Document:

Exhibit 4.1

                               SERIES SUPPLEMENT

                 REPACKAGED GE GLOBAL INSURANCE FLOATING RATE

                              TRUST CERTIFICATES,

                              SERIES 2002-1 TRUST

                                    between

                            LEHMAN ABS CORPORATION,

                                 as Depositor,

                                      and

                     U.S. BANK TRUST NATIONAL ASSOCIATION,

                                  as Trustee,

                              TRUST CERTIFICATES

                         Dated as of November 15, 2002

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                               Table of Contents
                                                                          Page

Section 1. Incorporation of Standard Terms...................................1

Section 2. Definitions.......................................................2

Section 3. Designation of Trust and Certificates.............................9

Section 4. Trust Certificates................................................9

Section 5. Distributions....................................................10

Section 6. Early Redemption of Certificates.................................10

Section 7. Partial Unwind of Certificates...................................12

Section 8. Trustee's Fees...................................................14

Section 9. Swap Payments....................................................14

Section 10. Notices of Swap Termination Events..............................15

Section 11. Miscellaneous...................................................15

Section 12. Governing Law...................................................18

Section 13. Counterparts....................................................18

Section 14. Termination of the Trust........................................18

Section 15. Sale of Underlying Securities...................................18

Section 16. Amendments......................................................18

Section 17. Voting of Underlying Securities, Modification of Underlying
            Securities Indenture............................................18

Section 18. Additional Depositor Representation.............................20

SCHEDULE I     SERIES 2002-1 UNDERLYING SECURITIES SCHEDULE
EXHIBIT A      FORM OF TRUST CERTIFICATE
EXHIBIT B      FORM OF SWAP AGREEMENT

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                               SERIES SUPPLEMENT

       REPACKAGED GE GLOBAL INSURANCE FLOATING RATE TRUST CERTIFICATES
                              SERIES 2002-1 TRUST

            SERIES SUPPLEMENT, Repackaged GE Global Insurance Floating Rate
Trust Certificates Series 2002-1, dated as of November 15, 2002 (the "Series
Supplement"), by and between LEHMAN ABS CORPORATION, as Depositor (the
"Depositor"), and U.S. BANK TRUST NATIONAL ASSOCIATION, as Trustee (the
"Trustee").

                             W I T N E S S E T H:

            WHEREAS, the Depositor desires to create the Trust designated
herein (the "Trust") by executing and delivering this Series Supplement, which
shall incorporate the terms of the Standard Terms for Trust Agreements, dated
as of January 16, 2001 (the "Standard Terms" and, together with this Series
Supplement, the "Trust Agreement"), by and between the Depositor and the
Trustee, as modified by this Series Supplement;

            WHEREAS, the Depositor desires to deposit into the Trust the
Underlying Securities set forth on Schedule I attached hereto (the "Underlying
Securities Schedule") the general terms of which are described in the
Prospectus Supplement under the heading "Description of the Underlying
Securities";

            WHEREAS, the Depositor desires that the Trust enter into a swap
agreement pursuant to which the Trust will exchange interest payments due on
the Underlying Securities for payments from the Swap Counterparty which will
be passed through the Certificateholders;

            WHEREAS, in connection with the creation of the Trust, the deposit
therein of the Underlying Securities and the entering into the Swap Agreement
thereby, it is desired to provide for the issuance of trust certificates
evidencing undivided interests in the Trust; and

            WHEREAS, the Trustee has joined in the execution of the Standard
Terms and this Series Supplement to evidence the acceptance by the Trustee of
the Trust.

            NOW, THEREFORE, in consideration of the foregoing premises and the
mutual covenants expressed herein, it is hereby agreed by and between the
Depositor and the Trustee as follows:

     Section 1. Incorporation of Standard Terms. Except as otherwise provided
herein, all of the provisions of the Standard Terms are hereby incorporated
herein by reference in their entirety, and this Series Supplement and the
Standard Terms shall form a single agreement between the parties. In the event
of any inconsistency between the provisions of this Series Supplement and the
provisions of the Standard Terms, the provisions of this Series Supplement
will control with respect to the Repackaged GE Global Insurance Floating Rate
Trust Certificates, Series 2002-1 Certificates and the transactions described
herein.

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     Section 2. Definitions.

     (a) Except as otherwise specified herein or as the context may otherwise
require, the following terms shall have the respective meanings set forth
below for all purposes under this Series Supplement. (Section 2(b) below sets
forth terms listed in the Standard Terms which are not applicable to this
Series.) Capitalized terms used but not defined herein shall have the meanings
assigned to them in the Standard Terms.

            "Affiliated Owner" shall have the meaning set forth in Section
7(a).

            "Available Funds" shall mean, for any Distribution Date, Available
Interest Funds and Available Principal Funds for such Distribution Date.

            "Available Interest Funds" shall mean, for any Distribution Date,
the sum of (i) all amounts received from the Swap Counterparty pursuant to the
Swap Agreement during the preceding Interest Accrual Period and (ii) any
amounts with respect to interest on the Underlying Securities actually
received by the Trust pursuant to the Underlying Securities Indenture on such
Distribution Date and not required to be paid to the Swap Counterparty
pursuant to the Swap Agreement.

            "Available Principal Funds" shall mean all amounts received from
the Underlying Securities Issuer with respect to principal on the Underlying
Securities on the Final Scheduled Distribution Date or any other date.

            "Business Day" shall mean any day other than a Saturday, a Sunday
or a day on which banking institutions in New York, New York are authorized or
obligated by law or executive order to be closed.

            "Calculation Agent" shall mean Lehman Brothers Derivative
Products Inc.

            "Certificate Account" shall have the meaning specified in the
Standard Terms.

            "Certificates" shall mean the Certificates, in the form attached
hereto as Exhibit A, to be issued by the Trust representing a proportionate
undivided beneficial ownership interest in certain distributions to be made by
the Trust and having the characteristics described herein and in the
Certificates.

            "Closing Date" shall mean November 15, 2002.

            "Code" means the Internal Revenue Code of 1986, as amended.

            "Corporate Trust Office" shall mean the office of U.S. Bank Trust
National Association located at 100 Wall Street, New York, New York 10005.

            "Currency" shall mean United States Dollars.

            "Depository" shall mean The Depository Trust Company, its nominees
and their respective successors.

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            "Discontinuation Date" shall mean the date determined by the
Depositor within a reasonable time following the Underlying Securities
Issuer's either (x) having stated in writing that it intends permanently to
cease filing reports required under the Exchange Act or (y) having failed to
file any required reports for one full calendar year.

            "Distribution Date" shall mean February 15th, May 15th, August
15th and November 15th of each year (or if such date is not a Business Day,
the next succeeding Business Day), commencing on February 15, 2003, and ending
on the earlier of the Final Scheduled Distribution Date and any date on which
all Underlying Securities are redeemed pursuant to the Underlying Securities
Indenture or prepaid or liquidated in whole for any reason other than at their
maturity.

            "Early Termination Date" shall mean the date so designated as such
in accordance with the terms of the Swap Agreement.

            "Early Termination Payment" shall mean, with respect to any Early
Termination Date, the amount payable by the Swap Counterparty or the Trust, as
applicable, on such Early Termination Date pursuant to the Swap Agreement.

            "ERISA" means the Employee Retirement Income Security Act of 1974,
as amended.

            "Exchange Act" shall mean the Securities and Exchange Act of 1934,
as amended, and the rules and regulations promulgated thereunder.

            "Exercise Date" shall mean the date on which an Affiliated Owner
delivers a Partial Unwind Agreement to the Trustee, accompanied by a
certificate of the Marketing Agent pursuant to Section 7(a) hereof.

            "Final Scheduled Distribution Date" shall mean February 15, 2026,
or, if such day is not a Business Day, the next succeeding Business Day.

            "Interest Accrual Period" shall mean for any Distribution Date,
the period from and including the preceding Distribution Date (or in the case
of the first Interest Accrual Period, from and including November 15, 2002) to
but excluding the current Distribution Date.

            "Interest Distribution Amount" shall mean, with respect to each
Distribution Date, an amount equal to the product of (i) the outstanding
Certificate Principal Amount, (ii) the applicable Interest Rate for the
preceding Interest Accrual Period and (iii) the actual number of days in such
Interest Accrual Period divided by 360, as determined in accordance with the
terms of the Swap Agreement.

            "Interest Rate" shall mean, for each Interest Accrual Period,
Three-Month LIBOR for the related LIBOR Determination Date plus 0.50%.

            "LIBOR Determination Date" shall mean for the first Interest
Accrual Period, November 13, 2002, and for any subsequent Interest Accrual
Period, the second London Banking Day preceding the commencement of such
Interest Accrual Period.

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            "London Banking Day" shall mean, any day on which commercial banks
are open for business (including dealings in foreign exchange and foreign
currency deposits) in London.

            "Liquidation Price" shall mean the price at which the Trustee
sells the Underlying Securities.

            "Liquidation Proceeds" shall mean (i) with respect to a
liquidation of the Underlying Securities in accordance with the Sale
Procedures, the net proceeds received from the sale by the Marketing Agent, in
accordance with the Sale Procedures, of the entire principal amount of the
Underlying Securities or (ii) with respect to an Underlying Acceleration
Termination, the payments received by the Trustee in respect of the related
acceleration of the Underlying Securities.

            "Marketing Agent" shall mean Lehman Brothers Inc.

            "Maturity Date" shall have the meaning specified in Schedule I
hereto.

            "Moody's" shall mean Moody's Investors Service, Inc.

            "Optional Termination Amount" shall mean, in connection with the
execution of the Partial Unwind Agreement, the principal amount of Underlying
Securities corresponding to the principal amount of an Affiliated Owner's
Certificates to be redeemed pursuant to such Partial Unwind Agreement.

            "Ordinary Expenses" shall mean the Trustee's ordinary expenses and
overhead in connection with its services as Trustee, including the items
referred to in the definition of Ordinary Expenses in the Standard Terms.

            "Partial Unwind Agreement" means an agreement between an
Affiliated Owner and the Swap Counterparty, and subject to countersignature by
the Trustee on behalf of the Trust.

            "Partial Unwind Amount" means the dollar amount (which shall,
except in the case of the Depositor or any Affiliate thereof, be at least
$1,000,000) specified in the related Partial Unwind Agreement, which dollar
amount corresponds to the principal amount of the Certificates to be delivered
to the Trustee and the principal amount of Underlying Securities to be
delivered or sold by the Trustee, in each case in accordance with Section
7(a).

            "Partial Unwind Date" has the meaning specified in Section 7(a).

            "Plan" means (a) an employee benefit plan (as defined in Section
3(3) of ERISA), (b) a plan described in Section 4975(e)(1) of the Code or (c)
any entity whose underlying assets are treated as assets of any such plan by
reason of such plan's investment in the entity.

            "Prepaid Ordinary Expenses" shall be zero for this Series.

            "Pro Rata Share" shall mean, with respect to any
Certificateholder, a fraction the numerator of which equals the Outstanding
principal amount of the Certificates owned by such

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Certificateholder and the denominator of which equals the aggregate
Outstanding principal amount of the Certificates.

            "Prospectus Supplement" shall mean the Prospectus Supplement,
dated November 12, 2002, relating to the Certificates.

            "Rating Agency" shall mean Moody's and S&P.

            "Record Date" shall mean, with respect to each Distribution Date,
the day immediately preceding the related Distribution Date.

            "Required Percentage-Amendment" shall be 66-2/3% of the aggregate
Voting Rights.

            "Required Percentage-Direction of Trustee" shall be 66-2/3% of the
aggregate Voting Rights.

            "Required Percentage-Remedies" shall be 66-2/3% of the aggregate
Voting Rights.

            "Required Percentage-Removal" shall be 66-2/3% of the aggregate
Voting Rights.

            "Required Rating" shall mean, in the case of Moody's, the rating
assigned to the Underlying Securities by Moody's as of the Closing Date, and,
in the case of S&P, the rating assigned to the Underlying Securities by S&P as
of the Closing Date.

            "S&P" shall mean Standard & Poor's Ratings Services, a division of
The McGraw-Hill Companies, Inc.

            "Sale Procedure" shall mean the process by which the Marketing
Agent, on behalf of the Trust, will sell the Underlying Securities to the
solicited bidder (which bidders will be determined by the Marketing Agent in
its sole and absolute discretion and which bidders may include Lehman Brothers
Inc. or any of its affiliates but in any case shall include at least two
bidders which are not affiliated with Lehman Brothers Inc.; provided, however,
that neither Lehman Brothers Inc. or any of its affiliates is obligated to
bid, and that such bidders need not be limited to recognized broker dealers;
and provided further that if Lehman Brothers Inc. or any of its affiliates are
bidders, any bid made by them shall not be greater than the fair value of the
Underlying Securities) that provides the highest firm bid for the Underlying
Securities. In the sole judgement of the Marketing Agent, bids may be
evaluated on the basis of bids for all or a portion of the Underlying
Securities being sold or any other basis selected in a commercially reasonable
manner by the Marketing Agent.

            "Securities Act" shall mean the United States Securities Act of
1933, as amended.

            "Series" shall mean Repackaged GE Global Insurance Floating Rate
Trust Certificates, Series 2002-1.

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            "Special Redemption Date" shall mean the tenth Business Day
following the Discontinuation Date.

            "Special Termination Event" shall mean a Swap Termination Event
caused by the occurrence of (i) an event specified in Sections 5(a)(i) of the
Swap Agreement, (ii) an event specified in Section 5(a)(vii) of the Swap
Agreement or (iii) a Trigger Event.

            "Swap Agreement" shall mean the ISDA Master Agreement dated as of
the Closing Date, between the Trust and the Swap Counterparty (including the
Schedule thereto) as supplemented by the Confirmation dated November 15, 2002,
in the form attached hereto as Exhibit B.

            "Swap Termination Event" shall mean the occurrence of any event
that would constitute an "Event of Default" or "Termination Event" under the
Swap Agreement.

            "Swap Counterparty" shall mean Lehman Brothers Derivative Products
Inc, or any permitted successor or assign thereto.

            "Swap Redemption Date" shall mean the fifth Business Day following
any Early Termination Date.

            "Telerate Page 3750" shall mean the display on the Dow Jones
Telerate Service on page 3750 (or any other page as may replace such page on
that service for the purpose of displaying LIBOR).

            "Three-Month LIBOR" shall mean, with respect to any LIBOR
Determination Date, the London interbank offered rate for three-month (such
period being referred to as the "Index Maturity") United States dollar
deposits, commencing on the second London Banking Day immediately following
such LIBOR Determination Date, which appears on Telerate Page 3750 as of 11:00
A.M., London time, on such LIBOR Determination Date. If Telerate Page 3750 is
unavailable at such time, LIBOR for the appropriate Index Maturity will be
determined at approximately 11:00 A.M., London time, on such LIBOR
Determination Date on the basis of the rate at which LIBOR having such Index
Maturity is offered by four major banks selected by the Calculation Agent in
the London interbank market commencing on the second London Banking Day
immediately following such LIBOR Determination Date. The Calculation Agent
will request the principal London office of each of such banks to provide a
quotation of its rate. If at least two such quotations are provided, LIBOR for
such Index Maturity will be the arithmetic mean of such quotations. If fewer
than two quotations are provided, LIBOR for a given Index Maturity for such
LIBOR Determination Date will be the arithmetic mean of LIBOR quoted at
approximately 11:00 A.M., New York City time, on such LIBOR Determination Date
by three major banks in New York City selected by the Calculation Agent for
LIBOR having such Index Maturity, commencing on the second London Banking Day
immediately following such LIBOR Determination Date; provided, however, that
if the banks selected as aforesaid by the Calculation Agent are not quoting as
mentioned in this sentence, LIBOR for such Index Maturity will be LIBOR for
such Index Maturity in effect on such LIBOR Determination Date.

            "Trigger Event" shall have the meaning specified in the Swap
Agreement.

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            "Trustee Fee" shall mean the amount paid to the Trustee by the
Depositor on the Closing Date.

            "Trust Property" shall mean the Underlying Securities described on
Schedule I hereto and the Swap Agreement and the Certificate Account; each
subject to the obligations of the Trust under the Swap Agreement.

            "Underlying Acceleration Termination" shall have the meaning
specified in the Swap Agreement.

            "Underlying Securities" shall mean $12,000,000 aggregate principal
amount of 7.00% Notes, issued by the Underlying Securities Issuer, as set
forth in Schedule I attached hereto.

            "Underlying Securities Indenture" shall mean the indenture dated
February 1, 1996, between the Underlying Securities Issuer and the Underlying
Securities Trustee, pursuant to which the Underlying Securities were issued.

            "Underlying Securities Issuer" shall mean GE Global Insurance
Holding Corporation.

            "Underlying Securities Trustee" shall mean JPMorgan Chase,
successor by merger to The Chase Manhattan Bank, National Association.

            "Underwriter" shall mean Lehman Brothers Inc.

            "Universal Business Day" shall mean a day on which commercial
banks are open for business (including dealings in foreign exchange and
foreign currency deposits) in Frankfurt, London, New York and Tokyo.

            "Voting Rights" shall be allocated among all Certificateholders in
proportion to the then unpaid Certificate Principal Amounts of their
respective Certificates.

     (b) The terms listed below are not applicable to this Series.

                  "Accounting Date"

                  "Administrative Fees"

                  "Advance"

                  "Allowable Expense Amounts"

                  "Basic Documents"

                  "Call Premium Percentage"

                  "Credit Support"

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                  "Credit Support Instrument"

                  "Credit Support Provider"

                  "Cut-off Date"

                  "Eligible Expense"

                  "Eligible Investment"

                  "Exchange Rate Agent"

                  "Fixed Pass-Through Rate"

                  "Guaranteed Investment Contract"

                  "Letter of Credit"

                  "Limited Guarantor"

                  "Limited Guaranty"

                  "Minimum Wire Denomination"

                  "Optional Exchange Dates"

                  "Pass-Through Rate"

                  "Place of Distribution"

                  "Purchase Price"

                  "Required Premium"

                  "Required Principal"

                  "Requisite Reserve Amount"

                  "Retained Interest"

                  "Sub-Administration Account"

                  "Sub-Administration Agreement"

                  "Sub-Administration Agent"

                  "Surety Bond"

                  "Swap Guarantee"

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                  "Swap Guarantor"

     Section 3. Designation of Trust and Certificates. The Trust created
hereby shall be known as the "Repackaged GE Global Insurance Floating Rate
Trust Certificates, Series 2002-1 Trust." The Certificates evidencing certain
undivided ownership interests therein shall be known as "Repackaged GE Global
Insurance Floating Rate Trust Certificates, Series 2002-1."

     (a) The Certificates shall be held through the Depository in book-entry
form and shall be substantially in the form attached hereto as Exhibit A. The
Certificates shall be issued in denominations of $1,000. Except as provided in
the Standard Terms, the Trust shall not issue additional Certificates or incur
any indebtedness.

     (b) The Certificates have an initial aggregate certificate principal
amount (the "Certificate Principal Amount") of $12,000,000.

     (c) The holders of the Certificates will be entitled to receive on each
Distribution Date the Interest Distribution Amount. On the Distribution Date
occurring in February 2003, the Trustee shall cause the Trust to pay to the
Depositor the amount of interest accrued and paid on the Underlying Securities
from August 15, 2002, to but not including the Closing Date. If the Depositor
is not paid any such amount on such date, it shall have a claim for such
amount. If Available Funds are insufficient to pay such amount, the Trustee
will pay the Depositor its pro rata share, based on the ratio the amount owed
the Depositor bears to all amounts owed with respect to the Certificates in
respect of principal and accrued interest, of any proceeds from the recovery
on the Underlying Securities.

     (d) The Depositor may sell to the Trustee additional Underlying
Securities on any date hereafter upon at least 3 Business Days' notice to the
Trustee (or such shorter period as shall be mutually satisfactory to the
Depositor and the Trustee) and upon (i) satisfaction of the Rating Agency
Condition, (ii) prior consent of the Swap Counterparty and (iii) delivery of
an Opinion of Counsel to the effect that the sale of such additional
Underlying Securities will not cause the Trust to be taxed as an association
or publicly traded partnership taxable as a corporation for federal income tax
purposes. Each condition to be satisfied with respect to a sale of Underlying
Securities on or prior to the Closing Date shall be satisfied with respect to
a sale of additional Underlying Securities no later than the date of sale
thereof, each representation and warranty set forth in the Standard Terms to
be made on the Closing Date shall be made on such date of sale, and from and
after such date of sale, all Underlying Securities held by the Trustee shall
be held on the same terms and conditions. Upon such sale to the Trustee, the
Trustee shall deposit such additional Underlying Securities in the Certificate
Account, and shall authenticate and deliver to the Depositor, on its order,
Certificates in a Certificate Principal Balance equal to the principal amount
of such additional Underlying Securities. Any such additional Certificates
authenticated and delivered shall have the same terms and rank pari passu with
the Certificates previously issued in accordance with this Series Supplement.

     Section 4. Trust Certificates. The Trustee hereby acknowledges receipt,
on or prior to the Closing Date, of:

     (a) the Underlying Securities set forth on Schedule I hereto;

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     (b) the duly authorized and executed Swap Agreement; and

     (c) all documents required to be delivered to the Trustee pursuant to
Section 2.01 of the Standard Terms.

     Section 5. Distributions.

     (a) Except as otherwise provided in Section 3(c) and Section 6, on each
applicable Distribution Date, the Trustee shall apply Available Funds in the
Certificate Account as follows:

          (i)  The Trustee will pay from Available Interest Funds:

               (1) first, to the Trustee, as reimbursement for any
          Extraordinary Trust Expenses incurred by the Trustee in accordance
          with Section 8(b) below and approved by 100% of the
          Certificateholders; and

               (2) second, to the holders of the Certificates, interest
          accrued and unpaid, pro rata in proportion to their entitlements
          thereto;

          provided, however, if the Trustee has not received any amounts of
Available Interest Funds on or prior to the related Distribution Date, such
amounts shall be applied in accordance with this Section 5(a) promptly upon
receipt of such amounts.

          (ii) On the Final Scheduled Distribution Date, the Trustee will pay
     from Available Principal Funds, first, to the Trustee, as reimbursement
     for any Extraordinary Trust Expenses incurred by the Trustee in
     accordance with Section 8(b) below and approved by 100% of the
     Certificateholders; and second, to the Certificateholders, pro rata, from
     Available Principal Funds, the then outstanding principal on the
     Certificates.

          (iii) any Available Funds remaining in the Certificate Account after
     the payments set forth in clauses 5(a)(i) and 5(a)(ii) above shall be
     paid to the Trustee as reasonable compensation for services rendered to
     the Depositor, up to $1,000.

Any portion of the Available Funds (i) that does not constitute principal of,
or interest on, the Underlying Securities, (ii) that is not received in
connection with a redemption, prepayment or liquidation of the Underlying
Securities and (iii) for which allocation by the Trustee is not otherwise
contemplated by this Series Supplement, shall be remitted by the Trustee to
the Depositor.

     Section 6. Early Redemption of Certificates.

     (a) If a Special Termination Event occurs, the Trustee shall, no later
than one Business Day following the applicable Early Termination Date, notify
the Certificateholders of the occurrence of such Special Termination Event.
Subject to the next succeeding sentence, the Trustee shall, on the applicable
Swap Redemption Date, distribute to each Certificateholder its Pro Rata Share
of (i) the Underlying Securities in-kind and (ii) any Early Termination
Payment received by the Trust from the Swap Counterparty in connection with
such Special Termination Event. Notwithstanding the preceding sentence, the
Certificateholders may elect, by affirmative

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vote of 100% of the Certificates outstanding, to notify the Trustee no later
than three Business Days prior to the applicable Swap Redemption Date, to
direct the Marketing Agent to sell, in accordance with the Sale Procedures,
the entire principal balance of the Underlying Securities held by the Trust
for settlement on the Early Termination Date and distribute to each
Certificateholder on such date its Pro Rata Share of the sum of (i) the
Liquidation Proceeds and (ii) any Early Termination Payment received by the
Trust from the Swap Counterparty in connection with such Special Termination
Event.

     (b) If a Swap Termination Event occurs that is not a Special Termination
Event, promptly following the applicable Early Termination Date, the Trustee
will direct the Marketing Agent to sell, in accordance with the Sale
Procedures, the entire principal balance of the Underlying Securities held by
the Trust for settlement on the Early Termination Date and distribute to each
Certificateholder on such date the greater of (a) zero and (b) its Pro Rata
Share of (i) the Liquidation Proceeds plus (ii) any Early Termination Payment
received by the Trust from the Swap Counterparty in connection with such
Special Termination Event, minus (iii) any Early Termination Payment paid by
the Trust to the Swap Counterparty in connection with such Special Termination
Event.

     (c) Notwithstanding Section 3.12 of the Standard Terms, if the Underlying
Securities Issuer ceases to file periodic reports as required under the
Exchange Act, the Depositor shall within a reasonable time after the
Discontinuation Date, (i) subject to the second succeeding sentence and
subject to the consent of the Swap Counterparty in accordance with the terms
of the Swap Agreement, instruct the Trustee to (A) distribute to each
Certificateholder, on the Special Redemption Date, its Pro Rata Share of the
Underlying Securities and (B) assign to each Certificateholder its Pro Rata
Share of all rights and obligations of the Trust in and to the Swap Agreement.
If the Swap Counterparty does not consent to the assignment of the Swap
Agreement to the Certificateholders, and subject to the next succeeding
sentence, the Trustee will direct the Marketing Agent to sell, in accordance
with the Sale Procedures, the entire principal balance of the Underlying
Securities held by the Trust for settlement on the Early Termination Date and
distribute to each Certificateholder on such date the greater of (a) zero and
(b) its Pro Rata Share of (i) the Liquidation Proceeds plus (ii) any Early
Termination Payment received by the Trust from the Swap Counterparty in
connection with the related Swap Termination Event, minus (iii) any Early
Termination Payment paid by the Trust to the Swap Counterparty in connection
with such Swap Termination Event. Notwithstanding the foregoing subject to the
consent of the Swap Counterparty in accordance with the terms of the Swap
Agreement, the Certificateholders may elect, by affirmative vote of 100% of
the Certificates outstanding, to notify the Trustee no later than three
Business Days prior to the applicable Special Redemption Date to take another
action (which proposed action must be reasonably acceptable to the Trustee)
with respect to the Underlying Securities and the Swap Agreement as may be
agreed upon by the Certificateholders and the Swap Counterparty, including,
without limitation, transferring the Underlying Securities and the Swap
Agreement to a new special purpose entity and to receive, instead of the
Underlying Securities and the Swap Agreement, interests in such special
purpose entity.

     (d) If the Trustee receives non-cash property in respect of the
Underlying Securities as a result of a payment default on the Underlying
Securities (including from the sale thereof), the Trustee will promptly give
notice to the Depository, or for any Certificates which are not

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then held by DTC or any other depository, directly to the registered holders
of the Certificates then outstanding and unpaid. Such notice shall state that
the Trustee shall and the Trustee shall, not later than 30 days after the
receipt of such property, allocate and distribute such property to the Holders
of Certificates then outstanding and unpaid (after deducting the costs
incurred in connection therewith) their pro rata portion of such property.
Property other than cash will be liquidated by the Trustee, and the proceeds
thereof distributed in cash, only to the extent necessary to avoid
distribution of fractional securities to Certificateholders. In-kind
distribution of such property to Certificateholders, based on the market value
of such property as of the date of distribution to Certificateholders, will be
deemed to reduce the Certificate Principal Amount on a dollar-for-dollar
basis.

     Section 7. Partial Unwind of Certificates.

     (a) If the beneficial owner of any Certificate is Lehman Brothers Inc. or
any affiliate thereof (an "Affiliated Owner"), and such Affiliated Owner has
been a registered Certificateholder for at least six calendar months, and
subject to agreement by the two parties as to the termination payment owed
under the Swap Agreement, the Swap Counterparty shall enter into a Partial
Unwind Agreement with such Affiliated Owner. In the event an Affiliated Owner
and the Swap Counterparty enter into and deliver to the Trustee a Partial
Unwind Agreement, specifying a date (the "Partial Unwind Date"), which is at
least five Business Days thereafter, on which the Affiliated Owner and the
Swap Counterparty propose that the actions referred to in the fourth
succeeding sentence would occur, the Trustee may, in its sole discretion (but
shall not be obligated to) countersign such Partial Unwind Agreement;
provided, however, that (i) no Affiliated Owner will be permitted to enter
into a Partial Unwind Agreement prior to the one-year anniversary of the
Closing Date, (ii) no Affiliated Owner will be permitted to enter into a
Partial Unwind Agreement more frequently than once in any six month calendar
period and (iii) each Partial Unwind Agreement shall be in a minimum amount of
$1,000,000. Any such Partial Unwind Agreement shall specify a Partial Unwind
Date which is on or before the next succeeding Distribution Date (so that no
Distribution Date falls between the date such Partial Unwind Agreement (as
executed by an Affiliated Owner and the Swap Counterparty) is delivered to the
Trustee and a Distribution Date). In addition, in determining whether to
countersign a Partial Unwind Agreement, the Trustee may rely on a
certification of the Marketing Agent, which the Marketing Agent shall provide,
as to whether entering into and giving effect to such Partial Unwind Agreement
(a) will expose the Trust to any liability or expense or (b) have an adverse
impact on or consequence for the Trust including (x) the treatment of the
Certificates and the Trust for Federal income tax purposes (as specified in
the Trust Agreement), or (y) under the Investment Company Act, ERISA or the
Code or (c) would adversely affect in any material respect the interests of
any Certificateholder (other than the applicable Affiliated Owner). The
Trustee shall also be entitled to receive an Opinion of Counsel with respect
to the foregoing legal matters and the cost of such Opinion of Counsel shall
be borne by the applicable Affiliated Owner. In order to give effect to the
provisions of a Partial Unwind Agreement which the Trustee has elected to
countersign, the Trustee shall, effective on such Partial Unwind Date and upon
confirmation to the Trustee from the Swap Counterparty that such Affiliated
Owner has paid to the Swap Counterparty any breakage or termination payment
due under the Swap Agreement in connection with the partial termination
provided for in the Partial Unwind Agreement, deliver to such Affiliated
Owner, against tender by such Affiliated Owner or its nominee of a Certificate
having a principal balance equal to the Partial Unwind

                                      12
<PAGE>

Amount, either Underlying Securities having a principal amount equal to the
Partial Unwind Amount or the cash proceeds from the sale by the Marketing
Agent on behalf of such Certificateholder of such Underlying Securities (as
specified in the Partial Unwind Agreement) plus (to the extent such has
actually been paid to the Trustee by the Swap Counterparty) any breakage or
termination payment payable by the Swap Counterparty in connection with the
partial termination provided for in the Partial Unwind Agreement. Failure by
the Trustee to execute and deliver to such Certificateholder and Swap
Counterparty a Partial Unwind Agreement by not later than the second Business
Day before the proposed Partial Unwind Date shall be deemed to constitute
notice by the Trustee that it has elected not to countersign such Partial
Unwind Agreement. In the event that the Trustee elects not to countersign a
Partial Unwind Agreement, the Trust shall continue as if no Partial Unwind
Agreement had been tendered to the Trustee for countersignature. The execution
by such Certificateholder and the Swap Counterparty of such Partial Unwind
Agreement, taken together with the countersignature by the Trustee of such
Partial Unwind Agreement, shall be deemed to constitute an amendment to this
Trust Agreement under subsection 10.01(a) and, accordingly, shall not require
the consent of any Certificateholder other than the applicable Affiliated
Owner. In the event the Trustee elects to countersign a Partial Unwind
Agreement, the Trustee shall notify each Rating Agency rating such series of
Certificates of such Partial Unwind of Underlying Securities.

     (b) Certificates with respect to which a Partial Unwind Agreement relates
shall be delivered to the Trustee on the Partial Unwind Date. Each such
Certificate not so delivered shall be deemed delivered on the books of the
Trustee on the Partial Unwind Date. With respect to each Certificate deemed
delivered to the Trustee, the Trustee shall make any required payments or
deliveries on such Partial Unwind Date (or such later date as the Trustee is
actually in receipt of such payments or deliveries) to the applicable
Affiliated Owner listed on the Certificate Register and such Certificate shall
be deemed cancelled.

     (c) If the Underlying Securities underlying the Certificates with respect
to which a Partial Unwind Agreement shall have occurred are held by the
Trustee in certificated form, the Trustee shall, if necessary, request the
registrar for such Underlying Securities to deliver to the Trustee in
certificated form in appropriate denominations the Underlying Securities
evidenced by the Certificates so surrendered for withdrawal and, if the
requested Underlying Securities are received within 30 calendar days, the
Trustee shall deliver such Underlying Securities to the applicable Affiliated
Owner without unreasonable delay. If the requested certificated Underlying
Securities are not received within 30 calendar days, the Trustee shall
re-deliver the surrendered Certificates to such Affiliated Owner; provided,
however, the Trustee shall continue to seek to obtain the requested
certificated Underlying Securities and shall re-deliver the surrendered
Certificates, if the Affiliated Owner so requests and directs the Trustee and
delivers its Certificates.

     (d) If the Underlying Securities underlying the Certificates with respect
to which a Partial Unwind Agreement shall have occurred are held by the
Trustee in book-entry form, the Trustee shall arrange for beneficial ownership
thereof to be transferred to the applicable Affiliated Owner, or its designee,
on the records of the Clearing Agency with which the certificate evidencing
such Underlying Securities is on deposit.

                                      13
<PAGE>

     (e) Delivery of Underlying Securities in certificated form and
re-delivery of any Certificate pursuant to paragraph (c) above shall be made
by the Trustee at its Corporate Trust Office in New York City, except that, at
the written request, risk and expense of the Affiliated Owner surrendering
such Certificates and for the account of the Affiliated Owner thereof, such
delivery may be made at such other place as may be designated by such
Affiliated Owner and reasonably agreed to by the Trustee.

     (f) Upon delivery by the Trustee of any Underlying Security to an
Affiliated Owner pursuant to this Section 7, such Underlying Security and the
surrendered Certificate shall cease to be entitled to the benefit of this
Trust Agreement for all purposes of this Trust Agreement and the Trustee shall
have no further obligation to such Affiliated Owner with respect thereto.

     (g) The Affiliated Owner who surrenders Certificates to the Trustee as
provided herein in return for the Underlying Securities (whether in
certificated form or by book-entry) may not thereafter redeposit such
Underlying Securities with the Trustee and receive the benefit of this Trust
Agreement.

     (h) As a condition precedent to the delivery of Underlying Securities to
an Affiliated Owner upon delivery of a Partial Unwind Agreement, the Trustee
may require payment by such Affiliated Owner of a sum sufficient for
reimbursement of any tax or other governmental charge with respect thereto and
any other reasonable out-of-pocket costs or expenses incurred by the Trustee
in connection with such delivery, including the costs of delivery to any
office other than the Trustee's designated office in New York City.

     Section 8. Trustee's Fees.

     (a) As compensation for its services hereunder, the Trustee shall be
entitled to the Trustee Fee and any amounts payable under clauses 5(a)(iii)
above. The Trustee Fee shall be paid by the Depositor and not from Trust
Property. The Trustee shall bear all Ordinary Expenses. Failure by the
Depositor to pay such amount shall not entitle the Trustee to any payment or
reimbursement from the Trust, nor shall such failure release the Trustee from
the duties it is required to perform under the Trust Agreement.

     (b) Extraordinary Trust Expenses shall not be paid out of the Trust
Property unless all the holders of the Certificates then outstanding have
directed the Trustee to incur such Extraordinary Trust Expenses. The Trustee
may incur other Extraordinary Trust Expenses if any lesser percentage of the
Certificateholders requesting such action pursuant hereto reimburse the
Trustee for the cost thereof from their own funds in advance. If Extraordinary
Trust Expenses are not approved unanimously as set forth in the first sentence
of this Section 8(b), such Extraordinary Trust Expenses shall not be an
obligation of the Trust, and the Trustee shall not file any claim against the
Trust therefor notwithstanding failure of Certificateholders to reimburse the
Trustee.

     Section 9. Swap Payments. The Trust shall pay to the Swap Counterparty,
(i) all interest payments paid to the Trust in respect of the Underlying
Securities on the date such amounts are received by the Trust, excluding any
amount of interest that accrued with respect to the Underlying Securities from
the Underlying Securities Payment Date next preceding the Closing

                                      14
<PAGE>

Date to, but excluding, the Closing Date and (ii) upon the occurrence of a
Swap Termination Event, other than a Special Termination Event, an amount
equal to any Early Termination Payment owed by it to the Swap Counterparty
under the Swap Agreement. All amounts received by the Trustee from the Swap
Counterparty on any date under the Swap Agreement shall be deposited into the
Certificate Account on such date.

     Section 10. Notices of Swap Termination Events.

     As promptly as practicable after, and in any event within 30 days after,
the occurrence of any Swap Termination Event actually known to the Trustee,
the Trustee shall give notice of such Swap Termination Event to the
Depository, or, if any Certificates are not then held by DTC or any other
depository, directly to the registered holders of such Certificates.

     Section 11. Miscellaneous.

     (a) The provisions of Section 4.04, Advances, of the Standard Terms shall
not apply to the Repackaged GE Global Insurance Floating Rate Trust
Certificates, Series 2002-1 Certificates.

     (b) The provisions of Section 4.07, Optional Exchange, of the Standard
Terms shall not apply to the Repackaged GE Global Insurance Floating Rate
Trust Certificates, Series 2002-1 Certificates.

     (c) The Trustee shall simultaneously forward reports to
Certificateholders and to the Swap Counterparty pursuant to Section 4.03 of
the Standard Terms and to the New York Stock Exchange.

     (d) Except as expressly provided herein, the Certificateholders shall not
be entitled to terminate the Trust or cause the sale or other disposition of
the Underlying Securities.

     (e) The provisions of Section 3.07(d) of the Standard Terms shall not
apply to the Repackaged GE Global Insurance Floating Rate Trust Certificates,
Series 2002-1 Certificates.

     (f) The outstanding principal balance of the Certificates shall not be
reduced by the amount of any Realized Losses (as defined in the Standard
Terms).

     (g) The Trust may not engage in any business or activities other than in
connection with, or relating to, the holding, protecting and preserving of the
Trust Property and the issuance of the Certificates, and other than those
required or authorized by the Trust Agreement or the Swap Agreement or
incidental and necessary to accomplish such activities. The Trust may not
issue or sell any certificates or other obligations other than the
Certificates or otherwise incur, assume or guarantee any indebtedness for
money borrowed. Notwithstanding Section 3.05 of the Standard Terms, funds on
deposit in the Certificate Account shall not be invested. Section 2.01(f) of
the Standard Terms shall be superseded by this provision.

     (h) Notwithstanding anything in the Trust Agreement to the contrary, the
Trustee may be removed upon 60 days prior written notice delivered by the
holders of Certificates

                                      15
<PAGE>

representing the Required Percentage-Removal. Section 2.01(f) of the Standard
Terms shall be superseded by this provision.

     (i) In the event that the Internal Revenue Service challenges the
characterization of the Trust as a grantor trust, the Trustee shall then file
such forms as the Depositor may specify to establish the Trust's election
pursuant to Section 761 of the Code to exclude the Trust from the application
of Subchapter K of the Code and is hereby empowered to execute such forms on
behalf of the Certificateholders.

     (j) Notwithstanding anything in the Standard Terms to the contrary, the
Trustee, upon written direction by the Depositor, will execute the
Certificates.

     (k) In relation to Section 7.01(f) of the Standard Terms, any periodic
reports filed by the Trustee pursuant to the Exchange Act in accordance with
the customary practices of the Depositor, need not contain any independent
reports.

     (l) Notwithstanding anything in the Trust Agreement to the contrary, the
Trustee will have no recourse to the Underlying Securities.

