Document:

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CONFIDENTIAL

                                                                    EXHIBIT 10.1

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT. THE COPY
FILED HEREWITH OMITS THE INFORMATION SUBJECT TO THE CONFIDENTIALITY REQUEST.
OMISSIONS ARE DESIGNATED AS *. A COMPLETE VERSION OF THIS EXHIBIT HAS BEEN FILED
SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

                     PATENT AND TECHNOLOGY LICENSE AGREEMENT

         This thirty-seven (37) page AGREEMENT ("AGREEMENT") is made on this
12th day of August, 2004, by and between THE BOARD OF REGENTS ("BOARD") of THE
UNIVERSITY OF TEXAS SYSTEM ("SYSTEM"), an agency of the State of Texas, whose
address is 201 West 7th Street, Austin, Texas 78701, on behalf of THE UNIVERSITY
OF TEXAS M. D. ANDERSON CANCER CENTER ("UTMDACC"), a component institution of
SYSTEM, and CALLISTO PHARMACEUTICALS, INC., a Delaware corporation having a
principal place of business located at 420 Lexington Avenue, Suite 1609, New
York, New York 10170 ("LICENSEE").

                                TABLE OF CONTENTS

RECITALS                                                                 Page 2

I. EFFECTIVE DATE                                                        Page 3

II. DEFINITIONS                                                          Page 3

III. LICENSE                                                             Page 5

IV. CONSIDERATION, PAYMENTS AND REPORTS                                  Page 7

V. SPONSORED RESEARCH                                                    Page 12

VI. PATENTS AND INVENTIONS                                               Page 12

VII. INFRINGEMENT BY THIRD PARTIES                                       Page 13

VIII. PATENT MARKING                                                     Page 14

IX. INDEMNIFICATION AND INSURANCE                                        Page 14

X. USE OF BOARD AND UTMDACC'S NAME                                       Page 16

XI. CONFIDENTIAL INFORMATION AND PUBLICATION                             Page 17

XII. ASSIGNMENT                                                          Page 19

XIII. TERM AND TERMINATION                                               Page 19

XIV. WARRANTY: SUPERIOR-RIGHTS                                           Page 22

XV. GENERAL                                                              Page 24

SIGNATURES                                                               Page 26
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                                    RECITALS

A.       In 1988, BOARD, The University of Texas System Cancer Center (now
         UTMDACC) and Argus Pharmaceuticals, Inc. ("ARGUS") entered into an
         Exclusive License Agreement (ORIGINAL LICENSE) for certain technologies
         relating to LICENSED SUBJECT MATTER developed at UTMDACC.

B.       In 2004, the BOARD, UTMDACC and ARONEX (as successor in interest to
         ARGUS), reached an agreement to return rights to certain of the
         licensed technologies to BOARD ("RETURNED TECHNOLOGY") by amending the
         ORIGINAL LICENSE to exclude the RETURNED TECHNOLOGY from Schedule I and
         by granting the BOARD a limited license to U.S. Application No.
         09/122,427. The parties also agreed that ARONEX would provide certain
         information relating to the RETURNED TECHNOLOGY to UTMDACC/BOARD, which
         information could be disclosed to third party licensees of the RETURNED
         TECHNOLOGY subject to certain restrictions. BOARD, UTMDACC and ARONEX'
         agreement is embodied in Amendment No. 6 to the ORIGINAL LICENSE
         ("AMENDMENT NO. 6"), excerpts of which are attached hereto as Exhibit
         II ("EXCERPTS").

C.       BOARD, through UTMDACC, desires to have the LICENSED SUBJECT MATTER
         developed in the LICENSED FIELD and used for the benefit of LICENSEE,
         BOARD, SYSTEM, UTMDACC, the inventor(s), and the public as outlined in
         BOARD'S Intellectual Property Policy.

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D.       LICENSEE wishes to obtain a license from BOARD to practice LICENSED
         SUBJECT MATTER.

         NOW, THEREFORE, in consideration of the mutual covenants and promises
herein contained, the parties agree as follows:

                                I. EFFECTIVE DATE

1.1      This AGREEMENT is effective as of the date written above ("EFFECTIVE
         DATE").

                                 II. DEFINITIONS

         As used in this AGREEMENT, the following terms have the meanings
indicated:

2.1      AFFILIATE means any business entity more than fifty percent (50%) owned
         by LICENSEE, any business entity which owns more than fifty percent
         (50%) of LICENSEE, or any business entity that is more than fifty
         percent (50%) owned by a business entity that owns more than fifty
         percent (50%) of LICENSEE.

2.2      ARONEX PATENT shall mean U. S. Patent Application No. 09/122,427 (MDA
         94-031 CON), its foreign equivalents, and any divisionals,
         continuations, resissues, reexaminations or extensions thereof.

2.3      LICENSED FIELD with respect to LICENSED SUBJECT MATTER other than the
         subject matter of the ARONEX PATENT shall mean all fields of use.
         LICENSED FIELD with respect to the subject matter of the ARONEX PATENT
         shall mean: (1) compositions containing, as an active ingredient,
         Anthracyclines or related DNA-binding agents, such as those exemplified
         by Annamycin, its derivatives or analogs; (2) methods of delivering
         said compositions to a patient, tissue or other target; and (3) methods
         for manufacturing such compositions.

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2.4      LICENSED PRODUCTS means any product or service sold by LICENSEE
         comprising LICENSED SUBJECT MATTER pursuant to this AGREEMENT and that
         is covered by: (i) a claim in a pending patent application, which claim
         was filed in good faith, is being diligently prosecuted, and has not
         been abandoned and finally disallowed without the possibility of appeal
         or refiling; or (ii) a claim in an issued, unexpired patent that has
         not been withdrawn, canceled or disclaimed, or held invalid by a
         non-appealed or unappealable decision by a court or other appropriate
         body of competent jurisdiction.

2.5      LICENSED SUBJECT MATTER means inventions and discoveries covered by
         PATENT RIGHTS or TECHNOLOGY RIGHTS within LICENSED FIELD.

2.6      LICENSED TERRITORY means the whole world.

2.7      NET SALES means the gross revenues received by LICENSEE from a SALE
         less sales discounts actually granted, sales and/or use taxes actually
         paid, import and/or export duties actually paid, outbound
         transportation actually prepaid or allowed, and amounts actually
         allowed or credited due to returns (not exceeding the original billing
         or invoice amount), all as recorded by LICENSEE in LICENSEE'S official
         books and records in accordance with generally accepted accounting
         practices and consistent with LICENSEE'S published financial statements
         and/or regulatory filings with the United States Securities and
         Exchange Commission.

2.8      PATENT RIGHTS means BOARD's rights in information or discoveries
         described in invention disclosures, or claimed in any patents, and/or
         patent applications, whether domestic or foreign, and all divisionals,
         continuations, continuations-in-part, reissues, reexaminations or
         extensions thereof, and any letters patent that issue thereon as
         defined in Exhibit I attached hereto. Notwithstanding the foregoing,
         with respect to the ARONEX PATENT, PATENT RIGHTS shall not exceed the
         scope of rights returned to the BOARD under Section 11 of AMENDMENT NO.
         6.

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2.9      SALE OR SOLD means the transfer or disposition of a LICENSED PRODUCT
         for value to a party other than LICENSEE or AFFILIATE.

2.10     TECHNOLOGY RIGHTS means BOARD's rights in any technical information,
         know-how, processes, procedures, compositions, devices, methods,
         formulae, protocols, techniques, software, designs, drawings or data
         created by the inventor(s) listed in Exhibit I at UTMDACC before the
         EFFECTIVE DATE, which are not claimed in PATENT RIGHTS but that are
         necessary for practicing PATENT RIGHTS. Notwithstanding the foregoing,
         with respect to the ARONEX PATENT, TECHNOLOGY RIGHTS shall not exceed
         the scope of rights returned to the BOARD under Section 11 of AMENDMENT
         NO. 6.

                                  III. LICENSE

3.1      BOARD, through UTMDACC, hereby grants to LICENSEE a royalty-bearing,
         exclusive license under LICENSED SUBJECT MATTER to manufacture, have
         manufactured, use, import, offer to sell and/or sell LICENSED PRODUCTS
         within LICENSED TERRITORY for use within LICENSED FIELD. This grant is
         subject to Sections 14.2, 14.3 and 14.4 hereinbelow, the payment by
         LICENSEE to UTMDACC of all consideration as provided herein, the timely
         payment of all amounts due under any related sponsored research
         agreement between UTMDACC and LICENSEE in effect during this AGREEMENT,
         and is further subject to the following rights retained by BOARD and
         UTMDACC to:

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         (a)  Publish the general scientific findings from research related to
              LICENSED SUBJECT MATTER, subject to the terms of Article
              XI-Confidential Information and Publication; and

         (b)  Use LICENSED SUBJECT MATTER for research, teaching, patient care,
              and other educationally-related purposes.

3.2      LICENSEE may extend the license granted herein to any AFFILIATE
         provided that the AFFILIATE consents in writing to be bound by this
         AGREEMENT to the same extent as LICENSEE. LICENSEE agrees to deliver
         such contract to UTMDACC within thirty (30) calendar days following
         execution thereof.

3.3      LICENSEE may grant sublicenses under LICENSED SUBJECT MATTER consistent
         with the terms of this AGREEMENT provided that LICENSEE is responsible
         for its sublicensees relevant to this AGREEMENT, and for diligently
         collecting all amounts due LICENSEE from sublicensees. If a sublicensee
         pursuant hereto becomes bankrupt, insolvent or is placed in the hands
         of a receiver or trustee, LICENSEE, acting under applicable law and in
         a timely manner, agrees to use its best reasonable efforts to collect
         all consideration owed to LICENSEE, including having the sublicensee
         agreement confirmed or rejected by a court of proper jurisdiction, if
         commercially reasonable.

3.4      LICENSEE must deliver to UTMDACC a true and correct copy of each
         sublicense granted by LICENSEE, and any modification or termination
         thereof, within thirty (30) calendar days after execution,
         modification, or termination.

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3.5      If this AGREEMENT is terminated pursuant to Article XIII-Term and
         Termination, BOARD and UTMDACC agree to accept as successors to
         LICENSEE, existing sublicensees in good standing at the date of
         termination provided that each such sublicensee consents in writing to
         be bound by all of the terms and conditions of this AGREEMENT.

                    IV. CONSIDERATION, PAYMENTS AND REPORTS

4.1      In consideration of rights granted by BOARD to LICENSEE under this
         AGREEMENT, LICENSEE agrees to pay to UTMDACC (except for those payments
         made directly to third parties as provided in subsection 4.1(a)) the
         following:

         (a)  All out-of-pocket expenses incurred after the EFFECTIVE DATE of
              this agreement in filing, prosecuting, enforcing and maintaining
              PATENT RIGHTS. Said expenses will be paid directly by LICENSEE to
              the appropriate patent office, patent attorney or agent, or other
              relevant party or entity. In addition, LICENSEE shall pay to
              UTMDACC out-of-pocket expenses incurred by UTMDACC prior to the
              EFFECTIVE DATE in filing, prosecuting, enforcing and maintaining
              PATENT RIGHTS in the amount of $31,497.00. Said out-of-pocket
              expenses shall be paid to UTMDACC within thirty (30) calendar days
              of the date this AGREEMENT is executed by all parties and LICENSEE
              has received an invoice for the amount from UTMDACC;

         (b)  A license fee in the amount of one hundred thousand dollars
              ($100,000.00). This fee will not reduce the amount of any other
              payment provided for in this Article IV, and is due and payable
              within thirty (30) calendar days after the AGREEMENT has been
              fully executed by all parties and LICENSEE has received an invoice
              for the amount from UTMDACC;

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         (c)  A running royalty equal to * percent (*%) of LICENSEE's NET SALES
              up to and including * dollars ($*) and a running royalty equal to
              * percent (*%) of LICENSEE's NET SALES for LICENSEE'S NET SALES in
              excess of * dollars ($*);

         (d)  Milestone payments upon occurrence of the following events:

              (i)   upon acceptance of a first New Drug Application (NDA) by the
                    Food and Drug Administration for a LICENSED PRODUCT, *
                    dollars ($*); and

              (ii)  upon approval of the first NDA for any LICENSED PRODUCT, *
                    dollars ($*);

         (e)  For any sublicense pursuant to Sections 3.3 and 3.4 hereinabove,
              which sublicense is executed prior to completion by LICENSEE of a
              Phase IIb clinical trial of a LICENSED PRODUCT, * percent (*%) of
              all royalties, up front payments, and milestone payments received
              by LICENSEE therefrom; and

         (f)  For any sublicense pursuant to Sections 3.3 and 3.4 hereinabove,
              which sublicense is executed on or after completion by LICENSEE of
              a Phase IIb clinical trial of a LICENSED PRODUCT

              (i)   * percent (*%) of royalties received by LICENSEE therefrom,
                    and

              (ii)  * percent (*%) of any milestone payments and up front
                    payments received by LICENSEE therefrom.

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4.2      LICENSEE, in furtherance of the objectives of this AGREEMENT, agrees to
         make good faith expenditures towards the clinical development of at
         least one LICENSED PRODUCT, in a minimum amount of * dollars ($*), such
         expenditures to be committed within five (5) years following the
         EFFECTIVE DATE, or two (2) years following the receipt of GMP grade
         Annamycin from a third party, whichever time period is shorter. Upon
         written request, LICENSEE shall provide UTMDACC written documentation
         of such expenditures at the conclusion of the applicable time period.

4.3      Unless otherwise provided, all such payments are payable within thirty
         (30) calendar days after March 31, June 30, September 30, and December
         31 of each year during the term of this AGREEMENT, at which time
         LICENSEE will also deliver to UTMDACC a true and accurate report,
         giving such particulars of the business conducted by LICENSEE and its
         sublicensees, if any exist, during the preceding three calendar months
         under this AGREEMENT as necessary for UTMDACC to account for LICENSEE's
         payments hereunder. This report will include pertinent data, including,
         but not limited to:

         (a)  the accounting methodologies used to account for and calculate the
              items included in the report and any differences in such
              accounting methodologies used by LICENSEE since the previous
              report;

         (b)  a list of LICENSED PRODUCTS produced for the three (3) preceding
              calendar months categorized by the technology it relates to under
              PATENT RIGHTS;

         (c)  the total quantities of LICENSED PRODUCTS produced by the category
              listed in Section 4.3(b);

         (d)  the total SALES by the category listed in Section 4.3(b);

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         (e)  the calculation of NET SALES by the category listed in Section
              4.3(b);

         (f)  the royalties so computed and due UTMDACC by the category listed
              in Section 4.3(b);

         (g)  all consideration received from each sublicensee or assignee and
              payments due UTMDACC; and

         (h)  all other amounts due UTMDACC herein.

         Simultaneously with the delivery of each such report, LICENSEE agrees
         to pay UTMDACC the amount due, if any, for the period of such report.
         These reports are required even if no payments are due.

4.4      During the term of this AGREEMENT and for one year thereafter, LICENSEE
         agrees to keep complete and accurate records of its and its
         sublicensees' SALES and NET SALES and Section 4.2 expenditures in
         sufficient detail to enable the royalties and other payments due
         hereunder and LICENSEE's compliance with this AGREEMENT to be
         determined. LICENSEE agrees to permit UTMDACC or its representatives,
         at UTMDACC's expense, to periodically examine LICENSEE'S books,
         ledgers, and records during regular business hours for the purpose of
         and to the extent necessary to verify any report required under this
         AGREEMENT. If any amounts due UTMDACC are determined to have been
         underpaid in an amount equal to or greater than ten percent (10%) of
         the total amount due during the period so examined, then LICENSEE will
         pay the cost of the examination plus accrued interest at eight percent
         (8%) per annum or the maximum rate allowed by law, whichever is lower.
         In the event that LICENSEE has overpaid any payment due UTMDACC,
         UTMDACC will return any such overpayment to LICENSEE less demonstrable
         costs of the audit.

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4.5      Within thirty (30) calendar days following each anniversary of the
         EFFECTIVE DATE, LICENSEE will deliver to UTMDACC a written progress
         report as to LICENSEE's (and any sublicensee's) efforts and
         accomplishments during the preceding year in diligently commercializing
         LICENSED SUBJECT MATTER in the LICENSED TERRITORY and LICENSEE's (and
         sublicensees') commercialization plans for the upcoming year.

4.6      All amounts payable hereunder by LICENSEE will be paid in United States
         funds without deductions for taxes, assessments, fees, or charges of
         any kind. Checks are to be made payable to The University of Texas M.
         D. Anderson Cancer Center, and sent by United States mail to Box
         297402, Houston, Texas 77297, Attention: Manager, Sponsored Programs or
         by wire transfer to:

         BANK ONE TEXAS
         910 TRAVIS
         HOUSTON, TEXAS   77002
         SWIFT: BONEUS44HOU

         ABA ROUTING NO:   111000614
         ACCOUNT NAME:     UNIV. OF TEXAS M. D. ANDERSON CANCER CENTER
         ACCOUNT NO:       1586838979
         REFERENCE:        include title and EFFECTIVE DATE of AGREEMENT and
         type of payment (e.g., license documentation fee, milestone payment,
         royalty [including applicable patent/application identified by MDA
         reference number and patent number or application serial number], or
         maintenance fee, etc.).

4.7      No payments due or royalty rates owed under this AGREEMENT will be
         reduced as the result of co-ownership of LICENSED SUBJECT MATTER by
         BOARD and another party, including, but not limited to, LICENSEE.

4.8      LICENSEE shall not be obligated to pay multiple royalties to UTMDACC
         for a single LICENSED PRODUCT in the event said LICENSED PRODUCT is
         covered by more than one patent application and/or patent that is (1)
         included in the PATENT RIGHTS; and/or (2) directed to a PRIEBE
         INVENTION. As used herein "PRIEBE INVENTION" shall mean an invention
         that: (1) cannot be practiced without infringing a claim of an issued
         patent or pending patent application under the PATENT RIGHTS, (2) is
         made by Dr. Waldemar Priebe or those working in his laboratory at
         UTMDACC and under his direction while both are employed by UTMDACC; (3)
         is conceived and reduced to practice within three (3) years of the
         EFFECTIVE DATE; (4) directly relates to Anthracycline or related
         DNA-binding agents, such as those exemplified by Annamycin, its
         derivatives or analogs; (5) is limited to the LICENSED FIELD; and (6)
         is not previously obligated to a third party, including, but not
         limited to, any obligations to a third party under the ORIGINAL LICENSE
         as amended by AMENDMENT NO. 6.

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                             V. SPONSORED RESEARCH

5.1      If LICENSEE desires to sponsor research for or related to the LICENSED
         SUBJECT MATTER, and particularly where LICENSEE receives payments for
         sponsored research pursuant to a sublicense under this AGREEMENT,
         LICENSEE (a) will notify UTMDACC in writing of all opportunities to
         conduct this sponsored research (including clinical trials, if
         applicable), (b) solicit research and/or clinical proposals from
         UTMDACC for this purpose, and (c) will give good faith consideration to
         funding the proposals at UTMDACC.

                           VI. PATENTS AND INVENTIONS

6.1      After the EFFECTIVE DATE, with the exception of PATENT RIGHTS relating
         to the ARONEX PATENT, Licensee will assume control and responsibility
         for the filing, prosecution and maintenance of the PATENT RIGHTS,
         including new applications and patent applications and patents existing
         as of the EFFECTIVE DATE. Should a new patent application be necessary
         to develop the LICENSED SUBJECT MATTER (other than LICENSED SUBJECT
         MATTER covered by the ARONEX PATENT), LICENSEE will prepare and file
         the appropriate patent applications, using an attorney or agent of
         LICENSEE's choosing, subject to consent by UTMDACC, which consent shall
         not be unreasonably withheld, and LICENSEE will pay the cost of
         searching, preparing, filing, prosecuting and maintaining same.
         LICENSEE shall promptly notify UTMDACC if it does not intend to pursue
         any application or patent, including maintaining any existing patents.
         If LICENSEE notifies UTMDACC that it does not intend to pursue any
         application or patent, or if LICENSEE does not respond or make
         reasonable efforts to agree with UTMDACC on the disposition of rights
         of a subject invention, then UTMDACC may file such application or
         pursue said patent at its own expense and LICENSEE's rights to such
         invention under this AGREEMENT shall terminate in their entirety.
         LICENSEE will provide UTMDACC with a copy of any application filed by
         or on behalf of LICENSEE, as well as copies of any documents received
         or filed by or on behalf of LICENSEE during prosecution of any patents
         or patent applications covered by PATENT RIGHTS. The parties agree that
         they share a common legal interest to get valid enforceable patents and
         that UTMDACC and LICENSEE will keep all privileged information received
         pursuant to this Section confidential. UTMDACC agrees to provide all
         information in its possession (including but not limited to data,
         reports or memoranda) reasonably necessary to LICENSEE for the
         prosecution of any current or future patent application related to the
         LICENSED SUBJECT MATTER. As between LICENSEE, BOARD and UTMDACC, BOARD
         and UTMDACC shall have full and complete control over filing,
         prosecution, maintenance and all other patenting matters relating to
         the ARONEX PATENT.

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                       VII. INFRINGEMENT BY THIRD PARTIES

7.1      Except for the ARONEX PATENT, LICENSEE, at its discretion and expense,
         may enforce any patent exclusively licensed hereunder against any
         infringement by third parties and is entitled to retain recovery from
         such enforcement. After reimbursement of LICENSEE'S reasonable legal
         costs and expenses related to such recovery, LICENSEE agrees to pay
         UTMDACC ten percent (10%) of any recovery (including punitive damages)
         awarded for patent infringement. LICENSEE must notify UTMDACC in
         writing of any potential infringement within sixty (60) calendar days
         of knowledge thereof. If LICENSEE does not file suit against a
         substantial infringer within six (6) months of knowledge thereof, then
         BOARD or UTMDACC may, at its sole discretion and expense, enforce any
         patent licensed hereunder on behalf of itself and LICENSEE, with
         UTMDACC retaining all recoveries from such enforcement and/or reduce
         the license granted hereunder to non-exclusive with respect to the
         patent(s) at issue. The provisions of this Section 7.1 shall not apply
         to the ARONEX PATENT, and as between LICENSEE, BOARD and UTMDACC, BOARD
         and UTMDACC shall have complete control over all infringement matters
         and actions relating to the ARONEX PATENT and the right to retain any
         recoveries therefrom

7.2      In any suit or dispute involving an allegation of infringement, the
         parties agree to cooperate fully with each other. At the request and
         expense of the party bringing suit, the other party will permit access
         during regular business hours, to all relevant personnel, records,
         papers, information, samples, specimens, and the like in its
         possession.

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                              VIII. PATENT MARKING

8.1      LICENSEE agrees to use reasonable efforts to mark all packaging
         containing individual LICENSED PRODUCT(S), documentation therefor, and
         when possible for actual LICENSED PRODUCT(S) SOLD by LICENSEE,
         AFFILIATES, and/or sublicensees of LICENSEE, LICENSED PRODUCTS will be
         permanently and legibly marked with the number of any applicable
         patent(s) licensed hereunder in accordance with each country's patent
         laws, including Title 35, United States Code.

                       IX. INDEMNIFICATION AND INSURANCE

9.1      LICENSEE agrees to hold harmless and indemnify BOARD, SYSTEM, UTMDACC,
         its Regents, officers, employees, students and agents from and against
         any claims, demands, or causes of action whatsoever, costs of suit and
         reasonable attorney's fees, including without limitation, those costs
         arising on account of any injury or death of persons or damage to
         property caused by, or arising out of, or resulting from, the exercise
         or practice by LICENSEE, its officers, its AFFILIATES or their
         officers, employees, agents or representatives, of the rights granted
         hereunder; provided, however, that the following is excluded from
         LICENSEE's obligation to indemnify and hold harmless:

         (a)  the negligent failure of UTMDACC to substantially comply with any
              applicable governmental requirements; and

         (b)  the negligence or willful malfeasance by a Regent, officer, agent
              or employee of UTMDACC or System.

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9.2      In no event shall BOARD, SYSTEM or UTMDACC be liable for any indirect,
         special, consequential or punitive damages (including, without
         limitation, damages for loss of profits or expected savings or other
         economic losses, or for injury to persons or property) arising out of,
         or in connection with, this AGREEMENT or its subject matter, regardless
         of whether BOARD, SYSTEM or UTMDACC knows or should know of the
         possibility of such damages. The total aggregate liability of BOARD,
         SYSTEM and UTMDACC for all damages of any kind relating to this
         AGREEMENT or its subject matter shall not exceed the amounts paid by
         LICENSEE to BOARD or UTMDACC under this AGREEMENT during the one (1)
         year period preceding the date of the event that gave rise to the
         liability. The foregoing exclusions and limitations shall apply to all
         claims and actions of any kind, whether based on contract, tort
         (including, but not limited to, negligence), or any other grounds.

9.3      Beginning at the time when any LICENSED SUBJECT MATTER is being
         distributed or sold (including for the purpose of obtaining regulatory
         approvals) by LICENSEE or by a sublicensee, LICENSEE shall, at its sole
         cost and expense, procure and maintain commercial general liability
         insurance in amounts not less than $2,000,000 per incident and
         $2,000,000 annual aggregate, and LICENSEE shall use reasonable efforts
         to have the BOARD, SYSTEM, UTMDACC, its Regents, officers, employees,
         students and agents named as additional insureds. Such commercial
         general liability insurance shall provide: (i) product liability
         coverage; (ii) broad form contractual liability coverage for LICENSEE's
         indemnification under this AGREEMENT; and (iii) coverage for litigation
         costs. The minimum amounts of insurance coverage required herein shall
         not be construed to create a limit of LICENSEE's liability with respect
         to its indemnification under this AGREEMENT.

9.4      LICENSEE shall provide UTMDACC with written evidence of such insurance
         within thirty (30) days of its procurement. Additionally, LICENSEE
         shall provide UTMDACC with written notice of at least fifteen (15) days
         prior to the cancellation, non-renewal or material change in such
         insurance.

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9.5      LICENSEE shall maintain such commercial general liability insurance
         beyond the expiration or termination of this AGREEMENT during: (i) the
         period that any LICENSED SUBJECT MATTER developed pursuant to this
         AGREEMENT is being commercially distributed or sold by LICENSEE or by a
         sublicensee or agent of LICENSEE; and (ii) the five (5) year period
         immediately after such period.

                       X. USE OF BOARD AND UTMDACC'S NAME

10.1     LICENSEE will not use the name of (or the name of any employee of)
         UTMDACC, SYSTEM or BOARD in any advertising, promotional or sales
         literature, on its Web site, or for the purpose of raising capital
         without the advance express written consent of BOARD secured through:

         M. D. Anderson Services Corporation
         7505 S. Main, Suite 500, Unit 0525
         Houston, TX 77030
         ATTENTION: Natalie Wright
         Email: nwright@mdanderson.org

         Notwithstanding the above, LICENSEE may use the name of (or name of
         employee of) UTMDACC, SYSTEM or BOARD in routine business
         correspondence, or as needed in appropriate regulatory submissions
         without express written consent.

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                  XI. CONFIDENTIAL INFORMATION AND PUBLICATION

11.1     UTMDACC and LICENSEE each agree that all information contained in
         documents marked "confidential" and forwarded to one by the other (i)
         are to be received in strict confidence, (ii) used only for the
         purposes of this AGREEMENT, and (iii) not disclosed by the recipient
         party (except as required by law or court order), its agents or
         employees without the prior written consent of the other party, except
         to the extent that the recipient party can establish by competent
         written proof that such information:

         (a)  was in the public domain at the time of disclosure;

         (b)  later became part of the public domain through no act or omission
              of the recipient party, its employees, agents, successors or
              assigns;

         (c)  was lawfully disclosed to the recipient party by a third party
              having the right to disclose it;

         (d)  was already known by the recipient party at the time of
              disclosure;

         (e)  was independently developed by the recipient without use of the
              other party's confidential information; or

         (f)  is required by law or regulation to be disclosed.

11.2     Each party's obligation of confidence hereunder will be fulfilled by
         using at least the same degree of care with the other party's
         confidential information as it uses to protect its own confidential
         information, but always at least a reasonable degree of care. The
         obligation of confidence shall remain in force throughout the term of
         this AGREEMENT and for a period of five (5) years thereafter.

11.3     Either party may disclose to the relevant Patent Office personnel
         confidential information of the other party, necessary for the purpose
         of advancing the prosecution of PATENT RIGHTS relating to the LICENSED
         SUBJECT MATTER, provided however, that the disclosing party will inform
         the non-disclosing party of the intention to disclose and the nature of
         the confidential information to be disclosed prior to making such
         disclosure and the non-disclosing party will, to the extent possible,
         be given an opportunity to suggest an alternative to the disclosure.

                                       17
<PAGE>

CONFIDENTIAL

11.4     Notwithstanding any other provision herein to the contrary, UTMDACC
         reserves the right to publish the general scientific findings from
         research related to LICENSED SUBJECT MATTER, with due regard to the
         protection of LICENSEE'S confidential information. UTMDACC will submit
         the manuscript of any proposed publication to LICENSEE at least ninety
         (90) calendar days in advance of submission for publication, and
         LICENSEE shall have the right to review and comment upon the
         publication in order to protect LICENSEE'S confidential information.
         Upon LICENSEE'S request, publication may be delayed up to one hundred
         twenty (120) additional calendar days to enable LICENSEE to secure
         adequate intellectual property protection of LICENSEE'S confidential
         information that would otherwise be affected by the publication.

11.5     As indicated in AMENDMENT NO. 6, EXCERPTS of which are attached hereto
         as Exhibit II, BOARD and UTMDACC are obtaining certain Returned
         Technology Information (as defined in Paragraph II. J. 1. of AMENDMENT
         NO. 6) from ARONEX PHARMACEUTICALS, INC. Upon request, said Returned
         Technology Information will be made available to LICENSEE at LICENSEE's
         expense. In the event Returned Technology Information is subsequently
         disclosed to LICENSEE in connection with this AGREEMENT, LICENSEE
         covenants and agrees, in addition to its other obligations hereunder:

         (a)  to maintain the Returned Technology Information in confidence and
              not use or disclose it except for the purposes, and subject to the
              limitations, set forth in subparagraphs II.J.2 (a)-(b) of
              AMENDMENT NO. 6;

         (b)  to indemnify and hold ARONEX PHARMACEUTICALS, INC. and its
              directors, officers, employees, agents and Subsidiaries harmless
              against any Losses arising out of any use or disclosure of the
              Returned Technology Information by the LICENSEE or by any person
              or entity to which the LICENSEE has disclosed or transferred the
              Returned Technology Information;

         (c)  to comply with the requirements set forth in subsection II.J.4 and
              5 of AMENDMENT NO. 6 for any Documents in its possession;

         (d)  that ARONEX PHARMACEUTICALS, INC. is a third party beneficiary of
              provisions II.J.6.(A), (B), and (C) of AMENDMENT NO. 6, with the
              authority to enforce the provisions against the LICENSEE; and

         (e)  that LICENSEE shall treat Exhibit II both as Returned Technology
              Information under AMENDMENT NO. 6 and as confidential information
              under this AGREEMENT.

                                       18
<PAGE>

CONFIDENTIAL

                                XII. ASSIGNMENT

12.1     Except in connection with the sale of all of LICENSEE'S assets to a
         third party, this AGREEMENT may not be assigned by LICENSEE without the
         prior written consent of UTMDACC, which will not be unreasonably
         withheld.

                           XIII. TERM AND TERMINATION

13.1     Subject to Sections 13.2, 13.3, 13.4 hereinbelow, the term of this
         AGREEMENT is from the EFFECTIVE DATE to the full end of the term or
         terms for which PATENT RIGHTS have not expired.

13.2     Any time after five (5) years from the EFFECTIVE DATE, BOARD or UTMDACC
         have the right to terminate this license in any national political
         jurisdiction within the LICENSED TERRITORY if LICENSEE, within ninety
         (90) calendar days after receiving written notice from UTMDACC of the
         intended termination, fails to provide written evidence which shows,
         given the totality of the circumstances, that LICENSEE or its
         sublicensee(s) has commercialized or is actively and effectively
         attempting to commercialize a licensed invention in such
         jurisdiction(s), provided, however, that UTMDACC shall not send more
         than one (1) such written notice in any six (6) month period. The
         following definitions apply to Section 13.2: (a) "commercialized" means
         having SALES in such jurisdiction, and (b) "actively and effectively
         attempting to commercialize" means having, either directly or
         indirectly, an effective, ongoing and active research, development,
         manufacturing, marketing or sales program as appropriate, directed
         toward obtaining regulatory approval, and/or production and/or SALES in
         any jurisdiction, and has provided plans describing such attempts to
         UTMDACC to commercialize licensed inventions in the jurisdiction(s)
         that UTMDACC intends to terminate.

                                       19
<PAGE>

CONFIDENTIAL

13.3     Subject to any rights herein which survive termination, this AGREEMENT
         will earlier terminate in its entirety:

         (a)  automatically, if LICENSEE becomes bankrupt or insolvent and/or if
              the business of LICENSEE shall be placed in the hands of a
              receiver, assignee, or trustee, whether by voluntary act of
              LICENSEE or otherwise;

         (b)  upon ninety (90) calendar days written notice from UTMDACC, if
              LICENSEE breaches or defaults on the payment or report obligations
              of Article IV, or use of name obligations of Article X, unless,
              before the end of the such ninety (90) calendar day notice period,
              LICENSEE has cured the default or breach to UTMDACC's reasonable
              satisfaction, and so notifies UTMDACC, stating the manner of the
              cure;

         (c)  upon thirty (30) calendar days written notice from UTMDACC, if
              LICENSEE fails to make the good faith expenditures detailed in
              Section 4.2 within the prescribed time period;

         (d)  upon ninety (90) calendar days written notice from UTMDACC if
              LICENSEE breaches or defaults on any other obligation under this
              AGREEMENT, unless, before the end of the such ninety (90)
              calendar-day notice period, LICENSEE has cured the default or
              breach to UTMDACC's reasonable satisfaction and so notifies
              UTMDACC, stating the manner of the cure;

         (e)  at any time by mutual written agreement between LICENSEE and
              UTMDACC subject to any terms herein which survive termination;

         (f)  if Section 13.2 is invoked;

         (g)  if LICENSEE has defaulted or been in excess of one (1) month late
              on its payment obligations pursuant to the terms of this AGREEMENT
              on any two (2) occasions in a twelve (12) month period, provided
              however, that LICENSEE shall have fourteen (14) days from
              receiving written notice from UTMDACC of the second default or
              late payment to cure the default or late payment to the reasonable
              satisfaction of UTMDACC, and so notifies UTMDACC, stating the
              manner of cure;

         (h)  upon one hundred twenty (120) calendar days written notice from
              LICENSEE, LICENSEE may terminate its obligations to make payments
              under this AGREEMENT solely with respect to a particular patent or
              patents included in PATENT RIGHTS, if such particular patent or
              patents is or are irrevocably adjudicated to be invalid or
              otherwise unenforceable;

         (i)  upon one hundred twenty (120) calendar days written notice from
              LICENSEE if any particular patent or patents included in the
              PATENT RIGHTS and which account for at least thirty (30%) percent
              of the total royalty to UTMDACC pursuant to Article 4.1(c), is or
              are irrevocably adjudicated to be invalid or otherwise
              unenforceable; or

         (j)  upon ninety (90) calendar days written notice from LICENSEE if
              BOARD is in breach of Article 14.1 (Confidential Information and
              Publication) unless, before the end of the such ninety (90)
              calendar-day notice period, UTMDACC has cured the default or
              breach to LICENSEE's reasonable satisfaction and so notifies
              LICENSEE, stating the manner of the cure.

