page] 
 [Amended and Restated Sale and Servicing Agreement] 

							
	VFCC:	 	VARIABLE FUNDING CAPITAL COMPANY, LLC
			
	Commitment:	 	By:	 	Wachovia Capital Markets, LLC, as attorney-in-fact
				
	$275,000,000	 		 	By:	 	 /s/ Douglas R. Wilson, Sr.

		 		 	Name:	 	DOUGLAS R. WILSON, SR.
		 		 	Title:	 	VICE PRESIDENT
		
	 THE ADMINISTRATIVE AGENT
 AND THE VFCC
AGENT:
	 	WACHOVIA CAPITAL MARKETS, LLC
			
		 	By:	 	 /s/ Paul Burichart

		 	Name:	 	Paul Burichart
		 	Title:	 	Director

 [Signatures Continued on the Following Page] 
 [Amended and Restated Sale and Servicing Agreement] 

					
	THE SWINGLINE PURCHASER:	 	WACHOVIA BANK, NATIONAL ASSOCIATION
			
	Commitment:	 	By:	 	 /s/ Raj Shah

		 	Name:	 	Raj Shah
	$25,000,000	 	Title:	 	Managing Director

 [Signatures Continued on the Following Page] 
 [Amended and Restated Sale and Servicing Agreement] 

					
	THE TRUSTEE:	 	 U.S. BANK NATIONAL ASSOCIATION,
 not in its individual capacity but solely as Trustee

			
		 	By:	 	 /s/ Kyle Harcourt

		 	Name:	 	Kyle Harcourt
		 	Title:	 	Vice President

 [Signatures Continued on the Following Page] 
 [Amended and Restated Sale and Servicing Agreement] 

					
	THE BACKUP SERVICER:	 	 LYON FINANCIAL SERVICES, INC.,
 d/b/a US Bank Portfolio Services
 not in its individual capacity but solely as
 Backup Servicer

			
		 	By:	 	 /s/ Joseph Andries

		 	Name:	 	Joseph Andries
		 	Title:	 	Senior Vice President

 [Signatures Continued on the Following Page] 
 [Amended and Restated Sale and Servicing Agreement] 

			
	Acknowledged and Agreed to as of the date first written above.
	
	WACHOVlA BANK, NATIONAL ASSOCIATION, as the Hedge Counterparty
		
	By:	 	 /s/ Kim V. Farr

	Name:	 	Kim V. Farr
	Title:	 	Director

 [Amended and Restated Sale and Servicing Agreement] 

 Appendix A to 
 Sale and Servicing Agreement 
 Eligibility Criteria for Loans 
 Each Loan must satisfy the following additional criteria, as applicable, to be included as part of the Collateral as an Eligible Asset: 
 (a) if such Loan is a Large Syndicated Loan or Middle Market Loan, such Loan is underwritten as a cash flow loan where the source of
repayment is ongoing cash flow of the Obligor, an asset-based loan where the source of repayment is collection of receivables, or some combination thereof; 
 (b) (i) if such Loan is a Large Syndicated Loan or Middle Market Loan, such Loan has (A) an S&P Rating and a Moody’s Rating not lower than “CCC-” and “Caa3,” respectively, if
rated by both Rating Agencies; 
 (ii) if such Loan is an ABS Direct Loan, such Loan has (A) an S&P Rating and a
Moody’s Rating of not lower than “B-” and “B3,” respectively. The Administrative Agent shall have the right to challenge the inputs utilized for any RiskCalc model, CreditModel model or rating determined by the Servicer in
accordance with the Credit and Collection Policy, and if such disagreement cannot be resolved, the determination of the Administrative Agent as to such challenge of the inputs utilized for such models or rating shall be conclusive and binding on the
parties hereto absent manifest error; 
 (c) the proceeds of such Loan will not be used to finance activities of the type
engaged in by businesses classified under NAICS Codes 2361 (Residential Building Construction), 2362 (Nonresidential Building Construction), 2371 (Utility System Construction), and 2372 (Land Subdivision) other than condominium conversion activities
that are approved in writing by the Administrative Agent; 
 (d) such Loan is evidenced by a promissory note (other than in
the case of a Noteless Loan), a credit agreement containing an express promise to pay, a security agreement or instrument and related loan documents that have been duly authorized and executed, are in full force and effect and constitute the legal,
valid, binding and absolute and unconditional payment obligation of the related Obligor, enforceable against such Obligor in accordance with their terms (subject, as to enforcement only, to applicable bankruptcy, insolvency, moratorium or other
similar laws affecting the rights of creditors generally and to general principles of equity, whether considered in a suit at law or in equity), and there are no conditions precedent to the enforceability or validity of the Loan that have not been
satisfied or validly waived; 
 (e) all parties that have had any interest in the Loan, whether as mortgagee, assignee,
pledgee or otherwise, are (or, during the period in which they held and disposed of such interest, were) (i) in compliance with any and all 

 Appendix A to 
 Amended and Restated Sale and Servicing Agreement 
 applicable licensing requirements of the laws of the
state wherein any Related Property is located, and (ii)(A) organized under the laws of such state, (B) qualified to do business in such state, (C) federal savings and loan associations or national banks having principal offices in such
state or (D) not doing business in such state; 
 (f) such Loan (i) was originated and underwritten, or purchased
and re-underwritten, by the Originator including, without limitation, the completion of a due diligence audit and collateral assessment, (ii) is fully documented, and (iii) is being serviced by the Servicer, in each case in accordance with
the Credit and Collection Policy and the Servicing Standard; 
 (g) such Loan has an original term to maturity that does not
exceed (i) in the case of Large Syndicated Loans, Middle Market Loans and ABS Direct Loans, 96 months and (ii) in the case of Real Estate Loans, 120 months; 
 (h) all of the original or certified Required Loan Documents with respect to such Loan have been, or will be, delivered to the Trustee as
provided in Section 3.2(c), and all Servicing Files are being or shall be maintained at the principal place of business of the Servicer in accordance with documented safety procedures approved by the Administrative Agent; 
 (i) (i) if such Loan is a Large Syndicated Loan, Middle Market Loan or Real Estate Loan, such Loan is not more than 10 days
delinquent in payment and, since its origination, such Loan has never been more than 30 days delinquent in payment of either principal or interest (unless otherwise approved by the Administrative Agent) and (ii) if such Loan is an ABS Direct
Loan, such Loan is not delinquent in payment and, since its origination, such Loan has never been delinquent in payment of either principal or interest (unless otherwise approved by the Administrative Agent); 
 (j) there is no default, breach, violation or event or condition which would give rise to a right of acceleration existing under the
Underlying Instruments and no event which, with the passage of time or with notice and the expiration of any grace or cure period, would constitute a default, breach, violation or event or condition which would give rise to a right of acceleration;

 (k) such Loan is not a Materially Modified Loan and such Loan is not a loan (including, without limitation, a new loan that
replaced a prior loan by the Originator or any of its Affiliates to the Obligor that was a Delinquent Loan or a Charged-Off Loan) or extension of credit by the Originator to the Obligor for the purpose of making any past due principal, interest or
other payments due on such Loan; 
 (1) the terms of such Loan provide for payment of a portion of accrued and unpaid interest
in Cash on a current basis; 
  

 Appendix A-2 

 Appendix A to 
 Amended and Restated Sale and Servicing Agreement 
 (m) other than for Permitted PIK Loans,
such Loan does not permit interest to be capitalized or contain payment obligations relating to “put rights” by the related Obligor; 
 (n) such Loan is not subject to any right of rescission, set-off, counterclaim or defense, including the defense of usury, by the related Obligor (including any account debtor or Person obligated to make payments on
such Loan to such Obligor), nor will the operation of any of the terms of the Underlying Instruments, or the exercise of any right thereunder, render the Underlying Instruments unenforceable in whole or in part, or subject to any right of
rescission, set-off, counterclaim or defense, including the defense of usury, no such right of rescission, set-off, counterclaim or defense has been asserted with respect thereto, and the Underlying Instruments with respect to the Loan provide for
an affirmative waiver by the related Obligor of all rights of rescission, set-off and counterclaim against the Originator and its assignees; 
 (o) such Loan does not contain a confidentiality provision that restricts or purports to restrict the ability of the Administrative Agent or any Secured Party to exercise their rights under this Agreement, including,
without limitation, their rights to review the Loan File; 
 (p) other than in the case of Third Party Serviced Loans, the
Seller has caused, and will cause, to be performed any and all acts reasonably required to be performed to preserve the rights and remedies of the Trustee on behalf of the Secured Parties in any Insurance Policies applicable to the Loan including,
without limitation, in each case, any necessary notifications of insurers, assignments of policies or interests therein, and establishments of co-insured, joint loss payee and mortgagee rights in favor of the Trustee on behalf of the Secured
Parties; 
 (q) if the Loan is one of a number of loans made to the same Obligor at the same seniority in such Obligor’s
capital structure, such Loan and any other loans to the same Obligor contain standard cross-collateralization and cross-default provisions; 
 (r) if such Loan is a Participation, the related Selling Institution has a Moody’s long-term unsecured debt rating of not lower than “A2” and an S&P long-term unsecured debt rating of not lower than
“A”; 
 (s) if such Loan is an Agented Loan or a Third Party Serviced Loan: 
 (i) with respect to Agented Loans or Third Party Serviced Loans, as applicable, the related Underlying Instruments (A) shall include
a note purchase or similar agreement containing provisions relating to the appointment and duties of a payment agent and a collateral agent and intercreditor provisions consistent with the Originator’s Credit and Collection Policy and with the
Servicing Standard in form and substance 
  

 Appendix A-3 

 Appendix A to 
 Amended and Restated Sale and Servicing Agreement 
 satisfactory to the Administrative Agent, and
(B) are duly authorized, fully and properly executed and are the valid, binding and unconditional payment obligation of the Obligor thereof; 
 (ii) with respect to Agented Loans, the Originator (or a wholly owned subsidiary of the Originator) has been appointed the collateral agent of the security and the payment agent for all such notes prior to such
Agented Loan becoming a part of the Collateral; 
 (iii) with respect to Agented Loans or Third Party Serviced Loans, as
applicable, if the entity serving as the collateral agent of the security for all notes of the Obligor issued under the applicable Underlying Instruments has or will change from the time of the origination of the notes, all appropriate assignments
of the collateral agent’s rights in and to the collateral on behalf of the holders of the indebtedness of the Obligor have been executed and filed or recorded as appropriate prior to such Loan becoming a part of the Collateral; 
 (iv) with respect to Agented Loans, all required notifications, if any, have been given to the collateral agent, the payment agent and
any other parties required by the Underlying Instruments of, and all required consents, if any, have been obtained with respect to, the Originator’s assignment of such Loan and the Originator’s right, title and interest in the Related
Property to the Seller and the Trustee’s security interest therein on behalf of the Secured Parties; 
 (v) with respect
to Agented Loans or Third Party Serviced Loans, as applicable, the right to control the actions of and replace the collateral agent and/or the paying agent of the notes is to be exercised by at least a majority in interest of all holders of such
indebtedness; and 
 (vi) with respect to Agented Loans or Third Party Serviced Loans, as applicable, all indebtedness of the
Obligor of the same priority is cross-defaulted, the Related Property securing such indebtedness is held by the collateral agent for the benefit of all holders of such indebtedness and all holders of such indebtedness (A) have an undivided pari
passu interest in the collateral securing such indebtedness, (B) share in the proceeds of the sale or other disposition of such collateral on a pro rata basis and (C) may transfer or assign their right, title and interest in the
Related Property; 
 (t) if such Loan is a Material Middle Market Mortgage Loan or a Real Estate Loan: 
 (1) the Loan is secured by the related Mortgage, which has been properly recorded (or, if not properly recorded, has been submitted in
proper form for recording) and establishes and creates a valid, enforceable and subsisting first 
  

 Appendix A-4 

 Appendix A to 
 Amended and Restated Sale and Servicing Agreement 
 priority security interest (or second priority Lien in
the case of certain B-Note Loans) on the related Mortgaged Property subject only to the following (“Permitted Encumbrances”): (a) the Lien of current real property taxes and assessments, (b) covenants, conditions and
restrictions, rights of way, easements and other matters of public record as of the date of recording of such Mortgage, such exceptions appearing of record being acceptable to mortgage lending institutions generally in the area wherein the Mortgaged
Property is located or specifically reflected in the Appraisal obtained by the applicable originator in connection with the origination of the related Loan and (c) other matters to which like properties are commonly subject which do not
materially and adversely interfere with the value of or current principal use of the related Mortgaged Property or the benefits of the security intended to be provided by such Mortgage; 
 (2) (i) the Lien of the related Mortgage is insured by an ALTA lender’s title insurance policy (“Title
Policy”), or its equivalent, issued by a nationally recognized title insurance company licensed to do business in the state in which the Mortgaged Property is located, insuring the originator of such Loan, its successors and assigns, as to
the first or second priority Lien of the related Mortgage in the original principal amount of such Loan after all advances of principal, subject only to customary Liens permitted under the Mortgage (or, if a Title Policy has not yet been issued in
respect of such Loan, a policy meeting the foregoing description is evidenced by a commitment for title insurance “marked- up” at the closing of such loan); (ii) each Title Policy (or, if it has yet to be issued, the coverage to be
provided thereby) is in full force and effect, all premiums thereon have been paid and no material claims have been made thereunder and no claims have been paid thereunder; (iii) the Originators, the Seller and the Servicer have not, by act or
omission, done anything that would materially impair the coverage under such Title Policy; (iv) other than in the case of Agented Loans and Third Party Serviced Loans, the Title Policy is freely transferable or assignable by the Originator and
the Seller or, in the case of Agented Loans and Third Party Serviced Loans, by the related agent or third party servicer, as applicable; and (v) immediately following the Grant of the related Loan to the Trustee for the benefit of the Secured
Parties, such Title Policy (or, if it has yet to be issued, the coverage to be provided thereby) will inure to the benefit of the Trustee for the benefit of the Secured Parties without the consent of or notice to the insurer; 
 (3) any related Mortgage contains customary and enforceable provisions, which render the rights and remedies of the holder thereof
adequate for the realization against the Mortgaged Property of the benefits of the security, including, (x) in the case of a Mortgage designated as a deed of trust, by trustee’s sale, and (y) otherwise by judicial foreclosure. There
is no homestead or other exemption available to the Obligor which would materially interfere with the right to sell the Mortgaged Property related to such Loan at a trustee’s sale or the right to foreclose the Mortgage; 
  

 Appendix A-5 

 Appendix A to 
 Amended and Restated Sale and Servicing Agreement 
 (4) all escrow deposits relating to such
Loan that are, as of the applicable Cut-Off Date, required to be deposited with the mortgagee or its agent have been so deposited; 
 (5) there is no delinquent tax or assessment Lien on any Mortgaged Property which is the primary Collateral for the related Material Middle Market Mortgage Loan or Real Estate Loan, and each such Mortgaged Property is free of material
damage and is in good repair; 
 (6) there are no material defaults in complying with the terms of any applicable Mortgage
related to a Material Middle Market Mortgage Loan, and all taxes, governmental assessments, insurance premiums, water, sewer and municipal charges, leasehold payments or ground rents which previously became due and owing have been paid, or an escrow
of funds has been established in an amount sufficient to pay for every such item which remains unpaid and which has been assessed but is not yet due and payable; 
 (7) the related Loan File contains a valid Appraisal, an Environmental Site Assessment, and, in the case of any Loan either
(x) having a Principal Balance of $5,000,000 or greater or (y) with respect to which the related Mortgaged Property is at least 25 years old, an engineering report; 
 (8) the terms of such Loan require that improvements on the related Mortgaged Property be insured by a generally acceptable carrier
against loss under a hazard insurance policy with extended coverage and conforming to the requirements of the Agreement, and all such insurance policies are in full force and effect; 
 (9) no proceeding for the condemnation of all or any material portion of the related Mortgaged Property has commenced or been threatened;

 (10) the related Mortgaged Property was subject to one or more Environmental Site Assessments (or an update of a previously
conducted Environmental Assessment), which were performed on behalf of the originator of the Loan, or as to which the related report or a copy thereof was delivered to the Originator in connection with its origination or acquisition or
reunderwriting of such Loan, and the Originator, the Seller and the Servicer have no knowledge of any material and adverse environmental conditions or circumstance affecting such Mortgaged Property; 
 (11) none of the Originator, the Seller or the Servicer have taken any action with respect to such Loan or the related Mortgaged Property
that could subject the Secured Parties, or their respective successors and assigns in respect of such Loan, to any liability under CERCLA or any other applicable federal, state or local Environmental Law, and none of the Originator, the Seller or
the Servicer have received any actual notice of a material violation of CERCLA or any applicable federal, state or local Environmental Law with respect to the related Mortgaged Property; 
  

 Appendix A-6 

 Appendix A to 
 Amended and Restated Sale and Servicing Agreement 
 (12) the interest of the related Obligor
in the related Mortgaged Property consists of an estate or Interest in Real Property constituting part of such Mortgaged Property; 
 (13) (i) based on surveys and/or the related Title Policy obtained by the originator of the Loan in connection with the origination of such Loan, as of the date of such origination, no improvement that was included for the purpose of
determining the Appraised Value of the related Mortgaged Property at the time of origination of such Loan lay outside the boundaries and building restriction lines of such property to any material extent (unless affirmatively covered by the Title
Policy), and no improvements on adjoining properties encroached upon such Mortgaged Property to any material extent; and (ii) based upon opinions of counsel and/or other due diligence customarily performed by the applicable originator, the
improvements located on or forming part of such Mortgaged Property comply in all material respects with applicable zoning laws and ordinances (except to the extent that they may constitute legal non-conforming uses); 
 (14) as of the date of origination of such Loan, the related Obligor or operator of the related Mortgaged Property was in possession of
all material licenses, permits and authorizations required by Applicable Laws for the ownership and operation of the related Mortgaged Property as it was then operated; 
 (15) the related Mortgage provides that Insurance Proceeds and condemnation proceeds will be applied for one of the following purposes:
either to restore or repair such Mortgaged Property, or to repay the principal of such Loan, or otherwise at the option of the holder of the related Mortgage; 
 (16) in the case of a Senior Secured Real Estate Loan, such Loan does not permit the related Mortgaged Property to be encumbered by Liens
having priority over or equal to the related Mortgage; 
 (17) such Loan contains provisions for the acceleration of the
payment of the unpaid principal balance of such Loan if, without obtaining consent of the holder of the promissory note complying with the requirements of such Loan, the related Mortgaged Property, or any controlling interest therein, is directly or
indirectly transferred or sold, unless otherwise approved in writing by the Administrative Agent in its sole discretion; 
 (18) the Assignment of Leases and Rents, if any, establishes and creates a valid, subsisting and, subject only to permitted Liens, enforceable lien and security interest in the related Obligor’s interest in the material leases pursuant
to which any person is entitled to occupy, use or possess all or any portion of the Mortgaged Property; 
  

 Appendix A-7 

 Appendix A to 
 Amended and Restated Sale and Servicing Agreement 
 (19) if such Mortgage is a deed of
trust, a trustee, duly qualified under Applicable Law to serve as such, has been properly designated and currently so serves, and no fees or expenses are payable to such trustee by the Originator, the Seller, the Servicer, the Trustee on behalf of
the Secured Parties or any transferee thereof, except in connection with a sale after default by the related Obligor or in connection with any full or partial release of the related Mortgaged Property or related security for the related Loan; and

 (20) if such Mortgaged Property is in an area identified in the Federal Register by the Federal Emergency Management Agency
as having special flood hazards, a flood insurance policy is in effect with respect to such Mortgaged Property with a generally acceptable carrier in an amount representing coverage described in the Agreement; 
 (u) if such Loan is an ABS Direct Loan: 
 (1) such Loan is fully secured by a valid and perfected first priority security interest in the Related Property; 
 (2) the Related Property for such Loan consists of a specified pool of assets or, in the case of a Loan to an SPE Obligor, in all or a specified portion of designated property of such SPE Obligor; 
 (3) such Loan (A) is senior to at least one other class of obligations of, or residual interests in, the Obligor owned by a Person
who is not an Affiliate of the Originator or (B) in its Underlying Instruments provides for credit enhancement for the Seller’s portion of such Loan in the form of an excess spread account or reserve account or other similar account;

 (4) such Loan has an explicit rating from at least one Rating Agency or, if not rated, implicitly structured (with
supporting documentation) to achieve a rating not lower than “B-” using ABS Structuring Methodologies; 
 (5) the
Underlying Instruments for such Loan contain priority of payment provisions pursuant to which such Loan is senior to at least one other class of obligations of the related Obligor; 
 (6) such Loan is documented in accordance with ABS Structuring Methodologies, including, without limitation, the Originator having
received legal opinions with respect to the true sale of the underlying pool of assets to the Obligor, the non-consolidation of the Obligor with any Person selling or contributing assets (whether directly or through an intermediate entity) to such
Obligor, and the perfection and priority of the Obligor’s first priority security interest in the underlying pool of assets (or the effective equivalent of such foregoing opinions); 
  

 Appendix A-8 

 Appendix A to 
 Amended and Restated Sale and Servicing Agreement 
 (7) the underlying pool of assets for
such Loan has a weighted average life of not greater than 6 years (unless otherwise agreed in writing by the Administrative Agent); 
 (8) except as otherwise agreed by the Administrative Agent in its sole discretion in writing such Loan is not currently and has not ever been in “rapid amortization” or “accelerated amortization” and no “termination
event”, “unmatured termination event” or “payment default” exists or has ever existed under the Underlying Instruments for such Loan (however such terms are denominated or described in such Underlying Instruments);

 (9) such Loan and any Related Property is serviced and administered by a Person other than the Originator or any of its
Affiliates and have servicing, collection and payment provisions consistent with ABS Structuring Methodologies; and 
 (10) if
a portion of the underlying pool of assets pays interest on a fixed rate basis then payments on such Loan will be hedged consistent with ABS Structuring Methodologies. 
  

 Appendix A-9 

 Appendix B to 
 Sale and Servicing Agreement 
 Eligibility Criteria for Bonds 
 I. Each Bond other than a NIM Note must satisfy the following additional criteria to be included as part of the Collateral as an Eligible Asset:

 (1) such Bond shall have an S&P Rating of not lower than “B,” and if such Bond is rated by either of
Moody’s or Fitch, such Bond shall have a rating of not lower than “B2” or “B,” respectively; 
 (2)
the servicer designated under the Underlying Instruments and the underlying pool of assets serving as collateral for such Bond are each located in the United States or any other country approved by the Administrative Agent in its sole discretion,
upon receipt and review of satisfactory information or due diligence conducted by the Originator; 
 (3) such Bond has an
expected remaining maturity that does not exceed 144 months; 
 (4) such Bond is not delinquent in payment and, since its
origination, such Bond has never been 30 or more days delinquent in payment of either principal or interest (unless otherwise approved by the Administrative Agent); 
 (5) if any commercial mortgage loan contributed to an underlying pool of assets serving as collateral for the Bond accounts for more than
5% of the aggregate principal balance of the underlying pool of assets for such Bond, such Bond is rated not lower than (i) “Baa3” by Moody’s or (ii) “BBB-” by S&P; 
 (6) such Bond was purchased and re-underwritten by the Originator and documented and closed including, without limitation, delivery of
relevant and customary opinions and assignments, in each case in accordance with the Credit and Collection Policy and the Servicing Standard; 
 (7) such Bond is secured by a valid and perfected first priority security interest in the related underlying pool of assets that constitutes the primary collateral for the Bond; 
 (8) The Underlying Instruments for such Bond do not prohibit the transfer of such Bond to a foreign entity or otherwise prohibit the
transfer of the Bond to the underlying collateral pool of a Term Securitization; 
 (9) such Bond is not known by the
Originator, the Seller or the Servicer to be in default; 

 Appendix B to 
 Amended and Restated Sale and Servicing Agreement 
 (10) such Bond is not a financing
executed in connection with an Insolvency Proceeding; and 
 (11) such Bond is not a Zero-Coupon Bond; 
 (12) such Bond has not been acquired by the Originator or by the Seller at a purchase price less than 80% of the outstanding principal
balance of such Bond unless otherwise agreed by the Administrative Agent; and 
 (13) if such Bond is the 2005-1 Class E
Notes, no event of default or termination event shall have occurred with respect to the underlying securitization with respect to the 2005-1 Class E Notes. 
 II. Each Bond that is a NIM Note must satisfy the following additional criteria to be included as part of the Collateral as an Eligible Asset: 
 (14) the Principal Balance of such NIM Note shall not exceed $10,000,000; 
 (15) the
underlying collateral of the related securitization in which such NIM Note was issued is either residential mortgage backed loans or commercial mortgage backed loans; 
 (16) such NIM Note shall have a Weighted Average Life of less than one year; 
 (17) such NIM Note shall have (i) if rated by only one of Moody’s, S&P, or Fitch, a rating of not lower than
“Baa3”, “BBB-” or “BBB-”, respectively, or (ii) if rated by two or more of Moody’s, S&P or Fitch, at least one rating of not lower than “Baa3”, “BBB-” or “BBB-”, respectively,
and a second rating of not lower than “Ba1”, “BB+” or “BB+”, respectively; 
 (18)
such NIM Note is not subordinated in priority of payment to any other class of NIM Notes issued in the same transaction; 
 (19) the primary servicer of the underlying collateral of the related securitization of such NIM Note shall have received (i) a rating by one of Moody’s, S&P or Fitch and (ii) such rating by Moody’s, S&P or Fitch
shall be not lower than “SQ3”, “Average” and, with respect to residential primary servicers, “RPS3”, or with respect to residential special servicers, “RSS3”, respectively; 
  

 Appendix B-2 

 Appendix B to 
 Amended and Restated Sale and Servicing Agreement 
 (20) such NIM Note was purchased by the
Originator or by the Seller no later than six months from the date of its issuance; and 
 (21) no event of default or
termination event shall have occurred with respect to the underlying securitization with respect to such NIM Note. 
  

 Appendix B-3 

 Annex A 
 NEWSTAR CP FUNDING LLC 
 500 Boylston Street, Suite 1600 
 Boston, Massachusetts 02116 
 Attention: David K. Roberts 
 Telephone: (617) 848-2515 
 Fax: (617) 848-4300 
 NEWSTAR FINANCIAL, INC. 
 500 Boylston Street, Suite 1600 
 Boston, Massachusetts 02116 
 Attention: David K. Roberts 
 Telephone: (617) 848-2515 
 Fax: (617) 848-4300 
 VARIABLE FUNDING CAPITAL COMPANY LLC 
 c/o Wachovia Capital Markets, LLC 
 One Wachovia Center, Mail Code: NC0600 
 Charlotte, North Carolina 28288 
 Attention: Raj Shah 
 Facsimile No.: (704) 715-0067 
 Confirmation No.: (704) 374-6230 
 With respect to notices required
pursuant to Section 13.2, a copy of notices sent to Variable Funding Capital Company LLC shall be sent to: 
 LORD SECURITIES CORP. 
 2 Wall Street, 19th Floor 
 New York, New
York 10005 
 Attention: Vice President 
 Facsimile No.:
(212) 346-9012 
 Confirmation No.: (212) 346-9008 
 WACHOVIA CAPITAL MARKETS, LLC 
 One Wachovia Center, Mail Code: NC0600 
 Charlotte, North Carolina 28288 
 Attention: Raj Shah 
 Facsimile No.: (704) 715-0067 
 Confirmation No.: (704) 374-6230 
 WACHOVIA BANK, NATIONAL ASSOCIATION 
 One Wachovia Center, DC-8 

Charlotte, North Carolina 28202-0600 
 Attention: Bruce M. Young

 Facsimile No.: (704) 383-0575 
 Confirmation No.:
(704) 383-8778 
  

 Annex A-1 

 U.S. BANK NATIONAL ASSOCIATION 
 1719 Range Way 
 Mail Code: Ex - SC - FLOR 
 Florence,
South Carolina 29501 
 Attn: Sandra Farrow 
 Ref: NewStar CP
Funding/Wachovia Warehouse 
 Facsimile No.: 843-673-4925 
 Confirmation No: 843-673-4929 
 U.S. BANK NATIONAL ASSOCIATION 
 Corporate Trust Services - CDO Unit 
 One Federal Street, Third Floor 
 Boston, Massachusetts 02110 
 Attn: Kyle Harcourt 
 Reference: NewStar CP Funding/Wachovia Warehouse 
 Facsimile No.: 503-258-6028 
 Confirmation No: 617-603-6506 
 LYON FINANCIAL SERVICES, INC. 
 d/b/a U.S. Bank Portfolio Services 
 1310 Madrid, Suite 103 
 Marshall, Minnesota 56258 
 Attention: Joe Andries 
 Ref: NewStar CP Funding/Wachovia Warehouse 
 Facsimile No.: 507-532-7129

 Confirmation No: 507-537-5201 
  

 Annex A-2Sale & Servicing Agreement dated 6/8/2006

 Exhibit 10.8.1 
  

 SALE AND SERVICING AGREEMENT 
 by and among 
 NEWSTAR COMMERCIAL LOAN TRUST 2006-1, 
 as the Issuer, 
 NEWSTAR COMMERCIAL
LOAN LLC 2006-1, 
 as the Trust Depositor, 
 NEWSTAR FINANCIAL, INC., 
 as the Originator and as the Servicer, 
 U.S. BANK NATIONAL ASSOCIATION, 
 as
the Trustee, 
 LYON FINANCIAL SERVICES, INC., 
 (d/b/a U.S. Bank Portfolio Services)  
 as the Backup Servicer, 
 and 
 WILMINGTON TRUST COMPANY

 as the Owner Trustee 
 Dated as of June 8, 2006 
  

 NewStar Commercial Loan Trust 2006-1 
 Class A-l, Class A-2, Class B, Class C, Class D, Class E and Class
F Notes 

 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page
	 ARTICLE I. DEFINITIONS
	  	2
			
	 Section 1.01.
	  	 Definitions
	  	2
			
	 Section 1.02.
	  	 Usage of Terms
	  	71
			
	 Section 1.03.
	  	 Section References
	  	71
			
	 Section 1.04.
	  	 Calculations
	  	71
			
	 Section 1.05.
	  	 Accounting Terms
	  	71
		
	 ARTICLE II. ESTABLISHMENT OF ISSUER; TRANSFER OF LOAN ASSETS
	  	71
			
	 Section 2.01.
	  	 Creation and Funding of Issuer; Transfer of Loan Assets
	  	71
			
	 Section 2.02.
	  	 Conditions to Transfer of Initial Loan Assets to Issuer
	  	73
			
	 Section 2.03.
	  	 Acceptance by Owner Trustee
	  	74
			
	 Section 2.04.
	  	 Conveyance of Substitute Loans
	  	74
			
	 Section 2.05.
	  	 Sales of Loans
	  	78
			
	 Section 2.06.
	  	 Conveyance of Additional Loans
	  	79
			
	 Section 2.07.
	  	 Release of Excluded Amounts
	  	81
			
	 Section 2.08.
	  	 Delivery of Documents in the Loan File; Recording of Assignments of Mortgage
	  	82
			
	 Section 2.09.
	  	 Optional Purchase by the Servicer of Certain Loans; Limitations on Substitution and Repurchase
	  	83
			
	 Section 2.10.
	  	 Certification by Trustee; Possession of Loan Files
	  	83
		
	 ARTICLE III. REPRESENTATIONS AND WARRANTIES
	  	85
			
	 Section 3.01.
	  	 Representations and Warranties Regarding the Trust Depositor
	  	85
			
	 Section 3.02.
	  	 Representations and Warranties Regarding Each Loan and as to Certain Loans in the Aggregate
	  	89
			
	 Section 3.03.
	  	 Representations and Warranties Regarding the Initial Loans in the Aggregate
	  	90
			
	 Section 3.04.
	  	 Representations and Warranties Regarding the Required Loan Documents
	  	90
			
	 Section 3.05.
	  	 [Reserved]
	  	90
			
	 Section 3.06.
	  	 Representations and Warranties Regarding the Servicer
	  	90
			
	 Section 3.07.
	  	 Representations and Warranties of the Backup Servicer
	  	92

  

 -i- 

 TABLE OF CONTENTS 
 (continued) 
  

					
	 	  	 	  	Page
	 ARTICLE IV. PERFECTION OF TRANSFER AND PROTECTION OF SECURITY INTERESTS
	  	93
			
	 Section 4.01.
	  	 Custody of Loans
	  	93
			
	 Section 4.02.
	  	 Filing
	  	93
			
	 Section 4.03.
	  	 Changes in Name, Corporate Structure or Location
	  	93
			
	 Section 4.04.
	  	 Costs and Expenses
	  	94
			
	 Section 4.05.
	  	 Sale Treatment
	  	94
			
	 Section 4.06.
	  	 Separateness from Trust Depositor
	  	94
		
	 ARTICLE V. SERVICING OF LOANS
	  	94
			
	 Section 5.01.
	  	 Appointment and Acceptance
	  	94
			
	 Section 5.02.
	  	 Duties of the Servicer
	  	94
			
	 Section 5.03.
	  	 Liquidation of Loans
	  	101
			
	 Section 5.04.
	  	 Fidelity Bond
	  	102
			
	 Section 5.05.
	  	 Maintenance of Hazard Insurance
	  	102
			
	 Section 5.06.
	  	 Collection of Certain Loan Payments
	  	104
			
	 Section 5.07.
	  	 Access to Certain Documentation and Information Regarding the Loans
	  	104
			
	 Section 5.08.
	  	 Satisfaction of Mortgages and Collateral and Release of Loan Files
	  	105
			
	 Section 5.09.
	  	 Scheduled Payment Advances; Servicing Advances and Nonrecoverable Advances
	  	106
			
	 Section 5.10.
	  	 Title, Management and Disposition of Foreclosed Property
	  	108
			
	 Section 5.11.
	  	 Servicing Compensation
	  	108
			
	 Section 5.12.
	  	 Assignment; Resignation
	  	109
			
	 Section 5.13.
	  	 Merger or Consolidation of Servicer
	  	109
			
	 Section 5.14.
	  	 Limitation on Liability of the Servicer and Others
	  	110
			
	 Section 5.15.
	  	 The Backup Servicer
	  	110
			
	 Section 5.16.
	  	 Covenants of the Backup Servicer
	  	113
		
	 ARTICLE VI. COVENANTS OF THE TRUST DEPOSITOR
	  	113
			
	 Section 6.01.
	  	 Legal Existence
	  	113
			
	 Section 6.02.
	  	 Loans Not to Be Evidenced by Promissory Notes
	  	114
			
	 Section 6.03.
	  	 Security Interests
	  	114
			
	 Section 6.04.
	  	 Delivery of Principal Collections and Interest Collections
	  	114

  

 -ii- 

 TABLE OF CONTENTS 
 (continued) 
  

					
	 	  	 	  	Page
	 Section 6.05.
	  	 Regulatory Filings
	  	114
			
	 Section 6.06.
	  	 Compliance with Law
	  	114
			
	 Section 6.07.
	  	 Activities; Transfers of Notes or Certificates by Trust Depositor
	  	115
			
	 Section 6.08.
	  	 Indebtedness
	  	115
			
	 Section 6.09.
	  	 Guarantees
	  	115
			
	 Section 6.10.
	  	 Investments
	  	115
			
	 Section 6.11.
	  	 Merger; Sales
	  	116
			
	 Section 6.12.
	  	 Distributions
	  	116
			
	 Section 6.13.
	  	 Other Agreements
	  	116
			
	 Section 6.14.
	  	 Separate Legal Existence
	  	116
			
	 Section 6.15.
	  	 Location; Records
	  	116
			
	 Section 6.16.
	  	 Liability of Trust Depositor
	  	117
			
	 Section 6.17.
	  	 Bankruptcy Limitations
	  	117
			
	 Section 6.18.
	  	 Limitation on Liability of Trust Depositor and Others
	  	117
			
	 Section 6.19.
	  	 Insurance Policies
	  	117
			
	 Section 6.20.
	  	 Payments from Obligors
	  	118
		
	 ARTICLE VII. ESTABLISHMENT OF ACCOUNTS; DISTRIBUTIONS; RESERVE FUND
	  	118
			
	 Section 7.01.
	  	 Note Distribution Account, Certificate Account, Class A-2 Funding Account, Reserve Fund and Concentration Account
	  	118
			
	 Section 7.02.
	  	 Replacement of Transaction Accounts
	  	120
			
	 Section 7.03.
	  	 Principal and Interest Account
	  	120
			
	 Section 7.04.
	  	 Securityholder Distributions
	  	123
			
	 Section 7.05.
	  	 Allocations and Distributions
	  	123
			
	 Section 7.06.
	  	 Determination of LIBOR
	  	128
		
	 ARTICLE VIII. SERVICER DEFAULT; SERVICER TRANSFER
	  	130
			
	 Section 8.01.
	  	 Servicer Default
	  	130
			
	 Section 8.02.
	  	 Servicer Transfer
	  	131
			
	 Section 8.03.
	  	 Appointment of Successor Servicer; Reconveyance; Successor Servicer to Act
	  	132

  

 -iii- 

 TABLE OF CONTENTS 
 (continued) 
  

					
	 	  	 	  	Page
	 Section 8.04.
	  	 Notification to Securityholders
	  	134
			
	 Section 8.05.
	  	 Effect of Transfer
	  	134
			
	 Section 8.06.
	  	 Database File
	  	134
			
	 Section 8.07.
	  	 Waiver of Defaults
	  	135
			
	 Section 8.08.
	  	 Responsibilities of the Successor Servicer
	  	135
			
	 Section 8.09.
	  	 Rating Agency Condition for Servicer Transfer
	  	135
			
	 Section 8.10.
	  	 Appointment of Successor Backup Servicer; Successor Backup Servicer to Act
	  	136
		
	 ARTICLE IX. REPORTS
	  	137
			
	 Section 9.01.
	  	 Quarterly Reports
	  	137
			
	 Section 9.02.
	  	 Officer’s Certificate
	  	137
			
	 Section 9.03.
	  	 Other Data; Obligor Financial Information
	  	137
			
	 Section 9.04.
	  	 Annual Report of Accountants
	  	138
			
	 Section 9.05.
	  	 Annual Statement of Compliance from Servicer
	  	138
			
	 Section 9.06.
	  	 Reports of Foreclosure and Abandonment of Mortgaged Property
	  	139
			
	 Section 9.07.
	  	 Notices of Event of Default or Servicer Default
	  	139
			
	 Section 9.08.
	  	 Trustee’s Right to Examine Servicer Records, Audit Operations and Deliver Information to Noteholders
	  	139
		
	 ARTICLE X. TERMINATION
	  	140
			
	 Section 10.01.
	  	 Optional Repurchase and Refinancing of Notes
	  	140
			
	 Section 10.02.
	  	 Termination
	  	141
		
	 ARTICLE XI. REMEDIES UPON MISREPRESENTATION; REPURCHASE OPTION
	  	141
			
	 Section 11.01.
	  	 Repurchases of, or Substitution for, Loans for Breach of Representations and Warranties
	  	141
			
	 Section 11.02.
	  	 Reassignment of Repurchased or Substituted Loans
	  	142
		
	 ARTICLE XII. INDEMNITIES
	  	142
			
	 Section 12.01.
	  	 Indemnification by Servicer
	  	142
			
	 Section 12.02.
	  	 Indemnification by Trust Depositor
	  	143
		
	 ARTICLE XIII. MISCELLANEOUS
	  	143
			
	 Section 13.01.
	  	 Amendment
	  	143

  

 -iv- 

 TABLE OF CONTENTS 
 (continued) 
  

					
	 	  	 	  	Page
	 Section 13.02.
	  	 Reserved
	  	145
			
	 Section 13.03.
	  	 Governing Law
	  	145
			
	 Section 13.04.
	  	 Notices
	  	146
			
	 Section 13.05.
	  	 Severability of Provisions
	  	148
			
	 Section 13.06.
	  	 Third Party Beneficiaries
	  	149
			
	 Section 13.07.
	  	 Counterparts
	  	149
			
	 Section 13.08.
	  	 Headings
	  	149
			
	 Section 13.09.
	  	 No Bankruptcy Petition; Disclaimer
	  	149
			
	 Section 13.10.
	  	 Jurisdiction
	  	150
			
	 Section 13.11.
	  	 Tax Characterization
	  	150
			
	 Section 13.12.
	  	 Prohibited Transactions with Respect to the Issuer
	  	151
			
	 Section 13.13.
	  	 Limitation of Liability of Owner Trustee
	  	151
			
	 Section 13.14.
	  	 Reserved
	  	151
			
	 Section 13.15.
	  	 No Partnership
	  	151
			
	 Section 13.16.
	  	 Successors and Assigns
	  	151
			
	 Section 13.17.
	  	 Acts of Holders
	  	152
			
	 Section 13.18.
	  	 Duration of Agreement
	  	152
			
	 Section 13.19.
	  	 Limited Recourse
	  	152
			
	 Section 13.20.
	  	 Confidentiality
	  	152
			
	 Section 13.21.
	  	 Non-Confidentiality of Tax Treatment
	  	153

  

 -v- 

 EXHIBITS, SCHEDULES AND APPENDIX 
  

					
	 Exhibit A
	  	 Form of Assignment
	  	A-l
			
	 Exhibit B
	  	 Form of Closing Certificate of Trust Depositor
	  	B-l
			
	 Exhibit C
	  	 Form of Closing Certificate of Servicer/Originator
	  	C-l
			
	 Exhibit D
	  	 Form of Liquidation Report
	  	D-l
			
	 Exhibit E
	  	 [Reserved]
	  	E-l
			
	 Exhibit F
	  	 Form of Certificate Regarding Repurchased/Substituted/Sold Loans
	  	F-l
			
	 Exhibit G
	  	 List of Loans
	  	G-l
			
	 Exhibit H
	  	 Form of Quarterly Servicer Report
	  	H-l
			
	 Exhibit I
	  	 Form of Subsequent Transfer Agreement
	  	I-1
			
	 Exhibit J
	  	 [Reserved]
	  	J-l
			
	 Exhibit K
	  	 [Reserved]
	  	K-l
			
	 Exhibit L-l
	  	 Form of Initial Certification
	  	L-l
			
	 Exhibit L-2
	  	 Form of Final Certification
	  	L-2
			
	 Exhibit M
	  	 Form of Request For Release Of Documents
	  	M-l
			
	 Exhibit N
	  	 Form of Addition Notice
	  	N-l
			
	 Schedule I
	  	 Concentration Account
	  	Schedule I
			
	 Annex A
	  	 Diversity Score Calculation
	  	Annex A
			
	 Annex B
	  	 Moody’s RiskCalc Calculation
	  	Annex B
			
	 Annex C
	  	 Moody’s Industry Classification Group List
	  	Annex C

  

 -vi- 

 SALE AND SERVICING AGREEMENT 
 THIS SALE AND SERVICING AGREEMENT, dated as of June 8, 2006, is by and among: 
  

	 	(1)	NEWSTAR COMMERCIAL LOAN TRUST 2006-1, a statutory trust created and existing under the laws of the State of Delaware (together with its successors and assigns, the
“Issuer”); 

  

	 	(2)	NEWSTAR COMMERCIAL LOAN LLC 2006-1, a Delaware limited liability company, as the trust depositor (together with its successor and assigns, in such capacity, the
“Trust Depositor”); 

  

	 	(3)	NEWSTAR FINANCIAL, INC., a Delaware corporation (together with its successors and assigns, “NewStar”), as the servicer (together with its successor and
assigns, in such capacity, the “Servicer”), and as the originator (together with its successor and assigns, in such capacity, the “Originator”); 

  

	 	(4)	U.S. BANK NATIONAL ASSOCIATION (together with its successors and assigns, “U.S. Bank”), not in its individual capacity but as the trustee (together with its
successors and assigns, in such capacity, the “Trustee”); 

  

	 	(5)	LYON FINANCIAL SERVICES, INC., doing business as U.S. Bank Portfolio Services (together with its successors and assigns, “Lyon Financial”), not in its
individual capacity but as the backup servicer (together with its successors and assigns, in such capacity, the “Backup Servicer”); and 

  

	 	(6)	WILMINGTON TRUST COMPANY (together with its successors and assigns, “Wilmington Trust”), not in its individual capacity but as the owner trustee of the
Issuer (together with its successors and assigns, in such capacity the “Owner Trustee”). 

 RECITALS

 WHEREAS, in the regular course of its business, the Originator originates and/or otherwise acquires Loans (as defined
herein); 
 WHEREAS, the Trust Depositor acquired the Initial Loans from the Originator and may acquire from time to time thereafter
certain Substitute Loans; 
 WHEREAS, during the Ramp-Up Period and the Reinvestment Period, the Issuer intends to acquire Additional
Loans from the Trust Depositor from time to time using the proceeds of Draws under the Class A-2 Notes, amounts on deposit in the Class A-2 Funding Account and Principal Collections with respect to the Loan Assets and the Trust Depositor
wishes to convey any such Additional Loans to the Issuer; 
 WHEREAS, it is a condition to the Trust Depositor’s acquisition of
the Initial Loans, any Additional Loans and any Substitute Loans from the Originator that the Originator make 

 
certain representations and warranties regarding the Loan Assets for the benefit of the Trust Depositor as well as the Issuer; 
 WHEREAS, on the Closing Date, the Trust Depositor will fund the Issuer by selling, conveying and assigning all its right, title and interest in
the Initial Loan Assets and certain other assets to the Issuer; 
 WHEREAS, the Issuer is willing to purchase and accept assignment of
the Loan Assets from the Trust Depositor pursuant to the terms hereof; and 
 WHEREAS, the Servicer is willing to service the Loan
Assets for the benefit and account of the Issuer pursuant to the terms hereof. 
 NOW, THEREFORE, based upon the above recitals, the
mutual premises and agreements contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows: 
 ARTICLE I. 
 DEFINITIONS 
 Section 1.01. Definitions. 
 Whenever used in this Agreement, the following words and phrases, unless the context otherwise requires, shall have the following meanings: 
 “1940 Act” means the Investment Company Act of 1940, as amended. 
 “Accreted Interest” means accrued interest on
a Permitted PIK Loan that is added to the principal amount of such Permitted PIK Loan instead of being paid as it accrues. 
 “Additional
Loan” means a Loan, other than an Initial Loan, acquired by the Issuer from the Trust Depositor for inclusion in the Collateral and having a Cut-Off Date during the Ramp-Up Period or the Reinvestment Period. 
 “Additional Loan Assets” means any assets acquired by the Issuer from the Trust Depositor during the Ramp-Up Period or the Reinvestment Period pursuant
to Section 2.06(a), which assets shall include the Trust Depositor’s right, title and interest in the following: 
 (i) the Additional Loans listed in the related Subsequent Transfer Agreement, all payments paid in respect thereof and all monies due, to become due or paid in respect thereof accruing on and after the applicable Cut-Off Date and all
Liquidation Proceeds and recoveries thereon, in each case as they arise after the applicable Cut-Off Date; 
 (ii) all
security interests and Liens and Related Property subject thereto from time to time purporting to secure payment by Obligors under such Loans; 
  

 2 

 (iii) all guaranties, indemnities and warranties, and other agreements or arrangements of
whatever character from time to time supporting or securing payment of such Loans; 
 (iv) all collections and records
(including Computer Records) with respect to the foregoing; 
 (v) all documents relating to the applicable Loan Files; and

 (vi) all income, payments, proceeds and other benefits of any and all of the foregoing, including but not limited to, all
accounts, cash and currency, chattel paper, electronic chattel paper, tangible chattel paper, copyrights, copyright licenses, equipment, fixtures, general intangibles, instruments, commercial tort claims, deposit accounts, inventory, investment
property, letter of credit rights, software, supporting obligations, accessions, and other property consisting of, arising out of, or related to the foregoing, but excluding any Excluded Amount with respect thereto. 
 “Addition Notice” means, with respect to any transfer of Additional Loans or Substitute Loans to the Issuer in accordance with Section 2.06
or Section 2.04, as applicable (and the Trust Depositor’s corresponding prior purchase of such Loans from the Originator), a notice in the form of Exhibit N, which shall be delivered not later than 11:00 a.m. (New York City
time) on the related Cut-Off Date, identifying the Additional Loans or Substitute Loans to be transferred, the Outstanding Loan Balance of such Additional Loans or Substitute Loans and, in the case of an Addition Notice relating to Substitute Loans,
the related Substitution Event (with respect to an identified Loan or Loans then in the Collateral) to which such Substitute Loan relates, with such notice to be signed both by the Trust Depositor and the Originator. 
 “Additional Principal Amount” means with respect to any Distribution Date, an amount equal to the excess, if any, of the Cumulative Charged-Off Amount
over the Cumulative Excess Principal Amount. 
 “Administrative Expenses” means fees and expenses (excluding amounts related to
indemnification) due or accrued with respect to any Distribution Date and payable by the Issuer: 
 (a) to the Trustee,
(i) any quarterly fees to be paid to it pursuant to the Transaction Documents, (ii) any additional fees, expenses or other amounts not to exceed $20,000 for any 12-month period and (iii) if a Successor Servicer is being appointed, any
Servicing Transfer Costs incurred by the Trustee; 
 (b) to the Owner Trustee, (i) any quarterly fees to be paid to it
pursuant to the Transaction Documents and (ii) any additional fees, expenses or other amounts not to exceed $5,000 for any 12-month period; 
 (c) to the Backup Servicer, (i) any quarterly fees to be paid to it pursuant to the Transaction Documents, (ii) any additional fees, expenses or other amounts not to exceed $20,000 for any 12-month period
and (iii) if a Successor Servicer is being appointed, any Servicing Transfer Costs incurred by the Backup Servicer; 
  

 3 

 (d) the independent accountants, agents and counsel of the Issuer for fees and expenses
including, but not limited to, audit fees and expenses; 
 (e) the Class A-2 Agent under the Class A-2 Note Purchase
Agreements for expenses of the Class A-2 Agent; 
 (f) any other Person in respect of any governmental fee, charge or tax
in relation to the Issuer; 
 (g) to the Trustee, for unpaid fees and expenses (including fees and expenses of its agents and
counsel) incurred in the exercise of its rights and remedies on behalf of the Securityholders pursuant to Article V of the Indenture; and 
 (h) to S&P, Moody’s and Fitch, for their respective surveillance fees; 
 provided that
(x) amounts payable as Administrative Expenses pursuant to clauses (d), (e), (f) and (g) above shall in no event exceed $10,000 in the aggregate for any Distribution Date, except that in the case of
any Distribution Date after the occurrence of an Event of Default, amounts payable as Administrative Expenses pursuant to clause (g) above may be paid in an amount up to $20,000 and (y) Administrative Expenses will not include
(I) any amounts due or accrued with respect to the actions taken on or in connection with the Closing Date, (II) any principal of, interest or commitment fee on, any Notes, (III) Class A-2 Increased Costs, Class A-2 Breakage Costs and
Class A-2 Liquidity Amounts, (IV) amounts payable to the Trustee, the Backup Servicer and the Owner Trustee in respect of indemnification or (V) amounts payable in connection with the listing of the Listed Notes on the Irish Stock
Exchange. 
 “Affiliate” of any specified Person means any other Person that, directly or indirectly, controls, is controlled by, or is
under common control with, such Person, or is a director or officer of such Person; provided that for purposes of determining whether any Loan is an Eligible Loan or any Obligor is an Eligible Obligor, the term Affiliate shall not include any
Affiliate relationship which may exist solely as a result of direct or indirect ownership of, or control by, a common owner which is a financial institution, fund or other investment vehicle which is in the business of making diversified investments
including investments independent from the Loans. For the purposes of this definition, “control” (including the terms “controlling,” “controlled by” and “under common control with”) when used with respect to
any specified Person means the possession, direct or indirect, of the power to vote 20% or more of the voting securities of such Person or to direct or cause the direction of the management and policies of such Person, whether through the ownership
of voting securities, by contract or otherwise. Each of the Trustee and the Owner Trustee may conclusively presume that a Person is not an Affiliate of another Person unless a Responsible Officer of such trustee has actual knowledge to the contrary.

 “Agented Loans” means, with respect to any Loan, (a) the Loan is originated or purchased by the Originator in accordance with the
Credit and Collection Policy as a part of a syndicated loan transaction that has been fully consummated prior to such Loan becoming part of the Collateral, (b) upon the sale of the Loan under the Transfer and Servicing Agreements to the Issuer,
the Required Loan Documents with respect thereto shall have been delivered to the Trustee, as applicable, (c) the Issuer, as assignee of the Loan, has all of the rights and obligations of the 

  

 4 

 
Originator (other than the Originator’s obligations as lead agent, collateral agent or paying agent or in similar capacities with respect to such Loan)
with respect to such Loan and the Originator’s right, title and interest in and to the Related Property, (d) the Loan is secured by an undivided interest in the Related Property that also secures and is shared by, on a. pro rata
basis, all other holders of such Obligor’s notes of equal priority issued in such syndicated loan transaction and (e) the Originator (or a wholly owned subsidiary of the Originator) is the lead agent, collateral agent and paying agent
for all lenders in such syndicated loan transaction and receives payment directly from the Obligor thereof on behalf of such lenders. 
 “Aggregate
Outstanding Loan Balance” means, as of any date, the sum of the Outstanding Loan Balances for each Loan owned by the Issuer; provided that for purposes of calculating the Aggregate Outstanding Loan Balance, the Outstanding Loan
Balance of each Revolving Loan and each Delayed Draw Term Loan shall be deemed to be the maximum outstanding principal balance thereof under the Underlying Loan Agreements with respect to such Loan. 
 “Aggregate Outstanding Principal Balance” means, as of any date of determination, the sum of the Outstanding Principal Balances of each Class of Notes
outstanding on such date. 
 “Agreement” means this Sale and Servicing Agreement, as amended, modified, waived, supplemented or restated
from time to time in accordance with the terms hereof. 
 “Applicable Law” means for any Person or property of such Person, all existing and
future applicable laws, rules, regulations (including proposed, temporary and final income tax regulations), statutes, treaties, codes ordinances, permits, certificates, orders and licenses of and interpretations by any Governmental Authority
(including, without limitation, usury laws, the Federal Truth in Lending Act, and Regulation Z and Regulation B of the Board of Governors of the Federal Reserve System), and applicable judgments, decrees, injunctions, writs, awards or orders of any
court, arbitrator or other administrative, judicial, or quasi-judicial tribunal or agency of competent jurisdiction. 
 “Appraisal” means,
with respect to any Mortgaged Property as to which an appraisal is required or permitted to be performed pursuant to the terms of this Agreement, an appraisal performed in conformance with the guidelines established by the Appraisal Institute.

 “Appraisal Institute” means the international membership association of professional real estate appraisers. 
 “Approved Valuation Firm” means a nationally recognized valuation firm. 
 “Assignment” means each Assignment, substantially in the form of Exhibit A, relating to an assignment, transfer and conveyance of Loans and the Related Property by the Trust Depositor to the
Issuer. 
 “Assignment of Leases and Rents” means, with respect to any Mortgaged Property, any assignment of leases, rents and profits or
similar instrument executed by the related Obligor, assigning to the mortgagee all of the income, rents and profits derived from the ownership, operation, leasing or disposition of all or a portion of such Mortgaged Property, whether 

  

 5 

 
contained in the Mortgage or in a document separate from the Mortgage, in the form that was duly executed, acknowledged and delivered, as amended, modified,
renewed or extended. 
 “Assignment of Mortgage” means an assignment, notice of transfer or equivalent instrument in recordable form,
sufficient under the laws of the jurisdiction wherein the related Mortgaged Property is located to effect the assignment of the Mortgage as required in clause (b)(iii)(y) of the definition of Required Loan Documents. 
 “Average Life” means, on any Measurement Date with respect to any Loan, the number obtained by dividing (a) the sum of the products of (i) the
number of years (rounded to the nearest one tenth) from such Measurement Date to the respective dates of each successive Scheduled Payment of principal of such Loan and (ii) the respective amounts of principal of such Scheduled Payments by
(b) the sum of all future Scheduled Payments of principal on such Loan. 
 “Backup Servicer” means the Person acting as Backup Servicer
hereunder, its successors in interest and any Successor Backup Servicer hereunder. 
 “Backup Servicer Fee Letter” means the fee letter,
dated as of the date hereof, between the Issuer and the Backup Servicer. 
 “Backup Servicer Termination Notice” shall have the meaning
provided in Section 8.10(a). 
 “Backup Servicer Transfer” shall have the meaning provided in Section 8.10(b).