     (m) The Trust will not merge or consolidate with any other entity without
written confirmation from each Rating Agency that such merger or consolidation
will not result in the qualification, reduction or withdrawal of its
then-current rating on the Certificates.

     (n) All directions, demands and notices hereunder or under the Standard
Terms shall be in writing and shall be delivered as set forth below (unless
written notice is otherwise provided to the Trustee).

            If to the Depositor, to:

                  Lehman ABS Corporation
                  745 Seventh Avenue
                  New York, New York  10019
                  Attention: Structured Credit Trading
                  Telephone: (212) 526-6575
                  Facsimile: (201) 508-4621

            If to the Trustee, to:

                  U.S. Bank Trust National Association
                  100 Wall Street New
                  York, New York 10005
                  Attention: Corporate Trust
                  Telephone: (212) 361-2500
                  Facsimile: (212) 809-5459

            If to the Rating Agencies, to:

                  Moody's Investors Service, Inc.

                                      16
<PAGE>

                  99 Church Street 21W
                  New York, New York  10007
                  Attention:  CBO/CLO Monitoring Department
                  Telephone:  (212) 553-1494
                  Facsimile:  (212) 553-0355

      and to:

                  Standard & Poor's Ratings Services
                  55 Water Street
                  New York, New York  10041
                  Attention:  Structured Finance Surveillance Group
                  Telephone:  (212) 438-2482
                  Facsimile:  (212) 438-2664

            If to the New York Stock Exchange, to:

                  New York Stock Exchange, Inc.
                  20 Broad Street
                  New York, New York  10005
                  Attention:  Vincent Patten
                  Telephone:  (212) 656-5276
                  Facsimile:  (212) 656-5780

            If to the Swap Counterparty, to:

                  Lehman Brothers Derivative Products Inc.
                  c/o Lehman Brothers Inc.
                  745 Seventh Avenue, 28th Floor
                  New York, New York  10019
                  Attention:  Documentation Manager
                  Telephone:  (212) 526-7187
                  Facsimile:   (212) 526-7672

            Any notices given to the Depositor under this Agreement shall also
be given to the Swap Counterparty.

     (o) Each of the representations, covenants and agreements made herein by
each of the Depositor and the Trustee are for the benefit of the
Certificateholders.

(p) The provisions of the Section 2.01(d)(iii) of the Standard Terms shall not
apply to the Repackaged GE Global Insurance Floating Rate Trust Certificates,
Series 2002-1 Certificates and the following shall be deemed to be inserted in
its place:

            "at the time of delivery of the Underlying Securities, the
Depositor owns such Underlying Securities, has the right to transfer its
interest in such Underlying Securities and such Underlying Securities are free
and clear of any lien, pledge, encumbrance, right, charge, claim or other
security interest; and"

                                      17
<PAGE>

     Section 12. Governing Law. THIS SERIES SUPPLEMENT AND THE TRANSACTIONS
DESCRIBED HEREIN SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE
LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS MADE AND PERFORMED
WITHIN THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO THE CHOICE OF LAWS
PROVISIONS THEREOF.

     Section 13. Counterparts. This Series Supplement may be executed in any
number of counterparts, each of which shall be deemed to be an original, and
all such counterparts shall constitute but one and the same instrument.

     Section 14. Termination of the Trust. The Trust shall terminate upon the
earliest to occur of (i) the distribution in full of all amounts due to the
Certificateholders following a Swap Termination Event; (ii) the Final
Scheduled Distribution Date and (iii) the expiration of 21 years from the
death of the last survivor of the descendants of Joseph P. Kennedy, the late
Ambassador of the United States to the Court of St. James, living on the date
hereof.

     Section 15. Sale of Underlying Securities. In the event of a sale of the
Underlying Securities pursuant to Section 6 hereof, the Marketing Agent shall
sell the Underlying Securities in accordance with the Sale Procedure.

     Section 16. Amendments. Notwithstanding anything in the Trust Agreement
to the contrary, in addition to the other restrictions on modification and
amendment contained therein, the Trustee shall not enter into any amendment or
modification of the Trust Agreement which would adversely affect in any
material respect the interests of the holders of any class of Certificates
without the consent of the holders of 100% of such class of Certificates;
provided, however, that no such amendment or modification will be permitted
which would cause the Trust to be taxed as an association or publicly traded
partnership taxable as a corporation for federal income tax purposes. The
Trustee shall not enter into any amendment or modification of the Trust
Agreement that would affect the method, amount or timing of payments due to
the Swap Counterparty or the consent rights of the Swap Counterparty hereunder
without the prior written consent of the Swap Counterparty. Unless otherwise
agreed, the Trustee shall provide five Business Days written notice to each
Rating Agency and the Swap Counterparty before entering into any amendment or
modification of the Trust Agreement pursuant to this Section 16.

     Section 17. Voting of Underlying Securities, Modification of Underlying
Securities Indenture, Modification of Swap Agreement.

     (a) The Trustee, as holder of the Underlying Securities, has the right to
vote and give consents and waivers in respect of the Underlying Securities as
permitted by the Depository and except as otherwise limited by the Trust
Agreement. In the event that the Trustee receives a request from the
Depository, the Underlying Securities Trustee or the Underlying Securities
Issuer for its consent to any amendment, modification or waiver of the
Underlying Securities, the Underlying Securities Indenture or any other
document thereunder or relating thereto, or receives any other solicitation
for any action with respect to the Underlying Securities, the Trustee shall
mail a notice of such proposed amendment, modification, waiver or solicitation
to the Swap Counterparty and each Certificateholder of record as of such date.
Notwithstanding anything in the Trust Agreement to the contrary, until a Swap
Termination Event has occurred, the Swap

                                      18
<PAGE>

Counterparty shall have all rights to vote on any matters with respect to the
Underlying Securities. During the continuance of a Swap Termination Event, the
Certificateholders shall have all rights to vote on any matters with respect
to the Underlying Securities, and in such event: (i) the Trustee shall request
instructions from the Certificateholders as to whether or not to consent to or
vote to accept such amendment, modification, waiver or solicitation; (ii) the
Trustee shall consent or vote, or refrain from consenting or voting, in the
same proportion (based on the relative outstanding Certificate Principal
Amounts of the Certificates) as the Certificates of the Trust were actually
voted or not voted by the Certificateholders thereof as of a date determined
by the Trustee prior to the date on which such consent or vote is required.
However, notwithstanding anything in the Trust Agreement to the contrary
(including this Section 17), the Trustee shall at no time vote on or consent
to any matter (A) unless such vote or consent would not (based on an opinion
of counsel) cause the Trust to be taxed as an association or publicly traded
partnership taxable as a corporation under the Code, (B) which would alter the
timing or amount of any payment on the Underlying Securities, including,
without limitation, any demand to accelerate the Underlying Securities, except
in the event of a default under the Underlying Securities or an event which
with the passage of time would become an event of default under the Underlying
Securities and with (prior to a Swap Termination Event) the consent of the
Swap Counterparty or (during the continuance of a Swap Termination Event) the
unanimous consent of holders of all outstanding Certificates, or (C) which
would result in the exchange or substitution of any of the outstanding
Underlying Securities pursuant to a plan for the refunding or refinancing of
such Underlying Securities except in the event of a default under the
Underlying Securities Indenture and only with the consent of (prior to a Swap
Termination Event) the Swap Counterparty or (during the continuance of a Swap
Termination Event) Certificateholders representing 100% of the Certificates.
The Trustee shall have no liability for any failure to act resulting from late
return of, or failure to return, directions requested by the Trustee from the
Certificateholders or the Swap Counterparty.

     (b) In the event that an offer is made by the Underlying Securities
Issuer to issue new obligations in exchange and substitution for any of the
Underlying Securities, pursuant to a plan for the refunding or refinancing of
the outstanding Underlying Securities or any other offer is made for the
Underlying Securities, the Trustee shall notify the Swap Counterparty and the
Certificateholders of such offer promptly. The Trustee must reject any such
offer unless, prior to the occurrence of a Swap Termination Event, the Trustee
is directed by the Swap Counterparty to accept such offer and the Trustee has
received the tax opinion described above. During the continuance of a Swap
Termination Event, the Trustee must reject any such offer unless a default on
the Underlying Securities shall have occurred, and the Trustee is directed by
affirmative vote of the holders of 100% of the Certificates to accept such
offer and the Trustee has received the tax opinion described above. If
pursuant to the preceding two sentences, the Trustee accepts any such offer
the Trustee shall promptly notify the Rating Agencies.

     (c) If an event of default under the Underlying Securities Indenture
occurs and is continuing, and if directed by the Swap Counterparty, or, during
the continuance of a Swap Termination Event, a majority of the outstanding
Certificateholders, the Trustee shall vote the Underlying Securities in favor
of directing, or take such other action as may be appropriate to direct, the
Underlying Securities Trustee to declare the unpaid principal amount of the
Underlying Securities and any accrued and unpaid interest thereon to be due
and payable.

                                      19
<PAGE>

     (d) Until a Responsible Officer of the Trustee has actual knowledge of
the occurrence of an event that would constitute a Swap Termination Event, the
Trustee shall be entitled to assume (and shall be fully protected, indemnified
and held harmless in doing so, in accordance with Section 7.12 of the Standard
Terms) that no Swap Termination Event has occurred and may accordingly seek
instructions under this Section 17 exclusively from the Swap Counterparty.

     (e) The Trustee shall not consent to any amendment to the Swap Agreement
unless (i) it shall have received the prior consent to such amendment of
Certificateholders representing 66 2/3% of the aggregate Voting Rights and
(ii) each Rating Agency shall have confirmed in writing that such amendment
will not result in a reduction or withdrawal of the then current rating of the
Certificates; provided, however, the Trustee may consent to any amendment to
the Swap Agreement without the consent of the certificateholders to cure any
ambiguity in, or to correct or supplement any provision of the Swap Agreement
which may be inconsistent with any other provision thereof, or to otherwise
cure any defect therein, provided that any such amendment does not materially
adversely affect the interest of the certificateholders and that each Rating
Agency shall have given its prior written confirmation that such amendment
will not result in a reduction or withdrawal of the then current rating of the
Certificates; provided further, however, that notwithstanding anything to the
contrary, the Trustee shall not consent to any amendment to the Swap Agreement
that alters the timing or amount of any payment on the Swap Agreement unless
(i) it shall have received the prior consent to such amendment of
certificateholders representing 100% of the aggregate Voting Rights and (ii)
each Rating Agency been given prior written notice of any such amendment (and
no rating confirmation shall be required).

     Section 18. Additional Depositor Representation. It is the express intent
of the parties hereto that the conveyance of the Underlying Securities by the
Depositor to the Trustee be, and be construed as, a sale of the Underlying
Securities by the Depositor and not a pledge of any Underlying Securities by
the Depositor to secure a debt or other obligation of the Depositor. In the
event that, notwithstanding the aforementioned intent of the parties, any
Underlying Securities are held to be property of the Depositor, then, it is
the express intent of the parties that such conveyance be deemed a pledge of
such Underlying Securities by the Depositor to the Trustee to secure a debt or
other obligation of the Depositor, pursuant to Section 10.07 of the Standard
Terms. In connection with any such grant of a security interest in the
Underlying Securities, the Depositor hereby represents and warrants to Trustee
as follows:

     (i)    In the event the Underlying Securities are held to be property of
            the Depositor, then the Trust Agreement creates a valid and
            continuing security interest (as defined in the applicable Uniform
            Commercial Code) in the Underlying Securities in favor of the
            Trustee which security interest is prior to all other liens, and is
            enforceable as such as against creditors of, and purchasers from,
            the Depositor.

     (ii)   The Underlying Securities have been credited to a trust account (the
            "Securities Account") of the Trustee, or its authorized agent, in
            accordance with Section 2.01 of the Standard Terms. The Trustee, as
            securities intermediary for the Securities Account, has agreed to
            treat the Underlying Securities as "financial assets" within the
            meaning of the Uniform Commercial Code.

                                      20
<PAGE>

     (iii)  Immediately prior to the transfer of the Underlying Securities to
            the Trust, Depositor owned and had good and marketable title to the
            Underlying Securities free and clear of any lien, claim or
            encumbrance of any Person.

     (iv)   Depositor has received all consents and approvals required by the
            terms of the Underlying Securities to the transfer to the Trustee of
            its interest and rights in the Underlying Securities as contemplated
            by the Trust Agreement.

     (v)    Depositor has taken all steps necessary to cause the Trustee, as
            securities intermediary for the Securities Account, to identify on
            its records that the Trustee, as the trustee of the Trust, is the
            Person having a security entitlement against the securities
            intermediary in the Securities Account.

     (vi)   Depositor has not assigned, pledged, sold, granted a security
            interest in or otherwise conveyed any interest in the Underlying
            Securities (or, if any such interest has been assigned, pledged or
            otherwise encumbered, it has been released). Depositor has not
            authorized the filing of and is not aware of any financing
            statements against Depositor that includes a description of the
            Underlying Securities. Depositor is not aware of any judgment or tax
            lien filings against Depositor.

     (vii)  The Securities Account is not in the name of any Person other than
            the Trust. Depositor has not consented to the compliance by the
            Trustee, as securities intermediary, with entitlement orders of any
            Person other than the Trustee, as trustee of the Trust.

                                      21
<PAGE>

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

                                    LEHMAN ABS CORPORATION,
                                       as Depositor

                                    By:___________________________
                                       Name:
                                       Title:

                                    U.S. BANK TRUST NATIONAL ASSOCIATION, not
                                       in its individual capacity but solely
                                       as Trustee on behalf of the Repackaged
                                       GE Global Insurance Floating Rate Trust
                                       Certificates, Series 2002-1 Trust

                                    By:___________________________
                                       Name:
                                       Title:

                                      22
<PAGE>

                                                                    SCHEDULE I

       REPACKAGED GE GLOBAL INSURANCE FLOATING RATE TRUST CERTIFICATES
                                 SERIES 2002-1

                        UNDERLYING SECURITIES SCHEDULE

Underlying Securities:                7.00% Notes.

Issuer:                               GE Global Insurance Holding Corporation

CUSIP Number:                         36158F AA 8.

Principal Amount Deposited:           $12,000,000.

Original Issue Date:                  The Underlying Securities were issued on
                                      February 21, 1996.

Principal Amount of
Underlying Securities
Originally Issued:                    $600,000,000.

Maturity Date:                        February 15, 2026.

Interest Rate:                        7.00% per annum.

Interest Payment Dates:               February 15th and August 15th.

Record Dates:                         February 1st and August 1st.

                                     I-1

<PAGE>
                                   EXHIBIT A
                           FORM OF TRUST CERTIFICATE

                               TRUST CERTIFICATE

NUMBER 1                                                           $12,000,000
                                                         CUSIP NO. 76027X AA 4

                      SEE REVERSE FOR CERTAIN DEFINITIONS

            UNLESS THIS CERTIFICATE 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 CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR
IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND
ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY
AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF
FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE
REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

            THIS CERTIFICATE REPRESENTS A PROPORTIONATE UNDIVIDED BENEFICIAL
OWNERSHIP INTEREST IN THE TRUST AND DOES NOT EVIDENCE AN OBLIGATION OF, OR AN
INTEREST IN, AND IS NOT GUARANTEED BY THE DEPOSITOR OR THE TRUSTEE OR ANY OF
THEIR RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE NOR THE TRUST ASSETS ARE
INSURED OR GUARANTEED BY ANY GOVERNMENTAL AGENCY OR ANY OTHER PERSON.

                                     A-1

<PAGE>

                            LEHMAN ABS CORPORATION

                                  $12,000,000

        REPACKAGED GE GLOBAL INSURANCE FLOATING RATE TRUST CERTIFICATES
                                 SERIES 2002-1

INTEREST RATE: THREE-MONTH LIBOR PLUS 0.50%

            evidencing a proportionate undivided beneficial ownership interest
in the Trust, as defined below, the property of which consists principally of
$12,000,000 aggregate principal amount of 7.00% Capital Securities due 2026,
issued by GE Global Insurance Holding Corporation (the "Underlying Securities
Issuer") and all payments received thereon, deposited in trust by Lehman ABS
Corporation (the "Depositor"), and certain rights of the Trust under the Swap
Agreement (the "Trust Property").

            THIS CERTIFIES THAT CEDE & CO. is the registered owner of an
aggregate of $12,000,000 principal amount nonassessable, fully-paid,
proportionate undivided beneficial ownership interest in the Repackaged GE
Global Insurance Floating Rate Trust Certificates Series 2002-1 Trust, formed
by the Depositor.

                                     A-2

<PAGE>

            The Trust was created pursuant to a Standard Terms for Trust
Agreements, dated as of January 16, 2001 (the "Standard Terms"), between the
Depositor and U.S. Bank Trust National Association, a national banking
association, not in its individual capacity but solely as Trustee (the
"Trustee"), as supplemented by the Series Supplement in respect of the
Repackaged GE Global Insurance Floating Rate Trust Certificates, Series
2002-1, dated as of November 15, 2002 (the "Series Supplement" and, together
with the Standard Terms, the "Trust Agreement"), between the Depositor and the
Trustee. This Certificate does not purport to summarize the Trust Agreement
and reference is hereby made to the Trust Agreement for information with
respect to the interests, rights, benefits, obligations, proceeds and duties
evidenced hereby and the rights, duties and obligations of the Trustee with
respect hereto. A copy of the Trust Agreement may be obtained from the Trustee
by written request sent to the Corporate Trust Office. Capitalized terms used
but not defined herein have the meanings assigned to them in the Trust
Agreement.

            This Certificate is one of the duly authorized Certificates
designated as the "Repackaged GE Global Insurance Floating Rate Trust
Certificates, Series 2002-1" (herein called the "Certificates"). This
Certificate is issued under and is subject to the terms, provisions and
conditions of the Trust Agreement, to which Trust Agreement the Holder of this
Certificate by virtue of the acceptance hereof assents and by which such
Holder is bound. The Trust Property consists of: (i) Underlying Securities
described in the Trust Agreement, (ii) all payments on or collections in
respect of the Underlying Securities accrued on or after November 15, 2002,
together with any and all income, proceeds and payments with respect thereto;
provided, however, that any income from the investment of Trust funds in
certain permitted investments ("Eligible Investments") does not constitute
Trust Property and (iii) the rights of the Trust under the Swap Agreement
(subject to the Trust's obligations to the Swap Counterparty under the Swap
Agreement).

            Subject to the terms and conditions of the Trust Agreement
(including the availability of funds for distributions) and until the
obligation created by the Trust Agreement shall have terminated in accordance
therewith, distributions will be made on each Distribution Date, to the Person
in whose name this Certificate is registered on the applicable Record Date, in
an amount equal to such Certificateholder's proportionate undivided beneficial
ownership interest in the amount required to be distributed to the Holders of
the Certificates on such Distribution Date. The Record Date applicable to any
Distribution Date is the close of business on the day immediately preceding
such Distribution Date (whether or not a Business Day). If a payment with
respect to the Underlying Securities is made to the Trustee after the date on
which such payment was due, then the Trustee will distribute any such amounts
received on the next occurring Business Day.

            Each Certificateholder, by its acceptance of a Certificate,
covenants and agrees that such Certificateholder will not at any time
institute against the Trust, or join in any institution against the Trust of,
any bankruptcy proceedings under any United States Federal or state bankruptcy
or similar law in connection with any obligations relating to the Certificates
or the Trust Agreement.

            Distributions made on this Certificate will be made as provided in
the Trust Agreement by the Trustee by wire transfer in immediately available
funds, or check mailed to the Certificateholder of record in the Certificate
Register without the presentation or surrender of

                                  A-3

<PAGE>

this Certificate or the making of any notation hereon, except that with
respect to Certificates registered on the Record Date in the name of the
nominee of the Clearing Agency (initially, such nominee shall be Cede & Co.),
payments will be made by wire transfer in immediately available funds to the
account designated by such nominee. Except as otherwise provided in the Trust
Agreement and notwithstanding the above, the final distribution on this
Certificate will be made after due notice by the Trustee of the pendency of
such distribution and only upon presentation and surrender of this Certificate
at the Corporate Trust Office or such other location as may be specified in
such notice.

            Reference is hereby made to the further provisions of this
Certificate set forth on the reverse hereof, which further provisions shall
for all purposes have the same effect as if set forth at this place.

            Unless the certificate of authentication hereon has been executed
by or on behalf of the Trustee, by manual signature, this Certificate shall
not entitle the Holder hereof to any benefit under the Trust Agreement or be
valid for any purpose.

            THIS CERTIFICATE 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 HOLDER HEREOF SHALL BE
DETERMINED IN ACCORDANCE WITH SUCH LAWS.

                                  A-4

<PAGE>

            IN WITNESS WHEREOF, the Trustee has caused this Certificate to be
duly executed as of the date set forth below.

                                 REPACKAGED GE GLOBAL INSURANCE FLOATING
                                 RATE TRUST CERTIFICATES, SERIES 2002-1

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

                                 By:
                                    ---------------------------------
                                    Authorized Signatory

Dated:  November 15, 2002

                   TRUSTEE'S CERTIFICATE OF AUTHENTICATION

            This is one of the Repackaged GE Global Insurance Floating Rate
Trust Certificates, Series 2002-1, described in the Trust Agreement referred
to herein.

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

By:
   ---------------------
   Authorized Signatory

                                     A-5

<PAGE>

                           (REVERSE OF CERTIFICATE)

            The Certificates are limited in right of distribution to certain
payments and collections respecting the Swap Agreement and the Underlying
Securities, all as more specifically set forth herein and in the Trust
Agreement. The registered Holder hereof, by its acceptance hereof, agrees that
it will look solely to the Trust Property (to the extent of its rights
therein) for distributions hereunder.

            The Trust Agreement permits, with certain exceptions therein
provided, the amendment thereof and the modification of the rights and
obligations of the Depositor and the Trustee and the rights of the
Certificateholders under the Trust Agreement at any time by the Depositor and
the Trustee with the consent of the Swap Counterparty and the Holders of the
Certificates in the manner set forth in the Series Supplement and the Standard
Terms. Any such consent by the Holder of this Certificate (or any predecessor
Certificate) shall be conclusive and binding on such Holder and upon all
future Holders of this Certificate and of any Certificate issued upon the
transfer hereof or in exchange hereof or in lieu hereof whether or not a
notation of such consent is made upon this Certificate. The Trust Agreement
also permits the amendment thereof, in certain limited circumstances, without
the consent of the Holders of any of the Certificates.

            The Certificates are issuable in fully registered form only in
denominations of $1,000.

            As provided in the Trust Agreement and subject to certain
limitations therein set forth, the transfer of this Certificate is
registerable in the Certificate Register upon surrender of this Certificate
for registration of transfer at the offices or agencies of the Certificate
Registrar maintained by the Trustee in the Borough of Manhattan, the City of
New York, duly endorsed by or accompanied by an assignment in the form below
and by such other documents as required by the Trust Agreement, and thereupon
one or more new Certificates of the same class in authorized denominations
evidencing the same principal amount will be issued to the designated
transferee or transferees. The initial Certificate Registrar appointed under
the Trust Agreement is U.S. Bank Trust National Association.

            No service charge will be made for any registration of transfer or
exchange, but the Trustee may require exchange of a sum sufficient to cover
any tax or other governmental charge that may be imposed in connection with
any transfer or exchange of Certificates.

            The Depositor and the Trustee and any agent of the Depositor or
the Trustee may treat the Person in whose name this Certificate is registered
as the owner hereof for all purposes, and neither the Depositor, the Trustee,
nor any such agent shall be affected by any notice to the contrary.

            It is the intention of the parties to the Trust Agreement that the
Trust created thereunder shall constitute a fixed investment trust for federal
income tax purposes under Treasury Regulation Section 301.7701-4, and the
Certificateholder agrees to treat the Trust, any distributions therefrom and
its beneficial interest in the Certificates consistently with such
characterization.

                                     A-6

<PAGE>

            The Trust and the obligations of the Depositor and the Trustee
created by the Trust Agreement with respect to the Certificates shall
terminate upon the earliest to occur of (i) the distribution in full of all
amounts due to the Certificateholders following a Swap Termination Event; (ii)
the Final Scheduled Distribution Date and (iii) the expiration of 21 years
from the death of the last survivor of the descendants of Joseph P. Kennedy,
the late Ambassador of the United States to the Court of St. James, living on
the date hereof.

            An employee benefit plan subject to the Employee Retirement Income
Security Act of 1974, as amended ("ERISA"), a plan described in Section
4975(e) of the Code, an entity whose underlying assets include plan assets by
reason of any such plan's investment in the entity, including an individual
retirement account or Keogh plan (any such, a "Plan") may purchase and hold
Certificates if the Plan can represent and warrant that its purchase and
holding of the Certificates would not be prohibited under ERISA or the Code.

                                     A-7

<PAGE>

                                  ASSIGNMENT

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

PLEASE INSERT SOCIAL SECURITY
OR OTHER IDENTIFYING NUMBER
OF ASSIGNEE

(Please print or type name and address, including postal zip code, of
assignee) the within Certificate, and all rights thereunder, hereby
irrevocably constituting and appointing ______________________ Attorney to
transfer said Certificate on the books of the Certificate Register, with full
power of substitution in the premises.

Dated:

                                                            *

                                                   Signature Guaranteed:

                                                            *

*NOTICE: The signature to this assignment must correspond with the name as it
appears upon the face of the within Certificate in every particular, without
alteration, enlargement or any change whatever. Signatures must be guaranteed
by an "eligible guarantor institution" meeting the requirements of the
Certificate Registrar, which requirements include membership or participation
in the Security Transfer Agent Medallion Program ("STAMP") or such other
"signature guarantee program" as may be determined by the Certificate
Registrar in addition to, or in substitution for, STAMP, all in accordance
with the Securities Exchange Act of 1934, as amended.

                                     A-8

<PAGE>
                                EXHIBIT B
                            FORM OF SWAP AGREEMENT

(Multicurrency - Cross Border)

                                    ISDA(R)

                 International Swap Dealers Association, Inc.

                               MASTER AGREEMENT

                         dated as of November 15, 2002

                                              REPACKAGED GE GLOBAL
LEHMAN BROTHERS DERIVATIVE                    INSURANCE FLOATING RATE TRUST
PRODUCTS INC.                    and          CERTIFICATES, SERIES 2002-1 TRUST

have entered and/or anticipate entering into one or more transactions (each a
"Transaction") that are or will be governed by this Master Agreement, which
includes the schedule (the "Schedule"), and the documents and other confirming
evidence (each a "Confirmation") exchanged between the parties confirming
those Transactions.

Accordingly, the parties agree as follows: --

1.   Interpretation

(a)  Definitions. The terms defined in Section 14 and in the Schedule will have
the meanings therein specified for the purpose of this Master Agreement.

(b)  Inconsistency. In the event of any inconsistency between the provisions of
the Schedule and the other provisions of this Master Agreement, the Schedule
will prevail. In the event of any inconsistency between the provisions of any
Confirmation and this Master Agreement (including the Schedule), such
Confirmation will prevail for the purpose of the relevant Transaction.

(c)  Single Agreement. All Transactions are entered into in reliance on the
fact that this Master Agreement and all Confirmations form a single agreement
between the parties (collectively referred to as this "Agreement'), and the
parties would not otherwise enter into any Transactions.

2.   Obligations

(a)  General Conditions.

     (i) Each party will make each payment or delivery specified in each
     Confirmation to be made by it, subject to the other provisions of this
     Agreement.

     (ii) Payments under this Agreement will be made on the due date for value
     on that date in the place of the account specified in the relevant
     Confirmation or otherwise pursuant to this Agreement, in freely
     transferable funds and in the manner customary for payments in the
     required currency. Where settlement is by delivery (that is, other than
     by payment), such delivery will be made for receipt on the due date in
     the manner customary for the relevant obligation unless otherwise
     specified in the relevant Confirmation or elsewhere in this Agreement.

                                       1
<PAGE>

     (iii) Each obligation of each party under Section 2(a)(i) is subject to
     (1) the condition precedent that no Event of Default or Potential Event
     of Default with respect to the other party has occurred and is
     continuing, (2) the condition precedent that no Early Termination Date in
     respect of the relevant Transaction has occurred or been effectively
     designated and (3) each other applicable condition precedent specified in
     this Agreement.

(b)  Change of Account. Either party may change its account for receiving a
payment or delivery by giving notice to the other party at least five Local
Business Days prior to the scheduled date for the payment or delivery to which
such change applies unless such other party gives timely notice of a
reasonable objection to such change.

(c)  Netting. If on any date amounts would otherwise be payable: --

     (i) in the same currency; and

     (ii) in respect of the same Transaction,

by each party to the other, then, on such date, each party's obligation to
make payment of any such amount will be automatically satisfied and discharged
and, if the aggregate amount that would otherwise have been payable by one
party exceeds the aggregate amount that would otherwise have been payable by
the other party, replaced by an obligation upon the party by whom the larger
aggregate amount would have been payable to pay to the other party the excess
of the larger aggregate amount over the smaller aggregate amount.

The parties may elect in respect of two or more Transactions that a net amount
will be determined in respect of all amounts payable on the same date in the
same currency in respect of such Transactions, regardless of whether such
amounts are payable in respect of the same Transaction. The election may be
made in the Schedule or a Confirmation by specifying that subparagraph (ii)
above will not apply to the Transactions identified as being subject to the
election, together with the starting date (in which case subparagraph (ii)
above will not, or will cease to, apply to such Transactions from such date).
This election may be made separately for different groups of Transactions and
will apply separately to each pairing of Offices through which the parties
make and receive payments or deliveries.

(d)  Deduction or Withholding for Tax.

     (i) Gross-Up. All payments under this Agreement will be made without any
     deduction or withholding for or on account of any Tax unless such
     deduction or withholding is required by any applicable law, as modified
     by the practice of any relevant governmental revenue authority, then in
     effect. If a party is so required to deduct or withhold, then that party
     ("X") will: --

           (1) promptly notify the other party ("Y") of such requirement;

           (2) pay to the relevant authorities the full amount required to be
           deducted or withheld (including the full amount required to be
           deducted or withheld from any additional amount paid by X to Y
           under this Section 2(d)) promptly upon the earlier of determining
           that such deduction or withholding is required or receiving notice
           that such amount has been assessed against Y;

           (3) promptly forward to Y an official receipt (or a certified
           copy), or other documentation reasonably acceptable to Y,
           evidencing such payment to such authorities; and

           (4) if such Tax is an Indemnifiable Tax, pay to Y, in addition to
           the payment to which Y is otherwise entitled under this Agreement,
           such additional amount as is necessary to ensure that the net
           amount actually received by Y (free and clear of Indemnifiable
           Taxes, whether assessed against X or Y) will equal the full amount
           Y would have received had no such deduction or withholding been
           required. However, X will not be required to pay any additional
           amount to Y to the extent that it would not be required to be paid
           but for:-

                                      -2-
<PAGE>

               (A) the failure by Y to comply with or perform any agreement
               contained in Section 4(a)(i), 4(a)(iii) or 4(d); or

               (B) the failure of a representation made by Y pursuant to
               Section 3(f) to be accurate and true unless such failure would
               not have occurred but for (I) any action taken by a taxing
               authority, or brought in a court of competent jurisdiction, on
               or after the date on which a Transaction is entered into
               (regardless of whether such action is taken or brought with
               respect to a party to this Agreement) or (II) a Change in Tax
               Law.

     (ii) Liability. If: --

          (1) X is required by any applicable law, as modified by the
          practice of any relevant governmental revenue authority, to make
          any deduction or withholding in respect of which X would not be
          required to pay an additional amount to Y under Section 2(d)(i)(4);

          (2) X does not so deduct or withhold; and

          (3) a liability resulting from such Tax is assessed directly
          against X,

     then, except to the extent Y has satisfied or then satisfies the
     liability resulting from such Tax, Y will promptly pay to X the amount of
     such liability (including any related liability for interest, but
     including any related liability for penalties only if Y has failed to
     comply with or perform any agreement contained in Section 4(a)(i),
     4(a)(iii) or 4(d)).

(e)  Default Interest; Other Amounts. Prior to the occurrence or effective
designation of an Early Termination Date in respect of the relevant
Transaction, a party that defaults in the performance of any payment
obligation will, to the extent permitted by law and subject to Section 6(c),
be required to pay interest (before as well as after judgment) on the overdue
amount to the other party on demand in the same currency as such overdue
amount, for the period from (and including) the original due date for payment
to (but excluding) the date of actual payment, at the Default Rate. Such
interest will be calculated on the basis of daily compounding and the actual
number of days elapsed. If, prior to the occurrence or effective designation
of an Early Termination Date in respect of the relevant Transaction, a party
defaults in the performance of any obligation required to be settled by
delivery, it will compensate the other party on demand if and to the extent
provided for in the relevant Confirmation or elsewhere in this Agreement.

3.   Representations

Each party represents to the other party (which representations will be deemed
to be repeated by each party on each date on which a Transaction is entered
into and, in the case of the representations in Section 3(f), at all times
until the termination of this Agreement) that: --

(a)  Basic Representations.

     (i) Status. It is duly organised and validly existing under the laws of
     the jurisdiction of its organisation or incorporation and, if relevant
     under such laws, in good standing;

     (ii) Powers. It has the power to execute this Agreement and any other
     documentation relating to this Agreement to which it is a party, to
     deliver this Agreement and any other documentation relating to this
     Agreement that it is required by this Agreement to deliver and to perform
     its obligations under this Agreement and any obligations it has under any
     Credit Support Document to which it is a party and has taken all
     necessary action to authorise such execution, delivery and performance;

     (iii) No Violation or Conflict. Such execution, delivery and performance
     do not violate or conflict with any law applicable to it, any provision
     of its constitutional documents, any order or judgment of any

                                      -3-
<PAGE>

     court or other agency of government applicable to it or any of its assets
     or any contractual restriction binding on or affecting it or any of its
     assets;

     (iv) Consents. All governmental and other consents that are required to
     have been obtained by it with respect to this Agreement or any Credit
     Support Document to which it is a party have been obtained and are in
     full force and effect and all conditions of any such consents have been
     complied with; and

     (v) Obligations Binding. Its obligations under this Agreement and any
     Credit Support Document to which it is a party constitute its legal,
     valid and binding obligations, enforceable in accordance with their
     respective terms (subject to applicable bankruptcy, reorganisation,
     insolvency, moratorium or similar laws affecting creditors' rights
     generally and subject, as to enforceability, to equitable principles of
     general application (regardless of whether enforcement is sought in a
     proceeding in equity or at law)).

(b)  Absence of Certain Events. No Event of Default or Potential Event of
Default or, to its knowledge, Termination Event with respect to it has
occurred and is continuing and no such event or circumstance would occur as a
result of its entering into or performing its obligations under this Agreement
or any Credit Support Document to which it is a party.

(c)  Absence of Litigation. There is not pending or, to its knowledge,
threatened against it or any of its Affiliates any action, suit or proceeding
at law or in equity or before any court, tribunal, governmental body, agency
or official or any arbitrator that is likely to affect the legality, validity
or enforceability against it of this Agreement or any Credit Support Document
to which it is a party or its ability to perform its obligations under this
Agreement or such Credit Support Document.

(d)  Accuracy of Specified Information. All applicable information that is
furnished in writing by or on behalf of it to the other party and is
identified for the purpose of this Section 3(d) in the Schedule is, as of the
date of the information, true, accurate and complete in every material
respect.

(e)  Payer Tax Representation. Each representation specified in the Schedule as
being made by it for the purpose of this Section 3(e) is accurate and true.

(f)  Payee Tax Representations. Each representation specified in the Schedule
as being made by it for the purpose of this Section 3(f) is accurate and true.

4.   Agreements

Each party agrees with the other that, so long as either party has or may have
any obligation under this Agreement or under any Credit Support Document to
which it is a party: --

(a)  Furnish Specified Information. It will deliver to the other party or, in
certain cases under subparagraph (iii) below, to such government or taxing
authority as the other party reasonably directs: --

     (i) any forms, documents or certificates relating to taxation specified
     in the Schedule or any Confirmation;

     (ii) any other documents specified in the Schedule or any Confirmation;
     and

     (iii) upon reasonable demand by such other party, any form or document
     that may be required or reasonably requested in writing in order to allow
     such other party or its Credit Support Provider to make a payment under
     this Agreement or any applicable Credit Support Document without any
     deduction or withholding for or on account of any Tax or with such
     deduction or withholding at a reduced rate (so long as the completion,
     execution or submission of such form or document would not materially
     prejudice the legal or commercial position of the party in receipt of
     such demand), with any such form or document to be accurate and completed
     in a manner reasonably satisfactory to such other party and to be
     executed and to be delivered with any reasonably required certification,

                                      -4-
<PAGE>

in each case by the date specified in the Schedule or such Confirmation or, if
none is specified, as soon as reasonably practicable.

(b)  Maintain Authorisations. It will use all reasonable efforts to maintain in
full force and effect all consents of any governmental or other authority that
are required to be obtained by it with respect to this Agreement or any Credit
Support Document to which it is a party and will use all reasonable efforts to
obtain any that may become necessary in the future.

(c)  Comply with Laws. It will comply in all material respects with all
applicable laws and orders to which it may be subject if failure so to comply
would materially impair its ability to perform its obligations under this
Agreement or any Credit Support Document to which it is a party.

(d)  Tax Agreement. It will give notice of any failure of a representation made
by it under Section 3(f) to be accurate and true promptly upon learning of
such failure.

(e)  Payment of Stamp Tax. Subject to Section 11, it will pay any Stamp Tax
levied or imposed upon it or in respect of its execution or performance of
this Agreement by a jurisdiction in which it is incorporated, organised,
managed and controlled, or considered to have its seat, or in which a branch
or office through which it is acting for the purpose of this Agreement is
located ("Stamp Tax Jurisdiction") and will indemnify the other party against
any Stamp Tax levied or imposed upon the other party or in respect of the
other party's execution or performance of this Agreement by any such Stamp Tax
Jurisdiction which is not also a Stamp Tax Jurisdiction with respect to the
other party.

5.   Events of Default and Termination Events

(a)  Events of Default. The occurrence at any time with respect to a party or,
if applicable, any Credit Support Provider of such party or any Specified
Entity of such party of any of the following events constitutes an event of
default (an "Event of Default") with respect to such party:

     (i) Failure to Pay or Deliver. Failure by the party to make, when due,
     any payment under this Agreement or delivery under Section 2(a)(i) or
     2(e) required to be made by it if such failure is not remedied on or
     before the third Local Business Day after notice of such failure is given
     to the party;

     (ii) Breach of Agreement. Failure by the party to comply with or perform
     any agreement or obligation (other than an obligation to make any payment
     under this Agreement or delivery under Section 2(a)(i) or 2(e) or to give
     notice of a Termination Event or any agreement or obligation under
     Section 4(a)(i), 4(a)(iii) or 4(d)) to be complied with or performed by
     the party in accordance with this Agreement if such failure is not
     remedied on or before the thirtieth day after notice of such failure is
     given to the party;

     (iii) Credit Support Default.