                                       20
<PAGE>

CONFIDENTIAL

         13.4 Upon termination of this AGREEMENT:

         (a)  nothing herein will be construed to release either party of any
              obligation maturing prior to the effective date of the
              termination;

         (b)  LICENSEE covenants and agrees to be bound by the provisions of
              Articles IX (Indemnification and Insurance), X (Use of Board and
              UTMDACC's Name), and XI (Confidential Information and Publication)
              of this AGREEMENT;

         (c)  UTMDACC and BOARD agree to be bound by Article XI;

         (d)  LICENSEE may, after the effective date of the termination, sell
              all LICENSED PRODUCTS and parts therefor that it has on hand at
              the date of termination, if LICENSEE pays the earned royalty
              thereon and any other amounts due pursuant to Article IV of this
              AGREEMENT;

         (e)  Subject to Section 13.4(d), LICENSEE agrees to cease and desist
              any use and all SALE of the LICENSED SUBJECT MATTER and LICENSED
              PRODUCTS upon termination of this AGREEMENT; and

         (f)  LICENSEE grants to BOARD and UTMDACC a nonexclusive royalty
              bearing license with the right to sublicense others with respect
              to improvements made by LICENSEE (including improvements licensed
              by LICENSEE from third parties) in the LICENSED SUBJECT MATTER.
              LICENSEE and UTMDACC agree to negotiate in good faith the royalty
              rate for the nonexclusive license. BOARD'S and UTMDACC's right to
              sublicense others hereunder is solely for the purpose of
              permitting others to develop and commercialize LICENSED PRODUCTS.

                                       21
<PAGE>

CONFIDENTIAL

                         XIV. WARRANTY: SUPERIOR-RIGHTS

14.1     Except for the rights, if any, of the Government of the United States
         of America as set forth below and except as provided in Section 14.3,
         BOARD represents and warrants its belief that (a) it is the owner of
         the entire right, title, and interest in and to LICENSED SUBJECT
         MATTER, (b) it has the sole right to grant licenses thereunder, and (c)
         it has not knowingly granted licenses thereunder to any other entity
         that would restrict rights granted hereunder except as stated herein.

14.2     LICENSEE understands that the LICENSED SUBJECT MATTER may have been
         developed under a funding agreement with the Government of the United
         States of America and, if so, that the Government may have certain
         rights relative thereto. This AGREEMENT is explicitly made subject to
         the Government's rights under any such agreement and any applicable law
         or regulation, including P.L. 96-517 as amended by P.L. 98-620. To the
         extent that there is a conflict between any such agreement, applicable
         law or regulation and this AGREEMENT, the terms of such Government
         agreement, applicable law or regulation shall prevail.

14.3     LICENSEE understands and agrees that BOARD and/or UTMDACC previously
         licensed the PATENT RIGHTS and LICENSED SUBJECT MATTER to ARGUS, and
         that certain rights thereto were returned to the BOARD pursuant to
         AMENDMENT NO. 6, EXCERPTS of which are attached hereto as Exhibit II.
         LICENSEE understands and agrees that LICENSEE's rights under this
         AGREEMENT are subject to the terms and conditions of AMENDMENT NO. 6,
         and that in the event of any conflict between this AGREEMENT and
         AMENDMENT NO. 6, AMENDMENT NO. 6 shall control. Nothwithstanding any
         other provision herein to the contrary, LICENSEE understands and agrees
         that with respect to the ARONEX PATENT and/or U.S. Application No.
         09/122,427, described in Section 11 of AMENDMENT NO. 6, BOARD's rights
         to the subject matter thereof and thus the rights granted to LICENSEE
         under this AGREEMENT are limited in scope as set forth in Section 11.
         The license granted to LICENSEE in Article III of this AGREEMENT is
         expressly limited to the BOARD's licensing rights under Section 11,
         including, but not limited to, the restrictions on use solely in the
         Anthracycline Field, as set forth in Section 11 of AMENDMENT NO. 6.

                                       22
<PAGE>

CONFIDENTIAL

14.4     LICENSEE understands and agrees that BOARD and UTMDACC, by this
         AGREEMENT, make no representation as to the operability or fitness for
         any use, safety, efficacy, approvability by regulatory authorities,
         time and cost of development, patentability, and/or breadth of the
         LICENSED SUBJECT MATTER. BOARD and UTMDACC, by this AGREEMENT, also
         make no representation as to whether any patent covered by PATENT
         RIGHTS is valid or as to whether there are any patents now held, or
         which will be held, by others or by BOARD or UTMDACC in the LICENSED
         FIELD, nor do BOARD and UTMDACC make any representation that the
         inventions contained in PATENT RIGHTS and/or LICENSED SUBJECT MATTER do
         not infringe any other patents now held or that will be held by others
         or by BOARD.

14.5     LICENSEE, by execution hereof, acknowledges, covenants and agrees that
         LICENSEE has not been induced in any way by BOARD, SYSTEM, UTMDACC or
         employees thereof to enter into this AGREEMENT, and further warrants
         and represents that (a) LICENSEE has conducted sufficient due diligence
         with respect to all items and issues pertaining to this AGREEMENT; and
         (b) LICENSEE has adequate knowledge and expertise, or has used
         knowledgeable and expert consultants, to adequately conduct such due
         diligence, and agrees to accept all risks inherent herein.

                                       23
<PAGE>

CONFIDENTIAL

                                  XV. GENERAL

15.1     This AGREEMENT constitutes the entire and only agreement between the
         parties for LICENSED SUBJECT MATTER and all other prior negotiations,
         representations, agreements and understandings are superseded hereby.
         No agreements altering or supplementing the terms hereof will be made
         except by a written document signed by both parties.

15.2     Any notice required by this AGREEMENT must be given by prepaid, first
         class, certified mail, return receipt requested, and addressed in the
         case of UTMDACC to:

         The University of Texas M. D. Anderson Cancer Center
         Office of Technology Commercialization
         7515 S. Main, Suite 490, Unit 0510
         Houston, Texas 77030
         ATTENTION: William J. Doty

         with copy to BOARD:

         BOARD OF REGENTS
         The University of Texas System
         201 West Seventh Street Austin, Texas 78701
         ATTENTION: Office of General Counsel

         or in the case of LICENSEE to:

         Callisto Pharmaceuticals, Inc.
         420 Lexington Avenue, Suite 1609
         New York, New York   10170
         ATTENTION: Dr. Gary Jacobs, CEO
         FAX: (212) 297-0020

         or other addresses as may be given from time to time under the terms of
         this notice provision.

15.3     The  Parties  agree to  comply  with all  applicable  federal,  state
         and local  laws and  regulations  in connection with its activities
         pursuant to this AGREEMENT.

                                       24
<PAGE>

CONFIDENTIAL

15.4     Nothing in this AGREEMENT shall be deemed as a waiver by BOARD, SYSTEM
         or UTMDACC of its sovereign immunity.

15.5     Failure of BOARD or UTMDACC to enforce a right under this AGREEMENT
         will not act as a waiver of right or the ability to later assert that
         right relative to the particular situation involved.

15.6     Headings included herein are for convenience only and will not be used
         to construe this AGREEMENT.

15.7     BOARD and/or UTMDACC may disclose an executed copy of this AGREEMENT,
         in confidence, to ARONEX PHARMACEUTICALS, INC.

15.8     If any part of this AGREEMENT is for any reason found to be
         unenforceable, all other parts nevertheless will remain enforceable.

                                       25
<PAGE>

CONFIDENTIAL

         IN WITNESS WHEREOF, the parties hereto have caused their duly
authorized representatives to execute this AGREEMENT.

BOARD OF REGENTS OF THE                        CALLISTO PHARMACEUTICALS, INC.
UNIVERSITY OF TEXAS SYSTEM

By /s/ John Mendelsohn, M.D.                   By /s/ Gary Jacob
   -------------------------                      --------------
    John Mendelsohn, M.D.                         Dr. Gary Jacobs
    President                                     Chief Executive Officer
    The University of Texas                       Callisto Pharmaceuticals, Inc.
    M. D. Anderson Cancer Center
Date: 8/12/04                                  Date: 7/20/04
      -------                                        -------

THE UNIVERSITY OF TEXAS
M. D. ANDERSON CANCER CENTER

By /s/ Leon Leach
   --------------
    Leon Leach
    Executive Vice President
    The University of Texas
    M. D. Anderson Cancer Center
Date: 8/11/04

Approved as to Content:

By /s/ William J. Doty
   -------------------
    William J. Doty
    Managing Director, Technology
    Commercialization
    M. D. Anderson Cancer Center
Date: 7/22/04

                                           Approved as to form /s/ Lori Stiffler
                                                               -----------------

                                       26Prepared and filed by St Ives Burrups

Exhibit  4.1

EXECUTION COPY

 

	 
	
	 

 

AMERICREDIT AUTOMOBILE RECEIVABLES TRUST 2004-C-A

 

Class A-1 1.765% Asset Backed Notes

Class A-2 2.39% Asset Backed Notes

Class A-3 3.00% Asset Backed Notes

Class A-4 3.61% Asset Backed Notes

 

 

INDENTURE

 

Dated as of August 23, 2004

 

 

WELLS FARGO BANK, NATIONAL ASSOCIATION

Trustee and Trust Collateral Agent

 

	 
	 
	 

 TABLE OF CONTENTS

	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
  

  
	
  ARTICLE I DEFINITIONS AND INCORPORATION BY REFERENCE

  	
  3

  
	
   

  	
   

  	
   

  	
   

  
	
  SECTION 1.1

  	
   

  	
  Definitions

  	
  3

  
	
  SECTION 1.2

  	
   

  	
  Incorporation by Reference of Trust Indenture Act

  	
  10

  
	
  SECTION 1.3

  	
   

  	
  Rules of Construction

  	
  10

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE II THE NOTES

  	
  11

  
	
   

  	
   

  
	
  SECTION 2.1

  	
   

  	
  Form

  	
  11

  
	
  SECTION 2.2

  	
   

  	
  Execution, Authentication and Delivery

  	
  11

  
	
  SECTION 2.3

  	
   

  	
  Temporary Notes

  	
  12

  
	
  SECTION 2.4

  	
   

  	
  Registration; Registration of Transfer and Exchange

  	
  12

  
	
  SECTION 2.5

  	
   

  	
  Mutilated, Destroyed, Lost or Stolen Notes

  	
  13

  
	
  SECTION 2.6

  	
   

  	
  Persons Deemed Owner

  	
  14

  
	
  SECTION 2.7

  	
   

  	
  Payment of Principal and Interest; Defaulted Interest.

  	
  15

  
	
  SECTION 2.8

  	
   

  	
  Cancellation

  	
  16

  
	
  SECTION 2.9

  	
   

  	
  Release of Collateral

  	
  16

  
	
  SECTION 2.10

  	
   

  	
  Book-Entry Notes

  	
  16

  
	
  SECTION 2.11

  	
   

  	
  Notices to Clearing Agency

  	
  17

  
	
  SECTION 2.12

  	
   

  	
  Definitive Notes

  	
  17

  
	
   

  	
   

  
	
  ARTICLE III COVENANTS

  	
  18

  
	
   

  	
   

  
	
  SECTION 3.1

  	
   

  	
  Payment of Principal and Interest

  	
  18

  
	
  SECTION 3.2

  	
   

  	
  Maintenance of Office or Agency

  	
  18

  
	
  SECTION 3.3

  	
   

  	
  Money for Payments to be Held in Trust

  	
  18

  
	
  SECTION 3.4

  	
   

  	
  Existence

  	
  20

  
	
  SECTION 3.5

  	
   

  	
  Protection of Trust Estate

  	
  20

  
	
  SECTION 3.6

  	
   

  	
  Opinions as to Trust Estate.

  	
  20

  
	
  SECTION 3.7

  	
   

  	
  Performance of Obligations; Servicing of Receivables.

  	
  21

  
	
  SECTION 3.8

  	
   

  	
  Negative Covenants

  	
  22

  
	
  SECTION 3.9

  	
   

  	
  Annual Statement as to Compliance

  	
  22

  
	
  SECTION 3.10

  	
   

  	
  Issuer May Consolidate, Etc. Only on Certain Terms.

  	
  23

  
	
  SECTION 3.11

  	
   

  	
  Successor or Transferee.

  	
  25

  
	
  SECTION 3.12

  	
   

  	
  No Other Business

  	
  25

  
	
  SECTION 3.13

  	
   

  	
  No Borrowing

  	
  25

  
	
  SECTION 3.14

  	
   

  	
  Servicer’s Obligations

  	
  25

  
	
  SECTION 3.15

  	
   

  	
  Guarantees, Loans, Advances and Other Liabilities

  	
  25

  
	
  SECTION 3.16

  	
   

  	
  Capital Expenditures

  	
  26

  
	
  SECTION 3.17

  	
   

  	
  Compliance with Laws

  	
  26

  
	
  SECTION 3.18

  	
   

  	
  Restricted Payments

  	
  26

  
	
  SECTION 3.19

  	
   

  	
  Notice of Events of Default

  	
  26

  
	
  SECTION 3.20

  	
   

  	
  Further Instruments and Acts

  	
  26

  
	
  SECTION 3.21

  	
   

  	
  Amendments of Sale and Servicing Agreement and Trust    Agreement

  	
  26

  
	
  SECTION 3.22

  	
   

  	
  Income Tax Characterization

  	
  26

  
	
   

  	
   

  
	
  ARTICLE IV SATISFACTION AND DISCHARGE

  	
  27

  
	
   

  	
   

  
	
  SECTION 4.1

  	
   

  	
  Satisfaction and Discharge of Indenture

  	
  27

  
	
  SECTION 4.2

  	
   

  	
  Application of Trust Money

  	
  28

  
	
  SECTION 4.3

  	
   

  	
  Repayment of Moneys Held by Note Paying Agent

  	
  28

  
	
   

  	
   

  
	
  ARTICLE V REMEDIES

  	
  28

  
	
   

  	
   

  
	
  SECTION 5.1

  	
   

  	
  Events of Default

  	
  28

  
	
  SECTION 5.2

  	
   

  	
  Rights Upon Event of Default.

  	
  30

  
	
   

  	
   

  	
   

  	
   

  

 

i

Back to  Contents

 

	
  SECTION 5.3

  	
   

  	
  Collection of Indebtedness and Suits for Enforcement by    Trustee.

  	
  31

  
	
  SECTION 5.4

  	
   

  	
  Remedies.

  	
  33

  
	
  SECTION 5.5

  	
   

  	
  Optional Preservation of the Receivables

  	
  34

  
	
  SECTION 5.6

  	
   

  	
  Priorities.

  	
  35

  
	
  SECTION 5.7

  	
   

  	
  Limitation of Suits

  	
  35

  
	
  SECTION 5.8

  	
   

  	
  Unconditional Rights of Noteholders To Receive Principal    and Interest

  	
  36

  
	
  SECTION 5.9

  	
   

  	
  Restoration of Rights and Remedies

  	
  36

  
	
  SECTION 5.10

  	
   

  	
  Rights and Remedies Cumulative

  	
  36

  
	
  SECTION 5.11

  	
   

  	
  Delay or Omission Not a Waiver

  	
  36

  
	
  SECTION 5.12

  	
   

  	
  Control by Noteholders

  	
  37

  
	
  SECTION 5.13

  	
   

  	
  Waiver of Past Defaults

  	
  37

  
	
  SECTION 5.14

  	
   

  	
  Undertaking for Costs

  	
  37

  
	
  SECTION 5.15

  	
   

  	
  Waiver of Stay or Extension Laws

  	
  38

  
	
  SECTION 5.16

  	
   

  	
  Action on Notes

  	
  38

  
	
  SECTION 5.17

  	
   

  	
  Performance and Enforcement of Certain Obligations.

  	
  38

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VI THE TRUSTEE AND THE TRUST COLLATERAL AGENT

  	
  39

  
	
   

  	
   

  	
   

  	
   

  
	
  SECTION 6.1

  	
   

  	
  Duties of Trustee.

  	
  39

  
	
  SECTION 6.2

  	
   

  	
  Rights of Trustee.

  	
  41

  
	
  SECTION 6.3

  	
   

  	
  Individual Rights of Trustee

  	
  42

  
	
  SECTION 6.4

  	
   

  	
  Trustee’s Disclaimer

  	
  42

  
	
  SECTION 6.5

  	
   

  	
  Notice of Defaults

  	
  42

  
	
  SECTION 6.6

  	
   

  	
  Reports by Trustee to Holders

  	
  42

  
	
  SECTION 6.7

  	
   

  	
  Compensation and Indemnity.

  	
  42

  
	
  SECTION 6.8

  	
   

  	
  Replacement of Trustee

  	
  43

  
	
  SECTION 6.9

  	
   

  	
  Successor Trustee by Merger

  	
  45

  
	
  SECTION 6.10

  	
   

  	
  Appointment of Co-Trustee or Separate Trustee.

  	
  45

  
	
  SECTION 6.11

  	
   

  	
  Eligibility: Disqualification.

  	
  46

  
	
  SECTION 6.12

  	
   

  	
  Preferential Collection of Claims Against Issuer

  	
  46

  
	
  SECTION 6.13

  	
   

  	
  Appointment and Powers

  	
  46

  
	
  SECTION 6.14

  	
   

  	
  Performance of Duties

  	
  47

  
	
  SECTION 6.15

  	
   

  	
  Limitation on Liability

  	
  47

  
	
  SECTION 6.16

  	
   

  	
  Reliance Upon Documents

  	
  48

  
	
  SECTION 6.17

  	
   

  	
  Successor Trust Collateral Agent.

  	
  48

  
	
  SECTION 6.18

  	
   

  	
  Compensation

  	
  49

  
	
  SECTION 6.19

  	
   

  	
  Representations and Warranties of the Trust Collateral    Agent and the Issuer

  	
  49

  
	
  SECTION 6.20

  	
   

  	
  Waiver of Setoffs

  	
  50

  
	
  SECTION 6.21

  	
   

  	
  Control by the Controlling Party

  	
  50

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VII NOTEHOLDERS’ LISTS AND REPORTS

  	
  50

  
	
   

  	
   

  	
   

  	
   

  
	
  SECTION 7.1

  	
   

  	
  Issuer To Furnish To Trustee Names and Addresses of    Noteholders

  	
  50

  
	
  SECTION 7.2

  	
   

  	
  Preservation of Information; Communications to    Noteholders.

  	
  51

  
	
  SECTION 7.3

  	
   

  	
  Reports by Issuer.

  	
  51

  
	
  SECTION 7.4

  	
   

  	
  Reports by Trustee

  	
  51

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VIII ACCOUNTS, DISBURSEMENTS AND RELEASES

  	
  52

  
	
   

  	
   

  	
   

  	
   

  
	
  SECTION 8.1

  	
   

  	
  Collection of Money

  	
  52

  
	
  SECTION 8.2

  	
   

  	
  Release of Trust Estate.

  	
  52

  
	
  SECTION 8.3

  	
   

  	
  Opinion of Counsel

  	
  52

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE IX SUPPLEMENTAL INDENTURES

  	
  53

  
	
   

  	
   

  	
   

  	
   

  
	
  SECTION 9.1

  	
   

  	
  Supplemental Indentures Without Consent of Noteholders.

  	
  53

  
	
  SECTION 9.2

  	
   

  	
  Supplemental Indentures with Consent of Noteholders

  	
  54

  
	
  SECTION 9.3

  	
   

  	
  Execution of Supplemental Indentures

  	
  56

  
	
  SECTION 9.4

  	
   

  	
  Effect of Supplemental Indenture

  	
  56

  
	
  SECTION 9.5

  	
   

  	
  Conformity With Trust Indenture Act

  	
  56

  
	
   

  	
   

  	
   

  	
   

  

 

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  SECTION 9.6

  	
   

  	
  Reference in Notes to Supplemental Indentures

  	
  56

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE X REDEMPTION OF NOTES

  	
  56

  
	
   

  	
   

  	
   

  	
   

  
	
  SECTION 10.1

  	
   

  	
  Redemption.

  	
  56

  
	
  SECTION 10.2

  	
   

  	
  Form of Redemption.

  	
  57

  
	
  SECTION 10.3

  	
   

  	
  Notes Payable on Redemption Date

  	
  57

  
	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE XI MISCELLANEOUS

  	
  58

  
	
   

  	
   

  	
   

  	
   

  
	
  SECTION 11.1

  	
   

  	
  Compliance Certificates and Opinions, etc

  	
  58

  
	
  SECTION 11.2

  	
   

  	
  Form of Documents Delivered to Trustee

  	
  59

  
	
  SECTION 11.3

  	
   

  	
  Acts of Noteholders.

  	
  60

  
	
  SECTION 11.4

  	
   

  	
  Notices, etc., to Trustee, Issuer and Rating Agencies

  	
  61

  
	
  SECTION 11.5

  	
   

  	
  Notices to Noteholders; Waiver

  	
  62

  
	
  SECTION 11.6

  	
   

  	
  [Reserved]

  	
  62

  
	
  SECTION 11.7

  	
   

  	
  Conflict with Trust Indenture Act

  	
  62

  
	
  SECTION 11.8

  	
   

  	
  Effect of Headings and Table of Contents

  	
  63

  
	
  SECTION 11.9

  	
   

  	
  Successors and Assigns

  	
  63

  
	
  SECTION 11.10

  	
   

  	
  Separability

  	
  63

  
	
  SECTION 11.11

  	
   

  	
  Benefits of Indenture

  	
  63

  
	
  SECTION 11.12

  	
   

  	
  Legal Holidays

  	
  63

  
	
  SECTION 11.13

  	
   

  	
  GOVERNING LAW

  	
  63

  
	
  SECTION 11.14

  	
   

  	
  Counterparts

  	
  64

  
	
  SECTION 11.15

  	
   

  	
  Recording of Indenture

  	
  64

  
	
  SECTION 11.16

  	
   

  	
  Trust Obligation

  	
  64

  
	
  SECTION 11.17

  	
   

  	
  No Petition

  	
  64

  
	
  SECTION 11.18

  	
   

  	
  Inspection

  	
  64

  
	
   

  	
   

  	
   

  	
   

  
	
  EXHIBITS

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  EXHIBIT A-1

  	
   

  	
  Form of Class A-1 Note

  	
  

  

  
	
  EXHIBIT A-2

  	
   

  	
  Form of Class A-2 Note

  	
  

  

  
	
  EXHIBIT A-3

  	
   

  	
  Form of Class A-3 Note

  	
  

  

  
	
  EXHIBIT A-4

  	
   

  	
  Form of Class A-4 Note

  	
  

  

  
	
   

  	
   

  	
   

  	
   

  
	
  SCHEDULES

  	
   

  
	
   

  	
   

  
	
  SCHEDULE A

  	
   

  	
  Representations and Warranties of the Issuer

  	
  

  

  
	
   

  	
   

  	
   

  	
   

  

 

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INDENTURE dated as of August 23, 2004, between  AMERICREDIT AUTOMOBILE RECEIVABLES TRUST 2004-C-A, a Delaware statutory trust  (the “Issuer”), and WELLS FARGO BANK, NATIONAL ASSOCIATION, a national  banking association, as trustee (the “Trustee”) and Trust Collateral  Agent (as defined below).

 

Each party agrees as follows for the benefit of the  other party and for the equal and ratable benefit of the Holders of the  Issuer’s Class A-1 1.765% Asset Backed Notes (the “Class A-1 Notes”),  the Class A-2 2.39% Asset Backed Notes (the “Class A-2 Notes”), the Class  A-3 3.00% Asset Backed Notes (the “Class A-3 Notes”) and the Class A-4  3.61% Asset Backed Notes (the “Class A-4 Notes” and together with the  Class A-1 Notes, the Class A-2 Notes and the Class A-3 Notes, the “Notes”).

 

As security for the payment and performance by the  Issuer of its obligations under this Indenture and the Notes, the Issuer has  agreed to assign the Collateral (as defined below) as collateral to the Trust  Collateral Agent for the benefit of the Trustee on behalf of the Noteholders  and for the benefit of the Security Insurer.

 

Ambac Assurance Corporation (the “Security Insurer”)  has issued and delivered a note guaranty insurance policy, dated the Closing  Date (with endorsements, the “Note Policy”), pursuant to which the  Security Insurer guarantees Insured Payments, as defined in the Note Policy.

 

As an inducement to the Security Insurer to issue and  deliver the Note Policy, the Issuer and the Security Insurer have executed and  delivered the Insurance Agreement, dated as of August 31, 2004 (as amended from  time to time, the “Insurance Agreement”), among the Security Insurer,  the Issuer, the Trustee, the Trust Collateral Agent, the Backup Servicer,  AmeriCredit Financial Services, Inc. and AFS SenSub Corp.

 

As an additional inducement to the Security Insurer to  issue the Note Policy, and as security for the performance by the Issuer of the  Insurer Issuer Secured Obligations and as security for the performance by the  Issuer of the Trustee Issuer Secured Obligations, the Issuer has agreed to assign  the Collateral (as defined below) as collateral to the Trust Collateral Agent  for the benefit of the Issuer Secured Parties, as their respective interests  may appear.

 

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GRANTING CLAUSE

 

The Issuer hereby Grants to the Trust Collateral Agent  at the Closing Date, for the benefit of the Issuer Secured Parties, all of the  Issuer’s right, title and interest in and to (a) the  Initial Receivables; (b) an assignment of the security interests  in the Financed Vehicles granted by Obligors pursuant to the Receivables and  any other interest of the Issuer in the Financed Vehicles; (c) any proceeds  with respect to the Receivables repurchased by a Dealer, pursuant to a Dealer  Agreement, as a result of a breach of representation or warranty in the related  Dealer Agreement or repurchased by a Third-Party Lender, pursuant to an Auto  Loan Purchase and Sale Agreement, as a result of a breach of representation or  warranty in the related Auto Loan Purchase and Sale Agreement; (d) all rights  under any Service Contracts on the related Financed Vehicles; (e) any proceeds  with respect to the Receivables from claims on any
physical damage, credit life  or disability insurance policies covering Financed Vehicles or Obligors and any proceeds from the liquidation of the  Receivables net of those reimbursable liquidation expenses set forth in Article  IV of the Sale and Servicing Agreement; (f) the Trust Accounts and all  funds on deposit from time to time in the Trust Accounts, and in all investments  and proceeds thereof and all rights of the Issuer therein (including all income  thereon); (g) the Issuer’s rights and benefits, but none of its obligations or  burdens, under the Purchase Agreement, including the delivery requirements,  representations and warranties and the cure and repurchase obligations of  AmeriCredit under the Purchase Agreement; (h) all items contained in the  Receivable Files and any and all other documents that AmeriCredit keeps on file  in accordance with its customary procedures relating to the Receivables, the  Obligors or the Financed Vehicles, (i) the Issuer’s rights and benefits, but
none of its obligations or burdens, under the Sale and Servicing Agreement  (including all rights of the Seller under the Purchase Agreement assigned to  the Issuer pursuant to the Sale and Servicing Agreement); and (j) all present  and future claims, demands, causes and choses of action in respect of any or  all of the foregoing and all payments on or under and all proceeds of every  kind and nature whatsoever in respect of any or all of the foregoing, including  all proceeds of the conversion, voluntary or involuntary, into cash or other  liquid property, all cash proceeds, accounts, accounts receivable, notes,  drafts, acceptances, chattel paper, checks, deposit accounts, insurance  proceeds, condemnation awards, rights to payment of any and every kind and  other forms of obligations and receivables, instruments and other property  which at any time constitute all or part of or are included in the proceeds of  any of the foregoing (collectively, the “Collateral”).

 

The foregoing Grant is made in trust to the Trust  Collateral Agent, for the benefit of the Trustee on behalf of the Noteholders  and for the benefit of the Security Insurer.   The Trust Collateral Agent hereby acknowledges such Grant, accepts the  trusts under this Indenture in accordance with the provisions of this Indenture  and agrees to perform its duties required in this Indenture to the end that the  interests of such parties, recognizing the priorities of their respective  interests may be adequately and effectively protected.

 

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ARTICLE I

 

Definitions and  Incorporation by Reference

 

SECTION  1.1      Definitions.  Except as otherwise specified herein, the following terms have  the respective meanings set forth below for all purposes of this Indenture.

 

“Act” has the meaning specified in Section  11.3(a).

 

“Affiliate” means, with respect to any  specified Person, any other Person controlling or controlled by or under common  control with such specified Person.  For  the purposes of this definition, “control” when used with respect to any  specified Person means the power to direct the management and policies of such  Person, directly or indirectly, whether through the ownership of voting  securities, by contract or otherwise; and the terms “controlling” and  “controlled” have meanings correlative to the foregoing.  A Person shall not be deemed to be an  Affiliate of any person solely because such other Person has the contractual  right or obligation to manage such Person unless such other Person controls  such Person through equity ownership or otherwise.

 

“Authorized Officer” means, with respect to the  Issuer and the Servicer, any officer or agent acting pursuant to a power of  attorney of the Owner Trustee or the Servicer, as applicable, who is authorized  to act for the Owner Trustee or the Servicer, as applicable, in matters  relating to the Issuer and who is identified on the list of Authorized Officers  delivered by each of the Owner Trustee and the Servicer to the Trustee on the  Closing Date (as such list may be modified or supplemented from time to time  thereafter).

 

“Basic Documents” means this Indenture, the  Certificate of Trust, the Trust Agreement, as amended, the Sale and Servicing  Agreement, the Spread Account Agreement, the Insurance Agreement, the Custodian  Agreement and other documents and certificates delivered in connection  therewith.

 

“Benefit Plan Entity” has the meaning specified  in Section 2.4.

 

“Book Entry Notes” means a beneficial interest  in the Notes, ownership and transfers of which shall be made through book  entries by a Clearing Agency as described in Section 2.10.

 

“Business Day” means any day other than (a) a  Saturday or a Sunday, (b) a day on which the Insurer is closed or (c) a day on  which banking institutions in New York City, Fort Worth, Texas, Wilmington,  Delaware or Minneapolis, Minnesota or in the city in which the corporate trust  office of the Trustee under the Indenture or the Owner Trustee under the Trust  Agreement is located are authorized or obligated by law or executive order to  be closed.

 

“Certificate” means a trust certificate  evidencing the beneficial interest of a Certificateholder in the Trust.

 

“Certificateholder” means the Person in whose  name a Certificate is registered on the Certificate Register.

 

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“Certificate of Trust” means the certificate of  trust of the Issuer substantially in the form of Exhibit B to the Trust  Agreement.

 

“Class A-1 Interest Rate” means 1.765% per  annum (computed on the basis of a 360-day year and the actual number of days in  the related Interest Period).

 

“Class A-1 Notes” means the Class A-1 1.765%  Asset Backed Notes, substantially in the form of Exhibit A-1.

 

“Class A-2 Interest Rate” means 2.39% per annum  (computed on the basis of a 360-day year consisting of twelve 30-day months).

 

“Class A-2 Notes” means the Class A-2 2.39%  Asset Backed Notes, substantially in the form of Exhibit A-2.

 

“Class A-3 Interest Rate” means 3.00% per annum  (computed on the basis of a 360-day year consisting of twelve 30-day months).

 

“Class A-3 Notes” means the Class A-3 3.00%  Asset Backed Notes, substantially in the form of Exhibit A-3.

 

“Class A-4 Interest Rate” means 3.61% per annum  (computed on the basis of a 360-day year consisting of twelve 30-day months).

 

“Class A-4 Notes” means the Class A-4 3.61%  Asset Backed Notes, substantially in the form of Exhibit A-4.

 

“Clearing Agency” means an organization  registered as a “clearing agency” pursuant to Section 17A of the Exchange Act.

 

“Clearing Agency Participant” means a broker,  dealer, bank, other financial institution or other Person for whom from time to  time a Clearing Agency effects book-entry transfers and pledges of securities  deposited with the Clearing Agency.

 

“Closing Date” means August 31, 2004.

 

“Code” means the Internal Revenue Code of 1986,  as amended from time to time, and Treasury Regulations promulgated thereunder.

 

“Collateral” has the meaning specified in the  Granting Clause of this Indenture.

 

“Controlling Party” means the Security Insurer,  so long as no Insurer Default shall have occurred and be continuing, and the  Trustee, for so long as an Insurer Default shall have occurred and be  continuing.

 

“Corporate Trust Office” means the principal  office of the Trustee at which at any particular time its corporate trust  business shall be administered which office at date of the execution of this  Indenture is located at Sixth Street and Marquette Avenue, MAC N9311-161,

 

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Minneapolis, Minnesota 55479 (facsimile number (612) 667-3464),  Attention: Corporate Trust Office, or at such other address as the Trustee may  designate from time to time by notice to the Noteholders, the Security Insurer,  the Servicer and the Issuer, or the principal corporate trust office of any  successor Trustee (the address of which the successor Trustee will notify the  Security Insurer, the Noteholders and the Issuer).

 

“Default” means any occurrence that is, or with  notice or the lapse of time or both would become, an Event of Default.

 

“Definitive Notes” has the meaning specified in  Section 2.10.

 

“Distribution Amount” means the sum of (a)  Available Funds and (b) Additional Funds Available.

 

“Distribution Date” has the meaning specified  in the Sale and Servicing Agreement.

 

“ERISA” has the meaning specified in Section  2.4.

 

“Event of Default” has the meaning specified in  Section 5.1.

 

“Exchange Act” means the Securities Exchange  Act of 1934, as amended.

 

“Executive Officer” means, with respect to any  corporation, the Chief Executive Officer, Chief Operating Officer, Chief  Financial Officer, President, any Executive Vice President, any Senior Vice  President, any Vice President, the Secretary or the Treasurer of such  corporation; and with respect to any partnership, any general partner thereof.