 “Backup Servicing Fee” shall have the meaning provided in the Backup Servicer Fee Letter. 
 “Bankruptcy Code” means the United States Bankruptcy Reform Act of 1978 (11 U.S.C. § 101, et seq.), as amended from time to time. 
 “BIF” means the Bank Insurance Fund, or any successor thereto. 
 “Broadly Syndicated Loan” means any Loan to an Obligor issued as part of a loan facility with an original loan size (including any first and second lien loans included in the facility) greater than $250,000,000, including
for purposes of this definition the maximum available amount of commitments under any Revolving Loans and Delayed Draw Term Loans. 
 “Business
Day” means any day other than (a) a Saturday or Sunday, or (b) a day on which banking institutions in the cities of New York, New York, Boston, Massachusetts and Florence, South Carolina are authorized or obligated, by law or
executive order, to be closed; provided that if any action is required of the Ireland Paying Agent or the Backup Servicer, then, for purposes of determining when such Ireland Paying Agent or Backup Servicer action is required, Dublin, Ireland
and Marshall, Minnesota, respectively, will be considered in determining “Business Day”. 
 “CCC Excess Amount” means, as of any
date of determination, an amount equal to 50% of the excess of (a) the sum of the Outstanding Loan Balances of all Loans included in the Collateral that have an S&P Rating of “CCC+” or lower over (b) the product of
(x) the Expected Aggregate Outstanding Loan Balance times (y) 25%. 
  

 6 

 “CCC Excess Condition” means, as of any date of determination, the CCC Excess Amount shall be equal to
or less than 8.75% of the Expected Aggregate Outstanding Loan Balance. 
 “Certificate” means the NewStar Commercial Loan Trust 2006-1
Certificate representing a beneficial equity interest in the Issuer and issued pursuant to the Trust Agreement. 
 “Certificate Account”
shall have the meaning provided in Section 5.01 of the Trust Agreement. 
 “Certificate Register” shall have the meaning
provided in the Trust Agreement. 
 “Certificateholder” means the registered holder of the Certificate. 
 “Charged-Off Loan” means a Loan in the Collateral with respect to which there has occurred one or more of the following: 
 (a) the occurrence of both (i) any portion of a payment of interest on or principal of such Loan is not paid when due (without giving
effect to any grace period or any Scheduled Payment Advance made in respect of such payment of interest or principal) or would be so delinquent but for any amendment or modification made to such Loan resulting from the Obligor’s inability to
pay such Loan in accordance with its terms and (ii) within 120 days of when such delinquent payment was first due, all delinquencies have not been cured; 
 (b) an Insolvency Event has occurred with respect to the related Obligor; 
 (c) the related Obligor has suffered any material adverse change that materially affects its viability as a going concern; 
 (d) the Servicer has determined, in its sole discretion, in accordance with the Credit and Collection Policy, that all or a portion of
such Loan is not collectible; 
 (e) any portion of the proceeds used to make payments of principal of or interest on such
Loan have come from a new loan by the Originator or an entity controlled by the Originator to the Obligor or any of its Affiliates, which new loan was made to the Obligor due to the Obligor’s inability to make such payments of principal or
interest; or 
 (f) the related Obligor is rated “D” or “SD” by S&P. 
 “Citigroup Warehouse Transaction” means the Sale and Servicing Agreement, dated as of December 30, 2005 (as amended or supplemented from time to
time) by and among NewStar Warehouse Funding 2005 LLC, as purchaser, NewStar Financial, Inc., as seller and servicer, and Lyon Financial Services, Inc., as backup servicer, and related transaction documents. 
 “Class” means any of the group of Notes identified herein as applicable, the Class A-l Notes, the Class A-2 Notes, the Class B Notes, the
Class C Notes, the Class D Notes, the Class E Notes or the Class F Note. 
 “Class A Notes” means, collectively, the Class A-l Notes
and the Class A-2 Notes. 
  

 7 

 “Class A-l Interest Amount” means, for each Interest Period, the product of (i) the Note Interest
Rate applicable to the Class A-l Notes for such Interest Period, (ii) the Outstanding Principal Balance of the Class A-l Notes as of the first day of such Interest Period (after giving effect to all distributions made on such day) and
(iii) a fraction, the numerator of which is the number of days in such Interest Period and the denominator of which is 360. 
 “Class A-l Note
Interest Rate” means the annual rate of interest payable with respect to the Class A-l Notes, which shall be equal to LIBOR plus 0.27% per annum. 
 “Class A-l Noteholder” means each Person in whose name a Class A-l Note is registered in the Note Register. 
 “Class A-l Notes” means the NewStar Commercial Loan Trust 2006-1 Class A-l Notes, issued pursuant to the Indenture. 
 “Class A-2 Agent” means U.S. Bank National Association, in its capacity as Class A-2 Agent under the Class A-2 Purchase Agreement, together with its successors in such capacity. 
 “Class A-2 Agent Fee” means, with respect to any Distribution Date, $2,500; provided that the Class A-2 Agent Fee will be payable on each
Distribution Date only to the extent that funds are available therefor accordance with the Priority of Payments. 
 “Class A-2 Breakage
Costs” means, with respect to any Due Period, “breakage costs”, if any, incurred by Class A-2 Noteholders as a result of (i) a prepayment of amounts under the Class A-2 Notes on a day other than a Distribution Date
and calculated as provided in the Class A-2 Purchase Agreement or (ii) a failure by the Issuer to effect a Draw on the scheduled date therefor after having submitted a request for a Draw to the Class A-2 Agent in accordance with the
provisions of the Class A-2 Purchase Agreement (unless such failure is due to the failure of the Class A-2 Noteholders to fund such Draw). 
 “Class A-2 Commitment” means, with respect to any Class A-2 Note at any time, the maximum aggregate outstanding principal amount of advances, whether at the time funded or unfunded, that the Noteholder (or any
Liquidity Providers with respect to such Noteholder) of such Class A-2 Note is obligated from time to time under the Class A-2 Purchase Agreement to make to the Issuer; provided that the aggregate Class A-2 Commitments in
effect at any time shall not exceed the Maximum Class A-2 Commitment. 
 “Class A-2 Commitment Fee” means the fee accruing on the
aggregate undrawn amount of the Class A-2 Notes for each day from and including the Closing Date to but excluding the date the Commitment Termination Date, at a rate per annum equal to 0.175% payable quarterly in arrears on each
Distribution Date and calculated on the basis of a 360-day year and the actual number of days elapsed. 
 “Class A-2 Funding Account” means
the trust account so designated and established and maintained in accordance with Section 7.01 and the Indenture. 
 “Class A-2 Funding
Test” means a test that will be satisfied as of any date of determination (a) prior to the Commitment Termination Date, if (i) the sum of (x) the undrawn amount of the Class 

  

 8 

 
A-2 Commitments (excluding the Class A-2 Commitment of any Class A-2 Noteholder which has been required to fund a Draw in the amount of the unused
portion of such Class A-2 Noteholder’s Class A-2 Commitment in connection with its failure to satisfy the Rating Criteria) plus (y) the amount standing to the credit of the Class A-2 Funding Account equals or exceeds
(ii) the aggregate Exposure Amount of Revolving Loans and Delayed Draw Term Loans then included in the Collateral, (b) on and after a Commitment Termination Date of the type specified in clause (i) or (ii) of the definition
thereof, if the amount standing to the credit of the Class A-2 Funding Account equals or exceeds the aggregate Exposure Amount of Revolving Loans and Delayed Draw Term Loans then included in the Collateral and (c) on and after a Commitment
Termination Date of the type specified in clause (iii) of the definition thereof, shall be deemed satisfied. 
 “Class A-2 Increased
Costs” means, with respect to any Distribution Date, the amount as set forth in a certificate of a Class A-2 Noteholder delivered to the Issuer and the Trustee on or prior to the related Reference Date, necessary to compensate such
Class A-2 Noteholder or any Funding Entity for (a) any increase in cost to a Class A-2 Noteholder or Funding Entity of making or maintaining any loan or asset purchase under the Class A-2 Purchase Agreement or such Liquidity
Facility (or maintaining its obligation to make any such loan or asset purchase) resulting from a change in law applicable to such Funding Entity, (b) any reduction in any amount received or receivable by a Class A-2 Noteholder or Funding
Entity under the Class A-2 Purchase Agreement or such Liquidity Facility resulting from a change in law applicable to such Class A-2 Noteholder or Funding Entity or (c) any reduction in the rate of return on the capital of a
Class A-2 Noteholder or Funding Entity or its parent/holding company resulting from a change in law applicable to such Class A-2 Noteholder or Funding Entity or parent/holding company to a level below that which such Class A-2
Noteholder or Funding Entity or parent/holding company could have achieved but for such change in law. 
 “Class A-2 Interest Amount” means,
for each Interest Period, the product of (i) the Note Interest Rate applicable to the Class A-2 Notes for such Interest Period, (ii) the weighted average Outstanding Principal Balance of the Class A-2 Notes during such Interest
Period (after giving effect to all distributions made on such day and excluding the amount of any Draw funded by a Class A-2 Noteholder in connection with its failure to satisfy the Rating Criteria), and (iii) a fraction, the numerator of
which is the number of days in such Interest Period and the denominator of which is 360, such product to be remitted to each Class A-2 Noteholder pursuant to the Priority of Payments in accordance with such Class A-2 Noteholder’s
Class A-2 Interest Allocation Percentage. 
 “Class A-2 Interest Allocation Percentage” means, for each Interest Period and with
respect to each Holder of Class A-2 Notes, a fraction, expressed as a percentage, (a) the numerator of which is the weighted average Outstanding Principal Balance of the Class A-2 Note of such Holder during such Interest Period, and
(b) the denominator of which is the weighted average Outstanding Principal Balance of all Class A-2 Notes during such Interest Period. 
 “Class A-2 Liquidity Amount” means, with respect to any Class A-2 Noteholder, for each Interest Period during which all or any portion of the Outstanding Principal Balance of such Noteholders Class A-2 Notes
(excluding the amount of any Draw funded by a Class A-2 Noteholder in connection with its failure to satisfy the Rating Criteria) are funded by such Class 

  

 9 

 
A-2 Noteholder’s related Liquidity Provider, the product of (i) 0.20%, (ii) the weighted average portion of the Outstanding Principal Balance
of the Class A-2 Notes during such Interest Period (after giving effect to all distributions made on such day) funded by such Liquidity Provider, and (iii) a fraction, the numerator of which is the number of days in such Interest Period
and the denominator of which is 360. 
 “Class A-2 Note Interest Rate” means the annual rate of interest payable with respect to the
Class A-2 Notes, which shall be equal to LIBOR plus 0.28% per annum. 
 “Class A-2 Noteholder” means each Person in whose
name a Class A-2 Note is registered in the Note Register. 
 “Class A-2 Notes” means the NewStar Commercial Loan Trust 2006-1
Class A-2 Notes, issued pursuant to the Indenture. 
 “Class A-2 Prepayment” means any payment of principal of the Class A-2 Notes
occurring prior to the Stated Maturity. 
 “Class A-2 Purchase Agreement” means the Class A-2 Purchase Agreement, dated as of the
Closing Date, among the Issuer, the Class A-2 Agent and the respective Holders of the Class A-2 Notes, as such agreement may be modified and supplemented and in effect from time to time. 
 “Class B Accrued Payable” means, for any Distribution Date with respect to which the Class B Interest Amount is calculated using clause (ii)(b)
of the definition thereof, an amount equal to the excess, if any, of (a) the amount that would have been calculated as the Class B Interest Amount on such Distribution Date if the calculation was made using clause (ii)(a) of the
definition of Class B Interest Amount and not clause (ii)(b) of such definition over (b) the amount calculated as the Class B Interest Amount on such Distribution Date, together with the unpaid portion of any such excess from prior
Distribution Dates (and interest accrued thereon at the then applicable Class B Note Interest Rate). 
 “Class B Interest Amount” means, for
each Interest Period, an amount equal to the product of (i) the Class B Note Interest Rate for such Interest Period, (ii) the lesser of (a) the Outstanding Principal Balance of the Class B Notes for such Interest Period (after giving
effect to all distributions made on such day) and (b) the excess, if any, of (1) the Aggregate Outstanding Loan Balance as of the last day of the Due Period immediately preceding the start of such Interest Period over (2) the
Outstanding Principal Balance of the Class A Notes as of the first day of such Interest Period (after giving effect to all distributions made on such day) and (iii) a fraction, the numerator of which is the number of days in such Interest
Period and the denominator of which is 360. 
 “Class B Note Interest Rate” means the annual rate of interest payable with respect to the
Class B Notes, which shall be equal to LIBOR plus 0.38% per annum. 
 “Class B Noteholder” means each Person in whose name a
Class B Note is registered in the Note Register. 
  

 10 

 “Class B Notes” means the NewStar Commercial Loan Trust 2006-1 Class B Notes, issued pursuant to the
Indenture. 
 “Class C Accrued Payable” means, for any Distribution Date with respect to which the Class C Interest Amount is calculated
using clause (ii)(b) of the definition thereof, an amount equal to the excess, if any, of (a) the amount that would have been calculated as the Class C Interest Amount on such Distribution Date if the calculation was made using clause
(ii)(a) of the definition of Class C Interest Amount and not clause (ii)(b) of such definition over (b) the amount calculated as the Class C Interest Amount on such Distribution Date, together with the unpaid portion of any such
excess from prior Distribution Dates (and interest accrued thereon at the then applicable Class C Note Interest Rate). 
 “Class C Interest
Amount” means, for each Interest Period, an amount equal to the product of (i) the Class C Note Interest Rate for such Interest Period, (ii) the lesser of (a) the Outstanding Principal Balance of the Class C Notes for such
Interest Period (after giving effect to all distributions made on such day) and (b) the excess, if any, of (1) the Aggregate Outstanding Loan Balance as of the last day of the Due Period immediately preceding the start of such Interest
Period over (2) the Outstanding Principal Balance of the Class A Notes and the Class B Notes as of the first day of such Interest Period (after giving effect to all distributions made on such day) and (iii) a fraction, the numerator
of which is the number of days in such Interest Period and the denominator of which is 360. 
 “Class C Note Interest Rate” means the annual
rate of interest payable with respect to the Class C Notes, which shall be equal to LIBOR plus 0.68% per annum. 
 “Class C
Noteholder” means each Person in whose name a Class C Note is registered in the Note Register. 
 “Class C Notes” means the NewStar
Commercial Loan Trust 2006-1 Class C Notes, issued pursuant to the Indenture. 
 “Class D Accrued Payable” means, if, for any Distribution
Date, the Class D Interest Amount is calculated using clause (ii)(b) of the definition thereof, the excess, if any, of (i) the amount that would have been calculated as the Class D Interest Amount on such Distribution Date if the
calculation was made using clause (ii)(a) of the definition of Class D Interest Amount and not clause (ii)(b) of such definition over (ii) the amount calculated as the Class D Interest Amount on such Distribution Date, together
with the unpaid portion of any such excess from prior Distribution Dates (and interest accrued thereon at the then applicable Class D Note Interest Rate). 
 “Class D Interest Amount” means, for each Interest Period, the product of (i) the Class D Note Interest Rate for such Interest Period, (ii) the lesser of (a) the Outstanding Principal Balance of the Class D
Notes for such Interest Period (after giving effect to all distributions made on such day) and (b) the excess, if any, of (1) the Aggregate Outstanding Loan Balance as of the last day of the Due Period immediately preceding the start of
such Interest Period over (2) the Outstanding Principal Balance of the Class A Notes, Class B Notes and Class C Notes as of the first day of such Interest Period (after giving effect to all distributions made on such day) and 

  

 11 

 
(iii) a fraction, the numerator of which is the number of days in such Interest Period and the denominator of which is 360. 
 “Class D Note Interest Rate” means the annual rate of interest payable with respect to the Class D Notes, which shall be equal to LIBOR plus
1.35% per annum. 
 “Class D Noteholder” means each Person in whose name a Class D Note is registered in the Note Register.

 “Class D Notes” means the NewStar Commercial Loan Trust 2006-1 Class D Notes, issued pursuant to the Indenture. 
 “Class E Accrued Payable” means, if, for any Distribution Date, the Class E Interest Amount is calculated using clause (ii)(b) of the definition
thereof, the excess, if any, of (i) the amount that would have been calculated as the Class E Interest Amount on such Distribution Date if the calculation was made using clause (ii)(a) of the definition of Class E Interest Amount and not
clause (ii)(b) of such definition over (ii) the amount calculated as the Class E Interest Amount on such Distribution Date, together with the unpaid portion of any such excess from prior Distribution Dates (and interest accrued thereon
at the then applicable Class E Note Interest Rate). 
 “Class E Interest Amount” means, for each Interest Period, the product of
(i) the Class E Note Interest Rate for such Interest Period, (ii) the lesser of (a) the Outstanding Principal Balance of the Class E Notes for such Interest Period (after giving effect to all distributions made on such day) and
(b) the excess, if any, of (1) the Aggregate Outstanding Loan Balance as of the last day of the Due Period immediately preceding the start of such Interest Period over (2) the Outstanding Principal Balance of the Class A Notes,
Class B Notes, Class C Notes and Class D Notes as of the first day of such Interest Period (after giving effect to all distributions made on such day) and (iii) a fraction, the numerator of which is the number of days in such Interest Period
and the denominator of which is 360. 
 “Class E Note Interest Rate” means the annual rate of interest payable with respect to the Class E
Notes, which shall be equal to LIBOR plus 1.75% per annum. 
 “Class E Noteholder” means each Person in whose name a Class E
Note is registered in the Note Register. 
 “Class E Notes” means the NewStar Commercial Loan Trust 2006-1 Class E Notes, issued pursuant to
the Indenture. 
 “Class F Note” means the NewStar Commercial Loan Trust 2006-1 Class F Note, issued pursuant to the Indenture. 

“Class F Noteholder” means each Person in whose name a Class F Note is registered in the Note Register. 
 “Class Scenario Loss Rate” means, with respect to any Class rated by S&P, at any time, an estimate of the cumulative default rate for the Current
Portfolio or the Proposed Portfolio, as 

  

 12 

 
applicable, consistent with S&P’s rating of such Class on the Closing Date, determined by application of the S&P CDO Monitor at such time.

 “Closing Date” means June 8, 2006. 
 “Code” means the Internal Revenue Code of 1986, as amended, or any successor legislation thereto. 
 “Collateral”
means, as of any date, the “Indenture Collateral,” as such term is defined in the Indenture. 
 “Collateral Quality Table” means,
as set forth below, the table that shall be used in determining, for the Loans included in the Collateral as of any date of determination, compliance with the Weighted Average Spread Test, the Diversity Test and the Moody’s Weighted Average
Rating Factor Test: 
  

					
	 Weighted Average
 Spread
	  	Diversity
Score	  	 Weighted Average
 Rating Factor

	4.10%	  	36	  	3275
	3.95%	  	36	  	3205
	3.80%	  	36	  	3135
	3.65%	  	36	  	3040
	3.50%	  	36	  	2945
	4.10%	  	34	  	3200
	3.95%	  	34	  	3145
	3.80%	  	34	  	3100
	3.65%	  	34	  	3000
	3.50%	  	34	  	2905
	4.10%	  	32	  	3140
	3.95%	  	32	  	3080
	3.80%	  	32	  	3020
	3.65%	  	32	  	2955
	3.50%	  	32	  	2860

 “Collections” means the aggregate of Interest Collections and Principal Collections. 

“Commission” means the United States Securities and Exchange Commission. 
 “Commitment Fee Amount” means, with respect to the Class A-2 Notes as of any Distribution Date, the sum of (a) the amount determined for the related Interest Period by multiplying
(i) the Class A-2 Commitment Fee, (ii) the excess, if any, of (x) the weighted average aggregate Class A-2 Commitments during such Interest Period over (y) the weighted average Outstanding Principal Balance of the
Class A-2 Notes during such Interest Period (excluding the amount of any Draw funded by a Class A-2 Noteholder in connection with its failure to satisfy the Rating Criteria) and (iii) a fraction, the numerator of which is the number
of days in such Interest Period and the denominator of which is 360, plus (b) any unpaid Commitment Fee Amount due in 

  

 13 

 
respect of any prior Distribution Date plus (c) interest at the Class A-2 Note Interest Rate on any accrued and unpaid Commitment Fee Amount due in
respect of any prior Distribution Date from the date such unpaid Commitment Fee Amount was originally due and payable. 
 “Commitment Termination
Date” means the date on which any of the following first occurs: (i) the last day of the Reinvestment Period; (ii) the date on which the Class A-2 Commitments are declared terminated following an Event of Default described in
Sections 5.01(vi), (vii) and (ix) of the Indenture; or (iii) the Repurchase Date. 
 “Computer Records” means the computer
records generated by the Servicer that provide information relating to the Loans and that were used by the Originator in selecting the Loans conveyed to the Trust Depositor pursuant to Section 2.01 (and any Additional Loans and any
Substitute Loans conveyed to the Trust Depositor pursuant to Section 2.06 and Section 2.04, respectively). 
 “Concentration
Account” means the account maintained pursuant to an intercreditor and concentration account administration agreement by a bank selected by the Servicer from time to time for the purpose of receiving Collections, the details of which are
contained in Schedule I, as such schedule may be amended from time to time. 
 “Contractual Obligation” means, with respect to any
Person, any provision of any securities issued by such Person or any indenture, mortgage, deed of trust, contract, undertaking, agreement, instrument or other document to which such Person is a party or by which it or any of its property is bound or
is subject. 
 “Corporate Trust Office” means, with respect to the Trustee or Owner Trustee, as applicable, the office of the Trustee or
Owner Trustee at which at any particular time its corporate trust business shall be principally administered, which offices at the date of the execution of this Agreement are located at the addresses set forth in Section 13.04.

 “Credit and Collection Policy” means the written credit and policy and procedures manual (which covers credit, collection and servicing
policies and procedures) of the Servicer in effect on the Closing Date, as amended or supplemented from time to time in accordance with Section 5.02(m) of this Agreement, a copy of which has been provided to the Trust Depositor, the
Issuer, the Owner Trustee, the Back-up Servicer and the Trustee; and with respect to any Successor Servicer, the written collection policies and procedures of such Person at the time such Person becomes Successor Servicer. 
 “Cumulative Charged-Off Amount” means, as of any Distribution Date, an amount equal to the sum of (a) the sum of the Outstanding Loan Balances of
all Loans which have become Charged-Off Loans, plus (b) the sum, for all Loans (other than Charged-Off Loans) which have been sold pursuant to this Agreement, of the excess, if any, of the Outstanding Loan Balance of each such Loan at the time
of sale over the applicable Sale Proceeds (exclusive of accrued interest and of any amount reimbursable to the Servicer therefrom pursuant to Section 7.03(h) hereof) received with respect to such Loan, plus (c) the sum, for all
Loans (other than Charged-Off Loans) which have been repurchased pursuant to this Agreement, of the excess, if any, of the Outstanding Loan Balance of each such Loan at the time of repurchase over each applicable Transfer Deposit 

  

 14 

 
Amount (exclusive of accrued interest and of any amount reimbursable to the Servicer therefrom pursuant to Section 7.03(h) hereof) with respect
to such Loan, in each case during the period from the Closing Date or the related Cut-Off Date, as applicable, to and including the last day of the Due Period immediately preceding such Distribution Date. 
 “Cumulative Excess Principal Amount” means, as of any date of determination, an amount equal to the aggregate of all amounts applied as Excess Principal
Amounts prior to and on the preceding Distribution Date. 
 “Curtailment” means, with respect to a Loan, any payment of principal received
by the Issuer during a Due Period as part of a payment allocable to a Loan that is in excess of the principal portion of the Scheduled Payment due for such Due Period and which is not intended to satisfy the Loan in full, nor is intended to cure a
delinquency, including any accelerated amortization due to structural features of the related Loan. 
 “Current Portfolio” means the
portfolio (measured by the outstanding principal balance and treating Revolving Loans and Delayed Draw Term Loans as fully funded) of (a) the Loans, (b) Principal Collections held as cash and (c) Permitted Investments purchased with
Principal Collections existing immediately prior to the applicable Measurement Date. 
 “Cut-Off Date” means each date on or after the
Closing Date on which an Additional Loan or Substitute Loan is transferred to the Issuer. 
 “Delayed Draw Term Loan” means a Loan that is
fully committed on the closing date thereof and is required by its terms to be fully funded in one or more installments on draw dates to occur within three years after the closing date thereof but which, once fully funded, has the characteristics of
a Term Loan. Once fully funded, such Loan will cease to be a Delayed Draw Term Loan. 
 “Delinquent Loan” means a Loan (that is not a
Charged-Off Loan) in the Collateral as to which there has occurred one or more of the following: 
 (i) the occurrence of both
(a) any portion of a payment of interest on or principal of such Loan is not paid in cash on a current basis when due (without giving effect to any grace period or any Scheduled Payment Advance made in respect of such payment of interest or
principal) or would be so delinquent but for any amendment, modification, waiver or variance made to such Loan resulting from the Obligor’s inability to pay such Loan in accordance with its terms and (b) within 60 calendar days of when
such delinquent payment was first due, all delinquencies have not been cured; 
 (ii) in the case of a Loan which is publicly
rated by Moody’s, any portion of a payment of interest on or principal of such Loan is not paid when due (after giving effect to any grace period but without giving effect to any Scheduled Payment Advance made in respect of such payment of
interest or principal); 
 (iii) consistent with the Credit and Collection Policy such Loan would be classified as delinquent
by the Servicer or the Originator; 
  

 15 

 (iv) the Loan shall have been amended or modified due to the Obligor’s inability to
make payments of principal or interest under such Loan in a manner that would (a) reduce the interest rate payable by the Obligor thereunder or (b) reduce the principal amount thereof; 
 (v) the Loan shall have been amended or modified in a manner other than as specified in clause (iv) above due to the
Obligor’s inability to make payments of principal or interest under such Loan and within 60 days after such delinquent payment was first due all delinquencies have not been cured; 
 (vi) the Loan shall have been subject to a modification of the type described in clause (e) of the definition of Specified
Amendment; 
 (vii) the Loan shall have been subject to a modification of the type specified in clauses
(a) through (d) of the definition of Specified Amendment and within 60 days after the effective date of the relevant Specified Amendment the Servicer has not delivered notice to S&P of such modification; or 
 (viii) any Additional Loan or Substitute Loan which, within 60 days after the related Cut-Off Date, the Servicer has not submitted to each
Rating Agency for rating; provided that such Loan shall not be deemed a Delinquent Loan hereunder by reason of the Servicer’s failure to present such Loan to Moody’s if such Loan has a Moody’s Rating as determined in accordance
with clause (e) of the definition thereof; 
 provided that if any Loan to an Obligor is a Delinquent Loan, or if any Loan to an Obligor
from the Originator or any entity controlled by the Originator would be a Delinquent Loan if owned by the Issuer, then all Loans to that Obligor ranked equally with, or subordinated in right of payment to, such Delinquent Loans shall be deemed to be
Delinquent Loans; provided further that such Loan or Loans shall cease to be deemed delinquent as of the date that each Loan which caused any other Loan to be deemed delinquent in accordance with the preceding proviso has become a performing
Loan and maintained such status for a period of 12 consecutive months. 
 “Determination Date” means the last day of each Due Period.

 “DIP Loan” means a loan to an Obligor that is a “debtor-in-possession” as defined under the Bankruptcy Code, the terms of which
have been approved by an order of the United States Bankruptcy Court, the United States District Court or any other court of competent jurisdiction, the enforceability of which order is not subject to any pending contested matter or proceeding (as
such terms are defined in the Federal Rules of Bankruptcy Procedure) and which order provides that: (i) (A) such DIP Loan is fully secured by liens on the debtor’s otherwise unencumbered assets pursuant to §364(c)(2) of the
Bankruptcy Code or any other applicable bankruptcy or insolvency law, or (B) such DIP Loan is secured by liens of equal or senior priority on property of such debtor’s estate that is otherwise subject to a lien pursuant to §364(d) of
the Bankruptcy Code or any other applicable bankruptcy or insolvency law, and (ii) such DIP Loan is fully secured based upon a current valuation or appraisal report. Notwithstanding the foregoing, such a Loan will not be deemed to be a DIP Loan
following the emergence of the related debtor-in-possession from bankruptcy protection under Chapter 11 of the Bankruptcy Code. 
  

 16 

 “Discretionary Repurchased Loan” means, subject to the restrictions set forth in
Section 2.09, any Loan that becomes subject to substitution or repurchase at the discretion of the Issuer; provided that no repurchase of a Discretionary Repurchased Loan shall be undertaken for the primary purpose of recognizing
gains or decreasing losses resulting from market value changes. 
 “Distribution Date” means each
March 30, June 30, September 30 and December 30, commencing on December 30, 2006, or if such day is not a Business Day, on the next succeeding Business Day. 
 “Diversity Score” means the single number that indicates collateral concentration for Loans in terms of both Obligor and industry concentration, which
is calculated as described in Annex A attached hereto. 
 “Diversity Test” means a test that will be satisfied, as of any date of
determination, if the Diversity Score equals or exceeds the Diversity Score set forth in the Collateral Quality Table in the appropriate column opposite the then-current Reference Spread, in each case as of such date of determination. 
 “Dollar” and “$” means the lawful currency of the United States. 
 “Downgrade Event” means the reduction or withdrawal of the rating issued by either of Moody’s or S&P on the Closing Date with respect to any outstanding class of Offered Notes. 
 “Draw” means a borrowing made by the Issuer (at the direction of the Servicer) in accordance with the Class A-2 Purchase Agreement under the
Class A-2 Notes on any Business Day prior to the Commitment Termination Date. 
 “Draw Date” means the date of any Draw. 
 “Due Period” means, with respect to the first Distribution Date, the period from and including the Closing Date to but excluding the 14th day of the
calendar month in which the first Distribution Date occurs, and for any Distribution Date thereafter, the period from and including the 14th day of the calendar month in which the prior Distribution Date occurred to but excluding the 14th day of the
calendar month in which such Distribution Date occurs. 
 “Effective Date” means the earlier of (a) the date which is 15 Business Days
prior to the initial Distribution Date occurring in December 2006 and (b) the date on which the Servicer certifies to the Trustee that the Aggregate Outstanding Loan Balance of the Loans purchased by the Issuer for inclusion in the Collateral,
together with any Principal Collections, equals the Expected Aggregate Outstanding Loan Balance. 
 “Effective Date Ratings Confirmation”
shall have the meaning provided in Section 2.06(h). 
 “Eligible Deposit Account” means either (a) a segregated account
with a Qualified Institution, or (b) a segregated trust account with the corporate trust department of a depository institution organized under the laws of the United States or any one of the states thereof, including the District of Columbia
(or any domestic branch of a foreign bank), and acting as a trustee for funds deposited in such account, so long as any of the securities of such depository institution shall 

  

 17 

 
have a credit rating from, in the case of Fitch a short-term credit rating of at least “F1+”, in the case of Moody’s a short-term credit
rating of “P-l” and in the case of S&P a commercial paper short-term debt rating of “A-1+” and a long-term unsecured debt rating of “AA–”. 
 “Eligible Asset” shall have the meaning provided in Rule 3a-7 under the 1940 Act. 
 “Eligible
Loan” means, on and as of the Closing Date in the case of the Initial Loans and as of the related Cut-Off Date in the case of any Additional Loans or Substitute Loans, a Loan as to which each of the following is true; provided that
any Loan which has an S&P Rating shall not include a “p”, “pi”, “q”, “r” or “t” subscript: 
 (a) the Loan is a Large Middle Market Loan, Traditional Middle Market Loan, Broadly Syndicated Loan, Structured Loan or Real Estate Loan (and including, for a period of 60 calendar days after the Closing Date,
Participations therein) or a Qualified Participated Loan; 
 (b) the Loan is an Eligible Asset; 
 (c) the Loan is Registered; 
 (d) the Obligor with respect to the Loan is an Eligible Obligor; 
 (e) the Loan is
denominated and payable only in Dollars and does not by its terms permit the currency in which or country in which the Loan is payable to be changed; 
 (f) the Obligor with respect to the Loan or, if such Loan is an Agented Loan or a Third Party Agented Loan, the paying agent with respect thereto, has been directed to make all Scheduled Payments to the Concentration
Account; 
 (g) the Loan does not contravene any Applicable Laws (including, without limitation, laws, rules and regulations,
if applicable, relating to usury, truth in lending, fair credit billing, fair credit reporting, equal credit opportunity, fair debt collection practices, licensing and privacy); 
 (h) all consents, licenses, approvals or authorizations of, or registrations or declarations with, any Governmental Authority or any other
Person required to be obtained, effected or given in connection with the making, acquisition, transfer or performance of the Loan have been duly obtained, effected or given and are in full force and effect; 
 (i) the Loan is eligible to be sold, assigned or transferred to the Trust Depositor and the Issuer, respectively (giving effect to the
provisions of Sections 9-406 and 9-408 of the UCC), and neither the sale, transfer or assignment of the Loan under the Transfer and Servicing Agreements to the Trust Depositor and the Issuer, respectively, nor the granting of a security interest
under the Indenture to the Trustee, violates, conflicts with or contravenes any Applicable Law or any contractual or other restriction, limitation or encumbrance; provided that this clause (i) shall not apply (i) to Qualified
Participated Loans or (ii) for a period of 60 days after the Closing Date, to all other Participated Loans, which will be converted to full assignments within 60 days following the Closing Date; 
  

 18 

 (j) the Loan is not the subject of an offer of exchange or tender by its issuer, for
cash, securities or any other type of consideration, and has not been called for redemption or tender into any other security or property; 
 (k) the Loan (i) is not an equity security, (ii) does not provide for the conversion or exchange into an equity security at any time on or after the date it is included as part of the Collateral, and
(iii) does not constitute, and none of the Related Property securing the Loan constitutes, Margin Stock; 
 (1) the Loan
is not a Loan with respect to which interest required by the Underlying Loan Agreement to be paid in cash has previously been deferred or capitalized as principal and not subsequently paid in full; 
 (m) the Loan provides for a fixed amount of principal payable in cash no later than its stated or legal maturity, which, other than in the
case of Structured Loans, is a date not later than 36 months prior to the Stated Maturity; 
 (n) the Loan provides for
periodic payments of accrued interest in cash on a current basis; 
 (o) all payments in respect of the Loan are required to
be made free and clear of, and without deduction or withholding for or on account of, any taxes, unless such withholding or deduction is required by Applicable Law in which case the Obligor thereof is required to make “gross-up” payments
that cover the full amount of any such withholding taxes on an after-tax basis; 
 (p) no selection procedure adverse to the
interests of the Noteholders was used by the Originator or the Trust Depositor in the selection of the Loan for inclusion in the Collateral; 
 (q) the repayment of the Loan is not subject to material non-credit related risk (for example, a Loan the payment of which is expressly contingent upon the nonoccurrence of a catastrophe), as reasonably determined by
the Servicer in accordance with the Credit and Collection Policy; 
 (r) the information with respect to each Loan set forth
on the List of Loans delivered to the Trustee is true and complete; 
 (s) the Loan, together with the Related Property, if
any, has been originated or acquired by the Originator or acquired by one of its Affiliates, and immediately prior to the transfer and assignment contemplated by the Loan Sale Agreement, the Originator held, and immediately prior to the transfer and
assignment contemplated by the Sale and Servicing Agreement the Trust Depositor held, good and indefeasible title to, and was the sole owner of, the Loans being transferred to the Trust Depositor and Issuer, respectively, subject to no Liens except
Liens which will be released simultaneously with such transfer and assignment and Liens permitted by the Transfer and Servicing Agreements; and immediately upon the transfer and assignment contemplated by the Sale and Servicing Agreement, the Issuer
will hold good 

  

 19 

 
and indefeasible title to, and be the sole owner of, each Loan, subject to no Liens except Liens in favor of the Trustee; 
 (t) the Loan is evidenced by an Underlying Note (other than in the case of a Noteless Loan) or a credit agreement containing an express
promise to pay, a security agreement (if such Loan is secured) or instrument and related loan documents that have been duly authorized and executed, are in full force and effect and constitute the legal, valid, binding and absolute and unconditional
payment obligation of the related Obligor, enforceable against such Obligor in accordance with their terms (subject, as to enforcement only, to applicable bankruptcy, insolvency, moratorium or other similar laws affecting the rights of creditors
generally and to general principles of equity, whether considered in a suit at law or in equity), and there are no conditions precedent to the enforceability or validity of the Loan that have not been satisfied or validly waived; 
 (u) the Loan (i) was originated and underwritten, or purchased and re-underwritten, by the Originator or re-underwritten by the
Originator and purchased by one of its Affiliates, including, without limitation, the completion of a due diligence audit and collateral assessment, (ii) is fully documented, and (iii) is being serviced by the Servicer, in each case in
accordance with the Credit and Collection Policy and the Servicing Standard; 
 (v) the Loan has an original term to maturity
that does not exceed (i) in the case of Large Middle Market Loans, Traditional Middle Market Loans and Broadly Syndicated Loans, 96 months and (ii) in the case of Real Estate Loans, 120 months; 
 (w) all of the original or certified Required Loan Documents with respect to the Loan have been, or the Servicer has agreed that they will
be, delivered to the Trustee on or prior to the Closing Date (in the case of the Initial Loans) and the applicable Cut-Off Date with respect to any Additional Loans or Substitute Loans, and all Servicing Files are being or shall be maintained at the
principal place of business of the Servicer in accordance with the Servicing Standard; 
 (x) (i)if the Loan is a Large Middle
Market Loan, Traditional Middle Market Loan, Broadly Syndicated Loan or Real Estate Loan, the Loan is not delinquent in payment and, since its origination or purchase by the Originator or one of its Affiliates, as applicable, the Loan has never been
more than 30 days delinquent in payment of either principal or interest and (ii) if the Loan is a Structured Loan, the Loan is not delinquent in payment and, since its origination or purchase by the Originator or one of its Affiliates, as
applicable, the Loan has never been delinquent in payment of either principal or interest; 
 (y) there is no default, breach,
violation or event or condition which would give rise to a right of acceleration existing under the Underlying Loan Agreement related to the Loan and no event which, with the passage of time or with notice and the expiration of any grace or cure
period, would constitute a default, breach, violation or event or condition which would give rise to a right of acceleration of the Loan; 
 (z) no provision of the Required Loan Documents has been waived, modified, or altered in any respect by the Originator or any of its Affiliates, except in 

  

 20 

 
accordance with the Credit and Collection Policy and the Servicing Standard and by instruments duly authorized and executed and contained in the Required
Loan Documents and recorded, if necessary, to protect the interests of the Noteholders and which has been delivered to the Trustee or, with respect to any Agented Loan or Third Party Agented Loan, to the custodian or collateral agent with respect
thereto; 
 (aa) the Loan is neither a new loan that replaced a prior loan by the Originator or any of its Affiliates to the
Obligor that was a Delinquent Loan or a Charged-Off Loan nor an extension of credit by the Originator to the Obligor for the purpose of making any past due principal, interest or other payments due on the Loan; 
 (bb) other than in the case of Permitted PIK Loans, the Loan does not permit interest to be deferred or capitalized; 
 (cc) the Loan is not subject to any right of rescission, set-off, counterclaim or defense, including the defense of usury, by the related
Obligor (including any account debtor or Person obligated to make payments on the Loan to such Obligor), nor will the operation of any of the terms of the Underlying Loan Agreement, or the exercise of any right thereunder, render the Underlying Loan
Agreement unenforceable in whole or in part, or subject to any right of rescission, set-off, counterclaim or defense, including the defense of usury, no such right of rescission, set-off, counterclaim or defense has been asserted with respect
thereto, and the Underlying Loan Agreement with respect to the Loan contains a provision substantially to the effect that the related obligor’s payment obligations are absolute and unconditional without any right of rescission, set-off or
counterclaim against the Originator and its assignees; 
 (dd) the Loan does not contain a confidentiality provision that
restricts or purports to restrict the ability of the Trustee to exercise its rights under the Transfer and Servicing Agreements, including, without limitation, its rights to review the Loan, the Required Loan Documents and Loan File; 
 (ee) other than with respect to Agented Loans and Third Party Agented Loans, the Originator has caused, and has agreed that it will cause,
to be performed any and all acts reasonably required to be performed to preserve the rights and remedies of the Trustee as specified in this Agreement and in the Indenture in any Insurance Policies applicable to the Loan; 
 (ff) the Loan provides for cash payments that fully amortize the Outstanding Loan Balance of such Loan on or by its maturity and does not
provide for such Outstanding Loan Balance to be discounted pursuant to a prepayment in full; 
 (gg) if the Loan is an Agented
Loan or a Third Party Agented Loan: 
 (i) if the entity serving as the collateral agent of the security for all notes of the
Obligor issued under the applicable Underlying Loan Agreement has changed from the time of the origination of the Loan, all appropriate assignments of the collateral agent’s rights in and to the collateral on behalf of the holders of the

  

 21 

 
indebtedness of the Obligor under such facility have been executed and filed or recorded as appropriate prior to such Loan becoming a part of the Collateral;

 (ii) all required notifications, if any, have been given to the collateral agent, the paying agent and any other parties
required by the Underlying Loan Agreement of, and all required consents, if any, have been obtained with respect to, the Originator’s assignment of such Loan and the Originator’s right, title and interest in the Related Property to the
Trust Depositor, the assignment thereof to the Issuer and the Trustee’s security interest therein on behalf of the Noteholders; 
 (iii) the right to control certain actions of and replace the collateral agent and/or the paying agent of the Obligor’s indebtedness under the facility is to be exercised by at least a majority in interest of all holders of such
indebtedness; and 
 (iv) all indebtedness of the Obligor of the same priority within each facility is cross-defaulted, the
Related Property securing such indebtedness is held by the collateral agent for the benefit of all holders of such indebtedness and all holders of such indebtedness (A) have an undivided pari passu interest in the collateral securing
such indebtedness, (B) share in the proceeds of the sale or other disposition of such collateral on a pro rata basis and (C) may transfer or assign their right, title and interest in the Related Property; 
 (hh) if the Loan is Real Estate Loan: 
 (i) the Loan is secured by the related Mortgage, which has been properly recorded (or, if not properly recorded, has been submitted in proper form for recording) and establishes and creates a valid, enforceable and
subsisting first or second priority lien on the related Mortgaged Property subject only to the following permitted encumbrances: (a) the Lien of current real property taxes and assessments, (b) covenants, conditions and restrictions,
rights of way, easements and other matters of public record as of the date of recording of such Mortgage, such exceptions appearing of record being acceptable to mortgage lending institutions generally in the area wherein the Mortgaged Property is
located or specifically reflected in the Appraisal obtained by the Originator in connection with the origination of the related Loan and (c) other matters to which like properties are commonly subject which do not materially and adversely
interfere with the value of or current principal use of the related Mortgaged Property or the benefits of the security intended to be provided by such Mortgage; 
 (ii) (a) the Lien of the related Mortgage is insured by an ALTA lender’s title insurance policy (“Title
Policy”), or its equivalent, issued by a nationally recognized title insurance company licensed to do business in the state in which the Mortgaged Property is located, insuring the Originator, its successors and assigns, as to the first or
second priority Lien of the related Mortgage in the original principal amount of such Loan after all advances of principal, subject only to customary Liens permitted under the Mortgage (or, if a Title Policy has not yet been issued in respect of
such Loan, a policy meeting the foregoing description is evidenced by a commitment 

  

 22 

 
for title insurance “marked-up” at the closing of such loan); (b) each Title Policy (or, if it has yet to be issued, the coverage to be
provided thereby) is in full force and effect, all premiums thereon have been paid and no material claims have been made thereunder and no claims have been paid thereunder; (c) the Originator, the Trust Depositor or the Servicer have not, by
act or omission, done anything that would materially impair the coverage under such Title Policy; (d) other than with respect to Agented Loans and Third Party Agented Loans, the Title Policy is freely transferable or assignable by each of the
Originator and the Trust Depositor, and immediately following the transfer and assignment of the related Loan to the Issuer and the grant of a security interest therein to the Trustee, such Title Policy (or, if it has yet to be issued, the coverage
to be provided thereby) will inure to the benefit of the Trustee on behalf of the Noteholders without the consent of or notice to the insurer; 
 (iii) any related Mortgage contains customary and enforceable provisions, which render the rights and remedies of the holder thereof adequate for the realization against the Mortgaged Property of the benefits of the
security, including, (x) in the case of a Mortgage designated as a deed of trust, by trustee’s sale, and (y) otherwise by judicial foreclosure; 
 (iv) there is no homestead or other exemption available to the Obligor which would materially interfere with the right to sell the
Mortgaged Property related to such Loan at a trustee’s sale or the right to foreclose the Mortgage; 
 (v) all escrow
deposits relating to such Loan that are, as of the Closing Date or the related Cut-Off Date, as applicable, required to be deposited with the mortgagee or its agent have been so deposited or the mortgagee retains the right to compel the deposit
thereof; 
 (vi) there is no delinquent tax or assessment Lien on any Mortgaged Property which is the primary Related Property
for the related Real Estate Loan, and each such Mortgaged Property is free of material damage and is in good repair; 
 (vii)
there are no material defaults in complying with the terms of any applicable Mortgage related to a Real Estate Loan, and all taxes, governmental assessments, insurance premiums, water, sewer and municipal charges, leasehold payments or ground rents
which previously became due and owing have been paid, or an escrow of funds has been established in an amount sufficient to pay for every such item which remains unpaid and which has been assessed but is not yet due and payable; 
 (viii) the related Loan File contains a valid Appraisal, an Environmental Site Assessment, and, in the case of any Loan either
(x) having an Outstanding Loan Balance of $5,000,000 or greater or (y) with respect to which the related Mortgaged Property is at least 25 years old, an engineering report; 
 (ix) the terms of such Loan require that improvements on the related Mortgaged Property be insured by a generally acceptable carrier
against loss under a 

  

 23 

 
hazard insurance policy with extended coverage and conforming to the requirements of Section 5.05 of this Agreement and no notice has been
received by the Originator or by the Trust Depositor indicating that any such insurance policy is not in full force and effect; 
 (x) no proceeding for the condemnation of all or any material portion of the related Mortgaged Property has commenced or been threatened; 
 (xi) the related Mortgaged Property was subject to one or more Environmental Site Assessments (or an update of a previously conducted Environmental Site Assessment), which were performed on behalf of the Originator,
or as to which the related report was delivered to the Originator in connection with its origination or acquisition of such Loan, and the Originator and the Servicer have no knowledge of any material and adverse environmental conditions or
circumstance affecting such Mortgaged Property; 
 (xii) none of the Originator, the Trust Depositor or the Servicer has taken
any action with respect to such Loan or the related Mortgaged Property that could subject the Issuer, the Trustee on behalf of the Noteholders, or their respective successors and assigns in respect of such Loan, to any liability under any
Environmental Law, and none of the Originator, the Trust Depositor or the Servicer have received any actual notice of a material violation of any Environmental Law with respect to the related Mortgaged Property; 
 (xiii) (a) based on surveys and/or the related Title Policy obtained in connection with the origination of such Loan, as of the date
of such origination, no improvement that was included for the purpose of an Appraisal of the value of the related Mortgaged Property at the time of origination of such Loan lay outside the boundaries and building restriction lines of such property
to any material extent (unless affirmatively covered by the Title Policy), and no improvements on adjoining properties encroached upon such Mortgaged Property to any material extent; and (b) based upon opinions of counsel and/or other due
diligence customarily performed by the Originator, the improvements located on or forming part of such Mortgaged Property comply in all material respects with applicable zoning laws and ordinances (except to the extent that they may constitute legal
non-conforming uses. 
 (xiv) as of the date of origination of such Loan, the related Obligor or operator of the related
Mortgaged Property was in possession of all material licenses, permits and authorizations required by Applicable Laws for the ownership and operation of the related Mortgaged Property as it was then operated; 
 (xv) the related Mortgage provides that Insurance Proceeds and condemnation proceeds will be applied for one of the following purposes:
either to restore or repair such Mortgaged Property, or to repay the principal of such Loan, or otherwise, as provided in the Underlying Loan Agreement; 
  

 24 

 (xvi) in the case of a Real Estate Loan, such Loan does not permit the related Mortgaged
Property to be encumbered by Liens having priority over or equal to the related Mortgage other than customary permitted Liens of the nature specified in clause (i) of this clause (ii); 
 (xvii) such Loan contains provisions for the acceleration of the payment of the unpaid principal balance of such Loan if, without
obtaining consent of the holder of the promissory note complying with the requirements of such Loan, the related Mortgaged Property, or any controlling interest therein, is directly or indirectly transferred or sold; 
 (xviii) the Assignment of Leases and Rents, if any, establishes and creates a valid, subsisting and, subject only to permitted Liens,
enforceable lien and security interest in the related Obligor’s interest in the material leases pursuant to which any person is entitled to occupy, use or possess all or any portion of the Mortgaged Property; 
 (xix) if such Mortgage is a deed of trust, a trustee, duly qualified under Applicable Law to serve as such, has been properly designated
and currently so serves, and no fees or expenses are payable to such trustee by the Originator, the Trust Depositor, the Servicer, the Issuer or any transferee thereof, except in connection with a sale after default by the related Obligor or in
connection with any full or partial release of the related Mortgaged Property or related security for the related Loan; 
 (xx) if material improvements on such Mortgaged Property is in an area identified in the Federal Register by the Federal Emergency Management Agency as having special flood hazards, a flood insurance policy is in effect with respect to such
Mortgaged Property with a generally acceptable carrier in an amount representing coverage described in Section 5.05 of this Agreement; and 
 (xxi) upon completion of the transfers contemplated by the Transfer and Servicing Agreements and contemporaneous release from applicable Warehouse Facilities, (i) the Issuer’s interest in the Loan, together
with the Collections and Related Property related thereto, are free and clear of any Liens except Liens permitted by the Transfer and Servicing Agreements, and (ii) all filings and other actions required to grant to the Trustee a first priority
perfected security interest in the Issuer’s interest in the Loan, the Collections and the Related Property have been made or taken; 
 (ii) if the Loan is a Structured Loan: 
 (i) the Loan is fully secured by a valid and
perfected first priority security interest in the Related Property, subject to customary Liens consistent with market practice in the origination of similar Structured Loans; 
 (ii) the Related Property for the Loan consists of a specified pool of assets or, in the case of a Loan to an SPE Obligor, in all or a
specified portion of designated property of such SPE Obligor; 
  

 25 

 (iii) the Loan (A) is senior in priority of payment obligations to at least one
other class of obligations of, or residual interests in, the Obligor owned by a Person who is not an Affiliate of the Originator or (B) in its Underlying Loan Agreement provides for credit enhancement for the Issuer’s portion of such Loan
in the form of overcollateralization, guarantees, an excess spread account or reserve account or other similar account or other credit enhancement customarily used in the market for Structured Loans; 
 (iv) the Loan is documented in accordance with market practice for Structured Loans, including, without limitation, the Originator having
received legal opinions with respect to the true sale of the underlying pool of assets to the Obligor, the non-consolidation of the Obligor with any non-bankruptcy remote Person selling or contributing assets to such Obligor, and the perfection and
priority of the Obligor’s first priority security interest in the underlying pool of assets (or the effective equivalent of such foregoing opinions); 
 (v) the underlying pool of assets for the Loan has a weighted average life of not greater than 30 years; 
 (vi) the Loan is not currently and has not ever been in “rapid amortization” or “accelerated amortization” and no “termination event”, “unmatured termination event” or
“payment default” exists or has ever existed under the Underlying Loan Agreement for such Loan (however such terms are denominated or described in such Underlying Loan Agreement); and 
 (vii) if the Loan or any Related Property is serviced and administered by a Person or Persons other than the Originator or any of its
Affiliates, each such Person or Persons has undertaken to service and administer such Loan or Related Property consistent with market practice for Structured Loans relating to such Related Property. 
 “Eligible Obligor” means, on any Measurement Date, any Obligor that: 
 (i) is a business organization (and not a natural person) that is duly organized and validly existing under the laws of its jurisdiction
of organization; 
 (ii) such Obligor is duly organized and validly existing under the laws of, or all or substantially all of
its assets are located in, the United States, Canada, or any Group I Country, Group II Country or Group III Country; 
 (iii)
is a legal operating entity or holding company (except with respect to a Loan to an SPE Obligor); 
 (iv) is not a
Governmental Authority; 
 (v) is not an Affiliate (other than with respect to an SPE Obligor) of NewStar, the Servicer, the
Trust Depositor or the Issuer; 
  

 26 

 (vi) is not the subject of an Insolvency Proceeding; and 
 (vii) is not an Obligor of a Charged-Off Loan or Delinquent Loan; provided that an Obligor with respect to a Charged-Off Loan or a
Delinquent Loan shall cease to be disqualified under this clause (vii) as of the date that each Loan which caused such Obligor to be so disqualified has become a performing Loan and maintained such status for a period of 12 consecutive months.

 “Eligible Repurchase Obligations” means repurchase obligations with respect to any security that is a direct obligation of, or fully
guaranteed by, the United States or any agency or instrumentality thereof the obligations of which are backed by the full faith and credit of the United States, in either case entered into with a depository institution or trust company (acting as
principal) described in clauses (c)(ii) and (c)(iv) of the definition of Permitted Investments. 
 “Enterprise Value” means,
with respect to any Obligor, as of any date of determination, (a) if such Obligor has been the subject of a merger, acquisition or recapitalization transaction within the most recent three months, the valuation of such Obligor as an entirety as
determined in connection with such transaction, as such valuation may be reduced as determined by the Servicer in its reasonable discretion and in a manner consistent with the Credit and Collection Policy, giving due consideration to transactions
involving enterprises comparable to such Obligor occurring during such three month period, and (b) in all other cases, the valuation of such Obligor as an entirety as determined by the Servicer in its reasonable discretion and in a manner
consistent with the Credit and Collection Policy, giving due consideration to transactions involving enterprises comparable to such Obligor which have been consummated within the three months prior to such date. 
 “Environmental Laws” means any and all foreign, federal, state and local laws, statutes, ordinances, rules, regulations, permits, licenses, approvals,
interpretations and orders of courts or Governmental Authorities, relating to the protection of human health or the environment, including, but not limited to, requirements pertaining to the manufacture, processing, distribution, use, treatment,
storage, disposal, transportation, handling, reporting, licensing, permitting, investigation or remediation of hazardous materials, and shall include, without limitation, the Comprehensive Environmental Response, Compensation, and Liability Act (42
U.S.C. § 9601 et seq.), the Hazardous Material Transportation Act (49 U.S.C. §331 et seq.), the Resource Conservation and Recovery Act (42 U.S.C. § 6901 et seq.), the Federal Water Pollution Control Act (33 U.S.C. § 1251 et
seq.), the Clean Air Act (42 U.S.C. §7401 et seq.), the Toxic Substances Control Act (15 U.S.C. § 2601 et seq.), the Safe Drinking Water Act (42 U.S.C. § 300, et seq.), the Environmental Protection Agency’s regulations relating
to underground storage tanks (40 C.F.R. Parts 280 and 281), and the Occupational Safety and Health Act (29 U.S.C. § 651 et seq.), and the rules and regulations thereunder, each as amended or supplemented from time to time. 
 “Environmental Site Assessment” means, in respect of any Mortgaged Property, a “Phase I assessment” or “Phase II assessment”
conducted in accordance with ASTM Standard E 1527-97 or any successor thereto published by the American Society for Testing and Materials Standard. 
 “Event of Default” shall have the meaning specified in Section 5.01 of the Indenture. 
  