           (1) Failure by the party or any Credit Support Provider of such
           party to comply with or perform any agreement or obligation to be
           complied with or performed by it in accordance with any Credit
           Support Document if such failure is continuing after any applicable
           grace period has elapsed;

           (2) the expiration or termination of such Credit Support Document
           or the failing or ceasing of such Credit Support Document to be in
           full force and effect for the purpose of this Agreement (in either
           case other than in accordance with its terms) prior to the
           satisfaction of all obligations of such party under each
           Transaction to which such Credit Support Document relates without
           the written consent of the other party; or

           (3) the party or such Credit Support Provider disaffirms,
           disclaims, repudiates or rejects, in whole or in part, or
           challenges the validity of, such Credit Support Document;

                                     -5-
<PAGE>

     (iv) Misrepresentation. A representation (other than a representation
     under Section 3(e) or (f)) made or repeated or deemed to have been made
     or repeated by the party or any Credit Support Provider of such party in
     this Agreement or any Credit Support Document proves to have been
     incorrect or misleading in any material respect when made or repeated or
     deemed to have been made or repeated;

     (v) Default under Specified Transaction. The party, any Credit Support
     Provider of such party or any applicable Specified Entity of such party
     (1) defaults under a Specified Transaction and, after giving effect to
     any applicable notice requirement or grace period, there occurs a
     liquidation of, an acceleration of obligations under, or an early
     termination of, that Specified Transaction, (2) defaults, after giving
     effect to any applicable notice requirement or grace period, in making
     any payment or delivery due on the last payment, delivery or exchange
     date of, or any payment on early termination of, a Specified Transaction
     (or such default continues for at least three Local Business Days if
     there is no applicable notice requirement or grace period) or (3)
     disaffirms, disclaims, repudiates or rejects, in whole or in part, a
     Specified Transaction (or such action is taken by any person or entity
     appointed or empowered to operate it or act on its behalf);

     (vi) Cross Default. If "Cross Default" is specified in the Schedule as
     applying to the party, the occurrence or existence of (1) a default,
     event of default or other similar condition or event (however described)
     in respect of such party, any Credit Support Provider of such party or
     any applicable Specified Entity of such party under one or more
     agreements or instruments relating to Specified Indebtedness of any of
     them (individually or collectively) in an aggregate amount of not less
     than the applicable Threshold Amount (as specified in the Schedule) which
     has resulted in such Specified Indebtedness becoming, or becoming capable
     at such time of being declared, due and payable under such agreements or
     instruments, before it would otherwise have been due and payable or (2) a
     default by such party, such Credit Support Provider or such Specified
     Entity (individually or collectively) in making one or more payments on
     the due date thereof in an aggregate amount of not less than the
     applicable Threshold Amount under such agreements or instruments (after
     giving effect to any applicable notice requirement or grace period);

     (vii) Bankruptcy. The party, any Credit Support Provider of such party or
     any applicable Specified Entity of such party: --

           (1) is dissolved (other than pursuant to a consolidation,
           amalgamation or merger); (2) becomes insolvent or is unable to pay
           its debts or fails or admits in writing its inability generally to
           pay its debts as they become due; (3) makes a general assignment,
           arrangement or composition with or for the benefit of its
           creditors; (4) institutes or has instituted against it a proceeding
           seeking a judgment of insolvency or bankruptcy or any other relief
           under any bankruptcy or insolvency law or other similar law
           affecting creditors' rights, or a petition is presented for its
           winding-up or liquidation, and, in the case of any such proceeding
           or petition instituted or presented against it, such proceeding or
           petition (A) results in a judgment of insolvency or bankruptcy or
           the entry of an order for relief or the making of an order for its
           winding-up or liquidation or (B) is not dismissed, discharged,
           stayed or restrained in each case within 30 days of the institution
           or presentation thereof; (5) has a resolution passed for its
           winding-up, official management or liquidation (other than pursuant
           to a consolidation, amalgamation or merger); (6) seeks or becomes
           subject to the appointment of an administrator, provisional
           liquidator, conservator, receiver, trustee, custodian or other
           similar official for it or for all or substantially all its assets;
           (7) has a secured party take possession of all or substantially all
           its assets or has a distress, execution, attachment, sequestration
           or other legal process levied, enforced or sued on or against all
           or substantially all its assets and such secured party maintains
           possession, or any such process is not dismissed, discharged,
           stayed or restrained, in each case within 30 days thereafter; (8)
           causes or is subject to any event with respect to it which, under
           the applicable laws of any jurisdiction, has an analogous effect to
           any of the events specified in clauses (1) to (7) (inclusive); or
           (9) takes any action in furtherance of, or indicating its consent
           to, approval of, or acquiescence in, any of the foregoing acts; or

     (viii) Merger Without Assumption. The party or any Credit Support
     Provider of such party consolidates or amalgamates with, or merges with
     or into, or transfers all or substantially all its assets to, another
     entity and, at the time of such consolidation, amalgamation, merger or
     transfer. --

                                     -6-
<PAGE>

           (1) the resulting, surviving or transferee entity fails to assume
           all the obligations of such party or such Credit Support Provider
           under this Agreement or any Credit Support Document to which it or
           its predecessor was a party by operation of law or pursuant to an
           agreement reasonably satisfactory to the other party to this
           Agreement; or

           (2) the benefits of any Credit Support Document fail to extend
           (without the consent of the other party) to the performance by such
           resulting, surviving or transferee entity of its obligations under
           this Agreement.

(b)  Termination Events. The occurrence at any time with respect to a party or,
if applicable, any Credit Support Provider of such party or any Specified
Entity of such party of any event specified below constitutes an Illegality if
the event is specified in (i) below, a Tax Event if the event is specified in
(ii) below or a Tax Event Upon Merger if the event is specified in (iii)
below, and, if specified to be applicable, a Credit Event Upon Merger if the
event is specified pursuant to (iv) below or an Additional Termination Event
if the event is specified pursuant to (v) below: --

     (i) Illegality. Due to the adoption of, or any change in, any applicable
     law after the date on which a Transaction is entered into, or due to the
     promulgation of, or any change in, the interpretation by any court,
     tribunal or regulatory authority with competent jurisdiction of any
     applicable law after such date, it becomes unlawful (other than as a
     result of a breach by the party of Section 4(b)) for such party (which
     will be the Affected Party): --

           (1) to perform any absolute or contingent obligation to make a
           payment or delivery or to receive a payment or delivery in respect
           of such Transaction or to comply with any other material provision
           of this Agreement relating to such Transaction; or

           (2) to perform, or for any Credit Support Provider of such party to
           perform, any contingent or other obligation which the party (or
           such Credit Support Provider) has under any Credit Support Document
           relating to such Transaction;

     (ii) Tax Event. Due to (x) any action taken by a taxing authority, or
     brought in a court of competent jurisdiction, on or after the date on
     which a Transaction is entered into (regardless of whether such action is
     taken or brought with respect to a party to this Agreement) or (y) a
     Change in Tax Law, the party (which will be the Affected Party) will, or
     there is a substantial likelihood that it will, on the next succeeding
     Scheduled Payment Date (1) be required to pay to the other party an
     additional amount in respect of an Indemnifiable Tax under Section
     2(d)(i)(4) (except in respect of interest under Section 2(e), 6(d)(ii) or
     6(e)) or (2) receive a payment from which an amount is required to be
     deducted or withheld for or on account of a Tax (except in respect of
     interest under Section 2(e), 6(d)(ii) or 6(e)) and no additional amount
     is required to be paid in respect of such Tax under Section 2(d)(i)(4)
     (other than by reason of Section 2(d)(i)(4)(A) or (B));

     (iii) Tax Event Upon Merger. The party (the "Burdened Party") on the next
     succeeding Scheduled Payment Date will either (1) be required to pay an
     additional amount in respect of an Indemnifiable Tax under Section
     2(d)(i)(4) (except in respect of interest under Section 2(e), 6(d)(ii) or
     6(e)) or (2) receive a payment from which an amount has been deducted or
     withheld for or on account of any Indemnifiable Tax in respect of which
     the other party is not required to pay an additional amount (other than
     by reason of Section 2(d)(i)(4)(A) or (B)), in either case as a result of
     a party consolidating or amalgamating with, or merging with or into, or
     transferring all or substantially all its assets to, another entity
     (which will be the Affected Party) where such action does not constitute
     an event described in Section 5(a)(viii);

     (iv) Credit Event Upon Merger. If "Credit Event Upon Merger" is specified
     in the Schedule as applying to the party, such party ("X"), any Credit
     Support Provider of X or any applicable Specified Entity of X
     consolidates or amalgamates with, or merges with or into, or transfers
     all or substantially all its assets to, another entity and such action
     does not constitute an event described in Section 5(a)(viii) but the
     creditworthiness of the resulting, surviving or transferee entity is
     materially weaker than that of X, such

                                     -7-
<PAGE>

     Credit Support Provider or such Specified Entity, as the case may be,
     immediately prior to such action (and, in such event, X or its successor
     or transferee, as appropriate, will be the Affected Party); or

     (v) Additional Termination Event. If any "Additional Termination Event"
     is specified in the Schedule or any Confirmation as applying, the
     occurrence of such event (and, in such event, the Affected Party or
     Affected Parties shall be as specified for such Additional Termination
     Event in the Schedule or such Confirmation).

(c)  Event of Default and Illegality. If an event or circumstance which would
otherwise constitute or give rise to an Event of Default also constitutes an
Illegality, it will be treated as an Illegality and will not constitute an
Event of Default.

6.   Early Termination

(a)  Right to Terminate Following Event of Default. If at any time an Event of
Default with respect to a party (the "Defaulting Party") has occurred and is
then continuing, the other party (the "Non-defaulting Party") may, by not more
than 20 days notice to the Defaulting Party specifying the relevant Event of
Default, designate a day not earlier than the day such notice is effective as
an Early Termination Date in respect of all outstanding Transactions. If,
however, "Automatic Early Termination" is specified in the Schedule as
applying to a party, then an Early Termination Date in respect of all
outstanding Transactions will occur immediately upon the occurrence with
respect to such party of an Event of Default specified in Section
5(a)(vii)(1), (3), (5), (6) or, to the extent analogous thereto, (8), and as
of the time immediately preceding the institution of the relevant proceeding
or the presentation of the relevant petition upon the occurrence with respect
to such party of an Event of Default specified in Section 5(a)(vii)(4) or, to
the extent analogous thereto, (8).

(b)  Right to Terminate Following Termination Event.

     (i) Notice. If a Termination Event occurs, an Affected Party will,
     promptly upon becoming aware of it, notify the other party, specifying
     the nature of that Termination Event and each Affected Transaction and
     will also give such other information about that Termination Event as the
     other party may reasonably require.

     (ii) Transfer to Avoid Termination Event. If either an Illegality under
     Section 5(b)(i)(1) or a Tax Event occurs and there is only one Affected
     Party, or if a Tax Event Upon Merger occurs and the Burdened Party is the
     Affected Party, the Affected Party will, as a condition to its right to
     designate an Early Termination Date under Section 6(b)(iv), use all
     reasonable efforts (which will not require such party to incur a loss,
     excluding immaterial, incidental expenses) to transfer within 20 days
     after it gives notice under Section 6(b)(i) all its rights and
     obligations under this Agreement in respect of the Affected Transactions
     to another of its Offices or Affiliates so that such Termination Event
     ceases to exist.

     If the Affected Party is not able to make such a transfer it will give
     notice to the other party to that effect within such 20 day period,
     whereupon the other party may effect such a transfer within 30 days after
     the notice is given under Section 6(b)(i).

     Any such transfer by a party under this Section 6(b)(ii) will be subject
     to and conditional upon the prior written consent of the other party,
     which consent will not be withheld if such other party's policies in
     effect at such time would permit it to enter into transactions with the
     transferee on the terms proposed.

     (iii) Two Affected Parties. If an Illegality under Section 5(b)(i)(1) or
     a Tax Event occurs and there are two Affected Parties, each party will
     use all reasonable efforts to reach agreement within 30 days after notice
     thereof is given under Section 6(b)(i) on action to avoid that
     Termination Event.

     (iv) Right to Terminate. If: --

                                     -8-
<PAGE>

           (1) a transfer under Section 6(b)(ii) or an agreement under Section
           6(b)(iii), as the case may be, has not been effected with respect
           to all Affected Transactions within 30 days after an Affected Party
           gives notice under Section 6(b)(i); or

           (2) an Illegality under Section 5(b)(i)(2), a Credit Event Upon
           Merger or an Additional Termination Event occurs, or a Tax Event
           Upon Merger occurs and the Burdened Party is not the Affected
           Party,

     either party in the case of an Illegality, the Burdened Party in the case
     of a Tax Event Upon Merger, any Affected Party in the case of a Tax Event
     or an Additional Termination Event if there is more than one Affected
     Party, or the party which is not the Affected Party in the case of a
     Credit Event Upon Merger or an Additional Termination Event if there is
     only one Affected Party may, by not more than 20 days notice to the other
     party and provided that the relevant Termination Event is then
     continuing, designate a day not earlier than the day such notice is
     effective as an Early Termination Date in respect of all Affected
     Transactions.

(c)  Effect of Designation.

     (i) If notice designating an Early Termination Date is given under
     Section 6(a) or (b), the Early Termination Date will occur on the date so
     designated, whether or not the relevant Event of Default or Termination
     Event is then continuing.

     (ii) Upon the occurrence or effective designation of an Early Termination
     Date, no further payments or deliveries under Section 2(a)(i) or 2(e) in
     respect of the Terminated Transactions will be required to be made, but
     without prejudice to the other provisions of this Agreement. The amount,
     if any, payable in respect of an Early Termination Date shall be
     determined pursuant to Section 6(e).

(d)  Calculations.

     (i) Statement. On or as soon as reasonably practicable following the
     occurrence of an Early Termination Date, each party will make the
     calculations on its part, if any, contemplated by Section 6(e) and will
     provide to the other party a statement (1) showing, in reasonable detail,
     such calculations (including all relevant quotations and specifying any
     amount payable under Section 6(e)) and (2) giving details of the relevant
     account to which any amount payable to it is to be paid. In the absence
     of written confirmation from the source of a quotation obtained in
     determining a Market Quotation, the records of the party obtaining such
     quotation will be conclusive evidence of the existence and accuracy of
     such quotation.

     (ii) Payment Date. An amount calculated as being due in respect of any
     Early Termination Date under Section 6(e) will be payable on the day that
     notice of the amount payable is effective (in the case of an Early
     Termination Date which is designated or occurs as a result of an Event of
     Default) and on the day which is two Local Business Days after the day on
     which notice of the amount payable is effective (in the case of an Early
     Termination Date which is designated as a result of a Termination Event).
     Such amount will be paid together with (to the extent permitted under
     applicable law) interest thereon (before as well as after judgment) in
     the Termination Currency, from (and including) the relevant Early
     Termination Date to (but excluding) the date such amount is paid, at the
     Applicable Rate. Such interest will be calculated on the basis of daily
     compounding and the actual number of days elapsed.

(e)  Payments on Early Termination. If an Early Termination Date occurs, the
following provisions shall apply based on the parties' election in the
Schedule of a payment measure, either "Market Quotation" or "Loss", and a
payment method, either the "First Method" or the "Second Method". If the
parties fail to designate a payment measure or payment method in the Schedule,
it will be deemed that "Market Quotation" or the "Second Method", as the case
may be, shall apply. The amount, if any, payable in respect of an Early
Termination Date and determined pursuant to this Section will be subject to
any Set-off.

     (i) Events of Default. If the Early Termination Date results from an
     Event of Default: --

                                     -9-
<PAGE>

           (1) First Method and Market Quotation. If the First Method and
           Market Quotation apply, the Defaulting Party will pay to the
           Non-defaulting Party the excess, if a positive number, of (A) the
           sum of the Settlement Amount (determined by the Non-defaulting
           Party) in respect of the Terminated Transactions and the
           Termination Currency Equivalent of the Unpaid Amounts owing to the
           Non-defaulting Party over (B) the Termination Currency Equivalent
           of the Unpaid Amounts owing to the Defaulting Party.

           (2) First Method and Loss. If the First Method and Loss apply, the
           Defaulting Party will pay to the Non-defaulting Party, if a
           positive number, the Non-defaulting Party's Loss in respect of this
           Agreement.

           (3) Second Method and Market Quotation. If the Second Method and
           Market Quotation apply, an amount will be payable equal to (A) the
           sum of the Settlement Amount (determined by the Non-defaulting
           Party) in respect of the Terminated Transactions and the
           Termination Currency Equivalent of the Unpaid Amounts owing to the
           Non-defaulting Party less (B) the Termination Currency Equivalent
           of the Unpaid Amounts owing to the Defaulting Party. If that amount
           is a positive number, the Defaulting Party will pay it to the
           Non-defaulting Party; if it is a negative number, the
           Non-defaulting Party will pay the absolute value of that amount to
           the Defaulting Party.

           (4) Second Method and Loss. If the Second Method and Loss apply, an
           amount will be payable equal to the Non-defaulting Party's Loss in
           respect of this Agreement. If that amount is a positive number, the
           Defaulting Party will pay it to the Non-defaulting Party; if it is
           a negative number, the Non-defaulting Party will pay the absolute
           value of that amount to the Defaulting Party.

     (ii) Termination Events. If the Early Termination Date results from a
     Termination Event: --

           (1) One Affected Party. If there is one Affected Party, the amount
           payable will be determined in accordance with Section 6(e)(i)(3),
           if Market Quotation applies, or Section 6(e)(i)(4), if Loss
           applies, except that, in either case, references to the Defaulting
           Party and to the Non-defaulting Party will be deemed to be
           references to the Affected Party and the party which is not the
           Affected Party, respectively, and, if Loss applies and fewer than
           all the Transactions are being terminated, Loss shall be calculated
           in respect of all Terminated Transactions.

           (2) Two Affected Parties. If there are two Affected Parties: --

               (A) if Market Quotation applies, each party will determine a
               Settlement Amount in respect of the Terminated Transactions,
               and an amount will be payable equal to (I) the sum of (a)
               one-half of the difference between the Settlement Amount of the
               party with the higher Settlement Amount ("X") and the
               Settlement Amount of the party with the lower Settlement Amount
               ("Y") and (b) the Termination Currency Equivalent of the Unpaid
               Amounts owing to X less (II) the Termination Currency
               Equivalent of the Unpaid Amounts owing to Y; and

               (B) if Loss applies, each party will determine its Loss in
               respect of this Agreement (or, if fewer than all the
               Transactions are being terminated, in respect of all Terminated
               Transactions) and an amount will be payable equal to one-half
               of the difference between the Loss of the party with the higher
               Loss ("X") and the Loss of the party with the lower Loss ("Y").

           If the amount payable is a positive number, Y will pay it to X; if
           it is a negative number, X will pay the absolute value of that
           amount to Y.

                                     -10-
<PAGE>

           (iii) Adjustment for Bankruptcy. In circumstances where an Early
           Termination Date occurs because "Automatic Early Termination"
           applies in respect of a party, the amount determined under this
           Section 6(e) will be subject to such adjustments as are appropriate
           and permitted by law to reflect any payments or deliveries made by
           one party to the other under this Agreement (and retained by such
           other party) during the period from the relevant Early Termination
           Date to the date for payment determined under Section 6(d)(ii).

           (iv) Pre-Estimate. The parties agree that if Market Quotation
           applies an amount recoverable under this Section 6(e) is a
           reasonable pre-estimate of loss and not a penalty. Such amount is
           payable for the loss of bargain and the loss of protection against
           future risks and except as otherwise provided in this Agreement
           neither party will be entitled to recover any additional damages as
           a consequence of such losses.

7.   Transfer

Subject to Section 6(b)(ii), neither this Agreement nor any interest or
obligation in or under this Agreement may be transferred (whether by way of
security or otherwise) by either party without the prior written consent of
the other party, except that: --

(a)  a party may make such a transfer of this Agreement pursuant to a
consolidation or amalgamation with, or merger with or into, or transfer of all
or substantially all its assets to, another entity (but without prejudice to
any other right or remedy under this Agreement); and

(b)  a party may make such a transfer of all or any part of its interest in any
amount payable to it from a Defaulting Party under Section 6(e).

Any purported transfer that is not in compliance with this Section will be
void.

8.   Contractual Currency

(a)  Payment in the Contractual Currency. Each payment under this Agreement
will be made in the relevant currency specified in this Agreement for that
payment (the "Contractual Currency"). To the extent permitted by applicable
law, any obligation to make payments under this Agreement in the Contractual
Currency will not be discharged or satisfied by any tender in any currency
other than the Contractual Currency, except to the extent such tender results
in the actual receipt by the party to which payment is owed, acting in a
reasonable manner and in good faith in converting the currency so tendered
into the Contractual Currency, of the full amount in the Contractual Currency
of all amounts payable in respect of this Agreement. If for any reason the
amount in the Contractual Currency so received falls short of the amount in
the Contractual Currency payable in respect of this Agreement, the party
required to make the payment will, to the extent permitted by applicable law,
immediately pay such additional amount in the Contractual Currency as may be
necessary to compensate for the shortfall. If for any reason the amount in the
Contractual Currency so received exceeds the amount in the Contractual
Currency payable in respect of this Agreement, the party receiving the payment
will refund promptly the amount of such excess.

(b)  Judgments. To the extent permitted by applicable law, if any judgment or
order expressed in a currency other than the Contractual Currency is rendered
(i) for the payment of any amount owing in respect of this Agreement, (ii) for
the payment of any amount relating to any early termination in respect of this
Agreement or (iii) in respect of a judgment or order of another court for the
payment of any amount described in (i) or (ii) above, the party seeking
recovery, after recovery in full of the aggregate amount to which such party
is entitled pursuant to the judgment or order, will be entitled to receive
immediately from the other party the amount of any shortfall of the
Contractual Currency received by such party as a consequence of sums paid in
such other currency and will refund promptly to the other party any excess of
the Contractual Currency received by such party as a consequence of sums paid
in such other currency if such shortfall or such excess arises or results from
any variation between the rate of exchange at which the Contractual Currency
is converted into the currency of the judgment or order for the purposes of
such judgment or order and the rate of exchange at which such party is able,
acting in a reasonable manner and in good faith in converting the currency
received into the Contractual Currency, to purchase the Contractual Currency
with the amount of the currency of the judgment or order actually received by
such party. The term "rate of

                                     -11-
<PAGE>

exchange" includes, without limitation, any premiums and costs of exchange
payable in connection with the purchase of or conversion into the Contractual
Currency.

(c)  Separate Indemnities. To the extent permitted by applicable law, these
indemnities constitute separate and independent obligations from the other
obligations in this Agreement, will be enforceable as separate and independent
causes of action, will apply notwithstanding any indulgence granted by the
party to which any payment is owed and will not be affected by judgment being
obtained or claim or proof being made for any other sums payable in respect of
this Agreement.

(d)  Evidence of Loss. For the purpose of this Section 8, it will be sufficient
for a party to demonstrate that it would have suffered a loss had an actual
exchange or purchase been made.

9.   Miscellaneous

(a)  Entire Agreement. This Agreement constitutes the entire agreement and
understanding of the parties with respect to its subject matter and supersedes
all oral communication and prior writings with respect thereto.

(b)  Amendments. No amendment, modification or waiver in respect of this
Agreement will be effective unless in writing (including a writing evidenced
by a facsimile transmission) and executed by each of the parties or confirmed
by an exchange of telexes or electronic messages on an electronic messaging
system.

(c)  Survival of Obligations. Without prejudice to Sections 2(a)(iii) and
6(c)(ii), the obligations of the parties under this Agreement will survive the
termination of any Transaction.

(d)  Remedies Cumulative. Except as provided in this Agreement, the rights,
powers, remedies and privileges provided in this Agreement are cumulative and
not exclusive of any rights, powers, remedies and privileges provided by law.

(e)  Counterparts and Confirmations.

     (i) This Agreement (and each amendment, modification and waiver in
     respect of it) may be executed and delivered in counterparts (including
     by facsimile transmission), each of which will be deemed an original.

     (ii) The parties intend that they are legally bound by the terms of each
     Transaction from the moment they agree to those terms (whether orally or
     otherwise). A Confirmation shall he entered into as soon as practicable
     and may he executed and delivered in counterparts (including by facsimile
     transmission) or be created by an exchange of telexes or by an exchange
     of electronic messages on an electronic messaging system, which in each
     case will be sufficient for all purposes to evidence a binding supplement
     to this Agreement. The parties will specify therein or through another
     effective means that any such counterpart, telex or electronic message
     constitutes a Confirmation.

(f)  No Waiver of Rights. A failure or delay in exercising any right, power or
privilege in respect of this Agreement will not be presumed to operate as a
waiver, and a single or partial exercise of any right, power or privilege will
not be presumed to preclude any subsequent or further exercise, of that right,
power or privilege or the exercise of any other right, power or privilege.

(g)  Headings. The headings used in this Agreement are for convenience of
reference only and are not to affect the construction of or to be taken into
consideration in interpreting this Agreement.

10.  Offices; Multibranch Parties

(a)  If Section 10(a) is specified in the Schedule as applying, each party that
enters into a Transaction through an Office other than its head or home office
represents to the other party that, notwithstanding the place of booking
office or jurisdiction of incorporation or organisation of such party, the
obligations of such party are the same as if it

                                     -12-
<PAGE>

had entered into the Transaction through its head or home office. This
representation will be deemed to be repeated by such party on each date on
which a Transaction is entered into.

(b)  Neither party may change the Office through which it makes and receives
payments or deliveries for the purpose of a Transaction without the prior
written consent of the other party.

(c)  If a party is specified as a Multibranch Party in the Schedule, such
Multibranch Party may make and receive payments or deliveries under any
Transaction through any Office listed in the Schedule, and the Office through
which it makes and receives payments or deliveries with respect to a
Transaction will be specified in the relevant Confirmation.

11.  Expenses

A Defaulting Party will, on demand, indemnify and hold harmless the other
party for and against all reasonable out-of-pocket expenses, including legal
fees and Stamp Tax, incurred by such other party by reason of the enforcement
and protection of its rights under this Agreement or any Credit Support
Document to which the Defaulting Party is a party or by reason of the early
termination of any Transaction, including, but not limited to, costs of
collection.

12.  Notices

(a)  Effectiveness. Any notice or other communication in respect of this
Agreement may be given in any manner set forth below (except that a notice or
other communication under Section 5 or 6 may not be given by facsimile
transmission or electronic messaging system) to the address or number or in
accordance with the electronic messaging system details provided (see the
Schedule) and will be deemed effective as indicated: --

     (i) if in writing and delivered in person or by courier, on the date it
     is delivered;

     (ii) if sent by telex, on the date the recipient's answerback is
     received;

     (iii) if sent by facsimile transmission, on the date that transmission is
     received by a responsible employee of the recipient in legible form (it
     being agreed that the burden of proving receipt will be on the sender and
     will not be met by a transmission report generated by the sender's
     facsimile machine);

     (iv) if sent by certified or registered mail (airmail, if overseas) or
     the equivalent (return receipt requested), on the date that mail is
     delivered or its delivery is attempted; or

     (v) if sent by electronic messaging system, on the date that electronic
     message is received,

unless the date of that delivery (or attempted delivery) or that receipt, as
applicable, is not a Local Business Day or that communication is delivered (or
attempted) or received, as applicable, after the close of business on a Local
Business Day, in which case that communication shall be deemed given and
effective on the first following day that is a Local Business Day.

(b)  Change of Addresses. Either party may by notice to the other change the
address, telex or facsimile number or electronic messaging system details at
which notices or other communications are to be given to it.

13.  Governing Law and Jurisdiction

(a)  Governing Law. This Agreement will be governed by and construed in
accordance with the law specified in the Schedule.

(b)  Jurisdiction. With respect to any suit, action or proceedings relating to
this Agreement ("Proceedings"), each party irrevocably: --

                                     -13-
<PAGE>

     (i) submits to the jurisdiction of the English courts, if this Agreement
     is expressed to be governed by English law, or to the non-exclusive
     jurisdiction of the courts of the State of New York and the United States
     District Court located in the Borough of Manhattan in New York City, if
     this Agreement is expressed to be governed by the laws of the State of
     New York; and

     (ii) waives any objection which it may have at any time to the laying of
     venue of any Proceedings brought in any such court, waives any claim that
     such Proceedings have been brought in an inconvenient forum and further
     waives the right to object, with respect to such Proceedings, that such
     court does not have any jurisdiction over such party.

Nothing in this Agreement precludes either party from bringing Proceedings in
any other jurisdiction (outside, if this Agreement is expressed to be governed
by English law, the Contracting States, as defined in Section 1(3) of the
Civil Jurisdiction and Judgments Act 1982 or any modification, extension or
re-enactment thereof for the time being in force) nor will the bringing of
Proceedings in any one or more jurisdictions preclude the bringing of
Proceedings in any other jurisdiction.

(c)  Service of Process. Each party irrevocably appoints the Process Agent (if
any) specified opposite its name in the Schedule to receive, for it and on its
behalf, service of process in any Proceedings. If for any reason any party's
Process Agent is unable to act as such, such party will promptly notify the
other party and within 30 days appoint a substitute process agent acceptable
to the other party. The parties irrevocably consent to service of process
given in the manner provided for notices in Section 12. Nothing in this
Agreement will affect the right of either party to serve process in any other
manner permitted by law.

(d)  Waiver of Immunities. Each party irrevocably waives, to the fullest extent
permitted by applicable law, with respect to itself and its revenues and
assets (irrespective of their use or intended use), all immunity on the
grounds of sovereignty or other similar grounds from (i) suit, (ii)
jurisdiction of any court, (iii) relief by way of injunction, order for
specific performance or for recovery of property, (iv) attachment of its
assets (whether before or after judgment) and (v) execution or enforcement of
any judgment to which it or its revenues or assets might otherwise be entitled
in any Proceedings in the courts of any jurisdiction and irrevocably agrees,
to the extent permitted by applicable law, that it will not claim any such
immunity in any Proceedings.

14.  Definitions

As used in this Agreement: --

"Additional Termination Event" has the meaning specified in Section 5(b).

"Affected Party" has the meaning specified in Section 5(b).

"Affected Transactions" means (a) with respect to any Termination Event
consisting of an Illegality, Tax Event or Tax Event Upon Merger, all
Transactions affected by the occurrence of such Termination Event and (b) with
respect to any other Termination Event, all Transactions.

"Affiliate" means, subject to the Schedule, in relation to any person, any
entity controlled, directly or indirectly, by the person, any entity that
controls, directly or indirectly, the person or any entity directly or
indirectly under common control with the person. For this purpose, "control"
of any entity or person means ownership of a majority of the voting power of
the entity or person.

"Applicable Rate" means: --

(a)  in respect of obligations payable or deliverable (or which would have been
but for Section 2(a)(iii)) by a Defaulting Party, the Default Rate;

(b)  in respect of an obligation to pay an amount under Section 6(e) of either
party from and after the date (determined in accordance with Section 6(d)(ii))
on which that amount is payable, the Default Rate;

                                     -14-
<PAGE>

(c)  in respect of all other obligations payable or deliverable (or which would
have been but for Section 2(a)(iii)) by a Non-defaulting Party, the
Non-default Rate; and

(d)  in all other cases, the Termination Rate.

"Burdened Party" has the meaning specified in Section 5(b).

"Change in Tax Law" means the enactment, promulgation, execution or
ratification of, or any change in or amendment to, any law (or in the
application or official interpretation of any law) that occurs on or after the
date on which the relevant Transaction is entered into.

"consent" includes a consent, approval, action, authorisation, exemption,
notice, filing, registration or exchange control consent.

"Credit Event Upon Merger" has the meaning specified in Section 5(b).

"Credit Support Document" means any agreement or instrument that is specified
as such in this Agreement.

"Credit Support Provider" has the meaning specified in the Schedule.

"Default Rate" means a rate per annum equal to the cost (without proof or
evidence of any actual cost) to the relevant payee (as certified by it) if it
were to fund or of funding the relevant amount plus 1% per annum.

"Defaulting Party" has the meaning specified in Section 6(a).

"Early Termination Date" means the date determined in accordance with Section
6(a) or 6(b)(iv).

"Event of Default" has the meaning specified in Section 5(a) and, if
applicable, in the Schedule.

"Illegality" has the meaning specified in Section 5(b).

"Indemnifiable Tax" means any Tax other than a Tax that would not be imposed
in respect of a payment under this Agreement but for a present or former
connection between the jurisdiction of the government or taxation authority
imposing such Tax and the recipient of such payment or a person related to
such recipient (including, without limitation, a connection arising from such
recipient or related person being or having been a citizen or resident of such
jurisdiction, or being or having been organised, present or engaged in a trade
or business in such jurisdiction, or having or having had a permanent
establishment or fixed place of business in such jurisdiction, but excluding a
connection arising solely from such recipient or related person having
executed, delivered, performed its obligations or received a payment under, or
enforced, this Agreement or a Credit Support Document).

"law" includes any treaty, law, rule or regulation (as modified, in the case
of tax matters, by the practice of any relevant governmental revenue
authority) and "lawful" and "unlawful" will be construed accordingly.

"Local Business Day" means, subject to the Schedule, a day on which commercial
banks are open for business (including dealings in foreign exchange and
foreign currency deposits) (a) in relation to any obligation under Section
2(a)(i), in the place(s) specified in the relevant Confirmation or, if not so
specified, as otherwise agreed by the parties in writing or determined
pursuant to provisions contained, or incorporated by reference, in this
Agreement, (b) in relation to any other payment, in the place where the
relevant account is located and, if different, in the principal financial
centre, if any, of the currency of such payment, (c) in relation to any notice
or other communication, including notice contemplated under Section 5(a)(i),
in the city specified in the address for notice provided by the recipient and,
in the case of a notice contemplated by Section 2(b), in the place where the
relevant new account is to be located and (d) in relation to Section
5(a)(v)(2), in the relevant locations for performance with respect to such
Specified Transaction.

                                     -15-
<PAGE>

"Loss" means, with respect to this Agreement or one or more Terminated
Transactions, as the case may be, and a party, the Termination Currency
Equivalent of an amount that party reasonably determines in good faith to be
its total losses and costs (or gain, in which case expressed as a negative
number) in connection with this Agreement or that Terminated Transaction or
group of Terminated Transactions, as the case may be, including any loss of
bargain, cost of funding or, at the election of such party but without
duplication, loss or cost incurred as a result of its terminating,
liquidating, obtaining or reestablishing any hedge or related trading position
(or any gain resulting from any of them). Loss includes losses and costs (or
gains) in respect of any payment or delivery required to have been made
(assuming satisfaction of each applicable condition precedent) on or before
the relevant Early Termination Date and not made, except, so as to avoid
duplication, if Section 6(e)(i)(1) or (3) or 6(e)(ii)(2)(A) applies. Loss does
not include a party's legal fees and out-of-pocket expenses referred to under
Section 11. A party will determine its Loss as of the relevant Early
Termination Date, or, if that is not reasonably practicable, as of the
earliest date thereafter as is reasonably practicable. A party may (but need
not) determine its Loss by reference to quotations of relevant rates or prices
from one or more leading dealers in the relevant markets.

"Market Quotation" means, with respect to one or more Terminated Transactions
and a party making the determination, an amount determined on the basis of
quotations from Reference Market-makers. Each quotation will be for an amount,
if any, that would be paid to such party (expressed as a negative number) or
by such party (expressed as a positive number) in consideration of an
agreement between such party (taking into account any existing Credit Support
Document with respect to the obligations of such party) and the quoting
Reference Market-maker to enter into a transaction (the "Replacement
Transaction") that would have the effect of preserving for such party the
economic equivalent of any payment or delivery (whether the underlying
obligation was absolute or contingent and assuming the satisfaction of each
applicable condition precedent) by the parties under Section 2(a)(i) in
respect of such Terminated Transaction or group of Terminated Transactions
that would, but for the occurrence of the relevant Early Termination Date,
have been required after that date. For this purpose, Unpaid Amounts in
respect of the Terminated Transaction or group of Terminated Transactions are
to be excluded but, without limitation, any payment or delivery that would,
but for the relevant Early Termination Date, have been required (assuming
satisfaction of each applicable condition precedent) after that Early
Termination Date is to be included. The Replacement Transaction would be
subject to such documentation as such party and the Reference Market-maker
may, in good faith, agree. The party making the determination (or its agent)
will request each Reference Market-maker to provide its quotation to the
extent reasonably practicable as of the same day and time (without regard to
different time zones) on or as soon as reasonably practicable after the
relevant Early Termination Date. The day and time as of which those quotations
are to be obtained will be selected in good faith by the party obliged to make
a determination under Section 6(e), and, if each party is so obliged, after
consultation with the other. If more than three quotations are provided, the
Market Quotation will be the arithmetic mean of the quotations, without regard
to the quotations having the highest and lowest values. If exactly three such
quotations are provided, the Market Quotation will be the quotation remaining
after disregarding the highest and lowest quotations. For this purpose, if
more than one quotation has the same highest value or lowest value, then one
of such quotations shall be disregarded. If fewer than three quotations are
provided, it will be deemed that the Market Quotation in respect of such
Terminated Transaction or group of Terminated Transactions cannot be
determined.

"Non-default Rate" means a rate per annum equal to the cost (without proof or
evidence of any actual cost) to the Non-defaulting Party (as certified by it)
if it were to fund the relevant amount.

"Non-defaulting Party" has the meaning specified in Section 6(a).

"Office" means a branch or office of a party, which may be such party's head
or home office.

"Potential Event of Default" means any event which, with the giving of notice
or the lapse of time or both, would constitute an Event of Default.

"Reference Market-makers" means four leading dealers in the relevant market
selected by the party determining a Market Quotation in good faith (a) from
among dealers of the highest credit standing which satisfy all the criteria
that such party applies generally at the time in deciding whether to offer or
to make an extension of credit and (b) to the extent practicable, from among
such dealers having an office in the same city.

                                     -16-
<PAGE>

"Relevant Jurisdiction" means, with respect to a party, the jurisdictions (a)
in which the party is incorporated, organised, managed and controlled or
considered to have its seat, (b) where an Office through which the party is
acting for purposes of this Agreement is located, (c) in which the party
executes this Agreement and (d) in relation to any payment, from or through
which such payment is made.

"Scheduled Payment Date" means a date on which a payment or delivery is to be
made under Section 2(a)(i) with respect to a Transaction.

"Set-off" means set-off, offset, combination of accounts, right of retention
or withholding or similar right or requirement to which the payer of an amount
under Section 6 is entitled or subject (whether arising under this Agreement,
another contract, applicable law or otherwise) that is exercised by, or
imposed on, such payer.

"Settlement Amount" means, with respect to a party and any Early Termination
Date, the sum of :--

(a)  the Termination Currency Equivalent of the Market Quotations (whether
positive or negative) for each Terminated Transaction or group of Terminated
Transactions for which a Market Quotation is determined; and

(b)  such party's Loss (whether positive or negative and without reference to
any Unpaid Amounts) for each Terminated Transaction or group of Terminated
Transactions for which a Market Quotation cannot be determined or would not
(in the reasonable belief of the party making the determination) produce a
commercially reasonable result.

"Specified Entity" has the meanings specified in the Schedule. "Specified
Indebtedness" means, subject to the Schedule, any obligation (whether present
or future, contingent or otherwise, as principal or surety or otherwise) in
respect of borrowed money.

"Specified Transaction" means, subject to the Schedule, (a) any transaction
(including an agreement with respect thereto) now existing or hereafter
entered into between one party to this Agreement (or any Credit Support
Provider of such party or any applicable Specified Entity of such party) and
the other party to this Agreement (or any Credit Support Provider of such
other party or any applicable Specified Entity of such other party) which is a
rate swap transaction, basis swap, forward rate transaction, commodity swap,
commodity option, equity or equity index swap, equity or equity index option,
bond option, interest rate option, foreign exchange transaction, cap
transaction, floor transaction, collar transaction, currency swap transaction,
cross-currency rate swap transaction, currency option or any other similar
transaction (including any option with respect to any of these transactions),
(b) any combination of these transactions and (c) any other transaction
identified as a Specified Transaction in this Agreement or the relevant
confirmation.

"Stamp Tax" means any stamp, registration, documentation or similar tax.

"Tax" means any present or future tax, levy, impost, duty, charge, assessment
or fee of any nature (including interest, penalties and additions thereto)
that is imposed by any government or other taxing authority in respect of any
payment under this Agreement other than a stamp, registration, documentation
or similar tax.