 

“Grant” means mortgage, pledge, bargain,  warrant, alienate, remise, release, convey, assign, transfer, create, grant a  lien upon and a security interest in and right of set-off against, deposit, set  over and confirm pursuant to this Indenture.   A Grant of the Collateral or of any other agreement or instrument shall  include all rights, powers and options (but none of the obligations) of the  Granting party thereunder, including the immediate and continuing right to  claim for, collect, receive and give receipt for principal and interest  payments in respect of the Collateral and all other moneys payable thereunder,  to give and receive notices and other communications, to make waivers or other  agreements, to exercise all rights and options, to bring proceedings in the  name of the Granting party or otherwise and generally to do and receive  anything that the Granting party is or may be entitled to do or
receive thereunder  or with respect thereto.

 

“Holder” or “Noteholder” means the  Person in whose name a Note is registered on the Note Register.

 

“Indebtedness” means, with respect to any  Person at any time, (a) indebtedness or liability of such Person for borrowed  money whether or not evidenced by bonds, debentures, notes or other  instruments, or for the deferred purchase price of property or services  (including trade obligations); (b) obligations of such Person as lessee under  leases which should have been or should be, in accordance with generally  accepted accounting principles, recorded as capital 

 

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leases; (c) current liabilities of such Person in respect of unfunded  vested benefits under plans covered by Title IV of ERISA; (d) obligations  issued for or liabilities incurred on the account of such Person; (e)  obligations or liabilities of such Person arising under acceptance facilities;  (f) obligations of such Person under any guarantees, endorsements (other than  for collection or deposit in the ordinary course of business) and other  contingent obligations to purchase, to provide funds for payment, to supply  funds to invest in any Person or otherwise to assure a creditor against loss;  (g) obligations of such Person secured by any lien on property or assets of  such Person, whether or not the obligations have been assumed by such Person;  or (h) obligations of such Person under any interest rate or currency exchange  agreement.

 

“Indenture” means this Indenture as amended and  supplemented from time to time.

 

“Independent” means, when used with respect to  any specified Person, that the person (a) is in fact independent of the Issuer,  any other obligor upon the Notes, the Seller and any Affiliate of any of the  foregoing persons, (b) does not have any direct financial interest or any  material indirect financial interest in the Issuer, any such other obligor, the  Seller or any Affiliate of any of the foregoing Persons and (c) is not  connected with the Issuer, any such other obligor, the Seller or any Affiliate  of any of the foregoing Persons as an officer, employee, promoter, underwriter,  trustee, partner, director or Person performing similar functions.

 

“Independent Certificate” means a certificate  or opinion to be delivered to the Trust Collateral Agent under the  circumstances described in, and otherwise complying with, the applicable  requirements of Section 11.1, prepared by an Independent appraiser or other  expert appointed by an Issuer Order and approved by the Trust Collateral Agent  in the exercise of reasonable care, and such opinion or certificate shall state  that the signer has read the definition of “Independent” in this Indenture and  that the signer is Independent within the meaning thereof.

 

“Insured Payments” has the meaning specified in  the Note Policy.

 

“Insurer Issuer Secured Obligations” means all  amounts and obligations which the Issuer may at any time owe to or on behalf of  the Security Insurer under this Indenture, the Insurance Agreement or any other  Basic Document.

 

“Interest Rate” means, with respect to the (i)  Class A-1 Notes, the Class A-1 Interest Rate, (ii) Class A-2 Notes, the Class  A-2 Interest Rate, (iii) Class A-3 Notes, the Class A-3 Interest Rate and (iv)  Class A-4 Notes, the Class A-4 Interest Rate.

 

“Issuer” means the party named as such in this  Indenture until a successor replaces it and, thereafter, means the successor  and, for purposes of any provision contained herein and required by the TIA,  each other obligor on the Notes.

 

“Issuer Order” and “Issuer Request”  means a written order or request signed in the name of the Issuer by any one of  its Authorized Officers and delivered to the Trustee.

 

“Issuer Secured Obligations” means the Insurer  Issuer Secured Obligations and the Trustee Issuer Secured Obligations.

 

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“Issuer Secured Parties” means each of the  Trustee in respect of the Trustee Issuer Secured Obligations and the Security  Insurer in respect of the Insurer Issuer Secured Obligations.

 

“Note” means a Class A-1 Note, a Class A-2  Note, a Class A-3 Note or a Class A-4 Note.

 

“Note Owner” means, with respect to a  Book-Entry Note, the person who is the owner of such Book-Entry Note, as  reflected on the books of the Clearing Agency, or on the books of a Person  maintaining an account with such Clearing Agency (directly as a Clearing Agency  Participant or as an indirect participant, in each case in accordance with the  rules of such Clearing Agency).

 

“Note Paying Agent” means the Trustee or any  other Person that meets the eligibility standards for the Trustee specified in  Section 6.11 and is authorized by the Issuer to make the payments to and  distributions from the Collection Account and the Note Distribution Account,  including payment of principal of or interest on the Notes on behalf of the  Issuer.

 

“Note Policy” means the insurance policy issued  by the Security Insurer with respect to the Notes, including any endorsements  thereto.

 

“Note Register” and “Note Registrar”  have the respective meanings specified in Section 2.4.

 

“Notice of Claim” has the meaning specified in  the Sale and Servicing Agreement.

 

“Officer’s Certificate” means a certificate  signed by any Authorized Officer of the Owner Trustee, under the circumstances  described in, and otherwise complying with, the applicable requirements of  Section 11.1 and TIA § 314, and delivered to the Trustee.  Unless otherwise specified, any reference in  this Indenture to an Officer’s Certificate shall be to an Officer’s Certificate  of any Authorized Officer of the Issuer.

 

“Opinion of Counsel” means one or more written  opinions of counsel who may, except as otherwise expressly provided in this  Indenture, be employees of or counsel to the Issuer and who shall be  satisfactory to the Trustee and, if addressed to the Security Insurer,  satisfactory to the Security Insurer, and which shall comply with any  applicable requirements of Section 11.1, and shall be in form and substance  satisfactory to the Trustee, and if addressed to the Security Insurer,  satisfactory to the Security Insurer.

 

“Outstanding” means, as of the date of  determination, all Notes theretofore authenticated and delivered under this  Indenture except:

 

(i)      Notes  theretofore canceled by the Note Registrar or delivered to the Note Registrar  for cancellation; 

 

(ii)     Notes  or portions thereof the payment for which money in the necessary amount has  been theretofore deposited with the Trustee or any Note Paying Agent in trust  for the Noteholders (provided, however, that if such Notes are to  be redeemed, notice of 

 

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such redemption has been  duly given pursuant to this Indenture or provision therefor, satisfactory to  the Trustee); and 

 

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

 

provided, however, that Notes  which have been paid with proceeds of the Note Policy shall continue to remain  Outstanding for purposes of this Indenture until the Security Insurer has been  paid as subrogee hereunder or reimbursed pursuant to the Insurance Agreement as  evidenced by a written notice from the Security Insurer delivered to the  Trustee, and the Security Insurer shall be deemed to be the Holder thereof to  the extent of any payments thereon made by the Security Insurer; provided,  further, that in determining whether the Holders of the requisite  Outstanding Amount of the Notes have given any request, demand, authorization,  direction, notice, consent or waiver hereunder or under any Basic Document,  Notes owned by the Issuer, any other obligor upon the Notes, the Seller or any  Affiliate of any of the foregoing Persons shall be disregarded and deemed not  to be Outstanding, except that, in determining whether the
Trustee shall be  protected in relying upon any such request, demand, authorization, direction,  notice, consent or waiver, only Notes that a Responsible Officer of the Trustee  either actually knows to be so owned or has received written notice thereof  shall be so disregarded.  Notes so owned  that have been pledged in good faith may be regarded as Outstanding if the  pledgee establishes to the satisfaction of the Trustee the pledgee’s right so  to act with respect to such Notes and that the pledgee is not the Issuer, any  other obligor upon the Notes, the Seller or any Affiliate of any of the  foregoing Persons.

 

“Outstanding Amount” means the aggregate  principal amount of all Notes, or class of Notes, as applicable, Outstanding at  the date of determination.

 

“Predecessor Note” means, with respect to any  particular Note, every previous Note evidencing all or a portion of the same  debt as that evidenced by such particular Note; and, for the purpose of this  definition, any Note authenticated and delivered under Section 2.5 in lieu of a  mutilated, lost, destroyed or stolen Note shall be deemed to evidence the same  debt as the mutilated, lost, destroyed or stolen Note.

 

“Proceeding” means any suit in equity, action  at law or other judicial or administrative proceeding.

 

“Rating Agency” means each of Moody’s, Standard  & Poor’s and Fitch, so long as such Persons maintain a rating on the Notes;  and if any of Moody’s, Standard & Poor’s or Fitch no longer maintains a  rating on the Notes, such other nationally recognized statistical rating  organization selected by the Seller and (so long as an Insurer Default shall  not have occurred and be continuing) acceptable to the Security Insurer.

 

“Rating Agency Condition” means, with respect  to any action, that each of Moody’s and Standard & Poor’s shall have been  given 10 days (or such shorter period as shall be acceptable to each of Moody’s  and Standard & Poor’s) prior notice thereof and that each of Moody’s and  Standard & Poor’s shall have notified the Seller, the Servicer, the  Security Insurer,

 

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the Trustee, the Owner Trustee and the Issuer in writing that such  action will not result in a reduction or withdrawal of the then current rating  of the Notes without regard to the Note Policy.

 

“Record Date” means, with respect to a  Distribution Date or Redemption Date, the close of business on the Business Day  immediately preceding such Distribution Date or Redemption Date.

 

“Redemption Date” means in the case of a  redemption of the Notes pursuant to Section 10.1(a) the Distribution Date  specified by the Servicer or the Issuer pursuant to Section 10.1(a).

 

“Redemption Price” means in the case of a  redemption of the Receivables pursuant to Section 10.1(a), an amount equal to  the unpaid principal amount of the then outstanding principal amount of each  class of Notes being redeemed plus accrued and unpaid interest thereon to but  excluding the Redemption Date.

 

“Responsible Officer” means, with respect to  the Trustee or the Trust Collateral Agent, any officer within the Corporate  Trust Office of the Trustee, including any Executive Vice President, Senior  Vice President, Vice President, Assistant Vice President, Assistant Treasurer,  Assistant Secretary, or any other officer of the Trustee or the Trust  Collateral Agent 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.

 

“Sale and Servicing Agreement” means the Sale  and Servicing Agreement dated as of August 23, 2004, among the Issuer, the  Seller, the Servicer, the Trustee as Backup Servicer and Trust Collateral  Agent, as the same may be amended or supplemented from time to time.

 

“State” means any one of the 50 states of the  United States of America or the District of Columbia.

 

“Termination Date” means the latest of (i) the  expiration of the Note Policy and the return of the Note Policy to the Security  Insurer for cancellation, (ii) the date on which the Security Insurer shall  have received payment and performance of all Insurer Issuer Secured Obligations  and (iii) the date on which the Trustee shall have received payment and  performance of all Trustee Issuer Secured Obligations.

 

“Trust Collateral Agent” means, initially,  Wells Fargo Bank, National Association, in its capacity as collateral agent on  behalf of the Issuer Secured Parties, including its successors-in-interest,  until and unless a successor Person shall have become the Trust Collateral  Agent pursuant to Section 6.17 hereof, and thereafter “Trust Collateral Agent”  shall mean such successor Person.

 

“Trust Estate” means all money, instruments,  rights and other property that are subject or intended to be subject to the  lien and security interest of this Indenture for the benefit of the Noteholders  (including all property and interests Granted to the Trust Collateral Agent),  including all proceeds thereof.

 

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“Trust Indenture Act” or “TIA” means the  Trust Indenture Act of 1939, as amended and as in force on the date hereof,  unless otherwise specifically provided.

 

“Trustee” means Wells Fargo Bank, National  Association, a national banking association, not in its individual capacity but  as trustee under this Indenture, or any successor trustee under this Indenture.

 

“Trustee Issuer Secured Obligations” means all  amounts and obligations which the Issuer may at any time owe to or on behalf of  the Trustee for the benefit of the Noteholders under this Indenture, the Notes  or any Basic Document.

 

“UCC” means, unless the context otherwise  requires, the Uniform Commercial Code, as in effect in the relevant  jurisdiction, as amended from time to time.

 

Capitalized terms used herein and not otherwise  defined herein shall have the meanings assigned to them in the Sale and  Servicing Agreement or the Trust Agreement.

 

SECTION 1.2      Incorporation  by Reference of Trust Indenture Act.   Whenever this Indenture refers to a provision of the TIA, the provision  is incorporated by reference in and made a part of this Indenture.  The following TIA terms used in this Indenture  have the following meanings:

 

“Commission” means the Securities and Exchange  Commission.

 

“indenture securities” means the Notes.

 

“indenture security holder” means a Noteholder.

 

“indenture to be qualified” means this Indenture.

 

“indenture trustee” or “institutional trustee” means  the Trustee.

 

“obligor” on the indenture securities means the  Issuer.

 

All other TIA terms used in this Indenture that are  defined by the TIA, defined by TIA reference to another statute or defined by  Commission rule have the meaning assigned to them by such definitions.

 

SECTION 1.3     Rules of  Construction Unless the context otherwise requires: 

 

(i)      a term has the  meaning assigned to it; 

 

(ii)     an  accounting term not otherwise defined has the meaning assigned to it in  accordance with generally accepted accounting principles as in effect from time  to time; 

 

(iii)    “or” is not exclusive; 

 

(iv)    “including” means  including without limitation; and 

 

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(v)     words in the singular  include the plural and words in the plural include the singular.

 

ARTICLE II

 

The Notes

 

SECTION  2.1      Form.   The Class A-1 Notes, the Class A-2 Notes, the Class A-3 Notes and the  Class A-4 Notes, in each case together with the Trustee’s certificate of  authentication, shall be in substantially the form set forth in Exhibits A-1,  A-2, A-3 and A-4, respectively, with such appropriate insertions, omissions,  substitutions and other variations as are required or permitted by this  Indenture and may have such letters, numbers or other marks of identification  and such legends or endorsements placed thereon as may, consistently herewith,  be determined by the officers executing such Notes, as evidenced by their  execution of the Notes.  Any portion of  the text of any Note may be set forth on the reverse thereof, with an  appropriate reference thereto on the face of the Note.

 

The Definitive Notes shall be typewritten, printed,  lithographed or engraved or produced by any combination of these methods (with  or without steel engraved borders), all as determined by the officers executing  such Notes, as evidenced by their execution of such Notes.

 

Each Note shall be dated the date of its  authentication.  The terms of the Notes  set forth in Exhibits A-1, A-2, A-3 and A-4 are part of the terms of this  Indenture.

 

SECTION 2.2      Execution,  Authentication and Delivery The Notes shall be executed on behalf of the  Issuer by any of its Authorized Officers.   The signature of any such Authorized Officer on the Notes may be manual  or facsimile.

 

Notes bearing the manual or facsimile signature of  individuals who were at any time Authorized Officers of the Issuer shall bind  the Issuer, notwithstanding that such individuals or any of them have ceased to  hold such offices prior to the authentication and delivery of such Notes or did  not hold such offices at the date of such Notes.

 

The Trustee shall, upon receipt of the Note Policy and  Issuer Order, authenticate and deliver Class A-1 Notes for original issue in an  aggregate principal amount of $161,000,000, Class A-2 Notes for original issue  in the aggregate principal amount of $228,000,000, Class A-3 Notes for original  issue in an aggregate principal amount of $205,000,000 and Class A-4 Notes for  original issue in the aggregate principal amount of $206,000,000.  The Class A-1 Notes, Class A-2 Notes, Class  A-3 Notes and Class A-4 Notes outstanding at any time may not exceed such  amounts except as provided in Section 2.5.

 

The Notes shall be issuable as registered Notes in the  minimum denomination of $1,000 and in integral multiples thereof (except for  one Note of each class which may be issued in a denomination other than an  integral multiple of $1,000).

 

No Note shall be entitled to any benefit under this  Indenture or be valid or obligatory for any purpose, unless there appears on  such Note a certificate of authentication substantially in the form provided  for herein executed by the Trustee by the manual signature of

 

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one of its authorized signatories, and such certificate upon any Note  shall be conclusive evidence, and the only evidence, that such Note has been  duly authenticated and delivered hereunder.

 

SECTION 2.3      Temporary  Notes. Pending the preparation of Definitive Notes, the Issuer may execute,  and upon receipt of an Issuer Order the Trustee shall authenticate and deliver,  temporary Notes which are printed, lithographed, typewritten, mimeographed or  otherwise produced, of the tenor of the Definitive Notes in lieu of which they  are issued and with such variations not inconsistent with the terms of this  Indenture as the officers executing such Notes may determine, as evidenced by  their execution of such Notes.

 

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

 

SECTION 2.4      Registration;  Registration of Transfer and Exchange. The Issuer shall cause to be kept a  register (the “Note Register”) in which, subject to such reasonable  regulations as it may prescribe, the Issuer shall provide for the registration  of Notes and the registration of transfers of Notes.  The Trustee shall be “Note Registrar” for the purpose of  registering Notes and transfers of Notes as herein provided.  Upon any resignation of any Note Registrar,  the Issuer shall promptly appoint a successor or, if it elects not to make such  an appointment, assume the duties of Note Registrar.

 

If a Person other than the Trustee is appointed by the  Issuer as Note Registrar, the Issuer will give the Trustee prompt written  notice of the appointment of such Note Registrar and of the location, and any  change in the location, of the Note Register, and the Trustee shall have the  right to inspect the Note Register at all reasonable times and to obtain copies  thereof, and the Trustee shall have the right to conclusively rely upon a  certificate executed on behalf of the Note Registrar by an Executive Officer  thereof as to the names and addresses of the Noteholders of the Notes and the  principal amounts and number of such Notes.

 

Subject to Sections 2.10 and 2.12 hereof, upon  surrender for registration of transfer of any Note at the office or agency of  the Issuer to be maintained as provided in Section 3.2, if the requirements of  Section 8-401(1) of the UCC are met the Issuer shall execute and upon its  request the Trustee shall authenticate and the Noteholder shall obtain from the  Trustee, in the name of the designated transferee or transferees, one or more  new Notes, in any authorized denominations, of the same class and a like  aggregate principal amount.

 

At the option of the Noteholder, Notes may be  exchanged for other Notes in any authorized denominations, of the same class  and a like aggregate principal amount, upon surrender of the Notes to be  exchanged at such office or agency.   Whenever any Notes are so 

 

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surrendered for exchange, subject to Sections 2.10 and 2.12 hereof, if  the requirements of Section 8-401(1) of the UCC are met the Issuer shall  execute and upon its request the Trustee shall authenticate and the Noteholder  shall obtain from the Trustee, the Notes which the Noteholder making the  exchange is entitled to receive.

 

All Notes issued upon any registration of transfer or  exchange of Notes shall be the valid obligations of the Issuer, evidencing the  same debt, and entitled to the same benefits under this Indenture, as the Notes  surrendered upon such registration of transfer or exchange.

 

Every Note presented or surrendered for registration  of transfer or exchange shall be (i) duly endorsed by, or be accompanied by a  written instrument of transfer in the form attached to Exhibits A-1, A-2, A-3  and A-4 duly executed by, the Holder thereof or such Holder’s attorney duly  authorized in writing, with such signature guaranteed by an “eligible guarantor  institution” meeting the requirements of the Note Registrar which requirements  include membership or participation in Securities Transfer Agents Medallion  Program (“STAMP”) or such other “signature guarantee program” as may be  determined by the Note Registrar in addition to, or in substitution for, STAMP,  all in accordance with the Exchange Act, and (ii) accompanied by such other  documents as the Trustee may require.

 

Notwithstanding the foregoing, in the case of any sale  or other transfer of a Definitive Note, the transferor of such Definitive Note  shall be required to represent and warrant in writing that the prospective  transferee either (a) is not (i) an employee benefit plan (as defined in  section 3(3) of the Employee Retirement Income Security Act of 1974, as amended  (“ERISA”)), which is subject to the provisions of Title I of ERISA, (ii)  a plan (as defined in section 4975(e)(1) of the Code), which is subject to  Section 4975 of the Code, or (iii) an entity whose underlying assets are deemed  to be assets of a plan described in (i) or (ii) above by reason of such plan’s  investment in the entity (any such entity described in clauses (i) through  (iii), a “Benefit Plan Entity”) or (b) is a Benefit Plan Entity and the  acquisition and holding of the Definitive Note by such prospective transferee  is
covered by a Department of Labor Prohibited Transaction Class  Exemption.  Each transferee of a Book  Entry Note that is a Benefit Plan Entity shall be deemed to represent that its  acquisition and holding of the Book Entry Note is covered by a Department of  Labor Prohibited Transaction Class Exemption.

 

No service charge shall be made to a Noteholder for  any registration of transfer or exchange of Notes, but the Note Registrar may  require payment of a sum sufficient to cover any tax or other governmental  charge that may be imposed in connection with any registration of transfer or  exchange of Notes, other than exchanges pursuant to Section 2.3 or 9.6 not  involving any transfer.

 

The preceding provisions of this section  notwithstanding, the Issuer shall not be required to make and the Note  Registrar shall not register transfers or exchanges of Notes selected for  redemption or of any Note for a period of 15 days preceding the due date for  any payment with respect to the Note.

 

SECTION 2.5      Mutilated,  Destroyed, Lost or Stolen Notes .   If (i) any mutilated Note is surrendered to the Trustee, or the Trustee  receives evidence to its satisfaction of the destruction, loss or theft of any  Note, and (ii) there is delivered to the Trustee and the 

 

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Security Insurer (unless an Insurer Default shall have occurred and be  continuing) such security or indemnity as may be required by it to hold the  Issuer, the Trustee and the Security Insurer harmless, then, in the absence of  notice to the Issuer, the Note Registrar or the Trustee that such Note has been  acquired by a bona fide purchaser, and provided that the requirements of  Section 8-405 of the UCC are met, the Issuer shall execute and upon its request  the Trustee shall authenticate and deliver, in exchange for or in lieu of any  such mutilated, destroyed, lost or stolen Note, a replacement Note; provided,  however, that if any such destroyed, lost or stolen Note, but not a  mutilated Note, shall have become or within seven days shall be due and  payable, or shall have been called for redemption, instead of issuing a  replacement Note, the Issuer may direct the Trustee, in writing, to pay such  destroyed, lost or stolen Note when so due
or payable or upon the Redemption  Date, without surrender thereof.  If,  after the delivery of such replacement Note or payment of a destroyed, lost or  stolen Note pursuant to the proviso to the preceding sentence, a bona fide  purchaser of the original Note in lieu of which such replacement Note was  issued presents for payment such original Note, the Issuer, the Trustee and the  Security Insurer shall be entitled to recover such replacement Note (or such  payment) from the Person to whom it was delivered or any Person taking such  replacement Note from such Person to whom such replacement Note was delivered  or any assignee of such Person, except a bona fide purchaser, and shall be  entitled to recover upon the security or indemnity provided therefor to the  extent of any loss, damage, cost or expense incurred by the Issuer or the  Trustee in connection therewith.

 

Upon the issuance of any replacement Note under this  Section, the Issuer may require the payment by the Holder of such Note of a sum  sufficient to cover any tax or other governmental charge that may be imposed in  relation thereto and any other reasonable expenses (including the fees and  expenses of the Trustee) connected therewith.

 

Every replacement Note issued pursuant to this Section  in replacement of any mutilated, destroyed, lost or stolen Note shall  constitute an original additional contractual obligation of the Issuer, whether  or not the mutilated, destroyed, lost or stolen Note shall be at any time  enforceable by anyone, and shall be entitled to all the benefits of this  Indenture equally and proportionately with any and all other Notes duly issued  hereunder.

 

The provisions of this Section are exclusive and shall  preclude (to the extent lawful) all other rights and remedies with respect to  the replacement or payment of mutilated, destroyed, lost or stolen Notes.

 

SECTION 2.6      Persons  Deemed Owner. Prior to due presentment for registration of transfer of any  Note, the Issuer, the Trustee and any agent of the Issuer or the Trustee, or  the Security Insurer may treat the Person in whose name any Note is registered  (as of the Record Date) as the owner of such Note for the purpose of receiving  payments of principal of and interest, if any on such Note and for all other  purposes whatsoever, whether or not such Note be overdue, and none of the  Issuer, the Security Insurer, the Trustee nor any agent of the Issuer or the  Trustee shall be affected by notice to the contrary.

 

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SECTION 2.7      Payment  of Principal and Interest; Defaulted Interest.

 

(a)      The Notes shall  accrue interest as provided in the forms of the Class A-1 Note, the Class A-2  Note, the Class A-3 Note and the Class A-4 Note set forth in Exhibits A-1, A-2,  A-3 and A-4, respectively, and such interest shall be due and payable on each  Distribution Date, as specified therein.   Any installment of interest or principal, if any, payable on any Note  which is punctually paid or duly provided for by the Issuer on the applicable  Distribution Date shall be paid to the Person in whose name such Note (or one  or more Predecessor Notes) is registered on the Record Date, by check mailed  first-class, postage prepaid, to such Person’s address as it appears on the  Note Register on such Record Date, except that, unless Definitive Notes have  been issued pursuant to Section 2.12, with respect to Notes registered on  the Record Date in the name of the nominee of the Clearing
Agency (initially,  such nominee to be Cede & Co.), payment will be made by wire transfer in  immediately available funds to the account designated by such nominee and  except for the final installment of principal payable with respect to such Note  on a Distribution Date or on the Final Scheduled Distribution Date (and except  for the Redemption Price for any Note called for redemption pursuant to Section  10.1(a)) which shall be payable as provided below.  The funds represented by any such checks returned undelivered  shall be held in accordance with Section 3.3.

 

(b)      The principal  of each Note shall be payable in installments on each Distribution Date, as  applicable, as provided in the forms of the Class A-1 Note, the Class A-2 Note,  the Class A-3 Note and the Class A-4 Note set forth in Exhibits A-1, A-2, A-3  and A-4, respectively.  Notwithstanding  the foregoing, the entire unpaid principal amount of the Notes shall be due and  payable, if not previously paid, on the date on which an Event of Default shall  have occurred and be continuing, if the Trustee or the Noteholders representing  not less than a majority of the Outstanding Amount of the Notes have declared  the Notes to be immediately due and payable in the manner provided in Section  5.2.  All principal payments on each  class of Notes shall be made pro rata to the Noteholders of such class entitled  thereto.  Upon written notice from the  Issuer, the Trustee shall notify the
Person in whose name a Note is registered  at the close of business on the Record Date preceding the Distribution Date on  which the Issuer expects that the final installment of principal of and  interest on such Note will be paid.   Such notice shall be mailed or transmitted by facsimile prior to such  final Distribution Date and shall specify that such final installment will be  payable only upon presentation and surrender of such Note and shall specify the  place where such Note may be presented and surrendered for payment of such  installment.  Notices in connection with  redemptions of Notes shall be mailed to Noteholders as provided in Section  10.2.

 

(c)      If the Issuer  defaults in a payment of interest on the Notes, and such default is waived by  the Controlling Party, the Issuer shall pay defaulted interest (plus interest  on such defaulted interest to the extent lawful) at the applicable Interest  Rate in any lawful manner.  The Issuer  may pay such defaulted interest to the Persons who are Noteholders on the  immediately following Distribution Date, and, if such amount is not paid on  such following Distribution Date, then on a subsequent special record date,  which date shall be at least five Business Days prior to the payment date.  The Issuer shall fix or cause to be fixed  any such special record date and payment date, and, at least 15 days before any  such special record date, the Issuer shall mail to each Noteholder and the  Trustee a notice that states the special record date, the payment date and the  amount of defaulted
interest to be paid.

 

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(d)      Promptly  following the date on which all principal of and interest on the Notes has been  paid in full and the Notes have been surrendered to the Trustee, the Trustee  shall, if the Security Insurer has paid any amount in respect of the Notes  under the Note Policy or otherwise which has not been reimbursed to it, deliver  such surrendered Notes to the Security Insurer.

 

SECTION 2.8      Cancellation.  Subject to Section 2.7(d), all Notes  surrendered for payment, registration of transfer, exchange, or redemption  shall, if surrendered to any Person other than the Trustee, be delivered to the  Trustee and shall be promptly canceled by the Trustee.  Subject to Section 2.7(d), the Issuer may at  any time deliver to the Trustee for cancellation any Notes previously  authenticated and delivered hereunder which the Issuer may have acquired in any  manner whatsoever, and all Notes so delivered shall be promptly canceled by the  Trustee.  No Notes shall be  authenticated in lieu of or in exchange for any Notes canceled as provided in  this Section, except as expressly permitted by this Indenture.  Subject to Section 2.7(d), all canceled  Notes may be held or disposed of by the Trustee in accordance with its standard  retention or disposal policy as in
effect at the time unless the Issuer shall  timely direct by an Issuer Order that they be destroyed or returned to it;  provided that such Issuer Order is timely and the Notes have not been  previously disposed of by the Trustee.

 

SECTION 2.9      Release  of Collateral.  The Trust Collateral  Agent shall, on or after the Termination Date, release any remaining portion of  the Trust Estate from the lien created by this Indenture and deposit in the  Collection Account any funds then on deposit in any other Trust Account.  The Trust Collateral Agent shall release  property from the lien created by this Indenture pursuant to this Section 2.9  only upon receipt of an Issuer Request accompanied by an Officer’s Certificate,  an Opinion of Counsel and (if required by the TIA) Independent Certificates in  accordance with TIA §§ 314(c) and 314(d)(1) meeting the applicable  requirements of Section 11.1.

 

SECTION 2.10    Book-Entry  Notes.  The Notes, upon original  issuance, will be issued in the form of typewritten Notes representing the  Book-Entry Notes, to be delivered to The Depository Trust Company, the initial  Clearing Agency, by, or on behalf of, the Issuer.  Such Notes shall initially be registered on the Note Register in the  name of Cede & Co., the nominee of the initial Clearing Agency, and no Note  Owner will receive a Definitive Note representing such Note Owner’s interest in  such Note, except as provided in Section 2.12.   Unless and until definitive, fully registered Notes (the “Definitive  Notes”) have been issued to Note Owners pursuant to Section 2.12: 

 

(i)      the provisions  of this Section shall be in full force and effect; 

 

(ii)     the  Note Registrar and the Trustee shall be entitled to deal with the Clearing Agency  for all purposes of this Indenture (including the payment of principal of and  interest on the Notes and the giving of instructions or directions hereunder)  as the sole Holder of the Notes, and shall have no obligation to the Note  Owners; 

 

(iii)    to  the extent that the provisions of this Section conflict with any other  provisions of this Indenture, the provisions of this Section shall control;

 

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(iv)    the  rights of Note Owners shall be exercised only through the Clearing Agency and  shall be limited to those established by law and agreements between such Note  Owners and the Clearing Agency and/or the Clearing Agency Participants.  Unless and until Definitive Notes are issued  pursuant to Section 2.12, the initial Clearing Agency will make book-entry  transfers among the Clearing Agency Participants and receive and transmit  payments of principal of and interest on the Notes to such Clearing Agency  Participants; 

 

(v)     whenever  this Indenture requires or permits actions to be taken based upon instructions  or directions of Noteholders evidencing a specified percentage of the  Outstanding Amount of the Notes, the Clearing Agency shall be deemed to  represent such percentage only to the extent that it has received instructions  to such effect from Note Owners and/or Clearing Agency Participants owning or  representing, respectively, such required percentage of the beneficial interest  in the Notes and has delivered such instructions to the Trustee; and 

 

(vi)    Note  Owners may receive copies of any reports sent to Noteholders pursuant to this  Indenture, upon written request, together with a certification that they are  Note Owners and payment of reproduction and postage expenses associated with  the distribution of such reports, from the Trustee at the Corporate Trust  Office.

 

SECTION 2.11      Notices  to Clearing Agency.  Whenever a  notice or other communication to the Noteholders is required under this  Indenture, unless and until Definitive Notes shall have been issued to Note  Owners pursuant to Section 2.12, the Trustee shall give all such notices and  communications specified herein to be given to the Noteholders to the Clearing  Agency, and shall have no obligation to the Note Owners.

 

SECTION 2.12      Definitive  Notes.  If (i) the Servicer advises  the Trustee in writing that the Clearing Agency is no longer willing or able to  properly discharge its responsibilities with respect to the Notes, and the  Servicer is unable to locate a qualified successor or (ii) after the occurrence  of an Event of Default, Note Owners representing beneficial interests  aggregating at least a majority of the Outstanding Amount of the Notes advise  the Trustee through the Clearing Agency in writing that the continuation of a  book entry system through the Clearing Agency is no longer in the best  interests of the Note Owners, then the Clearing Agency shall notify all Note  Owners and the Trustee of the occurrence of any such event and of the  availability of Definitive Notes to Note Owners requesting the same.  Upon surrender to the Trustee of the  typewritten Note or Notes representing
the Book-Entry Notes by the Clearing  Agency, accompanied by registration instructions, the Issuer shall execute and  the Trustee shall authenticate the Definitive Notes in accordance with the  instructions of the Clearing Agency.   None of the Issuer, the Note Registrar or the Trustee shall be liable  for any delay in delivery of such instructions and may conclusively rely on, and  shall be fully protected in relying on, such instructions.  Upon the issuance of Definitive Notes, the  Trustee shall recognize the Holders of the Definitive Notes as Noteholders.

 

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ARTICLE III

 

Covenants

 

SECTION 3.1      Payment  of Principal and Interest.  The  Issuer will duly and punctually pay the principal of and interest on the Notes  in accordance with the terms of the Notes and this Indenture.  Without limiting the foregoing, the Issuer  will cause to be distributed all amounts on deposit in the Note Distribution  Account on a Distribution Date deposited therein pursuant to the Sale and  Servicing Agreement (i) for the benefit of the Class A-l Notes, to Class A-1  Noteholders, (ii) for the benefit of the Class A-2 Notes, to Class A-2 Noteholders,  (iii) for the benefit of the Class A-3 Notes, to Class A-3 Noteholders and  (iv) for the benefit of the Class A-4 Notes, to Class A-4  Noteholders.  Amounts properly withheld  under the Code by any Person from a payment to any Noteholder of interest and/or  principal shall be considered as having been paid by the Issuer to
such  Noteholder for all purposes of this Indenture.

 

SECTION 3.2      Maintenance  of Office or Agency.  The Issuer  will maintain in New York, New York, an office or agency where Notes may be  surrendered for registration of transfer or exchange, and where notices and  demands to or upon the Issuer in respect of the Notes and this Indenture may be  served.  The Issuer hereby initially  appoints the Trustee to serve as its agent for the foregoing purposes.  The Issuer will give prompt written notice  to the Trustee of the location, and of any change in the location, of any such  office or agency.  If at any time the Issuer  shall fail to maintain any such office or agency or shall fail to furnish the  Trustee with the address thereof, such surrenders, notices and demands may be  made or served at the Corporate Trust Office, and the Issuer hereby appoints  the Trustee as its agent to receive all such surrenders, notices and
demands.