 27 

 “Excess Principal Amount” means, as of any Distribution Date, an amount of Interest Collections applied
in reduction of the Outstanding Principal Balance of any class of Offered Notes on such Distribution Date pursuant to clause 9 of Section 7.05(a) plus the amount of any Liquidation Proceeds distributed on such Distribution
Date in accordance with a Special Redemption. 
 “Exchange Act” means the Securities Exchange Act of 1934, as amended. 
 “Excluded Amounts” means (a) any amount received by, on or with respect to any Loan in the Collateral, which amount is attributable to the payment
of any tax, fee or other charge imposed by any Governmental Authority on such Loan, (b) any amount representing escrows relating to taxes, insurance and other amounts in connection with any Loan which is held in an escrow account for the
benefit of the related Obligor and the secured party pursuant to escrow arrangements, (c) any amount with respect to any Loan substituted, sold, retransferred or replaced under Sections 2.04, 2.05 or 11.01, to the extent
such amount is attributable to a time after the effective date of such substitution, sale, retransfer or replacement or is attributable to amounts paid as part of the Transfer Deposit Amount under Section 2.04 or
Section 11.01, (d) any fee retained by the Originator in connection with the origination of any Loan, and (e) any amount permitted to be retained by the Servicer as an Excluded Amount hereunder. 
 “Expected Aggregate Outstanding Loan Balance” means $500,000,000. 
 “Exposure Amount” as of any date of determination means, with respect to any Revolving Loan or Delayed Draw Term Loan, the excess, if any, of (a) the maximum commitment of the Issuer under the terms of the related loan
agreement to make loans or issue, fund, reimburse or cash collateralize letters of credit (and, for the avoidance of doubt, the Issuer’s commitment in respect of a Charged-Off Loan or a Loan as to which the commitment to make additional loans
or issue, fund, reimburse or cash collateralize letters of credit thereunder has been terminated shall be zero) over (b) the sum of the outstanding principal balance and the aggregate amount of all issued and outstanding letters of credit with
respect to such Revolving Loan or Delayed Draw Term Loan, as the case may be, as of such date. 
 “FDIC” shall mean the Federal Deposit
Insurance Corporation and any successor thereto. 
 “Fidelity Bond” shall have the meaning provided in Section 5.04. 

“Finance Charges” means, with respect to any Loan, any interest or finance charges owing by an Obligor pursuant to or with respect to such Loan.

 “First Lien Loan” means a Loan (including a portion of a Loan) which (i) is not, except as provided in the last sentence of this
definition, by its terms (and is not expressly permitted by its terms to become) subordinate in right of payment to any other obligation for borrowed money of the Obligor of such Loan, (ii) is secured by a valid first priority perfected
security interest or Lien in, to or on specified Related Property, subject to Permitted Liens (whether or not the Issuer and any other lenders are also granted a security interest of a lower priority in additional Related Property), and
(iii) is secured by Related Property having a value (determined as set forth below) not less than the Outstanding Loan Balance of such Loan plus the aggregate Outstanding Loan Balance of all other Loans of equal seniority secured by a first
Lien or security interest in the 

  

 28 

 
same Related Property. The determination as to whether condition (iii) of this definition is satisfied shall be based on the Servicer’s judgment at
the time the Loan is included in the Collateral. The right to receive the proceeds of designated Related Property subject to a set of contractual payment priorities affecting debt issued under or governed by the same Underlying Loan Agreement will
not prevent a Loan (or portion thereof) that satisfies the express requirements hereof from being a First Lien Loan. 
 “Fitch” means Fitch,
Inc. and any successor thereto. 
 “Fitch Rating” means, for any Loan, the rating assigned to such Loan by Fitch, as updated from time to
time by Fitch. 
 “Fitch Rating Condition” means, with respect to any action or series of related actions or proposed transaction or series
of proposed transactions, that Fitch shall have notified the Trust Depositor, the Servicer, the Owner Trustee and the Trustee in writing that such action or series of related actions or the consummation of such proposed transaction or series of
related transactions will not result in a reduction or withdrawal of the then-current rating by Fitch with respect to any outstanding class of Notes as a result of such action or series of related actions or the consummation of such proposed
transaction or series of related transactions. 
 “Fitch Rating Factor” means, for any Loan with a Fitch Rating, the percentage set forth
below under the heading “Fitch Rating Factor” across from the Fitch Rating of such Loan or, in the case of a rating assigned by Fitch at the request of the Issuer (or the Servicer on behalf of the Issuer), the Fitch Rating Factor as
assigned by Fitch. 
  

			
	Fitch Rating of Loan	  	Fitch Rating Factor
	AAA	  	0.19%
		
	AA+	  	0.57%
		
	AA	  	0.89%
		
	AA-	  	1.15%
		
	A+	  	1.65%
		
	A	  	1.85%
		
	A-	  	2.44%
		
	BBB+	  	3.13%
		
	BBB	  	3.74%
		
	BBB-	  	7.26%
		
	BB+	  	10.18%

  

 29 

			
	Fitch Rating of Loan	  	Fitch Rating Factor
	BB	  	13.53%
		
	BB-	  	18.46%
		
	B+	  	22.84%
		
	B	  	27.67%
		
	B-	  	34.98%
		
	CCC+	  	43.36%
		
	CCC	  	48.52%
		
	CC	  	77.00%
		
	C	  	95.00%
		
	DDD-D	  	100.00%

 “Fitch Weighted Average Rating Factor” means, as of any Measurement Date, the percentage obtained
by dividing (a) the sum of the products obtained by multiplying the Outstanding Loan Balance of each Loan (excluding any Delinquent Loans) by its Fitch Rating Factor as of such date by (b) the aggregate Outstanding Loan Balance of all
Loans owned by the Issuer (excluding any Delinquent Loans) as of such date. 
 “Fixed Rate Loan” means a Loan, other than a Floating Rate
Loan, where the Loan Rate payable by the Obligor thereunder is expressed as a fixed rate of interest. 
 “Floating LIBOR Rate Loan” means,
as of any date of determination, a Loan where the Loan Rate payable by the Obligor thereof in respect of the majority of the Outstanding Loan Balance of such Loan is based on the Underlying LIBOR Rate plus some specified percentage in addition
thereto, and the Loan provides that such Loan Rate will reset upon any change in the related Underlying LIBOR Rate. 
 “Floating Prime Rate
Loan” means, as of any date of determination, a Loan where the Loan Rate payable by the Obligor thereof in respect of the majority of the Outstanding Loan Balance of such Loan is based on the Underlying Prime Rate plus some specified
percentage in addition thereto, and the Loan provides that such Loan Rate will reset upon any change in the related Underlying Prime Rate. 
 “Floating Rate Loan” means a Floating LIBOR Rate Loan or a Floating Prime Rate Loan. 
 “Foreclosed Property”
means Related Property acquired by the Issuer for the benefit of the Noteholders in foreclosure or by deed in lieu of foreclosure or by other legal process. 
  

 30 

 “Foreclosed Property Disposition” means the final sale of a Foreclosed Property or of Repossessed
Property. The proceeds of any “Foreclosed Property Disposition” constitute part of the definition of Liquidation Proceeds. 
 “Funding
Entity” means, with respect to any Class A-2 Noteholder, any Liquidity Provider party to a Liquidity Facility entered into by such Holder in connection with the Class A-2 Purchase Agreement or a guarantor of such Liquidity
Provider. 
 “Funding I Transaction” means the Amended and Restated Sale and Servicing Agreement, dated as of April 5, 2006 (as amended
or supplemented from time to time) by and among NewStar CP Funding LLC, as borrower, NewStar Financial, Inc., as originator and servicer, Wachovia Bank, National Association, as swingline purchaser, each of the conduit purchasers and purchaser
agents from time to time party thereto, as purchasers, Wachovia Capital Markets, LLC, as administrative agent, U.S. Bank National Association, as trustee and collateral custodian, and Lyon Financial Services, Inc., as backup servicer, and related
transaction documents. 
 “Governmental Authority” means, with respect to any Person, any nation or government, any state or other political
subdivision thereof, any central bank (or similar monetary or regulatory authority) thereof, any entity exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government and any court or arbitrator
having jurisdiction over such Person. 
 “Group I Country” means any of The Netherlands, the United Kingdom, Australia and New Zealand.

 “Group II Country” means any of Germany, Ireland, Sweden and Switzerland. 
 “Group III Country” means any of Austria, Belgium, Denmark, Finland, France, Iceland, Liechtenstein, Luxembourg, Norway and Spain. 
 “Highest Required Investment Category” means (a) with respect to ratings assigned by Fitch (if such investment is rated by Fitch), “F1+” for short-term instruments and
“AAA” for long-term instruments, (b) with respect to ratings assigned by Moody’s, “Aa2” or “P-l” for one-month instruments, “Aa2” and “P-l” for three-month instruments, “Aa2” and
“P-l” for six-month instruments and “Aaa” and “P-l” for instruments with a term in excess of six-months, and (c) with respect to rating assigned by S&P, “A-1+” for short-term instruments and
“AAA” for long-term instruments. 
 “Holder” means (a) with respect to a Certificate, the Person in whose name such
Certificate is registered in the Certificate Register, and (b) with respect to a Note, the Person in whose name such Note is registered in the Note Register. 
 “Indebtedness” means, with respect to any Person at any date, (a) all indebtedness of such Person for borrowed money or for the deferred purchase price of property or services (other than current liabilities incurred
in the ordinary course of business and payable in accordance with customary trade practices) or which is evidenced by a note, bond, debenture or similar instrument, (b) all obligations of such Person under capital leases, (c) all
obligations of such Person in respect of acceptances issued or created for the account of such Person, and (d) all liabilities secured by any 

  

 31 

 
Lien on any property owned by such Person even though such Person has not assumed or otherwise become liable for the payment thereof. 
 “Indenture” means the Indenture, dated as of June 8, 2006, between the Issuer and the Trustee, as such agreement may be amended, modified, waived,
supplemented or restated from time to time. 
 “Independent” means, when used with respect to any specified Person, the Person (a) is
in fact independent of the Issuer, any other obligor on the Notes, the Trust Depositor and any Affiliate of any of the foregoing Persons, (b) does not have any direct financial interest or any material indirect financial interest in the Issuer,
any such other obligor, the Trust Depositor or any Affiliate of any of the foregoing Persons and (c) is not connected with the Issuer, any such other obligor, the Trust Depositor or any Affiliate of any of the foregoing Persons as an officer,
employee, trustee, partner, director or person performing similar functions. 
 “Independent Accountants” shall have the meaning provided in
Section 9.04. 
 “Ineligible Loan” shall have the meaning provided in Section 11.01. 
 “Initial Aggregate Outstanding Loan Balance” means the Aggregate Outstanding Loan Balance as of the Closing Date of the Initial Loans transferred to the
Issuer on the Closing Date. 
 “Initial Class A-1 Principal Balance” means $320,000,000. 
 “Initial Class A-2 Principal Balance” means an amount equal to the Maximum Class A-2 Commitment. 
 “Initial Class B Principal Balance” means $22,500,000. 
 “Initial Class C Principal Balance” means $35,000,000. 
 “Initial Class D Principal Balance” means $25,000,000.

 “Initial Class E Principal Balance” means $13,750,000. 
 “Initial Class F Principal Balance” means $43,750,000. 
 “Initial Loans” means those Loans
conveyed to the Issuer on the Closing Date and identified on the initial List of Loans required to be delivered pursuant to Section 2.02(d). 
 “Initial Loan Assets” means any assets acquired by the Issuer from the Trust Depositor on the Closing Date pursuant to Section 2.01, which assets shall include the Trust Depositor’s right, title and
interest in the following: 
 (i) the Initial Loans, all payments paid in respect thereof and all monies due, to become due or
paid in respect thereof accruing on and after the Closing Date; 
 (ii) all security interests and Liens and Related Property
subject thereto from time to time purporting to secure payment by Obligors under such Loans; 
  

 32 

 (iii) all guaranties, indemnities and warranties, and other agreements or arrangements of
whatever character from time to time supporting or securing payment of such Loans; 
 (iv) the Transaction Accounts, and the
Concentration Account and together with all cash and investments in each of the foregoing but only to the extent, in respect of the Concentration Account, relating to the Initial Loans; 
 (v) all collections and records (including Computer Records) with respect to the foregoing; 
 (vi) all documents relating to the applicable Loan Files; and 
 (vii) all income, payments, proceeds and other benefits of any and all of the foregoing, including but not limited to, all accounts, cash
and currency, chattel paper, electronic chattel paper, tangible chattel paper, copyrights, copyright licenses, equipment, fixtures, general intangibles, instruments, commercial tort claims, deposit accounts, inventory, investment property, letter of
credit rights, software, supporting obligations, accessions, and other property consisting of, arising out of, or related to the foregoing, but excluding any Excluded Amount with respect thereto. 
 “Initial Purchasers” means Wachovia Capital Markets, LLC, Citigroup Global Markets Inc. and Harris Nesbitt Corp. 
 “Insolvency Event” means, with respect to a specified Person, (i) the filing of a decree or order for relief by a court having jurisdiction in the
premises in respect of such Person or any substantial part of its property in an involuntary case under any applicable Insolvency Law now or hereafter in effect, or appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator or
similar official for such Person or for any substantial part of its property, or ordering the winding-up or liquidation of such Person’s affairs, and such decree or order shall remain unstayed or undismissed and in effect for a period of 60
consecutive days; or (ii) the commencement by such Person of a voluntary case under any applicable Insolvency Law now or hereafter in effect, or the consent by such Person to the entry of an order for relief in an involuntary case under any
such law, or the consent by such Person to the appointment of or taking possession by a receiver, liquidator, assignee, custodian, trustee, sequestrator or similar official for such Person or for any substantial part of its property, or the making
by such Person of any general assignment for the benefit of creditors, or the failure by such Person generally to pay its debts as such debts become due, or the taking of action by such Person in furtherance of any of the foregoing. 
 “Insolvency Laws” means the Bankruptcy Code and all other applicable liquidation, conservatorship, bankruptcy, moratorium, rearrangement, receivership,
insolvency, reorganization, suspension of payments, or similar debtor relief laws from time to time in effect affecting the rights of creditors generally. 
 “Insolvency Proceeding” means any case, action or proceeding before any court or other Governmental Authority relating to any Insolvency Event. 
  

 33 

 “Insurance Policy” means, with respect to any Loan, an insurance policy covering liability and physical
damage to or loss of the applicable Related Property, including, but not limited to, title, hazard, life, accident and/or flood insurance policies. 
 “Insurance Proceeds” means any amounts payable or any payments made on or with respect to a Loan or the Related Property under any Insurance Policy which are not applied or paid by the Obligor, Servicer, in the case of
Third Party Agented Loans, the party primarily responsible for servicing such Loans, as applicable, to the restoration or repair of the Related Property or released to the Obligor, another creditor or any other Person in accordance with the
Applicable Law, the Required Loan Documents, the Credit and Collection Policy, the Servicing Standard and this Agreement, net of costs of collection. 
 “Interest Amount” means, with respect to any Distribution Date, the Class A-l Interest Amount, the Class A-2 Interest Amount, the Class B Interest Amount, the Class C Interest Amount, the Class D Interest Amount
and the Class E Interest Amount payable on such Distribution Date, as applicable. 
 “Interest Collection Account” means a sub-account of
the Principal and Interest Account established and maintained pursuant to Section 7.03(a). 
 “Interest
Collections” means the aggregate of: 
 (a) amounts deposited into the Principal and Interest Account in respect of:

 (i) all payments received on or after the Closing Date on account of interest on the Loans (including Finance Charges, fees
and the deferred interest component of a Permitted PIK Loan) and all late payment, default and waiver charges; 
 (ii) during
the Ramp-Up Period and the Reinvestment Period, the Required Liquidation Proceeds and after the Reinvestment Period, all Liquidation Proceeds; 
 (iii) Insurance Proceeds (other than amounts to be applied to the restoration or repair of the Related Property, or released or to be released to the Obligor or others); 
 (iv) Released Mortgaged Property Proceeds and any other proceeds from any other Related Property securing the Loans (other than amounts
released or to be released to the Obligor or others); 
 (v) the interest portion of any amounts received (x) in
connection with the purchase or repurchase of any Loan and the amount of any adjustment for Substitute Loans and (y) as Scheduled Payment Advances that the Servicer determines to make; and 
 (vi) the portion of any Sale Proceeds which constitute Sale Premiums and accrued interest; plus 
  

 34 

 (b) investment earnings on funds invested in Permitted Investments in the Transaction
Accounts; minus 
 (c) the amount of any losses incurred in connection with investments in Permitted Investments in the
Transaction Accounts. 
 “Interest Distributable Amount” means, as of any Distribution Date, the amount of Interest Collections (excluding
for purposes of calculating such amount any Required Liquidation Proceeds) remaining after distribution of amounts under clauses 1 through 8 under Section 7.05(a). 
 “Interest Distributable Test” means a test satisfied on any Distribution Date (a) during the Ramp-Up Period and the Reinvestment Period, if the sum of the Interest Distributable Amount plus the
Required Liquidation Proceeds equals or exceeds the Required Distributable Amount and (b) after the Reinvestment Period, if the Interest Distributable Amount equals or exceeds the Required Distributable Amount. 
 “Interest Period” means, for the first Distribution Date, the period commencing on the Closing Date (or, in the case of the Class A-2 Notes, from
the date of any Draw under the Class A-2 Notes) and ending on the day before the first Distribution Date (or, in the case of the prepayment of any portion of the Class A-2 Notes before such Distribution Date, ending on the day before the
related Interim Distribution Date); and thereafter, the period commencing on a Distribution Date (or, in the case of any incremental Draw under the Class A-2 Notes, from the date of such Draw) and ending on the day before the next Distribution
Date (or, in the case of the prepayment of any portion of the Class A-2 Notes before such Distribution Date, ending on the day before the related Interim Distribution Date). 
 “Interest Shortfall” means, with respect to each Class of Offered Notes and any Distribution Date, as applicable, an amount equal to the excess, if any, of (i) the Interest Amount with respect to
such Class of Notes over (ii) the amount of interest actually paid to such Class of Notes, together with the unpaid portion of any such excess from prior Distribution Dates (and interest accrued thereon at the then applicable Note Interest
Rate). 
 “Interim Distribution Date” means any Business Day other than a Distribution Date on which a Class A-2 Prepayment is made.

 “Investment Earnings” means the investment earnings (net of losses and investment expenses) on amounts on deposit in the Principal and
Interest Account, the Note Distribution Account and the Reserve Fund, to be credited to the Principal and Interest Account on the applicable Distribution Date pursuant to Section 7.01 and Section 7.03. 
 “Ireland Paying Agent” means initially, the Paying Agent in Ireland appointed by the Issuer pursuant to Section 3.03 of the Indenture, and any
successor Paying Agent appointed by the Issuer pursuant to such Section 3.03 of the Indenture. 
 “Irish Stock Exchange” means the
Irish Stock Exchange and any successor securities exchange thereto on which the Listed Notes may be listed for trading. 
  

 35 

 “Issuer” means the trust created by the Trust Agreement and funded pursuant to this Agreement,
consisting of the Loan Assets. 
 “IXIS Warehouse Transaction” means the Secured Loan and Servicing Agreement, dated as of August 26,
2005 (as amended or supplemented from time to time) by and among NewStar Short-Term Funding LLC, as borrower, NewStar Financial, Inc., as originator and servicer, MMP-5 Funding, LLC, as lender, IXIS Financial Products Inc., as administrative agent,
and U.S. Bank National Association, as trustee, and related transaction documents. 
 “Joinder Agreement” means the Joinder in Intercreditor
and Concentration Account Administration Agreement, dated as of June 8, 2006, by U.S. Bank, as Trustee, as such agreement may be amended, modified, waived, supplemented or restated from time to time. 
 “Large Middle Market Loan” means any Loan issued as part of a loan facility with an original loan size (including any first and second lien loans
included in the facility) greater than $125,000,000 but less than $250,000,000, including for purposes of this definition the maximum available amount of commitments under any Revolving Loans and Delayed Draw Term Loans. 
 “LIBOR” shall have the meaning provided in Section 7.06. 
 “LIBOR Determination Date” shall have the meaning provided in Section 7.06. 
 “Lien” means any mortgage, deed of trust, pledge, hypothecation, assignment, deposit arrangement, encumbrance, lien (statutory or other), preference, priority or other security agreement or preferential arrangement of any
kind or nature whatsoever, including, without limitation, any conditional sale or other title retention agreement, and any financing lease having substantially the same economic effect as any of the foregoing (including any UCC financing statement
or any similar instrument filed against a Person’s assets or properties). 
 “Liquidation Expenses” means, with respect to any Loan,
the aggregate amount of all out-of-pocket expenses reasonably incurred by the Servicer (including amounts paid to any Subservicer) and any reasonably allocated costs of counsel (if any), in each case in accordance with the Servicer’s customary
procedures in connection with the repossession, refurbishing and disposition of any Related Property securing such Loan upon or after the expiration or earlier termination of such Loan and other out-of-pocket costs related to the liquidation of any
such Related Property, including the attempted collection of any amount owing pursuant to such Loan if it is a Charged-Off Loan, and, if requested by the Trustee, the Servicer must provide to the Trustee a breakdown of the Liquidation Expenses for
any Loan along with any supporting documentation therefor. 
 “Liquidation Proceeds” means, with respect to any Charged-Off Loan, whatever
is receivable or received when such Loan or the Related Property is sold, liquidated, foreclosed, exchanged, or otherwise disposed of, whether such disposition is voluntary or involuntary, and includes all amounts representing late fees and
penalties relating thereto net of, without duplication, (i) Liquidation Expenses relating to such Loan or Related Property reimbursed to the Servicer therefrom pursuant to the terms of this Agreement and (ii) amounts required to be
released to other creditors, including any other costs, expenses and taxes, or the related Obligor or grantor pursuant to applicable law or the governing Required Loan Documents. 
  

 36 

 “Liquidation Report” shall have the meaning provided in Section 5.03(d). 
 “Liquidity Facility” means a liquidity loan agreement, credit facility and/or purchase agreement providing for the several commitments of the Liquidity
Providers party thereto in the aggregate to make loans to, or acquire interests in the assets of, a Holder of Class A-2 Notes in an aggregate principal amount at any one time outstanding at least equal to the Class A-2 Commitments of such
Holder. 
 “Liquidity Provider” means one or more banks or other institutions or entities from which a Holder of Class A-2 Notes is
entitled to borrow from or to which a Holder of Class A-2 Notes is entitled to sell an interest in assets under a Liquidity Facility and any guarantor of any such Liquidity Facility. 
 “List of Loans” means the list identifying each Loan constituting part of the Loan Assets, which list shall consist of the initial List of Loans
reflecting the Initial Loans transferred to the Issuer on the Closing Date, together with any Subsequent List of Loans amending the most current List of Loans reflecting the Additional Loans or Substitute Loans transferred to the Issuer on the
related Cut-Off Date (together with, if applicable, a deletion from such list of the related Loan or Loans identified on the corresponding Addition Notice with respect to which a Substitution Event has occurred), and which list in each case
(a) identifies by account number each Loan included in the Collateral, and (b) sets forth as to each such Loan (i) the Outstanding Loan Balance as of the Closing Date in the case of the Initial Loans and the related Cut-Off Date in
the case of Additional Loans or Substitute Loans, and (ii) the maturity date, and which list (as in effect on the Closing Date) is attached to this Agreement as Exhibit G. 
 “Listed Notes” means the Class A-l Notes, Class B Notes, Class C Notes, Class D Notes and Class E Notes. 
 “Loan” means, to the extent transferred by the Trust Depositor to the Issuer, an individual loan to an Obligor, or portion thereof made or purchased by the Originator including, as applicable, Agented Loans, Third Party
Agented Loans and Participated Loans. 
 “Loan Assets” means, collectively and as applicable, the Initial Loan Assets, the Substitute Loan
Assets and the Additional Loan, Assets, as applicable. 
 “Loan Checklist” means the list delivered by the Trust Depositor to the Trustee
pursuant Section 2.08 of this Agreement that identifies the items contained in the related Loan File. 
 “Loan Files” means,
with respect to any Loan and Related Property, each of the Required Loan Documents and, duly executed originals (to the extent required by the Credit and Collection Policy and the Servicing Standard) and copies of any other Records relating to such
Loan and Related Property. 
 “Loan Rate” means, for each Loan in a Due Period, the current cash pay interest rate for such Loan in such
period, as specified in the Underlying Notes or related Required Loan Documents. 
  

 37 

 “Loan Rate Index” means (a) in the case of a Floating Prime Rate Loan, the Underlying Prime Rate,
(b) in the case of a Floating LIBOR Rate Loan, the Underlying LIBOR Rate and (c) in the case of a Fixed Rate Loan, a fixed rate of interest. 
 “Loan Register” means, with respect to each Noteless Loan, the register in which the obligor (acting as an agent of the holder of such Noteless Loan) or the agent or collateral agent on such Loan will record, among other
things, (i) the amount of such Loan, (ii) the amount of any principal or interest due and payable or to become due and payable from the Obligor thereunder, (iii) the amount of any sum in respect of such Loan received from the Obligor
and each lender’s share thereof, (iv) the date of origination of such Loan and (v) the maturity date of such Loan. 
 “Loan Sale
Agreement” means the Commercial Loan Sale Agreement, dated as of the date hereof, between the Originator and the Trust Depositor, as such agreement may be amended, modified, waived, supplemented or restated from time to time. 
 “Loan-to-Value” means, with respect to any Loan, as of any date of determination, the percentage equivalent of a fraction (a) the numerator of
which is equal to the sum of (i) the maximum availability (as provided in the applicable loan documentation) of such Loan as of the date of its origination plus (ii) the maximum availability under all other indebtedness of the
related Obligor which ranks either senior to, or pari passu with, such Loan and (b) the denominator of which is equal to the Enterprise Value of the Obligor with respect to such Loan. 
 “London Banking Day” means any day on which dealings in deposits in Dollars are transacted in the London interbank market and which is a Business Day.

 “Majority Noteholders” means, as of any date of determination (a) prior to the payment in full of the Offered Notes, the Noteholders
evidencing more than 50% of the aggregate Outstanding Principal Balance of all Offered Notes (voting as a single class); provided that for purposes of the calculation described herein, the Class A-2 Notes will be treated as Outstanding
to the extent of the aggregate Class A-2 Commitments in effect as of such date and (b) from and after the payment in full of the Offered Notes, the Class F Noteholder evidencing more than 50% of the aggregate Outstanding Principal Balance
of the Class F Note. 
 “Margin Stock” means “Margin Stock” as defined under Regulation U issued by the Board of Governors of the
Federal Reserve System. 
 “Material Modification” means: 
 (i) a termination or release (including pursuant to prepayment), or an amendment, modification or waiver, or equivalent similar
undertaking or agreement, by the Servicer with respect to a Loan which would not otherwise be permitted under the standards and criteria set forth in Section 5.02(e)(i); or 
 (ii) a termination or release (including pursuant to prepayment), or an amendment, modification or waiver, or equivalent similar
undertaking or agreement, by the Servicer with respect to a Loan which is entered into for reasons related to the inability of the applicable Obligor to make payments of principal or 

  

 38 

 
interest under such Loan, as determined in accordance with the Credit and Collection Policy and the Servicing Standard. 
 “Maximum Class A-2 Commitment” means an amount equal to $40,000,000. 
 “Maximum Weighted Average Life” means, as of the Closing Date, 8.0 years, declining by 0.50 years for each Due Period elapsed during the Ramp-Up Period and declining by 0.25 years for each Due Period
elapsed during the Reinvestment Period. 
 “Measurement Date” means (i) during the Ramp-Up Period and the Reinvestment Period, each
Cut-Off Date with respect to an Additional Loan or a Substitute Loan and each Determination Date, (ii) the Effective Date; and (iii) following the Reinvestment Period, each Cut-Off Date with respect to any Substitute Loan and each
Determination Date. 
 “Moody’s” means Moody’s Investors Service, Inc. and any successor thereto. 
 “Moody’s Rating” means, with respect to any Loan, the rating assigned to such Loan by Moody’s; provided that other than in the case of
a DIP Loan, prior to the time that such Loan has been assigned a rating by Moody’s, the Moody’s Rating shall be deemed to be, with respect to such Loan: 
 (a) The Moody’s Rating determined as follows (all references to “rating” in clauses (i)-(iii) below are to ratings by Moody’s): 
 (i) if the Obligor of such Loan has a corporate family rating from Moody’s, then the Moody’s Rating of such Loan shall be such rating.

 (ii) if the Obligor of such Loan has a senior unsecured obligation publicly rated by Moody’s, then the Moody’s Rating of such
Loan shall be such rating. 
 (iii) if the Obligor of such Loan does not have a senior unsecured obligation publicly rated by Moody’s but
the Loan itself is rated by Moody’s, then the Moody’s Rating of such Loan shall be the subcategory below such rating. 
 (iv) if
neither such Loan nor any senior unsecured obligation of the Obligor has been publicly rated by Moody’s, but another obligation of the Obligor has been so rated, then the Moody’s Rating Loan shall be determined as though such Loan were a
senior unsecured Loan, as follows: 
 (1) if there is a rating by Moody’s on a senior secured obligation of the Obligor, then the
Moody’s Rating of such Loan 
 (A) shall equal such rating if such Loan is also a senior secured obligation of the Obligor, 

(B) shall be one subcategory below such rating if such Loan is a senior unsecured obligation of the Obligor, and 
  

 39 

 (C) shall be three subcategories below such rating if such rating is “Ba3” or higher or two
subcategories below such rating if such rating is “Bl” or lower, in each case if such Loan is a subordinated obligation of the Obligor, 
 (2) if there is a rating by Moody’s on a senior unsecured obligation of the Obligor, then the Moody’s Rating of such Loan 
 (A) shall equal such rating if such Loan is also a senior unsecured obligation of the Obligor, 
 (B) shall equal such rating if
such rating is “Baa3” or higher or shall equal one subcategory above such rating if such rating is “Bal” or lower, in each case if such Loan is a senior secured obligation of the Obligor, and 
 (C) shall be two subcategories below such rating if such rating is “Bl” or higher or one subcategory below such rating if such rating is
“B2” or lower, in each case if such Loan is a subordinated obligation of the Obligor; or 
 (3) if there is a rating by
Moody’s on a subordinated obligation of the Obligor, then the Moody’s Rating of such Loan 
 (A) shall equal such rating if such
Loan is also a subordinated obligation of the Obligor or if such rating is equal to “Caal”, “Caa2”, Caa3”, “Ca” or “C”, 
 (B) shall be one subcategory above such rating if such rating is “Baa3” or higher and such Loan is a senior (either secured or unsecured) obligation of the Obligor, 
 (C) shall be two subcategories above such rating if such rating is below “Baa3” and such Loan is a senior secured obligation of the Obligor
(except that if such rating is “B3”, the Moody’s Rating of such Loan shall be “B2”), and 
 (D) shall be one
subcategory above such rating if such rating is below “Baa3” and such Loan is a senior unsecured obligation of the Obligor; 
 provided, that if the operation of clauses (1) through (3) above shall result in two or more inconsistent Moody’s Ratings, then the Moody’s Rating of the related Loan shall be the lowest of such
Moody’s Ratings; 
  

 40 

 (b) If a Moody’s Rating cannot be determined pursuant to clause (a) above, then at the
election of the Servicer, the Moody’s Rating of such Loan may be determined using any one of the methods provided below: 
 (i) if there
are ratings on obligations of the underlying borrower by S&P, then the Moody’s Rating of such Loan will be the rating according to clause (a) above using such S&P ratings; provided that bank loan ratings by S&P
may not be used; provided, further, that such resulting rating will be reduced by (x) one rating subcategory if it is “BBB-” or higher and (y) two rating subcategories if it is “BB+” or lower; provided,
further, that no more than 10% of the Expected Aggregate Outstanding Loan Balance may be Loans given a Moody’s Rating based on a rating given by S&P as provided in this subclause (b)(i); 
 (ii) with respect to a senior secured Loan issued by a U.S. Obligor, if 
 (1) neither the Obligor nor any of its affiliates is subject to reorganization or bankruptcy proceedings, 
 (2) no debt securities or obligations of the Obligor are in default, 
 (3) neither the Obligor nor any of its affiliates has
defaulted on any debt during the past two years, 
 (4) the Obligor has been in existence for the past five years, 
 (5) the Obligor is current on any cumulative dividends, 
 (6) the fixed-charge ratio for the Obligor exceeds 125% for each of the past two fiscal years and for the most recent quarter, 
 (7) the Obligor had a net profit before tax in the past fiscal year and the most recent quarter; and 
 (8)
the annual financial statements of the Obligor are unqualified and certified by a firm of independent accountants of international reputation, and quarterly statements are unaudited but signed by a corporate officer, the Moody’s Rating of such
Loan will be “B3”; 
 (iii) with respect to a senior secured Loan issued by a U.S. Obligor, if 
 (1) neither the Obligor nor any of its affiliates is subject to reorganization or bankruptcy proceedings and 
 (2) no debt security or obligation of the Obligor has been in default during the past two years, the Moody’s Rating of such Loan will be
“Caa2”; 
 provided, further, that if a Moody’s Rating is obtained pursuant to this subclause (b)(iii), the
Obligor must confirm such Rating with Moody’s within 30 days pursuant to clause (c) below; and 
 (iv) if a debt security or
obligation of the Obligor has been in default during the past two years, the Moody’s Rating of such Loan will be “Ca”. 
  

 41 

 (c) If such Loan is not rated by Moody’s or S&P, and no other security or obligation of the
Obligor is rated by Moody’s or S&P, or if the rating of such Loan is not addressed in any of clauses (a) or (b) above, then the Issuer or the Servicer on behalf of the Issuer, may present such Loan to Moody’s
for an estimate of such Loan’s Moody’s Rating Factor, from which its corresponding Moody’s Rating shall be determined; provided, however, that until such Moody’s Rating has been obtained, the Moody’s Rating shall be
deemed to be “Caa2”. 
 (d) In all cases, if a Loan is (x) on watch for upgrade it shall be treated as upgraded by one rating
subcategory or (y) on watch for downgrade it shall be treated as downgraded by one rating subcategory unless, in each case, Moody’s has advised the Servicer in writing that such treatment is no longer required. 
 (e) The Moody’s Rating may, in the Servicer’s discretion, be determined in accordance with Annex B hereto as of the Cut-Off Date for such
Loan, subject to the satisfaction of the qualifications set forth therein, (i) at all times prior to the end of the Reinvestment Period with respect to Loans representing not more than 30% of the Expected Aggregate Outstanding Loan Balance (as
such percentage may be adjusted in the discretion of Moody’s) and (ii) following the Reinvestment Period with respect to Loans representing the greater of (x) 30% of the Aggregate Outstanding Loan Balance as of the applicable date of
determination (as such percentage may be adjusted in the discretion of Moody’s) and (y) the Outstanding Loan Balance of Loans included in the Collateral as of such date which have a Moody’s Rating previously determined under this
clause (e). The Servicer shall re-determine and report to Moody’s the Moody’s Rating for each Loan with a Moody’s Rating determined under this clause (e) within 30 days after receipt of annual audited financial
statements from the related Obligor. 
 “Moody’s Rating Condition” means, with respect to any action or series of related actions or
proposed transaction or series of proposed transactions, that Moody’s shall have notified the Trust Depositor, the Servicer, the Owner Trustee and the Trustee in writing that such action or series of related actions or the consummation of such
proposed transaction or series of related transactions will not result in a reduction or withdrawal of the then-current rating by Moody’s with respect to any outstanding class of Notes as a result of such action or series of related actions or
the consummation of such proposed transaction or series of related transactions. 
 “Moody’s Rating Factor” means, for any Loan with a
Moody’s Rating, the number set forth below under the heading “Moody’s Rating Factor” across from the Moody’s Rating of such Loan or, in the case of a rating assigned by Moody’s at the request of the Issuer (or the
Servicer on behalf of the Issuer), the Moody’s Rating Factor as assigned by Moody’s. 
  

			
	Moody’s Rating of Loan	  	Moody’s Rating Factor
	Aaa(1)	  	1
		
	Aal	  	10
		
	Aa2	  	20

  

 42 

			
	Moody’s Rating of Loan	  	Moody’s Rating Factor
	Aa3	  	40
		
	Al	  	70
		
	A2	  	120
		
	A3	  	180
		
	Baal	  	260
		
	Baa2	  	360
		
	Baa3	  	610
		
	Bal	  	940
		
	Ba2	  	1,350
		
	Ba3	  	1,766
		
	Bl	  	2,220
		
	B2	  	2,720
		
	B3	  	3,490
		
	Caal	  	4,770
		
	Caa2	  	6,500
		
	Caa3	  	8,070
		
	Ca	  	10,000
		
	C	  	10,000

  

	(1)	Includes any security issued or guaranteed as to the payment of principal and interest by the United States government or any agency or instrumentality thereof.

  

 43 

 “Moody’s Recovery Rate” means, with respect to any Loan, the recovery rate specified by
Moody’s for such Loan; provided that (i) the Moody’s Recovery Rate for any Loan for which the Moody’s Rating has been determined pursuant to clause (e) of the definition of “Moody’s Rating”,
shall be determined in accordance with Annex B hereto, and (ii) prior to the time that such recovery rate has been specified by Moody’s or so determined, the Moody’s Recovery Rate with respect to such loan shall be deemed to be the
percentage specified in the table below: 
  

				
	 Moody’s Category
	  	Recovery Rate	 
	 Type 1: U.S. or Canadian Obligor
  
 senior secured Loan with first priority perfected
Lien
	  	50	%
		
	 Type 2: U.S. or Canadian Obligor
  
 senior secured “second lien” or
“last-out” Loan
	  	40	%
		
	 Type 3: U.S. or Canadian Obligor
  
 senior unsecured Loan
	  	30	%
		
	 Type 4: Non-U.S., Non-Canadian Obligor
  
 any Loan
	  	0	%

 “Moody’s Weighted Average Rating” means, as of any Measurement Date, the number obtained by
dividing (a) the sum of the products obtained by multiplying the Outstanding Loan Balance of each Loan by its Moody’s Rating Factor as of such date by (b) the aggregate Outstanding Loan Balance of all Loans owned by the Issuer as of
such date. 
 “Moody’s Weighted Average Rating Factor Test” means a test that will be satisfied, as of any date of determination, if
the Weighted Average Rating is less than or equal to the sum of (a) the number in the appropriate column in the Collateral Quality Table opposite the then-current Reference Spread plus (b) the Recovery Rate Modifier, in each case as of
such date of determination. 
 “Moody’s Weighted Average Recovery Rate” means, as of any Measurement Date, the percentage (rounded up
to the first decimal place) obtained by dividing (a) the sum of the products obtained by multiplying the Outstanding Loan Balance of each Loan by its Moody’s Recovery Rate, by (b) the aggregate Outstanding Loan Balance of all Loans
owned by the Issuer as of such date. 
 “Mortgage” means the mortgage, deed of trust or other instrument creating a Lien on a Mortgaged
Property, including the Assignment of Leases and Rents related thereto. 
  

 44 

 “Mortgage Note” means the note or other evidence of indebtedness of an Obligor under a Real Estate Loan
conveyed to the Issuer pursuant to the Loan Sale Agreement, together with all riders and amendments thereto. 
 “Mortgaged Property” means
the underlying real property and any improvements thereon on which a Lien is granted to secure a Real Estate Loan. 
 “Net Purchased Loan
Balance” means, as of any date of determination, an amount equal to (i) the sum of (a) the aggregate Outstanding Loan Balance of all Loans conveyed by the Originator to the Trust Depositor under the Loan Sale Agreement prior to
such date and (b) the aggregate Outstanding Loan Balance of all Loans acquired by the Issuer other than from the Trust Depositor prior to such date minus (ii) the aggregate Outstanding Loan Balance of all Loans repurchased by the
Originator pursuant to Section 2.09(a), substituted pursuant to Section 2.04 or sold to an Affiliate of the Issuer pursuant to Section 2.05 prior to such date. 
 “NewStar” means NewStar Financial, Inc., a Delaware corporation, together with its successors in interest. 
 “NewStar CP Funding LLC” means NewStar CP Funding LLC, a Delaware limited liability company and a wholly owned subsidiary of NewStar. 
 “Nonrecoverable Advance” means any Scheduled Payment Advance or Servicing Advance, as applicable, previously made in respect of a Loan or any Related
Property that, as determined by the Servicer in its reasonable, good faith judgment, will not be ultimately recoverable from subsequent payments or collections with respect to the applicable Loan including, without limitation, payments or
reimbursements from the related Obligor, Insurance Proceeds, Released Mortgage Property Proceeds or Liquidation Proceeds on or in respect of such Loan or Related Property; provided however, that for purposes of the Servicer’s ability to
reimburse itself for Nonrecoverable Advances pursuant to Section 5.09(c) and clause 2 of Section 7.05(a), Scheduled Payment Advances of interest made in respect of Delinquent Loans shall be deemed not to be
Nonrecoverable Advances. 
 “Note” means any one of the notes of the Issuer of any Class executed and authenticated in accordance with the
Indenture. 
 “Note Break-Even Loss Rate” means, with respect to any class of Notes rated by S&P, at any time, the maximum percentage of
defaults that the Current Portfolio or the Proposed Portfolio, as applicable, can sustain such that, after giving effect to S&P assumptions on recoveries and timing and to the priority of payments with respect to the Notes, will result in
sufficient funds remaining for the ultimate payment of principal of and interest on such class of Notes in full by its stated maturity date and the timely payment of interest on such class of Notes. 
 “Note Distribution Account” means the interest bearing trust account so designated and established and maintained pursuant to Section 7.01.

 “Note Interest Rate” means, as the context requires, any of the Class A-l Note Interest Rate, the Class A-2 Note Interest Rate,
the Class B Note Interest Rate, the Class C Note Interest Rate, the Class D Note Interest Rate or the Class E Note Interest Rate. 
  

 45 

 “Note Register” shall have the meaning provided in Section 1.01 of the Indenture. 
 “Noteholders” means each Person in whose name a Note is registered in the Note Register. 
 “Noteless Loan” means a Loan with respect to which (i) the related loan agreement does not require the Obligor to execute and deliver an Underlying Note to evidence the indebtedness created under
such Loan and (ii) no Underlying Notes are outstanding with respect to the portion of the Loan transferred to the Issuer. 
 “Notes Loss
Differential” means, with respect to any class of Notes rated by S&P, at any time, the rate calculated by subtracting the Class Scenario Loss Rate at such time from the Note Break-Even Loss Rate for such class of Notes at such time.

 “Obligor” means, with respect to any Loan, any Person or Persons obligated to make payments pursuant to or with respect to such Loan,
including any guarantor thereof, but excluding, in each case, any such Person that is an obligor or guarantor that is in addition to the primary obligors or guarantors with respect to the assets, cash flows or credit of which the related Loan is
principally underwritten. 
 “OCC” means the Office of the Comptroller of the Currency. 
 “Offered Notes” means the Class A-l Notes, the Class A-2 Notes, the Class B Notes, the Class C Notes, the Class D Notes and the Class E Notes.

 “Offering Memorandum” means the Offering Memorandum dated June 5, 2006, prepared in connection with the offer and sale of the
Offered Notes. 
 “Officer’s Certificate” means a certificate delivered to the Trustee signed by the Chief Executive Officer, Chief
Investment Officer, Chief Financial Officer or a Managing Director of, the designated manager of the Trust Depositor or of the Servicer, or by a Responsible Officer of the Owner Trustee (or another Person), on behalf of the Issuer, as required by
this Agreement or any other Transaction Document. 
 “Opinion of Counsel” means a written opinion of counsel, who may be outside counsel, or
internal counsel (except with respect to federal securities law, tax law, bankruptcy law or UCC matters), for the Trust Depositor or the Servicer, including Winston & Strawn LLP or other counsel reasonably acceptable to the Owner Trustee or
the Trustee, as the case may be. 
 “Optional Repurchase” means a repurchase of the Notes pursuant to Section 10.01 of the Indenture.

 “Originator” shall have the meaning provided in the Preamble. 
 “Outstanding” shall have the meaning provided in the Indenture. 
 “Outstanding Loan
Balance” of a Loan means the excess of (a) the sum, without duplication, of (i) the outstanding principal amount of such Loan or portion thereof transferred to the Issuer as of the Closing Date or the Cut-Off Date, as applicable,
or, if the Loan is acquired by the Issuer 

  

 46 

 
for a purchase price which is less than 90% of the outstanding principal amount of such Loan or portion thereof transferred to the Issuer as of the Closing
Date or the Cut-Off Date, as applicable, then the purchase price paid by the Issuer therefor plus (ii) the principal amount advanced by the Issuer with respect to any Revolving Loan or Delayed Draw Term Loan on or after the Closing Date,
as applicable, over (b) all Principal Collections received on such Loan, or portion thereof, since the Closing Date or the related Cut-Off Date, as applicable; provided that for all purposes other than (x) determining the
Transfer Deposit Amount with respect to a Loan, (y) the calculations prescribed by Sections 2.09(b) and (c), and (z) the determination of the Cumulative Charged-Off Amount, any Charged-Off Loan will be deemed to have an
Outstanding Loan Balance equal to zero; provided further that for any Permitted PIK Loan, the Outstanding Loan Balance of such Permitted PIK Loan shall not include any Accreted Interest with respect thereto. 
 “Outstanding Principal Balance” means, as of any date of determination and with respect to any Notes other than the Class A-2 Notes, the original
principal amount of such Notes on the Closing Date, as reduced by all amounts paid by the Issuer with respect to such principal amount up to such date, and with respect to the Class A-2 Notes, the outstanding principal amount thereof as of such
date of determination unless otherwise expressly required in the context used. For the avoidance of doubt, the Outstanding Principal Balance of the Class A-2 Notes shall not be deemed reduced to zero under the Indenture prior to the Commitment
Termination Date when no outstanding principal amount then exists with respect thereto so long as any Class A-2 Commitments remain outstanding with respect thereto. 
 “Owner Trustee” means the Person acting, not in its individual capacity, but solely as Owner Trustee, under the Trust Agreement, its successors in interest and any successor owner trustee under the
Trust Agreement. 
 “Participated Loans” means the Loans in which the Issuer holds a Participation interest as of the Closing Date or the
related Cut-Off Date (if after the Closing Date), as the case may be. 
 “Participation” means an undivided 100% participation interest
granted by the Originator in and to the Participated Loans and all Related Property therefor. 
 “Paving Agent” shall have the meaning
provided in Section 3.03 of the Indenture and Section 3.09 of the Trust Agreement. 
 “Permitted Investments” means negotiable
instruments or securities or other investments (a) which, except in the case of demand or time deposits, investments in money market funds and Eligible Repurchase Obligations, are represented by instruments in bearer or registered form or
ownership of which is represented by book entries by a Clearing Agency or by a Federal Reserve Bank in favor of depository institutions eligible to have an account with such Federal Reserve Bank who hold such investments on behalf of their
customers, (b) that, as of any date of determination, mature by their terms on or prior to the Distribution Date immediately following such date of determination, and (c) that evidence: 
 (i) direct obligations of, and obligations fully guaranteed as to full and timely payment by, the United States (or by any agency thereof
to the extent such obligations are backed by the full faith and credit of the United States); 
  

 47 

 (ii) demand deposits, time deposits or certificates of deposit of depository institutions
or trust companies incorporated under the laws of the United States or any state thereof and subject to supervision and examination by federal or state banking or depository institution authorities; provided, however, that at the time of the
Issuer’s investment or contractual commitment to invest therein, the commercial paper, if any, and short-term unsecured debt obligations (other than such obligation whose rating is based on the credit of a Person other than such institution or
trust company) of such depository institution or trust company shall have a credit rating from each Rating Agency in the Highest Required Investment Category granted by such Rating Agency, which, in the case of Fitch, shall be “F1+”;

 (iii) commercial paper, or other short term obligations, having, at the time of the Issuer’s investment or contractual
commitment to invest therein, a rating in the Highest Required Investment Category granted by each Rating Agency, which, in the case of Fitch, shall be “F1+”; 
 (iv) demand deposits, time deposits or certificates of deposit that are fully insured by the FDIC and either have a rating on their
certificates of deposit or short-term deposits from Moody’s, S&P and Fitch of “P-l”,
“A-1+” and “F1+”, respectively; 
 (v) notes that are payable on demand or bankers’
acceptances issued by any depository institution or trust company referred to in clause (ii) above; 
 (vi)
investments in taxable money market funds or other regulated investment companies having, at the time of the Issuer’s investment or contractual commitment to invest therein, a rating of the Highest Required Investment Category from
Moody’s, S&P and Fitch or otherwise subject to satisfaction of the Rating Agency Condition; 
 (vii) time deposits
(having maturities of not more than 90 days) by an entity the commercial paper of which has, at the time of the Issuer’s investment or contractual commitment to invest therein, a rating of the Highest Required Investment Category granted by
each Rating Agency; 
 (viii) Eligible Repurchase Obligations with a rating acceptable to the Rating Agencies, which, in the
case of Fitch, shall be “F1+” and in the case of S&P shall be “A-l”; or 
 (ix) any negotiable
instruments or securities or other investments subject to satisfaction of the Rating Agency Condition. 
 Permitted Investments shall not include any
instrument, security or investment (1) which, if purchased at a price (excluding accrued interest) in excess of 100% of par, is subject to substantial non-credit risk as determined by the Servicer in its reasonable business judgment,
(2) the S&P rating of which includes a “p”, “pi”, “q”, “r” or “t” subscript, (3) subject to a tender offer or other offer to exchange such instruments, security or investment for cash
or another instrument, security or investment, (4) is an interest only security or mortgage backed security or 

  

 48 

 
(5) any security subject to withholding tax if owned by the Issuer (unless the issuer thereof is required to make “gross up” payments to the Issuer
covering the full amount of withholding tax). The Trustee may purchase or sell to itself or an Affiliate, as principal or agent, the Permitted Investments described above. 
 “Permitted Liens” means 
 (i) with respect to the interest of the
Originator, the Trust Depositor and the Issuer in the Loans included in the Collateral: (a) Liens in favor of the Trust Depositor created pursuant to the Loan Sale Agreement and transferred to the Issuer pursuant hereto, (b) Liens in favor
of the Issuer created pursuant to this Agreement, (c) Liens in favor of the Trustee created pursuant to the Indenture and/or this Agreement, and (d) Liens, if any, which have priority over first priority perfected security interests in the
Loans or any portion thereof under the UCC or any other Applicable Law; and 
 (ii) with respect to the interest of the
Originator, the Trust Depositor and the Issuer in the other Collateral (including any Related Property): (a) materialmen’s, warehousemen’s, mechanics’ and other Liens arising by operation of law in the ordinary course of business
for sums not due or sums that are being contested in good faith, (b) purchase money security interests in certain items of equipment, (c) Liens for state, municipal and other local taxes if such taxes shall not at the time be due and
payable or the validity or amount thereof is currently being contested by an appropriate Person in good faith by appropriate proceedings, (d) other customary Liens permitted with respect thereto consistent with the Credit and Collection Policy
or the Servicing Standard, (e) Liens in favor of the Trust Depositor created by the Originator and transferred by the Trust Depositor to the Issuer pursuant to this Agreement, (f) Liens in favor of the Issuer created pursuant to this
Agreement, (g) Liens in favor of the Trustee created pursuant to the Indenture and/or this Agreement, (h) Liens which have priority over first priority perfected security interests in the Collateral or any portion thereof under the UCC or
any other Applicable Law, and (i) with respect to Agented Loans and Third Party Agented Loans, Liens in favor of the lead agent, the collateral agent or the paying agent on behalf of all holders of indebtedness of such Obligor under the related
facility. 
 “Permitted PIK Loan” means a Loan that requires the Obligor to pay only a portion of the accrued and unpaid interest in cash on
a current basis, the remainder of which is deferred and paid later together with interest thereon as a lump sum and is treated as Interest Collections at the time it is received, and carries a current cash pay interest rate of not less than
2.5% per annum. 
 “Person” means any individual, corporation, estate, partnership, business or statutory trust, limited
liability company, sole proprietorship, joint venture, association, joint stock company, trust (including any beneficiary thereof), unincorporated organization or government or any agency or political subdivision thereof or other entity. 

“Portfolio Acquisition and Disposition Requirements” means, with respect to any acquisition (whether by purchase or substitution) or disposition of a
Loan, each of the following conditions: (a) such Loan, if being acquired by the Issuer, is an Eligible Loan; (b) such Loan is being 

  

 49 

 
acquired or disposed of in accordance with the terms and conditions set forth in this Agreement; (c) the acquisition or disposition of such Loan does
not result in a reduction or withdrawal of the then-current rating issued by any Rating Agency on any class of Notes then outstanding; and (d) such Loan is not being acquired or disposed of for the primary purpose of recognizing gains or
decreasing losses resulting from market value changes. 
 “Portfolio Criteria” means the criteria set forth below: 
 (a) the S&P CDO Monitor Test is satisfied; 
 (b) the Fitch Weighted Average Rating Factor is less than or equal to 30.0%; 
 (c) the Moody’s Weighted Average Rating Factor Test is satisfied; 
 (d) the Weighted Average Spread Test is satisfied; 
 (e) the Diversity Test is satisfied; 
 (f) the Weighted Average Life Test is satisfied; 
 (g) the Weighted Average Coupon equals or
exceeds 9.0%; 
 (h) the Moody’s Weighted Average Recovery Rate equals or exceeds 45.5% ; 
 (i) the S&P Weighted Average Recovery Rate equals or exceeds 55.0%; 
 (j) the Class A-2 Funding Test is satisfied; 
 (k) not more than 5% of the Expected Aggregate Outstanding Loan Balance may consist of Fixed Rate Loans; 
 (1) not more than 25% of the Expected Aggregate Outstanding Loan Balance may consist of Floating Prime Rate Loans; 
 (m) not more than 20% of the Expected Aggregate Outstanding Loan Balance may consist of Second Lien Loans and Subordinated Loans;

 (n) not more than 5% of the Expected Aggregate Outstanding Loan Balance may consist of Subordinated Loans; 
 (o) not more than 5% of the Expected Aggregate Outstanding Loan Balance may consist of Loans that pay interest less frequently than
quarterly; 
 (p) not more than 15% of the Expected Aggregate Outstanding Loan Balance may consist of Loans (other than
Charged-Off Loans) with a Moody’s Rating of “Caal” or lower and an S&P Rating of “CCC+” or lower or Loans that do not have either a rating or a rating estimate from each Rating Agency; 
  

 50 

 (q) not more than 10% of the Expected Aggregate Outstanding Loan Balance may consist of
Loans to Obligors organized under the laws of, or all or substantially all of the assets of which are located in, any country other than the United States; 
 (r) the sum of the Outstanding Loan Balances of Loans to Obligors organized under the laws of, or all or substantially all of the assets of which are located in, Group I Countries, Group II Countries or Group III
Countries may not exceed 5% of the Expected Aggregate Outstanding Loan Balance; 
 (s) not more than 2.5% of the Expected
Aggregate Outstanding Loan Balance may consist of Loans to a single Obligor organized under the laws of, or all or substantially all of the assets of which are located in, a Group II Country or a Group III Country; 
 (t) not more than 5% of the Expected Aggregate Outstanding Loan Balance may consist of Real Estate Loans and Structured Loans; 

(u) not more than 5% of the Expected Aggregate Outstanding Loan Balance may consist of Broadly Syndicated Loans; 
 (v) not more than 3% of the Expected Aggregate Outstanding Loan Balance may consist of Loans to a single Obligor; 
 (w) not more than 5% of the Expected Aggregate Outstanding Loan Balance may consist of Qualified Participated Loans; and 
 (x) not more than 7.5% of the Expected Aggregate Outstanding Loan Balance may consist of DIP Loans; provided that the aggregate
Outstanding Loan Balance of all DIP Loans of any single Obligor shall not exceed 2% of the Expected Aggregate Outstanding Loan Balance. 
 Compliance with the above criteria will be determined, in the case of a Measurement Date relating to any Additional Loan or Substitute Loan, after giving effect to the acquisition or substitution of all Additional Loans or Substitute Loans,
as applicable, on such date. 
 “Prepayments” means any and all (a) full prepayments, including prepayment premiums, on or with respect
to a Loan (including, with respect to any Loan and any Due Period, any Scheduled Payment, Finance Charge or portion thereof that is due in a subsequent Due Period that the Servicer has received and expressly permitted the related Obligor to make in
advance of its scheduled due date, and that will be applied to such Scheduled Payment on such due date), (b) Liquidation Proceeds, and (c) Insurance Proceeds. 
 “Principal and Interest Account” means the interest bearing trust account so designated and established and maintained pursuant to Section 7.03. 
 “Principal Collection Account” means a sub-account of the Principal and Interest Account established and maintained pursuant to
Section 7.03(a). 
  