"Tax Event" has the meaning specified in Section 5(b).

"Tax Event Upon Merger" has the meaning specified in Section 5(b).

"Terminated Transactions" means with respect to any Early Termination Date (a)
if resulting from a Termination Event, all Affected Transactions and (b) if
resulting from an Event of Default, all Transactions (in either case) in
effect immediately before the effectiveness of the notice designating that
Early Termination Date (or, if "Automatic Early Termination" applies,
immediately before that Early Termination Date).

"Termination Currency" has the meaning specified in the Schedule.

                                     -17-
<PAGE>

"Termination Currency Equivalent" means, in respect of any amount denominated
in the Termination Currency, such Termination Currency amount and, in respect
of any amount denominated in a currency other than the Termination Currency
(the "Other Currency"), the amount in the Termination Currency determined by
the party making the relevant determination as being required to purchase such
amount of such Other Currency as at the relevant Early Termination Date, or,
if the relevant Market Quotation or Loss (as the case may be), is determined
as of a later date, that later date, with the Termination Currency at the rate
equal to the spot exchange rate of the foreign exchange agent (selected as
provided below) for the purchase of such Other Currency with the Termination
Currency at or about 11:00 a.m. (in the city in which such foreign exchange
agent is located) on such date as would be customary for the determination of
such a rate for the purchase of such Other Currency for value on the relevant
Early Termination Date or that later date. The foreign exchange agent will, if
only one party is obliged to make a determination under Section 6(e), be
selected in good faith by that party and otherwise will be agreed by the
parties.

"Termination Event" means an Illegality, a Tax Event or a Tax Event Upon
Merger or, if specified to be applicable, a Credit Event Upon Merger or an
Additional Termination Event.

"Termination Rate" means a rate per annum equal to the arithmetic mean of the
cost (without proof or evidence of any actual cost) to each party (as
certified by such party) if it were to fund or of funding such amounts.

"Unpaid Amounts" owing to any party means, with respect to an Early
Termination Date, the aggregate of (a) in respect of all Terminated
Transactions, the amounts that became payable (or that would have become
payable but for Section 2(a)(iii)) to such party under Section 2(a)(i) on or
prior to such Early Termination Date and which remain unpaid as at such Early
Termination Date and (b) in respect of each Terminated Transaction, for each
obligation under Section 2(a)(i) which was (or would have been but for Section
2(a)(iii)) required to be settled by delivery to such party on or prior to
such Early Termination Date and which has not been so settled as at such Early
Termination Date, an amount equal to the fair market value of that which was
(or would have been) required to be delivered as of the originally scheduled
date for delivery, in each case together with (to the extent permitted under
applicable law) interest, in the currency of such amounts, from (and
including) the date such amounts or obligations were or would have been
required to have been paid or performed to (but excluding) such Early
Termination Date, at the Applicable Rate. Such amounts of interest will be
calculated on the basis of daily compounding and the actual number of days
elapsed. The fair market value of any obligation referred to in clause (b)
above shall be reasonably determined by the party obliged to make the
determination under Section 6(e) or, if each party is so obliged, it shall be
the average of the Termination Currency Equivalents of the fair market values
reasonably determined by both parties.

IN WITNESS WHEREOF the parties have executed this document on the respective
dates specified below with effect from the date specified on the first page of
this document.

                                             REPACKAGED GE GLOBAL INSURANCE
LEHMAN BROTHERS DERIVATIVE                   FLOATING RATE TRUST CERTIFICATES,
PRODUCTS INC.                                SERIES 2002-1 TRUST
               (Name of Party)                              (Name of Party)

By:....................................      By:..............................
   Name:                                        Name:
   Title:                                       Title:
   Date:                                        Date:

                                     -18-
<PAGE>

                                   SCHEDULE
                            to the Master Agreement
                         dated as of November 15, 2002

                                    between

             LEHMAN BROTHERS DERIVATIVE PRODUCTS INC. ("Party A"),
                         a corporation organized under
                                  the laws of
                             the State of Delaware
                                      and

                 REPACKAGED GE GLOBAL INSURANCE FLOATING RATE
              TRUST CERTIFICATES, SERIES 2002-1 TRUST("Party B")
            a trust created under the laws of the State of New York
              pursuant to the Trust Agreement (as defined herein)

Part 1.  Termination Provisions.

In this Agreement:-

(a)  "Specified Entity" means in relation to Party A for the purpose of:-

     Section 5(a)(v)                          Not Applicable.
     Section 5(a)(vi)                         Not Applicable.
     Section 5(a)(vii)                        Not Applicable.
     Section 5(b)(iv)                         Not Applicable.

     and in relation to Party B for the purpose of:-

     Section 5(a)(v)                          Not Applicable.
     Section 5(a)(vi)                         Not Applicable.
     Section 5(a)(vii)                        Not Applicable.
     Section 5(b)(iv)                         Not Applicable.

(b)  "Specified Transaction" will have the meaning specified in Section 14 of
this Agreement.

(c)  Failure to Pay or Deliver. Section 5(a) is hereby amended by replacing the
word "third" with the word "tenth" in the last line of subsection (i) thereof.

(d)  Section 5(a) is hereby amended by: (1) deleting the word "or" at the end
of Subsection (vii) thereof; (2) deleting the period at the end of Subsection
(viii) thereof and replacing it with "; or" and (3) adding the following
Subsection (ix) at the end of such Section 5(a):

     (ix) Underlying Securities Termination Default. An Underlying Securities
     Termination Default shall have occurred and be continuing.

                                      1
<PAGE>

     For the purpose of the foregoing Event of Default, the Defaulting Party
     shall be Party B.

(e)  The provisions of Section 5(a) (as modified by (c) and (d) above) and
Section 5(b) will apply to Party A and to Party B as follows:-

<TABLE>
<CAPTION>
     Section 5(a)                                                Party A                 Party B
     ------------                                                -------                 -------
<S>                                                              <C>                     <C>
     (i)     "Failure to Pay or Deliver"                         Applicable.             Applicable.
     (ii)    "Breach of Agreement"                               Not Applicable.         Not Applicable.
     (iii)   "Credit Support Default"                            Not Applicable.         Not Applicable.
     (iv)    "Misrepresentation"                                 Not Applicable.         Not Applicable.
     (v)     "Default under Specified Transaction"               Not Applicable.         Not Applicable.
     (vi)    "Cross Default"                                     Not Applicable.         Not Applicable.
     (vii)   "Bankruptcy"                                        Applicable.             Not Applicable.
     (viii)  "Merger Without Assumption"                         Not Applicable.         Not Applicable.
     (ix)    "Underlying Securities Termination
                      Default"                                   Not Applicable.         Applicable.

     Section 5(b)                                                Party A                 Party B
     ------------                                                -------                 -------

     (i)     "Illegality"                                        Applicable.             Applicable.
     (ii)    "Tax Event"                                         Not Applicable.         Not Applicable.
     (iii)   "Tax Event Upon Merger"                             Not Applicable.         Not Applicable.
     (iv)    "Credit Event Upon Merger"                          Not Applicable.         Not Applicable.
     (v)     "Additional Termination Event"                      Applicable.             Applicable.

</TABLE>

(f)  The following shall each be specified as "Additional Termination Events"
pursuant to Section 5(b)(v):

           Partial Unwind. The exercise of a partial unwind of the Underlying
           Securities by a Certificateholder in accordance with Section 7 of
           the Series Supplement, in which case, (1) a portion of the Notional
           Amount of the Transactions equal to the related Partial Unwind
           Amount shall be terminated and (2) the Early Termination Date with
           respect to such portion of the Notional Amount of the Transactions
           shall be the related Partial Unwind Date. For the purposes the
           foregoing Additional Termination Event, Party A shall be the
           Affected Party.

           Trigger Event. The occurrence of a Trigger Event, in which case the
           entire Notional Amount of the Transaction shall be terminated. Each
           of the following events shall constitute a Trigger Event:

           (1) Downgrade. Party A ceases to maintain a Single A Quality
           financial program, counterparty or similar rating from both of the
           Relevant Rating Agencies;

           (2) Failure To Deliver Collateral. The occurrence of an Event of
           Default under the ISDA Master Agreement dated July 16, 1998 between
           Party A and

                                     -2-
<PAGE>

           LBSF (the "Offsetting Transaction Master Agreement") as a result of
           LBSF's failure to deliver, or procure delivery of, collateral to
           Party A in the amounts and within the time required (subject to any
           applicable cure period) thereunder and under the terms of any
           applicable Credit Support Document, as such may be amended from
           time to time without the consent of, or notice to, Party B,
           provided such amendments are consistent with the requirements of
           Party A's financial program as represented to the Relevant Rating
           Agencies;

           (3) Bankruptcy. LBHI or LBSF: (A) is dissolved (other than pursuant
           to a consolidation, amalgamation or merger); (B) becomes insolvent
           or is unable to pay its debts or fails or admits in writing its
           inability generally to pay its debts as they become due; (C) makes
           a general assignment, arrangement or composition with or for the
           benefit of its creditors; (D) institutes or has instituted against
           it a proceeding seeking a judgment of insolvency or bankruptcy or
           any other relief under any bankruptcy or insolvency law or other
           similar law affecting creditors' rights, or a petition is presented
           for its winding-up or liquidation, and, in the case of any such
           proceeding or petition instituted or presented against it, such
           proceeding or petition (x) results in a judgment of insolvency or
           bankruptcy or the entry of an order for relief or the making of an
           order for its winding-up or liquidation or (y) is not dismissed,
           discharged, stayed or restrained in each case within 30 days of the
           institution or presentation thereof; (E) has a resolution passed
           for its winding-up, official management or liquidation (other than
           pursuant to a consolidation, amalgamation or merger); (F) seeks or
           becomes subject to the appointment of an administrator, provisional
           liquidator, conservator, receiver, trustee, custodian or other
           similar official for it or for all or substantially all its assets;
           (G) has a secured party take possession of all or substantially all
           its assets or has a distress, execution, attachment, sequestration
           or other legal process levied, enforced or sued on or against all
           or substantially all its assets and such secured party maintains
           possession, or any such process is not dismissed, discharged,
           stayed or restrained, in each case within 30 days thereafter; (H)
           causes or is subject to any event with respect to it which, under
           the applicable laws of any jurisdiction, has an analogous effect to
           any of the events specified in clauses (A) through (G) inclusive;
           or (I) takes any action in furtherance of, or indicating its
           consent to, approval of, or acquiescence in, any of the foregoing
           acts; and

           (4) Capital Requirement. Party A shall fail to maintain capital in
           the amount consistent with its financial program as represented to
           the Relevant Rating Agencies.

           For the purposes of the foregoing Additional Termination Event,
           Party A shall be the Affected Party.

           Underlying Acceleration Termination. The occurrence of an
           Underlying Acceleration Termination, in which case, (1) the entire
           Notional Amount of the Transaction shall be terminated and (2) the
           Early Termination Date shall be the

                                     -3-
<PAGE>

           date of receipt by Party B of the related accelerated payments. For
           the purposes of the foregoing Additional Termination Event, Party B
           shall be the Affected Party.

(g)  Event of Default or Other Termination Event After Trigger Event. If a
Trigger Event shall have occurred and an event or circumstance which would
otherwise constitute or give rise to (1) an Event of Default with Party A as
the Defaulting Party (other than an Event of Default pursuant to Sections
5(a)(vii) or 5(a)(ix)), (2) a Termination Event other than a Trigger Event
shall occur, or (3) a Credit Assignment Event (as defined in part 5(a)(1)
hereof), such Trigger Event will prevail and such other event or circumstance
will not constitute an Event of Default, a Termination Event or a Credit
Assignment Event, as the case may be.

(h)  Effect of Trigger Event. Notwithstanding anything to the contrary
contained in this Agreement, if a Trigger Event occurs the following
provisions shall apply:

           (1) Notice. Party A shall, within one Business Day of becoming
           aware of such occurrence, notify Party B by facsimile transmission
           or electronic messaging system (the date such notice is
           transmitted, the "Notice Date"), specifying the nature of the
           Trigger Event and designating the Early Termination Date in respect
           of all Transactions. The Early Termination Date so designated shall
           be no later than the fifth Universal Business Day following such
           Notice Date. The Early Termination Date so designated shall be
           subject to change as specified in paragraph (h)(4)(a) below and, in
           the case of affected Transactions only, as specified in paragraph
           (h)(4)(b) below.

           (2) Market Quotation. For the purposes of determining the
           Settlement Amount pursuant to Section 6(e)(iv), the "Market
           Quotation" of a Terminated Transaction (which may be positive or
           negative) shall be the amount determined by Party A, using Market
           Rates and Volatilities and by polling the Dealer Group as required,
           to be the mid-market value of the Transaction as of the close of
           business (New York time) on the Early Termination Date. Party A
           shall perform such determinations in good faith in accordance with
           its usual operating procedures and pursuant to industry standards.
           For purposes of this definition, if the Market Quotation of a
           Terminated Transaction represents an amount payable to Party A, it
           shall be expressed as a negative number, and if the Market
           Quotation represents an amount payable to Party B, it shall be
           expressed as a positive number. For purposes of determining the
           Settlement Amount, Unpaid Amounts (which shall be determined by
           Party A) in respect of the Terminated Transactions are to be
           excluded but, without limitation, any payment or delivery that
           would, but for the Early Termination Date, have been required
           (assuming satisfaction of each applicable condition precedent)
           after the Early Termination Date is to be included. Party A shall
           notify Party B of the Market Quotation of each Terminated
           Transaction, the Settlement Amount and the Termination Currency
           Equivalent of any Unpaid Amounts within two Business Days following
           the Early Termination Date.

           (3) Payment Date. The amount calculated as being due as a result of
           a Termination Event that arises as a result of a Trigger Event
           pursuant to Section 6(e)(iv) will be payable, in the case of an
           amount due and owing to

                                     -4-
<PAGE>

           Party A, within ten Universal Business Days following the Early
           Termination Date, and in the case of an amount due and owing to
           Party B, within ten Universal Business Days following the Early
           Termination Date. Party A and Party B agree that the party that is
           required to pay such amount shall be required to pay interest on
           such amount for the period from (and including) the Early
           Termination Date to (but excluding) the date payment is required to
           be made, at the Agreed Interest Rate. If either party fails to pay
           such amount on the due date, such failure shall constitute a breach
           of this Agreement, but shall not constitute an Event of Default
           (including an Event of Default pursuant to Section 5(a)(i) or
           5(a)(ii)) for purposes of this Agreement. In the event of any such
           failure by either party, such party shall be required to pay
           interest on such overdue amount for the period from (and including)
           such due date to (but excluding) the date of actual payment, at the
           default rate, which is the Agreed Interest Rate plus 3% per annum.
           Interest payable under this paragraph will be calculated on the
           basis of daily compounding and the actual number of days elapsed
           divided by 360.

           (4) Effect of Market Disruption Event. (a) In the event that a
           Market Disruption Event exists on any Early Termination Date, such
           date shall not be an Early Termination Date for any outstanding
           Transaction. In such event Party A shall notify Party B and the
           earlier to occur of (i) the next succeeding Universal Business Day
           on which a Market Disruption Event does not exist and (ii) the
           eighth Universal Business Day following the day on which notice of
           the occurrence of a Trigger Event was given shall be considered the
           Early Termination Date for all outstanding Transactions and a
           Settlement Amount shall be obtained for that Early Termination Date
           in accordance with the terms set forth in this paragraph (h). As
           used herein, "Market Disruption Event" means any of the following
           events, the existence of which shall be determined by Party A: (i)
           any suspension or material limitation of trading (excluding daily
           settlement limits in the normal course of trading) on the New York
           Stock Exchange, London Stock Exchange or other recognized stock
           exchange the effect of which on financial markets makes it
           impracticable or inadvisable, in the view of Party A, to proceed
           with the determination of the Settlement Amount, (ii) the
           declaration of a banking moratorium by the Bank of England, United
           States federal authorities, New York State or other recognized
           international, national or regional banking authority authorities
           the effect of which on financial markets makes it impracticable or
           inadvisable, in the view of Party A, to proceed with the
           determination of the Settlement Amount, (iii) the occurrence of any
           outbreak or escalation of hostilities or a declaration by the
           United States of a national emergency or war the effect of which on
           financial markets makes it impracticable or inadvisable, in the
           view of Party A, to proceed with the determination of the
           Settlement Amount, or (iv) the occurrence of any other calamity or
           crisis or any other event the effect of which, in the view of Party
           A and a majority of eleven randomly selected unaffiliated Qualified
           Counterparties of Party A (who are not Affiliates of Party A) whose
           Settlement Amounts otherwise would have been determined on such
           Early Termination Date, makes it impracticable or inadvisable to
           proceed with the determination of such Settlement Amounts on such
           Early Termination Date.

                                     -5-
<PAGE>

           (b) If on an Early Termination Date as to which there is no Market
           Disruption Event, there are conditions in a local market that, in
           the judgment of Party A, materially would impede its ability to
           determine the Market Quotation for certain Transactions in that
           market (a "Local Market Disruption Event"), Party A shall notify
           Party B of those conditions no later than one hour prior to the
           scheduled time for determining the Market Quotation for such
           affected Transactions on that date. Upon receipt of such notice,
           Party B shall have the right to delay the Early Termination Date
           for the affected Transactions (without affecting the Early
           Termination Date for any other Transactions under this Agreement)
           by notifying Party A within one hour of its election to exercise
           that right (to be subsequently confirmed in writing). In such
           event, the Early Termination Date for each such affected
           Transaction shall be the next day on which Party A and Party B
           agree that the Local Market Disruption Event ceases to exist, but
           in any case not later than the due date for Settlement Amount
           payments owed to Party A with respect to unaffected Transactions as
           provided in paragraph (h)(3). Market Quotations so obtained for any
           affected Transaction shall be included in the calculation of the
           Settlement Amount to paid as provided in paragraph (h)(3). No delay
           in the Early Termination Date for any affected Transaction as
           provided above shall affect the days on which payments would
           otherwise be required to be made pursuant to paragraph (h)(3) had
           no such delay occurred, it being understood, however, that interest
           shall begin to accrue pursuant to such paragraph with respect to
           any such affected Transaction only from (and including) the delayed
           Early Termination Date.

           (5) Payments on Early Termination. This Agreement shall be amended
           by adding the following new subsection (v) to Section 6(e):

                "(v) Trigger Event. If an Early Termination Date results from
                a Trigger Event, Party A shall determine the Settlement Amount
                of all Terminated Transactions on such date, and the amount
                payable will be equal to (A) the Settlement Amount in respect
                of the Terminated Transactions plus (B) the Termination
                Currency Equivalent of Unpaid Amounts owing to Party B minus
                (C) the Termination Currency Equivalent of Unpaid Amounts
                owing to Party A. If that amount is a positive number, Party A
                will pay it to Party B; if it is a negative number, no amount
                will be paid by Party B to Party A. For purposes of
                determining the Settlement Amount under this subsection,
                clause (b) of the definition of Settlement Amount shall not
                apply."

(i)  Automatic Early Termination. The "Automatic Early Termination" provisions
of Section 6(a) will not apply to Party A or Party B.

(j)  Effect of Underlying Acceleration Termination. No Early Termination
Payment shall be payable by either party upon the occurrence of an Underlying
Acceleration Termination unless another Early Termination Event shall have
occurred on or prior to the Early Termination Date for such Underlying
Acceleration Termination, in which case, the Early Termination Payment, if
any, for such other Early Termination Event, shall be payable.

                                     -6-
<PAGE>

(k)  Additional Definitions.

     As used in this Schedule, the following terms shall have the following
     meanings:

     "Agreed Interest Rate" for any day means the overnight ask rate in effect
     for such day, as set forth opposite the caption "ON" under the heading
     "Euro-Dollar" on Telerate Page 4756 (or any successor page thereto), as
     of 11:00 a.m., New York time, on such day.

     "Business Day" means any day (which is neither a Saturday nor a Sunday)
     nor a day on which banks in New York City or the place of payment in
     respect of the Underlying Securities are authorized or required to be
     closed.

     "Dealer Group" means the following entities and such other entities as
     may be selected by Party A from time to time: JPMorgan Chase Bank,
     Citibank, N.A., Barclays Bank PLC, Merrill Lynch Capital Services, Inc.,
     Deutsche Bank AG, The Royal Bank of Scotland plc, HSBC Bank USA, Sumitomo
     Mitsui Banking Corporation, Bank of Tokyo-Mitsubishi Limited, Westpac
     Bank Corp., Goldman Sachs & Co. and BNP Paribas.

     Notwithstanding the definition of Dealer Group, (i) for U.S. dollar and
     Canadian dollar information, the dealers that may be polled shall be
     JPMorgan Chase Bank, Citibank, N.A., Deutsche Bank AG, Merrill Lynch
     Capital Services, Inc., and Goldman Sachs & Co.; and (ii) for European
     currency information, the dealers that may be polled shall be those
     listed in clause (i) of this paragraph and, in addition, Barclays Bank
     PLC, Deutsche Bank AG, The Royal Bank of Scotland plc and BNP Paribas.

     "LBHI" means Lehman Brothers Holdings Inc.

     "LBSF" means Lehman Brothers Special Financing Inc.

     "Market Rates and Volatilities" means, in the case of interest rates and
     volatilities, the interest rates and volatilities obtained from the
     Telerate and Reuters screens where practicable and from polling the
     Dealer Group and, in the case of foreign exchange rates and volatilities
     and other pricing parameters, the foreign exchange rates and volatilities
     or pricing parameters obtained from polling the Dealer Group. In each
     case, for all rates, volatilities or other parameters obtained, at least
     five members of the Dealer Group shall be polled, the highest and lowest
     of such returns (including, in the case of interest rates and
     volatilities, the rates and volatilities obtained from the Telerate and
     Reuters screens, if any) shall be discarded and the simple mathematical
     average of the remaining values shall be used to perform the applicable
     determination.

     "Moody's" means Moody's Investors Service, Inc.

     "Person" means any individual, partnership, joint venture, firm,
     corporation, association, trust or other enterprise or any government or
     political subdivision or any agency, department or instrumentality
     thereof.

                                     -7-
<PAGE>

     "Relevant Rating Agencies" means, S&P and Moody's, or such of them as
     then assigns a financial program, counterparty or similar rating to Party
     A at Party A's request, or any other nationally recognized rating agency
     then rating Party A at Party A's request (each, individually, a Relevant
     Rating Agency).

     "S&P" means Standard & Poor's Ratings Services, a division of The
     McGraw-Hill Companies, Inc.

     "Single A Quality" means, in the case of S&P, A, in the case of Moody's,
     A, in the case of Fitch, Inc., A, and, in the case of any other Relevant
     Rating Agency, a designation of similar quality.

     "Universal Business Day" means a day on which commercial banks are open
     for business (including dealings in foreign exchange and foreign currency
     deposits) in Frankfurt, London, New York, Tokyo and the city in which
     Party B's head or home office is located.

(l)  "Termination Currency" means United States Dollars ("USD").

Part 2.  Tax Representations.

(A)  Payer Tax Representation. For the purpose of Section 3(e) of this
     Agreement, Party A and Party B each make the following representations:

     It is not required by any applicable law, as modified by the practice of
     any relevant governmental revenue authority, of any Relevant Jurisdiction
     to make any deduction or withholding for or on account of any Tax from
     any payment (other than interest under Section 2(e), 6(d)(ii), or 6(e) of
     this Agreement) to be made by it to the other party under this Agreement.
     In making this representation, it may rely on (i) the accuracy of any
     representations made by the other party pursuant to Section 3(f) of this
     Agreement, (ii) the satisfaction of the agreement contained in Section
     4(a)(i) or 4(a)(iii) of this Agreement, and the accuracy and
     effectiveness of any document provided by the other party pursuant to
     Section 4(a)(i) or 4(a)(iii) of this Agreement, and (iii) the
     satisfaction of the agreement of the other party contained in Section
     4(d) of this Agreement, provided that it shall not be a breach of this
     representation where reliance is placed on clause (ii) and the other
     party does not deliver a form or document under Section 4(a)(iii) by
     reason of material prejudice to its legal or commercial position.

(B)  Payee Tax Representations. For the purpose of Section 3(f) of this
     Agreement, Party A makes the following representations:-

     (i) The following representation applies to Party A:-

         Party A is a corporation organized under the laws of the State of
         Delaware.

     (ii) The following representation applies to Party B:-

                                     -8-
<PAGE>

          Party B is a trust that has not elected to be treated as a
          corporation for U.S. federal income tax purposes.

Part 3.  Agreement to Deliver Documents.

For the purpose of Section 4(a)(i) and Section 4(a)(ii) of this Agreement,
Party A and Party B each agree to deliver the following documents, as
applicable:-

(a)  Tax forms, documents or certificates to be delivered are:

<TABLE>
<CAPTION>

       Party                               Form, Document                          Date by which              Covered by
       required to                         or Certificate                         to be Delivered             Section 3(d)
       deliver document                    --------------                         ---------------             ------------
       ----------------
<S>                         <C>                                             <C>                               <C>
       Party A              A  complete  and  executed   U.S.   Internal    (i)  Before  the first  Payment       No
                            Revenue  Service Form W-9 (or any  successor    Date  under   this   Agreement,
                            thereto),   that  eliminates  U.S.   federal    (ii) promptly  upon  reasonable
                            backup  withholding  tax on  payments  under    demand  by Party  B, and  (iii)
                            this Agreement.                                 promptly   upon  learning  that
                                                                            any   such   Form    previously
                                                                            provided  by Party A has become
                                                                            obsolete or incorrect.

       Party B              A  complete  and  executed   U.S.   Internal    (i)  Before  the first  Payment       No
                            Revenue  Service Form W-9 (or any  successor    Date  under   this   Agreement,
                            thereto) and a complete  and  executed  U.S.    (ii) promptly  upon  reasonable
                            Internal   Revenue   Service   Form  W-8BEN,    demand  by Party  A, and  (iii)
                            W-8IMY,  W-8ECI  or W-9  (or  any  successor    promptly   upon  learning  that
                            thereto) from each  Certificateholder  (and,    any   such   Form    previously
                            where   applicable,   such  forms  from  the    provided  by Party B has become
                            beneficial owners of such  Certificates) and    obsolete or incorrect.
                            in any case in which  the  Certificateholder
                            is  eligible  for the  benefits of an income
                            tax treaty  with the United  States,  a Form
                            W-8BEN  including a claim of treaty benefits
                            under Part II,  claiming  such benefits with

                                     -9-
<PAGE>

                            respect  to  all  payments   received   with
                            respect to the  Certificates,  and with Part
                            III  marked,  in each case  that  eliminates
                            U.S.  federal  withholding  tax  and  backup
                            withholding    on   payments    under   this
                            Agreement.

(b)      Other documents to be delivered are:

       Party                               Form, Document                          Date by which              Covered by
       required to                         or Certificate                         to be Delivered             Section 3(d)
       deliver document                    --------------                         ---------------             ------------
       ----------------
       Party A                    An  opinion of counsel to Party A         Promptly  after  execution  of       No
                                  substantially   in  the  form  of         this Agreement.
                                  Exhibit B to this Schedule.

       Party A                    An  incumbency  certificate  with         Upon execution of this               Yes
                                  respect to the  signatory of this         Agreement.
                                  Agreement.

       Party B                    An  opinion of counsel to Party B         Promptly  after  execution  of       No
                                  substantially   in  the  form             of  this Agreement.
                                  Exhibit C to this Schedule.

       Party B (with respect to   An  incumbency  certificate  with         Upon  execution  of this             Yes
       the Trustee)               respect to the  signatory of this         Agreement.
                                  Agreement.

       Party B (with respect to   A    certified    copy   of   the         Upon    execution    of   this       Yes
       the Trustee)               resolution  or   resolutions   or         Agreement  (unless  an
                                  applicable       Bylaws      (the         Authorizing   Resolution   has
                                  "Authorizing  Resolution") of the         previously  been  furnished by
                                  Board   of   Directors   or  loan         the  Trustee  to Party A) and,
                                  committee    of   the    Trustee,         with   respect  to  each  Swap
                                  certified by a  secretary,  or an         Transaction
                                  assistant

                                     -10-
<PAGE>

       Party                               Form, Document                          Date by which              Covered by
       required to                         or Certificate                         to be Delivered             Section 3(d)
       deliver document                    --------------                         ---------------             ------------
       ----------------

                                  secretary of the                          not  covered by a previously
                                  Trustee,  pursuant  to which  the         furnished Authorizing Resolution,
                                  Trustee is authorized,  on behalf         within five  Business  Days of
                                  of the Trust,  to enter into this         the Trade Date.
                                  Agreement     and    each    Swap
                                  Transaction  entered  into  under
                                  this Agreement.

       Party B                    A  certified  copy  of the  Trust         Upon    execution   of   this       Yes
                                  Agreement   and  each   amendment         Agreement  and on the date of
                                  thereof.                                  each amendment thereof.

</TABLE>

Part 4.  Miscellaneous.

(a)  Addresses for Notices.  For purpose of Section 10(a):

     Address for notices or communications to Party A:-

     Address:     Lehman Brothers Derivative Products Inc.
                  c/o Lehman Brothers Inc.
                  745 Seventh Avenue, 28th Floor
                  New York, New York  10019

     Attention:   Documentation Manager

     Telephone No.:        (212) 526-7187

     Facsimile No.:        (212) 526-7672

     Address for notices or communications to Party B:-

     Address:     U.S. Bank Trust National Association
                  100 Wall Street
                  New York, New York 10005

     Attention:   Corporate Trust

     Facsimile No.:    (212) 809-5459

(b)  Process Agent.  For the purpose of Section 13(c):--

     Party A appoints as its Process Agent:  Not Applicable.

                                     -11-
<PAGE>

     Party B appoints as its Process Agent: Not Applicable.

(c)  Offices.  The provisions of Section 10(a) will apply to this Agreement.

(d)  Multibranch Party.  For the purpose of Section 10(c) of this Agreement:--

     Party A is not a Multibranch Party.

     Party B is not a Multibranch Party.

(e)  Calculation  Agent. The Calculation  Agent is Party A. The failure of
Party A to perform its obligations as Calculation Agent shall not be construed
as an Event of Default or Termination Event.

(f)  Credit Support Document.  Details of any Credit Support Document:-

     In the case of Party A, not applicable.

     In the case of Party B, not applicable.

(g)  Credit Support Provider.

     Credit Support Provider means in relation to Party A:  Not Applicable.

     Credit Support Provider means in relation to Party B:  Not Applicable.

(h)  Limitation on Trustee Liability. In the absence of negligence, willful
misconduct or bad faith on the part of the Trustee, the Trustee shall have no
personal liability for the payment of any indebtedness or expenses of Party B
or be personally liable for the breach or any failure of any obligation,
representation, warranty or covenant made or undertaken by Party B under this
Transaction or the Trust Agreement within the scope of the Trustee's discharge
of its duties under this Transaction or the Trust Agreement or for any amounts
due under this Transaction from Party B, such amounts to be paid solely from
the assets of Party B in accordance with the Trust Agreement.

(i)  Governing Law. This Agreement will be governed by and construed in
accordance with the laws of the State of New York (without regard to choice of
law doctrine).

(j)  Jurisdiction. Section 13(b) is hereby amended by: (i) deleting in the
second line of subparagraph (i) thereof the word "non-"; and (ii) deleting the
final paragraph thereof.

(k)  Netting of Payments. Section 2(c)(ii) will not apply to all Transactions.

(l)  "Affiliate" will have the meaning specified in Section 14 of this
Agreement.

Part 5.  Other Provisions.

(a)  Credit Assignment Event.

                                     -12-
<PAGE>

     (i) A "Credit Assignment Event" shall occur if at any time during the
     term of this Agreement, the Certificates cease to meet the Minimum Rating
     Requirement (as defined below) from both Moody's and S&P. Following the
     occurrence of a Credit Assignment Event, the rights and obligations of
     Party A under this Agreement and all Transactions hereunder shall
     automatically, and without any further action by any party, be deemed to
     have been assigned and delegated to LBSF, effective on the third Business
     Day following notification by Party A to Party B of such assignment and
     Party B expressly and irrevocably consents to such assignment and
     assumption, except that no such assignment and assumption shall occur at
     any time after the occurrence of any event of default under any master
     agreement between Party A and LBSF. As of and from the effective date of
     such assignment, LBSF shall succeed to all rights and obligations of
     Party A under this Agreement and all Transactions hereunder.

     "Minimum Rating Requirement" means (A) with respect to Moody's, a
     long-term credit rating of at least Baa3; and (B) with respect to S&P,
     long-term credit rating of at least BBB-.

     (ii) Party A represents that it has provided separate consideration to
     LBSF for the right to assign this Agreement and the Transactions
     hereunder to LBSF pursuant to clause (i), and Party B shall not owe Party
     A any termination or other payment upon any such assignment.

     (iii) Notwithstanding clauses (i) and (ii) above, no transfer or
     assignment payment shall be due to or owing from either Party A or Party
     B other than its obligations under the Transactions.

     (iv) Notwithstanding the foregoing, the assignment provisions of this
     paragraph shall not take effect if, at the time such assignment would be
     required, Party B shall have satisfied in full all of its payment
     obligations under Section 2(a) of this Agreement and shall at such time
     have no future payment obligations, whether absolute or contingent, under
     such Section.

     (v) The assignment provisions of this paragraph shall not take effect if,
     at the time such assignment would be required, LBSF or its guarantor
     shall have a long-term credit rating lower than that assigned to the
     Certificates. In such case, Party A shall be permitted to assign its
     rights and obligations under this agreement, without the consent of any
     party, to an entity that has (or whose guarantor has) a long-term credit
     rating not lower than that assigned to the Certificates.

     (vi) Upon an assignment pursuant to this Part 5(a), a Trigger Event shall
     cease to constitute an Additional Termination Event.

(b)  Confirmation. Each Confirmation supplements, forms part of, and will be
read and construed as one with the Agreement. A form of Confirmation is set
forth as Exhibit A hereto.

(c)  Early Termination. Notwithstanding any other provision of this Agreement,
in the event of the occurrence of an Event of Default with respect to Party A,
Party B shall not be entitled to designate an Early Termination Date unless
directed to do so by a majority of the holders of the Certificates. In
addition, the Early Termination Date so designated shall be at least

                                     -13-
<PAGE>

five Business Days following the date on which Party B receives such direction
from a majority of the holders of the Certificates.

(d)  No Bankruptcy Petition. Prior to the date that is one year and one day
after the date upon which the trust created under the Trust Agreement is
terminated in accordance with the terms thereof, Party A shall not institute
against, or join any other person in instituting against, the trust created
thereby, any bankruptcy, reorganization, arrangement, insolvency or
liquidation proceedings, or other proceedings under any federal or state
bankruptcy or similar law.

(e)  Transfer. Section 7 is hereby amended by: (i) adding the words "(which
consent may not be unreasonably withheld)" after the word "consent" in the
second line thereof, (ii) adding the words "(and notice of the transferee to)"
after the word "of" in the third line thereof, (iii) adding the words "and the
consent of holders of 100% of the then outstanding Certificates, and each
Rating Agency shall have given its prior written confirmation that such
transfer will not result in a reduction or withdrawal of the then current
rating of the Certificates" after the word "party" in the third line thereof,
(iv) adding the words "(subject to providing written notice of the transferee
to the other party)" after the word "transfer" in the fourth and seventh line
thereof, (v) deleting the word "and" at the end of the sixth line thereof,
(vi) adding the word "and" after the words "Section 6(e)" in the eighth line
thereof and (vii) adding the following section (c) at the start of the ninth
line thereof "(c) unless Party A otherwise consents in its sole discretion, no
transfer may be made by Party B of all or part of its interest in this
Agreement unless the transferee has a Single A Quality financial program,
counterparty or similar rating from a Relevant Rating Agency." Party B shall
not consent to any transfer or assignment by Party A of its rights and
obligations hereunder unless holders of 100% of the outstanding Certificates
have consented to such assignment or transfer.

(f)  Commencement of Voluntary Bankruptcy. So long as Party A is solvent, Party
A shall not (i) admit in writing its inability generally to pay its debts as
they become due; (ii) make a general assignment, arrangement or composition
with or for the benefit of its creditors; (iii) institute a proceeding seeking
a judgment of insolvency or bankruptcy or any other relief in respect of Party
A under any bankruptcy or insolvency law or other similar law affecting
creditors' rights; (iv) pass a resolution for its winding-up, official
management or liquidation (other than pursuant to a consolidation,
amalgamation or merger); or (v) seek the appointment of an administrator,
provisional liquidator, conservator, receiver, trustee, custodian or other
similar official for it or for all or substantially all its assets.

(g)  No Capital Contribution to Party A. Party A, LBHI and LBSF have each
acknowledged to and agreed with each other, and Party B hereby acknowledges,
that neither LBHI nor LBSF nor any Affiliate of Party A is under any
obligation whatsoever (whether express or implied) to contribute capital to
Party A. Party B represents and warrants to Party A that in executing and
delivering this Agreement, and performing its obligations hereunder, Party B
is relying on the credit of Party A alone, and not on the credit of any other
entity that may be affiliated with Party A.

(h)  Intention to Enter into a "Swap Agreement". Each of Party A and Party B
hereby acknowledges and agrees that this Agreement and all Additional Direct
Agreements and each Transaction hereunder or thereunder is intended to be a
"swap agreement" as that term is defined

                                     -14-
<PAGE>

in the U.S. Bankruptcy Code (as amended from time to time) and that the rights
granted to each party under Section 6 include a contractual right to terminate
a "swap agreement" and to offset and net out termination values and payments
in conjunction therewith.

(i)  Waiver of Right to Trial by Jury. Each party hereby irrevocably waives, to
the fullest extent permitted by applicable law, any right it may have to a
trial by jury in respect of any suit, action or proceeding relating to this
Agreement or any Credit Support Document. Each party (i) certifies that no
representative, agent or attorney of the other party or any Credit Support
Provider has represented, expressly or otherwise, that such other party would
not, in the event of such a suit, action or proceeding, seek to enforce the
foregoing waiver and (ii) acknowledges that it and the other party have been
induced to enter into this Agreement and provide for any Credit Support
Document, as applicable, by, among other things, the mutual waivers and
certifications in this section.

(j)  Accuracy of Specified Information. Section 3(d) is hereby amended by
adding in the third line thereof after the word "respect" and before the
period the words "or, in the case of audited or unaudited financial
statements, a fair presentation, in all material respects, of the financial
condition of the relevant person."

(k)  Additional Representations. For purposes of Section 3 of this Agreement,
the following shall be added, immediately following paragraph (f) thereof:

     (g)  No Agency. It is entering into this Agreement and each Transaction
          as principal (and not as agent or in any other capacity, fiduciary
          or otherwise); provided, that the Trustee is acting not in its
          individual capacity but solely as Trustee for Party B.

     (h)  Eligible Contract Participant. It is an "eligible contract
          participant" as that term is defined in the Commodity Exchange Act,
          as amended.

     (i)  Non-Reliance. Party A is acting for its own account, and it has made
          its own independent decisions to enter into that Transaction and as
          to whether that Transaction is appropriate or proper for it based
          upon its own judgment and upon advice from such advisers as it has
          deemed necessary. Party B is entering into the Transaction pursuant
          to the terms of the Trust Agreement. Neither party is relying on any
          communication (written or oral) of the other party as investment
          advice or as a recommendation to enter into that Transaction; it
          being understood that information and explanations related to the
          terms and conditions of a Transaction shall not be considered
          investment advice or a recommendation to enter into that
          Transaction. No communication (written or oral) received from the
          other party shall be deemed to be an assurance or guarantee as to
          the expected results of that Transaction.