 

SECTION 3.3      Money  for Payments to be Held in Trust.   On or before each Distribution Date and Redemption Date, the Issuer  shall deposit or cause to be deposited in the Note Distribution Account from  the Collection Account an aggregate sum sufficient to pay the amounts then  becoming due under the Notes, such sum to be held in trust for the benefit of  the Persons entitled thereto and (unless the Note Paying Agent is the Trustee)  shall promptly notify the Trustee of its action or failure so to act.

 

The Issuer will cause each Note Paying Agent other  than the Trustee to execute and deliver to the Trustee and the Security Insurer  an instrument in which such Note Paying Agent shall agree with the Trustee (and  if the Trustee acts as Note Paying Agent, it hereby so agrees), subject to the  provisions of this Section, that such Note Paying Agent will: 

 

(i)      hold  all sums held by it for the payment of amounts due with respect to the Notes in  trust for the benefit of the Persons entitled thereto until such sums shall be  paid to such Persons or otherwise disposed of as herein provided and pay such  sums to such Persons as herein provided; 

 

(ii)     give  the Trustee notice of any default by the Issuer (or any other obligor upon the  Notes) of which it has actual knowledge in the making of any payment required  to be made with respect to the Notes; 

 

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(iii)    at  any time during the continuance of any such default, upon the written request  of the Trustee, forthwith pay to the Trustee all sums so held in trust by such  Paying Agent; 

 

(iv)    immediately  resign as a Note Paying Agent and forthwith pay to the Trustee all sums held by  it in trust for the payment of Notes if at any time it ceases to meet the  standards required to be met by a Note Paying Agent at the time of its  appointment; and 

 

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

 

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

 

Subject to applicable laws with respect to the escheat  of funds, any money held by the Trustee or any Note Paying Agent in trust for  the payment of any amount due with respect to any Note and remaining unclaimed  for two years after such amount has become due and payable shall be discharged  from such trust and be paid to the Issuer on Issuer Request with the consent of  the Security Insurer (unless an Insurer Default shall have occurred and be  continuing) and shall be deposited by the Trustee in the Collection Account;  and the Holder of such Note shall thereafter, as an unsecured general creditor,  look only to the Issuer for payment thereof (but only to the extent of the  amounts so paid to the Issuer), and all liability of the Trustee or such Note  Paying Agent with respect to such trust money shall thereupon cease; provided,  however, that if such money or any portion thereof had been previously  deposited by the
Security Insurer or the Trust Collateral Agent with the  Trustee for the payment of principal or interest on the Notes, to the extent  any amounts are owing to the Security Insurer, such amounts shall be paid  promptly to the Security Insurer upon the Trustee’s receipt of a written  request by the Security Insurer to such effect; and provided, further,  that the Trustee or such Note Paying Agent, before being required to make any  such repayment, shall at the expense of the Issuer cause to be published once,  in a newspaper published in the English language, customarily published on each  Business Day and of general circulation in New York, New York, notice that such  money remains unclaimed and that, after a date specified therein, which shall  not be less than 30 days from the date of such publication, any unclaimed  balance of such money then remaining will be repaid to the Issuer.  The Trustee shall also adopt and employ, at  the expense of the Issuer, any other reasonable
means of notification of such  repayment (including, but not limited to, mailing notice of such repayment to  Holders whose Notes have been called but have not been surrendered for  redemption or whose right to or interest in moneys due and payable but not  claimed is determinable from the records of the Trustee or of any Note Paying  Agent, at the last address of record for each such Holder).

 

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SECTION 3.4      Existence.  Except as otherwise permitted by the  provisions of Section 3.10, the Issuer will keep in full effect its existence,  rights and franchises as a statutory trust under the laws of the State of  Delaware (unless it becomes, or any successor Issuer hereunder is or becomes,  organized under the laws of any other state or of the United States of America,  in which case the Issuer will keep in full effect its existence, rights and  franchises under the laws of such other jurisdiction) 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 Indenture, the Notes, the Collateral and each other  instrument or agreement included in the Trust Estate.

 

SECTION 3.5      Protection  of Trust Estate.  The Issuer intends  the security interest Granted pursuant to this Indenture in favor of the Issuer  Secured Parties to be prior to all other liens in respect of the Trust Estate,  and the Issuer shall take all actions necessary to obtain and maintain, in  favor of the Trust Collateral Agent, for the benefit of the Issuer Secured  Parties, a first lien on and a first priority, perfected security interest in  the Trust Estate.  The Issuer will from  time to time prepare (or shall cause to be prepared), execute and deliver all such  supplements and amendments hereto and all such financing statements,  continuation statements, instruments of further assurance and other  instruments, and will take such other action necessary or advisable to: 

 

(i)      Grant  more effectively all or any portion of the Trust Estate; 

 

(ii)     maintain  or preserve the lien and security interest (and the priority thereof) in favor  of the Trust Collateral Agent for the benefit of the Issuer Secured Parties  created by this Indenture or carry out more effectively the purposes hereof; 

 

(iii)    perfect,  publish notice of or protect the validity of any Grant made or to be made by  this Indenture;

 

(iv)    enforce  any of the Collateral; 

 

(v)     preserve  and defend title to the Trust Estate and the rights of the Trust Collateral  Agent in such Trust Estate against the claims of all persons and parties; and 

 

(vi)    pay  all taxes or assessments levied or assessed upon the Trust Estate when due.

 

The Issuer hereby designates the Trust Collateral Agent its agent and  attorney-in-fact to execute any financing statement, continuation statement or  other instrument required by the Trust Collateral Agent pursuant to this  Section.

 

SECTION 3.6      Opinions  as to Trust Estate.

 

(a)      On the Closing  Date, the Issuer shall furnish to the Trustee, the Trust Collateral Agent and  the Security Insurer an Opinion of Counsel either stating that, in the opinion  of such counsel, such action has been taken with respect to the recording and  filing of this Indenture, any indentures supplemental hereto, and any other  requisite documents, and with respect to the execution and filing of any  financing statements and continuation statements, as

 

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are necessary to perfect and make effective the first priority lien and  security interest in favor of the Trust Collateral Agent, for the benefit of  the Issuer Secured Parties, created by this Indenture and reciting the details  of such action, or stating that, in the opinion of such counsel, no such action  is necessary to make such lien and security interest effective.

 

(b)      Within 120 days  after the beginning of each calendar year, beginning with the first calendar  year beginning more than six months after the Closing Date, the Issuer shall  furnish to the Trustee, Trust Collateral Agent and the Security Insurer an  Opinion of Counsel either stating that, in the opinion of such counsel, such  action has been taken with respect to the recording, filing, re-recording and  refiling of this Indenture, any indentures supplemental hereto and any other  requisite documents and with respect to the execution and filing of any  financing statements and continuation statements as are necessary to maintain  the lien and security interest created by this Indenture and reciting the  details of such action or stating that in the opinion of such counsel no such  action is necessary to maintain such lien and security interest.  Such Opinion of Counsel shall also describe  the
recording, filing, re-recording and refiling of this Indenture, any  indentures supplemental hereto and any other requisite documents and the  execution and filing of any financing statements and continuation statements  that will, in the opinion of such counsel, be required to maintain the lien and  security interest of this Indenture until January 31 in the following calendar  year.

 

SECTION 3.7      Performance  of Obligations; Servicing of Receivables.

 

(a)      The Issuer will  not take any action and will use its best efforts not to permit any action to  be taken by others that would release any Person from any of such Person’s  material covenants or obligations under any instrument or agreement included in  the Trust Estate or that would result in the amendment, hypothecation,  subordination, termination or discharge of, or impair the validity or effectiveness  of, any such instrument or agreement, except as ordered by any bankruptcy or  other court or as expressly provided in this Indenture, the Basic Documents or  such other instrument or agreement.

 

(b)      The Issuer may  contract with other Persons acceptable to the Security Insurer (so long as no  Insurer Default shall have occurred and be continuing) to assist it in  performing its duties under this Indenture, and any performance of such duties  by a Person identified to the Trustee and the Security Insurer in an Officer’s  Certificate of the Issuer shall be deemed to be action taken by the  Issuer.  Initially, the Issuer has  contracted with the Servicer to assist the Issuer in performing its duties  under this Indenture.

 

(c)      The Issuer will  punctually perform and observe all of its obligations and agreements contained  in this Indenture, the Basic Documents and in the instruments and agreements  included in the Trust Estate, including, but not limited to, preparing (or  causing to prepared) and filing (or causing to be filed) all UCC financing  statements and continuation statements required to be filed by the terms of  this Indenture and the Sale and Servicing Agreement in accordance with and  within the time periods provided for herein and therein.  Except as otherwise expressly provided  therein, the Issuer shall not waive, amend, modify, supplement or terminate any  Basic Document or any provision thereof without the consent of the Trustee, the  Security Insurer and the Holders of at least a majority of the Outstanding  Amount of the Notes.

 

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(d)      If a  responsible officer of the Owner Trustee shall have actual knowledge of the  occurrence of a Servicer Termination Event under the Sale and Servicing Agreement,  the Issuer shall promptly notify the Trustee, the Security Insurer and the  Rating Agencies thereof in accordance with Section 11.4, and shall specify in  such notice the action, if any, the Issuer is taking in respect of such  default.  If a Servicer Termination  Event shall arise from the failure of the Servicer to perform any of its duties  or obligations under the Sale and Servicing Agreement with respect to the  Receivables, the Issuer shall take all reasonable steps available to it to  remedy such failure.

 

(e)      The Issuer  agrees that it will not waive timely performance or observance by the Servicer  or the Seller of their respective duties under the Basic Documents (x) without  the prior consent of the Security Insurer (unless an Insurer Default shall have  occurred and be controlling) or (y) if the effect thereof would adversely  affect the Holders of the Notes.

 

SECTION 3.8      Negative  Covenants.  So long as any Notes are  Outstanding, the Issuer shall not: 

(i)      except  as expressly permitted by this Indenture or the Basic Documents, sell,  transfer, exchange or otherwise dispose of any of the properties or assets of  the Issuer, including those included in the Trust Estate, unless directed to do  so by the Controlling Party; 

 

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

 

(iii)    (A)  permit the validity or effectiveness of this Indenture to be impaired, or  permit the lien in favor of the Trust Collateral Agent created by this  Indenture to be amended, hypothecated, subordinated, terminated or discharged,  or permit any Person to be released from any covenants or obligations with  respect to the Notes under this Indenture except as may be expressly permitted  hereby, (B) permit any lien, charge, excise, claim, security interest, mortgage  or other encumbrance (other than the lien of this Indenture) to be created on  or extend to or otherwise arise upon or burden the Trust Estate or any part  thereof or any interest therein or the proceeds thereof (other than tax liens,  mechanics’ liens and other liens that arise by operation of law, in each case  on a Financed Vehicle and arising solely as a result of an action or omission  of the related Obligor), (C) permit
the lien of this Indenture not to  constitute a valid first priority (other than with respect to any such tax,  mechanics’ or other lien) security interest in the Trust Estate, or (D) amend,  modify or fail to comply with the provisions of the Basic Documents without the  prior written consent of the Controlling Party.

 

SECTION 3.9      Annual  Statement as to Compliance.  The  Issuer will deliver to the Trustee and the Security Insurer, within 120 days  after the end of each fiscal year of the Issuer (commencing with the fiscal  year ended June 30, 2004), and otherwise in compliance with

 

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the requirements of TIA Section 314(a)(4) an Officer’s Certificate  stating, as to the Authorized Officer signing such Officer’s Certificate, that 

(i)      a  review of the activities of the Issuer during such year and of performance  under this Indenture has been made under such Authorized Officer’s supervision;  and 

 

(ii)     to  the best of such Authorized Officer’s knowledge, based on such review, the  Issuer has complied with all conditions and covenants under this Indenture and  the other Basic Documents throughout such year, or, if there has been a default  in the compliance of any such condition or covenant, specifying each such  default known to such Authorized Officer and the nature and status thereof.

 

SECTION 3.10      Issuer  May Consolidate, Etc. Only on Certain Terms

 

(a)     The Issuer shall not  consolidate or merge with or into any other Person, unless 

 

(i)      the  Person (if other than the Issuer) formed by or surviving such consolidation or  merger shall be a Person organized and existing under the laws of the United  States of America or any state and shall expressly assume, by an indenture  supplemental hereto, executed and delivered to the Trustee, in form  satisfactory to the Trustee and the Security Insurer (so long as no Insurer  Default shall have occurred and be continuing), the due and punctual payment of  the principal of and interest on all Notes and the performance or observance of  every agreement and covenant of this Indenture on the part of the Issuer to be  performed or observed, all as provided herein; 

 

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

 

(iii)    the  Rating Agency Condition shall have been satisfied with respect to such  transaction; 

 

(iv)    the  Issuer shall have received an Opinion of Counsel (and shall have delivered  copies thereof to the Trustee and the Security Insurer (so long as no Insurer  Default shall have occurred and be continuing)) to the effect that such  transaction will not have any material adverse tax consequence to the Trust,  the Security Insurer, any Noteholder or the Certificateholder; 

 

(v)     any  action as is necessary to maintain the lien and security interest created by  this Indenture shall have been taken; 

 

(vi)    the  Issuer shall have delivered to the Trustee and the Security Insurer an  Officer’s Certificate and an Opinion of Counsel each stating that such  consolidation or merger and such supplemental indenture comply with this  Article III and that all conditions precedent herein provided for relating to  such transaction have been complied with (including any filing required by the  Exchange Act); and 

 

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(vii)   so  long as no Insurer Default shall have occurred and be continuing, the Issuer  shall have given the Security Insurer written notice of such conveyance or  transfer at least 20 Business Days prior to the consummation of such action and  shall have received the prior written approval of the Security Insurer of such  conveyance or transfer and the Issuer or the Person (if other than the Issuer)  formed by or surviving such conveyance or transfer has a net worth, immediately  after such conveyance or transfer, that is (a) greater than zero and (b) not  less than the net worth of the Issuer immediately prior to giving effect to  such conveyance or transfer.

 

(b)     The  Issuer shall not convey or transfer all or substantially all of its properties  or assets, including those included in the Trust Estate, to any Person, unless 

 

(i)      the  Person that acquires by conveyance or transfer the properties and assets of the  Issuer the conveyance or transfer of which is hereby restricted shall (A) be a  United States citizen or a Person organized and existing under the laws of the  United States of America or any state, (B) expressly assume, by an indenture  supplemental hereto, executed and delivered to the Trustee, in form  satisfactory to the Trustee, and the Security Insurer (so long as no Insurer  Default shall have occurred and be continuing), the due and punctual payment of  the principal of and interest on all Notes and the performance or observance of  every agreement and covenant of this Indenture and each of the Basic Documents  on the part of the Issuer to be performed or observed, all as provided herein,  (C) expressly agree by means of such supplemental indenture that all right,  title and interest so
conveyed or transferred shall be subject and subordinate  to the rights of Holders of the Notes, (D) unless otherwise provided in such  supplemental indenture, expressly agree to indemnify, defend and hold harmless  the Issuer against and from any loss, liability or expense arising under or  related to this Indenture and the Notes and (E) expressly agree by means of  such supplemental indenture that such Person (or if a group of persons, then  one specified Person) shall prepare (or cause to be prepared) and make all  filings with the Commission (and any other appropriate Person) required by the  Exchange Act in connection with the Notes; 

 

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

 

(iii)    the  Rating Agency Condition shall have been satisfied with respect to such  transaction; 

 

(iv)    the  Issuer shall have received an Opinion of Counsel (and shall have delivered  copies thereof to the Trustee and the Security Insurer (so long as no Insurer  Default shall have occurred and be continuing)) to the effect that such  transaction will not have any material adverse tax consequence to the Trust,  the Security Insurer, any Noteholder or the Certificateholder; 

 

(v)     any  action as is necessary to maintain the lien and security interest created by  this Indenture shall have been taken; 

 

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(vi)    the  Issuer shall have delivered to the Trustee and the Security Insurer an  Officer’s Certificate and an Opinion of Counsel each stating that such  conveyance or transfer and such supplemental indenture comply with this Article  III and that all conditions precedent herein provided for relating to such  transaction have been complied with (including any filing required by the  Exchange Act); and 

 

(vii)   so  long as no Insurer Default shall have occurred and be continuing, the Issuer  shall have given the Security Insurer written notice of such conveyance or  transfer at least 20 Business Days prior to the consummation of such action and  shall have received the prior written approval of the Security Insurer of such  consolidation or merger and the Issuer or the Person (if other than the Issuer)  formed by or surviving such consolidation or merger has a net worth,  immediately after such consolidation or merger, that is (a) greater than zero  and (b) not less than the net worth of the Issuer immediately prior to giving  effect to such consolidation or merger.

 

SECTION 3.11      Successor  or Transferee.

 

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

 

(b)      Upon a  conveyance or transfer of all the assets and properties of the Issuer pursuant  to Section 3.10 (b), AmeriCredit Automobile Receivables Trust 2004-C-A will be  released from every covenant and agreement of this Indenture to be observed or  performed on the part of the Issuer with respect to the Notes immediately upon  the delivery of written notice to the Trustee stating that AmeriCredit  Automobile Receivables Trust 2004-C-A is to be so released.

 

SECTION 3.12      No  Other Business.  The Issuer shall  not engage in any business other than financing, purchasing, owning, selling  and managing the Receivables in the manner contemplated by this Indenture and  the Basic Documents and activities incidental thereto.

 

SECTION 3.13      No  Borrowing.  The Issuer shall not  issue, incur, assume, guarantee or otherwise become liable, directly or  indirectly, for any Indebtedness except for (i) the Notes, (ii) obligations  owing from time to time to the Security Insurer under the Insurance Agreement  and (iii) any other Indebtedness permitted by or arising under the Basic  Documents.  The proceeds of the Notes  shall be used exclusively to fund the Issuer’s purchase of the Receivables and  the other assets specified in the Sale and Servicing Agreement, to fund the  Spread Account and to pay the Issuer’s organizational, transactional and  start-up expenses.

 

SECTION 3.14      Servicer’s  Obligations.  The Issuer shall cause  the Servicer to comply with Sections 4.9, 4.10, 4.11 and 5.10 of the Sale and  Servicing Agreement.

 

SECTION 3.15      Guarantees,  Loans, Advances and Other Liabilities.   Except as contemplated by the Sale and Servicing Agreement or this  Indenture, the Issuer shall not make any loan or advance or credit to, or  guarantee (directly or indirectly or by an instrument having

 

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the effect of assuring another’s payment or performance on any  obligation or capability of so doing or otherwise), endorse or otherwise become  contingently liable, directly or indirectly, in connection with the  obligations, stocks or dividends of, or own, purchase, repurchase or acquire  (or agree contingently to do so) any stock, obligations, assets or securities  of, or any other interest in, or make any capital contribution to, any other  Person.

 

SECTION 3.16      Capital  Expenditures.  The Issuer shall not  make any expenditure (by long-term or operating lease or otherwise) for capital  assets (either realty or personalty).

 

SECTION 3.17      Compliance  with Laws.  The Issuer shall comply  with the requirements of all applicable laws, the non-compliance with which  would, individually or in the aggregate, materially and adversely affect the  ability of the Issuer to perform its obligations under the Notes, this  Indenture or any Basic Document.

 

SECTION 3.18      Restricted  Payments.  The Issuer shall not,  directly or indirectly, (i) pay any dividend or make any distribution (by  reduction of capital or otherwise), whether in cash, property, securities or a  combination thereof, to the Owner Trustee or any owner of a beneficial interest  in the Issuer or otherwise with respect to any ownership or equity interest or  security in or of the Issuer or to the Servicer, (ii) redeem, purchase, retire  or otherwise acquire for value any such ownership or equity interest or  security or (iii) set aside or otherwise segregate any amounts for any such  purpose; provided, however, that the Issuer may make, or cause to  be made, distributions to the Servicer, the Owner Trustee, the Trustee, the  Security Insurer and the Certificateholders as permitted by, and to the extent  funds are available for such purpose under, the Sale and
Servicing Agreement or  Trust Agreement.  The Issuer will not,  directly or indirectly, make payments to or distributions from the Collection  Account except in accordance with this Indenture and the Basic Documents.

 

SECTION 3.19      Notice  of Events of Default.  Upon a  responsible officer of the Owner Trustee having actual knowledge thereof, the  Issuer agrees to give the Trustee, the Security Insurer and the Rating Agencies  prompt written notice of each Default and each Event of Default hereunder and  each default on the part of the Servicer or the Seller of its obligations under  the Sale and Servicing Agreement.

 

SECTION 3.20      Further  Instruments and Acts.  Upon request  of the Trustee or the Security Insurer, the Issuer will execute and deliver  such further instruments and do such further acts as may be reasonably  necessary or proper to carry out more effectively the purpose of this  Indenture.

 

SECTION 3.21      Amendments  of Sale and Servicing Agreement and Trust Agreement.  The Issuer shall not agree to any amendment  to Section 12.1 of the Sale and Servicing Agreement or Section 10.1 of the  Trust Agreement to eliminate the requirements thereunder that the Trustee or  the Holders of the Notes consent to amendments thereto as provided therein.

 

SECTION 3.22      Income  Tax Characterization.  For purposes  of federal income, state and local income and franchise and any other income  taxes, the Issuer will treat the Notes

 

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as indebtedness and hereby instructs the Trustee, and each Noteholder  (or beneficial Note Owner) shall be deemed, by virtue of acquisition of its  interest in such Note, to have agreed, to treat the Notes as indebtedness for  all applicable tax reporting purposes.

 

ARTICLE IV

 

Satisfaction and  Discharge

 

SECTION  4.1      Satisfaction and Discharge of  Indenture.  This Indenture shall  cease to be of further effect with respect to the Notes except as to (i) rights  of registration of transfer and exchange, (ii) substitution of mutilated,  destroyed, lost or stolen Notes, (iii) rights of Noteholders to receive  payments of principal thereof and interest thereon, (iv) Sections 3.3, 3.4,  3.5, 3.8, 3.10, 3.12, 3.13, 3.20, 3.21 and 3.22, (v) the rights, obligations  and immunities of the Trustee hereunder (including the rights of the Trustee  under Section 6.7 and the obligations of the Trustee under Section 4.2) and  (vi) the rights of Noteholders as beneficiaries hereof with respect to the  property so deposited with the Trustee payable to all or any of them, and the  Trustee, on demand of and at the expense of the Issuer, shall execute proper  instruments acknowledging satisfaction and
discharge of this Indenture with  respect to the Notes, when 

 

(A)      either

 

(1)      all  Notes theretofore authenticated and delivered (other than (i) Notes that have  been destroyed, lost or stolen and that have been replaced or paid as provided  in Section 2.5 and (ii) Notes for whose payment money has theretofore been  deposited in trust or segregated and held in trust by the Issuer and thereafter  repaid to the Issuer or discharged from such trust, as provided in Section 3.3)  have been delivered to the Trustee for cancellation and the Note Policy has  expired and been returned to the Security Insurer for cancellation; or 

 

(2)      all Notes not  theretofore delivered to the Trustee for cancellation 

 

(i)      have become due  and payable,

 

(ii)     will  become due and payable at their respective Final Scheduled Distribution Dates  within one year, or 

 

(iii)    are  to be called for redemption within one year under arrangements satisfactory to  the Trustee for the giving of notice of redemption by the Trustee in the name,  and at the expense, of the Issuer, 

 

and the Issuer, in  the case of (i), (ii) or (iii) above, has irrevocably deposited or caused to be  irrevocably deposited with the Trust Collateral Agent cash or direct obligations  of or obligations guaranteed by the United States of America (which will mature  prior to the date such amounts are payable), in trust for such purpose, in an  amount sufficient to pay and discharge the entire indebtedness on such Notes  not theretofore delivered to the Trustee for cancellation when due to the Final  Scheduled Distribution Date or Redemption Date (if Notes shall have been called  for redemption pursuant to Section 10.1(a)) as the case may be;

 

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(B)      the  Issuer has paid or caused to be paid all Insurer Issuer Secured Obligations,  all Trustee Issuer Secured Obligations; and 

 

(C)      the  Issuer has delivered to the Trustee, the Trust Collateral Agent and the  Security Insurer an Officer’s Certificate, an Opinion of Counsel and if  required by the TIA, the Trustee, the Trust Collateral Agent or the Security  Insurer (so long as an Insurer Default shall not have occurred and be  continuing) an Independent Certificate from a firm of certified public  accountants, each meeting the applicable requirements of Section 11.1(a) and  each stating that all conditions precedent herein provided for relating to the  satisfaction and discharge of this Indenture have been complied with.  If the Indenture has been satisfied and  discharged in accordance with the provisions of Section 4.1(A)(2) then such  opinion of counsel shall also include an opinion that amounts deposited by the  Issuer in accordance with Section 4.1(A)(2) would not be characterized as a
voidable preference.

 

SECTION 4.2      Application  of Trust Money.  All moneys  deposited with the Trustee pursuant to Section 4.1 hereof shall be held in  trust and applied by it, in accordance with the provisions of the Notes, this  Indenture and the other Basic Documents, to the payment, either directly or  through any Note Paying Agent, as the Trustee may determine, to the Holders of  the particular Notes for the payment or redemption of which such moneys have  been deposited with the Trustee, of all sums due and to become due thereon for  principal and interest; but such moneys need not be segregated from other funds  except to the extent required herein or in the Sale and Servicing Agreement or  required by law.

 

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

 

ARTICLE V

 

Remedies

 

SECTION 5.1      Events  of Default.  “Event of Default,”  wherever used herein, means any one of the following events (whatever the  reason for such Event of Default and whether it shall be voluntary or  involuntary or be effected by operation of law or pursuant to any judgment,  decree or order of any court or any order, rule or regulation of any  administrative or governmental body): 

 

(i)      default  in the payment of any interest on any Note when the same becomes due and  payable, and such default shall continue for a period of five days (solely for  purposes of this clause, a payment on the Notes funded by the Security Insurer  or the Collateral Agent pursuant to the Spread Account Agreement shall be  deemed to be a payment made by the Issuer); or 

 

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(ii)     default  in the payment of the principal of or any installment of the principal of any  Note when the same becomes due and payable (solely for purposes of this clause,  a payment on the Notes funded by the Security Insurer or the Collateral Agent pursuant  to the Spread Account Agreement shall be deemed to be a payment made by the  Issuer); or 

 

(iii)    so  long as an Insurer Default shall not have occurred and be continuing, an  Insurance Agreement Event of Default shall have occurred; provided, however,  that the occurrence of an Insurance Agreement Event of Default may not form the  basis of an Event of Default unless the Security Insurer shall, upon prior  written notice to the Rating Agencies, have delivered to the Issuer and the  Trustee and not rescinded a written notice specifying that such Insurance  Agreement Event of Default constitutes an Event of Default under the Indenture;  or 

 

(iv)    default  in the observance or performance of any covenant or agreement of the Issuer  made in this Indenture (other than a covenant or agreement, a default in the  observance or performance of which is elsewhere in this Section specifically  dealt with), or any representation or warranty of the Issuer made in this  Indenture, in any Basic Document or in any certificate or any other writing  delivered pursuant hereto or in connection herewith proving to have been  incorrect in any material respect as of the time when the same shall have been  made, and such default shall continue or not be cured, or the circumstance or condition  in respect of which such misrepresentation or warranty was incorrect shall not  have been eliminated or otherwise cured, for a period of 30 days (or for such  longer period, not in excess of 90 days, as may be reasonably necessary to  remedy such default;
provided that such default is capable of remedy within 90  days or less and the Servicer on behalf of the Owner Trustee delivers an  Officer’s Certificate to the Trustee to the effect that the Issuer has  commenced, or will promptly commence and diligently pursue, all reasonable  efforts to remedy such default) after there shall have been given, by  registered or certified mail, to the Issuer by the Trustee or to the Issuer and  the Trustee by the Security Insurer (or, if an Insurer Default shall have occurred  and is continuing, by the Holders of at least 25% of the Outstanding Amount of  the Notes), a written notice specifying such default or incorrect  representation or warranty and requiring it to be remedied and stating that  such notice is a “Notice of Default” hereunder; or 

 

(v)      the  filing of a decree or order for relief by a court having jurisdiction in the  premises in respect of the Issuer or any substantial part of the Trust Estate  in an involuntary case under any applicable federal or State bankruptcy,  insolvency or other similar law now or hereafter in effect, or appointing a  receiver, liquidator, assignee, custodian, trustee, sequestrator or similar  official of the Issuer or for any substantial part of the Trust Estate, or  ordering the winding-up or liquidation of the Issuer’s affairs, and such decree  or order shall remain unstayed and in effect for a period of 60 consecutive  days; or 

 

(vi)      the  commencement by the Issuer of a voluntary case under any applicable federal or  State bankruptcy, insolvency or other similar law now or hereafter in effect,  or the consent by the Issuer to the entry of an order for relief in an  involuntary case under 

 

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any such law, or the  consent by the Issuer to the appointment or taking possession by a receiver,  liquidator, assignee, custodian, trustee, sequestrator or similar official of  the Issuer or for any substantial part of the Trust Estate, or the making by  the Issuer of any general assignment for the benefit of creditors, or the  failure by the Issuer generally to pay its debts as such debts become due, or  the taking of action by the Issuer in furtherance of any of the foregoing.

 

The Issuer shall deliver to the Trustee and the  Security Insurer, within five days after the occurrence thereof, written notice  in the form of an Officer’s Certificate of any event which with the giving of  notice and the lapse of time would become an Event of Default under clause  (iii), its status and what action the Issuer is taking or proposes to take with  respect thereto.

 

SECTION 5.2      Rights  Upon Event of Default

 

(a)      If an Insurer  Default shall not have occurred and be continuing and an Event of Default shall  have occurred and be continuing, the Trustee shall at the written direction of  the Security Insurer declare that the Notes shall become immediately due and  payable at par, together with accrued interest thereon.  If an Event of Default shall have occurred  and be continuing, the Controlling Party may exercise any of the remedies  specified in Section 5.4(a).  In the  event of any acceleration of any Notes by operation of this Section 5.2, the  Trustee shall continue to be entitled to make claims under the Note Policy  pursuant to the Sale and Servicing Agreement for Insured Payments on the  Notes.  Payments under the Note Policy  following acceleration of any Notes shall be applied by the Trustee: 

 

FIRST:      to  Noteholders for amounts due and unpaid on the Notes for interest, ratably,  without preference or priority of any kind, according to the amounts due and  payable on the Notes for interest; and 

 

SECOND:      to  Noteholders for amounts due and unpaid on the Notes for principal, ratably,  without preference or priority of any kind, according to the amounts due and  payable on the Notes for principal.

 

(b)      In the event  any Notes are accelerated due to an Event of Default, the Security Insurer  shall have the right (in addition to its obligation to pay Insured Payments on  the Notes in accordance with the Note Policy) but not the obligation, to make  payments under the Note Policy or otherwise of interest and principal due on  such Notes, in whole or in part, on any date or dates following such  acceleration as the Security Insurer, in its sole discretion, shall elect.

 

(c)      If an Insurer  Default shall have occurred and be continuing and an Event of Default shall  have occurred and be continuing, the Trustee in its discretion may, or, if so  requested in writing by Holders holding Notes representing not less than a  majority of the Outstanding Amount of the Notes, shall declare by written  notice to the Issuer that the Notes become, whereupon they shall become,  immediately due and payable at par, together with accrued interest thereon.

 

(d)      At any time  after such declaration of acceleration of maturity has been made and before a  judgment or decree for payment of the money due has been obtained by the  Trustee as hereinafter in this Article V provided, then the Security Insurer in  its sole discretion or 

 

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if an Insurer Default has occurred and is continuing, the Noteholders  representing a majority of the Outstanding Amount of the Notes, by written  notice to the Issuer and the Trustee, may rescind and annul such declaration  and its consequences if: 

 

(i)      the Issuer has  paid or deposited with the Trustee a sum sufficient to pay: 

 

(A)      all  payments of principal of and interest on all Notes and all other amounts that  would then be due hereunder or upon such Notes if the Event of Default giving  rise to such acceleration had not occurred; and 

 

(B)      all  sums paid or advanced by the Trustee hereunder and the reasonable compensation,  expenses, disbursements and advances of the Trustee and its agents and counsel;  and 

 

(ii)     all Events of  Default, other than the nonpayment of the principal of the Notes that has  become due solely by such acceleration, have been cured or waived as provided  in Section 5.12.

 

No such rescission shall affect any subsequent default  or impair any right consequent thereto.

 

SECTION 5.3      Collection  of Indebtedness and Suits for Enforcement by Trustee.

 

(a)      The Issuer  covenants that if (i) default is made in the payment of any interest on any  Note when the same becomes due and payable, and such default continues for a  period of five days, or (ii) default is made in the payment of the principal of  or any installment of the principal of any Note when the same becomes due and  payable, the Issuer will pay to the Trustee, for the benefit of the Holders of  the Notes, the whole amount then due and payable on such Notes for principal  and interest, with interest upon the overdue principal, and, to the extent  payment at such rate of interest shall be legally enforceable, upon overdue  installments of interest, at the applicable Interest Rate and in addition  thereto such further amount as shall be sufficient to cover the costs and  expenses of collection, including the reasonable compensation, expenses,  disbursements and advances of the Trustee and
its agents and counsel.

 

(b)      Each Issuer  Secured Party hereby irrevocably and unconditionally appoints the Controlling  Party as the true and lawful attorney-in-fact of such Issuer Secured Party for  so long as such Issuer Secured Party is not the Controlling Party, with full  power of substitution, to execute, acknowledge and deliver any notice,  document, certificate, paper, pleading or instrument and to do in the name of  the Controlling Party as well as in the name, place and stead of such Issuer  Secured Party such acts, things and deeds for or on behalf of and in the name  of such Issuer Secured Party under this Indenture (including specifically under  Section 5.4) and under the Basic Documents which such Issuer Secured Party  could or might do or which may be necessary, desirable or convenient in such  Controlling Party’s sole discretion to effect the purposes contemplated  hereunder and under the Basic
Documents and, without limitation, following the  occurrence of an Event of Default, exercise full right, power and authority to  take, or defer from taking, any and all acts with respect to the  administration, maintenance or disposition of the Trust Estate.

 

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(c)      If an Event of  Default occurs and is continuing, the Trustee may in its discretion but with  the consent of the Controlling Party and shall, at the direction of the  Controlling Party, proceed to protect and enforce its rights and the rights of  the Noteholders by such appropriate Proceedings as the Trustee or the  Controlling Party shall deem most effective to protect and enforce any such  rights, whether for the specific enforcement of any covenant or agreement in  this Indenture or in aid of the exercise of any power granted herein, or to  enforce any other proper remedy or legal or equitable right vested in the  Trustee by this Indenture or by law.