 51 

 “Principal Collections” means amounts deposited into the Principal and Interest Account in respect of
payments received on or after the Closing Date in the case of the Initial Loans and the applicable Cut-Off Date in the case of any Additional Loans or Substitute Loans on account of principal on the Loans, including: 
 (a) the principal portion of: 
 (i) any Scheduled Payments and Prepayments; and 
 (ii) any amounts received (1) in
connection with the purchase or repurchase of any Loan and the amount of any adjustment for Substitute Loans and (2) as Scheduled Payment Advances that the Servicer determines to make; 
 (b) Curtailments and, during the Ramp-Up Period and the Reinvestment Period, Liquidation Proceeds other than Required Liquidation
Proceeds; 
 (c) all Sale Proceeds not attributable to accrued interest or Sale Premium; 
 (d) amounts previously deposited in accordance with the procedures for the substitution of Loans that have not been applied to purchase
one or more Substitute Loans within 90 days after their deposit into the Principal Collection Account; provided that prior to the expiration of 90 days from the date of their deposit in the Principal Collection Account, such amounts shall be
deemed not to constitute Principal Collections for purposes of the requirement that all Principal Collections then held in the Principal Collection Account be transferred to the Note Distribution Account on each Distribution Date; and 
 (e) all other amounts not specifically included in Interest Collections. 
 “Priority of Payments” means, collectively, the payments made on each Distribution Date in accordance with Section 7.05(a) and Section 7.05(b). 
 “Proceeds” means, with respect to any Collateral, whatever is receivable or received when such Collateral is sold, liquidated, foreclosed, exchanged, or
otherwise disposed of, whether such disposition is voluntary or involuntary, and includes all rights to payment with respect to any insurance relating to such Collateral. 
 “Proposed Portfolio” means the portfolio (measured by the outstanding principal balance and treating Revolving Loans and Delayed Draw Term Loans as fully funded) of (a) the Loans,
(b) Principal Collections held as cash and (c) Permitted Investments purchased with Principal Collections resulting from the repurchase, maturity or other disposition of Loan or a proposed acquisition of an Additional Loan or substitution
of a Substitute Loan, as the case may be. 
 “Pro Rata Distribution Date” means any Distribution Date other than a Sequential Distribution
Date. 
 “Purchase Agreement” means the Purchase Agreement, dated May 25, 2006 among the Initial Purchasers, the Trust Depositor, the
Issuer and NewStar, as such agreement may be amended, modified, waived, supplemented or restated from time to time. 
  

 52 

 “Qualified Institution” means (a) the corporate trust department of the Trustee or the corporate
trust department of Wachovia Bank, National Association, or (b) a depository institution organized under the laws of the United States or any one of the states thereof or the District of Columbia (or any domestic branch of a foreign bank),
(i)(A) that has either (1) a long-term unsecured debt rating acceptable to the Rating Agencies, which, in the case of S&P, shall be “AA-”, in the case of Fitch, shall be “AA-” and in the case of Moody’s, shall be
“Aa3” or (2) a short-term unsecured debt rating or certificate of deposit rating acceptable to the Rating Agencies, which, in the case of S&P, shall be “A-1+”, in the case of Fitch, shall be “F1+”,
and in the case of Moody’s, shall be “P-l”, (B) the parent corporation, if such parent corporation guarantees the obligations of the depository institution, of which has either (1) a long-term unsecured debt rating
acceptable to the Rating Agencies, which, in the case of S&P, shall be “AA-”, in the case of Fitch, shall be “AA-” and in the case of Moody’s, shall be “Aa3” or (2) a short-term unsecured debt rating or
certificate of deposit rating acceptable to the Rating Agencies, which, in the case of S&P, shall be “A-1+”, in the case of Fitch, shall be “F1+” and in the case of Moody’s, shall be “A-l”, or
(C) otherwise satisfies the Rating Agency Condition, and (ii) whose deposits are insured by the FDIC and satisfies the Rating Agency Condition. 
 “Qualified Participated Loan” means a Participated Loan (including any Participation in a Traditional Middle Market Loan, Large Middle Market Loan and Broadly Syndicated Loan) acquired from an institution that is rated at
least “A” by S&P and “A2” by Moody’s at the time of sale. 
 “Qualified Second Lien Loan” means any Second Lien
Loan: (a) which has a Loan-to-Value of not greater than 70%; (b) as to which the ratio, for the related Obligor, of (x) the sum of (i) the maximum availability (as provided in the applicable loan documentation) of such Loan as of
the date of its origination plus (ii) the maximum availability under all other indebtedness of the related Obligor which ranks either senior to, or pari passu with, such Loan to (y) such Obligor’s EBITDA (or similar term as
defined in the related Underlying Loan Agreements) for the twelve calendar months preceding such date shall not exceed (I) in the case of Obligors in the media and telecommunications industries, 6.5:1.0 and (II) in the case of all other
Obligors, 4.5:1.0; and (c) with respect to which the Underlying Loan Agreement (i) contains a limit on the amount of first-lien senior debt which may be incurred by the related Obligor, (ii) preserves enforcement rights (subject to a
standstill period as permitted by clause (iii)(x) below) for the second lien lender after a default under the related Underlying Loan Agreement, and (iii) contains either or both (x) a standstill period, if any, applicable to the
holders of such Second Lien Loan of not longer than 180 days following delivery of a notice of default under the loan agreement governing the senior indebtedness of such Obligor (provided that the second lien lender or agent may by prohibited
from exercising enforcement rights after such standstill period if the first lien lender or agent has exercised enforcement rights), and/or (y) provisions requiring the consent of the holders of such Second Lien Loan to release of all or
substantially all of the Related Property securing such Loan unless the majority of the proceeds of the disposition of such Related Property are used to repay the indebtedness which is senior to or pari passu with such Second Lien Loan, or to
repay such Second Lien Loan. 
 “Quarterly Report” has the meaning provided in Section 9.01. 
  

 53 

 “Ramp-Up Period” means the period commencing on the Closing Date and ending on the Effective Date.

 “Rating Agency” means each of S&P, Moody’s and Fitch, so long as such Persons maintain a rating on any of the Offered Notes; and
if any of S&P, Moody’s or Fitch no longer maintains a rating on any of the Offered Notes, such other nationally recognized statistical rating organization, if any, selected by the Trust Depositor. 
 “Rating Agency Condition” means, with respect to any action or series of related actions or proposed transaction or series of related proposed
transactions, that each applicable Rating Agency shall have notified the Trust Depositor, the Servicer, the Owner Trustee and the Trustee in writing that such action or series of related actions or the consummation of such proposed transaction or
series of related transactions will not result in a Ratings Effect. 
 “Rating Criteria” has the meaning provided in Section 1.1 of the
Indenture. 
 “Ratings Confirmation Failure” shall have the meaning provided in Section 2.06(h). 
 “Ratings Effect” means, with respect to any action or series of related actions or proposed transaction or series of related proposed transactions, a
reduction or withdrawal of the then-current rating issued by a Rating Agency with respect to any outstanding Class of Notes as a result of such action or series of related actions or the consummation of such proposed transaction or series of related
transactions. 
 “Real Estate Loan” means any Loan for which the underlying Related Property consists primarily of real property owned by
the Obligor and is evidenced by a Mortgage Note. 
 “Record Date” means, for book-entry Notes, the day that is 15 calendar days preceding
the applicable Distribution Date, the Repurchase Date or the Refinancing Date, as applicable, and for the definitive Notes, the last Business Day of the calendar month preceding the related Distribution Date, the Repurchase Date or the Refinancing
Date, as applicable. 
 “Records” means all Loan and other documents, books, records and other information (including without limitation,
computer programs, tapes, disks, data processing software and related property and rights) executed in connection with the origination or acquisition of the Loans or maintained with respect to the Loans and the related Obligors that the Originator
or the Servicer have generated, in which the Originator, the Trust Depositor, the Issuer, the Trustee or the Servicer have acquired an interest pursuant to the Transfer and Servicing Agreements or in which the Originator, the Trust Depositor, the
Issuer, the Trustee or the Servicer have otherwise obtained an interest to the extent transferable, and subject to any confidentiality and/or transferability restrictions. 
 “Recovery Rate Modifier” means an amount equal to, as of any date of determination, the product of (i) the excess, if any, of the Moody’s Weighted Average Recovery Rate as of such date of
determination over 45.5% times (ii) 5,500; provided that if the Moody’s Weighted Average Recovery Rate shall be (x) greater than or equal to 60%, then solely for the purposes of the calculation of the Recovery
Rate Modifier, the Moody’s Weighted Average Recovery Rate shall be deemed to be equal to 60% (or, such other value, with respect to which the Rating 

  

 54 

 
Agency Condition shall be satisfied), or (y) less than or equal to 45.5%, then solely for the purposes of the calculation of the Recovery Rate Modifier,
the Moody’s Weighted Average Recovery Rate shall be deemed to be equal to 45.5%. 
 “Reference Banks” means leading banks selected by
the Trustee and engaged in transactions in Eurodollar deposits in the international Eurocurrency market. 
 “Reference Date” means the day
of each month that is the fifth Business Day prior to a Distribution Date. 
 “Reference Spread” means, initially 3.80%, or such other
percentage set forth in the Collateral Quality Table under the heading “Weighted Average Spread” that has been most recently specified by the Servicer in a notice to the Trustee as the level that will apply for purposes of determining
compliance with the Weighted Average Spread Test, the Diversity Test and the Moody’s Weighted Average Rating Factor Test; provided that no such specification shall be effective unless, on the date of such notice and immediately after
giving effect to such specification, the Moody’s Weighted Average Rating of the Loans in the Collateral is equal to or less than, and the Diversity Score is equal to or greater than, the number specified in the applicable column in the
Collateral Quality Table opposite the specified Reference Spread. 
 “Refinancing” means a refinancing of the Offered Notes pursuant to
Section 10.04 of the Indenture. 
 “Refinancing Date” means the Distribution Date on or after the Distribution Date occurring in June,
2009 designated as such by the Issuer in connection with a Refinancing. 
 “Refinancing Price” means an amount equal to the sum of
(i) the then Outstanding Principal Balance of each Class of Offered Notes plus accrued and unpaid interest thereon to but excluding the Refinancing Date and all other amounts accrued and unpaid with respect thereto, plus (ii) with
respect to the Class A-2 Notes, any accrued and previously unpaid Class A-2 Breakage Costs, Class A-2 Increased Costs and Class A-2 Commitment Fee, plus (iii) all administrative and other fees, expenses, advances and
other amounts then accrued and payable or reimbursable in accordance with the Priority of Payments (excluding any amounts payable to the Class F Noteholder or to the Certificateholder). 
 “Registered” means, with respect to any debt obligation, a debt obligation that was issued after July 18, 1984 and that is in registered form for purposes of the Code. 
 “Reinvestment Period” means the period beginning on the Effective Date and terminating on the earlier to occur of (a) the Business Day preceding
the Distribution Date in June, 2011, (b) an Event of Default or, (c) the Distribution Date following the date on which the Servicer notifies the Trustee in writing that, in light of the composition of the Loans, general market conditions
and other factors, the Servicer (in its sole discretion) has determined that investments in Additional Loans within the foreseeable future would either be impractical or not beneficial; provided that, (i) if the Reinvestment Period
terminates as described in clause (a), the Reinvestment Period may not be extended without the consent of the Servicer and the Majority Noteholders and satisfaction of the Fitch Rating Condition and the S&P Rating Condition with respect
to the extension of the Reinvestment Period; and (ii) if the Reinvestment Period 

  

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terminates as a result of the occurrence of an Event of Default, the Reinvestment Period may not be reinstated unless (w) the event giving rise to such
termination has been cured or waived, (x) no other events that would terminate the Reinvestment Period have occurred, (y) the Servicer and the Majority Noteholders have consented to such reinstatement and (z) the Fitch Rating
Condition and the S&P Rating Condition have been satisfied with respect to the reinstatement of the Reinvestment Period. 
 “Related
Property” means, with respect to any Loan and as applicable in the context used, the interest of the Obligor, or the interest of the Originator, Trust Depositor or Issuer under the Loan, in any property or other assets designated and
pledged or mortgaged as collateral to secure repayment of such Loan (including, without limitation, Mortgaged Property and/or a pledge of the stock, membership or other ownership interests in the Obligor), including all Proceeds from any sale or
other disposition of such property or other assets. 
 “Released Mortgage Property Proceeds” means, as to any Loan secured by a Mortgaged
Property, the proceeds received by the Servicer in connection with (a) a taking of an entire Mortgaged Property by exercise of the power of eminent domain or condemnation or (b) any release of part of the Mortgaged Property from the Lien
of the related Mortgage, whether by partial condemnation, sale or otherwise, which is not released to the Obligor, the grantor or another creditor in accordance with the Applicable Law, the governing documents, the Credit and Collection Policy, the
Servicing Standard and this Agreement, net of costs with respect thereto. 
 “Repossessed Property” means items of Related Property taken in
the name of the Issuer as a result of legal action enforcing the Lien on the Related Property resulting from a default on the related Loan. 
 “Representative Amount” means an amount that is representative for a single transaction in the relevant market at the relevant time. 
 “Repurchase Date” means the Distribution Date designated as such by the Issuer in connection with an Optional Repurchase. 
 “Repurchase Price” means, in the case of a repurchase of the Notes pursuant to Section 10.01 of the Indenture, an amount equal to the sum of (i) the then Outstanding Principal Balance of each Class of Offered
Notes to be repurchased plus accrued and unpaid interest thereon to but excluding the Repurchase Date and all other amounts accrued and unpaid with respect thereto, plus (ii) any accrued and previously unpaid Class A-2 Breakage Costs,
Class A-2 Increased Costs and Class A-2 Commitment Fee, plus (iii) all administrative and other fees, expenses, advances and other amounts then accrued and payable or reimbursable in accordance with the Priority of Payments (including
fees and expenses, if any, incurred by the Trustee and the Servicer in connection with any sale of Loans in connection with a repurchase). 
 “Required Distributable Amount” means, for any Distribution Date, the sum of the Additional Principal Amount for such Distribution Date plus the Required Reserve Amount for such Distribution Date. 
 “Required Liquidation Proceeds” means, for any Distribution Date during the Ramp-Up Period and the Reinvestment Period, the lesser of (i) an amount
equal to the Required Distributable 

  

 56 

 
Amount for such Distribution Date minus the Interest Distributable Amount for such Distribution Date and (ii) the amount of Liquidation Proceeds, if
any, on deposit in the Principal Collection Account on the last day of the Due Period immediately preceding such Distribution Date, which Required Liquidation Proceeds shall be deemed to constitute Interest Collections for all purposes hereunder as
of the end of the Due Period immediately preceding such Distribution Date. 
 “Required Loan Documents” means, with respect to: 

(a) all Loans in the aggregate: 
 (i) a blanket assignment of all of the Originator’s and Trust Depositor’s right, title and interest in and to all Related Property securing the Loans at any time transferred to the Issuer, including without
limitation, all rights under applicable guarantees and Insurance Policies, such assignment shall be in the name of “U.S. Bank National Association, its successors and assigns, as Trustee under the Indenture, dated as of June 8, 2006
relating to NewStar Commercial Loan Trust 2006-1”; 
 (ii) irrevocable powers of attorney of the Originator, the Trust
Depositor and the Issuer to the Trustee to execute, deliver, file or record and otherwise deal with the Related Property for the Loans at any time transferred to the Issuer. The powers of attorney will be delegable by the Trustee to the Servicer and
any Successor Servicer and will permit the Trustee or its delegate to prepare, execute and file or record UCC financing statements and notices to insurers; 
 (iii) blanket UCC-1 financing statements identifying all Collateral for the Loans to be transferred to the Issuer and naming the Issuer and the Trustee, as assignee of the Issuer, as “Secured Party” and the
Trust Depositor as the “Debtor”; 
 (b) for each Loan: 
 (i) (x) other than in the case of a Noteless Loan or a Participated Loan, the original or, if accompanied by a “lost note”
affidavit and indemnity, a copy of, the Underlying Note, endorsed by the prior holder of record either in blank or to the Trustee (and evidencing an unbroken chain of endorsements from the prior holder thereof evidenced in the chain of endorsements
to the Trustee), with any endorsement to the Trustee to be in the following form: “U.S. Bank National Association, its successors and assigns, as Trustee under the Indenture, dated as of June 8, 2006, relating to NewStar Commercial Loan
Trust 2006-1”, and (y) in the case of a Noteless Loan or a Participated Loan, (A) a copy of each transfer document or instrument relating to such Noteless Loan or a Participated Loan evidencing the assignment of such Noteless Loan or
Participated Loan to the Originator, from the Originator to the Trust Depositor and from the Trust Depositor either to the Trustee or in blank, and (B) a copy of the related credit agreement, note purchase agreement or sale and servicing
agreement (or equivalent agreement), as applicable, together with, to the extent in the possession of the Originator or reasonably available to the Originator, copies of all 

  

 57 

 
other documents and instruments described in clauses (b)(ii), (iii) and (iv) hereof with respect to such Noteless Loan or Participated Loan;

 (ii) other than in the case of a Noteless Loan, originals or copies of each of the following, to the extent applicable to
the related Loan: any related loan agreement, credit agreement, note purchase agreement, security agreement (if separate from any Mortgage), Mortgage, sale and servicing agreement, acquisition agreement, subordination agreement, intercreditor
agreement or similar instruments, guarantee, Insurance Policy, assumption or substitution agreement or similar material operative document, in each case together with any amendment or modification thereto, as set forth on the Loan Checklist;

 (iii) other than in the case of a Noteless Loan or a Participated Loan, if any Loan (other than an Agented Loan or a Third
Party Agented Loan) is secured by a Mortgage: 
 (x) either (A) the original Mortgage, the original Assignment of Leases
and Rents, if any, and the originals of all intervening assignments, if any, of the Mortgage and Assignments of Leases and Rents with evidence of recording thereon, (B) copies thereof certified by the Servicer by closing counsel or by a title
company or escrow company to be true and complete copies thereof where the originals have been transmitted for recording until such time as the originals are returned by the public recording office or (C) copies certified by the public
recording offices where such documents were recorded to be true and complete copies thereof in those instances where the public recording offices retain the original or where the original recorded documents are lost; and 
 (y) an Assignment of Mortgage and of any other material recorded security documents (including any Assignment of Leases and Rents) in
recordable form, executed by the prior holder of record, in blank or to the Trustee (and evidencing an unbroken chain of assignments from the prior holder of record to the Trustee), with any assignment to the Trustee to be in the following form:
“U.S. Bank National Association, its successors and assigns, as Trustee under the Indenture, dated as of June 8, 2006, relating to NewStar Commercial Loan Trust 2006-1”; 
 (iv) other than in the case of a Noteless Loan, a Participated Loan, a Third Party Agented Loan or a Subordinated Loan, either
(x) copies of the UCC-1 financing statements, if any, and any related continuation statements, showing the Obligor, as debtor and the Originator as secured party or (y) copies of any such financing statements certified by the Servicer to
be true and complete copies thereof in instances where the original financing statements have been sent to the appropriate public filing office for filing; and 
 (v) a copy of the related Loan Checklist. 
 “Required Reserve Amount” means, with respect to each Distribution Date, an amount equal to the Outstanding Loan Balance of each Delinquent Loan. 
  

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 “Reserve Fund” means the interest bearing trust account so designated and established and maintained
pursuant to Section 7.01. 
 “Responsible Officer” means, when used with respect to (a) the Owner Trustee or the Trustee,
any officer assigned to the Corporate Trust Office (and, with respect to the Trustee, the CDO Group), including any Chief Executive Officer, President, Executive Vice President, Vice President, Assistant Vice President, Secretary, any Assistant
Secretary, any trust officer or any other officer of the Owner Trustee or the Trustee 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 such matter is referred because of such officer’s knowledge of and familiarity with the particular subject and (b) the Trust Depositor, the Issuer, the Originator or the Servicer, the Chief Executive Officer, Chief
Investment Officer, Chief Financial Officer or any Managing Director thereof who is also a Servicing Officer of such Person or of the designated manager of such Person, as applicable. 
 “Revolving Loan” means a Loan that is a line of credit arising from an extension of credit by the Originator to or on behalf of an Obligor with a commitment that is fixed pursuant to the terms of the
related Required Loan Documents. 
 “S&P” means Standard and Poor’s Ratings Services, a division of The McGraw-Hill Companies, Inc.
and any successor thereto. 
 “S&P CDO Monitor” means the dynamic, analytical computer program provided by S&P to the Servicer and
the Trustee within 30 days after the Closing Date for the purpose of estimating the default risk of Loans. 
 “S&P CDO Monitor Test”
means the test that will be satisfied on any Measurement Date if after giving effect to the substitution of a Substitute Loan, the acquisition of an Additional Loan or the sale of a Loan (or any combination of the foregoing), as the case may be, on
such Measurement Date the Notes Loss Differential of the Proposed Portfolio is positive, or if the Notes Loss Differential of the Proposed Portfolio is negative prior to giving effect to such substitution, acquisition or sale, as the case may be,
the extent of compliance is improved after giving effect to the substitution of a Substitute Loan or the acquisition of an Additional Loan, as applicable. The S&P CDO Monitor Test will be considered improved if the Notes Loss Differential of the
Proposed Portfolio is greater than the corresponding Notes Loss Differential of the Current Portfolio. In the event such test is updated or otherwise modified by S&P after the Closing Date, the “S&P CDO Monitor Test” shall mean
such test as so updated or otherwise modified. 
 “S&P Priority Category Recovery Rate” means, with respect to any Loan, unless
otherwise specified by S&P, the percentage specified in the table below: 
  

							
	 	 	 S&P Priority Category
	  	Recovery Rate	 	 
		 	 First Lien Loan
	  	57.5%	 	
				
		 	 Qualified Second Lien Loan
	  	47%	 	

  

 59 

			
	 S&P Priority Category
	  	Recovery Rate
	 Second Lien Loans, up to an aggregate of
 Outstanding Loan Balances of Second Lien
 Loans of less than or equal to 15% of the
 Expected Aggregate Outstanding Loan Balance
	  	38%
		
	 Second Lien Loans, representing the
 aggregate of Outstanding Loan Balances of
 Second Lien Loans in excess of 15% of the
 Expected Aggregate Outstanding Loan Balance
	  	21%
		
	 Subordinated Loan
	  	23%
		
	 Real Estate Loan (whole loan)
	  	50%
		
	 Real Estate Loan (senior B-note loan)
	  	35%
		
	 Real Estate Loan (subordinated B-note loan)
	  	30%
		
	 Structured Loan
	  	as assigned by S&P

 “S&P Rating” means, with respect to any Loan, for determining the S&P Rating as of any
Measurement Date: 
 (i) if there is an issuer credit rating of the Obligor of such Loan, or the guarantor who unconditionally
and irrevocably guarantees such Loan, then the S&P Rating shall be such rating (regardless of whether there is a published rating by S&P on such Loan in the Collateral); 
 (ii) if there is no issuer credit rating of the Obligor and no other security or obligation of the Obligor is rated by S&P, then the
Issuer may apply to S&P for a corporate credit estimate after the acquisition of such Loan, which shall be its S&P Rating; provided that pending receipt from S&P of such estimate, such Loan shall have a S&P Rating of
“CCC” if the Servicer reasonably believes such rating would be at least “CCC”; 
 (iii) if there is no
issuer credit rating of the Obligor and such Loan is not rated by S&P, but another security or obligation of the Obligor is rated by S&P and the Issuer does not obtain a S&P Rating for such Loan pursuant to clause (ii) above,
then the S&P Rating of such Loan shall be the issuer credit rating or shall be determined as follows: (A) if there is a rating on a senior secured obligation of the Obligor, then the S&P Rating of such Loan shall be one rating
subcategory below such rating; (B) if there is a rating on a senior unsecured obligation of the Obligor, then the S&P Rating of such Loan shall equal such rating; and (C) if there is a rating on a 

  

 60 

 
subordinated obligation of the Obligor, then the S&P Rating of such Loan shall be one rating subcategory above such rating; 
 (iv) if there is no issuer credit rating of the Obligor published by S&P and such Loan is not rated by S&P and no other security
or obligation of the Obligor is rated by S&P and the Issuer does not obtain a S&P Rating for such Loan pursuant to clause (ii) above, then the S&P Rating of such Loan shall be determined as follows: If such Loan has a public
rating by Moody’s or Fitch, then the S&P Rating of such Loan shall be (A) one rating subcategory below the S&P equivalent of the rating assigned by (x) Moody’s if such Loan is rated “Baa3” or higher by
Moody’s or (y) Fitch if such Loan is rated “BBB-” or higher by Fitch, and (B) two rating subcategories below the S&P equivalent of the rating assigned by (x) Moody’s if such Loan is rated “Bal” or
lower by Moody’s or (y) Fitch if such Loan is rated “BB+” or lower by Fitch; provided that not more than 10% (or such higher percentage as S&P may specify in writing to the Issuer and the Trustee from time to
time) of the Expected Aggregate Outstanding Loan Balance may be deemed to have a S&P Rating based on a rating assigned by Moody’s or Fitch as provided in this clause; and 
 (v) if (A) the S&P Rating previously provided for a Loan expires 13 months after issuance without such S&P Rating being
renewed, (B) the Servicer fails to provide S&P with requested materials in connection with obtaining an S&P Rating for a Loan, (C) the Servicer fails to provide financial statements with respect to any Obligor every 13 months from
the date the applicable Loan is included in the Collateral, until such Loan is paid in full or (D) no other rating for such Loan applies by operation of clauses (i)-(iv) above, the applicable Loan will be deemed to have an S&P
Rating of “CCC—” (unless otherwise determined by S&P in its sole discretion). 
 “S&P Rating Condition” means, with
respect to any action or series of related actions or proposed transaction or series of proposed transactions, that S&P shall have notified the Trust Depositor, the Servicer, the Owner Trustee and the Trustee in writing that such action or
series of related actions or the consummation of such proposed transaction or series of related transactions will not result in a reduction or withdrawal of the then-current rating issued by S&P with respect to any outstanding class of Notes as
a result of such action or series of related actions or the consummation of such proposed transaction or series of related transactions. 
 “S&P
Weighted Average Recovery Rate” means, as of any Measurement Date, the percentage (rounded up to the first decimal place) obtained by dividing (a) the sum of the products obtained by multiplying the Outstanding Loan Balance of each
Loan by its S&P Priority Category Recovery Rate, by (b) the aggregate Outstanding Loan Balance of all Loans owned by the Issuer as of such date. 
 “SAIF” means the Savings Association Insurance Fund, or any successor thereto. 
 “Sale Premium” means, with
respect to any Loan sold pursuant to the this Agreement, the excess, if any, of the applicable Sale Proceeds (exclusive of accrued interest and of any amounts reimbursable to the Servicer therefrom pursuant to Section 7.03(h)) over the
Outstanding Loan Balance of such Loan at the time of sale. 
  

 61 

 “Sale Proceeds” means all proceeds received as a result of sales of Loans (other than Charged-Off Loans)
pursuant to this Agreement, net of any sales, brokerage and related administrative or sales expenses of the Servicer or the Trustee in connection with any such sale. 
 “Scheduled Payment” means, with respect to any Loan, each payment of principal and/or interest scheduled to be made by the related Obligor under the terms of such Loan after (a) in the case of
the Initial Loans, the Closing Date or (b) in the case of Additional Loans or Substitute Loans, the related Cut-Off Date, as adjusted pursuant to the terms of the related Underlying Note and/or Required Loan Documents. 
 “Scheduled Payment Advance” means, with respect to any Distribution Date, the amounts, if any, deposited by the Servicer in the Principal and Interest
Account for such Distribution Date in respect of Scheduled Payments (or portions thereof) pursuant to Section 5.09. 
 “Second Lien
Loan”: means a Loan (or portion thereof) that (i) is not (and by its terms is not permitted to become) subordinate in right of payment to any other debt for borrowed money incurred by the Obligor under the Loan, other than a First Lien
Loan, and (ii) is secured by a valid and perfected security interest or lien on specified collateral securing the Obligor’s obligations under such Loan, which security interest or lien is not by its terms subordinate to the security
interest or lien securing any other debt for borrowed money other than a First Lien Loan on such specified collateral; provided, however, that with respect to clauses (i) and (ii) above, such right of payment, security
interest or lien may be subordinate to customary permitted liens, such as, but not limited to, tax liens. 
 “Securities” means the Notes
and the Certificate, or any of them. 
 “Securities Act” means the Securities Act of 1933, as amended. 
 “Securityholders” means, collectively, the Holders of the Notes and the Certificateholder. 
 “Senior Servicing Fee” shall have the meaning provided in Section 5.11. 
 “Sequential Distribution Date” means any Distribution Date (a) following the occurrence of a Servicer Default, an Event of Default, a Downgrade Event, the existence of any Class E Accrued
Payable, the Sequential Pool Condition, or a Ratings Confirmation Failure, (b) on which the Interest Distributable Test is not satisfied, or (c) on which the CCC Excess Condition is satisfied; provided that in the case of a
Sequential Distribution Date arising due to a Ratings Confirmation Failure, only the first Distribution Date following such Ratings Confirmation Failure and each subsequent Distribution Date prior to the earlier of (i) the date on which the
Effective Date Ratings Confirmation is delivered and (ii) the date on which the Outstanding Principal Balance of each Class of Offered Notes has been reduced to zero shall be a Sequential Distribution Date. 
 “Sequential Pool Condition” means a condition that will be satisfied following the Reinvestment Period, as of the first Distribution Date on or after
the date on which the Aggregate Outstanding Loan Balance is less than 45% of the Expected Aggregate Outstanding Loan Balance. 
 “Servicer”
means initially NewStar, or its successors in interest, until any Servicer Transfer hereunder or the resignation or permitted assignment by the Servicer and, thereafter, means the 

  

 62 

 
Successor Servicer appointed pursuant to Article VIII with respect to the duties and obligations required of the Servicer under this Agreement.

 “Servicer Default” shall have the meaning specified in Section 8.01. 
 “Servicer Employees” shall have the meaning specified in Section 5.04. 
 “Servicer Transfer” shall have the meaning specified in Section 8.02(b). 
 “Servicing
Advances” means, all reasonable and customary “out-of-pocket” costs and expenses incurred in the performance by the Servicer of its servicing obligations, including, but not limited to, the cost of (a) the preservation,
restoration and protection of the Related Property, (b) any enforcement or judicial proceedings, including foreclosures, (c) the management and liquidation of the Foreclosed Property or Repossessed Property, (d) compliance with its
obligations under this Agreement and the other Transaction Documents, and (e) services rendered in connection with the liquidation of a Loan (other than Liquidation Expenses), for all of which costs and expenses the Servicer is entitled to
reimbursement with interest thereon as provided in this Agreement. 
 “Servicing Fee” shall have the meaning provided in
Section 5.11. 
 “Servicing File” means, for each Loan, the following documents or instruments: 
 (a) copies of each of the Required Loan Documents; 
 (b) with respect to any Real Estate Loan: 
 (i) the originals or copies of any environmental indemnity agreement; 
 (ii) the Appraisal or
Appraisals relating to the related Mortgaged Property; 
 (iii) any Environmental Site Assessment in the possession of the
Servicer relating to the related Mortgaged Property; 
 (c) any other portion of the Loan File which is not part of the
Required Loan Documents. 
 “Servicing Officer” means any officer of the Servicer involved in, or responsible for, the administration and
servicing of Loans whose name appears on a list of servicing officers appearing in an Officer’s Certificate furnished to the Trustee by the Servicer, as the same may be amended from time to time. 
 “Servicing Standard” means, with respect to any Loans included in the Collateral, to service and administer such Loans in accordance with the Underlying
Loan Agreements and all customary and usual servicing practices (A) which are consistent with the higher of: (x) the customary and usual servicing practices that a prudent loan investor or lender would use in servicing loans like the Loans
for its own account, and (y) the same care, skill, prudence and diligence with which the Servicer services and administers loans for its own account or for the account of others; (B) 

  

 63 

 
with a view to maximize the value of the Loans; and (C) without regard to: (1) any relationship that the Servicer or any Affiliate of the Servicer
may have with any Obligor or any Affiliate of any Obligor, (2) the Servicer’s obligations to incur servicing and administrative expenses with respect to a Loan, (3) the Servicer’s right to receive compensation for its services
hereunder or with respect to any particular transaction, (4) the ownership by the Servicer or any Affiliate of any Loans, (5) the ownership, servicing or management for others by the Servicer of any other Loans or property by the Servicer
or (6) any relationship that the Servicer or any Affiliate of the Servicer may have with any holder of mezzanine loans of the Obligor with respect to such Loans. 
 “Servicing Transfer Costs” means, costs and expenses, if any, incurred by the Trustee, or by the Back-up Servicer, or by the Successor Servicer for costs and expenses associated with the transfer of
servicing to the Successor Servicer, which shall not exceed $100,000 in the aggregate for any given servicing transfer. 
 “Solvent” means,
as to any Person at any time, that (a) the fair value of the property of such Person is greater than the amount of such Person’s liabilities (including disputed, contingent and unliquidated liabilities) as such value is established and
liabilities evaluated for purposes of Section 101(32) of the Bankruptcy Code; (b) such Person is able to realize upon its property and pay its debts and other liabilities (including disputed, contingent and unliquidated liabilities) as
they mature in the normal course of business; (c) such Person does not intend to, and does not believe that it will, incur debts or liabilities beyond such Person’s ability to pay as such debts and liabilities mature; and (d) such
Person is not engaged in business or a transaction, and is not about to engage in a business or a transaction, for which such Person’s property would constitute unreasonably small capital. 
 “SPE Obligor” means an Obligor that is organized as a special purpose entity and is not an operating company. 
 “Special Redemption” means, with respect to any Distribution Date during the Reinvestment Period, the payment of the Special Redemption Amount by the
Issuer following written notice delivered by the Servicer to the Trustee on or before the related Reference Date that: 
 (a)
(i) any Principal Collections have remained on deposit in the Principal Collections Account for at least 90 days from the date of their deposit to that account, and (ii) the Servicer has elected not to apply those amounts to the
Class A-2 Funding Account or to reduce the Outstanding Principal Balance of the Class A-2 Notes; and 
 (b) the
amounts described in the preceding clause (a) equal or exceed $1,000,000 in the aggregate. 
 “Special Redemption Amount” means
those amounts to be distributed pursuant to a Special Redemption and in accordance with the priority of payments set forth in Section 7.05 (b)(I). 
  

 64 

 “Specified Amendment” means, with respect to any Loan, any waiver, modification, amendment or variance
of such Loan which does not constitute a Material Modification of the type specified in clause (ii) of the definition thereof and which effects any term of such Loan in a manner that would: 
 (a) modify the amortization schedule with respect to such Loan in a manner that (i) reduces the dollar amount of any Scheduled
Payment by more than 20%, (ii) postpones any Scheduled Payment by more than two payment periods or (iii) causes the weighted average life of the applicable Loan to increase by more than 10%; or 
 (b) reduce or increase the cash interest rate payable by the Obligor thereunder by more than 100 basis points (excluding any increase in
an interest rate arising by operation of a default or penalty interest clause under a Loan or as a result of an increase in the interest rate index for any reason other than such amendment, waiver or modification); or 
 (c) extend the stated maturity date of such Loan by more than 24 months; provided that any such extension shall be deemed not to
have been made until the business day following the original stated maturity date of such Loan; provided, further, that such extension shall not cause the weighted average life of such Loan to increase by more than 10%; or 
 (d) release any party from its obligations under such Loan, if such release would have a material adverse effect on the Loan; or

 (e) reduce the principal amount thereof. 
 “Stated Maturity” means March 30, 2022. 
 “Statutory Trust Statute” means Chapter 38
of Title 12 of the Delaware Code, 12 Del. C. §§ 3801 et seq., as the same may be amended from time to time. 
 “Structured
Loan” means a Loan (which may be documented in legal form consistent with either a loan or a security) which arises from an extension of credit to an Obligor (including SPE Obligors), in connection with which the cash flows, priority of
payment provisions, determinations of credit enhancement levels, performance triggers and legal opinions are consistent with those for issuances of asset backed loans or asset backed securities, as applicable, involving similar underlying pools of
assets with similar characteristics as the specified pool of assets collateralizing such Structured Loan. 
 “Subordinated Loan” means any
Loan which is by its terms (or is expressly permitted by its terms to become) subordinate in right of payment to any First Lien Loan or Second Lien Loan (including any Qualified Second Lien Loan) or other senior obligation of the Obligor of such
Loan. 
 “Subordinated Servicing Fee” shall have the meaning provided in Section 5.11. 
 “Subsequent List of Loans” means a list, in the form of the initial List of Loans delivered on the Closing Date, but listing each Additional Loan or
Substitute Loan, as the case may be, transferred to the Issuer pursuant to the related Subsequent Transfer Agreement. 
 “Subsequent Transfer
Agreement” means, with respect to any Additional Loans or Substitute Loans, the agreement between the Originator, the Servicer, the Issuer, the Trust Depositor, the Trustee and the Backup Servicer pursuant to which the Originator will
transfer the Additional Loans or Substitute Loans, as applicable, to the Trust Depositor, and the Trust Depositor will 

  

 65 

 
transfer such Additional Loans or Substitute Loans to the Issuer, the form of which is attached to hereto as Exhibit I. 
 “Subservicer” means any direct or indirect wholly owned subsidiary of NewStar that NewStar has identified as a subservicer or additional collateral
agent or any other Person with whom the Servicer has entered into a Subservicing Agreement and who satisfies the requirements set forth in Section 5.02(a) of this Agreement in respect of the qualification of a Subservicer. 
 “Subservicing Agreement” means any agreement between the Servicer and any Subservicer relating to subservicing and/or administration of certain Loans as
provided in this Agreement, a copy of which shall be delivered, along with any modifications thereto, to the Trustee. 
 “Substitute Loan”
means one or more Eligible Loans transferred by the Originator to the Trust Depositor and by the Trust Depositor to the Issuer under and in accordance with Section 2.04 and identified in the related Addition Notice. 
 “Substitute Loan Assets” means any assets acquired by the Issuer in connection with a substitution of one or more Substitute Loans pursuant to
Section 2.04, which assets shall include the Trust Depositor’s right, title and interest in the following: 
 (i) the Substitute Loans listed in the related Subsequent Transfer Agreement, all payments paid in respect thereof and all monies due, to become due or paid in respect thereof accruing on and after the applicable Cut-Off Date and all
Liquidation Proceeds and recoveries thereon, in each case as they arise after the applicable Cut-Off Date; 
 (ii) all
security interests and Liens and Related Property subject thereto from time to time purporting to secure payment by Obligors under such Loans; 
 (iii) all guaranties, indemnities and warranties, and other agreements or arrangements of whatever character from time to time supporting or securing payment of such Loans; 
 (iv) all collections and records (including Computer Records) with respect to the foregoing; 
 (v) all documents relating to the applicable Loan Files; and 
 (vi) all income, payments, proceeds and other benefits of any and all of the foregoing, including but not limited to, all accounts, cash
and currency, chattel paper, electronic chattel paper, tangible chattel paper, copyrights, copyright licenses, equipment, fixtures, general intangibles, instruments, commercial tort claims, deposit accounts, inventory, investment property, letter of
credit rights, software, supporting obligations, accessions, and other property consisting of, arising out of, or related to the foregoing, but excluding any Excluded Amount with respect thereto. 
  

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 “Substitute Loan Qualification Conditions” means, with respect to any Substitute Loans being transferred
to the Issuer pursuant to Section 2.04, the accuracy of each of the following statements as of the related Cut-Off Date for each such Loan: 
 (a) the Outstanding Loan Balance of such Substitute Loan or, if more than one Substitute Loan will be added in replacement of a Loan to be reassigned by the Issuer to the Trust Depositor, the sum of the Outstanding
Loan Balances of such Substitute Loans, is not less than that of the Loan identified on the related Addition Notice as the Loan to be reassigned by the Issuer to the Trust Depositor and reconveyed to the Originator in exchange for such Substitute
Loan or Loans; 
 (b) no selection procedures believed by the Originator or the Trust Depositor to be adverse shall have been
employed in the selection of such Loan being substituted from the Originator’s portfolio; and 
 (c) all actions or
additional actions (if any) necessary to perfect the security interest and assignment of such Substitute Loan and Related Property to the Trust Depositor, the Issuer, and the Trustee shall have been taken as of or prior to the related Cut-Off Date.

 “Substitution Event” shall have occurred if a Loan then held by the Issuer and identified in the related Addition Notice is one of
(a) a Charged-Off Loan, (b) a Loan that has a covenant default, (c) a Delinquent Loan, (d) a Loan that becomes subject to a Material Modification, (e) a Loan that becomes subject to a Specified Amendment or (f) the
subject of a breach of a representation or warranty under this Agreement or other provision, which breach or other provision, in the absence of a substitution of a Substitute Loan for such Loan pursuant to Section 2.04, would require the
payment of a Transfer Deposit Amount to the Issuer in respect of such Loan pursuant to Section 11.01; provided that the occurrence of a Substitution Event with respect to a Loan shall be subject to the limits set forth in
Section 2.09; and provided further that in the case of clause (f) above, the Trust Depositor and Originator will be required to repurchase such Loan (or, at their option, substitute for such Loan). 
 “Substitution Period” shall have the meaning provided in Section 2.04(a)(ii)(3). 
 “Successor Backup Servicer” shall have the meaning provided in Section 8.10(a). 
 “Successor Servicer” shall have the meaning provided in Section 8.02(b). 
 “Tape” shall have the meaning provided in Section 5.15(b)(ii). 
 “Telerate Page
3750” means the display page currently so designated on the Moneyline Telerate Service or such other page as may be nominated as the information vendor (or such other page as may replace that page on that service for the purpose of
displaying comparable rates or prices). 
 “Termination Notice” shall have the meaning provided in Section 8.02(a). 

“Term Loan” means a loan that is a closed-end extension of credit by the Originator to an Obligor which may be fully funded or partially funded at
the closing thereof, and which provides for full amortization of the principal thereof prior to or upon maturity. 
  

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 “Third Party Agented Loan” means, with respect to any Loan, (a) the Loan is originated by a Person
other than the Originator as part of a syndicated loan transaction which has been fully consummated prior to such Loan becoming part of the Collateral, (b) upon the sale of the Loan under the Transfer and Servicing Agreements to the Issuer, the
Required Loan Documents shall have been delivered to the Trustee, (c) the Issuer, as assignee of the Loan, has all of the rights and obligations of the Originator which have been transferred by the Originator with respect to such Loan and the
Originator’s right, title and interest in and to the Related Property, (d) the Loan is secured by an undivided interest in the Related Property that also secures and is shared by, on a pro rata basis, all other holders of such
Obligor’s indebtedness of equal priority issued in such syndicated loan transaction, and (e) the third party Loan originator (or an affiliate thereof) is the lead agent, collateral agent and paying agent for all lenders in such syndicated
loan transaction and receives payment directly from the Obligor thereof on behalf of such lenders. 
 “Three Month Index Maturity” shall
have the meaning provided in Section 7.06. 
 “Three Month LIBOR” means LIBOR for the Three Month Index Maturity. 
 “Traditional Middle Market Loan” means any Loan issued as part of a loan facility with an original loan size (including any first and second lien loans
included in the facility) of $125,000,000 or less, including for purposes of this definition the maximum available amount of commitments under any Revolving Loans and Delayed Draw Term Loans. 
 “Transaction Account Property” means the Transaction Accounts, all amounts and investments held from time to time in any Transaction Account (whether in
the form of deposit accounts, physical property, book-entry securities, uncertificated securities or otherwise), and all proceeds of the foregoing. 
 “Transaction Accounts” means, collectively, the Principal and Interest Account (including the Principal Collection Account and Interest Collection Account), the Reserve Fund, the Note Distribution Account, the
Class A-2 Funding Account and the Certificate Account, or any of them. 
 “Transaction Documents” means this Agreement, the Indenture,
the Trust Agreement, the Loan Sale Agreement, the Purchase Agreement, any Subsequent Transfer Agreement, the Joinder Agreement, the Notes, the Certificate, any fee letters, any UCC financing statements filed pursuant to the terms of the Transaction
Documents, and any additional document the execution of which is necessary or incidental to carrying out the terms of, or which is identified as a “Transaction Document” in, the foregoing documents, all as such documents are amended,
modified, restated, replaced, waived, substituted, supplemented or extended from time to time. 
 “Transfer and Servicing Agreements” means
collectively this Agreement and the Loan Sale Agreement. 
 “Transfer Deposit Amount” means, on any date of determination with respect to
any Loan, an amount equal to the sum of the Outstanding Loan Balance of such Loan, together with accrued interest thereon through such date of determination at the Loan Rate provided for thereunder, and any outstanding Scheduled Payment Advances and
Servicing Advances thereon that have not been waived by the Servicer entitled thereto. 
  

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 “Trust Agreement” means the Amended and Restated Trust Agreement, dated on or about June 8, 2006,
between the Trust Depositor and the Owner Trustee, as such agreement may be amended, modified, waived, supplemented or restated from time to time. 
 “Trust Depositor” shall have the meaning provided in the Preamble. 
 “Trust Estate” shall have the meaning
provided in the Trust Agreement. 
 “Trustee” means the Person acting as Trustee under the Indenture, its successors in interest and any
successor trustee under the Indenture. 
 “Trustee Fee” shall have the meaning provided in the fee letter, dated as of the date hereof,
between the Issuer and the Trustee. 
 “Trustees” means the Owner Trustee and the Trustee, or any of them individually as the context may
require. 
 “UCC” means the Uniform Commercial Code, as amended from time to time, as in effect in any specified jurisdiction. 

“Underlying LIBOR Rate” means, with respect to any Loan, “LIBOR” (or similar definition) as determined in accordance with the Underlying
Loan Agreement related to such Loan. 
 “Underlying Loan Agreement” means each single lender or multi-lender commercial loan or credit
agreements or other debt agreements or instruments customary for the applicable type of Loan originated or acquired by NewStar. 
 “Underlying
Note” means the one or more promissory notes executed by an Obligor evidencing a Loan. 
 “Underlying Prime Rate” means, with
respect to any Loan, the “prime rate” or “base rate” as determined in accordance with the Underlying Loan Agreement related to such Loan. 
 “United States” means the United States of America. 
 “USD-LIBOR-Reference Banks” shall have the meaning provided
in Section 7.06(a). 
 “Valuation” means, with respect to any Loan, a valuation of the fair market value of such Loan
established by reference to (i) a third-party pricing service such as LoanX or LPC or other service selected by the Servicer in accordance with the Servicing Standard; provided that if a fair market value is available from more than one
pricing service the highest such value so obtained shall be used, or (ii) if data for such Loan is not available from such a pricing service, an analysis performed by an Approved Valuation Firm to establish a fair market value of such Loan
which reflects the price that would be paid by a willing buyer to a willing seller of such Loan in an expedited sale on an arm’s-length basis. 
  

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 “Warehouse Facilities” means initially, the Funding I Transaction, the Citigroup Warehouse Transaction,
the IXIS Warehouse Transaction and any similar collateralized financing facility the Originator and the Servicer may enter into after the Closing Date. 
 “Weighted Average Coupon” means, as of any Measurement Date, a fraction (expressed as a percentage and rounded up to the next 0.001%), (a) the numerator of which is the sum of the products determined by multiplying the
Outstanding Loan Balance of each Fixed Rate Loan (excluding Charged-Off Loans and Delinquent Loans) in the Collateral as of such Measurement Date by the current Loan Rate on such Loan, and (b) the denominator of which is the sum of the
Outstanding Loan Balances of all Fixed Rate Loans (excluding Charged-Off Loans and Delinquent Loans) in the Collateral as of such Measurement Date; provided that for purposes of this definition: (1) no contingent payment of interest will
be included in such calculation; (2) any stated coupon shall exclude any portion of the interest that is currently being deferred in violation of the terms of the related Underlying Loan Documents; and (3) Loans that are Charged-Off Loans
and Delinquent Loans will be included in the calculations described herein if, as of such Measurement Date, such Loans are paying in full current interest pursuant to the terms of their respective Underlying Note or, if a Noteless Loan, pursuant to
the terms of the related Underlying Loan Agreement. 
 “Weighted Average Life” means, as of any Measurement Date, the number obtained by
dividing (a) the sum of the products obtained by multiplying (i) the Average Life at such time of each Loan (excluding Charged-Off Loans) by (ii) the Outstanding Loan Balance of such Loan (plus the Exposure Amount, if any, in respect
of any Revolving Loan or Delayed Draw Term Loan) by (b) the Aggregate Outstanding Loan Balance (excluding Charged-Off Loans) as of such date. 
 “Weighted Average Life Test” means a test that will (a) be satisfied as of any Measurement Date during the Ramp-Up Period and the Reinvestment Period if the Weighted Average Life is less than the Maximum Weighted
Average Life, and (b) will be deemed satisfied at all times after the Reinvestment Period. 
 “Weighted Average Spread” means, as of
any Measurement Date, a fraction (expressed as a percentage and rounded up to the next 0.001%), (a) the numerator of which is the sum of the products determined by multiplying the Outstanding Loan Balance of each Floating Rate Loan (excluding
Charged-Off Loans and Delinquent Loans) in the Collateral as of such Measurement Date by the stated spread above or below LIBOR of the current Loan Rate applicable to such Loan, and (b) the denominator of which is the sum of the Outstanding
Loan Balances of all Floating Rate Loans (excluding Charged-Off Loans and Delinquent Loans) in the Collateral as of such Measurement Date; provided that for purposes of this definition, (1) no contingent payment of interest will be
included in such calculation; (2) any Loan Rate shall exclude any portion of the interest that is currently being deferred in violation of the terms of the related Loan Documents; (3) in the case of Loan Rate for a Floating Rate Loan not
expressed as a stated spread above or below LIBOR (including Floating Prime Rate Loans), the stated spread to LIBOR relating to such Loan shall be calculated on any Measurement Date by the Servicer in its sole discretion on behalf of the Issuer by
subtracting LIBOR from the Loan Rate of such Loan; and (4) Loans that are Charged-Off Loans and Delinquent Loans will be included in the calculations described herein if, as of such Measurement Date, such Loans are paying in full 

  

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current interest pursuant to the terms of their respective Underlying Note or, in the case of a Noteless Loan, the Underlying Loan Agreement. 
 “Weighted Average Spread Test” means a test that will be satisfied, as of any date of determination, if the Weighted Average Spread equals or exceeds
the then-current Reference Spread set forth in the Collateral Quality Table, in each case as of such date of determination. 
 Section 1.02. Usage of Terms. 
 With respect to all terms in this Agreement, the singular includes the plural and the
plural the singular; words importing any gender include the other genders; references to “writing” include printing, typing, lithography and other means of reproducing words in a visible form; references to agreements and other contractual
instruments include all amendments, modifications and supplements thereto or any changes therein entered into in accordance with their respective terms and not prohibited by this Agreement; references to Persons include their permitted successors
and assigns; and the term “including” means “including without limitation”. 
 Section 1.03. Section
References. 
 All Section references (including references to the Preamble), unless otherwise indicated, shall be to Sections
(and the Preamble) in this Agreement. 
 Section 1.04. Calculations. 
 Except as otherwise provided herein, all interest rate and basis point calculations hereunder will be made on the basis of a 360 day year and the actual
days elapsed in the relevant period and will be carried out to at least three decimal places. 
 Section 1.05. Accounting Terms.

 All accounting terms used but not specifically defined herein shall be construed in accordance with generally accepted accounting
principles in the United States. 
 ARTICLE II. 
 ESTABLISHMENT OF ISSUER; TRANSFER OF LOAN ASSETS 
 Section 2.01. Creation and Funding of Issuer;
Transfer of Loan Assets. 
 (a) The Issuer shall be created pursuant to the terms and conditions of the Trust Agreement,
upon the execution and delivery of the Trust Agreement and the filing by the Owner Trustee of an appropriately completed Certificate of Trust (as defined in the Trust Agreement) under the Statutory Trust Statute. The Trust Depositor, as settlor of
the Issuer, shall fund and convey assets to the Issuer pursuant to the terms and provisions hereof. The Issuer shall be administered pursuant to the provisions of this Agreement and the Trust Agreement for the benefit of the Securityholders. The
Owner Trustee is hereby specifically recognized by the parties hereto as empowered to conduct business dealings on behalf of the Issuer in accordance with the terms hereof and of the Trust Agreement. The Servicer is 

  

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hereby specifically recognized by the parties hereto as empowered to act on behalf of the Issuer and the Owner Trustee in accordance with
Section 5.02(e), Section 5.02(g) and otherwise to perform the duties and obligations required to be performed by the Servicer under the Transaction Documents. 
 (b) Subject to and upon the terms and conditions set forth herein, the Trust Depositor hereby sells, transfers, assigns, sets over and
otherwise conveys to the Issuer, for a purchase price consisting of $416,250,000 in cash (less the amount of the deposit made on the date hereof to the Reserve Fund pursuant to Section 7.0l(e) and placement expenses and certain other
expenses associated with the initial offer and sale of the Notes the proceeds of which represent consideration paid by the Issuer herein), $43,750,000 in aggregate principal amount of the Class F Note and the Certificate, all the right, title and
interest of the Trust Depositor in and to the Initial Loan Assets. 
 To the extent the purchase price paid to the Trust Depositor for any Loan is less than
the fair market value of such Loan, the difference between such fair market value and the purchase price shall be deemed to be a capital contribution made by the Trust Depositor to the Issuer on the Closing Date in the case of the Initial Loans and
as of the related Cut-Off Date in the case of any Additional Loans or Substitute Loans. 
 (c) The Originator and the Trust
Depositor each acknowledge with respect to itself that the representations and warranties of the Originator in the Loan Sale Agreement and of the Trust Depositor in Section 3.01 through Section 3.04 will run to and be for the
benefit of the Issuer and the Trustees, and the Issuer and the Trustees may enforce directly (without joinder of the Trust Depositor when enforcing against the Originator), the repurchase obligations of the Originator or Trust Depositor, as
applicable, with respect to breaches of such representations and warranties as set forth in the Loan Sale Agreement or in this Agreement. 
 (d) The sale, transfer, assignment, set-over and conveyance of the Loan Assets by the Trust Depositor to the Issuer pursuant to this Agreement does not constitute and is not intended to result in a creation or an
assumption by the Trust Depositor or the Issuer of any obligation of the Originator as lead agent, collateral agent or paying agent under any Agented Note. The Trust Depositor also hereby assigns to the Issuer all of the Trust Depositor’s
right, title and interest (but none of its obligations) under the Loan Sale Agreement, including but not limited to the Trust Depositor’s right to exercise the remedies created by the Loan Sale Agreement. 
 (e) The Originator, Trust Depositor and Issuer intend and agree that (i) the transfer of the Loan Assets to the Trust Depositor under
the Loan Sale Agreement and the transfer of the Loan Assets to the Issuer hereunder are intended to be a sale, conveyance and transfer of ownership of the Loan Assets, as the case may be, rather than the mere granting of a security interest to
secure a borrowing and (ii) such Loan Assets shall not be part of the Originator’s or the Trust Depositor’s estate in the event of a filing of a bankruptcy petition or other action by or against such Person under any Insolvency Law.
In the event, however, that notwithstanding such intent and agreement, such transfers are deemed to be a mere granting of a security interest to secure indebtedness, the Originator shall be deemed to have granted (and 

  

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as of the Closing Date hereby grants to) the Trust Depositor and the Trust Depositor shall be deemed to have granted (and as of the Closing Date hereby
grants to) the Issuer, as the case may be, a perfected first priority security interest in all right, title and interest of the Originator or of the Trust Depositor, respectively, in such Loan Assets and this Agreement shall constitute a security
agreement under Applicable Law, securing the repayment of the purchase price paid hereunder, the obligations and/or interests represented by the Securities, in the order and priorities, and subject to the other terms and conditions of, this
Agreement, the Indenture and the Trust Agreement, together with such other obligations or interests as may arise hereunder and thereunder in favor of the parties hereto and thereto. 
 (f) If any such transfer of the Loan Assets is deemed to be the mere granting of a security interest to secure a borrowing, the Trust
Depositor may, to secure the Trust Depositor’s own borrowing under this Agreement (to the extent that the transfer of the Loan Assets thereunder is deemed to be a mere granting of a security interest to secure a borrowing) repledge and reassign
(i) all or a portion of the Loan Assets pledged to Trust Depositor by the Originator and with respect to which the Trust Depositor has not released its security interest at the time of such pledge and assignment, and (ii) all proceeds
thereof. Such repledge and reassignment may be made by Trust Depositor with or without a repledge and reassignment by Trust Depositor of its rights under any agreement with the Originator, and without further notice to or acknowledgment from the
Originator. The Originator waives, to the extent permitted by applicable law, all claims, causes of action and remedies, whether legal or equitable (including any right of setoff), against Trust Depositor or any assignee of Trust Depositor relating
to such action by Trust Depositor in connection with the transactions contemplated by this Agreement. 
 Section 2.02. Conditions to
Transfer of Initial Loan Assets to Issuer. 
 On or before the Closing Date, the Originator or the Trust Depositor, as applicable, shall
deliver or cause to be delivered to the Owner Trustee and Trustee each of the documents, certificates and other items as follows: 
 (a) a certificate of an officer of the Originator substantially in the form of Exhibit C hereto; 
 (b) copies
of resolutions of the Board of Directors of the Originator, the Servicer and the designated manager of the Trust Depositor or of the Executive Committee of the Board of Directors of the Originator, the Servicer and the designated manager of the
Trust Depositor approving the execution, delivery and performance of this Agreement and the transactions contemplated hereunder, certified in each case by the Secretary or an Assistant Secretary of the Originator, the Servicer and designated manager
of the Trust Depositor; 
 (c) officially certified evidence dated within 30 days of the Closing Date of due formation and
good standing of the Originator under the laws of the State of Delaware; 
 (d) the initial List of Loans, certified by an
officer of the Trust Depositor, together with an Assignment substantially in the form of Exhibit A (along with the delivery of any instruments and Loan Files as required under Section 2.08); 
  

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 (e) a certificate of an officer of the designated manager of the Trust Depositor
substantially in the form of Exhibit B hereto; 
 (f) a letter from KPMG or another nationally recognized accounting
firm, addressed to the Originator and the Trust Depositor (with a copy to the Trustee, Moody’s, Fitch and S&P), stating that such firm has reviewed a sample of the Initial Loans and performed specific procedures for such sample with respect
to certain loan terms and that identifies those Initial Loans that do not conform; 
 (g) officially certified evidence dated
within 30 days of the Closing Date of due organization and good standing of the Trust Depositor under the laws of the State of Delaware; 
 (h) evidence of proper filing with appropriate offices in the State of Delaware of UCC financing statements listing the Originator, as debtor, naming the Trustee as total assignee and identifying the Loan Assets as
collateral; and evidence of proper filing with appropriate officer in the State of Delaware of UCC financing statements listing the Trust Depositor, as debtor, naming the Trustee as total assignee and identifying the Loan Assets as collateral; and
evidence of proper filing with appropriate officers in the State of Delaware of UCC financing statements listing the Issuer and naming the Trustee as secured party and identifying the Collateral, as collateral; 
 (i) an Officer’s Certificate listing the Servicer’s Servicing Officers; and 
 (j) a fully executed copy of each of the Transaction Documents. 
 Section 2.03. Acceptance by Owner Trustee. 
 On the Closing Date, if the conditions set forth in Section 2.02 have been satisfied, the Issuer shall issue to, or upon the order of, the Trust Depositor the Certificate representing ownership of a
beneficial interest in 100% of the Issuer and the Issuer shall issue, and the Trustee shall authenticate, to, or upon the order of, the Trust Depositor the Notes secured by the Collateral. The Owner Trustee hereby acknowledges its acceptance, on
behalf of the Issuer, of the Initial Loan Assets, and declares that it shall maintain such right, title and interest in the Loan Assets in accordance with the terms of this Agreement and the Trust Agreement upon the trust herein and therein set
forth. 
 Section 2.04. Conveyance of Substitute Loans. 
 (a) (i) Subject to Sections 2.01(d) and (e) and, as applicable, the satisfaction of the conditions set forth in
Section 2.04(d), the Originator may, at its option (but shall not be obligated to) either: 
 (1)
contemporaneously convey to the Trust Depositor one or more Loans as described in Section 2.04(b); or 
 (2)
deposit to the Principal Collection Account the Transfer Deposit Amount with respect to any Loan as to which a Substitution Event has 

  

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occurred and then, prior to the expiry of the Substitution Period, convey to the Trust Depositor one or more Loans as described in
Section 2.04(b) in exchange for the funds so deposited or a portion thereof. 
 (ii) Any substitution pursuant to
this Section 2.04 shall be initiated by delivery of written notice (a “Notice of Substitution”) to the Trustee from the Servicer that the Originator intends to substitute a Loan pursuant to this Section 2.04
and shall be completed prior to the earliest of: 
 (1) the expiration of 90 days after delivery of such notice; 

(2) delivery of written notice to the Trustee from the Servicer stating that it does not intend to use any remaining deposit to
acquire Substitute Loans; or 
 (3) in the case of a Loan which has become subject to a Material Modification, the effective
date set forth in such Material Modification (such period described in clause (ii)(1), (2) or (3), as applicable, being the “Substitution Period”). 
 (iii) Each Notice of Substitution shall specify the Loan to be substituted, the reasons for such substitution and the Transfer Deposit
Amount with respect to the Loan. On the last day of any Substitution Period, any amounts previously deposited in accordance with clause (a)(i)(2) above which relate to such Substitution Period that have not been applied to purchase one or
more Substitute Loans shall be deemed to constitute Principal Collections and shall be transferred on the next Distribution Date to the Note Distribution Account and distributed to the Noteholders in accordance with the Priority of Payments, as
applicable; provided that no such distribution shall be made during the Reinvestment Period if the Special Redemption criteria are not satisfied with respect to such amount; provided further that prior to the expiration of the related
Substitution Period any such amounts shall not be deemed to be Principal Collections and shall remain in the Principal Collection Account until applied to acquire Substitute Loans or distributed in accordance with the Priority of Payments. The price
paid (or, in the case of a contemporaneous conveyance of a Substitute Loan pursuant to Section 2.04(a)(i)(l), deemed paid) by the Issuer for any Substitute Loan shall be an amount equal to (x) in the case of a Loan originated by the
Originator, the Outstanding Loan Balance thereof, and (y) in the case of a Loan acquired by the Originator from a third party, the purchase price paid for such Loan, plus, in each case, accrued interest thereon. 
 (b) With respect to any Substitute Loans to be conveyed to the Trust Depositor by the Originator as described in
Section 2.04(a), the Originator shall sell, transfer, assign, set over and otherwise convey to the Trust Depositor (by delivery of an executed Subsequent Transfer Agreement), without recourse other than as expressly provided herein and
therein (and the Trust Depositor shall be required to purchase through cash payment or by exchange of one or more related Loans released by the Issuer to the Trust Depositor on the related Cut-Off Date), all the right, title and interest of the
Originator in and to the Substitute Loan Assets. 
  