          Assessment and Understanding. It is capable of assessing the merits
          of and understanding (on its own behalf or through independent
          professional advice), and understands and accepts, the terms,
          conditions and risks of that Transaction. It is also capable of
          assuming, and assumes, the risks of that Transaction.

                                     -15-
<PAGE>

          Status of Parties. The other party is not acting as a fiduciary for
          or an adviser to it in respect of that Transaction.

(l)  No Setoff to Party A Affiliates. Party B agrees that all payments required
to be made by it under this Agreement shall be made without setoff or
counterclaim for, and that it shall not withhold payment or delivery under
this Agreement in respect of, any default by any Affiliate of Party A under
any Other Agreement or any amount relating to any Other Agreement between
Party B and such Affiliate of Party A or between an Affiliate of Party B and
such Affiliate of Party A. As used herein, "Other Agreement" means any
agreement, including, but not limited to, (i) any transaction (including an
agreement with respect thereto) which is a rate swap transaction, basis swap,
forward rate transaction, commodity swap, commodity option, interest rate
option, foreign exchange transaction, cap transaction, floor transaction,
currency option or any other similar transaction (including any option with
respect to any of these transactions), (ii) any liability, claim or obligation
(whether present or future, contingent or otherwise), or (iii) any combination
of one or more of the transactions described above. This paragraph (l) shall
supersede any setoff right contained in any Other Agreement or any agreement
relating to any Other Agreement between Party B and any such Affiliate of
Party A or between an Affiliate of Party B and such Affiliate of Party A.

(m)  Pledge of Swap Payment Rights and Other Property by Party A. Party A has
pledged its rights to receive payments under this Agreement and under certain
other swap agreements entered into or to be entered into by Party A ("Other
Swap Agreements"), and has pledged or will pledge certain other property for
the benefit of Party B and the counterparties under such Other Swap
Agreements, ratably to secure Party A's obligations to make certain payments
to Party B and such counterparties under this Agreement and the Other Swap
Agreements. To the extent of any payments made by the provider(s) of any
Qualified Credit Enhancement (as defined in Party A's Operating Guidelines)
for the benefit of Party B, such provider(s) will be subrogated to the rights
of Party B under this Agreement; provided that such provider(s) shall not be
entitled to enforce such subrogation hereunder until all obligations of Party
A to Party B under this Agreement shall have been paid in full.

(n)  Partial Unwind. Section 7 of the Series Supplement and all other
provisions of the Trust Agreement relating to the partial unwind of the
Underlying Securities shall apply to the Certificates; provided, however, only
Lehman Brothers Inc. or any affiliate thereof which is a beneficial owner of a
Certificate will be permitted under the Trust Agreement to enter into a
Partial Unwind Agreement.

(o)  Notices. For the purposes of subsections (iii) and (v) of Section 12(a),
the date of receipt shall be presumed to be the date sent if sent on a Local
Business Day or, if not sent on a Local Business Day, the date of receipt
shall be presumed to be the first Local Business Day following the date sent.

(p)  Service of Process. The penultimate sentence of Section 13(c) shall be
amended by adding the following language at the end thereof: "if permitted in
the jurisdiction where the proceedings are initiated and in the jurisdiction
where service is to be made."

(q)  Additional Definitions.

                                     -16-
<PAGE>

     "Certificates" shall mean Repackaged GE Global Insurance Floating Rate
     Trust Certificates, Series 2002-1 Trust Certificates, due August 21,
     2035, issued pursuant to the Trust Agreement.

     "Liquidation Proceeds" shall have the meaning specified therefor in the
     Trust Agreement.

     "Market Agent" shall mean Lehman Brothers Inc. as market agent of the
     Trust under the Market Agent Agreement.

     "Market Agent Agreement" shall mean the Market Agent Agreement, dated
     November 15, 2002, between the Market Agent and the Trust.

     "Trigger Event Special Redemption Date" shall have the meaning specified
     therefor in the Trust Agreement

     "Trust Agreement" shall mean, collectively, the Series Supplement (the
     "Series Supplement"), dated as of November 15, 2002, which supplements
     and amends the Standard Terms for Trust Agreements ("Standard Terms"),
     dated as of January 16, 2001, each between Lehman ABS Corporation, as
     depositor, and U.S. Bank Trust National Association, as trustee, as the
     same may be amended or supplemented from time to time as provided
     therein.

     "Trustee" shall mean U.S. Bank Trust National Association, as Trustee of
     Party B, and any additional or successor trustee of Party B.

     "Underlying Securities" shall have the meaning specified therefor in the
     Trust Agreement.

     "Underlying Acceleration Termination" shall mean the occurrence of an
     event of default with respect to the Underlying Securities (other than an
     Underlying Securities Termination Default), which event results in the
     acceleration and final payment of the Underlying Securities.

     "Underlying Securities Termination Default" shall mean the occurrence of
     any of the following events: (i) the failure by the Underlying Securities
     Issuer to pay interest or principal with respect to the Underlying
     Securities within any applicable grace period after the same shall become
     due or (ii) any event of bankruptcy, insolvency or reorganization that
     would be an event of default under the Underlying Securities Indenture.

     Terms used herein and not otherwise defined shall have the meaning
     ascribed to them in the Trust Agreement.

                                     -17-
<PAGE>

          The parties executing this Schedule have executed the Master
Agreement and have agreed as to the contents of this Schedule.

                                  LEHMAN BROTHERS DERIVATIVE PRODUCTS INC.

                                  By:__________________________________
                                     Name:
                                     Title:

                                  REPACKAGED GE GLOBAL INSURANCE
                                  FLOATING RATE TRUST CERTIFICATES,
                                  SERIES 2002-1 TRUST

                                  By:   U.S. Bank Trust National Association,
                                        not in its individual capacity but
                                        solely as Trustee under the Trust
                                        Agreement

                                  By:_________________________________
                                     Name:
                                     Title:

                                     -18-
<PAGE>

                             EXHIBIT A TO SCHEDULE
                             ---------------------

                             FORM OF CONFIRMATION

                                 Confirmation
                                 ------------

DATE:     November 15, 2002

TO:       Repackaged GE Global Insurance Floating Rate Trust Certificates,
          Series 2002-1 Trust

FROM:     Lehman Brothers Derivative Products Inc.

SUBJECT:  INTEREST RATE SWAP TRANSACTION

To U.S. Bank Trust National Association, as Trustee:

          The purpose of this communication is to set forth the terms and
conditions of the transaction entered into on the Trade Date referred to below
(the "Transaction"), between Lehman Brothers Derivative Products Inc. ("Party
A") and Repackaged GE Global Insurance Floating Rate Trust Certificates,
Series 2002-1 Trust ("Party B"), a trust created under the laws of the State
of New York pursuant to that certain Series Trust Agreement, dated November
15, 2002, which incorporates the Standard Terms for Trust Agreements
(collectively, the "Trust Agreement"). This communication constitutes a
"Confirmation" as referred to in the Master Agreement specified below.

          1. This Confirmation supplements, forms a part of and is subject to
the 1992 ISDA Master Agreement (Multicurrency - Cross Border), (the "Master
Agreement") (including the Schedule thereto), dated as of November 15, 2002,
between Party A and Party B. All provisions contained in, or incorporated by
reference to, such Master Agreement shall govern this Confirmation except as
expressly modified below.

          2. This communication incorporates the definitions and provisions
contained in the 2000 ISDA Definitions (as published by the International
Swaps and Derivatives Association, Inc.) (the "Definitions"). In addition,
certain capitalized terms used herein but not defined herein shall have the
meaning ascribed to them in the Trust Agreement.

          3. The terms of the particular Transaction to which this
communication relates are as follows:

<TABLE>
<CAPTION>
<S>                                                   <C>
Party A:                                              Lehman Brothers Derivative Products Inc.

Party B:                                              Repackaged GE Global Insurance Floating Rate Trust Certificates,
                                                      Series 2002-1 Trust

                                                         A-1
<PAGE>

Trade Date:                                           November 15, 2002

Effective Date:                                       November 15, 2002

Scheduled Termination Date:                           February 15, 2026

Calculation Agent:                                    Party A

Business Days:                                        Any day which is neither a Saturday nor a Sunday) nor a day
                                                      on which banks in New York City and the place of payment in
                                                      respect of the Underlying Securities are authorized or
                                                      required to be closed, subject to the Modified Following
                                                      Business Day Convention.

                                                      The "Modified Following Business Day Convention" shall apply
                                                      if the specified day is not a Business Day and shall mean the
                                                      first following day that is a Business Day unless that day
                                                      falls in the next calendar month, in which case that date will
                                                      be first preceding day that is a Business Day.

Notional Amount:                                      $12,000,000, subject to reduction as a result of an early
                                                      termination of all or a portion of the Transaction. The
                                                      Notional Amount shall at all times equal the outstanding
                                                      principal amount of the Certificates. See "Early Termination
                                                      Payment" below

Party A Floating Rate Payer Payment Amounts:

       Party A Payment Dates:                         The 15th day of each February, May, August and November,
                                                      commencing in February 2003 and ending on February 15, 2026
                                                      (or if any such day is not a Business Day, the next following
                                                      Business Day).

       Party A Floating Rate for the Initial
       Calculation Period:                            1.90% (inclusive of the Floating Rate Spread)

       Party A Floating Rate Option:                  USD-LIBOR-BBA (Telerate Page 3750)

       Designated Maturity:                           Three Months

       Party A Floating Rate Spread:                  plus 0.50%

       Party A Day Count Fraction:                    Actual/360

       Reset Dates:                                   The first day of each Calculation Period.

                                                         A-2
<PAGE>

       Other:                                         Party A will have no obligation to make a Party A Floating
                                                      Rate Payment Amount unless and until Party B has made the
                                                      related payment, if any, to Party A.

Party B Fixed Rate Payment Amounts:

       Party B Fixed Rate Payment Amounts:            Any amounts received by Party B in respect of interest on the
                                                      Underlying Securities; provided, that the Initial Accrued
                                                      Interest in respect of the Underlying Securities shall be paid
                                                      in accordance with the terms of the Trust Agreement.

       Party B Payment Dates:                         Any date on which distributions are received by Party B in
                                                      respect of interest on the Underlying Securities, commencing
                                                      in February 2003.

       Underlying Securities:                         Issuer:                     GE Global Insurance Holding
                                                                                  Corporation

                                                      Maturity Date:              February 15, 2026

                                                      Coupon:                     7.00%

                                                      Day Count:                  30/360

                                                      Payment Dates:              The 15th day of each February and
                                                                                  August (subject to applicable
                                                                                  grace periods) commencing in
                                                                                  February 2003 and ending on the
                                                                                  Final Scheduled Distribution Date

       Other:
                                                      In the event of a discrepancy between the Party B Fixed Rate
                                                      Payment Amounts due in respect of any Calculation Period and
                                                      the interest amount payable on the Underlying Securities for
                                                      the related period (as calculated in accordance with the terms
                                                      of the Underlying Securities), the terms of the Underlying
                                                      Securities shall govern the calculation of the Party B Fixed
                                                      Rate Payment Amount for such Calculation Period.

Early Termination Payment:                           Section 6(e) of the Master  Agreement is hereby deleted, other
                                                      than with respect to Section 6(e)(iv) and 6(e)(v), and
                                                      replaced with the following:

                                                     (e) Payments on Early Termination.

                                                      (i) If notice is given designating an Early Termination Date
                                                      in respect of a portion of the Notional Amount equal to the
                                                      Partial Unwind Amount in connection with the exercise by a
                                                      Certificateholder of the partial unwind provisions of Section
                                                      7 of the Series Supplement, Party A and

                                                        A-3
<PAGE>

                                                      such exercising Certificateholder shall agree in accordance
                                                      with such Section 7 of the Series Supplement on the
                                                      termination payment to be paid by either such party on such
                                                      Early Termination Date; provided, however, that under no
                                                      circumstances will such termination payment be paid by Party B
                                                      or the assets of Party B

                                                      (ii) If an Early Termination Date is designated in respect of
                                                      the entire Notional Amount of the Transaction, Market
                                                      Quotation and Second Method shall be used to calculate any
                                                      termination payments owing by either party under Section 6(e)
                                                      of the Master Agreement.

                                                      (iii) No termination payment shall be payable by Party B to
                                                      Party A following the occurrence of a Special Termination
                                                      Event. a "Special Termination Event" is an Early Termination
                                                      event caused by the occurrence of (A) an event specified in
                                                      Section 5(a)(i) of the Master Agreement, (B) an event
                                                      specified in Section 5(a)(vii) of the Master Agreement or (C)
                                                      a Trigger Event.

                                                      (iv) No Early Termination Payment shall be payable by either
                                                      party upon the occurrence of an Underlying Acceleration
                                                      Termination unless another Early Termination Event shall have
                                                      occurred on or prior to the Early Termination Date for such
                                                      Underlying Acceleration Termination, in which case, the Early
                                                      Termination Payment, if any, for such other Early Termination
                                                      Event, shall be payable.

Amendment:                                           Section 9(b) of the Master Agreement is hereby deleted and
                                                      replaced with the following:

                                                      No amendment to this Agreement shall be effective unless each
                                                      of the parties hereto shall have consented to such amendment
                                                      in writing.
</TABLE>

4.   Other Terms

(a)  Interpretation.  Each reference to the singular shall include the plural
and vice versa.

                                      A-4
<PAGE>

(b)  Transfer. Neither party may transfer this Transaction or any interest in
or under this Transaction without the prior written consent of the
nontransferring party and the consent of holders of 100% of the then
outstanding Certificates, and each Rating Agency shall have given its prior
written confirmation that such transfer will not result in a reduction or
withdrawal of the then current rating of the Certificates. Any purported
transfer without such consents and such confirmation will be void.

(c)  Limitation on Trustee Liability. In the absence of negligence, willful
misconduct or bad faith on the part of the Trustee, the Trustee shall have no
personal liability for the payment of any indebtedness or expenses of Party B
or be personally liable for the breach or any failure of any obligation,
representation, warranty or covenant made or undertaken by Party B under this
Transaction or the Trust Agreement within the scope of the Trustee's discharge
of its duties under this Transaction or the Trust Agreement or for any amounts
due under this Transaction from Party B, such amounts to be paid solely from
the assets of Party B in accordance with the Trust Agreement.

5.   Account Details

          Payments to Party A
                                                Account for payments:  []

          Payments to Party B
                                                Account for payments:   []

                                      A-5
<PAGE>

          Please confirm that the foregoing correctly sets forth the terms of
our agreement by executing the copy of this Confirmation enclosed for that
purpose and returning it to us.

                                   Yours sincerely,

                                   LEHMAN BROTHERS DERIVATIVE PRODUCTS INC.

                                   By:______________________________________
                                      Name:
                                      Title:

Confirmed as of the date first written:

REPACKAGED GE GLOBAL INSURANCE FLOATING RATE TRUST CERTIFICATES,
 SERIES 2002-1 TRUST

By:  U.S. BANK TRUST NATIONAL ASSOCIATION, not in its
     individual capacity but solely as
     Trustee under the Trust Agreement

     By:_____________________________________________
        Name:
        Title:

                                      A-6
<PAGE>

                             EXHIBIT B TO SCHEDULE
                             ---------------------

                    FORM OF OPINION OF COUNSEL FOR PARTY A

                                                           November 15, 2002

To the Persons listed on
Schedule A hereto

          Re:  Lehman ABS Corporation
               Repackaged GE Global Insurance Floating Rate
               Trust Certificates, Series 2002-1
               --------------------------------------------

Ladies and Gentlemen:

     We have acted as special New York counsel in connection with (i) the
transfer of $12,000,000 aggregate principal amount of 7.00% Notes due 2026
(the "Underlying Securities") of GE Global Insurance Holding Corporation (the
"Underlying Securities Issuer"), by Lehman ABS Corporation ("LABS") to the
Repackaged GE Global Insurance Floating Rate Trust Certificates, Series 2002-1
Trust (the "Trust") established by LABS and (ii) the issuance by the Trust on
November 15, 2002 (the "Closing Date") of the Repackaged GE Global Insurance
Floating Rate Trust Certificates, Series 2002-1 (the "Certificates"), issued
pursuant to a Standard Terms for Trust Agreements, dated as of January 16,
2001 (the "Standard Terms"), between LABS and U.S. Bank Trust National
Association, as trustee (the "Trustee"), as supplemented by a Series
Supplement, dated as of November 15, 2002 (the "Series Supplement" and,
together with the Standard Terms, the "Trust Agreement"), between LABS and the
Trustee. Capitalized terms defined in the Trust Agreement and used but not
otherwise defined herein are used herein as so defined.

     In connection with this opinion, we have examined and are familiar with
originals or copies certified or otherwise identified to our satisfaction of:
(i) the Trust Agreement; (ii) the Securities Account Control Agreement dated
as of November 15, 2002 between LABS and U.S. Bank Trust National Association
as trustee and securities intermediary; (iii) the form of the Certificates;
(iv) the Swap Agreement (comprised of the ISDA Master Agreement between the
Trust and Lehman Brothers Derivative Products Inc. (the "Swap Counterparty"),
dated as of November 15, 2002, the Schedule thereto dated November 15, 2002
and the Confirmation thereunder dated November 15, 2002) (the "Swap
Agreement"); (v) an Underwriting Agreement dated November 12, 2002 (the
"Underwriting Agreement") between LABS and Lehman; and (vi) such corporate
records, agreements, documents and other instruments, and such certificates or
comparable documents of public officials and of officers and representatives
of LABS, and have made such inquiries of such officers and representatives, as
we have deemed relevant and necessary as a basis for the opinions hereinafter
set forth.

                                     B-1
<PAGE>

     In such examination, we have assumed the genuineness of all signatures,
the legal capacity of natural persons, the authenticity of all documents
submitted to us as originals, the conformity to original documents of all
documents submitted to us as certified or photostatic copies and the
authenticity of the originals of such latter documents. As to all questions of
fact material to this opinion that have not been independently established, we
have relied upon certificates or comparable documents of officers and
representatives of LABS, the Swap Counterparty and the Trustee and upon the
representations and warranties of the Swap Counterparty and the Trust
contained in the Swap Agreement. We have also assumed (i) the due organization
and valid existence of the Swap Counterparty and the Trustee, (ii) that the
Swap Counterparty and the Trustee have all requisite corporate power and
authority to execute and deliver the Swap Agreement and to perform their
obligations thereunder, (iii) the due and valid authorization by all necessary
corporate action of the Swap Counterparty and the Trustee of the execution,
delivery and performance by them of the Swap Agreement, (iv) the due and valid
execution and delivery by the Swap Counterparty and the Trustee of the Swap
Agreement and (v) that the Swap Agreement constitutes the legal, valid and
binding obligations of the Trust, enforceable against the Trust in accordance
with its terms.

     Based on the foregoing, and subject to the qualifications stated herein,
we are of the opinion that:

1. The Swap Agreement constitutes the legal, valid and binding obligation of
the Swap Counterparty, enforceable against the Swap Counterparty in accordance
with its terms.

2. The execution and delivery by the Swap Counterparty of the Swap Agreement
and the performance by Swap Counterparty of its obligations thereunder will
not conflict with, constitute a default under, or violate any New York,
Delaware corporate or federal law or regulation (other than federal and state
securities or blue sky laws, as to which we express no opinion in this
paragraph).

3. The Swap Agreement is not subject to regulation under the Commodity
Exchange Act, as amended, or the rules and regulations thereunder.

                                    * * * *

     The opinion set forth above is subject to the following qualifications,
assumptions and exceptions:

     (a) (i) Our opinion is subject to the effect of any applicable
bankruptcy, insolvency, reorganization, moratorium or other similar law of
general application affecting creditors' or secured creditors' rights and to
the effect of general principles of equity including (without limitation)
concepts of materiality, reasonableness, good faith and fair dealing, and
other similar doctrines affecting the enforceability of agreements generally
(regardless of whether considered in a proceeding in equity or at law), (ii)
the enforcement of the Swap Agreement may be subject to limitations imposed by
public policy, although except as noted in (iii) and (iv) below and in our
general qualifications below, we are not aware of any such limitations that
would be relevant to such enforcement, (iii) such enforcement may be
conditioned upon the party seeking enforcement having acted in a commercially
reasonable manner and in good faith in performing

                                     B-2
<PAGE>

its obligations and exercising its rights and remedies thereunder and (iv)
such enforcement is subject to the discretion of a court to invalidate or
decline to enforce any right, remedy or provision of the Swap Agreement
(including, without limitation, the termination payment provisions thereof)
determined by it to be a penalty.

     (b) We express no opinion as to any provision of the Swap Agreement (i)
regarding severability of the provisions thereof; (ii) providing that every
right and remedy shall be cumulative and in addition to every other right and
remedy, or that any failure or delay in exercising any right, power or
privilege shall not impair any right or remedy or constitute a waiver thereof
(or, in each case, terms to like effect); (iii) regarding specific performance
or the grant of any power of attorney; (iv) pursuant to which any limitation
with respect to the time within which legal proceedings may be commenced is
purported to be waived or(v) regarding the choice of New York law provided for
in the Swap Agreement.

     We are members of the bar of the State of New York, and we do not express
any opinion as to any laws other than the law of the State of New York, the
General Corporation Law of the State of Delaware and the federal laws of the
United States.

     The opinions set forth herein are expressly subject to there being no
additional facts which would materially affect the validity of the assumptions
and conclusions set forth herein or upon which this opinion is based.

     The opinions expressed herein are being delivered to you as of the date
hereof, and we assume no obligation to advise you of any changes of law or
fact that may occur after the date hereof, notwithstanding that such changes
may affect the legal analysis or conclusions contained herein. This opinion
letter is solely for your benefit in connection with the transactions
contemplated in the Swap Agreement and may not be relied on in any manner for
any other purpose or by any other person or transmitted to any other person
without our prior written consent.

                                               Very truly yours,

                                     B-3
<PAGE>

                                  Schedule A

Lehman ABS Corporation
745 Seventh Avenue
New York, New York  10019

Lehman Brothers Inc.
745 Seventh Avenue
New York, New York  10019

Lehman Brothers Derivative Products Inc.
745 Seventh Avenue
New York, New York  10019

Moody's Investors Service, Inc.
99 Church Street
New York, New York  10007

Standard & Poor's,
   a division of The McGraw-Hill Companies, Inc.
55 Water Street
New York, New York  10041

U.S. Bank Trust National Association
100 Wall Street
New York, New York  10005

                                     B-4
<PAGE>

                                                   November 15, 2002

To the Addressees Listed on the Attached Schedule I

Ladies and Gentlemen:

          I have acted as counsel to Lehman Brothers Derivative Products Inc.,
a Delaware corporation ("Party A"), and am familiar with matters pertaining to
the execution and delivery of the 1992 ISDA Master Agreement
(Multicurrency--Cross Border) (the "Master Agreement") dated as of November
15, 2002 between Party A and the Repackaged GE Global Insurance Floating Rate
Trust Certificates, Series 2002-1 Trust ("Party B"). The Master Agreement is
supplemented by a confirmation of swap transaction dated as of November 15,
2002 between Party A and Party B (the "Confirmation"), and the Master
Agreement and the Confirmation together constitute one agreement.

          In connection with this opinion, I have examined or have had
examined on my behalf an executed copy of the Master Agreement and the
Confirmation, certificates and statements of public officials and officers
and/or employees of Party A and such other agreements, instruments, documents
and records as I have deemed necessary or appropriate for the purposes of this
opinion.

          Based upon the foregoing, but subject to the assumptions,
exceptions, qualifications and limitations hereinafter expressed, I am of the
opinion that:

          1. Party A is a corporation duly organized, validly existing and in
good standing under the laws of the State of Delaware.

          2. The execution, delivery and performance of the Master Agreement
and the Confirmation are within the corporate power of Party A, have been duly
authorized by all necessary corporate action and do not conflict with any
provision of its certificate of incorporation or by-laws.

          3. The Master Agreement and the Confirmation have been duly executed
and delivered by Party A and constitute legally valid and binding obligations
of Party A enforceable against it in accordance with their respective terms.

                                     B-5
<PAGE>

          The foregoing opinions are subject to the following assumptions,
exceptions, qualifications and limitations:

          A. My opinion in paragraph 3 above is subject to the effect of any
bankruptcy, insolvency, reorganization, receivership, moratorium or similar
laws affecting the enforcement of creditors' rights generally (including,
without limitation, the effect of statutory or other laws regarding fraudulent
or other similar transfers) and general principles of equity, regardless of
whether enforceability is considered in a proceeding in equity or at law.

          B. I am a member of the Bar of the State of New York and render no
opinion on the laws of any jurisdiction other than the laws of the State of
New York, the federal laws of the United States of America and the General
Corporation Law of the State of Delaware.

          C. My opinions are limited to the present laws and to the facts as
they presently exist and no opinion is to be inferred or implied beyond the
matters expressly so stated. I assume no obligation to revise or supplement
this opinion should the present laws of the jurisdictions referred to in
paragraph B above be changed by legislative action, judicial decision or
otherwise.

          D. This letter is rendered to you in connection with the Master
Agreement and the Confirmation and the transactions related thereto and may
not be relied upon by any other person, entity or agency or by you in any
other context or for any other purpose, except that Sidley Austin Brown & Wood
LLP, counsel to Party A, may rely on this opinion in connection with an
opinion to be rendered by them of even date herewith. This letter may not be
quoted in whole or in part, nor may copies thereof be furnished or delivered
to any other person, without the prior written consent of Lehman Brothers
Derivative Products Inc., except that you may furnish copies hereof (i) to
your independent auditors and attorneys, (ii) to any United States, state or
local authority having jurisdiction over you or over Party A, (iii) pursuant
to the order of any legal process of any court of competent jurisdiction or
any governmental agency, and (iv) in connection with any legal action arising
out of the Master Agreement or the Confirmation.

          E. I have assumed with your permission (i) the genuineness of all
signatures by each party other than Party A, (ii) the authenticity of
documents submitted to me as originals and the conformity to authentic
original documents of all documents submitted to me as copies, and (iii) the
due execution and delivery, pursuant to due authorization, of the Master
Agreement and the Confirmation by each party thereto other than Party A.

                                               Very truly yours,

                                     B-6
<PAGE>

                                  SCHEDULE I

Moody's Investors Service, Inc.
99 Church Street
New York, New York  10007

Standard and Poor's, a
         Division of The McGraw-Hill Companies, Inc.
55 Water Street
New York, New York  10041

U.S. Bank Trust National Association
100 Wall Street
New York, New York  10005

New York Stock Exchange, Inc.
20 Broad Street
New York, New York  10005

                                     B-7
<PAGE>

                             EXHIBIT C TO SCHEDULE
                             ---------------------

                    FORM OF OPINION OF COUNSEL FOR PARTY B
                               November 15, 2002

                                        Standard and Poor's, a Division of
Lehman Brothers Inc.                    The McGraw-Hill Companies, Inc.
745 Seventh Avenue                      55 Water Street
New York, New York 10019                New York, New York 10041

Lehman ABS Corporation                  Moody's Investors Service, Inc.
745 Seventh Avenue                      99 Church Street
New York, New York 10019                New York, New York 10007

          Re:  Repackaged GE Global Insurance Floating Rate Trust Certificates,
               Series 2002-1 Trust (the "Trust" or the  "Issuer")
               ---------------------------------------------------------------

Dear Ladies and Gentlemen:

          We have acted as special counsel to U.S. Bank Trust National
Association as trustee (the "Trustee") in connection with a Standard Terms For
Trust Agreements, dated as of January 16, 2001 (as supplemented by the Series
Supplement, Series 2002-1 dated as of November 15, 2002, and collectively
referred to herein as the "Trust Agreement"), between Lehman ABS Corporation,
a Delaware corporation (the "Depositor") and the Trustee. Pursuant to the
Trust Agreement, the Trust shall issue certain Certificates on the Closing
Date (the "Securities").

          For purposes of giving the opinion hereinafter set forth, we have
examined executed or conformed counterparts, or copies otherwise proved to our
satisfaction, of the Trust Agreement, the Securities, the Securities Account
Control Agreement dated as of the date hereof (the "Control Agreement") among
the Depositor, the Trustee and U.S. Bank Trust National Association, as
securities intermediary (the "Securities Intermediary") and the ISDA Master
Agreement between the Trust and Lehman Brothers Derivative Products Inc. (the
"Swap Counterparty"), the Schedule thereto and the Confirmation thereunder,
each dated as of the date hereof (collectively, the "Swap Agreement", which
together with the Trust Agreement, the Securities, and the Control Agreement
are hereinafter collectively referred to herein as the "Documents").
Capitalized terms used and not otherwise defined herein shall have the
respective meanings ascribed thereto in the Documents, as applicable.

          We have also obtained or have been furnished with, and have relied
exclusively upon, the Trust Permit and the Charter of the Office of the
Comptroller of the Currency in rendering this opinion. We have made no other
investigations or examinations in rendering this opinion, and our opinions
expressed herein are solely in reliance on the aforementioned documents and on
the Documents. With respect to all documents examined by us, we have

                                     C-1
<PAGE>

assumed that (i) all signatures on documents examined by us are genuine, (ii)
all documents submitted to us as originals are authentic, and (iii) all
documents submitted to us as copies conform with the original copies of those
documents.

          For the purpose of this opinion, we have assumed (i) the legal
capacity for all purposes relevant hereto of all natural persons, (ii) the due
authorization, execution and delivery by all parties thereto of all documents
examined by us, (iii) that each party to the Documents (other than the Trustee
and the Securities Intermediary) has the power and authority to enter in and
perform all of its obligations thereunder, (iv) that the Documents are the
legal, valid and binding obligations of the Issuer enforceable against the
Issuer in accordance with their terms, and (v) that the Issuer is an "eligible
contract participant" as that term is defined in the Commodity Exchange Act.

          Based upon the foregoing, and having regard to legal considerations
which we deem relevant, we are of the opinion that:

          1. The Trustee is a national banking association with trust powers
validly existing, duly organized and in good standing under the laws of the
United States of America. The Trustee has all requisite power to execute and
deliver the Documents, perform its obligations thereunder, and to authenticate
the Securities. The Securities Intermediary has all requisite power to execute
and deliver the Control Agreement and to perform its obligations thereunder;

          2. The Documents have been duly executed and delivered by the
Trustee and the Control Agreement has been duly executed and delivered by the
Securities Intermediary;

          3. The Securities have been authenticated by a duly authorized
signatory of the Trustee; and

          4. The Trust Agreement and the Control Agreement each constitutes
the legal, valid and binding obligation of the Trustee, enforceable against
the Trustee in accordance with its terms. The Swap Agreement constitutes the
legal, valid and binding obligation of the Trustee on behalf of the Trust,
enforceable against the Trustee on behalf of the Trust in accordance with its
terms. The Control Agreement constitutes the legal, valid and binding
obligation of the Securities Intermediary, enforceable against the Securities
Intermediary in accordance with its terms.

          The opinions set forth above are subject to the following
qualifications and exceptions:

          (a) Our opinions in paragraph 4 above are subject to the effect of
applicable receivership, conservatorship, insolvency, reorganization,
moratorium, fraudulent transfer or similar laws of general application
affecting creditors' or secured creditors' rights.

          (b) Our opinions in paragraph 4 above are subject to the effect of
general principles of equity, including, without limitation, concepts of
materiality, diligence, reasonableness, good faith and fair dealing, election
of remedies, estoppels and other similar

                                     C-2
<PAGE>

doctrines affecting the enforceability of agreements generally in any
proceeding in equity or at law.

          (c) The enforceability of provisions in the Documents to the effect
that terms may not be waived or modified except in writing may be limited
under certain circumstances.

          (d) The availability of specific performance, injunctive relief and
other equitable remedies is subject to the discretion of the tribunal before
which any proceeding therefor may be brought.

          (e) We express no opinion as to the enforceability of provisions of
the Documents to the extent they contain forum selection provisions or waivers
of any constitutional rights or remedies.

          (f) We express no opinion as to the enforceability of provisions of
the Documents to the extent they contain cumulative remedies to the extent
such cumulative remedies purport to compensate, or would have the effect of
compensating, the party entitled to the benefits thereof in an amount in
excess of the actual loss suffered by such party.

          (g) We express no opinion as to the enforceability of provisions of
the Documents to the extent they contain remedies that are determined to
result in a penalty, or otherwise to result in a recovery that is determined
to be unreasonable in relation to the actual damages or grossly
disproportionate to the actual damages suffered.

          (h) We express no opinion with respect to (i) the compliance with,
or the effect of non-compliance with, any federal or state securities laws or
regulations, the Commodity Exchange Act, as amended, or the rules and
regulations of the Commodity Futures Trading Commission promulgated
thereunder, (ii) the creation, validity, perfection or priority of any
security interest granted under any Document, (iii) any indemnification or
contribution provision under any Document or (iv) Section 6(e) of the ISDA
Master Agreement insofar as it relates to the amount of damages payable by a
party upon termination.

          The foregoing opinions are limited to matters involving the laws of
the State of New York and the federal laws of the United States of America. We
express no opinion as to any matter other than as expressly set forth above,
and no other opinion may be implied or interpreted herefrom. Our opinions are
rendered only with respect to such laws, and the rules, regulations and orders
thereunder, that are currently in effect, and we disclaim any obligation to
advise you of any change in law or fact that occurs after the date hereof.

          This letter is furnished by us solely for your benefit in connection
with the transactions referred to in the Documents and may not be circulated
to, or relied upon by, any other person without our prior written consent.

                                                 Sincerely,

                                     C-3EXHIBIT 4.1

                                                                  EXECUTION COPY

                                  SERIES 2002-2
                         SUPPLEMENTAL INDENTURE OF TRUST

                                 by and between

                            SLC STUDENT LOAN TRUST-I

                                       and

                      DEUTSCHE BANK TRUST COMPANY AMERICAS,
                              as Indenture Trustee

                           Authorizing the Issuance of
                                  $206,200,000
                            SLC Student Loan Trust-I
                         Student Loan Asset-Backed Notes
                                  Series 2002-2

                          Dated as of November 20, 2002

<PAGE>

                                TABLE OF CONTENTS

                                                                            Page

                                    ARTICLE I

                         DEFINITIONS AND USE OF PHRASES

                                   ARTICLE II

                         SERIES 2002-2 note DETAILS,
                         FORM OF SERIES 2002-2 NOTES,
                      REDEMPTION OF SERIES 2002-2 NOTES
                  AND USE OF PROCEEDS OF SERIES 2002-2 NOTES

Section 2.01  Series 2002-2 Note Details...................................
Section 2.02  Redemption of the Series 2002-2 Notes........................
Section 2.03  Delivery of Series 2002-2 Notes..............................
Section 2.04  Trustee's Authentication Certificate.........................
Section 2.05  Deposit of Series 2002-2 Note Proceeds.......................
Section 2.06  Excess Reserve Fund Amounts..................................
Section 2.07  Forms of Series 2002-2 Notes.................................

                                   ARTICLE III

                               GENERAL PROVISIONS

Section 3.01  Date of Execution............................................
Section 3.02  Laws Governing...............................................
Section 3.03  Severability.................................................
Section 3.04  Exhibits and Appendices......................................

                                   ARTICLE IV

                           APPLICABILITY OF INDENTURE

APPENDIX A     CERTAIN TERMS AND PROVISIONS OF THE AUCTION RATE SECURITIES
EXHIBIT A-1    FORM OF SENIOR CLASS 2002-2 NOTES
EXHIBIT A-2    FORM OF SUBORDINATE CLASS 2002-2 NOTES
EXHIBIT B      SERIES 2002-2 CLOSING CASH FLOW PROJECTIONS
EXHIBIT C      NOTICE OF PAYMENT DEFAULT
EXHIBIT D      NOTICE OF CURE OF PAYMENT DEFAULT
EXHIBIT E      NOTICE OF PROPOSED CHANGE IN LENGTH OF ONE OR MORE AUCTION
               PERIODS
EXHIBIT F      NOTICE  ESTABLISHING  CHANGE IN  LENGTH OF ONE OR MORE  AUCTION
               PERIODS
EXHIBIT G      NOTICE OF CHANGE IN AUCTION DATE

<PAGE>

                  SERIES 2002-2 SUPPLEMENTAL INDENTURE OF TRUST

            THIS SERIES 2002-2 SUPPLEMENTAL INDENTURE OF TRUST (this
"Supplemental Indenture"), dated as of March 27, 2002, is by and between SLC
STUDENT LOAN TRUST-I, a Delaware statutory trust (the "Issuer"), and DEUTSCHE
BANK TRUST COMPANY AMERICAS (formerly known as Bankers Trust Company), a New
York Corporation (together with its successors, the "Indenture Trustee"), as
Indenture Trustee hereunder (all capitalized terms used in these preambles,
recitals and granting clauses shall have the same meanings assigned thereto in
Article I hereof);

                             W I T N E S S E T H:
                             - - - - - - - - - -

            WHEREAS, the Issuer has previously entered into an Indenture of
Trust, dated as of March 27, 2002, as supplemented (the "Indenture"), between
the Issuer and the Indenture Trustee;

            WHEREAS, the Issuer desires to enter into this Supplemental
Indenture in order to issue Notes pursuant to the terms of the Indenture,
including Section 1.09 thereof;

            WHEREAS, the Issuer represents that it is duly created as a
statutory trust under the laws of the State of Delaware and that by proper
action it has duly authorized the issuance of $206,200,000 of its Student Loan
Asset-Backed Notes, Series 2002-2, consisting of three classes designated as
Senior Class 2002-2 (the "Class A Notes") and one class designated as
Subordinate Class 2002-2 (the "Class B Notes") (the "Class A Notes" and together
with the Class B Notes, the "Series 2002-2 Notes"), and it has by proper action
authorized the execution and delivery of this Supplemental Indenture;

            WHEREAS, the Series 2002-2 Notes constitute Notes as defined in the
Indenture;

            WHEREAS, the Indenture Trustee has agreed to accept the trusts
herein created upon the terms herein set forth; and

            NOW, THEREFORE, it is mutually covenanted and agreed as follows:

                                    ARTICLE I

                         DEFINITIONS AND USE OF PHRASES

            All words and phrases defined in Appendix A of the Indenture shall
have the same meaning in this Supplemental Indenture, except as otherwise
appears in this Article. In addition, the following terms have the following
meanings in this Supplemental Indenture unless the context clearly requires
otherwise:

            "Authorized Denominations" shall mean $25,000 and any integral
multiple thereof for the Class A Notes and Class B Notes.

            "Basic Documents" shall have the same meaning assigned to such term
in Appendix A to the Indenture and shall include the Auction Agent Agreement and
the Underwriting Agreement, dated as of November 11, 2002, between SLC Student
Loan Trust-I and Salomon Smith Barney Inc., as representative of the
Underwriters.

            "Class A Notes" shall mean, collectively, the Class A-5 Notes, the
Class A-6 Notes, and the Class A-7 Notes.

            "Class A-5 Notes" shall mean the $65,350,000 SLC Student Loan
Trust-I, Student Loan Asset-Backed Notes, Series 2002-2, Senior Class A-5
Auction Rate Securities.

            "Class A-6 Notes" shall mean the $65,350,000 SLC Student Loan
Trust-I, Student Loan Asset-Backed Notes, Series 2002-2, Senior Class A-6
Auction Rate Securities.

            "Class A-7 Notes" shall mean the $65,350,000 SLC Student Loan
Trust-I, Student Loan Asset-Backed Notes, Series 2002-2, Senior Class A-7
Auction Rate Securities.

            "Class B Notes" shall mean the Class B-2 Notes.

            "Class B-2 Notes" shall mean the $10,150,000 SLC Student Loan
Trust-I, Student Loan Asset-Backed Notes, Series 2002-2, Subordinate Class B-2
Auction Rate Securities.

            "Date of Issuance" shall mean, with respect to the Series 2002-2
Notes, November 20, 2002.