 

(d)      Notwithstanding  anything to the contrary contained in this Indenture (including, without  limitation, Sections 5.4(a), 5.12, 5.13 and 5.17), if the Issuer fails to  perform its obligations under Section 10.1(b) hereof when and as due, the  Trustee shall, at the written direction of the Controlling Party, or if an  Insurer Default shall have occurred and be continuing, at the written direction  of the Noteholders, proceed to protect and enforce its rights and the rights of  the Noteholders by such appropriate proceedings as the Controlling Party or the  Noteholders shall deem most effective to protect and enforce any such rights,  whether for specific performance of any covenant or agreement in this Indenture  or in aid of the exercise of any power granted herein, or to enforce any other  proper remedy or legal or equitable right vested in the Trustee by this  Indenture or by law.

 

(e)      In case there  shall be pending, relative to the Issuer or any other obligor upon the Notes or  any Person having or claiming an ownership interest in the Trust Estate,  proceedings under Title 11 of the United States Code or any other applicable  federal or State bankruptcy, insolvency or other similar law, or in case a  receiver, assignee or trustee in bankruptcy or reorganization, liquidator,  sequestrator or similar official shall have been appointed for or taken  possession of the Issuer or its property or such other obligor or Person, or in  case of any other comparable judicial proceedings relative to the Issuer or  other obligor upon the Notes, or to the creditors or property of the Issuer or  such other obligor, the Trustee, irrespective of whether the principal of any  Notes shall then be due and payable as therein expressed or by declaration or  otherwise and irrespective of whether
the Trustee shall have made any demand  pursuant to the provisions of this Section, shall be entitled and empowered, by  intervention in such proceedings or otherwise to, and may, with the Security  Insurer’s consent (so long as the Security Insurer is the Controlling Party)  and shall, at the direction of the Security Insurer (so long as the Security  Insurer is the Controlling Party): 

 

(i)      file  and prove a claim or claims for the whole amount of principal and interest  owing and unpaid in respect of the Notes and to file such other papers or  documents as may be necessary or advisable in order to have the claims of the  Trustee (including any claim for reasonable compensation to the Trustee and  each predecessor Trustee, and their respective agents, attorneys and counsel,  and for reimbursement of all expenses and liabilities incurred, and all  advances made, by the Trustee and each predecessor Trustee, except as a result  of negligence, bad faith or willful misconduct) and of the Noteholders allowed  in such proceedings;

 

(ii)     unless  prohibited by applicable law and regulations, vote on behalf of the Noteholders  in any election of a trustee, a standby trustee or person performing similar  functions in any such proceedings;

 

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(iii)    collect  and receive any moneys or other property payable or deliverable on any such  claims and to distribute all amounts received with respect to the claims of the  Noteholders and of the Trustee on their behalf; and 

 

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

 

and any trustee, receiver, liquidator, custodian or  other similar official in any such Proceeding is hereby authorized by each of  such Noteholders to make payments to the Trustee, and, in the event that the  Trustee shall consent to the making of payments directly to such Noteholders,  to pay to the Trustee such amounts as shall be sufficient to cover reasonable  compensation to the Trustee, each predecessor Trustee and their respective  agents, attorneys and counsel, and all other expenses and liabilities incurred,  and all advances made, by the Trustee and each predecessor Trustee except as a  result of negligence or bad faith.

 

(f)      Nothing herein  contained shall be deemed to authorize the Trustee to authorize or consent to  or vote for or accept or adopt on behalf of any Noteholder any plan of  reorganization, arrangement, adjustment or composition affecting the Notes or  the rights of any Holder thereof or to authorize the Trustee to vote in respect  of the claim of any Noteholder in any such Proceeding except, as aforesaid, to  vote for the election of a trustee in bankruptcy or similar person.

 

(g)     All rights of action  and of asserting claims under this Indenture, the Spread Account Agreement or  under any of the Notes, may be enforced by the Trustee without the possession  of any of the Notes or the production thereof in any trial or other proceedings  relative thereto, and any such action or Proceedings instituted by the Trustee  shall be brought in its own name as trustee of an express trust, and any  recovery of judgment, subject to the payment of the expenses, disbursements and  compensation of the Trustee, each predecessor Trustee and their respective  agents and attorneys, shall be for the ratable benefit of the Holders of the  Notes.

 

(h)     In any Proceedings  brought by the Trustee (and also any Proceedings involving the interpretation  of any provision of this Indenture or the Spread Account Agreement), the  Trustee shall be held to represent all the Holders of the Notes, and it shall  not be necessary to make any Noteholder a party to any such proceedings.

 

SECTION 5.4      Remedies.

 

(a)     If an Event of  Default shall have occurred and be continuing, the Controlling Party may do one  or more of the following (subject to Section 5.5): 

 

(i)      institute  Proceedings in its own name and as trustee of an express trust for the  collection of all amounts then payable on the Notes or under this Indenture  with respect thereto, whether by declaration or otherwise, enforce any judgment  obtained, and collect from the Issuer and any other obligor upon such Notes  moneys adjudged due; 

 

(ii)     institute  Proceedings from time to time for the complete or partial foreclosure of this  Indenture with respect to the Trust Estate; 

 

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(iii)    exercise  any remedies of a secured party under the UCC and take any other appropriate  action to protect and enforce the rights and remedies of the Trustee and the Holders  of the Notes; and 

 

(iv)    direct  the Trust Collateral Agent to sell the Trust Estate or any portion thereof or  rights or interest therein, at one or more public or private sales called and  conducted in any manner permitted by law; provided, however, that  if the Trustee is the Controlling Party, the Trustee may not sell or otherwise  liquidate the Trust Estate following an Event of Default unless:

 

(A)      such Event of  Default is of the type described in Section 5.1(i) or (ii); or 

 

(B)      either 

 

(x)      the Holders of  100% of the Outstanding Amount of the Notes consent thereto, or

 

(y)      the  proceeds of such sale or liquidation distributable to the Noteholders are  sufficient to discharge in full all amounts then due and unpaid upon such Notes  for principal and interest and amounts due to the Security Insurer, or 

 

(z)      the  Trustee determines that the Trust Estate will not continue to provide  sufficient funds for the payment of principal of and interest on the Notes as  they would have become due if the Notes had not been declared due and payable,  and the Trustee provides prior written notice to the Rating Agencies and  obtains the consent of Holders of 66-2/3% of the Outstanding Amount of the  Notes.

 

In determining such sufficiency or insufficiency with  respect to clause (y) and (z), the Trustee may, but need not, obtain and  conclusively rely upon an opinion of an Independent investment banking or  accounting firm of national reputation as to the feasibility of such proposed  action and as to the sufficiency of the Trust Estate for such purpose.

 

SECTION 5.5      Optional  Preservation of the Receivables.  If  the Trustee is the Controlling Party and if the Notes have been declared to be  due and payable under Section 5.2 following an Event of Default and such  declaration and its consequences have not been rescinded and annulled, the  Trustee may, but need not, elect to direct the Trust Collateral Agent to  maintain possession of the Trust Estate.   It is the desire of the parties hereto and the Noteholders that there be  at all times sufficient funds for the payment of principal of and interest on  the Notes and amounts due to the Security Insurer, and the Trustee shall take  such desire into account when determining whether or not to direct the Trust Collateral  Agent to maintain possession of the Trust Estate.  In determining whether to direct the Trust Collateral Agent to  maintain possession of the Trust Estate, the
Trustee may, but need not, obtain  and conclusively rely upon an opinion of an Independent investment banking or  accounting firm of national reputation as to the feasibility of such proposed  action and as to the sufficiency of the Trust Estate for such purpose.

 

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SECTION 5.6      Priorities.

 

(a)      Following (1)  the acceleration of the Notes pursuant to Section 5.2 or (2) if an Insurer  Default shall have occurred and be continuing, the occurrence of an Event of  Default pursuant to Section 5.1(i), 5.1(ii), 5.1(iv), 5.1(v) or 5.1(vi) of this  Indenture or (3) the receipt of Insolvency Proceeds pursuant to Section 10.1(b)  of the Sale and Servicing Agreement, the Distribution Amount, including any  money or property collected pursuant to Section 5.4 of this Indenture and any  such Insolvency Proceeds, shall be applied by the Trust Collateral Agent on the  related Distribution Date in the following order of priority: 

 

FIRST:      amounts  due and owing and required to be distributed to the Servicer (provided there is  no Servicer Event of Default), the Lockbox Bank, the Owner Trustee, the  Trustee, Back Up Servicer and the Trust Collateral Agent, respectively,  pursuant to priorities (i) and (ii) of Section 5.7(b) of the Sale and Servicing  Agreement and not previously distributed, in the order of such priorities as  set forth therein and without limitation, preference or priority of any kind  within such priorities;

 

SECOND:      to  Noteholders for amounts due and unpaid on the Notes for interest, ratably,  without preference or priority of any kind, according to the amounts due and  payable on the Notes for interest; 

 

THIRD:      to  Noteholders for amounts due and unpaid on the Notes for principal, ratably,  without preference or priority of any kind, according to the amounts due and  payable on the Notes for principal; 

 

FOURTH:      amounts  due and owing and required to be distributed to the Security Insurer pursuant  to priority (iv) or (viii) of Section 5.7(a) of the Sale and Servicing  Agreement and not previously distributed); and

 

FIFTH:      to  the Collateral Agent to be applied as provided in the Spread Account Agreement.

 

(b)      The Trustee may  fix a record date and payment date for any payment to Noteholders pursuant to  this Section 5.6.  At least 15 days  before such record date the Issuer shall mail to each Noteholder and the  Trustee a notice that states the record date, the payment date and the amount  to be paid.

 

SECTION 5.7      Limitation  of Suits.  No Holder of any Note  shall have any right to institute any proceeding, judicial or otherwise, with respect  to this Indenture, or for the appointment of a receiver or trustee, or for any  other remedy hereunder, unless:

 

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

 

(ii)     the  Holders of not less than 25% of the Outstanding Amount of the Notes have made  written request to the Trustee to institute such Proceeding in respect of such  Event of Default in its own name as Trustee hereunder; 

 

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(iii)    such  Holder or Holders have offered to the Trustee indemnity reasonably satisfactory  to it against the costs, expenses and liabilities to be incurred in complying  with such request;  

 

(iv)    the  Trustee for 60 days after its receipt of such notice, request and offer of  indemnity has failed to institute such Proceedings; 

 

(v)     no  direction inconsistent with such written request has been given to the Trustee  during such 60-day period by the Holders of a majority of the Outstanding  Amount of the Notes; and 

 

(vi)    an Insurer Default shall  have occurred and be continuing; 

 

it being understood and intended that no one or more Noteholders shall  have any right in any manner whatever by virtue of, or by availing of, any  provision of this Indenture to affect, disturb or prejudice the rights of any  other Noteholders or to obtain or to seek to obtain priority or preference over  any other Holders or to enforce any right under this Indenture, except in the  manner herein provided.

 

SECTION 5.8      Unconditional  Rights of Noteholders To Receive Principal and Interest.  Notwithstanding any other provisions in this  Indenture, the Holder of any Note shall have the right, which is absolute and  unconditional, to receive payment of the principal of and interest, if any, on  such Note on or after the respective due dates thereof expressed in such Note  or in this Indenture (or, in the case of redemption, on or after the Redemption  Date) and to institute suit for the enforcement of any such payment, and such  right shall not be impaired without the consent of such Holder.

 

SECTION 5.9      Restoration  of Rights and Remedies.  If the  Controlling Party or any Noteholder has instituted any Proceeding to enforce  any right or remedy under this Indenture and such proceeding has been  discontinued or abandoned for any reason or has been determined adversely to  the Trustee or to such Noteholder, then and in every such case the Issuer, the  Trustee and the Noteholders shall, subject to any determination in such  Proceeding, be restored severally and respectively to their former positions  hereunder, and thereafter all rights and remedies of the Trustee and the  Noteholders shall continue as though no such Proceeding had been instituted.

 

SECTION 5.10      Rights  and Remedies Cumulative.  No right  or remedy herein conferred upon or reserved to the Controlling Party or to the  Noteholders is intended to be exclusive of any other right or remedy, and every  right and remedy shall, to the extent permitted by law, be cumulative and in  addition to every other right and remedy given hereunder or now or hereafter  existing at law or in equity or otherwise.   The assertion or employment of any right or remedy hereunder, or  otherwise, shall not prevent the concurrent assertion or employment of any  other appropriate right or remedy.

 

SECTION 5.11      Delay  or Omission Not a Waiver.  No delay  or omission of the Trustee, the Controlling Party, the Security Insurer or any  Holder of any Note to exercise any right or remedy accruing upon any Default or  Event of Default shall impair any such right or remedy or constitute a waiver  of any such Default or Event of Default or an acquiescence

 

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 therein.  Every right and remedy given by this Article  V or by law to the Trustee or to the Noteholders may be exercised from time to  time, and as often as may be deemed expedient, by the Trustee or by the  Noteholders, as the case may be.

 

SECTION 5.12      Control  by Noteholders.  If the Trustee is  the Controlling Party, the Holders of a majority of the Outstanding Amount of  the Notes shall have the right to direct the time, method and place of  conducting any Proceeding for any remedy available to the Trustee with respect  to the Notes or exercising any trust or power conferred on the Trustee;  provided that 

 

(i)      such direction  shall not be in conflict with any rule of law or with this Indenture; 

 

(ii)      subject  to the express terms of Section 5.4, any direction to the Trustee to sell or  liquidate the Trust Estate shall be by the Noteholders representing not less  than 100% of the Outstanding Amount of the Notes; 

 

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

 

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

 

provided, however, that,  subject to Article VI, the Trustee need not take any action that it determines  might involve it in liability, financial or otherwise, without receiving  indemnity satisfactory to it, or might materially adversely affect the rights  of any Noteholders not consenting to such action.

 

SECTION 5.13      Waiver  of Past Defaults.  Prior to the  declaration of the acceleration of the maturity of the Notes as provided in  Section 5.4, the Security Insurer or, if an Insurer Default shall have occurred  and be continuing, the Noteholders of not less than a majority of the  Outstanding Amount of the Notes may waive any past Default or Event of Default  and its consequences except a Default (a) in payment of principal of or  interest on any of the Notes or (b) in respect of a covenant or provision  hereof which cannot be modified or amended without the consent of the Holder of  each Note.  In the case of any such waiver,  the Issuer, the Trustee and the Holders of the Notes shall be restored to their  former positions and rights hereunder, respectively; but no such waiver shall  extend to any subsequent or other Default or impair any right consequent  thereto.

 

Upon any such waiver, such Default shall cease to exist  and be deemed to have been cured and not to have occurred, and any Event of  Default arising therefrom shall be deemed to have been cured and not to have  occurred, for every purpose of this Indenture; but no such waiver shall extend  to any subsequent or other Default or Event of Default or impair any right  consequent thereto.

 

SECTION 5.14      Undertaking  for Costs.  All parties to this  Indenture agree, and each Holder of any Note by such Holder’s acceptance  thereof shall be deemed to have agreed,

 

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that any court may in its discretion require, in any suit for the  enforcement of any right or remedy under this Indenture, or in any suit against  the Trustee for any action taken, suffered or omitted by it as Trustee, the  filing by any party litigant in such suit of an undertaking to pay the costs of  such suit, and that such court may in its discretion assess reasonable costs  and expenses, including reasonable attorneys’ fees and expenses, against any  party litigant in such suit, having due regard to the merits and good faith of  the claims or defenses made by such party litigant; but the provisions of this  Section shall not apply to (a) any suit instituted by the Trustee or the  Controlling Party, (b) any suit instituted by any Noteholder, or group of  Noteholders, in each case holding in the aggregate more than 10% of the  Outstanding Amount of the Notes or (c) any suit instituted by any Noteholder  for the enforcement of the payment of
principal of or interest on any Note on  or after the respective due dates expressed in such Note and in this Indenture  (or, in the case of redemption, on or after the Redemption Date).

 

SECTION 5.15      Waiver  of Stay or Extension Laws.  The  Issuer covenants (to the extent that it may lawfully do so) that it will not at  any time insist upon, or plead or in any manner whatsoever, claim or take the  benefit or advantage of, any stay or extension law wherever enacted, now or at  any time hereafter in force, that may affect the covenants or the performance  of this Indenture; and the Issuer (to the extent that it may lawfully do so)  hereby expressly waives all benefit or advantage of any such law, and covenants  that it will not hinder, delay or impede the execution of any power herein granted  to the Trustee, but will suffer and permit the execution of every such power as  though no such law had been enacted.

 

SECTION 5.16      Action  on Notes.  The Trustee’s right to  seek and recover judgment on the Notes or under this Indenture shall not be  affected by the seeking, obtaining or application of any other relief under or  with respect to this Indenture.  Neither  the lien of this Indenture nor any rights or remedies of the Trustee or the  Noteholders shall be impaired by the recovery of any judgment by the Trustee  against the Issuer or by the levy of any execution under such judgment upon any  portion of the Trust Estate or upon any of the assets of the Issuer.

 

SECTION 5.17      Performance  and Enforcement of Certain Obligations.

 

(a)      Promptly  following a request from the Trustee to do so and at the Servicer’s expense,  the Issuer agrees to take all such lawful action as the Trustee may request to  compel or secure the performance and observance by the Seller and the Servicer,  as applicable, of each of their obligations to the Issuer under or in  connection with the Sale and Servicing Agreement in accordance with the terms  thereof, and to exercise any and all rights, remedies, powers and privileges  lawfully available to the Issuer under or in connection with the Sale and  Servicing Agreement to the extent and in the manner directed by the Trustee,  including the transmission of notices of default on the part of the Seller or  the Servicer thereunder and the institution of legal or administrative actions  or Proceedings to compel or secure performance by the Seller or the Servicer of  each of their obligations under
the Sale and Servicing Agreement.

 

(b)      If the Trustee  is a Controlling Party and if an Event of Default has occurred and is  continuing, the Trustee may, and, at the written direction of the Holders of  66-2/3% of the Outstanding Amount of the Notes shall, subject to Article VI,  exercise all rights, remedies, powers, privileges and claims of the Issuer  against the Seller or the Servicer under or in connection with the Sale and  Servicing Agreement, including the right or power to take any 

 

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action to compel or secure performance or observance  by the Seller or the Servicer of each of their obligations to the Issuer  thereunder and to give any consent, request, notice, direction, approval,  extension or waiver under the Sale and Servicing Agreement, and any right of  the Issuer to take such action shall be suspended.

 

ARTICLE VI

 

The Trustee and  the Trust Collateral Agent

 

SECTION 6.1      Duties  of Trustee.

 

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

 

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

 

(i)      the  Trustee undertakes to perform such duties and only such duties as are  specifically set forth in this Indenture and no implied covenants or  obligations shall be read into this Indenture against the Trustee; and

 

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

 

(c)      The Trustee may  not be relieved from liability for its own negligent action, its own negligent  failure to act or its own willful misconduct, except that:

 

(i)      this  paragraph does not limit the effect of paragraph (b) of this Section;

 

(ii)     the Trustee shall not be liable for  any error of judgment made in good faith by a Responsible Officer unless it is  proved that the Trustee was negligent in ascertaining the pertinent facts; and

 

(iii)    the  Trustee shall not be liable with respect to any action it takes or omits to  take in good faith in accordance with a direction received by it pursuant to  Section 5.12.

 

(d)     The Trustee shall not  be liable for interest on any money received by it except as the Trustee may  agree in writing with the Issuer.

 

(e)     Money held in trust  by the Trustee need not be segregated from other funds except to the extent  required by law or the terms of this Indenture or the Sale and Servicing  Agreement.

 

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(f)     No provision of this  Indenture shall require the Trustee to expend or risk its own funds or  otherwise incur financial liability in the performance of any of its duties  hereunder or in the exercise of any of its rights or powers, if it shall have  reasonable grounds to believe that repayment of such funds or indemnity  reasonably satisfactory to it against such risk or liability is not assured to  it.

 

(g)    Every provision of this  Indenture relating to the conduct or affecting the liability of or affording  protection to the Trustee shall be subject to the provisions of this Section  6.1 and to the provisions of the TIA.

 

(h)    The Trustee shall, upon two  Business Days’ prior notice to the Trustee, permit any representative of the  Security Insurer at the expense of the Trust, during the Trustee’s normal  business hours, to examine all books of account, records, reports and other papers  of the Trustee relating to the Notes, to make copies and extracts therefrom and  to discuss the Trustee’s affairs and actions, as such affairs and actions  relate to the Trustee’s duties with respect to the Notes, with the Trustee’s  officers and employees responsible for carrying out the Trustee’s duties with  respect to the Notes.

 

(i)     The Trustee shall,  and hereby agrees that it will, perform all of the obligations and duties  required of it under the Sale and Servicing Agreement.

 

(j)     The Trustee shall,  and hereby agrees that it will, hold the Note Policy in trust, and will hold  any proceeds of any claim on the Note Policy in trust solely for the use and  benefit of the Noteholders.

 

(k)    Without limiting the  generality of this Section 6.1, the Trustee shall have no duty (i) to see to  any recording, filing or depositing of this Indenture or any agreement referred  to herein or any financing statement evidencing a security interest in the  Financed Vehicles, or to see to the maintenance of any such recording or filing  or depositing or to any recording, refiling or redepositing of any thereof,  (ii) to see to any insurance of the Financed Vehicles or Obligors or to effect  or maintain any such insurance, (iii) to see to the payment or discharge of any  tax, assessment or other governmental charge or any Lien or encumbrance of any  kind owing with respect to, assessed or levied against any part of the Trust,  (iv) to confirm or verify the contents of any reports or certificates delivered  to the Trustee pursuant to this Indenture or the Sale and Servicing Agreement  believed by the Trustee to
be genuine and to have been signed or presented by  the proper party or parties, or (v) to inspect the Financed Vehicles at any  time or ascertain or inquire as to the performance of observance of any of the  Issuer’s, the Seller’s or the Servicer’s representations, warranties or  covenants or the Servicer’s duties and obligations as Servicer and as custodian  of the Receivable Files under the Sale and Servicing Agreement.

 

(l)     In no event shall  Wells Fargo Bank, National Association, in any of its capacities hereunder, be  deemed to have assumed any duties of the Owner Trustee under the Delaware  Statutory Trust Statute, common law, or the Trust Agreement.

 

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SECTION 6.2      Rights  of Trustee.

 

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

 

(b)    Before the Trustee acts or  refrains from acting, it may require an Officer’s Certificate or an Opinion of  Counsel.  The Trustee shall not be  liable for any action it takes or omits to take in good faith in reliance on  the Officer’s Certificate or Opinion of Counsel.

 

(c)    The Trustee may execute any  of the trusts or powers hereunder or perform any duties hereunder either  directly or by or through agents or attorneys or a custodian or nominee, and  the Trustee shall not be responsible for any misconduct or negligence on the  part of, or for the supervision of, AmeriCredit Financial Services, Inc., or  any other such agent, attorney, custodian or nominee appointed with due care by  it hereunder.

 

(d)    The Trustee shall not be  liable for any action it takes or omits to take in good faith which it believes  to be authorized or within its rights or powers; provided, however,  that the Trustee’s conduct does not constitute willful misconduct, negligence  or bad faith.

 

(e)    The Trustee may consult  with counsel, and the advice or opinion of counsel with respect to legal  matters relating to this Indenture and the Notes shall be full and complete  authorization and protection from liability in respect to any action taken,  omitted or suffered by it hereunder in good faith and in accordance with the  advice or opinion of such counsel.

 

(f)     The Trustee shall be  under no obligation to institute, conduct or defend any litigation under this  Indenture or in relation to this Indenture, at the request, order or direction  of any of the Noteholders or the Controlling Party, pursuant to the provisions  of this Indenture, unless such Noteholders or the Controlling Party shall have  offered to the Trustee reasonable security or indemnity against the costs,  expenses and liabilities that may be incurred therein or thereby; provided,  however, that the Trustee shall, upon the occurrence of an Event of  Default (that has not been cured), exercise the rights and powers vested in it  by this Indenture with reasonable care and skill.

 

(g)     The Trustee shall not  be bound to make any investigation into the facts or matters stated in any  resolution, certificate, statement, instrument, opinion, report, notice,  request, consent, order, approval, bond or other paper or document, unless  requested in writing to do so by the Security Insurer (so long as no Insurer  Default shall have occurred and be continuing) or (if an Insurer Default shall  have occurred and be continuing) by the Noteholders evidencing not less than  25% of the Outstanding Amount thereof; provided, however, that if  the payment within a reasonable time to the Trustee of the costs, expenses or  liabilities likely to be incurred by it in the making of such investigation is,  in the opinion of the Trustee, not reasonably assured to the Trustee by the  security afforded to it by the terms of this Indenture or the Sale and  Servicing Agreement, the Trustee may
require reasonable indemnity against such  cost, expense or liability as a condition to so proceeding; the reasonable  expense of every such examination 

 

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shall be paid by the Person making such request, or, if paid by the  Trustee, shall be reimbursed by the Person making such request upon demand.

 

(h)     The Trustee shall not  be liable for any losses on investments except for losses resulting from the  failure of the Trustee to make an investment in accordance with instructions  given in accordance hereunder.  If the  Trustee acts as the Note Paying Agent or Note Registrar, the rights and  protections afforded to the Trustee shall be afforded to the Note Paying Agent  and Note Registrar.

 

SECTION 6.3      Individual  Rights of Trustee.  The Trustee in  its individual or any other capacity may become the owner or pledgee of Notes  and may otherwise deal with the Issuer or its Affiliates with the same rights  it would have if it were not Trustee.   Any Note Paying Agent, Note Registrar, co-registrar or co-Note Paying  Agent may do the same with like rights.   However, the Trustee must comply with Sections 6.11 and 6.12.

 

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

 

SECTION 6.5      Notice  of Defaults.  If an Event of Default  occurs and is continuing and if it is either known by, or written notice of the  existence thereof has been delivered to, a Responsible Officer of the Trustee,  the Trustee shall mail to each Noteholder and the Security Insurer notice of  the Default within 90 days after such knowledge or notice occurs.  Except in the case of a Default in payment  of principal of or interest on any Note (including payments pursuant to the  mandatory redemption provisions of such Note), the Trustee may withhold the  notice if and so long as it in good faith determines that withholding the  notice is in the interests of Noteholders and the Security Insurer.

 

SECTION 6.6      Reports  by Trustee to Holders.  The Trustee  shall deliver to each Noteholder such information as may be reasonably required  to enable such Holder to prepare its federal and state income tax returns.

 

SECTION 6.7      Compensation  and Indemnity.

 

(a)      Pursuant to  Section 5.7(b) of the Sale and Servicing Agreement, the Issuer shall, or shall  cause the Servicer to, pay to the Trustee from time to time compensation for  its services.  The Trustee’s  compensation shall not be limited by any law on compensation of a trustee of an  express trust.  The Issuer shall cause  the Servicer to reimburse the Trustee and the Trust Collateral Agent for all  reasonable out-of-pocket expenses incurred or made by it, including costs of  collection, in addition to the compensation for its services.  Such expenses shall include the reasonable  compensation and expenses, disbursements and advances of the Trustee’s, the  Backup Servicer’s, the Collateral Agent’s and the Trust Collateral Agent’s  agents, counsel, accountants and experts.   The Issuer shall cause the Servicer to indemnify the Trustee, the Trust
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any and all loss, liability or expense (including attorneys’ fees and  expenses) incurred by each of them in connection with the acceptance or the  administration of this Trust and the performance of its duties hereunder.  The Trustee, Trust Collateral Agent, the  Collateral Agent or the Backup Servicer shall notify the Issuer and the  Servicer promptly of any claim for which it may seek indemnity.  Failure by the Trustee or Trust Collateral  Agent to so notify the Issuer and the Servicer shall not relieve the Issuer of  its obligations hereunder or the Servicer of its obligations under Article XI  of the Sale and Servicing Agreement.   The Issuer shall cause the Servicer to defend the claim, and the  Trustee, Trust Collateral Agent, the Collateral Agent or the Backup Servicer  may have separate counsel and the Issuer shall cause the Servicer to pay the  fees and expenses of such counsel.   Neither the Issuer nor the Servicer need
reimburse any expense or  indemnify against any loss, liability or expense incurred by the Trustee or  Trust Collateral Agent through the Trustee’s or Trust Collateral Agent’s own  willful misconduct, negligence or bad faith.

 

(b)      The Issuer’s  payment obligations to the Trustee pursuant to this Section shall survive the  discharge of this Indenture or the earlier resignation or removal of the  Trustee or the Trust Collateral Agent or the Collateral Agent or the Backup  Servicer.  When the Trustee, the Trust  Collateral Agent, the Collateral Agent or the Backup Servicer incurs expenses  after the occurrence of a Default specified in Section 5.1(v) or (vi) with  respect to the Issuer, the expenses are intended to constitute expenses of  administration under Title 11 of the United States Code or any other applicable  federal or State bankruptcy, insolvency or similar law.  Notwithstanding anything else set forth in  this Indenture or the Basic Documents, the Trustee agrees that the obligations  of the Issuer (but not the Servicer) to the Trustee hereunder and under the  Basic Documents shall be recourse to the
Trust Estate only and specifically  shall not be recourse to the assets of the Certificateholder or any  Noteholder.  In addition, the Trustee  agrees that its recourse to the Issuer, the Trust Estate, the Seller and  amounts held pursuant of the Spread Account Agreement shall be limited to the  right to receive the distributions referred to in Section 5.7(a) of the Sale  and Servicing Agreement.

 

SECTION 6.8      Replacement  of Trustee.  The Trustee may resign  at any time by so notifying the Issuer and the Security Insurer.  The Issuer may and, at the request of the Security  Insurer (unless an Insurer Default shall have occurred and be continuing)  shall, remove the Trustee, if:

 

(i)      the Trustee  fails to comply with Section 6.11;

 

(ii)      a  court having jurisdiction in the premises in respect of the Trustee in an  involuntary case or proceeding under federal or State banking or bankruptcy  laws, as now or hereafter constituted, or any other applicable federal or State  bankruptcy, insolvency or other similar law, shall have entered a decree or  order granting relief or appointing a receiver, liquidator, assignee,  custodian, trustee, conservator, sequestrator (or similar official) for the  Trustee or for any substantial part of the Trustee’s property, or ordering the  winding-up or liquidation of the Trustee’s affairs;

 

(iii)      an  involuntary case under the federal bankruptcy laws, as now or hereafter in  effect, or another present or future federal or State bankruptcy, insolvency or  similar law is commenced with respect to the Trustee and such case is not  dismissed within 60 days;

 

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(iv)      the  Trustee commences a voluntary case under any federal or state banking or  bankruptcy laws, as now or hereafter constituted, or any other applicable  federal or State bankruptcy, insolvency or other similar law, or consents to  the appointment of or taking possession by a receiver, liquidator, assignee,  custodian, trustee, conservator, sequestrator (or other similar official) for  the Trustee or for any substantial part of the Trustee’s property, or makes any  assignment for the benefit of creditors or fails generally to pay its debts as  such debts become due or takes any action in furtherance of any of the  foregoing; or

 

(v)      the Trustee  otherwise becomes incapable of acting.

 

If the Trustee resigns or is removed or if a vacancy  exists in the office of Trustee for any reason (the Trustee in such event being  referred to herein as the retiring Trustee), the Issuer (A) shall promptly  appoint a successor Trustee acceptable to the Security Insurer (so long as an  Insurer Default shall not have occurred and be continuing) and (B) shall  promptly (but in no instance later than 30 days after the resignation or  removal of the Trustee or vacancy of such office becomes effective unless the  Security Insurer (so long as an Insurer Default shall not have occurred and be  continuing) has approved a longer period) transfer all Trust Accounts to an  institution that meets the eligibility requirements set forth in Section 6.11.  If the Issuer fails to appoint such a  successor Trustee, the Security Insurer may appoint a successor Trustee.

 

A successor Trustee shall deliver a written acceptance  of its appointment to the retiring Trustee, the Security Insurer (provided that  no Insurer Default shall have occurred and be continuing) and to the  Issuer.  Thereupon the resignation or  removal of the retiring Trustee shall become effective, and the successor  Trustee shall have all the rights, powers and duties of the retiring Trustee  under this Indenture subject to satisfaction of the Rating Agency  Condition.  The successor Trustee shall  mail a notice of its succession to Noteholders.  The retiring Trustee shall promptly transfer all property held by  it as Trustee to the successor Trustee.

 

If a successor Trustee does not take office within 60  days after the retiring Trustee resigns or is removed, the retiring Trustee,  the Issuer, the Security Insurer or the Holders of a majority in Outstanding  Amount of the Notes may petition any court of competent jurisdiction for the  appointment of a successor Trustee.

 

If the Trustee fails to comply with Section 6.11, any  Noteholder (with the prior written consent of the Security Insurer) may  petition any court of competent jurisdiction for the removal of the Trustee and  the appointment of a successor Trustee.

 

Any resignation or removal of the Trustee and  appointment of a successor Trustee pursuant to any of the provisions of this  Section shall not become effective until acceptance of appointment by the  successor Trustee pursuant to Section 6.8 and payment of all fees and expenses  owed to the outgoing Trustee.

 

Notwithstanding the replacement of the Trustee  pursuant to this Section, the Issuer’s and the Servicer’s obligations under  Section 6.7 shall continue for the benefit of the retiring Trustee.

 

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SECTION 6.9      Successor  Trustee by Merger.  If the Trustee  consolidates with, merges or converts into, or transfers all or substantially  all its corporate trust business or assets to, another corporation or banking  association, the resulting, surviving or transferee corporation or banking  association, without any further act, shall be the successor Trustee; provided,  that the surviving corporation or banking association must satisfy the eligibility  criteria set forth in Section 6.11.  The  Trustee shall provide the Rating Agencies and the Security Insurer prior  written notice of any such transaction.

 

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

 

SECTION 6.10      Appointment  of Co-Trustee or Separate Trustee.

 

(a)     Notwithstanding any  other provisions of this Indenture, at any time, for the purpose of meeting any  legal requirement of any jurisdiction in which any part of the Trust may at the  time be located, the Trustee with the consent of the Security Insurer (so long  as an Insurer Default shall not have occurred and be continuing) shall have the  power and may execute and deliver all instruments to appoint one or more  Persons to act as a co-trustee or co-trustees, or separate trustee or separate  trustees, of all or any part of the Trust, and to vest in such Person or  Persons, in such capacity and for the benefit of the Noteholders, such title to  the Trust, or any part hereof, and, subject to the other provisions of this  Section, such powers, duties, obligations, rights and trusts as the Trustee may  consider necessary or desirable.  No  co-trustee or separate trustee hereunder shall be required to
meet the terms of  eligibility as a successor trustee under Section 6.11 and no notice to  Noteholders of the appointment of any co-trustee or separate trustee shall be  required under Section 6.8 hereof.