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 To the extent the purchase price paid to the Originator for any Substitute Loan is less than the fair market value of
such Substitute Loan, the difference between such fair market value and the purchase price shall be deemed to be a capital contribution made by the Originator to the Trust Depositor on the relevant Cut-Off Date. 
 (c) Subject to Sections 2.01(d) and (e) and the conditions set forth in Section 2.04(d), the Trust
Depositor shall sell, transfer, assign, set over and otherwise convey to the Issuer, without recourse other than as expressly provided herein and therein, (i) all the right, title and interest of the Trust Depositor in and to the Substitute
Loans purchased pursuant to Sections 2.04(a) and (b), and (ii) all other rights and property interests consisting of Substitute Loan Assets related to such Substitute Loans (the property in clauses (i) and
(ii) above, upon such transfer, becoming part of the Collateral). 
 (d) The Originator shall transfer to the
Trust Depositor and the Trust Depositor shall transfer to the Issuer the Substitute Loans and the other property and rights related thereto described in Sections 2.04(b) and (c) only upon the satisfaction of each of the following
conditions on or prior to the related Cut-Off Date (and the delivery of a related Addition Notice by the Trust Depositor shall be deemed a representation and warranty by the Trust Depositor and of the Originator that such conditions have been or
will be, as of the related Cut-Off Date, satisfied): 
 (i) the Trust Depositor shall have provided the Owner Trustee and the
Trustee with a timely Addition Notice complying with the definition thereof contained herein (a copy of which shall be provided to S&P promptly after it is delivered to the Owner Trustee), which Addition Notice shall be delivered no later than
11:00 a.m. on the related Cut-Off Date; 
 (ii) there shall have occurred, with respect to each such Substitute Loan, a
corresponding Substitution Event with respect to one or more Loans then in the Collateral; 
 (iii) after giving effect to the
inclusion of the applicable Substitute Loans in the Collateral, (x) the Portfolio Acquisition and Disposition Requirements are satisfied, (y) the Portfolio Criteria are satisfied and (z) the Substitute Loans being conveyed to the
Issuer satisfy the Substitute Loan Qualification Conditions; provided that if any component of the Portfolio Criteria is not satisfied prior to giving effect to the inclusion of a Substitute Loan, the Portfolio Criteria shall be deemed
satisfied with respect to such component if the component is maintained or improved by the inclusion of such Substitute Loan; provided further that for purposes of determining compliance with the Portfolio Criteria, any Substitute Loan which
does not have a rating from each Rating Agency as of the applicable Cut-Off Date will be deemed to have an S&P Rating of “CCC”, a Moody’s Rating of “Caa2” and a Fitch Rating of “CCC” pending receipt of a rating
estimate from the applicable Rating Agency; 
  

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 (iv) the Originator and the Trust Depositor shall have executed and delivered a
Subsequent Transfer Agreement, which shall include a Subsequent List of Loans listing the Substitute Loans; 
 (v) the Trust
Depositor shall have deposited or caused to be deposited in the Principal and Interest Account all Collections received with respect to the Substitute Loan on and after the related Cut-Off Date; 
 (vi) each of the representations and warranties made by the Trust Depositor pursuant to Sections 3.02 (including without limitation
that each such Substitute Loan is an Eligible Loan) and 3.04 applicable to the Substitute Loan shall be true and correct as of the related Cut-Off Date; 
 (vii) the Originator shall bear all incidental transactions costs incurred in connection with a substitution effected pursuant to this
Agreement and shall, at its own expense, on or prior to the related Cut-Off Date, indicate in its Computer Records that ownership of the Substitute Loan identified on the Subsequent List of Loans in the Subsequent Transfer Agreement has been sold by
the Originator to the Trust Depositor and by the Trust Depositor to the Issuer pursuant to the Transfer and Servicing Agreements; and 
 (viii) prior to such substitution the Originator shall provide written notice to each Rating Agency; provided, however, that Fitch shall be entitled to receive from the Originator financial statements, credit
committee papers and such other information relating to such Substitute Loan as is reasonably requested by Fitch in connection with the proposed substitution of a Loan. 
 (e) Notwithstanding anything in this Section 2.04 to the contrary, any substitution of Loans to be effected pursuant to this
Section 2.04 shall be subject to the limitations set forth in Section 2.09(b), if applicable. 
 (f)
The Servicer, the Issuer and the Trustee (at the request of the Servicer) shall execute and deliver such instruments, consents or other documents and perform all acts reasonably requested by the Servicer in order to effect the transfer and release
of any of the Issuer’s interests in the Loans that are being substituted. 
 (g) The Servicer on behalf of the Issuer
shall present each Substitute Loan proposed to be included in the Collateral to each Rating Agency for review by such Rating Agency in order that each Rating Agency may provide a rating and a recovery rate with respect to such Loan; provided
that (i) such Loan may become a part of the Collateral prior to the Servicer’s presentment of the Loan to the Rating Agencies as described herein, (ii) the Servicer’s failure to present a Loan to the Rating Agencies as
described herein shall not constitute an independent breach of, or default under, this Agreement, (iii) with respect to S&P, the recovery rate shall be determined in accordance with the S&P Priority Category Recovery Rate and
(iv) the Servicer shall have no obligation to present a Substitute Loan to Moody’s if a Moody’s Rating for such Loan has been determined by reference to clause (e) of the definition of Moody’s Rating. 
  

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 Section 2.05. Sales of Loans. 
 (a) Except as otherwise expressly permitted or required by this Agreement, the Servicer (on behalf of the Issuer) shall not sell,
transfer, exchange or otherwise dispose of any Loan; provided that on or prior to the trade date for such sale, transfer, exchange or other disposition, if the Servicer has certified to the Trustee that each of the conditions applicable to
such sale, transfer, exchange or other disposition set forth below has been satisfied, the Servicer (on behalf of the Issuer) may direct the Trustee to sell, and the Trustee shall sell in the manner directed by the Servicer for cash: 
 (i) during the Ramp-Up Period and the Reinvestment Period, any Loan, so long as after giving effect to such sale the following conditions
are met: (A) the sum of the Outstanding Loan Balances and Exposure Amounts of all Loans (other than Delinquent Loans and Charged-Off Loans) sold as described in this clause (1) during any 12-month period does not exceed 15% of the
Aggregate Outstanding Loan Balance as of the first day of such 12-month period; (B) following any such sale of a Loan, the Portfolio Criteria must be satisfied or, if immediately prior to such sale any component of the Portfolio Criteria was
not satisfied, compliance with such component of the Portfolio Criteria must be maintained or improved after giving effect to such sale; (C) at the time of any such sale of a Loan, no Rating Agency shall have withdrawn its ratings of any of the
Offered Notes; and (D) if such Loan is to be sold to an Affiliate of the Servicer or the Issuer, the Servicer obtains either (x) bids for such Loan from three unaffiliated loan market participants (or, if the Servicer is unable to obtain
bids from three such participants, then such lesser number of unaffiliated loan market participants from which the Servicer can obtain bids using efforts consistent with the Servicing Standard), or (y) if the Servicer is unable to obtain any
bids for such Loan from an unaffiliated loan market participant, a Valuation of the Loan, and the Servicer may sell such Loan to the Affiliate of the Servicer or Issuer only if such Affiliate acquires such Loan for a price at least equal to the
highest bid provided by an unaffiliated loan market participant or the fair market value established by such Valuation, as applicable; and 
 (ii) at any time, so long as no Servicer Default or Event of Default has occurred and is continuing, any other Loan constituting a Charged-Off Loan or a Delinquent Loan, so long as the following conditions are met:
(A) on or prior to the date of the proposed sale the Servicer certifies to the Trustee that it has determined that such Loan is a Charged-Off Loan or a Delinquent Loan; and (B) if such Loan is to be sold to an Affiliate of the Servicer or
the Issuer, the Servicer obtains either (x) bids for such Loan from three unaffiliated loan market participants (or, if the Servicer is unable to obtain bids from three such participants, then such lesser number of unaffiliated loan market
participants from which the Servicer can obtain bids using efforts consistent with the Servicing Standard), or (y) if the Servicer is unable to obtain any bids for such Loan from an unaffiliated loan market participant, a Valuation of the Loan,
and the Servicer may sell such Loan to an Affiliate of the Servicer or Issuer only if such Affiliate acquires such Loan for a price at least equal to the highest bid provided by an unaffiliated loan market participant or the fair market value
established by such Valuation, as applicable; 
  

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 provided, further, that (x) the Servicer and the Issuer hereby expressly agree that each sale of Loans shall
be undertaken in accordance with the Portfolio Acquisition and Disposition Requirements and (y) any sale of Loans to an Affiliate of the Issuer as described above shall be subject to the limit set forth in Section 2.09(c).

 The Sale Proceeds from any sale pursuant to this Section 2.05(a) will be deposited into the Principal and Interest Account and
allocated as provided in Section 7.05. Upon receipt by the Servicer for deposit in the Principal and Interest Account of the amounts of Sale Proceeds received in connection with any such sale, and upon receipt by the Trustee of an
Officer’s Certificate of the Servicer as to the satisfaction of all applicable conditions of this Section 2.05, the Trustee shall assign to the party designated by the Servicer (or to the Servicer itself) all of the Issuer’s
right, title and interest in the repurchased or substituted Loan and related Loan Assets without recourse, representation or warranty. Such reassigned Loan shall no longer thereafter be included in the Collateral. 
 (b) In the event that the Servicer has notified the Trustee of an Optional Repurchase of the Notes, the Servicer may at any time direct
the Trustee to sell, and the Trustee shall sell in the manner directed by the Servicer, any Loan without regard to the foregoing limitations in Section 2.05(a); provided that (i) the Servicer certifies to the Trustee that in
its judgment exercised in accordance with the Servicing Standard and based on calculations included in the certification (which shall include the sales prices of the Loans), the Sale Proceeds from the sale of one or more of the Loans shall be
sufficient to pay the Repurchase Price with respect to all the Notes, and (ii) the Servicer shall sell any Loan pursuant to this Section 2.05(b) only at a price that is commercially reasonable as reasonably determined by the
Servicer in accordance with the Servicing Standard. 
 Section 2.06. Conveyance of Additional Loans. 
 (a) The Issuer may, at any time during the Ramp-Up Period and the Reinvestment Period and subject to the conditions set forth in this
Section 2.06, apply Principal Collections standing to the credit of the Principal Collections Account, Draws under the Class A-2 Notes and amounts standing to the credit of the Class A-2 Funding Account to purchase Additional
Loan Assets from the Trust Depositor (by delivery of a Subsequent Transfer Agreement). The purchase price paid by the Issuer for any Additional Loan shall be an amount equal to (x) in the case of a Loan originated by the Originator, the
Outstanding Loan Balance thereof, and (y) in the case of a Loan acquired by the Originator from a third party, the purchase price paid for such Loan, plus, in each case accrued interest thereon. 
 (b) Upon the acquisition of any Additional Loan Assets pursuant to and in accordance with this Section 2.06, such Additional
Loan Assets shall become part of the Collateral subject to the Lien of the Indenture. The Servicer represents and warrants in connection with the foregoing that it will not cause the Issuer to acquire any Additional Loan pursuant to this
Section 2.06 for the primary purpose of recognizing gains or decreasing losses resulting from market value changes. 
 (c) Each Additional Loan to be acquired by the Issuer for inclusion in the Collateral during the Ramp-Up Period and the Reinvestment Period will be eligible for 

  

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purchase by the Issuer and inclusion in the Collateral only if, after giving effect to the inclusion of the applicable Additional Loans in the Collateral,
(i) the Portfolio Acquisition and Disposition Requirements are satisfied and (ii) the Portfolio Criteria are satisfied; provided that if any component of the Portfolio Criteria is not satisfied prior to giving effect to the
inclusion of such Additional Loans, the Portfolio Criteria shall be deemed satisfied with respect to such component if the component is maintained or improved by the inclusion of such Additional Loans. For purposes of determining compliance with the
Portfolio Criteria, any Additional Loan which does not have a rating from each Rating Agency as of the applicable Cut-Off Date will be deemed to have an S&P Rating of “CCC”, a Moody’s Rating of “Caa2” and a Fitch Rating
of “CCC” pending receipt of a rating estimate from the applicable Rating Agency. 
 (d) The Originator shall
transfer to the Trust Depositor and the Trust Depositor shall transfer to the Issuer the Additional Loans and the other property and rights related thereto described in Section 2.06(a) only upon the satisfaction of each of the following
conditions on or prior to the related Cut-Off Date (and the delivery of a related Addition Notice by the Trust Depositor shall be deemed a representation and warranty by the Issuer, the Trust Depositor and the Originator that such conditions are
satisfied as of the related Cut-Off Date): 
 (i) the Trust Depositor shall have provided the Issuer and the Trustee with a
timely Addition Notice complying with the definition thereof contained herein, which Addition Notice shall be delivered no later than 11:00 a.m. on the related Cut-Off Date; 
 (ii) after giving effect to the inclusion of the applicable Additional Loans in the Collateral, the Portfolio Criteria are satisfied;
provided that if any component of the Portfolio Criteria is not satisfied prior to giving effect to the inclusion of such Additional Loans, the Portfolio Criteria shall be deemed satisfied with respect to such component if the component is
maintained or improved by the inclusion of such Additional Loans; 
 (iii) the Originator and the Trust Depositor shall have
executed and delivered a Subsequent Transfer Agreement, which shall include a Subsequent List of Loans listing the Additional Loans; 
 (iv) the Trust Depositor shall have deposited or caused to be deposited in the Principal and Interest Account all Collections received with respect to the Additional Loans on and after the related Cut-Off Date; 
 (v) as of each Cut-Off Date, neither the Originator nor the Trust Depositor was insolvent nor will either of them have been made insolvent
by such transfer nor is either of them aware of any pending insolvency; 
 (vi) no selection procedures believed by the
Originator or the Trust Depositor to be adverse to the interests of the Holders shall have been utilized in selecting the Additional Loans; and 
  

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 (vii) each of the representations and warranties made by the Trust Depositor pursuant to
Sections 3.02 (including without limitation that such Additional Loan is an Eligible Loan) and 3.04 applicable to the Additional Loans shall be true and correct as of the related Cut-Off Date. 
 (e) The Originator shall, at its own expense, on or prior to the related Cut-Off Date, indicate in its Computer Records that ownership of
the Additional Loans identified on the Subsequent List of Loans in the Subsequent Transfer Agreement has been sold to by the Originator to the Trust Depositor and by the Trust Depositor to the Issuer pursuant to the Transfer and Servicing
Agreements. 
 (f) The Originator shall deliver prior written notice of the inclusion of an Additional Loan to Moody’s,
Fitch and S&P. 
 (g) The Servicer on behalf of the Issuer shall present each Additional Loan proposed to be included in
the Collateral to each Rating Agency for review by such Rating Agency in order that each Rating Agency may provide a rating and a recovery rate with respect to such Loan; provided that (i) such Loan may become a part of the Collateral
prior to the Servicer’s presentment of the Loan to the Rating Agencies as described herein, (ii) the Servicer’s failure to present a Loan to the Rating Agencies as described herein shall not constitute an independent breach of, or
default under, this Agreement, (iii) with respect to S&P, the recovery rate shall be determined in accordance with the S&P Priority Category Recovery Rate and (iv) the Servicer shall have no obligation to present an Additional Loan
to Moody’s if a Moody’s Rating for such Loan has been determined by reference to clause (e) of the definition of Moody’s Rating. 
 (h) Within five Business Days after the Effective Date, the Servicer will (i) cause the Independent Accountants to determine the extent of compliance with the Portfolio Criteria of the Loans included in the
Collateral as of the Effective Date, (ii) deliver a report of such Independent Accountants certifying the results of that determination to the Trustee and the Rating Agencies and (iii) request that each of Moody’s and S&P confirm
in writing (the “Effective Date Ratings Confirmation”), within 30 days after the Effective Date (or such later date as each such Rating Agency may determine), that it has not reduced or withdrawn any of the ratings assigned to the
Offered Notes on the Closing Date. In the event that any such rating is reduced or withdrawn (such event, a “Ratings Confirmation Failure”), the next and succeeding Distribution Dates shall be Sequential Distribution Dates until the
earlier of (x) such date as each such Rating Agency shall confirm its respective ratings of the Offered Notes assigned on the Closing Date and (y) the Outstanding Principal Balance of each class of Offered Notes is reduced to zero. If upon
receipt of the Effective Date Ratings Confirmation, no Ratings Confirmation Failure occurs, no Sequential Distribution Date will occur by reason thereof. 
 Section 2.07. Release of Excluded Amounts. 
 (a) The parties hereto acknowledge
and agree that the Issuer has no interest in the Excluded Amounts. The Trustee hereby agrees to release to the Issuer from the Loan Assets, and the Issuer hereby agrees to release to the Trust Depositor, any Excluded Amounts 

  

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immediately upon identification thereof and upon receipt of an Officer’s Certificate of the Servicer, which release shall be automatic and shall require
no further act by the Trustee or the Issuer; provided that the Trustee and Owner Trustee shall execute and deliver such instruments of release and assignment or other documents, or otherwise confirm the foregoing release, as may reasonably be
requested by the Trust Depositor in writing. Such Excluded Amounts shall not constitute and shall not be included in the Loan Assets. 
 (b) Immediately upon the release to the Trust Depositor by the Trustee of the Excluded Amounts, the Trust Depositor hereby irrevocably agrees to release to the Originator such Excluded Amounts, which release shall be
automatic and shall require no further act by the Trust Depositor; provided that the Trust Depositor shall execute and deliver such instruments of release and assignment, or otherwise confirming the foregoing release of any Excluded Amounts,
as may be reasonably requested by the Originator. 
 Section 2.08. Delivery of Documents in the Loan File; Recording of Assignments
of Mortgage. 
 (a) Subject to the delivery requirements set forth in Section 2.08(b), the Issuer hereby
authorizes and directs the Originator and the Trust Depositor to deliver possession of all the Loan Files to the Trustee (with copies to be held by the Servicer) on behalf of and for the account of the Noteholders. The Originator and the Trust
Depositor shall also identify on the List of Loans (including any deemed amendment thereof associated with any Additional Loans or Substitute Loans), whether by attached schedule or marking or other effective identifying designation, all Loans that
are or are evidenced by such instruments. 
 (b) With respect to each Loan in the Collateral, on or before the Closing Date in
the case of the Initial Loans and the related Cut-Off Date in the case of any Additional Loans or Substitute Loans, the Trust Depositor will deliver or cause to be delivered to the Trustee, to the extent not previously delivered, each of the
documents in the Loan File with respect to such Loan, except that (i) the original recorded Mortgage, in those instances where a copy thereof certified by a Responsible Officer of the Originator was delivered to the Trustee as a Required Loan
Document pursuant to clause (b)(iii)(x) of the definition thereof, will be delivered or caused to be delivered within ten Business Days after receipt thereof, and in any event within one year after the Closing Date in the case of the Initial
Loans and the related Cut-Off Date in the case of any Additional Loans or Substitute Loans, and (ii) any intervening Assignments of Mortgage, in those instances where copies thereof certified by the Originator were delivered to the Trustee as a
Required Loan Document pursuant to clause (b)(iii)(x) of the definition thereof, will be delivered or caused to be delivered within ten Business Days after the receipt thereof, and in any event, within one year after the Closing Date in the
case of the Initial Loans and the related Cut-Off Date in the case of any Additional Loans or Substitute Loans. Notwithstanding the foregoing in clauses (i) and (ii) of this Section 2.08(b), in those instances
where the public recording office retains the original Mortgage or the intervening Assignments of the Mortgage after it has been recorded, the Trust Depositor shall be deemed to have satisfied its obligations hereunder upon delivery to the Trustee
of a copy of such Mortgage or Assignments of Mortgage certified by the public recording office to be a true copy of the recorded original thereof. 
  

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 (c) Prior to the occurrence of an Event of Default or a Servicer Default, the Trustee
shall not record any Assignment of Mortgage referenced in clause (b)(y) of the definition of Required Loan Documents. Upon the occurrence of an Event of Default or a Servicer Default, the Servicer or, if a Servicer Default has arisen, the Trustee
shall cause to be recorded in the appropriate offices each such Assignment of Mortgage delivered to it. Each such recording shall be at the expense of the Servicer; provided however that to the extent the Servicer does not pay such expense
then the Trustee shall be reimbursed as an Administrative Expense pursuant to the provisions of Section 7.05(a). 
 Section 2.09. Optional Repurchase by the Servicer of Certain Loans; Limitations on Substitution and Repurchase. 
 (a) Subject to the limitations set forth in Section 2.09(b) and Section 2.09(c), the Servicer shall have the right, but not the obligation, to repurchase any (i) Charged-Off Loan, (ii) Delinquent Loan,
(iii) Loan that has a material covenant default, (iv) Loan which has become subject to a Material Modification, (v) Loan that has become subject to a Specified Amendment or (vi) Discretionary Repurchased Loan. In the event of
such a purchase, the Servicer shall deposit in the Principal and Interest Account, on the next succeeding Reference Date, an amount equal to the Transfer Deposit Amount for such Loan (or applicable portion thereof) as of the date of such purchase.
The Servicer, the Issuer and the Trustee shall execute and deliver such instruments, consents or other documents and perform all acts reasonably requested by the Servicer in order to effect the transfer and release of any of the Issuer’s
interests in the Loans that are being purchased. 
 (b) The aggregate Outstanding Loan Balance of all (i) Charged-Off
Loans, (ii) Delinquent Loans, (iii) Loans that have a material covenant default, and (iv) Loans which have become subject to a Material Modification of the type specified in clause (ii) of the definition thereof (without
regard to whether such Material Modification may otherwise constitute a Material Modification of a type specified in clause (i) of the definition thereof) which are repurchased by the Originator pursuant to Section 2.09(a),
substituted pursuant to Section 2.04 or sold to an Affiliate of the Issuer pursuant to Section 2.05 shall not exceed an amount equal to, as of any date of determination, 10% of the Net Purchased Loan Balance. 
 (c) The aggregate Outstanding Loan Balance of all Loans repurchased pursuant to Section 2.09(a), substituted pursuant to
Section 2.04 or sold to an Affiliate of the Issuer pursuant to Section 2.05 shall not exceed an amount equal to, as of any date of determination, 20% of the Net Purchased Loan Balance; provided that the foregoing
limitation shall not apply to Loans substituted by reason of the occurrence of a Substitution Event of the type specified in clause (f) of the definition of such term. 
 Section 2.10. Certification by Trustee; Possession of Loan Files. 
 (a) Review; Certification. On or prior to the Closing Date in the case of the Initial Loans and the related Cut-Off Date in the
case of any Additional Loans or Substitute Loans, the Trustee shall review the portion of the Loan File required to be delivered pursuant to Section 2.08(b) on the Closing Date in the case of the Initial Loans and the related Cut-Off
Date in the case of any Additional Loans or Substitute Loans, and shall deliver to the 

  

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Originator, the Trust Depositor and the Servicer a certification in the form attached hereto as Exhibit L-l on or prior to the Closing Date in the
case of the Initial Loans and the related Cut-Off Date in the case of any Additional Loans or Substitute Loans. Within two Business Days after the Trustee receives the portion of the Loan File permitted to be delivered after the Closing Date in the
case of the Initial Loans and the related Cut-Off Date in the case of any Additional Loans or Substitute Loans pursuant to Section 2.08(b), the Trustee shall deliver to the Originator, the Trust Depositor and the Servicer a certification
in the form attached hereto as Exhibit L-1, which updated certification shall supersede any previous certification given. Within 360 days after the Closing Date in the case of the Initial Loans and the related Cut-Off Date in the case of any
Additional Loans or Substitute Loans, the Trustee shall deliver to the Originator, the Servicer, the Trust Depositor and any Noteholder who requests a copy from the Trustee a final certification in the form attached hereto as Exhibit L-2
evidencing the completeness of the Loan Files (as set forth in the related Loan Checklists) with respect to the Loans so transferred. 
 (b) Non-Conforming Loan Files. If the Trustee during the process of reviewing the Loan Files finds any document constituting a part of a Loan File which is not properly executed, has not been received, is
unrelated to a Loan identified in the List of Loans, or does not conform in a material respect to the requirements of the definition of Loan File, or the description thereof as set forth in the List of Loans, the Trustee shall promptly so notify the
Originator, the Trust Depositor and the Servicer. In performing any such review, the Trustee may conclusively rely on the Originator as to the purported genuineness of any such document and any signature thereon. It is understood that the scope of
the Trustee’s review of the Loan Files is limited solely to confirming that the documents listed in the definition of Loan File have been executed and received and relate to the Loans identified in the List of Loans; provided, however,
with respect to the UCC financing statements referenced in clause (b)(iv) of the definition of Required Loan Documents, the Trustee’s sole responsibility will be to confirm that the Loan File contains the UCC financing statements (if
any) required by the definition of Required Loan Documents and not to make determinations about the materiality of such UCC financing statements. The Originator agrees to use reasonable efforts to remedy a material defect in a document constituting
part of a Loan File of which it is so notified by the Trustee. If, however, within 30 days after the Trustee’s notice to it respecting such material defect the Originator has not remedied the defect and such defect materially and adversely
affects the value of the related Loan, such Loan will be treated as an Ineligible Loan and the Originator will (i) substitute in lieu of such Loan a Substitute Loan in the manner and subject to the conditions set forth in
Section 11.01 or (ii) repurchase such Loan at a purchase price equal to the Transfer Deposit Amount, which purchase price shall be deposited in the Principal and Interest Account within such 30 day period. 
 (c) Release of Entire Loan File Upon Sale, Substitution or Repurchase. Subject to Section 5.08(a), upon receipt by the
Trustee of a certification of a Servicing Officer of the Servicer of such substitution or of such purchase and the deposit of the amounts then required to be deposited as described in Section 2.05, Section 2.09,
Section 2.10(b) or Section 11.01, as applicable, in the Principal and Interest Account (which certification shall be in the form of Exhibit M hereto), the Trustee shall release to the Servicer for release to the
Originator the related Loan File and the Trustee and the Issuer shall execute, without recourse, and deliver such instruments of transfer necessary to transfer all right, title and interest in such 

  

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Loan to the Originator free and clear of any Liens created by the Transaction Documents. All costs of any such transfer shall be borne by the Originator.

 (d) Partial Release of Loan File and/or Related Property. Subject to Section 5.08(b), if in connection
with taking any action in connection with a Loan (including, without limitation, the amendment to documents in the Loan File and/or a revision to Related Property) the Servicer requires any item constituting part of the Loan File, or the release
from the Lien of the related Loan of all or part of any Related Property, the Servicer shall deliver to the Trustee a certificate to such effect in the form attached as Exhibit M hereto. Subject to Section 5.08(d), upon receipt of
such certification, the Trustee shall deliver to the Servicer within two Business Days of such request (if such request was received by 2:00 p.m., central time), the requested documentation, and the Trustee shall execute, without recourse, and
deliver such instruments of transfer necessary to release all or the requested part of the Related Property from the Lien of the related Loan and/or the Lien under the Transaction Documents. 
 (e) Annual Certification. On the Distribution Date in December of each year, commencing December 30, 2007, the Trustee shall
deliver to the Originator, the Trust Depositor and the Servicer a certification detailing all transactions with respect to the Loans for which the Trustee holds the Loan Files pursuant to this Agreement during the prior calendar year. Such
certification shall list all Loan Files which were released by or returned to the Trustee during the prior calendar year, the date of such release or return and the reason for such release or return (as identified on Exhibit M relating to
such release). 
 ARTICLE III. 
 REPRESENTATIONS AND WARRANTIES 
 The Trust Depositor makes, and upon execution of each Subsequent Transfer Agreement is deemed to
make, the representations and warranties in Section 3.01 through Section 3.04, on which the Issuer will rely in purchasing the Initial Loan Assets on the Closing Date (and, except for the representations and warranties in
Section 3.03 which only apply to the Initial Loans as of the Closing Date, Additional Loan Assets and Substitute Loan Assets, as the case may be, on any Cut-Off Date), and on which the Securityholders will rely. 
 Such representations and warranties are given as of the execution and delivery of this Agreement and as of the Closing Date (or Cut-Off Date, as
applicable), but shall survive the sale, transfer and assignment of the Loan Assets to the Issuer. The repurchase obligation or substitution obligation of the Trust Depositor set forth in Section 11.01 constitutes the sole remedy
available for a breach of a representation or warranty of the Trust Depositor set forth in Section 3.01 through Section 3.04 of this Agreement 
 Section 3.01. Representations and Warranties Regarding the Trust Depositor. 
 By its execution
of this Agreement and each Subsequent Transfer Agreement, the Trust Depositor represents and warrants to the Issuer, the Trustee and the Securityholders that: 
 (a) Organization and Good Standing. The Trust Depositor is a limited liability company duly organized, validly existing and in good
standing under the laws of 

  

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Delaware and has the power to own its assets and to transact the business in which it is currently engaged. The Trust Depositor is duly qualified to do
business as a foreign entity and is in good standing in each jurisdiction in which the character of the business transacted by it or properties owned or leased by it requires such qualification and in which the failure so to qualify would have a
material adverse effect on the business, properties, assets, or condition (financial or otherwise) of the Trust Depositor or the Issuer. 
 (b) Authorization; Valid Sale; Binding Obligations. The Trust Depositor has the power and authority to make, execute, deliver and perform this Agreement and the other Transaction Documents to which it is a
party and all of the transactions contemplated under this Agreement and the other Transaction Documents to which it is a party, and to create the Issuer and cause it to make, execute, deliver and perform its obligations under this Agreement and the
other Transaction Documents to which the Issuer is a party, and the Trust Depositor has taken all necessary limited liability company action to authorize the execution, delivery and performance of this Agreement and the other Transaction Documents
to which it is a party and to cause the Issuer to be created. This Agreement and each Subsequent Transfer Agreement, if any, shall effect a valid sale, transfer and assignment of or grant a security interest in the Loan Assets from the Trust
Depositor to the Issuer. This Agreement and the other Transaction Documents to which the Trust Depositor is a party constitute the legal, valid and binding obligation of the Trust Depositor enforceable in accordance with their respective terms,
except as enforcement of such terms may be limited by applicable Insolvency Laws and general principles of equity, whether considered in a suit at law or in equity. 
 (c) No Consent Required. The Trust Depositor is not required to obtain the consent of any other party (other than those that it has
already obtained) or any consent, license, approval or authorization from, or registration or declaration with, any Governmental Authority (other than those that it has already obtained) in connection with the execution, delivery, performance,
validity or enforceability of this Agreement or the other Transaction Documents to which it is a party. 
 (d) No
Violations. The execution, delivery and performance of this Agreement and the other Transaction Documents to which it is a party by the Trust Depositor, and the consummation of the transactions contemplated hereby and thereby, will not violate
in any material respect any Applicable Law applicable to the Trust Depositor, or conflict with, result in a default under or constitute a breach of the Trust Depositor’s organizational documents or Contractual Obligations to which the Trust
Depositor is a party or by which the Trust Depositor or any of the Trust Depositor’s properties may be bound, or result in the creation or imposition of any Lien of any kind upon any of its properties pursuant to the terms of any such
Contractual Obligations, other than as contemplated by the Transaction Documents. 
 (e) Litigation. No litigation or
administrative proceeding of or before any court, tribunal or governmental body is currently pending, or to the knowledge of the Trust Depositor threatened, against the Trust Depositor or any of its properties or with respect to this Agreement, the
other Transaction Documents to which it is a party or the Securities (i) that, if adversely determined, would in the reasonable judgment of the Trust Depositor be expected to have a material adverse effect on the business, properties, assets or
condition (financial or 

  

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otherwise) of the Trust Depositor or the Issuer or the transactions contemplated by this Agreement or the other Transaction Documents to which the Trust
Depositor is a party or (ii) seeking to adversely affect the federal income tax or other federal, state or local tax attributes of the Certificate or Notes. 
 (f) Solvency. The Trust Depositor, at the time of and after giving effect to each conveyance of Loan Assets hereunder, is Solvent
on and as of the date thereof. 
 (g) Taxes. The Trust Depositor has filed or caused to be filed all tax returns which,
to its knowledge, are required to be filed and has put all taxes shown to be due and payable on such returns or on any assessments made against it or any of its property and all other taxes, fees or other charges imposed on it or any of its property
by any Governmental Authority (other than any amount of tax due, the validity of which is currently being contested in good faith by appropriate proceedings and with respect to which reserves in accordance with generally accepted accounting
principles have been provided on the books of the Trust Depositor); no tax Lien has been filed and, to the Trust Depositor’s knowledge, no claim is being asserted, with respect to any such tax, fee or other charge. 
 (h) Place of Business; No Changes. The Trust Depositor’s location (within the meaning of Article 9 of the UCC) is the State of
Delaware. The Trust Depositor has not changed its name, whether by amendment of its certificate of formation, by reorganization or otherwise, and has not changed its location within the 4-months preceding the Closing Date. 
 (i) Not an Investment Company. The Trust Depositor is not and, after giving effect to the transactions contemplated by the
Transaction Documents, will not be required to be registered as an “investment company” under the 1940 Act. 
 (j)
Sale Treatment. Other than for accounting and tax purposes, the Trust Depositor has treated the transfer of Loan Assets to the Issuer for all purposes as a sale and purchase on all of its relevant books and records and other applicable
documents. 
 (k) Security Interest. 
 (i) This Agreement creates a valid and continuing security interest in favor of the Issuer (as defined in the applicable UCC) in all
right, title and interest of Trust Depositor in the Loan Assets, which security interest is prior to all other Liens (except for Permitted Liens), and is enforceable as such against creditors of and purchasers from the Trust Depositor; 

(ii) the Loans, along with the related Loan Files, constitute either a “general intangible”, an “instrument”, an
“account”, “investment property”, or “chattel paper”, within the meaning of the applicable UCC; 
 (iii) the Trust Depositor owns and has, and upon the sale and transfer thereof by the Trust Depositor to the Issuer, the Issuer will have, good and marketable title to the Loan Assets free and clear of any Lien (other than Permitted Liens),
claim or encumbrance of any Person; 
  

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 (iv) the Trust Depositor has received all consents and approvals required by the terms of
the Loan Assets to the sale of the Loan Assets hereunder to the Issuer; 
 (v) the Trust Depositor has caused the filing of
all appropriate financing statements in the proper filing office in the appropriate jurisdictions under applicable law in order to perfect the security interest in such Loan Assets granted to the Issuer under this Agreement; 
 (vi) other than the security interest granted to the Issuer pursuant to this Agreement, the Trust Depositor has not pledged, assigned,
sold, granted a security interest in or otherwise conveyed any of such Loan Assets. The Trust Depositor has not authorized the filing of and is not aware of any financing statements naming the Trust Depositor as debtor that include a description of
collateral covering such Loan Assets other than any financing statement (A) relating to the security interest granted to the Trust Depositor under the Loan Sale Agreement, or (B) that has been terminated. The Trust Depositor is not aware
of the filing of any judgment or tax Lien filings against the Trust Depositor; 
 (vii) all original executed copies of each
Underlying Note (if any) that constitute or evidence the Loan Assets have been delivered to the Trustee, and in the case of Noteless Loans, the documents required pursuant to clause (b)(i)(y)(A) of the definition of Required Loan Documents
have been delivered to the Trustee; 
 (viii) except with respect to Noteless Loans, the Trust Depositor has received a
written acknowledgment from the Trustee that the Trustee or its bailee is holding any Underlying Notes that constitute or evidence any Loan Assets solely on behalf of and for the benefit of the Securityholders; and 
 (ix) none of the Underlying Notes that constitute or evidence any Loan Assets has any marks or notations indicating that they have been
pledged, assigned or otherwise conveyed to any Person other than the Issuer and the Trustee. 
 (l) Value Given. The
cash payments and Securities of the Issuer received by the Trust Depositor in respect of the purchase price of the Loans sold hereunder, together with the Issuer’s assumption of the future funding obligations under the Revolving Loans and
Delayed Draw Term Loans, constitutes reasonably equivalent value in consideration for the transfer to the Issuer of such Loans under this Agreement, such transfer was not made for or on account of an antecedent debt owed by the Originator to the
Trust Depositor, and such transfer was not and is not voidable or subject to avoidance under any Insolvency Law. 
 (m)
Investment Company. The Issuer is not and, after giving effect to the transactions contemplated by the Transaction Documents, will not be required to be registered as an “investment company” within the meaning of the 1940 Act.

 (n) No Defaults. The Trust Depositor is not in default with respect to any order or decree of any court or any
order, regulation or demand of any federal, state, municipal or governmental agency, which default might have consequences that would materially and 

  

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adversely affect the condition (financial or otherwise) or operations of the Trust Depositor or its respective properties or might have consequences that
would materially and adversely affect its performance hereunder. 
 (o) Bulk Transfer Laws. The transfer, assignment
and conveyance of the Loans by the Trust Depositor pursuant to this Agreement are not subject to the bulk transfer laws or any similar statutory provisions in effect in any applicable jurisdiction. 
 (p) Origination and Collection Practices. The origination and collection practices used by any Affiliate of the Trust Depositor
with respect to each Loan have been in all material respects legal, proper and prudent and comply with the Credit and Collection Policy. 
 (q) [Reserved]. 
 (r) Lack of Intent to Hinder, Delay or Defraud. Neither the
Trust Depositor nor any of its Affiliates sold, or will sell, any interest in any Loan with any intent to hinder, delay or defraud any of their respective creditors. 
 (s) Nonconsolidation. The Trust Depositor conducts its affairs such that the Issuer would not be substantively consolidated in the
estate of the Trust Depositor and their respective separate existences would not be disregarded in the event of the Trust Depositor’s bankruptcy. 
 (t) Accuracy of Information. All written factual information heretofore furnished by the Trust Depositor for purposes of or in connection with this Agreement or the other Transaction Documents to which Trust
Depositor is a party, or any transaction contemplated hereby or thereby is, and all such written factual information hereafter furnished by the Trust Depositor to any party to the Transaction Documents will be, true and accurate in all material
respects, on the date such information is stated or certified. 
 The representations and warranties set forth in Section 3.01(k) may not be
waived by any Person and shall survive the termination of this Agreement. The Trust Depositor and Issuer (i) shall not, without satisfaction of the S&P Rating Condition with respect thereto, waive any breach of the representations and
warranties in Section 3.01(k), and (ii) shall provide S&P with prompt written notice upon obtaining knowledge of any breach of the representations and warranties set out in Section 3.01(k). 
 Section 3.02. Representations and Warranties Regarding Each Loan and as to Certain Loans in the Aggregate. 
 The Trust Depositor represents and warrants (x) with respect to Section 3.02(a) and Section 3.02(b) as to each Loan as of
the Closing Date, and as of each Cut-Off Date with respect to each Additional Loan and each Substitute Loan, and (y) with respect to Section 3.02(c), as to the Collateral in the aggregate as of the Closing Date, and as of each
Cut-Off Date with respect to Additional Loans and Substitute Loans (after giving effect to the addition of such Additional Loans and Substitute Loans to the Collateral), that: 
 (a) List of Loans. The information set forth in the List of Loans attached hereto as Exhibit G (as the same may be amended
or deemed amended in respect of a conveyance of Additional Loans or Substitute Loans on a Cut-Off Date) is true, complete and correct as of the applicable Cut-Off Date. 
  

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 (b) Eligible Loan. Such Loan satisfies the criteria for the definition of Eligible
Loan set forth in this Agreement as of the date of its conveyance hereunder, provided that this representation and warranty is made to the Trust Depositor’s actual knowledge with respect to clause (y) and clauses (vi),
(vii), (x) and (xiv) of clause (hh) of the definition of Eligible Loan and, provided further that this representation and warranty is made to the Trust Depositor’s actual knowledge as it relates to the origination
and servicing practices of the servicers primarily responsible for servicing Third Party Agented Loans with respect to clauses (g), (h), (z), (cc) and clauses (ii), (v), (vi) (vii) and (xx) of clause (hh)
of the definition of Eligible Loan. 
 (c) Loans Secured by Real Property. Less than 40% of the Aggregate Outstanding
Loan Balance of the Collateral as of the Closing Date consists of Loans principally secured by real property and the Trust Depositor will not effectuate the transfer of an Additional Loan or Substitute Loan if such transfer would cause more than 40%
of the Aggregate Outstanding Loan Balance of the Collateral as of any Cut-Off Date to consist of Loans principally secured by real property. 
 Section 3.03. Representations and Warranties Regarding the Initial Loans in the Aggregate. 
 The Trust Depositor
represents and warrants, on the Closing Date, that as of the Closing Date, the Initial Loans have the following additional characteristics: (i) no Loan has a remaining maturity of more than 120 months; (ii) the date of the final Scheduled
Payment on the Loan with the latest maturity is not later than March 30, 2019 and (iii) no Loan was originated after the Closing Date. 
 Section 3.04. Representations and Warranties Regarding the Required Loan Documents. 
 The Trust Depositor represents
and warrants on the Closing Date with respect to the Initial Loans (or as of the related Cut-Off Date, with respect to Additional Loans and Substitute Loans), that except as otherwise provided in Section 2.08, the Required Loan Documents
and each other item identified on each Loan Checklist with respect to the Loan File for each Loan are in the possession of the Trustee. 
 Section 3.05. [Reserved]. 
 Section 3.06. Representations and Warranties Regarding the Servicer.

 The Servicer represents and warrants to the Owner Trustee, the Trustee and the Securityholders that: 
 (a) Organization and Good Standing. The Servicer is a corporation duly organized, validly existing and in good standing under the
laws of the jurisdiction of its 

  

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incorporation and has the power to own its assets and to transact the business in which it is currently engaged. The Servicer is duly qualified to do
business as a foreign corporation and is in good standing in each jurisdiction in which the character of the business transacted by it or properties owned or leased by it requires such qualification and in which the failure so to qualify would have
a material adverse effect on the business, properties, assets, or condition (financial or otherwise) of the Servicer or the Issuer. The Servicer is properly licensed in each jurisdiction to the extent required by the laws of such jurisdiction to
service the Loans in accordance with the terms hereof and in which the failure to so qualify would have a material adverse effect on the business, properties, assets, or condition (financial or otherwise) of the Servicer or Issuer. 
 (b) Authorization; Binding Obligations. The Servicer has the power and authority to make, execute, deliver and perform this
Agreement and the other Transaction Documents to which the Servicer is a party and all of the transactions contemplated under this Agreement and the other Transaction Documents to which the Servicer is a party, and has taken all necessary corporate
action to authorize the execution, delivery and performance of this Agreement and the other Transaction Documents to which the Servicer is a party. This Agreement and the other Transaction Documents to which the Servicer is a party constitute the
legal, valid and binding obligations of the Servicer enforceable in accordance with their respective terms, except as enforcement of such terms may be limited by Insolvency Laws and general principles of equity, whether considered in a suit at law
or in equity. 
 (c) No Consent Required. The Servicer is not required to obtain the consent of any other party (other
than those that it has already obtained) or any consent, license, approval or authorization from, or registration or declaration with, any Governmental Authority (other than those that it has already obtained) in connection with the execution,
delivery, performance, validity or enforceability of this Agreement and the other Transaction Documents to which the Servicer is a party. 
 (d) No Violations. The execution, delivery and performance by the Servicer of this Agreement and the other Transaction Documents to which the Servicer is a party will not violate any Applicable Law applicable
to the Servicer, or conflict with, result in a default under or constitute a breach of the Servicer’s organizational documents or any Contractual Obligations to which the Servicer is a party or by which the Servicer or any of the
Servicer’s properties may be bound, or result in the creation of or imposition of any Lien of any kind upon any of its properties pursuant to the terms of any such Contractual Obligations, other than as contemplated by the Transaction
Documents. 
 (e) Litigation. No litigation or administrative proceeding of or before any court, tribunal or
governmental body is currently pending, or to the knowledge of the Servicer threatened, against the Servicer or any of its properties or with respect to this Agreement, or any other Transaction Document to which the Servicer is a party that, if
adversely determined, would in the reasonable judgment of the Servicer be expected to have a material adverse effect on the business, properties, assets or condition (financial or otherwise) of the Servicer or the Issuer or the transactions
contemplated by this Agreement or any other Transaction Document to which the Servicer is a party. 
  

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 (f) Reports. All reports, certificates and other written information furnished by
the Servicer with respect to the Loans are correct in all material respects. 
 Section 3.07. Representations and Warranties of the
Backup Servicer. 
 The Backup Servicer hereby represents and warrants to the Owner Trustee, the Trustee and the Securityholders, as
follows: 
 (a) Organization. It is a corporation duly organized, validly existing and in good standing under the laws
of the jurisdiction of its incorporation with all requisite power and authority to own its properties and to conduct its business as presently conducted and to enter into and perform its obligations pursuant to this Agreement. 
 (b) Good Standing. The Backup Servicer is duly qualified to do business and is in good standing, and has obtained all necessary
licenses and approvals, in all jurisdictions in which the ownership or lease of its property and the conduct of its business requires such qualification, licenses or approvals, except where the failure to so qualify or have such licenses or
approvals has not had, and would not be reasonably expected to have, a material adverse effect on the interests of the Securityholders. 
 (c) Authorization. It has the power and authority to execute and deliver this Agreement and to carry out its terms. It has duly authorized the execution, delivery and performance of this Agreement by all
requisite action. 
 (d) No Violations. The consummation of the transactions contemplated by, and the fulfillment of
the terms of, this Agreement by it will not violate any Applicable Law or conflict with, result in any breach of any of the terms or provisions of, or constitute a default under, its organizational documents or any Contractual Obligations by which
it or any of its property is bound or result in the creation or imposition of any Lien upon any of its properties pursuant to the terms of any Contractual Obligations. 
 (e) No Consent Required. No consent, approval, authorization, order, registration, filing, qualification, license or permit of or
with any Governmental Authority having jurisdiction over it or any of its respective properties is required to be obtained in order for it to enter into this Agreement or perform its obligations hereunder. 
 (f) Binding Obligation. This Agreement constitutes its legal, valid and binding obligation, enforceable in accordance with its
terms, except as such enforceability may be limited by applicable Insolvency Laws and general principles of equity (whether considered in a suit at law or in equity). 
 (g) Litigation. There are no proceedings or investigations pending or, to the best of its knowledge, threatened, against it before
any Governmental Authority (i) asserting the invalidity of this Agreement, (ii) seeking to prevent the consummation of any of the transactions contemplated by this Agreement or (iii) seeking any determination or ruling that might (in
its reasonable judgment) have a material adverse effect on the interests of the Securityholders. 
  

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 ARTICLE IV. 
 PERFECTION OF TRANSFER AND 
 PROTECTION OF SECURITY INTERESTS 
 Section 4.01. Custody of Loans. 
 The contents of each Loan File shall be held in the custody of the Trustee under the Indenture for the benefit of, and as agent for, the Securityholders. 
 Section 4.02. Filing. 
 On or prior to the Closing Date, the Originator, Trust Depositor and
Servicer shall cause the UCC financing statement(s) referred to in Section 2.02(h) hereof to be filed, and from time to time the Servicer shall take and cause to be taken such actions and execute such documents as are necessary or
desirable or as the Owner Trustee or Trustee (acting at the direction of the Majority Noteholders) may reasonably request to perfect and protect the Trustee’s first priority perfected security interest in the Loan Assets against all other
Persons, including, without limitation, the filing of financing statements, amendments thereto and continuation statements, the execution of transfer instruments and the making of notations on or taking possession of all records or documents of
title. Notwithstanding the obligations of the Originator, Trust Depositor and Servicer set forth in the preceding sentence, the Originator, Trust Depositor and Servicer hereby authorize the Owner Trustee to prepare and file, at the expense of the
Servicer, UCC financing statements (including but not limited to renewal, continuation or in lieu statements) and amendments or supplements thereto or other instruments as the Owner Trustee may from time to time deem necessary or appropriate in
order to perfect and maintain the security interest granted hereunder in accordance with the UCC. 
 Section 4.03. Changes in Name,
Corporate Structure or Location. 
 (a) During the term of this Agreement, none of the Originator, the Servicer, the Trust
Depositor or the Issuer shall change its name, form of organization, existence, state of formation or location without first giving at least 30 days’ prior written notice to the Owner Trustee and the other parties hereto. 
 (b) If any change in either the Servicer’s, the Originator’s or the Trust Depositor’s name, form of organization,
existence, state of formation, location or other action would make any financing or continuation statement or notice of ownership interest or Lien relating to any Loan Asset seriously misleading within the meaning of applicable provisions of the UCC
or any title statute, the Servicer, no later than five Business Days after the effective date of such change, shall file such amendments as may be required to preserve and protect the Trustee’s security interest in the Loan Assets and the
proceeds thereof. Promptly after taking any of the foregoing actions, the Servicer shall deliver to the Owner Trustee and the Trustee an Opinion of Counsel reasonably acceptable to the Owner Trustee and the Trustee stating that, in the opinion of
such counsel, all financing statements or amendments necessary to preserve and protect the Trustee’s security interest in the Loan Assets have been filed, and reciting the details of such filing. 
  