            "Rating Agency" shall mean, collectively, Fitch Ratings, Standard &
Poor's Ratings Services and Moody's Investors Service Inc.

            "Record Date" shall mean, with respect to each Payment Date, the
Business Day immediately proceeding such Payment Date.

            "Reserve Fund Requirement" shall mean 0.25% of the Class A Notes and
Class B Notes Outstanding; provided, however, that so long as any Class A Notes
or Class B Notes remain Outstanding there shall be at least $500,000 on deposit
in the Reserve Fund. Further, such percentages and amounts may be changed upon
satisfaction of the Rating Agency Condition.

            "Series 2002-2 Notes" shall mean the SLC Student Loan Trust-I,
Student Loan Asset-Backed Notes, Series 2002-2 issued pursuant to this
Supplemental Indenture in the aggregate principal amount of $206,200,000
consisting of the Class A Notes and the Class B Notes.

            "Servicer" shall mean The Student Loan Corporation, a Delaware
corporation, and its successors and assigns.

            "Servicing Agreement" shall mean, collectively, (i) the Servicing
Agreement, dated as of March 27, 2002, as supplemented and amended from time to
time, between the Issuer and the Servicer, and (ii) the Subservicing Agreement.

            "Subservicer" shall mean, SunTech, Inc., a Mississippi corporation,
and its successors and assigns.

            "Subservicing Agreement" shall mean the subservicing agreement,
dated as of March 27, 2002, as supplemented and amended from time to time,
between the Servicer and the Subservicer.

            Words importing the masculine gender include the feminine gender.
Words importing persons include firms, associations and corporations. Words
importing the singular number include the plural number and vice versa.
Additional terms are defined in the body of this Supplemental Indenture and the
Appendices hereto.

            In the event that any term or provision contained herein with
respect to the Series 2002-2 Notes shall conflict with or be inconsistent with
any term or provision contained in the Indenture, the terms and provisions of
this Supplemental Indenture shall govern.

                                   ARTICLE II

                           SERIES 2002-2 NOTE DETAILS,
                          FORM OF SERIES 2002-2 NOTES,
                        REDEMPTION OF SERIES 2002-2 NOTES
                  AND USE OF PROCEEDS OF SERIES 2002-2 NOTES

            Section 2.01 Series 2002-2 Note Details. The aggregate principal
amount of the Series 2002-2 Notes which may be initially authenticated and
delivered under this Supplemental Indenture is limited to, and shall be
individually issued in four separate classes consisting of $65,350,000 of Class
A-5 Notes, $65,350,000 of Class A-6 Notes, $65,350,000 of Class A-7 Notes and
$10,150,000 of Class B-2 Notes, except for Series 2002-2 Notes authenticated and
delivered upon transfer of, or in exchange for, or in lieu of Notes pursuant to
Sections 1.03 and 1.04 of the Indenture. The Series 2002-2 Notes shall be
issuable only as fully registered notes in the Authorized Denominations. The
Series 2002-2 Notes of each class shall each be lettered "A" and shall be
numbered separately from 1 upwards, respectively.

            The Class A Notes and Class B Notes (collectively, the "Auction Rate
Securities") shall be dated their Date of Issuance and shall bear interest from
their Date of Issuance, payable on each Payment Date (as defined in Appendix A
to this Supplemental Indenture), except that Auction Rate Securities which are
issued upon transfer, exchange or other replacement shall bear interest from the
most recent Payment Date to which interest has been paid, or if no interest has
been paid, from the date of the Auction Rate Securities. The Class A Notes and
Class B Notes shall mature on December 1, 2035. Interest on the Auction Rate
Securities shall be computed on the basis of a 360-day year and actual days
elapsed. The terms of and definitions related to the Auction Rate Securities are
found in Article I hereof and Appendix A to this Supplemental Indenture. No
premium payments shall be paid on the Class A Notes or Class B Notes issued
under this Supplemental Indenture.

            The principal of the Series 2002-2 Notes due at its Stated Maturity
or redemption in whole shall be payable at the Corporate Trust Office of the
Indenture Trustee, or such other location as directed by the Indenture Trustee,
or at the principal office of its successor in trust upon presentation and
surrender of the Series 2002-2 Notes. Payment of interest and principal paid
subject to a redemption on any Series 2002-2 Note shall be made to the
Noteholder thereof by check or draft mailed on the Payment Date by the Indenture
Trustee to the Noteholder at his address as it last appears on the registration
books kept by the Indenture Trustee at the close of business on the Record Date
for such Payment Date, but any such interest not so timely paid or duly provided
for shall cease to be payable to the Noteholder thereof at the close of business
on the Record Date and shall be payable to the Noteholder thereof at the close
of business on a special record date (a "Special Record Date") for the payment
of any such defaulted interest. Such Special Record Date shall be fixed by the
Indenture Trustee whenever moneys become available for payment of the defaulted
interest, and notice of such Special Record Date shall be given to the
Noteholders of the Series 2002-2 Notes not less than 10 days prior thereto by
first-class mail to each such Noteholder as shown on the Indenture Trustee's
registration books on the date selected by the Indenture Trustee, stating the
date of the Special Record Date and the date fixed for the payment of such
defaulted interest. Payment of interest to the Securities Depository or its
nominee shall, and at the written request addressed to the Indenture Trustee of
any other Noteholder owning at least $1,000,000 principal amount of the Series
2002-2 Notes, payments of interest shall, be paid by wire transfer within the
United States to the bank account number filed no later than the Record Date or
Special Record Date with the Indenture Trustee for such purpose. All payments on
the Series 2002-2 Notes shall be made in lawful money of the United States of
America.

            (a) Except as otherwise provided in this Section, the Class A Notes
and Class B Notes in the form of one global note for each Stated Maturity date
shall be registered in the name of the Securities Depository or its nominee and
ownership thereof shall be maintained in Book-Entry Form by the Securities
Depository for the account of the Agent Members. Initially, each Class A Note
and Class B Note shall be registered in the name of CEDE & CO., as the nominee
of The Depository Trust Company. Except as provided in subsection (d) of this
Section, the Class A Notes and Class B Notes may be transferred, in whole but
not in part, only to the Securities Depository or a nominee of the Securities
Depository or to a successor Securities Depository selected or approved by the
Issuer or to a nominee of such successor Securities Depository. Each global note
shall bear a legend substantially to the following effect: "Except as otherwise
provided in the Indenture, this global note may be transferred, in whole but not
in part, only to another nominee of the Securities Depository (as defined in the
Indenture) or to a successor Securities Depository or to a nominee of a
successor Securities Depository."

            (b) Except as otherwise provided herein, the Issuer and the
Indenture Trustee shall have no responsibility or obligation with respect to (i)
the accuracy of the records of the Securities Depository or any Agent Member
with respect to any beneficial ownership interest in the Class A Notes and Class
B Notes, (ii) the delivery to any Agent Member, beneficial owner of the Class A
Notes and Class B Notes or other Person, other than the Securities Depository,
of any notice with respect to the Class A Notes and Class B Notes or (iii) the
payment to any Agent Member, beneficial owner of the Class A Notes and Class B
Notes or other Person, other than the Securities Depository, of any amount with
respect to the principal of or interest on the Class A Notes and Class B Notes.
So long as the certificates for the Class A Notes and Class B Notes issued under
this Supplemental Indenture are not issued pursuant to subsection (c) of this
Section the Issuer and the Indenture Trustee may treat the Securities Depository
as, and deem the Securities Depository to be, the absolute owner of the Class A
Notes and Class B Notes for all purposes whatsoever, including, without
limitation, (A) the payment of principal of and interest on such Class A Notes
and Class B Notes, (B) giving notices of redemption and other matters with
respect to such Class A Notes and Class B Notes and (C) registering transfers
with respect to such Class A Notes and Class B Notes. In connection with any
notice or other communication to be provided to the Noteholders pursuant to this
Supplemental Indenture by the Issuer or the Indenture Trustee with respect to
any consent or other action to be taken by the Noteholders, the Issuer or the
Indenture Trustee, as the case may be, shall establish a record date for such
consent or other action and, if the Securities Depository shall hold all of the
Class A Notes and Class B Notes, give the Securities Depository notice of such
record date not less than 15 calendar days in advance of such record date to the
extent possible. Such notice to the Securities Depository shall be given only
when the Securities Depository is the sole Noteholder.

            (c) If at any time the Securities Depository notifies the Issuer and
the Indenture Trustee that it is unwilling or unable to continue as Securities
Depository with respect to any or all of the Class A Notes and Class B Notes or
if at any time the Securities Depository shall no longer be registered or in
good standing under the Securities Exchange Act or other applicable statute or
regulation and a successor Securities Depository is not appointed by the Issuer
within 90 days after the Issuer receives notice or becomes aware of such
condition, as the case may be, subsections (a) and (b) of this Section shall no
longer be applicable and the Issuer shall execute and the Indenture Trustee
shall authenticate and deliver certificates representing the Class A Notes and
Class B Notes as provided below. In addition, the Issuer may determine at any
time that the Class A Notes and Class B Notes shall no longer be represented by
global certificates and that the provisions of subsections (a) and (b) of this
Section shall no longer apply to the Class A Notes and Class B Notes. In such
event, the Issuer shall execute and the Indenture Trustee shall authenticate and
deliver certificates representing the Class A Notes and Class B Notes as
provided below. Certificates for the Class A Notes and Class B Notes issued in
exchange for a global certificate pursuant to this subsection shall be
registered in such names and authorized denominations as the Securities
Depository, pursuant to instructions from the Agent Members or otherwise, shall
instruct in writing to the Issuer and the Indenture Trustee, and upon which
written instructions the Indenture Trustee may rely without investigation. The
Indenture Trustee shall promptly deliver such certificates representing the
Class A Notes and Class B Notes to the Persons in whose names such Notes are so
registered.

            Section 2.02 Redemption of the Series 2002-2 Notes.

            (a) Mandatory Redemption. Mandatory Redemption of Class A Notes and
Class B Notes. Subject to the provisions of Section 2.02(c), as long as any
Class A Notes and Class B Notes remain Outstanding, Senior Notes, Subordinate
Notes and Junior-Subordinate Notes are subject to mandatory redemption, in whole
or in part, at a redemption price equal to the principal balance being redeemed
plus accrued interest to the date fixed for redemption (A) on the Payment Date
designated by the Issuer in an Issuer Order no earlier than December 5, 2002,
from amounts remaining in the Acquisition Fund, (B) on any Payment Date from
amounts on deposit in the Revenue Fund representing collections of principal
payments on the Financed Student Loans as specified in the Servicer Report
received by the Indenture Trustee with respect to such Payment Date and (C) on
any Payment Date that the Value of the Financed Student Loans is less than
100.5% of the Value of the Senior Notes and Subordinate Notes then Outstanding
as specified in the Servicer Report received by the Indenture Trustee with
respect to such Payment Date (or such other ratio as specified by the Issuer in
a notice to the Indenture Trustee accompanied by a Rating Agency Confirmation),
from interest payments on the Financed Student Loans remaining in the Revenue
Fund after all other required payments have been made. Notwithstanding the
forgoing provisions of this Section 2.02(a)(i), the Issuer may, by Issuer Order,
delay any such redemption for purposes of balancing or otherwise adjusting the
principal balance of the Notes Outstanding among the classes and series of
Notes.

            (b)   Optional Redemptions and Optional Purchase.

                  (i) Optional Redemption of Series 2002-2 Notes. Subject to the
      provisions of Section 2.02(c), the Series 2002-2 Notes are subject to
      redemption pursuant to Section 4.03(b)(x) of the Indenture at a redemption
      price equal to the principal balance being redeemed plus accrued interest
      to the date fixed for redemption, from funds received by the Indenture
      Trustee constituting interest on the Financed Student Loans remaining in
      the Revenue Fund after all other prior required payments have been made
      and not required for mandatory redemptions.

                  (ii) Optional Redemption or Purchase of Series 2002-2 Notes.
      Subject to the provisions of Section 2.02(c), the Series 2002-2 Notes are
      subject to redemption or purchase at the option of the Issuer exercised by
      an Issuer Order, in whole only, on any Payment Date on which the aggregate
      current principal balance of all the Notes issued under the Indenture
      (excluding the Residual Notes) is less than or equal to 10% of the initial
      aggregate principal balance of all the Notes issued under the Indenture
      (excluding the Residual Notes) on their respective date of issuance, at a
      redemption price equal to the principal balance plus accrued interest to
      the date fixed for redemption, from the proceeds of funds received by the
      Indenture Trustee for such purpose and deposited in the Revenue Fund. On
      the Payment Date fixed for redemption or purchase in such Issuer Order
      (which Issuer Order shall be received by the Indenture Trustee not less
      then 16 days prior to such redemption), the Issuer shall deposit or cause
      to be deposited in the Revenue Fund an amount sufficient to redeem all of
      the Notes pursuant to Section 4.03 of the Indenture, less amounts on
      deposit in the Reserve Fund. On such redemption date the Indenture Trustee
      shall transfer amounts in the Reserve Fund to the Revenue Fund and effect
      the redemption of all the Notes.

                  (iii) Notice of Redemption and Purchase. The Indenture Trustee
      shall cause notice of any redemption or purchase to be given by mailing a
      copy of the notice by first-class mail to the Noteholder of any Series
      2002-2 Notes, and the Auction Agent, designated for redemption or purchase
      in whole or in part, at their address as the same shall last appear upon
      the registration books, in each case not less than 12 days prior to the
      redemption or purchase date; provided, however, that failure to give such
      notice, or any defect therein, shall not affect the validity of any
      proceedings for the redemption or purchase date of such Series 2002-2
      Notes for which no such failure or defect occurs.

            (c) Partial Redemption.

                  (i) If less than all of the Series 2002-2 Notes are to be
      redeemed or purchased pursuant to Section 2.02(a) or 2.02(b), the Class of
      Series 2002-2 Notes to be redeemed or purchased shall be redeemed or
      purchased as directed by an Issuer Order conforming to Section
      2.02(c)(ii).

                  (ii) All of the Class A Notes shall be redeemed prior to
      redemption of any Class B Notes; provided, however, upon an Issuer Order,
      the Class B Notes may be redeemed while Class A Notes remain Outstanding
      to the extent that after the redemption of the Class B Notes, the ratio of
      the Value of the Trust Estate to the Value of the Notes (excluding the
      Residual Notes) then Outstanding exceeds 100.5% and the ratio of the Value
      of the Trust Estate to the Value of the Senior Notes then Outstanding
      exceeds 106%, or such other percentages that satisfy the Rating Agency
      Condition.

                  (iii) If less than all of the Notes of any class of the Series
      2002-2 Notes are to be redeemed, the Series 2002-2 Notes to be redeemed
      shall be selected by lot in such manner as the Indenture Trustee shall
      determine.

                  (iv) In case a Series 2002-2 Note is of a denomination larger
      than an Authorized Denomination, a portion of such Note (in an Authorized
      Denomination) may be redeemed. Upon surrender of any Series 2002-2 Note
      for redemption in part only, the Issuer shall execute and the Indenture
      Trustee shall authenticate and deliver to the Noteholder thereof, the cost
      of which shall be paid by the Issuer, a new Series 2002-2 Note or Series
      2002-2 Notes of the same series, maturity and of authorized denominations,
      in an aggregate principal amount equal to the unredeemed portion of the
      Series 2002-2 Note surrendered.

            Section 2.03 Delivery of Series 2002-2 Notes. Upon the execution and
delivery of this Supplemental Indenture, the Issuer shall execute and deliver to
the Indenture Trustee and the Indenture Trustee shall authenticate the Series
2002-2 Notes and deliver the Class A Notes and the Class B Notes to The
Depository Trust Company; provided, however, prior to the delivery by the
Indenture Trustee of any of the Series 2002-2 Notes, there shall have been filed
with or delivered to the Indenture Trustee the following:

            (a) An Issuer Order authorizing the execution and delivery of this
      Supplemental Indenture and the issuance of the Series 2002-2 Notes.

            (b) Duly executed copies of this Supplemental Indenture and a copy
      of the Indenture.

            (c) Rating letters from each Rating Agency confirming (i) that the
      Class A Notes have been rated "Aaa" by Moody's and "AAA" by Fitch and S&P
      and (ii) that the Class B Notes have been rated "A2" by Moody's and "A" by
      Fitch and S&P.

            Section 2.04 Trustee's Authentication Certificate. The Indenture
Trustee's authentication certificate upon the Series 2002-2 Notes shall be
substantially in the forms provided in Exhibits A-1 and A-2. No Series 2002-2
Note shall be secured hereby or entitled to the benefit hereof, or shall be
valid or obligatory for any purpose, unless a certificate of authentication,
substantially in such form, has been duly executed by the Indenture Trustee at
the written direction of the Issuer; and such certificate of the Indenture
Trustee upon any Series 2002-2 Note shall be conclusive evidence and the only
competent evidence that such Note has been authenticated and delivered
hereunder. The Indenture Trustee's certificate of authentication shall be deemed
to have been duly executed by it if manually signed by an authorized officer of
the Indenture Trustee, but it shall not be necessary that the same person sign
the certificate of authentication on all of the Series 2002-2 Notes issued
hereunder.

            Section 2.05 Deposit of Series 2002-2 Note Proceeds. Upon the
issuance and delivery of the Series 2002-2 Notes, the Indenture Trustee shall
deposit the net proceeds thereof (i.e., net of Underwriters' discount of
$721,700):

            (a) an amount equal to $203,500,000 shall be deposited to the
Acquisition Fund; and

            (b) an amount equal to $1,565,900 shall be deposited to the Reserve
Fund.

            Section 2.06 Excess Reserve Fund Amounts. On and after March 1,
2005, any amounts on deposit in the Reserve Fund, in excess of the Reserve Fund
Requirement, shall be transferred by the Indenture Trustee from the Reserve Fund
to the Revenue Fund for application on the next Payment Date.

            Section 2.07 Forms of Series 2002-2 Notes. The Series 2002-2 Notes
shall be in substantially the form set forth in Exhibit A-1 and A-2 hereto, each
with such variations, omissions and insertions as may be necessary.

            Section 2.08 Supplemental Indentures or Amendments without Consent
of Noteholders. In addition to the purposes set forth in Section 7.01 of the
Indenture, the Issuer and the Indenture Trustee may, without the consent of or
notice to any of the Noteholders or any holders of Obligations enter into any
indenture or indentures supplemental to the Indenture for the purpose of
correcting any typographical error or curing any ambiguity, or to cure, correct
or supplement any defective or inconsistent provision in the Indenture or in the
Notes.

                                   ARTICLE III

                               GENERAL PROVISIONS

            Section 3.01 Date of Execution. This Supplemental Indenture for
convenience and for the purpose of reference is dated as of November 20, 2002.

            Section 3.02 Laws Governing. It is the intent of the parties hereto
that this Supplemental Indenture shall in all respects be governed by the laws
of the State of New York.

            Section 3.03 Severability. If any covenant, agreement, waiver, or
part thereof in this Supplemental Indenture contained be forbidden by any
pertinent law or under any pertinent law be effective to render this
Supplemental Indenture invalid or unenforceable or to impair the lien hereof,
then each such covenant, agreement, waiver, or part thereof shall itself be and
is hereby declared to be wholly ineffective, and this Supplemental Indenture
shall be construed as if the same were not included herein.

            Section 3.04 Exhibits and Appendices. The terms of each Exhibit and
Appendix attached to this Supplemental Indenture are incorporated herein in all
particulars.

                                   ARTICLE IV

                           APPLICABILITY OF INDENTURE

            The provisions of the Indenture are hereby ratified, approved and
confirmed, except as otherwise expressly modified by this Supplemental
Indenture. The representations, warranties and covenants contained in the
Indenture (except as expressly modified herein) are hereby reaffirmed with the
same force and effect as if fully set forth herein and made again as of the date
hereof.

<PAGE>

            IN WITNESS WHEREOF, the Issuer has caused this Supplemental
Indenture to be executed in its name and on its behalf by the Administrator and
the Indenture Trustee, to evidence its acceptance of the trusts hereby created,
has caused this Supplemental Indenture to be executed in its name and behalf,
all in multiple counterparts, each of which shall be deemed an original, and the
Issuer and the Indenture Trustee have caused this Supplemental Indenture to be
dated as of the date herein above first shown, although actually executed on the
dates shown in the acknowledgments hereafter appearing.

                                    SLC STUDENT LOAN TRUST-I

                                    By:   THE STUDENT LOAN CORPORATION,
                                          as Administrator,

                                    By:  /s/  Steven J. Gorey
                                       -----------------------------------------
                                       Name:  Steven J. Gorey
                                       Title: Chief Financial Officer

                                    DEUTSCHE BANK TRUST COMPANY AMERICAS, not
                                       in its individual capacity but solely
                                       as Indenture Trustee

                                    By: /s/   Eileen Hughes
                                       -----------------------------------------
                                       Name:  Eileen Hughes
                                       Title: Vice President

<PAGE>

                                   APPENDIX A

                         CERTAIN TERMS AND PROVISIONS OF
                           THE AUCTION RATE SECURITIES

                                    ARTICLE I

                                   DEFINITIONS

            Except as provided below in this Section, all terms which are
defined in Appendix A of the Indenture and Article I of this Supplemental
Indenture shall have the same meanings, respectively, in this Appendix A as such
terms are given in the Indenture and Article I of this Supplemental Indenture.
In addition, the following terms shall have the following respective meanings:

            "All Hold Rate" shall mean the Applicable LIBOR Rate less .20%;
provided, that in no event shall the applicable All Hold Rate be greater than
the applicable Maximum Rate.

            "Applicable LIBOR Rate" means, (a) for Auction Periods of 35 days or
less, One-Month LIBOR, (b) for Auction Periods of more than 35 days but less
than 91 days, Three-Month LIBOR, (c) for Auction Periods of more than 90 days
but less than 181 days, Six-Month LIBOR, and (d) for Auction Periods of more
than 180 days, One-Year LIBOR.

            "Auction" shall mean the implementation of the Auction Procedures on
an Auction Date.

            "Auction Agent" shall mean the Initial Auction Agent under the
Initial Auction Agent Agreement unless and until a Substitute Auction Agent
Agreement becomes effective, after which "Auction Agent" shall mean the
Substitute Auction Agent.

            "Auction Agent Agreement" shall mean the Initial Auction Agent
Agreement unless and until a Substitute Auction Agent Agreement is entered into,
after which "Auction Agent Agreement" shall mean such Substitute Auction Agent
Agreement.

            "Auction Agent Fee" has the meaning set forth in the Auction Agent
Agreement.

            "Auction Date" shall mean, initially, December 12, 2002 with respect
to the Class A-5 Notes, December 19, 2002 with respect to the Class A-6 Notes,
December 16, 2002 with respect to the Class A-7 Notes, and December 19, 2002
with respect to the Class B-2 Notes, and thereafter, the Business Day
immediately preceding the first day of each Auction Period for each respective
Class, other than:

            (a) each Auction Period commencing after the ownership of the
      applicable Auction Rate Securities is no longer maintained in Book-Entry
      Form by the Securities Depository;

            (b) each Auction Period commencing after and during the continuance
      of a Payment Default; or

            (c) each Auction Period commencing less than two Business Days after
      the cure or waiver of a Payment Default.

Notwithstanding the foregoing, the Auction Date for one or more Auction Periods
may be changed pursuant to Section 2.02(h) of this Appendix A.

            "Auction Note Interest Rate" shall mean each variable rate of
interest per annum borne by Auction Rate Securities for each Auction Period
determined in accordance with the provisions of Sections 2.01 and 2.02 of this
Appendix A; provided, however, that in the event of a Payment Default, the
Auction Note Interest Rate shall equal the applicable Non-Payment Rate;
provided, further, however, that such Auction Note Interest Rate shall in no
event exceed the lesser of the Net Loan Rate and the Maximum Rate.

            "Auction Period" shall mean the Interest Period applicable to the
Auction Rate Securities during which time the Interest Rate is determined
pursuant to Section 2.02(a) of this Appendix A, which Auction Period (after the
Initial Period for such Class) initially shall consist generally of 28 days for
the Class A-5 Notes, the Class A-6 Notes, the Class A-7 Notes and the Class B-2
Notes, as the same may be adjusted pursuant to Section 2.02(g) of this Appendix
A.

            "Auction Period Adjustment" shall mean an adjustment to the Auction
Period as provided in Section 2.02(g) of this Appendix A.

            "Auction Procedures" shall mean the procedures set forth in Section
2.02(a) of this Appendix A by which the Auction Rate is determined.

            "Auction Rate" shall mean the rate of interest per annum that
results from implementation of the Auction Procedures and is determined as
described in Section 2.02(a)(iii)(B) of this Appendix A.

            "Auction Rate Securities" shall mean, collectively, the Class A
Notes and the Class B Notes.

            "Authorized Denominations" shall mean $25,000 and any integral
multiple thereof.

            "Available Auction Rate Securities" has the meaning set forth in
Section 2.02(a)(iii)(A)(1) of this Appendix A.

            "Bid" has the meaning set forth in Section 2.02(a)(i)(A) of this
Appendix A.

            "Bid Auction Rate" has the meaning set forth in Section
2.02(a)(iii)(A)(3) of this Appendix A.

            "Bidder" has the meaning set forth in Section 2.02(a)(i)(A) of this
Appendix A.

            "Book-Entry Form" or "Book-Entry System" shall mean a form or system
under which (a) the beneficial right to principal and interest may be
transferred only through a book entry, (b) physical securities in registered
form are issued only to a Securities Depository or its nominee as Noteholder,
with the securities "immobilized" to the custody of the Securities Depository,
and (c) the book entry is the record that identifies the owners of beneficial
interests in that principal and interest.

            "Broker-Dealer" shall mean, Salomon Smith Barney Inc., Merrill Lynch
& Co. or any other broker or dealer (each as defined in the Securities Exchange
Act), commercial bank or other entity permitted by law to perform the functions
required of a Broker-Dealer set forth in the Auction Procedures that (a) is a
participant (or an affiliate of a participant), (b) has been appointed as such
by the Issuer pursuant to Section 2.02(f) of this Appendix A, and (c) has
entered into a Broker-Dealer Agreement that is in effect on the date of
reference.

            "Broker-Dealer Agreements" shall mean the agreements between the
Auction Agent and the Broker-Dealers, and approved by the Issuer, pursuant to
which the Broker-Dealers agree to participate in Auctions as set forth in the
Auction Procedures, as from time to time amended or supplemented. The
Broker-Dealer Agreements shall be in substantially the form of the Broker-Dealer
Agreements, dated as of November 20, 2002 among the Issuer, Deutsche Bank Trust
Company Americas (formerly known as Bankers Trust Company), as Auction Agent,
and the Broker-Dealers.

            "Broker-Dealer Fee" has the meaning set forth in the Auction Agent
Agreement.

            "Business Day" shall mean any day other than a Saturday, Sunday,
holiday or day on which banks located in the City of New York, New York, or the
New York Stock Exchange, the Indenture Trustee or the Auction Agent, are
authorized or permitted by law or executive order to close or such other date as
may be agreed to in writing by the Auction Agent, the Broker-Dealers and the
Issuer.

            "Cap Rate" shall mean, with respect to any Interest Period
applicable to the Auction Rate Securities, the lesser of (i) the applicable
Maximum Rate and (ii) the Net Loan Rate in effect for such Interest Period.

            "Carry-over Amount" shall mean, for any Interest Period during which
interest is calculated at the Net Loan Rate, the excess, if any, of (a) the
amount of interest on an Auction Rate Security that would have accrued with
respect to the related Interest Period at the lesser of (i) the applicable
Auction Rate and (ii) the Maximum Rate over (b) the amount of interest on such
Auction Rate Security actually accrued with respect to such Auction Rate
Security with respect to such Interest Period based on the Net Loan Rate,
together with the unreduced portion of any such excess from prior Interest
Periods; provided that any reference to "principal" or "interest" in the
Supplemental Indenture and in this Appendix A and the Auction Rate Securities
shall not include within the meanings of such words any Carry-over Amount or any
interest accrued on any Carry-over Amount.

            "Closing Date" shall mean the Date of Issuance of the Auction Rate
Securities (November 20, 2002).

            "Commercial Paper Rate (90-day)" shall mean the rate determined at
the end of each calendar quarter using the daily average of that quarter's bond
equivalent 3-Month Financial Commercial Paper rates. The daily bond equivalent
rates are calculated from the 3-Month Financial Commercial Paper discount rates
published in the Federal Reserve's H.15 report. On weekends, holidays, and any
other day when no H.15 rates are available, the rate from the most recent
published date is used.

            "Effective Interest Rate" shall mean, with respect to any Financed
Student Loan, the interest rate per annum payable by the borrower as of the last
day of the calendar quarter borne by such Financed Student Loan after giving
effect to any reduction in such interest rate pursuant to borrower incentives,
(a) less all accrued rebate fees on such Financed Student Loan constituting
Consolidation Loans paid during such calendar quarter expressed as a percentage
per annum and (b) plus all accrued Interest Benefit Payments and Special
Allowance Payments applicable to such Financed Student Loan during such calendar
quarter expressed as a percentage per annum.

            "Eligible Carry-Over Make-Up Amount" shall mean, with respect to
each Interest Period relating to the Auction Rate Securities as to which, as of
the first day of such Interest Period, there is any unpaid Carry-over Amount, an
amount equal to the lesser of (a) interest computed on the principal balance of
the Auction Rate Securities in respect to such Interest Period at a per annum
rate equal to the excess, if any, of the Net Loan Rate over the Auction Rate,
together with the unreduced portion of any such excess from prior Interest
Periods and (b) the aggregate Carry-over Amount remaining unpaid as of the first
day of such Interest Period together with interest accrued and unpaid thereon
through the end of such Interest Period.

            "Existing Owner" shall mean (a) with respect to and for the purpose
of dealing with the Auction Agent in connection with an Auction, a Person who is
a Broker-Dealer listed in the Existing Owner Registry at the close of business
on the Business Day immediately preceding the Auction Date for such Auction and
(b) with respect to and for the purpose of dealing with the Broker-Dealers in
connection with an Auction, a Person who is a beneficial owner of Auction Rate
Securities.

            "Existing Owner Registry" shall mean the registry of Persons who are
owners of the Auction Rate Securities, maintained by the Auction Agent as
provided in the Auction Agent Agreement.

            "Hold Order" has the meaning set forth in Section 2.02(a)(i)(A) of
this Appendix A.

            "Initial Auction Agent" shall mean Deutsche Bank Trust Company
Americas (formerly known as Bankers Trust Company), a New York banking
corporation, its successors and assigns.

            "Initial Auction Agent Agreement" shall mean, collectively, the
Auction Agent Agreement dated as of November 20, 2002, by and among the Issuer,
the Indenture Trustee and the Initial Auction Agent, including any amendment
thereof or supplement thereto.

            "Initial Period" shall mean, as to Auction Rate Securities, the
period commencing on the Closing Date and continuing through the day immediately
preceding the Initial Rate Adjustment Date for such Auction Rate Securities.

            "Initial Rate" shall mean 1.479% for the Class A-5 Notes, 1.450% for
the Class A-6 Notes, 1.450% for the Class A-7 Notes and 1.590% for the Class B-2
Notes.

            "Initial Rate Adjustment Date" shall mean, with respect to the Class
A-5 Notes, December 13, 2002; with respect to the Class A-6 Notes, December 20,
2002; with respect to the Class A-7 Notes, December 17, 2002; and with respect
to the Class B-2 Notes, December 20, 2002.

            "Interest Period" shall mean, with respect to the Auction Rate
Securities, the Initial Period and each period commencing on an Interest Rate
Adjustment Date for such Class and ending on the day before (a) the next
Interest Rate Adjustment Date for such Class or (b) the Stated Maturity of such
Class, as applicable.

            "Interest Rate Adjustment Date" shall mean the date on which an
Auction Note Interest Rate is effective, and shall mean, with respect to the
Auction Rate Securities, the date of commencement of each Auction Period.

            "Interest Rate Determination Date" shall mean, with respect to the
Auction Rate Securities, the Auction Date, or if no Auction Date is applicable
to such Class, the Business Day immediately preceding the date of commencement
of an Auction Period.

            "Maximum Rate" means the least of (a) either (i) the Applicable
LIBOR Rate plus 1.50% (if the ratings assigned by Moody's, S&P and Fitch to the
Auction Rate Securities are "Aaa," "AAA" and "AAA," respectively, or better) or
(ii) the Applicable LIBOR Rate plus 2.50% (if any one of the ratings assigned by
Moody's, S&P and Fitch to the Auction Rate Securities is less than "Aaa," "AAA"
and "AAA," respectively, and greater than or equal to "A3," "A-" and "A-,"
respectively), or (iii) the Applicable LIBOR Rate plus 3.50% (if any one of the
ratings assigned by Moody's, S&P and Fitch to the Auction Rate Securities is
less than "A3," "A-" and "A-" respectively), (b) 18% and (c) the highest rate
the Issuer may legally pay, from time to time, as interest on the Auction Rate
Securities. For purposes of the Auction Agent and the Auction Procedures, the
ratings referred to in this definition shall be the last ratings of which the
Auction Agent has been given written notice pursuant to the Auction Agent
Agreement.

            "Net Loan Rate" shall mean, with respect to any Interest Period
applicable to the Auction Rate Securities, the greater of (a) the rate of
interest per annum (rounded to the next highest one one-hundredth of one
percent) equal to the applicable Commercial Paper Rate (90-day) plus 0.70% or
(b) the rate of interest per annum (rounded to the next highest one-hundredth of
one percent) equal to (i) the weighted average Effective Interest Rate of the
Financed Student Loans for the calendar quarter immediately preceding such
Interest Period, as determined by the Issuer on the last day of such calendar
quarter, less (ii) the Program Expense Percentage, as determined by the Issuer
on the last day of each calendar year. In making the determinations in (b)(i)
and (ii) of this definition of "Net Loan Rate," the Issuer shall take into
account as an increase to such Net Loan Rate the receipt of any Reciprocal
Payment and as a decrease to any Issuer Derivative Payment. The determinations
made by the Issuer in (b)(i) and (ii) of this definition of "Net Loan Rate"
shall be given in writing to the Auction Agent, the Indenture Trustee and the
Broker-Dealers immediately upon their respective calculation dates. The Issuer
shall have no obligation to compute any component of the Net Loan Rate except on
an applicable Auction Date on which the Auction Rate is equal to the Maximum
Rate.

            "Non-Payment Rate" shall mean One-Month LIBOR plus 1.50%.

            "One-Month LIBOR," "Three-Month LIBOR," "Six-Month LIBOR" or
"One-Year LIBOR," shall mean the offered rate, as determined by the Auction
Agent or Indenture Trustee, as applicable, of the Applicable LIBOR Based Rate
for United States dollar deposits which appears on Telerate Page 3750, as
reported by Bloomberg Financial Markets Commodities News (or such other page as
may replace Telerate Page 3750 for the purpose of displaying comparable rates)
as of approximately 11:00 a.m., London time, on the LIBOR Determination Date;
provided, that if on any calculation date, no rate appears on Telerate Page 3750
as specified above, the Auction Agent or Indenture Trustee, as applicable, shall
determine the arithmetic mean of the offered quotations of four major banks in
the London interbank market, for deposits in United States dollars for the
respective periods specified above to the banks in the London interbank market
as of approximately 11:00 a.m., London time, on such calculation date and in a
principal amount of not less than $1,000,000 that is representative of a single
transaction in such market and at such time, unless fewer than two such
quotations are provided, in which case, the Applicable LIBOR Based Rate shall be
the arithmetic mean of the offered quotations that leading banks in New York
City selected by the Auction Agent or Indenture Trustee, as applicable, are
quoting on the relevant LIBOR Determination Date for loans in United States
dollars to leading European banks in a principal amount of not less than
$1,000,000 that is representative of a single transaction in such market at such
time. All percentages resulting from such calculations shall be rounded upwards,
if necessary, to the nearest one-hundredth of one percent.

            "Order" has the meaning set forth in Section 2.02(a)(i)(A) of this
Appendix A.

            "Payment Date" shall mean (a) so long as Auction Rate Securities
bear interest at an Auction Note Interest Rate for an Interest Period of not
greater than 180 days, the Business Day immediately following the expiration of
the Initial Period for such Auction Rate Securities, and each related Auction
Period thereafter and (b) if and for so long as Auction Rate Securities bear
interest at an Auction Note Interest Rate for an Interest Period of greater than
180 days, each January 1 and June 1 for such Auction Rate Securities.

            "Payment Default" shall mean, with respect to the Auction Rate
Securities, (a) a default in the due and punctual payment of any installment of
interest on such Auction Rate Securities, or (b) a default in the due and
punctual payment of any interest on and principal of such Auction Rate
Securities at their maturity.

            "Potential Owner" shall mean any Person (including an Existing Owner
that is (a) a Broker-Dealer when dealing with the Auction Agent and (b) a
potential beneficial owner when dealing with a Broker-Dealer) who may be
interested in acquiring Auction Rate Securities (or, in the case of an Existing
Owner thereof, an additional principal amount of Auction Rate Securities).

            "Program Expense Percentage" shall mean, the percentage that all
Program Expenses (other than Consolidation Loan rebate fees) estimated for the
next 12 months represent of the principal amount of the Notes (other than the
Residual Notes), which as of November 20, 2002 is 0.75%, and which the Issuer
shall calculate annually on the last day of each calendar year. Any adjustment
in the Program Expense Percentage shall be effective beginning on the first
Interest Rate Determination Date following each such calculation.

            "PSA" shall mean the Public Securities Association, its successors
and assigns.

            "Regular Record Date" shall mean the Business Day next preceding the
applicable Auction Date.

            "S&P" shall mean Standard & Poor's Ratings Services, a Division of
The McGraw-Hill Companies, Inc., its successors and assigns.

            "Sell Order" has the meaning set forth in Section 2.02(a)(i)(A) of
this Appendix A.

            "Submission Deadline" shall mean 1:00 p.m., eastern time, on any
Auction Date or such other time on any Auction Date by which the Broker-Dealers
are required to submit Orders to the Auction Agent as specified by the Auction
Agent from time to time.

            "Submitted Bid" has the meaning set forth in Section 2.02(a)(iii)(A)
of this Appendix A.

            "Submitted Hold Order" has the meaning set forth in Section
2.02(a)(iii)(A) of this Appendix A.

            "Submitted Order" has the meaning set forth in Section
2.02(a)(iii)(A) of this Appendix A.

            "Submitted Sell Order" has the meaning set forth in Section
2.02(a)(iii)(A) of this Appendix A.

            "Substitute Auction Agent" shall mean the Person with whom the
Issuer and the Indenture Trustee enter into a Substitute Auction Agent
Agreement.

            "Substitute Auction Agent Agreement" shall mean an auction agent
agreement containing terms substantially similar to the terms of the Initial
Auction Agent Agreement, whereby a Person having the qualifications required by
Section 2.02(e) of this Appendix A agrees with the Indenture Trustee and the
Issuer to perform the duties of the Auction Agent under this Appendix A.

            "Sufficient Bids" has the meaning set forth in Section
2.02(a)(iii)(A) of this Appendix A.

            "Variable Rate" shall mean the variable rate of interest per annum,
including the Initial Rate, borne by each Class of Auction Rate Securities
during the Initial Period for such Class, and each Interest Period thereafter as
such rate of interest is determined in accordance with the provisions of Article
II of this Appendix A.

                                   ARTICLE II

                               TERMS AND ISSUANCE

            Section 2.01 Auction Rate and Carry-Over Amounts. During the Initial
Period, each Class of Auction Rate Securities shall bear interest at the Initial
Rate for such Class. Thereafter, and except with respect to an Auction Period
Adjustment, the Auction Rate Securities shall bear interest at an Auction Note
Interest Rate based on a 28-day Auction Period for the Auction Rate Securities,
as determined pursuant to this Section 2.01 and Section 2.02 of this Appendix A.