 

(b)     Every separate  trustee and co-trustee shall, to the extent permitted by law, be appointed and  act subject to the following provisions and conditions:

 

(i)      all  rights, powers, duties and obligations conferred or imposed upon the Trustee  shall be conferred or imposed upon and exercised or performed by the Trustee  and such separate trustee or co-trustee jointly (it being understood that such  separate trustee or co-trustee is not authorized to act separately without the  Trustee joining in such act), except to the extent that under any law of any  jurisdiction in which any particular act or acts are to be performed the  Trustee shall be incompetent or unqualified to perform such act or acts, in  which event such rights, powers, duties and obligations (including the holding  of title to the Trust or any portion thereof in any such jurisdiction) shall be  exercised and performed singly by such separate trustee or co-trustee, but solely  at the direction of the Trustee;

 

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(ii)     no  trustee hereunder shall be personally liable by reason of any act or omission  of any other trustee hereunder, including acts or omissions of predecessor or successor  trustees; and

 

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

 

(c)     Any notice, request  or other writing given to the Trustee shall be deemed to have been given to  each of the then separate trustees and co-trustees, as effectively as if given  to each of them.  Every instrument  appointing any separate trustee or co-trustee shall refer to this Indenture and  the conditions of this Article VI.  Each  separate trustee and co-trustee, upon its acceptance of the trusts conferred,  shall be vested with the estates or property specified in its instrument of  appointment, either jointly with the Trustee or separately, as may be provided  therein, subject to all the provisions of this Indenture, specifically  including every provision of this Indenture relating to the conduct of,  affecting the liability of, or affording protection to, the Trustee.  Every such instrument shall be filed with  the Trustee.

 

(d)     Any separate trustee  or co-trustee may at any time constitute the Trustee, its agent or  attorney-in-fact with full power and authority, to the extent not prohibited by  law, to do any lawful act under or in respect of this Indenture on its behalf  and in its name.  If any separate  trustee or co-trustee shall die, dissolve, become insolvent, become incapable  of acting, resign or be removed, all of its estates, properties, rights,  remedies and trusts shall invest in and be exercised by the Trustee, to the  extent permitted by law, without the appointment of a new or successor trustee.

 

(e)     Any and all amounts  relating to the fees and expenses of the co-trustee or separate trustee will be  borne by the Trust Estate.

 

SECTION 6.11      Eligibility:  Disqualification.  The Trustee shall  at all times satisfy the requirements of TIA § 310(a).  The Trustee shall have a combined capital  and surplus of at least $50,000,000 as set forth in its most recent published  annual report of condition and it shall have a long term debt rating of BBB-,  or an equivalent rating, or better by the Rating Agencies.  The Trustee shall provide copies of such  reports to the Security Insurer upon request.   The Trustee shall comply with TIA § 310(b), including the optional  provision permitted by the second sentence of TIA § 310(b)(9); provided,  however, that there shall be excluded from the operation of TIA  § 310(b)(1) any indenture or indentures under which other securities of  the Issuer are outstanding if the requirements for such exclusion set forth in
TIA § 310(b)(1) are met.

 

SECTION 6.12      Preferential  Collection of Claims Against Issuer.   The Trustee shall comply with TIA § 311(a), excluding any creditor  relationship listed in TIA § 311(b).   A Trustee who has resigned or been removed shall be subject to TIA  § 311(a) to the extent indicated.

 

SECTION 6.13      Appointment  and Powers.  Subject to the terms  and conditions hereof, each of the Issuer Secured Parties hereby appoints Wells  Fargo Bank, National Association, as the Trust Collateral Agent with respect to  the Collateral, and Wells Fargo Bank, National Association hereby accepts such  appointment and agrees to act as Trust Collateral 

 

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Agent with respect to the Collateral for the Issuer Secured Parties, to  maintain custody and possession of such Collateral (except as otherwise  provided hereunder) and to perform the other duties of the Trust Collateral  Agent in accordance with the provisions of this Indenture and the other Basic  Documents.  Each Issuer Secured Party  hereby authorizes the Trust Collateral Agent to take such action on its behalf,  and to exercise such rights, remedies, powers and privileges hereunder, as the  Controlling Party may direct and as are specifically authorized to be exercised  by the Trust Collateral Agent by the terms hereof, together with such actions,  rights, remedies, powers and privileges as are reasonably incidental thereto,  including, but not limited to, the execution of any powers of attorney.  The Trust Collateral Agent shall act upon  and in compliance with the written instructions of the Controlling Party  delivered pursuant to this
Indenture promptly following receipt of such written  instructions; provided that the Trust Collateral Agent shall not act in  accordance with any instructions (i) which are not authorized by, or in  violation of the provisions of, this Indenture, (ii) which are in violation of  any applicable law, rule or regulation or (iii) for which the Trust Collateral  Agent has not received reasonable indemnity.   Receipt of such instructions shall not be a condition to the exercise by  the Trust Collateral Agent of its express duties hereunder, except where this  Indenture provides that the Trust Collateral Agent is permitted to act only  following and in accordance with such instructions.

 

SECTION 6.14      Performance  of Duties.  The Trust Collateral  Agent shall have no duties or responsibilities except those expressly set forth  in this Indenture and the other Basic Documents to which the Trust Collateral  Agent is a party or as directed by the Controlling Party in accordance with  this Indenture.  The Trust Collateral  Agent shall not be required to take any discretionary actions hereunder except  at the written direction and with the indemnification of the Controlling  Party.  The Trust Collateral Agent  shall, and hereby agrees that it will, subject to this Article, perform all of  the duties and obligations required of it under the Sale and Servicing  Agreement.

 

SECTION 6.15      Limitation  on Liability.  Neither the Trust  Collateral Agent nor any of its directors, officers or employees shall be  liable for any action taken or omitted to be taken by it or them hereunder, or  in connection herewith, except that the Trust Collateral Agent shall be liable  for its negligence, bad faith or willful misconduct; nor shall the Trust  Collateral Agent be responsible for the validity, effectiveness, value,  sufficiency or enforceability against the Issuer of this Indenture or any of  the Collateral (or any part thereof).   Notwithstanding any term or provision of this Indenture, the Trust  Collateral Agent shall incur no liability to the Issuer or the Issuer Secured  Parties for any action taken or omitted by the Trust Collateral Agent in  connection with the Collateral, except for the negligence, bad faith or willful  misconduct on the part of the Trust
Collateral Agent, and, further, shall incur  no liability to the Issuer Secured Parties except for negligence, bad faith or  willful misconduct in carrying out its duties to the Issuer Secured Parties.  The Trust Collateral Agent shall be  protected and shall incur no liability to any such party in relying upon the  accuracy, acting in reliance upon the contents, and assuming the genuineness of  any notice, demand, certificate, signature, instrument or other document reasonably  believed by the Trust Collateral Agent to be genuine and to have been duly  executed by the appropriate signatory, and (absent actual knowledge to the  contrary by a Responsible Officer of the Trust Collateral Agent) the Trust  Collateral Agent shall not be required to make any independent investigation  with respect thereto.  The Trust  Collateral Agent shall at all times be free independently to establish to its  reasonable satisfaction, but shall have 

 

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no duty to independently verify, the existence or nonexistence of facts  that are a condition to the exercise or enforcement of any right or remedy  hereunder or under any of the Basic Documents.   The Trust Collateral Agent may consult with counsel, and shall not be  liable for any action taken or omitted to be taken by it hereunder in good  faith and in accordance with the advice of such counsel.  The Trust Collateral Agent shall not be  under any obligation to exercise any of the remedial rights or powers vested in  it by this Indenture or to follow any direction from the Controlling Party or  risk its own funds or otherwise incur financial liability in the performance of  any of its duties hereunder unless it shall have received reasonable security  or indemnity satisfactory to the Trust Collateral Agent against the costs,  expenses and liabilities which might be incurred by it.

 

SECTION 6.16      Reliance  Upon Documents.  In the absence of  negligence, bad faith or willful misconduct on its part, the Trust Collateral  Agent shall be entitled to conclusively rely on any communication, instrument,  paper or other document reasonably believed by it to be genuine and correct and  to have been signed or sent by the proper Person or Persons and shall have no  liability in acting, or omitting to act, where such action or omission to act  is in reasonable reliance upon any statement or opinion contained in any such  document or instrument.

 

SECTION 6.17      Successor  Trust Collateral Agent.

 

(a)      Merger.  Any Person into which the Trust Collateral  Agent may be converted or merged, or with which it may be consolidated, or to  which it may sell or transfer its trust business and assets as a whole or  substantially as a whole, or any Person resulting from any such conversion, merger,  consolidation, sale or transfer to which the Trust Collateral Agent is a party,  shall (provided it is otherwise qualified to serve as the Trust Collateral  Agent hereunder) be and become a successor Trust Collateral Agent hereunder and  be vested with all of the title to and interest in the Collateral and all of  the trusts, powers, discretions, immunities, privileges and other matters as  was its predecessor without the execution or filing of any instrument or any  further act, deed or conveyance on the part of any of the parties hereto,  anything herein to the contrary notwithstanding, except to
the extent, if any,  that any such action is necessary to perfect, or continue the perfection of,  the security interest of the Issuer Secured Parties in the Collateral; provided  that any such successor shall also be the successor Trustee under Section 6.9.

 

(b)      Resignation.  The Trust Collateral Agent and any successor  Trust Collateral Agent may resign at any time by so notifying the Issuer and  the Security Insurer; provided that the Trust Collateral Agent shall not so  resign unless it shall also resign as Trustee hereunder.

 

(c)      Removal.  The Trust Collateral Agent may be removed by  the Controlling Party at any time (and should be removed at any time that the  Trustee has been removed), with or without cause, by an instrument or  concurrent instruments in writing delivered to the Trust Collateral Agent, the  other Issuer Secured Party and the Issuer.   A temporary successor may be removed at any time to allow a successor  Trust Collateral Agent to be appointed pursuant to subsection (d) below.  Any removal pursuant to the provisions of  this subsection (c) shall take effect only upon the date which is the latest of  (i) the effective date of the appointment of a successor Trust Collateral Agent  and the acceptance in writing by such successor Trust 

 

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Collateral Agent of such appointment and of its obligation to perform  its duties hereunder in accordance with the provisions hereof, and (ii) receipt  by the Controlling Party of an Opinion of Counsel to the effect described in  Section 3.6.

 

(d)      Acceptance  by Successor.  The Controlling Party  shall have the sole right to appoint each successor Trust Collateral  Agent.  Every temporary or permanent  successor Trust Collateral Agent appointed hereunder shall execute, acknowledge  and deliver to its predecessor and to the Trustee, each Issuer Secured Party  and the Issuer an instrument in writing accepting such appointment hereunder  and the relevant predecessor shall execute, acknowledge and deliver such other  documents and instruments as will effectuate the delivery of all Collateral to  the successor Trust Collateral Agent, whereupon such successor, without any  further act, deed or conveyance, shall become fully vested with all the  estates, properties, rights, powers, duties and obligations of its  predecessor.  Such predecessor shall,  nevertheless, on the written request of either Issuer Secured Party or the
Issuer, execute and deliver an instrument transferring to such successor all  the estates, properties, rights and powers of such predecessor hereunder.  In the event that any instrument in writing  from the Issuer or an Issuer Secured Party is reasonably required by a successor  Trust Collateral Agent to more fully and certainly vest in such successor the  estates, properties, rights, powers, duties and obligations vested or intended  to be vested hereunder in the Trust Collateral Agent, any and all such written  instruments shall, at the request of the temporary or permanent successor Trust  Collateral Agent, be forthwith executed, acknowledged and delivered by the  Trustee or the Issuer, as the case may be.   The designation of any successor Trust Collateral Agent and the  instrument or instruments removing any Trust Collateral Agent and appointing a  successor hereunder, together with all other instruments provided for herein,  shall be maintained with the records relating to the
Collateral and, to the  extent required by applicable law, filed or recorded by the successor Trust  Collateral Agent in each place where such filing or recording is necessary to  effect the transfer of the Collateral to the successor Trust Collateral Agent  or to protect or continue the perfection of the security interests granted  hereunder.

 

SECTION 6.18      Compensation.  The Trust Collateral Agent shall not be  entitled to any compensation for the performance of its duties hereunder other  than the compensation it is entitled to receive in its capacity as Trustee.

 

SECTION 6.19      Representations  and Warranties of the Trust Collateral Agent and the Issuer. (A) The Trust  Collateral Agent represents and warrants to the Issuer and to each Issuer  Secured Party as follows:

 

(a)      Due  Organization.  The Trust Collateral  Agent is a national banking association and is duly authorized and licensed  under applicable law to conduct its business as presently conducted.

 

(b)      Corporate  Power.  The Trust Collateral Agent  has all requisite right, power and authority to execute and deliver this  Indenture and to perform all of its duties as Trust Collateral Agent hereunder.

 

(c)      Due  Authorization.  The execution and  delivery by the Trust Collateral Agent of this Indenture and the other  Transaction Documents to which it is a party, and the 

 

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performance by the Trust Collateral Agent of its duties hereunder and  thereunder, have been duly authorized by all necessary corporate proceedings  and no further approvals or filings, including any governmental approvals, are  required for the valid execution and delivery by the Trust Collateral Agent, or  the performance by the Trust Collateral Agent, of this Indenture and such other  Basic Documents.

 

(d)      Valid and  Binding Indenture.  The Trust  Collateral Agent has duly executed and delivered this Indenture and each other  Basic Document to which it is a party, and each of this Indenture and each such  other Basic Document constitutes the legal, valid and binding obligation of the  Trust Collateral Agent, enforceable against the Trust Collateral Agent in  accordance with its terms, except as (i) such enforceability may be limited by  bankruptcy, insolvency, reorganization and similar laws relating to or  affecting the enforcement of creditors’ rights generally and (ii) the  availability of equitable remedies may be limited by equitable principles of  general applicability.

 

 (B) The Issuer  hereby represents and warrants that each of the representations and warranties  set forth on the Schedule of Representations attached hereto as Schedule A is  true and correct.  Such representations  and warranties speak as of the execution and delivery of this Indenture and as  of the Closing Date, but shall survive the pledge of the Receivables to the  Trust Collateral Agent and shall not be waived.

 

SECTION 6.20      Waiver  of Setoffs.  The Trust Collateral  Agent hereby expressly waives any and all rights of setoff that the Trust  Collateral Agent may otherwise at any time have under applicable law with  respect to any Trust Account and agrees that amounts in the Trust Accounts  shall at all times be held and applied solely in accordance with the provisions  hereof and the Sale and Servicing Agreement.

 

SECTION 6.21      Control  by the Controlling Party.  The Trust  Collateral Agent shall comply with notices and instructions given by the Issuer  only if accompanied by the written consent of the Controlling Party, except  that if any Event of Default shall have occurred and be continuing, the Trust  Collateral Agent shall act upon and comply with notices and instructions given  by the Controlling Party alone in the place and stead of the Issuer.

 

ARTICLE VII

 

Noteholders’ Lists and  Reports

 

SECTION 7.1      Issuer  To Furnish To Trustee Names and Addresses of Noteholders.  The Issuer will furnish or cause to be  furnished to the Trustee (a) not more than five days after the earlier of (i)  each Record Date and (ii) three months after the last Record Date, a list, in  such form as the Trustee may reasonably require, of the names and addresses of  the Holders as of such Record Date, (b) at such other times as the Trustee may  request in writing, within 30 days after receipt by the Issuer of any such  request, a list of similar form and content as of a date not more than 10 days  prior to the time such list is furnished; provided, however, that  so long as the Trustee is the Note Registrar, no such list shall be required to  be furnished.  The Trustee or, if the  Trustee is not the Note Registrar, the Issuer shall furnish to the Security Insurer

 

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 in writing on an annual basis  on each June 30 and at such other times as the Security Insurer may request a  copy of the list.

 

SECTION 7.2      Preservation  of Information; Communications to Noteholders.

 

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

 

(b)      Noteholders may  communicate pursuant to TIA § 312(b) with other Noteholders with respect  to their rights under this Indenture or under the Notes.

 

(c)      The Issuer, the  Trustee and the Note Registrar shall have the protection of TIA § 312(c).

 

SECTION 7.3      Reports  by Issuer.

 

(a)      The Issuer  shall:

 

(i)      file  with the Trustee, within 15 days after the Issuer is required to file the same  with the Commission, copies of the annual reports and of the information,  documents and other reports (or copies of such portions of any of the foregoing  as the Commission may from time to time by rules and regulations prescribe)  which the Issuer may be required to file with the Commission pursuant to  Section 13 or 15(d) of the Exchange Act;

 

(ii)     file  with the Trustee and the Commission in accordance with rules and regulations  prescribed from time to time by the Commission such additional information,  documents and reports with respect to compliance by the Issuer with the  conditions and covenants of this Indenture as may be required from time to time  by such rules and regulations; and

 

(iii)    supply  to the Trustee (and the Trustee shall transmit by mail to all Noteholders  described in TIA § 313(c)) such summaries of any information, documents  and reports required to be filed by the Issuer pursuant to clauses (i) and (ii)  of this Section 7.3(a) as may be required by rules and regulations prescribed  from time to time by the Commission.

 

(b)     Unless the Issuer  otherwise determines, the fiscal year of the Issuer shall end on December 31 of  each year.

 

SECTION 7.4      Reports  by Trustee.  If required by TIA  § 313(a), within 60 days after each May 31, beginning with May 31, 2005,  the Trustee shall mail to each Noteholder as required by TIA § 313(c) a  brief report dated as of such date that complies with TIA § 313(a).  The Trustee also shall comply with TIA  § 313(b).

 

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A copy of each report at the time of its mailing to  Noteholders shall be filed by the Trustee with the Commission and each stock  exchange, if any, on which the Notes are listed.  The Issuer shall notify the Trustee if and when the Notes are  listed on any stock exchange.

 

ARTICLE VIII

 

Accounts,  Disbursements and Releases

 

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

 

SECTION 8.2      Release  of Trust Estate.

 

(a)      Subject to the  payment of its fees and expenses and other amounts pursuant to Section 6.7, the  Trust Collateral Agent may, with the Security Insurer’s consent (so long as the  Security Insurer is the Controlling Party), and shall, at the direction of the  Security Insurer (so long as the Security Insurer is the Controlling Party) or  when required by the provisions of this Indenture, execute instruments to  release property from the lien of this Indenture, in a manner and under  circumstances that are not inconsistent with the provisions of this  Indenture.  No party relying upon an  instrument executed by the Trust Collateral Agent as provided in this Article  VIII shall be bound to ascertain the Trust Collateral Agent’s authority,  inquire into the satisfaction of any conditions precedent or see to the  application of any moneys.

 

(b)      The Trust  Collateral Agent shall, at such time as there are no Notes outstanding and all  sums due the Trustee pursuant to Section 6.7 and all amounts due to the  Security Insurer under the Basic Documents have been paid, release any  remaining portion of the Trust Estate that secured the Notes from the lien of  this Indenture and release to the Issuer or any other Person entitled thereto  any funds then on deposit in the Trust Accounts.  The Trustee shall release property from the lien of this  Indenture pursuant to this Section 8.2(b) only upon receipt of an Issuer Request  accompanied by an Officer’s Certificate, an Opinion of Counsel and (if required  by the TIA) Independent Certificates in accordance with TIA §§ 314(c) and  314(d)(1) meeting the applicable requirements of Section 11.1.

 

SECTION 8.3      Opinion  of Counsel.  The Trust Collateral  Agent shall receive at least seven days’ notice when requested by the Issuer to  take any action pursuant to Section 8.2(a), accompanied by copies of any  instruments involved, and the Trustee shall also require as 

 

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a condition to such action, an Opinion of Counsel in form and substance  satisfactory to the Trustee, stating the legal effect of any such action,  outlining the steps required to complete the same, and concluding that all conditions  precedent to the taking of such action have been complied with and such action  will not materially and adversely impair the security for the Notes or the  rights of the Noteholders in contravention of the provisions of this Indenture;  provided, however, that such Opinion of Counsel shall not be  required to express an opinion as to the fair value of the Trust Estate.  Counsel rendering any such opinion may rely,  without independent investigation, on the accuracy and validity of any  certificate or other instrument delivered to the Trustee in connection with any  such action.

 

ARTICLE IX

 

Supplemental  Indentures

 

SECTION 9.1      Supplemental  Indentures Without Consent of Noteholders.

 

(a)      Without the  consent of the Holders of any Notes but with the consent of the Security  Insurer (unless an Insurer Default shall have occurred and be continuing) and  with prior notice to the Rating Agencies by the Issuer, as evidenced to the  Trustee, the Issuer and the Trustee, when authorized by an Issuer Order, at any  time and from time to time, may enter into one or more indentures supplemental  hereto (which shall conform to the provisions of the Trust Indenture Act as in  force at the date of the execution thereof), in form satisfactory to the  Trustee, for any of the following purposes:

 

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

 

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

 

(iii)    to  add to the covenants of the Issuer, for the benefit of the Holders of the  Notes, or to surrender any right or power herein conferred upon the Issuer;

 

(iv)    to  convey, transfer, assign, mortgage or pledge any property to or with the Trust  Collateral Agent;

 

(v)     to  cure any ambiguity, to correct or supplement any provision herein or in any  supplemental indenture which may be inconsistent with any other provision herein  or in any supplemental indenture or to make any other provisions with respect  to matters or questions arising under this Indenture or in any supplemental  indenture; provided that such action shall not adversely affect the  interests of the Holders of the Notes;

 

(vi)    to  evidence and provide for the acceptance of the appointment hereunder by a  successor trustee with respect to the Notes and to add to or change any of the 

 

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provisions of this  Indenture as shall be necessary to facilitate the administration of the trusts  hereunder by more than one trustee, pursuant to the requirements of Article VI;  or

 

(vii)   to  modify, eliminate or add to the provisions of this Indenture to such extent as  shall be necessary to effect the qualification of this Indenture under the TIA  or under any similar federal statute hereafter enacted and to add to this  Indenture such other provisions as may be expressly required by the TIA.

 

The Trustee is hereby authorized to join in the  execution of any such supplemental indenture and to make any further  appropriate agreements and stipulations that may be therein contained.

 

(b)      The Issuer and  the Trustee, when authorized by an Issuer Order, may, also without the consent  of any of the Holders of the Notes but with prior notice to the Rating Agencies  by the Issuer and with the prior written consent of the Security Insurer  (unless an Insurer Default shall have occurred and be continuing), as evidenced  to the Trustee, enter into an indenture or indentures supplemental hereto for  the purpose of adding any provisions to, or changing in any manner or  eliminating any of the provisions of, this Indenture or of modifying in any  manner the rights of the Holders of the Notes under this Indenture; provided,  however, that such action shall not, as evidenced by an Opinion of  Counsel, adversely affect in any material respect the interests of any  Noteholder.

 

(c)      Notwithstanding  the foregoing, if an Insurer Default has occurred and is continuing, no  amendment under Section 9.1 or 9.2 shall materially adversely affect the  Security Insurer without the Security Insurer’s prior consent.

 

SECTION 9.2      Supplemental  Indentures with Consent of Noteholders.   The Issuer and the Trustee, when authorized by an Issuer Order, also  may, with prior notice to the Rating Agencies, with the consent of the Security  Insurer (unless an Insurer Default shall have occurred and be continuing) and  with the consent of the Holders of not less than a majority of the outstanding  Amount of the Notes, by Act of such Holders delivered to the Issuer and the  Trustee, enter into an indenture or indentures supplemental hereto for the  purpose of adding any provisions to, or changing in any manner or eliminating  any of the provisions of, this Indenture or of modifying in any manner the  rights of the Holders of the Notes under this Indenture; provided, however,  that if an Insurer Default has occurred and is continuing, such supplemental  indenture will not materially and adversely
affect the interest of the Security  Insurer; provided further, that, subject to the express rights of  the Security Insurer under the Basic Documents, no such supplemental indenture  shall, without the consent of the Holder of each Outstanding Note affected thereby:

 

(i)      change  the date of payment of any installment of principal of or interest on any Note,  or reduce the principal amount thereof, the interest rate thereon or the  Redemption Price with respect thereto, change the provision of this Indenture  relating to the application of collections on, or the proceeds of the sale of,  the Trust Estate to payment of principal of or interest on the Notes, or change  any place of payment where, or the coin or currency in which, any Note or the  interest thereon is payable;

 

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(ii)     impair  the right to institute suit for the enforcement of the provisions of this  Indenture requiring the application of funds available therefor, as provided in  Article V, to the payment of any such amount due on the Notes on or after the  respective due dates thereof (or, in the case of redemption, on or after the  Redemption Date);

 

(iii)    reduce  the percentage of the Outstanding Amount of the Notes, the consent of the  Holders of which is required for any such supplemental indenture, or the  consent of the Holders of which is required for any waiver of compliance with  certain provisions of this Indenture or certain defaults hereunder and their  consequences provided for in this Indenture;

 

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

 

(v)     reduce  the percentage of the Outstanding Amount of the Notes required to direct the  Trustee to direct the Issuer to sell or liquidate the Trust Estate pursuant to  Section 5.4;

 

(vi)    modify  any provision of this Section except to increase any percentage specified  herein or to provide that certain additional provisions of this Indenture or  the Basic Documents cannot be modified or waived without the consent of the  Holder of each Outstanding Note affected thereby;

 

(vii)   modify  any of the provisions of this Indenture in such manner as to affect the  calculation of the amount of any payment of interest or principal due on any  Note on any Distribution Date (including the calculation of any of the  individual components of such calculation) or to affect the rights of the  Noteholders to the benefit of any provisions for the mandatory redemption of  the Notes contained herein; or

 

(viii)  permit  the creation of any lien ranking prior to or on a parity with the lien of this  Indenture with respect to any part of the Trust Estate or, except as otherwise  permitted or contemplated herein or in any of the Basic Documents, terminate  the lien of this Indenture on any property at any time subject hereto or  deprive the Holder of any Note of the security provided by the lien of this  Indenture.

 

The Trustee may determine whether or not any Notes  would be affected by any supplemental indenture and any such determination  shall be conclusive upon the Holders of all Notes, whether theretofore or  thereafter authenticated and delivered hereunder.  The Trustee shall not be liable for any such determination made  in good faith.

 

It shall not be necessary for any Act of Noteholders  under this Section to approve the particular form of any proposed supplemental  indenture, but it shall be sufficient if such Act shall approve the substance  thereof.

 

Promptly after the execution by the Issuer and the  Trustee of any supplemental indenture pursuant to this Section, the Trustee  shall mail to the Holders of the Notes to which such amendment or supplemental  indenture relates a notice setting forth in general terms the substance of such  supplemental indenture.  Any failure of  the Trustee to mail such notice, or any 

 

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defect therein, shall not, however, in any way impair or affect the  validity of any such supplemental indenture.

 

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

 

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

 

SECTION 9.5      Conformity  With Trust Indenture Act.  Every  amendment of this Indenture and every supplemental indenture executed pursuant  to this Article IX shall conform to the requirements of the Trust Indenture Act  as then in effect so long as this Indenture shall then be qualified under the  Trust Indenture Act.

 

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

 

ARTICLE X

 

Redemption of  Notes

 

SECTION 10.1      Redemption.

 

(a)      The Notes are  subject to redemption in whole, but not in part, at the direction of the  Servicer or the Seller pursuant to Section 10.1(a) of the Sale and Servicing  Agreement, on any Distribution Date on which the Servicer or Seller exercises  its option to purchase the Trust Estate pursuant to said Section 10.1(a) for a  purchase price equal to the Redemption Price; provided, however,  that the Issuer has available funds sufficient to pay the Redemption Price and  all amounts due and payable to the Security Insurer under the Insurance  Agreement.  The Servicer or the Issuer  shall furnish the Security Insurer and the Rating Agencies 

 

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notice of such redemption.  If  the Notes are to be redeemed pursuant to this Section 10.1(a), the Servicer or  the Issuer shall furnish notice of such election to the Trustee not later than  25 days prior to the Redemption Date and the Issuer shall deposit with the  Trustee in the Note Distribution Account the Redemption Price of the Notes to  be redeemed whereupon all such Notes shall be due and payable on the Redemption  Date upon the furnishing of a notice complying with Section 10.2 to each Holder  of Notes.

 

(b)      In the event  that the assets of the Trust are distributed pursuant to Section 8.1 of the  Trust Agreement, all amounts on deposit in the Note Distribution Account shall  be paid to the Noteholders up to the Outstanding Amount of the Notes and all  accrued and unpaid interest thereon.  If  amounts are to be paid to Noteholders pursuant to this Section 10.1(b), the  Servicer or the Issuer shall, to the extent practicable, furnish notice of such  event to the Trustee not later than 45 days prior to the Redemption Date, whereupon  all such amounts shall be payable on the Redemption Date.

 

SECTION 10.2      Form  of Redemption.

 

(a)      Notice of  redemption under Section 10.1(a) shall be given by the Trustee by facsimile or  by first-class mail, postage prepaid, transmitted or mailed prior to the  applicable Redemption Date to each Holder of Notes, as of the close of business  on the Record Date preceding the applicable Redemption Date, at such Holder’s  address appearing in the Note Register.

 

All notices of redemption shall state:

 

(i)      the Redemption  Date;

 

(ii)     the Redemption  Price;

 

(iii)    that  the Record Date otherwise applicable to such Redemption Date is not applicable  and that payments shall be made only upon presentation and surrender of such  Notes and the place where such Notes are to be surrendered for payment of the  Redemption Price (which shall be the office or agency of the Issuer to be  maintained as provided in Section 3.2); and

 

(iv)    that interest on the Notes  shall cease to accrue on the Redemption Date.

 

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

 

SECTION  10.3      Notes Payable on Redemption Date.  The Notes to be redeemed shall, following  notice of redemption, as required by Section 10.2 (in the case of redemption  pursuant to Section 10.1(a)), on the Redemption Date, become due and payable at  the Redemption Price, and (unless the Issuer shall default in the payment of  the Redemption Price) no interest shall accrue on the Redemption Price for any  period after the date to which accrued interest is calculated for purposes of calculating  the Redemption Price.

 

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ARTICLE XI

 

Miscellaneous

 

SECTION 11.1      Compliance  Certificates and Opinions, etc.   Upon any application or request by the Issuer to the Trustee or the  Trust Collateral Agent to take any action under any provision of this  Indenture, the Issuer shall furnish to the Trustee or the Trust Collateral  Agent, as the case may be, and to the Security Insurer (i) an Officer’s  Certificate stating that all conditions precedent, if any, provided for in this  Indenture relating to the proposed action have been complied with, (ii) an  Opinion of Counsel stating that in the opinion of such counsel all such  conditions precedent, if any, have been complied with and (iii) (if required by  the TIA) an Independent Certificate from a firm of certified public accountants  meeting the applicable requirements of this Section, except that, in the case  of any such application or request as to which the furnishing of such
documents  is specifically required by any provision of this Indenture, no additional  certificate or opinion need be furnished.

 

(a)      Every  certificate or opinion with respect to compliance with a condition or covenant  provided for in this Indenture shall include:

 

(i)      a statement that each signatory  of such certificate or opinion has read or has caused to be read such covenant  or condition and the definitions herein relating thereto;

 

(ii)     a  brief statement as to the nature and scope of the examination or investigation  upon which the statements or opinions contained in such certificate or opinion  are based;

 

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

 

(iv)    a  statement as to whether, in the opinion of each such signatory such condition  or covenant has been complied with.

 

(b)      (i)      Prior  to the deposit of any Collateral or other property or securities with the Trust  Collateral Agent that is to be made the basis for the release of any property  or securities subject to the lien of this Indenture, the Issuer shall, in  addition to any obligation imposed in Section 11.1(a) or elsewhere in this  Indenture, furnish to the Trust Collateral Agent and the Security Insurer an  Officer’s Certificate certifying or stating the opinion of each person signing  such certificate as to the fair value (within 90 days of such deposit) to the  Issuer of the Collateral or other property or securities to be so deposited.

 

(ii)      Whenever  the Issuer is required to furnish to the Trust Collateral Agent and the  Security Insurer an Officer’s Certificate certifying or stating the opinion of  any signer thereof as to the matters described in clause (i) above, the Issuer  shall also deliver to the Trust Collateral Agent and the Security Insurer an  Independent Certificate as to the same matters, if the fair value to the Issuer  of the securities to be so deposited and of all 

 

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other such securities  made the basis of any such withdrawal or release since the commencement of the  then-current fiscal year of the Issuer, as set forth in the certificates  delivered pursuant to clause (i) above and this clause (ii), is 10% or more of  the Outstanding Amount of the Notes, but such a certificate need not be  furnished with respect to any securities so deposited, if the fair value  thereof to the Issuer as set forth in the related Officer’s Certificate is less  than $25,000 or less than 1% percent of the Outstanding Amount of the Notes.

 

(iii)      Other  than with respect to the release of any Purchased Receivables, Sold Receivables  or Liquidated Receivables, whenever any property or securities are to be  released from the lien of this Indenture, the Issuer shall also furnish to the  Trust Collateral Agent and the Security Insurer an Officer’s Certificate  certifying or stating the opinion of each person signing such certificate as to  the fair value (within 90 days of such release) of the property or securities  proposed to be released and stating that in the opinion of such person the  proposed release will not impair the security under this Indenture in  contravention of the provisions hereof.

 

(iv)      Whenever  the Issuer is required to furnish to the Trustee and the Security Insurer an  Officer’s Certificate certifying or stating the opinion of any signer thereof  as to the matters described in clause (iii) above, the Issuer shall also  furnish to the Trust Collateral Agent and the Security Insurer an Independent  Certificate as to the same matters if the fair value of the property or  securities and of all other property other than Purchased Receivables, Sold  Receivables and Defaulted Receivables, or securities released from the lien of  this Indenture since the commencement of the then current calendar year, as set  forth in the certificates required by clause (iii) above and this clause (iv),  equals 10% or more of the Outstanding Amount of the Notes, but such certificate  need not be furnished in the case of any release of property or securities if  the fair
value thereof as set forth in the related Officer’s Certificate is  less than $25,000 or less than 1 percent of the then Outstanding Amount of the  Notes.

 

(v)      Notwithstanding  Section 2.9 or any other provision of this Section, the Issuer may (A) collect,  liquidate, sell or otherwise dispose of Receivables as and to the extent  permitted or required by the Basic Documents and (B) make cash payments out of  the Trust Accounts as and to the extent permitted or required by the Basic  Documents.

 

SECTION 11.2      Form  of Documents Delivered to Trustee.   In any case where several matters are required to be certified by, or  covered by an opinion of, any specified Person, it is not necessary that all  such matters be certified by, or covered by the opinion of, only one such  Person, or that they be so certified or covered by only one document, but one  such Person may certify or give an opinion with respect to some matters and one  or more other such Persons as to other matters, and any such Person may certify  or give an opinion as to such matters in one or several documents.