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 Section 4.04. Costs and Expenses. 
 The Servicer agrees to pay all reasonable costs and disbursements in connection with the perfection and the maintenance of perfection, as against all
third parties, of the Trustees’ and Issuer’s right, title and interest in and to the Loan Assets (including, without limitation, the security interest in the Related Property related thereto and the security interests provided for in the
Indenture); provided, however, to the extent permitted by the Required Loan Documents, the Servicer may seek reimbursement for such costs and disbursements from the related Obligors. 
 Section 4.05. Sale Treatment. 
 Other than for accounting and tax purposes, the Trust Depositor shall treat the transfer of Loan Assets made hereunder for all purposes as a sale and purchase on all of its relevant books and records. 
 Section 4.06. Separateness from Trust Depositor. 
 The Originator agrees to take or refrain from taking or engaging in with respect to the Trust Depositor each of the actions or activities specified in the “substantive consolidation” opinion of
Winston & Strawn LLP (including any certificates of the Originator delivered in connection therewith) delivered on the Closing Date, upon which the conclusions therein are based. 
 ARTICLE V. 
 SERVICING OF LOANS 
 Section 5.01. Appointment and Acceptance. 
 NewStar is hereby appointed as Servicer pursuant to this Agreement and pursuant to the other Transaction Documents under which the Servicer has any rights, duties or obligations. NewStar accepts such appointment and
agrees to act as the Servicer pursuant to this Agreement and pursuant to the other Transaction Documents under which NewStar, as Servicer, has any rights, duties or obligations. 
 Section 5.02. Duties of the Servicer. 
 (a) The Servicer, as an independent contract servicer, shall service and administer the Loans and shall have full power and authority, acting alone, to do any and all things in connection with such servicing and
administration which the Servicer may deem necessary or desirable and consistent with the terms of this Agreement, the Credit and Collection Policy and the Servicing Standard. The parties hereto each acknowledge, and the Noteholders and the
Certificateholder are hereby deemed to acknowledge, that the Servicer, as Servicer under this Agreement, possesses only such rights with respect to the enforcement of rights and remedies with respect to the Loans and the Related Property and under
the Required Loan Documents as those which have been transferred to the Issuer with respect to the related Loan. Therefore, the provisions of this Article V shall not apply to Third Party Agented Loans except to the extent the Servicer, on
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directions, make advances or receive payments with respect thereto, and these provisions shall only apply to Agented Loans with respect to which the Servicer
is the lead agent and to the extent not inconsistent with the related Required Loan Documents. 
 (b) The Servicer may perform
its duties directly or, consistent with the Servicing Standard, through agents, accountants, experts, attorneys, brokers, consultants or nominees selected with reasonable care by the Servicer. The Servicer will remain fully responsible and fully
liable for its duties and obligations hereunder and under any other Transaction Document notwithstanding any such delegation to a third party. Performance by any such third party of any of the duties of the Servicer hereunder or under any other
Transaction Document shall be deemed to be performance thereof by the Servicer. In addition, the Servicer may enter into Subservicing Agreements for any servicing and administration of Loans with any entity provided the Rating Agency Condition is
satisfied. The Servicer shall be entitled to terminate any Subservicing Agreement in accordance with the terms and conditions of such Subservicing Agreement and to either itself directly service the related Loans or enter into a Subservicing
Agreement with a successor Subservicer which qualifies hereunder. Notwithstanding any Subservicing Agreement, any of the provisions of this Agreement relating to agreements or arrangements between the Servicer and a Subservicer or reference to
actions taken through a Subservicer or otherwise, so long as this Agreement shall remain effective, the Servicer shall remain obligated and primarily liable to the Trustee, for itself and on behalf of the Securityholders, for the servicing and
administering of the Loans in accordance with the provisions of this Agreement, the Credit and Collection Policy and the Servicing Standard, without diminution of such obligation or liability by virtue of such Subservicing Agreements or other
arrangements with third parties pursuant to this clause (b) or by virtue of indemnification from the Subservicer and to the same extent and under the same terms and conditions as if the Servicer alone were servicing and administering the
Loans. For purposes of this Agreement, the Servicer shall be deemed to have received payments on Loans when any Subservicer has received such payments. The Servicer shall be entitled to enter into any agreement with a Subservicer for indemnification
of the Servicer by such Subservicer, and nothing contained in this Agreement shall be deemed to limit or modify such indemnification. 
 (c) Any Subservicing Agreement that may be entered into and any transactions or services relating to the Loans involving a Subservicer in its capacity as such and not as an originator shall be deemed to be between the
Subservicer and the Servicer alone, and the Trustee and the Securityholders shall not be deemed parties thereto and shall have no claims, rights, obligations, duties or liabilities with respect to the Subservicer except as set forth in
Section 5.02(d). Notwithstanding the foregoing, the Servicer shall (i) at its expense and without reimbursement, deliver to the Trustee and Backup Servicer a copy of each Subservicing Agreement and (ii) provide notice of the
termination of any Subservicer within a reasonable time after such Subservicer’s termination to the Trustee and Backup Servicer. 
 (d) In the event the initial Servicer shall for any reason no longer be the Servicer, the initial Servicer at its expense and without right of reimbursement therefor, shall, upon request of the Trustee, deliver to the
Successor Servicer all documents and records (including computer tapes and diskettes) in its possession relating to each Subservicing Agreement and the Loans then being serviced hereunder and an accounting of amounts 

  

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collected and held by it hereunder and otherwise use its best efforts to effect the orderly and efficient transfer of the Subservicing Agreements and of any
other arrangements with third parties pursuant to clause (a) of this Section 5.02 to the Successor Servicer to the extent permitted thereby. 
 (e) Modifications and Waivers Relating to Loans. 
 (i) So long as it is consistent with the Credit and Collection Policy and the Servicing Standard, the Servicer may waive, modify or vary
any term of any Loan if in the Servicer’s determination such waiver, modification or variance will not be materially adverse to the interests of the Noteholders; provided, however, the Servicer may not: 
 (1) amend, waive, modify or vary any Loan in any manner that would extend the stated maturity date of such Loan beyond the date that is
36 months prior to the Stated Maturity; or 
 (2) enter into any amendment, waiver, modification or variance with respect to
any loan for the purpose or with the intention of causing a Substitution Event to occur with respect to such Loan solely in order to render such loan eligible for repurchase or substitution hereunder or to otherwise make such Loan eligible for
repurchase pursuant to Section 2.09. 
 (ii) Except as expressly set forth in Section 5.02(e)(i), the
Servicer may execute any amendments, waivers, modifications or variances related to such Loan and any documents related thereto on behalf of the Issuer. The Servicer will provide each Rating Agency with a written summary of any such amendment,
waiver, modification or variance promptly after its execution and, promptly upon request by any Rating Agency, a copy of any such waiver, modification or variance. Such summary shall set forth a brief description of the reasons for, and the effect
of, such waiver, modification or variance, and shall indicate whether such waiver, modification or variance constitutes a Specified Amendment. 
 (iii) The Servicer will provide each Rating Agency with a written summary of any Specified Amendment promptly after its execution and, promptly upon request by an Rating Agency, a copy of any such Specified Amendment.
Such summary shall set forth a brief description of the reasons for, and the effect of, such Specified Amendment. Any Loan which is subject to a modification described in clause (e) of the definition of Specified Amendment shall be
deemed to be a Delinquent Loan upon the effectiveness of such Specified Amendment. The provisions of this Section 5.02(e)(iii) shall not apply to modifications, amendments or variances that do not constitute Specified Amendments.

 (iv) Although costs incurred by the Servicer or any Subservicer in respect of Servicing Advances, including any interest
owed with respect thereto, may be added to the amount owing by the Obligor under the related Loan, such amounts shall not be so added for the purposes of calculating distributions to Noteholders. Any 

  

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fees and costs imposed in connection therewith on the Obligor of the related Loan, and any reimbursement of Servicer Advances by any Obligor or out of Sale
Proceeds, Liquidation Proceeds, Insurance Proceeds or Released Mortgaged Property Proceeds received with respect to the related Loan or its Related Property shall be withdrawn and payable to the Servicer from the Principal and Interest Account
pursuant to Section 7.03(h). Without limiting the generality of the foregoing, so long as it is consistent with the Credit and Collection Policy and the Servicing Standard, the Servicer shall continue, and is hereby authorized and
empowered to execute and deliver on behalf of the Issuer, the Trustee, the Owner Trustee and each Securityholder, all instruments of amendment, waiver, satisfaction or cancellation, or of partial or full release, discharge and all other comparable
instruments, with respect to the Loans and with respect to any Related Property. Such authority shall include, but not be limited to, the authority to substitute or release items of Related Property consistent with the Credit and Collection Policy
and the Servicing Agreement and sell participations or assignments in Loans previously transferred to the Issuer. The Issuer, the Trustee and the Owner Trustee have granted a power of attorney to the Servicer with respect thereto, pursuant to
Section 5.02(g). In connection with any such sale, the Servicer shall deposit in the Principal and Interest Account, pursuant to Section 7.03(b), all proceeds received upon such sale (other than Excluded Amounts). If
reasonably required by the Servicer, the Issuer, the Trustee and the Owner Trustee, shall furnish the Servicer, within five Business Days of receipt of the Servicer’s request, with any powers of attorney and other documents necessary or
appropriate to enable the Servicer to carry out its servicing and administrative duties under this Agreement or under any of the other Transaction Documents. Any such request by the Servicer to the Issuer, the Trustee or the Owner Trustee, shall be
accompanied by a certification in the form of Exhibit L attached hereto signed by a Servicing Officer. In connection with any substitution of Related Property, the Servicer shall deliver to the Trustee the items required by, and within the
time frame, set forth in Section 2.08, assuming that the date of substitution is the relevant Cut-Off Date. 
 (f)
The Servicer, in servicing and administering the Loans, shall act in good faith, exercise commercially reasonable judgment and reasonable care, consistent with the Credit and Collection Policy and the Servicing Standard, employ or cause to be
employed procedures (including collection, foreclosure, Foreclosed Property and Repossessed Property management procedures other than for Third Party Agented Loans), in accordance with the Required Loan Documents, the Credit and Collection Policy
and the Servicing Standard. 
 (g) In accordance with the power set forth in Section 2.01(a), the Servicer shall
perform the duties of the Issuer and the Owner Trustee under the Transaction Documents. In furtherance of the foregoing, the Servicer shall consult with the Owner Trustee as the Servicer deems appropriate regarding the duties of the Issuer and the
Owner Trustee under the Transaction Documents. The Servicer shall monitor the performance of the Issuer and the Owner Trustee and shall advise the Owner Trustee when action is necessary to comply with the Issuer’s or the Owner Trustee’s
duties under the Transaction Documents. The Servicer shall prepare for execution by the Owner Trustee or the Issuer or shall cause the preparation by other appropriate Persons of all such documents, reports, filings, instruments, 

  

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certificates and opinions as it shall be the duty of the Issuer or the Owner Trustee to prepare, file or deliver pursuant to the Transaction Documents.

 (h) In addition to the duties of the Servicer set forth in this Agreement or any of the Transaction Documents, the Servicer
shall perform or shall cause to be performed such calculations and shall prepare for execution by the Issuer or the Owner Trustee or shall cause the preparation by other appropriate Persons of all such documents, reports, filings, instruments,
certificates and opinions as it shall be the duty of the Issuer to prepare, file or deliver pursuant to state and federal tax and securities laws. In accordance with the directions of the Issuer or the Owner Trustee, as applicable, the Servicer
shall administer, perform or supervise the performance of such other activities in connection with the Issuer as are not covered by any of the foregoing provisions and as are expressly requested by the Issuer or the Owner Trustee and are reasonably
within the capability of the Servicer. 
 (i) Notwithstanding anything in this Agreement or any of the Transaction Documents
to the contrary, the Servicer shall be responsible for promptly (upon a Responsible Officer of the Servicer having actual knowledge thereof) notifying the Owner Trustee and the Paying Agent in the event that any withholding tax is imposed on the
Issuer’s payments (or allocations of income) to a Securityholder. Any such notice shall be in writing and specify the amount of any withholding tax required to be withheld by the Owner Trustee or the Paying Agent pursuant to such provision.

 (j) All tax returns required to be signed by the Issuer, if any, will be signed by the Servicer (so long as the Servicer is
the Originator) on behalf of the Issuer if permitted under applicable law and otherwise by the Owner Trustee on behalf of the Issuer. 
 (k) The Servicer shall maintain appropriate books of account and records relating to services performed under this Agreement, which books of account and records shall be reasonably accessible for inspection by the
Owner Trustee and Trustee at any time during the Servicer’s normal business hours upon not less than three Business Days prior written notice. 
 (l) Without the prior written consent of the Majority Noteholders and subject to the satisfaction of the S&P Rating Condition and the Moody’s Rating Condition, the Servicer shall not agree or consent to, or
otherwise permit to occur, any amendment, modification, change, supplement or rescission of or to the Credit and Collection Policy, in whole or in part, in any manner that could have a material adverse effect on the Loans. 
 (m) For so long as any of the Notes are outstanding and are “restricted securities” within the meaning of Rule 144(a)(3) of the
Securities Act, (i) the Servicer will provide or cause to be provided to any holder of such Notes and any prospective purchaser thereof designated by such holder, upon the request of such a holder or prospective purchaser, the information
required to be provided to such holder or prospective purchaser by Rule 144A(d)(4) under the Securities Act; and (ii) the Servicer shall update such information from time to time in order to prevent such information from becoming false and
misleading and will take such other actions as are necessary to ensure that the safe harbor exemption from the 

  

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registration requirements of the Securities Act under Rule 144A is and will be available for resales of such Notes conducted in accordance with Rule 144A.

 (n) The initial Servicer will keep in full force and effect its existence, rights and franchise as a Delaware corporation,
and the Servicer shall obtain and preserve its qualification to do business as a foreign corporation in each jurisdiction in which such qualification is or shall be necessary to protect the validity and enforceability of this Agreement and of any of
the Loans and to perform its duties under this Agreement. 
 (o) The Servicer shall be obligated to make the Servicing
Advances (but not Scheduled Payment Advances) incurred in the performance of its servicing duties hereunder as provided in Section 5.09 hereof. The Servicer shall be entitled to reimbursement for such Servicing Advances from the
Collections received from the Loan to which such Servicing Advances relate pursuant to Section 5.10(d) and Section 7.03(h). Notwithstanding anything contained herein to the contrary, in no event shall the application of
Scheduled Payment Advances prevent a Loan from being or becoming a Delinquent Loan or Charged-Off Loan, as applicable. 
 (p)
The Servicer shall not be responsible for any taxes payable by the Issuer or any Servicing Fees payable to any Successor Servicer. 
 (q) All payments received on Loans by the Servicer will be applied by the Servicer to amounts due by the Obligor in accordance with the provisions of the related Required Loan Documents or, if to be applied at the discretion of the
Servicer, then consistent with the Credit and Collection Policy and the Servicing Standard. 
 (r) To the extent permitted by
applicable law, the initial Servicer shall be responsible for any tax reporting, disclosure, record keeping or list maintenance requirements of the Issuer under Code Sections 601l(a), 611l(d) or 6112, including, but not limited to, the preparation
of IRS Form 8886 pursuant to Federal Income Tax Regulations Section 1.601 l-4(d) or any successor provision and any required list maintenance under Federal Income Tax Regulations Section 301.6112-1 or any successor provision. 

(s) The Servicer shall notify the Backup Servicer of any material modification to its servicing system. 
 (t) The Servicer will maintain the Servicing Files at the principal place of business of the Servicer at the address set forth in
Section 13.04 hereof in accordance with the Servicing Standard. 
 (u) Promptly following any extension of the
Reinvestment Period or any early termination of the Reinvestment Period, the Servicer shall give written notice thereof to the Trustees, the Trust Depositor, the Backup Servicer and the Rating Agencies at the addresses described in
Section 13.04 hereof. 
 (v) The Trust Depositor, the Issuer, the Owner Trustee and the Trustee each hereby
irrevocably (except as provided below) appoint the Servicer its respective true and lawful agent and attorney-in-fact (with full power of substitution) in its name, place and stead 

  

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and at the Issuer’s expense, in connection with the performance of the Servicer’s duties provided for in this Agreement and in the other
Transaction Documents, including the following powers: (a) to give any necessary receipts or acquittance for amounts collected or received on or with respect to the Loans and the Related Property, (b) to make all necessary transfers of the
Loans, and/or of the Related Property, as applicable, in accordance herewith and therewith, (c) to execute (under hand under seal or as a deed) and deliver all necessary or appropriate bills of sale, assignments, agreements and other
instruments and endorsements in connection with any such transfer, and (d) to execute (under hand, under seal or as a deed) any votes, consents, directions, releases, amendments, waivers, satisfactions and cancellations, agreements,
instruments, orders or other documents or certificates in connection with or pursuant to this Agreement or the other Transaction Documents relating thereto or to the duties of the Servicer hereunder or thereunder, the Trust Depositor, the Issuer,
the Owner Trustee and the Trustee hereby ratifying and confirming all that such attorney-in-fact (or any substitute) shall lawfully do under this power of attorney and in accordance with this Agreement and the other Transaction Documents as
applicable thereto. Nevertheless, if so requested by the Servicer, the Trust Depositor, the Issuer, the Owner Trustee and the Trustee or any thereof, as requested, shall ratify and confirm any such act by executing and delivering to the Servicer or
as directed by the Servicer all proper bills of sale, assignments, releases, endorsements and other certificates, instruments and documents of whatever nature as may reasonably be designated in any such request. This power of attorney shall,
however, expire, and the Servicer and any substitute agent or attorney-in-fact appointed by the Servicer pursuant hereto shall cease to have any power to act as the agent or attorney-in-fact of the Issuer, the Trustee or of the Owner Trustee upon
termination of this Agreement or upon a Servicer Transfer from and after which the Successor Servicer shall be deemed to have the rights of the Servicer pursuant to this clause (y). 
 (w) The Servicer shall execute and file such financing statements and cause to be executed and filed such continuation 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, the Securityholders, the Trustee and the Owner Trustee in the Loans and in the proceeds thereof. The Servicer shall deliver
(or cause to be delivered) to the Owner Trustee and the Trustee file-stamped copies of, or filing receipts for, any document filed as provided above, as soon as available following such filing. 
 (x) If at any time during the Reinvestment Period the Issuer receives a payment of principal with respect to a Revolving Loan and, after
giving effect to such payment (and any corresponding increase in the Exposure Amount), the Class A-2 Funding Test is not satisfied, the Servicer shall transfer an amount of Principal Collections sufficient to cause the Class A-2 Funding
Test to be satisfied from the Principal Collections Account to the Class A-2 Funding Account. 
 (y) Notwithstanding any
other provision of this Agreement, if any material conflict or material inconsistency exists among the Required Loan Documents, the Credit and Collection Policy and the Servicing Standard, the provisions of the Required Loan Documents shall control.

  

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 Section 5.03. Liquidation of Loans. 
 (a) In the event that any payment due under any Loan and not postponed pursuant to Section 5.02 is not paid when the same
becomes due and payable, or in the event the Obligor fails to perform any other covenant or obligation under the Loan which results in an event of default thereunder, the Servicer in accordance with the Required Loan Documents, the Credit and
Collection Policy and the Servicing Standard shall take such action as shall maximize the amount of recovery thereon and as the Servicer shall deem to be in the best interests of the Noteholders. 
 (b) The Servicer, consistent with its Credit and Collection Policy and the Servicing Standard, may accelerate all payments due under any
Loan to the extent permitted by the Required Loan Documents and foreclose upon at a public or private sale or otherwise comparably effect the ownership of Related Property relating to Charged-Off Loans for which the related Loan is still outstanding
and as to which no satisfactory arrangements can be made for collection of delinquent payments in accordance with the provisions of Section 5.10 and, subject to applicable laws, shall act, or shall engage an experienced Person qualified
to act, as sales and processing agent for the Related Property that is foreclosed upon. In connection with such foreclosure or other conversion and any other liquidation action or enforcement of remedies, the Servicer shall exercise collection and
foreclosure procedures in accordance with the Credit and Collection Policy and the Servicing Standard. Without limiting the generality of the foregoing, the Servicer may not sell any such Related Property without first using commercially reasonable
efforts to obtain bids to purchase such Related Property from at least three Persons (other than the Servicer or any of its Affiliates). The Servicer may sell the Related Property to the highest bidder (if any bids are received) or the Servicer or
an Affiliate may purchase the Related Property for a price equal to the highest bid, but in no event may the Servicer sell any Related Property for less than the then fair market value of the Related Property. If no bids are received and the
Servicer has used commercially reasonable efforts to obtain such bids, the Servicer or an Affiliate may purchase the Related Property for a price equal to the then fair market value of such Related Property. Any such sale of the Related Property is
to be evidenced by a certificate of a Responsible Officer of the Servicer delivered to the Trustee setting forth the Loan, the Related Property, the sale price of the Related Property and certifying that such sale price is the fair market value of
such Related Property. In any case in which any such Related Property has suffered damage, the Servicer will not expend funds in connection with any repair or toward the repossession of such Related Property unless it reasonably determines that such
repair and/or repossession will increase the Liquidation Proceeds by an amount greater than the amount of such expenses. 
 (c) Prior to undertaking foreclosure of any Loan secured by real property and any improvements thereon including any Mortgaged Property of a Real Estate Loan, the Servicer must investigate environmental conditions, including, in accordance
with the Credit and Collection Policy and the Servicing Standard, the performance of a Phase I Environmental Site Assessment and, if required by the Phase I Environmental Site Assessment, a Phase II Environmental Site Assessment, to ascertain the
actual or potential presence of any hazardous material on or under such property. For purposes of this Agreement, the term hazardous material includes (1) any hazardous substance, as defined by the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, as amended by the 

  

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Superfund Amendments and Reauthorization Act of 1986, 42 U.S.C. 9601-9675, and (2) petroleum (as that term is defined at 42 U.S.C. § 6991)
including any derivative, fraction, by-product, constituent or breakdown product thereof, or additive thereto. In the event that the environmental investigation determines the existence of any hazardous material on or under the real property in
excess of minimum action levels established by relevant regulatory agencies, title to such property shall not be taken without satisfaction of the Rating Agency Condition and, in any event, title to such real property shall not be taken if the
Servicer reasonably expects that the costs of causing such real property to comply with any applicable Environmental Law, considered together with all other Servicing Advances and Liquidation Expenses relating to such Loan or Related Property
expected to be required to be advanced or paid hereunder and any then outstanding and unreimbursed Scheduled Payment Advances and Servicing Advances, together with interest due thereon, shall, upon disposition of the Related Property result in any
portion thereof constituting Nonrecoverable Advances. 
 (d) After a Loan has been liquidated, the Servicer shall promptly
prepare and forward to the Trustee and upon request, any Securityholder, a report (the “Liquidation Report”), in the form attached hereto as Exhibit D, detailing the Liquidation Proceeds received from such Loan, the
Liquidation Expenses incurred and reimbursed to the Servicer with respect thereto, any Scheduled Payment Advances and Servicing Advances, together with interest due thereon, reimbursed to the Servicer therefrom, any loss incurred in connection
therewith, and any Nonrecoverable Advances to be reimbursed to the Servicer with respect thereto in accordance with the Priority of Payments in Section 7.05. 
 Section 5.04. Fidelity Bond. 
 The Servicer shall at all times maintain with a
responsible company, and at its own expense, a blanket fidelity bond (the “Fidelity Bond”) in a minimum aggregate amount equal to $2,000,000, and a maximum deductible of $100,000, with coverage on all employees acting in any
capacity requiring such persons to handle funds, money, documents or papers relating to the Loans or the Related Property (“Servicer Employees”). The Fidelity Bond shall provide coverage to the Trustee, the Owner Trustee and the
Securityholders, their respective officers and employees, against losses resulting from forgery, theft, embezzlement or fraud by such Servicer Employees. The Fidelity Bond shall not relieve the Servicer from its duties or indemnity obligations as
set forth in this Agreement. Upon the request of the Trustee, the Owner Trustee or any Securityholder, the Servicer shall cause to be delivered to the Trustee, the Owner Trustee or such Securityholder a certified true copy of such Fidelity Bond.

 Section 5.05. Maintenance of Hazard Insurance. 
 (a) Other than with respect to Agented Loans and Third Party Agented Loans, the Servicer will use its reasonable best efforts to ensure
that each Obligor maintains hazard insurance with extended coverage and liability insurance with respect to each Loan, in such amounts as required under the applicable Required Loan Documents; provided that if and to the extent that the
Required Loan Documents permit the lender or its agent any discretion (by way of consent, approval or otherwise) as to the insurance coverage that the related Obligor is required to maintain, the Servicer shall exercise such discretion in a manner
consistent with the Credit and Collection Policy and the Servicing Standard. The Servicer will 

  

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use its reasonable best efforts to ensure that each Obligor maintains hazard insurance with respect to insurable improvements on real property and tangible,
personal property constituting Related Property which was material to the underwriting of the Loan (other than accounts receivable) in an amount at least equal to the least of (i) the aggregate appraised or evaluated amounts of such Related
Property, (ii) the sum of the Outstanding Loan Balance of the related Loan and the outstanding principal amount of any other indebtedness of the Obligor secured by such Related Property of equal priority with or prior to the related Loan and
(iii) the full insurable value of such Related Property. If an Obligor fails to maintain such hazard insurance, the Servicer may in its discretion purchase and maintain such insurance on behalf of, and at the expense of, the Obligor and any
amounts advanced by the Servicer with respect thereto shall constitute Servicing Advances reimbursable hereunder. 
 (b)
Without limiting Section 5.05(a), in the case of each Real Estate Loan, the Servicer shall use its reasonable best efforts to ensure that the Obligor on the related Loan maintains fire and hazard insurance with extended coverage
customary in the area where the Mortgaged Property is located for real property similar to the Mortgaged Property. If permissible under the Required Loan Documents, and to the Servicer’s knowledge after reasonable investigation, the related
Mortgaged Property is in an area identified in the Federal Register by the Flood Emergency Management Agency as having special flood hazards (and such flood insurance has been made available), consistent with the Credit and Collection Policy and the
Servicing Standard, the Servicer will require the related Obligor to purchase a flood insurance policy covering the insurable real property that is material to the underwriting of the Loan with a generally acceptable insurance carrier, in an amount
representing coverage not less than the least of (i) the full insurable value of such material Mortgaged Property, (ii) the maximum amount of insurance available under the National Flood Insurance Act of 1968, as amended, and
(iii) the sum of the Outstanding Loan Balance of the related Loan and the outstanding principal amount of any other indebtedness of the Obligor secured by such Mortgaged Property of equal priority with or prior to the related Loan. The Servicer
shall also maintain, to the extent such insurance is available at commercially reasonable rates and required by the Credit and Collection Policy and the Servicing Standard, on Foreclosed Property constituting insurable real property of material
value, similar fire and hazard insurance in the amounts described above and, if applicable, general liability insurance. Any amounts advanced by the Servicer in connection with any such insurance shall constitute Servicing Advances reimbursable
hereunder. It is understood and agreed that no earthquake or other additional insurance need be required by the Servicer of any Obligor or other creditors or maintained on Foreclosed Property, other than pursuant to such Applicable Law and
regulations as shall at any time be in force and as shall require such additional insurance. 
 (c) The Servicer agrees to
present, on behalf of the Trustee and the Securityholders, claims to the insurer under each such hazard Insurance Policy and, with respect to any Foreclosed Property, any such general liability policy, and to settle, adjust and compromise such
claims, in each case, consistent with the terms of the Required Loan Documents, the Credit and Collection Policy and the Servicing Standard. Except as otherwise provided in this Agreement, the Servicer hereby disclaims any and all right, title and
interest in and to any Insurance Policy and Insurance Proceeds with respect to any Related Property, excluding any Insurance Policy with respect to which it is named as loss payee and as an insured, and agrees that it has no equitable, beneficial or
other interest in the Insurance Polices 

  

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and Insurance Proceeds other than being named as loss payee and as an insured and except for its right to receive therefrom amounts due to it under this
Agreement. Any amounts collected by the Servicer under any such Insurance Policies in respect of the related Loan (other than amounts to be applied to the restoration or repair of the Related Property or amounts to be released to the Obligor or
other creditors or Persons in accordance with Applicable Law, the Required Loan Documents, the Credit and Collection Policy and the Servicing Standard) shall be deposited in the Principal and Interest Account, subject to withdrawal pursuant to
Section 7.03(h). 
 (d) All hazard Insurance Policies required under this Section 5.05 in respect of
Real Estate Loans (other than Third Party Agented Loans) shall be endorsed with loss payable to the Servicer, showing the Servicer and the Trustee as additional insureds, as their interests may appear, and any hazard insurance policy on Mortgaged
Property required hereunder shall include a standard mortgagee endorsement. 
 Section 5.06. Collection of Certain Loan Payments.

 (a) The Servicer shall make reasonable efforts, consistent with the Credit and Collection Policy and the Servicing
Standard, to collect all payments required under the terms and provisions of the Loans. Consistent with the foregoing and the Credit and Collection Policy and the Servicing Standard, the Servicer may in its discretion waive or permit to be waived
any fee or charge which the Servicer would be entitled to retain hereunder as servicing compensation and extend the due date for payments due on a Loan as provided in Section 5.02(e). 
 (b) Except as otherwise permitted under this Agreement, the Servicer agrees not to make, or consent to, any change, in the direction of,
or instructions with respect to, any payments to be made by an Obligor or, in connection with an Agented Loan or a Third Party Agented Loan, the paying agent with respect thereto, in any manner that would diminish, impair, delay or otherwise
adversely effect the timing or receipt of such payments to the Concentration Account without the prior written consent of the Trustee and with the consent of the Majority Noteholders. 
 Section 5.07. Access to Certain Documentation and Information Regarding the Loans. 
 The Servicer shall provide to the Owner Trustee, the Trustee, the Backup Servicer, any bank, thrift or insurance company regulatory authority and the
supervisory agents and examiners of the foregoing, access to the documentation regarding the Loans required by applicable local, state and federal regulations, such access being afforded without charge but only upon not less than three Business Days
prior written request by the Owner Trustee, the Trustee or any such regulated Noteholder and during normal business hours at the offices of the Servicer designated by it and in a manner that does not unreasonably interfere with the Servicer’s
normal operations or customer or employee relations. The Trustee, the Owner Trustee, such Noteholder and the representative of any such regulatory authority designated by the related Noteholder to view such information shall and shall cause their
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 Trustee and the Owner

  

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Trustee may reasonably determine that such disclosure is consistent with their obligations hereunder. The Servicer may request that any such Person not a
party hereto enter into a confidentiality agreement reasonably acceptable to the Servicer prior to permitting such Person to view such information. 
 Section 5.08. Satisfaction of Mortgages and Collateral and Release of Loan Files. 
 (a) Upon the payment
in full of any Loan, the receipt by the Servicer of a notification that payment in full will be escrowed in a manner customary for such purposes or the deposit into the Principal and Interest Account of the purchase price of any Loan acquired by the
Trust Depositor, the Servicer or another Person pursuant to this Agreement, or any other Transaction Document, the Servicer will immediately notify the Trustee by a certification in the form of Exhibit M attached hereto (which certification
shall include a statement to the effect that all amounts received or to be received in connection with such payment which are required to be deposited in the Principal and Interest Account pursuant to Section 7.03(b) have been or will be
so deposited) of a Servicing Officer and shall request delivery to it of the Loan File. Upon receipt of such certification and request, the Trustee in accordance with Section 2.10(c), shall release, within two Business Days (if such
request was received by 2:00 p.m. central time), the related Loan File to the Servicer. Expenses incurred in connection with any instrument of satisfaction or deed of reconveyance shall be payable by the Servicer and shall not be chargeable to the
Principal and Interest Account or the Note Distribution Account; provided that the Servicer may collect and retain such expenses from the underlying Obligor. 
 (b) From time to time and as appropriate for the servicing or foreclosure of any Loan, the Trustee shall, upon request of the Servicer and
delivery to the Trustee of a certification in the form of Exhibit M attached hereto signed by a Servicing Officer, release the related Loan File to the Servicer within two Business Days (if such request was received by 2:00 p.m. Eastern
time). The Servicer shall return the Loan File to the Trustee when the need therefor by the Servicer no longer exists, unless the Loan has been liquidated and the Liquidation Proceeds relating to the Loan have been deposited in the Principal and
Interest Account and remitted to the Trustee for deposit in the Note Distribution Account or the Loan File or such document has been delivered to an attorney, or to a public trustee or other public official as required by law, for purposes of
initiating or pursuing legal action or other proceedings for the foreclosure or repossession of Related Property either judicially or non- judicially, and the Servicer has delivered to the Trustee a certificate of a Servicing Officer certifying as
to the name and address of the Person to whom such Loan File or such document was delivered and the purpose or purposes of such delivery. Upon receipt of a certificate of a Servicing Officer stating that such Loan was liquidated, the servicing
receipt relating to such Loan shall be released by the Trustee to the Servicer. 
 (c) The Trustee shall execute and deliver
to the Servicer any court pleadings, requests for trustee’s sale or other documents provided to it necessary to the servicing or foreclosure or trustee’s sale in respect of Related Property or to any legal action brought to obtain judgment
against any Obligor on the related loan agreement (including any Underlying Note or other agreement securing Related Property) or to obtain a deficiency judgment, or to enforce any other remedies or rights provided by the related loan agreement

  

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(including any Underlying Note or other agreement securing Related Property) or otherwise available at law or in equity. Together with such documents or
pleadings, the Servicer shall deliver to the Trustee a certificate of a Servicing Officer requesting that such pleadings or documents be executed by the Trustee and certifying as to the reason such documents or pleadings are required and that the
execution and delivery thereof by the Trustee will not invalidate or otherwise adversely affect the Lien of the agreement securing Related Property, except for the termination of such a Lien upon completion of the foreclosure or trustee’s sale.
The Trustee shall, upon receipt of a written request from a Servicing Officer, execute any document provided to the Trustee by the Servicer or take any other action requested in such request, that is, in the opinion of the Servicer as evidenced by
such request, required or appropriate by any state or other jurisdiction to discharge the Lien securing Related Property upon the satisfaction thereof and the Trustee will sign and post, but will not guarantee receipt of, any such documents to the
Servicer, or such other party as the Servicer may direct, within five Business Days of the Trustee’s receipt of such certificate or documents. Such certificate or documents shall state that the related Loan has been paid in full by or on behalf
of the Obligor (or subject to a deficiency claim against such Obligor) and that such payment has been deposited in the Principal and Interest Account. 
 (d) Notwithstanding anything contained in this Section 5.08 to the contrary, in no event may the Servicer possess in excess of ten Loan Files (excluding Loan Files for Loans which have been paid in full or
repurchased) at any given time. 
 Section 5.09. Scheduled Payment Advances; Servicing Advances and Nonrecoverable Advances.

 (a) For each Due Period, if the Servicer determines that any Scheduled Payment (or portion thereof) that was due and
payable pursuant to a Loan in the Collateral during such Due Period was not received prior to the end of such Due Period, the Servicer has the right to elect, but is not obligated, to make a Scheduled Payment Advance in an amount up to the amount of
such delinquent Scheduled Payment (or portion thereof) unless the Servicer believes in good faith that pursuant to Section 5.09(b) that such advance will be a Nonrecoverable Advance. The Servicer will deposit any Scheduled Payment
Advances into the Principal and Interest Account on or prior to 11:00 a.m. (New York City time) on the related Reference Date, in immediately available funds. The Servicer will be entitled to be reimbursed for Scheduled Payment Advances, together
with accrued and unpaid interest thereon at the applicable prime rate as established by the Servicer (and in the case of any Successor Servicer, at the rate published in The Wall Street Journal from time to time as the prime rate in the United
States) pursuant to Section 7.03, Section 7.05(a) and Section 7.05(b). The Servicer is obligated to make Servicing Advances in the performance of its servicing duties, unless it believes in good faith that the
advance will be a Nonrecoverable Advance. The Servicer will be entitled to reimbursement for Servicing Advances, with interest thereon to accrue at the applicable prime rate as established by the Servicer (and in the case of any Successor Servicer,
at the rate published in The Wall Street Journal from time to time as the prime rate in the United States), from the Collections received from the Loan to which the Servicing Advance relates as well as pursuant to the Priority of Payments.

  

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 (b) The Servicer will not make a Scheduled Payment Advance or a Servicing Advance if the
Servicer has determined in its sole discretion, exercised in good faith and consistent with the Servicing Standard, that the amount of such Scheduled Payment Advance or Servicing Advance proposed to be advanced plus interest expected to accrue
thereon, will be a Nonrecoverable Advance. Absent bad faith, the Servicer’s determination as to whether any Scheduled Payment Advance or Servicing Advance is expected to be a Nonrecoverable Advance or whether, once advanced, it is a
Nonrecoverable Advance, shall be conclusive and binding on the Issuer and on the Noteholders. The determination by the Servicer that any proposed Servicing Advance, if made, would constitute a Nonrecoverable Advance or that it has made a
Nonrecoverable Advance shall be made by the Servicer and shall be evidenced by an Officer’s Certificate delivered promptly to the Trustee, setting forth the basis for such determination. 
 (c) The Servicer will be entitled to recover any Scheduled Payment Advance made by it, together with accrued interest due thereon, from
Interest Collections in the case of Scheduled Payment Advances of interest, and from Principal Collections in the case of Scheduled Payment Advance of principal, in each case received from the Obligor with respect to the specific Loan for which such
Scheduled Payment Advance was made or other collections or proceeds with respect to such Loan or the Related Property; provided that if at any time a Scheduled Payment Advance of interest, together with accrued interest thereon, made by the
Servicer is subsequently determined to be a Nonrecoverable Advance, the Servicer will be entitled to recover the amount of such Nonrecoverable Advance from the Principal and Interest Account on any Business Day during any Due Period prior to the
related Reference Date (or on a Distribution Date prior to any payment of interest on or principal of the Notes in accordance with the Priority of Payments); and provided further that if at any time a Scheduled Payment Advance of principal,
together with accrued interest thereon, made by the Servicer is subsequently determined to be a Nonrecoverable Advance, the Servicer will be entitled to recover the amount of such Nonrecoverable Advance on a Distribution Date to the extent then
permitted in accordance with the Priority of Payments. The Servicer will be entitled to recover the amount of any Servicing Advance, together with accrued interest thereon, from the Principal find Interest Account from amounts received from or with
respect to the specific Loan or Related Property with respect to which such Servicing Advance was made on any Business Day during any Due Period prior to the related Reference Date, provided that, if such Servicing Advance, together with
accrued interest thereon, is subsequently determined to be a Nonrecoverable Advance, the Servicer will be entitled to recover the amount of such Nonrecoverable Advance on any Distribution Date prior to any payment of interest on or principal of the
Notes in accordance with the Priority of Payments. 
 (d) The Servicer shall be entitled to an annual rate of interest payable
at the applicable prime rate as established by the Servicer (or, for any Successor Servicer, the rate specified in Section 5.09(a)) with respect to each Scheduled Payment Advance and each Servicing Advance from and including the date
such advance is made by the Servicer to but not including the date of reimbursement of such advance to the Servicer. 
  

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 Section 5.10. Title, Management and Disposition of Foreclosed Property. 
 (a) In the event that title to Related Property is acquired by the Servicer hereunder in foreclosure or by deed in lieu of foreclosure or
by other legal process, the deed or certificate of sale, or the Repossessed Property, shall be taken in the name of the Issuer for the benefit of the Securityholders. 
 (b) The Servicer, subject to the provisions of this Article V, shall manage, conserve, protect and operate each such Foreclosed
Property or other Repossessed Property for the Securityholders solely for the purpose of its prudent and prompt disposition and sale. The Servicer shall, either itself or through an agent selected by the Servicer, manage, conserve, protect and
operate the Foreclosed Property or other Repossessed Property in a manner consistent with the Credit and Collection Policy and the Servicing Standard. The Servicer shall attempt to sell the same (and may temporarily rent the same) on such terms and
conditions as the Servicer deems to be in the best interest of the Securityholders. 
 (c) The Servicer shall cause to be
deposited in the Principal and Interest Account, no later than two Business Days after the receipt thereof, all revenues received with respect to the conservation and disposition of the related Foreclosed Property or other Repossessed Property net
of Liquidation Expenses. 
 (d) The Servicer shall, subject to Section 5.02(o) and Section 7.03,
reimburse itself for any related unreimbursed Scheduled Payment Advances and Servicing Advances, together with accrued and unpaid interest due thereon, and unpaid Servicing Fees, and the Servicer shall deposit in the Principal and Interest Account
the net cash proceeds of the sale of any Foreclosed Property or other Repossessed Property to be distributed to the Securityholders in accordance with Section 7.05 hereof. 
 Section 5.11. Servicing Compensation. 
 (a) As compensation for its servicing activities hereunder and reimbursement for its expenses, the Servicer shall be entitled to receive a servicing fee (the “Servicing Fee”) which shall consist of
the senior servicing fee (with respect to each Due Period, the “Senior Servicing Fee”) and a subordinated servicing fee (with respect to each Due Period, the “Subordinated Servicing Fee”) calculated and payable
quarterly in arrears on each Distribution Date prior to the termination of the Issuer. The Senior Servicing Fee and Subordinated Servicing Fee shall each be equal to the sum of the product of: (i) 0.50%, (ii) the Aggregate Outstanding Loan
Balance as of the beginning of the related Due Period (or, with respect to the first Due Period, as of the Closing Date) and (iii) a fraction, the numerator of which is equal to the number of days in the related Due Period (or, with respect to
the first Due Period, the number of days from the Closing Date to the end of the first Due Period) and the denominator of which is 360. The Servicing Fee is payable out of Collections pursuant to Section 7.05(a) and
Section 7.05(b). If the Servicer is replaced, the Originator shall be responsible for the payment of any fee payable to a Successor Servicer in excess of the Servicing Fee to the extent such fee is not paid pursuant to
Section 7.05(a) and Section 7.05(b). 
  

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 (b) In addition to the Servicing Fee, the Servicer shall be entitled to retain for itself
as additional servicing compensation assumption and other administrative fees paid or payable in connection with any Loan. 
 Section 5.12. Assignment; Resignation. 
 The Servicer shall not assign its rights and duties under this Agreement
(other than in connection with a subservicing or other arrangement permitted under this Agreement) nor resign from the obligations and duties hereby imposed on it as Servicer except (a) by mutual consent of the Servicer, the Trustee and the
Majority Noteholders, (b) in connection with a merger, conversion or consolidation permitted pursuant to Section 5.13 (in which case the Person resulting from the merger, conversion or consolidation shall be the successor of the
Servicer), (c) in connection with an assignment permitted pursuant to Section 5.13 (in which case the assignee shall be the successor of the Servicer), or (d) upon the Servicer’s determination that its duties hereunder are
no longer permissible under Applicable Law or administrative determination and such incapacity cannot be cured by the Servicer. Any such determination permitting the resignation of the Servicer shall be evidenced by a written Opinion of Counsel (who
may be counsel for the Servicer) to such effect delivered to the Trustee, which Opinion of Counsel shall be in form and substance reasonably acceptable to the Trustee. No such resignation shall become effective until a successor has assumed the
Servicer’s responsibilities and obligations hereunder in accordance with Section 8.03. 
 Section 5.13. Merger or
Consolidation of Servicer. 
 (a) Any Person into which the Servicer may be merged or consolidated, or any Person
resulting from such merger, conversion or consolidation to which the Servicer is a party, or any Person succeeding to substantially all of the business of the Servicer, and who shall be an established commercial loan servicing institution that on a
consolidated basis has a net worth of at least $50,000,000, shall be the Successor Servicer hereunder without execution or filing of any paper or any further act on the part of any of the parties hereto, notwithstanding anything herein to the
contrary; provided, however, no such merger, conversion or consolidation of the Servicer or transfer of all or substantially all of the Servicer’s assets or business shall be permitted hereunder unless the Rating Agency Condition is
satisfied with respect thereto or unless the Servicer appoints a Successor Servicer which meets such requirements and accepts such appointment to become Servicer hereunder and the Rating Agency Condition is satisfied with respect thereto. Such
Successor Servicer shall be a permitted assignee of the Servicer. The provisions of Section 8.03(c) and (e) shall apply to any such servicing transfer. 
 (b) So long as the Servicer is the Originator, upon the occurrence of any merger or consolidation of the Originator or transfer of
substantially all of its assets and its business which, in the case of a merger or consolidation, results in the failure of the holders of the common voting stock of the Originator as of the Closing Date to own 51% of the outstanding common voting
stock of the Originator or any successor entity with or into which the Originator shall have been merged or consolidated, the Servicer shall (i) provide the Trust Depositor, the Trustee and the Rating Agencies with notice of such
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30 days after completion of the same, and (ii) satisfy the Rating Agency Condition after completion of the same. 
 Section 5.14. Limitation on Liability of the Servicer and Others. 
 The Servicer and any stockholder, partner, member, manager, director, officer, employee or agent of the Servicer may rely on any document of any kind
which it in good faith reasonably believes to be genuine and to have been adopted or signed by the proper authorities or persons respecting any matters arising hereunder. Except as otherwise provided in Section 5.02(b), the Servicer
shall not be liable for any errors, inaccuracies or omissions of any Person not affiliated with the Servicer contained in any information, report, certificate, data or other document delivered to the Servicer or on which the Servicer must rely in
order to perform its obligations hereunder and under the other Transaction Documents. The Servicer shall not be in default hereunder or incur any liability, except as provided in the proviso in the last sentence of this Section 5.14 for
any failure, error or delay in carrying out its duties hereunder or under any other Transaction Document if such failure, error or delay results from the Servicer acting in accordance with information prepared or supplied by a Person other than the
Servicer or any of its Affiliates or the failure or delay of any such Person to prepare or provide such information. The Servicer shall not be in default and shall incur no liability for any act or failure to act by any servicer primarily
responsible for servicing Third Party Agented Loans. Subject to the terms of Section 12.01 herein, the Servicer shall have no obligation to appear with respect to, prosecute or defend any legal action which is not incidental to the
Servicer’s duty to service the Loans in accordance with this Agreement. The Servicer shall not be responsible for the payment of any taxes imposed on or with respect to the Issuer or for the fees of any Successor Servicer. Except as provided
herein, the Servicer shall not be under any liability to any other party to the Agreement, the Noteholder, or the Certificateholder or any other Person for any action taken or for refraining from taking any action pursuant to this Agreement whether
arising from express or implied duties under this Agreement; provided, however, notwithstanding anything to the contrary contained herein, nothing shall protect the Servicer against any liability that would otherwise be imposed by reason of
its willful misfeasance, bad faith or negligence in the performance of duties or by reason of its willful misconduct hereunder. 
 Section 5.15. The Backup Servicer. 
 (a) The Issuer and the Trust Depositor hereby appoint Lyon
Financial Services, Inc. to act as Backup Servicer in accordance with the terms of this Agreement. Lyon Financial Services, Inc. hereby accepts such appointment and agrees to perform the duties and responsibilities with respect thereto set forth
herein. 
 (b) The Backup Servicer shall perform the following duties and obligations: 
 (i) On or before four Business Days after the Closing Date, the Backup Servicer shall accept from the Servicer delivery of the information
required to be set forth in the Quarterly Reports in hard copy and in an agreed upon electronic format. 
  

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 (ii) Not later than 12:00 noon New York time four Business Days after the end of the
related Due Period, the Servicer shall provide to the Backup Servicer and the Backup Servicer shall accept delivery of tape in an agreed upon electronic format (the “Tape”) from the Servicer, which shall include but not be limited to the
following information: (A) for each Loan, (1) Loan number, (2) Loan category (i.e., Real Estate Loan, Traditional Middle Market Loan, Large Middle Market Loan or Broadly Syndicated Loan), (3) state of Obligor’s primary
business, (4) Moody’s Industry Classification Group, (5) type of Loan (i.e., Term Loan, Delayed Draw Term Loan or Revolving Loan), (6) type of security interest (i.e., First Lien Loan or Second Lien Loan), (7) term payment
type, (8) origination date, (9) maturity date, (10) benchmark for Loan Rate, (11) margin, (12) frequency of Scheduled Payments, (13) the collection status (current or delinquent; including number of days delinquent
inclusive of any grace period), (14) the Outstanding Loan Balance, (15) the aggregate Outstanding Loan Balance and (16) the Aggregate Outstanding Loan Balance. With respect to its duties pursuant to this
Section 5.15(b)(ii), the Backup Servicer shall have no duty to confirm that the Tape contains the foregoing information. 
 (iii) Prior to each Distribution Date, the Backup Servicer shall review the related Quarterly Report to ensure that it is complete on its face and based solely on the information provided to the Backup Servicer pursuant to
Section 5.15(b) that the following items in such Quarterly Report have been accurately calculated, if applicable, and reported: (A) the Aggregate Outstanding Loan Balance, (B) the Backup Servicing Fee, (C) the Loans that
are more than 60 days delinquent (other than Charged-Off Loans), (D) the Charged-Off Loans, and (E) the Priority of Payments. The Backup Servicer shall notify the Trustee, the Initial Purchasers and the Servicer in writing of any
discrepancies with the Quarterly Report based on such review not later than the Business Day preceding such Distribution Date. 
 (iv) If the Servicer disagrees with the report provided under paragraph (iii) above by the Backup Servicer or if the Servicer or any subservicer has not reconciled such discrepancy, the Backup Servicer agrees to confer with the
Servicer to resolve such disagreement on or prior to the next succeeding Reference Date and shall settle such discrepancy with the Servicer if possible, and notify the Trustee, the Initial Purchasers and the Rating Agencies of the resolution
thereof. The Servicer hereby agrees to cooperate at its own expense with the Backup Servicer in reconciling any discrepancies herein. If within 20 days after the delivery of the report provided under paragraph (iii) above by the Backup
Servicer, such discrepancy is not resolved, the Backup Servicer shall promptly notify the Servicer, Trustee, the Initial Purchasers and the Rating Agencies of the continued existence of such discrepancy. Following receipt of such notice by the
Trustee, the Initial Purchasers and the Rating Agencies, the Servicer shall deliver to the Trustee, the Initial Purchasers, the Backup Servicer and the Rating Agencies no later than the related Distribution Date a certificate describing the nature
and amount of such discrepancies and the actions the Servicer proposes to take with respect thereto. 
 With respect to the foregoing, the
Backup Servicer, in the performance of its duties and obligations hereunder, is entitled to rely conclusively, and shall be fully protected in so relying, 

  

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on the contents of each Tape, including, but not limited to, the completeness and accuracy thereof, provided by the Servicer. The Backup Servicer shall have
no liability for any errors in the content of such Tape, and, except as specifically provided herein, shall not be required to verify, recompute, reconcile or recalculate any such information or data. 
 (c) After the termination or resignation by the Servicer in accordance with this Agreement, all authority, power, rights and
responsibilities of the Servicer, under this Agreement, whether with respect to the Loans or otherwise, shall pass to and be vested in the Successor Servicer or the Backup Servicer, as applicable in accordance with Section 8.03 and such
applicable party shall be deemed the Successor Servicer, subject to and in accordance with the provisions of Section 8.03, as long as such named Successor Servicer is not prohibited by any Applicable Law from fulfilling the same, as
evidenced by an Opinion of Counsel; provided, however, if Lyon Financial Services, Inc. as Backup Servicer becomes the Successor Servicer, it will not make any Scheduled Payment Advances and its obligations as Backup Servicer hereunder shall
thereafter cease. 
 (d) Any Person (i) into which the Backup Servicer may be merged or consolidated, (ii) that may
result from any merger or consolidation to which the Backup Servicer shall be a party, or (iii) that may succeed to the properties and assets of the Backup Servicer substantially as a whole, which Person in any of the foregoing cases executes
an agreement of assumption to perform every obligation of the Backup Servicer hereunder, shall be the successor to the Backup Servicer under this Agreement without further act on the part of any of the parties to this Agreement. 
 (e) As compensation for its backup servicing activities hereunder, the Backup Servicer shall be entitled to receive the Backup Servicing
Fee. The Backup Servicing Fee shall be calculated and payable quarterly in arrears on each Distribution Date. The Backup Servicer’s entitlement to receive the Backup Servicing Fee (other than due and unpaid Backup Servicer Fees owed through
such date) shall cease on the earliest to occur of: (i) it becoming the Successor Servicer, (ii) its removal as Backup Servicer, or (iii) the termination of this Agreement. 
 (f) The Backup Servicer may be removed and replaced as provided in Section 8.10. 
 (g) The Backup Servicer undertakes to perform only such duties and obligations as are specifically set forth in this Agreement, it being
expressly understood by all parties hereto that there are no implied duties or obligations of the Backup Servicer hereunder. Without limiting the generality of the foregoing, the Backup Servicer, except as expressly set forth herein, shall have no
obligation to supervise, verify, monitor or administer the performance of the Servicer. The Backup Servicer may act through its agents, attorneys and custodians in performing any of its duties and obligations under this Agreement, it being
understood by the parties hereto that the Backup Servicer will be responsible for any misconduct or negligence on the part of such agents, attorneys or custodians acting for and on behalf of the Backup Servicer. Neither the Backup Servicer nor any
of its officers, directors, employees or agents shall be liable, directly or indirectly, for any damages or expenses arising out of the services performed under this Agreement other than damages or expenses that result 

  

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from the negligence or willful misconduct of it or them or the failure to perform materially in accordance with this Agreement. 
 (h) Limitation on Liability. The Backup Servicer shall not be liable for any obligation of the Servicer contained in this Agreement
or for any errors of the Servicer contained in any Tape, certificate or other data or document delivered to the Backup Servicer hereunder or on which the Backup Servicer must or may rely in order to perform its obligations hereunder, and the parties
hereto each agree to look only to the Servicer to perform such obligations. The Backup Servicer shall have no responsibility and shall not be in default hereunder or incur any liability for any failure, error, malfunction or any delay in carrying
out any of its duties under this Agreement if such failure or delay results from the Backup Servicer acting in accordance with information prepared or supplied by a Person other than the Backup Servicer or the failure of any such other Person to
prepare or provide such information. The Backup Servicer shall have no responsibility, shall not be in default and shall incur no liability for (i) any act or failure to act of any third party, including the Servicer (other than any agent,
attorney or custodian acting on behalf of the Backup Servicer), (ii) any inaccuracy or omission in a notice or communication received by the Backup Servicer from any third party (other than any agent, attorney or custodian acting on behalf of
the Backup Servicer), (iii) the invalidity or unenforceability of any Loan or any other item of Collateral under Applicable Law, (iv) the breach or inaccuracy of any representation or warranty made with respect to any Loan, or (v) the
acts or omissions of any Successor Backup Servicer. 
 Section 5.16. Covenants of the Backup Servicer.  
 The Backup Servicer hereby covenants that: 
 (a) The Backup Servicer will comply in all material respects with all Applicable Law. 
 (b)
The Backup Servicer will preserve and maintain its existence, rights and franchises as a corporation in good standing under the laws of the jurisdiction of its incorporation and will 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 Agreement, the other Transaction Documents and each other instrument or agreement necessary or appropriate to the proper
administration of this Agreement and the transactions contemplated hereby. 
 (c) The Backup Servicer shall perform in all
material respects all of its obligations and duties under this Agreement. 
 ARTICLE VI. 
 COVENANTS OF THE TRUST DEPOSITOR 
 Section 6.01. Legal Existence. 
 During the term of this Agreement, the Trust Depositor will keep in full force and
effect its existence, rights and franchises as a limited liability company under the laws of the 

  

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jurisdiction of its organization and will 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 Agreement, the other Transaction Documents and each other instrument or agreement necessary or appropriate to the proper administration of this Agreement and the transactions
contemplated hereby. In addition, all transactions and dealings between the Trust Depositor and its Affiliates will be conducted on an arm’s-length basis. 
 Section 6.02. Loans Not to Be Evidenced by Promissory Notes. 
 The Trust Depositor will take no
action to cause any Loan not originally evidenced by an Underlying Note to be evidenced by an instrument (as defined in the UCC), except in connection with the enforcement or collection of such Loan. 
 Section 6.03. Security Interests. 
 The Trust Depositor will not sell, pledge, assign or transfer to any Person other than the Issuer, or grant, create, incur, assume or suffer to exist any Lien on any Loan in the Collateral or its interest in any Related Property, other than
the Lien granted to the Issuer, whether now existing or hereafter transferred to the Issuer, or any interest therein. The Trust Depositor will immediately notify the Owner Trustee and the Trustee of the existence of any Lien on any Loan in the
Collateral or its interest in any Related Property; and the Trust Depositor shall defend the right, title and interest of the Issuer in, to and under the Loans in the Collateral and the Issuer’s interest in any Related Property, against all
claims of third parties; provided, however, that nothing in this Section 6.03 shall prevent or be deemed to prohibit the Trust Depositor from suffering to exist Permitted Liens upon any of the Loans in the Collateral or its
interest in any Related Property. 
 Section 6.04. Delivery of Principal Collections and Interest Collections. 
 The Trust Depositor agrees to pay to the Servicer promptly (but in no event later than two Business Days after receipt) all Collections received by the
Trust Depositor in respect of the Loans, for application in accordance with Section 7.05 hereof. 
 Section 6.05.
Regulatory Filings. 
 The Trust Depositor shall make any filings, reports, notices, applications and registrations with, and seek any
consents or authorizations from, the Commission and any state securities authority on behalf of the Issuer as may be necessary or that the Trust Depositor deems advisable to comply with any federal or state securities or reporting requirements laws.

 Section 6.06. Compliance with Law. 
 The Trust Depositor hereby agrees to comply in all material respects with all Applicable Law applicable to the Trust Depositor except where the failure to do so would not have a material adverse effect on the
Securityholders. 
  

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 Section 6.07. Activities; Transfers of Notes or Certificates by Trust Depositor. 