            For the Auction Rate Securities during the Initial Period and each
Auction Period thereafter, interest at the applicable Auction Rate Securities
Interest Rate shall accrue daily and shall be computed for the actual number of
days elapsed on the basis of a year consisting of 360 days.

            The Auction Note Interest Rate to be borne by the Auction Rate
Securities after such Initial Period for each Auction Period until an Auction
Period Adjustment, if any, shall be determined as described below. Each such
Auction Period after the Initial Period shall commence on and include the day
following the expiration of the immediately preceding Auction Period and
terminate on and include the third Business Day of the following fourth week in
the case of the Class A-5 Notes, the Class A-6 Notes, the Class A-7 Notes and
the Class B-2 Notes; provided, however, that in the case of the Auction Period
that immediately follows the Initial Period for the Auction Rate Securities,
such Auction Period shall commence on the Initial Rate Adjustment Date. The
Auction Note Interest Rate of the Auction Rate Securities for each Auction
Period shall be the Auction Rate in effect for such Auction Period as determined
in accordance with Section 2.02(a) of this Appendix A; provided that, if on any
Interest Rate Determination Date, an Auction is not held for any reason, then
the Auction Note Interest Rate on such Auction Rate Securities for the next
succeeding Auction Period shall be the applicable Cap Rate.

            Notwithstanding the foregoing:

            (a) if the ownership of an Auction Rate Security is no longer
      maintained in Book-Entry Form, the Auction Note Interest Rate on the
      Auction Rate Securities for any Interest Period commencing after the
      delivery of certificates representing Auction Rate Securities pursuant to
      this Supplemental Indenture shall equal the Cap Rate; or

            (b) if a Payment Default shall have occurred, the Auction Note
      Interest Rate on the Auction Rate Securities for the Interest Period
      commencing on or immediately after such Payment Default, and for each
      Interest Period thereafter, to and including the Interest Period, if any,
      during which, or commencing less than two Business Days after, such
      Payment Default is cured, shall equal the applicable Non-Payment Rate on
      the first day of each such Interest Period.

            In accordance with Section 2.02(a)(iii)(B) and (C) of this Appendix
A, the Auction Agent shall promptly give written notice to the Indenture Trustee
and the Issuer of each Auction Note Interest Rate (unless the Auction Note
Interest Rate is the applicable Non-Payment Rate) and the Maximum Rate when such
rate is not the Auction Note Interest Rate, applicable to the Auction Rate
Securities. The Indenture Trustee shall, upon request, notify the Noteholders
and the Issuer of Auction Rate Securities of the applicable Auction Note
Interest Rate applicable to such Auction Rate Securities for each Auction Period
not later than the third Business Day of such Auction Period. Notwithstanding
any other provision of the Auction Rate Securities or this Supplemental
Indenture and except for the occurrence of a Payment Default, interest payable
on the Auction Rate Securities for an Auction Period shall never exceed for such
Auction Period the amount of interest payable at the applicable Maximum Rate in
effect for such Auction Period.

            If the Auction Rate for the Auction Rate Securities is greater than
the Net Loan Rate, and the Net Loan Rate is less than the applicable Maximum
Rate, the Issuer shall determine the Carry-over Amount, if any, with respect to
such Auction Rate Securities for such interest period.

            Such Carry-over Amount shall bear interest calculated at a rate
equal to One-Month LIBOR (as determined by the Issuer, provided the Indenture
Trustee has received notice of One-Month LIBOR from the Issuer, and if the
Indenture Trustee shall not have received such notice from the Issuer, then as
determined by the Indenture Trustee) from the Payment Date for the Interest
Period with respect to which such Carry-over Amount was calculated, until paid.
Any payment in respect of Carry-over Amount shall be applied, first, to any
accrued interest payable thereon and, second, in reduction of such Carry-over
Amount. For purposes of this Supplemental Indenture and this Appendix A, any
reference to "principal" or "interest" herein shall not include within the
meaning of such words Carry-over Amount or any interest accrued on any such
Carry-over Amount. Such Carry-over Amount shall be separately calculated for
each Auction Rate Security by the Issuer during such Interest Period in
sufficient time for the Indenture Trustee to give notice to each Noteholder of
such Carry-over Amount as required in the next succeeding sentence. Not less
than four days before the Payment Date for an Interest Period with respect to
which such Carry-over Amount has been calculated by the Issuer, the Indenture
Trustee shall give written notice to each Noteholder, the Auction Agent and the
Issuer, in the form provided by the Issuer, of the Carry-over Amount applicable
to each Auction Rate Security, which written notice may accompany the payment of
interest made to the Noteholder on such Payment Date. Such notice shall state,
in addition to such Carry-over Amount, that, unless and until an Auction Rate
Security has been redeemed (other than by optional redemption), after which all
accrued Carry-over Amounts (and all accrued interest thereon) that remains
unpaid shall be canceled and no Carry-over Amount (and interest accrued thereon)
shall be paid with respect to such Auction Rate Security, (a) the Carry-over
Amount (and interest accrued thereon calculated at a rate equal to One-Month
LIBOR) shall be paid by the Indenture Trustee pursuant to an Issuer Order on an
Auction Rate Security on the earliest of (i) the date of defeasance of the
Auction Rate Securities or (ii) the first occurring Payment Date with respect to
the Auction Rate Security (or on the date of any such optional redemption) if
and to the extent that (A) the Eligible Carry-over Make-Up Amount with respect
to such subsequent Interest Period is greater than zero, and (B) moneys are
available pursuant to the terms of the Indenture in an amount sufficient to pay
all or a portion of such Carry-over Amount (and interest accrued thereon), and
(b) interest shall accrue on the Carry-over Amount at a rate equal to One-Month
LIBOR until such Carry-over Amount is paid in full or is cancelled.

            The Carry-over Amount (and interest accrued thereon) for Auction
Rate Securities shall be paid by the Indenture Trustee pursuant to an Issuer
Order on Outstanding Auction Rate Securities on the earliest of (a) the date of
defeasance of any of the Auction Rate Securities or (b) the first occurring
Payment Date if and to the extent that (i) the Eligible Carry-over Make-Up
Amount with respect to such Interest Period is greater than zero, and (ii) on
such Payment Date there are sufficient moneys in the Revenue Fund to pay all
interest due on the Auction Rate Securities on such Payment Date, to redeem any
Auction Rate Securities required to be redeemed on such Payment Date in
accordance with the Indenture and to fund amounts required to be added to the
Reserve Fund on such Payment Date. Any Carry-over Amount (and any interest
accrued thereon) on any Auction Rate Security which is due and payable on an
Payment Date, which Auction Rate Security is to be redeemed (other than by
optional redemption) on said Payment Date, shall be paid to the Noteholder
thereof on said Payment Date to the extent that moneys are available therefor in
accordance with the provisions of this Appendix A; provided, however, that any
Carry-over Amount (and any interest accrued thereon) which is not yet due and
payable on said Payment Date shall be cancelled with respect to said Auction
Rate Security that is to be redeemed (other than by optional redemption) on said
Payment Date and shall not be paid on any succeeding Payment Date. To the extent
that any portion of the Carry-over Amount (and any interest accrued thereon)
remains unpaid after payment of a portion thereof, such unpaid portion shall be
paid in whole or in part as required hereunder until fully paid by the Indenture
Trustee on the earliest of (a) the date of defeasance of any of the Auction Rate
Securities or (b) the next occurring Payment Date or Dates, as necessary, if and
to the extent that the conditions in the second preceding sentence are
satisfied. On any Payment Date on which the Indenture Trustee pays only a
portion of the Carry-over Amount (and any interest accrued thereon) on Auction
Rate Securities, the Indenture Trustee shall give written notice in the manner
set forth in the immediately preceding paragraph to the Noteholder of such
Auction Rate Security receiving such partial payment of the Carry-over Amount
remaining unpaid on such Auction Rate Security.

            The Payment Date or other date on which such Carry-over Amount (or
any interest accrued thereon) for Auction Rate Securities shall be paid shall be
determined by the Indenture Trustee in accordance with the provisions of the
immediately preceding paragraph and the Indenture, and the Indenture Trustee
shall make payment of the Carry-over Amount (and any interest accrued thereon)
in the same manner as, and from the same fund from which, it pays interest on
the Auction Rate Securities on an Payment Date. Any payment of Carry-over
Amounts (and interest accrued thereon) shall reduce the amount of Eligible
Carry-over Make-up Amount.

            In the event that the Auction Agent no longer determines, or fails
to determine, when required, the Auction Note Interest Rate with respect to
Auction Rate Securities, or, if for any reason such manner of determination
shall be held to be invalid or unenforceable, the Auction Note Interest Rate for
the next succeeding Interest Period, which Interest Period shall be an Auction
Period, for Auction Rate Securities shall be the applicable Cap Rate as
determined by the Auction Agent for such next succeeding Auction Period, and if
the Auction Agent shall fail or refuse to determine the Cap Rate, the Cap Rate
shall be determined by the securities dealer appointed by the Issuer capable of
making such a determination in accordance with the provisions of this Appendix A
and written notice of such determination shall be given by such securities
dealer to the Indenture Trustee.

            Section 2.02 Auction Rate.

            (a) Determining the Auction Rate. By purchasing Auction Rate
Securities, whether in an Auction or otherwise, each purchaser of the Auction
Rate Securities, or its Broker-Dealer, must agree and shall be deemed by such
purchase to have agreed (x) to participate in Auctions on the terms described
herein, (y) to have its beneficial ownership of the Auction Rate Securities
maintained at all times in Book-Entry Form for the account of its participant,
which in turn will maintain records of such beneficial ownership and (z) to
authorize such participant to disclose to the Auction Agent such information
with respect to such beneficial ownership as the Auction Agent may request.

            So long as the ownership of Auction Rate Securities is maintained in
Book-Entry Form by the Securities Depository, an Existing Owner may sell,
transfer or otherwise dispose of Auction Rate Securities only pursuant to a Bid
or Sell Order placed in an Auction or otherwise sell, transfer or dispose of
Auction Rate Securities through a Broker-Dealer, provided that, in the case of
all transfers other than pursuant to Auctions, such Existing Owner, its
Broker-Dealer or its participant advises the Auction Agent of such transfer.
Auctions shall be conducted on each Auction Date, if there is an Auction Agent
on such Auction Date, in the following manner:

               (i)(A) Prior to the Submission Deadline on each Auction Date;

                        (1) each Existing Owner of Auction Rate Securities may
                  submit to a Broker-Dealer by telephone or otherwise any
                  information as to:

                              a. the principal amount of Outstanding Auction
                        Rate Securities, if any, owned by such Existing Owner
                        which such Existing Owner desires to continue to own
                        without regard to the Auction Note Interest Rate for the
                        next succeeding Auction Period;

                              b. the principal amount of Outstanding Auction
                        Rate Securities, if any, which such Existing Owner
                        offers to sell if the Auction Note Interest Rate for the
                        next succeeding Auction Period shall be less than the
                        rate per annum specified by such Existing Owner; and/or

                              c. the principal amount of Outstanding Auction
                        Rate Securities, if any, owned by such Existing Owner
                        which such Existing Owner offers to sell without regard
                        to the Auction Note Interest Rate for the next
                        succeeding Auction Period;

                        and

                        (2) one or more Broker-Dealers may contact Potential
                  Owners to determine the principal amount of Auction Rate
                  Securities which each Potential Owner offers to purchase, if
                  the Auction Note Interest Rate for the next succeeding Auction
                  Period shall not be less than the rate per annum specified by
                  such Potential Owner.

            The statement of an Existing Owner or a Potential Owner referred to
in (1) or (2) of this paragraph (A) is herein referred to as an "Order," and
each Existing Owner and each Potential Owner placing an Order is herein referred
to as a "Bidder"; an Order described in clause (1)a. is herein referred to as a
"Hold Order"; an Order described in clauses (1)b. and (2) is herein referred to
as a "Bid"; and an Order described in clause (1)c. is herein referred to as a
"Sell Order."

                  (B) (1) Subject to the provisions of Section 2.02(a)(ii) of
            this Appendix A, a Bid by an Existing Owner shall constitute an
            irrevocable offer to sell:

                              a. the principal amount of Outstanding Auction
                        Rate Securities specified in such Bid if the Auction
                        Note Interest Rate determined as provided in this
                        Section 2.02(a) shall be less than the rate specified
                        therein; or

                              b. such principal amount, or a lesser principal
                        amount of Outstanding Auction Rate Securities to be
                        determined as set forth in Section 2.02(a)(iv)(A)(4) of
                        this Appendix A, if the Auction Note Interest Rate
                        determined as provided in this Section 2.02(a) shall be
                        equal to the rate specified therein; or

                              c. such principal amount, or a lesser principal
                        amount of Outstanding Auction Rate Securities to be
                        determined as set forth in Section 2.02(a)(iv)(B)(3) of
                        this Appendix A, if the rate specified therein shall be
                        higher than the applicable Maximum Rate and Sufficient
                        Bids have not been made.

                        (2) Subject to the provisions of Section 2.02(a)(ii) of
                  this Appendix A, a Sell Order by an Existing Owner shall
                  constitute an irrevocable offer to sell:

                              a. the principal amount of Outstanding Auction
                        Rate Securities specified in such Sell Order; or

                              b. such principal amount, or a lesser principal
                        amount of Outstanding Auction Rate Securities set forth
                        in Section 2.02(a)(iv)(B)(3) of this Appendix A, if
                        Sufficient Bids have not been made.

                        (3) Subject to the provisions of Section 2.02(a)(ii) of
                  this Appendix A, a Bid by a Potential Owner shall constitute
                  an irrevocable offer to purchase:

                              a. the principal amount of Outstanding Auction
                        Rate Securities specified in such Bid if the Auction
                        Note Interest Rate determined as provided in this
                        Section 2.02(a) shall be higher than the rate specified
                        in such Bid; or

                              b. such principal amount, or a lesser principal
                        amount of Outstanding Auction Rate Securities set forth
                        in Section 2.02(a)(iv)(A)(5) of this Appendix A, if the
                        Auction Note Interest Rate determined as provided in
                        this Section 2.02(a) shall be equal to the rate
                        specified in such Bid.

               (ii) (A) Each Broker-Dealer shall submit in writing to the
      Auction Agent prior to the Submission Deadline on each Auction Date all
      Orders obtained by such Broker-Dealer and shall specify with respect to
      each such Order:

                        (1) the name of the Bidder placing such Order;

                        (2) the aggregate principal amount of Auction Rate
                  Securities that are the subject of such Order;

                        (3) to the extent that such Bidder is an Existing Owner:

                              a. the principal amount of Auction Rate
                        Securities, if any, subject to any Hold Order placed by
                        such Existing Owner;

                              b. the principal amount of Auction Rate
                        Securities, if any, subject to any Bid placed by such
                        Existing Owner and the rate specified in such Bid; and

                              c. the principal amount of Auction Rate
                        Securities, if any, subject to any Sell Order placed by
                        such Existing Owner; and

                        (4) to the extent such Bidder is a Potential Owner, the
                  rate specified in such Potential Owner's Bid.

                  (B) If any rate specified in any Bid contains more than three
            figures to the right of the decimal point, the Auction Agent shall
            round such rate up to the next higher one thousandth of 1%.

                  (C) If an Order or Orders covering all Outstanding Auction
            Rate Securities owned by an Existing Owner is not submitted to the
            Auction Agent prior to the Submission Deadline, the Auction Agent
            shall deem a Hold Order to have been submitted on behalf of such
            Existing Owner covering the principal amount of Outstanding Auction
            Rate Securities owned by such Existing Owner and not subject to an
            Order submitted to the Auction Agent.

                  (D) Neither the Issuer, the Indenture Trustee nor the Auction
            Agent shall be responsible for any failure of a Broker-Dealer to
            submit an Order to the Auction Agent on behalf of any Existing Owner
            or Potential Owner.

                  (E) If any Existing Owner submits through a Broker-Dealer to
            the Auction Agent one or more Orders covering in the aggregate more
            than the principal amount of Outstanding Auction Rate Securities
            owned by such Existing Owner, such Orders shall be considered valid
            as follows and in the following order of priority:

                        (1) All Hold Orders shall be considered valid, but only
                  up to the aggregate principal amount of Outstanding Auction
                  Rate Securities owned by such Existing Owner, and if the
                  aggregate principal amount of Auction Rate Securities subject
                  to such Hold Orders exceeds the aggregate principal amount of
                  Auction Rate Securities owned by such Existing Owner, the
                  aggregate principal amount of Auction Rate Securities subject
                  to each such Hold Order shall be reduced pro rata so that the
                  aggregate principal amount of Auction Rate Securities subject
                  to such Hold Order equals the aggregate principal amount of
                  Outstanding Auction Rate Securities owned by such Existing
                  Owner.

                        (2) Any Bid shall be considered valid up to an amount
                  equal to the excess of the principal amount of Outstanding
                  Auction Rate Securities owned by such Existing Owner over the
                  aggregate principal amount of Auction Rate Securities subject
                  to any Hold Order referred to in clause (A) of this Section
                  2.02(a)(ii);

                              a. subject to subclause (1) of this clause (E), if
                        more than one Bid with the same rate is submitted on
                        behalf of such Existing Owner and the aggregate
                        principal amount of Outstanding Auction Rate Securities
                        subject to such Bids is greater than such excess, such
                        Bids shall be considered valid up to an amount equal to
                        such excess;

                              b. subject to subclauses (1) and (2) of this
                        clause (E), if more than one Bid with different rates
                        are submitted on behalf of such Existing Owner, such
                        Bids shall be considered valid first in the ascending
                        order of their respective rates until the highest rate
                        is reached at which such excess exists and then at such
                        rate up to the amount of such excess; and

                              c. in any such event, the amount of Outstanding
                        Auction Rate Securities, if any, subject to Bids not
                        valid under this clause (E) shall be treated as the
                        subject of a Bid by a Potential Owner at the rate
                        therein specified; and

                        (3) All Sell Orders shall be considered valid up to an
                  amount equal to the excess of the principal amount of
                  Outstanding Auction Rate Securities owned by such Existing
                  Owner over the aggregate principal amount of Auction Rate
                  Securities subject to Hold Orders referred to in clause (1) of
                  this paragraph (v) and valid Bids referred to in clause (2) of
                  this paragraph (E).

                  (F) If more than one Bid for Auction Rate Securities is
            submitted on behalf of any Potential Owner, each Bid submitted shall
            be a separate Bid with the rate and principal amount therein
            specified.

                  (G) An Existing Owner that offers to purchase additional
            Auction Rate Securities is, for purposes of such offer, treated as a
            Potential Owner.

                  (H) Any Bid or Sell Order submitted by an Existing Owner
            covering an aggregate principal amount of Auction Rate Securities
            not equal to an Authorized Denomination shall be rejected and shall
            be deemed a Hold Order. Any Bid submitted by a Potential Owner
            covering an aggregate principal amount of Auction Rate Securities
            not equal to an Authorized Denomination shall be rejected.

                  (I) Any Bid specifying a rate higher than the applicable
            Maximum Rate will (1) be treated as a Sell Order if submitted by an
            Existing Owner and (2) not be accepted if submitted by a Potential
            Owner.

                  (J) Any Order submitted in an Auction by a Broker-Dealer to
            the Auction Agent prior to the Submission Deadline on any Auction
            Date shall be irrevocable.

               (iii) (A) Not earlier than the Submission Deadline on each
      Auction Date, the Auction Agent shall assemble all valid Orders submitted
      or deemed submitted to it by the Broker-Dealers (each such Order as
      submitted or deemed submitted by a Broker-Dealer being herein referred to
      individually as a "Submitted Hold Order," a "Submitted Bid" or a
      "Submitted Sell Order," as the case may be, or as a "Submitted Order," and
      collectively as "Submitted Hold Orders," "Submitted Bids" or "Submitted
      Sell Orders," as the case may be, or as "Submitted Orders") and shall
      determine:

                        (1) the excess of the total principal amount of
                  Outstanding Auction Rate Securities over the sum of the
                  aggregate principal amount of Outstanding Auction Rate
                  Securities subject to Submitted Hold Orders (such excess being
                  herein referred to as the "Available Auction Rate
                  Securities"), and

                        (2)   from the Submitted Orders whether:

                              a. the aggregate principal amount of Outstanding
                        Auction Rate Securities subject to Submitted Bids by
                        Potential Owners specifying one or more rates equal to
                        or lower than the applicable Maximum Rate;

                  exceeds or is equal to the sum of:

                              b. the aggregate principal amount of Outstanding
                        Auction Rate Securities subject to Submitted Bids by
                        Existing Owners specifying one or more rates higher than
                        the applicable Maximum Rate; and

                              c. the aggregate principal amount of Outstanding
                        Auction Rate Securities subject to Submitted Sell
                        Orders;

                  (in the event such excess or such equality exists, other than
                  because all of the Outstanding Auction Rate Securities are
                  subject to Submitted Hold Orders, such Submitted Bids
                  described in subclause a. above shall be referred to
                  collectively as "Sufficient Bids"); and

                        (3) if Sufficient Bids exist, the "Bid Auction Rate",
                  which shall be the lowest rate specified in such Submitted
                  Bids such that if:

                              a. (x) each Submitted Bid from Existing Owners
                        specifying such lowest rate and (y) all other Submitted
                        Bids from Existing Owners specifying lower rates were
                        rejected, thus entitling such Existing Owners to
                        continue to own the principal amount of Auction Rate
                        Securities subject to such Submitted Bids; and

                              b. (x) each such  Submitted  Bid from  Potential
                        Owners  specifying  such lowest rate and (y) all other
                        Submitted Bids from Potential Owners  specifying lower
                        rates were accepted;

                  the result would be that such Existing Owners described in
                  subclause a. above would continue to own an aggregate
                  principal amount of Outstanding Auction Rate Securities which,
                  when added to the aggregate principal amount of Outstanding
                  Auction Rate Securities to be purchased by such Potential
                  Owners described in subclause b. above, would equal not less
                  than the Available Auction Rate Securities.

                  (B) Promptly after the Auction Agent has made the
            determinations pursuant to Section 2.02(a)(iii)(A) of this Appendix
            A, the Auction Agent shall advise the Indenture Trustee, the
            Broker-Dealers and the Issuer of the Net Loan Rate, Maximum Rate and
            the All Hold Rate and the components thereof on the Auction Date
            provided, however, the Auction Agent shall have no obligation to
            determine the Net Loan Rate except on any Auction Date on which the
            Auction Rate for the next succeeding Interest Period would exceed
            the applicable Commercial Paper Rate (90-day) plus 0.70% or
            Sufficient Bids do not exist for such Auction Date. Based on such
            determinations, the Auction Rate for the next succeeding Interest
            Period shall be established as follows:

                        (1) if Sufficient Bids exist, that the Auction Rate for
                  the next succeeding Interest Period shall be equal to the Bid
                  Auction Rate so determined;

                        (2) if Sufficient Bids do not exist (other than because
                  all of the Outstanding Auction Rate Securities are subject to
                  Submitted Hold Orders), that the Auction Rate for the next
                  succeeding Interest Period shall be equal to the applicable
                  Maximum Rate; or

                        (3) if all Outstanding Auction Rate Securities are
                  subject to Submitted Hold Orders, that the Auction Rate for
                  the next succeeding Interest Period shall be equal to the
                  applicable All Hold Rate.

                  (C) Promptly after the Auction Agent has determined the
            Auction Rate, the Auction Agent shall determine and advise the
            Indenture Trustee of the Auction Note Interest Rate, which rate
            shall be the least of (x) the Auction Rate, (y) the Net Loan Rate
            and (z) the applicable Maximum Rate.

               (iv) Existing Owners shall continue to own the principal amount
      of Auction Rate Securities that are subject to Submitted Hold Orders. If
      the Cap Rate is equal to or greater than the Bid Auction Rate and if
      Sufficient Bids have been received by the Auction Agent, the Bid Auction
      Rate shall be the Auction Note Interest Rate, and Submitted Bids and
      Submitted Sell Orders shall be accepted or rejected and the Auction Agent
      will take such other action as described below in subparagraph (A).

            If the Net Loan Rate is less than the Auction Rate, the Net Loan
Rate shall be the Auction Note Interest Rate unless the Auction Rate and the Net
Loan Rate are both greater than the applicable Maximum Rate, in which event the
Auction Note Interest Rate shall be equal to the applicable Maximum Rate. If the
Auction Agent has not received Sufficient Bids (other than because all of the
Outstanding Auction Rate Securities are subject to Submitted Hold Orders), the
Auction Note Interest Rate shall be the lesser of the Net Loan Rate and the
applicable Maximum Rate. In any of the cases described above, Submitted Orders
shall be accepted or rejected and the Auction Agent will take such other action
as described below in subparagraph (B).

                  (A) If Sufficient Bids have been made and the Maximum Rate is
            equal to or greater than the Bid Auction Rate (in which case the
            Auction Note Interest Rate shall be the Bid Auction Rate), all
            Submitted Sell Orders shall be accepted and, subject to the
            provisions of clauses (4) and (5) of this Section 2.02(a)(iv),
            Submitted Bids shall be accepted or rejected as follows in the
            following order of priority, and all other Submitted Bids shall be
            rejected:

                        (1) Existing Owners' Submitted Bids specifying any rate
                  that is higher than the Auction Note Interest Rate shall be
                  accepted, thus requiring each such Existing Owner to sell the
                  aggregate principal amount of Auction Rate Securities subject
                  to such Submitted Bids;

                        (2) Existing Owners' Submitted Bids specifying any rate
                  that is lower than the Auction Note Interest Rate shall be
                  rejected, thus entitling each such Existing Owner to continue
                  to own the aggregate principal amount of Auction Rate
                  Securities subject to such Submitted Bids;

                        (3) Potential Owners' Submitted Bids specifying any rate
                  that is lower than the Auction Note Interest Rate shall be
                  accepted;

                        (4) Each Existing Owners' Submitted Bid specifying a
                  rate that is equal to the Auction Note Interest Rate shall be
                  rejected, thus entitling such Existing Owner to continue to
                  own the aggregate principal amount of Auction Rate Securities
                  subject to such Submitted Bid, unless the aggregate principal
                  amount of Outstanding Auction Rate Securities subject to all
                  such Submitted Bids shall be greater than the principal amount
                  of Auction Rate Securities (the "remaining principal amount")
                  equal to the excess of the Available Auction Rate Securities
                  over the aggregate principal amount of Auction Rate Securities
                  subject to Submitted Bids described in clauses (2) and (3) of
                  this Section 2.02(a)(iv)(A), in which event such Submitted Bid
                  of such Existing Owner shall be rejected in part, and such
                  Existing Owner shall be entitled to continue to own the
                  principal amount of Auction Rate Securities subject to such
                  Submitted Bid, but only in an amount equal to the aggregate
                  principal amount of Auction Rate Securities obtained by
                  multiplying the remaining principal amount by a fraction, the
                  numerator of which shall be the principal amount of
                  Outstanding Auction Rate Securities owned by such Existing
                  Owner subject to such Submitted Bid and the denominator of
                  which shall be the sum of the principal amount of Outstanding
                  Auction Rate Securities subject to such Submitted Bids made by
                  all such Existing Owners that specified a rate equal to the
                  Auction Note Interest Rate, subject to the provisions of
                  Section 2.02(a)(iv)(D) of this Appendix A; and

                        (5) Each Potential Owner's Submitted Bid specifying a
                  rate that is equal to the Auction Note Interest Rate shall be
                  accepted, but only in an amount equal to the principal amount
                  of Auction Rate Securities obtained by multiplying the excess
                  of the aggregate principal amount of Available Auction Rate
                  Securities over the aggregate principal amount of Auction Rate
                  Securities subject to Submitted Bids described in clauses (2),
                  (3) and (4) of this Section 2.02(a)(iv)(A) by a fraction the
                  numerator of which shall be the aggregate principal amount of
                  Outstanding Auction Rate Securities subject to such Submitted
                  Bid and the denominator of which shall be the sum of the
                  principal amount of Outstanding Auction Rate Securities
                  subject to Submitted Bids made by all such Potential Owners
                  that specified a rate equal to the Auction Note Interest Rate,
                  subject to the provisions of Section 2.02(a)(iv)(D) of this
                  Appendix A.

                  (B) If Sufficient Bids have not been made (other than because
            all of the Outstanding Auction Rate Securities are subject to
            submitted Hold Orders), or if the Maximum Rate is less than the Bid
            Auction Rate (in which case the Auction Note Interest Rate shall be
            the Maximum Rate), subject to the provisions of Section
            2.02(a)(iv)(D) of this Appendix A, Submitted Orders shall be
            accepted or rejected as follows in the following order of priority
            and all other Submitted Bids shall be rejected:

                        (1) Existing Owners' Submitted Bids specifying any rate
                  that is equal to or lower than the Auction Note Interest Rate
                  shall be rejected, thus entitling such Existing Owners to
                  continue to own the aggregate principal amount of Auction Rate
                  Securities subject to such Submitted Bids;

                        (2) Potential Owners' Submitted Bids specifying (x) any
                  rate that is equal to or lower than the Auction Note Interest
                  Rate shall be accepted and (y) any rate that is higher than
                  the Auction Note Interest Rate shall be rejected; and

                        (3) each Existing Owner's Submitted Bid specifying any
                  rate that is higher than the Auction Note Interest Rate and
                  the Submitted Sell Order of each Existing Owner shall be
                  accepted, thus entitling each Existing Owner that submitted
                  any such Submitted Bid or Submitted Sell Order to sell the
                  Auction Rate Securities subject to such Submitted Bid or
                  Submitted Sell Order, but in both cases only in an amount
                  equal to the aggregate principal amount of Auction Rate
                  Securities obtained by multiplying the aggregate principal
                  amount of Auction Rate Securities subject to Submitted Bids
                  described in clause (2)(x) of this Section 2.02(a)(iv)(B) by a
                  fraction the numerator of which shall be the aggregate
                  principal amount of Outstanding Auction Rate Securities owned
                  by such Existing Owner subject to such submitted Bid or
                  Submitted Sell Order and the denominator of which shall be the
                  aggregate principal amount of Outstanding Auction Rate
                  Securities subject to all such Submitted Bids and Submitted
                  Sell Orders.

                  (C) If all Auction Rate Securities are subject to Submitted
            Hold Orders, all Submitted Bids shall be rejected.

                  (D) If, as a result of the procedures described in paragraph
            (A) or (B) of this Section 2.02(a)(iv), any Existing Owner would be
            entitled or required to sell, or any Potential Owner would be
            entitled or required to purchase, a principal amount of Auction Rate
            Securities that is not equal to an Authorized Denomination, the
            Auction Agent shall, in such manner as in its sole discretion it
            shall determine, round up or down the principal amount of Auction
            Rate Securities to be purchased or sold by any Existing Owner or
            Potential Owner so that the principal amount of Auction Rate
            Securities purchased or sold by each Existing Owner or Potential
            Owner shall be equal to an Authorized Denomination.

                  (E) If, as a result of the procedures described in paragraph
            (B) of this Section 2.02(a)(iv), any Potential Owner would be
            entitled or required to purchase less than an Authorized
            Denomination of Auction Rate Securities, the Auction Agent shall, in
            such manner as in its sole discretion it shall determine, allocate
            Auction Rate Securities for purchase among Potential Owners so that
            only Auction Rate Securities in Authorized Denominations are
            purchased by any Potential Owner, even if such allocation results in
            one or more of such Potential Owners not purchasing any Auction Rate
            Securities.

               (v)Based on the result of each Auction, the Auction Agent shall
      determine the aggregate principal amount of Auction Rate Securities to be
      purchased and the aggregate principal amount of Auction Rate Securities to
      be sold by Potential Owners and Existing Owners on whose behalf each
      Broker-Dealer submitted Bids or Sell Orders and, with respect to each
      Broker-Dealer, to the extent that such aggregate principal amount of
      Auction Rate Securities to be sold differs from such aggregate principal
      amount of Auction Rate Securities to be purchased, determine to which
      other Broker-Dealer or Broker-Dealers acting for one or more purchasers
      such Broker-Dealer shall deliver, or from which other Broker-Dealer or
      Broker-Dealers acting for one or more sellers such Broker-Dealer shall
      receive, as the case may be, Auction Rate Securities.

               (vi) Any calculation by the Auction Agent or the Indenture
      Trustee, as applicable, of the Auction Note Interest Rate, the Maximum
      Rate, the All Hold Rate, the Net Loan Rate and the Non-Payment Rate shall,
      in the absence of manifest error, be binding on all other parties.

               (vii) Notwithstanding anything in this Appendix A to the
      contrary, (A) no Auction for the Auction Rate Securities for an Auction
      Period of less than 180 days shall be held on any Auction Date hereunder
      on which there are insufficient moneys in the Revenue Fund to pay, or
      otherwise held by the Indenture Trustee under the Indenture and available
      to pay, the principal of and interest due on the Auction Rate Securities
      on the Payment Date immediately following such Auction Date, and (B) no
      Auction shall be held on any Auction Date hereunder during the continuance
      of a Payment Default. The Indenture Trustee shall promptly notify the
      Auction Agent of any such occurrence.

            (b) Application of Interest Payments for the Auction Rate
Securities.

               (i)The Indenture Trustee shall determine not later than 2:00
      p.m., eastern time, on the Business Day next succeeding an Payment Date,
      whether a Payment Default has occurred. If a Payment Default has occurred,
      the Indenture Trustee shall, not later than 2:15 p.m., eastern time, on
      such Business Day, send a notice thereof in substantially the form of
      Exhibit C attached hereto to the Auction Agent by telecopy or similar
      means and, if such Payment Default is cured, the Indenture Trustee shall
      immediately send a notice in substantially the form of Exhibit D attached
      hereto to the Auction Agent by telecopy or similar means.

               (ii) Not later than 2:00 p.m., eastern time, on each anniversary
      of the Closing Date, the Indenture Trustee shall pay to the Auction Agent,
      in immediately available funds out of amounts in the Revenue Fund, an
      amount equal to the Auction Agent Fee as set forth in the Auction Agent
      Agreement as set forth in the Servicer's Report. Not later than 2:00 p.m.,
      eastern time, on each Auction Date, the Indenture Trustee shall pay to the
      Auction Agent, in immediately available funds out of amounts in the
      Revenue Fund, an amount equal to the Broker-Dealer Fee as calculated in
      the Auction Agent Agreement. The Indenture Trustee shall, from time to
      time at the request of the Auction Agent and at the direction of an
      Authorized Officer, reimburse the Auction Agent for its reasonable
      expenses as provided in the Auction Agent Agreement, such expenses to be
      paid out of amounts in the Revenue Fund.

            (c) Calculation of Maximum Rate, All Hold Rate, Net Loan Rate,
Applicable LIBOR Rate, and Non-Payment Rate. The Auction Agent shall calculate
the applicable Maximum Rate, Net Loan Rate, Applicable LIBOR Rate, and All Hold
Rate, as the case may be, on each Auction Date and shall notify the Indenture
Trustee and the Broker-Dealers of the applicable Maximum Rate, Net Loan Rate,
Applicable LIBOR Rate, and All Hold Rate, as the case may be, as provided in the
Auction Agent Agreement; provided, that if the ownership of the Auction Rate
Securities is no longer maintained in Book-Entry Form, or if a Payment Default
has occurred, then the Indenture Trustee shall determine the applicable Maximum
Rate, Net Loan Rate, Applicable LIBOR Rate, All Hold Rate and Non-Payment Rate
for each such Interest Period. If the ownership of the Auction Rate Securities
is no longer maintained in Book-Entry Form by the Securities Depository, the
Indenture Trustee shall calculate the applicable Maximum Rate and the Net Loan
Rate on the Business Day immediately preceding the first day of each Interest
Period after the delivery of certificates representing the Auction Rate
Securities pursuant to the Indenture. If a Payment Default shall have occurred,
the Indenture Trustee shall calculate the Non-Payment Rate on the Interest Rate
Determination Date for (i) each Interest Period commencing after the occurrence
and during the continuance of such Payment Default and (ii) any Interest Period
commencing less than two Business Days after the cure of any Payment Default.
The determination by the Indenture Trustee or the Auction Agent, as the case may
be, of the applicable Maximum Rate, Net Loan Rate, Applicable LIBOR Rate, All
Hold Rate and Non-Payment Rate shall (in the absence of manifest error) be final
and binding upon all parties. If calculated or determined by the Auction Agent,
the Auction Agent shall promptly advise the Indenture Trustee of the applicable
Maximum Rate, Net Loan Rate, Applicable LIBOR Rate, and All Hold Rate.

            (d) Notification of Rates, Amounts and Payment Dates.

                  (i) By 12:00 noon, eastern time, on the Business Day following
      each Regular Record Date, the Indenture Trustee shall determine the
      aggregate amounts of interest distributable on the next succeeding Payment
      Date to the beneficial owners of Auction Rate Securities.

                  (ii) At least four days prior to any Payment Date, the
      Indenture Trustee shall:

                  (A) confirm with the Auction Agent, so long as no Payment
            Default has occurred and is continuing and the ownership of the
            Auction Rate Securities is maintained in Book-Entry Form by the
            Securities Depository, (1) the date of such next Payment Date and
            (2) the amount payable to the Auction Agent on the Auction Date
            pursuant to Section 2.02(b)(ii) of this Appendix A; and

                  (B) advise the Securities Depository, so long as the ownership
            of the Auction Rate Securities is maintained in Book-Entry Form by
            the Securities Depository, upon request, of the aggregate amount of
            interest distributable on such next Payment Date to the beneficial
            owners of each Class of the Auction Rate Securities.

            If any day scheduled to be an Payment Date shall be changed after
the Indenture Trustee shall have given the notice or confirmation referred to in
clause (i) of the preceding sentence, the Indenture Trustee shall, not later
than 11:15 a.m., eastern time, on the Business Day next preceding the earlier of
the new Payment Date or the old Payment Date, by such means as the Indenture
Trustee deems practicable, give notice of such change to the Auction Agent, so
long as no Payment Default has occurred and is continuing and the ownership of
the Auction Rate Securities is maintained in Book-Entry Form by the Securities
Depository.

            (e) Auction Agent.

                  (i) Deutsche Bank Trust Company Americas (formerly known as
      Bankers Trust Company) is hereby appointed as Initial Auction Agent to
      serve as agent for the Issuer in connection with Auctions. The Indenture
      Trustee and the Issuer will, and the Indenture Trustee is hereby directed
      to, enter into the Initial Auction Agent Agreement with Deutsche Bank
      Trust Company Americas (formerly known as Bankers Trust Company), as the
      Initial Auction Agent. Any Substitute Auction Agent shall be (A) a bank,
      national banking association or trust company duly organized under the
      laws of the United States of America or any state or territory thereof
      having its principal place of business in the Borough of Manhattan, New
      York, or such other location as approved by the Indenture Trustee in
      writing and having a combined capital stock or surplus of at least
      $50,000,000, or (B) a member of the National Association of Securities
      Dealers, Inc., having a capitalization of at least $50,000,000, and, in
      either case, authorized by law to perform all the duties imposed upon it
      hereunder and under the Auction Agent Agreement. The Auction Agent may at
      any time resign and be discharged of the duties and obligations created by
      this Appendix A by giving at least 90 days' notice to the Indenture
      Trustee, each Broker-Dealer and the Issuer. The Auction Agent may be
      removed at any time by the Indenture Trustee upon the written direction of
      an Authorized Officer or by the holders of a majority of the aggregate
      principal amount of the Auction Rate Securities then Outstanding, and if
      by such Noteholders, by an instrument signed by such Noteholders or their
      attorneys and filed with the Auction Agent, the Issuer and the Indenture
      Trustee upon at least 90 days' written notice. Neither resignation nor
      removal of the Auction Agent pursuant to the preceding two sentences shall
      be effective until and unless a Substitute Auction Agent has been
      appointed and has accepted such appointment. If required by the Issuer, a
      Substitute Auction Agent Agreement shall be entered into with a Substitute
      Auction Agent. Notwithstanding the foregoing, the Auction Agent may
      terminate the Auction Agent Agreement if, within 25 days after notifying
      the Indenture Trustee, each Broker-Dealer and the Issuer in writing that
      it has not received payment of any Auction Agent Fee due it in accordance
      with the terms of the Auction Agent Agreement, the Auction Agent does not
      receive such payment.