 

Any certificate or opinion of an Authorized Officer of  the Issuer may be based, insofar as it relates to legal matters, upon a  certificate or opinion of, or representations by, counsel, unless such officer  knows, or in the exercise of reasonable care should know, that the certificate  or opinion or representations with respect to the matters upon which his or her  

 

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

 

Where any Person is required to make, give or execute  two or more applications, requests, consents, certificates, statements,  opinions or other instruments under this Indenture, they may, but need not, be  consolidated and form one instrument.

 

Whenever in this Indenture, in connection with any  application or certificate or report to the Trustee, it is provided that the  Issuer shall deliver any document as a condition of the granting of such  application, or as evidence of the Issuer’s compliance with any term hereof, it  is intended that the truth and accuracy, at the time of the granting of such  application or at the effective date of such certificate or report (as the case  may be), of the facts and opinions stated in such document shall in such case  be conditions precedent to the right of the Issuer to have such application  granted or to the sufficiency of such certificate or report.  The foregoing shall not, however, be  construed to affect the Trustee’s right to rely upon the truth and accuracy of  any statement or opinion contained in any such document as provided in Article  VI.

 

SECTION 11.3      Acts  of Noteholders.

 

(a)      Any request,  demand, authorization, direction, notice, consent, waiver or other action  provided by this Indenture to be given or taken by Noteholders may be embodied  in and evidenced by one or more instruments of substantially similar tenor  signed by such Noteholders in person or by agents duly appointed in writing;  and except as herein otherwise expressly provided such action shall become  effective when such instrument or instruments are delivered to the Trustee,  and, where it is hereby expressly required, to the Issuer.  Such instrument or instruments (and the  action embodied therein and evidenced thereby) are herein sometimes referred to  as the “Act” of the Noteholders signing such instrument or  instruments.  Proof of execution of any  such instrument or of a writing appointing any such agent shall be sufficient  for any purpose of this Indenture and
(subject to Section 6.1) conclusive in  favor of the Trustee and the Issuer, if made in the manner provided in this  Section.  In the event the Trustee shall  receive conflicting or inconsistent requests and indemnity from two or more  groups of Noteholders, each representing less than a majority of the Outstanding  Amount of the Notes, the Trustee in its sole discretion may determine what  action, if any, shall be taken, notwithstanding any other provisions of this  Indenture.

 

(b)      The fact and  date of the execution by any person of any such instrument or writing may be  proved in any customary manner of the Trustee.

 

(c)      The ownership  of Notes shall be proved by the Note Register.

 

(d)      Any request,  demand, authorization, direction, notice, consent, waiver or other action by  the Holder of any Notes shall bind the Holder of every Note issued upon the

 

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registration thereof or in exchange therefor or in lieu thereof, in  respect of anything done, omitted or suffered to be done by the Trustee or the  Issuer in reliance thereon, whether or not notation of such action is made upon  such Note.

 

SECTION 11.4      Notices,  etc., to Trustee, Issuer and Rating Agencies.  Any request, demand, authorization, direction, notice, consent,  waiver or Act of Noteholders or other documents provided or permitted by this  Indenture to be made upon, given or furnished to or filed with:

 

(a)      The Trustee by  any Noteholder or by the Issuer shall be sufficient for every purpose hereunder  if personally delivered, delivered by overnight courier or mailed certified mail,  return receipt requested and shall be deemed to have been duly given upon  receipt to the Trustee at its Corporate Trust Office, or

 

(b)      The Issuer by  the Trustee or by any Noteholder shall be sufficient for every purpose  hereunder if personally delivered, delivered by overnight courier or mailed  certified mail, return receipt requested and shall deemed to have been duly  given upon receipt to the Issuer addressed to: AmeriCredit Automobile  Receivables Trust 2004-C-A, in care of Wilmington Trust Company, Rodney Square  North, 1100 North Market Street, Wilmington, Delaware 19890-0001, Attention:  Corporate Trust Administration, or at any other address previously furnished in  writing to the Trustee by Issuer.  The  Issuer shall promptly transmit any notice received by it from the Noteholders  to the Trustee.

 

(c)      The Security  Insurer by the Issuer or the Trustee shall be sufficient for any purpose  hereunder if in writing and mailed by registered mail or personally delivered  or telexed or telecopied to the recipient as follows:

 

	
   

  	
  To the Security Insurer:

  	
  Ambac Assurance Corporation

  
	
   

  	
   

  	
  One State Street Plaza

  
	
   

  	
   

  	
  New York, New York     10004

  
	
   

  	
   

  	
  Attention:     Structured Finance Department – ABS

  
	
   

  	
   

  	
  Telecopy No.:     212-208-3547

  
	
   

  	
   

  	
  Confirmation:     212-668-0340

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  with a copy to the attention of:

  
	
   

  	
   

  	
  Michael Babick, Vice President

  
	
   

  	
   

  	
  Telecopy No.:     212-363-1459

  
	
   

  	
   

  	
  Confirmation:     212-208-3407

  

 

(In each case in which notice or other communication to the Security  Insurer refers to an Event of Default, a claim on the Note Policy or with  respect to which failure on the part of the Security Insurer to respond shall  be deemed to constitute consent or acceptance, then a copy of such notice or  other communication should also be sent to the attention of the General Counsel  “URGENT MATERIAL ENCLOSED.”)

 

Notices required to be given to the Rating Agencies by  the Issuer, the Trustee or the Owner Trustee shall be in writing, personally  delivered, delivered by overnight courier or 

 

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mailed certified mail, return receipt requested to (i) in the case of  Moody’s, at the following address: Moody’s Investors Service, Inc., 99 Church  Street, New York, New York 10007, (ii) in the case of Standard &  Poor’s, at the following address: Standard & Poor’s, A Division of The  McGraw-Hill Companies, Inc., 55 Water Street, 40th Floor, New York,  New York 10041, Attention of Asset Backed Surveillance Department and  (iii) in the case of Fitch, at the following address:  Fitch Ratings, One State Street Plaza, New  York, New York 10004; or as to each of the foregoing, at such other address as  shall be designated by written notice to the other parties.

 

SECTION 11.5      Notices  to Noteholders; Waiver.  Where this  Indenture provides for notice to Noteholders of any event, such notice shall be  sufficiently given (unless otherwise herein expressly provided) if in writing  and mailed, first-class, postage prepaid to each Noteholder affected by such  event, at his address as it appears on the Note Register, not later than the  latest date, and not earlier than the earliest date, prescribed for the giving  of such notice.  In any case where  notice to Noteholders is given by mail, neither the failure to mail such notice  nor any defect in any notice so mailed to any particular Noteholder shall  affect the sufficiency of such notice with respect to other Noteholders, and  any notice that is mailed in the manner here in provided shall conclusively be  presumed to have been duly given.

 

Where this Indenture provides for notice in any  manner, such notice may be waived in writing by any Person entitled to receive  such notice, either before or after the event, and such waiver shall be the  equivalent of such notice.  Waivers of  notice by Noteholders shall be filed with the Trustee but such filing shall not  be a condition precedent to the validity of any action taken in reliance upon  such a waiver.

 

In case, by reason of the suspension of regular mail  service as a result of a strike, work stoppage or similar activity, it shall be  impractical to mail notice of any event to Noteholders when such notice is  required to be given pursuant to any provision of this Indenture, then any  manner of giving such notice as shall be satisfactory to the Trustee shall be  deemed to be a sufficient giving of such notice.

 

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

 

SECTION  11.6      [Reserved]

 

SECTION 11.7      Conflict  with Trust Indenture Act.  If any  provision hereof limits, qualifies or conflicts with another provision hereof  that is required to be included in this Indenture by any of the provisions of  the Trust Indenture Act, such required provision shall control.

 

The provisions of TIA §§ 310 through 317 that  impose duties on any person (including the provisions automatically deemed  included herein unless expressly excluded by this Indenture) are a part of and  govern this Indenture, whether or not physically contained herein.

 

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

 

SECTION 11.9      Successors  and Assigns.  All covenants and  agreements in this Indenture and the Notes by the Issuer shall bind its  successors and assigns, whether so expressed or not.  All agreements of the Trustee in this Indenture shall bind its  successors.  All agreements of the Trust  Collateral Agent in this Indenture shall bind its successors.

 

SECTION 11.10    Separability.  In case any provision in this Indenture or  in the Notes shall be invalid, illegal or unenforceable, the validity,  legality, and enforceability of the remaining provisions shall not in any way  be affected or impaired thereby.

 

SECTION 11.11    Benefits of  Indenture.  The Security Insurer and  its successors and assigns shall be a third-party beneficiary to the provisions  of this Indenture, and shall be entitled to rely upon and directly to enforce  such provisions of this Indenture so long as no Insurer Default shall have  occurred and be continuing.  Nothing in  this Indenture or in the Notes, express or implied, shall give to any Person,  other than the parties hereto and their successors hereunder, and the  Noteholders, and any other party secured hereunder, and any other person with  an Ownership interest in any part of the Trust Estate, any benefit or any legal  or equitable right, remedy or claim under this Indenture.  The Security Insurer may disclaim any of its  rights and powers under this Indenture (in which case the Trustee may exercise  such right or power hereunder), but not its duties and obligations
under the  Note Policy, upon delivery of a written notice to the Trustee.

 

In exercising any of its voting rights, rights to  direct or consent or any other rights as the Security Insurer under this  Indenture or any other Basic Document, subject to the terms and conditions of  this Indenture, the Security Insurer shall not have any obligation or duty to  any Person to consider or take into account the interests of any Person and  shall not be liable to any Person for any action taken by it or at its  discretion or any failure by it to act or to direct that any action be taken,  without regard to whether such inaction or action benefits or adversely affects  any Noteholder, the Issuer or any other Person.

 

SECTION 11.12      Legal  Holidays.  In any case where the  date on which any payment is due shall not be a Business Day, then  (notwithstanding any other provision of the Notes or this Indenture) payment  need not be made on such date, but may be made on the next succeeding Business  Day with the same force and effect as if made on the date an which nominally  due, and no interest shall accrue for the period from and after any such  nominal date.

 

SECTION 11.13      GOVERNING  LAW.  THIS INDENTURE SHALL BE  CONSTRUED IN ACCORDANCE WITH, AND THIS INDENTURE AND ALL MATTERS ARISING OUT OF  OR RELATING IN ANY WAY TO THIS INDENTURE SHALL BE, GOVERNED BY THE LAW OF THE  STATE OF NEW YORK, WITHOUT GIVING EFFECT TO ITS CONFLICT OF LAW PROVISIONS  (OTHER THAN SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL OBLIGATIONS  LAW).

 

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SECTION 11.14      Counterparts.  This Indenture may be executed in any number  of counterparts, each of which so executed shall be deemed to be an original,  but all such counterparts shall together constitute but one and the same  instrument.

 

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

 

SECTION 11.16      Trust  Obligation.  No recourse may be  taken, directly or indirectly, with respect to the obligations of the Issuer,  the Seller, the Servicer, the Owner Trustee, the Trust Collateral Agent or the  Trustee on the Notes or under this Indenture, any other Basic Document or any  certificate or other writing delivered in connection herewith or therewith,  against (i) the Seller, the Servicer, the Trustee, the Trust Collateral Agent  or the Owner Trustee in its individual capacity, (ii) any owner of a beneficial  interest in the Issuer or (iii) any partner, owner, beneficiary, agent,  officer, director, employee or agent of the Seller, the Servicer, the Trustee,  the Trust Collateral Agent or the Owner Trustee in its individual capacity, any  holder of a beneficial interest in the Issuer, the Seller, the Servicer, the  Owner Trustee, the Trust Collateral Agent or the Trustee or
of any successor or  assign of the Seller, the Servicer, the Trustee, the Trust Collateral Agent or  the Owner Trustee in its individual capacity, except as any such Person may  have expressly agreed (it being understood that the Trustee, the Trust  Collateral Agent and the Owner Trustee have no such obligations in their  individual capacity) and except that any such partner, owner or beneficiary  shall be fully liable, to the extent provided by applicable law, for any unpaid  consideration for stock, unpaid capital contribution or failure to pay any  installment or call owing to such entity.   For all purposes of this Indenture, in the performance of any duties or  obligations of the Issuer hereunder, the Owner Trustee shall be subject to, and  entitled to the benefits of, the terms and provisions of Article VI, VII and  VIII of the Trust Agreement.

 

SECTION 11.17      No  Petition.  The Trustee and the Trust  Collateral Agent, by entering into this Indenture, and each Noteholder, by  accepting a Note, hereby covenant and agree that they will not at any time  institute against the Seller, or the Issuer, or join in any institution against  the Seller, or the Issuer of, any bankruptcy, reorganization, arrangement,  insolvency or liquidation proceedings, or other proceedings under any United  States federal or State bankruptcy or similar law in connection with any  obligations relating to the Notes, this Indenture or any of the Basic Documents.

 

SECTION 11.18      Inspection.  The Issuer agrees that, on reasonable prior  notice, it will permit any representative of the Trustee or of the Security  Insurer, during the Issuer’s normal business hours, to examine all the books of  account, records, reports, and other papers of the Issuer, to make copies and  extracts therefrom, to cause such books to be audited by independent certified  public accountants, and to discuss the Issuer’s affairs, finances and accounts  with the Issuer’s officers, employees, and independent certified public  accountants, all

 

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at such reasonable times and as often as may be reasonably  requested.  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 Trustee’s business or that of its 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 Trustee or  an affiliate or an officer, director, employer or shareholder thereof is a  party, (D) in any preliminary or final offering circular, registration  statement or contract or other document pertaining to the transactions contemplated  by the Indenture
approved in advance by the Servicer or the Issuer or (E) to  any independent or internal auditor, agent, employee or attorney of the Trustee  having a need to know the same, provided that the Trustee advises such  recipient of the confidential nature of the information being disclosed, or  (iii) any other disclosure authorized by the Servicer or the Issuer.

 

[SIGNATURE PAGE  FOLLOWS]

 

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

 

	
   

  	
  AMERICREDIT A UTOMOBILE RECEIVABLES TRUST    2004-C-A,

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  WLMINGTON    TRUST COMPANY, not in its individual capacity but solely as Owner    Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ HEATHER L. MAIER

  
	
   

  	
   

  	
  Name: Heather L. Maier

  
	
   

  	
   

  	
  Title:     Financial Services Officer

  
	
   

  	
   

  	
   

  
	
   

  	
  WELLS FARGO BANK NATIONAL
    ASSOCIATION,

  
	
   

  	
  not in its individual capacity but solely as Trustee    and Trust Collateral Agent

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ MARIANNA C. STERSHIC

  
	
   

  	
   

  	
  Name:     Marianna C. Stershic

  
	
   

  	
   

  	
  Title:  Vice    President

  

 

[Indenture]

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EXHIBIT A-1

 

	
  REGISTERED

  	
  $161,000,000                

  

 

No. RB-A-1

 

SEE REVERSE FOR CERTAIN  DEFINITIONS

 

CUSIP NO. 03061N HL 6

 

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

 

THE PRINCIPAL OF THIS NOTE IS PAYABLE IN INSTALLMENTS  AS SET FORTH HEREIN.  ACCORDINGLY, THE  OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME MAY BE LESS THAN THE  AMOUNT SHOWN ON THE FACE HEREOF.

 

AMERICREDIT AUTOMOBILE  RECEIVABLES TRUST 2004-C-A

 

CLASS A-1 1.765% ASSET  BACKED NOTE

 

AmeriCredit Automobile Receivables Trust 2004-C-A, a  statutory trust organized and existing under the laws of the State of Delaware  (herein referred to as the “Issuer”), for value received, hereby  promises to pay to CEDE & CO., or registered assigns, the principal sum of  ONE HUNDRED SIXTY-ONE MILLION DOLLARS payable on each Distribution Date in an  amount equal to the result obtained by multiplying (i) a fraction the numerator  of which is $161,000,000 and the denominator of which is $161,000,000 by (ii)  the aggregate amount, if any, payable from the Note Distribution Account in  respect of principal on the Class A-1 Notes pursuant to the Indenture; provided,  however, that the entire unpaid principal amount of this Note shall be  due and payable on September 6, 2005 Distribution Date (the “Final Scheduled  Distribution Date”).  The Issuer  will pay interest on this Note at
the rate per annum shown above on each  Distribution Date until the principal of this Note is paid or made available  for payment.  Interest on this Note will  accrue for each Distribution Date from the most recent Distribution Date on  which interest has been paid to but excluding such Distribution Date or, if no  interest has yet been paid, from August 31, 2004.  Interest will be computed on the basis of a 360-day year and the  actual number of days in the related Interest Period.  Such principal of and interest on this Note shall be paid in the  manner specified on the reverse hereof.

 

The principal of and interest on this Note are payable  in such coin or currency of the United States of America as at the time of  payment is legal tender for payment of public and

 

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private debts.  All payments  made by the Issuer with respect to this Note shall be applied first to interest  due and payable on this Note as provided above and then to the unpaid principal  of this Note.

 

The Notes are entitled to the benefits of a note  guaranty insurance policy (the “Note Policy”) issued by Ambac Assurance  Corporation (the “Security Insurer”), pursuant to which the Security  Insurer has unconditionally guaranteed payments of the Noteholders’ Interest  Distributable Amount (net of any interest shortfall resulting from the  application of the Servicemembers Civil Relief Act, as amended, or any similar  state legislation or regulations) and the Noteholders’ Parity Deficit Amount  with respect to each Distribution Date and the unpaid principal balance of the  Notes on the Final Schedule Distribution Date, all as more fully set forth in  the Note Policy.

 

Reference is made to the further provisions of this  Note set forth on the reverse hereof, which shall have the same effect as  though fully set forth on the face of this Note.

 

Unless the certificate of authentication hereon has  been executed by the Trustee whose name appears below by manual signature, this  Note shall not be entitled to any benefit under the Indenture referred to on  the reverse hereof, or be valid or obligatory for any purpose.

 

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IN WITNESS WHEREOF, the Issuer has caused this  instrument to be signed, manually or in facsimile, by its Authorized Officer as  of the date set forth below.

 

	
   

  	
   

  	
  AMERICREDIT AUTOMOBILE    RECEIVABLES TRUST 2004-C-A

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY,    not in its individual capacity but solely as Owner Trustee under the Trust    Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  ____________________________________

  
	
   

  	
   

  	
  Name: 

  
	
   

  	
   

  	
  Title:

  

 

TRUSTEE’S CERTIFICATE OF  AUTHENTICATION

 

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

 

	
  Date: August 31, 2004

  	
   

  	
  WELLS FARGO BANK, NATIONAL ASSOCIATION, not in its    individual capacity but solely as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  ____________________________________

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Authorized Signer

  

 

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[REVERSE OF NOTE]

 

This Note is one of a duly authorized issue of Notes  of the Issuer, designated as its Class A-1 1.765% Asset Backed Notes (herein  called the “Class A-1 Notes”), all issued under an Indenture dated as of  August 23, 2004 (such indenture, as supplemented or amended, is herein called  the “Indenture”), between the Issuer and Wells Fargo Bank, National  Association, as trustee (the “Trustee,” which term includes any  successor Trustee under the Indenture) and as trust collateral agent (the “Trust  Collateral Agent”), which term includes any successor Trust Collateral  Agent) to which Indenture and all indentures supplemental thereto reference is  hereby made for a state-ment of the respective rights and obligations  thereunder of the Issuer, the Trustee and the Holders of the Notes.  The Notes are subject to all terms of the  Indenture.  All terms used in this
Note  that are defined in the Indenture, as supplemented or amended, shall have the  meanings assigned to them in or pursuant to the Indenture, as so supplemented  or amended.

 

The Class A-1 Notes, the Class A-2 Notes, the Class  A-3 Notes and the Class A-4 Notes (together, the “Notes”) are and will  be equally and ratably secured by the collateral pledged as security therefor  as provided in the Indenture.

 

Principal of the Class A-1 Notes will be payable on  each Distribution Date in an amount described on the face hereof.  “Distribution Date” means the sixth  day of each month, or, if any such date is not a Business Day, the next  succeeding Business Day, commencing October 6, 2004.  The term “Distribution Date,” shall be deemed to include  the Final Scheduled Distribution Date.

 

As described above, the entire unpaid principal amount  of this Note shall be due and payable on the earlier of the Final Scheduled  Distribution Date and the Redemption Date, if any, pursuant to the  Indenture.  As described above, a  portion of the unpaid principal balance of this Note shall be due and payable  on the Redemption Date, if any.   Notwithstanding the foregoing, the entire unpaid principal amount of the  Notes shall be due and payable (i) on the date on which an Event of Default  shall have occurred and be continuing if the Security Insurer has declared the  Notes to be immediately due and payable in the manner provided in the  Indenture, so long as an Insurer Default shall not have occurred and be  continuing or (ii) if an Insurer Default shall have occurred and be continuing,  on the date on which an Event of Default shall have occurred and be continuing  and the Trustee or the Holders of the Notes
representing at least 66-2/3% of  the Outstanding Amount of the Notes have declared the Notes to be immediately  due and payable in the manner provided in the Indenture.  All principal payments on the Class A-1  Notes shall be made pro rata to the Class A-1 Noteholders entitled thereto.

 

Payments of interest on this Note due and payable on  each Distribution Date, together with the installment of principal, if any, to  the extent not in full payment of this Note, shall be made by check mailed to  the Person whose name appears as the Holder of this Note (or one or more  Predecessor Notes) on the Note Register as of the close of business on each  Record Date, except that with respect to Notes registered on the Record Date in  the name of the nominee of the Clearing Agency (initially, such nominee to be  Cede & Co.), payments will be made by wire transfer in immediately  available funds to the account designated by such nominee.  Such checks shall be mailed to the Person  entitled thereto at the address of such Person as it appears on the Note  Register as of the applicable Record Date without requiring that this Note be 

 

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submitted for notation of payment.   Any reduction in the principal amount of this Note (or any one or more  Predecessor Notes) effected by any payments made on any Distribution Date shall  be binding upon all future Holders of this Note and of any Note issued upon the  registration of transfer hereof or in exchange hereof or in lieu hereof,  whether or not noted hereon.  If funds  are expected to be available, as provided in the Indenture, for payment in full  of the then remaining unpaid principal amount of this Note on a Distribution  Date, then the Trustee, in the name of and on behalf of the Issuer, will notify  the Person who was the Holder hereof as of the Record Date preceding such  Distribution Date by notice mailed prior to such Distribution Date and the  amount then due and payable shall be payable only upon presentation and  surrender of this Note at the Trustee’s principal Corporate Trust Office or at  the office of the
Trustee’s agent appointed for such purposes located in  Minneapolis, Minnesota.

 

The Issuer shall pay interest on overdue installments  of interest at the Class A-1 Interest Rate to the extent lawful.

 

As provided in the Indenture and subject to certain  limitations set forth therein, the transfer of this Note may be registered on  the Note Register upon surrender of this Note for registration of transfer at  the office or agency designated by the Issuer pursuant to the Indenture, (i)  duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory  to the Trustee duly executed by, the Holder hereof or his attorney duly  authorized in writing, with such signature guaranteed by an “eligible guarantor  institution” meeting the requirements of the Note Registrar which requirements  include membership or participation in Securities Transfer Agents Medallion  Program (“STAMP”) or such other “signature guarantee program” as may be  determined by the Note Registrar in addition to, or in substitution for, STAMP,  all in accordance with the Exchange Act, and (ii) accompanied by
such other  documents as the Trustee may require, and thereupon one or more new Notes of  authorized denominations and in the same aggregate principal amount will be  issued to the designated transferee or transferees.  No service charge will be charged for any registration of  transfer or exchange of this Note, but the transferor may be required to pay a  sum sufficient to cover any tax or other governmental charge that may be  imposed in connection with any such registration of transfer or exchange.

 

Each Noteholder or Note Owner, by acceptance of a Note  or, in the case of a Note Owner, a beneficial interest in a Note covenants and  agrees (i) that no recourse may be taken, directly or indirectly, with respect  to the obligations of the Issuer, the Owner Trustee or the Trustee on the Notes  or under the Indenture or any certificate or other writing delivered in  connection therewith, against (a) the Seller, the Servicer, the Trustee or  the Owner Trustee in its individual capacity, (b) any owner of a beneficial  interest in the Issuer or (c) any partner, owner, beneficiary, agent, officer,  director or employee of the Seller, the Servicer, the Trustee or the Owner  Trustee in its individual capacity, any holder of a beneficial interest in the  Issuer, the Seller, the Servicer, the Owner Trustee or the Trustee or of any  successor or assign of the Seller, the Servicer, the Trustee or the Owner  Trustee in its individual
capacity, except as any such Person may have  expressly agreed (it being understood that the Trustee and the Owner Trustee  have no such obligations in their individual capacity) and except that any such  partner, owner or beneficiary shall be fully liable, to the extent provided by  applicable law, for any unpaid consideration for stock, unpaid capital  contribution or failure to pay any installment or call owing to such entity,  and (ii) to treat the Notes as indebtedness for purposes of federal income,  state and local income and franchise and any other income taxes.

 

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Prior to the due presentment for registration of  transfer of this Note, the Issuer, the Trustee and the Security Insurer and any  agent of the Issuer, the Trustee or the Security Insurer may treat the Person  in whose name this Note (as of the day of determination or as of such other  date as may be specified in the Indenture) is registered as the owner hereof  for all purposes, whether or not this Note be overdue, and neither the Issuer,  the Trustee nor any such agent shall be affected by notice to the contrary.

 

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

 

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

 

The Issuer is permitted by the Indenture, under  certain circumstances, to merge or consolidate, subject to the rights of the  Trustee and the Noteholders under the Indenture.

 

The Notes are issuable only in registered form in  denominations as provided in the Indenture, subject to certain limitations  therein set forth.

 

This Note and the Indenture shall be construed in  accordance with the laws of the State of New York, without reference to its  conflict of law provisions, and the obligations, rights and remedies of the  parties hereunder and thereunder shall be determined in accordance with such  laws.

 

No reference herein to the Indenture and no provision  of this Note or of the Indenture shall alter or impair the obligation of the  Issuer, which is absolute and unconditional, to pay the principal of and  interest on this Note at the times, place, and rate, and in the coin or  currency herein prescribed.

 

Anything herein to the contrary notwithstanding,  except as expressly provided in the Indenture or the Basic Documents, neither Wilmington Trust Company in its  individual capacity, any owner of a beneficial interest in the Issuer, nor any  of their respective partners, beneficiaries, agents, officers, directors,  employees or successors or assigns shall be personally liable for, nor shall  recourse be had to any of them for, the payment of principal of or interest on,  or performance of, or omission to perform, any of the covenants, obligations or  indemnifications

 

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contained in this Note or the Indenture, it being expressly understood  that said covenants, obligations and indemnifications have been made by the  Owner Trustee for the sole purposes of binding the interests of the Owner  Trustee in the assets of the Issuer.   The Holder of this Note by the acceptance hereof agrees that except as  expressly provided in the Indenture or the Basic Documents, in the case of an  Event of Default under the Indenture, the Holder shall have no claim against  any of the foregoing for any deficiency, loss or claim therefrom; provided,  however, that nothing contained herein shall be taken to prevent  recourse to, and enforcement against, the assets of the Issuer for any and all  liabilities, obligations and undertakings contained in the Indenture or in this  Note.

 

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ASSIGNMENT

 

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

 

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

                                              (name  and address of assignee)

 

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

 

	
  Dated  __________________________________________

  	
   

  	
  ______________________________________________

  
	
   

  	
   

  	
  Signature Guaranteed:

  
	
   

  	
   

  	
   

  
	
  ________________________________________________

  	
   

  	
  _______________________________________________

  

 

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

 

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EXHIBIT  A-2

 

	
  REGISTERED 

  	
  $228,000,000                

  

 

No. RB-A-2

 

SEE REVERSE FOR CERTAIN  DEFINITIONS

 

CUSIP NO. 03061N HM 4

 

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

 

THE PRINCIPAL OF THIS NOTE IS PAYABLE IN INSTALLMENTS  AS SET FORTH HEREIN.  ACCORDINGLY, THE  OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME MAY BE LESS THAN THE  AMOUNT SHOWN ON THE FACE HEREOF.

 

AMERICREDIT AUTOMOBILE  RECEIVABLES TRUST 2004-C-A

 

CLASS A-2 2.39% ASSET  BACKED NOTE

 

AmeriCredit Automobile Receivables Trust 2004-C-A, a  statutory trust organized and existing under the laws of the State of Delaware  (herein referred to as the “Issuer”), for value received, hereby  promises to pay to CEDE & CO., or registered assigns, the principal sum of  TWO HUNDRED TWENTY-EIGHT MILLION DOLLARS payable on each Distribution Date in  an amount equal to the result obtained by multiplying (i) a fraction the  numerator of which is $228,000,000 and the denominator of which is $228,000,000  by (ii) the aggregate amount, if any, payable from the Note Distribution  Account in respect of principal on the Class A-2 Notes pursuant to the  Indenture; provided, however, that the entire unpaid principal  amount of this Note shall be due and payable on November 6, 2007 Distribution  Date (the “Final Scheduled Distribution Date”).  The Issuer will pay interest on this Note
at  the rate per annum shown above on each Distribution Date until the principal of  this Note is paid or made available for payment.  Interest on this Note will accrue for each Distribution Date from  the most recent Distribution Date on which interest has been paid to but  excluding such Distribution Date or, if no interest has yet been paid, from  August 31, 2004.  Interest will be  computed on the basis of a 360 day year consisting of twelve 30-day  months.  Such principal of and interest  on this Note shall be paid in the manner specified on the reverse hereof.

 

The principal of and interest on this Note are payable  in such coin or currency of the United States of America as at the time of  payment is legal tender for payment of public and

 

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private debts.  All payments  made by the Issuer with respect to this Note shall be applied first to interest  due and payable on this Note as provided above and then to the unpaid principal  of this Note.

 

The Notes are entitled to the benefits of a note  guaranty insurance policy (the “Note Policy”) issued by Ambac Assurance  Corporation (the “Security Insurer”), pursuant to which the Security  Insurer has unconditionally guaranteed payments of the Noteholders’ Interest  Distributable Amount (net of any interest shortfall resulting from the  application of the Servicemembers Civil Relief Act, as amended, or any similar  state legislation or regulations) and the Noteholders’ Parity Deficit Amount with  respect to each Distribution Date and the unpaid principal balance of the Notes  on the Final Schedule Distribution Date, all as more fully set forth in the  Note Policy.

 

Reference is made to the further provisions of this  Note set forth on the reverse hereof, which shall have the same effect as  though fully set forth on the face of this Note.

 

Unless the certificate of authentication hereon has  been executed by the Trustee whose name appears below by manual signature, this  Note shall not be entitled to any benefit under the Indenture referred to on  the reverse hereof, or be valid or obligatory for any purpose.

 

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IN WITNESS WHEREOF, the Issuer has caused this  instrument to be signed, manually or in facsimile, by its Authorized Officer as  of the date set forth below.

 

	
   

  	
  AMERICREDIT AUTOMOBILE    RECEIVABLES TRUST    2004-C-A

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY,    not in its individual capacity but solely as Owner Trustee under the Trust    Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  ____________________________________

  
	
   

  	
   

  	
  Name: 

  
	
   

  	
   

  	
  Title:

  

 

TRUSTEE’S CERTIFICATE OF  AUTHENTICATION

 

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

 

	
  Date: August 31, 2004

  	
   

  	
  WELLS FARGO BANK, NATIONAL ASSOCIATION, not in its    individual capacity but solely as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  ____________________________________

  
	
   

  	
   

  	
  Authorized Signer

  

 

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[REVERSE OF NOTE]

 

This Note is one of a duly authorized issue of Notes  of the Issuer, designated as its Class A-2 2.39% Asset Backed Notes (herein  called the “Class A-2 Notes”), all issued under an Indenture dated as of  August 23, 2004 (such indenture, as supplemented or amended, is herein called  the “Indenture”), between the Issuer and Wells Fargo Bank, National  Association, as trustee (the “Trustee,” which term includes any  successor Trustee under the Indenture) and as trust collateral agent (the “Trust  Collateral Agent”), which term includes any successor Trust Collateral  Agent) to which Indenture and all indentures supplemental thereto reference is  hereby made for a state-ment of the respective rights and obligations  thereunder of the Issuer, the Trustee and the Holders of the Notes.  The Notes are subject to all terms of the  Indenture.  All terms used in this
Note  that are defined in the Indenture, as supplemented or amended, shall have the  meanings assigned to them in or pursuant to the Indenture, as so supplemented  or amended.

 

The Class A-1 Notes, the Class A-2 Notes, the Class  A-3-Notes and the Class A-4 Notes (together, the “Notes”) are and will  be equally and ratably secured by the collateral pledged as security therefor  as provided in the Indenture.

 

Principal of the Class A-2 Notes will be payable on  each Distribution Date in an amount described on the face hereof.  “Distribution Date” means the sixth  day of each month, or, if any such date is not a Business Day, the next  succeeding Business Day, commencing October 6, 2004.  The term “Distribution Date,” shall be deemed to include  the Final Scheduled Distribution Date.

 

As described above, the entire unpaid principal amount  of this Note shall be due and payable on the earlier of the Final Scheduled  Distribution Date and the Redemption Date, if any, pursuant to the  Indenture.  As described above, a  portion of the unpaid principal balance of this Note shall be due and payable  on the Redemption Date, if any.   Notwithstanding the foregoing, the entire unpaid principal amount of the  Notes shall be due and payable (i) on the date on which an Event of Default  shall have occurred and be continuing if the Security Insurer has declared the  Notes to be immediately due and payable in the manner provided in the  Indenture, so long as an Insurer Default shall not have occurred and be  continuing or (ii) if an Insurer Default shall have occurred and be continuing,  on the date on which an Event of Default shall have occurred and be continuing  and the Trustee or the Holders of the Notes
representing at least 66-2/3% of  the Outstanding Amount of the Notes have declared the Notes to be immediately  due and payable in the manner provided in the Indenture.  All principal payments on the Class A-2  Notes shall be made pro rata to the Class A-2 Noteholders entitled thereto.

 

Payments of interest on this Note due and payable on  each Distribution Date, together with the installment of principal, if any, to  the extent not in full payment of this Note, shall be made by check mailed to  the Person whose name appears as the Holder of this Note (or one or more  Predecessor Notes) on the Note Register as of the close of business on each  Record Date, except that with respect to Notes registered on the Record Date in  the name of the nominee of the Clearing Agency (initially, such nominee to be  Cede & Co.), payments will be made by wire transfer in immediately  available funds to the account designated by such nominee.  Such checks shall be mailed to the Person  entitled thereto at the address of such Person as it appears on the Note  Register as of the applicable Record Date without requiring that this Note be

 

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submitted for notation of payment.   Any reduction in the principal amount of this Note (or any one or more  Predecessor Notes) effected by any payments made on any Distribution Date shall  be binding upon all future Holders of this Note and of any Note issued upon the  registration of transfer hereof or in exchange hereof or in lieu hereof,  whether or not noted hereon.  If funds  are expected to be available, as provided in the Indenture, for payment in full  of the then remaining unpaid principal amount of this Note on a Distribution  Date, then the Trustee, in the name of and on behalf of the Issuer, will notify  the Person who was the Holder hereof as of the Record Date preceding such  Distribution Date by notice mailed prior to such Distribution Date and the  amount then due and payable shall be payable only upon presentation and  surrender of this Note at the Trustee’s principal Corporate Trust Office or at  the office of the
Trustee’s agent appointed for such purposes located in  Minneapolis, Minnesota.