Except as contemplated by this Agreement or the other Transaction Documents, the Trust Depositor shall not engage in any business or activity of any
kind, or enter into any transaction or indenture, mortgage, instrument, agreement, contract, lease or other undertaking, which is not directly related to the transactions contemplated and authorized by this Agreement or the other Transaction
Documents; provided, however, that the Trust Depositor may purchase and sell (or grant Liens in respect of) assets similar to the Loan Assets to other Persons in securitization or other non-recourse financing transactions involving the
Originator or any of its Affiliates on terms and conditions (with respect to liabilities and restrictions on its activities, as well as restrictions on its interactions with the Originator or its Affiliates, relevant to the “bankruptcy
remoteness” or “substantive consolidation” analysis relating to the Trust Depositor) substantially similar to the terms and conditions applicable to the Trust Depositor under the Transaction Documents so long as the Securityholders
are not materially adversely affected thereby and the Rating Agency Condition is satisfied. Notwithstanding anything to the contrary contained herein, the Trust Depositor may assign, transfer, convey or finance all or any portion of any Class of
Notes or the Certificate owned by it; provided that such assignment, transfer, conveyance or financing is done in accordance with the terms of Section 4.02 of the Indenture. 
 Section 6.08. Indebtedness. 
 The Trust Depositor shall not create, incur, assume or suffer to exist any Indebtedness or other liability whatsoever, except (a) obligations incurred under this Agreement or the other Transaction Documents or to the Originator,
(b) liabilities incident to the maintenance of its limited liability company existence in good standing or (c) liabilities necessarily incurred to facilitate transactions permitted by Section 6.07. 
 Section 6.09. Guarantees. 
 The
Trust Depositor shall not become or remain liable, directly or contingently, in connection with any Indebtedness or other liability of any other Person, whether by guarantee, endorsement (other than endorsements of negotiable instruments for deposit
or collection in the ordinary course of business), agreement to purchase or repurchase, agreement to supply or advance funds, or otherwise except in connection with the transactions permitted by Section 6.07. 
 Section 6.10. Investments. 
 The
Trust Depositor shall not make or suffer to exist any loans or advances to, or extend any credit to, or make any investments (by way of transfer of property, contributions to capital, purchase of stock or securities or evidences of indebtedness,
acquisition of the business or assets, or otherwise) in, any Person except for (a) transfers of Loan Assets to the Issuer as contemplated by the Transaction Documents and the receipt of $43,750,000 in aggregate principal amount of the Class F
Note and the Certificate as partial consideration for the transfer of the Loan Assets to the Issuer or (b) as may be necessary to facilitate transactions permitted by Section 6.07. Without limiting the generality of the foregoing or
restricting the ability of the Trust Depositor to make capital contributions to the Issuer, the Trust Depositor shall not (i) provide credit to any other Securityholder for the purpose of enabling such Securityholder to purchase any Securities
or (ii) lend any money to the Issuer. 
  

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 Section 6.11. Merger; Sales. 
 The Trust Depositor shall not enter into any transaction of merger or consolidation, or liquidate or dissolve itself (or suffer any liquidation or
dissolution) or acquire or be acquired by any Person, or convey, sell, lease or otherwise dispose of all or substantially all of its property or business. 
 Section 6.12. Distributions. 
 The Trust Depositor shall not declare or pay, directly or
indirectly, any dividend or make any other distribution (whether in cash or other property) with respect to the profits, assets or capital of the Trust Depositor or any Person’s interest therein, or purchase, redeem or otherwise acquire for
value any of its members’ interests now or hereafter outstanding, except that, so long as no Event of Default has occurred and is continuing and no Event of Default would occur as a result thereof or after giving effect thereto and the Trust
Depositor would continue to be Solvent as a result thereof and after giving effect thereto, the Trust Depositor may declare and pay distributions to its members. 
 Section 6.13. Other Agreements. 
 Except as provided in this Agreement or the other Transaction
Documents, the Trust Depositor shall not become a party to, or permit any of its properties to be bound by, any indenture, mortgage, instrument, contract, agreement, lease or other undertaking, except this Agreement and the other Transaction
Documents to which it is a party and any agreement relating to another transaction permitted by Section 6.07; nor shall it amend or modify without the prior satisfaction of the Rating Condition the provisions of its organizational
documents which relate to its bankruptcy remote nature or separateness covenants as required by the Rating Agencies or in connection with the true sale and substantive nonconsolidation opinions delivered on the Closing Date, or issue any power of
attorney except to the Owner Trustee, the Trustee or the Servicer in accordance with the Transaction Documents or in connection with another transaction permitted by Section 6.07. 
 Section 6.14. Separate Legal Existence. 
 The Trust Depositor shall (a) maintain compliance with the covenants set forth in Sections 1.07 and 1.08 of the Limited Liability Company Agreement of the Trust Depositor, dated as of May 24, 2006, between the Originator, the
designated manager and the independent managers party thereto, and (b) to the extent in addition to the covenants referred to in clause (a) of this Section 6.14, take or refrain from taking, as applicable, each of the
activities specified in the “substantive consolidation” opinion of Winston & Strawn LLP, delivered on the Closing Date, upon which the conclusions expressed therein are based. 
 Section 6.15. Location; Records. 
 The Trust Depositor shall (a) not move its location outside the Commonwealth of Massachusetts or its jurisdiction of formation outside of the State of Delaware without 30 days’ prior written notice to the Owner Trustee and the
Trustee and (b) will promptly take all actions (if any) required (including, but not limited to, all filings and other acts necessary or advisable 

  

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under the UCC of each relevant jurisdiction) in order to continue the first priority perfected security interest of the Trustee in all Loans. 
 Section 6.16. Liability of Trust Depositor. 
 The Trust Depositor shall be liable in accordance herewith only to the extent of the obligations specifically undertaken by the Trust Depositor under this Agreement. 
 Section 6.17. Bankruptcy Limitations. 
 The Trust Depositor shall not, without the affirmative vote of a majority of the managers of the Trust Depositor (which must include the affirmative vote of at least two duly appointed Independent managers) (a) dissolve or liquidate,
in whole or in part, or institute proceedings to be adjudicated bankrupt or insolvent, (b) consent to the institution of bankruptcy or insolvency proceedings against it, (c) file a petition seeking or consent to reorganization or relief
under any applicable federal or state law relating to bankruptcy, (d) consent to the appointment of a receiver, liquidator, assignee, trustee, sequestrator (or other similar official) of the limited liability company or a substantial part of
its property, (e) make a general assignment for the benefit of creditors, (f) admit in writing its inability to pay its debts generally as they become due, or (g) take any limited liability company action in furtherance of the actions
set forth in clauses (a) through (f) above; provided, however, that no manager may be required by any member of the Trust Depositor to consent to the institution of bankruptcy or insolvency proceedings against the
Trust Depositor so long as it is Solvent. 
 Section 6.18. Limitation on Liability of Trust Depositor and Others. 
 The Trust Depositor and any director or officer or employee or agent of the Trust Depositor may rely in good faith on any document of any kind, prima
facie properly executed and submitted by any Person respecting any matters arising hereunder. The Trust Depositor and any director or officer or employee or agent of the Trust Depositor shall be reimbursed by the Trustee for any liability or expense
incurred by reason of the Trustee’s willful misfeasance, bad faith or gross negligence (except errors in judgment) in the performance of its duties hereunder, or by reason of the Trustee’s material breach of the obligations and duties
under this Agreement or the Transaction Documents. The Trust Depositor shall not be under any obligation to appear in, prosecute or defend any legal action that shall not be incidental to its obligations under this Agreement, and that in its opinion
may involve it in any expense or liability. 
 Section 6.19. Insurance Policies. 
 Upon and after an Event of Default or Servicer Default, the Trust Depositor will cause to be performed, other than with respect to the Agented Loans or
Third Party Agented Loans, any and all acts reasonably required to be performed to preserve the rights and remedies of the Trustee and the Issuer in any insurance policies applicable to the Loans or to transfer the Servicer’s rights and
remedies therein to the Successor Servicer appointed pursuant to Section 8.03, including, without limitation, in each case, any necessary notifications of insurers, assignments of policies or interests therein, and establishments of
co-insured, joint loss payee and mortgagee rights in favor of the Trustee, the Issuer, or the Successor Servicer, respectively. 
  

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 Section 6.20. Payments from Obligors. 
 The Trust Depositor agrees not to make, or consent to, any change in the direction of, or instructions with respect to, any payments to be made by an
Obligor in any manner that would diminish, impair, delay or otherwise adversely effect the timing or receipt of such payments into the Concentration Account without the prior written consent of the Trustee and with the consent of the Majority
Noteholders. 
 ARTICLE VII. 
 ESTABLISHMENT OF ACCOUNTS; 
 DISTRIBUTIONS; RESERVE FUND 
 Section 7.01. Note Distribution Account, Certificate Account, Class A-2 Funding Account, Reserve Fund and Concentration Account.

 (a) On or before the Closing Date, the Servicer shall establish the Note Distribution Account and the Reserve Fund with and
in the name of the Trustee for the benefit of the Securityholders and shall establish the Class A-2 Funding Account as set forth in Section 10.09 of the Indenture for the benefit of the Noteholders. The Paying Agent under the Trust
Agreement shall establish and maintain with the Trustee the Certificate Account as a non-interest bearing trust account. The Servicer and, so long as such accounts are maintained with the Trustee, the Trustee are hereby required to ensure that each
of the Note Distribution Account and the Reserve Fund is established and maintained as an Eligible Deposit Account with a Qualified Institution. If any institution with which any of the accounts established pursuant to this
Section 7.01(a) are established ceases to be a Qualified Institution, the Servicer, or if the Servicer fails to do so, the Trustee (as the case may be) shall within ten Business Days of actual knowledge of such failure by a Responsible
Officer establish a replacement account at a Qualified Institution after notice of such event. In no event shall the Trustee be responsible for monitoring whether such institution shall remain a Qualified Institution. Each Qualified Institution
maintaining an Eligible Deposit Account shall agree in writing to comply with all instructions originated by the Trustee or, with respect to the Principal and Interest Account only, the Servicer directing disposition of the funds in the Eligible
Deposit Account without the further consent of the Trust Depositor or the Issuer. 
 (b) Prior to the occurrence of a Servicer
Default or an Event of Default, to the extent there are uninvested available amounts deposited in the Principal and Interest Account or in the Reserve Fund on or before 3:00 p.m. (Boston, Massachusetts time), all such amounts shall be invested in
Permitted Investments selected by the Servicer in written instructions (which may be in the form of standing instructions) delivered to the Qualified Institution holding such Transaction Account, that mature no later than the Business Day
immediately preceding the next Distribution Date; to the extent that there are uninvested available funds deposited after 3:00 p.m. (Boston, Massachusetts time), such funds shall be swept into the overnight funds investment which shall be a
Permitted Investment selected by the Servicer in written instructions (which may be in the form of standing instructions) delivered to the Qualified Institution holding such Transaction Account. From and after the occurrence of a Servicer Default or
an Event of Default, to the extent there are uninvested 

  

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amounts in the Principal and Interest Account or in the Reserve Fund (net of losses and investment expenses), all amounts may be invested in Permitted
Investments selected by the Trustee and if any such Transaction Account is held by a Qualified Institution other than the Trustee, then upon written instructions (which may be in the form of standing instructions) from the Trustee to such Qualified
Institution, that mature no later than the Business Day immediately preceding the next Distribution Date. Once such funds are invested, the Trustee shall not change, or instruct the Qualified Institution to change, the investment of such funds other
than in connection with the withdrawal or liquidation of such investments and the transfer of such funds as provided herein on or prior to the next succeeding Distribution Date. Funds in the Note Distribution Account and the Reserve Fund not so
invested must be insured to the extent and the amount permitted by law by BIF or SAIF of the FDIC. Subject to the restrictions herein, the Servicer or Trustee may purchase a Permitted Investment from itself or an Affiliate with respect to investment
of funds in the Transaction Accounts. Subject to the other provisions hereof, the Servicer in the case of the Principal and Interest Account and the Class A-2 Funding Account and the Trustee in the case of all other Transaction Accounts shall
have sole control over each such investment and the income thereon, and any certificate or other instrument evidencing any such investment, if any, shall be delivered directly to the Servicer or its agent or the Trustee or its agent, as applicable,
together with each document of transfer, if any, necessary to transfer title to such investment to the Servicer or Trustee, as applicable, in a manner which complies with this Section 7.01. All Investment Earnings on investments of funds
in the Transaction Accounts shall be deposited in the Principal and Interest Account pursuant to Section 7.01 and distributed on the next Distribution Date pursuant to Section 7.05. The Trust Depositor and the Issuer agree
and acknowledge that the Servicer and Trustee are to have “control” (within the meaning of the UCC) of collateral comprised of “Investment Property” (within the meaning of the UCC) for all purposes of this Agreement. In the
absence of timely written direction from the Servicer or the Trust Depositor, the Trustee or, if different, the Qualified Institution holding such accounts, shall invest amounts in the Note Distribution Account and the Reserve Fund in Permitted
Investments of the type specified in clause (vi) of the definition of Permitted Investments herein. 
 (c) On or
prior to the Closing Date, the Servicer will establish the Class A-2 Funding Account for the benefit of the Noteholders in accordance with clause (a) of this Section 7.01 and into which amounts will be deposited from
time to time in accordance with the Priority of Payments and in the circumstances described herein including in connection with a Draw funded by a Class A-2 Noteholder that has failed to satisfy the Rating Criteria. Amounts standing to the
credit of the Class A-2 Funding Account may be withdrawn by the Servicer on behalf of the Issuer at any time to fund Exposure Amounts with respect to Revolving Loans and Delayed Draw Term Loans and may be applied during the Ramp-up Period and
the Reinvestment Period to acquire Additional Loans. Any interest earned on Permitted Investments held in the Class A-2 Funding Account will be applied as Interest Collections. 
 (d) The Servicer has established, or caused to be established, and will maintain, or cause to be maintained, the Concentration Account for
the deposit of the amounts representing payments sent by Obligors and by paying agents under Agented Loans and Third Party Agented Loans with respect to Loans pledged to the Trustee as well as with respect to 

  

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Loans not pledged to the Trustee. Within two Business Days of receipt in the Concentration Account, the Servicer, as agent for the Issuer, and the Originator
will cause the amounts in the Concentration Account belonging to the Issuer to be deposited into the Principal and Interest Account, and thereupon credited to the Principal Collection Account and the Interest Collection Account, as applicable.

 (e) On the Closing Date, the Servicer on behalf of the Issuer shall make a deposit to the Reserve Fund in an amount of
$1,000,000 from the gross proceeds of the sale of the Offered Notes. 
 Section 7.02. Replacement of Transaction Accounts.

 Upon the occurrence of a Servicer Default or an Event of Default, the Trustee may establish a replacement of any Transaction Account at a
Qualified Institution (which may be the Trustee). 
 Section 7.03. Principal and Interest Account. 
 (a) The Servicer shall cause to be established and maintained the Principal and Interest Account including two subaccounts, one designated
as the Interest Collection Account and the other designated as the Principal Collection Account titled “Principal and Interest Account for NewStar Financial, Inc., its successors and assigns as Servicer for NewStar Commercial Loan Trust 2006-1
subject to the lien of U.S. Bank National Association, its successors and assigns, as Trustee on behalf of the registered holders of NewStar Commercial Loan Trust 2006-1 Notes”. The Principal and Interest Account shall be held in one or more
Eligible Deposit Accounts with a Qualified Institution in the form of time deposit or demand accounts, which may be interest-bearing or such accounts may be trust accounts wherein the moneys therein are invested in Permitted Investments. All funds
in such Principal and Interest Account not so invested shall be insured to the extent and the amount permitted by the BIF or SAIF of the FDIC to the maximum extent provided by law. The Servicer may, upon written notice to the Trustee, transfer any
Principal and Interest Account to a different Eligible Deposit Account. 
 (b) The Servicer shall deposit or cause to be
deposited (within two Business Days of receipt thereof) in the applicable Principal and Interest Account and retain therein, subject to withdrawal as permitted by this Section 7.03, the following amounts received by the Servicer (and
shall segregate and deposit Interest Collections into the Interest Collections Account and Principal Collections into the Principal Collection Account): 
 (i) all Principal Collections accruing and received on or after the Closing Date or the related Cut-Off Date, as applicable; 
 (ii) all Interest Collections accruing and received on or after the Closing Date; 
 (iii) all Insurance Proceeds (other than amounts to be applied to restoration or repair of any Related Property or to be released to the
Obligor, other 

  

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creditors or any other Person in accordance with the Required Loan Documents, the Credit and Collection Policy and the Servicing Standard); 
 (iv) any other proceeds from any other Related Property securing the Loans (other than amounts released to the Obligor, other creditors or
any other Person in accordance with Applicable Law, the Required Loan Documents, the Credit and Collection Policy and the Servicing Standard); 
 (v) any amounts paid in connection with the purchase or repurchase of any Loan; 
 (vi) any
amount required to be deposited in the Principal and Interest Account pursuant to Section 5.10 or this Section 7.03; and 
 (vii) the amount of any gains and interest incurred in connection with investments in Permitted Investments. 
 (c) The Servicer shall have no obligation to deposit into the Principal and Interest Account any Excluded Amounts. 
 (d) Not later than the close of business on each Reference Date immediately preceding a Distribution Date, the Servicer will remit to the Principal and Interest Account any Scheduled Payment Advance that the Servicer
determines to make. 
 (e) Notwithstanding Section 7.03(b), if (i) the Servicer makes a deposit into the
Principal and Interest Account in respect of a Collection of a Loan in the Collateral and such Collection was received by the Servicer in the form of a check that is not honored for any reason, or (ii) the Servicer makes a mistake with respect
to the amount of any Collection and deposits an amount that is less than or more than the actual amount of such Collection, the Servicer shall appropriately adjust the amount subsequently deposited into the Principal and Interest Account to reflect
such dishonored check or mistake. Any Scheduled Payment in respect of which a dishonored check is received shall be deemed not to have been paid. 
 (f) The foregoing requirements for deposit in the Principal and Interest Accounts shall be exclusive, it being understood and agreed that, without limiting the generality of the foregoing, payments with respect to the
Servicing Fee, Liquidation Expenses and Excluded Amounts may not be deposited by the Servicer in the Principal and Interest Account. 
 (g) Any Investment Earnings on funds held in the Principal and Interest Account shall be deemed part of the Interest Collection Account and shall be deposited therein pursuant to this Section 7.03 and distributed on the next
Distribution Date pursuant to Section 7.05. The amount of any losses incurred in connection with the investment of funds in the Principal and Interest Account in Permitted Investments directed by the Servicer shall be deposited in the
Principal and Interest Account by the Servicer from its own funds immediately as realized without reimbursement therefor. 
  

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 (h) The Servicer may (and, for the purposes of clause (i) below, shall), at
any time upon one Business Day’s notice to the Trustee or, if different, the depository institution then holding the Principal and Interest Account, make withdrawals from the Principal and Interest Account for the following purposes:

 (i) to remit to the Trustee on the Business Day immediately preceding a Distribution Date, for deposit in the Note
Distribution Account, Interest Collections and Principal Collections received during the immediately preceding Due Period (other than such amounts which are deemed herein not to be Principal Collections at such time); 
 (ii) subject to Section 5.02(o), to reimburse itself for any unreimbursed Scheduled Payment Advances and Servicing Advances,
together with accrued and unpaid interest due thereon, to the extent deposited in the Principal and Interest Account (and not netted from Scheduled Payments or other amounts received from the Obligor of the related Loans or from other proceeds
received with respect to such Obligor or the Related Properly); 
 (iii) to withdraw any amount received from an Obligor that
is recoverable and sought to be recovered as a voidable preference by a trustee in bankruptcy pursuant to the United States Bankruptcy Code in accordance with a final, nonappealable order of a court having competent jurisdiction; 
 (iv) to make investments in Permitted Investments; 
 (v) to withdraw any funds deposited in the Principal and Interest Account that were not required or permitted to be deposited therein or
were deposited therein in error; 
 (vi) prior to the replacement of the Servicer following a Servicer Default, to pay itself
certain additional servicing compensation as permitted under Section 5.1 l(b) of this Agreement; 
 (vii) to
acquire Substitute Loans as contemplated by Section 2.04(a) to the extent funds have been deposited by the Originator for such purpose pursuant to Section 2.04(a)(i)(2); and 
 (viii) to clear and terminate the Principal and Interest Account upon the termination of this Agreement. 
 (i) If the depository institution then holding the Reserve Fund is not the Trustee, the Servicer shall, or shall cause such depository
institution to, remit to the Trustee no later than the Business Day immediately preceding a Distribution Date, for deposit in the Note Distribution Account, all funds on deposit in the Reserve Fund. 
  

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 Section 7.04. Securityholder Distributions. 
 (a) Each Securityholder as of the related Record Date shall be paid on the next succeeding Distribution Date by check mailed to such
Securityholder at the address for such Securityholder appearing on the Note Register or Certificate Register or by wire transfer to the account directed by such Securityholder if such Securityholder provides written instructions to the Trustee, or
Owner Trustee, respectively, at least ten days prior to such Distribution Date, which instructions may be in the form of a standing order. 
 (b) The Trustee shall serve as the Paying Agent hereunder and shall make the payments to the Securityholders required hereunder. The Trustee hereby agrees that all amounts held by it for payment hereunder will be held
in trust for the benefit of the Securityholders. 
 Section 7.05. Allocations and Distributions. 
 (a) Interest Allocations. On each Distribution Date, (i) the Trustee shall deposit into the Note Distribution Account all
funds on deposit in the Reserve Fund and (ii) the Servicer shall instruct the Trustee in writing to withdraw, and on the related Distribution Date the Trustee shall withdraw from the Note Distribution Account (A) the Interest Collections
and (B) amounts deposited therein from the Reserve Fund to the extent necessary to make the following payments. The payments listed below will be made only to the extent there are sufficient amounts available in the Note Distribution Account on
the Distribution Date. Payments will be made in the order of priority listed below. On any Pro Rata Distribution Date and with respect to pro rata payments of principal of the Notes as described herein, such payments shall be made pro rata
to the Classes of Notes then outstanding based on the respective original principal amounts of such Classes of Notes with respect to which such payments are made, and any amount of principal to be paid pro rata solely between the
Class A-l Notes and the Class A-2 Notes will be paid based on the Outstanding Principal Balance of the Class A-l Notes and the Class A-2 Notes as set forth in the Quarterly Report for the related Due Period. If on any Pro Rata
Distribution Date the Outstanding Principal Balance of any Class of Notes shall be reduced to zero after application of any payments in respect of principal on such Distribution Date, the amount remaining for distribution in respect of principal on
such date shall be distributed pro rata to the Classes of Notes which then have Outstanding Principal Balances based on the respective original principal amounts of such Classes of Notes. Payments will be made in the following order of
priority. 
 1. pro rata, based on the amounts payable under this clause 1, Administrative Expenses, subject to
the limitations set forth in the definition thereof; 
 2. to the Servicer, to the extent not previously reimbursed, the sum
of (i) Scheduled Payment Advances relating to interest on the Loans, together with accrued interest thereon, from Interest Collections received on the Loans for which such Scheduled Payment Advances were made, (ii) Servicing Advances,
together with accrued interest thereon, from Interest Collections received on the Loans for which such Servicing Advances were made and (iii) all Nonrecoverable Advances relating to interest, together with accrued interest thereon; 

3. to the Servicer, its accrued and unpaid Senior Servicing Fee; 
  

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 4. pro rata, based on the amounts payable under clauses (a) and
(b) of this clause 4, (a) to the Class A Noteholders, the sum of (i) the Class A-l Interest Amount and the Class A-2 Interest Amount for the related Interest Period and (ii) the Class A-l
Interest Shortfall, if any, and the Class A-2 Interest Shortfall, if any, and (b) to the Class A-2 Noteholders, the Commitment Fee Amount; 
 5. to the Class B Noteholders, the Class B Interest Amount for the related Interest Period and the Class B Interest Shortfall, if any; 
 6. to the Class C Noteholders, the Class C Interest Amount for the related Interest Period and the Class C Interest Shortfall, if any;

 7. to the Class D Noteholders, the Class D Interest Amount for the related Interest Period and the Class D Interest
Shortfall, if any; 
 8. to the Class E Noteholders, the Class E Interest Amount for the related Interest Period and the
Class E Interest Shortfall, if any; 
 9. (i) prior to the occurrence of a Servicer Default or an Event of Default, an
amount equal to the Additional Principal Amount, to be paid as follows: 
  

	 	(A)	if such Distribution Date is a Pro Rata Distribution Date, to the Class A Noteholders, the Class B Noteholders, the Class C Noteholders, the Class D Noteholders and the Class E
Noteholders, pro rata based on the original Outstanding Principal Balance of each such Class of Notes in reduction of their respective Outstanding Principal Balances until the Additional Principal Amount is reduced to zero; provided
that amounts payable to the Class A Noteholders hereunder will be paid pro rata to the Class A-l Noteholders and the Class A-2 Noteholders based on the Outstanding Principal Balance of the Class A-l Notes and the
Class A-2 Notes; and 

  

	 	(B)	if such Distribution Date is a Sequential Distribution Date, to the Class A Noteholders, the Class B Noteholders, the Class C Noteholders, the Class D Noteholders and the Class
E Noteholders, sequentially until the Additional Principal Amount is reduced to zero, as follows: 

 (I) to the
Class A-l Noteholders and the Class A-2 Noteholders, pro rata based on the Outstanding Principal Balance of the Class A-l Notes and the Class A-2 Notes, until the Outstanding Principal Balance of the Class A Notes is
reduced to zero; 
 (II) to the Class B Noteholders, the Class B Accrued Payable, if any; 
 (III) to the Class B Noteholders until the Outstanding Principal Balance of the Class B Notes is reduced to zero; 
 (IV) to the Class C Noteholders, the Class C Accrued Payable, if any; 
  

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 (V) to the Class C Noteholders until the Outstanding Principal Balance of the Class C
Notes is reduced to zero; 
 (VI) to the Class D Noteholders, the Class D Accrued Payable, if any; 
 (VII) to the Class D Noteholders until the Outstanding Principal Balance of the Class D Notes is reduced to zero; 
 (VIII) to the Class E Noteholders, the Class E Accrued Payable, if any; and 
 (IX) to the Class E Noteholders until the Outstanding Principal Balance of the Class E Notes is reduced to zero; 
 (ii) on and after the occurrence of a Servicer Default or an Event of Default, the Interest Distributable Amount will be treated as funds
available for principal distributions and will be distributed in accordance with Section 7.05(b)(II); 
 10. to
the Reserve Fund, until the amount therein equals the Required Reserve Amount; 
 11. to the Servicer, its accrued and unpaid
Subordinated Servicing Fee; 
 12. to the Class A-2 Noteholders, any accrued and unpaid Class A-2 Increased Costs,
Class A-2 Breakage Costs and Class A-2 Liquidity Amounts, and in the event the Servicer requires any Class A-2 Noteholder to transfer or assign its interests in the Class A-2 Notes as a result of such Noteholder claiming any
Class A-2 Increased Costs, to the applicable Class A-2 Noteholder, any reasonable costs incurred by such Noteholder in effecting such transfer or assignment, including any Class A-2 Breakage Costs related thereto; 
 13. any amounts due in respect of listing the Listed Notes on the Irish Stock Exchange; 
 14. to the Servicer, to the extent not reimbursed pursuant to clause 2 above, reimbursement for the amount of any Scheduled
Payment Advances relating to interest on the Loans, together with accrued interest thereon due the Servicer; 
 15. pro
rata, based on the amounts owed to such Persons under this clause 15, Administrative Expenses, to the extent not paid pursuant to clause 1 due to the limitations, set forth in the definition thereof, and any other amounts payable
to the Trustee, the Owner Trustee and the Backup Servicer related to indemnification, and, to the Trustee and a Successor Servicer, any Servicing Transfer Costs payable to such Successor Servicer; and 
 16. any remaining amounts to the Certificateholder. 
 (b) (I) Principal Allocations on any Pro Rata Distribution Date. On each Pro Rata Distribution Date, the Trustee, upon written
instructions from the Servicer, will distribute all Principal Collections and all other funds available for principal distributions on deposit in 

  

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the Note Distribution Account, to the extent there are sufficient funds, to the following parties in the order of priority listed below. With respect to
pro rata payments of principal of the Notes as described herein, payments shall be made pro rata to the Classes then outstanding based on the respective original principal amounts of such Classes with respect to which such payments are
made and any amount of principal to be paid pro rata solely between the Class A-1 Notes and the Class A-2 Notes will be paid based on the Outstanding Principal Balance of the Class A-1 Notes and the Class A-2 Notes as set
forth in the Quarterly Report for the related Due Period. If on any Pro Rata Distribution Date the Outstanding Principal Balance of any Class shall be reduced to zero after application of any payments in respect of principal on such Distribution
Date, the amount remaining for distribution in respect of principal on such date shall be distributed pro rata to the Classes which then have Outstanding Principal Balances based on the respective original principal amounts of such Classes of
Notes. 
 1. to the Servicer, to the extent not previously reimbursed, from Principal Collections received from the specific
Loans for which Scheduled Payment Advances or Servicing Advances were made, as applicable, reimbursement for the amount of any such Scheduled Payment Advances relating to principal on such Loans and/or such Servicing Advances, together with accrued
interest thereon; 
 2. during the Ramp-Up Period and the Reinvestment Period, to the Class A-2 Noteholders, in the
Servicer’s discretion and in such amounts as the Servicer may determine; 
 3. to the Class A-2 Funding Account,
the amount required to cause the Class A-2 Funding Test to be satisfied; 
 4. during the Ramp-Up Period and the
Reinvestment Period, all remaining Principal Collections shall be deposited to the Principal Collection Account for reinvestment in Additional Loans; provided that no Principal Collections constituting the Special Redemption Amount shall be
deposited to the Principal Collection Account pursuant to this clause 4, but shall be distributed pursuant to clause 5; 
 5. after the Reinvestment Period (or, in the case of the Special Redemption Amount, on any Distribution Date) to the Class A Noteholders, the Class B Noteholders, the Class C Noteholders, the Class D Noteholders,
the Class E Noteholders and the Class F Noteholders, pro rata until the Outstanding Principal Balance of each such Class of Notes is reduced to zero; provided that amounts payable to the Class A Noteholders hereunder will be paid
pro rata to the Class A-1 Noteholders and the Class A-2 Noteholders based on the Outstanding Principal Balance of the Class A-1 Notes and the Class A-2 Notes as set forth in the related Quarterly Report; 
 6. to the Servicer, to the extent not reimbursed pursuant to clause 1 above, reimbursement for the amount of (i) any
Scheduled Payment Advances relating to principal on the Loans, together with accrued interest thereon, (ii) Servicing Advances, together with accrued interest thereon, and (iii) all Nonrecoverable Advances (other than those relating to
interest), together with accrued interest thereon; 
  

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 7. to the Servicer, an amount equal to its accrued and unpaid Servicing Fee, to the
extent not previously paid; 
 8. pro rata, based upon the amounts owed to such Persons under this clause 8,
Administrative Expenses, to the extent not previously paid, and amounts owed to the Trustee, the Owner Trustee and the Backup Servicer for fees and expenses and other amounts, including such amounts related to indemnification, and, to the Trustee
and a Successor Servicer, any Servicing Transfer Costs; 
 9. to the extent not paid by the Originator, any amounts due in
respect of listing the Listed Notes on the Irish Stock Exchange; and 
 10. any remaining Principal Collections to the
Certificateholder. 
 (II) Principal Allocations on any Sequential Distribution Date. On each Sequential Distribution
Date, the Trustee, upon written instructions from the Servicer, will distribute all Principal Collections and all other funds available for principal distributions on deposit in the Note Distribution Account, to the extent there are sufficient
funds, to the following parties in the order of priority listed below: 
 1. to the Servicer to the extent not previously
reimbursed, from Principal Collections received from the specific Loans for which Scheduled Payment Advances or Servicing Advances were made, as applicable, reimbursement for the amount of any such Scheduled Payment Advances relating to principal on
such Loans and/or such Servicing Advances, together with accrued interest thereon; 
 2. to the Class A-2 Funding
Account, the amount required to cause the Class A-2 Funding Test to be satisfied; 
 3. to the Class A-1
Noteholders and the Class A-2 Noteholders, in the following order: (i) any unpaid Class A-1 Interest Amount and Class A-2 Interest Amount, pro rata based on the Outstanding Principal Balance to the Class A-1 Notes and
the Class A-2 Notes, (ii) any unpaid Class A-1 Interest Shortfall and Class A-2 Interest Shortfall, pro rata based on the Outstanding Principal Balance to the Class A-1 Notes and the Class A-2 Notes, and
(iii) in payment of principal, pro rata based on the Outstanding Principal Balance of the Class A-1 Notes and the Class A-2 Notes, until the Outstanding Principal Balance of the Class A Notes is reduced to zero;

 4. to the Class B Noteholders, in the following order: (i) any unpaid Class B Interest Amount, (ii) any unpaid
Class B Interest Shortfall and (iii) the Class B Accrued Payable, if any; 
 5. to the Class B Noteholders until the
Outstanding Principal Balance of the Class B Notes is reduced to zero; 
 6. to the Class C Noteholders, in the following
order: (i) any unpaid Class C Interest Amount, (ii) any unpaid Class C Interest Shortfall and (iii) the Class C Accrued Payable, if any; 
  

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 7. to the Class C Noteholders until the Outstanding Principal Balance of the Class C
Notes is reduced to zero; 
 8. to the Class D Noteholders, in the following order: (i) any unpaid Class D Interest
Amount, (ii) any unpaid Class D Interest Shortfall and (iii) the Class D Accrued Payable, if any; 
 9. to the
Class D Noteholders until the Outstanding Principal Balance of the Class D Notes is reduced to zero; 
 10. to the Class E
Noteholders, in the following order: (i) any unpaid Class E Interest Amount, (ii) any unpaid Class E Interest Shortfall and (iii) the Class E Accrued Payable, if any; 
 11. to the Class E Noteholders until the Outstanding Principal Balance of the Class E Notes is reduced to zero; 
 12. to the Servicer, to the extent not reimbursed pursuant to clause 1 above, reimbursement for the amount of any
(i) Scheduled Payment Advances relating to principal on the Loans, together with accrued interest thereon, (ii) Servicing Advances together with accrued interest thereon and (iii) all Nonrecoverable Advances (other than those relating
to interest), together with accrued interest thereon; 
 13. to the Servicer, an amount equal to its accrued and unpaid
Servicing Fee, to the extent not previously paid; 
 14. pro rata, based upon the amounts owed to such Persons under
this clause 14, to the payment of Administrative Expenses, to the extent not previously paid, amounts owed to the Trustee and the Backup Servicer for fees and expenses and other amounts, including such amounts related to indemnification, and,
to the Trustee and a Successor Servicer, any Servicing Transfer Costs; 
 15. to the extent not paid by the Originator, any
amounts due in respect of listing the Listed Notes on the Irish Stock Exchange; 
 16. to the Class F Noteholders until the
Outstanding Principal Balance of the Class F Notes is reduced to zero; and 
 17. any remaining Principal Collections to the
Certificateholder. 
 Section 7.06. Determination of LIBOR. 
 (a) The Trustee will determine the interest rate for each Interest Period by determining the London interbank offered rate
(“LIBOR”) for deposits in U.S. Dollars for a period of three months (the “Three Month Index Maturity”) which appears on Telerate Page 3750 as of 11:00 a.m., London time, on the day that is two London Banking Days preceding
that Interest Period (“LIBOR Determination Date”). If such rate does not appear on Telerate Page 3750 on the related LIBOR Determination Date, the rate for that Interest Period will be 

  

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determined as if the parties had specified “USD-LIBOR-Reference Banks” as the applicable rate. “USD-LIBOR-Reference Banks” means that the
interest rate for an Interest Period will be determined on the basis of the rates at which deposits in U.S. Dollars are offered by the Reference Banks at approximately 11:00 a.m., London time, on the related LIBOR Determination Date to prime banks
in the London interbank market for the Three Month Index Maturity commencing on the beginning of that Interest Period and in a Representative Amount. The Trustee will request the principal London office of each of the Reference Banks to provide a
quotation of its rate. If at least two such quotations are provided, the rate for that Interest Period will be the arithmetic mean of the quotations. If fewer than two quotations are provided as requested, the rate for that Interest Period will be
the arithmetic mean of the rates quoted by major banks in New York City, selected by the Trustee, at 11:00 a.m. New York City time, on the beginning of that Interest Period for loans in U.S. Dollars to leading European banks for the Three Month
Index Maturity commencing at the beginning of that Interest Period and in a Representative Amount. In the case of the Class A-2 Notes, for any Interest Period (other than the first Interest Period) having a term other than three months, LIBOR
shall be determined through the use of straight-line interpolation by reference to two rates calculated in accordance with the foregoing procedures, one of which shall be determined as if the maturity of the U.S. Dollar deposits referred to
therein were the period of time for which rates are available next shorter than such Interest Period, and the other of which shall be determined as if such maturity were the period of time for which rates are available next longer than such Interest
Period; provided that if an Interest Period is less than or equal to seven days, then LIBOR shall be determined by reference to a rate calculated in accordance with the foregoing as if the maturity of the U.S. Dollar deposits referred to
therein were a period of time equal to seven days; provided further, that for purposes of the determination of LIBOR in respect of the Class A-2 Notes, the LIBOR Determination Date shall be the date on which a Draw Request is delivered
by the Issuer to the Class A-2 Agent pursuant to the Class A-2 Purchase Agreement. 
 (b) With respect to an
Interest Period having a designated maturity other than three months, LIBOR shall be determined through the use of a straight-line interpolation by reference to two rates calculated in accordance with Section 7.06(a), one of which shall
be determined as if the maturity of the U.S. Dollar deposits referred to therein were the period of time for which rates are available next shorter than such Interest Period, and the other of which shall be determined as if the maturity were
the period of time for which rates are available next longer than such Interest Period. 
 (c) The establishment of LIBOR on
the applicable London Banking Day by the Trustee and the Trustee’s subsequent calculation of the rates of interest applicable to the Notes for the related Distribution Date shall, in the absence of manifest error, be final and binding. Each
such rate of interest may be obtained by telephoning the Trustee at (617) 603- 6506. 
  

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 ARTICLE VIII. 
 SERVICER DEFAULT; SERVICER TRANSFER 
 Section 8.01. Servicer Default. 
 “Servicer Default” means the occurrence of any of the following: 
 (a) any failure by the Servicer to remit or cause to be remitted when due any payment required to be remitted by the Servicer under the
terms of this Agreement or the other Transaction Documents which continues unremedied for a period of two Business Days, it being understood that the Servicer shall not be responsible for the failure of either the Issuer or the Trustee to remit
funds that were received by the Issuer or the Trustee from or on behalf of the Servicer in accordance with this Agreement or the other Transaction Documents; or 
 (b) failure by the Servicer duly to observe or perform, in any material respect, any other covenants or agreements of the Servicer set
forth in this Agreement or the other Transaction Documents, or any representation or warranty of the Servicer made in this Agreement or the other Transaction Documents or in any certificate delivered thereto proves to have been incorrect when made,
which failure or breach has a material adverse effect on the rights of the Noteholders and continues unremedied for a period of 30 days (if such failure or breach can be cured) after the first to occur of (i) the date on which written notice of
such failure requiring the same to be remedied shall have been given to a Responsible Officer of the Servicer by the Trustee, or a Responsible Officer of the Servicer and the Trustee by any Securityholder, and (ii) the date on which a
Responsible Officer of the Servicer receives actual knowledge of such failure or breach; or 
 (c) a decree or order of a
court or agency or supervisory authority having jurisdiction for the appointment of a conservator or receiver or liquidator in any Insolvency Proceedings, or for the winding-up or liquidation of its affairs, shall have been entered against the
Servicer and such decree or order shall have remained in force, undischarged or unstayed for a period of 60 consecutive days; or 
 (d) the Servicer shall consent to the appointment of a conservator or receiver or liquidator in any Insolvency Proceedings of or relating to the Servicer or of or relating to all or substantially all of the Servicer’s property; or

 (e) the Servicer shall file a petition to take advantage of any applicable Insolvency Laws, make an assignment for the
benefit of its creditors or generally fail to pay its debts as they become due; or 
 (f) without the consent of the Majority
Noteholders, the Servicer agrees or consents to, or otherwise permits to occur, any material amendment, modification, change, supplement or rescission of or to the Credit and Collection Policy or the Servicing Standard, in whole or in part, that
would have a material adverse effect on the Collateral; provided that such consent shall not be required in the case of an amendment which was mandated by Applicable Law or any Governmental Authority; or 
 (g) failure by the Servicer to observe or perform the Credit and Collection Policy or the Servicing Standard regarding the servicing of
the Loans in any manner that would have a material adverse effect on the Loans and continues unremedied for a period of 30 days (if such failure or breach can be cured) after the first to occur of (i) the date on which written notice of such
failure requiring the same to be remedied shall have been given to a 

  

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Responsible Officer of the Servicer by the Trustee, or a Responsible Officer of the Servicer and the Trustee by any Securityholder, and (ii) the date on
which a Responsible Officer of the Servicer receives actual knowledge of such failure or breach. 
 Notwithstanding the foregoing, a delay in
or failure of performance referred to under Section 8.01 (a) above for a period of five Business Days or referred to under Section 8.01(b) above for a period of 60 days (in addition to any period provided in clauses
(i) and (ii)) shall not constitute a Servicer Default until the expiration of such additional five Business Days or 60 days, respectively, if such delay or failure could not be prevented by the exercise of reasonable diligence by the
Servicer and such delay or failure was caused by an act of God or other events beyond the Servicer’s control. 
 Section 8.02.
Servicer Transfer. 
 (a) If a Servicer Default has occurred and is continuing, the Majority Noteholders may, by
written notice (a “Termination Notice”) delivered to the parties hereto and to the Rating Agencies, terminate all (but not less than all) of the Servicer’s management, administrative, servicing, custodial and collection
functions; provided, however, that no Termination Notice shall be required as a condition to termination with respect to any Servicer Default described under Section 8.01 (c), Section 8.0l(d) and
Section 8.01(e). 
 (b) Upon delivery of the notice contemplated by Section 8.02(a) (or, if later, on
a date designated therein or, without notice if permitted under Section 8.02(a)), and on the date that a Successor Servicer shall have been appointed and accepted such appointment pursuant to Section 8.03 (such appointment
being herein called a “Servicer Transfer”), all rights, benefits, fees, indemnities, authority and power of the Servicer under this Agreement, whether with respect to the Loans, the Loan Files or otherwise, shall pass to and be vested in
such successor (the “Successor Servicer”) pursuant to and under this Section 8.02; and, without limitation, the Successor Servicer is authorized and empowered to execute and deliver on behalf of the Servicer, as
attorney-in-fact or otherwise, any and all documents and other instruments, and to do any and all acts or things necessary or appropriate to effect the purposes of such notice of termination. The Servicer agrees to cooperate with the Successor
Servicer in effecting the termination of the responsibilities and rights of the Servicer hereunder, including, without limitation, the transfer to the Successor Servicer for administration by it of all cash amounts which shall at the time be held by
the Servicer for deposit, or have been deposited by the Servicer, in the Principal and Interest Account, or thereafter received with respect to the Loans. The Servicer shall transfer to the Successor Servicer (i) all records held by the
Servicer relating to the Loans in such electronic form as the Successor Servicer may reasonably request and (ii) any Loan Files in the Servicer’s possession. In addition, the Servicer shall permit access to its premises (including all
computer records and programs) to the Successor Servicer or its designee, and shall pay the reasonable transition expenses of the Successor Servicer. Upon a Servicer Transfer, the Successor Servicer shall also be entitled to receive the Servicing
Fee thereafter payable for performing the obligations of the Servicer. Any indemnities provided in this Agreement or the other Transaction Documents in favor of the Servicer and any Servicing Fee or other fees, costs, expenses, Scheduled Payment
Advances and Servicing Advances, together with accrued interest due the Servicer thereon, and Nonrecoverable Advances which have accrued and/or 

  

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are unpaid or unreimbursed to the Servicer shall survive the resignation or termination of the Servicer and the appointment of a Successor Servicer pursuant
to Section 5.13 and the Servicer being replaced shall remain entitled thereto until paid hereunder out of the Principal and Interest Account or the Note Distribution Account in accordance with the Priority of Payments. 
 Section 8.03 Appointment of Successor Servicer; Reconveyance; Successor Servicer to Act. 
 (a) Upon delivery of the notice required by Section 8.02(a) (or, if later, on a date designated therein, or without notice
permitted under Section 8.02(a)), the Servicer shall continue to perform all servicing functions under this Agreement until the date specified in the Termination Notice or, if no such date is specified, until a date mutually agreed by
the Servicer and the Trustee. The Trustee shall as promptly as possible after receipt of a Termination Notice, appoint a Successor Servicer, which shall be the Backup Servicer, in accordance with Section 5.15(c), and such Successor
Servicer shall accept its appointment by a written assumption in a form acceptable to the Trustee and Owner Trustee; provided that no appointment of a Successor Servicer or acceptance and assumption by a proposed Successor Servicer, other
than with respect to the Backup Servicer, shall be effective without the prior satisfaction of the Rating Agency Condition. If within 60 days of delivery of a Termination Notice a Successor Servicer is not appointed and the Servicer shall have yet
to cure the Servicer Default, then the Trustee shall offer the Trust Depositor, and the Trust Depositor shall offer the Originator, the right to accept retransfer of all the Loan Assets, and such parties may accept retransfer of such Loan Assets in
consideration of the Trust Depositor’s delivery to the Principal and Interest Account on or prior to the next upcoming Distribution Date of a sum equal to the Aggregate Outstanding Principal Balance of all Securities (other than the
Certificates) then outstanding, together with accrued and unpaid interest thereon through such date of deposit and all other amounts due and owing to any Person under the Transaction Documents; provided that the Trustee, if so directed by the
Majority Noteholders in writing, need not accept and effect such reconveyance in the absence of evidence (which may include valuations of an investment bank or similar entity) reasonably acceptable to such Trustee or Majority Noteholders that such
retransfer would not constitute a fraudulent conveyance of the Trust Depositor or the Originator. 
 (b) The Backup Servicer
or Trustee may, in its discretion, or shall, if the Backup Servicer is unable to so act or if the Majority Noteholders request in writing to the Backup Servicer or Trustee, appoint, or petition a court of competent jurisdiction to appoint, any
established servicing institution having a net worth of not less than $50,000,000 as the Successor Servicer in the assumption of all or any part of the responsibilities, duties or liabilities of the Servicer. 
 (c) As compensation, any Successor Servicer (including, without limitation, the Backup Servicer) so appointed shall be entitled to receive
the Servicing Fee, together with any other servicing compensation in the form of assumption fees, late payment charges or otherwise as provided herein that thereafter are payable under this Sale and Servicing Agreement; including, without
limitation, all reasonable costs (including reasonable attorneys’ 

  

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fees) incurred in connection with transferring the servicing obligations under the Agreement and amending the Agreement to reflect such transfer. 

(d) In the event the Backup Servicer is requested by the Servicer or the Majority Noteholders or determines in its discretion to
solicit bids for servicing the Loans included in the Collateral, the Backup Servicer shall solicit, by public announcement, bids from banks and loan servicing institutions meeting the qualifications set forth in clause (b) above. Such
public announcement shall specify that the Successor Servicer shall be entitled to the full amount of the Servicing Fee as servicing compensation, together with the other servicing compensation in the form of assumption fees, late payment charges or
otherwise that thereafter are payable under this Sale and Servicing Agreement. Within 30 days after any such public announcement, the Backup Servicer shall negotiate and effect the sale, transfer and assignment of the servicing rights and
responsibilities hereunder to the qualified party submitting the highest qualifying bid if any. The Backup Servicer shall deduct from any sum received by the Backup Servicer from the successor to the Servicer in respect of such sale, transfer and
assignment all costs and expenses of any public announcement and of any sale, transfer and assignment of the servicing rights and responsibilities hereunder and the amount of any unreimbursed Servicing Advances. After such deductions, the remainder
of such sum shall be paid by the Backup Servicer to the Servicer at the time of such sale, transfer and assignment to the Servicer’s successor. The Backup Servicer and such successor shall take such action, consistent with the Agreement, as
shall be necessary to effectuate any such succession. Neither the Backup Servicer, the Trustee nor any other Successor Servicer shall be held liable by reason of any failure to make, or any delay in making, any distribution hereunder or any portion
thereof caused by (i) the failure of the Servicer to deliver, or any delay in delivering, cash, documents or records to it, or (ii) restrictions imposed by any regulatory authority having jurisdiction over the Servicer hereunder. No
appointment of a successor to the Servicer under this clause (d) shall be effective until written notice of such proposed appointment shall have been provided by the Trustee and to each Securityholder and the Successor Servicer shall have
consented thereto. The Backup Servicer shall not resign as Servicer until a Successor Servicer has been appointed and accepted such appointment. 
 (e) On or after a Servicer Transfer, the Successor Servicer shall be the successor in all respects to the Servicer in its capacity as servicer under this Agreement and the transactions set forth or provided for herein
with respect to servicing of the Collateral and shall be subject to all the responsibilities, duties and liabilities relating thereto placed on the Servicer by the terms and provisions hereof, and the terminated Servicer shall be relieved of such
responsibilities, duties and liabilities arising after such Servicer Transfer; provided, however, that (i) the Successor Servicer will not assume any obligations of the Servicer described in Section 8.02 and (ii) the
Successor Servicer shall not be liable for any acts or omissions of the Servicer occurring prior to such Servicer Transfer or for any breach by the Servicer of any of its representations and warranties contained herein or in any other Transaction
Document. Notwithstanding anything else herein to the contrary, in no event shall the Trustee or the Backup Servicer be liable for any Servicing Fee or for any differential in the amount of the servicing fee paid hereunder and the amount necessary
to induce any Successor Servicer to act as Successor Servicer under this Agreement and the transactions set forth or provided for herein, including any Servicing Transfer Costs. The Owner Trustee, Securityholders and the Trustee and such successor
shall take such action, consistent with this 

  

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Agreement, as shall be necessary to effectuate any such succession. The terminated Servicer shall remain entitled to payment and reimbursement of the amounts
set forth in the last sentence of Section 8.02(b) notwithstanding its termination hereunder, to the same extent as if it had continued to service the Loans hereunder. 
 Section 8.04. Notification to Securityholders. 
 (a) Promptly following the occurrence of any Servicer Default, the Servicer shall give written notice thereof to the Trustee, the Backup Servicer, the Owner Trustee, the Trust Depositor and each Rating Agency at the
addresses described in Section 13.04 hereof and the Trustee shall promptly forward such notice to the Noteholders and Certificateholder at their respective addresses appearing on the Note Register and the Certificate Register,
respectively. 
 (b) Within ten days following any termination of the Servicer or appointment of a Successor Servicer pursuant
to this Article VIII, the Trustee shall give written notice thereof to each Rating Agency and the Trust Depositor at the addresses described in Section 13.04 hereof and to the Noteholders and Certificateholder at their respective
addresses appearing on the Note Register and the Certificate Register, respectively. 
 Section 8.05. Effect of Transfer.

 (a) After a Servicer Transfer, the terminated Servicer shall have no further obligations with respect to the management,
administration, servicing, custody or collection of the Loans and the Successor Servicer appointed pursuant to Section 8.03 shall have all of such obligations, except that the terminated Servicer will transmit or cause to be transmitted
directly to the Successor Servicer for its own account, promptly on receipt and in the same form in which received, any amounts (properly endorsed where required for the Successor Servicer to collect them) received as payments upon or otherwise in
connection with the Loans. 
 (b) A Servicer Transfer shall not affect the rights and duties of the parties hereunder
(including but not limited to the obligations and indemnities of the Servicer) other than those relating to the management, administration, servicing, custody or collection of the Loans. 
 Section 8.06. Database File. 
 Upon reasonable request by the Trustee or the Backup Servicer, the Servicer will provide the Successor Servicer with a magnetic tape or Microsoft Excel or similar spreadsheet file containing the database file for each Loan (a) as of
the Closing Date, (b) each Cut-Off Date, (c) thereafter, as of each Determination Date on the related Reference Date prior to a Servicer Default and (d) on and as of the Business Day before the actual commencement of servicing
functions by the Successor Servicer following the occurrence of a Servicer Default. 
  

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 Section 8.07. Waiver of Defaults. 
 The Majority Noteholders may, on behalf of all the Securityholders, and subject to satisfying the Rating Agency Condition, waive any events permitting
removal of the Servicer pursuant to this Article VIII; provided however that the Majority Noteholders may not waive a default in making a required distribution on a Note without the consent of each holder of such Note. Upon any waiver
or cure of a past default, such default shall cease to exist, and any Servicer Default or Event of Default arising therefrom shall be deemed to have been remedied for every purpose of this Agreement. No such waiver or cure shall extend to any
subsequent or other default or impair any right consequent thereto except to the extent expressly so waived. 
 Section 8.08.
Responsibilities of the Successor Servicer. 
 (a) The Successor Servicer will not be responsible for delays
attributable to the Servicer’s failure to deliver information, defects in the information supplied by the Servicer or other circumstances beyond the control of the Successor Servicer. 
 (b) The Successor Servicer will make arrangements with the Servicer for the prompt and safe transfer of, and the Servicer shall provide to
the Successor Servicer, all necessary servicing files and records, including (as deemed necessary by the Successor Servicer at such time): (i) microfiche loan documentation, (ii) servicing system tapes, (iii) Loan payment history,
(iv) collections history and (v) the trial balances, as of the close of business on the day immediately preceding conversion to the Successor Servicer, reflecting all applicable Loan information. The current Servicer shall be obligated to
pay the costs associated with the transfer of the servicing files and records to the Successor Servicer, to the extent such costs are not paid pursuant to the Priority of Payments as Servicing Transfer Costs due to the limit set forth in the
definition of Servicing Transfer Costs. 
 (c) The Successor Servicer shall have no responsibility and shall not be in default
hereunder nor incur any liability for any failure, error, malfunction or any delay in carrying out any of its duties under this Agreement if any such failure or delay results from the Successor Servicer acting in accordance with information prepared
or supplied by a Person other than the Successor Servicer or the failure of any such Person to prepare or provide such information. The Successor Servicer shall have no responsibility, shall not be in default and shall incur no liability
(i) for any act or failure to act by any third party, including the Servicer, the Trust Depositor, the Owner Trustee or the Trustee or for any inaccuracy or omission in a notice or communication received by the Successor Servicer from any third
party or (ii) which is due to or results from the invalidity, unenforceability of any Loan with applicable law or the breach or the inaccuracy of any representation or warranty made with respect to any Loan. 
 (d) If the Backup Servicer or any other Successor Servicer assumes the role of Successor Servicer hereunder, such Successor Servicer shall
be entitled to the benefits of (and subject to the provisions of) Section 5.02 concerning delegation of duties to subservicers and other third parties. 
 Section 8.09. Rating Agency Condition for Servicer Transfer. 
 Notwithstanding the foregoing
provisions relating to a Servicer Transfer, no Servicer Transfer, except in the case of the Backup Servicer assuming the role of Successor Servicer as 

  

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contemplated by Sections 5.15(c) and 8.03(a), shall be effective hereunder unless prior written notice thereof shall have been given to the
Rating Agencies, and the Rating Agency Condition shall have been satisfied with respect thereto. 
 Section 8.10. Appointment of
Successor Backup Servicer; Successor Backup Servicer to Act. 
 (a) The Backup Servicer may be removed, with or without
cause, by the Servicer so long as no Servicer Default or Event of Default has occurred and is continuing or, if such an event exists, then the Trustee, at the direction of the Majority Noteholders, by notice given in writing to the Backup Servicer
(the “Backup Servicer Termination Notice”), a copy of which shall be provided to S&P promptly after it is delivered to the Backup Servicer. The Backup Servicer shall continue to perform all backup servicing functions under this
Agreement until the date specified in the Backup Servicer Termination Notice or, if no such date is specified, until a date mutually agreed by the Backup Servicer and the party giving the Backup Servicer Termination Notice. As promptly as possible
after the giving of a Backup Servicer Termination Notice, (i) if the Servicer delivered the Backup Servicer Termination Notice, the Servicer shall appoint a Successor Backup Servicer with the consent of the Majority Noteholders, not to be
unreasonably withheld, and (ii) if the Trustee delivered the Backup Servicer Termination Notice, the Trustee shall appoint a Successor Backup Servicer at the direction of the Majority Noteholders (the “Successor Backup
Servicer”) and such Successor Backup Servicer shall accept its appointment by a written assumption in a form acceptable to the Trustee and Owner Trustee. 
 (b) In the event that a Successor Backup Servicer has not been appointed and has not accepted its appointment at the time when the then
Backup Servicer has ceased to act as Backup Servicer, the Trustee shall petition a court of competent jurisdiction to appoint any established financial institution having a net worth of at least $50,000,000 and whose regular business includes the
backup servicing of loans similar to the Loans as the Successor Backup Servicer hereunder and the Successor Backup Servicer shall be the successor in all respects to the Backup Servicer in its capacity as Backup Servicer under this Agreement and the
transactions set forth or provided for herein and shall be subject to all the responsibilities, duties and liabilities relating thereto placed on the Backup Servicer by the terms and provisions hereof, and the terminated Backup Servicer shall be
relieved of such responsibilities, duties and liabilities arising after such backup servicer transfer (the “Backup Servicer Transfer”); provided, however, that the Successor Backup Servicer shall not be liable for any acts or
omissions of the Backup Servicer occurring prior to such Backup Servicer Transfer or for any breach by the Backup Servicer of any of its representations and warranties contained herein or in any related document or agreement. As compensation
therefor, the Successor Backup Servicer shall be entitled to receive reasonable compensation equal to the monthly Backup Servicing Fee. Notwithstanding anything else herein to the contrary, in no event shall the Trustee or the Servicer be liable for
any Backup Servicing Fee or for any differential in the amount of the backup servicing fee paid hereunder and the amount necessary to induce any Successor Backup Servicer to act as Backup Servicer under this Agreement and the transactions set forth
or provided for herein. The Owner Trustee, Securityholders and the Trustee and such successor shall take such action, consistent with this Agreement, as shall be necessary to effectuate any such succession. 
  