                  (ii) If the Auction Agent shall resign or be removed or be
      dissolved, or if the property or affairs of the Auction Agent shall be
      taken under the control of any state or federal court or administrative
      body because of bankruptcy or insolvency, or for any other reason, the
      Indenture Trustee at the direction of an Authorized Officer, shall use its
      best efforts to appoint a Substitute Auction Agent.

                  (iii) The Auction Agent is acting as agent for the Issuer in
      connection with Auctions. In the absence of bad faith, negligent failure
      to act or negligence on its part, the Auction Agent shall not be liable
      for any action taken, suffered or omitted or any error of judgment made by
      it in the performance of its duties under the Auction Agent Agreement and
      shall not be liable for any error of judgment made in good faith unless
      the Auction Agent shall have been negligent in ascertaining (or failing to
      ascertain) the pertinent facts.

            (f) Broker-Dealer.

                  (i) The Auction Agent will enter into Broker-Dealer Agreements
      with Salomon Smith Barney Inc. and Merrill Lynch & Co. as the initial
      Broker-Dealers. An Authorized Officer may, from time to time, approve one
      or more additional persons to serve as a Broker-Dealer under the
      Broker-Dealer Agreements and shall be responsible for providing such
      Broker-Dealer Agreements to the Indenture Trustee and the Auction Agent.

                  (ii) Any Broker-Dealer may be removed at any time, at the
      request of an Authorized Officer, but there shall, at all times, be at
      least one Broker-Dealer appointed and acting as such.

            (g) Changes in Auction Period or Periods and Certain Percentages.

                  (i) While any of the Auction Rate Securities are Outstanding,
      the Issuer may, from time to time, change the length of one or more
      Auction Periods (an "Auction Period Adjustment"), in order to conform with
      then current market practice with respect to similar securities or to
      accommodate economic and financial factors that may affect or be relevant
      to the length of the Auction Period and the interest rate borne by the
      Auction Rate Securities. The Issuer shall not initiate an Auction Period
      Adjustment unless it shall have received the written consent of the
      applicable Broker-Dealer, which consent shall not be unreasonably
      withheld, not later than nine days prior to the Auction Date for such
      Auction Period. The Issuer shall initiate the Auction Period Adjustment by
      giving written notice by Issuer Order to the Indenture Trustee, the
      Auction Agent, the applicable Broker-Dealer, each Rating Agency and the
      Securities Depository in substantially the form of, or containing
      substantially the information contained in, Exhibit E attached hereto at
      least 10 days prior to the Auction Date for such Auction Period.

                  (ii) Any such adjusted Auction Period shall not be less than 7
      days nor more than 366 days.

                  (iii) An Auction Period Adjustment shall take effect only if
      (A) the Indenture Trustee and the Auction Agent receive, by 11:00 a.m.,
      eastern time, on the Business Day before the Auction Date for the first
      such Auction Period, an Issuer Certificate in substantially the form
      attached as, or containing substantially the same information contained
      in, Exhibit F attached hereto, authorizing the Auction Period Adjustment
      specified in such certificate along with a copy of the written consent of
      the applicable Broker-Dealer and, (B) Sufficient Bids exist as of the
      Auction on the Auction Date for such first Auction Period. If the
      condition referred to in (A) above is not met, the applicable Auction Note
      Interest Rate for the next Auction Period shall be determined pursuant to
      the above provisions of this Section 2.02 and the Auction Period shall be
      the Auction Period determined without reference to the proposed change. If
      the condition referred to in (A) is met but the condition referred in (B)
      above is not met, the applicable Auction Note Interest Rate for the next
      Auction Period shall be the applicable Maximum Rate and the Auction Period
      shall be the Auction Period determined without reference to the proposed
      change.

            In connection with any Auction Period Adjustment, the Auction Agent
shall provide such further notice to such parties as is specified in Section
2.03 of the Auction Agent Agreement.

            (h) Changes in the Auction Date. The applicable Broker-Dealer, with
the written consent of an Authorized Officer and, if applicable, upon receipt of
the opinion of Note Counsel as required below, may specify a different Auction
Date (but in no event more than five Business Days earlier) than the Auction
Date that would otherwise be determined in accordance with the definition of
"Auction Date" in Section 1.01 of this Appendix A, with respect to one or more
specified Auction Periods in order to conform with then current market practice
with respect to similar securities or to accommodate economic and financial
factors that may affect or be relevant to the day of the week constituting an
Auction Date and the interest rate borne on the Auction Rate Securities. The
applicable Broker-Dealer shall deliver a written request for consent to such
change in the length of the Auction Date to the Issuer at least 14 days prior to
the effective date of such change. If the Issuer shall have delivered such
written consent to the applicable Broker-Dealer, such Broker-Dealer shall
provide notice of its determination to specify an earlier Auction Date for one
or more Auction Periods by means of a written notice delivered at least 10 days
prior to the proposed changed Auction Date to the Indenture Trustee, the Auction
Agent, the Issuer, each Rating Agency and the Securities Depository. Such notice
shall be substantially in the form of, or contain substantially the information
contained in, Exhibit G attached hereto. Notwithstanding the foregoing, the
applicable Broker-Dealer may, without consent of an Authorized Officer, an
opinion of Note Counsel, request for consent from the Indenture Trustee, the
Auction Agent, the Issuer, any Rating Agency or the Securities Depository, but
after providing notice to the Indenture Trustee, (i) defer any Auction Date to
the next succeeding Business Day, if the Auction Date would, without such
deferral, not be a Business Day, and (ii) in such event, shorten the next
succeeding Auction Period by the number of days that the prior Auction Date was
deferred.

                (i) In connection with any change described in this Section
2.02(h), the Auction Agent shall provide such further notice to such parties as
is specified in Section 2.03 of the Auction Agent Agreement.

            Section 2.03 Additional Provisions Regarding the Interest Rates on
the Auction Rate Securities. The determination of a Variable Rate by the Auction
Agent or any other Person pursuant to the provisions of the applicable Section
of this Article II shall be conclusive and binding on the Noteholders of the
Auction Rate Securities to which such Variable Rate applies, and the Issuer and
the Indenture Trustee may rely thereon for all purposes.

            In no event shall the cumulative amount of interest paid or payable
on the Auction Rate Securities (including interest calculated as provided
herein, plus any other amounts that constitute interest on the Auction Rate
Securities under applicable law, which are contracted for, charged, reserved,
taken or received pursuant to the Auction Rate Securities or related documents)
calculated from the Date of Closing of the Auction Rate Securities through any
subsequent day during the term of the Auction Rate Securities or otherwise prior
to payment in full of the Auction Rate Securities exceed the amount permitted by
applicable law. If the applicable law is ever judicially interpreted so as to
render usurious any amount called for under the Auction Rate Securities or
related documents or otherwise contracted for, charged, reserved, taken or
received in connection with the Auction Rate Securities, or if the redemption or
acceleration of the maturity of the Auction Rate Securities results in payment
to or receipt by the Noteholder or any former Noteholder of the Auction Rate
Securities of any interest in excess of that permitted by applicable law, then,
notwithstanding any provision of the Auction Rate Securities or related
documents to the contrary, all excess amounts theretofore paid or received with
respect to the Auction Rate Securities shall be credited on the principal
balance of the Auction Rate Securities (or, if the Auction Rate Securities have
been paid or would thereby be paid in full, refunded by the recipient thereof),
and the provisions of the Auction Rate Securities and related documents shall
automatically and immediately be deemed reformed and the amounts thereafter
collectible hereunder and thereunder reduced, without the necessity of the
execution of any new document, so as to comply with the applicable law, but so
as to permit the recovery of the fullest amount otherwise called for under the
Auction Rate Securities and under the related documents.

<PAGE>

                                   EXHIBIT A-1

                              FORM OF SENIOR NOTES

UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY
TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

EXCEPT AS OTHERWISE PROVIDED IN THE INDENTURE, THIS GLOBAL NOTE MAY BE
TRANSFERRED, IN WHOLE BUT NOT IN PART, ONLY TO ANOTHER NOMINEE OF THE SECURITIES
DEPOSITORY (AS DEFINED IN THE INDENTURE) OR TO A SUCCESSOR SECURITIES DEPOSITORY
OR TO A NOMINEE OF A SUCCESSOR SECURITIES DEPOSITORY.

                            SLC STUDENT LOAN TRUST-I
                         STUDENT LOAN ASSET-BACKED NOTE
                          SENIOR CLASS A-[5] [6] [7]
                             AUCTION RATE SECURITIES

REGISTERED NO. A-[_]                               REGISTERED $_______________

   MATURITY DATE        INTEREST RATE    ORIGINAL ISSUE DATE      CUSIP NO.

    [____ , 20_]          Variable         [_____ _, 2002]      _____________
          ----

PRINCIPAL  SUM:  _________________________________________  AND 00/100 DOLLARS
NOTEHOLDER: CEDE & CO.

--------------------------------------------------------------------------------

            SLC STUDENT LOAN TRUST-I, a Delaware statutory trust organized under
the laws of the State of Delaware (the "Issuer," which term includes any
successor entity under the Indenture of Trust, dated as of March 27, 2002 (the
"Indenture") and the Series 2002-2 Supplemental Indenture of Trust, dated as of
November 20, 2002 (as amended, the "Series 2002-2 Supplemental Indenture"), each
between the Issuer and Deutsche Bank Trust Company Americas (formerly known as
Bankers Trust Company), as Indenture Trustee (the "Indenture Trustee," which
term includes any successor indenture trustee under the Indenture)) for value
received, hereby promises to pay to the Noteholder (stated above) or registered
assigns, the Principal Sum of (stated above), but solely from the revenues and
receipts hereinafter specified and not otherwise, on the Maturity Date specified
above (subject to the right of prior redemption hereinafter described), upon
presentation and surrender of this note at the Corporate Trust Office of the
Indenture Trustee, as paying agent, Indenture Trustee, authenticating agent and
registrar for the Notes, or a duly appointed successor paying agent, and to pay
interest in arrears on said Principal Sum, but solely from the revenues and
receipts hereinafter specified and not otherwise, to the Noteholder hereof from
the most recent Payment Date to which interest has been paid hereon, until the
payment of said principal sum in full.

            Any capitalized words and terms used as defined words and terms in
this note and not otherwise defined herein shall have the meanings given them in
the Indenture.

            This note shall bear interest at an Auction Note Interest Rate, all
as determined in Appendix A of the Series 2002-2 Supplemental Indenture.

            The principal of and interest on this note are payable in lawful
money of the United States of America. If the specified date for any payment of
principal or interest accrued to such specified date shall be a day other than a
Business Day then such payment may be made on the next succeeding Business Day,
with the same force and effect as if made on the specified date for such payment
without additional interest.

            Interest payable on this note shall be computed on the assumption
that each year contains 360 days and actual days elapsed.

            This note is one of a series of notes of the Issuer designated
Student Loan Asset-Backed Notes, Senior Class A-[5][6][7] Auction Rate
Securities, dated the Original Issue Date, in the aggregate original principal
amount of $_______________ (the "Class A-[5][6][7] Notes") which have been
authorized by the Issuer, and issued by the Issuer pursuant to the Indenture.
The Issuer is, simultaneously with the Class A-[5][6][7] Notes, issuing
$_______________ of its Student Loan Asset-Backed Notes, Senior Class A Notes in
[three] other classes (together with the Class A-[5][6][7] Notes, the "Class A
Notes") and $[_____] of its Student Loan Asset-Backed Notes, Subordinate Class
2002-2 Notes in one class (the "Class B Notes"). The proceeds of such notes have
been used by the Issuer, together with other moneys of the Issuer, for the
purpose of providing funds to finance the acquisition of student loans, fund a
reserve fund and to pay certain costs and expenses in connection with the
issuance of such notes. The Indenture provides for the issuance of additional
notes (the "Additional Notes") which may be secured on a parity with or
subordinate to the Class A Notes and the Class B Notes as determined by the
Issuer. The Class A Notes, the Class B Notes and any Additional Notes are
collectively referred to herein as the "Notes."

            Mandatory Redemption and Optional Redemption. This note is subject
to mandatory redemption and optional redemption, all as described in the
Indenture.

            Optional Redemption or Purchase. The Issuer may redeem or purchase
or cause to be purchased all of the Notes on any Payment Date on which the
aggregate current principal balance of all the Notes (other than the Residual
Notes) shall be less than or equal to 10% of the initial aggregate principal
balance of all the Notes (other than the Residual Notes) issued under the
Indenture on the respective Dates of Issuance, at a redemption or purchase price
equal to the aggregate current principal balance of all the Notes, plus accrued
interest on the Notes through the day preceding the Payment Date on which the
redemption or purchase occurs.

            Notice of Redemption or Purchase. Notice of the call for redemption
shall be given by the Indenture Trustee by mailing a copy of the notice at least
12 days prior to the redemption or purchase date to the Noteholders to be
redeemed in whole or in part at the address of such Noteholder last showing on
the registration books. Failure to give such notice or any defect therein shall
not affect the validity of any proceedings for the redemption or purchase of
such Auction Rate Securities for which no such failure or defect occurs. All
Notes called for redemption or purchase will cease to bear interest after the
specified redemption or purchase date, provided funds for their payment are on
deposit at the place of payment at the time. If less than all Notes are to be
redeemed or purchased, Notes shall be selected for redemption or purchase as
provided in the Indenture.

            The Indenture provides that the Issuer may enter into a derivative
product between the Issuer and a derivative provider (a "Reciprocal Payor"), as
originally executed and as amended or supplemented, or other interest rate hedge
agreement between the Issuer and a Reciprocal Payor, as originally executed and
as amended or supplemented. Payments due to a Reciprocal Payor from the Issuer
pursuant to the applicable Derivative Product are referred to herein as "Issuer
Derivative Payments," and may be secured on a parity with any series of Bonds.

            The principal of and interest on the Class A Notes and any
Additional Notes issued on a parity with the Class A Notes and any Issuer
Derivative Payments secured on a parity with the Class A Notes are payable on a
superior basis to such payments on the Class B Notes and any Additional Notes
issued on a parity or subordinate to the Class B Notes; provided, however, that
current principal and interest may be paid on the Class B Notes and any
Additional Notes issued on a parity with the Class B Notes or subordinate to the
Class B Notes if all principal and interest payments due and owing at such time
on the Class A Notes and any Additional Notes issued on a parity with the Class
A Notes and any Issuer Derivative Payments secured on a parity with the Class A
Notes have been previously made or provided for as provided in the Indenture.

            Reference is hereby made to the Indenture, copies of which are on
file in the Corporate Trust Office of the Indenture Trustee, and to all of the
provisions of which any Noteholder of this note by his acceptance hereof hereby
assents, for definitions of terms; the description of and the nature and extent
of the security for the Notes; the Issuer's student loan origination and
acquisition program; the revenues and other money pledged to the payment of the
principal of and interest on the Notes; the nature and extent and manner of
enforcement of the pledge; the conditions upon which the Indenture may be
amended or supplemented with or without the consent of the Noteholders and any
Reciprocal Payor; the rights and remedies of the Noteholder hereof with respect
hereto and thereto, including the limitations upon the right of a Noteholder
hereof to institute any suit, action, or proceeding in equity or at law with
respect hereto and thereto; the rights, duties, and obligations of the Issuer
and the Indenture Trustee thereunder; the terms and provisions upon which the
liens, pledges, charges, trusts, and covenants made therein may be discharged at
or prior to the stated maturity or earlier redemption of this note, and this
note thereafter shall no longer be secured by the Indenture or be deemed to be
Outstanding, as defined in the Indenture, thereunder; and for the other terms
and provisions thereof.

            THE NOTES ARE LIMITED OBLIGATIONS OF THE ISSUER, PAYABLE SOLELY
FROM, AND FURTHER SECURED BY, THE TRUST ESTATE, AS DEFINED IN THE INDENTURE.

            No recourse, either directly or indirectly, shall be had for the
payment of the principal of and interest on this note or any claim based hereon
or in respect hereof or of the Indenture, against the Indenture Trustee, or any
employee, or agent of the Issuer, nor against the State of Delaware, or any
official thereof, but the obligation to pay all amounts required by the
Indenture securing this note and the obligation to do and perform the covenants
and acts required of the Issuer therein and herein shall be and remain the
responsibility and obligation of said Issuer, limited as herein set forth.

            Subject to the restrictions specified in the Indenture, this note is
transferable on the Note Register kept for that purpose by the Indenture
Trustee, as registrar, upon surrender of this note for transfer at the Corporate
Trust Office of the Indenture Trustee, duly endorsed by, or accompanied by a
written instrument of transfer in form satisfactory to the Indenture Trustee
duly executed by, the Noteholder hereof or his attorney duly authorized in
writing, and thereupon one or more new Notes of the same series, Stated
Maturity, of authorized denominations, bearing interest at the same rate, and
for the same aggregate principal amount shall be issued to the designated
transferee or transferees. At the option of the Noteholder, any Note may be
exchanged for other Notes in authorized denominations upon surrender of the Note
to be exchanged at the Corporate Trust Office of the Indenture Trustee. Upon any
such presentation for exchange, one or more new Notes of the same series, Stated
Maturity, in authorized denominations, bearing interest at the same rate, and
for the same aggregate principal amount as the Note or Notes so surrendered
shall be issued to the Noteholder of the Note or Notes so surrendered; and the
Note or Notes so surrendered shall thereupon be cancelled by the Indenture
Trustee.

            Notwithstanding the foregoing, so long as the ownership of the Notes
is maintained in Book-Entry Form by The Depository Trust Company (the
"Securities Depository") or a nominee thereof, this note may be transferred in
whole but not in part only to the Securities Depository or a nominee thereof or
to a successor Securities Depository or its nominee.

            The Issuer, the Indenture Trustee, and any agent of either of them
shall treat the Person in whose name this note is registered as the Noteholder
hereof (a) on the record date for purposes of receiving timely payment of
interest hereon, and (b) on the date of surrender of this note for purposes of
receiving payment of principal hereof at its stated maturity and (c) for all
other purposes, whether or not this note is overdue, and neither the Issuer, the
Indenture Trustee, nor any such agent shall be affected by notice to the
contrary.

            To the extent permitted by the Indenture, modifications or
alterations of the Indenture and any supplemental indenture may be made with the
consent of less than all of the holders of the Notes then Outstanding or without
the consent of any of such Noteholders (by reason of a change in the Act or
Regulation or to cure ambiguities or conflicts), but such modification or
alteration is not permitted to affect the maturity date, Stated Maturity,
amount, Payment Date, or rate of interest on any Outstanding Notes or affect the
rights of the Noteholders of less than all of the Notes Outstanding.

            Any capitalized term used herein and not otherwise defined herein
shall have the same meaning ascribed to such term in the herein defined
Indenture unless the context shall clearly indicate otherwise.

            It is hereby certified and recited that all acts and things required
by the laws of the State of Delaware to happen, exist, and be performed
precedent to and in the issuance of this note, and the execution of said
Indenture, have happened, exist and have been performed as so required.

<PAGE>

            IN WITNESS WHEREOF, the Issuer has caused this note to be executed
in its name and on its behalf by its Administrator, all as of the Original Issue
Date.

                                    SLC STUDENT LOAN TRUST-I

                                    By: THE STUDENT LOAN CORPORATION,
                                        as Administrator,

                                    By:
                                       -----------------------------------------
                                       Name:
                                       Title:

<PAGE>

                          CERTIFICATE OF AUTHENTICATION

            This note is one of the Class A-_ Notes designated therein and
described in the within-mentioned Indenture.

                                    DEUTSCHE BANK TRUST COMPANY AMERICAS, as
                                       Indenture Trustee

                                    By:_______________________________________
                                       Authorized Signatory

Authentication Date:

---------------------------

                                   ASSIGNMENT

            FOR VALUE RECEIVED, the undersigned hereby sells, assigns, and
transfers unto __________ (Social Security or other identifying number
__________) the within note and all rights thereunder and hereby irrevocably
appoints __________ attorney to transfer the within note on the books kept for
registration thereof, with full power of substitution in the premises.

Dated:                                Signed:

-------------------                   ----------------------------------

                                      NOTICE:  The signature on this  Assignment
                                      must  correspond  with  the  name  of  the
                                      Noteholder  as it  appears  on the face of
                                      the within note in every particular.

Signature Guaranteed by:

------------------------------
A Member of The New York Stock
Exchange or a State or National Bank

<PAGE>

                                   EXHIBIT A-2

                            FORM OF SUBORDINATE NOTES

UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY
TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE, OR PAYMENT, AND ANY NOTE ISSUED IS
REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN
AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO
SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY
TRANSFER, PLEDGE, OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

EXCEPT AS OTHERWISE PROVIDED IN THE INDENTURE, THIS GLOBAL NOTE MAY BE
TRANSFERRED, IN WHOLE BUT NOT IN PART, ONLY TO ANOTHER NOMINEE OF THE SECURITIES
DEPOSITORY (AS DEFINED IN THE INDENTURE) OR TO A SUCCESSOR SECURITIES DEPOSITORY
OR TO A NOMINEE OF A SUCCESSOR SECURITIES DEPOSITORY.

                            SLC STUDENT LOAN TRUST-I
                         STUDENT LOAN ASSET-BACKED NOTE
                            SUBORDINATE CLASS B-2
                             AUCTION RATE SECURITIES

REGISTERED NO. B-                                          REGISTERED $_______

   MATURITY DATE        INTEREST RATE    ORIGINAL ISSUE DATE      CUSIP NO.

    [___ , 20_]          [Variable]        [____ _, 2002]       _____________
         ----

PRINCIPAL SUM: [________________] AND 00/100 DOLLARS

NOTEHOLDER: CEDE & CO.

            SLC STUDENT LOAN TRUST-I, a Delaware statutory trust organized under
the laws of the State of Delaware (the "Issuer," which term includes any
successor corporation under the Indenture of Trust, dated as of March 27, 2002
(the "Original Indenture") and the Series 2002-2 Supplemental Indenture of Trust
dated as of November 20, 2002 (as amended, the "Series 2002-2 Supplemental
Indenture," and together with the Original Indenture, the "Indenture"), each
between the Issuer and Deutsche Bank Trust Company Americas (formerly known as
Bankers Trust Company), as Indenture Trustee (the "Indenture Trustee," which
term includes any successor indenture trustee under the Indenture)) for value
received, hereby promises to pay to the Noteholder (stated above) or registered
assigns, the Principal Sum of (stated above), but solely from the revenues and
receipts hereinafter specified and not otherwise, on the Maturity Date specified
above (subject to the right of prior redemption hereinafter described), upon
presentation and surrender of this note at the principal office of the Indenture
Trustee, as paying agent, Indenture Trustee, authenticating agent and registrar
for the Notes, or a duly appointed successor paying agent, and to pay interest
in arrears on said Principal Sum, but solely from the revenues and receipts
hereinafter specified and not otherwise, to the Noteholder hereof from the most
recent Payment Date to which interest has been paid hereon, until the payment of
said principal sum in full.

            Any capitalized words and terms used as defined words and terms in
this note and not otherwise defined herein shall have the meanings given them in
the Indenture.

            This note shall bear interest at an Auction Note Interest Rate, all
as determined in Appendix A of the Series 2002-2 Supplemental Indenture.

            The principal of and interest on this note are payable in lawful
money of the United States of America. If the specified date for any payment of
principal or interest accrued to such specified date shall be a day other than a
Business Day then such payment may be made on the next succeeding Business Day,
with the same force and effect as if made on the specified date for such payment
without additional interest.

            Interest payable on this note shall be computed on the assumption
that each year contains 360 days and actual days elapsed.

            This note is one of a series of notes of the Issuer designated
Student Loan Asset-Backed Notes, Subordinate Class B-1 Auction Rate Securities,
dated the Original Issue Date, in the aggregate original principal amount of
$[_______] (the "Class B-2 Notes") which have been authorized by the Issuer, and
issued by the Issuer pursuant to the Indenture. The Issuer is, simultaneously
with the Class B-2 Notes, issuing $[______] of its Student Loan Asset-Backed
Notes, Senior Class A Notes in [four] classes (collectively, the "Class A
Notes"). The proceeds of such notes have been used by the Issuer, together with
other moneys of the Issuer, for the purpose of providing funds to finance the
acquisition of student loans, fund a reserve fund and to pay certain costs and
expenses in connection with the issuance of such notes. The Indenture provides
for the issuance of additional notes (the "Additional Notes") which may be
secured on a parity with or subordinate to the Class A Notes and the Class B
Notes as determined by the Issuer. The Class A Notes and the Class B Notes and
any Additional Notes are collectively referred to herein as the "Notes."

            Mandatory Redemption, Optional Redemption and Extraordinary
Redemption. This note is subject to mandatory redemption, optional redemption
and extraordinary redemption, all as described in the Indenture.

            Optional Redemption or Purchase. The Issuer may redeem or purchase
or cause to be purchased all of the Notes on any Payment Date on which the
aggregate current principal balance of all the Notes (other than the Residual
Notes) shall be less than or equal to 10% of the initial aggregate principal
balance of all the Notes (other than the Residual Notes) issued under the
Indenture on the respective Dates of Issuance, at a redemption or purchase price
equal to the aggregate current principal balance of all the Notes, plus accrued
interest on the Notes through the day preceding the Payment Date on which the
redemption or purchase occurs.

            Notice of Redemption or Purchase. Notice of the call for redemption
shall be given by the Indenture Trustee by mailing a copy of the notice at least
12 days prior to the redemption or purchase date to the Noteholders to be
redeemed in whole or in part at the address of such Noteholder last showing on
the registration books. Failure to give such notice or any defect therein shall
not affect the validity of any proceedings for the redemption or purchase of
such Auction Rate Securities for which no such failure or defect occurs. All
Notes called for redemption or purchase will cease to bear interest after the
specified redemption or purchase date, provided funds for their payment are on
deposit at the place of payment at the time. If less than all Notes are to be
redeemed or purchased, Notes shall be selected for redemption or purchase as
provided in the Indenture.

            The Indenture provides that the Issuer may enter into a derivative
product between the Issuer and a derivative provider (a "Reciprocal Payor"), as
originally executed and as amended or supplemented, or other interest rate hedge
agreement between the Issuer and a Reciprocal Payor, as originally executed and
as amended or supplemented. Payments due to a Reciprocal Payor from the Issuer
pursuant to the applicable Derivative Product are referred to herein as "Issuer
Derivative Payments," and may be secured on a parity with any series of Bonds.

            The principal of and interest on the Class A Notes and any
Additional Notes issued on a parity with the Class A Notes and any Issuer
Derivative Payments secured on a parity with the Class A Notes are payable on a
superior basis to such payments on the Class B Notes and any Additional Notes
issued on a parity or subordinate to the Class B Notes; provided, however, that
current principal and interest may be paid on the Class B Notes and any
Additional Notes issued on a parity with the Class B Notes or subordinate to the
Class B Notes if all principal and interest payments due and owing at such time
on the Class A Notes and any Additional Notes issued on a parity with the Class
A Notes and any Issuer Derivative Payments secured on a parity with the Class A
Notes have been previously made or provided for as provided in the Indenture.

            Reference is hereby made to the Indenture, copies of which are on
file in the principal office of the Indenture Trustee, and to all of the
provisions of which any Noteholder of this note by his acceptance hereof hereby
assents, for definitions of terms; the description of and the nature and extent
of the security for the Notes; the Issuer's student loan origination and
acquisition program; the revenues and other money pledged to the payment of the
principal of and interest on the Notes; the nature and extent and manner of
enforcement of the pledge; the conditions upon which the Indenture may be
amended or supplemented with or without the consent of the Noteholders and any
Reciprocal Payor; the rights and remedies of the Noteholder hereof with respect
hereto and thereto, including the limitations upon the right of a Noteholder
hereof to institute any suit, action, or proceeding in equity or at law with
respect hereto and thereto; the rights, duties, and obligations of the Issuer
and the Indenture Trustee thereunder; the terms and provisions upon which the
liens, pledges, charges, trusts, and covenants made therein may be discharged at
or prior to the stated maturity or earlier redemption of this note, and this
note thereafter shall no longer be secured by the Indenture or be deemed to be
Outstanding, as defined in the Indenture, thereunder; and for the other terms
and provisions thereof.

            THE NOTES ARE LIMITED OBLIGATIONS OF THE ISSUER, PAYABLE SOLELY
FROM, AND FURTHER SECURED BY, THE TRUST ESTATE, AS DEFINED IN THE INDENTURE.

            No recourse, either directly or indirectly, shall be had for the
payment of the principal of and interest on this note or any claim based hereon
or in respect hereof or of the Indenture, against the Indenture Trustee, or any
incorporator, director, officer, employee, or agent of the Issuer, nor against
the State of Delaware, or any official thereof, but the obligation to pay all
amounts required by the Indenture securing this note and the obligation to do
and perform the covenants and acts required of the Issuer therein and herein
shall be and remain the responsibility and obligation of said Issuer, limited as
herein set forth.

            Subject to the restrictions specified in the Indenture, this note is
transferable on the Note Register kept for that purpose by the Indenture
Trustee, as registrar, upon surrender of this note for transfer at the principal
office of the Indenture Trustee, duly endorsed by, or accompanied by a written
instrument of transfer in form satisfactory to the Indenture Trustee duly
executed by, the Noteholder hereof or his attorney duly authorized in writing,
and thereupon one or more new Notes of the same series, Stated Maturity, of
authorized denominations, bearing interest at the same rate, and for the same
aggregate principal amount shall be issued to the designated transferee or
transferees. At the option of the Noteholder, any Note may be exchanged for
other Notes in authorized denominations upon surrender of the Note to be
exchanged at the principal office of the Indenture Trustee. Upon any such
presentation for exchange, one or more new Notes of the same series, Stated
Maturity, in authorized denominations, bearing interest at the same rate, and
for the same aggregate principal amount as the Note or Notes so surrendered
shall be issued to the Noteholder of the Note or Notes so surrendered; and the
Note or Notes so surrendered shall thereupon be cancelled by the Indenture
Trustee.

            Notwithstanding the foregoing, so long as the ownership of the Notes
is maintained in Book-Entry Form by The Depository Trust Company (the
"Securities Depository") or a nominee thereof, this note may be transferred in
whole but not in part only to the Securities Depository or a nominee thereof or
to a successor Securities Depository or its nominee.

            The Issuer, the Indenture Trustee, and any agent of either of them
shall treat the Person in whose name this note is registered as the Noteholder
hereof (a) on the record date for purposes of receiving timely payment of
interest hereon, and (b) on the date of surrender of this note for purposes of
receiving payment of principal hereof at its stated maturity and (c) for all
other purposes, whether or not this note is overdue, and neither the Issuer, the
Indenture Trustee, nor any such agent shall be affected by notice to the
contrary.

            To the extent permitted by the Indenture, modifications or
alterations of the Indenture and any supplemental indenture may be made with the
consent of less than all of the holders of the Notes then outstanding or without
the consent of any of such Noteholders (by reason of a change in the Act or
Regulation or to cure ambiguities or conflicts), but such modification or
alteration is not permitted to affect the maturity date, Stated Maturity,
amount, Payment Date, or rate of interest on any outstanding Notes or affect the
rights of the Noteholders of less than all of the Notes outstanding.

            Any capitalized term used herein and not otherwise defined herein
shall have the same meaning ascribed to such term in the herein defined
Indenture unless the context shall clearly indicate otherwise.

            It is hereby certified and recited that all acts and things required
by the laws of the State of Delaware to happen, exist, and be performed
precedent to and in the issuance of this note, and the passage of said
resolution and the execution of said Indenture, have happened, exist and have
been performed as so required.

<PAGE>

            IN WITNESS WHEREOF, the Issuer has caused this note to be executed
in its name and on its behalf by its Administrator, all as of the Original Issue
Date.

                                    SLC STUDENT LOAN TRUST-I

                                    By: THE STUDENT LOAN CORPORATION,
                                        as Administrator,

                                    By: ________________________________________
                                        Name:
                                        Title:

<PAGE>

                          CERTIFICATE OF AUTHENTICATION

            This note is one of the Class B-_ Notes designated therein and
described in the within-mentioned Indenture.

                                    DEUTSCHE BANK TRUST COMPANY AMERICAS, as
                                       Indenture Trustee

                                    By:_________________________________________
                                       Authorized Signatory

Authentication Date:

--------------------------

<PAGE>

                                   ASSIGNMENT

            FOR VALUE RECEIVED, the undersigned hereby sells, assigns, and
transfers unto __________ (Social Security or other identifying number
__________) the within note and all rights thereunder and hereby irrevocably
appoints __________ attorney to transfer the within note on the books kept for
registration thereof, with full power of substitution in the premises.

Dated:                                Signed:

-------------------                   ----------------------------------

                                      NOTICE: The signature on this Assignment
                                      must correspond with the name of the
                                      Noteholder as it appears on the face of
                                      the within note in every particular.

Signature Guaranteed by:

------------------------------
A Member of The New York Stock
Exchange or a State or National Bank

<PAGE>

                                    EXHIBIT B

                 SERIES 2002-2 CLOSING CASH FLOW PROJECTIONS

<PAGE>

                                    EXHIBIT C

                            NOTICE OF PAYMENT DEFAULT

                            SLC STUDENT LOAN TRUST-I
                         STUDENT LOAN ASSET-BACKED NOTES
                                    CLASS __
                         AUCTION RATE CERTIFICATE NOTES

            NOTICE IS HEREBY GIVEN that a Payment Default has occurred and is
continuing with respect to the Auction Rate Securities identified above. The
next Auction for the Auction Rate Securities will not be held. The Auction Note
Interest Rate for the Auction Rate Securities for the next succeeding Interest
Period shall be the Non-Payment Rate.

                                      DEUTSCHE BANK TRUST COMPANY AMERICAS, as
                                      Indenture Trustee

Dated: _____________________          By:____________________________________

<PAGE>

                                    EXHIBIT D

                        NOTICE OF CURE OF PAYMENT DEFAULT

                            SLC STUDENT LOAN TRUST-I
                         STUDENT LOAN ASSET-BACKED NOTES
                                    CLASS __
                         AUCTION RATE CERTIFICATE NOTES

            NOTICE IS HEREBY GIVEN that a Payment Default with respect to the
Auction Rate Securities identified above has been waived or cured. The next
Payment Date is __________________________ and the Auction Date is ____________.

                                      DEUTSCHE BANK TRUST COMPANY AMERICAS, as
                                      Indenture Trustee

Dated: _____________________          By:____________________________________

<PAGE>

                                    EXHIBIT E

                       NOTICE OF PROPOSED CHANGE IN LENGTH
                         OF ONE OR MORE AUCTION PERIODS

                            SLC STUDENT LOAN TRUST-I
                         STUDENT LOAN ASSET-BACKED NOTES
                                    CLASS __
                         AUCTION RATE CERTIFICATE NOTES

            Notice is hereby given that the Issuer proposes to change the length
of one or more Auction Periods pursuant to the Indenture of Trust, as amended
(the "Indenture") as follows:

            1. The change shall take effect on _______________, the Interest
Rate Adjustment Date for the next Auction Period (the "Effective Date").

            2. The Auction Period Adjustment in Paragraph 1 shall take place
only if (a) the Indenture Trustee and the Auction Agent receive, by 11:00 a.m.,
eastern time, on the Business Day before the Auction Date for the Auction Period
commencing on the Effective Date, a certificate from the Issuer, as required by
the Indenture authorizing the change in length of one or more Auction Periods
and (b) Sufficient Bids exist on the Auction Date for the Auction Period
commencing on the Effective Date.

            3. If the condition referred to in (a) above is not met, the Auction
Note Interest Rate for the Auction Period commencing on the Effective Date shall
be determined pursuant to the Auction Procedures and the Auction Period shall be
the Auction Period determined without reference to the proposed change. If the
condition referred to in (a) is met but the condition referred to in (b) above
is not met, the Auction Note Interest Rate for the Auction Period commencing on
the Effective Date shall be the Maximum Rate and the Auction Period shall be the
Auction Period determined without reference to the proposed change.

            4. It is hereby represented, upon advice of the Auction Agent for
the Class __ Notes described herein, that there were Sufficient Bids for such
Class __ Notes at the Auction immediately preceding the date of this Notice.

            5. Terms not defined in this Notice shall have the meanings set
forth in the Indenture entered into in connection with the Class __ Notes.

                                      SLC STUDENT LOAN TRUST-I

Dated: _____________________          By:_______________________________________

<PAGE>

                                    EXHIBIT F

                      NOTICE ESTABLISHING CHANGE IN LENGTH
                         OF ONE OR MORE AUCTION PERIODS

                            SLC STUDENT LOAN TRUST-I
                         STUDENT LOAN ASSET-BACKED NOTES
                                    CLASS __
                         AUCTION RATE CERTIFICATE NOTES

            Notice is hereby given that the Issuer hereby establishes new
lengths for one or more Auction Periods pursuant to the Indenture of Trust, as
amended:

            1. The change shall take effect on _______________, the Interest
Rate Adjustment Date for the next Auction Period (the "Effective Date").

            2. For the Auction Period commencing on the Effective Date, the
Interest Rate Adjustment Date shall be _______________, or the next succeeding
Business Day if such date is not a Business Day.

            3. For Auction Periods occurring after the Auction Period commencing
on the Effective Date, the Interest Rate Adjustment Date shall be
[_______________(date) and every ______________(number) ______________(day of
week) thereafter] [every ______________(number) ______________(day of week)
after the date set forth in paragraph 2 above], or the next Business Day if any
such day is not a Business Day; provided, however, that the length of subsequent
Auction Periods shall be subject to further change hereafter as provided in the
Indenture of Trust.

            4. The changes described in paragraphs 2 and 3 above shall take
place only upon delivery of this Notice and the satisfaction of other conditions
set forth in the Indenture of Trust and our prior notice dated _______________
regarding the proposed change.

            5. Terms not defined in this Notice shall have the meanings set
forth in the Indenture of Trust relating to the Class __ Notes.

                                      SLC STUDENT LOAN TRUST-I

Dated: _____________________          By:____________________________________

<PAGE>

                                    EXHIBIT G

                        NOTICE OF CHANGE IN AUCTION DATE

                            SLC STUDENT LOAN TRUST-I
                         STUDENT LOAN ASSET-BACKED NOTES
                                    CLASS __
                         AUCTION RATE CERTIFICATE NOTES

            Notice is hereby given by [ ], as Broker-Dealer for the Auction Rate
Securities, that with respect to the Auction Rate Securities, the Auction Date
is hereby changed as follows:

            1. With respect to Class __ Notes, the definition of "Auction Date"
shall be deemed amended by substituting "_______________(number) Business Day"
in the second line thereof and by substituting "_______________(number) Business
Days" for "two Business Days" in subsection (d) thereof.

            2. This change shall take effect on _______________ which shall be
the Auction Date for the Auction Period commencing on _______________.

            3. The Auction Date for the Class __ Notes shall be subject to
further change hereafter as provided in the Indenture of Trust.

            4. Terms not defined in this Notice shall have the meaning set forth
in the Indenture of Trust, as amended, relating to the Class __ Notes.

                                      [BROKER-DEALER], as Broker-Dealer

Dated: _____________________          By:____________________________________

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