 

The Issuer shall pay interest on overdue installments  of interest at the Class A-2 Interest Rate to the extent lawful.

 

As provided in the Indenture and subject to certain  limitations set forth therein, the transfer of this Note may be registered on  the Note Register upon surrender of this Note for registration of transfer at  the office or agency designated by the Issuer pursuant to the Indenture, (i)  duly endorsed by, or accompanied by a written instrument of transfer in form  satisfactory to the Trustee duly executed by, the Holder hereof or his attorney  duly authorized in writing, with such signature guaranteed by an “eligible  guarantor institution” meeting the requirements of the Note Registrar which  requirements include membership or participation in Securities Transfer Agents  Medallion Program (“STAMP”) or such other “signature guarantee program”  as may be determined by the Note Registrar in addition to, or in substitution  for, STAMP, all in accordance with the Exchange Act, and (ii) accompanied by
such other documents as the Trustee may require, and thereupon one or more new  Notes of authorized denominations and in the same aggregate principal amount  will be issued to the designated transferee or transferees.  No service charge will be charged for any  registration of transfer or exchange of this Note, but the transferor may be required  to pay a sum sufficient to cover any tax or other governmental charge that may  be imposed in connection with any such registration of transfer or exchange.

 

Each Noteholder or Note Owner, by acceptance of a Note  or, in the case of a Note Owner, a beneficial interest in a Note covenants and  agrees (i) that no recourse may be taken, directly or indirectly, with respect  to the obligations of the Issuer, the Owner Trustee or the Trustee on the Notes  or under the Indenture or any certificate or other writing delivered in  connection therewith, against (a) the Seller, the Servicer, the Trustee or  the Owner Trustee in its individual capacity, (b) any owner of a beneficial  interest in the Issuer or (c) any partner, owner, beneficiary, agent, officer,  director or employee of the Seller, the Servicer, the Trustee or the Owner  Trustee in its individual capacity, any holder of a beneficial interest in the  Issuer, the Seller, the Servicer, the Owner Trustee or the Trustee or of any  successor or assign of the Seller, the Servicer, the Trustee or the Owner  Trustee in its individual
capacity, except as any such Person may have  expressly agreed (it being understood that the Trustee and the Owner Trustee  have no such obligations in their individual capacity) and except that any such  partner, owner or beneficiary shall be fully liable, to the extent provided by  applicable law, for any unpaid consideration for stock, unpaid capital  contribution or failure to pay any installment or call owing to such entity,  and (ii) to treat the Notes as indebtedness for purposes of federal income,  state and local income and franchise and any other income taxes.

 

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Prior to the due presentment for registration of  transfer of this Note, the Issuer, the Trustee and the Security Insurer and any  agent of the Issuer, the Trustee or the Security Insurer may treat the Person  in whose name this Note (as of the day of determination or as of such other  date as may be specified in the Indenture) is registered as the owner hereof  for all purposes, whether or not this Note be overdue, and neither the Issuer,  the Trustee nor any such agent shall be affected by notice to the contrary.

 

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

 

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

 

The Issuer is permitted by the Indenture, under  certain circumstances, to merge or consolidate, subject to the rights of the  Trustee and the Noteholders under the Indenture.

 

The Notes are issuable only in registered form in  denominations as provided in the Indenture, subject to certain limitations  therein set forth.

 

This Note and the Indenture shall be construed in  accordance with the laws of the State of New York, without reference to its  conflict of law provisions, and the obligations, rights and remedies of the  parties hereunder and thereunder shall be determined in accordance with such  laws.

 

No reference herein to the Indenture and no provision  of this Note or of the Indenture shall alter or impair the obligation of the  Issuer, which is absolute and unconditional, to pay the principal of and  interest on this Note at the times, place, and rate, and in the coin or  currency herein prescribed.

 

Anything herein to the contrary notwithstanding,  except as expressly provided in the Indenture or the Basic Documents, neither Wilmington Trust Company in its  individual capacity, any owner of a beneficial interest in the Issuer, nor any  of their respective partners, beneficiaries, agents, officers, directors,  employees or successors or assigns shall be personally liable for, nor shall  recourse be had to any of them for, the payment of principal of or interest on,  or performance of, or omission to perform, any of the covenants, obligations or  indemnifications

 

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contained in this Note or the Indenture, it being expressly understood  that said covenants, obligations and indemnifications have been made by the  Owner Trustee for the sole purposes of binding the interests of the Owner  Trustee in the assets of the Issuer.   The Holder of this Note by the acceptance hereof agrees that except as  expressly provided in the Indenture or the Basic Documents, in the case of an  Event of Default under the Indenture, the Holder shall have no claim against  any of the foregoing for any deficiency, loss or claim therefrom; provided,  however, that nothing contained herein shall be taken to prevent  recourse to, and enforcement against, the assets of the Issuer for any and all  liabilities, obligations and undertakings contained in the Indenture or in this  Note.

 

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ASSIGNMENT

 

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

 

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

 

(name and address of assignee)

 

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

 

	
  Dated____________________________________1

  	
  ________________________________

  
	
   

  	
  Signature Guaranteed:

  

 

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

 

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EXHIBIT A-3

 

	
  REGISTERED

  	
  $205,000,000

  

 

No. RB-A-3

 

SEE REVERSE FOR CERTAIN  DEFINITIONS

 

CUSIP NO. 03061N HN 2

 

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

 

THE PRINCIPAL OF THIS NOTE IS PAYABLE IN INSTALLMENTS  AS SET FORTH HEREIN.  ACCORDINGLY, THE  OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME MAY BE LESS THAN THE AMOUNT  SHOWN ON THE FACE HEREOF.

 

AMERICREDIT AUTOMOBILE  RECEIVABLES TRUST 2004-C-A

 

CLASS A-3 3.00% ASSET  BACKED NOTE

 

AmeriCredit Automobile Receivables Trust 2004-C-A, a  statutory trust organized and existing under the laws of the State of Delaware  (herein referred to as the “Issuer”), for value received, hereby  promises to pay to CEDE & CO., or registered assigns, the principal sum of  TWO HUNDRED FIVE MILLION DOLLARS payable on each Distribution Date in an amount  equal to the result obtained by multiplying (i) a fraction the numerator of  which is $205,000,000 and the denominator of which is $205,000,000 by (ii) the  aggregate amount, if any, payable from the Note Distribution Account in respect  of principal on the Class A-3 Notes pursuant to the Indenture; provided,  however, that the entire unpaid principal amount of this Note shall be  due and payable on March 6, 2009 Distribution Date (the “Final Scheduled  Distribution Date”).  The Issuer  will pay interest on this Note at the rate
per annum shown above on each  Distribution Date until the principal of this Note is paid or made available  for payment.  Interest on this Note will  accrue for each Distribution Date from the most recent Distribution Date on  which interest has been paid to but excluding such Distribution Date or, if no  interest has yet been paid, from August 31, 2004.  Interest will be computed on the basis of a 360-day year  consisting of twelve 30-day months.   Such principal of and interest on this Note shall be paid in the manner  specified on the reverse hereof.

 

The principal of and interest on this Note are payable  in such coin or currency of the United States of America as at the time of  payment is legal tender for payment of public and 

 

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private debts.  All payments  made by the Issuer with respect to this Note shall be applied first to interest  due and payable on this Note as provided above and then to the unpaid principal  of this Note.

 

The Notes are entitled to the benefits of a note guaranty  insurance policy (the “Note Policy”) issued by Ambac Assurance  Corporation (the “Security Insurer”), pursuant to which the Security  Insurer has unconditionally guaranteed payments of the Noteholders’ Interest  Distributable Amount (net of any interest shortfall resulting from the  application of the Servicemembers Civil Relief Act, as amended, or any similar  state legislation or regulations) and the Noteholders’ Parity Deficit Amount  with respect to each Distribution Date and the unpaid principal balance of the  Notes on the Final Schedule Distribution Date, all as more fully set forth in  the Note Policy.

 

Reference is made to the further provisions of this  Note set forth on the reverse hereof, which shall have the same effect as  though fully set forth on the face of this Note.

 

Unless the certificate of authentication hereon has  been executed by the Trustee whose name appears below by manual signature, this  Note shall not be entitled to any benefit under the Indenture referred to on  the reverse hereof, or be valid or obligatory for any purpose.

 

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IN WITNESS WHEREOF, the Issuer has caused this  instrument to be signed, manually or in facsimile, by its Authorized Officer as  of the date set forth below.

 

	
   

  	
  AMERICREDIT AUTOMOBILE    RECEIVABLES TRUST 2004-C-A

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY,    not in its individual capacity but solely as Owner Trustee under the Trust    Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  _____________________________________

  
	
   

  	
   

  	
  Name: 

  
	
   

  	
   

  	
  Title:

  

 

TRUSTEE’S CERTIFICATE OF  AUTHENTICATION

 

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

 

	
  Date:  August    31, 2004

  	
  WELLS FARGO BANK NATIONAL ASSOCIATION, not in its    individual capacity but solely as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:___________________________________

  
	
   

  	
   

  	
  Authorized Signer

  

 

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[REVERSE OF NOTE]

 

This Note is one of a duly authorized issue of Notes  of the Issuer, designated as its Class A-3 3.00% Asset Backed Notes (herein  called the “Class A-3 Notes”), all issued under an Indenture dated as of  August 23, 2004 (such indenture, as supplemented or amended, is herein called  the “Indenture”), between the Issuer and Wells Fargo, National  Association, as trustee (the “Trustee,” which term includes any  successor Trustee under the Indenture) and as trust collateral agent (the “Trust  Collateral Agent”), which term includes any successor Trust Collateral Agent)  to which Indenture and all indentures supplemental thereto reference is hereby  made for a state-ment of the respective rights and obligations thereunder of  the Issuer, the Trustee and the Holders of the Notes.  The Notes are subject to all terms of the Indenture.  All terms used in this Note
that are defined  in the Indenture, as supplemented or amended, shall have the meanings assigned  to them in or pursuant to the Indenture, as so supplemented or amended.

 

The Class A-1 Notes, the Class A-2 Notes, the Class  A-3 Notes and the Class A-4 Notes (together, the “Notes”) are and will  be equally and ratably secured by the collateral pledged as security therefor  as provided in the Indenture.

 

Principal of the Class A-3 Notes will be payable on  each Distribution Date in an amount described on the face hereof. “Distribution  Date” means the sixth day of each month, or, if any such date is not a Business  Day, the next succeeding Business Day, commencing October 6, 2004.  The term “Distribution Date,” shall  be deemed to include the Final Scheduled Distribution Date.

 

As described above, the entire unpaid principal amount  of this Note shall be due and payable on the earlier of the Final Scheduled  Distribution Date and the Redemption Date, if any, pursuant to the Indenture.  As described above, a portion of the unpaid  principal balance of this Note shall be due and payable on the Redemption Date,  if any.  Notwithstanding the foregoing,  the entire unpaid principal amount of the Notes shall be due and payable (i) on  the date on which an Event of Default shall have occurred and be continuing if  the Security Insurer has declared the Notes to be immediately due and payable  in the manner provided in the Indenture, so long as an Insurer Default shall  not have occurred and be continuing or (ii) if an Insurer Default shall have  occurred and be continuing, on the date on which an Event of Default shall have  occurred and be continuing and the Trustee or the Holders of the Notes
representing at least 66-2/3% of the Outstanding Amount of the Notes have  declared the Notes to be immediately due and payable in the manner provided in  the Indenture.  All principal payments  on the Class A-3 Notes shall be made pro rata to the Class A-3 Noteholders entitled  thereto.

 

Payments of interest on this Note due and payable on  each Distribution Date, together with the installment of principal, if any, to  the extent not in full payment of this Note, shall be made by check mailed to  the Person whose name appears as the Holder of this Note (or one or more  Predecessor Notes) on the Note Register as of the close of business on each  Record Date, except that with respect to Notes registered on the Record Date in  the name of the nominee of the Clearing Agency (initially, such nominee to be  Cede & Co.), payments will be made by wire transfer in immediately  available funds to the account designated by such nominee.  Such checks shall be mailed to the Person  entitled thereto at the address of such Person as it appears on the Note  Register as of the applicable Record Date without requiring that this Note be 

 

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submitted for notation of payment.   Any reduction in the principal amount of this Note (or any one or more  Predecessor Notes) effected by any payments made on any Distribution Date shall  be binding upon all future Holders of this Note and of any Note issued upon the  registration of transfer hereof or in exchange hereof or in lieu hereof,  whether or not noted hereon.  If funds  are expected to be available, as provided in the Indenture, for payment in full  of the then remaining unpaid principal amount of this Note on a Distribution  Date, then the Trustee, in the name of and on behalf of the Issuer, will notify  the Person who was the Holder hereof as of the Record Date preceding such  Distribution Date by notice mailed prior to such Distribution Date and the  amount then due and payable shall be payable only upon presentation and  surrender of this Note at the Trustee’s principal Corporate Trust Office or at  the office of the
Trustee’s agent appointed for such purposes located in  Minneapolis, Minnesota.

 

The Issuer shall pay interest on overdue installments  of interest at the Class A-3  Interest  Rate to the extent lawful.

 

As provided in the Indenture and subject to certain  limitations set forth therein, the transfer of this Note may be registered on  the Note Register upon surrender of this Note for registration of transfer at  the office or agency designated by the Issuer pursuant to the Indenture, (i)  duly endorsed by, or accompanied by a written instrument of transfer in form  satisfactory to the Trustee duly executed by, the Holder hereof or his attorney  duly authorized in writing, with such signature guaranteed by an “eligible  guarantor institution” meeting the requirements of the Note Registrar which  requirements include membership or participation in Securities Transfer Agents  Medallion Program (“STAMP”) or such other “signature guarantee program”  as may be determined by the Note Registrar in addition to, or in substitution  for, STAMP, all in accordance with the Exchange Act, and (ii) accompanied by
such other documents as the Trustee may require, and thereupon one or more new  Notes of authorized denominations and in the same aggregate principal amount  will be issued to the designated transferee or transferees.  No service charge will be charged for any  registration of transfer or exchange of this Note, but the transferor may be  required to pay a sum sufficient to cover any tax or other governmental charge  that may be imposed in connection with any such registration of transfer or  exchange.

 

Each Noteholder or Note Owner, by acceptance of a Note  or, in the case of a Note Owner, a beneficial interest in a Note covenants and  agrees (i) that no recourse may be taken, directly or indirectly, with respect  to the obligations of the Issuer, the Owner Trustee or the Trustee on the Notes  or under the Indenture or any certificate or other writing delivered in  connection therewith, against (a) the Seller, the Servicer, the Trustee or  the Owner Trustee in its individual capacity, (b) any owner of a beneficial  interest in the Issuer or (c) any partner, owner, beneficiary, agent, officer,  director or employee of the Seller, the Servicer, the Trustee or the Owner  Trustee in its individual capacity, any holder of a beneficial interest in the  Issuer, the Seller, the Servicer, the Owner Trustee or the Trustee or of any  successor or assign of the Seller, the Servicer, the Trustee or the Owner  Trustee in its individual
capacity, except as any such Person may have  expressly agreed (it being understood that the Trustee and the Owner Trustee  have no such obligations in their individual capacity) and except that any such  partner, owner or beneficiary shall be fully liable, to the extent provided by  applicable law, for any unpaid consideration for stock, unpaid capital  contribution or failure to pay any installment or call owing to such entity,  and (ii) to treat the Notes as indebtedness for purposes of federal income,  state and local income and franchise and any other income taxes.

 

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Prior to the due presentment for registration of  transfer of this Note, the Issuer, the Trustee and the Security Insurer and any  agent of the Issuer, the Trustee or the Security Insurer may treat the Person  in whose name this Note (as of the day of determination or as of such other  date as may be specified in the Indenture) is registered as the owner hereof  for all purposes, whether or not this Note be overdue, and neither the Issuer,  the Trustee nor any such agent shall be affected by notice to the contrary.

 

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

 

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

 

The Issuer is permitted by the Indenture, under  certain circumstances, to merge or consolidate, subject to the rights of the  Trustee and the Noteholders under the Indenture.

 

The Notes are issuable only in registered form in  denominations as provided in the Indenture, subject to certain limitations  therein set forth.

 

This Note and the Indenture shall be construed in  accordance with the laws of the State of New York, without reference to its  conflict of law provisions, and the obligations, rights and remedies of the  parties hereunder and thereunder shall be determined in accordance with such  laws.

 

No reference herein to the Indenture and no provision  of this Note or of the Indenture shall alter or impair the obligation of the  Issuer, which is absolute and unconditional, to pay the principal of and  interest on this Note at the times, place, and rate, and in the coin or  currency herein prescribed.

 

Anything herein to the contrary notwithstanding,  except as expressly provided in the Indenture or the Basic Documents, neither Wilmington Trust Company in its  individual capacity, any owner of a beneficial interest in the Issuer, nor any  of their respective partners, beneficiaries, agents, officers, directors,  employees or successors or assigns shall be personally liable for, nor shall  recourse be had to any of them for, the payment of principal of or interest on,  or performance of, or omission to perform, any of the covenants, obligations or  indemnifications 

 

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contained in this Note or the Indenture, it being expressly understood  that said covenants, obligations and indemnifications have been made by the  Owner Trustee for the sole purposes of binding the interests of the Owner  Trustee in the assets of the Issuer.   The Holder of this Note by the acceptance hereof agrees that except as  expressly provided in the Indenture or the Basic Documents, in the case of an  Event of Default under the Indenture, the Holder shall have no claim against  any of the foregoing for any deficiency, loss or claim therefrom; provided,  however, that nothing contained herein shall be taken to prevent  recourse to, and enforcement against, the assets of the Issuer for any and all  liabilities, obligations and undertakings contained in the Indenture or in this  Note.

 

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ASSIGNMENT

 

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

 

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

(name and address of assignee)

 

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

 

	
  Dated____________________________________1

  	
   

  	
  _____________________________________

  
	
   

  	
   

  	
  Signature Guaranteed:

  
	
   

  	
   

  	
   

  
	
  _________________________________________

  	
   

  	
  _____________________________________

  

 

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

 

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EXHIBIT A-4

 

	
  REGISTERED

  	
  $206,000,000

  

 

No. RB-A-4

 

SEE REVERSE FOR CERTAIN  DEFINITIONS

 

CUSIP NO. 03061N  HP 7

 

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

 

THE PRINCIPAL OF THIS NOTE IS PAYABLE IN INSTALLMENTS  AS SET FORTH HEREIN.  ACCORDINGLY, THE  OUTSTANDING PRINCIPAL AMOUNT OF THIS NOTE AT ANY TIME MAY BE LESS THAN THE  AMOUNT SHOWN ON THE FACE HEREOF.

 

AMERICREDIT AUTOMOBILE  RECEIVABLES TRUST 2004-C-A

 

CLASS A-4 3.61% ASSET  BACKED NOTE

 

AmeriCredit Automobile Receivables Trust 2004-C-A, a  statutory trust organized and existing under the laws of the State of Delaware  (herein referred to as the “Issuer”), for value received, hereby  promises to pay to CEDE & CO., or registered assigns, the principal sum of  TWO HUNDRED SIX MILLION DOLLARS payable on each Distribution Date in an amount  equal to the result obtained by multiplying (i) a fraction the numerator of  which is $206,000,000 and the denominator of which is $206,000,000 by (ii) the  aggregate amount, if any, payable from the Note Distribution Account in respect  of principal on the Class A-4 Notes pursuant to the Indenture; provided,  however, that the entire unpaid principal amount of this Note shall be  due and payable on May 6, 2011 Distribution Date (the “Final Scheduled  Distribution Date”).  The Issuer  will pay interest on this Note at the per
annum shown above on each  Distribution Date until the principal of this Note is paid or made available  for payment.  Interest on this Note will  accrue for each Distribution Date from the most recent Distribution Date on  which interest has been paid to but excluding such Distribution Date or, if no  interest has yet been paid, from August 31, 2004.  Interest will be computed on the basis of a 360-day year  consisting of twelve 30-day months.   Such principal of and interest on this Note shall be paid in the manner  specified on the reverse hereof.

 

The principal of and interest on this Note are payable  in such coin or currency of the United States of America as at the time of  payment is legal tender for payment of public and 

 

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private debts.  All payments  made by the Issuer with respect to this Note shall be applied first to interest  due and payable on this Note as provided above and then to the unpaid principal  of this Note.

 

The Notes are entitled to the benefits of a note  guaranty insurance policy (the “Note Policy”) issued by Ambac Assurance  Corporation (the “Security Insurer”), pursuant to which the Security  Insurer has unconditionally guaranteed payments of the Noteholders’ Interest  Distributable Amount (net of any interest shortfall resulting from the  application of the Servicemembers Civil Relief Act, as amended, or any similar  state legislation or regulations) and the Noteholders’ Parity Deficit Amount  with respect to each Distribution Date and the unpaid principal balance of the  Notes on the Final Schedule Distribution Date, all as more fully set forth in  the Note Policy.

 

Reference is made to the further provisions of this  Note set forth on the reverse hereof, which shall have the same effect as  though fully set forth on the face of this Note.

 

Unless the certificate of authentication hereon has  been executed by the Trustee whose name appears below by manual signature, this  Note shall not be entitled to any benefit under the Indenture referred to on  the reverse hereof, or be valid or obligatory for any purpose.

 

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IN WITNESS WHEREOF, the Issuer has caused this  instrument to be signed, manually or in facsimile, by its Authorized Officer as  of the date set forth below.

 

	
   

  	
  AMERICREDIT AUTOMOBILE    RECEIVABLES TRUST    2004-C-A

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  WILMINGTON TRUST COMPANY,    not in its individual capacity but solely as Owner Trustee under the Trust    Agreement

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:___________________________________

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

TRUSTEE’S CERTIFICATE OF  AUTHENTICATION

 

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

 

	
  Date: August 31, 2004

  	
  WELLS FARGO    BANK, NATIONAL ASSOCIATION, not in its individual    capacity but solely as Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  ______________________________________

  
	
   

  	
   

  	
  Authorized Signer

  

 

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[REVERSE OF NOTE]

 

This Note is one of a duly authorized issue of Notes  of the Issuer, designated as its Class A-4 3.61% Asset Backed Notes (herein  called the “Class A-4 Notes”), all issued under an Indenture dated as of  August 23, 2004 (such indenture, as supplemented or amended, is herein called  the “Indenture”), between the Issuer and Wells Fargo Bank, National  Association, as trustee (the “Trustee,” which term includes any  successor Trustee under the Indenture) and as trust collateral agent (the “Trust  Collateral Agent”), which term includes any successor Trust Collateral  Agent to which Indenture and all indentures supplemental thereto reference is  hereby made for a state-ment of the respective rights and obligations  thereunder of the Issuer, the Trustee and the Holders of the Notes.  The Notes are subject to all terms of the  Indenture.  All terms used in this
Note that  are defined in the Indenture, as supplemented or amended, shall have the meanings  assigned to them in or pursuant to the Indenture, as so supplemented or  amended.

 

The Class A-1 Notes, the Class A-2 Notes, the Class  A-3 Notes and the Class A-4 Notes (together, the “Notes”) are and will  be equally and ratably secured by the collateral pledged as security therefor  as provided in the Indenture.

 

Principal of the Class A-4 Notes will be payable on  each Distribution Date in an amount described on the face hereof. “Distribution  Date” means the sixth day of each month, or, if any such date is not a Business  Day, the next succeeding Business Day, commencing October 6, 2004.  The term “Distribution Date,” shall  be deemed to include the Final Scheduled Distribution Date.

 

As described above, the entire unpaid principal amount  of this Note shall be due and payable on the earlier of the Final Scheduled  Distribution Date and the Redemption Date, if any, pursuant to the  Indenture.  As described above, a  portion of the unpaid principal balance of this Note shall be due and payable  on the Redemption Date, if any.   Notwithstanding the foregoing, the entire unpaid principal amount of the  Notes shall be due and payable (i) on the date on which an Event of Default  shall have occurred and be continuing if the Security Insurer has declared the  Notes to be immediately due and payable in the manner provided in the  Indenture, so long as an Insurer Default shall not have occurred and be  continuing or (ii) if an Insurer Default shall have occurred and be continuing,  on the date on which an Event of Default shall have occurred and be continuing  and the Trustee or the Holders of the Notes
representing at least 66-2/3% of  the Outstanding Amount of the Notes have declared the Notes to be immediately  due and payable in the manner provided in the Indenture.  All principal payments on the Class A-4  Notes shall be made pro rata to the Class A-4 Noteholders entitled thereto.

 

Payments of interest on this Note due and payable on  each Distribution Date, together with the installment of principal, if any, to  the extent not in full payment of this Note, shall be made by check mailed to  the Person whose name appears as the Holder of this Note (or one or more  Predecessor Notes) on the Note Register as of the close of business on each  Record Date, except that with respect to Notes registered on the Record Date in  the name of the nominee of the Clearing Agency (initially, such nominee to be  Cede & Co.), payments will be made by wire transfer in immediately  available funds to the account designated by such nominee.  Such checks shall be mailed to the Person  entitled thereto at the address of such Person as it appears on the Note  Register as of the applicable Record Date without requiring that this Note be 

 

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submitted for notation of payment.   Any reduction in the principal amount of this Note (or any one or more  Predecessor Notes) effected by any payments made on any Distribution Date shall  be binding upon all future Holders of this Note and of any Note issued upon the  registration of transfer hereof or in exchange hereof or in lieu hereof,  whether or not noted hereon.  If funds  are expected to be available, as provided in the Indenture, for payment in full  of the then remaining unpaid principal amount of this Note on a Distribution  Date, then the Trustee, in the name of and on behalf of the Issuer, will notify  the Person who was the Holder hereof as of the Record Date preceding such  Distribution Date by notice mailed prior to such Distribution Date and the  amount then due and payable shall be payable only upon presentation and  surrender of this Note at the Trustee’s principal Corporate Trust Office or at  the office of the
Trustee’s agent appointed for such purposes located in  Minneapolis, Minnesota.

 

The Issuer shall pay interest on overdue installments  of interest at the Class A-4 Interest Rate to the extent lawful.

 

As provided in the Indenture and subject to certain  limitations set forth therein, the transfer of this Note may be registered on  the Note Register upon surrender of this Note for registration of transfer at  the office or agency designated by the Issuer pursuant to the Indenture, (i)  duly endorsed by, or accompanied by a written instrument of transfer in form  satisfactory to the Trustee duly executed by, the Holder hereof or his attorney  duly authorized in writing, with such signature guaranteed by an “eligible  guarantor institution” meeting the requirements of the Note Registrar which  requirements include membership or participation in Securities Transfer Agents  Medallion Program (“STAMP”) or such other “signature guarantee program”  as may be determined by the Note Registrar in addition to, or in substitution  for, STAMP, all in accordance with the Exchange Act, and (ii) accompanied by
such other documents as the Trustee may require, and thereupon one or more new  Notes of authorized denominations and in the same aggregate principal amount  will be issued to the designated transferee or transferees.  No service charge will be charged for any  registration of transfer or exchange of this Note, but the transferor may be  required to pay a sum sufficient to cover any tax or other governmental charge  that may be imposed in connection with any such registration of transfer or  exchange.

 

Each Noteholder or Note Owner, by acceptance of a Note  or, in the case of a Note Owner, a beneficial interest in a Note covenants and  agrees (i) that no recourse may be taken, directly or indirectly, with respect  to the obligations of the Issuer, the Owner Trustee or the Trustee on the Notes  or under the Indenture or any certificate or other writing delivered in  connection therewith, against (a) the Seller, the Servicer, the Trustee or  the Owner Trustee in its individual capacity, (b) any owner of a beneficial  interest in the Issuer or (c) any partner, owner, beneficiary, agent, officer,  director or employee of the Seller, the Servicer, the Trustee or the Owner  Trustee in its individual capacity, any holder of a beneficial interest in the  Issuer, the Seller, the Servicer, the Owner Trustee or the Trustee or of any  successor or assign of the Seller, the Servicer, the Trustee or the Owner  Trustee in its individual
capacity, except as any such Person may have  expressly agreed (it being understood that the Trustee and the Owner Trustee  have no such obligations in their individual capacity) and except that any such  partner, owner or beneficiary shall be fully liable, to the extent provided by  applicable law, for any unpaid consideration for stock, unpaid capital  contribution or failure to pay any installment or call owing to such entity,  and (ii) to treat the Notes as indebtedness for purposes of federal income,  state and local income and franchise and any other income taxes.

 

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Prior to the due presentment for registration of  transfer of this Note, the Issuer, the Trustee and the Security Insurer and any  agent of the Issuer, the Trustee or the Security Insurer may treat the Person  in whose name this Note (as of the day of determination or as of such other date  as may be specified in the Indenture) is registered as the owner hereof for all  purposes, whether or not this Note be overdue, and neither the Issuer, the  Trustee nor any such agent shall be affected by notice to the contrary.

 

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

 

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

 

The Issuer is permitted by the Indenture, under  certain circumstances, to merge or consolidate, subject to the rights of the  Trustee and the Noteholders under the Indenture.

 

The Notes are issuable only in registered form in  denominations as provided in the Indenture, subject to certain limitations  therein set forth.

 

This Note and the Indenture shall be construed in  accordance with the laws of the State of New York, without reference to its  conflict of law provisions, and the obligations, rights and remedies of the  parties hereunder and thereunder shall be determined in accordance with such  laws.

 

No reference herein to the Indenture and no provision  of this Note or of the Indenture shall alter or impair the obligation of the  Issuer, which is absolute and unconditional, to pay the principal of and  interest on this Note at the times, place, and rate, and in the coin or  currency herein prescribed.

 

Anything herein to the contrary notwithstanding,  except as expressly provided in the Indenture or the Basic Documents, neither Wilmington Trust Company in its  individual capacity, any owner of a beneficial interest in the Issuer, nor any  of their respective partners, beneficiaries, agents, officers, directors,  employees or successors or assigns shall be personally liable for, nor shall  recourse be had to any of them for, the payment of principal of or interest on,  or performance of, or omission to perform, any of the covenants, obligations or  indemnifications 

 

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contained in this Note or the Indenture, it being expressly understood  that said covenants, obligations and indemnifications have been made by the  Owner Trustee for the sole purposes of binding the interests of the Owner  Trustee in the assets of the Issuer.   The Holder of this Note by the acceptance hereof agrees that except as  expressly provided in the Indenture or the Basic Documents, in the case of an  Event of Default under the Indenture, the Holder shall have no claim against  any of the foregoing for any deficiency, loss or claim therefrom; provided,  however, that nothing contained herein shall be taken to prevent  recourse to, and enforcement against, the assets of the Issuer for any and all  liabilities, obligations and undertakings contained in the Indenture or in this  Note.

 

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ASSIGNMENT

 

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

 

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

 

(name and address of assignee)

 

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

 

	
  Dated____________________________________1

  	
   

  	
  ______________________________________

  
	
   

  	
   

  	
  Signature Guaranteed:

  
	
   

  	
   

  	
   

  
	
  ________________________________________

  	
   

  	
  _____________________________________

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

 

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

 

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SCHEDULE A

 

REPRESENTATIONS AND  WARRANTIES OF THE ISSUER

 

Representations and Warranties Regarding the  Receivables:

 

	
   

  	
  1.      Security    Interest in Financed Vehicle.  This Indenture creates a valid and    continuing security interest (as defined in the applicable UCC) in the    Receivables in favor of the Trust Collateral Agent, which security interest    is prior to all other Liens, and is enforceable as such as against creditors    of and purchasers from the Seller.     The Issuer owns and has good and marketable title to the Receivables    free and clear of any Lien (other than the Lien in favor of the Trust    Collateral Agent), claim or encumbrance of any Person.

  
	
   

  	
   

  
	
   

  	
  2.      All    Filings Made.  The Issuer has taken all steps necessary to    perfect the Trust Collateral Agent’s security interest in the property    securing the Receivables, provided that, if not done as of the Closing Date,    the Issuer  will cause, within ten days of the Closing Date, the filing of    all appropriate financing statements in the proper filing office in the State    of Delaware under applicable law in order to perfect the security interest in    the Receivables granted to the Trust Collateral Agent hereunder.

  
	
   

  	
   

  
	
   

  	
  3.      No    Impairment.  The Issuer has not    done anything to convey any right to any Person that would result in such    Person having a right to payments due under the Receivable or otherwise to    impair the rights of the Security Insurer, the Trustee, the Trust Collateral    Agent and the Noteholders in any Receivable or the proceeds thereof. Other than the security interest granted to    the Trust Collateral Agent  pursuant    to this Indenture, the Issuer    has not pledged, assigned, sold, granted a security interest in, or otherwise    conveyed any of the Receivables. The Issuer has not authorized the filing of    and is not aware of any financing statements against the Issuer that include    a description of collateral covering the Receivables other than any financing    statement relating to the security interest granted to the Trust Collateral    Agent hereunder or that has been terminated. The
Issuer is not aware of any    judgment or tax lien filings against it.

  
	
   

  	
   

  
	
   

  	
  4.      Chattel    Paper.  The Receivables constitute    chattel paper within the meaning of the UCC as in effect in the States of    Texas, New York, Delaware, Nevada and Minnesota.

  
	
   

  	
   

  
	
   

  	
  5.      Good Title.  Immediately prior to the pledge of the    Receivables to the Trust Collateral Agent pursuant to this Indenture, the    Issuer was the sole owner thereof and had good and indefeasible title thereto,    free of any Lien and, upon execution and delivery of this Agreement, the    Trust shall have good and indefeasible title to and will be the sole owner of    such Receivables, free of any Lien. No Dealer or Third-Party Lender has a    participation in, or other right to receive, proceeds of any Receivable.  The Issuer has not taken any action to    convey any right to any Person that would result in such Person having a    right to payments received under the related Insurance Policies or the    related Dealer Agreements, Auto Loan Purchase and Sale Agreements, Dealer    Assignments or Third-Party Lender Assignments or to payments due under such    Receivables.

  

 

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  6.      Possession    of Original Copies.  The Servicer,    as Custodian on behalf of the Issuer, has in its possession all original    copies of the contracts that constitute or evidence the Receivable.

  

 

Sch. A-2

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