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 ARTICLE IX. 
 REPORTS 
 Section 9.01. Quarterly Reports. 
 With respect to each Distribution Date and the related Due Period, the Servicer shall prepare a quarterly statement (a “Quarterly
Report”) substantially in the form of Exhibit H hereto with respect to the preceding Due Period. On the related Reference Date, the Servicer will provide such Quarterly Report to the Owner Trustee, the Trustee, the Backup Servicer,
the Initial Purchasers and each Rating Agency. 
 Section 9.02. Officer’s Certificate. 
 Each Quarterly Report delivered pursuant to Section 9.01 shall be accompanied by a certificate of a Responsible Officer of the Servicer
certifying the accuracy of the Quarterly Report and that no Servicer Default or event that with notice or lapse of time or both would become a Servicer Default has occurred, or if such event has occurred and is continuing, specifying the event and
its status. 
 Section 9.03. Other Data; Obligor Financial Information. 
 (a) In addition, the Servicer shall, upon the request of the Trustee, the Owner Trustee, the Backup Servicer or any Rating Agency, furnish
the Trustee, the Owner Trustee, Rating Agency or the Backup Servicer, as the case may be, such underlying data in the possession of the Servicer used to generate a Quarterly Report as may be reasonably requested. The Servicer will also forward to
the Trustee, the Owner Trustee, the Backup Servicer, each Rating Agency and the Initial Purchasers (i) within 60 days after each calendar quarter (except the fourth calendar quarter), commencing with the quarter ending September 30, 2006,
the unaudited quarterly financial statements of the Servicer and (ii) within 90 days after each fiscal year of the Servicer, commencing with the fiscal year ending December 31, 2006, the audited annual financial statements of the Servicer,
together with the related report of the independent accountants to the Servicer. 
 (b) The Servicer shall provide to S&P
(i) annual financial statements for each Obligor of a Loan included in the Collateral, as promptly as reasonably practicable after the end of the fiscal year of such Obligor, until such time as the related Loan has been paid in full or is no
longer part of the Collateral and (ii) promptly after a Responsible Officer of the Servicer becomes aware thereof, via electronic copy at the following email addresses: clo_loans@standardandpoors.com; and
cdo_surveillance@sandp.com, notice of any payment default (following the expiration of any applicable grace period) under a Loan. The Servicer shall notify S&P if any Obligor of a Loan included in the Collateral fails to provide financial
statements within 135 days after the end of the fiscal year of such Obligor. 
 (c) The Servicer shall provide to Moody’s
annual financial statements for each Obligor of a Loan included in the Collateral as promptly as reasonably practicable after such financial statements are delivered to the Servicer after the end of each Obligor’s fiscal year, until such time
as the related Loan has been paid in full or is no longer part of the Collateral. 
  

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 (d) The Servicer will forward to Moody’s and S&P promptly upon request any
additional financial information in the Servicer’s possession or reasonably obtainable by the Servicer as Moody’s and S&P shall reasonably request with respect to an Obligor as to which any Scheduled Payment is past due for at least
ten days. 
 (e) Upon any Loan becoming a Delinquent Loan, and without any request therefor by Moody’s and S&P, and
promptly after receipt thereof by the Servicer, the Servicer will forward to Moody’s and S&P updated financial information with respect to the related Obligor. 
 (f) The Servicer will provide to the Rating Agencies such financial information, documents and other materials in the Servicer’s
possession or reasonably obtainable by the Servicer as the Rating Agencies shall reasonably request in connection with any annual review and/or re-grading of the Loans and the related Obligors which the Rating Agencies may undertake. 
 Section 9.04. Annual Report of Accountants. 
 The Servicer shall cause a firm of nationally recognized independent certified public accountants (the “Independent Accountants”), who may also render other services to the Servicer or its Affiliates,
to deliver to the Trustee, the Owner Trustee, the Backup Servicer and each Rating Agency, on or before April 1 of each year, beginning on April 1, 2007, a report addressed to the Servicer, the Trustee and the Owner Trustee indicating that
the Independent Accountants have performed certain procedures as agreed by the Servicer, the Trustee and the Owner Trustee, whereby the Independent Accountants will obtain the Quarterly Report with respect to two Due Periods during the 12 months
ended the immediately preceding December 31 and, for each Quarterly Report, the Independent Accountants will agree certain amounts in the Quarterly Report to the Servicer’s computer, accounting and other reports, which will include in such
report any amounts which were not in agreement. In the event such firm of Independent Accountants requires the Trustee to agree to the procedures performed by such firm of Independent Accountants, the Servicer shall direct the Trustee in writing to
so agree; it being understood and agreed that the Trustee will deliver such letter of agreement in conclusive reliance upon the direction of the Servicer, and the Trustee will not make any independent inquiry or investigation as to, and shall have
no obligation or liability in respect of, the sufficiency, validity or correctness of such procedures. The Independent Accountants’ report shall also indicate that the firm is independent of the Servicer within the meaning of the Code of
Professional Ethics of the American Institute of Certified Public Accountants. 
 Section 9.05. Statements of Compliance from
Servicer. 
 (a) The Servicer will deliver to the Trustee, the Backup Servicer and the Owner Trustee within 90 days of the
end of each fiscal year commencing with the year ending December 31, 2006, an Officer’s Certificate stating that (a) the Servicer has fully complied in all material respects with certain provisions of the Agreement relating to
servicing of the 

  

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Loans and payments on the Notes, (b) a review of the activities of the Servicer during the prior calendar year and of its performance under this
Agreement was made under the supervision of the officer signing such certificate and (c) to the best of such officer’s knowledge, based on such review, the Servicer has fully performed or caused to be performed in all material respects all
its obligations under this Agreement for such year, or, if there has been a Servicer Default or default in any of its obligations which, with notice or passage of time, could become a Servicer Default, specifying each such default known to such
officer and the nature and status thereof including the steps being taken by the Servicer to remedy such event. 
 (b) On and
as of the Effective Date the Servicer shall determine and report to the Trustee and Backup Servicer the extent of compliance of the Loans included in the Collateral with the Portfolio Criteria. 
 Section 9.06. Reports of Foreclosure and Abandonment of Mortgaged Property. 
 To the extent permitted by Applicable Law, each year the Servicer shall make the reports of foreclosures and abandonment of any Mortgaged Property as and
to the extent required by § 6050J of the Code. Promptly after filing any such report with the Code, the Servicer shall provide the Trustee with an Officer’s Certificate certifying that such report has been filed. 
 Section 9.07. Notices of Event of Default or Servicer Default. 
 Promptly upon a Responsible Officer of the Servicer becoming aware thereof, the Servicer shall furnish to the Trustee, the Backup Servicer and to S&P notice of the occurrence of any Event of Default or Servicer
Default or of any situation which the Servicer reasonably expects to develop into an Event of Default or Servicer Default. 
 Section 9.08. Trustee’s Right to Examine Servicer Records, Audit Operations and Deliver Information to Noteholders. 
 The Trustee shall have the right upon reasonable prior notice, during normal business hours, in a manner that does not unreasonably interfere with the Servicer’s normal operations or customer or employee relations, no more often than
once a year unless an Event of Default or Servicer Default shall have occurred and be continuing in which case as often as reasonably required, to examine and audit any and all of the books, records or other information of the Servicer, whether held
by the Servicer or by another on behalf of the Servicer, which may be relevant to the performance or observance by the Servicer of the terms, covenants or conditions of this Agreement. No amounts payable in respect of the foregoing shall be paid
from the Loan Assets. If the Backup Servicer becomes the Successor Servicer hereunder in accordance with Sections 5.15(c) and 8.03, the Backup Servicer shall have the right upon reasonable prior notice, during normal business hours in
a manner that does not unreasonably interfere with the Servicer’s or predecessor Servicer’s, as applicable, normal operations or customer or employee relations, to examine and audit any and all books, records or other information relating
to the servicing of the Loan Assets by the Servicer or predecessor Servicer, as applicable, whether held by the Servicer or by another on behalf of the Servicer and the cost thereof shall be payable as part of the Servicing Transfer Costs.

  

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 The Trustee shall have the right, in accordance with the Indenture, to deliver information provided by
the Servicer to any Noteholder requesting the same and, to the extent provided in the Indenture, to the Backup Servicer. 
 ARTICLE X.

 TERMINATION 
 Section 10.01. Optional Repurchase and Refinancing of Notes. 
 (a) Optional Repurchase.

 (i) On the last day of any Due Period as of which the Aggregate Outstanding Loan Balance shall be less than 15% of the
lesser of the Expected Aggregate Outstanding Loan Balance or the Aggregate Outstanding Loan Balance as of the Effective Date, the Issuer, at the direction of the Holders representing at least 66-2/3% of the Outstanding Principal Balance of the Class
F Notes, may purchase for the Repurchase Price the Offered Notes then outstanding in whole, but not in part, pursuant to the Indenture and the other Transaction Documents. To exercise such option, the Servicer on behalf of the Issuer shall deposit
in the Note Distribution Account an amount equal to the Repurchase Price and shall comply with the requirements of Section 10.01 of the Indenture. 
 (ii) Notice of any purchase pursuant to Section 10.01(a)(i) shall be given by the Servicer to the Issuer, the Trustee, the
Owner Trustee, the Class A-2 Agent and the Rating Agencies and by the Trustee to each Holder of Notes. 
 (iii) Following
the satisfaction and discharge of the Indenture, the payment in full of the principal of and interest on the Notes, the Certificateholders will succeed to the rights of the Noteholders hereunder and the Owner Trustee will succeed to the rights of
the Trustee pursuant to this Agreement. 
 (b) Optional Refinancing. 
 (i) The Issuer may, at the direction of the Holders of at least 66-2/3% of the Outstanding Principal Balance of the Class F Notes, effect
a Refinancing of the Offered Notes in whole, but not in part, on any Refinancing Date by payment to the Holders of the Offered Notes and other Persons entitled thereto the Refinancing Price pursuant to the Indenture and the other Transaction
Documents. To effect a Refinancing, the Servicer on behalf of the Issuer shall deposit in the Note Distribution Account an amount equal to the Refinancing Price and shall comply with the provisions of Section 10.04 of the Indenture. 

(ii) Notice of a Refinancing shall be given by the Issuer to the Servicer, the Trustee, the Owner Trustee, the Class A-2 Agent and
the Rating Agencies and by the Trustee to each Holder of Notes. 
  

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 Section 10.02. Termination. 
 (a) This Agreement shall terminate upon notice to the Trustee of the earlier of the following events: (i) the final payment on or the
disposition or other liquidation by the Issuer of the last Loan (including, without limitation, in connection with a repurchase by the Issuer of all outstanding Notes pursuant to Section 10.01) or the disposition of all property acquired
upon foreclosure or deed in lieu of foreclosure of any Loan and the remittance of all funds due thereunder with respect thereto, (ii) mutual written consent of the Servicer, the Trust Depositor, the Trustee, the Originator and all
Securityholders or (iii) the payment in full of all amounts owing in respect of the Notes. 
 (b) Notice of any
termination, specifying the Distribution Date upon which the Issuer will terminate and that the Noteholders shall surrender their Notes to the Trustee for payment of the final distribution and cancellation shall be given promptly by the Servicer to
the Trustee and by the Trustee to all Noteholders during the month of such final distribution before the Reference Date in such month, specifying (i) the Distribution Date upon which final payment of the Notes (or Repurchase Price, as
applicable) will be made upon presentation and surrender of Notes at the office of the Trustee therein designated, (ii) the amount of any such final payment and (iii) that the Record Date otherwise applicable to such Distribution Date is
not applicable, payments being made only upon presentation and surrender of the Notes at the office of the Trustee therein specified. 
 ARTICLE XI. 
 REMEDIES UPON MISREPRESENTATION; 
 REPURCHASE OPTION 
 Section 11.01. Repurchases of, or Substitution for, Loans for Breach of
Representations and Warranties. 
 Upon a discovery by a Responsible Officer of the Servicer or any subservicer, a Responsible Officer of
the Owner Trustee or a Responsible Officer of the Trustee of (i) a breach of a representation or warranty as set forth in Section 3.01, Section 3.02, Section 3.03, or Section 3.04 or as made or
deemed made in any Addition Notice or any Subsequent Transfer Agreement relating to Additional Loans and Substitute Loans that materially and adversely affects the value of the Loans or the interests of the Securityholders therein or which
materially and adversely affects the interests of the Securityholders in the related Loan in the case of a representation or warranty relating to a particular Loan (notwithstanding that such representation or warranty was made to the
Originator’s or the Trust Depositor’s actual knowledge) or (ii) the failure of any Participated Loan (other than a Qualified Participated Loan) to be converted to a full assignment within 60 days following the Closing Date (each Loan
in clauses (i) and (ii) above, an “Ineligible Loan”), the party discovering the breach or failure shall give prompt written notice to the other parties to this Agreement; provided that neither the
Owner Trustee nor the Trustee shall have a duty or obligation to inquire or to investigate the breach of any of such representations or warranties. Within 30 days of the earlier of (x) its discovery or (y) its receipt of notice of any
breach of a representation or warranty or a failure of any Participated Loan (other than a Qualified Participated Loan) to be converted to a full assignment, the Trust Depositor shall, or shall require the Originator pursuant to the Loan Sale
Agreement and the Originator shall, (a) promptly cure such breach in all material respects, (b) repurchase each such Ineligible Loan by 

  

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depositing in the Principal and Interest Account, within such 30 day period, an amount equal to the Transfer Deposit Amount, or (c) remove such Loan
from the Collateral and effect a substitution for such affected Loan with a Substitute Loan in accordance with the substitution requirements set forth in Section 2.04, not later than the date a repurchase of such affected Loan would be
required hereunder; provided, however, that with respect to a breach of a representation or warranty relating to the Loans in the aggregate and not to any particular Loan, the Trust Depositor or the Originator, as applicable, may select Loans
(without adverse selection) to repurchase (or substitute for) such that had such Loans not been included as part of the Loan Assets (and, in the case of a substitution, had such Substitute Loan been included as part of the Loan Assets instead of the
selected Loan) there would have been no breach of such representation or warranty. 
 Section 11.02. Reassignment of Repurchased or
Substituted Loans. 
 Upon receipt by the Trustee for deposit in the Principal and Interest Account of the amounts described in
Section 11.01 (or upon the Cut-Off Date related to a Substitute Loan described in Section 11.01), and upon receipt of an Officer’s Certificate of the Servicer in the form attached hereto as Exhibit F, the Trustee
shall assign to the Trust Depositor and the Trust Depositor shall assign to the Originator all of the Issuer’s (or Trust Depositor’s, as applicable) right, title and interest in the repurchased or substituted Loan and related Loan Assets
without recourse, representation or warranty. Such reassigned Loan shall no longer thereafter be included in any calculations of Outstanding Loan Balances required to be made hereunder or otherwise be deemed a part of the Issuer. 
 ARTICLE XII 
 INDEMNITIES 
 Section 12.01. Indemnification by Servicer. 
 The Servicer agrees to indemnify, defend and hold the Trustee (as such and in its individual capacity), the Owner Trustee (as such and in its individual capacity), the Backup Servicer and each Securityholder harmless
from and against any and all claims, losses, penalties, fines, forfeitures, reasonable legal fees and related costs, judgments (provided that any indemnification for damages is limited to actual damages, not consequential, special or punitive
damages), reasonable legal fees and related costs and any other reasonable costs, fees and expenses that such Person may sustain as a result of the Servicer’s fraud or the failure of the Servicer to perform its duties and service the Loans in
compliance in all material respects with the terms of this Agreement, except to the extent arising from the gross negligence, willful misconduct or fraud by the Person claiming indemnification. Any Person seeking indemnification hereunder shall
promptly notify the Servicer if such Person receives a complaint, claim, compulsory process or other notice of any loss, claim, damage or liability giving rise to a claim of indemnification hereunder but failure to provide such notice shall not
relieve the Servicer of its indemnification obligations hereunder unless the Servicer is deprived of material substantive or procedural rights or defenses as a result thereof. The Servicer shall assume (with the consent of the indemnified party,
such consent not to be unreasonably withheld) the defense and any settlement of any such claim and pay all expenses in connection therewith, including 

  

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reasonable counsel fees, and promptly pay, discharge and satisfy any judgment or decree which may be entered against the indemnified party in respect of such
claim. If the consent of the indemnified party required in the immediately preceding sentence is unreasonably withheld, the Servicer is relieved of its indemnification obligations hereunder with respect to such Person. The parties agree that the
provisions of this Section 12.01 shall not be interpreted to provide recourse to the Servicer against loss by reason of the bankruptcy, insolvency or lack of creditworthiness of an Obligor with respect to a Loan. The Servicer shall have
no liability for making indemnification hereunder to the extent any such indemnification constitutes recourse for uncollectible or uncollected Loans. 
 Section 12.02. Indemnification by Trust Depositor. 
 The Trust Depositor agrees to indemnify,
defend, and hold the Trustee (as such and in its individual capacity), the Owner Trustee (as such and in its individual capacity) and each Securityholder harmless from and against any and all claims, losses, penalties, fines, forfeitures, reasonable
legal fees and related costs, judgments (provided that any indemnification for damages is limited to actual damages, not consequential, special or punitive damages), and any other reasonable costs, fees and expenses that such Person may
sustain as a result of the Trust Depositor’s fraud or the failure of the Trust Depositor to perform its duties in compliance in all material respects with the terms of this Agreement and in the best interests of the Securityholders, except to
the extent arising from the gross negligence, willful misconduct or fraud by the Person claiming indemnification. Any Person seeking indemnification hereunder shall promptly notify the Trust Depositor if such Person receives a complaint, claim,
compulsory process or other notice of any loss, claim, damage or liability giving rise to a claim of indemnification hereunder but failure to provide such notice shall not relieve the Trust Depositor of its indemnification obligations hereunder
unless the Trust Depositor is deprived of material substantive or procedural rights or defenses as a result thereof. The Trust Depositor shall assume (with the consent of the indemnified party, such consent not to be unreasonably withheld) the
defense and any settlement of any such claim and pay all expenses in connection therewith, including reasonable counsel fees, and promptly pay, discharge and satisfy any judgment or decree which may be entered against the indemnified party in
respect of such claim. If the consent of the indemnified party required in the immediately preceding sentence is unreasonably withheld, the Trust Depositor is relieved of its indemnification obligations hereunder with respect to such Person.

 ARTICLE XIII. 
 MISCELLANEOUS

 Section 13.01. Amendment. 
 (a) This Agreement may be amended from time to time by the Issuer, the Trust Depositor, the Originator, the Servicer, the Backup Servicer (if such amendment changes the rights or obligations of the Backup Servicer)
and the Trustee by written agreement, with notice to the Owner Trustee and to the Backup Servicer but without notice to or consent of the Securityholders, to cure any ambiguity, to correct or supplement any provisions herein, to comply with any
changes in the Code, to modify any Schedule or Annex B 

  

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of this Agreement, or to make any other provisions with respect to matters or questions arising under this Agreement which shall not be inconsistent with the
provisions of this Agreement; provided that such action shall not, as evidenced by an Opinion of Counsel delivered to the Trustee, materially adversely affect the interests of any Securityholder, which Opinion of Counsel may rely upon an
Officer’s Certificate with respect to the effect of any such amendment on the economic interests of any Securityholders; and provided further that no such amendment shall reduce in any manner the amount of, or delay the timing of, any
amounts received on Loans which are required to be distributed on any Note or Certificate without the consent of the Holder of such Note or Certificate, or change the rights or obligations of any other party hereto (including the Backup Servicer)
without the consent of such party. 
 (b) Excepted as provided in Section 13.01(a) hereof, this Agreement may
be amended from time to time by the Issuer, the Trust Depositor, the Originator, the Servicer and the Trustee by written agreement, with the consent of the Majority Noteholders and with notice to the Owner Trustee, 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 Holders of the Notes or Certificates; provided however that (i) no such amendment shall reduce
in any manner the amount of, or delay the timing of, any amounts which are required to be distributed on any Note or Certificate without the consent of the Holder of such Note or Certificate or reduce the percentage of Holders of any Note or
Certificate which are required to consent to any such amendment without the consent of the Holders of 100% of the Notes affected thereby, and (ii) no amendment affecting only one Class shall require the approval of the Holders of any other
Class. 
 (c) Notwithstanding anything to the contrary in this Agreement, any amendment to this Agreement that would have the
effect of amending or modifying the Portfolio Criteria shall have no effect unless it satisfies the following requirements and restrictions: 
 (i) only clauses (b) through (i) of the definition of Portfolio Criteria may be amended; 
 (ii) such amendment shall satisfy the Rating Agency Condition; 
 (iii) such amendment shall
not, as evidenced by an Officer’s Certificate of the Servicer delivered to the Trustee, materially adversely affect the interests of any Noteholder or the Certificateholder; 
 (iv) the Issuer shall deliver to the Noteholders the proposed amendment, together with instructions providing that the Noteholders shall
have ten Business Days from their receipt of such amendment to notify the Issuer, in writing, of their objection to such amendment; and 
 (v) the Majority Noteholders shall not have delivered timely notice of their objection to such amendment as set forth in clause (iv) above; 
  

 144 

 provided that any amendment that would have the effect of modifying the
calculation of clauses (b) through (i) of the definition of Portfolio Criteria in order to correspond to written changes in the guidelines, methodology or standards established by the Rating Agencies shall only be subject to
satisfaction of clause (ii) above. 
 (d) Prior to the execution of any amendment pursuant to
Section 13.01 (other than Annex B or any amendment to the List of Loans attached as a Schedule hereto), the Issuer shall obtain written confirmation from Moody’s and S&P that entry into such amendment satisfies the Moody’s
Rating Condition and the S&P Rating Condition. 
 (e) Promptly after the execution of any such amendment or consent,
written notification of the substance of such amendment or consent shall be furnished by the Trustee to the Noteholders and Fitch and by the Owner Trustee to the Certificateholders. It shall not be necessary for the consent of any Securityholders
required pursuant to Section 13.01(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 of
evidencing the authorization by the Securityholders of the execution thereof shall be subject to such reasonable requirements as the Trustee may prescribe for the Noteholders and as the Owner Trustee may prescribe for the Certificateholders.

 (f) Prior to the execution of any amendment to this Agreement, the Owner Trustee and the Trustee shall be entitled to
receive and conclusively rely upon an Opinion of Counsel stating that the execution of such amendment is authorized and permitted by this Agreement, which Opinion of Counsel may rely upon an Officer’s Certificate with respect to the effect of
any such amendment on the economic interests of any Securityholders. Each Trustee may, but shall not be obligated to, enter into any such amendment that affects such Trustee’s own rights, duties, indemnities or immunities under this Agreement
or otherwise. 
 Section 13.02. Reserved. 
 Section 13.03. Governing Law. 
 (a) THIS AGREEMENT SHALL BE CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK AND THE OBLIGATIONS, RIGHTS, AND REMEDIES OF THE PARTIES UNDER THE AGREEMENT SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS. 
 (b) EACH PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN
RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT. EACH PARTY HERETO (I) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE,
THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (II) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN 

  

 145 

 
INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 13.03(b). 
 Section 13.04. Notices. 
 All
notices, demands, certificates, requests and communications hereunder (“notices”) shall be in writing and shall be effective (a) upon receipt when sent through the U.S. mails, registered or certified mail, return receipt requested,
postage prepaid, with such receipt to be effective the date of delivery indicated on the return receipt, or (b) one Business Day after delivery to an overnight courier, or (c) on the date personally delivered to an Responsible Officer of
the party to which sent, or (d) on the date transmitted by legible telecopier or electronic mail transmission with a confirmation of receipt, in all cases addressed to the recipient as follows: 
  

	 	(a)	if to the Servicer or the Originator: 

 NewStar Financial,
Inc. 
 500 Boylston Street 
 Boston, Massachusetts 02116 
 Attention: David K. Roberts 
 Facsimile No.: (617) 848-4300 
  

	 	(b)	if to the Trust Depositor: 

 NewStar Commercial Loan LLC
2006-1 
 500 Boylston Street 
 Boston, Massachusetts 02116 
 Attention: David K. Roberts 
 Facsimile No.: (617) 848-4300 
  

	 	(c)	if to the Trustee: 

 U.S. Bank National Association

 One Federal Street, 3rd Floor 
 Boston, Massachusetts 02110 
 Attention: Corporate Trust Services 
 Facsimile No.: (503)258-6028 
 If to the Trustee with respect to Loan Files: 
 U.S. Bank National Association 
 1719 Range Way 
 Florence, South Carolina 29501 
 Attention: Sandra Farrow 
 Ref: NewStar Commercial Loan Trust 2006-1 
 Mail Code: Ex – SC - FLOR 
  

 146 

	 	(d)	if to the Owner Trustee: 

 Wilmington Trust Company

 1100 North Market Street 
 Wilmington, Delaware 19801 
 Attention: Corporate Trust Administration 
 Facsimile No.: (302) 636-4140 
 with a copy
to: 
 the Originator and the Servicer as provided in clause (a) above 
 if to the Issuer: 
 NewStar Commercial Loan
Trust 2006-1 
 c/o Wilmington Trust Company 
 1100 North Market Street 
 Wilmington, Delaware 19801 
 Attention: Corporate Trust Administration 
 Facsimile No.: (302) 636-4140 
 with a copy to: 
 the Originator and the Servicer as provided in clause (a) above 
  

	 	(e)	if to S&P: 

 Standard and Poor’s 
 55 Water Street 
 41st Floor 
 New York,
New York 10041 
 Attention: CDO Surveillance 
 Facsimile No.: (212) 438-2662 
 with an electronic copy to: 
 Email: cdo_surveillance@sandp.com (all Quarterly Reports and notices of payment defaults) 
             clo_loans@standardandpoors.com (all notices of payment defaults)

  

	 	(f)	if to Moody’s: 

 Moody’s Investors Service

 99 Church Street 
 New York,
New York 10007 
 Attention: CDO Monitoring Department 
 Facsimile No.: (212) 553-0344 
 Email: cdomonitoring@moodys.com 
  

 147 

	 	(g)	if to Fitch: 

 Fitch, Inc. 
 One State Street Plaza 
 New York, New York
10004 
 Attention: CDO Surveillance 
 Facsimile No.: (212) 514-6501 
  

	 	(h)	if to the Initial Purchasers: 

 Wachovia Capital Markets,
LLC 
 One Wachovia Center, Mail Code: NC0602 
 301 South College Street 
 Charlotte, North Carolina 28288-0610 
 Attention: Structured Credit Products 
 Facsimile No.: (704) 374-6495; and 
 Citigroup Global Markets Inc. 
 390 Greenwich Street 
 New York, New York
10013 
 Attention: Asset-Backed Finance 
 Facsimile No.: (212)723-8591 
 Harris Nesbitt Corp. 
 115 South LaSalle Street 
 13th Floor West 
 Chicago, Illinois 60603 
 Attention: Kevin Gibbons 
 Facsimile No.: (312) 293-4908 
  

	 	(i)	if to the Backup Servicer: 

 Lyon Financial Services,
Inc., 
 d/b/a U.S. Bank Portfolio Services 
 1310 Madrid, Suite 103 
 Marshall, Minnesota 56255 
 Attention: Joseph Andries 
 Facsimile No.:
(507)537-5201 
 Each party hereto may, by notice given in accordance herewith to each of the other parties hereto, designate any further or
different address to which subsequent notices shall be sent. 
 Section 13.05. Severability of Provisions. 
 If 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 

  

 148 

 
Agreement and shall in no way affect the validity or enforceability of the other provisions of this Agreement, the Notes or Certificates or the rights of the
Securityholders, and any such prohibition, invalidity or unenforceability in any jurisdiction shall not invalidate or render unenforceable such covenants, agreements, provisions or terms in any other jurisdiction. 
 Section 13.06. Third Party Beneficiaries. 
 Except as otherwise specifically provided herein, the parties hereto hereby manifest their intent that no third party shall be deemed a third party beneficiary of this Agreement, and specifically that the Obligors are
not third party beneficiaries of this Agreement. 
 Section 13.07. Counterparts. 
 This Agreement may be executed by facsimile signature and in several counterparts, each of which shall be an original and all of which shall together
constitute but one and the same instrument. 
 Section 13.08. Headings. 
 The headings of the various Articles and Sections herein are for convenience of reference only and shall not define or limit any of the terms or
provisions hereof. 
 Section 13.09. No Bankruptcy Petition; Disclaimer. 
 (a) Each of the Originator, the Trustee, the Servicer, the Issuer acting through the Owner Trustee, the Owner Trustee and each Holder (by
acceptance of the applicable Securities) covenants and agrees that, prior to the date that is one year and one day (or, if longer, the then applicable preference period and one day) after the payment in full of all amounts owing in respect of all
outstanding Classes of Notes rated by any Rating Agency, it will not institute against the Trust Depositor or the Issuer, or join any other Person in instituting against the Trust Depositor or the Issuer, any bankruptcy, reorganization, arrangement,
insolvency or liquidation proceedings or other similar proceedings under the laws of the United States or any state of the United States; provided, however, that nothing herein shall prohibit the Trustee from filing proofs of claim or
otherwise participating in any such proceedings instituted by any other Person. 
 (b) The Issuer acknowledges and agrees that
the Certificates represent a beneficial interest in the Issuer and Loan Assets only and the Securities do not represent an interest in any assets (other than the Loan Assets) of the Trust Depositor (including by virtue of any deficiency claim in
respect of obligations not paid or otherwise satisfied from the Loan Assets and proceeds thereof). In furtherance of and not in derogation of the foregoing, to the extent that the Trust Depositor enters into other transactions as contemplated in
Section 6.07, the Issuer acknowledges and agrees that it shall have no right, title or interest in or to any assets (or interests therein), other than the Loan Assets, conveyed or purported to be conveyed (whether by way of a sale,
capital contribution or by the granting of a Lien) by the Trust Depositor to any Person other than the Issuer (the “Other Assets”). 
  

 149 

 (c) To the extent that notwithstanding the agreements contained in this
Section 13.09, the Issuer or any Securityholder, either (i) asserts an interest in or claim to, or benefit from any Other Assets, whether asserted against or through the Trust Depositor or any other Person owned by the Trust
Depositor, or (ii) is deemed to have any interest, claim or benefit in or from any Other Assets, whether by operation of law, legal process, pursuant to applicable provisions of Insolvency Laws or otherwise (including without limitation
pursuant to Section 1111 (b) of the federal Bankruptcy Code, as amended) and whether deemed asserted against or through the Trust Depositor or any other Person owned by the Trust Depositor, then the Issuer and each Securityholder by
accepting a Note or Certificate further acknowledges and agrees that any such interest, claim or benefit in or from the Other Assets is and shall be expressly subordinated to the indefeasible payment in full of all obligations and liabilities of the
Trust Depositor that, under the terms of the documents relating to the securitization of the Other Assets, are entitled to be paid from, entitled to the benefits of, or otherwise secured by such Other Assets (whether or not any such entitlement or
security interest is legally perfected or otherwise entitled to a priority of distribution under applicable law, including Insolvency Laws, and whether asserted against the Trust Depositor or any other Person owned by the Trust Depositor) including,
without limitation, the payment of post-petition interest on such other obligations and liabilities. This subordination agreement shall be deemed a subordination agreement within the meaning of Section 510(a) of the Bankruptcy Code. Each of the
Issuer and the Securityholders is deemed to have acknowledged and agreed that no adequate remedy at law exists for a breach of this Section 13.09 and that the terms and provisions of this Section 13.09 may be enforced by an
action for specific performance. 
 (d) The provisions of this Section 13.09 shall be for the third party benefit
of those entitled to rely thereon, including the Securityholders, and shall survive the termination of this Agreement. 
 Section 13.10.
Jurisdiction. 
 Any legal action or proceeding with respect to this Agreement may be brought in the courts of the United States for
the Southern District of New York, and by execution and delivery of this Agreement, each party hereto consents, for itself and in respect of its property, to the nonexclusive jurisdiction of those courts. Each such party irrevocably waives any
objection, including any objection to the laying of venue or based on the grounds of forum non conveniens, which it may now or hereafter have to the bringing of any action or proceeding in such jurisdiction in respect of this Agreement or any
document related hereto. 
 Section 13.11. Tax Characterization. 
 Notwithstanding the provisions of Section 2.01 and Section 2.04 hereof, the Trust Depositor and Owner Trustee agree that,
pursuant to Treasury Regulations Section 301.7701-3(b)(l) and for federal, state and local income tax purposes, in the event that the Certificates and the Class F Notes are owned by more than one Holder, the Issuer will be treated as a
partnership the partners of which are the Certificateholders and the Holders of the Class F Notes, and in the event that the Certificates and the Class F Notes are owned by a single Holder, the Issuer will be disregarded as an entity separate from
such Holder. 
  

 150 

 Section 13.12. Prohibited Transactions with Respect to the Issuer. 
 The Originator shall not: 
 (a) Provide credit to any Noteholder or Certificateholder for the purpose of enabling such Noteholder or Certificateholder to purchase Notes or Certificates, respectively; 
 (b) Purchase any Notes or Certificates in an agency or trustee capacity; or 
 (c) Except in its capacity as Servicer as provided in this Agreement, lend any money to the Issuer. 
 Section 13.13. Limitation of Liability of Owner Trustee. 
 Wilmington Trust Company acts on behalf of the Issuer solely as Owner Trustee hereunder and not in its individual capacity, and all Persons having any claim against the Issuer by reason of the transactions
contemplated by this Agreement or any other Transaction Document shall look only to the Trust Estate under the Trust Agreement for payment or satisfaction thereof. The Owner Trustee makes no representations as to the validity or sufficiency of this
Agreement, any other Transaction Document or the Notes, or of any Loan or related documents. The Owner Trustee shall at no time have any responsibility or liability for or with respect to the legality, validity and enforceability of any Loan, or the
perfection and priority of any security interest created by any Loan in any Collateral or the maintenance of any such perfection and priority, or for or with respect to the sufficiency of the Trust Estate under the Trust Agreement or its ability to
generate the payments to be distributed to the Certificateholder under the Trust Agreement or the Noteholders under the Indenture, including, without limitation, the existence, condition and ownership of any Collateral; the existence and
enforceability of any insurance thereon; the existence and contents of any Loan on any computer or other record thereof; the validity of the assignment of any Loan to the Issuer or of any intervening assignment; the completeness of any Loan; the
performance or enforcement of any Loan; the compliance by the Issuer, the Trust Depositor or the Servicer with any covenant, agreement or other obligation or any warranty or representation made under any Transaction Document or in any related
document or the accuracy of any such warranty or representation; or any action of the Trustee or the Servicer or any subservicer taken in the name of the Owner Trustee or the Issuer. 
 Section 13.14. Reserved. 
 Section 13.15. No Partnership. 
 Nothing herein contained shall be deemed or construed to create a co-partnership or
joint venture between the parties hereto, and the services of the Servicer shall be rendered as an independent contractor and not as agent or as a fiduciary for any party hereto or for the Securityholders. 
 Section 13.16. Successors and Assigns. 
 This Agreement shall inure to the benefit of and be binding upon the parties hereto and their respective successors and permitted assigns. 
  

 151 

 Section 13.17. Acts of Holders. 
 Except as otherwise specifically provided herein, whenever Holder action, consent or approval is required under this Agreement, such action, consent or
approval shall be deemed to have been taken or given on behalf of, and shall be binding upon, all Holders if the Majority Noteholders agree to take such action or give such consent or approval. 
 Section 13.18. Duration of Agreement. 
 This Agreement shall continue in existence and effect until terminated as herein provided. 
 Section 13.19. Limited
Recourse. 
 Notwithstanding any other provisions of the Notes, this Agreement or any other Transaction Document, the obligations of the
Issuer under the Notes, this Agreement and any other Transaction Document are limited recourse obligations of the Issuer payable solely from the Collateral in accordance with the Priority of Payments and, following realization of the Collateral and
distribution in accordance with the Priority of Payments, any claims of the Noteholders and the other Secured Parties, and any other parties to any Transaction Document shall be extinguished. The obligations of the Trust Depositor, the Originator,
the Issuer and the Servicer under this Agreement and the other Transaction Documents are solely the obligations of the Trust Depositor, the Originator, the Issuer and the Servicer, respectively. No recourse shall be had for the payment of any amount
owing by the Trust Depositor, the Originator, the Issuer or the Servicer or otherwise under this Agreement or under the other Transaction Documents or for the payment by the Trust Depositor, the Originator, the Issuer or the Servicer of any fee in
respect hereof or thereof or any other obligation or claim of or against the Trust Depositor, the Originator, the Issuer or the Servicer arising out of or based upon this Agreement or on any other Transaction Document, against any Affiliate,
shareholder, partner, manager, member, director, officer, employee, representative or agent of the Trust Depositor, the Originator, the Issuer or the Servicer or of any Affiliate of such Person. The provisions of this Section 13.19 shall
survive termination of this Agreement. 
 Section 13.20. Confidentiality. 
 Each of the Issuer, the Trust Depositor, the Servicer (if other than NewStar), the Trustee and the Backup Servicer shall maintain and shall cause each of
its employees, officers, agents and Affiliates to maintain the confidentiality of material non-public information concerning NewStar and its Affiliates or about the Obligors obtained by it or them in connection with the structuring, negotiating,
execution and performance of the transactions contemplated by the Transaction Documents, except that each such party and its employees, officers, agents and Affiliates may disclose such information to other parties to the Transaction Documents and
to its external accountants, attorneys, any potential subservicers and the agents of such Persons provided such Persons expressly agree to maintain the confidentiality of such information, and as required by an applicable law or order of any
judicial or administrative proceeding. 
  

 152 

 Section 13.21. Non-Confidentiality of Tax Treatment. 
 All parties hereto agree that each of them and each of their managers, officers, employees, representatives, and other agents may disclose to any and all
persons, without limitation of any kind, the tax treatment and tax structure of the transaction and all materials of any kind (including opinions or other tax analyses) that are provided to any of them relating to such tax treatment and tax
structure. “Tax treatment” and “tax structure” shall have the same meaning as such terms have for purposes of Treasury Regulation Section 1.6011-4. 
 [Remainder of Page Intentionally Left Blank] 
  

 153 

 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. 
  

			
	NEWSTAR COMMERCIAL LOAN TRUST 2006-1, as the Issuer 
		
	 By:
	 	WILMINGTON TRUST COMPANY, not in its individual capacity, but solely as Owner Trustee on behalf of the Issuer
		
	 By:
	 	 /s/ Joann A. Rozell

	 Name:
	 	 Joann A. Rozell

	 Title:
	 	Assistant Vice President
	
	NEWSTAR COMMERCIAL LOAN LLC 2006-1, as the Trust Depositor
		
	 By:
	 	NewStar Financial, Inc., its designated manager
		
	 By:
	 	 /s/ Illegible

	 Name:
	 	
	 Title:
	 	
	
	NEWSTAR FINANCIAL, INC., as the Originator and as the Servicer
		
	 By:
	 	 /s/ Illegible

	 Name:
	 	
	 Title:
	 	

 [Signatures Continued on the Following Page] 
 NewStar Commercial Loan Trust 2006-1 
 Sale and
Servicing Agreement 

 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. 
  

			
	U.S. BANK NATIONAL ASSOCIATION, not in its individual capacity but as the Trustee
		
	 By:
	 	 /s/ Kyle Harcourt

	 Name:
	 	 Kyle Harcourt

	 Title:
	 	 Vice President

	
	LYON FINANCIAL SERVICES, INC., not in its individual capacity but as the Backup Servicer
		
	 By:
	 	 /s/ Joseph Andries

	 Name:
	 	 Joseph Andries

	 Title:
	 	 Senior Vice President

	
	Acknowledged, Accepted and Agreed to, with respect to Sections 2.03, 5.02(x) and 13.13 only, by:
	
	WILMINGTON TRUST COMPANY, not in its individual capacity but as the Owner Trustee
		
	 By:
	 	 /s/ Joann A. Rozell

	 Name:
	 	 Joann A. Rozell

	 Title:
	 	Assistant Vice President

 NewStar Commercial Loan Trust 2006-1 
 Sale and Servicing Agreement 

 ANNEX A 
 Diversity Score Calculation 
 The Diversity Score for the Loans is calculated by summing each
of the Industry Diversity Scores, which are calculated as follows: 
  

	(i)	An “Obligor Par Amount” is calculated for each Obligor represented in the Loan Pool by summing the Outstanding Loan Balance of each Loan in the Loan Pool of that
Obligor or any Affiliate of that Obligor. 

  

	(ii)	An “Average Par Amount” is calculated by summing the Obligor Par Amounts and dividing by the number of Obligors represented. For purposes of calculating the number
of Obligors, any Obligors which are Affiliates will be considered one Obligor. 

  

	(iii)	An “Equivalent Unit Score” is calculated for each Obligor represented in the Loan Pool by taking the lesser of (a) one and (b) the Obligor Par Amount for
such Obligor divided by the Average Par Amount. For purposes of calculating the Equivalent Unit Score, any Obligors which are Affiliates will be considered one Obligor. 

  

	(iv)	An “Aggregate Industry Equivalent Unit Score” is then calculated for each of the Moody’s industrial classification groups by summing the Equivalent Unit Scores
for each Obligor in the industry. 

  

	(v)	An “Industry Diversity Score” is then established by reference to the Diversity Score Table shown below for the related Aggregate Industry Equivalent Unit Score. If
any Aggregate Industry Equivalent Unit Score falls between any two scores then the applicable Industry Diversity Score will be the lower of the two Industry Diversity Scores. 

  

	(vi)	Charged-Off Loans shall be excluded from the calculation of the Diversity Score. 

 Diversity Score Table 
  

															
	 Aggregate
Industry
Equivalent
Unit
Score
	  	Diversity
Score	  	Aggregate
Industry
Equivalent
Unit Score	  	Diversity
Score	  	Aggregate
Industry
Equivalent
Unit Score	  	Diversity
Score	  	Aggregate
Industry
Equivalent
Unit Score	  	Diversity
Score
	 0.0000
	  	0.0000	  	5.0500	  	2.7000	  	10.1500	  	4.0200	  	15.2500	  	4.5300
	 0.0500
	  	0.1000	  	5.1500	  	2.7333	  	10.2500	  	4.0300	  	15.3500	  	4.5400
	 0.1500
	  	0.2000	  	5.2500	  	2.7667	  	10.3500	  	4.0400	  	15.4500	  	4.5500
	 0.2500
	  	0.3000	  	5.3500	  	2.8000	  	10.4500	  	4.0500	  	15.5500	  	4.5600
	 0.3500
	  	0.4000	  	5.4500	  	2.8333	  	10.5500	  	4.0600	  	15.6500	  	4.5700
	 0.4500
	  	0.5000	  	5.5500	  	2.8667	  	10.6500	  	4.0700	  	15.7500	  	4.5800
	 0.5500
	  	0.6000	  	5.6500	  	2.9000	  	10.7500	  	4.0800	  	15.8500	  	4.5900
	 0.6500
	  	0.7000	  	5.7500	  	2.9333	  	10.8500	  	4.0900	  	15.9500	  	4.6000
	 0.7500
	  	0.8000	  	5.8500	  	2.9667	  	10.9500	  	4.1000	  	16.0500	  	4.6100
	 0.8500
	  	0.9000	  	5.9500	  	3.0000	  	11.0500	  	4.1100	  	16.1500	  	4.6200
	 0.9500
	  	1.0000	  	6.0500	  	3.0250	  	11.1500	  	4.1200	  	16.2500	  	4.6300
	 1.0500
	  	1.0500	  	6.1500	  	3.0500	  	11.2500	  	4.1300	  	16.3500	  	4.6400
	 1.1500
	  	1.1000	  	6.2500	  	3.0750	  	11.3500	  	4.1400	  	16.4500	  	4.6500
	 1.2500
	  	1.1500	  	6.3500	  	3.1000	  	11.4500	  	4.1500	  	16.5500	  	4.6600
	 1.3500
	  	1.2000	  	6.4500	  	3.1250	  	11.5500	  	4.1600	  	16.6500	  	4.6700
	 1.4500
	  	1.2500	  	6.5500	  	3.1500	  	11.6500	  	4.1700	  	16.7500	  	4.6800
	 1.5500
	  	1.3000	  	6.6500	  	3.1750	  	11.7500	  	4.1800	  	16.8500	  	4.6900
	 1.6500
	  	1.3500	  	6.7500	  	3.2000	  	11.8500	  	4.1900	  	16.9500	  	4.7000
	 1.7500
	  	1.4000	  	6.8500	  	3.2250	  	11.9500	  	4.2000	  	17.0500	  	4.7100
	 1.8500
	  	1.4500	  	6.9500	  	3.2500	  	12.0500	  	4.2100	  	17.1500	  	4.7200
	 1.9500
	  	1.5000	  	7.0500	  	3.2750	  	12.1500	  	4.2200	  	17.2500	  	4.7300
	 2.0500
	  	1.5500	  	7.1500	  	3.3000	  	12.2500	  	4.2300	  	17.3500	  	4.7400
	 2.1500
	  	1.6000	  	7.2500	  	3.3250	  	12.3500	  	4.2400	  	17.4500	  	4.7500
	 2.2500
	  	1.6500	  	7.3500	  	3.3500	  	12.4500	  	4.2500	  	17.5500	  	4.7600
	 2.3500
	  	1.7000	  	7.4500	  	3.3750	  	12.5500	  	4.2600	  	17.6500	  	4.7700
	 2.4500
	  	1.7500	  	7.5500	  	3.4000	  	12.6500	  	4.2700	  	17.7500	  	4.7800
	 2.5500
	  	1.8000	  	7.6500	  	3.4250	  	12.7500	  	4.2800	  	17.8500	  	4.7900
	 2.6500
	  	1.8500	  	7.7500	  	3.4500	  	12.8500	  	4.2900	  	17.9500	  	4.8000
	 2.7500
	  	1.9000	  	7.8500	  	3.4750	  	12.9500	  	4.3000	  	18.0500	  	4.8100
	 2.8500
	  	1.9500	  	7.9500	  	3.5000	  	13.0500	  	4.3100	  	18.1500	  	4.8200
	 2.9500
	  	2.0000	  	8.0500	  	3.5250	  	13.1500	  	4.3200	  	18.2500	  	4.8300
	 3.0500
	  	2.0333	  	8.1500	  	3.5500	  	13.2500	  	4.3300	  	18.3500	  	4.8400
	 3.1500
	  	2.0667	  	8.2500	  	3.5750	  	13.3500	  	4.3400	  	18.4500	  	4.8500
	 3.2500
	  	2.1000	  	8.3500	  	3.6000	  	13.4500	  	4.3500	  	18.5500	  	4.8600
	 3.3500
	  	2.1333	  	8.4500	  	3.6250	  	13.5500	  	4.3600	  	18.6500	  	4.8700
	 3.4500
	  	2.1667	  	8.5500	  	3.6500	  	13.6500	  	4.3700	  	18.7500	  	4.8800
	 3.5500
	  	2.2000	  	8.6500	  	3.6750	  	13.7500	  	4.3800	  	18.8500	  	4.8900
	 3.6500
	  	2.2333	  	8.7500	  	3.7000	  	13.8500	  	4.3900	  	18.9500	  	4.9000
	 3.7500
	  	2.2667	  	8.8500	  	3.7250	  	13.9500	  	4.4000	  	19.0500	  	4.9100
	 3.8500
	  	2.3000	  	8.9500	  	3.7500	  	14.0500	  	4.4100	  	19.1500	  	4.9200
	 3.9500
	  	2.3333	  	9.0500	  	3.7750	  	14.1500	  	4.4200	  	19.2500	  	4.9300
	 4.0500
	  	2.3667	  	9.1500	  	3.8000	  	14.2500	  	4.4300	  	19.3500	  	4.9400
	 4.1500
	  	2.4000	  	9.2500	  	3.8250	  	14.3500	  	4.4400	  	19.4500	  	4.9500
	 4.2500
	  	2.4333	  	9.3500	  	3.8500	  	14.4500	  	4.4500	  	19.5500	  	4.9600
	 4.3500
	  	2.4667	  	9.4500	  	3.8750	  	14.5500	  	4.4600	  	19.6500	  	4.9700
	 4.4500
	  	2.5000	  	9.5500	  	3.9000	  	14.6500	  	4.4700	  	19.7500	  	4.9800
	 4.5500
	  	2.5333	  	9.6500	  	3.9250	  	14.7500	  	4.4800	  	19.8500	  	4.9900
	 4.6500
	  	2.5667	  	9.7500	  	3.9500	  	14.8500	  	4.4900	  	19.9500	  	5.0000
	 4.7500
	  	2.6000	  	9.8500	  	3.9750	  	14.9500	  	4.5000	  		  	
	 4.8500
	  	2.6333	  	9.9500	  	4.0000	  	15.0500	  	4.5100	  		  	
	 4.9500
	  	2.6667	  	10.0500	  	4.0100	  	15.1500	  	4.5200	  		  	

 ANNEX B 
 Moody’s RiskCalc Calculation 
 1. Defined Terms. The following
terms shall be used in this Annex B with the meanings provided below. 
 “EDF” means, with respect to any Loan, the lowest 5-year
expected default frequency for such Loan as determined by running the current version Moody’s RiskCalc in both the Financial Statement Only (“FSO”) and the Credit Cycle Adjusted (“CAA”) modes. 
 “Moody’s Industries” means any one of the Moody’s industrial classification groups as published by Moody’s from time to time. 

“Pre-Qualifying Conditions” means, with respect to any Loan, conditions that will be satisfied if the Obligor with respect to the applicable Loan
satisfies the following criteria: 
  

	 	(a)	the independent accountants of such Obligor shall have issued an unqualified audit opinion with respect to the most recent fiscal year financial statements, including no explanatory
paragraph addressing “going concern” or other issues; 

  

	 	(b)	the Obligor’s EBITDA is equal to or greater than $5,000,000; 

  

	 	(c)	the Obligor’s annual sales are equal to or greater than $10,000,000; 

  

	 	(d)	the Obligor’s book assets are equal to or greater than $10,000,000; 

  

	 	(e)	the Obligor represents not more than 4.0% of the Expected Aggregate Outstanding Loan Balance; 

  

	 	(f)	the Obligor is a private company with no public rating from Moody’s; 

  

	 	(g)	the Loan is a Traditional Middle Market Loan, Large Middle Market Loan, or Broadly Syndicated Loan; 

  

	 	(h)	for the current and prior fiscal year, such Obligor’s: 

  

	 	(i)	EBIT/interest expense ratio is greater than 1.0:1.0 and 1.25:1.00 with respect to retail (adjusted for rent expense); 

  

	 	(ii)	debt/EBITDA ratio is less than 6.0:1.0, provided, however, that the debt/EBITDA ratio is less than 8.0:1.0 for any Loans with respect to the following Moody’s Industries:
(A) Telecommunications (Moody’s industrial classification group #29), (B) Printing and Publishing (Moody’s industrial classification group #26) or (C) Broadcasting and Entertainment (Moody’s industrial classification
group #33). 

  

	 	(i)	no greater than 25% of the company’s revenue is generated from any one customer of the Obligor. 

	 	(j)	the Obligor is a for-profit operating company in any one of the Moody’s Industries with the exception of (i) Buildings and Real Estate (Moody’s industrial
classification group #5), (ii) Finance (Moody’s industrial classification group #14), and (iii) Insurance (Moody’s industrial classification group #20); 

 2. The Servicer shall calculate the .EDF for each of the Loans to be rated pursuant to this Annex B. The Servicer shall also provide Moody’s with the .EDF and the information necessary to calculate such .EDF upon
request from Moody’s. Moody’s shall have the right (in its sole discretion) to (i) amend or modify any of the information utilized to calculate the .EDF and recalculate the .EDF based upon such revised information, in which case such
..EDF shall be determined using the table in paragraph 3 below in order to determine the applicable Moody’s Rating, or (ii) have a Moody’s credit analyst provide a credit estimate for any Loan rated pursuant to this Annex B, in which
case such credit estimate provided by such credit analyst shall be the applicable Moody’s Rating. 
 3. As of each date of determination specified in
clause (e) of the definition of “Moody’s Rating,” the Moody’s Rating for each Loan that satisfies the Pre-Qualifying Conditions shall be the lower of (i) the Servicer’s internal rating or (ii) the rating based
on the .EDF for such Loan, in accordance with the table below: 
  

			
	 Lowest .EDF
	  	 Moody’s Rating

	less than or equal to .baa	  	Ba3
	.ba1	  	B1
	.ba2, .ba3 or .b1	  	B2
	.b2 or.b3	  	B3
	.caa	  	Caa1

 provided, however, that the Moody’s Rating determined pursuant the chart above will be reduced by an
additional one-half rating subcategory for Loans originated in connection with leveraged buyout transactions. 
 4. As of each date of determination
specified in clause (e) of the definition of “Moody’s Rating,” the Moody’s Recovery Rate for each Loan that meets the Pre-Qualifying Conditions shall be the lower of (i) the Servicer’s internal recovery rate or
(ii) the recovery rate as determined in accordance with the table below: 
  

			
	 Type of Loan
	  	 Moody’s Recovery Rate

	senior secured, first priority, first lien and first out	  	50%
	second lien, first lien and last out, all other senior secured	  	40%
	senior unsecured	  	30%
	all other loans	  	10%

 provided, however, that Moody’s shall have the right (in its sole discretion) to issue a recovery rate
assigned by one of its credit analysts, in which case such recovery rate provided by such credit analyst shall be the applicable Moody’s Recovery Rate. 

 Annex C 
 Moody’s Industry Classification Group List 
  

	1.	Aerospace and Defense 

  

	2.	Automobile 

  

	3.	Banking 

  

	4.	Beverage, Food and Tobacco 

  

	5.	Buildings and Real Estate 

  

	6.	Chemicals, Plastics, and Rubber 

  

	7.	Containers, Packaging, and Glass 

  

	8.	Personal and Nondurable Consumer Products (Manufacturing Only) 

  

	9.	Diversified/Conglomerate Manufacturing 

  

	10.	Diversified/Conglomerate Service 

  

	11.	Diversified Natural Resources, Precious Metals, and Minerals 

  

	12.	Ecological 

  

	13.	Electronics 

  

	14.	Finance 

  

	15.	Farming and Agriculture 

  

	16.	Grocery 

  

	17.	Healthcare, Education, and Childcare 

  

	18.	Home and Office Furnishings, Housewares, and Durable Consumer Products 

  

	19.	Hotels, Motels, Inns, and Gaming 

  

	20.	Insurance 

  

	21.	Leisure, Amusement, Motion Pictures, Entertainment 

  

	22.	Machinery (Nonagriculture, Nonconstruction, Nonelectronic) 

  

	23.	Mining, Steel, Iron and Nonprecious Metals 

  

	24.	Oil and Gas 

  

	25.	Personal, Food, and Miscellaneous Services 

  

	26.	Printing and Publishing 

  

	27.	Cargo Transport 

  

	28.	Retail Stores 

  

	29.	Telecommunications 

  

	30.	Textiles and Leather 

  

	31.	Personal Transportation 

  

	32.	Utilities 

  

	33.	Broadcasting and Entertainment 

  

	34.	Structure Finance Securities

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